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Agenda packet

Mayor and City Council
February 18, 2026

Document
Agenda packet
Meeting
February 18, 2026
Body
Mayor and City Council
Pages
23
Original file
47.0 MB
Text extracted from the city's file for reading and search. Open the original on sanbernardino.primegov.com. That file is the official record.

Mayor and City Council of the City of San Bernardino Page 1

CITY OF SAN BERNARDINO

REVISED AGENDA

FOR THE

REGULAR MEETING OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO,

MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE SUCCESSOR

AGENCY TO THE REDEVELOPMENT AGENCY, MAYOR AND CITY COUNCIL OF THE CITY OF SAN

BERNARDINO ACTING AS THE SUCCESSOR HOUSING AGENCY TO THE REDEVELOPMENT

AGENCY, AND MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE

HOUSING AUTHORITY, AND MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO

ACTING AS THE SAN BERNARDINO JOINT POWERS FINANCING AUTHORITY

WEDNESDAY, FEBRUARY 18, 2026
3:30 PM - CLOSED SESSION 5:00 PM - OPEN SESSION
NORMAN F. FELDHEYM CENTRAL LIBRARY • 555 WEST 6TH STREET • SAN BERNARDINO, CA 92410 • WWW.SBCITY.ORG

Theodore Sanchez Helen Tran

Dr. Treasure Ortiz
COUNCIL MEMBER, WARD 1 COUNCIL MEMBER, WARD 7
MAYOR
Sandra Ibarra Eric Levitt
COUNCIL MEMBER, WARD 2 CITY MANAGER
Juan Figueroa

Sonia Carvalho
COUNCIL MEMBER, WARD 3 CITY ATTORNEY
Fred Shorett

Telicia Lopez
COUNCIL MEMBER, WARD 4 CITY CLERK
Kim Knaus

MAYOR PRO TEM, WARD 5
Mario Flores

COUNCIL MEMBER, WARD 6
Welcome to a meeting of the Mayor and City Council of the City of San Bernardino

PLEASE VIEW THE LAST PAGES OF THE AGENDA FOR PUBLIC

COMMENT OPTIONS, OR CLICK ON THE FOLLOWING
LINK: TINYURL.COM/MCCPUBLICCOMMENTS
PLEASE CONTACT THE CITY CLERK'S OFFICE (909) 998-2680 TWO

WORKING DAYS PRIOR TO THE MEETING FOR ANY REQUESTS FOR

REASONABLE ACCOMMODATIONS
To view PowerPoint presentations, written comments, or any revised documents for this meeting date, use this link: tinyurl.com/agendabackup.

Select the corresponding year and meeting date folders to view documents.

Mayor and City Council of the City of San Bernardino Page 2

CALL TO ORDER

Attendee Name
Council Member, Ward 1 Theodore Sanchez
Council Member, Ward 2 Sandra Ibarra
Council Member, Ward 3 Juan Figueroa
Council Member, Ward 4 Fred Shorett
Mayor Pro Tem, Ward 5 Kim Knaus
Council Member, Ward 6 Mario Flores
Council Member, Ward 7 Dr. Treasure Ortiz
Mayor Helen Tran
City Manager Eric Levitt
City Attorney Sonia Carvalho
City Clerk Telicia Lopez

3:30 P.M.

CLOSED SESSION PUBLIC COMMENT

CLOSED SESSION p. 11

A) CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Pursuant to Government Code Section 54956.9(a) and (d)(1):
i. Daniel Diaz Gomez v. City of San Bernardino, et al., United States District Court Case No. 5:25-cv-01012
ii. Jeffrey Lamont Williams v. City of San Bernardino, San Bernardino Superior Court Case No. CIVSB2507104
iii. Mariana Bedolla v. City of San Bernardino, Workers’ Compensation Case No.

ADJ19643219

B) CONFERENCE WITH LEGAL COUNSEL - Anticipated Litigation – Significant Exposure to Litigation (Pursuant to Government Code Section 54956.9(d)(2):
1 Case
C) CONFERENCE WITH LEGAL COUNSEL - Anticipated Litigation – Significant Exposure to Litigation (Pursuant to Government Code Section 54956.9(d)(2):
i. Notice of Claim, Darren Goodman, dated February 10, 2026, Claim No.GHC00993811
ii. Notice of Claim, Jose Loera, dated February 3, 2026, Claim No. GHC0093814

5:00 P.M.

INVOCATION AND PLEDGE OF ALLEGIANCE

CLOSED SESSION REPORT

PRESENTATIONS

1. Citizens of the Month - Small Business Recognition - Kendall Drive Beautification Project (Ward 5) p. 12
Mayor and City Council of the City of San Bernardino Page 3

2. Proclamation of National Engineers Week in the City of San Bernardino – February 15-21, 2026 (All Wards) p. 28

3. Proclamation of Lunar New Year Day in the City of San Bernardino – February 21, 2026 (All Wards) p. 30

APPOINTMENTS

4. Animal Control Commission Appointment of Hector Loera (Ward 1) p. 32 Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the appointment of Hector Loera to the Animal Control Commission representing Ward 1 with the term ending December 2026. Hector Loera will replace Maria Lanas. Council Staff has verified that appointee is a registered voter within the city.

5. Parks, Recreation and Community Services Commission Appointment of Hector Loera (Ward 1) p. 40
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the appointment of Hector Loera to the Parks, Recreation and Community Services Commission representing Ward 1 with the term ending December 2026. Hector Loera will replace Roxana M. Barrera. Council Staff has verified that appointee is a registered voter within the city.

6. Charter Review Committee Reappointment of Scott P. Olson (Ward 2) p. 48 Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the reappointment of Scott P. Olson to the Charter Review Committee representing Ward 2 with the term ending December 2026. Council Staff has verified that appointee is a registered voter within the city.

PUBLIC HEARING

7. Introduce for First Reading Ordinance No. MC -1660 Adopting a Regulatory Program for Short Term Rentals, or Introduce for First Reading Ordinance No. MC-1661 Banning Short Term Rentals in the City of San Bernardino (All Wards) p. 56 Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino:

1. Hold a Public Hearing; and

2. Introduce and read by title only, and waive further reading of Ordinance No. MC- 1660 of the Mayor and City Council of the City of San Bernardino, California, adopting a regulatory program which would amend Section

19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) for short-term and vacation rentals in the City of San Bernardino; or

3. Introduce and read by title only, and waive further reading of Ordinance No. MC- 1661 of the Mayor and City Council of the City of San Bernardino, California Amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter

19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) banning short term and vacation rentals in the City of San Bernardino; or

4. Take no action on the matter.

CITY MANAGER UPDATE

Mayor and City Council of the City of San Bernardino Page 4

PUBLIC COMMENTS FOR ITEMS LISTED AND NOT LISTED ON THE AGENDA We ask that you please observe proper decorum, and do not speak out of turn or make comments from your seat. If you wish to address the Mayor and City Council please be sure to submit a speaker slip. If you speak out of turn or disrupt the meeting a warning may be given and/or you will be asked to leave the meeting pursuant to Government Code Section 54957.9 and Penal Code 403.

CONSENT CALENDAR
Items on the Consent Calendar are Considered Routine and are Voted on in a Single Motion Unless the Mayor and City Council or a Staff Member has Pulled the Item for More Discussion.

8. Approval of Various Mayor and City Council Meeting Minutes p. 147 Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the meeting minutes for the following dates:

1. October 19, 2022 Special Meeting Draft Minutes

2. January 15, 2026 Special Meeting Draft Minutes

3. January 21, 2026 Regular Meeting Draft Minutes

9. Amendment No.1 to the Emergency Solutions Grant (ESG) Subrecipient Agreements with The Salvation Army and Family Service Association of Redlands p. 170 Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California adopt Resolution No. 2026-011:

1. Approving Amendment No. 1 to the FY 2025–26 Emergency Solutions Grant (ESG) Program Subrecipient Agreement with The Salvation Army (TSA) to increase the agreement by $74,276.38 incorporating prior-year unspent ESG funds, revising the not to exceed amount to $241,535.38 and extend the agreement term through December 31, 2026; and

2. Approving Amendment No. 1 to the FY 2025-26 ESG Program Subrecipient Agreement with Family Service Association of Redlands to extend the agreement term through December 31, 2026; and

3. Authorizing the City Manager, or designee, to take any additional actions and execute any agreements or documents necessary to implement Amendment No. 1 and administer the ESG grant program.

4. Authorizing the Director of Finance & Management Services to amend the FY 2025/26 operating and capital budget in the amount of $63,742.66 as a technical correction to recognize unspent FY 23-24 ESG Funds.

10. Irrevocable Agreement to Annex No. 2026-386 to Provide City Sewer Services (Ward 6) p. 248
Recommendation:

It is recommended that the Mayor and City Council of San Bernardino, California adopt Resolution No. 2026 -012 of the Mayor and City Council of the City of San Bernardino, California, approving the application to the Local Agency Formation Commission to provide City sewer services to a property located at 1964 Nolan Street, San Bernardino, California, within the unincorporated community of San Bernardino County; and authorizing the City Manager to execute an Irrevocable Agreement to Annex.

Mayor and City Council of the City of San Bernardino Page 5

11. Approval of Commercial and Payroll Disbursements and Purchase Card Transactions for November 2025 (All Wards) p. 264
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California approve the commercial, payroll disbursements and purchasing card transactions for November 2025.

12. Review of Administrative Budget Transfers From October 1, 2025, Through December 31, 2025 (All Wards) p. 353
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, review and file all listed administrative budget transfers from October 1, 2025 through December 31, 2025.

13. Investment Portfolio Report for November 2025 (All Wards) p. 362 Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, accept and file the Monthly Investment Portfolio Report for November 2025.

14. Amendment No. 1 to Goods Purchase Agreement with Long Beach BMW Motorcycles (All Wards) p. 390
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California,

1. Authorize the City Manager to execute the first amendment to the Goods Purchase Agreement with Long Beach BMW Motorcycles, increasing the total purchase amount from $77,218.00 to $158,622.84.

2. Authorize the Director of Finance and Management Services to increase the existing purchase order from $77,218.00 to $158,622.84.

15. Award of Construction Agreement to Estate Design and Construction for 19th Street Storm Drain Improvements in the amount of $397,560.00 and Contingency of $58,000.00 for a Total Amount of $455,560.00 (Ward 6) p. 402 Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California:

1. Approve the award of a Construction Agreement with Estate Design and Construction, in the amount of $397,560.00 for the 19th Street Storm Drain Improvements (Project); and

2. Authorize the construction contingencies, construction management, and administrative costs in the total amount of $58,000.00 for the Project, bringing the total Project budget to $455,560.00; and

3. Authorize the City Manager or designee to execute all documents with Estate Design and Construction.; and

4. Authorize the City Manager or designee to expend the contingency fund, if necessary, to complete the Project.

Mayor and City Council of the City of San Bernardino Page 6

16. Approve Goods Purchase Agreements with Fairview Ford, DuraTech USA, Motorola Solutions, and a Vendor Services Agreement with West Coast Lights and Sirens (All Wards) p. 444
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, authorize:

1. The City Manager to execute the following Goods Purchase Agreements:
a. Fairview Ford for an amount not to exceed $1,197,825.32 for the purchase of police fleet vehicles.
b. DuraTech USA for an amount not to exceed $255,000 for the purchase of mobile data computers.

2. The City Manager to execute Goods Purchase Agreement Amendment No. 1 with Motorola Solutions increasing the total not to exceed amount by $284,969.37 for a new total of $415,133.66 for the purchase of vehicle radios; and

3. The City Manager to execute a Vendor Services Agreement with West Coast Lights and Sirens for an amount not to exceed $2,500,000 for a term beginning February 18, 2026, through June 30, 2030, for vehicle upfitting; and

4. The Director of Finance and Management Services to issue purchase orders to Fairview Ford for $1,197,825.32, West Coast Lights and Sirens for 750,000, DuraTech USA for $255,000, and Motorola Solutions for
$284,969.37.

DISCUSSION

17. Love Your Block Year 1 Update (All Wards) p. 583
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, receive and file the Love Your Block 2024-2025 City Impact Presentation.

18. Adoption of Policy Establishing a Two-Step Authorization and Approval Process for New and Renewal Leases of City-Owned Property (All Wards) p. 591 Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2026-014, approving a standardized policy for city-owned leases (new and renewals) that mandates City Council authorization before negotiations begin and final approval before execution.

ITEMS TO BE CONSIDERED FOR FUTURE MEETINGS

19. Direct Staff to Present to Council Within 60 Days a Pilot Program to Temporarily Place Selected Businesses into Vacant Storefronts in Downtown San Bernardino, at Reduced Cost and with City Support, Giving These Selected Businesses an Opportunity to Operate in a Brick and Mortar Retail Environment Without the Full Financial Risk of a Permanent Lease (All Wards) - (Council Member Sanchez) p. 601

20. Adopt a Community Workforce Agreement By and Between the City of San Bernardino, Local Trades Councils/Unions and Other Future Contractors/Vendors the City Approves for Major Projects (All Wards) - (Council Member Ibarra) p. 602

21. Develop/Enhance Vacant Property Ordinance to Reduce Blight and Promote Active Property Use. Ordinance to include the Following Key Components: Vacant Property Mayor and City Council of the City of San Bernardino Page 7 Registration Requirement, Mandatory Maintenance and Security Standards, Progressive Fee and Fine Structure, Enforcement, and Recourse (All Wards) – (Council Member Knaus, Mayor Pro Tem) p. 603

22. Direct staff to Prepare a Comprehensive Specific Plan for the City’s Route 66 corridor (Foothill Boulevard, 5th Street, and North Mount Vernon Avenue). The Plan Should Include Targeted Economic Development, Business Attraction, Revitalization, Tourism, and Branding Strategies Leveraging the Historic Route 66 Identity, Incorporate Robust Community Engagement, and Return to the City Council with a Proposed Scope, Timeline, and Implementation Framework. – (Council Member Flores) p. 604

MAYOR & CITY COUNCIL UPDATES/REPORTS ON CONFERENCES & MEETINGS

ADJOURNMENT
The next joint regular meeting of the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency will be held on March 04, 2026 at the Feldheym Central Library located at 555 West 6th Street, San Bernardino, California 92410. Closed Session will begin at 4:00 p.m. and Open Session will begin at 5:00 p.m.

Mayor and City Council of the City of San Bernardino Page 8

CERTIFICATION OF POSTING AGENDA

I, Telicia Lopez, CMC, City Clerk for the City of San Bernardino, California, hereby certify that the Revised agenda for the February 18, 2026, Regular Meeting of the Mayor and City Council and the Mayor and City Council acting as the Successor Agency to the Redevelopment Agency was posted on the City's bulletin board located at 201 North "E" Street, San Bernardino, California, 92401 at the Norman F. Feldheym Central Library located at 555 West 6th Street, San Bernardino, California, 92410 and on the City's website sbcity.org on Sunday, February 15, 2026.

I declare under the penalty of perjury that the foregoing is true and correct.

Telicia Lopez, CMC, City Clerk
Mayor and City Council of the City of San Bernardino Page 9 NOTICE:

Any member of the public desiring to speak to the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency concerning any matter on the agenda, which is within the subject matter jurisdiction of the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency may address the body during the period reserved for public comments.

In accordance with Resolution No. 2018-89 adopted by the Mayor and City Council on March 21, 2018, the following are the rules set forth for Public Comments and Testimony:

Public Comments and Testimony:

Rule 1. Public comment shall be received on a first come, first served basis. If the presiding officer determines that the meeting or hearing may be lengthy or complicated, the presiding officer may, in his or her discretion, modify these rules, including the time limits stated below.

Rule 2. All members of the public who wish to speak shall fill out a speaker' s reservation card and turn in the speaker reservation card to the City Clerk prior to the time designated on the agenda. Comments will be received in the order the cards are turned in to the City Clerk. Failure of a person to promptly respond when their time to speak is called shall result in the person forfeiting their right to address the Mayor and City Council.

Rule 3. The presiding officer may request that a member of the public providing comment audibly state into the microphone, if one is present, his or her name and address before beginning comment. If that person is representing a group or organization the presiding officer may request that the speaker identify that group or organization, including that group or organization' s Address.

Rule 4. Notwithstanding the provisions of Rule 2 and 3 above, a person shall not be required to provide their name or address as a condition of speaking.

Rule 5. Time Limits:

5.01 Each member of the public shall have a reasonable time, not to exceed three ( 3) minutes per meeting, to address items on the agenda and items not on the agenda but within the subject matter jurisdiction of the Mayor and City Council.

5.02 Notwithstanding the time limits set forth in subsection 5. 01 above, any member of the public desiring to provide public testimony at a public hearing shall have a reasonable time, not to exceed ( 3) minutes, to provide testimony during each public hearing.

Any member of the public desiring to speak to the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency concerning any matter not on the agenda but which is within the subject matter jurisdiction of the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency may address the body at the end of the meeting, during the period reserved for public comments. Said total period for public comments shall not exceed 60 minutes, unless such time limit is extended by the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency. A three-minute limitation shall apply to each member of the public, unless such time limit is extended by the Mayor and City Council and the Mayor and City Council A cting as the Successor Agency to the Redevelopment Agency. No member of the public shall be permitted to "share" his/her three minutes with any other member of the public.

Speakers who wish to present documents to the governing body may hand the documents to the City Clerk Mayor and City Council of the City of San Bernardino Page 10 at the time the request to speak is made. (Must provide a minimum of 15 copies)

The Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency may refer any item raised by the public to staff, or to any commission, board, bureau, or committee for appropriate action or have the item placed on the next agenda of the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency. However, no other action shall be taken nor discussion held by the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency on any item which does not appear on the agenda unless the action is otherwise authorized in accordance with the provisions of subdivision (b) of Section 54954.2 of the Government Code.

Public comments will not be received on any item on the agenda when a public hearing has been conducted and closed.

ALTERNATE MEETING VIEWING METHOD:

If there are any technical issues with the live stream or recording from the main agenda portal or if you require an option with Closed Captioning, you may view the meeting from the following location (TV3).

https://reflectsanbernardino.cablecast.tv/CablecastPublicSite/watch/1?channel=6

PUBLIC COMMENT OPTIONS
Please use ONE of the following options to provide a public comment:

Written comments can be emailed to [email protected]. Written public comments received up to one hour and thirty minutes before the posted start time of the meeting, on the meeting day will be provided to the Mayor and City council and made part of the meeting record. Written public comments will not be read aloud by city staff. Written correspondence can be accessed by the public online at tinyurl.com/agendabackup .

Attend the meeting in person and fill out a speaker slip. Please note that the meeting Chair decides the cutoff time for public comment, and the time may vary per meeting. If you wish to submit your speaker slip in advance of the meeting, please submit your request to speak using the form on the following page: tinyurl.com/mccpubliccomments. Any requests to speak submitted electronically less than one hour and thirty minutes before the posted start time will not be accepted.

Please note: messages submitted via email and this page are only monitored from the publication of the final agenda until the deadline to submit public comments. Please contact the City Clerk at 909-998-2680 or [email protected] for assistance outside of this timeframe. Written correspondence submitted after the deadline will be provided to the Mayor and City Council at the following regular meeting.

MEETING TIME

NOTE: Pursuant to Resolution No. 2024-029, adopted by the Mayor and City Council on February 21, 2024:

“Section 3. All meetings are scheduled to terminate at 10:00 P.M. on the same day it began. At 9:00 P.M., the Mayor and City Council shall determine which of the remaining agenda items can be considered and acted upon prior to 10:00 P.M. and will continue all other items on which additional time is required until a future Mayor and City Council meeting. A majority vote of the Council is required to extend a meeting beyond 10:00 P.M. to discuss specified items.” 8 4
8 8

CLOSED SESSION
City of San Bernardino
Request for Council Action
Date: February 18, 2026
To: Honorable Mayor and City Council Members
From: Sonia Carvalho, City Attorney
Department: City Attorney's Office
Subject: CLOSED SESSION
Recommendation:

A) CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Pursuant to Government Code Section 54956.9(a) and (d)(1):
i. Daniel Diaz Gomez v. City of San Bernardino, et al., United States District Court Case No. 5:25-cv-01012
ii. Jeffrey Lamont Williams v. City of San Bernardino, San Bernardino Superior Court Case No. CIVSB2507104
iii. Mariana Bedolla v. City of San Bernardino, Workers’ Compensation Case No. ADJ19643219
B) CONFERENCE WITH LEGAL COUNSEL - Anticipated Litigation - Significant Exposure to Litigation (Pursuant to Government Code Section 54956.9(d)(2): 1 Case
C) CONFERENCE WITH LEGAL COUNSEL - Anticipated Litigation - Significant Exposure to Litigation (Pursuant to Government Code Section 54956.9(d)(2):
i. Notice of Claim, Darren Goodman, dated February 10, 2026, Claim No.

GHC0093811
ii. Notice of Claim, Jose Loera, dated February 3, 2026, Claim No.

GHC0093814
Packet Page. 11

PRESENTATIONS
City of San Bernardino
Request for Council Action
Date: February 18, 2026
To: Honorable Mayor and City Council Members
From: Kim Knaus, Mayor Pro Tem - Council Member, 5th Ward Department: Council Office
Subject: Citizens of the Month - Small Business Recognition - Kendall Drive Beautification Project (Ward 5)
Recommendation:

1. We are the Change San Bernardino

2. SBD 909 Construction Inc.

3. 4 His Glory

4. Triple H Construction Inc.

5. Profence Ironworks

6. Semco Builders Inc.

7. Burrtec Waste Ind.

8. WG Decorative Rock and Supplies

9. Serrano Nursery & Landscape Inc.

10.Guardian Asset Management

11.Garcia Center for the Arts

12.UC Fence

13.MG Services

14.Phoenix Estudio de Diseno

15.Mac Signs
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Click or tap here to enter text.

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CERTIFICATE

OF RECOGNITION

FROM THE MAYOR & CITY COUNCIL

PROUDLY PRESENTED TO

February 2026
Citizen of the Month

In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

OF RECOGNITION

FROM THE MAYOR & CITY COUNCIL

PROUDLY PRESENTED TO

February 2026
Citizen of the Month

In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

OF RECOGNITION

FROM THE MAYOR & CITY COUNCIL

PROUDLY PRESENTED TO

February 2026
Citizen of the Month

In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

OF RECOGNITION

FROM THE MAYOR & CITY COUNCIL

PROUDLY PRESENTED TO

February 2026
Citizen of the Month

In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

OF RECOGNITION

FROM THE MAYOR & CITY COUNCIL

PROUDLY PRESENTED TO

February 2026
Citizen of the Month

In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

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Citizen of the Month
In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

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Citizen of the Month
In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

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Citizen of the Month
In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

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Citizen of the Month
In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

OF RECOGNITION

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February 2026
Citizen of the Month
In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

OF RECOGNITION

FROM THE MAYOR & CITY COUNCIL

PROUDLY PRESENTED TO

February 2026
Citizen of the Month

In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

OF RECOGNITION

FROM THE MAYOR & CITY COUNCIL

PROUDLY PRESENTED TO

February 2026
Citizen of the Month

In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

OF RECOGNITION

FROM THE MAYOR & CITY COUNCIL

PROUDLY PRESENTED TO

February 2026
Citizen of the Month

In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

OF RECOGNITION

FROM THE MAYOR & CITY COUNCIL

PROUDLY PRESENTED TO

February 2026
Citizen of the Month

In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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CERTIFICATE

OF RECOGNITION

FROM THE MAYOR & CITY COUNCIL

PROUDLY PRESENTED TO

February 2026
Citizen of the Month

In recognition of your outstanding service, steadfast dedication, and unwavering commitment to improving the quality of life for the residents of San Bernardino, your leadership, compassion, and civic engagement embody the spirit of community and serve as an inspiration to others. We honor the meaningful difference you continue to make in our city.

PRESENTED ON February 18, 2026

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PRESENTATIONS
City of San Bernardino
Request for Council Action
Date: February 18, 2026
To: Honorable Mayor and City Council Members
From: Helen Tran, Mayor
Department: Mayor's Office
Subject: Proclamation of National Engineers Week in the City of San Bernardino – February 15-21, 2026 (All Wards)

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PROCLAMATION OF THE

MAYOR AND CITY COUNCIL
PROCLAIMING FEBRUARY 15-21, 2026, AS

NATIONAL ENGINEERS WEEK

IN THE CITY OF SAN BERNARDINO
WHEREAS, engineers use their scientific, mathematical, and technical knowledge in creative and innovative ways to plan, design, construct, operate, and maintain the infrastructure and systems that serve our communities; and WHEREAS, City of San Bernardino engineers play a vital role in protecting public health and safety by designing and maintaining streets, bridges, water and wastewater systems, public facilities, and other essential infrastructure relied upon by residents and businesses; and
WHEREAS, engineers confront the major technological and environmental challenges of our time by rebuilding and strengthening infrastructure, improving sustainability, enhancing mobility, and ensuring safe, resilient, and efficient public systems; and WHEREAS, City engineers have demonstrated exceptional expertise and leadership through major infrastructure projects, including the Cross Street Bridge and Mt. Vernon Bridge, which improve connectivity, safety, and long-term resilience for the San Bernardino community; and
WHEREAS, engineers support innovation and workforce development by encouraging students and young professionals to pursue careers in science, technology, engineering, and mathematics, helping to prepare the next generation of problem solvers; and WHEREAS, the City of San Bernardino will continue to rely on the knowledge, skill, and dedication of its engineers to meet the challenges of the twenty-first century and to advance a safe, sustainable, and prosperous city;
NOW THEREFORE, BE IT PROCLAIMED THAT, the Mayor & City Council of the City of San Bernardino, do hereby proclaim February 15 through February 21, 2026, as National Engineers Week in the City of San Bernardino and commend the City’s engineers for their professionalism, innovation, and commitment to public service.

Presented on this 18th day of February 2026

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PRESENTATIONS
City of San Bernardino
Request for Council Action
Date: February 18, 2026
To: Honorable Mayor and City Council Members
From: Helen Tran, Mayor
Department: Mayor's Office
Subject: Proclamation of Lunar New Year Day in the City of San Bernardino – February 21, 2026 (All Wards)

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PROCLAMATION OF THE

MAYOR AND CITY COUNCIL
PROCLAIMING FEBRUARY 21, 2026, AS

LUNAR NEW YEAR DAY

IN THE CITY OF SAN BERNARDINO
WHEREAS, Lunar New Year begins on February 17, 2026, marking the start of the lunar calendar and is celebrated by millions of people worldwide as a time of renewal, prosperity, and hope for the year ahead; and
WHEREAS, Lunar New Year is observed by many cultures, including Chinese, Vietnamese, Korean, and other Asian communities, through traditions that emphasize family, gratitude, and good fortune; and
WHEREAS, 2026 is the Year of the Horse, symbolizing strength, resilience, energy, and progress—values that reflect the spirit and forward momentum of the City of San Bernardino and its residents; and
WHEREAS, the City of San Bernardino is enriched by the cultural traditions and contributions of Asian American and Pacific Islander residents, businesses, and organizations that strengthen the social, cultural, and economic fabric of the community; and
WHEREAS, the City of San Bernardino proudly celebrates Lunar New Year through its City-hosted Lunar New Year Celebration on February 21, 2026, bringing residents together to honor culture, heritage, and community unity; and WHEREAS, recognizing Lunar New Year provides an opportunity to celebrate diversity, foster mutual understanding, and promote inclusivity throughout the city; NOW THEREFORE, BE IT PROCLAIMED THAT, the Mayor & City Council of the City of San Bernardino, do hereby proclaim February 21, 2026, as Lunar New Year Day in the City of San Bernardino, marking the commencement of the Year of the Horse. We urge all residents to join in celebrating this auspicious occasion, to embrace the diversity that enriches our city, and to extend warm greetings of optimism, respect, and goodwill to all who observe Lunar New Year.

Presented this 18th day of February 2026

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APPOINTMENTS
City of San Bernardino
Request for Council Action
Date: February 18, 2026
To: Honorable Mayor and City Council Members
From: Theodore Sanchez, Council Member, 1st Ward
Department: Council Office
Subject: Animal Control Commission Appointment of Hector Loera (Ward 1)

Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the appointment of Hector Loera to the Animal Control Commission representing Ward 1 with the term ending December 2026. Hector Loera will replace Maria Lanas. Council Staff has verified that appointee is a registered voter within the city.

City Manager’s Comments
No recommendation. City Council appointment.

Executive Summary
It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the appointment of Hector Loera to the Animal Control Commission representing Ward 1 with the term ending December 2026.

Background
On February 21, 2018, Resolution No. 2018-45 establishing the Animal Control Commission was adopted.

Discussion
The Animal Control Commission was established by Resolution No. 2018-45 on February 21, 2018, to advise the Mayor, City Council, and City staff on animal control matters. The Commission provides guidance on strategies, policies, and programs to ensure quality care for animals housed at the City of San Bernardino Animal Shelter, promote adoption, and educate the community on humane animal treatment. The Commission consists of nine (9) members appointed based on demonstrated

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knowledge or experience related to animal care or welfare. Members must be registered voters within the City of San Bernardino and may not be city employees.

The term of office coincides with the nominating City Council member or Mayor. 2021-2025 Strategic Targets and Goals
The proposed committee appointment aligns with Key Target No. 2: Focused, Aligned Leadership and Unified Community by building a culture that attracts, retains, and motivates the highest quality talent.

Fiscal Impact
No fiscal impact to the city.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the appointment of Hector Loera to the Animal Control Commission representing Ward 1 with the term ending December 2026. Hector Loera will replace Maria Lanas. Council Staff has verified that appointee is a registered voter within the city.

Attachments
Attachment 1 – Commission Application Hector Loera (REDACTED) Attachment 2 – Resolution No. 2018-45 Establishing Animal Control Commission
Ward:

First Ward; All Wards
Synopsis of Previous Council Actions:

February 21, 2018 Resolution No. 2018-45 Establishing Animal Control Commission was adopted.

CC: Eric Levitt, City Manager

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APPOINTMENTS
City of San Bernardino
Request for Council Action
Date: February 18, 2026
To: Honorable Mayor and City Council Members
From: Theodore Sanchez, Council Member, 1st Ward
Department: Council Office
Subject: Parks, Recreation and Community Services Commission Appointment of Hector Loera (Ward 1)

Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the appointment of Hector Loera to the Parks, Recreation and Community Services Commission representing Ward 1 with the term ending December 2026. Hector Loera will replace Roxana M. Barrera. Council Staff has verified that appointee is a registered voter within the city.

Executive Summary
It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the appointment of Hector Loera to the Parks, Recreation and Community Services Commission representing Ward 6 with the term ending December 2026.

Background
The Parks, Recreation and Community Services Commission was established by Resolution No. 2018-47 on February 21, 2018, and is charged with advising the Mayor, City Council and City Staff on matters pertaining to parks, recreation, youth and senior affairs in the city. Appointees to the Parks, Recreation and Community Services Commission must have relative experience or knowledge in the area of parks, recreation, youth and senior services or other areas which relate to the mission and purpose of the Parks, Recreation and Community Services Commission.

Discussion
The Parks, Recreation and Community Services Commission is composed of nine (9) members who serve at the pleasure of the Mayor and City Council. Pursuant to Chapter 2.17 of the Municipal Code, each City Council Member shall nominate one (1)

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member who shall serve during and for the term of the nominating Council Member, and the Mayor shall nominate two (2) members who shall serve during and for the term of the Mayor. Their mission is to address community needs for the purpose of establishing city priorities, goals and objectives evaluating community agencies and organizations receiving city funds relating to parks, recreation, youth and senior services. Each member must be a registered voter within the city and no member can be an employee of the city.
2021-2025 Strategic Targets and Goals
The proposed committee appointment aligns with Key Target No. 2: Focused, Aligned Leadership and Unified Community by building a culture that attracts, retains, and motivates the highest quality talent.

Fiscal Impact
No fiscal impact to the city.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the appointment of Hector Loera to the Parks, Recreation and Community Services Commission representing Ward 1 with the term ending December 2026. Hector Loera will replace Roxana M. Barrera. Council Staff has verified that appointee is a registered voter within the city.

Attachments
Attachment 1 – Commission Application Hector Loera
(REDACTED)
Attachment 2 – Resolution No. 2018-47
Ward:

First Ward; All Wards
Synopsis of Previous Council Actions:

February 21, 2018 Resolution No. 2018-47 establishing the Parks, Recreation and Community Services Commission was adopted.

CC: Eric Levitt, City Manager

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APPOINTMENTS
City of San Bernardino
Request for Council Action
Date: February 18, 2026
To: Honorable Mayor and City Council Members
From: Sandra Ibarra, Council Member, 2nd Ward
Department: Council Office
Subject: Charter Review Committee Reappointment of Scott P.

Olson (Ward 2)

Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the reappointment of Scott P. Olson to the Charter Review Committee representing Ward 2 with the term ending December 2026. Council Staff has verified that appointee is a registered voter within the city.

City Manager’s Comments
This is a City Council Member appointment.

Executive Summary
It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the reappointment of Scott P. Olson to the Charter Review Committee representing Ward 2 with the term ending December 2026.

Background
The Charter Review Committee was established by Resolution No. 2017-243 on December 20, 2017, and is tasked with completing a periodic review of the City Charter to identify potential amendments that enhance clarity, efficiency, and the principles of the council-manager form of government.

Discussion
The Charter Review Committee is composed of nine (9) members who serve at the pleasure of the Mayor and City Council. Pursuant to Chapter 2.17 of the Municipal Code, each City Council Member shall nominate one (1) member who shall serve during and for the term of the nominating Council Member, and the Mayor shall nominate two (2) members who shall serve during and for the term of the Mayor. In

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accordance with the City Charter and the City’s Municipal Code, appointees must be either a resident of the City of San Bernardino, or a non-resident business or property owner. Appointees should be able to clearly articulate the community perspective and/or the area of the city in which they live or conduct business. 2021-2025 Strategic Targets and Goals
The proposed committee appointment aligns with Key Target No. 2: Focused, Aligned Leadership and Unified Community by building a culture that attracts, retains, and motivates the highest quality talent.

Fiscal Impact
No fiscal impact to the city.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the reappointment of Scott P. Olson to the Charter Review Committee representing Ward 2 with the term ending December 2026. Council Staff has verified that appointee is a registered voter within the city.

Attachments
Attachment 1 – Committee Application Scott P. Olson (REDACTED) Attachment 2 – Resolution No. 2017-243
Ward:

Second Ward; All Wards
Synopsis of Previous Council Actions:

December 20, 2017 Resolution No. 2017-243 establishing the Charter Review Committee was adopted.

October 19, 2022 Scott P. Olson was appointed to the Charter Review Committee representing Ward 2.

CC: Eric Levitt, City Manager

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PUBLIC HEARING
City of San Bernardino
Request for Council Action
Date: February 18, 2026
To: Honorable Mayor and City Council Members
From: Gabriel Elliott, Director of Community Development & Housing Department: Community Development & Housing
Subject: Introduce for First Reading Ordinance No. MC-1660 Adopting a Regulatory Program for Short Term Rentals, or Introduce for First Reading Ordinance No. MC-1661
Banning Short Term Rentals in the City of San Bernardino (All Wards)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino:

1. Hold a Public Hearing; and

2. Introduce and read by title only, and waive further reading of Ordinance No.

MC-1660 of the Mayor and City Council of the City of San Bernardino, California, adopting a regulatory program which would amend Section

19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) for short-term and vacation rentals in the City of San Bernardino; or

3. Introduce and read by title only, and waive further reading of Ordinance No.

MC-1661 of the Mayor and City Council of the City of San Bernardino, California Amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter

19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) banning short term and vacation rentals in the City of San Bernardino; or

4. Take no action on the matter.

City Manager's Comments
Community Development staff has provided two possible ordinances based on previous City Council action and the Planning and Zoning Commission recommendation.

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In addition, the City will initiate charging TOT to short term rentals consistent with the current TOT regulations.

Executive Summary
At the Planning Commission meeting of December 9, 2025, the Commission, by a unanimous vote of the members present (one Planning Commissioner was absent), rejected a Resolution and Development Code Amendment that would have banned short term rentals in the City’s residential districts.

The Commission concluded that regulating short term rentals is more beneficial to the City’s enforcement efforts because regulation will require fees to be paid for the registration and operation of these facilities. The fees generated will also help boost the City’s General Fund.

Background
The City of San Bernardino has received numerous complaints about residents leasing their residential properties to travelers and for weekend retreats as short-term vacation rentals. Common complaints assert that the rentals cause conditions that degrade the quality of residential neighborhoods. These conditions include noise, disturbances, parking problems, property damage, and litter (amongst other things).

The City’s Municipal Code (SBMC) does not specifically address short-term vacation rentals. However, a commercial use is generally prohibited in residential zones, unless specifically permitted. Because the SBMC does not expressly prohibit short-term vacation rentals, the issue of the SBMC’s intent is disputed by residential property owners who wish to lease to tourists and/or retreatants for short stays.

On December 12, 2023, the Planning Commission, by a unanimous vote, adopted Resolution No. 2023-043PC forwarding a recommendation (Attachment C) that the Mayor and City Council approve Development Code Amendment 23-01, amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) in order to establish a Short-Term Rental Program in the City of San Bernardino. The Planning Commission also found that Development Code Amendment 23-01 was exempt from review under the California Environmental Quality Act.

On February 21, 2024, staff had presented Development Code amendment 23-01 (Short- Term Rental Program) to the Mayor and City Council, with a recommendation to adopt a Short-Term vacation rental program and approve Development Code Amendment 23-01 amending Section 19.02.020 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) in order to establish a Short-Term Rental Program in the City of San Bernardino. Staff also recommended scheduling adoption of Ordinance No. MC-1628 for the July 3, 2024, City Council meeting.

On June 5, 2024, when the item was brought back to the City Council as directed, the Council, by a narrow majority, banned short term rentals in the city and requested that

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staff bring back an enforcement plan.

On December 9, 2025, staff presented a Resolution to the Planning Commission banning short term rentals and Development Code Amendment 2025-059 providing the mechanism to adopt the ban. However, the Planning Commission rejected the ban and adopted a modified Planning Commission Resolution 2025-059 memorializing their decision.

Discussion
Definition
A Short-Term Rental (STR) refers to a residential dwelling unit, that is offered or provided to a paying guest by a short-term rental operator for thirty (30) or fewer consecutive nights.

The term "short-term rental" only applies to residentially zoned properties and does not include a hotel, motel, inn, or bed and breakfast inn.

Statewide STRs are a part of California’s tourism market, but when left unregulated, they can lead to unwanted negative effects, such as excessive noise and parking problems within existing residential neighborhoods. As such, many communities have recently adopted or proposed restrictions on STRs. Restrictions can include establishing designated areas for STRs, limiting the number of days a year a property can be rented, or banning STRs entirely.

San Bernardino has received numerous complaints about residents leasing their residential properties to travelers and for weekend retreats as short-term or vacation rentals. Common complaints assert that the rentals cause conditions that degrade the quality of residential neighborhoods. These conditions include noise, disturbances, parking problems, property damage, and litter (amongst other things).

The City of San Bernardino does not currently have an ordinance that expressly regulates STRs and has experienced the negative effects of excessive noise, parking problems and discarded trash on surrounding properties, resulting in numerous complaints, creating a threat to the public interest, health, safety, convenience, and welfare of the community.

