Agenda Packet — Salinas City Council, June 2, 2026 (part 1 of 4)

Tuesday, June 2, 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
City Council Meeting Agenda - Final June 2, 2026

ZOOM WEBINAR PARTICIPATION
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PLEDGE OF ALLEGIANCE

ROLL CALL

NEW EMPLOYEE WELCOME AND PROMOTIONS

CITY OF CHAMPIONS
Boys and Girls Clubs of America Pacific Region Youth of the Year

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.

SALINAS YOUTH COUNCIL UPDATES AND COMMENTS
Receive a presentation of the Salinas Youth Council Members.

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 City of Salinas Page 2 Printed on 5/29/2026
City Council Meeting Agenda - Final June 2, 2026
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 the name(s) of the contributor(s).

CONSIDERATION
ID#26-251 Referendum Against Ordinance No. 2687; November 3, 2026 General Municipal Election
Recommendation: Approve a Resolution calling for the holding of a General Municipal Election to be held on Tuesday, November 3, 2026 to ask the voters of the City of Salinas whether an ordinance repealing four rent-related ordinances should be adopted; and requesting that the Board of Supervisors of the County of Monterey consolidate the election with the established election to be held on the date pursuant to California Elections Code section 10403 on the City's behalf.

ID#26-258 Measure G Transaction and Use Tax Renewal; November 3, 2026 General Municipal Election
Recommendation: Approve a Resolution calling for the holding of a General Municipal Election to be held on Tuesday, November 3, 2026 to ask the voters of the City of Salinas to ask the voters of the City of Salinas to approve, restate and amend an ordinance enacting a general transactions and use tax of one cent to remain in effect until ended by the voters, with the use of the tax revenue to be reviewed and reported on by a citizens oversight committee; and requesting that the Board of Supervisors of the County of Monterey consolidate the election with the established election to be held on the date pursuant to California Elections Code section 10403 on the City's behalf.

PUBLIC HEARINGS
ID#26-201 United States Department of Housing and Urban Development PY 2026-2027 Annual Action Plan
Recommendation: Approve a Resolution approving the City of Salinas' United States Department of Housing and Urban Development (HUD) Program Year (PY) 2026-2027 Annual Action Plan (AAP) and its submittal to HUD; authorizing the City Manager to incorporate any necessary modifications based upon community feedback and final HUD allocation prior to submissions to HUD; authorizing the Mayor to execute any related agreements, contracts, certifications, or amendments related to the funding allocations set forth in the PY 2026-2027 AAP; and authorizing the expense appropriation of HUD funds to projects and activities described in the PY 2026-2027 AAP.

ID#26-246 Request for name change of the Intermodal Transportation Center (ITC) to Salinas City Heritage Park
Recommendation: Receive report and consider request from the Heritage Park Stakeholders to rename the Intermodal Transportation Center (ITC) to "Salinas City Heritage Park".

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#26-172 Amendment No. 3 to the 2025 Parking Enforcement Agreement with LAZ City of Salinas Page 3 Printed on 5/29/2026
City Council Meeting Agenda - Final June 2, 2026
Parking California, LLC
Recommendation: Approve a Resolution authorizing the City Manager to execute Amendment No. 3 to the 2025 Parking Enforcement Agreement with LAZ Parking California, LLC increasing the not to exceed amount by $204,541.72 for a revised not to exceed amount of $812,217.72.

ID#26-187 Agreement with Future Citizens Foundation dba The First Tee of Monterey County for Operation of the Twin Creeks Municipal Golf Course Recommendation: Approve a Resolution authorizing the Mayor to sign a Sublease Agreement between the City of Salinas and Future Citizens Foundation, a California not-for-profit corporation doing business as The First Tee of Monterey County (TFTMC), for the continued operation of the Twin Creeks Municipal Golf Course as a youth golf learning center and fee-based public golf course, for a twenty-year term commencing July 1, 2026, with one ten-year option to extend.

ID#26-188 Assistance to Firefighters Grant Acceptance and Equipment Purchase Recommendation: Approve a Resolution accepting the Assistance to Firefighters Grant (AFG) award in the amount of $207,086.26 from the Federal Emergency Management Agency (FEMA); approving an agreement with Air Exchange Inc. for the purchase and installation of exhaust removal systems in an amount not to exceed $314,710.02 and authorize the City Manager to sign the agreement on behalf of the City; and approving the reallocation of budget within CIP projects specifically designated for fire station repairs and renovations (CIP 9235 and 9541).

ID#26-198 3-Year License Agreement for Nearmap Software Program Recommendation: Approve a Resolution authorizing the Purchasing Agent to enter into a license agreement with Nearmap for an amount not to exceed $232,026.87 from February 23, 2027 to February 22, 2030.

ID#26-202 Sanitary Sewer Spot Repair and Improvements; CIP No. 9010 Recommendation: Approve a Resolution authorizing the transfer of $217,100 from Sewer Fund Balance (Fund 6400) to CIP No. 9010 (Sanitary Sewer Spot Repair and Improvements); and increasing the project contingency in the amount of $217,100 for the Sanitary Sewer Spot Repair and Improvements; CIP No. 9010 for a total construction contingency of $719,926 (21.5%).

ID#26-207 CalRecycle Rubberized Asphalt Grant Acceptance Recommendation: Approve a Resolution authorizing the acceptance of CalRecycle funds in the amount of $216,120; the adoption of a new CIP account named "Bike Path Improvements" and the adoption of the 2025-26 Appropriation and Funding Sources in the Capital Improvement Program.

ID#26-211 3-Year License Agreement for ESRI Software Program Recommendation: Approve a Resolution authorizing the Purchasing Agent to enter into a three-year license agreement with Environmental Systems Research Institute, Inc. (ESRI) in a total amount not to exceed $476,952.

ID#26-216 Master Agreement for the use of Regional Transportation Funds Recommendation: Approve a Resolution authorizing the City Manager to execute an agreement with the Transportation Agency for Monterey County (TAMC) for the use of TAMC-administered transportation funds.

City of Salinas Page 4 Printed on 5/29/2026
City Council Meeting Agenda - Final June 2, 2026
ID#26-219 An Ordinance amending sections 5-05.16 and 5-05.17 of the Salinas Municipal Code to allow for an increase in the number of gambling tables operated within a licensed card room
Recommendation: Consider adopting an ordinance amending Salinas Municipal Code sections 5-05.16 and 5-05.017 to allow for an increase in the number of gambling tables operated within a licensed card room.

ID#26-220 Acceptance of Internet Crimes Against Children (ICAC) Grant Recommendation: Approve a Resolution authorizing the acceptance of the $100,000 Internet Crimes Against Children (ICAC) Grant administered by the City of San Jos�; delegating authority to the City Manager to execute all necessary documents to effectuate the grant; and establishing the ICAC Grant expense appropriation and corresponding revenue budget up to $100,000 to support grant activities.

ID#26-222 Setting Public Hearing Date for the Landscape and Maintenance Assessment District’s Annual Levy
Recommendation: Approve Resolution(s) initiating the proceedings for the annual levy of assessments, declaring the City's intention to levy and collect an assessment, setting a public hearing date for June 30, 2026, and preliminary approving the Engineer's Reports for the Landscape and Maintenance Districts.

ID#26-224 Treasurer’s Report - Quarter Ended March 31, 2026 Recommendation: Accept the Treasurer's Report for FY 2025-26 third quarter ended March 31, 2026.

ID#26-236 November 3, 2026 General Municipal Election
Recommendation: Approve a Resolution ordering the November 3, 2026 General Municipal Election for the City of Salinas and requesting consolidation with the November 3, 2026 General Election; and requesting the County of Monterey Department of Elections conduct the election.

ID#26-239 Amendment No. 3 to Professional Services Agreement with TRB and Associates, Inc.

Recommendation: Approve a Resolution authorizing the City Manager to execute Amendment No. 3 to the Agreement for Professional Services with TRB and Associates, Inc., increasing the total by $900,000 for a revised not-to-exceed amount of $3,500,000.

ID#26-242 SB 1 Road Repair and Accountability Act - Fiscal Year 2026-27 Projects Recommendation: Approve a Resolution adopting a list of projects for fiscal year 2026-27 funded by SB 1:

The Road Repair and Accountability Act of 2017.

ID#26-243 Sherwood Recreation Center Building Improvement, CIP No. 9535 Additional Construction Contingencies
Recommendation: Approve a Resolution approving an increase in the contingency amount by $200,000 for a revised contingency amount not to exceed $650,000 for the Sherwood Recreation Center Building Improvement (CIP 9535); and appropriating $240,000 from Community Development Block Grants (CDBG) funds to CIP 9535.

ID#26-245 Agreement with the Santa Clara Stadium Authority and the City of Santa Clara
City of Salinas Page 5 Printed on 5/29/2026
City Council Meeting Agenda - Final June 2, 2026
Recommendation: Approve a Resolution authorizing the City Manager to execute a Municipal Hazardous Materials Response Services Agreement with the Santa Clara Stadium Authority and the City of Santa Clara for the performance of supplemental hazardous materials response services during major events at the Santa Clara Stadium site.

ID#26-271 Modification to the Classification - Salary Schedule and Reclassification Recommendation: Approve a Resolution modifying the Classification - Salary Schedule, recommended reclassifications, and bargaining unit changes as follows add the classification of Police Services Specialist I/II, Supervising Police Services Specialist, and Police Services Administrative Specialist; reclassify the recommended Police Services Technicians to Police Services Specialist I or II; reclassify the Senior Police Services Technicians to Police Services Administrative Specialist; reclassify the Supervising Police Services Technician classification to Supervising Police Services Specialist; move the Investigative Specialist, Crime Analyst, and Stormwater Compliance Inspector from the Association of Management Personnel of Salinas (AMPS) unit to Salinas Municipal Employees Association (SMEA); move the Assistant City Clerk classification from the Confidential Non-Management Unit to the Confidential Management Unit; add the classification of Airport Director to the Department Directors Compensation Plan; and add the classification of Deputy City Manager/City Clerk to the Department Directors Compensation Plan.

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
_____________________________
Alexis Mejia, Assistant City Clerk

AGENDA MATERIAL / ADDENDUM
Any addendums will be posted within 72 hours of regular meetings or 24 hours of special meetings and in accordance with Californian Government Code Section 54954.2 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.salinas.gov 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 City of Salinas Page 6 Printed on 5/29/2026
City Council Meeting Agenda - Final June 2, 2026
telephoning any other service providers’ CRS telephone number.

PUBLIC NOTIFICATION
This agenda was posted on May 29, 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.

City of Salinas Page 7 Printed on 5/29/2026
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-251, Version: 1
Referendum Against Ordinance No. 2687; November 3, 2026 General Municipal Election Approve a Resolution calling for the holding of a General Municipal Election to be held on Tuesday, November 3, 2026 to ask the voters of the City of Salinas whether an ordinance repealing four rent-related ordinances should be adopted; and requesting that the Board of Supervisors of the County of Monterey consolidate the election with the established election to be held on the date pursuant to California Elections Code section 10403 on the City’s behalf.

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CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: JUNE 2, 2026
DEPARTMENT: ADMINISTRATION
CITY ATTORNEY’S OFFICE
FROM: RENÉ MENDEZ, CITY MANAGER
CHRISTOPHER A. CALLIHAN, CITY ATTORNEY
PATRICIA M. SORATOS, CITY CLERK

ALEXIS MEJIA, ASSISTANT CITY CLERK
TITLE: REFERENDUM AGAINST ORDINANCE NO. 2687; NOVEMBER
3, 2026 GENERAL MUNICIPAL ELECTION
RECOMMENDED MOTION:

A motion to approve a Resolution calling for the holding of a General Municipal Election to be held on Tuesday, November 3, 2026 to ask the voters of the City of Salinas whether an ordinance repealing four rent-related ordinances should be adopted; and requesting that the Board of Supervisors of the County of Monterey consolidate the election with the established election to be held on the date pursuant to California Elections Code section 10403 on the City’s behalf.

EXECUTIVE SUMMARY:

On September 9, 2025, the City Council took action to submit Ordinance No. 2687 to the voters at the next regular municipal election to be held on November 3, 2026. In order to have Ordinance No. 2687 presented to the voters of Salinas, the City Council must approve and submit a resolution to the Monterey County Registrar of Voters by August 7, 2026.

BACKGROUND:

On June 3, 2025, the City Council adopted an ordinance to repeal four rent-related ordinances previously adopted by the City Council (the “Ordinance No. 2687”): Ordinance No. 2663 (Residential Rental Registration Program), Ordinance No. 2681 (Rent Stabilization), Ordinance No. 2682 (Tenant Protection and Just Cause Eviction), and Ordinance No. 2683 (Tenant AntiHarassment). Ordinance No. 2687 was due to become effective thirty (30) days after its adoption (July 3, 2025); however, a referendum petition containing a sufficient number of signatures was timely submitted and certified by the City Clerk and Monterey County Registrar of Voters. After considering the options related to the referendum petition, on September 9, 2025, the City Council decided to submit Ordinance No. 2687 to the voters of Salinas at the next regular general municipal election on November 3, 2026. To have Ordinance No. 2687 placed on the ballot, the City Council must approve the proposed Resolution. The resolution authorizes the City Clerk to procure the Page | 2
services of the County of Monterey Department of Elections for conducting the election. Included with the resolution is the proposed ordinance repealing the four rent-related ordinances and Impartial Analysis.

The Impartial Analysis prepared by the City Attorney and attached to this Report will be printed in the voter information guide with the ordinance text in its entirety and distributed to the voters.

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, Government Code section 84308 does not apply to the City Council’s action on the proposed Resolution.

STRATEGIC PLAN INITIATIVE:

The proposed Resolution does not directly align with the City Council’s goals or objectives as outlined in the City of Salinas Strategic Plan 2025-2028; however, is required under state law as a result of the City Council’s action taken on September 9, 2025.

DEPARTMENTAL COORDINATION:

The City’s Administration Department (City Manager, City Clerk, and Assistant City Clerk) coordinated with the City Attorney on this Report and proposed Resolution.

FISCAL AND SUSTAINABILITY IMPACT:

There is no immediate impact to the City’s General Fund associated with the City Council’s approval of the proposed Resolution; however, there will be an impact on the City’s General Fund associated with the November 2026 general municipal election. The estimated cost for a general municipal election can range between $423,186 and $705,310; $6.00 to $10.00 per registered voter and will be included in the budget presented to the Council for adoption The cost for including Ordinance No. 2687 on the November 2026 general election ballot will be included as part of the budget development process for the upcoming fiscal year.

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
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ATTACHMENTS:

Resolution
Ordinance
Impartial Analysis
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RESOLUTION NO. ___________ (N.C.S.)

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SALINAS,

CALIFORNIA, CALLING FOR THE HOLDING OF A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY NOVEMBER 3, 2026, TO ASK THE VOTERS

OF THE CITY OF SALINAS WHETHER AN ORDINANCE REPEALING FOUR RENT-RELATED ORDINANCES SHOULD BE ADOPTED; AND REQUESTING THE

BOARD OF SUPERVISORS OF THE COUNTY OF MONTEREY TO CONSOLIDATE

SAID GENERAL MUNICIPAL ELECTION WITH THE ESTBALISHED ELECTION TO BE HELD ON THE DATE PURSUANT TO §10403 OF THE CALIFORNIA ELECTIONS CODE ON THE CITY’S BEHALF
WHEREAS, on June 3, 2025, the City Council adopted an ordinance to repeal four rentrelated ordinances previously adopted by the City Council (“Ordinance No. 2687”): Ordinance No. 2663 (Residential Rental Registration Program), Ordinance No. 2681 (Rent Stabilization), Ordinance No. 2682 (Tenant Protection and Just Cause Eviction), and Ordinance No. 2683 (Tenant Anti-Harassment); and
WHEREAS, Ordinance No. 2687 was due to become effective thirty (30) days after its adoption on July 3, 2025, pursuant to Government Code section 36937; and WHEREAS, pursuant to authority provided by Division 9, Chapter 3, Article 2 (commencing at § 9235) of the Election Code of the State of California, a petition has been filed with the legislative body of the City of Salinas signed by more than ten percent of the registered voters of the city to repeal the ordinance or submit it to a vote of the voters; and WHEREAS, within the thirty (30) day period prescribed in California Elections Code section 9237 “Protect Salinas Renters 2026” submitted a referendum of Ordinance No. 2687 to the City Clerk (“Referendum Petition”). On July 3, 2025, the City Clerk determined, based solely on a raw count, that the number of signatures affixed to the Referendum Petition was in excess of the minimum number of signatures required and accepted the Referendum Petition for filing. On August 15, 2025, the Monterey County Registrar of Voters issued a Certificate of Signature Verification based on their determination that valid signatures of more than 10% of the City’s voter registration were present on the Referendum Petition; and WHEREAS, in accordance with Elections Code sections 9114 and 9115, on August 26, 2025, the City Council approved Resolution No. 23324 accepting the Certificate of Signature Verification; and
WHEREAS, on September 9, 2025, the City Council considered the Referendum Petition and its options related thereto and decided to submit Ordinance No. 2687 to the voters of Salinas at the next general municipal election on November 3, 2026; and 2 of 4
WHEREAS, the City Council is authorized and directed by statute to submit Ordinance No. 2687 to the voters.

NOW THEREFORE, BE IT RESOLVED AND ORDERED that the governing body of the City of Salinas hereby orders an election be called and consolidated with any and all elections also called to be held on November 3, 2026 insofar as said elections are to be held in the same territory or in territory that is in part the same as the territory of the Board of Supervisors of the County of Monterey to order such consolidation under Elections Code Section 10401 and 10403.

BE IT FURTHER RESOLVED AND ORDERED that pursuant to Elections Code Section 10002 said governing body hereby requests the Board of Supervisors to permit the County of Monterey Department of Elections to provide any and all services necessary for conducting the election and agrees to pay for said services.

NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF SALINAS as follows:

SECTION I. The foregoing recitals are true and correct and are hereby adopted by the City Council.

SECTION II. Pursuant to Article 3 of the Salinas City Charter, the City Council hereby calls and orders a municipal election to be held on Tuesday, November 3, 2026, for the purpose of submitting to the voters for adoption Ordinance No. 2687 as set forth in Exhibit A.

SECTION III. The City Council hereby orders that such City of Salinas municipal election shall be consolidated with the statewide general election and all other elections to be held on November 3, 2026, the Board of Supervisors of the County of Monterey to order such consolidation under California Elections Code sections 10400, 10401, and 10403.

SECTION IV. The City Council hereby requests the Board of Supervisors to permit the Monterey County Elections Department to provide any and all services necessary for conducting the election and agrees to pay for said services pursuant to California Elections Code section 10002; and
SECTION V. The City Council hereby requests that the Monterey County Elections Department shall conduct the election for Ordinance No. 2687 to be voted on November 3, 2026, for which the 75-word ballot question shall read as follows:
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Shall Ordinance No. 2687, which repeals the Residential Rental Registration Ordinance, the Rent Stabilization Ordinance, the Tenant Protection and Just Cause Eviction Ordinance, and the Tenant Anti-Harassment Ordinance, be adopted?
YES
NO
SECTION VI. The vote requirement for the measure to pass is a simple majority (50% + 1) of the votes cast.

SECTION VII. The official ballot to be used at said election shall conform to the provisions of the Charter of said City and the laws of the State of California with relation thereto.

SECTION VIII. The City authorizes the County of Monterey Registrar of Voters to consolidate this election with any other election to be held on November 3, 2026, for the convenience of the registered voters and to effectuate any cost savings by such consolidation.

SECTION IX. In accordance with Elections Code 12111 and Government Code Section 6061, the County of Monterey Department of Elections is hereby directed to cause a notice of the measure to be published as provided by law for the holding of the municipal election, which said notices shall be published in an adjudicated newspaper in the City of Salinas and hereby designated for that purpose.

SECTION X. The election on the measure set forth in Section 5 shall be held and conducted, the votes canvassed and the returns made, and the results ascertained and determined as provided for herein. In all particulars not prescribed in this resolution, the election shall be held and conducted as prescribed in the Salinas City Charter. In all particulars not provided for in the Charter, the election shall be held in accordance with the Elections Code of the State of California.

The County of Monterey Registrar of Voters is authorized to canvass the returns of that election with respect to the votes cast in the city of Salinas and certify the results to the City Council in accordance with Elections Code section 15372. At the next regular meeting of the City Council occurring after the returns of the election have been canvassed and the certification of the results to the City Council, the City Council shall cause to be entered in its minutes a statement of the results of the election.

SECTION XI. The City Manager is hereby authorized and directed to expend the necessary funds to pay for the City’s cost of placing the measure on the ballot. 4 of 4
SECTION XII. The City Clerk is hereby authorized and directed to file a certified copy of this resolution to the Monterey County Board of Supervisors and the Department of Elections Registrar of Voters.

SECTION XIII. The City Attorney is hereby authorized and directed to prepare an impartial analysis of the measure.

SECTION XIV. In accordance with Elections Code sections 9282 - 9286(b), which sets forth the procedures for arguments, rebuttals and the due date for the submission of said City measure shall be consistent with the final date set and established by the County of Monterey Registrar of Voters, and such dates shall be posted in the Office of the City Clerk.

SECTION XV. The City Clerk and the City Manager are hereby authorized and directed to take any and all actions necessary under law to prepare for and conduct the General Election and appropriate all monies necessary for the City Manager and the City Clerk to prepare and conduct the General Election in a manner consistent with state and local laws.

SECTION XVI. The City Clerk is hereby authorized and directed to certify to the passage and approval of this Resolution and enter it into the record.

PASSED AND APPROVED this 2nd day of June 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:
__________________________________
Dennis Donohue, Mayor
ATTEST:
_________________________________
Patricia M. Soratos, City Clerk
Exhibit A: Ordinance No. 2687
Exhibit B: Impartial Analysis
Page | 1
ORDINANCE NO. 2687 (N.C.S.)
AN ORDINANCE REPEALING ORDINANCE NO. 2663, ORDINANCE NO. 2681, ORDINANCE NO. 2682, AND ORDINANCE NO. 2683
City Attorney Impartial Analysis
This ordinance repeals Ordinance No. 2663, codified at Article I of Chapter 17 of the Salinas Municipal Code (Residential Rental Registration); Ordinance No. 2681, codified at Article IIA of Chapter 17 of the Salinas Municipal Code (Rent Stabilization); Ordinance No. 2682, codified at Article IIB of Chapter 17 of the Salinas Municipal Code (Tenant Protection and Just Cause Eviction); and Ordinance No. 2683, codified at Article IIC of Chapter 17 of the Salinas Municipal Code (Tenant Anti-Harassment).

NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF SALINAS AS FOLLOWS:

SECTION 1. Ordinance No. 2663, codified at Article I of Chapter 17 of the Salinas Municipal Code and titled “Residential Rental Registration” is hereby repealed in its entirety.

SECTION 2. Ordinance No. 2681, codified at Article IIA of Chapter 17 of the Salinas Municipal Code and titled “Rent Stabilization” is hereby repealed in its entirety.

SECTION 3. Ordinance No. 2682, codified at Article IIB of the Salinas Municipal Code and titled “Tenant Protection and Just Cause Eviction” is hereby repealed in its entirety.

SECTION 4. Ordinance No. 2683, codified at article IIC of the Salinas Municipal Code and titled “Tenant Anti-Harassment" is hereby repealed in its entirety.

SECTION 5. All ordinances and parts of ordinances and all resolutions and parts of resolutions in conflict herewith are hereby repealed as of the effective date of this ordinance.

SECTION 6. Publication. The City Clerk shall cause a summary of this ordinance to be published once in a newspaper published and circulated in Salinas within fifteen (15) days after adoption. (Salinas Charter Section 11.9)
SECTION 7. CEQA Compliance. The City Council’s adoption of this ordinance is not a project subject to environmental review under the California Environmental Quality Act (CEQA Guidelines Section 15061(b)(3) because it would not have a significant effect on the environment.

Additionally, the City Council’s adoption of this ordinance is exempt because it does not meet the definition of a “project” under CEQA, pursuant to CEQA Guidelines sections 15060(c)(1) and 15378(a), because it has no potential to result in a direct or reasonably foreseeable physical change in the environment.

SECTION 8. Severability. If any section, subsection, sentence, clause, or phrase of this Docusign Envelope ID: BC4F7A39-C084-42E6-870F-BCF8A860E400 Page | 2
ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of any competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The Salinas City Council hereby declares that it would have passed this ordinance and each and every section, subsection, clause, and phrase thereof not declared invalid or unconstitutional without regard to whether any portion of the ordinance would be subsequently declared invalid or unconstitutional.

SECTION 9. Effective Date. This ordinance will take effect thirty (30) days from and after its adoption.

This Ordinance was INTRODUCED on the 13th day of May 2025, and was PASSED AND ADOPTED on the 3
rd day of June 2025, by the following vote:

AYES: Councilmembers Barajas, D’Arrigo, De La Rosa, Salazar, and Mayor Donohue NOES: Councilmembers Barrera and Sandoval
ABSENT: None
ABSTAIN: None
APPROVED:
_________________________________
Dennis Donohue, Mayor
ATTEST:
___________________________________
Patricia M. Barajas, City Clerk
APPROVED AS TO FORM:
___________________________________
Christopher A. Callihan, City Attorney
Docusign Envelope ID: BC4F7A39-C084-42E6-870F-BCF8A860E400

IMPARTIAL ANALYSIS PREPARED BY THE CITY ATTORNEY
The City Council of the City of Salinas has placed this measure on the November 3, 2026, ballot, as the result of a referendum on the City Council’s adoption of Ordinance No. 2687, to ask the voters to approve an ordinance that would repeal four other ordinances, collectively the “Rent Ordinances”: Ordinance No. 2663 (Rental Registration), Ordinance No. 2681 (Rent Stabilization), Ordinance No. 2682 (Tenant Protection and Just Cause Eviction), and Ordinance No 2683 (Tenant Anti-Harassment).

On April 4, 2023, the City Council adopted Ordinance No. 2663 (Rental Registration) which requires that all residential rental properties in Salinas (including single-family units, multi-family units, non-owner-occupied Accessory Dwelling Units (ADUs), and vacant on-market units) be registered with the City of Salinas and that owners of residential rental properties provide certain information identifying the owner and information describing the rental unit. The Rental Registration Ordinance establishes penalties for failure to comply.

On September 24, 2024, the City Council adopted Ordinance No. 2681 (Rent Stabilization) which established limits on annual rent increases for controlled rental units, as defined in the ordinance, and processes by which landlords and tenants can petition for additional rent increases or rent reductions; Ordinance No. 2682 (Tenant Protection and Just Cause Eviction) which established local criteria for just cause evictions beyond what State law currently provides and provided additional protections for tenants residing within applicable residential rental units, including additional bilingual notices and relocation assistance in the amount of three months’ rent; and, Ordinance No. 2683 (Tenant Anti-Harassment) which augmented existing protections under federal, state, and local law to prohibit and to deter harassment of tenants by landlords in all residential rental units, including single-family residences and condominiums. The Rent Stabilization Ordinance, Tenant Protection and Just Cause Eviction Ordinance, and the Tenant Anti-Harassment Ordinance establish penalties for failure to comply.

Ordinance No. 2687, the subject of this measure, would repeal all four of the Rent Ordinances, thereby eliminating local rental registration requirements, local annual rent increase limits, local requirements for evictions from rental units, and local protections for tenants from harassment by landlords.

A “YES” vote is to vote in favor of the measure and to repeal the four Rent Ordinances.

A “NO” vote is to vote against the measure and to keep the four Rent Ordinances in effect.

The measure would be approved if it received a simple majority (50% + 1) of “YES” votes.

Ordinance No 2687, the four Rent Ordinances, and the related materials are available on the City Attorney’s webpage. (https://www.salinas.gov/Your-Government/Departments/City-Attorney) Christopher A. Callihan, City Attorney
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ORDINANCE NO. ________

AN ORDINANCE OF THE VOTERS OF THE CITY OF SALINAS REPEALING ORDINANCE NO. 2663 (RESIDENTIAL RENTAL REGISTRATION), ORDINANCE NO. 2681 (RENT STABILIZATION), ORDINANCE NO. 2682 (TENANT PROTECTION AND JUST CAUSE EVICTION), AND ORDINANCE NO. 2683 (TENANT ANTIHARASSMENT) BE IT ORDAINED BY THE PEOPLE OF SALINAS:

SECTION 1. FINDINGS. The voters of the City of Salinas hereby find as follows:

A. On June 3, 2025, the City Council adopted Ordinance No. 2687 to repeal four ordinances, collectively referred to herein as the “Rent Ordinances”: Ordinance No. 2663 (Residential Rental Registration); Ordinance No. 2681 (Rent Stabilization); Ordinance No. 2682 (Tenant Protection and Just Cause Eviction); and Ordinance No. 2683 (Tenant AntiHarassment).

B. Ordinance No. 2687 was due to become effective thirty (30) days after its adoption; however, a referendum petition containing a sufficient number of signatures was timely submitted and certified by the City Clerk and the Monterey County Registrar of Voters.

After considering the options related to the referendum petition, on September 9, 2025, the City Council decided to submit Ordinance No. 2687 to the voters of Salinas at the next regular municipal election on November 3, 2026.

C. This ordinance amends the Salinas Municipal Code by repealing Article I, Article IIA, Article IIB, and Article IIC of Chapter 17.

SECTION 2. AMENDMENT OF THE SALINAS MUNICIPAL CODE.

Ordinance No. 2663, codified at Article I of Chapter 17 of the Salinas Municipal Code and titled “Residential Rental Registration” is hereby repealed in its entirety.

Ordinance No. 2681, codified at Article IIA of Chapter 17 of the Salinas Municipal Code and titled “Rent Stabilization” is hereby repealed in its entirety.

Ordinance No. 2682, codified at Article IIB of the Salinas Municipal Code and titled “Tenant Protection and Just Cause Eviction” is hereby repealed in its entirety.

Ordinance No. 2683, codified at article IIC of the Salinas Municipal Code and titled “Tenant Anti-Harassment" is hereby repealed in its entirety.

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SECTION 3. All ordinances and parts of ordinances and all resolutions and parts of resolutions in conflict herewith are hereby repealed as of the effective date of this ordinance.

SECTION 4. Severability. If any section, subsection, sentence, clause, or phrase of this ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of any competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The Salinas City Council hereby declares that it would have passed this ordinance and each and every section, subsection, clause, and phrase thereof not declared invalid or unconstitutional without regard to whether any portion of the ordinance would be subsequently declared invalid or unconstitutional.

SECTION 5. Under CEQA Guidelines 15060(c)(2) and 15378, subdivisions (2) and (4) of subdivision (b), this action does not constitute a project under CEQA and therefore review under CEQA is not required.

SECTION 6. Codification. Upon adoption of this ordinance pursuant to the voter approval referenced herein, the City Clerk, in consultation with the City Attorney, is hereby authorized and directed to codify this ordinance in the Salinas Municipal Code.

SECTION 7. Effective Date. Pursuant to California Elections Code Section 9217, If this ordinance is approved by a majority of the voters voting on the issue at the November 3, 2026 election, the ordinance shallbe deemed adopted upon the date the vote is declared by the City Council and shall go into effect ten (10) days after that date. .

SECTION 8. Publication. The City Clerk of Salinas is hereby directed to cause the ordinance to be published by one (1) insertion in the Monterey County Weekly, a newspaper of general circulation published and circulated in the city of Salinas.

APPROVED by the following vote of the voters of the city of Salinas on November 3, 2026:

YES:

NO:

ADOPTED by declaration of the vote of the City Council of the City of Salinas on _______________, 2026.

