Agenda packet — San Luis Obispo City Council, October 15, 2024 (part 2 of 4)

City of San Luis Obispo
Mill Street Sewer Replacement Project
8 Unanticipated Discovery of Cultural Resources
In the event of an unanticipated discovery of cultural resources (prehistoric or historic), the archaeological monitor retains the authority to temporarily halt and redirect work until the resource(s) have been evaluated and the area cleared for construction activities to recommence.

The discovery will be secured with a Construction Exclusion Zone (CEZ) consistent with Section

4.40.3.2 of the ARPPG, and the City staff will be contacted consistent with Section 4.60.1 of the ARPPG. If the archaeological resource is prehistoric in nature, a local Native American group will be contacted by the City and given the opportunity to consult with the City regarding the find and provide recommendations. A Native American monitor will be retained by the Applicant for the remainder of earth disturbing activities should a prehistoric resource be found during construction (City of San Luis Obispo 2009). Recovery protocols in the case of a find are discussed in greater detail in Section 3 below.

Duration of Archaeological Monitoring
Monitoring shall continue during all ground disturbing activities in the designated archaeological sensitive areas, as described above, in accordance with Cultural Resources Mitigation Measure 2 of the 2007 IS-MND (City of San Luis Obispo 2007). If the Qualified Archaeologist, in coordination with the City (and Native American monitor if present), determines that ground-disturbing activities have extended outside of the designated archaeological sensitive areas, as described above, the monitoring may be reduced or eliminated. The Qualified Archaeologist will provide a written recommendation (via email or other method acceptable to the City) to reduce or eliminate the monitoring effort. Should the City accept the recommendation, the reduction or elimination will commence immediately upon approval.

Vibration Measures
In order to reduce project-generated vibration that has the potential to impact to historic-period buildings/structures adjacent to the project site during construction, the following measures should be implemented by the construction contractor:
▪ Construction activities involving the use of a vibratory roller within 37 feet of a nearby historic building/structure shall be conducted using a static/pneumatic roller in lieu of the vibratory roller.
▪ Construction activities involving the use of earthmoving equipment (excavator, backhoe, etc.) within 21 feet of a nearby historic building/structure shall be conducted with offroad equipment limited to 100 horsepower (hp) or less.

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City of San Luis Obispo
Mill Street Sewer Replacement Project
Cultural Resources Monitoring Plan 9
3 Archaeological Resources Discovery
Plan
The following outlines the procedures to be followed in the event of an inadvertent discovery of cultural resources, including human remains.

Discovery of Archaeological Resources
In accordance with Cultural Resources Mitigation Measure 2 of the 2007 IS-MND and the ARPPG, the procedure for appropriately evaluating unanticipated cultural resources encountered during construction will include, but not be limited to, the following:
• For the discovery of previously unknown archaeological resources (prehistoric or historic): The archaeological monitor will divert construction activity in the immediate vicinity of the find by signaling to construction staff and notifying the designated construction foreman. The archaeological monitor will report the discovery to the Qualified Archaeologist and the City’s construction inspector. The “immediate vicinity” will vary depending upon the nature of the discovery. A typical buffer for a new discovery is 50-100 feet, but will depend on the nature of the resource. If the archaeological resource is prehistoric in nature, a local Native American group will be contacted by the City to consult about the find, and a Native American monitor will be retained by the Applicant for the remainder of earth disturbing activities (City of San Luis Obispo 2009).
• Upon completion of the above notification, the archaeological monitor will determine the nature and extent of the archaeological remains and make a preliminary assessment of their integrity and potential importance. If the archaeological monitor determines that the discovery is not cultural, or is an isolated artifact (i.e., found by itself, not in association with any other cultural materials), the monitor will immediately notify the Qualified Archaeologist, the City, and construction superintendent that activities may resume as soon as the archaeological item(s) has been properly photographed and recorded (City of San Luis Obispo 2009).
• If potentially significant cultural features, artifact concentrations, or intact deposits are discovered, the archaeological monitor will divert construction activities away from the find and report the discovery to the Qualified Archaeologist, the City, and the construction superintendent, so that appropriate notifications to the City can be issued (City of San Luis Obispo 2009).
• A temporary CEZ, consisting of lath and flagging tape (or other appropriate materials), will be set up around the discovery. A radius of 50 feet may be established so that the resource may be evaluated. However, the size and shape of the CEZ may be reduced or expanded as the significance and extent of the find is determined and treatment measures are implemented, and for safety (City of San Luis Obispo 2009).
• A minimum 50-foot radius shall also be established for any suspected human remains (see Section 3.2 for further direction related to the discovery of human remains). Isolated artifacts shall be marked by an orange cone or flagging with no additional radius. The CEZ will not be removed until the potentially significant cultural resource has been evaluated to assess

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City of San Luis Obispo
Mill Street Sewer Replacement Project
10 whether it is considered a “historical resource,” pursuant to the California Environmental Quality Act (CCR, § 15064.5[a]). To minimize construction delays, if a potentially significant cultural resource is discovered during monitoring, the Qualified Archaeologist will immediately contact the City to formulate a plan for further treatment. If necessary, the evaluation may require archaeological testing for California Register of Historical Resources (CRHR) eligibility. If the discovery proves to be eligible for the CRHR and cannot be avoided by the project or redesign of the project, additional work, such as data recovery excavation, may be warranted to mitigate any significant impacts to historical resources (City of San Luis Obispo 2009).
• Archaeological resources (prehistoric or historic) identified within the project site shall be recorded according to current archaeological standards (California Office of Historic Preservation 1990) and in compliance with City Guidelines (City of San Luis Obispo 2009). This shall include the preparation of California Department of Parks and Recreation (DPR) Series 523 forms.
• Pertinent information concerning the resource(s) shall be recorded, including the site type, components, size, and provenience. Upon completion, the DPR forms shall be submitted to the CHRIS CCIC for primary number and trinomial designation. Final copies of the DPR forms shall be included in the final ACMR that shall be prepared as presented in Section 4.1 below. If the report discusses archaeological resources, it will be considered confidential (City of San Luis Obispo 2009).

Discovery of Human Remains
There is a possibility that the project’s construction-related activities may encounter human remains. Therefore, in accordance with Cultural Resources Mitigation Measure 2 of the 2007 ISMND and Section 4.40.3.3 of the ARPPG, and in compliance with existing regulations, if potential human bone or remains are discovered, ground-disturbing activities in the area of the discovery shall immediately be halted and redirected while a temporary CEZ surrounding the site of discovery is established to allow for further examination and treatment of the find (City of San Luis Obispo 2007, 2009). The City shall be immediately notified of the discovery of potential human remains. If the remains are positively identified as human, then the San Luis Obispo County Coroner shall be immediately notified by telephone, pursuant to Health and Safety Code 7050.5. By law, the Coroner will determine within 48 hours of being notified if the remains are subject to his or her authority. If the human remains are determined to be prehistoric, the Coroner will notify the Native American Heritage Commission, which will determine and notify a most likely descendant (MLD). The MLD shall complete the inspection of the site within 48 hours of being granted access and provide recommendations for the treatment of any human remains and artifacts associated with Native American burials.

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City of San Luis Obispo
Mill Street Sewer Replacement Project
Cultural Resources Monitoring Plan 11
4 Reporting of Monitoring Results and
Curation of Finds
Reporting of Archaeological Monitoring Results
At the conclusion of the monitoring effort, the ACMR will be prepared under the direction of the Qualified Archaeologist. The ACMR will outline the monitoring methods employed, describe the construction activity and duration, and present the results of the monitoring. The level of effort to complete the ACMR is dependent on the number of resources recovered during monitoring activities, if any. Should the monitoring effort be negative for the identification of cultural resources, a negative letter report shall be prepared. The letter report shall include, at a minimum, the dates of monitoring, activities conducted, personnel, and field logs (City of San Luis Obispo 2009).

If archaeological materials are identified, a comprehensive technical report will be prepared and describe and interpret findings and data, in accordance with the Archaeological Resources Management Reports (ARMR): Recommended Contents and Format and City Guidelines (California Office of Historic Preservation 1990; City of San Luis Obispo 2009). If required, the ACMR shall include a complete description of resources identified during monitoring, treatment of those resources, CRHR eligibility recommendations, site records, and site maps. If the report discusses archaeological resources, it will be considered confidential (City of San Luis Obispo 2009).

The final version of the ACMR shall be submitted to the City and the CHRIS CCIC.

Curation of Archaeological Finds
Recovered archaeological finds not associated with burials will be temporarily stored by the Qualified Archaeologist at a secured off-site laboratory, until an appropriate on-site reburial location not subject to future ground disturbance or curation at an appropriate repository is agreed upon by the City and’, interested Native American groups, and/or the MLD.

If the Qualified Archaeologist, in consultation with the interested Native American representative (if applicable), and the City, is unable to bury newly discovered isolated artifacts within the project boundaries, the Qualified Archaeologist will secure a written agreement with a recognized repository or comparable institution that meets the State of California Guidelines for the Curation of Archaeological Collections (NPS 1993) such as the Repository for Archaeological and Ethnographic Collections at the University of California, Santa Barbara, or San Luis Obispo County Archaeological Society (SLOCAS) Collections regarding the final disposition, permanent storage, and maintenance of any archaeological resources discovered during archaeological monitoring or any necessary archaeological testing and determined not to be ceremonial and/or Tribal artifacts.

Permanent treatment of human remains and associated funerary items shall be determined by the City in consultation with the MLD (City of San Luis Obispo 2009).

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City of San Luis Obispo
Mill Street Sewer Replacement Project
12 5 Contacts
City of San Luis Obispo Public Works
Hai Nguyen, Senior Engineer
Phone: 805-781-7108
Email: [email protected]
Rincon Cultural Resources Project Manager
Matt Gonzalez
Phone: 805-705-5513
Email: [email protected]
Rincon Principal Investigator/Qualified Archaeologist
Ken Victorino
Phone: 805-644-4455 x3032
Email: [email protected]
Rincon Cultural Resources Principal in Charge/Qualified Archaeologist Christopher Duran
Phone: (805) 947-4838 x22
Email: [email protected]
San Luis Obispo County Coroner
Ian Parkinson - Sheriff-Coroner
Phone: (805) 781-4513

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City of San Luis Obispo
Mill Street Sewer Replacement Project
Cultural Resources Monitoring Plan 13
6 References
California Office of Historic Preservation
1990 Archaeological Resource Management Reports (ARMR) Recommended Contents and Format. https://ohp.parks.ca.gov/pages/1069/files/armr-remediated.pdf , accessed July 2024.

City of San Luis Obispo
2007 Initial Study Environmental Checklist Form for ER 10-07 – Utility Trenching in Public Streets within Archaeologically Sensitive Areas, City of San Luis Obispo, 2007. 2009 Archaeological Resource Preservation Program Guidelines. https://www.slocity.org/home/showpublisheddocument/4140/635497649652000000, accessed July 2024.

Federal Transit Administration (FTA).
2018 Transit Noise and Vibration Impact Assessment. November. Available at:
https://www.transit.dot.gov/sites/fta.dot.gov/files/docs/researchinnovation/118131/transit-noise-and-vibration-impact-assessment-manual-fta-reportno-0123_0.pdf National Park Service
1983 Archaeology and Historic Preservation: Secretary of the Interior’s Standards and Guidelines. Washington, DC. https://www.nps.gov/history/local-law/arch_stnds_0.htm, accessed July 2024.
1993 State of California Guidelines for the Curation of Archaeological Collections. https://ohp.parks.ca.gov/pages/1069/files/guide-93.pdf, accessed July 2024.

Pritchard, Kyle and Josh Carman
2024 Vibration Assessment for the Mill Street Sewer Replacement Project, City of San Luis Obispo, California. July 22, 2024.

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City of San Luis Obispo
Mill Street Sewer Replacement Project
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Appendix A
Figures

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City of San Luis Obispo
Mill Street Sewer Replacement Project
1-0
Figure 1 Regional Location Map

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Figure 2 Aerial Map

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Rincon Consultants, Inc.
180 North Ashwood Avenue
Ventura, California 93003
805-644-4455
www.rinconcons ultants.com
July 22, 2024
Project No: 24-16377
Hai Nguyen, PE
Senior Engineer
City of San Luis Obispo, Public Works
919 Palm Street
San Luis Obispo, California 93401-3218
Via email: [email protected]
Subject: Vibration Assessment for the Mill Street Sewer Replacement Project City of San Luis Obispo, California
Dear Hai Nguyen:

Rincon Consultants, Inc. (Rincon) is pleased to provide this vibration assessment for the Mill Street Sewer Replacement Project (“project”) located in the City of San Luis Obispo, California. This analysis evaluates the potential for construction activities to generate levels of vibration which may cause damage to historic structures near the project site and provides recommendations to reduce potential construction vibration impacts.

Project Site and Existing Conditions
The project site is located in downtown San Luis Obispo, between the Old Garden/Brizzolara and San Luis Obispo Creeks, partially within the Downtown, Chinatown, and Mill Street Historic District boundaries. Figure 1 shows the project location in the context of an aerial view of the surrounding area.

Project Description
The project would involve the installation of approximately 0.75-miles of sewer lines in downtown San Luis Obispo. The sewer line would be installed within the rights-of-way (ROW) of Morro Street, Mill Street, Toro Street, and Santa Rosa Street, requiring excavation depths ranging between five and ten feet. Per information provided by the City, all work is expected to occur within the extents of the roadways and would not encroach upon the sidewalks.

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2 Figure 1 Project Location

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3 Overview of Vibration
Groundborne vibration of concern in environmental analysis consists of the oscillatory waves that move from a source through the ground to adjacent structures. The number of cycles per second of oscillation makes up the vibration frequency, described in terms of hertz (Hz). The frequency of a vibrating object describes how rapidly it oscillates. The normal frequency range of most groundborne vibration that can be felt by the human body ranges between less than 1 Hz to 200 Hz (Crocker 2007).

While people have varying sensitivities to vibrations at different frequencies, in general they are most sensitive to low-frequency vibration. Vibration in buildings, such as that from nearby construction activities, may cause windows, items on shelves, and pictures on walls to rattle. Vibration of building components can also take the form of an audible low-frequency rumbling noise, referred to as groundborne noise. Groundborne noise is usually only a problem when the originating vibration spectrum is dominated by frequencies in the upper end of the range (60 to 200 Hz), or when foundations or utilities, such as sewer and water pipes, physically connect the structure and the vibration source (Federal Transit Administration [FTA] 2018). Although groundborne vibration is sometimes noticeable in outdoor environments, it is almost never annoying to people who are outdoors. The primary concern of vibration is that it can be intrusive and annoying to building occupants and vibration-sensitive land uses. In cases of fragile or historic structures which are more sensitive to vibration, excessive vibration may cause physical damage.

Vibration energy spreads out as it travels through the ground, causing the vibration level to diminish with distance away from the source. High-frequency vibrations diminish much more rapidly than low frequencies, so low frequencies tend to dominate the spectrum at large distances from the source.

Discontinuities in the soil strata can also cause diffractions or channeling effects that affect the propagation of vibration over long distances (Caltrans 2020). When a building is impacted by vibration, a ground-to-foundation coupling loss will usually reduce the overall vibration level. However, under rare circumstances, the ground-to-foundation coupling may actually amplify the vibration level due to structural resonances of the floors and walls.

Vibration amplitudes are usually expressed in peak particle velocity (PPV), or root mean squared (RMS) vibration velocity. The PPV and RMS velocity are normally described in inches per second (in/sec). PPV is defined as the maximum instantaneous positive or negative peak of a vibration signal. PPV is often used in monitoring of blasting vibration because it is related to the stresses that are experienced by buildings (Caltrans 2020).

Sensitive Receptors
Vibration-sensitive receptors typically include uses where vibration would be considered disruptive to the intended use, such as residences, schools, churches, and hospitals. Vibration-sensitive receptors may also include buildings with vibration-sensitive equipment (e.g., medical facilities with sensitive laboratory equipment, recording studios) which may be affected or damaged by excessive levels of vibration. In addition, fragile or historic-era structures are considered vibration-sensitive receptors due to their increased sensitivity to vibration, which may cause damage and degradation.

The project is located within downtown San Luis Obispo, partially within the Downtown, Chinatown, and Mill Street Historic District boundaries, and within an area designated as archaeologically sensitive. Therefore, vibration-sensitive receptors include various historic structures along the project route which may be subjected to excessive vibration impacts during construction. Based on the site plan, these structures are located as close as 14 feet of the proposed construction work area.

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4 Regulatory Setting and Significance Thresholds
The City has not adopted quantitative thresholds to assess vibration impacts during construction or operational activities. Therefore, the vibration impact assessment criteria outlined in the FTA’s Transit Noise and Vibration Impact Assessment Manual (FTA 2018) were used to evaluate potential construction vibration impacts to nearby sensitive historical receptors in the vicinity of the project site.

These criteria are shown in Table 1.

Table 1 FTA Criteria for Vibration Damage Potential
Building Category PPV (in/sec)
I. Reinforced concrete, steel, or timber (no plaster) 0.5 II. Engineered concrete and masonry (no plaster) 0.3
III. Nonengineered timber and masonry buildings 0.2
IV. Buildings extremely susceptible to vibration damage 0.12 in/sec = inches per second; PPV = peak particle velocity Source: FTA 2018
As shown in Table 1, vibration impacts would be considered significant if vibration levels at surrounding historical structures were to exceed 0.12 in/sec PPV, which is the limit where vibration levels may cause damage to fragile or historic buildings. To present a conservative analysis of potential impacts, all buildings in the vicinity of the project site are considered potentially historic, especially those within the Downtown, Chinatown, and Mill Street Historic District boundaries, and were evaluated to the 0.12 in/sec PPV threshold.

Impact Analysis
Methodology
Vibration impacts associated with the project were determined based on the construction equipment list specified by the City and typical vibration levels for construction equipment reported by the FTA in the Transit Noise and Vibration Impact Assessment Manual (FTA 2018). During construction, the following equipment would be used: excavator, backhoe, jumping jacks, roller, dump trailer, and a jackhammer. Of this equipment list, a roller (assumed to be a vibratory roller) and large earthmoving equipment (such as an excavator and backhoe) would produce the highest vibration levels. Typical vibration levels produced by these equipment types at a reference distance of 25 feet are shown in Table 2.

Table 2 Typical Vibration Levels Produced by Construction Equipment Equipment PPV at 25 ft. (in/sec)
Vibratory Roller 0.21
Large Earthmoving Equipment
(Excavator, Backhoe)

0.089
PPV = peak particle velocity, in/sec = inches per second Source: FTA 2018
Vibration Impacts
As described above, the primary sources of vibration during construction of the project would include vibratory rollers and large earthmoving equipment, which would be used as close as approximately 14

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5 feet of nearby buildings along the project route. At this distance, vibratory rollers would generate a vibration level of approximately 0.560 in/sec PPV, while large earthmoving equipment would generate a vibration level of 0.237 in/sec PPV. At these closest distances, both equipment types could produce levels of vibration at nearby sensitive structures that exceed the FTA’s thresholds. Vibration reduction measures are recommended below to reduce construction vibration levels below the FTA vibration criteria.

Vibration Reduction Measures
In order to reduce project-generated vibration during construction, the following measures shall be implemented by the construction contractor:
• Construction activities involving the use of a roller within 37 feet of a nearby historic building/structure shall be conducted using a static/pneumatic roller in lieu of a vibratory roller. • Construction activities involving the use of earthmoving equipment (excavator, backhoe, etc.) within 21 feet of a nearby historic building/structure shall be conducted with offroad equipment limited to 100 horsepower (hp) or less.

Implementation of the above mitigation measures would reduce vibration produced by rollers and earthmoving equipment to levels below the FTA’s limit of 0.12 in/sec PPV for potential architectural damage to historic buildings/structures. Use of a static/pneumatic roller would reduce vibration levels to 0.119 in/sec PPV at 14 feet away. Similarly, use of small offroad equipment rated at 100 hp or less would reduce vibration levels to 0.007 in/sec PPV at 14 feet away. Therefore, vibration impacts to sensitive buildings/structures in the vicinity of the project site would be below the limits established by the FTA for potential architectural damage to fragile and historic buildings/structures.

Conclusion
Vibration generated during construction of the project would not exceed applicable vibration limits as long as the Vibration Reduction Measures are implemented: all construction activities utilizing a roller within 37 feet of a nearby historic building/structure shall be conducted using a static/pneumatic roller (in lieu of a vibratory roller) and all construction activities utilizing earthmoving equipment (excavator, backhoe, etc.) within 21 feet of a nearby historic building/structure shall be conducted using offroad equipment limited to 100 hp or less. Incorporation of these Vibration Reduction Measures would reduce vibration produced during construction to levels below the FTA’s limits for architectural damage to fragile and historic buildings/structures.

Sincerely,
Rincon Consultants, Inc.

Kyle Pritchard Josh Carman, INCE
Noise Specialist Director of Technical Services

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6 References
California Department of Transportation (Caltrans). 2020. Transportation and Construction Vibration Guidance Manual. Available at: https://dot.ca.gov/-/media/dotmedia/programs/environmental-analysis/documents/env/tcvgm-apr2020-a11y.pdf Crocker, Malcom J. (Editor). 2007. Handbook of Noise and Vibration Control Book, ISBN: 978-0-471- 39599-7, Wiley-VCH. October.

Federal Transit Administration (FTA). 2018. Transit Noise and Vibration Impact Assessment.

