Agenda packet — Mayor and City Council, November 5, 2025 (part 2 of 6)

L. Data Collection Requirements – Contractor agrees to collect pre-post data per County, and United States Treasury guidelines and timeline, for project tracking and monitoring and various reporting purposes. Data including, but not limited to: Required Project Demographic Distribution Data; Required Performance Indicators and Programmatic Data; Required Expenditure Report Data; and Required Program Evaluation Data. Contractor agrees to track and monitor data in a quantifiable and reportable database - retrievable collective data that needs to be available to County, State or Federal governments upon request.

M. Data Submission Requirements - Contractor agrees to furnish data to the County upon request, per County, and United States Treasury guidelines and timeline, for project tracking and monitoring and various reporting purposes. Data including, but not limited to: Required Project Demographic Distribution Data; Required Performance Indicators and Programmatic Data; Required Expenditure Report Data; Required Program Evaluation Data. Contractor agrees to track and monitor data in a quantifiable and reportable database - retrievable collective data that needs to be available at request.

N. Project Progress Reporting - Contractor agrees to provide project timeline and progress updates to the City upon request, per County, and United States Treasury guidelines and timeline. Contractor agrees to routine and impromptu program and project evaluation by the City.

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O. Contractor shall comply with Title 2 Code of Federal Regulations Part 200 (Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards), including, but not limited to, Title 2 C.F.R. Section 200.303 (internal control), Title 2 C.F.R. Sections 200.331 through 200.333 (subrecipient monitoring and management), and Title 2 C.F.R. Part 200 Subpart F (audit requirements), as these sections currently exist or may be amended. The use of funds must also adhere to official federal guidance issued or to be issued on what constitutes an eligible expenditure.

Any funds expended by Contractor or its subcontractor(s) in any manner that does not adhere to official federal guidance shall be returned to the County. Contractor agrees to comply with all official guidance regarding the ARPA CLFRF. Contractor also agree that as additional federal guidance becomes available, an amendment to this Contract may become necessary. If an amendment is required, Contractor agrees to promptly execute the Contract amendment.

P. Contractor shall retain documentation of all uses of the funds, including but not limited to invoices and/or sales receipts in a manner consistent with Title 2 C.F.R. Section 200.334 (retention requirements for records). Such documentation shall be produced to City upon request and may be subject to audit. Unless otherwise provided by Federal or State law (whichever is the most restrictive), Contractor shall maintain all documentation connected with its performance under this Contract for a minimum of five (5) years from the date of the last payment made by City or until audit resolution is achieved, whichever is later, and to make all such supporting information available for inspection and audit by representatives of the City, the State or the United States Government during normal business hours at Contractor. Copies will be made and furnished by Contractor upon written request by City.

Q. Contractor shall establish and maintain an accounting system conforming to Generally Accepted Accounting Principles (GAAP) to support Contractor’s requests for reimbursement which segregate and accumulate costs of Contractor and produce monthly reports which clearly identify reimbursable costs, matching fund costs (if applicable), and other allowable expenditures by Contractor. Contractor shall provide a monthly report of expenditures under this Contract no later than the 20th day of the following month.

R. Contractor shall cooperate in having an audit completed by City, at City’s option and expense. Any audit required by ARPA CLFRF and its regulation and United States Treasury guidance will be completed by Contractor at Contractor’s expense.

S. Contractor shall repay to City any reimbursement for ARPA CLFRF funding that is determined by subsequent audit to be unallowable under the ARPA CLFRF within the time period required by the ARPA CLFRF, but no later than one hundred twenty (120) days of Contractor receiving notice of audit findings, which time shall include an opportunity for Contractor to respond to and/or resolve the findings. Should the findings not be otherwise resolved and Contractor fail to reimburse moneys due City within one hundred twenty (120) days of audit findings, or within such other period as may be agreed between both parties or required by the ARPA CLFRF, City reserves the right to withhold future payments due Contractor from any source under City’s control.

T. Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Title 2 C.F.R. Part 200, other than such provisions as Treasury may determine are inapplicable and subject to such exceptions as may be otherwise provided by Treasury. Subpart F – Audit Requirements of the Uniform Guidance, implementing the Single Audit Act, shall apply.

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U. Universal Identifier and System for Award Management (SAM), Title 2 C.F.R. Part 25.

V. Reporting Subaward and Executive Compensation Information, Title 2 C.F.R. Part 170.

W. OMB Guidelines to Agencies on Governmentwide Debarment and Suspension (nonprocurement), Title 2 C.F.R. Part 180, including the requirement to include a term or condition in all lower tier covered transactions (contracts and subcontracts described in 2 C.F.R. Part 180, subpart B) that the award is subject to Title 2 C.F.R. Part 180 and Treasury’s implementing regulation at Title 31 C.F.R.

Part 19. Debarment and Suspension (Executive Orders 12549 and 12689) - A contract award (see 2 C.F.R. Section 180.220) must not be made to parties listed on the governmentwide exclusions in the System for Award Management (SAM), in accordance with the OMB guidelines at Title 2 C.F.R. Part 180 that implement Executive Orders 12549 (3 C.F.R. Part 1986 Comp., p. 189) and 12689 (3 C.F.R.

Part 1989 Comp., p. 235), “Debarment and Suspension.” SAM Exclusions contains the names of parties debarred, suspended, or otherwise excluded by agencies, as well as parties declared ineligible under statutory or regulatory authority other than Executive Order 12549.

X. Recipient Integrity and Performance Matters, pursuant to which the award terms set forth in Title 2 C.F.R. Part 200, Appendix XII to Part 200 is hereby incorporated by reference.

Y. Government Requirements for Drug-Free Workplace, Title 31 C.F.R. Part 20.

Z. New Restrictions on Lobbying, Title 31 C.F.R. Part 21.

AA. Uniform Relocation Assistance and Real Property Acquisitions Act of 1970 (42 U.S.C. Sections 4601- 4655) and implementing regulations.

BB. Applicable Federal environmental laws and regulations.

CC. Statutes and regulations prohibiting discrimination include, without limitation, the following:
i. Title VI of the Civil Rights Act of 1964 (42 U.S.C. Sections 2000d et seq.) and Treasury’s implementing regulations at Title 31 C.F.R. Part 22, which prohibit discrimination on the basis of race, color, or national origin under programs or activities receiving federal financial assistance.
ii. The Fair Housing Act, Title VIII of the Civil Rights Act of 1968 (42 U.S.C. Sections 3601 et seq.), which prohibits discrimination in housing on the basis of race, color, religion, national origin, sex, familial status, or disability.
iii. Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. Section 794), which prohibits discrimination on the basis of disability under any program or activity receiving federal financial assistance.
iv. The Age Discrimination Act of 1975, as amended (42 U.S.C. Sections 6101 et seq.), which prohibits discrimination on the basis of disability under programs, activities, and services provided or made available by state and local governments or instrumentalities or agencies thereto.
v. Title II of the Americans with Disabilities Act of 1990, as amended (42 U.S.C. Sections 12101 et seq.), which prohibits discrimination on the basis of disability under programs, Docusign Envelope ID: 6E7DF8BD-76C4-4750-AB5D-400F7E2F59F9

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activities, and services provided or made available by state and local governments o r instrumentalities or agencies thereto.

DD. Contractor understands that making false statements or claims in connection with the ARPA funded activities is a violation of federal law and may result in criminal, civil, or administrative sanctions, including fines, imprisonment, civil damages and penalties, debarment from participating in federal awards or contracts, and/or any other remedy available by law.

EE. Any publications produced with ARPA funds must display the following language: “This project [is being] [was] supported, in whole or in part, by federal award number SLT-0628 awarded to San Bernardino County by the U.S. Department of Treasury.”

FF. Pursuant to Executive Order 13043, 62 FR 19217 (Apr. 18, 1997), Contractor is being encouraged to adopt and enforce on-the-job seat belt policies and programs for their employees when operating company-owned, rented, or personally owned vehicles.

GG. Pursuant to Executive Order 13513, 74 FR 51225 (Oct. 6, 2009), Contractor is being encouraged to adopt and enforce policies that ban text messaging while driving and establishing workplace safety policies to decrease accidents caused by distracted drivers.

HH. As a recipient of federal financial assistance, the Civil Rights Restoration Act of 1987 applies, and Contractor assures that it:
i. Ensures its current and future compliance with Title VI of the Civil Rights Act of 1964, as amended, which prohibits exclusion from participation, denial of the benefits of, or subjection to discrimination under programs and activities receiving federal funds, of any person in the United States on the ground of race, color, or national origin (42 U.S.C.

Sections 2000d et seq.), as implemented by the Department of the Treasury Title VI regulations at Title 31 C.F.R. Part 22 and other pertinent executive orders such as Executive Order 13166, directives, circulars, policies, memoranda and/or guidance documents.
ii. Acknowledges that Executive Order 13166, “Improving Access to Services for Persons with Limited English Proficiency,” seeks to improve access to federally assisted programs and activities for individuals who, because of national origin, have Limited English proficiency (LEP). Contractor understands that denying a person access to its programs, services, and activities, because of LEP is a form of national origin discrimination prohibited under Title VI of the Civil Rights Act of 1964 and the Department of the Treasury’s implementing regulations. Contractor shall initiate reasonable steps, or comply with the Department of the Treasury’s directives, to ensure LEP persons have meaningful access to its programs, services, and activities. Contractor understands and agrees that meaningful access may entail provide language assistance services, including oral interpretation and written translation where necessary, to ensure effective communication.
iii. Agrees to consider the need for language services for LEP persons during development of applicable budgets and when conducting programs, services, and activities. iv. Agrees to maintain a complaint log of any complaints of discrimination on the grounds of race, color, or national origin, and limited English proficiency covered by Title VI of the Civil Rights Act and implementing regulations and provide, upon request, a list of all such Docusign Envelope ID: 6E7DF8BD-76C4-4750-AB5D-400F7E2F59F9

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reviews or proceedings based on the complaint, pending or completed, including outcome.

II. The City must include the following language in every contract or agreement subject to Title VI and its regulations:
“The sub-grantee, contractor, successor, transferee, and assignee shall comply with Title VI of the Civil Rights Act of 1964, which prohibits recipients of federal financial assistance from excluding a program or activity, denying benefits of, or otherwise discriminating against a person on the basis of race, color, or nation origin (42 U.S.C.

Section 2000d et seq.), as implemented by the Department of the Treasury’s Title VI regulations, Title 31 C.F.R. Part 22, which are herein incorporated by reference and made a part of this contract (or agreement). Title VI also includes protection to persons with “Limited English Proficiency” in any program or activity receiving federal financial assistance, 42 U.S.C. Section 2000d et seq., as implemented by the Department of the Treasury’s Title VI regulations, Title 31 C.F.R. Sections Part 22, and herein incorporated by reference and made a part of this contract or agreement.” JJ. Contractor shall cooperate in any enforcement or compliance review activities by the City, and/or the Department of the Treasury. Contractor shall comply with information requests, on-site compliance reviews, and reporting requirements.

KK. Contractor shall maintain records and financial documents sufficient to evidence compliance with section 603(c), regulations adopted by Treasury implementing those sections, and guidance issued by Treasury regarding the foregoing.

LL. City has the right of access to records (electronic or otherwise) of Contractor in order to conduct audits or other investigations.

MM. Contractor shall maintain records for a period of five (5) years after the completion of the contract or a period of five (5) years after the last reporting date the City is obligated with the Department of the U.S. Treasury, whichever is later.

NN. Contractor must disclose in writing any potential conflict of interest in accordance with Title 2 C.F.R.

Section 200.112.

OO. In accordance with Title 41 U.S.C. Section 4712, subrecipient or Contractor may not discharge, demote, or otherwise discriminate against an employee in reprisal for disclosing to any of the list of persons or entities provided below, information that the employee reasonably believes is evidence of gross mismanagement of a federal contract or grant, a gross waste of federal funds, an abuse of authority relating to a federal contract or grant, a substantial and specific danger to public health or safety, or a violation of law, rule, or regulation related to a federal contract (including the competition for or negotiation of a contract) or grant.

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The list of persons and entities referenced in the paragraph above includes the following: (i) A member of Congress or a representative of a committee of Congress; (ii) An Inspector General; (iii) The Government Accountability Office; (iv) A Treasury employee responsible for contract or grant oversight or management; (v) An authorized official of the Department of Justice or other law enforcement agency; (vi) A court or grand jury; or (vii) A management official or other employee of Recipient, subrecipient, contractor, or subcontractor who has the responsibility to investigate, discover, or address misconduct. Subrecipient or Contractor shall inform its employees in writing of the rights and remedies provided under this section, in the predominant native language of the workforce.

PP. City and Contractor acknowledge that if additional federal guidance is issued, an amendm ent to this Contract may be necessary. In the event any of the terms in this Exhibit conflict with any other terms in the Contract, the terms in this Exhibit shall control.

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CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: November 5, 2025
To: Honorable Mayor and City Council Members
From: C. Jeannie Fortune, Interim Director of Finance and Management Services
Department: Finance & Management Services
Subject: Investment Policy Statement Update (All Wards) Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, receive and file the updated Investment Policy Statement for FY 2025/26.

City Manager's Comments
The City Manager recommends approval of the recommended changes in the City of San Bernardino investment policy. The changes primarily are changes in allowing limited mortgage backed and asset backed securities and remaining within the limits allowed for by the State of California recommendations. These changes are recommended by Shuster Advisory Group, LLC.

Executive Summary
This action is to review and approve an updated Investment Policy Statement (IPS) for FY 2025/26 to incorporate recommendations from the City’s new Investment Fiduciary.

The proposed recommendations include diversifying the City’s approved investment tools to include medium term notes, asset-backed securities, mortgage-backed securities and collateralized mortgage obligations (CMO) securities.

The addition of these types of investments, while still maintaining the City’s IPS goals of safety (preservation of principal), liquidity (portfolio allows for timely access to cash to met expected and unexpected obligations), and yield (to earn a market rate without taking on excessive risk), are designed to enhance yield potential, streamline portfolio structure, and ensure the City remains well-positioned in a dynamic interest rate environment.

Background
The City’s Investment Policy sets forth the City’s investment objectives, risk preferences, authorized investments, and other investment-related priorities. A

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thoughtful and comprehensive investment policy not only provides accountability for investment officials but also promotes public trust in investment decisions. Developing, reviewing, and monitoring the City’s Investment Policy serves as an important tool of communication between the investment official, City management, and the City Council.

The Investment Policy was last approved on June 4, 2025, along with the City’s 2025- 26 Operating and Capital Improvement Projects (CIP) budget. Since then, the City has retained Shuster Advisory Group, LLC (“Shuster”) to serve as the City’s Fiduciary for Investment Management Services. Given Shuster’s experience in California Code 53601(“CA 53601”) and management of public agency investment funds, it has been recommended to the City to allow investments in both Federal Agency and non-Agency Mortgage-Backed Securities and Asset-Backed Securities as described in CA 53601.

Discussion
Mark Shuster, Founder and Managing Partner at Shuster Advisory Group, LLC, along with members of the Shuster team, has worked closely with City staff through regular meetings to review and evaluate the City's investment portfolio, including discussion on updating the City’s Policy and any recommended changes to the Policy.

Shuster Advisory Group, LLC (“Shuster”) is an independent SEC-Registered Investment Advisor with over $10 billion in assets under management. As a fiduciary, Shuster specializes in serving the unique investment needs of governmental agencies, special districts, and institutional clients, including more than 100 cities and public entities. Shuster provides comprehensive retirement plan consulting and fiduciary investment management services, including investment selection, monitoring, and oversight. In addition, Shuster offers expertise in managing Section 115 Trusts and operating cash assets, helping public agencies optimize liquidity, preserve capital, and enhance yields across reserve and long-term funds. The firm also serves private wealth clients through tailored portfolio management and planning services.

The current Investment Policy Statement remains compliant with California Government Code Section 53601. However, updates to the Code in recent years have expanded investment flexibility for local agencies while preserving the core principles of safety, liquidity, and return.

Shuster has recommended targeted updates to the City’s IPS to align with current statutory allowances and incorporate best practices in public fund management. These changes are designed to enhance yield potential, streamline portfolio structure, and ensure the City remains well-positioned in a dynamic interest rate environment.

Proposed updates include:

1. Authorizing mortgage-backed and asset-backed securities with maturities measured by Weighted-Average-Life not to exceed 5 years, minimum credit category rating of “AA”, and maximum non-Agency limit of 20% of the total portfolio, pursuant to CA Code §

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53601(o);

2. Authorizing Agency mortgage-backed and asset-backed securities with maturities measured by Weighted-Average-Life (WAL) not to exceed 5 years, pursuant to CA Code § 53601

3. Increasing issuer concentration limits for medium-term notes, mortgage-backed securities, and asset-backed securities to 10%, pursuant to CA Code § 53601(k) and 53601(o).

The inclusion of Agency and Non-Agency Mortgage-Backed (MBS) and Asset-Backed Securities (ABS) increases the investment universe for the City to capture additional yield from high-quality instruments with investment grade credit ratings. The increased regulations and credit monitoring of such securitized products has greatly improved the accessibility of investment managers to underwrite MBS and ABS securities. With the support of Shuster, the Investment Fiduciary, MBS and ABS securities can be examined at a granular level to understand underlying FICO scores, loan leverage, geographical distribution, and other details material to prudently measuring risk.

In addition, due to the self-amortizing nature of both Agency and Non-Agency mortgage- backed and asset-backed securities, measuring these securities by Weighted-Average- Life (WAL) is more informative from a risk-management perspective than measuring by a final maturity. As such, institutional fixed income portfolio managers use WAL as a commonly accepted measure of maturity.

Lastly, Shuster will closely monitor the underlying WAL for each securitized investment, whether Agency or Non-Agency-related, to ensure that the recommended limit of 5 years or less WAL is respected. Inclusive of this monitoring, Shuster will have regular meetings with the City as part of its ongoing Fiduciary duties to review the City’s overall liquidity and investment goals.
2021-2025 Strategic Targets and Goals
The acceptance and filing of the attached Investment Portfolio Report aligns with Key Target No. 1: Improved Operational & Financial Capacity by implementing, maintaining, and updating a fiscal accountability plan.

Fiscal Impact
There is no direct fiscal impact associated with updating the City’s Investment Policy Statement. However, the proposed policy enhancements will provide the City with expanded investment flexibility within the parameters of CA Code § 53601.

With the updated IPS in place, Shuster has identified opportunities to reallocate assets within the City’s General Portfolio in a manner that is projected to generate approximately $750,000 and $850,000 in additional annual interest earnings and fee savings, depending on final allocation decisions. These improvements are based on optimizing asset mix and leveraging institutional bond management with competitive pricing and enhanced credit research.

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Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, receive and file the updated Investment Policy Statement for FY 2025/26.

Attachments
Attachment 1 FY2025-26 Investment Policy Statement (red-lined) Attachment 2 FY2025-26 Investment Policy Statement (final) Ward:

All Wards
Synopsis of Previous Council Actions:

N/A
CC: Eric Levitt, City Manager

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CITY OF

SAN BERNARDINO

INVESTMENT POLICY
Fiscal Year 2025/26
Proposed Revision November 5, 2025

Jeannie Fortune
Interim Director of Finance & Management Services

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I. PURPOSE

To establish guidelines for the prudent investment of public funds in a manner that will protect City funds, meet daily cash flow expenditures, and comply with all federal, state, and local laws and ordinances governing the investment of public funds.

II. POLICY & ADOPTION

It shall be the policy of the City of San Bernardino to annually review and adopt an Investment Policy by resolution of the City Council. This Policy applies to all financial assets and funds held by the City of San Bernardino and the Successor Agency to the San Bernardino Redevelopment Agency. The funds covered by this policy include:

*General Fund
*Special Revenue Funds
*Capital Project Funds
*Proprietary Funds
*Other funds that may be created

Any modifications to the Policy must be approved by the City Council.

III. PROCEDURES

The Director of Finance shall annually review the City's Investment Policy, and incorporate any changes in state law, recommendations from the City's Investment Advisor, recommendations from the various national and state organizations of municipal finance officers, or other changes recommended by City staff. The revised Investment Policy shall be presented to the Finance Committee and the City Council for review and approval.

(A) Responsibilities

No person may engage in investment activities except as provided under the terms of this Policy and the procedures established by the Director of Finance.

1. Responsibilities of the City Council

The City Council shall annually consider and adopt a written Investment Policy. As provided in this Policy, the Council shall receive monthly Investment Reports.

2. Responsibilities of the Director of Finance

The Director of Finance is appointed by and serves at the pleasure of the City Manager and is subject to his/her direction and supervision. The Director of

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Finance is charged with responsibility for the conduct of all Finance Department operations. The City Charter places the "City Treasurer" responsibilities amongst the duties of the Director of Finance. That individual is charged with responsibility for carrying out all investment actions. He/she may delegate the day-to-day investment activities to their designee(s) but not the responsibility for the overall investment program. If authorized by the City Council, the Director of Finance may also utilize the services of an external investment advisor to assist with the investment program.

The Director of Finance, through supporting staff members, is responsible to manage all public funds and securities belonging to or under the control of the City and the Successor Agency, including the deposit and investment of those funds in accordance with principles of sound treasury management and applicable laws and ordinances. Appropriate internal controls designed to ensure that assets of the City are protected from loss, theft, or misuse, including but not limited to separation of duties and multiple approvers for transactions, shall be maintained at all times in order to safeguard the City's assets.

3. Responsibilities of the City's Investment Advisor (if applicable)

The City may engage in the services of outside professionals for evaluation and advice regarding the City's investment program. An authorized Investment Advisor may provide investment management services, which may also include facilitating trade executions under the direction of the Director of Finance or designee. Any Investment Advisor shall be registered by the Securities and Exchange Commission and licensed to do business in the State of California. An authorized Investment Advisor shall invest the City's funds in investments that are in compliance with this policy and provide accurate and timely reports of its investment activities to City staff. The Investment Advisor shall never take possession of the City's funds or assets.

4. Internal Controls

The Director of Finance is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the City are protected from loss, theft, fraud or misuse.

The City's external independent auditing firm shall perform an annual analysis and review of internal controls, account activity and compliance with policies and procedures.

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(B) Prudent Investor Rule
The standard of prudence to be used by the Director of Finance shall be the "prudent investor" standard. This shall be applied in the context of managing an overall portfolio.

The "Prudent Investor Rule" provides, pursuant to California Government Code Section 53600.3, that investments shall be made with judgment and care-under circumstances then prevailing - which persons of prudence, discretion and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived. The Director of Finance and any designee of the Director of Finance, as investment officers acting in accordance with written procedures and the investment policy and exercising due diligence, shall be relieved of personal responsibility for any individual security's credit risk or market price changes, provided deviations from expectations are reported to the City Council in a timely fashion and appropriate action is taken to control adverse developments.

(C) Ethics and Conflicts of Interest
In addition to state and local statutes relating to conflicts of interest, all persons involved in the investment process shall refrain from personal business activity that conflicts with proper execution of the investment program or impairs their ability to make impartial investment decisions. Employees and investment officers are required to annually file applicable financial disclosures as required for “public officials who manage public investments” by the Fair Political Practices Commission (FPPC) and are subject to California law relative to conflicts of interest.

(D) Level of Investment
The City strives to maintain the level of investment of all investable cash as near to 100 percent as possible through current and projected cash flow management. The Director of Finance shall maintain a system to monitor and forecast revenues and expenditures so that City funds can be invested to the fullest extent possible while providing sufficient liquidity to meet the City's reasonably anticipated cash flow requirements. Maturities of investments will be selected to provide necessary liquidity, manage interest rate risk, and optimize earnings. Because of inherent difficulties in accurately forecasting cash flow requirements, a portion of the portfolio should be continuously invested in readily available funds.

(E) Investment Objectives
The City seeks safety and liquidity in all of its investments followed by yield. Safety, liquidity, and yield are defined as follows:

1. Safety. Safety of principal is the foremost objective of the investment program.

Investments shall be undertaken in a manner that seeks to ensure the

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preservation of capital in the overall portfolio.

2. Liquidity. The investment portfolio shall remain sufficiently liquid to meet operating requirements that may be reasonably anticipated. This is accomplished by structuring the portfolio so that securities mature concurrent with cash needs to meet anticipated demands.

3. Yield. The investment portfolio shall be designed with the objective of attaining a market rate of return, taking into account the investment risk constraints and liquidity needs. Return on investment is of secondary importance compared to the safety and liquidity objectives described above.

(F) Allowable Investments

The investments listed in this Policy are authorized investments pursuant to Sections 53601 and 53635 of the California Government Code and are authorized investments for the City subject, however, to the restrictions set forth in Section "K" of this Investment Policy. In the event that an apparent discrepancy is found between this Policy and the Government Code, the more restrictive parameters will take precedence.

(G) Collateralization

If collateral is required for a particular investment type, it will be provided in compliance with California Government Code requirements.

(H) Investment Pools/Mutual Funds

Prior to investing in any pooled investment program (e.g., LAIF, money market funds), the Director of Finance will review the program's documentation (e.g., investment policy, policies for participation, fees) to determine the appropriateness of the pool for City funds. Whenever the City has funds invested in a pooled investment program, the Director of Finance should periodically review the pool's investment holdings. The review shall, at a minimum, obtain the following information:

• A description of eligible investment securities, and a written statement of investment policy and objectives.
• A description of interest calculations and how it is distributed, and how gains and losses are treated.
• A description of how the securities are safeguarded (including the settlement processes), and how often the securities are priced and the program audited. • A description of who may invest in the program, how often, and what size of deposits and withdrawals are allowed.
• A schedule for receiving statements and portfolio listings. • A description of how the pool/fund utilizes reserves, retained earnings, etc.

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• A fee schedule, including when and how fees are assessed. • The eligibility of the pool/fund to invest in bond proceeds and special district funds, and a description of its practices.

(I) Diversification

The City shall diversify the investments within the portfolio to avoid incurring unreasonable risks inherent in over-investing in specific instruments, individual financial institutions, or maturities. To promote diversification, no more than 5% of the portfolio may be invested in the securities of any one issuer, regardless of security type; excluding U.S. Treasuries, federal agencies, supranationals, medium-term notes , asset - backed/mortgage backed/CMO securities, and pooled investments such as LAIF, money market funds, or local government investment pools.

(J) Maximum Maturities

For those investment types for which this Policy does not specify a maturity limit, no individual investment shall exceed a maturity of five years from the date of purchase unless the City Council has granted express authority to make that investment either specifically or as a part of an investment program approved by the City Council no less than three months prior to the investment . Both Agency and Non -Agency Mortgage- Backed Securities and Asset-Backed Securities may be measured by their Weighted - Average-Life when determining allowable maturity limits . The weighted average duration of the investment portfolio shall not exceed 3.0 years.

(K) Authorized Investments of the City

The following types of investments are authorized by this Policy

1. U.S. Treasury Instruments. United States Treasury notes, bonds, bills, or certificates of indebtedness, or those for which the faith and credit of the United States are pledged for the payment of principal and interest. There is no limitation as to the percentage of the City's portfolio that may be invested in this category. The maximum maturity for this investment is five years from the time of purchase.

2. State of California's Local Agency Investment Fund (LAIF). A State of California - managed investment pool. The maximum amount invested in this category may not exceed the limit set by LAIF for operating accounts. For 2025, that deposit limit is $75 million.

3. Local Government Investment Pools ("LGIP''). Shares of beneficial interest issued by joint powers authority organized pursuant to Section 6509.7 that invests in the securities and obligations authorized in Government Code (e.g. Cal Trust, CAMP , CLASS). The City will limit investments to LGIPs that seek to maintain a stable net asset value. There is no limitation as to the percentage of the City's portfolio that

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may be invested in this category.

4. Municipal Bonds. Registered state warrants or treasury notes or bonds of this state, including bonds payable solely out of the revenues from a revenue -producing property owned, controlled, or operated by the state or by a department, board, agency, or authority of the state.

Registered treasury notes or bonds of any of the other 49 states in addition to California, including bonds payable solely out of the revenues from a revenue- producing property owned, controlled, or operated by a state or by a department, board, agency, or authority of any of the other 49 states, in addition to California.

Bonds, notes, warrants, or other evidences of indebtedness of a local agency within this state, including bonds payable solely out of the revenues from a revenue producing property owned, controlled, or operated by the local agency, or by a department, board, agency, or authority of the local agency.

Purchases are limited to securities rated in a rating category of "A" (long term) or "A-1" (short-term) or their equivalents or better by a Nationally Recognized Statistical Rating Organization (NRSRO). A maximum of 30% of the City's portfolio may be invested in this category. The maximum maturity for this investment is five years from the time of purchase.

5. Federal Agency Securities. Federal agency or United States government- sponsored enterprise obligations, participations, or other instruments, including those issued by or fully guaranteed as to principal and interest by federal agencies or United States government -sponsored enterprises. There is no limitation as to the percentage of the City's portfolio that may be invested in this category. The maximum maturity for this investment is five years from the time of purchase. The maturity of Agency mortgage-backed or asset-backed securities shall measured by Weighted-Average-Life (WAL), which is not to exceed 5 years.

6. Negotiable Certificates of Deposit. Negotiable certificates of deposit issued by a nationally or state-chartered bank, a savings association or a federal association, a state or federal credit union, or by a federally licensed or state-licensed branch of a foreign bank. Securities in this category shall be limited to the maximum amount covered by federal deposit insurance currently set at $250,000. A maximum of 30% of the City's portfolio may be invested in this category. The maximum maturity for this investment is five years from the time of purchase.

7. Commercial Paper. Commercial paper of "prime" quality of the highest ranking or of the highest letter and number rating as provided for by a NRSRO. The entity that issues the commercial paper shall meet all of the following condition s in either paragraph (1) or (2):

1. The entity meets the following criteria: (A) Is organized and operating

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in the United States as a general corporation; (B) Has total assets in excess of five hundred million dollars ($500,000,000), and (C) Has debt other than commercial paper, if any, that is rated in a rating category of "A" or its equivalent or better by an NRSRO.

2. The entity meets the following criteria: (A) is organized within the United States as a special purpose corporation, trust, or limited liability company, (B) Has program-wide credit enhancements including but not limited to, overcollateralization, letters of credit, or a surety bond, and (C) Has commercial paper that is rated “A-1” or better, or the equivalent, by an NRSRO.

Purchases are limited to securities that have a maximum maturity of 270 days. A maximum of 25% of the City’s portfolio may be invested in this category with a maximum of 5% per issuer.

8. Corporate or Medium-Term Notes. Corporate or medium-term notes, defined as all corporate and depository institution debt securities with a maximum remaining maturity of five years or less, issued by corporations organized and operating within the United States or by depository institutio ns licensed by the United States or any state and operating within the United States. Purchases are limited to securities rated in a rating category of "A" or its equivalent or better by an NRSRO. A maximum of 30% of the City's portfolio may be invested in this category with a maximum of 10% per issuer.

9. Money Market Funds ("MMF"). Purchases are restricted to Government Money Market Funds. Furthermore, these Money Market Funds must have met either of the following criteria: (A) Attained the highest ranking or the highest letter and numerical rating provided by not less than two NRSROs, or (B) Retained an investment advisor with not less than five years' experience and registered or exempt from registration with the SEC, with assets under management in excess of five hundred million dollars ($500,000,000). A maximum of 20% of the City's portfolio may be invested in this category.

