CITY OF SAN CARLOS
City Council/Successor Agency to the
Redevelopment Agency/Housing Authority
Regular Meeting
August 24, 2026 7:00 PM
Council Chambers, City Hall
600 Elm Street, San Carlos, CA 94070
www.cityofsancarlos.org
AGENDA
This meeting will be conducted both in-person at City Hall and virtually via Zoom. Members of the public will have the option to observe the meeting and address the City Council as outlined below.
In-Person Participation:
•
Location.
City Hall – 600 Elm Street, Council Chambers.
•
Provide Public Comment.
T o address the City Council, fill out a Request to Speak Form located in the back of the Council Chambers and submit it to the City Clerk; or, you may raise your hand when the Mayor calls for public comments.
Remote Participation
:
•
Observe via:
-
Zoom.
https://us02web.zoom.us/j/88256140939; or call 1-669-900-9128 and enter the Meeting ID #: 882 5614 0939
-
Meeting Webportal
. www.cityofsancarlos.org/agenda
-
Local TV.
Comcast Channel 27 and AT&T Uverse Channel 99
•
Provide Public Comment.
If you plan to make a public comment, please observe the meeting via Zoom (see above access information), and during the public comment period for the agenda item you wish to address, use the “raise hand” feature. If joining Zoom by phone, press *9 to “raise hand”.
Councilmembers may participate in this meeting remotely pursuant to Government Code 54953.8.
1 MAYOR:
Pranita Venkatesh
COUNCIL:
John Dugan, Neil Layton, Sara McDowell, Adam Rak
1. CALL TO ORDER
2. TELECONFERENCE ANNOUNCEMENTS BY COUNCIL
3. PLEDGE OF ALLEGIANCE
4. CHANGES TO THE ORDER OF THE AGENDA
5. REPORT FROM CLOSED SESSION
6. PRESENTATIONS
a.
Present
Proclamations
Recognizing
Members
of
the
Tierra
Linda
Speech
and
Debate
T eam
for
Their
Achievements
in
the
Bay
Area,
State
and
National
Debate
Competitions.
7. COUNCIL COMMUNICATIONS AND ANNOUNCEMENTS
Council
Communications
and
Announcements
are
brief
items
from
members
of
the
City
Council
regarding
upcoming
events
in
the
community
and
correspondence
that
they
have
received.
They
are
informational
in
nature
and
no
action
will
be
taken
on
these
items
at
this
meeting.
8. PUBLIC COMMENT
Persons
wishing
to
address
the
City
Council
on
matters
NOT
on
the
posted
agenda
may
do
so.
Each
speaker
is
limited
to
two
minutes;
however,
speaking
time
may
be
reduced
at
the
Mayor’s
discretion
based
on
the
number
of
speakers.
General
Public
Comment
may
also
be
limited
to
a
total
of
30 minutes,
with
any
remaining
public
comment
heard
at
the
end of the agenda, if time permits.
If
the
item
you
are
speaking
on
is
not
listed
on
the
agenda,
please
be
advised
that
the
City
Council
may
briefly
respond
to
statements
made
or
questions
posed
as
allowed
under
the
Brown
Act
(Government
Code
Section
54954.2).
The
City
Council's
general
policy
is
to
refer
items
to
staff
for
attention,
or
have
a
matter
placed
on
a
future
City
Council
agenda
for
a
more
comprehensive
action
or
report
and
formal
public
discussion
and
input
at
that
time.
2 9.
CONSENT CALENDAR
a.
Motion to Waive Reading of All Ordinances.
b.
Approve the City Council June 22, 2026 Special and Regular Meeting Minutes. c.
Accept
the
Fiscal
Year
(FY)
2025-26
Fourth
Quarter
Investment
Report
for
the
Period Ending June 30, 2026.
d.
Adopt
a
Resolution
Extending
the
T emporary
Downtown
Parklet
Program
and
the
Corresponding Encroachment Permits to September 15, 2027. e.
Adopt
a
Resolution
Authorizing
the
Amendment
to
the
Agreement
with
Tyler
T echnologies,
Inc
to
Purchase
the
Cloud
Hosted
Capital
Asset
and
Content
Manager
Modules
in
the
Amount
of
$27,769
and
Authorize
the
Annual
Renewal
of
the Subscription Services Until the System Needs to be Replaced. f.
Appoint
Mayor
Venkatesh
as
the
Voting
Delegate
and
City
Manager
Kleinbaum
as
the
Alternate
to
Represent
the
City
of
San
Carlos
at
the
League
of
California
Cities’
2026 Cal Cities Annual General Assembly.
g.
Adopt
a
Resolution
Appropriating
an
Additional
$390,000
from
the
General
Fund
(Fund
25)
to
the
Corporation
Yard
Roof
Replacement
and
Solar
Panel
Upgrade
Project
(C2410);
Authorizing
the
Execution
of
an
Agreement
with
McMillan
Electric
in
the
Amount
of
$375,000;
and
Authorizing
the
Expenditure
of
a
10%
Contingency
in
the
Amount
of
$37,500
for
a
T otal
Not-to-Exceed
Contract
Amount
of
$412,500
to Design and Install Rooftop Photovoltaic Solar Systems at the Corporation Yard. h.
Deny Claim of Victor Herrero.
i.
Adopt
a
Resolution
Authorizing
an
Amendment
to
the
Professional
Services
Agreement
with
West
Coast
Code
Consultants,
Inc.
for
an
Amount
Not
to
Exceed
$200,000 for Fire Inspection Services for Fiscal Year 2026-27. j.
Adopt
a
Resolution
Approving
the
Use
of
the
Library
Excess
Funds
in
Fiscal
Year
2026-27
in
Accordance
with
the
Library
Joint
Powers
Authority
Agreement
in
the
Amount
of
$1,169,809,
and
Appropriating
Funding
in
the
General
Capital
Fund
(Fund
0025)
in
the
Amount
of
$340,000
for
New
Capital
Projects
for
Library
Sewer
Pump
Station
Rehabilitation
($150,000),
Library
Storm
Pump
Station
Rehabilitation
($150,000) and Library Automatic Fire Sprinkler System Rehabilitation ($40,000). k.
Adopt
a
Resolution
Accepting
the
Library
Building
Painting
Project
(C2519)
and
Authorizing the Public Works Director to Issue and Record a Notice of Completion.
3 10.
PUBLIC HEARING
a.
Consideration
of
Adopting
a
Resolution
Authorizing
Adjustments
to
the
Cost-of-
Services Schedule for Field Use Fees for Fiscal Year 2026-27.
11. STUDY SESSION
a.
Receive
a
Report
and
Provide
Direction
on
the
Potential
Regulation
of
Electric
Bicycles and Other Electric Conveyance Devices in the City of San Carlos.
12. NEW BUSINESS
a.
Consideration
of
Adopting
a
Resolution
Adopting
a
Memorandum
of
Understanding
Between
the
City
of
San
Carlos
and
the
American
Local
856,
Freight
Checkers,
Clerical
Employees
and
Helpers
Union,
International
Brotherhood
of
T eamsters
("T eamsters")
Unit
for
the
Period
of
September
1,
2026
through June 30, 2028.
13. AGENDA SETTING
Items
discussed
in
this
Agenda
Setting
Section
will
be
considered
by
the
Council
for
placing on a future agenda. No action will be taken on these items at this meeting.
14. ADJOURNMENT
Any
writings
or
documents
provided
to
a
majority
of
the
City
Council
regarding
any
item
on
this
agenda
will be made available for public inspection upon request.
In
compliance
with
the
Americans
with
Disabilities
Act
and
Title
VI,
and
as
outlined
in
the
City’s
Reasonable
Accommodations
Policy,
if
you
need
special
assistance
or
translation
services
to
participate
in
this
meeting,
please
contact
the
City
Clerk’s
Office
at
(650)
802-4222
or
via
Notification
in
advance
of
the
meeting
will
enable
the
City
to
make
reasonable arrangements to ensure accessibility to this meeting.
4 San Carlos City Council/Successor Agency to the
Redevelopment Agency/Housing Authority Special Meeting
Collaboration Room, City Hall
600 Elm Street, San Carlos, CA 94070
June 22, 2026 6:15 PM
MINUTES
ROLL CALL
City Council Present:
City Council Absent:
Pranita Venkatesh, Mayor
John Dugan, Councilmember (arrived 6:17 p.m.)
Neil Layton, Councilmember
Sara McDowell, Councilmember
Adam Rak, Vice Mayor
Staff Present: Kathy Kleinbaum, City Manager
Rebecca Mendenhall, Administrative Services Director
Crystal Mui, City Clerk
Angie Rodriguez, Human Resources Manager
Gregory Rubens, City Attorney
1. CALL TO ORDER
Mayor Venkatesh called the meeting to order at 6:15 p.m.
2. PUBLIC COMMENT
None.
3. CLOSED SESSION
a. Conference with Labor Negotiators Cue, Kleinbaum, Mendenhall, Rodriguez and Rubens (Closed Session Pursuant to Government Code Section 54957.6) Local 829 American Federation of State, County and Municipal Employees (“AFSCME”) Unit and the Local 856, Freight Checkers, Clerical Employees and Helpers Union, International Brotherhood of Teamsters ("Teamsters") Unit and the Management and Confidential Units.
b. Conference with Legal Counsel - Existing Litigation (Closed Session Held Pursuant to Government Code Section 54956.9(A)); County of San Mateo vs. State of California et al., San Francisco Superior Court Case No. CPF25519270.
c. Conference with Legal Counsel - Anticipated Litigation (Closed Session Pursuant to Govt.
Code Section 54956.9(D)(2) and (4)) - 2 Cases
4. REPORT FROM CLOSED SESSION
None.
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5. ADJOURNMENT
Meeting adjourned at 6:50 p.m.
Crystal Mui
City Clerk
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San Carlos City Council/Successor Agency to the
Redevelopment Agency/Housing Authority Regular Meeting
Council Chambers, City Hall
600 Elm Street, San Carlos, CA 94070
June 22, 2026 7:00 PM
MINUTES
ROLL CALL
City Council Present:
City Council Absent:
Pranita Venkatesh, Mayor
John Dugan, Councilmember
Neil Layton, Councilmember
Sara McDowell, Councilmember
Adam Rak, Vice Mayor
Staff Present: Nil Blackburn, Assistant City Manager
Shon Buford, Deputy Fire Chief
Rendell Bustos, Senior Planner
Baraka Carter, Fire Chief
Rucha Dande, Principal Planner
Paula Decano, Senior Accountant
Sajuti Haque, Economic Development and Housing Manager
Paul Harris, Financial Services Manager
Kathy Kleinbaum, City Manager
Marco Lao, Senior Accountant
Steven Machida, Public Works Director
Rebecca Mendenhall, Administrative Services Director
Tyler Muela, Recreation Supervisor
Crystal Mui, City Clerk
Amy Newby, Parks and Recreation Director
Lisa Porras, Planning Manager
Laura Richstone, Senior Planner
Angie Rodriguez, Human Resources Manager
Gregory Rubens, City Attorney
Al Savay, Community Development Director
Tracy Scramaglia, Assistant Public Works Director
Kristie Woo, Associate Planner
1. CALL TO ORDER
Mayor Venkatesh called the meeting to order at 7:00 p.m.
2. TELECONFERENCE ANNOUNCEMENTS BY COUNCIL
None.
3. PLEDGE OF ALLEGIANCE
Mayor Venkatesh led the Pledge of Allegiance.
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Packet Pg. 7
4. CHANGES TO THE ORDER OF THE AGENDA
None.
5. REPORT FROM CLOSED SESSION
None.
6. PRESENTATIONS
a. Present a Proclamation Recognizing July 2026 as Parks and Recreation Month.
Mayor Venkatesh presented a proclamation to Amy Newby, Parks and Recreation Director, recognizing Parks and Recreation Month.
Ms. Newby thanked Council for the recognition, highlighted the prestigious awards her department received this past year, and expressed her appreciation to the Public Works team for maintaining the City’s parks.
b. Present a Proclamation Recognizing June 21 – 27, 2026 as National Mosquito Control Awareness Week and Receive a Presentation from San Mateo County Mosquito and Vector Control District on the Services They Provide to the Community.
Ron Collins, San Mateo County Mosquito and Vector Control Board Member, thanked Council for his appointment to the Board and introduced San Mateo County Mosquito and Vector Control District Operations Director, Casey Stevenson. Mr. Stevenson provided an overview of the District’s services and responded to Council questions.
Public Comment
Sandra Schatz, resident, inquired about the environmental impact of pesticides used in storm drains.
Mr. Stevenson responded to Ms. Schatz’s questions.
Mayor Venkatesh presented a proclamation to Mr. Stevenson and Mr. Collins recognizing Mosquito Control Awareness Week.
7. COUNCIL COMMUNICATIONS AND ANNOUNCEMENTS
Council Member McDowell highlighted Cal Water’s notice regarding upcoming water rate increases and directed residents to the City’s water conservation resources. She thanked staff and members of the public for their engagement in Cal Water’s rate-setting process.
Council Member Dugan reported on the Association of Bay Area Governments (ABAG) General Assembly meeting and provided an overview of anticipated changes for Regional Housing Needs Allocation (RHNA) Cycle 7.
Mayor Venkatesh thanked Parks and Recreation staff for the successful and well-attended World Cup watch party.
8. PUBLIC COMMENT
- John Hoffmann, resident, thanked Council for their investments in road repairs and suggested that the proposed sales tax be accompanied by a list outlining the City’s internal cost-saving efforts.
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- Jake Wolfe, a resident, expressed concern for the removal of an oak tree in his neighborhood.
- Ken Castle, a resident, suggested updating the city's website to list department heads by name and echoed Mr. Wolfe’s concerns about the removal of the oak tree.
- John Durkin, a resident, expressed concerns about the removal of the valley oak tree at 2108 Howard Ave.
9. CONSENT CALENDAR
MOTION: Adopt City Council Consent Calendar Items ‘a’ through “m” and Item ‘n’ – Ordinance No. 1636 amending the San Carlos Zoning Map and Municipal Code Title 18 – Zoning, Repealing Chapter 18.14A, removing references to Chapter 18.14A within Chapter 18.07 and Chapter 18.30, adding Chapter
18.14.2 to codify the Northeast Area Specific Plan, and amending Chapter 18.19; and Ordinance No. 1637 adopting the Northeast Area Specific Plan.
MOVER: Dugan
SECONDER: McDowell
AYES: Dugan, Layton, McDowell, Venkatesh
NAYS: None
ABSENT: Rak
RESULT: Motion Passed 4 – 0 – 1
a. Motion to Waive Reading of All Ordinances.
b. Approve the City Council May 11, 2026 Regular Meeting Minutes.
c. Approve the City Council May 26, 2026 Special Meeting Minutes.
d. Accept a Report on City Compliance with Senate Bill 707.
e. Adopt a Resolution Approving and Authorizing the Execution of an Amendment to the Existing Cooperation Agreement with the County of San Mateo for Participation in the County’s Housing and Community Development Programs for Non-Entitlement Cities as Required by the U.S.
Department of Housing and Urban Development. Resolution 2026-076
f. Adopt a Resolution Approving a Consulting Services Agreement with Housing Endowment and Regional Trust of San Mateo (HEART) to Support the City’s Housing Programs. Resolution 2026- 077
g. Adopt a Resolution Authorizing the Execution of a Short-Term, Month-to-Month Lease Agreement with HIP Housing for Temporary Use of City-Owned Office Space at the San Carlos Library to Support Leasing Activities for the Cherry Street Commons Project at No Charge. Resolution 2026- 078
h. Adopt a Resolution Awarding the Library Elevator Upgrade Project (C2518); Approving the Use of the Library Excess Trust Fund in the Amount of $350,000; Authorizing the Execution of an Agreement with W.E. Lyons Construction Co. in the Amount of $458,500; and Authorizing the Expenditure of a Contingency in the Amount of $68,775 for a Total Not-to-Exceed Contract Amount of $527,275. Resolution 2026-079
i. Adopt a Resolution Accepting the 2025 Pavement Maintenance Project (C9416) and Authorizing the Public Works Director to Issue and Record a Notice of Completion. Resolution 2026-080
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Packet Pg. 9
j. Adopt a Resolution Approving the Plans and Specifications for the 2026 Sewer Rehabilitation Project (C9617) and Authorizing a Call for Bids. Resolution 2026-081
k. Adopt a Resolution Accepting the San Carlos Avenue Pedestrian Safety Improvement Project - Phase III (C1806) and Authorizing the Public Works Director to Issue and Record a Notice of Completion. Resolution 2026-082
l. Adopt a Resolution Approving the Submittal of Annual Property Assessments to San Mateo County for the National Pollutant Discharge Elimination System Stormwater Fees; Pulgas Creek Levee Assessment Fees; and Sewer Service Charges for Fiscal Year 2026-2027. Resolution 2026-083
m. Adopt a Resolution Authorizing the Execution of an Agreement with MGT Impact Solutions, LLC for Network Infrastructure Equipment and Services for the Network Infrastructure Modernization Project in an Amount Not to Exceed $220,000. Resolution 2026-084
n. Adopt Ordinance 1636 Amending the San Carlos Zoning Map and Municipal Code Title 18 – Zoning, Repealing Chapter 18.14A, Removing References to Chapter 18.14A within Chapter 18.07 and Chapter 18.30, Adding Chapter 18.14.2 to Codify the Northeast Area Specific Plan, and Amending Chapter 18.19; and Adopt Ordinance 1637 Adopting the Northeast Area Specific Plan.
10. REPORTS TO COUNCIL
a. Receive an Annual Report on Fire and Emergency Services.
Deputy Fire Chief Shon Buford presented the annual fire and emergency services report and responded to Council questions.
11. NEW BUSINESS
a. Consideration of Adopting a Resolution Approving the Proposed Mid-Cycle Fiscal Year 2026-27 General Fund Appropriation Budget and the Transfer of $5,000,000 from the Facilities and Infrastructure Reserve to the General Capital Fund.
Administrative Services Director Rebecca Mendenhall presented the proposed amendments to the General Fund Budget and, along with Assistant Public Works Director Tracy Scramaglia, responded to Council questions.
The City Council provided the following direction:
- evaluate the benefits of maintenance staff versus contracted services - conduct salary and staffing surveys to better understand staffing needs and ensure competitive and appropriate staffing levels
- if feasible, add another watch party on July 1
MOTION: Adopt Resolution 2026-085 approving the proposed Mid-Cycle Fiscal Year 2026-27 General Fund Appropriation Budget and the transfer of $5,000,000 from the facilities and infrastructure reserve to the General Capital Fund.
MOVER: McDowell
SECONDER: Dugan
AYES: Dugan, Layton, McDowell, Venkatesh
NAYS: None
ABSENT: Rak
RESULT: Motion Passed 4 – 0 – 1
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b. Consideration of Adopting a Resolution Approving the Proposed Fiscal Year (FY) 2025-26 and 2026-27 Capital Fund Mid-Cycle Budget Adjustments.
Financial Services Manager Paul Harris presented the proposed mid-cycle adjustments to the Capital Fund and, along with Parks and Recreation Director Amy Newby and City Manager Kathy Kleinbaum, responded to Council questions.
Council requested that the title to the Adult Community Center Kitchen Project (C2515) be updated to remove the word “Design” to clarify that the project is for kitchen remodel work.
Public Comment
Bob Schatz, a resident, questioned whether the downtown update should be delayed until the City has more reserves.
Mr. Harris addressed the public comment.
MOTION: Adopt Resolution 2026-086 approving the proposed FY 2025-26 and 2026-27 Capital Fund Mid-Cycle Budget adjustments.
MOVER: Dugan
SECONDER: McDowell
AYES: McDowell, Dugan, Layton, Venkatesh
NAYS: None
ABSENT: Rak
RESULT: Motion Passed 4 – 0 – 1
c. Consideration of Adopting a Resolution Electing the Population and Price Adjustment Factors and Establishing the Fiscal Year (FY) 2026-27 Appropriations Limit of the City of San Carlos, Pursuant to California Constitution Article XIIIB and Section 7900 Et Seq. of the California Government Code.
Administrative Services Director Rebecca Mendenhall presented on the City’s Appropriations (Gann) Limit.
MOTION: Adopt Resolution 2026-087 electing the population and price adjustment factors and establishing the FY 2026-27 Appropriations Limit of the City of San Carlos, pursuant to California Constitution Article XIIIB and Section 7900 Et Seq. of the California Government Code.
MOVER: Layton
SECONDER: McDowell
AYES: Layton, McDowell, Dugan, Venkatesh
NAYS: None
ABSENT: Rak
RESULT: Motion Passed 4 – 0 – 1
Council recessed at 8:40 p.m. and reconvened the meeting at 9:00 p.m.
d. Consideration of Adopting a Resolution Ordering the Submission to the Qualified Electors of the City of San Carlos a Measure Relating to a Local Transaction and Use Tax at the General Municipal Election to be Held on Tuesday, November 3, 2026, as Called by Resolution 2026-062.
Administrative Services Director Rebecca Mendenhall presented the city’s budget outlook and along with Consultant Jeremy Hauser, responded to Council questions.
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Packet Pg. 11
Dr. Timothy McLarney of True North Research presented the results of the sales tax tracking survey and responded to Council questions.
City Attorney Greg Rubens presented on the process of adding a potential half-cent general sales tax measure on the ballot.
Public Comment
- Sandra Schatz, a resident, spoke in opposition of the proposed measure. -
- Bob Schatz, a resident, spoke in opposition of the proposed measure.
- Jay Strauss, a resident, spoke in support of the proposed measure.
- Ron Collins, a resident and former Mayor, spoke in support of the proposed measure.
- Craig Weezner, business owner in San Carlos, spoke in support of the proposed measure.
- Karen Molinari, a resident, spoke in support of the proposed measure.
- John Durkin, a resident, spoke in opposition of the proposed measure.
Ms. Mendenhall responded to Council’s follow-up questions.
MOTION: Adopt Resolution 2026-088 ordering the submission to the qualified electors of the City of San Carlos a measure relating to a local transaction and use tax at the General Municipal Election to be held on Tuesday, November 3, 2026, as called by Resolution 2026-062 and the City Council has decided not to have the Council or members of the Council submit a ballot argument on behalf of the Council in support of the Ordinance and to permit rebuttal arguments.
MOVER: McDowell
SECONDER: Layton
AYES: Dugan, Layton, McDowell, Venkatesh
NAYS: None
ABSENT: Rak
RESULT: Motion Passed 4 – 0 – 1
e. Consideration of Adopting a Resolution Adopting a Memorandum of Understanding Between the City of San Carlos and the Local 829 American Federation of State, County and Municipal Employees (AFSCME) for the Period of July 1, 2026 through June 30, 2028.
Administrative Services Director Rebecca presented this item in conjunction with Items 11f and 11g, outlining the proposed changes to AFSCME’s Memorandum of Understanding.
MOTION: Adopt Resolution 2026-089 adopting a Memorandum of Understanding between the City of San Carlos and the Local 829 American Federation of State, County and Municipal Employees (AFSCME) for the period of July 1, 2026 through June 30, 2028.
MOVER: Dugan
SECONDER: McDowell
AYES: Dugan, Layton, McDowell, Venkatesh
NAYS: None
ABSENT: Rak
RESULT: Motion Passed 4 – 0 – 1
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f. Consideration of Adopting a Resolution Adopting the Amended Salary and Benefit Resolution for the Management Group for the Period July 1, 2026 through June 30, 2028.
Administrative Services Director Rebecca presented this item in conjunction with Items 11e and 11g, outlining the proposed changes to the Management Group’s Salary and Benefit Resolution.
MOTION: Adopt Resolution 2026-090 adopting the amended Salary and Benefit Resolution for the Management Group for the period July 1, 2026 through June 30, 2028.
MOVER: McDowell
SECONDER: Layton
AYES: McDowell, Dugan, Layton, Venkatesh
NAYS: None
ABSENT: Rak
RESULT: Motion Passed 4 – 0 – 1
g. Consideration of Adopting a Resolution Adopting the Amended Salary and Benefit Resolution for the Confidential Group for the Period July 1, 2026 through June 30, 2028.
Administrative Services Director Rebecca presented this item in conjunction with Items 11e and 11f, outlining the proposed changes to the Confidential Group’s Salary and Benefit Resolution.
MOTION: Adopt Resolution 2026-091 adopting the amended Salary and Benefit Resolution for the Confidential Group for the period July 1, 2026 through June 30, 2028.
MOVER: Layton
SECONDER: Dugan
AYES: Layton, McDowell, Dugan Venkatesh
NAYS: None
ABSENT: Rak
RESULT: Motion Passed 4 – 0 – 1
12. AGENDA SETTING
None.
13. ADJOURNMENT
Mayor Venkatesh adjourned the meeting at 10:18 p.m.
Crystal Mui,
City Clerk
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CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Accept the Fiscal Year (FY) 2025-26 Fourth Quarter Investment Report for the Period Ending June 30, 2026.
RECOMMENDATION:
Staff recommend that the City Council review and accept the Quarterly Investment Report (“Report”) for the fourth quarter of the fiscal year (FY) 2025-26 ending June 30, 2026.
FISCAL IMPLICATIONS:
There is no fiscal impact associated with accepting the Report.
BACKGROUND:
On May 12, 2025, the City Council approved the Annual Investment Policy (Policy) per Resolution No. 2025-034. In accordance with the Policy, the City Administrative Services Director is responsible for investing the unexpended cash used for funding operations of the City of San Carlos (“City”).
The investment of funds for the City is directed by the goals of safety, liquidity, and yield. The authority governing investments for municipal governments is set forth in California Government Code, sections 53601 through 53686 (Code). Effective January 1, 2023, per section 53646 (b)(1) of the Code, the Investment Committee serving as the legislative body will have the quarterly reports for its review within forty-five (45) days following the end of the quarter. Thus, this Report and its attachments are furnished for review and information.
Beginning in FY 2016-17, the City included the checking account balance as part of this Report.
Although a checking account is not a typical investment account, this balance is included to show the total cash on hand for the quarter. The City typically maintains approximately $500,000 - $1million, and a larger balance at the end of the calendar year, in the checking account to meet cash disbursement needs. Transfers are usually made into the investment accounts during the quarter to account for receipts that exceed disbursements.
The difference between Historical Value and Market Value of the city’s held investments, as shown in the attached investment report, may be due to the timing of purchase. Investments in the pools may have been purchased when interest rates were lower or higher than the end date of this report. As interest rates increase or decrease, the value of the investment pools will decrease or increase accordingly. However, interest rate fluctuations do not impact the City's balance in the investment pools. The market values are presented as a reference only.
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Investment Strategy
The City’s investment priorities, in order, are “Safety, Liquidity, and Yield,” while meeting the cash flow needs of the City through prudent investment of unexpended cash.
Compliance with Policy
Historical cash flow trends are compared to current cash flow requirements on an ongoing basis to ensure the City’s investment portfolio will remain sufficiently liquid to enable the City to meet all reasonably anticipated operating requirements. As of June 30, 2026, the portfolio contains sufficient liquidity to meet the next six months of expected expenditures by the City.
As of June 30, 2026, the City has no investment instruments with a maturity date longer than one year. All investments are in highly liquid accounts, using the State of California and County of San Mateo investment pools, and follow the Policy.
The primary objective of the Policy of the City of San Carlos is “safety of principal”. The permitted investments section of the Policy also states:
Local Agency Investment Fund (LAIF), which is a State of California managed investment pool, and San Mateo County Investment pool, may be used up to the maximum permitted by California State Law. A review of the pool/fund is required when they are part of the list of authorized investments, with the knowledge that the pool/fund may include some investments allowed by statute but not explicitly identified in this investment policy.
The City’s Investment Committee, consisting of Kathy Kleinbaum, City Manager; Inge Tiegel, City Treasurer; and Rebecca Mendenhall, Administrative Services Director, has reviewed and approved this Report.
ANALYSIS:
The Investment Portfolio (Attachment 1) indicates that on June 30, 2026, City funds in the amount of $186,217,466 were invested, producing a weighted average yield of 3.95% for this quarter. The amount in the checking account was $2,501,846. The Local Agency Investment Fund (LAIF), the City’s benchmark for comparison of investment yield, was 3.81% for the quarter. The investment yield, net of administrative fees, for the County Pool was 4.01%. The allocation of the investment portfolio balance to various City funds and various sub-categories of General Fund fund balance is included on page 3 of the attachment. Below is a summary of the changes from the last quarter.
