City of San Juan Bautista
The “City of History”
www.san-juan-bautista.ca.us
CITY COUNCIL
REGULAR MEETING
TUESDAY, FEBRUARY 17, 2026, 5:00 P.M.
HYBRID MEETING
City Hall, Council Chambers
311 Second Street, San Juan Bautista, California
AGENDA
ZOOM WEBINAR PARTICIPATION
The meeting can also be accessed by the public in the following methods: Through Zoom (https://zoom.us/join) per the instruction stated below, and on Facebook.
Please note: If all Council Members are present in person, public participation by Zoom or viewing on Facebook is for convenience only and is not required by law. If the Zoom or Facebook feed is lost for any reason the meeting may be paused while a fix is attempted but the meeting may continue at the discretion of the presiding officer.
JOIN ZOOM WEBINAR TO PARTICIPATE LIVE
https://us02web.zoom.us/j/88373320235
To participate telephonically:
call 1 (669) 900-6833
Webinar ID: 883 7332 0235
1. CALL TO ORDER
A. Pledge of Allegiance
B. Roll Call
2. CLOSED SESSION 5:00 P.M. – 6:00 P.M.
Receive public communication from the audience on Closed Session items. The City Council will recess to closed session pursuant to:
a. Conference with Legal Counsel—Anticipated Litigation – Significant exposure to litigation pursuant to paragraph (2) or (3) of subdivision (d) of Section 54956.9(e)(2): (Enforcement Action by Regional Water Quality Control Board and an additional matter with facts and circumstances that might result in litigation, which are not yet known to a potential plaintiff.) b. Conference with Legal Counsel—Existing Litigation – Orozco v. City of San Juan Bautista et al. (California Government Code section 54956.9(d)(1)) c. Public Employee Performance Evaluation - California Government Code section 54957(b), City Attorney.
Page | 2 City Council February 17, 2026
3. PROCLAMATION
A. Black History Month, February 2026
B. National Women’s History Month, March 2026
4. PRESENTATION
A. Sherriff’s Department Year End Report
5. PUBLIC COMMENT
Public comments generally are limited to three minutes per speaker on items that are not on the agenda and are under the City’s subject matter jurisdiction. The Mayor may further limit the time for public comments depending on the agenda schedule.
6. CONSENT
All matters listed under the San Juan Bautista City Council Consent Agenda may be enacted by one motion unless a member of the City Council or the public requests discussion or a separate vote.
A. Approve the Affidavit of Posting Agenda
B. Waive Reading of Resolutions and Ordinances on the Agenda Beyond Title C. Utility Billing and Water/Wewer Service Policies and Procedures Recommendation: Receive the report regarding the Utility Billing Policy, Water and Sewer Connection Procedures, and updated service application forms.
D. Treasurer’s Report and Monthly Financial Statements
Recommendation: Accept the financial report for December 2025.
E. Amend the Five Year Permanent Local Housing allocation (PLHA) Program Recommendation: Approve a Resolution amending the Five-Year Permanent Local Housing Allocation (“PLHA”) Program; and authorize the City Manager to execute the Memorandum of Understanding (“MOU”) with San Benito County Public Health Department.
F. Authorization to Issue Request for Proposals (RFP) for Sewer Rate Study and Approval of Professional Services Agreement Form
Recommendation: Approve a resolution authorizing issuance of a Request for Proposals (RFP) for a Sewer Rate Study and approving the form of Professional Services Agreement for General Consulting Services.
G. Public Safety Status Report
Recommendation: Receive the Monthly Public Safety Statistics Report for January 2026.
H. Community Development Status Report
Recommendation: Receive the Community Development status report for January 2026 I. Minutes
Recommendation: Approve the Meeting Minutes of December 16, 2025 and January 20, 2026.
7. ADMINISTRATIVE REPORTS
A. Mid-Year Budget Review for FY 2025-26
Recommendation: Review and Receive the Mid-Year Budget for FY 2025-26 and provided direction to staff as appropriate.
Page | 3 City Council February 17, 2026
8. INFORMATIONAL ITEMS AND REPORTS
A. City Manager’s Update
B. Reports from City Council Representatives to Regional Organizations and Committees C. City Council and Staff Announcements
This is an opportunity for the Council and staff to share the community calendar and announce upcoming dates of interest to the public.
9. ADJOURNMENT
_______________________
Elizabeth Soto, City Clerk
AGENDA MATERIAL / ADDENDUM
Any addendums will be posted not later than 72 hours before regular meetings or 24 hours of special meetings unless otherwise allowed under the Brown Act. City Council reports may be viewed at the City of San Juan Bautista City Hall at 311 Second Street San Juan Bautista and are posted on the City website www.san-juan-bautista.ca.us subject to Staff’s ability to post the documents before the meeting, or City Clerk Elizabeth Soto at [email protected] or calling (831) 623-4661 during normal business hours.
In compliance with the Americans with Disabilities Act, and Govt. Code 54953(a), the city will make reasonable arrangements to ensure accessibility to this meeting. If you need special assistance to participate in this meeting, please contact the City Clerk, a minimum of 48 hours prior to the meeting at (831) 623-4661.
If you challenge any planning or land use decision made at this meeting in court, you may be limited to raising only those issues you or someone else raised at the public hearing held at this meeting, or in written correspondence delivered to the City Council at, or prior to, the public hearing. Please take notice that the time within which to seek judicial review of any final administrative determination reached at this meeting is governed by Section 1094.6 of the California Code of Civil Procedure.
A Closed Session may be called during this meeting pursuant to Government Code §54956.9 (d)(2) if a point has been reached where, in the opinion of the legislative body of the City on the advice of its legal counsel, based on existing facts and circumstances, there is a significant exposure to litigation against the City.
PUBLIC COMMENT PROCEDURES
If you wish to make a public comment and are attending in person, please fill out a speaker card. If you are attending via Zoom, join the Zoom Webinar, and use the "Raise Hand" or if joining by telephone, press *9 on your telephone keypad icon.
SUBMISSION OF PUBLIC COMMENTS
Written comments may be submitted via mail to the City Clerk at City Hall (P.O. Box 1420, San Juan Bautista, CA 95045), or emailed to [email protected] no later than 3:00 p.m. on the Monday before the meeting.
Written comments will be read into the record provided that the reading does not exceed three (3) minutes.
PUBLIC NOTIFICATION
This agenda was posted on Thursday, February 12, 2026 on the bulletin board at City Hall, 311 Second Street, the bulletin board at the City Library, 801 Second Street, the bulletin board at the entrance to the United States Post Office, 301 The Alameda, and the City’s website. Meetings are streamed live at https://www.facebook.com/cityofsanjuanbautista/.
San Juan Bautista
California
~ Black History Month, February 2026 ~
WHEREAS, February 2026 marks the national observance of Black History Month and commemorates a century of organized national celebrations recognizing the history, achievements, and enduring contributions of African Americans; and WHEREAS, during Black History Month we recognize the achievements of African Americans and their role in shaping history along with the contributions that African Americans have made to enhance the economic, cultural, spiritual and political development of our Country; and
WHEREAS, the 2025 Black History Month theme, “A Century of Black History Commemorations,” honors the founding of the Association for the Study of Negro Life and History (ASNLH) on September 9, 1915, by Dr. Carter G. Woodson and distinguished scholars George Cleveland Hall, William B. Hartgrove, Jesse E. Moorland, Alexander L. Jackson, and James E. Stamps, who institutionalized the teaching, study, dissemination, and commemoration of Black history; and
WHEREAS, in 1926, Dr. Carter G. Woodson established the first Negro History Week, laying the foundation for what would become Black History Month, a tradition that has become woven into the fabric of American civic and cultural life; and WHEREAS, in 1976, President Gerald R. Ford became the first president to issue a message recognizing Black History Month, and in 1986 Congress passed Public Law 99-244 officially designating February as National Black History Month; and WHEREAS, these commemorations have helped ensure that Black history is recognized not only in classrooms, but also in museums, libraries, cultural institutions, public spaces, workplaces, and communities across the nation and throughout the global African diaspora.
NOW, THEREFORE, I Mayor Jordan, on behalf of the San Juan Bautista City Council proclaim FEBRUARY 1 – MARCH 1, 2026 as BLACK HISTORY MONTH, and encourages all residents to learn about, reflect upon, and honor the history, achievements, and cultural contributions of African Americans, and to participate in educational and community activities that promote understanding, unity, and respect.
Dated this 17th day of February 2026.
_____________________________________
Leslie Q. Jordan, Mayor
San Juan Bautista
California
~ Women’s History Month, March 2026 ~
WHEREAS, Women’s History Month is celebrated each March to recognize and honor the vital contributions, achievements, and lasting impact of women throughout the history of our nation, state, and local communities; and
WHEREAS, the 2026 national theme, “Leading the Change: Women Shaping a Sustainable Future,” recognizes the critical role women play in advancing environmental stewardship, economic vitality, social equity, and resilient communities; and WHEREAS, women have long been leaders, innovators, educators, advocates, public servants, and change-makers, shaping policies and practices that promote sustainability, strengthen families, and enhance the quality of life for current and future generations; and WHEREAS, women in San Juan Bautista and throughout California continue to lead efforts in public service, education, business, agriculture, environmental protection, healthcare, and community development, helping to build a more sustainable and inclusive future; and WHEREAS, we recognize the importance of continuing to champion the rights, opportunities, and recognition of women and girls around the world, working together to break down barriers and ensure that women everywhere are empowered to reach their full potential; WHEREAS, honoring the achievements of women past and present inspires future generations to embrace leadership roles and contribute meaningfully to a sustainable and prosperous community.
NOW, THEREFORE, I Mayor Jordan, on behalf of the San Juan Bautista City Council, do hereby proclaim MARCH 2026 as “WOMEN’S HISTORY MONTH,” and encourage all residents to encourage all residents to recognize and celebrate the leadership of women who are shaping a sustainable future for our community, our state, and our nation.
Dated this 17th day of February 2026.
_____________________________________
Leslie Q. Jordan, Mayor
Item: 6A
City Council Meeting
February 17, 2026
AFFIDAVIT OF POSTING
I, Elizabeth Soto, Do Now Declare, under the Penalties of perjury, that I am the City Clerk / Administrative Services Director in the City of San Juan Bautista and that I Posted Three (3) True Copies of the attached City Council Agenda. I Further Declare That I Posted Said Agenda on the 12th day of February 2026 and in the Following Locations in the City of San Juan Bautista, County of San Benito, California.
1. On The Bulletin Board at City Hall, 311 Second Street.
2. On The Bulletin Board at The City Library, 801 Second Street.
3. On The Bulletin Board at The Entrance to The United States Post Office, 301 The Alameda
Signed at San Juan Bautista, County of San Benito, California, on the 12th day of February 2026.
____________________________________________
Elizabeth Soto, CMC, CPMC
City Clerk / Administrative Services Director
Item: 6.B
City Council Meeting
February 17, 2026
WAIVER OF READING
OF ORDINANCES
State law requires that an ordinance be read in its entirety prior to adoption unless the City Council waives reading beyond the title. Reading an entire ordinance at the meeting is extremely time-consuming; reading of the title alone usually gives the audience sufficient understanding of what the Council is considering.
To ensure that this waiver is consistently approved by the Council, Council should make the waiver at each meeting, thus, you should do it at this point on the Consent Agenda. The Council then does not have to worry about making this motion when each ordinance comes up on the agenda.
GC36934
Item: 6.C
City Council Meeting
February 17, 2026
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CITY OF SAN JUAN BAUTISTA
CITY COUNCIL STAFF REPORT
DATE: FEBRUARY 17, 2026
DEPARTMENT: CITY MANAGER
FROM: ASHLEY COLLICK, CITY MANAGER
TITLE: UTILITY BILLING AND WATER/SEWER SERVICE POLICIES
AND PROCEDURES
RECOMMENDED MOTION:
Receive the report regarding the Utility Billing Policy, Water & Sewer Connection Procedures, and updated service application forms.
RECOMMENDATION:
Receive and file this report acknowledging the City Manager’s adoption of updated Utility Billing policies and procedures and Water and Sewer Connection Services procedures.
EXECUTIVE SUMMARY:
The City Manager has adopted updated administrative policies and standard operating procedures governing utility billing, delinquency management, payment plans, service enforcement, and water and sewer connection services. These updates correct legacy practices that resulted in inconsistent enforcement and growing delinquent balances, while also ensuring alignment with the San Juan Bautista Municipal Code.
These updates follow a system-wide review that identified accounts with significant accumulated balances resulting from extended delinquency and informal payment arrangements without defined terms.
BACKGROUND:
As part of routine financial oversight, staff conducted a system-wide review of the City’s utility billing and collection practices. The review identified a number of accounts with significant accumulated balances, in some cases reaching several thousand dollars, resulting from extended delinquency and informal payment arrangements without defined terms or end dates.
The absence of standardized procedures allowed some accounts to remain delinquent for prolonged periods, resulting in ballooning balances that exceeded the customer’s ability to reasonably cure. These practices created financial risk to the utility funds, undermined equitable Page | 2
treatment of ratepayers, and limited the City’s ability to consistently enforce existing Municipal Code provisions.
The review highlighted the need for clear standards, documented procedures, and consistent enforcement to prevent the future accumulation of unmanageable account balances and to protect the long-term financial stability of the utility system.
Additionally, the review found that existing service application forms and water and sewer connection practices did not adequately address eligibility requirements, outstanding balances, or lien authority, creating further operational and financial risk for the City.
Policy And Procedural Updates
The adopted framework includes:
A consolidated Utility Billing Policy and Standard Operating Procedure, which establishes:
Clear billing obligations
Defined payment plan eligibility and limits
Automatic default and enforcement standards
Authority for service shutoff, collections, and liens Protections for due process and hardship review
A separate Water & Sewer Connection Services Standard Operating Procedure, which:
Establishes eligibility requirements for new and restored service Prevents service activation where delinquent balances or liens exist Aligns connection practices with billing enforcement
Updated service application forms that remove outdated requirements and clearly reference governing policies and Municipal Code authority.
Legal Authority
The adopted policies and procedures implement existing authority under the San Juan Bautista Municipal Code, including Title 3, Chapter 5. No ordinance amendments are required.
Conclusion
These updates provide a clear, consistent, and defensible framework for managing the City’s utility services. The policies improve equity among ratepayers, protect public resources, and provide staff with clear guidance for day-to-day operations.
FISCAL IMPACT:
The updated policies are expected to:
Reduce long-term delinquent balances
Improve cash flow stability
Item: 6.C
City Council Meeting
February 17, 2026
Page | 3
Support the financial assumptions used in utility rate setting Reduce staff time spent managing chronic delinquency
No new fees are established through these administrative actions.
ATTACHMENT:
A. Utility Billing Policy & Standard Operating Procedure B. Water & Sewer Connection Services Standard Operating Procedure C. Utility Billing & Water/Sewer Service Customer Guide D. Water & Sewer Service Connection Application
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City of San Juan Bautista
Utility Billing Policy & Standard Operating Procedure (Consolidated)
PURPOSE
This document establishes the City of San Juan Bautista's official policy and procedures for utility billing, delinquency management, payment plans, and enforcement for water and sewer services. The objectives are to ensure fiscal responsibility, equitable treatment of customers, and consistent administration.
This document contains both City policy and standard operating procedures. Sections l-9 establish the City of San Juan Bautista's Utility Billing Policy. Subsequent sections establish internal Standard Operating Procedures for staff implementation.
GENERAL POLICY
1. General Policy
LI Obligation to Pay
All utility charges for water and sewer service are due and payable as billed. Failure to pay constitutes delinquency and may result in enforcement action.
1.2 Payment Plans
Payment plans are a temporary accommodation and not an entitlement. Eligibility is subject to City policy and compliance with all terms.
1.3 Chronic Delinquency
Chronically delinquent accorints are not eligible for payment plans.
2. Courtesy Notice Framework
a. l5 days past due: Courtesy reminder
b. 30 days past due: Delinquency warning
c. 45 days past due: Final courtesy notice
d. 60 days past due: 48-hour shutoffnotice issued
Courtesy notices are not required following a payment plan default.
Page I I
A customer is considered chronically delinquent if any of the following occur:
. Two or more late payments within a rolling l2-month period; or . One payment plan default within the prior 24 months; or . Reaching 60 days delinquent more than once within a l2-month period.
3. Payment Plan Standards
a. One active payment plan per account
b. Required down payment (minimum 25%)
c. Maximum term: 12 months (residential),6 months (commercial) d. Defined end date required
e. Immediate entry into Utility Billing system
f. The delinquency resulted from a short-term hardship
Documentation is required as a condition of approval. Failure to provide documentation may result in the denial of the payment plan request.
Hardship Documentation Requirement
When a customer requests a payment plan based on financial hardship, the customer must submit a written hardship statement and reasonable supporting documentation as a condition of approval. Documentation shall be sufficient to demonstrate a temporary hardship affecting the customer's ability to pay.
Reasonable documentation may include, but is not limited to, proof of employment or income disruption, medical billing or treatment documentation, proof of fixed income, documentation of an unplanned or catastrophic event, or other comparable written information.
The City shall not require invasive financial or medical records. Submission of documentation does not waive the obligation to pay outstanding charges and does not guarantee approval of a payment plan.
4. Default and Enforcement
An account defaults if a payment plan installment is missed or new charges become delinquent Upon default:
a. Payment plan terminates immediately
b. 48-hour shutoff notice issued
c. Courtesy notices cease
Once service is shut off:
. No payment plans permitted for that balance
. Full balance and reconnection fees required for restoration
5. Legal Authority for Collection and Enforcement
Consistent with the San Juan Bautista Municipal Code (SJBMC) Title 3, Chapter 3-5, Water and Sewer Charges), the City may impose penalties, discontinue service, and pursue other lawful remedies for unpaid utility charges.
Page | 2
This includes:
. Penalties and collection charges on delinquent accounts; I Notice of termination and discontinuation of water/sewer service for nonpayment; . Reconnection fees as established by City Council resolution; and . Recording a lien against the property for unpaid water and sewer charges outstanding for 60 days or more.
5.1 Lien and Collections Enforcement
In accordance with SJBMC Title 3, Chapter 3-5, if a utility account remains delinquent for 60 days or more and unpaid after applicable notices, Utility Billing staff shall coordinate with the Finance Department to initiate a property lien. A lien shall be recorded against the parcel for the amount of unpaid water and sewer charges, and will have the force and priority of a judgment lien as specified in the Municipal Code.
6. Vulnerable Customers and Special Circumstances
Customers who certify that discontinuation of water service would pose a serious threat to health or safety may request review by the City Manager or designee. Such review may adjust enforcement timing only and does not waive the obligation to pay.
7. Appeal and Review
A customer may request a one-time administrative review only for a billing elror or documented extraordinary hardship. The review will be conducted by the City Manager or designee.
Submitting a request does not automatically delay or stop enforcement unless expressly approved.
8. Data Tracking and Reporting
9. Delinquency / Enforcement
9.1 Retumed Payments (Non-Sfficient Funds)
Payments retumed unpaid by a financial institution, including checks returned for non-sufficient funds or electronic payments that are declined, shall be considered not received. Returned payments may result in the assessment of a returned payment fee as established by the City's Page | 3
Staff shall track:
A. Number of payment plans
B. Defaults
C. Average days delinquent
D. Total outstanding receivables
adopted fee schedule. Returned payments do not stop delinquency timelines or enforcement actions.
9.2 Certifred Funds
Certified funds are forms of payment guaranteed by a financial institution, including cash, cashier's checks, certified checks, money orders, or other forms of payment approved by the City that are not subject to return for non-sufficient funds.