10. Supranational Obligations. United States dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development, International Finance Corporation, or Inter -American Development Bank, with a ma ximum remaining maturity of five years or less, and eligible for purchase and sale within the United States. Investments under this subdivision shall be rated in a rating category of "AA" or its equivalent or better by a NRSRO. A maximum of 10% the City's portfolio may be invested in this category with a maximum of 5% per issuer. State law limits the percentage to 30% of the portfolio.

11. Bankers Acceptances. Bankers’ acceptances are short-term debt instruments issued by a company that is guaranteed by a commercial bank. Banker Acceptances are

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limited to institutions with short -term debt obligations of A -1 or higher and have long term debt obligations rated “A” or higher, or the equivalent by an NRSRO. The maturity shall not exceed 180 days and no more than 30% of the total portfolio may be invested in Bankers’ Acceptances and no more than 5% per issuer.

12. Deposits Placed Through a Private Sector Entity. The City may invest in Certificates of Deposit placed through a deposit placement service that uses a private sector entity to place deposits with eligible depository institutions. These placements are subject to the following limitations:
• All deposits must be fully insured by the Federal Deposit Insurance Corporation (FDIC) or the National Credit Union Share Insurance Fund (NCUSIF).
• The City may invest up to 50% of its surplus funds in such deposits through January 1, 2031.
• Beginning January 1, 2031, the investment limit will revert to 30% of surplus funds, unless otherwise amended by law.
• The placement service and the participating financial institutions must provide documentation verifying the full insurance of the deposits

13. Asset-Backed, Mortgage-Backed, Mortgage Pass-Through securities and Collateralized Mortgage Obligations. A mortgage passthrough security, collateralized mortgage obligation, mortgage- backed or other pay-through bond, equipment lease-backed certificate, consumer receivable passthrough certificate, or consumer receivable-backed bond with a maximum remaining maturity of five years or less as measured by Weighted-Average Life (WAL). Securities shall be rated in a rating category of “AA” or its equivalent or better by an NRSRO. No more than 20 percent of the market value of the City's investment portfolio shall be invested in this category.

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City of San Bernardino Authorized Investment Policy Stable

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(L) Prohibited Investments

Furthermore, the City will not invest in inverse floaters, range notes, mortgage derived, interest-only strips, or any security that could result in zero interest accrual if held to maturity. In order to anticipate market changes and provide a level of security for all funds, the collateralization level will 100% of market value for Certificate of Deposits and 102% for reverse purchase agreements or principal and accrued interest. Collateral will always be held by an independent third party with whom the entity has a current custodial relationship

(M) Performance Standards

The investment portfolio shall be managed with the objective of obtaining a market - average rate of return during budgetary and economic cycles, considering the City's investment risk constraints and the cash flow needs.

Investment return is a consideration only after the core investment portfolio tenets of safety and liquidity have been met. The Director of Finance will adopt a benchmark which best approximates the composition and weighted average maturity of the City's portfolio. The City will monitor the City's portfolio yield against the US Treasury Constant Maturity and the performance yield presented by LAIF. However, the benchmark will be used only as a reference tool and does not infer that the portfolio will be managed in an attempt to attain or exceed the stated benchmark.

Benchmarks may change over time based on changes in market conditions or cash flow requirements. The selected performance benchmarks shall be representative of the City's overall investment objectives and liquidity requirements.

(N) Investment Reporting

The Director of Finance shall submit to the City Council, on a monthly basis, a report summarizing the individual transactions executed within the month. The Director of Finance shall submit to the City Council on a quarterly basis a report summarizing the status of the current investment portfolio and the individual transactions executed over the last quarter. The report shall be prepared in a manner which shall allow the City Council to ascertain whether investment activities during the reporting period have conformed to the Investment Policy.

The report will include the following elements:
• Type of investment
• Institution/Issuer
• Purchase Date

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• Date of maturity
• Amount of deposit or cost of the investment
• Face value of the investment
• Current market value of securities and source of valuation • Rate of interest
• Interest earnings
• Statement relating the report to its compliance with the Statement of Investment Policy or the manner in which the portfolio is not in compliance • Statement on availability of funds to meet the next six months’ obligations • Percentage of Portfolio by Investment Type
• Days to Maturity for all Investments
• Comparative report on Monthly Investment Balances & Interest Yields • Monthly transactions

The Investment Advisor shall report to the City , on a monthly basis , the weighted - average-life for each structured security to ensure compliance with the individual 5 - year weighted -average-life limitation. Weighted -Average-Life (WAL) measures the average length of time for anticipated principal repayments to measure a bond's risk and liquidity. In order to calculate a bond's WAL, assumptions must be made regarding prepayment event probabilities, prepayment amounts, prepayment speed, underlying asset leverage, and other collateral features as well as macroeconomic drivers such as, but not limited to, interest rate expectations, home prices, and mortgage rates.

Institutionally, proprietary models use these various assumed inputs to estimate the amount and timing of principal repayments in order to produce a WAL output that functions as a useful metric to understand interest rate risk, prepayment risk, and extension risk.

All data shall be maintained by the Investment Advisor for record -keeping purposes. If a structured security is reported to have a weighted -average-life greater than 5 years, it shall be flagged for immediate discussion with both the City and Investment Ad visor to determine if the security shall be held or liquidated, depending on underlying risk and broader market conditions. Notwithstanding the aforementioned process, any security with a weighted -average-life greater than 4 years shall be monitored on a monthly basis to note any reporting trends.

(O) Portfolio Review

The Director of Finance shall continually monitor portfolio performance to ensure that the securities in the portfolio are in compliance with this Policy. The Director of

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Finance shall report any issues of material non -compliance in the next monthly Investment Report. Percentage holding limits and diversification requirements listed in this Policy apply at the time a security is purchased. If a percentage holding limit or diversification requirement is exceeded due to a subsequent change in the portfolio, it is not a compliance violation, but no additional securities may be purchased in that category or for that issuer until the holdings are back under the Policy limits.

Credit ratings, where shown, specify the minimum credit rating category required at purchase. In the event a security held by the City is subject to a credit rating change that brings it below the minimum credit ratings specified in this Policy, the Director of Finance will notify the City Council of the change in the next monthly Investment Report. The course of action to be followed will then be decided on a case-by-case basis, considering such factors as the reason for the change, prognosis for recovery or further rating downgrades, and the market price of the security. If a security is determined to be out of compliance with this Policy due to a subsequent change in this Policy or the Government Code, it may be held to maturity unless there is a requirement that the security be sold.

(P) Debt Proceeds

Debt proceeds and bond reserve funds are to be invested in accordance with their respective bond indenture. If the indenture is silent as to the permitted investments, the bond proceeds will be invested in the securities permitted by this Policy. Notwithstanding the other provisions of this Policy, the percentage limitations listed elsewhere in this Policy do not apply to bond proceeds and bond proceeds may be invested beyond five years if the maturities of such investments do not exceed the expected use of the funds, the investments are deemed prudent in the opinion of the Director of Finance, and the investments are not prohibited by the applicable bond documents. Tax and Revenue Anticipation Notes or other temporary financing proceeds shall not be invested for a term that exceeds the term of the debt.

(Q) Safe Keeping

To protect against potential losses by collapse of individual securities dealers, all deliverable securities owned by the City, including collateral on repurchase agreements, shall be held in safekeeping by a third party bank trust department acting as agent for the City under the terms of a custody agreement executed by the bank and by the City.

All deliverable securities will be received and delivered using standard delivery -versus- payment procedures.

(R) Qualified Financial Institutions and Broker/Dealers

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The Director of Finance shall maintain a list of approved financial institutions authorized to provide investment related services to the City. In addition, the City shall maintain a list of approved security broker/dealers selected by conducting a process of due diligence. These may include 'primary' dealers or regional dealers that qualify under Securities and Exchange Commission ("SEC") Rule 15C3-1 (uniform net capital rule). A copy of this Investment Policy shall be sent annually to all firms with which the City executes investments.

Additionally, all financial institutions and broker/dealers who desire to become qualified bidders of investment transactions must provide the Director of Finance with the following:

• Audited Financial Statements
• Proof of State Registration
• Copy of most recently filed Financial Industry Regulated Authority (FINRA) documentation
• Certification of having read the Investment Policy and depository contracts of the City of San Bernardino

The Director of Finance will review the existing list of either qualified broker/dealers or qualified bidders for investment transactions on an annual basis. At the discretion of the Director of Finance, and with the due diligence noted above, add or delete either broker/dealers or qualified bidders.

(S) Continuing Education and Training

To ensure the highest level of professional standards for the execution of the investment program, investment staff responsible for the day-to-day management of the portfolio are encouraged to engage in continuing education in the areas of cash and investment management.

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GLOSSARY

AGENCIES: Federal agency securities

BANKERS’ ACCEPTANCE (BA): A draft or bill of exchange accepted by a bank or trust company. The accepting institution guarantees payment of the bill, as well as the issuer. The drafts are drawn on a bank by an exporter or importer to obtain funds to pay for specific merchandise. An acceptance is a high grade negotiable instrument.

BENCHMARK: A comparative base for measuring the performance or risk tolerance of the investment portfolio. A benchmark should represent a close correlation to the level of risk and the average duration of the portfolio's investments

BROKER: A broker brings buyers and sellers together for a commission. He/she does not take a position.

CERTIFICATE OF DEPOSIT (CD): A time deposit with a specific maturity evidenced by a certificate.

Large-denomination CD's are typically negotiable.

COLLATERAL: Securities, evidence of deposit or other property, which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies.

COMMERCIAL PAPER: Short term unsecured promissory note issued by a corporation (including limited liability companies) to raise working capital. These negotiable instruments are purchased at a discount to par value or at par value with interest bearing. Commercial paper is issued by corporations such as General Motors Acceptance Corporation, IBM, Banik of America, etc.

COUPON: a) The annual interest that a bond’s issuer promises to pay the bondholder on the bond’s face value. b) A certificate attached to a bond evidencing interest due on a payment date.

DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions; buying and selling for his/her own account.

DELIVERY VERSUS PAYMENT: There are two methods of delivery of securities: delivery versus payment and delivery versus receipt. Delivery versus payment is delivery of securities with an exchange of money for the securities. Delivery versus receipt is delivery of securities with an exchange of a signed receipt for the securities.

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DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent returns.

FEDERAL CREDIT AGENCIES: Agencies of the Federal government set up to supply credit to various classes of institutions (e.g. S&L’s, small business firms, students, farmers, farm cooperatives, and exporters).

FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A Federal agency that insures bank deposits, currently up to $250,00 per deposit.

LIQUIDITY: A liquid asset is one that can be converted easily and rapidly into cash without a substantial loss of value. In the money market, a security is said to be liquid if the spread between the bid and asked prices is narrow and a reasonable size can be done at those quotes.

LOCAL GOVERNMENT INVESTMENT POOL (LGIP): The aggregate of all funds from political subdivisions that are placed in the custody of the State Treasurer for investment and reinvestment.

MARKET VALUE: The price at which a security is trading and could presumably be purchased or sold.

MATURITY: The date upon which the principal or stated value of an investment becomes due and payable.

MONEY MARKET: The market in which short-term debt instruments (bills, commercial paper, bankers’ acceptances, etc.) are issued and traded.

NATIONALL RECOGNIZED STATISTICAL RATING ORGANIZATION (“NRSRO”): Firms that review and assess the creditworthiness of an obligor as an entity or with respect to specific securities or money market instruments and express their opinion in the form of a letter rating. A credit rating agency may apply to the SEC fore registration as a nationally recognized statistical rating organization (“NRSRO”). The primary rating agencies are Standard & Poor’s Corporation, Moody’s Investor Services, Inc. and Fitch, Inc.

NEGOTIABLE CERTIFICATES OF DEPOSIT: Generally, short-term debt instruments that usually pays interest and is used by a bank, savings or federal association, state or federal credit union, or state-licensed branch of a foreign bank. Negotiable CDs are traded in a secondary

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market and are payable upon order to the bearer or initial depositor (investor). Negotiable CDs are insured by FDIC up to $250,000, but they are not collateralized beyond that amount.

NON-NEGOTIABEL CERTIFICATE OF DEPOSIT: CDs that carry a penalty if redeemed prior to maturity. Non-negotiable CDs issued by banks and savings and loans are insured by the Federal Deposit Insurance Corporation up to the amount of $250,000, including principal and interest. Amounts deposited above this amount may be secured with other forms of collateral through an agreement between the investor and issuer. Collateral may include other securities including Treasuries or agency securities such as those issued by the Federal National Mortgage Association.

PORTFOLIO: Collection of securities held by an investor.

PRIMARY DEALER: A group of government securities dealers who submit daily reports of market activity and positions and monthly financials statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission (SEC)-registered securities brokers/dealers, banks and a few unregulated firms.

PRUDENT PERSON RULE: An investment standard. In some states, the law requires that a fiduciary, such as a trustee, may invest money only in a list of securities selected by the custody state – the so-called “legal list”. In other states, the trustee may invest in a security if it is one that would be bought by a prudent person of discretion and intelligence who is seeking a reasonable income and preservation of capital.

RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity; on a bond, the current income return.

SAFEKEEPING: The service provided by banks and trust companies for clients when the bank or trust company stores the securities, takes in coupon payments, and redeems issues at maturity.

SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protected investors in securities transactions by administrating securities legislation.

SEC RULE 150-1: See “Uniform Net Capital Rule”.

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SUPRANATIONAL SECURITIES: United States dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development (IBRD), International Finance Corporate (IFC), or Inter- American Development Bank (DB), with a maximum remaining maturity of five years or less, and eligible for purchase and sale within the United States. Investments under this subdivision shall be rated “AA” or better by an NRSRO and shall not exceed 10 percent of the agency’s moneys that may be invested pursuant to this section.

TREASURY BILLS: A non-interest bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months, or one year.

TREASURY BOND: Long-term U.S. Treasury securities having initial maturities of more than 10 years.

TREASURY NOTES: Intermediate-term coupon bearing U.S. Treasury having initial maturities from one year to ten years.

UNIFORM NET CAPITAL RULE: Securities and Exchange Commission requirement that member firms as well as nonmember broker/dealers in securities maintain a maximum ratio of indebtedness to liquid capital of 15 to 1; also called the net capital rule and net capital ratio. Indebtedness covers all money owed to a firm, including margin loans and commitments to purchase securities, one reason new public issues are spread among members of underwriting syndicates. Liquid capital includes cash and assets easily converted into cash.

YIELD: The rate of annual income return on an investment, expressed as a percentage. (a) Income Yield is obtained by dividing the current dollar income by the current market price for the security. (b) Net Yield or Yield to Maturity is the current income yield minus any premium above par or plus any discount from par in purchase price, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond.

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CITY OF

SAN BERNARDINO

INVESTMENT POLICY
Fiscal Year 2025/26
Proposed November 5, 2025

Jeannie Fortune
Interim Director of Finance & Management Services

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I. PURPOSE

II. POLICY & ADOPTION

*General Fund
*Special Revenue Funds
*Capital Project Funds
*Proprietary Funds
*Other funds that may be created

Any modifications to the Policy must be approved by the City Council.

III. PROCEDURES

(A) Responsibilities

No person may engage in investment activities except as provided under the terms of this Policy and the procedures established by the Director of Finance.

1. Responsibilities of the City Council

The City Council shall annually consider and adopt a written Investment Policy. As provided in this Policy, the Council shall receive monthly Investment Reports.

2. Responsibilities of the Director of Finance

The Director of Finance is appointed by and serves at the pleasure of the City Manager and is subject to his/her direction and supervision. The Director of

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3. Responsibilities of the City's Investment Advisor (if applicable)

4. Internal Controls

The Director of Finance is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the City are protected from loss, theft, fraud or misuse.

The City's external independent auditing ﬁrm shall perform an annual analysis and review of internal controls, account activity and compliance with policies and procedures.

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The "Prudent Investor Rule" provides, pursuant to California Government Code Section 53600.3, that investments shall be made with judgment and care-under circumstances then prevailing - which persons of prudence, discretion and intelligence exercise in the management of their own aﬀairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived. The Director of Finance and any designee of the Director of Finance, as investment oﬃcers acting in accordance with written procedures and the investment policy and exercising due diligence, shall be relieved of personal responsibility for any individual security's credit risk or market price changes, provided deviations from expectations are reported to the City Council in a timely fashion and appropriate action is taken to control adverse developments.

(C) Ethics and Conﬂicts of Interest
In addition to state and local statutes relating to conﬂicts of interest, all persons involved in the investment process shall refrain from personal business activity that conﬂicts with proper execution of the investment program or impairs their ability to make impartial investment decisions. Employees and investment oﬃcers are required to annually ﬁle applicable ﬁnancial disclosures as required for “public oﬃcials who manage public investments” by the Fair Political Practices Commission (FPPC) and are subject to California law relative to conﬂicts of interest.

(E) Investment Objectives
The City seeks safety and liquidity in all of its investments followed by yield. Safety, liquidity, and yield are defined as follows:

1. Safety. Safety of principal is the foremost objective of the investment program.

Investments shall be undertaken in a manner that seeks to ensure the

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preservation of capital in the overall portfolio.

2. Liquidity. The investment portfolio shall remain suﬃciently liquid to meet operating requirements that may be reasonably anticipated. This is accomplished by structuring the portfolio so that securities mature concurrent with cash needs to meet anticipated demands.

(F) Allowable Investments

(G) Collateralization

If collateral is required for a particular investment type, it will be provided in compliance with California Government Code requirements.

(H) Investment Pools/Mutual Funds

• A description of eligible investment securities, and a written statement of investment policy and objectives.
• A description of interest calculations and how it is distributed, and how gains and losses are treated.
• A description of how the securities are safeguarded (including the settlement processes), and how often the securities are priced and the program audited. • A descrip ti on o f w ho m a y in v es t in the program, how often, and what size of deposits and withdrawals are allowed.
• A schedule for receiving statements and portfolio listings. • A description of how the pool/fund utilizes reserves, retained earnings, etc.

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• A fee schedule, including when and how fees are assessed. • The eligibility of the pool/fund to invest in bond proceeds and special district funds, and a description of its practices.

(I) Diversification

(J) Maximum Maturities

For those investment types for which this Policy does not specify a maturity limit, no individual investment shall exceed a maturity of five years from the date of purchase unless the City Council has granted express authority to make that investment either specifically or as a part of an investment program approved by the City Council no less than three months prior to the investment. Both Agency and Non -Agency Mortgage- Backed Securities and Asset-Backed Securities may be measured by their Weighted- Average-Life when determining allowable maturity limits . The weighted average duration of the investment portfolio shall not exceed 3.0 years.

(K) Authorized Investments of the City

The following types of investments are authorized by this Policy

1. U.S. Treasury Instruments. United States Treasury notes, bonds, bills, or certiﬁcates of indebtedness, or those for which the faith and credit of the United States are pledged for the payment of principal and interest. There is no limitation as to the p e r c e n t a g e o f t h e C i t y ' s p o r tf o l i o t h a t m a y b e i n v e s t e d i n this category. The maximum maturity for this investment is ﬁve years from the time of purchase.

2. State of California's Local Agency Investment Fund (LAIF). A State of California- managed investment pool. The maximum amount invested in this category may not exceed the limit set by LAIF for operating accounts. For 2025, that deposit limit is $75 million.

3. Local Government Investment Pools ("LGIP''). Shares of beneﬁcial interest issued by joint powers authority organized pursuant to Section 6509.7 that invests in the securities and obligations authorized in Government Code (e.g. Cal Trust, C A M P, CLASS). The City will limit investments to LGIPs that seek to maintain a stable net asset value. There is no limitation as to the percentage of the City's portfolio that

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may be invested in this category.

Purchases are limited to securities rated in a rating category of "A" (long- term) or "A-1" (short-term) or their equivalents or better by a Nationally Recognized Statistical Rating Organization (NRSRO). A maximum of 30% of the City's portfolio may be invested in this category. The maximum maturity for this investment is five years from the time of purchase.

5. Federal Agency Securities. Federal agency or United States government- sponsored enterprise obligations, participations, or other instruments, including those issued by or fully guaranteed as to principal and interest by federal agencies or United States government -sponsored enterprises. There is no limitation as to the percentage of the City's portfolio that may be invested in this category. The maximum maturity for this investment is ﬁve years from the time of purchase. The maturity of Agency mortgage-backed or asset-backed securities shall measured by Weighted-Average-Life (WAL), which is not to exceed 5 years.

6. Negotiable Certiﬁcates of Deposit. Negotiable certiﬁcates of deposit issued by a nationally or state-chartered bank, a savings association or a federal association, a state or federal credit union, or by a federally licensed or state-licensed branch of a foreign bank. Securities in this category shall be limited to the maximum amount covered by federal deposit insurance currently set at $250,000. A maximum of 30% of the City's portfolio may be invested in this category. The maximum maturity for this investment is ﬁve years from the time of purchase.

1. The entity meets the following criteria: (A) Is organized and operating

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Purchases are limited to securities that have a maximum maturity of 270 days. A maximum of 25% of the City’s portfolio may be invested in this category with a maximum of 5% per issuer.

8. Corporate or Medium-Term Notes. Corporate or medium-term notes, deﬁned as all corporate and depository institution debt securities with a maximum remaining maturity of ﬁve years or less, issued by corporations organized and operating within the United States or by depository institutio ns licensed by the United States or any state and operating within the United States. Purchases are limited to securities rated in a rating category of "A" or its equivalent or better by an NRSRO. A maximum of 30% of the City's portfolio may be invested in this category with a maximum of 10% per issuer.

9. Money Market Funds ("MMF"). Purchases are restricted to Government Money Market Funds. Furthermore, these Money Market Funds must have met either of the following criteria: (A) Attained the highest ranking or the highest letter and numerical rating provided by not less than two NRSROs, or (B) Retained an investment advisor with not less than ﬁve years' experience and registered or exempt from registration with the SEC, with assets under management in excess of ﬁve hundred million dollars ($500,000,000). A maximum of 20% of the City's portfolio may be invested in this category.

10. Supranational Obligations. United States dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development, International Finance Corporation, or Inter -American Development Bank, with a ma ximum remaining maturity of ﬁve years or less, and eligible for purchase and sale within the United States. Investments under this subdivision shall be rated in a rating category of "AA" or its equivalent or better by a NRSRO. A maximum of 10% the City's portfolio may be invested in this category with a maximum of 5% per issuer. State law limits the percentage to 30% of the portfolio.

11. Bankers Acceptances. Bankers’ acceptances are short-term debt instruments issued by a company that is guaranteed by a commercial bank. Banker Acceptances are

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limited to institutions with short- term debt obligations of A -1 or higher and have long term debt obligations rated “A” or higher, or the equivalent by an NRSRO. The maturity shall not exceed 180 days and no more than 30% of the total portfolio may be invested in Bankers’ Acceptances and no more than 5% per issuer.

12. Deposits Placed Through a Private Sector Entity. The City may invest in Certificates of Deposit placed through a deposit placement service that uses a private sector entity to place deposits with eligible depository institutions. These placements are subject to the following limitations:
• All deposits must be fully insured by the Federal Deposit Insurance Corporation (FDIC) or the National Credit Union Share Insurance Fund (NCUSIF).
• The City may invest up to 50% of its surplus funds in such deposits through January 1, 2031.
• Beginning January 1, 2031, the investment limit will revert to 30% of surplus funds, unless otherwise amended by law.
• The placement service and the participating ﬁnancial institutions must provide documentation verifying the full insurance of the deposits

13. Asset-Backed, Mortgage-Backed, Mortgage Pass-Through securities and Collateralized Mortgage Obligations. A mortgage passthrough security, collateralized mortgage obligation, mortgage- backed or other pay-through bond, equipment lease-backed certiﬁcate, consumer receivable passthrough certiﬁcate, or consumer receivable-backed bond with a maximum remaining maturity of ﬁve years or less as measured by Weighted-Average Life (WAL). Securities shall be rated in a rating category of “AA” or its equivalent or better by an NRSRO. No more than 20 percent of the market value of the City's investment portfolio shall be invested in this category.

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City of San Bernardino Authorized Investment Policy Stable

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(L) Prohibited Investments

Furthermore, the City will not invest in inverse floaters, range notes, interest-only strips, or any security that could result in zero interest accrual if held to maturity.

In order to anticipate market changes and provide a level of security for all funds, the collateralization level will 100% of market value for Certificate of Deposits and 102% for reverse purchase agreements or principal and accrued interest. Collateral will always be held by an independent third party with whom the entity has a current custodial relationship

(M) Performance Standards

Investment return is a consideration only after the core investment portfolio tenets of safety and liquidity have been met. The Director of Finance will adopt a benchmark which best approximates the composition and weighted average maturity of the City's portfolio. The City will monitor the City's portfolio yield against the US Treasury
Constant Maturity and the performance yield presented by LAIF. However, the benchmark will be used only as a reference tool and does not infer that the portfolio
will be managed in an attempt to attain or exceed the stated benchmark.

Benchmarks may change over time based on changes in market conditions or cash flow requirements. The selected performance
benchmarks shall be representative of
the City's overall investment objectives and liquidity requirements.

(N) Investment Reporting

The report will include the following elements:
• Type of investment
• Institution/Issuer
• Purchase Date

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All data shall be maintained by the Investment Advisor for record -keeping purposes. If a structured security is reported to have a weighted -average-life greater than 5 years, it shall be flagged for immediate discussion with both the City and Investment Advisor to determine if the security shall be held or liquidated, depending on underlying risk and broader market conditions. Notwithstanding the aforementioned process, any security with a weighted -average-life greater than 4 years shall be monitored on a monthly basis to note any reporting trends.

(O) Portfolio Review

The Director of Finance shall continually monitor portfolio performance to ensure that
the securities in the portfolio are in compliance with this Policy. The Director of

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(P) Debt Proceeds

(Q) Safe Keeping

All deliverable securities will be received and delivered using standard delivery -versus- payment procedures.

(R) Qualiﬁed Financial Institutions and Broker/Dealers

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The Director of Finance shall maintain a list of approved ﬁnancial institutions authorized to provide investment related services to the City. In addition, the City shall maintain a list of approved security broker/dealers selected by conducting a process of due diligence. These may include 'primary' dealers or regional dealers that qualify under Securities and Exchange Commission ("SEC") Rule 15C3-1 (uniform net capital rule). A copy of this Investment Policy shall be sent annually to all ﬁrms with which the City executes investments.

Additionally, all financial institutions and broker/dealers who desire to become qualified bidders of investment transactions must provide the Director of Finance with the following:

• Audited Financial Statements
• Proof of State Registration
• Copy of most recently ﬁled Financial Industry Regulated Authority (FINRA) documentation
• Certiﬁcation of having read the Investment Policy and depository contracts of the City of San Bernardino

(S) Continuing Education and Training

To ensure the highest level of professional standards for the execution of the investment program, investment staﬀ responsible for the day-to-day management of the portfolio are encouraged to engage in continuing education in the areas of cash and investment management.

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GLOSSARY

AGENCIES: Federal agency securities

BENCHMARK:

A comparative base for measuring the performance or risk tolerance of the investment portfolio. A benchmark should represent a close correlation to the level of risk and the average duration of the portfolio's investments

BROKER: A broker brings buyers and sellers together for a commission. He/she does not take a position.

CERTIFICATE OF DEPOSIT (CD): A time deposit with a specific maturity evidenced by a certificate.

Large-denomination CD's are typically negotiable.

COLLATERAL: Securities, evidence of deposit or other property, which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies.

COUPON: a) The annual interest that a bond’s issuer promises to pay the bondholder on the bond’s face value. b) A certificate attached to a bond evidencing interest due on a payment date.

DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions; buying and selling for his/her own account.

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DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent returns.

FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A Federal agency that insures bank deposits, currently up to $250,00 per deposit.

LOCAL GOVERNMENT INVESTMENT POOL (LGIP): The aggregate of all funds from political subdivisions that are placed in the custody of the State Treasurer for investment and reinvestment.

MARKET VALUE: The price at which a security is trading and could presumably be purchased or sold.

MATURITY: The date upon which the principal or stated value of an investment becomes due and payable.

MONEY MARKET: The market in which short-term debt instruments (bills, commercial paper, bankers’ acceptances, etc.) are issued and traded.

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market and are payable upon order to the bearer or initial depositor (investor). Negotiable CDs are insured by FDIC up to $250,000, but they are not collateralized beyond that amount.

PORTFOLIO: Collection of securities held by an investor.

RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity; on a bond, the current income return.

SAFEKEEPING: The service provided by banks and trust companies for clients when the bank or trust company stores the securities, takes in coupon payments, and redeems issues at maturity.

SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protected investors in securities transactions by administrating securities legislation.

SEC RULE 150-1: See “Uniform Net Capital Rule”.

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TREASURY BILLS: A non-interest bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months, or one year.

TREASURY BOND: Long-term U.S. Treasury securities having initial maturities of more than 10 years.

TREASURY NOTES: Intermediate-term coupon bearing U.S. Treasury having initial maturities from one year to ten years.

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1 8

CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: November 5, 2025
To: Honorable Mayor and City Council Members
From: C. Jeannie Fortune, Interim Director of Finance and Management Services
Department: Finance & Management Services
Subject: Resolution to Approve the Recognized Obligation Payment Schedule (ROPS) 2026-27 A and B (All Wards)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, acting in its capacity as the Successor Agency to the Redevelopment Agency of the City of San Bernardino:

1. Adopt Resolution No. 2025-384 to Approve the Recognized Obligation Payment Schedule (ROPS) 26-27 A and B; and

2. Authorize the City Manager, as the Successor Agency’s Executive Director or designee,
a. Transmit the ROPS 26-27 A and B to the State Department of Finance and other designated agencies as prescribed by the California Health and Safety Code (HSC);
b. Make ministerial revisions to ROPS 26-27 A and B, which may include, but are not limited to restating the information included within ROPS 26-27 A and B in any format that may be requested by the State Department of Finance;
c. Take such other actions and execute such other documents as are necessary to effectuate the ROPS; and
d. Implement ROPS 26-27 A and B on behalf of the Successor Agency, including authorizing and causing such payments as authorized by ROPS 26-27 A and B.

City Manager's Comments

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Executive Summary
Approval of the ROPS is necessary to fulfill the statutory obligations of the former Redevelopment Agency of the City of San Bernardino, as required under California's Health and Safety Code and meet its outstanding financial commitments. There is no impact to the City’s General Fund, as the payments under the ROPS will be made through the Redevelopment Property Tax Trust Fund (RPTTF). The City Manager, acting as Executive Director, is also authorized to transmit the ROPS, make revisions, and implement the approved schedule.

Background
Pursuant to Health and Safety Code (the “HSC”) §34172 (a)(1), the Redevelopment Agency of the City of San Bernardino was dissolved on February 1, 2012. Consistent with the provisions of the HSC, on January 9, 2012, the Mayor and City Council of the City of San Bernardino elected to serve in the capacity of the Successor Agency to the Redevelopment Agency of the City of San Bernardino (the “Successor Agency”). As part of the dissolution process, successor agencies must annually submit a Recognized Obligation Payment Schedule (ROPS), listing all enforceable obligations for the upcoming fiscal year. The ROPS outlines obligations such as bond payments, loan repayments, project contracts, and other enforceable financial commitments.

Failure to submit or comply with ROPS requirements could result in penalties, including the withholding of property tax revenues that fund these obligations.

