Agenda packet — Mayor and City Council, March 4, 2026 (part 1 of 2)

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

CITY OF SAN BERNARDINO
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, MARCH 04, 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. 14

A) CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Pursuant to Government Code Section 54956.9(a) and (d)(1):
i.) Justin Ramirez v. City of San Bernardino, San Bernardino Superior Court Case No. CIVSB2419803
B) CONFERENCE WITH LEGAL COUNSEL - Anticipated Litigation - Significant Exposure to Litigation (Pursuant to Government Code Section 54956.9(d)(2)(1): (1) Case C) CONFERENCE WITH LEGAL COUNSEL with Legal Counsel - Anticipated Litigation - Significant Exposure to Litigation (Pursuant to Government Code Section 54956.9(d)(2)):
i.) Notice of Claim, Asusena Soren, dated July 21, 2025, Amended Claim filed August 5, 2025, Claim No. GHC0086369
D) PUBLIC EMPLOYEE PERFORMANCE EVALUATION (Pursuant to Government Code Section 54957)
Title: City Manager
E) PUBLIC EMPLOYEE PERFORMANCE EVALUATION PROCESS (Pursuant to Government Code Section 54957) (Criteria, Timing, Goal Setting, and Other Preliminary Matters)
Titles: City Clerk, City Attorney

Mayor and City Council of the City of San Bernardino Page 3 5:00 P.M

INVOCATION AND PLEDGE OF ALLEGIANCE

CLOSED SESSION REPORT

PUBLIC COMMENTS FOR AGENDA ITEM NO. 1 ONLY
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 - ONE ITEM ONLY

1. Adopt Resolution No. 2026-017 Authorizing the City Manager to Execute an Agreement for the Acceptance of $100,000 from the San Bernardino County Board of Supervisors to Assist the San Bernardino Police Department with the Purchase of a Tactical Robot (All Wards) p. 15
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2026-017 authorizing:

1. The City Manager to execute an agreement with the County of San Bernardino for the acceptance of $100,000 from the San Bernardino County Board of Supervisors to assist the San Bernardino Police Department with the purchase of a Robotic Police K9 and;

2. The Director of Finance and Management Services to amend the applicable fiscal year operating budget in the amount of $100,000 in both revenue and expenditures.

PRESENTATIONS

2. Vice Chair & 5th District Supervisor Joe Baca, Jr. (San Bernardino County) Check Presentation: $100,000 To Assist The San Bernardino Police Department With The Purchase Of A Tactical Robot (All Wards) p. 39

PUBLIC HEARING

3. Substantial Amendment Number One to the Fiscal Year 2025-2026 Annual Action Plan, Allocating Community Development Block Grant (CDBG) and CDBG Cares Act (CDBG -CV) Funds from previous years to the SB HOPE Campus (All Wards) p.40
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2026-015 and:

1. Conduct a Public Hearing to obtain citizens’ comments on the proposed Substantial Amendment Number One to the Fiscal Year (FY) 2025- 2026 Annual Action Plan (AAP); and

2. Approve the Substantial Amendment Number One to the Fiscal Year 2025- 2026 Annual Action Plan to increase funding for the SB HOPE Campus by $1,979,926.86; and

3. Authorize the City Manager or designee to take any further actions and Mayor and City Council of the City of San Bernardino Page 4 execute any further agreements or documents, as necessary, to effectuate the submittal of the proposed Substantial Amendment Number One to the Fiscal Year 2025-2026 Annual Action Plan to HUD; and

4. Authorize the Director of Finance and Management Services to amend the Fiscal Year (FY) 2025–2026 Budget in accordance with the approved Substantial Amendment, allocating a total of $1,979,926.86 from prior-year unspent CDBG funds, including: $64,627.53 from FY 2021 –2022, $305,884.60 from FY 2022–2023, $185,642.91 from FY 2023–2024, $58,392.47 from FY 2024–2025, $92,574.29 from FY 2025–2026, and $1,272,805.06 from CDBG-CV FY 2020–2021; and

5. Authorize the Director of Finance and Management Services to amend the Fiscal Year 2025 –2026 Budget to reflect a technical correction revising CDBG (FUND 119) unearned revenues to $6,417,546.41 and CDBG -CV (FUND 131 & 139 cumulatively) unearned revenues to $2,163,968.63.

CITY MANAGER UPDATE

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.

4. Authorize a Goods Purchase Agreement with Midwest Veterinary Supply in an amount not to exceed $500,000 annually (All Wards) p. 94 Recommendation:

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

1. Authorize the City Manager to execute a Goods Purchase Agreement with Midwest Veterinary Supply; and

2. Authorize the Director of Finance to issue a purchase order to Midwest Veterinary Supply in an amount not to exceed $500,000 annually.

5. Approval of Various Mayor and City Council Meeting Minutes p. 117 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
Mayor and City Council of the City of San Bernardino Page 5

6. Accept State Funds for Seccombe Lake Park Rehabilitation Project Administered by the California Natural Resources Agency (Ward 1) p. 140 Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt resolution 2026-016, which supersedes the previously adopted resolution No. 2024-135 for the purpose of reallocating grant funds:

1. Authorizing the City Manager or his designee to accept state funds administered through the California Natural Resources Agency for the Seccombe Lake Park Rehabilitation Project in the amount of $5,000,000; and

2. Authorizing the City Manager or his designee to conduct all negotiations, signing, and submittals of necessary documents to receive the awarded funds.

3. Authorize the Director of Finance & Management Services to reallocate $5,000,000 from the Park Land Replacement Project to the Seccombe Lake Park Rehabilitation Project.

7. Approval of the award for Financial Auditing Services to Eadie Payne LLP, in the Amount of $542,860 to Audit Financial Statements for Fiscal Years Ending June 30, 2026, through June 30, 2030, with the Option of Auditing the City’s Financials for Two Subsequent Years (All Wards) p. 146
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the professional services agreement with Eadie Payne LLP for financial auditing services in the amount of $542,860 for fiscal years ending June 30, 2026, through June 30, 2030, with the option of auditing the City’s financial statements for two subsequent years (through June 30, 2032).

8. Approve Amendment No. 1 to the Professional Services Agreement with Hinderliter, De Llamas & Associates for Sales and Use Transaction Tax Auditing Services, Including Measure S District Tax, Extending the Term Through June 30, 2030, Increasing the Not-to-Exceed Amount by $250,000 for a New Total Contract Amount Not to Exceed $275,500 (All Wards) p. 203
Recommendation:

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

1. Approve Amendment No. 1 to the Professional Services Agreement with Hinderliter, De Llamas & Associates for Professional Auditing Services related to the City's Sales and Use Transaction Tax, including the Measure S District Tax, extending the agreement term through June 30, 2030; and

2. Increase the original contract not -to-exceed amount by $250,000, resulting in a new total contract amount not to exceed $275,500; and

3. Authorize the City Manager or designee to execute the amendment.

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

9. Ratify the No- Cost Extension Amendment No. 2 to the Agreement with the Board of State Community Corrections (BSCC) for the California Violence Intervention Program Cycle 4 Grant (Cal VIP 4) (All Wards) p. 226
Recommendation:

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

1. Ratify the No-Cost Extension Amendment No. 2 to the Agreement with the Board of State Community Corrections (BSCC) for the California Violence Intervention Program Cycle 4 Grant; and

2. Authorize the City Manager, or designee, to take any further actions to execute amendments or documents as necessary, including minor and substantive changes, after review by the City Attorney, as necessary to effectuate the implementation of the community violence intervention program services with Subrecipients Young Visionaries Youth Leadership Academy and Operation New Hope.

10. Annual Renewal Of The City's Property Insurance For FY 2026/27 In An Amount Not To Exceed $2,540,000 (All Wards) p. 279
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the annual renewal of the City’s property insurance for a premium not to exceed
$2,540,000 for the term beginning April 1, 2026, and ending March 31, 2027; and authorizing the City Manager to execute all related documentation.

11. Amendment No. 1 to Goods Purchase Agreement with Long Beach BMW Motorcycles to Increase the Not to Exceed Amount to $162,809.80 (All Wards) p. 288 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 $162,809.80.

2. Authorize the Director of Finance and Management Services to increase the existing purchase order from $77,218.00 to $162,809.80.

12. Memorandum of Understanding with Riverside Urban Area Security Initiative (All Wards) p. 299
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2026-018 authorizing:

1. The City Manager to enter a Regional Training and Equipment Memorandum of Understanding with the City of Riverside regarding Urban Area Security Initiative Grant funding for Federal Fiscal Year 2023; and

2. Authorizing the City Manager or their designee to conduct all negotiations, signings, and submitting documents to the necessary.

Mayor and City Council of the City of San Bernardino Page 7

13. Approve Amendment No. 3 to the Design Services Agreement with RHA Landscape Architects – Planners Inc. For The Seccombe Lake Park Revitalization Project for $342,790 and Approve Additional Contingencies in the Amount of $35,000 for a Total Increase of $377,790. (Ward 1) p. 341
Recommendation:

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

1. Approve Amendment No. 3 to the Professional Design Services Agreement with RHA Landscape Architects – Planners Inc. for the Seccombe Lake Park Revitalization Project (Project) in the amount of $377,790, increasing the total not to exceed amount to $968,645, and extending the term through December 31, 2027; and

2. Authorize the City Manager or designee to execute all documents with RHA Landscape Architects – Planners Inc.

3. Authorize the City Manager or designee to expend the contingency fund, if necessary, to complete the project.

DISCUSSION

14. Authorization to Proceed with Lease Renewal Negotiations with the YMCA of the East Valley for 808 E. 21st Street (Ward 2) p. 446
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, authorize the City Manager to proceed with lease renewal negotiations with the YMCA of the East Valley for the property located at 808 E. 21st Street.

15. Designation of One or More Alternate Voting Delegates for the SCAG 2026 Regional Conference and General Assembly in Palm Desert, CA May 7-8, 2026 (All Wards) p. 472 Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve the selection of one or more alternate voting delegates for the Southern California Association of Governments (SCAG) 2026 Regional Conference and General Assembly, scheduled for May 7– 8, 2026, at the JW Marriott Desert Springs Resort & Spa in Palm Desert, California.

16. Authorize Staff to Begin Statutory Due Diligence for San Bernardino County Fire – Firehouse 222 Expansion at Bobby Vega Park (Ward 1) p. 475 Recommendation:

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

1. Authorize staff to initiate statutory due diligence for the San Bernardino County Fire – Firehouse 222 Expansion Project at Bobby Vega Park, including environmental review, title verification, and other compliance activities required under applicable state and local regulations; and

2. Direct staff to return to Council, upon completion of due diligence and subdivision of the park land, with a resolution declaring the newly created parcel as surplus land and authorizing its disposition pursuant to the Surplus Land Act provisions applicable to local agency -to-agency transfers or exchanges.

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

ITEMS TO BE CONSIDERED FOR FUTURE MEETINGS

17. Adopt a Citywide Constitutional Rights Resolution (All Wards) – (Council Member Ibarra) p. 479

18. Consider a Resolution on Immigration Enforcement. As Part of Agenda Item, Consider a Resolution Similar to the Riverside Resolution and How it Would be Impacted by California State law. (All Wards) - (Council Member Flores) p. 480

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 18, 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 9

CERTIFICATION OF POSTING AGENDA

I, Telicia Lopez, CMC, City Clerk for the City of San Bernardino, California, hereby certify that the agenda for the March 4, 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 Friday, February 27, 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 10 NOTICE:

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.

Mayor and City Council of the City of San Bernardino Page 11

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 Acting 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 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.

Mayor and City Council of the City of San Bernardino Page 12 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.” Mayor and City Council of the City of San Bernardino Page 13 This page intentionally left blank.

CLOSED SESSION

City of San Bernardino
Request for Council Action

Date: March 4, 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 Section54956.9(a) and (d)(1):
i.) Justin Ramirez v. City of San Bernardino, San Bernardino Superior Court Case No.

CIVSB2419803
B) CONFERENCE WITH LEGAL COUNSEL - Anticipated Litigation - Significant Exposure to Litigation (Pursuant to Government Code Section 54956.9(d)(2)(1): (1) Case

C) CONFERENCE WITH LEGAL COUNSEL with Legal Counsel - Anticipated Litigation - Significant Exposure to Litigation (Pursuant to Government Code Section 54956.9(d)(2)):
i.) Notice of Claim, Asusena Soren, dated July 21, 2025, Amended Claim filed August 5, 2025, Claim No. GHC0086369

D) PUBLIC EMPLOYEE PERFORMANCE EVALUATION (Pursuant to Government Code Section 54957)
Title: City Manager

E) PUBLIC EMPLOYEE PERFORMANCE EVALUATION PROCESS (Pursuant to Government Code Section 54957)
(Criteria, Timing, Goal Setting, and Other Preliminary Matters) Titles: City Clerk, City Attorney

Packet Page. 14

CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: March 4, 2026
To: Honorable Mayor and City Council Members
From: Darren Goodman, Chief of Police
Department: Police
Subject: Adopt a Resolution Authorizing The City Manager To Execute An Agreement For The Acceptance Of $100,000
From The San Bernardino County Board Of Supervisors
To Assist The San Bernardino Police Department With The Purchase Of A Tactical Robot (All Wards)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2026-017 authorizing:

2. The Director of Finance and Management Services to amend the applicable fiscal year operating budget in the amount of $100,000 in both revenue and expenditures.

City Manager's Comments
The City Manager recommends approval.

Executive Summary
The City of San Bernardino Police Department seeks approval to accept $100,000 in external funding from the San Bernardino County Board of Supervisors, specifically Supervisor Joe Baca, to assist with the purchase of a Robotic Police K9. This advanced public safety technology will enhance officer and public safety by allowing officers to remotely assess high-risk environments during critical incidents, including searches for armed suspects, barricaded individuals, and potential explosive devices.

The Robotic Police K9 will be deployed citywide and used during high-risk calls for

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service to provide real-time situational awareness before officers are required to enter potentially dangerous locations. This capability improves tactical decision-making, reduces risk to personnel, and supports safer outcomes for the community.

Background
The San Bernardino Police Department regularly responds to high-risk calls for service, including building searches for armed suspects, barricaded individuals, and incidents involving potential explosive or hazardous devices. These situations often require officers to enter unknown environments where the presence of threats cannot be immediately confirmed.

Law enforcement agencies nationwide have increasingly adopted robotic technologies to enhance safety during critical incidents. Robotic Police K9 systems are designed to provide real-time video, audio, and environmental data, allowing officers to remotely assess conditions before committing personnel to potentially dangerous situations.

Discussion
Law enforcement agencies nationwide are increasingly leveraging advanced technologies to reduce the inherent risks associated with high-risk calls for service while maintaining effective public safety operations. Staffing challenges, call-for- service volumes, and the complexity of modern critical incidents have accelerated the adoption of tools that allow officers to assess threats remotely before committing personnel into potentially dangerous environments.

Robotic Police K9 systems are one such technology that has gained acceptance across the law enforcement profession as a means of enhancing officer safety, improving situational awareness, and supporting informed tactical decision-making.

These systems are specifically designed to be deployed during high-risk incidents, including armed suspect searches, barricaded subjects, and incidents involving potential explosive or hazardous devices.

Robotic Police K9s are capable of entering buildings and confined spaces, navigating hallways and stairwells, opening doors, and operating in low-visibility environments, all while transmitting real-time video and audio back to officers and incident commanders.

This allows law enforcement personnel to visually assess interior conditions, identify potential threats, and determine appropriate response strategies without immediately placing officers in harm’s way.

The ability to remotely clear rooms, check structures, and locate suspects significantly reduces the need for officers to conduct blind entries into unknown environments. This technology enhances operational safety by providing critical intelligence prior to officer deployment, allowing command staff to deploy resources more strategically and reduce unnecessary exposure to risk.

In addition to officer safety benefits, the use of robotic platforms supports more controlled and deliberate responses during critical incidents, often resulting in improved

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outcomes for all involved parties. By slowing down the decision-making process and providing accurate, real-time information, the Robotic Police K9 helps de-escalate volatile situations and promotes safer resolutions.

The acquisition of a Robotic Police K9 represents a proactive investment in modern policing practices and aligns with broader law enforcement trends focused on innovation, risk mitigation, and responsible use of technology. The acceptance of $100,000 in funding from the San Bernardino County Board of Supervisors will assist the San Bernardino Police Department in enhancing its operational capabilities while continuing to prioritize the safety of officers and the community.

While this external funding will not cover the full cost of the Robotic Police K9, the Police Department has identified additional funding sources to subsidize the remaining balance. San Bernardino County will provide $100,000 in funding, which will be applied to the purchase of a robotic K-9. The total purchase cost is estimated at $350,000; therefore, the remaining estimated $250,000 will be funded through the Police Department’s Funds. As a result, the purchase will be fully supported by external and restricted funding sources, with no additional General Fund expenditure. Upon approval, the Department will follow all City purchasing policies and procurement guidelines.
2021-2025 Strategic Targets and Goals
Acceptance of this funding aligns with Key Target Goal No. 1: Improved Financial and Operational Capacity, supporting the City’s ability to secure external funding to enhance public safety services without reliance on the General Fund. Advanced public safety technologies such as robotic systems can be costly, and this funding assists the Department in strengthening operational capabilities in a fiscally responsible manner.

This item also aligns with Key Target Goal No. 3: Improved Quality of Life. The use of a Robotic Police K9 during high-risk incidents allows officers to identify threats, hazards, or suspects remotely and limit unnecessary exposure to danger. This improves the delivery of public safety services while protecting officers and community members alike.

Fiscal Impact
The fiscal impact to the general fund will be an increase in revenue and expenditure by $100,000.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2026-018 authorizing:

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2. The Director of Finance and Management Services to amend the applicable fiscal year operating budget in the amount of $100,000 in both revenue and expenditures.

Attachments
Attachment 1 Resolution No. 2026-017
Attachment 2 Contract with the County of San Bernardino Ward:

All Wards
Synopsis of Previous Council Actions:

On June 4, 2025, the Mayor and City Council adopted Resolution No. 2025-303, approving an agreement with the County of San Bernardino to accept $562,500 towards the purchase of Unmanned Aerial Systems.

CC: Eric Levitt, City Manager

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Resolution No. 2026-017
Resolution No. 2026-017
March 4, 2026

Page 1 of 3 ends

RESOLUTION NO. 2026-017

RESOLUTION OF THE MAYOR AND CITY COUNCIL OF

THE CITY OF SAN BERNARDINO, CALIFORNIA,

AUTHORIZING THE CITY MANAGER TO EXECUTE AN

AGREEMENT WITH THE COUNTY OF SAN
BERNARDINO FOR THE ACCEPTANCE OF $100,000

FROM THE SAN BERNARDINO COUNTY BOARD OF

SUPERVISORS TO ASSIST THE SAN BERNARDINO

POLICE DEPARTMENT WITH THE PURCHASE OF A

TACTICAL ROBOT AND THE DIRECTOR OF FINANCE

AND MANAGEMENT SERVICES TO AMEND THE

APPLICABLE FISCAL YEAR OPERATING BUDGET IN
THE AMOUNT OF $100,000 IN BOTH REVENUE AND
EXPENDITURES.

WHEREAS, the County of San Bernardino Board of Supervisors has agreed to provide $100,000 of County funding.

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

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

SECTION 2. Authorize the City Manager to execute a contract with the County of San Bernardino for the acceptance of $100,000 from the County funds, for the purchase of a tactical robot,
SECTION 3. Authorize the Director of Finance and Management Services to amend the fiscal year Adopted Budget increasing revenue and expenditures by $100,000.

SECTION 4. The Mayor and City Council find that this Resolution is not subject to the California Environmental Quality Act (CEQA) because the activity is covered by the general rule that CEQA applies only to projects that have the potential to cause a significant effect on the environment. Where it can be seen with certainty, as in this case, that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.

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

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

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Resolution No. 2026-017
Resolution No. 2026-017
March 4, 2026

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APPROVED and ADOPTED by the City Council and signed by the Mayor and attested by the City Clerk this 4th day of March 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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Resolution No. 2026-017
Resolution No. 2026-017
March 4, 2026

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CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss

CITY OF SAN BERNARDINO )

I, Telicia Lopez, CMC, City Clerk, hereby certify that the attached is a true copy of Resolution No. 2026-017, adopted at a regular meeting held on the 4 th day of March 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 5 th day of March 2026.

Telicia Lopez, CMC, City Clerk

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

Board of Supervisors

Department Contract
Representative

Penelope Chan
g

Telephone Number 909-387-4886
Contractor City of San Bernardino
Contractor Representative Francisco Hernandez
Telephone Number 909-384-5740
Contract Term 03/10/2026 – 03/09/2028
Original Contract Amount Not-to-Exceed $100,000
Amendment Amount
Total Contract Amount Not-to-Exceed $100,000
Cost Center 1025001000

IT IS HEREBY AGREED AS FOLLOWS:

WHEREAS, it is the policy of the Board of Supervisors (Board) to work with community partners through services provided by San Bernardino County (County) and contra ctual agreements to identify programs, projects, and initiatives, that support the mission of the County, and to provide services to citizens that promote health, safety, economic well-being, education, recreation, and other public services that enhance quality of life, and meet the needs of the County’s citizens;

WHEREAS, under Government Code sections 26224 and 26227 the Board may contract with certain entities to provide certain services to County residents;

WHEREAS, the County desires to provide funding to the City of San Bernardino (Contractor) to assist with the purchase of one tactical robot for the Contractor’s Police Department (Services); WHEREAS, the County would like Contractor to manage and provide the Services; WHEREAS, the County finds Contractor qualified to be provided the funding for the Services; WHEREAS, providing funding to Contractor serves the public purpose of providing for the health and safety needs of the County residents through the acquisition of a tactical robot to help support tactical operations, humanitarian responses, and search-and-secure missions, enhance safety for officers, K-9s, and involved parties, and reduce risk during critical incidents;
WHEREAS, the County residents of San Bernardino and the surrounding communities of the Fifth District will be served by the Services; and
Contract Number

SAP Number

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WHEREAS, the County desires that such Services be provided by Contractor and Contractor agrees to perform these services as set forth below.

NOW, THEREFORE, the County and Contractor mutually agree to the following terms and conditions:

A. PURPOSE OF CONTRACT
This Contract is made for the purpose of providing funding to support Contractor for the Services.

B. CONTRACTOR RESPONSIBILITIES AND SCOPE OF SERVICES
B.1 Funding arising out of this Contract will be used to support Contractor with costs related to the purchase of one tactical robot for the Contractor’s Police Department.

B.2 Contractor shall allow the County, its officers, agents and employees the privilege and right to on- site inspection of the Services for the duration of this Contract. Contractor will ensure that its employees or agents furnish any information that in the judgment of the County, may be relevant to a question of compliance with contractual conditions, or the effectiveness, legality, and achievements of the program.

B.3 Contractor shall provide the County all documen tation regarding the scope of Services covered by this Contract that the County requests from Contractor within 10 days of County’s request unless a different time is agreed to by the County.

B.4 Contractor shall provide the County with documentation supporting completion of the Project within 60 days of project completion.

B.5 Contractor acknowledges and agrees that it will make a matching contribution of at least 25% of the total cost of the purchase, which is estimated in excess of $200,000. Contractor’s matching contribution will be a minimum of $100,000.

C. GENERAL CONTRACT REQUIREMENTS
C.1 Recitals
The recitals set forth above are true and correct and incorporated herein by this reference.

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

C.3 Contract Assignability
Without the prior written consent of the County, the Contract is not assignable by Contractor either in whole or in part. Any attempt by Contractor to assign any performance of the terms of this Contract shall be null and void and shall constitute a material breach of this Contract.

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

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

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

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

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

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

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

C.10 Confidentiality
Contractor shall protect from unauthorized use or disclosure the names and other identifying information concerning persons receiving Services pursuant to this Contract, except for statistical information not identifying any participant. Contractor shall not use or disclose any identifying information for any purpose other than carrying out the Contractor's obligations under this Contract, except as may otherwise be required by law. This provision will remain in force even after the termination of the Contract.

C.11 Primary Point of Contact
Contractor will designate an individual to serve as the primary point of contact for the Contract.

Contractor or designee must respond to County inquiries within two (2) business days. Contractor shall not change the primary contact without written acknowledgement to the County. Contractor will also designate a back-up point of contact in the event the primary contact is not available.

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C.12 County Representative
The Fifth District Supervisor or his/her designee shall represent the County in all matters pertaining to the Services to be rendered under this Contract, including termination and assignment of this Contract, and shall be the final authority in all matters pertaining to the Services/Scope of Work by Contractor. Except as provided under Section D of this Contract or as otherwise delegated by the Board of Supervisors, if this Contract was initially approved by the San Bernardino County Board of Supervisors, then the Board of Supervisors must approve all amendments to this Contract.

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

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

C.14 Debarment and Suspension
Contractor certifies that neither it nor its principals or subcontractors is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any federal department or agency. (See the following United States General Services Administration’s System for Award Management website https://www.sam.gov).

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

C.15 Drug and Alcohol Free Workplace
In recognition of individual rights to work in a safe, healthful and productive workplace, as a material condition of this Contract, the Contractor agrees that the Contractor and the Contractor’s employees, while performing service for the County, on County property, or while using County equipment:

C.15.1 Shall not be in any way impaired because of being under the influence of alcohol or an illegal or controlled substance.

C.15.2 Shall not possess an open container of alcohol or consume alcohol or possess or be under the influence of an illegal or controlled substance.

C.15.3 Shall not sell, offer, or provide alcohol or an illegal or controlled substance to another person, except where Contractor or Cont ractor’s employee who, as part of the performance of normal job duties and responsibilities, prescribes or administers medically prescribed drugs.

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

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

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C.16 Duration of Terms
This Contract, and all of its terms and conditions, shall be binding upon and shall inure to the benefit of the heirs, executors, administrators, successors, and assigns of the respective parties, provided no such assignment is in violation of the provisions of this Contract.

C.17 Employment Discrimination
During the term of the Contract, Contractor shall not discriminate against any employee or applicant for employment because of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condi tion, genetic information, marital status, sex, gender, gender identity, gender expression, sexual orientation, age, or military and veteran status.

Contractor shall comply with Executive Orders 11246, 11375, 11625, 12138, 12432, 12250, 13672, Title VI and Title VII of the Civil Rights Act of 1964, the California Fair Employment and Housing Act and other applicable Federal, State and County laws and regulations and policies relating to equal employment and contracting opportunities, including laws and regulations hereafter enacted.

C.18 Environmental Requirements
In accordance with County Policy 11-08, the County prefers to acquire and use products with higher levels of post-consumer recycled content. Environmentally preferable goods and materials must perform satisfactorily and be available at a reasonable price. The County requires Contractor to use recycled paper for any printed or photocopied material created as a result of this Contract. Contractor is also required to use both sides of paper sheets for reports submitted to the County whenever practicable.

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

C.19 Improper Influence
Contractor shall make all reasonable efforts to ensure that no County officer or employee, whose position in the County enables him/her to influence any award of the Contract or any competing offer, shall have any direct or indirect financial interest resulting from the award of the Contract or shall have any relationship to the Contractor or officer or employee of the Contractor.

C.20 Improper Consideration
Contractor shall not offer (either directly or through an intermediary) any improper consideration such as, but not limited to cash, discounts, service, the provision of travel or entertainment, or any items of value to any officer, employee or agent of the County in an attempt to secure favorable treatment regarding this Contract.

The County, by written notice, may immediately terminate this Contract if it determines that any improper consideration as described in the preceding paragraph was offered to any officer, employee or agent of the County with respect to the proposal and award process. This prohibition shall apply to any amendment, extension or evaluation process once a contract has been awarded.

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

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C.21 Informal Dispute Resolution
In the event the County determines that service is unsatisfactory, or in the event of any other dispute, claim, question or disagreement arising from or relating to this Contract or breach thereof, the parties hereto shall use their best efforts to settle the dispute, claim, question or disagreement.

To this effect, they shall consult and negotiate with each other in good faith and, recognizing their mutual interests, attempt to reach a just and equitable solution satisfactory to both parties.

C.22 Legality and Severability
The parties’ actions under the Contract shall comply with all applicable laws, rules, regulations, court orders and governmental agency orders. The provisions of this Contract are specifically made severable. If a provision of the Contract is terminated or held to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall remain in full effect.

C.23 Licenses, Permits and/or Certifications
Contractor shall ensure that it has all necessary licenses, permits and/or certifications required by the laws of Federal, State, County, and municipal laws, ordinances, rules and regulations. The Contractor shall maintain these licenses, permits and/or certifications in effect for the duration of this Contract. Contractor will notify County i mmediately of loss or suspension of any such licenses, permits and/or certifications. Failure to maintain a required license, permit and/or certification may result in immediate termination of this Contract.

C.24 Material Misstatement/Misrepresentation
If during the course of the administration of this Contract, the County determines that Contractor has made a material misstatement or misrepresentation or that materially inaccurate information has been provided to the County, this Contract may be immediately terminated. If this Contract is terminated according to this provision, the County is entitled to pursue any available legal remedies.

C.25 Mutual Covenants
The parties to this Contract mutually covenant to perform all of their obligations hereunder, to exercise all discretion and rights granted hereunder, and to give all consents in a reasonable manner consistent with the standards of “good faith” and “fair dealing”.

C.26 Nondisclosure
Contractor shall hold as confidential and use reasonable care to prevent unauthorized access by, storage, disclosure, publication, dissemination to and/or use by third parties of, confidential information that is either: (1) provided by the County to Contractor or an agent of Contractor or otherwise made available to Contractor or Contractor’s agent in connection with this Contract; or, (2) acquired, obtained, or learned by Contractor or an agent of Contractor in the performance of this Contract. For purposes of this provision, confidential information means any data, files, software, information or materials in oral, electronic, tangible or intangible form and however stored, compiled or memorialize and includes, but is not limited to, technology infrastructure, architecture, financial data, trade secrets, equipment specifications, user lists, passwords, research data, and technology data.

C.27 Notice of Delays
Except as otherwise provided herein, when either party has knowledge that any actual or potential situation is delaying or threatens to delay the timely performance of this Contract, that party shall, within twenty-four (24) hours, give notice thereof, including all relevant information with respect thereto, to the other party.

C.28 Ownership of Documents
All documents, data, products, graphics, computer programs and reports prepared by Contractor pursuant to the Contract shall be considered property of the County upon payment for Services (and products, if applicable). All such items shall be delivered to County at the completion of work

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under the Contract, subject to the requirements of Section IV–Term of the Contract. Unless otherwise directed by County, Contractor may retain copies of such items.

C.29 RESERVED.

C.30 Air, Water Pollution Control, Safety and Health
Contractor shall comply with all air pollution control, water pollution, safety and health ordinances and statutes, which apply to the work performed pursuant to this Contract.

