Tuesday, March 24, 2026
4:00 PM
City of Salinas
200 Lincoln Ave., Salinas, CA 93901
www.cityofsalinas.org
SALINAS ROTUNDA
City Council
Mayor Dennis Donohue
Councilmembers:
Jose Luis Barajas, District 1 - Tony Barrera, District 2 Margaret D'Arrigo, District 3 - Gloria De La Rosa, District 4 Andrew Sandoval, District 5 - Aurelio Salazar, District 6 Rene Mendez, City Manager
Christopher A. Callihan, City Attorney
City Clerk’s Office: (831) 758-7381
Meeting Agenda - Final
1 March 24, 2026City Council Meeting Agenda - Final
ZOOM WEBINAR PARTICIPATION
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PLEDGE OF ALLEGIANCE
ROLL CALL
PUBLIC COMMENT PROCEDURES
If you wish to make a general public comment or comment on a specific agenda item, you are encouraged to attend 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 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 Consideration, Public Hearing items, and the Consent Agenda should be held until the items are reached.
PRESENTATION
Councilmember comments on presentations are generally limited to three minutes.
ID#25-527 Salinas Youth Council Updates and Comments
Recommendation: No action required. The City of Salinas Youth Council will provide an administrative update to the City Council.
CALIFORNIA GOVERNMENT CODE §84308 - LEVINE ACT
Government Code § 84308. Parties to any proceeding involving a license, permit or other entitlement for use pending before the City Council must disclose any campaign contributions over $500 (aggregated) within the preceding 12 months made by the party, their agent, and those required to be aggregated with their contributions under Government Code § 82015.5. The disclosure must include the amount contributed and
2 March 24, 2026City Council Meeting Agenda - Final
the name(s) of the contributor(s).
CONSIDERATION
ID#26-112 District 5 Recreation Center Feasibility Study and Initial Site Plan Design Recommendation: Approve a Resolution accepting the District 5 Recreation Center Feasibility Study and initial Site Plan Design for CIP 9342 at Northgate Neighborhood Park.
ID#26-121 Measure G Extension and Ballot Measure Polling Results Recommendation: Consider a motion directing staff to prepare a resolution calling an election to ask the voters of the City of Salinas to approve an extension of an existing one-cent general transactions and use tax (Measure G) and authorizing the Monterey County Board of Supervisors to consolidate the election with the established general election to be held on November 3, 2026.
ID#26-120 Fiscal Year 2025-26 Mid-Year Budget Review & Supplemental Appropriation Requests
Recommendation: Approve a Resolution receiving the FY 2025-26 Mid-Year budget performance review and authorize budget adjustments as recommended in the budget performance review.
CONSENT AGENDA
Matters listed under the Consent Agenda may be enacted by one motion unless a member of the Council requests a separate vote or discuss. Members of the public may comment on the Consent Agenda items collectively during their public comment.
ID#26-108 Minutes
Recommendation: Approve minutes of March 17, 2026.
ID#26-114 Minutes
Recommendation: Approve minutes of February 24, 2026.
ID#26-016 Treasurer’s Report - Quarter Ended December 31, 2025 Recommendation: Accept the Treasurer's Report for FY 2025-26 second quarter ended December 31, 2025.
ID#26-075 Public Works Quality Assurance Program (QAP)
Recommendation: Approve a Resolution approving the City of Salinas Public Works Quality Assurance Program (QAP) and authorizing the Public Works Director, or designee, to update the QAP as required to maintain compliance with state and federal regulations.
ID#26-076 Annual Public Art Plan Fiscal Year 2026-2027
Recommendation: Approve a Resolution adopting the Fiscal Year 2026-2027 Public Art Plan including the appropriation of $60,000 from the Municipal Art Fund with subsequent appropriation of $206,000 during the budget development process to support the projects identified in the 2026-2027 Public Art Plan.
ID#26-106 Hitchcock Road Animal Services Joint Exercise of Powers Agreement Amendment No. 1
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Recommendation: Approve a Resolution authorizing the Mayor to execute an Amendment (Amendment No. 1) to the Hitchcock Road Animal Services (HRAS)' Joint Powers Authority (JPA) Joint Exercise of Powers Agreement (JPA Agreement) to clarify the JPA's insurance coverage obligations and satisfy potential carrier requirements.
ID#26-111 Application to the California Department of Housing and Community Development for the Prohousing Incentive Program Round 4 Recommendation: Approve a Resolution authorizing the submission of a Prohousing Incentive Program (PIP) Round 4 application to the California Department of Housing and Community Development (HCD) in the amount of $1,250,000; and if awarded the City Manager to accept PIP Round 4 funds for the rehabilitation of the El Rey Motel, Mortgage Down Payment Assistance Program or any other activities eligible under the PIP Round 4 program guidelines and undertake all actions and execute all documents necessary to implement such activities consistent with HCD requirements.
ID#26-118 Monterey One Water Agreement for Pretreatment and Water Quality Monitoring Services and Operation and Maintenance
Recommendation: Approve a Resolution delegating authority to the City Manager to execute an agreement with Monterey One Water for pretreatment and water quality monitoring services operation and maintenance in an amount not to exceed $380,000 annually from April 1, 2026 through December 31, 2031.
ID#26-123 Salinas Valley Tourism & Visitors Bureau Lease and Operating Agreements Recommendation: Approve a Resolution authorizing the City Manager to sign a Lease Agreement between the City of Salinas and the Salinas Valley Tourism & Visitors Bureau for the City-owned property located at 1A Station place; and an Operating Agreement between the City of Salinas and the Salinas Valley Tourism & Visitors Bureau for the operations of the California Welcome Center.
ID#25-622 Monterey St. Parking Garage Management Agreement with LAZ Parking California, LLC
Recommendation: Approve a Resolution authorizing the City Manager to execute a services agreement with LAZ Parking California, LLC for the management of the Monterey Street Parking Garage in an annual amount not to exceed $390,472, for a total not to exceed amount of $1,171,416, through January 1, 2029, with an option to extend the term for two (2) additional one-year periods.
CITY MANAGER'S REPORT
Receive brief oral report from the City Manager.
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. Soratos, City Clerk
4 March 24, 2026City Council Meeting Agenda - Final
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 and 54956. City Council agenda reports and other writings distributed to the legislative body 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 in accordance with California Government Code section 54597.5. 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. Language interpretation may be requested as soon as possible but by no later than 5 p.m. of the last business day prior to 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
This agenda was posted on March 19, 2026 in the Salinas Rotunda and City's website.
Meetings are streamed live at https://salinas.legistar.com/Calendar.aspx, televised live on Comcast Channel 25 and on http://www.youtube.com/thesalinaschannel at 4:00 p.m. on the date of the regularly scheduled meeting and will be broadcast throughout the day on Friday, Saturday, Monday and Wednesday following the meeting. For the most up-to-date Broadcast Schedule for The Salinas Channel on Comcast 25, please visit or subscribe to our Google Calendar located at http://tinyurl.com/SalinasChannel25. All past City Council meetings may also be viewed on the Salinas Channel on YouTube at http://www.youtube.com/thesalinaschannel.
5 City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#25-527, Version: 1
..Title
Salinas Youth Council Updates and Comments
..Recommended Action
No action required. The City of Salinas Youth Council will provide an administrative update to the City Council.
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CITY OF SALINAS
COUNCIL STAFF REPORT
DATE: FEBRUARY 24, 2026
DEPARTMENT: ADMINISTRATION
FROM: RENÉ MENDEZ, CITY MANAGER
SOPHIA ROME, COMMUNITY RELATIONS MANAGER
SALINAS YOUTH COUNCIL
TITLE: SALINAS YOUTH COUNCIL UPDATES AND COMMENTS
RECOMMENDED MOTION:
No action required. The City of Salinas Youth Council will provide an administrative update to the City Council.
EXECUTIVE SUMMARY:
The Council approved the establishment of a Youth Council Pilot Program through July 31, 2027.
As Youth Councilmembers, they work on community projects and serve as liaisons between the school district, schools, and the City. This Administrative Report is to provide updates on Youth Council activities and provide the Council with comments on agendized items.
BACKGROUND:
On October 22, 2024, the Council approved the establishment of a Youth Council Pilot Program through July 31, 2025. The Pilot Program was extended through July 31, 2027, by Council Resolution on June 17, 2025.
The Youth Council participates in activities like:
Youth Council representation and participation at City Council meetings Regular administrative updates to the SUHSD Board
Serve as liaisons between the each SUHSD high schools’ Associated Student Body (ASB) youth leadership and principals to increase civic engagement and outreach Leadership and skill development
Community service projects
The purpose of the Youth Council is to increase youth representation in civic engagement, provide professional and leadership development opportunities for Salin as youth, and to serve as community connectors representing youth, their school sites, and school district.
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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).
In addition, CEQA Guidelines Section 15061 includes the general rule that CEQA applies only to activities which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Because the proposed action and this matter have no potential to cause any effect on the environment, or because it falls within a category of activities excluded as projects pursuant to CEQA Guidelines section 15378, this matter is not a project. Because the matter does not cause a direct or foreseeable indirect physical change on or in the environment, this matter is not a project. Any subsequent discretionary projects resulting from this action will be assessed for CEQA applicability.
CALIFORNIA GOVERNMENT CODE §84308 APPLIES:
No.
STRATEGIC PLAN INITIATIVE:
Youth and Seniors
Improve, expand and develop youth and senior facilities and programs
Public Safety
Increase collaboration with partner agencies to address public safety public health issues
City Services
Promote equitable access to City services and foster inclusive development Engage residents and improve communication with the community
DEPARTMENTAL COORDINATION:
The Youth Council is supported through the City Manager’s Office.
FISCAL AND SUSTAINABILITY IMPACT:
Fund General Ledger
Number
(Operating/CIP)
General Ledger
Account Name
Remaining
Budget
Appropriation
Amount
Requested
N/A N/A N/A N/A N/A
ATTACHMENTS:
None.
8 City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-112, Version: 1
District 5 Recreation Center Feasibility Study and Initial Site Plan Design Approve a Resolution accepting the District 5 Recreation Center Feasibility Study and initial Site Plan Design for CIP 9342 at Northgate Neighborhood Park.
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CITY OF SALINAS
COUNCIL STAFF REPORT
DATE: MARCH 24, 2026
DEPARTMENT: LIBRARY AND COMMUNITY SERVICES DEPARTMENT
FROM: KRISTAN LUNDQUIST, LCS DIRECTOR
TITLE: DISTRICT 5 RECREATION CENTER FEASIBILITY STUDY AND
INITIAL SITE PLAN DESIGN
RECOMMENDED MOTION:
A Motion to approve a Resolution accepting the District 5 Recreation Center Feasibility Study and initial Site Plan Design for CIP 9342 at Northgate Neighborhood Park.
EXECUTIVE SUMMARY:
On May 10, 2022, the City Council approved an $8.1 million reserve to build a Recreation Center in City Council District 5. On March 11, 2025, the City Council appropriated those funds to CIP 9342 to initiate a feasibility study for the proposed project at Northgate Neighborhood Park.
Staff, in collaboration with ABA Studios, have now completed the District 5 Recreation Center Feasibility Study and initial Site Plan Design . This effort included extensive community engagement, site analysis, conceptual p lanning, and cost estimates for the recreation center and associated park improvements. The site plan is conceptual in nature and basically verifies how the Recreation Center and site amenities could be placed on the site. There are still opportunities t o shift the building and site amenities in future design phases.
Staff recommend that the City Council accept the District 5 Recreation Center Feasibility Study and initial Site Plan Design for Northgate Neighborhood Park, allowing the project to proceed into environmental review and subsequent design development phases.
BACKGROUND:
The Library & Community Services Department and the Fire Department initially explored a shared-site concept for a new fire station and recreation center in City Council Dist rict 5, identifying Laurel Park as a potential location based on fire service response goals and safety considerations.
In February 2022, the City submitted a $20 million request to Assemblymember Rivas’ office for State funding to support the fire statio n and park improvements, contingent upon the City 10 Page | 2
allocating approximately $8 million for the recreation center component of the project. The City did not receive State funding for the project, however, recognizing that District 5 is the only City Council District without a recreation center, the City Council moved forward with the appropriation of $8.1 million to support the development of a recreation center within the district.
Once funding was allocated, the next step was to determine a suitable locati on for the new recreation center. To begin this process, staff initiated the first phase of community engagement in September 2022. This phase included an online survey that asked District 5 residents where they would like to see a recreation center built. One important parameter was that the location had to be on a City -owned parcel, which are limited in District 5 . In addition to the online survey, we conducted several pop-up outreach activities throughout the community. Locations included the Dollar Tree/Grocery Outlet shopping center, Laurelwood Elementary School, and Santa Rita Elementary School. We also conducted outreach at the citywide Environmental Justice Workshops held as part of the General Plan process. Through the pop-up efforts, we collected a total of 130 responses, with the majority coming from residents in the 93906-zip code.
In October 2022, we held a community meeting to share the results from the survey and pop -up outreach activities. The top sites identified were Northgate, Santa Rita, and Laurel Neighborhood Parks. However, due to site constraints, Santa Rita was not considered a feasible option.
Community members were then asked again, “Where in District 5 would you place a recreation center?” And once again, Northgate Neighborhood Park emerged as the top choice. This process led to the selection of Northgate Neighborhood Park as the preferred location.
The City currently operates seven recreation centers citywide; however, none are located within City Council District 5. Development of a recreation center in District 5 would expand equitable access to youth programs, senior services, and community gather ing space, and provide critical recreational opportunities for residents. It is also worth noting, that the Parks, Recreation & Libraries Master Plan adopted by the City Council in 2019, also identified gaps of service in North Salinas. Northgate Park pr ovides a viable location with adequate acreage and also is one of the most northern existing parks.
As an initial step in advancing the District 5 Recreation Center at Northgate Neighborhood Park, in February of 2025 the City entered into an agreement wit h ABA Studio s to conduct a comprehensive feasibility study and conceptual site plan design. The feasibility study included a two-pronged process: robust community engagement to define program needs and priorities, coupled with a site feasibility analysis to evaluate exciting site conditions, suitability, accessibility, potential site constraints and how the identified interior and exterior program elements could best be situated within the park.
A critical phase of the feasibility study was establishing a vision for the recreation center and identifying community needs. ABA Studios and City staff facilitated an in -person community meeting to gather input on desired spaces, programs, and potential park improvements. This effort was supported by an electronic survey and pop -up events, resulting in feedback from over 627 residents combined. Based on the workshop, pop-up events and survey findings, ABA prepared a key findings summary and developed a draft interior and exterior space program for the proposed recreation center, reflecting community priorities and project goals (Attachment A). 11 Page | 3
Key findings from the engagement process included the need for standalone restrooms, outdoor recreational areas, and dedicated teen spaces (Teen Lounge). Res idents also emphasized the importance of family and community empowerment programs, as well as health and wellness resources.
Following the visioning and needs assessment, and informed technical evaluation of the site, ABA explored a variety of prototypes to address community concerns surrounding parking and building placement within the park. The prototypes were evaluated for functionality, site compatibility, and cost. The illustration below highlights the prototype s explored with 5 determined to be most suitable and aligned with the project’s budget.
Prototype 5 was further developed into two design options, which were presented to the community through an in -person meeting, electronic survey, and pop -up activities. Both design options incorporated a phased approach. Phase I, highlighted in white, includes construction of the recreation center, parking (though not required by code), landscaping, and either an amphitheater or picnic area. Phase II represents potential long-term improvements that could be implemented if additional funding becomes available. Having a comprehensive park concept provides the City with a clear framework to pursue grant funding opportunities.
Community members were asked to evaluate each design concept based on flexibility and functionality, preservation of open space, and the overall concept. Both options were well received, and this engagement effort reached more than 1,316 residents.
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Overall, Option 1 was the community’s preferred design; however, when considering feedback from District 5 residents specifically, Option 2 emerged as the preferred option and it is staff’s recommended Site Plan Design to proceed forward with into the next phases of the design process.
Throughout this process, staff prioritized developing a design that is responsive to community needs while remaining aligned with available funding. Ensuring that the proposed improvements could be realistically delivered within the project’s established budget.
On March 11, 2026, the Library and Community Services Commission reviewed and considered the District 5 Recreation Center Feasibility Study and Site Plan Design. Following discussion, the Commission recommended that the Salinas City Council reconsider the proposed placement of the Recreation Center at the site, evaluate opportunities to provide additional parking, conduct additional neighborhood engagement, and explore alternative locations within District 5 for the project.
Valid concerns were raised at the Commission meeting ; however, it is also important that we recognize the overall community voices that have participated in the engagement conducted thus far through a very extensive community outreach effort . While it has been determined via the community input that Northgate Park is the most suitable location, it is important to stress that this action does not preclude further exploration of the placement of the recreation center and/or of other amenities in the schematic design phase.
Examples of elements where further consideration could occur are identified below:
Parking: Onsite parking for a project like this is not required. However, based on concerns raised during outreach efforts, staff felt it was important to provide onsite parking to not burden the neighborhood. Upon further consideration, it may be determined tha t parking be moved or eliminated altogether.
Recreation Center Placement: The placement of the building in the initial Site Plan was intentional in order to group amenities to allow for synergy, utilize existing utilities and access to restroom facilities. It also was the most cost effective to ensure the project would stay in line with existing budget. Future consideration in the next phase of design could continue to look at placement and evaluate the approximate $300,000 it would take to move utilities to accommodate movement of the building closer to the Cherokee side of the park.
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Traffic Calming: Some residents have raised concerns about the need for traffic calming on Cherokee and have felt strongly that the Recreation Center project should not mo ve forward without this component. While the funding allocated for the District 5 Recreation Center does not allow for traffic calming without eliminating other key amenities identified by community as critical, this could also be further considered in th e next phase of design. Another option would be for the LCS Department to collaborate with Public Works in order to evaluate the need for traffic calming on Cherokee and potential add this component to the overall project.
Based on the above, staff recommend that the City Council accept the District 5 Recreation Center Feasibility Study and initial Site Plan Design for Northgate Neighborhood Park, allowing the project to proceed into environmental review and subsequent design development phases. While Council is being asked to accept the initial site plan, no formal design has been developed and as indicated previously, many elements could be further explored in the future design phases.
Community engagement will continue to be a priority and will be front and center as we move forward.
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).
CALIFORNIA GOVERNMENT CODE §84308 APPLIES:
No.
STRATEGIC PLAN INITIATIVE:
This action supports the City Council Strategic Plan in the following areas:
Infrastructure: Continue to invest in recreational and public facilities that strengthen community assets and enhance quality of life.
Youth and Seniors: Improve, expand, and develop youth and senior facilities and programs to better serve the needs of the community.
City Services: Promote equitable access to City services, foster inclusive development, provide high-quality customer service, and engage residents through meaningful communication and outreach.
DEPARTMENTAL COORDINATION:
The Library & Community Services Department has taken the lead in the feasibility study and community engagement efforts for the District 5 Recreation Center project. Moving forward, LCS will continue to work closely with Public Works and Community Develop ment throughout the entitlement, bidding, and construction phases of the project.
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FISCAL AND SUSTAINABILITY IMPACT:
The previously appropriated $8.1 million to CIP 9342 funded the feasibility and site plan design phase for the recreation center at Northgate Neighborhood Park. Acceptance of the Feasibility Study and Site Plan Design does not appropriate additional funds for the project.
Fund
General Ledger Number
(Operating/CIP)
General Ledger Account
Name
Remaining Budget
Appropriation
Amount Requested
n/a n/a n/a n/a n/a
ATTACHMENTS:
Resolution
Feasibility Study and Site Pan Design Presentation
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RESOLUTION NO. ______ (N.C.S.)
A RESOLUTION ACCEPTING THE DISTRICT 5 RECREATION CENTER FEASIBILITY STUDY AND INITIAL SITE PLAN DESIGN FOR CIP 9342 AT
NORTHGATE NEIGHBORHOOD PARK
WHEREAS, on May 10, 2022, the City Council approved an $8.1 million reserve to build a Recreation Center in City Council District 5; and
WHEREAS, on March 11, 2025, the City Council appropriated those funds to CIP 9342 to initiate a feasibility study for the proposed project at Northgate Neighborhood Park; and
WHEREAS, staff, in collaboration with ABA Studios, have now completed the District 5 Recreation Center Feasibility Study and initial Site Plan Design. This effort included extensive community engagement, site analysis, conceptual planning, and cost estimates for the recreation center and associated park improvements; and
WHEREAS, community members were asked to evaluate two designs concept based on flexibility and functionality, preservation of open space, and the overall concept; and
WHEREAS, overall, Option 1 wa s the community’s preferred design; however, when considering feedback from District 5 residents specifically, Option 2 emerged as the preferred option and is staff’s recommended Site Plan Design to proceed forward with into the next phases of the design process; and
WHEREAS, the initial Site Plan Design will continue to be evaluated and considered during future design phases.
NOW, THEREFORE, BE IT RESOLVED that the Salinas City Council accepts the District 5 Recreation Center Feasibility Study and initial Site Plan Design for CIP 9342 at Northgate Neighborhood Park.
PASSED AND APPROVED this 24th day of March, 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
_______________________
Dennis Donohue, Mayor
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ATTEST:
_________________________
Patricia M. Soratos, City Clerk
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43 City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-121, Version: 1
Measure G Extension and Ballot Measure Polling Results
Consider a motion directing staff to prepare a resolution calling an election to ask the voters of the City of Salinas to approve an extension of an existing one-cent general transactions and use tax (Measure G) and authorizing the Monterey County Board of Supervisors to consolidate the election with the established general election to be held on November 3, 2026.
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CITY OF SALINAS
COUNCIL STAFF REPORT
DATE: MARCH 24, 2026
DEPARTMENT: ADMINISTRATION
FROM: RENÉ MENDEZ, CITY MANAGER
LISA MURPHY, ASSISTANT CITY MANAGER
BY: PATRICIA M. SORATOS, CITY CLERK
TITLE: MEASURE G EXTENSION AND BALLOT MEASURE POLLING
RESULTS
RECOMMENDED MOTION:
A motion directing staff to prepare a resolution calling an election to ask the voters of the City of Salinas to approve an extension of an existing one-cent general transactions and use tax (Measure G) and authorizing the Monterey County Board of Supervisors to consolidate the election with the established general election to be held on November 3, 2026.
EXECUTIVE SUMMARY:
In an initial discussion with the City’s Finance Committee on October 14, 2025, staff discussed the ballot measure polling and public outreach process and possibility of placing the extension of Measure G on the ballot in November 2026. Starting in 2024, s taff discussed the importance of Measure G with the Council on several occasions, in particular, the challenge to reduce the City budget by $47 million (or 21%) . Additionally, anticipated budget deficit concerns have been emphasized across several budget updates to Council and the community , including through the adoption of the FY 25/26 operating budget . Staff also indicated that a potential extension of Measure G would be brought forward for Council action and to receive direction pertaining to engage with the community in advance of the November 2026 General Election. A progress report was also presented to the Measure G Oversight Committee on January 16, 2026. This report examines the ballot measure feasibility, including the results of the scientific ballot polling survey of likely November 2026 voters.
Should the City Council choose to move forward as recommended in this Report, c alling the election to place this measure on the November ballot , will be presented to the City Council on June 30, 2026, for consideration.
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BACKGROUND:
In 2014, Salinas residents approved a one-cent transactions and use tax measure establishing the tax for a period of fifteen (15) years (“Measure G”). Measure G generates over $30 million in revenue per year. Since its inception, Measure G funding has provided for ongoing capital project needs and staffing, including 106.5 City staff positions within the City’s operating budget. The City continues to allocate Measure G funding to citywide operational and capit al project needs while sustaining staffing levels and services. Measure G will expire in 2029.
The City’s five-year budget forecast assumes a structural budget deficit as identified in the Salinas Plan and the sunset of Measure G in FY 2029. The Salinas Plan document also recommended the City request the voters extend Measure G as soon as possible. Although there is still the possibility for future election year ballot placement (2028, for example) , the Measure G survey results are being brought forward for consideration and placement of the extension before the voters in November 2026. If the Council elects not to place the extension on the November 2026 ballot, or if the measure does not pass, the re would be another opportunity in 2028. However, sound fiscal management would warrant that the City begin moderating expenditures and avoid incurring new ongoing costs without generating new revenue. While such actions would be challenging, and likely affect services, a phased approach over the years would help mitigate financial impacts.
Based on the current budget and assumptions for future growth, the City should expect positive net revenue through 2029. However, in FY 2030, there would be a drop in net revenue as a result of the expiration of Measure G. If Measure G is not extended, the City will face a budget shortfall of approximately $47.8 million or (21%), thereby significantly impacting funding operations at current levels.
As shown below, the Measure G impact on the general fund forecast illustrates the projected revenue shortfall:
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In November of 2025 , the City retained Pobolsky Research and Willam Berry Campaigns to conduct a community poll to gauge the feasibility of continuing the existing one-cent sales tax.
The poll ran in February 2026 and found the following:
Overall, 81% of those polled rate the quality of life in Salinas as good or fair. The community’s top concerns are maintaining streets and sidewalks, responding to homelessness, and planning for housing availability and affordability.
Overall, the polling results demonstrate support from the community to extend Measure G. Should the City Council elect to proceed with placing the measure on the November 2026 General Election ballot, City staff will proceed with public communications outreach.
It is important to note that the proposed measure is an extension of the existing one-cent sale tax, and not an increase to or a new sales tax.
A suggested timeline is attached hereto and briefly outlined below.
March 24, 2026 Presentation to City Council
March 25, 2026 Commence Educational Communication and Outreach City of Salinas
Amended
Budget Projected
with
Measure G
without
Measure G
5 - Year Financial Forecast FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2030-31 Revenues:
Sales Tax $91,015,000 $93,845,567 $96,764,164 $99,773,529 $102,876,486 $106,075,945 $65,887,946 Property Taxes 41,531,000 42,880,758 44,231,501 45,624,794 47,066,537 48,553,840 48,553,840 Utility Users Tax 14,003,000 14,493,105 15,000,364 15,525,376 16,068,765 16,631,171 16,631,171 Franchise Fees 10,181,000 10,384,620 10,592,312 10,804,159 11,020,242 11,240,647 11,240,647 Licenses & Permits 7,552,500 7,665,788 7,780,774 7,897,486 8,015,948 8,136,187 8,136,187 Charges for Services 6,342,260 6,532,528 6,728,504 6,930,359 7,138,270 7,352,418 7,352,418 Transient Occupancy Tax 3,119,000 3,181,380 3,245,008 3,309,908 3,376,106 3,443,628 3,443,628 Other Revenue 10,808,200 10,826,790 10,845,752 10,865,093 10,884,821 10,904,943 10,904,943 Total Revenues: $184,551,960 $189,810,534 $195,188,378 $200,730,703 $206,447,174 $212,338,778 $172,150,780 Potential Revenues:
Amazon Revenue $0 $4,000,000 $6,000,000 $8,000,000 $8,000,000 $8,000,000 $4,976,000 Total Potential Revenues: $0 $4,000,000 $6,000,000 $8,000,000 $8,000,000 $8,000,000 $4,976,000 Total Revenues: $184,551,960 $193,810,534 $201,188,378 $208,730,703 $214,447,174 $220,338,778 $177,126,780 Expenditures:
Salaries $65,955,085 $70,084,398 $73,411,731 $76,602,124 $79,647,026 $82,810,795 $82,810,795 Benefits 60,400,488 63,921,727 66,326,160 69,869,959 71,736,754 73,688,741 73,688,741 Services and Supplies 30,743,334 31,022,449 31,949,192 32,903,564 33,886,386 34,898,502 34,898,502 Other Operating 4,281,603 5,281,603 5,281,603 5,281,603 5,281,603 5,281,603 5,281,603 Internal Service Funds 2,668,559 2,701,931 2,735,969 2,770,689 2,806,102 2,842,224 2,842,224 Debt Service 10,562,900 8,735,828 8,104,826 7,757,036 7,835,972 7,885,105 7,885,105 Transfers Out 11,855,500 14,445,775 15,168,064 15,926,467 16,722,790 17,558,930 17,558,930 Total Expenditures: $186,467,470 $196,193,711 $202,977,546 $211,111,443 $217,916,634 $224,965,902 $224,965,902 [Rev - Exp] Over / (Under): ($1,915,510) ($2,383,176) ($1,789,168) ($2,380,740) ($3,469,461) ($4,627,123) ($47,839,122) 47 Page | 4
March 26, 2026 Presentation to Joint Measure G and Measure E Oversight Committee May 19, 2026 Public Hearing: Draft Ballot Measure Extension Ordinance and Fiscal Impact Analysis
June 30, 2026 Call for Consolidation of Election to place Measure G Extension on November 2026 ballot.
September 30, 2026 End Educational Communication and Outreach
November 3, 2026 Election Day
CALIFORNIA GOVERNMENT CODE §84308 APPLIES:
No.