The City’s Municipal Code (SBMC) does not specifically address short-term or vacation rentals. However, a commercial use is generally prohibited in residential zones, unless specifically permitted. Because the SBMC does not expressly prohibit short-term or vacation rentals, the issue of the SBMC’s intent is disputed by residential property owners who wish to lease to tourists and/or retreatants for short stays.

The convenience and marketability of online short term and vacation rental websites such as Airbnb.com and Homeaway.com have encouraged City property owners (and leaseholders) to lease residential properties to tourists and other visitors on a short-term basis.

Short Term Vacation Rental Ban
With a ban in place, it is generally believed that the City would no longer need to rely on various interrelated code provisions that together proscribe vacation rentals. The City will

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adopt and implement specific revisions to the SBMC that would ban short-term or vacation rentals outright in residential zones.

It is also believed that a clear prohibition would be more effective in deterring violations because it would create less confusion among homeowners. However, a ban would not alter the SBMC’s current implicit characterization of short-term rentals as inconsistent with the City’s residential land use regulations.

Disadvantages of a Ban
A short-term rental ban has some disadvantages. First, it would restrict homeowners’ use of their own properties. Banning short-term rentals could eliminate uses that do not otherwise serve as a nuisance to neighboring properties and would restrict the rights of homeowners who have rented responsibly.

Second, it is unclear whether an outright ban would be effective because of the challenges with consistent enforcement.

Associated Cost
A ban on short-term rentals will not eliminate the City’s enforcement costs. To effectively ban short term or vacation rentals, the City would first need to identify those properties that are currently engaged in the short-term or vacation rental activities and officially notify them of the ban. To do that, the City has engaged the services of Deckard Technologies, a company that utilizes data science expertise to assist local governments with managing compliance activity and enforcement, such as short-term rental (STR) properties.

Deckard Technologies would use Rentalscape platform to accurately track activity within the City of San Bernardino, to identify the exact addresses of the STR listings within the City limits. This enables accurate display of STR activity within the City and within community districts and ensures that everyone is held accountable to play by the same set of rules, follow all guidelines and ordinances, and pay their fair share of fees and taxes. Rentalscape groups listings and calculates statistics on a per-property basis. By mapping the exact location of properties, Rentalscape avoids double-counting activity.

Knowing the exact location of STR properties enables compliance, enforcement, tax collection and complaint management activities. They can also pair the services with the TOT portal.

There are cost implications depending on the level of service required by the City. The contract for Rentalscape only, for the identification, monitoring, and compliance letters is $7,500, annually. The contract for Rentalscape, Online Registration and TOT for the above along with registration and TOT collection is $16,500 annually. These costs will come out of the General Fund and can only be replenished by the fines assessed to those operating in violation of the ban.

Take No Action
The option to take no action would mean that neither a ban nor regulation would be in place. However, staff believes that payment of TOT should still be an option. There would be costs associated with identifying who is currently running a short-term rental

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operation in the residential zone. There would be no revenue stream from registration of short-term rental locations.

Transient Occupancy Tax
Title 3 of the City of San Bernardino Municipal Code (Revenue and Finance) addresses transient occupancy taxes. Section 3.55.010, definitions, provides the following definitions unless the context clearly indicates or requires a different meaning:

HOTEL. A commercial establishment furnishing lodging space in exchange for monetary compensation. Every such establishment shall constitute a HOTEL for purposes of this chapter notwithstanding any advertising describing the facility as a hostelry, inn, motel, rooming house, tourist home or similar enterprise.

LODGING SPACE. One or more rooms used or intended to be used for dwelling or sleeping purposes.

OCCUPANCY. The use or possession, or the right to the use or possession, of a lodging space.

OPERATOR. The person who is the proprietor of a hotel. If an OPERATOR utilizes a managing agent who is not an employee, then such agent shall also constitute an OPERATOR for purposes of this chapter. Compliance with this chapter by either the principal or the managing agent shall constitute compliance by both.

PERSON. Any individual, firm, partnership, joint venture, association, social club, fraternal organization, joint stock company, corporation, estate, trust, business trust, receiver, trustee, syndicate or any other group or combination acting as a unit.

ROOM RENTAL. The total charge for lodging space.

TRANSIENT. A person who, for a period of 30 consecutive calendar days or less, exercises occupancy or is entitled to occupancy by reason of concession, permit, right of access, license or contract. Every such person shall constitute a TRANSIENT for purposes of this chapter until expiration of the 30-day period, unless such person has executed a written contract with the operator to provide for occupancy in excess of 30 consecutive calendar days and the contract cannot be terminated without providing at least 30 days’ advance notice. In determining whether a person is a TRANSIENT, portions of calendar days shall be counted as full days and uninterrupted periods of time extending both prior and subsequent to the effective date of this chapter may be considered.

Transient Lodging Tax. Per Section 3.55.020(A), each transient is subject to and shall pay a transient lodging tax in the amount of 10% of the room rental charged by the operator.

Based on the above definitions, staff believes that the existing TOT language applies to short term and vacation rentals and will begin charging TOT.

Development Code Amendment
Whether the City bans or regulates Short Term or Vacation rentals, a Development Code

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Amendment will need to be processed: The proposed Development Code will amend Chapter 19.02 (Basic Provisions), Section 19.02.050 (Definitions) of the Development Code to add definitions for those terms uses specifically within the Short-Term Rental Program (Exhibit A).

The Development Code Amendment will also amend Chapter 19.04 (Residential Zones), Table 04.01 (Permitted and Conditionally Permitted Uses) to add short-term rentals as an unpermitted use within all single-family and multi-family zones (Exhibit B).

Implementation
The regulations governing short-term rentals will become effective 30 days following adoption of the Ordinance by the Mayor and City Council. All properties currently operating as a short-term or vacation rental location will be required to register and become eligible for the payment of TOT. If the Mayor and City Council decide to ban short term and vacation rentals, any presently operating properties will need to cease their operations and any illegally operating properties will be subject to paying TOT to the City.

If the Mayor and City Council adopts an Ordinance to ban Short Term or vacation rentals, the City will send all properties potentially operating as a short-term or vacation rental a letter notifying them of the ban and will provide operators with 60 days to comply or face enforcement measures. The same notification action will be taken if the Mayor and City Council adopts an Ordinance to regulate the use.

Property owners of Short-Term Rentals will be responsible for reporting and paying into the City’s Transient Lodging Tax/Transit Oriented Tax (TOT).

General Plan Goals and Policies
The City of San Bernardino General Plan includes goals and policies to guide future housing development, as follows:

Land Use Goal 2.1: Preserve and enhance San Bernardino’s unique Neighborhoods.

Land Use Goal 2.2: Promote development that integrates with and minimizes impacts on surrounding land uses.

San Bernardino contains a wide range of neighborhoods accommodating an assortment of lifestyles. Each neighborhood has, or can have, its own unique character that is a source of pride for the residents. Neighborhood character is defined by many factors:
what the neighborhood looks like, safety and security, maintenance of streets and green spaces, and more. But more importantly, neighborhood character is an image in the minds of those who live and work there and in the perceptions of those who visit.

The rise of short-term rentals within the City has created the need to either regulate or ban them to preserve the integrity of these neighborhoods and mitigate any potential conflicts that may arise from their operation.

A Development Code Amendment regulating or banning Short Term or vacation rentals

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is consistent with the City’s General Plan.

Strategic Targets and Goals
A Development Code Amendment banning or regulating Short Term rentals aligns with Key Target Goal No. 3: Improved Quality of Life and, more specifically, 3a: Improve the City’s appearance, cleanliness, and attractiveness. Specifically, a ban will update the Development Code to prohibit short term and vacation rentals in all residential zones, while regulating the land use will provide the City with the tools that will ensure consistency with the City’s land use designations as required by the City’s General Plan.

Fiscal Impact
Anticipated Transit Occupancy Taxes associated with this program has the potential to contribute up to $324,000, annually to the General Fund. At same time, there is a potential cost of up to $16,500 for a program to monitor the locations of short term and vacation rentals in the city. The initial amount will be borne by the General Fund. In the future, the cost will be assigned to the Community Development Department’s Professional Contractual account.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino:

1. Hold a Public Hearing; and

2. Introduce and read by title only, and waive further reading of Ordinance No. MC- 1660 of the Mayor and City Council of the City of San Bernardino, California, adopting a regulatory program which would amend Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) for short-term and vacation rentals in the City of San Bernardino; or

3. Introduce and read by title only, and waive further reading of Ordinance No. MC- 1661 of the Mayor and City Council of the City of San Bernardino, California Amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) banning short term and vacation rentals in the City of San Bernardino; or

4. Take no action on the matter.

Attachments
Attachment 1 Ordinance MC-1660, Establishing A Regulatory Process For Short Term And Vacation Rentals
Attachment 2 Exhibit A - Development Code Section 19.02.050 Attachment 3 Exhibit B - Development Code Section 19.04 Attachment 4 Exhibit C - Development Code Section 19.04 Attachment 5 Ordinance MC-1661, Banning Short Term Rentals Attachment 6 Exhibit A - Development Code Section 19.02.050 Attachment 7 Exhibit B - Development Code Section 19.04

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Attachment 8 Exhibit C - Development Code Section 19.04 Attachment 9 PC Resolution 2025-059
Attachment 10 PC Resolution 2025-043
Attachment 11 Deckard Proposal
Attachment 12 SB MSA 9-29-25
Attachment 13 PPT Short-term Rental Presentation CC 0201826 Attachment 14 Proof of Publication
Attachment 15 Notice of Public Hearing Continuation on Short T Term Rental
Ward:

All Wards
Synopsis of Previous Council Actions:

February 21, 2024, staff took forward a recommendation to the Mayor and City Council for the adoption of a regulatory scheme for Short-Term Rentals, the City Council, at meeting, directed staff to conduct additional analysis on enforcement measures and the effects of a Short-Term Rental Program on the City’s housing market.

On June 5, 2024, the Mayor and City Council banned short term rentals in city’s residential areas and directed staff to return with regulatory standards.

CC: Eric Levitt, City Manager

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Ordinance No. MC-1660
1 ORDINANCE NO. MC-1660

AN ORDINANCE OF THE MAYOR AND CITY COUNCIL OF

THE CITY OF SAN BERNARDINO , CALIFOR NIA,

ADOPTING A REGULATORY PROGRAM WHICH WOULD
AMEND SECTION 19.02.0 50 (BASIC PROVISIONS –
DEFINITIONS) AND CHAPTER 19.04 (RESIDENTIAL

ZONES) OF THE CITY OF SAN BERNARDINO
DEVELOPMENT CODE (SBMC TITLE 19) FOR SHORT-

TERM AND V ACATION RENTALS IN THE CITY OF SAN
BERNARDINO; AND FINDING THAT THE ACTION IS

EXEMPT FROM REVIEW UNDER THE CALIF ORNIA

ENVIRONMENTAL QUALITY ACT

WHEREAS, on December 12, 2023, the Planning Commission, by a unanimous vote, adopted Resolution No. 2023 -043PC forwarding a recommendation that the Mayor and City Council to approve Development Code Amendment 23-01, amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) to establish a Short -Term Rental Program in the City of San Bernardino; and found that Development Code Amendment 23-01 was exempt from review under the California Environmental Quality Act; and

WHEREAS, on February 21, 2024, staff took forward a recommendation to the Mayor and City Council for the adoption of a regulatory scheme for Short-Term Rentals; and

WHEREAS, on June 5, 2024, the City Council ban ned short-term rentals in the C ity of San Bernardino (“City”); and

WHEREAS, at the direction of the Mayor and City Council, staff prepared a report with accompanying Resolution No. 2025 -059 – PC to the Planning Commission at their meeting of December 9, 2025, recommending a ban on short term rentals; and

WHEREAS, at said meeting of December 9, 2025, after listening to staff’s presentation and deliberating, the Planning Commission, by a unanimous vote (one Planning Commissioner absent), rejected banning short term rentals and directed staff to forward a resolution rejecting the ban to the Mayor and City Council; and

WHEREAS, the City of San Bernardino Municipal Code ( “SBMC”) does not specifically address short-term rentals; and

WHEREAS, in recent years there has been an increase in privately-owned residential properties being used as short-term rentals in the City; and

WHEREAS, the unregulated use of existing housing as short-term rentals can escalate the demand for City services and create adverse impacts in residential zones; and

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Ordinance No. MC-1660
2 WHEREAS, the City of San Bernardino has received numerous complaints about residents leasing their residential properties to travelers and for weekend retreats as short-term rentals; and

WHEREAS, the City Council, at the meeting, directed staff to conduct additional analysis on enforcement measures and the effects of a Short -Term Rental Program on the City’s housing market; and

WHEREAS, the City of San Bernardino would also explore the assessment of Transient Occupancy Taxes on banned Short Term Rental locations within the City of San Bernardino; and

WHEREAS, the City would employ the use of third -party software to track, identify, and accurately display Short Term Rental activities within the City and within community districts and ensure that everyone is held accountable to play by the same set of rules, follow all guidelines and ordinances, and pay their fair share of fees and taxes; and

WHEREAS, on December 9, 2025, pursuant to the requirements of Section 19.52.040 (Hearings and Appeals – Hearing Procedures) of the City of San Bernardino Development Code, the Planning Commission held a duly-noticed public hearing at which interested persons had an opportunity to testify in support of, or opposition to Development Code Amendment 25-09 and at which meeting, the Planning Commission considered Development Code Amendment 2 5-09 and adopted Resolution No. 202 5-059 rejecting the ban on Short Term Rentals in favor of regulating them.

THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO DO ORDAIN AS FOLLOWS:

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

SECTION 2. Findings of Fact

Finding No. 1: The proposed regulatory program for Short Term and vacation rentals is consistent with the General Plan.

Finding of Fact: Implementation of a regulatory program is consistent with the following findings:

Land Use Goal 2.1: Preserve and enhance San Bernardino’s unique Neighborhoods.

Land Use Goal 2.2: Promote development that integrates with and minimizes impacts on surrounding land uses.

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Ordinance No. MC-1660
3 It is acknowledged that San Bernardino contains a wide range of neighborhoods accommodating an assortment of lifestyles. Each neighborhood has, or can have, its own unique character that is a source of pride for the residents. Neighborhood characteristics are defined by many factors: what the neighborhood looks like, what it feels like, and how well it is maintained. But more importantly, it is an image in the minds of those who live and work there and in the perceptions of those who visit the neighborhoods.

Although the rise of short -term rentals within the City has generated discussions as to their impact on the general character of neighborhoods in which they may be located and the cost of city services to monitor them, the Planning Commission does not believe that a ban on short term rentals is the solution to the problem. The Planning Commission believes that regulating short term rentals will be more productive and would generate the revenue source necessary to enforce any actions related to short term rentals.

An Ordinance that supports a regulatory process for Short Term Rentals is more likely to preserve the integrity and character of the residential neighborhoods in which they are located, regulate negative impacts such as excessive noise, littering, loitering on the residential neighborhoods and the community at large , and generate revenue derived from registration and licensing fees to assist with enforcement these uses.

Finding No. 2: The proposed amendment would not be detrimental to the public interest, health, safety, convenience, or welfare of the City.

Finding of Fact: The adoption of an Ordinance regulating Short Term and vacation rentals is in the interest or furtherance of the public health, safety, convenience, and general welfare than banning them. Regulating Short Term and vacation rentals will allow owners of properties in the City to legally utilize their homes or properties for Short Term Rentals in a city that may not have adequate supply of hotel and motel rooms for large events. The transient occupancy taxes collected will also boost the city’s General Fund revenue.

SECTION 3. Amendment: Section 19.02.050 of the San Bernardino Development Code and Chapter 19.04 of the San Bernardino Development Code are hereby revised as set forth in Exhibits A, B, and C, all attached hereto and incorporated herein by these references.

SECTION 4. Certification. The City Clerk of the City of San Bernardino shall certify to the adoption of this Ordinance and cause publication to occur in a newspaper of general circulation and published and circulated in the City in a manner permitted under Section 36933 of the Government Code of the State of California.

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Ordinance No. MC-1660
4 SECTION 5. Compliance with the California Environmental Quality Act. The Mayor and City Council, having independently reviewed and analyzed the record before it, including written and oral testimony, and having exercised their independent judgment, find s that there is no substantial evidence supporting a fair argument that approval of Development Code Amendment 25-09 and this Ordinance No. MC-1660 will result in a signifi cant effect on the environment, and thus the project is exempt pursuant to Section 15 061(b) of the California Environmental Quality Act guidelines due to the fact that the activity does not result in a direct or reasonably foreseeable indirect physical change to the environment.

SECTION 6. Notice of Exemption: The Planning Division of the Community Development and Housing Department is hereby directed to file a Notice of Exemption with the County Clerk of the County of San Bernardino within five (5) working days of final approval certifying the City’s co mpliance with the California Environmental Quality Act in approving Ordinance No. MC-1660.

SECTION 7. Severability: If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this O rdinance, or any part thereof, is for any reason held to be unconstitutional, such decision shall not affect the validity of the remaining portion of this Ordinance or any part thereof. The Mayor and City Council hereby declare that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof, irrespective of the fact that any one or more section, subsection, subdivision, paragraph, sentence, clause or phrase be declared unconstitutio nal. If for any reason any portion of this Ordinance is found to be invalid by a court of competent jur isdiction, the balance of this Ordinance shall not be affected.

SECTION 8. Effective Date. This Ordinance shall take effect thirty (30) days after its adoption.

APPROVED and ADOPTED by the City Council and signed by the Mayor and att ested by the City Clerk this ___ day of ____ 2026.

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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Ordinance No. MC-1660
5 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 Ordinance No. MC-1660, introduced by the City Council of the City of San Bernardino, California, at a regular meeting held the 18 th day of February 2026. Ordinance No. MC -1660 was approved, passed and adopted at a regular meeting held the __ day of __, 2026 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 __, 2026.

_____________________________
Telicia Lopez, CMC, City Clerk

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EXHIBIT A
Development Code Section 19.02.050
(Definitions)

19.02.050 (Definitions) shall be modified to read as follows:
“19.02.050 DEFINITIONS
The words and phrases set out in this section, when used in this Development Code, shall, for the purposes of this Development Code only, have the following respective meanings. These definitions do not apply to any other chapter of the Municipal Code, and the same words and phrases may have different meanings in other chapters of the Municipal Code. …
Agent. A person or entity, who does not hold any interest in the property and who has authority to act on behalf of the owner.
…
Bedroom. A room designed primarily for sleeping that meets the definition of the California Building Codes currently adopted by the City.
…
Check-in. The arrival of a guest at a vacation-rental property or agent’s office. …
Guest House. Living quarters, having no kitchen facilities, located on the same premises with a main building and occupied for the sole use of members of the family, temporary guest, or persons permanently employed on the premises. This definition shall not include ADUs built subject to Section 19.04.030(2)(P) (Accessory Dwelling Units).
…
Home-Sharing. The rental of bedrooms in a residential unit for a term of 29 or fewer consecutive days while the owner of the unit is present and living in the unit. …
Hosting Platform. A person or entity who participates in vacation rentals by collecting or receiving a fee, directly or indirectly through an agent or intermediary, for conducting a booking transaction using any medium of facilitation. Examples include, but are not limited to, VRBO.com, Airbnb.com, homestay.com and other internet and non-internet-based services that facilitate bookings for a fee.

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…
Multi-Family Residential. Two (2) or more dwelling units in a single building on a site. …
Owner. A person or entity, who holds record fee title to the property, except that “owner” does not include the holder of a leasehold interest in the property. …
Responsible Party. The lessee of a vacation-rental property. …
Short-Term Rental or Short-Term Rental Property. A residential dwelling unit that is leased for a term of 29 or fewer consecutive days.”

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EXHIBIT B
Development Code Section 19.04.020
(Permitted, Development Permitted, and Conditionally Permitted Uses)

19.04.020 (Permitted, Development Permitted, and Conditionally Permitted Uses); Table 04.01 (Residential Zones – Permitted, Development Permitted, and Conditionally Permitted Uses) shall be modified to read as follows:
“TABLE 04.01

PERMITTED, DEVELOPMENT PERMITTED, AND

CONDITIONALLY PERMITTED USES

LAND USE ACTIVITY RE RL RS RU RM RMH RH RSH

1. Residential Uses
P P P P P P P X A. Community Care Facility (6 or less) B. Condominium or Townhouse D D D D D D D X
C. Convalescent Homes X X X C D D D X
D. Day Care Center C C C C C C C X
E. Day Care Homes, Family
8 or less children
9 to 15 children

P P P P P P P X

D D D D D D D X
F. Dormitories/Fraternity/Sorority X X X X C C C X
G. Homeless Facilities X X X X C C C X
H. Manufactured Housing D D D D D D D X
I. Mobile Home Parks or Subdivisions D D D D D D D X J. Multi-Family Dwellings X X X D D D D X
K. Multi-Family Dwellings, Existing X X X P P P P X
L. Planned Residential Developments X X X D D D D X
M. Second Accessory Dwelling Unit P P P P P P P P
N. Senior Citizen/Congregate Care Housing X X X D D D D X O. Single-Family Dwellings D D D D D D D X
P. Single-Family Dwellings, Existing P P P P P P P X Q. Small Lot Subdivision X X X D D D D X
R. Student Housing Complex X X X X X X X C
R. Short-Term Rentals P P P P P P P X
" ”

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EXHIBIT C
Development Code Section 19.04.030(2)
(Residential Zones Specific Standards)

19.04.030(2) (Residential Zones Specific Standards); Table 04.03 (Residential Zones Specific Standards) shall be modified to read as follows:
“TABLE 04.03

RESIDENTIAL ZONES SPECIFIC STANDARDS
Specific Standards RE RL RS RU RM RMH RH RSH CO CG-2 CR-2 A. Accessory Structure + + + + + + + + + +
B. Day Care Facility + + + + + + + + + +
C. Day Care Home,
Large Family
+ + + + + + +
D. Density Bonus/Affordable + + + + + + + + + +
Housing or Amenities
E. Front/Rear Yard + + + + + Averaging
F. Golf Courses & Related + + + + + + + Facilities G. Guest House + + + +
H. Minimum Room Size + + + + + + + + + +
I. Minimum Dwelling Size + + + + + + + + + +
J. Mobile Home & + + + + + + + Manufactured Housing K. Mobile Home Park or + + + + + + + Subdivision L. Multiple Family Housing + + + + + +
M. Multi-Family Housing,
Existing + + + +
N. Planned Residential + Development O. Recreational Vehicle + + + + + + + Storage P. Second Accessory + + + + + + + Dwelling Unit Q. Senior Citizen/ + + + + + + + Congregate Care Housing
R. Single-Family Dwellings,
Existing
+ + + + + + + + + +
S. Small Lot Subdivisions +
T. Social Service Uses/ + + + + + +
Centers
U. Vocational/Trade Schools +
V. Student Housing Complex +
W. Urban Lot Splits + + +
X. Two-Unit Projects + + +
Y. Short-Term Rentals + + + + + + +

Key: “+” applies in the zone.”

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EXHIBIT C

19.04.030(2) shall be added to read as follows:
“Y. Short-Term Rentals

1. Permit Required.
a. A current, valid annual permit issued by the City to the owner is required for each property prior to advertising, offering to lease, or leasing the property as a short- term rental property. A copy of the permit shall be posted inside of the rental property.
b. No permit issued pursuant to the requirements of this section shall be transferred to any other person. Change of ownership of a property with a short-term rental permit shall require filing of a new application.
c. No permits shall be issued for home-sharing.

2. Eligibility.
a. Short-term rentals may be permitted in any residential zone which permits single- family residential uses, and which is developed with an existing single-family residence.
b. No short-term rental shall be permitted at any property located within a designated high-fire area.
c. No permits for a short-term rental shall be issued to any property subject to a restricted affordable housing covenant.
d. No permits for a short-term rental shall be issued to any ADU permitted in accordance with Section 19.04.030(2)(P).
e. No short-term rental property shall be rented for a cumulative period exceeding 120 days within any calendar year (January 1 – December 31).

3. Procedure.
a. An owner shall apply to the City for a license annually for each short-term rental property and pay a fee established by Resolution, which may be amended from time to time. The City shall provide an application form and list of application and insurance requirements.
b. Any application for a property owned by a corporation or corporate person of any kind (partnership, LP, LLC, C corp, S corp, trust, etc.) shall be submitted only by a person authorized to submit such application.

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EXHIBIT C
c. An owner may not hold more than one permit, and may renew that permit, unless they have been revoked or not renewed. Applications for renewal shall be submitted a minimum of 30-days of permit expiration.
d. Owner shall comply with pre-licensing & renewal inspection requirements prior to issuance of license / permit or renewal.

4. Operational Requirements.
a. The owner and owner’s agent shall ensure that the vacation-rental property complies with all applicable codes regarding fire, building and safety, health and safety, zoning, lighting, and all other laws and regulations. b. Guest check-ins may be performed in person or virtually by the owner/agent. The responsible party must be provided with a copy of the City’s Good Neighbor Policy prior to or during check-in and a signed copy kept on file by the owner/agent. An additional copy shall be made available on-site. c. Overnight occupancy of the short-term rental property shall always be limited to the number stated on the permit. Such occupancy shall not exceed two adults per bedroom; but the total number of persons may not exceed 8 persons per stay. d. The maximum number of people permitted at the property shall not exceed 12 people at one time.
e. No party, wedding, or other large social gathering exceeding the maximum capacity allowed under Section 19.04.030(2)(Y)(4)(d) of this Chapter shall be permitted at a short-term rental property.
f. No radio receiver, musical instrument, phonograph, loudspeaker, sound amplifier, or other any machine or device for the producing or reproducing of any sound may be operated on the vacation-rental property unless it is within a fully enclosed structure and is not audible at the property line of the vacation-rental property pursuant to Chapters 8.54 and 9.48 on the Municipal Code. g. All short-term rental properties shall install a noise monitoring device capable of alerting the owner/agent in the case of outdoor noise in excess of 65 decibels (dBs).
h. Parking is allowed only in designated driveways and garages and is not allowed in the yard or street at any time.
i. The owner shall include notice to the responsible party of the requirements of this section and post a visible notice of these requirements at the property. j. The property owner/agent shall make available to the responsible party a 24/7 contact number in case of emergency. This number shall be available at the property.

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EXHIBIT C
k. Any complaints registered against a property shall be responded to within 60 minutes of notification by the City to the owner/agent. l. Upon the request of the City, the owner/agent shall respond in person at the short- term rental property within 60 minutes of dispatch of notice by the City to correct a violation of this section or any other provision of the Municipal Code.

5. Agent. An owner may grant authority to an agent to act on behalf of the owner for purposes of fulfilling some or all the requirements of this chapter. The owner shall give prior written notice to the City of any grant of authority, including the identity and contact information for the agent. The owner shall promptly give the City prior written notice of any change to any such grant of authority. The use of an agent shall not excuse the owner from the owner’s obligations of this chapter. Agents and owners fulfilling any of the requirements of this chapter shall be annually certified by the City.

6. Transient Occupancy Tax.
a. The owner is responsible for collecting and remitting transient occupancy tax to the City and shall comply with all provisions of Chapter 3.55 of the Municipal Code
b. Hosting platforms shall be responsible for collecting all applicable transient occupancy taxes and remitting the same to the City. The hosting platform shall be considered an agent of the host for purposes of transient occupancy tax collections and remittance pursuant to Chapter 3.55 of the Municipal Code. c. Owners shall be responsible for submitting transient occupancy tax forms reporting nightly stays and gross receipts even if a hosting platform is remitting the taxes due on their behalf.
d. Permit holders making two or more late submittals in a 12-month period shall not have their license renewed upon expiration.

7. Inspections and Audits.
a. Each owner/agent shall comply with pre-licensing & renewal inspection requirements prior to issuance of permit or renewal. Property inspection is required to verify that the subject property is in compliance with the standards of this section and the Municipal Code.
b. Each owner/agent shall provide the City, upon request, with access to the short- term rental property and to such related records, documents, tax returns, and bank accounts at any time during normal business hours as the City may determine are necessary for the purpose of inspection or audit to determine that the objectives and conditions of this section are being fulfilled.

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EXHIBIT C

8. Hosting Platform Responsibilities.
a. Subject to applicable laws, hosting platforms shall, upon written request by the City, promptly disclose to the City each vacation-rental property listing located in the City, the host ID, listing ID, and names of the persons responsible for each such listing, the address of each such listing, the length of stay for each such listing, and the price paid for each stay.
b. A hosting platform shall promptly remove any listing upon receipt of a take-down notice from the City indicating that a listing violates applicable legal requirements. c. A hosting platform is responsible for collecting and remitting transient occupancy taxes on behalf of their hosts beginning January 1, 2025, in accordance with Subsection 6 above.
d. A hosting platform shall require all hosts to include a valid license number in a designated field dedicated to the license number no later than January 1, 2025.

9. Violations and Penalties.
a. Any owner or permit holder in violation of any requirements of this section shall be subject to the enforcement provisions of Chapter 9.93 of the Municipal Code. b. Permit holders who received three violations shall not have their license renewed upon expiration.”

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Ordinance No. MC-1661
1 ORDINANCE NO. MC-1661

AN ORDINANCE OF THE MAYOR AND CITY COUNCIL

OF THE CITY OF SAN BERNARDINO, CALIFORNIA,
AMENDING SECTION 19.02.050 (BASIC PROVISIONS –
DEFINITIONS) AND CHAPTER 19.04 (RESIDENTIAL

ZONES) OF THE CITY OF SAN BERNARDINO
DEVELOPMENT CODE (SBMC TITLE 19) BANNING

SHORT TERM AND VACATION RENTALS IN THE CITY
OF SAN BERNARDINO; AND FINDING THAT THE

ACTION IS EXEMPT FROM REVIEW UNDER THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT

WHEREAS, in recent years there has been an increase in privately -owned residential properties being used as short-term rentals in the City of San Bernardino (“City”); and

WHEREAS, the unregulated use of existing housing as short-term rentals can escalate the demand for City services and create adverse impacts in residential zones; and

WHEREAS, the City of San Bernardino has received numerous complaints about residents leasing their residential properties to travelers and for weekend retreats as short -term rentals; and

WHEREAS, the City of San Bernardino Municipal Code (“SBMC”) does not specifically address short-term rentals; and

WHEREAS, on December 12, 2023, the Planning Commission, by a unanimous vote, adopted Resolution No. 202 3-043PC forwarding a recommendation that the Mayor and City Council to approve Development Code Amendment 23 -01, amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) to establish a Short-Term Rental Program in the City of San Bernardino; and found that Development Code Amendment 23-01 was exempt from review under the California Environmental Quality Act; and

WHEREAS, on February 21, 2024, staff took forward a recommendation to the Mayor and City Council for the adoption of a regulatory scheme for Short-Term Rentals; and

WHEREAS, the City Council, at the meeting, directed staff to conduct additional analysis on enforcement measures and the effects of a Short -Term Rental Program on the City’s housing market; and

WHEREAS, on June 5, 2024, the City Council banned short-term rentals in the City; and

WHEREAS, Development Code Amendment 2 5-09 is a City -initiated amendment to Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones ) of the City of San Bernardino Development Code (SBMC Title 19) in order to ban Short-Term Rentals in the City of San Bernardino; and

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Ordinance No. MC-1661
2 WHEREAS, the City of San Bernardino would also explore the assessment of Transient Occupancy Taxes on banned Short Term Rental locations within the City of San Bernardino; and

WHEREAS, the City would employ the use of third-party software to track, identify, and accurately display Short Term Rental activities within the City and within community districts and ensure that everyone is held accountable to play by the same set of rules, follow all guidelines and ordinances, and pay their fair share of fees and taxes; and

WHEREAS, on December 9, 2025, pursuant to the requirements of Section 19.52.040 (Hearings and Appeals – Hearing Procedures) of the City of San Bernardino Development Code, the Planning Commission held a duly-noticed public hearing at which interested persons had an opportunity to testify in support of, or opposition to Development Code Amendment 25-09 and at which meeting, the Planning Commission considered Development Code Amendment 2 5-09 and adopted Resolution No. 2025-059 rejecting the ban on Short Term Rentals.

THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO DO ORDAIN AS FOLLOWS:

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

SECTION 2. Finding of Facts

Finding No. 1: The proposed ban on Short Term and vacation rentals is consistent with the General Plan.

Finding of Fact: The proposed Ordinance banning Short Term and vacation rentals in the city is consistent with the General Plan, as follows:

Land Use Goa l 2.1 : Preserve and enhance San Bernardino’s unique Neighborhoods.

Land Use Goal 2.2: Promote development that integrates with and minimizes impacts on surrounding land uses.

San Bernardino contains a wide range of neighborhoods accommodating an assortment of lifestyles. Each neighborhood has, or can have, its own unique character that is a source of pride for the residents. Neighborhood characteristics are defined by many factors: what the neighborhood looks like, what it feels like, and how well it is maintained. But more importantly, it is an image in the minds of those who live and work there and in the perceptions of those who visit the neighborhoods.

The rise of short -term rentals within the City has generated discussions as to their impact on the general character of neighborhoods in which they may be located and the cost of city services to monitor them.

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Ordinance No. MC-1661
3 The adoption of an Ordinance banning Short Term and vacation Rentals preserves the integrity and character of the residential neighborhoods in which they are located , and prevents negative impacts such as excessive noise, littering, loitering on the residential neighborhoods and the community at large.

Finding No. 2: The proposed Ordinance banning Short Term and vacation rentals would not be detrimental to the public interest, health, safety, convenience, or welfare of the City.

Finding of Fact: An Ordinance banning Short Term and vacation rentals is in the interest or furtherance of the public health, safety, convenience, and general welfare in that it preserves the residential characteristics of residential zoning districts while mitigating the harm to the residential zoning districts that result from the negative impacts of the use.

SECTION 3. Amendment. Section 19.02.050 of the San Bernardino Development Code and Chapter 19.04 of the San Bernardino Development Code are hereby revised as set forth in Exhibits A, B, and C, all attached hereto and incorporated herein by these references.

SECTION 4. Certification. The City Clerk of the City of San Bernardino shall certify to the adoption of this Ordinance and cause publication to occur in a newspaper of general circulation and published and circulated in the City in a manner permitted under Section 36933 of the Government Code of the State of California.

SECTION 5. Compliance with the California Environmental Quality Act. The Mayor and City Council, having independently reviewed and analyzed the record before it, including written and oral testimony, and having exercised their independent judgment, find s that there is no substantial evidence supporting a fair argument that approval of the ban on Short Tern and vacation rentals will result in a significant effect on the environment, and thus the project is exempt pursuant to Section 15061(b) of the California Environmental Quality Act guidelines due to the fact that the activity does not result in a direct or reasonably foreseeable indirect physical change to the environment.

SECTION 6. Notice of Exemption: The Planning Division of the Community Development and Housing Department is hereby directed to file a Notice of Exemption with the County Clerk of the County of San Bernardino within five (5) working days of final approval certifying the City’s co mpliance with the California Environmental Quality Act in approving Ordinance MC-1661.

SECTION 7. Severability: If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance, or any part thereof, is for any reason held to be unconstitutional, such decision shall not affect the validity of the remaining portion of this Ordinance or any part thereof. The Mayor and City Council hereby declare that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof, irrespective of the fact that any one or more section, subsection, subdivision, paragraph, sentence, clause or phrase be declared

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Ordinance No. MC-1661
4 unconstitutional. If for any reason any portion of this Ordinance is found to be invalid by a court of competent jurisdiction, the balance of this Ordinance shall not be affected.

SECTION 8. Effective Date. This Ordinance shall take effect thirt y (30) days after its adoption.

APPROVED and ADOPTED by the City Council and signed by the Mayor and att ested by the City Clerk this _____ day of ____ , 2026.

__________________________________
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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Ordinance No. MC-1661
5 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 Ordinance No. MC-1661, introduced by the City Council of the City of San Bernardino, California, at a regular meeting held the 18 th day of February 2026. Ordinance No. MC -1661 was approved, passed and adopted at a regular meeting held the __ day of ___, 2026 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 __, 2026.

_____________________________
Telicia Lopez, CMC, City Clerk

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Ordinance No. MC-1661
6 EXHIBIT A
Development Code Section 19.02.050
(Definitions)
Section 19.02.050 (Definitions) shall be modified to read as follows:
“19.02.050 DEFINITIONS
The words and phrases set out in this section, when used in this Development Code, shall, for the purposes of this Development Code only, have the following respective meanings. These definitions do not apply to any other chapter of the Municipal Code, and the same words and phrases may have different meanings in other chapters of the Municipal Code. …
Agent. A person or entity, who does not hold any interest in the property and who has authority to act on behalf of the owner.
…
Bedroom. A room designed primarily for sleeping that meets the definition of the California Building Codes currently adopted by the City.
…
Check-in. The arrival of a guest at a vacation-rental property or agent’s office. …
Guest House. Living quarters, having no kitchen facilities, located on the same premises with a main building and occupied for the sole use of members of the family, temporary guest, or persons permanently employed on the premises. This definition shall not include ADUs built subject to Section 19.04.030(2)(P) (Accessory Dwelling Units). …
Home-Sharing. The rental of bedrooms in a residential unit for a term of 29 or fewer consecutive days while the owner of the unit is present and living in the unit. …
Hosting Platform. A person or entity who participates in vacation rentals by collecting or receiving a fee, directly or indirectly through an agent or intermediary, for conducting a booking transaction using any medium of facilitation. Examples include, but are not limited to, VRBO.com, Airbnb.com, homestay.com and other internet and non-internet-based services that facilitate bookings for a fee.
…
Multi-Family Residential. Two (2) or more dwelling units in a single building on a site.

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Ordinance No. MC-1661
7 …
Owner. A person or entity, who holds record fee title to the property, except that “owner” does not include the holder of a leasehold interest in the property. …
Responsible Party. The lessee of a vacation-rental property. …
Short-Term Rental or Short-Term Rental Property. A residential dwelling unit that is leased for a term of 29 or fewer consecutive days.”