The San Bernardino County Wide Oversight Board (the “CWOB”) was established effective July 1, 2018, pursuant to HSC §34179(j) to assist in the wind-down of dissolved redevelopment agencies within the County of San Bernardino. All of the local oversight boards in California were dissolved on June 30, 2018, by operation of law Discussion
Per HSC § 34177 (o)(1), the Successor Agency is required to prepare a Recognized Obligation Payment Schedule (the “ROPS”) before each twelve-month fiscal year period. Pursuant to HSC § 34180 (g), CWOB approval is required for the establishment of each ROPS. HSC § 34177 (o)(1), requires that the Successor Agency submit a CWOB-approved ROPS 26-27 A and B for the period of July 2026 through June 2027 to the State Department of Finance (the “DOF”), State Controller’s Office and the County Auditor-Controller no later than February 1, 2026 (the “Submission Deadline”).

The ROPS includes a detailed list of enforceable obligations, such as:
Bond Debt Service Payments - The redevelopment agency issued bonds to fund large-scale infrastructure and development projects. These bonds still require repayment through property tax increment revenues that are now administered through the RPTTF.
Administrative Costs – The Successor Agency is entitled to receive a portion of the RPTTF to cover administrative costs associated with winding down the agency’s activities. The ROPS attachment includes a detailed description of these costs.

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Following approval by the Mayor and City Council of the City of San Bernardino, California, acting in its capacity as the Successor Agency to the Redevelopment Agency of the City of San Bernardino, the Countywide Overside Board will consider approval of the Successor Agency’s ROPS 26-27 A and B on December 6, 2025, after which, will be sent to the Department of Finance prior to February 1, 2026. 2021-2025 Strategic Targets and Goals
Approval of the ROPS 2026-27 aligns with Key Target No. 1: Improved Operational & Financial Capacity by ensuring that the financial and administrative requirements to dissolve the former redevelopment agency are completed in accordance with all relevant statutes
Fiscal Impact
As this is a Successor Agency action, there is no direct fiscal impact to the General Fund from this action. The total enforceable obligations expected to be paid primarily by the Redevelopment Property Tax Trust Fund (RPTTF) are $2,669,476.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, acting in its capacity as the Successor Agency to the Redevelopment Agency of the City of San Bernardino:

1. Adopt Resolution No. 2025-384 to Approve the Recognized Obligation Payment Schedule (ROPS) 26-27 A and B; and

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Ward:

All Wards
Synopsis of Previous Council Actions:

The Successor Agency considers the adoption of the ROPS annually. ROPS 26-27 represents the fifteenth (15th) fiscal year for the winding down of the former redevelopment agency activities.

CC: Eric Levitt, City Manager

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Resolution No. 2025-384
Resolution 2025-384
November 5, 2025

Page 1 of 3 ends

RESOLUTION NO. 2025-384

RESOLUTION OF THE MAYOR AND CITY COUNCIL

OF THE CITY OF SAN BERNARDINO ACTING AS

THE SUCCESSOR AGENCY TO THE FORMER

REDEVELOPMENT AGENCY OF THE CITY OF SAN

BERNARDINO APPROVING RECOGNIZED
OBLIGATION PAYMENT SCHEDULE 2026-27 A AND
B, FOR THE PERIOD OF JULY 1, 2026 THROUGH
JUNE 30, 2027 AND APPROVING CERTAIN
RELATED ACTIONS.

WHEREAS, pursuant to Health and Safety Code (the "HSC") § 34172 (a)(l),the Redevelopment Agency of the City of San Bernardino was dissolved February 1, 2012; and WHEREAS, consistent with the provisions of the HSC, on January 9, 2012 the Mayor and City Council of the City of San Bernardino elected to serve in the capacity of the Successor Agency to the Redevelopment Agency of the City of San Bernardino (the "Successor Agency"); and WHEREAS, pursuant to HSC §34179(j) the San Bernardino County Wide Oversight Board (the “CWOB”) was established effective July 1, 2018 to assist in the wind- down of dissolved redevelopment agencies within the County of San Bernardino; and WHEREAS, per HSC § 34177 (o)(1), the Successor Agency is required to prepare a Recognized Obligation Payment Schedule (the “ROPS”) before each twelve- month fiscal year period. ROPS is the basis for the Successor Agency's authority to make payments; and WHEREAS, pursuant to HSC § 34180 (g), CWOB approval is required for the establishment of each ROPS; and
WHEREAS, per HSC § 34177 (o)(1), requires that the Successor Agency submit a CWOB-approved ROPS 26-27 A and B for the period of July 2026 through June 2027 to the State Department of Finance (the “DOF”), State Controller’s Office and the County Auditor-Controller no later than February 1, 2026 (the “Submission Deadline”); and WHEREAS, the ROPS 2026-27 A and B, which is appended to this Resolution as Exhibit "A."

BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF CITY OF SAN

BERNARDINO ACTING AS THE SUCCESSOR AGENCY TO THE FORMER REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AS FOLLOWS:

SECTION 1. The above recitals are true and correct and are incorporated herein by this reference.

SECTION 2. The Successor Agency’s ROPS 2026- 27 A and B for the period of July 1, 2026 through June 30, 2027, which is attached hereto as Exhibit “A” is approved, inclusive of each enforceable obligation.

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Resolution No. 2025-384
Resolution 2025-384
November 5, 2025

Page 2 of 3 ends

SECTION 3. The City Manager, as Executive Director of the Successor Agency, or designee, is hereby authorized and directed to a) implement ROPS 2026-27 A and B on behalf of the Successor Agency; and b) take such necessary actions and execute such documents as are necessary to effectuate the intent of this Resolution, inclusive of authorizing ministerial revisions to the Successor Agency's ROPS 2026-27 A and B.

SECTION 4. That the Mayor and City Council finds this Resolution is not subject to the California Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty, as in this case, 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.

SECTION 5. Severability. If any provision of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications, and to this end the provisions of this Resolution are declared to be severable.

SECTION 6. Effective Date. This Resolution shall become effective immediately.

APPROVED and ADOPTED by the City Council and signed by the Mayor and attested by the City Clerk this 5
th day of November 2025.

Helen Tran, Mayor
City of San Bernardino

Attest:

Telicia Lopez, CMC, City Clerk

Approved as to form:

Sonia Carvalho, City Attorney

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Resolution No. 2025-384
Resolution 2025-384
November 5, 2025

Page 3 of 3 ends

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss

CITY OF SAN BERNARDINO )

I, Telicia Lopez, CMC, City Clerk, hereby certify that the attached is a true copy of Resolution No. 2025-384, adopted at a regular meeting held on the 5 th day of November 2025 by
the following vote:

Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
KNAUS _____ _____ _______ _______
FLORES _____ _____ _______ _______
ORTIZ _____ _____ _______ _______

WITNESS my hand and official seal of the City of San Bernardino this ___ day of ____________ 2025.

Telicia Lopez, CMC, City Clerk

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A B C D E F G H
Reserve Balance Other Funds RPTTF
Bonds issued on or
before 12/31/10
Bonds issued on or
after 01/01/11
Prior ROPS RPTTF
and Reserve
Balances retained for
future period(s)
Rent,
Grants,
Interest, etc.

Non-Admin
and
Admin
1 Beginning Available Cash Balance (Actual 07/01/23)
RPTTF amount should exclude "A" period distribution amount 9,436,663 0 0 0 468,804 Cell C-1 is the ending Cash Balance with Fiscal Agent (FY2022-23 Annual Comprehensive Financial Report-ACFR), p-41, which represents the beginning cash balance for FY2023-24. G-1 represents prior period adjustments from 2020- 21 ($468,804), 2021-22 (1,681,696) & 2022-23 (1,622,673). 2 Revenue/Income (Actual 06/30/24)
RPTTF amount should tie to the ROPS 23-24 total distribution from the County Auditor-Controller
0 0 0 0 9,483,763 Cell F-2 represents interest earnings on idle Successor funds, already reprogrammed in future ROPS. The amount shown in Cell G-2 equals the RPTTF approved for distribution in the determination letter for ROPS 23-24. actual revenues record for FY2023-24 are $6,683,599 (2023-24 ACFR, p.42) 3 Expenditures for ROPS 23-24 Enforceable Obligations
(Actual 06/30/24)
97,124 0 124,450 0 9,709,484 Cell C-3 represents the amount of bond proceeds used to pay RPTTF obligations. Cell G-3 represents the expenditures from RPTTF for ROPS 23-24. 4 Retention of Available Cash Balance (Actual 06/30/24) RPTTF amount retained should only include the amounts
distributed as reserve for future period(s)
7,643,940 0 0 0 Cell C-4 is the ending Cash Balance with Fiscal Agent (FY2023-24 Annual Comprehensive Financial Report-ACFR), p-41. Cell G-4 would represent the sum of any unused RPTTF from the following periods: ROPS 24-25 (21-22 PPA) of $1,682,696) and ROPS 2025-26 (PPA 22-23) of $1,622,673. 5 ROPS 23-24 RPTTF Prior Period Adjustment
RPTTF amount should tie to the Agency's ROPS 23-24 PPA
form submitted to the CAC
1,622,673
Cell G-4 would represent the PPA for ROPS 2024-25.
6 Ending Actual Available Cash Balance (06/30/24)
C to F = (1 + 2 - 3 - 4), G = (1 + 2 - 3 - 4 - 5) 1,695,599$ 0$ (124,450)$ 0$ (1,379,590)$ No entry required
Successor Agency of the City of San Bernardino Recognized Obligation Payment Schedule (ROPS 26-27) - Report of Cash Balances July 1, 2023 through June 30, 2024
(Report Amounts in Whole Dollars)

ROPS 23-24 Cash Balances
(07/01/23 - 06/30/24)
Fund Sources
Comments
Bond Proceeds

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Successor Agency: Successor Agency to the Redevelopment Agency of the City of San Bernardino County: San Bernardino
Current Period Requested Funding for Enforceable Obligations (ROPS Detail) 26-27 A Total
(July - December)
26-27 B Total
(January - June) ROPS 26-27 Total
A Enforceable Obligations Funded as Follows (B+C+D): -$ -$ -$ B Bond Proceeds - - - C Reserve Balance - - - D Other Funds - - - E Redevelopment Property Tax Trust Fund (RPTTF) (F+G): 2,546,719$ 122,757$ 2,669,476$ F RPTTF 2,512,742 119,242 2,631,984 G Administrative RPTTF 33,977 3,515 37,492 H Current Period Enforceable Obligations (A+E): 2,546,719$ 122,757$ 2,669,476$ Certification of Oversight Board Chairman: David Wert Chairman Pursuant to Section 34177 (o) of the Health and Safety Code, I hereby certify that the above is a true and accurate Recognized Obligation Payment Schedule for the above named successor agency. Signature Date
Recognized Obligation Payment Schedule (ROPS 26-27) - Summary Filed for the July 1, 2026 through June 30, 2027 Period

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A B C D E F G H I J K L M N O P Q R S T U V W
Bond Proceeds Reserve Balance Other Funds RPTTF Admin RPTTF Bond Proceeds Reserve Balance Other Funds RPTTF Admin RPTTF 14,545,202$ 2,669,476$ -$ -$ -$ 2,512,742$ 33,977$ 2,546,719$ -$ -$ -$ 119,242$ 3,515$ 122,757$ 8 2005A TABs Bonds Issued On or
Before 12/31/10 9/22/2005 10/1/2025 US Bank SC, CCN, SEIP, NW, TRI, UP and SV Projects All -$ Y -$ -$ -$ 9 2005B TABs Bonds Issued On or
Before 12/31/10 9/22/2005 10/1/2025 US Bank SC, CCN, SEIP, NW, TRI, UP and SV Projects All -$ Y -$ -$ -$ 12 1995H Highland Lutheran SR
Housing
Revenue Bonds
Issued On or Before
12/31/10
7/1/1995 7/1/2025 US Bank Sr Housing Complex All
-$ Y -$ -$ -$ 13 1995R Casa Ramona Sr Housing
Revenue Bonds
Issued On or Before
12/31/10
6/19/1995 7/1/2025 US Bank Ramona Sr Housing Complex All -$ Y -$ -$ -$ 30 PERS - Unfunded Pension
Obligation Unfunded Liabilities 6/30/2010 12/1/2031 CalPERS The amount of the unfunded
pension obligation was
established by Cal PERS
All
7,218,213 N 929,362$ 929,362 929,362$ -$ 31 Retiree Health Benefit Miscellaneous 6/23/2005 12/1/2031 Various Retired Employees
Retiree Supplemental Health
Benefit per Agency Policy All 381,780 N 37,616$ 18,808 18,808$ 18,808 18,808$ 32 Successor Agency Admin. Admin Costs 2/1/2012 6/30/2026 Various Employees & Vendors
Various admin activities in
support of the dissolution of the
former RDA (equals 3% of excel
Cell N-6)
All
244,190 N 37,492$ 33,977 33,977$ 3,515 3,515$ 84 Securities Servicing Fees 3/2/1998 4/1/2030 US Bank Securities Servicing of all Bonds All 106,140 N 20,000$ 8,000 8,000$ 12,000 12,000$ 96 Reimbursement Agreement for
Debt Service on 1999 COPs
Bonds Issued On or
Before 12/31/10 9/1/2024 9/1/2024 City of San Bernardino Reimbursement for Debt
Service for 1999 COPs (201
Bldg. & South Valle)
All
- Y -$ -$ -$ 120 Continuing Disclosure Services Professional Services 10/1/2012 12/1/2031 Urban Futures, Inc.

Continuing Disclosure Services
for 2005A, 2005B, 2016, and
2021
All
53,000 N 5,000$ -$ 5,000 5,000$ 125 2016 Refunding TABs (Interest
Portion Only)
Refunding Bonds
Issued After 6/27/12 3/23/2016 12/1/2031 US Bank
Refunding TABs of the 1998B,
2002, 2002A and 2006 TABs
and the 2010 and 2011 EB-5
Notes
All
354,775 164,975$ 94,925 94,925$ 70,050 70,050$ 126 2016 Refunding TABs (Principal
Reduction Portion Only)
Refunding Bonds
Issued After 6/27/12 3/23/2016 12/1/2031 US Bank
Refunding TABs of the 1998B,
2002, 2002A and 2006 TABs
and the 2010 and 2011 EB-5
Notes
All
4,260,000 995,000$ 995,000 995,000$ - -$ 134 2021 Refunding TABs (Interest
and Principal Portion)
Refunding Bonds
Issued After 6/27/12 6/23/2021 10/1/2029 US Bank Refunding TABs of the 2010A All 1,927,104 480,031$ 466,647 466,647$ 13,384 13,384$ -$ -$ -$
City of San Bernardino Recognized Obligation Payment Schedule (ROPS 26-27) - ROPS Detail July 1, 2026 through June 30, 2027
(Report Amounts in Whole Dollars)
Item # Project Name/Debt Obligation Obligation Type Contract/Agreement Execution Date
Contract/Agreement
Termination Date Payee Description/Project Scope Project Area Total
Outstanding
Debt or
Obligation
26-27 B
TotalRetired ROPS 26-27
Total
26-27 A (July - December)
Fund Sources 26-27 A
Total
26-27 B (January - June)
Fund Sources

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Item # Notes/Comments
(Successor Agency Name) Recognized Obligation Payment Schedule (ROPS 26-27) - Notes July 1, 2026 through June 30, 2027

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CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: November 5, 2025
To: Honorable Mayor and City Council Members
From: Andrea Russell, Director of Human Resources
Department: Human Resources
Subject: Approve Updates to the Memorandum of Understanding with the San Bernardino Police Officers’ Association (All Wards)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve updates to the Memorandum of Understanding (MOU) with the San Bernardino Police Officers’ Association (SBPOA) for Police Safety Employees.

City Manager's Comments
The City Manager recommends approval.

Executive Summary
Approval of the updates to the Memorandum of Understanding include corrections and clarifications to titles and other provisions in order to more accurately reflect the agreement that was negotiated and agreed to by the City and SBPOA.

Background
The California Meyers-Millias-Brown-Act (MMBA) requires the City to meet and confer, in good faith, with its bargaining groups on all matters relating to employment conditions and employer-employee relations including but not limited to wages, hours, and other terms and conditions of employment.

The City has long recognized the San Bernardino Police Officers Association (SBPOA) as the authorized representative for Police Safety employees in matters related to wages, hours, and other terms and conditions of employment. The most recent Memorandum of Understanding (MOU) between the City and the SBPOA was adopted on August 6, 2025. Subsequent review identified language requiring clarification and correction. The parties have since met to address these revisions, and the updated MOU is now presented to the City Council for consideration and approval.

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Discussion
The San Bernardino Police Officers Association (SBPOA) Memorandum of Understanding (MOU) covers the period from July 1, 2025, through June 30, 2029. The updated agreement includes several language revisions intended to clarify existing provisions. The following summarizes the changes made:
Article II, Section 1: Language referencing a specific union was inadvertently added in error. This section has been restored to the original language from the prior MOU.
Article II, Section 2: The term “Union” was replaced with “Association.” Article II, Section 5: The title “Job Rep” was updated to “Board Rep,” and “Narcotics” was updated to “SIB.”
Article III, Section 5: Clarified provisions related to “On-Call,” updated position titles for Investigators and Supervisors to “P-2” and “P-3,” respectively, and clarified language regarding the Traffic Division.
Article III, Section 11: The term “Union” was changed to “Association.” Article V, Section 5: This section was inadvertently revised. The language has been restored to the original version, with the addition of the new 320-hour sell- back provision.
Article VII, Section 1: Corrected the term of the MOU. 2021-2025 Strategic Targets and Goals
Authorization of these agreements aligns with Key Target No. 2a: Focused, Aligned Leadership and Unified Community by building a culture that attracts, retains, and motivates the highest quality talent.

Fiscal Impact
There is no financial impact associated with updating various language in the MOU.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve updates to the Memorandum of Understanding (MOU) with the San Bernardino Police Officers’ Association (SBPOA) for Police Safety Employees.

Attachments
Attachment 1 – San Bernardino Police Officers’ Association Memorandum of Understanding.

Ward:

All Wards
Synopsis of Previous Council Actions:

August 6, 2025 The Mayor and City Council approved the Memorandum of Understanding between the City of San Bernardino and the San Bernardino Police Officers’ Association.

CC: Eric Levitt, City Manager

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POLICE SAFETY

EMPLOYEES

MEMORANDUM
OF

UNDERSTANDING

Made and Entered Into Between
The City of San Bernardino
And
The San Bernardino Police Officers’ Association

July 01, 2025, to June 30, 2029

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2 TABLE OF CONTENTS

Article/Section Title ___ NO.

Definition of Terms ..........................................................................................4

ARTICLE I Administration ............................................................................................. 6 Section 1 – Parties to MOU .............................................................................................. 6 Section 2 – Management Rights ...................................................................................... 6 Section 3 – Mutual Aid …………....................................................................................... 7 Section 4 – Employee Rights ........................................................................................... 7 Section 5 – Agency Personnel Rules & Uniform Policies ................................................. 7

ARTICLE II Employer-Employee Relations ................................................................... 8 Section 1 – Recognition.................................................................................................... 8 Section 2 – No Strike ………............................................................................................. 8 Section 3 – Payroll Deduction ……………........................................................................ 9 Section 4 – Grievance Procedure ..................................................................................... 9 Section 5 – Employee Representatives ………............................................................... 12 Section 6 – Investigation Rights ……………...…………………....................................... 13 Section 7 – Non-Discrimination ...................................................................................... 14 Section 8 – Personnel Files ............................................................................................ 14 Section 9 – Political Activities ..........................................................................................14 Section 10 – Use of City Resources ................................................................................. 14 Section 11 – Prospective Lawsuits ................................................................................... 15 Section 12 – Notice of Administrative leave …………….................................................... 15

ARTICLE III Compensation ………………….................................................................. 15 Section 1 – Salaries........................................................................................................ 15 Section 2 – PERS/ Retirement ....................................................................................... 16 Section 3 – Overtime …………....................................................................................... 17 Section 4 – Assignment to Higher Position ..................................................................... 18 Section 5 – On-Call/ Call-Back/ Standby ........................................................................ 19 Section 6 – Educational Incentive .................................................................................. 20 Section 7 – Court Fines ………………………………....................................................... 21 Section 8 – Special Skills Pay ..…………….................................................................... 21 Section 9 – Longevity Pay ……………………………………............................................ 23 Section 10 – Assistant Watch Commander ...................................................................... 24 Section 11 – Release Time ……………............................................................................ 24

ARTICLE IV Fringe Benefits …………………................................................................. 25 Section 1 – Health/ Life Insurance – Active Employees .................................................. 25 Section 2 – Uniform Allowance ……………………………............................................... 27 Section 3 – Deferred Compensation …………………..................................................... 27 Section 4 – Safety Equipment ………………………………………………....................... 27

ARTICLE V Leaves …………………............................................................................... 28

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3 Section 1 – Pre-Petition Leave Banks ............................................................................ 28 Section 2 – Vacation ……............................................................................................... 28 Section 3 – Holidays ………............................................................................................ 30 Section 4 – Sick Leave ................................................................................................... 31 Section 5 – Payment for Unused Sick Leave .................................................................. 32 Section 6 – Retiring Members ........................................................................................ 33 Section 7 – Injury Leave …............................................................................................. 33 Section 8 – Military Leave …........................................................................................... 33

ARTICLE VI Working Conditions …………………......................................................... 34 Section 1 – Work Schedules ………................................................................................ 34 Section 2 – Shift Change ……......................................................................................... 35 Section 3 – Probationary Period ……….......................................................................... 36 Section 4 – Seniority ...................................................................................................... 36 Section 5 – Reemployment ............................................................................................ 36 Section 6 – Physical Examinations ................................................................................. 36

ARTICLE VII General Provisions …………………........................................................... 36 Section 1 – Term ………………………........................................................................... 36 Section 2 – Notice of Intent to Reopen ........................................................................... 37 Section 3 – Recruitment Obligations .............................................................................. 37 Section 4 – Severability ………………………………..……….......................................... 37 Section 5 – Entire Agreement and Waiver Clause ……………….…................................ 37 Section 6 – Prevailing Benefits ....................................................................................... 38

SIGNATURE PAGE ………………………………………….…………………………………. 39

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4 DEFINITION OF TERMS

Administration: Any elected or appointed official of the City and any employee of the City whose job classification is Management or Confidential employee.

Appointing
Authority: The Chief of the San Bernardino Police Department. In the Chiefs absence, the Assistant Chief will be the appointing authority.

Appropriate
Unit: Those positions recognized as belonging to the unit covered by the terms of this MOU.

Association: The San Bernardino Police Officers' Association (SBPOA).

Break in Service: Refers to a voluntary or involuntary separation from employment with the City or Department, as applicable. An authorized leave of absence does not constitute a break in service.

Chief: The Chief of Police of the City of San Bernardino.

City: The City of San Bernardino.

Continuous
Service: Five-sixths (5/6) of the available compensable days within the 12 month period immediately preceding the date of the employee’s return to service. 217 days for employees working 8-hour shifts and 173 days for employees working 10-hour shifts.

Department: The San Bernardino Police Department.

Division: Any one of the major Divisions of the Department.

Employee: All Safety Personnel within the classifications in this appropriate unit.

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5 Employee
Organization: The San Bernardino Police Officers’ Association (SBPOA).

Employer: Shall include the City of San Bernardino, and the City of San Bernardino Police Department.

Mandatory and
Permissive: “Shall” is mandatory, “may” is permissive.

Memorandum of
Understanding
(MOU): Shall mean the contractual obligation between the City and the employees of the Unit.

Singular and Plural: The singular also includes the plural.

Tense: The present tense shall also include the past and the future.

Years of
Employment: Shall include all full-time services for the City of San Bernardino unless otherwise stated

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6 ARTICLE I

ADMINISTRATION

Section 1 – Parties to Memorandum of Understanding
The Memorandum of Understanding is made and entered into by and between the City of San Bernardino ("City") and the San Bernardino Police Officers Association (“Association”), in accordance with Government Code Sections 3500 et seq.

Section 2 – Management Rights
This MOU shall not be deemed to limit or curtail the City in any way in the exercise of the inherent and express rights, powers and authority which the City has prior to entering into this MOU, except to the extent that the provisions of the MOU specifically curtail or limit such rights, powers and authority.

Furthermore, the City retains all rights, powers and authority under City Charter, Ordinances, Resolutions, State and Federal law, and expressly and exclusively to:
• determine the mission of its constituent departments, commissions and boards; • set standards of selection for employment and promotion; • direct its employees;
• establish and enforce dress and grooming standards;
• maintain the efficiency of governmental operations;
• determine the methods, means, numbers and kinds of personnel by which government operations are to be conducted;
• determine the content and intent of job classifications; • determine methods of financing;
• determine style and/or types of City issued wearing apparel, equipment or technology to be used, provided that no such measures which threaten the safety of employees shall be adopted;
• determine and change the facilities, methods, technology, means, organizational structure, size and composition of the work force and allocate and assign work by which the City operations are to be conducted, provided however, that no such measures which threaten the safety of employees shall be adopted; • determine and change the number of work locations, relocations and types of operations, processes and materials to be used in carrying out all City functions, including but not limited to, the right to contract for or subcontract any work or operations of the City subject to all applicable meet and confer obligations; • assign work to and schedule employees in accordance with requirements as determined by the City; and establish and change work schedules and assignments as set forth in the MOU;
• establish and modify productivity and performance programs and standards; • layoff, discharge, suspend, demote, reprimand, withhold salary increases and benefits, except such as are mandated by City Charter, or otherwise discipline employees in accordance with the applicable law;
• establish employee performance standards, including but not limited to, quality and

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7 quantity standards;
• take necessary actions and carry out its mission in emergencies; and, exercise complete control and discretion over its organization and the technology of performing its work.

The City shall be free to exercise its rights under this provision without negotiation or challenge from the Association or employees except where it can be demonstrated that such exercise is contrary to law or a specific limitation placed upon the City in another Article of this Agreement. The City’s failure to exercise any right, prerogative, or function reserved to it or the exercise of any such right, prerogative, or function in a particular manner, shall not be considered a waiver of the City’s ability to exercise such rights, prerogatives, or functions or preclude the City from exercising the same in some other manner.

Section 3 – Mutual Aid
Nothing herein shall in any way be construed to limit the use of any public safety agency or any member in the fulfilling of mutual aid agreements with other jurisdictions or agencies, nor shall this article be construed in any way to limit any jurisdictional or interagency cooperation under any circumstances where such activity is indeed necessary or desirable by the jurisdictions or the agencies involved.

Section 4 – Employee Rights
Employees shall have all the rights, which may be exercised in accordance with state law, federal law, the Charter and applicable ordinances, resolutions, rules and regulations.

A. The right to form, join and participate in the activities of employee organizations of their own choosing for the purpose of representation on all matters of employer - employee relations.

B. The right to refuse to join or participate in the activities of employee organizations and the right to represent themselves individually in their employment relations with the City.

C. The right to be free from interference, intimidation, restraint, coercion, discrimination or reprisal by other employees, employee organizations, management or supervisors as a result of their exercise of rights indicated in (A) and (B) above.

Section 5 – Agency Personnel Rules and Uniform Policies It is understood and agreed that there exists within the City the “Civil Service Rules and Regulations for the Classified Service”; Resolution No. 10584, Establishing Uniform and Orderly methods of Communications Between the City and its Employees for the Purpose of Promoting Improved Employer-Employee Relations, as amended, and Resolution No. 10585, Adopting Rules and Regulations Relating to Employer Employee Relations, as amended.

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8 These documents will continue in effect, except for those provisions modified by the City Council in accordance with any applicable state or federal laws, orders, regulations, official instructions or policies. In the case of proposed changes by other than agreement, the City shall consult with the Association or meet and confer when required by statute. In cases of emergency, the Association and City will meet as soon as possible after the changes. In addition, the Association shall have the right to meet and consult with the City on any relevant employment Uniform Policies the City proposes to implement.

ARTICLE II

EMPLOYER-EMPLOYEE RELATIONS

Section 1 – Recognition
Formal recognition of the Association is acknowledged for purposes of meeting and conferring on wages, hours, working conditions and other terms and conditions of employment and of general representation of its members. The Association has been recognized formally as the majority representative of the appropriate unit composed of Police Officers and other sworn, nonmanagement positions in the San Bernardino Police Department, including but not limited to, the following classifications. Police Officer; Corporal; Detective; and, Sergeant. These positions are recognized regardless of assignment, receipt of incentive pay or acting in a higher position.

Section 2 – No Strike
It is the purpose of this MOU for the parties hereto, to confirm and maintain the spirit of cooperation, which has existed between the City of San Bernardino and the employees of the City. It is recognized that adequate dispute resolution procedures exist to resolve differences and that any work disruptions are unproductive to City operations and services provided to its citizens. The Association and the City agree that they shall at no time in any way jeopardize the public health, welfare and safety of the City's business and residential communities. Thus, the Association and the City will strive to promote a harmonious relationship between the parties to this MOU that will result in benefits to the City and will provide continuous and uninterrupted employee services. It is, therefore, further agreed that the Association shall not, on behalf of itself and its members, individually or collectively, support or sanction or engage in any curtailment or restriction of work. Should any curtailment or restriction of work take place, paid leave benefits (sick leave, vacation, etc.) will not be available during such periods of time. The parties shall endeavor to discourage any such work disruptions or curtailment and shall make affirmative efforts to return employees to their jobs in the event that any such work disruption occurs.

Section 3 – Payroll Deduction
It is agreed that the Association membership dues, insurance and premiums for plans sponsored by the Association shall be deducted by the City from the pay warrant of each

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9 employee covered hereby who files with the City a written authorization requesting that such deduction be made. Remittance of the aggregate amount of all membership dues and insurance premiums deducted from the pay warrants of employees covered hereby shal l be made to the Association within 30 days after the conclusion of the month in which said membership dues and insurance premiums were deducted.

The Association acknowledges that it has and will continue to comply with all applicable requirements and laws pertaining to dues and other deductions. The City shall not be liable to the Association, employees or any other persons, financial or otherwise, by reason of the requirements of this section for the remittance of any sum other than that constituting actual deductions made from employee wages earned. The Association shall indemnify, defend and hold the City harmless from any and all claims, demands , suits, orders, judgments or other forms of liability that may arise out of, or by reason of, action taken by the City under this section.

Section 4 – Grievance Procedure
Purpose. The City of San Bernardino and the Association realize the importance of a viable grievance procedure to aid in the resolution of disputes among employees, supervisors and management. It is recognized that to maintain high employee morale and harmonious relations, an orderly method of processing grievances is necessary.

This procedure is intended to establish a systematic means to process a grievance and to obtain fair and proper answers and decisions regarding employee complaints. The representative of employees and management at all levels will make continuing efforts t o secure prompt disposition of grievances. Every effort should be made to resolve grievances in the informal process.

The initiation of a grievance in good faith by an employee shall not cast any adverse reflection on their standing with their supervisors or their loyalty as a City employee, nor be a reflection on the employee’s supervisor or the department involved, unless it is determined that such department or supervisor has grossly abused management discretion or the employee has grossly abused the grievance process.

A. Definition. A grievance is an alleged violation of the terms of this MOU or of the application of any laws, ordinances, practices, resolutions or regulations concerning or affecting wages, hours or other conditions of employment except as excluded in the following paragraph. The remedy selected by the employee shall be the sole and exclusive remedy pursued, either through the grievance procedure or through appeals to the Personnel Commission, as may be applicable. However, nothing herein shall be interpreted as relinquishment of the rights set forth in City of San Bernardino Charter Sections 253, 254, and 255.