STRATEGIC PLAN INITIATIVE:
This report meets all the City Council goals, City Services, Public Safety, Infrastructure, Youth and Senior, Housing, and Economic Development as Measure G funds support services, projects and operations city-wide across all departments.
DEPARTMENTAL COORDINATION:
City Administration coordinated with the Finance Department and the City Attorney’s Office on this report in consultation with William Berry Campaigns and Probolsky Research.
FISCAL AND SUSTAINABILITY IMPACT:
There is no cost associated with this report. Should the Measure G Extension be place d on the November 2026 General Election ballot, cost associated with the consolidation of the election will be presented to the city Council as part of the FY 2026-27 Annual Operating budget.
Fund
General Ledger Number
(Operating/CIP)
General Ledger Account
Name
Remaining Budget
Appropriation
Amount Requested
N/A N/A N/A N/A N/A
ATTACHMENTS:
Presentation
Timeline
48 City of Salinas
Tax Measure Survey 2026
Results Presentation
February 2026
Opinion Research on
Elections and Public Policy
PROBOLSKY RESEARCH
23 Corporate Plaza Suite 150 Newport Beach CA 92660
Newport Beach
(949) 855-6400
San Francisco
(415) 870-8150
Washington DC
(202) 559-0270
49 City of Salinas - Tax Measure Survey 2026
Survey Methodology*
1 Survey Details
Mode Phone (landline and mobile)
Online (email and text to web)
Language English and Spanish
Length 15 minutes
Target
Respondents
City of Salinas likely voters
Survey Fielding February 2 – 9, 2026
Margin of Error +/-5%
Survey
Participants
400
Sample
The sample was developed from the voter files originally compiled by the Monterey County Registrar of Voters. We matched the demographics of City of Salinas likely voters.
Data Collection Explained
Interviews were conducted with live interviewers by phone (42%) and online survey methods (58%). Phone
participants were interviewed through landline (27%) and mobile (73%) calls. Online participants were invited by email (36%) and text message (64%) to access the survey by computer, tablet, or smartphone.
Respondents in all modes chose their preferred language, English (80%) and Spanish (20%).
Security measures precluded individuals from completing the survey more than once.
*Due to rounding, totals shown on charts may not add up to 100% Probolsky Research is a Latina- and woman-owned market and opinion research firm with corporate, election, government, and non-profit clients. 50 81% rate the overall quality of life in Salinas as
good or fair
Question 2: How would you rate the overall quality of life in Salinas? 2 34.8%
46.3%
18.5%
0.5%
Good Fair Poor Unsure
81.1%
51 53% are unsatisfied with the job the City is doing at providing services to residents
Question 3: Are you satisfied or unsatisfied with the job the City of Salinas is doing in providing services to residents? 3 42.0%
53.0%
5.0%
Satisfied Unsatisfied Unsure
52 74% are satisfied with the fire and paramedic
emergency response services and response times
Question 4: Are you satisfied or unsatisfied with fire and paramedic emergency response services and response times? 4 73.8%
8.8%
17.5%
Satisfied Unsatisfied Unsure
53 56% are satisfied with police services
Question 5: Are you satisfied or unsatisfied with police services, including patrols, investigations, and emergency response? 5 56.0%
31.8%
12.3%
Satisfied Unsatisfied Unsure
54 74% are unsatisfied with street maintenance, street
sweeping, streetlights, and stormwater and drainage
services
Question 6: Are you satisfied or unsatisfied with street maintenance, street sweeping, streetlights, and stormwater and drainage services? 6 25.0%
74.0%
1.0%
Satisfied Unsatisfied Unsure
55 57% are satisfied with parks, open space and trails, recreation facilities, and community programs
Question 7: Are you satisfied or unsatisfied with the parks, open space and trails, recreation facilities, and community programs? 7 56.5%
35.5%
8.0%
Satisfied Unsatisfied Unsure
56 53% disagree that the City operates transparently
Question 10: Now we have some statements. For each one, please indicate whether you agree or disagree. Agree or disagree: The City operates transparently. 8 32.8%
53.0%
14.3%
Agree Disagree Unsure
57 96% agree that investing in infrastructure now
saves money long term
Question 11: Agree or disagree: It’s smarter to invest in needed infrastructure improvements—such as repairing roads, sidewalks, and other public facilities—today, because delaying repairs will only increase costs in the future. 9 96.3%
3.3% 0.5%
Agree Disagree Unsure
58 67% think the City has a need for additional funds
to maintain the level of City services and facilities
Question 12: Do you think the City has a great need, some need, a little need, or no real need for additional funds to maintain the level of City services and facilities? 10 66.5%
21.3%
12.3%
Need No need Unsure
59 11
The largest gap between importance and satisfaction
is in maintaining streets and sidewalks at 57%
Question 13: Now we have a list of issues that may be relevant to residents of Salinas. Please select all the ones that are very important to you personally.
Question 14: Thinking of the same list of issues, please select all the ones that you are personally satisfied with.
68.0%
62.8%
43.3%
39.0%
41.3%
58.8%
38.8%
31.8%
36.3%
22.0%
32.0%
18.3%
11.5%
8.8%
7.0%
5.5%
10.3%
29.5%
10.8%
9.5%
14.0%
13.3%
29.8%
16.5%
Maintaining streets and sidewalks
Responding to homelessness
Planning for housing availability and affordability
Managing city finances
Improving traffic flow
Providing effective public safety, including 911 emergency medical/Police/Fire response
Keeping local taxes low
Managing growth and development
Providing programs and services for youth and seniors
Preparing for disasters like earthquakes, floods, and wildfires Maintaining parks and recreation facilities
Creating new open spaces and parks
Importance Satisfaction
56.5%
54.0%
36.3%
33.5%
31.0%
29.3%
28.0%
22.3%
22.3%
8.7%
2.2%
1.8%
Delta
60 Initial vote: the measure has majority support
Please consider a ballot measure that could come before Salinas voters next year. Please indicate if you would vote yes, or vote no.
Question 15: Shall the City of Salinas renew Measure G, without raising taxes, a 1% local sales tax that funds police, 911, fire and emergency response, homelessness reduction, street and sidewalk repairs and other long-term infrastructure, parks, youth and senior programs, support for additional affordable housing, and other general city services, generating approximately thirty million dollars annually, with independent citizen oversight and annual audits; all funds remain in Salinas, until ended by voters? 12 61.0%
21.0% 18.0%
Vote yes Vote no Unsure
61 13
Message Effectiveness
Positive messages Percent More Likely
to Vote Yes
An independent engineer’s report shows that Salinas streets get a D grade. Continuing the existing sales tax will allow the City to make street improvements. 65.8% Every dollar generated by this sales tax stays in Salinas and cannot be taken by the County or State. 61.5% This local sales tax measure does not create a new tax; it just continues the existing local sales tax rate. 59.0% This local sales tax measure does not increase taxes; it just continues the existing local sales tax rate. 59.0% This sales tax measure includes an independent citizens' oversight committee, requiring regular independent financial audits, an d public reporting on how every dollar is being used. The committee is already operating and if this measure passes, they will continue their work. 57.3% If the local sales tax is not renewed, the City of Salinas would face extremely difficult choices that would mean drastic cuts in all City departments, including in the police and fire departments. 57.3%
This sales tax measure will extend the current sales tax until it is ended by voters – it will not increase taxes. 55.8% Sales tax is not charged on groceries, prescriptions, or services. 52.0% A large amount of this sales tax revenue in Salinas is paid by people who live outside the City, including shoppers and visitors from surrounding communities and people who work in Salinas but live somewhere else. This means Salinas residents benefit when non-residents buy things here. 50.5% This local sales tax helps fund City projects and facilities such as parks, recreation improvements, and community centers. 48.3% Negative messages Percent More Likely
to Vote No
Some residents say sales taxes are regressive and place a greater burden on low-income residents and senior citizens. 42.8% Some residents are talking about rising prices for just about everything, including gas, groceries, utility rates, and housing, and say this is the wrong time to talk about extending a local sales tax. 40.8%
Some residents say the current local sales tax was meant to be temporary, and that this local sales tax measure removes its expiration date, taking away an important safeguard for voters. 35.5%
62 Knowing what you know now, if the election were held today, how would you vote on this ballot measure? Question 31: Shall the City of Salinas renew Measure G, without raising taxes, a 1% local sales tax that funds police, 911, fire and emergency response, homelessness reduction, street and sidewalk repairs and other long-term infrastructure, parks, youth and senior programs, support for additional affordable housing, and other general city services, generating approximately thirty million dollars annually, with independent citizen oversight and annual audits; all funds remain in Salinas, until ended by voters? 14 61.0%
21.0%
18.0%
57.8%
27.8%
14.5%
Vote yes Vote no Unsure
initial Informed initial initialInformed Informed
Informed vote: the measure retains majority
support
63 Demographics
15 64
16 Respondent demographics by gender, age, ethnicity, zip code, and City Council District
45.8%
54.3%
Male
Female
18.8%
12.0%
13.0%
23.0%
33.3%
18-29
30-39
40-49
50-64
65+
62.0%
30.8%
0.8%
3.5%
3.0%
Latino/Hispanic
White/Caucasian
Black/African American
Asian/Pacific Islander
Other
Gender Age Ethnicity Zip code Council District
29.8%
23.3%
41.5%
5.3%
0.3%
93901
93905
93906
93907
93908
11.3%
8.3%
29.8%
10.5%
18.3%
22.0%
CCD 1
CCD 2
CCD 3
CCD 4
CCD 5
CCD 6
65 Questions?
Adam Probolsky, President
O: 949-855-6400 | M: 949-697-6726
E: [email protected]
Sergio Martinez, Research Analyst
E: [email protected]
Opinion Research on
Elections and Public Policy
PROBOLSKY RESEARCH
23 Corporate Plaza Suite 150 Newport Beach CA 92660
Newport Beach
(949) 855-6400
San Francisco
(415) 870-8150
Washington DC
(202) 559-0270
66 +
Project Schedule and Timeline
Below is an example timeline for the poll and communication outreach. This example applies to both the initial and tracking polls.
Process
Kick-off
Kick-off meeting
Collect & analyze
background
information
Finalize sampling plan
Submit for approval
Make requested
edits
Finalize poll
Translate
Conduct poll Submit draft report
Present results
Ongoing consulting
Write poll
questionnaire
Send draft for
review & edits
Research
Development
Submit for
Approval
Finalize &
Translate
Poll Report
Analysis &
Development
Administer Poll
November 2025 December 2025 January 2026 February 2026 March 2026 April 2026 May 2026
Process
Ballot
measure
language
The consultant team
collaborates with the
City Attorney to
finalize the 75-word
ballot question and
supporting ordinance
language. Materials
are reviewed for
clarity, legality, and
readability.
The first
informational mailer
is printed and
mailed citywide,
explaining the
measure, how funds
will be used, and
what services are at
risk without
additional revenue.
The second round
of educational
mailers goes out. At
this point, the
campaign enters its
most active phase,
with online
education, in-
person outreach,
and digital updates
ramping up as
voters begin to tune
in.
The final month is
devoted to
wrapping up
outreach,
presenting a final
report to the City
Council, and
ensuring all legal
filings and records
are complete. A final
set of community
meetings are held
to answer
questions. The team
prepares the City for
Election Day and
transfers files to the
City Clerk for
recordkeeping.
Election Day. The results of
more than a year of research,
strategy, and outreach will be
decided by voters. The City will
begin preparing for
implementation if the measure
is passed.
The Salinas City
Council formally
votes to call the
election. The ballot
question is
submitted to the
Monterey County
Registrar. Pro and
con ballot
arguments are
submitted, and
rebuttals are
prepared if needed.
A second round of
town halls is hosted
to share updates
and gather
feedback.
Vote to call the
election
First round of
mailing
Second round
of mailing
Election dayWrapping up
June 2026 July 2026 August 2026 September 2026 November 2026 67 City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-120, Version: 1
Fiscal Year 2025-26 Mid-Year Budget Review & Supplemental Appropriation Requests Approve a Resolution receiving the FY 2025-26 Mid-Year budget performance review and authorize budget adjustments as recommended in the budget performance review.
City of Salinas Printed on 3/19/2026Page 1 of 1
powered by Legistar™
68 Page | 1
CITY OF SALINAS
STAFF REPORT
DATE: MARCH 24, 2026
DEPARTMENT: FINANCE
FROM: RENE MENDEZ, CITY MANAGER
SELINA ANDREWS, FINANCE DIRECTOR
TITLE: FISCAL YEAR 2025-26 MID-YEAR BUDGET REVIEW &
SUPPLEMENTAL APPROPRIATION REQUESTS
RECOMMENDED MOTION:
Staff recommends that the City Council take the following actions regarding the Fiscal Year 2025- 26 Mid-Year budget performance review.
1. Receive FY 2025-26 Mid-Year budget performance review; and
2. Authorize budget adjustments as recommended in the budget performance review.
EXECUTIVE SUMMARY:
The Fiscal Year (FY) 202 5-2026 Adopted Operating and Capital Budgets for the City of Salinas totaled $285.0 million. With this funding, the City continues delivering a wide range of services to Salinas’ residents and businesses. The Adopted Budgets focused spending on critical community services and maintained existing services levels, enhanced service delivery in limited areas, and invested in the City’s infrastructure.
Staff is closely monitoring the City’s budget across over 150 funds to ensure that current year revenues and expenditures are on pace to meet expectations, which is necessary to maintain budget stability and avoid service disruptions in any given year. Through the first six months of FY 2025- 26, economic conditions and many revenue categories are performing generally at or slightly above expectations, and overall expenditures are tracking at or below authorized levels.
BACKGROUND:
The City’s Fiscal Year 202 5-26 operating and capital budgets were adopted on June 1 7, 2025.
After budget adoption each year, the City reviews and analyzes its revenues and expenditures compared to the adopted budget and reports its findings to City Council. The FY 2025-26 budget was adopted by balancing revenues with expenditures, however over the course of the fiscal year, through Council actions, additional expenditures have been appropriated.
The annual Adopted Budget is a financial plan predicated on the best information available at the 69 Page | 2
time it is prepared. As with any budget, however, changing conditions create the need to modify the original plan and staff have designated mid -year as the appropriate time to perform a comprehensive review of the c urrent year’s budget, and the Mid -Year Budget Review as the appropriate vehicle for consideration of any revisions to the budget. This Mid-Year Budget Review Report contains a comprehensive review of the status of the City’s FY 2025-26 Operating Budget as modified through December 2025.
The Mid-Year Budget Review includes the following sections:
Section I. Economic Update – The economic update on federal, state, and local trends provides context for the Fiscal Year 2025-26 Mid-year Budget Status Report.
Section II. General Fund Status Review – A review of the General Fund revenues and expenditures through Mid-Year.
Section III. Selected Capital Projects Status Report – A review of selected capital projects that are being recommended for reallocation and de-appropriation.
Section IV. Fund Balance Review – The table details the General Fund balance , necessary technical adjustments, items approved within the fiscal year and recommended Mid-Year Actions.
Section V. Recommended Budget Adjustments and Clean-up/Reallocate Actions – The recommended budget adjustments and c lean-up actions detail the proposed budget increase/reductions in the General Funds, Other Funds, and Capital Projects.
Section VI. Financial Forecast – This is a financial budgeting tool that analyzes and anticipates trends, opportunities, and potential challenges.
Section VII . FY 2026/27 – FY 2027/28 Operating and Capital Improvement Program (CIP) Budgets – Introduction to the City’s new biennial (2-year) budget process for both operating and CIP.
On March 17, 2025, s taff presented this report to the Finance Committee. Committee members supported staff’s recommended budget adjustments and clean-up/re-allocation actions as detailed in the report and moved the item forward to City Council.
DISCUSSION:
ECONOMIC UPDATE
Calendar year 2026 has remained resilient despite ongoing economic uncertainty and market volatility. Recent data from the U.S. Department of Commerce shows that consumer spending remains the primary driver of economic growth. Consumer spending, which represents roughly 70% of the nation’s Gross Domestic Product (GDP), grew at a healthy pace of 3.5% during the July through September 2025 period, contributing to an annualized GDP growth rate of 4.4%. This represents the strongest growth rate seen since mid-2023. Despite this positive momentum, several 70 Page | 3
risks and uncertainties remain. Inflation continues to concern the Federal Reserve, as consumer prices remain elevated compared with pre-pandemic levels.
Recent publications from the Federal Reserve Bank of St. Louis noted the multifaceted economic uncertainty in the U.S – citing its influence by various factors such as geopolitical risks, inflationary concerns, and trade policy. The conflict in the Middle East involving the U.S., Israel, and Iran has rapidly shifted the narrative for financial markets and the path forward for the U.S. economy. From a market standpoint, the most notable impact has been on energy markets, where crude oil prices moved sharply higher on concerns over potential supply disruptions and elevated geopolitical risk premiums. Oil prices have surged to approximately $87-$90 per barrel, the highest level since mid-2024. The Supreme Court’s ruling on tariffs has created uncertainty for businesses and U.S. trading partners – leading to uncertainty for companies. In terms of economic growth, the U.S. economy faces challenges due to a volatile tariff agenda and unresolved trade agreements with partners.
These factors contribute to a complex and uncertain economic landscape, affecting not only the U.S. economy but also global markets and international trade relations. Investors and businesses must navigate these uncertainties carefully to make informed decisions.
The December 2025
employment level of
151,700 in the Salinas
Metropolitan Statistical
Area (Salinas MSA)
grew slightly by 100
jobs. This net increase
includes professional
and business ser vices
eliminating 100 jobs
and construction
eliminating 5,300 jobs
and information
eliminating 1,100 jobs.
Conversely, education
and health services added 4,900 jobs and leisure and hospitality added 1,500 jobs.
Due to the United States federal government shutdown that occurred from October 1, 2025 to November 12, 2025, the October 2025 employment data is unavailable. 190,000
200,000
210,000
220,000
230,000
240,000
Dec-21
Mar-22
Jun-22
Sep-22
Dec-22
Mar-23
Jun-23
Sep-23
Dec-23
Mar-24
Jun-24
Sep-24
Dec-24
Mar-25
Jun-25
Sep-25
Dec-25
Salinas MSA Monthly Employment Level
71 Page | 4
The local unemployment rate for December 2025
was 9.1%, which is higher than the November
2024 rate of 6.7% and the prior year
unemployment rate of 8.5%. The December 2025
Salinas Metropolitan Statistical Area
unemployment rate continues to be significantly
higher than the unadjusted unemployment rate for
the State (5. 1%) the national rate ( 4.1%). Given
that Salinas is an agricultural community, the
unemployment rates at the close of the calendar
years are typically at higher levels.
Unemployment rates ranging from 4.9% to 7.8%
are experienced during the height of the season, which is generally between April and September.
Per the City’s property tax
consultant HdL Coren & Coren ,
the median sale price of Salinas
detached single -family homes
from January through September
2025 was $727,500 which was
3.9% more than 2024 price of
$700,000. In 2022, the growth in
price was 6.4%. In 2023, the price
of homes increased an additional
1.5%, followed by 3.7% in 2024 and 3.9% in 2025 (through September).
Economic conditions will continue to be closely monitored and are factored into the 2027 - 2031 General Fund Five-Year Forecast, and the upcoming releases of both the Proposed Operating and Capital Budgets, scheduled to be released on May 19, 2026 and June 16, 2026, respectively.
GENERAL FUND STATUS REVIEW
Revenue Analysis
Overall, General Fund revenues through December 31, 2025, totaled $93.5 million or 50.7% of the budgeted projections. A revenue summary of the General Funds is provided below, including a detailed look at the four major revenue types . It is important to note that the Other Revenues and Charges for Services categories are trending lower than the expected budgeted amounts. There are a lot of factors affecting the receipts for these revenue categories and they will be monitored through the end of the fiscal year.
Unemployment Rate (Unadjusted)
Dec.
2024
Nov.
2025
Dec.
2025**
Salinas Metropolitan
Statistical Area*
8.5% 6.7% 9.1%
State of California 5.2% 5.4% 5.1%
United States 3.8% 4.3% 4.1%
* Bureau of Labor Statistics Data
**December 2025 estimates are preliminary and
may be updated
665,000 675,000
700,000
727,500
2022 2023 2024 2025
Salinas Real Estate Activity
Median Home Price
(Single Family)
72 Page | 5
T able 1
Revenue T ype B udg et A ctual
% of
B udg et
S ales and Use T ax 91,015,000 49,470,031 54.4% P roperty T ax & V L F 41,531,000 21,706,168 52.3% Utility Users T ax 14,003,000 7,884,714 56.3% Other R evenues 15,882,000 5,301,608 33.4%
F ranchise F ees 10,181,000 4,665,496 45.8%
T ransient Occupancy T ax 3,119,000 1,810,723 58.1% C harges for S ervices 6,342,260 1,403,934 22.1% T otal General Revenue 182,073,260 92,242,675 50.7% T ransfers In 2,478,700 1,239,350 50.0%
Grand T otal 184,551,960 93,482,025 50.7%
Sales and Transactions & Use Tax (General, Measures E and G) Sales and use tax is the largest revenue source for the City’s General Funds, accounti ng for 49% of the budgeted General Funds projected revenues for FY 202 5-26. The City currently receiv es
2.5% of every 9.25% of sales tax paid per dollar on retail sales and taxable services transacted within Salinas, which includes Measures E and G. Measure E accounts for a half percent (0.5%) and was extended with no ending date on N ovember 6, 2012 while Measure G accounts for one percent (1.0%) and was approved on November 4, 2014 for 15 years.
Sales tax estimates are based on actual sales tax data and annual sales tax estimates for five years are provided by the City’s consultant, Hinderliter, de Llamas & Associates (HdL). In addition to the brick -and-mortar sales tax generation, HdL estimates include several online sales tax projections. Regular sales tax collected through online transactions are distributed through the Monterey County pool for which the City receives a pro-rate share of the sales tax generated in the County for that particular quarter. Total annual sales tax estimates include $39.3 million in proceeds from regular sales tax and $34. 5 million in proceeds from Measu re G (one cent) and $17.2 million from Measure E (one-half cent). Actual receipts net of administrative fees collected by the State will be confirmed at the close of the fiscal year.
On December 31, 2025, sales and transactions and use tax revenues total $49.5 million and are tracking at 54.4% of the budgeted amounts. This revenue category is tracking higher than projected, however, an adjustment to the current year revenue estimates is not recommended at this time. Staff will continue to monitor sales and transactions and use tax receipts and if the trend continues, recommend adjustments towards the end of the fiscal year.
Property Tax and Motor Vehicle in Lieu Fee (VLF)
Property tax and VLF are the second largest revenue source for the City and comprise approximately 23% of total City General Funds estimated revenues for FY 2025-26. Property and VLF tax estimates are based on property tax data provided by HdL. Property tax is levied by the 73 Page | 6
Monterey County Assessor’s Office at 1% of a property’s assessed value, of which the City receives approximately $0.1466 cents per dollar paid on property located within the municipal limits of Salinas. In compliance with Proposition 13, the assessed value of real property is based on the 1975/76 assessment roll value, adjusted by a 2% inflation factor thereafter. However, when property changes hands or new construction occurs, property is then reassessed at its current market value.
Monterey County provides property tax collection updates and proje ctions throughout the year.
The current amount received for the first six months of the year is slightly ahead of pace compared to the adopted budget. This includes Redevelopment Agency (RDA) Residual Apportionment, VLF allocation, secured property tax estimates, property transfer tax, and the Educational Revenue Augmentation Fund (ERAF) estimates.
On December 31, 2025, property tax revenues total $21.7 million and are tracking at 52.3% of the budgeted amounts. Property tax distributions are largely recei ved in the second and fourth quarters. Historically, second quarter receipts trend slightly higher than those received during the fourth quarter of a given fiscal year. Based on current County projections, staff do not expect a change in the budgeted General Property Tax and Vehicle in Lieu Fee.
Utility User Tax (UUT)
UUT are utility taxes which cities may impose on users’ consumption of certain utility services and consist of 8% of the City’s General Funds revenue . Salinas voters passed Measure H in the November 4, 2014 election to reduce the tax on telecommunications and video users from 6% to 5% and modernized the ordinance to include wireless and other technologies. Salinas’ population has a direct correlation with UUT as it’s tied to utility usage.
On December 31, 2025, utility user tax revenues to tal $7.9 million and are tracking at 56.3% of the budgeted amounts. Based on current projections of this revenue category , staff recommend increasing UUT revenue budget by $1,755,000. Staff will continue to monitor utility users’ tax receipts through the end of the fiscal year.
Franchise Fees
Franchise fees are collected by the City for the privilege of operating a utility service within Salinas, and as a fee in lieu of a business license tax. Franchise fees are currently received for gas, electric services, recycling, solid waste collection, and video services. Franchise fees represent 5% of projected General Funds revenues in FY 2025-26.
On December 31, 2025, franchise fee revenues total $4.7 million and are tracking at 45.8% of the budgeted amounts. Historically, franchise payments are not remitted equally throughout the fiscal year; therefore, second quarter receipts are not necessarily predictive of future receipts. Total franchise fee revenues are trending slightly higher than the prior year. Due to the remittance timing, staff does not recommend a change to this revenue source at this time.
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Expenditure Analysis
For FY 202 5-26, General Funds Operating expenditures (not including transfers out) are programmed at $166.2 million. The delivery of City services is highly dependent on personnel, which comprises 68.1% of budgeted General Funds expenditures for FY 2025-26. During the fiscal year, City Council approved several budget adjustments, which are tracked against the Adopted Budget. The net effect is an Amended Budget. Most General Funds expenditure totals are trending in accordance with or below the Amended Budget, with total operational expenditures at the end of the second quarter at approximately 46.6% of the Amended Budget.
With six months of data now available, staff expect that the next six months of expenditures will need to be amended as identified in this Mid -Year review. If additional unexpected costs occur, they will require future Council action.
As with most municipalities, services are provided directly by employees to the City’s residents, businesses, and visitors. As a service delivery enterprise, the cost of salaries and benefits are a significant portion of the budget. Mid -year actual salaries and benefits are trending at 47.0% of the budget amount for personnel costs, only slightly behind the benchmark at this point in the fiscal year (12.5 out of 26 pay periods, or 48%). Supplies and services are only at 37.7% of the budgeted amount at the midway point of the fiscal year. These figures, however, do not include encumbrances or funds designated for future purchases. Departments will continue to spend their remaining budgets over the next six months, with heavier spending historically occurring towards the end of the fiscal year. Non-Departmental expenditures, including debt service, are ahead of pace due to principal and interest payments paid in the first half of the year and only interest in the second half.
Two expenditure tables of the General Funds are provided below. One consists of Citywide salaries & benefits and supplies & services (Table 2 ); the second identifies how each department is trending compared to budgeted amounts (Table 3).
T able 2
Categ ory B udg et A ctual
% of
B udg et
S alaries & B enefits 129,142,199 60,757,134 47.0% S upplies & S ervices 37,103,097 13,990,612 37.7% T otal General E xpenditures 166,245,296 74,747,745 45.0% Operating T ransfers Out 23,486,478 13,682,450 58.3% Grand T otal 189,731,774 88,430,195 46.6%
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T able 3
Department B udg et A ctual
% of
B udg et
P olice 65,712,929 29,303,173 44.6%
F ire 33,440,527 15,333,911 45.9%
P ublic W orks 15,647,818 6,562,368 41.9% R ecreation 9,556,315 3,993,485 41.8% F inance 8,697,622 3,577,478 41.1% C ommunity Development 8,075,179 2,980,914 36.9% L ibrary 6,524,335 2,854,829 43.8% A dministration 3,048,674 1,479,862 48.5% Human R esources 2,326,387 1,092,867 47.0% C ity A ttorney's Office 1,064,254 467,401 43.9% C ity C ouncil 622,509 292,160 46.9% T otal General E xpenditures 154,716,548 67,938,449 43.9% Non-Departmental E xpenditures
Non Dept/T ransfers 23,486,478 13,682,450 58.3% Non Departmental 11,528,747 6,809,297 59.1% T otal Non-Departmental 35,015,225 20,491,747 58.5% Grand T otal 189,731,774 88,430,195 46.6%
SELECTED CAPITAL PROJECTS STATUS REPORT
A comprehensive review of all current Capital Projects funded by the General Funds and Road Improvement Funds within the Capital Improvement Program was conducted and a series of recommended de-appropriations and reallocations are summarized here and detailed in Section V, Recommended Budget Adjustments and Clean-up Actions of this report.
There is approximately $7.0 million in unexpended and unencumbered CIP funded by the General Fund, $8.5 million funded by Measure E, and $ 8.2 million funded by Measure G, for a total of $23.7 million as shown in Table 4. Staff recommend reallocating $2,287,735 to other CIP projects that need additional funding to move forward and de-appropriating $52,690, mostly due to projects being completed as included in Table 9 of this report . Any de -appropriation will result in the budget going back to the originating fund. For example, if Measure E funded a CIP project and the budget is de-appropriated, the unspent budget will be returned to Measure E fund balance for future use.