C.31 Records
Contractor shall maintain all records and books pertaining to the delivery of Services under this Contract and demonstrate accountability for Contract performance. All records shall be complete and current and comply with all Contract requirements. Failure to maintain acceptable records shall be considered grounds for withholding of payments for invoices submitted and/or termination of the Contract.

All records relating to the Contractor’s personnel, consultants, subcontractors, Services/Scope of Work and expenses pertaining to this Contract shall be kept in a generally acceptable accounting format. Records should include primary source documents. Fiscal records shall be kept in accordance with Generally Accepted Accounting Principles and must account for all funds, tangible assets, revenue and expenditures. Fiscal records must comply with the appropriate Office of Management and Budget (OMB) Circulars, which state the administrative requirements, cost principles and other standards for accountancy.

C.32 Relationship of the Parties
Nothing contained in this Contract shall be construed as creating a joint venture, partnership, or employment arrangement between the Parties hereto, nor shall either Party have the right, power or authority to create an obligation or duty, expressed or implied, on behalf of the other Party hereto.

C.33 Release of Information
No news releases, advertisements, public ann ouncements or photographs arising out of the Contract or Contractor’s relationship with County may be made or used without prior written approval of the County.

C.34 Representation of the County
In the performance of this Contract, Contractor, its agents and employees, shall act in an independent capacity and not as officers, employees, or agents of the San Bernardino County.

C.35 Strict Performance
Failure by a party to insist upon the strict performance of any of the provisions of this Contract by the other party, or the failure by a party to exercise its rights upon the default of the other party, shall not constitute a waiver of such party’s right to insist and demand strict compliance by the other party with the terms of this Contract thereafter.

C.36 Subcontracting
Contractor shall obtain County’s written consent, which County may withhold in its sole discretion, before entering into Contracts with or otherwise engaging any subcontractors who may supply any part of the Services to County. At County’ s request, Contractor shall provide information regarding the subcontractor’s qualifications and a listing of a subcontractor’s key personnel including, if requested by the County, resumes of proposed subcontractor personnel. Contractor shall remain directly responsible to County for its subcontractors and shall indemnify County for the actions or omissions of its subcontractors under the terms and conditions specified in Section G. All approved subcontractors shall be subject to the provisions of this Contract applicable to Contractor Personnel.

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For any subcontractor, Contractor shall:

C.36.1 Be responsible for subcontractor compliance with the Contract and the subcontract terms and conditions; and
C.36.2 Ensure that the subcontractor follows C ounty’s reporting formats and procedures as specified by County.

C.36.3 Include in the subcontractor’s subcontract substantially similar terms as are provided in Sections B. Contractor Responsibilities and C. General Contract Requirements.

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

C.37 Subpoena
In the event that a subpoena or other legal process commenced by a third party in any way concerning the Goods or Services provided under this Contract is served upon Contractor or County, such party agrees to notify the other party in the most expeditious fashion possible following receipt of such subpoena or other legal process. Contractor and County further agree to cooperate with the other party in any lawful effort by such other party to contest the legal validity of such subpoena or other legal process commenced by a third party as may be reasonably required and at the expense of the party to whom the legal process is directed, except as otherwise provided herein in connection with defense obligations by Contractor for County.

C.38 Termination for Convenience
The County and the Contractor each reserve the right to terminate the Contract, for its convenience, with or without cause, with a thirty (30) day written notice of termination. Such termination may include all or part of the Services described herein. Upon such termination, payment will be made to the Contractor for Services rendered and expenses reasonably incurred prior to the effective date of termination. Upon receipt of termination notice Contractor shall promptly discontinue Services unless the notice directs otherwise. Contractor shall deliver promptly to County and transfer title (if necessary) all completed work, and work in progress, including drafts, documents, plans, forms, dat a, products, graphics, computer programs and reports.

County may immediately terminate this Contract upon the termination, suspension, discontinuation or substantial reduction in County funding for the Contract activity or if for any reason the timely completion of the Services described in Section A or B under this Contract is rendered improbable, infeasible or impossible.

Upon Contract termination, Contractor shall immediately transfer to County all County Funds on hand at the time of expiration and any accounts receivable attributable to the use of County Funds.

C.39 Time of the Essence
Time is of the essence in performance of this Contract and of each of its provisions.

C.40 Venue
The parties acknowledge and agree that this Contract was entered into and intended to be performed in San Bernardino County, California. The parties agree that the venue of any action or claim brought by any party to this Contract will be the Superior Court of California, San Bernardino County, San Bernardino District. Each party hereby waives any law or rule of the court, which would allow them to request or demand a change of venue. If any action or claim concerning this Contract is brought by any third party and filed in another venue, the parties hereto agree to use their best efforts to obtain a change of venue to the Superior Court of California, San Bernardino County, San Bernardino District.

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C.41 Conflict of Interest
Contractor shall make all reasonable efforts to ensure that no conflict of interest exists between its officers, employees, or subcontractors and t he County. Contractor shall make a reasonable effort to prevent employees, Contractor, or members of governing bodies from using their positions for purposes that are, or give the appearance of being motivated by a desire for private gain for themselves or others such as those with whom they have family business, or other ties.

Officers, employees, and agents of cities, counties, districts, and other local agencies are subject to applicable conflict of interest codes and state law. In the event the County determines a conflict of interest situation exists, any increase in costs, associated with the conflict of interest situation, may be disallowed by the County and such conflict may constitute grounds for termination of the Contract. This provision shall not be construed to prohibit employment of persons with whom Contractor’s officers, employees, or agents have family, business, or other ties so long as the employment of such persons does not result in increased costs over those associated with the employment of any other equally qualified applicant.

C.42 Former County Administrative Officials
Contractor agrees to provide, or has already provided information on former San Bernardino County administrative officials (as defined below) who are employed by or represent Contractor.

The information provided includes a list of former County administrative officials who terminated County employment within the last five years and who are now officers, principals, partners, associates or members of the business. The in formation also includes the employment with or representation of Contractor. For purposes of th is provision, “County administrative official” is defined as a member of the Board of Supervisors or such officer’s staff, County Executive Officer or member of such officer’s staff, County dep artment or group head, assistant department or group head, or any employee in the Exempt Group, Management Unit or Safety Management Unit.

C.43 Disclosure of Criminal and Civil Procedures
The County reserves the right to request the information described herein from the Contractor.

Failure to provide the information may result in a termination of the Contract. The County also reserves the right to obtain the requested information by way of a background check performed by an investigative firm. The Contractor also may be requested to provide information to clarify initial responses. Negative information discovered may result in Contract termination.

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

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

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

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C.44 Copyright
County shall have a royalty-free, non-exclusive and irrevocable license to publish, disclose, copy, translate, and otherwise use, copyright or patent, now and hereafter, all reports, studies, information, data, statistics, forms, designs, plans, procedures, systems, and any other materials or properties developed under this Contract including those covered by copyright, and reserves the right to authorize others to use or reproduce such material. All such materials developed under the terms of this Contract shall acknow ledge the San Bernardino County as the funding agency and Contractor as the creator of the publication. No such materials, or properties produced in whole or in part under this Contract shall be subject to private use, copyright or patent right by Contractor in the United States or in any other country without the express written consent of County. Copies of all educational and training materials, curricula, audio/visual aids, printer material, and periodicals, assembled pursuant to this Contract must be filed with the County prior to publication.

C.45 Artwork, Proofs and Negatives
All artwork, proofs, and/or negatives in either print or digital format for anything produced under the terms of this Contract are the property of the County. These items must be returned to the County within ten (10) days, upon written notification to the Contractor. In the event of a failure to return the documents, the County is entitled to pursue any available legal remedies. In addition, the Contractor will be barred from all future solicitations, for a period of at least six (6) months.

C.46 Prohibition on Contracting with Entities that Require Certain Internal Confidentiality Agreements or Statements-Representation (FAR 52.203-18).

In compliance with Federal Acquisition Regulation 52.203-18, Contractor shall not require employees or subcontractors of Contractor seeking to report waste, fraud, or abuse, to sign internal confidentiality agreements or statement prohibiting or otherwise restricting such employees or subcontractors from lawfully reporting such waste, fraud or abuse to a designated investigative or law enforcement representative of a Federal department or agency authorized to receive such information. To the extent Contractor has required employees or subcontractors to sign internal confidentiality agreements or statements in the past, Contractor shall notify current employees and subcontractors that those prohibitions and restrictions are no longer in effect.

Contractor shall include this clause in all subcontracts.

C.47 Use of Biobased Products
Contractor certifies that to the extent biobased products are purchased using Contract funds, Contractor shall comply with Federal Acquisition Regulation 52.223-1.

C.48 Prohibition on Use of Certain Telecommunications and Video Surveillance Services or Equipment
In performing under this Contract, Contractor shall not utilize that certain telecommunication and video surveillance services or equipment specified in Federal Acquisition Regulation 52.204-25.

C.49 Service Contract Labor Standards
To the extent applicable, Contractor agrees to comply with and to provide any information necessary for the County to comply with Federal Acquisition Regulations 52.222-52, 52.222-53, and 22.1003-4.

D. TERM OF CONTRACT
The Contract is effective as of March 10, 2026 and expires March 9, 2028 but may be terminated earlier in accordance with provisions of this Contract.

The County Chief Executive Officer, at the direction of the Fifth District Supervisor, may extend the term of the Contract, in writing, to allow Contractor to complete all requirements in the Contract under the following conditions:
a. In aggregate all extensions do not exceed twelve (12) calendar months; b. Are specifically requested by Contractor;

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c. Will not change the project goals or scope of Services; d. Are in the best interests of County and Contractor in performing the scope of Services under this Contract; and
e. Do not alter the amount of compensation under this Contract.

E. RESERVED.

F. FISCAL PROVISIONS
F.1 The maximum amount of payment under this Contract shall not exceed $100,000 and is subject to availability of funds to the County. The consideration to be paid to Contractor, as provided herein, shall be in full payment for all Contractor’s Services and expenses incurred in the performance hereof, including travel and per diem.

F.2 Any costs in excess of the amount available in this section shall be the sole responsibility of Contractor. This condition however, does not preclude County from providing additional funding at its sole discretion. For the purpose of this Contract, County shall disburse compensation and monitor the Contractor’s performance in satisfying the scope of work obligations under the terms of this Contract.

Disbursement of funds to Contractor shall be made in one lump sum. Upon review/approval by County, County shall make payment to Contractor within thirty (30) working days after receipt of Contractor’s invoice or the resolution of any b illing dispute. Contractor shall email County the Contractor’s invoice requesting one lump sum payment. The invoice(s) shall reflect the Entity Payable To Name and Address, Invoice Date, Invoice Number, Project Name, Contract Number, County-Issued Purchase Order (if applicable), the text “Final Invoice”, amount due, in a format acceptable to the County for Services performed under this Contract. Contractor shall email invoice to County Administrative Office-Finance and Administration (County Finance) and shall include in the Subject Line: BOS – ENTITY NAME – PROJECT NAME – CONTRACT NUMBER – PO # [PURCHASE ORDER NUMBER]” (i.e. BOS-SAN BERNARDINO COUNTY-EDUCATION PROGRAM — 26-NNN – PO 4100NNNNNN).

Contractor shall submit a final expenditure report documented with “audit ready” supportive evidence of each expenditure and proof of payment until all funds have been justified 60 days after project completion. Documentation shall be submitted electronically, and Contractor shall supply hard copies upon request by County. Supportive evidence shall include, but is not limited to, copy of County’s approval email to Contractor, quotes, copy(ies) of purchase order, packing slips, a copy of the invoice submitted by Contractor requesting one lump sum payment from County, invoices paid by the Contractor for this project, proof of payment, etc., to County Finance.

Email to County Finance shall include in the Subject Line: BOS – ENTITY NAME – PROJECT NAME – CONTRACT NUMBER – PO # [PURCHASE ORDER NUMBER]”-SUPPORTIVE DOCUMENTS.

F.3 Contractor shall accept all payments from Coun ty via electronic funds transfer (EFT) directly deposited into the Contractor’s designated checking or other bank account. Contractor shall promptly comply with directions and accurately complete forms provided by County required to process EFT payments.

F.4 County is exempt from Federal excise taxes and no payment shall be made for any personal property taxes levied on Contractor or on any taxes levied on employee wages. The County shall only pay for any State or local sales or use taxes on the Services rendered or equipment and/or parts supplied to the County pursuant to the Contract.

F.5 Costs for Services under the terms of this Contract shall be incurred during the contract period except as approved by County. Contractor shall not use current year funds to pay prior or future year obligations.

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F.6 Funds made available under this Contract sha ll not supplant any federal, state or any governmental funds intended for Services of the same nature as this Contract. Contractor shall not claim reimbursement or payment from County for, or apply sums received from County with respect to that portion of its obligations that have been paid by another source of revenue.

Contractor agrees that it will not use funds received pursuant to this Contract, either directly or indirectly, as a contribution or compensation for purposes of obtaining funds from another revenue source without prior written approval of the County.

F.7 Contractor shall adhere to the County’s Travel Management Policy (8-02 and 08-02SP1) when travel is pursuant to this Contract and for whic h reimbursement is sought from the County. In addition, Contractor is encouraged to utilize local transportation Services, including but not limited to, the Ontario International Airport.

F.8 Contractor understands and agrees that any and all legal fees or costs associated with lawsuits concerning this Contract against the County shall be the Contractor’s sole expense and shall not be charged as a cost under this Contract.

F.9 If the Contractor does not use the County funds provided under this Contract to pay appropriate costs associated with the scope of Services by the termination date of this Contract, the Contractor shall return the County funds, or any unused portion thereof, to the County in accordance with any directions issued by County staff, within 60 days of written demand for the return of the County funds.

G. INDEMNIFICATION AND INSURANCE REQUIREMENTS
G.1 Indemnification
The Contractor agrees to indemnify, defend (with counsel reasonably approved by County) and hold harmless the County and its authorized officers, employees, agents and volunteers from any and all claims, actions, losses, damages and/or liability arising out of this Contract from any cause whatsoever, including the acts, errors or omissions of any person and for any costs or expenses incurred by the County on account of any claim except where such indemnification is prohibited by law. This indemnification provision shall apply regardless of the existence or degree of fault of indemnities. The Contractor indemnification obligation applies to the County’s “active” as well as “passive” negligence but does not apply to the County’s “sole negligence” or “willful misconduct” within the meaning of Civil Code section 2782.

G.2 Additional Insured
All policies, except for Worker’s Compensation, Errors and Omissions and Professional Liability policies shall contain additional endorsements naming the County and its officers, employees, agents and volunteers as additional named insured with respect to liabilities arising out of the performance of Services hereunder. The additional insured endorsements shall not limit the scope of coverage for the County to vicarious liability but shall allow coverage for the County to the full extent provided by the policy. Such additional insured coverage shall be at least as broad as Additional Insured (Form B) endorsement form ISO, CG 2010.11 85.

G.3 Waiver of Subrogation Rights
The Contractor shall require the carriers of required coverages to waive all rights of subrogation against the County, its officers, employees, agents, volunteers, contractors and subcontractors.

All general or auto liability insurance coverage pr ovided shall not prohibit the Contractor and Contractor’s employees or agents from waiving the right of subrogation prior to a loss or claim.

The Contractor hereby waives all rights of subrogation against the County.

G.4 Policies Primary and Non-Contributory
All policies required herein are to be primary and non-contributory with any insurance or self- insurance programs carried or administered by the County.

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G.5 Severability of Interests
The Contractor agrees to ensure that coverage provided to meet these requirements is applicable separately to each insured and there will be no cross liability exclusions that preclude coverage for suits between the Contractor and the County or between the County and any other insured or additional insured under the policy.

G.6 Proof of Coverage
The Contractor shall furnish Certificates of Insurance to the County Department administering the Contract evidencing the insurance coverage at the time the Contract is executed, additional endorsements, as required shall be provided prior to the commencement of performance of Services hereunder, which certificates shall provide that such insurance shall not be terminated or expire without thirty (30) days written notice to the Department, and Contractor shall maintain such insurance from the time Contractor co mmences performance of Services hereunder until the completion of such Services. Within fifteen (15) days of the commencement of this contract, the Contractor shall furnish a copy of the Declaration page for all applicable policies and will provide complete certified copies of the policies and endorsements immediately upon request.

G.7 Acceptability of Insurance Carrier
Unless otherwise approved by Risk Management, insurance shall be written by insurers authorized to do business in the State of California and with a minimum “Best” Insurance Guide rating of “A- VII”.

G.8 Deductibles and Self-Insured Retention
Any and all deductibles or self-insured retentions in excess of $10,000 shall be declared to and approved by Risk Management.

G.9 Failure to Procure Coverage
In the event that any policy of insurance required under this contract does not comply with the requirements, is not procured, or is canceled and not replaced, the County has the right but not the obligation or duty to cancel the contract or obtain insurance if it deems necessary and any premiums paid by the County will be promptly reimbursed by the Contractor or County payments to the Contractor will be reduced to pay for County purchased insurance.

G.10 Insurance Review
Insurance requirements are subject to periodic review by the County. The Director of Risk Management or designee is authorized, but not required, to reduce, waive or suspend any insurance requirements whenever Risk Management determines that any of the required insurance is not available, is unreasonably priced, or is not needed to protect the interests of the County. In addition, if the Department of Risk Management determines that heretofore unreasonably priced or unavailable types of insurance coverage or coverage limits become reasonably priced or available, the Director of Risk Management or designee is authorized, but not required, to change the above insurance requirements to require additional types of insurance coverage or higher coverage limits, provided that any such change is reasonable in light of past claims against the County, inflation, or any other item reasonably related to the County’s risk.

Any change requiring additional types of insurance coverage or higher coverage limits must be made by amendment to this contract. Contractor agrees to execute any such amendment within thirty (30) days of receipt.

Any failure, actual or alleged, on the part of the County to monitor or enforce compliance with any of the insurance and indemnification requirements will not be deemed as a waiver of any rights on the part of the County.

G.11 The Contractor agrees to provide insurance set forth in accordance with the requirements herein.

If the Contractor uses existing coverage to comply with these requirements and that coverage

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does not meet the specified requirements, t he Contractor agrees to amend, supplement or endorse the existing coverage to do so.

Without in anyway affecting the indemnity herein provided and in addition thereto, the Contractor shall secure and maintain throughout the contract term the following types of insurance with limits as shown:

G.11.1 Workers’ Compensation/Employer’s Liability – A program of Workers’ Compensation insurance or a state-approved, self-insurance program in an amount and form to meet all applicable requirements of the Labor Code of the State of California, including Employer’s Liability with $250,000 limits covering all persons including volunteers providing Services on behalf of the Contractor and all risks to such persons under this contract.

If Contractor has no employees, it may certify or warrant to the County that it does not currently have any employees or individuals who are defined as “employees” under the Labor Code and the requirement for Workers’ Compensation coverage will be waived by the County’s Director of Risk Management.

With respect to Contractors that are non-profit corporations organized under California or Federal law, volunteers for such entities are required to be covered by Workers’ Compensation insurance.

G.11.2 Commercial/General Liability Insurance – The Contractor shall carry General Liability Insurance covering all operations performed by or on behalf of the Contractor providing coverage for bodily injury and property damage with a combined single limit of not less than one million dollars ($1,000,000), per occurrence. The policy coverage shall include:
a. Premises operations and mobile equipment.
b. Products and completed operations.
c. Broad form property damage (including completed operations). d. Explosion, collapse and underground hazards.
e. Personal injury.
f. Contractual liability.
g. $2,000,000 general aggregate limit.

G.11.3 Automobile Liability Insurance – Primary insurance coverage shall be written on ISO Business Auto coverage form for all owned, hired and non-owned automobiles or symbol 1 (any auto). The policy shall have a combined single limit of not less than one million dollars ($1,000,000) for bodily injury and property damage, per occurrence.

If the Contractor is transporting one or more non-employee passengers in performance of contract Services, the automobile liability policy shall have a combined single limit of two million dollars ($2,000,000) for bodily injury and property damage per occurrence.

If the Contractor owns no autos, a non-owned auto endorsement to the General Liability policy described above is acceptable.

G.11.4 Umbrella Liability Insurance – An umbrella (over primary) or excess policy may be used to comply with limits or other primary coverage requirements. When used, the umbrella policy shall apply to bodily injury/property damage, personal injury/advertising injury and shall include a “dropdown” provision providing primary coverage for any liability not covered by the primary policy. The coverage shall also apply to automobile liability.

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H. RIGHT TO MONITOR AND AUDIT
H.1 The County, State and Federal government shall have absolute right to review and audit all records, books, papers, documents, corporate minutes, and other pertinent items as requested, and shall have absolute right to monitor the performance of Contractor in the delivery of Services provided under this Contract. Contractor shall give full cooperation, in any auditing or monitoring conducted. Contractor shall cooperate with the County in the implementation, monitoring, and evaluation of this Contract and comply with any and all reporting requirements established by the County.

H.2 All records pertaining to Services delivered and all fiscal, statistical and management books and records shall be available for examination and audit by County representatives for a period of three years after final payment under this Contract or until all pending County, State and Federal audits are completed, whichever is later.

I. CORRECTION OF PERFORMANCE DEFICIENCIES
I.1 Failure by Contractor to comply with any of the provisions, covenants, requirements or conditions of this Contract shall be a material breach of this Contract.

I.2 In the event of a non-cured breach, County may, at its sole discretion and in addition to any other remedies available at law, in equity, or otherwise specified in this Contract:
a. Afford Contractor thereafter a time period within which to cure the breach, which period shall be established at the sole discretion of County; and/or b. Discontinue reimbursement to Contractor for and during the period in which Contractor is in breach, which reimbursement shall not be entitled to later recovery; and/or c. Withhold funds pending duration of the breach; and/or d. Offset against any monies billed by Cont ractor but yet unpaid by County those monies disallowed pursuant to Item “b” of this paragraph; and/or e. Terminate this Contract immediately and be relieved of the payment of any consideration to Contractor. In the event of such termination, the County may proceed with the work in any manner deemed proper by the County. The cost to the County shall be deducted from any sum due to the Contractor under this Contract and the balance, if any, shall be paid by the Contractor upon demand.

J. NOTICES
All written notices provided for in this Contract or which either party desires to give to the other shall be deemed fully given, when made in writing and either se rved personally, or by facsimile, or deposited in the United States mail, postage prepaid, and addressed to the other party as follows:

San Bernardino County
CAO – Finance and Administration
385 N. Arrowhead Ave., Fourth Floor
San Bernardino, CA 92415
Attn: BOS Finance Analyst
City of San Bernardino
710 North D St.

San Bernardino, CA 92401
Attn: Francisco Hernandez
Assistant Police Chief

Notice shall be deemed communicated two (2) County working days from the time of mailing if mailed as provided in this paragraph.

K. ENTIRE AGREEMENT
This Contract, including all Exhibits and other attachments, which are attached hereto and incorporated by reference, and other documents incorporated herein, represents the final, complete and exclusive agreement between the parties hereto. Any prior agreement, promises, negotiations or representations relating to the subject matter of this Contract not expressly set forth herein are of no force or effect. This Contract is executed without reliance upon any promise, warranty or representation by any party or any representative of any party other than those expressly contained herein. Each party has carefully read

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this Contract and signs the same of its own free will.

L. CONTRACT EXECUTION
This Contract may be executed in any number of counterparts, each of which so executed shall be deemed to be an original, and such counterparts shall together constitute one and the same Contract.

The parties shall be entitled to sign and transmit an electronic signature of this Contract (whether by facsimile, PDF or other email transmission), whic h signature shall be binding on the party whose name is contained therein. Each party providing an electronic signature agrees to promptly execute and deliver to the other party an original signed Contract upon request.

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IN WITNESS WHEREOF, the San Bernardino County and the Contractor have each caused this Contract to be subscribed by its respective duly authorized officers, on its behalf.

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

Julie Surber, Principal Assistant County
Counsel

Date Date Date

SAN BERNARDINO COUNTY CITY OF SAN BERNARDINO
(Print or type name of corporation, company, contractor, etc.)

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

Name

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

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

Deputy
Address

710 North D St.

San Bernardino, CA 92401

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PRESENTATIONS
City of San Bernardino
Request for Council Action
Date: March 4, 2026
To: Honorable Mayor and City Council Members
From: Helen Tran, Mayor
Department: Mayor's Office
Subject: Vice Chair & 5th District Supervisor Joe Baca, Jr. (San Bernardino County) Check Presentation: $100,000 To
Assist The San Bernardino Police Department With The
Purchase Of A Tactical Robot (All Wards)

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PUBLIC HEARING
City of San Bernardino
Request for Council Action
Date: March 4, 2026
To: Honorable Mayor and City Council Members
From: Gabriel Elliott, Director of Community Development & Housing Department: Community Development & Housing
Subject: Substantial Amendment Number One to the Fiscal Year 2025-2026 Annual Action Plan, Allocating Community
Development Block Grant (CDBG) and CDBG Cares Act
(CDBG-CV) Funds from previous years to the SB HOPE
Campus (All Wards)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2026-015 and:

1. Conduct a Public Hearing to obtain citizens’ comments on the proposed Substantial Amendment Number One to the Fiscal Year (FY) 2025-2026 Annual Action Plan (AAP); and

2. Approve the Substantial Amendment Number One to the Fiscal Year 2025- 2026 Annual Action Plan to increase funding for the SB HOPE Campus by $1,979,926.86; and

3. Authorize the City Manager or designee to take any further actions and execute any further agreements or documents, as necessary, to effectuate the submittal of the proposed Substantial Amendment Number One to the Fiscal Year 2025- 2026 Annual Action Plan to HUD; and

4. Authorize the Director of Finance and Management Services to amend the Fiscal Year (FY) 2025–2026 Budget in accordance with the approved Substantial Amendment, allocating a total of $1,979,926.86 from prior-year unspent CDBG funds, including: $64,627.53 from FY 2021–2022, $305,884.60 from FY 2022–2023, $185,642.91 from FY 2023–2024, $58,392.47 from FY 2024–2025, $92,574.29 from FY 2025–2026, and $1,272,805.06 from CDBG- CV FY 2020–2021; and

5. Authorize the Director of Finance and Management Services to amend the Fiscal Year 2025–2026 Budget to reflect a technical correction revising CDBG

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(FUND 119) unearned revenues to $6,417,546.41 and CDBG-CV (FUND 131 & 139 cumulatively) unearned revenues to $2,163,968.63.

City Manager's Comments
The City Manager concurs with the Community Development Department recommendation.

Executive Summary
The Department of Housing and Urban Development (HUD) requires the preparation of an Annual Action Plan (AAP) to carry out the 5-Year Consolidated Plan. The AAP described specific projects and activities to be undertaken during the program year with federal funds including CDBG and CDBG-CV. The SB HOPE Campus project was originally funded with FY 23-24 and FY 25-26 CDBG funds and requires additional funds. Staff have determined that previous unspent CDBG and CDBG-CV funds are available for reallocation towards the SB HOPE campus. HUD regulations require a substantial amendment to reallocate funding, including a 30-day public notice and Public Hearing. The public will have the opportunity to comment on the proposed Substantial Amendment Number One to FY 2025-2026 AAP for the increased funding for the SB HOPE Campus from $2,975,579 to $4,955,505.86.

Background
The City received CDBG and CDBG-CV funds from HUD. CDBG funds are available to provide decent housing, suitable living environments, and expanded economic opportunities, principally for low- and moderate-income households. CDBG-CV funds are available to support activities resulting from the COVID-19 pandemic. Each year, the City prepares an AAP that describes how it will spend its CDBG and other federal funds it expects to receive from HUD.

In accordance with HUD regulations, the City is required to develop and implement an AAP consistent with the City’s Consolidated Plan. The AAP outlines specific projects and activities to be undertaken during the program year. Periodically, adjustments to the AAP are necessary to address evolving community needs, funding availability, and program priorities. When a proposed change meets the criteria for Substantial Amendment, such as a significant reallocation of funds, changes in project scope, or the addition of new activities, the City must amend the AAP and follow public participation requirements.

As part of the amendment process, the City published public notices and provided opportunities for the public to review and provide comments in accordance with its Citizen Participation Plan. To meet these requirements, the City issued a public notice in English and Spanish on January 29, 2026, in the newspaper, and posted the notice on the City’s website. The notice provided details on the proposed Substantial Amendment, the availability and locations of the draft document for public review, and instructions for submitting comments. A 30-day public comment period was held from January 29, 2026, to February 28, 2026, in compliance with HUD’s public participation guidelines.

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Discussion
The Substantial Amendment proposes modifications to the City’s FY 2025-2026 AAP by using unallocated CDBG funds and CDBG-CV for the SB HOPE Campus. The SB HOPE Campus is a city project transforming the former School of Hope site at 796 E 6th Street into a navigation center to support people experiencing homelessness. The SB HOPE campus will provide interim housing, supportive services, recuperative care, treatment for substance use disorders, a pathway to stable housing, and integrated services to connect housing with treatment and health services. The tables below show the existing CDBG funding for the SB HOPE Campus and the proposed reallocation of additional CDBG and CDBG-CV funding through the Substantial Amendment:

Existing SB HOPE Campus Activity Summary:

Previously approved SB Hope Campus CDBG allocations include:

FY Funding Activity Action Amount
23-24 CDBG SB Hope Campus Open Activity $1,901,365
25-26 CDBG SB Hope Campus Open Activity $1,074,214
Total Allocation: $2,975,579
Substantial Amendment Summary:

A summary of the substantial amendment actions are as follows:

FY Funding Activity Action Amount
20-21 CDBG-CV Unallocated Funds Reallocation $1,272,805.06 21-22 CDBG Unallocated Funds Reallocation $ 64,627.53 22-23 CDBG Unallocated Funds Reallocation $ 305,884.60 23-24 CDBG Unallocated Funds Reallocation $ 185,642.91 24-25 CDBG Unallocated Funds Reallocation $ 58,392.47 25-26 CDBG Pearl Transit Cancel Activity $ 59,262.00 25-26 CDBG WPCC Partial Reallocation $ 33,312.29
Total Amount for Reallocation: $1,979,926.86
Upon approval of the FY 25-26 Substantial Amendment Number One to reallocate $1,979,926.86 to the SB HOPE campus, the total funding available to the SB HOPE Campus will be $4,955,505.86.
2021-2025 Strategic Targets and Goals
The request for the Substantial Amendment Number One to the 2025-2026 AAP aligns with Key Target No.3 – Improved Quality of Life, and the 2025-2029 Consolidated Plan goal to strengthen Homeless Prevention Services. The SB Hope Campus will provide homeless and homeless prevention services, help expand interim and emergency housing capacity, reduce unsheltered homelessness, and improve stabilization outcomes.

