Agenda packet — San Clemente City Council, September 15, 2026 (part 2 of 2)

4919-2118-7692, v. 1

ORANGE COUNTY TRANSPORTATION AUTHORITY

FIRST AMENDMENT TO LICENSE AGREEMENT
This FIRST AMENDMENT TO LICENSE AGREEMENT (“First Amendment”) is made and entered into, notwithstanding the date of signatures below, as of January____, 2026, (“Effective Date”), by and between the ORANGE COUNTY TRANSPORTATION AUTHORITY ("OCTA"), a public entity, and the city of SAN CLEMENTE ("Licensee").

RECITALS

WHEREAS, OCTA and Licensee entered into that certain License Agreement dated June 20, 2023 (“License Agreement”), whereby OCTA licensed to Licensee a 2.3-mile portion of OCTA railroad right-of-way to construct the Facility defined therein, generally comprising a pedestrian walkway with associated appurtenances; and WHEREAS, the Licensee’s Facility under the Agreement and OCTA’s railroad right-ofway, including the improvements thereon, have been and may be subject to landslide damage, and OCTA and Licensee mutually agree to construct, reconstruct, and maintain improvements as part of OCTA’s Coastal Rail Stabilization Priority Project Area 3 (the “Project”); and
WHEREAS, the Project requires the construction of a catchment wall (“Catchment Wall”), a temporary soil nail wall (“Nail Wall”), a retaining wall (“Verdura Wall”), a boundary fence (“Fence”), and the reconstruction of a portion of the existing pedestrian trail; and
WHEREAS, OCTA will construct the Catchment Wall within the License Property for the purpose of protecting the integrity of OCTA’s railroad right-of-way and Licensee’s pedestrian trail and improvements thereon from potential soil movement; and WHEREAS, OCTA will construct the Verdura Wall to support the pedestrian trail and the Fence along a portion of the pedestrian trail separating the trail from the operative railroad right-of-way; and
WHEREAS, OCTA will reconstruct a designated portion of the pedestrian trail; and WHEREAS, prior to constructing the Catchment Wall, the Nail Wall must be constructed by OCTA within both the License Property and right-of-way owned by Licensee (the “Licensee ROW Area” as further defined below); and WHEREAS, OCTA will have the sole obligation and responsibility to construct the Catchment Wall, Verdura Wall, Nail Wall, and Fence and reconstruct that designated portion of the pedestrian trail, Licensee will have the sole obligation and responsibility for maintenance of the pedestrian trail, and Fence, and as well as the respective roles and obligations of each party as set forth in this First Amendment.

Attachment 2
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NOW, THEREFORE, in consideration of the promises and mutual covenants set forth in this First Amendment, inclusive of the RECITALS, OCTA and Licensee hereby agree to amend the License Agreement as follows:

1. Use of License Property and Facility
A. The portion of the pedestrian trail that is being reconstructed by OCTA is included in the definition of Facility under the License Agreement and its use falls within the License Property.

2. Wall Construction and Maintenance
A. The Catchment Wall and the Nail Wall are expressly excluded from the definition of Facility as defined in the License Agreement.

B. OCTA shall be responsible for the construction of the Catchment Wall in accordance with approved plans as provided in Exhibit A hereto which is fully incorporated herein by this reference, at OCTA’s sole expense, and upon completion OCTA shall have ownership of and all right and title to the Catchment Wall.

C. OCTA shall maintain sole responsibility for the structural integrity of the Catchment Wall, including repair and replacement as necessary, at OCTA’s sole expense, including those items designated in the Maintenance Responsibility Table attached hereto and incorporated herein as Exhibit B hereto which is fully incorporated herein by this reference. Structural integrity for purposes of this First Amendment shall mean and include measures that would be required to avoid significant avoidable harm that affects the wall's integrity or functionality and may pose a safety risk, including, but not limited to significant or deep cracks that compromise the Catchment Wall's stability, bulging, leaning, or tilting of the wall, water damage or erosion causing the wall to shift, or collapse of any section of the wall. Licensee will be responsible for maintenance required by normal wear and tear. Normal wear and tear for purposes of this First Amendment shall mean minor cracking in the surface of concrete or mortar, slight loosening of mortar or wall joints, fading or peeling sealant, and promptly patching minor surface cracks. Should soil/debris accumulation exceed the Limit Line at any time, OCTA and Licensee shall work together to engage a qualified engineer to assess the Wall condition and to address any necessary mitigation measures to maintain Catchment Wall structural integrity at OCTA’s sole cost and expense.

D. Licensee shall be solely responsible for the general aesthetic maintenance of the entire Catchment Wall consisting of cleaning and painting, and graffiti removal, at Licensee’s sole expense, including those items designated in the Maintenance Responsibility Table attached hereto and incorporated herein as Exhibit B.
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3. Nail Wall Construction and Maintenance
A. Licensee hereby grants OCTA, its agents and contractors immediate right of entry onto Licensee’s right-of-way described in Exhibit A hereto which is fully incorporated herein by this reference (“Licensee ROW Area”) for all activities related to construction of the Catchment Wall and Nail Wall (as defined below).

The right of entry onto the Licensee ROW Area shall terminate upon completion of the Catchment Wall and Nail Wall.

B. The parties agree OCTA will install the Nail Wall as shown in Exhibit A within Licensee ROW Area to stabilize the slope for construction of the Wall. Once complete, the Catchment Wall will act as the primary retaining structure for the slope, however, as the Nail Wall cannot be removed without jeopardizing slope stability, Licensee has agreed to and does hereby accept ownership and all rights and title to the Nail Wall in a “Where is, As Is” condition upon completion of the Catchment Wall. Therefore, upon completion of the Catchment Wall, OCTA will have no right, title or ownership of the Nail Wall, and will not have any further obligation or responsibility for the maintenance or removal of the Nail Wall.

C. OCTA, its agents, and contractors will cooperate with Licensee in obtaining any permits or liability insurance requirements to perform work on Licensee ROW Area or other Licensee property under this First Amendment. Licensee shall cooperate with OCTA and any third party to expedite any permits or approvals required for the work described in this First Amendment, including the Nail Wall and Catchment Wall.

4. Pedestrian Trail, Fence and Landscaping Construction and Maintenance A. The parties agree that OCTA will reconstruct a portion of the Facility, specifically, the pedestrian trail (approximately 1,400 linear feet) as shown in Exhibit A, and install the Fence as provided in Exhibit A, at OCTA’s sole expense, and upon completion Licensee shall have ownership and all right and title to the pedestrian trail and Fence except as otherwise may be provided for by the Agreement and this First Amendment.

B. Licensee acknowledges that the Fence will not meet standards established by Operators (as defined in the Agreement), specifically those established by Southern California Regional Rail Authority (“SCRRA”), and therefore, Licensee including as set forth in Section 4 below, will defend, indemnify and hold harmless OCTA, SCCRA and all other Operators for any Claim (as defined below), incident or event arising out of or relating to the Fence or its use or construction.

C. Licensee will accept responsibility for the maintenance and removal of the temporary irrigation system and landscaping between the Pedestrian Trail and the Catchment Wall within the 1,400 linear feet section depicted on Exhibit A. 146
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D. Upon completion, the reconstructed portion of the pedestrian trail and Fence shall remain the sole responsibility of Licensee as to any maintenance or repair as well as carrying out such obligations for its Facility in accordance with the terms and conditions of the Agreement and this First Amendment.

5. Indemnification
A. Licensee to OCTA. Licensee agrees to indemnify, defend and hold OCTA, Operators, including SCCRA, and its employees, officers, directors, agents and representatives and its and their respective successors and assigns (collectively, the "OCTA Indemnified Parties") harmless from and against any and all claims, damages, losses, liabilities, costs and expenses, including attorney's fees (collectively, the "Claims") for injury or damage to real, personal, tangible or intangible property, including loss of use of any OCTA property, and all Claims for bodily injury, sickness, disease, or death of any person, arising from or in any way related to (i) any act, omission or entry upon the License Property or other activity under this First Amendment by Licensee or a Licensee Party (as defined in Section 1.2 of the Agreement) (including but not limited to any Claim by any insurance company which has paid a claim and is subrogated to the rights of the claimant), (ii) any breach by Licensee or a Licensee Party of its obligations under this First Amendment or (iii) any Claim, incident or event arising out of or relating to the Fence or its use or construction; provided, however, that no indemnification shall be provided hereunder to the extent any Claim has been caused by the gross negligence or willful misconduct of OCTA Indemnified Parties. The provisions of this Section 4.A. shall survive the termination of the Agreement and this First Amendment.

B. OCTA to Licensee. OCTA agrees to indemnify, defend and hold Licensee and its employees, officers, directors, agents and representatives and its and their respective successors and assigns (collectively, the "Licensee Indemnified Parties") harmless from and against any and all claims, damages, losses, liabilities, costs and expenses, including attorney's fees (collectively, the "Claims") for injury or damage to real, personal, tangible or intangible property, including loss of use of any Licensee property, and all Claims for bodily injury, sickness, disease, or death of any person, arising from or in any way related to (i) any act, omission or entry upon the Licensee ROW Area or other activity under this First Amendment by OCTA (including but not limited to any Claim by any insurance company which has paid a claim and is subrogated to the rights of the claimant), or (ii) any breach by OCTA of its obligations under this First Amendment; provided, however, that no indemnification shall be provided hereunder to the extent any Claim has been caused by the gross negligence or willful misconduct of Licensee Indemnified Parties. The provisions of this Section

4.B. shall survive the termination of the Agreement and this First Amendment.

5. Entire Agreement. The Agreement, this First Amendment and exhibits attached thereto contain the entire agreement between the parties with respect to the subject matter contained herein and all preliminary negotiations with respect to the subject matter are merged into and incorporated in this First Amendment.

6. Conflicts in Terms. In the event of any conflict between the terms and conditions set forth in this First Amendment and other provisions of the Agreement, the terms and conditions of this First Amendment shall control.

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7. Execution in Counterparts. The parties agree that this First Amendment may be executed in counterparts, subject to exchange of signature pages, each of which shall be deemed an original and together shall constitute one and the same instrument. Facsimile signatures or signatures sent electronically in portable document format ("PDF"), or the like, shall be deemed original signatures.

8. No Other Amendments. Except as specifically set forth in this First Amendment, all provisions of the Agreement are unmodified and remain in full force and effect.

9. General Provisions. The General Provisions of the Agreement are incorporated herein by this reference and shall apply equally to this First Amendment and thus, where “Agreement” is used in such provisions it equally applies to this First Amendment.
{SIGNATURES ON FOLLOWING PAGE}
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IN WITNESS WHEREOF, the parties hereby ratify and confirm each and every provision of the Agreement and enter into this First Amendment effective as of the date set forth above.

AGREED AND ACCEPTED:

ORANGE COUNTY TRANSPORTATION AUTHORITY
By: ____________________________
James G. Beil, P.E.,
Executive Director, Capital Programs
APPROVED AS TO FORM:

By: ____________________________
James M. Donich, General Counsel

CITY OF SAN CLEMENTE
By: ____________________________
Andy Hall, City Manager
APPROVED AS TO FORM:

By: ____________________________
Elizabeth A. Michell, City Attorney
ATTEST:

By: _____________________________
Laura Campagnolo, City Clerk

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4919-2118-7692, v. 1

EXHIBIT A
[Approved Project Plans)

150
Exhibit A
On File with the City Clerk
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EXHIBIT B
[Maintenance Responsibility Table]
152
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OC-311

Page 9 of 9 ends

4919-2118-7692, v. 1

EXHIBIT C
[ENGO Design Memorandum
Landslide Debris Catchment Wall]
155

GEOTECHNICAL

ENVIRONMENTAL

WATER RESOURCES

CONSTRUCTION SERVICES

COASTAL/MARINE GEOTECHNICS
3890 Murphy Canyon Road, Suite 200 y San Diego, CA 92123 y (858) 573-6900y [email protected] www.engeo.com

DESIGN MEMORANDUM
Prepared For: George Burrough Date: November 14, 2025
Project No: 28583.000.001
Agreement No. C-5-4033
Prepared By: Kevin McFadden/JJT/CB
Project Name: CRSPP Area 3 – Catchment Wall
Subject: LANDSLIDE DEBRIS CATCHMENT WALL

INTRODUCTION
The subject project proposes to construct a landslide debris catchment wall upslope of the existing rail line between approximately Mile Post 204.07 and 204.34 in the City of San Clemente, California. This memorandum summarizes the type of events that will require maintenance, debris removal, and alternatives for how maintenance can be performed. Maintenance alternatives have been developed based on the Geotechnical Basis of Design (BOD) (ENGEO, 2025a) and the current plan set for the proposed Area 3 catchment wall provided by ENGEO (2025b) dated October 10, 2025.

REQUIRED LEVEL OF FAILURE FOR MAINTENANCE
In general, the proposed catchment wall is designed for emergency catchment up to the full height of the wall.

After an extreme catchment event, the debris collected must be removed to a certain level as the wall is not designed for long term retention of a slope at its maximum catchment height. Therefore, a permanent retention height has been established, above which maintenance or removals would be required for the wall to remain in service (ENGEO, 2025a). This upper boundary is referred to as the ‘Limit Line.’ Per the approved plan set, the Limit Line is established as 6 feet below the maximum wall retention level. Future maintenance should ensure the wall remains unobstructed above the Limit Line. This maintenance is intended to preserve the functional capacity of the wall and mitigate the risk of system overload during future extreme events (ENGEO, 2025b).

The proposed catchment wall is designed to permanently retain soil and debris below the Limit Line without the need for maintenance. Small slides that result from erosion or seismic events are generally unlikely to produce the volume of debris that extreme events produce. Therefore, small events can generally be considered within the design threshold of the wall capacity, provided debris remains below the Limit Line.

MAINTENANCE ALTERNATIVES
Given that the nature of each slide event is unique, each major event (large enough to require maintenance) would require careful consideration of its potential maintenance access. Four likely scenarios are outlined below for consideration in advance of the construction or required maintenance. ([KLELW&
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George Burrough 28583.000.001
CRSPP Area 3- Catchment Wall November 14, 2025
LANDSLIDE DEBRIS CATCHMENT WALL Page 2
CASE A – BLUFFTOP ACCESS
Large events impacting private property will likely be able to have access from the top of the slide area as properties may be damaged. Generally, large events in the catchment wall area may be similar to the slide that occurred on April 27, 2023, at Casa Romantica Cultural Center and Gardens shown in EXHIBIT 1. They are similar due to the generally well-developed residential community at the bluff top in the wall area and therefore, large slides are likely to affect residences or other private properties (illustrated with a typical cross section of the proposed wall in EXHIBIT 2). An access trail (upper left side of EXHIBIT 1) was constructed at the top of the slide area at Casa Romantica for repair operation access and therefore, Case A anticipates similar blufftop access in the case of a similar slide.

EXHIBIT 1: Access from Top of Slide Area
EXHIBIT 2: Landslide Event Impacting Private Property
157
George Burrough 28583.000.001
CRSPP Area 3- Catchment Wall November 14, 2025
LANDSLIDE DEBRIS CATCHMENT WALL Page 3
CASE B – WALL EDGE ACCESS
For slides that occur near the ends of the catchment wall (within 100 feet of each wall end or the entire southern segment of wall south of the pedestrian trail), simplest access for maintenance will likely be at-grade around the back side of the wall. This access area is shown in EXHIBIT 3 (ENGEO, 2025b). Maintenance personnel and equipment can access the ends of the wall at-grade and remove debris with suitable equipment.

EXHIBIT 3: Maintenance Access at Edge of Proposed Wall
CASE C – OVER-WALL EARTHWORK
Where slides occur near the center of the catchment wall (i.e. not near edges) but do not have private property access, such as in Case A, the newly constructed pedestrian trail shown in EXHIBIT 4. will provide an additional level of maintenance access. Maintenance equipment such as man-lifts, small cranes, clamshells, or similar, as shown in EXHIBIT 5 and EXHIBIT 6, could be provided via the pedestrian trail reaching directly over the wall.

EXHIBIT 4: Rendering of Proposed Pedestrian Path
158
George Burrough 28583.000.001
CRSPP Area 3- Catchment Wall November 14, 2025
LANDSLIDE DEBRIS CATCHMENT WALL Page 4
EXHIBIT 5: Extractor Telescopic Clamshell
(Boss, 2025)
EXHIBIT 6: Boom Crawler Crane with Clamshell
(Iron Planet, 2025)
CASE D – OVER-WALL PHYSICAL ACCESS
In the event of a worst-case scenario where the previously described maintenance alternatives are not possible, physical access can be provided over the catchment wall using manlift, small crane, or even ladder access to clear debris or establish a working pad for small equipment such as skid steers or remote controlled equipment (see EXHIBIT 7) to be placed over the wall. Earthwork may then proceed to the required maintenance level.

EXHIBIT 7: Mini Skid Steer (MK Martin, 2025)
159
George Burrough 28583.000.001
CRSPP Area 3- Catchment Wall November 14, 2025
LANDSLIDE DEBRIS CATCHMENT WALL Page 5

REFERENCES
Boss Attachments. 2025. Boss Extractor Telescopic Clamshell. Accessed from https://bossattachments.co.nz/products/boss/boss-extractor-telescopic-clamshell on October 23, 2025.

ENGEO. 2025a. CRSSP Area 3 – Catchment Wall Design Geotechnical Basis of Design. August 13, 2025.

Project No. 2858.000.001.

ENGEO. 2025b. Coastal Rail Stabilization Priority Project Area 3 – Pedestrian Trail and Catchment Wall. San Clemente, California. October 10, 2025. Project No. 2858.000.001.

Iron Planet. 2025. Insley M Lattice-Boom Crawler Crane. Accessed from https://www.ironplanet.com/forsale/Crawler-Cranes-Insley-M-Lattice-Boom-Crawler-Crane-New-Jersey/13345728 on October 23, 2025.

MK Martin. 2025. Mini Skidsteer. Access from https://www.mkminiskidsteer.com/ on October 23, 2025. 160
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910 Calle Negocio
2nd Floor
San Clemente, California
www.san-clemente.org

AGENDA REPORT

CITY OF SAN CLEMENTE

CITY COUNCIL MEETING
CITY OF SAN CLEMENTE 1
Meeting Date: September 15, 2026 Agenda Item: 11F.

Submitted By: Beaches, Parks and Recreation
Prepared By: Samantha Wylie, Beaches, Parks and Recreation Director Subject:
..titl e
CONSIDERATION OF RESOLUTION NO. 26-155, APPROVING THE PURCHASE OF

MERIDIAN VEHICLE MITIGATION SYSTEM AND AUTHORIZING A SOLE SOURCE EXEMPTION TO COMPETITIVE BIDDING UNDER THE CITY’S PURCHASING POLICY ..body
Summary:

The Fiscal Year 2026-27 Annual Budget includes $135,000 for the purchase of a portable vehicle mitigation system (aka barricade) to enhance safety and security at City special events requiring temporary street closures. Several vehicle mitigation systems were reviewed to identify a solution that would provide the necessary level of protection while remaining portable and efficient to deploy for temporary events. Based on this review, staff determined that the Meridian Vehicle Mitigation System best meets the City's safety and operational requirements.

Adoption of the proposed Resolution would authorize a sole source exemption to competitive bidding requirements pursuant to City Purchasing Policy 201-2-1 and approve the purchase of the Meridian Vehicle Mitigation System and associated equipment in an amount not to exceed $135,000.

Background:

The City hosts and supports numerous community events throughout the year that require temporary street closures and the establishment of pedestrian-only areas. These events can attract significant numbers of residents and visitors and require appropriate measures to protect event areas from unauthorized or errant vehicle intrusion.

Traditional traffic control devices are primarily intended to regulate and direct traffic and do not provide the physical vehicle mitigation capabilities available through equipment specifically designed for this purpose. Portable vehicle mitigation equipment provides an additional layer of protection while allowing the equipment to be removed and streets reopened immediately following an event.

Discussion:

Staff reviewed several available vehicle mitigation systems to identify equipment that would satisfy both the City's safety requirements and the operational demands associated with temporary street closures in different areas. The review considered vehicle mitigation capabilities, portability, ease and speed of deployment, staffing and equipment requirements, transportation and storage, cost and flexibility for use at different event locations. 179
Meeting Date: September 15, 2026 Agenda Item: 11F.

CITY OF SAN CLEMENTE 2
Following review, staff determined that the Meridian Vehicle Mitigation System provides the best combination of safety and operational functionality for the City's needs. The system can be efficiently transported and deployed, adjusted to accommodate different street closure configurations, and promptly removed following an event. These characteristics are particularly important because City special events occur at multiple locations and require equipment that can be deployed and removed within limited timeframes. The equipment will also provide the City with a reusable safety asset that can be incorporated into traffic and security plans for special events and other temporary street closures.

Sole Source Exemption
Article XI, Section A(1)(1.7) of City Purchasing Policy 201-2-1 allows for an exemption from competitive procurement requirements for qualifying sole source purchases.

Staff evaluated and considered multiple vehicle
mitigation systems and based the selection on
the identified safety and operational needs rather
than a preference for a particular manufacturer.

Through this evaluation, staff determined that the
proprietary Meridian system provides the specific
combination of vehicle mitigation performance,
portability, deployment efficiency, and
operational flexibility necessary for the City's
temporary special event operations.

As a result, staff suggests the City Council find that the Meridian Vehicle Mitigation System satisfies the requirements for a sole source purchase under City Purchasing Policy 201-2-1.

Adoption of the proposed Resolution would approve the sole source exemption based on the proprietary nature of the system and authorize the purchase in an amount not to exceed $135,000.

Considerations Identified by Staff:

The proposed purchase will provide the City with dedicated vehicle mitigation equipment that can be deployed across multiple special events and locations. Ownership of a portable system allows staff to incorporate the equipment into event-specific traffic and safety plans while maintaining flexibility to respond to varying street configurations and operational needs.

Staff also considered the practical resources required to deploy and manage the equipment. The Meridian system's portability and deployment efficiency reduce the staffing, equipment, and time necessary for setup and removal compared with other systems evaluated. These operational considerations are important given the frequency of City special events and the limited time available to establish and remove temporary street closures.

The purchase was anticipated through the Fiscal Year 2026-27 budget process and will provide a reusable asset for future City operations.
180
Meeting Date: September 15, 2026 Agenda Item: 11F.

CITY OF SAN CLEMENTE 3
Council Options:
 Adopt Resolution No. 26-155, authorizing a sole source exemption under the City’s purchasing policy and approving the purchase of the Meridian Vehicle Mitigation System and associated equipment in an amount not to exceed $135,000, as recommended by staff;  Direct staff to pursue a competitive procurement process or further evaluate alternative vehicle mitigation systems; or
 Provide alternative direction to staff.

Environmental Review/Analysis:

The proposed action is not a project subject to the California Environmental Quality Act (CEQA) because the purchase of portable safety equipment will not result in a direct or reasonably foreseeable indirect physical change in the environment.

Fiscal Impact:

The total cost of the Meridian Vehicle Mitigation System and associated equipment will not exceed $135,000. Funding for the purchase was previously approved by the City Council as part of the Fiscal Year 2026-27 Annual Budget. No additional appropriation is required.

Potential Action(s):
..recommendation
If the City Council concurs with the contents of the staff report, moving the item without modifications would result in adoption of Resolution No. 26-155, which would:

1. Authorize a sole source exemption to competitive bidding requirements pursuant to City Purchasing Policy 201-2-1 based on the proprietary nature of the Meridian Vehicle Mitigation System, which is only sold by the manufacturer; and

2. Approve the purchase of a Meridian Vehicle Mitigation System and associated equipment in an amount not to exceed $135,000.
..end
Attachment:

1. Resolution No. 26-155

2. Meridian Vehicle Mitigation System Quote

3. Sole Source Documentation
Notification:

None.
181
Attachment 1
RESOLUTION NO. 26-155

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

SAN CLEMENTE, CALIFORNIA, AUTHORIZING A SOLE

SOURCE EXEMPTION TO COMPETIVE BIDDING UNDER
THE CITY’S PURCHASING POLICY AND APPROVING THE

PURCHASE OF A MERIDIAN VEHICLE MITIGATION
SYSTEM
WHEREAS, the City of San Clemente hosts and supports numerous community and special events that require temporary street closures and the establishment of pedestrian areas; and
WHEREAS, the City has identified a need for portable vehicle mitigation equipment to enhance safety and security at special events and other temporary street closures; and WHEREAS, the City Council approved funding in the amount of $135,000 in the Fiscal Year 2026-27 Annual Budget for the purchase of a vehicle mitigation system; and WHEREAS, City staff reviewed multiple vehicle mitigation systems and evaluated their safety capabilities, portability, ease and speed of deployment, staffing and equipment requirements, transportation and storage needs, price and flexibility for use at various City locations; and
WHEREAS, based on this evaluation, staff determined that the Meridian Vehicle Mitigation System provides the combination of vehicle mitigation performance, portability, deployment efficiency, and operational flexibility necessary to meet the City's identified safety and operational requirements; and
WHEREAS, the Meridian Vehicle Mitigation System consists of proprietary equipment manufactured and sold only by Meridian Rapid Defense Group, which has provided the City with a sole source documentation letter and the system is uniquely suited to the City's identified requirements for temporary special event operations; and WHEREAS, Article XI, Section A(1)(1.7) of City Purchasing Policy 201-2-1 provides an exemption from competitive procurement requirements for qualifying sole source purchases.

NOW, THEREFORE, the City Council of the City of San Clemente does hereby find, determine and resolve as follows:

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

SECTION 2. The Meridian Vehicle Mitigation System meets the requirements for a sole source purchase pursuant to Article XI, Section A(1)(1.7) of City Purchasing Policy 201-2-1 based upon the City's identified safety and operational requirements, the proprietary characteristics of the Meridian system, and the sole source documentation 182
Resolution No. 26-155 Page 2
received from the manufacturer. The City Council hereby authorizes and approves an exemption from the applicable competitive procurement requirements of City Purchasing Policy 201-2-1 for the purchase of the Meridian Vehicle Mitigation System.

SECTION 3. The City Council hereby authorizes and approves the purchase of the Meridian Vehicle Mitigation System and associated equipment in an amount not to exceed $135,000, using funds previously appropriated in the Fiscal Year 2026-27 Annual Budget.

SECTION 4. The City Manager, or designee, is hereby authorized and directed to execute all documents and take all actions necessary and proper to complete the purchase consistent with this Resolution.