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Ordinance No. MC-1661

EXHIBIT B
Development Code Section 19.04.020
(Permitted, Development Permitted, and Conditionally Permitted Uses)

19.04.020 (Permitted, Development Permitted, and Conditionally Permitted Uses); Table 04.01 (Residential Zones – Permitted, Development Permitted, and Conditionally Permitted Uses) shall be modified to read as follows:
“TABLE 04.01

PERMITTED, DEVELOPMENT PERMITTED, AND

CONDITIONALLY PERMITTED USES

LAND USE ACTIVITY RE RL RS RS RM RMH RH RS
H

1. Residential Uses
A. Community Care Facility (6 or less) P P P P P P P X
B. Condominium or Townhouse D D D D D D D X
C. Convalescent Homes X X X C D D D X
D. Day Care Center C C C
E. Day Care Homes, Family
8 or less children
9 to 15 children

P

P

P

P

P

P

P

X

D D D D D D D X
F. Dormitories/Fraternity/Sorority X X X X C C C X
G. Homeless Facilities X X X X C C C X
H. Manufactured Housing D D D D D D D X
I. Mobile Home Parks or Subdivisions D D D D D D D X
J. Multi-Family Dwellings X X X D D D D X
K. Multi-Family Dwellings, Existing X X X P P P P X
L. Planned Residential Developments X X X D D D D X
M. Accessory Dwelling Unit P P P P P P P P
N. Senior Citizen/Congregate Care Housing X X X D D D D D O. Single-Family Dwellings D D D D D D D X
P. Single-Family Dwellings, Existing P P P P P P P X
Q. Small Lot Subdivision X X X D D D D X
R. Student Housing Complex X X X X X X X C
R. Short-Term Rentals X X X X X X X X
”

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Ordinance No. MC-1661

EXHIBIT C
Development Code Section 19.04.030(2)
(Residential Zones Specific Standards)

19.04.030(2) (Residential Zones Specific Standards); Table 04.03 (Residential Zones Specific Standards) shall be modified to read as follows:
“TABLE 04.03

RESIDENTIAL ZONES SPECIFIC STANDARDS
Specific Standards RE RL RS RU RM RMH RH RSH CO CG-2 CR-2 A. Accessory Structure + + + + + + + + + +
B. Day Care Facility + + + + + + + + + +
C. Day Care Home, Large Family + + + + + + +
D. Density Bonus/Affordable + + + + + + + + + +
Housing or Amenities
E. Front/Rear Yard + + + + +
Averaging
F. Golf Courses & Related + + + + + + +
Facilities
G. Guest House + + + +
H. Minimum Room Size + + + + + + + + + +
I. Minimum Dwelling Size + + + + + + + + + +
J. Mobile Home & + + + + + + +
Manufactured Housing
K. Mobile Home Park or + + + + + + +
Subdivision
L. Multiple Family Housing
+ + + + + +
M. Multi-Family Housing, Existing
+ + + +
N. Planned Residential +
Development
O. Recreational Vehicle + + + + + + +
Storage
P. Second Accessory + + + + + + +
Dwelling Unit Q. Senior Citizen/ + + + + + + + Congregate Care Housing
R. Single-Family Dwellings, Existing + + + + + + + + + + S. Small Lot Subdivisions +
T. Social Service Uses/ + + + + + +
Centers
U. Vocational/Trade Schools
+
V. Student Housing Complex
+
W. Urban Lot Splits + + +
X. Two-Unit Projects + + +
Y. Short-Term Rentals + + + + + + +
Key: “+” applies in the zone.”

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Resolution No. 2025-059-PC
1 8
2 0
9 RESOLUTION NO. 2025-059-PC

A RESOLUTION OF THE PLANNING COMMISSION OF THE

MAYOR AND CITY OF SAN BERNARDINO, CALIFORNIA,

FORWARDING RECOMMENDATION TO THE MAYOR AND

CITY COUNCIL RECOMMENDING DEVELOPMENT CODE
AMENDMENT 25-09 AMENDING SECTION 19.02.050 (BASIC
PROVISIONS – DEFINITIONS) AND CHAPTER 19.04
(RESIDENTIAL ZONES) OF THE CITY OF SAN
BERNARDINO DEVELOPMENT CODE (SBMC TITLE 19) IN

ORDER TO ESTABLISH A BAN ON SHORT-TERM RENTALS
IN THE CITY OF SAN BERNARDINO; AND FINDING THAT
DEVELOPMENT CODE AMENDMENT 25-09 IS EXEMPT

FROM REVIEW UNDER THE CALIFORNIA
ENVIRONMENTAL QUALITY ACT.

WHEREAS, in recent years there has been an increase in privately-owned residential properties being used as short-term rentals in the City; and WHEREAS, the unregulated use of existing housing as short-term rentals can escalate the demand for City services and create adverse impacts in residential zones; and WHEREAS, the City of San Bernardino has received numerous complaints about residents leasing their residential properties to travelers and for weekend retreats as short-term vacation rentals; and
WHEREAS, the City’s Municipal Code (SBMC) does not specifically address short-term vacation rentals; and
WHEREAS, the City’s Municipal Code (SBMC) does not specifically address short-term vacation rentals; and
WHEREAS, on December 12, 2023, the Planning Commission, by a unanimous vote, adopted Resolution No. 2023-043PC forwarding a recommendation that the Mayor and City Council approve Development Code Amendment 23-01, amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) in order to establish a Short-Term Rental Program in the City of San Bernardino; and found that Development Code Amendment 23-01 was exempt from review under the California Environmental Quality Act.; and
WHEREAS, on February 21, 2024, staff took forward a recommendation to the Mayor and City Council for the adoption of a regulatory scheme for Short-Term Rentals; and WHEREAS, the City Council, at the meeting, directed staff to conduct additional analysis on enforcement measures and the effects of a Short-Term Rental Program on the City’s housing market; and

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Resolution No. 2025-059-PC
2 8
2 0
9 WHEREAS, on June 5, 2024, the City Council banned short-term rentals in the city; and WHEREAS, Development Code Amendment 253-09 is a City-initiated amendment to Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the city of San Bernardino Development Code (SBMC Title 19) in order to ban Short-Term Rentals in the City of San Bernardino; and
WHEREAS, the City of San Bernardino would also explore the assessment of Transient Occupancy Taxes on banned Short Term Rental locations within the City of San Bernardino; and WHEREAS, the City would employ the use of third-party software to track, identify, and accurately display Short Term Rental activities within the City and within community districts and ensures that everyone is held accountable to play by the same set of rules, follow all guidelines and ordinances, and pay their fair share of fees and taxes; and WHEREAS, on December 9, 2025, pursuant to the requirements of Section 19.52.040 (Hearings and Appeals – Hearing Procedures) of the City of San Bernardino Development Code, the Planning Commission held a duly-noticed public hearing at which interested persons had an opportunity to testify in support of, or opposition to Development Code Amendment 25-09 and at which meeting, the Planning Commission considered Development Code Amendment 25-09 and adopted Resolution No. 2025-059 recommending the adoption of the Development Code Amendment 25-09 to the Mayor and City Council.

NOW THEREFORE, THE PLANNING COMMISSION OF THE CITY OF SAN BERNARDINO, CALIFORNIA, DO DECLARE AS FOLLOWS:

SECTION 1. Incorporation of Recitals. The above recitals are true and correct and are incorporated herein.

SECTION 2.Compliance with the California Environmental Quality Act. The Planning Commission, having independently reviewed and analyzed the record before it, including written and oral testimony, and having exercised their independent judgment, finds that there is no substantial evidence supporting a fair argument that approval of Development Code Amendment 25-091 and this Resolution No. 2025-059 will result in a significant effect on the environment, and thus the project is exempt pursuant to Section 15061(b) of the California Environmental Quality Act guidelines due to the fact that the activity does not result in a direct or reasonably foreseeable indirect physical change in the environment.

SECTION 3.Finding of Facts – Development Code Amendment 25-09 Finding No. 1:The proposed amendment is consistent with the General Plan.

Finding of Fact:Development Code Amendment 25-09 is consistent with the General Plan, as follows:

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Resolution No. 2025-059-PC
3 8
2 0
9 Land Use Goal 2.1: Preserve and enhance San Bernardino’s unique Neighborhoods.

Land Use Goal 2.2: Promote development that integrates with and minimizes impacts on surrounding land uses.

San Bernardino contains a wide range of neighborhoods accommodating an assortment of lifestyles. Each neighborhood has, or can have, its own unique character that is a source of pride for the residents. Neighborhood character is defined by many factors: what the neighborhood looks like, what it feels like, how well it is maintained, etc. But more importantly, it is an image in the minds of those who live and work there and in the perceptions of those who visit.

The rise of short-term rentals within the City has generated discussions as to their impact on the general character of neighborhoods in which they may be located and the cost of city services to monitor them.

The adoption and implementation of Development Code Amendment 25- 09 banning Short Term Rentals preserves the integrity and character of the residential neighborhoods in which they are located prevents negative impacts such as excessive noise, littering, loitering on the residential neighborhoods and the community at large.

Finding No. 2:The proposed amendment would not be detrimental to the public interest, health, safety, convenience, or welfare of the City.

Finding of Fact:The adoption and implementation of Development Code Amendment 25- 09 is in the interest or furtherance of the public health, safety, convenience, and general welfare by banning Short Term Rental and preserving the residential characteristics of residential zoning districts while mitigating the harm to the residential zoning districts that result from short-term rentals.

SECTION 4.Adoption of Resolution. Development Code Amendment 25-09 to amend Section 19.02.050 (Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Municipal Code (Title 19), attached hereto and incorporated herein by reference as Exhibit “A” through “B”, is hereby approved.

SECTION 5.Notice of Exemption: The Planning Division of the Community Development and Housing Department is hereby directed to file a Notice of Exemption with the County Clerk of the County of San Bernardino within five (5) working days of final approval certifying the City’s compliance with the California Environmental Quality Act in approving Development Code Amendment 25-09.

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Resolution No. 2025-059-PC
4 8
2 0
9 SECTION 6.Severability: If any section, subsection, subdivision, sentence, or clause or phrase in this Ordinance or any part thereof is for any reason held to be unconstitutional, invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have adopted each section irrespective of the fact that any one or more subsections, subdivisions, sentences, clauses, or phrases be declared unconstitutional, invalid, or ineffective.

SECTION 7.Effective Date. This Ordinance shall become effective thirty (30) days after the date of its adoption.

SECTION 8.Notice of Adoption. The City Clerk of the City of San Bernardino shall certify to the adoption of this Ordinance and cause publication to occur in a newspaper of general circulation and published and circulated in the City in a manner permitted under section 36933 of the Government Code of the State of California.

APPROVED and ADOPTED by the Planning Commission this 9 th day of December, 2025.
__________________________________
Lisa Sherick, Chairperson
San Bernardino Planning Commission
Attest:
__________________________________
_________________________________
Gabriel Elliott
Planning Commission Secretary
City of San Bernardino

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Resolution No. 2025-059-PC
4 8
2 0
9 Packet Page. 90

Resolution No. 2025-059-PC
5 8
2 0
9 CERTIFICATION
I, Alyssa Blancas, Recording Secretary of the Planning Commission of the City of San Bernardino, California, do hereby certify that the foregoing Resolution No. 2025-059, was duly adopted by the Planning Commission of the City of San Bernardino, California, at a regular meeting thereof held on the 9th day of December, 2025, by the following vote, to wit:

AYES:

NOES:

ABSENT:
_____________________________
Alyssa Blancas, Recording Secretary,
City of San Bernardino, California

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RESOLUTION NO. 2023-043 - PC

1 RESOLUTION NO. 2023-043 - PC

A RESOLUTION OF THE PLANNING COMMISSION OF

THE CITY OF SAN BERNARDINO, CALIFORNIA,

FOW ARDING A RECOMMENDATION TO THE MAYOR

AND CITY COUNCIL RECOMMENDING APPROV AL OF
DEVELOPMENT CODE AMENDMENT 23 -01 AMENDING
SECTION 19.02.020 (BASIC PROVISIONS – DEFINITIONS)
AND CHAPTER 19.04 (RESIDENTIAL ZONES) OF THE

CITY OF SAN BERNARDINO DEVELOPMENT CODE
(SBMC TITLE 19) IN ORDER TO ESTABLISH A SHORT-

TERM RENTAL PROGRAM IN THE CITY OF SAN
BERNARDINO; AND FINDING THAT DEVELOPMENT
CODE AMENDMENT 23 -01 IS EXEMPT FROM REVIEW

UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY
ACT.

WHEREAS, in recent years there has been an increase in privately -owned residential properties being used as short-term rentals in the City; and

WHEREAS, the unregulated use of existing housing as short-term rentals can escalate the demand for City services and create adverse impacts in residential zones; and

WHEREAS, the City has determined that there should be a reasonable balance between the regulation of short-term rental operations and the recognized need to protect the residential character of neighborhoods in which they may be located; and

WHEREAS, on December 22, 2022, the Planning Commission received and filed an update on the state of short-term rentals in the City and forwarded a recommendation to the Mayor and City Council to direct staff to develop a regulatory scheme for short-term rentals in the City’s residential districts; and

WHEREAS, on January 18, 2023 , the Mayor and City Council recommended that staff work to adopt a regulatory scheme for short-term rentals; and

WHEREAS, on February 27, 2023, the Planning Commission heard a report from staff and conducted a workshop to provide staff direction to include or consider items to regulate short- term rentals; and

WHEREAS, Development Code Amendment 23-01 is a City -initiated amendment to Section 19.02.020 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones ) of the city of San Bernardino Development Code (SBMC Title 19) in order to establish a Short-Term Rental Program in the City of San Bernardino; and

WHEREAS, the Planning Division of the Community Development Department of the City of San Bernardino has prepared Development Code Amendment 23-01 in compliance with the California Government Code, consistency with the City of San Bernardino General Plan , and compliance with the City of San Bernardino Development Code; and

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RESOLUTION NO. 2023-043 - PC

2 WHEREAS, pursuant to requirements of the California Environmental Quality Act (“CEQA”), the Planning Division of the Community Development Department evaluated Development Code Amendment 23-01 and determined that it is exempt from CEQA under 15061(b)(3) of the CEQA Guidelines; and

WHEREAS, on November 4, 2023, pursuant to the requirements of Section 19.52.020 (Hearings and Appeals – Application Processing) of the City of San Bernardino Development Code, the City gave public notice by advertising in the San Bernardino Sun, a newspaper of general circulation within the City of San Bernardino of the holding of a public hearing at which Development Code Amendment 23-01 would be considered; and

WHEREAS, on November 14, 2023, pursuant to the requirements of Section 19.52.040 (Hearings and Appeals – Hearing Procedures) of the City of San Bernardino Development Code, the Planning Commission held the duly-noticed public hearing at which interested persons had an opportunity to testify in support of, or opposition to Development Code Amendment 23-01 and at which meeting, the Planning Commission considered Development Code Amendment 23-01.

Upon conclusion of the public hearing the Planning Commission continued the item to allow staff time to address comments raised during the public hearing; and

WHEREAS, on December 12, 2023, pursuant to the requirements of Section 19.52.040 (Hearings and Appeals - Hearing Procedure) of the City of San Bernardino Development Code, the Planning Commission held the duly -noticed continued public hearing at which interested persons had an opportunity to testify in support of, or opposition to Development Code Amendment 23 -01 and at which meeting the Planning Commission Development Code Amendment 23-01; and

WHEREAS, pursuant to the requirements of Section 19.42.030 (Development Code Amendments – Commission Action on Amendments) of the City of San Bernardino Development Code, the Planning Commission has the authority to recommend to the Mayor and City Council the approval of the Development Code Amendment 23-01.

NOW THEREFORE, the Planning Commission of the City of San Bernardino does hereby resolve, determine, find, and order as follows:

SECTION 1. ENVIRONMENTAL DETERMINATION:

As the decision -making body for the project, the Planning Commission has reviewed and considered the information contained in the administrative record for Development Code Amendment 23-01. Based upon the facts and information contained in the administrative record, including all written and oral evidence presented to the Planning Commission, the Planning Commission hereby recommends to the Mayor and City Council, as follows:

(1) The administrative record has been completed in compliance with the California Environmental Quality Act (“CEQA”), the State CEQA Guidelines, and the City’s Local CEQA Guidelines; and

(2) The proposed project is exempt from the requirements of the California Environmental Quality Act (“CEQA”) under CEQA Guidelines Section 15061(b)(3), the

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RESOLUTION NO. 2023-043 - PC

3 “common sense” rule that states that CEQA applies only to projects that have the potential for causing a significant effect on the environment. This amendment establishes standards for the rental of existing residential properties in areas zoned for residential use and therefore does not have potential to cause a significant effect on the environment; and

(3) The determination of CEQA exemption reflects the independent judgment of the Planning Commission.

SECTION 2. FINDINGS FOR DEVELOPMENT CODE AMENDMENT 23-01:

Section 19.42.050 of the City of San Bernardino Development Code requires that Development Code Amendments meet certain finding prior to approval by the Mayor and City Council.

Accordingly, the following findings are provided in support of the recommendati on by the Planning Commission for the approval of Development Code Amendment 23-01:

Finding No. 1: The proposed amendment is consistent with the General Plan.

Finding of Fact: Development Code Amendment 23-01 is consistent with the General Plan, as follows:

Land Use Goal 2.1: Preserve and enhance San Bernardino’s unique Neighborhoods.

Land Use Goal 2.2: Promote development that integrates with and minimizes impacts on surrounding land uses.

San Bernardino contains a wide range of neighborhoods accommodating an assortment of lifestyles. Each neighborhood has, or can have, its own unique character that is a source of pride for the residents. Neighborhood character is defined by many factors: what the neighborhood looks like, what it feels like, how well it is maintained, etc. But more importantly, it is an image in the minds of those who live and work there and in the perceptions of those who visit.

The rise of short -term rentals within the City has created the need to establish regulations to ensure the compatibility between short-term rentals and the residential character of neighborhoods in which they may be located in order to mitigate any potential conflicts that may arise from their operation.

The adoption and implementation of Development Code Amendment 23-01 is consistent with the City’s General Plan by allowing for the development of Short-Term Rentals within residential zones in a manner that will prevent negative impacts to the existing residential neighborhoods and the community at-large.

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RESOLUTION NO. 2023-043 - PC

4 Finding No. 2: The proposed amendment would not be detrimental to the public interest, health, safety, convenience, or welfare of the City.

Finding of Fact: The adoption and implementation of Development Code Amendment 23-01 is in the interest or furtherance of the public health, safety, convenience, and general welfare through the establishment of regulations that will preserve the residential characteristics of residential zoning districts and mitigate the harm to the residential zoning districts that result from short-term rentals.

SECTION 3. RECOMMENDATION FOR DEVELOPMENT CODE
AMENDMENT 22-03:

Pursuant to Section 19.42.030 (Development Code Amendments – Commission Action on Amendments), the Planning Commission forwards the amendments to the Development Code attached hereto as EXHIBIT "A" through "C" for approval by the Mayor and City Council.

SECTION 4. PLANNING COMMISSION ACTION:

The Planning Commission hereby takes the following action:

1. Adoption of Planning Commission Resolution No. 2023 -043, forwarding a recommendation that the Mayor and City Council:

a. Find the Exemption, pursuant to Section 15061(b)(3) of the CEQA Guidelines for Development Code Amendment 23 -01, a nd directing the Director of Community Development to prepare and file with the Clerk of the County of San Bernardino a Notice of Exemption as provided under Public Resources Code Section 2 l 152(b) and CEQA Guidelines Section 15062; and

b. Approve Development Code Amendment 23-01 based on the Findings of Fact.

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. CUSTODIAN OF RECORDS:

The location and custodian of the documents and any other material, which constitute the record of proceedings upon which the Planning Commission based its decision, is as follows: Genoveva Rocha, City Clerk, 201 North E Street (Building A), 909-384-5002.

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RESOLUTION NO. 2023-043 - PC

5 PASSED, APPROVED AND ADOPTED this 12th day of December 2023.

Monique Guerrero, Chairperson
San Bernardino Planning Commission
ATTEST:

Mary E. Lanier, Planning Commission Secretary
City of San Bernardino, California

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RESOLUTION NO. 2023-043 - PC

6 CERTIFICATION:

I, Jennifer Meamber , Recording Secretary of the Planning Commission of the City of San Bernardino, California, do hereby certify that the foregoing Resolution No. 2023 -043 - PC, was duly adopted by the Planning Commission of the City of San Bernardino, California, at a regular meeting thereof held on the 12th day of December 2023, by the following vote, to wit:

AYES: Guerrero, Lopez, I. Garcia, Quiel, Flores, Sherrick, & O. Garcia

NOES:

ABSENT: Armstead & Lewis

ABSTAIN:

Jennifer Meamber, Recording Secretary
City of San Bernardino, California

Packet Page. 97

Price Proposal FOR City of San Bernardino, CA September 29, 2025 presented by engineered by
1620 Fifth Ave • Suite 400 • San Diego, CA 92101
Dainius Marijosius Sales Director - West 541-815-2444 [email protected]

Packet Page. 98

2 Table of Contents Executive Summary .................................................................................................................................................... 3 References ................................................................................................................................................................... 5 Proposed Products ...................................................................................................................................................... 6 Implementation & Training ......................................................................................................................................... 9 Pricing Proposal .......................................................................................................................................................... 10 Product Line ............................................................................................................................................................... 13

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3 Executive Summary Rentalscape Short-Term Rental ID & Monitoring Platform Deckard Technologies utilizes data science expertise to assist local governments with managing their compliance activity and enforcement, such as short-term rental (STR) properties. Our technology ensures that everyone is held accountable to play by the same set of rules, follow all guidelines and ordinances, and pay their fair share of fees and taxes. To accurately track activity within the City of San Bernardino, the Rentalscape platform identifies the exact address of the STR listings within the City limits, enabling accurate display of STR activity within the City and within community districts. Rentalscape groups listings and calculates statistics on a per-property basis. By mapping the exact location of properties, Rentalscape avoids double-counting activity. Knowing the exact location of STR properties enables compliance, enforcement, tax collection and complaint management activities. About Rentalscape Deckard’s Dashboard management platform for STR will discover, identify, and efficiently present all STR activity in the City of San Bernardino, using unique technical capabilities such as its proprietary future booking detection software, automatic non-compliance recognition, industry-best address identification. Rentalscape is the only platform that automatically updates upcoming rentals and bookings shortly after reservations are made. This allows Rentalscape users to reach out to owners and hosts who are unlawfully renting and address any issues relating to these future rentals long before guests arrive, thereby eliminating disturbances, neighbor complaints and other common issues that often arise from illegal rentals. •
D
B
A
D
E
B
C
Address Sites Monitored Bookings, Cost, Occupancy Host Revenue Average Daily Rate

•
•
•
•
A B C D E Figure 1: Rentalscape Property Card

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4 Rentalscape maintains a database of every booking and stay made on all major platforms. Our system contains information dating back to late 2019 for every STR in the City of San Bernardino. All data can be viewed interactively on the Rentalscape portal with unlimited user access and downloaded on demand in Microsoft Excel format. Rentalscape dashboard map view shows the exact location of all STR activity, includes districts as defined by the City and displays individual property information and aggregate statistics on a per district basis. Rentalscape presents detailed STR activities including the precise address, owner information, booking history, availability and more. For each individual booking, the platform provides the actual date the reservation was made as well as the start and end date of each booking, ensuring that the City is able to distinguish back-to-back bookings. These insights are not possible to achieve by simply viewing the listings itself. In Summary In every jurisdiction in which we are providing service we have increased compliance and improved tax collection. Our process starts with producing the cleanest data possible – ensuring reporting is accurate and compliance levels are carefully monitored. We have in-house property appraisers and STR property managers. We also regularly consult with City staff to ensure we are always up to date with the latest STR best practices. Our systems come with unlimited user access and unlimited end-user training. Our customers give testimonials regarding the ease of use of our systems and vastly superior level of customer service when compared to other providers in the market.

Figure 2: Rentalscape Map

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5 References We believe that continuous innovation is required to face the challenges of today and of tomorrow. We are proud of our achievements and solutions that enable cities and counties to manage short-term rental activities and to ensure local rules and ordinances are enforced for the betterment of local residents.   The following references are examples of successful partnerships between Deckard Technologies & its clients.

City of La Quinta, CA Gil Villalpando Asst. City ManAger [email protected] 760-777-7094 Product: Rentalscape, Custom Services City of Irvine, CA Nathan Lynch Code Enforcement [email protected] 949-536-4035 Product: Rentalscape City of Rancho Palos Verdes, CA Ara Mihranian City Manager [email protected] 310-544-5207 Product: Rentalscape, Outreach Campaign

City of Corona, CA Rachel Bottka Code Compliance Supervisor [email protected] 951-736-2429 Product: Rentalscape

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6 Proposed Products The Rentalscape Portal The Rentalscape portal is a cloud-based system for City staff to track STR properties, monitor STR activity, manage STR permits and record information about properties. The data in the system is constantly being updated as new properties are discovered and address identified, as new permit applications are made and as permits are expired or revoked. The Rentalscape portal displays information on all STR listings found within the City going back at least 12 months. We use US Census data to identify City limits and any parcels or listings within the limits are monitored. Rentalscape also tracks properties outside the City until they are accurately identified. On occasion, the STR listing estimated location for a property falls outside the City, but the actual location of the property once address identified is inside the City. Rentalscape displays: 1. Any permitted STR property 2. Any property with a currently live STR listing 3. Any property with historic STR listings 4. Any property with a future or past STR booking (even if the property currently does not have a live listing) Rentalscape includes the ability to filter the properties displayed (e.g., only permitted properties, or only properties in a specific HOA), and to download all results. All data displayed is available for direct download from Rentalscape. Information shown in Rentalscape for each property includes: Property characteristics 1. Property address 2. Owner name and mailing address 3. Residential type (primary residence, secondary/investment property) 4. Property type 5. Number of bedrooms and bathroom at the property, per public records data 6. A map showing the property’s location 7. Maximum occupancy per the City of San Bernardino ordinance

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7 Listing characteristics 1. Listing URL for each listing associated with each specific property 2. Listing ad ID for each listing associated with each specific property 3. Rental calendar showing current month’s activity as well as past twelve months and upcoming three months booking activity (frequently updated calendar) 4. Rentalscape clearly and easily differentiates between regular bookings and host-blocked dates that are not revenue-generating 5. Host name (when available) 6. Stay limitations (minimum/maximum) 7. Permit/license number if included in the listing 8. Daily Rental rate at time of booking 9. Rental frequency 10. Individual links to all active listing for the property 11. PDF copy of each listing, as well as a history of all previous versions of the listing, to identify any possible changes, as well as keep a record in case the listing is taken down by the host. Each image has a date-stamp showing when it was created and is kept indefinitely. 12. Rental type (Whole home, shared home) 13. Bedrooms and bathrooms advertised 14. Maximum occupancy, per listing Estimated sales tax based on rental activity 1. Occupancy rate 2. Estimated rental income 3. Estimated tax Rentalscape is configured to match the City’s ordinance and is capable of flagging violations following the City’s exact rules, including but not limited to permit registration and occupancy advertised versus permitted occupancy. Rentalscape looks for bookings less than 30 days when flagging STRs. When bookings longer than 30 days are created, these are correctly categorized as long-term rentals and do not cause a property to be treated as an STR. Rentalscape actively monitors permit status and STR listings daily, flagging violations as they occur. We have encountered situations where other providers have flagged properties as “no longer listed” or “only performing long-term rentals”, that later re-list or take a short-term booking, and are subsequently missed by these other vendors as violating the City ordinance. Rentalscape continuously monitors every listing every day including bookings up to a year in advance. As soon as an unpermitted booking is taken, Rentalscape sets a violation.

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8 Rentalscape includes a Dashboard that provides an overview of all STR activity in the City. This Dashboard includes aggregated revenue, bookings, and property data, and highlights top-earning hosts and owners as seen below. Please note that some charts will not be activated until we go live in the City of San Bernardino.

Figure 3: Rentalscape the City of San Bernardino Dashboard Example

STR PROPERTIES ESTIMATED TAX REVENUE

MOST ACTIVE HOSTS UNIT TYPE

TOP PLATFORMS RENTAL SIZE

BOOKING ACTIVITIES ONLINE PLATFORMS

HOST REVENUE

AVERAGE DAILY RATE

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9 Implementation & Training Implementation is on your timeline!! Upon Contract signing, Deckard will assign the City of San Bernardino a Dedicated Account Manager, who will work with the City to develop “best practices” based on Deckard’s experiences with other clients. The Client Success Manager will ensure that the implementation process proceeds smoothly and will be the main point of contact for any questions, suggestions, training, or concerns. The Client Success Manager will also participate in periodic calls with City staff as requested. Since Rentalscape is cloud-based, no hardware or software installation is required. Most jurisdictions have been up and running with Rentalscape within a couple weeks with Address Identification complete within 4 weeks of receipt of the permit and listing data. Figure 4: Sample Timeline for Rentalscape

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10 Pricing Proposal Currently, Rentalscape is showing close to 355 live STR listings in the City of San Bernardino. Based on the number of live STR listings, we estimate there are 150+ short-term rental properties in the City, advertised on one or more platforms. Deckard Technologies can provide a comprehensive, all-inclusive system that meets the requirements specified in the Proposal. Alternatively, each of our products is available for individual purchase as standalone items, allowing for tailored solutions to meet specific needs. We only charge fees on a per property, not per listing, basis. Since a single property can have multiple listings, we feel it is unfair to charge fees based on listing count. Finally, we do not charge one fee for compliance monitoring and another for rental activity monitoring as, in our view, these are the same service.

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11 Base Product Pricing

ADDRESS IDENTIFICATION, COMPLIANCE MONITORING, & RENTAL ACTIVITY REPORTING Price • Identify property & address • Identify property owner address • Real-time reporting of all new listings & frequent calendar monitoring • 10,000+ Websites monitored Daily, worldwide • FutureCast™ - Identify future bookings as they are made on the rental platform $7,500 Annually
OUTREACH CAMPAIGN • Letter campaign to inform STR illegal operators regarding compliance requirements and procedures • All letter templates will receive City approval pre-campaign • Campaign includes one Introductory letter and two additional escalation letters

INCLUDED
REPORTING & ANALYSIS • On Demand, Dynamic reporting, offering multiple ad hoc reports • Filters allowing users to focus on specific segments of the STR population INCLUDED DEDICATED ACCOUNT MANAGER • Single Point of Contact for City staff for all matters • Ensures the City is following Industry best practices • Shepherds the implementation process from start to finish • Periodic meetings/calls throughout the life of the account

INCLUDED
UNLIMITED ACCOUNTS & TRAINING SESSIONS • No limit on the number of Rentalscape user accounts • No per-session training costs • Single Sign-On (SSO) available • Dedicated client support staff available to assist with costumer request

INCLUDED
TOTAL YEAR ONE $7,500
Note: Pricing valid for 90 days Note 2: Pricing Confidential

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12 Optional Products Pricing

STR REGISTRATION PORTAL • Online, intuitive portal for registration and renewal • Fields configurable to meet City needs • Identify properties that need registration fee • Provide daily reports on new and modified permits $5,000 (OPTIONAL)
TAX PAYMENT PORTAL • Easy to use online tax payment portal • Configurable tax, late fee and interest rates on a per-property basis • Provide daily reports on tax payments and remittances to the City $5,000 (OPTIONAL)
COMPLAINT 24/7 HOTLINE & ONLINE FORM • 24/7 US bilingual (upon request) call center with live agents – Classic (see Page 13 for Detail Information) • Online complaint form (Complaint Form only $2,000) $3,500 (OPTIONAL) CONSTITUENT PORTAL • Public facing portal (Link placed on Jurisdiction’s website) • Permit/Licensing Data and Responsible Party Contact Info for every STR Property (Standard) $5,000 (OPTIONAL) INSPECTION MODULE • Enables field agents to create notes, comments, complaints, or tickets directly from the field during the inspections (mobile enabled) • Record inspection data, including notes and complaints • E-mail inspection results to property owners and City staff $5,000 (OPTIONAL)

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13 Product Line STR Registration and Renewal Portal This system is fully configurable and tailored to each client, featuring custom branding and fields specific to jurisdiction requirements, such as occupancy limits and bedroom counts. It securely collects necessary documents for the STR registration process and includes an approval portal for efficient registration management. The platform offers configurable permit/license pricing and expiration settings, facilitates the collection of permit fees, supports renewals and updates, and provides regular reporting capabilities. Letter Campaign for STR Hosts Rentalscape will create and distribute letters to illegal operators, detailing the jurisdiction’s STR ordinances, requirements, and procedures. All letter templates will be reviewed and approved by the jurisdiction’s staff before mailings commence. Our strategically timed, targeted letter campaigns have proven highly effective, reducing the number of unregistered hosts by over 50% within the first six months of new client engagement. Tax Payment Portal The portal facilitates tax collection from STR operators on a monthly, quarterly, or yearly basis. The Rentalscape Tax Payment system gathers data on nights available for booking and nights booked, and it is customized to each jurisdiction. It features automatic tax calculation based on the jurisdiction’s tax rate, incorporates late fee and penalty computations, and provides the flexibility to apply leniency on a collective jurisdiction basis when necessary. Using Stripe for payment processing, the system accepts credit card and ACH payments, with funds remitted directly to the jurisdiction. It also generates nightly reports for easy reconciliation, significantly reducing the manual effort associated with processing paper forms. 24/7 Complaint Line & Online Complaint Portal The Complaint Line is available 24/7 to field public complaints related to short-term rentals, operated by live, U.S.-based call takers. Call takers collect essential information, such as the address, property owner, type of incident, and date, and then notify the designated jurisdiction contact. Our hotline services are offered at three different levels to accommodate various needs. Basic: Standard call flow. Information is taken and forwarded to the jurisdiction. Calls are referred to the appropriate staff without follow up required.

Classic: Call Center will contact the local contact when information is available (permitted properties), notify them of the complaint then forward the information to the local jurisdiction contact. Premier: Premium call flow. Dispatcher will attempt to get a complaint resolution. The local contact can be contacted up to 3 times before referring caller out to appropriate staff.

Rentalscape Online Complaint Form: Neighbors can report and provide evidence for non-emergency concerns with photos and videos. The Complaint Form is customized with your logo. All complaints are logged and reported to the appropriate staff/department. STR Constituent Portal The Constituent Portal is an interactive public online map that displays all registered short-term rentals within the jurisdiction. It is fully configurable to meet the jurisdiction’s needs, providing information such as the property owner and emergency contact details. The portal is branded with the jurisdiction’s identity and can include links to related systems, like the short-term rental registration platform. Inspection Module This module streamlines the inspection process, enhancing efficiency and effectiveness for field agents and jurisdiction staff. It is a mobile-enabled system that allows agents to conduct and document health and safety inspections directly in the field. Agents can add notes, comments, and even generate complaints or tickets in PDF format on-site.

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Deckard Technologies, Inc. MSA 12.02.2024

MASTER PROFESSIONAL SERVICES AGREEMENT

This Master Professional Services Agreement (the "Agreement") is made and entered into as of ______________________ (the “Effective Date”) by and between Deckard Technologies, Inc., a Delaware corporation (“Deckard”), having its principal offices located at 1620 5th Avenue, Suite 400, San Diego, CA 92101 and the City of San Bernardino (“Client”), having its principal offices at 290 North D Street, San Bernardino CA 92401

RECITALS
WHEREAS, Deckard provides advanced data analytics and technology solutions for real estate through its proprietary Rentalscape platform (the “Platform”);
WHEREAS, Client desires to engage Deckard to perform the services described in SOWs attached to this Agreement in accordance with the terms and conditions hereof; NOW THEREFORE, the parties hereby agree as follows:

1. Statements of Work.

1.1. Client hereby retains Deckard and Deckard hereby agrees to use the Platform to perform certain data analytics services (the “Services”), which shall be specified in writing in statement(s) of work executed by the parties hereto (each an “SOW”). The SOW for the initial Services to be performed by Deckard is attached hereto as Exhibit A. Each subsequent SOW shall be signed by both parties and shall set forth, upon terms mutually agreeable to the parties, the specific Services to be performed by Deckard, the timeline and schedule for the performance of such Services and the compensation to be paid by Client to Deckard for the provision of such Services, as well as any other relevant terms and conditions. If a SOW includes the development of specific work product, the specifications of such work product shall be set forth on the relevant SOW. The parties shall attach a copy of each Statement of Work to this Agreement and each such SOW shall be incorporated herein by reference. Any changes to an SOW shall be i n writing, executed by each party (each a “Change Order”), attached to the original SOW and incorporated therein and attached hereto as part of Exhibit A. All such executed SOWs and Change Orders are subject to the terms and conditions of this Agreement, are incorporated herein, and made a part hereof. In the event of any conflict between the terms of this Agreement and any SOW or Change Order the terms of this Agreement shall control.

1.2. Deckard agrees to apply Deckard’s best efforts to the performance of Services under this Agreement competently and professionally, and will deliver the work product as set forth in the applicable SOW. Deckard shall devote such time and attention to the pe rformance of Deckard’s duties under this Agreement, as shall reasonably be required by Client, or as customary in the software industry.

2. Performance of Services. In carrying out the Services, Deckard shall fully comply with any and all applicable codes, laws and regulations and, if applicable, the rules of the site at which the Services are performed. Deckard shall provide a project manager who shall oversee the day-to-day performance of the Services and ensure the orderly performance of the Services consistent with each SOW and this Agreement. Deckard’s project manager shall reasonably cooperate with Client’s project manager and keep him or her informed of the work progress.

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3. Fees.

3.1. Client shall pay all fees in the amount and in the time periods set forth in the applicable SOW. In no event shall the fees payable to Deckard hereunder exceed any maximum amount set out in the SOW.

Client shall reimburse Deckard for actual and reasonable expenses incurred in performing the Services that are set forth in an SOW or otherwise approved in advance by Client, including meals, incidental expenses and reasonable travel costs incurred for travel in such amounts as authorized by the Federal or specified State or local travel regulations. Original receipts must be presented with any invoice for such costs and/or expenses and Deckard shall attest that the costs and/or expenses are actual and allocated to the Services.

3.2. Deckard agrees to use commercially reasonable efforts to ensure that invoices comply with the form, timeliness and any supporting certification requirements that are provided to Deckard by Client in writing from time to time during the Term. Unless otherwi se specified in an SOW, Client shall pay all invoices within 30 days of Client’s receipt of such invoice.

3.3. Client agrees that custom development requests outside of the scope of work may incur a fee of $250 hourly rate at a minimum of 2 hours of labor. Client agrees that custom requests may or may not be released on the original agreed upon release date.

4. Taxes. Deckard acknowledges that as an independent contractor, Deckard may be required by law to make payments against estimated income or other taxes due federal, state and other governments.

Deckard agrees to bear any and all expenses, including legal and prof essional fees, increased taxes, penalties and interest that Deckard or Client may incur as a result of any attempt to challenge or invalidate Deckard’s status as an independent contractor, and Deckard agrees to defend, and hold Client harmless from any liability thereon.

5. Term and Termination.

5.1. The term of this Agreement (“Term”) shall commence on the Effective Date and shall continue in force and effect for a period of one year; the Term shall be automatically renewed thereafter for additional periods of one year each unless terminated by either party by giving written notice of termination to the other party not less than 60 days before the end of the then -current period. Termination shall have no effect on Client’s obligation to pay the applicable labor rate with respect to Services rendered prior to the effective date of termination.

5.2. Termination. This Agreement shall be terminated as follows:

5.2.1. By either party by giving the other party 60 days prior written notice; provided that, such termination shall not be effective until each and every SOW then outstanding shall have been fully performed in accordance with the terms and conditions of the SOW.

5.2.2. Upon the entering into or filing by or against either party of a petition, arrangement, or proceeding seeking an order for relief under the bankruptcy laws of the United States, a receivership for any of the assets of the other party, an assignment for the benefit of its creditors, or the dissolution, liquidation, or insolvency of the other party.

5.2.3. Client may terminate this Agreement or any SOW if Deckard materially breaches this Agreement or the applicable SOW and fails to cure such breach to Client’s reasonable satisfaction within 30 days of Deckard receipt of written notice thereof.

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Deckard Technologies, Inc. MSA 12.02.2024

5.3. Continuation. This Agreement shall continue in full force and effect following the termination of any SOW, unless otherwise agreed by the parties.

5.4. Post Termination Obligations. Upon the expiration or termination of this Agreement or any SOW for any reason, Deckard shall: (i) carry out an orderly winding down of the affected work; (ii) deliver to Client the applicable work/deliverables not previously delivered in its then current form and any documents or other information in whatever manner related thereto, (iii) return any property of the Client then in Deckard’s possession; and (iv) submit a final invoice to Client for any Services performed prior to the date of such termination and as otherwise permitted by this Agreement. Client shall pay Deckard those amounts due for Services performed up to the date of termination.

6. Cooperation. Deckard expressly agrees that it shall reasonably cooperate with and assist Client in: (a) responding to any inquiry or claim by or from any Federal, State or local government agency regarding the performance of this Agreement; and/or (b) exercising any rights that Client may have to pursue any remedies available to it under any applicable Federal, State or local law or regulation.