Within the Roads Funds, there is approximately $13.2 million in Transportation & Safety Tax (Measure X), $5.5 million in Senate Bill 1 (SB1), and $8.1 million in Gas Tax in unexpended and unencumbered CIP , for a total of $26.8 million, also shown in Table 4 . Staff recommend reallocating $1,413,528 to other CIP projects that need additional funding to move forward and de-appropriating $15,000, included in Table 9.
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Table 5 details the remaining unexpended and unencumbered budget in all Citywide CIPs at December 31, 2025 by category. A balance of $74.3 million is available halfway through the fiscal year for all funding sources.
Below are examples of what projects are included in the various categories.
Streets & Sidewalks: includes CIPs such as Pavements Improvements, Boronda Road Congestion Relief, Annual Pavement and Sidewalk Maintenance, and Sidewalk Improvements.
Infrastructure: Industrial Waste Lift Station, Storm Sewer Improvements, Sanitary Sewer Equipment, and Bridge Maintenance.
Recreation and Parks: District 5 Recreation Center, Firehouse Recreation Center, Hebbron Family Center, and various parks Citywide.
Pedestrian and Traffic Safety: Traffic Signal Installation, Streetlight Installations, Traffic Calming Improvements, and School Safety Enhancements.
City Facilities: Fire Station Repairs, EV Charging Infrastructure, Monterey Garage Improvements, and various projects at the Airport.
Other: Street Trees, Contamination Mitigation, No Parking Signage, and Residential Permi t Parking.
Housing and Homelessness : Chinatown Navigation Center Sprung Shelter, Chinatown Revitalization Plan, and the Permanent Homeless Shelter.
Technology: Permit Center Technology Upgrade, Geographics Information Systems, Fire Station Alerting System, and Video Data System Architecture.
T able 4
F und B alance
G eneral F und 7,012,816
Measure E 8,532,020
Measure G 8,150,701
Measure X 13,191,733
S B 1 5,499,513
G as T ax 8,138,388
T otal 50,525,170
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FUND BALANCE REVIEW
Table 6 identifies the unassigned General Funds fund balance as confirmed by the 2025 Annual Comprehensive Financial Report (ACFR) at $20.4 million. This is the amount not committed or assigned for other purposes, such as the Economic Contingency Reserve, Infrastructure Reserve, or capital project carryover.
Approximately $380,000 was used to balance the FY 2025-26 budget. On June 30, 2025, several City funds were projected to be in deficit, due to fact that they not generate and/or receive sufficient revenue, and therefore in need of General Fund assistance. Had the 2025 ACFR unassigned fund balance been available at the time the FY 2025-26 budget was being developed, staff would have been able to fully support the funds. This support reduces the projected fund balance to $13. 9 million.
Further, through current year Council action, subsequent appropriations have been approv ed including the addition of two positions in the Police Department and the purchase of two fire apparatuses, netted against the proceeds from the sale of City property at 342 Front Street . Three public safety labor agreements and a re-organization in the Public Works Department have been approved and are pending appropriations, which are also included in this mid-year recommended action. Certain funding for urgent facility repairs and the Mobile Crisis Unit budget were approved to carry over to the current fiscal year. All these actions further reduce the projected fund balance to $11.4 million.
Additional expenditure and revenue appropriations are being recommended and detailed in Section V, Recommended Budget Adjustments and Clean -up/Reallocate A ctions of this report. These include various personnel, non -personnel, and CIP requests which are partially offset by Utility User Tax revenue adjustments, CIP de -appropriations, and a lease revenue transfer, leaving the fund balance at $9.6 million.
The funds noted after the mid-year recommendations account for programs that have operating expenditures and no revenue source absent General Fund contributions. The amounts represent the projected contribution necessary to balance the first year of the Biennial Budget (FY 2026/27 – 2027/28). The FY 2027/28 amounts will be identified at the annual review, midway through the Biennial Budget therefore further reducing the projected unassigned fund balance. Given all T able 5
Categ ory B alance
S treets & S idewalk Improvements 26,489,583
Infrastructure 16,131,029
R ecreation & P arks 13,824,399
P edestrian & T raffic S afety 8,797,368
C ity F acilities 2,514,316
Other 2,341,492
Housing & Homelessness 2,279,071
T echnology 1,891,886
T otal 74,269,144
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the necessary adjustments and recommended actions to ensure the City is appropriately accounting for all of its General Fund obligations, the projected beginning fund balance on July 1, 2026, is $2.7 million. Staff will continue to monitor funds and update the projected unassigned fund balance throughout the remainder of the fiscal year.
T able 6
F Y 24-25 Unassig ned G F F und B alance per A CF R20,420,247 F Y 25-26 Use of F und Balance to Balance F Y 2025-26 Budget(379,086) P rojected - Deficit F unds:
E mergency Medical S ervices (95,990)
T raffic S afety (9,580)
S torm W ater (NP DE S ) (1,689,200)
Downtown P arking (2,928,140)
P roperty Insurance (79,590)
F leet Maintenance (1,382,100)
R ev ised P rojected F und B al13,856,561
A pprov ed by Council in current F Y :
LCS Carryover, Mobile Crisis, P D positions, F ire A pparatus(1,356,360) P OA Labor A greement 12/9/25 (662,546)
P MA Labor A greement 12/9/25 (203,950)
F S A Labor A greement 1/13/26 (55,842)
P W R e-Organization 1/13/26 (181,734)
E st F und B al at J une 30, 202611,396,129
Mid-Y ear R ecommendations:
Department P ersonnel R equests (202,500)
Department Non-P ersonnel R equests (3,518,350)
Department CIP R equests (277,200)
Utility User T ax (UUT ) 1,755,000
CIP De-A ppropriation 52,690
Lease R evenue T ransfer 399,858
E st F und B al at J une 30, 20269,605,627
P rojected F Y 2026-27 Contribution - Deficit F unds:
S torm W ater (NP DE S ) (3,525,449)
Downtown P arking (317,689)
F leet Maintenance (3,018,818)
F und B al at J uly 1, 20262,743,671
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RECOMMENDED BUDGET ADJUSTMENTS AND CLEAN -UP/REALLOCATION
ACTIONS
Table 7
General Fund Source Use
Revenue Adjustments
Utility Users Tax 1,755,000
Lease Revenue Transfer 399,858
Transfers to Deficit Funds
Emergency Medical Services 95,990
Traffic Safety 9,580
Storm Water (NPDES) 1,689,200
Downtown Parking 2,928,140
Miscellaneous Insurances (Property) 79,590
Fleet Maintenance 1,382,100
Approved Labor Agreements/Workforce Adjustments
POA Labor Agreement - approved by Council 12/9/25 662,546 PMA Labor Agreement - approved by Council 12/9/25 203,950 FSA Labor Agreement - approved by Council 1/13/26 55,842 PW Re-Organization - approved by Council 1/13/26 181,734 Personnel Adjustments
Public Service Maintenance Worker II (2.0 FTE) 59,900
Public Service Maintenance Worker III (1.0 FTE) 32,200
Emergency Vehicle Upfitter (1.0 FTE) 36,900
Payroll Supervisor (1.0 FTE) 30,300
Economic Development Analyst - unfreeze (1.0 FTE) 43,200 Supplemental Appropriations
City-wide Utilities 1,051,350
Measure G renewal consulting services 150,000
Love's Sales Tax Incentive 240,000
Replenish Budget Stabilization 1,000,000
Labor Contract Negotiations 30,000
Security - City Hall 40,000
Reclassification Study 20,000
Background Checks 25,000
Code Enforcement-Civica Law 75,000
Vehicle Maintenance - Parts 80,000
Vehicle Maintenance - Services 40,000
Fuel - Fire 20,000
Asset Management Software 48,000
Urban Forestry Contract 504,000
Homeless Encampment Cleanup 150,000
Work Truck for encampment cleanup position 45,000
CIP Appropriations/Deappropriations
65 W Alisal Improvements 277,200
West Wing Fire Dept. Renovation (9300) 320
Fire Hydrant Repairs (9411) 1,343
Fire Safety Gear & Equipment (9527) 413
Soccer Field Cesar Chavez Park (9005) 31
Geographic Information Systems (9161) 2
Improvements at City Facilities (9331) 112
Reroof Public Buildings (9718) 469
342 Front Street (9240) 50,000
Total Recommended Adjustments 2,207,549 11,286,722
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Table 8
Other Funds Source Use
Revenue Adjustments
Cash Transfer to Emergency Medical Services 95,990
Cash Transfer to Traffic Safety 9,580
Cash Transfer to Storm Water (NPDES) 1,689,200
Cash Transfer to Downtown Parking 2,928,140
Cash Transfer to Miscellaneous Insurances (Property) 79,590 Cash Transfer to Fleet Maintenance 1,382,100
Board-up services - code enforcement 100,000
Sanitary Sewer Revenue 6,280,000
Supplemental Appropriations
Utilities 22,800
Lease Revenue Transfer 399,858
Board-up services - code enforcement 100,000
Employee Physicals 20,000
Cybersecurity 100,000
RRR RSO Refunds 1,097,788
Administrative Overhead 505,000
MRWPCA Wash Water Diversion 300,000
Pump Rental for Industrial Waste 25,000
Consultant for design of sewer projects 600,000
CIP Appropriations/Deappropriations
65 W Alisal Improvements 164,700
Sewer Equipment 78,600
Fleet Consolidation Replacement (9226) 15,000
Total Recommended Adjustments 12,579,600 3,413,746
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Table 9
CIP Reallocation Amount
ED Element Implementation (9136) to Economic Development 200,000 Restroom Replacement (9048) to Parks Maintenance 40,000 Athletic Field Repairs (9737) to Parks Maintenance 44,691 Police Vehicle Replacement (9579) to Vehicle Replacement Fund 32,616 Fire Command/Staff Vehicles (9210) to Vehicle Replacement Fund 22,937 Fire Vehicle Apparatus Replacement (9540) to Vehicle Replacement Fund 3,362 Street Maintenance Equipment Replacement (9030) to Vehicle Replacement Fund 9,642 Street Maintenance Vehicle Replacement (9110) to Vehicle Replacement Fund 35,000 IWTF Flood Damage Repairs (9368) to Vehicle Replacement Fund 58,810 Alisal Safe Routes to School (9360) to City Cleanup Program (9068) 998 Alisal Safe Routes to School (9360) to ADA Transition Plan (9618) 594 Alisal Safe Routes to School (9360) to City Hall Improvements (9612) 95,574 IWTF Flood Damage Repairs (9368) to Sidewalk & Drainage Repairs (9720) 218,675 IWTF Flood Damage Repairs (9368) to Pavement Improvements (9981) 218,675 IWTF Flood Damage Repairs (9368) to Salinas Storm Water Management (9321) 135,210 IWTF Flood Damage Repairs (9368) to City Hall Improvements (9612) 190,601 IWTF Flood Damage Repairs (9368) to IW Treatment Facility Repairs (9794) 197,185 Salinas Dry Weather Storm (9075) to City Hall Improvements (9612) 30,580 Streets Trees (9105) to Tree Planting - Forest Mgmt Plan (9043) 3,750 Corp Ud Storm Drain NPDES (9138) to City Hall Improvements (9612) 14,760 Boiler Replacement (9147) to City Hall Improvements (9612) 61,322 Active Transportation Plan (9349) to City Hall Improvements (9612) 97,686 Garner Street Improvements (9503) to Monterey Garage Improvements (9395) 49,891 Tennis Court Improvement (9022) to Playground Improvements at Parks (9060) 262,691 Rec Center Improvements (9191) to Playground Improvements at Parks (9060) 125,000 Cesar Chavez Trail (9361) to Playground Improvements at Parks (9060) 24,882 Northgate Dog Park (9366) to District 5 Recreation Center (9342) 75,000 Closter Park Improvements (9451) to Closter Park Revitalization (9350) 37,602 Alisal Airport Multi-Use Trail (9034) to Striping & Signing Improvements (9081) 120,000 Street Maint Vehicle Replacement (9110) to Striping & Signing Improvements (9081) 21,318 Sanborn Rd/US 101 Impvts- Ag Ind Center (9117) to Striping & Signing Impr (9081) 17,402 San Juan Grade Rd Impr (9080) to San Juan Grade Rd Sidewalk & Lights (9363) 219,036 Street Tree Trimming (9237) to Tree Planting - Forest Mgmt Plan (9043) 6,788 T/S Buckhorn and Sanborn (9280) to Striping & Signing Improvements (9081) 50,500 Asset Management CCTV (9288) to Storm Sewer Drainage Repairs (9139) 206,725 Tree Stock & Material (9016) to Tree Planting - Forest Mgmt Plan (9043) 270,500 Pedestrian Crossing Enhancement (9188) to Pedestrian Safety Impr (9391) 68,660 Bridge Maintenance Program (9266) to City Bridges Rehab (9255) 4,310 Active Transportation Plan (9349) to Striping & Signing Improvements (9081) 6,660 Traffic Signal Coordination (9431) to Traffic Signal Installation (9654) 21,629 Pedestrian Safety Improvements (9391) to Harden Parkway Path and SRTS (9367) 400,000 Total 3,701,263
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Table 10
CIP Reallocation by Fund Amount
General Fund 1,139,075
Measure E 202,582
Measure G 946,078
Measure X 524,115
Gas Tax 889,413
Total 3,701,263
Recommended revenue and expenditure budget adjustments for all funds are identified and detailed below, beginning with the General Funds.
General Funds - Revenue
Utility User Tax ($1,755,000): Increase Utility User Tax estimate by $1,755,000 to reflect updated revenue projections based on current receipts and additional analysis relating to increases in utilities.
Lease Revenue Adjustment ($399,858): This is a technical adjustment for a c ash transfer of $399,858 from BSCC Grant to the General Fund to adjust the lease revenue category for City owned facilities.
General Fund - Expenditures
Emergency Medical Services ($95,9 90): A cash transfer from the General Fund is required to bring this fund out of the deficit. Historically the fund was used to record County Service Area (CSA) 74 revenue from the County and pay for various EMS related expenditures such as a portion of salaries and equipment. This fund is currently being phased into the General Fund, therefore a transfer will not be required as the General Fund will absorb expenditures. This City receives approximately $140,000 in EMS revenue annually.
Traffic Safety ($9,580): A cash transfer from the General Fund is required to bring this fund out of the deficit. This fund is currently being used to track and monitor traffic citation revenues received and expenditures are budgeted within this fund to pay for supplies and services related to the program such as monitoring of the red -light cameras. This City receives approximately $320,000 in Traffic revenue annually.
Storm Water NPDES ($1,689,200): A cash transfer from the General Fund is required to bring this fund out of the deficit. Historically, expenditures such as personnel and consultant services have been budgeted in this fund without a revenue source, and the fund generally operates with a deficit. Without a General Fund contribution, the fund will continue to operate in the deficit. This City receives approximately $100,000 in Storm Water revenue annually.
Downtown Parking ($2,928,140): A cash transfer from the General Fund is required to bring this fund out of the deficit. Historically, this fund has been used to pay for a portion of salaries, supplies, and expenditures related to the LAZ Parking agreement for the Monterey Street garage. 83 Page | 16
Without a General Fund contribution, the fund will remain in a deficit. This City receives approximately $525,000 in Downtown Parking revenue annually.
Property Insurance ($79,5 90): A cash transfer from the General Fund is required to bring this fund out of the deficit. This fund is used to pay for property insurance premiums and without a General Fund contribution, the fund will continue to operate in the deficit. This City receives approximately $100,000 in Property Insurance revenue annually.
Fleet Maintenance ($1,382,100): A cash transfer from the General Fund is required to bring this fund out of the deficit. This fund is used to pay for personnel and supplies and without a General Fund contribution, the fund will continue to operate in the deficit. Over the next two year s, staff will begin work on a cost allocation plan to identify these types of funds and charge departments appropriately.
POA Labor Agreement ($662,456): On December 9, 2025, City Council approved the POA labor agreement through the labor negotiation process. The new labor contract is for two years beginning January 1, 2026, through December 31, 2027. This increase covers the remainder of the fiscal year.
PMA Labor Agreement ($203,950): On December 9, 2025, City Council approved the PMA labor agreement through the labor negoti ation process. The new labor contract is for three years beginning January 1, 2026, through December 31, 2028. This increase covers the remainder of the fiscal year.
FSA Labor Agreement ($55,842): On December 9, 2025, City Council approved the FSA labor agreement through the labor negotiation process. The new labor contract is for one year beginning January 1, 2026, through December 31, 2026. This increase covers the remainder of the fiscal year.
Public Works Department Personnel Reorganization ($181,734) : On January 13 , 2026, City Council approved the Public Works workforce modification which included the addition of a Public Works Division Manager, various reclassifications, and salary adjustments for the Junior Engineer, Assistant Engineer, Associate En gineer, Sr. Civil Engineer, and Deputy City Engineer positions. This increase covers the remainder of the fiscal year.
Public Service Maintenance Worker II – 2.0 FTE ($59,900): An additional $59,900 for two (2) Public Service Maintenance Workers II positions to help meet the City’s growing operational demands related to the cleanup and mitigation of homeless encampments. Currently the City has one (1) full-time Public Service Maintenance Worker dedicated to homeless cleanups. The City also receives support through its contract with Smith and Enright, in addition to the Work Alternative Program.
Public Service Maintenance Worker III – 1.0 FTE ($32,200): An additional $32,200 fo r one (1) Public Service Maintenance Worker III to address the cleanup and mitigation of impacts associated with homeless encampments; and enable the deployment of simultaneous cleanup teams improving response efficiency and conditions in impacted areas th roughout the City. Currently the City has one (1) full-time Public Service Maintenance Worker dedicated to homeless cleanups.
The City also receives support through its contract with Smith and Enright, in addition to the Work Alternative Program.
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Emergency Vehicle Upfitter – 1.0 FTE ($36,900): An additional $36,900 for one (1) Emergency Vehicle Upfitter to support and sustain the City’s internal police vehicle upfitting program and to help eliminate the backlog of unbuilt units while reducing loss of warranty coverage.
Payroll Supervisor – 1.0 FTE ($30,300): An additional $30,300 for one (1) Payroll Supervisor to cross-train and ensure business continuity in Citywide Payroll. This ensures the City is prepared to monitor and manage updated state labor compliance laws, tax laws, pension plans, deferred compensation, numerous labor related vendors, and routine day to activities. Any of these activities can cause disruptions in the day -to-day process a nd adding capacity would ensure the City is preparing for unexpected disruptions rather than reacting which in most cases exacerbate disruptions.
Economic Development Analyst – 1.0 FTE, unfreeze ($43,200): An additional $43,200 to unfreeze one (1) Economic Development Analyst to support the economic development division and align with current council priorities. This position will support the department through research, analysis, and coordination of programs aimed at enhancing the local economy. The Analyst is expected to oversee the budget, property management, City assets, lease agreements and related consultant contracts. In creasing capacity will also allow the City to provide direct assistance to businesses, coordinate events, workshops and conduct outreach efforts.
City-wide Utilities ($1,051,350): An additional $1,051,350 to cover revised utility expenditures City-wide, including gas, electric, sewage, water, and garbage. The current budgeted amounts are insufficient to cover rising utility costs. In 2023, the California Public Utilities Commission (CPUC) published a letter reviewing utility rates, noting that electric utilities’ operating costs, which they recover through rates, have been increasing with California having the highest utili ty rates in the country. Although the electric utilities did not consistently track their wildfire mitigation costs as a separate category, these and other emergency-related costs, such as insurance, have also been key factors contributing to the increases in the electric utilities’ operating and overall expenses. The CPUC also noted that the increases in natural gas were due to unusual cold temperatures in early 2021 and early 2022 that created increased national demand; Russia’s invasion of Ukraine, which disrupted the natural gas supply beginning in early 2022 . In addition, according to the City’s energy solutions consultant, anticipated utility savings of approximately $7,000 annually will be realized as a result of the Solar Installation project at the El Gabilan Library and Public Safety Services Building. Once the debt payments have been completed, the City may realize savings up to $740,000 annually.
Measure G renewal consulting services ($150,000): An additional $150,000 for consulting services to assist with scientific polling and community education for the potential renewal of Measure G.
Love’s Sales Tax Incentive ($240,000): An additional $240,000 to comply with financial requirements of sales tax incentive agreement. The agreement began fo r sales tax revenues received quarter ending June 30, 2024 and is for seven (7) years or a maximum remittance of $1,650,00, whichever comes first.
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Replenish Budget Stabilization ($1,000,000): An additional $1,000,000 to replenish the budget stabilization account for unanticipated expenditures through the end of the fiscal year. $1 million was appropriated as part of the FY 25 -26 adopted budget, however the amount was exhausted during the first quarter due to allocations to the Chinatown Navigation Center, One Water Roadmap, emergency repairs of the Alisal and Griffen Box Culvert, Aquatic Center repairs, and more. The best practice for a Budget Stabilization account should target a range to cover unanticipated Citywide needs as well as projected revenue shortfalls. Staff will continue to analyze the need for increasing the Budget Stabilization account in the upcoming budget cycle to support unanticipated needs throughout the fiscal year.
Labor Contract Negotiations ($30,000): An additional $30,000 to cover outside attorney fees for labor contract negotiations of various labor groups. The City recently completed negotiations with three public safety units and continues with a fourth. City is also currently in negotiations with another labor group.
Security ($40,000): An additional $ 40,000 increase in security services at City Hall. Funding allows for an additional security guard as well as providing morning and afternoon coverage. This contributes to safe work environment for all City employees as well as visitors from the community.
Reclassification Study ($20,000): An additional $ 20,000 for outside consultant costs to assist with an employee reclassification study. The City received over 15 requests for reclassifications and the expense was not funded during budget adoption.
Background Checks ($25,000): An additional $ 25,000 to cover the cost of 15 firefighter backgrounds and 51- partial backgrounds, which cost $1,400 and $400 per person, respectively.
It can be challenging to anticipate the number of applicants for positions at any given time, therefore additional funding is being requested at this time.
Code Enforcement – Civica Law ($75,000): An additional $75,000 to fund outside legal consulting services for high profile cases related to Code Enforcement, including receiverships.
Vehicle Maintenance – Parts, Maintenance, and Fuel ($140,000): An additional $80,000 for parts and $40,000 maintenance and $20,000 for fuel for front-line fi re apparatuses . Current funding levels are insufficient to cover remainder of fiscal year.
Asset Management Software ($48,000): An additional $48,000 for asset management software of the City’s parks. At this time , all records relating to the maintenance of City parks and playground safety inspections are processed on paper. As outlined in the Parks, Recreation & Libraries Master Plan, asset management programs are a best practice for park operations to help manage current infrastructure and predict future capitol repair and replacement needs. In an effort to improve efficiencies and move to a data driven approach to maintenance planning and budgeting, the Library and Community Service department is seeking to implement CityWorks, a GIS based Asset Management System for parks. This system will allow for an electronic record of all assets (park benches, playground equipment, irrigation, etc.) in each park and maintain a record of all maintenance performed and assist staff in planning for replacement needs through an asset management plan.
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Urban Forestry Contract ($504,000): An additional $504,000 to maintain service levels for urban forestry efforts City -wide. Specifically, the funding would allow for continued cyclical pruning under the existing City-Wide Tree Maintenance and On-Call Service Contract.
Homeless Encampment Cleanup ($150,000): An additional $150,000 to address the growing operational demands related to the cleanup and mitigation of homeless encampments. Additional funds are needed to increase impact on affected areas.
Work truck for encampment cleanup position ($45,000): An additional $45,000 to purchase a vehicle for the Public Service Maintenance Worker assigned to homeless encampment cleanups.
65 W. Alisal Building Improvements – CIP 9087 ($277,200): An additional $227,200 for building improvements of City Facility lo cated at 65 W. Alisal, including remodeling of office space, restrooms, and plumbing infrastructure.
Other Funds - Revenue
Board-up services ($100,000): Miscellaneous Insurances. Increase revenue to reflect collection of receipts for code enforcement infractions.
Sanitary Sewer Revenue ($6,280,000): Sanitary Sewer. The City adopted a FY 25-26 budget of $3.7 million for sanitary sewer revenue under the existing rates. New Sanitary Sewer rates were approved by Council on September 23, 2025. This increase in revenue reflects the updated revenue projections per the City’s new sewer rates as determined by its consultant.
Other Funds - Expenditures
Utilities ($22,800): Mira Monte Assessment District and Airport Fund. An additional $ 22,800 to cover revised utility expenditures of the Mira Monte Assessment District and Airport Funds , including gas, electricity, sewage, water, and garbage. The current budgeted amounts are insufficient to cover rising utility costs.
Board-up services ($100,000): Miscellaneous Insurance Fund. An additional $100,000 for board- up services related to Code Enforcement. This is offset by the revenue collected from code enforcement infractions.
Employee Physicals ($20,000): Miscellaneous Insurances Fund. An additional $20,000 to fund employee physicals for new Firefighter positions. The cost for pre-employment and psychological exams is estimated at approximately $1,175 per applicant . Candidates could be referred for pre- employment and psychological exams due to non-medical clearance.
Cybersecurity ($100,000) : General Liability Fund. An additional $100,000 related to cybersecurity efforts City-wide. Funding is necessary to address recent cybersecurity breaches.
RRR / RSO Refunds ($1,097,788): Rental Registration / Rent Stabilization Fund. An additional $1,097,788 to process refunds for the residential rental registration / rent stabilization program. 87 Page | 20
Excess revenue over expenditure funds need to be returned to property owners as approved by the Council on February 24, 2026.
Administrative Overhead ( $505,000): Airport , Industrial Waste, Parking Enforcement, and Permit Services Funds. An additional $505,000 to revise administrative overhead costs of select Enterprise funds. Due to additional analysis and true-up done at year end for the prior year, t he current budgeted amounts are insufficient to cover the projected annual costs in each fund.
MRWPCA Wash Water Diversion ($300,000): Industrial Waste Fund. An additional $300,000 to divert wastewater to Monterey 1 Water at the Industrial Wastewater Treatment Facility if needed.
Pump Rental for Industrial Waste ($25,000): Industrial Waste Fund. An additional $25,000 for equipment rental necessary for Industrial Waste. Staff determined necessary the rental of 4 six- inch portable pumps to aerate the water on pond 1 to mitigate an odor issue.
Consultant for design of sewer projects ($600,000) : Sanitary Sewer Fund. An additional $600,000 for the Design Plans, Specifications, and Estimate (PS&E) service s for identified projects in the City of Salinas Sewer Rate Study dated June 24, 2025.
65 W. Alisal Building Improvements – CIP 9087 ($164,700): Permit Services Fund. An additional $164,700 for building improvements of City Facility located at 65 W. Alisal, including remodeling of office space, restrooms, and plumbing infrastructure.
Repairs to Lift Stations – CIP 9743 ($78,600): An additional $78,600 for a back-up motor and pump at Lake Street Sewer Pump Station. Due to planned upgrades at the Lake Street Sewer Pump station, one of the 30HP motor and pumps needs to be replaced with a 35HP motor and pump. It is necessary to have a 35HP back-up motor and pump in case of motor and/or pump failure so the facility can operate at full capacity.
FINANCIAL FORECAST
The financial forecast model includes revenues and expenditure projections and are based on the most current information available, taking into account historical trends, current-year performance through mid-year, projected development activity, and scheduled changes in various fees and rates.
It is important to note that Measure G is set to expire in 2030. The projected revenue for the measure is represented in both FY 2030-31 columns. One column represents general fund revenue with Measure G and the column farthest to the right represents general fund revenue without Measure G.
The FY 2025-26 and subsequent year expenditure projections include estimated Citywide savings and adjustments to reflect labor agreements, CalPERS pension contributions, retiree healthcare contributions, scheduled debt service payments, and contractual obligations. It is important to note that certain City labor agreements are scheduled to expire within 2026 and therefore salary adjustments are not included in the forecast . Compensation increases for Police Manager’s Association, Police Officers Association, and Fire Supervisors Association have been assumed in 88 Page | 21
FY 2025 -26 and subsequent year expenditure projections. It is also important to note that no compensation increases are projected for any labor agreements that have not been negotiated.
As this forecast is preliminary, the expenditures shown on the table represent a “base budget” that delivers the existing level of services with no assumed staffing increases. These expenditure and revenue levels may increase or decrease as the Biennial (FY 2026/27 – FY 2027/28) Proposed Operating Budget is developed with the benefit of additional information, including any recommendations for service level enhancements.
FY 2026/27 – FY 2027/28 OPERATING AND CAPITAL IMPROVEMENT PROGRAM (CIP) BUDGETS
Staff has started budget development work for the next fiscal year, including updating the Five - Year Financial Forecast, identifying critical City needs, contractual obligation s, unfunded mandates, potential adjustments to the Fee Schedule, and other analyses. While a thorough review is generally conducted halfway through the fiscal year, staff continue to monitor the current budget revenues and expenditures with the primary foc us of ensuring that available City resources are appropriately allocated to meet the priority service needs of the community. City Council is tentatively scheduled to hold a public hearing on the Proposed Biennial Budget (FY 2026/27 – FY 2027/28) on June 16, 2026.