November. Available at: https://www.transit.dot.gov/sites/fta.dot.gov/files/docs/researchinnovation/118131/transit-noise-and-vibration-impact-assessment-manual-fta-report-no0123_0.pdf

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APPENDIX

APPENDIX
4 APPENDIX C – GEOTECHNICAL REPORTS

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SUBSURFACE DATA REPORT

CITY OF SAN LUIS OBISPO
2024 SEWER UPGRADES

MILL STREET, ISLAY STREET, SIERRA WAY

SAN LUIS OBISPO, CALIFORNIA
April 5, 2024
Prepared for
Ms. Hai Nguyen
City of San Luis Obispo
Prepared by
Earth Systems Pacific
4378 Old Santa Fe Road
San Luis Obispo, CA 93401
Copyright © 2024

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April 5, 2024
FILE NO.: 306551-001
Mr. Hai Nguyen
City of San Luis Obispo
919 Palm Street
San Luis Obispo, CA 93401
PROJECT: CITY OF SAN LUIS OBISPO, 2024 SEWER UPGRADES

MILL STREET, ISLAY STREET, AND SIERRA WAY

SAN LUIS OBISPO, CALIFORNIA
SUBJECT: Geotechnical Engineering Report

CONTRACT
REF: Earth Systems Pacific Proposal for Subsurface Exploration and Data Report, City of San Luis Obispo 2024 Sewer Replacement Projects, Mill Street, Islay Street, and Sierra Way, San Luis Obispo, California, dated February 8, 2024, Doc. No. SLO-2402-024.PRP
Dear Mr. Nguyen:

As per your authorization of the referenced proposal, this subsurface data report has been prepared for use in the development of plans and specifications for the proposed City of San Luis Obispo, 2024 Sewer Upgrades project in San Luis Obispo, California. Subsurface characterization and recommendations for trench backfill and observation and testing are presented herein. One bound copy and an electronic copy of this report are furnished for your use.

We appreciate the opportunity to have provided services for this project and look forward to working with you again in the future. If there are any questions concerning this report, please do not hesitate to contact the undersigned.

Sincerely,
Earth Systems Pacific
Robert Down, PE Samuel Venable, PE
Principal Engineer Staff Engineer
Doc. No.: 2403-051.SER/cr

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iii
Table of Contents
COVER LETTER................................................................................................................ii

1.0 INTRODUCTION AND SITE SETTING .............................................................................. 1

2.0 SCOPE OF SERVICES ...................................................................................................... 1

3.0 FIELD INVESTIGATION................................................................................................... 2

4.0 GENERAL SUBSURFACE ................................................................................................. 3

5.0 CONCLUSIONS............................................................................................................... 4

6.0 GEOTECHNICAL RECOMMENDATIONS ......................................................................... 4 Trench Backfill............................................................................................................... 5 Observation and Testing............................................................................................... 5

7.0 CLOSURE........................................................................................................................ 7 TECHNICAL REFERENCES........................................................................................................... 8

APPENDICES
APPENDIX A Figure 1 - Site Vicinity Map
Figure 2 - Exploration Location Maps
Boring Log Legend
Boring Logs
APPENDIX B Laboratory Test Results

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City of San Luis Obispo, 2024 Sewer Upgrades April 5, 2024 San Luis Obispo, California
306551-001 1 2403-051.SER

1.0 INTRODUCTION AND SITE SETTING
The proposed project will consist of the construction of a new sewer line to be installed on Morro Steet, Mill Street, Toro Street, Santa Rosa Street, Islay Street, Chorro Street, Leff Street, Henry Street, George Street, Ella Street, Sierra Way, and Bishop Street in San Luis Obispo, California (see Figure 1 – Site Vicinity Map in Appendix A). Based on our discussions, we understand that the installation of the new sewer line will be by open trench installation.

2.0 SCOPE OF SERVICES
The authorized scope of work included a general site reconnaissance, field exploration, geotechnical analysis of the data gathered, and preparation of this report. The analysis and subsequent recommendations were based on verbal information and a general project location plan provided by the client.

This report and recommendations are intended to comply with the considerations of Sections 1803.1 through 1803.6, J104.3 and J104.4, as applicable, of the 2022 California Building Code (CBC) and common geotechnical engineering practice in this area under similar conditions at this time. The test procedures were accomplished in general conformance with the standards noted, as modified by common geotechnical engineering practice in this area under similar conditions at this time.

Preliminary geotechnical engineering recommendations for trench backfill and observation and testing are presented to guide the development of project plans and specifications. As there may be geotechnical issues yet to be resolved, the geotechnical engineer should be retained to provide consultation as the design progresses. It may also be advantageous to retain the geotechnical engineer to review project plans as they near completion to assist in verifying that pertinent geotechnical issues have been addressed and to aid in conformance with the intent of this report.

It is our intent that this report be used exclusively by the client to form the geotechnical basis of the design of the project and in the preparation of plans and specifications. Application beyond this intent is strictly at the user’s risk.

This report does not address issues in the domain of contractors such as, but not limited to, site safety, loss of volume due to stripping of the site, shrinkage of soils during compaction, excavatability, dewatering, temporary slope angles, construction means and methods, etc.

Analyses of aerial or site geology, or of the soil for corrosivity, radioisotopes, asbestos (either

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306551-001 2 2403-051.SER
naturally occurring or in man-made products), lead or mold potential, hydrocarbons, or chemical properties is beyond the scope of this report. Any ancillary features such as flag or light poles, temporary access roads, non-structural fills, pipeline design, and retaining walls are not within our scope and are also not addressed. Design and/or suitability of LID features such as retention basins, bio swales, or other improvements are also beyond our scope.

In the event that there are any changes in the nature, design, or location of improvements, or if any assumptions used in the preparation of this report prove to be incorrect, the conclusions and recommendations contained in this report shall not be considered valid unless the changes are reviewed and the conclusions of this report modified or verified by the geotechnical engineer in writing. The criteria presented in this report are considered preliminary until such time as any peer review or review by any jurisdiction has been completed, conditions have been observed by the geotechnical engineer in the field during construction, and the recommendations have been verified as appropriate, or modified by the geotechnical engineer in writing.

3.0 FIELD INVESTIGATION
Fourteen exploratory borings were drilled at the site on February 28, 2024 through March 1, 2024 to depths of 10.0 feet and 16.0 feet below the ground surface (bgs). The borings were drilled with a truck-mounted Gtech GT8 drill rig equipped with a 6-inch outside diameter hollow stem auger and an automatic hammer for sampling. As the borings were advanced, soil samples were obtained using a 3-inch outside diameter lined barrelsampled (ASTM D 3550-17 with shoe similar to ASTM D 2937-17) and a standard penetrometer (ASTM D 1586). Bulk samples were also obtained from the auger cuttings. The approximate locations of the borings are shown on Figure 2 – Exploration Location Map in Appendix A.

Soils encountered in the borings were categorized and logged in general accordance with the Unified Soil Classification System and ASTM D 2488-17. Logs of the borings are presented in Appendix A, along with a Boring Log Legend. In reviewing the boring logs and legend, the reader should recognize that the legend is intended as a guideline only, and there are a number of conditions that may influence the characteristics observed during drilling. These include, but are not limited to, the presence of cobbles or boulders, cementation, variations in soil moisture, presence of groundwater, and other factors. Consequently, the logger must exercise judgment in interpreting soil and bedrock characteristics, possibly resulting in soil descriptions that vary from the legend. It should be noted that the descriptions of bedrock must span a much wider range of density and strength characteristics than soil and are relative to other bedrock strata.

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306551-001 3 2403-051.SER
For example, fractured and weathered bedrock may be described as “soft”, yet will be considerably harder than almost any type of soil. Conversely, a clay soil may be described as “hard”, however it will not be nearly as hard as “soft” bedrock.

Selected samples were tested in our laboratory to determine the bulk density (ASTM D 2937-17, as modified for ring liners), moisture content (ASTM D 2216-10), maximum density and optimum moisture content (ASTM D 1557-12, modified), and grain size distribution (sieve per ASTM D 422- 63/07; D1140-17). The laboratory test results are presented in Appendix B.

4.0 GENERAL SUBSURFACE
Throughout the exploration, the subsurface profiles varied by location. In Borings 1, 2, 6, and 9- 14, the subsurface profile consisted of alluvium overlying bedrock of the Franciscan Mélange Formation, which was encountered at depths ranging from 2.5 feet to 5.5 feet bgs with the exception of Boring 7 in which bedrock was encountered at 10 feet bgs. In Borings 3-5, 7, and 8, the profiles consisted of alluvium to the depth explored of 10 feet bgs. Residual soils were encountered in Borings 3 and 6 at a depth of 7.5 feet bgs.

Alluvial soils consisted of sandy lean clay, sandy lean clay with gravel, lean clay, clayey gravel with sand, and poorly graded sand with gravel. The clay had a medium stiff to very stiff consistency, and the sand and gravel were medium dense to very dense. Residual soils consisted of medium dense clayey sand and soft sandy lean clay. Residual and alluvial soils were logged as moist to very moist.

The Franciscan Mélange Formation bedrock was predominantly sandstone, although metavolcanic rock was encountered in Boring 6. Bedrock hardness varied from very soft to moderately hard, and the rock was moderately weathered or highly weathered. Subsurface groundwater was only encountered in Boring 14 at 3 feet bgs.

Pavement sections of the existing roadways varied by location. Thickness of the asphaltic concrete ranged from 2 inches to 9.5 inches, and aggregate base material ranged from 2 inches to 10 inches. Fabric was periodically encountered in the sections. On Mill Street in Boring 5, a 5- inch thick concrete section was found to underly the asphaltic concrete.

Please refer to the boring logs in Appendix A for a more complete description of the subsurface conditions encountered at the site.

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City of San Luis Obispo, 2024 Sewer Upgrades April 5, 2024 San Luis Obispo, California
306551-001 4 2403-051.SER

5.0 CONCLUSIONS
In our opinion, the site is suitable, from a geotechnical engineering standpoint, for the proposed project, provided the recommendations contained herein are implemented in the design and construction. The new sewer line is planned to be installed using open trench methods. From a geotechnical standpoint, the primary concern at the site is the potential for variable soil and bedrock conditions to impact the excavations. Based on the subsurface data, stiff sandy lean clay will be the predominant soil type encountered during excavation to overly the bedrock, although medium dense sands or soft clays may also be encountered, such as the residual soils encountered below Santa Rosa Street and Chorro Street, respectively. Gravels and cobbles may also be encountered such as the gravel found below Santa Rosa Street, Mill Street, and Chorro Street in Borings 3, 5, and 6, respectively. Bedrock hardness will vary considerably. For example during the subsurface exploration, very soft sandstone was encountered underlying Bishop Street while moderately hard sandstone was encountered below Sierra Way. For the purposes of preliminary planning and estimating of shoring or temporary excavation slopes, the alluvial and residual soils should be considered to be Type C soil, as defined by the California Division of Occupational Safety and Health (CALOSHA). Bedrock will also be encountered during excavation.

Due to the variable conditions of hardness and weathering, rock materials should be considered to be Type B or C soil, as defined by CALOSHA, depending upon the jointing, fracturing, and dip.

The contractor is responsible for all aspects of construction safety. Accordingly, the contractor’s “Competent Person” will need to perform his/her own evaluation of the soil types and appropriate sloping and/or shoring measures.

6.0 GEOTECHNICAL RECOMMENDATIONS
These recommendations are applicable for the improvements as described in the “Introduction and Site Setting” Section of this report. If other improvements not previously mentioned are included, the geotechnical engineer should be contacted for revised recommendations. Unless otherwise noted, the following definitions are used in the recommendations presented below.

Where terms are not defined, definitions commonly used in the construction industry are intended.
• Moisture Conditioned: Soil moisture content adjusted to just above optimum moisture content prior to application of compactive effort.
• Compacted / Recompacted: Soils placed in level lifts not exceeding 8 inches in loose thickness and compacted to a minimum of 90 percent of maximum dry density; however, 95 percent should be achieved in the upper 12 inches of subgrade in areas to be paved,

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City of San Luis Obispo, 2024 Sewer Upgrades April 5, 2024 San Luis Obispo, California
306551-001 5 2403-051.SER
and in all aggregate base. The standard tests used to establish maximum dry density and filed density should be ASTM D 1557-12 and ASTM D 6938-17, respectively, or other methods acceptable to the geotechnical engineer and jurisdiction.

Trench Backfill

1. Trench backfill can be performed with the excavated soils recompacted to a minimum of 90 percent of maximum dry density; however, 95 percent should be achieved in the upper 12 inches of subgrade in areas to be paved, and in all aggregate base. Backfill should be moisture conditioned to optimum moisture content, or just above, prior to application of compactive effort. The backfill should be placed in level lifts not exceeding 8 inches in loose thickness and compacted to the minimums recommended above.

2. All materials used as fill should be cleaned of all debris and any rocks larger than 3 inches in the maximum dimension. When fill material includes rock, the rocks should be placed in a sufficient soil matric to ensure that voids caused by nesting of the rock will not occur and the fill can be properly compacted.

3. The recommendations of this section are minimums only and may be superseded by the requirements of the architect/engineer, the recommendations of pipe manufacturers or utility companies, or the requirements of the governing jurisdiction based upon soil corrosivity or other factors.

Observation and Testing

1. It must be recognized that the recommendations contained in this report are based on a limited number of borings and rely on continuity of the subsurface conditions encountered. Therefore, the geotechnical engineer should be retained to provide consultation during the design phase, to review plans as they near completion, to interpret this report during construction, and to provide construction monitoring in the form of testing and observation.

2. At a minimum, the geotechnical engineer should be retained to provide:
• Review of final plans
• Professional observation during trench backfill
• Oversight of soil special inspection during trench backfill

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City of San Luis Obispo, 2024 Sewer Upgrades April 5, 2024 San Luis Obispo, California
306551-001 6 2403-051.SER

3. Backfill and compaction of excavations and trench should be considered to fall under Section 1705.6 “Soils” of the 2022 CBC. Special inspection of backfill should be provided as per Section 1705.6 and Table 1705.6 of the 2022 CBC. The special inspector should be under the direction of the geotechnical engineer.

4. It is our opinion that none of the grading construction is of a nature that should warrant continuous special inspection; periodic special inspection should suffice assuming the work is monitored by a County of San Luis Obispo Public Works Inspector. Subject to approval by the Building Official, the exception to continuous special inspection is described in Section 1704.2 of the 2022 CBC and should be specified by the architect/engineer and periodic special inspection of the following items should be provided by the special inspector:
• Verify use of proper materials, densities and lift thicknesses during placement and compaction of compacted fill

5. A program of quality assurance should be developed prior to beginning construction. At a minimum, the program should include all geotechnical items shown on the testing and inspection schedule of the approved plans. Itshould also include any additional inspection items required by the engineer and/or the governing jurisdiction.

6. Locations and frequency of compaction tests should be per the recommendation of the geotechnical engineer at the time of construction. The recommended test location and frequency may be subject to modification by the geotechnical engineer, based upon soil and moisture conditions encountered,size and type of equipment used by the contractor, the general trend of the results of compaction tests, or other factors.

7. A preconstruction conference among the owner, the geotechnical engineer, the governing agency, the special inspector, the project inspector, the architect/engineer, and contractors is recommended to discuss planned construction procedures and quality control requirements.

8. The geotechnical engineer should be notified at least 48 hours prior to beginning construction operations. If Earth Systems Pacific is not retained to provide construction observation and testing services, it shall not be responsible for the interpretation of the information by others or any consequences arising therefrom.

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City of San Luis Obispo, 2024 Sewer Upgrades April 5, 2024 San Luis Obispo, California
306551-001 7 2403-051.SER

7.0 CLOSURE
Our intent wasto perform the investigation in a manner consistent with the level of care and skill ordinarily exercised by members of the profession currently practicing in the locality of this project under similar conditions. No representation, warranty, or guarantee is either expressed or implied. This report is intended for the exclusive use by the client as discussed in the “Scope of Services” Section. Application beyond the stated intent is strictly at the user's risk.

Thisreport is valid for conditions asthey exist at thistime forthe type of project described herein.

The conclusions and recommendations contained in this report could be rendered invalid, either in whole or in part, due to changes in building codes, regulations, standards of geotechnical or construction practice, changes in physical conditions, or the broadening of knowledge.

If changes with respect to the project become necessary, if items not addressed in this report are incorporated into plans, or if any of the assumptions used in the preparation of this report are not correct, this firm shall be notified for modifications to this report. Any items not specifically addressed in this report should comply with the CBC of other applicable standards, and the requirements of the governing jurisdiction.

The recommendations presented in this geotechnical report are based upon the geotechnical conditions encountered at the site and may be augmented by additional requirements of the client, or by additional recommendations provided by the geotechnical engineer based on peer or jurisdiction reviews, or conditions exposed at the time of construction. If Earth Systems Pacific is not retained to provide construction observation and testing services, it shall not be responsible for the interpretation of the information by others or any consequences arising therefrom.

This document, the data, conclusions, and recommendations contained herein are the property of Earth Systems Pacific. This report shall be used in its entirety, with no individual sections reproduced or used out of context. Copies may be made only by Earth Systems Pacific, the client, and the client’s authorized agents for use exclusively on the subject project. Any other use is subject to federal copyright laws and the written approval of Earth Systems Pacific.

Thank you for this opportunity to have been ofservice. If you have any questions, please feel free to contact this office at your convenience.

End of Text.

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City of San Luis Obispo, 2024 Sewer Upgrades April 5, 2024 San Luis Obispo, California
306551-001 8 2403-051.SER

TECHNICAL REFERENCES
California Building Code. 2022. California Code of Regulations, Title 24, Part 2.

Google Earth. 2024. Google Earth [website], retrieved from http://www.google.com/earth/index.html

Page 200 of 566 ends

APPENDIX A
Figure 1 - Site Vicinity Map
Figure 2 - Exploration Location Map
Boring Log Legend
Boring Log

Page 201 of 566 ends

Earth Systems Pacific
4378 Old Santa Fe Road, San Luis Obispo, CA 93401
www.earthsystems.com
(805) 544-3276 Fax (805) 544-1786 NOT TO SCALE BASE MAP PROVIDED BY: Google Earth (2024) Date March 2024 Project No. 306551-001 Figure 1 SITE VICINITY MAP City of San Luis Obispo, 2024 Sewer Upgrades Mill Street, Islay Street, and Sierra Way San Luis Obispo, California SITE Page 202 of 566 NOT TO SCALE Earth Systems Pacific
4378 Old Santa Fe Road, San Luis Obispo, CA 93401
www.earthsystems.com
(805) 544-3276 Fax (805) 544-1786 Date March 2024 Project No. 306551-001 Figure 2 EXPLORATION LOCATION MAP City of San Luis Obispo, 2024 Sewer Upgrades Mill Street, Islay Street, and Sierra Way San Luis Obispo, California BASE MAP PROVIDED BY: City of San Luis Obispo (2024) LEGEND Boring Location (Approx.) B14 B2 B1 B3 B4 B5 B6 B7 B8 B9 B10 B11 B12 B13 B14 Page 203 of 566

Page 204 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

SOIL DESCRIPTION
Earth Systems Pacific
LEGEND: Ring Sample Grab Sample Shelby Tube Sample SPT
NOTE: This log of subsurface conditions is a simplification of actual conditions encountered. It applies at the location and time of drilling.