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10 Additionally, allegations of discrimination and harassment shall be submitted to the Equal Employment Officer. Alleged violations of the Employer -Employee Relations Ordinance shall be processed through the procedure contained therein.

B. Representation. The aggrieved employee shall have the right to be represented. This representation may commence at any step in the grievance procedure. Legal counsel and/or official representatives of the recognized employee organization only can represent the employee. No person hearing a grievance need recognize more than one representative for any employee at any one time, unless they so desire. If the employee’s legal counsel is not from the formally recognized employee organization, a representative of that formally recognized organization may attend the grievance hearing to insure that the solution reached does not violate the terms of the MOU.

C. Consolidation of Grievances. In order to avoid the necessity of processing numerous similar grievances at one time, a single grievance may be filed or multiple grievances may be consolidated into a single grievance.

D. Time Limits. Time limitations are established to settle a grievance quickly. Time limits may be modified by agreements of the parties. If at any stage of the grievance procedures the grievant is dissatisfied with the decision rendered, it shall be the grievant’s responsibility to initiate the action, which submits the grievance to the next level of review. The grievant may proceed to the next step if a reviewing official does not respond within the time limits specified. A formal grievance may be entertained in or advanced to any step if the parties jointly so agree.

E. Steps in the Grievance Procedure. The procedures outlined herein constitute the informal and formal steps necessary to resolve an employee’s grievance. An attempt to settle the grievance in the informal structure at the employee-supervisor level is required. The grievance must be submitt ed to the informal step as soon as possible but in no event later than within thirty (30) working days of the incident causing the grievance or the grievant becoming aware of the event or act giving rise to the grievance. When a grievance is filed by (1) t he Association (as opposed to an individual), or (2) the matter complained of originated at the Police Chief’s level, the initial grievance shall be filed at Step 3, directly with the Chief of Police. If the grievance alleges a violation of law, a City uniform policy, ordinance, or resolution, the grievance shall be filed with the Human Resources Director.

Note. If the employee chooses to appeal disciplinary action to the Personnel Commission, they shall be precluded from filing a grievance or any other parallel appeal. The filing of a lawsuit during the grievance process shall automatically terminate the further processing of the grievance.

The date and the subject of the incident should be provided with the request for the informal meeting.

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11 1. Informal. Initially, the grieving employee shall on a personal face-to -face basis discuss their complaint with their immediate supervisor informally.

Within fifteen (15) calendar days, the supervisor shall give their decision to the employee orally.

2. Formal.

Step 1. Written Grievance to Supervisor . If a mutually acceptable solution has not been reached in the informal process, the employee shall submit the grievance in writing to their immediate supervisor. This must be accomplished within fifteen (15) calendar days of being informed of the supervisor’s informal decision. Within fifteen (15) working days of receiving the written notification of the employee’s grievance, the supervisor may meet with the employee and thoroughly discuss the grievance. The employee may appear personally and may be represented by a representative of their choice. In any event, the supervisor shall give a written decision to the employee within fifteen (15) calendar days after receipt of the written grievance.

Step 2. Meet with Division Head . If the grievance has not been satisfactorily resolved at this level, it may be appealed within fifteen (15) calendar days to the division head, who may follow the steps outlined in Step 1 above. In any event, the division head shall give a written decision to the employee within fifteen (15) calendar days after receipt of the grievance.

Step 3. Meet with Chief . If the grievance has not been satisfactorily resolved at this level, it may be appealed fifteen (15) calendar days to the Chief, who may follow the steps outlined in Step 2 above. In any event, the Chief shall give a written decision to the employee within ten (10) working days after receipt of the grievance. If the grievance has not been satisfactorily resolved at this level, it may be appealed within fifteen (15) calendar days to the Director of Human Resources.

Step 4. Review by the Director of Human Resources. If the grievance is still not adjusted, the aggrieved party may file a written appeal with the Director of Human Resources within fifteen (15) calendar days from the date of delivery of said answer. The Director of Human Resources or their designee shall meet with the employee, and if the employee desires, the designated Association representative within fifteen (15) calendar days after receipt of the appeal. The designated City representative shall deliver their answer in writing to the employee within fifteen (15) calendar days after the meeting.

Step 5. Final Step.

a. If the grievance is still not adjusted, the aggrieved party, with the agreement of the Association, may file a written appeal with

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12 the City Manager or their designated representative within fifteen (15) calendar days from the date of delivery of said answer stating in writing the facts and basis of the complaint and the desired result.

b. The grievance shall then be heard by a neutral hearing officer selected by the Parties from a list provided by the State Mediation and Conciliation Service whose decision shall be advisory to the City Manager. Grievances shall only be
advanced to advisory arbitration with the agreement of the Association. The cost for hearing all grievances advanced to an advisory arbitration hearing shall be split equally between the City and Association, including any cancellation fee if both parties are mutually responsible, otherwise the party
responsible shall pay the entire cancellation fee

c. The City Manager or their designated representative shall deliver their answer in writing within fifteen (15) calendar days after receipt of the hearing officer’s advisory decision.

d. The decision of the City Manager or their designated representative is final and binding on all parties, unless reversed by a court decision.

e. All grievances shall be treated as confidential, and no publicity will be given the final resolution of the grievances.

Section 5 – Employee Representatives
When requested by an employee, a SBPOA Board Representative ( Board Rep) may investigate any alleged grievance in the department and assist in its presentation. The representative shall be allowed reasonable time therefore during working hours without loss of time or pay, upon notification and approval of their immediate supervisor, with the concurrence of the division or department head. The privilege of a Board Rep to leave work during work hours without loss of time or pay is subject to the understanding that the time will be devoted to the proper handling of grievances and will not be abused. Such time shall be excluded in any computation of overtime. Board Reps will perform their regularly assigned work at all times, except when necessary to leave their work to handle grievances as provided herein. A Board Rep will not be granted time off or compensation for the purpose of handling grievances outside this unit. The Association shall notify the City of the names of each Board Rep each January. The City shall recognize a ratio of one (1) Board Rep for every 50 permanent employees in the unit, but not less than five (5). Board Reps shall include: One (1) from Detective Bureau; three (3) from Patrol; one (1) from MET/Traffic; and, one (1) from SIB.

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13 Section 6 – Investigation Rights
When an employee is under investigation and subjected to interrogation by their commanding officer or any other member of the department, which could lead to punitive action, such interrogation shall be conducted under the following conditions. For the purpose of this chapter, punitive action is defined as any action which may lead t o dismissal, demotion, suspension, reduction in salary, written reprimand or transfer for purposes of punishment.

The Police Department will make a good faith effort to conclude within 90 calendar days any investigation that could lead to discipline of a unit member.

For disciplinary appeals, the member may request that a neutral hearing officer hear the matter and submit a proposed decision to the City’s Personnel Commission. The Commission shall review the decision and recommended discipline, and either adopt the findings and the disciplinary action in its entirety, modify the recommended disciplinary action, and/or request additional findings from the hearing officer. The Commission shall retain jurisdiction of final disposition of the disciplinary action.

The Police Department will exclude disciplinary action, which is not final in preparing performance evaluations. However, the Police Department retains the right to consider such disciplinary action, once finalized, in subsequent performance evaluations, ratings for promotions and so forth.

If an employee on the graveyard shift wishes to appeal a disciplinary action to the Personnel Commission, the employee’s shift may be rescheduled to the day shift on the date of the Personnel Commission meeting, provided that the shift change is for the disciplined employee only and the employee requests the shift change in advance through the chain of command.

The City hereby adopts and incorporates herein by reference all provisions of the Public Safety Officers’ Procedural Bill of Rights (Government Code Section 3300, et. seq.).

Lawful Exercise of Rights; Insubordination; Administrative Appeal.

A. No employee shall be subjected to punitive action, or denied promotion, or be threatened with any such treatment because of the lawful exercise of the rights granted herein or the exercise of any rights under any existing administrative grievance.

Nothing in this section shall preclude a head of an agency from ordering an employee to cooperate with other agencies involved in criminal investigations. If an officer fails to comply with such an order, the agency may officially charge them with insubordination.

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14 B. No punitive action, nor denial of promotion on grounds other than merit, shall be undertaken by any public agency without providing the employee with an opportunity for administrative appeal.

Section 7 – Non-Discrimination
Neither the City nor the Association shall unlawfully discriminate against any employee because of race, color, ancestry, sex, sexual orientation, age, physical or mental disability, medical condition, national origin, political, religion, or any other basis as required by federal, state, or local law.

Section 8 – Personnel Files
No member shall have any comment adverse to their interest entered in their personnel file as described in PC 832.8, or any other files used for any personnel purposes by the employer, without the member having first read and signed the instrument containing the adverse comment indicating they are aware of such comment, except that such entry may be made if after reading such instrument, the member refuses to sign it. Should a member refuse to sign, that fact shall be noted on the document and signed or initialed by such officer.

A member shall have 30 days within which to file a written response to any adverse comment entered in their personnel file. Such written response shall be attached to and accompany the adverse comment.

In all instances other than a written warning or commendation, the consultation reports will be purged from the supervisor’s file in compliance with departmental standard operating procedures. Citizen/internal complaints will be purged from the Internal Af fairs files in compliance with the departmental Standard Operating Procedures.

Section 9 – Political Activities
Except as otherwise provided by law or whenever on duty or in uniform, no employee shall be prohibited from engaging in or be coerced or required to engage in political activity.

Section 10 – Use of City Resources
The Association may be granted permission to use department facilities for the purpose of meeting with employees to conduct its internal affairs provided space for such meetings can be made available without interfering with City needs. Permission to use facilities must be obtained by the Association from the Chief or a designated representativ e. The Association shall be held fully responsible for any damages to and the security of any facility that is used by the Association.

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15 The department will furnish adequate bulletin board space where currently available. Only areas designated by the appointing authority may be used for posting of notices. Bulletin boards may be used for the following notices.

A. Scheduled Association meetings, agenda and minutes;

B. Information on Association elections and results;

C. Information regarding Association special, recreational and related bulletins;

D. Reports of official business of the Association, including reports of committees or the Board of Directors;

E. MOU, pay scales, job announcements, promotion lists, etc.

Such other items as may be approved by the department management upon request of the department.

Posted notices shall not be obscene or defamatory, nor shall they advocate election or defeat of candidates for public office. All notices to be posted may be dated and signed by an authorized representative of the Association and should have prior written approval of the Chief or an authorized representative. Denial of approval shall not be arbitrary or capricious or discriminatory.

Section 11 – Prospective Lawsuits
The Association and City agree that prior to filing a lawsuit, they shall notify the other party of their intent and shall meet within thirty (30) days to attempt resolution of the matter in question with the intent of reaching a mutually acceptable solution.

Section 12 – Notice of Administrative Leave
The Association and City agree that notice shall be given to the POA by the Police Department the same day that an Association member is placed on administrative leave, or as soon as reasonably possible thereafter.

ARTICLE III

COMPENSATION

Section 1 – Salaries
Effective the first full pay period following August 1, 2025, the salary ranges for all unit members shall be increased by three percent (3%) to reflect a cost-of-living increase (COLA).

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16 Effective the first full pay period following January 1, 2026, the salary ranges for all unit members shall be increased by two and twenty hundredths of a percent (2.2%).

Effective the first full pay period following July 1, 2026, the salary ranges for all unit members shall be increased by three percent (3%).

Effective the first full pay period following July 1, 2027, the salary ranges for all unit members shall be increased by three percent (3%).

Effective the first full pay period following July 1, 2028, the salary ranges for all unit members shall be increased by three and one half percent (3.5%).

Section 2 – PERS/ Retirement
A. Retirement Benefits. SBPOA members are provided retirement benefits under the Public Employee’s Retirement System (CalPERS) as follows.

Tier I: Employees hired prior to September 1, 2011 shall receive a 3% @ 50 retirement benefit;

Tier II: CalPERS "Classic Members": hired on or after September 1, 2011 shall receive a 3% @ 55 retirement benefit;

Tier Ill: CalPERS "New Members" hired on or after January 1, 2013 and December 31, 2015 shall receive a 2.7% @ 57 retirement benefit in accordance with the Public Employees’ Pension Reform Act of 2013 (PEPRA);

Tier IV: CalPERS “New Members” hired on or after January 1, 2016 shall receive a

2.5% @ 57 retirement benefit in accordance with PEPRA.

B. Required Bargaining Unit Member Contributions.

CalPERS classic members shall contribute 12% of compensation earnable as member contributions toward their retirements.

CalPERS “new members” shall contribute member contributions of 50% of the normal costs in accordance with Government Code § 7522.30.

C. In accordance with Government Code § 21624 and § 21635, the “post survivors retirement” benefit provided under the City’s contract with CalPERS shall be provided to all employees.

D. For Tier I and Tier II employees, the final compensation period will be single highest year as provided under the City’s contract with CalPERS.

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17 Section 3 – Overtime
A. Policy. It is the policy of the City to discourage overtime, except when necessitated by abnormal or unanticipated workload situations. The City has the right to require overtime to be worked as necessary. Consistent with this policy, the Chief will make every e ffort to assign overtime evenly among the employees with similar skills or assignments.

B. Definition. Overtime is defined as all compensable hours in excess of the regularly scheduled workday or 40 hours per week. All overtime shall be reported in increments of 15 minutes and is non-accumulative and non-payable when incurred in units of less than 15 minutes.

Notwithstanding the above, for those employees assigned to work a 3/12.5 weekly work schedule, overtime shall be defined as:

• All compensable hours in excess of 160 hours in a 28-day period, hereby adopted in accordance with Section 7(k) of the Fair Labor Standards Act, or

• All compensable hours in excess of an employee’s regularly scheduled workday except that in those weeks in which the employee is scheduled to work the 10- hour shift, overtime shall be paid for compensable hours in excess of 47.5 hours.

For payroll purposes, employees assigned to work a 3/12.5 weekly work schedule will be paid bi-weekly, with the 28-day work period being divided into two 14-calendar day pay periods: one pay period shall include 75 scheduled hours and the other 14- day calendar day pay period shall include 85 scheduled hours.

C. Compensation. An employee who works overtime authorized by the department shall be compensated at time-and-a-half. Payment for overtime shall be made on the first regular payday following the pay period in which overtime is worked, unless overtime compensation cannot be computed until some later date, in which case, overtime will be paid on the next regular payday aft er such computation can be made. The employee may decide that they be paid for the overtime or accumulate such overtime at time -and-a-half. Such determination must be made at the time the employee submits the overtime slip. Overtime compensation for details or assignments outside the normal budgetary process or that are funded through grant funds shall be compensated in cash. Payment for unused accumulated overtime shall be made upon termination, retirement or paid to the survivor upon death of the employee.

Accumulated overtime, placed in a compensatory time bank, shall not exceed 240 hours.

D. All accumulated compensatory time shall be paid to a unit member upon promotion of the member.

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18 Requests for use of accumulated overtime made fourteen (14) days in advance of the time requested, will be granted unless a public safety issue or serious deployment issue arises.

E. Daylight Savings Time. Employees required to work during daylight savings time when their shift is extended by one (1) hour (clocks are turned back one (1) hour) will not be compensated for that hour.

Employees required to work when their shift is reduced by one (1) hour (clocks are turned forward one (1) hour) will not be deducted one (1) hour of compensation time.

If employees are required to work beyond their standard end of shift, employees will be compensated at their normal overtime rate.

F. SBPOA members who work special events where the City has contracts with third parties to provide public safety services and where the third parties pay for the cost of such labor services shall be entitled to be paid an overtime rate of two times the member’s regular rate of pay provided the third party agrees. Such costs may include costs associated with workers’ compensation coverage, Medicare, CalPERS contributions and other expenses required by the SBPOA Memorandum of Understanding. The City and the SBP OA acknowledge that under no circumstance shall this provision result in any additional cost to the City.

G. To be eligible for double time for work performed under such third-party contracts, the third party must agree in writing to indemnify the City against all liabilities and injuries incurred solely from the event, event management, or as a result of actions of event staff.

H. Special Event shall mean any short-term event of less than 30 days where the services provided are outside of the normal scope of duties of the SBPOA as to providing routine police services to the City of San Bernardino. Special Events shall not include long-term contracts with third parties to provide services for more than 30 days.

Special Events shall not include contracts with third parties who are non-profit organizations.

Double time shall mean an increase in pay equal to two times the current regular rate of pay for the individual member assigned to the special event.

Section 4 – Assignment to Higher Position
An employee of the department temporarily acting in a position in a higher rank during periods of absence of the incumbent or during a vacancy in the position for more than ten (10) consecutive days shall receive the same step for the higher classification (e,g., 5th step

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19 detective would be paid 5th step sergeant) or 5% above their current compensation, whichever is greater. In no event shall the base salary exceed the top step of the higher classification in which the employee is acting. The Chief shall certify monthly as to the assignment and the period of time worked in the higher rank to validate entitlement to the higher salary.

Substantive addition of duties of a higher -level classification to an employee’s budgeted position should be considered for a classification study.

Employees in the Police Officer classification who are assigned as a Field Training Officer for one week or longer shall receive Field Training Officer pay. Such pay shall be equal to the difference between the top step of the Police Officer classification and the top step of the Detective/Corporal classification.

Section 5 – On-Call/Call-Back/Standbv
On-Call. All members are subject to being placed on-call, or held over, at the direction of the Chief or designee for any civil unrest, natural disaster or investigation. An employee placed in an "on-call / held over" status by Police Management will receive four (4) hours pay for all or any portion of a 24- hour day. On-call status shall start at the end of the employee's scheduled workday and at 0800 hours for employees on a scheduled day off.

A. Four (4) personnel will be placed in an on-call status for the purpose of homicide investigations. These personnel, consisting of three (3) P-2’s and one (1) P-3, will be compensated with one (1) hour of overtime, equal to time-and-a- half of their current rate of pay. Periods of time for on-call will be established by the department to coincide with the needs of the investigations division.

Effective the first full pay period following August 1, 2025, each assigned unit member (4 total) of the Traffic division who are placed on-call shall be compensated at time- and-a-half for each day they are placed on call, equivalent to 10 ½ hours of straight time per week.

Employees placed on- call are expected to remain available, be fit for duty, and respond in accordance with department requirements.

Whether or not the time an employee is on-call need be counted as compensable working time depends upon the employee's freedom while on-call, as defined by the Fair Labor Standards Act (FLSA).

B. Call-Back. For all unit members (other than Homicide or Motors personnel noted above), compensation for those called back after the end of their scheduled workday or for non-emergency situations on a day off (e.g. to correct a report) will be a one (1) hour minimum at time-and-a-half, as applicable.

Employees called back on an unanticipated, unscheduled basis on their scheduled day off for emergency situations (civil unrest, investigation, natural disaster) shall be

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20 eligible for a minimum of 3 hours of pay at the applicable rate (generally at 1.5x times).

This minimum shall only apply if the employee works less than three (3) hours. If an employee is called back under these conditions and work more than three (3) hours they shall be compensated for all hours actually worked at the appropriate rate.

C. Standby. In the event an employee is placed on standby for a court subpoena, the employee will receive three (3) hours' standby pay. If the employee is called to court and does not go beyond 1200 hours in that day, it will be considered part of the three (3) hours' standby. If the employee has to appear after the noon recess, any additional time will be added to the three (3) hours' standby. In cases where the subpoena is for 1330 hours or another time, the standby will start with the time stated on the subpoena.

In those cases where the subpoena is for 1330 or later, the employee's time will be computed at the amount of time between the time of the subpoena and 1700.

Employees will receive a half-hour (1/2) travel time for going to court.

If an employee works graveyard shift and has an 8: 00 a.m. court appearance; the employee will receive overtime pay for a minimum of one (1) hour. For all hours worked in excess of the one (1) hour, employees will receive overtime pay for actual time worked.

In the event the employee is required to pay parking fees, the employee will be reimbursed. If employees are required to stay through noon recess, they will be paid for the actual time worked.

Section 6 – Educational Incentive
All police officers shall be entitled to receive in addition to their regular salary and as may be appropriate, one of the levels of incentive payment as outlined below.

A. Two hundred dollars ($200) additional compensation per month shall be paid each police officer who has obtained a Peace Officer Standards Training (POST) Intermediate Certificate. Effective the first full pay period following January 1, 2026, the amount will be increased to two hundred and fifty dollars ($250). Effective the first full pay period following January 1, 2027, the amount will be increased to two hundred and seventy-five dollars ($275). Effective the first full pay period following January 1, 2028, the amount will be increased to three hundred and twenty -five dollars ($325).

Effective the first full pay period following January 1, 2029, the amount will be increased to three hundred and seventy-five dollars ($375); or,

B. Seven hundred dollars ($700) additional compensation per month shall be paid each employee who has obtained a POST Advanced Certificate. Effective the first full pay period following January 1, 2026, the amount will be increased to seven hundred and fifty dollars ($750). Effective the first full pay period following January 1, 2027, the amount will be increased to seven hundred and seventy-five dollars ($775). Effective the first full pay period following January 1, 2028, the amount will be increased to eight hundred and twenty -five dollars ($825). Effective the first full pay period following

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21 January 1, 2029, the amount will be increased to eight hundred and seventy -five dollars ($875); or,

C. Seven hundred and twenty -five dollars ($725) additional compensation per month shall be paid to each employee who has obtained a POST Supervisory Certificate.

Effective the first full pay period following January 1, 2026, the amount will be increased to seven hundred and seventy-five dollars ($775). Effective the first full pay period following January 1, 2027, the amount will be increased to eight hundred dollars ($800). Effective the first full pay period following January 1, 2028, the amount will be increased to eight hundred and fifty dollars ($8 50). Effective the first full pay period following January 1, 2029, the amount will be increased to nine hundred dollars ($900).

Section 7 – Court Fines
The City shall pay for court fines imposed upon each member as a result of their conviction of a traffic violation when such employee was directed to operate any faulty vehicle or vehicular equipment, which was the proximate cause of the mechanical or other traffic violation, provided that such violation did not result from improper or negligent operation of the vehicle on the part of the member.

Section 8 – Special Skills Pay
A. Bilingual Pay. Effective the first full pay period following each full-time employee who passes the City's bilingual proficiency exam shall be compensated as follows:
$171/month for police officers, $213/month for detectives/corporals and $241/month for sergeants. The City shall reserve the right to determine languages for which testing will be conducted.

B. Canine Pay . Effective the first full pay period following January 1, 2026, those assigned to Canine (Handlers and Coordinator) shall be paid a special assignment pay of $362/month for police officers, $446/month for corporals/detectives and $506/month for sergeants. Effective the first full pay period following January 1, 2027, Canine Handlers and Coordinator shall be paid a special assignment pay of $382/month for police officers, $466/month for corporals/detectives and $526/month for sergeants. Effectiv e the first full pay period following January 1, 2028, Canine Handlers and Coordinator shall be paid a special assignment pay of $ 412/month for police officers, $49 6/month for corporals/detectives and $55 6/month for sergeants.

Effective the first full pay period following January 1, 2029, Canine Coordinators shall be paid a special assignment pay of $ 432/month for police officers, $516/month for corporals/detectives and $576/month for sergeants.

C. Motors Pay. Motors shall be paid a special assignment pay of $342/month for police officers, $426/month for detectives/corporals and $486/month for sergeants.

D. SWAT Pay. Effective the first full pay period following January 1, 2026, members of

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22 the SWAT team shall be paid a special assignment pay of $191/month for police officers, $233/month for detectives/corporals and $261/month for sergeants. Effective the first full pay period following January 1, 2027, members of the SWAT team shall be paid a special assignment pay of $211/month for police officers, $253/month for detectives/corporals and $281/month for sergeants. Effective the first full pay period following January 1, 2028, members of the SWAT team shall be paid a special assignment pay of $241/month for police officers, $283/month for detectives/corporals and $311/month for sergeants. Effective the first full pay period following January 1, 2029, members of the SWAT team shall be paid a special assignment pay of $261/month for police officers, $303/month for detectives/corporals and $331/month for sergeants.

E. Mounted Unit Pay . Effective the first full pay period following January 1, 2026, employees in the Mounted Unit shall be paid a special assignment pay of $191/month for police officers, $233/month for detectives/corporals and $261/month for sergeants.

Effective the first full pay period following January 1, 2027, employees in the Mounted Unit shall be paid a special assignment pay of $211/month for police officers, $253/month for detectives/corporals and $281/month for sergeants. Effective the first full pay period following January 1, 2028, employees in the Mounted Unit shall be paid a special assignment pay of $241/month for police officers, $283/month for detectives/corporals and $311/month for sergeants. Effective the first full pay period following January 1, 2029, employees in the Mounted Unit shall be paid a special assignment pay of $261/month for police officers, $303/month for detectives/corporals and $331/month for sergeants.

Members of the Mounted Unit participating in special events (e.g. raves) shall be paid four (4) hours per deployment for horse maintenance, transportation, and readiness.

This time shall be accounted for as two (2) hours at the beginning of each deployment and two (2) hours at the conclusion of each deployment.

F. Drone Pay. Effective the first full pay period following January 1, 2026, employees assigned to Drone operations shall be paid a special assignment pay of $100/month for police officers, detectives/corporals and sergeants.

G. Shift Differential Pay. Effective the first full period following January 1, 2026, employees whose regularly assigned work shift starts at 5 p.m. or later, shall be paid shift differential pay of $181/month for police officers, $223/month for detectives/corporals and $251/month for sergeants. Effective the first full pay period following January 1, 2027, the amount will increase to $191/month for police officers, $233/month for detectives/corporals and $261/month for sergeants. Effective the first full pay period following January 1, 2028, the amount will increase to $201/month for police officers, $243/month for detectives/corporals and $271/month for sergeants.

Effective the first full pay period following January 1, 2029, the amount will increase to $211/ month for police officers, $253/month for detectives/corporals and $281/month for sergeants.

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23 Section 9 – Longevity Pay
Effective July 1, 2024, each employee with twenty (20) or more years of service to the City shall receive longevity pay of two hundred sixty-eight dollars ($268) per month.

Classic Members. Effective the first full pay period following January 1, 2026, each member with fifteen (15) years of completed service will receive $75 per month; each member with twenty years of completed service will receive $325 per month; and each member with twenty-five years of completed serv ice will receive $425 per month. This provision is to be phased out upon the retirement or separation from service of the last remaining eligible classic (Pre-PEPRA) member.

Effective the first full pay period following January 1, 2027, each member with fifteen (15) years of completed service will receive $100 per month; each member with twenty years of completed service will receive $350 per month; and each member with twenty -five years of completed service will receive $450 per month.

Effective the first full pay period following January 1, 2028, each member with fifteen (15) years of completed service will receive $125 per month; each member with twenty years of completed service will receive $375 per month; and each member with twenty -five years of completed service will receive $475 per month.

Effective the first full pay period following January 1, 2029, each member with fifteen (15) years of completed service will receive $150 per month; each member with twenty years of completed service will receive $400 per month; and each member with twenty -five years of completed service will receive $500 per month.

PEPRA members. Effective the first full pay period following January 1, 2028, a matching contribution on a 1-for -1 basis to a 457 (b) deferred comp plan will become effective when PEPRA Members (hired on or after January 1, 2013) become eligible. The City contribution given to each unit member will be up to the following matching amounts, only if the qualifying PEPRA member is making the same contributions to their 457 (b) account:
• fifteen years of completed service will receive up to $125 per month; or • twenty years of completed service will receive up to $375 per month; or • twenty-five years of completed service will receive up to $475 per month.

Effective the first full pay period following January 1, 2029, the City contribution given to each unit member will be up to the following matching amounts , only if the qualifying PEPRA member is making the same contributions to their 457 (b) account:
• fifteen years of completed service will receive up to $150 per month; or • twenty years of completed service will receive up to $400 per month; or • twenty-five years of completed service will receive up to $500 per month.

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24 Section 10 – Assistant Watch Commander
The Assistant Watch Commander position will be appointed at the discretion of the Chief of Police; they must meet the minimum qualifications established in the Lexipol Policy 1028.3.1.

The position will be for a period of one year unless otherwise reappointed; the employee can be selected to serve as Assistant Watch Commander more than once. The Assistant Watch Commander will serve under the discretion of the Assistant Chief. Compensation shall be $500 a month.

The Assistant Watch Commander position duties include: to serve as a lead over the unit, proactively identify and resolve customer service concerns, respond to employee complaints and/or conflicts, daily briefing training, incident command, addressing intra-agency quality control issues, demonstrate initiative in issue-spotting and problem -solving, effectively mediate and resolve conflict and ascertain potential problems in order to mitigate.

The individual in the Assistant Watch Commander position will be required to fulfill the above duties regularly and consistently through the term of the position.

Section 11 – Release Time
Effective following Council approval of the MOU, the POA shall be granted up to 300 hours of release time during regularly scheduled work hours to conduct Association business and engage in Association activities to include attending training, Association functions, conferences, meetings, and grievance investigations. Meeting and conferring or attendance at Board meetings and representational meetings (e.g. investigatory interviews, grievance meetings) with department or City representatives shall not be counter against these hours.

Release time shall not be used for fundraising, lobbying, other political activities, any activity that is not permitted by law or policy, or to pursue any action against or which discredits or does not align with the City’s interests.

Release time hours shall not be considered hours worked for purposes of calculating overtime pay. The department may deny requests that would result in overtime or minimum staffing not being met. Approval of release is subject to reasonable advance notice.

Release time has no cash value and expires at the end of the Fiscal Year (no carryover of hours).

City and department policy apply during release time. The City shall not be responsible for the conduct of any activities while on release time and the Association shall indemnify and hold the City harmless.

ARTICLE IV

FRINGE BENEFITS

Section 1 – Health/Life Insurance - Active Employees

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25 A. During the term of this agreement the City’s Contributions for Healthcare benefits shall be as follows:

The amount of the City’s contribution is based on the selection of the “medical” enrollment category. If an employee elects “employee only” medical coverage, then the “employee only” allowance is given to the employee. Any contribution not utilized by the employee shall revert to the City.

The City’s monthly contributions towards employees’ cafeteria benefits shall be as follows: $738.00 for employee only, $1,450.00 for employee plus one and $1,939 for Family coverage.

Employee Only Coverage. Effective at the beginning of the next health insurance premium adjustment following July 1, 2025, and each premium adjustment annually thereafter, the City shall continue to pay up to 100% of the cost of Employee Only coverage for the lowest cost plan (currently Kaiser) for the duration of the MOU. The City shall continue to contribute the amount of the lowest cost plan towards health premiums for employees who choose a higher cost plan for Employee Only coverage.

The employee shall continue to be responsible for paying the difference in premium costs for the higher cost plan.

Employee Plus One Coverage. Effective at the beginning of the next health insurance premium adjustment following July 1, 2025, and each premium adjustment annually thereafter, employees enrolled in Employee Plus One coverage shall pay up to the first $30 per month in premium increase of the lowest cost plan (currently Kaiser) each year that this Resolution is in effect. The same amount of increase shall apply each year to employees who choose the higher cost plan. That is, employees who choose the higher c ost plan for Employee +1 coverage shall also pay the same amount of increase, up to the maximum $30 per year increase, as employees in the lowest cost plan, in addition to any difference in cost between the higher cost plan and the lowest cost plan they are currently contributing.