7. Deckard Personnel. Deckard shall perform all Services in a professional and workmanlike manner by individuals qualified to perform the Services. Deckard may, at its discretion, subcontract with other companies or individuals to carry out some part of the Services, provided that Deckard shall remain responsible for the oversight of all work performed.

8. Relationship of the Parties. Deckard is, and at all times during the term of this Agreement shall be, an independent contractor of Client. Deckard shall not represent to any Client customer or other person or entity that it has any right, power or authority to create any contract or obligation, either express or implied, on behalf of, or binding upon Client or to any way modify the terms and conditions of any SOW. This Agreement shall not create or in any way be interpreted to create a partnership, joint venture, or formal business organization of any kind between the parties.

9. Representations and Warranties.

9.1. Deckard represents and warrants that:

9.1.1. Deckard shall perform all Services in a competent, professional, workman -like manner and in accordance with the governing SOW and any applicable industry and/or professional standards;

9.1.2. It has the legal right and authority to enter into this Agreement and perform the Services under any SOW under which it agrees to perform Services;

9.1.3. Upon execution by an authorized representative, this Agreement will be a binding agreement, enforceable against Deckard in accordance with its terms; and

9.1.4. Entering into this Agreement or performing work under a particular SOW shall not violate any agreement (written or implied) with any third party.

9.2. Client represents and warrants that:

9.2.1. It has the legal right and authority to enter into this Agreement and to deliver the Data to Deckard to perform the Services;

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Deckard Technologies, Inc. MSA 12.02.2024

9.2.2. Upon execution by an authorized representative, the Agreement will be a binding Agreement, enforceable against Client in accordance with its terms; and

9.2.3. Entering into this Agreement or performing work under a particular SOW shall not violate any agreement (written or implied) with any third party.

These warranties shall survive inspection, acceptance, and payment and are in addition to all other warranties expressed or implied by law.

10. Nondisclosure of Confidential Information. During the performance of this Agreement certain proprietary, technical and financial information may be disclosed by one party (“Disclosing Party”) to the other party (“Receiving Party”) and shall be deemed proprietary if marked with a conspicuous legend identifying it as proprietary or confidential information (“Confidential Information”). The Receiving Party shall not use less than the same efforts to prevent the disclosure of Confidential Information received hereunder as is used to protect its own Confidential Information, and in no event, however, less than a reasonable degree of care. Disclosure of Confidential Information received hereunder shall be restricted to those individuals who are directly participating in the performance of the Services under this Agreement. Confidential Information shall not include information that the Receiving Party can demonstrate by competent evidence is (a) rightfully known to the Receiving Party without obligations of non-disclosure, prior to receipt of such information from the Disclosing Party; ( b) independently developed by the Receiving Party without the benefit or use of the Confidential Information furnished by the Disclosing Party, or obtained in good faith from a third party having no obligation to keep such information confidential; or (c) publicly known through no breach of this Agreement. Receiving Party may disclose Confidential Information when required by operation of law or pursuant to the order of a governmental agency, but only upon prior written notice to the other party to allow the other party the opportunity to take appropriate legal measures to protect the Confidential Information. The parties acknowledge that any unauthorized use or disclosure of the Co nfidential Information may cause irreparable damage to the other Party, for which there is no adequate remedy at law, and shall entitle the other Party to obtain immediate injunctive relief without any requirement to post bond, in addition to all other available remedies.

11. Liability Limitations; Disclaimer. ALL DELIVERABLES PROVIDED TO CLIENT BY DECKARD UNDER THIS AGREEMENT ARE PROVIDED “AS IS” WITHOUT WARRANTY OF ANY KIND, WHETHER EXPRESS, IMPLIED, STATUTORY OR OTHERWISE. IN NO EVENT SHALL

EITHER PARTY OR ITS RESPECTIVE EMPLOYEES, REPRESENTATIVES OR SUBSIDIARIES BE

LIABLE FOR ANY CONSEQUENTIAL, INDIRECT, PUNITIVE, INCIDENTAL OR SPECIAL DAMAGES,

WHETHER FORESEEABLE OR UNFORESEEABLE, AND WHETHER OR NOT SUCH PARTY HAS BEEN ADVIS ED OF THE POSSIBILITY OF SUCH DAMAGES. THE TOTAL LIABILITY OF EACH

PARTY ARISING OUT OF OR RELATED TO THIS AGREEMENT SHALL NOT EXCEED THE AMOUNT PAID BY CLIENT TO DECKARD UNDER THIS AGREEMENT.

12. Indemnification. Deckard shall indemnify and hold Client harmless from and against any third party claims against and damages incurred by Client that are finally awarded by a court of competent jurisdiction (including reasonable attorneys’ fees) as a result of (a) injury or death to persons, or loss of or damage to property caused by the acts of Deckard or its agents; (b) a claim that the Services infringe the intellectual property rights of any third party; and (c) any violation by Deckard, its employees, agents, representatives or any person or entity acting on its behalf of any, Federal, State and/or local law, or regulation. Deckard shall be entitled to assume control of the settlement, compromise, negotiation and defense of any claim, and in such case, Deckard shall not enter into any settlement of any claim or action that adversely affects Client’s business or interests without its prior approval, which shall not be

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Deckard Technologies, Inc. MSA 12.02.2024

unreasonably withheld or delayed. Client shall indemnify and hold Deckard harmless from and against any third party claims against and damages incurred by Deckard that are finally awarded by a court of competent jurisdiction (including reasonable attorneys’ fees) as a result of (a) injury or death to persons, or loss of or damage to property caused by the acts of Client, its customers or its agents; (b) any violation by Client, its customers, employees, agents, representatives or any person or entity acting on its behalf of any, Federal, State and/or local law, or regulation. Client shall be entitled to assume control of the settlement, compromise, negotiation and defense of any claim, and in such case, Client shall not enter into any settlement of any claim or action that directly affects Deckard’s business or interests without its prior approval, which shall not be unreasonably withheld or delayed.

13. Proprietary Rights. The results of the Services delivered to Client in the form delivered to Client, including all reports, technical communications, drawings, records, charts, or other materials originated or prepared by Deckard for Client in performing the Services (all of the foregoing, collectively, the “Work Product”) shall be the property of Client, and Deckard hereby assigns all rights to such Work Product to Client. Without limiting the generality of the foregoing and subject to Deckard’s confidentiality obligations under this Agreement, Client acknowledges that the Work Product will include the aggregation and analysis of certain publicly available data and agrees that nothing contained in this Agreement shall be interpreted to prohibit Deckard fr om using its technology and other intellectual property to analyze the same or similar publicly available information for third parties. In addition, to the extent that Deckard incorporates any Deckard Property (as defined below), including any pre-existing or copyrighted work of Deckard into the Work Product, such Deckard Property shall remain the property of Deckard. Deckard grants to Client a perpetual, royalty -free, irrevocable, worldwide, non -exclusive license to use such Deckard Property in connecti on with exercising the rights of ownership granted to Client under this Agreement. In addition, nothing herein shall grant to Client any rights in the Platform or any other proprietary technologies and intellectual property used by Deckard in preparing an y Work Product (“Deckard Property”).

14. Governing Law. This Agreement and all disputes relating to this Agreement shall be governed by the laws of the State of California, except as to any provisions of this Agreement that are properly governed by the laws of the United States. All controversies or disputes arising out of this Agreement shall be heard in either the state or federal courts sitting in San Diego County, California. THE PARTIES HERETO KNOWINGLY AND IRREVOCABLY WAIVE THEIR RIGHT TO A TRIAL BY JURY.

15. Assignment. Deckard shall not assign, transfer or sell its rights or obligations under the Agreement without Client’s prior written consent, which shall not be unreasonably withheld; provided that such consent shall not be required if the assignment is in connection with the sale of all or substantially all of Deckard’s business to which this Agreement relates, whether by merger, sale of stock, sale of assets or otherwise.

16. Severability; Survival. If any part, term, or provision of the Agreement is held invalid or unenforceable for any reason, the remainder of the Agreement shall continue in full force and effect as if the Agreement has been executed with the invalid portion thereof eliminated. U pon termination or expiration of this Agreement, the terms and conditions set out in Sections 5.4, 8, and 10 through 22 will survive such termination.

17. Waiver of Breach. The waiver of a breach of the Agreement or the failure of a party to exercise any right under the Agreement shall in no event constitute a waiver of any other breach, whether similar or dissimilar in nature, or prevent the exercise of any right under the Agreement.

18. Force Majeure. Neither party shall be liable for any failure to perform, or delay in performing, any of its obligations hereunder due to causes beyond its reasonable control, and without the fault or

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Deckard Technologies, Inc. MSA 12.02.2024

negligence of that party. Such causes shall include, without limitation, Acts of God, acts of civil or military authority, fire, flood, epidemic, pandemic, quarantine, freight embargo, civil commotion or acts of war, declared or undeclared.

19. Compliance with Laws. Each party agrees to comply with all applicable local, state, and federal laws and executive orders and regulations issued pursuant thereto and agrees to defend, indemnify, and hold the other party harmless from any claim, suit, loss, cost, damage, expe nse (including reasonable attorney’s fees), or liability by reason of the other party’s violation of this provision.

20. Dispute Resolution. In the event of a claim or dispute between the parties arising under this Agreement, such claim or dispute shall be settled by mutual agreement between the senior management of the parties, If an agreement is not reached within a reasonable time, except as otherwise provided in this section, any dispute concerning the terms and conditions of this Agreement may be resolved by pursuing any right or remedy available at law or in equity in accordance with this Agreement. Deckard shall, at all times, proceed diligently with the performance of the Services hereunder. Notwithstanding the above, Client’s contract with a governmental entity may include a disputes clause under FAR 52.233- 01 (the “Disputes Clause”), pursuant to which a prime contra ctor may pursue certain procedures in the event of a dispute between the customer and Client with respect to questions of law or fact relating to the government contract. In such case, all Deckard claims, controversies or disputes concerning matters that are subject to the Disputes Clause of the government contract shall be governed solely by such disputes clause Deckard shall be responsible for providing any and all certifications required by law or Client to enable Client or its customer to verify, support, or confirm such certifications. Both parties agree that the occurrence of a dispute under the Disputes Clause shall not interfere with either party’s performance or other obligations under this Agreement.

21. Entire Agreement. This Agreement and each SOW issued hereunder represent the entire understanding and agreement between the parties hereto and supersede all other prior written or oral agreements made by or on behalf of Client or Deckard. In the event of a conflict between the terms and conditions of this Agreement and any SOW, the Agreement shall control, unless the SOW expressly provides that it is intended to modify the Agreement. Deckard’s proposals shall not be part of this Agreement unless specifically referenced in the SOW and agreed to in writing by Client. This Agreement may be modified only by written agreement signed by the authorized representatives of the parties.

22. Communications and Notices. Other than communications required to be made by Deckard’s project manager to Client’s project manager, all notices, orders, directives, requests or other communications of the parties in connection with this Agreement shall be in writing and shall be provided as follows:

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Deckard Technologies, Inc. MSA 12.02.2024

In the case of Client: In the case of Deckard
________________________ Nickolas R. Del Pego, CEO
________________________ 1620 Fifth Ave Suite 400
________________________ San Diego, CA 92101
________________________ [email protected]

23. Media and/or Logo Use. Client agrees that Deckard shall have the right to use Client’s name and logo on website, marketing materials and advertisements. In addition, Client and Deckard will work together to identify appropriate testimonials to promote Rentalscape and to generate announcements, press engagements and public speaking events with respect to the benefits of the Services. Client shall have the right to revoke Deckard’s right to use its name and logo by providing Deckard with 30 days’ advance written notice. Upon the expiration or termin ation of this Agreement the rights set forth in this Section 23 shall terminate.

[Signature Page Follows]

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Deckard Technologies, Inc. MSA 12.02.2024

IN WITNESS WHEREOF, Deckard and Client have each caused this Agreement to be executed by their duly authorized representatives, effective as of the dates indicated below .

DECKARD TECHNOLOGIES, INC.

By:

Print Name:

Date:

Title:

CLIENT
By:

Print Name:

Date:

Title:

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Deckard Technologies, Inc. MSA 12.02.2024

EXHIBIT A

STATEMENT OF WORK

This Statement of Work (“SOW”) will be effective as of the last date of signature below, and upon execution will be incorporated into the Master Services Agreement between Deckard Technologies, Inc. and the City of San Bernardino dated _______________ (the “Master Agreement”). Capitalized terms used in this SOW will have the same meaning as set forth in the Agreement.

1. Short Term Rental Service. Client desires to engage Deckard to use the Rentalscape Platform to prepare real estate property data for short-term rentals (“STRs”) on all identifiable properties within the City of San Bernardino in the State of California based upon publicly available data and such other data relevant to the Designated Geography to be provided to the client by Deckard (reports accessible from Rentalscape). The Reports shall include at a minimum:

1.1. Information on STRs currently active in the Designated Geography;

1.2. The aggregate revenue from actively listed bookings;

1.3. The average number of nights booked per reservation;

1.4. The major platforms used by STR hosts;

1.5. Average daily rates;

1.6. Booking trends during the Reporting Period;

1.7. Identify, by address, the following violations of STR ordinances within the Designated Geography;

1.7.1. Listings or advertisements that do not include an STR permit number;

1.7.2. Listings or advertisements that represent or offer occupancy in excess of the occupancy maximums in the Designated Geography; and

1.7.3. Properties advertised as STRs that are only permitted as long-term rentals;

1.8. Identify the actively listed STRs by month and address;

1.9. The total number of properties actively listed in the Designated Geography each month during the Reporting Period;

1.10. List the property owners; and

1.11. List the permit history of each property offering STRs in the Designated Geography.

2. Designated Geography. The City of San Bernardino

3. Reporting Period. Reports available in the Rentalscape Platform throughout the year.

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Deckard Technologies, Inc. MSA 12.02.2024

4. Fees; Payments.

4.1.         Annual Software Subscription: $ 7,500 (Identification, Compliance Monitoring and Rental Activity based on properties that are listed in Rentalscape as identified STRs). We approximate 150 properties by the end of year one as being Monitored in Rentalscape.

4.2.         Outreach Campaign: Included to drive compliance. Three letter campaign to inform and encourage property owners to become compliant with the Registration Process.

4.3. Optional Expert Services upon Request by the City/County are available at $250 per hour.

4.4.         24/7 Live Hotline. $3,500 annually. Live answered Hotline that can dispatch to responsible parties depending on identified call flow.

4.5.         Maximum Price:  In no event will the total subscription fees in the first year exceed $11,000. Future years’ renewals will be subject to an annual increase not to exceed 5% per annum.

4.6.      Timing:  Client will pay the annual subscription fees within 30 days of receipt of invoices from Deckard.

Packet Page. 120

Deckard Technologies, Inc. MSA 12.02.2024

All terms and conditions of the Agreement will apply to this SOW. This SOW will be effective as of the date of the last signature below.

SOW AGREED TO AND ACCEPTED BY:

DECKARD TECHNOLOGIES, INC.

By:

Print Name:

Date:

Title:

CLIENT
By:

Print Name:

Date:

Title:

Packet Page. 121

Short-Term / Vacation
Rentals

By: Gabriel Elliott - Director of Community Development & Housing

Packet Page. 122

BACKGROUND
• On December 12, 2023, the
Planning Commission, by a
unanimous vote, adopted
Resolution No. 2023-043PC
forwarding a recommendation that
the Mayor and City Council approve
Development Code Amendment 23-
01, amending Section 19.02.050
(Basic Provisions – Definitions) and
Chapter 19.04 (Residential Zones) of
the City of San Bernardino
Development Code (SBMC Title 19)
to establish a Short Term Rental
Program in the City of San
Bernardino.

Packet Page. 123

BACKGROUND
• On February 21, 2024, staff presented a
recommendation to the Mayor and City Council for
the adoption of a regulatory scheme for Short-Term
Rentals.
• At the meeting, the City Council directed staff to
conduct additional analysis on enforcement
measures and the effects of a Short-Term Rental
Program on the City’s housing market.
• On June 5, 2024, when the item was brought back
to the City Council as directed, the Council, by a
narrow majority, banned short-term rentals in the
city, and requested staff bring back an enforcement
plan.

Packet Page. 124

BACKGROUND
• The City of San Bernardino does not currently have an ordinance that expressly regulates STRs and has
experienced the negative effects of excessive noise,
parking problems and discarded trash on surrounding
properties, resulting in numerous complaints, creating
a threat to the public interest, health, safety,
convenience, and welfare of the community.
• San Bernardino has received numerous complaints
about residents leasing their residential properties to travelers and for weekend retreats as short-term
vacation rentals. Common complaints assert that the
rentals cause conditions that degrade the quality of
residential neighborhoods.

Packet Page. 125

BACKGROUND
• The City’s  Municipal Code (SBMC) does
not specifically address short-term/vacation
rentals. However, a commercial use is
generally prohibited in residential zones,
unless specifically permitted. Because the
SBMC does not expressly prohibit short-
term vacation rentals, the issue of the
SBMC’s  intent is disputed by residential
property owners who wish to lease to
tourists and/or retreatants for short stays.

Packet Page. 126

SHORT TERM RENTAL BAN
With a ban in place, it is generally believed that the City would no longer need to rely on various interrelated code provisions that together proscribe vacation rentals. The City will adopt and implement specific revisions to the SBMC that would ban short-term or vacation rentals
outright in residential zones.

It is also believed that a clear prohibition would be more effective in deterring violations because it would create less confusion among homeowners.   However, a ban
would not alter the SBMC’s current implicit
characterization of short-term rentals as inconsistent with the City’s residential land use regulations.

Packet Page. 127

DISADVANTAGES

OF A BAN
A short-term rental ban has some
disadvantages. First, it would restrict
homeowners’ use of their own properties.

Banning short-term rentals could eliminate
uses that do not otherwise serve as a nuisance
to neighboring properties and would restrict
the rights of homeowners who have rented
responsibly.

Second, it is unclear whether an outright ban
would be effective because of the challenges
with consistent enforcement.

Packet Page. 128

ASSOCIATED COSTS
The city has engaged the services
of Deckard Technologies, a
company that utilizes data science
expertise to assist local
governments with managing
compliance activity and
enforcement, such as short-term
rental (STR) properties.

Deckard Technologies would
use Rentalscape platform to
accurately track activity
within the City of San
Bernardino, to identify the
exact addresses of the STR
listings within the City limits.

There are cost implications
depending on the level of service
required by the city. The contract
for Rentalscape only, for the
identification, monitoring, and
compliance letters is $7,500,
annually. Contract for Rentalscape,
Online Registration and TOT for
the above along with registration
and TOT collection is $16,500
annually.

Packet Page. 129

REGULAORY PROCESS
• If the City Council decides to regulate
short term rentals, a Development
Code Amendment, amending Section

19.02.050 (Basic Provisions –
Definitions) and Chapter 19.04
(Residential Zones) of the City of San
Bernardino Development Code (SBMC
Title 19) establishing a Short-Term
Rental Program in the City of San
Bernardino, will be adopted.

Packet Page. 130

TAKE NO ACTION
The option to take no action would mean that
neither a ban nor regulation would be in place.

However, staff believes that payment of TOT
should still be an option. There would be costs
associated with identifying who is currently
running a short-term rental operation in the
residential zone. There would be no revenue
stream from registration of short-term rental
locations.

Packet Page. 131

TRANSIT OCCUPANCY TAXES
Per Section 3.55.020(A), each transient is
subject to and shall pay a transient lodging
tax in the amount of 10% of the room rental
charged by the operator.

Based on the definitions in Section

3.55.020(a), staff believes that the existing
TOT language applies to short term rentals.

Packet Page. 132

DEVELOPMENT CODE AMENDMENT
Whether the City bans or regulates Short Term or Vacation rentals, a Development Code Amendment will need to be
processed: The proposed Development Code will amend
Chapter 19.02 (Basic Provisions), Section 19.02.050
(Definitions) of the Development Code to add definitions for those terms uses specifically within the Short-Term Rental Program (Exhibit A).

The Development Code Amendment will also amend
Chapter 19.04 (Residential Zones), Table 04.01
(Permitted and Conditionally Permitted Uses) to add
short-term rentals as an unpermitted use within all single- family and multi-family zones (Exhibit B).

Packet Page. 133

IMPLEMENTATION
The regulations governing short-term rentals
will become effective 30 days following
adoption of the Ordinance by the Mayor and
City Council. All properties currently
operating as a short-term or vacation rental
location will be required to register and
become eligible for the payment of TOT. If the
Mayor and City Council decide to ban short
term and vacation rentals, any presently
operating properties will need to cease their
operations and any illegally operating
properties will be subject to paying TOT to the
City.

Packet Page. 134

IMPLEMENTATION
If the Mayor and City Council adopts an
Ordinance to ban Short Term or vacation
rentals, the City will send all properties
potentially operating as a short-term or
vacation rental a letter notifying them of the
ban and will provide operators with 60 days to
comply or face enforcement measures. The
same notification action will be taken if the
Mayor and City Council adopts an Ordinance
to regulate the use.
•
Property owners of Short-Term Rentals will be
responsible for reporting and paying into the
City’s Transient Lodging Tax/Transit Oriented
Tax (TOT).
•

Packet Page. 135

GENERAL PLAN GOALS & POLICIES
• The City of San Bernardino General Plan
includes goals and policies to guide future
housing development, as follows:
• Land Use Goal 2.1: Preserve and enhance San
Bernardino’s unique Neighborhoods.
• Land Use Goal 2.2: Promote development that
integrates with and minimizes impacts on
surrounding land uses.

Packet Page. 136

KEY STRATEGIC TARGETS & GOALS
• Development Code Amendment 25-
09 aligns with Key Target Goal No.
3: Improved Quality of Life and,
more specifically, 3a: Improve the
City’s  appearance, cleanliness, and
attractiveness. Specifically, the ban
will update the Development Code to
prohibit short term rentals in all
residential zones. The amendment to
the Development Code will ensure
consistency with the City’s land use
designations as required by the
City’s General Plan

Packet Page. 137

CEQA
• The Planning Division conducted an
environmental evaluation in connection with
proposed Development Code Amendment 25-
09 and concluded that it is exempt from
CEQA under Section 15061(b)(3) (Common
Sense Exemption) of the CEQA Guidelines
due to the fact that the proposed Development
Code Amendment will not create significant
effects on the environment as it prohibits short
term rentals in all residential zones.

Packet Page. 138

FISCAL IMPACTS
• Transit Occupancy Tax
associated with this program
has the potential to contribute
approximately $324,000,
annually. At same time, there is
a potential cost of up to
$16,500 for a program to
monitor the locations of short
term rentals in the city.

Packet Page. 139

RECOMMENDATIONS
It is recommended
that the Mayor and
City Council of the
City of San
Bernardino:

Hold a Public Hearing;
and
Introduce and read by title only, and waive further reading of Ordinance No. MC-1660 of the Mayor and City Council of
the City of San Bernardino, California, adopting a regulatory program which would amend Section 19.02.050 (Basic
Provisions –  Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code
(SBMC Title 19) for short-term and vacation rentals in the City of San Bernardino; or

Packet Page. 140

RECOMMENDATIONS
It is recommended that the Mayor and City
Council of the City of San Bernardino:

Hold a Public
Hearing; and
introduce and read by title only, and waive
further reading of Ordinance No. MC-1661 of
the Mayor and City Council of the City of San
Bernardino, California Amending Section

19.02.050 (Basic Provisions –  Definitions) and
Chapter 19.04 (Residential Zones) of the City of
San Bernardino Development Code (SBMC
Title 19) banning short term and vacation
rentals in the City of San Bernardino; or

Packet Page. 141

RECOMMENDATIONS
It is recommended
that the Mayor and
City Council of the City
of San Bernardino:

Hold a Public Hearing;
and
Take no action on the
matter.

Packet Page. 142

QUESTIONS

Packet Page. 143

This space for filing stamp only

OR#:

O R A N G E C O U N T Y R E P O R T E R

~ SINCE 1921 ~

600 W. Santa Ana Blvd., Suite 205, Santa Ana, California 92701-4542 Telephone (714) 543-2027 / Fax (714) 542-6841

PROOF OF PUBLICATION

(2015.5 C.C.P.)

State of California )
County
of Orange
) ss
Notice Type:

Ad Description:

I am a citizen of the United States and a resident of the State of California; I am over the age of eighteen years, and not a party to or interested in the above entitled matter. I am the principal clerk of the printer and publisher of the ORANGE COUNTY REPORTER, a newspaper published in the English language in the City of Santa Ana, and adjudged a newspaper of general circulation as defined by the laws of the State of California by the Superior Court of the County of Orange, State of California, under date of June 2, 1922, Case No. 13,421. That the notice, of which the annexed is a printed copy, has been published in each regular and
entire issue of said newspaper and not in
any supplement thereof on the following dates, to-wit:

Executed on: 10/10/2004
At Riverside, California
I certify (or declare) under penalty of perjury that the foregoing is true and correct.

Signature

SAN BERNARDINO COUNTY SUN
473 E CARNEGIE DR #200, SAN BERNARDINO, CA 92408
(909) 889-9666 (909) 884-2536
SB 4004424
Vanessa Alvarado

CITY OF SAN BERNARDINO/CITY CLERK - LEAD
201 N. E ST. BUILDING A
SAN BERNARDINO, CA - 92401

HRG - NOTICE OF HEARING
Display Ad 2-4-26 DEVELOPMENT CODE AMENDMENT 25-09
I am a citizen of the United States and a resident of the State of California; I am over the age of eighteen years, and not a party to or interested in the above entitled matter. I am the principal clerk of the printer and publisher of the SAN BERNARDINO COUNTY SUN, a newspaper published in the English language in the city of SAN BERNARDINO, county of SAN BERNARDINO, and adjudged a newspaper of general circulation as defined by the laws of the State of California by the Superior Court of the County of SAN BERNARDINO, State of California, under date 06/27/1952, Case No. 73081. That the notice, of which the annexed is a printed copy, has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to-wit:
01/25/2026
01/26/2026

SAN BERNARDINO
!A000007307156!
Email

N OTICE OF PUBLIC H EAR IN G

CITY COUNCIL OF THE CITY OF

SA N BERNARDIN O
NO TICE IS HER EBY G IVEN tha t
the City of San Bernardino May or
and City Counci l will hold a public
meeti ng on Wednesday, February 4,
20 26 at 5:00 PM in the City Counc il
Cham bers in the N orm a n F.

Feldh eym Centr al Librar y at 555
West 6 th Street, San Bernar dino,
California. Visit the City'sagen da
portal at www.sbcit y.org to acce ss
more meeti ng informat ion.

The pur pose of the hearing is to
consider the following:

DE VELO PMENT C ODE
AMENDMENT -- - 2 5 -09: A requ est
to amend Chapter 19.02 (Basic
Provisions), Section 19.02.050
(Defin itions) is updat ed to ad d
definitions for those term s used
spe cifically within the Short -Te rm
Rent al Pro gram and Chapter 19.04
(Residential Zones), Table 04.01
(Permitte d and C onditionally
Permi tted Us es)is updat ed to ad d
sho rt -term rentals as an
unpe rmit ted use w ithin all single -
fami ly and multi -fam ilyzones.

En vironmental Deter min ation:

Comp liance with the California
En vironmental Quali ty Act. Th e
Mayor and City Counci l, havi ng
independently review ed an d
anal yzed the record before it,
including written and oral
testimony, and having exer cised
their independent judgem ent, finds
that there is no substantial eviden ce
suppo rting a fair argument tha t
appro val of Development code
Am en dment 25 -09 and this
Resolution No. 2025 -059 will result in
a significant effect on the
env ironment, and thus the pro ject is
exem pt pur sua nt to Sect ion 15061 (b)
of the California Envir onmental
Qual ity Act guidelines due to the fact
that the activity doe s no t resu ltin a
direct or reasonably foreseea ble
indirect physical change to the
env ironment.

Appl icant: City of San Bernardino
Not ice is further given tha t
mem bers of the publ ic w ho wish to
comm ent on the public hearing you
may par ticipate in the follow ing
wa ys: 1) comm ents and contac t
informat ion can be emailed to
publ iccomments@SBCity. Org by
2: 30 P.M. the day of the schedu led
meeti ng; 2)attending the meeting in
person and providing your public
comm ent in per son, n ot to exce ed
three minutes.

If you cha llenge the mat ter in cou rt,
you m ay be limited to raising on ly
those issues you or som eone else
raised at the public meeting
described in this notice or written
correspondence delivered to the City

Packet Page. 144

Clerk at or prior to the public
meeti ng.

The City endea vor s to be in total
compl iance wi th the American s with
Di sabilities Act . If you require
assistance or auxi liary aids to
participate in the meeting, please
conta ct the City Clerk'sOf fice as far
in advance of the meeting as
possib le.

Addi tional inform ation con cerning
the above matter m ay be obtained
from, and wr itten comment s shou ld
be addr essed to, San Berna rdino
City Clerk, 2 90 Nort h "D" Street, Sa n
Bernardino, California 92401 .

Telicia Lopez ,CM C
City Clerk
DA TE D: Janua ry 2 5,2026
1/25/26
SBS -40 04424#

Packet Page. 145

City of San Bernardino
City Clerk’s Office
201 North E Street, San Bernardino, CA 92401
(909) 384-5002
www.sbcity.org

NOTICE

PUBLIC HEARING CONTINUED TO THE REGULAR MEETING OF THE
MAYOR AND CITY COUNCIL ON FEBRUARY 18, 2026

Item No. 2 – February 4, 2026 Mayor and City Council Agenda INTRODUCTION FOR FIRST READING ORDINANCE NO. MC -1660

ADOPTING A REGULATORY PROGRAM FOR SHORT TERM

RENTALS, OR INTRODUCING FOR FIRST READING ORDINANCE
NO. MC-1661 BANNING SHORT TERM RENTALS IN THE CITY OF SAN

BERNARDINO (ALL WARDS)

Dated: February 5, 2026

Telicia Lopez, CMC
City Clerk

Packet Page. 146

CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: February 18, 2026
To: Honorable Mayor and City Council Members
From: Telicia Lopez, City Clerk
Department: City Clerk
Subject: Approval of Various Mayor and City Council Meeting Minutes
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the meeting minutes for the following dates:

1. October 19, 2022 Special Meeting Draft Minutes

2. January 15, 2026 Special Meeting Draft Minutes

3. January 21, 2026 Regular Meeting Draft Minutes
Click or tap here to enter text.

Click or tap here to enter text.

Click or tap here to enter text.

Click or tap here to enter text.

Click or tap here to enter text.

Click or tap here to enter text.

Click or tap here to enter text.

Packet Page. 147

City of San Bernardino
201 North E Street
San Bernardino, CA 92401
http://www.sbcity.org

Minutes

FOR THE

SPECIAL MEETING OF THE MAYOR AND CITY COUNCIL

OF THE CITY OF SAN BERNARDINO, MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS

THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY, MAYOR AND CITY COUNCIL OF THE CITY OF SAN

BERNARDINO ACTING AS THE SUCCESSOR HOUSING AGENCY TO THE REDEVELOPMENT AGENCY, MAYOR AND

CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE HOUSING AUTHORITY, AND MAYOR AND CITY

COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE SAN BERNARDINO JOINT POWERS FINANCING

AUTHORITY

WEDNESDAY, OCTOBER 19, 2022
4:30 PM

The Special Meeting – Closed Session of the Mayor and City Council of the City of San Bernardino was called to order at 4:30 PM by Mayor John Valdivia on Wednesday, October 19 , 2022, at Feldheym Central Library located at 555 West 6th Street, San Bernardino, California 92401.

CALL TO ORDER

Attendee Name Title Status Arrived
Theodore Sanchez Council Member, Ward 1 Absent
Sandra Ibarra Council Member, Ward 2 Absent
Juan Figueroa Mayor Pro-Tem, Ward 3 Present
Fred Shorett Council Member, Ward 4 Present
Ben Reynoso Council Member, Ward 5 Absent
Kimberly Calvin Council Member, Ward 6 Present
Damon L Alexander Council Member, Ward 7 Present
John Valdivia Mayor Present
Robert D. Field City Manager Present
Sonia Carvalho City Attorney Present
Genoveva Rocha City Clerk Present

Mayor John Valdivia
Council Members
Theodore Sanchez
Sandra Ibarra
Juan Figueroa
Fred Shorett
Ben Reynoso
Kimberly Calvin
Damon L. Alexander

Packet Page. 148

Special Meeting Draft Minutes October 19, 2022
Mayor and City Council of the City of San Bernardino Page 2 4:30 PM

CLOSED SESSION PUBLIC COMMENT
There were no public comments received for Closed Session.

CLOSED SESSION
A) CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Pursuant to Government Code Section 54956.9(a) and (d)(1):
a) Jackie Aboud v. John Valdivia, et al., San Bernardino Superior Court Case No. CIVDS203562
b) Karen Cervantes v. John Valdivia, et al., San Bernardino Superior Court Case No. CIVDS2012538
c) Mirna Cisneros v. John Valdivia, et al., San Bernardino Superior Court Case No. CIVDS2012926
d) Donald Smith v. John Valdivia, et al., San Bernardino Superior Court Case No. CIVSB2025375
e) Matthew Brown v. City of San Bernardino, et al., San Bernardino Superior Court Case No. CIVSB2025900

B) CONFERENCE WITH LABOR NEGOTIATOR (Pursuant to Government Code Section 54957.6):

Agency Designated Representative: City Manager or designee Employee Organization: San Bernardino Police Management Association

C) CONFERENCE WITH REAL PROPERTY NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54956.8 (CED):

Property: Carousel Mall Property, 43 acres City Negotiator: Robert D. Field or designee
Negotiating Party: SBDC (Renaissance Downtown USA/ICO Estate Group); Lincoln Group
Under Negotiation: Price and Terms

CLOSED SESSION REPORT
City Attorney Sonia Carvalho stated there was no reportable action. The statement was made during the Regular Meeting of Wednesday, October 19, 2022.

ADJOURNMENT
The meeting of the Mayor and City Council was adjourned on Wednesday, October 19, 2022, at 7:14 p.m.

The next joint regular meeting of the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency will be held on Wednesday, October 19, 2022 in the Council Chamber located at 201 North “E” Street, San Bernardino, California 92401. Open Session will begin at 7:00 p.m.

By:_________________________
Telicia Lopez, CMC

Packet Page. 149

City of San Bernardino
201 North E Street
San Bernardino, CA 92401
http://www.sbcity.org

Draft Minutes

FOR THE

SPECIAL MEETING OF THE MAYOR AND CITY COUNCIL

OF THE CITY OF SAN BERNARDINO, MAYOR AND CITY COUNCIL OF THE CITY OF SAN

BERNARDINO ACTING AS THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY, MAYOR

AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE SUCCESSOR HOUSING

AGENCY TO THE REDEVELOPMENT AGENCY, MAYOR AND CITY COUNCIL OF THE CITY OF SAN

BERNARDINO ACTING AS THE HOUSING AUTHORITY, AND MAYOR AND CITY COUNCIL OF THE

CITY OF SAN BERNARDINO ACTING AS THE SAN BERNARDINO JOINT POWERS FINANCING

AUTHORITY

THURSDAY, JANUARY 15, 2026
3:30 PM

The Special Meeting of the Mayor and City Council of the City of San Bernardino was called to order at 3:30 P M by Mayor Helen Tran on Thursday , January 15, 202 6, at Norman F. Feldheym Central Library, San Bernardino, CA.

CALL TO ORDER

Attendee Name Title Status Arrived
Theodore Sanchez Council Member, Ward 1 Present
Sandra Ibarra Council Member, Ward 2 Late 3:36 PM
Juan Figueroa Mayor Pro-Tem, Ward 3 Present
Fred Shorett Council Member, Ward 4 Present
Kim Knaus Council Member, Ward 5 Present
Mario Flores Council Member, Ward 6 Present
Dr. Treasure Ortiz Council Member, Ward 7 Present
Helen Tran Mayor Present
Eric Levitt City Manager Present
Albert Maldonado Deputy City Attorney Present
Telicia Lopez City Clerk Present
Perla Lopez Chief Deputy City Clerk Present

Mayor Helen Tran
Council Members
Theodore Sanchez
Sandra Ibarra
Juan Figueroa
Fred Shorett
Kim Knaus
Mario Flores
Dr. Treasure Ortiz

Packet Page. 150

Special Meeting Draft Minutes January 15, 2026
Mayor and City Council of the City of San Bernardino Page 2 3:30 PM

INVOCATION AND PLEDGE OF ALLEGIANCE
Chaplain Joseph Paul Lujan from Victory Outreach Church led the Invocation, and Council Member Flores led the Pledge of Allegiance to the Flag.

PUBLIC COMMENTS FOR ITEMS LISTED ON THE AGENDA
Jim Mulvihill commented on the presentation's completeness and transparency, noting the clear data and cost impacts when capacity targets are not met.

Zazette Scott, from the Family Assistance Program , expressed support for the city’s navigation center and shelter efforts and offered her organization’s partnership to expand homeless services.

Faith Gamble, a resident and SEIU 2015 member, spoke about homeless individuals congregating around the union hall at 195 Arrow, creating safety and sanitation concerns.

Christian Shaughnessy urged the City Council to limit the collection of immigration status information at the navigation center to only what is necessary.

Maelena Enriquez supported the navigation center and offered youth advisory board volunteers to help address homelessness.

DISCUSSION

1. Special Meeting - Homeless Workshop
Recommendation:

It is recommended that the Mayor and City Council of San Bernardino, California, receive the report on the Navigation Center and City Funded Homeless Initiatives and provide the City Manager direction on next steps.

Deputy Director of Housing and Homelessness Cassandra Searcy, Housing Division Manager Trina Perez, Homeless Services Coordinator Dam ian Fonseca, Homeless Outreach Coordinator Audie Estrada, Homeless Solutions Manager Gabriela Leon, PEACE Team Lieutenant Ernest Luna, and a representative from CREED, Gina Mizorak, provided a presentation to the Mayor and City Council.

The Mayor and City Council , and staff, reviewed homelessness outreach efforts and confirmed that reported outreach numbers reflected unique individuals and were not duplicative. The Salvation Army was identified as the primary provider for prevention and diversion services due to its capacity and experience, while acknowledging the need for future expansion to additional organizations. Funding allocations, sustainability concerns, and efforts to secure additional state, county, and federal resources were discussed. They also reviewed plans for the Homeless Navigation Center, including regional partnerships, operational costs, mental health services, and nonprofit accountability.

Packet Page. 151

Special Meeting Draft Minutes January 15, 2026
Mayor and City Council of the City of San Bernardino Page 3 There was a motion by Mayor Pro-Tem Knaus to direct staff to explore and report back on regional partnership options for the Homeless Navigation Center, including cost -sharing with other cities and the County, and to evaluate alternative ownership or operational models, with a full analysis of costs, offsets, and benefits to the City. The motion was seconded by Council Member Ortiz

Council Member Sanchez amended the motion to direct staff to conduct an internal study or select a consultant to evaluate future development options for the Palm Field property acquired with ARPA funds, including affordable housing or permanent supportive housing; engage the County to pursue confirmation of its proposed $11 million contribution toward the Navigation Center and identify options to address the remaining estimated funding gap; and explore regional partnership options for the Navigation Center, including potential sale or transfer to the County for operation, and return to the Mayor and City Council with findings and recommendations.