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable
CLAYEY SAND: brown, dense, moist (Fill)

2.5 - 5.0
End of Boring @ 11.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 1
JOB NO.: 306551-001
DATE: 2/29/2024

5.0 - 6.5 42
50/5"
City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California
4" AC / 8" AB
SC
18 10.0 - 11.5 16
17 13
SANDSTONE: pale olive brown with brown
mottling, very soft, moderately weathered
(Franciscan Melange)

Page 205 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

1.0 - 3.0
End of Boring @ 11.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 2
JOB NO.: 306551-001
DATE: 2/29/2024

5.0 - 6.5 29
50/5"
City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California

9.5" AC / 5" AB
14 10.0 - 11.5 22
32 14
SANDSTONE: brown to very dark brown,
moderately hard, moderately weathered
(Franciscan Melange)
SANDY LEAN CLAY: very dark brown, stiff, moist
(Alluvium)
SC

Page 206 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

1.0 - 5.0
End of Boring @ 11.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 3
JOB NO.: 306551-001
DATE: 3/1/2024

5.0 - 6.5 16
23 City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California
7" AC / 10" AB
15 10.0 - 11.5 15
20 7
SANDY LEAN CLAY: brown, stiff, moist (Alluvium)
CLAYEY GRAVEL WITH SAND: brown, medium
dense, moist
CLAYEY SAND: light brown, medium dense,
moist (Residual Soil)
SC
GC
SC

Page 207 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

1.0 - 5.0
110.4 17.5
End of Boring @ 11.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 4
JOB NO.: 306551-001
DATE: 2/29/2024

5.0 - 6.5 13
18 City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California

24.4 4" AC / 2" AB with fabric
8 10.0 - 11.5 14
19 7
SANDY LEAN CLAY: brown, very stiff, moist
(Alluvium)
SC
very moist

Page 208 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

1.0 - 4.0

23.2 End of Boring @ 11.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 5
JOB NO.: 306551-001
DATE: 2/29/2024

5.0 - 6.5 18
19 City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California

11.9 2" AC / 5" Concrete / 2" AB
17 10.0 - 11.5 20
17 10
SANDY LEAN CLAY WITH GRAVEL: brown, very
stiff, moist (Alluvium)
CL
CLAYEY GRAVEL WITH SAND: yellowish brown,
medium dense, very moist
GC
moist

Page 209 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

1.0 - 4.0

95.5 27.3
End of Boring @ 11.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 6
JOB NO.: 306551-001
DATE: 2/29/2024

5.0 - 6.5 50/5"
City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California
7" AC / 2" AB
24 10.0 - 11.5 40
50/3"
13 SANDY LEAN CLAY: yellowish brown, very stiff,
moist (Alluvium)
CL
CLAYEY GRAVEL WITH SAND: yellowish brown,
very dense, very moist
GC
SANDY LEAN CLAY: dark grayish green, soft,
very moist (Residual Soil)
CL
METAVOLCANIC ROCK: light grayish green,
moderately hard, highly weathered (Franciscan
Melange)

Page 210 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

1.0 - 5.0
112.0 9.0
End of Boring @ 11.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 7
JOB NO.: 306551-001
DATE: 2/29/2024

5.0 - 6.5 5
6 City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California
5" AC / 6" AB
2 10.0 - 11.5 8
13 4
SANDY LEAN CLAY: dark brown, very stiff, moist
(Alluvium)
CL
CL
medium stiff, sand content increase
LEAN CLAY: dark brown, stiff, very moist, trace
sand

23.1

Page 211 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

0.5 - 5.0
116.3 15.1
End of Boring @ 11.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 8
JOB NO.: 306551-001
DATE: 2/28/2024

5.0 - 6.5 13
18 City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California
7" AC
5 10.0 - 11.5 12
19 6
SANDY LEAN CLAY: dark brown, stiff, moist
(Alluvium)
CL
CL
POORLY GRADED SAND WITH GRAVEL: dark
yellowish brown, medium dense, moist
very stiff, sand content decrease
SANDY LEAN CLAY: very dark brown, stiff, moist
SP

17.2

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DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

1.0 - 4.0
End of Boring @ 11.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 9
JOB NO.: 306551-001
DATE: 2/28/2024

5.0 - 6.5 15
19 City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California

9.5" AC / 5" AB
9 10.0 - 11.5 20
26 15
SANDY LEAN CLAY: dark brown, stiff, moist
(Alluvium)
CL
SANDSTONE: pale olive brown, very soft, highly
weathered (Franciscan Melange)

Page 213 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

1.0 - 4.0
End of Boring @ 11.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 10
JOB NO.: 306551-001
DATE: 2/28/2024

5.0 - 6.5 50/5"
City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California
8" AC / 5" AB with fabric
12 10.0 - 11.5 18
19 10
SANDY LEAN CLAY: very dark brown, stiff, moist
(Alluvium)
CL
SANDSTONE: pale olive brown, soft, moderately
weathered (Franciscan Melange)

Page 214 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

0.5 - 3.5
End of Boring @ 11.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 11
JOB NO.: 306551-001
DATE: 2/28/2024

5.0 - 6.5 13
City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California

3.5" AC / 3" AB
4 10.0 - 11.5 23
31 SANDY LEAN CLAY: very dark brown, stiff, moist
(Alluvium)
CL
SANDSTONE:olive brown, soft, moderately
weathered (Franciscan Melange)
50/2"
21

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DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

0.5 - 5.0
End of Boring @ 16.5'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 12
JOB NO.: 306551-001
DATE: 3/1/2024

5.0 - 6.5 50/5"
City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California
8" AC / 2" AB
19 10.0 - 11.5 50/3"
35 CL SANDY LEAN CLAY: brown, stiff, moist (Alluvium)
SANDSTONE: yellowish brown to very dark
brown, moderately hard, moderately weathered
(Franciscan Melange)

15.0 - 16.5
50/5"

Page 216 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

0.5 - 5.0
End of Boring @ 15.0'
No subsurface water encountered
PAGE 1 OF 1
Boring No. 13
JOB NO.: 306551-001
DATE: 3/1/2024

5.0 - 6.5 50/5"
City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California
6" AC / 2" AB
21 10.0 - 11.5 50/5"
30 SANDY LEAN CLAY: light brown, stiff, moist
(Alluvium)
CL
SANDSTONE: yellowish brown to dark grayish
brown, moderately hard, moderately weathered
(Franciscan Melange)

15.0 - 16.5
50/1"
pale grayish brown

NO RECOVERY

Page 217 of 566 ends

DEPTH (feet) USCS CLASS SYMBOL INTERVAL (feet) SAMPLE TYPE DRY DENSITY (pcf) MOISTURE (%) BLOWS PER 6 IN.

SAMPLE DATA

Subsurface conditions may differ at other locations and times.

AUGER TYPE: 6" Hollow Stem
DRILL RIG: GTech GT8 with Automatic Hammer
LOGGED BY: S. Venable

1.0 - 3.0
End of Boring @ 10.5'
Perched subsurface water encountered @ 3.0'
PAGE 1 OF 1
Boring No. 14
JOB NO.: 306551-001
DATE: 2/28/2024

5.0 - 6.5 8
City of San Luis Obispo, 2024 Sewer Upgrades
Mill Street, Islay Street, and Sierra Way
San Luis Obispo, California
8" AC / 4" AB
6 10.0 - 11.5
50/4"
SANDY LEAN CLAY: dark brown, stiff, moist
(Alluvium)
CL
SANDSTONE: olive brown, very soft, moderately
weathered (Franciscan Melange)
16 moderately hard

Page 218 of 566 ends

APPENDIX B
Laboratory Test Results

Page 219 of 566 ends

City of San Luis Obispo 306551-001
2024 Sewer Upgrades
BULK DENSITY TEST RESULTS ASTM D 2937-17 (modified for ring liners) March 14, 2024

BORING DEPTH MOISTURE WET DRY
NO. feet CONTENT, % DENSITY, pcf DENSITY, pcf
4 5.0 - 5.5 17.5 129.7 110.4
4 10.0 - 10.5 24.4 --- ---
5 5.0 - 5.5 23.2 --- ---
5 10.0 - 10.5 11.9 --- ---
6 5.0 - 5.5 27.3 121.5 95.5
7 5.0 - 5.5 9.0 122.1 112.0
7 10.0 - 10.5 23.1 --- ---
8 5.0 - 5.5 15.1 133.8 116.3
8 10.0 - 10.5 17.2 --- ---

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City of San Luis Obispo 306551-001
2024 Sewer Upgrades
MOISTURE-DENSITY COMPACTION TEST ASTM D 1557-12 (Modified) PROCEDURE USED: A March 14, 2024
PREPARATION METHOD: Moist Boring #8 @ 0.0 - 5.0'
RAMMER TYPE: Mechanical Brown Sandy Lean Clay (CL)
SPECIFIC GRAVITY: 2.70 (assumed)
SIEVE DATA: MAXIMUM DRY DENSITY: 117.9 pcf
Sieve Size % Retained (Cumulative) OPTIMUM MOISTURE: 13.5% 3/4" 0
3/8" 0 ENTER OVERSIZE CORRECTION DATA
#4 2
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
130
131
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 DRY DENSITY, pcf MOISTURE CONTENT, percent
Compaction Curve Zero Air Voids Curve

Page 221 of 566 ends

City of San Luis Obispo 306551-001
2024 Sewer Upgrades
PARTICLE SIZE ANALYSIS ASTM D 422-63/07; D 1140-017
Boring #4 @ 5.0 - 5.5' March 14, 2024
Sandy Lean Clay (CL)
Sieve size % Retained % Passing
1/2" (12.5-mm) 0 100
3/8" (9.5-mm) 1 99
#4 (4.75-mm) 3 97
#8 (2.36-mm) 8 92
#16 (1.18-mm) 12 88
#30 (600-µm) 16 84
#50 (300-µm) 22 78
#100 (150-µm) 34 66
#200 (75-µm) 46 54 1/2 3/8 4 8 16 30 50 100 200
0 10
20 30
40 50
60 70
80 90
100
100 10 1 0.1 0.01 PERCENT PASSING
GRAIN SIZE, mm
U. S. STANDARD SIEVE OPENING IN INCHES U. S. STANDARD SIEVE NUMBERS

Page 222 of 566 ends

City of San Luis Obispo 306551-001
2024 Sewer Upgrades
PARTICLE SIZE ANALYSIS ASTM D 422-63/07; D 1140-017
Boring #5 @ 5.0 - 5.5' March 14, 2024
Clayey Gravel with Sand (GC)
Sieve size % Retained % Passing
3" (75-mm) 0 100
2" (50-mm) 0 100

1.5" (37.5-mm) 0 100
1" (25-mm) 0 100
3/4" (19-mm) 7 93
1/2" (12.5-mm) 19 81
3/8" (9.5-mm) 28 72
#4 (4.75-mm) 40 60
#8 (2.36-mm) 52 48
#16 (1.18-mm) 58 42
#30 (600-µm) 62 38
#50 (300-µm) 66 34
#100 (150-µm) 73 27
#200 (75-µm) 79 21 3 2 1.5 1 3/4 1/2 3/8 4 8 16 30 50 100 200 0 10
20 30
40 50
60 70
80 90
100
100 10 1 0.1 0.01 PERCENT PASSING
GRAIN SIZE, mm
U. S. STANDARD SIEVE OPENING IN INCHES U. S. STANDARD SIEVE NUMBERS

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Item 5f
Department: Community Development
Cost Center: 4008
For Agenda of: 10/15/2024
Placement: Consent
Estimated Time: N/A
FROM: Timmi Tway, Community Development Director
Prepared By: Callie Taylor, Senior Planner
SUBJECT: CONSIDERATION OF A RESOLUTION OF INTENTION TO ABANDON

PORTIONS OF SLACK STREET, WHICH IS PROPOSED TO

ACCOMMODATE CAL POLY FACULTY AND STAFF HOUSING, AS

WELL AS FUTURE CONSIDERATION OF A DETACHMENT TO ADJUST
CITY LIMIT BOUNDARIES NEAR CAL POLY (STAB-0038-2024, ANNX0219-2024)

RECOMMENDATION
Adopt a Draft Resolution of Intention entitled “A Resolution of the City Council of the City of San Luis Obispo, California to abandon portions of Slack Street, which is proposed to accommodate Cal Poly faculty and staff housing, as well as future consideration of a detachment to adjust city limit boundaries near Cal Poly (STAB-0038-2024, ANNX-0219- 2024)”, and set a public hearing for November 12, 2024, to consider a Resolution of Abandonment and Detachment.

REPORT-IN-BRIEF
Applications have been submitted by Cal Poly University (Cal Poly) requesting right-ofway abandonment on Slack Street and a corresponding modification to the City limit line (i.e., detachment) in order to accommodate a faculty and staff housing project on the Cal Poly campus. Cal Poly is planning to construct a 33-unit single-family housing development, known as Vista Meadows, at the northeasterly corner of Slack Street and Grand Avenue.

The existing right-of-way on Slack Street is 70 feet in width on the east of Grand Avenue; however, street improvements are located on only the southern half of the right-of-way with approximately 22 feet of existing pavement. Cal Poly is proposing to improve the northern portion of the right-of-way and extend public improvements to a minimum of 37- feet in width. Cal Poly is requesting that the City abandon the remaining unused right-ofway to facilitate the housing project.

On the west side of Grand Avenue, a sidewalk was installed by Cal Poly in 2020 with an encroachment permit, issued by the City, that required detachment and abandonment to ensure ongoing liability and maintenance is provided by Cal Poly. The current application

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Item 5f
for right-of-way abandonment includes both the new sidewalk on Slack Street east of Grand Avenue and the existing sidewalk on Slack Street west of Grand Avenue on Cal Poly’s frontage. With abandonment, these sidewalks would be owned and maintained by Cal Poly, thereby removing liability and ongoing maintenance responsibilities from the City.

At the October 15, 2024 meeting, Council is being asked to consider adopting a Resolution of Intention to set a hearing date to consider the proposed abandonment. Should the Council adopt the Resolution of Intention, a hearing date would be set for November 12, 2024, at which time the Council would consider and render a decision on the final Resolution of Abandonment.

City boundary limits, which define the City’s jurisdictional area, currently coincide with the existing right-of-way boundary at the northern edge of Slack Street on both east and west of Grand Avenue. A modification to the City limit boundary is proposed in conjunction with the street abandonment. A detachment application, which is the reverse of an annexation, is proposed to modify the City limit boundary to coincide with the proposed right-of-way edge on the northern side of Slack Street, both east and west of Grand Avenue. The area of detachment and abandonment includes only portions of Cal Poly’s frontage which are fully built out with frontage improvements, including curb, gutter, sidewalk, and undergrounding of utilities. Areas of frontage that remain unimproved (including the far east portion of Slack Street and the far west portion of Slack Street near Longview Lane) will remain as City right-of-way and under City jurisdiction in order to ensure future frontage improvements are built to City standards.

A second detachment area is proposed on Hathway to adjust the City limit line to correct historical boundary inconsistencies at APN 052-082-028, which is owned and previously developed by Cal Poly University. The subject areas of the street abandonment and detachment applications are shown in Figure 1 below. A resolution to consider detachment will be considered by the City Council concurrently with the Resolution to Abandon at the November 12, 2024 public hearing. There is no detachment action associated with this current Council meeting on October 15, 2024.

SITE DATA
Applicant Cal Poly San Luis Obispo University
Zoning Right-of-way, Public Facility (PF), and R-1
General Plan Right-of-way, Public (PUB), and Low Density Residential (LDR) Site Area Slack Street abandonment and detachment: 1.72 ± acres APN 052-082-028 (Hathway) detachment: 3.18 ± acres
Environmental
Status
Project is consistent with the Final Environmental Impact Report for the Cal Poly 2035 Master Plan and the EIR Addendum for the Slack and Grand Faculty/Staff Housing Project

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Item 5f

POLICY CONTEXT
California Government Code Section 65402 (Planning and Land Use, Administration of General Plan) requires the local planning agency to make a finding of General Plan conformance whenever a governmental entity proposes to acquire property, dispose of property, abandon a street, or construct or authorize a public building or structure within the limits of a city that has an adopted general plan. Additionally, per the City Public Works Department’s policies and procedures for street abandonments (Procedure Number 708.14, effective November 1986), a public hearing at the Planning Commission is required to receive testimony and consider any constraints or conditions necessary for abandonment. On September 25, 2024, the Planning Commission reviewed the requests, considered constraints and conditions, made the determination of General Plan conformity, and recommended the City Council approve of the proposed applications.

The Council is now being asked to consider whether to adopt a “Resolution of Intention,” which would set a public hearing at Council (November 12, 2024) to consider a final “Resolution of Abandonment,” which if adopted would then be recorded with the County Recorder. This process is required by California Streets and Highways Code Sections 8320-8324. The Cal Poly request for detachment to modify the City limit boundaries will be considered concurrently with the final Resolution of Abandonment on November 12, 2024. At that time, Council will consider adopting a resolution authorizing staff to submit a detachment application to the San Luis Obispo Local Agency Formation Commission (LAFCO).

Figure 1: Location of Proposed Street Abandonment and Detachment

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Item 5f
The Cal Poly Vista Meadows faculty and staff housing project itself is located outside of City limits on State land and is not under consideration by the City Council. Only the portions of the improvements proposed within City right-of-way and within current City limits are under the City’s jurisdiction.

PREVIOUS REVIEW
June 4, 2024: At an initiation meeting, the City Council authorized staff to proceed with processing the detachment application to modify the City limit boundary to accommodate a new Cal Poly faculty and staff housing development known as Vista Meadows, as well as other City limit clean-up areas as needed to correct historical jurisdictional boundary crossings around Cal Poly. Applications to modify the City limit are referred to City Council for initiation and early consideration prior to staff processing the application, similar to a request to amend the City’s General Plan (Municipal Code Section 17.130.020).

On June 4, 2024, Council expressed support for the Vista Meadows project but offered the following direction and guidance to staff:

1. The Vista Meadows project should include the necessary street lighting and traffic calming on Slack Street frontage.

2. The City needs to be a good neighbor to Cal Poly and at the same time protect the City’s interest. The Vista Meadows project should pay for all costs including staff time required to advance this project. The Vista Meadows project should pay the standard permit fees that fund cost of services provided to the project.

3. Bring back for Council consideration information on the valuation of the right-of-way requested to be abandoned for the Vista Meadows project.

August 13, 2024: During closed session, Council provided direction to staff regarding negotiating parameters for the price and terms of payment related to the proposed real property transaction. This closed session discussion fulfilled item #3 identified at the June 4, 2024 Council meeting.

September 25, 2024: The Planning Commission reviewed the request on September 25, 2024, and made a determination of General Plan conformity as well as a recommendation to the City Council to adopt a “Resolution of Intention” to consider abandonment of the public right-of-way and to initiate a detachment by directing staff to submit an application to LAFCO. Planning Commission Agenda Correspondence, including an email from a neighbor on Slack Street and public comment at the hearing from a resident on Hays Street, was provided for Planning Commission consideration.

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Item 5f

DISCUSSION
Background
Cal Poly is planning to construct a
33-unit single-family housing
development, known as Vista
Meadows, on the lower portion of
an 8.5-acre parcel at the north
easterly corner of Slack Street and
Grand Avenue, as shown in Figure

2. Cal Poly is located outside City
limits within the County of San Luis
Obispo. The City of San Luis
Obispo was a commenting agency
on the Campus Master Plan and
EIR, but does not have jurisdiction
over the university. The State of
California is a superior agency, which acts as the lead agency for CEQA and issues its own permits through the State architect for development on-site, rather than obtaining permits through the County of San Luis Obispo. While Cal Poly is located outside of City limits, the City of San Luis Obispo has jurisdiction of Slack Street, which is a City right-ofway within City limit boundaries. In order to build frontage improvements and widen Slack Street to City standard, Cal Poly must obtain an encroachment permit from the City. Cal Poly has submitted a street abandonment application to the City to request abandonment of unused right-of-way.

Project Description
Slack Street East of Grand: Vista Meadows, Cal Poly Faculty and Staff Housing Cal Poly’s Vista Meadows housing development includes 33 single-family homes, proposed as two-story, detached 1,900 square foot residences with supporting amenities for Cal Poly faculty and staff, including open space, a community garden, trails, and other recreational features. Fourteen (14) of the residences are proposed to be constructed along the north side of Slack Street between Grand Avenue and Henderson Avenue and would be accessed by individual driveways directly from Slack Street. A 5-foot sidewalk and landscaped parkway would be constructed along the northerly development frontage on Slack Street. Access to the remainder of the residential development would be provided by two internal streets intersecting Slack Street directly in line with City streets Henderson Avenue and Graves Avenue to the south. Parking for residents would be accommodated within the project site, with parking for two cars per residence (66 in total) within the ground floor of each residence with additional visitor parking provided in two surface parking lots along the extension of Henderson Avenue. The conceptual development plan is provided in Figure 3 below.

Figure 2: Location of Cal Poly’s Housing Project at the northeast corner of Slack Street and Grand Avenue
Slack
Grand

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Item 5f
The proposed Cal Poly faculty and staff housing development would be developed at a density comparable to that of adjacent single-family housing located across Slack Street within the City of San Luis Obispo. Cal Poly has stated the proposed circulation network for the project site is intended to be compatible with existing adjacent circulation patterns in the area and intended to minimize project-related vehicular traffic on local residential streets, including Grand Avenue and Slack Street. The project objectives, as identified by the University, are to promote and enhance faculty and staff retention and recruitment by offering quality residential housing at attainable rates; to strengthen the Cal Poly-San Luis Obispo community connection; and to reduce faculty and staff commutes (i.e., vehicle miles traveled, or VMT), associated greenhouse gas (GHG) emissions, and impacts on neighborhood traffic.

Figure 3. Vista Meadows, Cal Poly Faculty and Staff Housing Conceptual Development Plan Slack Street is currently improved on only the southern half of the right-of-way, providing access to residential lots within the City of San Luis Obispo with approximately 22-feet of existing pavement and some intermittent sidewalks. The existing Slack Street right-ofway is 70 feet in width, with the northern portion (approximately 48 feet in width) currently unimproved. Cal Poly is proposing to improve the northern portion of the right-of-way to build out two 10-foot travel lanes and a 5-foot sidewalk with 4-foot landscaped parkway, along with curb and gutter. Existing on-street parking would remain on the south side of Slack Street. Overhead utilities on the northerly frontage would be undergrounded with the public improvements. Proposed public improvements for build-out of Slack Street are shown in Figure 4.

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Item 5f
Figure 4. Proposed Frontage Improvements on Slack Street, Typical Section Cal Poly has requested the City vacate the remaining 25-feet of right-of-way beyond the back of the northern edge of the new sidewalk to accommodate housing in this location.

The full 70-foot width of existing right-of-way is not needed for public street improvements.

Construction of residential units are proposed here at the lower slope of the property in order to minimize grading impacts on the sloped Cal Poly property. If right-of-way is not approved for abandonment by the City in the area beyond the back of sidewalk, Cal Poly would have to redesign the housing project, which could result in additional grading, environmental, and aesthetic impacts on the sloped lot.

Figure 5. Existing and Proposed Right-of-way and City Limits on Slack Street The right-of-way abandonment is proposed to extend to the front of curb where the concrete curb connects to the asphalt street. This would transfer ownership, as well as all maintenance and liability obligations, of the northern sidewalk and landscaped parkway on Cal Poly’s frontage to Cal Poly, thereby removing liability and ongoing maintenance responsibilities from the City. A pedestrian access easement would be recorded to maintain public access on the new Slack Street sidewalk.