SECTION 5. The City Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions.

PASSED AND ADOPTED this _____ day of ____________________, _______.

ATTEST:
___________________________ __________________________
City Clerk of the City of Rick Loeffler, Mayor of the City San Clemente, California of San Clemente, California
183
Resolution No. 26-155 Page 3

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) §

CITY OF SAN CLEMENTE )
I, LAURA CAMPAGNOLO, City Clerk of the City of San Clemente, California, do hereby certify that Resolution No. 26-155 was adopted at a regular meeting of the City Council of the City of San Clemente held on the _______ day of _______________________, _________, by the following vote:

AYES:

NOES:

ABSENT:

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Clemente, California, this _____ day of _________________, ________.
__________________________
CITY CLERK of the City of
San Clemente, California
Approved as to form:
____________________________
Elizabeth A. Mitchell, City Attorney
184
Meridian Rapid Defense Group Sales LLC
177 E. Colorado Blvd
Suite 200
Pasadena CA 91105
United States
Quote
#QUO-S-11451
GSA Contract #47QSWA19D001F 08/24/2026
QUO-S-11451
1 of 2
Bill To Ship To
City of San Clemente
390 Avenida Pico
San Clemente CA 92672
United States
City of San Clemente
390 Avenida Pico
San Clemente CA 92672
United States
Date Expires Shipping Method Sales Rep
08/24/2026 11/23/2026 Common Carriers - Sales John O Joly Item Price Level Quantity Rate Amount
TRLKIT1000 Meridian Archer Trailer Kit 1000 1 0.00
T1000 Archer T-1000 Drop Deck Trailer GSA 1 34,247.85 $34,247.85 AB1200 Archer 1200 Barrier GSA 8 6,513.75 $52,110.00
AMHA003-2 Archer Manual Hauler 2.0 GSA 1 1,925.18 $1,925.18 AFTB001 Archer Field Tow Bar GSA 2 574.18 $1,148.36
AACN4F022 Archer Arrestor Cable – 4 ft. GSA 7 574.18 $4,019.26 RG Archer Rapid Gate Kit GSA 1 12,540.18 $12,540.18
AMB1200WS Wayfinding Frame GSA 8 574.18 $4,593.44
WF1RC Caution - Road Closed GSA 8 37.24 $297.92
WF2STP Caution - Stop GSA 8 37.24 $297.92
WF3C Caution - Caution GSA 8 37.24 $297.92
WF4PTO Caution - Pedestrian Traffic Only GSA 8 37.24 $297.92 ACP001ADA 3 Channel ADA Cable Protector (1
Piece)
GSA 14 287.09 $4,019.26
End of Group 0.00 $115,795.21
AGP001 Graphics Package GSA 8 56.94 $455.52
Subtotal $116,250.73
Shipping Cost $9,739.82
Tax (7.75%) $9,009.45
Total $135,000.00
Notes:

Meridian is offering a 6-month complementary subscription to our Vehicle Safety Mitigation Program (VSMP). Please reach out to Jeremy Gardner at [email protected] for additional information.

Payment Terms:

Due to high demand, Meridian is requesting a 50% deposit to ensure timely delivery of your product.

Attachment 2
185
Meridian Rapid Defense Group Sales LLC
177 E. Colorado Blvd
Suite 200
Pasadena CA 91105
United States
Quote
#QUO-S-11451
GSA Contract #47QSWA19D001F 08/24/2026
QUO-S-11451
2 of 2
Wire Transfer Instructions:

Meridian Rapid Defense Group Sales LLC
Account Number: 568605235
Bank Name: Chase Bank, N.A.

Wire Routing : 021000021
ACH Routing : 322271627
186
Attachment 3
187
910 Calle Negocio
2nd Floor
San Clemente, California
www.san-clemente.org

AGENDA REPORT

CITY OF SAN CLEMENTE

CITY COUNCIL MEETING
CITY OF SAN CLEMENTE 1
Meeting Date: September 15, 2026 Agenda Item: 11G.

Submitted By: Beaches, Parks and Recreation
Prepared By: Samantha Wylie, Beaches, Parks and Recreation Director Subject:
..titl e
CONSIDERATION OF ADOPTING RESOLUTION NO. 26-156, AWARDING A REVOCABLE LICENSE AGREEMENT TO INTRODUCTIONS UNLIMITED, INC. FOR THE OPERATION AND MANAGEMENT OF THE SAN CLEMENTE CERTIFIED FARMERS’ MARKET, AUTHORIZING

THE CITY MANAGER TO EXECUTE THE AGREEMENT AND FINDING THE ACTION CATEGORICALLY EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT ..body Summary:

The City has completed a competitive Request for Proposals (RFP) process for the continued operation and management of the San Clemente Certified Farmers’ Market. Four proposals were received and evaluated, and all four proposers participated in interviews with the City's evaluation panel. Following the evaluation process, Introductions Unlimited, Inc., the City's current market operator, was identified as the preferred proposer based on overall qualifications, demonstrated ability to successfully operate the market, established vendor relationships, local knowledge and community ties, and its financial proposal.

Staff subsequently negotiated a new Revocable License Agreement that maintains continuity of the longstanding Sunday Certified Farmers' Market while establishing enhanced City oversight, financial transparency, vendor development requirements, community engagement, and operational accountability.

Approval of the proposed agreement will allow the Certified Farmers' Market to continue operating on Avenida Del Mar under the updated terms beginning October 1, 2026.

Background:

The San Clemente Certified Farmers' Market has operated on Avenida Del Mar for more than three decades, providing residents and visitors with regular access to certified agricultural producers, prepared and specialty food vendors, and other eligible market participants. In anticipation of the expiration of the current operating agreement, the City issued a competitive Request for Proposals (RFP) for the continued operation and management of the market. The City received four proposals, and all four proposers participated in interviews. Proposals were evaluated based on Certified Farmers' Market experience, vendor management, knowledge of the local community, proposed operations, financial proposal, and references.

Following the evaluation process, Introductions Unlimited, Inc., the City's current market operator, was identified as the preferred proposer. The selection reflected the operator's overall qualifications, successful operation of the existing market, established vendor relationships, local 188
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knowledge and community ties, and overall proposal. Staff subsequently negotiated the proposed Revocable License Agreement, which is presented for City Council consideration.

Discussion:

The proposed Revocable License Agreement authorizes Introductions Unlimited, Inc. to continue operating the Certified Farmer's Market on Sundays within the designated portion of Avenida Del Mar beginning October 1, 2026. The agreement establishes an initial one-year term with renewal opportunities subject to satisfactory performance and City approval.

The new agreement strengthens City oversight and establishes clearer expectations for the continued operation and enhancement of the market. Participating vendors will report monthly gross sales to the Licensee, with the Licensee providing quarterly reporting to the City that includes vendor-level sales, vendor participation, recruitment efforts, community feedback, and market activity. Individual vendor sales information will be treated as confidential and proprietary business information to the extent permitted by applicable law.

The proposed agreement also establishes greater expectations for vendor development. The Licensee will continually evaluate the market's vendor mix, recruit and onboard new vendors, address underserved product categories, and make reasonable efforts to identify qualified San Clemente and regional vendors while retaining successful existing vendors. The Licensee will also host a Farmers’ Market information booth at least once each month in coordination with the Recreation Division and maintain an accessible method for customers, vendors, and community members to provide feedback regarding market operations and potential enhancements.

Finally, the Licensee will be required to provide the City with at least six months' advance notice of its intent to discontinue operation of the market or request an extension of the agreement. This requirement provides the City sufficient time to evaluate future operations and minimize potential disruption to the market.

Considerations Identified by Staff:

Staff believes the proposed agreement appropriately balances preservation of the successful elements of the existing market with clear expectations for continued improvement. The quarterly reporting requirements will provide the City with information that has not historically been available to evaluate market performance, vendor participation, sales activity, and opportunities for future enhancement. The proposed agreement also preserves City flexibility through its revocable nature, performance requirements, renewal provisions, and City oversight of market operations and layout.

Council Options:
 Adopt Resolution No. 26-156, which will award the revocable license agreement to Introductions Unlimited, Inc. as proposed, authorize the City Manager to execute the agreement and find the action categorically exempt from the California Environmental Quality Act.
 Modify and adopt Resolution No. 26-156, which could include making revisions to the revocable license agreement or selecting a different vendor. 189
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 Take no action.

Environmental Review/Analysis:

The proposed action is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Sections 15301 (Class 1 – Existing Facilities) and 15323 (Class 23 – Normal Operations of Facilities for Public Gatherings). The Certified Farmers' Market has operated as a recurring public gathering on Avenida Del Mar for more than three decades.

Approval of the Revocable License Agreement will provide for the continued operation of the existing market in substantially the same location and manner, with no significant expansion of the existing use.

Fiscal Impact:

Under the proposed Revocable License Agreement, the Licensee will pay the City a monthly License Fee of $1,150, generating annual revenue of $13,800 during the initial year of the agreement.

The Licensee is responsible for costs associated with operation of the Certified Farmers' Market, including required permits, licenses, insurance, vendor management, setup, cleanup, and other operational responsibilities identified in the agreement.

1. Find the project categorically exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Sections 15301 (Class 1 – Existing Facilities) and 15323 (Class 23 – Normal Operations of Facilities for Public Gatherings);

2. Award a Revocable License Agreement to Introductions Unlimited, Inc. for operation and management of the San Clemente Certified Farmers’ Market; and

3. Authorize the City Manager to execute the Agreement. ..end
Attachment:

1. Resolution No 26-156

2. Revocable License Agreement for Certified Farmers’ Market Notification:

Introductions Unlimited, Inc.
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Attachment 1
RESOLUTION NO. 26-156

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

SAN CLEMENTE, CALIFORNIA, AWARDING A REVOCABLE

LICENSE AGREEMENT TO INTRODUCTIONS UNLIMITED,
INC. FOR THE OPERATION AND MANAGEMENT OF THE
SAN CLEMENTE CERTIFIED FARMERS’ MARKET,

AUTHORIZING THE CITY MANAGER TO EXECUTE THE

AGREEMENT, AND FINDING THE ACTION

CATEGORICALLY EXEMPT FROM THE CALIFORNIA
ENVIRONMENTAL QUALITY ACT ("CEQA") PURSUANT TO
CEQA GUIDELINES SECTION 15301 (CLASS 1 – EXISTING
FACILITIES) AND SECTION 15323 (CLASS 23 – NORMAL

OPERATIONS OF FACILITIES FOR PUBLIC GATHERINGS)
WHEREAS, the City of San Clemente has supported the operation of a Certified Farmers’ Market on Avenida Del Mar for more than three decades, providing residents and visitors with access to certified agricultural producers, food vendors, and other eligible market participants; and
WHEREAS, the City conducted a competitive Request for Proposals process for the continued operation and management of the San Clemente Certified Farmers’ Market and received four proposals, all of which were evaluated through the City's selection process; and
WHEREAS, following evaluation of the proposals and interviews with all four proposers, City staff identified Introductions Unlimited, Inc. as the preferred proposer based upon its qualifications, experience, vendor relationships, knowledge of the San Clemente community, operational capabilities, and its overall proposal; and WHEREAS, City staff negotiated a new Revocable License Agreement with Introductions Unlimited, Inc. that establishes requirements for operation of the Certified Farmers’ Market, including enhanced City oversight, financial and operational reporting, vendor recruitment and development, community engagement, regulatory compliance, and market operations; and
WHEREAS, the operation of a Certified Farmers’ Market is a benefit to the public and continuing it is in the best interests of the City and the community.

NOW, THEREFORE, the City Council of the City of San Clemente does hereby find, determine and resolve as follows:

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

SECTION 2. Based on a review of the record as a whole, the City Council finds and determines that this project is categorically exempt from the California Environmental Quality Act ("CEQA") pursuant to CEQA Guidelines Section 15301 (Class 1 – Existing 191
Resolution No. 26-156 Page 2
Facilities, 14 CCR 15301) and Section 15323 (Class 23 – Normal Operations of Facilities for Public Gatherings, 14 CCR 15323). The Certified Farmers' Market has operated as a recurring public gathering on Avenida Del Mar for more than three decades. The Revocable License Agreement provides for continuation of the existing market in substantially the same location and manner and does not result in a significant expansion of the existing use. The City Council further finds that there are no unusual circumstances or other applicable exceptions set forth in CEQA Guidelines Section 15300.2 that would preclude application of the categorical exemptions.

SECTION 3. The Revocable License Agreement for the operation and management of the San Clemente Certified Farmers’ Market is hereby awarded to Introductions Unlimited, Inc.

SECTION 4. The City Manager or his designee is hereby authorized and directed to execute the Revocable License Agreement in a form substantially similar to that presented to the City Council and to take such other and further actions as may be reasonably necessary and proper to administer and implement the Agreement, including approval of minor administrative modifications, provided such modifications are approved as to form by the City Attorney and do not materially alter the substantive terms approved by the City Council.

SECTION 5. The City Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions.

PASSED AND ADOPTED this _____ day of ____________________, _______.

ATTEST:
___________________________ __________________________
City Clerk of the City of Rick Loeffler, Mayor of the City of San Clemente, California San Clemente, California
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Resolution No. 26-156 Page 3

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) §

CITY OF SAN CLEMENTE )
I, LAURA CAMPAGNOLO, City Clerk of the City of San Clemente, California, do hereby certify that Resolution No. 26-156 was adopted at a regular meeting of the City Council of the City of San Clemente held on the _______ day of _______________________, _________, by the following vote:

AYES:

NOES:

ABSENT:

REVOCABLE LICENSE AGREEMENT

BETWEEN THE CITY OF SAN CLEMENTE
AND INTRODUCTIONS UNLIMITED, INC. FOR
TEMPORARY USE OF CITY PROPERTY FOR A CERTIFIED FARMERS’ MARKET

THIS REVOCABLE LICENSE AGREEMENT FOR TEMPORARY USE OF CITY PROPERTY FOR A CERTIFIED FARMERS’ MARKET ("Agreement") is made and entered into as of this 1
st day of _October__, 2026 ("Effective Date"), by and between the City of San Clemente, a California municipal corporation ("City"), and Introductions Unlimited, Inc., a California Corporation ("Licensee"), and is made with reference to the following:

RECITALS
A. The City’s Beaches, Parks, and Recreation Department seeks opportunities to offer healthy food options for the residents of San Clemente.

B. As used herein, a Certified Farmers’ Market is defined as set forth in the California Code of Regulations as a location approved by the county agricultural commissioner of the county where agricultural products are sold by producers or certified producers directly to consumers or to individuals, organizations, or entities that subsequently sell or distribute the products directly to end users. A Certified Farmers’ Market may only be operated by one or more certified producers, by a nonprofit organization, or by a local government agency (3 CCR § 1392.2(a)).

C. City desires to have Licensee temporarily operate a certified farmers’ market on City property in the location and on the terms and conditions set forth herein.

NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows:

1. LICENSE

1.1 City grants a non-exclusive license ("License") to Licensee for the term of this Agreement for Licensee to use an area located within the public right-of-way that is owned by the City along the north side of the 200 block Avenida Del Mar, and such adjacent streets or areas (including Calle Seville) as may be approved in writing by the City ("License Area"), as further depicted on Exhibit A, which is attached hereto and incorporated fully herein by reference, on Sundays for a Certified Farmers’ Market.

1.2 The License granted herein is subject to the terms, covenants, and conditions hereinafter set forth, and Licensee covenants, as a material part of the consideration for this License, to keep and perform each and every term, covenant, and condition of this Agreement.

2. USE OF LICENSE AREA

2.1 The purpose of this License is to allow for the operation of a Certified Farmers’ Market within the License Area as depicted on Exhibit A. Use of any area outside the License Area shall not be permitted unless prior written consent is provided by the City. Licensee agrees 194
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to use the License Area only for the activities described herein, and not to use or permit the use of the License Area for any other purpose without first obtaining the prior written consent of City, which consent may be withheld in City's sole and absolute discretion.

3. PERMITS & LICENSES

3.1 Licensee, at its sole expense, shall obtain and maintain during the term of this Agreement, all appropriate permits, licenses and certifications that may be required by any governmental agency, including without limitation those permits as may be issued by the State of California, Department of Agriculture, the Orange County Agricultural Commissioner, the Orange County Health Department and the City of San Clemente to operate a Certified Farmers’ Market.

3.2 Licensee shall provide the City, as defined in Section 10 below, with a copy of all required permits, licenses, and certificates that may be required by Licensee and Vendors.

3.3 Licensee shall not allow any Vendor to participate in the Certified Farmers’ Market until: (1) all appropriate permits, licenses and certifications are obtained; and (2) a copy of said permits are furnished to the Licensee (this includes, but is not limited to, a City business license and, if required, a temporary food facility permit from the Orange County Health Care Agency).

4. TERM

4.1 The term of this Agreement shall commence on October 1, 2026, and shall continue for a one (1) year term, with the option to renew for two (2) additional one (1) year terms at the discretion of the City Council or City Manager as set forth in Section 4.2 below, unless terminated earlier as set forth herein.

4.2 The City Manager may renew this License pursuant to Section 4.1 if it is determined that (i) the terms of the Agreement have been complied with; (ii) a copy of all required license, permits and certificates are on file with the License Administrator; and (iii) the use of the License Area by Licensee is not causing a negative impact on surrounding properties and uses.

Any renewals approved pursuant to this Section must be in writing and approved as to form by the City Attorney. Renewals undertaken outside the limitations of this Section must be approved by the City Council.

4.3 Notice of Intent to Renew or Terminate. No later than six (6) months prior to the expiration of the then-current Term, Licensee shall provide City with written notice of its intent to either (i) request an extension of the Agreement pursuant to Section 4.2, or (ii) discontinue operation of the Certified Farmers’ Market upon expiration of the then-current Term. Any request for extension shall be subject to the sole and absolute discretion and approval of the City Council or the City Council as applicable and shall not create any right or entitlement to renewal.

5. FEES

5.1 Licensee shall pay the City One Thousand One Hundred and Fifty Dollars and 00/100 ($1,150.00) per month ("License Fee") during the term of this Agreement, which amount 195
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shall be due and payable on the first of each month ("Due Date"), commencing the first day of the first month following the Effective Date. The License Fee shall be prorated in the event of a partial month's use of the License Area at the beginning or end of the Term.

5.2 If Licensee fails to pay the License Fee within thirty (30) calendar days of the Due Date, Licensee shall pay a penalty in an amount equal to ten percent (10%) plus interest in an amount equal to the late fee, which was not timely paid by the Licensee, until paid in full.

5.3 Upon the first anniversary of the Effective Date and upon each anniversary of the Effective Date thereafter, the License Fee shall be increased in proportion to changes in the Consumer Price Index for the preceding twelve (12) months, subject to the maximum adjustment set forth below. The Consumer Price Index to be used in such calculation is the "Consumer Price Index, All Items, 1982-84=100 for All Urban Consumers (CPI-U)", for the Los Angeles-Long Beach-Anaheim Metropolitan Area, published by the United States Department of Labor, Bureau of Labor Statistics. If both an official index and one or more unofficial indices are published, the official index shall be used. If said Consumer Price Index is no longer published at the adjustment date, it shall be constructed by conversion tables included in such new index. In no event, however, shall the amount payable under this Agreement be reduced below the License Fee in effect immediately preceding such adjustment. The maximum increase to the License Fees, for any year where an adjustment is made pursuant to this Section, shall not exceed two and onehalf percent (2.5%) of the License Fees in effect immediately preceding such adjustment.

6. CONDITIONS OF LICENSE
Licensee shall comply with the following conditions prior to the commencement of use of the License Area:

6.1 Licensee shall procure and maintain any and all required licenses, permits, and certifications to operate the Certified Farmers’ Market in accordance with Section 3 above.

Licensee shall require the same of Vendors.

6.2 Licensee shall submit for review and obtain approval for all desired advertising and directional signage from the City's Public Works Department and Community Development Department, as required by the City's Municipal Code.

6.3 An initial site plan and/or floor plan showing the layout of the Certified Farmers’ Market sales areas, and such other information, has been reviewed by the City's Beaches, Parks and Recreation Department and included in Exhibit A. Prior to implementing any modifications to the site plan during the Term, Licensee shall submit any proposed changes to the market layout to the City for review and approval by the City's Beaches, Parks & Recreation Department and shall obtain any new or modified permits that may be necessary, at Licensee's sole cost and expense.

7. CONDITIONS OF OPERATION
Licensee shall comply with the following conditions of operation during use of the License Area:
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7.1 Licensee may utilize the License Area each Sunday from 7:00 a.m. to 2:00 p.m., except in the event that Sunday is a major holiday or when activities, as determined by the City Manager, would conflict with the Certified Farmers’ Market. In those instances, the Certified Farmers’ Market will be held on the prior Saturday if agreed upon by both parties. Set-up activities for the Certified Farmers’ Market shall not occur prior to 7:00 a.m. The Certified Farmers’ Market may operate each Sunday from 9:00 a.m. to 1:00 p.m. Licensee shall ensure that the License Area is returned, clean and free of debris, to its original condition no later than 2:00 p.m. on the same day. City reserves the right to modify the hours of setup and operation in the City's sole and absolute discretion.

7.2 Notwithstanding the schedule outlined in Section 7.1, the Certified Farmers’ Market may be restricted from operation due to a special event in the License Area. The City, upon thirty (30) days' written notice, may restrict, relocate, or cancel operation of the Certified Farmers’ Market on additional Sundays, without any compensation or reimbursement to Licensee.

7.3 Schedule Modifications and Special Event Coordination. Notwithstanding the regular weekly operation set forth in Section 7.1, Licensee acknowledges that the License Area is a shared public space subject to competing community uses. Licensee shall coordinate with the City to accommodate annual events, holidays, and other City-directed activities as set forth below. All modifications are subject to prior written approval of the City Manager or designee.

7.3.1 Downtown Business Association Annual Classic Car Show. Licensee shall configure the Certified Farmers’ Market along both sides of Avenida Del Mar and shall maintain a separation buffer between the Certified Farmers’ Market and the Classic Car Show event area, as determined annually by City staff.

Licensee may utilize Calle Seville for vendor placement if approved in advance by the City.

7.3.2 San Clemente Art Association Arts & Crafts Fair. Licensee shall relocate the Certified Farmers’ Market to the south side of Avenida Del Mar during the Arts & Crafts Fair. Licensee shall provide written notice to affected businesses no fewer than fourteen (14) calendar days prior to the relocation and shall coordinate with impacted business owners to minimize disruption.

7.3.3 Chamber of Commerce Street Fiesta (August). Licensee shall operate the Certified Farmers’ Market on the Saturday immediately preceding the Street Fiesta, unless otherwise approved in writing by the City.

7.3.4 Holiday Schedule Adjustments
(i) Easter. Licensee shall operate the Certified Farmers’ Market on the Saturday immediately preceding Easter Sunday.
(ii) Independence Day. When Independence Day falls on a Sunday, Licensee may, subject to City approval, operate the Certified Farmers’ Market on the Saturday immediately preceding the holiday.
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(iii) Christmas. When Christmas Day falls on a Sunday, Licensee may, subject to City approval, operate the Certified Farmers’ Market on the Saturday immediately preceding the holiday.

7.4 Licensee or its representative shall be present during each and every Certified Farmers’ Market from the commencement of setup to the completion of cleanup.

7.5 The storage of materials is expressly prohibited in the License Area beyond the approved hours of use of the License Area.

7.6 Licensee shall actively recruit and retain high-quality Vendors for the Certified Farmers’ Market and shall continually evaluate opportunities to enhance the market through the recruitment and onboarding of new Vendors. Licensee shall seek to maintain an appropriate and diverse mix of certified agricultural producers, food producers, and other vendors permitted under this Agreement, with consideration given to customer demand, product variety, seasonal availability, and opportunities to address underserved product categories. Nothing in this Section shall require Licensee to replace successful existing Vendors solely for the purpose of adding new Vendors. Licensee shall recruit and retain vendors for the Certified Farmers’ Market and verify that all individual vendors that are:

7.6.1 "Certified producers" or "producers" within the meaning of California Code of Regulations Title 3, Sections 1392.2(d) and 1392.2(e), and ensure that all vendors adhere to all applicable rules and regulations concerning product quality and that the products offered for sale by vendors are pest and diseasefree.

7.6.2 Selling food or providing free food tastings for onsite consumption, obtain a temporary food facility permit pursuant to Health and Safety Code Section 114380 et seq, if applicable.

7.7 Licensee shall not allow any participant and/or service provider to participate in the Certified Farmers’ Market until a City of San Clemente business license is obtained and a copy of said license is furnished to the Licensee. Licensee shall inform any vendors that engage in selling tangible personal property that they may be subject to and shall comply with the California sales tax reporting laws and inform the State Board of Equalization that the City is the point-ofsale location.

7.8 Licensee shall maintain accurate and current records regarding Vendors, market activity, and community feedback. No later than thirty (30) calendar days following the end of each calendar quarter, Licensee shall submit a Quarterly Market Report to the License Administrator containing the following:

7.8.1 Vendor Gross Sales Report. Licensee shall require each Vendor to report Gross Sales generated at the San Clemente Certified Farmers' Market on a monthly basis. The quarterly report submitted to the City shall include an itemized listing of each Vendor, Vendor category, monthly Gross Sales for each month of the reporting quarter, total quarterly Gross Sales, and fees paid 198
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by the Vendor to Licensee. Each Vendor shall certify, under penalty of perjury, that its reported Gross Sales figure is true and correct and that, to the extent applicable, Vendor is in compliance with all sales tax reporting laws with the City as the point-of-sale location. Licensee shall retain supporting records and certifications for a minimum of three (3) years and make such records available to the City or its authorized representative for inspection or audit upon reasonable notice. For purposes of this Section, "Gross Sales" means the total amount charged by a Vendor for all goods, merchandise, food, or other products sold or provided at the Certified Farmers’ Market, without deduction for costs, expenses, Vendor fees, or other amounts, excluding only sales taxes separately stated and collected from customers.