RESULT: DIRECT STAFF TO CONDUCT AN INTERNAL STUDY OR SELECT

A CONSULTANT TO EVALUATE FUTURE DEVELOPMENT

OPTIONS FOR THE PALM FIELD PROPERTY ACQUIRED WITH

ARPA FUNDS, INCLUDING AFFORDABLE HOUSING OR
PERMANENT SUPPORTIVE HOUSING; ENGAGE THE COUNTY
TO PURSUE CONFIRMATION OF ITS PROPOSED $11 MILLION

CONTRIBUTION TOWARD THE NAVIGATION CENTER AND

IDENTIFY OPTIONS TO ADDRESS THE REMAINING ESTIMATED
FUNDING GAP; AND EXPLORE REGIONAL PARTNERSHIP

OPTIONS FOR THE NAVIGATION CENTER, INCLUDING

POTENTIAL SALE OR TRANSFER TO THE COUNTY FOR

OPERATION, AND RETURN TO COUNCIL WITH FINDINGS AND
RECOMMENDATIONS [7-0]
MOVER: Kim Knaus, Mayor Pro-Tem, Ward 5
SECONDER: Treasure Ortiz, Council Member, Ward 7
AYES: Sanchez, Ibarra, Figueroa, Shorett, Knaus, Flores, Ortiz NOES: None

ADJOURNMENT
The meeting of the Mayor and City Council was adjourned on Thursday, January 15, 2026 at 6:45 p.m.

The next joint special meeting of the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency will be held on January 21, 2026, at the Feldheym Central Library located at 555 West 6th Street, San Bernardino, California 92410. Closed Session will begin at 4:00 p.m. and Open Session will begin at 5:00 p.m.

Telicia Lopez, CMC
City Clerk

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City of San Bernardino
201 North E Street
San Bernardino, CA 92401
http://www.sbcity.org

Draft Minutes

FOR THE

REGULAR MEETING OF THE MAYOR AND CITY COUNCIL

OF THE CITY OF SAN BERNARDINO, MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE

SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY, MAYOR AND CITY COUNCIL OF THE CITY OF SAN

BERNARDINO ACTING AS THE SUCCESSOR HOUSING AGENCY TO THE REDEVELOPMENT AGENCY, MAYOR AND

CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE HOUSING AUTHORITY, AND MAYOR AND CITY

COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE SAN BERNARDINO JOINT POWERS FINANCING

AUTHORITY

WEDNESDAY, JANUARY 21, 2026
3:00 PM

The Regular Meeting of the Mayor and City Council of the City of San Bernardino was called to order at 3:07 PM by Mayor Pro-Tem Kim Knaus on Wednesday, January 21, 2026, at Feldheym Central Library, San Bernardino, CA.

CALL TO ORDER
Attendee Name Title Status Arrived
Theodore Sanchez Council Member, Ward 1 Present
Sandra Ibarra Council Member, Ward 2 Present
Juan Figueroa Council Member, Ward 3 Late 4:45 PM
Fred Shorett Council Member, Ward 4 Present
Kim Knaus Mayor Pro-Tem, Ward 5 Present
Mario Flores Council Member, Ward 6 Present
Dr. Treasure Ortiz Council Member, Ward 7 Present
Helen Tran Mayor Absent
Eric Levitt City Manager Present
Albert Maldonado Deputy City Attorney Present
Telicia Lopez City Clerk Present
Perla Lopez Chief Deputy City Clerk Present

Mayor Helen Tran
Council Members
Theodore Sanchez
Sandra Ibarra
Juan Figueroa
Fred Shorett
Kim Knaus
Mario Flores
Dr. Treasure Ortiz

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 2 3:00 P.M.

CLOSED SESSION PUBLIC COMMENT
There were no public comments or requests to speak for Closed Session.

Prior to convening in Closed Session, Deputy City Attorney Albert Maldonado stated that Item D would be removed and not discussed because the listed address was incorrect.

Council Member Ortiz announced that she would be recusing herself from Item A (iv) of Closed Session, due to being the subject of the claim.

CLOSED SESSION
A) CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Pursuant to Government Code Section 54956.9(a) and (d)(1):
i. Brian Pellis, et al. v. City of San Bernardino, San Bernardino Superior Court Case No. CIVSB2226731
ii. Billy Hill v. City of San Bernardino, United States District Court Case No. 5:25-cv-00817
iii. Daniel Diaz Gomez v. City of San Bernardino, et al., United States District Court Case No. 5:25-cv-01012
iv. Treasure Ortiz v. City of San Bernardino, et al, United States District Court Case No. 2:25-cv-10650
v. Christopher Shipley v. City of San Bernardino, Workers’ Compensation Case Nos. ADJ18713159, ADJ18713105, ADJ17563827, and
ADJ17582508
vi. David Bailey v. City of San Bernardino, Workers’ Compensation Case Nos. ADJ7361034 and ADJ7364032
vii. Gerardo Orozco v. City of San Bernardino, Workers’ Compensation Case Nos. ADJ16747286 and ADJ6588293

B) CONFERENCE WITH LABOR NEGOTIATOR (Pursuant to Government Code Section 54957.6):

Agency Designated Representative: City Manager or Designee Unrepresented Group – Executive Group

C) CONFERENCE WITH LEGAL COUNSEL – Significant Exposure to Litigation (Pursuant to Government Code Section 54956.9(d)(2)): 1 Case.

D) CONFERENCE WITH REAL PROPERTY NEGOTIATORS (Pursuant to Government Code Section 54956.8) – Discuss Sale of Property Property: 320 North E Street, San Bernardino, CA 92401 City Negotiator: City Manager or Designee Negotiating Parties: Enterprise Technology Alliance, Inc.

Under Negotiations: Price and Terms

5:00 PM
The Regular Meeting of the Mayor and City Council of the City of San Bernardino was called to order at 5: 10 PM by Mayor Pro-Tem Kim Knaus on Wednesday, January 21, 2026, at Feldheym Central Library, San Bernardino, CA.

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 3

Attendee Name Title Status Arrived
Theodore Sanchez Council Member, Ward 1 Present
Sandra Ibarra Council Member, Ward 2 Present
Juan Figueroa Council Member, Ward 3 Present
Fred Shorett Council Member, Ward 4 Present
Kim Knaus Mayor Pro-Tem, Ward 5 Present
Mario Flores Council Member, Ward 6 Present
Dr. Treasure Ortiz Council Member, Ward 7 Present
Helen Tran Mayor Absent
Eric Levitt City Manager Present
Albert Maldonado Deputy City Attorney Present
Telicia Lopez City Clerk Present
Perla Lopez Chief Deputy City Clerk Present

INVOCATION AND PLEDGE OF ALLEGIANCE
Rikke Van Johnson led the invocation, and Adiel Griejelva from M uscoy Elementary School led the Pledge of Allegiance to the Flag.

CLOSED SESSION REPORT
Deputy City Attorney Albert Maldonado stated that Item A (iii), Daniel Diaz Gomez v. City of San Bernardino, and Item D, Conference with Real Property Negotiators, were not discussed. Regarding Item A (iv) Treasure Ortiz v. City of San Bernardino , the council voted 5-0 to release a statement/press release; Council Member Figueroa was absent during the discussion. Attorney Maldonado read the statement/press release.

PUBLIC HEARING

1. Introduce for First Reading Ordinance No. MC-1659 Approving Development Code Amendment 25 -11 (Accessory Dwelling Unit 2025 Legislative Update)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino:

1. I
ntroduce and read by title only, and waive f urther reading of Ordinance No. MC -1659 of the Mayor and City Council of the City of San Bernardino, California, approving Development Code Amendment 25- 11 amending Chapter 19.04 (Residential Zones); Se
ction 19.04.030(2) (P) (Residential Zones Specific
Standards - Accessory Dwelling Units) of the City of San Bernardino Development Code (SBMC Title 19) to update the development standards for Accessory Dwelling Units and Junior Accessory Dwelling Units in compliance with recent changes in state law
; a
nd finding such action statutorily exempt from the
California Environmental Quality Act under Public Resources Code Section 21080.17
;

2. S
chedule the adoption of Ordinance No. MC -1659 to the
regularly scheduled meeting of the Mayor and City Council on

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 4 February 4, 2026.

Mayor Pro-Tem Knaus opened the public hearing at 5:19 p.m.

Associate Planner George Velarde gave a presentation to the Mayor Pro Tem and the City Council.

There were no Public Comments.

Mayor Pro-Tem Knaus closed the Public Hearing at 5:26 p.m.

Council Members discussed the state-mandated ordinance requiring updates to the City’s ADU regulations, noting that failure to codify the changes would limit the City’s ability to regulate under state law. Council Members raised concerns regarding parking impacts, infrastructure capacity, enforcement challenges, neighborhood saturation, and affordability, emphasizing that ADUs were ministerial approvals governed largely by state legislation. Staff and Deputy City Attorney explained that the ordinance was required for compliance, that size limits had already been reduced to the maximum extent allowed by state law, and that enforcement and parking issues would need to be addressed separately. The Council proceeded to consider the ordinance while acknowledging ongoing concerns and the need for future review and enforcement efforts.

RESULT: INTRODUCED ORDINANCE NO. MC-1659 [6-1]
MOVER: Theodore Sanchez, Council Member, Ward 1
SECONDER: Treasure Ortiz, Council Member, Ward 7
AYES: Sanchez, Ibarra, Figueroa, Knaus, Flores, Ortiz
NOES: Fred Shorett

City Clerk Lopez read the title of the Ordinance into the record.

The final reading of the Ordinance was scheduled for February 4, 2026.

CITY MANAGER UPDATE
City Manager Eric Levitt provided the City Manager Updates . Highlights included the Martin Luther King Jr. Day celebration, the 2026 homeless point-in-time count on January 22nd, the Animal Services statistics for 2025, improvements to Route 66, the approval of Congress to fund the Police Department mobile crime prevention program, and the new Parks and Recreation guide available online.

PUBLIC COMMENTS FOR ITEMS LISTED AND NOT LISTED ON THE AGENDA Mike Hartley spoke out against the city issuing thousands of ADU permits without expanding code enforcement, warning that it could harm San Bernardino.

Al Palazzo shared past experiences as a visionary, noting missed opportunities to bring major developments . H e expressed that the ADU issue is complex, with both pros and cons, and it could help revitalize parts of San Bernardino.

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 5 Rikkie Van Johnson highlighted the community center's programs and opportunities.

Keith Benitez, representing the Youth Advisory Board of San Bernardino, reminded the council and community about the upcoming Point-in-Time count.

Dr. Rob Carlson urged the City Council to address ICE actions in San Bernardino.

Maelena Enriquez, representing the San Bernardino County Youth Advisory Board, announced their first event of the year on February 28th.

Sam Catalano, represented Perris Hill Pickle Ball, promot ed park facilities and plans for a regional pickleball and tennis center to boost community use and local business.

Kailin Peoples spoke in support of item 16 and asked the council to approve a project providing 19 townhomes for essential workers.

Keith Benitez, a youth advocate, spoke about the city’s Point -in-Time Count but warned that current methods don’t reflect the reality of homelessness.

James Smith, chairman of the Arts and Historical Preservation Commission, praised City leadership and urged support for the homeless navigation center project.

Erick Marquez proposed a small business loan program to help entrepreneurs and boost San Bernardino’s growth.

Scott Olson spoke about a Council Member misleading voters about political affiliation and taking credit for helping San Bernardino recover from bankruptcy.

Christian Shaughnessy urged the city to act quickly on homelessness, emphasizing the need for a navigation center and stronger housing protections.

Les spoke on the City Council , ignoring homelessness, limiting public input, and failing to hold police accountable, while calling for an emergency shelter and better city leadership.

Dolores Armstead spoke on the city for losing the prestigious paragliding site, failing to address ongoing issues like the Oxbow, not reopening City Hall, and missing out on revenue from events, calling the downtown and neglected.

Michael Williamson described damage to a wall caused by a city tree, his attempts to have it repaired through a claim, and expressed frustration with the city’s handling.

Zazette Scott, a San Bernardino nonprofit leader and affordable housing specialist, highlighted nonprofits’ vital work and urged fair treatment, while supporting the Family Assistance Program.

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 6 Lydia Savala noted that the new Director of Animal Services , Jasmine Glover, inherits a challenging pet overpopulation issue stemming from past policies, and praised the mobile veterinary vehicle.

Moe Zavala, a representative of the San Bernardino Democratic Luncheon Club, spoke about a “do not support” letter opposing B enito Barrios, citing past alliances and controversies.

Carmen Gallegos praised the city’s cleanup efforts and reduced fires, then urged improvements to sidewalks and road safety, especially near Tippecanoe and Ninth, to better protect pedestrians.

Tifanny Lee, a Ward 5 homeowner, urged the city to expedite opening the Homeless Navigation Center, citing safety and quality-of-life concerns.

Sharon Negrete urged the city to move forward with a new animal shelter, citing unsafe conditions at the current facility and offering revenue ideas and volunteer support.

John Schol lenberger spoke on alleged misconduct involving police leadership and questioned potential conflicts of interest tied to POA endorsements.

Prior to hearing the Consent Calendar, City Manager Levitt announced that Item No. 6 had a correction and asked to pull the item to discuss, and Discussion Item No. 15 had a correction as well.

Council Member Ibarra left the dais before taking the Consent Calendar vote.

CONSENT CALENDAR
Items on the Consent Calendar are considered routine and are voted on in a single motion unless a council or staff member has pulled the item for more discussion.

RESULT: APPROVED THE CONSENT CALENDAR. ITEM NO. 6 W AS PULLED BY STAFF FOR DISCUSSION AND ITEM NOS. 9, 10, AND 14 WERE PULLED FOR FURTHER DISCUSSION [6-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Figueroa, Shorett, Knaus, Flores, Ortiz
ABSENT: Sandra Ibarra

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 7

2. Approval of Various Mayor and City Council Meeting Minutes Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the meeting minutes for the following dates:

1. July 20, 2022 Regular Meeting Minutes

2. December 14, 2022 Special Meeting Minutes

3. May 9, 2023 Special Meeting Minutes

4. May 11-13, 2023 Special Meeting Minutes

5. November 19, 2025 Regular Meeting Minutes

6. December 3, 2025 Special Meeting Minutes

7. December 10, 2025 Special Meeting Minutes

RESULT: APPROVED STAFF RECOMMENDATION [6-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Figueroa, Shorett, Knaus, Flores, Ortiz
ABSENT: Sandra Ibarra
NOES: None

3. American Rescue Plan Update (All Wards)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, receive and file this report providing an update on American Rescue Plan Act (ARPA) -funded expenditures as of September 30, 2025.

RESULT: APPROVED STAFF RECOMMENDATION [6-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Figueroa, Shorett, Knaus, Flores, Ortiz
ABSENT: Sandra Ibarra
NOES: None

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 8

4. Approval of Commercial and Payroll Disbursements and Purchase Card Transactions for October 2025 (All Wards) Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the commercial, payroll disbursements and purchasing card transactions for October 2025.

RESULT: APPROVED STAFF RECOMMENDATION [6-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Figueroa, Shorett, Knaus, Flores, Ortiz
ABSENT: Sandra Ibarra
NOES: None

5. Investment Portfolio Report for October 2025 (All Wards) Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, receive and file the Monthly Investment Portfolio Report for October 2025.

RESULT: APPROVED STAFF RECOMMENDATION [6-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Figueroa, Shorett, Knaus, Flores, Ortiz
ABSENT: Sandra Ibarra
NOES: None

Council Member Ibarra returned to the dais at 7:11 p.m.

6. Adopting the Executive Compensation and Benefits Plan; and Amending the Executive Group Salary Schedule
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California,

1. A
dopt Resolution No. 2026-001 of the Mayor and City Council of the City of San Bernardino, California, approving the Executive Compensation and Benefits Plan and repealing Resolution No. 2022-59
; and

2. A
mend the Executive Group Salary Schedule effective 7/7/2025 and the Citywide Salary Schedule for Full-Time, Part-Time, Temporary, and Seasonal Employees effective 1/5/2026

Council Member Figueroa left the dais at 7:17 p.m.

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 9 Director of Human Resources Andrea Russell noted a correction to the staff report, clarifying the cost -of-living increase as 3.5% instead of 3% and explaining how it would be split if revenues fall below projections.

Council Member Ortiz discussed the correction of the staff report error, clarifying a

3.5% COLA, and questioning a proposed $29,000 compaction raise for the Chief of Police.

Council Members debated whether the adjustment was necessary now or could be delayed given budget concerns, noting it was a recommendation, not a mandate.

RESULT: A DOPTED RESOLUTION NO. 2026-001 [5-1]
MOVER: Theodore Sanchez, Council Member, Ward 1
SECONDER: Mario Flores, Council Member, Ward 6
AYES: Sanchez, Ibarra, Shorett, Knaus, Flores
NOES: Treasure Ortiz
ABSENT: Juan Figueroa

7. Basic Compensation Plan for Part-Time, Temporary and Seasonal Employees (All Wards)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2026-002:

1. Approving a basic compensation plan for part-time, temporary and seasonal employees, and

2. Amending the City-wide salary schedule for full-time, part-time, temporary, and seasonal positions.

RESULT: ADOPTED RESOLUTION NO. 2026-002 [6-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Figueroa, Shorett, Knaus, Flores, Ortiz
ABSENT: Sandra Ibarra
NOES: None

8. Technical Correction Authorizing the Carryover of Unspent ERP Funds from FY 2024/25 to Amend the FY 2025/26 Operating Budget (All Wards) Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, authorize the Director of Finance & Management Services to amend the Fiscal Year (FY) 2025/26 Operating Budget to increase expenditures by $4,172,551.87, reflecting the carryover of unspent Enterprise Resource Planning (ERP) funds from the Fiscal Year 2024/25.

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 10 RESULT: A PPROVED STAFF RECOMMENDATION [6-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Figueroa, Shorett, Knaus, Flores, Ortiz
ABSENT: Sandra Ibarra
NOES: None

9. Award of Agreement for University Parkway Extension – Median & Streetscape Improvements in the amount of $1,011,835 to H L Hitchcock Construction Inc. (Ward 6)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California:

1. A
pprove the award of an Agreement with H L Hitchcock Construction Inc. in the amount of $1,011,835.00 for the construction cost of the University Parkway Extension – Median & Streetscape
Improvements (Project)
; and

2. A
uthorize the construction contingencies, construction
management, and administrative costs in the total amount of $118,000 for the Project, bringing the total project budget to $1,129,835.00
; an
d

3. A
uthorize the City Manager or designee to execute all documents with H L Hitchcock Construction Inc; an
d

4. A
uthorize the City Manager or designee to expend the contingency fund, if necessary, to complete the project.

Council Members discussed the State Street expansion project, which originally included pavers and quarry rock in the median. The previous City Manager had removed the original median landscaping and directed a redesign with full landscaping, resulting in a proposed $1.1 million project with $60,000 in annual maintenance costs. Concerns were raised about the fiscal impact, ongoing maintenance, and precedent for future medians.

Council Members decided to continue the item to allow staff to confirm permitting requirements with the Department of Water Resources and explore cost-effective options before moving forward.

RESULT: CONTINUE THE ITEM TO ALLOW STAFF TIME TO CONTACT THE

DEPARTMENT OF WATER RESOURCES REGARDING THE
PERMIT PROCESS [7-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Ibarra, Figueroa, Shorett, Knaus, Flores, Ortiz NOES: None

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 11

10. Award of Construction Agreement to PowerTech Inc. for Rowe Library - Parking Lot Surfacing in the amount of $110,367.08 and Contingency of $109,632.92 for a Total Amount of $220,000 (Ward 7)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California;

1. A
pprove the award of a Construction Agreement with
PowerTech Inc., in the amount of $110,367.08 for the Rowe Library - Parking Lot Surfacing (Project); a
nd

2. A
uthorize the construction contingencies, construction
management, and administrative costs in the total amount of $109,632.92 for the Project, bringing the total Project budget to $220,000
; a
nd

3. A
uthorize the City Manager or designee to execute all
documents with PowerTech Inc.; a
nd

4. A
uthorize the City Manager or designee to expend the
contingency fund, if necessary, to complete the Project.

Council Members questioned the 100% contingency for a parking lot project , noted this was unusually high, and staff explained it was due to potential unknown conditions under the old lot. After discussion, the contingency was reduced to 15%, with staff agreeing to report any unforeseen issues and apply this approach to future CIP projects.

RESULT: APPROVED STAFF RECOMMENDATION AS AMENDED WITH A 15% CONTINGENCY [7-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Sandra Ibarra, Council Member, Ward 2
AYES: Sanchez, Ibarra, Figueroa, Shorett, Knaus, Flores, Ortiz NOES: None

11. Approve Amendment No. 1 to the Professional Services Agreement with Next Practice Partners, LLC for the City of San Bernardino Parks Master Plan (All Wards)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California:

1. A
pprove Amendment No. 1 to the Professional Services Agreement with Next Practice Partners, LLC to renew and extend the contract term for preparation of the City of San Bernardino Parks Master Plan through June 30, 2026
;
and,

2. Authorize the City Manager, or designee, to execute Amendment No. 1 ; and

3. Authorize the Interim Director of Management Services to establish a purchase order for the remaining contract balance in an amount not to exceed $98,139.00.

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 12

RESULT: APPROVED STAFF RECOMMENDATION [6-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Figueroa, Shorett, Knaus, Flores, Ortiz
ABSENT: Sandra Ibarra
NOES: None

12. Approval of Amendment No. 1 to the Maintenance Services Agreement with Cal Stripe, Inc. to Correct the Not-to-Exceed Amount and Clarify the Total Contract Value for All Option Years (All Wards)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California:

1. A
pprove Amendment No. 1 to the Maintenance Services Agreement with Cal Stripe, Inc. to increase the not -to-exceed amount from $420,000.00 to $2,100,000.00, clarifying that the total contract value reflects the cumulative amount for the full five- year term, which includes the initial term and all four option years, as authorized under the Original Agreement; and

2. A
uthorize the City Manager to execute all related documents necessary to effectuate this amendment.

RESULT: APPROVED STAFF RECOMMENDATION [6-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Figueroa, Shorett, Knaus, Flores, Ortiz
ABSENT: Sandra Ibarra
NOES: None

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 13

13. Approve Stop Sign Installation at Various Locations (Wards 1, 2, 4, 5) Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino California, adopt Resolution No. 2026-003 authorizing the City Manager and/or designee to amend the City’s Master List of certain streets or portions thereof designated as Through Highways and authorizing the establishment of stop control at the following locations:

a. Pine Ave & Irvington Ave (Ward 5)
b. 11th St & J St (Ward 1)
c. 11th St & Wall Ave (Ward 1)
d. 11th St & Perris St (Ward 1)
e. 49th St & E St (Ward 4)
f. Mountain Ave & Marshall Blvd (Ward 4)
g. 28th St & Turill Ave (Ward 2)
h. Bobbet Dr & Olive St (Ward 1)

RESULT: ADOPTED RESOLUTION NO. 2026-003 [6-0]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Figueroa, Shorett, Knaus, Flores, Ortiz
ABSENT: Sandra Ibarra
NOES: None

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 14

14. Award of Construction Agreement to Toro Enterprises Inc. for Construction of a Raised Median Island Along Kendall Drive Between H Street and E Street Project - in the Amount of $2,489,475.40 and Contingency of $560,524.60 for a Total Amount of $3,050,000 (Ward 4,5 and 7) p. 850
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California;

1. Approve the award of a Construction Agreement with Toro Enterprises Inc., in the amount of $2,489,475.40 for the Construction of a Raised Median Island Along Kendall Drive Between H Street and E Street Project; and

2. Authorize the construction contingencies, construction management, and administrative costs in the total amount of $560,524.60 for the Project, bringing the total Project budget to $3,050,000; and

3. Authorize the Interim Director of Finance and Management Services to approve the reallocation of Measure I funds in the amount of $1,135,945.42 from the Street Improvements
(Rehabilitation) City Wide at 50 Locations To Be Constructed in Phases Project (SS25- 001) to fully fund the Construction of a Raised Median Island Along Kendall Drive Between H Street and E Street Project; and

4. Adopt Resolution No. 2026-004 amending the FY 2025-26 Capital Improvement Program Budget to reallocate Measure I funds in the amount of $1,135,945.42 from the Street Improvements
(Rehabilitation) City Wide at 50 Locations To Be Constructed in Phases Project (SS25-001) to fully fund the Construction of a Raised Median Island Along Kendall Drive Between H Street and E Street Project.

5. Authorize the City Manager or designee to execute all documents with Toro Enterprises Inc.; and

6. Authorize the City Manager or designee to expend the contingency fund, if necessary, to complete the Project.

Council Members expressed support for the traffic safety project, highlighting its importance for residents and schoolchildren. Questions were raised about median placement, impacts on local businesses, and safety along curves. Staff confirmed access would be maintained and mitigation measures like wider medians, speed feedback signs, and future traffic studies would be implemented.

Council Member Ibarra requested that staff explore additional traffic options for the curves to ensure safety.

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 15 RESULT: APPROVED STAFF RECOMMENDATION [6-1]
MOVER: Fred Shorett, Council Member, Ward 4
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Figueroa, Shorett, Knaus, Flores, Ortiz
NOES: Sandra Ibarra

DISCUSSION

15. Award of Construction Agreement to Spec Construction Co Inc. for Construction of Homeless Navigation Center SB Campus Project in the amount of $15,037,000 and Contingency of $2,255,550 for a Total Amount of $17,292,500 (Ward 1)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California;

1. Approve the award of a Construction Agreement with Spec Construction Co Inc., in the amount of $15,037,000 for the Construction of Homeless Navigation Center SB Campus Project; and

2. Authorize the construction contingencies and administrative costs in the total amount of $2,255,550 for the Project, bringing the total Project budget for the Construction Agreement to $17,292,550; and

3. Approve Resolution No. 2026- 005 authorizing the Interim Director of Finance and Management Services to amend the FY 2025- 2026 Operating Budget to loan $8,768,982 from the General Fund - Fund Balance to fully fund the construction of the San Bernardino Homeless Navigation Center SB Campus Project; and

4. Authorize the City Manager or designee to execute all documents with Spec Construction Co Inc.; and

5. Authorize the City Manager or designee to expend the contingency fund, if necessary, to complete the Project.

There was a consensus from the Mayor and City Council to waive the presentation.

RESULT: APPROVED STAFF RECOMMENDATION [7-0]
MOVER: T reasure Ortiz, Council Member, Ward 7
SECONDER: Theodore Sanchez, Council Member, Ward 1
AYES: Sanchez, Ibarra, Figueroa, Shorett, Knaus, Flores, Ortiz NOES: None

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 16

16. Exclusive Negotiating Agreement (ENA) with Neighborhood Housing Services of the Inland Empire (NHSIE) for the Development of Surplus Land Act Site 8, 9 and 10 for Affordable Housing (Ward 4) Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California adopt Resolution No. 2026-006:

1. A
pprove the Exclusive Negotiating Agreement (ENA) between the City of San Bernardino and Neighborhood Housing Services of the Inland Empire (NHSIE), a California non -profit public benefit corporation, for the development of approximately 0.86 acres of city-owned surplus land, identified as sites 8, 9 and 10 (“Property”), for affordable housing
; and

2. A
uthorize the City Manager, Deputy City Manager, or designee to execute the ENA, along with any subsequent amendments,
extensions, and other necessary documents to complete the transaction

There was a consensus from the Mayor and City Council to waive the presentation.

Deputy City Attorney Maldonado asked that the item be approved contingent upon final legal review, as BBK’s housing attorney is still negotiating the final provisions.

Council Members discussed exclusive negotiation rights for a 19- unit, low- to moderate- income homeownership project. Units will be owner -occupied, with deed restrictions and down payment assistance to ensure affordability. Staff will continue community outreach, ensure neighborhood compatibility, and address parking and design concerns.

RESULT: ADOPTED RESOLUTION NO. 2026 -006 AND WITH A
CONTINGENT UPON FINAL LEGAL REVIEW [7-0]
MOVER: Treasure Ortiz, Council Member, Ward 7
SECONDER: Sandra Ibarra, Council Member, Ward 2
AYES: Sanchez, Ibarra, Figueroa, Shorett, Knaus, Flores, Ortiz NOES: None

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Regular Meeting Draft Minutes January 21, 2026
Mayor and City Council of the City of San Bernardino Page 17

MAYOR & CITY COUNCIL UPDATES/REPORTS ON CONFERENCES & MEETINGS At this time, the Mayor and City Council provided updates to the community. Council Member Ibarra thanked the public for their support during personal health challenges and highlighted efforts to address homelessness, including participating in the annual point -in- time count. Other Council Members noted community events, ribbon cuttings, and Martin Luther King Jr. celebrations, and expressed gratitude to the community . Council Member Shorett proudly announced his daughter-in-law’s promotion to Command Chief Warrant Officer in the Nevada National Guard.

ADJOURNMENT
The meeting of the Mayor and City Council was adjourned on Wednesday, January 21, 2026 at 8:36 p.m.

The next joint special meeting of the Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency will be held on February 4, 2026, at the Feldheym Central Library located at 555 West 6th Street, San Bernardino, California 92410. Closed Session will begin at 4:00 p.m. and Open Session will begin at 5:00 p.m.

Telicia Lopez, CMC
City Clerk

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CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: February 18, 2026
To: Honorable Mayor and City Council Members
From: Gabriel Elliott, Director of Community Development & Housing Department: Community Development & Housing
Subject: Amendment No.1 to the Emergency Solutions Grant (ESG) Subrecipient Agreements with The Salvation Army and
Family Service Association of Redlands
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California adopt Resolution No. 2026-011:

1. Approving Amendment No. 1 to the FY 2025–26 Emergency Solutions Grant (ESG) Program Subrecipient Agreement with The Salvation Army (TSA) to increase the agreement by $74,276.38 incorporating prior-year unspent ESG funds, revising the not to exceed amount to $241,535.38 and extend the agreement term through December 31, 2026; and

2. Approving Amendment No. 1 to the FY 2025-26 ESG Program Subrecipient Agreement with Family Service Association of Redlands to extend the agreement term through December 31, 2026; and

3. Authorizing the City Manager, or designee, to take any additional actions and execute any agreements or documents necessary to implement Amendment No. 1 and administer the ESG grant program.

4. Authorizing the Director of Finance & Management Services to amend the FY 2025/26 operating and capital budget in the amount of $63,742.66 as a technical correction to recognize unspent FY 23-24 ESG Funds.

City Manager's Comments
The City Manager recommends approval.

Executive Summary
The City Council previously approved the Fiscal Year 2024–25 Annual Action Plan

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(FY24–25 AAP) for submittal to the U.S. Department of Housing and Urban Development (HUD) for funding under the CDBG, HOME, and ESG programs. The ESG Subrecipient Agreement with The Salvation Army and the Family Service Association of Redlands was executed based on that approval. Under the guidance of legal counsel and in alignment with HUD requirements, staff is returning to Council to request approval of a Subrecipient Agreement Amendment. This amendment extends the term of the agreement for both TSA and FSA through December 31, 2026, allowing for completion of services and expenditure of funds. In addition, it adds prior-year unspent ESG funds to TSA from previous fiscal years to the FY 2025–26 allocation, increasing program capacity for emergency shelter, homelessness prevention, and HMIS activities.

Background
The U.S. Department of Housing and Urban Development (HUD) awards Emergency Solutions Grant (ESG) funds to entitlement jurisdictions to support emergency shelter operations, essential services, street outreach, homelessness prevention, rapid rehousing, and Homeless Management Information System (HMIS) participation.

The City of San Bernardino is an ESG entitlement jurisdiction and receives annual allocations to support eligible homeless services. Subrecipient agreements are required under 24 CFR 576.500 to outline performance expectations, regulatory compliance responsibilities, and eligible activities.

On June 04, 2025, the City Council approved the FY 2025–26 Annual Action Plan (AAP) and authorized the City Manager or designee to execute all necessary documents to submit the AAP to HUD. The FY 2025–26 Annual Action Plan (AAP) represents the City’s first-year implementation strategy under the 2025–2029 Consolidated Plan. As part of the AAP, the City identifies goals, projects, and funding allocations for the use of Emergency Solutions Grant (ESG) funds to address homelessness.

For the FY 2025–26 program year, the City has been allocated $241,347 in ESG funding. ESG funds will be used to support eligible activities including emergency shelter, homelessness prevention, and rapid rehousing in accordance with U.S.

Department of Housing and Urban Development (HUD) requirements.

ESG-funded activities for the FY 2025–26 program year are being implemented by subrecipients selected through a competitive Notice of Funding Availability (NOFA) process conducted in accordance with HUD requirements and the City’s Citizen Participation Plan. The NOFA was publicly noticed and evaluated based on established criteria, including organizational capacity, experience providing ESG-eligible services, program design, and compliance with HUD ESG regulations.

Following the completion of the NOFA process, The Salvation Army (TSA) and Family Service Association of Redlands (FSA) were selected as ESG subrecipients for the FY 2025–26 program year. TSA and FSA demonstrated the capacity and experience necessary to deliver ESG-funded services and meet HUD performance, reporting, and

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compliance requirements. ESG funds awarded to these subrecipients will support eligible activities including emergency shelter, homelessness prevention, and related supportive services, in alignment with the goals of the FY 2025–26 Annual Action Plan and the City’s 2025–2029 Consolidated Plan. For FY 2025-26 program year, The Salvation Army was awarded $167,259.00 and Family Service Association of Redlands was awarded $55,987.00 in ESG funding.

This amendment concerns the ESG subrecipient agreement with The Salvation Army and Family Service Association of Redlands, which provides emergency shelter and homelessness prevention services within the City.

Discussion
The proposed Amendment No. 1 to the ESG Program Subrecipient Agreements with The Salvation Army (TSA) and Family Service Association of Redlands (FSA) accomplishes two critical objectives:

1. Extension of Agreement Term through December 31, 2026 The proposed amendment extends the term of the subrecipient agreements from June 31, 2026 to December 31, 2026, to allow sufficient time to fully implement ESG-funded activities, align expenditures with U.S. Department of Housing and Urban Development (HUD) expenditure deadlines, and ensure the effective use of prior-year unspent ESG funds.

2. Incorporation of Prior-Year Unspent ESG Funds to The Salvation Army Prior years of unobligated or unspent ESG funds are available for reallocation. HUD allows ESG entitlement jurisdictions to carry forward unused funds and reprogram them for eligible subrecipient activities. The proposed amendment increases the agreement amount for The Salvation Army to incorporate prior-year rollover funds and ensure all available ESG funds are programmed for eligible uses.

Under the amended ESG Program Subrecipient Agreement, The Salvation Army will continue to provide emergency shelter services and homelessness prevention activities, as well as utilize the Homeless Management Information System (HMIS) for client data collection, tracking, and performance monitoring. The ESG funding allocated to The Salvation Army includes the following prior-year amounts:
FY 2023–24: $63,742.66
FY 2024–25: $10,533.72
The FY 2023–24 rollover amount of $63,742.66 consists of the following components:
$12,133.51 in unspent ESG Administration funds.
$42,008.15 in CAP Program expenses that were not eligible for ESG reimbursement and were instead paid with General Fund resources, resulting

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in unused ESG funds available for reprogramming; and
$9,601.00 from the FY 2023–24 ESG grant that was not committed to a program during that fiscal year.

Of the FY 2023-24 rollover funds, $38,597.41 will be allocated to Rapid Re-housing services and $25,145.25 will be allocated to HIMIS activities The FY 2024-25 rollover amount of $10,533.72 represents unspent carryover fuds from The Salvation Army’s program funds. Those funds will be exclusively to support HIMIS related costs.

This amendment ensures that all ESG funds are allocated to eligible activities and that the City remains in compliance with HUD expenditure and program requirements.

During the amended agreement term, The Salvation Army will continue to provide the following ESG-funded services:
Emergency shelter and essential services for a minimum of 150 individuals experiencing homelessness;
Housing stabilization and rental assistance to prevent homelessness; and HMIS data entry and reporting to support system-level performance monitoring and compliance.
2021-2025 Strategic Targets and Goals
The request to approve the amendments to the subrecipient agreements aligns with Strategic Target No. 3: Improved Quality of Life by reducing the burden of homelessness through enjoyment, collaboration, and partnership with other entities.

Fiscal Impact
There is no General Fund impact. All activities are fully funded through the City’s ESG entitlement allocation and prior-year ESG rollover funds. .

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2026-011:

1. Approving Amendment No. 1 to the FY 2025–26 Emergency Solutions Grant (ESG) Program Subrecipient Agreement with The Salvation Army (TSA) to increase the agreement by $74,276.38 incorporating prior-year unspent ESG funds, revising the not to exceed amount to $241,535.38 and extend the agreement term through December 31, 2026; and

2. Approving Amendment No. 1 to the FY 2025-26 ESG Program Subrecipient Agreement with Family Service Association of Redlands to extend the agreement term through December 31, 2026; and

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3. Authorizing the City Manager, or designee, to take any additional actions and execute any agreements or documents necessary to implement Amendment No. 1 and administer the ESG grant program.

4. Authorizing the Director of Finance & Management Services to amend the FY 2025/26 operating and capital budget in the amount of $63,742.66 as a technical correction to recognize unspent FY 23-24 ESG Funds.

Attachments
Attachment 1 Amendment No. 1 to the FY2025-26 ESG Subrecipient Agreement with Salvation Army
Attachment 2 Original Salvation Army Subrecipient Agreement Attachment 3 Amendment No. 1 to the FY2025-26 ESG Subrecipient Agreement with Family Service Association of Redlands
Attachment 4 Original Family Service Association of Redlands Subrecipient Agreement
Attachment 5 Resolution No. 2026-011
Ward:

All Wards
Synopsis of Previous Council Actions:

June 4, 2025, The Mayor and City Council held a Public Hearing to receive public comments on the draft Fiscal Year 2025-2029 Consolidated Plan draft Analysis of Impediments to Fair Housing Choice and draft Fiscal Year 2025-2026 Annual Action lan associated with the Community Development Block Grant, HOME Investment Partnerships and Emergency Solutions Grant Pograms.

CC: Eric Levitt, City Manager

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AMENDMENT NO. 1 TO

THE EMERGENCY SOLUTIONS GRANTS PROGRAM SUBRECIPIENT

AGREEMENT

WITH THE SALVATION ARMY
This Amendment No. 1 to the Emergency Solutions Grants Program Agreement for is made and entered into as of February 18, 2026 ("Effective Date") by and between the City of San Bernardino, a charter city and municipal corporation ("City") and The Salvation Army, a California nonprofit corporation (the "Subrecipient"). City and Subrecipient are sometimes referred to herein individually as a "Party" and collectively as "Parties."

RECITALS
A. WHEREAS, the City and the Subrecipient have entered into an agreement, dated August 1, 2025, for the purpose of providing emergency shelter services and operations, homelessness prevention, rental assistance, stabilization services, and Homeless Management Information System (HMIS) costs (the "Master Agreement").

B. WHEREAS, the Parties now desire to amend the Master Agreement in order to extend the term of the Master Agreement for an additional term of six months, and to include additional FY 23-24 and FY 24-25 carryover funds for the continued performance of the services in accordance with federal requirements for subrecipients (Exhibit C.1) and the compensation provisions of the Master Agreement.

NOW, THEREFORE, in consideration of the above recitals and the mutual covenants, conditions, and promises contained in this Amendment No. 1 and the Master Agreement, the Parties mutually agree as follows:

AGREEMENT

1. Incorporation of Recitals. The recitals listed above are true and correct and are hereby incorporated herein by this reference.