AYES:

NOES:

ABSENT:

ABSTAIN:

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APPROVED:
_________________________________
Dennis Donohue, Mayor
APPROVED AS TO FORM:
___________________________________
Christopher A. Callihan, City Attorney
ATTEST:
___________________________________
Patricia M. Soratos, City Clerk
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-258, Version: 1
Measure G Transaction and Use Tax Renewal; November 3, 2026 General Municipal Election Approve a Resolution calling for the holding of a General Municipal Election to be held on Tuesday, November 3, 2026 to ask the voters of the City of Salinas to ask the voters of the City of Salinas to approve, restate and amend an ordinance enacting a general transactions and use tax of one cent to remain in effect until ended by the voters, with the use of the tax revenue to be reviewed and reported on by a citizens oversight committee; and requesting that the Board of Supervisors of the County of Monterey consolidate the election with the established election to be held on the date pursuant to California Elections Code section 10403 on the City’s behalf.

City of Salinas Page 1 of 1 Printed on 5/29/2026
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CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: JUNE 2, 2026
DEPARTMENT: ADMINISTRATION
FROM: RENÉ MENDEZ, CITY MANAGER
BY: CHRISTOPHER A. CALLIHAN, CITY ATTORNEY
PATRICIA M. SORATOS, CITY CLERK
TITLE: MEASURE G TRANSACTIONS AND USE TAX RENEWAL;
NOVEMBER 3, 2026 GENERAL MUNICIPAL ELECTION
RECOMMENDED MOTION:

A motion to approve a Resolution calling for the holding of a General Municipal Election to be held on Tuesday, November 3, 2026 to ask the voters of the City of Salinas to approve, restate, and amend an ordinance enacting a general transactions and use tax of one cent to remain in effect until ended by the voters, with the use of the tax revenue to be reviewed and reported on by a citizens’ oversight committee; and requesting that the Board of Supervisors of the County of Monterey consolidate the election with the established election to be held on the date pursuant to California Elections Code section 10403 on the City’s behalf.

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. As currently stated, Measure G expires in 2030.

Starting in 2024, staff 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 and the proposed FY26/27 and FY27/28 budget discussions. Staff also indicated that a potential extension of Measure G would be brought forward for Council action and to receive direction pertaining to engagement 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. On March 24, 2026, the City Council received a report regarding the results of the scientific ballot polling survey of likely November 2026 voters.

Staff requests the City Council consider calling for an election to place this measure on the November 3, 2026, General Municipal Election ballot.

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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 capital 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, there 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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Overall, 81% of those polled rate the quality of life in Salinas as good or fair and identified the community’s top concerns as maintaining streets and sidewalks, responding to homelessness, and planning for housing availability and affordability. The results demonstrated support from the community to renew Measure G. Following that meeting, City staff also conducted two community meetings to inform the community of Measure G revenue, expenditures, projects and services provided. Additional educational information is also available on the City of Salinas website. City administration staff continue to work collaboratively to share information to stakeholder community groups and on engagement and communication avenues.

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 timeline of the actions is attached hereto and briefly outlined below.

March 24, 2026 Presentation to City Council
March 25, 2026 Commence Educational Communication and Outreach March 26, 2026 Presentation to Joint Measure G and Measure E Oversight Committee April 18, 2026 Measure G Community Meeting
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) Page | 4
April 29, 2026 Measure G Community Meeting
June 2, 2026 Public Hearing: Draft Ballot Measure Extension Ordinance and Fiscal Impact Analysis
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.

FISCAL AND SUSTAINABILITY IMPACT:

The cost for including the Measure G renewal on the November 2026 general election ballot will be included as part of the budget development process for the upcoming fiscal year.

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
Ordinance
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Impartial Analysis
1 RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SALINAS,

CALIFORNIA CALLING THE HOLDING OF A GENERAL MUNICIPAL
ELECTION TO BE HELD ON TUESDAY, NOVEMBER 3, 2026 TO ASK THE

VOTERS OF THE CITY OF SALINAS TO APPROVE, RESTATE AND AMEND

AN ORDINANCE ENACTING A GENERAL TRANSACTIONS AND USE TAX OF

ONE CENT TO REMAIN IN EFFECT UNTIL ENDED BY THE VOTERS, WITH

THE USE OF THE TAX REVENUE TO BE REVIEWED AND REPORTED ON BY A CITIZENS OVERSIGHT COMMITTEE; AND REQUESTING THE BOARD OF

SUPERVISORS OF THE COUNTY OF MONTEREY TO CONSOLIDATE THE

GENERAL MUNICIPAL ELECTION WITH THE ESTABLISHED ELECTION TO BE HELD ON THE DATE PURSUANT TO §10403 OF THE CALIFORNIA ELECTIONS CODE ON THE CITY’S BEHALF

RECITALS
WHEREAS, in 2014, the voters of Salinas voted to approve a general transactions and use tax in the amount of one cent for each dollar spent. The tax is named the “Salinas Transactions and Use Tax for a Safer, Better Salinas” and was designated in the 2014 general election as “Measure G”; and
WHEREAS, Measure G was strongly supported by the voters of Salinas, with 62.41% voting in favor of it and only 37.59% voting against it; and WHEREAS, for the last ten years, the one cent general transaction and use tax has been a critical source of funding for many of the City’s most important and popular services including crime prevention, public safety, economic development, and street and sidewalk repairs; and WHEREAS, the current general transaction and use tax will expire and stop producing revenues that fund these critical services unless it is extended by the voters of the City; and WHEREAS, no amount of budget cuts, fiscal austerity measures or potential grants from the State or Federal government could replace the general transaction and use tax revenues from Measure G without severe impacts to critical City services; and WHEREAS, on March 24, 2026, the results from a public research survey of Salinas voters’ opinions on the existing tax and whether or not they support extending it was presented to the City Council; and
WHEREAS, the survey found that overall, 81% of those polled rate the quality of life in Salinas as good or fair and community’s top concerns are maintaining streets and sidewalks, responding to homelessness, and planning for housing availability and affordability. The results demonstrated support from the community to renew Measure G. The results of the survey show that community continues to support a one cent transactions and use tax to fund the critical priorities for a safer, healthier, better Salinas; and
2 WHEREAS, the City Council held a noticed public hearing on May 12, 2026, to consider calling a municipal election to seek voter approval of a proposed extension of the one cent general transactions and use tax (or “sales tax”), as authorized by Revenue and Taxation Code section 7285.9; and
WHEREAS, at the conclusion of that hearing, the City Council concluded that the Council should call an election to ask the voters of the City to approve an extension and amendment of the existing local transactions and use tax until it is ended by the voters, the revenue from which would be used to support general municipal services. The City’s General Municipal Election is scheduled for November 3, 2026; and WHEREAS, the tax extension and amendment to be submitted to the voters, if approved, would be imposed on retail transactions involving and use of personal property.

The tax rate would be one percent (1.0%) of the value of the property. The tax revenue would be collected by the State Board of Equalization and remitted to the City. The tax would continue until repealed or amended by the voters. A committee composed of members of the public would review and report on use of the revenue from the tax. The tax shall be approved if the measure receives at least a majority of affirmative votes; and WHEREAS, at the November 4, 2014 election, the voters of the City approved Measure G, a transactions and use tax to be in effect for fifteen years and to sunset in 2030 unless amended by the voters. Measure G was codified as Article VIII of Chapter 32 of the Salinas Municipal Code. The ordinance restates and amends Article VIII of Chapter 32 to extend the existing tax until repealed or amended by the voters of the City.

WHEREAS, Elections Code Section 9282 sets forth the procedures for arguments in favor of or in opposition of any City measure; and
WHEREAS, Elections Code Section 9285 sets forth the procedures for rebuttal arguments; and
WHEREAS, based on all of the information presented at the May 12, 2026, meeting, both written and oral, including the staff reports, minutes, and other relevant materials, the City Council finds that under CEQA Guidelines 15060(c)(2) and 15378 subdivisions (2) and (4) of subdivision (b), this action does not constitute a project under CEQA and therefore review under CEQA is not required.

BE IT FURTHER RESOLVED AND ORDERED that pursuant to Elections Code Section 10002 said governing body hereby requests the Board of Supervisors to permit the County 3 of Monterey Department of Elections to provide any and all services necessary for conducting the election and agrees to pay for said services.

BE IT FURTHER RESOLVED AND ORDERED that pursuant to the requirements of California Elections Code section 10403, the Board of Supervisors of the County of Monterey is hereby requested to consent and agree to the consolidation of a General Municipal Election with the Statewide General Election for the purpose of submitting a rested and amended ordinance enacting a General transactions and use tax of one cent to remain in effect until ended by the voters with the use of the tax revenue to be reviewed and reported on by a citizens oversight committee.

BE IT RESOLVED BY THE COUNCIL OF SALINAS as follows:

SECTION I. DECLARATION OF FINDINGS.

The foregoing Recitals are true and correct and are hereby adopted by the City Council.

Current City revenues are not sufficient to maintain the current levels of critical City services without extension of the existing one cent sales tax. The City of Salinas has determined that a measure to extend the existing local sales tax at a rate of one cent shall be submitted to the voters for approval at a future municipal election, and the next statewide general election is scheduled for November 3, 2026.

SECTION II. ELECTION CALLED.

Pursuant to California Constitution Article XIIIC, Section 2; Government Code Section 53724; Elections Code Section 9222; and the Charter of the City of Salinas, the City Council of the City of Salinas hereby calls an election at which it shall submit to the qualified voters of the City, a measure that, if approved, would impose a 1.0% general transactions and use tax, as authorized by Revenue and Taxation Code section 7285.9. This measure shall be designated by letter by the Monterey County Elections Department. Pursuant to Election Code Section 10400 et seq., the election for this measure shall be consolidated with the established election to be conducted on November 3, 2026.

SECTION III. APPROVAL OF ORDINANCE.

Included in Exhibit A is an ordinance, authorizing the general tax to be approved by the voters pursuant to Section II. The City Council hereby approves the ordinance, the form thereof, and its submission to the voters of the City at the November 3, 2026 election, as required by Revenue and Taxation Code section 7285.9, subject to the approval of a majority of the voters voting on the measure at the election called by the adoption of this resolution.

The entire text of the ordinance attached hereto as Exhibit A shall be printed in the voter information portion of the sample ballot. The ordinance authorizing the general transactions and use tax specifies that the rate of the transactions tax shall be one percent (1.0%) of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in the City; it specifies that the total rate of the use tax shall be one percent (1.0%) of 4 the sales price of tangible personal property stored, used or otherwise consumed in the City.

The California Department of Tax and Fee Administration shall collect the tax from retailers subject to the tax and remit the funds to the City.

SECTION IV. MEASURE TO BE SUBMITTED TO THE VOTERS.

The proposed transactions and use tax ordinances shall be submitted to the voters on the ballot in the form of the following question:
“Without raising taxes, shall the City of Salinas renew Measure G maintaining the existing 1¢ local sales tax providing approximately $30,000,000 annually until ended by the voters to continue funding street and sidewalk repairs and other longterm infrastructure projects, parks, youth and senior programs, police, fire, and emergency response, homeless reduction, and other general city services, with independent citizen oversight, annual audits, and all funds dedicated to and remaining in Salinas?”
SECTION V. BALLOT FORMAT.

The official ballot to be used at said election shall conform to the provisions of the Charter of said City and the laws of the State of California with relation thereto.

SECTION VI. IMPARTIAL ANALYSIS.

The City Attorney shall prepare an impartial analysis of the ballot measure not to exceed five hundred words in length showing the effect of the measure on the existing law and the operation of the measure pursuant to Elections Code Section 9280 which shall be filed no later than August 13, 2026, at 4:00 p.m.

SECTION VII. BALLOT ARGUMENTS.

The deadline for filing arguments for the ballot measure with the City Clerk shall be August 13, 2026, and the argument shall not exceed 300 words in length. Rebuttal arguments shall be filed with the City Clerk by August 20, 2026, and shall not exceed 250 words in length. Pursuant to Section 9282 of the California Elections Code, the Mayor is hereby authorized to prepare and file a written argument in favor of the proposed ordinance, not to exceed 300 words, on behalf of the City Council. At the Mayor’s discretion, the argument may be signed by up to five representatives of bona fide associations or individual voters who are eligible to vote on the measure. When the City Clerk has selected the arguments for and against the measure, which will be printed and distributed to the voters, the City Clerk shall send copies of the argument in favor of the measure to the authors of the argument against, and copies of the argument against to the authors of the argument in favor. In the event that an argument is filed against the measure, the Mayor is also authorized to prepare and file a rebuttal argument, not to exceed 250 words, on behalf of the City Council, which may be signed by up to five representatives of bona fide association of citizens or individual voters who are eligible to vote on the measure or a combination of voters and associations. Rebuttal 5 arguments shall be printed in the same manner as the primary arguments. Each rebuttal argument shall immediately follow the primary argument, which it seeks to rebut.

SECTION VIII. REQUESTING CONSOLIDATION OF ELECTIONS.

The City authorizes the County of Monterey Registrar of Voters to consolidate this election with tany other election to be held on November 3, 2026, for the convenience of the registered voters and to take advantage of any cost savings possible by such consolidation.

SECTION IX. ASSISTANCE OF COUNTY OF MONTEREY ELECTION
DEPARTMENT TO THE CITY CLERK.

The City Clerk may request the assistance of the County of Monterey Election Department in regard to said General Municipal Election, as the City Clerk deems necessary, and the City shall pay the incurred cost of such assistance.

SECTION X. NOTICE OF THE MEASURE.

In accordance with Section 12111 of the Elections Code and Section 6061 of the Government Code, the County of Monterey Department of Elections is hereby authorized and directed to cause notice of the measure to be published as provided by law for holding of the municipal election, which said notices shall be published in an adjudicated newspaper in the City of Salinas and hereby designated for that purpose.

SECTION XI. CONDUCT OF THE ELECTION.

The election on the measure set forth in Section III shall be held and conducted, the votes canvassed and the returns made, and the results ascertained and determined as provided for herein. In all particulars not prescribed in this resolution, the election shall be held as prescribed in the Charter of the City. In all particulars not provided for in the Charter, the election shall be held in accordance with the Elections Code of the State of California. The County of Monterey Registrar of Voters is authorized to canvas the returns of that election with respect to the votes cast in the City of Salinas and certify the results to the City Council in accordance with Elections Code section 15372. At the next regular meeting of the City Council occurring after the returns of the election have been canvassed and the certification of the results to the City Council, the City Council shall cause to be entered in its minutes a statement of the results of the election.

SECTION XII. CITY MANAGER AUTHORIZATION.

The City Manager is hereby authorized and directed to expend the necessary funds to pay for the City’s cost of placing the measure on the election ballot.

SECTION XIII. MINUTES AND RECORD.

This Resolution shall be forthwith entered upon the minutes of this Council and kept 6 and maintained by the City Clerk of Salinas, as provided in Section 11.9 of the Charter of said City.

SECTION XIV. NOTICE.

The City Clerk is hereby authorized and directed to certify to the due adoption of this Resolution and to promptly transmit a copy hereof so certified to the Board of Supervisors and the Registrar of Voters of Monterey County, and to give notice of the election as required by law.
7 PASSED AND APPROVED this 2
nd day of June 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

Dennis Donohue, Mayor
ATTEST:

Patricia M. Soratos, City Clerk
Alexis Mejia, Assistant City Clerk
5719714.2
ORDINANCE NO.

AN ORDINANCE OF THE VOTERS OF THE CITY OF SALINAS RESTATING AND AMENDING CHAPTER 32, ARTICLE VIII OF THE SALINAS MUNICIPAL CODE

TO EXTEND A TRANSACTIONS AND USE TAX TO BE ADMINISTERED BY THE

CALIFORNIA DEPARTMENT OF TAX AND FEE ADMINISTRATION
BE IT ORDAINED BY THE PEOPLE OF THE CITY OF SALINAS:

SECTION 1. FINDINGS. The voters of the City of Salinas hereby find as follows:

A. In the November 4, 2014 election, the voters of the City approved the “Salinas Transactions and Use Tax for a Safer, Better Salinas” designated as “Measure G”, a one percent (1.0%) transactions and use tax of the value of the property, to be in effect for fifteen (15) years and sunset in 2030. Measure G was codified as Article VIII of Chapter 32 of the Salinas Municipal Code.

B. For the last ten years, the one cent general transaction and use tax has been a critical source of funding for many of the City’s most important services including crime prevention, public safety, economic development, and street and sidewalk repairs.

C. The current general transaction and use tax will expire and stop generating revenues that fund these critical services unless it is extended by the voters of the City.

D. No amount of budget cuts, fiscal austerity measures or potential grants from the State or Federal government could replace the general transaction and use tax revenues from Measure G without significant impacts to critical City services.

E. On March 24, 2026, the City Council reviewed the results of a public research survey of Salinas voter’s opinions on the existing tax and whether or not they support extending it. The survey found that overall, 81% of those polled rate the quality of life in Salinas as good or fair and community’s top concerns are maintaining streets and sidewalks, responding to homelessness, and planning for housing availability and affordability. The results demonstrated support from the community to renew Measure G.

F. California Constitution Article XIIIC, Section 2, provides that no local government may impose, extend or increase any general tax unless and until that tax is submitted to the electorate and approved by a majority vote.

G. California Constitution Article XIIIC, Section 2, provides that a measure proposing to impose, extend or increase a general tax must be consolidated with a regularly scheduled general election for members of the City Council.

H. The City Council held a noticed public hearing on June 2, 2026, to consider calling a municipal election to seek voter approval to extend the City’s existing general transactions and use tax (or “sales tax”), as authorized by Revenue and Taxation Code section 7285.9.

I. At the conclusion of that hearing, the City Council concluded that the Council should call an election to ask the voters of the City to approve a restated and amended local transactions and use tax that would continue unless repealed or amended by the voters, the revenue from which would be used to support general municipal services. The City’s General Municipal Election is scheduled for November 3, 2026.

J. This ordinance amends and restates Article VIII of Chapter 32 of the Salinas Municipal Code to extend the existing tax until repealed or amended by the voters.

The tax to be submitted to the voters, if approved, would be imposed on retail transactions involving and use of personal p r o p e r t y . The tax rate would be one percent (1.0%) of the value of the property. The tax revenue would be collected by the California Department of Tax and Fee Administration and remitted to the C i t y .

A committee composed of members of the public would review and report on use of the revenue from the tax. The tax shall be approved if the measure receives at least a majority of affirmative votes.

K. Elections Code Section 9282 sets forth the procedures for arguments in favor of or in opposition of any City measure.

L. Elections Code Section 9285 sets forth the procedures for rebuttal arguments.

M. The City Council finds that under CEQA Guidelines 15060(c)(2) and 15378, subdivisions (2) and (4) of subdivision (b), this action does not constitute a project under CEQA and therefore review under CEQA is not required.

SECTION 2. AMENDMENT OF THE SALINAS CITY CODE. “Article VIII.

Transactions and Use Tax for a Safer, Better Salinas” of the Salinas City Code is hereby amended and restated to read as follows:
“Section 32-80. Title. This ordinance shall be known as the City of Salinas Transactions and Use Tax for a Safer, Better Salinas Ordinance. The City of Salinas hereinafter shall be called "City." This ordinance shall be applicable in the incorporated territory of the City.

Section 32-81. Operative Date. "Operative date" means the first day of the first calendar quarter commencing more than 110 days after the adoption of this ordinance, the date of such adoption being as set forth below.

Section 32-82. Purpose. This ordinance is adopted to achieve the following, among other purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes:
a. To impose a retail transactions and use tax in accordance with the provisions of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section 7285.9 of Part 1.7 of Division 2 which authorizes the City to adopt this tax ordinance which shall be operative if a majority of the electors voting on the measure vote to approve the imposition of the tax at an election called for that purpose. b. To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.
c. To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefor that can be administered and collected by the California Department of Tax and Fee Administration in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the California Department of Tax and Fee Administration in administering and collecting the California State Sales and Use Taxes. d. To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the burden of record keeping upon persons subject to taxation under the provisions of this ordinance.

Section 32-83. Contract with State. Prior to the operative date, the City shall contract with the California Department of Tax and Fee Administration to perform all functions incident to the administration and operation of this transactions and use tax ordinance; provided, that if the City shall not have contracted with the California Department of Tax and Fee Administration prior to the operative date, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract.

Section 32-84. Transactions Tax Rate. For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated territory of the City at the rate of one percent (1.0%) of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in said territory on and after the operative date of this ordinance.

Section 32-85. Place of Sale. For the purposes of this ordinance, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the California Department of Tax and Fee Administration.

Section 32-86. Use Tax Rate. An excise tax is hereby imposed on the storage, use or other consumption in the City of tangible personal property purchased from any retailer on and after the operative date of this ordinance for storage, use or other consumption in said territory at the rate of one percent (1.0%) of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made.

Section 32-87. Adoption of Provisions of State Law. Except as otherwise provided in this ordinance and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as though fully set forth herein.

Section 32-88. Limitations on Adoption of State Law and Collection of Use Taxes. In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:
a. Wherever the State of California is named or referred to as the taxing agency, the name of this City shall be substituted therefor. However, the substitution shall not be made when:

1. The word "State" is used as a part of the title of the State Controller, State Treasurer, State Board of Control, State Board of Equalization, State Treasury, or the Constitution of the State of California;

2. The result of that substitution would require action to be taken by or against this City or any agency, officer, or employee thereof rather than by or against the California Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this Ordinance.

3. In those sections, including, but not necessarily limited to sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to:

A. Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or; B. Impose thistax with respect to certain sales,storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the said provision of that code.

4. In Sections 6701, 6702 (except in the lastsentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code.
b. The word "City" shall be substituted for the word "State" in the phrase "retailer engaged in business in this State" in Section 6203and in the definition of that phrase in Section 6203.

Section 32-89. Permit Not Required. If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor's permit shall not be required by this ordinance.

Section 32-90. Exemptions and Exclusions.
a. There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or use tax. b. There are exempted from the computation of the amount of transactions tax the gross receipts from:

1. Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.

2. Sales of property to be used outside the City which is shipped to a point outside the City, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the City shall be satisfied:

A. With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vesselsregistered under Chapter 2 of Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-City address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and
B. With respect to commercial vehicles, by registration to a place of business out-of-City and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address.

3. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. A lease of tangible personal property which is a continuing sale ofsuch property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this ordinance.

5. For the purposes of subparagraphs (3) and (4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised. c. There are exempted from the use tax imposed by this ordinance, the storage, use or other consumption in this City of tangible personal property:

1. The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.

2. Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption isin addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the State of California.

3. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this ordinance.

5. For the purposes ofsubparagraphs (3) and (4) of thissection,storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

6. Except as provided in subparagraph (7), a retailer engaged in business in the City shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the City or participates within the City in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the City or through any representative, agent, canvasser, solicitor, subsidiary, or person in the City under the authority of the retailer.

7. "A retailer engaged in business in the City" shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Chapter 2 of Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the City.
d. Any person subject to use tax under this ordinance may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumption of which is subject to the use tax.

Section 32-91. Amendments to State Law. All amendments subsequent to the effective date of this ordinance to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this ordinance, provided however, that no such amendment shall operate so as to affect the rate of tax imposed by this ordinance.

Section 32-92. Enjoining Collection Forbidden. No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or the City, or against any officer of the State or the City, to prevent or enjoin the collection under this ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected.

Section 32-93. Refunds and credits; suits and legal proceedings. a. Refunds of and credits for any tax paid pursuant to this article may be made only as provided for in Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code.
b. Suits and proceedings for the recovery of any amount alleged to have been erroneously or illegally determined or collected pursuant to this article may be maintained in any court only as provided for in Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code. A judgment shall not be rendered in favor of the plaintiff in any action brought against the California Department of Tax and Fee Administration to recover any amount paid when the action is brought by or in the name of an assignee of the person paying the amount or by any person other than the person who paid the amount.

Section 32-94. Oversight Committee.
a. By no later than March 31 of each year after the operative date, the City's independent auditors shall complete a report reviewing the collection, management and expenditure of revenue from the tax authorized by this Chapter. The auditors’ report shall be a public document.
b. There shall be a committee consisting of no fewer than seven members of the public to review and report on the receipt of revenue and expenditure of funds from the tax authorized by this Chapter. The committee members shall be either City residents or representatives of businesses located in the City. The auditors’ annual report required by subparagraph (a) shall be provided to the committee. By May 30 of each year after the operative date, the committee shall review the auditors’ report, for each year in which the auditors prepare such a report, and issue a public report to the CityCouncil regarding the use of revenue and such other matters as the City Council may assign.
c. By March 31, 2027, the City Council shall approve a resolution establishing the composition of the committee required by subparagraph (b) and consistent with the Salinas City Council appointment authority as set forth in the Charter of the City of Salinas.

The terms of office of the committee members and scope of the committee’s responsibilities, which at a minimum shall include reviewing the annual auditor’sreport regarding the receipt and use of revenue from the tax authorized by this Chapter and consistent with Salinas Municipal Code Chapter 3. The City Council shall appoint all members of the committee by March 31, 2027. Thereafter, appointment of committee members and filling vacancies shall be governed Salinas Municipal Code Chapter 3. .

Section 32-95. Relationship with transactions and use tax imposed by Article VII of Chapter

32. The tax imposed by this article shall be in addition to the tax imposed by Article VII of Chapter 32 of the Salinas City Code.

Section 32-96. Amendment of This Chapter. The following amendments to this chapter must be approved by the voters of the City of Salinas: increasing the tax rate or revising the methodology for calculating the tax such that a tax increase would result; or imposing the tax on transactions and uses not previously subject to the tax (unless such amendment occurs automatically by operation of Section 32-91). The City Council may otherwise amend this ordinance without submitting the amendment to the voters for approval.

Section 32-97. Termination Date. The authority to levy the tax imposed by this ordinance shall expire when the tax is repealed by a majority vote of the voters of the City.

SECTION 3. SEVERABILITY. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid by a court of competent jurisdiction, the remainder of the ordinance and the application ofsuch provision to the other persons or circumstances shall not be affected thereby. The voters of the City of Salinas hereby declare that they would have adopted each and every provision of this ordinance regardless of the invalidity of any other provision.

SECTION 4. CODIFICATION. Upon adoption of this ordinance pursuant to the voter approval referenced herein, the City Clerk, in consultation with the City Attorney, is hereby authorized and directed to codify this ordinance in the Salinas City Code.

SECTION 5. EFFECTIVE DATE. If this ordinance is approved by a majority of the voters voting on the issue at the November 3, 2026 election, pursuant to Elections Code Section 9217, this ordinance shall become effective ten (10) days after the City Council declares the results of the election.

SECTION 6. PUBLICATION. The Clerk of the City of Salinas is hereby directed to cause the ordinance to be published by one (1) insertion in the Monterey County Weekly, a newspaper of general circulation published and circulated in the City of Salinas.

APPROVED by the following vote of the voters of the City of Salinas on November 3, 2026:

YES:

NO:

ADOPTED by declaration of the vote by the City Council of the City of Salinas on , 2026
AYES:

NOES:

ABSTAI
N:

ABSEN
T:

APPROVED:
____________________________
Dennis Donohue, Mayor
ATTEST:

Patricia M. Soratos, City Clerk
APPROVED AS TO FORM:

Christopher A. Callihan, City Attorney
City Attorney Impartial Analysis
The City Council of the City of Salinas has placed this measure on the November 3, 2026, ballot to ask the voters to approve an ordinance that would renew, until ended by a majority of the voters of the city, an existing one percent (1.0%) transactions and use tax within the city of Salinas commonly referred to as “Measure G.”
If renewed, the revenue generated from the tax measure would continue to be deposited into the City’s General Fund and, accordingly, all monies collected would be available for use by the City for any general governmental purpose, such as sidewalk repairs and other long-term infrastructure projects, parks, youth and senior programs, police, fire, and emergency response, homeless reduction, and other general city services. As such, this ballot measure would renew and continue a “general tax” and not a “special tax.”
If this measure is approved by the voters, the tax would continue in effect until ended by a majority of the voters of the city.

The measure also provides for the continuation of annual audits and an independent oversight committee appointed by the Mayor and City Council. The oversight committee would continue to be comprised of City residents or representatives of businesses located in the city. The oversight committee would continue to review the annual audits and issue a public report to the City Council regarding the use of the revenue that the City receives from this tax.

A “YES” vote is a vote to renew an existing one cent transactions and use tax, until ended by a majority of the voters of the city, with annual audits, expenditure reports and oversight by an independent committee of Salinas residents and business representatives. A “NO” vote is a vote to not renew the existing one cent transaction and use tax, meaning the tax would expire in 2030.

The ballot measure would be approved if it receives a simple majority (over 50%) of “YES” votes.

Christopher A. Callihan
City Attorney
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-201, Version: 1
United States Department of Housing and Urban Development PY 2026-2027 Annual Action Plan Approve a Resolution approving the City of Salinas’ United States Department of Housing and Urban Development (HUD) Program Year (PY) 2026-2027 Annual Action Plan (AAP) and its submittal to HUD; authorizing the City Manager to incorporate any necessary modifications based upon community feedback and final HUD allocation prior to submissions to HUD; authorizing the Mayor to execute any related agreements, contracts, certifications, or amendments related to the funding allocations set forth in the PY 2026-2027 AAP; and authorizing the expense appropriation of HUD funds to projects and activities described in the PY 2026- 2027 AAP.

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CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: JUNE 2, 2026
DEPARTMENT: COMMUNITY DEVELOPMENT
FROM: LISA BRINTON, DIRECTOR
THROUGH: ORLANDO REYES, ASSISTANT DIRECTOR
BY: FRANCISCO BRAMBILA, MANAGEMENT ANALYST

ERIC SOTELO, COMMUNITY DEVELOPMENT ANALYST

VINCENT MONTGOMERY, PLANNING MANAGER
TITLE: UNITED STATES DEPARTMENT OF HOUSING AND URBAN
DEVELOPMENT PY 2026-2027 ANNUAL ACTION PLAN
RECOMMENDED MOTION:

A motion to approve a Resolution:

1. Approving the City of Salinas’ United States Department of Housing and Urban Development (HUD) Program Year (PY) 2026-2027 Annual Action Plan (AAP) and its submittal to HUD;

2. Authorizing the City Manager to incorporate any necessary modifications based upon community feedback and final HUD allocation prior to submissions to HUD;

3. Authorizing the Mayor to execute any related agreements, contracts, certifications, and amendments related to the funding allocations set forth in the PY 2026-2027 AAP; and

4. Authorizing the expense appropriation of HUD funds to projects and activities described in the PY 2026-2027 AAP and corresponding revenue appropriation.

EXECUTIVE SUMMARY:

The City of Salinas (City) administers three (3) federal HUD entitlement programs; Community Development Block Grant (CDBG), HOME Investment Partnership Program (HOME), and Emergency Solutions Grants (ESG), which support projects benefiting low and moderate-income households and neighborhoods throughout the jurisdiction. To remain eligible for annual allocations of its entitlement funds, the City must prepare and submit the PY 2026-2027 Annual Action Plan in support of its five-year Program Years (PY) 2025-2029 Consolidated Plan (Con Plan). The Annual Action Plan identifies the specific activities and funding priorities the City will undertake during the program year. The HUD submission deadline for the City’s PY 2026-2027 AAP is June 4, 2026.

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BACKGROUND:

The City is currently operating under the first year of its HUD PY 2025-2029 Con Plan, which covers July 1, 2025 through June 30, 2029 and was approved by the City Council on June 17, 2025. The Con Plan provides a strategic framework for addressing community development, housing, homelessness, and support services needs through CDBG, HOME and ESG entitlement funding. The PY 2026-2027 AAP represents the second year of proposed projects, activities, and funding allocations aligned with the Con Plan. The draft PY 2026-2027 AAP is attached to this report.