T able 11
City of Salinas
Amended
Budget Projected
with
Measure G
without
Measure G
5-Year Financial Forecast FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2030-31 Revenues:
Sales Tax $91,015,000 $93,845,567 $96,764,164 $99,773,529 $102,876,486 $106,075,945 $65,887,946 Property Taxes 41,531,000 42,880,758 44,231,501 45,624,794 47,066,537 48,553,840 48,553,840 Utility Users Tax 14,003,000 14,493,105 15,000,364 15,525,376 16,068,765 16,631,171 16,631,171 Franchise Fees 10,181,000 10,384,620 10,592,312 10,804,159 11,020,242 11,240,647 11,240,647 Licenses & Permits 7,552,500 7,665,788 7,780,774 7,897,486 8,015,948 8,136,187 8,136,187 Charges for Services 6,342,260 6,532,528 6,728,504 6,930,359 7,138,270 7,352,418 7,352,418 Transient Occupancy Tax 3,119,000 3,181,380 3,245,008 3,309,908 3,376,106 3,443,628 3,443,628 Other Revenue 10,808,200 10,826,790 10,845,752 10,865,093 10,884,821 10,904,943 10,904,943 Total Revenues: $184,551,960 $189,810,534 $195,188,378 $200,730,703 $206,447,174 $212,338,778 $172,150,780 Potential Revenues:
Amazon Revenue $0 $4,000,000 $6,000,000 $8,000,000 $8,000,000 $8,000,000 $4,976,000 Total Potential Revenues: $0 $4,000,000 $6,000,000 $8,000,000 $8,000,000 $8,000,000 $4,976,000 Total Revenues: $184,551,960 $193,810,534 $201,188,378 $208,730,703 $214,447,174 $220,338,778 $177,126,780 Expenditures:
Salaries $65,955,085 $70,084,398 $73,411,731 $76,602,124 $79,647,026 $82,810,795 $82,810,795 Benefits 60,400,488 63,921,727 66,326,160 69,869,959 71,736,754 73,688,741 73,688,741 Services and Supplies 30,743,334 31,022,449 31,949,192 32,903,564 33,886,386 34,898,502 34,898,502 Other Operating 4,281,603 5,281,603 5,281,603 5,281,603 5,281,603 5,281,603 5,281,603 Internal Service Funds 2,668,559 2,701,931 2,735,969 2,770,689 2,806,102 2,842,224 2,842,224 Debt Service 10,562,900 8,735,828 8,104,826 7,757,036 7,835,972 7,885,105 7,885,105 Transfers Out 11,855,500 14,445,775 15,168,064 15,926,467 16,722,790 17,558,930 17,558,930 Total Expenditures: $186,467,470 $196,193,711 $202,977,546 $211,111,443 $217,916,634 $224,965,902 $224,965,902 [Rev - Exp] Over / (Under): ($1,915,510) ($2,383,176) ($1,789,168) ($2,380,740) ($3,469,461) ($4,627,123) ($47,839,122) 89 Page | 22
In FY 2025 -26, the budget was balanced with a 5% vacancy factor, use of a reserve, and fund balance. Due to proactive recruitment, reorganizations, and retention efforts, the City is experiencing lower vacancies. This supports the need to revisit the vacancy factor in the upcoming budget cycle. The City also recently completed labor negotiations with three public safety groups and will begin negotiations with all other labor groups in 2026 – all of which have not been included in the current budget or the financial forecast.
Providing services to the community in future fiscal years will require strong revenue performance of the City’s economically sensitive revenues to offset continued projected cost increases. The upcoming Biennial Budget (FY 2026/27 – 2027/28) development process will endeavor to maintain essential public services while controlling operational costs and considering the Five- Year Forecast, which predicts operating revenue shortfalls in subsequent fiscal years with certain assumptions.
The adjustments brought forward in this report reflect the City’s best estimate of the financial performance of the City’s funds based on activity throughout the first half of the fiscal year. While economic conditions appear to be stable, the City will need to remain prepared to adjust revenue and expenditure projections further if necessary.
Several other requests were identified by staff and are currently under review . These reviews consist of discussions to identify and fully understand organization needs, expected responsibilities and qualifications, highlighting current challenges within those identified divisions/departments/program areas, workload review, and industry benchmarks. All of these requests will be considered as part of the FY 2026/27 & 2027/28 two-year budget or sooner should the reviews be completed before the new 2 -year budget process. These requests are from across several departments, including Police, Fire, Library and Community Services, the City Clerk, and the City Manager’s Office.
Some of the position requests identified include a Deputy Chief of Police to ensure programs have the appropriate level of oversight , an Evidence Technician to address backlogs , a Community Outreach Assistant to address community facing programs , a Senior Park Maintenance Worker and Parks Maintenance Worker to stand up a second team to assist with parks maintenance and oversight since currently there is only one team. T hree ( 3) Fire Engineers and three ( 3) Fire Captains were requested to address increased call volume and service delivery demands. A Public Records Coordinator was requested to centralize public records requests, manage the City’s repository for records, and assist departments with records requests and records retention needs.
A Communications Coordinator was requested to increase capacity in the Communications Division, and an Executive Assistant was requested to assist with the day -to-day administrative functions and workload requirements.
The City will continue to closely monitor performance and provide status reports to Council at the budget study session in May and budget adoption in June . These reports will highlight any significant developments and identify potential budget actions necessary to ensure the City’s funds remain in balance. Once we transition to the 2-year budget, staff will conduct an annual Mid-Year review and an annual review halfway through the 2 -year budget. Any unfunded needs during the budget process may also be revisited at any time throughout the year. Additional updates may be 90 Page | 23
provided as necessary. Diligent monitoring, continued budgetary discipline, and timely actions are critical components to maintaining the City’s fiscal health.
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).
CALIFORNIA GOVERNMENT CODE §84308 APPLIES:
No.
STRATEGIC PLAN INITIATIVE:
Monitoring the growth of revenues and expenditures, including determining when supplemental appropriations are necessary, supports the City Council 2025 Strategic Goal of City Services ensuring fiscal responsibility and finance management.
DEPARTMENTAL COORDINATION:
This staff report was coordinated by Finance and the City Manager’s Office.
FISCAL AND SUSTAINABILITY IMPACT:
The revenue and expenditure adjustments recommended in this mid -year review would have a significant fiscal impact as detailed in the tables and narrative of Section V, Recommended Budget Adjustments and Clean-up Actions of this report.
ATTACHMENTS:
Resolution
91 1
RESOLUTION NO. ______ (N.C.S.)
A RESOLUTION APPROVING BUDGET ADJUSTMENTS AND
SUPPLEMENTAL APPROPRIATIONS TO THE FISCAL YEAR 2025-26
OPERATING AND CAPITAL BUDGETS FOR THE CITY OF SALINAS
WHEREAS, on June 17, 2025, the City Council of the City of Salinas adopted the Fiscal Year 2025-26 Operating and Capital Budgets; and
WHEREAS, on March 24, 2026, the City Council of the City of Salinas met and reviewed the mid-year budget and considered staff’s recommended budget adjustments.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Salinas, that the Council hereby accepts the Fiscal Year 2025-26 Mid-Year Budget Review report; and
BE IT FURTHER RESOLVED by the City Council of the City of Salinas , that the Council hereby approves supplemental revenue and expenditures appropriations, the CIP de - appropriations and reallocations, and use of fund balances as needed for fiscal year 2025-26 up to the amounts listed on the accompanying staff report.
PASSED AND APPROVED this 24th day of March, 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
______________________________________
Dennis Donohue, Mayor
ATTEST:
______________________________________
Patricia M. Soratos, City Clerk
92 City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-108, Version: 1
Minutes
Approve minutes of March 17, 2026.
City of Salinas Printed on 3/19/2026Page 1 of 1
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93 City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-114, Version: 1
Minutes
Approve minutes of February 24, 2026.
City of Salinas Printed on 3/12/2026Page 1 of 1
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94 City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-016, Version: 1
Treasurer’s Report - Quarter Ended December 31, 2025
Accept the Treasurer’s Report for FY 2025-26 second quarter ended December 31, 2025.
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CITY OF SALINAS
COUNCIL STAFF REPORT
DATE: MARCH 24, 2026
DEPARTMENT: FINANCE
FROM: SELINA ANDREWS, FINANCE DIRECTOR
TITLE: TREASURER’S REPORT – QUARTER ENDED DECEMBER 31,
2025
RECOMMENDED MOTION:
A motion to a ccept the Treasurer’s Report for FY 2025 -26 second quarter ended December 31, 2025.
EXECUTIVE SUMMARY:
The Treasurer’s Report is required to be submitted to the City Council at least quarterly in accordance with California Government Code Section 53600 et. seq. The purpose of the Treasurer’s Report is to update the City Council and the public on the status of the City’s cash balances and investments. The scope of this report covers the second quarter of the 2025-26 fiscal year ending December 31, 202 5, and complies with the State’s reporting requirements. Going forward, staff will present a Treasurer’s Report to Council and highlight material changes between reporting periods.
BACKGROUND:
In February 2022, the City contracted with Chandler Asset Management to provide non- discretionary investment advisory services. Staff is working in conjunction with Chandler to ensure cash and investments adhere to the principles of safety, liquidity, and yield.
On December 31, 2025, the value of the City’s total portfolio is $217.1 million. The City’s market value balance increased by $1.6 million with an end balance of $218.7 million. The funds are as follows:
96 Page | 2
On February 17, 2026, staff presented a status review of General Fund and Road Improvement Fund CIPs to the Finance Committee. As part of the review, staff developed comprehensive timelines for 60 projects, including beginning and ending dates as well as key milestones along the way. Staff recommended de -appropriating approximately $300 thousand, resulting in the amount being returned to fund balance and available for future use. Staff also recommended re - allocating another $3.4 million to other projects that need additional funding to move forward.
CIP carryover in all funds on December 31, 2025 totals $114.2 million and reserves amounts total another $40.4 million.
97 Page | 3
The overall portfolio is well diversified with $110.4 million invested in marketa ble securities, $45.6 million is invested in LAIF, $26 Million invested in money markets that are considered liquid (Money markets and cash held in investment accounts), and $35.3 million held in banking institutions. Staff, in conjunction with our financial advisors, periodically review the mix of liquid and long-term investments and adjust the portfolio according to the market conditions and our short-term cash needs.
Staff thoroughly review investment statements and make appropriate inquiries about its investment advisors to confirm the existence and viability of the City’s assets. The City invests conservatively in investment policy options in accordance with California State Government Code. The long-term assets are in securities that can be held to m aturity, thus are less vulnerable to the fluctuations of the market. All securities comply with the City’s investment policy. There are sufficient funds to meet the City’s expenditure requirements for the next six months.
The distribution of investments are displayed in the following charts:
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The second quarter Treasurer’s Report for the period ending December 31, 2025 containing detailed information is attached.
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).
In addition, CEQA Guidelines Section 15061 includes the general rule that CEQA applies only to activities which have the potenti al for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Because the proposed action and this matter have no potential to cause any effect on the environment, or because it falls within a category of activities excluded as projects pursuant to CEQA Guidelines section 15378, this matter is not a project. Because the matter does not cause a direct or foreseeable indirect physical change on or in the environment, this matter is not a project. Any subsequent discretionary projects resulting from this action will be assessed for CEQA applicability.
CALIFORNIA GOVERNMENT CODE §84308 APPLIES:
No.
STRATEGIC PLAN INITIATIVE:
This item achieves the City Council 2025 Strategic Goal of City Services ensuring fiscal responsibility and finance management.
DEPARTMENTAL COORDINATION:
This staff report was coordinated with the City Manager’s Office and City Attorney’s Office.
FISCAL AND SUSTAINABILITY IMPACT:
Fund
General Ledger Number
(Operating/CIP)
General Ledger Account
Name
Remaining Budget
Appropriation
Amount Requested
N/A N/A N/A N/A N/A
ATTACHMENTS:
Treasurer’s Report – Quarter ended December 31, 2025
100
ATTACHMENT 1
CITY OF SALINAS
TREASURER'S REPORT
FOR THE QUARTER ENDED December 31, 2025
Security Held Book Value Market Value
BNY Custody 132,982,490 134,469,508 Local Agency Investment Fund (LAIF) 45,597,049 45,696,519 Total 178,579,539 180,166,027
101
ITEM
102
ATTAC
103
ITEM
ATTACHMENT 1
ATT
ACHM
ENT 1
104
ATT
105
ATTA
106
ATTAC
107
ATTA
108
ATTA
ATTA
CHM
ENT 1
109
ATTACHMENT 1
ITEM 9.10.
ATTACHMENT 1
110
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-075, Version: 1
Public Works Quality Assurance Program (QAP)
Approve a Resolution approving the City of Salinas Public Works Quality Assurance Program (QAP) and authorizing the Public Works Director, or designee, to update the QAP as required to maintain compliance with state and federal regulations.
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CITY OF SALINAS
COUNCIL STAFF REPORT
DATE: MARCH 24, 2026
DEPARTMENT: PUBLIC WORKS
FROM: DAVID JACOBS, PUBLIC WORKS DIRECTOR
BY: ADRIANA ROBLES, PE, CFM, CITY ENGINEER
OSCAR ESPINOZA, PE, SENIOR CIVIL ENGINEER
TITLE: PUBLIC WORKS QUALITY ASSURANCE PROGRAM (QAP)
RECOMMENDED MOTION:
A motion to approve a resolution approving the City of Salinas Public Works Quality Assurance Program (QAP) and authorizing the Public Works Director, or designee, to update the QAP as required to maintain compliance with state and federal regulations.
EXECUTIVE SUMMARY:
The City maintains a Quality Assurance Program (QAP) that outlines procedures for materials testing, inspection, and documentation. The QAP is required for projects receiving state or federal funding, including those administered through the Caltrans Local Assistance Program.
BACKGROUND:
The City of Salinas Public Works Department is responsible for delivering capital improvement projects, main taining public infrastructure, and ensuring that construction activities meet applicable engineering, safety, and regulatory standards, to support these responsibilities. The city maintains a Quality Assurance Program (QAP) that outlines procedures for materials testing, inspection, and documentation. The QAP is required for projects receiving state or federal funding, including those administered through the Caltrans Local Assistance Program.
The City’s previous QAP was adopted by the city council on April 13, 2021, through resolution No. 22078. Since then, Caltrans has updated its Local Assistance Procedures Manual (LAPM), and federal requirements for materials testing, certifi cation, and documentation have evolved. A comprehensive update is necessary to ensure continued eligibility for funding and to strengthen internal quality controls.
The updated Quality Assurance Program provides a modernized, compliant, and efficient framework for managing construction quality across Public Works projects.
112
Page | 2
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).
In addition, CEQA Guidelines Section 15061 includes the general rule that CEQA applies only to activities which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that the re is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Because the proposed action and this matter have no potential to cause any effect on the environment, or because it falls within a category of activities excluded as projects pursuant to CEQA Guidelines section 15378, this matter is not a project. Because the matter does not cause a direct or foreseeable indirect physical change on or in the environment, this matter is not a project. Any subsequent discretionary projects resulting from this action will be assessed for CEQA applicability.
CALIFORNIA GOVERNMENT CODE §84308 APPLIES:
No.
STRATEGIC PLAN INITIATIVE:
This item relates to the Council’s Strategic Plan for infrastructure. The quality assurance program ensures that contractors are installing materials in compliance with state and federal regulations.
DEPARTMENTAL COORDINATION:
Engineering department prepared the QAP program with the assistance of Caltrans Local Assistance Procedures Manual.
FISCAL AND SUSTAINABILITY IMPACT:
Approval of the QAP does not create a direct fiscal impact. Costs associated with training, materials testing, and documentation are included in project budgets and are eligible for reimbursement on applicable state and federal projects.
Fund
General Ledger Number
(Operating/CIP)
General Ledger Account
Name
Remaining Budget
Appropriation
Amount Requested
NA NA NA NA NA
ATTACHMENTS:
Quality Assurance Program
Resolution No. 22078
113
1 RESOLUTION NO. (N.C.S.)
A RESOLUTION APPROVING THE PUBLIC WORKS QUALITY ASSURANCE
PROGRAM
WHEREAS, the City of Salinas Public Works Department is responsible for the planning, design, construction, and maintenance of public infrastructure, including streets, sidewalks, stormwater systems, sanitary sewer systems, and public facilities; and WHEREAS, sta te and federal agencies, including the California Department of Transportation (Caltrans) and the Federal Highway Administration (FHWA), require local agencies receiving transportation or infrastructure funding to adopt and maintain a Quality Assurance Program (QAP); and
WHEREAS, the Quality Assurance Program establishes policies, procedures, and documentation standards to ensure that materials testing, construction inspection, and project administration are performed in accordance with applicable regulatio ns, engineering standards, and industry best practices; and
WHEREAS, the Public Works Department has prepared an updated Quality Assurance Program that consolidates existing procedures, strengthens compliance, and supports the City’s eligibility for state and federal funding; and
WHEREAS, the City Council finds that acceptance of the Quality Assurance Program is in the best interest of the City and will support consistent, high -quality delivery of public works projects.
NOW, THEREFORE, BE IT RESOLVED that t he Salinas City Council hereby approves the Public Works Quality Assurance Program (QAP) attached hereto as Exhibit A; and BE IT FURTHER RESOLVED that the Public Works Director or designee is hereby authorized and directed to update the QAP as necessary to meet federal, state and local requirements.
PASSED AND APPROVED this 24th day of March 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
________________________
Dennis Donohue, Mayor
114
2 ATTEST:
_________________________
Patricia M. Soratos, City Clerk
Exhibit A: Quality Assurance Program
115
SALINAS
RICH IN LAND I RICH IN VALUES
CITY OF SALINAS
PUBLIC WORKS DEPARTMENT
QUALITY ASSURANCE PROGRAM (QAP)
Approved By: Date: Stamp:
___________________________ _______________ David Jacobs, Public Works Director March 10, 2026 116
2 TABLE OF CONTENTS
1. GENERAL Page 3
2. DEFINITION OF TERMS Page 4
3. MATERIALS ACCEPTANCE PROGRAM page 4
Field Sampling and Acceptance Testing
General
Test Methods to be Used
Laboratory to Perform Acceptance Testing
Sampling and Testing Locations and Frequencies
Reporting Test Results
Acceptance Testing Summary Logs
Manufacturer’s Certificates of Compliance
General
Materials Accepted by a Certificate of Compliance
Source Inspection and Testing
Visual Inspection of Small Quantities
General
Approximate Quantities That May Be Accepted by Visual Inspection
4. INDEPENDENT ASSURANCE PROGRAM page 8
General
Laboratory Qualification
Tester Certification
Equipment Calibration
Resident Engineers’ Certification of Project Materials page 10
5. PROJECT QAP RECORDS page 10
6. ATTACHMENTS page 11
1. Sampling and Testing Frequency Table for projects off the State Hwy System
2. Test Result Summary Log
3. List of Materials Accepted by Certificate of Compliance and back up information 117
3 1. GENERAL
The City of Salinas’ (City) Quality Assurance Program (QAP) has been developed by the City to provide guidelines for testing of construction materials and assurance that the materials incorporated into the construction projects are in conformance with the contract specifications. The City’s QAP is updated a minimum of every five years to address changes to project specifications, materials, and updates to the testing methods. The QAP is incomplete without Attachment 1 through 3.
Variations for Projects On or Off the SHS
The requirements of a QAP depend whether the project is on or off the SHS.
Projects OFF the State Highway System (SHS), follow the QAP outlined in this document
Projects ON the State Hwy System, follow the QAP outlined in Caltrans manual, Section 2.3 QAP Requirements for projects on the SHS:
QAP Documents
These QAP documents are to be used:
The California Department of Transportation (Caltrans) Construction Manual Construction Manual Supplement for Local Agency RE’s per LAPM chapter 16.11 Local Assistance Structure Representatives Guidelines per LAPM chapter 16.11 The Caltrans Independent Assurance (IA) Manual
The Caltrans Construction Manual provides the frequency of acceptance testing and outlines the acceptance testing program. The Caltrans IA Manual details the Caltrans Independent Assurance Program to be followed that has been approved by FHWA.
These manuals are available at the following websites:
https://dot.ca.gov/programs/construction/construction-manual https://dot.ca.gov/-/media/dot-media/programs/construction/documents/policies-procedures- publications/construction-manual/cm-supplement-lare-a11y.pdf https://dot.ca.gov/programs/construction/publications
https://dot.ca.gov/programs/engineering-services/manuals Plans and Specifications
Caltrans and local agency projects on the SHS are required to use Caltrans approved plans specifications.
Test Methods
On Caltrans (CT) and local agency projects on the SHS, CT methods are required to be 118
4 followed. All CT methods are available at the following website:
California Tests (CT) | Caltrans
2. DEFINITION OF TERMS
Quality Assurance Program (QAP): A sampling, testing and inspection program to provide assurance that the materials and workmanship incorporated into the project conform to the contract specifications.
The mai n elements of a QAP are a Material Acceptance Program and an Independent Assurance Program that meets the criteria in 23 CFR 637
Acceptance Testing Testing of project materials to determine compliance with the contract specification criteria.
Certificate of
Compliance
A signed document from the material manufacturer
committing that the delivered goods meet the contract
specifications.
Independent Assurance
Program (IAP)
A program that verifies that acceptance testing is being performed correctly by certified testers using accredited laboratories and calibrated equipment.
Materials Acceptance
Program
Sampling, testing, inspection, and certification of project materials to determine compliance with the contract
specifications.
Quality Assurance
Program (QAP)
A program that will ensure materials and workmanship
incorporated into the project conform to the contract
specifications. The main elements of a QAP are the Material Acceptance Program and the Independent Assurance
Sampling and Testing Program.
Source Inspection
Sampling, testing, and/or inspection of manufactured or prefabricated structural materials at a location other than the job site, generally at the manufactured location.
3. MATERIALS ACCEPTANCE PROGRAM
Material incorporated into the work is accepted by one or more of the following methods, as specified in the contract specifications and this document:
Field Sampling and Acceptance Testing
Manufacturer’s Certificate of Compliance
Source Inspection and Testing
Visual Inspection
119
5 Field Sampling and Acceptance Testing:
Acceptance sampling and testing are performed by certified materials personnel. Acceptance testing is performed utilizing accredited materials laboratories and properly calibrated equipment.
Certifications and accreditations are specific to the tests being performed. A materials testing results log is maintained for any test method performed more than once on a project.
Test results for materials incorporated into the work are to be in compliance with the contract specifications.
Actions taken regarding material with failing test results will be fully documented, including details documenting remove/replace, rework/re-test, and deduction/change order. Justification will be provided for any failing material allowed to remain in-place.
Acceptance Sampling and Testing Locations / Frequencies:
Sample and testing locations and frequencies are to be in accordance with the contract specifications.
If not specified in the contract documents, sampling and testing locations / frequencies are shown in Attachment 1: Acceptance Sampling and Testing Frequencies. When sampling products such as Portland Cement Concrete, cement-treated base, hot mix asphalt, or similar materials, sampling is varied with respect to the time of the day, in so far as possible, in order to avoid a predictable sampling routine.
Acceptance Test Methods
The test methods used are as specified in the contract documents. If not specified, testing is done with the California Tests (CT) Method.
For a material specified to comply with a property shown in the following table, testing is performed utilizing the noted test method(s):
Test Property Test
Relative compaction CT 216 & CT 231
Sand Equivalent CT 217
Resistance (R-Value) CT 301
Grading (sieve analysis) CT 202
Durability Index CT 229
Cleanness Value CT 227
Test Methods equivalents to the test listed above require written approval.
Acceptance Materials Testing Laboratory
Acceptance testing will be performed as applicable by one or more of the following:
a) Consultant Materials Testing Laboratory
b) Other as specified and authorized by City of Salinas – Public Works Department 120
6 The materials laboratory is under the responsible management of a California Registered Engineer with experience in sampling, inspection, and testing of construction materials. The Engineer will certify the results of all tests performed by laboratory personnel under the Engineer’s supervision.
The Materials Laboratory is properly accredited.
The Materials Laboratory testing personnel are appropriately certified. Testing equipment is properly calibrated.
Materials Laboratories will comply with Section IV. Independent Assurance Program (IAP) of this document.
Reporting Acceptance Test Results
Submit the laboratory test results reports to the Resident Engineer (RE) as soon as possible by email or telephone.
Copies of the complete material test result reports, including data and calculation sheets, are provided to the RE in accordance with the following timetable:
Acceptance Testing Summary Logs
The RE maintains a testing summary log for each test method performed on the project utilizing Attachment 2: Test Result Summary Log.
Test results Summary Log shall include, at minimum, the following:
Name and ID Number of the Test Method Performed
Date Tested
Name of Tester
Location Approximate Quantity of Material Represented by the Test Required Passing Result
Actual Test Result
Resolution of any Failing Results
The logs are used by the RE to track that:
Sampling is performed at the required frequencies.
Acceptance tests are performed at the required frequencies.
If the material is sampled
…
and the test performed is … submit results to the RE
within …
at the material plant Sieve Analysis or
Sand Equivalent (SE) or
Cleanness Value (CV)
24 hours
at the jobsite Compaction and/or
maximum density
24 hours
Sieve Analysis or
Sand Equivalent (SE) or
Cleanness Value (CV)
72 hours
R value or
Asphalt extraction
96 hours
121
7 Tester certifications are current and on file.
All failing tests have been mitigated and documented.
Manufacturer’s Certificate of Compliance:
• Various manufactured materials may be accepted for incorporation into the work without sampling or testing, based on the following:
Visual examination of material is performed
Supplier has furnished similar material with a history of having met specifications Manufacturer certification that materials comply with contract specifications The products, materials, or assemblies do not involve structural integrity or safety to the public
• Where required by the contract specifications, the contractor must submit a certificate of compliance and comply with Buy America certification requirements as applicable. • Where required by the contract, the contractor must attach test data or other documents to the certificate of compliance.
• The RE may perform sampling and testing on such materials at any time. • Certificates of compliance must:
• Be submitted by the Contractor before the material is incorporated into the work; • Accompany the material to the job site.
• Identify the lot (or heat) number for each lot delivered; • Include the contract number;
• Include test data and other documents when required.
• State that the material complies with the contract specifications; and • Be signed by the producer of the material.
List of Materials Accepted by Certificate of Compliance
This agency uses the Caltrans 2023, Caltrans 2024, and 2008 City of Salinas Standard Specifications.
In accordance with the Caltrans 2023, Caltrans 2024, and 2008 the materials listed in Attachment 3 may be accepted by Certificate of Compliance This list may be supplemented or amended by the contract Special Provisions or Technical Provisions.
Source Inspection and Testing
Some manufactured or pre-fabricated structural materials will be inspected or tested prior to arrival at the jobsite, generally at the manufacturer’s location (a.k.a. source inspected.)
Structural items categorized as “catastrophic consequences of failure ” or “significant safety concern” may be source inspected. Materials that might be source inspected include structural steel, precast pre -stressed concrete girders and pilings; RCP greater than 60”, joint seals, bearing pads, lighting and signal poles, sign structures, electrical items.
122
8 The RE may reject source inspected material at the job site if deemed not acceptable, including:
Material damage in shipment or installation;
Defective material (source inspection is usually a random sampling and may not have checked 100% of the material.)
One or more of the following materials laboratories will be used to perform source inspection and testing:
a. Consultant Materials Testing Laboratory
b. Other as specified and authorized by City of Salinas – Public Works Department Acceptance of Minor Quantities Without Testing (Visual Inspections) General:
Relatively minor quantities of construction materials may be accepted without testing. The following 3 conditions must be met:
1. Visual examination of the material is performed.
2. The manufacturer or supplier has recently furnished similar materials found to be satisfactory using normal sampling and testing requirements.
3. The manufacturer (or supplier in the case of HMA or concrete) provides certification that the material furnished complies with the contract specifications.
Approximate quantities that may be accepted by visual inspection:
Aggregates other than for use in Portland Cement Concrete, not to exceed:
100 tons per day, nor
500 tons per project
Bituminous mixtures (example: HMA), not to exceed:
50 tons per day, nor
If project total is less than 500 tons, sample at engineer’s discretion Bituminous material (example: Liquid Asphalt), not to exceed:
100 gallons per project
4. INDEPENDENT ASSURANCE PROGRAM (IAP)
General:
• The IAP verifies that:
• Sampling and testing procedures are being performed correctly. • All acceptance testing (AT) performed on the project uses an accredited laboratory and certified testing personnel.