2. Term. The term of the Master Agreement shall be extended for an additional term of six months through December 30, 2026, unless earlier terminated.

3. Compensation. The compensation for services performed pursuant to this Amendment No. 1 shall not exceed seventy-four thousand, two hundred seventy-six dollars and thirty-eight cents $74,276.38, thereby increasing the total not to exceed compensation of the Master Agreement to the amount of two hundred and forty-one thousand, five hundred and thirty-five dollars and thirty-eight cents ($ $241,535.38). Work shall be performed at the rates set forth in the Master Agreement (Exhibit E.1 ).

4. Exhibit C. Exhibit C.1 attached hereto and incorporated herein by this reference, hereby updates and replaces the table included within Exhibit C of the Master

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EMERGENCY SOLUTIONS GRANTS PROGRAM

SUBRECIPIENT AGREEMENT

This EMERGENCY SOLUTIONS GRANTS PROGRAM SUBRECIPIENT AGREEMENT (this Agreement is made and entered into as of August 1, 2025 (the Effective Date by and between the CITY OF SAN BERNARDINO, a California municipal corporation and charter city City , and THE SALVATION ARMY, a California nonprofit corporation (the "Subrecipient"). City and Subrecipient are sometimes referred to herein individually as a "Party" and collectively as the "Parties."
Recitals
City has been allocated funds under the Emergency Solutions Grants program (ESG) from the United States Department of Housing and Urban Development (HUD), pursuant to subtitle B of title IV of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 1137111378), and the implementing regulations at 24 C.F.R. Part 576 ESG Requirements. ESG funding is provided for eligible program components, including emergency shelter operations, street outreach, homelessness prevention, and rapid re-housing, as well as Homeless Management Information System (HMIS) activities, in accordance with ESG Requirements.

SUBRECIPIENT has submitted an application and represents that it is eligible under the ESG Requirements, to receive a portion of the award of ESG funds allocated by HUD to the City ESG Funds, as a subrecipient (as defined in 24 C.F.R. §576.2) of the City.

Sixty-Seven Thousand Two Hundred Fifty-Nine Dollars ($167,259.00), was approved by the City Council for the sole purpose of carrying out eligible ESG activities, including:

Emergency Shelter services and operations (24 C.F.R. § 576.102) in the amount of $139,265.00;
Homelessness Prevention rental assistance and stabilization services (24 C.F.R. § 576.103) in the amount of $13,997.00; and
Homeless Management Information System (HMIS) costs (24 C.F.R. § 576.107) in the amount of $13,997.00.

This award is subject to and contingent upon the allocation and receipt by the City of such funds and

Parties desire to enter into this Agreement so that SUBRECIPIENT may receive a subaward of a portion of the ESG funds for reimbursement of certain costs.

NOW, THEREFORE, upon and in consideration of the mutual promises and covenants contained herein and for other valuable consideration, the receipt, adequacy and sufficiency of which are hereby acknowledged, the Parties agree as follows:

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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I.GENERAL SCOPE OF SERVICES
A) Project Description: The Subrecipient shall provide services exclusively to eligible residents of the City of San Bernardino in accordance with the Emergency Solutions Subrecipient will administer activities in the following eligible ESG components:

1. Emergency Shelter (24 C.F.R. § 576.102):

Provision of essential services to individuals and families experiencing homelessness, including case management, shelter operations, and supportive assistance to ensure safety and stability during shelter stays.

Operations costs may include maintenance, utilities, rent, security, and other eligible expenses necessary for the operation of emergency shelter facilities.

2. Homelessness Prevention (24 C.F.R. § 576.103):

Provision of short-term rental assistance, financial stabilization services, and supportive case management to at-risk households who would otherwise lose their housing.

Eligible activities may include rental assistance, utility assistance, housing relocation and stabilization services, and landlord mediation to help households maintain housing stability.

3. Homeless Management Information System (HMIS) (24 C.F.R. § 576.107):

Participation in and maintenance of the regional HMIS database as required by HUD and the City.

Activities include data collection, reporting, and system compliance to ensure accurate tracking of program performance and participant outcomes.

The program will prioritize assistance for extremely low- AMI), seniors, individuals with special needs, and persons experiencing or at imminent risk of homelessness. ESG funds shall be used solely for allowable costs consistent with federal requirements, and the Subrecipient shall maintain compliance with the written standards and procedures established under 24 C.F.R. § 576.400.

B) Contract Documents will include this Agreement and the following, all as attached hereto and incorporated herein by reference for all purposes, which must be in the attached form or such other form satisfactory to the City in its sole discretion:

1. Exhibit A Federal Award Identification Table and Scope of Services,

2. Exhibit B Award Terms and Conditions,
Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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3. Exhibit CFederal Requirements for Subrecipients,

4. Exhibit D

5. Exhibit E Project Budget,

6. Exhibit F

7. Exhibit G

8. Exhibit H ESG Property Standards

9. Exhibit I ESG Rapid Re-Housing - VAWA Lease Addendum,

10. Exhibit J HMIS Compliance Report Form, and

11. Exhibit K Outreach Policy and Procedures.

The Contract Documents for the Project shall, unless defined otherwise in the Agreement, include any and all change orders and amendments to the Agreement (including related attachments, exhibits, and reference documents), which shall be for all intents and purposes, upon execution, attached and incorporated into this Agreement by reference:

C) In interpreting this Agreement and resolving any conflicts or ambiguities, the main body of this Agreement shall control over the exhibits, and any inconsistency between the exhibits will be resolved in the following order Exhibit B, Exhibit C, Exhibit A, Exhibit D, Exhibit E, and Exhibit F with the remaining Exhibits being interpreted so as to give the maximum weight to all terms in the Agreement. A higher order document will supersede a lower order document to the extent necessary to resolve any inconsistencies between the documents; however, silence on any matter in a higher order document will not negate the provision of a lower order document as to that matter. Any ambiguities or inconsistencies among documents of identical precedence will be resolved by giving precedence to the most recent document. Notwithstanding the order of precedence set forth above, in the event of a conflict within the Contract Documents of the same priority, the City shall have the right, at its sole discretion, to determine which provision applies.

D) Unless otherwise stated in this Agreement, words that have well-known technical or industry meanings are used in accordance with such recognized meaning.

II. REPRESENTATIONS AND WARRANTIES
SUBRECIPIENT represents and warrants as follows:

A) SUBRECIPIENT is duly organized, validly existing, and in good standing under the laws of the state of its formation and is authorized to do business in the State of California.

B) SUBRECIPIENT is current on state and local fees and taxes. Neither SUBRECIPIENT nor any of its principals or other affiliated entities owe any debts to the City or San Bernardino County, including, but not limited to delinquent taxes, court judgments, Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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tickets, tolls, fees, or fines. For the purposes of this Agreement, a court judgment is not required for delinquent taxes to be considered a debt.

C) SUBRECIPIENT is not in breach of any other contract, obligation, or covenant that would affect SUBRECIPIENT
Agreement, will not breach any contract to which SUBRECIPIENT is a party or any of SUBRECIPIENT obligations or covenants thereunder.

D) SUBRECIPIENT must verify that each entity or person it retains to perform Services pursuant to this Agreement is in compliance with Sections A, B, and C above. If SUBRECIPIENT engages any contractors or subcontractors, SUBRECIPIENT must apply the terms and conditions indicated in this Agreement to any contract or subcontract.

SUBRECIPIENT agrees it is at all times responsible for the performance of SUBRECIPIENTcontractors and subcontractors. No term or agreement of SUBRECIPIENT contractors or subcontractor shall alter the terms and conditions of this Agreement.

E) SUBRECIPIENT must not take advantage of or benefit from any apparent error or omission in the Contract Documents. Should it appear that the Services to be done, or any matter relative thereto, is not sufficiently detailed or explained in the Contract Documents, SUBRECIPIENT must, prior to proceeding with any affected Services, request in writing such further explanations from the City as may be necessary and, subject to any required change orders or amendments, SUBRECIPIENT must comply with the explanation provided. Each Party will promptly notify the other in writing of all errors or omissions that it may discover in the Contract Documents.

F) SUBRECIPIENT is fully qualified and capable of performing the Services called for in this Agreement and is willing to perform these Services.

III. INDEPENDENT PARTIES
A) This Agreement is not intended to create and shall not constitute an agency, employee- employer relationship, partnership, joint enterprise, joint employer, or joint venture relationship between the Parties. SUBRECIPIENT has no authority to enter into contracts or agreements on behalf of the City or to bind or otherwise obligate the City orally, in writing, or by any act or omission.

B) SUBRECIPIENT shall have and retain the exclusive right of control over employment, firing, discipline, compensation, insurance, and benefits in accordance with the applicable laws of the State of California. SUBRECIPIENT must comply with all applicable federal and state laws in the payment of its workers. SUBRECIPIENT is solely responsible for the payment of wages and any applicable benefits to workers for Services performed in connection with this Agreement. SUBRECIPIENT is responsible for withholding federal and state income taxes, paying Federal Social Security taxes, maintaining unemployment insurance,
terms as required by the applicable laws of the State of California.

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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C) The City is not responsible to SUBRECIPIENT or its workers (or any other entity or SUBRECIPIENT) for payment of any
overtime compensation or any additional payments pursuant to any federal or state law.

The City is not responsible for overtime wages.

D) The City has and shall have no liability, directly or indirectly, for payment to subrecipient workers, including, without limitation, employees, contractors, subcontractors, subrecipients, or any other party performing work, services, or other activities on behalf of SUBRECIPIENT. To the extent not otherwise prohibited under the laws of the state of California, SUBRECIPIENT shall indemnify, defend, release, and hold the City harmless from and against any and all such claims.

E) SUBRECIPIENTworkers are not entitled to any contributions by or benefits from the City for any pension plan, bonus plan, or any other benefit plan nor any fringe benefits or similar benefits afforded to employees of the City. The City is not liable for payment of any federal or state taxes and charges including, but not limited to, income withholding charges.

F) The terms of this Article III shall survive the expiration or termination of this Agreement.

IV. TERM
Term shall commence upon the Effective Date and,
except for such provisions of this Agreement that expressly survive expiration or termination hereof, will terminate on June 30, 2026, unless earlier extended or terminated by the City in writing in accordance with the terms of this Agreement. The Term is intended to align with the ESG program year and the approved performance period for the funded ESG activities.

SUBRECIPIENT RESPONSIBILITIES
A) The SUBRECIPIENT shall perform the Services described in Section I(A), which include carrying out activities in the following eligible ESG program components: Emergency Shelter, Homelessness Prevention, and Homeless Management Information System (HMIS). All services shall be provided in accordance with HUD regulations at 24 C.F.R. shall reimburse eligible costs as stated in Article VI. The SUBRECIPIENT must expend the full amount of the Subaward for eligible costs during the Term.

B) SUBRECIPIENT Project Budget attached as Exhibit E reflects the following allocation:

Emergency Shelter $139,265.00
Homelessness Prevention $13,997.00
Homeless Management Information System (HMIS) $13,997.00 Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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These allocations correspond directly to eligible activities under 24 C.F.R. §§ 576.102 (Emergency Shelter), 576.103 (Homelessness Prevention), and 576.107 (HMIS).

SUBRECIPIENT must make matching contributions in accordance with 24 C.F.R. § 576.201 to supplement the Subaward in an amount equal to or exceeding the amount of the Subaward, which sources and amounts will be enumerated in the Project Budget.

C) SUBRECIPIENT agrees it has reviewed all federal, state, and local laws, statutes, codes, orders, ordinances, rules, and regulations applicable to the Services under this Agreement.

In the performance of the Services, SUBRECIPIENT must comply with all applicable federal, state, and local laws, statutes, codes, orders, ordinances, rules, and regulations in effect and ensure the ESG Program Component and all funded activities comply with the applicable requirements of 24 C.F.R. Part 576. If the SUBRECIPIENT performs work, services, or any other activities that SUBRECIPIENT reasonably should have known to be contrary to laws, statutes, codes, orders, ordinances, rules, and regulations, the SUBRECIPIENT must assume appropriate responsibility for such performance and bear the costs attributable to correction, subject to the satisfaction of City, of same. All costs of compliance with any changed or new or additional statutes, laws, regulations, and codes applicable to the Services or required for the ESG-funded Project, as defined in Section I(A), that become effective subsequent to the date of closing and any funding of this Subaward (hereinafter defined) shall be borne by SUBRECIPIENT.

D) SUBRECIPIENT must perform the Services in a competent, professional and satisfactory manner in accordance with the standards prevalent in the industry for such services.

SUBRECIPIENT must obtain and maintain, at its sole cost and expense, all required licenses, registrations, accreditation, permits, and approvals applicable to the Services and the ESG-funded Project as described in section I(A).

V. CITY SUBAWARD
A) Subject at all times to Article VIII, the City agrees to award the principal amount of One Hundred Sixty-Seven Thousand Two Hundred Fifty-Nine and 00/100 Dollars This Subaward is allocated as follows:

Emergency Shelter (essential services and operations): $139,265.00 Homelessness Prevention (rental assistance and stabilization services): $13,997.00 Homeless Management Information System (HMIS): $13,997.00 Total Subaward $167,259.00
B) SUBRECIPIENT acknowledges and agrees that the Subaward is subject to environmental review by HUD under the environmental regulations in 24 C.F.R. Parts 51 and 58.

SUBRECIPIENT must not acquire, rehabilitate, convert, lease, repair, dispose of, demolish, or construct property, or commit or expend ESG or local funds for the Services or other activities unless and until the City has performed an environmental review issued the Authority to Use Grant Funds. SUBRECIPIENT further acknowledges and agrees it Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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will not be paid in advance for any of the Services. SUBRECIPIENT must not enter into any contract for performance of any Services prior to the date of closing and any funding of this SubawarClosing except as approved by the City in its sole discretion.] VI. TERMS OF SUBAWARD
A) The SUBRECIPIENT shall use the Subaward solely for the following eligible ESG activities:

Emergency Shelter (24 C.F.R. § 576.102): Provision of essential services and operations, including case management, shelter operations, and supportive services necessary to provide safe and sanitary shelter environments.

Homelessness Prevention (24 C.F.R. § 576.103): Rental assistance, housing stabilization services, and supportive case management designed to prevent households at risk of homelessness from losing housing.

Homeless Management Information System (HMIS) (24 C.F.R. § 576.107):

Participation in and maintenance of HMIS, including data entry, reporting, and compliance activities.

B) SUBRECIPIENT agrees to use the Subaward pursuant to this Agreement only to pay for the necessary and reasonable costs of Eligible Activities in accordance with the Federal Grant Regulations. Allowable costs are detailed in the Project Budget attached in Exhibit E.

C) SUBRECIPIENT hereby covenants and agrees that any shelters supported by the Subaward and used by ESG participants will conform to the standards and requirements of 24 C.F.R. § 576.403, which establishes minimum standards for safety, sanitation, and privacy in emergency shelters funded with ESG, and to all requirements of the Lead-Based Paint Poisoning Prevention Act (42 U.S.C. 48214846), the Residential Lead-Based Paint Hazard Reduction Act of 1992 (42 U.S.C. 48514856), and implementing regulations in 24 C.F.R. Part 35, Subparts A, B, H, J, K, M, and R.

D) SUBRECIPIENT must perform an initial evaluation, as required under 24 C.F.R. §576.401, determining each individual or family for ESG assistance and the amount and types of assistance needed to regain stability in permanent housing. These evaluations must be conducted in accordance with the centralized or coordinated assessment requirements developed CoC under 24 C.F.R.
§576.400(d) and the written standards established under 24 C.F.R. §576.400(e). If a program participant violates program requirements, SUBRECIPIENT may terminate assistance in accordance with a formal process established by SUBRECIPIENT as required under 24 C.F.R. §576.402.

E) SUBRECIPIENT hereby covenants and agrees that it will involve, to the maximum extent practicable, homeless individuals and families, as applicable, in constructing, renovating, maintaining, and operating any facilities assisted with the Subaward and in providing Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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services for occupants of these facilities, including the Services, in accordance with 24 C.F.R. §576.405(c).

F) SUBRECIPIENT CoC
assessment, and referral of program participants are consistent with the written standards for providing ESG assistance, as described in consolidated plan.

SUBRECIPIENT must keep documentation evidencing the use of, and written intake procedures for, the centralized or coordinated assessment system(s) developed by the CoC in accordance with the requirements of 24 C.F.R. §576.400 and as may be amended or established by HUD from time to time.

G) SUBRECIPIENT must ensure that data on all persons served and all activities assisted with the Subaward are entered into the applicable community-wide Homeless Management Information System (HMIS) in the area in which those persons and activities are located, or with the express knowledge and prior written consent of the City, collection, and reporting under a local HMIS.

SUBRECIPIENT must have an agreement, a copy of which must be provided to City, in place with the HMIS lead agency to participate in the regionally established HMIS system and share, unless prohibited by law, HMIS data with other ESG funded agencies regarding clients that are served in ESG funded programs. In the case of domestic violence service providers or other agencies prohibited from entering data into HMIS, documentation from the HMIS lead agency certifying that the SUBRECIPIENT is using a comparable database must be provided to City. The HMIS lead agency is the County of San Bernardino Community Development and Housing Agency, which is located at 385 N. Arrowhead Ave., 3rd Floor, San Bernardino, California (909-387-4700).

SUBRECIPIENT must enter data directly into the HMIS system and adhere to all implementation guidelines of CoC and HMIS. Participation includes, but is not limited to, the input of all programmatic and client data and the generation of all mandated monthly, quarterly, and closeout reports. SUBRECIPIENT must input participant data no more than forty-eight (48) hours after the date of program entry. Data regarding any services rendered to participants must be entered into HMIS within forty-eight (48) hours after the date of such services. All participants who exit the program must have their status updated in HMIS within forty-eight (48) hours of their actual exit date.

H) Fund Disbursement Requirements
i) Prior to any and all fund disbursements provided for under this Agreement, SUBRECIPIENT must provide its Taxpayer Identification Number to the City.

Failure to provide this information may result in a delay in payment or withholding of payment as required by the Internal Revenue Service. ii) The City will disburse the applicable portion of the Subaward in response to each undisputed request for fund disbursement made by SUBRECIPIENT in accordance with this Agreement. Requests for fund disbursements are subject to City approval. The City may exercise any and Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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all rights to set off or recoup fund disbursements in the event of overpayment by the City or funds owed to the City under this Agreement.

Upon approval of a disbursement request from SUBRECIPIENT, the City will disburse funds to SUBRECIPIENT by check or other mutually acceptable means.
iii) Disbursements of the Subaward made by the City to SUBRECIPIENT are to be considered by the SUBRECIPIENT as full compensation for all costs and expenses (including, without limitation, delivery, shipping, travel, and incidental costs and expenses) for labor, equipment, materials, products, services, and work necessary to provide the Services.

I) Payment Process
i) In addition to any other requirements or restrictions herein, the City shall not be obligated to make any disbursement unless and until SUBRECIPIENT has complied with each and every provision of this Agreement that requires such compliance as a condition to any disbursement by the City of the Subaward, unless the City has waived any such requirement in writing. ii) SUBRECIPIENT must submit an invoice for Services to the City on a monthly basis, unless an alternative process for approval of invoices is agreed to by City.

All invoices with the appropriate backup documentation must be submitted to:

[email protected]
iii) All invoices must be in a form acceptable to the City and, at a minimum, include a description of the Services, the day(s) and time(s) or time period, as applicable, that SUBRECIPIENT performed such Services, the total amount billed for such Services, and evidence of payment of such billed amounts, and supporting documentation satisfactory to City in such detail as may be requested by the City for verification and compliance review purposes. After receipt of an invoice, the City shall review and approve it, with such modifications as may be deemed appropriate for payment.

Subject at all times to Article
withhold payment of any unauthorized charges, the City shall pay each approved invoice in accordance with the laws of the State of California.

The City may exercise any and all rights to set off payment in the event of overpayment by the City and/or funds owed to the City under this Agreement.
iv) The City has the right to make periodic audits and inspections of the SUBRECIPIENT performed pursuant to
this Agreement. SUBRECIPIENT agrees to make the records available to the City within five (5) business days of the Ci
or electronic form and in a manner as reasonably directed by City.

VII. LIMITATION OF APPROPRIATION
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A) SUBRECIPIENT understands and agrees that this Agreement is contingent upon the availability of third-party funds, including but not limited to federal funds awarded by HUD to the CiGrant FundsSUBRECIPIENT expressly understands and agrees that (i) the City has no City funds available with which to pay its obligations hereunder except to the extent the Grant Funds awarded to the City are allocated and received by the City Funds is limited to the amount of Grant Funds actually received and appropriated and is subject to all applicable requirements of federal law. SUBRECIPIENT agrees City shall not be liable under any circumstances or any interpretations hereof for any amount under this Agreement until the Grant Funds are received from HUD and available and appropriated for funding this Agreement, and SUBRECIPIENT understands and agrees that the total maximum subaward that SUBRECIPIENT may become entitled to hereunder, and the total maximum sum that the City shall become liable to pay to SUBRECIPIENT hereunder, shall not under any conditions, circumstances, or interpretations exceed such sum. SUBRECIPIENT
non-appropriation of the funds will be to terminate this Agreement as permitted by and in accordance with Article X. [NOTE for street
outreach/emergency shelter services cannot be used to replace local funds for street outreach and emergency shelter services during the immediately preceding 12-month period, except with a HUD determination that City has a severe financial deficit.] B) It shall be the obligation of SUBRECIPIENT to ensure that sufficient funds have been allocated to pay for the Services. Should SUBRECIPIENT receive any Grant Funds from the City that are determined not to be subject to or eligible for payment with Grant Funds, SUBRECIPIENT shall refund to the City any and all such amounts that have been paid by the City. SUBRECIPIENT also understands and agrees that this Agreement is contingent upon SUBRECIPIENTeligibility to receive funds under all applicable federal statutes and regulations, including, without limitation, all ESG Requirements, and SUBRECIPIENT hereby represents and warrants that it is eligible to receive funds under the Federal Grant Regulations and all other applicable federal statutes and regulations.

C) In the event the Grant Funds are unavailable, discontinued, or reduced during the Term of this Agreement, the City shall not be liable for payment of any funds above the actual amount of Grant Funds allocated and received by the City and appropriated for the purpose of funding this Agreement. In the event the Grant Funds are unavailable, discontinued, or reduced, the SUBRECIPIENTsole and exclusive remedy shall be to terminate this Agreement, and City shall not be deemed in default or breach of this Agreement.

D) In the event of termination due to non-appropriation or recapture of funds by HUD, City shall not be considered in default or breach of this Agreement.

E) SUBRECIPIENT expressly agrees that it shall not be entitled to damages or remedies of any kind, including, without limitation, damages for work performed, any liquidated or incidental damages, late fees, penalties, or finance charges.

F) In order to be eligible for payments under the Subaward, SUBRECIPIENT agrees to comply with and, to the extent required under applicable law, cause compliance by all Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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other subrecipients, contractors, and subcontractors, with all of the applicable terms and requirements mandated under federal law, including without limitation under the ESG Requirements and the Uniform Administrative Requirements, Cost Principles, and Audit Requirements For Federal Awards (2 C.F.R. Part 200) (collectively with the requirements of Exhibits B and C attached hereto, the Federal Grant Regulations). SUBRECIPIENT further agrees to reimburse the City, within thirty (30) days after written notice, for any Grant Funds received from the City under this Agreement that are determined to be ineligible under the Federal Grant Regulations.

G) SUBRECIPIENT understands and agrees that it shall not proceed with any Services until it receives written authorization from the City to begin. If at any time during the term of this Agreement, SUBRECIPIENT knows or reasonably should know that the funds available will not cover the cost of the Services, SUBRECIPIENT must promptly notify the City of same.

VIII. PUBLIC RECORDS ACT
A) The Parties expressly acknowledge that this Agreement is subject to open government laws, including the California Public Records Act (Gov. Code §§ 7920.000, et. seq.).

SUBRECIPIENT expressly understands and agrees that the City shall release any and all information necessary to comply with California law without the prior written consent of SUBRECIPIENT. It is further understood that the City and its officers, officials, managers, directors, and employees shall have no liability or obligations to SUBRECIPIENT for the disclosure to the public, or to any person or persons, of any materials or information, or a part thereof, released in accordance with the requirements of applicable law.

IX. TERMINATION
A) Termination for Convenience. In the event City receives notice at any time from HUD or any other applicable federal or state agency that repayment of all or any portion of the Grant Funds is required, the City may terminate this Agreement for convenience, in whole or in part, by giving written notice to the SUBRECIPIENT of such termination, and Notice of Termination
the convenience of the City, the City shall subject at all times to Article VIII, and consistent with all applicable law provide disbursements of the Subaward then due and payable, including any disbursements for Services performed, subject to the reasonable satisfaction of the City, prior to the Notice of Termination for which SUBRECIPIENT has submitted reimbursement requests (properly supported by documentation requested by the City) prior to the effective date of termination. This Agreement shall terminate on the date provided in such Notice of Termination, which shall be no less than ninety (90) days after the date of such Notice of Termination.

B) Termination for Cause. If SUBRECIPIENT fails to materially perform pursuant to the terms of this Agreement, the City may elect to provide written notice to SUBRECIPIENT Notice of Default City elects to provide such Notice of Default and SUBRECIPIENT does not cure such default within the time required by the City, which shall be no less than thirty (30) days after the date of such Notice of Default, the City may terminate this Agreement for cause by providing notice to SUBRECIPIENT Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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Notice of Termination for Cause
the termination is for cause, SUBRECIPIENT shall subject at all times to Article VIII receive disbursements for that portion of the work or materials provided (properly supported by documentation requested by the City) that have been fully and adequately completed and accepted by the City as of the termination date the City provides in the Notice of Termination for Cause. In such case, the City shall have the right to take whatever steps it deems necessary to complete the Project and correct SUBRECIPIENT deficiencies and charge the full costs of the Ci (s), including, without limitation, reasonable overhead, profit, s, to SUBRECIPIENT.

In addition, SUBRECIPIENT shall be deemed to be in default of this Agreement upon

SUBRECIPIENT
receiver, trustee or liquidator for all or a substantial portion of its assets, (ii) making a general assignment for the benefit of creditors, (iii) being adjudged bankrupt, (iv) filing a voluntary petition or suffering an involuntary petition under any bankruptcy, arrangement, reorganization or insolvency law (unless in the case of an involuntary petition, the same is dismissed within thirty (30) days of such filing), or (v) suffering or permitting to continue unstayed and in effect for fifteen (15) consecutive days any attachment, levy, execution, or seizure of all or a substantial portion of SUBRECIPIENT .

C) Reversion of Assets. The disposition of any and all property, including, without limitation, real property, equipment, and intangible property, must be in compliance with the requirements of 2 C.F.R. §§200.311.316. If, at the time of the expiration or termination of this Agreement, there is under the control of SUBRECIPIENT any Subaward funds or accounts receivable attributable to the Subaward funds, then SUBRECIPIENT must immediately transfer such funds or accounts to City. If, at the time of the expiration or termination of this Agreement, there is under the control of SUBRECIPIENT any property, real or otherwise, that was acquired or improved in whole or in part with Subaward funds in excess of Twenty-Five Thousand Dollars ($25,000), then SUBRECIPIENT must immediately pay to City an amount equal to the current market value of such property, less any portion of the value attributable to expenditures of non-federal funds for the acquisition of, or improvement to, such property.

D) Reimbursement; Remedies. The City shall be entitled to reimbursement for any compensation paid in excess of work rendered or materials provided and shall be entitled to withhold disbursements for defective work or damages caused by SUBRECIPIENT performance of the work.

E) In the event the City determines that SUBRECIPIENT is noncompliant with any of the terms of this Agreement, City, in addition to any other rights or remedies under this Agreement, at law, or in equity, may elect to take any or all of the following actions as prescribed for HUD in 24 C.F.R. §§576.501(a)-(b):
i) Require SUBRECIPIENT to submit and comply with proposals for action to correct, mitigate, and prevent noncompliance with ESG Requirements, which may include:

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a. Preparing and following a schedule of actions for carrying out affected Services, including schedules, timetables, and milestones necessary to implement the affected Services;
b. Establishing and following a management plan that assigns responsibilities for carrying out the remedial actions; c. Canceling or revising Services likely to be affected by the noncompliance, before expending Subaward funds for such Services;
d. Reprogramming Subaward funds that have not yet been expended from affected Services to other eligible activities;
e. Suspending disbursement of Subaward funds for some or all Services;
f. Reducing or terminating the remaining Subaward and reallocating funds to other subrecipients; and
g. Requiring SUBRECIPIENT make matching contributions before or as draws are made from the Subaward.
ii) If Subaward is not already to be made on a reimbursement basis, change the payment method to such basis.
iii) Suspend payments to the extent City deems it necessary to preclude the further expenditure of funds for affected Services.
iv) Remove SUBRECIPIENT from participation in any reallocations of federal funds.
v) Deny matching credit for all or part of the cost of the affected Services and require the SUBRECIPIENT to make further matching contributions to make up for the contribution determined to be ineligible.
vi) Require SUBRECIPIENT reimburse any line of credit in an amount equal to the funds used for the affected Services.
vii) Make additional conditions for any future awards from the City to the SUBRECIPIENT.

In accordance with 2 C.F.R. §200.339, in addition to any remedies for a default under this Agreement as provided herein, at law, or in equity, City may elect to pursue any or all of the following:
i) Repayment from SUBRECIPIENT to City of any amount which the State or Federal government determines to have been misused or are subject to repayment;
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ii) Modify any plans, budget, compensation terms, schedules, manner of providing services or other activities in connection with this Agreement, or take other actions directed or recommended by the State or Federal government; iii) Elect to have SUBRECIPIENT re-perform or cause to be re-performed, at

SUBRECIPIENT
requirements of this Agreement;
iv) In the case of goods, reject the goods and require SUBRECIPIENT to provide replacement goods that meet the needs of City and the terms of this Agreement; and
v) Hire another contractor, subcontractor, or vendor to perform the work and deduct any additional costs incurred by City as a result of substituting contractors, subcontractors, or vendors from any amounts due to SUBRECIPIENT.

F) Ownership of Documents. Information, programs, software, firmware, designs, hardware, documentation, data, source code, and any literary works and other works of authorship created under or in connection with Documents
be delivered to the City when this Agreement expires or is terminated. SUBRECIPIENT acknowledges and agrees it has no ownership in the Documents, and such Documents are owned by the City.

G) Additional Termination Provisions. Upon receipt of a Notice of Termination or a Notice of Termination for Cause specifying the extent of the termination, the effective date of the termination, regardless of whether the termination is for cause or for convenience, SUBRECIPIENT shall promptly discontinue the Services unless such notice directs SUBRECIPIENT to the contrary. SUBRECIPIENT shall deliver and transfer title to the City for all Documents and provided materials and completed work, and work in progress, including, without limitation, drafts, documents, plans, forms, maps, products, graphics, computer programs, software, hardware, and reports created under or in connection with this Agreement. The rights and remedies provided in this article are in addition to any other rights and remedies provided under this Agreement, at law, or in equity, including, without limitation, the right to specific performance. SUBRECIPIENT acknowledges the Ci right to terminate this Agreement with or without cause as provided in this article and hereby waives any and all claims for any damages, including, without limitation, special, indirect, punitive, incidental, exemplary, or consequential damages, losses, or lost profits, that might arise from the Cityof terminating this Agreement. City shall not be liable for any costs other than the charges or portions thereof that are authorized by this Agreement. If City terminates this Agreement for cause, and it is later determined that the termination for cause was wrongful, the termination shall automatically be converted to and treated as a termination for convenience. In such event, SUBRECIPIENT shall be entitled to receive only the amounts payable under this article, and SUBRECIPIENT specifically waives any claim for any other amounts or damages, including, without limitation, special, indirect, punitive, incidental, exemplary, or consequential damages, losses, or lost profits, arising from the Ci
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H) Confidential Information. Subject at all times to all record keeping and other obligations set forth herein, within thirty (30) days following written request following termination of this Agreement, each Party must return or destroy all confidential information marked as such of the other Parties in its possession and must not make or retain any copies of such confidential information except as provided for under this Agreement or as required to comply with any applicable legal or accounting record keeping requirements.

X. NOTICE
A) Any notice required to be given under the provisions of this Agreement shall be in writing and shall be duly served when it shall have been delivered in person or deposited, enclosed in a wrapper with the proper postage prepaid thereon, and duly registered or certified, return receipt requested, in a United States Post Office, addressed to the Parties at the following addresses. If mailed, any notice or communication shall be deemed to be received three (3) days after the date of deposit in the United States Mail. Unless otherwise provided in this Agreement, all notices shall be delivered to the following addresses, with a courtesy copy provided to the other Parties by email at address(es) provided below:

To City: City of San Bernardino
290 North D Street
San Bernardino, CA 92401
Attn: Community Development and Housing Department

To SUBRECIPIENT: The Salvation Army
925 W. 10 th Street
San Bernardino, CA 92411
Attn: Program Director - Emergency Shelter &
Homelessness Services

Any Party may designate a different address by giving the other Parties ten (10) days written notice.

XI. INDEMNIFICATION

THE PROVISIONS OF THIS ARTICLE SHALL SURVIVE THE TERMINATION OF

THIS AGREEMENT, HOWEVER CAUSED, AND NO PAYMENT, PARTIAL

PAYMENT, OR ISSUANCE OF EITHER A CERTIFICATE OF SUBSTANTIAL

COMPLETION OR FINAL ACCEPTANCE IN WHOLE OR IN PART SHALL WAIVE OR RELEASE ANY OF THE PROVISIONS OF THIS ARTICLE.

TO THE EXTENT NOT OTHERWISE PROHIBITED UNDER THE LAWS OF THE

STATE OF CALIFORNIA, SUBRECIPIENT INDEMNIFYING PARTY SHALL

INDEMNIFY, DEFEND (WITH COUNSEL REASONABLY ACCEPTABLE TO

CITY), RELEASE, AND HOLD HARMLESS THE CITY AND ITS OFFICERS,

OFFICIALS, DIRECTORS, MANAGERS, EMPLOYEES, AGENTS,

REPRESENTATIVES, SUCCESSORS, AND ASSIGNS INDEMNIFIED PARTIES

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JUDGMENT, SUIT, CAUSE OF ACTION, DEMAND, OR OTHER DAMAGES (

COURT COSTS THAT MAY BE INCURRED BY THE CITY IN LITIGATION OR

OTHERWISE RESISTING SAID CLAIMS OR LIABILITIES THAT MIGHT BE

IMPOSED ON THE INDEMNIFIED PARTY AS THE RESULT OF SUCH

ACTIVITIES BY THE INDEMNIFYING PARTY OR ANOTHER ENTITY OVER

WHICH THE INDEMNIFYING PARTY EXERCISES CONTROL OR FOR WHOSE

ACTS INDEMNIFYING PARTY MAY BE LIABLE) OF ANY KIND OR

CHARACTER WHATSOEVER THAT MAY BE ASSERTED OR ACCRUE

AGAINST AN INDEMNIFIED PARTY DUE TO, ARISING OUT OF, OR IN CONNECTION WITH ANY INTENTIONAL TORT; PERSONAL INJURY, DEATH, OR DAMAGE TO PROPERTY; INTELLECTUAL PROPERTY INFRINGEMENT; FAILURE TO PAY A LABORER, SUPPLIER, OR ANY OTHER PARTY;

BANKRUPTCY, STATE OR FEDERAL TAX LEVIES OR LIENS, OR OTHER

SIMILAR LEGAL PROCEEDINGS AFFECTING THE INDEMNIFYING PARTY, IN WHICH THE INDEMNIFIED PARTIES MAY BECOME IN ANY WAY INVOLVED;

OR ANY OTHER ACT, ERROR, OR OMISSION COMMITTED BY THE

INDEMNIFYING PARTY OR ANOTHER ENTITY OVER WHICH THE

INDEMNIFYING PARTY EXERCISES CONTROL OR FOR WHOSE ACTS

INDEMNIFYING PARTY MAY BE LIABLE, RELATING TO THE SERVICES OR

THIS AGREEMENT, AND WHICH DOES NOT RESULT FROM THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF AN INDEMNIFIED PARTY.

CITY WILL PROVIDE THE INDEMNIFYING PARTY PROMPT, WRITTEN NOTICE

OF ANY SUCH CLAIM OR SUIT AND SHALL REASONABLY COOPERATE WITH

THE INDEMNIFYING PARTY IN ITS DEFENSE OR SETTLEMENT OF SUCH CLAIM OR SUIT.

IF A RESTRAINING ORDER OR TEMPORARY INJUNCTION IS GRANTED DUE

TO ANY ACT, ERROR, OR OMISSION OF THE INDEMNIFYING PARTY OR

ANOTHER ENTITY OVER WHICH THE INDEMNIFYING PARTY EXERCISES

CONTROL, THE INDEMNIFYING PARTY SHALL MAKE EVERY EFFORT,

INCLUDING, BUT NOT LIMITED TO, SECURING A BOND IN ACCORDANCE

WITH APPLICABLE LAW AND SATISFACTORY TO THE CITY TO OBTAIN THE

SUSPENSION OF ANY SUCH RESTRAINING ORDER OR TEMPORARY
INJUNCTION.

CITY RESERVES THE RIGHT TO BE INDEPENDENTLY REPRESENTED BY

COUNSEL OF ITS OWN CHOICE IN CONNECTION WITH ANY SUCH SUIT OR PROCEEDING.

XII. COMPLIANCE AND STANDARDS
A) Confidential Information. The Parties agree to keep confidential the contents of all confidential discussions among the Parties. Except where disclosure is required by law, the Parties agree to keep confidential the contents of all confidential records disclosed by the disclosing Party and other information identified by the disclosing Party as confidential Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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or deemed confidential by applicable federal, state, or local law and obtained during the performance of Services under this Agreement. Except for contractors, subcontractors, suppliers, and vendors who have a need to know in order to perform their respective scope of work in support of this Agreement and who are subjected to similar confidentiality obligations as those set forth herein, the Parties shall not release any confidential information unless the disclosing Party, in writing, authorizes such release of specific, confidential information to any third parties.

The Parties shall not access any information they are not authorized to receive, whether such authorization comes through this Agreement or otherwise. SUBRECIPIENT must not copy, recreate, or use any proprietary information or proprietary documents obtained from the City in connection with this Agreement other than for the performance of this Agreement.

SUBRECIPIENT must not divulge or otherwise make use of the trade secrets or confidential information, procedures, or policies of any former employer, client, or customer in the performance of this Agreement, nor shall SUBRECIPIENT copy, recreate, or use any proprietary information of any third party in the performance of Services under this Agreement except to the extent authorized by such third parties.

B) No Breach or Default. SUBRECIPIENT is not in breach of any other contract, obligation or covenant that would affect SUBRECIPIENT ability to perform under this Agreement and, as a result of entering into this Agreement, will not breach any such contract, obligation, or covenant.

C) Conflict of Interest. SUBRECIPIENT must comply with the conflicts of interest requirements of 24 C.F.R. §576.404 with respect to the use of the Subaward to procure services, equipment, supplies, or other property, which provides that no person who is an employee, agent, consultant, officer, or elected or appointed official of SUBRECIPIENT and who exercises or has exercised any functions or responsibilities with respect to assisted activities, or who is in a position to participate in a decision making process or gain inside information with regard to such activities, may obtain a personal or financial interest or benefit from the activity, or have an interest in any contract, subcontract, or agreement with respect thereto, or the proceeds thereunder, either for himself or herself, or for those with who he or she has family or business ties, during his or her tenure or for one (1) year thereafter. SUBRECIPIENT must also establish and maintain written standards of conduct covering organizational conflicts of interest required under 2 C.F.R. §200.318. All contractors of the SUBRECIPIENT must comply with the same requirements that apply to SUBRECIPIENT under this subsection.