Existing edge of right-of-way and
City limit boundary on Slack Street
(east of Grand Ave.)
Proposed edge of right-of-way
and City limit boundary
Existing edge of pavement
Proposed back of sidewalk

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Item 5f
City limits, which define the City’s jurisdictional area, currently coincide with the location of the existing right-of-way boundary at the northern edge of Slack Street. A modification to the City limit boundary is proposed in conjunction with the street abandonment. The existing and proposed right-of-way and City limits on Slack Street east of Grand Avenue are shown in Figure 5 above.

Frontage improvements and undergrounding of utilities, as well as the associated street abandonment and modification to the City limit line, are proposed on Slack Street only in the area directly fronting the new faculty and staff housing development. This is proposed on Slack Street between Grand Avenue to just past Henderson Avenue. The remaining 200-feet of Slack Street past Henderson would remain as existing, with no proposed changes to existing right-of-way or City limits beyond the Cal Poly development. The new faculty housing project will be served by water and sewer provided by Cal Poly through existing agreements with the City of San Luis Obispo and will utilize pipelines and connections that will be extended through the campus.

Slack Street West of Grand
Abandonment and detachment on Slack Street west of Grand Avenue is also being proposed with this application. The adjustments in this area are proposed to correspond with previous frontage improvements that were installed by Cal Poly in this area through encroachment permits in 2020 as part of the campus housing project in this location. A condition of that previous encroachment permit was to adjust the right-of-way boundary at a future date in order to remove the City’s liability and maintenance obligations for Cal Poly’s improvements in this area.

Figure 6. Area of abandonment west of Grand
Abandonment and detachment are being proposed on Slack Street west of Grand Avenue to the terminus of the existing sidewalk along the Cal Poly frontage, as shown in Figure 6 and Attachments C and D of this report. This will transfer liability and ongoing maintenance of the improved frontage to Cal Poly. A pedestrian access easement will be recorded to preserve public access along the frontage. Unimproved areas of the frontage further west will remain under City jurisdiction so that the City can ensure future frontage improvements are developed to City standards.

Area of abandonment west of Grand
includes sidewalk and drainage
recently installed by Cal Poly

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Item 5f
City Limit Modification (Detachment) at Hathway
City staff and Cal Poly have
identified an additional area along
the edge of Cal Poly as a
candidate for clean-up to correct
City limit boundary crossings
from past development. An area
of Cal Poly off Hathway near Mott
gym (APN 052-082-028) is within
City limits but is owned by Cal
Poly and previously developed
with campus improvements. This
area is being proposed for
inclusion with the current
detachment application to correct
historical jurisdictional boundary
line inconsistencies, as shown in
Figure 7.

City staff has initiated preliminary
discussions with LAFCO
regarding the detachment
application, including potential boundary clean-up areas. LAFCO staff is supportive of the proposal to process a detachment application to create jurisdictional boundaries that coincide with Cal Poly’s development limits.

PROJECT ANALYSIS
In order to abandon the right-of-way, the California Streets and Highways Code requires the abandonment to be found consistent with the City’s General Plan and a finding that the right-of-way is unnecessary for present or prospective public use. In addition, continued access to any City or public utility services and improvements needs to be properly preserved. The Planning Commission considered constraints and conditions at the September 25, 2024 public hearing, and made a determination of General Plan consistency. If the City Council adopts a Resolution of Intention to proceed with a public hearing to consider the street abandonment application, complete analysis will be included in the November 12, 2024 report for consideration of the Resolution to Abandon and consideration of a detachment application to LAFCO.

Future Circulation Needs
The General Plan Circulation Element designates Slack Street as a residential local street.

The frontage improvements proposed on the east side of Grand for Vista Meadows and the existing frontage improvement on the west side of Grand are consistent with City standards.

The abandonment of unused portions of Slack Street in these areas does not conflict with future circulation needs as frontages are or will be developed to City standard. The City has requested, and will include a condition of approval, to record a public pedestrian access easement on the sidewalk on the north side of Slack Street. The area is being abandoned Existing City limit
boundary
Figure 7. Additional City limit boundary modification
on Hathway to correct historical inconsistency
APN 052-082-028 proposed
for detachment
Proposed City
limit boundary

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Item 5f
so that Cal Poly will maintain the sidewalk and landscaped parkway, however, public access shall be preserved. With buildout of Slack Street to current City standard and recordation of a pedestrian access easement, the finding can be made that the right-of-way at this location is unnecessary for present or prospective public use.

Public Utilities
If the Council determines that the right-of-way should be abandoned, easements must be reserved for public and private utilities to the satisfaction of the City and the respective utility companies. These easements will ensure that the affected local utilities retain rights to repair and service their facilities within the area proposed for abandonment. The overhead lines are proposed to be installed underground as part of the frontage improvements in the area of the Vista Meadows development. Easements for existing utilities within the rightof-way areas will be reserved as a condition of the abandonment. The Public Works Department and Utilities Department support the proposed abandonment, subject to reservation of necessary easements.

Response to Council Items Requested:

The following discussion is provided to address Council questions and direction from the previous two meetings held in June and August 2024.

Item 1: Street Lighting and Traffic Calming
The Vista Meadows project design team and City Transportation Staff have worked together to incorporate traffic calming on Slack Street into the project. The Vista Meadows project will install City Standard Lighting requirements. The frontage improvements proposed by Vista Meadows for Slack Street, including lighting, are typical project conditions for development. Cal Poly will install two speed humps along Slack Street east of Grand as preemptive measures to avoid potential illegal speeding concerns following the widening of Slack Street by Cal Poly.

Item 2: Permit Fees and Costs Related to Staff Time
The Vista Meadows project has funded the appropriate planning fees for the detachment and street abandonment applications. These fees are identified in the Council’s adopted fee schedule to cover staff time related to processing the discretionary applications, including review of proposals, public hearings at Planning Commission and City Council, and LAFCO applications and processing.
 $17,020.30 – Street Abandonment application
 $28,229.19 – Annexation/Detachment application
Cal Poly is a State agency of higher education and is entitled to fee exemptions that apply to the State so long as it is acting within the scope of its authority to promote educational purposes. Government Code 6103.6, prohibiting a fee or charge for “the mere issuance of a permit,” also prohibits the assessment or collection of “any fee or charge from the State” for work done “in, under, on or about any city…street.”

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Item 5f
These provisions typically preclude the City from charging Cal Poly fees for issuance of an encroachment permit or for inspections. However, given that the proposed street abandonment and detachment applications are discretionary, the City Council may add conditions of approval as necessary to offset impacts of the proposed project. As discussed during the June 4, 2024 City Council meeting, Cal Poly was requested to pay the value of the encroachment permit fees to cover City staff plan check and inspection time for cost recovery associated with the project. The value of the encroachment permit issuance is $98,533.13, which includes both plan check and construction inspection fees.

The encroachment permit fee amount is a function of the value of the public improvements Vista Meadows is installing, as shown in the engineer’s report submitted by Cal Poly and as identified in the 2023-24 Comprehensive User Fee schedule. Cal Poly staff has stated that they will agree to this requirement.

Item 3: Valuation of Right-of-Way to be Abandoned for the Vista Meadows Project The northern street frontage on Slack Street that is being requested for abandonment is owned by Cal Poly in fee title. Therefore, only the public right-of-way easement is being abandoned, and the underlying land does not transfer ownership. Cal Poly and the City have negotiated parameters to fulfill the City Council’s request for consideration of valuation. These parameters are consistent with the direction provided by City Council at closed session:

1. Cal Poly will own, maintain, and hold all liability obligations related to the curb, cutter, and sidewalk improvements installed within the abandonment area and has modified its abandonment and detachment applications to reflect its ongoing responsibilities for this area. Through this modification to the project, Cal Poly will not only undertake the work and costs to widen and install new sidewalk, curb, gutter, and lighting infrastructure on Slack Street east of Grand Avenue, it will also retain responsibilities for these new improvements, providing a net positive impact to the City’s infrastructure.

2. Cal Poly has committed to recognizing the value of the right-of-way abandonment area when considering City acquisition of land for utilities (water reservoir) in the future at Cal Poly. Any dedication of land to the City for a water tank would require approval from the Cal Poly Board of Trustees, with consideration of a recommendation by Cal Poly staff.

3. Cal Poly will acknowledge the partnership with the City for the Vista Meadows project.

4. Cal Poly has agreed to pay the encroachment permit fees, including plan check and inspection, related to the frontage improvements on Slack Street.

5. Cal Poly will install traffic calming on Slack Street as part of the encroachment permit for frontage improvements.

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Item 5f
Public Engagement
This item is on the October 15, 2024 Council agenda for consideration of a Resolution of Intention to abandon right-of-way, and staff has provided all required notifications in conformance with the Streets and Highways Code and Council noticing policy. The public has an opportunity to comment on this item at or before the meeting. Additional notices will be completed by staff, including lot postings, legal ads in the newspaper, and neighborhood mailings, in preparation of the November 12, 2024 hearing where Council will consider the Resolution to Abandon and consider if the detachment application should be submitted to LAFCO.

CONCURRENCE
This staff report was reviewed and approved by the Community Development Department, Finance Department, City Attorney, and City Administration.

The project has been reviewed by various City departments including Community Development, Public Works, Utilities, and Fire. Comments have been communicated to the Cal Poly project team for incorporation into project design where appropriate. Reservation of easements and infrastructure maintenance responsibilities have been addressed. These departments’ comments will be included as conditions of approval.

ENVIRONMENTAL REVIEW
California State University is the lead agency for the environmental review of the faculty/staff housing project. In May 2020, the California State University (CSU) Board of Trustees San Luis Obispo certified an EIR for the 2035 Campus Master Plan (State Clearinghouse No. 2016101003). Addendum #1 to the Final Environmental Impact Report was prepared and approved by the California State University on February 14, 2024, for the Slack and Grand faculty/staff housing project, and a Notice of Determination was filed. The project plans, including proposed right-of-way improvements, were analyzed under the EIR Addendum, which demonstrated in the substantive analysis that the proposed revised project would not result in new significant impacts or a substantial increase in the severity of significant impacts identified in the Campus Master Plan EIR.

All applicable mitigation measures identified in the Campus Master Plan EIR and included in the adopted Mitigation Monitoring and Reporting Program are part of the project and are listed in the EIR Addendum. The complete environmental analysis, including project plans and project description, and the complete 2035 Cal Poly Campus Master Plan can be viewed on the Cal Poly website.

If the November 12, 2024 public hearing is authorized to proceed, the Resolution of Abandonment to be considered by Council will include CEQA findings. The proposed street right-of-way abandonment and detachment applications are consistent with the Final Environmental Impact Report for the Cal Poly 2035 Master Plan (State Clearinghouse No. 2016101003) certified in May 2020 by the California State University (CSU) Board of Trustees San Luis Obispo, and the EIR Addendum #1 approved by the California State University on February 14, 2024, for the Slack and Grand faculty/staff housing project.

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Item 5f

FISCAL IMPACT
Budgeted: N/A Budget Year: 2023-25
Funding Identified: N/A
Fiscal Analysis:

Funding
Sources
Total Budget
Available
Current
Funding
Request
Remaining
Balance
Annual
Ongoing
Cost
General Fund $0 $0 $0 $0
State
Federal
Fees
Other:

Total $0 $0 $0 $0
There will be no net fiscal impact related to the proposed project. As noted in the discussion above, the applicant is required to fund the review and processing of the proposed applications, including the encroachment permit, street abandonment, detachment, and any associated analysis.

ALTERNATIVES

1. The Council may choose to not adopt the Resolution of Intention and deny the abandonment, based on findings that the abandonment is inconsistent with the General Plan, or other policies, or that the street is needed for present or prospective public use.

2. The Council may continue the request. If the Council continues action, then specific direction should be given to staff and the applicant regarding further information needed.

ATTACHMENTS
A - Draft Council Resolution of Intention to Abandon Portions of Slack Street B - 9/25/2024 PC Resolution recommending City Council approve street abandonment and detachment
C - Legal Description of Slack Street Vacation (Right-of-way Abandonment) D - Legal Description of Slack Street and Hathway Detachments (City Limit Adjustment) E - Map of Slack Street and Hathway Detachments (City Limit Adjustment) F - Conceptual Site Plan, Cal Poly Vista Meadows Faculty and Staff Housing

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R _____
RESOLUTION NO. ________ (2024 SERIES)

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS

OBISPO, CALIFORNIA DECLARING THE INTENTION TO ABANDON

PORTIONS OF SLACK STREET RIGHTS-OF-WAY (CAL POLY SAN
LUIS OBISPO UNIVERSITY) STAB-0038-2024
WHEREAS, the Planning Commission of the City of San Luis Obispo conducted a Public Hearing in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo, California, on September 25, 2024, for the purpose of considering applications STAB-0038-2024 and ANNX-0219-2024, including making a General Plan conformity determination per State law, for considering constraints and conditions for the proposed right-of-way abandonment, and for formulating a recommendation to the City Council on a request for abandonment of excess street rights-of-way on portions of Slack Street and for detachment to modify City limit lines; Cal Poly University, applicant; and WHEREAS, research of the title report shows that the City of San Luis Obispo does not have fee ownership of land underlying the street rights-of-way on Slack Street; and
WHEREAS, the Planning Commission found that the proposed rights-of-way abandonment is consistent with the City’s General Plan, and recommended that the City Council approve the abandonment, based on findings and subject to conditions as indicated in the Planning Commission Resolution, incorporated herein by reference as Exhibit A; and
WHEREAS, the City Council of the City of San Luis Obispo considered the Resolution of Intent in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo, California, on October 15, 2024, pursuant to a proceeding instituted under application STAB-0038-2024, Cal Poly University, applicant as required by California Streets and Highways Code Section 8320; and
WHEREAS, notices of said City Council consideration were made at the time and in the manner required by law; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of San Luis Obispo as follows:

SECTION 1. Action-Intention to Abandon. It is the intention of the City of San Luis Obispo to consider abandonment of portions of Slack Street as shown on the map and legal description marked Attachment C, on file in the office of the City Clerk, pursuant to Section 8300 et seq. of the State of California Streets and Highways Code.

SECTION 2. Copies of the map and legal description showing the particulars of the proposed abandonment are on file in the office of the City Clerk, at 990 Palm Street, and included as attachments to the Council Agenda Report.

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Resolution No. _____ (2024 Series) Page 2
R _____
SECTION 3. Tuesday, November 12, 2024, at 5:30 p.m. in the Council Chamber of the City Hall, 990 Palm Street, San Luis Obispo, California is the time and place set for hearing all persons interested in or objecting to the proposed abandonment, which time is more than fifteen (15) days from the passage of this resolution.

SECTION 4. As required by the California Streets and Highways Code Section 8322, notice of the hearing on the proposed vacation shall be published for at least two successive weeks prior to the hearing in a daily, semiweekly, or weekly newspaper published and circulated in the local agency conducting the proceeding.

SECTION 5. The City Engineer shall post at least three (3) public notices of the proposed abandonment in prominent locations near the portion of the street rights-ofway to be abandoned at least fourteen (14) days before the date set for the hearing in accordance with Section 8323 of the Streets and Highways Code.

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Resolution No. _____ (2024 Series) Page 3
R _____
SECTION 6. The City Engineer shall give written notice of the vacation proceedings to utility companies that have requested notice of the vacation proceeding under Section 8346 within ten (10) days after adoption of the Resolution of Intention in accordance with Section 8347 of the Streets and Highways Code.

Upon motion of Council Member ___________, seconded by Council Member ___________, and on the following roll call vote:

AYES:

NOES:

ABSENT:

The foregoing resolution was adopted this _____ day of _______________ 2024. ___________________________
Mayor Erica A. Stewart
ATTEST:
______________________
Teresa Purrington
City Clerk
APPROVED AS TO FORM:
______________________
J. Christine Dietrick
City Attorney
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, on ______________________. ___________________________
Teresa Purrington
City Clerk

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RESOLUTION NO. PC- 1 091 - 2024

A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF

SAN LUIS OBISPO RECOMMENDING THE CITY COUNCIL ADOPT A

RESOLUTION OF INTENTION TO ABANDON A PORTION OF SLACK

STREET AND RECOMMENDING CITY COUNCIL APPROVE THE

DETACHMENT OF ABANDONED AREAS ON SLACK STREET AND

PROPERTY ON HATHWAY FROM THE CITY OF SAN LUIS OBISPO
cAL POLY SAN LUIS OBISPO UNIVERSITY) ANNX- 0219- 2024, STAB0038- 2024 WHEREAS, a duly noticed Public Hearing before the Planning Commission of the City of San Luis Obispo was held on September 25,2024, in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo, California, for the purpose of considering applications ANNX- 0219- 2024 and STAB-0038-2024, a request to abandon a portion of Slack Street and a proposed detachment of a portion of Slack Street and a property on Hathway; and
WHEREAS, said public hearing was for the purpose of reviewing the proposed abandonment of street right-of-way for conformity with the City's General Plan per State law, for considering constraints or conditions for the proposed right-of-way abandonment per City policy, and fonruarding the abandonment and detachment recommendations to the City Council of the City of San Luis Obispo; and WHEREAS, notices of said public hearing were made at the time and in the manner required by law; and
WHEREAS, the Planning Commission has duly considered all evidence, including the testimony of the applicant, interested parties, and the evaluation and recommendations by staff, presented at said hearing.

NOW, THEREFORE, BE lT RESOLVED by the Planning Commission of the City of San Luis Obispo as follows:

Section 1. Findings. Based upon all the evidence, the Commission makes the following findings in support of the intention to abandon of a portion of Slack Street as a recommendation to City Council, and recommends the City Council initiate the process of detachment of a portion of Slack Street and property on Hathway from the City of San Luis Obispo by authorizing staff to make application for detachment to the San Luis Obispo Local Agency Formation Commission ( LAFCO).

1. The proposed right-of-way abandonment, with the reservation of appropriate utility and access easements, is consistent with the General Plan because it is no longer needed for present or future public purposes since this portion of the road will be improved to City standards with the Vista Meadows housing project.

2. The right-of-way abandonment will benefit the general public by allowing private management of the driveway entries, allowing pedestrian and vehicular

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Planning Commission Resolution No. PC- 1 091-2Q24
AN NX-02 1 9-2024, STAB-0038 - 2024 ( Ca I Poly)

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circulation improvements, allowing for private maintenance of proposed and existing private drainage facilities, landscape areas, and sidewalks, eliminating unused right-of-way, and eliminating the City' s costs for maintaining infrastructure within the right-of-way that is being abandoned.

3. The proposed abandonment and detachment are consistent with the General Plan, including Land Use Element Policies 1.12.2,2.6.1, and 2.6.5, and Housing Element Polices 8.3 and 8.6 related to campus housing for Cal Poly, and Circulation Element Policies 5.1.3,8.1.3, and 9.1.1 which require that new developments provide sidewalks, assume fair share of responsibility for constructing circulation improvements, and reduce or maintain vehicular speeds in residential neighborhoods.

4. The detachment of areas on Slack Street and APN 052-082-028 on Hathway will create appropriate jurisdictional boundaries for properties at Cal Poly, including correction of historical boundary inconsistencies, and will prevent properties from having dual jurisdiction upon abandonment of right-of-way.

5. The proposed right-of-way abandonment and detachments are consistent with the Final Environmental lmpact Report for the Cal Poly 2035 Master Plan ( State Clearinghouse No. 2016101003) certified in May 2020 by the California State University ( CSU) Board of Trustees San Luis Obispo, and the EIR Addendum # 1 approved by the California State University on February 14, 2024 for the Slack and Grand faculty/ staff housing project.

Section 2. Recommendation. The Planning Commission does hereby recommend the City Council adopt a resolution of intention to abandon a portion of Slack Street and recommends the City Council approve the filing of an application for detachment of a portion of Slack Street and property on Hathway with the San Luis Obispo Local Agency Formation Commission ( LAFCO), subject to the following conditions.

1. The new monuments set to describe the boundaries of Slack Street and the adjoining property corners for all affected parcels shall be documented by a Record of Survey.

2. Public and private utility companies shall receive notice of intention to vacate prior to the City Council hearing. lf the Council determines that the right-of way should be abandoned, reservation of easements for existing public utilities, including water and sewer, shall be required, to the satisfaction of the respective utility companies, along with any revisions to those facilities as a result of development of the Vista Meadows project on Slack Street. Specific details will be determined during the abandonment process, prior to adoption of a final abandonment resolution by the City Council.

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Planning Commission Resolution No. PC- 1 091- 2024
ANNX- 021 9-2024, STAB- 0038- 2024 ( Cal Poly)

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3. lf the Council approves the right-of-way abandonment, any required easements for purposes of access and drainage shall be recorded concurrent with or prior to recordation of a City Council resolution vacating previous offers of dedication.

4. All required pictorial exhibits and/or legal descriptions necessary to complete the abandonment process shall be provided by the project applicant to the satisfaction of the Public Works Director. All exhibits and/or legal descriptions shall be prepared by a Licensed Land Surveyor or Civil Engineer who is authorized to practice Land Surveying, in accordance with the California Business and Professions Code Section 8700 et seq.

5. The abandonment resolution of the City Council shall include reservation of an easement for pedestrian access on the northern sidewalk on Slack Street frontage ( both east and west of Grand Avenue), or a separate pedestrian access easement shall be recorded prior to abandonment, to the satisfaction of the City Engineer and the City Attorney for preservation of public pedestrian access along the sidewalk.

6. A revision to encroachment permit ENCR- 0470- 2024 shall be submitted by the applicant to include two (2) speed humps on Slack Street for traffic calming. The design of the speed humps shall be to the satisfaction of the Public Works Director. Speed humps. shall be installed prior to permit final.