10. Authority and Effective Date
This policy and SOP are issued under the authority of the City Manager and are effective immediately upon adoption.
Effective: February 3. 2026
Ashley Collick, City Manager
Page | 4
City of San Juan Bautista
Water & Sewer Connection Services
Standard Operating Procedure (Internal Use Only)
1. PURPOSE AND AUTHORITY
This Standard Operating Procedure (SOP) establishes the internal procedures governing the application, approval, denial, activation, and reconnection of water and sewer services for properties within the City of San Juan Bautista.
This SOP is intended to implement and align with the San Juan Bautista Municipal Code, including Title 3, Chapter 5, and related City policies. Water and sewer service is a municipal service provided subject to compliance with City requirements and is not guaranteed absent eligibility.
2. APPLICATION FOR WATER AND SEWER SERVICE
2.1 Application Requirement
All requests for new water and/or sewer service, service reconnection, or change in account responsibility require submission of a completed City-approved Water and Sewer Service Application.
2.2 Applicant Eligibility
Applications must be submitted by:
• The property owner; or
• An authorized agent with written authorization from the property owner.
3. ELIGIBILITY FOR CONNECTION OR RECONNECTION
Before service may be activated or reactivated, staff shall verify that:
• There are no outstanding delinquent utility balances associated with the property; • No active collections actions or recorded utility liens exist for the property; • All prior shutoff-related balances have been paid in full; • All required fees, deposits, and charges have been paid; • All required inspections and approvals have been completed.
Properties with unresolved delinquent balances, collections, or liens are not eligible for new or restored service.
4. FEES, DEPOSITS, AND CHARGES
Applicants must pay all applicable fees prior to service activation, including but not limited to:
• Connection or reconnection fees;
• Meter installation or replacement fees;
• Deposits, if required;
• Any other charges established by City Council resolution.
Staff shall not waive fees except as expressly authorized by City policy or resolution.
5. INSPECTIONS AND TECHNICAL REQUIREMENTS
Service activation is contingent upon completion of all required inspections, including but not limited to:
• Plumbing and building inspections;
• Backflow prevention verification;
• Meter installation approval.
Staff shall not activate service until all technical requirements are satisfied.
6. ACTIVATION OF SERVICE
Upon verification of eligibility, payment of all required fees, and completion of inspections, Utility Billing staff shall:
a. Establish or update the utility account;
b. Confirm billing start date;
c. Coordinate with Public Works for service activation, if applicable.
7. DENIAL OR DELAY OF SERVICE
The City may deny or delay water and sewer service for any of the following reasons:
a. Outstanding delinquent balances, collections, or liens; b. Failure to submit a complete application;
c. Failure to pay required fees or deposits;
d. Failure to complete required inspections;
e. Noncompliance with Municipal Code or City policy.
Applicants shall be notified if service is denied or delayed.
8. RECONNECTION FOLLOWING SHUTOFF
Following service discontinuation for nonpayment:
a. Full payment of all outstanding charges and fees is required prior to reconnection; b. Payment plans are not available once service has been shut off; c. Reconnection fees must be paid before service is restored.
9. LIMITED ADMINISTRATIVE REVIEW
Applicants may request a one-time administrative review of a service denial or delay based on a billing error or documented extraordinary circumstance. Review shall be conducted by the City Manager or designee and does not automatically delay enforcement or prevent denial of service unless expressly approved.
10. RETURNED PAYMENT HANDLING
When a payment is returned unpaid, staff shall:
a. Reverse the payment in the utility billing system.
b. Apply the returned payment fee in accordance with the adopted fee schedule. c. Notify the customer of the returned payment.
d. Treat the account as unpaid for purposes of delinquency and enforcement timelines.
Returned payments made under a payment plan constitute a default of the agreement. After a returned payment, the City may require future payments to be made by certified funds.
11. COORDINATION WITH UTILITY BILLING POLICY AND SOP
This SOP shall be read in conjunction with the City’s Utility Billing Policy and SOP governing billing, delinquency, payment plans, collections, and enforcement. In the event of conflict, the Utility Billing Policy shall control.
This SOP is for internal administrative use and is not intended to create any private right or entitlement to service.
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City of San Juan Bautista
Utility Billing & Water / Sewer Service – Customer Guide
PURPOSE
This guide explains how water and sewer services are billed, what happens if an account becomes past due, and how customers may request assistance. It is intended to help customers understand the City’s rules and processes in a clear and transparent way.
This guide summarizes City policy and procedures. The City’s adopted policies, standard operating procedures, and Municipal Code govern in the event of any conflict.
1. Paying Your Utility Bill
• Utility bills are issued regularly and must be paid by the due date shown on the bill. • Customers are responsible for paying all water and sewer charges associated with their property.
• Payments may be made using the payment methods approved by the City.
Failure to pay on time may result in late penalties and enforcement actions.
2. When an Account Becomes Past Due
An account is considered delinquent if payment is not received by the due date.
The City provides notice before enforcement actions occur:
• Courtesy reminders are sent as balances age;
• A formal shutoff notice is issued when an account reaches 60 days past due; • A minimum 48-hour notice is provided before service is discontinued.
3. Payment Plans
Payment plans are a temporary option for customers experiencing short-term difficulty paying their bill.
Key points:
• Payment plans are not automatic and must be approved; • Eligibility requirements apply;
• Payment plans have a defined term and end date;
• Customers must remain current on new charges while on a plan.
Payment plans are not available after water service has been shut off.
4. Financial Hardship Requests
Customers requesting a payment plan based on financial hardship may be asked to provide a written explanation and reasonable documentation.
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Documentation is used only to determine eligibility for a payment plan and does not eliminate the obligation to pay outstanding charges.
5. Default and Service Discontinuation
If a customer:
• Misses a payment under a payment plan, or
• Incurs new delinquent charges while on a plan
The payment plan will terminate and enforcement may proceed.
Once service is shut off:
• The full balance must be paid to restore service;
• Payment plans are no longer available for that balance; • Reconnection fees may apply.
6. Returned Payments
Payments that are returned unpaid by a bank or payment processor are treated as not received.
Returned payments:
• May result in a returned payment fee;
• Do not stop delinquency timelines;
• May require future payments to be made using certified funds.
7. Collections and Liens
If an account remains unpaid:
• The City may refer the account to a collection agency; • A lien may be recorded against the property as allowed by law.
These actions are authorized by the San Juan Bautista Municipal Code.
8. Starting or Restoring Water and Sewer Service
To start or restore service:
• A completed service application is required;
• All outstanding balances, fees, and deposits must be paid; • Required inspections must be completed;
• Properties with delinquent balances, collections, or liens are not eligible for service.
Opening a new account does not eliminate responsibility for unpaid charges associated with the property.
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9. Deposits
A utility service deposit may be required before service is activated or restored.
Deposit amounts are set by City Council through the adopted fee schedule.
10. Appeals and Review
Customers may request a one-time administrative review for:
• A billing error, or
• A documented extraordinary hardship.
Submitting a review request does not automatically delay enforcement unless expressly approved by the City.
11. Need Help or Have Questions?
Customers are encouraged to contact City Hall as early as possible if they are experiencing difficulty paying their bill.
City of San Juan Bautista at City Hall: (831) 623-4661
Website: www.san-juan-bautista.ca.us
NOTE:
This guide is provided for informational purposes only and does not create a right to service or a waiver of City enforcement authority.
Page | 1 Revised: 02/09/2026
City of San Juan Bautista
Water & Sewer Service Connection Application
IMPORTANT NOTICE
This application is required to establish, transfer, or restore water and/or sewer service within the City of San Juan Bautista. Approval of this application is subject to the City’s adopted Utility Billing Policy, Water & Sewer Connection Services Standard Operating Procedures, and the San Juan Bautista Municipal Code.
Submission of this application does not guarantee service.
1. APPLICANT INFORMATION
Applicant Name: _______________________________________________________________ Mailing Address: _______________________________________________________________ Phone: ____________________ Work: _____________________ Home/Cell: ______________ Email: ________________________________________________________________________ ☐ Property Owner ☐ Tenant (Owner authorization required) Owner Name (if different): ____________________________________
2. SERVICE ADDRESS
Service Address: _______________________________________________________________ APN: ________________________________________________________________________ Type of Service Requested:
☐ Water ☐ Sewer ☐ Water & Sewer
Account Type:
☐ Residential ☐ Commercial ☐ Other: ___________________
3. SERVICE REQUEST
☐ New service connection
☐ Transfer of existing service
☐ Restoration of service after disconnection
Requested Start Date: ___________________
Page | 2 Revised: 02/09/2026
4. DEPOSITS AND FEES
A utility service deposit is required prior to activation or restoration of service. Deposit amounts and applicable fees are established by City Council through the adopted fee schedule.
All deposits and fees must be paid in full before service is activated.
5. BILLING RESPONSIBILITY AND ELIGIBILITY
The applicant acknowledges and agrees that:
All charges for water and sewer service are the responsibility of the property owner and/or account holder;
Service will not be established or restored if delinquent balances, collections, or liens are associated with the property or applicant;
Opening a new account does not eliminate responsibility for unpaid charges related to the property.
6. DISCONNECTION AND RESTORATION OVERVIEW
Water and sewer service may be discontinued for nonpayment or other violations as allowed by City policy and Municipal Code.
General disconnection process includes:
A. Issuance of billing and past-due notices
B. Opportunity to resolve delinquency or request assistance when eligible C. Formal shutoff notices and required waiting period
D. Physical disconnection of service by Public Works
Restoration of service requires:
A. Payment of all outstanding balances
B. Payment of reconnection fees and deposits, if applicable C. Confirmation of eligibility by Finance
D. Authorization for restoration
Specific timelines and requirements are governed by adopted City policy and are subject to change.
7. VOLUNTARY DISCONNECTION OF SERVICE
☐ I am requesting voluntary disconnection of water and/or sewer service A customer may request voluntary disconnection of water and/or sewer service when service is no longer needed, including when moving out of the City.
Page | 3 Revised: 02/09/2026
Voluntary disconnection:
Must be requested in writing by the account holder;
Does not waive responsibility for charges incurred prior to the disconnection date; Does not eliminate outstanding balances, collection actions, or lien authority as permitted by law.
A final bill will be issued through the effective disconnection date. Deposits will be applied to the final bill, and any remaining balance will be refunded or billed in accordance with City policy.
By signing this application, the applicant confirms their request for voluntary disconnection, if selected above.
8. ACKNOWLEDGEMENT OF POLICIES
By signing below, the applicant acknowledges that they have received or been directed to the following:
• Utility Billing Policy & Standard Operating Procedure; • Water & Sewer Connection Services SOP;
• Utility Billing & Water/Sewer Service Customer Guide.
The applicant agrees to comply with all applicable City policies, procedures, and Municipal Code provisions.
9. SIGNATURE
I certify that the information provided is true and correct and that I understand approval of this application is subject to City review. I acknowledge that if I have selected voluntary disconnection above, I remain responsible for all charges incurred prior to the disconnection date.
Name: ____________________________________ _____ Date: ________________________ Applicant Signature: ______________________________
FOR CITY USE ONLY
☐ Application approved ☐ Application denied
Reason (if denied): _____________________________________________________________________ Deposit Paid: ☐ Yes ☐ No Amount: $____________________
Authorized By: ________________________________ Date: __________________________ Department Head/City Manager Signature: _______________________ Title: _____________________ This application supersedes all prior water and sewer service application forms.
City of San Juan Bautista
Revenues ~ Budget Vs. Actual
For the Six Month Period Ended December 31, 2025
Item #6.D
City Council Meeting
February 17, 2026
REVENUES FY24 FY25 Annual YTD
Fund Actuals Actuals Budget Difference 50% Notes
General Fund 1,123,404 1,242,843 2,530,525 (1,593,243) 49% Special Revenue Funds:
Capital Projects Fund 167,685 226,130 4,914,742 (2,703,471) 5% Community Development 22,194 33,235 124,150 (393,098) 27% COPS 49,998 133,727 100,000 (75,000) 134%
Parking & Restroom Fd 18,439 15,782 28,000 (16,269) 56% Gas Tax Fund 39,271 53,931 108,000 (76,799) 50%
Valle Vista LLD 11,940 22,277 44,554 (17,919) 50%
Rancho Vista CFD 33,756 33,756 67,512 (49,481) 50%
Copperleaf CFD 8,322 8,323 16,645 (12,240) 50%
Internal Service Funds:
Blg Rehab. & Replace 19,000 19,000 38,000 (28,500) 50%
Vehicle Replacement 30,000 30,000 60,000 (45,000) 50%
Enterprise Funds:
Water
Operations 805,086 921,928 1,718,000 (904,085) 54%
Sewer
Operations 921,774 1,038,030 1,960,000 (943,950) 53%
TOTAL Funds 3,250,869 3,778,962 11,710,128 (6,859,055) 32% City of San Juan Bautista
Revenues ~ Budget Vs. Actual
For the Sid Month Period Ended December 31, 2025
Item #6.D
City Council Meeting
February 17, 2026
EXPENDITURES FY24 FY25 Annual YTD
Fund Actuals Actuals Budget Variance 50% Note
General Fund 1,013,435 994,586 2,394,878 (1,400,292) 42% Special Revenue Funds:
Capital Projects Fund 167,685 226,130 4,914,742 (4,688,612) 5% A Community Development 416,993 430,725 662,242 (231,517) 65% COPS 49,998 49,998 100,000 (50,002) 50%
Gas Tax Fund 8,638 9,773 21,000 (11,227) 47%
Valle Vista LLD 11,005 24,341 44,554 (20,213) 55%
Rancho Vista CFD 23,396 62,402 42,718 19,684 146% C
Copperleaf CFD 9,068 13,858 16,645 (2,787) 83%
Development Impact Fee Funds
Public/Civic Facility 1,350 1,350 2,700 (1,350) 50%
Library 2,220 2,220 4,440 (2,220) 50%
Storm Drain 1,716 1,716 3,432 (1,716) 50%
Park In-Lieu 150 150 300 (150) 50%
Public Safety 426 426 852 (426) 50%
Traffic 216 216 432 (216) 50%
Enterprise Funds:
Water:
Operations 342,720 364,827 862,288 497,461 42%
Capital 34,747 34,731 15,793,187 15,758,456 0% A
Sewer
Operations 425,137 523,901 1,051,569 527,668 50% B
Capital 2,174,571 6,456,244 17,112,103 10,655,859 38% A TOTAL Funds 4,683,471 9,197,594 43,028,082 21,048,400 21% Footnotes:
A ~ Capital fund transfers/costs are budgeted to be incurred by these funds. Since the costs/transfers occur sporadically during the year, they do not always align with the to date percentages, or prior year amounts.
Additionally, some projects have been moved to the next fiscal year.
B ~ Interest costs are higher than budgeted due to the line of credit for finaning the sewer project.
C ~ From reserves, fence replacement due to flooding.
City of San Juan Bautista
Check/Voucher Register - Check Register Current Month
From 12/1/2025 Through 12/31/2025
1110 - Operating
Acct. 1948
Effective Date Check Number Vendor Name Check Amount
12/8/2025 218884 4Leaf, Inc. 82.50
12/8/2025 218885 Abbott's Pro Power 73.11
12/8/2025 218886 AFLAC 970.48
12/8/2025 218887 att.com 66.92
12/8/2025 218888 California Overhead Door 520.00
12/8/2025 218889 California SCADA Services, LLC 1,200.00 12/8/2025 218890 Charter Communications 629.83
12/8/2025 218891 City of Hollister 46,976.44
12/8/2025 218892 Clark Pest Control 124.00
12/8/2025 218893 Cypress Water Services 11,225.00
12/8/2025 218894 Data Ticket Inc. 200.00
12/8/2025 Data Ticket Inc. 200.00
12/8/2025 218895 G&M Auto, Inc. 156.75
12/8/2025 218896 G7EI Inc 1,657.50
12/8/2025 218897 Gularte Landscaping 2,950.00
12/8/2025 218898 Hamner Jewell Associates 360.40
12/8/2025 218899 Kennedy, Archer & Giffen 183.00
12/8/2025 Kennedy, Archer & Giffen 5,429.00
12/8/2025 Kennedy, Archer & Giffen 3,577.00
12/8/2025 Kennedy, Archer & Giffen 1,895.50
12/8/2025 Kennedy, Archer & Giffen 754.50
12/8/2025 Kennedy, Archer & Giffen 3,388.50
12/8/2025 Kennedy, Archer & Giffen 640.50
12/8/2025 Kennedy, Archer & Giffen 1,551.00
12/8/2025 Kennedy, Archer & Giffen 61.00
12/8/2025 Kennedy, Archer & Giffen 5,270.00
12/8/2025 Kennedy, Archer & Giffen 762.50
12/8/2025 Kennedy, Archer & Giffen 976.00
12/8/2025 Kennedy, Archer & Giffen 61.00
12/8/2025 218900 Kiley & Associates, LLC 3,000.00
12/8/2025 218901 Mission Linen Service 282.14
12/8/2025 218902 MJ Plumbing & Re-Pipe, Inc 150.00
12/8/2025 218903 Monterey Bay Analytical Services 5,017.50 12/8/2025 218904 New SV Media 489.80
12/8/2025 218905 Oscar Soto 117.33
12/8/2025 218906 P G & E 8,583.17
City of San Juan Bautista
Check/Voucher Register - Check Register Current Month
From 12/1/2025 Through 12/31/2025
1110 - Operating
Acct. 1948
Effective Date Check Number Vendor Name Check Amount
12/8/2025 218907 Postmaster 1,000.00
12/8/2025 218908 Rojas Communications Group 1,500.00
12/8/2025 218909 Rx-Tek 350.28
12/8/2025 Rx-Tek 250.00
12/8/2025 218910 San Benito County Sheriff 29,948.04
12/8/2025 218911 Sentry Alarm System 342.00
12/8/2025 218912 Software Simplified 112.50
12/8/2025 218913 Sound Design A/V Contractors 507.50
12/8/2025 218914 Specialty Construction, Inc. 164,624.65 12/8/2025 218915 Stantec Consulting Services Inc. 17,298.48 12/8/2025 218916 State Compensation Insurance Fund 2,864.58 12/8/2025 218917 T-Mobile 400.83
12/8/2025 218918 Uline 89.09
12/8/2025 218919 Valero Wex Bank 963.58
12/8/2025 218920 Wendy L. Cumming, CPA 14,700.00
12/8/2025 218921 Wright Bros. Industrial Supply 17.19
12/8/2025 218922 ACWA Health Benefits Authority 22,197.72 12/11/2025 218923 Specialty Construction, Inc. 328,151.95 12/29/2025 218924 AFLAC 970.48
12/29/2025 218925 All Clear Water Services 4,100.00
12/29/2025 218926 at&t 149.44
12/29/2025 218927 CALNET 32.44
12/29/2025 218928 Clark Pest Control 124.00
12/29/2025 218929 Cypress Water Services 11,225.00
12/29/2025 218930 Elizabeth Soto 65.00
12/29/2025 218931 First Alarm 540.33
12/29/2025 218932 MNS Engineers, Inc. 1,100.00
12/29/2025 MNS Engineers, Inc. 4,625.00
12/29/2025 MNS Engineers, Inc. 470.00
12/29/2025 MNS Engineers, Inc. 600.00
12/29/2025 MNS Engineers, Inc. 5,245.00
12/29/2025 MNS Engineers, Inc. 3,201.27
12/29/2025 MNS Engineers, Inc. 217.48
12/29/2025 MNS Engineers, Inc. 63.65
12/29/2025 218933 Monterey Bay Analytical Services 3,042.50 12/29/2025 218934 New SV Media 697.40
12/29/2025 218935 P G & E 18,388.45
City of San Juan Bautista
Check/Voucher Register - Check Register Current Month
From 12/1/2025 Through 12/31/2025
1110 - Operating
Acct. 1948
Effective Date Check Number Vendor Name Check Amount
12/29/2025 218936 Paulina Hill 700.00
12/29/2025 218937 Regional Government Services 530.60
12/29/2025 218938 Rincon Consultants 3,750.00
12/29/2025 Rincon Consultants 1,641.00
12/29/2025 218939 Rojas Communications Group 1,500.00
12/29/2025 218940 Rx-Tek 62.50
12/29/2025 218941 Smith & Enright Landscaping 1,465.00
12/29/2025 Smith & Enright Landscaping 2,045.00
12/29/2025 Smith & Enright Landscaping 2,030.00
12/29/2025 218942 Stoel Rives 1,584.00
12/29/2025 218943 State Water Resources Control Board 3,945.00 12/29/2025 218944 Valero Wex Bank 719.79
12/29/2025 218945 ACWA Health Benefits Authority 11,023.33 12/29/2025 218946 Ashley Collick 208.29
12/29/2025 218947 Ca Association Code Enforcement Officers 100.00 12/29/2025 218948 Core & Main 228.72
12/29/2025 218949 Home Depot Credit Services 652.57
12/29/2025 Home Depot Credit Services 32.33
12/29/2025 Home Depot Credit Services 35.13
12/29/2025 218950 Mission Linen Service 21.80
12/29/2025 Mission Linen Service 496.26
12/29/2025 218951 State Compensation Insurance Fund 2,864.58 12/29/2025 218952 US Bank 13,756.95
12/29/2025 218953 Primo Brands 692.42
12/29/2025 218954 4Leaf, Inc. 440.00
12/29/2025 218955 A & N Plumbing, Inc. 1,378.31
12/29/2025 218956 att.com 153.84
12/29/2025 218957 City of Hollister 46,976.44
12/29/2025 218958 CMAP 332.92
City of San Juan Bautista
Check/Voucher Register - Check Register Current Month
From 12/1/2025 Through 12/31/2025
1110 - Operating
Acct. 1948
Effective Date Check Number Vendor Name Check Amount
12/29/2025 CMAP 2,596.17
12/29/2025 218959 Cypress Water Services 1,520.00
12/29/2025 218960 Design Line & Granger 339.77
12/29/2025 218961 Downey Brand 1,102.00
12/29/2025 218962 Edges Electrical Group 228.46
12/29/2025 218963 MNS Engineers, Inc. 40,689.00
12/29/2025 MNS Engineers, Inc. 13,917.49
12/29/2025 MNS Engineers, Inc. 26,149.33
12/29/2025 218964 MuniBilling 490.20
12/29/2025 218965 Oscar Soto 1,617.88
12/29/2025 218966 Rx-Tek 343.75
12/29/2025 218967 Sentry Alarm System 135.00
12/29/2025 Sentry Alarm System 342.00
12/29/2025 218968 Specialty Construction, Inc. 208,106.54 12/29/2025 218969 State Water Resources Control Board 3,630.00 12/29/2025 State Water Resources Control Board 563.00
12/29/2025 218970 Hollister True Value 7.19
12/29/2025 Hollister True Value 16.91
12/29/2025 218971 USABlueBook 2,217.51
Report Total 1,153,137.18
Item: 6.E
City Council Meeting
February 17, 2026
Page | 1
CITY OF SAN JUAN BAUTISTA
CITY COUNCIL STAFF REPORT
DATE: FEBRUARY 17, 2026
DEPARTMENT: CITY MANAGER
FROM: ASHLEY COLLICK, CITY MANAGER
BY: ARIELLE GOODSPEED, PLANNING MANAGER
TITLE: AMEND THE FIVE-YEAR PERMANENT LOCAL HOUSING
ALLOCATION (PLHA) PROGRAM TO INCORPORATE 2022 AND
2023 ALLOCATIONS AND REALLOCATE 2019 FUNDS TO
HOMELESS SUPPORTIVE SERVICES
RECOMMENDED MOTION:
Approve a Resolution amending the Five-Year Permanent Local Housing Allocation (PLHA) Program; and authorize the City Manager to execute the Memorandum of Understanding (MOU) with San Benito County Public Health Department.