7.8.2 Confidential and Proprietary Vendor Sales Information. Individual Vendor Gross Sales information submitted pursuant to this Section shall be considered confidential, proprietary, and commercially sensitive information of the individual Vendors and is being provided to City solely for purposes of contract administration, market performance evaluation, financial oversight, and verification of compliance with this Agreement. Licensee shall clearly identify Vendor-level Gross Sales information submitted to City as “CONFIDENTIAL – PROPRIETARY BUSINESS INFORMATION.” City shall maintain such information in a manner intended to protect its confidential and proprietary nature and shall not voluntarily disclose individual Vendor Gross Sales information to the extent such information is protected from disclosure under the California Public Records Act or other applicable law. Nothing in this Agreement shall be construed as a guarantee by City that any record is exempt from disclosure under the California Public Records Act or other applicable law.

In the event City receives a request seeking disclosure of individual Vendor Gross Sales information, City shall evaluate the request in accordance with applicable law and, to the extent legally permissible and reasonably practicable, provide Licensee notice of the request.

7.8.3 Vendor Roster and Development. Licensee shall provide a current Vendor roster identifying each participating Vendor, Vendor category, and whether the Vendor is based in San Clemente or the surrounding region. The report shall identify Vendors added or discontinued during the quarter and briefly describe ongoing recruitment efforts, including efforts to attract qualified local Vendors, expand product offerings, and address underserved product categories or other identified market needs.

7.8.4 Community Feedback and Market Enhancements. Licensee shall maintain an accessible means for customers and members of the community to provide ongoing feedback regarding the Certified Farmers' Market. Licensee shall cooperate with the License Administrator in evaluating reasonable opportunities to improve the Vendor and customer experience and address concerns.
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7.9 No more than forty (40) vendors shall display and/or sell food or products at the Certified Farmers’ Market, and all shall be in compliance with fire and health department regulations, including spacing, Vendor grouping requirements, and separation limits. No additions, enlargements, or modifications of uses or structures within the License Area shall be allowed without prior written approval of the City Manager or designee.

7.10 Farmers’ Market Information Booth. Licensee shall host and staff a Farmers’ Market information booth as part of the Certified Farmers' Market at least one (1) market day per calendar month. The information booth shall provide customers and members of the community an opportunity to obtain information regarding the market, participating Vendors, Certified Farmers’ Market operations, and other market-related information. The timing, location, and general operation of the information booth shall be coordinated with the License Administrator.

The information booth may also be used, as mutually agreed upon by the City and Licensee, to provide information regarding City recreation programs, community activities, or other City initiatives.

7.11 Licensee shall be responsible for setup, operation, maintenance, sanitation, and cleanup of the Certified Farmers’ Market. The setup shall include the placement of vendors in accordance with the approved site plan. Licensee shall be responsible for maintaining the License Area in a clean and orderly fashion during the approved hours of use of the License Area by providing routine removal of foreign material, waste, and debris from the License Area. After the completion of each Certified Farmers’ Market, Licensee shall be responsible for properly disposing of all trash that has accumulated from the operations of the Certified Farmers’ Market.

Maintenance, sanitation, and clean-up shall be conducted within such rules and guidelines as may be promulgated by the Orange County Health Department, the City, and any other governmental entity having jurisdiction.

7.11.1 Licensee acknowledges that City-permitted outdoor dining decks and related improvements may be located within or adjacent to the License Area. Licensee shall configure the Market and place Vendors in a manner that accommodates such permitted areas and business access.

7.11.2 Licensee shall ensure that market setup and operations do not block, obstruct, or otherwise interfere with any designated accessible (ADA) parking space, access aisle, curb ramp, or accessible path of travel.

7.12 Per Orange County Fire Authority Guidelines (OCFA Guideline F-05), an OCFA permit is required to erect or operate a tent or air-supported temporary membrane structure having an area in excess of 200 square feet, or a canopy in excess of 400 square feet, except for structures used exclusively for camping. (UFC 105.8t.1.) The regulations of the State Fire Marshal for large and small tents, awnings, and other fabric enclosures shall also apply. (UFC 320.)

7.13 Licensee shall observe community noise restrictions as set forth in the City's Municipal Code. Sound amplification associated with any activity is also subject to the Municipal Code. Licensee shall obtain and maintain a sound amplification permit prior to the use of any sound amplification equipment. Applications for sound permits must be filed at least ten (10) 200
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working days prior to the proposed event and are reviewed by the City’s Beaches, Parks and Recreation Department.

7.14 Operations within the License Area shall be conducted in accordance with California Code of Regulations Title 3, Sections 1392.1, et seq., and within the guidelines set forth in the State of California Department of Agriculture marketing plan.

7.15 Licensee shall keep participants and all its Vendors from engaging in disorderly, unsafe, or disruptive conduct, such as fighting or rude and abusive verbal confrontations. If Licensee cannot control the situation, Licensee shall contact City staff and/or the Orange County Sheriff’s Department for assistance.

7.16 All loading and unloading of merchandise, vendor booths and other related improvements shall take place within the License Area.

7.17 Licensee may permit vendors to provide tastings of their products to attendees, subject to applicable law. Tastings are limited to sample-sized portions and shall not constitute full servings for consumption on-site, except as otherwise authorized by law.

7.18 At its sole and absolute discretion, the City reserves the right to require the Licensee to reduce the number of vendors selling food for on-site consumption and/or restrict onsite food consumption to tastings only, by providing the Licensee ten (10) calendar days' prior written notice.

7.19 In accordance with San Clemente Resolution No. 04-27, there will be no use of Styrofoam products at any location within the City limits. Licensee shall prevent the utilization and/or distribution of expandable polystyrene food service products, commonly referred to by the trade name “Styrofoam,” by any Licensee attendee or vendor (caterer) during the term of this Agreement. Failure to abide by this resolution may result in enforcement action, including termination and/or fines.

7.20 Only a Certified Farmers’ Market may be operated in the License Area. Licensee may not operate or conduct any other event or enterprise unless Licensee receives required additional prior written approvals from the City.

7.21 City shall post and maintain “No Parking” signs along the designated License Area.

Licensee shall comply with all traffic regulations established for the operation of the Certified Farmers’ Market by the City Traffic Engineer, which are attached as Exhibit C to this Agreement and incorporated fully herein by this reference. Throughout the term of this License, City reserves the right to require Licensee, at Licensee's sole cost and expense, to provide additional traffic control measures deemed necessary by the City, in its sole and absolute discretion, to ensure public safety and/or to alleviate traffic impacts in the areas surrounding the License Area; in each case upon not less than five (5) calendar days' prior written notice to Licensee.

7.22 Licensee covenants and agrees that Licensee shall: (i) not use the License Area for any unlawful purpose; and (ii) use the License Area in a careful and proper manner in accordance with this Agreement.
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7.23 Licensee shall at its own expense operate the Certified Farmers’ Market in accordance with all applicable provisions of the statutes, rules and regulations of the State of California, the ordinances and regulations of the County of Orange, and the ordinances of the City of San Clemente.

7.24 City shall be entitled, without prior notice, to inspect the License Area for compliance with the terms of this Agreement, and with all applicable Federal, State and local (including those of the City) government regulations.

8. TERMINATION OF LICENSE

8.1 Notwithstanding the term of this Agreement, this License may be terminated during the term or any extended term in the following manner:

8.1.1 By Licensee: At any time, without cause, upon the giving of six (6) months’ written notice of termination to City;

8.1.2 By City: At any time, without cause, upon the giving of thirty (30) calendar days' written notice of termination to Licensee; or

8.1.3 If, after written notice of default to Licensee of any of the terms or conditions of this Agreement, Licensee fails to cure or correct the default within ten (10) business days of receipt of written notice, City may immediately terminate the License.

9. ADMINISTRATION

9.1 This License shall be administered by the Beaches, Parks and Recreation Department. The Beaches, Parks and Recreation Director or his/her designee shall be the License Administrator and shall have the authority to act for City under this License except to the extent that such authority is granted to the City Manager or City Council to act. The License Administrator or their authorized representative shall represent City in all matters pertaining to this License.

10. INDEMNITY AND LIABILITY FOR DAMAGES

10.1 To the fullest extent permitted by law (including, without limitation, California Civil Code Sections 2782 and 2782.6), Licensee shall defend (with legal counsel acceptable to City), indemnify, and hold free and harmless City and City’s agents, officers, employees, contractors and volunteers (collectively, the “Indemnitees”) from and against any and all claims, loss, cost, damage, injury (including, without limitation, injury to or death of any Licensee participants, invitees officers, agents, employees, representatives, volunteers or subcontractors of Licensee [collectively, the “Licensee Entities”]), expense and liability of every kind, nature and description (including, without limitation, incidental and consequential damages, court costs, attorney’s fees, litigation expenses and fees of expert contractors or expert witnesses incurred in connection therewith and costs of investigation) that arise out of, pertain to, or relate to, directly or indirectly, 202
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in whole or in part, the acts, omissions, negligence, recklessness, or willful misconduct of any or all Licensee’s Entities in connection with the Certified Farmers’ Market or the use of the License Area, by any of the Licensee Entities anyone directly or indirectly employed by any of them, or anyone that they control (collectively, the “Liabilities”). Such obligation to defend, hold harmless and indemnify any Indemnitee shall not apply to the extent that such Liabilities are caused by the sole and active negligence or willful misconduct of such Indemnitee.

10.2 Licensee shall be liable and responsible for the security, repair, and maintenance of the License Area to the extent necessitated by Licensee's use of the License Area under this Agreement. Licensee shall use care to protect the License Area, keep it in a clean and safe condition during use, and restore it to its original condition to the satisfaction of the City when the License Area is not in use by Licensee.

11. INSURANCE

11.1 Without limiting Licensee's indemnification of City, and prior to commencement of work, Licensee shall obtain, provide, and maintain at its own expense during the term of this Agreement or for other periods as specified in this Agreement, policies of insurance of the type, amounts, terms, and conditions described in the Insurance Requirements attached hereto as Exhibit D, and incorporated fully herein by reference.

12. PROHIBITION AGAINST ASSIGNMENT, TRANSFER AND SUBCONTRACTING This License shall not be assigned or transferred without the prior written approval of City, which approval may be withheld in the City's sole and absolute discretion. Any assignment or transfer made without the City's prior written consent shall be null and void. Licensee shall not subcontract any of its obligations under this Agreement without the prior written approval of City.

13. CONFLICT OF INTEREST

13.1 The Licensee or its employees may be subject to the provisions of the California Political Reform Act of 1974 ("Act"), which (a) requires such persons to disclose any financial interest that may foreseeably be materially affected by the work performed under this Agreement, and (b) prohibits such persons from making, or participating in making, decisions that will foreseeably financially affect such interest. If subject to the Act, Licensee shall conform to all requirements of the Act. Notwithstanding Section 9, failure to conform to the requirements of the Act constitutes a material breach and is grounds for immediate termination of this Agreement by City. Licensee shall indemnify and hold harmless City for any and all claims for damages resulting from Licensee's violation of this Section.

14. NOTICE

14.1 All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose:
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Farmers Market License Agreement Page 11
Licensee: INTRODUCTIONS UNLIMITED, INC.
2316 CALLE ALMIRANTE
SAN CLEMENTE, CA 92673
ATTN: RICHARD HEIL, OPERATOR
City: CITY OF SAN CLEMENTE
910 CALLE NEGOCIO
SAN CLEMENTE, CA 92673
ATTN: BEACHES, PARKS & RECREATION DIRECTOR AND

CITY CLERK

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

15. STANDARD PROVISIONS

15.1 Compliance with all Laws. Licensee shall at its own cost and expense comply with all statutes, ordinances, regulations, and requirements of all governmental entities, including federal, state, county, or municipal, whether now in force or hereinafter enacted or modified. In addition, all work performed by Licensee shall conform to applicable City, county, state, and federal laws, rules, regulations, and permit requirements and be subject to approval of the License Administrator.

15.2 Waiver. A waiver by either party of a breach of a term, covenant, or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant, or condition contained herein, whether of the same or a different character.

15.3 Integrated Agreement. This Agreement represents the full and complete understanding of every kind or nature whatsoever between the parties hereto, and all preliminary negotiations and agreements of whatsoever kind or nature are merged herein. No verbal agreement or implied covenant shall be held to vary the provisions herein.

15.4 Force Majeure. Neither Party shall be deemed in default of this Agreement, nor liable for any delay or failure in performance, to the extent such delay or failure is caused by circumstances beyond the reasonable control of the affected Party, including, without limitation, acts of God, fire, flood, earthquake, severe weather, natural disaster, epidemic or public health emergency, war, civil disturbance, governmental order, or other similar event that makes performance impracticable or unsafe. The affected Party shall provide notice to the other Party as soon as reasonably practicable and shall make reasonable efforts to resume performance when conditions permit. This Section shall not excuse Licensee's obligation to pay any License Fees or other amounts that accrued prior to the force majeure event. 204
City of San Clemente
Farmers Market License Agreement Page 12

15.5 Interpretation. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of the Agreement or any other rule of construction which might otherwise apply.

15.6 Severability. If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement shall continue in full force and effect.

15.7 Controlling Law and Venue. The laws of the State of California shall govern this Agreement, and all matters relating to it, and any action brought relating to this Agreement shall be adjudicated in a court of competent jurisdiction in the County of Orange. Licensee hereby waives any rights under Code of Civil Procedure section 394.

15.8 Taxes. Licensee acknowledges that the License granted herein may be subject to possessory interest taxes. Licensee shall have the sole obligation to pay any taxes, fees, and assessments, plus applicable penalties and interest, which may be imposed by law and arise out of Licensee's License hereunder. Licensee shall indemnify, defend (with counsel acceptable to City), and hold harmless City against any and all such taxes, fees, penalties or interest assessed, or imposed against City hereunder.

15.9 No Third-Party Rights. The parties do not intend to create rights in or grant remedies to any third party as a beneficiary of this Agreement, or of any duty, covenant, obligation, or undertaking established herein.

15.10 No Attorneys' Fees. In the event of any dispute under the terms of this Agreement, the prevailing party shall not be entitled to attorneys' fees.

15.11 Amendments. Either Party may request changes to this Agreement. Any modifications to this Agreement must be in writing and signed by authorized representatives. Any changes, modifications, revisions, or amendments to this Agreement, which are mutually agreed upon by and between the Parties to this Agreement, shall be incorporated by written instrument and effective when executed and signed by all parties to the Agreement.

15.12 Counterparts/Electronic Signatures. This Agreement may be executed in counterparts, which together shall constitute one and the same agreement. This Agreement may be executed electronically with the same force and effect as original, ink signatures. [End – signature page follows]
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WHEREFORE, the Parties execute this Agreement, agreeing to be bound by the above terms and conditions effective as of the date first entered above.

CITY OF SAN CLEMENTE,
a California municipal corporation
By:_______________________________
Andy Hall, City Manager
ATTEST: Dated: __________________, 2026
By: _____________________________
CITY CLERK of the City of
San Clemente, California
APPROVED AS TO FORM:

By: _____________________________
Elizabeth A. Mitchell, City Attorney

INTRODUCTIONS UNLIMITED, INC.
a California Corporation

By:_____________________________
Sandra Heil, CEO
Dated: __________________, 2026
By:_____________________________
Richard Heil, Secretary
Dated: __________________, 2026
Attachments: Exhibit A: Depiction of License Area and Site Plan Exhibit B: Traffic & Safety Regulations
Exhibit C: Insurance Requirement
Exhibit D: Quarterly Report
Exhibit E: Workers' Compensation Declaration
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EXHIBIT “A”

LICENSE AREA
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EXHIBIT “B”

TRAFFIC & SAFETY REGULATIONS

1. Prior to implementing any modifications to the Site Plan, Licensee shall submit the changes to the market layout to the Beaches, Parks and Recreation Department for review and approval.

2. Do not block entrances or exits from any building.

3. Do not block Fire Department access to any fire suppression equipment.

4. Emergency access must be maintained at all times during the Certified Farmers’ Market, including the set- up period before and the clean-up period after the event.

5. Obey all City, County, and State regulations. Comply with the lawful orders of Police and Fire personnel, or other government officials.

6. Licensee is responsible for ensuring all tents/canopies/shade structures or other similar equipment being used at the event are properly secured.

7. All vehicles shall be lawfully parked. No fire lane exemption.

8. No exclusive use of street, alleys, or sidewalks, except in the License Area pursuant to the terms of this Agreement.

9. No posting of promotional signs permitted on a portion of public property, including trees, utility poles, street signs, unless otherwise approved by relevant City staff.

10. Activities shall not create a pedestrian or traffic hazard. Prevent crowds from standing in the streets and from blocking sidewalks.

11. Complete cleanup of the License Area is the responsibility of the Licensee.

12. Any and all directional signage must be set up on the day of the Certified Farmers’ Market and removed immediately following the event, pursuant to the terms of Section 7 of this Agreement.

13. Open flame or other devices emitting flame are not permitted inside or within 20 feet of the tent, canopy, or temporary membrane structure.

14. Licensee shall ensure all traffic control measures are installed no later than one hour before the start of the Market and removed immediately following the event, pursuant to the terms of Section 7 of this Agreement.
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Farmers Market License Agreement Page C-16
EXHIBIT “C”

INSURANCE REQUIREMENTS

1. Provision of Insurance. Without limiting Licensee's indemnification of City, and prior to commencement of operations, Licensee shall obtain, provide, and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to City. Licensee agrees to provide insurance in accordance with the requirements set forth here. If Licensee uses existing coverage to comply and that coverage does not meet these requirements, Licensee agrees to amend, supplement, or endorse the existing coverage.

2. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance in the State of California, with an assigned policyholders' Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise approved by the City's Risk Manager.

3. Coverage Requirements.

A. Workers' Compensation Insurance. Workers' Compensation Insurance, as required by the State of California and Employer's Liability Insurance with a limit of not less than $1,000,000 per accident for bodily injury and disease. See Exhibit “E”.

B. General Liability Insurance. Licensee shall maintain commercial general liability insurance, and if necessary, excess/ umbrella liability insurance, with coverage at least as broad as provided by Insurance Services Office form CG 00 01, in an amount not less than one million dollars ($1,000,000) per occurrence, two million dollars ($2,000,000) general aggregate. The policy shall cover liability arising from bodily injury, property damage, product liability, personal and advertising injury, and liability assumed under an insured contract (including the tort liability of another assumed in a business contract) with no endorsement or modification limiting the scope of coverage for liability assumed under a contract. If required, the policy shall be endorsed to include affirmative coverage for Sexual Abuse/Molestation and corporal punishment, or a separate policy shall be obtained with a limit of not less than one million dollars ($1,000,000) per occurrence and three million dollars ($3,000,000) general aggregate.

C. Automobile Liability Insurance. A Personal Automobile Liability policy for the Licensee’s own vehicle stipulating "Automobile Liability Insurance with a limit of not less than $100,000 each accident".

4. Other Insurance Requirements. The policies are to contain, or be endorsed to contain, the following provisions:

A. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this Agreement shall be endorsed to waive subrogation against City, its City Council, boards and commissions, officers, agents, volunteers, and employees or shall specifically allow Licensee or others providing insurance evidence in compliance with these requirements to waive their right of recovery prior to a loss. Licensee hereby waives its own right of recovery against City, and shall require similar written express waivers from each of its subcontractors.
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B. Additional Insured Status. All liability policies, including general liability, excess liability, and automobile liability, if required, shall provide or be endorsed to provide that City, its City Council, boards and commissions, officials, agents, volunteers, and employees shall be included as insureds under such policies.

C. Primary and Non-Contributory. All liability coverage shall apply on a primary basis and shall not require contribution from any insurance or self-insurance maintained by City.

D. Notice of Cancellation. All policies shall provide City with thirty (30) calendar days' notice of cancellation (except for nonpayment, for which ten (10) calendar days' notice is required) or nonrenewal of coverage for each required coverage.

5. Additional Agreements Between the Parties. The parties hereby agree to the following:

A. Evidence of Insurance. Licensee shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers' compensation and other endorsements as specified herein for each coverage. Insurance certificates and endorsements must be approved by City's Risk Manager prior to operations. Current certification of insurance shall be kept on file with City at all times during the term of this Agreement. City reserves the right to require complete, certified copies of all required insurance policies at any time.

B. City's Right to Revise Requirements. City reserves the right at any time during the term of the Agreement to change the amounts and types of insurance required by giving Licensee sixty (60) calendar days' advance written notice of such change.

C. Enforcement of Agreement Provisions. Licensee acknowledges and agrees that any actual or alleged failure on the part of City to inform Licensee of non-compliance with any requirement imposes no additional obligations on City, nor does it waive any rights hereunder.

D. Requirements not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance.

Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all-inclusive, or to the exclusion of other coverage, or a waiver of any type.

E. Self-insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these requirements unless approved by City.

F. City Remedies for Non-Compliance. If Licensee or any subcontractor fails to provide and maintain insurance as required herein, then City shall have the right but not the obligation to purchase such insurance, to terminate this Agreement, or to suspend Licensee's right to proceed until proper evidence of
G. Insurance is provided. Timely Notice of Claims. Licensee shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Licensee's performance under this License, and that involve or may involve coverage under any of the required liability policies. City assumes no obligation or liability by such notice, 210
City of San Clemente
Farmers Market License Agreement Page C-18
but has the right (but not the duty) to monitor the handling of any such claim or claims if they are likely to involve City.

H. Licensee's Insurance. Licensee shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the work. 211
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Farmers Market License Agreement Page D-19
EXHIBIT “D”

SAN CLEMENTE CERTIFIED FARMER'S MARKET

QUARTERLY REPORT
Licensee: _______________________________________________ Reporting Year: __________
Reporting Quarter:
☐ January–March
☐ April–June
☐ July–September
☐ October–December
SECTION 1 – VENDOR GROSS SALES
Vendor Information Gross Sales
Name Category Month 1 Month 2 Month 3 Total
Quarterly
Fees Paid to
Licensee
212
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TOTAL
Attach additional pages as necessary to report all participating Vendors.

For purposes of this report, Gross Sales shall have the meaning established in Section 7.8 of the Revocable License Agreement.
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SECTION 2 – VENDOR ROSTER & DEVELOPMENT
Current Vendor Summary
A. Total Active Vendors: __________
B. Certified Agricultural Producers: __________
C. Prepared/Specialty Food Vendors: __________
Vendor Changes During Reporting Quarter
New Vendors Added: ☐ N/A
Vendor Category/Product Date Added
Vendors Discontinued: ☐ N/A
Vendor Category/Product Date Discontinued Reason, if known SECTION 3 – LICENSEE CERTIFICATION
I certify, under penalty of perjury, that the information contained in this Quarterly Market Report is complete and accurate to the best of my knowledge. Vendor Gross Sales reported herein are based upon monthly sales information submitted and certified under penalty of perjury by the individual Vendors participating in the San Clemente Certified Farmers’ Market, as required by the Revocable License Agreement.

Licensee/Authorized Representative: _______________________________ Signature: _______________________________
Date: ___________________________________
214
EXHIBIT “E”
WORKER’S COMPENSATION INSURANCE CERTIFICATION
City of San Clemente
Farmers Market License Agreement Page E-22

WORKERS' COMPENSATION DECLARATION
I hereby affirm under penalty of perjury one of the following declarations:
(ONE OF THE BOXES BELOW MUST BE CHECKED)
I have and will maintain a certificate of consent from the California Labor Commission to self-insure for workers' compensation, as provided for by Section 3700 of the Labor Code, for the performance of the work to be performed under this contract.

I have and will maintain workers' compensation insurance, as required by Section 3700 of the Labor Code, for the performance of the work to be performed under this contract. My workers' compensation insurance carrier and policy number are:

Carrier____________________________________________________ Policy Number______________________________________________ I certify that, in the performance of the work under this Agreement, I shall not employ any person in any manner so as to become subject to the workers' compensation laws of California, and I hereby agree to indemnify, defend, and hold harmless the City of San Clemente and all of its officials, employees, and agents from and against any and all claims, liabilities, and losses relating to personal injury or death, economic losses, and property damage arising out of my failure to provide such worker’s compensation insurance. I further agree that, if I should become subject to the workers' compensation provisions of Section 3700 of the Labor Code, I shall forthwith comply with those provisions.

WARNING: FAILURE TO SECURE WORKERS’ COMPENSATION COVERAGE IS

UNLAWFUL, AND SHALL SUBJECT AN EMPLOYER TO CRIMINAL PENALTIES AND CIVIL FINES UP TO ONE HUNDRED THOUSAND DOLLARS ($100,000), IN ADDITION TO THE COST OF COMPENSATION, DAMAGES AS PROVIDED FOR IN SECTION 3706 OF THE LABOR CODE, INTEREST, AND ATTORNEY’S FEES.

Dated: _______________________________
________________________________
(“CONSULTANT”)
By: ________________________________
________________________________
Title
________________________________
Address
________________________________
215
910 Calle Negocio
2nd Floor
San Clemente, California
www.san-clemente.org

AGENDA REPORT

CITY OF SAN CLEMENTE

CITY COUNCIL MEETING
CITY OF SAN CLEMENTE 1
Meeting Date: September 15, 2026 Agenda Item: 11H.

Submitted By: Public Works
Prepared By: Masako Hennequin, P.E., Senior Civil Engineer Subject:
..titl e

CONSIDERATION OF A RESOLUTION TO ACCEPT AND FILE A NOTICE OF COMPLETION

FOR ARTERIAL PAVEMENT PRESERVATION PROGRAM FOR SOUTH EL CAMINO REAL (W. AVE. GAVIOTA TO W. AVE. SAN ANTONIO), CIP PROJECT NO. 12303 ..body Summary:

The City Council is being asked to consider Resolution 26-xxx and Notice of Completion for the Arterial Pavement Preservation Program for South El Camino Real (Attachments 1 and 2, respectively).

Background:

On March 17, 2026, the City Council awarded a construction contract to All American Asphalt to complete pavement preservation on arterial streets (Attachment 3). The contractor completed the following: grinding and repaving deteriorated pavement areas, crack filling, micro surfacing full width of asphalt pavement, removing and replacing curb and gutter, sidewalk, cross gutter, adjusting manhole covers and water valve cans, and re-striping on South El Camino Real from W. Ave. Gaviota to W. Ave. San Antonio as shown on the Location Map (Attachment 4).

After Construction After Construction

216
Meeting Date: September 15, 2026 Agenda Item: 11H.

CITY OF SAN CLEMENTE 2
An estimated summary of the project expenditures related to this NOC is provided below:

Project Management / Admin $ 1,100
Engineering Design 11,940
Construction Contract 325,826
Construction Management / Inspection 24,000
Total $ 362,866
Council Options:
 Adopt Resolution No. 26-157, which would accept the completed Arterial Pavement Preservation Program for South El Camino Real, CIP Project No. 12303.  Modify and adopt Resolution No. 26-157.
 Continue the item with direction to provide additional information.