SUBRECIPIENT has not nor shall it knowingly acquire any interest that would conflict in any manner with the performance of its obligations under this Agreement. Furthermore, no company or person, other than a bona fide employee, has been employed to solicit or secure this Agreement with the City, and SUBRECIPIENT has not paid or agreed to pay any company or person, other than a bona fide employee, any fee, commission, percentage, brokerage fee, gift, or any other consideration, contingent upon or resulting from the award or making of this Agreement. For breach or violation of this provision, the City shall have Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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the right to terminate this Agreement without liability and,discretion, to deduct from the Subaward or otherwise recover the full amount of such fee, percentage, brokerage fee, gift, or other consideration.

D) Lobbying. SUBRECIPIENT shall not use funds received under this Agreement to directly or indirectly pay any person for influencing or attempting to influence any public employee or official in connection with the awarding of any contract or the extension, continuation, renewal, amendment, or modification of any contract. Pursuant to 31 U.S.C. § 1352 (2003), if at any time during the Term of this Agreement funding to SUBRECIPIENT exceeds $100,000.00, SUBRECIPIENT shall file with the City the Federal Standard Form

E) Affiliated Entities. SUBRECIPIENT shall not enter into any subcontract, contract Arrangement all
or any portion of the Services or other labor or materials in connection with the Project with any party or entity if such party or entity is an Affiliated Entity (as defined below) of SUBRECIPIENT unless approval of such Arrangement has been granted by City, after full disclosure in writing by SUBRECIPIENT to City of such affiliation or relationship and all Affiliated Entities
concerns or individuals if, directly or indirectly
i) Either one controls or can control the other party; or ii) A third-party controls or can control both.

Any holder of more than ten percent (10%) of the issued and outstanding shares of another entity shall be deemed to have a controlling interest in said entity.

F) No Federal Exclusion.
i) Neither SUBRECIPIENT nor any of its employees is Ineligible Person Ineligible Person
a) is currently excluded, debarred, suspended, or otherwise ineligible to participate in any federal and/or state grant, health care program, or in federal and/or state procurement or non-procurement programs. This includes but is not limited to persons who are on the List of Excluded Individuals or Entities of the Inspector General, List of Parties excluded from Federal Programs by the General Services Administration or the Medicaid Sanction List; or,
b) has been convicted of a criminal offense related to the provision of health care items or services [within the rules and regulations of 42 USC §1320a-7(a)], but has not yet been excluded, debarred, suspended, or otherwise declared ineligible.
ii) SUBRECIPIENT agrees to promptly report to the City if it becomes an Term of this Agreement, or to cease assigning
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Term of this Agreement.
iii) SUBRECIPIENT is not debarred, suspended, or otherwise excluded from or ineligible for participation in any Federal programs, including but not limited to the following: Department of Health and Human Services (DHHS), Office of Inspector General (OIG) List of Excluded Individuals & Entities (LEIE); U.S. General Services Administration (GSA) Excluded Parties List System (EPLS); All States (50) Health & Human Services Commission Medicaid OIG Sanction List; Government Terrorist Watch List (OFAC/Patriot Act); Department of Commerce, Bureau of Industry and Security, Denied Persons List; and Department of Homeland Security, Immigration and Customs Enforcement (ICE) Most Wanted.

SUBRECIPIENT must immediately notify the City of any such exclusion or suspension. SUBRECIPIENT is in good standing with all State and Federal agencies that have a contracting or regulatory relationship with the City. No person who has an ownership or controlling interest in SUBRECIPIENTs business or who is an agent, principal, or managing employee of SUBRECIPIENT has been convicted of a criminal offense related to involvement in any federal program.

G) Whistleblower Protection Act. SUBRECIPIENT understands and agrees that this Agreement and its employees working on this Agreement will be subject to the whistleblower rights and remedies in the pilot program on contractor employee whistleblower protections established at 41 U.S.C. § 4712 by section 828 of the National Defense Authorization Act for Fiscal Year 2013 (Pub. L. 112-239). SUBRECIPIENT shall inform its employees in writing, in the predominant language of the workforce, of employee whistleblower rights and protections under 41 U.S.C. § 4712. SUBRECIPIENT Whistleblower Protection Actcontracts
and subcontracts entered into in connection with this Agreement.

H) Interested Parties. Prior to execution of the Agreement, SUBRECIPIENT shall, as an update, complete ]
The information on the form must be complete and accurate.

I) Compliance with Federal Requirements. SUBRECIPIENT acknowledges and agrees it is a subrecipient (as defined in 24 C.F.R. § ) of the City and must comply with the applicable requirements of the Federal Grant Regulations, including, without limitation, 2 C.F.R. §§ 200.330200.331.

SUBRECIPIENT agrees to comply with all applicable federal law, regulations, executive orders, policies, procedures, and directives, as well as state and local laws, regulations, and policies governing the funds provided under this Agreement. With respect to any conflict between such federal requirements and the terms of the Agreement and the provisions of state or local law, the strictest requirement shall control except as otherwise required under federal law or regulation. Violations of law will be referred to the proper authority in the Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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applicable jurisdiction. SUBRECIPIENT further agrees to utilize funds available under this Agreement to supplement rather than supplant funds otherwise available.

Contracts and subcontracts entered into by SUBRECIPIENT in connection with this Agreement shall comply with all applicable federal laws, regulations, executive orders, policies, procedures, and directives.
i) Fund payments are considered to be federal financial assistance subject to the Single Audit Act, codified at 31 U.S.C. §§ 75017507.
ii) SUBRECIPIENT is subject to a single audit or program specific audit under 2 C.F.R. §200.501(a) when SUBRECIPIENT spends $1,000,000 or more in federal awards during the fiscal year, and SUBRECIPIENT must arrange for an independent financial and compliance audit annually for each such fiscal year and submit the results to City within thirty (30) days of completion. iii) Fund payments are subject to 2 C.F.R. § 200.303 regarding internal controls. iv) Fund payments are subject to 2 C.F.R. §§ 200.331200.333 regarding subrecipient monitoring and management.
v) Fund payments are subject to Subpart F of the Uniform Guidance regarding audit requirements.

Subawards, if any, shall contain a provision making them subject to all of the provisions stipulated in this Agreement, including but not limited to 2 C.F.R. §§ 200.303, 200.331 200.333, and 200.501(a) and 2 C.F.R. Part 200, Subpart F.

J) Administrative Costs. SUBRECIPIENT may not use funds for administering the program, including costs of consultants to support effective management and oversight, including consultation for ensuring compliance with legal, regulatory, and other requirements.

K) Program IncomeProgram Income means, as defined under 2 C.F.R. Part 200 and in accordance with 2 C.F.R. §200.307, the gross income received by the SUBRECIPIENT (including any amount of a security or utility deposit returned to the SUBRECIPIENT) that is generated by the use of the Subaward. Costs paid by Program Income may count toward the matching requirements in accordance with 24 C.F.R. §576.407(c)(1), provided the costs are eligible costs under the Federal Grant Regulations. Program Income funds action plan.

SUBRECIPIENT agrees to calculate, document, and record all Program Income.

SUBRECIPIENT also agrees to implement written policies that explicitly identify appropriate allocation methods, accounting standards and principles, compliance monitoring checks for program income calculations, and records.

L) Cost Principles. Costs incurred, whether charged on a direct or an indirect basis, must be in conformance with 2 C.F.R. Part 200, Subpart E.

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M) Reporting Obligations. SUBRECIPIENT must submit regular annual progress and financial reports through HMIS on or before the 15th day of August, in form and substance satisfactory to City, containing, at a minimum, the information required under 24 C.F.R. §576.500 and 2 C.F.R. §§200.328-.330, in compliance with all Federal Grant Regulations.

N) No Obligation by Federal Government. None of the Federal government, HUD, and any other federal agency or pass-through entity providing financial assistance are a party to this Agreement or any transaction between a subrecipient and a contractor or subcontractor. The Federal government or any other federal agency or pass-through entity providing financial assistance are not subject to any obligations or liable to any party for any matter relating to this Agreement.

O) Program Fraud & False or Fraudulent Statements or Related Acts. Recipients, subrecipients, and contractors must comply with 31 U.S.C. Chapter 38, Administrative Remedies for False Claims and Statements, which shall apply to the activities and actions of recipients, subrecipients, contractors, and subcontractors pertaining to any matter resulting from a contract.

P) Fraud, Waste, and Abuse Reporting. SUBRECIPIENT must promptly report to the City in accordance with all the Notice provisions contained in this Agreement of all suspected or known instances and facts concerning fraud, waste, abuse, or criminal activity under this Agreement.

Q) Displacement and Relocation. SUBRECIPIENT must take all reasonable steps to minimize the displacement of persons (families, individuals, businesses, nonprofit organizations, and farms) as a result of the Services [or the Project]. If the Services [or Project] will result in the displacement of persons, SUBRECIPIENT must comply with the requirements of24 C.F.R. §576.408 and the Uniform Relocation Assistance and Real Property Acquisitions Act of 1970 (42 U.S.C. §§ 4601-4655) and implementing regulations at 49 C.F.R. Part 24. Temporary relocation as a result of the Services [or the Project] is not permitted, and any relocation should be treated as a permanently displacement.

XIII. ADMINISTRATIVE REQUIREMENTS
A) Direct and Indirect Costs. SUBRECIPIENT may use funds provided under the Subaward to cover both direct costs and indirect costs in accordance with 24 C.F.R. §576.109.

B) Financial Management. SUBRECIPIENT agrees to comply with and adhere to any accounting principles and procedures required by federal law, as well as utilize adequate internal controls relating to performance of this Agreement. SUBRECIPIENT accounting systems to record expenditures must be established and maintained in accordance with generally accepted, sound accounting standards.

C) Universal Identifier and System for Award Management. SUBRECIPIENT must comply with the requirements of 2 C.F.R. Part 25 (Universal Identifier and System for Award Management (SAM)). The SUBRECIPIENT must have an active registration in SAM in accordance with 2 C.F.R. Part 25, Appendix A, and must have a Unique Entity Identifier.

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The SUBRECIPIENT must also comply with provisions of the Federal Funding Accountability and Transparency Act, which includes requirements on executive compensation, and 2 C.F.R. Part 170 (Reporting and Subaward and Executive Compensation Information).

D) Procurement and Contractor Oversight. SUBRECIPIENT acknowledges that it is a subrecipient, as defined in federal law, of the City and is obligated to comply with all applicable federal requirements, including the procurement standards in 2 C.F.R. §§ 200.317200.327, in the procurement of its contractors performing the Services on the Project under this Agreement and to include all applicable federal requirements in its contracts with such contractors. SUBRECIPIENT must maintain oversight of all activities under this Agreement and shall ensure that for any procured contracts their respective contractors perform according to the terms and conditions of the procured contracts and the terms and conditions of this Agreement.

E) Audits, Documentation & Recordkeeping/Record Retention. SUBRECIPIENT must establish a written policy for recordkeeping (including for confidential information as described in 24 C.F.R. §576.500(x)) and maintain records sufficient to enable the City to (1) determine whether the SUBRECIPIENT has complied with this Agreement, applicable Federal statutes and regulations, and the award terms and conditions and (2) satisfy recordkeeping requirements established by City and applicable regulations and guidance issued by HUD as prescribed for City.
i) The City, any federal or state agency (including without limitation any federal Inspectors General), the Comptroller General of the United States, or any of their authorized representatives Auditor, shall have the right of access to any facilities and to any records, documents, financial statements, papers, or other records of the SUBRECIPIENT in order to make audits, examinations, excerpts, and transcripts related to this Agreement.

SUBRECIPIENT must cooperate with such examinations, studies, and audits and provide the Auditor with such documents, including, without limitation, SUBRECIPIENTbackup and support data related to any work, materials, and billings under this Agreement. The Auditor may perform such examinations, studies, and audits before or after payment. The right of access of Auditor also includes timely and reasonable access to the SUBRECIPIENTpersonnel for the purpose of interview and discussion related to such documents. All payments made by City are subject to re-evaluation and refund or withholding of future payments conditioned on the results of the audit. SUBRECIPIENT agrees that in the event its performance under this Agreement is subjected to audit exceptions by appropriate federal audit agencies, SUBRECIPIENT shall be responsible for complying with such exceptions and paying City the full exceptions.
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applicable provisions governing access to records, accounts, documents, information, and facilities.
iii) To the extent required by and in accordance with 2 C.F.R. Part 200 and any applicable guidance from HUD, recipients, subrecipients (including SUBRECIPIENT), contractors, subcontractors, successors, transferees, and assignees must retain sufficient records, which may include, but are not limited to, financial records, supporting documents, statistical records, and all other records pertinent to the Agreement. Subject to and in accordance with the requirements set forth and in accordance with 2 C.F.R. Part 200 (including particularly 2 C.F.R. Part 200, Subpart D) and any applicable guidance from HUD, provided in the event of litigation, claim, or audit, the records must be retained until all litigation, claims, and audit findings involving the records have been fully resolved, records shall be maintained by SUBRECIPIENT as required under 24 C.F.R. §576.500(y) for the greater of (i) five (5) years or (ii) the following:
a. Documentation of each program participants qualification as a family or individual at risk of homelessness or as a homeless family or individual and other program participant records must be retained for five (5) years after the expenditure of all funds from the grant under which the program participant was served;
b. Where Subaward funds are used to rehabilitate or convert a building into an emergency shelter and the costs charged to the Subaward for the rehabilitation or conversion exceed seventy-five percent (75%) of the value of the building before rehabilitation or after conversion, records must be retained until ten (10) years after the date that Subaward funds are first obligated for the rehabilitation or conversion.
iv) This Section XI(F) shall survive termination of this Agreement.

F) Personally Identifiable Information. SUBRECIPIENT must take reasonable measures to safeguard protected personally identifiable information, and other information the City designates as sensitive consistent with applicable Federal, state, local, and tribal laws regarding privacy and obligations of confidentiality. For purposes of this provision, the definition for personally identifiable information found at 2 C.F.R. § 200.1 is incorporated herein.

G) Monitoring & Compliance. To the extent required and in accordance with 2 C.F.R. Part 200, City shall have the right to monitor the activities of SUBRECIPIENT as necessary and in accordance with applicable regulations on subrecipient monitoring and management (2 C.F.R. §§ 200.331200.333) to ensure SUBRECIPIENT and the Project are in compliance with all the requirements of this Agreement, including the timeframes and performance goals associated with the Activities. In the event the City has reasonable grounds to question the fiscal accountability, financial soundness, or compliance of SUBRECIPIENT or the Project with this Agreement, the City may suspend performance Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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of this Agreement, SUBRECIPIENT of same, for the longer of (i) a period of sixty (60) days after City provides such notice to SUBRECIPIENT or (ii) pending resolution of an audit or other investigation as determined by City.

Substandard performance as determined by the City will constitute noncompliance with this Agreement. If action to correct such substandard performance is not taken by SUBRECIPIENT within seven (7) days after being notified by the City, the City may impose additional conditions on SUBRECIPIENT and its use of funds (per 2 C.F.R. § 200.208), suspend or terminate this Agreement, or initiate other remedies for noncompliance. Monitoring of SUBRECIPIENT shall include:
i) Reviewing financial and performance reports as required by the City. ii) Following-up and ensuring that SUBRECIPIENT takes timely and appropriate action on all deficiencies pertaining to this Agreement detected through audits, on-site reviews, and other means.

Depending upon Ci assessment of the risk posed by SUBRECIPIENT based upon the requirements of 2 C.F.R. Part 200 and/or applicable guidance from HUD, the following monitoring tools may be used by City to ensure proper accountability and compliance with program requirements and achievement of performance goals that are set forth in this Agreement:
i) Providing SUBRECIPIENT with training and technical assistance on program-related matters; and
ii) Performing on-site reviews of SUBRECIPIENT program operations.

H) Closeout. SUBRECIPIENT must comply with all applicable requirements for closeout under 2 C.F.R. §200.344, including timely submission of all reports, refunding unobligated funds and funds not authorized for retention, and submission of any required accounting, as well as providing any other information, documentation, or other items requested by the City required for City to comply with closeout procedures. SUBRECIPIENT must submit all required financial, performance, and other reports and liquidate all obligations incurred no later than ninety (90) days after the end of the Term.

XIV. PUBLIC CONTACT
Contact with the news media, citizens of the City, or governmental agencies shall be the responsibility of the City. Under no circumstances shall SUBRECIPIENT release any material or information relating to the performance of the Services without the express written permission of the City.

XV. APPLICABLE LAW AND VENUE
A) The Agreement is subject to all applicable state and federal laws, orders, rules, and regulations.

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B) This Agreement is governed by the laws of the State of California, unless federal law controls as to the issue.

C) The forum for any action under or related to the Agreement is exclusively in a state or federal court (if the latter has or can acquire subject matter jurisdiction) located in San Bernardino County, California. Each party irrevocably submits to personal jurisdiction in the state or federal courts of San Bernardino County, California.

D) The exclusive venue for any action under or related to the Agreement is in a state or federal court of competent jurisdiction in San Bernardino County, California, and each party waives any objection based on improper venue or forum non conveniens.

XVI. TAXES AND CHARGES
E) The City is neither liable for any property taxes, charges, or fees assessed against SUBRECIPIENT nor obligated to reimburse SUBRECIPIENT for any taxes, charges, or fees assessed against SUBRECIPIENT for the supplies provided and any Services rendered.

XVII. [RESERVED.]
XVIII. NO PERSONAL LIABILITY; NO WAIVER OF IMMUNITY
A) Nothing in this Agreement shall be construed as creating any personal liability on the part of any officer, official, manager, director, employee, agent, or representative of the City, and SUBRECIPIENT expressly agrees that execution of the Agreement does not create any personal liability on the part of any officer, official, manager, director, employee, agent, or representative of the City.

SUBRECIPIENT makes such release with the full knowledge of Civil Code Section 1542 and hereby waives any and all rights thereunder to the extent of this release. Section 1542 of the Civil Code provides as follows:

A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT

THE CREDITOR OR RELEASING PARTY DOES NOT KNOW OR

SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF

EXECUTING THE RELEASE AND THAT, IF KNOWN BY HIM OR

HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER

SETTLEMENT WITH THE DEBTOR OR RELEASED PARTY
__________

SUBRECIPIENT
B) The Parties agree that no provision of this Agreement extends the liability of the City beyond the liability permitted under the laws of the State of California.

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C) Neither the execution of this Agreement nor any other conduct of any Party relating to this Agreement shall be considered a waiver by the City of any right, defense, or immunity under the laws of the State of California.

XIX. INSURANCE REQUIREMENTS
A) SUBRECIPIENT shall, at all times during the term of this Agreement, maintain insurance coverage with not less than the type and requirements prescribed in the Insurance Requirements attached hereto as Exhibit G. Such insurance is to be provided at the sole cost and liability of the SUBRECIPIENT. The Exhibit G insurance requirements as to the types and limits of insurance coverage to be maintained by SUBRECIPIENT, and any approval of said insurance by the City, is not intended to and shall not in any manner limit or qualify the liabilities and obligations otherwise assumed by the SUBRECIPIENT pursuant to this Agreement, including but not limited to, the provisions concerning indemnification.
i) Insurance is to be placed with insurers authorized to conduct business in the [A-VII], unless otherwise
acceptable to the City.
ii) SUBRECIPIENT must furnish the City, prior to the required date of coverage, or at any time afterwards upon the request by the City, true and accurate copies of all certificate(s) of insurance, with original certificates and endorsements or copies of the applicable policy language effecting coverage required by this section and a copy of the Declarations and Endorsements Pages of the CGL and any Excess policies listing all policy endorsements. iii) SUBRECIPIENT agrees insurance coverage maintained by the City shall apply in excess of and not contribute with SUBRECIPIENTinsurance as required under this section.
iv) The City reserves the right to modify these insurance requirements, including coverage amounts, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.
v) SUBRECIPIENT shall require and verify that all contractors and subcontractors maintain insurance meeting all requirements stated herein, and SUBRECIPIENT shall ensure that City is an additional insured on such insurance. For CGL coverage, subcontractors must provide coverage with a form at least as broad as CG 20 38 04 13.

B) Generally, SUBRECIPIENT must maintain, at a minimum, the following insurance requirements. The below standards are for reference as the controlling requirements are listed in Exhibit G.
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with limits no less than $2,000,000 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit.
ii) California, with Statutory
$1,000,000 per accident for bodily injury or disease.
iii) Automobile Liability Coverage: ISO Form Number CA 00 01 covering any auto (Code 1), or if SUBRECIPIENT has no owned autos, hired, (Code 8) and non-owned autos (Code 9), with limit no less than $1,000,000 per accident for bodily injury and property damage.
iv) Public Liability Insurance: Covering all risks incident to or in connection with the execution, performance, attempted performance or nonperformance of this Agreement. The amounts of such insurance shall not be less than: Property Damage, per occurrence: $1,000,000; Bodily Injury or Death, per person:
$1,000,000; Bodily Injury or Death, per occurrence: $3,000,000. v) Proof of insurance with proof of waiver of subrogation and City designated as this Agreement, when
executed, as part of Exhibit G, attached hereto and incorporated herein by reference.

C) In addition to and cumulative with any other remedies City may have if the SUBRECIPIENT fails to provide or maintain any required insurance coverage, City may, at its sole option:
i) Obtain such insurance and deduct and retain the amount of the premium for such insurance from any sums due under this Agreement;
ii) Order the SUBRECIPIENT to stop work under this Agreement and/or withhold any payment(s) which become due to the SUBRECIPIENT hereunder until the SUBRECIPIENT demonstrates compliance with the insurance coverage requirements; or
iii) Terminate this Agreement.

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XX.[RESERVED.]
XXI. WAIVER OF BREACH
Waiver by any Party of a breach or violation of any provision of the Agreement is not a waiver of any subsequent breach.

XXII. SEVERABILITY
If any provision or part of the Agreement or its application to any person, entity, or circumstance is ever held by any court of competent jurisdiction to be invalid for any reason, the remainder of the Agreement and the application of such provision or part of the Agreement to other persons, entities, or circumstances are not affected.

XXIII. SURVIVAL OF TERMS
Any provision of this Agreement that, by its plain meaning, is intended to survive the expiration or earlier termination of this Agreement including, but not limited to the indemnification provisions, shall survive such expiration or earlier termination. If an ambiguity exists as to survival, the provision shall be deemed to survive.

XXIV. CONTRACT CONSTRUCTION
A) This Agreement shall not be construed against or in favor of any Party hereto based upon the fact that the Party did or did not author this Agreement.

B) The headings in this Agreement are for convenience or reference only and shall not control or affect the meaning or construction of this Agreement.

C) When terms are used in the singular or plural, the meaning shall apply to both.

D) When either the male or female gender is used, the meaning shall apply to both.

XXV. SUCCESSORS, ASSIGNS, AND SUBCONTRACTING
A) This Agreement is binding on and inures to the benefit of the Parties and their respective successors and assigns.

B) No Party shall assign, sublet, award, or transfer its interest in this Agreement without written consent of the other Parties.

C) SUBRECIPIENT may not enter into any contract or subcontract in connection with this Agreement without the express written consent of the City.

XXVI. NO THIRD-PARTY BENEFICIARIES
A) The City is not obligated or liable to any party other than SUBRECIPIENT for the performance of this Agreement.

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B) Except as to audit rights, nothing in the Agreement is intended or shall be deemed or construed to create any additional rights or remedies in any third party.

C) Except as to audit rights, nothing contained in the Agreement shall be construed to or operate in any manner whatsoever to increase the rights of any third party, or the duties or responsibilities of the City with respect to any third party.

XXVII. OTHER FEDERAL REQUIREMENTS
A) SUBRECIPIENT agrees not to discriminate against any person or class of persons by reason of sex, color, race, creed, religion, marital status, handicap, ancestry or national origin in its provision of the Services in compliance with 24 C.F.R. §576.407. To the extent this Agreement provides that SUBRECIPIENT offer accommodations or services to the public, such accommodations or services shall be offered to the public on fair and reasonable terms and SUBRECIPIENT must make known that use of any facilities, assistance, and services are available to all on a nondiscriminatory basis in compliance with 24 C.F.R. §576.407(b). SUBRECIPIENT must establish outreach procedures to make known the availability of any facilities, assistance, and services to persons of any particular race, color, religion, sex, age, national origin, familial status, or disability who may qualify for such facilities, assistance, and services. Consistent with Title VI and Executive Order 13166, SUBRECIPIENT must take reasonable steps to ensure meaningful access to programs and activities for limited English proficiency persons.

B) As required under 24 C.F.R. §576.409, SUBRECIPIENT must comply with the Violence VAWA SUBRECIPIENT must ensure each lease to an Eligible Household the VAWA Notice and Certification Forms], in order to comply with the requirements of 24 C.F.R. §5.2005. SUBRECIPIENT must ensure that the [VAWA Notice and Certification Forms] are made available in multiple languages in accordance with Executive Order 13166. Within thirty (30) days of the Effective Date of this Agreement, SUBRECIPIENT must deliver to City a copy of SUBRECIPIENT plan in accordance with 24 C.F.R. §5.2005(e). Pursuant to 24 C.F.R. §576.409(f), denial of admission of otherwise qualified participant(s) to or removal from the emergency shelter on the basis or as a direct result of the fact that the participant is or has been a victim of domestic violence, dating violence, sexual assault, or stalking is prohibited.

C) In addition to other procurement requirements and standards of 2 C.F.R. Part 200, SUBRECIPIENT and its contractors must comply with Section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act. The requirements of Section 6002 include procuring only items designated in guidelines of the EPA
percentage of recovered materials practicable, consistent with maintaining a satisfactory level of competition, where the purchase price of the item exceeds $10,000 or the value of the quantity acquired by the preceding fiscal year exceeded $10,000; procuring solid waste management services in a manner that maximizes energy and resource recovery; and establishing an affirmative procurement program for procurement of recovered materials identified in the EPA guidelines.

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D) SUBRECIPIENT acknowledges the requirements of 24 C.F.R. §5.109 apply to the Services, including, without limitation, requirements regarding disposition and change in use of real property by a faith-based organization.

XXVIII. ENTIRE AGREEMENT; MODIFICATIONS
A) This instrument contains the entire Agreement between the Parties relating to the rights herein granted and obligations herein assumed.

B) Any oral or written representations or modifications concerning this instrument shall not be effective excepting a subsequent written modification signed by the Parties.

XXIX. EXECUTION, MULTIPLE COUNTERPARTS
This Agreement may be executed in several counterparts. Each counterpart is deemed an original. All counterparts together constitute one and the same instrument. Each Party warrants that the undersigned is a duly authorized representative with the power to execute this Agreement.

XXX. REPRESENTATIVE
The and Housing Department, or such
Representative shall represent the City in all matters
pertaining to this Agreement. Whenever a reference is made herein to an action or approval Agreement specifically provides otherwise or the context should otherwise require. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]
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Exhibit A
Federal Award Identification Table and
Scope of Services

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Exhibit B
Award Terms and Conditions
Terms and Conditions

1. General terms and requirements. The Recipient must comply with all applicable federal laws, This agreement, including any attachments and addenda, may only be amended in writing executed by parties to this agreement and any addenda.

2. Administrative requirements. The Recipient must comply with the following requirement(s) if checked below:

The administrative requirements in the HUD General Administrative, National, and 2025, as indicated in the relevant NOFO, apply to this agreement.

The grantee shall comply with requirements established by the Office of Management and Budget (OMB) concerning the Unique Entity Identifier (UEI); the System for Award Management (SAM.gov.); the Federal Funding Accountability and Transparency Act as provided in 2 C.F.R. part 25, Universal Identifier and General Contractor Registration; and 2 C.F.R. part 170, Reporting Subaward and Executive Compensation Information.

3. Applicability of 2 C.F.R. part 200.

The Recipient must comply with the applicable requirements at 2 C.F.R. part 200, as may be amended from time to time. If any previous or future amendments to 2 C.F.R. part 200 replace of the Code of Federal
Regulations, the amended part 200 requirements will govern award activities carried out after

The Recipient must comply with the applicable requirements at 2 C.F.R. part 200. If any previous amendments to 2 C.F.R. part 200 replace or renumber any part 200 section cited in part 200

4. Future budget periods. If the period of performance spans multiple budget periods, subsequent budget periods are subject to the availability of funds, program authority, satisfactory performance, and compliance with the terms and conditions of the Federal award.

5. Indirect Cost Rate. If the Recipient intends to use a negotiated or de minimis rate for indirect costs, the Recipient must submit an Indirect Cost Rate form to HUD, either with its application using HUD- (formula and congressional grants). The submitted form/addendum will be incorporated into and made part of this agreement, provided that the rate information is consistent with the applicable requirements unde
must immediately notify HUD and execute an amendment to this agreement to reflect the change if necessary.

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6. Recipient integrity and performance matters.If the Federal share of this award is more than $500,000 over the period of performance (box 6), the terms and conditions in 2 C.F.R. part 200 Appendix XII apply to this agreement.

7. Recordkeeping and Access to Records. The Recipient hereby agrees to maintain complete and accurate books of account for this award and award activities in such a manner as to permit the preparation of statements and reports in accordance with HUD requirements, and to permit timely and effective audit. The Recipient agrees to furnish HUD such financial and project reports, records, statements, subrecipient data, and documents at such times, in such form, and accompanied by such reporting data as required by HUD. HUD and its duly authorized representative shall have full and free access to all Recipient offices and facilities, and to all books, documents, and records of the Recipient relevant to the administration, receipt, and use of this award and award activities, including the right to audit and make copies. The Recipient agrees to maintain records that identify the source and application of funds, including relevant subrecipient data, in such a manner as to allow HUD to determine that all funds are and have been expended in accordance with program requirements and in a manner consistent with applicable law.

Further, the Recipient hereby acknowledges that HUD is in the process of implementing new grants The Recipient agrees to report on grant performance and financial activities (including vendor and cash disbursement supporting details for the Recipient and its subrecipients) using these new tools new reporting environment. Once implemented, timely reporting in this new environment will be mandatory. HUD reserves the right to exercise all of its available rights and remedies for any noncompliance with these grants management and financial reporting requirements, to include, without limitation, requiring 100% review, suspension of disbursements, and all other legally available remedies, to the furthest extent permitted by law, as amended.

8. Noncompliance. If the Recipient fails to comply with the provisions of this agreement, HUD may take one or more of the actions provided in program statutes, regulations or 2 C.F.R. § 200.339, as applicable. Nothing in this agreement shall limit any remedies otherwise available to HUD in the case of noncompliance by the Recipient. No delay or omissions by HUD in exercising any right or remedy available to it under this agreement shall impair any such right or remedy or constitute a waiver of or acquiescence in any Recipient noncompliance.

9. Termination provisions. Unless superseded by program statutes, regulations or NOFOs, the termination provisions in 2 C.F.R. § 200.340 apply.

10. Build America, Buy America. The Recipient must comply with the requirements of the Build America, Buy America (BABA) Act, 41 U.S.C. § 8301 note, and all applicable rules and notices, as Waiver for FY 2022 and 2023 of Build America, Buy America Provisions as Applied to Recipients infrastructure projects HUD has obligated funds for after the effective dates, unless excepted by a waiver.

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Allegations of fraud, waste, and abuse related to HUD programs can be reported to the HUD OIG hotline via phone at 1-800-347-3735 or online hotline form. The Recipient must comply with 41 U.S.C. § 4712, which includes informing employees in writing of their rights and remedies, in the predominant native language of the workforce. Under 41 U.S.C. § 4712, employees of a government contractor, subcontractor, recipient, and subrecipientas well as a personal services contractorwho make a protected disclosure about a Federal award or contract cannot be discharged, demoted, or otherwise discriminated against if they reasonably believe the information they disclose is evidence of (1) gross mismanagement of a Federal contract or award; (2) waste of Federal funds; (3) abuse of authority relating to a Federal contract or award; (4) substantial and specific danger to public health and safety; or (5) violations of law, rule, or regulation related to a Federal contract or award.

12. Third-Party Claims. Nothing in this agreement shall be construed as creating or justifying any claim against the federal government or the Recipient by any third party.

13. Rule of Construction and No Construction Against Drafter. Notwithstanding anything contained in this agreement, the terms and conditions hereof are to be construed to have full and expansive effect in both interpretation and application, and the parties agree that the principle of interpretation that holds that ambiguities in terms or conditions are construed against the drafter shall not apply in interpreting this agreement.

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Exhibit C

FEDERAL REQUIREMENTS FOR SUBRECIPIENTS
Subaward Information (2 CFR 200.332).

1. Subrecipient Name The Salvation Army
[ ]

3. Federal Award Identification Number
(FAIN)
E25MC060539

4. Federal Award Date September 24, 2025

5. Subaward Period of Performance: Start
Date and End Date
Start Date: August 1, 2025 End Date: June
30, 2026

6. Subaward Budget Period Start Date and
End Date
Start Date: August 1, 2025 End Date: June
30, 2026

7. Amount of Federal Funds Obligated to the
Subrecipient by the Pass-Through Entity
$167,259.00

8. Amount of Federal Funds Obligated to the
Subrecipient by the Pass-Through Entity,
Including the Current Obligation
$167,259.00

9. Total Amount of the Federal Award
Committed to the Subrecipient by the Pass-
Through Entity
$167,259.00

10. Federal Award Project Description Use of ESG Funds for the purpose of providing Emergency Shelter services,
Homelessness Prevention assistance, and
Homeless Management Information System
(HMIS) participation.

11. Name of Federal Awarding Agency

Name of Pass-Through Entity

Contact Information for Pass-Through
Entity
U.S. Department of Housing and Urban
Development

City of San Bernardino

Gabriela Leon, [email protected] or (909)
998-2000 x2280

12. Assistance Listing Number and Title 14.231 Emergency Solutions Grants (ESG) Program

13. Is the Award for Research &
Development?
No

14. Indirect Cost Rate for Award? 25% indirect cost rate, as established under the duration of this Agreement unless
otherwise superseded by an updated NICRA.

[SUBRECIPIENT] Obligated Party
comply, to the extent applicable, with the requirements of the Emergency Solutions Grants program Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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ESG HUD
to subtitle B of title IV of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 1137111378), ESG Requirements
the rehabilitation or conversion of buildings for use as emergency shelter for the homeless, payment of certain expenses related to operating emergency shelters, essential services related to emergency shelters and street outreach for the homeless, and homelessness prevention and rapid re-housing assistance. Obligated Party must also comply with all other applicable federal statutes, regulations, and executive orders and the terms of the contract to which this Exhibit is attached Contract and the requirements of this Exhibit, including without limitation, the requirements, incorporated herein by reference, of the Unique Entity Identifier and System for Award Management (SAM), 2 CFR Part 25 (including the Award Term set forth in 2 CFR Part 25, Appendix A); Recipient Integrity and Performance Matters (including the Award Term and Condition for Recipient Integrity and Performance Matters set forth in 2 CFR Part 200, Appendix XII); and Reporting Subaward and Executive Compensation Information in 2 CFR Part 170 (including the Award Term set forth in 2 CFR Part 170, Appendix A).

Terms not otherwise defined in this Exhibit shall have the meaning assigned to them in the Contract unless context requires otherwise. To the extent the provisions in this Exhibit conflict with the Contract, the stricter of the provisions shall apply, unless and to the extent specifically set forth in the Contract; provided, however, that the parties intend this Exhibit to be interpreted consistently with all applicable federal laws, rules, regulations, interpretive guidance and other materials of the federal agency providing funding to the Pass-Through Entity (as defined in the Subaward Information table above) for the Contract.

General Procurement Standards (2 CFR 200.318-.327). Obligated Party, when applicable, must procure property or services in connection with the Project in accordance with the requirements of 2 CFR 200, including the procurement standards set forth in 2 CFR 200.318-.327. Obligated Party must maintain oversight to ensure its contractors perform in accordance with the terms, conditions, and specifications of their contracts.

Internal Controls (2 CFR 200.303). Obligated Party must establish and maintain effective internal control over the federal funds that provides reasonable assurance that federal funds are managed in compliance with all applicable Federal, State, and local laws, regulations, and the terms and conditions of the Federal award. Obligated Party must take reasonable measures to safeguard protected personally identifiable information and other information considered to be sensitive consistent with applicable Federal, State, and local laws regarding privacy and responsibility over confidentiality.

National Flood Insurance Program. If applicable, Obligated Party shall comply with the requirements of the Flood Disaster Protection Act of 1973 (P.L. 93-234; 42 U.S.C. § 4001 et seq.) (44 CFR Parts 59 through 79) for areas identified by HUD as having special flood hazards. The use of any funds provided for acquisition or construction in identified areas shall be subject to the Mandatory Purchase of Flood Insurance requirements of section 102(a) of said act.

Displacement, Relocation, Acquisition, and Replacement of Housing (24 CFR 576.408). If the Project or any work provided in accordance with the Contract will result in the displacement of persons, Obligated Party covenants and agrees to comply with the requirements of the Uniform Relocation Assistance and Real Property Acquisitions Act of 1970 (42 U.S.C. §§ 4601-4655) and implementing regulations at 49 CFR Part 24 and 24 CFR Part 42.

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Equal Protection of the Laws for Faith-Based Community Organizations (24 CFR 576.406).

Obligated Party shall comply with the requirements of Executive Order 13279 and 24 CFR 5.109 to ensure the equal participation of faith-based organizations in all activities under this Contract.

Lead-Based Paint (24 CFR 576.403). Obligated Party shall comply, as applicable, with the requirements of the Lead-Based Paint Poisoning Prevention Act (43 U.S.C. 48214846) and implementing regulations at 24 CFR Part 35, the Residential Lead-Based Paint Hazard Reduction Act of 1992 (42 U.S.C. §§ 4851-4856), and the implementing regulations at 24 CFR Part 35, Subparts A, B, J, K and R and 40 CFR part 745, including, without limitation, taking appropriate actions to protect occupants of residential dwellings from the hazards associated with lead-based paint abatement procedures.

Eligibility Restrictions for Certain Noncitizens (24 CFR Part 5, Subpart E). Obligated Party shall comply with the applicable restrictions on the provision of benefits to noncitizens under 24 CFR Part 5, Subpart E.

Housing Counseling (24 CFR 576.105(e)). If Obligated Party provides housing counseling, as defined in 24 CFR 5.100, under the Contract, the housing counseling must be carried out in accordance with 24 CFR 5.111.

Whistleblower Protections (2 CFR 200.217). In accordance with 41 U.S.C. § 4712, Obligated Party 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.

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 Federal employee responsible for contract or grant oversight or management; v. An authorized official of the Department of Justice or other law enforcement agency; A court or grand jury; or
vi. A management official or other employee of Obligated Party, contractor, or subcontractor who has the responsibility to investigate, discover, or address misconduct.

Obligated Party shall inform its employees in writing of the rights and remedies provided under this provision in the predominant native language of the workforce.