Fiscal Impact
Approval of this item increases commitments in the CDBG and CDBG-CV budget by

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$1,979,926.86 which is exceeding the amount already previously approved by the Mayor and City Council. However, there is no fiscal impact to the General Fund as these are Federal grant funds.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt Resolution No. 2026-015 of the Mayor and City Council of the City of San Bernardino, California, approving substantial Amendment Number One to the Fiscal Year 2025-2026 Annual Action Plan, allocating Community Development Block Grant (CDBG) and CDBG Cares Act (CDBG-CV) funds from previous years to the SB Hope Campus (All Wards):

1. Conduct a Public Hearing to obtain citizens’ comments on the proposed Substantial Amendment Number One to the Fiscal Year (FY) 2025-2026 Annual Action Plan (AAP); and

2. Approve the Substantial Amendment Number One to the Fiscal Year 2025- 2026 Annual Action Plan to increase funding for the SB HOPE Campus by $1,979,926.86; and

4. Authorize the Director of Finance and Management Services to amend the Fiscal Year (FY) 2025–2026 Budget in accordance with the approved Substantial Amendment, allocating a total of $1,979,926.86 from prior-year unspent CDBG funds, including: $64,627.53 from FY 2021–2022, $305,884.60 from FY 2022–2023, $185,642.91 from FY 2023–2024, $58,392.47 from FY 2024–2025, $92,574.29 from FY 2025–2026, and $1,272,805.06 from CDBG- CV FY 2020–2021; and

5. Authorize the Director of Finance and Management Services to amend the Fiscal Year 2025–2026 Budget to reflect a technical correction revising CDBG (FUND 119) unearned revenues to $6,417,546.41 and CDBG-CV (FUND 131 & 139 cumulatively) unearned revenues to $2,163,968.63.

Attachments
Attachment 1 Substantial Amendment One to the Fiscal Year 2025- 2026 Annual Action Plan
Attachment 2 Resolution No. 2026-015
Attachment 3 Proof of Publication English
Attachment 4 Proof of Publication Spanish
Ward:

All Wards
Synopsis of Previous Council Actions:

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On June 18, 2025, the Mayor and City Council adopted Resolution No. 2025-308 approving the 2025-2026 Annual Action Plan.

CC: Eric Levitt, City Manager

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FY2025-2026 ANNUAL

ACTION PLAN
Community Development and Housing Department

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Annual Action Plan
2025
1 OMB Control No: 2506-0117 (exp. 09/30/2021)

Expected Resources
AP-15 Expected Resources - 91.220(c)(1,2)
Introduction
Over the five-year period covered by this ConPlan FY 2025–2029, the City anticipates receiving an estimated total of approximately $19,023760 million in federal entitlement grants from HUD, CDBG, HOME, and ESG funds. These funding sources provide essential support for a wide range of eligible housing, community development, and homelessness prevention activities.

The City will coordinate these investments with other local and regional funding sources—including state housing programs, Continuum of Care funding, and private sector investments—to ensure a comprehensive and sustainable approach to meeting the needs of low- and moderate- income residents. Resources will be aligned with the priority needs, goals, and outcomes identified through the planning process, including community engagement and market analysis.

Anticipated Resources
Program Source of
Funds
Uses of Funds Expected Amount Available Year 1 Expected Amount
Available
Reminder of
ConPlan
$
Narrative Description
Annual
Allocation: $
Program
Income:
$
Prior Year
Resources:
$
Total:
$
CDBG public -
federal
Acquisition
Admin and Planning
Economic
Development
Housing
Public Improvements
Public Services 2,712,293.00 0.00 0.00 2,712,293.00 10,184,849.00 The est. amount of CDBG
funds available is based
on allocations for FY
2025-2026

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Annual Action Plan
2025
2 OMB Control No: 2506-0117 (exp. 09/30/2021)
Program Source of
Funds
Uses of Funds Expected Amount Available Year 1 Expected Amount
Available
Reminder of
ConPlan
$
Narrative Description
Annual
Allocation: $
Program
Income:
$
Prior Year
Resources:
$
Total:
$
HOME public -
federal
Acquisition
Homebuyer
assistance
Homeowner rehab
Multifamily rental
new construction
Multifamily rental
rehab
New construction for
ownership
TBRA 1,149,833.55 0.00 0.00 1,149,833.55 4,303,055.00
The est. amount of
HOME funds available is
based on allocations for
FY 2025-2026
ESG public -
federal
Conversion and
rehab for
transitional housing
Financial Assistance
Overnight shelter
Rapid re-housing
(rental assistance)
Rental Assistance
Services
Transitional housing
241,347.00 0.00 0.00 241,347.00 959,283.00
The est. amount of ESG
funds available is based
on allocations for FY
2025-2026
Table 1 - Expected Resources – Priority Table

Explain how federal funds will leverage those additional resources (private, state and local funds), including a description of how matching requirements will be satisfied

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Annual Action Plan
2025
3 OMB Control No: 2506-0117 (exp. 09/30/2021)
Leverage refers to the strategic combination of diverse funding sources, including local, state, or further federal financial support, with HUD funding to improve project efficiency and take advantage of economies of scale. The City seeks to utilize its federal resources alongside state, local, and private funding to create high-quality, affordable housing for its residents. Extra resources to meet the requirements of low- and moderate-income residents are obtained from several sources, including:

Federal Resources
• Section 8 Housing Choice Voucher Program
• Federal Low-Income Housing Tax Credit Program
• Tax Exempt Bond Financing
• Community Investment Funds from Dignity Health
State Resources
• Tax-exempt bonds
• State Low-Income Housing Tax Credit Program
• No Place Like Home
• Community Reinvestment Funds
• Permanent Local Housing Allocation (PLHA) from the California State Department of Housing • Veteran Housing and Homeless Prevention Program
Local Resources
• San Bernardino County Continuum of Care
• HACSB
Private Resources
• Dignity Health
• San Manuel Band of Mission Indians

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Annual Action Plan
2025
4 OMB Control No: 2506-0117 (exp. 09/30/2021)
• San Bernardino Unified School District
• City of San Bernardino Successor Housing Agency
According to HUD regulations, ESG recipients are required to match their annual ESG allocation at a rate of 100 percent. Agencies receiving ESG funds fulfill the match requirement by utilizing volunteer efforts, in-kind donations, and funding from various local, state, and federal initiatives.

The City will use its HOME funds alongside additional housing resources as needed. HOME non-federal match funds will be tracked, including all additional funds spent in excess of necessary match will be recorded by the City and submitted to HUD as a component of the CAPER annually.

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Annual Action Plan
2025
5 OMB Control No: 2506-0117 (exp. 09/30/2021)
If appropriate, describe publically owned land or property located within the jurisdiction that may be used to address the needs identified in the plan The City’s 2021-2029 Housing Element update revealed that many vacant residential sites downtown are surplus. The city plans to collaborate with nonprofits to sell these sites for deed-restricted affordable housing. Most of these vacant lands are zoned for multi-family use or can be upzoned for higher density.

All moderate and lower-income sites are infilled, meaning they have access to water, sewer, and dry infrastructure, with priority given for affordable housing connections. Sites for above-moderate income are spread across the southern, central, and northern areas of the district.

The City will maintain funding for its Infill Housing Program and the Owner-Occupied Residential Rehabilitation Program (OORP). Via the City’s Infill Housing Program, the City intends to purchase, renovate vacant and/or underused land parcels and develop housing accessible to low- and moderate- income families. The Owner-Occupied Residential Rehabilitation Program will offer funding for the renovation of single-family homes owned by low- and moderate-income families.

Discussion

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Annual Action Plan
2025
6 OMB Control No: 2506-0117 (exp. 09/30/2021)
Annual Goals and Objectives
AP-20 Annual Goals and Objectives - 91.220(c)(3)&(e)
Goals Summary Information
Sort
Order
Goal Name Start
Year
End
Year
Category Geographic
Area
Needs Addressed Funding Goal Outcome Indicator
1 Preserve and
Rehabilitate Housing
2025 2029 Affordable
Housing
25/29
CityWide
Preserve and
Rehabilitate Housing
HOME:
$1,044,187.00
Rental units rehabilitated: 101
Household Housing Unit
2 Development and
Preservation of
Affordable Housing
2025 2029 Affordable
Housing
25/29
CityWide
Provide Homeless
Prevention Services
CDBG:
$281,912.00
ESG:
$258,646.00
Homelessness Prevention:
255 Persons Assisted
Other: 4140 Other
3 Provide Homeless
Prevention Housing
2025 2029 Homeless 25/29
CityWide
Community
Development
CDBG:
$1,784,964.00
Public Facility or
Infrastructure Activities other
than Low/Moderate Income
Housing Benefit: 850 Persons
Assisted
4 Community
Development
2025 2029 Non-Housing
Community
Development
25/29
CityWide
Strategic Resource
Planning and
Community Resilien
CDBG:
$50,000.00
Public Facility or
Infrastructure Activities other
than Low/Moderate Income
Housing Benefit: 200 Persons
Assisted
5 Support Fair Housing 2025 2029 Fair Housing 25/29
CityWide
Fair Housing CDBG:
$80,000.00
Public service activities other
than Low/Moderate Income
Housing Benefit: 2700 Persons
Assisted

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Annual Action Plan
2025
7 OMB Control No: 2506-0117 (exp. 09/30/2021)
Sort
Order
Goal Name Start
Year
End
Year
Category Geographic
Area
Needs Addressed Funding Goal Outcome Indicator
6 Planning &
Administration
2025 2029 Administration 25/29
CityWide
Planning and
Administration
CDBG:
$549,216.00
HOME:
$116,021.00
Other: 1 Other
Table 2 – Goals Summary

Goal Descriptions

1 Goal Name Preserve and Rehabilitate Housing
Goal Description
2 Goal Name Development and Preservation of Affordable Housing Goal Description
3 Goal Name Provide Homeless Prevention Housing
Goal Description
4 Goal Name Community Development
Goal Description
5 Goal Name Support Fair Housing
Goal Description
6 Goal Name Planning & Administration
Goal Description

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Annual Action Plan
2025
8 OMB Control No: 2506-0117 (exp. 09/30/2021)

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Annual Action Plan
2025
9 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-35 Projects - 91.220(d)
Introduction
The City intends to spend their annual allocation of CDBG, HOME, and ESG funds, on eligible projects in the following categories: promote fair housing, new affordable rental housing, provide supportive services to homeless individuals and those with special needs, and program planning and administration. CDBG funding also includes the repayment of the City's Section 108 Loan. FY2025-26 HOME funding will be dedicated to funding a large affordable rental multi-unit housing development. # Project Name
1 CDBG FY25/26 SB HOPE Campus Phase I
2 CDBG FY24/25 Section 108 Debt Repayment
3 CDBG FY24/25 Inland Fair Housing Mediation Board
4 CDBG FY25/26 Cedar House Overdose Prevention
5 CDBG FY24/25 San Bernardino PD Quality of Life Team
6 CDBG FY25/26 Pearl Transit
7 CDBG FY25/26 Whole Person Care Clinic (WPCC)
9 HOME FY25/26 Jamboree Project-Affordable Housing
10 FY24/25 CDBG Program Administration
12 FY25/26 ESG
13 HOME FY25/26 HOME Program Administration
Table 3 – Project Information

Describe the reasons for allocation priorities and any obstacles to addressing underserved needs
Projects in AP-35 are consistent with the 2025-2029 Consolidated Plan priority needs and goals. These projects, activities and programs have been identified by community engagement program and needs derived from data analysis. The City continues to support the development of HOPE Campus, Police Department neighborhood engagement program, and fair housing promotion and discrimination mediation. Public services CDBG and ESG funding was awarded to applicants who best serve the homeless and at-risk for homeless populations.

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Annual Action Plan
2025
10 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-38 Project Summary
Project Summary Information

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Annual Action Plan
2025
11 OMB Control No: 2506-0117 (exp. 09/30/2021)
1 Project Name CDBG FY25/26 SB HOPE Campus Phase I
Target Area 25/29 CityWide
Goals Supported Provide Homeless Prevention Housing
Needs Addressed Provide Homeless Prevention Services
Funding CDBG: $962,387.00
Description FY2025 funds will be added to FY2023 funds to help design and construct Phase 1 to eventual Navigation Center (HOPE Campus) Homeless Outreach Prevention Education Campus. LMC-Low/Mod Limited Clientele Benefit, Matrix code 11-public facilities.

Target Date 6/30/2026
Estimate the number
and type of families
that will benefit from
the proposed activities
250 homeless individuals and families
Location Description 796 E. 6th Street, San Bernardino City. This parcel of land is currently owned by the City.

Planned Activities Provide Homeless and Homeless Prevention Shelter. Temporary emergency shelter space for households and individuals for Phase 1. 2 Project Name CDBG FY24/25 Section 108 Debt Repayment
Target Area 25/29 CityWide
Goals Supported Planning & Administration
Needs Addressed Community Development
Strategic Resource Planning and Community Resilien
Funding CDBG: $688,778.00
Description Section 108 Loan Repayment Program to pursue physical and economic revitalization that will provide jobs. Full repayment is expected 2026.

Target Date 6/30/2026
Estimate the number
and type of families
that will benefit from
the proposed activities
It is estimated that there will be 600 jobs created
Location Description 17.43-acre commercial property located along Highland Avenue between Arden Street and Guthrie Street in the City of San Bernardino.

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Annual Action Plan
2025
12 OMB Control No: 2506-0117 (exp. 09/30/2021)
Planned Activities The City has moved forward with the sale of the property and using a Section 108 loan for the repayment of the Arden Guthrie Project. The City is currently in legal review for a one-year renewal with Rich Development, to develop the properties. The timeline of 6-12 months from executing the agreement to move into a disposition agreement.

The developer has secured letters of interest and lease commitments from several major retailers directly associated with the project. 3 Project Name CDBG FY24/25 Inland Fair Housing Mediation Board Target Area 25/29 CityWide
Goals Supported Support Fair Housing
Needs Addressed Fair Housing
Funding CDBG: $80,000.00
Description Inland Fair Housing Mediation Board will provide activities that will assist the City in furthering fair housing.

Target Date 6/30/2026
Estimate the number
and type of families
that will benefit from
the proposed activities
2,700 Individuals
Location Description Citywide
Planned Activities IFHMB will provide investigation, education, reconciliation, and/or referral of housing discrimination complaints free of charge in the City of San Bernardino. IFHMB offers workshops to educate housing providers, tenants, homeowners, and financial and lending institutions on fair housing laws.
4 Project Name CDBG FY25/26 Cedar House Overdose Prevention Target Area 25/29 CityWide
Goals Supported Community Development
Needs Addressed Community Development
Funding CDBG: $25,000.00
Description Recovery services for drug and alcohol addiction. Outreach to area organizations and businesses offering to share our Overdose Prevention Training and information on our residential and outpatient services with their employees and clientele.

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Annual Action Plan
2025
13 OMB Control No: 2506-0117 (exp. 09/30/2021)
Target Date 6/30/2026
Estimate the number
and type of families
that will benefit from
the proposed activities
240 individuals will benefit
Location Description Citywide
Planned Activities Cedar House Life Change Center Overdose Prevention will offer 1-2 training workshops where clinical staff will make connections with at- risk populations who attend. The workshops provide in depth overview of the dangers of overdose and demonstrations. Training materials and doses of naloxone are distributed to all trainees. Cedar House provides follow-up support.
5 Project Name CDBG FY24/25 San Bernardino PD Quality of Life Team Target Area 25/29 CityWide
Goals Supported Community Development
Needs Addressed Community Development
Funding CDBG: $196,912.00
Description Support Quality of Life Team salaries and equipment needs including an appropriate vehicle needed to assist local businesses, the homeless, and homeless encampments as well as participate in community clean up activities related to homeless encampment areas.

Target Date 6/30/2026
Estimate the number
and type of families
that will benefit from
the proposed activities
100 individuals
Location Description Citywide
Planned Activities The Quality of Life Team members will work with City Police Department to engage with and support to local nonprofits and residents of LMI areas.
6 Project Name CDBG FY25/26 Pearl Transit
Target Area 25/29 CityWide
Goals Supported Community Development
Needs Addressed Community Development

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Annual Action Plan
2025
14 OMB Control No: 2506-0117 (exp. 09/30/2021)
Funding CDBG: $160,000.00
Description Pearl Transit will provide oral health outreach for low-income individuals and families. LMC, 05M-Health Services
Target Date 6/30/2026
Estimate the number
and type of families
that will benefit from
the proposed activities
3,800 individuals
Location Description Citywide
Planned Activities Pearl transit Oral Health Program provides no-cost complete dental care is delivered directly to low income or homeless populations, followed by case management.
7 Project Name CDBG FY25/26 Whole Person Care Clinic (WPCC) Target Area 25/29 CityWide
Goals Supported Community Development
Needs Addressed Community Development
Funding CDBG: $50,000.00
Description Short Term Post-Hospitalization program provides up to six months of housing stability, ensuring eligible clients are receiving medical, behavioral health, and housing support services. LMC, Matrix 03P Target Date 6/30/2026
Estimate the number
and type of families
that will benefit from
the proposed activities
200 individuals
Location Description
Planned Activities Whole Person Care Clinic’s Short Term Post-Hospitalization program is an interim housing site designed to support individuals experiencing homelessness with medical or behavioral health and recovery services.

WPCC is a 160-bed capacity interim housing site. The program will provide up to six months of stability, ensuring members receive medical, behavioral health, and housing support they need during their recovery. 8 Project Name HOME FY25/26 Jamboree Project-Affordable Housing Target Area 25/29 CityWide

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Annual Action Plan
2025
15 OMB Control No: 2506-0117 (exp. 09/30/2021)
Goals Supported Development and Preservation of Affordable Housing Needs Addressed Preserve and Rehabilitate Housing
Funding HOME: $1,034,850.55
Description FY2025 will fund, in part, Jamboree project, a multi-unit rental housing positioned on 3.5 acres of city-owned land designated to affordable housing. This project contains 8 units reserved for individuals facing homeless, 101 affordable rental units for families earning at or below 60% of AMI. Amenities on the site will include: community room and kitchen, computer lounge, basketball court, swimming pool, and tot lot.

Target Date 6/30/2027
Estimate the number
and type of families
that will benefit from
the proposed activities
101 indivuduals and families
Location Description The Jamboree project is located on 5th Street and Meridian Avenue.

Planned Activities FY2025 will fund, in part, Jamboree project, a multi-unit rental housing positioned on 3.5 acres of city-owned land designated to affordable housing. This project contains 8 units reserved for individuals facing homeless, 101 affordable rental units for families earning at or below 60% of AMI. Amenities on the site will include: community room and kitchen, computer lounge, basketball court, swimming pool, and tot lot. 9 Project Name FY24/25 CDBG Program Administration
Target Area 25/29 CityWide
Goals Supported Planning & Administration
Needs Addressed Planning and Administration
Funding CDBG: $549,216.00
Description The City will implement the goals and objectives of the ConPlan by delivering a variety of housing and community development programs and activities. The City will also continue to comply with the planning and reporting requirements of the activities and programs stated in the Annual Action Plan as well as other CDBG administration regulations.

Target Date 6/30/2026

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Annual Action Plan
2025
16 OMB Control No: 2506-0117 (exp. 09/30/2021)
Estimate the number
and type of families
that will benefit from
the proposed activities
1 Location Description Citywide
Planned Activities Planning and grant administration and compliance. 10 Project Name FY25/26 ESG
Target Area 25/29 CityWide
Goals Supported Provide Homeless Prevention Housing
Needs Addressed Provide Homeless Prevention Services
Funding ESG: $241,347.00
Description The City will continue to comply with the service and reporting requirements outlined in the Annual Action Plan and other ESG administrative regulations. For the FY 2025/26 allocation: $18,101 administration costs Salvation Army: $149,248 Emergency Shelter operations $15,000 Homeless Prevention $15,000 HMIS Family Services of Redlands: $60,000 Rapid Rehousing
Target Date 6/30/2026
Estimate the number
and type of families
that will benefit from
the proposed activities

Location Description
Planned Activities
11 Project Name HOME FY25/26 HOME Program Administration Target Area 25/29 CityWide
Goals Supported Planning & Administration
Needs Addressed Planning and Administration
Funding HOME: $114,983.00
Description The City will implement the goals and objectives of the ConPlan by delivering a variety of housing programs and activities. The City will also continue to comply with the planning and reporting requirements of the activities and programs stated in the Annual Action Plan as well as other HOME administration regulations.

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Annual Action Plan
2025
17 OMB Control No: 2506-0117 (exp. 09/30/2021)
Target Date 6/30/2026
Estimate the number
and type of families
that will benefit from
the proposed activities
1 Location Description
Planned Activities

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Annual Action Plan
2025
18 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-50 Geographic Distribution - 91.220(f)
Description of the geographic areas of the entitlement (including areas of low-income and minority concentration) where assistance will be directed The city will use its funding for FY2025-2026 to finance projects targeting low- to moderate-income individuals and families throughout the City. Funding will also be used for a variety of housing, community development, economic development, and capital improvement projects.

CDBG, HOME and ESG funds benefit individuals, families, households and homeless populations throughout the City. Public facilities projects assist residents in census blocks and tracks where 51 percent or more of the households are low- to moderate-income.

According to the U.S. 2020 Census, approximately 66.2 percent of the population is of Hispanic Origin,

14.4 percent is Non-Hispanic, White, 13.2 percent is Black, 4.1 percent is Asian, and 8.1 percent is comprised of two or more races.

While the City has been home to different race and ethnic groups, significant demographic changes have occurred since 2000. For instance, Whites declined from the majority group (53 percent) in 2000 to only 35 percent by 2019. Hispanics have become the majority at 65 percent of the population. Blacks and Asians have remained generally stable in number during this time. 2020 Census figures indicate that Hispanics have continued to increase in number and proportion. Many residents were also born outside the United States; more than one in five are foreign born, and of those, 80 percent are from Latin America. Because of the City’s race and ethnic composition, a larger proportion of residents than in other communities speak languages other than English.

Geographic Distribution
Target Area Percentage of Funds
25/29 CityWide 100
Table 4 - Geographic Distribution

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Annual Action Plan
2025
19 OMB Control No: 2506-0117 (exp. 09/30/2021)
Rationale for the priorities for allocating investments geographically As part of developing the 2025-2026 Action Plan, the City established priority needs based on an in- depth analysis of several factors such as housing, homelessness, poverty, special needs, lead hazards, institutional structure, etc. The City will utilize its federal funding to pursue goals and objectives listed in the section “AP-20 Annual Goals and Objectives” of this document. The City intends to spend its CDBG funds in predominantly low-income neighborhoods where residents have the greatest need for housing/services. Projects are evaluated on a case-by-case basis, while considering emergency needs, cost effectiveness, feasibility, and availability of other funding to address specific needs.

Discussion
The City will allocate its funds to organizations that will provide housing and support services to low- income households. The process for every annual action plan requires the City to prioritize the use of its CDBG funding for housing and community development activities, including the preservation and conservation of affordable housing, activities, public improvements, and public facilities.

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Annual Action Plan
2025
20 OMB Control No: 2506-0117 (exp. 09/30/2021)
Affordable Housing
AP-55 Affordable Housing - 91.220(g)
Introduction

One Year Goals for the Number of Households to be Supported Homeless 600
Non-Homeless 0
Special-Needs 0
Total 600
Table 5 - One Year Goals for Affordable Housing by Support Requirement

One Year Goals for the Number of Households Supported Through Rental Assistance 0
The Production of New Units 101
Rehab of Existing Units 10
Acquisition of Existing Units 0
Total 111
Table 6 - One Year Goals for Affordable Housing by Support Type

Discussion
California’s housing crisis is a half century in the making. Decades of underproduction combined with exclusionary policies have left housing supply far behind need and costs soaring. As a result, millions of Californians, disproportionately lower income and people of color, must make hard decisions about paying for housing at the expense of food, health care, childcare, and transportation. This crisis is affecting every region of the state, including southern California.

State and local agencies are working to support housing development to lower-income households.

Every eight years, the state of California sets a target for homes needed for each income level to meet the housing needs of all Californians. Local governments must plan for enough housing to meet the housing need in their communities. As described in Chapter 4, SCAG finalized a RHNA allocation for each member jurisdiction. The City was assigned a future need for 1,415 very low-income units, of which half (703 units) are the projected need for extremely low-income households from 2021 to 2029.

The City is facilitating and encouraging the development and rehabilitation of existing housing to meet the needs for ELI housing. Projects from groups such as National Core— which is currently replacing the 400-unit Waterman Gardens public housing project with new affordable housing and supportive services on-site—are providing much-needed housing options for extremely low-income residents. Organizations

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Annual Action Plan
2025
21 OMB Control No: 2506-0117 (exp. 09/30/2021)
like NHPS, Mary Erickson, and many other nonprofit and for-profit organizations are building infill housing that is affordable to lower income households.

Accessory dwelling units can also provide affordable housing. Recent state laws have streamlined the development of ADUs, making them increasingly affordable and accessible to build. ADUs can provide free housing and lodging for relatives or be rented at affordable rates.

The city will continue to partner with the Housing Authority of the County of San Bernardino (HACSB), the public housing authority (PHA) for the county, which issues rental vouchers to bridge the gap between income, affordability, and market rate housing. The two forms of vouchers provided to aid tenants throughout the city are tenant based and project-based vouchers issued to residents in San Bernardino City.

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Annual Action Plan
2025
22 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-60 Public Housing - 91.220(h)
Introduction
California’s housing crisis is a half century in the making. Decades of underproduction combined with exclusionary policies have left housing supply far behind need and costs soaring. As a result, millions of Californians, disproportionately lower income and people of color, must make hard decisions about paying for housing at the expense of food, health care, childcare, and transportation. This crisis is affecting every region of the state, including Southern California.

State and local agencies are working to support housing development to lower-income households.

Every eight years, the state of California sets a target for homes needed for each income level to meet the housing needs of all Californians. Local governments must plan for enough housing to meet the housing need in their communities. The Southern California Association of Governments (SCAG) finalized a RHNA allocation for each member jurisdiction. The City was assigned a future need for 1,415 very low- income units, of which half (703 units) are the projected need for extremely low-income households from 2021 to 2029.

The Housing Authority of the County of San Bernardino (HACSB) serves the city. HACSB has one public housing site, a single-family unit in Apple Valley. HACSB converted a 98-unit public housing site in Upland into a project-based voucher site. There are no public housing units in the City.

The City has a significant amount of housing stock that receives public subsidies in return for long-term covenants guaranteeing the affordability of units. As shown in the table below, the City currently has 3,804 affordable units receiving public subsidies, with 707 at risk of expiring. 38 percent of these units are limited to senior residents.

Actions planned during the next year to address the needs to public housing The City is facilitating and encouraging the development and rehabilitation of existing housing to meet the needs for ELI housing. Projects from groups such as National Core— which is currently replacing the 400-unit Waterman Gardens public housing project with new affordable housing and supportive services on-site—are providing much-needed housing options for extremely low-income residents. Organizations like NHPS, Mary Erickson, and many other nonprofit and for-profit organizations are building infill housing that is affordable to lower income households.

The City will maintain contact with the owners of at-risk units, encourage the owner to keep the at-risk units affordable, and utilize, if feasible, local incentives to preserve any at-risk units. To develop or preserve the City’s affordable housing stock, the City will provide technical and/or financial assistance to local non-profit organizations that provide affordable housing.

Actions to encourage public housing residents to become more involved in management and

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Annual Action Plan
2025
23 OMB Control No: 2506-0117 (exp. 09/30/2021)
participate in homeownership
The City will continue their partnership with NPHS to build affordable single-family housing on infill parcels. The goal is to make homeownership more accessible. Presently, four manufactured housing units are approved for construction. NPHS deed restricts these units as affordable to lower income households through long-term affordability covenants. As of 2023, and three housing units have been built, and additional units are anticipated to be built through 2029. An unspecified number of units will also be ADUs.

The City collaborates with the HACSB to encourage public housing residents to utilize City housing services and area homeownership programs, particularly residents of public housing. HACSB administers the Housing Choice Voucher (HCV) program for the City. Public housing residents would be assisted with HCVs upon availability and if needed.

If the PHA is designated as troubled, describe the manner in which financial assistance will be provided or other assistance
HACSB has not been designated as troubled. HACSB was designated a Moving To Work Agency by Congress in 2008. This is a limited designation to PHAs across the country.

Discussion
The City of San Bernardino will continue to work collaboratively alongside HACSB to provide supportive services and address the housing needs of the community.

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Annual Action Plan
2025
24 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-65 Homeless and Other Special Needs Activities - 91.220(i) Introduction
The County of San Bernardino is required to conduct a biennial Homeless Count, the Point-In-Time Count (PITC) to identify persons who are not living in adequate housing facilities, led by the Continuum of Care (CoC). There were 4,255 adults and children who were counted as homeless during the 2024 PITC. The previous PITC was completed in 2023 during which 4,195 persons were counted. A comparison of the last two counts reveals that:
• 42 more persons were counted in 2024, which represents an increase of 1.4%; • 79 more persons were counted as unsheltered in 2024 when compared to the unsheltered count in 2023, which represents an increase of 2.6%; and • 19 less persons were counted as sheltered in 2024 when compared to the sheltered count in 2023, which represents a decrease of 1.6%.

Specifically for the City it was found:
• 337 Sheltered persons
• 103 Transitional housing
• 977 Unsheltered
• Total of 1,417
Overall, 85 persons were less 150,000 in ESG funds to emergency shelters and $60,000 to Rapid Re- Housing, $15,000 to Homeless Prevention and $15,000 to HMIS system. In 2024 ESG funds assisted 295 homeless individuals through emergency shelter funds and 8 households through homeless prevention programs. Looking ahead to FY 2025, the City anticipates providing Emergency Shelter assistance to approximately 150 households and serving 20 households or approximately 75 individuals through the Rapid Rehousing program and 10 households through homelessness prevention services.

Describe the jurisdictions one-year goals and actions for reducing and ending homelessness including
Reaching out to homeless persons (especially unsheltered persons) and assessing their individual needs
A top priority need in the City is to be able to provide sufficient homeless and prevention services. The City will continue to support the CoC’s coordinated entry system, 2- 1-1 San Bernardino County. The Coordinated Entry System will provide people who are at imminent risk of becoming homeless (HUD Homeless definition (Category 2)) with problem-solving support to retain current housing or to locate and get housing placement. Results of the community outreach completed for the ConPlan include supporting efforts to:

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Annual Action Plan
2025
25 OMB Control No: 2506-0117 (exp. 09/30/2021)
- Increase affordable housing units
- Increase homeless prevention services
- Support mental health and substance use services Addressing the emergency shelter and transitional housing needs of homeless persons The City intends to adaptively reuse a vacant property for the conversion of the former School of Hope campus. Formerly a special education school will be reimagined into a homeless navigation facility to provide low-barrier, non-congregate, interim housing and supportive services for homeless individuals and households at risk of becoming homeless. The Proposed Project would involve the rehabilitation of two existing buildings, and the demolition of three existing buildings and ancillary structures, to accommodate 180 housing units, an administrative building, a laundry facility, and cafeteria/assembly area. In addition to the rehabilitation of two existing structures, the Project would install 11 prefabricated structures on proposed concrete pads. In total, the Proposed Project would provide approximately 17,380 sqft of residential housing, 2,900 sqft of shared spaces and common areas, a dog kennel, and 15,200 sqft of surfacing parking consisting of 34 parking spaces.