Environmental Review/Analysis:

This project was previously determined to be categorically exempt from the California Environmental Quality Act (CEQA) under Class 1 (Existing Facilities, 14 CCR section 15301) of the State CEQA Guidelines.

Fiscal Impact:

The total project cost of $362,866 is within the approved project budget of $500,000 from the Gas Tax Fund, Account Number 012-861-45300-000-12303.

Potential Action(s):
..recommendation
If the City Council concurs with the information provided within this staff report, moving this item without modifications would result in adoption of Resolution No. 26-157, which would:

1. Accept the Arterial Pavement Preservation Program for South El Camino Real, CIP Project No. 12303, from All American Asphalt;

2. Authorize the City Clerk to execute and record the Notice of Completion for the Arterial Pavement Preservation Program for South El Camino Real, CIP Project No. 12303;

3. Authorize the City Clerk to release the payment bond 35 days from the recordation of the Notice of Completion upon verification with the Engineering Division that no liens have been levied against the Contractor, All American Asphalt; and

4. Authorize the City Clerk to release the performance bond for this project upon receipt of a warranty bond in a form acceptable to the Public Works Director/City Engineer in the amount of 25% of the total construction cost.
..end
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Meeting Date: September 15, 2026 Agenda Item: 11H.

CITY OF SAN CLEMENTE 3
Attachment:

1. Resolution No. 26-157

2. Notice of Completion

3. Staff Report dated March 17, 2026 (without attachments)

4. Location Map
Notification:

None.
218
Attachment 1
RESOLUTION NO. 26-157

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

SAN CLEMENTE, CALIFORNIA, FILING A NOTICE OF

COMPLETION, AND ACCEPTING AS COMPLETE THE

ARTERIAL PAVEMENT PRESERVATION PROGRAM FOR
SOUTH EL CAMINO REAL (W. AVE. GAVIOTA TO W. AVE.

SAN ANTONIO), CIP PROJECT NO. 12303
WHEREAS, on March 17, 2026, the City Council awarded a construction contract to All American Asphalt for the Arterial Pavement Preservation Program for South El Camino Real (W. Ave. Gaviota to W. Ave. Antonio), CIP Project No. 12303; and WHEREAS, the work consisted of grinding and repaving deteriorated pavement, crack filling, micro surfacing asphalt pavement, removing and replacing curb and gutter, sidewalk, cross gutter, adjusting manhole covers and water valve cans, and re-striping on South El Camino Real from W. Ave. Gaviota to W. Ave. San Antonio; and WHEREAS, All American Asphalt has completed the work to the satisfaction of the Public Works Director/City Engineer.

NOW, THEREFORE, the City Council of the City of San Clemente does hereby resolve as follows:

SECTION 1. That the above recitations are true and correct and incorporated fully herein.

SECTION 2. That the City Council accepts as complete the Arterial Pavement Preservation Program for South El Camino Real (W. Ave. Gaviota to W. Ave. Antonio), CIP Project No. 12303 from All American Asphalt
SECTION 3. That the City Council authorizes the City Clerk to execute and record a Notice of Completion for the Arterial Pavement Preservation Program for South El Camino Real (W. Ave. Gaviota to W. Ave. Antonio), CIP Project No. 12303.

SECTION 4. That the City Council authorizes the City Clerk to release the payment bond for this project 35 days from the recordation of the Notice of Completion upon verification with the Engineering Division that no liens have been levied against All American Asphalt
SECTION 5. That the City Council authorizes the City Clerk to release the performance bond for this project upon receipt of a warranty bond in a form acceptable to the Public Works Director/City Engineer in the amount of 25% of the total construction cost.

SECTION 6. The City Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions.
219
Resolution No. 26-157 Page 2
PASSED AND ADOPTED this _____ day of ____________________, 2026.

ATTEST:
___________________________ __________________________
City Clerk of the City of Rick Loeffler, Mayor of the
San Clemente, California City of San Clemente, California

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) §

CITY OF SAN CLEMENTE )
I, LAURA CAMPAGNOLO, City Clerk of the City of San Clemente, California, do hereby certify that Resolution No. 26-157 was adopted at a regular meeting of the City Council of the City of San Clemente held on the _______ day of _______________________, _________, by the following vote:

AYES:

NOES:

ABSENT:

City of San Clemente
When Recorded, Mail To:

City Clerk Department
City of San Clemente
910 Calle Negocio
San Clemente, CA 92673
Recorded for the benefit of the City of San
Clemente and exempt from recording fees
pursuant to Government Code Section 27383.

Space above this line is for Recorder’s Use Only

NOTICE OF COMPLETION
Notice is hereby given by the City of San Clemente, a Municipal Corporation, that a public work of improvement has been completed as follows:

1. Project title or description of work: Arterial Pavement Preservation Program for South El Camino Real (W. Ave. Gaviota to W. Ave. San Antonio), CIP Project No. 12303.

2. Date of completion: August 5, 2026.

3. Street address or legal description of the project site: South El Camino Real from W.

Ave. Gaviota to W. Ave. San Antonio.

4. Name of owner: City of San Clemente.

5. Interest or estate of owner: Public Facility; Owned in Fee.

6. Address of owner: 910 Calle Negocio, Suite 100, San Clemente, CA 92673

7. Name and address of contractor: All American Asphalt, 400 E. Sixth Street, Corona, CA92879.

I am the City Clerk for the City of San Clemente, a Municipal Corporation, the owner of the indicated interest or estate in the property described above. I make this verification on behalf of the City of San Clemente. I have read this Notice of Completion and know its contents. I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct.

Executed on __________________________ in San Clemente, California. _________________________________
Laura Campagnolo, City Clerk
City of San Clemente
221
910 Calle Negocio
2nd Floor
San Clemente, California
www.san-clemente.org

AGENDA REPORT

CITY OF SAN CLEMENTE

CITY COUNCIL MEETING

CITY OF SAN CLEMENTE
Meeting Date: March 17, 2026 Agenda Item: 11E.

Submitted By: Public Works
Prepared By: Masako Hennequin, Senior Civil Engineer
Subject:
..titl e

CONSIDERATION OF A RESOLUTION AWARDING A CONSTRUCTION CONTRACT TO ALL

AMERICAN ASPHALT FOR ARTERIAL PAVEMENT PRESERVATION PROGRAM FOR SOUTH EL CAMINO REAL (W. AVE. GAVIOTA TO W. AVE. SAN ANTONIO), CIP PROJECT NO. 12303, IN AN AMOUNT NOT TO EXCEED $332,218, AUTHORIZING THE CITY MANAGER

TO EXECUTE THE CONSTRUCTION CONTRACT AND FINDING THE PROJECT CATEGORICALLY ..body EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT Summary:

The City Council is being asked to consider adoption of a resolution (Attachment 1) to award and authorize the execution of a construction contract with All American Asphalt, in an amount not to exceed $332,218, for the Arterial Pavement Preservation Program for South El Camino Real (W.

Ave. Gaviota to W. Ave. San Antonio) (Attachment 2).

Background:

As part of the Arterial Pavement Preservation Program, the South El Camino Real (W. Ave.

Gaviota to W. Ave. San Antonio) project includes grinding and repaving 0.20’ depth of deteriorated asphalt pavement areas, crack filling all cracks on asphalt pavement, sealing with micro-surface full width of asphalt pavement. The project also includes concrete repair work consisting of the removal and replacement of curb and gutter, sidewalk, and curb ramps maintaining safe pedestrian routes.

Existing Pavement Existing Pavement
City staff completed plans and specifications for the project. On February 5, 2026, staff contacted local contractors, published a notice inviting bids for this project in the San Clemente Times, and published a bid solicitation on PlanetBids. Bids were opened on February 19, 2026, and the 1 Attachment 3
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Meeting Date: March 17, 2026 Agenda Item: 11E.

CITY OF SAN CLEMENTE
results are presented in the table below. Bids ranged from $332,218 to $398,973. There were no bids from businesses based in San Clemente.

The apparent lowest bidder, All American Asphalt, had a minor irregularity in their bid: the total bid price written on the hard-copy bid form and uploaded to PlanetBids was $322,218, whereas the total bid price entered and calculated electronically via PlanetBids was $332,218. All American Asphalt acknowledged an error in the bid, City staff determined there was a typographical error in entering the total bid amount on the hard-copy bid form, and the correct low bid amount is $332,218.

The City Council reserves the right to waive any irregularities or informalities in the bids or bidding process per the City’s Procurement Policy and Procedure Section VII.D.7.

Based on the above findings, the staff recommends that the City Council consider All American Asphalt of Corona, California, with a total bid amount of $332,218, to be the lowest responsive and responsible bidder, and waive the minor irregularity. This error did not result in any competitive advantage because All American Asphalt is still the low bidder.

Table 1. Bid Summary
Company Name Company Location Amount
All American Asphalt Corona, CA $332,218.00
Paveco Construction, Inc. Baldwin Park, CA $343,657.72
Hardy & Harper, Inc. Lake Forest, CA $345,000.00
ONYX Paving Company, Inc. Yorba Linda, CA $357,000.00
L.C. Paving & Sealing Escondido, CA $366,679.75
Van Engineering Wildmar, CA $367,312.50
Hillcrest Contracting, Inc. Corona, CA $388,697.26
PALP dba Excel Paving Company Long Beach, CA $398,973.00 Based on the lowest bid, the total estimated project construction cost is $399,218, as summarized below in Table 2:

Table 2. Cost Summary
Construction $ 332,218
Construction Management and Inspection $ 67,000
Total Estimated Construction Cost $ 399,218
As required by state law and City policy, All American Asphalt will be required to provide performance and payment bonds simultaneously with the execution of the construction contract (Attachment 2). Project plans and specifications are on file in the City Clerk’s office. 2232
Meeting Date: March 17, 2026 Agenda Item: 11E.

CITY OF SAN CLEMENTE
Considerations Identified by Staff:

This project, as part of the Arterial Pavement Preservation Program, will repair deteriorated pavement areas, fill cracks, and seal the full width of the pavement to extend pavement life by maintaining and utilizing cost-effective measures.

If the City chooses not move forward and maintain deteriorated pavement areas within streets, pavement deterioration will progress to pavement failures, and the streets will require full street pavement reconstruction, which is significantly more costly and more disruptive to City residents.

Council Options:
 Adopt Resolution No. 26-52 (Attachment 1), awarding the Arterial Pavement Preservation Program for South El Camino Real (W. Ave. Gaviota to W. Ave. San Antonio) contract to All American Asphalt, authorizing the City Manager to execute a construction contract an amount not to exceed $332,218, and finding the project categorically exempt from CEQA under Class 1 (Existing Facilities, 14 CCR section 15301) of the State CEQA Guidelines.  Modify and adopt Resolution No. 26-52.
 Continue the item and direct staff to provide additional information.  Do not award the contract or construct the street improvements.

Environmental Review/Analysis:

This project is exempt from the California Environmental Quality Act (CEQA) under Class 1 (Existing Facilities, 14 CCR section 15301) of the State CEQA Guidelines because it consists of repairs to existing City facilities, involves negligible or no expansion of existing or former use, and has no possibility of a direct or reasonably foreseeable indirect effect on the environment.

Fiscal Impact:

The estimated total construction cost of $399,218 is comprised of construction ($332,218) and construction management/inspection ($67,000), and is within the approved budget of $470,000 from the Gas Tax Fund, Account No. 012-861-45300-000-12303 Arterial Pavement Preservation Program.

Recommended Action(s):
..recommendation
Staff recommends the City Council adopt Resolution No. 26-52 (Attachment 1), which will:
..recommendation

1. Find the Arterial Pavement Preservation Program for South El Camino Real (W. Ave. Gaviota to W. Ave. San Antonio), CIP Project No. 12303, categorically exempt from the California Environmental Quality Act (CEQA) under Class 1 (Existing Facilities, 14 CCR section 15301) of the State CEQA Guidelines;

2. Waive the minor irregularity in All American Asphalt’s bid documentation and consider All American Asphalt to be the lowest responsive and responsible bidder, with a total bid amount of $332,218;
2243
Meeting Date: March 17, 2026 Agenda Item: 11E.

CITY OF SAN CLEMENTE

3. Award the Arterial Pavement Preservation Program for South El Camino Real (W. Ave.

Gaviota to W. Ave. San Antonio), CIP Project No. 12303, contract to All American Asphalt; and

4. Authorize the City Manager to execute a contract with All American Asphalt in an amount not to exceed $332,218, Contract No. 26-26 (Attachment 2).
..end
Attachment:

1. Resolution No. 26-52

2. Contract No. C26-52 (without attachments, attachments are on file with and available for review with the City Engineer)
Notification:

All bidders.
2254

CL ALCAZAR

ST HWY)

EL CAMINO REA

AVE PRINCESA

AVE SAN GA
AL
RDOBA

AVE GAVIOTA AVE VALENCIA

AVE VERDE AVE DE LOS LOBOS MARINOS CL MARIA

AVE CORDOBA

AVE RAMONA
CL LE

AVE SAN JUAN AVE SAN ANTONIO

AVE JUNIPERO AVE CORNELIO AVE RAMONA AVE DE LOS

LOBOS MARINOS

AVE DEL PRESIDENTE
I-5 FREEWAY
AVE

ALESSANDRO
AVE

SAN ANTONIO

C I T Y O F S A N C L E M E N T E
910 CL Negocio, Suite 100
San CLEMENTE, CA 92673
Tel (949) 361-6100
Fax (949) 361-8316

LOCATION MAP
i:\cd\engineering\secure\projects\pn 12303 - s ecr - w ave valencia to w ave san antonio\14-design\cad\pn12303 s ecr location map.dwg 1.28.2026

Page 1 ends

ATTACHMENT 1

SOUTH EL CAMINO REAL
from W. Ave. Valencia to W. Ave. San Antonio
Project No. 12303
226
910 Calle Negocio
2nd Floor
San Clemente, California
www.san-clemente.org

AGENDA REPORT

CITY OF SAN CLEMENTE

CITY COUNCIL MEETING
CITY OF SAN CLEMENTE 1
Meeting Date: September 15, 2026 Agenda Item: 11I.

Submitted By: Community Development
Prepared By: Adam Atamian, Community Development Director Subject:
..titl e
CONSIDERATION OF A RESOLUTION APPROVING THE 2025-2026 CONSOLIDATED

ANNUAL PERFORMANCE & EVALUATION REPORT (CAPER) FOR EXPENDITURE OF COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS ..body
Summary:

This is the review and approval of the Fiscal Year (FY) 2025-26 Consolidated Annual Performance & Evaluation Report (CAPER), which summarizes the Community Development Block Grant (CDBG) program's expenditures and accomplishments. Each year, the City submits an Annual Action Plan (AAP) in May and the CAPER in September to meet federal grant requirements and continue receiving funding from the Department of Housing and Urban Development (HUD). During the 2025-26 reporting period, the City was awarded $310,427 in CDBG funds and received $21,961 in program income (i.e., housing rehabilitation loan repayments). In addition, $12,427 in prior-year uncommitted funds were also available.

Background:

Each year, HUD determines the amount of CDBG funds the City is entitled to receive based on population, household income, and housing needs. To continue receiving CDBG funds, the City Council must approve the CAPER, which summarizes program expenditures and accomplishments for each CDBG-funded activity for the prior year, which for this reporting period is FY 2025-26. The City must submit the CAPER to HUD within 90 days after the end of the FY.

The CAPER requires a 15-day comment period to allow the public to submit written comments.

The public may also provide comments at the September 15, 2026, City Council meeting. The City must hold a public meeting twice a year to receive Federal CDBG grants. The first meeting is for adopting the AAP, which typically occurs in May. The AAP identifies the projects and programs the City will undertake during the upcoming FY to meet the goals identified in the City's Consolidated Plan (defined below). A second meeting is held after the end of the FY to review and evaluate how the funds were spent; this City Council meeting meets the later requirement.

Discussion:

Every five years, the City prepares a Consolidated Plan. The Consolidated Plan is a five-year strategic plan that identifies priority housing and community needs and how CDBG funds will be used to meet these needs. Annually, the City adopts an AAP that identifies activities to be carried out with CDBG funds to address Consolidated Plan priorities. At the end of each fiscal year, the City is required to submit its year-end performance report, the CAPER, to HUD. The City Council adopted the current Consolidated Plan in May 2025.
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Meeting Date: September 15, 2026 Agenda Item: 11I.

CITY OF SAN CLEMENTE 2
Fiscal Year 2025-26 Accomplishments
Maintaining safe and decent housing for lower-income San Clemente homeowners is a priority need identified in the City's Consolidated Plan. To this end, the City provides loans and grants to eligible households via the Home Rehabilitation Program. The City has funded this program with CDBG funds since 1994. Three (3) qualified homeowners received housing rehabilitation assistance for their residences during this reporting period.

During FY 2025–26, the City continued to use CDBG funds to support several public facility improvements:
 Avenida de la Estrella: CDBG funds have been allocated to construct concrete sidewalks and curbs at the 1200 block of Avenida de la Estrella. Due to right-of-way issues, the project design did not begin until August 2026. The project is anticipated to be ready for bids in October 2026, with construction starting in January 2027 and completed by April 2027.  Bonito Canyon Park: The project progressed with installation of a new playground shade structure; this improvement has enhanced the park’s aesthetic and functionality and continues to be a great community amenity. Planning efforts began for Phase 2 of the project – the proposed rehabilitation of the existing tennis courts.
 Community Center Public Restroom ADA Rehabilitation: The project advanced from the design phase into construction procurement. The City Council rejected all bids on June 16, 2026, due to cost and a lack of responsiveness. Staff was authorized to revise the project scope and re-bid the project. Construction is anticipated to begin in October 2026 and be completed by February 2027.
 Max Berg Plaza Park: The historic water fountains at Max Berg Plaza Park are continuing to advance toward the next phase, with plan design complete; the bid process has commenced.

The project remains ongoing with construction slated to begin in November 2026 and completed by January 2027.

CDBG funding was also allocated to support various public service programs. Public service programs benefit the community, families, and individuals by addressing critical social service needs. During FY 2025-26, service providers assisted 2,656 residents through CDBG-funded services.

Additionally, CDBG funds were allocated for program administration (CDBG program consultants, who help the City administer the grant and the City's Housing Rehabilitation Program). Table 1 summarizes the programs and activities detailed in the 2025-26 CAPER. 228
Meeting Date: September 15, 2026 Agenda Item: 11I.

CITY OF SAN CLEMENTE 3
Table 1: CDBG FUNDED PROGRAMS - FISCAL YEAR 2025-2026

CDBG PROGRAM
GRANT
FUNDED
AMOUNT
1 EXPECTED
NUMBER
ACTUA
L
NUMBE
R
FY 25-26
GRANT
FUNDS

EXPENDED
Housing Rehabilitation: Housing rehabilitation
assistance for owner-occupied & rental housing 2
$96,961
(Includes
Revolving
Loan)
3 2 $102,116
Public Improvements:

1. Max Berg Plaza Park Water - Fountains restoration
3 $225,000 1 0 $33,551

2. Bonito Canyon Park - Playground shade
structure and Phase 2 improvements 4 $161,522 1 0 $1,216

3. San Clemente Community Center Restrooms –
ADA Improvements 5 $150,000 1 0 $34,484

4. Avenida de la Estrella – Sidewalk construction $139,617 1 0 $0 Public Service Grant Recipients:

1. Age Well Senior Services – Meals on Wheels $6,675 75 77 $6,675

2. Camino Health Center - Medical care for the
uninsured & indigent $12,440 2,500 2,338 $12,440

3. City of San Clemente Silver Connections – Senior
recreation activities $7,315 100 198 $7,315

4. Family Assistance Ministries – Homelessness
prevention assistance $14,500 36 9 $6,508

5. Parentis Foundation – Reading support
services for elementary-aged students $5,700 25 34 $5,700 CDBG Administration & Planning:

1. Fair Housing Counseling $5,175 50 50 5,175

2. Program oversight $57,000 NA NA $34,432
TOTAL 2024-25 Grant Funded Amount $249,612

1. “Grant Funded Amount” may include prior-year funds and program income.

2. “Grant Funded Amount” is the sum of FY 25/26 CDBG allocation plus program income; however, the City primarily “Expended” FY 24/25 funds allocated for housing rehabilitation that were carried over into FY 25/26 and program income.

3. Total CDBG funds spent since the inception of the project: $63,333.

4. Total CDBG funds spent since the inception of the project: $50,003.

5. Total CDBG funds spent since the inception of the project: $40,704.

Finally, the CAPER reports that the City leveraged CDBG funds. During this reporting period, $358,663 in Permanent Local Housing Allocation (PLHA) funds were used to support activities consistent with the Consolidated Plan goals. These services are for Homeless Outreach Services provided by the City's Community Outreach Team.

Considerations Identified by Staff:

Staff has reviewed the FY 2025-26 CAPER and has not identified any significant issues or concerns. The CAPER documents the City's use of CDBG funds and the accomplishments of 229
Meeting Date: September 15, 2026 Agenda Item: 11I.

CITY OF SAN CLEMENTE 4
CDBG-funded activities during the reporting period. Approval of the CAPER is necessary to satisfy HUD's annual reporting requirements.

Council Options:
 Adopt Resolution No. 26-158, which will approve and adopt the FY 2025-26 Consolidated Annual Performance Evaluation Report for submittal to the U.S. Department of Housing and Urban Development.
 Modify and adopt Resolution No. 26-158.
 Continue the item with direction to staff to provide additional information.  Do not approve Resolution No. 26-158, which will result in the City being out of compliance with reporting obligations.

Environmental Review/Analysis:

Not a project pursuant to CEQA Guidelines Section 15378 (14 CCR 15378). Approval of the CAPER has no potential to result in either a direct or physical change in the environment or a reasonably foreseeable indirect physical change in the environment. Individual actions described in the plan are evaluated through the appropriate environmental review process, as necessary, at the appropriate time before implementation.

Fiscal Impact:

There is no fiscal impact related to filing the CAPER.

Potential Action(s):
..recommendation
Staff recommends that the City Council adopt Resolution No. 26-158, which will approve and adopt the FY 2025-26 Consolidated Annual Performance & Evaluation Report for submittal to the U.S. Department of Housing and Urban Development.
..end
Attachment:

1. Resolution No. 26-158

2. 2025-2026 DRAFT Consolidated Annual Performance Evaluation Report (CAPER) Notification:

San Clemente Times
230
Attachment 1
RESOLUTION NO. 26-158

SAN CLEMENTE, CALIFORNIA, APPROVING AND
ADOPTING THE FISCAL YEAR 2025-2026 CONSOLIDATED

ANNUAL PERFORMANCE AND EVALUATION REPORT
FOR SUBMITTAL TO THE U. S. DEPARTMENT OF

HOUSING AND URBAN DEVELOPMENT
WHEREAS, the City received $310,955 in Community Development Block Grant (CDBG) funds in Fiscal Year 2025-26 from the U.S. Department of Housing and Urban Development (HUD), $21,961 in program income (i.e., housing rehabilitation loan repayments), and used $12,427 in prior-year uncommitted funds; and WHEREAS, to continue receiving CDBG funds, the City Council must approve the Consolidated Annual Performance Report (CAPER), which summarizes program expenditures and accomplishments for Fiscal Year 2025-26 and was presented to the City Council on September 15, 2026 following the requisite public comment period; and WHEREAS, the City must submit the CAPER to HUD within 90 days after the end of the fiscal year.

NOW, THEREFORE, the City Council of the City of San Clemente does hereby find, determine and resolve as follows:

SECTION 1. The above recitations are true and correct and incorporated fully herein.

SECTION 2. That the 2025-26 Consolidated Annual Performance Evaluation Report (CAPER) is hereby approved.

SECTION 3. The City Manager, or their designee, is authorized and directed to submit the FY 2025-26 CAPER to the U.S. Department of Housing and Urban Development in substantially the same form presented to the City Council on September 15, 2026.

SECTION 4. The City Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions.

PASSED AND ADOPTED this day of , .

ATTEST:

City Clerk of the City of San
Clemente, California
Rick Loeffler, Mayor of the City of
San Clemente, California
231
Resolution No. 26-158 Page 2

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) §

CITY OF SAN CLEMENTE )
I, LAURA CAMPAGNOLO, City Clerk of the City of San Clemente, California, do hereby certify that Resolution No. 26-158 was adopted at a regular meeting of the City Council of the City of San Clemente held on the _______ day of _______________________, _________, by the following vote:

AYES:

NOES:

ABSENT:

CITY OF

SAN CLEMENTE
2025-2026

CONSOLIDATED
ANNUAL

PERFORMANCE &

EVALUATION
REPORT
Draft August 20, 2026
Attachment 2
233
CAPER 2025-2026 i
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 Table of Contents
CR-05 - Goals and Outcomes................................................................................................................1 CR-10 - Racial and Ethnic composition of families assisted ...................................................................6 CR-15 - Resources and Investments 91.520(a)......................................................................................7 CR-20 - Affordable Housing 91.520(b)..................................................................................................9 CR-25 - Homeless and Other Special Needs 91.220(d, e); 91.320(d, e); 91.520(c) ............................... 11 CR-30 - Public Housing 91.220(h); 91.320(j) ....................................................................................... 13 CR-35 - Other Actions 91.220(j)-(k); 91.320(i)-(j) ................................................................................ 14 CR-40 - Monitoring 91.220 and 91.230 .............................................................................................. 17 CR-45 - CDBG 91.520(c) ..................................................................................................................... 18 CR-58 – Section 3............................................................................................................................... 19 Exhibits
Exhibit A: PR03: CDBG Activity Summary Report (GPR)
Exhibit B: PR26: CDBG Financial Summary Report
Exhibit C: San Clemente CDBG Target Areas
Exhibit D: Summary of Fair Housing Impediments and Actions to Address Impediments Exhibit E: Public Notice and Summary of Public Comments 234
CAPER 2025-2026 1
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 CR-05 - Goals and Outcomes
Progress the jurisdiction has made in carrying out its strategic plan and its action plan.