• All testing equipment is in good condition and properly calibrated. • A complete review of AT shall be performed by IAP personnel, or an independent materials laboratory chosen by the agency, when unresolved discrepancies related to poor correlation between acceptance tester’s results and other test results occur. 123
9 • The IAP duties, including certification of testers and qualification of lab, shall be executed by:
a) Local Agency designated IAP person (Assigned by City Engineer) b) Caltrans (for CT test methods only)
c) Consultant (this consultant shall be different from AT consultant) • Independent assurance samples and tests are not to be used for determining compliance with contract requirements.
• Testing with only ASTM/AASHTO material testing will require the LPA hire a separate laboratory to perform independent assu rance (see LAPM 16.11.2:
Independent Assurance (IA) Program).
Laboratory Accreditation:
• The A cceptance Testing (AT) materials laboratory must participate and comply with one or more of the following Correlation Testing Programs:
a. AASHTO resource (formerly AMRL)
b. Cement and Concrete Reference Laboratory (CCRL)
c. Caltrans’ Reference Samples Program (RSP)
• The Acceptance Testing Laboratory accreditation occurs annually or per issuance agency.
• A copy of the current laboratory accreditation certificate shall be kept in the project records.
Tester Certification:
• Sampling and testing personnel are certified for a maximum of 5 years by one or more of the following Personnel Certification Programs:
• CT METS IA Representative (at JTCP or outside of JTCP for other tests methods)
• American Concrete Institute
• National Institute of Certification of Engineering Technologies • Other nationally recognized organization: ________________________ • This agency designated and qualified IA person (Independent Assurance Person may not perform Acceptance Testing)
• Proficiency tests are performed for testers to be certified on Sieve Analysis, Sand Equivalent, and Cleanness Value tests. All other types are witness tests. • A copy of each tester’s current and applicable certifications is kept in the project files.
Equipment Calibration:
• Laboratory testing equipment shall be:
• Capable of performing the tests required.
• Be in good working order.
• Be calibrated at least once each year, and more frequently if required by test method or manufacturer’s recommendation.
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10 • Be calibrated by impartial means using devises of accuracy traceable to the National Institute of Standards and Technology.
• Have a decal firmly affixed to each piece of equipment showing:
Equipment Identification Number
Calibration Date
Calibration Expiration/Due
Calibrator Name/Company Name
5. RESIDENT ENGINEER’S CERTIFICATION OF PROJECT MATERIALS:
1. The RE shall complete and sign LAPM Exhibit 17-G, “Materials Certificate" of the Local Assistance Procedures Manual (LAPM), upon completion of a federal-aid project,
2. The form shall explain and justify all materials incorporated into the work which did not conform to specifications, including changes by virtue of contract change orders.
3. The form shall be filed in the project records.
4. The form shall be included in the Report of Expenditures submitted to the Caltrans District Local Assistance Engineer.
6. PROJECT QAP RECORDS:
Project construction files shall be organized and indexed, and will include the following items:
Copy of Quality Assurance Plan
Certificates of Proficiency
Certificate of Accreditation for Testing Laboratory
Notice of Materials to be Used
Acceptance Testing Summary Logs and Test Results
Certificates of Compliance (Buy America certification requirements as applicable; see LAPM) Source inspection records and reports
Final Materials certification
All project records will be available in a single location for inspection by auditors and reviewers:
At any time during the project
For three years following the date of the final project voucher 125
11 ATTACHMENTS
ATTACHMENT NO. 1: Sampling and Testing Frequencies Table ATTACHMENT NO. 2: Exhibit 16-Z2 Acceptance Testing Results Summary Log ATTACHMENT NO. 3: Exhibit 16T Materials Accepted by Certificate of Compliance 126
Attachment No. 1 Page | 1
(a) Exact tonnage of sample location to be determined by Random Sampling Plans (b) Compaction determined by Nuclear Density Device. Core testing required if compaction fails the nuclear test (c) Correlation between core densities and nuclear device required only if compaction fails the nuclear test (d) Report the average of 3 tested briquettes from a single split source (e) Use CT 309 to determine maximum theoretical density in lieu of CT 308 or CT 367 calculated maximum theoretical density (f) No testing required unless warranted by concern; sample and store until completion of project 127
Attachment No. 1 Page | 2
128
Attachment No. 1 Page | 3
129
Local Assistance Procedures Manual
Exhibit 16-Z2 Acceptance Testing Results Summary Log
Exhibit 16-Z2
Acceptance Testing Result Summary Log
Test Method Name: Test Method Number:
Project Name:
Contract Number:
Attachment No. 2 Page | 1
Test
Number Date Sampled Name of Sampler or Tester Production Test Results Remarks
Tester Certification on file?
Location (Stations, depths, etc) Production Quantity
Represented
Required Result
Actual Result
Pass/Fail
Include action taken for any failing test result;
note test number of any retest.
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 130
RESOLUTION NO. 22078 (N.C.S.)
A RESOLUTION APPROVING THE PUBLIC WORKS DEPARTMENT QUALITY
ASSURANCE PROGRAM (QAP)
WHEREAS, on April 15, 2016 the Public Works Department developed a Quality Assurance Program for the City of Salinas ; and
WHEREAS, the Federal Highway Administration requires that each local agency receiving federal funds for construction projects adopt a QAP. Furthermore, the QAP must be updated at least every five years; and
WHEREAS, Caltrans provides guidance and reviews the local agency QAP; and
WHEREAS, the QAP is a program which provides assurance that the construction materials incorporated into the City infrastructure conforms to the contract Plans and Specifications.
NOW, THEREFORE, BE IT RESOLVED that the Salinas City Council hereby approve the Public Works Department QAP.
BE IT FURTHER RESOLVED that the Public Works Director or Designee is hereby authorized on behalf of the City of Salinas Council to update the QAP as necessary to meet Federal, State and Local requirements.
PASSED AND APPROVED this 13th day of April 2021, by the following vote:
AYES: Councilmembers: Barrera, Cromeenes, González, McShane, Osornio, Rocha and Mayor Craig
NOES: None
ABSENT: None
ABSTAIN: None
APPROVED:
___________________
Kimbley Craig, Mayor
ATTEST:
__________________________
Patricia M. Barajas, City Clerk
DocuSign Envelope ID: BCE6A9DE-2DCE-4E28-A4F3-84DF5AA51E69 131
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-076, Version: 1
Annual Public Art Plan Fiscal Year 2026-2027
Approve a Resolution adopting the Fiscal Year 2026-2027 Public Art Plan including the appropriation of $60,000 from the Municipal Art Fund with subsequent appropriation of $206,000 during the budget development process to support the projects identified in the 2026-2027 Public Art Plan.
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CITY OF SALINAS
COUNCIL STAFF REPORT
DATE: MARCH 24, 2026
DEPARTMENT: LIBRARY & COMMUNITY SERVICES
FROM: KRISTAN LUNDQUIST, DIRECTOR
TITLE: ANNUAL PUBLIC ART PLAN FISCAL YEAR 2026-2027
RECOMMENDED MOTION:
A motion to approve a Resolution adopting the Fiscal Year 2026-2027 Public Art Plan including the appropriation of $ 60,000 from the Municipal Art Fund with subsequent appropriation of $206,000 during the budget development process to support the projects identified in the 2026 - 2027 Public Art Plan.
EXECUTIVE SUMMARY:
The Fiscal Year 2026-2027 Public Art Plan includes four components (Public Art Event Grants, Murals/Sculptures, Noblewins sustainable park benches , and Alebrijes & Nahuales Exhibt) and recommends a total appropriation of $ 60,000 from the Municipal Art Fund with subsequent appropriation of $206,000 during the budget development process to support these projects.
BACKGROUND:
On May 16, 2017, the City Council adopted an Ordinance establis hing a Public Art Program.
Originally set an amount not to exceed one -half percent (0.5%) of the total project cost of each eligible capital improvement program project and with a cap of $50,000 for any one project and a cap of $100,000 for spending in one year , the City’s contribution from eligible construction projects is currently set at one percent (1%) with no cap on maximum contributions per project or year. In addition, the Municipal Art Fund (MAF) receives an annual General Fund contribution in the amount of $100,000
A key tool for the Commission is the MAF. The money for the fund comes from a fee on the value of qualified capital improvement program construction project s funded by the General Fund, Measure G and E. The fee is 1% of qualified completed CIPS . The money is deposited into the fund every June at the end of the fiscal year. The annual General Fund contribution is transferred twice each Fiscal Year in December and June. The Current balance is $500,416.88.
One of the Public Art Commission’s (PAC) primary activities is the preparation of a n Annual Public Art Plan that includes specific activities that promote public art and that recommends the 133
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release of funds from the MAF to cover the costs of the activities described in the annual plan. The Public Arts Plan is submitted to the City Council annually no later than April 1.
At the May 19, 2025, Public Art Commission meeting a Public Art Plan sub -committee was established. The sub -committee met five times (on Oct. 21, 2025, Nov. 17, 2025, Dec. 9, 2025, Jan. 6, 2026 & Jan. 20, 2026) to prepare a draft plan that includes four components:
1) PUBLIC ART EVENT GRANTS: Consistent with the 2024 Annual Public Art Plan, the PAC recommends continuing the grant program that would support new or existing art centered events. The sub-committee recommends $20,000 be made available for the grant program.
2) MURAL/SCULPTURES: PAC recommends allocating an amount not to exceed $20,000 for mural(s)/sculpture(s). A Call for Artists would be issued with a focus on local artists. 3) NOBLEWINS SUSTAINABLE PARK BENCHES: PAC recommends allocating an amount not to exceed $26,000 for the purch ase, installation and art associated with this project. The bench(es) would be located in one or more of the City’s parks, and a Call for Artists would be issued to select the art to be displayed on the bench. 4) ALEBRIJES & NAHUALES: PAC recommends allocating an amount not to exceed $200,000 to bring this cultural exhibit to Salinas including the exhibit, coordination and installation. This effort is being led by the City of Salinas, local artists, and the Salinas Valley Chamber of Commerce. The exhibit includes (8) 25-28 ft. high spirit animals to be displayed throughout Salinas and up to (30) small pieces that could be on display in an indoor setting. The exhibits would be on display for 4 -6 weeks and could include a one - day festival a s well. There would be a local fundraising effort with the hope that these resources could be used to offset the MAF contribution so that not all $200,000 would be used. Unused MAF dedicated to this project would stay in the MAF for future allocation and plans. If this is a successful model, it would position the MAF to be used as a driver and/or catalyst fund for future public art installations, performances, etc., as envisioned by the City of Salinas Public Art Master Plan, thereby magnifying the impact of the fund.
The draft Public Art Plan was presented to the Public Art Commission at its February 23, 2026, meeting. The Commission voted unanimously to receive the annual public art plan and to recommend that the City Council adopt the Fiscal Year 2026-2027 Public Art Plan..
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).
CALIFORNIA GOVERNMENT CODE §84308 APPLIES:
No.
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STRATEGIC PLAN INITIATIVE:
The adoption of the FY 2026 -2027 Annual Public Art Plan will support the following City Council’s Strategic Plan Goal of Youth and Seniors by:
Increasing community events throughout the City for youth and seniors; and Partnering with regional stakeholders to improve access to the arts
DEPARTMENTAL COORDINATION:
LCS staff will coordinate with the following Departments when implementing the draft plan:
City Attorney’s Office: Necessary Agreements and Call for Artists Public Works: Encroachment Permits
Community Development: Site Plan Review for Murals and Sculptures Administration Department: Alebrijes & Nahuales Exhibit
FISCAL AND SUSTAINABILITY IMPACT:
The Municipal Art Fund is funded by 1% of City qualified completed Capital Improvement Projects and $100,000 annual contribution from the General Fund.
Fund
General Ledger Number
(Operating/CIP)
General Ledger Account
Name
Remaining Budget
Appropriation
Amount Requested
2507 00.0000-63.5010 Outside services-Other
professional
$95,000 $60,000
ATTACHMENTS:
Resolution
Power Point
135
1 RESOLUTION NO. (N.C.S.)
A RESOLUTION OF THE CITY COUNCIL ADOPTING THE ANNUAL PUBLIC ART PLAN FOR FISCAL YEAR 2026-2027 AND AUTHORIZING AND
APPROPRIATING THE USE OF MUNICIPAL ART FUNDS
WHEREAS, the Public Art Commission prepared the Annual Public Arts Plan for fiscal year 2026-27 that includes specific activities that promotes public art and recommends the release of funds from the Municipal Art Fund to cover the costs of the activities described in the annual plan.
WHEREAS, on February 23, 2026, the Public Arts Commission unanimously voted to receive the Public Art Plan for Fiscal Year 2026-2027 and recommend that the City Council adopt the Public Arts Plan and authorize the appropriation of sixty thousand dollars ($60,000) from the Municipal Art Fund; and
WHEREAS, the 2026-2027 Public Art Plan includes the following projects which would receive funding support from the Municipal Art Fund:
1) PUBLIC ART EVENT GRANTS: $20,000 to continue the public art event grand program to support new or existing art centered events.
2) MURAL/SCULPTURES: Allocation of an amount not to exceed $20,000 for mural(s)/sculpture(s).
3) NOBLEWINS SUSTAINABLE PARK BENCHES: Allocation of an amount not to exceed $26,000 for the purchase, installation and art associated with this project. The bench(es) would be located in one or more of the City’s parks.
4) ALEBRIJES & NAHUALES: Allocation of an amount not to exceed $200,000 to bring this cultural exhibit to Salinas including the exhibit, coordination and installation. This effort is being led by the City of Salinas, Salinas Chamber of Commerce and local artists.
The exhibit includes (8) 25 -28 ft. high spirit animals to be dis played throughout Salinas and up to (30) small pieces that could be on display in an indoor setting. The exhibits would be on display for 4-6 weeks and may include a one-day festival and/or art classes as well. There would be a local fundraising effort with the hope that these resources could be used to offset the MAF contribution so that not all $200,000 would be used. Unused MAF dedicated to this project would be returned to the MAF for future allocation and plans.
NOW, THEREFORE, BE IT RESOLVED the Salinas City Council accepts and adopts the 2026-2027 Public Art Plan and authorizes use and appropriation of up to sixty thousand dollars ($60,000) from the Municipal Art Fund and a subsequent appropriation of two hundred and six thousand dollars ($206,000) during the budget development process to support the projects identified in the 2026-2027 Public Art Plan; and
BE IT FURTHER RESOLVED that the Salinas City Council hereby a uthorizes the 136
2 Library and Community Services Department to design, administer and implement the components of the Annual Public Art Plan.
PASSED AND APPROVED this 24th day of March 2026 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
________________________
Dennis Donohue, Mayor
ATTEST:
_________________________
Patricia M. Soratos, City Clerk
137
Public Art
Annual Plan
CITY COUNCIL
MARCH 24, 2026
138
Municipal Art Fund
Sec. 5-01.08 of the Salinas Municipal Code
•Established in June 2017
•Revised in June 2023
•1% of Eligible CIP Projects and $100,000
annual GF allocation
•Annual Public Art Plan to be presented to
the City Council by April 1
139
Annual Plan Committee
• Juan Carlos Gonzlez
• Carlos Cortez
• Jesus Morales
Members
• October 21, 2025
• November 17, 2025
• December 9, 2025
• January 6, 2026
• January 20, 2026
Meetings
Develop a Public Arts Plan that makes
funding recommendations for use of
the Municipal Art Fund to the Salinas
City Council for the Fiscal Year 2026-
2027 no later than April 1, 2026.
Goal
140
Committee Work
Consider current fund
balance of
$500,416.88.
How much to Spend?
What impact could we
have?
Important Questions
141
Fiscal Year
2026 Plan
Details
$20,000 to support a
mural(s) or sculpture(s)
$20,000 to support a
mural(s) or sculpture(s)
$20,000 to support
new or existing cultural
performing art events
in Salinas
$20,000 to support
new or existing cultural
performing art events
in Salinas
$26,000 for the
purchase, installation
and art associated with
Noblewins Sustainable
Park Benches
$26,000 for the
purchase, installation
and art associated with
Noblewins Sustainable
Park Benches
$200,000 to support
brining the Alebrijes &
Nahuales Exibit from
Mexico and other
supporting activities
$200,000 to support
brining the Alebrijes &
Nahuales Exibit from
Mexico and other
supporting activities
142
Mural &
Sculptures
Request authorization to
not exceed $20,000 for
mural(s)/sculpture(s)
Request authorization to
not exceed $20,000 for
mural(s)/sculpture(s)
RFP/RFQ process with
focus on local artist
RFP/RFQ process with
focus on local artist
Staff to determine viable
City facilities
Staff to determine viable
City facilities
143
Public Art
Event Grant
• Fourth Year
• Recommend $20,000 for FY 26 Plan
144
Noblewins
Sustainable
Park
Benches
$26,000 for purchase, installation and
art
145
Alebrijes &
Nahuales
• Recommend Up to $200,000
• City-wide Exhibit- 8 pieces
• Potential Festival
• Indoor Exhibit- 30 small pieces
• Contract with the Salinas Valley Chamber
to manage the program and affiliated
events
• Educational programming with local
schools
146
Timeline
Final Plan to
Council
March 24
Establish Agreement
and Deposit for the
Alebrijes Exhibit
April 2026
Funds available
for other Plan
components
July 1
147
Recommended Motion
A motion to adopt the FY 2026-2027 Annual Public
Art Plan including the appropriation of $60,000 from
the Municipal Art Fund with a subsequent
appropriation of $206,000 during the budget
development process to support projects identified in
the 2026-2027 Public Art Plan.
148
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-106, Version: 1
Hitchcock Road Animal Services Joint Exercise of Powers Agreement Amendment No. 1 Approve a Resolution authorizing the Mayor to execute an Amendment (Amendment No. 1) to the Hitchcock Road Animal Services (HRAS)’ Joint Powers Authority (JPA) Joint Exercise of Powers Agreement (JPA Agreement) to clarify the JPA's insurance coverage obligations and satisfy potential carrier requirements.
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CITY OF SALINAS
COUNCIL STAFF REPORT
DATE: MARCH 24, 2026
DEPARTMENT: ADMINISTRATON
FROM: RENE L. MENDEZ, CITY MANAGER
LISA MURPHY, ASSISTANT CITY MANAGER
BY PATRICIA M. SORATOS, CITY CLERK
TITLE: HITCHCOCK ROAD ANIMAL SERVICES JOINT EXERCISE OF POWERS AGREEMENT AMENDMENT NO. 1
RECOMMENDED MOTION:
A motion to approve a Resolution authorizing the Mayor to execute an Amendment (Amendment No. 1) to the Hitchcock Road Animal Services (HRAS)’ Joint Powers Authority (JPA) Joint Exercise of Powers Agreement (JPA Agreement) to clarify the JPA's insurance coverage obligations and satisfy potential carrier requirements.
EXECUTIVE SUMMARY:
The City of Salinas entered into the Joint Exercise Powers Agreement in December 2023 with the County of Monterey as a cost saving measure and to consolidate animal services. Amendment (Amendment No. 1) to the JPA Agreement is presented for consideration to clarify the JPA’s insurance coverage responsibilities The amendment would remove extraneous insurance requirements from the JPA Agreement and confirm that the JPA’s sole insurance obligation is to maintain comprehensive general liability coverage, cons istent with current practice and insurer requirements. The matter was presented and approved by the Monterey County Board of Supervisors on March 10, 2026, and is presented to the City Council for consideration.
BACKGROUND:
In the Fall of 2015, the County of Monterey and City of Salinas retained Management Partners to review the ongoing animal control services functions provided by Monterey County and the City of Salinas at separate locations in very close proximity to one another on Hitchcock Road.
Management Partners presented their findings to both the County Board of Supervisors and the City Council on June 28, 2016 . On December 13, 2023, the City Council , member agencies and the County of Monterey entered into the Joint Exercise Powers Agreement which established the Hitchcock Road Animal Services Agency. The JPA Board and services have continued to provide services to Salinas’ residents.
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The current JPA Agreement requires that the JPA also obtain insurance coverage for automobile liability, workers’ compensation, and excess liability. (JPA Agreement at p. 9, § 3.9.) However, the County is responsible for the additional coverage as the Administrative Agency. The proposed amendments to the JPA Agreement clarify the coverage obligation related to comprehensive general liability coverage.
On November 20, 2025, the JPA Board approved the proposed revisions. Both the County and the City of Salinas must also approve the changes in order to execute the amended JPA Agreement.
The proposed amended JPA Agreement is attached hereto.
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).
CALIFORNIA GOVERNMENT CODE §84308 APPLIES:
No.
STRATEGIC PLAN INITIATIVE:
This action is consistent with the City Council goal of City Services by reducing risk exposure and strengthening governance and continuity of public services.
DEPARTMENTAL COORDINATION:
City Administration, in collaboration with the County of Monterey coordinated this report.
FISCAL AND SUSTAINABILITY IMPACT:
Fund
General Ledger Number
(Operating/CIP)
General Ledger Account
Name
Remaining Budget
Appropriation
Amount Requested
N/A N/A N/A N/A N/A
ATTACHMENTS:
Resolution
Amendment No. – Clean
Amendment No. 1 – Redlined
Original JPA Agreement
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RESOLUTION NO. ________ (N.C.S.)
A RESOLUTION AUTHORIZING THE MAYOR TO ENTER INTO AMENDMENT NO. 1 TO HITCHCOCK ROAD ANIMAL SERVICES JOINT EXERCISE OF POWERS
AGREEMENT
WHEREAS, on December 13, 2023, the City of Salinas, member agencies, and the County of Monterey entered into a Joint Exercise Powers Agreement which established the Hitchcock Road Animal Services Agency; and
WHEREAS, the current JPA Agreement requires that the JPA also obtain insurance coverage for automobile liability, workers’ compensation, and excess liability (JPA Agreement §
3.9); and
WHEREAS, November 20, 2025, the JPA Board approved the proposed revisions and subsequently approved by the Monterey County Board of Supervisors on March 10, 2026; and
WHEREAS, the City of Salinas, as a member agency, must also approve the changes in order to execute the amended JPA Agreement.
NOW, THEREFORE, BE IT RESOLVED that the Salinas City Council hereby authorizes the Mayor to execute an Amendment (Amendment No. 1) to the Hitchcock Road Animal Services (HRAS)’ Joint Powers Authority (JPA) Joint Exercise of Powers Agreement (JPA Agreement) clarifying the JPA's insurance coverage obligations and satisfy potential carrier requirements.
PASSED AND APPROVED this 24th day of March 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
_______________________
Dennis Donohue, Mayor
ATTEST:
_________________________
Patricia M. Soratos, City Clerk
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Alexis Mejia, Assistant City Clerk
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JOINT EXERCISE OF POWERS AGREEMENT
Establishing the
Hitchcock Road Animal Services Agency
THIS JOINT EXERCISE OF POWERS AGREEMENT (“Agreement”) establishing the Hitchcock Road Animal Services Agency (“Agency”) is made and entered into as of January 1, 2023 (“Effective Date”), by and among the public agencies listed on the attached Exhibit A (collectively referred to as “Member Agencies” and individually as “Member Agency”) for the joint purpose of providing care, shelter, and services to animals.
RECITALS
WHEREAS, California Government Code Title I, Chapter 5, Division 7 (commencing with Section 6500) authorizes the Member Agencies to enter into an agreement for the joint exercise of any power common to them, and by that agreement, to create an entity that is separate from each of the Member Agencies; and
WHEREAS, each of the Member Agencies possess the power to provide Animal Services (defined in Section 1.15), including animal field services and animal shelter services, within their respective Jurisdictional Area (defined in Section 1.16); and WHEREAS, the Member Agencies possess the authority to issue bonds, expend bond proceeds, borrow and loan money for certain public purposes, and handle finances within their Member Agencies pursuant to the California Government Code; and WHEREAS, this Agreement is an appropriate means through which the Member Agencies may provide Animal Services because the Jurisdictional Areas of the Member Agencies are in close proximity to one another and are amenable to being served by the Animal Services and related Joint Facilities (defined in Section 1.20) under common administration and management and with the same equipment, resources, and personnel; and WHEREAS, the Member Agencies desire to share their animal services expertise and to optimize their expenditures in connection with the provision of the Animal Services and related Joint Facilities; and
WHEREAS, the Member Agencies have the mutual goal to provide life-saving aid, care, shelter, and support services for animals and this Agreement is in the best interest of animal welfare, staff safety, and public safety; and
WHEREAS, the Member Agencies of Monterey County and the City of Salinas entered into an emergency Memorandum of Understanding due to California’s COVID-19 state of emergency in April 2020, and said Member Agencies have successfully combined and shared services and staffing temporarily; and
WHEREAS, the separate provision, management, and administration of the Animal Services and related Joint Facilities in each Jurisdictional Area by each of their respective 154
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Member Agencies and use of separate facilities, resources, and personnel may result in duplication of efforts, inefficiencies in administration, and excessive costs; and WHEREAS, in the judgment of the Member Agencies, the duplication of efforts, inefficiencies, and excessive costs can be eliminated or substantially reduced, to the substantial advantage and benefit of the animals, residents and taxpayers of all of the Member Agencies, if the administration and management of the related Joint Facilities, employing common equipment, resources, and personnel, were to be performed by and through a single public entity and the creation of such a single public entity is the purpose of this Agreement; NOW, THEREFORE, for and in consideration of the facts stated above, the mutual advantages to be gained, and the mutual covenants contained herein, it is agreed by and among the Member Agencies hereto as follows:
ARTICLE I
DEFINITIONS
Section 1.1. Unless the context otherwise requires, the words and terms defined in this Article shall have the meanings specified.
Section 1.11. Act means Article 1, Article 2, Article 3, and Article 4 (commencing with Section 6500) of California Government Code, Title 1, Chapter 5, Division 7, as it may be amended from time to time.
Section 1.12. Administrative Costs means those costs associated with administration and management of the Animal Services as detailed in Exhibit B. Said costs shall include, but are not limited to, costs associated with the provision of administrative supervisory services, human resources services, financial services, and dispatching services.
Section 1.13. Agency means the Hitchcock Road Animal Services Agency.
Section 1.14. Agreement means this joint exercise of powers agreement as it now exists or as it may from time to time be amended, supplemented, or as it may be modified by the addition of signatory parties or by any other supplemental agreement or amendment entered into, pursuant to the provisions of this Agreement.
Section 1.15. Animal Services means those services set forth in Exhibit B, which is attached hereto and incorporated by reference.
Section 1.16. Area and Jurisdictional Area mean that area within the respective jurisdictions of the Member Agencies.
Section 1.17. Board of Directors means the governing board of the Agency referred to in Section 1.13 and more specifically, described in Section 2.6. Director means an individual member of the Board of Directors.
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Section 1.18. Executive Director means the employee of the Lead Agency who is directly responsible to the Board of Directors and who is primarily responsible for the managerial oversight of the operations for the Agency, as further described in Section
3.5. Section 1.19. Fiscal Year means the period from July 1st to and including June 30th of the following year.
Section 1.20. Joint Facilities means the Animal Services facilities, equipment, resources, and property to be owned, leased, managed, and operated by the Agency and, if necessary, any changes thereto.
Section 1.21. Lead Agency means the jurisdiction which is directly responsible to the Board of Directors and which is primarily responsible for the managerial oversight of the operation for the Agency, as further described in Section 3.5.
Section 1.22. Legislative Bodies means the governing bodies over each Member Agency, including but not limited to, City Councils and County of Monterey Board of Supervisors. Legislative Body means any such individual governing body.
Section 1.23. Major Policy Decisions means those issues that materially change either the levels of service or the budget.
Section 1.24. Member Agencies means all of the public agencies who are signatories to this Agreement, which, as of the initial Effective Date of this Agreement, is the City of Salinas and the County of Monterey. Member Agency means any such individual public entity.
Section 1.25. Operational Plan means a plan approved by the Board of Directors, which shall describe in detail the operation of the Agency. Said plan shall include: the anticipated cost of providing the services as described in Exhibit B; the area in which those services shall be provided; the level of service which shall be provided in each of those areas; the anticipated cost for operation and maintenance of the Joint Facilities; the process by which yearly budgets shall be established; the hours of operation; and any other operational, budgetary, and financial process which may be deemed to be necessary or appropriate by the Board of Directors.
Section 1.26. Quorum means the presence of over 50% of the Board of Directors.
Section 1.27. Rules of the Board means the bylaws, rules, regulations, or other directives of the Board of Directors for the conduct of its meetings and affairs as further described in Section 2.9.
ARTICLE II
GENERAL PROVISIONS
Section 2.1. Purpose. The purpose of this Agreement is to create the Hitchcock Road Animal Services Agency, which would allow the Member Agencies to exercise their joint powers to 156
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provide more efficient and economical Animal Services within the Area and would: 1) provide for the ownership, management, operation, and maintenance of the Joint Facilities; 2) implement the financing, acquisition, and construction of additions or improvements thereto, if needed; and 3) provide for the ownership, management, operations, and maintenance of any later acquired facilities or properties.