Community Engagement
In accordance with the City’s Citizen Participation Plan (CPP), development of the AAP incorporates robust community engagement and consultation efforts undertaken during the Con Plan development, including feedback from the existing Alisal Vibrancy Plan, Chinatown Revitalization Plan and the Parks, Rec & Libraries Master Plan. The community-driven input informed priorities for the use of self-directed CDBG and ESG funds. In preparation of its PY 2025-2029 Consolidated Plan the City conducted several community outreach efforts. A summary is provided below.
 Stakeholder consultation: Two virtual stakeholder workshops were held in December 2024. Participants were public service organizations, nonprofits and other interested parties. The workshops included a presentation of the Consolidated Plan’s purpose, contents and requirements. The majority of the time was spent conducting a Menti meter poll where all participants were able to answer questions on a digital device and the answers were shown on the screen. This allowed participants to see answers in real time as well as spurring discussions.
 Community meeting: An in-person community meeting was held on January 23, 2025 at the El Gabilan Library. It is estimated that 53 people were in attendance. Community members with an opportunity to vote on the housing and community priorities important to them including streets and neighborhood improvements, community facilities, community services, economic development, housing and special needs housing. Voting was done by placing dots on posters with different topics and programs.  Pop-Up events: the City had several pop-up events in December 2024 and January 2025 to discuss the Consolidated Plan with residents and have them fill out the Housing and Community Development Survey. The locations included:
 Chinatown Resource Fair
 Food Bank Event – Bread Box
 Downtown Outreach
 Laundry Mat Postings
 City Council Meeting Pop-up
 Cesar Chavez Library – meeting was available in Spanish through translation services
 Survey: A housing and community development survey was open between December 9, 2024 and January 31, 2025. The survey, available in English and Spanish, could be Page | 3
completed via online (SurveyMonkey) or paper. The weblinks and QR codes were advertised on the City’s website, social media, in community meetings and on flyers. Paper surveys were also available at City Hall and the pop-up and community events. A total of 127 responses were received 80 in English and 47 in Spanish).

The Housing and Land Use Committee discussed the Consolidated Plan on June 10, 2025, and provided a recommendation to move forward to City Council for approval. In addition, the Housing and Land Use Committee was to hold a Special Meeting on May 21, 2026, to obtain further comments on the draft PY 2026-2027 AAP and provide a recommendation City Council for final consideration. The meeting was cancelled due to lack of quorum. This item is proceeding directly to the City Council due to time sensitivity requiring on-time submission to HUD by June 4, 2026.

The required 30-day public comment period for PY 2026-2027 AAP opened on May 2, 2026, and will conclude on June 2, 2026. Barring significant public comments requiring modification, the approved AAP will be submitted to HUD prior to the June 4, 2026 deadline. If significant changes are required as a result of receiving public input, the City would then take appropriate action to amend its AAP in accordance with HUD requirements and the City’s Citizen Participation Plan.

PY 2026-2027 AAP
The PY 2026-2027 AAP includes funding recommendations for each of the City’s HUD entitlement allocations as well as any accrued Program Income (PI). Annual funding available this year total $3,308,936 including $2,196,140 in CDBG and $37,000 in CDBG PI; $844,248 in HOME and $40,000 in HOME PI; and $191,548 in ESG. The following tables summarize proposed funding recommendations for PY 2026-2027 AAP CDBG, HOME and ESG projects and activities.

Table 1
CDBG Funding Recommendations
Agency Project/Activity Recommendation
City of Salinas Program Administration (20%) $446,628
City of Salinas – Public Works Chinatown Neighborhood
Improvements (CIP 9070)
*$220,000
City of Salinas – Library and
Community Services Playground Equipment Replacement *$366,512 City of Salinas/Habitat for
Humanity Housing Rehabilitation *$440,000
City of Salinas – Public Works
Alisal Neighborhood Revitalization
Strategy Area Sidewalk Improvements
(Including Streetlights)
*$460,000
Eden Council for Hope and
Opportunity
Housing Rights & Tenant/Landlord
Services $100,000
City of Salinas Salinas Outreach and Response Team $200,000 *Recommendation includes Activity Delivery Total $2,233,140 Page | 4
To remain responsive to the evolving housing development environment, the City maintains an open application for “shovel ready” affordable housing projects seeking HOME funding. While staff continue to engage with developers to assess project readiness and funding needs, no viable HOME-eligible project has been identified for PY 2026-2027. As such, the City proposes reserving its HOME allocation for future “shovel ready” opportunities identified in Table 2.

CEQA/NEPA 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).

However, future discretionary actions may be subject to CEQA. All projects and activities funded with HUD funds will be subject to National Environmental Protection Act (NEPA).

CALIFORNIA GOVERNMENT CODE §84308 APPLIES:

No.

STRATEGIC PLAN INITIATIVE:

This action furthers the 2025-2028 Strategic Plan Economic Development objective to revitalize residential and commercial blighted areas through targeted initiatives, the Housing objective to Table 2
HOME Funding Recommendations
Agency Project/Activity Recommendation
City of Salinas Program Administration (10%) $88,425
Future Agency to be Determined Affordable Housing Activity *$669,185 Future Agency to be Determined Future CHDO Activity $126,638 *Recommendation includes Activity Delivery Total $884,248 Table 3
ESG Funding Recommendations
Agency Activity Recommendation
City of Salinas Program Administration (7.5%) $14,366
City of Salinas - Salinas Outreach
and Response Team Rapid Rehousing Program $177,182
Total $191,548
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facilitate the addition of low-income housing, the Infrastructure objective of improving sidewalks by funding public infrastructure improvements and new construction and rehabilitation of affordable multi-family rental housing, and Public Safety objective of enhancing homeless prevention, services, and facilities.

DEPARTMENTAL COORDINATION:

Community Development’s Housing and Community Development Division has coordinated proposed Action Plan with other City departments including Finance, Legal, Economic Development, Library Community Services and Public Works.

FISCAL AND SUSTAINABILITY IMPACT:

There is no impact on the General Fund associated with this agenda item as available City of Salinas HUD entitlement funds will be used to support these allowable CDBG projects. Approval of the PY 2026-2027 AAP will require the funding appropriation shown in the table below to start July 1, 2026, for PY 2026-2027.

Fund General Ledger Number
(Operating/CIP)
General Ledger
Account Name
Remaining Budget
Appropriation Amount Requested
2910 30.3220-55.7501 Intergovernmental Block Grant $0 $2,196,140 2910 30.3221-57.3020 Other Revenue Housing
Revolving Loans $0 $37,000
2910 30.3220-61.1XXX Salaries & Benefits $0 $388,628
2910 30.3220-62.XXXX Supplies & Materials $0 $4,400
2910 30.3220-63.XXXX Outside Services $0 $22,5000
2910 30.3220-64.XXXX Other Charges $0 $31,100
2910 30.3221-61.1XXX Salaries & Benefits $0 $40,000
2910 30.3221-69.XXXX Financial Assistance $0 $400,000
2910 30.3240-61.1XXX Salaries & Benefits $0 $133,000
2910 30.3240-69.XXXX Financial Assistance $0 $953,512
2910 50.9070-6X.XXXX Various Accounts $0 $200,000
2910 55.9060-6X.XXXX Various Accounts $0 $333,512
2910 50.9267-6X.XXXX Various Accounts $0 $420,000
2930 30.3220-55.7521 Intergovernmental HOME Inv
Partnership (HUD)
$0 $844,248
2930 30.3221-57.3020 Other Revenue Housing
Revolving Loans
$0 $40,000
2930 30.3220-61.1XXX Salaries & Benefits $0 $49125
2930 30.3220-63.XXXX Outside Services $0 $22,800
2930 30.3220-64.XXXX Other Charges $0 $16,500
2930 30.3240-61.1XXX Salaries & Benefits $0 $68,000
2930 30.3240-6X.XXXX Various Accounts $0 $727,824
2940 30.3220-55.7531 Intergovernmental Emergency
Solutions Grant
$0 $191,548
2940 30.3220-61.1XXX Salaries & Benefits $0 $14,366
2940 30.3242-69.XXXX Financial Assistance $0 $177,182
ATTACHMENTS:

1. Resolution - PY 2026-2027 AAP
Page | 6

2. PY 2026-2027 HUD Annual Action Plan – Draft

3. Presentation - PY 2026-2027 AAP

Page 1 of 2 ends

RESOLUTION NO. (N.C.S.)

A RESOLUTION OF THE SALINAS CITY COUNCIL

APPROVING THE UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT PY 2026-2027 ANNUAL ACTION PLAN AND AUTHORIZING

SUBMITTAL TO HUD
WHEREAS, the City of Salinas (City) receives and administers United States Department of Housing and Urban Development (HUD) entitlement Community Development Block Grant (CDBG), HOME Investment Partnerships Program (HOME) and Emergency Solutions Grants (ESG) program funding; and
WHEREAS, the City is currently operating under the first year of its HUD approved Program Years (PY) 2025-2029 Consolidated Plan (Con Plan), which covers July 1, 2025 through June 30, 2029, approved by the City Council on June 17, 2025, which provides a strategic framework for addressing community development, housing, homelessness, and support services needs through CDBG, HOME and ESG entitlement funding; and WHEREAS, the Program Year (PY) 2026-2027 Annual Action Plan (AAP) represents the second year of proposed projects, activities, and funding allocations aligned with the Con Plan that the City will undertake during the program year; and
WHEREAS, the City relied on the robust community engagement and consultation efforts and input during the Con Plan development, including feedback from the existing Alisal Vibrancy Plan, Chinatown Revitalization Plan and the Parks, Rec & Libraries Master Plan, to inform priorities for the use of self-directed CDBG and ESG funds; and WHEREAS, to remain responsive to the evolving housing development environment, the City maintains an open application for “shovel ready” affordable housing projects seeking HOME funding while staff continue to engage with developers to assess project readiness and funding needs, no viable HOME-eligible project has been identified for PY 2026-2027; and WHEREAS, per the City’s HUD Citizen Participation Plan (CPP), the draft PY 2026-2027 AAP was available for public review and comment for a minimum thirty (30) day period from May 2, 2026, to June 2, 2026; and
WHEREAS, the City must submit PY 2026-2027 AAP to HUD for approval by June 4, 2026, to remain eligible to receive CDBG, HOME and ESG entitlement funding; and WHEREAS, the Housing and Land Use Committee planned to meet on May 21, 2026, to obtain further comments and provide a recommendation to City Council on the draft PY 2026- 2027 AAP, but was unable to establish a quorum; and
WHEREAS, the PY 2026-2027 AAP proceeded directly to the City Council due to time sensitivity of the June 4, 2026 submission deadline; and WHEREAS, the City Council held a duly noticed public hearing on June 2, 2026, to obtain further comments on the draft PY 2026-2027 AAP; and

Page 2 of 2 ends

WHEREAS, the City will take appropriate action to incorporate any necessary modifications to its PY 2026-2027 AAP based upon community feedback received within the comment period and final HUD allocation prior to submissions to HUD; and WHEREAS, 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) but future discretionary actions may be subject to CEQA and all projects and activities funded with HUD funds will be subject to National Environmental Protection Act (NEPA).

NOW, THEREFORE, BE IT RESOLVED by the Salinas City Council that it hereby approves the PY 2026-2027 AAP submittal to HUD and authorizes the City Manager to incorporate any necessary modifications to the approved plan based upon community feedback prior to the submission; and
BE IT FURTHER RESOLVED by the Salinas City Council that it hereby authorizes the Mayor to execute any related agreements, contracts, certifications, and amendments related to the funding allocations set forth in the PY 2026-2027 AAP; and authorizes the appropriation of HUD funds to projects and activities described in PY 2026-2027 AAP.

PASSED AND APPROVED this 2nd day of June 2026, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

APPROVED:
______________________________
Dennis Donohue, Mayor
ATTEST:
_________________________
Patricia M. Soratos, City Clerk
FY 2026-2027 Annual Action Plan
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Table of Contents
Executive Summary ................................................................................................................. 1 AP-05 Executive Summary - 24 CFR 91.200(c), 91.220(b)..........................................................1 PR-05 Lead & Responsible Agencies – 91.200(b).......................................................................5 AP-10 Consultation – 91.100, 91.200(b), 91.215(l)....................................................................5 AP-12 Participation – 91.105, 91.200(c) ..................................................................................12 Expected Resources............................................................................................................... 14 AP-15 Expected Resources – 91.220(c)(1,2) ............................................................................14 Annual Goals and Objectives................................................................................................. 18 Projects....................................................................................................................................20 AP-35 Projects – 91.220(d) ......................................................................................................20 AP-38 Project Summary...........................................................................................................21 AP-50 Geographic Distribution – 91.220(f)..............................................................................25 Affordable Housing................................................................................................................ 27 AP-55 Affordable Housing – 91.220(g) ....................................................................................27 AP-60 Public Housing – 91.220(h)............................................................................................27 AP-65 Homeless and Other Special Needs Activities – 91.220(i) .............................................28 AP-75 Barriers to affordable housing – 91.220(j) ....................................................................29 AP-85 Other Actions – 91.220(k) .............................................................................................32 Program Specific Requirements............................................................................................. 37 AP-90 Program Specific Requirements – 91.220(l)(1,2,4)........................................................37 Appendix A: Public Outreach................................................................................................. 42 Appendix B: Monitoring ........................................................................................................ 43 Appendix C: SF 424 and Certifications.................................................................................... 44 List of Tables
Table 1 - Responsible Agencies.....................................................................................................5 Table 2 - Agencies, groups, organizations who participated .......................................................10 Table 3 - Other local / regional / federal planning efforts...........................................................11 Table 4 - Citizen Participation Outreach......................................................................................13 Table 5 - Expected Resources - Priority Table .............................................................................15 Table 6 - Goals Summary.............................................................................................................18 Table 7 - Goals Descriptions........................................................................................................19 Table 8 - Project Information ......................................................................................................20 Table 9 - Project Summary Information ......................................................................................25 Table 10 - Geographic Distribution .............................................................................................25 Table 11 - One Year Goals for Affordable Housing by Support Requirement..............................27 Table 12 - One Year Goals for Affordable Housing by Support Type ...........................................27 DRAFT
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Executive Summary
AP-05 Executive Summary - 24 CFR 91.200(c), 91.220(b)

1. Introduction
Salinas is a compact urban community within a unique agricultural setting. Unlike the vaguely defined boundaries and sprawl that characterize so much of urban California, the highly productive agricultural lands surrounding Salinas create a distinct urban-agricultural edge that serves as a reminder of the source of the area's economic well-being. The City lies at the north end of the Salinas Valley, known as "The Salad Bowl of the World," and is the processing and shipping point for lettuce, broccoli, mushrooms, and strawberries, along with numerous other crops. With its mild climate and fertile soil, Salinas has become the processing and shipping point for one of the world's largest agricultural centers. Although agriculture forms its economic base, the economy has diversified substantially over the last 20 to 30 years.

This Fiscal Year (FY) 2026-2027 Action Plan (AP) serves as the official application to the United States Department of Housing and Urban Development (HUD) for Community Development Block Grant (CDBG), HOME Investment Partnership Program (HOME), and Emergency Solutions Grants (ESG) funds for the City of Salinas (City). The AP identifies expected resources, annual goals and objectives, and affordable housing opportunities to address needs in the City. It also satisfies the minimum statutory requirements of the CDBG, HOME, and ESG programs.

The City of Salinas agrees that its compliance in all respects with all applicable Federal antidiscrimination laws is material to the U.S. Government’s payment decisions for purposes of section 3729(b)(4) of title 31, United States Code.

The City of Salinas will not operate any programs that violate any applicable Federal antidiscrimination laws, including Title VI of the Civil Rights Act of 1964.

2. Summarize the objectives and outcomes identified in the Plan This AP incorporates the following Performance Measure Objectives/ Outcomes to be associated with each activity funded:

General Objective Categories- Activities will meet one of the following:
• Decent Housing (DH)
• A Suitable Living Environment (SL)
• Economic Opportunity (EO) General
Outcome Categories- Activities will meet one of the following:
• Availability/Accessibility (1)
• Affordability (2)
• Sustainability (3)
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The strategies in this AP are intended to coordinate with and build upon other established City plans and policies, particularly those set forth in the Salinas General Plan Housing Element (HE); Economic Development Element (EDE); Alisal Vibrancy Plan (AVP); Chinatown Revitalization Plan (CRP); Salinas Broadband Master Plan (SBMP); and Parks, Recreation and Libraries Master Plan (PRLMP). Strategies also reflect input from residents, service providers, community stakeholders, staff and City officials. Ranking of needs is based upon multiple factors, including:
• Goals, policies and objectives from the City’s HE, EDE, AVP, CRP, SBMP and PRLMP; • Findings from the assessment of demographic and housing market conditions (detailed analyses contained in the ANRSA);
• Staffing resources, both for the City and for relevant providers; • The severity of need among the identified groups and subgroups, including relative needs between income groups;
• Input received from the community via Community Workshops, public outreach and Needs Survey;
• Likely availability of funds over the coming five years for various housing and community development activities, combined with consideration for the most effective use of the limited funds that fall under the purview of the City’s CP.

The City’s goals and priorities for the FY 2025-2029 CP are identified below:
• Increased Decent and Affordable Housing
• Affordable Rental Housing Opportunities
• Assistance to Homeowners for Rehabilitation
• Homeownership Opportunities
• Enhanced Homeless Prevention, Services and Facilities • Enhanced Neighborhood Conditions
• Public Services
• Economic Development
• Planning and Program Administration

3. Evaluation of past performance
The City has achieved the following accomplishments related to Consolidated and Action Planning. These accomplishments cover FY 2024-25. At the time of the drafting of this Action Plan, FY 2025-26 has not concluded. Accomplishments for FY 2025-26 will not be finalized until the completion of the FY at the end of June. Staff continue to work diligently in implementing the 2025-26 Action Plan and will report accomplishments in the upcoming CAPER. • The Allocation Plan (AP) for the HOME American Rescue Plan (ARP) was approved, and the City was awarded a total of $2,918,774 in January 2023. The City is proposing to fund supportive services at two Homekey sites. These sites will collectively create 101 affordable rental housing units to house persons experiencing homelessness. It is anticipated that the financial allocation for these supportive services will be sustained for approximately two years with an estimated annual budget of at least $1,200,000. In FY 2023-24, there was a change in ownership in both Homekey projects. The City DRAFT
FY 2026-2027 Annual Action Plan 3
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collaborates with the new owners to keep these projects within the intended use and purpose.
• The Salinas Outreach and Response Team (SORT) provides linkage and referrals to supportive programs. A total of 232 persons were served in FY 24-25. A total of 15 people were placed in Emergency Shelter, 8 people were placed in transitional housing, and 36 people were placed in permanent housing. Of those, a total of 125 persons were enrolled and engaged in street outreach services through ESG in FY 24-25. In addition, the SORT team engaged 46 persons using CDBG funds.
• The City enrolled 72 persons in the Rapid Rehousing program, including 2 veterans. The CNC permanently housed 27 individuals.
• Eden Council for Hope and Opportunity (ECHO) implements the City’s Fair Housing and Tenant/Landlord Services Program. ECHO assisted 180 households during this fiscal year. • The Hebbron Family Center Project, located at 683 Fremont Street, is managed by the City’s Public Works and Library and Community Services Departments. On December 5, 2023, the City Council also approved a substantial amendment to FY 2017-18, FY 2019- 20, FY 2020-21, FY 2021-22, FY 2022-23, and FY 2023-24 to allocate an additional $600,000 in CDBG program funds. In total, the project had been allocated $3,057,115.

The Center was completed and had its grand opening on January 31, 2026. • The City allocated additional CDBG funds to the Sherwood Recreation Center Project (Phase IV) during FY 2024-25. The design process was completed and submitted to the City for plan review in July 2024. The environmental review phase of the project was completed in March 2025. Construction is expected to be completed by October 2026. • The City continues to allocate funds toward the Chinatown Neighborhood Improvements project. In FY 2023-24, the Community Development Department started collaborating with the Public Works Department to refine the project scope. This project will focus on ADA curb cuts, sidewalk repairs,street repairs, and lighting improvements throughout the neighborhood. The project is divided into multiple phases. ERR Phase I will be completed in FY 2025-26, focusing on sidewalk and ADA curb cut improvements. • The First United Methodist Church (FUMC) was awarded $561,182 of CDBG funds to rehabilitate its existing kitchen and bring the parking lot to ADA standards to continue providing meals and essential services to the unhoused population. All construction activities were completed on June 10, 2024.
• The City completed the development of the Early Childhood Development Center (ECDC) at 1018 Buckhorn Drive in January 2025. The grand opening was held February 3, 2025. • The Natividad Creek Park Restroom Rehabilitation project was awarded $442,070 in CDBG fundsfor ADA upgrades inside and outside the restroom as well as new ADA parking stalls. The project was completed in December 2025.

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• The City of Salinas has been providing housing information, education, and referral services to Salinas residents through the Emergency Rental Assistance Program (ERAP), created in response to the COVID-19 Pandemic. As of end of October 2024, the City of Salinas has assisted 54 households with rental assistance through the United Way Community Impact Grant funds.
• The City of Salinas Business Navigator provided technical support to 166 clients, addressing 53 cases requiring in-person assistance through the Grow Salinas Fund (GSF) /Economic Development Technical Assistance program. In addition, the City hosted two workshops and one networking mixer covering key topics such as the City’s procurement process, marketing strategies, micro-kitchen permits, and business networking.

Significant progress was done for the Alisal Façade Program, including the development of draft program guidelines, internal processes, maintenance agreements, and the creation of an online application portal. The program was launched Fall 2025, with the Business Navigator managing the application process.

4. Summary of Citizen Participation Process and consultation process Under the preparation of this FY 2026-2027 AP, the City conducted several community outreach efforts. A summary is provided below. Appendix A includes the outreach materials.

Application Workshop: A virtual application workshop was held in [DATES]. Participants were public service organizations, nonprofits and other interested parties.

Public Noticing: Public noticing of Action Plan outreach activities was done through a variety of formats including the City website, emailing stakeholders, advertisements in The Monterey Herald newspaper, distributing flyers throughout the City and social media posts.

A 30-day public review period of the draft Action Plan occurred from May X, 2026 to June X, 2026.

Copies of the draft AP were made available for the public at the following locations, in conformance with the City’s CDBG Citizen Participation Plan (CPP):
• John Steinbeck Library, 350 Lincoln Avenue, Salinas;
• Cesar Chavez Library, 615 Williams Road, Salinas;
• El Gabilan Library, 1400 North Main Street, Salinas;
• Housing Division, Community Development Department, 65 W. Alisal Street, 2nd Floor, Salinas;
• City Clerk’s Office, City Hall, 200 Lincoln Avenue, Salinas, and • On-line at the City of Salinas website: http://www.cityofsalinas.org/.

5. Summary of public comments
A summary of the public comments received is provided in Appendix A.

6. Summary of comments or views not accepted and the reasons for not accepting them All comments were received.

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7. Summary
The City has undertaken diligent and good faith efforts in outreaching to all segments of the community that may benefit from the City’s CDBG, HOME, and ESG programs.

PR-05 Lead & Responsible Agencies – 91.200(b)

1. Agency/entity responsible for preparing/administering the Consolidated Plan The following are the agencies/entities responsible for preparing the Action Plan and those responsible for administration of each grant program and funding source.

Agency Role Name Department/Agency
CDBG Administrator SALINAS Community Development Department Housing Division HOME Administrator SALINAS Community Development Department Housing Division ESG Administrator SALINAS Community Development Department Housing Division Table 1 - Responsible Agencies
Narrative
The City’s Housing and Community Development Division of the City’s Community Development Department is responsible for the implementation and administration of the CP, as well as activities identified in the AAP. In addition, staff also collaborate with other governmental agencies and non-profit organization to facilitate strategic planning and implementation of goal and objectives identified in the CP.

Consolidated Plan Public Contact Information
For matters concerning the City’s Consolidated Plan, and CDBG, HOME and ESG programs, please contact Vincent Montgomery, Planning Manager, City Community Development Department, Housing Division, 65 W. Alisal Street, Salinas, CA 93901, (831) 758-7334 or [email protected].

AP-10 Consultation – 91.100, 91.200(b), 91.215(l)

1. Introduction
As part of the development of this AP, the City undertook an outreach program to consult and coordinate with non-profit agencies, affordable housing providers, and government agencies regarding the needs of the low- and moderate-income community.

Provide a concise summary of the jurisdiction’s activities to enhance coordination between public and assisted housing providers and private and governmental health, mental health and service agencies (91.215(l))
To outreach various agencies and organizations, the City compiled an outreach list consisting of more than 200 representatives from agencies and organizations, including:

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• Non-profit service providers that cater to the needs of low- and moderate-income households and persons with special needs;
• Local churches and religious groups;
• Groups addressing the needs of individuals exiting institutions; • Schools;
• Affordable housing providers;
• Housing advocates;
• Housing professionals;
• Public agencies (such as school districts, health services, public works); • Economic development and employment organizations; and • Community and neighborhood groups.

These agencies were contacted and notified of the AP development process and community workshops.

On an ongoing basis, City staff communicate with various nonprofits and public agencies that serve the City’s low- and moderate-income residents and special needs groups to identify needs and plans for future activities. The City has established a Housing and Land Use Committee and Technical Advisory Committee for Housing Policies and Programs to provide an additional forum for residents, agencies, and organizations to discuss housing and community development needs and plans.

Describe coordination with the Continuum of Care and efforts to address the needs of homeless persons (particularly chronically homeless individuals and families, families with children, veterans, and unaccompanied youth) and persons at risk of homelessness.

The City’s Mayor is a member of the Continuum of Care (CoC) Leadership Council and on an ongoing basis, City staff participate in the CoC Leadership Council meeting. Additionally, City staff also attend and participate in the CoC Coalition of Homeless Service Providers (CHSP), Salinas Downtown Community Board (SDCB) for the Chinatown Area, and CoC Ten-Year Plan to End Homelessness (Lead Me Home Plan) meetings, to identify housing and supportive service needs of the homeless and develop solutions.

The City is also the Administrative Entity (AE) for the California Department of Housing and Community Development (HCD) Emergency Solutions Grants (ESG). As the AE City utilizes HCD ESG funding to support the operations of the CNC, and other emergency shelter, street outreach, homeless prevention, rapid re-housing services and the Homeless Management Information System (HMIS) activities.

The City also attends the local CoC Point-in-Time Count (PIT), Lead Me Home Plan, CARS, HMIS and Rapid Rehousing meetings and receives updates on initiatives to end homelessness in Monterey County. The County is the lead agency for coordinating housing, employment, and services for this population.

The City makes an effort to coordinate with the County of Monterey and their work with the City Police Department to address homelessness, including those who have been released from DRAFT
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correctional programs and institutions. The Salinas Valley State Prison is located in the City of Soledad, but the County Jail is located in Salinas.

Describe consultation with the Continuum(s) of Care that serves the jurisdiction's area in determining how to allocate ESG funds, develop performance standards for and evaluate outcomes of projects and activities assisted by ESG funds, and develop funding, policies and procedures for the operation and administration of HMIS The Coalition of Homeless Service Providers (CHSP) is a group of private non-profit and public organizations working together to address the complex issues of homelessness throughout Monterey and San Benito Counties. CHSP is the local lead HMIS agency for the CoC service area (Monterey and San Benito Counties). In addition, CHSP organizes and coordinates a series of ongoing, highly targeted, HMIS related meetings and trainings designed to enhance data quality, refine policy and streamline activities at an agency and CoC level. The CoC Leadership Council approved the City to be the Administrative Entity (AE) for the HCD ESG Program. The HCD ESG program funding is to leverage other federal and local funding.

CHSP updated the Lead Me Home Plan, their regional plan to reduce homelessness in 2021. This update includes priorities for the five-year period between 2021 and 2026. The updated plan has a goal of reducing homelessness by 50 percent utilizing the following overarching strategies:
• Increase participation in homelessness solutions by leaders and key stakeholders from across the region;
• Improve the performance of the homelessness response system; and • Expand service-oriented responses to unsheltered homelessness.

This Action Plan includes a priority to reduce homelessness in Salinas. The City has been working with several agencies to provide outreach, shelter, homeless prevention, and rapid re-housing services to the homeless. These programs have been highly successful, and the City continues to demonstrate a tremendous and continued need for these services.

2. Describe Agencies, groups, organizations and others who participated in the process and describe the jurisdiction’s consultations with housing, social service agencies and other entities
As part of the CP, AAP and ANRSA development process, the City developed an outreach list of more than 200 representatives from agencies and organizations, as well as individuals. The outreach list includes County and neighboring cities which were invited to participate in the community workshops and public hearings, or provide comments on the City’s CP, AAP and ANRSA. The list also included hospitals and medical centers that may discharge people into homelessness.

Agencies and organizations attended the Community Workshops and/or public meetings in include:

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Agency/Group/
Organization
Agency/Group/
Organization
Type
What section of the Plan
was addressed by
Consultation?
Briefly describe how the
Agency/Group/Organization was
consulted. What are the anticipated
outcomes of the consultation or areas
for improved coordination?
Library and
Community
Services
Department
Other –
Government
Non-Homeless Special Needs
Community Facilities
Agency attended various outreach events
conducted for the AP, including
community workshops and/or public
hearings.

Jacana Other – Housing
Development
Housing
East SalinasBuilding Healthy
Communities
Services –
Housing
Services –
Health
Housing Need Assessment
Non-Homeless Special Needs
Franciscan
Workers of
Junipero Serra
Services –
Homeless
Housing Need Assessment
Homelessness Strategy
Homeless Needs -
Chronically homeless
Homeless Needs - Families
with children
Homelessness Needs –
Veterans
Homelessness Needs -
Unaccompanied youth
Housing
Authority of the
County of
Monterey
(HACM)
Housing Public
Housing Agency
Housing Need Assessment
Public Housing Needs
Salinas
Downtown
Community
Board (SDCB)
Other –
Neighborhood
Organization
Housing Need Assessment
Non-Homeless Special Needs
Asian Cultural
Experience
(ACE)
Other –
Neighborhood
Organization
Housing Need Assessment
Non-Homeless Special Needs
Community
Homeless
Solutions (CHS)
Services –
Homeless
Housing Need Assessment
Homelessness Strategy
Homeless Needs -
Chronically homeless
Homeless Needs - Families
with children
Homelessness Needs –
Veterans
Homelessness Needs -
Unaccompanied youth
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Agency/Group/
Organization
Agency/Group/
Organization
Type
What section of the Plan
was addressed by
Consultation?
Briefly describe how the
Agency/Group/Organization was
consulted. What are the anticipated
outcomes of the consultation or areas
for improved coordination?
Downtown
Streets Team
(DST)
Services –
Homeless
Housing Need Assessment
Homelessness Strategy
Homeless Needs -
Chronically homeless
Homeless Needs - Families
with children
Homelessness Needs –
Veterans
Homelessness Needs -
Unaccompanied youth
Eden Council for
Hope and
Opportunity
(ECHO)
Services – Fair
Housing
Services –
Housing
Housing Needs Assessment
Non-Homeless Special Needs
California Rural
Legal
Assistance, Inc.
(CRLA)
Services – Legal Housing Needs Assessment
Non-Homeless Special Needs
Housing Choices Services –
Housing
Services –
Health
Housing Needs Assessment
Non-Homeless Special Needs
Community
Housing
Improvement
Systems and
Planning
Association, Inc.
(CHISPA)
Other –
Nonprofit
Developer
Housing Need Assessment
Services - Housing
Digital Nest Other – NonProfit
Organization
Other-Broadband Needs
Alisal Vibrancy
Plan
Implementation
Committee
Civic Leaders -
Neighborhood
Organization
Housing Needs Assessment
Market Analysis
Economic Development
Public Works
Department
Other
Government –
Local
Other – Emergency
Management/ Operations
PG&E
(Power/Gas)
Other – Utility
Company
Other – Emergency
Management/ Operations
ALCO Water Other – Utility
Company
Other – Emergency
Management/ Operations
California Water
Services
Other – Utility
Company
Other – Emergency
Management/ Operations
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Agency/Group/
Organization
Agency/Group/
Organization
Type
What section of the Plan
was addressed by
Consultation?
Briefly describe how the
Agency/Group/Organization was
consulted. What are the anticipated
outcomes of the consultation or areas
for improved coordination?
Monterey Bay
Air Resources
District
Other
Government –
Federal
Other – Emergency
Management/ Operations
Monterey
County
Resource
Management
Agency
Other
Government –
County
Other – Emergency
Management/ Operations
Monterey
County Health
Department
Other
Government –
County
Other – Emergency
Management/ Operations
Monterey
County
Department of
Social Services
Other
Government –
County
Other – Emergency
Management/ Operations
Table 2 - Agencies, groups, organizations who participated Identify any Agency Types not consulted and provide rationale for not consulting The City distributed information about the community workshops and public meetings to over 200 agencies and organizations as part of the outreach process for this AP. All applicable agencies and agency-types were consulted.