Employee Plus Family Coverage. Effective at the beginning of the next health insurance premium adjustment following July 1, 2025, and each premium adjustment annually thereafter, employees enrolled in Employee Plus Family coverage shall pay up to the first $55 per month in premium inc reases of the lowest cost plan each year that this Agreement is in effect. The same amount of increase each year shall apply to employees who choose the higher cost plan. That is, employees who choose the higher cost plan for Employee +1 coverage shall al so pay the same amount of increase, up to the maximum $55 per year increase, as employees in the lowest cost plan in addition to any difference in cost between the higher cost plan and the lowest cost plan they are currently contributing.

B. Insurance benefits available for purchase by employees include: medical, dental, vision, supplemental life and accidental death and dismemberment insurance.

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26 However, City contributions cannot be used for any voluntary benefits offer ed to members through Colonial Life.

C. An employee must purchase insurance offered through the City in order to utilize the contributions described in Section A above.

D. Employees may use any of the amounts described in Section A to purchase any/all of the insurance benefits described in Section B.

E. The City shall provide each employee with $25,000 term life insurance and $25,000 Accidental Disability and Dismemberment (AD&D).

F. The City shall pay funeral expenses of up to $10,000 for a police officer killed in the line of duty.

G. Enrollment in City insurance plans is subject to the regulations availability established by each plan’s provider.

H. An employee who does not want to enroll in any health care plan offered by the City must provide evidence of health care insurance coverage and execute a “Waiver of Benefits and Release Agreement” releasing the City from any responsibility or liability to provide health care insurance coverage on an annual basis. Employees who elect to waive the City’s health care insurance may receive a stipend of $2,500 on the first pay period in December. Employees must be employed through the end of the last payroll period in November to qualify for this benefit. Unless hired during the benefit year, employees must participate in the program for the full 12 months to receive the full stipend. Employees on payroll on November 30th who were hired during the benefit year and did not work the entire 12-month period shall earn the stipend on a pro-rata basis. Employees who waived insurance benefits during Open Enrollment, but later requested to enroll in benefits prior to November 30th, will not be eligible for any portion of the stipend. Employees who elect to drop coverage mid-year are not eligible to participate in the stipend program.

I. The SBPOA agrees to participate in the City’s Joint Labor -Management Health Benefits Committee (“Committee”) to evaluate, on an annual basis, City -wide plan designs for health care. All plan designs and City contributions shall be effective on January 1st annually.

J. Employees must be in a paid status for fifteen (15) consecutive days, in any given month, to receive the benefits of this Article, unless the employee is on a qualifying approved leave, such as Family Medical Leave, and is eligible for benefit continuation under applicable State or Federal law. Members who have been suspended or discharged pending an administrative appeal shall be eligible for continuation of benefits pending final disposition of the disciplinary matter by the Personnel Commission.

Section 2 – Uniform Allowance

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27 Uniform Allowance. Each employee in the bargaining unit shall receive an annual uniform allowance of $950. Effective the first full pay period following January 1, 2026, each employee in the bargaining unit shall receive an annual uniform allowance of $1,050. Effective the first full pay period following January 1, 2027, each employee in the bargaining unit shall receive an annual uniform allowance of $1,150. Effective the first full pay period following January 1, 2028, each employee in the bargaining unit shall receive an annual uniform allowance of $1,250.

Such uniform allowance shall be paid on a bi-weekly basis.

New employees must wait until the completion of their first full year of service to begin receiving their annual uniform allowance.

Section 3 – Deferred Compensation
The City shall continue to sponsor a Deferred Compensation Plan, which shall be available to employees on a voluntary basis. Unspent "cafeteria" contributions may not be diverted into a deferred compensation or like plan.

Section 4 – Safety Equipment
A. New employees who are required to have safety equipment will be furnished same on a one-time basis, including safety equipment hardware, leather and safety vests.

B. The City shall furnish, for any new (after August 4, 2025) regularly-assigned motorcycle officers the following items as initial issue. (1) motor jacket; (1) safety helmet; (1) pair of boots; (2) pair of riding breeches, which are declared to be necessary for the safety of the officer as specified under Labor Code Section 6401 and Government Code Section 5008.1.

C. Replacements will be issued upon return of worn-out items. It shall be the duty of each employee to use normal diligence in their use and any willful damage or loss shall obligate the employee to replace the item at their expense. Upon reassignment or separation from the department, these items shall be returned to the City.

The City Director of Finance shall have direct control over the purchase, issue and replacement of the above-described items. The Chief shall certify in writing to the Director of Finance as to an individual's entitlement.

ARTICLE V
LEAVES

Section 1 – Pre-Petition Leave Banks

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28 The monetary value of all pre-petition leave bank accruals, including without limitation, vacation, sick leave, concession leave, and holiday leave, will be the subject of distribution as part of the bankruptcy unsecured creditors' pool. All leave balances accrued on or before August 1, 2012 (Pre-Pe tition Leave) shall be placed in the unsecured creditor pool and will not be available for cash-out (or the cash equivalent) by the SBPOA members. This position is consistent with the Recovery Plan adopted by the City Council on May 18, 2015. Under the City's Recovery Plan, all City employees are subject to these restrictions on pre- petition leaves. With the exception of post -petition vacation accrual, all post -petition leave accruals will be deferred pending the final approval and effective date of a Plan of Adjustment by the Bankruptcy Court. Any agreement reached by the parties as to the implementation of this section will be memorialized in a side letter.

Section 2 – Vacation
A. All employees within the bargaining unit covered by this MOU shall be entitled to annual paid vacations as follows:

Completed Years of
Continuous Service
Rate of Accrual Per Pay
Period
Equivalent Hours Per
Year

1 Year**

3.0769 hours 80 hours
5 Years

4.6153hours 120 hours
15 Years

6.1538 hours 160 hours
20 Years

7.6923 hours 200 hours

*Service year begins on initial date of employment in a full-time, regular status. ** No vacation granted or accrued if service is less than 1,040 paid hours.

B. When an employee resigns or otherwise leaves the service of the City and has not used his earned post -petition vacation, payment shall be made to the employee for the earned portion of his vacation.

Vacation leave will continue to accrue in accordance with Section A (above). Prior to the final approval and the effective date of the City's Plan of Adjustment by the Bankruptcy court, all post-petition vacation accruals shall be paid in accordance with Resolution 2014-158, adopted by the Mayor and City Council on June 16, 2014.

Calculation of payment earned vacation or deduction for unearned vacation upon termination shall be made in accordance with the wage rate in effect on the final day of employment.

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29 C. When an employee returns to work after a break in “continuous service,” and when such break in continuous service shall have been by leave of absence with approval of the Mayor and Common Council, vacation time shall not accrue during such break in continuous service but shall accrue monthly from the date of return to service from such approved leave of absence, based upon the total length of service of the employee.

D. Whenever the terms “years or years of employment” appear herein, it shall be deemed to include all services for the City of San Bernardino.

E. If an employee leaves the City service prior to the completion of the year in which they used such leave, a deduction will be made from such employee’s final paycheck for the unearned portion of such vacation. Employees shall not be allowed to use unearned vacation time.

F. Vacation credits may accrue and accumulate for a maximum of two (2) years’ total accumulated vacation credits on a carryover basis from year to year. Vacations or portions thereof from any one year so accrued may run consecutively with vacations or portions thereof of the next succeeding year, subject to approval of the Chief.

G. Compensation for vacation other than for earned vacation at the time of termination of employment shall be limited to the amount normally earned during regularly assigned working time.

H. Once per year, members of the bargaining unit will be granted the option of selling up to one-quarter (1/4) of their post-petition vacation and holidays to the City. The Chief will approve or disapprove a member's request for sellback. An eligible employee shall notify the City by July 1 of their request for sell back for the prior fiscal year ending June 30. The City shall compensate eligible employees on the first payday in September.

I. In the event that an employee is compensated for less than 50 percent of the total number of work hours in the pay period, they shall not accrue vacation hours for that period.

J. Approved vacation, sick leave, holiday or compensatory time off shall be considered as time worked for the purpose of Article V, Section (2) I.

Section 3 – Holidays
A. Employees shall be entitled to 11 City-designated holidays, the equivalent of 110 holiday hours each year, as listed below.

New Year's Day
Memorial Day
Independence Day
Juneteenth

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30 Labor Day
Veteran's Day (November 11)
Thanksgiving Day
Day after Thanksgiving
Christmas Eve
Christmas Day
New Year's Eve

Additionally, employees shall be entitled to one ten (10) hour floating holiday effective January 1 of each year. Only unit employees who have satisfactorily served in the employ of the City continuously for at least six (6) months in a full -time position shall be eligible to take floating holidays. Employees shall not be allowed to use unearned holiday time.

New hire employees who are hired by the City after January 1 of the calendar year shall receive a prorated number of floating holiday leave hours, at the rate of .8333 hours per month, based on their hire date. For example, a new employee hired on July 1 of a calendar year shall receive five (5) hours of floating holiday leave.

B. The Chief shall consider any request of any employee as to preference for taking floating holidays, provided however, the final right to allot the day to be observed is exclusively reserved to the Chief.

C. All full-time employees with the exception of those employees shown in the following paragraphs shall be allowed the above holidays at full pay when such holidays occur within the regular assigned working period, provided they are in a paid status during any portion of the working day immediately pre ceding or succeeding the holiday. If it becomes necessary for employees to work on any of the City-designated holidays, ten (10) hours shall be placed in their holiday account.

D. Upon separation from the City, employees shall be paid for 80% of their current holiday account balance.

E. Holidays as listed above shall be allowed on Monday, if any such holiday falls on Sunday, and shall be allowed on the preceding Friday, if any such holiday falls on Saturday, for all employees except those covered by other provisions herein. If the Christmas and New Year holidays occur on Mondays, these holidays and the holiday eves will be observed on Mondays and Tuesdays.

F. Employees may accrue a maximum of 120 hours in their holiday bank.

Section 4 – Sick Leave
A. Sick leave means absence from duty of an officer or employee because of illness or injury, exposure to contagious disease, attendance upon a member of their immediate family who is seriously ill or requires the care or attendance of an officer or employee, or death in the immediate family of the officer or employee. Immediate family means:
husband; wife; domestic partner; grandmother; grandfather; mother; father; sister;

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31 brother; son; daughter; mother -in-law; father -in-law; sister -in-law; brother -in-law; daughter-in-law; or son-in-law.

B. Not more than one-half (1/2) of an employee's annual sick leave accrual within any calendar year may be granted to an officer or employee for the care of or attendance upon members of their immediate family. Not more than 40 hours of sick leave may be granted to an officer or employee for each absence due to death of a member of their immediate family as defined above.

No absence due to illness or injury in excess of 40 hours shall be approved except after the presentation of satisfactory evidence of illness or injury; and, a certificate from a practicing physician or an authorized practicing chiropractor.

C. In order to receive compensation while absent on sick leave, the employee shall notify his immediate superior or the station commander prior to the time set for beginning his daily duties, or as may be specified by the Chief. When the absence is for more than one workday, the employee may be required to file a physician's certificate or a personal affidavit with the Director of Human Resources stating the cause of the absence.

D. Sick leave with pay shall be granted to all regular employees. Sick leave shall not be considered as a right, which an employee may use at their discretion, but shall be allowed only in case of necessity and actual personal sickness or disability, except as otherwise provided herein.

E. Whenever an employee is compensated hereunder for sick leave and has not had a vacation at the end of the current calendar year, they shall be allowed to take their vacation in the calendar year they return to duty.

F. Whenever the term "service of City" appears herein, it shall be deemed to include all service of the City of San Bernardino.

G. All full-time officers and employees of the City who are actively on duty, have been in the service of said City for six (6) months or more continuously, and who are compelled to be absent from their work on account of illness or injury other than that which is compensable under Article V, Section 6, Injury Leave, of this MOU, shall receive their full salary, wages or compensation for a period of one ( 1) day for each month of continuous service, provided that such salary, wages or compensation shall cease upon the exhaustion of all accumulated sick leave.

H. Sick leave accruals and payouts (Section 5 below) shall only include post-petition sick leave accrued after August 1, 2012. An employee may only accrue a maximum of 1040 hours of sick leave. Time off with pay for sick leave shall be considered as time worked for purposes of the accrual of sick leave only. Sick leave shall not accumulate during periods of leave of absence without pay. Employees will not be allowed to use unearned sick leave.

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32 I. The 48 hours of sick leave granted after six (6) calendar months of continuous service as herein provided for all full-time employees shall be computed at the rate of approximately 4.0 hours per pay period. In the event that an employee works less than 50 percent of the total normal work hours in the pay period, they shall receive no sick leave benefit for such pay period and shall not be credited with the 4.0 hours of sick leave.

J. Approved vacation, sick leave, holiday or compensatory time off shall be considered as time worked for the purpose of computing sick leave benefits only.

Section 5 – Payment for Unused Sick Leave
A. For the purpose of this section, the “retirement” shall have the meaning ascribed to it and the definition therefore as set forth in Section 20060 of the Government Code.

B. Any conversion of sick leave resulting from industrial disability will be provided to an employee in accordance with applicable provisions of the Labor Code.

C. Each fiscal year an employee may elect to receive payment in lieu of accrued post - petition sick leave.

1. An eligible employee shall notify the City by August 1st of their desire to receive such payment. The City shall compensate eligible employees on the first payday in September.

2. Providing the employee has at least three hundred and twenty (320) hours in their sick leave account after the sell back, an employee receiving such pay shall receive at the then current salary rate pay for one-fourth (1/4) of the number of hours of post-petition sick leave accrued, less those hours used for the fiscal year period. The employee's accrued post-petition sick leave shall be reduced by the number of post-petition sick leave hours for which pay is provided.

D. At the time of retirement, disability or industrial disability retirement only, any employee having fifteen (15) years of continuous service with the City of San Bernardino, may cash out up to 50% of unused post-petition sick leave. At the time of separation from service, any employ ee having 20 years of continuous service with the City of San Bernardino, may cash out up to 75% of unused post-petition sick leave.

Section 6 – Retiring Members
At the time of an employee’s subsequent separation from service, payments for unused sick leave (upon retirement only), vacation and holiday in the amounts, percentages, and schedules specified in the MOU shall be contributed to the employee’s 401(a) account, up to the legal allowable limit. Any cash outs exceeding the 401 (a) annual contribution limit shall

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33 be paid to the employee as taxable wages, subject to customary withholdings. This provision is subject to plan requirements and applicable law.

Section 7 – Injury Leave
Employees who are receiving payments under Labor Code Section 4850 shall accrue vacation, sick leave and holiday credits during such absence from duty. When employees are off duty on injury leave and have not had a vacation at the end of the current year, they shall be allowed to take this vacation in the calendar year they return to duty.

Section 8 – Military Leave
An employee in the POA having a reserve status in any of the regular branches of the Armed Services of the United States or National Guard, upon request to serve under orders or official notification of required military duty shall be relieved from their C ity duties, upon request, to serve under those training orders without loss of pay for a period not to exceed 30 calendar days in any one fiscal year. The employee shall file with the C ity a copy of such orders or notification of training indicating Theron the date that said duty is to commence and the date duty is to cease. The employee shall receive their regular compensation in addition to their military pay. It is understood that this provision is in accordance with NRS 281.145 and USERRA of 1994.

ARTICLE VI

WORKING CONDITIONS

Section 1 – Work Schedules
The standard workday represents the tour of duty for which an employee is regularly scheduled for work during a 24-hour period commencing from the start of the employee's assigned shift. A regularly scheduled tour of duty, which commences before midnight a nd ends the following day, shall be reported for payroll purposes as time worked for the day in which the tour of duty began.

Work schedules shall be as defined herein, except as otherwise provided for:

A. 5/40 Work Schedule. The 5/40 work schedule shall consist of a 40-hour workweek consisting of five (5), eight- (8) hour workdays, exclusive of any meal periods assigned by management.

B. 9/80 Work Schedule. The 9/80 work schedule shall consist of 80 work hours in a two (2) week period, consisting of eight (8), nine- (9) hour workdays and one (1), eight (8) hour workday, exclusive of any meal periods assigned by management.

C. 3/12.5 and 4/10 Work Schedules:

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34 The Parties have agreed to implement a "blended schedule" for employees assigned to patrol whereby some employees will work a 3/12.5 weekly work schedule and others will work a 4/10 weekly work schedule.

• Those employees assigned to work a 3/12.5 weekly work schedule shall work three consecutive days of 12.5 hours each, inclusive of rest breaks and a paid 30- minute meal period. During each 28-day work period, employees assigned to work the 3/12.5 weekly wor k schedule shall also be scheduled to work one 10-hour work shift, inclusive of rest breaks and a paid 30-minute meal period. The 12.5- hour shifts shall generally be scheduled for three (3) consecutive days . The 10- hour shift will generally be scheduled so that it will be adjacent to a 12.5-hour shift, but exceptions may be made to schedule the 10-hour shift for other days in order to accomplish Department -wide training or due to special assignments. The Parties agree to develop policies governing the interaction between the 3/12.5 weekly work schedule and extended training of three days or more, and other issues that may arise.

• Those employees assigned to work a 4/10 weekly work schedule will work four consecutive days of 10 hours each, inclusive of rest breaks and a paid 30-minute meal period. The weekly schedule for employees assigned to work this shift shall be either Monday through Thursday or Tuesday through Friday.

D. Work Schedule Adjustment. It is recognized that during the term of this agreement, it may be necessary for management to make changes in the work schedule to meet the needs of the service, based on the results of a management audit and/or other circumstances that may arise. Any shift schedule changes are subject to the meet and confer process. Except for emergencies or in case of special needs where management finds it necessary to make such changes, it shall notify the Association indicating the proposed change prior to its implementation. Where such change would significantly affect the working conditions of a significantly large number of employees in the unit and where the Association requests to meet with management, the parties shall expeditiously undertake to consult, as provided by Section 350 et. Seq., of the California Government Code regarding the impact the change would have on the employees of the unit.

In cases of special needs where it would be advantageous to make temporary changes to the regularly assigned shift of some personnel, the Department will make a good faith attempt to give one (1) week advance notice to the affected employee(s).

The Department will not make special needs changes that result in the disruption of consecutive workdays. It is recognized that it may be necessary for management to make unscheduled temporary changes to regularly assigned shifts based on emergencies or matters of public safety.

E. Lunch Hours. Only officers in Patrol will be allowed to take paid meal breaks.

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35 Section 2 – Shift Change
Subject to authorization of the Chief, Assistant Chief, Captain, Area Commander or Station Commander, employees in the unit should be allowed to exchange time with other employees of equal rank on the following basis.

A. Time exchanged shall be with equal rank and be agreeable with both parties and shall be requested in a memo signed by both employees.

B. The time exchange requested shall be initiated with the immediate supervisor of the employee requesting the exchange.

C. Time exchanged may be by one standard workday or by a half (1/2) standard workday.

D. Time exchanged shall be repaid by one standard workday or by a half (1/2) standard workday, within a seven (7) day period.

E. Since this is done for the convenience of the employee, in no case shall a shift exchange or repayment of a shift exchange be considered in computation of overtime.

Section 3 – Probationary Period
The probationary period for newly hired and promoted employees into positions in this unit shall be 2080 paid hours from the date of hire. “Paid hours” shall include hours actually worked (excluding overtime) and paid leaves such as vacation, holiday, sick leave and compensatory time but shall not include time spent on any leave of absence, including 4850 time, modified/light duty and military leave.

In addition, the probationary period of new hires may be extended at the discretion of the Police Chief for a period not to exceed 1040 hours.

Section 4 – Seniority
Seniority is herein defined to be an employee's length of service with no break in service within the Police Department and/or classification in which the employee is presently assigned. The department may consider seniority in vacation scheduling, shift assignments and transfers within classification.

Section 5 – Reemployment
An employee who has terminated City employment and who is subsequently rehired in the same classification in a regular position within a 90-day period may receive restoration of salary step. Seniority shall begin anew as of the rehire date. All other authorized benefits shall accrue as of the date of rehire.

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36 Section 6 – Physical Examinations
The City shall pay medical fees for the physical examination of any police officer when such examination is required and directed by the City.

ARTICLE VII

GENERAL PROVISIONS

Section 1 – Term
The Term of this Agreement shall be four (4) years, commencing on July 1, 2025 through June 30, 2029.

Section 2 – Notice of Intent to Reopen
Commencing on January 1, 2029, either Party may submit to the other, a written request t o bargain for a successor agreement, including a list of proposals on economic or non- economic issues.

Section 3 – Recruitment Obligations
The City and the SBPOA acknowledge that there has been significant attrition of police safety members and that coming to an agreement on the essential terms and conditions of employment is the first step in stabilizing the San Bernardino Police Department. In recognition of the need to rebuild the Department, the SBPOA agrees that, as a condition of an agreement to the economic terms, it will actively participate in the formulation and implementation of an aggressive recruitment campaign to attract new hires and lateral police officers.

Section 4 – Severability
If any provision of the MOU is held by the proper legislative or judicial authority to be unlawful, unenforceable, unconstitutional or not in accordance with applicable statutes or not applicable to Charter cities, all other provisions of the MOU shall rem ain in full force and effect for the duration of this MOU. If there is any conflict between the provisions of this MOU and the provisions of federal, state, or local government regulations, the provisions of the federal, state or local government regulations shall be controlling. Upon the issuance of a decision declaring any article, section or portion of this MOU to be unlawful, unenforceable, unconstitutional or not applicable to Charter cities, the parties agree to meet and confer immediately concerning only those articles, sections, and portions.

Section 5 - Entire Agreement and Waiver Clause
The parties acknowledge that during the meet and confer process which resulted in this MOU, each had the unlimited right and opportunity to make demands and proposals with respect to any subject or matter not removed by law, City Charter, ordinance, resolution, personnel and departmental rules and regulations, within the scope of negotiable issues and that the

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37 understandings arrived at by the parties after the exercise of that right and opportunity are set forth herein. Therefore:
• The express provisions of this Agreement for its duration constitute the complete and total contract between the City and Association with respect to wages, hours, and other terms and conditions of employment,

• Any prior or existing Agreement between the parties, whether formal or informal, regarding any such matters are hereby superseded and terminated in their entirety, and

• The City and the Association, for the life of this MOU, each voluntarily and unqualifiedly waives the right to meet and confer and each agrees that the other shall not be obligated to meet and confer with respect to any subject or matter referred to or covered in this MOU or with respect to any subject or matter not specifically referred to or covered in this MOU, even though such subject or matter may not have been within the knowledge or contemplation of either or both of the parties at the time they negotiated or signed this MOU.

Section 6 – Prevailing Benefits
All benefits, privileges and working conditions authorized for the employees at the present time, which are not included in this MOU and within the scope of representation shall remain in full force during the term of this MOU, unless changed by mutual consent. It is also agreed and understood that nothing in this article shall diminish the rights of the City to exercise its rights under the Management Rights article nor diminish the rights of the Association to meet and confer/consult on proposed changes in accordance with applicable law.

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38 SAN BERNARDINO POLICE SAFETY EMPLOYEES’ (“SBPOA”)

MEMORANDUM OF UNDERSTANDING
2025 – 2029

Executed this _______ day of ____________________, 2025

___________________________ ___________________________ Eric Levitt, City Manager Jose Loera, President
San Bernardino Police Officer’s
Association

___________________________
Araceli Mata, Vice President
San Bernardino Police Officer’s
Association

ATTEST:

___________________________
Telicia Lopez, Acting City Clerk

Approved as to form:

Sonia Carvalho, City Attorney

___________________________

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CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: November 5, 2025
To: Honorable Mayor and City Council Members
From: Vanessa Carder, Interim Director of Parks, Recreation, and Community Services
Department: Parks, Recreation, and Community Services
Subject: Approve $12,000 from Supervisor Joe Baca Jr. from the County of San Bernardino for Blair Park Batting Cage
Improvements (Ward 5)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2025-385:

1. Authorizing the City Manager, or designee, to conduct all additional negotiations, signings, and submittals of necessary documents to receive the County funds; and

2. Authorizing the Director of Finance and Management Services to amend the FY 2025/26 operating budget in both revenues and expenditures, and appropriate $12,000 for Blair Park Batting Cage improvements.

City Manager's Comments
This represents a contribution from the County based on Supervisor Baca Jr’s support.

Supervisor Baca has been a major supporter of improving the City San Bernardino infrastructure and Parks.

Executive Summary
County Supervisor Joe Baca Jr. from the County of San Bernardino (“County”) will provide $12,000 in funding assistance for Blair Park for the Ridgeline Little League Batting Cage improvements. This funding will help with the improvements of the Batting Cage at Blair Park for the Ridgeline Little League.

Background
Over the past several years, the San Bernardino County Board of Supervisors has been a generous and consistent supporter of the City’s parks and public infrastructure.

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Their contributions have also played a significant role in funding much-needed repairs for our parks. In response to the aging infrastructure and growing community needs, the City has made it a priority to address deferred maintenance and enhance the overall condition of City parks.

Efforts have included the repair of park shade shelters, shade structures, and walkways, as well as improvements to parking lot surfaces and related amenities. The ongoing support from the County has been instrumental in helping the City move forward more quickly with these enhancements, ensuring that local recreational facilities remain safe, functional, and welcoming for residents and visitors alike.

Discussion
Supervisor Joe Baca Jr. has allocated $12,000 in funding assistance to support much- needed improvements at the Blair Park Batting Cage. This funding is provided through the County’s Fifth District Specific Priorities Program, which utilizes the County Board of Supervisors’ Discretionary Fund. This program enables each Supervisor to provide financial assistance for specific programs and projects within their respective districts.

The Parks, Recreation & Community Services Department reached out to multiple contractors to obtain estimates for the necessary batting cage repairs. One vendor successfully submitted a quote that met project requirements while remaining within the available budget. The selected vendor will provide and install new netting for one batting cage at the Blair Park baseball field, addressing ongoing safety and usability concerns.
2021-2025 Strategic Targets and Goals
Authorizing the Funding Agreement with the County of San Bernardino for Blair Park Batting Cage improvements aligns with Strategic Target No. 3: Improved Quality of Life.

Fiscal Impact
There is no impact to the General Fund. This project is fully funded through a $12,000 allocation from San Bernardino County Supervisor Joe Baca Jr.’s office.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2025-385:

1. Authorizing the City Manager, or designee, to conduct all additional negotiations, signings, and submittals of necessary documents to receive the County funds; and

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Attachments
Attachment 1 – Resolution 2025- 385 Blair Park Batting Cage Improvements
Attachment 2 – SFG Quote
Attachment 3 – San Bernardino County Purchase Order
Ward:

Fifth Ward
Synopsis of Previous Council Actions:

N/A
CC: Eric Levitt, City Manager

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Resolution 2025-385
Resolution 2025-385
November 5, 2025

Page 1 of 3 ends

RESOLUTION NO. 2025-385

RESOLUTION OF THE MAYOR AND CITY COUNCIL OF

THE CITY OF SAN BERNARDINO, CALIFORNIA,

AUTHORIZING THE CITY MANAGER, OR DESIGNEE, TO

CONDUCT ALL ADDITIONAL NEGOTIATIONS,

SIGNINGS, AND SUBMITTALS OF NECESSARY

DOCUMENTS TO RECEIVE THE COUNTY FUNDS, AND

AUTHORIZING THE DIRECTOR OF FINANCE AND
MANAGEMENT SERVICES TO AMEND THE FY 202 5/26

BUDGET IN BOTH REVENUES AND EXPENDITURES,
AND APPROPRIATE $12,000 FOR BLAIR PARK BATTING
CAGES IMPROVEMENTS.

WHEREAS, the City of San Bernardino staff have identified necessary improvements needed at La Plaza Park, and
WHEREAS, the Fifth District San Bernardino County Supervisor office has secured funding through the County District Specific Priorities Program which allows District Supervisors to provide financial assistance for specific programs and projects within their district, and WHEREAS, County of San Bernardino Supervisor Joe Baca, has selected the City of San Bernardino’s Blair Park Batting Cages to receive funding through the County District Priorities Program, and
WHEREAS, the funding from the County District Specific Priorities Program will provide for improvements which include restroom replacement, playground addition, gazebo restoration, concrete work, Americans with Disabilities Act (ADA) improvements, bench replacement, trash can replacement, arch signage addition, irrigation upgrades and other related repairs at the historic Blair Park located at 1466 W. Marshall Blvd., San Bernardino.

BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS:

SECTION 1. The above recitals are true and correct and are incorporated herein by this reference.

SECTION 2 . Mayor and City Council authorize the City Manager, or designee, to conduct all additional negotiations, signings, and submittals of necessary documents to receive the County funds.

SECTION 3. Mayor and City Council hereby authorize the Director of Finance and Management Services to amend the FY 2025/26 budget in both revenues and expenditures and appropriate $12,000 for the Blair Park Batting Cages Improvements.

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Resolution 2025-385
Resolution 2025-385
November 5, 2025

Page 2 of 3 ends

SECTION 4. The Mayor and City Council finds this Resolution is not subject to the California Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty, as in this case, 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.

SECTION 6. Effective Date. This Resolution shall become effective immediately.

APPROVED and ADOPTED by the City Council and signed by the Mayor and attested by the City Clerk this 5th day of November, 2025.

Helen Tran, Mayor
City of San Bernardino

Attest:

Telicia Lopez, CMC, City Clerk

Approved as to form:

Sonia Carvalho, City Attorney

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Resolution 2025-385
Resolution 2025-385
November 5, 2025

Page 3 of 3 ends

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss

CITY OF SAN BERNARDINO )

I, Telicia Lopez, CMC, City Clerk, hereby certify that the attached is a true copy of Resolution No. 2025-385, adopted at a regular meeting held on the 5th day of November, 2025 by the following vote:

WITNESS my hand and official seal of the City of San Bernardino this ___ day of ____________ 2025.

Telicia Lopez, CMC, City Clerk

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Parts/Equipment

Quote #: 26262
Date: 08-27-2025
Expires: 09-26-2025
Terms: Net 30
Contractors License# 676578
PO Box 7024
Riverside, CA 92503
DIR# 1000002632
Toll Free:866-311-7344(SFGI)
Fax: 951-637-8406
Quoted By: Matt Buchholz
[email protected]
Bill To
Accounts Payable
City of San Bernardino Parks Dept
290 North D St.

San Bernardino, CA 92401
Ph: 190-938-4727 x2
Ship To
Michael Gibson
City of San Bernardino/ Norton Recreation Center
1554 E. Art Townsend Drive
San Bernardino, CA 92404
Ph: 909-384-5233
Cell: 909-648-9812
[email protected]
Description Of Work
Provide and install netting for one batting cage at Blair Park baseball fields.

Exceptions
Customer to remove all items in cage including channel that is installed on the concrete.

Any fence repairs that might be needed are not included and will need to be done by others.

Bonds are not included and will be an additional cost if required.