Quarter Ended
06/30/26
% of
Total
Quarter Ended
03/31/26
% of
Total
Increase
(Decrease)
City-Checking 2,501,846$ 1% 1,306,345$ 1% 1,195,501$ City-SM County Pool 125,126,004 66% 106,330,520 59% 18,795,484 City-LAIF 61,091,462 32% 73,328,912 41% (12,237,450)
Total 188,719,312$ 100% 180,965,777$ 100% 7,753,535$ The portfolio balance at the end of the fourth quarter is $188,719,312, an increase of $7,753,535.
The City draws on the investment portfolio throughout the year for normal operating activity typically with the more significant levels of draw occurring in the first quarter (July through September) and fourth quarter (April through June). The City’s cash position typically improves in
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late December and April due to the receipt of property tax collections from San Mateo County.
The increase in the fourth quarter was due to the timing of the cash receipts and cash payments, largely driven by several major receipts such as (1) $6.64 million in property taxes; (2) $3.1 million in sales taxes; (2) $2.06 in vehicle in lieu fees; (3) $2 million in other taxes and revenues; (4) $1.75 million in interest; and (5) $1.52 million in licenses and permits. Overall revenues were partly offset by (1) $5.33 million payment to Redwood City for Fire and Emergency Services for the third and fourth quarters; (2) $2.79 million payment to San Mateo County Sheriff’s Office for police services for the fourth quarter of FY 2025-26.
Below is a comparison of quarterly cash position for the past three years.
Below is a summary of the changes in the total investment interest earnings from the prior quarter.
Qtr Ended
06/30/26
Qtr Ended
03/31/26
Increase
(Decrease)
Investment Portfolio 186,217,466$ 179,659,432$ 6,558,034$ Weighted Avg Yield 3.95% 3.94% 0.01%
Accrued Interest Earnings 1,868,993$ 1,747,397$ 121,596$ The increase in interest earnings this quarter was driven primarily by a higher portfolio balance and a slight yield uptick in the San Mateo County Pool (SMCP), which represents approximately 66% of the total investment portfolio. This occurred despite a small decline in the Local Agency Investment Fund (LAIF) interest rate. Interest in the investment accounts were $1,868,993 and $2,563 for the checking account.
ALTERNATIVES:
The alternatives available to the City Council include:
1. Accept the Quarterly Investment Report for the fourth quarter of fiscal year 2025-26 as of June 30, 2026; or
2. Do not accept the Report; or
3. Provide staff with alternative direction.
$140
$150
$160
$170
$180
$190
$200
Sept 30 Dec 31 March 31 June 30
FY26
FY 25
FY 24
Cash Position of Investments
($ in millions)
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Respectfully submitted by:
Rebecca Mendenhall, Administrative Services Director
Approved for submission by:
____________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. Q4 Investment Portfolio Summary FY 2025-26
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CITY OF SAN CARLOS Historical GASB 31
Date Purchase Boo k % of Marke t Quarterly
Investment Type Account/CUSIP # Purchased Price ($) Qtr. Year-to-date Value ($) Portfolio Value ($)* Incom e
LIQUID ACCOUNTS
Checking Account 2,501,846$ 0.02% 0.05% 2,501,846 $ 1% 2,501,846 $ 2,563 $ Investment Accounts
San Mateo County Pool-City of San Carlos 125,126,004$ 4.01% 3.93% 125,126,004 66% 125,566,447 1,195,752 State of California LAIF-City of San Carlos 61,091,462$ 3.81% 4.00% 61,091,462 32% 61,022,575 673,241 Total Liquid Accounts 186,217,466 $ 3.95 % 3.95% 186,217,466$ 99 % 186,589,022$ 1,868,993 $ Total for City of San Carlos 188,719,312 $ 3.89% 3.90% 188,719,312 $ 100% 189,090,868 $ 1,871,556 $
* Notes:
2) Effective January 1, 2020, the LAIF deposit limit was increased from $65 million to $75 million. The limit remains in effect until updated by the State Treasurer. 1) Difference in value between Historical Value and Market Value may be due to timing of purchase. Investments in the investment pools may have been purchased when interest rates were lower or higher than the end date of this report. As interest rates increase or decrease, the value of the investment pools will decrease or increase accordingly. However, the interest rate fluctuations do not have an impact on the City's balance in the investment pools. The market values are presented as a reference only.
Yield
%
INVESTMENT PORTFOLIO
CITY OF SAN CARLOS
June 30, 2026
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Investment Portfolio Diversification
City of San Carlos Checking Account 2,501,846 $ 1% City of San Carlos SM County Pool 125,126,004 66% City of San Carlos LAIF-General 61,091,462 32% Total 188,719,312 $ 100%
City - Checking
1%
City - SMC Pool
66%
City - LAIF
33%
City - Checking City - SMC Pool City - LAIF
City of San Carlos
Investment Portfolio
as of June 30, 2026
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Funds Cash Balance
% of Total
Balance
Capital Projects Funds (Fund 10, 14, 16, 18, 25, 26 and 27) 74,154,542$ 39.3% Sewer Fund (Fund 6) 56,324,008 29.8% Housing Funds (Funds 29 and 31) (0) 0.0% Facility/Infrastructure Improvements 17, 642,500 9.3% General Fund Operations (includes checking account) 8,028,573 4.3% Unfunded Liabilities 3, 000,000 1.6% Economic Uncertainties Reserve 9,846,816 5.2% Assigned Property Acquistion 2,000,000 1.1% Strategic Property Acquisition 7, 144,220 3.8% Restricted by contract or outside party 5,798,736 3.1% Special Revenue Funds (Funds 15 and 17) 1,181,523 0.6% Internal Service Funds (Funds 32, 33, and 35) 3,598,394 1.9% Total 188,719,312$ 100.0%
City of San Carlos
Investment Allocations
as of June 30, 2026
39%
30%
0%
9%
4%
2%
5%
1%
4%
3%
1% 2%
Capital Projects Funds (Fund 10, 14, 16, 18, 25, 26 and 27) Sewer Fund (Fund 6) Housing Funds (Funds 29 and 31) Facility/Infrastructure Improvements General Fund Operations (includes checking account) Unfunded Liabilities Economic Uncertainties Reserve Assigned Property Acquistion Strategic Property Acquisition Restricted by contract or outside party Special Revenue Funds (Funds 15 and 17) Internal Service Funds (Funds 32, 33, and 35)
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2780137.22
City of San Carlos Investment Portfolio
Jun-24 Sep-24 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 City - Checking 1,888,533 3,001,417 4,941,377 1,146,208 1,215,591 2,004,134 1,601,033 1,306,345 2,501,846 City - SM County Pool 109,670,755 101,170,418 101,449,858 109,827,080 109,320,683 100,607,085 109,557,941 106,330,520 125,126,004 City - LAIF 72,694,145 67,225,571 73,903,796 71,758,513 73,163,020 73,962,704 72,129,000 73,328,912 61,091,462 Total 184,253,433$ 171,397,406 $ 180,295,031 $ 182,731,801 $ 183,699,294 $ 176,573,923 $ 183,287,974 $ 180,965,777 $ 188,719,312 $ 0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Jun-24 Sep-24 Dec-24 Mar-25 Jun- 25 Sep-25 Dec-25 Mar-26 Jun-26 City of San Carlos Historical Summary of Investment Portfolio City - Checking
City - LAIF
City - SM County
Pool
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Investment Accounts Jun-24 Sep-24 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 San Mateo County Pool-City of San Carlos 3.39% 4.18% 3.94% 3.89% 3.99% 4.01% 3.86% 3.93% 3.90% State of California LAIF-City of San Carlos 3.82% 4.63% 4.34% 4.39% 4.32% 4.14% 4.01% 3.88% 4.00% Annualized Rate of Return
CITY OF SAN CARLOS
INVESTMENT ANNUALIZED RATE OF RETURN
June 30, 2026
0.00%
0.50%
1.00%
1.50%
2.00%
2.50%
3.00%
3.50%
4.00%
4.50%
5.00%
Jun-24 Sep-24 Dec-24 Mar-25 Jun- 25 Sep-25 Dec-25 Mar-26 Jun-26 Investment Annualized Rate of Return
San Mateo County Pool-City of San Carlos State of California LAIF-City of San Carlos
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CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Adopt a Resolution Extending the Temporary Downtown Parklet Program and the Corresponding Encroachment Permits to
September 15, 2027.
RECOMMENDATION:
Staff recommend that the City Council adopt a Resolution extending the Temporary Downtown Parklet Program and the corresponding encroachment permits to September 15, 2027.
FISCAL IMPLICATIONS:
There are no fiscal implications, and no additional funding is needed. Existing operational costs are included in the fiscal year 2025-27 Adopted Budget.
BACKGROUND:
In response to the COVID-19 pandemic and the Governor’s emergency order, the City Council authorized the temporary closure of portions of Laurel Street and the removal of select on-street parking spaces to support outdoor dining. As a result, the Temporary Parklet Program was established and has been renewed annually since its inception. The most recent renewal was approved on September 8, 2025, and is scheduled to expire on September 15, 2026.
ANALYSIS:
The closure of the 700 block of Laurel Street and the implementation of the City’s Temporary Parklet Program were initially established to support local businesses and restaurants while providing additional outdoor space during the COVID-19 pandemic. Through revocable encroachment permits, many businesses expanded their outdoor seating areas by installing parklets. The City currently has 35 active parklets and continues to accept new applications. As part of the application and renewal process, both existing and prospective permittees are advised that the Parklet Program is temporary and may be modified or discontinued by the City Council at its discretion.
In recognition of the program's continued use and its role in supporting local businesses and enhancing outdoor public spaces, it is appropriate to extend the Temporary Downtown Parklet Program for an additional year. The extension would remain subject to annual review by the City Council, which retains the authority to amend or discontinue the program at any time.
The Temporary Downtown Parklet Program has been in place since 2020. Given the length of
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time that the temporary program has been in place, staff believe it is prudent to review and update the program’s terms, conditions, and parklet aesthetics prior to the next renewal in 2027. This review would help ensure the program continues to align with the City’s operational needs and policy objectives. Staff will bring some policy options back for City Council consideration in early 2027.
ALTERNATIVES:
The options available to the City Council include:
1. Adopt a Resolution extending the Temporary Downtown Parklet Program and the corresponding encroachment permits to September 15, 2027; or
2. Do not adopt the Resolution; or
3. Provide staff with alternative direction.
Respectfully submitted by:
Steven Machida, Public Works Director
Approved for submission by:
____________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. Resolution
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RESOLUTION NO. 2026 – ____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN CARLOS
EXTENDING THE TEMPORARY DOWNTOWN PARKLET PROGRAM AND THE CORRESPONDING ENCROACHMENT PERMITS TO SEPTEMBER 15, 2027.
WHEREAS, in response to the COVID-19 pandemic and the Governor’s emergency order, the City Council authorized the temporary closure of portions of Laurel Street and the removal of select on-street parking spaces to support outdoor dining; and
WHEREAS, as a result, the Temporary Parklet Program was established and has been renewed annually since its inception; and
WHEREAS, the most recent renewal was approved on September 8, 2025, and is scheduled to expire on September 15, 2026; and
WHEREAS, the closure of the 700 block of Laurel Street and the implementation of the City’s Temporary Parklet Program were initially established to support local businesses and restaurants while providing additional outdoor space during the COVID-19 pandemic; and
WHEREAS, through revocable encroachment permits, many businesses expanded their outdoor seating areas by installing parklets; and
WHEREAS, the City currently has 35 active parklets and continues to accept new applications; and
WHEREAS, as part of the application and renewal process, both existing and prospective permittees are advised that the Parklet Program is temporary and may be modified or discontinued by the City Council at its discretion; and
WHEREAS, in recognition of the program's continued use and its role in supporting local businesses and enhancing outdoor public spaces, it is appropriate to extend the Temporary Downtown Parklet Program for an additional year; and
WHEREAS, the extension would remain subject to annual review by the City Council, which retains the authority to amend or discontinue the program at any time.
NOW, THEREFORE BE IT RESOLVED, that the City Council of the City of San Carlos hereby extends the Temporary Downtown Parklet Program and the corresponding encroachment permits to September 15, 2027.
* * * * *
I, City Clerk Crystal Mui, hereby certify that the foregoing Resolution was duly and regularly passed and adopted by the City Council of the City of San Carlos at a scheduled meeting thereof held on the 24th day of August 2026, by the following vote:
AYES, COUNCILMEMBERS:
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________________________________
CITY CLERK of the City of San Carlos
APPROVED:
___________________________
MAYOR of the City of San Carlos
NOES, COUNCILMEMBERS:
ABSENT, COUNCILMEMBERS:
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CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Adopt a Resolution Authorizing the Amendment to the Agreement with Tyler Technologies, Inc to Purchase the Cloud Hosted Capital Asset and Content Manager Modules in the Amount of $27,769 and Authorize the Annual Renewal of the Subscription Services Until the System Needs to be Replaced.
RECOMMENDATION:
Staff recommend that the City Council adopt a Resolution authorizing the amendment to the agreement with Tyler Technologies, Inc to purchase the cloud hosted capital asset and Content Manager modules in the amount of $27,769 and authorize the annual renewal of the subscription services until the system needs to be replaced.
FISCAL IMPLICATIONS:
Sufficient funds for the purchase of these modules were appropriated as part of the midcycle Capital Improvement Program (CIP) budget adjustments for fiscal year 2026-27 adopted by City Council on June 22, 2026. No additional appropriations are required at this time. Ongoing maintenance costs will be incorporated into the IT operating budget going forward.
BACKGROUND:
The City has used Tyler Technologies systems for many years, primarily for its principal financial system (Tyler Enterprise ERP, otherwise known as Munis), and more recently for permitting and licensing activities (Tyler Enterprise Licensing and Permitting, also known as Energov). The City has a master maintenance agreement with Tyler Technologies, renewed annually, for the ongoing use of the cloud-based software. The attached documents, once approved and signed, would become part of that agreement with Tyler Technologies and be added to the list of modules used, for which the city would be invoiced annually.
ANALYSIS:
Finance currently tracks and calculates annual depreciation for the city's capitalized assets on a complex Excel spreadsheet which requires a considerable investment of time at year end. This manual spreadsheet process can potentially lead to errors and mistakes in the value of assets recorded in the city's accounts and displayed in the financial statements. The Finance division will utilize the Capital Asset Management module to make this process more efficient and better integrated into the existing financial system, and less prone to error.
The current Accounts Payable (AP) process whereby the city's numerous vendors are paid for goods and services received, is somewhat manual and paper-based. The Finance division will
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utilize the Tyler Content Manager (TCM) module to allow invoices to be uploaded to the system during invoice entry and to be stored in an easily accessible format for easy recall. This will assist in moving the AP process online, away from paper-based records, making the entire process more efficient. Existing system workflow capabilities will also be leveraged as part of this implementation which will enhance controls around invoice approval. In addition, the TCM module will be utilized in other finance processes such as requisitions and purchase orders, cash receipts, and journal entries, thereby further reducing paper-usage and increasing process efficiency, leading to time and cost savings in a number of areas. The use of the TCM module and system workflows will be rolled out gradually, 1-2 departments at a time, to help ensure a smooth adoption of the system and allow more personalized training and onboarding.
Following approval of the quotes and incorporation into the Tyler Technologies master agreement, the next available window for implementation starts in approximately 4-6 weeks. Given Tyler Technologies’ work schedule, along with year-end related activities and the financial audit, the following estimated timeline is proposed for the implementation of these two modules:
Council Approval of Quotes August 24, 2026
Quotes signed and incorporated into master Tyler Tech agreement September 4, 2026 Remote implementation start date End October 2026
Target Completion Capital Assets Mid December 2026
Target Completion TCM (initial rollout) End January 2027 ALTERNATIVES:
The alternatives available to the City Council include:
1. Adopt a Resolution authorizing the amendment to the agreement with Tyler Technologies, Inc to purchase the cloud hosted capital asset and Content Manager modules in the amount of $27,769 and authorize the annual renewal of the subscription services until the system needs to be replaced;
2. Do not adopt the resolution; or
3. Provide staff with alternative direction.
Respectfully submitted by:
Rebecca Mendenhall, Administrative Services Director
Approved for submission by:
____________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. Resolution
2. Tyler Technologies Capital Assets Quote
3. Tyler Technologies Content Manager Quote
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RESOLUTION NO. 2026 – ____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN CARLOS
AUTHORIZING THE AMENDMENT TO THE AGREEMENT WITH TYLER TECHNOLOGIES,
INC TO PURCHASE THE CLOUD HOSTED CAPITAL ASSET AND CONTENT MANAGER MODULES IN THE AMOUNT OF $27,769 AND AUTHORIZE THE ANNUAL RENEWAL OF THE SUBSCIRPTION SERVICES UNTIL THE SYSTEM NEEDS TO BE REPLACED.
WHEREAS, funds for the implementation of the Capital Asset and Content Manager modules were appropriated as part of the fiscal year 2026-27 midcycle Capital Improvement Program (CIP) budget adjustments; and
WHEREAS, ongoing annual maintenance costs will be incorporated into the Information Technology division budget going forward; and
WHEREAS, staff have identified a strong need for these two new modules to improve process efficiency, reduce manual work, enhance process controls, leverage existing technology and software capabilities, and save time and money; and WHEREAS, the City currently uses Tyler Technology systems for its principal financial system and licensing and permitting services and now wishes to add the Capital Asset and Content Manager modules to the master agreement with Tyler Technologies, Inc.
NOW, THEREFORE BE IT RESOLVED, that the San Carlos City Council hereby approves the amendment to the agreement with Tyler Technologies, Inc to purchase the cloud hosted Capital Asset and Content Manager modules in the amount of $27,769 and authorize the annual renewal of the subscription services until the system needs to be replaced. * * * * *
I, City Clerk Crystal Mui, hereby certify that the foregoing Resolution was duly and regularly passed and adopted by the City Council of the City of San Carlos at a scheduled meeting thereof held on the 24th day of August 2026, by the following vote:
________________________________
CITY CLERK of the City of San Carlos
APPROVED:
___________________________
MAYOR of the City of San Carlos
AYES, COUNCILMEMBERS:
NOES, COUNCILMEMBERS:
ABSENT, COUNCILMEMBERS:
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2026-592398-P0S7L0 CONFIDENTIAL Page 1
Quoted By: Karen Grosset
Quote Expiration: 11/30/26
Quote Name: City of San Carlos - ERP - TCM
Saas Term 1.00
Sales Quotation For: Shipping Address:
San Carlos, Ca City Of City of San Carlos
Attn: Mano Sugui 600 Elm St
San Carlos CA 94070-3085 San Carlos CA 94070-3085
Tyler SaaS and Related Services
Description Qty Imp. Hours Annual Fee
Content Management
Content Manager Core includes Onboarding 1 32 $ 10,284.00 TOTAL 32 $ 10,284.00
Professional Services
Description Quantity Unit Price Ext Discount Extended Price Maintenance Project Management 4 $ 155.00 $ 0.00 $ 620.00 $ 0.00
Remote Implementation 32 $ 155.00 $ 0.00 $ 4,960.00 $ 0.00 TOTAL $ 5,580.00 $ 0.00
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2026-592398-P0S7L0 CONFIDENTIAL Page 2 Summary One Time Fees Recurring Fees
Total Tyler License Fees $ 0.00 $ 0.00
Total SaaS $ 0.00 $ 10,284.00
Total Tyler Services $ 5,580.00 $ 0.00
Total Third-Party Hardware, Software, Services $ 0.00 $ 0.00 Summary Total $ 5,580.00 $ 10,284.00
Client’s purchase of the items listed above is subject to the Comments below Unless otherwise indicated in the contract or amendment thereto, pricing for optional items will be held For six (6) months from the Quote date or the Effective Date of the Contract, whichever is later.
Customer Approval: Date:
Print Name: P.O.#:
All Primary values quoted in US Dollars
Comments
Client agrees that items in this sales quotation are, upon Client's signature or approval of same, hereby added to the existing agreement ("Agreement") between the parties and subject to its terms. Additionally, payment for said items, as applicable but subject to any listed assumptions herein, shall conform to the following terms:
•License fees for Tyler and third party software are invoiced upon the earlier of (i) deliver of the license key or (ii) when Tyler makes such software available for download by the Client;
•Fees for hardware are invoiced upon delivery;
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2026-592398-P0S7L0 CONFIDENTIAL Page 3 •Fees for year one of hardware maintenance are invoiced upon delivery of the hardware; •Annual Maintenance and Support fees, SaaS fees, Hosting fees, and Subscription fees are first payable when Tyler makes the software available for download by the Client (for Maintenance) or on the first day of the month following the date this quotation was signed (for SaaS, Hosting, and Subscription), and any such fees are prorated to align with the applicable term under the Agreement, with renewals invoiced annually thereafter in accord with the Agreement.
•Fees for services included in this sales quotation shall be invoiced as indicated below. •Implementation and other professional services fees shall be invoiced as delivered. •Fixed-fee Business Process Consulting services shall be invoiced 50% upon delivery of the Best Practice Recommendations, by module, and 50% upon delivery of custom desktop procedures, by module. •Fixed-fee conversions are invoiced 50% upon initial delivery of the converted data, by conversion module, and 50% upon Client acceptance to load the converted data into Live/Production environment, by conversion module. •Except as otherwise provided, other fixed price services are invoiced upon complete delivery of the service. For the avoidance of doubt, where "Project Planning Services" are provided, payment shall be invoiced upon delivery of the Implementation Planning document.
Dedicated Project Management services, if any, will be invoiced monthly in arrears, beginning on the first day of the month immediately following initiation of project planning.
•If Client has purchased any change management services, those services will be invoiced in accordance with the Agreement. •Notwithstanding anything to the contrary stated above, the following payment terms shall apply to services fees specifically for migrations: Tyler will invoice Client 50% of any Migration Fees listed above upon Client approval of the product suite migration schedule. The remaining 50%, by line item, will be billed upon the go-live of the applicable product suite. Tyler will invoice Client for any Project Management Fees listed above upon the go-live of the first product suite. Unless otherwise indicated on this Sales quotation, annual services will be invoiced in advance, for annual terms commencing on the date this sales quotation is signed by the Client. If listed annual service(s) is an addition to the same service presently existing under the Agreement, the first term of the added annual service will be prorated to expire coterminous with the existing annual term for the service, with renewals to occur as indicated in the Agreement.
•Expenses associated with onsite services are invoiced as incurred.
Tyler's quote contains estimates of the amount of services needed, based on our preliminary understanding of the scope, level of engagement, and timeline as defined in the Statement of Work (SOW) for your project. The actual amount of services required may vary, based on these factors.
Tyler's pricing is based on the scope of proposed products and services contracted from Tyler. Should portions of the scope of products or services be altered by the Client, Tyler reserves the right to adjust prices for the remaining scope accordingly.
Unless otherwise noted, prices submitted in the quote do not include travel expenses incurred in accordance with Tyler's then-current Business Travel Policy.
Tyler's prices do not include applicable local, city or federal sales, use excise, personal property or other similar taxes or duties, which you are responsible for determining and remitting. Installations are completed remotely but can be done onsite upon request at an additional cost.
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2026-592398-P0S7L0 CONFIDENTIAL Page 4 In the event Client cancels services less than four (4) weeks in advance, Client is liable to Tyler for (i) all non-refundable expenses incurred by Tyler on Client's behalf; and (ii) daily fees associated with the cancelled services if Tyler is unable to re-assign its personnel.
The Implementation Hours included in this quote assume a work split effort of 70% Client and 30% Tyler.
Implementation Hours are scheduled and delivered in four (4) or eight (8) hour increments.
Tyler provides onsite training for a maximum of 12 people per class. In the event that more than 12 users wish to participate in a training class or more than one occurrence of a class is needed, Tyler will either provide additional days at then-current rates for training or Tyler will utilize a Train-the-Trainer approach whereby the client designated attendees of the initial training can thereafter train the remaining users.
Content Manager Core includes up to 1TB of storage. Should additional storage be needed it may be purchased as needed at an annual fee of $5,000 per TB.
In the event Client acquires from Tyler any edition of Content Manager software other than Enterprise Edition, the license for Content Manager is restricted to use with Tyler applications only. If Client wishes to use Content Manager software with non-Tyler applications, Client must purchase or upgrade to Content Manager Enterprise Edition.
Standard Project Management responsibilities include project plan creation, initial stakeholder presentation, bi-weekly status calls, updating of project plan task statuses, and go-live planning activities.
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CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Appoint Mayor Venkatesh as the Voting Delegate and City Manager Kleinbaum as the Alternate to Represent the City of San Carlos at the League of California Cities’ 2026 Cal Cities Annual General Assembly.
RECOMMENDATION:
Staff recommend that the City Council appoint a voting delegate and alternate to represent the City of San Carlos at the League of California Cities’ (LCC) 2026 Cal Cities annual General Assembly.
FISCAL IMPLICATIONS:
There are no fiscal implications, and no additional funding is needed.
BACKGROUND:
The LCC provides legislative advocacy, progressional development, and educational resources for incorporated cities and towns in California, including the City of San Carlos. Its Annual Conference is scheduled this year for September 23 – 25 in Anaheim.
As part of the Annual Conference, the General Assembly will be held on September 25. The General Assembly, comprised of voting delegates appointed by each member city, is the forum in which members participate in the development of Cal Cities policy.
To cast a vote during the General Assembly, the San Carlos City Council must designate one voting delegate and one alternate voting delegate. The alternate voting delegate may serve if the designated voting delegate is unable to fulfill that role.
Voting delegates must be registered to attend the Annual Conference in order to cast a vote.
ANALYSIS:
Mayor Venkatesh has indicated her intent to attend the League Conference this year and is willing to represent the City of San Carlos at the General Assembly as the City’s voting delegate. City Manager Kathy Kleinbaum will also attend the conference and is willing to serve as the alternate voting delegate.
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Attachment 1 to this staff report is a memo from the LCC providing information on the voting delegate designation process. Following the City Council’s designation of the voting delegate and alternate voting delegate, staff will submit the appointments through the LCC’s online submission portal by the September 1 deadline.
Attachment 2 to this staff report is the LCC voting delegate resolution packet, which provides information on a proposed resolution supporting efforts to restore and strengthen local authority over housing and land use matters, including the potential development of a state constitutional amendment and establishment of a statewide working group to evaluate strategies for advancing this goal. If authorized by the City Council, the City’s voting delegates will vote in favor of the Resolution.
ALTERNATIVES:
The alternatives available to the City Council include:
1. Appoint Mayor Venkatesh as voting delegate and City Manager Kleinbaum as the alternate to represent the City of San Carlos as the LCC 2026 Cal Cities Annual General Assembly; or
2. Do not make appointments; or
3. Provide staff with alternative direction.
Respectfully submitted by:
Crystal Mui, City Clerk
Approved for submission by:
____________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. Memo - Designation of Voting Delegates and Alternates
2. LCC 2026 Voting Delegate Resolution Packet
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1400 K Street, Suite 400, Sacramento, CA 95814 • 916.658.8200 • calcities.org DATE: Wednesday, May 13, 2026
T
O: Mayors, Council Members, City Clerks, and City Managers RE
: DESIGNATION OF VOTING DELEGATES AND ALTERNATES
League of California Cities Annual Conference and Expo, Sept. 23-25, 2026 Anaheim Convention Center
E
very year, the League of California Cities convenes a member-driven General Assembly at the Cal Cities Annual Conference and Expo. The General Assembly is an important opportunity where city officials can directly participate in the development of Cal Cities policy.
Ta
king place on Friday, Sept. 25, 2026 the General Assembly is comprised of voting delegates appointed by each member city; every city has one voting delegate. Your appointed voting delegate plays an important role during the General Assembly by representing your city and voting on resolutions.
To c
ast a vote during the General Assembly, your city must designate a voting delegate and up to two alternate voting delegates, one of whom may vote if the designated voting delegate is unable to serve in that capacity. Voting delegates may either be an elected or appointed official.
A
ction by Council Required. Consistent with Cal Cities bylaws, a city’s voting delegate and up to two alternates must be designated by the city council. Please note that designating the voting delegate and alternates must be done by city council action and cannot be accomplished by individual action of the mayor or city manager alone.