Section 2.2. Creation of Agency. Pursuant to the Act, there is hereby created a public entity to be known as the Hitchcock Road Animal Services Agency, or Agency, as defined in Section
1.13. The Agency, which shall administer this Agreement, is a public entity separate and apart from the Member Agencies. The debts, liabilities, and obligations of the Agency shall not constitute debts, liabilities, or obligations of any party of this Agreement.
Section 2.3. Member Agencies. The Agency shall be composed of the County of Monterey and the City of Salinas, initially. Any other jurisdiction not named as a party to this Agreement who later wishes to join the Agency, may do so if approved by a vote of three-fourths (3/4) or more, of the Board of Directors of the Agency. Said approval shall be conditioned upon the Joint Facility having sufficient capacity to accommodate the new participant’s needs, and the adoption of a resolution by the new jurisdiction’s governing body authorizing execution of an agreement that shall bind them to fully participate financially in the Agency. The new participants shall also be required to provide a “buy-in” contribution as set forth in Section 2.10.
Section 2.4. Term. This agreement shall become effective on the Effective Date and shall continue in effect thereafter unless terminated pursuant to Article IX.
Section 2.5. Transition Plan. Upon the Effective Date of this Agreement, the Members and the Agency will enter into or extend current service agreements, as applicable, for a Transition Period which will be from the Effective Date through June 30, 2023. The Transition Period may be extended by mutual written agreement of the governing bodies of the Members. The Transition Period is intended to provide the Agency with an opportunity to become fully organized and operational without compromising existing services provided to the Members.
Section 2.6. Governing Board. The Agency shall be governed by a Board of Directors and shall be called the Hitchcock Road Animal Services Agency Board. Each entity which is a Party to this Agreement shall have representation on the Board as follows:
1. Two members representing the County Board of Supervisors to include the Board of Supervisors and County Administrative Officer, or their designates.
2. Two members representing the City of Salinas to include the Salinas City Council and City Manager, or their designates.
Pursuant to Government Code section 6506, the Agency Board of Directors is designated as the administrator of this Agreement and of the Agency’s affairs and shall perform its duties and responsibilities in accordance with all provisions of this Agreement.
Section 2.6.1. All voting power of the Agency shall reside within the Board of Directors. 157
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Section 2.6.2. Each Legislative Body shall appoint alternate Directors for that Member Agency. The alternate Director may act as a Director in the absence of the Director appointed by that Legislative Body.
Section 2.6.3. All Directors and alternates shall serve four-year (4) terms but serve at the pleasure of the Member Agency that appoints them.
Section 2.6.4. All vacancies on the Board of Directors shall be filled by the respective Legislative Body within thirty (30) days of the effective date of the vacancy or as soon thereafter as the Legislative Body may legally act. Any Director or alternate Director shall cease to be a Director when such person ceases to hold the office or the position within the respective public entity that entitles that Director or alternate Director to a position on the Board of Directors.
Section 2.6.5. Board Committees. The Board may, from time to time, establish one or more standing or ad hoc committees consisting of Directors to assist in carrying out the purposes and objects of the Agency, including but not limited to, a Budget and Finance Committee, Planning Committee, and Executive Committee. The Board shall determine the purpose and need for such committees. Meetings of standing committees shall be subject to the requirements of the Brown Act.
Section 2.6.6. Advisory Committee. The Board shall establish an Advisory Committee that shall be designed to ensure participation and provide input to the Board of Directors from the communities represented within the JPA; additionally, the Advisory Committee may also provide professional guidance in areas not already supported by the Agency.
The Advisory Committee shall serve in an advisory role to the Board of Directors and will consist of nine (9) members and appointment to the Advisory Committee, and governance regarding the Advisory Committee, shall be addressed in the Board of Directors Advisory Committee bylaws.
Section 2.6.7. Bylaws of the Board. The Board shall adopt, and from time to time amend by vote, the Bylaws of the Board as necessary or helpful in order for the Board to foster, facilitate or achieve the purposes expressed within this Agreement. These Bylaws shall govern all proceedings of the Board.
Section 2.7. Meetings of the Board of Directors. All meetings of the Board of Directors shall be public meetings, governed by the Brown Act, unless a specified closed session is held in accordance with the California Government Code.
Section 2.7.1. Regular Meetings. The Board of Directors shall provide for regular meetings (a minimum of four (4) per year) at a date, time, and place fixed by the Bylaws of the Board.
Section 2.7.2. Special Meetings. Special meetings and emergency meetings of the Board of Directors may be called in accordance with the provision of Section 54956, et seq., of the California Government Code, as may be amended from time to time. Special 158
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Meetings may be called by two or more Directors representing two or more jurisdictions.
The meeting must be noticed in accordance with the Brown Act.
Section 2.8. Voting. All members of the Board will vote using weighted voting procedures based on the formula found in Exhibit C relating to the annual contributions to the Annual Budget pursuant to Section 6.3. The total percentage of operational funding for each Member Agency will be divided by the number of Directors representing that Member Agency to determine the percentage vote for each Director. A three-fourths (3/4) vote of the Board shall be required to approve the budget and Major Policy Decision, as defined in Section 1.23. Except as provided elsewhere in this Agreement, any action of the Board shall require a majority weighted vote of the Board.
Section 2.9. Conflict of Interest. The Agency Board shall adopt and thereafter maintain a conflict-of-interest code in compliance with applicable provisions of the Political Reform Act (Government Code Section 87300, et seq.) and the regulation adopted by the Fair Political Practices Commission (California Code of Regulations, Section 1870, et seq.).
Section 2.10. New Member Agencies. Subject to the requirements set forth in Section 2.3 above, it is the intent of the Member Agencies to provide, to the extent permitted by law, for the inclusion at a subsequent date of such additional public entities, organized and existing under the Constitution or laws of the State of California, of new parties to this Agreement and members of the Agency. A new Member Agency shall be required to make a “buy-in” contribution in an amount to be determined by a three-fourths (3/4) vote of the Board, and pay their share of annual operating costs and other expense pursuant to Section 6.3. For entities joining the Agency at any other date, other than the beginning of the Agency’s fiscal year, cash contributions for operating costs shall be prorated for the reminder of the fiscal year. New agencies who receive all Animal Services described in Exhibit B shall have two (2) members on the Board, and new agencies who receive fewer Animal Services shall have one (1) Board member.
ARTICLE III
ORGANIZATIONAL STRUCTURE
Section 3.1. Chairperson and Vice-Chairperson. The Board shall elect a Chairperson and a Vice Chairperson from amongst its members at its first meeting and thereafter, at the first regular meeting of the Board for each calendar year. In the event of the disqualification of permanent inability of the Chairperson to serve the remainder of their term, the Vice Chairperson shall assume the duties of the Chairperson and the Board of Directors shall elect a new Vice Chairperson for the reminder of the that term.
Section 3.1.1. The Chairperson shall be authorized to sign all resolutions of the Board of Directors and all contracts on behalf of the Agency and shall perform such other duties as may be imposed by the Board of Directors, consistent with the terms and provisions of this Agreement and the Bylaws of the Board.
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Section 3.1.2. The Vice Chairperson shall be authorized to act as the Chairperson, exercise all of the power of the Chairperson, and perform all of the duties of the Chairperson in the temporary absence of the Chairperson.
Section 3.2. Secretary. The Executive Director shall designate an employee of the Lead Agency to serve as Secretary to the Board of Directors, who shall perform such other duties as may be imposed upon the Secretary by the Board of Directors and cause a copy of this Agreement to be filed with the California Secretary of State and the State of California, pursuant to Section 6503.5 of the Act. Should an Executive Director of the JPA not be in place during the formation of the Board of Directors, the Administrator of the Monterey County Animal Services shall designate a staff member to serve as the interim Secretary.
Section 3.3. Treasurer. The Executive Director shall designate an employee of the Lead Agency to serve as Treasurer of the Agency. Should an Executive Director of the JPA not be in place during the formation of the Board of Directors, the Administrator of the Monterey County Animal Services shall designate a staff member to serve as the interim Treasurer.
Section 3.3.1. The Treasurer shall be the depository and shall have custody of all of the accounts, funds, and money of the agency from whatever source. The Treasurer shall have the duties and obligation set forth in Section 6505 and 6505.5 of the Act, and shall assure that there shall be strict accountability of all funds and reporting of all receipts and disbursement of the Agency.
Section 3.3.2. The books and records of the Agency shall be open to inspection at reasonable times by representatives of the Member Agencies. The Treasurer shall, within ninety (90) days after the close of each fiscal year of within sixty (60) days after the termination of this Agreement, give a complete written report of all financial activities of the fiscal year to the parties thereto.
Section 3.3.3. The Treasurer shall, in accordance with Section 6505 and 6505.6 of the Act, cause the books of account and other financial records of the Agency to be audited annually by an independent public accountant or certified public accountant.
Section 3.4. Officers in Charge of the Property. Pursuant to Section 6505 of the California Government Code, the Treasurer shall oversee, handle, and have access to all accounts, funds, and money of the Agency and all records of the Agency relating to such accounts, funds, and money. The Secretary shall oversee, handle, and have access to all other records of the Agency.
The Executive Director, Animal Services Administrator or the supervisor of the Lead Agency in the absence of the Executive Director, shall oversee, manage, and have access to all physical property of the Agency.
Section 3.5. Management. The regular management of the operations and activities of the Agency shall be vested in the Executive Director, who shall be the Lead Agency’s Animal Services Administrator, unless another is approved by the Board of Directors. Unless otherwise provided by the Bylaws of the Board or resolution of the Board of Directors, the Executive Director shall have the following powers:
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Section 3.5.1. To oversee, manage, maintain, and operate a shelter facility and provide animal support services and animal control services, including, but not limited to, food and shelter, veterinary aid, spaying and neutering, and care to animals; County and city licensing; adoption services; ordinance enforcement; community engagement and education; volunteers; animal control services in the field within the respective cities and unincorporated county; impounding of animals; and such other activities and services as deemed necessary or appropriate for animal welfare and public safety, pursuant to California law;
Section 3.5.2. To provide for the planning, design, and construction of any improvements or changes to the Joint Facilities and/or the leasing or remodeling of any existing facilities, or any new facilities to be operated by the Agency, as authorized by the Board of Directors;
Section 3.5.3. Except as otherwise provided in Section 4.2, to execute any contracts for capital costs, costs of special services, equipment, materials, supplies, maintenance, or repair that involve an expenditure by the Agency within the limits and in accordance with procedures to be established by the Agency in the manner provided for local agencies pursuant to Article 7, commencing with Section 54201 of Chapter 5 of Part 1 of Division 2 of Title 5 of the California Government Code;
Section 3.5.4. To execute contracts in an amount up to a limit set by the Board of Directors;
Section 3.5.5. To appoint, employ, and manage all personnel required by the Agency for maintenance and operation of the Animal Services and the Joint Facilities, and all other employees authorized by the Agency’s budget and by the Board of Directors as either direct employees of the Agency, or if deemed necessary, as employees of the Member Agencies;
Section 3.5.6. To retain any consultants as authorized in the Agency’s budget and by the Board of Directors;
Section 3.5.7. Subject to approval of the Board of Directors, to appoint, employ, and manage all consultants and contractors required to be retained in connection with the design of any changes or improvements to the Joint Facilities or construction of new facilities;
Section 3.5.8. To expend funds of the Agency and enter into contracts whenever required or for the immediate preservation of the public peace, health, or safety, subject to the subsequent ratification of the Board of Directors;
Section 3.5.9. To dispose of any personal property of the Agency as may be provided in the Bylaws of the Board of Directors or otherwise authorized by the Board of Directors; Section 3.5.10. To approve and pay bills and expenses for the Agency of $50,000 or less, which are authorized in the Agency’s budget;
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Section 3.5.11. To prepare and submit to the Board of Directors in time for revision and adoption by the Agency prior to March 1st of each year, the annual preliminary budget for the next succeeding Fiscal year referred to in Section 6.1; Section 3.5.12. Generally, to supervise the acquisition, construction, management, maintenance, and operation of the Joint Facilities and personnel of the Agency; Section 3.5.13. To perform such other duties as directed by the Board of Directors and report to the Board of Directors at such times and on such matters as the Board of Directors may direct.
Section 3.6. Legal Advisor. The legal advisor of, and provider of legal advice and services to, the Agency, shall be an attorney retained by the Agency for this purpose. The Board of Directors shall choose the attorney to retain and may choose to retain the services of a private attorney; the Board may alternatively choose to retain the County Counsel’s office of Monterey County, or the City Attorney’s office of the City of Salinas, for this purpose.
Section 3.7. Other Services. The Board of Directors shall have the power to appoint and employ such consultants and independent contracts as may be necessary for the purposes of and pursuant to this Agreement.
Section 3.9. Indemnity and Insurance. The Agency shall defend, indemnify, and hold harmless each Member Agency to this Agreement and its respective Board of Director members, officers, agents and employees, from all claims, losses, damages, costs, injury, and liability arising out of the Agency’s performance of its obligations under this Agreement. The Executive Director shall obtain, and keep in place, a comprehensive general lability policyies of insurance with coverage and a limits sufficient to protect the Agency and its Member Agencies from claims for damages arising from the activities of the Agency, its Board of Directors, officers, and employees. The policies of insurance described herein shall include, but shall not be limited to, coverage for automobile liability, comprehensive general liability, workers’ compensation, and excess liability. The Board of Directors shall, from time to time, set the appropriate levels of coverage and shall determine whether additional insurance coverage is appropriate. Each Member Agency shall be named as an “additional insured” on each policy of insurance.
ARTICLE IV
POWERS OF THE AGENCY
Section 4.1. General Powers. In the manner provided herein, the Agency shall exercise the powers common to each Member Agency as authorized by the laws of the California. As authorized by the act, the Agency shall be a public entity separate and distinct from the Member Agencies. The Agency shall have the power to finance, acquire, construct, manage, maintain, and operate the Joint Facilities. The Agency shall have all of the powers provided in Article 2 and Article 4 of the Act, unless specifically prohibited or restricted by the Agreement.
Section 4.2. Specific Powers. The Agency is hereby authorized to do all of the following:
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Section 4.2.1. Until such time that the Agency is fiscally able to hire an Executive Director and direct employees, Monterey County may serve as the Lead Agency.
Services shall include, but not be limited to, the hiring and management of staff; the construction, management, maintenance, and operation of the Joint Facility; and the provision of Animal Services as set for in Exhibit B. Any modification to Exhibit B requires a three-fourths (3/4) vote of the Board of Directors.
Section 4.2.2. To make and enter into agreements in the name of the Agency within the limitations established by the Agency budget;
Section 4.2.3. At such time that the Agency is fiscally able, to employ agents or employees;
Section 4.2.4. To acquire, construct, manage, maintain, operate, hold, and convey real and personal property, including leasehold interests;
Section 4.2.5. To incur debts, liabilities, and obligations subject to the provisions of this Agreement, provided that no debt, liability, or obligation shall constitute a debt, liability, or obligation of any Member Agency;
Section 4.2.6. To participate in joint projects and cooperate with other agencies, counties, and local public or nonprofit groups;
Section 4.2.7. To apply for and accept grants, loans, or contributions from any public or private agency or individual, or the United States, the State of California, or any department, instrumentality, or agency thereof, for the purpose of financing the activities of the Agency;
Section 4.2.8. To sue or be sued, in its own name, but not in the name of any Member Agency;
Section 4.2.9. To manage and invest, pursuant to Section 6505.5 of the Act, those funds not needed to fulfill the immediate needs of the Agency, as deemed advisable by the Agency in the same manner and upon the same conditions as local agencies, pursuant to Section 53601 of the California Government Code;
Section 4.2.10. To carry out and enforce all provisions of this Agreement.
Section 4.3. Bonds. The Agency shall have all of the powers provided in Article 4 of the Act, including the power to issue bonds.
Section 4.4. Oversight of the Board of Directors by Member Agencies’ Legislative Bodies. The Agency shall have the responsibility of providing quarterly reports, in a format which will be determined by the Parties, and periodically attend Council or Board meetings as may be requested to provide information on the work of the Agency and to seek input.
ARTICLE V
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METHODS OF PROCEDURE
Section 5.1. Delegation of Powers. Each Member Agency hereby delegates to the Agency, the following powers: 1) the power to purchase, maintain, operate, and manage any Animal Services equipment, resources, and real property acquired by, or provided to, the Agency; and 2) the power to employ, contract for, or otherwise acquire the necessary personnel to fulfill the obligations of the Agency under the terms of this Agreement.
Section 5.2. Joint Maintenance and Operation Fund. The Board of Directors shall establish a joint interest-bearing maintenance and operation fund (hereinafter refer to as the “Operating Fund”), which the Agency shall use to pay all administrative and operation expenses of the Agency and the maintenance and operation costs of the Joint Facilities. Each of the Member Agencies shall pay into said Operating Fund, its proportionate amount of the annually budgeted maintenance and operation costs, computed in accordance with the provisions of Section 6.3 of this Agreement.
Section 5.3. Capital Acquisition, Improvement, and Replacement Fund. The Board of Directors may, at its discretion, create an interest-bearing capital acquisition and replacement fund (hereinafter referred to as the “Capital Fund”) which shall be used for any of the following purposes: 1) the acquisition and construction of additional or new Joint Facilities; 2) the improvement or replacement of any other capital improvement owned or controlled by the Agency; or 3) the acquisition or replacement of capital equipment and property of the Agency.
Each Member Agency shall annually pay into said Capital Fund, its proportionate share of capital costs.
ARTICLE VI
BUDGET: MAINTENANCE, OPERATIONAL, AND OTHER COSTS
Section 6.1. Annual Budget. Annually, the Board of Directors shall adopt a budget for maintenance and operation costs, capital costs, costs of special services, and debt service payments. The Board of Directors shall adopt a preliminary budget prior to March 1 of each year and shall adopt a final budget prior to June 30 of each year. The Agency shall operate only under an approved fiscal year budget and may not operate at a deficit.
Section 6.1.1. Prior to the Board of Directors adopting a final budget, each Member Agency shall approve and authorize the contribution of its proportional share of the total preliminary budget, as set forth in Section 6.3.
Section 6.2. Records and Accounts. The Agency shall keep detailed books of accounts, which shall set forth the capital costs; costs of special services and maintenance; operation costs of the Joint Facilities and the provision of the Animal Services; and all financial transactions of the Member Agencies relating to the Joint Facilities and the provisions of the Animal Services. The books of the accounts shall also include any costs, expenses, or charges paid, or to be paid by each of the Member Agencies, and shall be open to inspection, in accordance with the provisions of Section 3.3. of this Agreement.
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Section 6.3. Allocation of Costs and Expenses
Section 6.3.1. Annual Estimate. Prior to April 1 of each year, as a part of the preliminary budget, the Agency shall promptly furnish to each of the Member Agencies, an estimate of the total Annual Budget.
Section 6.3.2. Annual Budget. In establishing the Annual Budget and each Member’s proportional share thereof, the Board of Directors shall use a formula for distributing costs among the Members which may consider actual human population and workload statistics, including the number of animals received at any Joint Facility for the shelter portion of each Annual Budget and the number of field contacts made for the patrol portion of each Annual Budget. Prior to approval of the first Annual Budget for the Agency, the Board of Directors shall develop a formula to equitably distribute costs among the Members which shall require the unanimous approval of the Board of Directors. Once developed, the formula shall be reviewed by the Board of Directors every three (3) years. Modification to the formula shall require the unanimous approval of the Board of Directors. This formula shall constitute “Exhibit C” of this Agreement.
Revenue shall accrue to the Agency from: fines and impound fees, spay and neuter and adoption fees, pet licensing fees, boarding fees, and other fees taken in for operations and shall be credited to the Members’ share based on the proportionate share of the total costs.
Donations, both monetary and non-monetary shall be accepted by the Agency and shall be utilized by the Agency as approved by the Board of Directors.
Section 6.3.3. Insurance Costs. The premiums for the insurance policies described in Section 3.9 above, shall be apportioned annually among the Member Agencies using the percentages established above.
Section 6.3.4. Uninsured or Underinsured Claims. Costs associated with the claims not covered by insurance or which exceed the limits of any applicable policy of insurance, shall be apportioned between the Member Agencies using the percentages established above for the year in which the claim is filed. For purposes of this section, “costs” shall include all losses, costs, damages, fees, and expenses incurred during both the claim stage and during litigation, that arise out of or are related to any such claim or lawsuit (including but not limited to, general and special damages, litigation fees and expenses, travel expenses, pre-litigation fees, consultant fees, court costs, attorneys’ fees, mediator fees, discovery expenses, expert witness fees, and appeal costs and fees).
Section 6.4. Payment of Costs. Beginning on the Effective Date of this Agreement, and quarterly thereafter for each Fiscal Year, each Member Agency agrees to pay the Agency its proportional quarterly share of the total estimate annual costs and expenses as set forth in Section
6.3 above.
Section 6.4.1. Prior to January 1, and each year thereafter, a true-up calculation shall be performed wherein the actual expenditures incurred will be compared to the amounts paid 165
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by Member Agencies. Any overpayment shall be credited in a manner determined by the Board of Directors. The amount of any underpayment shall be added to the Member Agency’s January 1 payment.
Section 6.5. Sources of Funds. Each Member Agency shall have discretion to pay the amounts due and owed under the terms of this Agreement from any source legally available to that Member Agency for such purpose.
Section 6.6. Level of Services and Charges to Member Agencies. Each Member Agency may contract with the Agency for a level of service which is greater than that described in Exhibit B to this Agreement. Any Member Agency electing to receive a higher level of service shall pay the contribution set forth in Section 6.3 together with an additional amount, as established by the Board of Directors, which is sufficient to cover all additional costs incurred or encumbered by the Agency to the provision of those additional services. In no event shall any other Member Agency be required to bear the financial burden of any additional services provided in accordance with this provision.
Section 6.7. Animal Services to Other Agencies. The Agency may provide Animal Services to public agencies not a party to this Agreement, but only upon unanimous approval of the Board of Directors. Such Animal Services shall be by contract, executed by the Chair of the Board of Directors. The Board shall establish the amount of charge for the service, which shall be billed and paid quarterly. Charges will be set with the intent of recovering all operational, capital and maintenance costs expended by the Agency in providing the animal services to a particular agency, both annually and for prorated periods thereof.
Section 6.8. Budget Authority for Executive Director. Notwithstanding what is otherwise provided in Section 3.5, or elsewhere in this Agreement, the Executive Director may not exceed the personnel staffing authorized in the budget, either in number, position classification, or salary. In addition, the Executive Director may not alter the capital budget, utilize any reserve contingency, or increase the total amount of the approved expenditure without the prior approval of the Board of Directors. The Executive Director may recommend expenditures for approval separate from the budget process, in which case the approval of the Board of Directors is required prior to any actual expenditure. The Executive Director must seek authorization from the Board of Directors for budgetary transfers or adjustments above $10,000, as necessary.
ARTICLE VII
ENFORCEMENT
Section 7.1. Enforcement by Agency. The Agency is hereby authorized to take any and all legal or equitable actions on behalf of the Agency, including by not limited to, the seeking of an injunction or specific performance, as necessary or permitted by law, to enforce this Agreement.
ARTICLE VIII
WITHDRAWAL OF A MEMBER AGENCY
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Section 8.1. Continuation of Agreement. Notwithstanding the provisions of Section 9.1, each Member Agency agrees that the withdrawal of a Member Agency pursuant to the provision of this Agreement shall not result in the termination of this Agreement or otherwise affect the ability of the Board of Directors of the remaining Member Agencies to carry out and fulfill the purposes of this Agreement provided that two or more Member Agencies continue to participate.
If, however, the withdrawal results in only one Member Agency continuing to participate, this Agreement shall be deemed to be terminated by mutual agreement and the provisions of Article IX shall apply.
Section 8.2. Withdrawal. A Member Agency may withdraw from the Agency by providing written notice thereof to the Agency. The withdrawal shall become effective on the first day of the fiscal year which is at least six (6) months after service of the notice of withdrawal. Except as provided in Section 8.1. above, the Withdrawal shall in no way affect the rights or obligations of the remaining Member Agencies nor shall it relieve the withdrawing Member Agency of its obligation to pay any amounts due and owing under the terms of this Agreement. In the event that Bonds have been issued, the withdrawing Member Agency shall remain liable for the payment of its proportional share of those Bonds and any interest. Each Member Agency shall retain the right to use its proportionate share of the Joint Facility.
Section 8.3. Waiver of Distribution Upon Withdrawal. Subject to the limitations contained in Section 9.1 below, withdrawal from the Agency shall constitute a waiver of any right which that Member Agency may have to any of the Assets or Cash Reserves of the Agency. Any Member Agency which has withdrawn from the Agency shall likewise waive its right to the distribution of any of the Assets or Cash Reserves of the Agency occasioned by the subsequent dissolution of the Agency.
ARTICLE IX
TERMINATION OF THE AGREEMENT AND DISSOLUTION OF THE AGENCY
Section 9.1. Termination. By agreement approved by a vote of three-fourths (3/4) or more of the Board of Directors, the Member Agencies may mutually agree to terminate this Agreement and dissolve the Agency at any time. Upon termination of this Agreement, the debts and obligations of the Agency shall be divided between the Member Agencies based upon the percentages set forth in Section 9.3.
Section 9.2. Effective Date of Termination. The termination of this Agreement shall become effective on the first day of the fiscal year which is at least twelve (12) months after the notice of withdrawal under Section 8.1 or the submission of a written notice of termination submitted to the Board of Directors which has been approved by all of the Legislative Bodies of the current Member Agencies.
Section 9.3. Disposition of Assets. On the effective date of the termination, the Agency shall be dissolved, and each current Member Agency shall, within a reasonable time, receive its proportionate share of the assets of the Agency and contribute its proportionate or otherwise defined share toward the discharge of any enforceable liabilities incurred by the Agency as the same appear on the books of the Agency.
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Section 9.3.1. Upon the termination of this Agreement, any assets acquired by the Agency during the period of its existence, which are still on hand, and all unencumbered cash reserves (collectively, “Assets and Cash Reserves”) shall be distributed to the current Member Agencies in the following manner: The total amount of maintenance and operating costs paid by each current Member Agency into the Operating Fund during the entire existence of the Agency shall be added together and the percentage of which each Member Agency’s total is in relation to the whole, shall be determined. (For any Member Agency which has withdrawn prior to termination of the Agreement, the amounts paid by that Member Agency shall be equally divided among the current Member Agencies based upon the above percentage, based on appraised value of the assets as of the effective date of the termination.)
Section 9.3.2. The distribution of assets may be made in kind or assets may be sold and the proceeds thereof distributed to the Member Agencies after discharge of all enforceable liabilities.
Section 9.3.3. In the event the current Member Agencies cannot agree upon an appropriate distribution, the City Managers and County Administrative Officers of all current Member Agencies, or their respective designees, shall meet promptly for the purpose of developing a method for distributing the Assets and Cash Reserves among the current Member Agencies.
Section 9.4. Winding Up the Agency. Following dissolution, the Agency shall remain in existence for the sole purpose of winding up the Agency’s affairs, which shall include, but shall not be limited to, the distribution of the Assets and Cash Reserves and the closing out of business and accounts.
ARTICLE X
MISCELLANEOUS
Section 10.1. Section Headings. All section headings in this Agreement are for convenience of reference only and are not to be construed as modifying or governing language in the section referred to or to define or limit the scope of any provision of this Agreement.
Section 10.2. Consent. Whenever in this Agreement consent or approval is required, the same shall not be unreasonably withheld.
Section 10.3. Law Governing. This Agreement is made under the provision of the California Constitution and laws of the State of California and shall be so construed.
Section 10.4. Amendments. This Agreement may be amended at any time, except as limited by Bond covenants, if any. All amendments to the Agreement must be in writing and must be approved by a three-fourths (3/4) vote of the Board of Directors and approved by the Legislative Bodies of the Member Agencies prior to becoming effective.
Section 10.5. Severability. In the event that any provision of this Agreement is determined to be illegal or invalid for any reason, all other provisions and articles of this Agreement shall remain 168
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in full force and effect unless and until otherwise determined. The illegality of any provision of this Agreement shall in no way affect the legality and enforceability of any other provisions of this Agreement.
Section 10.6. Successors. This Agreement shall be binding upon and shall inure to the benefit of the successors of the respective Member Agencies. No Member Agency may assign any right or obligation hereunder without the express written consent of the other Member Agencies.
Section 10.7. Notice. Any notice required to be given or delivered by any provision of this Agreement shall be personally delivered or deposited in the U.S. mail, and shall be deemed to have been received by the party receiving the notice upon the earlier of receipt or 72 hours after mailing.
Section 10.7.1. The Parties may agree to e-mail service but up until the Parties come to this agreement, Section 10.7 prevails.
Section 10.8. Counterpart Execution. This Agreement, or any amendment to this Agreement, may be executed in counterparts, each of which shall be deemed to be an original and said counterparts shall constitute one in the same document which may be sufficiently evidenced by one counterpart.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date and year first herein written above.