91.520(a)
The City of San Clemente is a recipient of Community Development Block Grant (CDBG) funds from the U.S. Department of Housing and Urban Development (HUD). CDBG funds may be used for various activities, provided the primary beneficiaries meet HUD’s definition of a low- and moderate-income individual. To receive CDBG funds, the City must prepare a strategic plan that identifies housing and community needs, prioritizes them, and identifies programs and goals to address priority needs. This strategic plan is known as the Consolidated Plan. The City Council approved the current Consolidated Plan in May 2025 for the five-year period of Fiscal Year (FY) 2025-26 through FY 2029-30. Each year, the City prepares an expenditure plan (the Annual Action Plan) that lists specific activities the City will carry out with CDBG funds to meet the housing and community needs identified in the Consolidated Plan. At the end of each fiscal year, the City must prepare an accomplishment report. This report is the Consolidated Annual Performance and Evaluation Report (CAPER). In addition to comparing planned versus actual accomplishments for the respective fiscal year, the CAPER tracks the City’s progress toward meeting the 5-year goals established in the Consolidated Plan.

The 2025-2026 CAPER summarizes the CDBG-funded activities the City undertook from July 1, 2025, through June 30, 2026 (FY 2025-26). FY 2025-26 is the first year of the five years covered by the current Consolidated Plan. Accomplishment highlights for the year include the following:
• Infrastructure and Facility Improvements: CDBG funding was allocated to refurbish the fountains at Max Berg Park. Funding has also been allocated for park improvements at Bonito Canyon Park. CDBG funds have also been committed to upgrade restrooms at the City’s Community Center to comply with current ADA regulations. In FY 2025-26, CDBG funding was committed to install missing sidewalks on Avenida de la Estrella. None of these projects were completed during the FY 2025-26 reporting period; however, most are anticipated to be completed in the new program year.
• Housing Rehabilitation: Three homeowner rehabilitation projects were completed during the reporting period.
• Public Social Services: Approximately 2,647 lower-income San Clemente residents were assisted during the reporting period.
• At-risk of Homelessness: CDBG funding was allocated to provide supportive services, e.g., case management, referrals, and rent/utility assistance to nine San Clemente residents. • Administration: CDBG funds were used to provide program oversight and coordination.

Additionally, 50 households received fair housing services. • The Orange County Housing Authority (OCHA) reports that it assisted 116 San Clemente households with rental assistance vouchers or certificates during the reporting period.

Exhibit A provides detailed expenditure and accomplishment information for FY 2025-26 CDBG activities undertaken during the reporting period.
235
CAPER 2025-2026 2
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 The CARES Act of 2020 allocated $654,596 in CDBG-Coronavirus (CDBG-CV) funds to San Clemente. The Act required that CDBG-CV funds be used to prevent, prepare for, or respond to local impacts of the Coronavirus pandemic. HUD required the City to spend 100% of CDBG-CV funds within six years. The City used all CDBG-CV funds by the end of FY 2022-23 (i.e., June 30, 2023) and will begin the grant closeout process in the new fiscal year.
236
CAPER 2025-2026 3
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 Comparison of the proposed versus actual outcomes for each outcome measure submitted with the consolidated plan and explain, if applicable, why progress was not made toward meeting goals and objectives. 91.520(g) Table 1 lists the goals, categories, funding sources and amounts, goal outcome indicators, and targets/actual outcomes/outputs and percentage completed for the five-year Consolidated Plan period and FY 2025-26 (Year 5 of the Consolidated Plan).

Table 1 - Accomplishments – Program Year & Strategic Plan to Date Goal Category Source /
Amount Indicator Unit of Measure
Expected
5-Yr
Strategic
Plan
Actual
5-Yr
Strategic
Plan
Percent
Complete
Expected
FY 25/26
Program
Year
Actual
FY 25/26
Program
Year
Percent
Complete
Economic
Opportunities
Non-Housing
Community
Development
CDBG: $0 Businesses assisted
Businesses
Assisted
10 0 0.00% 0 0 0.00%
Homeless
Continuum of
Care
Homeless
CDBG:
$6,508
Public service
activities other than
Low/Moderate
Income Housing
Benefit
Persons
Assisted
200 0 0.00% 33 0 0.00%
Homelessness
Prevention
Persons
Assisted
25 9 36.00% 3 9
300.00
%
Housing
Preservation
Affordable
Housing
CDBG: $0
Rental units
rehabilitated
Household
Housing
Unit
1 0 0.00% 0 0 0.00%
Housing
Preservation
Affordable
Housing
CDBG:
$102,116
Homeowner
Housing
Rehabilitated
Household
Housing
Unit
15 3 20.00% 3 3
100.00
%
237
CAPER 2025-2026 4
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 Goal Category Source /
Amount Indicator Unit of Measure
Expected
5-Yr
Strategic
Plan
Actual
5-Yr
Strategic
Plan
Percent
Complete
Expected
FY 25/26
Program
Year
Actual
FY 25/26
Program
Year
Percent
Complete
Infrastructure
and Facility
Improvements
Non-Housing
Community
Development
CDBG:
$69,251
Public Facility or
Infrastructure
Activities other than
Low/Moderate
Income Housing
Benefit
Persons
Assisted
5,400 0 0.00% 1,345 0 0.00%
Program
Administration
Administration
CDBG:
$39,607
Other Other 275 50 18.18% 50 50 0.00%
Public Social
Services
Non-Homeless
Special Needs
Public Services
CDBG:
$32,130
Public service
activities other than
Low/Moderate
Income Housing
Benefit
Persons
Assisted
12,500 2,647 21.18% 2,700 2,647 98.04%
238
CAPER 2025-2026 5
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 Assess how the jurisdiction’s use of funds, particularly CDBG, addresses the priorities and specific objectives identified in the plan, giving special attention to the highest priority activities identified.

As summarized in Table 1, the City used CDBG funds to address the priority needs identified in the Consolidated Plan, including safety net programs for lower-income households:
• Age Well Senior Services provided Meals on Wheels services for homebound San Clemente seniors. A total of 77 seniors were assisted during FY 2025-26. • Camino Health Center provides reduced-cost medical services for lower-income households, including the uninsured and the homeless. During FY 2025-26, 2,338 San Clemente residents were served.
• The Fair Housing Foundation (FHF) provides services to overcome impediments to accessing safe and decent housing. The FHF provided outreach, education, and enforcement services for tenants, landlords, and property managers - 50 households were served during FY 2025-26. • Family Assistance Ministries provides case management, referrals, food bank, and other supportive services for households at risk of homelessness or who are homeless. A total of nine were assisted during FY 2025-26. All individuals also benefited from rental or utility assistance to prevent eviction or termination of services.
• Silver Connections, a City-sponsored program, provides recreational and socializing activities for seniors as a means to improve quality of life; 198 San Clemente seniors were assisted during the reporting period.
• Parentis Foundation provides reading intervention tutoring for elementary-aged children.

Parentis links local senior volunteer tutors with children who are not reading at grade level.

During the FY 2025-26 reporting period, 34 San Clemente youths were assisted.

The City offers housing rehabilitation assistance to qualified homeowners and rental property owners.

The programs aim to preserve and improve the City’s existing housing stock. Improvements typically include installing new energy-efficient windows, termite treatment, new water heaters, and other housing health and safety improvements. No rental units were assisted during the reporting period; however, three homeowners were assisted during FY 2025-26. OCHA provided rental assistance to 116 San Clemente renter households.

As previously reported, CDBG funding was allocated to refurbish the fountains at Max Berg Park.

Funding has also been allocated for park improvements at Bonito Canyon Park and to upgrade restrooms at the City’s Community Center to comply with current ADA regulations. In FY 2025-26, CDBG funding was committed to install missing sidewalks on Avenida de la Estrella. None of these projects were completed during the FY 2025-26 reporting period; however, they are anticipated to be completed in the new program year.

Accomplishments for the FY 2025-26 CDBG program are summarized in Exhibit A. 239
CAPER 2025-2026 6
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 CR-10 - Racial and Ethnic composition of families assisted Describe the families assisted (including the racial and ethnic status of families assisted).

91.520(a)
Table 2 – Assistance to Racial and Ethnic Populations by Source of Funds CDBG
White 1,713
Black or African American 14
Asian 62
American Indian or American Native 16
Native Hawaiian or Other Pacific Islander 10
Other * 841
Total 2,656
Hispanic 1,209
Not Hispanic 1,447
* By default, Table 2 excludes 841 multi-racial program beneficiaries in IDIS.

Narrative
According to the U.S. Census Bureau, 75.4% of San Clemente residents are White (2024 American Community Survey 5-Year Estimates). This data source also reports that 17.0% of the City’s population is Hispanic/Latino, the City’s largest minority population.

Based on Table 2, approximately 64.5% of program participants are White; 45.5% are reported to be ethnically Hispanic/Latino. A closer look at the accomplishment data from individual activities provides additional insight. A significant percentage of safety net program participants, such as medical care and youth services, are lower-income Hispanic/Latino households.

Accomplishment data provided by CDBG subrecipients also indicate that approximately 88.5% of program beneficiaries are from extremely low-income households (i.e., a household with income less than 30% of the County median income). Data from Table 2 and subrecipients indicate that, in general, lower-income San Clemente households may be economically unstable and seek services to help stabilize their economic situation.
240
CAPER 2025-2026 7
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 CR-15 - Resources and Investments 91.520(a)
Identify the resources made available
Table 3 - Resources Made Available
Source of Funds Source Resources Made
Available
Amount Expended
During Program Year
CDBG Public - federal $323,422 $249,612
Narrative
According to the City’s 2025-26 Annual Action Plan, the City anticipated using $323,422 in CDBG program resources, comprised of its 2025 CDBG Annual Allocation of $310,995 plus $12,427 in prioryear uncommitted funds. The City did not anticipate receiving CDBG Program Income funds during the reporting period (i.e., Revolving Loan funds generated by the repayment of prior CDBG-funded housing rehabilitation loans). During the reporting period, the City received its 2025 CDBG grant of $310,427 and had access to $12,427 in prior-year funds. Additionally, the City received $21,961 in program income. As identified in Table 3, the City spent $249,612 in CDBG funds during the reporting period.

Exhibit B (PR26: Financial Summary Reports) provides a detailed summary of CDBG expenditures.

Identify the geographic distribution and location of investments Table 4 – Identify the geographic distribution and location of investments Target Area Planned Percentage
of Allocation
Actual Percentage of
Allocation Narrative Description
CDBG census tracts 42 14 CDBG census tracts
Citywide 58 86
Citywide program or
activity
Narrative
Table 4 indicates that most CDBG expenditures during the 2025-26 reporting period were used citywide.

A small amount (14%) was spent within the City’s CDBG-eligible area for park improvement projects. A list of the City’s CDBG-eligible areas is provided in Exhibit C. 241
CAPER 2025-2026 8
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 Leveraging
Explain how federal funds leveraged additional resources (private, state and local funds), including a description of how matching requirements were satisfied, as well as how any publicly owned land or property located within the jurisdiction that were used to address the needs identified in the plan.

The City of San Clemente made an effort to leverage CDBG funds to the greatest extent possible. During the reporting period, $358,663 in other funds were used to support activities consistent with Consolidated Plan goals:
• Homeless Outreach Services: $358,663 – Permanent Local Housing Allocation (PLHA) There is no requirement to match the CDBG program.
242
CAPER 2025-2026 9
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 CR-20 - Affordable Housing 91.520(b)
Evaluation of the jurisdiction's progress in providing affordable housing, including the number and types of families served, the number of extremely low-income, low-income, moderate-income, and middle-income persons served.

Table 5 – Number of Households
One-Year Goal Actual
Number of Homeless households to be
provided affordable housing units
0 0
Number of Non-Homeless households to be
provided affordable housing units
3 3
Number of Special-Needs households to be
provided affordable housing units
0 0
Total 3 3
Table 6 – Number of Households Supported
One-Year Goal Actual
Number of households supported through
Rental Assistance
0 0
Number of households supported through
The Production of New Units
0 0
Number of households supported through
Rehab of Existing Units
3 3
Number of households supported through
Acquisition of Existing Units
0 0
Total 3 3
Discuss the difference between goals and outcomes and problems encountered in meeting these goals.

The City met planned housing rehabilitation program goals for the 2025-26 reporting period.

Discuss how these outcomes will impact future annual action plans.

During the FY 2025-26 report period, the City revised program policies and forms for the housing rehabilitation program and finalized key agreements with vendors to support housing assistance administration and loan servicing. Housing rehabilitation loans are still available; however, the program will focus on providing rehabilitation grants. While grants do not spend funds down in amounts as large as loans, most homeowners are reluctant to encumber their home with a loan. Program revisions should help the City assist more homeowners at a faster pace.
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CAPER 2025-2026 10
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 Include the number of extremely low-income, low-income, and moderate-income persons served by each activity where information on income by family size is required to determine the eligibility of the activity.

Table 7 – Number of Households Served
Number of Households Served CDBG Actual HOME Actual
Extremely Low-income 0 0
Low-income 1 0
Moderate-income 2 0
Total 3 0
Narrative Information
During prior fiscal years, the City experienced staff and vendor issues that delayed funding for housing rehabilitation assistance. These delays were further complicated by Executive Orders issued in 2025 and HUD’s environmental release of program funds. During the FY 2025-26 reporting period, the City finalized program policies, agreements, and forms and re-established the program. The City assisted three homeowners during the reporting period. OCHA provided 116 lower-income San Clemente households with rental assistance during the 2025-26 reporting period.

The City is not a recipient of HOME funds.
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CAPER 2025-2026 11
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 CR-25 - Homeless and Other Special Needs 91.220(d, e); 91.320(d, e); 91.520(c) Evaluate the jurisdiction’s progress in meeting its specific objectives for reducing and ending homelessness through:

Reaching out to homeless persons (especially unsheltered persons) and assessing their individual needs
No CDBG funds were allocated during the 2025-26 reporting period for homeless outreach; however, the City used PLHA funds to provide street outreach services for persons experiencing homelessness.

During the 2025-26 reporting period, the City’s Homeless Outreach staff engaged 639 homeless individuals, assisting 222 to exit homelessness. The Orange County Sheriff and regional homeless service providers, such as Family Assistance Ministries, have also established outreach programs that engage the homeless. These efforts align with the regional Continuum of Care and its outreach and assessment strategy.

Addressing the emergency shelter and transitional housing needs of homeless persons During the 2025-26 reporting period, no CDBG funds were allocated for emergency shelter or transitional housing; however, Family Assistance Ministries (FAM) provides emergency and transitional housing opportunities for homeless families with children. Because of FAM’s locational proximity, Homeless Outreach and Sheriff personnel can refer families to the organization for assessment and services.

Helping low-income individuals and families avoid becoming homeless, especially extremely low-income individuals and families and those who are: likely to become homeless after being discharged from publicly funded institutions and systems of care (such as health care facilities, mental health facilities, foster care and other youth facilities, and corrections programs and institutions); and, receiving assistance from public or private agencies that address housing, health, social services, employment, education, or youth needs The City’s homeless strategy, as delineated in the Consolidated Plan, calls for providing safety net services that help prevent individuals and families from becoming homeless. To this end, during the 2025-26 reporting period, CDBG funds were allocated to safety net programs that helped lower-income San Clemente households maintain shelter and meet basic needs. Examples of safety net programs include Meals on Wheels and reduced-cost medical and dental services. OCHA reports providing rental assistance to eight disabled homeless households with Continuum of Care Permanent Supportive Housing Certificates. Six formerly homeless veterans received Veterans Affairs Supportive Housing (VASH) housing vouchers. Seven individuals who were at risk of homelessness, were homeless, or were escaping domestic violence, stalking, or human trafficking received Emergency Housing Vouchers. 245
CAPER 2025-2026 12
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 Helping homeless persons (especially chronically homeless individuals and families, families with children, veterans and their families, and unaccompanied youth) make the transition to permanent housing and independent living, including shortening the period of time that individuals and families experience homelessness, facilitating access for homeless individuals and families to affordable housing units, and preventing individuals and families who were recently homeless from becoming homeless again
During the 2025-26 reporting period, no CDBG funding was allocated to fund permanent housing activities for homeless persons. However, as reported above, OCHA provided eight homeless households with Continuum of Care Permanent Supportive Housing Certificates, six homeless veterans received Veterans Affairs Supportive Housing (VASH), and seven San Clemente at-risk households received Emergency Housing Vouchers.
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CAPER 2025-2026 13
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 CR-30 - Public Housing 91.220(h); 91.320(j)
Actions taken to address the needs of public housing
The City of San Clemente does not own or manage public housing.

Actions taken to encourage public housing residents to become more involved in management and participate in homeownership
Not applicable
Actions taken to provide assistance to troubled PHAs
Not applicable
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CAPER 2025-2026 14
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 CR-35 - Other Actions 91.220(j)-(k); 91.320(i)-(j)
Actions taken to remove or ameliorate the negative effects of public policies that serve as barriers to affordable housing such as land use controls, tax policies affecting land, zoning ordinances, building codes, fees and charges, growth limitations, and policies affecting the return on residential investment. 91.220 (j); 91.320 (i) Listed below are some of the primary actions the City’s Housing Element has identified that can help eliminate or mitigate barriers to developing affordable housing opportunities. • The City has established minimum required densities in the mixed-use and affordable housing overlay zones that help ensure that land zoned for multi-family use, which is limited, is developed as efficiently as possible.
• State law requires that local governments grant a density bonus and additional incentives or concessions to facilitate affordable housing development. The City has adopted a Density Bonus Ordinance and periodically amends this ordinance to comply with updates to State requirements. • The City provides reduced parking requirements for senior housing projects and affordable housing consistent with State Density Bonus law.
• Housing projects developed within the Housing Overlay must have 20% to 40% of the units affordable to lower-income households depending on the level of affordability. These projects are entitled to utilize the State Density Bonus parking standards. • The State has passed numerous changes to the Accessory Dwelling Unit (ADU) law to facilitate the development of ADUs; the City has subsequently amended its ADU Ordinance to comply with State law. ADUs may be an alternative source of affordable housing for lower-income households and seniors since these units typically rent for less than apartments of comparable size.

The City does not typically offer fee waivers; however, the City Council may approve a waiver, offer deferred or reduced fees, or supplement fees. The City has limited financial resources to subsidize housing development; however, the City will accept an in-lieu fee for projects that do not or cannot provide on-site affordable units (including within the Coastal Zone). In turn, In-lieu Fee Funds can be used to contribute to affordable housing projects to create affordable housing opportunities for lowerincome residents.

In FY2025-26, no projects were approved with density bonus or modified development standards authorized pursuant to Housing Element incentives. However, 21 ADUs and one small lot subdivision were authorized, taking advantage of State law and streamlined review referenced in the Housing Element. Additionally, within the fiscal year, the City Council approved updated ordinances related to ADUs, small lot subdivisions, and emergency shelters to reduce barriers to housing development consistent with Housing Element commitments.

Actions taken to address obstacles to meeting underserved needs. 91.220(k); 91.320(j) The City recognizes that special needs populations face challenges due to low income and their unique 248
CAPER 2025-2026 15
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 conditions (e.g., a disability). These factors make such individuals more likely to become homeless and often need housing and supportive services. The City considers supportive services and housing for special needs populations a priority. Supportive services are also a high priority in Orange County's Continuum of Care. During FY 2025-26, the City-funded public service agencies provided a social safety net to help at-risk households. Services included access to food and reduced health care for lowerincome San Clemente residents.

Actions taken to reduce lead-based paint hazards. 91.220(k); 91.320(j) The Residential Lead-Based Paint (LBP) Hazard Reduction Act of 1992 changed the federal approach to addressing LBP by emphasizing preventing childhood lead poisoning through housing-based approaches.

In response, the City includes lead-based paint hazard reduction as an eligible activity in its housing rehabilitation programs.

All application packets for the City’s housing rehabilitation program include a notice to educate residents about the health dangers of lead and encourage screening of children for elevated blood-lead levels. All existing units are screened for lead-based paint before federal rehabilitation funds are used.

Housing units identified as having lead-based paint hazards are treated to abate the hazards per federal requirements. The City’s housing rehabilitation program is also designed to ensure safe work practices, as dictated by HUD, are used to address lead-paint hazards. One of the three housing units rehabilitated with CDBG funds during FY 2025-26 required some lead abatement.

Actions taken to reduce the number of poverty-level families. 91.220(k); 91.320(j) According to the U.S. Census Bureau, approximately 5.8% of San Clemente residents have incomes below the poverty level. This figure includes approximately 5.3% of City residents aged 65 and older and 3.2% of children under 18.[1] The Consolidated Plan and Annual Action Plan indicate that the City will support social services and housing activities for households below the poverty line, recognizing that income enhancement services can help increase household stability. To this end, the City funded several activities to assist lower-income residents. For example, Camino Health Center, which provides reducedcost medical services for lower-income San Clemente residents, reports that approximately 97% of the program’s FY 2025-26 beneficiaries have extremely low incomes. Age Well reports that 79% of the San Clemente seniors it served had extremely low incomes. This data shows that CDBG resources were critical in the community and helped many individuals living in or near poverty. [1.] POVERTY STATUS IN THE PAST 12 MONTHS, 2024 American Community Survey 5-Year Estimates, S1701.

Actions taken to develop institutional structure. 91.220(k); 91.320(j) During FY 2025-26, the City continued efforts to eliminate institutional gaps and coordinate programs within the community and regionally. For example, the City partnered with local nonprofits to deliver public services. City departments also worked together to evaluate projects funded in whole or in part with CDBG funds that address community needs. The City assisted OCHA by participating in the Cities Advisory Committee – a quarterly meeting of cities and OCHA to discuss federal rental housing assistance 249
CAPER 2025-2026 16
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 and regional housing issues. On a regional basis, the City supported the Orange County Continuum of Care (CoC) as it prepared the County’s CoC Homeless Assistance grant application for HUD consideration.

Actions taken to enhance coordination between public and private housing and social service agencies. 91.220(k); 91.320(j)
As indicated above, the City participated in regional coordination of services by attending the quarterly Cities Advisory Committee meetings held by OCHA to discuss federal rental housing assistance issues and by contributing to the Orange County CoC Forum. The City joined local cities and the County of Orange in preparing the 2025-2029 Assessment of Fair Housing. Furthermore, through its CDBG and PLHA-funded programs, the City has coordinated the delivery of social services to the community that address various needs. The City has also established relationships with residential for-profit and nonprofit developers that may be prepared to respond to local affordable housing development opportunities.

Identify actions taken to overcome the effects of any impediments identified in the jurisdictions analysis of impediments to fair housing choice. 91.520(a) Consolidated Plan regulations require CDBG recipients to (1) examine and attempt to alleviate housing discrimination within their jurisdiction; (2) promote fair housing choice for all persons; (3) provide opportunities for all persons to reside in any given housing development, regardless of race, color, religion, sex, disability, familial status, or national origin; (4) promote housing that is accessible to and usable by persons with disabilities; and (5) comply with the non-discrimination requirements of the Fair Housing Act. To this end, HUD encourages jurisdictions to consult with one another and initiate metropolitan-wide fair housing planning. The Assessment of Fair Housing (AFH) is the primary document for this purpose.

During the FY 2024-25 reporting period, the City participated as one of 35 jurisdictions in preparing the Orange County 2025-2029 Assessment of Fair Housing (OC-AFH). The OC-AFH identified various actions that can be implemented over five years to address regional and local barriers to fair housing. FY 2025-26 is the first year of the AFH cycle. The City contracts with the Fair Housing Foundation to provide fair housing outreach, education, and enforcement services and help the City address the impediments to fair housing identified in the OC-AFH. A summary of AFH-related actions is provided in Exhibit D. 250
CAPER 2025-2026 17
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 CR-40 - Monitoring 91.220 and 91.230
Describe the standards and procedures used to monitor activities carried out in furtherance of the plan and used to ensure long-term compliance with requirements of the programs involved, including minority business outreach and the comprehensive planning requirements
The City’s monitoring program is designed to provide program staff with information to verify the accuracy of data supplied by subrecipients, ensure that subrecipients carry out individual activities as described in their contracts, and ensure that subrecipients use appropriate accounting and recordkeeping methods to manage CDBG funds. The City’s program policies ensure subrecipients receive training regarding CDBG grant management, CDBG program goals, and subrecipient obligations. For FY 2025-26, this training was held in August 2025.

The City conducts on-site monitoring of subrecipients biennially unless program or administrative issues are identified or the grant recipient is new to CDBG. The City last conducted on-site monitoring during the FY 2024-25 reporting period. In general, subrecipients are managing CDBG resources appropriately.

Monitoring will likely take place during FY 2026-27
During the reporting period, program staff worked closely with City departments to ensure CDBG program regulations and other federal requirements were implemented. City departments and public service grant subrecipients submit quarterly accomplishment reports. Subrecipients are also required to provide documentation to support CDBG reimbursement requests. Program staff conducts a desk monitoring of this information to ensure CDBG program compliance.

The City also made every effort to comply with CDBG and Consolidated Plan regulations. The City’s Citizen Participation Plan ensures that community input is considered before undertaking a substantial amendment or submitting an annual update to HUD. It also provides residents with the opportunity to review and comment on annual performance. The City has prepared construction, professional service, and subrecipient agreements to ensure compliance with applicable federal regulations. Additionally, the City has implemented an open procurement process that encourages bidding from all qualified businesses, including minority and women-owned businesses.

Citizen Participation Plan 91.105(d); 91.115(d)
Describe the efforts to provide citizens with reasonable notice and an opportunity to comment on performance reports.

To encourage resident participation in the City’s CDBG program, the City published a notice in the San Clemente Times on August 27, 2026, announcing a 15-day public comment period for the 2025-26 CAPER. The CAPER was available for public review on the City’s website (https://www.sanclemente.org/departments-services/housing-and-social-services). An additional opportunity for public comments was available at the September 15, 2026, San Clemente City Council meeting. A copy of this notice and a summary of public comments are provided in Exhibit E. 251
CAPER 2025-2026 18
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 CR-45 - CDBG 91.520(c)
Specify the nature of, and reasons for, any changes in the jurisdiction’s program objectives and indications of how the jurisdiction would change its programs as a result of its experiences.

The City did not substantially amend or undertake a minor amendment of the 2025-2026 Annual Action Plan during the reporting period.