7. The applicant shall submit payment for encroachment permit ENCR- 0470- 2024, in accordance with the City's 2023- 24 Comprehensive User Fee schedule, to reimburse the City for staff time associated with plan check and construction inspection for public improvements on Slack Street.

8. Cal Poly has committed to supporting a future land value offset for City acquisition of land for utilities ( water reservoir) at Cal Poly as a land exchange for the abandonment of 1.72 + acres right of way on Slack Street.

9. lnformational note: the abandonment does not constitute creation of a separate lot or a potential future subdivision.

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Planning Commission Resolution No. PC- 1 091- 2024
AN NX-02 1 9-2024, STAB- 0038 - 2024 ( Cal Poly)

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On motion by Commissioner Jorgensen, seconded by Vice Chair Houghton, and on the following roll call vote to wit:

AYES: Commissioner Jorgensen, Commissioner Flores, Vice Chair Houghton, and Chair Cooley
NOES: None
REFRAIN: None
ABSENT: Commissioners Kahn, Munoz- Morris, and Tolle
The foregoing resolution was passed and adopted this 25th day of September 2024 Tyler Corey ry
Planning C lssron

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EXHIBIT "A"

LEGAL DESCRIPTION
Those portions of Slack Street and Grand Avenue as shown on the map filed in Book 102 of Records of Survey at Pages 55 through 60, inclusive, in the Office of the County Recorder, County of San Luis Obispo, State of California, described as follows:

Beginning at a point on the northerly right-of-way line of Slack Street of said Records of Survey, said point being South 87°55'42" East a distance of 874.14 feet from the westerly terminus of the course shown as S87°55'42"E 1084.07’ of the said northerly right-of-way line of Slack Street; thence, Leaving said northerly right-of-way line South 2°04'18" West a distance of 37.50 feet; thence, North 87°55'42" West a distance of 132.50 feet; thence, South 87°10'21" West a distance of 17.56 feet; thence,
North 87°55'42" West a distance of 39.00 feet; thence,
North 83°01'46" West a distance of 17.56 feet; thence,
North 87°55'42" West a distance of 296.00 feet; thence, South 87°10'21" West a distance of 17.56 feet; thence,
North 87°55'42" West a distance of 39.00 feet; thence,
North 83°01'46" West a distance of 17.56 feet; thence,
North 87°55'42" West a distance of 235.78 feet; thence, South 83°56'29" West a distance of 7.07 feet; thence,
North 87°55'42" West a distance of 6.00 feet; thence,
North 79°47'54" West a distance of 7.07 feet; thence,
North 87°55'42" West a distance of 12.19 feet; thence,
North 2°04'18" East a distance of 1.50 feet; thence,
North 87°55'42" West a distance of 26.24 feet to a curve concave to the northeast having a radius of 25.00 feet; thence,
Westerly, northwesterly and northerly along said curve through a central angle of 89°58'59" an arc distance of

39.26 feet; thence,
North 87°56'43" West a distance of 76.53 feet to a curve concave to the northwest having a radius of 26.26 feet, the radial bearing to said point being South 43°49'15" East; thence, Southerly, southwesterly and westerly through a central angle of 45°52'02" an arc distance of 21.02 feet; thence, North 87°57'13" West a distance of 414.36 feet; thence, North 82°27'40" West a distance of 52.24 feet; thence,
North 87°57'13" West a distance of 158.53 feet; thence, South 88°50'33" West a distance of 89.46 feet; thence,
North 87°57'13" West a distance of 128.06 feet; thence, North 83°47'55" West a distance of 28.51 feet; thence,
North 2°02'47" East a distance of 41.93 feet to said northerly right-of-way line of Slack Street; thence, Along said northerly right-of-way line of Slack Street and the easterly right-of-way line of Grand Avenue of said Records of Survey the following 3 courses:

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South 87°57'13" East a distance of 987.67 feet; thence, South 2°05'32" West a distance of 25.04 feet; thence,
South 87°55'42" East a distance of 874.14 feet to the Point of Beginning.

RESERVING and EXCEPTING from the said vacation, unto any existing public utility, pursuant to the provisions of Section 8340 of the Streets and Highways Code, any easement and right necessary at any time, or from time to time, to construct, maintain, operate, replace, remove, renew and enlarge their respective public utility facilities, and all facilities incidental thereto, including access to protect the property from hazards, said area shall also be kept open and free of buildings, structures and wells of any kind in, upon, and over the road herewith vacated.

In accordance with Section 8352 of the Streets and Highways Code, said vacation is not intended to extinguish any private rights of access that may exist in favor of the properties fronting the Subject Area described hereinabove.

The land described is shown graphically on Exhibit “A-1”. 08/27/2024

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EXHIBIT "A-1"

LEGAL DEPICTION
08/27/2024

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EXHIBIT "A-1"

LEGAL DEPICTION CONTINUED
08/27/2024

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DETACHMENT NO.
from the City of San Luis Obispo
Detachment Area 1:

That portion of the land described in the City of San Luis Obispo Ordinance No. 304 (new Series) approving the annexation of the Monterey Heights et.al. described as follows:

Beginning at a point on the northerly line of the Phillips Addition annexation in said Ordinance No. 304, point also being on the northerly right-of-way line of Slack Street as shown on the map filed in Book 102 of Records of Survey at Pages 55 through 60, inclusive, in the Office of the County Recorder, County of San Luis Obispo, State of California, said point being South 87°55'42" East a distance of 874.14 feet from the westerly terminus of the course shown as S87°55'42"E 1084.07’ of the said northerly right-of-way line of Slack Street; thence,
Leaving said northerly right-of-way line and said annexation line South 2°04'18" West a distance of 37.50 feet; thence,
North 87°55'42" West a distance of 132.50 feet; thence, South 87°10'21" West a distance of 17.56 feet; thence,
North 87°55'42" West a distance of 39.00 feet; thence,
North 83°01'46" West a distance of 17.56 feet; thence,
North 87°55'42" West a distance of 296.00 feet; thence, South 87°10'21" West a distance of 17.56 feet; thence,
North 87°55'42" West a distance of 39.00 feet; thence,
North 83°01'46" West a distance of 17.56 feet; thence,
North 87°55'42" West a distance of 235.78 feet; thence, South 83°56'29" West a distance of 7.07 feet; thence,
North 87°55'42" West a distance of 6.00 feet; thence,
North 79°47'54" West a distance of 7.07 feet; thence,
North 87°55'42" West a distance of 12.19 feet; thence,
North 2°04'18" East a distance of 1.50 feet; thence,
North 87°55'42" West a distance of 26.24 feet to a curve concave to the northeast having a radius of 25.00 feet; thence,
Westerly, northwesterly and northerly along said curve through a central angle of 89°58'59" an arc distance of 39.26 feet; thence,
North 87°56'43" West a distance of 76.53 feet to a curve concave to the northwest having a radius of 26.26 feet, the radial bearing to said point being South 43°49'15" East; thence,
Southerly, southwesterly and westerly through a central angle of 45°52'02" an arc distance of 21.02 feet; thence,

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North 87°57'13" West a distance of 414.36 feet; thence, North 82°27'40" West a distance of 52.24 feet; thence,
North 87°57'13" West a distance of 158.53 feet; thence, South 88°50'33" West a distance of 89.46 feet; thence,
North 87°57'13" West a distance of 128.06 feet; thence, North 83°47'55" West a distance of 28.51 feet; thence,
North 2°02'47" East a distance of 41.93 feet to the northerly line of the Phillips Addition annexation in said Ordinance No. 304; thence,
Along said northerly line the following 3 courses:

South 87°57'13" East a distance of 987.67 feet; thence, South 2°05'32" West a distance of 25.04 feet; thence,
South 87°55'42" East a distance of 874.14 feet to the Point of Beginning.

The land described contains 1.72 acres more or less.

Detachment Area 2:

That portion of the land described in the City of San Luis Obispo Ordinance No. 304 (new Series) approving the annexation of the Monterey Heights et.al. described as follows:

Beginning at a point on the northeasterly line of the California Park annexation in said Ordinance No. 304, said point the easterly terminus of the course shown as N71°43'47"E 382.80’ of northerly right-of-way line of Hathway Avenue as shown on the map filed in Book 102 of Records of Survey at Pages 55 through 60, inclusive, in the Office of the County Recorder, County of San Luis Obispo, State of California; thence, Leaving said annexation line and along said northerly right-of-way line the following 3 courses:

South 71°43'47" West a distance of 382.80 feet to a curve concave to the southeast having a radius of 160.00 feet, the radial bearing to said point being North 18°16'23" West; thence,
Southwesterly along said curve through a central angle of 49°02'26" an arc distance of 136.95 feet; thence,
South 21°43'34" West a distance of 29.24 feet to the southeast corner of Parcel ‘C’ of Parcel Map No. SLO 71-279 filed in Book 7 of Parcel Maps at Page 79 in the Office of the County Recorder, County of San Luis Obispo, State of California; thence, Northerly along the easterly line of said Parcel ‘C’ and Parcel ‘B’ of said Parcel Map No.

SLO 71-279 North 18°11'35" West a distance of 203.75 feet; thence, Southwesterly along the northwesterly of said Parcel ‘B’ South 42°18'03" West a distance of 46.55 feet to a point being South 47°41'57" East a distance of 25.00 feet from the southeast corner of Lot 88 of Map of Resubdivision of California Park filed in Book 3 of

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Maps at Page 117 in the Office of the County Recorder, County of San Luis Obispo, State of California; thence,
North 47°41'57" West a distance of 25.00 feet to the southeast corner of said Lot 88; thence,
Along the southerly line of said Lot 87 and southerly lines of Lots 67 through 70 of said Map of Resubdivision of California Park the following 2 courses:

North 42°18'03" East a distance of 93.04 feet; thence,
North 58°18'03" East a distance of 623.88 feet to the easterly line of the public road as shown of said Map of Resubdivision of California Park; thence, Southerly along said easterly line South 2°07'50" West a distance of 252.80 feet; thence, Continuing along said easterly line South 0°49'10" East a distance of 82.59 feet to the Point of Beginning.

The land described contains 3.18 acres more or less.

Prepared by:

Steven B. Webster, LS 7561
Date:

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Ascent Introduction
California Polytechnic State University, San Luis Obispo Slack and Grand Faculty/Staff Housing Project EIR Addendum 1-15Source: Produced by RRM Design Group in 2023; Adapted by Ascent, Inc. in 2023. Figure 1-7 Conceptual Site Plan

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Item 5g
Department: Community Development
Cost Center: 4003
For Agenda of: 10/15/2024
Placement: Consent
Estimated Time: N/A
FROM: Timmi Tway, Community Development Director
Prepared By: Steve LaChaine, Senior Civil Engineer
SUBJECT: FINAL ACCEPTANCE OF PUBLIC IMPROVEMENTS FOR TRACT 2428 PHASE 3 – A RESIDENTIAL SUBDIVISION AT 3000 CALLE MALVA

RECOMMENDATION
Adopt a Draft Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, accepting the completed Public Improvements for Tract 2428 Phase 3; certifying the completed Private Subdivision Improvements for Tract 2428 Phase 3; releasing the securities for the completed portions of Tract 2428 Phase 3; and authorizing the Director of Public Works to release the remaining securities once all Tract 2428 Phase 3 improvements are deemed complete.”

POLICY CONTEXT
The City Council accepts public improvements and certifies completion of private improvements in accordance with the Subdivision Map Act and the City’s Subdivision Regulations.

DISCUSSION
Background
Tract 2428 (Toscano), located at 3000 Calle Malva as shown on the attached Vicinity Map (Attachment B, Vicinity Map), includes a total of 172 lots consisting of 161 single-family lots, five lots for up to 26 units of affordable housing, five lots for riparian open space, and one 71-acre hillside lot for permanent open space (Attachment C, Tentative Map).

Tract 2428 is recorded in three phases (Attachment D, Phasing Plan). Phase 1 created 45 single-family lots (Lots 1-14, 72 to 80, and 86 to 107), two lots for riparian open space (Lots 81 and 84), one 71-acre hillside lot that was dedicated to the City for permanent open space (Lot 172), and one Remainder lot for the future phases. Phase 2 created 36 single-family lots, (Lots 62 to 71, Lots 139 to 162, and Lots 170 to 171), three lots for riparian open space (Lots 82, 83 and 85), seven lots for affordable housing (Lots 163 to 169) for up to 26 affordable housing units, and two lots for future phases (Lots A and B).

Both phases 1 and 2 are completed and accepted.

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Item 5g
Phase 3 includes 80 lots consisting of 78 single-family lots and two lots for riparian open space.

Maps for Phases 1 and 2 of Tract 2428 have been recorded and construction has been completed and accepted. This is the 3rd and final phase of Tract 2428 and will finalize the creation of 78 single-family residential lots.

Acceptance of Phase 3 Improvements
Improvement work has been completed for Phase 3. In general, the improvements consist of:
 street construction;
 construction of medians, curbs, gutters, sidewalks;
 installation of streetlights, and fire hydrants;
 water main and sewer main extensions;
 reclaimed water main and storm drain improvements; and,  landscaping.

There are no off-site improvements with Phase 3 of Tract 2728. A map depicting the completed Phase 3 improvements is included as Attachment E.

Previous Council Action
The tentative subdivision map for Tract 2428 was approved by City Council on July 3, 2007, by Resolution No. 9917 (2007 Series).

Revised conditions that superseded the previous tentative map conditions were approved by Council on April 15, 2014, by Resolution No. 10514 (2014 Series).

The public and private improvements for tract 2428 phase 1 were accepted by City Council on March 19, 2020, by Resolution No. 11089 (2020 Series).

The public and private improvements for tract 2428 phase 2 were accepted by City Council on January 18, 2022, by Resolution No. 11302 (2022 Series).

The final map for Phase 3 was approved by City Council on January 8, 2019, by Resolution No. 10971 (2019 Series) (Attachment F – Recorded Phase 3 Final Map).

Public Engagement
Public engagement was completed with the approval of the Tentative Map and the development of the Orcutt Area Specific Plan.

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Item 5g

CONCURRENCE
The Public Works Department and Utilities Department concur with the recommended action.

ENVIRONMENTAL REVIEW
The Margarita Area Specific Plan and its Final Environmental Impact Report were approved and certified on October 12, 2004. Tract 2428 was analyzed in a project-specific Initial Study/Mitigated Negative Declaration, and consistent with Public Resources Code § 21080.7, Architectural Review Commission determined by way of Resolution No. ARC1008-15, on May 18, 2015, that no additional environmental review was required since the tentative map is in a urbanized area, the project involves construction of housing that is consistent with a specific plan that has a certified EIR that was adopted not more than five years prior, and the initial study (IS) prepared for the project identified no new impacts.

Both the FEIR and subsequent IS constitute the complete environmental determination for the project. The final map is substantially in compliance with the tentative map evaluated with this prior environmental determination.

FISCAL IMPACT
Budgeted: No Budget Year: N/A
Funding Identified: No
Fiscal Analysis:

Funding
Sources
Total Budget
Available
Current
Funding
Request
Remaining
Balance
Annual
Ongoing
Cost
General Fund N/A $ $ $
State
Federal
Fees
Other:

Total $0 $ $ $0
Typical maintenance and operation of newly accepted public facilities will be required for the street and utility improvements. Increasing the maintenance budget for the small, incremental increase in infrastructure to be maintained does not occur with each acceptance of public facilities. The maintenance budget for these improvements is evaluated and adjusted as needed with the city’s adoption of its two-year budget.

However, the council action of accepting these improvements in itself does not have an associated budget increase.

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Item 5g

ALTERNATIVES
Limited alternatives exist only in regard to the timing of the acceptance of these improvements. Ultimately, acceptance of these public improvements is required in accordance with the MASP (Margarita Area Specific Plan) and approved Tentative Map conditions of approval.

ATTACHMENTS
A - Draft Resolution adopting Toscano Phase 3 Acceptance B - Vicinity Map
C - Tentative Map
D - Phasing Plan
E - Excerpt of Record Drawings-PH-3 Improvements
F - Recorded Phase 3 Final Map

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R _____
RESOLUTION NO. _____ (2024 SERIES)

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

SAN LUIS OBISPO, CALIFORNIA, ACCEPTING THE PUBLIC

IMPROVEMENTS, CERTIFYING COMPLETION OF THE PRIVATE

IMPROVEMENTS, AND CONDITIONALLY AUTHORIZING RELEASE OF
THE SECURITIES FOR TRACT 2428-PHASE 3 (3000 CALLE MALVA) WHEREAS, the City Council made certain findings concerning Tract 2428, as prescribed in Resolution No. 10514 (2014 Series); and
WHEREAS, the City Council approved the final map Phase 3 for Tract 2428 per Resolution No. 10971 (2019 Series); and
WHEREAS, the subdivider has satisfactorily completed the required Phase 3 public improvements in accordance with City standards, specifications, and the subdivision agreement; and has requested that the City accept of these public improvements for maintenance and operation by the City; and WHEREAS, the subdivider has satisfactorily completed the Phase 3 private improvements in accordance with City standards, specifications and the approved plans, and has requested that the City certify completion of these private improvements; and WHEREAS, the subdivider has on file the appropriate securities to guarantee the completion of the remaining Phase 3 subdivision improvements as shown on the approved plans.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows:

SECTION 1. The City Council hereby accepts the public improvements for Phase 3.

SECTION 2. The City Council certifies completion of the Phase 3 private improvements.

SECTION 3. The Faithful Performance securities guaranteeing completion of the on-site and off-site public improvements and remaining private improvements may be reduced to the approval of the City Engineer upon submittal of the following items:

1. Progress record drawings for the completed improvements; and

2. Certification by the Engineer of Record for the completion of the public and private improvements.

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Resolution No. ________ (2024 Series) Page 2
R _____
SECTION 4. The corresponding Labor & Materials security may be released after 90 days from the date of acceptance of the improvements or 60 days after the recordation of a notice of completion in accordance with Section 66499.7(h) of the California Government Code.

SECTION 5. The security guaranteeing the workmanship and materials may be released by the Director of Public Works upon the successful completion of the 12-month warranty time period from the date of acceptance of the improvements.

Upon motion of Council Member ___________, seconded by Council Member ___________, and on the following roll call vote:

AYES:

NOES:

ABSENT:

The foregoing resolution was adopted this ______ day of _______________ 2024. ___________________________
Mayor Erica A. Stewart
ATTEST:
_________________________
Teresa Purrington
City Clerk
APPROVED AS TO FORM:
__________________________
J. Christine Dietrick
City Attorney
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, on ______________________. ___________________________
Teresa Purrington
City Clerk

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Item 5h
Department: Human Resources
Cost Center: 3001
For Agenda of: 10/15/2024
Placement: Consent
Estimated Time: N/A
FROM: Nickole Domini, Human Resources Director
Prepared By: Jeff Andrews, Senior Human Resources Analyst Brendan Pringle, Senior Business Analyst
SUBJECT: AUTHORIZATION TO RECLASSIFY ENGINEERING MANAGEMENT

CLASSIFICATIONS

RECOMMENDATION
Adopt a Draft Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, authorizing an amendment to the FY 2024-25 Budget Appropriation to fund compensation changes to the Engineering Management Classifications and adopt a revised Regular and Contract Employee Salary Schedule.”

POLICY CONTEXT
The City’s Compensation Philosophy states that the City strives to provide excellent service to the community at all times, and to achieve our service standards, the City must attract and retain well qualified employees by providing competitive compensation. In evaluating competitive compensation, the City considers financial sustainability, community acceptability, the relevant labor market, and internal relationships, among other relevant factors.

City Charter Section 804, Adoption of the Budget, allows City Council to amend or supplement the budget by motion adopted by a majority vote of the Council.

This request aligns with the 2023-25 Diversity, Equity and Inclusion (DEI) Major City Goal work under Strategy 2.3 (Foster and Promote Equitable Recruiting, Hiring, Retention, and Promotion Practices, whereby the City will “develop and implement innovative and proven strategies, programs, and policies that successfully attract, engage, retain, develop, and support a diverse workforce.”) The recommendation reflects a necessary recruitment and retention strategy for critical engineering classifications in multiple departments.

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Item 5h

DISCUSSION
Background
Over the past year, the City of San Luis Obispo has experienced recruitment challenges for key engineering management positions, particularly in the classifications of Construction Engineering Manager, Supervising Civil Engineer, and Senior Civil Engineer. These positions are critical to the City’s ability to deliver services and projects to the community in line with existing work plans. During the recent recruitment for the Construction Engineering Manager position, the City received only four qualified applicants. Of the three individuals who were successfully interviewed, all declined offers or subsequent interviews because they found jobs with competing agencies. Additionally, the City has been accepting applications for a Supervising Civil Engineer position in the Community Development Department since April 2024. Two applications have been submitted, but neither met minimum requirements for the job. A recruitment for the Senior Civil Engineer position in the Community Development Department was open from September 2023 to January 2024 and the City did not receive any qualified applications.

Engineer positions in the Utilities Department have also been extremely difficult to fill, with minimal applicants for the past two recruitments, and qualified staff leaving for higher paying positions with nearby agencies. Over the past year, there have been 3 failed recruitments and there are currently 4 vacant management engineering positions.

Due to these recruitment and retention challenges, the Directors of Public Works, Community Development, and Utilities have expressed concern that the current salary structure for engineering management roles may not be competitive enough to attract experienced candidates for management positions in a highly competitive labor market.