F
ollowing council action, please submit your city’s delegates through the online submission portal by Tuesday, Sept. 1, 2026. When completing the Voting Delegate submission form, you will be asked to attest that council action was taken. You will need to be signed in to your My Cal Cities account when submitting the form.
S
ubmitting your voting delegate form by the deadline will allow us time to establish voting delegate/alternate records prior to the conference and provide pre-conference communications with voting delegates.
C
onference Registration Required. The voting delegate and alternates must be registered to attend the conference. They need not register for the entire conference; they may register for Friday only. Conference registration opens June 2.
F
or a city to cast a vote, one voter must be present at the General Assembly and in possession of the voting delegate card and voting tool. Voting delegates and Council Action Advised by September 1, 2026
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alternates need to pick up their conference badges before signing in and picking up the voting delegate card at the voting delegate desk. This will enable them to receive the special sticker on their name badges that will admit the voting delegate into the voting area during the General Assembly.
Please view Cal Cities’ event and meeting policy in advance of the conference.
Transferring Voting Card to Non-Designated Individuals Not Allowed. The voting delegate card may be transferred freely between the voting delegate and alternates, but only between the voting delegate and alternates. If the voting delegate and alternates find themselves unable to attend the General Assembly, they may not transfer the voting card to another city official.
Seating Protocol during General Assembly. At the General Assembly, individuals with a voting card will sit in a designated area. Admission to the voting area will be limited to the individual in possession of the voting card and with a special sticker on their name badge identifying them as a voting delegate.
The voting delegate desk, located in the conference registration area of the Anaheim Convention Center, will be open at the following times: Wednesday, Sept. 23, 8:00 a.m.-6:00 p.m. and Thursday, Sept. 24, 7:30 a.m.-4:00 p.m. On Friday, Sept. 25, the voting delegate desk will be open at the General Assembly, starting at 7:30 a.m., but will be closed during roll calls and voting.
The voting procedures that will be used at the conference are attached to this memo.
Please share these procedures and this memo with your council and especially with the individuals that your council designates as your city’s voting delegate and alternates.
Once again, thank you for submitting your voting delegate and alternates by Tuesday, Sept. 1. If you have questions, please contact Zach Seals at [email protected].
Attachments:
• G
eneral Assembly Voting Guidelines
• Information Sheet: Cal Cities Resolutions and the General Assembly
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1400 K Street, Suite 400, Sacramento, CA 95814 • 916.658.8200 • calcities.org
General Assembly Voting Guidelines
1. One City One Vote. Each member city has a right to cast one vote on matters pertaining to Cal Cities policy.
2. Designating a City Voting Representative. Prior to the Cal Cities Annual Conference and Expo, each city council may designate a voting delegate and up to two alternates; these individuals are identified on the voting delegate form provided to the Cal Cities Credentials Committee.
3. Registering with the Credentials Committee. The voting delegate, or alternates, may pick up the city's voting card at the voting delegate desk in the conference registration area. Voting delegates and alternates must sign in at the voting delegate desk. Here they will receive a special sticker on their name badge and thus be admitted to the voting area at the General Assembly.
4. Signing Initiated Resolution Petitions. Only those individuals who are voting delegates (or alternates), and who have picked up their city’s voting card by providing a signature to the credentials committee at the voting delegate desk, may sign petitions to initiate a resolution.
5. Voting. To cast the city's vote, a city official must have in their possession the city's voting card and voting tool; and be registered with the credentials committee. The voting card may be transferred freely between the voting delegate and alternates but may not be transferred to another city official who is neither a voting delegate nor alternate.
6. Voting Area at General Assembly. At the General Assembly, individuals with a voting card will sit in a designated area. Admission to the voting area will be limited to the individual in possession of the voting card and with a special sticker on their name badge identifying them as a voting delegate.
7. Resolving Disputes. In case of dispute, the credentials committee will determine the validity of signatures on petitioned resolutions and the right of a city official to vote at the General Assembly.
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Sixty days before the
Annual Conference
and Expo, Cal Cities
members may submit
policy proposals on
issues of importance
to cities. The resolution must
have the concurrence of at least
five additional member cities or
individual members.
How it works: Cal Cities
Resolutions and the General Assembly
General Assembly
General Resolutions Policy Committees
Developing League of California Cities policy is a dynamic process that engages a wide range of members to ensure Cal Cities represents cities with one voice. These policies directly guide Cal Cities’ advocacy to promote local decision-making, and lobby against statewide policies that erode local control.
The resolutions process and General Assembly is one way that city officials can directly participate in the development of Cal Cities policy. If a resolution is approved at the General Assembly, it becomes official Cal Cities policy. Here’s how resolutions and the General Assembly work.
The petitioned
resolution is an
alternate method
to introduce policy
proposals during
the annual conference. The
petition must be signed by
voting delegates from 10% of
member cities, and submitted to
the Cal Cities President at least
24 hours before the beginning
of the General Assembly.
Petitioned Resolutions
The Cal Cities
President assigns
general resolutions
to policy committees
where members
review, debate, and recommend
positions for each policy proposal.
Recommendations are forwarded
to the Resolutions Committee.
Who’s who
The Resolutions Committee
includes representatives
from each Cal Cities
diversity caucus, regional
division, municipal
department, and policy
committee, as well as
individuals appointed by
the Cal Cities president.
Voting delegates
are appointed by each
member city; every city
has one voting delegate.
The General Assembly is a
meeting of the collective
body of all voting
delegates —one from
every member city.
Seven policy committees
meet throughout the year
to review and recommend
positions to take on bills
and regulatory proposals.
Policy committees include
members from each Cal
Cities diversity caucus,
regional division, and
municipal department,
as well as individuals
appointed by the Cal
Cities president.
During the General Assembly, voting delegates
debate and consider general and petitioned
resolutions forwarded by the Resolutions
Committee. Potential Cal Cities bylaws
amendments are also considered at this meeting.
Cal Cities policy
development is a member-
informed process,
grounded in the voices and
experiences of city officials
throughout the state.
For more information visit www.calcities.org/general-assembly Prior to the Annual Conference and Expo
Resolutions Committee
The Resolutions
Committee considers
all resolutions. General
Resolutions approved1 by
either a policy committee
or the Resolutions Committee are next
considered by the General Assembly.
General resolutions not approved, or
referred for further study by both a
policy committee and the Resolutions
Committee do not go to the General
Assembly. All Petitioned Resolutions
are considered by the General
Assembly, unless disqualified.2
During the Annual Conference and Expo
1 The Resolution Committee can amend a general resolution prior to sending it to the General Assembly. 2 Petitioned Resolutions may be disqualified by the Resolutions Committee according to Cal Cities Bylaws Article VI. Sec. 5(f).
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2026
Resolution
Packet
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2026 Resolution Packet
Information on 2026 Resolutions Process
Consideration by Policy Committee (pre-conference)
Per the Cal Cities bylaws, Cal Cities President Gabe Quinto has referred the submitted resolution to the Housing, Community, and Economic Development Committee. The committee will meet on Thursday, Sept. 17, at 10 a.m. via Zoom to review the resolution and make a recommendation that will be sent to the Resolutions Committee. A public comment period will be held during the meeting. Register for the meeting here.
A list of recommendations the policy committee may make during its meeting is on page two of this packet.
Consideration by Resolutions Committee (during conference) On Thursday, Sept. 24, at 1:00 p.m. the Resolutions Committee will meet to review the resolution and the recommendation of the policy committee.
The Resolutions Committee consist of one representative from each of Cal Cities caucuses, departments, divisions, and policy committees, as well as up to ten additional appointments made by the Cal Cities President. A public comment period will be held during the meeting. Refer to the onsite conference program for the location.
A list of recommendations the Resolutions Committee may make during its meeting is on page two of this packet.
Consideration by the General Assembly (during conference) The General Assembly will convene on Friday, Sept. 25, at 8:30 a.m. to consider any resolutions the Resolutions Committee has forwarded. To vote during the General Assembly, voting delegates must have checked in at the voting delegate booth.
Conference attendees will receive materials for the General Assembly on the evening of Thursday, Sept. 24. For more information on voting and discussion procedures during the General Assembly, see page three of this packet.
Petitioned Resolutions (during conference)
The petitioned resolution is an alternate method to introduce policy proposals during the annual conference. To initiate a petitioned resolution, voting delegates from 10% of member cities must sign the petition. The resolution and signatures are due at least 24 hours before the beginning of the General Assembly. Voting delegates who have checked in at the voting delegate booth can receive more information on petitioned resolutions at the booth onsite. 1 9.f
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2026 Resolution Packet
Policy Committee and Resolutions Committee Actions
The submitted resolution will be heard by the policy committee to which it was assigned, and the Resolutions Committee. The table below shows what recommendations these bodies may make on the resolution.
Policy Committee Actions Resolutions Committee Actions
Approve Approve
Disapprove* Disapprove*
No Action No Action
Amend and approve
Amend and approve
Refer to appropriate policy committee
for further study*
Approve as amended
Refer as amended to appropriate
policy committee for further study*
Refer to appropriate policy committee
for further study*
Refer as amended to appropriate
policy committee for further study*
Approve with additional
amendment(s)
Additional amendments and refer to
appropriate policy committee for
further study*
*If a resolution is disapproved or referred for further study by all policy committees to which it is assigned and the Resolutions Committee, it will not proceed to the General Assembly.
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2026 Resolution Packet
General Assembly Voting and Discussion Procedures
Discussion Procedures:
Discussion procedures during the General Assembly are guided by two calendars:
the Consent Calendar and the Regular Calendar. As seen below, resolutions are calendared by the recommendations they receive from policy committees and the Resolutions Committee.
For General Resolutions:
Policy Committee
Recommendation
Resolutions Committee
Recommendation Calendar
Approve Approve Consent Calendar
Approve Disapprove or refer Regular Calendar
Disapprove or refer Approve Regular Calendar
Disapprove or refer Disapprove or refer Does not proceed to General Assembly
For Petitioned Resolutions:
Policy Committee
Recommendation Resolutions Committee Action Calendar
N/A
Approve Regular Calendar
Disapprove or Refer Regular Calendar
Disqualified Does not proceed to General
Assembly
Items on the Consent Calendar will be presented as one motion during the General Assembly from the Resolutions Committee chair. Unless an item on the Consent Calendar is set aside by the majority of the General Assembly, a vote will be taken on the whole calendar. If an item is set aside, it will be opened for discussion, followed by a vote.
Items on the Regular Calendar will be presented individually by the Resolutions Committee chair. After a recommendation is presented by the Resolutions Committee chair, the resolution will be opened for discussion by the General Assembly. A vote will take place following discussion.
Voting Procedures:
Per Cal Cities Bylaws Article XII, Sec. 2, all votes will be conducted by voice vote first. If the presiding official cannot determine the outcome, a vote will be taken by an alternative method, typically a raise of voting cards by voting delegates. A roll call vote may be called for by delegates of ten percent or more of the General Assembly.
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2026 Resolution Packet
2026 Resolution
1. Resolution No. 1 submitted by City of Murrieta
• Letters of concurrence submitted by:
i. City of Banning;
ii. City of Calimesa;
iii. City of Canyon Lake;
iv. City of Moreno Valley;
v. City of Norco;
vi. City of Torrance;
vii. Crystal Ruiz, Mayor, City of San Jacinto;
viii. Jessica Alexander, Mayor, City of Temecula
• Referred to Housing, Community, and Economic Development Committee
• Policy Committee Recommendation:
• Resolutions Committee Recommendation:
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2026 Resolution Packet
Resolution No. 1
Submitted by City of Murietta
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2026 Resolution Packet
1. A RESOLUTION OF THE GENERAL ASSEMBLY OF THE LEAGUE OF CALIFORNIA CITIES
CALLING FOR A WORKING GROUP TO CONSIDER A STATE CONSTITUTIONAL
AMENDMENT OR OTHER FORM OF INITIATIVE TO ENSURE FINAL LOCAL AUTHORITY OVER
HOUSING AND LAND USE DECISIONS
Source: City of Murrieta
Concurrence of five or more cities/city officials
Cities/city officials: City of Banning; City of Calimesa; City of Canyon Lake; City of Moreno Valley; City of Norco; City of Torrance; Crystal Ruiz, Mayor, City of San Jacinto; Jessica Alexander, Mayor, City of Temecula
Referred to: Housing, Community, and Economic Development Policy Committee WHEREAS, California cities have historically been responsible for adopting general plans and zoning regulations, reviewing housing development proposals, and providing or coordinating the streets, water, wastewater, public safety, parks, transportation, and other infrastructure and services necessary to support responsible, environmentally sound, and well-planned residential growth; and
WHEREAS, the League of California Cities is dedicated to protecting and expanding local control for municipalities across the state to ensure their orderly growth and development; and
WHEREAS, the League of California Cities recognizes that local zoning is a primary function of cities and an essential component of home rule, and that a city’s general plan should guide its land use planning and strategic decision-making free from pre-emption by the state; and
WHEREAS, increasingly prescriptive statewide housing mandates and development approval requirements can override locally adopted plans, zoning standards, and public review procedures without adequately accounting for differences that exist in each unique jurisdict ion in infrastructure capacity, water availability, wildfire and evacuation risks, environmental constraints, fiscal impacts, public service needs, and community priorities; and
WHEREAS, California’s housing goals can be more effectively advanced through state funding, streamlined environmental requirements, and voluntary partnerships that support housing production while preserving the authority of locally elected officials to determine how and where housing is best planned and approved; NOW, THEREFORE, BE IT RESOLVED , by the General Assembly of the League of California Cities, assembled during the Annual Conference in Anaheim, California, on September 25, 2026, that the League of California Cities support the development and advancement of a state constitutional amend ment or other legislative, policy, or ballot- based strategies that restore and strengthen local authority over housing and land use matters within municipal boundaries, including general plans, housing elements, zoning, density, design and development standards, project siting, and the approval or denial of housing development applications; and
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2026 Resolution Packet
BE IT FURTHER RESOLVED, that any constitutional amendment or alternative strategy should preserve the State’s authority to establish broad statewide housing goals and enforce constitutional and civil rights, fair housing requirements, building and life -safety standards, and gen erally applicable environmental protections, while protecting cities from state actions that compel, through funding conditions or state law, the approval of housing developments that are inconsistent with locally adopted requirements; override local zonin g or density standards; or invalidate locally adopted housing or land use decisions when a city has planned in good faith to accommodate its regional housing needs allocation and maintains adequate capacity for housing at all income levels; and
BE IT FURTHER RESOLVED, that the League of California Cities consider establishing a statewide working group or other appropriate committee(s) to evaluate and develop a proposed constitutional amendment or other legislative, policy, or ballot-based strategies to restore and strengthen local authority over housing and land use matters including but limited to: conducting appropriate legal, fiscal, and policy analyses; engaging cities and other stakeholders; and building a statewide coalition of proponent supporters in preparation for; the November 2030 General Election, or within another reasonable time frame as determined by the working group.
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2026 Resolution Packet
Resolution No. 1: Background
Information
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2026 Resolution Packet
Background Information for Resolution
Source: City of Murrieta
Background:
California cities are responsible for planning residential growth, adopting general plans and zoning regulations, reviewing development proposals, and providing or coordinating the infrastructure and public services necessary to support new housing. Since 2010, the State has enacted more than 500 housing-related laws that have increasingly shifted housing and land use authority away from local governments. These laws have expanded by-right development, limited locally adopted standards and review processes, and established enforcement mechanisms, including the builder’s remedy, that may override local plans and zoning. Although these measures are frequently presented as solutions to housing affordability, many increase development capacity or restrict local review without delivering the meaningful production of housing needed to address the housing crisis.
At the same time, the State has continued to prioritize increased development capacity without adequately accounting for the infrastructure, public services, economic realities, and safety measures necessary to support housing growth.
State mandates often fail to reflect local conditions, including roadway and utility capacity, water availability, wildfire exposure, environmental limitations, fiscal impacts, and the availability of essential services. Cities are consequently required to accommodate additional housing while receiving no funding or assistance to address the resulting infrastructure and service demands.
Local elected officials are directly accountable to the residents who experience the effects of development decisions and are responsible for balancing housing production with infrastructure capacity, public safety, environmental protection, fiscal sustainability, and community needs. Cities of all types in California have been grappling with this dynamic, ranging from urban to rural, coastal to inland, small to large, northern to southern, voicing concerns to legislative representatives with minimal responsiveness. This is an issue of statewide concern that needs the strength and diversity of the League of California Cities to pursue a long-term solution.
The proposed resolution directs the League of California Cities to establish a statewide working group to evaluate a constitutional amendment or other legislative, policy, or ballot-based strategies to restore and strengthen local authority over housing and land use decisions. The working group would be tasked with developing a more balanced framework that preserves the State’s role in establishing broad housing goals and enforcing constitutional, civil rights, fair housing, building, life-safety, and environmental requirements, while restoring meaningful local authority to allow cities to determine how statewide housing 9 9.f
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2026 Resolution Packet
objectives should be implemented in a manner that reflects local conditions and community priorities while continuing to support responsible housing production.
As the primary statewide organization representing California cities, the League is uniquely positioned to lead this effort. Its established policy, legal, legislative, communications, and advocacy networks enable it to convene municipalities, evaluate potential strategies, conduct legal and fiscal analyses, build consensus, engage stakeholders, and coordinate with statewide decision-makers. League leadership would help ensure that any recommendation reflects the collective interests of California municipalities and would provide the credibility, organizational capacity, and statewide reach necessary to advance a viable strategy.
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2026 Resolution Packet
Resolution No. 1: Letters of
Concurrence
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July 23, 2026
President Gabe Quinto
League of California Cities
1400 K Street, Suite 400
Sacramento, CA 95814
Subject: Support for a Resolution Establishing a Working Group to Evaluate a State Constitutional Amendment or Other Initiative to Restore Local Housing and Land Use Authority
Dear President Quinto,
The City of Murrieta is sponsoring a resolution for consideration by the General Assembly of the League of California Cities to establish a statewide working group to evaluate a constitutional amendment or other legislative, policy, or ballot -based strategies to restore and strengthen local authority over housing and land use decisions.
The proposed resolution, together with the required background materials, will be submitted to Cal Cities for consideration at the 2026 Annual Conference in Orange County on September 24 and
25. The resolution would direct the League to convene a working group to evaluate potential approaches for addressing the increasingly broad and prescriptive state mandates affecting local housing, zoning, development standards, and project approval authority.
On behalf of the City of Can yon Lake, this letter confirms our support for the City of Murrieta’s submission of the proposed resolution and its consideration by the League of California Cities General Assembly at the 2026 Annual Conference.
Sincerely,
Arron Brown
City Manager
City of Canyon Lake
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July 23, 2026
President Gabe Quinto
League of California Cities
1400 K Street, Suite 400
Sacramento, CA 95814
Subject: Support for a Resolution Establishing a Working Group to Evaluate a State Constitutional Amendment or Other Initiative to Restore Local Housing and Land Use Authority
Dear President Quinto,
The City of Murrieta is sponsoring a resolution for consideration by the General Assembly of the League of California Cities to establish a statewide working group to evaluate a constitutional amendment or other legislative, policy, or ballot-based strategies to restore and strengthen local authority over housing and land use decisions.
The proposed resolution, together with the required background materials, will be submitted to Cal Cities for consideration at the 2026 Annual Conference in Orange County on September 24 and 25. The resolution would direct the League to convene a working group to evaluate potential approaches to address increasingly broad and prescriptive state mandates affecting local housing, zoning, development standards, and project approval authority.
On behalf of the City of Moreno Valley, this letter confirms our support for the City of Murrieta’s submission of the proposed resolution and its consideration by the League of California Cities General Assembly at the 2026 Annual Conference.
Sincerely,
Brian Mohan
City Manager
City of Moreno Valley
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July 22, 2026
President Gabe Quinto
League of California Cities
1400 K Street, Suite 400
Sacramento, CA 95814
Subject: Support for a Resolution Establishing a Working Group to Evaluate a State Constitutional Amendment or Other Initiative to Restore Local Housing and Land Use Authority
Dear President Quinto,
The City of Murrieta is sponsoring a resolution for consideration by the General Assembly of the League of California Cities to establish a statewide working group to evaluate a constitutional amendment or other legislative, policy, or ballot-based strategies to restore and strengthen local authority over housing and land use decisions.
The proposed resolution, together with the required background materials, will be submitted to Cal Cities for consideration at the 2026 Annual Conference in Orange County on September 24 and 25. The resolution would direct the League to convene a working group to evaluate potential approaches for addressing the increasingly broad and prescriptive state mandates affecting local housing, zoning, development standards, and project approval authority.
On behalf of the City of the Norco, this letter confirms our support for the City of Murrieta’s submission of the proposed resolution and its consideration by the League of California Cities General Assembly at the 2026 Annual Conference.
Sincerely,
Kevin Bash
City Council Member
(951) 768-8981
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July 23, 2026
Mr. Gabe Quinto, President
League of California Cities
1400 K Street, Suite 400
Sacramento, CA 95814
Subject: Support for the City of Murrieta's Resolution Establishing a Working Group to Evaluate a State Constitutional Amendment or Other Initiative to Restore Local Housing and Land Use Authority
Dear President Quinto:
I am writing in my individual capacity as Mayor of the City of Temecula to express my strong support for the City of Murrieta's proposed resolution for consideration by the General Assembly of the League of California Cities at the 2026 Annual Conference.
The proposed resolution presents an important opportunity to thoughtfully evaluate the appropriate balance between California's statewide housing objectives and the constitutional principle of local governance. Establishing a statewide working group to examine a potential constitutional amendment, legislative reforms, or other policy initiatives will provide a meaningful forum to assess how local authority over housing and land use decisions can be strengthened while continuing to address the State's housing challenges.
Cities are uniquely positioned to understand the needs, opportunities, and constraints of their communities. Local elected officials are accountable to the residents they serve and are best equipped to make land use decisions that reflect a community's character, infrastructure capacity, economic development goals, environmental stewardship, and long-term vision. Equally important, local governments bear the primary responsibility for protecting public safety. Decisions regarding housing density, transportation, emergency access, wildfire preparedness, evacuation routes, police and fire service capacity, water availability, and critical infrastructure are inherently local matters that require the knowledge and judgment of those who serve their communities every day.
While the State has an important role in addressing California's housing needs, a collaborative approach that respects local expertise and preserves meaningful local discretion will produce stronger, safer, and more sustainable communities. The proposed working group offers an opportunity to evaluate policies that achieve these shared objectives while restoring an appropriate balance between state direction and local authority.
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Mr. Gabe Quinto, President
League of California Cities
July 23, 2026
Although this letter reflects my personal position and is not an official action or policy of the City of Temecula or the Temecula City Council, I respectfully endorse the City of Murrieta's submission of this resolution and encourage its favorable consideration by the League of California Cities General Assembly.
Thank you for your leadership and your thoughtful consideration of this important issue.
Respectfully,
Jessica Alexander
Mayor, City of Temecula
Signing in her individual capacity
and not on behalf of the City of Temecula
or the Temecula City Council.
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2026 Resolution Packet
Resolution No. 1: Staff Analysis
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League of California Cities Staff Analysis on Resolution No. 1
Staff: Brady Guertin, Legislative Advocate
Committee: Housing, Community, and Economic Development
Summary:
Resolution No.1 states that the League of California Cities (Cal Cities) will:
1. Support the development and advancement of a state constitutional amendment or legislative, policy, or ballot-based strategy that restores and strengthens local authority over housing and land use matters, including general plans, housing elements, zoning, density, design and development standards, project siting, and the approval or denial of housing development applications.
Pursuant to the resolution, the strategy should preserve the state’s authority to set broad, statewide housing goals and enforce civil rights, fair housing, building safety, and environmental standards while protecting local control by preventing the state from compelling the approval of developments that conflict with local requirements, override local zoning or density standards, or overturn local land use decisions where a city has planned for and maintained sufficient capacity to meet its housing obligations.
2. Consider establishing a statewide working group or other appropriate committee(s) to evaluate and develop a proposed constitutional amendment or other legislative, policy, or ballot-based strategies to restore and strengthen local authority over housing and land use matters.
The resolution states: “conducting legal, fiscal, and policy analyses; engaging cities and other stakeholders; and building a statewide coalition of proponent supporters in preparation for the November 2030 General Election, or within another reasonable time period.”
Background:
As provided in the background information, the city of Murrieta is sponsoring this resolution in response to concerns over state laws that have increasingly reduced city discretion over housing and land use decisions, including legislation that requires ministerial or by-right approvals for housing projects, limits the application of local development standards, and strengthens state enforcement mechanisms against local governments.
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local infrastructure, public service needs, public safety, market, and fiscal considerations.
The resolution states that California’s housing goals are better advanced through state funding, streamlined environmental requirements, and voluntary partnerships, while preserving local authority over how and where housing is best planned and approved.
Consideration of the resolution may be informed by a brief examination of how the California Constitution allocates authority between the state and cities with respect to land use decisions.
The constitution grants cities the power to adopt local laws to protect the public’s health, safety, and welfare. This grant is called the “police power,” which is the basis for local land use regulation. The constitution grants charter cities the additional power to adopt local laws affecting “municipal affairs.” This power, commonly referred to as “home rule,” is based on the principle that a city, rather than the state, is in the best position to identify and satisfy the needs of the local community.
The constitution’s broad grant of police power contains a significant limitation.
Local law adopted under the police power is not valid if it “conflicts” with state law. A local law “conflicts” with state law when it regulates the same “field” in which the Legislature has stated its intent to occupy. In that case, state law is said to “preempt” the local law and it cannot be enforced.
An ordinance adopted by a charter city under the municipal affairs power cannot be enforced if it affects a “matter of statewide concern.” The subjects that have been identified as “matters of statewide concern” have changed over the years due to economic, social, and political circumstances.
Since the 1960s, the state has enacted numerous laws that limit or preempt aspects of local land use and zoning authority. These laws include the Fair Employment and Housing Act, Housing Element Law, Housing Accountability Act, Density Bonus Law, Permit Streamlining Act, accessory dwelling unit laws, California Environmental Quality Act, and others. In recent years, the state has enacted several laws that Cal Cities was the leading opposition force against, as many of the proposals pre-empted local land use authority, limited public review, and constrained local flexibility. In support of its housing and land use legislation, the Legislature has cited a statewide housing crisis and the need for increased housing production at all income levels while asserting that a uniform approach to local land use decision-making is required.
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Discussion:
The resolution does not prescribe a specific policy mechanism. The eight letters in support recommend creating a working group or committee to evaluate potential approaches, including legislative proposals, constitutional amendments, or ballot initiatives to strengthen local authority over housing and land use matters.
A discussion of a strategy to restore and strengthen local authority over housing and land use matters will need to consider the California Constitution’s framework for both preemption of police power enactments and municipal affairs, discussed above. It will also need to determine whether changes to the California Constitution will be proposed, and whether they constitute an amendment or a revision, which require different processes.
A constitutional revision is a multistep process blending legislative consensus, voter support, and on occasion, a constitutional convention. It requires significant public engagement.
A constitutional amendment would require a ballot initiative, which includes gathering enough valid signatures to qualify for the ballot, building large coalitions to support election efforts, and campaigning to voters to support the initiative. This process can involve significant costs. In the last major election for ballot initiatives in 2024, proponents spent $8-$18 million to qualify for the ballot and spent nearly $700 million for the full election cycle, averaging out to about $100 million per ballot initiative.
Cal Cities has been engaged in ballot advocacy for over 20 years. In the early 2000s, Cal Cities developed a ballot advocacy infrastructure that included forming an issue political action committee, fundraising, establishing a network of regional managers, and building a coalition with other organizations to ultimately advocate on a ballot measure. Ballot advocacy requires the approval of the Board of Directors with a supermajority vote.
In the Legislature, Cal Cities plays an active and influential role to ensure that local flexibility and autonomy in the land use and housing space is maintained by engaging on dozens of bills every legislative session to ensure that cities' voices are heard at the state Capitol. Below, you will find Cal Cities “Existing Policy” on local control, housing, and land use policies.
Fiscal Impact
The resolution itself would not have a significant direct fiscal impact. However, depending on what actions follow, the fiscal costs could be significant.