RECOMMENDATION:
Staff recommends amending the Five-Year Permanent Local Housing Allocation (PLHA) Program to:
1. Incorporate the 2022 allocation of $63,917 and the 2023 allocation of $48,437;
2. Allocate 50% of the 2022 and 2023 funds to ADU Code Compliance, 45% to Homeless Supportive Services (HSS), and 5% to County administration;
3. Reallocate 95% of the 2019 PLHA funds ($72,199) to HSS and 5% ($3,800) to County administration; and
4. Authorize the City Manager to execute the Memorandum of Understanding (MOU) with San Benito County Public Health for HSS services.
EXECUTIVE SUMMARY:
The City must amend its Five-Year Permanent Local Housing Allocation (PLHA) Program to ensure it does not forfeit State housing funds due to expenditure deadlines.
The City’s 2019 PLHA allocation ($75,999) must be encumbered within the State’s 58-month deadline. Due to limited participation in the ADU Code Compliance Program—only one eligible Page | 2
application has been received to date—the City risks losing these funds if they remain allocated primarily to the ADU program.
The State has advised reallocating 95% of the 2019 funds to Homeless Supportive Services (HSS) and encumbering them through a Memorandum of Understanding (MOU) with San Benito County Public Health to ensure timely expenditure.
This amendment preserves the City’s ADU Program using remaining 2020–2023 funds while shifting the 2019 allocation to HSS to prevent loss of funding. The proposed action does not impact the General Fund and maintains the City’s previously approved eligible uses under PLHA
BACKGROUND
SB2 established the Permanent Local Housing Allocation (PLHA) program to support affordable housing and homelessness-related activities. Eligible uses include assistance for lower-income households, ADU programs, and services for individuals experiencing or at risk of homelessness.
In February 2023, the State approved the City’s Five-Year PLHA Plan, which allocated funding to an ADU Code Compliance Program and Homeless Supportive Services (HSS). The proposed amendment does not change the approved eligible uses but adjusts funding distribution and timing to comply with State expenditure deadlines.
Given the City’s limited available land for affordable housing development, annual PLHA allocations are insufficient on their own to construct new affordable units but may be leveraged in the future if development opportunities arise.
FISCAL IMPACT:
There is no impact to the City’s General Fund. The amendment reallocates restricted State PLHA grant funds to ensure compliance with State expenditure deadlines and prevent forfeiture of previously awarded funds.
ATTACHMENTS:
1. Resolution
2. MOU
Page | 1
RESOLUTION NO. 2026-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JUAN BAUTISTA
AUTHORIZING THE APPLICATION AND ADOPTING THE PLHA PLAN FOR THE
PERMANENT LOCAL HOUSING ALLOCATION PROGRAM
A necessary quorum and majority of the City Council of the City of San Juan Bautista, a municipality, (“Applicant”) hereby consents to, adopts, and ratifies the following:
WHEREAS, the State of California (the “State”), Department of Housing and Community Development (“Department”) is authorized to provide up to $335 under the SB 2 Permanent Local Housing Allocation Program Formula Component from the Building Homes and Jobs Trust Fund (as described in Health and Safety Code section 50470 et seq. (Chapter 364, Statutes of 2017 (SB 2)); and
WHEREAS, the Department issued a Notice of Funding Availability (“NOFA”) dated August, 17, 2022, under the Permanent Local Housing Allocation (“PLHA”); and WHEREAS, San Juan Bautista is an eligible Local government who has applied for program funds to administer one or more eligible activities; and WHEREAS, the Department may approve funding allocations for the PLHA Program, subject to the terms and conditions of the PLHA Program Guidelines, NOFA, Program requirements, the Standard Agreement, and other contracts between the Department and PLHA grant recipients.
NOW, THEREFORE, BE IT RESOLVED by the San Juan Bautista City Council:
1. If Applicant receives a grant of PLHA funds from the Department pursuant to the above referenced PLHA NOFA, it represents and certifies that it will use all such funds in a manner consistent and in compliance with all applicable state and federal statutes, rules, regulations, and laws, including without limitation all rules and laws regarding the PLHA Program, as well as any and all contracts Applicant may have with the Department.
2. Applicant is hereby authorized and directed to receive a PLHA grant, in anamount not to exceed the five-year estimate of the PLHA formula allocations, as stated in Appendix C of the current NOFA $455,999.00 in accordance with all applicable rules and laws.
3. Applicant hereby agrees to use the PLHA funds only for Eligible Activities as approved by the Department and in accordance with all Program requirements, PLHA Program Guidelines, other rules and laws, as well as in a manner consistent and in compliance with the StandardAgreement, its Application, and other contracts between the Applicant and the Department.
Page | 2
4. Pursuant to Section 302(c)(4) of the Guidelines, Applicant’s PLHA Plan for the 2019- 2023 Allocations is attached to this resolution, and Applicant hereby adopts this PLHA Plan and certifies compliance with all public notice, public comment, and public hearing requirements in accordance with the Guidelines.
5. Applicant certifies that it has or will subgrant some or all of its PLHA funds to another entity or entities. Pursuant to Guidelines Section 302(c)(3), “entity” means a housing developer or program operator, but does not mean an administering Local government to whom a Local government may delegate its PLHA allocation.
6. Applicant certifies that its selection process of subgrantees where applicable was or will be accessible to the public and avoided or shall avoid any conflicts of interest. accessible to the public and involved no conflicts of interest.
7. Applicant’s certification in this resolution, the PLHA funds will be expended only for Eligible Activities, as defined in PLHA Program Guidelines, and consistent with all program requirements.
8. Applicant certifies that, if funds are used for the acquisition, construction or rehabilitation of Accessory or Junior Accessory Dwelling units, the Applicant shall record a deed restriction against the property that will ensure compliance that the unit will be affordable to income eligible household for a minimum of 30-day rental occupancy for five years.
9. Applicant shall be subject to the terms and conditions as specified in the Standard Agreement, the PLHA Program Guidelines, and any other applicable SB 2 guidelines published by the Department.
10. The City Manager or designee is/are authorized to execute the PLHA Program Application, the PLHA Standard Agreement and any subsequent amendments or modifications thereto, aswell as any other documents which are related to the Program or the PLHA grant awarded to Applicant, as the Department may deem appropriate.
PASSED AND APPROVED by the San Juan Bautista City Council on this 17th day of February, 2026 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Page | 3
APPROVED:
____________________
Leslie Q. Jordan, Mayor
ATTEST:
______________________
Elizabeth Soto, City Clerk
CERTIFICATE OF THE ATTESTING OFFICER
Page | 4
The undersigned Officer of the City of San Juan Bautista, Elizabeth Soto, does hereby attest and certify that the foregoing Resolution is a true, full and correct copy of a resolution duly adopted at a meeting of the City Council of San Juan Bautista which was duly convened and held on the date stated thereon, and that said document has not been amended, modified, repealed or rescinded since its date of adoption and is in full force and effect as of the date hereof.
ATTEST:
Signature of Attesting Officer
Elizabeth Soto, City Clerk
Page | 1
MEMORANDUM OF UNDERSTANDING
BETWEEN THE COUNTY OF SAN BENITO AND THE CITY OF SAN JUAN
BAUTISTA, FOR THE OPERATION OF A SUPPORTIVE CASE SERVICES PROGRAM TO BE FUNDED BY PLHA GRANT FUNDS.
1. Parties. This Memorandum of Understanding (hereinafter referred to as “MOU”) is made and entered into by and between the County of San Benito (hereinafter referred to as “Agency 1”) and the City of San Juan Bautista, (hereinafter referred to “Agency 2, and together with Agency 1, “Parties”). The address of Agency 1 is 1111 San Felipe Road, Suite #107, Hollister, CA 95023. The address of Agency 2 is 311 Second Street, PO Box 14290, San Juan Bautista CA 95045.
2. Purpose. The purpose of this MOU is to establish the terms and conditions under which the Parties will operate a supportive case services program to serve homeless individuals in San Benito County within each of the stated jurisdictions to be funded by the Permanent Local Housing Allocation Grant (PLHA) as administered by the State of California Department of Housing and Community Development Department (HCD). This supportive case services program seeks funding in the total amount of $75,999 to be allocated to the City of San Juan Bautista. The City of San Juan Bautista will reallocate these Funds to the County of San Benito for the purpose of collaborative engagement between the Parties in the “Shared Activity,” which will consist of conducting public outreach to homeless individuals experiencing or at risk of homelessness. Upon establishing an understanding of the needs of homeless individuals, appropriate staff shall determine the supportive case services assistance to be provided in accordance with PLHA program requirements.
3. Term of MOU. This MOU is effective upon the day and date last signed and executed by the duly authorized representatives of the Parties to this MOU and the governing bodies of the Parties’ respective counties or municipalities and shall remain in full force and effect for the entire term of the Standard Agreement (as hereinafter defined) is executed. This MOU may be terminated, without cause, by either Party upon thirty days (30) written notice, which notice shall be delivered by electronic mail, hand, or by certified mail to the address listed above.
4. Responsibilities of the County of San Benito. The County of San Benito shall be primarily responsible for implementation of the Shared Activity. This includes, but is not limited to, providing street outreach, rapid rehousing, rental assistance, and supportive/case management services that allow people to obtain and retain housing. Specifically, the County of San Benito shall coordinate case management, housing navigation, referrals to supportive services, and assistance with accessing housing resources. The County of San Benito shall also submit regular reports to the City of San Juan Bautista detailing the utilization of funds, outcomes achieved, and any challenges encountered in delivering supportive case services. The County of San Benito shall partner with the City of San Juan Bautista to conduct Street outreach activities, supportive case management, and referring interested homeless individuals to community resources. The County of San Benito shall also partner with the City of San Juan Page | 2
Bautista as necessary to allow the City of San Juan Bautista to satisfy its responsibilities under this MOU or under the Standard Agreement between the State Department of Housing and Community Development (“HCD”) and San Juan Bautista dated February 23, 2023, (“Standard Agreement).
5. Responsibilities of the City of San Juan Bautista: The City of San Juan Bautista shall be the lead applicant to fund case management and supportive services for individuals experiencing homelessness and those at risk as part of its effort to address homelessness under the PLHA grant application. The City of San Juan Bautista shall partner with the County of San Benito as necessary to allow the County of San Benito to satisfy its responsibilities pursuant under this MOU.
6. Shared Responsibilities: Both the City of San Juan Bautista and the County of San Benito shall evaluate the services' effectiveness, funding requests, and filing required reports to HCD, recognizing those provisions in Section 7(H) at only San Juan Bautista can be held accountable for these delivery of these services by HCD.
7. Sharing of Administrative Costs allowed by PLHA Grant: The PLHA Grant program allows a maximum of 5% of the total grant to be used to cover administrative costs in the operation of the Shared Activity. Agency 1 and Agency 2 shall determine the fair share of their administrative funds concerning their roles to be 5% of the 2019 allocation, or $3,800.
8. General Provisions
A. Amendments. Either Party may request changes to this MOU. Any changes, modifications, revisions, or amendments to this MOU which are mutually agreed upon by and between the Parties to this MOU shall be incorporated by written instrument and practical when executed and signed by all Parties to this MOU.
B. Applicable Law. The laws of the State of California shall govern the construction, interpretation, and enforcement of this MOU. The courts of the State of California shall have jurisdiction over any action arising out of this MOU and over the Parties, and the venue shall be the County of San Benito Judicial District, California.
D. Entirety of Agreement. This MOU, consisting of four (4) pages, represents the entire and integrated agreement between the Parties and supersedes all prior negotiations, representations, and agreements, whether written or oral.
E. Severability. Should any portion of this MOU be judicially determined to be illegal or unenforceable, the remainder of the MOU shall continue in full force and effect, and either Party may renegotiate the terms affected by the severance.
F. Sovereign Immunity. Agency 1 and Agency 2 and their respective governing bodies do not waive their sovereign immunity by entering into this MOU, and each fully retains all immunities and defenses provided by law concerning any action based on or occurring as a result of this MOU.
Page | 3
G. Third Party Beneficiary Rights. The Parties do not intend to create the status of a third-party beneficiary in any other individual or entity, and this MOU shall not be construed to create such status. The rights, duties, and obligations contained in this MOU shall operate only between the Parties to this MOU and shall ensure solely to the benefit of the Parties to this MOU. The provisions of this MOU are intended only to assist the Parties in determining and performing their obligations under this MOU. The Parties to this MOU intend and expressly agree that only Parties signatory to this MOU shall have any legal or equitable right to seek to enforce this MOU, to pursue any remedy arising out of a party’s performance or failure to perform any term or condition of this MOU, or to bring an action for the breach of this MOU.
H. PLHA Program Terms and Conditions. The Parties agree to administer all funding and activities identified in this MOU in compliance with the standard agreement executed with the HCD for said activities and funding (“Standard Agreement”). The Parties agree that the City of San Juan Bautista shall be the executor of the Standard Agreement, and that primary communication to HCD regarding the Shared Activity shall be the City of San Juan Bautista’s responsibility. It is the responsibility of each party to this MOU to communicate and transfer applicable performance and regulatory requirements to all third parties with which each contract with respect to the Shared Activity, including all contractors and subrecipients. Failure to administer funds and or activities in accordance with HUD regulations and the terms and conditions identified in the Standard Agreement will result in performance penalties (“Penalties”) toward all Parties of this MOU and may result in repayment of expended PLHA funds (“Repayment”) in the event that the costs were determined to be ineligible, or that the funds failed to meet a National Objective, as identified in title 42 of United States Code, Section 5301 and title 24 of the Code of Federal Regulations section 570.483. Agency 1 and Agency 2 shall determine the fair share of any potential Penalties and Repayment, based on their roles and responsibilities, before the commencement of the proposed program.
Page | 4
INTENTIONALLY LEFT BLANK
Page | 5
8. Signatures. In witness of which, the Parties to this MOU through their duly authorized representatives have executed this MOU on the days and dates set out below and certify that they have read, understood, and agreed to the terms and conditions of this MOU as set forth herein.
The effective date of this MOU is the date of the signature last affixed to this page.
Agency 1: County of San Benito:
_______________________________ ________________________________ Name and Title Date
_______________________________
Signature
Agency 2: City of San Juan Bautista:
__________________________________ _____________________________ Ashley Collick, City Manager Date
__________________________________
Signature
APPROVED AS TO LEGAL FORM:
San Benito County Counsel
By: ________________________________ Date: __________________________
APPROVED AS TO LEGAL FORM:
City of San Juan Bautista
By: ________________________________ Date: __________________________ Item No.: 6.G
City Council Meeting
February 17, 2026
Page | 1
CITY OF SAN JUAN BAUTISTA
CITY COUNCIL STAFF REPORT
DATE: FEBRUARY 17, 2026
DEPARTMENT: CITY MANAGER
FROM: ASHLEY COLLICK, CITY MANAGER
TITLE: AUTHORIZATION TO ISSUE REQUEST FOR PROPOSALS FOR
SEWER RATE STUDY AND APPROVAL OF PROFESSIONAL
SERVICES AGREEMENT FORM
RECOMMENDED MOTION:
Adopt a resolution authorizing issuance of a Request for Proposals for a Sewer Rate Study and approving the form of Professional Services Agreement for General Consulting Services.