This is especially concerning given the high turnover rate among non-exempt level engineers, which makes it even more critical to have managers who can effectively train and mentor new staff as they come on board. Additionally, the requirement for a Professional Engineer (PE) license for the Construction Engineering Manager role is thought to be a potential barrier to recruitment, as many qualified candidates with substantial construction management experience may lack this specific credential but possess the necessary skills to succeed in the role.

To address the departments’ concerns, the Human Resources Department conducted a classification study for six engineering management classifications: Construction Engineering Manager, Supervising Civil Engineer, Transportation Manager, Senior Civil Engineer, Utilities Engineer, and Utilities Special Projects Manager. It was necessary to include all six classifications to ensure that internal equity is maintained between the classifications. An informal salary survey revealed that the City’s Construction Engineering Manager, Senior Civil Engineer, and Supervising Civil Engineer salaries are between 7% and 13% below the relevant labor market. This disparity is likely contributing to the challenges in recruiting and retaining qualified candidates.

In addition, the Public Works and Human Resources departments determined that while a PE (Professional Engineer) license would be beneficial, it would not be required for the Construction Engineering Manager position. A review of the City’s comparison agencies

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Item 5h
revealed that many do not require a PE license for similar construction management roles. Staff is recommending the revision of the Construction Engineering Manager job description to create two flexibly staffed classifications (with and without PE). To maintain internal equity, the same is recommended for the Transportation Manager and Utilities Special Projects Manager positions.

Based on the information reviewed and analyzed, Human Resources is recommending the following changes to the engineering management classifications and salary ranges.

Table 1 shows the proposed changes to the classifications, including current classification titles, job description changes for each classification, and salary changes. Table 2 shows the current and proposed maximum annual salaries for each classification.

Table 1: Proposed Classification Changes
Current Classification Job Description Changes
Construction Engineering Manager
(CEM)
Create two levels:

CEM and CEM-PE (Professional Engineer)
Supervising Civil Engineer Create departmental specialties Transportation Manager (TM) Create two levels:

TM and TM-PE/TE (Traffic Engineer)
Senior Civil Engineer Create departmental specialties
Utilities Engineer Reclassify to Senior Civil Engineer
Utilities Special Projects Manager
(USPM)
Create two levels:

USPM and USPM-PE
Table 2: Proposed Salary Changes
Proposed Classification (Sorted by Proposed
Maximum Salary)
Current
Max
Annual
Salary
Proposed
Max
Annual
Salary
Approx.

Percent
Increase
Construction Engineering Manager – PE $143,442 $162,786 13% Supervising Civil Engineer – PE $143,442 $162,786 13%
Transportation Manager – PE/TE   $143,442 $162,786 13%
Construction Engineering Manager – No PE   $143,442 $154,648 8% Transportation Manager – No PE/TE   $143,442 $154,648 8% Senior Civil Engineer – PE $130,000 $140,608 8%
Utilities Special Projects Manager – PE   $130,000 $140,608 8% Utilities Special Projects Manager – No PE   $130,000 $133,952 3%

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Item 5h
The above recommendations are intended to improve the current recruitment issues for Construction Engineering Manager, Senior Civil Engineer, and Supervising Civil Engineer positions by bringing the salaries closer to the relevant labor market. The recommended changes to the other management classifications will ensure internal equity. Moreover, the creation of specialties within the Senior Civil Engineer and Supervising Civil Engineer job descriptions is expected to assist with recruitment efforts.

If the above recommendations are approved, the current incumbents in the engineering management classifications will be reclassified in alignment with the City’s Personnel Rules and Regulations. For example, current and future employees that obtain a PE will be placed in the higher-level classification that is 5% above the non-PE classification.

Potential Impact of Reclassifications
This action represents a step toward solving the ongoing issues of engineering management recruitment and retention, which are not unique to the City of San Luis Obispo but are part of a broader national shortage of engineers. By the Council approving adjustments to the salary grades now, the City will have a better chance of recruiting and retaining well qualified engineering management employees in alignment with the Council-adopted Compensation Philosophy. The attrition of engineering management staff results in significant additional costs for the City, including the screening, hiring, onboarding and training of new staff on City processes, or alternatively, an even greater financial cost for engineering consultants, estimated at over $200 per hour per consultant.

Community Development has had to temporarily change the structure of the Engineering division and to supplement existing staff with consultants due to the inability to successfully recruit for a Supervising Civil Engineer or to fill other vacant management engineer positions. Ongoing vacancies may begin to impact timing of project reviews if they continue and cannot be addressed by consultants.

It is important to note that even with these adjustments, the departments may struggle to attract or hire experienced engineering staff, and additional action may need to be taken by Council in the future. This may include potential salary modifications to the nonmanagement engineers represented under the City’s general bargaining unit, the San Luis Obispo City Employees’ Association (SLOCEA). Staff recommends that any ongoing changes to salaries for classifications represented by SLOCEA be addressed during successor contract negotiations. The existing SLOCEA Memorandum of Understanding is set to expire on June 30, 2025, with negotiations starting in approximately March 2025.

Revised Salary Schedule
In compliance with Public Employees’ Retirement Law and the Public Employees’ Pension Reform Act of 2013 (PEPRA), CalPERS requires publicly available pay schedules. It also defines eight (8) requirements for such schedules, including that the schedule be duly approved and adopted by the employer’s governing body in accordance with requirement of applicable public meetings laws, that it is posted on the employer's website, and that it is retained by the employer and available for public inspection for not less than five years. Publicly available pay schedules are a critical component to verify all members’ pay rates when calculating members’ retirement benefits. Maintaining a

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Item 5h
compliant pay schedule will support transparency and expedite CalPERS’ review process. The attached salary schedule meets these requirements for the proposed salary adjustments (Attachment B).

Previous Council or Advisory Body Action
On April 19, 2022, the City Council adopted a resolution amending the compensation for management employees, following a citywide compensation study.

Public Engagement
No specific public outreach was conducted for this item. However, public comment on the item can be provided to the City Council through written correspondence prior to the meeting and through public testimony at the meeting.

CONCURRENCE
The Finance, Public Works, Community Development, and Utilities Departments have reviewed the assessment and concur with the recommendations.

ENVIRONMENTAL REVIEW
The California Environmental Quality Act does not apply to the recommended action in this report, because the action does not constitute a “Project” under CEQA Guidelines Sec. 15378.

FISCAL IMPACT
Budgeted: No Budget Year: 2024-25 and ongoing
Funding Identified: Yes
Fiscal Analysis:

Funding
Sources
Total Budget
Available
Current
Funding
Request
Remaining
Balance
Annual
Ongoing
Cost
General Fund $0 $133,212 $0 $133,212
Water Fund $0 $12,544 $0 $12,544
Sewer Fund $0 $14,774 $0 $14,774
Whale Rock Fund $0 $2,230 $0 $2,230
State $0 $0 $0 $0
Federal $0 $0 $0 $0
Fees $0 $0 $0 $0
Other: $0 $0 $0 $0
Total $0 $162,761 $0 $162,761
In the Public Works Department, five (5) positions would be impacted by this change, at an ongoing cost differential of $78,615 that would be funded by the General Fund.

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Item 5h
In the Community Development Department, three (3) positions would be impacted by this change, at an ongoing cost differential of $54,597 that would be funded by the General Fund.

In the Utilities Department, two (2) positions would be impacted by this change, at an ongoing cost differential of $29,549 that would be funded through the following sources:
$12,544 from Water Fund, $14,774 from the Sewer Fund and $2,230 from the Whale Rock Fund.

The total ongoing cost of this reclassification is estimated at $162,761: $133,212 from General Fund, $12,544 from Water Fund, $14,775 from Sewer Fund, and $2,230 from Whale Rock Fund.

Funding will be sourced from the unassigned fund balance of each respective fund. Based on unaudited FY 2023-24 year-end results, each fund can support the compensation changes in FY 2024-25. Future base budgets will be adjusted to account for the compensation changes as part of the 2025-27 financial planning process.

ALTERNATIVES

1. Council could direct staff to not implement the proposed reclassifications. This action is not recommended by staff as it could result in the loss of critical, seasoned engineering staff, and there will continue to be recruitment challenges to fill these important roles. Without engineering staff to deliver projects and services, the City would likely need to retain consultant assistance that historically has increased delivery cost and timeframe. Longer term staffing shortages in these divisions will begin to impact project timelines. Anything that delays project delivery time increases cost by the California Construction Cost Index (CCCI), which historically grows at a rate greater than the Consumer Price Index (CPI).

2. Council could direct staff to implement the proposed reclassifications with the next budget cycle. This action is not recommended by staff as the next budget cycle begins July 2025 and the negative impacts listed above will be exacerbated by a ninemonth delay.

3. Council could direct staff to partially implement the proposed reclassifications.

This action is not recommended as it would disrupt the City’s internal classification and salary structure and could possibly create issues with salary compaction and/or parity for current or future incumbents.

ATTACHMENTS
A - Draft Resolution adopting the ongoing appropriation necessary to fund the reclassification of Engineering Management Classifications B - Exhibit A to the Resolution - Regular and Contract Employee Salary Schedule

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R ______
RESOLUTION NO. _____ (2024 SERIES)

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS

OBISPO, CALIFORNIA, AUTHORIZING AN AMENDMENT TO THE FY
2024-25 BUDGET APPROPRIATION TO FUND COMPENSATION

CHANGES TO THE ENGINEERING MANAGEMENT CLASSIFICATIONS

AND ADOPT A REVISED REGULAR AND CONTRACT EMPLOYEE

SALARY SCHEDULE
WHEREAS, City Charter Section 804, Adoption of the Budget, allows City Council to amend or supplement the budget by motion adopted by a majority vote of the Council; and
WHEREAS, in accordance with the City of San Luis Obispo’s Compensation Philosophy, which states that the City strives to provide excellent service to the community at all times, and to achieve its service standards, the City must attract and retain well qualified employees by providing competitive compensation; and WHEREAS, Strategy 2.3, Foster and Promote Equitable Recruiting, Hiring, Retention, and Promotion Practices, of the 2023-25 Diversity, Equity and Inclusion (DEI) Major City Goal notes that the City will “develop and implement innovative and proven strategies, programs, and policies that successfully attract, engage, retain, develop, and support a diverse workforce”; and
WHEREAS, the City’s Construction Engineering Manager, Supervising Civil Engineer, and Senior Civil Engineer salaries are between 7% and 13% below the relevant labor market, contributing to recruitment and retention challenges including multiple failed recruitments for these classifications and City employees accepting employment with competing agencies; and
WHEREAS, the City must maintain compliance with Public Employees’ Retirement Law and the Public Employees’ Pension Reform Act of 2013 which requires publicly available salary schedules that are duly approved by the employer’s governing body; and NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows:

SECTION 1. The City agrees to amend the engineering management classification specification salary grades, as shown in Exhibit A attached hereto, effective as soon as administratively possible.

SECTION 2. The FY 2024-25 expenditure budgets are hereby amended to reflect the compensation changes for the engineering management classifications.

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Resolution No. _____ (2024 Series) Page 2
R ______
SECTION 3. The ongoing cost of the reclassifications will be included in future budgets, starting with the 2025-27 Financial Plan.

Upon motion of _______________, seconded by _____________, and on the following roll call vote:

AYES:

NOES:

ABSENT:

The foregoing resolution was adopted this _____ day of _____________________ 2024. ___________________________
Mayor Erica A. Stewart
ATTEST:
________________________
Teresa Purrington
City Clerk
APPROVED AS TO FORM:
________________________
J. Christine Dietrick
City Attorney
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, on ______________________. ___________________________
Teresa Purrington
City Clerk

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CAPITAL IMPROVEMENT PROGRAM ADMINISTRATIVE
MANAGER 26117 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ CAPITAL PROJECTS MANAGER I 41302 417 CEA 2,846 $ 3,495 $ 2,846 $ 2,996 $ 3,154 $ 3,320 $ 3,495 $ - $ - $ - $ - $ CAPITAL PROJECTS MANAGER II 42304 421 CEA 3,160 $ 3,879 $ 3,160 $ 3,326 $ 3,501 $ 3,685 $ 3,879 $ - $ - $ - $ - $ CAPITAL PROJECTS MANAGER III 43303 424 CEA 3,414 $ 4,192 $ 3,414 $ 3,594 $ 3,783 $ 3,982 $ 4,192 $ - $ - $ - $ - $ CITY ATTORNEY 28000 200 APO 11,425 $ 11,425 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ CITY BIOLOGIST 22304 318 MME 3,810 $ 4,762 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ CITY CLERK 26000 333 MME 4,413 $ 5,517 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ CITY COUNCIL MEMBER 18000 104 CCM 987 $ 987 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ CITY MANAGER 28001 206 APO 11,540 $ 11,540 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ CODE ENFORCEMENT OFFICER I 41501 416 CEA 2,773 $ 3,405 $ 2,773 $ 2,919 $ 3,073 $ 3,235 $ 3,405 $ - $ - $ - $ - $ CODE ENFORCEMENT OFFICER II 44501 419 CEA 2,999 $ 3,682 $ 2,999 $ 3,157 $ 3,323 $ 3,498 $ 3,682 $ - $ - $ - $ - $ CODE ENFORCEMENT SUPERVISOR 25300 313 MME 3,632 $ 4,539 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ CODE ENFORCEMENT TECHNICIAN I 41502 405 CEA 2,084 $ 2,559 $ 2,084 $ 2,194 $ 2,309 $ 2,431 $ 2,559 $ - $ - $ - $ - $ CODE ENFORCEMENT TECHNICIAN II 42500 407 CEA 2,195 $ 2,696 $ 2,195 $ 2,311 $ 2,433 $ 2,561 $ 2,696 $ - $ - $ - $ - $ COMMUNICATIONS COORDINATOR 42703 408 CEA 2,254 $ 2,767 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ 2,767 $ - $ - $ - $ - $ COMMUNITY RESOURCES AND SERVICES SPECIALIST 42418 410 CONTRACT 2,374 $ 2,915 $ 2,374 $ 2,499 $ 2,631 $ 2,769 $ 2,915 $ - $ - $ - $ - $ CONSTRUCTION ENGINEERING MANAGER 26202 341 MME 4,759 $ 5,948 $ - $ - $ - $ - $ - $ - $ - $ - $ - $

CONSTRUCTION ENGINEERING MANAGER PROFESSIONAL
ENGINEER 26214 346 MME 5,009 $ 6,261 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ CONTROL SYSTEMS ADMINISTRATOR 44400 426 CEA 3,596 $ 4,415 $ 3,596 $ 3,785 $ 3,984 $ 4,194 $ 4,415 $ - $ - $ - $ - $ DATA ANALYST 22311 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DEPUTY BUILDING OFFICIAL 26305 340 MME 4,725 $ 5,905 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DEPUTY CITY ATTORNEY I 21101 316 MME 3,741 $ 4,675 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DEPUTY CITY ATTORNEY II 22101 326 MME 4,122 $ 5,152 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DEPUTY CITY ATTORNEY III 23101 336 MME 4,546 $ 5,683 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DEPUTY CITY CLERK I 41701 405 CEA 2,084 $ 2,559 $ 2,084 $ 2,194 $ 2,309 $ 2,431 $ 2,559 $ - $ - $ - $ - $ DEPUTY CITY CLERK II 42701 408 CEA 2,254 $ 2,767 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ 2,767 $ - $ - $ - $ - $ DEPUTY CITY MANAGER 26112 210 DPH 6,841 $ 8,553 $ - $ - $ - $ - $ - $ - $ - $ - $ - $

DEPUTY DIRECTOR OF COMMUNITY DEVELOPMENT CHIEF
BUILDING OFFICIAL 26120 353 MME 5,365 $ 6,705 $ - $ - $ - $ - $ - $ - $ - $ - $ - $

DEPUTY DIRECTOR OF COMMUNITY DEVELOPMENT CITY
PLANNER 26115 353 MME 5,365 $ 6,705 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DEPUTY DIRECTOR OF FINANCE CITY CONTROLLER 26121 353 MME 5,365 $ 6,705 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DEPUTY DIRECTOR OF PUBLIC WORKS CITY ENGINEER 26104 358 MME 5,633 $ 7,041 $ - $ - $ - $ - $ - $ - $ - $ - $ - $

DEPUTY DIRECTOR OF PUBLIC WORKS MAINTENANCE
OPERATIONS 26103 353 MME 5,365 $ 6,705 $ - $ - $ - $ - $ - $ - $ - $ - $ - $

Page 1 of 5 ends

DEPUTY DIRECTOR OF UTILITIES ENGINEERING AND
PLANNING 26113 353 MME 5,365 $ 6,705 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DEPUTY DIRECTOR OF UTILITIES WASTEWATER 26105 353 MME 5,365 $ 6,705 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DEPUTY DIRECTOR OF UTILITIES WATER 26106 353 MME 5,365 $ 6,705 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DEPUTY FIRE CHIEF 26107 369 MME 6,668 $ 8,335 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DEPUTY POLICE CHIEF 76100 810 PSO 7,442 $ 9,137 $ 7,442 $ 7,834 $ 8,246 $ 8,680 $ 9,137 $ - $ - $ - $ - $ DIRECTOR OF COMMUNITY DEVELOPMENT 27000 210 DPH 6,841 $ 8,553 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DIRECTOR OF FINANCE 27001 210 DPH 6,841 $ 8,553 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DIRECTOR OF HUMAN RESOURCES 27002 210 DPH 6,841 $ 8,553 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DIRECTOR OF PARKS AND RECREATION 27003 210 DPH 6,841 $ 8,553 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DIRECTOR OF PUBLIC WORKS 27004 210 DPH 6,841 $ 8,553 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DIRECTOR OF UTILITIES 27005 210 DPH 6,841 $ 8,553 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ DIVERSITY EQUITY AND INCLUSION MANAGER 26002 340 MME 4,725 $ 5,905 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ ECONOMIC DEVELOPMENT ANALYST 22316 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ ECONOMIC DEVELOPMENT AND TOURISM MANAGER 26108 340 MME 4,725 $ 5,905 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ EMERGENCY MANAGER 22500 318 MME 3,810 $ 4,762 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ ENGINEER I 41300 419 CEA 2,999 $ 3,682 $ 2,999 $ 3,157 $ 3,323 $ 3,498 $ 3,682 $ - $ - $ - $ - $ ENGINEER II 42300 423 CEA 3,329 $ 4,086 $ 3,329 $ 3,504 $ 3,688 $ 3,882 $ 4,086 $ - $ - $ - $ - $ ENGINEER III 43301 426 CEA 3,596 $ 4,415 $ 3,596 $ 3,785 $ 3,984 $ 4,194 $ 4,415 $ - $ - $ - $ - $ ENGINEERING INSPECTOR I 41401 414 CEA 2,633 $ 3,234 $ 2,633 $ 2,772 $ 2,918 $ 3,072 $ 3,234 $ - $ - $ - $ - $ ENGINEERING INSPECTOR II 42404 417 CEA 2,846 $ 3,495 $ 2,846 $ 2,996 $ 3,154 $ 3,320 $ 3,495 $ - $ - $ - $ - $ ENGINEERING INSPECTOR III 43401 423 CEA 3,329 $ 4,086 $ 3,329 $ 3,504 $ 3,688 $ 3,882 $ 4,086 $ - $ - $ - $ - $ ENGINEERING INSPECTOR IV 44402 426 CEA 3,596 $ 4,415 $ 3,596 $ 3,785 $ 3,984 $ 4,194 $ 4,415 $ - $ - $ - $ - $ ENGINEERING TECHNICIAN I 41402 407 CEA 2,195 $ 2,696 $ 2,195 $ 2,311 $ 2,433 $ 2,561 $ 2,696 $ - $ - $ - $ - $ ENGINEERING TECHNICIAN II 42405 409 CEA 2,312 $ 2,839 $ 2,312 $ 2,434 $ 2,562 $ 2,697 $ 2,839 $ - $ - $ - $ - $ ENGINEERING TECHNICIAN III 43402 414 CEA 2,633 $ 3,234 $ 2,633 $ 2,772 $ 2,918 $ 3,072 $ 3,234 $ - $ - $ - $ - $ ENTERPRISE SYSTEM DATABASE ADMINISTRATOR 44401 426 CEA 3,596 $ 4,415 $ 3,596 $ 3,785 $ 3,984 $ 4,194 $ 4,415 $ - $ - $ - $ - $ ENVIRONMENTAL COMPLIANCE INSPECTOR SBP 44403 484 CEA 2,681 $ 4,040 $ 2,681 $ 2,822 $ 2,970 $ 3,126 $ 3,291 $ 3,464 $ 3,646 $ 3,838 $ 4,040 $ ENVIRONMENTAL PROGRAMS MANAGER 26203 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ EVIDENCE TECHNICIAN 62300 715 POA 3,739 $ 5,086 $ 3,739 $ 3,936 $ 4,143 $ 4,361 $ 4,590 $ 4,832 $ 5,086 $ - $ - $ EXECUTIVE ASSISTANT TO THE POLICE CHIEF 43100 408 CEA 2,254 $ 2,767 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ 2,767 $ - $ - $ - $ - $ FACILITIES MAINTENANCE SUPERVISOR 25201 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ FACILITIES MAINTENANCE TECHNICIAN SBP 42900 473 CEA 2,130 $ 3,211 $ 2,130 $ 2,242 $ 2,360 $ 2,484 $ 2,615 $ 2,753 $ 2,898 $ 3,050 $ 3,211 $ FINANCE CASHIER 41407 400 CEA 1,833 $ 2,249 $ 1,833 $ 1,929 $ 2,030 $ 2,137 $ 2,249 $ - $ - $ - $ - $ FINANCIAL ANALYST 22310 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ FINANCIAL ASSISTANT 41408 400 CEA 1,833 $ 2,249 $ 1,833 $ 1,929 $ 2,030 $ 2,137 $ 2,249 $ - $ - $ - $ - $ FINANCIAL SPECIALIST 42412 408 CEA 2,254 $ 2,767 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ 2,767 $ - $ - $ - $ - $ FIRE BATTALION CHIEF 55200 505 FFA 5,752 $ 7,062 $ 5,752 $ 6,055 $ 6,374 $ 6,709 $ 7,062 $ - $ - $ - $ - $ FIRE CAPTAIN 54500 621 FFA 4,324 $ 5,309 $ 4,324 $ 4,552 $ 4,792 $ 5,044 $ 5,309 $ - $ - $ - $ - $ FIRE CHIEF 27006 216 DPH 7,663 $ 9,579 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ FIRE ENGINEER 53500 615 FFA 3,753 $ 4,608 $ 3,753 $ 3,951 $ 4,159 $ 4,378 $ 4,608 $ - $ - $ - $ - $ FIRE INSPECTOR I 51400 626 FFA 3,060 $ 3,757 $ 3,060 $ 3,221 $ 3,391 $ 3,569 $ 3,757 $ - $ - $ - $ - $ FIRE INSPECTOR II 52400 630 FFA 3,396 $ 4,169 $ 3,396 $ 3,575 $ 3,763 $ 3,961 $ 4,169 $ - $ - $ - $ - $ FIRE INSPECTOR III 53400 633 FFA 3,670 $ 4,505 $ 3,670 $ 3,863 $ 4,066 $ 4,280 $ 4,505 $ - $ - $ - $ - $ FIRE MARSHAL 25202 340 MME 4,725 $ 5,905 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ FIRE VEHICLE MECHANIC 52801 616 CONTRACT 3,285 $ 4,034 $ 3,285 $ 3,458 $ 3,640 $ 3,832 $ 4,034 $ - $ - $ - $ - $ FIREFIGHTER 52500 612 FFA 3,061 $ 4,175 $ 3,061 $ 3,401 $ 3,580 $ 3,768 $ 3,966 $ 4,175 $ - $ - $ - $ FLEET MAINTENANCE SUPERVISOR 25203 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ FLEET SERVICES SPECIALIST 42414 405 CEA 2,084 $ 2,559 $ 2,084 $ 2,194 $ 2,309 $ 2,431 $ 2,559 $ - $ - $ - $ - $ GOLF SUPERVISOR 25218 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ HAZARDOUS MATERIALS COORDINATOR 54501 617 FFA 4,189 $ 5,142 $ 4,189 $ 4,409 $ 4,641 $ 4,885 $ 5,142 $ - $ - $ - $ - $ HEAVY EQUIPMENT MECHANIC 42800 411 CEA 2,436 $ 2,990 $ 2,436 $ 2,564 $ 2,699 $ 2,841 $ 2,990 $ - $ - $ - $ - $