Hope Campus will contain 180 non-congregate transitional housing units with beds with storage spaces underneath the beds, bathrooms (with a sink, toilet, and shower), fire sprinklers, and heating, ventilation, and air conditioning (HVAC) systems. These 180 units would accommodate 200 individuals.

Sixteen units would be Americans with Disabilities Act (ADA) accessible, ensuring accessibility for future residents with disabilities. The facilities will include a cafeteria with a fully equipped commercial kitchen able to serve 120 residents per meal. The cafeteria would also serve as an assembly area and would include moveable dividers to divide the cafeteria into four smaller areas for activities. The campus will have free Wi-Fi access and outdoor spaces for all occupants.

Helping homeless persons (especially chronically homeless individuals and families, families with children, veterans and their families, and unaccompanied youth) make the transition to permanent housing and independent living, including shortening the period of time that individuals and families experience homelessness, facilitating access for homeless individuals and families to affordable housing units, and preventing individuals and families who were recently homeless from becoming homeless again
The City actively participates in the County of San Bernardino CoC by attending meetings to discuss how to establish performance measures that benefit the broader goals of the region. Some of the tasks recently undertaken by the City include: assisting with the 2024 Point-In-Time-Count conducted by the County of San Bernardino. The City recognizes that homelessness is a regional issue that impacts every community in the region. As the largest community in the County, the City also serves as a hub for service providers. The City supports the efforts of the network of agencies working to end homelessness

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Annual Action Plan
2025
26 OMB Control No: 2506-0117 (exp. 09/30/2021)
through the Regional Continuum of Care Strategy. The Continuum of Care Strategy involves four key components, one of which is homeless prevention. The provision of preventative services will decrease the number of households and individuals who will become homeless and require emergency shelters and assistance. The City is working to prevent persons from becoming homeless by funding emergency rental assistance for households at-risk of homelessness.

Annually the City funds organizations through the ESG programs that provide street outreach, emergency shelter, homeless prevention services, rapid rehousing, and HMIS such as Salvation Army and Family Services of Redlands. The City is breaking ground in 2025 and 2026 on the San Bernardino HOPE Campus a full-service homeless navigation center and shelter that features needed services as part of its operation located on 6th Street (see Discussion below).

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

In San Bernardino County, several organizations and programs work to help low-income individuals and families avoid homelessness, particularly those at risk due to discharge from a public institution or receiving assistance from agencies that address housing, health, social services, employment, education, or youth needs. The San Bernardino County Workforce Development Department (WDD) administers programs funded by the Department of Labor’s Workforce Innovation and Opportunity Act (WIOA).

WDD implements comprehensive strategies tailored to meet the demands of local businesses for skilled workers. These initiatives provide avenues for job seekers to acquire necessary skills and access well- paying career opportunities.

The City will continue to support the regional CoC’s efforts to implement the San Bernardino County 10- Year Strategy for Ending Homelessness. This plan includes a recommendation to focus on discharge planning to prevent people from becoming homeless when they are discharged from correctional, foster care, health care, or mental health care systems. The McKinney-Vento Act requires that State and local governments have policies and protocols in place to ensure that persons being discharged from a publicly funded institution or system of care are not discharged immediately into homelessness. To meet HUD’s requirements, the 10-Year Strategy has established a Discharge Planning Committee to focus on improving coordination between discharge planning agencies, local government, and homeless service providers to implement a “zero tolerance” plan that will prevent persons from being discharged into homelessness.

Discussion

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Annual Action Plan
2025
27 OMB Control No: 2506-0117 (exp. 09/30/2021)
HOPE Campus
The City is constructing a Navigation center at the former "School of Hope" campus to provide low- barrier, non-congregate, interim housing to help address the root causes of homelessness. The HOPE Campus has 200 beds and will connect homeless men, women and families to resources, medical respite, mental health, substance disorder counseling, individualized case management, job training and placement, and expanded access to permanent housing. It will also assist individuals who are at risk of becoming homeless as local agencies will be onsite to provide rental assistance and utility assistance to eligible households.

HomeKey - San Bernardino with Lutheran Social Services of Southern California (LSSSC) In collaboration with Lutheran Social Services of Southern California (LSSSC), the City has embarked on a State of California HomeKey Project to establish the San Bernardino Community Wellness Campus - a non-congregate interim housing facility comprising 150 beds. This initiative aims to address the pressing need for such a campus, especially considering that the number of homeless men in the City surpasses that of homeless women by a ratio of two to one. The current Central City Lutheran Mission will be transformed into a supportive campus that will provide an onsite medical clinic and comprehensive, onsite social services to address educational, social, physical, and mental health needs that will be available to campus residents and the larger community.

Legal Aid Society of San Bernardino (Legal Aid) Tenant Protection Program Legal Aid will host a two-year program that would only serve City residents free of charge with direct legal representation on matters concerning tenant rights through education to prevent or avoid displacement and homelessness.

Homeless Outreach
The City has joined forces with Hope the Mission, a non-profit dedicated to tackling homelessness, to extend vital assistance five days a week. Their collaborative outreach team is committed to offering transportation services to those seeking shelter, accessing crisis support, pursuing rehabilitation, or reconnecting with their families through reunification programs.

The outreach team will be made up of emergency crisis workers that can immediately assist with multiple family/individual crisis as they arise. The team will assist with case mgmt., motel vouchers, basic needs, medical and transportation, in addition to providing a diverse range of resources, including access to longer-term shelters, rehabilitation programs, and assistance with family reunification. The team will also deliver essential services to individuals experiencing homelessness. Their priority is to ensure that housing opportunities are prioritized for residents of San Bernardino.

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Annual Action Plan
2025
28 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-75 Action Plan Barriers to Affordable Housing - 91.220(j) Introduction
The City has recognized that barriers to affordable housing exist and employs strategies that work to overcome them. Barriers exist that are land related, programmatic, and financial. In this section, we give an overview of actions the City is planning to take to address such barriers, as well as an overview of the barriers and impediments themselves.

Actions it planned to remove or ameliorate the negative effects of public policies that serve as barriers to affordable housing such as land use controls, tax policies affecting land, zoning ordinances, building codes, fees and charges, growth limitations, and policies affecting the return on residential investment

Discussion

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Annual Action Plan
2025
29 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-85 Other Actions - 91.220(k)
Introduction
The City of San Bernardino recognizes that achieving the goals outlined in this Consolidated Plan requires not only targeted investments in housing and community development but also sustained efforts to strengthen institutional capacity, foster coordination, reduce poverty, and address systemic barriers. This section outlines the additional actions the City will take during the 2025–2029 Consolidated Plan period.

Actions planned to address obstacles to meeting underserved needs The City will take the following steps to address persistent obstacles, particularly among underserved populations such as extremely low-income households, persons experiencing homelessness, seniors, and individuals with disabilities:
• Invest in Homeless Navigation and Support Services: Expand the HOPE Navigation Center and fund subrecipients like Family Service Association and The Salvation Army to provide rapid rehousing and homelessness prevention.
• Enhance Language Access and ADA Compliance: Ensure materials, meetings, and surveys are accessible to non-English speakers and people with disabilities.

Actions planned to foster and maintain affordable housing • Infill Development: Continue partnering with CHDOs to build affordable owner-occupied housing on vacant lots.
• Housing Rehabilitation: Fund the Owner-Occupied Housing Rehabilitation Program to preserve affordable housing and prevent displacement.
• Preserve Public/Assisted Housing: Support Housing Authority of the County of San Bernardino (HACSB) efforts, including the next phases of Arrowhead Grove.

Actions planned to reduce lead-based paint hazards
• Lead-Safe Rehabilitation: Ensure all HOME and CDBG-funded rehab projects comply with HUD Lead-Safe Housing Rule requirements.
• Training & Monitoring: Continue training City staff and contractors and monitor subrecipients for compliance with lead-based paint hazard regulations. • Public Education: Disseminate materials to residents regarding lead-safe practices during rehabilitation and home maintenance.

Actions planned to reduce the number of poverty-level families

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• Workforce Development: Collaborate with San Bernardino County Workforce Development Board and organizations like Center for Employment Opportunities to connect residents to jobs and training.
• Small Business Support: Use CDBG to support microenterprise development and entrepreneurship, particularly among women- and minority-owned businesses.

Financial Empowerment: Continue partnerships with NHSIE and other nonprofits to deliver financial literacy, homebuyer education, and credit repair services.

Actions planned to develop institutional structure
• Capacity Building: Provide technical assistance to local nonprofits, CHDOs, and ESG subrecipients to strengthen compliance and outcomes.
• Cross-Department Collaboration: Improve coordination between housing, public works, economic development, and public safety to align investment strategies. • Data Sharing: Strengthen data systems and interagency coordination, especially with the Continuum of Care and HMIS providers, to track program impact.

Actions planned to enhance coordination between public and private housing and social service agencies
• Continuum of Care Engagement: Maintain active participation in the Interagency Council on Homelessness and Homeless Provider Network.
• Health and Housing Integration: Coordinate with Dignity Health and San Bernardino County Department of Behavioral Health to link housing investments with mental health and healthcare services.
• Education & Youth Support: Continue work with Uplift San Bernardino to support youth housing stability, education, and future economic mobility.

Discussion
The City is committed to overcoming institutional and structural barriers to equitable housing and community development. By deepening partnerships, aligning investments, and maintaining compliance with HUD standards, San Bernardino will continue to support the most vulnerable residents while promoting citywide growth.

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Annual Action Plan
2025
31 OMB Control No: 2506-0117 (exp. 09/30/2021)
Program Specific Requirements
AP-90 Program Specific Requirements - 91.220(l)(1,2,4)
Introduction

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

1. The total amount of program income that will have been received before the start of the next program year and that has not yet been reprogrammed 817,368

2. The amount of proceeds from section 108 loan guarantees that will be used during the year to address the priority needs and specific objectives identified in the grantee's strategic plan. 0

3. The amount of surplus funds from urban renewal settlements 0

4. The amount of any grant funds returned to the line of credit for which the planned use has not been included in a prior statement or plan 0

5. The amount of income from float-funded activities 0
Total Program Income: 817,368

Other CDBG Requirements

1. The amount of urgent need activities 0

2. The estimated percentage of CDBG funds that will be used for activities that benefit persons of low and moderate income.Overall Benefit - A consecutive period of one, two or three years may be used to determine that a minimum overall benefit of 70% of CDBG funds is used to benefit persons of low and moderate income. Specify the years covered that include this Annual Action Plan.

0.00%

HOME Investment Partnership Program (HOME)
Reference 24 CFR 91.220(l)(2)

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

1. The City of San Bernardino does not intend to use forms of investment other than those described in 24 CFR §92.205(b). All HOME Investment Partnerships Program (HOME) funds will

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Annual Action Plan
2025
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be used in eligible forms including grants, deferred payment loans, interest-bearing loans, and other HUD-approved forms of assistance that comply with HOME regulations.

In addition to HOME-specific investments, the City leverages other resources—such as CDBG, ESG, ARPA, and State funds—to complement federal housing and community development activities.

These additional investments may be used for site acquisition,Invest in Community Infrastructure and Facility Improvements , or supportive services that enhance housing affordability and sustainability but do not deviate from HUD's defined eligible investment types under §92.205.

If new or alternative investment mechanisms are considered during the Plan period, the City will ensure full compliance with HUD regulations and will submit the necessary amendments and approvals.

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

HOME Recapture Provision If Buyer at any time during the Period of Affordability sells or transfers the Eligible Property, whether voluntarily or involuntarily due to foreclosure or other circumstances, the following provisions shall apply, pursuant to 24 C.F.R. Part 92.254:

1. If Buyer sells or transfers the Eligible Property within the first two years of the Period of Affordability, City shall recover from the Net Proceeds, if any, the entire amount of the HOME Subsidy, or such lesser amount as the Net Proceeds may permit to be recovered. The Net Proceeds are the sales price paid to the Buyer minus repayment of loans that are superior in priority to this Affordable Housing Covenant and the Deed of Trust securing it, and any closing costs.

2. If Buyer sells or transfers the Eligible Property after occupying the Eligible Property for at least two years (24 months from the Delivery Date), City’s recovery from the Net Proceeds shall equal the amount of the HOME Subsidy, reduced by a percentage determined by dividing the number of Buyer’s full years of occupation of the Eligible Property by the number of years of the Period of Affordability and multiplying the result by 100. In calculating recapture of the HOME subsidy only full 12-month periods of occupancy will be utilized. For example, if the Buyer sells or transfers the Eligible Property during the third year, before the completion of the full third year of ten years of

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Affordability, the percentage reduction of the amount of the HOME Subsidy to be recovered by City shall equal 20 percent: (2 years ÷ 10 years) × 100 = 20. Assuming sufficient Net Proceeds, City would recover 80 percent of the HOME Subsidy. If there were not sufficient Net Proceeds, City would recover 80 percent of Net Proceeds, whatever the amount.

3. In no event shall City’s recovery exceed the amount of the Net Proceeds.

The City requires that its CHDO/subrecipients, who carry out HOME funded ownership programs, utilize the noted recapture provisions, which are part of the affordability covenant executed by the homeowner and recorded against the property.

In its homeownership and single-family rehabilitation programs the City utilizes the homeownership limits for the San Bernardino Metropolitan/FMR Area provided by HUD.

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

1. Measured from the Delivery Date and determined based on the amount of the HOME Subsidy, as follows: Amount of HOME Subsidy Period of Affordability

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Annual Action Plan
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34 OMB Control No: 2506-0117 (exp. 09/30/2021)
• Amount of HOME Subsidy: Less than $15,000 Period of Affordability: 5 years • Amount of HOME Subsidy: $15,000 to $40,000 Period of Affordability: 10 years • Amount of HOME Subsidy: More than $40,000 Period of Affordability:15 years

The City's affordability covenant requires that HOME units acquired with HOME funds remain affordable for the period noted based on the amount of HOME subsidy. The City also requires that its CHDO/sub-recipients who carry out HOME-funded ownership programs utilize the recapture provisions noted, which are part of the affordability covenant executed by the homeowner and recorded against the property.

In its homeownership and single-family rehabilitation programs, the City utilizes the homeownership limits for the San Bernardino Metropolitan/FMR Area provided by HUD.

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

The City will not be refinancing existing debt secured by multifamily housing rehabilitated with HOME funds. The City will not refinish single-family units rehabilitated with HOME funds. With regard to eligible beneficiaries, the City will adhere to the requirements under 24 CFR 2.203 in relation to income determinations; 92.216 with respect to incomes of applicants; 92.253 with regard to tenant protections and selection and other HOME regulatory requirements that ensure beneficiaries are not precluded from participating in HOME funded programs.

The City utilizes Notice of Funding Availability and Requests for Proposals to solicit applications for funding under the HOME program. Applications are solicited as funds are available for various programs and/or when contracts and renewal periods with applicants expire and new NOFAs and RPS are released.

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

If implemented, the City intends to establish a preference for persons with special needs and

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Annual Action Plan
2025
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disabilities, in alignment with 24 CFR §92.209(c)(2)(i). This may include individuals with physical, mental, or developmental disabilities, those at risk of institutionalization, and persons with substance use or behavioral health needs.

The City will consult with local partners, such as the San Bernardino County Department of Behavioral Health, the Office of Homeless Services, and disability advocacy organizations, to structure the program to ensure legal compliance, and service integration.

All preferences will be clearly defined and documented in written TBRA policies and procedures, and will be implemented in a non-discriminatory manner consistent with federal fair housing laws.

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

If such a program is established, the City may adopt a targeted preference for specific categories of individuals with disabilities, particularly those who experience significant service gaps—such as persons with chronic mental illness, HIV/AIDS, or co-occurring disorders.

These populations are often overrepresented in the homeless system and underrepresented in stable housing placements, despite frequent engagement with public systems of care. For example, individuals with chronic mental illness may cycle through shelters, hospitals, and correctional institutions due to a lack of supportive housing options. Similarly, people living with HIV/AIDS may face both housing discrimination and limited access to long-term rental assistance.

A targeted TBRA preference would narrow the gap in housing benefits by:
• Providing stable rental assistance to individuals who are often ineligible for other long-term subsidies.
• Coordinating with service providers (e.g., Department of Behavioral Health, local HIV/AIDS networks) to ensure access to wraparound supports.
• Preventing institutionalization and promoting independent living in community-based settings.

Any such preference will be carefully structured, with data and stakeholder input used to demonstrate both the need and legal defensibility. The City will ensure all preferences are administered in compliance with fair housing requirements, including a clear showing that the preference is necessary to address a documented disparity in housing access or services.

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2025
37 OMB Control No: 2506-0117 (exp. 09/30/2021)

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

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

At this time, the City of San Bernardino does not impose any limitations or preferences in its HOME- assisted rental housing projects that would restrict participation.

However, if preferences are considered during the 2025–2029 Consolidated Plan period, they will be implemented only where supported by local data, consistent with fair housing and civil rights laws, and designed to address a demonstrated housing or service gap. Potential preferences may include:
• Individuals experiencing or at risk of homelessness,
• Veterans,
• Persons with disabilities (in coordination with supportive services), or • Large families needing multi-bedroom units.

Any preference will be applied transparently and uniformly, without violating nondiscrimination requirements, and will be outlined in project-specific agreements and approved underwriting documentation. The City will also ensure that all applicants have equal access and meaningful opportunity to apply for all rental units, regardless of their status in relation to any stated preference.

The City will continue to monitor projects for compliance with applicable fair housing laws and HUD’s HOME regulations.

Emergency Solutions Grant (ESG)
Reference 91.220(l)(4)

1. Include written standards for providing ESG assistance (may include as attachment) Please refer to the attachment included.

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

The City of San Bernardino is an active participant in the San Bernardino County Continuum of Care

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Annual Action Plan
2025
38 OMB Control No: 2506-0117 (exp. 09/30/2021)
(CoC), which has established a centralized Coordinated Entry System (CES) in accordance with HUD requirements. The CES is managed by the San Bernardino County Office of Homeless Services (OHS) and serves as the primary tool for connecting individuals and families experiencing or at risk of homelessness to appropriate housing and supportive services.

The CES is designed to:
• Provide standardized assessment tools and procedures (e.g., VI-SPDAT) to evaluate the needs and vulnerabilities of people experiencing homelessness;
• Prioritize clients for housing and services based on vulnerability, length of homelessness, and severity of service needs;
• Ensure fair and equal access to housing resources, including permanent supportive housing, rapid rehousing, and transitional housing;
• Use the Homeless Management Information System (HMIS) to facilitate case coordination, referrals, and outcome tracking;
• Integrate referrals from a broad range of access points, including emergency shelters, outreach teams, hospitals, and law enforcement.

The CES is accessible through multiple physical and virtual entry points across the County, including partners such as The Salvation Army, Family Service Association of Redlands, Lutheran Social Services, and HOPE Navigation Centers, among others. All ESG subrecipients funded by the City of San Bernardino are required to participate in the CES and coordinate service delivery and housing placements through the system.

This coordinated assessment approach enables a system-wide response to homelessness that improves client outcomes, reduces duplication of services, and ensures the most vulnerable populations are prioritized for limited housing resources.

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

The City of San Bernardino administers its ESG program in alignment with HUD regulations and ensures that funding is equitably accessible to eligible private nonprofit organizations, including community-based and faith-based organizations.

Each program year, the City issues a Notice of Funding Availability (NOFA) or Request for Proposals (RFP) to solicit applications from qualified service providers. The process includes:

1. Public Notification: The City publicly posts the NOFA/RFP on its website and distributes it via email to a wide network of service providers, including those within the San Bernardino County Continuum of Care (CoC). Outreach is inclusive of faith-based and grassroots community organizations.

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2. Eligibility and Threshold Review: All proposals are reviewed to ensure applicants meet HUD eligibility criteria for ESG funding and possess the administrative capacity to implement programs in compliance with 24 CFR Part 576.

3. Application Evaluation - Proposals are evaluated based on:Experience in serving homeless or at- risk populations;Performance outcomes and past compliance history;Program design, including alignment with the CoC’s priorities and CES participation;Cost-effectiveness and leveraging of additional resources.

1. Funding Recommendations: A City rew—often including representatives from the Housing and Homelessness Division and outside advisors—scores and ranks proposals. Recommendations are presented to the Mayor and City Council for approval as part of the Annual Action Plan and budget adoption process.

1. Contract Execution and Monitoring: Awarded subrecipients enter into formal contracts with the City. Ongoing technical assistance and monitoring ensure compliance with ESG regulations, eligible uses of funds, and performance outcomes.

The City prioritizes provider representation, including agencies with lived experience expertise, and commitment to transparent, fair, and lawful administration of ESG funds, ensuring that resources are directed efficiently toward addressing homelessness and housing instability in ways that uphold both programming integrity and federal requirements.

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

The City of San Bernardino attends and participates, on a quarterly basis, the Interagency Council on Homelessness (ICH). The ICH is a vital component of the San Bernardino County Homeless Partnership. The ICH serves as the policy making body of the Partnership and oversees the implementation of the 10-Year Strategy to End Homelessness in San Bernardino County. The ICH will focus on resource development to insure the funding of homeless projects and 10-Year Strategy recommendations. In addition, ICH serves as the HUD-designated primary decision-making group and oversight board of the City of San Bernardino & County (hereinafter referred to as the “geographic area”) Continuum of Care for the Homeless (CA-609) funding process, (hereinafter referred to as the “CoC”). There are currently former homeless individuals that participate in the policy making decisions of the CoC, regarding facilities or services that receive ESG funding from the City.

The ICH is charged with directing, coordinating and evaluating all of the activities related to implementation of the 10-Year Strategy to End Homelessness. The ICH members are directed to report progress on the implementation of the 10-Year Strategy to their colleagues and constituents

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following each meeting of the ICH. The ICH will promote collaborative partnerships among homeless providers and stakeholders throughout San Bernardino County in order to carry out implementation activities and will develop resources to insure the funding of homeless projects and 10-Year Strategy recommendations.

As the oversight board of the CoC, the ICH's duties are: 1. To ensure that the CoC is meeting all of the responsibilities assigned to it by the United States Department of Housing and Urban Development (HUD) regulations, including: a. The operation and oversight of the local CoC; b.

Designation and operation of a Homeless Management Information System (HMIS); i. Designate a single HMIS for the geographic area; ii. Designate an eligible applicant to manage the CoC’s HMIS, known as the HMIS Lead; iii. Ensure consistent participation of recipients and sub-recipients of CoC and Emergency Solutions Grant (ESG) funding in the HMIS. iv. Ensure the HMIS is administered in compliance with all requirements prescribed by HUD. c. Developing a CoC plan that includes outreach, engagement, assessment, annual gap analysis of the homeless needs and services available, prevention strategies, shelter and housing supportive services, and HUD CoC annual and biennial requirements; 2. To represent the relevant organizations and projects serving homeless subpopulations; 3. To support homeless persons moving from homelessness to economic stability and affordable permanent housing within a supportive community; 4. To be inclusive of all the needs of all of the geographic area’s homeless population, including the special service and housing needs of homeless sub-populations; 5. To facilitate responses to issues and concerns affecting the agencies funded by the CoC beyond those addressed in the annual CoC application process; 6. To consult with recipients and sub-recipients of CoC funding to establish performance targets appropriate for population and program type, monitor recipient and sub-recipient performance, evaluate outcomes, and take action against poor performers; and 7. To evaluate outcomes of projects funded under the County of San Bernardino CoC program, including the ESG.

5. Describe performance standards for evaluating ESG.

ESG Subrecipients must demonstrate financial management and programmatic expertise to successfully develop, design, implement, and monitor the ESG-funded activities. ESG Subrecipients must participate in HMIS and be able to meet all federal, State of California, and City of San Bernardino requirements relative to the ESG program, specifically those concerning equal opportunity and fair housing, affirmative marketing, environmental review, displacement, relocation, acquisition, labor, lead-based paint, conflict of interest, debarment and suspension, and flood insurance.

Under the City ESG agreement, ESG Subrecipient are required to conduct an initial evaluation to determine the eligibility of each individual or family’s eligibility for ESG assistance and the amount and types of assistance the individual or family needs to regain stability in permanent housing.

All subrecipient providers should meet or exceed project quality goals established by HUD and CoC guidelines which include the following: At least 80 percent of project participants either remained in

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permanent housing or exited to permanent housing; At least 20 percent or more of project participants have employment income (or other sources such as SSI and/or SSDI, for those who are not employable); At least 54 percent of project participants increased their income from sources other than employment in a given operating year; At least 56 percent of project participants obtained mainstream benefits; and 100 percent of the project participants came from the street or other locations not meant for human habitation, emergency shelters, or safe havens. In addition, PSH providers must: Implement a housing first approach. Fill vacant beds with only chronically homeless persons

Discussion

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Resolution No. 2026-015
Resolution No. 2026-015
March 4, 2026

Page 1 of 4 ends

RESOLUTION NO. 2026-015

RESOLUTION OF THE MAYOR AND CITY COUNCIL OF

THE CITY OF SAN BERNARDINO, CALIFORNIA,

AUTHORIZING SUBSTANTIAL AMENDMENT NUMBER
ONE TO THE FISCAL YEAR 2025 -2026 ANNUAL ACTION

PLAN, ALLOCATING COMMUNITY DEVELOPMENT

BLOCK GRANT (CBDG) AND CDBG CARES ACT (CDBG -

CV) FUNDS FROM PREVIOUS YEARS TO THE SB HOPE

CAMPUS (ALL WARDS)

WHEREAS, the Department of Housing and Urban Development (HUD) requires the preparation of an Annual Action Plan (AAP) to carry out the 5-Year Consolidated Plan; and WHEREAS, the AAP described specific projects and activities to be undertaken during the program year with federal funds including Community Development Block Grant (CDBG) and Community Development Block Grant -Coronavirus Aid, Relief and Economic Security (CDBG-CV); and
WHEREAS, the City of San Bernardino prepared, and the Department of Housing and Urban Development (HUD) approved the 2025 -2026 AAP and adjustments are necessary to address evolving community needs, funding availability and program priorities; and WHEREAS, when a proposed change meets the criteria for a Substantial Amendment, such as a significant reallocation of funds, changes in the project scope, or the addition of new activities, the City must amend the AAP and follow public participation requirements; and WHEREAS, the SB HOPE Campus is a city project transforming the former School of Hope site at 796 E 6th Street into a navigation center to support people experiencing homelessness.

WHEREAS, the SB HOPE Campus will provide interim housing, supportive services, recuperative care, treatment for substance use disorders, pathway to stable housing, and integrated service to connect housing with treatment and health services.

WHEREAS, the SB HOPE Campus meets the criteria for a Substantial Amendment since significant reallocation of funds are required; and
WHEREAS, the SB HOPE Campus project was originally funded with Fiscal Year 2023- 2024 and 2025-2026 CDBG funds in total amount of $2,975,579 and additional funds are required for the project; and
WHEREAS, it has been determined that unspent CDBG and CDBG -CV funds are available for reallocation towards the HOPE Campus as follows:

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Resolution No. 2026-015
Resolution No. 2026-015
March 4, 2026

Page 2 of 4 ends

WHEREAS, HUD regulations require a substantial amendment to reallocate funding including a 30-day public notice and a public hearing; and WHEREAS, upon approval of Substantial Amendment Number One to the FY 2025-2026 Annual Action Plan, the total funding available for the HOPE Campus will be $4,973,694.51.

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

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

SECTION 2. Mayor and City Council hereby authorize a public hearing be held to obtain citizens’ comments on the proposed Substantial Amendment Number One to the Fiscal Year 2025- 2026 Annual Action Plan.

SECTION 3. Approve Substantial Amendment Number One to the Fiscal Year 2025-2026 Annual Action Plan to increase CDBG and CDBG -CV funding for the SB HOPE Campus by $1,998,115.51.

SECTION 4. Authorize the City Manager or designee to take any further actions and execute any further agreements or documents, as necessary, to effectuate the submittal of the

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Resolution No. 2026-015
Resolution No. 2026-015
March 4, 2026

Page 3 of 4 ends

proposed Substantial Amendment Number One to the Fiscal Year 2025-2026 Annual Action Plan to HUD.

SECTION 5. Authorize the Director of Finance and Management Services to amend the Fiscal Year 2025 –2026 Budget in accordance with the approved Substantial Amendment, allocating a total of $1,979,926.86 from prior -year unspent CDBG funds, including: $64,627.53 from FY 2021–2022, $305,884.60 from FY 2022 –2023, $185,642.91 from FY 2023 –2024, $58,392.47 from FY 2024 –2025, $92,574.29 from FY 2025 –2026, and $1,272,805.06 from CDBG-CV FY 2020–2021.

SECTION 6. CEQA. The Mayor and City Council find this Resolution is not subject to the California Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty, as in this case, that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.

SECTION 7. 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 8. Effective Date. This Resolution shall become effective immediately.

APPROVED and ADOPTED by the City Council and signed by the Mayor and attested by the City Clerk this 4TH day of March 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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Resolution No. 2026-015
Resolution No. 2026-015
March 4, 2026

Page 4 of 4 ends

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss

CITY OF SAN BERNARDINO )

I, Telicia Lopez , CMC, City Clerk, hereby certify that the attached is a true copy of Resolution No. 2026-015, adopted at a regular meeting held on the 4th day of March 2026 by the following vote:

WITNESS my hand and official seal of the City of San Bernardino this 5th day of March 2026.

Telicia Lopez, CMC, City Clerk

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PROOF OF PUBLICATION

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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 4007125
Vanessa Alvarado

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

HRG - NOTICE OF HEARING
NOTICE OF 30-DAY PUBLIC COMMENT PERIOD FOR THE
FISCAL YEAR 2025-2026 SUBSTANTIAL AMENDMENT
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:
01/29/2026
01/29/2026

SAN BERNARDINO
!A000007309118!
Email

N OTICE OF PUBLIC H EAR IN G

CITY C OUNCIL OF THE CITY OF

SA N BERNARDIN O
NOTICE OF 30 -DA Y PU BLIC

CO MMENT PERIOD FOR T HE
FISCAL YE AR 2025 -2026

S UB STA NTIAL AMEN DMENT
This is a correction to the Notice of
Publ ic H earing and Notice of 30 -day
public comment period f or the
Fiscal Year 2025 -2026 Subst ant ial
Amen dment pub lished on January 8,
2026.