RECOMMENDATION:
Staff recommends that the City Council authorize issuance of a Request for Proposals (RFP) for preparation of a comprehensive sewer rate study and approve the form of Professional Services Agreement (General Consulting) to be used for the selected consultant.
EXECUTIVE SUMMARY:
The City’s sewer utility relies on user fees to fund operations, maintenance, regulatory compliance, debt obligations, and long-term infrastructure needs. The City’s current sewer rates were last adopted in 2021, with the most recent adjustment effective July 1, 2025. As capital, regulatory, and operating costs continue to evolve, a comprehensive review of sewer rates is necessary to ensure long-term financial sustainability and compliance with Proposition 218.
This action authorizes issuance of an RFP to solicit proposals from qualified consultants to conduct a sewer rate study and approves the standard form of Professional Services Agreement that will govern the selected consultant’s work. The sewer rate study will provide a financial model and rate structure recommendations to support informed Council consideration of future rate adjustments.
BACKGROUND:
The City of San Juan Bautista provides sewer collection and conveyance services to approximately 900 service connections serving a population of roughly 2,100 residents. Wastewater flows are conveyed to regional treatment facilities operated by the City of Hollister pursuant to existing agreements. The City does not operate its own wastewater treatment facility.
The sewer enterprise fund must generate sufficient revenue to cover operating costs, regulatory requirements, debt service, and capital reinvestment needs identified in adopted planning documents, Page | 2
including the Wastewater Master Plan. Periodic rate studies are a best practice to ensure rates remain equitable, legally compliant, and sufficient to meet these obligations.
DISCUSSION:
Issuing an RFP will allow the City to evaluate qualified utility rate consultants based on experience, technical competence, approach, and cost. The scope of work includes the development of a financial and rate model, the evaluation of user classifications, reserve analysis, and support for the Proposition 218 process.
The proposed Professional Services Agreement is a standard City agreement for general consulting services and establishes contractual terms, insurance requirements, and risk protections consistent with City policy. Approval of the agreement form at this time will streamline contract execution following consultant selection.
Following Council authorization, staff will release the RFP, evaluate proposals, and return to the City Council for approval of a consultant contract and consideration of proposed sewer rate adjustments at a later date.
FISCAL IMPACT:
This action does not authorize expenditure of funds. Any costs associated with the sewer rate study will be presented to the City Council for approval upon consultant selection. Future rate adjustments, if recommended, will be subject to a separate Council action and the Proposition 218 process.
CONCLUSION
Authorizing issuance of the Request for Proposals for a Sewer Rate Study reflects the City Council’s ongoing commitment to fiscal responsibility, infrastructure stewardship, and long-term service sustainability. Reliable sewer service is essential to public health, environmental protection, and the City’s ability to support existing and future community needs. Ensuring that rates are aligned with the true cost of service is a critical component of maintaining that reliability.
This action initiates a transparent, data-driven process to evaluate the City’s current sewer rate structure, identify funding gaps, and provide the City Council with clear options for future consideration. While this item does not approve new rates or authorize expenditures, it establishes the analytical framework needed to make informed policy decisions consistent with Proposition 218 and the City’s long-term financial goals.
Staff recommends approval of the proposed action to allow this work to move forward in a timely manner and to position the City for thoughtful, deliberate consideration of sewer utility funding in the months ahead.
CEQA REQUIREMENT:
The proposed action involves authorization to issue a Request for Proposals and approval of a professional services agreement form. This action is administrative in nature and does not constitute a project under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15378(b)(5).
Item No.: 6.G
City Council Meeting
February 17, 2026
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ATTACHMENTS:
1. Request for Proposals – Sewer Rate Study
2. Resolution
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RESOLUTION NO. 2026-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JUAN BAUTISTA
AUTHORIZING ISSUANCE OF A REQUEST FOR PROPOSALS FOR A SEWER
RATE STUDY AND APPROVING THE FORM OF A PROFESSIONAL SERVICES
AGREEMENT
WHEREAS, the City of San Juan Bautista provides sewer collection and conveyance services funded through user fees; and
WHEREAS, the City Council desires to ensure that sewer rates are equitable, financially sustainable, and compliant with applicable laws, including Proposition 218; and WHEREAS, the City’s current sewer rates were adopted in 2021 and last adjusted effective July 1, 2025; and
WHEREAS, preparation of a comprehensive sewer rate study is necessary to evaluate revenue sufficiency, cost recovery, reserve policies, and long-term infrastructure funding needs; and
WHEREAS, the City Manager has prepared a Request for Proposals to solicit qualified consultants to perform the sewer rate study; and
WHEREAS, the City Council desires to approve the form of Professional Services Agreement to be used for the selected consultant;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of San Juan Bautista that:
1. The City Council hereby authorizes the City Manager to issue a Request for Proposals for a Sewer Rate Study substantially in the form presented to the City Council.
2. The City Council approves the form of Professional Services Agreement (General Consulting), attached hereto as Exhibit B, subject to non-substantive modifications approved by the City Manager and City Attorney.
3. Selection of a consultant and authorization to execute a professional services agreement shall be subject to future City Council approval.
PASSED AND APPROVED by the City Council of the City of San Juan Bautista on this 17th day of February, 2026, by the following vote:
AYES:
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NOES:
ABSENT:
ABSTAIN:
APPROVED:
____________________
Leslie Q. Jordan, Mayor
ATTEST:
______________________
Elizabeth Soto, City Clerk
City of San Juan Bautista
Request for Proposal
Sewer Rate Study
Proposals Due March 30, 2026 at 5:00 PM
City of San Juan Bautista
311 2nd Street / P.O. Box 1420
San Juan Bautista, CA 95045
February 17, 2026
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INTRODUCTION
The City of San Juan Bautista (“City”) is requesting proposals for a qualified utility rate consultant to conduct a comprehensive sewer rate study. The study shall follow accepted industry benchmarks and best practices. The study will include recommendations to update the City’s current sewer utility rates.
The purpose of the study is to independently assess and evaluate the City’s existing sewer rates and develop an updated rate structure, as necessary, to ensure the financial sustainability of the City’s sewer enterprise fund. The study will evaluate the adequacy of revenues to fund operations, maintenance, regulatory compliance, debt service, and planned capital improvements identified in adopted planning documents.
The study will be based on a comprehensive review of the City’s sewer enterprise fund, including historical statements of revenue and expense, current-year budgets, customer counts and classes, historical usage data, planned future growth, and other relevant information. The results of the study and the proposed rate structure shall provide the foundation for sewer rates for the next five years. The rates and rate structures proposed must fully meet Proposition 218 and all other legal requirements.
This Request for Proposals is limited to the preparation of a wastewater (sewer) rate study only. A water rate study is not included in this solicitation and may be considered separately by the City at a future date.
BACKGROUND
The sewer system serves the City of San Juan Bautista, which includes approximately 900 service connections, serving a population of nearly 2,100 persons. Sewer demands include residential, a small downtown, other commercial areas, and several industrial users. The majority of wastewater is received from residential customers.
The wastewater collection system consists of gravity sewers, force mains, and three lift stations.
Wastewater flows are conveyed to regional treatment facilities operated by the City of Hollister pursuant to existing agreements. The City’s system includes collection and conveyance infrastructure, but does not operate its own treatment facility.
The current sewer rate schedule was adopted in 2021 and was last updated effective July 1, 2025.
The existing rate structure can be found in Exhibit “A.” The existing rates were put in place in anticipation of the City’s connection to the regional wastewater treatment plant and the decommissioning of its own treatment facility, which is now complete.
SUBMITTAL INSTRUCTIONS:
All proposals should be submitted by email no later than 5:00 pm on March 30, 2026:
[email protected]
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INQUIRIES/QUESTIONS
Questions about the RFP should be directed to Ashley Collick, City Manager, by phone (831) 453- 8995 or email, [email protected].
PROPOSAL SUBMITTAL
Proposals are due no later than 5:00 p.m. on March 30, 2026, and must be received by that time and date to be considered. Proposal postmark dates and times will not be considered as meeting the deadline.
Proposals shall be submitted electronically by email to:
[email protected]
Proposers shall submit:
One electronic copy of the proposal, and
One separate electronic copy of the cost proposal, clearly labeled “Fee Proposal.” The proposal and the fee proposal must be submitted as separate attachments. The City is not responsible for proposals that are delinquent, incomplete, corrupted, or sent to an incorrect email address.
Upon receipt of proposals, each consultant shall be presumed to be thoroughly familiar with all specifications and requirements of this RFP. Failure to examine any form, instrument, or document shall not relieve consultants from any obligation in respect to this proposal.
PROJECT SCHEDULE
Council Approves Release of RFP February 17, 2026
Q&A March 23, 2026
Proposals Due March 30, 2026
Proposal Review/Selection April 7, 2026 (1 week)
Council Approval/Award April15, 2026 (next meeting)
Project Completed Approximately six (6) months following Notice to Proceed
REVIEW OF PROPOSALS AND SELECTION OF CONSULTANT
Proposals should provide a straightforward and concise presentation adequate to satisfy the requirements of the RFP. Emphasis should be on completeness and clarity of content.
Responsiveness to the RFP will be a principal basis for evaluation.
Proposals submitted will be evaluated by a committee comprised of City staff. The committee’s evaluation will be based upon, but not limited to: strength of the proposal, related experience of the firm, professional qualifications of the individual(s) to be assigned to the project, ability to meet required deadlines, references from previous clients, proposal cost, and ability to enter into the City’s standard Consultant Services Agreement.
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While cost is a key consideration, the City reserves the right to choose the best proposal, which may not be based on price. The committee may choose to interview the top candidates.
After evaluating the proposals, the City reserves the right to further negotiate the proposed work and/or method and amount of compensation. The respondent must clearly state the period of time for which the proposal will be valid. This period must not be less than Ninety (90) days from the date of submittal.
PROPOSAL CONTENT
The City requires proposers to submit a concise proposal that clearly addresses all requirements outlined in this RFP. Proposals shall be limited to twenty (20) pages, sized 8½" x 11", including the cover letter and resumes.
Proposals shall be submitted electronically and consist of one attachment for the proposal and one separate attachment for the cost proposal. Lengthy proposals or proposals that exceed the page limit may not be well received.
The proposal must include, at a minimum, the following sections:
• Cover Letter: A brief summary highlighting the Consultant’s proposed approach to the services described in this RFP, including a statement of the firm’s understanding of the project and services required. The cover letter shall be signed by an individual authorized to bind the proposing firm and shall state that the firm has read and will comply with all terms and conditions of this RFP.
• Background on Firm: A brief description of the firm, including size of the organization, location of offices, years in business, organizational structure, and ownership and principal parties. Include the qualifications and titles of individuals who will perform the work described in the Scope of Work and identify the individual who will serve as the City’s primary point of contact.
• Statement of Understanding and Approach: A description of the methodology the firm will use to complete the Scope of Work outlined in this RFP. Proposers shall describe their experience with similar projects and identify the services or qualifications that differentiate their firm from others. This section shall also identify the respective responsibilities of the City and the Consultant.
• Scope of Work: A detailed description of the tasks proposed to accomplish the Scope of Work, demonstrating that the proposer has considered all aspects of the project and will address them thoroughly. This section shall include attendance at City Council meetings, community meetings, and preparation of informational materials deemed necessary to educate the public and City Council regarding the project. • Project Schedule: A proposed project schedule identifying key milestones and deliverables. Milestones should be realistic and achievable and may be revised upon mutual agreement of the City and the selected Consultant.
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• References: Information for three (3) projects similar in scope to the project requested in this RFP, including:
o Client name, address, and telephone number
o Contact person
o Time period of the project and a brief description of services provided • Additional Information: Any additional information the proposer believes will assist the City in evaluating the proposal. Information provided shall be supplemental to, and not a substitute for, the requested information and format. Any exceptions, assumptions, or suggestions should be clearly identified and kept brief. • Cost Estimates of Consulting Fee: A cost estimate for providing the requested services.
The cost proposal shall be submitted as a separate electronic attachment, clearly labeled:
o “RFP Cost Estimate – Sewer Rate Study – [Name of Firm].” * Proposers shall carefully review the Sample Professional Services Agreement and Insurance Requirements (Exhibit B). The terms of the agreement, including insurance requirements, have been mandated by the City Council. The proposal must identify any requested exceptions to the agreement or insurance requirements. The city will consider such exceptions in determining proposal responsiveness.
EVALUATION CRITERIA
The city intends to engage the consultant the city deems to be most qualified for this assignment.
It is imperative that the consultant's proposal fully address all aspects of the RFP. It is critical that the consultant be able to demonstrate a history of providing a stable workforce in projects of similar size and scope for a city or municipal entity. That information is expected to be part of the Consultant’s documentation.
Each proposer’s offer of services shall be evaluated using the following criteria:
Consultant’s proposal demonstrates a clear understanding of the Scope of Work listed in the RFP and the work to be performed. (3 points)
Recent experience with similar types of projects and relevant experience and technical competence of the Consultant, personnel assigned to this project, and degree of participation in the project by key personnel. (3 points) Consultant’s demonstrated skills in facilitating public meetings, making presentations, engaging and working with the public, understanding the public process, and building community consensus. (2 points)
Reputation of firm, structure of firm or team, positive and/or negative reports from references, proximity/availability/responsiveness, and other factors that the reviewer considers relevant. (2 points)
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OBJECTIVES
The rate study to be prepared as part of this work effort is intended to establish 5-year sewer utility rates that will achieve the following objectives:
Ensure that the revenues generated by the utility rates are adequate to maintain operations at current service levels and account for anticipated expense increases, including increased staffing.
Affirm the appropriateness of existing user classifications and/or develop new classifications as needed to achieve equity and clarity. Address the historical unfunded deferred maintenance of infrastructure by incorporating reasonable projections for facility replacement within the revenue requirements and rate calculations.
Ensure that revenues are adequate to meet all existing and future debt that may be needed to finance capital improvements.
Establish policies with respect to adequate reserves for operations, rate stabilization, and capital improvements.
Ensure that the rates properly reflect the City of Hollister treatment charges and retain flexibility for rate adjustments to match them. Some coordination with the City of Hollister is likely to be necessary.
Ensure that the proposed rates are in conformance with all applicable laws, including the provisions of Proposition 218.
SCOPE OF WORK
The City understands this RFP may be inadequate to fully describe the work envisioned. The information contained in this RFP is the City's best understanding of the current needs and how to address them, but the City will be relying on the consultant firm to provide modifications to the scope of work described herein based on their professional expertise in this subject area.
If the consultant believes there is a better way to achieve the City's goals, then that should be reflected in the proposal. Consultants should include additional tasks they deem appropriate, written reasons why a task should be included, and an estimate of the fee required to complete the task.
The Scope of Services involves all necessary analysis and documentation needed to perform the wastewater rate study. In general, the scope of work shall include the following:
1. Review Background Information: Review key information, including but not limited to:
o Regulatory and contractual requirements;
o Operational and capital improvement needs;
o Historical revenues, usage, expenses, reserve policies, billing and collection procedures, rates and charges, and customer information; o Wastewater Master Plan;
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o Projected revenues, usage, expenses, reserve policies, billing and collection procedures, rates and charges, and customer information; o Debt service schedules;
o Other pertinent data, as necessary.
2. Prepare a rate model projecting expenses, revenue requirements, and rate impacts over a long-term planning horizon of at least ten (10) years, with proposed rate adjustments for an initial five-year implementation period beginning FY 2026/27. The consultant shall rely on adopted planning documents, including the Wastewater Master Plan, for capital improvement assumptions and shall not be responsible for updating engineering analyses, cost estimates, or system models.
3. The rate model shall be prepared and provided to the City in Excel spreadsheet format. The model’s construction shall be documented in a manner that allows the City to understand the formulas that are utilized and how variables affect rate calculations. The City should be able to use the model in the future to evaluate actual performance against projections and to make adjustments as necessary. The model will be the property of the City and may be used by the City for any purpose.
4. Rate calculations should consider the impacts of:
o Additional staffing needed to better operate the utility. o Necessary improvements to the utility system as described in the Wastewater Master Plan.
o Increased costs due to new wastewater regulations.
5. Propose a methodology for annual inflationary adjustments in compliance with Proposition 218.
6. Perform an analysis of the various reserves and fund balances and make recommendations for appropriate levels.
7. Review the existing user classifications and justify any new classes of customers.
8. Ensure that proposed rate structures are easy to understand and administer and can be accommodated within the City’s existing utility billing system (Muni billing software).
9. Evaluate the system’s ability to meet the rate covenant requirements contained in financing agreements.
10. Attend meetings and conference calls with staff as needed. In-person meetings are not required if virtual and phone call meetings are adequate. If in-person meetings are deemed necessary, we ask that staff be available.
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11. Present results to City Council in person. The City Council meets once per month on the third Tuesday at 6:00 p.m. Additional meetings, workshops, or study sessions may be scheduled as needed and will be coordinated with City staff.
12. The consultant shall prepare a preliminary report for staff, an administrative draft for the final Council meeting (which includes Council and staff comments up to that point), and a final report (incorporating any final Council and staff changes).
The reports should include the following:
A brief physical description of the utility system;
Service area description, including population characteristics; Overview of financial operations for the last 3 years; A summary of capital improvement needs over time (10 years), based on adopted planning documents, including potential State and Federal regulatory requirements.; The comprehensive revenue & expense model described above; The rate structure alternatives described above;
Local rate comparisons and statewide comparisons as appropriate.
13. The consultant will provide guidance and advice to City staff to ensure compliance with the Proposition 218 process as it applies to sewer services. The consultant will include the preparation and completion of the Proposition 218 notification as a service to the City. The City intends to adopt the sewer rates proposed at the conclusion of the Proposition 218 Public Hearing. The consultant shall present at that hearing, which will most likely take place at a regularly scheduled Council meeting.
INFORMATION TO BE PROVIDED BY THE CITY
The information to be provided by the City includes, but is not necessarily limited to, the following:
• All reasonably available records and information, including financial reports, budget, system planning documents, etc.
• A copy of the Wastewater Master Plan and relevant financial planning documents.
Key City contacts will include the City Manager, contract Finance Director, Public Works Superintendent, the contract City Engineer, and the City’s municipal advisor. Line sewer staff will be made available as necessary.
ADDITIONAL INFORMATION
• The City will not reimburse the RFP respondents for any costs involved in the preparation and submission of proposals, nor for preparing for and attending interviews.
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• This RFP does not obligate the City to award a contract or accept a contract for any expressed or implied services.
• City reserves the right to reject or accept any proposals, and to waive informalities and minor irregularities in any proposal reviewed.
• City reserves the right to request any firm submitting a proposal to clarify its proposal or to supply additional material deemed necessary to assist in the selection of a consultant, and to modify or alter any of the requirements herein.
• In an attempt to reach an agreed-upon contract by both parties, the City reserves the right to negotiate with the proposer selected by the committee. If the parties cannot negotiate a contract, City reserves the right to negotiate with other proposers or make no award of this RFP.
• If the proposal guidelines change materially, all respondents who submit a proposal will be allowed to modify their proposal in the specific areas that are impacted. • Further, the City may reject any proposal that does not conform to the instructions contained within this RFP.
CONFLICT OF INTEREST
By submission of a proposal, Consultant warrants and covenants that no official or employee of the City, nor any business entity in which an official of the City has an interest, has been employed or retained to solicit or assist in the procuring of the resulting contract, nor that any such person will be employed in the performance of such contract without immediate divulgence of such fact to the City.