Broadband Access: According to BroadbandNow, 90.5% of San Clemente properties have access to broadband internet. Cox Communications provides broadband service to 94.2% of these properties via cable. AT&T is available to approximately 98% of these properties via DSL, fiber, and 5G. Several additional providers offer satellite or 5G-based broadband service. Most broadband service providers in Orange County participated in the Affordable Connectivity Program (ACP); however, program funds have been exhausted since February 2024. The ACP provided eligible households with a $30 discount on monthly broadband internet service. Despite the lack of federal funds, most broadband service providers continue to offer reduced-cost service to qualified low-income households. Cox provides internet service for qualified households for $9.95 a month. AT&T’s Access program provides basic broadband internet service for low-income families for $30 per month.

Hazard Mitigation: The City of San Clemente's Local Hazards Mitigation Plan (LHMP) seeks to prevent the loss of life and property damage resulting from natural or human-caused hazards. The City’s LHMP lists, assesses, and ranks potential hazards based on their probability of occurrence and the magnitude of potential impacts. The LHMP identified four hazards as “high” risk: coastal erosion, landslides, severe weather, and wildfire. The LHMP states that climate change could exacerbate existing hazards in the City; accordingly, the plan includes a “Climate Change Consideration” narrative for hazards such as coastal erosion, landslides and slope failures, severe weather, and wildfires. The LHMP is focused on the safety of all San Clemente residents, not just those with lower incomes.

Does this Jurisdiction have any open Brownfields Economic Development Initiative (BEDI) grants?
No
[BEDI grantees] Describe accomplishments and program outcomes during the last year.

Not applicable.
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CAPER 2025-2026 19
OMB Control No: 2506-0117 (exp. 09/30/2021) Draft 8/20/26 CR-58 – Section 3
Identify the number of individuals assisted and the types of assistance provided Table 8 – Total Labor Hours
Total Labor Hours CDBG HOME ESG HOPWA HTF
Total Number of Activities 0 0 0 0 0
Total Labor Hours
Total Section 3 Worker Hours
Total Targeted Section 3 Worker Hours
Table 9 – Qualitative Efforts - Number of Activities by Program Qualitative Efforts - Number of Activities by Program CDBG HOME ESG HOPWA HTF Outreach efforts to generate job applicants who are Public Housing Targeted Workers
Outreach efforts to generate job applicants who are Other Funding Targeted Workers.

Direct, on-the job training (including apprenticeships).

Indirect training such as arranging for, contracting for, or paying tuition for, off-site training.

Technical assistance to help Section 3 workers compete for jobs (e.g., resume assistance, coaching).

Outreach efforts to identify and secure bids from Section 3 business concerns.

Technical assistance to help Section 3 business concerns understand and bid on contracts.

Division of contracts into smaller jobs to facilitate participation by Section 3 business concerns.

Provided or connected residents with assistance in seeking employment including: drafting resumes,preparing for interviews, finding job opportunities, connecting residents to job placement services.

Held one or more job fairs.

Provided or connected residents with supportive services that can provide direct services or referrals.

Provided or connected residents with supportive services that provide one or more of the following: work readiness health screenings, interview clothing, uniforms, test fees, transportation.

Assisted residents with finding child care.

Assisted residents to apply for, or attend community college or a four year educational institution.

Assisted residents to apply for, or attend vocational/technical training.

Assisted residents to obtain financial literacy training and/or coaching.

Bonding assistance, guaranties, or other efforts to support viable bids from Section 3 business concerns.

Provided or connected residents with training on computer use or online technologies.

Promoting the use of a business registry designed to create opportunities for disadvantaged and small businesses.

Outreach, engagement, or referrals with the state one-stop system, as designed in Section 121(e)(2) of the Workforce Innovation and Opportunity Act.

Other.

Narrative
The City did not undertake any activity that triggered Section 3 reporting during FY 2025-26. 253
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IDIS Activity: 185 - Max Berg Park Improvements
Project: 0010 - Max Berg Park Improvements Year 2
PGM Year: 2023
Description:

Matrix Code: Parks, Recreational Facilities (03F)
Availability/accessibility
Objective: Create suitable living environments
Outcome:

Open
1100 Calle Puente San Clemente, CA 92672-5019
National Objective: LMA
Status:

Location:

Max Berg Park Fountain Refurbishment Project - Yr 1 funding will cover costs associated with historic preservation consulting and design of proposed park improvements (restoration of four fountains that contribute to the historic nature of the park and preparing NEPA clearance.

Yr 2 funding will help cover construction costs.

Initial Funding Date: 09/25/2023
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
Total
2021
2022
2023
B21MC060599
B22MC060599
B23MC060599
$73,240.08 $33,551.00 $63,332.50
$100,000.00 $0.00 $0.00
$51,759.92 $0.00 $0.00
$225,000.00 $33,551.00 $63,332.50
Proposed Accomplishments
Public Facilities : 1
Total Population in Service Area: 4,090
Census Tract Percent Low / Mod: 71.27
Annual Accomplishments
Years Accomplishment Narrative # Benefitting
2023
2024
CDBG funds allocated to refurbish Max Berg Park Fountain. Year 1 funding of the project will cover costs associated the preparation of the project's NEPA review (including historic preservation consultation) and the preparation of the design of proposed park improvements, i.e., the restoration of four fountains that contribute to the historic nature of the park. During the FY 23-24 reporting period, consultants have started a search of records and preparing initial documents for CA-SHPO to review. It is anticipated that the NEPA review for the project will be completed by December 2024.

Yr 2 funding ($100,000) will help cover construction costs. Issues with completing the NEPA review continued during the FY 24-25 reporting period; however, the review is now moving forward and should be completed by the end of September 2025. It is anticipated that construction will begin in January 2026 and be completed by April 2026.

Exhibit A
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Years Accomplishment Narrative # Benefitting
2025 City staff completed the NEPA review in November 2025, allowing the project to progress. Project design began in February 2026 and was completed in early May; however, sourcing materials presents an additional challenge (e.g., hand-painted tiles and fountain heads), which has delayed bid solicitation. Staff anticipates bid opening in October 2026 and construction to begin in November. The project is slated for completion by January 2027.

Exhibit A
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IDIS Activity: 187 - Single-Family Housing Rehabilitation Program Project: 0001 - Single-Family Housing Rehabilitation Program PGM Year: 2024
Description:

Matrix Code: Rehab; Single-Unit Residential (14A)
Affordability
Objective: Provide decent affordable housing
Outcome:

Completed 6/30/2026 12:00:00 AM
Address Suppressed
National Objective: LMH
Status:

Location:

CDBG-funded housing rehabilitation loans or grants for eligible homeowners Initial Funding Date: 10/07/2024
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
RL
Total
2023
2024
B23MC060599
B24MC060599
$35,376.08 $35,376.08 $35,376.08
$39,623.92 $39,623.92 $39,623.92
$45,145.56 $19,491.56 $45,145.56
$120,145.56 $94,491.56 $120,145.56
Proposed Accomplishments
Housing Units : 3
Number assisted:

Actual Accomplishments
Person
Hispanic
0 0
0 0
0 0
0 0
0 0
White: 0
Black/African American:

Asian:

American Indian/Alaskan Native:

Native Hawaiian/Other Pacific Islander:

American Indian/Alaskan Native & White:

Asian White:

Black/African American & White:

American Indian/Alaskan Native & Black/African American:

Other multi-racial:

Asian/Pacific Islander:

Owner
Total Hispanic
2 0
1 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Renter
Total Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Total
Total Hispanic Total
0 0
0 0
0 0
0 0
0 0
0 2
1 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 Exhibit A
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0 0
Total: 0
Hispanic:
3 0
0 0
0 0 0
0 0 0
3 0 0
Female-headed Households: 2 0 2
Income Category:

Low Mod
Moderate
Extremely Low
Non Low Moderate
Total
Percent Low/Mod
Owner
0 1
2 0
3 100.0%
Renter
0 0
0 0
0 Total
0 1
2 0
3 100.0%
Person
0 0
0 0
0 Annual Accomplishments
Years Accomplishment Narrative # Benefitting
2024
2025
CDBG funds support the rehabilitation of owner-occupied residential units. During the FY 24-25 reporting period, the City engaged a new consultant to help implement the program. The rehabilitation of two units was initiated during this period, but was not completed. Rehabilitation of these units will be completed during FY 25-26. Accomplishment information for these units will be provided during the FY 25-26 reporting period.

In April 2025, the City engaged a new consultant. The consultant assisted City staff and the City Attorney in reviewing and revising existing program policies, procedures, and forms (including implementing the 2025 Executive Orders). A total of three units (2 loans and 1 grant) were rehabilitated during the FY 25/26 reporting period. The Activity is complete.

Exhibit A
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IDIS Activity: 197 - Bonito Canyon Park
Project: 0011 - Bonito Canyon Park
PGM Year: 2024
Description:

Matrix Code: Parks, Recreational Facilities (03F)
Availability/accessibility
Objective: Create suitable living environments
Outcome:

Open
1304 Calle Valle San Clemente, CA 92672-3838
National Objective: LMA
Status:

Location:

Neighborhood park improvements
Initial Funding Date: 10/07/2024
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
Total
2022
2023
B22MC060599
B23MC060599
$42,910.00 $0.00 $42,910.00
$118,612.00 $1,216.00 $7,093.00
$161,522.00 $1,216.00 $50,003.00
Proposed Accomplishments
Public Facilities : 1
Total Population in Service Area: 3,425
Census Tract Percent Low / Mod: 65.99
Annual Accomplishments
Years Accomplishment Narrative # Benefitting
2024
2025
CDBG funds were allocated to undertake park improvements, including the installation of a playground shade structure and various landscape improvements. During the FY 24-25 reporting period, the shade structure was purchased and installed. The design and bidding for landscape improvements will happen during FY 25-26.

During Phase 2 planning, a community group volunteered to undertake landscape and pathway improvements at no cost to the City. As a result of this action, City staff has determined that CDBG funds can best be used to rehabilitate the tennis courts at the park. The tennis courts at the park have been closed for 18 months. Needed court improvements include resurfacing the court and installing new perimeter fencing.

Construction is expected to begin in October 2026 and be completed by December 2026.

Exhibit A
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IDIS Activity: 198 - San Clemente Community Center ADA Improvements Project: 0012 - San Clemente Community Center ADA Improvements PGM Year: 2024
Description:

Matrix Code: Parks, Recreational Facilities (03F)
Availability/accessibility
Objective: Create suitable living environments
Outcome:

Open
100 N Calle Seville San Clemente, CA 92672-5210
National Objective: LMC
Status:

Location:

CDBG funds to upgrade existing restrooms at the Community Center to comply with current ADA regulations.

Initial Funding Date: 04/21/2025
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
Total
2024 B24MC060599 $150,000.00 $34,484.00 $40,704.00
$150,000.00 $34,484.00 $40,704.00
Proposed Accomplishments
Public Facilities : 4,075
Number assisted:

Actual Accomplishments
Person
Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
0 0
White:

Black/African American:

Total:

Asian:

American Indian/Alaskan Native:

Native Hawaiian/Other Pacific Islander:

American Indian/Alaskan Native & White:

Asian White:

Black/African American & White:

American Indian/Alaskan Native & Black/African American:

Other multi-racial:

Asian/Pacific Islander:

Hispanic:

Owner
Total Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Renter
Total Hispanic
0 0
0 0
0 0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 Total
Total Hispanic Total
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0 0
Exhibit A
259
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
7 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 7 of 25
Female-headed Households: 0 0 0
Income Category:

Low Mod
Moderate
Extremely Low
Non Low Moderate
Total
Percent Low/Mod
Owner
0 0
0 0
0 Renter
0 0
0 0
0 Total
0 0
0 0
0 Person
0 0
0 0
0 Annual Accomplishments
Years Accomplishment Narrative # Benefitting
2024
2025
On December 12, 2024, the City substantially amended the FY 2024-2025 Annual Action Plan to add a new activity - SC Community Center ADA Improvements. $150,000 in 2024 uncommitted funds was allocated to this project. The project will rehabilitate the women's and men's restrooms to comply with current ADA regulations. Design of the improvements was underway at the end of the FY 24-25 reporting period, with construction slated to begin in Winter 2025.

Project design began in March 2025 and was completed in September 2025. The project was delayed due to unforeseen issues during the design phase; consequently, the project was not released for bids until April 2026. Unfortunately, all bids were rejected in June because they were unresponsive or over budget. A new request for bids will be circulated in September 2026. It is anticipated that the project construction will begin in October 2026 and will be completed by February 2027.

Exhibit A
260
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
8 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
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IDIS Activity: 199 - Single-Family Housing Rehabilitation Program Project: 0001 - Single-Family Housing Rehabilitation Program PGM Year: 2025
Description:

Matrix Code: Rehab; Single-Unit Residential (14A)
Affordability
Objective: Provide decent affordable housing
Outcome:

Open
Address Suppressed
National Objective: LMH
Status:

Location:

CDBG-funded housing rehabilitation loans or grants for eligible homeowners Initial Funding Date: 10/10/2025
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
RL
Total
2024
2025
B24MC060599
B25MC060599
$19,977.08 $7,623.94 $7,623.94
$55,022.92 $0.00 $0.00
$21,961.00 $0.00 $0.00
$96,961.00 $7,623.94 $7,623.94
Proposed Accomplishments
Housing Units : 3
Number assisted:

Actual Accomplishments
Person
Hispanic
0 0
0 0
0 0
0 0
0 0
White: 0
Black/African American:

Asian:

American Indian/Alaskan Native:

Native Hawaiian/Other Pacific Islander:

American Indian/Alaskan Native & White:

Asian White:

Black/African American & White:

American Indian/Alaskan Native & Black/African American:

Other multi-racial:

Asian/Pacific Islander:

Owner
Total Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Renter
Total Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Total
Total Hispanic Total
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Exhibit A
261
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
9 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 9 of 25
0 0
Total: 0
Hispanic:
0 0
0 0
0 0 0
0 0 0
0 0 0
Female-headed Households: 0 0 0
Income Category:

Low Mod
Moderate
Extremely Low
Non Low Moderate
Total
Percent Low/Mod
Owner
0 0
0 0
0 Renter
0 0
0 0
0 Total
0 0
0 0
0 Person
0 0
0 0
0 Annual Accomplishments
Years Accomplishment Narrative # Benefitting
2025 The program experienced ongoing delays due to staff issues, program revisions, and HUD's delayed release of program funds (NEPA release).

The City had carried over FY 24/25 funds to complete rehabilitation of three units. Some program admin expenditures were incurred during the FY 25/26 reporting period; however, most FY 25/26 funds, plus Revolving Loan funds, will be carried into FY 26/27 to fund program activities.

FY 26/27 accomplishments will be reported here during the next reporting period.

Exhibit A
262
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
10 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 10 of 25
IDIS Activity: 200 - Age Well Senior Services
Project: 0002 - Age Well Senior Services
PGM Year: 2025
Description:

Matrix Code: Senior Services (05A)
Availability/accessibility
Objective: Create suitable living environments
Outcome:

Completed 6/30/2026 12:00:00 AM
910 Calle Negocio Citywide San Clemente, CA 92673-
6268 National Objective: LMC
Status:

Location:

Meals on Wheels for homebound seniors
Initial Funding Date: 10/10/2025
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
Total
2025 B25MC060599 $6,675.00 $6,675.00 $6,675.00
$6,675.00 $6,675.00 $6,675.00
Proposed Accomplishments
People (General) : 75
Number assisted:

Actual Accomplishments
Person
Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
5 5
White:

Black/African American:

Total:

Asian:

American Indian/Alaskan Native:

Native Hawaiian/Other Pacific Islander:

American Indian/Alaskan Native & White:

Asian White:

Black/African American & White:

American Indian/Alaskan Native & Black/African American:

Other multi-racial:

Asian/Pacific Islander:

Hispanic:

Owner
Total Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Renter
Total Hispanic
0 0
0 0
0 0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 Total
Total Hispanic Total
75 0
2 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0 0 77
Exhibit A
263
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
11 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 11 of 25
Female-headed Households: 0 0 0
Income Category:

Low Mod
Moderate
Extremely Low
Non Low Moderate
Total
Percent Low/Mod
Owner
0 0
0 0
0 Renter
0 0
0 0
0 Total
0 0
0 0
0 Person
61 9
7 0
77 100.0%
Annual Accomplishments
Years Accomplishment Narrative # Benefitting
2025 CDBG funds allocated to support the Meals on Wheels program for homebound San Clemente seniors. A total of 77 seniors were assisted during the FY 25-26 reporting period. Each delivery included breakfast, a hot lunch, and a cold evening meal. The Activity is complete.

Exhibit A
264
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
12 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
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IDIS Activity: 201 - Camino Health Center
Project: 0003 - Camino Health Center
PGM Year: 2025
Description:

Matrix Code: Health Services (05M)
Availability/accessibility
Objective: Create suitable living environments
Outcome:

Completed 6/30/2026 12:00:00 AM
1031 Avenida Pico Citywide San Clemente, CA 92673-
6352 National Objective: LMC
Status:

Location:

Primary medical, behavioral, and dental health services at a reduced cost for lower-income individuals and indigents Initial Funding Date: 10/10/2025
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
Total
2025 B25MC060599 $12,440.00 $12,440.00 $12,440.00
$12,440.00 $12,440.00 $12,440.00
Proposed Accomplishments
People (General) : 2,500
Number assisted:

Actual Accomplishments
Person
Hispanic
0 4
0 11
0 2
0 0
0 0
4 441
720
1,182
White:

Black/African American:

Total:

Asian:

American Indian/Alaskan Native:

Native Hawaiian/Other Pacific Islander:

American Indian/Alaskan Native & White:

Asian White:

Black/African American & White:

American Indian/Alaskan Native & Black/African American:

Other multi-racial:

Asian/Pacific Islander:

Hispanic:

Owner
Total Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Renter
Total Hispanic
0 0
0 0
0 0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 Total
Total Hispanic Total
1,410
14 59
16 10
0 0
0 0
829
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0 0 2,338
Exhibit A
265
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
13 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 13 of 25
Female-headed Households: 0 0 0
Income Category:

Low Mod
Moderate
Extremely Low
Non Low Moderate
Total
Percent Low/Mod
Owner
0 0
0 0
0 Renter
0 0
0 0
0 Total
0 0
0 0
0 Person
2,261
63 8
6 2,338

99.7%
Annual Accomplishments
Years Accomplishment Narrative # Benefitting
2025 CDBG funds allocated to support reduced-cost medical/dental services for lower-income residents. A total of 2338 San Clemente residents were assisted during the FY 25-26 reporting period. Services included acute care, chronic disease management, well-child exams, prenatal care, cancer detection screening and immunizations. Behavioral health services included psychosocial diagnosis, short-term counseling/therapy, and case management. Dental services included exams, x-rays, cleanings, sealants, and filling. The Activity is complete.

Exhibit A
266
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
14 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 14 of 25
IDIS Activity: 202 - Family Assistance Ministries
Project: 0004 - Family Assistance Ministries
PGM Year: 2025
Description:

Matrix Code: Subsistence Payment (05Q)
Availability/accessibility
Objective: Create suitable living environments
Outcome:

Completed 6/30/2026 12:00:00 AM
910 Calle Negocio Citywide San Clemente, CA 92673-
6268 National Objective: LMC
Status:

Location:

Housing assistance, support services, and case management for households that are at risk of homelessness and those that are homeless Initial Funding Date: 10/01/2025
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
Total
2025 B25MC060599 $6,508.00 $6,508.00 $6,508.00
$6,508.00 $6,508.00 $6,508.00
Proposed Accomplishments
People (General) : 36
Number assisted:

Actual Accomplishments
Person
Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
0 0
White:

Black/African American:

Total:

Asian:

American Indian/Alaskan Native:

Native Hawaiian/Other Pacific Islander:

American Indian/Alaskan Native & White:

Asian White:

Black/African American & White:

American Indian/Alaskan Native & Black/African American:

Other multi-racial:

Asian/Pacific Islander:

Hispanic:

Owner
Total Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Renter
Total Hispanic
0 0
0 0
0 0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 Total
Total Hispanic Total
9 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0 0 9
Exhibit A
267
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
15 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 15 of 25
Female-headed Households: 0 0 0
Income Category:

Low Mod
Moderate
Extremely Low
Non Low Moderate
Total
Percent Low/Mod
Owner
0 0
0 0
0 Renter
0 0
0 0
0 Total
0 0
0 0
0 Person
9 0
0 0
9 100.0%
Annual Accomplishments
Years Accomplishment Narrative # Benefitting
2025 CDBG funds allocated to support homelessness prevention services. Services included assessments, referrals, case management, financial assistance, and foodbank access. A total of 9 San Clemente residents benefited from these services, including rental or utility assistance to prevent eviction or utility shutoff. The Activity is complete. An unexpended balance of $7,991.53 (2025 funds) will be reprogrammed.

Exhibit A
268
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
16 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 16 of 25
IDIS Activity: 203 - Avenida de la Estrella Sidewalk
Project: 0009 - Avenida de la Estrella Sidewalk
PGM Year: 2025
Description:

Matrix Code: Sidewalks (03L)
Availability/accessibility
Objective: Create suitable living environments
Outcome:

Open
910 Calle Negocio San Clemente, CA 92673-6268
National Objective: LMA
Status:

Location:

Construction of approximately 580 linear feet of concrete sidewalk, including curbs, gutters, ramps, and a pedestrian crossing sign Initial Funding Date: 10/10/2025
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
Total
2025 B25MC060599 $139,617.00 $0.00 $0.00
$139,617.00 $0.00 $0.00
Proposed Accomplishments
People (General) : 1,345
Total Population in Service Area: 1,345
Census Tract Percent Low / Mod: 62.08
Annual Accomplishments
Years Accomplishment Narrative # Benefitting
2025 CDBG funds were allocated to install concrete sidewalks and curbs at the 1200 block of Avenida de la Estrella. Initially, staff anticipated that project design would begin in August 2025 and construction would begin by February 2026 (to be completed by late March 2026). Unfortunately, due to right-of-way issues, the project was put on hold while staff explored project modifications. Project design should begin in August 2026, with construction starting in January 2027 and a target completion date in April 2027.

Exhibit A
269
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
17 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 17 of 25
IDIS Activity: 204 - Silver Connections (City of San Clemente) Project: 0005 - Silver Connections (City of San Clemente) PGM Year: 2025
Description:

Matrix Code: Senior Services (05A)
Availability/accessibility
Objective: Create suitable living environments
Outcome:

Completed 6/30/2026 12:00:00 AM
910 Calle Negocio Citywide San Clemente, CA 92673-
6268 National Objective: LMC
Status:

Location:

Socialization and physical activities for adults aged 62 and older Initial Funding Date: 10/10/2025
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
Total
2025 B25MC060599 $7,315.00 $7,315.00 $7,315.00
$7,315.00 $7,315.00 $7,315.00
Proposed Accomplishments
People (General) : 100
Number assisted:

Actual Accomplishments
Person
Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
2 2
White:

Black/African American:

Total:

Asian:

American Indian/Alaskan Native:

Native Hawaiian/Other Pacific Islander:

American Indian/Alaskan Native & White:

Asian White:

Black/African American & White:

American Indian/Alaskan Native & Black/African American:

Other multi-racial:

Asian/Pacific Islander:

Hispanic:

Owner
Total Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Renter
Total Hispanic
0 0
0 0
0 0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 Total
Total Hispanic Total
196
0 0
0 0
0 0
0 0
2 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0 198
Exhibit A
270
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
18 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 18 of 25
Female-headed Households: 0 0 0
Income Category:

Low Mod
Moderate
Extremely Low
Non Low Moderate
Total
Percent Low/Mod
Owner
0 0
0 0
0 Renter
0 0
0 0
0 Total
0 0
0 0
0 Person
0 0
198
0 198
100.0%
Annual Accomplishments
Years Accomplishment Narrative # Benefitting
2025 CDBG funds allocated for senior recreation and socialization programming. A total of 198 San Clemente seniors were assisted during the FY 25-26 reporting period. Program activities included trail hikes, Bocce Ball, cards and coffee, mahjong, and bridge. These activities allowed seniors to exercise and socially engage with peers, which is critical to physical and mental health. The Activity is complete.

Exhibit A
271
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
19 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 19 of 25
IDIS Activity: 205 - Parentis Health Foundation
Project: 0006 - Parentis Health Foundation
PGM Year: 2025
Description:

Matrix Code: Youth Services (05D)
Availability/accessibility
Objective: Create suitable living environments
Outcome:

Completed 6/30/2026 12:00:00 AM
1304 Calle Valle San Clemente, CA 92672-3838
National Objective: LMC
Status:

Location:

Children's literacy program that links students ages 5 to 11 with a trained older adult tutor Initial Funding Date: 10/10/2025
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
Total
2025 B25MC060599 $5,700.00 $5,700.00 $5,700.00
$5,700.00 $5,700.00 $5,700.00
Proposed Accomplishments
People (General) : 25
Number assisted:

Actual Accomplishments
Person
Hispanic
0 0
0 0
0 0
0 0
0 0
0 10
9 19
White:

Black/African American:

Total:

Asian:

American Indian/Alaskan Native:

Native Hawaiian/Other Pacific Islander:

American Indian/Alaskan Native & White:

Asian White:

Black/African American & White:

American Indian/Alaskan Native & Black/African American:

Other multi-racial:

Asian/Pacific Islander:

Hispanic:

Owner
Total Hispanic
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Renter
Total Hispanic
0 0
0 0
0 0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 Total
Total Hispanic Total
23 0
1 0
0 0
0 0
0 10
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0 0 34
Exhibit A
272
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
20 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 20 of 25
Female-headed Households: 0 0 0
Income Category:

Low Mod
Moderate
Extremely Low
Non Low Moderate
Total
Percent Low/Mod
Owner
0 0
0 0
0 Renter
0 0
0 0
0 Total
0 0
0 0
0 Person
19 3
2 10
34 70.6%
Annual Accomplishments
Years Accomplishment Narrative # Benefitting
2025 CDBG funds allocated to support a literacy skills-building program for children in grades 1st to 5th that are reading below grade level. Students are matched with a local volunteer that has been vetted and trained to provide on-line tutoring to students. A total of 34 San Clemente youths were assisted by the program during the FY 25-26 reporting period. The Activity is complete.

Exhibit A
273
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
21 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 21 of 25
IDIS Activity: 206 - Fair Housing Foundation
Project: 0007 - Fair Housing Foundation
PGM Year: 2025
Description:

Fair Housing Activities (subject to
20% Admin Cap) (21D)
Matrix Code:

Objective:

Outcome:

Completed 6/30/2026 12:00:00 AM
,
National Objective:

Status:

Location:

Fair housing outreach, education, and enforcement services, including landlord, tenant, and property management fair housing training; community outreach and education; complaint investigation and enforcement services.