NO TICE IS HER EBY G IVEN tha t
the City of San Bernardino May or
and City C ounci l will hold a public
hea ring on Ma rch 4,2026, in the C ity
Counc ilC hambers in the Norman F.

Feldh e ym Centr al Librar y at 555
West 6 th Street, San Bernar dino,
California. Visit the City's agen da
portal at www .sanbernardino.g ov to
access mo re meeti ng informa tion.

The pur pose of the hearing is to
consider a Substanti al Am endme nt
for the following:

The City plans to amend the Fiscal
Year 2025 -2026 Annual Action Plan
(AAP) to allocate additional
Community Developm ent B lock
Gran t and C ommunit y Developme nt
Bl ock Grant CAR ES Act (CDBG -
CV) fun ding to the H OPE C amp us
com m unity developm ent an d
hou sing project activ ity.

The C ity received Commun ity
Deve lopment Block Gr ant (CDBG)
funding and other federal resources
from the U .S. Department of
Housi ng and Ur ban Developme nt
(HUD). T he Annual Action Plan
(AAP) outline s the commun ity
dev elop ment an d housing initiatives
sup po rted by these funds for the
fiscal year 2025 -2026. In FY 2023 -
2024,the AAP allocated $1,901,365in
CDBG funds to the H OPE Camp us
for the establishm ent of a homele ss
navi gation center .For FY 2025 -2026,
the AAP has designated $1,074,214to
further suppor t the deve lopment of
the HOPE Campus.

The propos ed Subst antial
Amen dment seeks to revise the 2025 -
2026 AAP to increase fundin g for
HO PE Campus by $1,979,926.86. Th e
total project funding will cha nge
from $2,975,579 to $4,955,505.86.

The amounts of uns pent CD BG an d
CDBG -CV funds to be allocated are
as follows: 1) F Y 2020 -2021 CDBG -
CV ($1272,80 5.06) 2) FY 2021 -2022
($64,627.53); 3) FY 2022 -2023
($305,884.60 ); 4) FY 2023 -2024
($185,642.91 ); 5) 2024 -2025
($58,392.47), and 6 ) 2025 -2026
($92,574.29)totaling$1,9 79,926.86.

Not ice is he reby given that the City
of San Bernardi no will consider the
reallocation of previous yea rs'
CDBG funds from FY 2021 -2022,
2022 -2023, 2023 -2024, 2025 -2026 and

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CDBG -CV funds from 2020 to the
HO PE Ca mpu s as additional fund s
are ne cessa ry for the project.

The purpose of thisnotice is to solicit
the public's com ments on the
Subst antial Amendment and inform
the public of the public hearin g.

Copies of the proposed Substantial
Amen dment will be avai lable to the
publ ic for review and comme nt
beg inning January 29, 2026, to
Feb ruary 28, 2026, at the following
locations:

1. City of San Bernar dino
Community Development an d
Housing Depa rtment, 201 -B No rth
E Street, San Be rnar dino, CA
92401; or

2. Web page:
https://www.sbcit y.org/city_hall/c
om mu nity_de vel opment_and_hous
ing/housing/public_notices ;or

3. City of San B ernar dino, Office of
the C ity Clerk, 201 -A N orth E
Street,San Bernar dino, CA 92401;
or

4. Norman F. Feldheym Central
Library at 555W est 6 th Street,San
Bern ardino, California
Not ice is further given tha t
mem bers of the publ ic w ho wish to
com m ent on the public hearing you
may par ticipate in the following
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
com m ent in per son, n ot to exce ed
three minutes.

If you challenge the matter 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
Cle rk 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
Disabilities Act . If you require
assistance or auxi liary aids to
participate in the meeting, please
conta ct the City Clerk's Of fice as far
in advance of the meeting as
possib le.

Addi tional inform ation conce rning
the above matter m ay be obtained
from, and wr itten comment s shou ld
be addr essed to, San Berna rdino
City Clerk, 290 Nort h "D"Street,Sa n
Bernardi no, California 92401.
1/29/26
SBS -40 07125#

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CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: March 4, 2026
To: Honorable Mayor and City Council Members
From: Jasmine Glover-McNamara, Director of Animal Services Department: Animal Services
Subject: Authorize a Goods Purchase Agreement with Midwest Veterinary Supply in an amount not to exceed $500,000
annually (All Wards)

Recommendation:

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

1. Authorize the City Manager to execute a Goods Purchase Agreement with Midwest Veterinary Supply; and

2. Authorize the Director of Finance to issue a purchase order to Midwest Veterinary Supply in an amount not to exceed $500,000 annually.

City Manager's Comments
The City Manager recommends approval.

Executive Summary
The Department of Animal Services is requesting authorization to enter into a new agreement with Midwest Veterinary Supply for the procurement of veterinary medical supplies necessary to support daily shelter operations. Midwest Veterinary Supply acquired Victor Medical Company in September 2024, which was the City’s previous contracted vendor for veterinary supplies. Although the City Council approved Amendment No. 2 to extend and increase the existing agreement, Midwest Veterinary Supply declined to execute the amendment and instead required the City to establish a new contract under its current corporate contracting framework.

Veterinary supplies, including vaccines, medications, surgical materials, and sanitizing agents, are essential to maintaining animal health, preventing disease transmission, and ensuring compliance with animal welfare and public health standards. On February

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2, 2026, the City issued Request for Quotes (RFQ F-26-4063) to procure these supplies. Midwest Veterinary Supply was the only responsive bidder and continues to be a critical vendor capable of providing the specialized veterinary products required for shelter operations. Approval of this agreement will ensure uninterrupted access to essential medical supplies and allow the Department to continue providing humane care, medical treatment, and disease prevention for animals in the City’s custody.

Background
On September 12, 2024, Midwest Veterinary Supply entered into an agreement to purchase Victor Medical Company (“Victor Medical”). Prior to this acquisition, the City of San Bernardino Department of Animal Services maintained a contractual relationship directly with Victor Medical.

The City’s original agreement with Victor Medical was executed on March 3, 2022, with an expiration date of June 30, 2023, expiring on with an option to amend the contract for up to 2 consecutive years. Following the expiration of the original agreement, Animal Services continued purchasing veterinary supplies consistent with operational needs.

On July 16, 2025, the Mayor and City Council approved an amendment to the original Victor Medical agreement to increase the authorized purchasing amount. Specifically, the City Council adopted Resolution No. 2025-328, which authorized the Director of Finance and Management Services to amend the FY 2025/26 Animal Services Budget in the amount of $200,000 for veterinary supply expenses, and authorized the City Manager to execute Amendment No. 2 to the contract with Midwest Veterinary Supply, increasing the annual not-to-exceed amount to $500,000 and extending the contract expiration date to June 30, 2026.

Following City Council approval, Amendment No. 2 was routed through DocuSign and included the Midwest Veterinary Supply representative for execution. However, Midwest Veterinary Supply declined to execute the amendment as presented and requested substantive redlines to the document. As a result, the amendment was not fully executed. While Midwest Veterinary Supply honored existing contractual obligations that originated under Victor Medical, once those agreements expired, Midwest required the City to enter into a new contract consistent with Midwest Veterinary Supply’s current terms, conditions, and contracting standards.

Given the change in ownership, the expiration of the original Victor Medical agreement, and Midwest Veterinary Supply’s requirement for a new contractual framework, Animal Services is now requesting authorization to establish a new contractual relationship directly with Midwest Veterinary Supply, independent of the former Victor Medical agreement.

Discussion
All animals impounded at the shelter receive core vaccinations upon intake to prevent the spread of infectious disease and to protect animal and public health while in

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custody. Throughout their stay, animals may require additional medications, treatments, and supportive care for injuries or illness. The Department utilizes veterinary-grade disinfectants and sanitizing agents to ensure proper cleaning within animal housing areas, which is critical to maintaining a safe and humane environment.

In addition, the Department utilizes Per Diem Veterinarians to perform spay and neuter surgeries on shelter animals to ensure compliance with State sterilization requirements and to support adoption outcomes. These surgical procedures require the ongoing purchase of veterinary medical supplies, including vaccines, medications, surgical instruments, and sterile surgical materials. The procurement of these supplies is essential to maintaining daily shelter operations, supporting animal welfare, and ensuring compliance with applicable public health and animal care standards.

2021-2025 Strategic Targets and Goals
The purchase of veterinary supplies and equipment aligns with Key Target No.1:

Improved Operational & Financial Capacity. Implementing a multi-year contract and purchase order for key supplies will enable us to maintain our services and obtain necessary supplies without a steep increase to costs.

Fiscal Impact
There is no additional impact to the General Fund associated with this action. The Department has sufficient budget to cover the cost of veterinary medical supplies within its existing appropriations. In addition, the Department shares financial responsibility for these expenditures with its five contract cities, which collectively reimburse approximately 30% of total costs in accordance with their service agreements.

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

1. Authorize the City Manager to execute a Goods Purchase Agreement with Midwest Veterinary Supply; and

2. Authorize the Director of Finance to issue a purchase order to Midwest Veterinary Supply in an amount not to exceed $500,000 annually.

Attachments
Attachment 1 2025 - 2028 Midwest Veterinary Supply Goods Purchase Agreement
Attachment 2 Resolution 2025-328 Amend FY 2025-26 AS Budget in the amount of $200,000
Ward:

All Wards
Synopsis of Previous Council Actions:

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July 16, 2025 – Resolution No 2025-328 approved an amendment to the original Victor Medical agreement to increase the authorized purchasing amount by $200,000.00 and authorized the City Manager to execute the contract with Midwest Veterinary Supply, increasing the annual not-to-exceed amount to $500,000 and extending the contract expiration date to June 30, 2026.

CC: Eric Levitt, City Manager

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1 CITY OF SAN BERNARDINO

GOODS PURCHASE AGREEMENT
This Goods Purchase Agreement (“Agreement”) is entered into this 1st day of July, 2025, by and between the City of San Bernardino, a charter city and municipal corporation organized under the laws of the State of California with its principal place of business at Vanir Tower, 290 North D Street, San Bernardino, California 92401, County of San Bernardino, State of California (“City”), and Midwest Veterinary Supply, Inc. a Corporation with its principal place of business at 21467 Holyoke Avenue, Lakeville, MN 55044 (“Supplier”). City and Supplier are sometimes individually referred to as “Party” and collectively as “Parties” in this Agreement.

Section 1. DEFINITIONS.

A. “Goods” means all machinery, equipment, supplies, items, parts, materials, labor or other services, including design, engineering and installation services, provided by Supplier as specified in Exhibit “ B,” attached hereto and incorporated herein by reference.

B. “Delivery Date(s)” means that date or dates upon which the Goods is to be delivered to City, ready for approval, testing and/or use as specified in Exhibit “B.” Section 2. MATERIALS AND WORKMANSHIP.

When Exhibit “ B” specifies machinery, equipment or material by manufacturer, model or trade name, no substitution will be made without City’s written approval.

Machinery, equipment or material installed in the Goods without the approval required by this Section 2 will be deemed to be defective material for purposes of Section 4. Where machinery, equipment or materials are referred to in Exhibit “B” as equal to any particular standard, City will decide the question of equality. When requested by City, Supplier will furnish City with the name of the manufacturer, the performance capabilities and other pertinent information necessary to properly determine the quality and suitability of any machines, equipment and material to be incorporated in the Goods. Material samples will be submitted at City’s request.

Section 3. INSPECTIONS AND TESTS.

City shall have the right to inspect and/or test the Goods prior to acceptance. If upon inspection or testing the Goods or any portion thereof are found to be nonconforming, unsatisfactory, defective, of inferior quality or workmanship, or fail to meet any requirements or specifications contained in Exhibit “B,” then without prejudice to any other rights or remedies, City may reject the Goods or exercise any of its rights under Section 4.C. The inspection, failure to make inspection, acceptance of goods, or payment for goods shall not impair City’s right to reject nonconforming goods, irrespective of City’s failure to notify Supplier of a rejection of nonconforming goods or revocation of acceptance thereof or to specify with particularity any defect in nonconforming goods after

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2 rejection or acceptance thereof.

Section 4. WARRANTY.

A. Supplier warrants that the Goods will be of merchantable quality and free from defects in design, engineering, material , and workmanship for a period of two (2) years, or such longer period as provided by a manufacturer’s warranty or as agreed to by Supplier and City, from the date of final written acceptance of the Goods by City as required for final payment under 0. Supplier further warrants that any services provided in connection with the Goods will be performed in a professional and workmanlike manner and in accordance with the highest industry standards.

B. Supplier further warrants that all machinery, equipment, or process included in the Goods will meet the performance requirements and specifications specified in Exhibit “B” and shall be fit for the purpose intended. City’s inspection, testing, approval, or acceptance of any such machinery, equipment , or process will not relieve Supplier of its obligations under this Section 4.B.

C. For any breach of the warranties contained in Section 4.A and Section 4.B, Supplier will, immediately after receiving notice from City, at the option of City, and at Supplier’s own expense and without cost to City:

1. Repair the defective Goods;

2. Replace the defective Goods with conforming Goods, F.O.B. City’s plant, office or other location of City where the Goods was originally performed or delivered; or

3. Repay to City the purchase price of the defective Goods.

If City selects repair or replacement, any defects will be remedied without cost to City, including but not limited to, the costs of removal, repair , and replacement of the defective Goods, and reinstallation of new Goods. All such defective Goods that are so remedied will be similarly warranted as stated above. In addition, Supplier will repair or replace other items of the Goods which may have been damaged by such defects or the repairing of the same, all at its own expense and without cost to City.

D. Supplier also warrants that the Goods are free and clear of all liens and encumbrances whatsoever, that Supplier has a good and marketable title to same, and that Supplier owns or has a valid license for all of the proprietary technology and intellectual property incorporated within the Goods. Supplier agrees to indemnify, defend, and hold City harmless against any and all third party claims resulting from the breach or inaccuracy of any of the foregoing warranties.

E. In the event of a breach by Supplier of its obligations under this Section 4, City will not be limited to the remedies set forth in this Section 4, but will have all the rights

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3 and remedies permitted by applicable law, including without limitation, all of the rights and remedies afforded to City under the California Commercial Code.

Section 5. PRICES.

In no event shall the total amount paid for Goods rendered by Supplier under this Agreement exceed the sum of Five Hundred Thousand ($500,000.00) annually. Unless expressly provided otherwise, all prices and fees specified in Exhibit B” attached hereto and incorporated herein by reference, are firm and shall not be subject to change without written approval of City. Notwithstanding the foregoing, Supplier may adjust the pricing in Exhibit “B” by providing to City thirty (30) days written notice to City prior to such price adjustment. However, the request for any price adjustment that results in a price increase above three percent (3%) mus t be accompanied by written proof from Supplier and/or Supplier’s source of Goods, to City’s satisfaction, of the need for a price adjustment.

Under no circumstances shall the price be increased above three percent (3%) without written proof provided by the Supplier. In the event that City find s that a price increase above three percent (3%) is not warranted, City may terminate this Agreement pursuant to Section 16.B. With the exception of price adjustments as provided in this Section, no extra charges of any kind will be allowed unless specifically agreed to in writing by City’s authorized representative. The total price shall include (i) all federal, state and local sales, use, excise, privilege, payroll, occupational and other taxes applicable to the Good s furnished to City hereunder; and (ii) all charges for packing, freight and transportation to destination.

Section 6. Term
This Agreement shall be from July 1, 2025 through June 30, 2026, unless the Agreement is previously terminated as provided for herein (“Term”). This Agreement may be extended via written notice as provide by Section 16 of this Agreement by the City Manager or his or her designee for a maximum of two (2) additional years. Option Year One, if exercised, shall be effective July 1, 2026 through June 30, 2027. Option Year Two, 0if exercised, shall be effective July 1, 2027 through June 30, 2028.

SECTION 7. CHANGES .

City, at any time, by a written order, and without notice to any surety, may make changes in the Goods, including but not limited to, City’s requirements and specifications.

If such changes affect the cost of the Goods or time required for its performance, an equitable adjustment will be made in the price or time for performance or both. Any change in the price necessitated by such change will be agreed upon between City and Supplier and such change will be authorized by a change order document signed by City and accepted by Supplier.

SECTION 8. PAYMENTS.

A. Terms of payment, are net thirty (30) days, less any applicable retention, after receipt of invoice, or completion of applicable Progress Milestones. Final payment

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4 shall be made by City after Supplier has satisfied all contractual requirements. Payment of invoices shall not constitute acceptance of Goods.

B. Payments for the Goods will be made by City upon proper submittal by Supplier of a billing invoice for the Goods. Supplier’s billing invoice will include payments due for the original scope of work and changes. The costs of the Goods on the invoice shall reflect the prices shown in Exhibit “B”, unless altered by the procedures set forth in Section 6, and each change order will be itemized on the invoice. Invoices for cost plus work, whether part of Exhibit “ B” or a change order, must have subcontractor and/or supplier invoices attached to Supplier’s invoice. Other format and support documents for invoices will be determined by City in advance of the first invoice cycle.

C. Payments otherwise due may be withheld by City on account of defective Goods not remedied, liens or other claims filed, reasonable evidence indicating probable filing of liens or other claims, failure of Supplier to make payments properly to its subcontractors or for material or labor, the failure of Supplier to perform any of its other obligations under the Agreement, or to protect City against any liability arising out of Supplier’s failure to pay or discharge taxes or other obligations. If the causes fo r which payment is withheld are removed, the withheld payments will be made promptly. If the said causes are not removed within a reasonable period after written notice, City may remove them at Supplier’s expense.

D. Payment of the final Progress Milestone payment or any retention will be made by City upon:

1. Submission of an invoice for satisfactory completion of the delivery of Goods in the amount defined in Exhibit “B”;

2. Written acceptance of the Goods by City;

3. Delivery of all drawings and specifications, if required by City;

4. Delivery of executed full releases of any and all liens arising out of this Agreement; and

5. Delivery of an affidavit listing all persons who might otherwise be entitled to file, claim , or maintain a lien of any kind or character, and containing an averment that all of the said persons have been paid in full.

If any person refuses to furnish an actual release or receipt in full, Supplier may furnish a bond satisfactory to City to indemnify City against any claim or lien at no cost to City.

E. Acceptance by Supplier of payment of the final Progress Milestone payment pursuant to Section 5.D will constitute a waiver, release and discharge of any and all claims and demands of any kind or character which Supplier then has, or can subsequently acquire against City, its successors and assigns, for or on account of any

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5 matter or thing arising out of, or in any manner connected with, the performance of this Agreement. However, payment for the final Progress Milestone by City will not constitute a waiver, release or discharge of any claims or demands which City then has, or can subsequently acquire, against Supplier, its successors and assigns, for or on account of any matter or thing arising out of, or in any manner connected with, the performance of this Agreement.

SECTION 9. SCHEDULE FOR DELIVERY.

A. The time of Supplier’s performance is of the essence for this Agreement.

Supplier must immediately notify City in writing any time delivery is behind schedule or may not be completed on schedule.

B. In the event that the Goods are part of a larger project or projects that require the coordination of multiple contractors or suppliers, then Supplier will fully cooperate in scheduling the delivery so that City can maximize the efficient completion of such project(s).

Section 6. TAXES.

A. Supplier agrees to timely pay all sales and use tax (including any value added or gross receipts tax imposed similar to a sales and use tax) imposed by any federal, state or local taxing authority on the ultimate purchase price of the Goods provided under this Agreement.

B. Supplier will withhold, and require its subcontractors, where applicable, to withhold all required taxes and contributions of any federal, state or local taxing authority which is measured by wages, salaries or other remuneration of its employees or the employees of its subcontractors. Supplier will deposit, or cause to be deposited, in a timely manner with the appropriate taxing authorities all amounts required to be withheld.

C. All other taxes, however denominated or measured, imposed upon the price of the Goods provided hereunder, will be the responsibility of Supplier. In addition, all taxes assessed by any taxing jurisdiction based on Supplier property used or consumed in the provision of the Goods, such as and including ad valorem, use, personal property and inventory taxes, will be the responsibility of Supplier.

D. Supplier will, upon written request, submit to City written evidence of any filings or payments of all taxes required to be paid by Supplier hereunder.

SECTION 10. INDEPENDENT CONTRACTOR.

Supplier enters into this Agreement as an independent contractor and not as an employee of City. Supplier shall have no power or authority by this Agreement to bind City in any respect. Nothing in this Agreement shall be construed to be inconsistent with this relationship or status. All employees, agents, contractors or subcontractors hired or retained by the Supplier are employees, agents, contractors or subcontractors of the

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6 Supplier and not of City. City shall not be obligated in any way to pay any wage claims or other claims made against Supplier by any such employees, agents, contractors or subcontractors or any other person resulting from performance of this Agreement.

SECTION 11. SUBCONTRACTS.

Unless otherwise specified, Supplier must obtain City’s written permission before subcontracting any portion of the Goods. Except for the insurance requirements in Section 6.A, all subcontracts and orders for the purchase or rental of supplies, materials or equipment, or any other part of the Goods, will require that the subcontractor be bound by and subject to all of the terms and conditions of the Agreement. No subcontract or order will relieve Supplier from its obligations to City, including, but not limited to Supplier’s insurance and indemnification obligations. No subcontract or order will bind City.

SECTION 12. TITLE AND RISK OF LOSS.

Unless otherwise agreed, City will have title to, and risk of loss of, all completed and partially completed portions of the Goods upon delivery, as well as materials delivered to and stored on City property which are intended to become a part of the Goods. However, Supplier will be liable for any loss or damage to the Goods and/or the materials caused by Supplier or its subcontractors, their agents or employees, and Supplier will replace or repair said Goods or materials at its own cost to the complete satisfaction of City. Notwithstanding the foregoing, in the event that the City has paid Supplier for all or a portion of the Goods which remains in the possession of Supplier, then City shall have title to, and the right to take possession of, such Goods at any time following payment therefor. Risk of loss for any Goods which remains in the possession of Supplier shall remain with Supplier until such Goods has been delivered or City has taken possession thereof. Supplier will have risk of loss or damage to Supplier’s property used in the construction of the Goods but which does not become a part of the Goods.

SECTION 13. INDEMNIFICATION.

A. Supplier shall defend, indemnify and hold the City, its officials, officers, employees, volunteers and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury, in law or equity, to property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts, omissions, negligence or willful misconduct of Supplier, its officials, officers, employees, agents, subcontractors and subconsultants arising out of or in connection with the Goods or the performance of this Agreement, including without limitation the payment of all consequential damages and attorneys’ fees and other related costs and expenses except such loss or damage which was caused by the sole negligence or willful misconduct of the City.

B. Supplier’s defense obligation for any and all such aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against the City, its officials, officers, employees, agents , or volunteers shall be at Supplier’s own cost, expense, and risk. Supplier shall pay and satisfy any judgment, award , or decree that

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7 may be rendered against City or its officials, officers, employees, agents , or volunteers, in any such suit, action, or other legal proceeding. Supplier shall reimburse City and its officials, officers, employees, agents , and/or volunteers, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided.

C. Supplier’s obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its officials, officers, employees, agents or volunteers.

SECTION 14. INSURANCE.

A. General. Supplier shall take out and maintain:

1. Commercial General Liability Insura nce, of at least $2,000,000 per occurrence/ $4 ,000,000 aggregate for bodily injury, personal injury and property damage, at least as broad as Insurance Services Office Commercial General Liability most recent Occurrence Form CG 00 01;

2. Workers’ Compensation in compliance with applicable statutory requirements and Employer's Liability Coverage of at least $1,000,000 per occurrence; and

3. Pollution Liability Insurance of at least $1,000,000 per occurrence and $2,000,000 aggregate shall be provided by the Supplier if transporting hazardous materials.

4. If Supplier is also the manufacturer of any equipment included in the Goods, Supplier shall carry Product Liability and/or Errors and Omissions Insurance which covers said equipment with limits of not less than $1,000,000.

B. Additional Insured; Primary; Waiver of Subrogation; No Limitation on Coverage. The policies required under this Section shall give City, its officials, officers, employees, agents or volunteers additional insured status. Such policies shall contain a provision stating that Supplier’s policy is primary insurance and that any insurance, self - insurance or other coverage maintained by the City or any additional insureds shall not be called upon to contribute to any loss, and shall contain or be endorsed with a waiver of subrogation in favor of the City, its officials, officers, employees, agents, and volunteers. The limits set forth herein shall apply separately to each insured against whom claims are made or suits are brought, except with respect to the limi ts of liability.

Requirements of specific coverage or limits contained in this section are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance. Any available coverage shal l be provided to the parties required to be named as additional insured pursuant to this Agreement.

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8 C. Insurance Carrier. All insurance required under this Section is to be placed with insurers with a current A.M. Best’s rating no less than A-:VII, licensed to do business in California, and satisfactory to the City.

D. Evidence of Insurance. Supplier shall furnish City with original certificates of insurance and endorsements effecting coverage required by the Agreement. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf, and shall be on forms supplied or approved by the City. All certificates and endorsements must be received and approved by the City before delivery commences. The City reserves the right to require complete, certified copies of all required insurance policies, at any time.

E. Subcontractors. All subcontractors shall meet the requirements of this Section before commencing work. In addition, Supplier shall include all subcontractors as insureds under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the requirements stated herein.

F. Freight. Supplier shall ensure that third party shippers contracted by Supplier have adequate insurance coverage for the shipped Goods.

SECTION 15. LIENS.

A. Supplier, subcontractors and suppliers will not make, file or maintain a mechanic’s or other lien or claim of any kind or character against the Goods, for or on account of any labor, materials, fixtures, tools, machinery, equipment, or any other things furnished, or any other work done or performance given under, arising out of, or in any manner connected with the Agreement (such liens or claims referred to as “Claims”); and Supplier, subcontractor and suppliers expressly waive and relinquish any and all rights which they now have, or may subsequently acquire, to file or maintain any Claim and Supplier, subcontractor and suppliers agree that this provision waiving the right of Claims will be an independent covenant.

B. Supplier will save and hold City harmless from and against any and all Claims that may be filed by a subcontractor, supplier or any other person or entity and Supplier will, at its own expense, defend any and all actions based upon such Claims and will pay all charges of attorneys and all costs and other expenses arising from such Claims.

SECTION 16. TERMINATION OF AGREEMENT BY CITY.

A. Should Supplier at any time refuse or fail to deliver the Goods with promptness and diligence, or to perform any of its other obligations under the Agreement, City may terminate Supplier’s right to proceed with the delivery of the Goods by written notice to Supplier. In such event City may obtain the Goods by whatever method it may deem expedient, including the hiring of another contractor or other contractors and, for that purpose, may take possession of all materials, machinery, equipment, tools and

Packet Page. 105

9 appliances and exercise all rights, options and privileges of Supplier. In such case Supplier will not be entitled to receive any further payments until the Goods are delivered.

B. City may, for its own convenience, terminate Supplier’s right to proceed with the delivery of any portion or all of the Goods by written notice to Supplier. Such termination will be effective in the manner specified in such notice, will be without prejudice to any claims which City may have against Supplier, and will not affect the obligations and duties of Supplier under the Agreement with respect to portions of the Goods not terminated.

C. On receipt of notice under Section 6.B, Supplier will, with respect to the portion of the Goods terminated, unless the notice states otherwise,

1. Immediately discontinue such portion of the Goods and the placing of orders for materials, facilities, and supplies in connection with the Goods,

2. Unless otherwise directed by City, make every reasonable effort to procure cancellation of all existing orders or contracts upon terms satisfactory to City; and

3. Deliver only such portions of the Goods which City deems necessary to preserve and protect those portions of the Goods already in progress and to protect material, plant, and equipment at the Goods site or in transit to the Goods site.

D. Upon termination pursuant to Section 6.B, Supplier will be paid a pro rata portion of the compensation in the Agreement for any portion of the terminated Goods already delivered, including material and services for which it has made firm contracts which are not canceled, it being understood that City will be entitled to such material and services. Upon determination of the amount of said pro rata compensation, City will promptly pay such amount to Supplier upon delivery by Supplier of the releases of liens and affidavit, pursuant to Section 5.B.

SECTION 17. FORCE MAJEURE
A. Supplier shall not be held responsible for failure or delay in shipping nor City for failure or delay in accepting goods described herein if such failure or delay is due to a Force Majeure Event.

B. A Force Majeure Event shall mean an event that materially affects a Party’s performance and is one or more of the following: (1) Acts of God or other natural disasters occurring at the project site; (2) terrorism or other acts of a public enemy; (3) orders of governmental authorities (including, without limitation, unreason able and unforeseeable delay in the issuance of permits or approvals by governmental authorities that are required for the work); (4) pandemics, epidemics or quarantine restrictions; and (5) strikes and other organized labor action occurring at the project site and the effects thereof on the work, only to the extent such strikes and other organized labor action are beyond the control of Supplier and its subcontractors, of every tier, and to the extent the effects

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10 thereof cannot be avoided by use of replacement workers. For purposes of this section, “orders of governmental authorities,” includes ordinances, emergency proclamations and orders, rules to protect the public health, welfare and safety, and other actions of the City in its capacity as a municipal authority.

C. In the event of any such excused interference with shipments, City shall have the option either to reduce the quantity provided for in the order accordingly or to exercise its right of cancellation as set forth in this Agreement.

SECTION 18. MISCELLANEOUS PROVISIONS.

D. Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address or at such other address as the respective parties may provide in writing for this purpose:

CITY:

City of San Bernardino
Department of Animal Services
333 Chandler Pl.

San Bernardino, CA 92401

With Copy To:

City of San Bernardino
Vanir Tower, 290 North D Street
San Bernardino, CA 92401
Attn: City Attorney

SUPPLIER:

Midwest Veterinary Supply
21467 Holyoke Ave.

Lakeville, MN 55044
Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.

E. Assignment or Transfer. Supplier shall not assign or transfer any interest in this Agreement whether by assignment or novation, without the prior written consent of the City, which will not be unreasonably withheld. Provided, however, that claims for money due or to become due Supplier from the City under this Agreement may be assigned to a financial institution or to a trustee in bankruptcy, without such approval.

Notice of any assignment or transfer, whether voluntary or involuntary, shall be furnished promptly to the City.

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11 F. Successors and Assigns . This Agreement shall be binding on the successors and assigns of the Parties.

G. Amendment; Modification. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties.

H. Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel or otherwise.

I. Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in San Bernardino County.

J. Attorneys’ Fees and Costs. If any action in law or equity, including an action for declaratory relief, is brought to enforce or interpret the provisions of this Agreement, each Party shall pay its own attorneys’ fees.

K. Interpretation. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party.

L. No Third Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties.

M. Authority to Enter Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right and authority to make this Agreement and bind each respective Party.