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Other local/regional/state/federal planning efforts considered when preparing the Plan Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan?
City of Salinas 2023-2031
Housing Element
City Potential funding allocations to address housing
needs in Salinas will be consistent with the
Housing Element programs
Continuum of Care (CoC) The Coalition of
Homeless Services
Providers (CHSP)
Potential funding allocations to address homeless
needs will complement the CoC Strategy.

Salinas Broadband Master
Plan
City Potential funding allocations will be consistent
with the priority areas identified in the Broadband
Master Plan.

Lead Me Home Plan Update
(July 2021-June 2026)
The Coalition of
Homeless Services
Providers (CHSP)
Potential funding allocations to address homeless
needs will be consistent with the Lead Me Home
Plan.

City of Salinas General Plan
Update
City The City is currently updating the General Plan,
including a new Environmental Justice Element.

Potential funding allocations will be consistent
with the General Plan policies and programs,
including those related to environmental justice
and economic development.

Chinatown Revitalization Plan
(CRP)
City Sets forth recommendations and implementation
strategies to address the housing, access, mobility,
and socioeconomic needs of the neighborhood.

Alisal Vibrancy Plan (AVP) City Communicates the collective vision of those who live and work in the Alisal and implement
community-created solutions for strengthening its
neighborhoods.

Active Transportation Plan
(ATP)
City Potential funding allocations for street
improvements will be consistent with the priorities
in the ATP.

Farmworker Housing Study
and Action Plan for Salinas
Valley and Pajaro Valley
California Institute for
Rural Studies
Includes objectives for housing types specifically
for the farmworker community.

Climate Action Plan (CAP) City The City is preparing its first CAP. Potential funding allocations will be consistent with the goals of the
plan.

Parks, Recreation & Libraries
Master Plan (PRLMP)
City This Plan focuses on the system of parks, open
space, and recreational facilities and programs,
which promotes quality of life and healthy
lifestyles.

Table 3 - Other local / regional / federal planning efforts Narrative (optional)
See discussions above.

DRAFT
FY 2026-2027 Annual Action Plan 12
OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-12 Participation – 91.105, 91.200(c)

1. Summary of citizen participation process/Efforts made to broaden citizen participation Summarize citizen participation process and how it impacted goal-setting For FY 2026-2027, the City's Citizen Participation process involved the following:
• Publicity: Bilingual (Spanish-English) information about the NOFA Application Workshop was distributed through a public notice posted at all three City libraries, City Hall, and Community Development Department facilities and distributed to community partners via email blasts; publication on the City website; publication of the public notice in The Monterey County Herald (English & Spanish language) meeting notices posted in City Hall, City Council chambers, and the City’s Permit Center.
• Public Review of Draft Documents: A minimum 30-day public review was held from May 2 through June 2, 2026. Copies of the Draft Action Plan were made available for the public at the following locations: City’s website; Salinas City Hall; Salinas Libraries and Salinas Community Development Department.
• Public Hearing: The City Council conducted a public hearing on June 2, 2026, regarding the City's CDBG, HOME, and ESG allocations. This public hearing was streamed live at https://salinas.legistar.com/Calendar.aspx and televised live on Channel 25 on the date of the regularly scheduled meeting and will be broadcast throughout the week following the meeting. For the most up-to-the-minute Broadcast Schedule for The Salinas Channel on Comcast 25, please visit or subscribe to our Google Calendar located at http://tinyurl.com/salinas25. Recent City Council meetings may also be viewed on the Salinas Channel on YouTube at http://www.youtube.com/thesalinaschannel.

The final Consolidated Plan, Substantial Amendments, Annual Action Plans and Consolidated Annual Performance and Evaluation Reports will be available for five years at the Salinas’ Community Development Department.

DRAFT
FY 2026-2027 Annual Action Plan 13
OMB Control No: 2506-0117 (exp. 09/30/2021)
Citizen Participation Outreach
Sort
Order
Mode of
Outreach
Target of Outreach Summary of
response/attendance
Summary of comments
received
Summary of comments not
accepted and reasons
URL
(If applicable)
1 Application
Workshop
Regional and local service
providers and nonprofit
organizations
City and County Departments
Comments are summarized
in Appendix A.

All comments were
accepted
2 Public NoticingMinorities
Non-English Speaking:

Spanish
Non-Targeted/ Broad
Community
Comments are summarized
in Appendix A.

All comments were
accepted
3 Public Hearing Non-Targeted/ Broad
Community
Comments are summarized
in Appendix A.

All comments were
accepted
Table 4 - Citizen Participation Outreach
DRAFT
FY 2026-2027 Annual Action Plan 14
OMB Control No: 2506-0117 (exp. 09/30/2021)
Expected Resources
AP-15 Expected Resources – 91.220(c)(1,2)
Introduction
The City is an entitlement jurisdiction for CDBG, HOME, and ESG funds, and is receiving $2,196,140 in CDBG funds, $844,248 in HOME funds, and $191,548 in ESG funds for FY 2026- 2027. In addition, the CDBG program anticipates Program Income (PI) of $37,000 (similar to the amount of program income received by the City in FY 2025-2026) and the HOME program anticipates PI of $552,868. Specifically, the City anticipates receiving $94,000 in repayments from its Residential Rehabilitation Loan Program, and a payment of $40,000 from the multi-family Los Padres Apartment’s loan payoff. The CDBG PI and HOME PI will be incorporated into the City's annual budgeting process.

DRAFT
FY 2026-2027 Annual Action Plan 15
OMB Control No: 2506-0117 (exp. 09/30/2021)
Anticipated Resources
Program Source of
Funds
Uses of Funds Expected Amount Available Year 1 Expected Amount
Available
Remainder of
ConPlan
$
Narrative Description
Annual
Allocation: $
Program
Income: $
Prior Year
Resources: $
Total:
$
CDBG Public -
Federal
Acquisition
Admin and Planning
Economic Development
Housing
Public Improvements
Public Services
2,196,140.00 37,000.00 0.00 2,233,140.00 6,000,000.00 For planning purposes, the City estimates the availability
of approximately $2 million
annually in CDBG funds for
the remaining three years of
the CP period.

HOME Public -
Federal
Acquisition
Homebuyer assistance
Homeowner rehab
Multifamily rental new
construction
Multifamily rental rehab
New construction for
ownership
TBRA
844,248.40 40,000.00 0.00 884,248.40 2,400,000 For planning purposes, the City estimates the availability
of approximately $800,000 in
HOME funds annually for the
remaining three years of the
CP period.

ESG Public -
Federal
Conversion and rehab for
transitional housing
Financial Assistance
Overnight shelter
Rapid rehousing (rental
assistance)
Rental Assistance
Services
Transitional housing
191,548.00 0.00 0.00 191,548.00 510,000.00 For planning purposes, the City estimates the availability
of approximately $170,000 in
ESG funds annually for the
remaining four years of the
CP period.

DRAFT
Table 5 - Expected Resources - Priority Table
FY 2026-2027 Annual Action Plan 16
OMB Control No: 2506-0117 (exp. 09/30/2021)
Explain how federal funds will leverage those additional resources (private, state and local funds), including a description of how matching requirements will be satisfied Affordable Housing: In Salinas’ programs, the most frequent example of leveraging occurs in the development of new affordable housing projects. Due to the high cost of developing housing, it is essential for non-profit housing developers to construct new projects by leveraging and matching financial resources from a variety of sources. No matter the primary source of funding (e.g., federal Low-income Tax Credits, HUD Section 811 financing, USDA housing programs), none will finance the entire cost to develop housing. Salinas uses both CDBG and HOME funds to leverage the participation of other funders.

The flexibility of CDBG rules makes it particularly appropriate for pre-development process as critical support for non-profits that often are pressed for pre-development funds. Similarly, HOME guidelines emphasize the importance of using HOME to fill in ‘financing gaps’ that often result when projects face more rigid requirements established either by particular loan regulations, or due to the degree of competition for other financing.

Public Services: For the Public Services subrecipients CDBG funding is often an essential source of funds to access other funds. None of the subrecipients’ essential safety net programs are funded exclusively by CDBG.

Public Facilities and Infrastructure Improvements: There are other more subtle forms of leverage. Public investment in a particular neighborhood (upgrading water mains or installing traffic signals or street lighting) can be an inducement for additional investment by area property owners affected by the improvements.

Home Match Requirements: Pursuant to HUD regulations, all participating jurisdictions (PJs) must contribute or match 25 cents for each dollar of HOME funds spent on affordable housing.

The HOME statute allows for a reduction of the matching contribution requirement under three conditions: 1) fiscal distress, 2) severe fiscal distress, and 3) for Presidentially declared major disasters. When a local jurisdiction meets one of these distress conditions, it is determined to be in fiscal distress and receives a 50 percent reduction on match. If a local jurisdiction satisfies both of the distress criteria, it is determined to be in severe fiscal distress and receives a 100 percent reduction on match. As of FY 2024, the City is considered fiscally distressed and receives a 50 percent reduction in HOME match requirement, based on the City’s per capita income ($23,707) and poverty level (14.24 percent). The City has adequate accrued match from Housing Asset Funds (former redevelopment funds) to be ‘banked’ against its future match requirements.

ESG Match Requirements: The ESG program has a dollar-for-dollar match requirement. Federal (non-ESG), state, local, and private funds may be used as a match. The City’s ESG match requirement is satisfied with a variety of funding sources. Subrecipients are required to provide their planned ESG match on the funding application, with the actual match reported at the end of the program year.

DRAFT
FY 2026-2027 Annual Action Plan 17
OMB Control No: 2506-0117 (exp. 09/30/2021)
If appropriate, describe publicly owned land or property located within the jurisdiction that may be used to address the needs identified in the plan 34-38 Soledad St. and 45 Soledad St.: These City-owned properties are located within the Chinatown area. The Advanced Planning and Project Implementation Division and the Housing Division are collaborating on advancing these projects. Both sites are designated for the development of mixed-use affordable housing. City staff have been working on gathering community input for building design as well as needed amenities for the commercial space. As of April 2026, the City is proposing mixed-use developments at 3440 Soledad and 45 Soledad 55, which would include 55 affordable units for families and 30 affordable units for seniors, respectively.
10-12 Soledad St.: This property is currently owned by the City, which also plans to acquire adjacent parcels with the intent to combine them into a larger, contiguous site. These sites will be dedicated to future housing development.
37-39 Soledad St: This City-owned property, known as the Republic Café, has been designated like other sites in Chinatown for mixed-use housing development. In addition, the City is partnering with Asian Cultural Experience (ACE) for the development of a cultural museum on the ground floor.

Division St. Properties: This property consists of seven City-owned parcels designated for housing development. The City is collaborating with the Housing Authority of the County of Monterey on a proposal to develop a minimum of 48 housing units on the site.

El Rey Motel: This City-owned property was formerly a motel, acquired by the City in 2024 with the intention of developing Transitional Housing for individuals experiencing or at risk of homelessness. In the future, the City may consider converting the site into Permanent Supportive Housing, as permitted under the Zoning Code.

Discussion
See discussion above.

DRAFT
FY 2026-2027 Annual Action Plan 18
OMB Control No: 2506-0117 (exp. 09/30/2021)
Annual Goals and Objectives
AP-20 Annual Goals and Objectives
Goals Summary Information
Sort
Order
Goal Name Start
Year
End
Year
Category Geographic Area Needs Addressed Funding Goal Outcome Indicator 1 Increase Decent and
Affordable Housing
2026 2027 Affordable
Housing
Alisal Homeownership
and Neighborhood
Revitalization Strategy
Area (ANRSA)
Chinatown Area
Citywide
Affordable Rental
Housing Opportunities
Assistance to
Homeowners for
Rehabilitation
Homeownership
Opportunities
CDBG:
$440,000
HOME:
$795,823.56
Homeowner Housing
Rehabilitated: 5 Housing
Units
Rental units constructed: TBD
Housing Units
2 Enhanced Homeless
Facilities and Services
2026 2027 Homeless Citywide Enhanced Homeless
Prevention, Services, and
Facilities
CDBG:
$200,000
ESG: $177,182
Public service activities other
than Low/Moderate Income
Housing Benefit: 150 Persons
Rapid Rehousing:
25 Households
3 Enhanced Neighborhood
Conditions
2026 2027 Non-Housing
Community
Development
Alisal Homeownership
and Neighborhood
Revitalization Strategy
Area (ANRSA)
Chinatown Area
Citywide
Public Services
Public Facilities and
Infrastructure
Improvements
Economic Development
CDBG:
$1,146,512
Public service activities other
than Low/Moderate Income
Housing Benefit: 100 Persons
Public Facility or
Infrastructure Activities other
than Low/Moderate Income
Housing Benefit: 50,000
Persons
4 Planning and Program
Administration
2026 2027 Planning and
Program
Administration
N/A Planning and Program
Administration
CDBG:
$446,628
HOME:
$88,424.84
ESG: $14,366
N/A
DRAFT
Table 6 - Goals Summary
FY 2026-2027 Annual Action Plan 19
OMB Control No: 2506-0117 (exp. 09/30/2021)
Goal Descriptions
Goal Name Goal Description
Increase Decent and
Affordable Housing
The City will pursue a range of activities to expand affordable housing opportunities for lower- and moderate-income households, including those with special needs (seniors, large households, farmworkers, disabled, homeless, etc.).

Due to funding limitations and urgency of needs, affordable rental housing will be prioritized. The City will continue to provide rehabilitation assistance to homeowners for housing rehabilitation, accessibility improvements, and energy conservation systems installation. In addition, the City will continue to provide assistance to individual homeowners to make necessary repairs, code corrections, energy conservation features, and accessibility improvements.

Enhanced Homeless
Facilities and Services
The City will utilize both ESG and CDBG funds to coordinate services and facilities for the homeless. This is a citywide priority. The City's strategy for addressing homeless needs is three-pronged: 1) homeless prevention; 2) homeless services; and 3) homeless facilities. The intent is to reduce the risk of homelessness and address the needs of those rendered homeless using a continuum of care approach by supporting services and facilities that complement the existing Continuum of Care system.

Enhanced Neighborhood
Conditions
The City will provide a range of community development activities, including community and supportive services, expansion/improvement to community facilities and infrastructure, and economic development activities. The City will coordinate services and improvements in a manner that concentrate investments in specific neighborhoods in order to provide more lasting and impactful improvements.

Planning and Program
Administration
The City will continue to implement the CDBG, HOME, and ESG programs in compliance with all applicable regulations and requirements. The caps for program administration costs (20 percent for CDBG, 10 percent for HOME, and 7.5 percent for ESG) do not provide adequate funds to perform all the general planning, program implementation, reporting, and monitoring functions required by these programs. Therefore, as allowed by HUD, the City allocates a portion of the activity funding to delivery costs that are directly associated with implementation of specific activities or programs.

Table 7 - Goals Descriptions
DRAFT
FY 2026-2027 Annual Action Plan 20
OMB Control No: 2506-0117 (exp. 09/30/2021)
Projects
AP-35 Projects – 91.220(d)
Introduction
During FY 2026-2027, the City will pursue a range of housing and community development activities using CDBG, HOME, and ESG funds. As discussed above, the CDBG program anticipates generating a Program Income (PI) of $37,000 (based on PI generated in prior years) and the HOME program anticipates generating a PI of $40,000.

Projects
# Project Name
1 ECHO Housing Fair Housing and Tenant/Landlord Services 2 Salinas Outreach and Response Team
3 Chinatown Neighborhood Improvements (CIP 9070)
4 Alisal Neighborhood - Streetlights & ADA Ramps
5 Housing Rehabilitation
6 Playground Equipment Replacement
7 Affordable Housing Activity
8 Future CHDO Activity TBD
9 CDBG Program Administration
10 HOME Program Administration
11 ESG Projects and Administration
Table 8 - Project Information
Describe the reasons for allocation priorities and any obstacles to addressing underserved needs
Inadequate funding is the most significant obstacle for serving the underserved needs. The extent of needs in Salinas far exceeds the available funding from the CDBG, HOME, and ESG programs.

Most activities to be pursued by the City with CDBG, HOME, and ESG funds will be leveraged with a variety of funding sources, including grants from State, Federal, and local governments; private foundations; capital development funds; general funds; private donations of funds or services; and other various funding sources. For the provision of affordable housing, the City partners with non-profit housing developers such as MidPen, CHISPA, and HDC (Housing Authority of the County of Monterey Development Corporation), which all utilize a multi-layer approach to funding affordable housing. The City is looking to expand the number of non-profit housing developers that are operating within the City limits for FY 2026-2027. To achieve this, the City launched a Housing Forum to provide information on funding opportunities and disposition.

The HOME program requires that for every HOME dollar spent, the local jurisdiction must provide a 25 percent match with non-federal dollars. However, given the distressed conditions in Salinas, DRAFT
FY 2026-2027 Annual Action Plan 21
OMB Control No: 2506-0117 (exp. 09/30/2021)
the City consistently receives a 50 percent reduction in the match requirements. HUD approved the HOME wavier which includes the CHDO set aside requirement.

Given the limited annual allocations in CDBG funds, the City may pursue the use of the Section 108 loan guarantee within the five-year CP period in order to support large-scale projects.

AP-38 Project Summary
Project Summary Information
1 Project Name ECHO Housing Fair Housing and Tenant/Landlord Services Target Area Citywide
Goals Supported Enhanced Neighborhood Conditions
Needs Addressed Public Services
Funding CDBG: $100,000
Description ECHO Housing conducts a yearly fair housing audit, housing rights counseling and tenant/landlord mediation. Responds to evictions and assists with the additional demand for eviction mitigation.

Matrix Code: 05J
National Objective: LMC
Presumed Benefit: No
Target Date 6/30/2027
Estimate the number and
type of families that will
benefit from the proposed
activities
This project anticipates assisting 100 persons.

Location Description Services are provided citywide. ECHO Housing is located at 22551 2nd Street Suite 200, Hayward, CA 94541
Planned Activities Services include responding to inquiries; conducting investigations of housing rights complaints; conducting a fair housing audit; providing tenant/landlord counseling; facilitating tenant/landlord conciliation and mediations; conducting outreach and quarterly trainings and check-ins with City staff. 2 Project Name Salinas Outreach and Response Team
Target Area Citywide
Goals Supported Enhanced Homeless Facilities and Services Needs Addressed Enhanced Homeless Prevention, Services, and Facilities Public Services
Funding CDBG: $200,000
Description To conduct Streat Outreach to unsheltered residents and provide essential services, including referrals, basic needs gear, and engagement to homeless encampments.

Matrix Code: 03T
National Objective: LMC
Presumed Benefit: Yes
Target Date 6/30/2027
Estimate the number and
type of families that will
benefit from the proposed
activities
This project anticipates assisting 100 persons through SORT outreach efforts.

Location Description Services are provided citywide. City Hall is located at 200 Lincoln Avenue Salinas, CA 93901
DRAFT
FY 2026-2027 Annual Action Plan 22
OMB Control No: 2506-0117 (exp. 09/30/2021)
Planned Activities Activities include engage and case manage a minimum of 100 unsheltered individuals and corresponding entries/updates into HMIS; provide Coordinated Entry Assessments (CARS), conducting trips to distribute supplies, water, and other essentials during to foster rapport building and to increase engagement.
3 Project Name Chinatown Neighborhood Improvements (CIP 9070) Target Area Chinatown
Goals Supported Enhanced Neighborhood Conditions
Needs Addressed Public Facilities and Infrastructure Improvements Funding CDBG: $220,000
Description ADA curb cut ramps and streetlights at different locations within the Chinatown area.

Target Date 6/30/2027
Estimate the number and
type of families that will
benefit from the proposed
activities
This project would benefit the 1,400 low/moderate income persons in Chinatown Area
Location Description Chinatown Area
Planned Activities Activities include predevelopment, such as environmental assessments and design, installation of ADA sidewalk curb ramps and other sidewalk repairs at different locations.
4 Project Name Alisal Neighborhood - Streetlights & ADA Ramps Target Area Alisal Neighborhood Revitalization Strategy Area (ANRSA) Goals Supported Enhanced Neighborhood Conditions
Needs Addressed Public Facilities and Infrastructure Improvements Funding CDBG: $460,000
Description ADA curb cut ramps and streetlights at different locations within the ANRSA area. This will increase total funding to $1,420,000 from different FY Annual Action Plans.

Target Date 6/30/2027
Estimate the number and
type of families that will
benefit from the proposed
activities
This project would benefit the 14,560 low/moderate income persons in ANRSA area.

Location Description ANRSA
Planned Activities Activities include predevelopment, such as environmental assessments and design, installation of streetlights at Roosevelt St, and installation of ADA curb cut ramps at different locations within the ANSRA.
5 Project Name Housing Rehabilitation
Target Area Citywide
Goals Supported Increase Decent and Affordable Housing
Needs Addressed Assistance to Homeowners for Rehabilitation Funding CDBG: $440,000
Description Grants and/or loans to low income owner-occupied households to rehabilitate and address essential health and safety issues, and correcting code enforcement violations.

Target Date 6/30/2027
Estimate the number and
type of families that will
benefit from the proposed
activities
The project anticipates assisting five (5) low income owner-occupied households.

DRAFT
FY 2026-2027 Annual Action Plan 23
OMB Control No: 2506-0117 (exp. 09/30/2021)
Location Description Services are provided citywide.

Planned Activities Activities include providing grants and loans to low income owner-occupied households to rehabilitate and address essential health and safety issues.

Grants may also be used to correct code enforcement violations. 6 Project Name Playground Equipment Replacement
Target Area Citywide
Goals Supported Enhanced Neighborhood Conditions
Needs Addressed Public Facilities and Infrastructure Improvements Funding CDBG: 366,512
Description Replace playground equipment at public parks citywide.

Target Date 6/30/2027
Estimate the number and
type of families that will
benefit from the proposed
activities
This project would benefit the 21,430 low/moderate income households in within a ½-mile of the included parks.

Location Description Central Park (420 Central Ave.), Mckinnon Park (1700 Mckinnon St.), Soberanes Park (1140 Paseo Grande), and Jaycee's Tot Lot (1415 Bardin Way).

Planned Activities This project will update playground equipment in need of replacement at four (4) public parks throughout the City.
7 Project Name Affordable Housing Activity
Target Area Citywide
Goals Supported Increase Decent and Affordable Housing
Needs Addressed Affordable Housing Rental Opportunities Assistance to Homeowners for Rehabilitation
Homeownership Opportunities
Funding HOME: $669,185.56
Description Acquisition, development of new construction, and rehabilitation of affordable housing.

Target Date 6/30/2027
Estimate the number and
type of families that will
benefit from the proposed
activities
Affordable housing units built/lower income households assisted TBD.

Location Description Citywide, TBD
Planned Activities The City will determine an activity to facilitate acquisition, development of new construction, and/or rehabilitation of affordable housing. 8 Project Name Future CHDO Activity TBD
Target Area Citywide
Goals Supported Increase Decent and Affordable Housing
Needs Addressed Affordable Housing Rental Opportunities Assistance to Homeowners for Rehabilitation
Homeownership Opportunities
Funding HOME: $126,638
Description Acquisition, development of new construction, and rehabilitation of affordable housing.

Target Date 6/30/2027
Estimate the number and
type of families that will
benefit from the proposed
activities
Affordable housing units built/lower income households assisted TBD.

Location Description Citywide, TBD
DRAFT
FY 2026-2027 Annual Action Plan 24
OMB Control No: 2506-0117 (exp. 09/30/2021)
Planned Activities The City will determine an activity to facilitate acquisition, development of new construction, and/or rehabilitation of affordable housing conducted by a CHDO certified agency.
9 Project Name CDBG Program Administration
Target Area Citywide
Goals Supported Planning and Program Administration
Needs Addressed Planning and Administration
Funding
Description This line item is to provide for the general program planning and administration of the CDBG program.

Target Date 6/30/2027
Estimate the number and
type of families that will
benefit from the proposed
activities
The delivery of various CDBG-funded programs and activities will benefit low and moderate income persons in the City, along with persons with special needs, such as the youth, homeless, elderly, and disabled.

Location Description The CDBG program is administered by the Housing Division of the Community and Economic Development Department located at 65 West Alisal Street, Salinas.

Planned Activities The City will perform all program planning, administration, monitoring, and review functions in compliance with HUD regulations.
2 Project Name HOME Program Administration
Target Area Citywide
Goals Supported Planning and Program Administration
Needs Addressed Planning and Administration
Funding HOME: $88,424.84
Description The City is allocating 10 percent from the FY 2025-2026 allocation and program income received. This line item will provide for the planning and administration activities to implement the City's HOME program, Target Date 6/30/2027
Estimate the number and
type of families that will
benefit from the proposed
activities
The delivery of the City's various HOME-funded programs and activities will benefit the City's low and moderate income persons and those with special needs.

Location Description The HOME program is administered by the Housing Division of the Community and Economic Development Department located at 65 West Alisal Street, Salinas.

Planned Activities The City will perform all program planning, administration, monitoring, and review functions in compliance with HUD regulations.
11 Project Name ESG Projects and Administration
Target Area Citywide
Goals Supported Planning and Program Administration
Enhanced Homeless Facilities and Services
Needs Addressed Planning and Administration
Enhanced Homeless Prevention, Services, and Facilities
Funding ESG: $191,548
Description The ESG Program will involve a range of activities to address homelessness.

These include the provision of outreach, shelters, prevention, rapid rehousing, and HMIS services.

Target Date 6/30/2027
Estimate the number and
type of families that will
The agencies funded anticipate providing assistance to homeless and at-risk homeless persons as follows:

DRAFT
FY 2026-2027 Annual Action Plan 25
OMB Control No: 2506-0117 (exp. 09/30/2021)
benefit from the proposed
activities
• Salinas Outreach and Response Team (SORT) – 50 persons with outreach activities
• SORT Rapid Rehousing Assistance – 25 homeless persons with rapid rehousing activities
Location Description The ESG program is administered by the Housing Division of the Community and Economic Development Department and SORT, located at 65 West Alisal Street, Salinas.

Planned Activities The following activities are planned:
• SORT Outreach and Services
• SORT Rapid Rehousing Assistance
• ESG Administration
Table 9 - Project Summary Information
AP-50 Geographic Distribution – 91.220(f)
Description of the geographic areas of the entitlement (including areas of low-income and minority concentration) where assistance will be directed The City's strategy is to focus its investment in a most impactful manner by providing significant investments in two target areas, the ANRSA and Chinatown. Specifically, the City has designated the Alisal as a Neighborhood Revitalization Strategy Area (NRSA). In addition, the Chinatown area is identified as a HUD Slum and Blight designated local target area, as it is currently isolated from the rest of the City and is seeing serious issues of homelessness, unreported violence and a high percentage of low- and moderate-income residents. Most public services are available to residents citywide. However, by nature and/or location of some of the activities/programs, youth from the ANRSA and Chinatown would benefit greatly from many of these programs.

Some programs/projects are not located in any target areas nor are they available Citywide, so the geographic distribution of funds does not add up to 100%. Programs/projects that are not in target areas or available citywide are qualified by LMC, so they are not required to be located in a target
Geographic Distribution
Target Area Percentage of Funds
Alisal Neighborhood Revitalization Strategy Area (ANRSA) 14% Chinatown Area 6%
Table 10 - Geographic Distribution
Rationale for the priorities for allocating investments geographically These two areas represent the most distressed neighborhoods in the City. These areas have the highest concentration of poverty and substandard living conditions. The Alisal area includes some of the most distressed neighborhoods in Salinas. The area faces challenges such as inadequate public infrastructure, high levels of unemployment, high levels of poverty, and violent criminal activity. Within the ANRSA, 23 percent of all residents live in poverty, a higher proportion than the City overall (19 percent).

DRAFT
FY 2026-2027 Annual Action Plan 26
OMB Control No: 2506-0117 (exp. 09/30/2021)
The 12 blocks that form the Chinatown area are located primarily within Census Tract 18.02 Block Group (BG) 2. This BG has a population of about 2,193, with 69.8 percent being low and moderate income.

Discussion
See above.

DRAFT
FY 2026-2027 Annual Action Plan 27
OMB Control No: 2506-0117 (exp. 09/30/2021)
Affordable Housing
AP-55 Affordable Housing – 91.220(g)
Introduction
Under the City's Affordable Housing Goal, the City proposes to reserve up to 90 percent of the available HOME funds for affordable housing activities to be determined in the future. For the purpose of this AAP, an estimated five rental units are assumed to be assisted with HOME funds.

One Year Goals for the Number of Households to be Supported Homeless 0
Non-Homeless 5
Special-Needs 0
Total 5
Table 11 - One Year Goals for Affordable Housing by Support Requirement One Year Goals for the Number of Households Supported Through Rental Assistance 0
The Production of New Units 5
Rehab of Existing Units 0
Acquisition of Existing Units 0
Total 5
Table 12 - One Year Goals for Affordable Housing by Support Type Discussion
This summary includes only the uses of CDBG and HOME funds for the improvement and provision of long-term affordable housing.

AP-60 Public Housing – 91.220(h)
Introduction
HACM owns and manages 22 housing developments in Salinas (879 units). These developments have been converted from Public Housing to Project-Based Rental Assistance. Nineteen of the 22 HACM housing complexes in Salinas are concentrated within the ANRSA.

Actions planned during the next year to address the needs to public housing The City is not directly involved in the planning and development of public housing in the City.

Based on the current policy direction of HUD, no new public housing will be developed. However, the City works closely with HACM to create affordable housing in the community.

Actions to encourage public housing residents to become more involved in management and DRAFT
FY 2026-2027 Annual Action Plan 28
OMB Control No: 2506-0117 (exp. 09/30/2021)
participate in homeownership
HACM’s Family Self-Sufficiency (FSS) program is designed to help families with a Housing Choice Voucher (HCV) establish a savings account and find stable employment. FSS is a Federal Government program that offers the opportunity of homeownership and other options to clients that successfully complete the five-year program. Programs and services through FSS may include career counseling, job training, credit counseling and homeownership preparation. The program helps prepare residents for HACM’s Homeownership Program, allowing first-time homebuyers to use their HCV to help with monthly homeownership expenses.

If the PHA is designated as troubled, describe the manner in which financial assistance will be provided or other assistance
Not applicable.

Discussion
See discussions above.

AP-65 Homeless and Other Special Needs Activities – 91.220(i) Introduction
The City proposes utilizing CDBG and ESG funds to provide assistance to the City's homeless and special needs populations:

Homeless:
• Salinas Outreach and Response Team (SORT) – Outreach and Rapid Rehousing Assistance
Fair Housing:
• ECHO – Housing Rights and Tenant/Landlord Services that benefit many special needs groups such as seniors and disabled.

Describe the jurisdictions one-year goals and actions for reducing and ending homelessness including
Reaching out to homeless persons (especially unsheltered persons) and assessing their individual needs
The City implements outreach services with in-house staff through the Salinas Outreach and Response Team (SORT) City of Salinas by providing essential emergency services through outreach, referrals, and service coordination. SORT engages the City of Salinas unhoused population through outreach to build trust and rapport with the unhoused community. In addition, coordinates services with partner outreach agencies through to CoC Outreach Committee which includes agencies such as Downtown Streets Inc. and Interim Inc.

DRAFT
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Addressing the emergency shelter and transitional housing needs of homeless persons For FY 2026-2027, HUD ESG will not be used to support Emergency Shelter or Transitional Shelter.

However, the City utilizes other sources of funding to support emergency shelter needs through Encampment Resolution Funding and General Fund. The City will be providing support to rapid re-housing programs.