During the FY 2526 reporting period, 50 San Clemente households were assisted.

The most frequent landlordtenant issues addressed during the year were habitability, notices, and lease terms. 10 allegations of fair housing law violations were received.

All allegations centered around physical disabilities, and all were resolved. 94% of households served were low- and moderate-income, with 56% of households served reported as having extreme low-income. 12% of households served were minority households.

The Activity is complete.

Initial Funding Date: 10/10/2025
Activity to prevent, prepare for, and respond to Coronavirus: No Financing
Fund Type Grant Year Grant Funded Amount Drawn In Program Year Drawn Thru Program Year Total

CDBG EN
Total
2025 B25MC060599 $5,175.00 $5,175.00 $5,175.00
$5,175.00 $5,175.00 $5,175.00
Proposed Accomplishments
Number assisted:

Actual Accomplishments
Person
Hispanic
White:

Black/African American:

Asian:

American Indian/Alaskan Native:

Native Hawaiian/Other Pacific Islander:

American Indian/Alaskan Native & White:

Asian White:

Black/African American & White:

American Indian/Alaskan Native & Black/African American:

Owner
Total Hispanic
Renter
Total Hispanic
Total
Total Hispanic Total
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
Exhibit A
274
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
22 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 22 of 25
Total: 0
Other multi-racial:

Asian/Pacific Islander:

Hispanic:
0 0 0 0
0 0
0 0
0 0
0 0 0
Female-headed Households: 0
Income Category:

Low Mod
Moderate
Extremely Low
Non Low Moderate
Total
Percent Low/Mod
Owner
0 Renter
0 Total
0 0
0 0
0 Person
0 Annual Accomplishments
No data returned for this view. This might be because the applied filter excludes all data.

Exhibit A
275
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
23 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 23 of 25
IDIS Activity: 207 - CDBG Program Administration
Project: 0008 - CDBG Program Administration
PGM Year: 2025
Description:

Matrix Code: General Program Administration (21A)
Objective:

Outcome:

Completed 6/30/2026 12:00:00 AM
,
National Objective:

Status:

Location:

Program oversight and coordination, including management of public service grants, housing rehabilitation programs, and preparation of required applications and reports.

The Activity is complete.

An unexpended balance of $22,568 (2025 funds) will be reprogrammed.

CDBG EN
Total
2025 B25MC060599 $34,432.00 $34,432.00 $34,432.00
$34,432.00 $34,432.00 $34,432.00
Proposed Accomplishments
Number assisted:

Actual Accomplishments
Person
Hispanic
0 White:

Black/African American:

Total:

Asian:

American Indian/Alaskan Native:

Native Hawaiian/Other Pacific Islander:

American Indian/Alaskan Native & White:

Asian White:

Black/African American & White:

American Indian/Alaskan Native & Black/African American:

Other multi-racial:

Asian/Pacific Islander:

Hispanic:

Owner
Total Hispanic
0 0
Renter
Total Hispanic
0 0
Total
Total Hispanic Total
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0 0
Exhibit A
276
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
24 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 24 of 25
Female-headed Households: 0
Income Category:

Exhibit A
277
U.S. Department of Housing and Urban Development 25-Aug-2026 16:41
25 Date:

Time:

Page:

Office of Community Planning and Development
Integrated Disbursement and Information System
CDBG Activity Summary Report (GPR) for Program Year 2025

SAN CLEMENTE
PR03 - SAN CLEMENTE Page: 25 of 25
$971,490.56
$249,611.50
$360,054.00
Total Funded Amount:

Total Drawn In Program Year:

Total Drawn Thru Program Year:

Exhibit A
278
PR26 - CDBG Financial Summary Report
U.S. Department of Housing and Urban Development
Office of Community Planning and Development
Integrated Disbursement and Information System
DATE:

TIME:

PAGE: 1
16:42
08-25-26
Program Year 2025

SAN CLEMENTE , CA
Metrics
Grantee
Program Year
PART I: SUMMARY OF CDBG RESOURCES
01 UNEXPENDED CDBG FUNDS AT END OF PREVIOUS PROGRAM YEAR 02 ENTITLEMENT GRANT
03 SURPLUS URBAN RENEWAL
04 SECTION 108 GUARANTEED LOAN FUNDS
05 CURRENT YEAR PROGRAM INCOME
05a CURRENT YEAR SECTION 108 PROGRAM INCOME (FOR SI TYPE) 06 FUNDS RETURNED TO THE LINE-OF-CREDIT
06a FUNDS RETURNED TO THE LOCAL CDBG ACCOUNT
07 ADJUSTMENT TO COMPUTE TOTAL AVAILABLE
08 TOTAL AVAILABLE (SUM, LINES 01-07)
PART II: SUMMARY OF CDBG EXPENDITURES
09 DISBURSEMENTS OTHER THAN SECTION 108 REPAYMENTS AND PLANNING/ADMINISTRATION 10 ADJUSTMENT TO COMPUTE TOTAL AMOUNT SUBJECT TO LOW/MOD BENEFIT 11 AMOUNT SUBJECT TO LOW/MOD BENEFIT (LINE 09 + LINE 10) 12 DISBURSED IN IDIS FOR PLANNING/ADMINISTRATION
13 DISBURSED IN IDIS FOR SECTION 108 REPAYMENTS
14 ADJUSTMENT TO COMPUTE TOTAL EXPENDITURES
15 TOTAL EXPENDITURES (SUM, LINES 11-14)
16 UNEXPENDED BALANCE (LINE 08 - LINE 15)
PART III: LOWMOD BENEFIT THIS REPORTING PERIOD
17 EXPENDED FOR LOW/MOD HOUSING IN SPECIAL AREAS
18 EXPENDED FOR LOW/MOD MULTI-UNIT HOUSING
19 DISBURSED FOR OTHER LOW/MOD ACTIVITIES
20 ADJUSTMENT TO COMPUTE TOTAL LOW/MOD CREDIT
21 TOTAL LOW/MOD CREDIT (SUM, LINES 17-20)
22 PERCENT LOW/MOD CREDIT (LINE 21/LINE 11)

LOW/MOD BENEFIT FOR MULTI-YEAR CERTIFICATIONS
23 PROGRAM YEARS(PY) COVERED IN CERTIFICATION
24 CUMULATIVE NET EXPENDITURES SUBJECT TO LOW/MOD BENEFIT CALCULATION 25 CUMULATIVE EXPENDITURES BENEFITING LOW/MOD PERSONS
26 PERCENT BENEFIT TO LOW/MOD PERSONS (LINE 25/LINE 24) PART IV: PUBLIC SERVICE (PS) CAP CALCULATIONS
27 DISBURSED IN IDIS FOR PUBLIC SERVICES
28 PS UNLIQUIDATED OBLIGATIONS AT END OF CURRENT PROGRAM YEAR 29 PS UNLIQUIDATED OBLIGATIONS AT END OF PREVIOUS PROGRAM YEAR 30 ADJUSTMENT TO COMPUTE TOTAL PS OBLIGATIONS
31 TOTAL PS OBLIGATIONS (LINE 27 + LINE 28 - LINE 29 + LINE 30) 32 ENTITLEMENT GRANT
33 PRIOR YEAR PROGRAM INCOME
34 ADJUSTMENT TO COMPUTE TOTAL SUBJECT TO PS CAP
35 TOTAL SUBJECT TO PS CAP (SUM, LINES 32-34)
36 PERCENT FUNDS OBLIGATED FOR PS ACTIVITIES (LINE 31/LINE 35) PART V: PLANNING AND ADMINISTRATION (PA) CAP
37 DISBURSED IN IDIS FOR PLANNING/ADMINISTRATION
38 PA UNLIQUIDATED OBLIGATIONS AT END OF CURRENT PROGRAM YEAR 39 PA UNLIQUIDATED OBLIGATIONS AT END OF PREVIOUS PROGRAM YEAR 40 ADJUSTMENT TO COMPUTE TOTAL PA OBLIGATIONS
41 TOTAL PA OBLIGATIONS (LINE 37 + LINE 38 - LINE 39 +LINE 40) 42 ENTITLEMENT GRANT
43 CURRENT YEAR PROGRAM INCOME
44 ADJUSTMENT TO COMPUTE TOTAL SUBJECT TO PA CAP
45 TOTAL SUBJECT TO PA CAP (SUM, LINES 42-44)
46 PERCENT FUNDS OBLIGATED FOR PA ACTIVITIES (LINE 41/LINE 45)

SAN CLEMENTE , CA
2,025.00
566,196.14
310,995.00

0.00 0.00
21,961.00

0.00 0.00

0.00 0.00
899,152.14
210,004.50

0.00 210,004.50
39,607.00

0.00 0.00
249,611.50
649,540.64

0.00 0.00
210,004.50

0.00 210,004.50
100.00%
PY: PY: PY:

0.00 0.00

0.00%
38,638.00

0.00 0.00

0.00 38,638.00
310,995.00

0.00 0.00
310,995.00

12.42%
39,607.00

0.00 0.00

0.00 39,607.00
310,995.00
21,961.00

0.00 332,956.00

11.90%
Exhibit B 1 of 6
279
PR26 - CDBG Financial Summary Report
U.S. Department of Housing and Urban Development
Office of Community Planning and Development
Integrated Disbursement and Information System
DATE:

TIME:

PAGE: 2
16:42
08-25-26
Program Year 2025

SAN CLEMENTE , CA
LINE 17 DETAIL: ACTIVITIES TO CONSIDER IN DETERMINING THE AMOUNT TO ENTER ON LINE 17 No data returned for this view. This might be because the applied filter excludes all data.

LINE 18 DETAIL: ACTIVITIES TO CONSIDER IN DETERMINING THE AMOUNT TO ENTER ON LINE 18 No data returned for this view. This might be because the applied filter excludes all data.

LINE 19 DETAIL: ACTIVITIES INCLUDED IN THE COMPUTATION OF LINE 19 Plan
Year
IDIS
Project
IDIS
Activity
Voucher
Number Activity Name MatrixCode
National
Objective Drawn Amount
2023
2023
2023
2024
2024
2024
2024
2025
2025
2025
2025
2025
2025
2025
2025
2025
2025
2025
2025
2025
2025
2025
2025
2024
2024
2024
2024
2025
Total
10 10
10 11
12 12
12 2
2 2
5 5
5 6
6 6
3 3
3 3
4 4
4 1
1 1
1 1
185
185
185
197
198
198
198
200
200
200
204
204
204
205
205
205
201
201
201
201
202
202
202
187
187
187
187
199
7106483
7149044
7182810
7106483
7106483
7134803
7149044
7106483
7134803
7149044
7106483
7134803
7149044
7106483
7134803
7149044
7106483
7134803
7149044
7182810
7134803
7149044
7182810
7106483
7134803
7149044
7182810
7182810
Max Berg Park Improvements
Max Berg Park Improvements
Max Berg Park Improvements
Bonito Canyon Park
San Clemente Community Center ADA Improvements
San Clemente Community Center ADA Improvements
San Clemente Community Center ADA Improvements
Age Well Senior Services
Age Well Senior Services
Age Well Senior Services
Silver Connections (City of San Clemente)
Silver Connections (City of San Clemente)
Silver Connections (City of San Clemente)
Parentis Health Foundation
Parentis Health Foundation
Parentis Health Foundation
Camino Health Center
Camino Health Center
Camino Health Center
Camino Health Center
Family Assistance Ministries
Family Assistance Ministries
Family Assistance Ministries
Single-Family Housing Rehabilitation Program
Single-Family Housing Rehabilitation Program
Single-Family Housing Rehabilitation Program
Single-Family Housing Rehabilitation Program
Single-Family Housing Rehabilitation Program
03F
03F
03F
03F
03F
03F
03F
03F
05A
05A
05A
05A
05A
05A
05A
05D
05D
05D
05D
05M
05M
05M
05M
05M
05Q
05Q
05Q
05Q
14A
14A
14A
14A
14A
14A
LMA
LMA
LMA
LMA
LMC
LMC
LMC
Matrix Code 03F
LMC
LMC
LMC
LMC
LMC
LMC
Matrix Code 05A
LMC
LMC
LMC
Matrix Code 05D
LMC
LMC
LMC
LMC
Matrix Code 05M
LMC
LMC
LMC
Matrix Code 05Q
LMH
LMH
LMH
LMH
LMH
Matrix Code 14A
$953.00
$17,004.00
$15,594.00
$1,216.00
$14,510.00
$5,352.00
$14,622.00
$69,251.00
$1,665.00
$1,665.00
$3,345.00
$1,253.00
$1,650.00
$4,412.00
$13,990.00
$650.00
$2,160.00
$2,890.00
$5,700.00
$3,110.00
$3,110.00
$3,110.00
$3,110.00
$12,440.00
$1,187.00
$3,217.00
$2,104.00
$6,508.00
$10,304.00
$5,763.00
$77,797.50
$627.06
$7,623.94
$102,115.50
$210,004.50
LINE 27 DETAIL: ACTIVITIES INCLUDED IN THE COMPUTATION OF LINE 27 Plan
Year
IDIS
Project
IDIS
Activity
Voucher
Number
Activity to
prevent,
prepare for,
and respond
to
Coronavirus
Activity Name Grant Number Fund
Type
Matrix
Code
National
Objective
Drawn Amount
2025
2025
2025
2025
2025
2025
2 2
2 5
5 5
200
200
200
204
204
204
7106483
7134803
7149044
7106483
7134803
7149044
No
No
No
No
No
No
Age Well Senior Services
Age Well Senior Services
Age Well Senior Services
Silver Connections (City of San Clemente)
Silver Connections (City of San Clemente)
Silver Connections (City of San Clemente)
B25MC060599
B25MC060599
B25MC060599
B25MC060599
B25MC060599
B25MC060599
EN
EN
EN
EN
EN
EN
05A
05A
05A
05A
05A
05A
LMC
LMC
LMC
LMC
LMC
LMC
$1,665.00
$1,665.00
$3,345.00
$1,253.00
$1,650.00
$4,412.00
Exhibit B 2 of 6
280
PR26 - CDBG Financial Summary Report
U.S. Department of Housing and Urban Development
Office of Community Planning and Development
Integrated Disbursement and Information System
DATE:

TIME:

PAGE: 3
16:42
08-25-26
Program Year 2025

SAN CLEMENTE , CA
Plan
Year
IDIS
Project
IDIS
Activity
Voucher
Number
Activity to
prevent,
prepare for,
and respond
to
Coronavirus
Activity Name Grant Number Fund
Type
Matrix
Code
National
Objective
Drawn Amount
2025
2025
2025
2025
2025
2025
2025
2025
2025
2025
Total
6 6
6 3
3 3
3 4
4 4
205
205
205
201
201
201
201
202
202
202
7106483
7134803
7149044
7106483
7134803
7149044
7182810
7134803
7149044
7182810
No
No
No
No
No
No
No
No
No
No
No
Parentis Health Foundation
Parentis Health Foundation
Parentis Health Foundation
Camino Health Center
Camino Health Center
Camino Health Center
Camino Health Center
Family Assistance Ministries
Family Assistance Ministries
Family Assistance Ministries
Activity to prevent, prepare for, and respond to Coronavirus B25MC060599
B25MC060599
B25MC060599
B25MC060599
B25MC060599
B25MC060599
B25MC060599
B25MC060599
B25MC060599
B25MC060599
EN
EN
EN
EN
EN
EN
EN
EN
EN
EN
05A
05D
05D
05D
05D
05M
05M
05M
05M
05M
05Q
05Q
05Q
05Q
Matrix Code 05A
LMC
LMC
LMC
Matrix Code 05D
LMC
LMC
LMC
LMC
Matrix Code 05M
LMC
LMC
LMC
Matrix Code 05Q
$13,990.00
$650.00
$2,160.00
$2,890.00
$5,700.00
$3,110.00
$3,110.00
$3,110.00
$3,110.00
$12,440.00
$1,187.00
$3,217.00
$2,104.00
$6,508.00
$38,638.00
$38,638.00
LINE 37 DETAIL: ACTIVITIES INCLUDED IN THE COMPUTATION OF LINE 37 Plan
Year
IDIS
Project
IDIS
Activity
Voucher
Number Activity Name MatrixCode
National
Objective Drawn Amount
2025
2025
2025
2025
2025
2025
2025
2025
Total
8 8
8 8
7 7
7 7
207
207
207
207
206
206
206
206
7106483
7134803
7149044
7182810
7106483
7134803
7149044
7182810
CDBG Program Administration
CDBG Program Administration
CDBG Program Administration
CDBG Program Administration
Fair Housing Foundation
Fair Housing Foundation
Fair Housing Foundation
Fair Housing Foundation
21A
21A
21A
21A
21A
21D
21D
21D
21D
21D
Matrix Code 21A
Matrix Code 21D
$18,972.00
$6,342.00
$4,214.00
$4,904.00
$34,432.00
$1,196.00
$1,346.00
$1,232.00
$1,401.00
$5,175.00
$39,607.00
Exhibit B 3 of 6
281
PR26 - CDBG-CV Financial Summary Report
U.S. Department of Housing and Urban Development
Office of Community Planning and Development
Integrated Disbursement and Information System
DATE:

TIME:

PAGE: 1
16:44
08-25-26

SAN CLEMENTE , CA
Metrics
New Grantee (CV)
PART I: SUMMARY OF CDBG-CV RESOURCES
01 CDBG-CV GRANT
02 FUNDS RETURNED TO THE LINE-OF-CREDIT
03 FUNDS RETURNED TO THE LOCAL CDBG ACCOUNT
04 TOTAL CDBG-CV FUNDS AWARDED
PART II: SUMMARY OF CDBG-CV EXPENDITURES
05 DISBURSEMENTS OTHER THAN SECTION 108 REPAYMENTS AND PLANNING/ADMINISTRATION 06 DISBURSED IN IDIS FOR PLANNING/ADMINISTRATION
07 DISBURSED IN IDIS FOR SECTION 108 REPAYMENTS
08 TOTAL EXPENDITURES (SUM, LINES 05 - 07)
09 UNEXPENDED BALANCE (LINE 04 - LINE8 )
PART III: LOWMOD BENEFIT FOR THE CDBG-CV GRANT
10 EXPENDED FOR LOW/MOD HOUSING IN SPECIAL AREAS
11 EXPENDED FOR LOW/MOD MULTI-UNIT HOUSING
12 DISBURSED FOR OTHER LOW/MOD ACTIVITIES
13 TOTAL LOW/MOD CREDIT (SUM, LINES 10 - 12)
14 AMOUNT SUBJECT TO LOW/MOD BENEFIT (LINE 05)
15 PERCENT LOW/MOD CREDIT (LINE 13/LINE 14)
PART IV: PUBLIC SERVICE (PS) CALCULATIONS
16 DISBURSED IN IDIS FOR PUBLIC SERVICES
17 CDBG-CV GRANT
18 PERCENT OF FUNDS DISBURSED FOR PS ACTIVITIES (LINE 16/LINE 17) PART V: PLANNING AND ADMINISTRATION (PA) CAP
19 DISBURSED IN IDIS FOR PLANNING/ADMINISTRATION
20 CDBG-CV GRANT
21 PERCENT OF FUNDS DISBURSED FOR PA ACTIVITIES (LINE 19/LINE 20)

SAN CLEMENTE , CA

654,596.00

0.00 0.00
654,596.00

628,871.00
25,725.00

0.00 654,596.00

0.00 0.00

0.00 628,871.00
628,871.00
628,871.00
100.00%

335,871.00
654,596.00

51.31%

25,725.00
654,596.00

3.93%
Exhibit B 4 of 6
282
PR26 - CDBG-CV Financial Summary Report
U.S. Department of Housing and Urban Development
Office of Community Planning and Development
Integrated Disbursement and Information System
DATE:

TIME:

PAGE: 2
16:44
08-25-26

SAN CLEMENTE , CA
LINE 10 DETAIL: ACTIVITIES TO CONSIDER IN DETERMINING THE AMOUNT TO ENTER ON LINE 10 No data returned for this view. This might be because the applied filter excludes all data.

LINE 11 DETAIL: ACTIVITIES TO CONSIDER IN DETERMINING THE AMOUNT TO ENTER ON LINE 11 No data returned for this view. This might be because the applied filter excludes all data.

LINE 12 DETAIL: ACTIVITIES INCLUDED IN THE COMPUTATION OF LINE 12 Plan Year IDIS Project IDIS
Activity
Voucher
Number Activity Name MatrixCode
National
Objective Drawn Amount
2020
Total
8 9
11 151
152
153
154
157
156
6447667
6480669
6535737
6480669
6535737
6447667
6480669
6480669
6535737
6626742
6535737
6594230
6626742
6667282
6715038
6796456
6535737
CV-Age Well Senior Services
CV-Age Well Senior Services
CV-Age Well Senior Services
CV-Camino Health Center
CV-Camino Health Center
CV-City Net
CV-City Net
CV-Family Assistance Ministries
CV-Family Assistance Ministries
CV-Family Assistance Ministries
CV-Homelessness Mobile Street Outreach Services
CV-Homelessness Mobile Street Outreach Services
CV-Homelessness Mobile Street Outreach Services
CV-Homelessness Mobile Street Outreach Services
CV-Homelessness Mobile Street Outreach Services
CV-Homelessness Mobile Street Outreach Services
CDBG-CV - Small Business Grants
05A
05A
05A
05M
05M
03T
03T
05W
05W
05W
03T
03T
03T
03T
03T
03T
18A
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMJ
$10,000.00
$10,000.00
$20,000.00
$15,003.00
$18,535.00
$46,478.00
$20,178.00
$16,510.00
$5,245.00
$18,245.00
$7,093.00
$47,695.00
$19,501.00
$17,830.00
$32,548.00
$31,010.00
$293,000.00
$628,871.00
LINE 16 DETAIL: ACTIVITIES INCLUDED IN THE COMPUTATION OF LINE 16 Plan Year IDIS Project IDIS
Activity
Voucher
Number Activity Name MatrixCode
National
Objective Drawn Amount
2020 8
9 151
152
153
154
157
6447667
6480669
6535737
6480669
6535737
6447667
6480669
6480669
6535737
6626742
6535737
6594230
6626742
6667282
CV-Age Well Senior Services
CV-Age Well Senior Services
CV-Age Well Senior Services
CV-Camino Health Center
CV-Camino Health Center
CV-City Net
CV-City Net
CV-Family Assistance Ministries
CV-Family Assistance Ministries
CV-Family Assistance Ministries
CV-Homelessness Mobile Street Outreach Services
CV-Homelessness Mobile Street Outreach Services
CV-Homelessness Mobile Street Outreach Services
CV-Homelessness Mobile Street Outreach Services
05A
05A
05A
05M
05M
03T
03T
05W
05W
05W
03T
03T
03T
03T
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
LMC
$10,000.00
$10,000.00
$20,000.00
$15,003.00
$18,535.00
$46,478.00
$20,178.00
$16,510.00
$5,245.00
$18,245.00
$7,093.00
$47,695.00
$19,501.00
$17,830.00
Exhibit B 5 of 6
283
PR26 - CDBG-CV Financial Summary Report
U.S. Department of Housing and Urban Development
Office of Community Planning and Development
Integrated Disbursement and Information System
DATE:

TIME:

PAGE: 3
16:44
08-25-26

SAN CLEMENTE , CA
Plan Year IDIS Project IDIS
Activity
Voucher
Number Activity Name MatrixCode
National
Objective Drawn Amount
2020
Total
9 157 6715038
6796456
CV-Homelessness Mobile Street Outreach Services
CV-Homelessness Mobile Street Outreach Services
03T
03T
LMC
LMC
$32,548.00
$31,010.00
$335,871.00
LINE 19 DETAIL: ACTIVITIES INCLUDED IN THE COMPUTATION OF LINE 19 Plan Year IDIS Project IDIS
Activity
Voucher
Number Activity Name MatrixCode
National
Objective Drawn Amount
2020
Total
10 155 6480669
6535737
6594230
6626742
6667282
CDBG-CV Administration
CDBG-CV Administration
CDBG-CV Administration
CDBG-CV Administration
CDBG-CV Administration
21A
21A
21A
21A
21A
$16,084.00
$7,136.00
$813.00
$1,140.00
$552.00
$25,725.00
Exhibit B 6 of 6
284
Exhibit C 1 of 2
285
San Clemente
Low Moderate-Income
(CDBG-eligible Areas)
Name
Low/Mod
Residents
Low/Mod
Univers
Low/Mod
Percentage
Census
Tract #
Blog Group
#
San Clemente 255 305 83.60% 042108 2
San Clemente 835 1,095 76.30% 042109 1
San Clemente 675 930 72.60% 042108 5
San Clemente 1,425 2,080 68.50% 042107 2
San Clemente 720 1,060 67.90% 042108 1
San Clemente 1,470 2,285 64.30% 042112 2
San Clemente 1,315 2,045 64.30% 042108 4
San Clemente 780 1,240 62.90% 042109 3
San Clemente 835 1,345 62.10% 042107 1
San Clemente 1,195 2,005 59.60% 042116 4
San Clemente 550 965 57.00% 042114 2
San Clemente 310 590 52.50% 042111 3
* HUD Data as of 2/20/25
www.hudexchange.info/programs/acs-low-mod-summary-data/acs-low-mod-summary-data-summarized-block-groups/ Exhibit C 2 of 2
286
Exhibit D Page 1 of 7
San Clemente - Assessment of Fair Housing Action Plan
Issue: Concentration, Disparities in Access to Opportunity, and Disproportionate Housing Needs The majority of the city is considered an area of high White concentration, except for one Census Tract encompassing neighborhoods north and east of Max Berg Plaza Park, which is classified as low-medium concentration. There is a cluster of publicly supported housing units in this low-medium concentration area.

Based on analysis of fair housing complaint data, individuals with disabilities may disproportionately experience discrimination in housing.

Housing cost burden is an issue for renters across Orange County, including in San Clemente.

Contributing Factors:

1. Unaffordable rents and sales prices in a range of sizes, the location and type of affordable housing, and an overall shortage of subsidized housing units

2. Displacement of residents due to economic pressures

3. Cost of repairs or rehabilitation

4. Dominance of single-family housing, which is typically more expensive than multi-family housing

5. Lack of fair housing education and outreach
Actions Timeframe FY 25/26 Actions

1. Annually promote equal access to fair housing
information for all residents. Expand outreach methods
beyond traditional media (newspaper or City website) to include other social media platforms such as Facebook,
Twitter, and Instagram. Focus fair housing outreach
efforts in the area along the western side of Interstate 5 where racial/ethnic minorities and LMI households are
concentrated.