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CITY OF SAN LUIS OBISPO REGULAR AND CONTRACT SALARY SCHEDULE Title Job Code Grade Bargaining
Unit
Biweekly
Minimum
Biweekly
Maximum
Biweekly
Step 1
Biweekly
Step 2
Biweekly
Step 3
Biweekly
Step 4
Biweekly
Step 5
Biweekly
Step 6
Biweekly
Step 7
Biweekly
Step 8
Biweekly
Step 9
HOMELESSNESS RESPONSE MANAGER 26304 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ HOUSING COORDINATOR 44300 422 CEA 3,240 $ 3,978 $ 3,240 $ 3,411 $ 3,590 $ 3,779 $ 3,978 $ - $ - $ - $ - $ HUMAN RESOURCES ADMINISTRATIVE ASSISTANT I 31700 240 CNF 2,062 $ 2,531 $ 2,062 $ 2,170 $ 2,284 $ 2,404 $ 2,531 $ - $ - $ - $ - $ HUMAN RESOURCES ADMINISTRATIVE ASSISTANT II 32700 245 CNF 2,170 $ 2,664 $ 2,170 $ 2,284 $ 2,404 $ 2,531 $ 2,664 $ - $ - $ - $ - $ HUMAN RESOURCES ADMINISTRATIVE ASSISTANT III 33700 257 CNF 2,456 $ 3,015 $ 2,456 $ 2,585 $ 2,721 $ 2,864 $ 3,015 $ - $ - $ - $ - $ HUMAN RESOURCES ANALYST 21300 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ HUMAN RESOURCES INFORMATION SYSTEM TECHNICIAN 32402 245 CNF 2,170 $ 2,664 $ 2,170 $ 2,284 $ 2,404 $ 2,531 $ 2,664 $ - $ - $ - $ - $ HUMAN RESOURCES MANAGER 26301 340 MME 4,725 $ 5,905 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ HUMAN RESOURCES SPECIALIST 32401 261 CNF 2,541 $ 3,120 $ 2,541 $ 2,675 $ 2,816 $ 2,964 $ 3,120 $ - $ - $ - $ - $ INFORMATION SERVICES SUPERVISOR 25204 326 MME 4,122 $ 5,152 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ INFORMATION TECHNOLOGY ASSISTANT 42407 410 CEA 2,374 $ 2,915 $ 2,374 $ 2,499 $ 2,631 $ 2,769 $ 2,915 $ - $ - $ - $ - $ INFORMATION TECHNOLOGY MANAGER 26001 354 MME 5,414 $ 6,768 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ INFORMATION TECHNOLOGY SECURITY ENGINEER 42413 428 CEA 3,788 $ 4,651 $ 3,788 $ 3,987 $ 4,197 $ 4,418 $ 4,651 $ - $ - $ - $ - $ INFORMATION TECHNOLOGY SYSTEM ENGINEER 42408 426 CEA 3,596 $ 4,415 $ 3,596 $ 3,785 $ 3,984 $ 4,194 $ 4,415 $ - $ - $ - $ - $ LABORATORY ANALYST SBP 42301 484 CEA 2,681 $ 4,040 $ 2,681 $ 2,822 $ 2,970 $ 3,126 $ 3,291 $ 3,464 $ 3,646 $ 3,838 $ 4,040 $ LABORATORY MANAGER 26204 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ LEAD POLICE RECORDS CLERK 64700 706 POA 2,590 $ 3,522 $ 2,590 $ 2,726 $ 2,869 $ 3,020 $ 3,179 $ 3,346 $ 3,522 $ - $ - $ LEAD PROPERTY AND EVIDENCE TECHNICIAN 62400 713 POA 2,841 $ 3,865 $ 2,841 $ 2,991 $ 3,148 $ 3,314 $ 3,488 $ 3,672 $ 3,865 $ - $ - $ LEGAL ANALYST 23314 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ LEGAL ASSISTANT I 31701 240 CNF 2,062 $ 2,531 $ 2,062 $ 2,170 $ 2,284 $ 2,404 $ 2,531 $ - $ - $ - $ - $ LEGAL ASSISTANT II 32701 245 CNF 2,170 $ 2,664 $ 2,170 $ 2,284 $ 2,404 $ 2,531 $ 2,664 $ - $ - $ - $ - $ MAINTENANCE CONTRACT COORDINATOR 42303 414 CEA 2,633 $ 3,234 $ 2,633 $ 2,772 $ 2,918 $ 3,072 $ 3,234 $ - $ - $ - $ - $ MAINTENANCE SUPERINTENDENT 26213 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ MAINTENANCE SUPERVISOR 26211 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ MAINTENANCE WORKER I 41900 402 CEA 1,929 $ 2,369 $ 1,929 $ 2,031 $ 2,138 $ 2,251 $ 2,369 $ - $ - $ - $ - $ MAINTENANCE WORKER II 42913 404 CEA 2,031 $ 2,493 $ 2,031 $ 2,138 $ 2,250 $ 2,368 $ 2,493 $ - $ - $ - $ - $ MAINTENANCE WORKER II - PARKS 42901 404 CEA 2,031 $ 2,493 $ 2,031 $ 2,138 $ 2,250 $ 2,368 $ 2,493 $ - $ - $ - $ - $ MAINTENANCE WORKER III 43901 406 CEA 2,141 $ 2,629 $ 2,141 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ - $ - $ - $ - $ MAINTENANCE WORKER III - PARKS 43900 406 CEA 2,141 $ 2,629 $ 2,141 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ - $ - $ - $ - $ MAYOR 18001 110 CCM 1,244 $ 1,244 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ MECHANIC HELPER 41800 402 CEA 1,929 $ 2,369 $ 1,929 $ 2,031 $ 2,138 $ 2,251 $ 2,369 $ - $ - $ - $ - $ MOBILITY SERVICES BUSINESS MANAGER 26303 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ NETWORK SERVICES SUPERVISOR 25206 331 MME 4,326 $ 5,408 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ PARALEGAL I 31702 261 CNF 2,541 $ 3,120 $ 2,541 $ 2,675 $ 2,816 $ 2,964 $ 3,120 $ - $ - $ - $ - $ PARALEGAL II 32702 266 CNF 2,681 $ 3,290 $ 2,681 $ 2,822 $ 2,970 $ 3,126 $ 3,290 $ - $ - $ - $ - $ PARKING COORDINATOR 44200 411 CEA 2,436 $ 2,990 $ 2,436 $ 2,564 $ 2,699 $ 2,841 $ 2,990 $ - $ - $ - $ - $ PARKING ENFORCEMENT OFFICER I 41403 405 CEA 2,084 $ 2,559 $ 2,084 $ 2,194 $ 2,309 $ 2,431 $ 2,559 $ - $ - $ - $ - $ PARKING ENFORCEMENT OFFICER II 44405 408 CEA 2,254 $ 2,767 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ 2,767 $ - $ - $ - $ - $ PARKING ENFORCEMENT SUPERVISOR 25400 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ PARKING METER REPAIR WORKER 42801 407 CEA 2,195 $ 2,696 $ 2,195 $ 2,311 $ 2,433 $ 2,561 $ 2,696 $ - $ - $ - $ - $ PARKING OPERATIONS SUPERVISOR 25207 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ PARKING PROGRAM MANAGER 26205 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ PARKS CREW COORDINATOR 44901 471 CEA 2,704 $ 3,320 $ 2,704 $ 2,846 $ 2,996 $ 3,154 $ 3,320 $ - $ - $ - $ - $ PARKS MAINTENANCE SPECIALIST SBP 42902 470 CEA 1,982 $ 2,988 $ 1,982 $ 2,086 $ 2,196 $ 2,312 $ 2,434 $ 2,562 $ 2,697 $ 2,839 $ 2,988 $ PARKS MAINTENANCE SUPERVISOR 25208 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ PARKS MAINTENANCE TECHNICIAN 43903 413 CEA 2,567 $ 3,152 $ 2,567 $ 2,702 $ 2,844 $ 2,994 $ 3,152 $ - $ - $ - $ - $ PAYROLL ANALYST 22315 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ PAYROLL SPECIALIST 32404 261 CNF 2,541 $ 3,120 $ 2,541 $ 2,675 $ 2,816 $ 2,964 $ 3,120 $ - $ - $ - $ - $ PERMIT TECHNICIAN I 41404 402 CEA 1,929 $ 2,369 $ 1,929 $ 2,031 $ 2,138 $ 2,251 $ 2,369 $ - $ - $ - $ - $ PERMIT TECHNICIAN II 42409 405 CEA 2,084 $ 2,559 $ 2,084 $ 2,194 $ 2,309 $ 2,431 $ 2,559 $ - $ - $ - $ - $ PERMIT TECHNICIAN III 43405 409 CEA 2,312 $ 2,839 $ 2,312 $ 2,434 $ 2,562 $ 2,697 $ 2,839 $ - $ - $ - $ - $ PLANNING TECHNICIAN 41405 407 CEA 2,195 $ 2,696 $ 2,195 $ 2,311 $ 2,433 $ 2,561 $ 2,696 $ - $ - $ - $ - $

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CITY OF SAN LUIS OBISPO REGULAR AND CONTRACT SALARY SCHEDULE Title Job Code Grade Bargaining
Unit
Biweekly
Minimum
Biweekly
Maximum
Biweekly
Step 1
Biweekly
Step 2
Biweekly
Step 3
Biweekly
Step 4
Biweekly
Step 5
Biweekly
Step 6
Biweekly
Step 7
Biweekly
Step 8
Biweekly
Step 9
PLANS EXAMINER 43403 420 CEA 3,078 $ 3,779 $ 3,078 $ 3,240 $ 3,411 $ 3,590 $ 3,779 $ - $ - $ - $ - $ POLICE CADET 61500 714 POA 3,468 $ 3,468 $ 3,468 $ - $ - $ - $ - $ - $ - $ - $ - $ POLICE CHIEF 27007 230 DPH 8,243 $ 10,304 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ POLICE COMMUNITY SERVICE OFFICER 62501 709 POA 2,732 $ 3,717 $ 2,732 $ 2,876 $ 3,027 $ 3,186 $ 3,354 $ 3,531 $ 3,717 $ - $ - $ POLICE LIEUTENANT 75500 805 PSO 6,299 $ 7,733 $ 6,299 $ 6,630 $ 6,979 $ 7,346 $ 7,733 $ - $ - $ - $ - $ POLICE OFFICER 62502 720 POA 3,853 $ 4,980 $ 3,853 $ 4,056 $ 4,269 $ 4,494 $ 4,731 $ 4,980 $ - $ - $ - $ POLICE PUBLIC AFFAIRS MANAGER 26600 318 MME 3,810 $ 4,762 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ POLICE RECORDS CLERK I 61700 700 POA 2,101 $ 2,858 $ 2,101 $ 2,212 $ 2,328 $ 2,450 $ 2,579 $ 2,715 $ 2,858 $ - $ - $ POLICE RECORDS CLERK II 62700 703 POA 2,328 $ 3,166 $ 2,328 $ 2,450 $ 2,579 $ 2,715 $ 2,858 $ 3,008 $ 3,166 $ - $ - $ POLICE RECORDS SUPERVISOR 75201 850 PSO 3,052 $ 3,944 $ 3,052 $ 3,213 $ 3,382 $ 3,560 $ 3,747 $ 3,944 $ - $ - $ - $ POLICE SERGEANT 74500 800 PSO 4,840 $ 6,255 $ 4,840 $ 5,095 $ 5,363 $ 5,645 $ 5,942 $ 6,255 $ - $ - $ - $ POLICY AND PROJECT MANAGER 25101 328 MME 4,201 $ 5,249 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ PRINCIPAL BUDGET ANALYST 26201 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ PRINCIPAL PLANNER 26302 333 MME 4,413 $ 5,517 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ PROPERTY AND EVIDENCE TECHNICIAN 62503 706 POA 2,590 $ 3,522 $ 2,590 $ 2,726 $ 2,869 $ 3,020 $ 3,179 $ 3,346 $ 3,522 $ - $ - $ PUBLIC ART COORDINATOR 44302 408 CONTRACT 2,254 $ 2,767 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ 2,767 $ - $ - $ - $ - $ PUBLIC COMMUNICATIONS MANAGER 26114 318 MME 3,810 $ 4,762 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ PUBLIC SAFETY DISPATCH SUPERVISOR 75200 855 PSO 3,655 $ 4,722 $ 3,655 $ 3,847 $ 4,049 $ 4,262 $ 4,486 $ 4,722 $ - $ - $ - $ PUBLIC SAFETY DISPATCHER 62500 712 POA 2,883 $ 3,922 $ 2,883 $ 3,035 $ 3,195 $ 3,363 $ 3,540 $ 3,726 $ 3,922 $ - $ - $ RANGER SERVICE WORKER SBP 42903 470 CEA 1,982 $ 2,988 $ 1,982 $ 2,086 $ 2,196 $ 2,312 $ 2,434 $ 2,562 $ 2,697 $ 2,839 $ 2,988 $ RECREATION COORDINATOR 44600 408 CEA 2,254 $ 2,767 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ 2,767 $ - $ - $ - $ - $ RECREATION MANAGER 26206 313 MME 3,632 $ 4,539 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ RECREATION SUPERVISOR 25209 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ RECYCLED WATER SPECIALIST 42417 421 CEA 3,160 $ 3,879 $ 3,160 $ 3,326 $ 3,501 $ 3,685 $ 3,879 $ - $ - $ - $ - $ RISK AND BENEFITS MANAGER 26306 340 MME 4,725 $ 5,905 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SAFETY MANAGER 23300 313 MME 3,632 $ 4,539 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SENIOR ACCOUNTANT 24300 310 MME 3,527 $ 4,409 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SENIOR BUSINESS ANALYST 24301 310 MME 3,527 $ 4,409 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SENIOR CIVIL ENGINEER 24302 331 MME 4,326 $ 5,408 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SENIOR FINANCIAL ANALYST 24304 310 MME 3,527 $ 4,409 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SENIOR HUMAN RESOURCES ANALYST 22305 310 MME 3,527 $ 4,409 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SENIOR LEGAL ANALYST 24306 310 MME 3,527 $ 4,409 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SENIOR PAYROLL ANALYST 23301 310 MME 3,527 $ 4,409 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SENIOR PLANNER 24303 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SIGNAL AND STREET LIGHTING TECHNICIAN 42802 416 CEA 2,773 $ 3,405 $ 2,773 $ 2,919 $ 3,073 $ 3,235 $ 3,405 $ - $ - $ - $ - $ SOLID WASTE AND RECYCLING COORDINATOR 44301 421 CEA 3,160 $ 3,879 $ 3,160 $ 3,326 $ 3,501 $ 3,685 $ 3,879 $ - $ - $ - $ - $ SOLID WASTE AND RECYCLING PROGRAM MANAGER 26118 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ STORMWATER CODE ENFORCEMENT OFFICER 44502 419 CEA 2,999 $ 3,682 $ 2,999 $ 3,157 $ 3,323 $ 3,498 $ 3,682 $ - $ - $ - $ - $ STORMWATER PROGRAM MANAGER 26122 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ STREETS CREW COORDINATOR 44902 471 CEA 2,704 $ 3,320 $ 2,704 $ 2,846 $ 2,996 $ 3,154 $ 3,320 $ - $ - $ - $ - $ STREETS MAINTENANCE OPERATOR SBP 42904 470 CEA 1,982 $ 2,988 $ 1,982 $ 2,086 $ 2,196 $ 2,312 $ 2,434 $ 2,562 $ 2,697 $ 2,839 $ 2,988 $ STREETS MAINTENANCE SUPERVISOR 25210 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SUPERVISING ADMINISTRATIVE ASSISTANT 45201 408 CEA 2,254 $ 2,767 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ 2,767 $ - $ - $ - $ - $ SUPERVISING BUILDING INSPECTOR 25200 313 MME 3,632 $ 4,539 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SUPERVISING CIVIL ENGINEER 25211 346 MME 5,009 $ 6,261 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SUPERVISING FIRE VEHICLE MECHANIC 52800 614 FFA 3,652 $ 4,483 $ 3,652 $ 3,844 $ 4,046 $ 4,259 $ 4,483 $ - $ - $ - $ - $ SUPERVISING UTILITY BILLING ASSISTANT 45202 408 CEA 2,254 $ 2,767 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ 2,767 $ - $ - $ - $ - $ SUSTAINABILITY AND NATURAL RESOURCES ANALYST 22313 300 MME 3,198 $ 3,997 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SUSTAINABILITY AND NATURAL RESOURCES OFFICIAL 26110 340 MME 4,725 $ 5,905 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SUSTAINABILITY MANAGER 25302 318 MME 3,810 $ 4,762 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ SWEEPER OPERATOR 42905 406 CEA 2,141 $ 2,629 $ 2,141 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ - $ - $ - $ - $ SYSTEM APPLICATION SPECIALIST CONFIDENTIAL 32403 299 CNF 3,785 $ 4,647 $ 3,785 $ 3,984 $ 4,194 $ 4,415 $ 4,647 $ - $ - $ - $ - $

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TRANSPORTATION MANAGER PROFESSIONAL
ENGINEER/TRAFFIC ENGINEER 26215 346 MME 5,009 $ 6,261 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ TRANSPORTATION PLANNER ENGINEER I 41301 419 CEA 2,999 $ 3,682 $ 2,999 $ 3,157 $ 3,323 $ 3,498 $ 3,682 $ - $ - $ - $ - $ TRANSPORTATION PLANNER ENGINEER II 42302 423 CEA 3,329 $ 4,086 $ 3,329 $ 3,504 $ 3,688 $ 3,882 $ 4,086 $ - $ - $ - $ - $ TRANSPORTATION PLANNER ENGINEER III 43302 426 CEA 3,596 $ 4,415 $ 3,596 $ 3,785 $ 3,984 $ 4,194 $ 4,415 $ - $ - $ - $ - $ UNDERGROUND UTILITIES LOCATOR 42803 409 CEA 2,312 $ 2,839 $ 2,312 $ 2,434 $ 2,562 $ 2,697 $ 2,839 $ - $ - $ - $ - $ URBAN FOREST PROGRAM COORDINATOR CITY ARBORIST 44303 422 CEA 3,240 $ 3,978 $ 3,240 $ 3,411 $ 3,590 $ 3,779 $ 3,978 $ - $ - $ - $ - $ URBAN FORESTER SBP 42906 473 CEA 2,130 $ 3,211 $ 2,130 $ 2,242 $ 2,360 $ 2,484 $ 2,615 $ 2,753 $ 2,898 $ 3,050 $ 3,211 $ UTILITIES BUSINESS MANAGER 26111 333 MME 4,413 $ 5,517 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ UTILITIES SPECIAL PROJECTS MANAGER 25304 326 MME 4,122 $ 5,152 $ - $ - $ - $ - $ - $ - $ - $ - $ - $