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Existing Cal Cities Policy
Vision
To be recognized and respected as the leading advocate for the common interests of California's cities.
Mission Statement
To expand and protect local control for cities through education and advocacy to enhance the quality of life for all Californians.
We Believe
• Local self-governance is the cornerstone of democracy. • Our strength lies in the unity of our diverse communities of interest. • In the involvement of all stakeholders in establishing goals and in solving problems.
• In conducting the business of government with transparency, openness, respect, and civility.
• The spirit of honest public service is what builds communities. • Open decision-making that is of the highest ethical standards honors the public trust.
• Cities are vital to the strength of the California economy. • The vitality of cities is dependent upon their fiscal stability and local autonomy.
• The active participation of all city officials increases the League's effectiveness.
• Partnerships and collaborations are essential elements of focused advocacy and lobbying.
• Ethical and well-informed city officials are essential for responsive, visionary leadership and effective and efficient city operations.
Zoning
Cal Cities believes local zoning is a primary function of cities and is an essential component of home rule. The process of adoption, implementation and enforcement of zoning ordinances should be open and fair to the public and enhance the responsiveness of local decision-makers. State policy should leave local siting and use decisions to the city and not interfere with local prerogative beyond providing a constitutionally valid procedure for adopting local regulations. State agency siting of facilities, including campuses and office buildings, should be subject to local notice and hearing requirements in order to meet concerns of the local community. Cal Cities opposes legislation that seeks to limit local authority over parking requirements.
Housing Element
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governments and should have equal status with the other elements of the general plan.
Encourage Full Community Participation
Foster an open and inclusive community dialogue and promote alliances and partnerships to meet community needs.
Well-Planned New Growth
Recognize and preserve open space, watersheds, environmental habitats, and agricultural lands, while accommodating new growth in compact forms, in a manner that:
• De-emphasizes automobile dependency;
• Integrates the new growth into existing communities;
• Creates a diversity of affordable housing near employment centers; • Provides job opportunities for people of all ages and income levels.
Support:
The following letters of concurrence were received:
City of Banning
City of Calimesa
City of Canyon Lake
City of Moreno Valley
City of Norco
City of Torrance
Crystal Ruiz, Mayor, City of San Jacinto
Jessica Alexander, Mayor, City of Temecula
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CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Adopt a Resolution Appropriating an Additional $390,000 from the General Fund (Fund 25) to the Corporation Yard Roof Replacement and Solar Panel Upgrade Project (C2410); Authorizing the Execution of an Agreement with McMillan Electric in the Amount of $375,000; and Authorizing the Expenditure of a 10% Contingency in the Amount of $37,500 for a Total Not-to-Exceed Contract Amount of $412,500 to Design and Install Rooftop Photovoltaic Solar Systems at the Corporation Yard.
RECOMMENDATION:
Staff recommend that the City Council adopt a Resolution appropriating an additional $390,000 from the General Fund (Fund 25) to the Corporation Yard Roof Replacement and Solar Panel Upgrade Project (C2410) (“Project”); authorizing the execution of an agreement with McMillan Electric (“Contractor”) in the amount of $375,000; and authorizing the expenditure of a 10% contingency in the amount of $37,500 for a total not-to-exceed contract amount of $412,500 to design and install rooftop photovoltaic (PV) solar systems at the Corporation Yard.
FISCAL IMPLICATIONS:
Appropriations of $457,832 for this project were previously approved, upon which a Peninsula Clean Energy (PCE) Authority Member Agency Energy Grant, equivalent in amount, was awarded. All costs associated with the solar upgrades are to be offset by the grant funds. Prior to installing new solar equipment, the corporation yard roof needed to be replaced and the old solar system removed. Staff now request an additional appropriation of $390,000 from the General Capital Fund (Fund 25) in fiscal year (FY) 2026-27 for the design and installallation of a rooftop Photo-voltaic (PV) solar system at the Corporation Yard’s main building and mechanic bay. A summary of the project’s previously approved budget, previous and proposed expenditures, additional appropriation request and net project cost to the city is shown below.
Corporation Yard Roof Replacement and Solar Panel Upgrade Project (C2410) Total Previously Approved Project Budget (C2410) $457,832 Total Paid to Diablo Roofing for Roof Replacement ($367,736) Total Paid to McMillan Renewable Power Systems to Remove Existing Solar System
($47,000)
Document Preparation Fees Paid ($27)
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Total Project Budget Remaining $43,069
Additional Project Amount Requested $390,000
Diablo Roofing Retainage to be paid (5% of total contract) ($19,354) Budget Needed to Design and Install Rooftop EV Solar Systems ($375,000) 10% Contingency ($37,500)
Residual $1,215
Total Approved Project Budget $847,832
PCE Grant (457,832)
Net Cost to the City for Roof Replacement and Solar System Project $390,000 BACKGROUND:
On May 12, 2025, the City Council approved a resolution to fund the Project. The goal of the project was to replace the roof of the Corporation Yard’s main building and mechanic bay that had been installed in 1990 and then install the new solar panels once the project has been completed. The roof replacement was completed in May 2026 and is ready for the solar panels to be installed.
ANALYSIS:
Staff are requesting City Council authorization for the City Manager to enter into an agreement with McMillan Electric to provide design services and install a rooftop PV solar system on the Corporation Yard’s main building and mechanic bay. McMillan Electric is PCE’s chosen partner that was selected under their competitive RFP process.
The Contractor provided a cost proposal in the amount of $375,000 for design and installation of a rooftop PV solar system at the Corporation Yard’s main building and mechanic bay. The expense from this proposed work would be fully reimbursed by the PCE Member Agency Energy Grant. This requested appropriation and proposed work is required to complete the Project.
Staff recommend appropriating an additional $390,000 from the General Fund (Fund 25) to the Corporation Yard Roof Replacement and Solar Panel Upgrade Project (C2410); authorizing the City Manager to execute an agreement with McMillan Electric in the amount of $375,000; and authorizing the expenditure of a contingency in the amount of $37,500 for a total not-to-exceed contract amount of $412,500 to design and install a rooftop PV solar system at the Corporation Yard.
ALTERNATIVES:
The alternatives available to the City Council include:
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1. Adopt a Resolution appropriating an additional $390,000 from the General Fund (Fund 25) to the Corporation Yard Roof Replacement and Solar Panel Upgrade Project (C2410); authorizing the execution of an agreement with McMillan Electric in the amount of $375,000; and authorizing the expenditure of a 10% contingency in the amount of $37,500 for a total not-to-exceed contract amount of $412,500 to design and install rooftop photovoltaic solar systems at the Corporation Yard; or
2. Do not adopt the Resolution; or
3. Provide staff with alternative direction.
Respectfully submitted by:
Lou Duran, Public Works Superintendent; and
Steven Machida, Public Works Director
Approved for submission by:
____________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. Resolution
Exhibit A to Resolution - Cost Proposal
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RESOLUTION NO. 2026 – ____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN CARLOS APPROPRIATING AN ADDITIONAL $390,000 FROM THE GENERAL FUND (FUND 25) TO
THE CORPORATION YARD ROOF REPLACEMENT AND SOLAR PANEL UPGRADE PROJECT (C2410); AUTHORIZING THE EXECUTION OF AN AGREEMENT WITH MCMILLAN ELECTRIC IN THE AMOUNT OF $375,000; AND AUTHORIZING THE EXPENDITURE OF A 10% CONTINGENCY IN THE AMOUNT OF $37,500 FOR A TOTAL NOT-TO-EXCEED CONTRACT AMOUNT OF $412,500 TO DESIGN AND INSTALL ROOFTOP PHOTOVOLTAIC SOLAR SYSTEMS AT THE CORPORATION YARD.
WHEREAS, the Corporation Yard’s main building and mechanic bay have had the same roofs since 1990 and needed to be fully replaced before the photovoltaic (PV) solar system upgrade; and
WHEREAS, the construction of the new roofs was completed in May 2026; and WHEREAS, the City and the Peninsula Clean Energy Authority (PCE) executed an agreement for the Member Agency Energy Grant Program on August 1, 2024, providing a maximum grant of $457,832 for eligible project expenses; and WHEREAS, McMillan Electric (“Contractor”) is PCE’s chosen partner that was selected under their competitive RFP process; and
WHEREAS, the Contractor provided a cost proposal in the amount of $375,000 for design and installation of a rooftop PV solar system at the Corporation Yard’s main building and mechanic bay; and
WHEREAS, the costs of the new PV solar system upgrades will be offset by the Member Agency Energy Grant Program agreement described above; and WHEREAS, staff recommend appropriating an additional $390,000 from the General Capital Fund (Fund 25) to the Corporation Yard Roof Replacement and Solar Panel Upgrade Project (C2410); authorizing the City Manager to execute an agreement with McMillan Electric in the amount of $375,000; and authorizing the expenditure of a contingency in the amount of $37,500 for a total not- to-exceed contract amount of $412,500 to design and install a rooftop PV solar system at the Corporation Yard’s main building and mechanic bay.
NOW, THEREFORE BE IT RESOLVED, that the San Carlos City Council hereby appropriates an additional $390,000 from the General Capital Fund (Fund 25) to the Corporation Yard Roof Replacement and Solar Panel Upgrade Project (C2410); authorizes the execution of an agreement with McMillan Electric in the amount of $375,000; and authorizes the expenditure of a 10% contingency in the amount of $37,500 for a total not-to-exceed contract amount of $412,500 to design and install rooftop PV solar systems at the Corporation Yard. * * * * *
I, City Clerk Crystal Mui, hereby certify that the foregoing Resolution was duly and regularly passed and adopted by the City Council of the City of San Carlos at a scheduled meeting thereof held on the 24th day of August 2026, by the following vote:
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________________________________
CITY CLERK of the City of San Carlos
APPROVED:
___________________________
MAYOR of the City of San Carlos
AYES, COUNCILMEMBERS:
NOES, COUNCILMEMBERS:
ABSENT, COUNCILMEMBERS:
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Electrical Contractor | Low Voltage Systems | Fire Alarm | Renewable Power Systems License 268179 C-10
415.826.5100
1480 Folsom Street
San Francisco CA 94103
www.mcmillanco.com
Electrical Contractor-MRPS- Renewables – MNetworks – AV Systems Data Communications – Security Systems
Lic 268179-C10
May 1
st , 2026
City of San Carlos
1000 Bransten Road
Reference: San Carlos Corp Yard- PV
BID #_25-1888
We are pleased to offer our proposal for the design and installation of rooftop PV system, work is based upon the attached sketch
Total Cost $375,000
Pricing based on the Sizing below:
Scope of work to include the following:
PV Design and install:
Supply and Installation of conduit, wire, racking, panels, inverters, optimizers Supply and installation of disconnects, combiner panels, and necessary breakers Installation of owner supplied panels
Design and Engineering
Permitting
PG&E Interconnection and processing
Electrical Specific Clarifications:
• Sales Tax Included
• Assumes permit not needed for demolition
• Assumes attachments to be laid out and installed by McMillan, assumes the roof attachments will be sealed by the roofer to ensure their warranty
• Final kW to be aligned in design
Exclusions:
• Repair or upgrade of any existing electrical code violations • Upgrade of any existing electrical infrastructure not included in the scope • Overtime or shift work costs
• Proposal excludes the design or installation of any bird deterrents.
Thank you for considering McMillan Electric for this project. If you should have any questions, please do not hesitate to contact me at any time.
Sincerely,
Michael McAlister Brandon Bradford
415-725-1868 415-982-9102
kW
Rooftop PV 101 kW
EXHIBIT A - COST PROPOSAL
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CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Deny Claim of Victor Herrero.
RECOMMENDATION:
Staff recommend that the City Council deny the claim of Victor Herrero as recommended by the City’s claim administrators at Carl Warren.
FISCAL IMPLICATIONS:
There are no fiscal implications, and no additional funding is needed.
BACKGROUND:
This item is coming before the Council to act on the claim submitted by Victor Herrero (“Claimant”).
Staff recommend that the City Council deny the claim based on Carl Warren’s guidance.
The Tort Claims Act. California Government Code Sections 900, seq., mandates that all claims for money or damages against a public entity must be presented in writing to the public entity prior to filing suit. Generally, claims concerning personal injury, wrongful death, damage to personal property, or damage to crops must be presented to the public within six (6) months of the accrual of the claim. All other claims, principally claims on contracts and damage to real property, are subject to a one-year statute of limitations for presentation of the tort claim. Once a tort claim is received by the public entity, the entity has forty-five (45) days to act on the claim. A claim can be settled or rejected. If no action is taken within 45 days, the claim is deemed rejected by operation of law on the last day.
Claim Processing in San Carlos. When the City receives a claim, it is immediately forwarded to claims examiners at Carl Warren for investigation. Upon completing the investigation, Carl Warren provides the City with a recommendation on how to proceed with the claim.
About Carl Warren. Carl Warren is a leading national third-party administrator (TPA) that specializes in property and casualty claims management, subrogation recovery, and litigation management. Effective January 1, 2025, Carl Warren was hired by Pooled Liability Assistance Network Joint Powers Authority (PLAN JPA) to provide claims administration services to member cities. The City Council approved the City’s participation in the PLAN JPA (previously known as the Association of Bay Area Government Pooled Liability Assurance Network (ABAG PLAN) on November 27, 2017, and designated the Administrative Services Director and Senior Management Analyst as primary and alternate PLAN JPA Board member.
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ANALYSIS:
Claimant filed a claim against the City alleging that their waterline broke. However, claimant did not provide sufficient information to allow for a thorough investigation. Staff sent a Notice of Insufficiency to the claimant on June 30, 2026 requesting additional information, but no response has been received to date. For that reason, Carl Warren has recommended that the City formally reject Victor Herrero’s claim.
The Council’s rejection of this claim does not prevent City staff or the staff of Carl Warren from continuing to work with the Claimant to resolve the dispute.
ALTERNATIVES:
The alternatives available to the City Council include:
1. Deny claim of Victor Herrero; or
2. Do not deny claim of Victor Herrero; or
3. Provide staff with alternative direction.
Respectfully submitted by:
Jenny Liu, Senior Management Analyst; and
Rebecca Mendenhall, Administrative Services Director
Approved for submission by:
____________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. Herrero, Victor Claim Form
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CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Adopt a Resolution Authorizing an Amendment to the Professional Services Agreement with West Coast Code Consultants, Inc. for an Amount Not to Exceed $200,000 for Fire Inspection Services for Fiscal Year 2026-27.
RECOMMENDATION:
Staff recommend that the City Council adopt a Resolution authorizing an amendment to the professional services agreement with West Coast Code Consultants, Inc. for an amount not to exceed $200,000 for fire inspection services for fiscal year (FY) 2026-27.
FISCAL IMPLICATIONS:
There is no fiscal impact associated with this recommendation and no additional appropriation is required. Funding will come from salary savings from the current Fire Prevention Officer position which is vacant.
The table below reflects the current professional services agreement limits by fiscal year:
Fiscal Year Existing Fire Contract Limit Proposed Fire Contract Limit FY2026-27 $200,000 $400,000
FY2027-28 $200,000 $200,000
The current professional services agreement for West Coast Code Consultants, Inc. (“WC3”) Fire Department services is $200,000 for FY 2026-27. A $200,000 increase is proposed for the remainder of FY 2026-27 to cover Fire Department inspections.
BACKGROUND:
At its June 23, 2025 City Council meeting, the Council adopted a Resolution authorizing the City Manager to execute a three-year professional services agreement for on-call plan review and inspection services with WC3 in the not-to-exceed amount of $2,250,000. This covered Building Plan Review services as well as on-call fire plan reviews. At that time, it was estimated that the projected contract dollar amount for each consultant would be sufficient for FY 2026-27 given the staffing at the time.
At the time, there was one, full-time San Carlos employee (Fire Prevention Officer) that performed fire-related inspections for the City of San Carlos. However, this position is currently vacant, and
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additional funding is required to provide fire inspections for San Carlos. Once the position is filled, these inspection services will no longer be needed.
ANALYSIS:
The use of outside fire inspection services offers critical support for timely and efficient performance of fire-related inspections. A prolonged disruption of fire-related inspection services could adversely impact inspection schedules and could cause project delays.
The cost per hour for a Fire Inspector is $170 (see Attachment 2). Staff has calculated the amendment to allow for 25 hours per week for the duration of this Fiscal Year (ending June 30, 2027); however, it is anticipated that not all 25 hours will be utilized every week.
ALTERNATIVES:
The alternatives available to the City Council include:
1. Adopt a Resolution authorizing an amendment to the professional services agreement with West Coast Code Consultants, Inc. for an amount not to exceed $200,000, for fire inspection consultant services for FY 2026-27; or
2. Do not adopt the Resolution; or
3. Provide staff with alternative direction.
Respectfully submitted by:
Robert Lord, Acting Building Official; and
Al Savay, Community Development Director
Approved for submission by:
____________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. Resolution
2. WC3 Fire Inspection Services
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RESOLUTION NO. 2026 – ____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN CARLOS
AUTHORIZING AN AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT WITH WEST COAST CODE CONSULTANTS, INC. FOR AN AMOUNT NOT TO EXCEED $200,000, FOR FIRE INSPECTOR SERVICES FORFISCAL YEAR 2026-27.
WHEREAS, the Building Division relies on a Fire Prevention Officer to conduct all fire inspections for Fire and Building permits as necessary; and
WHEREAS, the City-funded position of Fire Prevention Officer is currently vacant and fire inspections must be completely for safety compliance and progress of building projects within the community; and
WHEREAS, the current professional services agreement with West Coast Code Consultants, Inc. has a not-to-exceed amount of $200,000 for fiscal year (FY) 2026-27; and
WHEREAS, the proposed increase of $200,000 for West Coast Code Consultants, Inc. should be sufficient for the remainder of the fiscal year through June 30, 2027; and
WHEREAS, there is sufficient funding from salary savings to cover the amendment for fire inspection services.
NOW, THEREFORE BE IT RESOLVED, that the San Carlos City Council hereby approves an amendment to the Professional Services Agreement with West Coast Code Consultants, Inc. for a not-to-exceed amount of $200,000, for temporary fire inspection services.
*****
I, City Clerk Crystal Mui, hereby certify that the foregoing Resolution was duly and regularly passed and adopted by the City Council of the City of San Carlos at a scheduled meeting thereof held on the 24th day of August 2026, by the following vote:
AYES, COUNCILMEMBERS:
NOES, COUNCILMEMBERS:
ABSENT, COUNCILMEMBERS:
_______________________________
CITY CLERK of the City of San Carlos
APPROVED:
___________________________
MAYOR of the City of San Carlos
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SSFOFFICE | 417 Grand Avenue Suite 201 | South San Francisco, CA 94080 | O: (925) 275-1700 | www.WC-3.com August 12, 2026 Robert Lord, MCP, CBO, CASp Chief Building Official City of San Carlos 600 Elm Street San Carlos, CA 94070 Phone: (650) 802-4266 E-mail: [email protected] Re: Task Order - Fire Inspection Services for the City of San Carlos Dear Mr. Lord, Thank you for the opportunity to support the City of San Carlos with fire inspection services. WC³ proposes the following scope and rate. Inspection services are provided on an as-needed basis in four (4) or eight (8) hour inspection days, scheduled at the City's request. Scope of Services - WC³ will provide fire inspection services including: 1. Fire and life safety inspections of new construction, tenant improvements, and change-of-occupancy work 2. Annual and periodic inspections of existing occupancies, including State-mandated inspections 3. Fire protection system acceptance testing, including sprinkler, alarm, standpipe, hood suppression, and special systems 4. Technical consultation, public counter support, and coordination with the Building Division 5. Inspection results and non-compliant items documented in the City's system of record and tracked to closure Rate and Scheduling 1. Rate: $170.00 per hour 2. Inspection days: four (4) or eight (8) hour segments, on an as-needed basis as requested and authorized by the City 3. Minimum: a four (4) or eight (8) hour minimum applies to all requested inspection services 4. Standard inspection requests are submitted 48 hours in advance. Emergency same-day requests are accommodated based on WC³ availability and project proximity. 5. Inspections are performed during regular business hours.
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Overtime - Services in excess of forty (40) hours per week, more than eight (8) hours per day, or more than six (6) consecutive days in a week, as well as holiday and weekend work, are invoiced at one hundred fifty percent (150%) of the regular rate. Prevailing Wage - The proposed hourly rate for inspection services is not applicable to prevailing wage assignments. Any prevailing wage assignment will be based on the current prevailing wage rates mandated by the Department of Industrial Relations (DIR). Reimbursable Expenses - Reimbursable expenses are billed at cost plus ten percent (10%). Mileage is billed at the IRS standard rate plus ten percent (10%). Consultant Authority and Independent Performance - Performance of services under this proposal shall be at the sole discretion and professional judgment of WC³. While the City may assign specific tasks or desired outcomes, the method, manner, scheduling, and means of completing such tasks shall be determined exclusively by WC³ as the consultant. WC³ retains authority to assign qualified staff to this project as appropriate; staff may perform duties on site at City offices, at WC³ offices, or at other locations as needed, and may work on additional assignments outside of this project scope. WC³ is responsible for achieving the performance metrics and deliverables specified in the scope of work, and services shall not be subject to direct supervision, control, or day-to-day direction by the City. Nothing herein shall be construed as creating an employment relationship; WC³ remains solely responsible for how services are provided to fulfill proposal objectives. Availability - WC³ is available to begin services upon the City's authorization. Acceptance - To begin work, please provide written confirmation of acceptance of the terms outlined. Upon receipt, WC³ will coordinate scheduling and confirm the inspection request and reporting process with the Building Division. We appreciate the opportunity to support the City of San Carlos with timely, cost-effective fire inspection services. Please contact us with any questions or to confirm acceptance so we may proceed. Sincerely, Donald Zhao, PE, MCP, CBO Vice President / Regional Manager C: (925) 997-4322 | E: [email protected]
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CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Adopt a Resolution Approving the Use of the Library Excess Funds in Fiscal Year 2026-27 in Accordance with the Library Joint Powers Authority Agreement in the Amount of $1,169,809, and Appropriating Funding in the General Capital Fund (Fund 0025) in the Amount of $340,000 for New Capital Projects for Library Sewer Pump Station Rehabilitation ($150,000), Library Storm Pump Station Rehabilitation ($150,000) and Library Automatic Fire Sprinkler System
Rehabilitation ($40,000).
RECOMMENDATION:
Staff recommend that the City Council adopt a Resolution:
1. Approving the use of library excess funds in fiscal year (FY) 2026-27, in accordance with the San Mateo County Library Joint Powers Authority (JPA) Agreement in the amount of $1,169,809 for existing and new library-related Capital Improvement Program (CIP) projects and reimbursement of already appropriated General Fund maintenance and utility expenditures and library building general support relating to the library building; and
2. Appropriating funds in the General Capital Fund (“Fund 0025”) for the following newly proposed library building capital projects:
o Library Sewer Pump Station Rehabilitation $150,000
o Library Storm Pump Station Rehabilitation $150,000
o Library Automatic Fire Sprinkler System Rehabilitation $40,000 FISCAL IMPLICATIONS:
In accordance with Section VI.D. of the JPA Agreement, and as approved by the JPA Governing Board, at the end of each fiscal year, funds in excess of the amount required to operate a community library are distributed and held by the JPA in separate trust funds. The funds are segregated from the Library’s general operating budget where they accrue interest. Excess funds remaining in accounts currently held by a member city are depleted first before accessing any funds held by the JPA. Library trust funds represent County Free Library revenue set aside and restricted per the terms of the JPA Agreement and state law.
The total amount reported by the Library as being held in the Library JPA/San Carlos Library Trust Fund as of June 30, 2026, is $2,581,413 (Attachment 2). A portion of these funds in the amount of $959,801, which relates to excess trust funds added to the balance in FY 2025-26, would be subject to a 50%-50% split between the Library JPA and the member city, if not spent or obligated by contract during FY 2026-27.
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4 4
3 9
In addition, for all expenditures addressing areas of the library building considered to be shared by library and city staff, reimbursement of project expenditures from the trust fund is limited to the portion of the building occupied by library staff, patrons, and other uses directly related to the library, including space used by the Friends of the Library. The share of the space that is eligible for the trust fund is 75%. This applies to all proposed uses of the excess trust funds for FY 2026- 27 except the Library Kitchen and Bathroom Upgrade project (C2418) which the Library agreed to reimburse 100% of the expenditures.
The table below shows the net funding requirements from the trust fund after application of the shared use factor, where applicable. The requested use of trust funds for FY 2026-27 totals $1,169,809 which will bring the Trust Fund balance to $1,411,604. Additional library building projects utilizing trust funds will be considered as part of the FY 2027-29 Biennial Budget.
BACKGROUND:
Per the JPA Agreement, the Library Trust Fund balance can be used for library related activities and projects within that member city including, but not limited to, facility maintenance, facility remodeling or expansion, increased service hours, or increased material and equipment purchases, as mutually agreed by the Library JPA and the governing board of that member city.
In the fiscal year following the completion and opening of the new Atherton Library, excess funds, after deduction of any activities approved by the Governing Board for library related expenditures within a member city, shall be split 50%-50% between the Library JPA and the member city to which those excess funds are attributable. This requirement began in FY 2023-24 and as such, the FY 2025-26 excess funds in the amount of $959,801 would be subject to the split, if not used or committed by the end of FY 2026-27.
ANALYSIS:
The City’s recommended projects, maintenance, and general support expenditure requests are allowable uses of these Trust Fund dollars. Staff recommends that the City Council request a total of $1,169,809 in trust funds, of which $959,801 is the FY 2025-26 excess trust fund amount added to the balance, and $210,008 is existing fund balance, to cover the costs of the library-related projects, maintenance and general support, shown in the table below.
The Library Kitchen and Bathroom Upgrade project (C2418) and the Library Elevator Upgrade project (C2518) are already underway and have previously appropriated budgets in the General Capital Fund (Fund 25). The maintenance and general support expenditures are also already appropriated in the FY 2026-27 General Fund budget. The two pump station rehabilitation projects, listed below, are expected to start in the next 12 months and require new appropriations from the General Capital Fund (Fund 25). The Library Automatic Fire Sprinkler System Rehabilitation project is already complete due to emergency circumstances and also requires an appropriation from the General Capital Fund. More details are provided below. The remaining balance of $1,411,604 will be held in a trust fund by the Library JPA to be applied to future projects.
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($) Gross Cost
Trust Fund
Usage
Net Cost to
City Trust Fund $
Prior Trust Fund balance 1,621,612
FY 2025-26 Excess Funds 959,801
Trust Fund balance as of June 30, 2026 2,581,413
Requested Use of Funds:
Library General Maintenance and Expenses 400,000 300,000 100,000 Library Building General Support 187,165 140,374 46,791 NEW: Library Sewer Pump Station Rehabilitation * 150,000 112,500 37,500 NEW: Library Storm Pump Station Rehabilitation * 150,000 112,500 37,500 NEW: Library Automatic Fire Sprinker System Rehab * 40,000 30,000 10,000 C2418: Library Kitchen and Bathroom Upgrades 286,935 286,935 - C2518: Library Elevator Upgrade 350,000 187,500 162,500 Total 1,564,100 1,169,809 394,291
Trust Fund $ Applied (1,169,809)
Ending Balance 1,411,604
* New appropriation required
As shown in the table above, it is recommended that Trust Funds in the amount of $440,374 be allocated to the reimbursement of the following General Fund expenditures:
Library General Maintenance Expenses - The San Carlos Library is a highly utilized public facility that requires regular maintenance and reliable utilities to meet the needs of the community. The City provides essential services such as HVAC maintenance, janitorial work, landscaping, and covers all utility expenses. Reimbursement for these general maintenance and operational costs supports the continued safe and effective use of the library, helps manage long-term facility preservation, and ensures a welcoming space for all visitors. This request seeks reimbursement for direct general maintenance and facility-related expenses necessary to support the continued operation of the San Carlos Library.
Total direct library building maintenance costs for FY 2026-27 are estimated at $400,000.
Since the library occupies approximately 75% of the building, as previously mentioned, it is recommended City Council approve up to $300,000 of library trust funds be applied to these maintenance expenditures. The net cost to the city of maintaining the library building and providing utilities is estimated to be $100,000.