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

O. Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original.

P. City’s Right to Employ Other Suppliers. City reserves its right to employ other contractors in connection with the Goods.

Q. Entire Agreement . This Agreement constitutes the entire agreement between the Parties relative to the Goods specified herein. There are no understandings, agreements, conditions, representations, warranties or promises with respect to this Agreement, except those contained in or referred to in the writing.

R. Electronic Signature . Each Party acknowledges and agrees that this Agreement may be executed by electronic or digital signature, which shall be considered

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12 as an original signature for all purposes and shall have the same force and effect as an original signature.
[SIGNATURES ON FOLLOWING PAGE]

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13 SIGNATURE PAGE TO GOODS PURCHASE AGREEMENT

BETWEEN THE CITY OF SAN BERNARDINO

AND MIDWEST VETERINARY SUPPLY

IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date first above written.

CITY OF SAN BERNARDINO

APPROVED BY:

Eric Levitt
City Manager

ATTESTED BY:

Telicia Lopez, CMC
City Clerk

APPROVED AS TO FORM:

Best Best & Krieger LLP
City Attorney
Midwest Veterinary Supply

Signature

Name

Title

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14 EXHIBIT A

GOODS SPECIFICATIONS
Midwest Veterinary Supply provides a range of goods for animals, including veterinary pharmaceuticals, vaccines for cats and dogs, veterinary approved cleaning supplies, parasite prevention and treatment as well as veterinary equipment, including cages, scales, grooming tools and surgical supplies.

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15 EXHIBIT B

FEE SCHEDULE
San Bernardino

Item Description 1 Vendor Name Price
RESCUE CONCENTRATE 55 GAL CLIPPER VIROX $6,967.08
NOBIVAC CANINE 1-DAPPv 25X1ds INTERVET, INC. (MERCK) $90.50 NOBIVAC INTRA-TRAC 3 25X1ds INTERVET, INC. (MERCK) $88.00 NOBIVAC FELINE 1-HCP 25X1ds INTERVET, INC. (MERCK) $75.50 CEFPODOXIME TABS 100mg 100ct D&H WHOLESALE MEDICAL, INC. $37.42 CEFPODOXIME TABS 200mg 100ct D&H WHOLESALE MEDICAL, INC. $70.85 AMOXICILLIN CAPS 250mg 500ct BLOODWORTH WHOLESALE DRUGS INC $24.33 AMOXICILLIN CAPS 500mg 500ct CLIPPER HUX $29.05
CEPHALEXIN CAPS 250mg 500ct BLOODWORTH WHOLESALE DRUGS INC $22.67 CEPHALEXIN CAPS 500mg 500ct BLOODWORTH WHOLESALE DRUGS INC $39.64 DOXYCYCLINE HYCLATE TABS NDC DISTRIBUTORS $25.09
ENROQUIN 22.7mg 500ct CLIPPER DECHRA $196.69
ENROQUIN 136mg 200ct CLIPPER DECHRA $352.90
CARPROVET FLAVORED TABS 25mg CLIPPER DECHRA $52.36
CARPROVET CHEWABLE TABS 75mg CLIPPER DECHRA $71.24
CARPROVET FLAVORED TABS 100mg CLIPPER DECHRA $75.98
CLAVACILLIN TABS 250mg 210ct CLIPPER DECHRA $199.86
AMOXICILLIN/CLAV.POT. ORAL PWD CLIPPER HUX $2.05
SYR 3cc LL 22gaX3/4" 100ct CLIPPER TERUMO $18.14
SYR 6cc LL 50ct CARDINAL HEALTH 200, INC. $13.79
SYR 12cc LL 80ct HARD PACK CLIPPER NEOGEN $24.05
NDL PH 22gaX3/4" 100ct PEEL NATIONAL DISTRIBUTION & $8.46 NDL PH 20gaX3/4" 100ct PEEL NATIONAL DISTRIBUTION & $8.16 NDL PH 18gaX1" 100ct PEEL NATIONAL DISTRIBUTION & $8.16 NDL PH 18gaX1.5" TW 100ct CLIPPER TERUMO $10.82
EUTHAPHEN 100ml C-III(N) CLIPPER DECHRA $69.47
Q-SYTE VIAL ACCESS ADAPTER VEDCO INC. $2.14
ANASED 100mg 50ml CRONUS PHARMA LLC $19.87
PROMACE INJECTION 50ml BOEHRINGER INGELHEIM $26.91
CAPSTAR TAB DOG 11.4mg 10X6ct DURVET, INC. $300.00
CAPSTAR TAB DOG 57mg 10X6ct DURVET, INC. $300.00
CAPSTAR TAB CAT 11.4mg 10X6ct DURVET, INC. $300.00
PREDNISONE TABS 5mg 100ct CLIPPER HUX $2.47
GABAPENTIN CAPS 100mg 500ct CLIPPER HUX $8.09
DOXIDYL CHEW TAB 100mg 90ct CEVA ANIMAL HEALTH, INC. $214.53 TOBRAMYCIN OPHTH SOL 0.3% 5ml VEDCO HUX $2.71
NEO/POLY/BAC OPHTH OINT CLIPPER HUX $5.52
BLADE CRYOGEN A5 10 NEWELL BRANDS DISTRIBUTION LLC $27.59

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16 PYRANTEL PAMOATE 32oz AURORA PHARMACEUTICAL, INC $33.00 MELOXIDYL ORAL SUS 1.5mg/ml CEVA ANIMAL HEALTH, INC. $105.02 METRONIDAZOLE TABS 500mg 500ct BLOODWORTH WHOLESALE DRUGS INC $25.05 RESCUE EZI ACTION PUMP CLIPPER VIROX $84.82
SHARPS CONTAINER RED 9gal VEDCO INC. $18.40
SHARPS RECYCLEEN 3gal VEDCO INC. $22.04
PRODINE SOLUTION GAL CLIPPER PHOENIX $52.13
ANTIGEN RAPID CANINE VEDCO INC. $110.00
CIPROFLOXACIN TABS 250mg 100ct BLOODWORTH WHOLESALE DRUGS INC $7.07 CIPROFLOXACIN TABS 750mg 50ct BLUPAX PHARMACEUTICALS, LLC $9.95 MVET ISOPROPYL ALCOHOL 70% CENTAUR ANIMAL HEALTH $0.00
HYDROGEN PEROXIDE 3% SOL GAL CLIPPER PHOENIX $6.23
VETASAN SCRUB 2% GAL CREATIVE SCIENCE, LLC $37.73

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3 2
2 7

CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: March 4, 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
City Manager's Comments

Click or tap here to enter text.

Click or tap here to enter text.1-2025 Strategic Targets and Goals Click or tap here to enter text.

Fiscal Impact
Click or tap here to enter text.

Click or tap here to enter text.

Packet Page. 117

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

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 Late
Sandra Ibarra Council Member, Ward 2 Late
Juan Figueroa Mayor Pro-Tem, Ward 3 Present
Fred Shorett Council Member, Ward 4 Present
Ben Reynoso Council Member, Ward 5 Late
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. 118

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. 119

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. 120

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. 121

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

Packet Page. 122

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

Packet Page. 123

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.

Packet Page. 124

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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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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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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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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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.

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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.

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.

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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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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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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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.

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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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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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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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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: March 4, 2026
To: Honorable Mayor and City Council Members
From: C. Jeannie Fortune, Interim Director of Finance & Management Services
Department: Finance & Management Services
Subject: Accept State Funds for Seccombe Lake Park
Rehabilitation Project Administered by the California
Natural Resources Agency (Ward 1)
Recommendation:

2. Authorizing the City Manager or his designee to conduct all negotiations, signing, and submittals of necessary documents to receive the awarded funds.

3. Authorize the Director of Finance & Management Services to reallocate $5,000,000 from the Park Land Replacement Project to the Seccombe Lake Park Rehabilitation Project.

City Manager's Comments
The City Manager recommends approval.

Executive Summary
This report seeks to formally recognize, by resolution, the $5,000,000 in state funding appropriated in FY 2023/24 by Assemblymember Ramos for a Park Land Replacement Project. The funds, administered through the California Natural Resources Agency, are proposed to be repurposed for the Seccombe Lake Park Rehabilitation Project in lieu of the originally designated park land replacement project.

Background
In early 2024, the California Natural Resources Agency (CNRA) notified the City of San

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Bernardino of a $5,000,000 state funding award to replace parkland at Seccombe Lake Park. After the original project stalled, City staff coordinated with Assemblymember Ramos’ office and CNRA to obtain approval to repurpose the funding. To date, there are no expenditures, and staff will re-engage in the grant administration process with the CNRA to access the awarded funds. The period of performance for the Seccombe Lake Park Rehabilitation Project ends on December 31, 2028.

Discussion
On June 4, 2024, Council approved Resolution 2024-135 to accept $5M in state funds appropriated by Assemblymember Ramos and administered by the CNRA for a park land replacement project. At the time of the request, the City and the Richman Group had an exclusive negotiating agreement (ENA) to develop 12.5 acres of housing on Seccombe Lake Park, which would need to be replaced with substitute parkland as required under the California Public Park Preservation Act of 1971. The funds were to be used to purchase 12.5 acres of replacement parkland, located on Sixth Street and approximately .5 miles away from Seccombe Lake Park. Due to a stall in the housing development project, staff worked with Assemblymember Ramos’ office to receive approval to reallocate the funds to the Seccombe Lake Park Rehabilitation Project.

The request was approved and the state funds will continue to be administered through the CNRA. A new resolution is needed to reflect the updated use of these state funds for both the City’s records and the State.

The Seccombe Lake Park Rehabilitation Project requires a substantial budget allocation due to the extensive rehabilitation scope. The project received $12.8 million in City ARPA funds and $1M from the San Manuel Band of Mission Indians.

The additional $5M in state funds will help provide the improvements listed below. The additional improvements are subject to change based on feasibility and construction costs.
Pickleball Courts
Concreate Art Pads
Additional Accessibility
Improvements
Dog Park Enhancements
Lake Cleanup
Renovation of Northern
Parking Lot
2021-2025 Strategic Targets and Goals
This request aligns with Key Strategic Goal 3: Improved Quality of Life - Constantly evaluate public safety service delivery models to enhance the quality of service. If approved, the City will leverage State funding to support completion of the Seccombe Lake Park rehabilitation project.

Fiscal Impact
There is no fiscal impact associated with this item. The funds were recognized in the FY 2023/24 Operating Budget and were carried over to the current FY25/26 budget.

The funds will be reallocated from the Park Land Replacement Project to the Seccombe Lake Park Rehabilitation Project.

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Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, adopt resolution 2026-016, which supersedes the previously adopted resolution No. 2024-135 for the purpose of reallocating grant funds:

2. Authorizing the City Manager or his designee to conduct all negotiations, signing, and submittals of necessary documents to receive the awarded funds.

3. Authorize the Director of Finance & Management Services to reallocate $5,000,000 from the Park Land Replacement Project to the Seccombe Lake Park Rehabilitation Project.

Attachments
Attachment 1- Resolution No. 2026-016
Ward:

First Ward
Synopsis of Previous Council Actions:

June 5, 2024 The Mayor and City Council approved Resolution No. 2024- 135 authorizing the City Manager to accept state in the amount of $5,000,000 to conduct all negotiations, signing, and submittals of necessary documents to receive the awarded funds; and authorized the Director of Finance and
Management Services to amend the FY 2023/24 Operating
Budget in the amount of $5,000,000 in both revenue and
expenditures to appropriate the state funds.

CC: Eric Levitt, City Manager

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Resolution No. 2026-016
Resolution No. 2026
March 4, 2026

Page 1 of 3 ends

RESOLUTION NO. 2026-016

RESOLUTION OF THE MAYOR AND CITY COUNCIL OF

THE CITY OF SAN BERNARDINO, CALIFORNIA,
RESCINDING AND REPLACING RESOLUTION NO. 2024 -
135 FOR APPROVAL AND ACCEPTANCE OF GENERAL

FUND GRANT FUNDS FOR THE SECCOMBE LAKE PARK

REHABILITATION PROJECT IN THE AMOUNT OF
$5,000,000

WHEREAS, the Legislature and Governor of the State of California have approved a grant for the project shown above; and
WHEREAS, the California Natural Resources Agency has been delegated the Responsibility for the administration of the grant project, setting up necessary procedures; and WHEREAS, said procedures established by the California Natural Resources Agency require the Grantee to certify by resolution the approval of a Project Information Package before submission of said package to the State; and
WHEREAS, the Grantee will enter into an agreement with the State of California for the above project.

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

SECTION 1.

Approves the acceptance of a general fund allocation for local assistance for the above project(s); and
SECTION 2. Certifies that said agency understands the assurances and certification in the Project Information Form; and
SECTION 3. Certifies that said agency will have sufficient funds to develop, operate and maintain the project consistent with the land tenure requirements of the Grant Agreement; or will secure the resources to do so; and
SECTION 4. Certifies that said agency will comply with the provisions of Section 1771.5 of the California Labor Code.

SECTION 5. If applicable, certifies that the project will comply with any laws and regulation including, but not limited to, the California Environmental Quality Act (CEQA), legal requirements for building codes, health and safety codes, disabled access laws, environ mental laws and, that prior to commencement of construction, all applicable licenses and permits will have been obtained.

SECTION 6. Certifies that said agency has reviewed and understands the General Provisions contained in the sample Grant Agreement contained in the Procedural Guide; and

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Resolution No. 2026-016
Resolution No. 2026
March 4, 2026

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SECTION 7. Appoints the City Manager, or designee, as agent to conduct all negotiations, execute and submit all documents including, but not limited to the Project Information Form, agreements, payment requests and so on, which may be necessary for the completion of the aforementioned project(s).

SECTION 8. The above recitals are true and correct and are incorporated herein by this reference.

SECTION 9. 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 10. Effective Date. This Resolution shall become effective immediately.

APPROVED and ADOPTED by the City Council and signed by the Mayor and attested by the City Clerk this 4th day of March 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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Resolution No. 2026-016
Resolution No. 2026
March 4, 2026

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CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss

CITY OF SAN BERNARDINO )

I, Telicia Lopez, CMC, City Clerk, hereby certify that the attached is a true copy of Resolution No. 2026-016 adopted at a regular meeting held on the 4th day of March 2026 by the following vote:

WITNESS my hand and official seal of the City of San Bernardino this 5 th day of March 2026.

Telicia Lopez, CMC, City Clerk

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CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: March 4, 2026
To: Honorable Mayor and City Council Members
From: C. Jeannie Fortune, Interim Director of Finance & Management Services
Department: Finance & Management Services
Subject: Approval of the award for Financial Auditing Services to Eadie Payne LLP, in the Amount of $542,860 to Audit
Financial Statements for Fiscal Years Ending June 30,
2026, through June 30, 2030, with the Option of Auditing the City’s Financials for Two Subsequent Years (All
Wards)
Recommendation:

City Manager's Comments
The Finance Department soliciting proposals for audit services for the City through June 30, 2030. The City Manager concurs with the Finance Department recommendation to award to Eadie Payne LLP for a total of $542,869 over 5 years.

Executive Summary
Pursuant to California law, each year, the City engages the services of an independent auditor to audit its financial statements and related internal control procedures. The City’s previous auditor was Rogers, Anderson, Malody and Scott, LLP (RAMS), completing their independent audit for the City’s Annual Comprehensive Financial Report (ACFR) for the fiscal year ended June 30, 2025. The City sent out a Request for Proposals (RFP) for auditing services and an internal committee determined that contracting with Eadie Payne LLP for audit services from June 30, 2026 through June 30, 2030 with the option of auditing the City’s financials for two additional years is the best choice based on qualifications, expertise, transparency, and price.

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Background
The purpose of an independent auditor's report for government agencies is to provide stakeholders (citizens, lawmakers) with objective assurance and transparency on financial accountability, program effectiveness, and compliance with laws, improving trust and decision-making by verifying fair presentation, strong internal controls, and proper use of public funds.

The City issued an RFP for audit services. Audit services for the fiscal year to be audited usually commence in the month of May of that fiscal year with a review on internal controls and accounting procedures and continue until December of the following fiscal year.

The City received six (6) proposals:

Proposer Location Amount Comments
The Pun Group LLP Santa Ana, CA $541,512
Vasquez & Company LLP Glendale, CA $523,300
Forvis LLP Irvine, CA $670,000
Eadie Payne LLP Riverside, CA $542,860
Rogers, Anderson, Malody,
Scott (RAMS) LLP (current
auditor)
San Bernardino,
CA $545,072
Includes a 5% credit
for being local
Clifton Larson Allen (CLA) LLP Ontario, CA $634,790
An independent financial audit is crucial for a city because it provides an objective, unbiased evaluation of financial records, ensuring that public funds are managed with integrity, transparency, and accuracy.

Discussion
The RFP issued for auditing services requested that the audit be conducted in accordance with Generally Accepted Government Auditing Standards (GAGAS), issued by the Government Accountability Office (GAO) of the United States. These standard provide the framework for conducting high-quality audits of government programs, entities, and funds. These standards are used to ensure that audits of government spending are reliable, objective, and transparent.

The scope of work required of the potential auditor included:
To perform a financial and compliance audit to determine (a) whether the combined financial statements of the City fairly present the financial position and the results of financial operations in accordance with generally accepted accounting principles, and (b) whether the City has complied with laws and regulations that may have a material effect upon the financial statements. To examine the City’s internal accounting controls and accounting procedures and render written reports of their findings and recommendations to the City and its legislative body.
The examination shall report conditions found during the audit that can be defined as either a significant or material weakness in the design or operation

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of the internal control structure, which could adversely affect the organization’s ability to record, process, summarize, and report financial data. The auditors shall be required to make an immediate, written report of all irregularities and illegal acts or indications of illegal acts of which they become aware.
The Auditors shall submit a management letter indicating their findings and/or recommendations on those matters noted and observed during the conduct of the examination of the financial records.

When evaluating the proposals, the internal committee took into consideration the following categories:
Approach to audit quality; identifying risks and determining materiality; Team knowledge and experience; in-depth knowledge of governmental Accounting, fund accounting, and applicable state and/or federal laws; Single-audit capability;
Value added services;
Detailed scope;
Responsiveness, communicativeness throughout and after the audit; Quality control procedures;
Location of offices (proximity to the City);
Pricing of the engagement.

Although Vasquez & Company submitted the lowest responsive bid, the internal committee noted that their offices are further away. The committee believed geographic proximity is beneficial for efficiency and quality. Proximity allows for easier, face-to-face access to staff, physical documents and systems. Local auditors often have better context-specific knowledge of the local regulations and economic environment.

The next three (proposers) scored similarly and had competitive pricing:
The Pun Group LLP - prior auditor for 6 years (FY2013-14 through 2018-19); Eadie Payne LLP, and
Rogers, Anderson, Malody, Scott (RAMS) LLP - current auditor for 6 years (FY2019-20 through 2024-25)

City staff believes that awarding the professional services agreement for audit services to Eadie Payne LLP will provide a commitment to fresh perspectives, potentially uncovering overlooked risks, errors, or possible fraud:
Fresh Perspective & Objectivity: The new auditors are not tied to past decisions, allowing them to evaluate financial reporting with unbiased, fresh eyes, which can lead to identifying missed issues.
Increased Risk Detection: A new auditor may identify vulnerabilities or material weaknesses that were previously overlooked.
Signaling Increased Scrutiny: This action demonstrates to stakeholders and

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investors a commitment to enhanced governance and high-quality oversight. Familiarity Threat: Selecting a new auditor helps mitigate the familiarity threat—the risk that a long-standing relationship with a client causes the auditor to become too sympathetic to their interests or too accepting of their work. A new, independent firm brings "fresh eyes" to the financial reporting process, which is critical for restoring objectivity, skepticism, and trust. 2021-2025 Strategic Targets and Goals
Awarding the professional services agreement for auditing services aligns with Key Target No. 1: Improved Operational & Financial Capacity.

Fiscal Impact
The annual costs associated with each audit fiscal year will be included in the Finance and Management Services Department’s annual operating budget.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California approve the professional services agreement with Eadie Payne LLP for financial auditing services in the amount of $542,860 for fiscal years ending June 30, 2026 through June 30, 2030, with the option of auditing the City’s financial statements for two subsequent years (through June 30, 2032).

Attachments
Attachment 1 Professional Services Agreement with Eadie Payne LLP Attachment 2 Eadie Payne Proposal for Professional Auditing Services Ward:

All Wards
Synopsis of Previous Council Actions:

N/A

CC: Eric Levitt, City Manager

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1 PROFESSIONAL SERVICES AGREEMENT

BETWEEN THE CITY OF SAN BERNARDINO

AND EADIE PAYNE LLP
This Agreement is made and entered into as of April 1, 2026 by and between the City of San Bernardino, a charter city and municipal corporation organized and operating under the laws of the State of California with its principal place of business at Vanir Tower, 290 North D Street, San Bernardino, CA 92401 (“City”), and Eadie Payne LLP, a Partnership with its principal place of business at 3880 Lemon St., Ste 300, Riverside, CA 92501 (hereinafter referred to as “Consultant”). City and Consultant are hereinafter sometimes referred to individually as “Party” and collectively as the “Parties.”

RECITALS
A. City is a public agency of the State of California and is in need of professional services for the following project:

Financial Auditing Services (hereinafter referred to as “the Project”).

B. Consultant is duly licensed and has the necessary qualifications to provide such services.

C. The Parties desire by this Agreement to establish the terms for City to retain Consultant to provide the services described herein.

NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

AGREEMENT

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

2. Services. Consultant shall provide the City with the services described in the Scope of Services attached hereto as Exhibit “A.”

3. Professional Practices. All professional services to be provided by Consultant pursuant to this Agreement shall be provided by personnel identified in their proposal. Consultant warrants that Consultant is familiar with all laws that may affect its performance of this Agreement and shall advise City of any changes in any laws that may affect Consultant’s performance of this Agreement. Consultant further represents that no City employee will provide any services under this Agreement.

4. Compensation.
a. Subject to paragraph 4(b) below, the City shall pay for such services in accordance with the Schedule of Charges set forth in Exhibit “A.” b. In no event shall the total amount paid for services rendered by

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2 Consultant under this Agreement exceed the sum of $542,860. This amount is to cover all related costs, and the City will not pay any additional fees for printing expenses.

Consultant may submit invoices to City for approval. Said invoice shall be based on the total of all Consultant’s services which have been completed to City’s sole satisfaction.

City shall pay Consultant’s invoice within forty-five (45) days from the date City receives said invoice. The invoice shall describe in detail the services performed and the associated time for completion. Any additional services approved and performed pursuant to this Agreement shall be designated as “Additional Services” and shall identify the number of the authorized change order, where applicable, on all invoices.

5. Additional Work. If changes in the work seem merited by Consultant or the City, and informal consultations with the other party indicate that a change is warranted, it shall be processed in the following manner: a letter outlining the changes shall be forwarded to the City by Consultant with a statement of estimated changes in fee or time schedule. An amendment to this Agreement shall be prepared by the City and executed by both Parties before performance of such services, or the City will not be required to pay for the changes in the scope of work. Such amendment shall not render ineffective or invalidate unaffected portions of this Agreement.
a. Adjustments. No retroactive price adjustments will be considered and no price increases will be permitted during the first year of this Agreement, unless agreed to by City and Consultant in writing.

6. Term. This Agreement shall commence on the Effective Date and continue through JUNE 30, 2030, unless the Agreement is previously terminated as provided for herein (“Term”).

7. Maintenance of Records; Audits.
a. Records of Consultant’s services relating to this Agreement shall be maintained in accordance with generally recognized accounting principles and shall be made available to City for inspection and/or audit at mutually convenient times for a period of four (4) years from the Effective Date.
b. Books, documents, papers, accounting records, and other evidence pertaining to costs incurred shall be maintained by Consultant and made available at all reasonable times during the contract period and for four (4) years from the date of final payment under the contract for inspection by City.

8. Time of Performance. Consultant shall perform its services in a prompt and timely manner and shall commence performance upon receipt of written notice from the City to proceed. Consultant shall complete the services required hereunder within Term.

9. Delays in Performance.
a. Neither City nor Consultant shall be considered in default of this Agreement for delays in performance caused by circumstances beyond the reasonable

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3 control of the non-performing Party. For purposes of this Agreement, such circumstances include a Force Majeure Event. A Force Majeure Event shall mean an event that materially affects the Consultant’s performance and is one or more of the following: (1) Acts of God or other natural disasters occurring at the project site; (2) terrorism or other acts of a public enemy; (3) orders of governmental authorities (including, without limitation, unreasonable and unforeseeable delay in the issuance of permits or approvals by governmental authorities that are required for the services); and (4) pandemics, epidemics or quarantine restrictions. For purposes of this section, “orders of governmental authorities,” includes ordinances, emergency proclamations and orders, rules to protect the public health, welfare and safety. b. Should a Force Majeure Event occur, the non-performing Party shall, within a reasonable time of being prevented from performing, give written notice to the other Party describing the circumstances preventing continued performance and the efforts being made to resume performance of this Agreement. Delays shall not entitle Consultant to any additional compensation regardless of the Party responsible for the delay.
c. Notwithstanding the foregoing, the City may still terminate this Agreement in accordance with the termination provisions of this Agreement.

10. Compliance with Law.
a. Consultant shall comply with all applicable laws, ordinances, codes and regulations of the federal, state and local government, including Cal/OSHA requirements.
b. If required, Consultant shall assist the City, as requested, in obtaining and maintaining all permits required of Consultant by federal, state and local regulatory agencies.
c. If applicable, Consultant is responsible for all costs of clean up and/ or removal of hazardous and toxic substances spilled as a result of his or her services or operations performed under this Agreement.

11. Standard of Care. Consultant’s services will be performed in accordance with generally accepted professional practices and principles and in a manner consistent with the level of care and skill ordinarily exercised by members of the profession currently practicing under similar conditions. Consultant’s performance shall conform in all material respects to the requirements of the Scope of Work.

12. Conflicts of Interest. During the term of this Agreement, Consultant shall at all times maintain a duty of loyalty and a fiduciary duty to the City and shall not accept payment from or employment with any person or entity which will constitute a conflict of interest with the City.

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4 13. City Business Certificate. Consultant shall, prior to execution of this Agreement, obtain and maintain during the term of this Agreement a valid business registration certificate from the City pursuant to Title 5 of the City’s Municipal Code and any and all other licenses, permits, qualifications, insurance, and approvals of whatever nature that are legally required of Consultant to practice his/her profession, skill, or business.

14. Assignment and Subconsultant. Consultant shall not assign, sublet, or transfer this Agreement or any rights under or interest in this Agreement without the written consent of the City, which may be withheld for any reason. Any attempt to so assign or so transfer without such consent shall be void and without legal effect and shall constitute grounds for termination. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement. Nothing contained herein shall prevent Consultant from employing independent associates and subconsultants as Consultant may deem appropriate to assist in the performance of services hereunder.

15. Independent Consultant. Consultant is retained as an independent contractor and is not an employee of City. No employee or agent of Consultant shall become an employee of City. The work to be performed shall be in accordance with the work described in this Agreement, subject to such directions and amendments from City as herein provided. Any personnel performing the work governed by this Agreement on behalf of Consultant shall at all times be under Consultant’s exclusive direction and control. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance under this Agreement and as required by law.

Consultant shall be responsible for all reports and obligations respecting such personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, and workers’ compensation insurance.

16. Insurance. Consultant shall not commence work for the City until it has provided evidence satisfactory to the City it has secured all insurance required under this section. In addition, Consultant shall not allow any subcontractor to commence work on any subcontract until it has secured all insurance required under this section. a. Additional Insured
The City of San Bernardino, its officials, officers, employees, agents, and volunteers shall be named as additional insureds on Consultant’s and its subconsultants’ policies of commercial general liability and automobile liability insurance using the endorsements and forms specified herein or exact equivalents. b. Commercial General Liability
(i) The Consultant shall take out and maintain, during the performance of all work under this Agreement, in amounts not less than specified herein, Commercial General Liability Insurance, in a form and with insurance companies acceptable to the City.

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5 (ii) Coverage for Commercial General Liability insurance shall be at least as broad as the following:

Insurance Services Office Commercial General Liability
coverage (Occurrence Form CG 00 01) or exact equivalent. (iii) Commercial General Liability Insurance must include coverage for the following:
(1) Bodily Injury and Property Damage
(2) Personal Injury/Advertising Injury
(3) Premises/Operations Liability
(4) Products/Completed Operations Liability
(5) Aggregate Limits that Apply per Project
(6) Explosion, Collapse and Underground (UCX)
exclusion deleted
(7) Contractual Liability with respect to this Contract (8) Broad Form Property Damage
(9) Independent Consultants Coverage
(iv) The policy shall contain no endorsements or provisions limiting coverage for (1) contractual liability; (2) cross liability exclusion for claims or suits by one insured against another; (3) products/completed operations liability; or (4) contain any other exclusion contrary to the Agreement.
(v) The policy shall give City, its elected and appointed officials, officers, employees, agents, and City-designated volunteers additional insured status using ISO endorsement forms CG 20 10 10 01 and 20 37 10 01, or endorsements providing the exact same coverage.
(vi) The general liability program may utilize either deductibles or provide coverage excess of a self-insured retention, subject to written approval by the City, and provided that such deductibles shall not apply to the City as an additional insured.
c. Automobile Liability
(i) At all times during the performance of the work under this Agreement, the Consultant shall maintain Automobile Liability Insurance for bodily injury and property damage including coverage for owned, non-owned and hired vehicles, in a form and with insurance companies acceptable to the City. (ii) Coverage for automobile liability insurance shall be at least as broad as Insurance Services Office Form Number CA 00 01 covering automobile liability (Coverage Symbol 1, any auto).