INSURANCE
Insurance coverage for proposed services shall include general liability and property damage insurance that shall include automobile liability insurance in a combined single limit of not less than $1 million dollars. Professional Liability Insurance (E&O) coverage of $1 million is also required. The selected firm shall provide, within ten (10) days after the notice of award is issued, a copy of its existing liability insurance certificate naming City and its officers and employees as additionally named insured on said policies, confirmation of workers' compensation coverage, and a copy of its Professional Liability Insurance certificate. Such insurance coverage shall be maintained in full force and effect for the duration of the Contract and must be in a form satisfactory to the City.
GENERAL CONDITIONS
1. General Information
Proposals shall be submitted in accordance with the requirements outlined in the Proposal Content section of this RFP. Proposals shall be computer-generated and submitted electronically in PDF format.
Proposers are responsible for verifying the accuracy and completeness of their proposals before submission. Proposals may not be corrected, altered, or amended after the proposal due date and time.
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2. Interpretation of Proposals
If a proposer finds discrepancies in, omissions from, or ambiguities within this RFP, or is uncertain as to the meaning of any provision, the proposer may submit a written request for clarification to the City Manager before the proposal due date.
All interpretations, clarifications, or changes to the RFP shall be made only by written addendum issued by the City. Such addenda shall become part of the RFP and any contract awarded. The City shall not be bound by, nor responsible for, any oral explanations or interpretations.
3. Addenda
The City reserves the right to amend this RFP prior to the proposal due date. Any substantive interpretation, correction, or change to the RFP documents shall be made by written addendum.
Unless otherwise specified, addenda will be posted on the City’s website at:
https://san-juan-bautista.ca.us/
It is the proposer’s responsibility to monitor the City’s website and ensure receipt of all addenda prior to submitting a proposal. Addenda issued by the City shall be acknowledged in the proposal and shall be incorporated into the final contract.
Interpretations, corrections, or changes made in any other manner shall not be binding and shall not be relied upon by the proposer.
4. Proposal Deadline
Proposals must be received by the City on or before the date and time specified in this RFP. A proposer may withdraw its proposal by written notice at any time prior to the proposal due date and time.
5. Late Proposals
Proposals received after the specified due date and time will not be opened or considered.
6. Payment Terms
Payments shall be made monthly, or as soon thereafter as practicable, based on invoices submitted by the Consultant and approved by the City, provided that the Consultant is performing the work in a satisfactory and diligent manner in accordance with the contract.
7. Assignment
No assignment or transfer of the contract or any portion thereof shall be permitted without the prior written consent of the City.
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EXHIBIT A
Current Sewer Rates
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EXHIBIT B
Standard Professional Services Agreement
PROFESSIONAL SERVICES AGREEMENT
(GENERAL CONSULTING)
THIS PROFESSIONAL SERVICES AGREEMENT (“Agreement”) is made and entered into as of _____________ (“Effective Date”), by and between the City of San Juan Bautista, a California general law city (“City”), and __________________________ (“Consultant”). City and Consultant may be referred to individually as a “Party” and collectively as the “Parties.”
RECITALS
A. The City desires to retain a qualified professional consultant to provide general consulting and advisory services, including utility rate analysis, financial modeling, Proposition 218 support, and related professional services.
B. Consultant represents that it is duly qualified, licensed where required, and experienced in providing such professional consulting services to California public agencies.
NOW, THEREFORE, in consideration of the mutual covenants and conditions herein contained, the Parties agree as follows:
1. SCOPE OF SERVICES
1.1 Services. Consultant shall provide professional consulting services as described in Exhibit A (Scope of Services), incorporated herein by reference.
1.2 Standard of Care. Consultant shall perform all services in a manner consistent with the professional standard of care ordinarily exercised by members of the same profession currently practicing under similar conditions in the State of California.
1.3 Independent Judgment. Consultant shall make an independent evaluation of all relevant conditions affecting the performance of the services.
2. TERM
2.1 Term. The term of this Agreement shall commence on the Effective Date and shall continue through _____________, unless earlier terminated as provided herein.
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2.2 Extensions. The City may extend this Agreement for up to three (3) additional one-year terms by written amendment, subject to City Council approval.
3. COMPENSATION
3.1 Not-to-Exceed Amount. Total compensation under this Agreement shall not exceed $____________ without prior written authorization by the City.
3.2 Payment. Consultant shall submit invoices in a form acceptable to the City. Payment of undisputed amounts shall be made within approximately thirty (30) days of receipt.
3.3 Additional Services. Services outside the Scope of Services shall require prior written approval by the City and may be compensated pursuant to Exhibit B.
3.4 Records Retention and Audit. Consultant shall maintain complete and accurate records related to services performed under this Agreement for a minimum of four (4) years and shall make such records available to the City upon reasonable notice.
4. TERMINATION
4.1 For Convenience. The City may terminate this Agreement at any time for its convenience upon thirty (30) days’ written notice.
4.2 For Cause. Either Party may terminate this Agreement for material breach upon ten (10) days’ written notice and opportunity to cure.
5. CITY REPRESENTATIVE AND CONSULTANT CONTACT
5.1 City Representative. The City Manager or designee shall administer this Agreement.
5.2 Consultant Representative. Consultant shall designate a primary contact responsible for coordination of services.
5.3 Key Personnel. Consultant represents that the individuals identified as key personnel shall perform the services under this Agreement. Substitution of key personnel shall require prior written approval by the City.
6. SUBCONSULTANTS
Consultant shall not use subconsultants without prior written approval of the City. Consultant shall remain fully responsible for the performance of all approved subconsultants.
7. CONFIDENTIALITY
Consultant shall maintain the confidentiality of all City information not generally available to the public and shall not disclose such information without the City’s prior written consent, except as required by law.
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7A. PUBLIC RECORDS
Consultant acknowledges that this Agreement and all records related to its performance are subject to disclosure under the California Public Records Act (Government Code Section 6250 et seq.), except as provided by law.
8. OWNERSHIP OF WORK PRODUCT
All work product prepared under this Agreement, including reports, memoranda, financial models, analyses, and training materials, shall be the property of the City. Consultant may retain copies for recordkeeping purposes.
9. CONFLICT OF INTEREST
Consultant shall comply with all applicable conflict-of-interest laws, including the Political Reform Act, and shall avoid any actual or perceived conflicts of interest. 9A. INDEPENDENT AUDITOR RESTRICTION
Consultant shall not serve as the City’s independent auditor during the term of this Agreement or for any fiscal year in which Consultant provides services under this Agreement.
10. INDEMNIFICATION
Consultant shall indemnify and hold harmless the City, its officers, officials, employees, and agents, to the fullest extent permitted by law, from claims arising out of Consultant’s negligent acts, errors, or omissions.
11. INSURANCE
Consultant shall maintain insurance in accordance with Exhibit C (Insurance Requirements) for the duration of this Agreement.
12. INDEPENDENT CONTRACTOR
Consultant is and shall remain an independent contractor and not an employee of the City.
13. COMPLIANCE WITH LAWS
Consultant shall comply with all applicable federal, state, and local laws and regulations.
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14. NOTICES
Notices shall be given in writing to the following addresses:
City:
City Manager
City of San Juan Bautista
311 Second Street
San Juan Bautista, CA 95045
Consultant:
[Insert Address]
15. MISCELLANEOUS
15.1 Governing Law and Venue. This Agreement shall be governed by the laws of the State of California. Venue for any action shall lie in San Benito County, California.
15.2 Assignment. Consultant shall not assign or transfer this Agreement without the prior written consent of the City.
15.3 Non-Exclusivity. Nothing in this Agreement shall be construed as exclusive. The City may obtain similar services from other consultants.
15.4 Electronic Signatures. Signatures transmitted electronically or by PDF shall be deemed original.
15.5 Entire Agreement. This Agreement constitutes the entire agreement between the Parties and may be amended only in writing signed by both Parties.
SIGNATURES
CITY OF SAN JUAN BAUTISTA CONSULTANT
By: ___________________________ By: ___________________________ Name: ________________________ Name: _______________________ Date: _________________________ Date: _________________________ Page | 16
EXHIBIT A – SCOPE OF SERVICES
The Scope of Services shall include, but is not limited to, the following tasks:
1. Review Background Information
Review relevant information, including but not limited to:
o Regulatory and contractual requirements
o Operational and capital improvement needs
o Historical revenues, usage, expenses, reserve policies, billing and collection procedures, rates and charges, and customer information o Adopted Wastewater Master Plan
o Projected revenues, usage, expenses, reserve policies, billing and collection procedures, rates and charges, and customer information o Debt service schedules
o Other pertinent data as necessary
2. Financial and Rate Modeling
Prepare a financial model projecting expenses, revenue requirements, and rate impacts over a minimum ten-year planning horizon, with proposed rate adjustments for an initial five-year implementation period beginning FY 2026/27. The Consultant shall rely on adopted planning documents, including the Wastewater Master Plan, for capital improvement assumptions and shall not be responsible for updating engineering analyses, cost estimates, or system models.
3. Rate Model Deliverables
Provide the rate model in Microsoft Excel format. The model shall be fully documented so City staff can understand the structure, assumptions, formulas, and sensitivity of rate variables. The model shall remain the property of the City.
4. Cost and Revenue Considerations
Rate calculations shall consider, at a minimum:
o Staffing needs required to effectively operate the utility o Capital improvements identified in adopted planning documents o Increased costs resulting from new or evolving wastewater regulations
5. Inflationary Adjustments
Propose a methodology for annual inflationary rate adjustments in compliance with Proposition 218.
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6. Reserve Analysis
Analyze existing reserves and fund balances and recommend appropriate reserve levels for operations, rate stabilization, and capital needs.
7. Customer Class Review
Review existing user classifications and provide justification for any recommended new or modified customer classes.
8. Billing System Compatibility
Ensure proposed rate structures are clear, administratively feasible, and compatible with the City’s existing utility billing system (Muni billing software).
9. Debt Covenant Review
Evaluate the utility’s ability to comply with applicable rate covenant requirements contained in financing agreements.
10. Meetings and Coordination
Attend meetings and conference calls with City staff as necessary. Meetings may be conducted virtually unless in-person attendance is requested by the City.
11. City Council Presentations
Present study results to the City Council in person. The City Council meets once per month on the third Tuesday at 6:00 p.m. Additional meetings, workshops, or study sessions may be scheduled as needed and coordinated with City staff.
12. Reports and Deliverables
Prepare the following deliverables:
o Preliminary draft report for staff review
o Administrative draft report for City Council consideration o Final report incorporating City Council and staff feedback Reports shall include:
o Physical description of the wastewater system
o Service area and population characteristics
o Summary of financial operations for the prior three years o Summary of capital improvement needs over a ten-year period based on adopted planning documents
o Comprehensive revenue and expense model
o Rate structure alternatives
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o Local and statewide rate comparisons, as appropriate
13. Proposition 218 Support
Provide guidance and support to ensure compliance with the Proposition 218 process, including preparation of required notices. The Consultant shall present at the Proposition 218 public hearing, which is anticipated to occur at a regularly scheduled City Council meeting.
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EXHIBIT C – INSURANCE REQUIREMENTS
Insurance coverage for the services provided under this Agreement shall include the following:
• Commercial General Liability and Property Damage Insurance, including Automobile Liability Insurance, with a combined single limit of not less than One Million Dollars ($1,000,000) per occurrence.
• Professional Liability Insurance (Errors and Omissions) with limits of not less than One Million Dollars ($1,000,000) per claim.
The selected Consultant shall provide, within ten (10) days of issuance of the Notice of Award, certificates of insurance evidencing the required coverages, naming the City of San Juan Bautista, its officers, officials, employees, and agents as additional insureds on the General Liability and Automobile Liability policies, and providing confirmation of Workers’ Compensation coverage as required by law.
All required insurance shall be maintained in full force and effect for the duration of the Agreement and shall be issued by insurers acceptable to the City and in a form satisfactory to the City.
Page | 1
PROFESSIONAL SERVICES AGREEMENT
(GENERAL CONSULTING)
THIS PROFESSIONAL SERVICES AGREEMENT (“Agreement”) is made and entered into as of _____________ (“Effective Date”), by and between the City of San Juan Bautista, a California general law city (“City”), and __________________________ (“Consultant”). City and Consultant may be referred to individually as a “Party” and collectively as the “Parties.”
RECITALS
A. The City desires to retain a qualified professional consultant to provide general consulting and advisory services, including but not limited to accounting, financial reporting, audit support.
B. Consultant represents that it is duly qualified, licensed where required, and experienced in providing such professional consulting services to California public agencies.
NOW, THEREFORE, in consideration of the mutual covenants and conditions herein contained, the Parties agree as follows:
1. SCOPE OF SERVICES
1.1 Services. Consultant shall provide professional consulting services as described in Exhibit A (Scope of Services), incorporated herein by reference.
1.2 Standard of Care. Consultant shall perform all services in a manner consistent with the professional standard of care ordinarily exercised by members of the same profession currently practicing under similar conditions in the State of California.
1.3 Independent Judgment. Consultant shall make an independent evaluation of all relevant conditions affecting the performance of the services.
2. TERM
2.1 Term. The term of this Agreement shall commence on the Effective Date and shall continue through _____________, unless earlier terminated as provided herein.
2.2 Extensions. The City may extend this Agreement for up to three (3) additional one-year terms by written amendment, subject to City Council approval.
3. COMPENSATION
Page | 2
3.1 Not-to-Exceed Amount. Total compensation under this Agreement shall not exceed $____________ without prior written authorization by the City.
3.2 Payment. Consultant shall submit invoices in a form acceptable to the City. Payment of undisputed amounts shall be made within approximately thirty (30) days of receipt.
3.3 Additional Services. Services outside the Scope of Services shall require prior written approval by the City and may be compensated pursuant to Exhibit B.
3.4 Records Retention and Audit. Consultant shall maintain complete and accurate records related to services performed under this Agreement for a minimum of four (4) years and shall make such records available to the City upon reasonable notice.
4. TERMINATION
4.1 For Convenience. The City may terminate this Agreement at any time for its convenience upon thirty (30) days’ written notice.
4.2 For Cause. Either Party may terminate this Agreement for material breach upon ten (10) days’ written notice and opportunity to cure.
5. CITY REPRESENTATIVE AND CONSULTANT CONTACT
5.1 City Representative. The City Manager or designee shall administer this Agreement.
5.2 Consultant Representative. Consultant shall designate a primary contact responsible for coordination of services.
5.3 Key Personnel. Consultant represents that the individuals identified as key personnel shall perform the services under this Agreement. Substitution of key personnel shall require prior written approval by the City.
6. SUBCONSULTANTS
Consultant shall not use subconsultants without prior written approval of the City. Consultant shall remain fully responsible for the performance of all approved subconsultants.
Page | 3
7. CONFIDENTIALITY
Consultant shall maintain the confidentiality of all City information not generally available to the public and shall not disclose such information without the City’s prior written consent, except as required by law.
7A. PUBLIC RECORDS
Consultant acknowledges that this Agreement and all records related to its performance are subject to disclosure under the California Public Records Act (Government Code Section 6250 et seq.), except as provided by law.
8. OWNERSHIP OF WORK PRODUCT
All work product prepared under this Agreement, including reports, memoranda, financial models, analyses, and training materials, shall be the property of the City. Consultant may retain copies for recordkeeping purposes.
9. CONFLICT OF INTEREST
Consultant shall comply with all applicable conflict-of-interest laws, including the Political Reform Act, and shall avoid any actual or perceived conflicts of interest. 9A. INDEPENDENT AUDITOR RESTRICTION
Consultant shall not serve as the City’s independent auditor during the term of this Agreement or for any fiscal year in which Consultant provides services under this Agreement.
10. INDEMNIFICATION
Consultant shall indemnify and hold harmless the City, its officers, officials, employees, and agents, to the fullest extent permitted by law, from claims arising out of Consultant’s negligent acts, errors, or omissions.
11. INSURANCE
Consultant shall maintain insurance in accordance with Exhibit C (Insurance Requirements) for the duration of this Agreement.
Page | 4
12. INDEPENDENT CONTRACTOR
Consultant is and shall remain an independent contractor and not an employee of the City.
13. COMPLIANCE WITH LAWS
Consultant shall comply with all applicable federal, state, and local laws and regulations.
14. NOTICES
Notices shall be given in writing to the following addresses:
City:
City Manager
City of San Juan Bautista
311 Second Street
San Juan Bautista, CA 95045
Consultant:
[Insert Address]
15. MISCELLANEOUS
15.1 Governing Law and Venue. This Agreement shall be governed by the laws of the State of California. Venue for any action shall lie in San Benito County, California.
15.2 Assignment. Consultant shall not assign or transfer this Agreement without the prior written consent of the City.
15.3 Non-Exclusivity. Nothing in this Agreement shall be construed as exclusive. The City may obtain similar services from other consultants.
15.4 Electronic Signatures. Signatures transmitted electronically or by PDF shall be deemed original.
15.5 Entire Agreement. This Agreement constitutes the entire agreement between the Parties and may be amended only in writing signed by both Parties.
Page | 5
SIGNATURES
CITY OF SAN JUAN BAUTISTA CONSULTANT
By: ___________________________ By: ___________________________ Name: ________________________ Name: _______________________ Date: _________________________ Date: _________________________ Page | 6
EXHIBIT A – SCOPE OF SERVICES
The Scope of Services shall include, but is not limited to, the following tasks:
1. Review Background Information
Review relevant information, including but not limited to:
o Regulatory and contractual requirements
o Operational and capital improvement needs
o Historical revenues, usage, expenses, reserve policies, billing and collection procedures, rates and charges, and customer information o Adopted Wastewater Master Plan
o Projected revenues, usage, expenses, reserve policies, billing and collection procedures, rates and charges, and customer information o Debt service schedules
o Other pertinent data as necessary
2. Financial and Rate Modeling
Prepare a financial model projecting expenses, revenue requirements, and rate impacts over a minimum ten-year planning horizon, with proposed rate adjustments for an initial five-year implementation period beginning FY 2026/27. The Consultant shall rely on adopted planning documents, including the Wastewater Master Plan, for capital improvement assumptions and shall not be responsible for updating engineering analyses, cost estimates, or system models.
3. Rate Model Deliverables
Provide the rate model in Microsoft Excel format. The model shall be fully documented so City staff can understand the structure, assumptions, formulas, and sensitivity of rate variables. The model shall remain the property of the City.
4. Cost and Revenue Considerations
Rate calculations shall consider, at a minimum:
o Staffing needs required to effectively operate the utility o Capital improvements identified in adopted planning documents o Increased costs resulting from new or evolving wastewater regulations
5. Inflationary Adjustments
Propose a methodology for annual inflationary rate adjustments in compliance with Proposition 218.
Page | 7
6. Reserve Analysis
Analyze existing reserves and fund balances and recommend appropriate reserve levels for operations, rate stabilization, and capital needs.
7. Customer Class Review
Review existing user classifications and provide justification for any recommended new or modified customer classes.
8. Billing System Compatibility
Ensure proposed rate structures are clear, administratively feasible, and compatible with the City’s existing utility billing system (Muni billing software).
9. Debt Covenant Review
Evaluate the utility’s ability to comply with applicable rate covenant requirements contained in financing agreements.
10. Meetings and Coordination
Attend meetings and conference calls with City staff as necessary. Meetings may be conducted virtually unless in-person attendance is requested by the City.
11. City Council Presentations
Present study results to the City Council in person. The City Council meets once per month on the third Tuesday at 6:00 p.m. Additional meetings, workshops, or study sessions may be scheduled as needed and coordinated with City staff.