Prevailing Wage Rates
# Qty SKU Options Product Name Unit Price Extended

1. 1 NSP #36 Batting Cage Net w/Opening 4,220.00 4,220.00 Labor $6,950.00
Parts $4,220.00
Freight $0.00
Tax $369.25
Total $11,539.25

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CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: November 5, 2025
To: Honorable Mayor and City Council Members
From: Vanessa Carder, Interim Director of Parks, Recreation, and Community Services
Department: Parks, Recreation, and Community Services
Subject: Acceptance and Approval of Amendment No. 1 for the FY 2024-2027 Modernization for Older Californians
Act/Nutrition Services Grant Award in the amount of
$90,000 (All Wards)

Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2025-386:

1. Authorizing the City Manager or designee to accept and approve Amendment No. 1 revised contract and budget in the total amount of $189,900 from the San Bernardino County Department of Adult and Aging Services – Public Guardian Modernization of Older Californians Act (MOCA)/Nutrition Services Grant; and

2. Authorizing the City Manager or designee to conduct all negotiations, signing, and submitting necessary documents to receive the grant award funds; and

3. Authorizing the Director of Finance and Management Services to amend the FY 2025/26 operating budget in both revenues and expenditures, and appropriate $90,000 in grant award funds to be used towards intergenerational activities and infrastructure improvements.

City Manager's Comments
The City Manager recommends approval.

Executive Summary
The San Bernardino County Department of Adult and Aging Services has offered an amendment to extend Contract Number 24-992 (A-1) through September 30, 2026 for the Modernization of Older Californians Act (MOCA)/Nutrition Services program in the total amount of $189,900 to the City of San Bernardino. This is an additional $90,000.

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The funds will be used to program intergenerational activities for the community and for the purchase of equipment to enhance the Older Californians Nutrition Program through September 30, 2026. There is no match requirement for the City.

Background
The City of San Bernardino provides a senior nutrition program for seniors in the City, 60 years of age and older, providing lunch and dinner meals, Monday through Friday, year-round. During FY 2023/24, the Older Californian Nutrition Program served 65,399 meals for a daily average of 266 individual clients at six (6) nutrition sites. These sites include: 5th Street Senior Center, Perris Hill Senior Center, Hernandez Community Center, Lytle Creek Community Center, New Hope Family Life Center, and Highland Senior Center. Meals were served both dine-in and grab-n-go. The food is prepared in the main kitchen at the 5th Street Senior Center and delivered to the five other sites in hot and cold containers. The Older Californian Nutrition Program (formerly the Senior Nutrition Program) is supported by funding received from the County of San Bernardino Department of Aging and Adult Services – Public Guardian (DAAS-PG) through County Contract No. 22-666.

Discussion
The City applied for and received the Modernization of Older Californians’ Act – Nutrition Services Grant from the County of San Bernardino. This FY2024/2025 grant award in the amount of $99,900 provided funding opportunities for several programs:

Brown Bag Program, Groceries Program, Intergenerational Activities, Nutrition Infrastructure, and Title II C-1 and C-2 Meals. The program provides nutritious meals, nutrition education, and nutrition risk screening to individuals aged sixty (60) and older in a social setting. The programs also offer individuals an opportunity to socialize with others while promoting health and well-being through nutrition. Additionally, the program aims to reduce social isolation for seniors, with efforts related to planning, development, and implementation of activities and programs that bring participants of the Older Californians Nutrition Program together with children, teens, or adults.

An e-mail notification for a revised contract (24-992 A1) was issued through the MOCA/NS Grant Program by the County of San Bernardino, Human Services Administration, Contracts Unit to the City of San Bernardino on September 8, 2025, increasing the award from $99,900 to $189,900 and extending the contract through September 30, 2026 to offer intergenerational activities and nutrition infrastructure improvements for the San Bernardino community. Proposed intergenerational activities will continue to include a Grandparent’s Day Celebration and Older Americans Month activities, Eats/Treats/Healthy Drinks all-age cooking classes, Paint, Projects & Pastries Arts & Crafts, family excursions and cultural events, gardening programs, Ice Cream and Smart Play Socials (technology learning through interaction and play). These activities will take place at both the 5th Street and Perris Hill Senior Centers and other community centers and local venues. Proposed infrastructure improvements include the purchases of commercial range ovens and refrigerators for local community centers.

Staff recommends the acceptance of the amended contract award of supplemental

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nutrition grant funds by the County DAAS from the Modernization of Older Californians Act – Nutrition Services grant program in the amount of $189,900 and the allocation to expend the grant funds. The deadline to expend these funds is September 30, 2026. 2021-2025 Strategic Targets and Goals
This proposal aligns with Goal No. 1: Improved Financial & Operating Capacity by securing a long-term revenue source and creating a framework for spending decisions, Goal No. 2: Focused, Aligned Leadership and Unified Community by developing and implementing a community engagement plan, and Goal No. 3: Improved Quality of Life by providing intergenerational activities that bring participants of the Older Californians Nutrition Program (OCNP) together with children or adults and capacity and infrastructure improvements for the OCNP.

Fiscal Impact
There is no impact to the General Fund. Amend FY 2025/26 operating budget to reflect an increase in the amount of $90,000 in both revenues and expenditures to support eligible intergenerational programming and infrastructure-related improvements.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2025-386:

2. Authorizing the City Manager or designee to conduct all negotiations, signing, and submitting necessary documents to receive the grant award funds; and;

Attachments
Attachment 1 Resolution No. 2025-386 MOCA -Nutrition Services Grant Attachment 2 2024-26 MOCA – NS Grant - County Amended Contract No.24-992 A-1
Attachment 3 2024-25 MOCA – NS Grant - County Contract Ward:

All Wards
Synopsis of Previous Council Actions:

December 4, 2024, the Mayor and City Council adopted Resolution No. 2024-232, to amend the FY 2024/25 budget in both revenues and expenditures,

Packet Page. 398

and appropriate $99,900 in grant award funds to be used towards intergenerational activities and infrastructure improvements.

January 17, 2024, the Mayor and City Council adopted Resolution No. 2024- 018, approved the purchase of a mobile diesel generator through the Home and Community Based Services (HCBS) Senior
Nutrition Infrastructure Grant Program.

CC: Eric Levitt, City Manager

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Resolution No. 2025-386

Resolution 2025-386
November 5, 2025

Page 1 of 3 ends

RESOLUTION NO. 2025-386

RESOLUTION OF THE MAYOR AND CITY COUNCIL OF

THE CITY OF SAN BERNARDINO, CALIFORNIA,

AUTHORIZING THE CITY MANAGER OR DESIGNEE TO
ACCEPT AND APPROVE AMENDMENT NO. 1 REVISED

CONTRACT AND BUDGET IN THE TOTAL AMOUNT OF
$189,900 FROM THE SAN BERNARDINO COUNTY
DEPARTMENT OF ADULT AND AGING SERVICES –

PUBLIC GUARDIAN MODERNIZATION OF OLDER

CALIFORNIANS ACT (MOCA) /NUTRITION SERVICES
GRANT; AND AUTHORIZING THE CITY MANAGER OR

DESIGNEE TO CONDUCT ALL NEGOTIATIONS, SIGNING,

AND SUBMITTALS OF NECESSARY DOCUMENTS TO
RECEIVE THE GRANT AWARD FUNDS; AND

AUTHORIZING THE DIRECTOR OF FINANCE AND
MANAGEMENT SERVICES TO AMEND THE FY 202 5/26

BUDGET IN BOTH REVENUES AND EXPENDITURES, AND
APPROPRIATE $189,900 IN GRANT AWARD FUNDS TO BE

USED TOWARDS INTERGENERATIONAL ACTIVITIES
AND INFRASTRUCTURE IMPROVEMENTS.

WHEREAS, The City of San Bernardino is contracted (County Contract #22- 666) with the San Bernardino County Department of Aging and Adult Services – Public Guardian (DAAS-PG) as one of eight (8) nutrition providers in the County; and WHEREAS, On December 4, 2024, the Mayor and City Council adopted Resolution No. 2024-232, to amend the FY 2024/25 budget in both revenues and expenditures, and appropriated $99,900 (County Contract No. 24- 992) in grant award funds to be used towards intergenerational activities and infrastructure improvements; and WHEREAS, An e -mail to amend Contract No. 24- 992 (A -1) to increase funding an additional $90,000 and extend the contract through September 30, 2026 was issued through the MOCA/NS grant program by the County of San Bernardino, Human Services Administration, Contracts Unit to the City of San Bernardino on September 10, 2025.

BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS:

SECTION 1. The above recitals are true and correct and are incorporated herein by this reference.

SECTION 2. The Mayor and City Council of the City of San Bernardino hereby a uthorize the City Manager to accept and approve Amendment No. 1 to revised Contract No. 24- 992 for

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Resolution No. 2025-386

Resolution 2025-386
November 5, 2025

Page 2 of 3 ends

the Modernization of Older Californians Act (MOCA) - Nutrition Services grant through the Department of Aging and Adult Services – Public Guardian (DAAS-PG).

SECTION 3. The City Manager , or their designee, is hereby authorized to accept the additional award for the 2024-2026 MOCA – Nutrition Services Grant Award in the amount of $90,000 and conduct all negotiations, signing and submittals of necessary documents to receive the grant award.

SECTION 4. The Director of Finance and Management Services is hereby authorized to allocate the FY2024/2025 grant funds carryover balance and additional $90,000 (Total $189,900) for expenditure for the period of October 1, 2024 through September 30, 2026.

SECTION 5. That the City Council finds this Resolution is not subject to the California Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty, as in this case, 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.

SECTION 6. Severability. If any provision of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications, and to this end the provisions of this Resolution are declared to be severable.

SECTION 7. Effective Date. This Resolution shall become effective immediately.

APPROVED and ADOPTED by the City Council and signed by the Mayor and attested by the City Clerk this 5
th day of November 2025.

Helen Tran, Mayor
City of San Bernardino

Attest:

Telicia Lopez, CMC, City Clerk

Approved as to form:

Sonia Carvalho, City Attorney

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Resolution No. 2025-386

Resolution 2025-386
November 5, 2025

Page 3 of 3 ends

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss

CITY OF SAN BERNARDINO )

I, Telicia Lopez, CMC, City Clerk, hereby certify that the attached is a true copy of Resolution No. 2025-386, adopted at a regular meeting held on the 5th day of November 2025 by the following vote:

WITNESS my hand and official seal of the City of San Bernardino this __ day of November 2025.

Telicia Lopez, CMC, City Clerk

Packet Page. 402

THE INFORMATION IN THIS BOX IS NOT A PART OF THE CONTRACT AND IS FOR COUNTY USE ONLY

Department of Aging and Adult
Services – Public Guardian

Department Contract Representative Jammie Maalouf, Contract Analyst Telephone Number (909) 386-8395

Contractor City of San Bernardino
Contractor Representative Trudy Panowicz
Telephone Number (909) 384-5434
Contract Term October 22, 2024 through
September 30, 2026
Original Contract Amount $99,900
Amendment Amount $90,000
Total Contract Amount $189,900
Cost Center 5292501036
Grant Number (if applicable) 800292

IT IS HEREBY AGREED AS FOLLOWS:

AMENDMENT NO. 1
It is hereby agreed to amend Contract No. 24-992, as follows:

SECTION D. TERM OF CONTRACT
Amend Section D. Term of Contract to read as follows:

1. This Contract is effective as of October 22, 2024 , and is extended from the previous expiration date of September 30, 2025 to expire on September 30, 2026 but may be terminated earlier in accordance with provisions of this Contract.

SECTION F. FISCAL PROVISIONS
Amend Section F. Fiscal Provisions to read as follows:

1. The maximum amount of reimbursement under this Contract shall not exceed $1 89,900 and shall be subject to availability of other funds to the County. The consideration to be paid to Contractor, as provided herein, shall be in full payment for all Contractor's services and expenses incurred in the performance hereof, including travel and per diem.

Contract Number
24-992 A-1

SAP Number

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All other terms and conditions of Contracts No. 24-992 remain in full force and effect.

This Contract may be executed in any number of counterparts, each of which so executed shall be deemed to be an original, and such counterparts shall together constitute one and the same Contract. The parties shall be entitled to sign and transmit an electronic signature of this Contract (whether by facsimile, PDF, or other email transmission), which signature shall be binding on the party whose name is contained therein. Each party providing an electronic signature agrees to promptly execute and deliver to the other party an original signed Contract upon request.

FOR COUNTY USE ONLY
Approved as to Legal Form Reviewed for Contract Compliance Reviewed/Approved by Department

Jacqueline Carey-Wilson, County Counsel Patty Steven, Contracts Manager Sharon Nevins, Director Date Date Date

SAN BERNARDINO COUNTY City of San Bernardino
(Print or type name of corporation, company, contractor, etc.)

Dawn Rowe, Chair, Board of Supervisors (Authorized signature - sign in blue ink) Dated:

Name Eric Levitt
SIGNED AND CERTIFIED THAT A COPY OF THIS (Print or type name of person signing contract)

DOCUMENT HAS BEEN DELIVERED TO THE
CHAIRMAN OF THE BOARD Title City Manager
Lynna Monell
Clerk of the Board of Supervisors
San Bernardino County
(Print or Type)
By Dated:

Deputy
Address 290 N. D Street

San Bernardino, CA 92401

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Standard Contract Page 1 of 29

THE INFORMATION IN THIS BOX IS NOT A PART OF THE CONTRACT AND IS FOR COUNTY USE ONLY

Department of Aging and Adult
Services – Public Guardian

Department Contract Representative Derrick Younger
Telephone Number 909-388-0222

Contractor City of San Bernardino
Contractor Representative Trudy Panowicz
Telephone Number (909) 384-5434
Contract Term October 1, 2024 through
September 30, 2025
Original Contract Amount $99,900
Amendment Amount N/A
Total Contract Amount $99,900
Cost Center 5296501036
Grant Number (if applicable) 800292

IT IS HEREBY AGREED AS FOLLOWS:

WHEREAS, San Bernardino County (County) desires to designate a contractor of choice to operate Senior Nutrition Programs pursuant to the Modernization of Older Californians Act (MOCA) , as further described in a statement of work (the “Services”); and
WHEREAS, the County conducted a competitive process to find City of San Bernardino (Contractor) to provide these services, and
WHEREAS, based upon and in reliance on the representations of Contractor in its response to the County’s Request for Proposals, the County finds Contractor qualified to provide such services; and WHEREAS, the County desires that such services be provided by Contractor and Contractor agrees to perform these services as set forth below;
NOW, THEREFORE, the County and Contractor mutually agree to the following terms and conditions:

Contract Number

SAP Number

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TABLE OF CONTENTS

A. DEFINITIONS AND REFERENCE DOCUMENTS .................................................................................... 3 B. CONTRACTOR RESPONSIBILITIES ....................................................................................................... 6 C. GENERAL CONTRACT REQUIREMENTS .............................................................................................. 7 D. TERM OF CONTRACT ........................................................................................................................... 19 E. COUNTY RESPONSIBILITIES ............................................................................................................... 19 F. FISCAL PROVISIONS ............................................................................................................................ 19 G. INDEMNIFICATION AND INSURANCE REQUIREMENTS .................................................................... 20 H. RIGHT TO MONITOR AND AUDIT ........................................................................................................ 23 I. CORRECTION OF PERFORMANCE DEFICIENCIES ........................................................................... 24 J. INFORMATION INTEGRITY AND SECURITY ....................................................................................... 24 K. EQUAL EMPLOYMENT/EMPLOYMENT DISCRIMINATION/CIVIL RIGHTS ......................................... 26 L. NOTICES ................................................................................................................................................ 28 M. ENTIRE AGREEMENT ......................................................................................................................... 299

ATTACHMENTS
A. SCOPE OF WORK
B. COMPLAINT AND GRIEVANCE PROCEDURE
C. ASSURANCE OF COMPLIANCE
D. PROGRAM BUDGET
E. CAMPAIGN CONTRIBUTION DISCLOSURE (SB 1439)

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A. DEFINITIONS AND REFERENCE DOCUMENTS
Definitions

1. Adult: An individual between eighteen (18) years and sixty (60) years old.

2. Area Agency on Aging (AAA) : An identifiable private nonprofit or public agency designated by the Department of Aging which works for the interests of older Californians within a Planning and Service Area (PSA). This agency engages in community planning, coordination, and program development, and, through contractual arrangements, provides a broad array of social and nutritional services. In 1976, the State of California designated San Bernardino County as an Area Agency on Aging. As a result of this designation, DAAS receives funding from the California Department of Aging to administer the programs authorized by the Older Americans Act.

3. Board: The San Bernardino County Board of Supervisors.

4. Brown Bag Program: A program that provides both surplus and donated edible fruits, vegetables, and other unsold food products to older individuals with low income.

5. California Department of Aging (CDA): Administers programs that serve older adults, adults with disabilities, family caregivers and residents in long term care facilities throughout the state.

6. Child: An individual under eighteen (18) years old.

7. Congregate Nutrition Services: Provides nutritious meals, nutrition education, and nutrition risk screening to individuals aged sixty (60) and older in a social setting. The program offers individuals an opportunity to socialize with others to reduce social isolation while promoting health and wellbeing through nutrition.

8. Contract: The legal agreement between the County and the Proposer resulting from the award issued pursuant to the Request For Proposal to the successful Proposer.

9. Contractor: Any individual, company, firm, corporation, partnership, or other organization to whom a contract award is made by the County.

10. County: County as used throughout this document, including its possessive form (County’s), refers to San Bernardino County.

11. Department of Aging and Adult Services -Public Guardian (DAAS-PG): The County department that provides service to seniors and at-risk adults to improve or maintain choice, independence, and quality of life. DAAS works to ensure seniors and adults with disabilities have the right to age in the least restrictive environment.

12. Eligible Participant for Brown Bag Services: An older adult sixty (60) years of age and older with income at or below 185% of the Federal Poverty Level.

13. Eligible Population for Intergenerational Activities: An older adult sixty (60) years of age or older, with emphasis on those in greatest economic and social need with particular attention to low income minority older individuals, older individuals with Limited English Proficiency (LEP), and older individuals residing in rural areas. [Older Americans Act (OAA) § 305 (a)(2)(E); 22 California Code of Regulations (CCR) 7125, 7127, 7130, 7135]

14. Eligible Population for Title III C -1 and C -2 Meals: Older individuals sixty (60) years of age or older, with emphasis on those in greatest economic and social need with particular attention to low income minority older individuals, older individuals with Limited English Proficiency (LEP), and older individuals residing in rural areas. [Older Americans Act (OAA) § 305 (a)(2)(E); 22 California Code of Regulations (CCR) 7125, 7127, 7130, 7135]

1. Individuals eligible to receive a meal at a congregate nutrition site shall include the following:
a. Any older individual.
b. The spouse of any older individual.
c. A person with a disability, under age sixty (60) who resides in housing facilities occupied primarily by older individuals at which congregate nutrition services are provided.

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d. A disabled individual who resides at home with and accompanies an older individual who participates in the program.
e. A volunteer under age sixty (60), if doing so will not deprive an older individual sixty (60) or older of a meal. [CCR 7636.9(b)(3); CCR 7638.7(b); and OAA 339(H)]

2. Individuals eligible to receive a home delivered meal are individuals who are:
a. Frail as defined by 22 CCR 7119, homebound by reason of illness or disability, or otherwise isolated. (These individuals shall be given priority in the delivery of services.) [45 Code of Federal Regulations (CFR) 1321.69(a)].
b. A spouse of a person defined in 22 CCR 7638.7(c)(2), regardless of age or condition, if an assessment concludes that is in the best interest of the homebound older individual. c. An individual with a disability who resides at home with older individuals, if an assessment concludes that it is in the best interest of the homebound older individual who participates in the program.

15. Equipment: Tangible personal property with a useful life of more than one (1) year and an acquisition cost of $500 or more per unit.

16. Groceries: Assistance to Older Americans Act (OAA) participants in the form of food items.

17. Home Delivered Nutrition Services : Provides nutritious home delivered meals, nutrition education, and nutrition risk screening to individuals aged sixty (60) and older who are homebound because of illness, incapacity, disability, or are otherwise isolated.

18. Human Services (HS) : San Bernardino County Human Services (HS), a system of integrated services, where the programs and resources of nine (9) County departments come together to provide a rich, more complete array of services to the citizens of San Bernardino County under one coordinated effort.

19. Intergenerational Activities: Efforts related to the planning, development, and implementation of activities and programs that bring participants of the Older Californians Nutrition Program (OCNP) together with children or adults. Mutually beneficial intergenerational activities promote greater understanding and respect between generations and also strengthen older adults’ recovery and resilience from the isolation and health impacts from the COVID-19 pandemic.

20. Low Income: Income below 185% of the Federal Poverty Level.

21. Nutrition Infrastructure: The capacity and infrastructure improvements for the OCNP including purchasing, upgrading, or refurbishing infrastructure for the production and distribution of OCNP meals.

22. Older Americans Act (OAA) : The overall purpose of this act is to provide comprehensive, coordinated, community based systems of service to persons aged sixty (60) and older in order to enable them to maintain health, personal dignity, and independence (42 USCA §3001 et seq.).

23. Older Californians Nutrition Program (OCNP) : Provides nutrition meals and services including the Title III C-1 Congregate Nutrition Services and Title III C-2 Home Delivered Nutrition Services.

24. Older Individual: An individual who is sixty (60) years of age or older.

25. Planning and Service Area (PSA): A geographical area, the boundaries of which are determined by the CDA pursuant to federal law and regulation. The CDA allocates funds to an AAA to provide services to older individuals residing within a specific PSA.

26. Purchasing Agent: The Director of the County Purchasing Department.

27. Restaurant Option (RO): An OCNP meal option providing older adults with vouchers for meals at licensed foodservice establishments such as restaurants, cafes, food trucks, and grocery stores with hot and/or cold meals. AAAs and/or nutrition providers contract with foodservice establishments to provide meals.

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28. Restaurant Voucher: A paper or electronic system that Title III C -1 participants exchange for meals at designated restaurants.

29. Subcontractor: An individual, company, firm, corporation, partnership, or other organization, not in the employment of or owned by Contractor who is performing services on behalf of Contractor under the Contract or under a separate contract with or on behalf of Contractor.

30. Title III C -1 (Congregate Nutrition Services) : Nutrition services for older individuals in a congregate setting. Services include meals, nutrition education, nutrition risk screening, and opportunities for socialization. Each meal shall provide one- third (1/3) of the Dietary Reference Intakes (DRI) and comply with the most current Dietary Guidelines for Americans (DGA). To be an eligible Title III C-1 congregate nutrition site, the site must meet all of the following criteria: [22 CCR 7638.7(a)]

1. Be open to the public. [45 CFR 1321.53(b)(3)]

2. Not means test. [OAA § 315(b)(3)]

3. Provide participants the opportunity to make voluntary contributions and not deny service for not contributing to the cost of the service. [OAA § 315(b)(4); 22 CCR 7638.9]

4. Not receive funds from another source for the cost of the same meal, equipment, or services. [2 CFR 200.403(f); 45 CFR 75.403(f)]

31. Title III C-2 (Home-Delivered Nutrition Services): Nutrition services provided to frail, homebound, or isolated older individuals including meals, nutrition education, and nutrition risk screening. Each meal shall provide one -third (1/3) of the DRI and comply with the most current DGA. [22 CCR 7135, 22 CCR 7638.7(c)]

32. To Go Meals: Meals that are picked up by OCNP clients (or client's agent) or delivered to clients who are not comfortable dining in a congregate meal setting or are unable to attend during congregate mealtimes.

1. C-1: To Go meals are categorized as C -1 meals if they are consumed onsite and include in person interaction (e.g., dining at congregate site such as restaurant, food truck, etc. or one - on-one with program volunteer) or consumed offsite and include virtual interaction (e.g., group interaction via Zoom, FaceTime, etc. or one- on-one with program volunteer via telephone) during the meal.

2. C-2: To-Go meals are categorized as C-2 meals if they are consumed offsite without in person or virtual interaction.

Reference Documents:

Americans with Disabilities Act (42 U.S.C. section 12101 et seq.) http://www.ada.gov/pubs/adastatute08.pdf
California Department of Aginghttps://aging.ca.gov/
California Department of Aging Program Memo 23-12 Nutrition Modernization (NM) Funding for the Older Californians Act Nutrition Services
https://aging.ca.gov/download.ashx?lE0rcNUV0zY7cWLrGQMBfw%3D%3D California Department of Social Services Manual of Policies and Procedures Divisions 21 and 23, sections 600, 602, and 604
Div. 21 - https://www.cdss.ca.gov/Portals/9/Regs/3cfcman.pdf Div. 23 - https://www.cdss.ca.gov/ord/entres/getinfo/pdf/opsman4.pdf California Fair Employment and Housing Act (California Government Code section 12900, et seq.) https://www.dfeh.ca.gov/legal-records-and-reports/laws-and-regulations/ California Government Code section 87100 et seq.
http://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?sectionNum=87100.&lawCode=GOV California Penal Code section 11105.3

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http://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?sectionNum=11105.3.&lawCode=PEN California Public Records Act Government Code section 7920.000 et seq. https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?sectionNum=7920.000.&lawCode=GO V
California Retail Food Code
http://www.cdph.ca.gov/Programs/CEHD/DFDCS/Pages/FDBHSCodes.aspx California Vehicle Code
http://leginfo.legislature.ca.gov/faces/codes_displayexpandedbranch.xhtml?tocCode=VEH&division=6.&titl e=&part=&chapter=&article
California Welfare and Institutions Code section 10000 et seq. http://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=WIC&sectionNum=10000 Clean Air Act (42 U.S.C. section 7401 et seq.)
http://epa.gov/clean-air-act-overview/clean-air-act-text Clean Water Act (33 U.S.C. section 1251 et seq.)
https://www.epa.gov/laws-regulations/summary-clean-water-act Environmental Protection Agency Regulations (40 C.F.R.) https://ecfr.federalregister.gov/current/title-40
Executive Order 11246 [30 Fed. Reg. 12319 (Sept. 24, 1965)], as amended by Executive Orders 11375, 13279, 13665, and 13672.
http://www.dol.gov/ofccp/regs/compliance/ca_11246.htm
Executive Order 11738 [38 Fed. Reg. 25161 (Sept. 10, 1973] and Environmental Protection Agency regulations (40 C.F.R.)http://www.archives.gov/federal-register/codification/executive-order/11738.html Executive Order 12549 [51 Fed. Reg. 6370 (Feb. 18, 1986] and Executive Order 12689 https://www.archives.gov/federal-register/codification/executive-order/12549.html and Debarment, Suspension, And Other Responsibility Matters (48 C.F.R. Subpart 9.4) Older Californians Nutrition Program Menu Guidance
https://aging.ca.gov/Providers_and_Partners/Area_Agencies_on_Aging/Older_Californians_Nutrition_Progr am/Resources/
Office of Management and Budget (OMB) Circulars
https://www.whitehouse.gov/omb/information-for-agencies/circulars/ Pro-Children Act of 1994 (20 U.S.C. section 6081 et seq.) https://www.law.cornell.edu/cfr/text/48/352.237-70
San Bernardino County Policy (11-08) – Recycled products https://wp.sbcounty.gov/purchasing/wp-content/uploads/sites/3/2016/08/11-08.pdf

State Energy Conservation Plan (California Code of Regulations, title 20, section 1401 et seq.) https://govt.westlaw.com/calregs/Browse/Home/California/CaliforniaCodeofRegulations?guid=I88DFCEC0 D44E11DEA95CA4428EC25FA0&originationContext=documenttoc&transitionType=Default&contextData=( sc.Default)
Title VII of the Civil Rights Act of 1964 http://www.eeoc.gov/laws/statutes/titlevii.cfm B. CONTRACTOR RESPONSIBILITIES
Contactor shall provide all services as outlined in the Scope of Work (Attachment A) and shall be compensated on a cost reimbursement basis.

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C. GENERAL CONTRACT REQUIREMENTS

1. Recitals – The recitals set forth above are true and correct and incorporated herein by this reference.

2. Contract Amendments – Contractor agrees any alterations, variations, modifications, or waivers of the provisions of the Contract, shall be valid only when reduced to writing, executed and attached to the original Contract, and approved by the person(s) authorized to do so on behalf of Contractor and County.

3. Contract Assignability – Without the prior written consent of the County, the Contract is not assignable by Contractor either in whole or in part.

4. Contract Exclusivity – This is not an exclusive Contract. The County reserves the right to enter into a contract with other contractors for the same or similar services. The County does not guarantee or represent that the Contractor will be permitted to perform any minimum amount of work or receive compensation other than on a per order basis, under the terms of this Contract.

5. Attorney’s Fees and Costs – If any legal action is instituted to enforce any party’s rights hereunder, each party shall bear its own costs and attorney fees, regardless of who is the prevailing party. This paragraph shall not apply to those costs and attorney fees directly arising from a third party legal action against a party hereto and payable under Indemnification and Insurance Requirements.

6. Background Checks for Contractor Personnel – Contractor shall ensure that its personnel (a) are authorized to work in the jurisdiction in which they are assigned to perform Services; (b) do not use legal or illegal substances in any manner which will impact their ability to provide Services to the County ; and (c) are not otherwise disqualified from performing the Services under applicable law. If requested by the County and not in violation of applicable law, Contractor shall conduct a background check , at Contractor’s sole expense, on all its personnel providing Services. If requested by the County, Contractor shall provide the results of the background check of each individual to the County. Such background check shall be in the form generally used by Contractor in its initial hiring of employees or contracting for contractors or, as applicable, during the employment-screening process but must, at a minimum, have been performed within the preceding twelve (12) month period. Contractor personnel who do not meet the County’s hiring criteria, in County’s sole discretion, shall not be assigned to work on County property or Services, and County shall have the right, at its sole option, to refuse access to any Contract personnel to any County facility.

Contractor shall obtain from the Department of Justice (DOJ) records of all convictions involving any sex crimes, drug crimes, or crimes of violence of a person who is offered employment or volunteers for all positions in which he or she would have contact with a minor, the aged, the blind, the disabled or a domestic violence client, as provided for in Penal Code section 11105.3 prior to providing any services. This includes licensed personnel who are not able to provide documentation of prior DOJ clearanc e. A copy of a license from the State of California, which requires a DOJ clearance, is sufficient proof. The County must be immediately notified of any records showing a conviction. The County may instruct Contractor to take action to deny/terminate employment or terminate internship and/or volunteer services where the records show the person is unsuitable for employment, internship, or volunteer services.

In addition to the documentation of DOJ clearance, Contractor shall obtain clearance from the Federal Bureau of Investigation (FBI) and Child Abuse Central Index (CACI), and records of all convictions involving any sex crimes, drug crimes, or crimes of violence of a person who is offered employment or volunteers for all positions in which he or she would have contact with a minor, the aged, the blind, the disabled or a domestic violence client, prior to providing any services. The County must be immediately notified of any records showing a conviction. The County may instruct Contractor to take action to deny/terminate employment or terminate internship and/or volunteer services where the records show the person is unsuitable for employment, internship, or volunteer services.

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Contractor shall notify the County of any board member, staff member, paid intern or volunteer who is knowingly or negligently employed who has been convicted of any crime of violence or of any sexual crime. Contractor shall investigate all incidents where an applicant, employee, intern or volunteer has been arrested and/or convicted for any crime listed in Penal Code Section 11105.3 and shall notify the County. In the County's discretion, the County may instruct Contractor to take action to either deny/t erminate employment or terminate internship and/or volunteer services where the investigation shows that the underlying conduct renders the person unsuitable for employment, internship, or volunteer services.

Contractor shall immediately notify the County concerning the arrest and/or conviction, other than minor traffic offenses, of any paid employee, agent, consultant, intern, or volunteer staff, when such information becomes known to Contractor.

7. Change of Address – Contractor shall notify the County in writing, of any change in mailing address within ten (10) business days of the change.