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6 (iii) The policy shall give City, its elected and appointed officials, officers, employees, agents and City designated volunteers additional insured status. (iv) Subject to written approval by the City, the automobile liability program may utilize deductibles, provided that such deductibles shall not apply to the City as an additional insured, but not a self-insured retention. d. Workers’ Compensation/Employer’s Liability
(i) Consultant certifies that he/she is aware of the provisions of Section 3700 of the California Labor Code which requires every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and he/she will comply with such provisions before commencing work under this Agreement.
(ii) To the extent Consultant has employees at any time during the term of this Agreement, at all times during the performance of the work under this Agreement, the Consultant shall maintain full compensation insurance for all persons employed directly by him/her to carry out the work contemplated under this Agreement, all in accordance with the “Workers’ Compensation and Insurance Act,” Division IV of the Labor Code of the State of California and any acts amendatory thereof, and Employer’s Liability Coverage in amounts indicated herein. Consultant shall require all subconsultants to obtain and maintain, for the period required by this Agreement, workers’ compensation coverage of the same type and limits as specified in this section. e. Professional Liability (Errors and Omissions)
At all times during the performance of the work under this Agreement the Consultant shall maintain professional liability or Errors and Omissions insurance appropriate to its profession, in a form and with insurance companies acceptable to the City and in an amount indicated herein. This insurance shall be endorsed to include contractual liability applicable to this Agreement and shall be written on a policy form coverage specifically designed to protect against acts, errors or omissions of the Consultant. “Covered Professional Services” as designated in the policy must specifically include work performed under this Agreement. The policy must “pay on behalf of” the insured and must include a provision establishing the insurer's duty to defend. f. Privacy/Network Security (Cyber)
At all times during the performance of the work under this Agreement, the Consultant shall maintain privacy/network security insurance for: (1) privacy breaches, (2) system breaches, (3) denial or loss of service, and the (4) introduction, implantation or spread of malicious software code, in a form and with insurance companies acceptable to the City.
g. Aviation and/or Drone Liability N/A

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7 At all times during the performance of the work under this Agreement, the Consultant shall maintain Aviation and/or Drone Liability insurance for bodily injury and property damage, in a form and with insurance companies acceptable to the City. h. Minimum Policy Limits Required
(i) The following insurance limits are required for the Agreement:

Combined Single Limit
Commercial General Liability $2,000,000 per occurrence/$4,000,000 aggregate for bodily injury, personal
injury, and property damage
Automobile Liability $1,000,000 per occurrence for bodily injury and property damage
Employer’s Liability $1,000,000 per occurrence
Professional Liability $1,000,000 per claim and aggregate (errors and omissions)

Cyber Liability $1,000,000 per occurrence and
aggregate

Aviation and/or Drone Liability N/A
(ii) Defense costs shall be payable in addition to the limits. (iii) Requirements of specific coverage or limits contained in this section are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance. Any available coverage shall be provided to the parties required to be named as Additional Insured pursuant to this Agreement.
i. Evidence Required
Prior to execution of the Agreement, the Consultant shall file with the City evidence of insurance from an insurer or insurers certifying to the coverage of all insurance required herein. Such evidence shall include original copies of the ISO CG 00 01 (or insurer’s equivalent) signed by the insurer’s representative and Certificate of Insurance (Acord Form 25-S or equivalent), together with required endorsements. All evidence of insurance shall be signed by a properly authorized officer, agent, or qualified representative of the insurer and shall certify the names of the insured, any additional insureds, where appropriate, the type and amount of the insurance, the location and operations to which the insurance applies, and the expiration date of such insurance.

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8 j. Policy Provisions Required
(i) Consultant shall provide the City at least thirty (30) days prior written notice of cancellation of any policy required by this Agreement, except that the Consultant shall provide at least ten (10) days prior written notice of cancellation of any such policy due to non-payment of the premium. If any of the required coverage is cancelled or expires during the term of this Agreement, the Consultant shall deliver renewal certificate(s) including the General Liability Additional Insured Endorsement to the City at least ten (10) days prior to the effective date of cancellation or expiration. (ii) The Commercial General Liability Policy and Automobile Policy shall each contain a provision stating that Consultant’s policy is primary insurance and that any insurance, self-insurance or other coverage maintained by the City or any named insureds shall not be called upon to contribute to any loss. (iii) The retroactive date (if any) of each policy is to be no later than the effective date of this Agreement. Consultant shall maintain such coverage continuously for a period of at least three years after the completion of the work under this Agreement. Consultant shall purchase a one (1) year extended reporting period A) if the retroactive date is advanced past the effective date of this Agreement; B) if the policy is cancelled or not renewed; or C) if the policy is replaced by another claims-made policy with a retroactive date subsequent to the effective date of this Agreement. (iv) All required insurance coverages, except for the professional liability coverage, shall contain or be endorsed to provide waiver of subrogation in favor of the City, its officials, officers, employees, agents, and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against City, and shall require similar written express waivers and insurance clauses from each of its subconsultants.
(v) The limits set forth herein shall apply separately to each insured against whom claims are made or suits are brought, except with respect to the limits of liability. Further the limits set forth herein shall not be construed to relieve the Consultant from liability in excess of such coverage, nor shall it limit the Consultant’s indemnification obligations to the City and shall not preclude the City from taking such other actions available to the City under other provisions of the Agreement or law. k. Qualifying Insurers
(i) All policies required shall be issued by acceptable insurance companies, as determined by the City, which satisfy the following minimum requirements:
(1) Each such policy shall be from a company or
companies with a current A.M. Best's rating of no less than A:VII and admitted to transact in the business of insurance in the State of California, or otherwise allowed

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9 to place insurance through surplus line brokers under applicable provisions of the California Insurance Code or any federal law.
l Additional Insurance Provisions
(i) The foregoing requirements as to the types and limits of insurance coverage to be maintained by Consultant, 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 Consultant pursuant to this Agreement, including, but not limited to, the provisions concerning indemnification. (ii) If at any time during the life of the Agreement, any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement. (iii) The City may require the Consultant to provide complete copies of all insurance policies in effect for the duration of the Project. (iv) Neither the City nor the City Council, nor any member of the City Council, nor any of the officials, officers, employees, agents or volunteers shall be personally responsible for any liability arising under or by virtue of this Agreement. m. Subconsultant Insurance Requirements. Consultant shall not allow any subcontractors or subconsultants to commence work on any subcontract until they have provided evidence satisfactory to the City that they have secured all insurance required under this section. Policies of commercial general liability insurance provided by such subcontractors or subconsultants shall be endorsed to name the City as an additional insured using ISO form CG 20 38 04 13 or an endorsement providing the exact same coverage. If requested by Consultant, City may approve different scopes or minimum limits of insurance for particular subcontractors or subconsultants.

17. Indemnification.
a. To the fullest extent permitted by law, Consultant shall defend (with counsel reasonably approved by the City), indemnify and hold the City, its elected and appointed officials, officers, employees, agents, and authorized volunteers free and harmless from any and all claims, demands, causes of action, suits, actions, proceedings, costs, expenses, liability, judgments, awards, decrees, settlements, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, (collectively, “Claims”) in any manner arising out of, pertaining to, or incident to any alleged acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant’s services, the Project, or this Agreement, including without limitation the payment of all damages, expert witness fees, attorneys’ fees and other related costs and

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10 expenses. This indemnification clause excludes Claims arising from the sole negligence or willful misconduct of the City. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, the City Council, members of the City Council, its employees, or authorized volunteers. Consultant’s indemnification obligation shall survive the expiration or earlier termination of this Agreement. b. If Consultant’s obligation to defend, indemnify, and/or hold harmless arises out of Consultant’s performance as a “design professional” (as that term is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully incorporated herein, Consultant’s indemnification obligation shall be limited to the extent which the Claims arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant in the performance of the services or this Agreement, and, upon Consultant obtaining a final adjudication by a court of competent jurisdiction, Consultant’s liability for such claim, including the cost to defend, shall not exceed the Consultant’s proportionate percentage of fault.

18. California Labor Code Requirements. Consultant is aware of the requirements of California Labor Code Sections 1720 et seq. and 1770 et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on certain “public works” and “maintenance” projects. If the Services are being performed as part of an applicable “public works” or “maintenance” project, as defined by the Prevailing Wage Laws, Consultant agrees to fully comply with such Prevailing Wage Laws, if applicable. Consultant shall defend, indemnify and hold the City, its elected officials, officers, employees and agents free and harmless from any claims, liabilities, costs, penalties or interest arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. It shall be mandatory upon the Consultant and all subcontractors to comply with all California Labor Code provisions, which include but are not limited to prevailing wages (Labor Code Sections 1771, 1774 and 1775), employment of apprentices (Labor Code Section 1777.5), certified payroll records (Labor Code Sections 1771.4 and 1776), hours of labor (Labor Code Sections 1813 and 1815) and debarment of contractors and subcontractors (Labor Code Section 1777.1).

If the Services are being performed as part of an applicable “public works” or “maintenance” project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Consultant and all subconsultants performing such Services must be registered with the Department of Industrial Relations. Consultant shall maintain registration for the duration of the Project and require the same of any subconsultants, as applicable. This Project may also be subject to compliance monitoring and enforcement by the Department of Industrial Relations. It shall be Consultant’s sole responsibility to comply with all applicable registration and labor compliance requirements.

19. Verification of Employment Eligibility. By executing this Agreement, Consultant verifies that it fully complies with all requirements and restrictions of state and federal law respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to

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11 time, and shall require all subconsultants and sub-subconsultants to comply with the same.

20. Laws and Venue. This Agreement shall be interpreted in accordance with the laws of the State of California. If any action is brought to interpret or enforce any term of this Agreement, the action shall be brought in a state or federal court situated in the County of San Bernardino, State of California.

21. Termination or Abandonment
a. City has the right to terminate or abandon any portion or all of the work under this Agreement by giving ten (10) calendar days’ written notice to Consultant.

In such event, City shall be immediately given title and possession to all original field notes, drawings and specifications, written reports and other documents produced or developed for that portion of the work completed and/or being abandoned. City shall pay Consultant the reasonable value of services rendered for any portion of the work completed prior to termination. If said termination occurs prior to completion of any task for the Project for which a payment request has not been received, the charge for services performed during such task shall be the reasonable value of such services, based on an amount mutually agreed to by City and Consultant of the portion of such task completed but not paid prior to said termination. City shall not be liable for any costs other than the charges or portions thereof which are specified herein. Consultant shall not be entitled to payment for unperformed services, and shall not be entitled to damages or compensation for termination of work.
b. Consultant may terminate its obligation to provide further services under this Agreement upon thirty (30) calendar days’ written notice to City only in the event of substantial failure by City to perform in accordance with the terms of this Agreement through no fault of Consultant.

22. Attorneys’ Fees. In the event that litigation is brought by any Party in connection with this Agreement, the prevailing Party shall be entitled to recover from the opposing Party all costs and expenses, including reasonable attorneys’ fees, incurred by the prevailing Party in the exercise of any of its rights or remedies hereunder or the enforcement of any of the terms, conditions, or provisions hereof. The costs, salary, and expenses of the City Attorney’s Office in enforcing this Agreement on behalf of the City shall be considered as “attorneys’ fees” for the purposes of this Agreement.

23. Responsibility for Errors. Consultant shall be responsible for its work and results under this Agreement. Consultant, when requested, shall furnish clarification and/or explanation as may be required by the City’s representative, regarding any services rendered under this Agreement at no additional cost to City. In the event that an error or omission attributable to Consultant’s professional services occurs, Consultant shall, at no cost to City, provide all other services necessary to rectify and correct the matter to the sole satisfaction of the City and to participate in any meeting required with regard to the correction.

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12 24. Prohibited Employment. Consultant shall not employ any current employee of City to perform the work under this Agreement while this Agreement is in effect.

25. Costs. Each Party shall bear its own costs and fees incurred in the preparation and negotiation of this Agreement and in the performance of its obligations hereunder except as expressly provided herein.

26. Documents. Except as otherwise provided in “Termination or Abandonment,” above, all original field notes, written reports, Drawings and Specifications and other documents, produced or developed for the Project shall, upon payment in full for the services described in this Agreement, be furnished to and become the property of the City.

27. Organization. Consultant shall assign Eden C. Casareno as Project Manager. The Project Manager shall not be removed from the Project or reassigned without the prior written consent of the City.

28. Limitation of Agreement. This Agreement is limited to and includes only the work included in the Project described above.

29. Notice. Any notice or instrument required to be given or delivered by this Agreement may be given or delivered by depositing the same in any United States Post Office, certified mail, return receipt requested, postage prepaid, addressed to the following addresses and shall be effective upon receipt thereof:

CITY:

City of San Bernardino
Vanir Tower, 290 North D Street
San Bernardino, CA 92401
Attn: Eric Levitt

With Copy To:

City of San Bernardino
Vanir Tower, 290 North D Street
San Bernardino, CA 92401
Attn: City Attorney

CONSULTANT:

Eadie Payne LLP
3880 Lemon St., Ste 300
Riverside, CA 92405
Attn: Eden C. Casareno

30. Third Party Rights. Nothing in this Agreement shall be construed to give any rights or benefits to anyone other than the City and the Consultant.

31. Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer and that it shall not discriminate against any employee or applicant for employment because of race, religion, color, national origin, ancestry, sex, age or other interests protected by the State or Federal Constitutions. Such non-discrimination

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13 shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination.

32. Entire Agreement. This Agreement, including Exhibit “A,” represents the entire understanding of City and Consultant as to those matters contained herein, and supersedes and cancels any prior or contemporaneous oral or written understanding, promises or representations with respect to those matters covered hereunder. Each Party acknowledges that no representations, inducements, promises, or agreements have been made by any person which are not incorporated herein, and that any other agreements shall be void. This is an integrated Agreement.

33. Severability. If any provision of this Agreement is determined by a court of competent jurisdiction to be invalid, illegal, or unenforceable for any reason, such determination shall not affect the validity or enforceability of the remaining terms and provisions hereof or of the offending provision in any other circumstance, and the remaining provisions of this Agreement shall remain in full force and effect.

34. Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the successors in interest, executors, administrators and assigns of each Party to this Agreement. However, Consultant shall not assign or transfer by operation of law or otherwise any or all of its rights, burdens, duties or obligations without the prior written consent of City. Any attempted assignment without such consent shall be invalid and void.

35. Non-Waiver. The delay or failure of either Party at any time to require performance or compliance by the other Party of any of its obligations or agreements shall in no way be deemed a waiver of those rights to require such performance or compliance.

No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the Party against whom enforcement of a waiver is sought. The waiver of any right or remedy with respect to any occurrence or event shall not be deemed a waiver of any right or remedy with respect to any other occurrence or event, nor shall any waiver constitute a continuing waiver.

36. Time of Essence. Time is of the essence for each and every provision of this Agreement.

37. Headings. Paragraphs and subparagraph headings contained in this Agreement are included solely for convenience and are not intended to modify, explain, or to be a full or accurate description of the content thereof and shall not in any way affect the meaning or interpretation of this Agreement.

38. Amendments. Only a writing executed by all of the Parties hereto or their respective successors and assigns may amend this Agreement.

39. City’s Right to Employ Other Consultants. City reserves its right to employ other consultants, including engineers, in connection with this Project or other projects.

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14 40. Prohibited Interests. Consultant maintains and warrants that it has neither employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no official, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

41. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original. All counterparts shall be construed together and shall constitute one single Agreement.

42. Authority. The persons executing this Agreement on behalf of the Parties hereto warrant that they are duly authorized to execute this Agreement on behalf of said Parties and that by doing so, the Parties hereto are formally bound to the provisions of this Agreement.

43. Electronic Signature. Each Party acknowledges and agrees that this Agreement may be executed by electronic or digital signature, which shall be considered as an original signature for all purposes and shall have the same force and effect as an original signature.
[SIGNATURES ON FOLLOWING PAGE]

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15 SIGNATURE PAGE FOR PROFESSIONAL SERVICES AGREEMENT

BETWEEN THE CITY OF SAN BERNARDINO

AND EADIE PAYNE LLP

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

CITY OF SAN BERNARDINO
APPROVED BY:

ERIC LEVITT
City Manager

ATTESTED BY:

TELICIA LOPEZ, CMC
City Clerk

APPROVED AS TO FORM:

Best Best & Krieger LLP
City Attorney

CONSULTANT

EADIE PAYNE LLP
EDEN C. CASARENO
Partner

Signature

Name

Title

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16 EXHIBIT A

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City of San Bernardino
Proposal for Professional Auditing Services
JUNE 20, 2025
WWW.EADIEPAYNELLP.COMWWW.EADIEPAYNELLP.COM

PREPARED BY
EadiePayne
3880 Lemon St., Suite 300
Riverside, CA 92501

CONTACT PERSON
Eden C. Casareno
Office: (951) 241-7805
[email protected]

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3880 Lemon St., Ste. 300
Riverside, CA 92501
P.O. Box 1529
Riverside, CA 92502-1529
951-241-7800
www.eadiepaynellp.com

EXECUTIVE SUMMARY
On behalf of Eadie and Payne, LLP (EadiePayne), we are enthusiastic about the opportunity to serve the City Council, management team, and community of City of San Bernardino (City).

EadiePayne is pleased to provide you with our proposal to perform the audit of all funds of the City’s reporting entity for the fiscal years ending June 30, 2026, 2027, 2028, 2029 and 2030, with the option of auditing its financial statements for two subsequent years.

Why Choose EadiePayne?
Experience Auditor for Municipalities: Experience Auditor for Municipalities: EadiePayne has been performing quality audits for municipalities for over 15 years.

Not a One Size Fits All Approach:Not a One Size Fits All Approach: EadiePayne recognizes that no two entities are the same. We pride ourselves in co-developing our audit plans with management to ensure that we meet or surpass your expectations.

Custom Staff Training: Custom Staff Training: EadiePayne is including in our proposal 20 hours of routine consulting and training to assist City management and staff keep up to date on relevant accounting and compliance issues. The application of these hours will be co-developed with the City based on its needs.

Communication:Communication: EadiePayne recognizes that effective and efficient communication is essential to a successful audit. We streamline the communication process with management and governing bodies because we appreciate the challenges of managing the audit process while running the day-to-day operations of the City.

Technology:Technology: EadiePayne has invested highly in cutting edge audit and supporting technologies.

This ensures that the City will receive timely, efficient, and secure results.

The undersigned certifies that they are entitled to represent the firm, empowered to submit the bid, and authorized to sign a contract with the City.

We appreciate the opportunity to share our credentials and look forward to working with you and your team.

Sincerely,
Eden C. Casareno, Engagement Partner
Office: (951) 241-7805
Email: [email protected]

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CITY OF SAN BERNARDINO

TABLE OF CONTENTS
Identification of Proposer ....................................................... 1 Staffing Resources ............................................................. 2 Fiscal Stability. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Experience and Technical Competence ......................................... 11 Proposed Method to Accomplish the Work ....................................... 19 Fee Proposal ................................................................ 26 Insurance ................................................................... 28 Litigation .................................................................... 29 Other Information ............................................................ 30 Certification of Proposal ....................................................... 31 Peer Review ................................................................. 32 Appendices ................................................................. 33 Statement of “No Deviations from RFP” ........................................... 34 PAGE

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CITY OF SAN BERNARDINO | 1
Legal name and address of the company
Eadie and Payne, LLP
3880 Lemon St.,Suite 300
Riverside, CA 92501
Legal form of company (partnership, corporation)
Partnership
If company is a wholly owned subsidiary of a “parent company,” identify the “parent company.” Not applicable.

Name, title, address, and telephone number of the proposed representative to contact concerning the Proposal Submittal
Eden C. Casareno, Partner-in-Charge of Attest
Eadie and Payne, LLP
3880 Lemon St., Suite 300
Riverside, CA 92501
Office: 951-241-7805
Email: [email protected]
California Business License Number
EadiePayne, LLP is licensed to practice as a certified public accounting firm in the State of California, license number 411. City of Riverside Business License Number 1245564.

IDENTIFICATION OF PROPOSER

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CITY OF SAN BERNARDINO | 2

STAFFING RESOURCES
Victoria Simmons, CPAVictoria Simmons, CPA
Senior AccountantSenior Accountant
Assign and review the work performed by
staff auditors; identify and resolve potential
audit issues; propose recommendations for
improvements.

Staff AccountantsStaff Accountants
Eden C. Casareno, CPA Eden C. Casareno, CPA
Engagement PartnerEngagement Partner
24 Years of Experience24 Years of Experience
Principal point-of-contact for management, Audit
Committee and City Council; lead the team in
assessing potential risks and developing solutions;
overall commitment of timely delivery of service.

Panida Kongpetch, CPAPanida Kongpetch, CPA
Senior Manager Senior Manager
12 Years of Experience12 Years of Experience
Principal point-of-contact for City personnel;
responsible for planning, supervising, and
reviewing procedures.

Brandon Ferrell, CPABrandon Ferrell, CPA
Technical Review PartnerTechnical Review Partner
18 Years of Experience18 Years of Experience
Perform 2nd partner, top-level review of financial
statements and audit reports.

EadiePayne will assign a dedicated and experienced team to manage and execute the audit process for the City. Our project team will be led by the engagement partner and supported by a technical review partner, senior manager, senior accountant, and staff accountants, ensuring a quality and efficient audit. The engagement partner, senior manager and senior auditor will be your key contacts.

While we are committed to providing the proposed key personnel for the duration of the project, we acknowledge that circumstances may necessitate personnel changes. Engagement partners, managers, other supervisory staff, and specialists may be changed due to reasons such as personnel leaving the firm, being promoted, or being assigned to another office. We acknowledge that no person designated as “key” to the project shall be removed or replaced without the prior written concurrence of the City’s.

All personnel will be available for on-site work activities as needed.

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CITY OF SAN BERNARDINO | 3

FIRM QUALIFICATIONS AND EXPERIENCE
EDEN C. CASARENO, CPA
Engagement Partner
Office: 951.241.7805 | [email protected]
Ms. Casareno joined EadiePayne in 2002 as a staff accountant and became a partner in 2009. She was appointed head of attest and governmental services in 2016. She has been the quality control partner since 2019. As head of governmental services, Ms.

Casareno leads the EadiePayne team in providing attest and consulting services to cities and municipalities, special districts, JPAs and former redevelopment agencies.

Based on her experience providing similar services to governmental clients, Ms. Casareno offers valuable insight on internal controls, ensuring successful identification of findings and development and implementation of solutions.

Ms. Casareno served the following clients in the government sector:
• Bell Canyon Community Services District
• Big Bear Valley Recreation and Park District
• Bloomington Recreation and Park District
• Big Bear Municipal Water District
• Cedarpines Park Mutual Water Company
• City of Compton
• City of Huntington Park
• City of Industry
• City of Montebello
• City of Moreno Valley
• City of Oxnard
• City of Riverside
• City of Stockton
• County of Riverside
• Fort Mojave Tribe / Avi Kwa Ame Farms
• IEHP
• Hesperia Recreation and Park District
• Inland Empire Resource Conservation District
• Inland Valley Development Authority
• Law Library for San Bernardino County
• Orange County Public Law Library
• Riverside County Regional Park and Open Space District • Riverside County Law Library
• Riverside County Transportation Commission
• San Bernardino County Auditor-Controller-Treasurer
• San Bernardino County Service Areas
• San Gorgonio Pass Water Agency
• Twentynine Palms Water District

EDUCATION
BS Degree in Business Administration, emphasis in Accounting, University of California, Riverside (with highest honors) Leadership Excellence Summit, Brainard Strategy Leadership Academy Single Audit Certificate - AICPA
Situational Leadership: Building Leaders

PROFESSIONAL ORGANIZATIONS
American Institute of Certified Public Accountants
California Society of Certified Public Accountants
California Society of Municipal Finance Officers
California Special Districts Association
Government Finance Officers Association

RECENT RELEVANT CPE
AICPA New Quality Management Standards: 2025
CalCPA Governmental Accounting & Auditing Virtual Conference: 2025 California Society of Municipal Finance Officers Annual Conference: 2025, 2024, 2023 AICPA New GSA Federal Audit Clearinghouse: 2024
AICPA GAQC Update: 2024, 2023
CCH GAAP, GAAS & SSARS Update: 2024
EP Fraud Review: 2024
EP Knowledge-Based Audits: 2024
EP Workshop on Pension & OPEB: 2024
EP Sampling Methodology: 2024
AICPA GAQC Single Audit Lightning Round: 2023
CCH Accounting and Auditing Update: 2023
CCH Fraud Risks When Conducting Remote Audits: 2023
CCH Governmental Entities and Cyber Frauds: 2023

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CITY OF SAN BERNARDINO | 4

BRANDON FERRELL, CPA
Technical Review Partner
Office: 951.241.7814 | Mobile: 909.767.3011| [email protected] Mr. Ferrell leads in the planning, organization and execution of attest engagements. He has strong interpersonal, communication, and project management skills, which are necessary to meet your service expectations. Mr. Ferrell is able to apply technical accounting and auditing knowledge to real-life situations of the clients he serves. He is committed to exceeding his clients expectations by providing quality and timely service in an ever-changing environment.

Mr. Ferrell works closely with management to ensure that EadiePayne is being responsive to the reporting needs within the time frame developed by management. Additionally, Mr. Ferrell performs top level review of project work.

Mr. Ferrell served the following governmental clients:

RECENT RELEVANT CPE
California Society of Municipal Finance Officers Annual Conference: 2025, 2024, 2023 AICPA 2025 Annual Required GAQC Webcast: 2025
CSMFO Educating You on Avoiding Common Errors from GFOA Certificate of Achievement Program: 2025 CSMFO GASB Update - Projects in the Works: 2025
CSMFO GASB Update - Recently Issued Pronouncements: 2025 CSMFO GFOA is Rethinking Financial Reporting: 2025
NCFC 2025 Legal, Tax & Accounting Conf - Tax Update: 2025 Wolters Kluwer 2025 Government A&A Update: Govt T&E Fraud: 2025 AICPA 2024 Annual Required GAQC Webcast: 2024
Wolters Kluwer The Schedule of Expenditures of Federal Awards (SEFA): 2024 AICPA Government Audit Quality Center Update: 2024
AICPA Schedule of Expenditures of Federal Awards: 2024
AICPA Single Audit Fundamentals Series: 2024
• Antelope Valley East-Kern Water Agency
• Cedarpines Park Mutual Water Company
• CIty of Compton
• City of Moreno Valley
• City of Oxnard
• City of Riverside
• City of Stockton
• County of Riverside
• Riverside Public Utilities
• Fontana Union Water Company
• Fort Mojave Tribal Utilities Authority
• Fort Mojave Tribe / Avi Kwa Ame Farms
• Hesperia Recreation and Park District
• Inland Empire Resource Conservation District
• Inland Valley Development Agency
• Law Library of San Bernardino County
• Mammoth Community Water District
• Orange County Sanitation District
• Riverside County Law Library
• Riverside Highland Water Company
• San Bernardino County Special Districts
• San Gorgonio Pass Water Agency
• The Gage Canal Company
• Twentynine Palms Water District
• Wrightwood Community Services District

EDUCATION
BS Degree in Business Administration with emphasis in Accounting, University of La Verne Leaderology Academy, 2019
CalCPA Leadership Institute 2023-24

PROFESSIONAL ORGANIZATIONS
American Institute of Certified Public Accountants
California Society of Certified Public Accountants
- Inland Empire Chapter, President
- State Council Representative
National Society of Accountants for Cooperatives
- Farwest Chapter - Director
California Special Districts Association
- Fiscal Committee
- Audit Committee

COMMUNITY ORGANIZATIONS
Riverside Chamber of Commerce
- Downtown Council
- Military Affairs Council
- Economic Development Council
- Leadership Riverside Class of 2021
Optimist International
Risk Management Association
- Inland Empire Chapter, Director

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CITY OF SAN BERNARDINO | 5

PANIDA KONGPETCH, CPA
Senior Manager
Office: 951.241.7813 | [email protected]
Ms. Kongpetch joined EadiePayne as audit manager in 2023, bringing with her eight years of Big Four Firm experience.

She was promoted to senior audit manager in 2025. Ms. Kongpetch has served a highly diverse client base with a history of providing quality audit services for over 12 years. Her most recent auditing experience included leading a team of 8-10 staff members, delivering high quality professional audit and review services. She has extensive experience in compliance filings, financial statements and disclosures, and complex accounting issues.

Here at EadiePayne Ms. Kongpetch leads in the planning, organization and execution of attest engagements. Ms.

Kongpetch’s experience allows her to provide exceptional professional judgment, sound and decisive decisions, and strong project management and interpersonal skills. She will be responsible for assessing the design and operating effectiveness of internal controls environment, designing and executing analytical procedures over financial statements, and maintaining close communications with the clients.

Since joining EadiePayne, she has served as manager for the following clients:

EDUCATION
MS Degree in Accounting, Liberty University, Lynchburg, VA BS Degree in Accounting, Liberty University Lynchburg, VA CalCPA Leadership Institute 2024-2025

PROFESSIONAL ORGANIZATIONS
American Institute of Certified Public Accountants
California Society of Certified Public Accountants
California Society of Municipal Finance Officers

RECENT RELEVANT CPE
AICPA New Quality Management Standards: A Practical Approach to Risk Assessment and Response: 2025 AICPA New Quality Management Standards: Resources — Expectations for Firms and Engagement Partners: 2025 California Society of Municipal Finance Officers Annual Conference: 2025, 2024 CSMFO GASB Update - Recently Issued Pronouncements: 2025 CSMFO GFOA is Rethinking Financial Reporting: 2025
CSMFO Single Audit Update: 2025
AICPA COSO’s Internal Control Framework: 2024
AICPA COSO’s Internal Control Framework Essentials: 2024 AICPA Single Audit Fundamentals Part 1: What is a Single Audit? 2024 AICPA Single Audit Fundamentals Part 2 - Major Program Determination: 2024 AICPA Single Audit Fundamentals Part 3 - Compliance Requirements and Internal Control over Compliance: 2024 AICPA Single Audit Fundamentals Part 4 - Overview of Sampling and Single Audit Reporting Requirements: 2024 CCH Accounting Standards for CPAs: 2024
CCH GAAP, GAAS, SSARS Update: 2024
CCH Major Audit Issues: 2024
CCH What’s New with GASB 102: 2024
CSMFO Intermediate Governmental Accounting: 2024
EP Fraud Review: 2024
Leases & SBITA Accounting: 2024
Q4 2023 Quarterly Sustainability Webcast: 2024
• Antelope Valley East-Kern Water Agency
• Central California Almond Growers Association
• City of Compton
• City of Huntington Park
• City of Oxnard
• Community Action Partnership of San Bernardino County • Fort Mojave Tribe / Avi Kwa Ame Farms
• Mammoth Community Water District
• Mount San Jacinto Winter Park Authority
• Operation SafeHouse, Inc.
• Orange County Sanitation District
• Riverside County Regional Park and Open Space District • Santa Clarita Valley Water Agency
• Solano County Water Agency
• Twentynine Palms Water District
• Wrightwood Community Services District

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CITY OF SAN BERNARDINO | 6

VICTORIA SIMMONS, CPA
Senior Accountant
Office: 951.241.7807 | [email protected]
Ms. Simmons joined EadiePayne as an Audit Staff in 2023, bringing valuable experience from a major US accounting firm. She was promoted to Senior Accountant on September 1, 2024. Over the course of her tenure, Ms. Simmons has demonstrated her ability to serve a diverse client base, providing high-quality audit services. Her most recent work includes collaborating with her team to deliver comprehensive and professional audits for the City of Oxnard, a city with over $3 billion in total assets and over $500 million in total revenues in FY 2024.

At EadiePayne, Ms. Simmons has played an integral role in the planning, organization, and execution of multiple audits.