12. Reports and Deliverables
Prepare the following deliverables:
o Preliminary draft report for staff review
o Administrative draft report for City Council consideration o Final report incorporating City Council and staff feedback Reports shall include:
o Physical description of the wastewater system
o Service area and population characteristics
o Summary of financial operations for the prior three years o Summary of capital improvement needs over a ten-year period based on adopted planning documents
o Comprehensive revenue and expense model
o Rate structure alternatives
Page | 8
o Local and statewide rate comparisons, as appropriate
13. Proposition 218 Support
Provide guidance and support to ensure compliance with the Proposition 218 process, including preparation of required notices. The Consultant shall present at the Proposition 218 public hearing, which is anticipated to occur at a regularly scheduled City Council meeting.
Page | 9
EXHIBIT B – COMPENSATION
(To be negotiated)
Page | 10
EXHIBIT C – INSURANCE REQUIREMENTS
Insurance coverage for the services provided under this Agreement shall include the following:
• Commercial General Liability and Property Damage Insurance, including Automobile Liability Insurance, with a combined single limit of not less than One Million Dollars ($1,000,000) per occurrence.
• Professional Liability Insurance (Errors and Omissions) with limits of not less than One Million Dollars ($1,000,000) per claim.
The selected Consultant shall provide, within ten (10) days of issuance of the Notice of Award, certificates of insurance evidencing the required coverages, naming the City of San Juan Bautista, its officers, officials, employees, and agents as additional insureds on the General Liability and Automobile Liability policies, and providing confirmation of Workers’ Compensation coverage as required by law.
All required insurance shall be maintained in full force and effect for the duration of the Agreement and shall be issued by insurers acceptable to the City and in a form satisfactory to the City.
Item No.: 7.G
City Council Meeting
February 17, 2026
Page | 1
CITY OF SAN JUAN BAUTISTA
CITY COUNCIL STAFF REPORT
DATE: FEBRUARY 17, 2026
DEPARTMENT: CITY MANAGER
FROM: ROY MORALES, ASSISTANT TO THE CITY MANAGER
BY: ROY MORALES, ASSITANT TO THE CITY MANAGER
TITLE: PUBLIC SAFETY UPDATE
RECOMMENDED MOTION:
Receive the Monthly Public Safety statistics report for January 2026.
RECOMMENDATION:
Staff recommends that the City Council review and receive the status report for the Public Safety Department.
BACKGROUND:
The City of San Juan Bautista contracts for both law enforcement and fire protection services.
As part of ongoing oversight and transparency, staff provides the City Council with regular statistical summaries outlining service levels, staffing, and activity trends for these public safety functions.
This report summarizes monthly law enforcement and fire department activity for the reporting period and provides an overview of current services.
DISCUSSION:
The City of San Juan Bautista contracts with the San Benito County Sheriff’s Office for law enforcement services and with the Hollister Fire Department for fire protection and emergency response.
Law enforcement coverage includes one dedicated sheriff’s deputy assigned to the City who works Wednesday through Saturday from 12:00 p.m. to 10:00 p.m., providing patrol, calls for service response, traffic enforcement, and community policing. During the reporting period, Sheriff’s Office activity included:
Page | 2
31 emergency (11)
23 non-emergency calls for service
15 self-initiated contacts
9 reports taken, including but not limited to:
o 1 burglary
o 1 domestic violence incident
o 1 graffiti incident
o 1 sexual assault
o 1 theft
o 1 warrant arrest
6 traffic citations
In addition, officers from the California Highway Patrol have begun enforcing traffic laws within City jurisdiction, including but not limited to enforcement related to oversized vehicle violations.
Fire protection services are provided by the Hollister Fire Department through Station 4, Engine 14, which is staffed full-time with three fire fighters and delivers continues 24-hour fire suppression, emergency medical, and rescue services within the City. Station 4 also provides emergency response services within San Benito County jurisdiction areas outside the City limits, including the following activity during the reporting period:
2 fires outside the city limits
12 vehicle accidents outside the city limits
12 medical calls
ATTACHMENTS:
1. San Benito County Sheriff’s Office January 2026 calls for service report
2. City of Hollister Fire Department January 20206 calls for service report
■ Calls For Servic e
■ Crime Reports
■ Citations
■ Responsibility Area 11
■ Thank You
3 911 Calls 31
Non-Emergency 23
Mobile Data Computer 28
Field Initiated 15
Total 97
JANUARY 2026 CALLS FOR SERVICE
• 911 • Non-Emergency • MDC • Field Initiated
Total= 9
Row Labels G!] Count of Month
BURGLARY 1
DOM VIOL 1
FRAUDULENT 1
GRAFFITI 1
MORALS 1
STATUTORY RAPE 1
THEFT 1
TRAFVIOL 1
WARR\PROB\REGIST\PAR 1
Grand Total 9
ANZAR ROAD SEARLE ROAD 5200(A)
HWY 156 FLINT ROAD 22352(A)
HWY 156 THE ALAMEDA 22450(A)
HWY 156 BREEN ROAD 22450(A)
HWY 156 THE ALAMEDA 22350(A)
SAN JUAN ROAD -------------- 22450(A)
JANUARY 2026 SJB REPORTS TAKEN
1.2 1 I I I I I I I I I 0.8
0.6 0.4
0.2 ■Total
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DISPLAY OF LICENSE PLATE --------------
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AREA 11
SAN JUAN BAUTISTA
CITY LIMITS
DEPUTY VILLANUEVA
THANK YOU
Rachelle Barragan
Crime Analyst
831-902-2436
ra ba rragan@sa nben itocou ntyca .gov
www.sanbenitocountyca.gov
••
January 1 – 31, 2026
SAN JUAN BAUTISTA ACTIVITY REPORT
FIRES 2
MEDICAL 12
VEHICLE ACCIDENTS 12
INSPECTIONS 0
NOTES:
FIRES MAY INCLUDE RESPONSES OUTSIDE OF SJB CITY LIMITS WHERE STATION 4
RESPONDED
o STRUCTURE FIRES:
▪ None
o GRASS/RUBBISH FIRES:
▪ San Juan Canyon – Controlled Burning
o VEHICLE FIRES:
▪ Salinas Rd
VEHICLE ACCIDENTS MAY INCLUDE RESPONSES OUTSIDE OF SJB CITY LIMITS WHERE STATION 4 RESPONDED
o UNION RD & EB SR 156
o LUCY BROWN LN
o LUCY BROWN LN & SAN JUSTO RD
o EB SR 156 & BIXBY RD
o LUCY BROWN LN
o SAN JUAN CANYON RD
o PROSPECT AVE & HAWKINS (HOLLISTER)
o CHITTENDEN RD & SEARLE RD
o EB SR 156 & BIXBY RD
o 400 BLK SAN JUAN CANYON RD
o ROUNDABOUT SR 156 BIXBY RD
o SB SR 101 S OF SR 156 AROMAS
INSPECTIONS:
o NEW BUSINESS:
▪ None
o RESIDENTIAL INSPECTIONS:
▪ None
o SPECIAL EVENTS: None
Item: 7.H
City Council Meeting
February 17, 2026
Page | 1
CITY OF SAN JUAN BAUTISTA
CITY COUNCIL STAFF REPORT
DATE: FEBRUARY 17, 2026
DEPARTMENT: CITY MANAGER
FROM: ARIELLE GOODSPEED, PLANNING MANAGER
BY: VICTOR TAFOYA, ASSOCIATE PLANNER
TITLE: COMMUNITY DEVELOPMENT STATUS REPORT
RECOMMENDED MOTION:
Receive the Community Development Department status report for January 2026.
RECOMMENDATION:
Staff recommends that the City Council review and receive the status report for the Community Development Department.
EXECUTIVE SUMMARY:
For January, the Community Development Department continued routine Planning, Building and Code Enforcement operations, including intake and processing of planning and building permits, coordination on special events, and ongoing Housing Element compliance work.
BACKGROUND
City staff provides monthly status updates to keep the City Council informed of key Community Development Department workload and major work program items. For January, Planning activity included receipt of SEP2026-02 (Earth Day Celebration) and SEP2026-01 (2026 Rotary Rainbow Run), both of which are under administrative review with interdepartmental coordination; HOP260001, a Home Occupation Permit application for a home-based business at 38 Church Street, which is under administrative review; and SDR2026-01, a Major Site & Design Review application for a two-story health clinic and a storage building, which will require Planning Commission review.
Advanced Planning work included submission of site inventory documentation to the California Department of Housing and Community Development (HCD) as part of ongoing Housing Element compliance.
Page | 2
Building activity included receipt of six new building permit applications, three solar permits (2026010, 2026009, 2026006) for PV system installations, one plumbing permit (2026008) for installation of a sump pump, one remodel/alteration permit (2026003) for removal of a weathered frame, and one reroof permit (2026005), and issuance of three permits: 2026003 (removal of a weathered frame), 2025069 (returning an unpermitted ADU to its original use as a garage), and 2025068 (PV system installation).
CEQA REQUIREMENT:
The proposed action is not a project under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines section 15378(b)(2), as it is an administrative activity of government that will not result in direct or indirect physical changes to the environment.
FISCAL IMPACT:
None.
ATTACHMENTS:
1. Community Development Monthly Status Report Presentation Page | 1 City Council Meeting Minutes (December 16, 2025)
CITY OF SAN JUAN BAUTISTA
CITY COUNCIL
UNOFFICIAL MEETING MINUTES
DECEMBER 16, 2025
1. CALL TO ORDER
Mayor Jordan called the regular meeting to order at 5:05 p.m. in the Council Chambers, located at 311 Second Street, San Juan Bautista, California.
PLEDGE OF ALLEGIANCE
Councilmember Morris-Lopez led the Pledge of Allegiance ROLL CALL Present:
Councilmember Jose Aranda
Councilmember Scott Freels
Councilmember Jackie Morris-Lopez
Mayor Pro Tem EJ Sabathia.
Mayor Leslie Q. Jordan - Via teleconference
Absent:
Staff Present:
Ashley Collick, City Manager
Jon R Giffen, City Attorney
Elizabeth Soto, City Clerk
Also present:
Roy Morales, Assistant to the City Manager
Arielle Goodspeed, Planning Manager
2. CLOSED SESSION – 5:00 P.M. – 6:00 P.M.
a. Conference with Legal Counsel—Existing Litigation – Orozco v. City of San Juan Bautista, et al. (California Government Code section 54956.9(d)(1)) b. Conference with Legal Counsel—Anticipated Litigation - California Government Code Section 54956.9(d)(2), regarding significant exposure to litigation (two cases). c. Conference with Legal Counsel—Anticipated Litigation – Significant exposure to litigation pursuant to paragraph (2) or (3) of subdivision (d) of Section 54956.9(e)(2):
(Enforcement Action by Regional Water Quality Control Board and an additional matter with facts and circumstances that might result in litigation, which are not yet known to a potential plaintiff.)
No public comments received.
Page | 2 City Council Meeting Minutes (December 16, 2025) Mayor Pro Tem Sabathia adjourned the meeting to closed session at 5:05 p.m., and reconvened the meeting at 6:09 p.m.
City Attorney Giffen reported that there was no reportable action on the closed session.
3. ELECTION
A. Selection of Mayor for a One-Year Term
B. Selection of Mayor Pro Tem for a One-Year Term
Mayor Pro Tem Sabathia requested that the item be tabled to ensure all City Council members could be present in person.
Item tabled for the next meeting.
4. PROCLAMATION
The City Council recognized:
A. Golden Wheel, 63rd Anniversary
The Cornaggia family was recognized for their contributions to the city’s history and economy.
B. Sarah Morris Griss
Ms. Morris Griss was honored for her service, leadership, and commitment to the community.
5. PUBLIC COMMENT
Received comments from the following members of the public:
Bill Adams raised concerns about pedestrian safety and enforcement of Council Resolution 2025-02.
Jill Pagaran provided updates on the Community Foundation for San Benito County Cassandra Kartashov introduced herself as the Chief Executive Officer for the Community Foundation for San Benito County
Mark Masa expressed concerns about city management and the challenges of running a business in San Juan Bautista.
6. PRESENTATION
A. Sheriff’s Department Year-End Report
The item was tabled.
7. PUBLIC HEARING
A. Bhullar/Dalla/SJB Alameda Enterprises Development Agreement Recommendation: Hold a Public Hearing to Consider Adoption of an Ordinance Approving a Development Agreement Between SJB Alameda Enterprise, LLC, and the City of San Juan Bautista for The Alameda Gas Station Project.
Arielle Goodspeed, Planning Manager, provided an in-depth overview of the development agreement, including project history, approval conditions, and financial obligations. The proposed Development Agreement pertains to the approved Alameda Gas Station Project, Page | 3 City Council Meeting Minutes (December 16, 2025) located at 0 The Alameda, a 1.12-acre undeveloped commercial site south of Highway 156. The project includes a gas station canopy with seven pump stations, a convenience store, lease space, parking, EV charging stations, and related site improvements. The Planning Commission approved the project in May 2024 through a Site Plan and Design Review, a Conditional Use Permit, a Sign Program, and the adoption of a Mitigated Negative Declaration with conditions.
The Development Agreement is required by Condition of Approval No. 12 and authorized under State law and the San Juan Bautista Municipal Code. It formalizes and implements previously approved entitlements, vests development rights, clarifies procedural requirements, and establishes the project’s term, annual review, and enforcement provisions. A key component requires the developer to fund the construction of a right-turn lane on eastbound Highway 156 at The Alameda. Under a 2022 amendment to a prior reimbursement agreement, the developer must pay 100 percent of the right-turn lane costs upfront, with the City reimbursing any amount exceeding the project’s fair share over time through traffic fees and, if necessary, future sales tax revenue.
The Planning Commission reviewed the draft Development Agreement on December 2, 2025, and offered recommendations on pedestrian safety and community character. The applicant has opposed adding new obligations beyond those already required under the existing reimbursement agreement. Because Caltrans has jurisdiction over Highway 156, certain pedestrian improvements are limited by state regulations. Staff has made minor clarifying edits to the Agreement, ordinance, and findings that do not alter the approved project. Staff recommends adopting the ordinance authorizing the Development Agreement and determining that the Agreement is not a project under CEQA and is statutorily exempt from further environmental review.
The following members of the public commented on the report:
Dr. Dalla expressed gratitude for the city’s efforts, confirmed the project's commitment, and suggested a visitor center kiosk.
Michael Ponce raised concerns about the city’s financial obligations for the right-turn lane construction.
MOTION:
Upon motion by Councilmember Freels, seconded by Mayor Jordan, to adopt an Ordinance approving the development agreement between SJB Enterprises and the City of San Juan Bautista, including replacing Exhibit D site plans, and additional edits as presented to the ordinance and findings, was approved.
AYES: Councilmembers: Freels, Morris-Lopez, Sabathia, and Mayor Jordan; NOES:
Councilmember Aranda; ABSTAIN: None; ABSENT: None
City Council determined that the rights granted to the property owner under this agreement do not constitute a “project” under the California Environmental Quality Act (CEQA), pursuant to Public Resources Code Section 21065, because the agreement does not involve any physical changes to the site or any amendments to the City’s land use policies, standards, or ordinances.
The Council further determined that the agreement is statutorily exempt from additional CEQA Page | 4 City Council Meeting Minutes (December 16, 2025) review pursuant to Public Resources Code Section 21083.3(b), as it eliminates the need for duplicative environmental analysis previously conducted during the City’s General Plan review.
MOTION:
Upon motion by Councilmember Aranda, seconded by Councilmember Freels, the City Council determine that of rights granted to the owner under this agreement does not constitute a project under CEQA Public Records Code 21065 because the agreement does not propose any physical alteration to the project or any change to the land use policy, standards, or ordinance of the City, and further determine the agreement is statutorily exempt from the additional CEQA compliance under public resources code, 21083.3(b) which eliminates duplicative environmental analysis previously conducted during the City's General Plan Review.
AYES: Councilmembers: Aranda, Freels, Morris-Lopez, Sabathia, and Mayor Jordan; NOES:
Councilmember: None; ABSTAIN: None; ABSENT: None
8. CONSENT
A. Approve the Affidavit of Posting Agenda
B. Waive Reading of Resolutions and Ordinances on the Agenda Beyond Title C. Authorizing the Street Closure for the Annual Rotary Mission 10 Race on January 31, 2026.
Recommendation: Approve a Resolution Authorizing Street Closures for the Annual Rotary Mission 10 race on January 31, 2026.
D. Treasurer’s Report and Monthly Financial Statements
Recommendation: Accept the financial report for October 2025.
E. Authorizing the City Manager to sign and file a Financial Assistance Application with the State Water Resources Control Board for the City’s Water Transmission Pipeline Design Project
Recommendation: Approve a Resolution Authorizing the City Manager to Sign and File a Financial Assistance Application with the State Water Resources Control Board for the City’s Drinking Water Pipeline Design Project F. Stantec Consulting Professional Services Agreement Amendment No. 03 Recommendation: Approve a Resolution authorizing the City Manager to execute Amendment No. 03 to the Professional Services Agreement with Stantec Consulting Services for construction support services for the San Juan Bautista to Hollister Sanitary Sewer Force Main Project, in the amount of $135,000.
G. Holiday Parade of Lights Co-Sponsorship
Recommendation: Approve a Resolution authorizing the City Manager to execute the City’s partnership with the Holiday Parade of Lights, with support limited to in-kind contributions, permit fee reductions, and staff promotion within available capacity.
Page | 5 City Council Meeting Minutes (December 16, 2025) H. Acknowledge Receipt of a Report by The Hollister Fire Chief Regarding the Inspection of Certain Occupancies in The City
Recommendation: Approve a Resolution to authorize the acceptance of Senate Bill No. 1205, an act to add Section 13146.4 to the Health and Safety Code, relating to fire protection, and to acknowledge receipt of a report made by the Fire Chief of the Hollister Fire Department regarding certain occupancies' annual inspections.
I. Approve the Regular Meeting Minutes of November 18, 2025.
No public comments were received.
MOTION:
Upon motion by Councilmember Aranda, seconded by Councilmember Freels, the Consent agenda items A, B, D, F, G, H, and I, were approved.
AYES: Councilmembers: Aranda, Freels, Morris-Lopez, Sabathia, and Mayor Jordan; NOES:
None; ABSTAIN: None; ABSENT: None
Item C. Authorizing the Closure of Streets for Certain Special Events in 2025 and 2026 The City Council approved street closures for the Holiday of Lights Parade on December 6, 2025, and tabled the Mission 10K event for the December meeting.
MOTION:
Upon motion by Mayor Jordan, seconded by Councilmember Aranda, the Resolution Authorizing the Closure of Streets for the Holiday Parade of Lights on December 6, 2025, was approved.
AYES: Councilmembers: Aranda, Freels, Morris-Lopez, Sabathia, and Mayor Jordan; NOES:
None; ABSTAIN: None; ABSENT: None
Item E. Authorizing the City Manager to sign and file a Financial Assistance Application with the State Water Resources Control Board for the City’s Water Transmission Pipeline Design Project
MOTION:
Upon motion by Mayor Jordan, seconded by Councilmember Freels, the Resolution Authorizing the City Manager to Sign and File a Financial Assistance Application with the State Water Resources Control Board for the City’s Drinking Water Pipeline Design Project was approved.
AYES: Councilmembers: Aranda, Freels, Morris-Lopez, Sabathia, and Mayor Jordan; NOES:
None; ABSTAIN: None; ABSENT: None
Page | 6 City Council Meeting Minutes (December 16, 2025)
9. ACTION ITEMS
A. Replacement of Fire Engine 14 Replacement of Fire Engine 14 Recommendation: Receive the staff report, discuss the current condition and replacement needs for Fire Engine 14, and provide direction to staff as appropriate regarding future planning and procurement options.