8. Choice of Law – This Contract shall be governed by and construed according to the laws of the State of California.

9. Compliance with County Policy – In performing the Services and while at any County facilities, Contractor personnel (including subcontractors) shall (a) conduct themselves in a businesslike manner; (b) comply with the policies, procedures, and rules of the County regarding health and safety, and personal, professional and ethical conduct; (c) comply with the finance, accounting, banking, Internet, security, and/or other applicable standards, policies, practices, processes, procedures, and controls of the County; and (d) abide by all laws applicable to the County facilities and the provision of the Services, and all amendments and modifications to each of the documents listed in subsections (b), (c), and (d) (collectively, “County Policies”). County Policies, and additions or modifications thereto, may be communicated orally or in writing to Contractor or Contractor personnel or may be made available to Contractor or Contractor personnel by conspicuous posting at a County facility, electronic posting, or other means generally used by County to disseminate such information to its employees or contractors. Contractor shall be responsible for the promulgation and distribution of County Policies to Contractor personnel to the extent necessary and appropriate.

County shall have the right to require Contractor’s employees, agents, representatives and subcontractors to exhibit identification credentials issued by County in order to exercise any right of access under this Contract.

10. Confidentiality – Contractor shall ensure that all staff, volunteers and/or Subcontractors performing Services under this Contract comply with the terms and conditions as set forth in the Human Services Information Privacy and Security Requirements specified at http://hss.sbcounty.gov/Privacy prior to providing any Services. Contractor shall immediately notify the County of any suspected or actual breach of confidential information as further detailed in the requirements. These requirements specified at http://hss.sbcounty.gov/Privacy are hereby incorporated by this reference. a. Read, understand and comply with the Privacy and Security Requirements Summary. b. Ensure employees, subcontractors, agents, volunteers and interns who have access to Personally Identifiable Information (PII) complete the Privacy and Security Training and execute the training acknowledgement form and other training materials annually. c. Ensure employees, subcontractors, agents, volunteers and interns who have access to PII sign the Confidentiality Statement annually.
d. Report actual, suspected or potential breaches of PII immediately to the Human Services Privacy and Security Office via email at: [email protected]

11. Primary Point of Contact – Contractor will designate an individual to serve as the primary point of contact for the Contract. Contractor or designee must respond to County inquiries within two (2) business days. Contractor shall not change the primary contact without written acknowledgement to the County. Contractor will also designate a back-up point of contact in the event the primary contact is not available.

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12. County Representative – The Assistant Executive Officer or his/her designee shall represent the County in all matters pertaining to the services to be rendered under this Contract, including termination and assignment of this Contract, and shall be the final authority in all matters pertaining to the Services/Scope of Work by Contractor. If this contract was initially approved by the San Bernardino County Board of Supervisors, then the Board of Supervisors must approve all amendments to this Contract.

13. Damage to County Property – Contractor shall repair, or cause to be repaired, at its own cost, all damages to County vehicles, facilities, buildings, or grounds caused by the willful or negligent acts of Contractor or its employees or agents. Such repairs shall be made immediately after Contractor becomes aware of such damage, but in no event later than thirty (30) days after the occurrence.

If the Contractor fails to make timely repairs, the County may make any necessary repairs. The Contractor, as determined by the County, shall repay all costs incurred by the County for such repairs, by cash payment upon demand, or County may deduct such costs from any amounts due to the Contractor from the County, as determined at the County’s sole discretion.

14. Debarment and Suspension – Contractor agrees to comply with the applicable federal suspension and debarment regulations, including, but not limited to Title 48 Code of Federal Regulations (CFR), Chapter 1, Subchapter B, Part 9, Subpart 9.4 (48 C.F.R. Section 9.400 et seq.).

Contractor certifies that it and its principals and subcontractors:
a. Are not presently disbarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any federal department or agency. (See the following United States General Services Administration’s System for Award Management website https://www.sam.gov).
b. Have not within a three (3) year period preceding this Contract been convicted of or had a judgment rendered against them for commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public transaction or contract under a public transaction; or a violation of f ederal or state antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property;
c. Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity (federal, state or local) with commission of any of the offenses enumerated in Section C, Paragraph 14, subparagraph b herein; and
d. Have not within a three (3)year period preceding this Contract had one (1) or more public transactions (federal, state or local) terminated for cause or default.

Contractor further certifies that if it or any of its subcontractors are business entities that must be registered with the California Secretary of State, they are registered and in good standing with the Secretary of State.

15. System for Award Management – Contractor shall not be identified as suspended or debarred on the federal System for Award Management’s (SAM) excluded list (https://www.sam.gov). If at any time during the term of the Contract, the County determines Contractor is identified as either suspended or debarred on the SAM, Contractor shall be considered in material breach of the Contract, and the County may proceed under the Correction of Performance Deficiencies section of the Contract, including immediate termination of the Contract. If Contractor becomes aware, at any point during the term of the Contract, that it is identified as suspended or debarred on the SAM excluded list, Contractor must immediately inform County. Such inclusion will be considered a material breach of the Contract and be sufficient grounds for immediate termination.

16. Drug and Alcohol-Free Workplace – In recognition of individual rights to work in a safe, healthful and productive workplace, as a material condition of this Contract, the Contractor agrees that the Contractor and the Contractor’s employees, while performing service for the County, on County property, or while using County equipment:

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a. Shall not be in any way impaired because of being under the influence of alcohol or an illegal or controlled substance.
b. Shall not possess an open container of alcohol or consume alcohol or possess or be under the influence of an illegal or controlled substance.
c. Shall not sell, offer, or provide alcohol or an illegal or controlled substance to another person, except where Contractor or Contractor’s employee who, as part of the performance of normal job duties and responsibilities, prescribes or administers medically prescribed drugs.

The Contractor shall inform all employees that are performing service for the County on County property, or using County equipment, of the County’s objective of a safe, healthful and productive work place and the prohibition of drug or alcohol use or impai rment from same while performing such service for the County.

The County may terminate for default or breach of this Contract and any other Contract the Contractor has with the County if the Contractor or Contractor’s employees are determined by the County not to be in compliance with above.

17. Duration of Terms – This Contract, and all of its terms and conditions, shall be binding upon and shall inure to the benefit of the heirs, executors, administrators, successors, and assigns of the respective parties, provided no such assignment is in violation of the provisions of this Contract.

18. Reserved.

19. Environmental Requirements – In accordance with County Policy 11-08, the County prefers to acquire and use products with higher levels of post-consumer recycled content. Environmentally preferable goods and materials must perform satisfactorily and be available at a reasonable price.

The County requires Contractor to use recycled paper for any printed or photocopied material created as a result of this Contract. Contractor is also required to use both sides of paper sheets for reports submitted to the County whenever practicable.

To assist the County in meeting the reporting requirements of the California Integrated Waste Management Act of 1989 (AB 939), Contractor must be able to annually report the County’s environmentally preferable purchases. Contractor must also be able to report on environmentally preferable goods and materials used in the provision of their service to the County, utilizing a County approved form.

EPA Regulations – If the amount available to Contractor under the Contract exceeds $100,000, Contractor will agree to comply with the Clean Air Act (42 U.S.C. section 7401 et seq.); section 508 of the Clean Water Act (33 U.S.C. section 1251 et seq.); Executive Order 11738 [38 Fed. Reg. 25161 (Sept. 10, 1973)]; and Environmental Protection Agency regulations (40 C.F.R.).

State Energy Conservation Clause – Contractor shall observe the mandatory standards and policies relating to energy efficiency in the State Energy Conservation Plan (California Code of Regulations (CCR), title 20, section 1401 et seq.).

20. Improper Influence – Contractor shall make all reasonable efforts to ensure that no County officer or employee, whose position in the County enables him/her to influence any award of the Contract or any competing offer, shall have any direct or indirect financial interest resulting from the award of the Contract or shall have any relationship to the Contractor or officer or employee of the Contractor.

21. Improper Consideration – Contractor shall not offer (either directly or through an intermediary) any improper consideration such as, but not limited to cash, discounts, service, the provision of travel or entertainment, or any items of value to any officer, employee, or agent of the County in an attempt to secure favorable treatment regarding this Contract.

The County, by written notice, may immediately terminate this Contract if it determines that any improper consideration as described in the preceding paragraph was offered to any officer, employee or agent of the County with respect to the proposal and award process. This prohibition

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shall apply to any amendment, extension or evaluation process once a contract has been awarded.

Contractor shall immediately report any attempt by a County officer, employee, or agent to solicit (either directly or through an intermediary) improper consideration from Contractor. The report shall be made to the supervisor or manager charged with supervision of the employee or the County Administrative Office. In the event of a termination under this provision, the County is entitled to pursue any available legal remedies.

22. Informal Dispute Resolution – In the event the County determines that service is unsatisfactory, or in the event of any other dispute, claim, question or disagreement arising from or relating to this Contract or breach thereof, the parties hereto shall use their best efforts to settle the dispute, claim, question or disagreement. To this effect, they shall consult and negotiate with each other in good faith and, recognizing their mutual interests, attempt to reach a just and equitable solution satisfactory to both parties.

23. Legality and Severability – The parties’ actions under the Contract shall comply with all applicable laws, rules, regulations, court orders and governmental agency orders. The provisions of this Contract are specifically made severable. If a provision of the Contract is terminated or held to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall remain in full effect.

24. Licenses, Permits and/or Certifications – Contractor shall ensure that it has all necessary licenses, permits and/or certifications required by federal , state, County, and municipal laws, ordinances, rules and regulations. The Contractor shall maintain these licenses, permits and/or certifications in effect for the duration of this Contract. Contractor will notify County immediately of loss or suspension of any such licenses, permits and/or certifications. Failure to maintain a required license, permit and/or certification may result in immediate termination of this Contract.

25. Material Misstatement/Misrepresentation – If during the course of the administration of this Contract, the County determines that Contractor has made a material misstatement or misrepresentation or that materially inaccurate information has been provided to the County, this Contract may be immediately terminated. If this Contract is terminated according to this provision, the County is entitled to pursue any available legal remedies.

26. Mutual Covenants – The parties to this Contract mutually covenant to perform all of their obligations hereunder, to exercise all discretion and rights granted hereunder, and to give all consents in a reasonable manner consistent with the standards of “good faith” and “fair dealing”.

27. Nondisclosure – Contractor shall protect from unauthorized use or disclosure names and other identifying information concerning persons receiving Services pursuant to this Contract, except for statistical information not identifying any participant. Contractor shall not use or disclose any identifying information for any other purpose other than carrying out the Contractor's obligations under this Contract, except as may be otherwise required by law. This provision will remain in force even after the termination of the Contract.

Contractor shall hold as confidential and use reasonable care to prevent unauthorized access by, storage, disclosure, publication, dissemination to and/or use by third parties of, confidential information that is either: (1) provided by the County to Contractor or an agent of Contractor or otherwise made available to Contractor or Contractor’s agent in connection with this Contract; or, (2) acquired, obtained, or learned by Contractor or an agent of Contractor in the performance of this Contract. For purposes of this provision, confidential information means any data, files, software, information or materials in oral, electronic, tangible or intangible form and however stored, compiled or memorialize and includes, but is not limited to, technology infrastructure, architecture, financial data, trade secrets, equipment specifications, user lists, passwords, research data, and technology data.

28. Notice of Delays – Except as otherwise provided herein, when either party has knowledge that any actual or potential situation is delaying or threatens to delay the timely performance of this Contract, that party shall, within twenty-four (24) hours, give notice thereof, including all relevant information with respect thereto, to the other party.

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29. Ownership of Documents – All documents, data, products, graphics, computer programs and reports prepared by Contractor pursuant to the Contract shall be considered property of the County upon payment for services (and product, if applicable). All such items shall be delivered to County at the completion of work under the Contract. Unless otherwise directed by County, Contractor may retain copies of such items.

30. Participation Clause – The County desires that Municipalities, School Districts, and other Tax Districts within San Bernardino County requiring the same services provided herein may at their option and through the County Purchasing agent, avail themselves of this Contract. Upon notice, in writing, the Contractor agrees to the extension of the terms of this Contract with such governmental bodies as though they have been expressly identified in this Contract , with the provisions that:
a. Such governmental body does not have and will not have in force any other contract for like purchases.
b. Such governmental body does not have under consideration for award any other bids or quotations for like purchases.

Such governmental body shall make purchases directly through and to the Contractor. The County will not be liable for any such purchase made between the Contractor and another governmental body who avails themselves of this Contract.

31. Air, Water Pollution Control, Safety and Health – Contractor shall comply with all air pollution control, water pollution, safety and health ordinances and statutes, including fire clearances, which apply to the work performed pursuant to this Contract.

32. Records – Contractor shall maintain all records and books pertaining to the delivery of services under this Contract and demonstrate accountability for contract performance. All records shall be complete and current and comply with all Contract requirements. Failure to maintain acceptable records shall be considered grounds for withholding of payments for invoices submitted and/or termination of the Contract.

All records relating to the Contractor’s personnel, consultants, subcontractors, Services/Scope of Work and expenses pertaining to this Contract shall be kept in a generally acceptable accounting format. Records should include primary source documents. Fiscal records shall be kept in accordance with Generally Accepted Accounting Principles and must account for all funds, tangible assets, revenue and expenditures. Fiscal records must comply with the appropriate Office of Management and Budget (OMB) Circulars, which state the administrative requirements, cost principles and other standards for accountancy. Please refer to http://www.ecfr.gov/cgi- bin/text-idx?tpl=/ecfrbrowse/Title02/2cfr200_main_02.tpl for further information.

Contractors expending $750,000 or more in federal funds annually shall have a single audit or program specific audit performed. A copy of the audit shall be maintained as part of the program’s fiscal records.

All records shall be complete and current and comply with all Contract requirements. Failure to maintain acceptable records per the preceding requirements shall be considered grounds for withholding payments for billings submitted and for termination of the Contract.

33. Relationship of the Parties – Nothing contained in this Contract shall be construed as creating a joint venture, partnership, or employment arrangement between the Parties hereto, nor shall either Party have the right, power or authority to create an obligation or duty, expressed or implied, on behalf of the other Party hereto.

34. Release of Information – No news releases, advertisements, public announcements or photographs arising out of the Contract or Contractor’s relationship with County may be made or used without prior written approval of the DAAS Director or their designee and shall include County approved branding.

35. Representation of the County – In the performance of this Contract, Contractor, its agents and employees, shall act in an independent capacity and not as officers, employees, or agents of San Bernardino County.

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36. Strict Performance – Failure by a party to insist upon the strict performance of any of the provisions of this Contract by the other party, or the failure by a party to exercise its rights upon the default of the other party, shall not constitute a waiver of such party’s ri ght to insist and demand strict compliance by the other party with the terms of this Contract thereafter.

37. Subcontracting – Contractor agrees not to enter into any subcontracting contract s for work contemplated under the Contract without first obtaining written approval from the County and the Director of DAAS through the HS Contracts Unit. Any subcontractor shall be subject to the same terms and conditions as Contractor. Contractor shall be fully responsible for the performance and payments of any subcontractor’s contract.

Contractor shall obtain County’s written consent, which County may withhold in its sole discretion, before entering into contracts with or otherwise engaging any subcontractors who may supply any part of the Services to County. At County’s request, Contractor shall provide information regarding the subcontractor’s qualifications and a listing of a subcontractor’s key personnel including, if requested by the County, resumes of proposed subcontractor personnel. Contractor shall remain directly responsible to County for its subcontractors and shall indemnify County for the actions or omissions of its subcontractors under the terms and conditions specified in Section G. All approved subcontractors shall be subject to the provisions of this Contract applicable to Contractor Personnel, including removal pursuant to Paragraph 6 of this Section C.

For any subcontractor, Contractor shall:
a. Be responsible for subcontractor compliance with the Contract and the subcontract terms and conditions; and
b. Ensure that the subcontractor follows County’s reporting formats and procedures as specified by County.
c. Include in the subcontractor’s subcontract substantially similar terms as are provided in Sections B. Contractor Responsibilities, C. General Contract Requirements and G.

Insurance and Indemnification.

Upon expiration or termination of this Contract for any reason, County will have the right to enter into direct Contracts with any of the subcontractors. Contractor agrees that its arrangements with subcontractors will not prohibit or restrict such subcontractors from entering into direct contracts with County.

38. Subpoena – In the event that a subpoena or other legal process commenced by a third party in any way concerning the Goods or Services provided under this Contract is served upon Contractor or County, such party agrees to notify the other party in the most expeditious fashion possible following receipt of such subpoena or other legal process. Contractor and County further agree to cooperate with the other party in any lawful effort by such other party to contest the legal validity of such subpoena or other legal process commenced by a third party as may be reasonably required and at the expense of the party to whom the legal process is directed, except as otherwise provided herein in connection with defense obligations by Contractor for County.

39. Termination for Convenience – The County reserves the right to terminate the Contract for its convenience, with or without cause , with a thirty (30) day written notice of termination. Such termination may include all or part of the services described herein. Upon such termination, payment will be made to the Contractor for services rendered and expenses reasonably incurred prior to the effective date of termination. Upon receipt of termination notice Contractor shall promptly discontinue services unless the notice directs otherwise. Contractor shall deliver promptly to County and transfer title (if necessary) all completed work, and work in progress, including drafts, documents, plans, forms, data, products, graphics, computer programs and reports.

40. Time of the Essence – Time is of the essence in performance of this Contract and of each of its provisions.

41. Venue – The parties acknowledge and agree that this Contract was entered into and intended to be performed in San Bernardino County, California. The parties agree that the venue of any

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action or claim brought by any party to this Contract will be the Superior Court of California, County of San Bernardino, San Bernardino District. Each party hereby waives any law or rule of the court, which would allow them to request or demand a change of venue. If any action or claim concerning this Contract is brought by any third-party and filed in another venue, the parties hereto agree to use their best efforts to obtain a change of venue to the Superior Court of California, County of San Bernardino, San Bernardino District.

42. Conflict of Interest – Contractor shall make all reasonable efforts to ensure that no conflict of interest exists between its officers, employees, or subcontractors and the County. Contractor shall make a reasonable effort to prevent employees, Contractor, or members of governing bodies from using their positions for purposes that are, or give the appearance of being, motivated by a desire for private gain for themselves or others , such as those with whom they have family business, or other ties. Officers , employees, and agents of cities, counties, districts, and other local agencies are subject to applicable conflict of interest codes and state law. In the event the County determines a conflict of interest situation exists, any increase in costs, associated with the conflict of interest situation, may be disallowed by the County and such conflict may constitute grounds for termination of the Contract. This provision shall not be construed to prohibit employment of persons with whom Contractor’s officers, employees, or agents have family, business, or other ties so long as the employment of such persons does not result in increased costs over those associated with the employment of any other equally qualified applicant.

43. Former County Administrative Officials – Contractor agrees to provide, or has already provided, information on former San Bernardino County administrative officials (as defined below) who are employed by or represent Contractor. The information provided includes a list of former County administrative officials who terminated County employment within the last five years and who are now officers, principals, partners, associates or members of the business. The information also includes the employment with or representation of Contractor. For purposes of this provision, “County administrative official” is defined as a member of the Board of Supervisors or such officer’s staff, County Executive Officer or member of such officer’s staff, County department or group head, assistant department or group head, or any employee in the Exempt Group, Management Unit or Safety Management Unit.

44. Disclosure of Criminal and Civil Procedures – The County reserves the right to request the information described herein from the Contractor. Failure to provide the information may result in a termination of the Contract. The County also reserves the right to obtain the requested information by way of a background check performed by an investigative firm. The Contractor also may be requested to provide information to clarify initial responses. Negative information discovered may result in Contract termination.

Contractor is required to disclose whether the firm, or any of its partners, principals, members, associates or key employees (as that term is defined herein), within the last ten (10) years, has been indicted on or had charges brought against it or them (if still pending) or convicted of any crime or offense arising directly or indirectly from the conduct of the firm’s business, or whether the firm, or any of its partners, principals, members, associates or key employees, has within the last ten (10) years, been indicted on or had charges brought against it or them (if still pending) or convicted of any crime or offense involving financial misconduct or fraud. If the response is affirmative, the Contractor will be asked to describe any such indictments or charges (and the status thereof), convictions and the surrounding circumstances in detail.

In addition, the Contractor is required to disclose whether the firm, or any of its partners, principals, members, associates or key employees, within the last ten (10) years, has been the subject of legal proceedings as defined herein arising directly from the provision of services by the firm or those individuals. “Legal proceedings” means any civil actions filed in a court of competent jurisdiction, or any matters filed by an administrative or regulatory body with jurisdiction over the firm or the individuals. If the response is affirmative, the Contractor will be asked to describe any such legal proceedings (and the status and disposition thereof) and the surrounding circumstances in detail.

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For purposes of this provision “key employees” includes any individuals providing direct service to the County. “Key employees” do not include clerical personnel providing service at the firm’s offices or locations.

45. Copyright – County shall have a royalty free, nonexclusive and irrevocable license to publish, disclose, copy, translate, and otherwise use, copyright or patent, now and hereafter, all reports, studies, information, data, statistics, forms, designs, plans, procedures, systems, and any other materials or properties developed under this Contract including those covered by copyright, and reserves the right to authorize others to use or reproduce such material. All such materials developed under the terms of t his Contract shall acknowledge San Bernardino County as the funding agency and Contractor as the creator of the publication. No such materials, or properties produced in whole or in part under this Contract shall be subject to private use, copyright or patent right by Contractor in the United States or in any other country without the express written consent of County. Copies of all educational and training materials, curricula, audio/visual aids, printer material, and periodicals, assembled pursuant to this Contract must be filed with the County prior to publication.

46. Artwork, Proofs and Negatives – All artwork, proofs, and/or negatives in either print or digital format for anything produced under the terms of this Contract are the property of the County.

These items must be returned to the County within ten (10) days, upon written notification to the Contractor. In the event of a failure to return the documents, the County is entitled to pursue any available legal remedies. In addition, the Contractor will be barred from all future solicitations, for a period of at least six (6) months.

47. Iran Contracting Act – IRAN CONTRACTING ACT OF 2010, Public Contract Code sections 2200 et seq. (Applicable for all Contracts of one million dollars ($1,000,000) or more). In accordance with Public Contract Code section 2204(a), the Contractor certifies that at the time the Contract is signed, the Contractor signing the Contract is not identified on a list created pursuant to subdivision (b) of Public Contract Code section 2203 as a person (as defined in Public Contract Code section 2202(e)) engaging in investment activities in Iran described in subdivision (a) of Public Contract Code section 2202.5, or as a person described in subdivision (b) of Public Contract Code section 2202.5, as applicable.

Contractors are cautioned that making a false certification may subject the Contractor to civil penalties, termination of an existing contract, and ineligibility to bid on a contract for a period of three (3) years in accordance with Public Contract Code section 2205.

48. Reserved.

49. California Consumer Privacy Act – To the extent applicable, if Contractor is a business that collects the personal information of a consumer(s) in performing Services pursuant to this Contract, Contractor must comply with the provisions of the California Consumer Privacy Act (CCPA) (California Civil Code sections 1798.100, et seq.). For purposes of this provision, “business,” “consumer,” and “personal information” shall have the same meanings as set forth at California Civil Code section 1798.140. Contractor must contact the County immediately upon receipt of any request by a consumer submitted pursuant to the CCPA that requires any action on the part of the County, including but not limited to, providing a list of discl osures or deleting personal information. Contractor must not sell, market or otherwise disclose personal information of a consumer provided by the County unless specifically authorized pursuant to terms of this Contract. Contractor must immediately provide to the County any notice provided by a consumer to Contractor purs uant to California Civil Code section 1798.150(b) alleging a violation of the CCPA that involves personal information received or maintained pursuant to this Contract.

Contractor must immediately notify the County if it receives a notice of violation from the California Attorney General pursuant to California Civil Code section 1798.155(b).

50. Vacancies – Contractor shall notify County of any continuing vacancies and any positions that become vacant during the term of this Contract that will result in reduction of services to be provided under this Contract. Upon notice of vacancies, the Contractor shall apprise County of the steps being taken to provide the services and to fill the position as expeditiously as possible.

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Vacancies and associated problems shall be reported to County on each periodically required report for the duration of said vacancies and/or problems.

51. Complaint and Grievance Procedure – Contractor shall provide a system, approved by the County, through which recipients of service shall have the opportunity to express and have considered their views and complaints regarding the delivery of services. The procedure must be in writing and posted in clear view of all recipients.

Contractor will ensure that staff are knowledgeable on the San Bernardino County Human Services Complaint and Grievance Procedure (Attachment B) and ensure that any complaints by recipients are referred to the County in accordance with the procedure.

52. Contractor Board of Directors’ Meetings – Contractor shall notify the County of all upcoming meetings of the Board of Directors or other governing party and shall keep the County apprised of any and all actions taken by its Board of Directors which may impact the Contract. Board of Directors’ min utes shall be submitted to the County upon request. Further, a County representative shall have the option of attending Board meetings during the term of this Contract.

53. Child Abuse Reporting – Contractor shall ensure that all known or suspected instances of child abuse or neglect are reported to the appropriate law enforcement agency or to the appropriate Child Protective Services agency. This responsibility shall include:
a. Assurance that all employees, agents, consultants or volunteers who perform services under this Contract and are mandated by Penal Code Sections 11164 et seq. to report child abuse or neglect, sign a statement, upon the commencement of their employment, acknowledging their reporting requirements and their compliance with them. b. Development and implementation of procedures for employees, agents, consultants, or volunteers who are not subject to the mandatory reporting laws for child abuse to report any observed or suspected incidents of child abuse to a mandated reporting party, within the program, who will ensure that the incident is reported to the appropriate agency. c. Provision for arrangement of training in child abuse reporting laws (Penal Code section 11164 et seq.) for all employees, agents, consultants, and volunteers, or verification that such persons have received training in the law within thirty (30) days of employment/volunteer activity.

54. Elder and Dependent Adult Abuse Reporting – Contractor agrees to and shall comply with the County’s Elder and Dependent Adult Abuse Reporting requirements:
a. Who Must Report: In accordance with Welfare and Institutions Code (W & I) Section 15630, all employees of the Contractor and its subcontractors are mandated reporters of elder and dependent adult abuse. Contractor assures all employees, agents, consultants or volunteers who perform services under this Contract and are mandated to report elder and dependent adult abuse will sign a st atement (SOC 341A) at http://www.cdss.ca.gov/cdssweb/entres/forms/English/SOC341A.pdf, upon the commencement of their employment, acknowledging their reporting requirements and their compliance with them.
b. When to Report: Mandated reporters are required to report all instances of known or suspected abuse of the elderly and dependent adults immediately or as soon as practically possible, under the following circumstances:
1) When the mandated reporter has observed or has knowledge of an incident that reasonably appears to be physical abuse, abandonment, isolation, neglect, financial abuse, mental abuse, or sexual abuse; or
2) When the mandated reporter is told by an elder or dependent adult that he or she has experienced behavior constituting physical abuse, abandonment, isolation, neglect, financial abuse, mental abuse, or sexual abuse. c. To Whom to Report: Incidents of elder and dependent adult abuse must be reported to the correct agency as follows:

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1) If the abuse has occurred in a long term care facility, except a state mental hospital or state developmental center, the report shall be made to the local Long Term Care Ombudsman or local law enforcement.
2) If the abuse has occurred in a state mental hospital or state developmental center, the report shall be made to the designated investigators of the State Department of Mental Health or the State Department of Developmental Services or to the local law enforcement.
3) If the abuse occurred anywhere other than a long term care facility or state mental hospital or state developmental center, the report shall be made to Adult Protective Services or local law enforcement.
d. How to Report: Mandated reporters are required to take the following steps in all instances of known or suspected abuse of the elderly and dependent adults:
1) Place an immediate telephone call to Adult Protective services (1 -877-565-2020) or local law enforcement to report the incident.
2) Within two (2) working days of making the telephonic report to the responsible agency, complete a written "Report of Suspected Dependent Adult/Elder Abuse" (SOC 341) form, http://www.cdss.ca.gov/Portals/9/FMUForms/Q - T/SOC341.pdf?ver=2018-11-15-132736-097. The completed form must be submitted to the same agency to which the incident was reported by telephone.

55. Reserved.

56. Pro-Children Act of 1994 – Contractor will comply with the Environmental Tobacco Smoke/Pro- Children Act of 1994 (20 U.S.C. 6081 et seq.).

57. Americans with Disabilities Act – Contractor shall comply with all applicable provisions of the Americans with Disabilities Act (ADA).

58. Public Accessibility – Contractor shall ensure that Services provided are accessible by public transportation.

59. Reserved.

60. 211 Registration – Contractor shall register with 2- 1-1 San Bernardino County Inland Empire United Way within thirty (30) days of the Contract effective date and follow necessary procedures to be included in the 2-1-1 database. The Contractor shall notify the 2-1-1 San Bernardino County Inland Empire United Way of any changes in program services, location or contact information within ten (10) days of any change. Services performed as a result of being included in the 2- 1- 1 database, are separate and apart from the services being performed under this Contract and payment for such services will not be the responsibility of the County.

61. Ownership Tools – The State and County shall have all ownership rights in software or modifications thereof and associated documentation designed, developed or installed with federal financial participation. The Federal Government (Department of Health and Human Services) reserves a royalty free, nonexclusive, and irrevocable license to reproduce, publish or otherwise use and to authorize others to use for Federal Government purposes, such software modification, and documentation. Proprietary software packages that are sold or leased to the general public are not subject to the ownership provisions.

62. Force Majeure – Neither party shall be liable for failure or delay to perform obligations under this Contract, which have become practicably impossible because of circumstances beyond the reasonable control of the applicable party. Such circumstances include without limitation, natural disasters or acts of God; acts of terrorism; labor disputes or stoppages; war; government acts or orders; epidemics, pandemics or outbreak of communicable disease; quarantines; national or regional emergencies; or any other cause, whether similar in kind to the foregoing or otherwise, beyond the party’s reasonable control. Written notice of a party’s failure or delay in performance due to force majeure must be given to the other party no later than thirty (30) days following t he force majeure event commencing, which notice shall describe the force majeure event and the

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actions taken to minimize the impact thereof. All delivery dates under this Contract affected by force majeure shall be tolled for the duration of such force majeure. The parties hereby agree, when feasible, not to cancel but reschedule the pertinent obligations and deliverables for mutually agreed dates as soon as practicable after the force majeure condition ceases to exist.

63. Order of Precedence – In the event of any inconsistency between the terms of this Contract and any forms, attachments, statements of work (SOW), or specifications which may be incorporated into this Contract, the following order of precedence shall apply:
a. This Contract;
b. Attachments to this Contract, as indicated herein; and c. Price lists, SOW, and other documents attached hereto or incorporated herein.

64. Equipment – County discourages the purchase of equipment with funds received under this Contract. All equipment, materials, supplies or property of any kind (including publications and copyrights, etc.) which have a single unit cost of five hundred dollars ($500) or more, including tax, purchased with funds received under the terms of this Contract and not fully consumed in one (1) year shall be the property of County and shall be subject to the provisions of this paragraph. The disposition of equipment or property of any kind shall be determined by County upon Contract termination.

65. Supersedes Prior Agreements – This Contract supersedes and replaces all previous contracts, agreements and understandings, oral, written and implied, between the County and Contractor hereto with respect to the subject matter hereof. All such prior contracts, agreements and understandings are hereby terminated and deemed of no further force or effect.