Annually, with the goal of
increasing distribution of
information by 20%
between 2021-2029
The City promoted fair housing information
& resources to residents through multiple
outreach channels. Fair housing materials
are available on the City’s website & are
periodically shared through the City’s social
media platforms to increase community
awareness. Printed materials are also
available to residents at City Hall. These
efforts help ensure residents have
convenient access to information regarding
fair housing rights, protections, available
resources & assistance for addressing
potential housing discrimination.
287
Exhibit D Page 2 of 7

2. Continue to work under contract with the Fair Housing Foundation (FHF) and/or other qualified fair housing
service providers to provide fair housing services for all segments of the community.

Serve at least 50
households each year.

Annually evaluate & adjust
the scope of services to
ensure the City addresses
any emerging trends in fair
housing issues.

FHF assisted 50 households by addressing a
variety of landlord/tenant issues, including
habitability, notices & leases

3. In coordination with OCHA and fair housing services
provider, provide outreach and education to landlords
and tenants regarding the state’s new source of income
protection (SB 329 and SB 229) that recognizes public
assistance such as Housing Choice Vouchers (HCV) and
Veterans Assistance Supportive Housing (VASH) as
legitimate sources of income for rent payments.

Specifically, provide fair housing responsibility to new ADU applicants.

Conduct outreach &
education annually; increase
vouchers from Orange
County Housing Authority by
10% between 2021-2029.

This is an ongoing service provided by the
City, with assistance from the Fair Housing
Foundation. The City continues to provide
outreach &education to landlords & tenants
regarding the State’s source-of-income
protections & public assistance from rental
assistance programs.

With assistance from the Fair Housing
Foundation, the City also provides fair
housing information & education to new
ADU applicants to ensure they are aware of
their fair housing responsibilities &
applicable source-of-income protections.

4. Help non-profits acquire and convert market-rate
housing to affordable housing
Ongoing The City continues to support affordable
housing organizations in acquiring &
converting market-rate housing to long-term
affordable housing by exploring the use of
Inclusionary Housing in-lieu fees &
applicable housing laws to identify
opportunities to further assist with
acquisition, rehabilitation, and preservation.
288
Exhibit D Page 3 of 7

5. Work to preserve the City’s affordable housing inventory Ongoing The City maintains a contact list to monitor the status of affordable units with property
managers.

6. Offer a variety of housing opportunities to enhance
mobility among residents of all races and ethnicities by facilitating affordable housing throughout the
community through the following actions
Ongoing- create 446
affordable units for lowerincome households between
2021 & 2029
The City adopted a Housing Overlay &
Objective Design Standards to facilitate
affordable housing development & meet
RHNA requirements. The City continues to
pursue funding & development
opportunities, support affordable housing
applications & develop marketing &
economic development strategies to
implement Centennial General Plan land use
goals.

7. Provide rehabilitation financing assistance through the Neighborhood Revitalization Program and advertise this
program to the western and southern areas of the City
with older housing units and overpaying households
Assist at least 2
homeowners per year
The City marketed its Housing Rehabilitation
Program through multiple outreach
channels, including local publications, flyers
at City facilities, the City's website & social
media platforms. Code Enforcement staff
also referred eligible property owners to the
program. The City maintains online program
information, applications, guidelines & FAQs
to increase awareness & accessibility among
eligible low- & moderate-income residents.
3 qualified homeowners received housing
rehabilitation assistance for their residences.
a. Promote by-right approvals to facilitate at least one new multi-family housing project with at least 20%
of units for lower-income households
2021-2029 In FY25/26, no projects were approved with
density bonus or modified development
standards authorized pursuant to Housing
Element incentives. However, 21 ADUs &
one small lot subdivision were authorized,
289
Exhibit D Page 4 of 7
taking advantage of State law & streamlined
review referenced in the Housing Element.

Additionally, within the fiscal year, the City
Council approved updated ordinances
related to ADUs, small lot subdivisions &
emergency shelters to reduce barriers to
housing development consistent with
Housing Element commitments.
b. Promote Lot Consolidation program and incentives
to at least three developers
2021-2029 City staff held meetings with at least 5
affordable housing developers & several forprofit developers that would have included an affordable component. Staff reviewed
their proposals for potential development
sites, including opportunities for lot
consolidation & available incentives.

Although these efforts did not result in a
development project to date, the City will
continue outreach & coordination with
affordable housing developers to promote
the Lot Consolidation Program & incentives
and identify future development
opportunities.
c. Implement the City’s Affordable Housing Overlay to
facilitate at least one new multi-family housing
project
2021-2029 In December 2024, the City adopted the
Housing Overlay. The former Affordable
Housing Overlay was renamed & expanded
to include sites identified in the Housing
Element for rezoning, providing additional
housing capacity to help meet the City’s
RHNA allocation. The Housing Overlay,
together with the ODS, facilitates by-right
approval of eligible multifamily housing
projects.
290
Exhibit D Page 5 of 7
d. Promote the City’s Inclusionary Housing Program to
facilitate at least one multi-family housing project
with units affordable for lower-income households
2021-2029 The City continues to implement the
Inclusionary Housing Program & density
bonus regulations & has adopted zoning
standards that support affordable housing,
including ministerial review with Objective
Design Standards, the Housing Overlay, SB
35 provisions, the Lot Consolidation
Ordinance, density bonus regulations & ADU
standards. The City has facilitated affordable
housing opportunities through the ADU
process & continues to support affordable
housing developers through letters of
support, funding-resource coordination &
ongoing coordination with housing
organizations. The City will continue to
monitor & amend the Zoning Ordinance as
needed to remove barriers to affordable
housing development.

8. Increase public outreach to at least once a year and encourage residents to learn about available housing
programs
Annually City staff participated in at least 4 events at public locations within the City &
coordinated participation with other Citysponsored or community events to maximize outreach & promotion of available
housing programs.

9. Through the City’s fair housing service provider (FHF), increase materials distribution by 25% through the
following actions
A total of 2,004 pieces of fair housingrelated materials were distributed throughout the City.
a. Provide fair housing education and information to
apartment managers and homeowner associations
on why denial of reasonable
Annually FHF conducted 1 Fair Housing Workshop.

Topics included an overview of fair
housing laws, leases & notices, rules &
291
Exhibit D Page 6 of 7
modifications/accommodations is unlawful through
fair housing service contract at least once a year
regulations, tenant & landlord
responsibilities.

FHF focused services on several protected
classes and frequently reported concerns,
including reasonable accommodations,
race, familial status, religion & source of
income.
b. Conduct multi-faceted fair housing outreach at least once a year to tenants, landlords, property owners,
realtors, and property management companies.

Methods of outreach may include workshops,
information booths, presentations to community
groups, and distribution of multilingual fair housing
literature
Annually The FHF conducted 1 fair housing presentation
summarizing FHF’s services & relevant housing
trends. They also conducted 1 Fair Housing
Workshop for tenants & landlords discussing
fair housing laws, leases & notices, rules &
regulations, tenant & landlord responsibilities.

FHF also hosted 1 information booth, at which
fair housing information was provided &
literature was distributed.
c. Provide general fair housing counseling and referral services to address tenant/landlord issues and
investigate allegations of fair housing discrimination
and take appropriate actions to reconcile cases or
refer to appropriate authorities.

Ongoing FHF assisted 50 households by addressing a
variety of landlord/tenant issues, including
habitability, notices & leases. 10 allegations
of fair housing law violations were reported.

All were resolved through education.
d. Periodically monitor local newspapers and online
media outlets to identify potentially discriminatory
housing advertisements.

Annually FHF randomly selected properties by reviewing
rental platforms & property websites,
including commonly used sites such as Trulia,
Zillow, Apartments.com & other online listing
platforms. The audits were designed to assess
whether prospective applicants were treated
equally & whether housing providers applied
rental criteria fairly, consistently, and lawfully.
292
Exhibit D Page 7 of 7
e. Include testing/audits within the scope of work with fair housing provider
Ongoing FHF conducted 2 fair housing audits during
the reporting period
293
Publish: 8/27/2026

NOTICE OF PUBLIC COMMENT PERIOD AND PUBLIC MEETING

NOTICE IS HEREBY GIVEN THAT A PUBLIC MEETING WILL BE HELD BY THE

CITY COUNCIL OF THE CITY OF SAN CLEMENTE, CALIFORNIA, ON THE PROPOSED SUBMISSION OF THE 2025-2026 CONSOLIDATED ANNUAL

PERFORMANCE AND EVALUATION REPORT AND COMMENCEMENT OF THE FIFTEEN (15) DAY COMMENT PERIOD 8/31/2026 – 09/14/2026
Community Development Block Grant – the Consolidated Annual Performance Report for 2025-2026
NOTICE IS HEREBY GIVEN that the City of San Clemente City Council will hold a public meeting and a public comment period regarding the 2025-2026 Consolidated Annual Performance and Evaluation Report (CAPER) for the Community Development Block Grant (CDBG).

The City of San Clemente is a recipient of Community Development Block Grant (CDBG) funds, awarded to the City by the U. S. Department of Housing and Urban Development (HUD). In order to receive CDBG funds, the City is required to prepare a multi-year strategic plan known as the Consolidated Plan. At the beginning of each year, the City also prepares a one-year expenditure plan outlining the planned use of CDBG funds. At the conclusion of the fiscal year, the City must prepare a year-end performance report known as the Consolidated Annual Performance and Evaluation Report (CAPER). The 2025-2026 CAPER covers the period of July 1, 2025, through June 30, 2026, and provides a summary of activities undertaken with CDBG funds during the reporting period.

Notice is hereby given that an initial environmental assessment for the above item was processed and completed in accordance with the California Environmental Quality Act (CEQA). Staff determined that the above item is not a project pursuant to State CEQA Guidelines, section 15378 (b) (2) and (4).
15-Day Public Comment Period
In compliance with program regulations, the draft CAPER must be available for a 15-day public review and comment period. Accordingly, the 15-day public comment period will begin August 31, 2026, and will end at noon, September 14, 2026. The draft report will be available for public inspection during regular business hours at City Hall, located at 910 Calle Negocio, and on the City’s website at https://www.sanclemente.gov/238/SocialServices-Community-Grants-CDBG. Written comments should be directed to Andy Flores, Management Analyst, at [email protected] or (949) 361-6165 on or before noon on September 14, 2026.

Exhibit E 1 of 3
294
2025-26 CAPER Public Meeting
A public meeting is scheduled before the City Council of the City of San Clemente on September 15, 2026, at 5:30 p.m., regarding the 2025-2026 Consolidated Annual Performance and Evaluation Report (CAPER) for the Community Development Block Grant (CDBG). If you challenge this item in court, you may be limited to raising only those issues you or someone else raised at the public meeting described in this notice, or in written correspondence delivered to the City of San Clemente at, or prior to, the public meeting.

To allow staff adequate time to confirm software compatibility, individuals wishing to utilize electronic visual aids to supplement their oral presentations at the meeting must submit the electronic files to the City Clerk by no later than 12:00 p.m. on the day of the meeting.

Only compatible electronic formats will be permitted to be used on City audio/visual computer equipment. Staff makes no guarantee that such material will be compatible, but will use its best efforts to accommodate the request.

NOTICE IS FURTHER GIVEN that in addition to the comment period, interested parties will be afforded an opportunity to provide comments on the 2025-2026 CAPER at the City of San Clemente City Council meeting on September 15, 2026, at 5:30 p.m. in the Council Chambers, located at 910 Calle Negocio, 2nd Floor, San Clemente. All interested persons are invited to attend said meeting or to submit written communication to express their opinion for or against the 2025-2026 CAPER.

Laura Campagnolo
City Clerk and Ex-Officio Clerk of the Council
Exhibit E 2 of 3
295

SUMMARY OF PUBLIC COMMENTS
15-Day Comment Period
TBD
City Council Meeting
TBD
Exhibit E 3 of 3
296
910 Calle Negocio
2nd Floor
San Clemente, California
www.san-clemente.org

AGENDA REPORT

CITY OF SAN CLEMENTE

CITY COUNCIL MEETING
CITY OF SAN CLEMENTE 1
Meeting Date: September 15, 2026 Agenda Item: 11J.

Submitted By: Community Development
Prepared By: Adam Atamian, Community Development Director Subject:
..titl e
CONSIDERATION OF A RESOLUTION IN SUPPORT OF SENATE BILLS 329 AND 490

REGARDING OVERSIGHT AND ENFORCEMENT OF FACILITIES PROVIDING ALCOHOL

AND DRUG TREATMENT AND SOBER LIVING
..body SERVICES
Summary:

Before the City Council is a request to consider approving a resolution to authorize the Mayor to execute letters in support of Senate Bills (SB) 329 and 490. These bills relate to State oversight and enforcement of licensed alcohol and drug treatment facilities and unlicensed sober living homes. Both bills have passed the Legislature and are currently before the Governor for consideration. City staff have reviewed the bills and recommend the issuance of letters requesting the Governor’s signature. The League of California Cities (“Cal Cities”) is sponsoring both bills and has requested that member cities submit letters in support of the Governor’s signature.

Discussion:

The Cal Cities summary for each bill and a brief legislative status are provided below:

SB 329 (Blakespear)
Cal Cities Summary: Establishes clear timelines for the Department of Health Care Services (DHCS) to assign and complete investigations into complaints regarding licensed treatment facilities and requires annual public reporting on investigation timelines and outcomes. The text of SB 329 is provided in Attachment 2.

Legislative Status: SB 329 was introduced in 2025 and advanced through the Legislature in 2026 following amendments to the measure. The bill has passed both houses and is awaiting action by the Governor.

SB 490 (Umberg)
Cal Cities Summary: Strengthens state enforcement of unlicensed sober living homes by establishing investigation timelines, requiring follow-up site visits, and allowing counties to partner with DHCS to leverage local capacity and respond swiftly to violations. The text of SB 490 is provided in Attachment 4.

Legislative Status: SB 490 is the third legislative effort sponsored by Cal Cities with Senator Umberg to address enforcement of unlicensed recovery housing, and the first to reach the Governor. The bill has passed both houses and is awaiting action by the Governor. 297
Meeting Date: September 15, 2026 Agenda Item: 11J.

CITY OF SAN CLEMENTE 2
Considerations Identified by Staff:

Together, SB 329 and SB 490 address different parts of the State’s oversight of alcohol and drug treatment facilities and sober living operations. SB 329 focuses on the timely investigation of complaints involving licensed treatment facilities, while SB 490 strengthens the process for investigating and responding to unlicensed facilities, including sober living homes, that may be providing treatment services requiring State licensure without holding the required license. The local relevance of each measure is summarized below.

SB 329 (Blakespear):

Alcohol and drug treatment facilities serve individuals within the broader community, and the City has an interest in ensuring that concerns related to their operation are addressed by the appropriate regulatory agency in a timely fashion. Delays in State investigations may allow unresolved issues to continue and can make it more difficult for local agencies to respond to community concerns involving matters outside their regulatory authority. Strengthening the State’s investigation process supports greater accountability, public safety, and confidence in the oversight of treatment facilities.

SB 490 (Umberg):

Unlicensed treatment facilities, including sober living homes, create significant concerns when they provide treatment services that require State licensure without holding the required license.

The City has an interest in ensuring that potential violations are investigated and addressed by the appropriate regulatory agency before unresolved issues create broader impacts on residents, neighborhoods, or local services. Strengthening State enforcement and coordination with local, regional agencies would improve accountability and provide a clearer process for responding to unlicensed operations.

Council Options:
 Approve Resolution No. 26-159 (Attachment 1) authorizing the Mayor to execute the following letters of support:
a. SB 329 (Attachment 3); and
b. SB 490 (Attachment 5).
 Modify and then approve Resolution No. 26-159 authorizing the Mayor to execute selected letters of support; or
 Take no action which will result in the City not taking a position on the aforementioned bills.

Environmental Review/Analysis:

The analysis of proposed legislation is not a “project” within the meaning of the term in State CEQA Guidelines Section 15378, and is exempt under Section 15061(b)(3), the general rule exemption.

Fiscal Impact:

None.
298
Meeting Date: September 15, 2026 Agenda Item: 11J.

CITY OF SAN CLEMENTE 3
Potential Action(s):
..recommendation
Adopt Resolution No. 26-159 supporting Senate Bills 1954 (AB 1954), and authorizing the Mayor to execute a letter of support on behalf of the City.
..end
Attachments:

1. Resolution No. 26-159

2. Text of Enrolled Senate Bill 329 - Alcohol and Drug Recovery: Investigations

3. Support Letter for SB 329 (Blakespear)

4. Text of Enrolled Senate Bill 490 - Alcohol and Drug Programs

5. Support Letter for SB 490 (Umberg)
Notification:

None.
299
Attachment 1
RESOLUTION NO. 26-159

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

SAN CLEMENTE, CALIFORNIA, SUPPORTING SENATE
BILL 329 (BLAKESPEAR) AND SENATE BILL 490 (UMBERG)

AND AUTHORIZING THE MAYOR TO EXECUTE LETTERS
REQUESTING THE GOVERNOR’S SIGNATURE
WHEREAS, a recent State audit found deficiencies in the Department of Health Care Services’ investigation and oversight of alcohol and drug treatment facilities, including lengthy delays in completing complaint investigations and inadequate follow-up involving certain unlicensed facilities; and
WHEREAS, Senate Bill 329 (Blakespear) would establish timelines for the California Department of Health Care Services to assign and complete investigations into complaints involving licensed alcohol and drug treatment facilities and would require annual public reporting regarding those investigations, thereby improving accountability and transparency in State oversight; and
WHEREAS, Senate Bill 490 (Umberg) would strengthen State enforcement of unlicensed sober living homes by establishing investigation timelines, requiring follow-up site visits, and allowing counties to partner with the Department of Health Care Services to respond more quickly to violations; and
WHEREAS, delays and gaps in State oversight can make it more difficult for the City to address community concerns, maintain public safety, and support recovery and treatment programs within the community; and
WHEREAS, Senate Bill 329 and Senate Bill 490 have passed the California Legislature and are currently before the Governor for consideration; and WHEREAS, the League of California Cities sponsored Senate Bill 329 and Senate Bill 490 and has requested that member cities submit letters urging the Governor to sign both bills into law.

NOW, THEREFORE, the City Council of the City of San Clemente does hereby resolve as follows:

SECTION 1. The City Council hereby supports Senate Bill 329 (Blakespear) and Senate Bill 490 (Umberg).

SECTION 2. The Mayor is authorized to execute letters requesting that the Governor sign Senate Bills 329 and 490, in substantially similar form to those provided as Attachments 3 and 5 to the City Council Agenda Report entitled, “Consideration of a Resolution in Support of Senate Bills 329 and 490 Regarding Oversight and Enforcement of Facilities Providing Alcohol and Drug Treatment and Sober Living Services”, dated September 15, 2026. 300
Resolution No. 26-159 Page 2
SECTION 3. City staff is authorized to transmit the executed letters to the Governor and other appropriate parties.

SECTION 4. The City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original resolutions.

PASSED AND ADOPTED this _____ day of ____________________, _______.

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) §

CITY OF SAN CLEMENTE )
I, LAURA CAMPAGNOLO, City Clerk of the City of San Clemente, California, do hereby certify that Resolution No. 26-159 was adopted at a regular meeting of the City Council of the City of San Clemente held on the _______ day of _______________________, _________, by the following vote:

AYES:

NOES:

ABSENT:

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Attachment 3
City Hall ● 910 Calle Negocio, San Clemente CA 92673 ● (949) 361-8200 ● www.san-clemente.org

OFFICE OF THE MAYOR

AND CITY COUNCIL
Rick Loeffler
Mayor
Steve Knoblock
Mayor Pro Tem
Victor Cabral
Mark Enmeier
Zhen Wu

CITY MANAGER
Andy Hall
910 Calle Negocio
San Clemente, CA 92673
Phone: (949) 361-8200
“The Spanish Village
by the Sea”
September 18, 2026
The Honorable Gavin Newsom
Governor, State of California
1021 O Street, Ste. 9000
Sacramento, CA 95814
SB 329 (Blakespear) Alcohol and drug recovery: licensed treatment facilities and certified programs: investigations. (As Amended 08/13/2026) Notice of Request for Signature
Dear Governor Newsom,
The City of San Clemente writes to request your signature on SB 329 (Blakespear), which would require the California Department of Health Care Services (DHCS) to complete timely investigations into complaints against alcohol and drug treatment facilities and publish an annual report on its website pertaining to the investigations.

Residential recovery housing provides a wide range of benefits to some of California’s most vulnerable residents, and it is critical that their needs are prioritized over profits. Compliance with state licensing laws administered through the DHCS is essential to safeguarding residents’ well-being and maintaining quality care.

A 2024 state audit on drug and alcohol treatment facilities in California confirmed what cities across California have been saying for years: DHCS does not always promptly or thoroughly investigate complaints. The audit found that it took DHCS, on average, 183 days to assign complaints to staff and an additional year to complete investigations into low- and medium-priority complaints. Delays like these allow serious problems to go unchecked, jeopardizing the health and safety of those receiving care and the broader community.

SB 329 would require DHCS to assign complaints to analysts within 10 days and to complete investigations within 120 days unless the department requires additional resources or assistance from other state agencies. SB 329 also requires DHCS to post annual reports on its website detailing the total number of investigations, the types of investigations, and the number that failed to meet the 120-day deadline.

While existing law requires DHCS to investigate complaints against licensed alcohol and drug treatment facilities, it does not establish timelines for completing those investigations. SB 329 sets clear, reasonable deadlines to enhance public transparency and ensure providers are held accountable for delivering high-quality treatment and care.

The City of San Clemente has an interest in ensuring that treatment facilities serving our community provide safe, responsible, and high-quality care. When serious CELEBRATING 90 YEARS OF INCORPORATION
306

Page 2 ends

_______________________________
Kathleen Ward
Mayor, City of San Clemente
concerns are raised, lengthy delays in investigation may allow unsafe or inappropriate practices to continue and potentially affect additional residents, families, and the broader community.

Timely and consistent State oversight helps protect vulnerable individuals, supports responsible treatment providers, and reduces the risk that unresolved problems will create broader impacts on neighborhoods and local services. SB 329 would strengthen that accountability by establishing clear investigation timelines and greater transparency.

For these reasons, the City of San Clemente is pleased to support SB 329 (Blakespear) and respectfully requests your signature on the measure.

Respectfully,
Rick Loeffler, Mayor
307

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311
Attachment 5
City Hall ● 910 Calle Negocio, San Clemente CA 92673 ● (949) 361-8200 ● www.san-clemente.org

OFFICE OF THE MAYOR

AND CITY COUNCIL
Rick Loeffler
Mayor
Steve Knoblock
Mayor Pro Tem
Victor Cabral
Mark Enmeier
Zhen Wu

CITY MANAGER
Andy Hall
910 Calle Negocio
San Clemente, CA 92673
Phone: (949) 361-8200
“The Spanish Village
by the Sea”
September 18, 2026
The Honorable Gavin Newsom
Governor, State of California
1021 O Street, Ste. 9000
Sacramento, CA 95814
SB 490 (Umberg) Alcohol and drug programs. (As Amended 08/21/2026) Notice of Request for Signature
Dear Governor Newsom,
The City of San Clemente writes to request your signature on SB 490 (Umberg), which would enhance the oversight and enforcement of existing state licensing laws for alcohol and drug treatment facilities.

Residential recovery housing provides a range of benefits to some of California’s most vulnerable residents, and it is critical that their needs are prioritized over profits.

Compliance with state licensing laws administered by the Department of Health Care Services (DHCS) is essential to safeguard residents’ well-being and maintain quality care.

Existing state law prohibits any drug and alcohol treatment facility that provides recovery, treatment, or detoxification services from operating without first obtaining a valid license from DHCS. Compliance with these state licensing laws is essential to safeguard the well-being and safety of residents in sober living homes.

A 2024 state audit revealed that DHCS has not consistently investigated allegations of unlicensed facilities providing or advertising treatment services. The department has often failed to conduct site visits and follow-ups to ensure illegal operations have stopped. In one example highlighted in the audit, DHCS substantiated an allegation that an unlicensed facility was unlawfully providing services. However, the audit found no indication that the department followed up to verify the facility’s claim that it had ceased operations, nor did it conduct a site visit to confirm compliance.

To address these gaps, the auditor recommended that DHCS improve the timeliness of inspections and complaint investigations, conduct more site visits, and establish follow-up procedures to ensure unlicensed facilities cease unlawful operations. In the report, the auditor explained that these changes were needed because: “When Health Care Services does not follow up to ensure that unlicensed facilities cease operations, those facilities may continue to provide potentially hazardous services to residents without any assurance of the qualifications of its staff and the safety of residents and their environments.”
SB 490 would implement these recommendations by requiring DHCS to meet specific timelines for investigating allegations of unlicensed treatment services. If the CELEBRATING 90 YEARS OF INCORPORATION
312

Page 2 ends

_______________________________
Kathleen Ward
Mayor, City of San Clemente
department fails to meet these deadlines, counties could work with the department to conduct site visits and enforce licensure laws. SB 490 also requires DHCS to conduct follow-up site visits to ensure unlawful activity has stopped.

The City of San Clemente has an interest in ensuring that facilities operating in our community comply with applicable state licensing requirements. When an unlicensed facility provides treatment services that require state licensure, unclear or delayed enforcement can allow potential violations to continue and create broader impacts on residents, neighborhoods, and local services. SB 490 would help close that enforcement gap and support safe, responsible recovery services within the community.

By setting clear timelines and expectations for investigations and follow-up, the bill improves accountability and outcomes using existing infrastructure and resources. Importantly, SB 490 empowers local governments to partner with the state to conduct site inspections and enforce licensing laws. This collaboration allows the state to leverage local capacity to respond swiftly to violations, ensure compliance, and better protect public health and safety.

SB 490 would help ensure recovery housing meets standards for patient care, which is central to effective treatment outcomes and community wellbeing. For these reasons, the City of San Clemente is pleased to support SB 490 (Umberg) and respectfully requests your signature on the measure.

Respectfully,
Rick Loeffler, Mayor
313

San Clemente City CouncilSeptember 15, 2026

San Clemente City Council
September 15, 2026