Library Building General Support – Based on the FY 2026-27 salary and benefit budget, it is estimated that city staff direct labor costs associated with facility support of the library building to be $187,165. The breakdown of these costs can be seen in the table below which shows allocation of time for different Public Works positions. Work provided specifically to the library building includes specialized operational oversight provided by the Assistant Director of Public Works, routine maintenance coordination managed by the Public Works Superintendent, and skilled hands-on repairs performed by three facilities Senior Maintenance Workers. Since the library occupies approximately 75% of the building, it is recommended City Council approve up to $140,374 of library trust funds be applied to these general support expenditures. The net cost to the city of providing general staff support to the library building is estimated to be $46,791.
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Staff recommend that Trust Funds in the amount of $255,000 be allocated to the following new capital projects:
NEW: Library Sewer Pump Station Rehabilitation – The existing pumps, controls, and guide rail system are aging and exhibiting corrosion. Rehabilitating the station will improve reliability, reduce maintenance, extend the service life of the facility, and provide remote monitoring and alarm capabilities. This project involves replacing the existing submersible pumps, guide rail system, discharge piping, check valves, isolation valves, control panel, level-sensing equipment, electrical components, and SCADA system; cleaning and coating the wet well; completing all associated installation, startup, and testing.
Staff request an appropriation of $150,000 which includes the estimated cost of project management and engineering design services. The costs for construction, inspections and construction management services to deliver the project are not included and will be brought forward to City Council at a later date. Since the library occupies approximately 75% of the building, it is recommended that City Council approve up to $112,500 of library trust funds be applied to this project. The estimated net cost to the city would be $37,500. NEW: Library Storm Pump Station Rehabilitation – The existing storm pump station equipment is aging and exhibiting corrosion. Rehabilitating the station will improve reliability during storm events, extend the service life of the facility, reduce maintenance needs, and provide remote monitoring and alarm capabilities. This project involves replacing the existing submersible pumps, guide rail system, discharge piping, check valves, isolation valves, control panel, level-sensing equipment, electrical components, and SCADA system; cleaning and coating the wet well; completing all associated installation, startup, and testing.
Staff request an appropriation of $150,000 which includes the estimated cost of project management and engineering design services. The costs for construction, inspections and construction management services to deliver the project are not included and will be brought forward to City Council at a later date. Since the library occupies approximately 75% of the building, it is recommended that City Council approve up to $112,500 of library trust funds be applied to this project. The estimated net cost to the city would be $37,500. NEW: Library Automatic Fire Sprinkler System Rehabilitation – The existing automatic fire sprinkler system heads within the parking garage underneath the library building and stairwell were found to be corroded during a recent inspection. Their condition presented a critical risk to the reliability and performance of the fire protection system and warranted immediate replacement. The sprinkler system is intended to provide immediate fire suppression in the event of a fire and is an essential component of the facility's fire protection measures. This project involved replacement of the existing automatic fire
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sprinkler heads located within the parking garage underneath the library building, stairwell, and within the library along with the installation of a new sprinkler head escutcheon on the first floor.
Staff request an appropriation of $40,000 for this project. Staff determined the condition of the sprinkler heads to be an emergency situation due to the risks associated with potential failure of this critical system during a fire and moved forward with the work which was completed in mid-August by Walschon Fire Protection. In accordance with section
3.12.180 of the Municipal Code, staff is bringing the emergency appropriation request to the next succeeding Council meeting following the emergency. Since the library occupies approximately 75% of the building, it is recommended that City Council approve up to $30,000 of library trust funds be applied to this project. The net cost to the city is estimated to be $10,000.
Staff also recommend that Trust Funds in the amount of $474,435 be allocated to the following existing capital projects. Both of these projects were previously approved and fully appropriated by City Council as part of prior budget cycles. Staff now request further application of library trust funds to these projects to offset a greater portion of the overall costs and minimize the net cost to the city.
Library Kitchen and Bathroom Upgrades (C2418) - The Library kitchen and six bathrooms have not been updated since the Library was built in 1999, and are in need of repair and upgrades for the benefit of all staff and residents who use these facilities on a daily basis. This project would involve updating and remodeling the four public bathrooms, two library staff bathrooms, and library staff kitchen within the library building. The bathroom remodel would consist of new partitions, new changing tables, new low-flow water closets, faucets and sinks, new paint, a new water heater, and tile restoration and/or replacement. The kitchen remodel would include new cabinets, new appliances, new water heater, new paint, and tile restoration and/or replacement. The kitchens and bathrooms would also be transitioned from tiled countertops and flooring to smooth, solid surfaces to support cleanliness standards.
Work is already underway for this project. An appropriation of $500,000 from the General Capital Fund (Fund 25) and application of $500,000 of library trust funds to offset expenditures was previously adopted for this project at the September 9, 2024 City Council meeting where library projects for FY 2024-25 were approved. At the June 8, 2026 meeting, the contract for the work was awarded and an additional $286,935 was also appropriated from the General Capital Fund. This brought total appropriations for this project to $786,935. Staff now recommend City Council approve an additional $286,935 of library trust funds be applied to this project. The Library agreed to cover 100% of this project’s cost by the trust funds. As a result, there will be no net cost to the city. Library Elevator Upgrade (C2518) - The library elevator is in need of an upgrade due to its age and the availability of more modern components that offer improved efficiency, functionality, and design. Updating the elevator will provide a more comfortable, safe and user-friendly experience for library patrons and staff.
Work is already underway for this project. An appropriation of $300,000 from the General Capital Fund (Fund 25) and application of $300,000 library trust funds to offset expenditures was previously adopted for this project at the September 8, 2025 City Council meeting where library projects for FY 2025-26 were approved. The contract for
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the work was awarded at the June 22, 2026 meeting along with an additional midcycle budget appropriation of $350,000 from the General Capital Fund. This brought total appropriations for this project to $650,000. Since this project has been determined to benefit both library staff/patrons and city staff, and the library occupies approximately 75% of the building, staff recommends City Council approve an additional $187,500 of library trust funds be applied to this project. The net cost to the city is estimated to be $162,500.
ALTERNATIVES:
The alternatives available to the City Council include:
1. Adopt a Resolution approving the use of the Library Excess Funds in FY 2026-27 in accordance with the Library Joint Powers Authority Agreement in the amount of $1,169,809, and appropriating funding in Fund 0025 in the amount of $340,000 for new capital projects for Library Sewer Pump Station Rehabilitation ($150,000), Library Storm Pump Station Rehabilitation ($150,000) and Library Automatic Fire Sprinkler System Rehabilitation ($40,000); or
2. Do not adopt the Resolution; or
3. Provide staff with alternative direction.
Respectfully submitted by:
Steven Machida, Public Works Director
Approved for submission by:
____________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. Resolution
2. FY 2025-26 San Carlos Trust Fund Summary
3. New FY 2026-27 Library CIP Project Forms
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RESOLUTION NO. 2026 – ____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN CARLOS APPROVING THE USE OF THE LIBRARY EXCESS FUNDS IN FISCAL YEAR 2026-27 IN
ACCORDANCE WITH THE LIBRARY JOINT POWERS AUTHORITY AGREEMENT IN THE AMOUNT OF $1,169,809, AND APPROPRIATING FUNDING IN THE GENERAL CAPITAL FUND (FUND 0025) IN THE AMOUNT OF $340,000 FOR NEW CAPITAL PROJECTS FOR LIBRARY SEWER PUMP STATION REHABILITATION ($150,000), LIBRARY STORM PUMP STATION REHABILITATION ($150,000) AND LIBRARY AUTOMATIC FIRE SPRINKLER SYSTEM REHABILITATION ($40,000).
WHEREAS, the Library Trust Fund was created to account for the funds in excess of the amount required to operate library-related activities; and
WHEREAS, the excess funds are to be used, but not limited to, facility maintenance, facility remodeling or expansion, increased service hours, or increased material and equipment purchases, as mutually agreed to by the Library Joint Powers Authority (JPA) and the City Council; and
WHEREAS, beginning in fiscal year (FY) 2023-24 excess funds after deduction of any activities approved by the Governing Board for library-related expenditures within a member city, shall be split 50%-50% between the Library JPA and the member city to which those excess funds are attributable; and
WHEREAS, the total amount reported by the library as being held in the Library JPA/San Carlos Library Trust Fund as of June 30, 2026 is $2,581,413.05 of which $959,801 would be subject to a 50%-50% split between the Library JPA and the member city if not spent or obligated in FY 2026-27; and
WHEREAS, staff identified $400,000 in already budgeted Library general maintenance expenses, $187,165 in library building general support expenses as well as the following new capital projects, totaling $340,000, and existing fully appropriated capital projects, totaling $636,935, that would qualify for the use of the FY 2025-26 excess Trust Fund and Prior Year Trust Fund dollars:
New Project – Library Sewer Pump Station Rehabilitation - $150,000 New Project – Library Sewer Pump Station Rehabilitation - $150,000 New Project – Library Automatic Fire Sprinkler System Rehabilitation - $40,000 Existing Project – Library Kitchen and Bathroom Upgrade - $286,935 Existing Project – Library Elevator Upgrade - $350,000; and
WHEREAS, for expenditures addressing areas of the library building considered to be shared by library and city staff, reimbursement from the trust fund is limited to the portion of the building occupied by library staff, patrons, and other uses directly related to the library, calculated to be 75%, unless any expenditures can be shown to benefit only library staff, patrons, and other uses directly related to the library, in which case 100% reimbursement of expenditures from the trust fund is allowable; and
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WHEREAS, application of the shared use factor, where applicable, results in the following use of Library excess trust funds, totaling $1,169,809:
Library General Maintenance Expenses - $300,000 (75%)
Library Building General Support - $140,375 (75%)
New Project – Library Sewer Pump Station Rehabilitation - $112,500 (75%) New Project – Library Sewer Pump Station Rehabilitation - $112,500 (75%) New Project – Library Automatic Fire Sprinkler System Rehabilitation - $30,000 (75%) Existing Project – Library Kitchen and Bathroom Upgrade - $286,935 (100%) Existing Project – Library Elevator Upgrade - $187,500 (75%); and
WHEREAS, in accordance with Generally Accepted Accounting Principles (GAAP), funds will need to be appropriated for any new projects not already budgeted. Therefore, an appropriation in the amount of $340,000 in the General Capital Fund (Fund 25) for the new capital projects is needed at this time.
NOW, THEREFORE BE IT RESOLVED, that the San Carlos City Council hereby approves
Use of the Library Excess Funds in accordance with the Library Joint Powers Authority Agreement in the amount of $1,169,809 for Library-related general maintenance expenses and general support, and new and existing capital projects; Creation and Appropriation of a New Capital Project for the Library Sewer Pump Station Rehabilitation in the amount of $150,000;
Creation and Appropriation of a New Capital Project for the Library Storm Pump Station Rehabilitation in the amount of $150,000; and
Creation and Appropriation of a New Capital Project for the Library Automatic Fire Sprinkler System Rehabilitation in the amount of $40,000. * * * * *
I, City Clerk Crystal Mui, hereby certify that the foregoing Resolution was duly and regularly passed and adopted by the City Council of the City of San Carlos at a scheduled meeting thereof held on the 24th day of August 2026, by the following vote:
________________________________
CITY CLERK of the City of San Carlos
APPROVED:
___________________________
MAYOR of the City of San Carlos
AYES, COUNCILMEMBERS:
NOES, COUNCILMEMBERS:
ABSENT, COUNCILMEMBERS:
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Ju
ly
3 1
, 202
6 Kathy
Kleinbaum
,
City
Manager
City of San Carlos
600 Elm St
reet
San Carlos, CA 94070
RE:
Notice of FY
20 25
-
26 Library JPA Excess Funds for San Carlos
Dear M
s
.
Kleinbaum,
In accordan
ce with the Library JPA Agreement
, and as approved by the Library JPA Governing
Board, at the end of each fiscal year, funds in excess of the amount required to operate a community library
are distribute
d and held by
the Library JPA
in separate trust f
unds.
The funds are
segregated from the Library’s general operating budget where they accrue interest. Excess funds
remaining in accounts currently held by a member city are depleted first before accessing any funds held by the Library JPA.
Library Trust funds represent County Free Library revenue set aside and restricted per the terms of the Library JPA Agreement and State law.
A summary of the FY 20
2 5
-
2 6
Library JPA property tax revenue attributed to parcels located within the boundaries of the
City of San Carlos
and library operating expenses are outlined below:
Total Revenue: County Free Library Property Taxes and Excess ERAF 7,052,190
Total Expenses:
San Carlos Library
-
Direct and Indirect Operating Costs
(
6,092,388
)
FY 202
5 -
2 6
Excess
Funds Set Aside in the Library JPA
San Carlo
s Library Trust
$959,801
The total amount held in the Library JPA
San Carlos Library Trust as of June 30, 202
6 is
$
2,581,413.05
.
Member cities may propose uses for restricted funds for FY 202 6 -
2 7
to be considered for approval
by the JPA Governing Board at their September meeting.
The FY 202
5 -
2 6
excess funds
in the amount of $
959,801
are subject to the 50
-
50 split provision in
the Library JPA Agreement.
All FY 202
6 -
2 7
approved uses that are expended or encumbered in FY
202
6 -
2 7
will
not be subject
to
the split
applied at the end of
the year
.
Please contact me if you have questions.
Sincerely,
Anne
-
Marie Despain
Director
of Library Services
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25 Library
Public Works No
Alex Tat Cost of Deferred Maintenance
Library 2
Appropriations
Total Approved
Budget Total Spent
Adopted
2025-26
Proposed
2026-27
Requested
2027-28
Requested
2028-29
Requested
2029-30
Total Project
Funding
Expenses -$ -$ -$ -$ -$ -$ -$ -$ New request - - - 150,000 - - - 150,000 Total -$ -$ -$ 150,000$ -$ -$ -$ 150,000$ Fund Financing Sources
SMC Library Funding -$ -$ -$ 112,500$ -$ -$ -$ 112,500$ Total -$ -$ -$ 112,500$ -$ -$ -$ 112,500$ Total Capital Project
-$ -$ -$ 37,500$ -$ -$ -$ 37,500$ Climate Change Mitigation, Adaptation & Resilience
Downtown
Housing
Mobility, Traffic & Transportation Infrastructure
Northeast Area Specific Plan
Recreation Services
Capitalized Project Non-Capitalized Project
Future Impact on Operating Budget
Negatable impact.
Duration
Status
Programmed Funding
FY 2026-28
New request
X
NEW: Library Sewer Pump Station Rehabilitation
Description
This project involves replacing the existing submersible pumps, guide rail system, discharge piping, check valves, isolation valves, control panel, level sensing equipment, electrical components, and SCADA system; cleaning and coating the wet well; completing all associated installation, startup, and testing. The programmed funding includes the estimated cost of project management and engineering design services. The costs for construction, inspections and construction management services to deliver the project are not included.
Justification
The existing pumps, controls, and guide rail system are aging and exhibiting corrosion. Rehabilitating the station will improve reliability, reduce maintenance, extend the service life of the facility, and provide remote monitoring and alarm capabilities.
Category:
Location:
Strategic Plan:
Priorities:
Priority Rating:
Department:
Fund Number:
Project Manager:
Current Strategic Plan Objective
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25 Library
Public Works No
Alex Tat Cost of Deferred Maintenance
Library 2
Appropriations
Total Approved
Budget Total Spent
Adopted
2025-26
Proposed
2026-27
Requested
2027-28
Requested
2028-29
Requested
2029-30
Total Project
Funding
Expenses -$ -$ -$ -$ -$ -$ -$ -$ New request - - - 150,000 - - - 150,000 Total -$ -$ -$ 150,000$ -$ -$ -$ 150,000$ Fund Financing Sources
SMC Library Funding -$ -$ -$ 112,500$ -$ -$ -$ 112,500$ Total -$ -$ -$ 112,500$ -$ -$ -$ 112,500$ Total Capital Project
-$ -$ -$ 37,500$ -$ -$ -$ 37,500$ Climate Change Mitigation, Adaptation & Resilience
Downtown
Housing
Mobility, Traffic & Transportation Infrastructure
Northeast Area Specific Plan
Recreation Services
Capitalized Project Non-Capitalized Project
Future Impact on Operating Budget
Negatable impact.
Duration
Status
Programmed Funding
FY 2026-28
New request
X
NEW: Library Storm Pump Station Rehabilitation
Description
This project involves replacing the existing submersible pumps, guide rail system, discharge piping, check valves, isolation valves, control panel, level sensing equipment, electrical components, and SCADA system; cleaning and coating the wet well; completing all associated installation, startup, and testing. The programmed funding includes the estimated cost of project management and engineering design services. The costs for construction, inspections and construction management services to deliver the project are not included.
Justification
The existing storm pump station equipment is aging and exhibiting corrosion. Rehabilitating the station will improve reliability during storm events, extend the service life of the facility, reduce maintenance needs, and provide remote monitoring and alarm capabilities.
Category:
Location:
Strategic Plan:
Priorities:
Priority Rating:
Department:
Fund Number:
Project Manager:
Current Strategic Plan Objective
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25 Library
Public Works No
Alex Tat Cost of Deferred Maintenance
Library 1
Appropriations
Total Approved
Budget Total Spent
Adopted
2025-26
Proposed
2026-27
Requested
2027-28
Requested
2028-29
Requested
2029-30
Total Project
Funding
Expenses -$ -$ -$ -$ -$ -$ -$ -$ New request - - - 40,000 - - - 40,000 Total -$ -$ -$ 40,000$ -$ -$ -$ 40,000$ Fund Financing Sources
SMC Library Funding -$ -$ -$ 30,000$ -$ -$ -$ 30,000$ Total -$ -$ -$ 30,000$ -$ -$ -$ 30,000$ Total Capital Project
-$ -$ -$ 10,000$ -$ -$ -$ 10,000$ Climate Change Mitigation, Adaptation & Resilience
Downtown
Housing
Mobility, Traffic & Transportation Infrastructure
Northeast Area Specific Plan
Recreation Services
Capitalized Project Non-Capitalized Project
Future Impact on Operating Budget
Negatable impact.
Duration
Status
Programmed Funding
FY 2026-27
New request
X
NEW: Library Automatic Fire Sprinkler System Rehabilitation Description
This project involves replacement of the existing automatic fire sprinkler heads located within the parking garage underneath the library building, stairwell, and within the library along with the installation of a new sprinkler head escutcheon on on the first floor. The majority of the automatic sprinkler heads that need replacement are within the underground parking garage.
Justification
The existing automatic fire sprinkler system heads within the parking garage underneath the library building and stairwell are corroded. Their condition presents a risk to the reliability and performance of the fire protection system and warrants replacement.
Category:
Location:
Strategic Plan:
Priorities:
Priority Rating:
Department:
Fund Number:
Project Manager:
Current Strategic Plan Objective
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CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Adopt a Resolution Accepting the Library Building Painting Project (C2519) and Authorizing the Public Works Director to Issue and Record a Notice of Completion.
RECOMMENDATION:
Staff recommend that the City Council adopt a Resolution accepting the Library Building Painting Project (C2519) (“Project”) and authorizing the Public Works Director to issue and record a Notice of Completion.
FISCAL IMPLICATIONS:
There are no fiscal implications, and no additional funding is needed at this time.
The City Council awarded the contract to Aiden’s Quality Painting Inc. (“Contractor”) in the amount of $77,975 and authorized the expenditure of contingency in the amount of $12,000, totaling $89,975. Together with the project management costs, the total cost to complete the Project was $111,591, all of which is to be reimbursed from the Library excess trust fund. $107,891 has already been reimbursed. The remainder will be reimbursed in due course.
BACKGROUND:
Portions of the existing San Carlos Library (“Library”) building and parking lots needed repainting due to normal use and aging over time. Repainting will protect the building surfaces from environmental exposure, slow further deterioration, and refresh the overall appearance of the facility.
The scope of work included repainting the Library foyer and entry areas, including adjacent hallways leading to the restrooms and stairwells, as well as the stairwells themselves. Work also included repainting the upper-level rotunda area above the entryway and the staff hallway, including walls and structural pillars extending from the top floor to the ceiling. The project further included repainting the lower-level (underground) Library parking lot, including all wall surfaces, structural pillars, bollards, latticework, and other select areas throughout the parking lot, extending up to, but not including the ceiling. In addition, the seven existing light poles in the upper-level Library parking lot were also painted.
The project was publicly advertised on January 29, 2026, and sealed bids were opened by the City Clerk on February 17, 2026. The City Council awarded the Project to the Contractor at its meeting on March 23, 2026. The Contractor began construction on May 18, 2026. During
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construction there were four change orders totaling $12,000 for unforeseen conditions and additional work.
ANALYSIS:
The Project was completed on July 20, 2026, in accordance with the approved Project specifications. Therefore, staff recommend accepting the Library Building Painting Project (C2519) and authorizing the Public Works Director to issue and record a Notice of Completion.
ALTERNATIVES:
The alternatives available to the City Council include:
1. Adopt a Resolution accepting the Library Building Painting Project (C2519) and authorizing the Public Works Director to issue and record a Notice of Completion; or
2. Do not adopt the Resolution; or
3. Provide staff with alternative direction.
Respectfully submitted by:
Michael Runchey, Associate Engineer; and
Steven Machida, Public Works Director
Approved for submission by:
____________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. Resolution
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RESOLUTION NO. 2026 – ____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN CARLOS ACCEPTING THE LIBRARY BUILDING PAINTING PROJECT (C2519) AND AUTHORIZING THE PUBLIC WORKS DIRECTOR TO ISSUE AND RECORD A NOTICE OF COMPLETION.
WHEREAS, the Library Building Painting Project (C2519) (“Project”) was undertaken to repaint select areas of the existing San Carlos Library building and parking lots due to normal use and aging over time; and
WHEREAS, the Project included repainting the Library foyer and entry areas, including adjacent hallways leading to the restrooms and stairwells, the stairwells, the upper-level rotunda area above the entryway, and the staff hallway, including walls and structural pillars extending from the top floor to the ceiling; and
WHEREAS, the Project also included repainting the lower-level (underground) Library parking lot, including all wall surfaces, structural pillars, bollards, latticework, and other select areas throughout the parking lot, extending up to, but not including, the ceiling, as well as the seven existing light poles in the upper-level Library parking lot; and
WHEREAS, the Project was publicly advertised on January 29, 2026, and sealed bids were opened by the City Clerk on February 17, 2026; and
WHEREAS, the City Council awarded the Project to Aiden's Quality Painting Inc. (“Contractor”) at its meeting on March 23, 2026; and
WHEREAS, the Contractor began construction of the Project on May 18, 2026; and
WHEREAS, construction was completed on July 20, 2026, in accordance with the approved Project specifications; and
WHEREAS, staff recommend accepting the Library Building Painting Project (C2519) and authorizing the Public Works Director to issue and record a Notice of Completion.
NOW, THEREFORE BE IT RESOLVED, that the San Carlos City Council hereby accepts the Library Building Painting Project (C2519) and authorizes the Public Works Director to issue and record a Notice of Completion.
* * * * *
I, City Clerk Crystal Mui, hereby certify that the foregoing Resolution was duly and regularly passed and adopted by the City Council of the City of San Carlos at a scheduled meeting thereof held on the 24th day of August 2026, by the following vote:
AYES, COUNCILMEMBERS:
NOES, COUNCILMEMBERS:
ABSENT, COUNCILMEMBERS:
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________________________________
CITY CLERK of the City of San Carlos
APPROVED:
___________________________
MAYOR of the City of San Carlos
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2 3
CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Consideration of Adopting a Resolution Authorizing Adjustments to the Cost-of-Services Schedule for Field Use Fees for Fiscal Year 2026-27.
RECOMMENDATION:
Staff recommend that the City Council adopt a Resolution authorizing adjustments to the City of San Carlos Cost-of-Services Schedule (“User Fees”) for field use fees for fiscal year (FY) 2026-
27. FISCAL IMPLICATIONS:
If adopted, the updated user fees will result in a reduction of gross revenue collected for field use fees estimated at $100,000 annually. Any future project to replace the turf at Highlands Park will need to be subsidized by General Capital Fund (“Fund 25”) fund balance or other sources.
BACKGROUND:
In 2010, the City Council approved a new per player Field Use Fee charged to youth sports organization user groups. At the time, the fee was set up in a restricted account and was based off of the 10-year replacement cost of the Highlands Park synthetic turf field. In 2021, Highlands Park synthetic field underwent its first replacement as it had reached the end of its lifespan. The Highlands Turf restricted fund balance at the time was approximately $1 million and the total cost of the project was $1.3 million. Funds from the General Capital Fund were used to cover the gap of the total project cost.
As part of each comprehensive fee analysis conducted by the City every five years, the fee is assessed and adjusted, as necessary. In 2022, when the last comprehensive fee study was completed, the per player field use fee increased from $38 for baseball and softball and $52 for soccer to $86 for all user groups as the turf replacement cost is projected to be $2 million in 2031.
The increase was spread over a two-year period to allow the organizations to plan financially for the increase through their registration fees.
Fees for use of school district fields are also charged to youth sports organizations by the San Carlos School District (SCCD) to cover eighty percent of the contract maintenance services for school fields. Prior to 2025, SCCD collected these fees from user groups. Following the approval of the Joint Use Agreement in 2025, the City began collecting the District fees for the 2025-26 school year in the amount of $34 per player.
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Additionally, all user groups are responsible for paying for field light use when needed for practices or games. The field light fee is currently $33 per hour, per field. Field lights are available at Burton Park, as well as Highlands Park synthetic turf field and upper Stadium Field.
At the April 27, 2026 City Council meeting, staff presented updates to the field use fee structure for the Council to consider with the City’s Cost of Services fee schedule adjustments. However, Council direction at that meeting was for Parks and Recreation staff to return at a future Council meeting with additional options for a new field use fee as there were concerns with the level of the current fee.
ANALYSIS:
In recent months, staff have heard growing concerns from user groups that field use fees are becoming prohibitive to their organizations, particularly the recreation and volunteer-based organizations which include Little League, Youth Softball and AYSO. Specifically, organizations have shared they continue to see overall rising costs associated with running youth leagues and the current fees are impacting other needs.
In review of neighboring cities including Belmont, Burlingame, Millbrae, and Redwood City, staff found that youth sports user fees are set up in several different models, most often a per player fee and/or hourly field rental fees. Fees can include a resident rate and a higher non-resident rate if a sports organization does not meet a minimum residency requirement. Some cities use both a per player and an hourly rate fee structure. These different fee models make it difficult to compare San Carlos’ current fee structure in an equivalent comparison with other cities.
The following table shows a breakdown of resident and/or non-resident per player field use fees, rounded to the nearest dollar, for each respective city from their fee schedules. As shown in the table, the current San Carlos fee if significantly higher than the fees charged by the other comparison cities for resident players.
City Resident Per Player
Fee
Non-Resident Per
Player Fee
Belmont $32 $56
Burlingame $25 $110
Millbrae $31 $40
Redwood City $20 $40
San Carlos $86 $86
Staff met with the City Council subcommittee in July to discuss field use fees and they recommended reducing the fees by 50% for recreation and volunteer-based youth sports organizations and reducing fees by 25% for club organizations, as defined in the City of San Carlos Field Use Policy. It was also recommended to reduce the field light fee for user groups.
The chart below outlines the current and proposed fees following the City Council subcommittee meeting:
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User Group Current Fee Proposed Fee
Recreation Sports Organizations
(San Carlos non-profit)
$86 per player $43 per player
Club Sports Organizations (San
Carlos non-profit)
$86 per player $65 per player
Light Fee $33 per hour $16 per hour
The School District also explored ways to lower per-player fees for the use of school fields. To do this, the District requested a reduced scope of field maintenance, which reduced the overall annual cost. Because user fees are based off of 80% of maintenance costs, the change will reduce the school field fees from $34 per player to $22 per player.
Staff presented these updates at the Parks, Recreation and Culture Commission meeting on August 5, 2026. While the update primarily includes reducing fees, it also modifies the proposed allocation of the fees. Currently, fees are retained in a restricted CIP fund for turf replacement costs. Staff recommend instead reserving fees collected in a general field maintenance fund which can be used for a field renovation project at any City field and is not restricted to Highlands Park synthetic turf. Commissioners discussed regional fee comparisons, impacts on families, and overall budget considerations. Following their discussion, the Parks, Recreation and Culture Commission unanimously recommended to City Council the proposed updates to the field use fees.