66. Executive Order N -6-22 Russian Sanctions – On March 4, 2022, Governor Gavin Newsom issued Executive Order N -6-22 (the EO) regarding Economic Sanctions against Russia and Russian entities and individuals. “Economic Sanctions” refers to sanctions imposed by the U.S. government in response to Russia’s actions in Ukraine ( https://home.treasury.gov/policy- issues/financial-sanctions/sanctions-programs-and-country-information/ukraine-russia-related- sanctions), as well as any sanctions imposed under state law (https://www.dgs.ca.gov/OLS/Ukraine-Russia). The EO directs state agencies and their contractors (including by agreement or receipt of a grant) to terminate contracts with, and to refrain from entering any new contracts with, individuals or entities that are determined to be a target of Economic Sanctions. Accordingly, should it be determined that Contractor is a target of Economic Sanctions or is conducting prohibited transactions with sanctioned individuals or entities, that shall be grounds for termination of this agreement. Contractor shall be provided advance written notice of such termination, allowing Contractor at least 30 calendar days to provide a written response.

Termination shall be at the sole discretion of the County.

67. Campaign Contribution Disclosure (SB 1439) – Contractor has disclosed to the County using Attachment E – Campaign Contribution D isclosure (AB 1439) , whether it has made any campaign contributions of more than $250 to any member of the Board of Supervisors within the earlier of: (1) the date of the submission of Contractor’s proposal to the County, or (2) 12 months before the date this Contract was approved by the Board of Supervisors. Contractor acknowledges that under Government Code section 84308, Contractor is prohibited from making campaign contributions of more than $250 to any member of the Board of Supervisors for 12 months after the County’s consideration of the Contract.

In the event of a proposed amendment to this Contract, the Contractor will provide the County a written statement disclosing any campaign contribution(s) of more than $250 to any member of the Board of Supervisors within the preceding 12 months of the date of the proposed amendment.

Campaign contributions include those made by any agent/person/entity on behalf of the Contractor or by a parent, subsidiary or otherwise related business entity of contractor.

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D. TERM OF CONTRACT

1. This Contract is effective as of October 1, 2024 and expires September 30, 2025 but may be terminated earlier in accordance with provisions of this Contract . The Contract term may be extended for three (3) additional one (1) year periods by mutual agreement of the parties.

2. The County may terminate the Contract immediately if the funds under Section F Paragraph 1 are not available to the County, and under the provisions of Section I, Paragraph 3 , Item e , of the Contract, or as otherwise provided in this Contract. In addition, the Contract may be terminated without cause by the County by serving a written notice to the Contractor thirty (30) days in advance of termination. The Assistant Executive Officer is authorized to exercise the County’s rights with respect to any termination of this Contract.

3. Contractor shall only be reimbursed for costs and uncancelable obligations incurred prior to the date of termination. Contractor shall not be reimbursed for costs incurred after the date of termination.

4. Upon receipt of termination notice Contractor shall promptly discontinue services unless the notice directs otherwise. Contractor shall deliver promptly to County and transfer title (if necessary) all completed work, and work in progress, including drafts, documents, plans, forms, data, products, graphics, computer programs and reports.

E. COUNTY RESPONSIBILITIES
County shall:

1. Develop and maintain professional relationships and open communication with Contractor.

2. Monitor and evaluate Contractor performance on an ongoing basis and schedule periodic meetings with Contractor to discuss performance, problem areas, procedures, and recommend changes.

3. Provide consultation and technical assistance in monitoring the terms of the Contract.

4. Compensate Contractor per the provisions outlined in the Fiscal Provisions section of this Contract.

5. Negotiate modifications or revisions of service to assure that all necessary service/program requirements are covered.

F. FISCAL PROVISIONS

1. The maximum amount of reimbursement under this Contract shall not exceed $99,900 and shall be subject to availability of other funds to the County. The consideration to be paid to Contractor, as provided herein, shall be in full payment for all Contractor’s services and expenses incurred in the performance hereof, including travel and per diem.

2. Contractor shall be compensated on a cost -reimbursement basis, per the Program Budget (Attachment D) and incorporated by reference into this Contract.

3. A monthly invoice is due to DAAS Administration by the tenth (10 th) working day of the month
following the month of service. Invoices shall be mailed to the following address:

DAAS Administration
Attention: Fiscal Analyst
784 East Hospitality Lane
San Bernardino, CA 92415-0515
Email: [email protected]
Invoices shall be issued with corresponding SAP Contract and/or Purchasing Order number stated on the invoice and shall be processed with a net sixty (60) day payment term following approval by County.

4. Contractor shall accept all payments from County via electronic funds transfer (EFT) directly deposited into the Contractor’s designated checking or other bank account. Contractor shall

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promptly comply with directions and accurately complete forms provided by County required to process EFT payments.

5. County is exempt from federal excise taxes and no payment shall be made for any personal property taxes levied on Contractor or on any taxes levied on employee wages. The County shall only pay for any state or local sales or use taxes on the services rendered or equipment and/or parts supplied to the County pursuant to the Contract.

6. Costs for services under the terms of this Contract shall be incurred during the contract period except as approved by County. Contractor shall not use current year funds to pay prior or future year obligations.

7. Funds made available under this Contract shall not supplant any federal, state or any governmental funds intended for services of the same nature as this Contract. Contractor shall not claim reimbursement or payment from County for, or apply sums received from County with respect to that portion of its obligations that have been paid by another source of revenue.

Contractor agrees that it will not use funds received pursuant to this Contract, either directly or indirectly, as a contribution or compensation for purposes of obtaining funds from another revenue source without prior written approval of the County.

8. Contractor shall adhere to the County’s Travel Management Policy (8 -02 and 08-02SP1) when travel is pursuant to this Contract and for which reimbursement is sought from the County. In addition, Contractor is encouraged to utilize local transportation services, including but not limited to, the Ontario International Airport.

G. INDEMNIFICATION AND INSURANCE REQUIREMENTS

1. Indemnification –The Contractor agrees to indemnify, defend (with counsel reasonably approved by County) and hold harmless the County and its authorized officers, employees, agents and volunteers from any and all claims, actions, losses, damages and/or liability arising out of this Contract from any cause whatsoever, including the acts, errors or omissions of any person and for any costs or expenses incurred by the County on account of any claim except where such indemnification is prohibited by law. This indemnification p rovision shall apply regardless of the existence or degree of fault of indemnities. The Contractor indemnification obligation applies to the County’s “active” as well as “passive” negligence but does not apply to the County’s “sole negligence” or “willful misconduct” within the meaning of Civil Code section 2782.

2. Additional Insured – All policies, except for Worker’s Compensation, Errors and Omissions and Professional Liability policies shall contain additional endorsements naming the County and its officers, employees, agents and volunteers as additional named insured with respect to liabilities arising out of the performance of services hereunder. The additional insured endorsements shall not limit the scope of coverage for the County to vicarious liability but shall allow coverage for the County to the full extent provided by the policy. Such additional insured coverage shall be at least as broad as Additional Insured (Form B) endorsement form ISO, CG 2010.11 85.

3. Waiver of Subrogation Rights – The Contractor shall require the carriers of required coverages to waive all rights of subrogation against the County, its officers, employees, agents, volunteers, contractors and subcontractors. All general or auto liability insurance coverage provided shall not prohibit the Contractor and Contractor’s employees or agents from waiving the right of subrogation prior to a loss or claim. The Contractor hereby waives all rights of subrogation against the County.

4. Policies Primary and Non- Contributory – All policies required herein are to be primary and noncontributory with any insurance or self -insurance programs carried or administered by the County.

5. Severability of Interests – The Contractor agrees to ensure that coverage provided to meet these requirements is applicable separately to each insured and there will be no cross liability exclusions that preclude coverage for suits between the Contractor and the County or between the County and any other insured or additional insured under the policy.

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6. Proof of Coverage – The Contractor shall furnish Certificates of Insurance to the County Department administering the Contract evidencing the insurance coverage at the time the Contract is executed, additional endorsements, as required shall be provided prior to the commencement of performance of services hereunder, which certificates shall provide that such insurance shall not be terminated or expire without thirty (30) days written notice to the Department, and Contractor shall maintain such insurance from the time Contractor commences performance of services hereunder until the completion of such services. Within fifteen (15) days of the commencement of this contract, the Contractor shall furnish a copy of the Declaration page for all applicable policies and will provide complete certified copies of the policies and endorsements immediately upon request.

7. Acceptability of Insurance Carrier – Unless otherwise approved by Risk Management, insurance shall be written by insurers authorized to do business in the State of California and with a minimum “Best” Insurance Guide rating of “A- VII”.

8. Deductibles and Self-Insured Retention – Any and all deductibles or self-insured retentions in excess of $10,000 shall be declared to and approved by Risk Management.

9. Failure to Procure Coverage – In the event that any policy of insurance required under this Contract does not comply with the requirements, is not procured, or is canceled and not replaced, the County has the right but not the obligation or duty to cancel the Contract or obtain insurance if it deems necessary and any premiums paid by the County will be promptly reimbursed by the Contractor or County payments to the Contractor will be reduced to pay for County purchased insurance.

10. Insurance Review – Insurance requirements are subject to periodic review by the County. The Director of Risk Management or designee is authorized, but not required, to reduce, waive or suspend any insurance requirements whenever Risk Management determines that any of the required insurance is not available, is unreasonably priced, or is not needed to protect the interests of the County. In addition, if the Department of Risk Management determines that heretofore unreasonably priced or unavailable types of insurance cover age or coverage limits become reasonably priced or available, the Director of Risk Management or designee is authorized, but not required, to change the above insurance requirements to require additional types of insurance coverage or higher coverage limit s, provided that any such change is reasonable in light of past claims against the County, inflation, or any other item reasonably related to the County’s risk.

Any change requiring additional types of insurance coverage or higher coverage limits must be made by amendment to this contract. Contractor agrees to execute any such amendment within thirty (30) days of receipt.

Any failure, actual or alleged, on the part of the County to monitor or enforce compliance with any of the insurance and indemnification requirements will not be deemed as a waiver of any rights on the part of the County.

11. Insurance Specifications – The Contractor agrees to provide insurance set forth in accordance with the requirements herein. If the Contractor uses existing coverage to comply with these requirements and that coverage does not meet the specified requirements, the Contractor agrees to amend, supplement or endorse the existing coverage to do so.

Without in anyway affecting the indemnity herein provided and in addition thereto, the Contractor shall secure and maintain throughout the contract term the following types of insurance with limits as shown:
a. Workers’ Compensation/Employer’s Liability – A program of Workers’ Compensation insurance or a state-approved, self-insurance program in an amount and form to meet all applicable requirements of the Labor Code of the State of California, including Employer’s Liability with $250,000 limits covering all persons including volunteers providing services on behalf of the Contractor and all risks to such persons under this contract.

If Contractor has no employees, it may certify or warrant to the County that it does not currently have any employees or individuals who are defined as “employees” under the

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Labor Code and the requirement for Workers’ Compensation coverage will be waived by the County’s Director of Risk Management.

With respect to Contractors that are non-profit corporations organized under California or Federal law, volunteers for such entities are required to be covered by Workers’ Compensation insurance.
b. Commercial/General Liability Insurance – The Contractor shall carry General Liability Insurance covering all operations performed by or on behalf of the Contractor providing coverage for bodily injury and property damage with a combined single limit of not less than one million dollars ($1,000,000), per occurrence. The policy coverage shall include:
1) Premises operations and mobile equipment.
2) Products and completed operations.
3) Broad form property damage (including completed operations). 4) Explosion, collapse and underground hazards.
5) Personal injury.
6) Contractual liability.
7) $2,000,000 general aggregate limit.
c. Automobile Liability Insurance – Primary insurance coverage shall be written on ISO Business Auto coverage form for all owned, hired and non-owned automobiles or symbol 1 (any auto). The policy shall have a combined single limit of not less than one million dollars ($1,000,000) for bodily injury and property damage, per occurrence.

If the Contractor is transporting one (1) or more nonemployee passengers in performance of contract services, the automobile liability policy shall have a combined single limit of two million dollars ($2,000,000) for bodily injury and property damage per occurrence.

If the Contractor owns no autos, a non- owned auto endorsement to the General Liability policy described above is acceptable.
d. Umbrella Liability Insurance – An umbrella (over primary) or excess policy may be used to comply with limits or other primary coverage requirements. When used, the umbrella policy shall apply to bodily injury/property damage, personal injury/advertising injury and shall include a “dropdown” provision providing primary coverage for any liability not covered by the primary policy. The coverage shall also apply to automobile liability. e. Professional Liability – Professional Liability Insurance with limits of not less than one million ($1,000,000) per claim and two million ($2,000,000) aggregate limits. or
Errors and Omissions Liability Insurance – Errors and Omissions Liability Insurance with limits of not less than one million ($1,000,000) and two million ($2,000,000) aggregate limits.
or
Directors and Officers Insurance coverage with limits of not less than one million ($1,000,000) shall be required for Contracts with charter labor committees or other not - for-profit organizations advising or acting on behalf of the County.

If insurance coverage is provided on a “claims made” policy, the “retroactive date” shall be shown and must be before the date of the start of the Contract work. The claims made insurance shall be maintained or “tail” coverage provided for a minimum of five (5) years after contract completion.
f. Cyber Liability Insurance – Cyber Liability Insurance with limits of no less than $1,000,000 for each occurrence or event with an annual aggregate of $2,000,000 covering privacy violations, information theft, damage to or destruction of electronic information,

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intentional and/or unintentional release of private information, alteration of electronic information, extortion and network security. The policy shall protect the involved County entities and cover breach response cost as well as regulatory fines and penalties. g. Abuse/Molestation Insurance – Contractor shall have abuse or molestation insurance providing coverage for all employees for the actual or threatened abuse or molestation by anyone of any person in the care, custody, or control of any insured, including negligent employment, investigation and supervision. The policy shall provide coverage for both defense and indemnity with liability limits of not less than one million dollars ($1,000,000) with a two million dollars ($2,000,000) aggregate limit.

H. RIGHT TO MONITOR AND AUDIT

1. The County, State and Federal government shall have absolute right to review and audit all records, books, papers, documents, corporate minutes, and other pertinent items as requested, and shall have absolute right to monitor the performance of Contractor in the delivery of services provided under this Contract. Contractor shall give full cooperation, in any auditing or monitoring conducted. Contractor shall cooperate with the County in the implementation, monitoring, and evaluation of this Contract and comply with any and all reporting requirements established by the County.

2. All records pertaining to services delivered and all fiscal, statistical and management books and records shall be available for examination and audit by County representatives for a period of three years after final payment under this Contract or until al l pending County, state and federal audits are completed, whichever is later. Records of the Contractor which do not pertain to the services under this Contract may be subject to review or audit unless provided in this or another Contract. Technical program data shall be retained locally and made available upon the County’s reasonable advance written notice or turned over to County. If said records are not made available at the scheduled monitoring visit, Contractor may, at County's option, be required t o reimburse County for expenses incurred due to required rescheduling of monitoring visit(s). Such reimbursement will not exceed $50 per hour (including travel time) and may be deducted from the following month's claim for reimbursement.

3. Contractor shall cooperate with County in the implementation, monitoring and evaluation of this Contract and comply with any and all reporting requirements established by this Contract.

4. Contractor shall provide all reasonable facilities and assistance for the safety and convenience of County's representatives in the performance of their duties. All inspections and evaluations shall be performed in such a manner as will not unduly delay the work of the Contractor.

5. Upon County request, Contractor shall hire a licensed Certified Public Accountant, approved by the County, who shall prepare and file with County, within sixty (60) days after the termination of the Contract, a certified fiscal audit of related expenditures during the term of the Contract and a program compliance audit.

6. Pursuant to Code of Federal Regulations (CFR) – Title 2 CFR 200.501, contractors expending $750,000 or more in federal funds within the Contractor’s fiscal year must have a single audit or program-specific audit performed. A copy of the audit performed in accordance with Title 2 CFR 200.501 shall be submitted to the County w ithin thirty (30) days of completion, but no later than nine (9) months following the end of the Contractor’s fiscal year. Please refer to http://www.ecfr.gov/cgi-bin/text-idx?node=se2.1.200_1501&rgn=dv8 for further information.

7. The following closely related programs identified by the Catalog of Federal Domestic Assistance (CFDA) number are to be considered as an "Other cluster" for purposes of determining major programs or whether a program specific audit may be elected. The Contractor shall communicate this information to the independent auditor conducting the organization's single audit.

US Department of Health and Human Services:

Number: Title

8. County is required to identify the Contractor Unique Entity Identification (UEI) number, as known in the federal System for Award Management (SAM), and Federal Award Identification Number

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(FAIN) in all County contracts that include f ederal funds or pass through of f ederal funds. This information is required in order for the County to remain in compliance with Title 2 CFR Section 200.331 and remain eligible to receive f ederal funding. The Contractor shall provide the Contractor name as registered in SAM, as well as the UEI number to be included in this Contract.

Related FAIN will be included in this Contract by the County.

Contractor Name as
registered in SAM
UEI
FAIN
I. CORRECTION OF PERFORMANCE DEFICIENCIES

1. In the event of a problem or potential problem that could impact the quality or quantity of work, Services, or the level or performance under this Contract, Contractor shall notify the County within one (1) working day, in writing and by telephone.

2. Failure by Contractor to comply with any of the provisions, covenants, requirements or conditions of this Contract shall be a material breach of this Contract.

3. In the event of a non-cured breach, County may, at its sole discretion and in addition to any other remedies available at law, in equity, or otherwise specified in this Contract:
a. Afford Contractor thereafter a time period within which to cure the breach, which period shall be established at the sole discretion of County; and/or b. Discontinue reimbursement to Contractor for and during the period in which Contractor is in breach, which reimbursement shall not be entitled to later recovery; and/or c. Withhold funds pending duration of the breach; and/or d. Offset against any monies billed by Contractor but yet unpaid by County those monies disallowed pursuant to Item “b” of this paragraph; and/or e. Terminate this Contract immediately and be relieved of the payment of any consideration to Contractor. In the event of such termination, the County may proceed with the work in any manner deemed proper by the County. The cost to the County shall be deduc ted from any sum due to the Contractor under this Contract and the balance, if any, shall be paid by the Contractor upon demand.

4. Unless a remedy is specifically designated as exclusive, no remedy conferred by any of the specific provision of the Contract is intended to be exclusive of any other remedy, and each and every remedy shall be cumulative and shall be in addition to every other remedy given hereunder, now or hereafter existing at law or in equity or by statute or otherwise. The election of any one (1) or more remedies by either Party shall not constitute a waiver of the right to pursue other available remedies.

J. INFORMATION INTEGRITY AND SECURITY

1. Information Assets – The Contractor shall have in place operational policies, procedures, and practices to protect state information assets, i.e., public, confidential, sensitive and/or personal information as specified in State Administrative Manual 5300 to 5365.3, California Government Code section 11019.9, Information Security Program Management Standard SIMM 5305- A, Department of Finance Budget Letter 06-34, and California Department of Aging (CDA) Program Memorandum 07-18 Protection of Information Assets and the Statewide Health Information Policy Manual.

Information assets include, but are not limited to:
a. Information collected and/or accessed in the administration of the state programs and services.
b. Information stored in any media form (paper or electronic).

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2. Encryption on Portable Computing Devices – The Contractor is required to encrypt, or use an equally effective measure, any data collected under the Contract that is confidential, sensitive, and/or personal, including data stored on portable computing devic es, including, but not limited to, laptops, personal digital assistants, and notebook computers, and/or portable electronic storage media, including, but not limited to, discs, thumb/flash drives, and portable hard drives.

3. Disclosure
a. The Contractor shall ensure that personal, sensitive, and confidential information is protected from inappropriate or unauthorized access or disclosure in accordance with applicable laws, regulations and state policies. The requirement to protect information shall remain in force until superseded by laws, regulations, or policies. b. “Identifying information” shall include, but is not limited to, name, identifying number, social security number, state Driver License or state identification number, financial account numbers, symbol, or other identifying characteristic assigned to the individual, such as finger or voice print or a photograph.
c. The Contractor shall not, except as otherwise specifically authorized or required by this Contract or court order, disclose any identifying information obtained under the terms of this Contract to anyone other than DAAS and/or CDA without prior written authorization from DAAS or CDA. The Contractor may be authorized, in writing, by a participant to disclose identifying information specific to the authorizing participant.

4. Training/Education
a. The Contractor must provide ongoing education and training, at least annually, to all employees and subcontractors who handle personal, sensitive, or confidential information. Contractor employees, subcontractors, and volunteers must complete the required Security Awareness Training module located at
https://aging.ca.gov/Information_security/ or Contractor may substitute CDA’s Security Awareness Training program with its own Security Training provided such training meets or exceeds CDA’s training requirement. Training must be conducted within thirty (30) days of the start date of the Contract or within thirty (30) days of the start date of any new employee, subcontractor or volunteer.
b. The Contractor must maintain certificates of completion on file and provide them to DAAS upon request. Training may be provided on an individual basis or in groups. A sign-in sheet is acceptable documentation for group training in lieu of individual cert ificates. If internet access is not available, a hardcopy of the training module may be provided to employees and/or volunteers for their completion.

5. Contractor’s Confidentiality Statement – The Contractor shall sign and return a Confidentiality Statement CDA 1024 form with this Contract. This is to ensure that Contractors are aware of, and agree to comply with, their obligations to protect CDA information assets from unauthorized access and disclosure.

6. Security Incident Reporting – A security incident occurs when CDA information assets are accessed, modified, destroyed, or disclosed without proper authorization or are lost, or stolen. The Contractor must report all security incidents to DAAS immediately upon detection. A Security Incident Report form (CDA 1025) must be submitted to DAAS within five (5) business days of the date the incident was detected.

7. Notification of Security Breach to Data Subjects
a. Notice must be given by the Contractor or subcontractor to any data subject whose personal information could have been breached.
b. Notice must be given in the most expedient time possible and without unreasonable delay except when notification would impede a criminal investigation, or when necessary measures to restore system integrity are required.

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c. Notice may be provided in writing, electronically, or by substitute notice in accordance with state law, regulation, or policy.

8. Software Maintenance – The Contractor shall apply security patches and upgrades and keep virus software up to date on all systems on which data collected under this Contract that is confidential, sensitive, and/or personal may be used.

K. EQUAL EMPLOYMENT/EMPLOYMENT DISCRIMINATION/CIVIL RIGHTS

1. Equal Employment Opportunity Program - Contractor agrees to comply with: the provisions of the San Bernardino County Equal Employment Opportunity Program and rules and regulations adopted pursuant thereto; Executive Order 11246 [30 Fed. Reg. 12319 (Sept. 24, 1965)], as amended by Executive Orders 11375, 11625, 12138, 12432, 12250, and 13672; Title VII of the Civil Right s Act of 1964 (42 U.S.C. section 2000(e), et seq.); Division 21 of the California Department of Social Services Manual of Policies and Procedures; California Welfare and Institutions Code section 10000; the California Fair Employment and Housing Act (Cal. Gov. Code section 12900, et seq.); and other applicable federal, state, and County laws, regulations and policies relating to equal employment or social services to welfare recipients, including laws and regulations hereafter enacted.

The Contractor shall not unlawfully discriminate against any employee, applicant for employment, or service recipient on the basis of race, color, national origin or ancestry, religion, sex, marital status, age, political affiliation or disability. Inform ation on the above rules and regulations may be obtained from the County.

2. Employment Discrimination – During the term of the Contract, Contractor shall not discriminate against any employee or applicant for employment or service recipient because of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status , sex, gender, gender identity, gender expression, sexual orientation, age, or military and veteran status. Contractor shall comply with Executive Orders 11246, 11375, 11625, 12138, 12432, 12250, 13672, Title VI and Title VII of the Civil Rights Act of 1964, the California Fair Employment and Housing Act and other applicable federal, state and County laws and regulations and policies relating to equal employment and contracting opportunities, including laws and regulations hereafter enacted.

3. Civil Rights Compliance – The Contractor shall develop and maintain internal policies and procedures to assure compliance with each factor outlined by s tate regulation. These policies must be developed into a Civil Rights Plan, which is to be on file with the County within thirty (30) days of awarding of the Contract. The Plan must address prohibition of discriminatory practices, accessibility, language serv ices, staff development and training, dissemination of information, complaints of discrimination, compliance review, and duti es of the Civil Rights Liaison. Upon request, the County will supply a sample of the Plan format. The Contractor will be monitored by the County for compliance with provisions of its Civil Rights Plan. Additionally, the Contractor shall submit to County an Assurance of Compliance with the California Department of Social Services Nondiscrimination in State and Federally Assisted Programs Statement (Attachment C) annually.

Contractor shall recognize any same sex marriage legally entered into in a United States (U.S.) jurisdiction that recognizes their marriage, including one of the fifty (50) states, the District of Columbia, or a U.S. territory, or in a foreign country so long as that marriage would also be recognized by a U.S. jurisdiction. This applies regardless of whether or not the couple resides in a jurisdiction that recognizes same sex marriage. However, this does not apply to registered domestic partnerships, civil unions or similar formal relationships recognized under the law of the jurisdiction of celebration as something other than a marriage. Accordingly, recipients must review and revise, as needed, any policies and procedures which interpret or apply federal statutory or regulatory references to such terms as "marriage," "spouse," family," "household member"' or similar references to familial relationships to reflect inclusion of same sex spouse and marriages.

Any similar familial terminology references in the U.S. Department of Health and Human Services' (HHS) statutes, regulations, or policy transmittals will be interpreted to include same sex spouses

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and marriages legally entered into as described herein. [ 1 U.S.C. section 7(Section 3 of the Defense of Marriage Act)].

4. S.W.A.G. – The Contractor and its subcontractor vendors shall comply with Governor's Executive Order 2 -18-2011, which bans expenditures on promotional and marketing items colloquially known as "S.W.A.G." or “Stuff We All Get”.

5. Bilingual and Linguistic Program Services
a. The Contractor shall take reasonable steps, based upon the linguistic needs of the service area to ensure that "alternative communication services" are available to non -English speaking or limited English proficiency (LEP) beneficiaries of services under this Contract. [2 CCR 11162].
b. “Alternative communication services” include, but are not limited to, the provision of services and programs by means of the following:
1) Interpreters or bilingual providers and provider staff. 2) Contracts with interpreter services.
3) Use of telephone interpreter lines.
4) Sharing of language assistance materials and services with other providers. 5) Translated written information materials, including but not limited to, enrollment information and descriptions of available services and programs. 6) Referral to culturally and linguistically appropriate community service programs. c. The Contractor shall notify its employees of clients' rights regarding language access and the Contractor's obligation to ensure access to alternative communication services where determined appropriate based upon the needs assessment conducted by the Contractor.

Noncompliance with this section may result in suspension or termination of funds and/or termination of this Agreement.

6. Equity – Contractor shall adhere to and participate in County efforts ensuring all individuals and communities have equal access and opportunity to health and wellbeing by providing culturally and linguistically appropriate services to all people of color and culture, age, disabilities, gender, sexual orientation, or gender identity including people with limited English proficiency (LEP).

Services provided must be respectful of and responsive to the cultural and linguistic needs of County residents.
a. Contractor shall assess the demographic make- up and population trends of its service area to identify the cultural and linguistic needs of the eligible service population. Such studies are critical to designing and planning for providing appropriate, effec tive and equitable services.
b. Contractor shall partner with and support community partners in addressing disparities in family stability, health and mental wellness, education, employment, housing and overall delivery of human services. Partnering includes opportunities for partners and community members to design, implement and evaluate practices, and services ensuring equity and cultural and linguistic appropriateness.
c. Contractor shall work with County to communicate and provide opportunities for individuals and communities of color and culture to provide feedback on progress and outcomes achieved to address disparities in family stability, health and mental wellness, education, employment, housing, and overall delivery of human services. d. Contractor shall recruit, promote, and support a culturally and linguistically diverse workforce that is responsive to and represents the population being served. This includes trained and competent bilingual staff.
e. Contractor shall provide training to enhance its workforce knowledge on cultural and linguistic competence. Becoming culturally and linguistically competent is a

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developmental process and incorporates at all levels the importance of culture, the assessment of cross cultural relations, vigilance towards the dynamics that result from cultural differences, the expansion of cultural knowledge, and the adaptation of services to meet culturally unique needs. Providing services in a culturally appropriate and responsive manner is fundamental in any effort to ensure success of high quality and cost effective health and human services. Offering those services in a manner that fails to achieve its intended result due to cultural and linguistic barriers does not reflect quality of care and is not cost effective.
f. To ensure equal access to quality care for diverse populations, Contractors providing health and health care services may adopt the Federal Office of Minority Health Culturally and Linguistically Appropriate Services (CLAS) national standards. g. Upon request, Contractor will provide County Human Services evidence of adherence to requirements listed above.

L. NOTICES
All written notices provided for in this Contract or which either party desires to give to the other shall be deemed fully given, when made in writing and either served personally, or by facsimile, or by email, or deposited in the United States mail, postage prepaid, and addressed to the other party as follows:

San Bernardino County
Human Services Contracts Unit
150 South Lena Road
San Bernardino, CA 92407
Facsimile: 909-387-2900
Email: [email protected]

City of San Bernardino
290 N. D Street
San Bernardino, CA 92401
Facsimile:

Email: [email protected]
Notice shall be deemed communicated two (2) County working days from the time of mailing, facsimile, or email, if delivered as provided in this paragraph.

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M. ENTIRE AGREEMENT

1. This Contract, including all Exhibits and other attachments, which are attached hereto and incorporated by reference, and other documents incorporated herein, represents the final, complete and exclusive agreement between the parties hereto. Any prior agreement, promises, negotiations or representations relating to the subject matter of this Contract not expressly set forth herein are of no force or effect. This Contract is executed without reliance upon any promise, warranty or representation by any party or any representative of any party other than those expressly contained herein. Each party has carefully read this Contract and signs the same of its own free will.

2. This Contract may be executed in any number of counterparts, each of which so executed shall be deemed to be an original, and such counterparts shall together constitute one and the same Contract. The parties shall be entitled to sign and transmit an electronic signature of this Contract (whether by facsimile, PDF or other email transmission), which signature shall be binding on the party whose name is contained therein. Each party providing an electronic signature agrees to promptly execute and deliver to the other party an original signed Contract upon request.

IN WITNESS WHEREOF , San Bernardino County and the Contractor have each caused this Contract to be subscribed by its respective duly authorized officers, on its behalf.

FOR COUNTY USE ONLY
Approved as to Legal Form Reviewed for Contract Compliance Reviewed/Approved by Department

Jacqueline Carey-Wilson, Deputy County Counsel Patty Steven, Contracts Manager Sharon Nevins, Director Date Date Date

SAN BERNARDINO COUNTY City of San Bernardino
(Print or type name of corporation, company, contractor, etc.)

Dawn Rowe, Chair, Board of Supervisors (Authorized signature - sign in blue ink) Dated:

Name Rochelle Clayton
SIGNED AND CERTIFIED THAT A COPY OF THIS (Print or type name of person signing contract)

DOCUMENT HAS BEEN DELIVERED TO THE
CHAIRMAN OF THE BOARD Title Acting City Manager
Lynna Monell
Clerk of the Board of Supervisors
San Bernardino County
(Print or Type)
By Dated:

Deputy
Address 290 N. D Street

San Bernardino, CA 92401

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ATTACHMENT A

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Mayor and City CouncilNovember 5, 2025

Mayor and City Council
November 5, 2025