Helping homeless persons (especially chronically homeless individuals and families, families with children, veterans and their families, and unaccompanied youth) make the transition to permanent housing and independent living, including shortening the period of time that individuals and families experience homelessness, facilitating access for homeless individuals and families to affordable housing units, and preventing individuals and families who were recently homeless from becoming homeless again
ESG funds will support rapid rehousing services by providing rental subsidies and housing referrals for homeless households participating in their program. This program will help homeless households attain permanent housing or shorten the period of time that individuals and families experience homelessness.

Helping low-income individuals and families avoid becoming homeless, especially extremely low-income individuals and families and those who are: being discharged from publicly funded institutions and systems of care (such as health care facilities, mental health facilities, foster care and other youth facilities, and corrections programs and institutions); or, receiving assistance from public or private agencies that address housing, health, social services, employment, education, or youth needs.

Several agencies, such as the Natividad Medical Center and the Monterey County Family and Children’s Services, provide discharge planning and placement assistance. The Natividad Medical Center Mental Health Unit and Salinas Valley Memorial Hospital work with community agencies to assist in finding the appropriate level of care and housing. The Monterey County Family and Children’s Services provide discharge planning and placement assistance to youth leaving foster care through a Transitional Independent Living Plan beginning when the youth turn 16 years old and every year thereafter.

Discussion
See above.

AP-75 Barriers to affordable housing – 91.220(j)
Introduction:

The most critical barrier to affordable housing in Salinas is the need for decent and affordable housing far exceeds the City's available resources. The City will continue to aggressively pursue funding available at the local, state, and federal levels to supplement its limited funds.

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The City values its partnership with non-profit housing developers such as CHISPA, MidPen, HACM, and Interim Inc. in pursuing innovative strategies to address the City affordable housing needs, including providing more permanent housing options for the homeless.

Actions it planned to remove or ameliorate the negative effects of public policies that serve as barriers to affordable housing such as land use controls, tax policies affecting land, zoning ordinances, building codes, fees and charges, growth limitations, and policies affecting the return on residential investment
The City's Inclusionary Housing Program is an effective strategy for providing affordable housing in the community and to help achieve the goal of de-concentrating affordable housing in the ANRSA, allowing residents other locational choices. The State of California also passed SB 329 in 2019, prohibiting housing discrimination against persons using public assistance (including Housing Choice Vouchers) to pay for housing. This source of income protection could potentially open housing options for many of the City’s low- and moderate-income households. The City has updated its Inclusionary Housing Ordinance to enhance the program's effectiveness. This update was completed in June 2017.

The City’s 2023-2031 Housing Element was adopted by the City in December 2023 and found to be compliant with State law in February 2024. The City is currently updating the General Plan, including the Land Use Element. The City is reimagining its land use plan and Zoning Code, switching from traditional land use designations to a place-based system. These draft Place Types would offer greater flexibility and density and place less emphasis on strict classifications. Their focus on place and form will make it easier to implement Objective and Development Design Standards and other changes to state law intended to reduce approval times for housing projects and streamline the review and approval process.

As of April 2026, the City is still in the process of its comprehensive General Plan Update. The City completed two administrative drafts in 2024 and is preparing a public review draft. The City began the selection process for a Zoning Code Update consultant with a Request for Proposal Process in late 2024. The City entered into an agreement with the selected consultant team in June 2025. The City is currently conducting community outreach in tandem with the preparation of the General Plan Update.

The City will implement the following actions identified in its 2023-2031 Housing Element to remove barriers to affordable housing:
• Program 2 – Financial Assistance and Gap Financing: The City will continue to facilitate the expansion of the City’s affordable housing inventory through new construction, acquisition, and/or rehabilitation.
• Program 3 – Prohousing Designation: The City will maintain its Prohousing Designation Program (PDP) from the California Housing and Community Development Department (HCD). The Prohousing Designation provides incentives, in the form of additional points or preferences in the scoring of competitive applications for housing and infrastructure for City projects.

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In 2024, the City of Salinas executed a funding agreement with the Housing Authority of the County of Monterey to support the acquisition of a former motel that will be transitioned into a Permanent Supportive Housing Program for individuals facing homelessness.
• Program 4 – Accessory Dwelling Units: The construction of accessory dwelling units (ADUs) will continue to be promoted and facilitated in order to expand the supply of affordable housing stock within city limits. The City of Salinas regularly updates the preapproved ADU plans to reflect changes in building codes, including those from the triennial and intervening code adoption cycles of the California Building Standards (Title 24). Additionally, educational materials, such as the City of Salinas Preapproved ADU Handbook, are revised to align with updates to the building code and modifications to the HCD ADU Handbook.

The City continues to monitor available competitive state and federal funding, as well as other sources that can support the construction and operations of affordable ADUs.

The City is also reviewing strategies to reduce costs and barriers to ADU production, including extending the ordinance that exempts Development Impact Fees for ADUs under 750 square feet, as well as undertaking a comprehensive update to the Zoning Code to address streamlining.

Planning staff are currently working on the City's ADU Ordinance, which was introduced to the City Council in January 2026. As of now, the draft is still in progress as it undergoes necessary revisions, and the City is defaulting to state standards. The Planning staff continues processing ADU building permits and performing final inspections of new ADUs.
• Program 7 – Reduce Housing Production Constraints: The City continues to monitor existing development fees, including in-lieu fees, development impact fees, and processing fees, to ensure they are not a constraint to the feasibility of affordable housing development.

The City is conducting an analysis that covers all the departments to bring the Fee Schedule up to market. A nexus study has been prepared to update the Inclusionary Housing Ordinance. Additionally, $109,460 of General Funds were allocated to cover the cost of an Affordable Housing Nexus Study.

There has not been a reduction in application or development impact fees since the last adjustment to account for unit size/number of bedrooms. As funding allows, the City of Salinas provides gap financing for affordable housing developments led by nonprofit organizations. In addition, the Housing Division continues to review affordable housing proposals for projects utilizing the Inclusionary Ordinance or Density Bonus programs.

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The City is currently working to update the Inclusionary Ordinance to better accommodate emerging development trends. Developers who participate in the Density Bonus program can request specific waivers and concessions, which will be determined based on the percentage of affordable units included in the project. • Program 16 – Local Education Workforce Housing: In 2022 the City adopted an ordinance (ZCA 2022- 002) amending chapter 37 of the Salinas Municipal code to allow a school district or community college district to acquire, construct rehabilitate, or preserve affordable rental housing for its staff or public consistent with the Teacher Act of 2016.
• Program 17 – Farmworker Housing Production & Financing: The City will pursue the implementation actions suggested by the Farmworker Housing Study and Action Plan for Salinas Valley and Pajaro Valley in order to expand the quantity and diversity of housing available to farmworkers.

Discussion:

See discussions above.

AP-85 Other Actions – 91.220(k)
Introduction:

The extent of housing and community development needs in Salinas far exceeds the City's funding capacity. To utilize its limited funding in the most cost-effective manner, the City targets its investments in the most distressed neighborhoods in the community.

Actions planned to address obstacles to meeting underserved needs Unhoused city residents are among the most underserved groups in Salinas and available ESG funding continues to fall far below what is needed to address the City's homeless issues. In response, the City continues to take the lead to serve as the Administrative Entity for additional ESG allocations from HCD ESG programs for the CoC service area (Monterey and San Benito Counties). Additionally, the City is an active, collaborative partner with the local CoC on the 2021- 2026 five-year update of the Regional Monterey and San Benito Counties Plan to End Homelessness (Lead Me Home Plan). On April 17, 2025, the Coalition of Homeless Service Providers hosted a Lead Me Home Summit on Homelessness in Salinas to discuss housing solutions, the intersection of health & homelessness, and resources available to service providers.

Two areas in the City – ANRSA and Chinatown – both have concentrated issues relating to disproportionate housing needs and inadequate/aging community facilities and infrastructure.

By establishing these areas as target areas, the City prioritizes allocating resources to benefit these neighborhoods.

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Actions planned to foster and maintain affordable housing CDBG funds will be planned to be used to support the City’s Housing Rehabilitation program.

For FY 2026-2027, the City is setting aside its HOME allocation and program income (except for 10 percent for administration) for affordable housing development, or other affordable housing activities. No specific project has been identified yet. The City will continue to pursue other affordable housing projects with non-profit partners in the County.

Actions planned to reduce lead-based paint hazards
Inspection/assessment of housing units built before 1978 by a HUD certified LBP inspector is required for units participating in the City’s programs. Property owners participating in the City’s programs are also eligible to receive grants to cover the costs of mitigation measures for standard treatment/abatement of any existing lead paint hazards as long as funding is available.

The Lead Hazard Reduction Grant is part of the Housing Services Program in the City’s 2023-2031 Housing Element (Program 10). The City continues to assess processes and methods to finance and reimplement the City of Salinas Housing Services Program.

The City provides public information and facilitates training for building contractors who remodel and rehabilitate Salinas’s housing. Before any project can be awarded, a current LBP certificate must be documented in the contractor file.

Property owners/renters may be relocated using the LBP grant when necessary. During the application stage of any of the City Housing programs, property owners/tenants receive EPA’s “Protect Your Family from Lead in your Home” educational pamphlet, which is available in multiple languages.

Actions planned to reduce the number of poverty-level families The following programs, actions and policies to reduce the number of households in poverty align with the City’s General Plan:
• Support the efforts of housing developers providing affordable housing opportunities in Salinas, particularly rental and multi-family housing. • Provide housing rehabilitation programs targeting lower income homeowners and units serving lower income renter-households to correct deficiencies and improve the livability of residential property.
• Provide assistance to lower income homeowners in need of housing modifications to improve accessibility and foster continuing independent living. • Support fair housing services.
• Support community organizations providing services to the disabled community, particularly those that assist with securing and maintaining decent, appropriate housing.
• Support increased community education regarding those with disabilities, both general and with regard to housing needs.

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• Support homeless service providers in Salinas and the larger community. Continue to support the development of transitional housing, emergency shelters, and supportive services designed to address the needs of homeless and those at-risk of homelessness.
• Support City and community programs focused upon the recreational and educational needs of Salinas’ youth.
• Provide assistance to local businesses through the GSF to create and retain employment for low- and moderate-income persons.

As discussed above, the City is currently in the process of updating it’s General Plan which will include new goals to reduce poverty in the City. The 2023-2031 Housing Element also includes programs aimed at serving lower income households and reducing poverty:
• Program 8 – Residential Rental Registration & Rent Stabilization: The City adopted a Residential Rental Registration Ordinance on in April of 2023. Staff envision the Residential Rental Registration Program serving initially as a database that the City would use to collect and track data rental related data on units, including those that are affordable units, as well as an opportunity to further expand its Fair Housing Services platform through the dissemination of useful tenant/landlord services and supports, and to disseminate information and expand tenant/landlord services. The City also will explore rent stabilization options under this program. • Program 10 – Housing Services Program: The City continues to pursue funding opportunities to reinstate the Housing Services Program, including rehabilitation loans/grants, accessibility assistance grants, and lead hazard reduction grants. • Program 12 – Housing Vouchers: The City aims to establish a closed-loop referral and navigation support system with service provider for those seeking information about Housing Voucher program and Utilities Assistance Programs to service providers and continue coordinating with nonprofits and landlords to promote and educate the public about Housing Choice Vouchers.
• Program 13 – Homebuyer Resources: On May 2023, the City was awarded $1,650,000 in HCD PIP funds. Of these funds, $500,000 will be utilized to reinstating the First-Time Home Buyer Program. The new program will be established by end of 2023 and it will assist very low, low, and moderate incomes households with ownership opportunities. In 2024, the city allocated PLHA funding to support the FTHBP activity. • Program 15 – Allocate Funding for Housing First Homeless Programs: Through its annual planning process, the City evaluates and allocates funding for services and facilities to support those unhoused or at-risk of homelessness through core program activities such as Street Outreach, Emergency Shelter, Rapid Rehousing HMIS and access to Permanent Supportive Housing. Programs that continue to receive funding to address homelessness and improve performance and capacity include the Share Center, Chinatown Navigation Center, Emergency Motel Program, and the Salinas Outreach and Response Team.

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Additionally, in fiscal year 2023-2024, the City of Salinas purchased the El Rey Motel located at 443 W. Market Street and is looking to partner with the County of Monterey to operate it as transitional housing for individuals experiencing homelessness who require supportive care.
• Program 21 – Street Outreach Program: The City of Salinas Outreach and Response Team (SORT) engages the City’s unhoused population through outreach to build trust and rapport with the unhoused community. The team includes a collaboration with Peer Leaders with lived homeless experience which is necessary to reach individuals who are hesitant to work with service providers.
• Program 23 – Housing Navigation and Stabilization Program: The Homeless Housing Stabilization Navigation Program (HHNSP) is a pilot program that started in January 2024. The program aims to serve individuals or households experiencing homelessness, providing rapid rehousing assistance aimed at helping individuals move as quickly as possible into permanent housing and achieve stability.

Actions planned to develop institutional structure
The City collaborates with the County of Monterey to develop a joint funding application process/system to help reduce administrative work associated with its funding application and program reporting. Use of City Data Services allows for more efficient and accurate management of the funds.

The City has established a Housing and Land Use Committee to provide an additional forum for non-profits, stakeholders, and members of the public to communicate directly with the City regarding housing and community development needs and plans for future projects. The Housing and Land Use Committee is tasked with the objective of enhancing coordination and improving the effectiveness and efficiency in the City utilizing its entitlement HUD funds. Specifically, the Housing and Land Use Committee serves as a formal recommendation body to the City Council regarding housing related items.

The City has implemented a two-year funding cycle for CDBG and ESG public services along with a competitive funding application that would yield less administration effort by the City and nonprofits and allow for funding to assist in serving more clients. The City will also continue to monitor and evaluate the changing needs within the City and how best to fund various agencies to assist the low-moderate income citizens with CDBG and ESG public services funds.

Actions planned to enhance coordination between public and private housing and social service agencies
The City partners with its strong network of public and private housing and social service agencies to provide housing and community development programs in the City. Coordination efforts are ongoing.

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Discussion:

See above.

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Program Specific Requirements
AP-90 Program Specific Requirements – 91.220(l)(1,2,4)
Introduction:

Community Development Block Grant Program (CDBG)
Reference 24 CFR 91.220(l)(1)
Projects planned with all CDBG funds expected to be available during the year are identified in the Projects Table. The following identifies program income that is available for use that is included in projects to be carried out.

1. The total amount of program income that will have been received before the start of the next program year and that has not yet been reprogrammed 0 2. The amount of proceeds from section 108 loan guarantees that will be used during the year to address the priority needs and specific objectives identified in the grantee's strategic plan
0 3. The amount of surplus funds from urban renewal settlements 0

4. The amount of any grant funds returned to the line of credit for which the planned use has not been included in a prior statement or plan. 0 5. The amount of income from float-funded activities 0 Total Program Income 0
Other CDBG Requirements

1. The amount of urgent need activities 0
HOME Investment Partnership Program (HOME)
Reference 24 CFR 91.220(l)(2)

1. A description of other forms of investment being used beyond those identified in Section 92.205 is as follows:

No other forms of HOME investments beyond those previously described.

2. A description of the guidelines that will be used for resale or recapture of HOME funds when used for homebuyer activities as required in 92.254, is as follows:

The City suspended its First-Time Homebuyer Program in 2014. Existing loans will be subject to the City's recapture/resale provisions. Pursuant to HUD’s HOME recapture regulations the City has chosen to recapture the entire principal loan balance (direct homebuyer subsidy) to the extent there are net proceeds after the sale of a home and repayments of the first mortgage and closing costs. This indebtedness is due and payable upon sale or transfer of the property, prior to the expiration of the period of affordability, to the extent there are sufficient “net proceeds”. Net proceeds are defined as the amount of sale proceeds remaining (if any) after payment of any superior loan(s) (Other than HOME funds) and customary closing costs. If upon the voluntary or involuntary sale of a property prior to the expiration of the period of affordability there are insufficient net proceeds to pay the balance DRAFT
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remaining of the First-Time Homebuyer Program, the homebuyer is relieved from any further obligation to pay the indebtedness.

3. A description of the guidelines for resale or recapture that ensures the affordability of units acquired with HOME funds? See 24 CFR 92.254(a)(4) are as follows:

The City suspended its First-Time Homebuyer Program in 2014. Existing loans will be subject to the City's recapture/resale provisions. Pursuant to HUD’s HOME recapture regulations the City has chosen to recapture the entire principal loan balance (direct homebuyer subsidy) to the extent there are net proceeds after the sale of the home and repayments of the first mortgage and closing costs. This indebtedness is due and payable upon sale or transfer of the property, prior to the expiration of the period of affordability, to the extent there are sufficient “net proceeds”. Net proceeds are defined as the amount of sale proceeds remaining (if any) after payment of any superior loan(s) (Other than HOME funds) and customary closing costs. If upon the voluntary or involuntary sale of a property prior to the expiration of the period of affordability there are insufficient net proceeds to pay the balance remaining of the First-Time Homebuyer Program, the homebuyer is relieved from any further obligation to pay the indebtedness.

4. Plans for using HOME funds to refinance existing debt secured by multifamily housing that is rehabilitated with HOME funds along with a description of the refinancing guidelines required that will be used under 24 CFR 92.206(b), are as follows:

The City has no plan to use HOME funds to refinance existing debt.

5. If applicable to a planned HOME TBRA activity, a description of the preference for persons with special needs or disabilities. (See 24 CFR 92.209(c)(2)(i) and CFR 91.220(l)(2)(vii)).

N/A

6. If applicable to a planned HOME TBRA activity, a description of how the preference for a specific category of individuals with disabilities (e.g. persons with HIV/AIDS or chronic mental illness) will narrow the gap in benefits and the preference is needed to narrow the gap in benefits and services received by such persons. (See 24 CFR 92.209(c)(2)(ii) and 91.220(l)(2)(vii)).

N/A

7. If applicable, a description of any preference or limitation for rental housing projects. (See 24 CFR

92.253(d)(3) and CFR 91.220(l)(2)(vii)). Note: Preferences cannot be administered in a manner that limits the opportunities of persons on any basis prohibited by the laws listed under 24 CFR 5.105(a)/ N/A
Emergency Solutions Grant (ESG)
Reference 91.220(l)(4)

1. Include written standards for providing ESG assistance (may include as attachment) All subrecipients receiving funding must establish and consistently apply these written standards: An initial evaluation to determine program eligibility of individuals and/or families will be conducted by the agencies/service providers. It will establish the kind, and the amount of assistance needed.

Evaluations will be conducted in accordance with the requirements set forth under §576.400(d) and the written standards established under §576.400(e). Agencies/service providers will reassess the eligibility of individuals and/or families; the kind and amount of assistance needed for program DRAFT
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participants receiving homelessness prevention services will be reassessed monthly and quarterly for program participants receiving rapid re-housing assistance. Each reassessment of eligibility will ascertain that:
• The program participant does not have an annual income that exceeds 30% of the median family income for the area, as determined by HUD;
• The program participant lacks sufficient resources and support network necessary to retain housing without ESG assistance.

In order to be funded with ESG funds, an agency/service provider is required to be a collaborative member of the CoC. This avoids duplication of services and allows a smooth transition and/ or delivery of services rendered. In addition, the collaborative further engages and coordinate resources to improve streamlining of current programs and funding strategies and provide ongoing training as procedures and bylaws are ratified and refined.

The City will allow ESG-funded agencies that provide rapid re-housing and homelessness prevention services to determine the prioritization of eligible families. In addition, CHSP established basic registration and screening processes (intake, referral, eligibility, documentation verification, case notes, to name a few) that allow all agencies a more consistent determination on the initial risk assessment during the intake process.

ESG-funded agencies that provide rapid re-housing and homelessness prevention services may determine the share of rent and utilities costs that each participant must pay. However, if applicants show income, they must pay 30 percent of their adjusted monthly income towards rent.

ESG-funded agencies shall assist individuals and/or families for no more than 24 months, during any 3-year period – this in accordance with the general conditions under §576.103 and §576.104. Program participants receiving rapid re-housing assistance are required to be re-evaluated at least once every year and those receiving homeless prevention assistance must be re-evaluated at least once every three months. As mandated by HUD, all program participants receiving project-based rental assistance must have a lease that is for a period of one year, regardless of the length of rental assistance.

Rental assistance may be provided for short-term (up to 4 months) or medium-term (from 4 to 24 months). Rent in arrears is paid to the owner of the housing at the time the security deposit and 1st month’s rent are paid. After 4 months, if program participants need additional financial assistance to remain housed, they must be evaluated for eligibility to receive up to 20 additional months of medium-term rental assistance. Case Managers will provide ongoing case management to transition program participants to independence.

2. If the Continuum of Care has established centralized or coordinated assessment system that meets HUD requirements, describe that centralized or coordinated assessment system.

CHSP is in the process of developing an assessment system. Due to geography and other factors, The CoC has elected “coordinated” assessment and referral system as opposed to centralized assessment and referral. The Coordinated Assessment and Referral System (CARS) is intended to offer those seeking services multiple locations from which they can access services; each agency doing intake using the same set of agreed-upon assessment and targeting tools; makes referrals using the same criteria; and has access to the same set of referrals. The CARS is designed to improve service provision and data efficiency and improvement through a standardized access and assessment process for all DRAFT
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clients and a coordinated referral process for clients to receive prevention, housing, and/or other related services. Key CARS strategies include: 1) Tailor to local needs and systems; 2) Ensure access for all in geographic area; 3) Implement in parts/pieces; 4) Use HMIS; 5) ID available resources in system; 6) Quality assurance; and 7) Test and adjust.

3. Identify the process for making sub-awards and describe how the ESG allocation available to private nonprofit organizations (including community and faith-based organizations).

The City is an “Entitlement City” and as such receives a funding allocation relating to population from HUD. The funding, subject to federal budget authorization, is provided on an annual basis and coincides with the City’s July 1 through June 30, fiscal year.

To distribute funds previously mentioned, the City typically conducts an annual Notice of Funding Availability (NOFA). However, for this AAP cycle the City opted to self-direct funding to better meet the needs of the community.

The NOFA process begins with published notices in the local newspapers, both in English and Spanish.

Notifications are sent out to the various non-profit agencies that provide public services to the community. A workshop is held by City staff to assist with proposals and to inform applicants of changes and new regulations. The application is available online by visiting www.citydataservices.net.

All proposals must be submitted electronically. A deadline is provided for the submission of proposals.

It is normally a minimum of thirty (30) days from the day the NOFA application notice is published.

Applications that are incomplete, lack required attachments, or applications submitted after the published deadline are not to be considered for funding. After the closing date, proposals are first reviewed for completeness and then evaluated against applicable HUD regulations, the City’s CP, City Council goals and objectives, and other related City policy (e.g., General Plan).

Funding recommendations are developed be housing staff taking into account total available funds, applicant experience, project readiness and feasibility, leveraging of funds, track record with City (when applicable), and likelihood for timely use of HUD funds. Staff recommendations are forwarded to the Housing and Land Use Committee for a formal recommendation to City Council.

Then recommendations are taken to City Council for final approval. The City Council meets regarding the draft CP and AAP to obtain public and Councilmember comment. Advance notices are published in local newspapers to allow for a minimum thirty (30) day public review and comment period in adherence to the City’s CPP. The City Council if the final local decision-making body over HUD entitlement funding and approves recommendations and authorizes the submittal of the CP and AAP and other required documents to HUD.

4. If the jurisdiction is unable to meet the homeless participation requirement in 24 CFR 576.405(a), the jurisdiction must specify its plan for reaching out to and consulting with homeless or formerly homeless individuals in considering policies and funding decisions regarding facilities and services funded under ESG.

Under § 576.405(a) of the Interim Rule, all subrecipients are required to meet the homeless participation requirement, which calls for not less than one homeless or formerly homeless individual on the board or other equivalent policymaking entity. All agencies currently receiving ESG funding meet the homeless participation requirement by having a formerly homeless person on its board or policymaking entity. In addition, all potential ESG applicants for funding are asked to certify meeting the homeless participation requirement under Part 11, #5 of the NOFA application. This is critical DRAFT
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because part of our standard policies dictate that applicants not meeting this requirement will not be considered for funding.

5. Describe performance standards for evaluating ESG.

The following performance standards for evaluating ESG activities were developed in consultation with the CoC using the format detailed in Section 427(b) of the McKinney-Vento Act (as amended by the Hearth Act). These standards will be used to evaluate each ESG subrecipient’s effectiveness in targeting those most in need, lowering the number of homeless persons, reducing the amount of time people are homeless, and mitigating housing barriers for the participants. Staff will work closely with the CoC as well as the subrecipients this first year and over time to determine the reasonableness of these standards.

Barriers faced by individuals and families (participants), or the length of time participants remain homeless:
• Extent to which participants experience repetitive homelessness • Effectiveness of subrecipient in reaching the homeless • Overall reduction in the number of homeless
• Job and income growth
• Success at reducing the number of participants who become homeless Plan of the subrecipient to:
• Reduce the number of participants who become homeless • Reduce the length of time participants remain homeless • Identify participants who become or remain homeless through collaboration with local education agencies
• Fulfill other criteria such as addressing the needs of all relevant subpopulations incorporating comprehensive strategies for reducing homelessness, setting quantifiable performance measures, setting timelines for completion of specific tasks identification of specific funding sources of activities identification of individual/group/agency responsible for overseeing implementation of specific strategies
• Exercise authority to use funds under section
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Appendix A: Public Outreach
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Appendix B: Monitoring
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Appendix C: SF 424 and Certifications
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UNITED STATES

DEPARTMENT OF HOUSING

AND URBAN DEVELOPMENT
PY 2026-2027 ANNUAL

ACTION PLAN
June 2, 2026 City Council
Community Development Department
Orlando Reyes, Assistant Director
Executive Summary
Housing and Urban Development (HUD) Annual Action Plan (AAP)  Second Program Year (PY) of 2025-2029 Consolidated Plan  Describes Planned Activities and Funding Amounts
 Strategic Plan for use of:
 Community Development Block Grant (CDBG) Program
 HOME Investment Partnership (HOME) Program
 Emergency Solutions Grant (ESG) Program
Timeline
 Start of Public Comment Period May 2, 2026
Housing and Land Use Committee May 21, 2026
(canceled due to lack of quorum)
End of Public Comment Period June 2, 2026
 City Council Public Hearing June 2, 2026
 HUD AAP Submission Deadline June 4, 2026
Annual Action Plan PY 2026-27
Funding Source
Amount

CDBG HOME ESG
PY 26-27 Allocation $2,196,140 $844,248 $191,548
PY 26-27 Estimated Program
Income $37,000 $40,000 $0
Total $2,233,140 $884,248 $191,548
CDBG Funding Recommendations PY 2026-27
Agency Project/Activity Amount
City of Salinas Program Administration (20%) $446,628
City of Salinas – Public Works Chinatown Neighborhood Improvements (CIP 9070) $220,000*
City of Salinas – Library and
Community Services Playground Equipment Replacement $366,512* City of Salinas/Habitat for Humanity Housing Rehabilitation $440,000* City of Salinas – Public Works Alisal Neighborhood Revitalization Strategy Area Sidewalk Improvements (Including Streetlights) $460,000* Eden Council for Hope and
Opportunity Housing Rights and Tenant/Landlord Services $100,000 City of Salinas Salinas Outreach and Response Team $200,000 *Recommendation includes Activity Delivery Total Funding Recommendations $2,233,140 HOME Funding Recommendations PY 2026-27
Agency Program Amount
City of Salinas Program Administration (10%) $88,425
Future Agency to be Determined Affordable Housing Developments $669,185* Future Agency to be Determined Future CHDO Activity $126,638 *Recommendation includes Activity Delivery Total Funding Recommendations $884,248 ESG Funding Recommendations PY 2026-27
Agency Activity Amount
City of Salinas Program Administration (7.5%) $14,366
City of Salinas - Salinas Outreach and
Response Team SORT Rapid Rehousing Program $177,182
Total $191,548
Strategic Plan 2025-2028
The receipt and administration of HUD funding supports the following City Council strategic goals:
 Economic Development
 Housing
 Infrastructure
 Public Safety

CEQA/NEPA CONSIDERATION
The City of Salinas has determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA) per Guidelines Section 15378. Any subsequent discretionary projects resulting from this action will be assessed for CEQA applicability.

Projects and activities funded with HUD funds will be subject to NEPA.

FISCAL AND SUSTAINABILITY IMPACT:

There is no General Fund impact associated with this agenda item as available City of Salinas HUD entitlement funds will be used to support these allowable projects.

Recommendation
It is recommended that the City Council
approve a Resolution:
 approving the City of Salinas’ United States
Department of Housing and Urban Development
(HUD) Fiscal Year (PY) 2026-2027 Annual Action Plan
(AAP) and its submittal to HUD; and
 authorizing the City Manager to incorporate any
necessary modifications based upon community
feedback and final HUD allocation prior to
submissions to HUD; and
 authorizing the Mayor, or designee, for and on
behalf of the City, to execute any related
agreements, contracts, certifications, and
amendments related to the funding allocations set
forth in the PY 2026-2027 AAP; and
 authorizing the appropriation of HUD funds to
projects and activities described in the PY 2026-2027
AAP.

Questions?
For more information, contact the Housing Division
(831) 758-7334
https://www.cityofsalinas.org/Your-Government/Departments/Community-Development City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-246, Version: 1
Request for name change of the Intermodal Transportation Center (ITC) to Salinas City Heritage Park Receive report and consider request from the Heritage Park Stakeholders to rename the Intermodal Transportation Center (ITC) to “Salinas City Heritage Park”.

City of Salinas Page 1 of 1 Printed on 5/29/2026
powered by Legistar™
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CITY OF SALINAS

CITY COUNCIL
DATE: JUNE 2, 2026
DEPARTMENT: ADMINISTRATION
FROM: LISA MURPHY, ASSISTANT CITY MANAGER
TITLE: REQUEST FOR NAME CHANGE OF THE INTERMODAL

TRANSPORTATION CENTER TO SALINAS CITY HERITAGE
PARK
RECOMMENDED MOTION:

Receive report regarding the request from Heritage Park Stakeholders to rename the Intermodal Transportation Center (ITC) to “Salinas City Heritage Park” and either approve or deny the request.

EXECUTIVE SUMMARY:

The City owns the Intermodal Transportation Center (ITC) located at Station Place. The ITC is a 9-acre area located around the City’s central passenger rail and bus station that encompasses several historic attractions and parking for the transit station. A request to rename the site to Salinas City Heritage Park was submitted by the Heritage Park Stakeholders.

BACKGROUND:

The ITC is located at the corner of Salinas Street and West Market Street and functions as the primary transit hub for Monterey County and is situated within walking distance to Downtown Salinas.

The two large lots serve current transit operations and will support the future Commuter Rail Extension project. As part of the 2015 Downtown Vibrancy Plan, the City envisioned the potential to repurpose portions of the lots for mixed-use or transit-oriented development. In addition to parking, the lots are also used as a community gathering space.

The ITC area also includes multiple significant cultural and historical structures which are part of Salinas’ foundation and rich history. These include the Southern Pacific Freight Building which houses the Welcome Center in a portion of the building and storage in the back portion of the building, the Monterey and Salinas Valley Railroad Museum, and the First Mayors House.

The City received a request from the Heritage Park Stakeholders to rename the ITC to “Salinas City Heritage Park” (Attachment 1). The request does not include the parking lots.

Page | 2
The City established a process for naming city buildings, facilities and property (Attachment 2) in 2011. In accordance with that policy, an application was submitted to the City which is then to be submitted to the appropriate City Commission for further consideration. This report was presented to the Library and Community Services Commission for their consideration on April 8, 2026, where they approved recommending the name change for the City Council’s consideration.

As required, a 30-day review and public comment period was opened April 30, 2026 and will remain open until the close of the public comment portion of the public hearing. Public outreach included a published notice in the Monterey County Weekly, several social media posts and direct outreach to interested agencies including all the tenants at the ITC, Monterey Salinas Transit, County of Monterey and the Transportation Agency for Monterey County.

FISCAL AND SUSTAINABILITY IMPACT:

Any new signage costs will be borne by the applicants for the name change.