While the updated field use fee is expected to reduce annual revenue by approximately $100,000, this impact is relatively minor within the context of the City’s overall budget. Although the City continues to face a structural deficit and the loss of local Vehicle License Fee (VLF) funding, this revenue reduction represents a manageable amount for the organization to absorb and will support the on-going operations of the recreation and volunteer-based youth sport organizations.
ALTERNATIVES:
The alternatives available to the City Council include:
1. Adopt a Resolution authorizing adjustments to the City of San Carlos Cost-of-Services Schedule for Field Use Fees for FY 2026-27; or
2. Do not adopt the Resolution; or
3. Provide staff with direction.
Respectfully submitted by:
Amy Newby, Parks & Recreation Director
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Approved for submission by:
____________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. Resolution
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RESOLUTION NO. 2026 – ____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN CARLOS AUTHORIZING ADJUSTMENTS TO THE COST-OF-SERVICES SCHEDULE (“USER FEES”) FOR FIELD USE FEES FOR FISCAL YEAR 2026-27.
WHEREAS, in 2010 the City Council established a per player Field Use Fee for youth sports organizations where revenue collected was placed into a restricted fund dedicated to Highlands Park synthetic turf replacement and maintenance-related project costs; and
WHEREAS, following the comprehensive fee study conducted in 2022 assessed the per player fee at $86 for all youth sports organizations based on projected turf replacement costs in 2031; and
WHEREAS, in recent months, staff have received increasing feedback from youth sports organizations, particularly volunteer and recreation-based organizations such as Little League, Youth Softball, and AYSO, sharing that field use fees have become prohibitive and significantly impacts their annual budgets; and
WHEREAS, and a review of neighboring cities shows a wide range of fee models, making exact comparisons difficult, but indicating that San Carlos’ fees are higher than several nearby jurisdictions; and
WHEREAS, the City Council Subcommittee met in July 2026 and recommended reducing field use fees by 50% for San Carlos-based recreation and volunteer-run sports organizations and reducing field use fees by 25% for San Carlos-based club sports organizations as defined in the City of San Carlos Field Use Policy, as well as reducing the hourly field light fee; and WHEREAS, the Parks, Recreation and Culture Commission unanimously recommended the proposed adjustments at its August 5, 2026 meeting, including a change in financial practice to reserve collected fees in a general field maintenance fund for maintenance and capital projects for any City-owned field; and
WHEREAS, the proposed fee adjustments are expected to reduce annual revenue by approximately $100,000, an amount that has been determined to be manageable within the City’s overall budget; and
WHEREAS, the School District reduced the scope of field maintenance resulting in a reduction of per player fees.
NOW, THEREFORE BE IT RESOLVED, that the San Carlos City Council hereby authorizes the following adjustments to the Cost-of-Services Schedule for Field Use Fees for fiscal year 2026–27:
User Group Fee
Recreation Sports Organizations
(San Carlos non-profit)
$43 per player
Club Sports Organizations (San
Carlos non-profit)
$65 per player
Light Fee $16 per hour
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All collected field use fees shall be held in a general field maintenance fund to support maintenance or renovation of any City-owned field.
School District Maintenance Fee $22 per player
* * * * *
I, City Clerk Crystal Mui, hereby certify that the foregoing Resolution was duly and regularly passed and adopted by the City Council of the City of San Carlos at a scheduled meeting thereof held on the 24th day of August 2026, by the following vote:
________________________________
CITY CLERK of the City of San Carlos
APPROVED:
___________________________
MAYOR of the City of San Carlos
AYES, COUNCILMEMBERS:
NOES, COUNCILMEMBERS:
ABSENT, COUNCILMEMBERS:
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CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Receive a Report and Provide Direction on the Potential Regulation of Electric Bicycles and Other Electric Conveyance Devices in the City of San Carlos.
RECOMMENDATION:
Staff recommend that the City Council receive the staff report on the use of electric bicycles and other electric conveyance devices in the City of San Carlos and provide direction on options for regulation and/or education.
FISCAL IMPLICATIONS:
There are no fiscal implications associated with this report.
BACKGROUND:
The City of San Carlos has seen increased use of electric bicycle (“e-bikes”) and electric conveyance (“e-conveyance”) devices, mainly among young people. While these offer convenience and environmental benefits, unsafe operation has raised significant public safety concerns.
Enforcement and complaints to the San Carlos Police Bureau from January 2024 to August 1, 2026, include five cases involving e-bike incidents and 67 calls for service through County communications from the public.
ANALYSIS:
General Public Safety Concerns
Unsafe operations of e-bikes and e-conveyance devices can pose risks to riders, pedestrians, and motorists. Common concerns include riding at excessive speeds, riding against the flow of traffic, failing to yield to pedestrians, failing to obey traffic control devices, riding without a helmet, using handheld devices while riding, and performing dangerous or erratic maneuvers in areas where pedestrians or vehicles are present. The City’s primary concern is public safety, especially for juvenile riders, motorists, and pedestrians.
As described in the California Vehicle Code (CVC), e-bikes are bicycles with fully operative pedals and electric motors of 750 watts or less. There are three (3) classes of e-bikes:
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1) Class 1: Has a motor that assists only with human propulsion, which ceases to assist when a speed of 20 mph is reached. The motor is not capable of reaching speeds greater than 20mph.
2) Class 2: May be powered solely by electric power that ceases to assist when a speed of 20 mph is reached.
3) Class 3: Has a motor that assists only with human propulsion, which ceases to assist when a speed of 28 mph is reached. It is equipped with a speedometer.
E-bikes must disengage when the brake is applied and use a switch or mechanism that, when released, causes motor function to stop.
A person riding an e-bike is subject to CVC Article 4 of Chapter 1 of Division 11, which provides:
Not a motor vehicle; therefore, no insurance, license, or registration is required; Bicycle helmet required (Under 18 years old.);
Class 3 electric bicycle operators are required to be 16 years of age or older and wear a bicycle helmet regardless of age; and
Rider has all rights and is subject to all provisions applicable to the driver of a vehicle, such as safe vehicle operation, equipment requirements, and bicycle signals.
E-conveyance devices include motorized scooters and is defined as a two-wheeled device with handlebars, a floorboard to stand on, and is powered by an electric motor, as well as motorized boards, which are wheeled devices with floorboards designed to be stood upon when riding and are powered by an electric propulsion system.
People riding these types of motorized devices are also subject to various sections of the California Vehicle Code, including:
Use of helmets;
Proper operation requirements;
At least 16 years of age (for motorized boards); and
Maximum speed limit is 15 mph
Miniature motorcycles, also known as pocket bikes, should only operate on private property.
Moreover, the CVC considers e-motorcycles, which are able to exceed 28 mph with a throttle to be subject to the same registration and licensing requirements for gas powered motorcycles. The.
Sheriff can ticket e-motorcycles for licensing, registration and other common CVC violations.
Current E-Bike and E-Conveyance Device Use in San Carlos The use of e-bikes and other e-conveyance devices has increased significantly throughout San Carlos. These devices are commonly used for transportation, recreation, and travel to and from schools, parks, and commercial areas. Staff has observed increased ridership in residential neighborhoods, along major corridors, and near school campuses.
Although e-bikes may provide mobility benefits, many riders, particularly juveniles, may not fully understand the traffic laws, equipment requirements, or safe riding practices for using e-bikes and
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similar devices. This creates safety concerns when riders operate in traffic lanes, fail to obey traffic signals, ride against traffic, carry passengers on single-rider devices, or operate at unsafe speeds.
San Carlos Police Bureau Activity Concerning E-Bikes
Comprehensive Outreach Efforts
The San Carlos Police Bureau expanded its e-bike safety initiatives over the past year, partnering with City, County, and community stakeholders to deliver consistent and accessible messaging by developing and distributing a traffic and e-bike law reference guide to patrol personnel to ensure consistent enforcement. In the City, the Police Bureau provided education in the Community by:
Hosted a traffic safety and e-bike presentation at the San Carlos Library; Worked with City staff to produce an e-bike safety video; Created and distributed an e-bike safety pamphlet for the community; Presented to the San Carlos Planning and Traffic Commission on e-bike safety and regulations;
Developed an online e-bike safety presentation for schools and community use; and Provided briefing training to all patrol personnel on current e-bike laws and enforcement practices
Regional Coordination
The San Carlos Police Bureau is actively involved in shaping broader policy discussions by collaborating with County officials on drafting their e-bike/e-conveyance ordinance. They have also conducted outreach at San Carlos schools and throughout the County to assess usage trends and compliance, as well as safe riding practices and legal requirements. In February 2026, the Sheriff assisted in a County-wide e-bike and e-moto safety forum, focusing on education and regulatory considerations.
Incidents involving e-bikes January 2024 – August 1, 2026 5 reported cases of e-bike-related incidents;
3 e-bike complaints reported in Accela; and
67 calls for service through County Communications related to e-bikes.
Alternatives for Consideration
Staff recommend that Council consider the following options for addressing illegal or unsafe use of electric bicycles and other electric conveyance devices.
Education and Outreach
A comprehensive education campaign and awareness workshop led by the San Carlos Police Bureau in partnership with the City Manager’s Office, Community Services, the San Carlos School District, and the Sequoia Union High School District could help raise awareness of the safe and proper operation of e-bikes and other e-conveyance devices. Safety presentations and outreach materials can be directed toward students, parents and caregivers, schools, and local retailers.
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The campaign would explain e-bike classifications, e-conveyance devices, helmet requirements, safe sidewalk use, pedestrian right-of-way, and consequences for unsafe riding. Additionally, the City Manager’s Office could disseminate various Public Service Announcements to the community regarding e-bike and e-conveyance device education.
The City of San Mateo, City of Half Moon Bay, and other cities have taken this approach.
Potential Municipal Code Amendment
The County of San Mateo has recently enacted an ordinance regulating e-bikes and e- conveyance devices effective in unincorporated areas that is enforced by the Sheriff’s Office in those areas. At this time, no other City in San Mateo County has adopted an ordinance and instead rely on State law. The ordinance adds to the CVC regulation by prohibiting riding in an unsafe manner, prohibits riding of e-bikes and e-conveyances on sidewalks, and prohibits parking of the devices that block sidewalks and pedestrian paths. The cities of Danville and Dublin have similar e-bike regulations, and primarily include provisions limiting where e-bikes and e- conveyances can be ridden, such as prohibiting their use on trails and sidewalks.
A copy of the County Ordinance is attached and could be used as model to apply consistent standards in San Carlos and adjacent County areas. Because the County Ordinance was just adopted there is no data on its enforcement available at this time.
ALTERNATIVES:
The alternatives available to the City Council include:
1. Receive a report regarding electric bicycles and electric conveyances, provide direction on a preferred policy approach, and direct staff to return with ordinance amendments and/or an education and outreach plan for the City Council’s consideration; or
2. Provide staff with alternative direction.
Respectfully submitted by:
Gregory Rubens, City Attorney
Approved for submission by:
____________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. County of San Mateo Ordinance Amending Chapter 7.80 of the San Mateo County Ordinance Code to Add Provisions Related to “Electric Micromobility Devices”
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ORDINANCE NO. .
BOARD OF SUPERVISORS, COUNTY OF SAN MATEO, STATE OF CALIFORNIA * * * * * *
ORDINANCE AMENDING CHAPTER 7.80 OF THE SAN MATEO COUNTY
ORDINANCE CODE TO ADD PROVISIONS RELATED TO
“ELECTRIC MICROMOBILITY DEVICES”
______________________________________________________________ The Board of Supervisors of the County of San Mateo ordains as follows:
SECTION 1. Chapter 7.80 “Bicycles” of the San Mateo County Ordinance Code is amended in its entirety, as follows:
Chapter 7.80 – BICYCLES AND E-MICROMOBILITY DEVICES
7.80.000 – Findings
WHEREAS, the use of Electric Bicycles, as defined herein, and other electric mobility devices in unincorporated San Mateo County has proliferated; and WHEREAS, the California Vehicle Code, as it may be amended from time to time, regulates the operation of Electric Bicycles and other electric mobility devices, and the Sheriff’s Office enforces those provisions, including through enforcement of the following violations of State law:
(a) Failing to obey all traffic laws , as required by California Vehicle Code Section 21200; and
(b) Riding on a public street or bikeway against the flow of traffic , in violation of California Vehicle Code Section 21650.1; and
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(c) Not yielding to vehicles or pedestrians when required by law, including pursuant to California Vehicle Code Section 21952; and
(d) Not yielding the right -of-way to all vehicles, Bicycles, or E -Micromobility Devices on the roadway or Bicycle Lane when entering the lane from a public or private property, or an alley, as required by California Vehicle Code Section 21800 et seq.; and
(e) Stopping, parking, or leaving an E -Micromobility Device in front of a public or private driveway, in violation of California Vehicle Code Section 22500(e); and (f) Operating or riding on an E-Micromobility Device without a properly fitted and fastened helmet when the operator or rider is under the age of eighteen years old, as required by California Vehicle Code Section 21212; and (g) Operating a Motorized Scooter without the valid driver’s license or instruction permit required by California Vehicle Code Section 21235(d); and (h) Operating an Electric Bicycle at a speed greater than is reasonable and prudent under conditions then existing, taking into account the weather, pedestrian and vehicular traffic, and the surface and width of the roadway, as required by California Vehicle Code Section 22350; and
(i) Operating an Electric Bicycle in an unsafe manner, including in violation of the “rules of the road” pursuant to California Vehicle Code Section 21200, in willful or wanton disregard for the safety of persons (including passengers) or
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property in violation of California Vehicle Code Section 23103, and by engaging in a speed contest or exhibition of speed in violation of California Vehicle Code Section 23109; and
(j) Carrying any package, bundle, or article that prevents the operator from keeping at least one hand upon the handlebars of an Electric Bicycle, Motorized Bicycle, or Motorized Scooter in violation of California Vehicle Code Section s 21205 and 21235; and
(k) Operating a motor vehicle while holding or touching a cell phone in violation of California Vehicle Code Sections 23123 and 23123.5; and (l) Operating a Bicycle or Electric Bicycle while wearing a headset covering, earplugs in, or earphones resting on, or inserted in, both ears in violation of California Vehicle Code Section 27400; and
(m) Failing to ride as close as practicable to the right -hand curb or edge of the roadway, or in the bicycle lane where one is established , in violation of California Vehicle Code Sections 21202 and 21208 , except under any of the following circumstances:
1. When overtaking and passing another Bicycle, E-Micromobility Device, or vehicle proceeding in the same direction.
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2. When preparing for a left turn , when the movement can be made with reasonable safety and then only after giving an appropriate signal in the manner required by law; and
3. When reasonably necessary to avoid conditions (including, but not limited to, fixed or moving objects, vehicles, E -Micromobility Device , Bicycles, pedestrians, animals, surface hazards, or narrow width lanes) that make it unsafe to continue along the right-hand curb or edge; and
4. When operating as close as practicable to the left-hand curb or edge of the roadway on a one-way street; and
(n) Operating a motor vehicle, including an electric motorcycle , motorcycle, motorized bicycle or moped, or off-highway motor vehicle, on public property, on a public street, public right of away, public place, or place open to the public for vehicle or pedestrian travel without the required driver’s license or DMV registration in violation of California Vehicle Code Sections 4000(a) and 12500; and
WHEREAS, the California Vehicle Code regulates the equipment required for Electric Bicycles, Motorized Bicycles, Motorized Scooters , and Electric Skateboards, and the Sheriff’s Office enforces those provisions, including requiring that:
(a) All persons wear a safety helmet when operating or riding as a passenger on a Motorized Bicycle, as required by California Vehicle Code Section 27803(a),
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and, in addition, that all persons under the age of 18 years old wear a properly fitted and fastened helmet when operating or riding as a passenger on any E- Micromobility Device on a public street, public right of away, public place, or place open to the public for vehicle and pedestrian travel , as required by California Vehicle Code Sections 21212(a) and 21235(c); and (b) All Electric Bicycles have the lights and reflectors required by California Vehicle Code Section 21201(d) and adequate brakes as required by California Vehicle Code Sections 21201(a); and
(c) All Motorized Bicycles have the equipment required by California Vehicle Code Section 24015(a), (b), including, without limitation, adequate brakes; and (d) All Motorized Scooters have the lights and reflectors required by California Vehicle Code Sections 21223 and the equipment required by California Vehicle Code Section 21235, including without limitation, adequate brakes; and (e) All Electric Skateboards have the lights and reflectors required by California Vehicle Code Section 21293; and
WHEREAS, various provisions of State law impose liability on parents for the actions of their children, including:
(a) Causing or knowingly allowing their child to operate a motor vehicle without the required license pursuant to California Vehicle Code Section 14607; and
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(b) Placing their child in a situation where their person or health is endangered pursuant to California Penal Code Section 273a; and
(c) Willful misconduct of a minor that results in injury or death to another or injury to property is imputed to the parent for purposes o f civil damages pursuant to California Civil Code Section 1714.1; and
WHEREAS, the San Mateo County Sheriff’s Office enforces the requirements of the California Vehicle Code in the unincorporated area of the County and imposes the fines and penalties provided for therein; and
WHEREAS, the State has authorized local regulation in specified areas, including regulation of Electric Bicycles and Motorized Scooter s on sidewalks and bicycle facilities and parking of such devices; and
WHEREAS, in light of the foregoing, the Board of Supervisors wishes to clarify its enforcement practices with respect to E -Micromobility Devices and the Board of Supervisors hereby exercises its authority under Vehicle Code Section s 21100, 21206, and 21225 and its police powers to adopt the following local regulations.
7.80.010 – Definitions.
For the purposes of this Chapter, the following words and phrases are defined as follows:
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(a) “Bicycle” has the same meaning as set forth in California Vehicle Code Section 231, as it may be amended from time to time.
(b) “Bicycle Lane” has the same meaning as set forth in California Streets and Highways Code Section 890.4, as it may be amended from time to time. (c) “Bicycle Path or Bicycle Trail” has the same meaning as set forth in California Vehicle Code Section 231.5, as it may be amended from time to time. (d) “Electric Bicycle” has the same meaning as set forth in California Vehicle Code Section 312.5, as it may be amended from time to time. As described in Section 312.5(d), a vehicle that is intended by the manufacturer to be modifiable, or is modified, for excess speed (greater than 20 miles per hour on motor power alone) or power (greater than 750 watts) , or is modified to remove operable pedals, is not an Electric Bicycle. Electric Bicycles are sometimes referred to as “e-bikes.”
(e) “E-Micromobility Device ” means any Electric Bicycle, Electric Skateboard, Motorized Bicycle, or Motorized Scooter.
(f) “Electric Skateboard” means a device that has a floorboard that is designed to be stood upon when riding that is powered by an electric motor , defined in California Vehicle Code Section 313.5 as an “electrically motorized board,” and may include an electric unicycle.
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(g) “Illegal Motorcycle” means an electrically-powered motor vehicle resembling a bicycle, motorized bicycle, or motorcycle that, while on a public street, does not satisfy the requirements set forth in California Vehicle Code Sections 312.5(a)– (d) (i.e., does not qualify as an Electric Bicycle) , does not satisfy the requirements set forth in California Vehicle Code Section 400, 405, or 406 (i.e., does not qualify as a motorcycle, motor -driven cycle , or Motorized Bicycle , typically because it lacks the required brakes and lighting), or qualifies as one of those vehicles but does not possess the DMV registration required by California Vehicle Code Section 4000, and therefore may not be operated on a public right of way. Electric Bicycles that qualify as either Class I, II, or III under California Vehicle Code Section 312.5 (a) -(d) are expressly not “ Illegal Motorcycles” pursuant to this ordinance.
(h) “Motorized Bicycle” or “moped” has the same meaning as set forth in California Vehicle Code Section 406, as it may be amended from time to time. (i) “Motorized Scooter” has the same meaning as set forth in California Vehicle Code Section 407.5, as it may be amended from time to time. (j) “Motor vehicle” has the same meaning as set forth in California Vehicle Code Section 415.
(k) “Pedestrian” has the same meaning as set forth in California Vehicle Code Section 467, as it may be amended from time to time.
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7.80.020 - Establishment of Bicycle Lanes.
The Director of Public Works, upon authorization from the Board of Super visors, may designate on such streets or portions of streets the existence of Bicycle Lanes as may be necessary, and shall designate said Bicycle Lanes by appropriate signs and markings giving effect to Bicycle Lanes and otherwise regulating the location and use of vehicles and Bicycles with respect to them, including but not limited to restricting parking in any Bicycle Lane.
7.80.030 – Unsafe Operation.
No person shall ride an Illegal Motorcycle on a public street, public right of way, public place, or place open to the public for vehicle or pedestrian travel. Persons riding such vehicles in a public place are subject to the additional provisions in this ordinance.
No person shall ride an E-Micromobility Device or Illegal Motorcycle in an unsafe manner on a public street, public right of way, public place, or place open to the public for vehicle or pedestrian travel.
(a) Riding in an unsafe manner means an operation in a manner that constitutes a danger to the operator, a passenger, other motorists, other riders, pedestrians, or property, under the existing circumstances.
(b) Examples of riding in an unsafe manner include, but are not limited to, the following:
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1. Operating an E-Micromobility Device or Illegal Motorcycle in a manner it was not designed for, including the carrying of passengers when the E- Micromobility Device or Illegal Motorcycle is not designed for carrying passengers.
2. Carrying any item or items while operating an E-Micromobility Device or Illegal Motorcycle which limits the operator from having full control or forward visibility or which otherwise interferes with the operation of the E-Micromobility Device or Illegal Motorcycle.
3. Performing any maneuver with an E-Micromobility Device or Illegal Motorcycle that a reasonable person would recognize could pose a danger of serious bodily injury or death to the operator or others or of damage to property including but not limited to acrobatics or trick s, wheelies, or stunts as these words are generally understoo d, when the maneuver was not necessary to prevent injury or death during the prudent operation of the E-Micromobility Device or Illegal Motorcycle.
7.80.040 – E-Micromobility Devices on Sidewalks.
No person shall ride an Illegal Motorcycle on a public street, public right of way, public place, or place open to the public for vehicle or pedestrian travel , including but not limited to sidewalks. Where riding a n E-Micromobility Device on the sidewalk is not otherwise prohibited, operators shall:
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(a) Yield the right-of-way to pedestrians and exercise due care to avoid collisions. (b) Provide a clear audible sign (e.g. bell, horn, verbal announcement) before overtaking and passing others.
(c) Travel at a speed not exceeding 5 miles per hour, reducing to walking speed or dismounting when overtaking others or when close enough to create a hazard.
7.80.050 – Parking.
No person shall leave or park an E-Micromobility Device or Illegal Motorcycle in a manner that obstructs the pedestrian travel way of any sidewalk or pedestrian path, or on public property in violation of any official sign prohibiting parking of Bicycles at a location.
7.80.060 – Enforcement.
(a) Subject to the limitations of Vehicle Code Section 40000.1, any person who violates the provisions of Sections 7.80.030, 7.80.040, 7.80.050 , or 7.80.070 shall be subject to an infraction or administrative citation as described in subsection (b) below. First responders, as defined by California Government Code Section 8562, are exempt from this Chapter while in the performance of their duties.
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(b) Administrative Fines. A violation of Sections 7.80.030, 7.80.040, 7.80.050 , or
7.80.070 is also punishable by the following:
i. An administrative fine not exceeding $50.00 for the first violation. ii. An administrative fine not exceeding $ 200.00 for a second violation within one year of the first violation.
iii. An administrative fine not exceeding $500.00 for each additional violation within one year of the first violation.
(c) Appeal. Administrative citations issued pursuant to this Chapter may be appealed according to the provisions of Sections 1.40.090 through 1.40.150 of this Code. In reviewing an appeal, the Hearing Officer shall take into consideration the person's ability to pay the fine and may reduce the fine due to financial hardship upon evidence sufficient to satisfy the Hearing Officer. The citation must include notice of the right to appeal, including the right to request an ability-to-pay determination and shall make available information regarding how to file an appeal. If a person meets the criteria described in Government Code Section 68632(a) or (b), the County will accept, in full satisfaction, 20% of the administrative fine imposed pursuant to this Section. (d) Traffic Safety Education. A minor cited for committing a violation under Sections 7.80.030, 7.80.040, 7.80.050 , or 7.80.070 for the first time in the preceding 12 month period may be allowed to participate in a program that will help facilitate education on E-Micromobility Device and bicycle safety in lieu of
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paying the applicable fine. If a minor is directed to the traffic safety education option and fails to participate in or complete the education, the minor will then be issued the applicable fine, and the parents or legal guardian(s) of that minor shall be jointly and severally liable for the fine. Both the minor and the parents or legal guardian(s) of that minor have the right to appeal the citation pursuant to Section 7.80.060(c) prior to enrolling into the education option or paying the applicable fine.
(e) Violations by Minors. With respect to minors whose activities are in violation of this Chapter and where such activities result in damage to public property, the County may, pursuant to California Civil Code Section 1714.1 , pursue a civil complaint in tort for property damage caused by such activity against the minor’s parent(s) or guardian having custody and control of the minor.
If a minor is cited or arrested for a violation of any section above, the officer may impound the E-Micromobility Device or Illegal Motorcycle to the San Mateo County Sheriff’s Office such that the E -Micromobility Device or Illegal Motorcycle may only be released to a responsible adult. The fee for release shall be consistent with the Sheriff’s Office fee schedule. E-Micromobility Devices and Illegal Motorcycle s that are impounded and retain ed by the Sheriff’s Office shall be deemed abandoned if not claimed within 90 days and may be disposed of in accordance with applicable law.
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7.80.070 – Tampering with Manufacturer Serial Number.
No person shall remove, destroy, mutilate or otherwise alter the serial number or other unique identifi er permanently stamped , cast on , or affixed by the manufacturer to the frame of an E-Micromobility Device or Illegal Motorcycle.
7.80.080 – Applicability.
Nothing in this Chapter shall apply to Pedestrians as defined in Section 7.80.010.
SECTION 2. SEVERABILITY. If any section, subsection, subdivision, paragraph, sentence, clause, phrase, or word of this Ordinance is for any reason held to be invalid or unenforceable by the decision of a court of competent jurisdiction, such invalidity or unenforceability shall not affect the validity or enforceability of the remaining sections, subsections, subdivision s, paragraph s, sentence s, clause s, phrase s, or word s of this Ordinance.
SECTION 3. EFFECTIVE DATE. This Ordinance shall take effect on January 1, 2027.
* * * * * *
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CITY COUNCIL
STAFF REPORT
MEETING DATE: August 24, 2026
ITEM TITLE: Consideration of Adopting a Resolution Adopting a Memorandum of Understanding Between the City of San Carlos and the American Local 856, Freight Checkers, Clerical Employees and Helpers Union, International Brotherhood of Teamsters ("Teamsters") Unit for the Period of September 1, 2026 through June 30, 2028.
RECOMMENDATION:
Staff recommend that the City Council adopt a Resolution adopting the Memorandum of Understanding (MOU) with the Local 856, Freight Checkers, Clerical Employees and Helpers Union, International Brotherhood of Teamsters (“Teamsters”) Unit for the period of September 1, 2026 through June 30, 2028.
FISCAL IMPLICATIONS:
There are no fiscal implications, and no additional funding is needed at this time.
The additional cost for the provisions below is $127,078 for fiscal year (FY) 2026-27 and $132,339 for FY 2027-28. Certain assumptions were presumed and included as part of the development of the Adopted FY 2025-27 Biennial budget and financial forecast.
BACKGROUND:
On August 28, 2023, the City Council approved a three-year MOU for the period of September 1, 2023 through August 31, 2026. The City’s negotiating team and Teamsters began presenting proposals to each other in late May and reached agreement on the proposed MOU in mid-August.
In accordance with the City’s Employer Employee Relations Resolution #78-18, Section 5.C, agreements reached as a result of negotiations shall be included in a MOU signed by the City Manager and the duly designated representatives of each recognized employee organization. All signed MOUs must be presented to the City Council for approval in order to be binding.
The Teamsters unit consists of 21 budgeted full-time positions. This group is comprised of maintenance workers, senior maintenance workers, and the senior mechanic.