-Signatures on Following Pages-
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Hitchcock Road Animal Services Agency
Signature Page
COUNTY OF MONTEREY: CITY OF SALINAS:
Chair or designee
Mary Adams
Mayor
Kimbley Craig
Monterey County Board of Supervisors City of Salinas
Dated: Date:
12/26/2022 | 4:51 PM PST
12/21/2022 | 7:26 PM PST
Approved as to Form: Approved as to Form:
Shane Strong
Office of the County Counsel City Attorney
Office of County Counsel
12/1/2022 | 11:06 AM PST
Christopher A. Callihan
Approved as to Fiscal Provisions:
Jennifer Forsyth
Auditor-Controller Analyst II
12/1/2022 | 1:21 PM PST
City Clerk
Patricia M. Barajas
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Exhibit “A”
Member Agencies
The following public agencies, collectively referred to as “Member Agencies” and individually as “Member Agency” are noted as:
County of Monterey - Effective Date 1/1/2023
City of Salinas - Effective date 1/1/2023
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Exhibit “B”
Animal Services
The term “Animal Services” in the Agreement to which this Exhibit “B” is attached means all the following services:
A. Field Services
Field Services means all the following services, including any vehicles, communications equipment, office supplies, field and administrative personnel, and any other personnel, supplies and equipment, reasonably required to perform the following services (the “Field Services”):
• Pick up of confined stray dogs.
• Pick up deceased animals, including wildlife when there is no other local agency providing the service.
• Pick up of injured, sick, or abandoned stray domestic animals including dogs, cats, and other small animals commonly kept as pets, without regard to weight, that are located on public property or readily accessible on private property with the permission of the property owner, occupant, or the property owner’s or occupants authorized agent.
• Respond to emergency calls such as animals requiring rescue, causing a public safety concern, or attacking people during business hours. • Investigating complaints of animal bites or attacks on humans, including the completion of a report that includes the interviewing of parties involved, quarantining animals which have bitten humans, preparing and transporting biting animal specimens for rabies testing, and investigating alleged violations of a quarantine.
• Investigating complaints of potentially dangerous and vicious dogs and provide administrative hearing as required.
• Responding to complaints of animals running at large, to exclude cats and wildlife.
• Responding to complaints of domestic animals causing a nuisance, including noise complaints, to include mailings, additional patrol, referral to a mediation program, and issuing of citations per jurisdictional based ordinance.
• Respond as staffing allows to police assist calls on animal related issues, which service may include taking control of an animal on the scene. • Investigate complaints regarding the lack of proper care, condition, or attention of domestic animals by their owners.
• Investigate compilations regarding exceeding the limit of the maximum number of animals as applicable per jurisdictional based ordinance. 172
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• Investigate complaints regarding animal related unsanitary conditions as applicable per jurisdictional based ordinance.
• Provide responsible pet owner education as it relates to domestic animals. • When staffing allows, provide animal safety training for service workers (i.e., postal employees, meter readers, code enforcement). • Issue administrative and criminal citations as applicable per jurisdictional based ordinance.
• When staffing allows, participate in any related committees or teams as related to public safety.
• Provide an Animal Control Officer on duty for afterhours emergency on- call service for a minimum of 4 days each week when minimum staffing levels are met.
B. Shelter Services.
Shelter Services means all the following services, including shelter facilities, supplies, animal care staff, supervisors and administrative personnel, and any other personnel, supplies, and equipment reasonably required to perform the following services (the “Shelter Services”):
• Shelter of abandoned, impounded, lost or stray domestic animals brought to the shelter by a Member Agency, a Good Samaritan, or shelter personnel.
• Quarantine provision of biting domestic animals that cannot be quarantined at home.
• Provision for surrender and reclaim of abandoned, lost, or stray domestic animals during established business hours.
• Provide adoption program of animals not reclaimed by owners. • Support as able a shelter-neuter-return program and/or feral cat sterilization program for community feral cats.
• Whenever possible, provide live outcomes for healthy or treatable animals through return to owner, placement with rescue partners, or adoption. • Provide humane euthanasia and disposal of unhealthy, untreatable, or otherwise unadoptable domestic animals that fail to meet the health and temperament standards of the shelter.
• Provision for collecting unpaid fees from the public for services provided or rendered.
C. Veterinary Services
Veterinary Services means all the following services, including office facilities, supplies and professional and trained personnel necessary to perform the following services (the “Veterinary Services”) by staff or by contract:
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• Provision of regular veterinary services by staff or through contracts to treat and provide regular veterinary care to dogs, cats and other impounded domestic animals as needed.
• Monitor quarantined animals that have bitten or designate staff to monitor animals.
• Operate spay/neuter clinic that includes periodic public opportunities for free or low cost spay/neuter for residents of jurisdictional areas. • Through contract, provision of afterhours emergency veterinary care for injured/sick domestic animals found within member jurisdictions. • Provide additional spay/neuter opportunities for community through related vendors as available and as approved
D. Animal Licensing Services
Animal Licensing Services means all the following services, including any vehicles, office facilities, supplies, equipment and personnel necessary to perform the following services (the “Animal Licensing Services”):
• Computerized animal licensing including up to delinquent notices on licensing renewals and online purchasing capabilities.
• Provide licenses at animal shelter during established business hours. • When able, provide staff/volunteers to include issuing licenses at vaccinations, spay/neuter clinics or other community events, as applicable. • Issue assistance animal identification tags to qualified residents as required by state law.
E. Volunteer and Community Outreach Services
Volunteer and Community Outreach Services means all the following services, including any vehicles, office facilities, supplies, equipment, and personnel necessary to perform the following services (the “Volunteer and Community Outreach Services”):
• Provide regular volunteer opportunities inside the shelter to help support and enrich both care for the animals and programs within the shelter. • Provide volunteer and community outreach opportunities outside in the community to includes offsite adoption events and participation with events held within member agencies.
• Hold community outreach, education, and fundraising events.
F. Other services that may be provided and for which a fee may be charged:
• Pick up owned animals.
• Impound owner surrendered animals.
• Provide humane cat traps to the public to capture sick, injured or nuisance domestic animals, including feral cats.
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Exhibit “C”
Voting Formula
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JOINT EXERCISE OF POWERS AGREEMENT
Establishing the
Hitchcock Road Animal Services Agency
THIS JOINT EXERCISE OF POWERS AGREEMENT (“Agreement”) establishing the Hitchcock Road Animal Services Agency (“Agency”) is made and entered into as of January 1, 2023 (“Effective Date”), by and among the public agencies listed on the attached Exhibit A (collectively referred to as “Member Agencies” and individually as “Member Agency”) for the joint purpose of providing care, shelter, and services to animals.
RECITALS
WHEREAS, California Government Code Title I, Chapter 5, Division 7 (commencing with Section 6500) authorizes the Member Agencies to enter into an agreement for the joint exercise of any power common to them, and by that agreement, to create an entity that is separate from each of the Member Agencies; and
WHEREAS, each of the Member Agencies possess the power to provide Animal Services (defined in Section 1.15), including animal field services and animal shelter services, within their respective Jurisdictional Area (defined in Section 1.16); and WHEREAS, the Member Agencies possess the authority to issue bonds, expend bond proceeds, borrow and loan money for certain public purposes, and handle finances within their Member Agencies pursuant to the California Government Code; and WHEREAS, this Agreement is an appropriate means through which the Member Agencies may provide Animal Services because the Jurisdictional Areas of the Member Agencies are in close proximity to one another and are amenable to being served by the Animal Services and related Joint Facilities (defined in Section 1.20) under common administration and management and with the same equipment, resources, and personnel; and WHEREAS, the Member Agencies desire to share their animal services expertise and to optimize their expenditures in connection with the provision of the Animal Services and related Joint Facilities; and
WHEREAS, the Member Agencies have the mutual goal to provide life-saving aid, care, shelter, and support services for animals and this Agreement is in the best interest of animal welfare, staff safety, and public safety; and
WHEREAS, the Member Agencies of Monterey County and the City of Salinas entered into an emergency Memorandum of Understanding due to California’s COVID-19 state of emergency in April 2020, and said Member Agencies have successfully combined and shared services and staffing temporarily; and
WHEREAS, the separate provision, management, and administration of the Animal Services and related Joint Facilities in each Jurisdictional Area by each of their respective DocuSign Envelope ID: EA8674DE-3AB1-42D0-8068-89322D0CA1BD DocuSign Envelope ID: EB5F2C82-401B-4A30-BEFC-AC61342D231E DocuSign Envelope ID: 4A992E9C-DB8E-492D-8137-3CAFC484A1FD 176
Member Agencies and use of separate facilities, resources, and personnel may result in duplication of efforts, inefficiencies in administration, and excessive costs; and WHEREAS, in the judgment of the Member Agencies, the duplication of efforts, inefficiencies, and excessive costs can be eliminated or substantially reduced, to the substantial advantage and benefit of the animals, residents and taxpayers of all of the Member Agencies, if the administration and management of the related Joint Facilities, employing common equipment, resources, and personnel, were to be performed by and through a single public entity and the creation of such a single public entity is the purpose of this Agreement; NOW, THEREFORE, for and in consideration of the facts stated above, the mutual advantages to be gained, and the mutual covenants contained herein, it is agreed by and among the Member Agencies hereto as follows:
ARTICLE I
DEFINITIONS
Section 1.1. Unless the context otherwise requires, the words and terms defined in this Article shall have the meanings specified.
Section 1.11. Act means Article 1, Article 2, Article 3, and Article 4 (commencing with Section 6500) of California Government Code, Title 1, Chapter 5, Division 7, as it may be amended from time to time.
Section 1.12. Administrative Costs means those costs associated with administration and management of the Animal Services as detailed in Exhibit B. Said costs shall include, but are not limited to, costs associated with the provision of administrative supervisory services, human resources services, financial services, and dispatching services.
Section 1.13. Agency means the Hitchcock Road Animal Services Agency.
Section 1.14. Agreement means this joint exercise of powers agreement as it now exists or as it may from time to time be amended, supplemented, or as it may be modified by the addition of signatory parties or by any other supplemental agreement or amendment entered into, pursuant to the provisions of this Agreement.
Section 1.15. Animal Services means those services set forth in Exhibit B, which is attached hereto and incorporated by reference.
Section 1.16. Area and Jurisdictional Area mean that area within the respective jurisdictions of the Member Agencies.
Section 1.17. Board of Directors means the governing board of the Agency referred to in Section 1.13 and more specifically, described in Section 2.6. Director means an individual member of the Board of Directors.
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Section 1.18. Executive Director means the employee of the Lead Agency who is directly responsible to the Board of Directors and who is primarily responsible for the managerial oversight of the operations for the Agency, as further described in Section
3.5. Section 1.19. Fiscal Year means the period from July 1st to and including June 30th of the following year.
Section 1.20. Joint Facilities means the Animal Services facilities, equipment, resources, and property to be owned, leased, managed, and operated by the Agency and, if necessary, any changes thereto.
Section 1.21. Lead Agency means the jurisdiction which is directly responsible to the Board of Directors and which is primarily responsible for the managerial oversight of the operation for the Agency, as further described in Section 3.5.
Section 1.22. Legislative Bodies means the governing bodies over each Member Agency, including but not limited to, City Councils and County of Monterey Board of Supervisors. Legislative Body means any such individual governing body.
Section 1.23. Major Policy Decisions means those issues that materially change either the levels of service or the budget.
Section 1.24. Member Agencies means all of the public agencies who are signatories to this Agreement, which, as of the initial Effective Date of this Agreement, is the City of Salinas and the County of Monterey. Member Agency means any such individual public entity.
Section 1.25. Operational Plan means a plan approved by the Board of Directors, which shall describe in detail the operation of the Agency. Said plan shall include: the anticipated cost of providing the services as described in Exhibit B; the area in which those services shall be provided; the level of service which shall be provided in each of those areas; the anticipated cost for operation and maintenance of the Joint Facilities; the process by which yearly budgets shall be established; the hours of operation; and any other operational, budgetary, and financial process which may be deemed to be necessary or appropriate by the Board of Directors.
Section 1.26. Quorum means the presence of over 50% of the Board of Directors.
Section 1.27. Rules of the Board means the bylaws, rules, regulations, or other directives of the Board of Directors for the conduct of its meetings and affairs as further described in Section 2.9.
ARTICLE II
GENERAL PROVISIONS
Section 2.1. Purpose. The purpose of this Agreement is to create the Hitchcock Road Animal Services Agency, which would allow the Member Agencies to exercise their joint powers to DocuSign Envelope ID: EA8674DE-3AB1-42D0-8068-89322D0CA1BD DocuSign Envelope ID: EB5F2C82-401B-4A30-BEFC-AC61342D231E DocuSign Envelope ID: 4A992E9C-DB8E-492D-8137-3CAFC484A1FD 178
provide more efficient and economical Animal Services within the Area and would: 1) provide for the ownership, management, operation, and maintenance of the Joint Facilities; 2) implement the financing, acquisition, and construction of additions or improvements thereto, if needed; and 3) provide for the ownership, management, operations, and maintenance of any later acquired facilities or properties.
Section 2.2. Creation of Agency. Pursuant to the Act, there is hereby created a public entity to be known as the Hitchcock Road Animal Services Agency, or Agency, as defined in Section
1.13. The Agency, which shall administer this Agreement, is a public entity separate and apart from the Member Agencies. The debts, liabilities, and obligations of the Agency shall not constitute debts, liabilities, or obligations of any party of this Agreement.
Section 2.3. Member Agencies. The Agency shall be composed of the County of Monterey and the City of Salinas, initially. Any other jurisdiction not named as a party to this Agreement who later wishes to join the Agency, may do so if approved by a vote of three-fourths (3/4) or more, of the Board of Directors of the Agency. Said approval shall be conditioned upon the Joint Facility having sufficient capacity to accommodate the new participant’s needs, and the adoption of a resolution by the new jurisdiction’s governing body authorizing execution of an agreement that shall bind them to fully participate financially in the Agency. The new participants shall also be required to provide a “buy-in” contribution as set forth in Section 2.10.
Section 2.4. Term. This agreement shall become effective on the Effective Date and shall continue in effect thereafter unless terminated pursuant to Article IX.
Section 2.5. Transition Plan. Upon the Effective Date of this Agreement, the Members and the Agency will enter into or extend current service agreements, as applicable, for a Transition Period which will be from the Effective Date through June 30, 2023. The Transition Period may be extended by mutual written agreement of the governing bodies of the Members. The Transition Period is intended to provide the Agency with an opportunity to become fully organized and operational without compromising existing services provided to the Members.
Section 2.6. Governing Board. The Agency shall be governed by a Board of Directors and shall be called the Hitchcock Road Animal Services Agency Board. Each entity which is a Party to this Agreement shall have representation on the Board as follows:
1. Two members representing the County Board of Supervisors to include the Board of Supervisors and County Administrative Officer, or their designates.
2. Two members representing the City of Salinas to include the Salinas City Council and City Manager, or their designates.
Pursuant to Government Code section 6506, the Agency Board of Directors is designated as the administrator of this Agreement and of the Agency’s affairs and shall perform its duties and responsibilities in accordance with all provisions of this Agreement.
Section 2.6.1. All voting power of the Agency shall reside within the Board of Directors.
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Section 2.6.2. Each Legislative Body shall appoint alternate Directors for that Member Agency. The alternate Director may act as a Director in the absence of the Director appointed by that Legislative Body.
Section 2.6.3. All Directors and alternates shall serve four-year (4) terms but serve at the pleasure of the Member Agency that appoints them.
Section 2.6.4. All vacancies on the Board of Directors shall be filled by the respective Legislative Body within thirty (30) days of the effective date of the vacancy or as soon thereafter as the Legislative Body may legally act. Any Director or alternate Director shall cease to be a Director when such person ceases to hold the office or the position within the respective public entity that entitles that Director or alternate Director to a position on the Board of Directors.
Section 2.6.5. Board Committees. The Board may, from time to time, establish one or more standing or ad hoc committees consisting of Directors to assist in carrying out the purposes and objects of the Agency, including but not limited to, a Budget and Finance Committee, Planning Committee, and Executive Committee. The Board shall determine the purpose and need for such committees. Meetings of standing committees shall be subject to the requirements of the Brown Act.
Section 2.6.6. Advisory Committee. The Board shall establish an Advisory Committee that shall be designed to ensure participation and provide input to the Board of Directors from the communities represented within the JPA; additionally, the Advisory Committee may also provide professional guidance in areas not already supported by the Agency.
The Advisory Committee shall serve in an advisory role to the Board of Directors and will consist of nine (9) members and appointment to the Advisory Committee, and governance regarding the Advisory Committee, shall be addressed in the Board of Directors Advisory Committee bylaws.
Section 2.6.7. Bylaws of the Board. The Board shall adopt, and from time to time amend by vote, the Bylaws of the Board as necessary or helpful in order for the Board to foster, facilitate or achieve the purposes expressed within this Agreement. These Bylaws shall govern all proceedings of the Board.
Section 2.7. Meetings of the Board of Directors. All meetings of the Board of Directors shall be public meetings, governed by the Brown Act, unless a specified closed session is held in accordance with the California Government Code.
Section 2.7.1. Regular Meetings. The Board of Directors shall provide for regular meetings (a minimum of four (4) per year) at a date, time, and place fixed by the Bylaws of the Board.
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Meetings may be called by two or more Directors representing two or more jurisdictions.
The meeting must be noticed in accordance with the Brown Act.
Section 2.8. Voting. All members of the Board will vote using weighted voting procedures based on the formula found in Exhibit C relating to the annual contributions to the Annual Budget pursuant to Section 6.3. The total percentage of operational funding for each Member Agency will be divided by the number of Directors representing that Member Agency to determine the percentage vote for each Director. A three-fourths (3/4) vote of the Board shall be required to approve the budget and Major Policy Decision, as defined in Section 1.23. Except as provided elsewhere in this Agreement, any action of the Board shall require a majority weighted vote of the Board.
Section 2.9. Conflict of Interest. The Agency Board shall adopt and thereafter maintain a conflict-of-interest code in compliance with applicable provisions of the Political Reform Act (Government Code Section 87300, et seq.) and the regulation adopted by the Fair Political Practices Commission (California Code of Regulations, Section 1870, et seq.).
Section 2.10. New Member Agencies. Subject to the requirements set forth in Section 2.3 above, it is the intent of the Member Agencies to provide, to the extent permitted by law, for the inclusion at a subsequent date of such additional public entities, organized and existing under the Constitution or laws of the State of California, of new parties to this Agreement and members of the Agency. A new Member Agency shall be required to make a “buy-in” contribution in an amount to be determined by a three-fourths (3/4) vote of the Board, and pay their share of annual operating costs and other expense pursuant to Section 6.3. For entities joining the Agency at any other date, other than the beginning of the Agency’s fiscal year, cash contributions for operating costs shall be prorated for the reminder of the fiscal year. New agencies who receive all Animal Services described in Exhibit B shall have two (2) members on the Board, and new agencies who receive fewer Animal Services shall have one (1) Board member.
ARTICLE III
ORGANIZATIONAL STRUCTURE
Section 3.1. Chairperson and Vice-Chairperson. The Board shall elect a Chairperson and a Vice Chairperson from amongst its members at its first meeting and thereafter, at the first regular meeting of the Board for each calendar year. In the event of the disqualification of permanent inability of the Chairperson to serve the remainder of their term, the Vice Chairperson shall assume the duties of the Chairperson and the Board of Directors shall elect a new Vice Chairperson for the reminder of the that term.
Section 3.1.1. The Chairperson shall be authorized to sign all resolutions of the Board of Directors and all contracts on behalf of the Agency and shall perform such other duties as may be imposed by the Board of Directors, consistent with the terms and provisions of this Agreement and the Bylaws of the Board.
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Section 3.1.2. The Vice Chairperson shall be authorized to act as the Chairperson, exercise all of the power of the Chairperson, and perform all of the duties of the Chairperson in the temporary absence of the Chairperson.
Section 3.2. Secretary. The Executive Director shall designate an employee of the Lead Agency to serve as Secretary to the Board of Directors, who shall perform such other duties as may be imposed upon the Secretary by the Board of Directors and cause a copy of this Agreement to be filed with the California Secretary of State and the State of California, pursuant to Section 6503.5 of the Act. Should an Executive Director of the JPA not be in place during the formation of the Board of Directors, the Administrator of the Monterey County Animal Services shall designate a staff member to serve as the interim Secretary.
Section 3.3. Treasurer. The Executive Director shall designate an employee of the Lead Agency to serve as Treasurer of the Agency. Should an Executive Director of the JPA not be in place during the formation of the Board of Directors, the Administrator of the Monterey County Animal Services shall designate a staff member to serve as the interim Treasurer.
Section 3.3.1. The Treasurer shall be the depository and shall have custody of all of the accounts, funds, and money of the agency from whatever source. The Treasurer shall have the duties and obligation set forth in Section 6505 and 6505.5 of the Act, and shall assure that there shall be strict accountability of all funds and reporting of all receipts and disbursement of the Agency.
Section 3.3.2. The books and records of the Agency shall be open to inspection at reasonable times by representatives of the Member Agencies. The Treasurer shall, within ninety (90) days after the close of each fiscal year of within sixty (60) days after the termination of this Agreement, give a complete written report of all financial activities of the fiscal year to the parties thereto.
Section 3.3.3. The Treasurer shall, in accordance with Section 6505 and 6505.6 of the Act, cause the books of account and other financial records of the Agency to be audited annually by an independent public accountant or certified public accountant.
Section 3.4. Officers in Charge of the Property. Pursuant to Section 6505 of the California Government Code, the Treasurer shall oversee, handle, and have access to all accounts, funds, and money of the Agency and all records of the Agency relating to such accounts, funds, and money. The Secretary shall oversee, handle, and have access to all other records of the Agency.
The Executive Director, Animal Services Administrator or the supervisor of the Lead Agency in the absence of the Executive Director, shall oversee, manage, and have access to all physical property of the Agency.
Section 3.5. Management. The regular management of the operations and activities of the Agency shall be vested in the Executive Director, who shall be the Lead Agency’s Animal Services Administrator, unless another is approved by the Board of Directors. Unless otherwise provided by the Bylaws of the Board or resolution of the Board of Directors, the Executive Director shall have the following powers:
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Section 3.5.1. To oversee, manage, maintain, and operate a shelter facility and provide animal support services and animal control services, including, but not limited to, food and shelter, veterinary aid, spaying and neutering, and care to animals; County and city licensing; adoption services; ordinance enforcement; community engagement and education; volunteers; animal control services in the field within the respective cities and unincorporated county; impounding of animals; and such other activities and services as deemed necessary or appropriate for animal welfare and public safety, pursuant to California law;
Section 3.5.2. To provide for the planning, design, and construction of any improvements or changes to the Joint Facilities and/or the leasing or remodeling of any existing facilities, or any new facilities to be operated by the Agency, as authorized by the Board of Directors;
Section 3.5.3. Except as otherwise provided in Section 4.2, to execute any contracts for capital costs, costs of special services, equipment, materials, supplies, maintenance, or repair that involve an expenditure by the Agency within the limits and in accordance with procedures to be established by the Agency in the manner provided for local agencies pursuant to Article 7, commencing with Section 54201 of Chapter 5 of Part 1 of Division 2 of Title 5 of the California Government Code;
Section 3.5.4. To execute contracts in an amount up to a limit set by the Board of Directors;
Section 3.5.5. To appoint, employ, and manage all personnel required by the Agency for maintenance and operation of the Animal Services and the Joint Facilities, and all other employees authorized by the Agency’s budget and by the Board of Directors as either direct employees of the Agency, or if deemed necessary, as employees of the Member Agencies;
Section 3.5.6. To retain any consultants as authorized in the Agency’s budget and by the Board of Directors;
Section 3.5.7. Subject to approval of the Board of Directors, to appoint, employ, and manage all consultants and contractors required to be retained in connection with the design of any changes or improvements to the Joint Facilities or construction of new facilities;
Section 3.5.8. To expend funds of the Agency and enter into contracts whenever required or for the immediate preservation of the public peace, health, or safety, subject to the subsequent ratification of the Board of Directors;
Section 3.5.9. To dispose of any personal property of the Agency as may be provided in the Bylaws of the Board of Directors or otherwise authorized by the Board of Directors; Section 3.5.10. To approve and pay bills and expenses for the Agency of $50,000 or less, which are authorized in the Agency’s budget;
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Section 3.5.11. To prepare and submit to the Board of Directors in time for revision and adoption by the Agency prior to March 1st of each year, the annual preliminary budget for the next succeeding Fiscal year referred to in Section 6.1; Section 3.5.12. Generally, to supervise the acquisition, construction, management, maintenance, and operation of the Joint Facilities and personnel of the Agency; Section 3.5.13. To perform such other duties as directed by the Board of Directors and report to the Board of Directors at such times and on such matters as the Board of Directors may direct.
Section 3.6. Legal Advisor. The legal advisor of, and provider of legal advice and services to, the Agency, shall be an attorney retained by the Agency for this purpose. The Board of Directors shall choose the attorney to retain and may choose to retain the services of a private attorney; the Board may alternatively choose to retain the County Counsel’s office of Monterey County, or the City Attorney’s office of the City of Salinas, for this purpose.
Section 3.7. Other Services. The Board of Directors shall have the power to appoint and employ such consultants and independent contracts as may be necessary for the purposes of and pursuant to this Agreement.
Section 3.9. Indemnity and Insurance. The Agency shall defend, indemnify, and hold harmless each Member Agency to this Agreement and its respective Board of Director members, officers, agents and employees, from all claims, losses, damages, costs, injury, and liability arising out of the Agency’s performance of its obligations under this Agreement. The Executive Director shall obtain, and keep in place, policies of insurance with coverage and limits sufficient to protect the Agency and its Member Agencies from claims for damages arising from the activities of the Agency, its Board of Directors, officers, and employees. The policies of insurance described herein shall include, but shall not be limited to, coverage for automobile liability, comprehensive general liability, workers’ compensation, and excess liability. The Board of Directors shall, from time to time, set the appropriate levels of coverage and shall determine whether additional insurance coverage is appropriate. Each Member Agency shall be named as an “additional insured” on each policy of insurance.
ARTICLE IV
POWERS OF THE AGENCY
Section 4.1. General Powers. In the manner provided herein, the Agency shall exercise the powers common to each Member Agency as authorized by the laws of the California. As authorized by the act, the Agency shall be a public entity separate and distinct from the Member Agencies. The Agency shall have the power to finance, acquire, construct, manage, maintain, and operate the Joint Facilities. The Agency shall have all of the powers provided in Article 2 and Article 4 of the Act, unless specifically prohibited or restricted by the Agreement.
Section 4.2. Specific Powers. The Agency is hereby authorized to do all of the following:
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Section 4.2.1. Until such time that the Agency is fiscally able to hire an Executive Director and direct employees, Monterey County may serve as the Lead Agency.
Services shall include, but not be limited to, the hiring and management of staff; the construction, management, maintenance, and operation of the Joint Facility; and the provision of Animal Services as set for in Exhibit B. Any modification to Exhibit B requires a three-fourths (3/4) vote of the Board of Directors.
Section 4.2.2. To make and enter into agreements in the name of the Agency within the limitations established by the Agency budget;
Section 4.2.3. At such time that the Agency is fiscally able, to employ agents or employees;
Section 4.2.4. To acquire, construct, manage, maintain, operate, hold, and convey real and personal property, including leasehold interests;
Section 4.2.5. To incur debts, liabilities, and obligations subject to the provisions of this Agreement, provided that no debt, liability, or obligation shall constitute a debt, liability, or obligation of any Member Agency;
Section 4.2.6. To participate in joint projects and cooperate with other agencies, counties, and local public or nonprofit groups;
Section 4.2.7. To apply for and accept grants, loans, or contributions from any public or private agency or individual, or the United States, the State of California, or any department, instrumentality, or agency thereof, for the purpose of financing the activities of the Agency;
Section 4.2.8. To sue or be sued, in its own name, but not in the name of any Member Agency;
Section 4.2.9. To manage and invest, pursuant to Section 6505.5 of the Act, those funds not needed to fulfill the immediate needs of the Agency, as deemed advisable by the Agency in the same manner and upon the same conditions as local agencies, pursuant to Section 53601 of the California Government Code;
Section 4.2.10. To carry out and enforce all provisions of this Agreement.
Section 4.3. Bonds. The Agency shall have all of the powers provided in Article 4 of the Act, including the power to issue bonds.
Section 4.4. Oversight of the Board of Directors by Member Agencies’ Legislative Bodies. The Agency shall have the responsibility of providing quarterly reports, in a format which will be determined by the Parties, and periodically attend Council or Board meetings as may be requested to provide information on the work of the Agency and to seek input.