Her experience and tenure with the firm enable her to offer exceptional professional judgment, make sound and decisive decisions, and contribute to strong teamwork and client relationships. She is responsible for working closely with the team to develop and implement effective audit plans, design and execute analytical procedures over financial statements, and maintain clear and consistent communication with clients.

Since joining EadiePayne, Ms. Simmons has worked with the following clients:

EDUCATION
BS Degree in Accounting, University of Redlands, CA

PROFESSIONAL ORGANIZATIONS
American Institute of Certified Public Accountants
California Society of Certified Public Accountants
California Society of Municipal Finance Officers

RECENT RELEVANT CPE
AICPA Annual Required GAQC Webcast: 2025
CalCPA Governmental Accounting & Auditing Virtual Conference: 2025 AICPA COSO’s Internal Control Framework Essentials: 2024 AICPA Documenting Internal Controls: 2024
AICPA Obtaining an Understanding of Internal Control: 2024 AICPA Single Audit Fundamental Webcasts: 2024
CSMFO Intermediate Governmental Accounting: 2024
CSMFO Interpreting and Communicating the new CalPERS Actuarial Report: 2024 CSMFO Unlock the Magic of Generative AI and Automation in ACFR and Beyond: 2024 Thomas Reuters: Beginning In-charge Training: 2024
Wolters Kluwer: Financial Statement Analysis: 2024
Wolters Kluwer: Fraud Review: 2024
Wolters Kluwer: GAAP, GAAS, SSARS & Other Accounting Issues: 2024 Wolters Kluwer: GASB-87, Leases: An Overview of Lessees and Lessors: 2024 • ABC Recovery
• Angelview Care Homes, Inc.
• Avi Kwa’ Ame Farms
• Calcot
• City of Huntington Park
• City of Oxnard
• Community Action Partnership of San Bernardino
• Family Service Association
• Fontana Union Water Company
• Growing Inland Achievement
• Inland Empire Resource Conservation District
• Santa Clarita Valley Water Agency
• Skanska USA Civil West
• Solano Water Agency
• Treatment and Development
• Ultimate Internet Access, Inc
• Woodcrest Christian School System
• Wrightwood Community Services District

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CITY OF SAN BERNARDINO | 7

FISCAL STABILITY
3880 Lemon St., Ste. 300
Riverside, CA 92501
P.O. Box 1529
Riverside, CA 92502-1529
951-241-7800
www.eadiepaynellp.com
I certify that I am a partner of Eadie and Payne, LLP and that the enclosed financial statements as of and for the year ended December 31, 2023 of Eadie and Payne, LLP have been prepared in accordance with generally accepted accounting principles in the United States of America, and are, in my opinion, correct.

These financial statements have not been subjected to an audit or review or compilation engagement.
*The financial statements for year ended December 31, 2024 has not been finalized as of the date of this proposal.

Riverside, CA
June 20, 2025

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CITY OF SAN BERNARDINO | 8

FISCAL STABILITY (CONTINUED)
$ 765,220
649,665
280,415
1,695,300
968,343
587,051
381,292
21,074
402,366
$ 2,097,666
$ 66,746
66,746
2,030,920
Eadie and Payne, LLP
Balance Sheet
As of December 31, 2023
ASSETS
Cash, cash equivalents, and investments
Accounts receivable
Other current assets
Total Current Assets
Property and equipment
Less: accumulated depreciation
Deposits
Total Non-Current Assets
Total Assets

LIABILITIES AND EQUITY
Liabilities
Current liabilities
Total Liabilities
Equity
Total Liabilities and Equity $ 2,097,666

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FISCAL STABILITYFISCAL STABILITY
$ 3,852,636
118,714
3,733,922
1,373,310
576,128
299,224
56,427
107,487
155,421
206,594
2,774,591
Eadie and Payne, LLP
Income Statement
For the Year Ended December 31, 2023
Income
Cost of Goods Sold
Gross Profit

EXPENSES
Salaries and benefits
Administrative expenses
Computer expenses
Insurance
Practice development
Rent
Other expenses
Total Expenses
Net Income $ 959,331

FISCAL STABILITY (CONTINUED)

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FISCAL STABILITY (CONTINUED)

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EXPERIENCE AND TECHNICAL COMPETENCE
EadiePayne is a local full service firm providing Attest, Tax and Consulting services to a broad client base for
over 105 years. Our professional services team includes approximately 25 professionals of which are 17 full time government services personnel.

The Firm was founded in 1919 in San Bernardino. Since
then, EadiePayne has grown, expanding its reach to a
large portion of California. Our office is in Downtown Riverside.

We pride ourselves on the quality and consistency of
our team. Staff continuity is a priority for us—we are
committed to assigning professionals who not only
bring the necessary expertise but also remain with your engagement year after year. Key personnel such as the
engagement partner, manager, and supervisor will not
be removed or replaced without your prior concurrence,
ensuring familiarity and efficiency throughout the
relationship.

Our clients describe us as extremely customer-focused.

We tailor each engagement to our client’s unique
needs and maintain open, two-way communication to
ensure alignment with your goals. This client-centered
approach, combined with consistent staffing and ongoing professional development, supports long-term relationships built on trust, responsiveness, and results.

We have assisted some of the most financially challenged cities in the State of California. In City of Oxnard, we identified numerous findings in their processes in our first year audit, helping the City reverse the negative effects of bad practices. In addition, we assisted the City of Oxnard in obtaining their GFOA award for their CAFR after becoming disqualified. We assisted City of Compton issue its first set of financial statements after no financial statements were issued in four years. We are continuing to assist them comply with financial reporting requirements on a timely basis.

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Recent Client Testimonials:

City of Oxnard: “EadiePayne has consistently demonstrated exceptional professionalism and expertise in their role as the City of Oxnard external auditors. Their meticulous attention to detail ensures that every aspect of the audit process is conducted with accuracy and thoroughness. Their unwavering integrity fosters trusts and confidence, making them a reliable partner in financial oversight.

Their deep understanding of GASB pronouncements is invaluable, as they effectively interpret and apply complex accounting standards to ensure compliance and transparency. Additionally, their ability to provide clear and practical guidance on complex transactions has been instrumental in supporting sound financial decision-making.

We highly recommend EadiePayne for their commitment to excellence, technical expertise, and dedication to upholding the highest standards in governmental accounting and auditing.” City of Compton: “My experience with EadiePayne has been excellent. The staff are easy to work with and are knowledgeable. The staff are very detailed and thorough in their work. EadiePayne makes useful and practical recommendations for the improvement of internal controls as well as for fiscal sustainability purposes. It is very clear that the firm and their staff have useful and deep experience in governmental accounting and auditing and the firm would be an asset to any organization they work with.” City of Huntington Park: “Over the past 20 months, working with EadiePayne has been an outstanding experience. Their audit team showcased expertise, professionalism, and timeliness in supporting the City’s demanding audit schedule. EadiePayne was the only firm willing to tackle our project and we look forward to continuing with their services in the future.”

EXPERIENCE AND TECHNICAL COMPETENCE (CONTINUED)

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We have performed financial and compliance audits, agreed upon procedures and consulting services for municipalities and other governmental entities. Below is a sampling of our governmental engagements in recent years:
• Financial statement audits
• Single audits
• Grant specific audits
• Audits of sales tax revenues
• Testing of utility billing
• Payroll testing
• Review of cost allocation
• IT vulnerability assessments
• Risk assessment studies
• Special procedures related to checks, EFTs and ACHs
• Agreed upon procedures in relation to special sales tax measures • Special procedures in relation to former Redevelopment Agencies and Successor Agencies • Preparation of ACFR & basic financial statements
• Confirmation of property tax allocation
• Review of purchasing card process
• Pension and OPEB accounting and disclosure
• Reconciliation of fund balances
• COSO internal control studies
• Consulting on water revenues and rates
• Assistance with new GASB Implementation (GASB 54, 68, 75, 87, & 96) • Fixed asset inventory audits

EXPERIENCE AND TECHNICAL COMPETENCE (CONTINUED)

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Below is a listing of clients for which EadiePayne has performed financial and single audits for the past five years. We encourage you to reach out to our references for further insight into the quality of our services.

City of Oxnard
2015 – 2024
Beth Vo, Assistant CFO
(805) 385-7464 | [email protected]
300 W. Third St., Oxnard, CA 93030
Description of Services: Financial audits; single audits; Annual Comprehensive Financial Report preparation (GFOA award
recipient); assistance with GASB 68 & 75; assistance with corrective action plan; agreed-upon procedures for checks/warrants, EFTs and ACHs; agreed-upon procedures for Golf Course, grant audits; agreed- upon procedures for Measure O; filing of SCO streets and financial transactions report; and Gann Appropriations Limit report.

Project Size: 1,500 hours per year
City of Compton
2014 – Present
Sharon Rahban, Controller
(310) 801-4588 | [email protected]
205 S Willowbrook Ave., Compton, CA 90220
Description of Services: Financial audits; single audits; preparation of GAAP financial statements; assistance with implementation of GASB 68 & 75; assistance with corrective action plan; agreed- upon procedures for Federal Transit Administration requirement; involvement with bond disclosures and issuance; financial statements audit for Measure W; and agreed-upon procedures for FASS-PH, IT systems testing.

Project Size: 1,200 hours per year
City of Huntington Park
2019 – Present
Jeff Jones, Director of Finance
(323) 584-6201 | [email protected]
6550 Miles Ave., Huntington Park, California 90255
Description of Services: Financial audits; single audits; preparation of GAAP financial statements; assistance with implementation of GASB 68 & 75; assistance with corrective action plan; and NTD audit, IT systems testing.

Project Size: 1,200 hours per year
References

EXPERIENCE AND TECHNICAL COMPETENCE (CONTINUED)

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EadiePayne began in the City of San Bernardino over 100 years ago. We are excited to work with your Finance Department to produce a quality audit report, to assist you in receiving a Government Finance Officers Association (GFOA) award in 2026 and onward, and to provide training and assistance as needed to your Finance Staff.

Our in-depth knowledge of the City, coupled with a proven track record of providing services to numerous municipalities, positions us as a trusted partner uniquely equipped to navigate and contribute to the financial success of our local communities.

EadiePayne’s history of over 105 years occurred largely in the City of San Bernardino. The Firm’s office was originally located on the second floor of the Security Bank Building in San Bernardino on the corner of Third and E Streets, and for many years, the City was EadiePayne’s home until we consolidated our multiple offices to Redlands, and eventually moved to Riverside. Many of our clients, then and now, are located in the City. County of San Bernardino, Inland Valley Development Authority, Community Action Partnership of San Bernardino County, San Bernardino Valley Community College District, Inland Resource Center, and Law Library for San Bernardino County are just a few clients that we’ve worked with for many years. We continue to be an active member of the Inland Action, a non-profit, non-partisan corporation whose membership consists of corporations, businesses, and organizations whose leaders work for the economic well-being and betterment of the Inland Empire.

When the City was faced with the challenge of dissolving its former redevelopment agency, we assisted the City’s auditor in providing audit and other services to the successor agency. We obtained inside knowledge of the government’s working from this experience. That was over a decade ago and many things have happened since then – including the City closing out the bankruptcy case three years ago.

The City is now in a much better financial position and we believe we can assist the City to further improve its processes, particularly its year-end closing and financial reporting process.

We understand that the City is a Charter City with a population of over 200,000. The City is a full- service City providing services that include public safety, water and sewer, public works, and recreation.

However, the City contracts with a Fire District for fire protection.

Our understanding of the objectives you wish for us to accomplish are as follows:
• Provide you with outstanding customer service.
• Provide you with a quality audit in an efficient manner. • Provide you with an audit team that can provide training and assistance not only during the audit process but throughout the year.

The City’s fiscal year begins on July 1 and ends on June 30. We are aware that the City has components units which are reported within the City’s financial statements. No separate financial statements are issued by these component units. On the other hand, the Water and Sewer funds, while they are included in the City’s financial statements, issue separate financial statements and are audited by other auditors. The City prepares the Annual Comprehensive Financial Report.

The City will be migrating from Tyler Technologies – New World to Oracle Cloud with an expected go- live date of July 1, 2026.

We are aware that the City received the GFOA certificate of achievement for excellence in financial reporting in the past. We can assist you obtain this certificate during our audits.

Local experience and knowledge of City

EXPERIENCE AND TECHNICAL COMPETENCE (CONTINUED)

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City of Oxnard
EadiePayne LLP has served as the primary auditor for the City of Oxnard from 2015 to 2024, providing a range of essential auditing services. The firm has been responsible for Oxnard’s financial audits, single audits, and the preparation of the Annual Comprehensive Financial Report (which has been a recipient of the GFOA award). Additionally, EadiePayne has assisted with compliance for GASB 68 and 75, developed corrective action plans, and conducted agreed-upon procedures for checks, warrants, EFTs, and ACHs. The firm has also performed audits for the Golf Course and various grants, as well as for Measure O, and ensured the filing of the SCO streets and financial transactions report and the Gann Appropriations Limit report.

The EadiePayne team dedicated to this project included Eden Casareno, Partner; Panida Kongpetch, Senior Manager; and Victoria Simmons, Senior Auditor. Throughout the duration of the engagement, which spanned from 2015 to 2024, the firm maintained a strong, independent relationship with the City of Oxnard. The annual fee for FY 2024 was approximately $232,000.

For further details, please contact Beth Vo, Assistant CFO at the City of Oxnard, at (805) 385-7464 or via email at [email protected].

City of Compton
EadiePayne LLP has served as the independent auditor for the City of Compton since 2019 to the present. The firm is responsible for providing a comprehensive range of audit services, including financial audits, single audits, and the preparation of GAAP financial statements. In addition, EadiePayne assists the City with the implementation of GASB 68 and 75, the development of corrective action plans, and performing agreed-upon procedures for Federal Transit Administration requirements. The firm also plays a key role in bond disclosures and issuance, conducts financial statement audits for Measure W, and performs agreed-upon procedures for FASS-PH and IT systems testing.

The dedicated team for this project includes Eden Casareno, Partner; Panida Kongpetch, Senior Manager; and Ying Meng, Senior Auditor. EadiePayne maintains a strong independent relationship with the City of Compton, supporting them with expert auditing services. The annual fee for FY 2023 was $239,000.

For more information, please contact Sharon Rahban, Controller at the City of Compton, at (310) 801- 4588 or via email at [email protected].

Project Specific Experience

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City of Huntington Park
Since 2019, EadiePayne LLP has been serving the City of Huntington Park as an independent financial auditor and consultant, helping ensure audit readiness and reporting compliance. The firm provides comprehensive financial audits, single audits, and prepares GAAP financial statements. Additionally, EadiePayne supports the City with the implementation of GASB 68 and 75, corrective action plans, and conducts the NTD audit and IT systems testing.

EadiePayne’s team includes Eden Casareno, Partner; Panida Kongpetch, Senior Manager; and Aerich Balboa, Senior Auditor. The firm works collaboratively with the City to maintain compliance with state, federal, and transit-specific requirements. The annual fee for these services is $175,000.

For further inquiries, please contact Jeff Jones, Director of Finance at the City of Huntington Park, at (323) 584-6201 or via email at [email protected].

None of the following has occurred:
a. Failure to enter into a contract or professional services agreement once selected. b. Withdrawal of a proposal as a result of an error.
c. Termination or failure to complete a contract.
d. Debarment by any municipal, county, state, federal or local agency. e. Involvement in litigation, arbitration or mediation. Conviction of the firm or its principals for violating a state or federal antitrust law by bid or proposal rigging, collusion, or restrictive competition between bidders or proposers, or conviction of violating any other federal or state law related to bidding or professional services performance. Knowing concealment of any deficiency in the performance of a prior contract.
f. Falsification of information or submission of deceptive or fraudulent statements in connection with a contract.
g. Willful disregard for applicable rules, laws or regulations.

Information regarding any of the above may, at the sole discretion of the City, be deemed to indicate an unsatisfactory record of performance.

Project Specific Experience (Continued)

EXPERIENCE AND TECHNICAL COMPETENCE (CONTINUED)

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EXPERIENCE AND TECHNICAL COMPETENCE (CONTINUED)
EadiePayne has been using a paperless audit approach for many years. All members of the EadiePayne audit team are assigned personal computers that include the latest updates of professional accounting and auditing software, search engines, word processing, and spreadsheet software. We will utilize computer-assisted techniques, thereby increasing our efficiency and effectiveness, saving you time and money and increasing the reliability of the results of our work.

Prosystem fx Engagement puts the power of paperless engagements in our hands. It allows us to import the City’s trial balance in our own trial balance database, allowing us to link the financial statements and audit schedules to be prepared by us to the City’s trial balance. In addition, we can roll-up general ledger accounts into line items of your financial statements. We can also prepare reports, such as account grouping reports, journal entry reports, budget to actual comparison and year-to-year variance reports.

Teammate Analytics is packed with over 150 tools and features that we utilize to test complete sets of data rather than testing samples, identify anomalies and trends more easily, and conduct a comprehensive analysis of your general ledger system. This tool increases our efficiency and effectiveness, saving you time and money and increasing the reliability of the results of data analytics.

We also offer our clients web-based portals that provide a secure, convenient, and easy way to exchange and share files with us. We utilize an electronic Engagement Organizer, in which to place requested data files and other request audit support documents. Access is limited to the personnel assigned to the engagement so that the information that is sent to us remains confidential. It’s more than a PBC list because of features like real-time synchronization, automatic reminders and notifications.

Due to the size of our firm, we have the ability to draw upon multi-disciplinary staff to address the services requested in this RFP. EadiePayne can also provide other related services, including tax, client accounting, consulting, forensic and IT services.

Technical Competence

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PROPOSED METHOD TO ACCOMPLISH THE WORK
EadiePayne is experienced in meeting the needs and expectations of our clients. Our goal is to perform quality audits that provide reasonable assurance to the City’s leaders that the financial statements are fairly stated and that the City complies with certain federal, state and local requirements. Our approach is differentiated by the following:
p Smooth transition in initial year;
p Focus on internal control; and
p Open communication.

Initial Year Transition
Changing audit firms is a challenging undertaking. Our goal is to assist the City in the orderly transition from the prior auditors. With your permission, we will work directly with your prior auditors to obtain information about opening balances. If possible, we will review and obtain copies of prior year audit workpapers. Throughout the first year, we will be in constant communication with the City teams. Successful transitions happen because both auditors and clients are aware of ongoing issues, challenges and opportunities.

Various tests or walk-throughs will be performed to provide evidence regarding the design and operating effectiveness of your internal control. Depending on the success of these tests the first year, we will be able to rely on the results for subsequent years. The amount of time spent in this area will be reduced after the initial audit year. EadiePayne is committed to investing this additional amount of time spent the first year to ensure smooth audits for the following years.

Internal Control
We will evaluate the design and implementation of internal control over financial reporting and compliance based on the framework contained in the State Controller’s Office Internal Control Guidelines for Local Agencies (2015) and Committee of Sponsoring Organizations of the Treadway Commission (COSO) Internal Control - Integrated Framework (2013).
• Control environment - Is the environment favorable to internal control? • Risk assessment - Does the City have a risk assessment process at appropriate levels? • Control activities - Do control activities contribute to the mitigation of risks and include a mixture of control activity types that address authorization and approval, verification, physical control, reconciliations, supervisory controls, and segregation of duties? • Information and communication - Does the City provide, share, and obtain information continually, up, down, and across the organization?
Monitoring - How does the City perform ongoing evaluations to ascertain whether the components of internal control are present and functioning?
Our evaluation of internal control will include an assessment of information technology general controls Our evaluation of internal control will include an assessment of information technology general controls (ITGC).(ITGC).

In accordance with Government Auditing Standards, we will issue a report on internal control over financial reporting and on compliance and other matters based on our audit of the City’s financial statements. We will not express an opinion on the effectiveness of internal control. However, if we find significant deficiencies and material weaknesses of internal control and instances of non-compliance with provisions of laws, regulations, contracts and grant agreements that could have a direct and material effect in the financial statements, we will report those in this report. We will request the City to provide management responses to findings, if any.

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Communication
Effective communication between the City and its auditor is essential to the success of the audit process.

Throughout the engagement, we will maintain open, transparent, and timely communication to ensure clarity around audit objectives, scope, expectations, and progress. This begins with the kick-off meeting and will continue throughout the engagement through regular updates and status meetings to address any issues promptly, discuss preliminary findings, and ensure alignment with the City’s operational schedule. We are committed to fostering a collaborative environment where questions are addressed, documentation requests are clearly conveyed, and feedback is welcomed, ensuring the audit is both thorough and efficient.

Interim Fieldwork
Our audit begins with our understanding of the City and its environment, including its internal control, and assessing the risks of material misstatements. This process includes inquiries with management and others in your organization, preliminary analytical procedures, observation and inspection, and discussions among the audit team. Specifically, this process will involve:
• Reviewing important contracts, debt issues, leases, and grant agreements; • Reviewing organizational charts, manuals, and program documents; • Comparison & inquiry regarding fluctuations of revenues and expenditures by fund, budget vs. actual;
Kick-off Meeting May 2026
Planning & Risk Assessment May 2026
Interim Fieldwork June 2026
Detailed Audit Plan Finalized July 2026
Final Fieldwork October 2026
Exit Meeting November 2026
Draft Report Submission November 2026
Final Audit Reports Issued December 2026
Final Report Presentation at Audit Committee/City Council TBD Single Audit Kick-Off Meeting January 2027
Single Audit Fieldwork January 2027
Single Audit Draft Report Submission February 2027
Single Audit Final Report Issued March 2027
Submission of Reports to Federal Audit Clearinghouse March 2027 Our audits will include the following milestones in the first year:

The schedule will be discussed and co-developed with City staff prior to finalization.

Proposed Schedule for the Audits

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• Reviewing prior-year audit files, findings, and recommendations; and • Reviewing policies and procedures over significant business processes such as banking and investment, purchasing, and grant management.

Depending on the complexity of the internal controls and the extent to which we intend to rely on them, various tests or walk-throughs will be performed to provide evidence regarding the design and operating effectiveness of your internal control.

Final Audit Fieldwork
EadiePayne will review and analyze account balances and transactions and certain general ledger accounts, including asset, liability, deferred inflow and outflow, revenue, and expenditure accounts. We will also review the accounting principles followed and the consistency of their application in preparing the financial statements. Our audit will also include evaluating the reasonableness of accounting estimates and the completeness and accuracy of financial statement disclosures.

Our audit procedures may include, among others:
p Confirmations of cash and investment balances;
p Testing of bank reconciliations;
p Examination of subsequent receipts of receivable balances; p Search for unrecorded liabilities;
p Review of attorney letters;
p Use of client-prepared schedules and analysis;
p Examination of supporting documents; and
p Analytical procedures.

Report Preparation and Presentation
The following reports will be issued after the completion of the audits:
p A report on the fair presentation of the basic financial statements in conformity with generally accepted accounting principles for the City
p A report on the internal control over financial reporting and on compliance based on the audit of the financial statements performed in accordance with Government Auditing Standards p A separate management letter that includes recommendations for improvements in internal control, accounting procedures and other significant observations p The auditor’s communication with those charged with governance regarding significant findings or issues from the audit
We will also communicate with the audit committee verbally or in writing. We will send the following letters: an engagement letter at the beginning of the audit and a governance letter at the end of the audit. All audit reports are addressed to the City Council. In addition, we will schedule a meeting with members of the audit committee at the beginning of the audit as well as present the audit report at the end of the audit. We will make ourselves available to present to the City Council. We understand that all communications to the audit committee and City Council are available to the public. We do not respond to other inquiries from the public.

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Sample Sizes
Sampling is one of many audit procedures we use to provide sufficient appropriate audit evidence to support our auditor’s opinion. The purpose and nature of sampling is to gather sufficient appropriate audit evidence without testing every transaction. We can test a selection of transactions and draw conclusions about the broader population provided the sample selected is a representative of the relevant population. We utilize random selection, systematic selection, and haphazard selection to achieve a representative sample.

In a standard audit, sample sizes will generally range from 25-60 items depending on the nature of transactions and purpose of the test. We may also use dual- or multi-purpose samples if the situation permits.

In all cases, Teammate Analytics (data analytics tool) will be used to obtain a representative sample of the total population of the items to be tested. In addition, Teammate Analytics will also enable us to analyze 100% of the population which will provide more reliable results and more relevant insight.

Use of Computer Software
EadiePayne has been using a paperless audit approach for many years. All members of the EadiePayne audit team are assigned personal computers that include the latest updates of professional accounting and auditing software, search engines, word processing, and spreadsheet software. We will utilize computer-assisted auditing techniques, thereby increasing our audit efficiency and effectiveness, saving you time and money and increasing the reliability of the results of audit tests.

Prosystem fx Engagement puts the power of paperless engagements in our hands. It allows access to audit files, audit documents, audit workpapers, and client prepared schedules. It improves audit preparation and execution with an automated process, which consequently allows for a increased efficiency, and therefore, resulting in less hours needed to complete the City’s audit while maintaining quality and ensuring all risks identified are properly addressed during the process.

Analytical Procedures
We will use analytical procedures during the planning, performance, and review phases of our audit. We will analyze current and prior-year amounts to ensure changes from year to year are reasonable and proper. Variances will be followed up until we are satisfied that the current-year financial statements are fairly presented. We may also use specific ratio analyses and trend analyses of these ratios as well as budget to actual comparisons.

We will use the many analytic tools available with Teammate Analytics to achieve success in this area. For example, with payroll testing, we are able to use the entire data set to derive employees with excessive overtime and time off. In testing manual journal entries posted we are able to use the entire population based on accounting software report to easily spot outlying entries for further inspection.

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Determining Laws and Regulations that will be Subject to Audit Test Work As part of the risk assessment process, EadiePayne will obtain an understanding of laws, regulations, and provisions of contracts and grant agreements that have a direct and material effect on the determination of financial statement amounts, design tests of compliance with those laws, regulations, and provisions of contracts and grant agreements, and evaluate the results of those tests. Because governments are subject to many laws, regulations, and provisions of contracts or grant agreements, we will identify those that directly relate to specific aspects of the government within the context of our audit objectives.

This process will involve discussions with management, legal counsel, or grant administrators about your compliance requirements and reviewing relevant laws, regulations, contracts, and agreements. In addition, we will review minutes of the City Council and Committee meetings, and staff reports.

Single Audit
A single audit will be performed in accordance with the Single Audit Act and the Uniform Guidance. In the single audit, our goal is to determine whether the City has complied with federal statutes, regulations, and the terms and conditions of federal awards that may have a direct and material effect on each of its major programs. The compliance audit includes gaining an understanding of and testing internal control over compliance for major program. We will use a risk-based approach to determine which federal programs are major programs. Our determination of the programs to audit is based on an overall evaluation of the risks of noncompliance occurring that could be material to the individual federal programs.

For the Single Audit, we will issue the following reports:
p An “in-relation-to” report on the schedule of expenditures of federal awards. p A report on compliance for each major program and on internal control over compliance required by the Uniform Guidance.

The Single Audit will be performed between January and March 2027 with the goal of submitting the single audit package to the Federal Audit Clearinghouse by end of March (9 months after the end of fiscal year).

Additional Services/Reports
The City also seeks additional services from auditors, including:
p Appropriation Limit Calculation Review
p Measure S Agreed-Upon Procedures
EadiePayne will perform these services concurrent with the financial statement audit. In addition, the City requests optional services as follows:
p Preparation of the Cities Financial Transaction Report for the City (due seven months after fiscal year end)
p Preparation of the Annual Streets Report (due December 1st of each year) p Preparation of the Annual Transactions Report for the Public Financing Authority (due seven months after fiscal year end)
EadiePayne will perform these services before the due dates stated above.

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Group Audit
If selected to perform the audits of the City, EadiePayne will serve as the group auditor. Special considerations apply when other auditors perform work on the financial information of component units.

This includes developing an overall group audit strategy, understanding not only the group, but also its component units, and their environment, understanding the component auditor, and determining whether to make reference to the component auditor’s work in the auditor’s report for the group financial statements.

City Staff Requirements
Our audit plan is based on the assumption that the accounting records will be in good order. We expect all elements of the financial statements and schedules to be ready before we start final fieldwork. The general ledger and subsidiary ledgers for receivables and payables should be in balance and cash accounts should be reconciled. Capital assets and the related depreciation expense should be properly recorded. Revenue and expenses/expenditures should be properly accounted for on the full accrual or modified accrual basis as appropriate.

We expect City staff to collaborate with auditors to provide appropriate sufficient evidence to support the City’s financial statements. We will ask City staff to attend meetings, participate in interviews and walkthroughs, answer auditor inquiries, and provide supporting documentation. City staff will also be expected to authorize EadiePayne to obtain information from prior auditors, banks and other financial institutions, attorneys, and other third-parties. We will appreciate your assistance in following-up third- party responses, if necessary.

Furthermore, there should be knowledgeable personnel available to assist us in retrieving documents, answer questions concerning the records, and prepare, under our direction, lists and schedules of certain accounts. We should have reasonable access to the personnel and items that we believe are needed to complete our work.

Finally, management has to designate an individual (preferably within senior management) who possesses suitable skill, knowledge, and/or experience to oversee non-attest services we may have to provide, i.e. ACFR preparation. The City also has to agree to make all management decisions and assume all management responsibilities.

We offer our clients web-based portals that provide a secure, convenient, and easy way to exchange and share files with us. We utilize an electronic Engagement Organizer, in which to place requested data files and other request audit support documents. Access is limited to the personnel assigned to the audit so that the information that is sent to us remains confidential. The Engagement Organizer is more than a PBC list because of features like real-time synchronization, automatic reminders and notifications.

If possible we will request for our staff to have access to your accounting system. This will enable us to drill down on details of transactions without having to go through City staff, saving you and us time.

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New Accounting Pronouncements
With the list of new GASB pronouncements continuing to grow, EadiePayne prides itself in being a resource for its clients in the understanding and implementation of these new standards. EadiePayne understands that the implementation of these pronouncements can be quite an undertaking and is committed to assisting the City through it every step of the way. This will be included in the additional 20 hours of complimentary staff training and technical assistance throughout the year.

The following GASB statements are effective for FY 2026.

Statement No. 103, Financial Reporting Model Improvements This statement improves key components of the financial reporting model to enhance the effectiveness in providing information that is essential for decision making and assessing a government’s account - ability; including improvements to the management’s discussion and analysis (MD&A), required sup - plementary information (RSI), propriety fund statements, unusual/infrequent items, major component unit information and budgetary comparison information.

Statement No. 104, Disclosure of Certain Capital Assets This statement establishes requirements for certain types of capital assets to be disclosed separately in the capital assets note disclosures.

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FEE PROPOSAL

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Mayor and City CouncilMarch 4, 2026

Mayor and City Council
March 4, 2026