ATTACHMENTS:

1. Application from Heritage Park Stakeholders

2. City of Salinas Policy for Naming of City Buildings, Facilities and Property

Salinas City Heritage Park is a unique point of destination created by our stakeholders in the historic heart of Old Town Salinas. 1 1 Station Place
Salinas, CA 93901
831-320-5960
[email protected]

Date: February 17, 2026
To: City of Salinas Administration Department,
Mayor Dennis Donohue,
District 3 Councilmember Margaret D’Arrigo
From: Denise Estrada, Salinas City Heritage Park Liaison TITLE: REQUEST FOR SITE NAMING, SALINAS CITY HERITAGE PARK

RECOMMENDATION
The stakeholders/operators of the City-owned properties that comprise the historic building collection at Station Place, Salinas, CA, request that the City of Salinas formalize the name, Salinas City Heritage Park, to include the following City-owned properties:
-The 1873 Southern Pacific Freight Building, 1 Station Place -The 1941 Salinas Amtrak Station, 3-11 Station Place
-The 1919 Railroad Express Agency Building (REA), 15 Station Place -The 1868 First Mayor’s House, 21 Station Place.

BACKGROUND
These properties are in a linear pattern at Station Place, as shown on the attached addressing map. The parking infrastructure portion of the Station Place property, named the Intermodal Transit Center (ITC), is not requested to be included within the boundaries of Salinas City Heritage Park.

This location was the site of Salinas’ first park. The original park was named Bremen Park and featured a large natural pond. This was the area where early Salinas held various community events, such as an annual circus and rodeo promotions, and eventually became a noted train stop for dignitaries, including visiting U.S. Presidents. Later, the park was renamed Southern Pacific Park in recognition of the site’s proximity to the Southern Pacific depot and railyard.

SUPPORTING CITY POLICIES
Consistent with City of Salinas Resolution 20128 , A Resolution of the Salinas City Council Establishing A Policy For the Naming of City Buildings, Facilities and Property, General Guideline (2., 5.), the proposed name does have historical significance and has generally been recognized by the public and is now in common use as the site’s brand name of Salinas City Heritage Park for the last three years.

Salinas City Heritage Park is a unique point of destination created by our stakeholders in the historic heart of Old Town Salinas. 2 This brand name was adopted by the stakeholders/operators of these properties after extensive discussions with City administration, local preservation groups, business organizations, and the public. The brand, Salinas City Heritage Park, has been adopted for common use as consistent with the intent of Resolution20128:
(8.) “Factors that should be considered in the naming of buildings, facilities, or properties- (b.) Names shall be appropriate to the building, facility, or property… the name of a City park might reflect the…history. Features related to Salinas.” (c) “Names may be from significant historical events, cultural attributes, local landmarks, or historical figures”.

The other adopted City policies that support this naming request are the Guiding Principles of Vision Salinas, which were adopted in 2019 to inform the General Plan 2040 update, including:
“A Community to Celebrate: A City that celebrates, promotes, preserves, and honors the diversity, history, art, and culture of its community.
“Celebrate the City’s history, the architecture of its buildings, the diverse cultures of its people, and its rich immigrant history”.

The Economic Development Element of the General Plan Goals, Policies, and Actions for Land Use:

Page 2 ends

marketplace/shopping activities, tourism, entertainment, recreation, food and wine, cultural, and historic resources.

Action LU-1.14.1-Identify place-themed districts and neighborhoods within the City. Promote and market those place-themed districts as hubs for specific themed activities to serve the community, attract complementary development and investment to enhance the City’s economic base, and foster a sense of community identity and belonging.

Goals, Policies and Actions for Retail, Entertainment, and Tourism: Page 2.38: Policy ED-RET-1.1- The City will continue to invest in promoting the City’s history, cultural diversity, and positive attributes of the community.”
Action RET-1.1.2-Market Salinas’ existing attractions (e.g., National Steinbeck Center, Steinbeck House, First Mayor’s House, Railroad Museum, historic resources and events (e.g., Rodeo, Sports Complex, Airshow, etc.), and visitor-serving areas with regional tourist attractions and events to integrate Salinas into the tourism menu or marketplace, including agriculture and wine tourism.

Page 2 ends

destinations.

Action RET-3.13-Consistent with Policy LU-1.14, create place-themed districts within the City to help unite the City around various themes that create an identity and attract residents and visitors to place-themed areas. Representative district themes could include:

Salinas City Heritage Park is a unique point of destination created by our stakeholders in the historic heart of Old Town Salinas. 3

Wine/food districts
Cultural districts
Marketplace districts e.g., Intermodal Transportation
Center, Chinatown, Alisal Market place
Entertainment districts Shopping districts
Recreation/sports districts Historic district(s)
Salinas is deficient in park sites. Increasing the diversity of the park inventory was a priority for 63% of Salinas residents surveyed for the Parks Master Plan. 80% of those surveyed said that Salinas needs to acquire more land for future parks, with 2/3 of respondents saying this “should be a priority investment.” Development of this site as a City park would require no land acquisition. The current private operators of the properties can operate the park site features without incurring additional land costs.

This same survey for the Parks Master Plan identified a need to expand programming. It was identified that there exists a significant need for “more variety of art, culture, wellness and educational programs, especially for youth and seniors”. This need can be directly addressed through the programs offered by the First Mayors House, the Salinas Valley Railroad Museum, and the Heritage Museum at the California Welcome Center. One of the less obvious benefits is that a historic park can offer interactive educational lessons that help community residents develop a sense of pride in the accomplishments of those who came before them.

REQUESTED ACTION
We request that the City Council take action to approve one of the two options:

1. Designate the collection of City-owned historic buildings at Station Place, Salinas, as a City park, henceforth formally named Salinas City Heritage Park, or

2. Designate the collection of City-owned historic buildings at Station Place, Salinas, as a local historic site, henceforth formally named Salinas City Heritage Park.

The stakeholder group representing all organizations from each historic building and the participating public reviewed several options to bring recognition to the combined historic properties. The options reviewed were inclusion in a State Historic District, a local cultural District, a California cultural district, and a local heritage/historic park. The consensus was that the most feasible option was to recommend that the site be designated a local historic park. It would be at the discretion of the Salinas City Council as to whether this would be included in the City’s Recreation Parks inventory of parks or to be formalized as a special local historical site.

Should the site be formalized as a City park, a significant benefit is that Salinas City Heritage Park could be eligible for many grants reserved exclusively for City, County, and State Park recreational sites and open spaces. Some grants also fund historic sites. Whether as a formal City of Salinas park site or as a named local historic site, the designation may bring increased attention to the site's attractions. As we focus on increasing heritage tourism as an economic driver, both options elevate the potential for this site to benefit Salinas.

Attachment: Heritage Park Site History PowerPoint
Addressing Map
Salinas Heritage Park Proponents Voice Public Support at Council Meeting- Herald article
Letters of Support-SCCIA, AMAP

SITE HISTORY
Once called the Salinas Rail Yard by locals, this site is in the historic heart of Old Town Salinas. Salinas first saw rail service in 1872, with Southern Pacific providing service between Salinas and San Francisco Bay shipping ports. The local economy grew by leaps and bounds. In 1921, the Salinas Valley agricultural market was responsible for growing and shipping by rail 50% of America’s lettuce. By 1930, this number grew to 74%.

As the local economy grew, the site’s infrastructure also expanded. In 1869, Salinas’ first city park, Bremen Park, was built within the footprint of the Salinas Rail Yard. In 1935, Southern Pacific Plaza Park was also built for rail travelers and locals.

Today, the combined historic properties at the Salinas train depot site now form Salinas City Heritage Park. The Park is home to the California Welcome Center, the Amtrak Depot, the Friends of the Salinas Library sales office, the Grain Tower, the Steaming Ahead Rail Exhibit, the Monterey and Salinas Valley Railroad Museum, and the First Mayor’s House and Educational Center. Salinas City Heritage Park offers public services that include recreation, transportation, museums, meeting space, tourism services, and educational programs about California’s rich history.

Located at Station Place, at the crossroads of Main and Market Streets, the Park is within easy walking distance of Town Salinas, Bataan Memorial Park, and Chinatown, where visitors can enjoy some of the most unique experiences Salinas has to offer.

First Train Station: Southern Pacific Freight Depot Building Constructed in 1873, this one-story wood-framed building was constructed with a gable-style roof and was originally 93’ in length. Old-growth redwood timbers, hauled by mules and carts from the Santa Cruz mountains, were used in the construction. It was built to serve as a combined freight/passenger depot. The freight platform was constructed to store and distribute freight to rail cars. The agent and his family lived in a third of the building’s northwest end. The Southern Pacific Freight Building was determined to be potentially eligible for the National Register of Historic Places. It is now home to the unique Salinas City Regional Heritage Center and California Welcome Center.

Third Train Station: Southern Pacific Railroad Depot
Constructed in 1941, it replaced the second station that was built in 1905. The architecture is Mediterranean Revival, a design replicated at several other rail stations after 1910. The depot’s exterior features smooth concrete walls that resemble stucco and a red clay barrel tile roof. The interior carries on the Spanish style with glazed tile on the interior surface. A mural by the famous artist John McQuarrie depicts farmers working in lush fields and men and women exhibiting their rodeo skills. The Depot was determined to be potentially eligible for the National Register of Historic Places. Amtrak now operates the Depot for passenger rail and bus travel. Baldwin locomotive and tender, a railroad postal car, a refrigerator car, and a wooden caboose.

The Associated Seed Grower Complex
The Clark Seed Company, founded in 1856, built the Associated Seed Growers complex in Salinas in 1925. The complex was the first major seed-growing facility in the Salinas Valley. In 1958, the company changed its name to Asgrow Seed Company. In 1999, this 36,300-square-foot building was remodeled to provide commercial office space and is now called the Granary Building.

Railroad Express Agency REA
This 1919 Railroad Express Agency building was constructed to provide express parcel shipping services. This railroad vernacular building retains its German siding and some of the freight doors.

It was determined to be potentially eligible for listing on the National Register of Historic Places as a significant component of an early railroad depot. Inside is the Monterey Salinas Valley Railroad Museum and a model railroad exhibit that operates over the landscapes of historic Salinas Valley.

Outside the REA building is the Steaming Ahead Historic Rail Exhibit, home to a collection of steam era railcars, including a Class S-10
The First Mayor’s House
Constructed in 1868 for Isaac J. Harvey, pioneer merchant and first mayor of Salinas, this house served as the family’s home for three generations. The home and the separate cookhouse were moved twice, and in 1998, they were relocated to their current location. The preserved interior contains family documents, photographs, clothes, and furniture. The cook house has been renovated into the Sophronia Harvey Educational Center. It is on the State Registry of Historic Places.

OUTREACH ACTIVITIES
Salinas City Staff-Community Development,
Councilmembers, Mayor, City Manager, Assist. City
Manager
Salinas Historic Resource Board, Finance Committee
Public outreach-City Council meetings
Public Meeting with Harris and Associates
Monterey County Historic Resource Board
Monterey County Board of Supervisors
San Benito County Board of Supervisors
Hollister City Council
Gonzales City Council
Soledad City Council
King City Council
Robert Rivas, Speaker of the Assembly, State of California John Laird, 17th Senate District
Zoe Lofgren, Congresswoman
Monterey County Mayors Association
Monterey County Office of Education
See Monterey
Salinas Valley Chamber of Commerce
San Benito Chamber of Commerce
Salinas City Center Improvement Association
TAMC - Transportation Agency of Monterey County
National Parks Association
Monterey County Hospitality Association
Monterey County Historic Society
Monterey County Department of Parks
Association of Monterey Area Preservationists
CA Historic Architects Association
Museum Regional Roundtable
U.C. Berkeley, College of Environmental
Design
Media-Mo. Co. Weekly, Monterey Herald
Salinas Elementary Schools teachers and
students (1500-2000/school year)
CSUMB -Service Learning Program
Service Clubs: Salinas Rotary Clubs, Salinas
Women’s Club, Daughter’s of American
Revolution, Active Seniors, Red Hats Club
California Retired Teachers Association
Ag Knowledge
Monterey County Farm Bureau
Grower’s Association
Private hospitality operators
Invited hoteliers
Big Sur Land Trust
California State Parks
National Park Service – Pinnacles & Juan
Bautista de Anza National Historic Trail

SALINAS VALLEY TOURISM & VISITORS BUREAU
HISTORIC RESOURCE BOARD PRESENTATION 11.3.2025

THROUGH REGIONAL HERITAGE TOURISM, WE ARE CREATING POINTS OF DESTINATION THAT SHARE

OUR STORIES, HONOR THE LEGACIES OF OUR DIVERSE ANCESTORS, AND INSPIRE NEW OPPORTUNITIES FOR ECONOMIC GROWTH.

CA Welcome Center Visitors Behaviors, Profile, Strategy Summary Findings, March 2, 2025, page 3
Travel Analytics Group
thetravelanalyticsgroup.com
CA Welcome Center Visitors Behaviors, Profile, Strategy Summary Findings, March 2, 2025, page 10
Travel Analytics Group
thetravelanalyticsgroup.com
July 1, 2024 — June 30, 2025 Visitors at CWC Salinas: 6554 10% of visitors extended their stay in area*: 655
By 1.6 extra nights in the area*: 1048
FY 2023/2024: 5091 Visitors ( 28.7% increase vs last fiscal year) * Travel Analytics Group Visitors Impacts 2025 Study
“Historic Landmarks of Three Nations, Scenery, Drives” (Postcard circa 1906) Regional Heritage Tourism in San Benito & Monterey Counties Storytelling of our rich history & heritage
Place-making with our beautiful landscapes
Salinas Station
Arriving 2028
250th Anniversary
of the Expedition
2025 - 2026

Place-Making and Stor ytelling in the Valleys of Anza

“Visit California and its global consulting firm JLL
have recognized the Salinas Valley Tourism and
Visitors Bureau and its marketing plans as a
significant path towards economic growth
through regional heritage tourism.”
— Monterey Herald, July 17, 2025
This first-of-its-kind 88-
page guide showcases
the opportunities for
storytelling through the
experiences of both the
expedition and the
tribes they
encountered,
highlighting their
journey to the founding
of San Francisco.

Throughout the state, CWCs are strategically located in areas where visitors can readily find them. These sites require central locations with convenient parking and typically are adjacent to commercial businesses where tourist spending is valued as a regular component of their business revenues.

Other CWC commercial sites frequently furnish the signage for the CWC recognizing the value of that investment and that visibility is critical to the success of their collective operations.

CWC on- site signage as illustrated in the two examples at the Del Amo Fashion Center and the Citadel Outlets.

Sample proposed banner designs
2008-2009
Grant monies from
Federal funding to
the City of Salinas
for the historic
freight depot
$500K
Source: https://www.fhwa.dot.gov/environment/transportation_enhancements

School Tours & Open House First Saturday of the Month
Salinas City Heritage Park stakeholders appreciate the
Historic Resource Board's continued support of our collective programs. “The march of Salinas City is still onward, and it will be until the town grows into a large city. There is not an inland town in the State of California with prospects better than this. The railroad will soon be in its borders and is destined to be the county seat of one of the largest and soon richest counties on the coast. Salinas in five years, will be unlike the city of today.

It will be to this valley what San Jose is to Santa Clara Valley.” — Salinas City Index, July 12, 1872
Third Salinas Train Station
built in 1941
Salinas City Heritage Park structures are all located along the Juan Bautista De Anza National Historic Trail.

Amtrak Station
Exterior painting $50,000
Signage $50,000
Pavement rehab $50,000
Foodservice amenities $500,000
Shelters, benches trackside $250,000
Automated ticket vending station $250,000
Trackside security lighting, cameras $250,000
Muralist John MacQurarrie, San Francisco
Murals depicts
agriculture,
rodeo, soldiers,
Southern Pacific
Streamliner and
Daylight Trains
First Salinas Train Station
built in 1873
“Caltrain coming to Salinas and its multimodal Heritage Park will offer travelers more choices than the new Monterey Airport. The station and its surroundings will be a destination for economic development and, maybe the best train stop in the State.” — Congressman Sam Farr (Retired)
Foodservice Element
Grab & Go
Salinas Station
Arriving 2028 (est)
250th Anniversary
of the Expedition
2025 - 2026
Monterey & Salinas Valley RR Museum
ADA access ramps to railcars $500,000
Overhead shelter to railcar exhibit $600,000
Restroom improvements $150,000
Security lighting improvements $150,000
Security fencing improvements $50,000
Security camera additions $25,000
1 2
3 4

1. 1918 Rare Baldwin S-10 Super Heated
Locomotive and Tender -moved from Central Park

2. 1916 Southern Pacific caboose, donated by
Betty Gheen, Merrill Family / Growers Ice

3. 1923 Pacific Fruit Growers Express Refrigerated
boxcar, donated by the City of Livermore

4. 1924 REA / Mail boxcar, donated by the City of
Monterey
Historic trains moved to the exhibit area 2002-2012
Locomotive arrives in Central Park 1957
Monterey & Salinas Valley Railroad Museum msvrr.org
Train Enclosure & ADA Accessibility
First Mayor’s House
Roof replacement $55,000
Security camera additions $5,000
Window frame repairs, replacements $20,000
Wood fence replacement $20,000
Garden and pathway rehabilitation $10,000
Irrigation repairs, installation $10,000
Exterior painting of House & Education Center $20,000
Replace floor covering $8,000
Plumbing upgrades in Education Center $5,000
Built in 1868
Salinas Station
Arriving 2028 (est)
250th Anniversary
of the Expedition
2025 - 2026
Isaac J. Harvey built the First Mayor of Salinas and one of the oldest homes in Salinas. Harvey played a
pivotal role in the development of Salinas, particularly in securing the Southern Pacific Railroad's route
through the city. This decision significantly impacted
the city's growth and development.

The First Mayor’s House is a non-profit organization
that conducts history-related activities, including
educating students and local teachers about City and
County history.

First Mayor’s House FirstMayorsHouse.org
Collaborating with a network of stakeholders who manage operations at the Station Place historic properties together with nearby partner properties at the National Steinbeck Center and the Steinbeck House. This collaboration is working to mutually promote and develop visitor attractions at what has come to commonly be referred to as Heritage Park. These activities align with and help to meet the goals of the City’s General Plan elements associated with culture, historic preservation, and heritage tourism, as well as the Downtown Vibrancy Plan.

Considering City budget challenges, grant revenues could be used to supplement or provide the only means to fund capital improvements projects at the site. Grant eligible projects could include disability access to the Steaming Ahead railcar exhibit. It could also serve to reduce potential liabilities for a failure to comply with the American Disability Act accessibility requirements for public areas. Other on- site capital projects expenditures that would otherwise require Salinas’ General Funds could then be reduced or eliminated while still promoting development of this center city site.

Salinas City Regional Heritage Center
Roof, gutter repair, rehabilitation $350,000
Expansion of exhibit space in remaining footprint $2,000,000 Security system upgrades - cameras, alarms $50,000
Security lighting -building exterior $100,000
Banner signage $15,000
Building signage $25,000
Entry monument signage $250,000
Trackside exterior improvements $250,000
Salinas Station
Arriving 2028 (est)
250th Anniversary
of the Expedition
2025 - 2026
Salinas City Regional Heritage Center & California Welcome Center cwcsalinas.org

BRANDED BANNERS
& SIGNAGE
Through Regional Heritage Tourism, we are creating points of destination that share our stories, honor the legacies of our diverse ancestors, and inspire new opportunities for economic growth.

In this region, the Costanoan, the Ohlone, and Esselen First Peoples were instrumental in helping guide the Juan Bautista De Anza expedition on its 1,800-mile journey, which started in Sonora, Mexico, in 1775. This National Historic Trail and the Valleys of Anza programs can create platforms for all stories to be told by their descendants and their relationship with the land we call home.

SALINAS VALLEY TOURISM & VISITORS BUREAU
1 Station Place, Salinas, CA 93901
Craig Kaufman, 831-261-3430
[email protected]
Our Partnerships
By JAMES HERRERA | [email protected] | Monterey Herald PUBLISHED: April 11, 2023 at 2:53 PM PDT
The Intermodal Transportation Center in Salinas includes the train station, right, and the California Welcome Center which houses the Heritage Museum, left. Proponents of the Salinas City Heritage Park voiced their support at a recent Salinas City Council meeting. (James Herrera/Monterey Herald)

LATEST HEADLINES
Salinas Heritage Park proponents
voice public support at Council
meeting
SALINAS – There seems to be momentum and energy behind Heritage Park in Salinas that at least one council member said would be a “real bummer” to stifle.

The Salinas City Council last week heard from many who spoke in support of Heritage Park during the public comment portion of the council’s meeting.

People were speaking out about the effort to establish a heritage park and a regional heritage center in Salinas specifically expanding the California Welcome Center’s Heritage Museum space and installing signs and banners for the park. The site is anchored by the Salinas Train Depot and has been transformed the past few years into the Intermodal Transportation Center in downtown Salinas at the junction of Market and Salinas streets. “That was so impressive tonight and to stifle that energy would be a real bummer, so I realize there’s a process and I see the other side of it,” said Councilman Steve McShane. “I’ve been talked to by city staff on this subject, but we can’t squash that energy, we really can’t. It would be a huge mistake.”
The city of Salinas had previously responded to and denied the California Welcome Center’s request to expand into the remainder of the Southern Pacific freight depot building and its application for the installation of banners with the name Salinas City Heritage Park to be used at the Intermodal Transportation Center.

McShane asked the rest of the council and staff to come to some sort of working compromise.
“When you have that many people that want to invest and be part of it, there’s got to be a pathway,” he said.

Denise Estrada, a First Mayor’s House board member and Salinas Valley Tourism and Visitor Bureau advisory council member, has said the move is to sustain and continue the work undertaken by community members who have worked to build and develop a regional heritage park in the heart of Oldtown Salinas. “The movement to develop Heritage Park has grown significantly and now encompasses many individuals and agencies that invested their resources in gifting to Salinas a place where the stories of our immigrants and native peoples can be shared and celebrated,” said Estrada. “It’s a destination that builds historic heritage tourism opportunities for our community and to be clear doesn’t include the parking lot at the (Intermodal Transportation Center).”
The Center serves as a hub for train, bus, and bicycle traffic, but it also houses the California Welcome Center and its Heritage Museum inside the Southern Pacific freight depot, itself significant in that it is the oldest surviving commercial building in Salinas, as well as other buildings and exhibits.

Facilities within the transportation center area include the First Mayor’s House, the Sophronia Harvey Education Center, the Steaming Ahead Historic Railroad Exhibit, the Monterey and Salinas Valley Railroad Museum, the Southern Pacific Depot Annex that includes the Friends of the Salinas Public Library sales site, and the Southern Pacific freight depot.

The combined properties have been providing the public with a free visitor destination, classroom supplements for school children, and a community meeting place, said Estrada previously.

Besides Estrada, other speakers in support of the Heritage Park and the work that has already been done by its stakeholders included former Congressman Sam Farr who said, “The future is going to be about rail transportation and you will draw millions if you just start investing in downtown and … you do that through the heritage center.” Part of the Monterey County Rail Extension project, which included the $11.2 million improvements to the existing Salinas train depot, transforming it into the Intermodal Transportation Center, also includes building the Salinas Train Layover Facility just west of the Center that will serve as Caltrain’s overnight storage site when its route is extended through Gilroy to Salinas slated to begin in 2025.

The Heritage Park group is also developing the Valleys of Anza programs with the National Park Service, and Amtrak’s “Trails and Rails.” The Intermodal Transportation Center, and by extension the California Welcome Center and Heritage Museum, is located on the National Historic De Anza Trail.

The group believes the heritage park’s location on the De Anza Trail positions Salinas to reap the benefits of a destination of interest to international visitors as well and said the expansion into the remainder of the freight depot building that is used for storage space is required.

Ariel Theatrical, a nonprofit children’s theater on Main Street, is currently using the other part of the freight depot to store sets and props for its productions.

Estrada said the Heritage Park group is committed to facilitating the relocation of the stored material to another acceptable site.
2023  April  11
Brigid McGrath Massie, Salinas Valley Visitors and Tourism Bureau board member, said the Heritage Park has partners and people coming out of the woodwork to provide education, entertainment value, a reason to spend a night and a reason to spend money and to create jobs in Salinas.
“We’re ready to go,” said Massie. “We as a community have come together to build this excitement and something to see and experience which even people in Salinas don’t know about so I urge you to direct staff to unleash us to bring this to fruition to get on the map and get the respect Salinas deserves for the city we love.” Other speakers that spoke in support of Heritage Park included Weather Tech Raceway Laguna Seca President and General Manager John Narigi, Board member of the First Mayor’s House Mary Randall, retired educator and volunteer at the Steinbeck House Amy Ish, and President of the Alliance of the Monterey Area Preservationist Mimi Sheridan.

Chair of the Salinas Valley Tourism and Visitors Bureau Don Chapin said, “All we’re asking for is your support. Efforts that are being undertaken are at no cost to the city of Salinas.

We have vision, we have passion and we have energy and we want to make a difference.

We want to undertake and improve every opportunity we have to make Salinas a better place. We have great momentum and we would ask you to please direct your staff to help us, get us the lease that we need, get us the heritage park designation, get us what we need to move on and all we can do is deliver value once we have that.” Estrada wrapped up her public comment period by saying, “I’m asking you to help facilitate the amendment of the lease to allow us to expand our exhibit areas and educational spaces into that portion of the building that is now used for storage.” At the conclusion of the lengthy meeting, McShane asked that the council work on getting Americans with Disability Act access to the historic rail cars, making improvements to the depot annex so that Friends of the Salinas Public Library sales site would have a restroom, expanding the exhibit space at the Welcome Center, and providing overall safety improvements at the site.

City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-172, Version: 1
Amendment No. 3 to the 2025 Parking Enforcement Agreement with LAZ Parking California, LLC Approve a Resolution authorizing the City Manager to execute Amendment No. 3 to the 2025 Parking Enforcement Agreement with LAZ Parking California, LLC increasing the not to exceed amount by $204,541.72 for a revised not to exceed amount of $812,217.72.

City of Salinas Page 1 of 1 Printed on 5/29/2026
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Page | 1

CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: JUNE 2, 2026
DEPARTMENT: PUBLIC WORKS
FROM: DAVID JACOBS, PUBLIC WORKS DIRECTOR
BY: JENNY DAVILA, PW ADMINISTRATIVE SUPERVISOR
TITLE: AMENDMENT NO. 3 TO INCREASE THE 2025 PARKING

ENFORCEMENT AGREEMENT WITH LAZ PARKING

CALIFORNIA, LLC TO COVER REMAINING FINAL INVOICES
RECOMMENDED MOTION:

A motion authorizing the City Manager to execute Amendment No. 3 to the 2025 Parking Enforcement Agreement with LAZ Parking California, LLC increasing the not to exceed amount by $204,541.72 for a revised not to exceed amount of $812,217.72.

EXECUTIVE SUMMARY:

Since 2021, LAZ Parking has provided parking enforcement services throughout the City. Due to increased parking enforcement needs citywide, the City requested that LAZ expand its level of service, causing the overage in the contract. As a result staff recommends that the City Council authorize the City Manager to execute Amendment No. 3 to the 2025 Parking Enforcement Agreement, increasing the not-to-exceed amount by $204,541.72 to cover the remaining final invoices and close out the agreement.

BACKGROUND:

In 2016, the City entered into an agreement with Serco, Inc. to provide parking enforcement services in support of and supplement the Police Department’s parking enforcement operations.

In 2018, the agreement was extended for an additional two years to include expanded services in response to growing community needs. The program successfully met its objectives and provided responsive parking enforcement services to residents and businesses throughout the City.

In 2021 the contract was extended by the City Council, and during that year, LAZ Parking acquired Serco and assumed the remainder of the contract. Later in 2021 a new three-year agreement with LAZ Parking was approved with two subsequent contract amendments Page | 2
which also included an expansion of services to further address citywide parking enforcement needs.

In 2025 the City began street sweeping services in new areas of the city, which required increased parking enforcement in those areas which caused the contract to exceed its authorized amount. As a result, staff is requesting that the City Council authorize the City Manager to execute Amendment No. 3 to the 2025 LAZ Parking Enforcement Agreement, increasing the not-to-exceed amount by $204,541.72, for a total not-to-exceed amount of $812,217.72, to cover the remaining final invoices and close out the agreement.

City Council recently awarded a new three-year parking enforcement agreement with LAZ Parking in January of this year after conducting an RFP process. The new contract terms, and not-to-exceed amount cannot accommodate the previous contracts expenditures which is an additional reason the previous contract needs to be amended 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:

Yes
STRATEGIC PLAN INITIATIVE:

Maintaining viable parking programs supports the City’s Public Safety goal in addition parking enforcement is an element of downtown parking management and supports the Downtown Vibrancy Plan.

DEPARTMENTAL COORDINATION:

The Public Works Department coordinates with Police Parking Enforcement staff. Parking enforcement services also coordinate with Code enforcement staff and activities as well as Street maintenance services regarding curb markings and signs.

FISCAL AND SUSTAINABILITY IMPACT:

Page | 3
There is sufficient budget available and appropriated to cover the Amendment.

Fund General Ledger Number
(Operating/CIP)
General Ledger Account
Name
Remaining Budget
Appropriation
Amount Requested
6803 50.5448-63.6010 Outside Services-Other
Outside Services
$223,995.10 $204,541.72
ATTACHMENTS:

Amendment No. 3
Original Agreement
Page | 1
RESOLUTION NO. (N.C.S.)
AMENDMENT NO. 3 TO INCREASE THE 2025 PARKING ENFORCEMENT

AGREEMENT WITH LAZ PARKING CALIFORNIA, LLC TO COVER REMAINING

FINAL INVOICES
WHEREAS, the City has employes LAZ Parking California, LLC to provide parking enforcement services since 2016; and
WHEREAS, the Parking Enforcement Program is an important function for the effective management of all aspects of parking in the City; and
WHEREAS, compensation for the final remaining invoices on the old parking enforcement contract total $204,541.72; and
WHEREAS, It is recommended for City Council to authorize the City Manager to execute Amendment No. 3 to increase the old LAZ Parking Enforcement Agreement not to exceed amount by $204,541.72 to cover the final remaining invoices for a final not to exceed amount of $812,217.72.

NOW, THEREFORE, BE IT RESOLVED that the Salinas City Council authorize the City Manager to execute Amendment No. 3 to increase the 2025 LAZ Parking Enforcement Agreement by $204,541.72 for a revised not to exceed amount $812,217.72.

PASSED AND APPROVED this 2 day of June 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:
_______________________
Dennis Donohue, Mayor
ATTEST:

Page | 2
_________________________
Patricia M. Barajas, City Clerk

DocuSign Envelope ID: 974DE2CE-9108-4ABA-9FDD-B783848O21B3 AGREEMENT -AMENDMENT NO. 1 TO AGREEMENT

FOR PARKING ENFORCEMENT SERVICES BETWEEN

LAZ KARP ASSOCIATES LLC AND CITY OF SALINAS
This Amendment No. 1 to the Agreement for Parking Enforcement Services (the "Amendment") is entered into this 29th day of December 2023, by and between the City of Salinas (the "City") and LAZ KARP Associates, LLC, (the "Contractor"). City and Contractor may be individually referred to herein as a "Party" and collectively the City and Contractor may be referred to as the "Parties."

RECITALS
WHEREAS, the City and Contractor first entered into a/an Agreement for Parking Enforcement Services effective October 3, 2016, pursuant to which Contractor agreed to act as and provide certain services to the City for compensation (the "Agreement"); and
WHEREAS, the City and Contractor desire to amend the Agreement to extend the term of the Agreement for an additional year to maintain parking enforcement throughout the city at the current rate on file.

NOW, THEREFORE, in mutual consideration of the terms and conditions set forth below, the Parties agree as follows:

TERMS

1. The Agreement, "TERMS" section 2 "Term; Completion Schedule., is amended and restated in its entirety with the following:

This Agreement shall commence on January 1. 2021. and shall terminate on December 31. 2024. This Agreement may be extended only upon mutual written consent of the parties and may be terminated only pursuant to the terms of this Agreement.