ANALYSIS:
As of April 2026, the San Francisco Bay Area Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) is 3.3%. This is an increase from 1.7% two months prior. One of the City’s core values is to support the well-being of the employees while ensuring fiscal responsibility. The proposed increases in salary and benefits result in an overall compensation
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increase of 3.27%
City officials met and conferred in good faith with the members of the Teamsters Unit and have agreed to the terms identified in the attached MOU. These terms include the following provisions:
Term: 22 Months, September 1, 2026, through June 30, 2028 Cost of Living Adjustments: Effective September 7, 2026, increase base wage rates for all positions by three percent (3%); and effective September 6, 2027, increase base wage rates for all positions by three percent (3%)
Medical: Add language to clarify that employees who have coverage through the individual market whether or not obtained through Covered California, are not eligible for the Alternate Medical Plan;
Deferred Compensation Match: Effective September 7, 2026, the City will increase the contribution from two hundred twenty-five dollars ($225) to three hundred dollars ($300) per month
Safety Shoes: Increase the annual maximum allowance from three hundred fifty dollars ($350) to four hundred dollars ($400)
CWEA Certification: Increase the number of positions in the Senior Maintenance Worker and Maintenance Worker classifications to receive compensation for holding a State of California Water Environment Association (CWEA) certification from seven (7) to ten (10).
ALTERNATIVES:
The alternatives available to the City Council include:
1. Adopt a Resolution adopting the MOU with the Teamsters Unit for the period of September 1, 2026 through June 30, 2028; or
2. Do not adopt a Resolution; or
3. Provide staff with alternative direction.
Respectfully submitted by:
Angie Rodriguez, Human Resources Manager; and
Rebecca Mendenhall, Administrative Services Director
Approved for submission by:
__________________________________
Kathy Kleinbaum, City Manager
ATTACHMENT(S):
1. Resolution
Exhibit A to Resolution - Teamsters MOU
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RESOLUTION NO. 2026 – ____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN CARLOS
ADOPTING A MEMORANDUM OF UNDERSTANDING BETWEEN THE
CITY OF SAN CARLOS AND THE AMERICAN LOCAL 856, FREIGHT CHECKERS,
CLERICAL EMPLOYEES AND HELPERS UNION, INTERNATIONAL BROTHERHOOD OF TEAMSTERS (“TEAMSTERS”) UNIT FOR THE PERIOD OF
SEPTEMBER 1, 2026 THROUGH JUNE 30, 2028.
WHEREAS, on August 28, 2023, the City Council adopted Resolution 2023-105 adopting the Memorandum of Understanding (MOU) for the Teamsters Unit for the period of September 1, 2023 through August 31, 2026; and
WHEREAS, it is now necessary to adopt a new MOU; and
WHEREAS, City officials met and conferred in good faith with the members of the Teamsters Unit and have agreed to the terms identified in the attached MOU (Exhibit A); and WHEREAS, there are no fiscal implications, and no additional funding is needed.
NOW, THEREFORE BE IT RESOLVED, that the San Carlos City Council hereby adopts an MOU between the City of San Carlos and the Teamsters Unit for the period of September 1, 2026 through June 30, 2028.
* * * * *
I, City Clerk Crystal Mui, hereby certify that the foregoing Resolution was duly and regularly passed and adopted by the City Council of the City of San Carlos at a scheduled meeting thereof held on the 24th day of August 2026, by the following vote:
________________________________
CITY CLERK of the City of San Carlos
APPROVED:
___________________________
MAYOR of the City of San Carlos
Exhibit A – Teamsters Unit MOU
AYES, COUNCILMEMBERS:
NOES, COUNCILMEMBERS:
ABSENT, COUNCILMEMBERS:
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MEMORANDUM OF UNDERSTANDING
BETWEEN THE
CITY OF SAN CARLOS
AND THE
LOCAL 856, FREIGHT CHECKERS,
CLERICAL EMPLOYEES AND HELPERS
UNION, INTERNATIONAL BROTHERHOOD
OF TEAMSTERS
SEPTEMBER 1, 2026
THROUGH JUNE 30, 2028
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TABLE OF CONTENTS
Section 1 - Recognition ................................ ................................ ................................ .......................... 4
1.1 Union Recognition................................ ................................ ................................ ....... 4
1.2 City Recognition ................................ ................................ ................................ ......... 4 Section 2 - Union Membership ................................ ................................ ................................ .............. 4
2.1 Union Membership ................................ ................................ ................................ ..... 5
2.2 Dues Deduction ................................ ................................ ................................ ........... 5
2.3 D.R.I.V .E ................................ ................................ ................................ ..................... 5
2.4 New Employees ................................ ................................ ................................ ........... 6
2.5 Current Employees ................................ ................................ ................................ ..... 2
2.6 Membership Listing ................................ ................................ ................................ .... 6
2.7 Forfeiture of Deduction ................................ ................................ .............................. 6
2.8 Reinstatement ................................ ................................ ................................ ............. 6
2.9 Hold Harmless ................................ ................................ ................................ ............ 6 Section 3 - Use of City Facilities and Advance Notice ................................ ................................ .......... 7
3.1 Space and Equipment ................................ ................................ ................................ . 7
3.2 Bulletin Boards ................................ ................................ ................................ ........... 7
3.3 Advance Notice ................................ ................................ ................................ ........... 7 Section 4 - Union Stewards and Official Representatives ................................ ................................ .... 8
4.1 Attendance at Meetings by Employees ................................ ................................ ....... 8
4.2 Access to Work Locations ................................ ................................ ........................... 8
4.3 Union Access to New Employee Orientation. ................................ ................................ .. 8 Section 5 - No Discrimination ................................ ................................ ................................ ................ 9 Section 6 - Hours of Work ................................ ................................ ................................ ..................... 9 Section 7 - Overtime ................................ ................................ ................................ .............................. 9
7.1 Authorization ................................ ................................ ................................ .............. 9
7.2 Definition ................................ ................................ ................................ ................... 10
7.3 Call Back ................................ ................................ ................................ ................... 10
7.4 Meals on Overtime ................................ ................................ ................................ .... 10 Section 8 - On-Call ................................ ................................ ................................ .............................. 11
8.1 On-Call Duty ................................ ................................ ................................ ............. 11
8.2 On-Call Procedure ................................ ................................ ................................ .... 11 Section 9 - Salaries ................................ ................................ ................................ ............................... 12 Docusign Envelope ID: D52ECB93-1AF9-8A05-800B-7A44432C0E04
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9.1 Salary Schedule and Progression ................................ ................................ ............. 12
9.2 Qualified Applicator Certificate ................................ ................................ ............... 13
9.3 Mechanics Tool Allowance ................................ ................................ ....................... 14
9.4 Class A Commercial Driver’s License ................................ ................................ ...... 14
9.5 California Water Environment Association (CWEA) ................................ ............. 14 Section 10 - Pay for Temporary Appointment to a Higher Classification ................................ ......... 14 Section 11 - Holidays ................................ ................................ ................................ ........................... 14 Section 12 - Vacations ................................ ................................ ................................ .......................... 15
12.1 Entitlement ................................ ................................ ................................ ................ 15
12.2 Vacation Accrual ................................ ................................ ................................ ...... 16
12.3 Vacation Scheduling ................................ ................................ ................................ . 16
12.4 Vacation Cash Out ................................ ................................ ................................ .... 16 Section 13 - Sick Leave ................................ ................................ ................................ ........................ 16
13.1 Accrual ................................ ................................ ................................ ...................... 16
13.2 General ................................ ................................ ................................ ...................... 16
13.3 Usage ................................ ................................ ................................ ......................... 16
13.4 Procedures for Requesting and Approving Sick Leave ................................ ........... 17
13.5 Bereavement Leave ................................ ................................ ................................ ... 17 Section 14 - Leaves of Absence ................................ ................................ ................................ ............ 18
14.1 Job Incurred Disability Leave ................................ ................................ .................. 18
14.2 Pregnancy Disability Leave ................................ ................................ ...................... 18
14.3 Family Care Leave ................................ ................................ ................................ .... 18
14.4 Military Leave of Absence ................................ ................................ ........................ 18
14.5 Leave of Absence Without Pay ................................ ................................ ................. 19 Section 15 - Jury Duty ................................ ................................ ................................ ......................... 19 Section 16 - Hospitalization and Medical Care ................................ ................................ ................... 19
16.1 Health Plan................................ ................................ ................................ ................ 19
16.2 Domestic Partner Coverage ................................ ................................ ...................... 19
16.3 Retiree Health Plan ................................ ................................ ................................ ... 19
16.4 Section 125 Flexible Benefits Plan ................................ ................................ ............ 19
16.5 Longevity Recognition Program. ................................ ................................ .............. 20
16.6 Alternate Medical Benefit Program ................................ ................................ ......... 21
16.7 Dental Plan ................................ ................................ ................................ ................ 21
16.8 Long Term Disability ................................ ................................ ................................ 22
16.9 Life Insurance ................................ ................................ ................................ ........... 22 Docusign Envelope ID: D52ECB93-1AF9-8A05-800B-7A44432C0E04
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16.10 Vision................................ ................................ ................................ ......................... 22
16.11 State Disability Insurance. ................................ ................................ ........................ 22 Section 17 - Probationary Period ................................ ................................ ................................ ........ 22 Section 18 - Examinations ................................ ................................ ................................ ................... 23
18.1 Examination Process ................................ ................................ ................................ . 23
18.2 Promotional Examinations ................................ ................................ ....................... 23 Section 19 - Layoff and Reemployment ................................ ................................ .............................. 23 Section 20 - Disciplinary Actions................................ ................................ ................................ ......... 24 Section 21 - Grievances................................ ................................ ................................ ........................ 24
21.1 Definition ................................ ................................ ................................ ................... 24
21.2 Procedure ................................ ................................ ................................ .................. 24
21.3 Extension of Time Limits ................................ ................................ .......................... 26
21.4 Compensation Complaints................................ ................................ ........................ 26
21.5 Suspension and Discharge Grievances ................................ ................................ ..... 26
21.6 No Change in Memorandum ................................ ................................ .................... 26
21.7 No Strike ................................ ................................ ................................ ................... 27
21.8 Contracting Out, Subcontracting, and JPA's ................................ .......................... 27 Section 23 - Safety Shoes and Uniforms ................................ ................................ .............................. 28
23.1 Safety Shoes. ................................ ................................ ................................ ................. 28
23.2 Uniforms. ................................ ................................ ................................ ...................... 28 Section 24 - Labor-Management Committee ................................ ................................ ...................... 29 Section 25 - Tuition Reimbursement................................ ................................ ................................ ... 29 Section 26 - Retirement ................................ ................................ ................................ ....................... 29
26.1 Retirement Notice ................................ ................................ ................................ ..... 30
26.2 Deferred Comp Match ................................ ................................ .............................. 30 Section 27 - Severability of Provisions, Integration and Waiver ................................ ........................ 30
27.1 Severability ................................ ................................ ................................ ............... 30
27.2 Integration................................ ................................ ................................ ................. 30
27.3 Waiver Of Further Bargaining On Covered Matters ................................ .............. 31 Section 28 - Past Practices and Existing Memoranda of Understanding ................................ ........... 31
28.1 Withdrawal of Proposals ................................ ................................ .......................... 31
28.2 Past Practices ................................ ................................ ................................ ............ 31
28.3 MOU Supersedes Pre-existing Agreements................................ .............................. 31
28.4 Personnel Rules Revisions ................................ ................................ ........................ 31 Section 29 - Duration. ................................ ................................ ................................ .......................... 32 Docusign Envelope ID: D52ECB93-1AF9-8A05-800B-7A44432C0E04
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MEMORANDUM OF UNDERSTANDING
Between the
CITY OF SAN CARLOS
And
LOCAL 856, FREIGHT CHECKERS, CLERICAL EMPLOYEES
AND HELPERS UNION, IBT
This Memorandum of Understanding is entered into pursuant to the provisions of Section 3500, et. seq. of the Government Code of the State of California.
The parties have met and conferred in good faith regarding wages, hou rs and other terms and conditions of employment for the employees in said representation unit, and have freely exchanged information, opinions and proposals and have endeavored to reach agree ment on all matters relating to the e mployment conditions and e mployer-employee relations of such employees.
This Memorandum of Understanding shall be presented to the San Carlos City Council as the joint recommendation of the undersigned parties for salary and e mployee benefit adjust ments for the period specified in section 29.
Section 1 - Recognition
1.1 Union Recognition
Local 856, Freight Checkers, Clerical E mployees and Helpers Union, IBT, hereinafter referred to as the "Union," is the recogn ized employee organization for the Field Unit comprised of those classifications listed in Section 9 of this Memorandum of Understanding.
1.2 City Recognition
The City Manager, or any management representative duly authorized by the City Manager, is the representative of the City of San Carlos, hereinafter referred to as the "City" in employer-employee relations as provided in Resolution No. 77-78 adopted by the City Council on July 27, 1977.
Section 2 - Union Membership
The Union shall provide fair and non-discriminatory representation to all employees in all classes in the units for which this section is applicable regardless of whether they are members of the Union.
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2.1 Union Membership
Consistent with California Government Code Section 3500 et. seq. and the provisions of the City’s Employer -Employee Organization Relations Ordinance, employees shall have the right to form, join and participate in the activities of a recognized employee organization, free from interference and discrimination, for the purpose of representation on all matters of employer-employee relations.
Employees covered by this Memorandum of Understanding may, at their own choosing, be members of the International Brotherhood of Teamsters.
The Union shall be entitled to have authorized dues of its members deducted from their paychecks in accordance with the procedures set forth herein.
2.2 Dues Deduction
Payroll deductions for dues shall be made for each individual for whom the City has received a request in writing from the Union for the payroll deduction to be made. The Union shall notify the City of all elected and revoked dues deductions in a timely manner.
The City shall process each change in deductions within 15 days of receiving the Unions’ notification. All dues deductions shall be transmitted to the Union monthly.
All transmittal checks shall be accompanied by documentation which denotes the employee's name and amount of deduction.
The Union shall be the custodian of the “Employee Authorization for Payroll Deduction” forms.
If the City receives any questions from employees regarding union membership or dues, the City shall direct the employee to the Union. The City shall not provide advice to employees about those matters.
2.3 TEAMSTERS D.R.I.V.E. (Democrat, Republican, Independent, Voter Education) Program
The City will provide payroll deductions for those members who voluntarily elect to participate in the Teamster D .R.I.V.E. program (civic engagement for voter registration and political education).
D.R.I.V.E., or Democrat, Republican, Independent Voter Education, is the Teamsters’ political action committee. D.R.I.V.E is non -partisan and independent from any political party. D.R.I.V.E. is supported through voluntary contributions from Teamster member s.
Such donations are not U.S. Tax Deductible.
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The employer agrees to deduct from the paycheck of all employees covered by this agreement voluntary contributions to D.R.I.V.E. D.R.I.V.E shall notify the employer of the amounts designated by each contributing employee that are to be deducted from their paycheck on a weekly basis for all weeks worked. The employer shall transmit to D.R.I.V.E national headquarters on a monthly basis, in one (1) check the total amount deducted along with the name of each employee on whose behalf a deduction is made, the emp loyee’s social security number and the amount deducted from that employee’s check.
2.4 New Employees
Within thirty (30) calendar days of hiring, the City shall provide the name, job title, department, work location and telephone number, and personal cellular/home telephone number on file with the City of the new employee in this bargaining unit to the Union.
2.5 Current Employees
An employee in a position covered by this Memorandum of Understanding shall be provided by Union with an “Employee Authorization for Payroll Deduction” form.
2.6 Membership Listing
Every 120 days, the City shall produce and provide to the Union a listing of the name, job title, department, work location and telephone number, home address and telephone number, personal cellular telephone number, and address on file with the City of all represented employees.
2.7 Forfeiture of Deduction
If, after all other involuntary and insurance premium dedu ctions are made in any pay period, the balance is not sufficient to pay the deduction of Union dues, no such deduction shall be made for the current pay period.
2.8 Reinstatement
The provisions of 2.1 above shall not apply du ring periods that an e mployee is separated from the representation unit, but shall be reinstated upon the return of the employee to the representation unit. For the purpose of this section, the term separ ation includes transfer out of the representation unit, layoff, and leave of absence without pay.
2.9 Hold Harmless
The Union shall indemnify, defend, and save the City, its officers, agents and employees, harmless against any and all claims, demands, suits, orders, or judgments, or other forms of liability that arise out of or by reason of this Section, or action taken or not taken by the City under this Section, and shall promptly reimburse the City for legal fees and costs Docusign Envelope ID: D52ECB93-1AF9-8A05-800B-7A44432C0E04
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incurred by the City in responding to or defending against any claims, disputes or challenges.
The City shall promptly give written notice of any claim to the Union, shall provide any assistance that the Union may reasonably request for the defense of the claim, and the Union has the right to control the defense or settlement of the claim.
The duty to indemnify shall not apply to actions related to compliance with this section.
Section 3 - Use of City Facilities and Advance Notice
3.1 Space and Equipment
City employees or their Union representati ves may, in accordance with esta blished City policies, be granted the use of City facilities during non-work hours for meetings of City employees provided space is available.
The use of City equip ment other than ite ms nor mally used in the conduct of business meetings, such as desks, chairs, and chalkboards, is strictly prohibited, the presence of such equipment in approved City facilities notwithstanding.
3.2 Bulletin Boards
The Union may use portions of City bulletin boards under the following conditions:
A. All materials must be dated and must identify the Union that posted them.
B. Unless special arrangements are made, materials posted will be removed thirty-one (31) days after the date of posting. Materials which the Department Head considers objectionable will not be posted. In instances where the Department Head denies posting, the Union may appeal such denial to the City Manager.
C. The City reserves the right to determine where bulletin boards shall be placed and what portion of City bulletin boards are to be allocated for Union material.
D. The City shall provide a bulletin board in the employees' lunchroom to be allocated for Union material in accordance with the provisions of this Section.
3.3 Advance Notice
Except in cases of emergency, reasonable advance written notice shall be given to the Union if it is affected by any ordinance, rule, resolution or regulation directly relating to matters within the scope of representation proposed to be adopted by the City Council, by any board or commission of the City, or by any depart ment, and the Union shall be given the opportunity to meet with such body prior to adoption. In cases of emergency when the City Manage ment determines that an ordin ance, rule, res olution or regulation must be adopted immediately without prior notice or meeting with the Union, City Management Docusign Envelope ID: D52ECB93-1AF9-8A05-800B-7A44432C0E04
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shall provide such notice and opportunity to meet at the earliest practicable time following the adoption of such ordinance, rule, resolution or regulation.
Section 4 - Union Stewards and Official Representatives
4.1 Attendance at Meetings by Employees
City employees who are stewards or official representatives of the Union shall be given reasonable time off with pay to attend meetings with management representatives, or to be present at hearings where matters within the scope of representation are being considered. The use of official time for this purpose shall be reasonable and shall not interfere with the performance of City services as determined by the City. Such Union representatives may be required to submit a written request for excused absence to their respective Department Heads, with an information copy to the City Manager, at least two (2) working days prior to the scheduled meeting whenever possible. Except by mutual agreement, the number of employees excused for such purposes shall not exceed three (3).
4.2 Access to Work Locations
Reasonable access to employee work locations shall be granted officers of the Union and business agents for the purpose of processing grievances or conta cting members of the Union concerning business wit hin the scope of representation. Such officers or representatives shall not enter any work location without the consent of the City Manager or his designated representative. Prearrangements for routine contact may be made by agreement between the Union and the Depart ment Head a nd when made shall co ntinue until revoked. Access shall be restricted so as not to interfere with the normal operations of the department or with established safety or security requirements.
Solicitation of membership and activities concerned with the internal management of the Union, such as collecting dues, holding membership meetings, campaigning for office, conducting elections a nd distrib uting literat ure shall not be conducted during working hours unless approved in advance by the City Manager or his designated representative.
4.3 Union Access to New Employee Orientation.
The City will provide the Union the opportunity to access the orientation of each new City employee new to the bargaining unit for the purposes set forth in Government Code section 3555. The City will notify the Union at least ten (10) days in advance of the scheduled date, time and location of the orientation as provided in Government Codes section 3556 except that a shorter notice may be provided in a specific instance where there is an urgent need critical to the City’s operations that was not reasonably foreseeable. The Union will be granted thirty (30) minutes during the orientation to communicate with th e new employee(s) concerning the rights and obligations created by the Memorandum of Understanding, the role of the Union in negotiating and effectuating the terms of the Memorandum of Understanding, to make a presentations, present written materials, and to answer questions. The thirty (30) minute period may be extended, delayed, or rescheduled at the discretion of the City upon request from the Union . The City representative conducting the orientation may observe the Union presentation but may not speak during the Union presentation. The City will schedule the new employee to attend the Union presentation. However, the City will not compel the employee to attend the Union presentation if the employee wishes to refrain from such attendance.
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The City shall provide an adequate and reasonable amount of release time for designated officers and representatives of the Union to participate in the new employee orientations.
The City shall make available for download from its website a copy of this Agreement, the current salary schedule, and a list of all job classifications.
Section 5 - No Discrimination
There shall be no unlawful discrimination by the City or the Union against an employee because of the employee’s race, creed, color, national origin, sex, sexual orientation, age, disability, or religious or political opinion or affiliation, or because he or she engaged or refused to engage in protected union activities.
Section 6 - Hours of Work
The standard workweek for employees occupying full-time positions consists of forty (40) hours in any seven (7) day period.
The City Manager shall fix the hours of work with due regard for the convenience of the public and the laws of the State and the City.
Alternate work schedules (including 4/10 or 9/80 schedules) may be approved by the City Manager upon recommendation of the appropriate d epartment head on an individual or work group basis.
Employees assigned to an alternate 4/10 or 9/80 schedule will continue to work forty (40) hours per week. While the City is supportive of providing alternate schedules when feasible, the City shall remain open for business Monday through Friday from 8:00 AM until 5:00 PM and will continue to provide a high level of service to the citizens of San Carlos.
If it is necessary to amend shift assignments on a permanent or temporary basis, the City will meet with e mployee representatives to di scuss the new assignment a n d a l t e r n a t i v e s if appropriate. The parties will use their best efforts to find a mutually acceptable solution. However, the City reserves the right to amend both regular and/or temporary shift assignments as it deems necessary should the parties fail to reach mutual agreement as outlined above. The City will provide the Union and the effected employees with two (2) weeks advance, written notice of the effective date of any new schedule or change in assigned shift, except in the case of a bona fide emergency.
Section 7 - Overtime
7.1 Authorization
All compensable overtime must be authorized by the Department Head or designated representative in advance of being worked. If prior authorization is not feasible because of emergency conditions, a confirming authorization must be made on the next regular working day following the date on which the overtime was worked. Emergency overtime outside of the regular shift shall be assigned following the on-call procedure. Overtime worked must be in the job classification in which the person is regularly employed or in a classification for which the e mployee is aut horized higher pay for work in a higher classification.
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7.2 Definition
Any authorized ti me worked in excess of eight (8) hours in any workday and over forty (40) hours in the applicable designated FLSA workweek shall be considered overtime and shall be compensable at the rate of one and one -half (1-1/2) times the employee's regular straight -time rate of pay. Any authorized time worked in excess of twelve (12) hours shall be compensable at the rate of two (2) times the employee’s regular straight - time rate of pay. Compensatory time off may be taken in lieu of overtime payment. For purposes of Section 7, Overtime, and any applicable state or federal law, “time worked”, with the exception of paid or unpaid sick leave , includes time in paid status but not worked (e.g. vacation, holiday, disability, or other leave or compensatory time off are considered “time worked”).
Compensatory time off shall be at a time mutually agreeable to the employee and the Department Head. Accrued compensatory time off in excess of o n e h u n dr ed t wen t y ( 1 2 0) hours in a calendar year shall be liquidated by monetary payment to the employee in the month of October.
7.3 Call Back
An employee recalled to work outside of and not continuous with regularly scheduled hours shall be compensated a minimum of three (3) hours at the overtime rate.
For the purpose of this Section 7.3, pay for call-back shall begin from the time the employee leaves his/her residence to report for work and shall end at the time the employee returns to his/her residence. Such travel time shall not exceed fifteen (15) minutes when reporting to work and fifteen (15) minutes after the work period.
When an employee is called back to work more than once during the initial three (3) hour period, such employee will be compensated for the additional call-back for another three (3) hours at the overtime rate with the following limitation: the City’s maximum payment for compensation for multiple call-backs that occur within the initial three (3) hour period will not exceed an aggregate of four thousand dollars ($4,000), for the entire unit, annually.
Once the four thousand dollars ($4,000) maximum has been met, employees who are called back to work will be paid three (3) hours minimum call-back pay and are not eligible for additional minimum call-back pay until the end of the initial three (3) hour minimum period.
7.4 Meals on Overtime
In the event an employee(s) is required to work more than four (4) consecutive hours of overtime within their regularly assigned work week (12 Midnight the morning before their first scheduled day to 12 midnight the evening after their last scheduled day) or in the event an employee(s) works eight (8) consecutive hours of unscheduled overtime outside of their regular work week, they shall be provided with a meal or reimbursement of up to Ten Dollars ($10.00). The Public Works Super visor or designee shall make a determination as to whether a meal will be provided by the City or whether the employee will be temporarily released to get a meal.
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Section 8 - On-Call
8.1 On-Call Duty
Effective following the date this MOU is adopted by the Council , either two (2) hours compensatory time off or two (2) hours pay at the straight -time rate, at the option of the employee, shall be granted to employees required to be in an "on-call" status during the period that begins with the end of the workday Monday and ends at the beginning of the next work day.
Either three (3) hours' compensatory time off or three (3) hours' pay at the straight-time rate, at the option of the employee, shall be granted to employees required to be in an "on-call" status during the period that begins with the start of the workday Saturday and ends at the beginning of the workday on Monday.
Either four (4) hours' compensatory time off or four (4) hours' pay at the straight-time rate, at the option of the employee, shall be granted employees required to be in an "on- call" status on the fixed holidays recognized in Section 11 of this Memorandum of Understanding.
Employees designated to be on-call on Christmas Eve, New Year’s Eve or Easter Sunday, shall receive three (3) hours of compensatory time or three (3) hours’ pay at straight-time.
8.2 On-Call Procedure
The following procedure shall be followed for assigning employees to on-call status:
All trained employees shall be placed on an on -call list. Names on this list shall advance one position toward the top during each succeeding on-call period, with the top name from the last period going to the bottom of the list.
One week prior to the on-call scheduling period, starting with the first name on the on-call list, the Public Works Superintendent or Parks Superintendent, whichever applies, or designee shall circulate the on-call schedule sign-up sheet among the employees on the list. Each employee shall be allowed to volunteer for any desired shifts during the scheduling period, and shall indicate such desire by writing his/her name beside the shift(s) desired.
When the list has been circulated to all employees, the Public Works Superintendent or Parks Superintendent, whichever applies, or designee sha ll be responsible to assign employees to any un filled shifts. Employees will be as signed based on those e mployees who have served the fewest on-call shifts in the previous nine (9) on-call scheduling periods, provided no employee will be assigned who was on paid leave, except sick leave, for either of days on which the sign-up sheets for the nine (9) previous periods were circulated; and should the unfilled shift fall on a designated holiday, the employee who has served the fewest on-call shifts in the previous nine (9) on-call scheduling periods shall be assigned.
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If an employee who is scheduled to serve in on-call status reports in sick during the regular workweek Monday through Friday, t he Public Works Superintendent or Parks Superintendent, whichever applies, or designee shall first ask for volunteers to fill the vacant shift; if there are no volunteers, he shall assign an employee as outlined above.
If an employee who is scheduled to serve in on-call status reports in sick for a weekend shift, the City Dispatcher shall, as calls come in requiring the services of a Maintenance Worker, call down the on-call list until an employee volunteers to respond to such call.
An employee who responds to any such call sha ll be entitled only to pay for that call -out according to the provisions of the Me morandum of Understanding, a nd not to o n-call compensation for that shift; provided, however, that should an employee reached for such on-call volunteer to be available for all calls for that shift, and provided such employee contacts the Public Works Superintendent or Parks Superinte ndent, whichever applies, or designee and gains permission, the employee shall be entitled to on-call compensation for that shift. In such instances, the employee must contact the Communications Dispatch Center to inform them that he/she has been assigned on-call for that shift.