Hollister Fire Chief Jonathan Goulding provided a detailed report on the need for a new fire engine, highlighting the age and reliability issues of the current engine.
Councilmember Aranda expressed support for purchasing a new fire engine and raised concerns about the current engine, which is 21 years old and not fully functional, posing a safety issue for the city and surrounding areas, including the canyon.
Councilmember Freels supported the purchase of a new engine and noted that only a few fire engine manufacturers remain following industry consolidation, making the purchase more critical.
Mayor Jordan praised the presentation and supported purchasing a new engine rather than a used one to avoid inheriting someone else's problems. Mayor Jordan emphasized the importance of ensuring San Juan Bautista is always protected with a Type 1 engine.
Councilmember Morris-Lopez asked about the required deposit for the chassis and the timeline for discounts and expressed support for purchasing a new engine, and appreciated the financing flexibility.
Mayor Pro Tem Sabathia highlighted the cost difference between a new and a used engine, noting that the price of a used engine remains high and that financing options for used engines are limited. Mayor Pro Tem Sabathia supported purchasing a new engine due to the warranty and reliability it offers compared to a used engine.
The following members of the public commented on the report:
Michael Ponce raised concerns about the cost of the new fire engine and asked whether the city had budgeted for the purchase and whether funds were available.
Eddie Huaracha asked about the total cost of the fire engine, including interest over the financing period, and requested clarification on the engine's final cost after accounting for interest.
Elise Bretnall expressed concern about the high cost of the new fire engine, particularly given the other expenses the city faces, and questioned whether it would make sense to consider purchasing a newer used fire engine from a department that rotates its equipment more frequently.
The City Council recommended adopting a resolution to authorize the City Manager to initiate the purchase of a new Type 1 Rosenbauer fire engine and negotiate the associated financing terms. The final financing terms would be returned to the City Council for formal approval.
MOTION:
Upon motion by Councilmember Freels, seconded by Councilmember Aranda, the Resolution authorizing the City Manager to initiate the purchase of a new Type 1 Rosenbauer fire engine. negotiate the associated financing terms, the final financing terms would be returned to the City Page | 7 City Council Meeting Minutes (December 16, 2025) Council for formal approval.
AYES: Councilmembers: Aranda, Freels, Morris-Lopez, Sabathia, and Mayor Jordan; NOES:
None; ABSTAIN: None; ABSENT: None
B. Historic Preservation Ordinance Subcommittee Appointment Recommendation: Approve a resolution establishing the Historic Preservation Ordinance Subcommittee, appointing one member of the City Council to serve on the subcommittee, and appointing Cara Vonk, representing the San Juan Bautista Historical Society, to serve as the Member at Large.
Planning Manager Arielle Goodspeed provided an update on the Historic Preservation Ordinance and the formation of a subcommittee to assist with its update. The ordinance update, initiated by the City Council in November, aims to strengthen historic preservation efforts, address community priorities, and improve the ordinance’s clarity and effectiveness.
A three-member subcommittee was proposed, consisting of one City Council member, one Planning Commissioner, and one member at large from the community. The San Juan Bautista Historical Society nominated Cara Vonk as the member at large, while the Planning Commission recommended Commissioner Martorana as their representative.
The subcommittee will review historic resources, identify preservation priorities, and collaborate with Rincon Consultants to ensure the ordinance aligns with state guidelines and community needs. The first meeting is tentatively scheduled for February 2026, with the ordinance update expected to be completed by summer 2026. Rincon Consultants will use $15,000 from their current contract and $15,000 from their next fiscal year contract to fund the update.
The City Council discussed the subcommittee’s composition and meeting logistics, ultimately voted to establish the subcommittee, and appointed Councilmember Sabathia, Commissioner Martorana, and Cara Vonk as its members.
The City Council ultimately voted to:
Establish the Historic Preservation Ordinance Subcommittee consisting of one City Council member, one Planning Commissioner, and one member at large.
Appoint Councilmember Sabathia as the City Council representative.
Appoint Commissioner Martorana as the Planning Commission representative.
Appoint Cara Vonk as the member at large.
MOTION:
Upon motion by Councilmember Aranda, seconded by Councilmember Freels, a Resolution establishing the Historic Preservation Ordinance Subcommittee, consisting of one City Council member, one Planning Commissioner, and one member at large from the community, was approved.
AYES: Councilmembers: Aranda, Freels, Sabathia, and Mayor Jordan; NOES: Morris-Lopez; ABSTAIN: None; ABSENT: None
Page | 8 City Council Meeting Minutes (December 16, 2025)
10. INFORMATIONAL ITEMS AND REPORTS
A. City Manager’s Report
City Manager Ashley Collick provided a year-end summary of key initiatives, accomplishments, and areas of focus for the City of San Juan Bautista in 2025. The report highlighted the city's progress in strengthening internal operations, improving communication, and advancing initiatives to support residents, local businesses, and the city's long-term stability. The city has gained recognition for its service-centered governance model through regional and professional collaborations.
Key achievements included infrastructure improvements along 3rd Street to enhance walkability, signage, and streetscape elements while preserving the historic character of downtown. The city welcomed new businesses, including Mission Market, The Hideaway, and Coyote Call, thereby contributing to downtown vitality. Community events like Dia de los Muertos were successful in fostering cultural expression and community connection.
Infrastructure projects focused on sustainability and reliability, including progress on the water transmission pipeline project and the force main project, which involves decommissioning the wastewater treatment plant and connecting to Hollister's regional wastewater treatment facility.
The city also worked on regulatory compliance and agreements with industrial partners.
The creation of the Community Development Department was a major milestone, with new staff members improving planning and permitting services, reducing turnaround times, and decreasing reliance on consultants. Other operational improvements included City Hall renovations, implementation of a purchase order system, and updates to internal policies.
Looking ahead to 2026, the city will focus on maintaining reliable infrastructure, supporting local businesses, strengthening public safety partnerships, preserving agricultural lands and historic character, and expanding in-house service capacity. The City Manager expressed gratitude for the Council's support and extended holiday wishes to the community.
The following members of the public commented on the report:
Michael Ponce requested that the City Manager's slides and comments, which were read during the meeting, be included in the meeting packet, similar to the reports from the law enforcement, fire, public works, and library departments. He noted that this would allow the public to review the information without having to wait for the meeting video to be released. a. Public Safety Department Update
Assistant to the City Manager Roy Morales provided an update on law enforcement and fire department activities for November 2025.
The following members of the public commented on the report:
Michael Ponce raised concerns about the effectiveness of the proposed signage for oversized trucks on the San Juan Highway.
b. Community Development Department Update
Planning Manager Arielle Goodspeed provided an update on Building, Planning, Code enforcement, and ongoing projects for November 2025.
Page | 9 City Council Meeting Minutes (December 16, 2025) The following members of the public commented on the report:
Cara Vonk asked about the status of the San Benito Health Foundation.
Fran Fitzharris expressed excitement about the permitting process being brought in-house.
B. Reports from City Council Representatives to Regional Organizations and Committees Councilmembers Aranda, Morris-Lopez, and Mayor Jordan provided an update on the meetings they attended.
C. City Council and Staff Announcements
Councilmember Aranda
The City Council announcements included the following:
Councilmember Freels announced the Annual Valentine's Dinner Dance Fundraiser hosted by the Native Daughters of the Golden West. The event will take place on Saturday, February 14th, 2026, at the Community Hall from 5 PM to 10 PM. The event will feature dinner, a silent auction, and live music. Tickets go on sale starting December 20th, 2025.
Councilmember Aranda encouraged the community to check out El Teatro Campesino's Pastorela, which he attended for the first time and described as a beautiful show.
Councilmember Aranda mentioned the grand opening of Inaka Fusion and Coyote Call, and encouraged residents to visit and support those businesses. Councilmember Aranda thanked city staff and Public Works for organizing the Christmas Parade, which he described as one of the biggest and most amazing events.
11. ADJOURNMENT
Motion to adjourn the meeting by Councilmember Aranda, seconded by Councilmember MorrisLopez. All in favor.
There being no other business, Mayor Po Tem Sabathia adjourned the meeting at 10:01 p.m.
APPROVED:
______________________
Leslie Q. Jordan, Mayor
Page | 10 City Council Meeting Minutes (December 16, 2025) ATTEST:
______________________
Elizabeth Soto, City Clerk
Page | 1 City Council Meeting Minutes (January 20, 2026)
CITY OF SAN JUAN BAUTISTA
CITY COUNCIL
UNOFFICIAL MEETING MINUTES
JANUARY 20, 2026
1. CALL TO ORDER
Mayor Jordan called the regular meeting to order at 5:04 p.m. in the Council Chambers, located at 311 Second Street, San Juan Bautista, California.
PLEDGE OF ALLEGIANCE
Mayor Pro Tem Sabathia led the Pledge of Allegiance
ROLL CALL Present:
Councilmember Jose Aranda
Councilmember Scott Freels
Mayor Pro Tem EJ Sabathia.
Mayor Leslie Q. Jordan
Absent:
Councilmember Jackie Morris-Lopez
Staff Present:
Ashley Collick, City Manager
Jon R Giffen, City Attorney
Elizabeth Soto, City Clerk
Also present:
Roy Morales, Assistant to the City Manager
Arielle Goodspeed, Planning Manager
2. CLOSED SESSION – 5:00 P.M. – 6:00 P.M.
a. Conference with Legal Counsel—Existing Litigation – Orozco v. City of San Juan Bautista, et al. (California Government Code section 54956.9(d)(1)) b. Public Employee Performance Evaluation - California Government Code section 54957(b), City Attorney.
No public comments received.
Mayor Jordan adjourned the meeting to closed session at 5:06 p.m., and reconvened the meeting Page | 2 City Council Meeting Minutes (January 20, 2026) at 6:01 p.m.
City Attorney Giffen reported that there was no reportable action on the closed session.
3. RECOGNITION
A. In Memoriam of Sarah Georgana Grossi Gularte (Moment of Silence) Mayor Jordan requested a moment of silence in honor of Sarah Georgana Grossi Gularte and her contributions to the City of San Juan Bautista.
4. ELECTION
A. Selection of Mayor for a One-Year Term
Councilmember Freels nominated Councilmember Sabathia to serve as Mayor.
Councilmember Sabathia nominated Councilmember Jordan to serve as Mayor. Motion was seconded by Councilmember Jordan.
MOTION:
Upon motion by Councilmember Sabathia, seconded by Councilmember Jordan, Councilmember Jordan was nominated to serve as Mayor for a one-year term.
AYES: Councilmembers Aranda, Jordan, and Sabathia. NOES: Councilmember Freels; ABSTAIN: None; ABSENT: Councilmember Morris-Lopez;
B. Selection of Mayor Pro Tem for a One-Year Term
Councilmember Aranda nominated Councilmember Morris-Lopez to serve as Mayor Pro Tem.
Mayor Jordan nominated Councilmember Sabathia to serve as Mayor Pro Tem. Motion seconded by Councilmember Freels.
MOTION:
Upon motion by Councilmember Sabathia, seconded by Councilmember Freels, Councilmember Sabathia was nominated to serve as Mayor Pro Tem for a one-year term.
AYES: Councilmembers Freels, Sabathia, and Mayor Jordan. NOES: Councilmember Aranda; ABSTAIN: None; ABSENT: Councilmember Morris-Lopez;
5. PUBLIC COMMENT
Received comments from the following members of the public:
Todd Dubois discussed economic development and proposed a study session or ad hoc committee to address challenges with 30 acres of industrial land.
Bill Adams raised concerns about safety liability issues at his home due to restricted egress visibility caused by a hedge and urged the Council to address the violation.
Eddie Sanchez IV questioned the decision-making process for the mayoral election and Page | 3 City Council Meeting Minutes (January 20, 2026) consistency in governing decisions.
6. PUBLIC HEARING
A. General Plan Amendment (REF2025-001) 2023-2031 Housing Element 6th Cycle Update (State-Required General Plan Element Update – No Project Approval or Zoning Changes)
Planning Manager Ariel Goodspeed presented the 2023-2031 Housing Element 6th Cycle Update, a state-mandated component of the City’s General Plan. The update serves as the City’s primary housing policy document and includes a housing needs analysis, a review of constraints to housing, an inventory of housing sites, and a housing plan with goals, policies, and implementation programs.
The update aims to meet the City’s Regional Housing Needs Allocation (RHNA) of 88 units across all income levels, with 24 identified parcels spanning 17.45 acres and a capacity for approximately 156 units. The plan emphasizes preserving existing housing stock, increasing housing supply, removing governmental constraints, advancing fair housing opportunities, and ensuring accountability through implementation tracking. Ariel highlighted the importance of community involvement, including public workshops, surveys, and bilingual outreach, to shape the housing element.
Additionally, updates to zoning and the sphere of influence map were recommended, including correcting Site 11’s zoning to high-density residential (R3). The housing element update is exempt from CEQA as it is a policy-level document, and once adopted, it will be submitted to the California Department of Housing and Community Development (HCD) for certification.
Mayor Jordan opened the public hearing
The following members of the public commented on the report:
Michael Ponce raised concerns about zoning clarifications for lot 11 Cara Vonk expressed concern about proposed amendments to ordinances and general plans particularly regarding staff level project approvals.
Mayor Jordan closed the public hearing
MOTION:
Upon motion by Mayor Pro Tem Sabathia, seconded by Councilmember Aranda, Approve a Resolution, approving the General Plan Amendment to update the Housing Element of the San Juan Bautista General Plan for the 2023–2031 (6th Cycle) planning period; determine that the Housing Element Update is exempt from the California Environmental Quality Act (CEQA) as a policy-level planning document that relies on prior environmental review; confirm that a duly noticed public hearing has been conducted and all public testimony has been considered; and direct staff to submit the adopted Housing Element and Resolution to the California Department of Housing and Community Development (HCD) for final certification.
AYES: Councilmembers: Aranda, Freels, Sabathia, and Mayor Jordan; NOES: None; Page | 4 City Council Meeting Minutes (January 20, 2026) ABSTAIN: None; ABSENT: Morris-Lopez
7. CONSENT
A. Approve the Affidavit of Posting Agenda
B. Waive Reading of Resolutions and Ordinances on the Agenda Beyond Title C. Street Closure for the 2026 Arts & Crafts Festival and the 2026 Great San Juan Bautista Rib Cook-Off
Recommendation: Approve a Resolution Authorizing staff to temporary close Third Street (Franklin to Muckelemi) and the cross streets between Second and Fourth (Washington, Mariposa, and Polk) for the 2026 Arts & Craft Festival (March 27–29, 2026; closure hours: Friday 5:00 p.m. to 10:00 p.m.; Saturday 4:00 a.m. to 10:00 p.m.; Sunday 7:00 a.m. to 10:00 p.m.) and the 2026 Great San Juan Bautista Rib Cook-Off (street closure commencing Thursday, May 7, 2026 at 5:00 p.m. for event set-up, with event dates May 8–10, 2026), as depicted in Exhibit A and Exhibit B.
D. Treasurer’s Report and Monthly Financial Statements
Recommendation: Accept the financial report for November 2025.
E. Proclamation Policy
Recommendation: Approve a Resolution Adopting the City of San Juan Bautista Proclamation Policy and Proclamation Request Form.
F. Authorize The City Manager to Issue a Request for Proposals for Professional Certified Public Accountant (CPA Advisory Services, and Approve a Professional Services Agreement (Form).
Recommendation: Approve a Resolution authorizing the City Manager to issue a Request for Proposals (RFP) for Professional Certified Public Accountant (CPA) Advisory Services and approving the form of the Professional Services Agreement.
G. Approve the Regular Meeting Minutes of December 16, 2025.
No public comments were received.
MOTION:
Upon motion by Mayor Pro Tem Sabathia, seconded by Councilmember Freels, the Consent agenda items A, B, D, E, F, and G, were approved.
AYES: Councilmembers: Aranda, Freels, Sabathia, and Mayor Jordan; NOES: None; ABSTAIN: None; ABSENT: Councilmember Morris-Lopez
Item C. Street Closure for the 2026 Arts & Crafts Festival and the 2026 Great San Juan Bautista Rib Cook-Off
MOTION:
Upon motion by Mayor Jordan, seconded by Councilmember Aranda, the Resolution Page | 5 City Council Meeting Minutes (January 20, 2026) Authorizing the Closure of Streets for the 2026 Arts and Crafts Festival and the Rib Cook-off, starting on Friday at 5:00 p.m. and ending on Sunday at 10:00 p.m., was approved.
AYES: Councilmembers: Aranda, Freels, Sabathia, and Mayor Jordan; NOES: None; ABSTAIN: None; ABSENT: Councilmember Morris-Lopez
8. ACTION ITEMS
A. Third Street Stripping Options Between Franklin and Muckelemi Street Recommendation: Receive presentation for restriping Third Street between Franklin Street and Muckelemi Street; and direct staff to a) return with additional information for consideration; b) Select an option (A, B, or C) to be further developed, including Council comments and direction; or c) provide other direction as deemed appropriate by the Council
City Engineer Doug Pike presented three potential striping options for 3rd Street between Franklin and Muckelemi Streets as part of an interim project ahead of a comprehensive master planning effort.
The options included: Option A, maintaining the current one-way street with parallel parking (72 parking spaces); Option B, reverting to a two-way street with parallel parking (also 72 parking spaces); and Option C, a one-way street with diagonal parking, which would add 9 parking spaces for a total of 81.
The proposed interim project would include remedial repairs such as pothole fixes, crack sealing, a rejuvenation oil application to improve the street’s appearance, new pavement striping, and updated signage. Doug emphasized that the interim striping would allow the city to evaluate real-world operations and community feedback while supporting the ongoing master planning process. City Engineer Pike also discussed the possibility of adding bulb-outs for traffic calming and shortening pedestrian crossing distances, as well as ensuring ADA compliance with gray tactile mats. The presentation aimed to gather Council feedback and direction on the preferred striping option, with the goal of balancing functionality, aesthetics, and historic preservation.
Councilmember Aranda raised questions about how the proposal aligns with downtown revitalization and economic development goals. He emphasized the importance of engaging local businesses and emergency services to understand their priorities and inputs. He also expressed concerns about whether a one-way street would help or hinder downtown economic activity.
Additionally, he suggested keeping gray ADA tactile pads and white striping to preserve the historic nature of the downtown district.
Councilmember Freels expressed concerns about the width of the proposed one-way street with parallel parking, noting that an 11-foot lane might feel tight for larger vehicles like fire engines.
He questioned the standards for crosswalk designs and suggested avoiding excessive fog lines to maintain the historic aesthetic of the downtown area. He also raised concerns about spending money on interim striping when the master plan would likely require significant upgrades later.
Mayor Pro Tem Sabathia stated he did not have strong feelings about one-way versus two-way traffic but appreciated the idea of increasing parking spaces downtown. He emphasized the Page | 6 City Council Meeting Minutes (January 20, 2026) importance of community engagement to ensure the striping plan aligns with public preferences and avoids excessive paint that could detract from the historic aesthetic.
Mayor Jordan supported keeping 3rd Street as a one-way street with a 5-mph speed limit, as it allows drivers to enjoy the small-town feel and observe businesses and pedestrians. She emphasized minimizing signage and maintaining the historic flair of the city. She also supported gray tactile pads and single-line crosswalks to reduce visual clutter while ensuring ADA compliance.