Conflicts of Interest (2 CFR 200.318(c) and 24 CFR 576.404). In accordance with 2 CFR 200.318(c), Obligated Party must maintain written standards of conduct covering conflicts of interest and governing the actions of its employees engaged in the selection, award, and administration of contracts, as well as for disciplinary actions to be applied for violations of such standards. Such standards shall, at a minimum, provide that no employee, officer, or agent of Obligated Party may participate in the selection, award, or administration of the Contract or any other contract supported by a Federal award if he or she has a real or apparent conflict of interest. Such a conflict of interest Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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would arise when the employee, officer, or agent, any member of his or her immediate family, his or her partner, or an organization which employs or is about to employ any of the parties indicated herein, has a financial or other interest in or a tangible personal benefit from a firm considered for a contract.

The officers, employees, and agents of the Obligated Party may neither solicit nor accept gratuities, favors, or anything of monetary value from contractors or parties to subcontracts. Obligated Party and its parent, affiliate, or subsidiary organizations must also maintain written standards of conduct covering organizational conflicts of interest. Organizational conflicts of interest means that because of relationships with a parent company, affiliate, or subsidiary organization, the non-Federal entity is unable or appears to be unable to be impartial in conducting a procurement action involving a related organization.

In accordance with 24 CFR 576.604, in all cases other than the procurement of supplies, equipment, construction, and services, no employee, agent, consultant, officer, or elected official or appointed official of the Obligated Party who exercises or has exercised any functions or responsibilities with respect to activities assisted under the ESG program, or who is in a position to participate in a decision- making process or gain inside information with regard to activities assisted under the program, may obtain a financial interest or benefit from an assisted activity; have a financial interest in any contract, subcontract, or agreement with respect to an assisted activity; or have a financial interest in the proceeds derived from an assisted activity, either for him or herself or for those with whom he or she has family or business ties, during his or her tenure or during the one-year period following his or her tenure. HUD may grant an exception to this exclusion as provided in 24 CFR 576.404(b)(3).

REQUIRED CONTRACT PROVISIONS
Obligated Party shall comply with all of the following contract provisions. Obligated Party shall further insert in any contracts and subcontracts the provisions set forth in this exhibit, to the extent applicable, and a clause requiring contractors (and subcontractors when indicated) to include these provisions in any lower tier contracts or subcontracts. Failure to comply by Obligated Party or by any contractor or subcontractor may be grounds for termination of the Contract and for debarment as a contractor or subcontractor.

NO OBLIGATION OF THE FEDERAL GOVERNMENT
The Federal Government is not a party to this Contract and is not subject to any obligations or liabilities to the non- Federal entity, Obligated Party, or any other party pertaining to any matter resulting from the Contract.

SECTION 3 OF THE HOUSING AND URBAN DEVELOPMENT ACT OF 1968 Obligated Party acknowledges that any work to be performed under the Contract is on a project1 assisted all or in part under a HUD program providing more than $200,000 in federal financial assistance and, pursuant to 24 CFR 576.407, is subject to the requirements of Section 3 of the Housing

1 Defined under24 CFR 75.3(a)(2) site or sites together with any building(s) and improvements located on the site(s) that are under common ownership, management, and financing Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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and Urban Development Act of 1968, as amended, (12 U.S.C. § 1701u) and implementing regulations Section 3 3 requires that, to the greatest extent feasible, opportunities for training and employment be given to lower income residents located in the area of the project and that contracts for work in connection with the project be awarded to business concerns that are owned in substantial part by lower income persons and provide economic opportunities to lower income residents located in the area of the project in accordance with 24 CFR 75.19. Obligated Party shall comply with the requirements of Section 3 and all applicable rules and orders of HUD issued thereunder as of or prior to the Contract.

Obligated Party shall include a Section 3 clause in every contract and subcontract in connection with the Contract. At the direction of the Pass-Through Entity, Obligated Party shall take appropriate action pursuant to the contract or subcontract upon a finding that the contractor or subcontractor is in violation of any Section 3 requirements. Obligated Party shall not contract or subcontract with any party where Obligated Party has notice or knowledge that such party has been found in violation of any Section 3 requirements and shall not let any contract or subcontract unless the contractor or subcontractor has first provided Obligated Party with a preliminary statement of ability to comply with the requirements of said regulations.

DISCRIMINATION
Obligated Party must comply with the statutes and regulations prohibiting excluding from a program or activity, denying benefits of, or otherwise discriminating against a person on the basis of race, color, religion, national origin, sex, disability, or age, including, but not limited to, Title VI of the Civil Rights Act of 1964 (42 U.S.C. §§ 2000d et seq.) (24 CFR Part 1); Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. § 794) (24 CFR Part 8); The Fair Housing Act, as amended (42 U.S.C. 3601 et seq.) (24 CFR Parts 100 and 107); Title VIII of the Civil Rights Act of 1968 (42 U.S.C. §§ 3601 et seq.); Title II of the Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.); the Age Discrimination Act of 1975, as amended (42 U.S.C. §§ 6101 et seq.) (24 CFR Part 146); Execu
the Housing and Community Development Act of 1974 (42 USC § 5309) (24 CFR Part 6); and 24 CFR 5.105 and 24 CFR 576.407(a). Obligated Party must include a provision prohibiting such discrimination in any contracts or subcontracts for activities to which these requirements apply or could apply, and all contractors and subcontractors must comply with the applicable provision.

DISABILITIES
Obligated Party acknowledges the Contract is subject to all laws and regulations that prohibit recipients of federal funding from discriminating against individuals with disabilities, including, but not limited to, the following: Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. § 794) (24 CFR Part 8); The Americans with Disabilities Act of 1990 (42 U.S.C. Sections 12101 et seq.) (28 CFR Parts 35-36); the Architectural Barriers Act of 1968 (42 U.S.C. 4151 et seq.); the Uniform Federal Accessibility Standards in Title 24, U.S.C. and associated regulations (24 CFR Part 40); and 24 CFR 5.105 and 24 CFR 576.407(a). Obligated Party must include a provision prohibiting such discrimination in any contracts or subcontracts for activities to which these requirements apply or could apply, and all contractors and subcontractors must comply with the applicable provision.

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BUY AMERICA PREFERENCES FOR INFRASTRUCTURE PROJECTS (2 CFR Part 184) described in 2 CFR 184.4.4(d),2, 3
of the Build America, Buy America Act, included in the Infrastructure Investment and Jobs Act at division G, title IX, subtitle A, part I, sections 70911 through 70917 (Pub. L. 117-58), and implementing regulations at 2 CFR Part 184.4 Further, Obligated Party must include the following Buy America Preference all contracts and subcontracts under or in connection with the Contract:

Infrastructure Investment and Jobs Act (IIJA). Pub. L. 117-58, 41 U.S.C. § 8301 note, the Federal Financial Assistance used to fund this infrastructure project is required to apply a construction, alteration, maintenance, or repair of infrastructure, including buildings and real property, unless application of the BAP has been waived by HUD. Additional details on

ENVIRONMENTAL LAWS
Obligated Party must comply with all applicable environmental standards that may be prescribed pursuant to the following: (a) institution of environmental quality control measures under the National Environmental Policy Act of 1969 (P.L. 91-190) and Execut of violating facilities pursuant to EO 11738; (c) protection of wetlands pursuant to EO 11990; (d) evaluation of flood hazards in floodplains in accordance with EO 11988; (e) assurance of project consistency with the approved State management program developed under the Coastal Zone Management Act of 1972 (16 U.S.C. §§1451 et seq.); (f) conformity to State (Clean Air) implementation Plans under Section 176(c) of the Clean Air Act of 1955, as amended (42 U.S.C. §§7401 et seq.), and U.S. Environmental Protection City regulations pursuant to 40 CFR Part 50, as amended; (g) protection of underground sources of drinking water under the Safe Drinking Water Act of 1974, as amended (P.L. 93-523); (h) protection of endangered species under the Endangered Species Act of 1973, as amended (P.L. 93-205); (j) Sole Source Aquifers (Environmental Protection Agency-40 CFR part 149; (k) Farmland Protection Policy Act of 1981 (7 U.S.C. § 4201, et seq.); (l)

2 Pursuant to HUD Notice CPD-25-01:

America Preference, Pg.1 (https://www.hud.gov/sites/dfiles/OCHCO/documents/cpd-25-01.pdf), housing projects with Preference unless a waiver (general or project/product specific) or exemption (such as for disaster assistance described in 2 CFR 184.8) applies. Land acquisition, demolition, planning, capacity building, program administration, public services, training, counseling, and short-term rental assistance projects generally will not be subject to the Buy America Preference unless materials or supplies are acquired and used for or incorporated into an infrastructure project. 3 FAQ ID 4255
(https://www.hudexchange.info/faqs/4255/what-is-a-project). 4 The Buy America Preference will apply to (i) any construction materials listed in 2 CFR 184.3 for HUD awards made beginning in fiscal year 2024 and (ii) construction materials not listed in 2 CFR 184.3 and manufactured products for HUD awards made beginning in fiscal year 2025.

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Farmland Protection Policy (Department of Agriculture-7 CFR part 658); (m) applicable criteria and standards specified in HUD environmental regulations (24 CFR Part 51) (other than the runway clear zone and clear zone notification requirement in 24 CFR 51.303(a)(3); and (n) HUD Notice 79-33, Policy Guidance to Address the Problems Posed by Toxic Chemicals and Radioactive Materials, September 10, 1979. See also 24 CFR 576.407(d) and 24 CFR Part 58. Obligated Party shall include this requirement in all contracts and subcontracts under the Contract.

UNIFORM ADMINISTRATIVE REQUIREMENTS, COST PRINCIPLES, AND AUDIT REQUIREMENTS FOR FEDERAL AWARDS (2 CFR PART 200, INCLUDING ALL APPENDICES; 24 CFR 576.407(c))
Obligated Party must comply with all requirements of 2 CFR Part 200, including Appendix II, as modified by 24 CFR 576.407(c), and include the applicable provisions in any contracts executed with contractors or subcontractors in connection with the Contract. All contractors and subcontractors must comply with the applicable provisions of 2 CFR Part 200, including, but not limited to, the following:

REMEDIES (2 CFR PART 200, APPENDIX II(A))
The administrative, contractual, or legal remedies in the Contract and ESG regulations apply when the Obligated Party defaults, violates, or breaches the Contract.

TERMINATION FOR CAUSE/CONVENIENCE (2 CFR PART 200, APPENDIX II(B)) Federal law requires the parties to the Contract to address termination for cause and convenience, and the parties shall comply with these provisions of the Contract.

EQUAL EMPLOYMENT OPPORTUNITY (2 CFR 200, APPENDIX II(C); 41 CFR PART 60) For any contracts entered into in connection with the Contract for construction work that meet the -1.3, Obligated Party shall
comply with the requirements of 2 CFR 200, Appendix II(C) and insert the equal opportunity clause provided under 41 CFR 60-1.4(b) into all applicable construction contracts, which is as follows:

During the performance of this contract, the contractor (or subcontractor, as applicable) agrees as follows:
1) The contractor will not discriminate against any employee or applicant for employment because of race, color, religion, sex, sexual orientation, gender identity, or national origin. The contractor will ensure that applicants are employed, and that employees are treated during employment without regard to their race, color, religion, sex, sexual orientation, gender identity, or national origin. Such action shall include, but not be limited to the following:

Employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided setting forth the provisions of this nondiscrimination clause.

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2) The contractor will, in all solicitations or advertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, sexual orientation, gender identity, or national origin.
3) The contractor will not discharge or in any other manner discriminate against any employee or applicant for employment because such employee or applicant has inquired about, discussed, or disclosed the compensation of the employee or applicant or another employee or applicant. This provision shall not apply to instances in which an employee who has access to the compensation information of other employees or applicants as a part of such employee's essential job functions discloses the compensation of such other employees or applicants to individuals who do not otherwise have access to such information, unless such disclosure is in response to a formal complaint or charge, in furtherance of an investigation, proceeding, hearing, or action, including an investigation conducted by the employer, or is consistent with the contractor's legal duty to furnish information.
4) The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice to be provided advising the said labor union or workers' representatives of the contractor's commitments under this section and shall post copies of the notice in conspicuous places available to employees and applicants for employment. 5) The contractor will comply with all of the rules, regulations, and relevant orders of the Secretary of Labor.
6) The contractor will furnish all information and reports required by rules, regulations, and orders of the Secretary of Labor, or pursuant thereto, and will permit access to his books, records, and accounts by the administering agency and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders.
7) In the event of the contractor's noncompliance with the nondiscrimination clauses of this contract or with any of the said rules, regulations, or orders, this contract may be canceled, terminated, or suspended in whole or in part and the contractor may be declared ineligible for further Government contracts or federally assisted construction contracts, and such other sanctions may be imposed and remedies invoked by rule, regulation, or order of the Secretary of Labor, or as otherwise provided by law. 8) The contractor will include the provisions of paragraphs (1) through (8) in every subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor so that such provisions will be binding upon each subcontractor or vendor. The contractor will take such action with respect to any subcontract or purchase order as the administering agency may direct as a means of enforcing such provisions, including sanctions for noncompliance: Provided, however, that in the event a contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction by the administering agency, the contractor may request the United States to enter into such litigation to protect the interests of the United States.

Obligated Party further agrees that it will be bound by the above equal opportunity clause with respect to its own employment practices when it participates in federally assisted construction work:

Provided, that if Obligated Party so participating is a State or local government, the above equal opportunity clause is not applicable to any agency, instrumentality or subdivision of such government which does not participate in work on or under the Contract.

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Obligated Party agrees that it will assist and cooperate actively with the administering agency and the Secretary of Labor in obtaining the compliance of contractors and subcontractors with the equal opportunity clause and the rules, regulations, and relevant orders of the Secretary of Labor, that it will furnish the administering agency and the Secretary of Labor such information as they may require for the supervision of such compliance, and that it will otherwise assist the administering agency in the di
Obligated Party further agrees that it will refrain from entering into any contract or contract modification with a contractor debarred from, or who has not demonstrated eligibility for, Government contracts and federally assisted construction contracts pursuant to the Executive Order and will carry out such sanctions and penalties for violation of the equal opportunity clause as may be imposed upon contractors and subcontractors by the administering agency or the Secretary of Labor pursuant to Part II, Subpart D of the Executive Order. In addition, Obligated Party agrees that if it fails or refuses to comply with these undertakings, the administering agency may take any or all of the following actions: Cancel, terminate, or suspend in whole or in part this grant (contract, loan, insurance, guarantee); refrain from extending any further assistance to the Obligated Party under the program with respect to which the failure or refund occurred until satisfactory assurance of future compliance has been received from the Obligated Party; and refer the case to the Department of Justice for appropriate legal proceedings.

DAVIS-BACON ACT (2 CFR Part 200, Appendix II(D))
Under the ESG program, the requirements of the Davis-Bacon Act (40 U.S.C. 3141-3148 and 40 U.S.C. 3701-3708) and regulations at 29 CFR Part 5 do not apply and such requirements are not expected to apply to the Contract.
-
-
(40 U.S.C. 3145) and the requirements of 29 CFR Part 3, which prohibits Obligated Party from inducing, by any means, any person employed in the construction, completion, or repair of public work, to give up any part of the compensation to which he or she is otherwise entitled.

Obligated Party shall insert, or cause or require to be inserted, in full in all applicable contracts a -
2 CFR Part 200, Appendix II(D). Obligated Party shall notify the Pass-Through Entity of any suspected or reported violations of these requirements. Obligated Party shall be responsible for the compliance by any contractor or subcontractor with these requirements. A breach of the contract clauses above may be grounds for termination of the Contract, and for debarment as a contractor or subcontractor as provided in 29 U.S.C. § 5.12.

CONTRACT WORK HOURS AND SAFETY STANDARDS ACT (2 CFR Part 200, Appendix II(E))
For any contract entered into for construction work when the contract amount exceeds $100,000 and such contract involves the employment of mechanics or laborers, Obligated Party must comply with the Contract Work Hours and Safety Standards Act (40 U.S.C. 3701-3708), including particularly 40 U.S.C. 3702 and 3704, as supplemented by Department of Labor regulations (29 CFR Part 5).

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Obligated Party shall insert, or cause or require to be inserted, in full in all applicable contracts a provision requiring compliance with the Contract Work Hours and Safety Standards Act meeting the requirements of 2 CFR Part 200, Appendix II(E). Obligated Party, or contractor, as applicable, must compute the wages of every mechanic and laborer on the basis of a standard work week of 40 hours.

Work in excess of the standard work week is permissible provided that the worker is compensated at a rate of not less than one and a half times the basic rate of pay for all hours worked in excess of 40 hours in the work week. The requirements of 40 U.S.C. 3704 are applicable to contracts described in this paragraph and provide that no laborer or mechanic must be required to work in surroundings or under working conditions which are unsanitary, hazardous, or dangerous.

RIGHTS TO INVENTIONS MADE UNDER A CONTRACT OR AGREEMENT (2 CFR Part 200, Appendix II(F))
under 37 CFR 401.2(a) and the Obligated Party wishes to enter into a contract with a small business firm or nonprofit organization regarding the substitution of parties, assignment, or performance of Organizations and Small Business Firms Under Government Grants, Contracts and Cooperative

CLEAN AIR ACT and the FEDERAL WATER POLLUTION CONTROL ACT (2 CFR Part 200, Appendix II (G))
For contracts in an amount exceeding $150,000, Obligated Party must comply with all applicable provisions of the Clean Air Act (42 U.S.C. § 7401 et seq.) and the Federal Water Pollution Control Act (33 U.S.C. 1251 et seq.), as amended. Obligated Party agrees to comply with all applicable standards, orders, or regulations issued pursuant to the Clean Air Act and the Federal Water Pollution Control Act, as amended.

Obligated Party agrees to report each violation of the Clean Air Act or Federal Water Pollution Control Act to the Pass-Through Entity and understands and agrees that the Pass-Through Entity will, in turn, report each violation as required to assure notification to the Federal Emergency Management Agency and the appropriate Environmental Protection Agency Regional Office.

DEBARMENT / SUSPENSION AND VOLUNTARY EXCLUSION (2 CFR Part 200, Appendix II (H); 2 CFR Part 180; 2 CFR Part 2424; 24 CFR Part 5)
Obligated Party, for itself and its principals, warrants it is eligible or otherwise not disqualified or prohibited from participation in federal or state assistance programs. Obligated Party must verify that all contractors and subcontractors performing work under the Contract are not debarred, disqualified, or otherwise prohibited from participation in accordance with the requirements above. Obligated Party further must notify the Pass-Through Entity in writing immediately if Obligated Party or its contractors or subcontractors are not in compliance with this paragraph during the term of the Contract. If it is later determined that Obligated Party did not comply with this paragraph, the Pass- Through Entity or the Federal Government may pursue any and all available remedies (which shall be cumulative and not exclusive), including, but not limited to, suspension and/or debarment of Obligated Party or its contractors or subcontractors.

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BYRD ANTI-LOBBYING AMENDMENT (31 U.S.C. § 1352; 2 CFR 200.450; 2 CFR PART 200, APPENDIX II(I); 24 CFR PART 87, APPENDIX A)
Obligated Party must comply with the applicable requirements of the Byrd Anti-Lobbying Amendment (31 U.S.C. § 1352), 2 CFR 200.450, and 24 CFR Part 87.

Pursuant to 31 U.S.C. § 1352, if at any time during the Contract term funding to such contract exceeds $100,000.00, Obligated Party shall file with the Pass-Through Entity the Federal Standard Form LLL t in a form available from the Pass-Through
Entity upon request, which provides that Obligated Party certifies it will not and has not used Federal funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, grant, or any other covered award.

Each contractor or subcontractor of any tier must certify to the tier above that it will not and has not used federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any federal contract, grant or any other award covered by 31 U.S.C. § 1352. Each tier must also disclose any lobbying with non-federal funds that takes place in connection with obtaining any federal award. Such disclosures shall be forwarded from tier to tier up to the Pass-Through Entity who in turn will forward the certification(s) to the awarding agency.

PROCUREMENT OF RECOVERED MATERIALS (2 CFR PART 200, APPENDIX II(J); 2 CFR 200.323)
Obligated Party and its contractors must comply with section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act of 1976 as amended, 42 U.S.C. 6962.

The requirements of Section 6002 include procuring only items designated in the guidelines of the Environmental Protection Agency (EPA) at 40 CFR Part 247 that contain the highest percentage of recovered materials practicable, consistent with maintaining a satisfactory level of competition, where the purchase price of the item exceeds $10,000 or the value of the quantity acquired during the preceding fiscal year exceeded $10,000; procuring solid waste management services in a manner that maximizes energy and resource recovery; and establishing an affirmative procurement program for procurement of recovered materials identified in the EPA guidelines.

Obligated Party should, to the greatest extent practicable and consistent with law, purchase, acquire, or use products and services that can be reused, refurbished, or recycled; contain recycled content, are biobased, or are energy and water efficient; and are sustainable. This may include purchasing compostable items and other products and services that reduce the use of single-use plastic products.

See Executive Order 14057, section 101, Policy.

PROHIBITION ON CERTAIN TELECOMMUNICATIONS AND VIDEO SURVEILLANCE SERVICES OR EQUIPMENT (2 CFR PART 200, APPENDIX II(K); 2 CFR 200.216) Obligated Party shall not contract (or extend or renew a contract) to procure or obtain equipment, services, or systems that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as part of any system funded under the Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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Contract. As described in Public Law 115232, section 889, covered telecommunications equipment is telecommunications equipment produced by Huawei Technologies Company or ZTE Corporation (or any subsidiary or affiliate of such entities).
(1) For the purpose of public safety, security of government facilities, physical security surveillance of critical infrastructure, and other national security purposes, video surveillance and telecommunications equipment produced by Hytera Communications Corporation, Hangzhou Hikvision Digital Technology Company, or Dahua Technology Company (or any subsidiary or affiliate of such entities). (2) Telecommunications or video surveillance services provided by such entities or using such equipment.
(3) Telecommunications or video surveillance equipment or services produced or provided by an entity that the Secretary of Defense, in consultation with the Director of the National Intelligence or the Director of the Federal Bureau of Investigation, reasonably believes to be an entity owned or controlled by, or otherwise connected to, the government of a covered foreign country.

Obligated Party shall include the substance of this section, including this paragraph, in all contracts and subcontracts.

DOMESTIC PREFERENCES FOR PROCUREMENT (2 CFR PART 200, APPENDIX II(L); 2 CFR 200.322)
Obligated Party shall, to the greatest extent practicable and consistent with law, provide a preference for the purchase, acquisition, or use goods, products, or materials produced in the United States (including but not limited to iron, aluminum, steel, cement, and other manufactured products). The requirements of this section must be included in all contracts and subcontracts.

For purposes of this section:
(1)
manufacturing processes, from the initial melting stage through the application of coatings, occurred in the United States.
(2)
or in part of nonferrous metals such as aluminum; plastics and polymer-based products such as polyvinyl chloride pipe; aggregates such as concrete; glass, including optical fiber; and lumber.

To the extent the Contract is an infrastructure project, Obligated Party must implement the Buy America preferences set forth in 2 CFR Part 184.

MANDATORY DISCLOSURES (2 CFR 200.113; 41 U.S.C. § 2313) Obligated Party must disclose, and require its contractors and subcontractors to disclose, in a timely manner, in writing to the Federal awarding agency or the Pass-Through Entity all violations of Federal criminal law involving fraud, bribery, or gratuity violations found in the civil False Claims Act (31 Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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U.S.C 3729-3733) potentially affecting the Federal award funding all or part of the Contract.

Obligated Party is also required to report matters related to recipient integrity and performance in accordance with Appendix II of 2 CFR Part 200. Failure to make required disclosures can result in any of the remedies described in 2 CFR 200.339.

BUSINESS ENTERPRISES, VETERAN-OWNED BUSINESSES, AND LABOR SURPLUS AREA FIRMS (2 CFR 200.321)
Enterprises, Veteran-Owned Businesses, and Labor Surplus Area Firms requirements under 2 CFR 200.321. Obligated Party should ensure that small businesses, minority businesses, women's business enterprises, veteran-owned businesses, and labor surplus area firms are considered, as set forth below:

A. These business types are included on solicitation lists; B. These business types are solicited whenever they are deemed eligible as potential sources; C. Dividing procurement transactions into separate procurements to permit maximum participation by these business types;
D. Establishing delivery schedules (for example, the percentage of an order to be delivered by a given date of each month) that encourage participation by these business types; E. Utilizing organizations such as the Small Business Administration and the Minority Business Development Agency of the Department of Commerce; and F. Requiring a contractor under a Federal award to apply this section to subcontracts.

MINIMUM BONDING REQUIREMENTS (2 CFR 200.326)
If the Contract involves construction or facility improvements in excess of the simplified acquisition threshold, as that term is defined in 2 CFR Part 200, Subpart A, Obligated Party shall maintain or cause to be maintained a performance bond for one hundred percent (100%) of the contract price to secure fulfillment of all the Contract requirements, and a payment bond for one hundred percent (100%) of the contract price to assure payments as required by law of all persons supplying labor and material in the execution of the Contract.

Record Retention and Access; Reports (2 CFR 200.332(b)(5) and 200.334-.338; 24 CFR 576.500(y)). Subject to and in accordance with the requirements set forth in 2 C.F.R. Part 200 (including particularly 2 C.F.R. Part 200, Subpart D) and any applicable guidance from HUD, provided in the event of litigation, claim, or audit, the records must be retained until all litigation, claims, and audit findings involving the records have been fully resolved, records shall be maintained by Obligated Party as required under 24 C.F.R. §576.500(y) for the greater of (i) five (5) years or (ii) the following:
a.
risk of homelessness or as a homeless family or individual and other program participant records must be retained for five (5) years after the expenditure of all funds from the grant under which the program participant was served; b. Where ESG funds are used to rehabilitate or convert a building into an emergency shelter and the costs charged to the award for the rehabilitation or conversion exceed Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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seventy-five percent (75%) of the value of the building before rehabilitation or after conversion, records must be retained until ten (10) years after the date that ESG funds are first obligated for the rehabilitation or conversion.

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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Exhibit D
Emergency Services Grant Written Standards
(Attachment)

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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Exhibit E
Project Budget
Sources of Funds: ESG Funds Applicants
Funds $
(Match):

Other
Sources:

Total
Street Outreach1
Service Activity:

Service Activity:

Service Activity:

Emergency Shelter2
$139,265.00

$139,265.00

$278,530.00

Personnel Activity:

Operational Activity:

Homeless Prevention3
Activity:
$13,997.00 $13,997.00 $27,994.00
Activity:

Activity:

Rapid Re-Housing
Assistance:

Activity:

Activity:

Activity:

HMIS4
Activity:
$13,997.00

$13,997.00

$27,994.00

TOTAL: $167,259.00 $167,259.00 $334,518.00

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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Exhibit F

Conflicts of Interest
The Subrecipient shall comply with 2 CFR § 200.112 with respect to the use of ESG funds to procure services, equipment, supplies, or other property.

With respect to all other decisions involving the use of ESG funds, the following restriction shall apply:

No person who is an employee, agent, consultant, officer, or elected or appointed official of the Subrecipient and who exercises or has exercised any functions or responsibilities with respect to assisted activitiesor who is in a position to participate in decision-making processes or gain inside information with regard to such activitiesmay obtain a personal or financial interest or benefit from the activity. This includes any interest in a contract, subcontract, or agreement related to the activity or its proceeds, whether for themselves or for those with whom they have family or business ties, during their tenure or for one (1) year thereafter.

The Subrecipient further
as detailed in 24 CFR § 576.404, regarding both Organizational and Personal Conflicts of Interest. All contractors and subcontractors of the Subrecipient must comply with the same requirements that apply to the Subrecipient under this section.

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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Exhibit G

Type of Policy Minimum Policy Limits

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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[Exhibit H]
[ESG Property Standards]
A. Occupancy Standards
Occupancy standards provide consistent criteria for determining the size of the permanent housing unit for which the household is eligible and thus, the amount of assistance to be provided.

Sub-Recipients must establish occupancy standards that comply with the HUD Equal Access Rule (24 CFR §§ 5.105(a)(2), 5.106) and other fair housing laws, ensuring that households and individuals are not discriminated against based on sex, actual or perceived gender identity, or sexual orientation. While households typically determine their own sleeping arrangements, there may be circumstances when it is not appropriate for two persons to share a bedroom, particularly if:

-
need for ongoing care.
equipment or treatment.

Any such decisions must be guided by individualized assessments, rather than blanket policies, and should make reasonable accommodations as necessary. Occupancy standards should prioritize client choice, privacy, and safety, without imposing arbitrary distinctions based on household composition.

B. Habitability Standards
All housing units supported with program funds must meet HUD Habitability Standards, set forth at:
https://www.hudexchange.info/resource/3766/esg-minimum-habitability-standards- foremergency-shelters-and-permanent-housing/

Sub-Recipient could use either standard for shelter or rental assistance funded with ESG.

Housing also needs to be compliant with local housing codes relating to occupancy, health, and safety standards and the program must comply with the two.

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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1) Permanent Housing
Minimum habitability standards for permanent housing include requirements for:

space and security;

supply;

food preparation;
and

For households moving into a new unit, the unit must meet habitability standards before the lease is signed and the household moves in. For households already residing in a unit, the unit must meet habitability standards before financial or rental assistance can be provided.

2) Shelters In addition to established housing codes, habitability standards for shelters in which ESG funds are used for conversion, major rehabilitation or renovation include requirements for the following:

to and within the shelter;
space and security;

water supply;

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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food preparation;

C. Lead-Based Paint Requirements
Federal lead-based paint requirements apply any time federal funds are used for housing assistance and the living space or unit was built prior to 1978. The Lead-Based Paint Poisoning Prevention Act (42 U.S.C. §§ 4821-4846), the Residential Lead-Based Paint Hazard Reduction Act of 1992 (42 U.S.C. §§ 4851-4856), and implementing regulations in 24 CFR part 35, subparts A, B, H, J, K, M and R apply to all shelters assisted with ESG funding and all housing occupied by program participants.

Sub-Recipient must provide the lead hazard information pamphlet to any resident who will be residing in a unit built before 1978. The tenant must receive the pamphlet before moving into the unit. If Sub-Recipient can document the tenant received the pamphlet previously, Sub-Recipient is not required to provide it again.

For units older than 1978 which will house one or more children under the age of 6, landlord and tenant must complete a Lead-Based Paint Disclosure form. The form describes any known current or previous lead-
receipt of records and the lead hazard information pamphlet. Additionally, a visual lead-based paint assessment must be completed by a person trained in this inspection process. The inspection may be completed in conjunction with the habitability inspection if the inspector is qualified. At Intake, it should be noted on the Application Form if there will be any child in the household younger than 6 years.

This information should be provided to the habitability inspector prior to their examination of the proposed rental unit.

Essential service activities, such as, counseling, case management, street outreach, referrals to employment, etc., are exempt and excluded from the lead-based paint inspection requirements.

D. Environmental Review
Sub-Recipient and its contractors shall not rehabilitate, convert, or renovate a shelter or prospective shelter until HUD has performed an environmental review under 24 CFR part 50 and Sub-Recipient has received HUD approval to continue. Sub-Recipient shall supply all available, relevant information necessary for HUD to perform any environmental review Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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required by 24 CFR Part 50. Sub-Recipient must carry out mitigating measures required by HUD or select alternate eligible property. HUD may eliminate from consideration any application that would require an Environmental Impact Statement (EIS). Environmental reviews must also be completed for any project-based housing assistance paid with ESG funding.

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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[Exhibit I]
[ESG Rapid Re-Housing - VAWA Lease Addendum Lease Addendum] This Exhibit is not applicable to this Agreement, as the Subaward does not include Rapid Re- Housing activities.

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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[Exhibit J]
[HMIS Compliance Report Form]

1. Generally. The SUBRECIPIENT must ensure that data on all persons served and all activities assisted under ESG are entered into the applicable community-wide HMIS in the area in which those persons and activities are located, or if the SUBRECIPIENT is a victim service provider or legal services provider, with the express knowledge and written consent of the CITY, a comparable database, in accordance with 24 CFR § 576.400(f), IS.

2. HMIS Agency Agreement. The SUBRECIPIENT shall have an agreement in place with the HMIS lead with the HMIS lead agency shall be delivered to the CITY. In the case of Domestic Violence service providers or other agencies prohibited from entering data into HMIS, documentation from the HMIS lead agency certifying that the SUBRECIPIENT is using a comparable database shall be delivered to the CITY. The "HMIS lead agency" is the County of San Bernardino Community Development and Housing Agency, which is located at 385 N. Arrowhead Ave., 3rd Floor, San Bernardino, California (909-387-4700).

3. HMIS Interagency Data Sharing Agreement. The SUBRECIPIENT shall enter into an Interagency Data Sharing Agreement with the HMIS Lead Agency where the SUBRECIPIENT agrees to share HMIS data with other ESG funded agencies regarding clients that are served in ESG funded programs, unless prohibited by law. A copy of such agreement shall be delivered to the CITY.

4. HMIS Data Input. SUBRECIPIENT must enter data directly into the HMIS system, and adhere to all implementation guidelines developed under the Continuum of Cares, HMIS. Participation includes, but is not limited to, the input of all programmatic and client data, the generation of all mandated monthly, quarterly and close-out reports. Subrecipient must input client data no more than forty eight (48) hours after date of entry.

Services rendered to clients must be entered into HMIS within forty-eight (48) hours from date of services. All clients who exit the program must have updated status in HMIS within forty eight (48) hours of actual exit date. Failure to meet these HMIS data input compliance requirements will be a violation of the terms and conditions of this Agreement.

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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[Exhibit K]
Outreach Policy and Procedures

Fair Housing
A. Outreach Procedures
Sub-Recipient must communicate and make known that use of ESG funded facilities, assistance and services are available to all on a nondiscriminatory basis. Sub- Recipient must develop and implement written outreach procedures and communication tools and materials to inform persons without regard to race, color, ethnicity, religion, sex, age, national origin, familial status, or disability, how to obtain access to facilities and services. If it appears the procedures Sub-Recipient intends to use to accomplish this will not reach persons of any particular race, color, religion, sex, age, national origin, familial status, or disability who may qualify for those activities and services, Sub-Recipient must establish additional procedures to ensure those persons are made aware of assistance opportunities. Outreach efforts must comply with Program Standard #3Emergency Shelter Operations (Safety and Accommodations for Special Populations).

Reasonable accommodations for persons with disabilities must be available in order to ensure disabled participants have an equal opportunity to utilize housing, including shelters, and receive essential services. Greater levels of accessibility may be required for some shelters in compliance with The Americans with Disabilities Act.

B. Nondiscrimination
Sub-Recipient is required to comply with all state and federal statutes relating to nondiscrimination.

Sub-Recipient may not take any of the following actions based on race, color, national origin, religion, sex, familial status or handicap:

Docusign Envelope ID: 9EA12936-7BD6-4EA7-B4E5-927AFD316C99

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AMENDMENT NO. 1 TO

THE EMERGENCY SOLUTIONS GRANTS PROGRAM SUBRECIPIENT

AGREEMENT

WITH FAMILY SERVICE ASSOCIATION OF REDLANDS
This Amendment No. 1 to the Emergency Solutions Grants Program Agreement for is made and entered into as of February 18, 2026 ("Effective Date") by and between the City of San Bernardino, a charter city and municipal corporation ("City") and Family Service Association of Redlands, a California nonprofit corporation (the "Subrecipient"). City and Subrecipient are sometimes referred to herein individually as a "Party" and collectively as "Parties."

RECITALS
A. WHEREAS, the City and the Subrecipient have entered into an agreement, dated August 1, 2025, for the purpose of providing Rapid Rehousing Services (the "Master Agreement").

B. WHEREAS, the Parties now desire to amend the Master Agreement in order to extend the term of the Master Agreement for an additional term of one year, and to include additional funds for the continued performance of the services in accordance with the compensation provisions of the Master Agreement.

NOW, THEREFORE, in consideration of the above recitals and the mutual covenants, conditions, and promises contained in the this Amendment No. 1 and the Master Agreement, the Parties mutually agree as follows:

AGREEMENT

1. Incorporation of Recitals. The recitals listed above are true and correct and are hereby incorporated herein by this reference.

2. Term. The term of the Master Agreement shall be extended for an additional term of one year through December 31, 2026, unless earlier terminated.

3. Compensation There is no change to the total not to exceed compensation of the Master Agreement.

4. Full Force. Except as amended by this Amendment No. 1, all provisions of the Master Agreement, including without limitation the indemnity and insurance provisions, shall remain in full force and effect and shall govern the actions of the Parties under this Amendment No. 1.

5. Electronic Transmission. A manually signed copy of this Amendment No. 1 which is transmitted by facsimile, email or other means of electronic transmission shall be deemed to have the same legal effect as delivery of an original executed copy of this

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EMERGENCY SOLUTIONS GRANTS PROGRAM

SUBRECIPIENT AGREEMENT

This EMERGENCY SOLUTIONS GRANTS PROGRAM SUBRECIPIENT AGREEMENT (this “Agreement”) is made and entered into as of August 1, 2025 (the “Effective Date”) by and between the CITY OF SAN BERNARDINO, a California municipal corporation and charter city (the “City”), and FAMILY SERVICE ASSOCIATION OF REDLANDS, a California nonprofit corporation (the "Subrecipient"). City and Subrecipient are sometimes referred to herein individually as a "Party" and collectively as the "Parties."
Recitals
City has been allocated funds under the Emergency Solutions Grants program ( “ESG”) from the United States Department of Housing and Urban Development ( “HUD”), pursuant to subtitle B of title IV of the McKinney -Vento Homeless Assistance Act (42 U.S.C. 11371 –11378), and the implementing regulations at 24 C.F.R. Part 576 (collectively, the “ESG Requirements”). ESG funding is provided for eligible program components, including emergency shelter operations, street outreach, homelessness prevention, and rapid re-housing, as well as Homeless Management Information System (HMIS) activities, in accordance with ESG Requirements.

SUBRECIPIENT has submitted an application and represents that it is eligible under the ESG Requirements, to receive a portion of the award of ESG funds allocated by HUD to the City (the “ESG Funds”), as a subrecipient (as defined in 24 C.F.R. §576.2) of the City.

SUBRECIPIENT’s application for a subgrant of ESG Funds, in an amount not to exceed Fifty -Five Thousand Nine Hundred Eighty -Seven Dollars ($55,987.00), was approved by the City Council of the City for the sole purpose of carrying out eligible Rapid Re-Housing activities in accordance with 24 C.F.R. § 576.104. Such activities shall include the provision of housing relocation and stabilization services, and short- and/or medium-term rental assistance, as necessary to assist program participants to move as quickly as possible into permanent housing and achieve stability in that housing, consistent with the housing relocation and stabilization services requirements at 24 C.F.R. § 576.105, the short- and medium-term rental assistance requirements at 24 C.F.R. § 57 6.106, and the written standards and procedures established under 24 C.F.R. § 576.400. This award is subject to and contingent upon the allocation and receipt by the City of such funds and HUD’s issuance of Authority to Use Grant Funds.

Parties desire to enter into this Agreement so that SUBRECIPIENT may receive a subaward of a portion of the ESG funds for reimbursement of certain costs.

NOW, THEREFORE, upon and in consideration of the mutual promises and covenants contained herein and for other valuable consideration, the receipt, adequacy and sufficiency of which are hereby acknowledged, the Parties agree as follows:

I. GENERAL SCOPE OF SERVICES
A) Project Description: The Subrecipient will provide Rapid Re -Housing (RRH) assistance exclusively to eligible residents of the City of San Bernardino, following a Housing First Docusign Envelope ID: D6498079-3318-4D05-8F85-40105F2F93BF

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Resolution No. 2026-011
Resolution No. 2026-011
February 18, 2026

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