Employees must respond to emergency calls within forty-five (45) minutes from the time the call was received. Response is defined as arriving at the San Carlos Corporation Yard within forty-five (45) minutes from the time of the call.
Section 9 - Salaries
9.1 Salary Schedule and Progression
Effective the first day of the first full pay period after September 1, 202 6 or the first day of the first full pay period beginning after the successor MOU is adopted by the City Council and signed by the parties , whichever is later, base salary rates under this Memorandum of Understanding shall be increased by an amount equal to three percent (3.0%) of the base salary rates in effect August 31, 2026. The salary rates for all classifications before and after the various adjustment dates set forth in this subsection
9.1 are listed on “Appendix A” of this Memorandum of Understanding.
Effective the first day of the first pay period beginning after September 1, 2027 base salary rates under this Memorandum of Understanding shall be increased by an amount equal to three percent (3.0%) of the base salary rates in effect August 31, 2027. The salary rates for all classifications before and after the various adjustment dates set forth in this paragraph are listed on “Appendix A” of this Memorandum of Understanding.
Except as herein otherwise provided, the entrance salary for a new employee entering City service shall be the minimum salary for the c lass to which appointed. When circumstances warrant, the City Manager, or d esignee, may approve an entrance salary, which is more than the minimum salary. The City Manager's or designee's decision shall be final. Such a salary may not be more than the maximum salary for the class to which that employee is appointed.
No increase in salary shall be automatic merely upon completion of a specified period of service. All incr eases shall be b ased on merit as establi shed by record of the employee's performance and shall require recommendation of the Department Head and approval by the City Manager. In case of an unsatisfactory employee performance evaluation, an increase in salary may be withheld. An employee who is denied an increase in salary may Docusign Envelope ID: D52ECB93-1AF9-8A05-800B-7A44432C0E04
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discuss such denial with his/her Department Head and the City Manager. The decision of the City Manager shall be final.
An employee who does not receive a performance evaluation in a timely manner is encouraged to so inform the City's Human Resources Manager. No employee shall be discriminated against because of the exercise of rights under this Sub-Section.
If the City Manager at any time determines that it is in the City's interest, he/she may assign an employee to a higher rate within the salary range fixed for the classification. The City Manager shall regulate the accelerated advancement through the salary range steps.
An employee who has received a satisfactory rating on an employee performance evaluation shall receive increases in salary according to the following plan:
Step 2 upon completion of twelve (12) months' satisfactory service at Step
1. Step 3 upon completion of twelve (12) months' satisfactory service at Step
2. Step 4 upon completion of twelve (12) months' satisfactory service at Step
3. Step 5 upon completion of twelve (12) months' satisfactory service at Step
4. All increases or decreases in compensation that occur under this Memorandum of Understanding shall take effect at the start of the first pay period following the date of the increase or decrease.
Effective each year beginning on the first pay period of September 2023-September 2025 some positions are eligible for equity adjustments based on market comparables in the following agencies:
Burlingame, Cupertino, Foster City, Fremont, Hayward, Menlo Park, Milpitas, Mountain View, Palo Alto, Redwood City, San Mateo, Santa Clara, Sunnyvale, and Union City.
All adjustments have been incorporated into the hourly wage schedule as shown in Appendix A.
9.2 Qualified Applicator Certificate
Employees in the Senior Maintenance Worker and Senior Building Maintenance Worker classifications may be required to obtain and maintain a Qualified Applicator Certificate.
Those employees required to obtain and/or maintain a Qualified Applicator Certificate shall be compensated an additional fifty dollars ($50.00) per month. The time, training, and fees associated with the acquisition, retention and maintenance will remain the City’s expense.
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9.3 Mechanics Tool Allowance
The City of San Carlos agrees to pay the Mechanic an annual tool replacement allowance of Five Hundred Dollars ($500.00) annually. The allowance is paid on a bi -weekly basis on the regular payroll. In addition, the City will provide property liability insurance for the tools the Mechanic keeps on site for City use.
9.4 Class A Commercial Driver’s License
Employees in the Senior Maintenance Worker and Mechanic classifications may be required to obtain and/or maintain a Class A commercial driver’s license. Those employees required to obtain and/or maintain a Class A commercial driver’s license shall be comp ensated an additional one thousand dollars ($1,000.00) per year paid on a bi - weekly basis. The time, training, and fees association with the acquisition, retention and maintenance will remain at the City’s expense.
9.5 California Water Environment Association (CWEA)
The City may designate up to ten (10) total positions in the Senior Maintenance Worker and Maintenance Worker classifications to receive compensation for holding a State of California Water Environment Association (CWEA) certification. Employees in the designated positions holding any level of CWEA certification shall be compensated an additional fifty dollars ($50.00) per month per certification.
Section 10 - Pay for Temporary Appointment to a Higher Classification When an employee has been appointed temporarily to perform the work of a regular position either within or outside of the Bargaining Unit having a different classification and being paid at a higher rate, and if he/she has worked in such classification for more than four (4) consecutive workdays, including recognized City holidays, or as otherwise determined by the City Manager, he/she shall be entitled to payment at five percent (5%) above his/her regular base wage rate. In no event shall such pay exceed the maximum of the range of the classification in which the employee is temporarily assigned. Payment shall commence with the first (1st) workday and continue, including holidays, during the period of temporary assignment. Such appointment shall be in writing by the Department Head and approved by the City Manager or his designated representative.
Section 11 - Holidays
The holidays to be observed by the City are as follows:
(1) January 1 New Year's Day (2) Third Monday in January Martin Luther King, Jr. Day (3) Third Monday in February President's Day (4) Last Monday in May Memorial Day (5) June 19 Juneteenth
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(8) November 11 Veterans Day (9) Fourth Thursday in November Thanksgiving Day (10) Fourth Friday in November Day after Thanksgiving (11) December 25 Christmas Day Regular full-time employees in established positions shall be entitled to receive eight (8) hours’ pay on all the above designated holidays, provided they are in a pay status on both their regularly scheduled workdays imm ediately preceding and following the holiday. Regular part-time employees shall be entitled to holiday pay in proportion to the percentage of full-time hours worked during the bi-weekly pay period which in cludes a holiday; e.g., if a regular part-time employee works fifty percent (50%) of the full-time hours in a pay period, the e mployee shall be paid for one-half (1/2) for each holiday falling within that pay period.
If any of the above-listed holidays falls on the employee’s first regularly scheduled day off, his or her immediately preceding scheduled work day shall be celebrated as a holiday; if the holiday falls on the employee’s second or third scheduled day off, his or her next scheduled work day shall be celebrated as the holiday.
In addition to the above designated holidays, ful l-time regular e mployees shall be granted forty (40) hours of floating holiday time each year. This amount will be prorated for new employees hired during the year. Float time off is to be scheduled at a time agreeable with the Department Heads. Such time shall be arranged at least two (2) weeks in advance of the day desired by mutual agreement with the Department Heads. Unused float time is not paid off upon termination of employment nor carried forward into subsequent calendar years.
Employees assigned to work a full shift on a holiday shall be compensated for such time worked at the overtime rate and, in addition, shall either receive eight (8) hours' straight-time pay or eight (8) hours' compensatory time at the straight-time rate. The provisions of the on call and call back sections of the Memorandum of Understanding may apply when an employee works less than a full shift on a holiday.
Section 12 - Vacations
12.1 Entitlement
All employees who hold full-time, regular positions are entitled to ninety-six (96) hours vacation pay upon successful co mpletion of their first year of continuous ser vice.
Employees may take accrued vacation after the completion of six (6) consecutive months of full-time, regular service. After the fir st year, employees shall accrue vacation according to the following schedule:
Length of Service Vacation Accrual Rate
1 to 4 years 96 working hours/3.69 hours bi-weekly
5 to 10 years 128 working hours/4.92 hours bi-weekly
After 11 years 136 working hours/5.23 hours bi-weekly After 12 years 144 working hours/5.54 hours bi-weekly After 13 years 152 working hours/5.85 hours bi-weekly After 14 years 168 working hours/6.46 hours bi-weekly After 15 years 168 working hours/6.46 hours bi-weekly Docusign Envelope ID: D52ECB93-1AF9-8A05-800B-7A44432C0E04
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After 16 years 176 working hours/6.77 hours bi-weekly After 17 years 184 working hours/7.08 hours bi-weekly After 18 years 192 working hours/7.39 hours bi-weekly After 19 years 200 working hours/7.69 hours bi-weekly
12.2 Vacation Accrual
No e mployee shall be allowed to accumulate more than two (2) ti mes the a mount of vacation he or she would earn in a calendar year at his or her current rate of accrual. The City Manager may grant an exception to this policy. However, if an employee reaches the applicable accumulation ceiling, he or she shall continue to accrue vacation and the hours in excess of the accumulation ceiling as of the end of the last September pay period ending in September will be paid off in the month of October.
12.3 Vacation Scheduling
The time at which employees shall be granted vacations shall be at the discretion of the Department Head. Length of service shall be given consideration when giving preference as to vacation time.
12.4 Vacation Cash Out
An employee may make an irrevocable election to sell back to the City forty (40) hours in a calendar year of accumulated vacation at the employee’s base rate of pay.
Sell back requests must be received by Payroll no later than December 31 for the following calendar year’s elections. Elected hours not requested for distribution (sell back) by December 1 will be automatically distributed in the next pay period (sell back cannot be more than the hours available at time of distribution).
Section 13 - Sick Leave
13.1 Accrual
Employees shall accrue sick leave credit at the rate of eight (8) hours per month. Unused sick leave may be accrued without limit.
13.2 General
Employees shall not be entitled to sick leave as a matter of right, but only in accordance with the provisions of laws, Personnel Rules and Regulations and this Me morandum of Understanding.
13.3 Usage
Employees are entitled to be paid for sick leave used, to a maximum of the time accrued, under the following conditions:
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(A) The employee's illness, injury, exposure to contagious disease, or pregnancy, childbirth, or related medical conditions which incapacitates the employee from performance of duties.
(B) The employee's receipt of required medical or dental care or consultation. (C) The care of the employee's ill or injured immediate family member (as defined in Section 13.5 and applicable state law ) to a maximum of forty- eight (48) hours per calendar year.
13.4 Procedures for Requesting and Approving Sick Leave When the require ment for sick leave is kno wn to the e mployee in advance of his/her absence, the employee shall request authorization for sick leave at such time, in the manner hereinafter specified. In all other instances the employee shall notify his/her supervisor as promptly as possible by telephone or other means.
Subject to the limits of appli cable law, the Department Head, in consultation with the Human Resources Division, may require a physician's statement from an employee who applies for sick leave, or make whatever investigation into the circumstances that appear warranted before taking action on the request.
13.5 Bereavement Leave
In case of death within the immediate family of an employee, such employee shall be entitled to remain absent from duty with pay in order to attend the funeral or memorial service for a maximum of three (3) workdays. In the event an employee must travel outside the state of California and at least four hundred (400) miles, the employee shall be entitled to remain absent from duty with pay in order to attend the funeral or memorial service for a maximum of five (5) workdays.
For the purpose of this Section, immediate family is defined as husband, wife, domestic partner as defined by the State of California, father, mother, grandfather, grandmother, sister, brother, son, daughter, grandchild, mother-in-law, father -in-law, stepchild, stepmother, stepfather, or such pers on who has served in the place of the e mployee’s parent.
Such leave shall not be charged against the employee as leave without pay, nor deducted from the employee's annual leave.
Employees who qualify for three (3) paid workdays above may request up to an additional two (2) workdays for bereavement purposes. The additional time may be paid utilizing available vacation, sick, or compensatory time or taken unpaid at the employee’s discretion.
All paid and unpaid bereavement leave must be taken within three calendar months of the date of death.
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Section 14 - Leaves of Absence
14.1 Job Incurred Disability Leave
Job incurred disability leave with pay is an employee's absence from duty with pay because of disability ca used by illn ess or injury arising o ut of and in the course of his/her employment which has been declared to be compensable under the Workers' Compensation Law. Only regular or probat ionary e mployees hired on or before September 1, 20 15 occupying regular positions are eligible for job incurred disability leave with pay.
Payment of job incurred disability leave shall be at the base pay of the employee, and shall be re duced by the a mount of te mporary disability in demnity received, pursuant to Workers' Compensation Law.
In order to receive pay for job incurred disability leave an employee must submit a request on a prescribed form to the Administrative Services Director describing the illness or accident and all information required for the City Manager to evaluate the request.
The employee must attach to the request a statement from a physician certifying to the nature, extent, and probable period of illness or disability.
No job incurred disability leave with pay may be granted until after the City has declared the illness or injury to be compensable under the California Workers' Compensation Law and has accepted liability.
Eligible employees sh all be e ntitled to dis ability leave for a period of incapacity as determined by a physician, but not to exceed a maximum of thirty (30) calendar days for any one illness or injury.
14.2 Pregnancy Disability Leave
Leave from work due to pregnancy shall be provided as required by law and in accordance with existing City policy.
14.3 Family Care Leave
Family care leave is granted to an employee in accorda nce with the City's Family Care Leave Policy. The City may modify such policy from ti me to time to conform with changes in the applicable law.
14.4 Military Leave of Absence
The provisions of the Military and Veterans Code of the State of California and the Uniformed Services Employ ment and Reemployment Rights Act of 1994, as applicable, shall govern military leave of City employees.
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14.5 Leave of Absence Without Pay
Employees shall not be entitled to leaves of absence as a matter of right, but only in accordance with the provisions of law and this Memorandum of Understanding.
Absence from duty without pay for a period not exceeding fifteen (15) days for reasons satisfactory to the Department Head may be granted by the Department Head. A leave of absence without pay n ot to exceed six ( 6) months may be granted to a regular e mployee within the classified service upon the written request of the employee, the recommendation of the Department Head and with the approval of the City Manager. Such leave of absence without pay may be extended upon the recommendation of the Department Head and with the approval of the City Manager for an additional six (6) months. The total leave may not exceed one (1) year.
Section 15 - Jury Duty
An employee summoned to jury duty shall inform his supervisor and, if required to serve, may be absent from duty with full pay; provided, however, the employee must remit to the City, through the employee's Department Head, within fifteen (15) days after receipt, all fees received except those specifically allowed for mileage and expenses.
Section 16 - Hospitalization and Medical Care
16.1 Health Plan
Through August 31, 2026 the City shall contribute the minimum amount per month required by law to provide hospital and medical care benefits under the CalPERS (PEMHCA) Health Plan.
16.2 Domestic Partner Coverage
The City will provi de domestic partner medical coverage to the exte nt and in the manner which CalPERS health plan carriers allow for the domestic partner’s enrollment.
16.3 Retiree Health Plan
If an employee has worked for the City of San Carlos a minimum of ten (10) years and retires with a PERS retirement, the City will allow the retiree only to stay on the City’s dental and vision insurance plans provided the employee pays the full premium(s) plus a two percent (2%) administration fee. This option must be exercised at the time of retirement.
Through August 31, 2026 the City shall contribute the minimum amount required by law toward the monthly premium for hospital and medical care under the CalPERS (PEMHCA) Health Plan for individuals who retire from the City through CalPERS.
16.4 Section 125 Flexible Benefits Plan
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dependent care expenses, eligible uninsured medical expenses, or a combination thereof.
B. Effective upon the first day of the first pay period following adoption of this MOU by the City Council, the City shall contribute each month up to the amounts listed below, based on the employee’s level of medical plan enrollment, but not exceeding the amount charged for the plan in which the employee has enrolled, to each active employee’s section 125 Plan account.
Level of Medical Plan Enrollment Amount of Monthly City Contribution No Plan (Opt out)* $1,261.97
Employee Only $1,261.97
Employee + One $2,148.36
Employee + Two or more $2,595.81
Effective January 1, 2027 the City will increase the above contribution amounts.
The increase will be a percentage that reflects that portion of the average January 1, 202 7 combined percentage premium increase at all levels of plan enrollment for the City’s current miscellaneous employee PEMCHA plans (offered within San Mateo County) that exceeds two percent (2%). For example, if the combined average increase is ten percent (10%), the City’s contribution will increase by eight percent (8%). (In 2019, the average combined premium increase at all levels of plan enrollment for miscellaneous PEMHCA plans was 7.1%. The City’s contribution increase under this paragraph was 5.10%.)
Effective January 1, 2028 the City will increase the above contribution amounts.
The increase will be a percentage that reflects that portion of the average January 1, 2028 combined percentage premium increase at all levels of plan enrollment for the City’s current miscellaneous employee PEMCHA plans (offered within San Mateo County) that exceeds two percent (2%).
*An employee may elect to opt out of medical insurance coverage only in accordance with subsection 16.6 below. The amount shown in this table is the amount resulting from such election.
C. Any amount remaining after the employee has designated that portion of his or her 125 Plan contribution amount for the purposes described in subsection A above will be deemed forfeited.
E. Procedures for the administration of the Section 125 Plan shall be determined by the City. The City shall assume the administrative cost for the Plan.
16.5 Longevity Recognition Program.
A. Employees hired by the City before January 1, 2009 who have completed at least ten (10) years of continuous City service immediately preceding such retirement shall be eligible for a monthly payment in the amount equal to the City’s monthly Docusign Envelope ID: D52ECB93-1AF9-8A05-800B-7A44432C0E04
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employee-only contribution to the Section 125 plan pursuant to section 16.1 above following retirement and continuing until the employee’s death.
B. Employees hired by the City on or after January 1, 2009 but before March 28, 2011 who retire from the City through CalPERS who have completed at least fifteen (15) years of continuous City service immediately preceding such retirement shall be eligible for a monthly payment of three hundred fifty dollars ($350) per month following retirement and continuing until the employee’s death. This amount shall not change after retirement. The City will not make such payments for employees hired on or after March 28, 2011.
C. The City and Union have established a Voluntary Employee Benefit Association (“VEBA”) to allow payments for qualified post-employment expenses to occur on a pre-tax basis. Employees hired on or after the March 28, 2011 shall, on the first pay date following each January 1, contribute to their VEBA account accumulated vacation (that is in t heir balance and that exceeds forty (40) hours) in an amount equal in value to two hundred dollars ($200) at the time of the contribution. Such contribution shall be deducted from the employee’s vacation balance. Effective September 1, 2021, the union has elected to discontinue participation in the VEBA.
Therefore, effective September 1, 2021 employee contributions to the VEBA shall terminate.
16.6 Alternate Medical Benefit Program
Eligible employees who are covered by health insurance coverage through their spouse or other source with benefits comparable to those provided through City sponsored plans may waive coverage under the City sponsored plans. Employees who have coverage through the individual market, whether or not obtained through Covered California, are not eligible for the Alternate Medical Benefit Program. The employee shall sign a waiver form provided by the Human Resources Department. The City will pay such employee(s) an amount equal to the employee only City contribution under section 16.4 above for each month thereafter the employee continues to receive health insurance through their spouse or other source. Being covered at a later time by one of the City sponsored plans will be subject to the requirements of the health insurance provider chosen by the employee(s).
Re-enrollment in the City sponsored Cal PERS (PEMHCA) Plan is subject to the limitations/exclusions/time periods instituted by CalPERS (PEMHCA). Employees are eligible to re-enroll during the CalPERS (PEMHCA) open enrollment period. Upon the effective date of re-enrollment, payments pursuant to this subsection 16.6 cease.
16.7 Dental Plan
The City shall provide the City Dental Reimbursement Plan for eligible employees and their dependents and shall pay a maximum monthly amount of one hundred seventy -five dollars ($175.00) per month. The City may select and implement a substitute plan(s).
Any cost for the current or a substitute plan not paid by the City will be paid by the employee through payroll deduction. The Plan will pay the denti st directly and t he employee is responsible for paying any re maining balance directly to the dentist/orthodontist. The annual dental maximum benefit per covered individual is two thousand dollars ($2,000).
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16.8 Long Term Disability
The City shall continue to provide long-term disability insurance for employees in this Unit; the waiting period for long-term disability benefits shall be forty-five (45) days.
The long-term disability premium is taxed to allow the long-term disability payment to be issued on a tax-free basis.
16.9 Life Insurance
The City shall provide life insurance in the amount of Two Hundred Thousand Dollars ($200,000) for regular employees. The premium for the amount over $50,000 is subject to Federal and State taxes.
16.10 Vision
The City will contribute up to thirty dollars ($30) per month per covered employee in the Unit toward the cost of a vision plan covering the employee only. Such plan shall include annual frames, lenses, and examinations.
Employees will be permitted to enroll their dependents in the Vision Care Plan. The entire premium for the dependents’ coverage will be paid by the employee by payroll deduction at the employee’s expense at the applicable two-party or family rate then in effect ;minus the City’s contribution for the employee’s coverage.
16.11 State Disability Insurance.
The City will deduct the premiums for the State Disability Insurance (SDI) program from each employee’s paycheck and forward payment to the State.
Section 17 - Probationary Period
The probationary period shall be an essential part of the examination process, and shall be utilized for the most effective adjustment of a new employee and for the elimination of any probationary e mployee whose perfor mance is not satisfactory. The appointing authority may terminate a p robationary employee at any ti me during the probationary period without r ight of appeal in any manner and without recourse to the procedures provided in Section 21 (Grievances) hereof, except when the employee alleges and substantiat es in writing that the ter mination was due to discri mination prohibited by the City, State or Federal statutes or regulations. If discrimination is alleged, the appeal or grievance shall be decided solely on the basis of whether or not the ter mination was due to disc rimination; and unless it is deter mined that there was discrimination, the person or persons hearing the appeal or grievance shall not substitute their judgment for that of the appointing authority.
The probationary period for a new or promoted employee filling a regular position shall be twelve (12) months.
The probationary period shall include time served in a temporary appointment if the temporary employee qualified as an eligible employee and is appointed while in the temporary position.
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A probationer who is laid off during the probationary period shall, in the event of reemployment, be required to complete the balance of the probationary period.
Regular appointment of a probationary employee shall begin with the date ending the probationary period and his/her length of service shall include the probationary period.
Section 18 - Examinations
18.1 Examination Process
The selection techniques used in the examination process shall be impartial and relate to those subjects that, in the opinion of the Hu man Resources Manager, fairly measure the relative capacities of the persons examined to execute the duties and responsibilities of the class to which they seek to be appointed. Examinations shall consist of selection techniques that will test fairly the qualifications of candidates such as, but not necessarily limited to, achievement and aptitude tests, other written tests, oral interviews, performance tests, physical agility tests, evaluation of daily work perfor mance, work sa mples, pre- placement medical tests, psychological tests, successful completion of prescribed training, or any combination of these or other tests. The probationary period shall be considered as a portion of the examination process. Examinations shall be designed to provide equal opportunity to all candidates by being based on an analysis of the essential requirements of the classification, covering only factors related to such requirements.
18.2 Promotional Examinations
In order to fill a promotional position within this unit, an examination(s) will be conducted.
To be eligible to compete for a promotional position, an employee must have regular status in a lower related class.
A minimum of three (3) eligible candidates as determined by the Public Works and Parks and Recreations Directors, must be available and actually participate in the pro motional examination process in order to keep the testing “in-house”. In the event there are less than three (3) eligible employees taking the exam, the City may, at its discretion, open the exam to outside, qualified candidates who meet the eligibility criteria.
An employee failing his/her probationary period in a promotional class shall have the right to return to the classification from which he/she was promoted provided that he/she had regular status unless the City denies such return for just cause.
Selection decisions shall be made by the City based on the City’s determination of relative qualifications and merit.
Section 19 - Layoff and Reemployment
Regular employees may be laid off, without prejudice, due to lack of funds or curtailment of work.
No regular employee, however, may be separated while there are temporary employees serving in the same class or position in the City service, unless that employee has been offered the temporary work.
When a Department Head is instructed by the City Manager or the City Council to reduce the number of employees, layoff shall be made in accordance with the following rules:
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Layoffs shall be by job clas sification according to reverse order of seniority as defined by total continuous full-time City service. A regular employee working in a full-time position who accepts a r eduction to l ess than full -time but at least half-time position in the sa me classification will receive credit for such time worked on a prorated basis.
The employee to be laid off may displace the least senior employee in the lateral or next lower classification in which he or she previously held regular status provided the displaced employee has less total continuous City service.
An employee may, with the approval of the City Manager, demote or transfer to a vacant position for which he/she possesses the necessary skills.
The name of each employee laid off shall be entered on a Reemployment List in order of seniority for two (2) years.
Former employees appointed from a reemployment eligibility list shall be restored all rights accrued prior to being laid off, such as sick lea ve, vacation accrual le vel, and credit for years of service. However, such re-employed employees shall not be eligible for benefits for which they receive compensation at the time of or subsequent to the date they were laid off.
Section 20 - Disciplinary Actions
Employees who have passed probation may be suspended, reduced in pay, or discharged or demoted only for cause. Whenever an employee is required to meet with a supervisor and the employee reasonably anticipates that such meeting will involve questioning leading to disciplinary action, he/she shall be entitled to have a Steward present if he/she so requests. It is not the intention of this provision to allow the presence of a Steward during the initial discussion of an employee's performance evaluation.
Section 21 - Grievances
21.1 Definition
A grievance is any dispute which involves the interpretation or application of any provision of this Memorandum of Understanding excluding, however, those provisions of this Memorandum of Understanding which specifically provide that the decision of any City official shall be final, the interpretation or application of those provisions not being subject to the grievance procedure.
Letters of Reprimand are not subject to the grievance procedure. Letters of Reprimand will be removed from employees’ personnel files after three (3) years with no additional Letters of Reprimand regarding behavior similar to that which gave rise to the initial Letter of Reprimand. Such removal is further conditioned on the employee making a request to the Human Resources Department for such removal. If the letter is left in the file beyond the date that it qualifies for removal it will be deemed to have no standing or effect and will be disregarded.
21.2 Procedure
Grievances shall be processed in the following manner.
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STEP 1. Immediate Supervisor. A grievance may be filed by an employee in his/her own behalf, or jointly by a group of employees or by the Union.
Within ten (10) calendar days of the event giving rise to a grievance, the employee who believes he/she has a grievance may discuss his/her complaint with the immediate supervisor in the presence of a Union representative if the employee so requests. Grievances not presented within the time period shall be considered resolved. No grievance involving suspension, dismissal or demotion of an employee will be entertained unless it is filed in writing with the immediate supervisor within ten (10) calendar days of the time at which the affected employee was notified of such action.
The immediate supervisor will meet with the employee to discuss the grievance and attempt to resolve the matter. If the issue is not resolved at this level, or if the employee elects to submit the grievance directly to the Union, the matter will be taken up in the following manner.
STEP 2. Department Head. If the grievance is not resolved in Step 1, within ten (10) calendar days of the event-giving rise to a grievance, the employee or official of the Union may present the grievance in writing to the Department Head. The written grievance shall include a statement of the relevant facts, cite the specific provisions of this MOU allegedly violated, and the specific remedy sought. The Department Head shall investigate the issues, meet with the complainant and attempt to reach a satisfactory resolution of the problem. The Department Head shall respond to the grievance in writing within ten (10) calendar days from receipt of the written grievance.
STEP 3. City Manager. If the grievance is not resolved in Step 2, the employee or official of the Union may, within ten (10) calendar days from receipt of the response from the Department Head, present the grievance in writing to the City Manager. The City Manager, or a representative designated by the City M anager who shall not be the Department Head, shall investigate the merits of the complaint, meet with the complainant and, if the complainant is not the Union, meet with the officials of the Union and attempt to resolve the grievance. The City Manager shall respond to the grievance in writing within ten (10) calendar days after the conclusion of his or her investigation into the grievance, including any meeting with the Grievant.
STEP 4. Arbitration. If the grievance remains unresolved through step 3 above, either the Union or the City may require that the grievance except those specifically outlined above as to proceeding beyond Step 3, be referred to an impartial arbitrator. The arbitrator shall be selected by the parties by alternately striking names from the predetermined panel of five (5) local arbitrators. Prior to selecting an arbitrator, the Parties will determine by mutual agreement whether or not to submit the grievance to an expedited process which will provide for a bench decision and no post-hearing briefs. The fees and expenses of the arbitrator and of a Court Reporter shall be shared equally by the Union and the City.
Each party, however, shall bear the cost of its own presentation, including preparation and post-hearing briefs, if any.
Decisions of arbitrator on matters properly before them shall be final and binding on the parties hereto to the extent permitted by the laws governing General Law Cities in the State of California.
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