2. All other covenants, terms, and conditions set forth in the Agreement and not amended by this Amendment shall remain in full force and effect as if fully set forth herein.

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

CITY OF SALINAS
Jim Pia, Interim City Manager
APPROVED AS TO FORM:
o Christopher A. Callihan, City Attorney
o Rhonda Combs, Assistant City Attorney

Page 1 of 2 ends

Version: November 2023
DocuSign Envelope lD: 974DE2CE-9108-4ABA-SFDD-8783848D2i83 /,/
Printe
Title: COo
name: ike Kuziak
Verslon: November 2023

Page 2 ends

Docusign Envelope ID: 8281 B1A3-943E-4DDE-AC90-0D02E561 E496 AGREEMENT -AMENDMENT NO. 2 TO

AGREEMENT FOR PARKING ENFORCEMENT SERVICES

BETWEEN

LAZ KARP ASSOCIATES, LLC AND CITY OF SALINAS
This Amendment No. 2 to the Agreement for Parking Enforcement Services (the "Amendment") is entered into this 18th day of November 2024, by and between the City of Salinas (the "City") and LAZ KARP Associates, LLC, (the "Contractor''). City and Contractor may be individually referred to herein as a "Party" and collectively the City and Contractor may be referred to as the "Parties."

NOW, THEREFORE, in mutual consideration of the terms and conditions set forth below, the Parties agree as follows:

TERMS

1. The Agreement, "TERMS" section 2, is amended and restated in its entirety with the following:

This agreement shall commence on January 1, 2025, and shall terminate on December 31, 2025. This Agreement may be extended only upon mutual written consent of the parties and may be terminated only pursuant to the terms of this Agreement.

2. All other covenants, terms, and conditions set forth in the Agreement and not amended by this Amendment shall remain in full force and effect as if fully set forth herein.

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

CITY OF SALINAS
Rene Mendez, City Manager
APPROVED AS TO FORM:
r-; OocuSigned by:
t?iu>�� s
lrE196HF6EE4BB ...
□ Christopher A. Callihan, City Attorney
□ Rhonda Combs, Assistant City Attorney

Page 1 of 2 ends

Version: November 2023
Oocusign Envelope lD: B28lBlA3-943E4DDE-AC90-0D02E561E496 Pri e name: Mike Kuziak
Title: COO
Version: November 2023
PaEe 2 of 2
/7
Docusign Envelope ID: 671 FDDM-4902-8812-81 D9-B5CDAB7882A9 AGREEMENT -AMENDMENT NO. 3 TO
2025 PARKING ENFORCEMENT SERVICES CONTRACT

BETWEEN CITY OF SALINAS AND LAZ PARKING CALIFORNIA, LLC This Amendment No. 3 to the 2025 Parking Enforcement Services Agreement (the "Amendment") is entered into this 2 day of June 2026, by and between the City of Salinas (the "City") and LAZ Parking California, LLC, (the "Contractor"). City and Contractor may be individually referred to herein as a "Party" and collectively the City and Contractor may be referred to as the "Parties."

RECITALS
WHEREAS, the City and Contractor first entered into a/an Parking Enforcement Services Agreement effective January 1, 2021, pursuant to which Contractor agreed to act as and provide certain services to the City for compensation (the "Agreement"); and
WHEREAS,the City and Contractor desire to amend the Agreement to reflect revised compensation to cover final invoices of the agreement in the amount of $204,541.72 for a final not to exceed amount of $81 2,217.72.

NOW, THEREFORE,in mutual consideration of the terms and conditions set forth below,the Parties agree as follows:

TERMS

1. The Agreement, Compensation section 3,is amended to add increased compensation in the amount of $204,541.72 to the final not to exceed amount of $607,676 to the following:

Total amount of compensation to be paid under this agreement shall not exceed $812,217.72 for the final year.

2. All other covenants, terms, and conditions set forth in the Agreement and not amended by this Amendment shall remain in full force and effect as if fully set forth herein.

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

CITY OF SALINAS
Rene Mendez, City Manager
APPROVED AS TO FORM:
□ Christopher A. Callihan, City Attorney
o Rhonda Combs, Assistant City Attorney

LAZ PARKING CALIFORNIA, LLC
Form: Agreement Amendment
Version: July 2025
LAZ Parking California, LLC

Page 1 of 2 ends

Formr Agreement Amendment
Version:July2025
LAZ Parking California, LLC

Page 2 of 2 ends

Docusign Envelope lDr 67 1FDDA4-4902-A812-8.j D9-BsCDAB7882A9 Printed name: Mike Kuziak
Title: COO
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-187, Version: 1
Agreement with Future Citizens Foundation dba The First Tee of Monterey County for Operation of the Twin Creeks Municipal Golf Course
Approve a Resolution authorizing the Mayor to sign a Sublease Agreement between the City of Salinas and Future Citizens Foundation, a California not-for-profit corporation doing business as The First Tee of Monterey County (TFTMC), for the continued operation of the Twin Creeks Municipal Golf Course as a youth golf learning center and fee-based public golf course, for a twenty-year term commencing July 1, 2026, with one ten -year option to extend.

City of Salinas Page 1 of 1 Printed on 5/29/2026
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CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: June 2, 2026
DEPARTMENT: ADMINISTRATION
FROM: NATHAN KIEU, DEPUTY DIRECTOR OF ECONOMIC

DEVELOPMENT
TITLE: AGREEMENT WITH FUTURE CITIZENS FOUNDATION DBA

THE FIRST TEE OF MONTEREY COUNTY FOR OPERATION

OF THE TWIN CREEKS MUNICIPAL GOLF COURSE
RECOMMENDED MOTION:

A motion to approve a resolution authorizing the Mayor to sign a Sublease Agreement between the City of Salinas and Future Citizens Foundation, a California not-for-profit corporation doing business as The First Tee of Monterey County (TFTMC), for the continued operation of the Twin Creeks Municipal Golf Course as a youth golf learning center and fee-based public golf course, for a twenty-year term commencing July 1, 2026, with one ten-year option to extend.

EXECUTIVE SUMMARY:

The City of Salinas and TFTMC have negotiated a new long-term Sublease Agreement (“Agreement”) for the operation of the Twin Creeks Municipal Golf Course. The proposed Agreement replaces the prior sublease and all amendments, establishing a twenty-year term commencing July 1, 2026, expiring June 30, 2046, with one ten-year option to extend through June 30, 2056.

The Agreement maintains the current annual rent of $60,000, pro-rated through October 31, 2026, transitioning to a nominal rent of $1.00 per year beginning November 1, 2026. The nominal rent reflects the significant community benefit provided by TFTMC's youth programming, TFTMC's assumption of all operational and maintenance responsibilities for the Facility, and the City's final bond payment of $433,500 due November 1, 2026. The Finance Committee reviewed and approved this item on May 12, 2026.

BACKGROUND:

The Twin Creeks Municipal Golf Course was constructed in Fiscal Year 1998-1999 on property owned by the County of Monterey and leased to the City pursuant to a 99-year ground lease commencing June 1, 1997. The ground lease restricts use of the property to recreational purposes only. The City owns the golf course facility and all associated buildings and improvements on the site.

In 2004, the City entered into a Sublease Agreement with TFTMC, a not-for-profit corporation, to operate the Facility as a youth golf learning center and fee-based public golf course. TFTMC is an authorized licensee of the First Tee division of the World Golf Foundation and operates a nationally recognized youth character development program through golf instruction and related programming.

The original Sublease was subsequently amended on two occasions. In 2012, the annual rent was reduced from $287,500 to $125,000 in response to financial hardship experienced by TFTMC. In 2015, the parties renegotiated the agreement, further reducing annual rent to $60,000 and extending the lease term through June 30, 2025. In June 2025, the City Council authorized a one-year extension of the existing sublease through June 30, 2026, to allow additional time for the parties to negotiate a new long-term agreement.

The City does not wish to operate the golf course directly and has no other viable use for the Facility given the recreational use restriction imposed by the County ground lease. If TFTMC were to vacate the Facility, the City would be responsible for all maintenance and operating costs until an alternative recreational operator could be identified. Staff determined that entering into a new long-term agreement with TFTMC on favorable terms is in the best interest of the City, provided that appropriate accountability and performance standards are included.

Since beginning operations at Twin Creeks in 2004, TFTMC has served more than 160,000 youth, with over 13,000 participants being served annually, making it the largest youth development organization in Monterey County. An independent study verified that First Tee participants attend school more regularly and perform better academically than their peers in the Alisal Union School District. The program’s college scholarship pipeline has produced an 84% college graduation rate among participants, compared to a national average of 24 to 27 percent. Since 2016, TFTMC has invested $4.47 million in facility improvements and maintenance at Twin Creeks, absorbing all operational costs while paying $540,000 in lease payments over the same period. The City Attorney’s Office has reviewed and approved the Agreement as to form.

Key terms of the proposed Agreement are summarized below.

Key Terms of the Proposed Agreement:

Term: Twenty (20) year initial term commencing July 1, 2026, and expiring June 30, 2046, with one (1) option to extend for an additional ten (10) years through June 30, 2056, subject to TFTMC's satisfaction of performance and reporting benchmarks.

Rent: $60,000 per year, pro-rated through October 31, 2026. Commencing November 1, 2026, annual rent transitions to $1.00 per year. The nominal rent reflects the significant community benefit provided by TFTMC's youth programming, TFTMC's continued assumption of all operational and maintenance obligations for the Facility, and the City's final bond payment of $433,500 due November 1, 2026. The City retains the right to review the rent structure no more than once every three years.

Permitted Use: Operation of a youth golf learning center and youth character development program consistent with First Tee national program standards, operation of a learning center building for community events and activities, and operation of a fee-based public golf course open to the general public.

Maintenance and Operations: TFTMC assumes full responsibility for all routine and preventive maintenance, building systems, grounds, irrigation, ADA compliance, and hazardous materials management at the Facility, at its sole cost and expense. Detailed Maintenance Standards are set forth in Exhibit B to the Agreement. The City retains inspection rights and the right to perform deferred maintenance and charge costs to TFTMC.

Accountability and Reporting: TFTMC is required to submit an annual program report by September 30 of each year covering youth participants served, program hours delivered, Salinas residency data, golf course operations, financial summary, and capital improvement status. A minimum of 80% of youth program participants at the Salinas site must be residents of the City of Salinas. TFTMC must maintain a minimum of 6,000 unduplicated youth participants annually across all program sites.

CEQA CONSIDERATION:

This action is not a project under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15378 because it involves administrative activities that will not result in a direct or indirect physical change in the environment.

CALIFORNIA GOVERNMENT CODE §84308 APPLIES:

Yes. Government Code §84308 (the Levine Act) applies to this Agreement.

STRATEGIC PLAN INITIATIVE:

This action supports the City Council's Strategic Plan goals related to Infrastructure, specifically to continue to invest in recreational and public facilities to support the community, and the Youth and Seniors goal to improve, expand, and develop youth and senior facilities and programs.

DEPARTMENTAL COORDINATION:

The City Manager's office coordinated on the Agreement and this report with the City Attorney's office.

FISCAL AND SUSTAINABILITY IMPACT:

The proposed Agreement results in a reduction in annual lease revenue from $60,000 to $1.00 per year effective November 1, 2026. The pro-rated lease payment from July 1 through October 31, 2026, will be $5,000 per month, for a total of $20,000 during that period. The timing of this transition reflects the City’s payoff of its outstanding debt obligation on the Twin Creeks facility. The City’s final debt service payment of $425,000 in principal and $8,500 in interest totaling $433,500, is due November 1, 2026, at which point the City’s financial obligation on the facility is fully retired. The reduction in lease revenue is therefore substantially offset by the elimination of that ongoing debt obligation. In exchange for nominal rent, TFTMC assumes full responsibility for all facility operations, maintenance, utilities, and capital improvements. The proposed Agreement requires no new City budget appropriations and results in no net increase to the City’s operating expenditures.

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
 Sublease Agreement between the City of Salinas and Future Citizens Foundation dba The First Tee of Monterey County (with Exhibits A and B)
 Original 2004 Sublease Agreement
 2012 Services Agreement
 2015 Services Agreement
 2025 Sublease Extension Agreement
 June 17, 2025, City Council Staff Report
 First Tee - Salinas Council Presentation Lease 04.20.26 RESOLUTION NO. _______ (N.C.S.)

A RESOLUTION APPROVING THE SUBLEASE AGREEMENT BETWEEN THE

CITY OF SALINAS AND FUTURE CITIZENS FOUNDATION DBA THE FIRST TEE

OF MONTEREY COUNTY FOR THE OPERATION OF THE TWIN CREEKS

MUNICIPAL GOLF COURSE
WHEREAS, the Twin Creeks Municipal Golf Course was constructed in Fiscal Year 1998-1999 on property owned by the County of Monterey and leased to the City pursuant to a 99-year ground lease commencing June 1, 1997, which restricts use of the property to recreational purposes, and the City owns the golf course facility and all associated buildings and improvements on the site; and
WHEREAS, in 2004, the City entered into a Sublease Agreement with Future Citizens Foundation, a California not-for-profit corporation doing business as The First Tee of Monterey County ("TFTMC"), to operate the Facility as a youth golf learning center and fee-based public golf course; and
WHEREAS, the original Sublease was amended in 2012 to reduce annual rent from $287,500 to $125,000, and again in 2015 to further reduce annual rent to $60,000 and extend the term through June 30, 2025; and
WHEREAS, in June 2025, the City Council authorized a one-year extension of the existing sublease through June 30, 2026, to allow additional time for the parties to negotiate a new longterm agreement; and WHEREAS, the City does not wish to operate the golf course directly and has no other viable use for the Facility given the recreational use restriction imposed by the County ground lease, and if TFTMC were to vacate the Facility the City would be responsible for all maintenance and operating costs until an alternative recreational operator could be identified; and WHEREAS, the City and TFTMC have negotiated a new long-term Sublease Agreement (“Agreement”) establishing a twenty-year initial term commencing July 1, 2026, and expiring June 30, 2046, with one option to extend for an additional ten years through June 30, 2056, subject to TFTMC's satisfaction of performance and reporting benchmarks; and WHEREAS, the proposed Agreement maintains the current annual rent of $60,000, pro-rated through October 31, 2026, transitioning to a nominal rent of $1.00 per year beginning November 1, 2026, in recognition of the significant community benefit provided by TFTMC's youth programming, TFTMC's assumption of all operational and maintenance responsibilities for the Facility, and the payoff of the City's bond debt service of $433,500 per year associated with facility improvements on November 1, 2026; and
WHEREAS, the proposed Agreement requires TFTMC to submit annual program reports, maintain a minimum of 80% Salinas residency among youth program participants at the Salinas site, and maintain a minimum of 6,000 unduplicated youth participants annually across all program sites; and
WHEREAS, the City Attorney's Office has reviewed and approved the Agreement as to form; and WHEREAS, this action is not a project under the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines Section 15378;
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Salinas that the above recitals are true and correct and are incorporated herein as findings of the City Council; and BE IT FURTHER RESOLVED that the City Council hereby approves the Sublease Agreement between the City of Salinas and Future Citizens Foundation dba The First Tee of Monterey County for the operation of the Twin Creeks Municipal Golf Course, for a twenty-year initial term commencing July 1, 2026, with one ten-year option to extend, substantially in the form presented to the City Council; and
BE IT FURTHER RESOLVED that the City Manager, or designee, is authorized to execute the Sublease Agreement and all related documents on behalf of the City, subject to approval as to form by the City Attorney.

PASSED AND APPROVED this 2
nd day of June, 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:
_______________________
Dennis Donohue, Mayor
ATTEST:
_________________________
Patricia M. Soratos, City Clerk
Twin Creeks Municipal Golf Course Sublease Agreement | Page 1 of 12

SUBLEASE AGREEMENT

BY AND BETWEEN

CITY OF SALINAS
AND

FUTURE CITIZENS FOUNDATION,

A CALIFORNIA NON-PROFIT CORPORATION

DBA THE FIRST TEE OF MONTEREY COUNTY

TWIN CREEKS MUNICIPAL GOLF COURSE
This SUBLEASE AGREEMENT ("Agreement") is made and entered into as of [___________], 2026, by and between the CITY OF SALINAS, a California charter city and municipal corporation ("City"), and the FUTURE CITIZENS FOUNDATION, a California non-profit corporation and licensee of the First Tee division of the World Golf Foundation, doing business as THE FIRST TEE OF MONTEREY COUNTY ("TFTMC"). City and TFTMC are sometimes referred to herein individually as a "Party" and collectively as the "Parties."

RECITALS
WHEREAS, the County of Monterey ("County") is the owner of certain real property located on the south side of Constitution Boulevard in the City of Salinas, California, commonly known as the Twin Creeks Municipal Golf Course site, APN 003-851-023, consisting of approximately 70 acres ("Property"); and
WHEREAS, pursuant to a Lease of County Property dated June 1, 1997 ("Ground Lease"), the County leased the Property to the City for a term of ninety-nine (99) years commencing June 1, 1997 and ending May 31, 2096, for public recreational uses including a golf course, at an annual rent of One Dollar ($1.00); and
WHEREAS, the City holds a leasehold interest in the Property subject to the terms and conditions of the Ground Lease, and owns the golf course facility and associated buildings and improvements located on the Property (collectively, "Facility"); and WHEREAS, pursuant to a Sublease Agreement for Operation of a Youth Golf Learning Center executed by TFTMC on November 5, 2004, as amended by a Services Agreement dated 2012, a Services Agreement dated 2015, and a Sublease Extension Agreement dated June 17, 2025 (collectively, "Prior Sublease"), TFTMC has subleased and operated the Facility as a youth character development program through the operation of a youth golf learning center and feebased public golf course; and WHEREAS, the Parties desire to enter into this Agreement to continue and formalize the terms and conditions governing TFTMC's long-term use and operation of the Facility for youth character development programming and public recreational golf; and NOW, THEREFORE, in consideration of the mutual covenants, conditions, and agreements set forth herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

Twin Creeks Municipal Golf Course Sublease Agreement | Page 2 of 12

1. PREMISES
City hereby subleases to TFTMC, and TFTMC hereby accepts and subleases from City, the Facility located at Twin Creeks Municipal Golf Course, Salinas, California, including all buildings, improvements, and appurtenances thereon as more particularly described in Exhibit A attached hereto and incorporated herein by this reference ("Premises"). TFTMC acknowledges that this Agreement is subject and subordinate to the terms and conditions of the Ground Lease and any other superior interest held by the City in the Property, and that TFTMC's rights hereunder shall not exceed the rights held by the City with respect to the Property.

1.1 Warranty of Title. City warrants that: (a) the Ground Lease with the County of Monterey, which holds fee title to the Property, is in full force and effect; (b) all rent due under the Ground Lease has been prepaid in full or is current as of the Commencement Date; and (c) City has full authority to enter into this Sublease. City makes no other warranties as to title to the Premises beyond those stated in this Section.

2. TERM

2.1 Initial Term. The initial term of this Agreement shall commence on July 1, 2026 ("Commencement Date") and shall expire on June 30, 2046, unless sooner terminated in accordance with the provisions hereof ("Initial Term").

2.2 Option to Extend. Provided that TFTMC is not in default under this Agreement at the time of exercise, has satisfied its reporting obligations pursuant to Section 8 hereof in all material respects for all preceding years of the Initial Term, and has met the performance benchmarks set forth in Section 8.5 hereof for no fewer than fifteen (15) of the twenty (20) years of the Initial Term, TFTMC shall have one (1) option to extend the term of this Agreement for one (1) additional period of ten (10) years, commencing July 1, 2046, and expiring June 30, 2056 ("Extended Term"), on the same terms and conditions as set forth herein. Said option shall be exercised, if at all, by written notice delivered to City no later than December 31, 2045, in the manner set forth in Section 10.4 hereof. Failure to timely exercise the option shall render it null and void. The maximum total term of this Agreement, inclusive of the Initial Term and the option to extend, shall not exceed thirty (30) years.

2.3 Holdover. In the event TFTMC remains in possession of the Premises after the expiration of the term of this Agreement, or any extension thereof, without the execution of a new sublease agreement, and with the City's written consent, such holdover shall be deemed a tenancy from month to month only, subject to all of the terms and conditions of this Agreement, at a monthly rent equal to one-twelfth (1/12) of the annual rent then in effect. Either party may terminate such month-to-month tenancy upon not less than thirty (30) days prior written notice to the other party. Nothing in this section shall be construed as consent by City to any holdover, and City reserves all rights and remedies available at law or in equity with respect to any holdover occurring without City's written consent.

Twin Creeks Municipal Golf Course Sublease Agreement | Page 3 of 12

3. RENT

3.1 Rent -- Phase 1. From the Commencement Date (July 1, 2026) through October 31, 2026, TFTMC shall pay to City rent at the annualized rate of Sixty Thousand Dollars ($60,000) per year, prorated on a daily basis for said partial-year period. The prorated amount for this period shall be calculated as of the Commencement Date and shall be due and payable in full on July 1, 2026.

3.2 Rent -- Phase 2. Commencing November 1, 2026, and continuing through the remainder of the Initial Term and any Extended Term, TFTMC shall pay to City an annual rent of One Dollar ($1.00) per year, due and payable on July 1 of each year. The Parties acknowledge that said nominal rent reflects the significant community benefit provided by TFTMC's youth programming and TFTMC's assumption of all operational and maintenance obligations for the Premises as set forth herein.

3.3 Periodic Rent Review. City reserves the right to review the rent structure no more than once every three (3) years during the term. In the event that TFTMC's annual net revenues exceed a threshold to be mutually agreed upon in writing by the Parties, the Parties agree to negotiate in good faith regarding a rent adjustment. Any such adjustment shall require mutual written agreement of both Parties and City Council approval, and shall be memorialized by written amendment to this Agreement. Absent such written amendment, the rent set forth in Section 3.2 shall remain in full force and effect.

3.4 Late Charges. Any installment of rent not received by City within ten (10) days of its due date shall accrue a late charge equal to five percent (5%) of the overdue amount, which shall be payable by TFTMC as additional rent.

4. USE OF PREMISES

4.1 Permitted Use. TFTMC shall use and occupy the Premises solely for: (a) the operation of a youth golf learning center and youth character development program consistent with First Tee national program standards; (b) the operation of a fee-based public golf course open to the general public; and (c) ancillary uses directly related to the foregoing. No other use shall be permitted without the prior written consent of City.

4.2 First Tee Program Standards. TFTMC shall maintain its status as an authorized First Tee licensee throughout the term and shall operate its youth programming in conformance with applicable First Tee national program standards. Any change in or loss of licensee status shall be reported to City in writing within thirty (30) days.

4.3 Public Access. TFTMC shall maintain the golf course open to the general public on a fee basis throughout the term, except as reasonably necessary for scheduled youth programming, course maintenance, and public safety purposes.

4.4 Salinas Resident Priority. In furtherance of the public benefit purpose of this Agreement, TFTMC shall ensure that no less than eighty percent (80%) of annual youth program participants receiving programming at the Salinas site are residents of the City of Salinas. TFTMC shall track and report residency data specific to the Salinas site as part of its annual report pursuant to Section 8.1 hereof.

4.5 Reduced-Fee Programming. TFTMC shall offer free or reduced-cost youth programming to income-qualifying participants. TFTMC shall describe its current fee structure, scholarship practices, and income-qualifying access policies as part of its Twin Creeks Municipal Golf Course Sublease Agreement | Page 4 of 12 annual report pursuant to Section 8.1 hereof. Nothing in this section shall require City approval of TFTMC's fee structure as a condition of this Agreement.

5. MAINTENANCE AND OPERATIONS

5.1 TFTMC Obligations. TFTMC shall, throughout the term and at its sole cost and expense, maintain the Premises and all improvements thereon in good order, condition, and repair consistent with the Maintenance Standards set forth in Exhibit B attached hereto and incorporated herein by this reference, and in a manner comparable to other well-maintained public golf facilities in the Monterey Bay region, including without limitation:
(a) All routine and preventive maintenance of the golf course, grounds, turf, and landscaping;
(b) Maintenance and repair of all building systems, including HVAC, plumbing, electrical, and roofing;
(c) Interior and exterior maintenance and repair of all buildings and structures; (d) Pest control, janitorial services, and solid waste disposal; (e) Maintenance and repair of all irrigation systems; and (f) Compliance with all applicable federal, state, and local laws, codes, and regulations governing the Premises and TFTMC's operations thereon.

5.2 Hazardous Materials. TFTMC shall comply with all applicable federal, state, and local laws and regulations governing the use, storage, handling, and disposal of pesticides, fertilizers, herbicides, and any other hazardous or toxic materials used in connection with TFTMC's operations at the Premises. TFTMC shall indemnify, defend, and hold harmless City from and against any and all claims, costs, and liabilities arising from any release or threatened release of hazardous materials caused by or resulting from TFTMC's operations.

5.3 Capital Improvements. TFTMC shall provide City with not less than thirty (30) days prior written notice before undertaking any capital improvement, alteration, or addition to the Premises with an estimated cost exceeding Ten Thousand Dollars ($10,000). City approval shall be required prior to the commencement of any structural modification.

Unless otherwise agreed in writing, all improvements made by TFTMC shall become the property of City upon expiration or termination of this Agreement.

5.4 City Inspection Rights. City shall have the right, upon not less than forty-eight (48) hours prior written notice, to enter and inspect the Premises at any reasonable time to verify TFTMC's compliance with its obligations hereunder. In the event of an emergency, City may enter without prior notice.

5.5 City Reserved Rights. City shall have no obligation to maintain or repair the Premises during the term. In the event TFTMC fails to perform any required maintenance within thirty (30) days after written notice from City, City reserves the right to perform such maintenance and charge the reasonable cost thereof to TFTMC as additional rent.

5.6 Joint Facility Inspections. City and TFTMC shall conduct a joint inspection of the Premises no less than once per year, at a mutually agreed time, to assess facility condition and TFTMC's compliance with the Maintenance Standards set forth in Exhibit B. A written condition report shall be prepared by City following each inspection and provided Twin Creeks Municipal Golf Course Sublease Agreement | Page 5 of 12 to TFTMC within thirty (30) days. Any deficiencies identified in the condition report shall be addressed by TFTMC within sixty (60) days of receipt, or such longer period as may be reasonably necessary provided TFTMC has commenced cure within said sixty (60) days and is diligently prosecuting the same to completion. In addition, City and TFTMC shall conduct a joint baseline inspection of the Premises within thirty (30) days of the Commencement Date to document the condition of all improvements as of the start of the term, which written report shall be signed by both Parties and retained as a reference for the duration of this Agreement.

6. UTILITIES AND OPERATING COSTS
TFTMC shall be solely responsible for all costs of utilities and services at the Premises throughout the term, including electricity, gas, water, sewer, trash collection, telecommunications, and security. TFTMC shall establish utility accounts in its own name where practicable and shall be responsible for all other ordinary and extraordinary costs of operating the Premises.

7. INSURANCE AND INDEMNIFICATION

7.1 Insurance Requirements. Throughout the term, TFTMC shall procure and maintain, at its sole cost and expense, insurance against claims for injuries to persons or damages to property which may arise from or in connection with TFTMC's operations at the Premises, with insurers authorized to conduct business in California with a current A.M.

Best rating of no less than A:VII. Coverage shall be at least as broad as:
(a) Commercial General Liability (CGL): Insurance Services Office Form CG 00 01 covering CGL on an occurrence basis, including products and completed operations, property damage, bodily injury and personal and advertising injury, with limits of not less than Two Million Dollars ($2,000,000) per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this location (ISO Form CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit;
(b) Property Insurance: Against all risks of loss to any improvements, betterments, and personal property at the Premises at full replacement cost, including all-risk insurance, fire and extended coverage, vandalism and malicious mischief insurance, with no coinsurance penalty provision;
(c) Automobile Liability: ISO Form CA 00 01 covering any auto (Code 1), or if TFTMC has no owned autos, hired (Code 8) and non-owned autos (Code 9), with limits of not less than One Million Dollars ($1,000,000) per accident for bodily injury and property damage;
(d) Workers' Compensation: As required by the State of California, with Statutory Limits, and Employers' Liability insurance with a limit of not less than One Million Dollars ($1,000,000) per accident for bodily injury or disease, covering all persons providing services by or on behalf of TFTMC;
(e) Sexual Abuse and Molestation (SAM): Insurance coverage in a minimum amount of One Million Dollars ($1,000,000) per occurrence, placed on an occurrence-based policy form. This coverage is required given that TFTMC's operations involve services to minors; and
Twin Creeks Municipal Golf Course Sublease Agreement | Page 6 of 12 (f) Such additional insurance as City may reasonably require upon not less than sixty (60) days written notice.

If TFTMC maintains broader coverage and/or higher limits than the minimums shown above, City shall be entitled to the broader coverage and/or higher limits maintained by TFTMC. All liability policies shall name the City of Salinas, its officers, officials, employees, and volunteers as additional insureds on the CGL policy. TFTMC's insurance coverage shall be primary as respects the City, its officers, officials, employees, and volunteers, and any insurance maintained by the City shall be excess of TFTMC's insurance and shall not contribute with it. TFTMC shall provide City with certificates of insurance and endorsements evidencing the required coverage prior to the Commencement Date and upon each renewal thereafter, with not less than thirty (30) days prior written notice of cancellation or material modification. TFTMC hereby waives any right of subrogation which any insurer of TFTMC may acquire against the City by virtue of the payment of any loss.

7.2 Indemnification. To the fullest extent permitted by law, TFTMC shall indemnify, defend (with counsel reasonably acceptable to City), and hold harmless City and its elected officials, officers, employees, agents, and volunteers from and against any and all claims, damages, liabilities, costs, and expenses, including reasonable attorneys' fees, arising out of or relating to TFTMC's use and operation of the Premises or any breach of this Agreement by TFTMC, except to the extent caused by the active negligence or willful misconduct of City.

8. PROGRAM REPORTING AND ACCOUNTABILITY

8.1 Annual Report. No later than September 30 of each year during the term, TFTMC shall submit to the City Manager or designee a written annual program report covering the prior fiscal year, which shall include:
(a) Total unduplicated youth participants served, including Salinas residency data specific to the Salinas site;
(b) Total impact hours delivered, calculated as the number of individual youth participants multiplied by the total hours of programming received, with a minimum threshold of 24.5 hours per participant as the recognized standard for measurable life impact;
(c) Description of all programs offered, including after-school, mentorship, and life skills components;
(d) Total program hours delivered by site and by program type; (e) Summary of golf course operations and public access statistics; (f) Financial summary including revenues, expenses, and fund balance, including an operating cash flow analysis;
(g) Status of capital improvements completed or planned; and (h) Status of fee waiver program and income-qualifying participants served.

8.2 Annual Council Presentation. TFTMC shall have the opportunity to present its annual program report to the City Council at a mutually agreed time. Such presentation is encouraged but not a mandatory obligation under this Agreement.

Twin Creeks Municipal Golf Course Sublease Agreement | Page 7 of 12

8.3 City Review Rights. City may, upon reasonable notice, request a meeting with TFTMC's executive leadership to discuss program performance, financial condition, and facility matters.

8.4 Performance Benchmarks. As a material condition of this Agreement, TFTMC shall maintain minimum annual youth program participation of not less than six thousand (6,000) unduplicated youth participants per fiscal year, measured on a Monterey Countywide basis across all TFTMC programming sites. Failure to meet said benchmark for two (2) consecutive fiscal years, absent extraordinary circumstances beyond TFTMC's reasonable control, including but not limited to public health emergencies, natural disasters, or government-ordered facility closures, shall constitute a material default under Section 9 hereof. TFTMC's compliance with this benchmark during the Initial Term shall also be a condition of eligibility to exercise the option to extend pursuant to Section 2.2.