The Council expressed a preference for preserving the historic aesthetic of the downtown area while balancing functionality and safety. They leaned toward keeping 3rd Street as a one-way street and discussed the pros and cons of diagonal versus parallel parking, with some members favoring diagonal parking to increase the number of spaces. They also emphasized the importance of minimizing visual clutter, reducing liability, and ensuring ADA compliance.
The following members of the public commented on the report:
Emily Renzel recommended parallel parking, gray tactile mats, and no high-visibility crosswalks.
Carl Vonk suggested no parking hash marks, no fog lines, no high-visibility crosswalks, and gray tactile mats.
MOTION:
Upon motion by Mayor Jordan, seconded by Councilmember Freels, approved option C (oneway street with diagonal parking), straight-line crosswalks, gray tactile mats, and no fog lines AYES: Councilmembers: Aranda, Freels, Sabathia, and Mayor Jordan; NOES: None; ABSTAIN: None; ABSENT: Councilmember Morris-Lopez
B. Mayor’s Selection of Representatives to Committees, Regional Boards, Etc.
Recommendation: Consider making changes to the Committee Assignments based on the discretion of the Mayor.
Mayor Jordan reviewed the appointments for representatives to various committees, regional boards, and organizations.
Intergovernmental Committee: Mayor Jordan and Councilmember Morris-Lopez were assigned as primary representatives, with Councilmember Aranda appointed as the alternate.
CMAP (Community Media Access Partnership): City Clerk Soto, was assigned as the staff representative, as per CMAP bylaws.
Water Resources Association: Mayor Pro Tem Sabathia was appointed as the primary representative, with Councilmember Aranda as the alternate.
AMBAG (Association of Monterey Bay Area Governments): Councilmember Freels was confirmed as the primary representative, with Mayor Jordan as the alternate.
Page | 7 City Council Meeting Minutes (January 20, 2026) Sheriff Committee: Councilmember Freels and Mayor Pro Tem Sabathia were appointed as primary representatives, with Mayor Jordan as the alternate.
Cannabis Investment Committee: Councilmember Freels and Mayor Jordan were confirmed as primary representatives, with Mayor Pro Tem Sabathia as the alternate.
Fire Committee: No changes were confirmed, but the meeting time was noted to be in the afternoon.
San Benito County Economic Advisory Committee: Mayor Jordan is the primary representative, and Councilmember Morris-Lopez is the alternate (to be confirmed).
Tourism Committee: Mayor Jordan is the primary representative, and the alternate is to be determined.
Area Agency on Aging: Councilmember Freels is the primary representative, and Councilmember Aranda was appointed as the alternate (to be confirmed).
Public Safety Ad Hoc Committee: The Council noted that there are three vacancies on this committee, including two Planning Commission seats and one public member seat, which need to be filled.
Major Jordan emphasized the importance of ensuring alternates are available to attend meetings if the primary representative cannot, and encouraged Council members to communicate with their alternates or herself if they are unable to attend. The finalized list of appointments will be distributed to all relevant jurisdictions.
No public comments.
MOTION:
Upon motion by Councilmember Morris-Lopez, seconded by Councilmember Aranda, the Spirit of San Juan Bautista's request to waive city-controlled encroachment-related fees for the installation of the commemorative bench was approved.
AYES: Councilmembers: Aranda, Freels, Morris-Lopez, Sabathia, and Mayor Jordan; NOES:
None; ABSTAIN: None; ABSENT: None
9. INFORMATIONAL ITEMS AND REPORTS
A. City Manager’s Report
City Manager Ashley Collick provided a verbal report and reiterated that the city is working on several long-term projects and emphasized the importance of strategic planning and budgeting to ensure the city’s fiscal sustainability.
Councilmember Aranda expressed concerns about the city’s long-term fiscal sustainability, Page | 8 City Council Meeting Minutes (January 20, 2026) particularly regarding the costs of projects like the sewer main, fire department operations, fire truck purchase, personnel, and litigation. He emphasized the need to prioritize long-term financial planning and sustainability.
Councilmember Freels appreciated the focus on strategic planning and budgeting and supported the City Manager’s approach.
The City Manager assured the Council that the strategic planning and budgeting process would address these concerns and provide a clear roadmap for the city’s financial future.
The following members of the public commented on the report:
a. Public Safety Department Update
Assistant to the City Manager Roy Morales provided an update on law enforcement, fire department, and Public Works for December 2025.
No public comments.
.
b. Community Development Department Update
Planning Manager Arielle Goodspeed provided the update for Building, Planning, Code Enforcement and ongoing projects for December 2025.
No public comments.
B. Reports from City Council Representatives to Regional Organizations and Committees Councilmembers Aranda, Freels, and Mayor Jordan provided an update on the meetings they attended.
C. City Council and Staff Announcements
Councilmember Aranda announced the following events in February.
Sweetheart Scavenger Hunt: Scheduled for February 14.
Speed Dating Event: Hosted at The Hideaway on February 13, from 6 PM to 9 PM.
Hearts and Kisses Valentine's Fun Fest: Lovers Celebration at Vertigo.
Inaka Fusion Valentine's Day Dinner: Hosting a special Valentine's Day dinner.
Native Daughters Valentine's Day Dinner and Dance: To be held at the Community Center.
Upcoming Mixers:
San Benito County Green Business Mixer: Scheduled for January 18 at 5:30 PM at the San Benito County Arts Council.
San Benito County Business Council New Year Social Open House: Scheduled for January 20 at San Juan Oaks.
Councilmember Freels announced that the Native Daughters Valentine's Day Dinner and Dance will be held at the Community Center, featuring the same band as last year.
Page | 9 City Council Meeting Minutes (January 20, 2026) Councilmember Freels raised concerns about the Christmas lights and decorations still being up.
Requested that the lights on the poles be removed to save electricity.
10. ADJOURNMENT
Motion to adjourn the meeting by Councilmember Freels, seconded by Mayor Por Tem Sabathia.
All in favor.
There being no other business, Mayor Jordan adjourned the meeting at 8:45 p.m.
APPROVED:
______________________
Leslie Q. Jordan, Mayor
ATTEST:
______________________
Elizabeth Soto, City Clerk
Item No.: 7.A
City Council Meeting
February 17, 2026
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CITY OF SAN JUAN BAUTISTA
CITY COUNCIL STAFF REPORT
DATE: FEBRUARY 17, 2026
DEPARTMENT: CITY MANAGER
FROM: ASHLEY COLLICK, CITY MANAGER
TITLE: MID-YEAR BUDGET REVIEW FOR FISCAL YEAR 2025–26
RECOMMENDED MOTION:
Review and Receive the Mid-Year Budget for FY 2025-26 and provided direction to staff as appropriate.
RECOMMENDATION:
Staff recommends that the City Council receive this mid-year budget review as an informational item and provide policy and fiscal direction to inform upcoming strategic planning efforts and the FY 2026–27 budget process.
EXECUTIVE SUMMARY:
This staff report provides a mid-year review of the City’s FY 2025–26 budget, focusing on implementation progress, emerging challenges, and considerations for upcoming strategic planning and budget development. The adopted FY 2025–26 budget was intentionally conservative and capacity-focused, reflecting Council direction to stabilize operations, maintain structural balance, and advance critical infrastructure and compliance obligations.
Since budget adoption, City activities have been characterized by execution rather than expansion.
Council actions and staff work over the first half of the fiscal year demonstrate a sustained focus on capital delivery, regulatory compliance, public safety continuity, and regional coordination.
These efforts have validated the assumptions underlying the adopted budget while also highlighting areas where future policy direction will be necessary.
This mid-year review is intended to inform Council discussion, support fiscal transparency, and set the stage for the next phase of strategic planning and the FY 2026–27 budget process.
BACKGROUND:
Budget Adoption Context
Item No.: 7.A
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Page | 2
The FY 2025–26 budget was adopted following Council review and direction provided on June 4, 2025. The final adopted budget incorporated targeted adjustments to eliminate a projected General Fund shortfall, resulting in a structurally balanced budget with modest reserves. The budget aligned with the City’s 5-Year Strategic Plan and emphasized operational readiness, organizational alignment, and capital project execution.
The adopted budget did not assume significant program expansion. Instead, it prioritized sustainability, compliance with State and regional mandates, and the City’s capacity to deliver existing services and capital commitments.
Activities Since Budget Adoption
Since July 1, 2025, City operations and Council actions have reflected the following major themes:
Advancement of priority infrastructure and capital improvement projects, including water and wastewater systems
Execution of professional services agreements supporting capital delivery and regulatory compliance
Ongoing public safety oversight and coordination
Completion of State-mandated planning and code updates Participation in regional governance and long-term infrastructure planning discussions Collectively, these actions illustrate a sustained implementation workload and reinforce the importance of aligning future priorities with available staffing and financial resources.
DISCUSSION:
Financial Analysis
The FY 2025–26 budget was adopted as a structurally balanced budget with modest General Fund reserves following Council-directed adjustments made during the budget adoption process. Since adoption, staff focused on implementing the approved budget, executing authorized contracts, advancing capital projects, and meeting ongoing regulatory and service obligations within the framework established by Council.
Monthly Treasurer’s Reports and financial statements have been presented to the City Council throughout the first half of the fiscal year. In addition, the city has implemented a purchase order (P.O.) system that provides real-time visibility into departmental expenditures and budget performance. This system has improved internal controls, enhanced staff accountability, and enabled departments to manage approved budgets more effectively.
Based on information available at this time, including enhanced expenditure tracking through the P.O. system, no material deviations from the assumptions reflected in the adopted FY 2025–26 budget have been identified at the citywide level. Staff continues to closely monitor revenues, expenditures, fund balances, and cash flow to ensure ongoing fiscal stability.
Item No.: 7.A
City Council Meeting
February 17, 2026
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Mid-Year Observations and Emerging Issues
The mid-year point has reinforced several key observations:
The General Fund remains structurally balanced, but with a limited margin for unplanned expenditures
Public safety services continue to represent the City’s most significant long-term cost pressure
Organizational investments made in recent budgets are beginning to improve internal capacity, though benefits will accrue over time
Capital project demands are now an ongoing feature of City operations rather than a temporary condition
In Community Development, enhanced budget monitoring and staffing changes have provided greater insight into service delivery cost drivers. Staff have identified that certain fees do not fully recover the cost of contractor-based services, contributing to a significant structural gap between revenues and actual service delivery costs within the Community Development Department.
Recent hires—including a Planning Manager, Permit Technician, and Associate Planner—are intended to reduce reliance on contracted services, improve internal coordination, and strengthen development review capacity.
While progress has been made on the planning and permitting side, additional work remains on the building and inspection functions. Key positions, including the Building Official, remain unfilled, and further evaluation of inspection services, staffing structure, and process streamlining will be necessary to achieve long-term operational and fiscal sustainability.
Preliminary findings from the City’s comprehensive fee study further support these observations.
Early feedback from the City’s fee study consultants indicates that, in many cases, current fees do not fully recover the City’s actual cost of providing services. Draft analyses incorporate contracted service rates, staff time, and overhead costs to reflect the full cost of service delivery. Based on this preliminary work, the City appears to be under-recovering costs across multiple service areas, particularly where contractor-provided services are required.
These findings are consistent with staff’s experience in Community Development, where reliance on contracted building and inspection services has contributed to ongoing budget pressures. The fee study remains in draft form and is still undergoing refinement; however, staff anticipates bringing proposed fee updates forward for Council consideration in conjunction with adoption of the FY 2026–27 budget.
Separately, routine financial oversight during the first half of the fiscal year identified the need to strengthen administrative controls related to utility billing and collections. A review of legacy practices revealed that inconsistent procedures and informal payment arrangements allowed a small number of accounts to remain delinquent for extended periods, increasing financial risk to the utility funds.
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February 17, 2026
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In response, the City implemented updated administrative policies and standard operating procedures to clarify billing obligations, payment plan eligibility, enforcement timelines, and service connection requirements. These changes do not increase rates or establish new fees; instead, they formalize existing Municipal Code authority and promote consistent, equitable treatment of all customers. Improved utility billing practices are expected to enhance cash flow stability and support the long-term financial health of the City’s water and sewer enterprise funds.
Strategic and Budget Implications
The mid-year review serves as a transition point between budget implementation and forwardlooking policy discussions. Upcoming strategic planning efforts and the FY 2026–27 budget process will require early Council direction on:
Service level priorities within a constrained revenue environment Long-term public safety funding and asset replacement strategies Capital project sequencing and funding sustainability Revenue, fee, and cost recovery strategies, including alignment of Community Development fees with the cost of service
In addition, the City’s long-term fiscal sustainability will be influenced by the successful implementation of previously approved economic development initiatives. The Gas Station Development Agreement represents a key opportunity to enhance ongoing revenue generation through sales tax and related revenues. While revenues associated with new development are subject to market conditions and timing, this project is expected to meaningfully contribute to diversification of the City’s revenue base and reduce reliance on limited discretionary sources.
As such, timely implementation of the Gas Station Development Agreement is an important component of the City’s broader financial strategy and will support the City’s ability to maintain service levels, invest in infrastructure, and address long-term cost pressures.
A comprehensive fee study is currently underway and is anticipated to be completed in the coming months. Staff intends to bring the proposed fee updates forward for Council consideration in conjunction with the adoption of the FY 2026–27 budget. The results of this study, combined with continued process improvements and organizational adjustments, will be critical to improving cost recovery, reducing reliance on contracted services, and supporting a more sustainable operating model.
CEQA REQUIREMENT:
The proposed action is the receipt of an informational report and does not involve approval of a project as defined by the California Environmental Quality Act (CEQA). Accordingly, the action is not subject to CEQA pursuant to CEQA Guidelines Section 15378(b)(5).
FISCAL IMPACT:
This item is informational only and does not authorize new expenditures. Fiscal impacts associated Item No.: 7.A
City Council Meeting
February 17, 2026
Page | 5
with the FY 2025–26 budget is addressed in the Financial Analysis section of this report.
CONCLUSION
The FY 2025–26 mid-year review confirms that the City’s adopted budget is functioning as intended—supporting stable operations, advancing critical capital and compliance efforts, and maintaining structural balance within a constrained fiscal environment. At the same time, the review highlights the narrowing margin for new commitments and the growing importance of early, deliberate policy direction.
As the City prepares to enter the next phase of strategic planning and budget development, this mid-year checkpoint provides an opportunity for Council to reflect on priorities, consider emerging challenges, and guide staff in aligning future budgets with sustainable service levels and long-term community goals.
ATTACHMENTS:
1. Mid-Year Budget Actual Summary – FY 2025-26
EXHIBIT A
FY 2025/2026 MID-YEAR EXPENDITURE ADJUSTMENTS
Proposed
REVENUES Annual Revised
Fund Budget Budget Difference Footnotes
General Fund 2,635,525 2,968,525 333,000 A
Special Revenue Funds:
Capital Projects Fund 3,061,913 3,061,913 -
Community Developmen 132,050 132,050 -
COPS 100,000 100,000 -
Parking & Restroom Fd 28,000 28,000 -
Gas Tax Fund 108,000 108,000 -
Valle Vista LLD 70,043 70,043 -
Rancho Vista CFD 31,071 31,071 -
Copperleaf CFD - -
Internal Service Funds:
Blg Rehab. & Replace 38,000 38,000 -
Vehicle Replacement 60,000 60,000 -
Enterprise Funds:
Water
Operations 1,801,000 2,065,000 264,000 B
Sewer
Operations 2,065,000 2,281,000 216,000 B
TOTAL Funds 10,171,318 10,984,318 813,000
Footnotes ~
A ~ Increase for unbudgeted receipt of PARSAC funds for City operations, reduce for Park and Recreation revenue. While budgeted, programs have yet be realized.
B ~ Transfer Computershare bank account balance of $480k to Water and Sewer enterprise funds to offset debt service obligation due 4/1/26. Funds were previously restricted for the pellet plant which is no longer a part of the capital improvement projects for water and sewer.
Allocation is 45% Sewer and 55% Water. The funds received will releive cash flow primarily in sewer to one time offset the annual cost to the City of Hollister for treating sewer, which is $564k annually. 2/12/2026
Item: 7.A
City Council Meeting
February 17, 2026
EXHIBIT A
FY 2025/2026 MID-YEAR EXPENDITURE ADJUSTMENTS
Proposed
EXPENDITURES Annual Revised
Fund Budget Budget Variance
General Fund 2,609,385 2,654,385 45,000
Special Revenue Funds:
Capital Projects Fund 3,061,903 3,061,903 -
Community Development 651,487 651,487 -
COPS 100,000 100,000 -
Gas Tax Fund 21,000 21,000 -
Valle Vista LLD 38,965 38,965 -
Rancho Vista CFD 51,143 51,143 -
Copperleaf CFD 29,278 29,278 -
Development Impact Fee Funds
Public/Civic Facility 2,700 2,700 -
Library 4,440 4,440 -
Storm Drain 3,432 3,432 -
Park In-Lieu 300 300 -
Public Safety 852 852 -
Traffic 432 432 -
Enterprise Funds:
Water:
Operations 962,796 962,796 -
Sewer
Operations 1,234,574 1,798,286 563,712
TOTAL Funds 8,772,687 9,381,399 608,712
2/12/2026
Item: 7.A
City Council Meeting
February 17, 2026
FY 2025–26 MIDYEAR BUDGET
REVIEW
ADVANCING STRATEGIC GOALS, OPERATIONAL
READINESS, AND ORGANIZATIONAL DEVELOPMENT
ASHLEY COLLICK, CITY MANAGER
ITEM _._.
FEBRUARY 17 TH , 2026
“Leadership is the capacity to
translate vision into reality—and
budgets are the maps we use to
get there.”
- WARREN BENNIS
Purpose of the Mid-Year Review
•Review budget implementation since adoption
•Highlight emerging operational and fiscal realities.
•Set context for strategic planning and FY 2026–27 budget What’s Happened Since Budget
Adoption
•Advancement of priority infrastructure and capital improvement projects, including water and wastewater systems
•Execution of professional services agreements supporting capital delivery and regulatory compliance
•Ongoing public safety oversight and coordination
•Completion of State-mandated planning and code updates •Participation in regional governance and long-term infrastructure planning discussions Mid-Year Financial Status
•Budget adopted structurally balanced with modest reserves •Citywide budget tracking remains generally consistent with adopted assumptions, with significant cost recovery challenges identified in Community Development •Improved real-time monitoring through the P.O. system
•Continued active monitoring of revenues, expenditures, and cash flow Mid-Year Observations
•Limited margin for unplanned expenditures
•Public safety remains the largest long-term cost pressure •Capital delivery is now an ongoing operational condition, not a one-time effort •Internal capacity investments beginning to show results Community Development: Cost
Recovery Insights
•Contracted services drive significant cost pressures
•Preliminary fee study findings indicate under-recovery of full service costs •Draft analyses reflect contractor rates, staff time, and overhead •Fee updates anticipated with FY 2026–27 budget
Strengthening Financial Controls
•New P.O. system provides real-time budget visibility
•Improved departmental accountability
•Utility billing procedures standardized to reduce risk •Focus on early intervention and consistency
Looking Ahead: Revenue
Sustainability
•Gas Station Development Agreement supports long-term revenue diversification (subject to market conditions)
•Anticipated sales tax and related revenues
•Reduces reliance on limited discretionary sources
•Supports service levels and infrastructure investment
What Comes Next
•Strategic planning to clarify priorities and tradeoffs •Completion of the fee study
•FY 2026–27 budget development
•Early Council policy direction will be critical