ARTICLE V
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METHODS OF PROCEDURE
Section 5.1. Delegation of Powers. Each Member Agency hereby delegates to the Agency, the following powers: 1) the power to purchase, maintain, operate, and manage any Animal Services equipment, resources, and real property acquired by, or provided to, the Agency; and 2) the power to employ, contract for, or otherwise acquire the necessary personnel to fulfill the obligations of the Agency under the terms of this Agreement.
Section 5.2. Joint Maintenance and Operation Fund. The Board of Directors shall establish a joint interest-bearing maintenance and operation fund (hereinafter refer to as the “Operating Fund”), which the Agency shall use to pay all administrative and operation expenses of the Agency and the maintenance and operation costs of the Joint Facilities. Each of the Member Agencies shall pay into said Operating Fund, its proportionate amount of the annually budgeted maintenance and operation costs, computed in accordance with the provisions of Section 6.3 of this Agreement.
Section 5.3. Capital Acquisition, Improvement, and Replacement Fund. The Board of Directors may, at its discretion, create an interest-bearing capital acquisition and replacement fund (hereinafter referred to as the “Capital Fund”) which shall be used for any of the following purposes: 1) the acquisition and construction of additional or new Joint Facilities; 2) the improvement or replacement of any other capital improvement owned or controlled by the Agency; or 3) the acquisition or replacement of capital equipment and property of the Agency.
Each Member Agency shall annually pay into said Capital Fund, its proportionate share of capital costs.
ARTICLE VI
BUDGET: MAINTENANCE, OPERATIONAL, AND OTHER COSTS
Section 6.1. Annual Budget. Annually, the Board of Directors shall adopt a budget for maintenance and operation costs, capital costs, costs of special services, and debt service payments. The Board of Directors shall adopt a preliminary budget prior to March 1 of each year and shall adopt a final budget prior to June 30 of each year. The Agency shall operate only under an approved fiscal year budget and may not operate at a deficit.
Section 6.1.1. Prior to the Board of Directors adopting a final budget, each Member Agency shall approve and authorize the contribution of its proportional share of the total preliminary budget, as set forth in Section 6.3.
Section 6.2. Records and Accounts. The Agency shall keep detailed books of accounts, which shall set forth the capital costs; costs of special services and maintenance; operation costs of the Joint Facilities and the provision of the Animal Services; and all financial transactions of the Member Agencies relating to the Joint Facilities and the provisions of the Animal Services. The books of the accounts shall also include any costs, expenses, or charges paid, or to be paid by each of the Member Agencies, and shall be open to inspection, in accordance with the provisions of Section 3.3. of this Agreement.
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Section 6.3. Allocation of Costs and Expenses
Section 6.3.1. Annual Estimate. Prior to April 1 of each year, as a part of the preliminary budget, the Agency shall promptly furnish to each of the Member Agencies, an estimate of the total Annual Budget.
Section 6.3.2. Annual Budget. In establishing the Annual Budget and each Member’s proportional share thereof, the Board of Directors shall use a formula for distributing costs among the Members which may consider actual human population and workload statistics, including the number of animals received at any Joint Facility for the shelter portion of each Annual Budget and the number of field contacts made for the patrol portion of each Annual Budget. Prior to approval of the first Annual Budget for the Agency, the Board of Directors shall develop a formula to equitably distribute costs among the Members which shall require the unanimous approval of the Board of Directors. Once developed, the formula shall be reviewed by the Board of Directors every three (3) years. Modification to the formula shall require the unanimous approval of the Board of Directors. This formula shall constitute “Exhibit C” of this Agreement.
Revenue shall accrue to the Agency from: fines and impound fees, spay and neuter and adoption fees, pet licensing fees, boarding fees, and other fees taken in for operations and shall be credited to the Members’ share based on the proportionate share of the total costs.
Donations, both monetary and non-monetary shall be accepted by the Agency and shall be utilized by the Agency as approved by the Board of Directors.
Section 6.3.3. Insurance Costs. The premiums for the insurance policies described in Section 3.9 above, shall be apportioned annually among the Member Agencies using the percentages established above.
Section 6.3.4. Uninsured or Underinsured Claims. Costs associated with the claims not covered by insurance or which exceed the limits of any applicable policy of insurance, shall be apportioned between the Member Agencies using the percentages established above for the year in which the claim is filed. For purposes of this section, “costs” shall include all losses, costs, damages, fees, and expenses incurred during both the claim stage and during litigation, that arise out of or are related to any such claim or lawsuit (including but not limited to, general and special damages, litigation fees and expenses, travel expenses, pre-litigation fees, consultant fees, court costs, attorneys’ fees, mediator fees, discovery expenses, expert witness fees, and appeal costs and fees).
Section 6.4. Payment of Costs. Beginning on the Effective Date of this Agreement, and quarterly thereafter for each Fiscal Year, each Member Agency agrees to pay the Agency its proportional quarterly share of the total estimate annual costs and expenses as set forth in Section
6.3 above.
Section 6.4.1. Prior to January 1, and each year thereafter, a true-up calculation shall be performed wherein the actual expenditures incurred will be compared to the amounts paid DocuSign Envelope ID: EA8674DE-3AB1-42D0-8068-89322D0CA1BD DocuSign Envelope ID: EB5F2C82-401B-4A30-BEFC-AC61342D231E DocuSign Envelope ID: 4A992E9C-DB8E-492D-8137-3CAFC484A1FD 187
by Member Agencies. Any overpayment shall be credited in a manner determined by the Board of Directors. The amount of any underpayment shall be added to the Member Agency’s January 1 payment.
Section 6.5. Sources of Funds. Each Member Agency shall have discretion to pay the amounts due and owed under the terms of this Agreement from any source legally available to that Member Agency for such purpose.
Section 6.6. Level of Services and Charges to Member Agencies. Each Member Agency may contract with the Agency for a level of service which is greater than that described in Exhibit B to this Agreement. Any Member Agency electing to receive a higher level of service shall pay the contribution set forth in Section 6.3 together with an additional amount, as established by the Board of Directors, which is sufficient to cover all additional costs incurred or encumbered by the Agency to the provision of those additional services. In no event shall any other Member Agency be required to bear the financial burden of any additional services provided in accordance with this provision.
Section 6.7. Animal Services to Other Agencies. The Agency may provide Animal Services to public agencies not a party to this Agreement, but only upon unanimous approval of the Board of Directors. Such Animal Services shall be by contract, executed by the Chair of the Board of Directors. The Board shall establish the amount of charge for the service, which shall be billed and paid quarterly. Charges will be set with the intent of recovering all operational, capital and maintenance costs expended by the Agency in providing the animal services to a particular agency, both annually and for prorated periods thereof.
Section 6.8. Budget Authority for Executive Director. Notwithstanding what is otherwise provided in Section 3.5, or elsewhere in this Agreement, the Executive Director may not exceed the personnel staffing authorized in the budget, either in number, position classification, or salary. In addition, the Executive Director may not alter the capital budget, utilize any reserve contingency, or increase the total amount of the approved expenditure without the prior approval of the Board of Directors. The Executive Director may recommend expenditures for approval separate from the budget process, in which case the approval of the Board of Directors is required prior to any actual expenditure. The Executive Director must seek authorization from the Board of Directors for budgetary transfers or adjustments above $10,000, as necessary.
ARTICLE VII
ENFORCEMENT
Section 7.1. Enforcement by Agency. The Agency is hereby authorized to take any and all legal or equitable actions on behalf of the Agency, including by not limited to, the seeking of an injunction or specific performance, as necessary or permitted by law, to enforce this Agreement.
ARTICLE VIII
WITHDRAWAL OF A MEMBER AGENCY
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Section 8.1. Continuation of Agreement. Notwithstanding the provisions of Section 9.1, each Member Agency agrees that the withdrawal of a Member Agency pursuant to the provision of this Agreement shall not result in the termination of this Agreement or otherwise affect the ability of the Board of Directors of the remaining Member Agencies to carry out and fulfill the purposes of this Agreement provided that two or more Member Agencies continue to participate.
If, however, the withdrawal results in only one Member Agency continuing to participate, this Agreement shall be deemed to be terminated by mutual agreement and the provisions of Article IX shall apply.
Section 8.2. Withdrawal. A Member Agency may withdraw from the Agency by providing written notice thereof to the Agency. The withdrawal shall become effective on the first day of the fiscal year which is at least six (6) months after service of the notice of withdrawal. Except as provided in Section 8.1. above, the Withdrawal shall in no way affect the rights or obligations of the remaining Member Agencies nor shall it relieve the withdrawing Member Agency of its obligation to pay any amounts due and owing under the terms of this Agreement. In the event that Bonds have been issued, the withdrawing Member Agency shall remain liable for the payment of its proportional share of those Bonds and any interest. Each Member Agency shall retain the right to use its proportionate share of the Joint Facility.
Section 8.3. Waiver of Distribution Upon Withdrawal. Subject to the limitations contained in Section 9.1 below, withdrawal from the Agency shall constitute a waiver of any right which that Member Agency may have to any of the Assets or Cash Reserves of the Agency. Any Member Agency which has withdrawn from the Agency shall likewise waive its right to the distribution of any of the Assets or Cash Reserves of the Agency occasioned by the subsequent dissolution of the Agency.
ARTICLE IX
TERMINATION OF THE AGREEMENT AND DISSOLUTION OF THE AGENCY
Section 9.1. Termination. By agreement approved by a vote of three-fourths (3/4) or more of the Board of Directors, the Member Agencies may mutually agree to terminate this Agreement and dissolve the Agency at any time. Upon termination of this Agreement, the debts and obligations of the Agency shall be divided between the Member Agencies based upon the percentages set forth in Section 9.3.
Section 9.2. Effective Date of Termination. The termination of this Agreement shall become effective on the first day of the fiscal year which is at least twelve (12) months after the notice of withdrawal under Section 8.1 or the submission of a written notice of termination submitted to the Board of Directors which has been approved by all of the Legislative Bodies of the current Member Agencies.
Section 9.3. Disposition of Assets. On the effective date of the termination, the Agency shall be dissolved, and each current Member Agency shall, within a reasonable time, receive its proportionate share of the assets of the Agency and contribute its proportionate or otherwise defined share toward the discharge of any enforceable liabilities incurred by the Agency as the same appear on the books of the Agency.
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Section 9.3.1. Upon the termination of this Agreement, any assets acquired by the Agency during the period of its existence, which are still on hand, and all unencumbered cash reserves (collectively, “Assets and Cash Reserves”) shall be distributed to the current Member Agencies in the following manner: The total amount of maintenance and operating costs paid by each current Member Agency into the Operating Fund during the entire existence of the Agency shall be added together and the percentage of which each Member Agency’s total is in relation to the whole, shall be determined. (For any Member Agency which has withdrawn prior to termination of the Agreement, the amounts paid by that Member Agency shall be equally divided among the current Member Agencies based upon the above percentage, based on appraised value of the assets as of the effective date of the termination.)
Section 9.3.2. The distribution of assets may be made in kind or assets may be sold and the proceeds thereof distributed to the Member Agencies after discharge of all enforceable liabilities.
Section 9.3.3. In the event the current Member Agencies cannot agree upon an appropriate distribution, the City Managers and County Administrative Officers of all current Member Agencies, or their respective designees, shall meet promptly for the purpose of developing a method for distributing the Assets and Cash Reserves among the current Member Agencies.
Section 9.4. Winding Up the Agency. Following dissolution, the Agency shall remain in existence for the sole purpose of winding up the Agency’s affairs, which shall include, but shall not be limited to, the distribution of the Assets and Cash Reserves and the closing out of business and accounts.
ARTICLE X
MISCELLANEOUS
Section 10.1. Section Headings. All section headings in this Agreement are for convenience of reference only and are not to be construed as modifying or governing language in the section referred to or to define or limit the scope of any provision of this Agreement.
Section 10.2. Consent. Whenever in this Agreement consent or approval is required, the same shall not be unreasonably withheld.
Section 10.3. Law Governing. This Agreement is made under the provision of the California Constitution and laws of the State of California and shall be so construed.
Section 10.4. Amendments. This Agreement may be amended at any time, except as limited by Bond covenants, if any. All amendments to the Agreement must be in writing and must be approved by a three-fourths (3/4) vote of the Board of Directors and approved by the Legislative Bodies of the Member Agencies prior to becoming effective.
Section 10.5. Severability. In the event that any provision of this Agreement is determined to be illegal or invalid for any reason, all other provisions and articles of this Agreement shall remain DocuSign Envelope ID: EA8674DE-3AB1-42D0-8068-89322D0CA1BD DocuSign Envelope ID: EB5F2C82-401B-4A30-BEFC-AC61342D231E DocuSign Envelope ID: 4A992E9C-DB8E-492D-8137-3CAFC484A1FD 190
in full force and effect unless and until otherwise determined. The illegality of any provision of this Agreement shall in no way affect the legality and enforceability of any other provisions of this Agreement.
Section 10.6. Successors. This Agreement shall be binding upon and shall inure to the benefit of the successors of the respective Member Agencies. No Member Agency may assign any right or obligation hereunder without the express written consent of the other Member Agencies.
Section 10.7. Notice. Any notice required to be given or delivered by any provision of this Agreement shall be personally delivered or deposited in the U.S. mail, and shall be deemed to have been received by the party receiving the notice upon the earlier of receipt or 72 hours after mailing.
Section 10.7.1. The Parties may agree to e-mail service but up until the Parties come to this agreement, Section 10.7 prevails.
Section 10.8. Counterpart Execution. This Agreement, or any amendment to this Agreement, may be executed in counterparts, each of which shall be deemed to be an original and said counterparts shall constitute one in the same document which may be sufficiently evidenced by one counterpart.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date and year first herein written above.
-Signatures on Following Pages-
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Hitchcock Road Animal Services Agency
Signature Page
COUNTY OF MONTEREY: CITY OF SALINAS:
Chair or designee
Monterey County Board of Supervisors
Mayor
City of Salinas
Dated: Date:
Approved as to Form: Approved as to Form:
Office of the County Counsel City Attorney
___________________________________
City Clerk
DocuSign Envelope ID: EA8674DE-3AB1-42D0-8068-89322D0CA1BD Shane Strong
Office of County Counsel
12/1/2022 | 11:06 AM PST
12/1/2022 | 1:21 PM PST
Jennifer Forsyth
Approved as to Fiscal Provisions:
Auditor-Controller Analyst II
DocuSign Envelope ID: EB5F2C82-401B-4A30-BEFC-AC61342D231E DocuSign Envelope ID: 4A992E9C-DB8E-492D-8137-3CAFC484A1FD Christopher A. Callihan
12/21/2022 | 7:26 PM PST
Kimbley Craig
12/26/2022 | 4:51 PM PST
Mary Adams
Patricia M. Barajas
192
Exhibit “A”
Member Agencies
The following public agencies, collectively referred to as “Member Agencies” and individually as “Member Agency” are noted as:
County of Monterey - Effective Date 1/1/2023
City of Salinas - Effective date 1/1/2023
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Exhibit “B”
Animal Services
The term “Animal Services” in the Agreement to which this Exhibit “B” is attached means all the following services:
A. Field Services
Field Services means all the following services, including any vehicles, communications equipment, office supplies, field and administrative personnel, and any other personnel, supplies and equipment, reasonably required to perform the following services (the “Field Services”):
Pick up of confined stray dogs.
Pick up deceased animals, including wildlife when there is no other local agency providing the service.
Pick up of injured, sick, or abandoned stray domestic animals including dogs, cats, and other small animals commonly kept as pets, without regard to weight, that are located on public property or readily accessible on private property with the permission of the property owner, occupant, or the property owner’s or occupants authorized agent.
Respond to emergency calls such as animals requiring rescue, causing a public safety concern, or attacking people during business hours. Investigating complaints of animal bites or attacks on humans, including the completion of a report that includes the interviewing of parties involved, quarantining animals which have bitten humans, preparing and transporting biting animal specimens for rabies testing, and investigating alleged violations of a quarantine.
Investigating complaints of potentially dangerous and vicious dogs and provide administrative hearing as required.
Responding to complaints of animals running at large, to exclude cats and wildlife.
Responding to complaints of domestic animals causing a nuisance, including noise complaints, to include mailings, additional patrol, referral to a mediation program, and issuing of citations per jurisdictional based ordinance.
Respond as staffing allows to police assist calls on animal related issues, which service may include taking control of an animal on the scene. Investigate complaints regarding the lack of proper care, condition, or attention of domestic animals by their owners.
Investigate compilations regarding exceeding the limit of the maximum number of animals as applicable per jurisdictional based ordinance.
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Investigate complaints regarding animal related unsanitary conditions as applicable per jurisdictional based ordinance.
Provide responsible pet owner education as it relates to domestic animals. When staffing allows, provide animal safety training for service workers (i.e., postal employees, meter readers, code enforcement). Issue administrative and criminal citations as applicable per jurisdictional based ordinance.
When staffing allows, participate in any related committees or teams as related to public safety.
Provide an Animal Control Officer on duty for afterhours emergency on- call service for a minimum of 4 days each week when minimum staffing levels are met.
B. Shelter Services.
Shelter Services means all the following services, including shelter facilities, supplies, animal care staff, supervisors and administrative personnel, and any other personnel, supplies, and equipment reasonably required to perform the following services (the “Shelter Services”):
Shelter of abandoned, impounded, lost or stray domestic animals brought to the shelter by a Member Agency, a Good Samaritan, or shelter personnel.
Quarantine provision of biting domestic animals that cannot be quarantined at home.
Provision for surrender and reclaim of abandoned, lost, or stray domestic animals during established business hours.
Provide adoption program of animals not reclaimed by owners. Support as able a shelter-neuter-return program and/or feral cat sterilization program for community feral cats.
Whenever possible, provide live outcomes for healthy or treatable animals through return to owner, placement with rescue partners, or adoption. Provide humane euthanasia and disposal of unhealthy, untreatable, or otherwise unadoptable domestic animals that fail to meet the health and temperament standards of the shelter.
Provision for collecting unpaid fees from the public for services provided or rendered.
C. Veterinary Services
Veterinary Services means all the following services, including office facilities, supplies and professional and trained personnel necessary to perform the following services (the “Veterinary Services”) by staff or by contract:
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Provision of regular veterinary services by staff or through contracts to treat and provide regular veterinary care to dogs, cats and other impounded domestic animals as needed.
Monitor quarantined animals that have bitten or designate staff to monitor animals.
Operate spay/neuter clinic that includes periodic public opportunities for free or low cost spay/neuter for residents of jurisdictional areas. Through contract, provision of afterhours emergency veterinary care for injured/sick domestic animals found within member jurisdictions. Provide additional spay/neuter opportunities for community through related vendors as available and as approved
D. Animal Licensing Services
Animal Licensing Services means all the following services, including any vehicles, office facilities, supplies, equipment and personnel necessary to perform the following services (the “Animal Licensing Services”):
Computerized animal licensing including up to delinquent notices on licensing renewals and online purchasing capabilities.
Provide licenses at animal shelter during established business hours. When able, provide staff/volunteers to include issuing licenses at vaccinations, spay/neuter clinics or other community events, as applicable. Issue assistance animal identification tags to qualified residents as required by state law.
E. Volunteer and Community Outreach Services
Volunteer and Community Outreach Services means all the following services, including any vehicles, office facilities, supplies, equipment, and personnel necessary to perform the following services (the “Volunteer and Community Outreach Services”):
Provide regular volunteer opportunities inside the shelter to help support and enrich both care for the animals and programs within the shelter. Provide volunteer and community outreach opportunities outside in the community to includes offsite adoption events and participation with events held within member agencies.
Hold community outreach, education, and fundraising events.
F. Other services that may be provided and for which a fee may be charged:
Pick up owned animals.
Impound owner surrendered animals.
Provide humane cat traps to the public to capture sick, injured or nuisance domestic animals, including feral cats.
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Exhibit “C”
Voting Formula
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JOINT EXERCISE OF POWERS AGREEMENT
Establishing the
Hitchcock Road Animal Services Agency
THIS JOINT EXERCISE OF POWERS AGREEMENT (“Agreement”) establishing the Hitchcock Road Animal Services Agency (“Agency”) is made and entered into as of January 1, 2023 (“Effective Date”), by and among the public agencies listed on the attached Exhibit A (collectively referred to as “Member Agencies” and individually as “Member Agency”) for the joint purpose of providing care, shelter, and services to animals.
RECITALS
WHEREAS, California Government Code Title I, Chapter 5, Division 7 (commencing with Section 6500) authorizes the Member Agencies to enter into an agreement for the joint exercise of any power common to them, and by that agreement, to create an entity that is separate from each of the Member Agencies; and
WHEREAS, each of the Member Agencies possess the power to provide Animal Services (defined in Section 1.15), including animal field services and animal shelter services, within their respective Jurisdictional Area (defined in Section 1.16); and WHEREAS, the Member Agencies possess the authority to issue bonds, expend bond proceeds, borrow and loan money for certain public purposes, and handle finances within their Member Agencies pursuant to the California Government Code; and WHEREAS, this Agreement is an appropriate means through which the Member Agencies may provide Animal Services because the Jurisdictional Areas of the Member Agencies are in close proximity to one another and are amenable to being served by the Animal Services and related Joint Facilities (defined in Section 1.20) under common administration and management and with the same equipment, resources, and personnel; and WHEREAS, the Member Agencies desire to share their animal services expertise and to optimize their expenditures in connection with the provision of the Animal Services and related Joint Facilities; and
WHEREAS, the Member Agencies have the mutual goal to provide life-saving aid, care, shelter, and support services for animals and this Agreement is in the best interest of animal welfare, staff safety, and public safety; and
WHEREAS, the Member Agencies of Monterey County and the City of Salinas entered into an emergency Memorandum of Understanding due to California’s COVID-19 state of emergency in April 2020, and said Member Agencies have successfully combined and shared services and staffing temporarily; and
WHEREAS, the separate provision, management, and administration of the Animal Services and related Joint Facilities in each Jurisdictional Area by each of their respective DocuSign Envelope ID: EA8674DE-3AB1-42D0-8068-89322D0CA1BD DocuSign Envelope ID: EB5F2C82-401B-4A30-BEFC-AC61342D231E DocuSign Envelope ID: 4A992E9C-DB8E-492D-8137-3CAFC484A1FD 198
Member Agencies and use of separate facilities, resources, and personnel may result in duplication of efforts, inefficiencies in administration, and excessive costs; and WHEREAS, in the judgment of the Member Agencies, the duplication of efforts, inefficiencies, and excessive costs can be eliminated or substantially reduced, to the substantial advantage and benefit of the animals, residents and taxpayers of all of the Member Agencies, if the administration and management of the related Joint Facilities, employing common equipment, resources, and personnel, were to be performed by and through a single public entity and the creation of such a single public entity is the purpose of this Agreement; NOW, THEREFORE, for and in consideration of the facts stated above, the mutual advantages to be gained, and the mutual covenants contained herein, it is agreed by and among the Member Agencies hereto as follows:
ARTICLE I
DEFINITIONS
Section 1.1. Unless the context otherwise requires, the words and terms defined in this Article shall have the meanings specified.
Section 1.11. Act means Article 1, Article 2, Article 3, and Article 4 (commencing with Section 6500) of California Government Code, Title 1, Chapter 5, Division 7, as it may be amended from time to time.
Section 1.12. Administrative Costs means those costs associated with administration and management of the Animal Services as detailed in Exhibit B. Said costs shall include, but are not limited to, costs associated with the provision of administrative supervisory services, human resources services, financial services, and dispatching services.
Section 1.13. Agency means the Hitchcock Road Animal Services Agency.
Section 1.14. Agreement means this joint exercise of powers agreement as it now exists or as it may from time to time be amended, supplemented, or as it may be modified by the addition of signatory parties or by any other supplemental agreement or amendment entered into, pursuant to the provisions of this Agreement.
Section 1.15. Animal Services means those services set forth in Exhibit B, which is attached hereto and incorporated by reference.
Section 1.16. Area and Jurisdictional Area mean that area within the respective jurisdictions of the Member Agencies.
Section 1.17. Board of Directors means the governing board of the Agency referred to in Section 1.13 and more specifically, described in Section 2.6. Director means an individual member of the Board of Directors.
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Section 1.18. Executive Director means the employee of the Lead Agency who is directly responsible to the Board of Directors and who is primarily responsible for the managerial oversight of the operations for the Agency, as further described in Section
3.5. Section 1.19. Fiscal Year means the period from July 1st to and including June 30th of the following year.
Section 1.20. Joint Facilities means the Animal Services facilities, equipment, resources, and property to be owned, leased, managed, and operated by the Agency and, if necessary, any changes thereto.
Section 1.21. Lead Agency means the jurisdiction which is directly responsible to the Board of Directors and which is primarily responsible for the managerial oversight of the operation for the Agency, as further described in Section 3.5.
Section 1.22. Legislative Bodies means the governing bodies over each Member Agency, including but not limited to, City Councils and County of Monterey Board of Supervisors. Legislative Body means any such individual governing body.
Section 1.23. Major Policy Decisions means those issues that materially change either the levels of service or the budget.
Section 1.24. Member Agencies means all of the public agencies who are signatories to this Agreement, which, as of the initial Effective Date of this Agreement, is the City of Salinas and the County of Monterey. Member Agency means any such individual public entity.
Section 1.25. Operational Plan means a plan approved by the Board of Directors, which shall describe in detail the operation of the Agency. Said plan shall include: the anticipated cost of providing the services as described in Exhibit B; the area in which those services shall be provided; the level of service which shall be provided in each of those areas; the anticipated cost for operation and maintenance of the Joint Facilities; the process by which yearly budgets shall be established; the hours of operation; and any other operational, budgetary, and financial process which may be deemed to be necessary or appropriate by the Board of Directors.
Section 1.26. Quorum means the presence of over 50% of the Board of Directors.
Section 1.27. Rules of the Board means the bylaws, rules, regulations, or other directives of the Board of Directors for the conduct of its meetings and affairs as further described in Section 2.9.
ARTICLE II
GENERAL PROVISIONS
Section 2.1. Purpose. The purpose of this Agreement is to create the Hitchcock Road Animal Services Agency, which would allow the Member Agencies to exercise their joint powers to DocuSign Envelope ID: EA8674DE-3AB1-42D0-8068-89322D0CA1BD DocuSign Envelope ID: EB5F2C82-401B-4A30-BEFC-AC61342D231E DocuSign Envelope ID: 4A992E9C-DB8E-492D-8137-3CAFC484A1FD 200
provide more efficient and economical Animal Services within the Area and would: 1) provide for the ownership, management, operation, and maintenance of the Joint Facilities; 2) implement the financing, acquisition, and construction of additions or improvements thereto, if needed; and 3) provide for the ownership, management, operations, and maintenance of any later acquired facilities or properties.
Section 2.2. Creation of Agency. Pursuant to the Act, there is hereby created a public entity to be known as the Hitchcock Road Animal Services Agency, or Agency, as defined in Section
1.13. The Agency, which shall administer this Agreement, is a public entity separate and apart from the Member Agencies. The debts, liabilities, and obligations of the Agency shall not constitute debts, liabilities, or obligations of any party of this Agreement.
Section 2.3. Member Agencies. The Agency shall be composed of the County of Monterey and the City of Salinas, initially. Any other jurisdiction not named as a party to this Agreement who later wishes to join the Agency, may do so if approved by a vote of three-fourths (3/4) or more, of the Board of Directors of the Agency. Said approval shall be conditioned upon the Joint Facility having sufficient capacity to accommodate the new participant’s needs, and the adoption of a resolution by the new jurisdiction’s governing body authorizing execution of an agreement that shall bind them to fully participate financially in the Agency. The new participants shall also be required to provide a “buy-in” contribution as set forth in Section 2.10.
Section 2.4. Term. This agreement shall become effective on the Effective Date and shall continue in effect thereafter unless terminated pursuant to Article IX.
Section 2.5. Transition Plan. Upon the Effective Date of this Agreement, the Members and the Agency will enter into or extend current service agreements, as applicable, for a Transition Period which will be from the Effective Date through June 30, 2023. The Transition Period may be extended by mutual written agreement of the governing bodies of the Members. The Transition Period is intended to provide the Agency with an opportunity to become fully organized and operational without compromising existing services provided to the Members.
Section 2.6. Governing Board. The Agency shall be governed by a Board of Directors and shall be called the Hitchcock Road Animal Services Agency Board. Each entity which is a Party to this Agreement shall have representation on the Board as follows:
1. Two members representing the County Board of Supervisors to include the Board of Supervisors and County Administrative Officer, or their designates.
2. Two members representing the City of Salinas to include the Salinas City Council and City Manager, or their designates.
Pursuant to Government Code section 6506, the Agency Board of Directors is designated as the administrator of this Agreement and of the Agency’s affairs and shall perform its duties and responsibilities in accordance with all provisions of this Agreement.
Section 2.6.1. All voting power of the Agency shall reside within the Board of Directors.
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