9. DEFAULT AND TERMINATION

9.1 Events of Default. Each of the following shall constitute a default by TFTMC under this Agreement:
(a) Failure to pay any rent or monetary obligation within ten (10) days following written notice from City;
(b) Failure to procure or maintain required insurance coverages; (c) Cessation of active First Tee youth programming for a continuous period exceeding ninety (90) days, except as excused by force majeure or governmental order;
(d) Loss or revocation of TFTMC's First Tee licensee status; (e) TFTMC's insolvency, general assignment for the benefit of creditors, or filing of bankruptcy proceedings; or
(f) Failure to perform any other material obligation within thirty (30) days after written notice from City, or, if not curable within thirty (30) days, failure to commence cure within said period and diligently prosecute to completion within ninety (90) days.

9.2 City Remedies. Upon an uncured Event of Default, City may: (a) terminate this Agreement by written notice; (b) re-enter and take possession of the Premises; and/or (c) pursue any other remedy available at law or in equity. City's remedies are cumulative and not exclusive.

9.3 Reversion of Premises. Upon expiration or termination of this Agreement, TFTMC shall vacate and surrender the Premises to City within sixty (60) days in the condition required under Section 5, reasonable wear and tear excepted. All improvements shall remain and become City property. In the event TFTMC permanently ceases First Tee youth programming operations and fails to resume within ninety (90) days following written notice from City, City may terminate this Agreement upon sixty (60) days written notice.

10. GENERAL PROVISIONS
Twin Creeks Municipal Golf Course Sublease Agreement | Page 8 of 12

10.1 Governing Law and Venue. This Agreement shall be governed by the laws of the State of California. Any legal action arising hereunder shall be brought in the Superior Court of the County of Monterey, State of California.

10.2 Attorneys' Fees. The prevailing Party in any litigation arising from this Agreement shall be entitled to recover reasonable attorneys' fees and costs from the non-prevailing Party.

10.3 Assignment and Subletting. TFTMC shall not assign this Agreement or sublet the Premises or any portion thereof without the prior written consent of City, which shall not be unreasonably withheld. Any assignment or subletting in violation hereof shall be void and constitute an Event of Default.

10.4 Notices. All notices shall be in writing and delivered by personal delivery, certified mail (return receipt requested), or overnight courier to:

To City: City Manager, City of Salinas, 200 Lincoln Avenue, Salinas, CA 93901 To TFTMC: Future Citizens Foundation dba The First Tee of Monterey County, [Address]

10.5 Entire Agreement. This Agreement constitutes the entire agreement between the Parties with respect to the subject matter hereof and supersedes all prior agreements and understandings between the Parties, including the Prior Sublease. This Agreement may not be modified except by written amendment signed by authorized representatives of both Parties and, where required, approved by the City Council.

10.6 Severability. If any provision hereof is held invalid or unenforceable, the remaining provisions shall continue in full force and effect.

10.7 Waiver. No waiver of any breach shall constitute a waiver of any subsequent breach. Acceptance of rent by City shall not waive any preceding breach by TFTMC.

10.8 Time of Essence. Time is of the essence with respect to each obligation under this Agreement.

10.9 Successors and Assigns. Subject to the restrictions on assignment set forth in Section 10.3, all terms and conditions of this Agreement shall be binding upon and inure to the benefit of the successors and permitted assigns of both Parties.

10.10 Further Assurances. Both Parties agree to take whatever action may be reasonably necessary to perform their respective obligations under this Agreement.

10.11 Authority. Each Party represents and warrants that the person executing this Agreement has full authority to bind such Party to the terms hereof.

10.12 Ground Lease Compliance. This Agreement is subject and subordinate to the Ground Lease between the City and the County of Monterey dated June 1, 1997. TFTMC acknowledges the terms of the Ground Lease, including without limitation the recreational use restriction and the public access requirements set forth therein, and agrees that its use of the Premises shall at all times comply with the Ground Lease. In the event of any conflict between the terms of this Agreement and the Ground Lease, the terms of the Ground Lease shall control.

10.13 Force Majeure. If either Party is unable to perform its duties under this Agreement due to acts of God, strikes, lockouts, labor disputes, inability to obtain labor, governmental restrictions, regulations or controls, civil commotion, fire or other casualty, emergency, pandemic, or any other cause beyond the reasonable control of the Party, Twin Creeks Municipal Golf Course Sublease Agreement | Page 9 of 12 such non-performing Party shall be excused from performance and shall not be in breach of this Agreement for a period equal to any such prevention, delay, or stoppage. The Party claiming force majeure shall provide prompt written notice to the other Party and shall use commercially reasonable efforts to resume performance as soon as practicable.

10.14 Taxes and Assessments. This Agreement may create a taxable possessory interest in the Premises, the timely payment of which, together with any other taxes or assessments imposed against TFTMC or the activities of TFTMC, shall be paid by TFTMC before they become delinquent. City shall be responsible for the payment of all real property assessments imposed on the Premises by any improvement district or special taxing authority.

10.15 Accident Reports. TFTMC shall immediately report to City in writing any accident causing or reasonably estimated to have caused more than One Thousand Dollars ($1,000) worth of property damage, or any serious injury to person or property, that occurs on or in connection with the Premises. Such written report shall contain the names and addresses of the parties involved, a statement of the circumstances, the date and hour, the names and addresses of any witnesses, and any other pertinent information.

10.16 Signs and Advertising. TFTMC shall not place or erect any permanent signs or advertising upon the Premises that will cause damage or alter the physical structure of any building or structure located on the Premises without the prior written approval of City. The placement of any sign or advertising upon the Premises shall be in accordance with the requirements of the Salinas City Code in effect at the time such sign is proposed to be placed or erected.

10.17 Liens and Encumbrances. TFTMC shall keep the Premises free and clear of any liens or encumbrances of any kind whatsoever created by TFTMC or any of its acts or omissions. If any lien is filed against the Premises as a result of TFTMC's acts or omissions, TFTMC shall cause such lien to be released or bonded over within thirty (30) days of receiving notice thereof.

10.18 Survival. The indemnification and insurance obligations of TFTMC under this Agreement shall survive the expiration or earlier termination of this Agreement. All representations, warranties, and obligations that by their nature are intended to survive termination shall so survive.

10.19 Levine Act Disclosure Compliance (Cal. Government Code Section 84308).

TFTMC hereby affirms and warrants that it has not contributed to the campaign of any elected or appointed City official an amount totaling more than Five Hundred Dollars ($500) within twelve (12) months of the effective date of this Agreement, except as TFTMC has disclosed within its Levine Act Disclosure Form submitted to the City.

TFTMC agrees that in the event it makes any contributions subject to the Levine Act's disclosure requirements within twelve (12) months of the effective date of this Agreement, it will file a Levine Act Disclosure Form. TFTMC acknowledges this duty of disclosure and that the City has made the Levine Act Disclosure Form(s) readily available on the City's public internet site under the Your Government/Transparency section.

10.20 Electronic Execution. The words "execution," "signed," "signature," and words of like import in this Agreement shall be deemed to include electronic signatures or electronic records, including without limitation DocuSign and AdobeSign, each of which Twin Creeks Municipal Golf Course Sublease Agreement | Page 10 of 12 shall be of the same legal effect, validity, enforceability, and admissibility as a handwritten signature.

SIGNATURES
IN WITNESS WHEREOF, the Parties hereto have executed this Sublease Agreement as of the date first written above.

CITY OF SALINAS, a California municipal corporation
By: ___________________________________
Dennis Donohue, Mayor
ATTEST:

By: ___________________________________
City Clerk
APPROVED AS TO FORM:

By: ___________________________________
City Attorney
FUTURE CITIZENS FOUNDATION, a California non-profit corporation dba The First Tee of Monterey County
By: ___________________________________
Name: ___________________________________
Its: ___________________________________
Date: ___________________________________
Twin Creeks Municipal Golf Course Sublease Agreement | Page 11 of 12

EXHIBIT A -- DESCRIPTION OF PREMISES
A portion of the property known as the County East Laurel Street Property, Assessor’s Parcel Number 003-851-023-000 and shown on the survey map filed for record on March 13, 1998 in Volume 21 of Surveys, page 103.

For purposes of this Agreement, the Premises do not include any portion of said property outside the exterior fenced boundary of the Twin Creeks golf course and driving range and/or those portions of the property containing marshes, wetlands or riparian vegetation adjacent to the turfdeveloped portions of the golf course including, but not limited to, Gabilan Creek.

The Premises include the Twin Creeks Municipal Golf Course and all existing improvements thereon, including but not limited to the golf course, buildings, structures, parking areas, landscaping, irrigation systems, and related appurtenances.

EXHIBIT B -- MAINTENANCE STANDARDS

TWIN CREEKS MUNICIPAL GOLF COURSE
These Maintenance Standards ("Standards") establish the minimum conditions TFTMC shall maintain at the Premises throughout the term of the Sublease Agreement. All materials and products used shall be of reasonably equivalent quality to those used at comparable public golf facilities. Standards and frequencies may be modified by mutual written agreement of the Parties.

1. PLAYING SURFACES
Greens. TFTMC shall maintain all greens to accepted playability standards at all times.

Minimum requirements include: mowing on a schedule that produces a consistent, quality putting surface; verticutting, topdressing, overseeding, and aerification on an appropriate seasonal schedule; soil analysis annually with fertilization per results; cup location changes and ball mark repair as needed to prevent turf wear; and treatment for insects, disease, weeds, and pests as necessary. TFTMC shall have the soil analyzed within thirty (30) days of the Commencement Date and once every year thereafter.

Tees and Fairways. TFTMC shall maintain all tees and fairways to a quality surface comparable to other local public golf facilities and First Tee facilities, including: regular mowing at appropriate heights; aerification and verticutting as needed for turf health; top-dressing or resodding worn or bare areas; and treatment for weeds, diseases, insects, and other pests. Tees shall be serviced daily during operating hours by moving markers, emptying trash, and servicing ball washers.

Aprons, Roughs, and Other Turf Areas. TFTMC shall maintain all aprons, fringes, roughs, and other turf areas at an acceptable level, including regular mowing (at minimum once per week May through October, and as growth requires November through April), aerification and verticutting as needed, re-sodding or re-seeding worn areas, and pest and weed control.

2. IRRIGATION SYSTEMS
TFTMC shall maintain the entire irrigation system, including pumps, pump house, backflow and gate valve assemblies, main lines, lateral lines, sprinkler heads, and controllers, in good repair and functioning condition at all times, reasonable wear and tear excepted. TFTMC shall: irrigate as required to maintain adequate soil moisture; repair all leaking or defective valves within forty- Twin Creeks Municipal Golf Course Sublease Agreement | Page 12 of 12 eight (48) hours of discovery or written notification; submit quarterly written certification to City that all irrigation systems are fully operational; and monitor all systems for coverage, adjustments, clogging, and obstruction.

3. BUILDINGS AND STRUCTURES
TFTMC shall maintain all buildings and structures on the Premises, including the learning center and all accessory structures, in a clean, safe, and secure condition at all times. This includes:
regular inspection and repair of roofing, exterior walls, doors, windows, and foundations; maintenance of all building systems including HVAC, plumbing, and electrical in safe and functional condition; interior maintenance including flooring, walls, ceilings, fixtures, and furnishings; and prompt repair of any condition presenting a safety hazard. TFTMC shall inspect all buildings and structures no less than annually and shall report to City in writing any condition requiring capital repair with an estimated cost exceeding Ten Thousand Dollars ($10,000).

4. GROUNDS, HARDSCAPE, AND ACCESSORY AREAS
TFTMC shall maintain all grounds, hardscape, and accessory areas in a clean, safe, and wellmaintained condition, including: daily removal of litter from all course areas, parking lots, cart paths, service roads, and perimeter fence lines; maintenance of parking lots, walkways, cart paths, and driveways in safe and clean condition free of significant cracking, ponding, or tripping hazards; maintenance and repair of all fencing and fence lines; maintenance of all sand traps in raked, edged, and weed-free condition; maintenance of all drainage swells, catch basins, and surface flow lines in clear and properly functioning condition; and maintenance of all park corridor areas and tree lines between the golf course fence lines and adjacent roadways.

5. TREES
TFTMC shall maintain all trees on the Premises in a safe, healthy, and structurally sound condition, including: regular pruning to remove dead, diseased, weak, or damaged limbs and to maintain clearance over pedestrian and vehicular areas; removal of downed trees with stumps ground below grade and holes backfilled; and maintenance of surrounding turf to the trunks of trees. TFTMC shall prepare and submit to City for approval, within sixty (60) days of the Commencement Date, a comprehensive tree maintenance program, and shall update such program annually.

6. ACCESSORY EQUIPMENT AND COURSE FURNITURE
TFTMC shall maintain all golf course accessory equipment and course furniture in clean, safe, and functioning condition at all times, including: all signs; outdoor benches; tee markers and mats; ball washers; out-of-bounds markers; directional flags and poles; greens flags, poles, and cups; practice green markers and cups; trash receptacles; and cup-cutting equipment. Items requiring replacement due to wear, damage, or obsolescence shall be replaced promptly with items of reasonably equivalent quality.

7. CHEMICALS AND HAZARDOUS MATERIALS
TFTMC shall use only chemicals and pesticides approved by the State of California and the City, and shall follow all applicable procedures for their use, storage, and disposal in accordance with National and State OSHA standards and local IRMA policies. A complete list and records of all chemicals used shall be maintained by TFTMC and made available to City upon request with reasonable notice. TFTMC shall observe all legal requirements and safety regulations governing hazardous materials at all times.

1 AGREEMENT

BY AND BETWEEN

CITY OF SALINAS AND

FUTURE CITIZENS FOUNDATION,

A CALIFORNIA NON-PROFIT CORPORATION
RELATED TO TWIN CREEKS MUNICIPAL GOLF COURSE SUBLEASE (2015) (2025 SUBLEASE EXTENSION)
This Agreement (“Agreement”) is made by and between the City of Salinas, a California charter city and municipal corporation (“City”) and the Future Citizens Foundation, a California nonprofit corporation and licensee of the First Tee division of the World Golf Foundation, dba The First Tee of Monterey County (“TFTMC”).

RECITALS
A. Pursuant to a Sublease Agreement for operation of a Youth Golf Learning Center executed by TFTMC on November 5, 2004 (“Sublease Agreement”) TFTMC subleases and operates the City’s Twin Creeks Municipal Golf Course (“Twin Creeks”) for a youth character development program through the operation of a youth golf facility and learning center and fee based public golf course.

B. Pursuant to the Sublease Agreement, TFTMC agrees to provide a youth golf facility and learning center operation which compares favorably to the services, standards, and practices of similar youth character development programs as set forth in the Sublease Agreement.

C. Pursuant to a Services Agreement entered into in 2015 (“the 2015 Services Agreement”), the parties hereto agreed to an extension of the term of the Sublease to June 30, 2025 (inclusive of extensions at the option of TFTMC) and to a reduction of the payments under the Sublease to $60,000 per year for the period set forth in Section 1 of the 2015 Services Agreement. TFTMC did not exercise its option to extend the Sublease pursuant to Section 1 of the 2015 Services Agreement, consequently, the Sublease Agreement is set to expire on June 30, 2025. The parties, however, desire to extend the term of the Sublease for one (1) year (the “Extended Term”) with such Extended Term commencing on July 1, 2025, and ending on June 30, 2026.

NOW, based on the Recitals, which are a substantive part of this Agreement, and agreed mutual consideration, City and TFTMC agree as follows:
2 1. EXTENSION OF TERM; OPTION TO EXTEND. The term of the Sublease is hereby extended to June 30, 2026. During the Extended Term, TFTMC agrees that it shall not exercise its right to terminate the Sublease Agreement pursuant to Section 15.03 of the Sublease Agreement for any period prior to July 1, 2026. Rent shall continue to be payable in semi-annual installments at the rate of $30,000 twice annually. TFTMC is hereby granted the option to extend the Sublease Agreement beyond the Extended Term for a five (5) year term (i.e., July 1, 2026 through June 30, 2031), such option to be exercised by TFTMC through written notice delivered to the City at least six months prior to the end of the Extended Term (i.e., December 30, 2025) in the form and in the manner as set forth in the Sublease Agreement.

2. IMPACT ON SUBLEASE AGREEMENT. This Agreement is in addition to and modifies the Sublease Agreement and except as expressly modified herein no other terms or conditions of the Sublease shall be affected hereby. Except as modified hereby, the parties hereunder shall remain bound by the terms of the Sublease Agreement to the full extent thereof. The terms of the Sublease Agreement are hereby incorporated by reference as if fully set forth herein and shall be fully applicable to the activity of TFTMC hereunder.

IN WITNESS WHEREOF, City and TFTMC have executed this Agreement as follows:

CITY OF SALINAS
______________________________ ______________________________________ Dennis Donohue, Mayor Date
ATTEST:
______________________________ ______________________________________ Patricia M. Barajas, City Clerk Date
APPROVED AS TO FORM:
______________________________ ______________________________________ Christopher A. Callihan, City Attorney Date
3 Signature Block for TFTMC on next page.

TFTMC
_______________________________ ______________________________________ By: __________________________ Date
Its: __________________________
Page | 1

CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: JUNE 17, 2025
DEPARTMENT: CITY MANAGER
FROM: LISA MURPHY, ASSISTANT CITY MANAGER
TITLE: AGREEMENT WITH FUTURE CITIZENS FOUNDATION DBA

THE FIRST TEE OF MONTEREY COUNTY RELATED TO THE

TWIN CREEKS GOLF COURSE
RECOMMENDED MOTION:

A motion to approve a resolution authorizing the Mayor to sign an agreement between the City of Salinas and the Future Citizens Foundation (dba The First Tee of Monterey County) related to the Twin Creeks Municipal Golf Course Sublease to extend the term for one (1) year through June 30, 2026, with an option to extend the term for an additional five (5) years.

EXECUTIVE SUMMARY:

The Agreement between the City and Future Citizens Foundation will expire on June 30, 2025.

Authorizing the Agreement for one additional year under the same terms and conditions, with an option to extend the term for an additional five (5) years, will allow the City and the Future Citizens Foundation to continue discussions regarding the future of the property and associated programs.

BACKGROUND:

The Twin Creeks Golf Course was built in FY 98/99 and was operated by the City of Salinas until 2004 when the City leased it to the Monterey Peninsula Foundation and its related foundation, the Future Citizens Foundation, doing business as The First Tee of Monterey County (TFTMC). The Lease Agreement was amended in 2012 to reduce the rent based on hardship to continue operations by the TFTMC. In 2015, TFTMC and the City renegotiated the terms and conditions of the Lease Agreement for a second time, which significantly reduced the lease payments and extended the lease for an additional 20 years until June 30, 2025. The 2015 City Council Agenda Report is attached for further details.

The City and TFTMC have been engaged in discussions regarding the future of the golf course and associated programs. These discussions are still ongoing with the hope of reaching an agreement in the near future. Because discussions have not been concluded, staff recommends extending the existing lease for one additional year under the same terms and conditions including the annual rent of $60,000. Under the extension, TFTMC will have one option to extend the term of the Sublease for an additional five (5) years upon written notice provided to the City at least six Page | 2
(6) months before the expiration of the one-year extension. However, discussions continue so there is the possibility that an updated extension may be presented at the Council meeting for consideration.

CEQA CONSIDERATION:

Not a Project. The City Council’s consideration and approval of the proposed Memorandum of Understanding is not a project subject to environmental review under 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.

CALIFORNIA GOVERNMENT CODE §84308 APPLIES:

Yes, The Government Code §84308/ Levine Act does apply to this project.

STRATEGIC PLAN INITIATIVE:

The extension of this lease supports the Council Strategic “Infrastructure” goal to “Continue to Invest in recreational and public facilities to support our community” as well the “Youth and Seniors” goal to “Improve , expand and develop youth and senior facilities and programs”. ..

DEPARTMENTAL COORDINATION:

The City Manager’s office coordinated this report with the City Attorney’s office.

FISCAL AND SUSTAINABILITY IMPACT:

The City receives $60,000 in annual rent payments from this lease agreement.

Fund Appropriation Appropriation
Name
Total
Appropriation
Amount for
recommendation
FY 24-25
Operating
Budget Page
Last Budget
Action (Date,
Resolution)
n/a n/a n/a n/a n/a n/a n/a
ATTACHMENTS:

Resolution
Original Lease Agreement
2012 Agreement
2015 Agreement
2025 Amended Lease Agreement
May 26, 2015 Staff Report
Building Gamechangers
In Salinas
Today’s Decision
This is not a rent reduction — it's a
strategic investment.

By redirecting $59,999 toward Salinas
youth development, the Council unlocks
measurable outcomes without adding a
single dollar to the City budget.

The choice made today will shape the
next 20 years of opportunity for Salinas
youth.
21 Years of Serving
Salinas Youth
• #1 amongst peer group, First Tee network
• Largest youth development org in Mo Co
• 137,000 cumulative youth impacted
• 13,000 youth served annually (2025)
• 48% of participants are female
• 96% of participants are minorities
• 65% of coaches are former participants
• Serving 31 Salinas schools in 4 districts
Long-term programming delivered at a City facility — making this a true public-private partnership at scale.

FTMC impacts youth in
the two zip codes with:
• The highest risk
• The highest D.C.I.
ranking (Distressed
Community Index)
• The highest
concentration of
elevated crime
conditions
Salinas Youth
Participation
Education Outcomes That Move the Needle
FTMC Program Youth
District Average
19 22
29 23
Data-Backed Results Verified by AUSD and Data+Design,
program participants outperform
peers on both key academic
indicators.
• 3 points lower - chronic
absenteeism than district peers
• 6 points higher - ELA proficiency
than district peers
• Small gains at scale translate into
long-term, community-wide
impact
FTMC Scholarship
Program
219
Scholars served through the pipeline program
84%
College graduation rate among participants
61%
Graduate within 4 years (nat’l average 24-27%)
28,000
Mentoring hours invested in student success
The Economic Case Is Overwhelming
Lifetime Value Per Graduate
Each high school graduate generates an
estimated $480,000* in lifetime economic
value through higher earnings, taxes paid and
reduced social costs.
• Break-even point: Just 2 graduates
• 50 graduates: $24M community impact
• Full pipeline: ~$88M projected impact
The City’s $60,000
investment
generates returns
that are impossible
to replicate through
any other budget
line.
*University of Pennsylvania's Center for Benefit-Cost Studies of Education Redirecting $60,000 Per Year
The City’s investment could:
• Provide 3 PIF Scholarships every year
• Grant 6 additional FTMC scholarships
every year
• Impact 300 more youth for an entire year
• Provide bus transportation every day for
180 youth to attend daytime
programming for a school year
Annually FTMC
Provides:
• $986,000 in annual
access-value
scholarships
• $38,000 in college
scholarships
• $300,000 in CSUMB
college
Scholarships
Prevention Is Public Safety
Youth Crime Has Significantly Declined
Youth development programming is a proven
crime prevention strategy — and the numbers
tell the story in Salinas.
 Proven crime prevention strategy
 Keeps youth in school, not the justice system
 Youth crime rates down as programs expanded
$297M THE MATH IS SIMPLE
Annual cost of crime to
Salinas taxpayers
$60,000 Invested in Prevention
$100,000 One Incarceration
The Golf Course:

Setting the Record Straight
Not a Profit Center -
A Community Asset
FTMC has invested $4.47M in the golf
course since 2016. The organization has
paid $540K in lease payments — covering
approximately 13% of total expenses —
while absorbing all operational complexity.

Without this partnership, the City would
bear the full burden of staffing,
maintenance, and liability. This
arrangement protects taxpayers.

A Partnership Built on
Public Benefit
Aligned Structure
The County leases the same property for
$1. Aligning this lease structure reflects the
genuine public benefit delivered.

City Retains Ownership
The City maintains full ownership of the
asset while offloading operational risk and
cost to the program operator.

Low Risk, High Return
A proven partner with 20 years of results.

The risk profile for the City is minimal; the
community return is exceptional.

Shaping the Next 20 Years
What Approval Unlocks
The picture can't
be displayed. +300 youth served annually
Expanded capacity to reach
more Salinas families
The picture can't
be displayed. +3,000 youth over 10 years
A decade of compounding
community impact The picture can't
be displayed. Expanded school partnerships
Deeper reach into Salinas schools and
underserved neighborhoods
The picture can't
be displayed. Stronger workforce pipeline
College graduates who stay, work,
and invest in Salinas
Putting $59,999 in Budget Context
A Fraction of the Whole
Salinas operates on a $285 million
total annual budget. The proposed
investment represents just 0.02% of
that — with no new spending
required.

This is a reallocation, not an
addition.
• No tax increases
• No new budget line items
• Maximum ROI of any
discretionary decision this cycle
All Other City Spending 99.98%
·
Youth Investment ($59,999) 0.02%
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#26-188, Version: 1
Assistance to Firefighters Grant Acceptance and Equipment Purchase Approve a Resolution accepting the Assistance to Firefighters Grant (AFG) award in the amount of $207,086.26 from the Federal Emergency Management Agency (FEMA); approving an agreement with Air Exchange Inc. for the purchase and installation of exhaust removal systems in an amount not to exceed $314,710.02 and authorize the City Manager to sign the agreement on behalf of the City; and approving the reallocation of budget within CIP projects specifically designated for fire station repairs and renovations (CIP 9235 and 9541).

City of Salinas Page 1 of 1 Printed on 5/29/2026
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CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: JUNE 2, 2026
DEPARTMENT: SALINAS FIRE DEPARTMENT
FROM: SAMUEL KLEMEK, FIRE CHIEF
BY: ESTEFANIA VARGAS
TITLE: ASSISTANCE TO FIREFIGHTERS GRANT ACCEPTANCE AND

EQUIPMENT PURCHASE
RECOMMENDED MOTION:

It is recommended that the City Council approve a resolution to:

1. Accept the Assistance to Firefighters Grant (AFG) award in the amount of $207,086.26 from the Federal Emergency Management Agency (FEMA);

2. Approve an agreement with Air Exchange Inc. for the purchase and installation of exhaust removal systems in an amount not to exceed $314,710.02 and authorize the City Manager to sign the agreement on behalf of the City; and

3. Approve the reallocation of budget within CIP projects specifically designated for fire station repairs and renovations (CIP 9235 and 9541) .

EXECUTIVE SUMMARY:

The Salinas Fire Department (SFD) has been awarded $207,086.26 through the 2024 Assistance to Firefighters Grant (AFG). Of this total, the federal share is $188,260.24, and the required nonfederal match of $18,826.02 is included in the CIP-funded share. The project will fund the purchase and installation of Plymovent diesel exhaust removal systems at six fire stations, with a total estimated project cost of $305,543.71. Project costs not funded by FEMA total $117,283.47, and a 3% contingency of $9,166.31 brings the total amount funded by CIP to $126,449.78. CIP funding will be provided from accounts 9541 ($93,999.82) and 9235 ($32,449.96). This investment will significantly reduce firefighter exposure to diesel exhaust, improving workplace safety and supporting compliance with NFPA standards.

BACKGROUND:

The Fire Department identified the need to replace and upgrade diesel exhaust removal systems to better protect firefighter health and safety. Existing systems are outdated and do not adequately capture harmful diesel exhaust emissions, which are linked to long-term health risks. Upgrading these systems supports compliance with current safety standards and reduces exposure within fire stations.

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To address this need, staff applied for funding through the FEMA Assistance to Firefighters Grant (AFG) Program. The City was subsequently awarded funding to support the purchase and installation of diesel exhaust removal systems across six fire stations.

Vendor proposals were obtained from Air Exchange, Inc., a Plymovent distributor, for equipment and installation services (see attached Plymovent quotes). These proposals establish the project scope and confirm the need for coordinated procurement and installation across all stations.

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) pursuant to CEQA Guidelines Section 15378, as it involves the purchase and installation of equipment and does not have the potential to result in a direct or reasonably foreseeable indirect physical change in the environment.

In addition, this project is subject to FEMA Environmental and Historic Preservation (EHP) review requirements. All work will comply with applicable federal environmental review processes, and no ground-disturbing or installation activities will commence until FEMA EHP clearance is obtained, as required under the Assistance to Firefighters Grant program.

CALIFORNIA GOVERNMENT CODE §84308 APPLIES:

Yes.

STRATEGIC PLAN INITIATIVE:

This project directly supports the City Council’s Public Safety goals by protecting firefighter health and safety and improving resiliency of fire station operations. It also supports the City’s Infrastructure goals by investing in critical facility improvements that maintain safe and functional public facilities.

DEPARTMENTAL COORDINATION:

The Finance Department will be consulted to ensure proper grant accounting, cost share management, and procurement of the Plymovent equipment. The City Attorney’s Office will review and approve the agreement to ensure compliance with applicable legal requirements.

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FISCAL AND SUSTAINABILITY IMPACT:

The total project cost is $305,543.71. FEMA will fund $188,260.24 of the project cost. The remaining project costs of $117,283.47, including the required non-federal share, will be funded by CIP. A 3% contingency of $9,166.31 is included, bringing the total funded by CIP to $126,449.78. CIP funding will be reallocated from CIP projects specifically designated for fire station repairs and renovations (CIP 9235 and 9541)
Funding Sources:

Fund General Ledger Number
(Operating/CIP)
General Ledger Account
Name
Remaining Budget
Appropriation
Amount Requested
5800 45.9235-66.5400 Capital Outlays Equipment $91,289.82 $32,449.96 1100 45.9541-66.3010 Capital Outlays Remodeling
& Alteration
$93,999.82 $93,999.82
3115 45.7222-63.4300 Outside Services Maint &
Repairs-Equipment
$0 $188,260.24
ATTACHMENTS:

Resolution
Grant Award Notice
Plymovent Quotes
Page | 1
RESOLUTION NO. ________ (N.C.S.)

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SALINAS ACCEPTING THE 2024 ASSISTANCE TO FIREFIGHTERS GRANT AWARD AND APPROVING AN AGREEMENT WITH AIR EXCHANGE INC.

WHEREAS, the Salinas Fire Department applied for through the Federal Emergency Management Agency’s Assistance to Firefighters Grant Program for the purchase and installation of diesel exhaust removal systems; and
WHEREAS, the City of Salinas has been awarded Assistance to Firefighters Grant funding in the amount of $207,086.26, consisting of a federal share of $188,260.24 and a required nonfederal match of $18,826.02; and WHEREAS, the grant-funded project will support the purchase and installation of Plymovent diesel exhaust removal systems at six City fire stations; and WHEREAS, the total estimated project cost is $305,543.71, and project costs not funded by FEMA total $117,283.47; and
WHEREAS, a three percent contingency in the amount of $9,166.31 is included, bringing the total Capital Improvement Program funded amount to $126,449.78; and WHEREAS, Capital Improvement Program funding will be provided from Account 9541 in the amount of $93,999.82 and Account 9235 in the amount of $32,449.96; and WHEREAS, the project will reduce firefighter exposure to diesel exhaust, improve workplace safety, and support compliance with applicable safety standards; and WHEREAS, the City has determined that the proposed action is not a project under the California Environmental Quality Act pursuant to CEQA Guidelines Section 15378, and that all work will comply with applicable FEMA Environmental and Historic Preservation review requirements before installation activities begin.

NOW, THEREFORE, BE IT RESOLVED that the Salinas City Council as follows:

1. The Assistance to Firefighters Grant award from the Federal Emergency Management Agency in the amount of $207,086.26 is hereby accepted.

2. The City Manager is hereby authorized to execute all necessary agreements, documents, contracts, purchase orders, and related instruments necessary to accept and administer the grant and complete the project.

3. The agreement with Air Exchange, Inc. for the purchase and installation of exhaust removal systems in an amount not to exceed $314,710.02 is hereby approved and the City Manager is hereby authorized to enter into the agreement on behalf of the City.

4. The use of Capital Improvement Program funds to cover project costs not funded by the grant, including contingency, in total amount of $126,449.78 is hereby approved.

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PASSED AND APPROVED this 2
nd day of June 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:
_______________________
Dennis Donohue, Mayor
ATTEST:
_________________________
Patricia M. Soratos, City Clerk

Page 1 of 9 ends

Salinas City CouncilJune 2, 2026

Salinas City Council
June 2, 2026