UTILITIES SPECIAL PROJECTS MANAGER PROFESSIONAL
ENGINEER 25306 331 MME 4,326 $ 5,408 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ UTILITY BILLING ASSISTANT 42702 402 CEA 1,929 $ 2,369 $ 1,929 $ 2,031 $ 2,138 $ 2,251 $ 2,369 $ - $ - $ - $ - $ VOLUNTEER COORDINATOR 44603 408 CEA 2,254 $ 2,767 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ 2,767 $ - $ - $ - $ - $ WASTEWATER COLLECTION SYSTEM CHIEF OPERATOR 44908 423 CEA 3,329 $ 4,086 $ 3,329 $ 3,504 $ 3,688 $ 3,882 $ 4,086 $ - $ - $ - $ - $ WASTEWATER COLLECTION SYSTEM OPERATOR SBP 42907 480 CEA 2,436 $ 3,672 $ 2,436 $ 2,564 $ 2,699 $ 2,841 $ 2,991 $ 3,148 $ 3,314 $ 3,488 $ 3,672 $ WASTEWATER COLLECTION SYSTEM SUPERVISOR 25213 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ WATER CONSERVATION SPECIALIST 42416 421 CEA 3,160 $ 3,879 $ 3,160 $ 3,326 $ 3,501 $ 3,685 $ 3,879 $ - $ - $ - $ - $ WATER DISTRIBUTION CHIEF OPERATOR 44903 423 CEA 3,329 $ 4,086 $ 3,329 $ 3,504 $ 3,688 $ 3,882 $ 4,086 $ - $ - $ - $ - $ WATER DISTRIBUTION SYSTEM OPERATOR SBP 42908 480 CEA 2,436 $ 3,672 $ 2,436 $ 2,564 $ 2,699 $ 2,841 $ 2,991 $ 3,148 $ 3,314 $ 3,488 $ 3,672 $ WATER DISTRIBUTION SYSTEM SUPERVISOR 25214 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ WATER METER AND RADIO INSTALLATION TECHNICIAN 42419 404 CONTRACT 2,031 $ 2,493 $ 2,031 $ 2,138 $ 2,250 $ 2,368 $ 2,493 $ - $ - $ - $ - $

WATER RESOURCE RECOVERY FACILITY CHIEF MAINTENANCE
TECHNICIAN 44904 425 CEA 3,505 $ 4,302 $ 3,505 $ 3,689 $ 3,883 $ 4,087 $ 4,302 $ - $ - $ - $ - $ WATER RESOURCE RECOVERY FACILITY CHIEF OPERATOR 44905 427 CEA 3,691 $ 4,531 $ 3,691 $ 3,885 $ 4,089 $ 4,304 $ 4,531 $ - $ - $ - $ - $

WATER RESOURCE RECOVERY FACILITY MAINTENANCE
TECHNICIAN SBP 42909 485 CEA 2,779 $ 4,189 $ 2,779 $ 2,925 $ 3,079 $ 3,241 $ 3,412 $ 3,592 $ 3,781 $ 3,980 $ 4,189 $ WATER RESOURCE RECOVERY FACILITY OPERATOR SBP 42910 485 CEA 2,779 $ 4,189 $ 2,779 $ 2,925 $ 3,079 $ 3,241 $ 3,412 $ 3,592 $ 3,781 $ 3,980 $ 4,189 $ WATER RESOURCE RECOVERY FACILITY SUPERVISOR 25215 333 MME 4,413 $ 5,517 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ WATER RESOURCES PROGRAM MANAGER 26208 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ WATER RESOURCES TECHNICIAN 42411 415 CEA 2,704 $ 3,320 $ 2,704 $ 2,846 $ 2,996 $ 3,154 $ 3,320 $ - $ - $ - $ - $ WATER SUPPLY OPERATOR SBP 42911 480 CEA 2,436 $ 3,672 $ 2,436 $ 2,564 $ 2,699 $ 2,841 $ 2,991 $ 3,148 $ 3,314 $ 3,488 $ 3,672 $

WATER TREATMENT PLANT CHIEF MAINTENANCE
TECHNICIAN 44906 425 CEA 3,505 $ 4,302 $ 3,505 $ 3,689 $ 3,883 $ 4,087 $ 4,302 $ - $ - $ - $ - $ WATER TREATMENT PLANT CHIEF OPERATOR 44907 427 CEA 3,691 $ 4,531 $ 3,691 $ 3,885 $ 4,089 $ 4,304 $ 4,531 $ - $ - $ - $ - $ WATER TREATMENT PLANT OPERATOR SBP 42912 485 CEA 2,779 $ 4,189 $ 2,779 $ 2,925 $ 3,079 $ 3,241 $ 3,412 $ 3,592 $ 3,781 $ 3,980 $ 4,189 $ WATER TREATMENT PLANT SUPERVISOR 25216 333 MME 4,413 $ 5,517 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ WHALE ROCK RESERVOIR SUPERVISOR 25217 323 MME 4,000 $ 5,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ YOUTH SERVICES COORDINATOR 44602 412 CEA 2,500 $ 3,071 $ 2,500 $ 2,632 $ 2,771 $ 2,917 $ 3,071 $ - $ - $ - $ - $

YOUTH SERVICES PROGRAM SPECIALIST CHILDCARE SITE
DIRECTOR 42600 406 CEA 2,141 $ 2,629 $ 2,141 $ 2,254 $ 2,373 $ 2,498 $ 2,629 $ - $ - $ - $ - $

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Item 5i
Department: Utilities
Cost Center: 6102
For Agenda of: 10/15/2024
Placement: Consent
Estimated Time: N/A
FROM: Aaron Floyd, Utilities Director
Prepared By: Miguel Barcenas, Deputy Director – Engineering and Planning Shawna Scott, Special Projects Manager
SUBJECT: AUTHORIZE WASTEWATER IMPACT FEE FUNDS AND EXECUTION OF

A CONTRACT CHANGE ORDER FOR THE BUCKLEY SEWER LIFT

STATION

RECOMMENDATION

1. Authorize Wastewater Impact Fee Funds in the amount of $281,358.15 to reimburse Wathen Castanos Homes for the construction of the Buckley Lift Station; and

2. Authorize the Utilities Director and City Engineer to execute a Contract Change Order One (CCO#1) in the amount of $281,358.15 with Wathen Castanos Homes for construction modifications made to the Buckley Lift Station.

POLICY CONTEXT
On October 3, 2017, the City Council approved a Development Agreement (DA) with Avila Ranch (Attachment A) to further the cooperative relationship between the City and Avila Ranch for the benefit of all residents of San Luis Obispo during the implementation of the Avila Ranch Development Plan and Tract 3089 (Avila Ranch Project). DA Section 6.02.1 required Avila Ranch to construct or pay for its fair share allocation of public facilities and infrastructure needed to serve the project and Vesting Tentative Tract Map 3089 was conditioned to require Avila Ranch to construct the Buckley Sewer Lift Station. DA Section

5.05.3 requires the City to reimburse “the actual hard and soft costs associated with Avila Ranch’s construction of that portion of any oversized facilities attributable to a project or area other than the Project or Project property.”
On June 4, 2019, the City Council approved a Wastewater Reimbursement Agreement for Avila Ranch (Attachments B and C) for construction of the Buckley Sewer Lift Station to include oversizing needs that were subsequent to the DA execution. The Buckley Lift Station was constructed by Wathen Castanos Homes (WCH) and is currently operational.

The RA states that the City will issue reimbursements to Avila Ranch for the cost of constructing the Buckley Lift Station “to the extent that such reimbursements are available as part of the City’s adopted fee program.” The RA needs to comply with City’s purchasing policy and requires Council Approval for contract changes in excess of $200,000.

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Item 5i

DISCUSSION
Background
The Avila Ranch DA includes provisions to oversize the Buckley Lift Station for the Avila Ranch Project and provide additional sewer capacity for regional undeveloped areas outside of the Project’s tract boundary. While the DA focused on exactions related to the sewer service area and horizontal control of what could be served by the new lift station, a subsequent comprehensive sewer system study showed the need for a deeper and new lift station allowing future system expansions into the Airport Area Specific Plan area.

The need for deeper sewer systems and lift station wet-well, and associated additional costs, resulted in a negotiated Reimbursement Agreement (RA) approved by the City Council as part of Resolution No. 11021. The RA stipulates that the City would pay back Wathen Castanos Homes (WCH) for the sewer lift station oversizing using Equivalent Dwelling Units (EDUs) constructed over an approximate ten-year period. Since the RA used a budgetary number, it was stipulated that a 1200-sf home would pay at cost shared contribution of 1-EDU. This EDU methodology would give flexibility to the timing of home construction and size of units. Units smaller than 1-EDU were pro-rated based on floor area by square footage (refer to Attachment B-Exhibit 2).

Resolution 11021 (Attachment B) and the executed RA (Attachment C) allows the Utilities Director to administer and implement the “Wastewater Reimbursement Agreement,” and recitals include requirements by the developer to pay for its fair share allocation of the public facilities and infrastructure needed to serve the project with reimbursements for oversized components. The developer requirements not eligible for reimbursement include the pressure pipe and forcemain systems installed north of the lift station in addition to the storm drain improvements described above. Oversized components eligible for reimbursement include increased depths of sewer mains and the lift station for a benefit the City for future sewer capacity needs.

Contract Change Order
During the construction phase of the Buckley Lift Station, material shortages and disruptions to supply chains for electrical components triggered the need to modify the Avila Ranch Public Improvement Plans (PIPs) approved by permit number FMAP-1563- 2018. The modifications resulted in some cost credits and some cost increases that were beyond the scope of the RA budget. The site also required fencing and paving modifications to improve security around the modified electrical equipment. The site modifications were negotiated as a “force-account” by the City Inspector and Utilities Engineer to meet the construction deadline for the new home sales needing sewer services. The stipulation on “force-account” work is a City acknowledgement of a changed condition for construction but does not guarantee payment until an audit is completed.

During the project close-out phase, the final invoices were audited, and staff concluded some cost-and-time impacts in the “force-account” documentation were valid.

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Item 5i
The RA states that City directed changes to the Buckley Lift Station directed by the City Engineer are eligible for corresponding adjustments to the Developer Costs to construct the lift station that are below $45,000, and within amount of Eligible Wastewater Fee Reimbursements as set forth in the RA (Section 6, Scope of Agreement). Over the course of construction, there were multiple site conditions that required a contract change. Most changes were negotiated into a no cost-change to the City, with the exception of the line items in Attachment D. The rejected “force-account” items are storm drainage improvements that are the responsibility of WCH as stated in the conditions of approval for the Avila Ranch development. The rejected items are included in CCO#1 for reference and are listed in items 1L and 1M with no cost increases to the City; the WCH development team has agreed to exclude these costs.

The cumulative cost sum of the recommended changes exceed $45,000, but staff has reviewed the change order request and agrees that the costs are fair and reasonable.

Therefore, staff recommends the addition of the Contract Change Order #1 (CCO#1) (Attachment D) cost to the RA for a final lift station purchase cost as shown below to settle all claims and disputes regarding contract change conditions during construction (see Fiscal Analysis). The RA needs to comply with City’s purchasing policy and requires Council Approval for contract changes in excess of $200,000. In addition to stipulations for reimbursement, the RA states that the Buckley Lift Station shall become the sole exclusive property of the City upon final acceptance by the Public Works Director (Section 8 of the RA).

Previous Council or Advisory Body Action
On October 3, 2017, the City Council approved a Development Agreement (DA) with Avila Ranch (Attachment A) and on June 4, 2019, the City Council approved a Wastewater Reimbursement Agreement for Avila Ranch (Attachments B and C) for construction of the Buckley Lift Station. On February 21, 2023, via Resolution 11393, the City Council accepted a portion of the public improvements for Tract 3089-1 (Avila Ranch, Phase 1), and authorized the Public Works Director to accept the remaining improvements (including, but not limited to the Buckley Lift Station).

Public Engagement
The City Council’s consideration and approval of the Avila Ranch entitlements and DA included public noticing, hearing advertisements, and public hearing processes including receipt of public comment. The RA was reviewed via the Council’s consent agenda and allowed for receipt of public comment. This contract change order is included in the consent agenda as part of a regular City Council Meeting, which provides the opportunity for the public to comment. Council may receive and consider any public comment related to the proposed change order and funding request.

CONCURRENCE
The Public Works and Community Development Departments concur with Staff’s recommendation.

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Item 5i

ENVIRONMENTAL REVIEW
On September 19, 2017, the City Council certified the Final Environmental Impact Report (EIR) for the Avila Ranch Development Project. The proposed action is consistent with the certified EIR and no subsequent or supplemental EIR is necessary or required under CEQA because the action will not result in any physical change and would be consistent with and within the scope of and contemplated by the FEIR adopted for the Avila Ranch Project.

FISCAL IMPACT
Budgeted: Yes Budget Year: 2023-24
Funding Identified: Yes
Fiscal Analysis:

In 2019, City Council approved $1,414,759 to be reimbursed to Avila Ranch. Additional funding in the amount of $150,000 was approved by City Council as part of the 2024-25 Budget Supplement for Buckley Lift Station Specification 200083 to include CCO#1 and additional modifications needed by the City’s Wastewater Collections Section for a sunshade structure around the telemetry control panel. The Reimbursement Agreement states that the City will issue the reimbursements from the City’s Sewer Fund to the extent that such reimbursements are available as part of the City’s adopted Wastewater Impact Fee Program (Recital G). The City’s Wastewater Impact Fee balance for the project is approximately $1.95 million; therefore, there are funds available for the $281,358.15 change order.

In addition to construction costs, the total project budget ($1,951,818.89) includes engineering (soft) costs, including but not limited to costs associated with design, plan check, construction management, and others. The Reimbursement Agreement requires the City to pay these actual costs. Any remaining unused funds will be transferred back into the Sewer Fund Completed Project’s account upon project completion.

Funding
Sources
Total
Budget
Available
Current Funding
Request
Remaining
Balance1
Annual
Ongoing
Cost
Wastewater
Impact Fund:
$527,234.17 $281,358.15 $245,876.02 N/A
Total $527,234.17 $281,358.15 $245,876.02 N/A

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Item 5i
Buckley Lift Station (2000083-01)
Reimbursement Agreement $1,414,759.00
CCO#1 $281,358.15
Total Reimbursement to WCH $1,696,117.15
Total Available Funding $1,951,818.89
Remaining Balance 1 $245,876.02
Note 1: The remaining balance includes encumbrances in the amount of $9,825.72 for contract plan check services and construction management services that are finished and are under budget as part of a separate requisition and purchase order number.

ALTERNATIVES

1. Do Not Approve Contract Change Order #1 (CCO #1): This alternative is not recommended as it is not aligned with objectives of the Reimbursement Agreement, and Development Agreement Section 5.05.3 to provide reimbursement for final costs associated with the construction and that portion of oversized improvements as determined by the Utilities Director or designee based on reasonable discretion.

ATTACHMENTS
A - Avila Ranch Development Agreement (Reading File)
B - Avila Ranch Reimbursement Agreement Resolution 11201 C - Avila Ranch Reimbursement Agreement
D - Contract Change Order #1 (CCO #1)

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Recording Fees Exempt Pursuant to
Government Code § 27383.

Recording Requested By And
When Recorded Mail to:

City of San Luis Obispo
c/ o City Clerk
990 Palm Street
San Luis Obispo, California 93401
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2017053192
Tommy Gong
San Luis Obispo - County Clerk -Recorder
11/ 17/ 2017 01: 41 PM
Recorded at the request of:

PUBLIC
Titles: 1 Pages: 124
Fees: $ 0. 00
Taxes: $ 0. 00
Total: $ 0. 00

DEVELOPMENT AGREEMENT

BY AND BETWEEN

THE CITY OF SAN LUIS OBISPO
101

AVILA RANCH, LLC

RELATING TO

THE AVILA RANCH SPECIFIC PLAN
The " AVILA RANCH DEVELOPMENT AGREEMENT")
As Adopted by the San Luis Obispo City Council
on October 3, 2017 by Ordinance No. 1639 ( 2017 Series) REC.EIVED
NOV 2 0 2017

SLO CITY CLERK
Dgo-7c[ Page 327 of 566

TABLE OF CONTENTS
RECITALS AND DEFINITIONS................................................................................................... 1 AGREEMENT................................................................................................................ 4 ARTICLE1. GENERALLY.......................................................................................................... 4 Section 1. 01. Definition of "Avila Ranch"............................................................. 4 Section 1. 02. Effective Date................................................................................... 4 Section1. 03. Term..................................................................................................4 Section 1. 04. Execution and Recordation ofAgreement........................................ 5 ARTICLE 2. DESCRIPTION OF THE PROJECT............................................................6 Section2.01. In General......................................................................................... 6 Section 2. 02. Project Approvals.......................................................... ............... 6 Section 2. 03. Subsequent Approvals......................................................................6 Section 2. 04. Subsequent Approval Documents..................................................... 6 Section2.05. Approvals..........................................................................................6 ARTICLE 3. DEVELOPMENT OF PROJECT IN GENERAL........................................7 Section 3. 01. Consideration to Avila Ranch........................................................... 7 Section 3. 02. Consideration to City........................................................................ 7 Section 3. 03. Rights of Avila Ranch Generally......................................................7 Section 3. 04. Rights of City Generally..................................................................... 8 Section 3. 05. Project Parameters............................................................................ 8 ARTICLE 4. APPLICABLE LAW.................................................................................... 8 Section 4.01. In General......................................................................................... 8 Section 4.02. Application of Other City Laws....................................................... 8 Section 4.04. State and Federal Law......................................................................9 ARTICLE 5. FINANCIAL COMMITMENTS OF CITY AND AVILA RANCH ...........9 i
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Section5. 01. In General.............................:............................................................ 9 Section 5. 02.Basic Principles.................................................................................. 9 Section 5. 02. 2. Financing of Infrastructure; Operation and Maintenance ............ 10 Section 5. 03. Establishment of Financing Mechanisms....................................... 11 Section 5. 04. Imposition of and Increases in Fees, Taxes, Assessments andOther Charges..................................................................................... 12 Section 5. 05. Other Commitments of City and Avila Ranch Related to Financing.................................................................................................. 14 Section 5. 05. 4. Other Shortfalls of City............................................................... 17 ARTICLE 6. COMMITMENTS OF CITY AND AVILA RANCH RELATED TO PUBLICIMPROVEMENTS............................................................................................. 18 Section 6. 01. Backbone Infrastructure Phasing Plan............................................. 18 Section 6. 02. Construction and Dedication of Project Facilities and Infrastructure.............................................................................................. 18 Section 6.03. Dedications..................................................................................... 19 Section 6.04. Cooperation with Respect to Project Facilities and Infrastructure..............................................................................................19 ARTICLE 7. OTHER COMMITMENTS OF CITY AND AVILA RANCH..................21 Section 7. 01. Mutual Cooperation for Other Governmental Permits ...................21 Section 7. 02. Timing of Development..................................................................21 Section 7. 03. Dedication of Park Lands...................:....,....................................... 22 Section 7. 04. Dedication of Open Space and Agricultural Lands ......................... 22 Section 7.05. Affordable Housing and Workforce Housing.................................23 Section7.07. Energy.............................................................................................. 23 Section7.08. Water.....................:.......................................................................... 23 Section 7. 09. Storm Drain Facilities......................................................................24 Section 7. 10. Interim Fire Station.......................................................................... 24 ii
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Section 7. 11. Traffic and Circulation Improvements........................................... 24 Section 7. 12. Bicycle and Multimodal Transportation Improvements................. 25 Section 7. 13. Miscellaneous.................................................................................. 25 ARTICLE 8. CONSIDERATION OF PERMITS AND APPROVALS ...........................26 Section8.01. In General................................................................................................... 26 Section 8. 02. General Plan and AASP Amendments........................................... 27 Section 8. 03. CEQA Compliance . ................................... __.............................. ................ 27 Section 8. 04. Life ofApprovals .................................

Section 8. 05. Vesting Maps.................................................................................. 27 Section 8. 06. Need for Flexibility......................................................................... 27 ARTICLE 9. AMENDMENTS........................................................................................ 28 Section 9.01. Amendments ofAgreement........................................................................28 ARTICLE 10. ANNUAL REVIEW................................................................................. 28 Section 10. 01. Annual Review.............................................................................28 ARTICLE 11. MITIGATION MONITORING AND REPORTING PROGRAM EVALUATION; DEVELOPMENT AGREEMENT REVIEW ...........................29 Section 11. 01. Mitigation Monitoring and Reporting Program Evaluation ..................... 29 Section 11. 02. Development Agreement Review.................................................29 ARTICLE 12. DEFAULT, REMEDIES, TERMINATION OF DEVELOPMENT AGREEMENT....................................................................................................... 30 Section12. 01. Defaults......................................................................................... 30 Section 12. 01. 1. Notice and Cure......................................................................... 30 Section 12. 01. 2. Actions during Cure Period ....................... ............................. 30 Section 12. 02. Remedies ofNon -Defaulting Party.............................................. 30 Section 12. 03. Termination Due to Default..........................................................32 Section 12. 03. 2. Procedures for Termination.......................................................32 iii
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ARTICLE 13. ASSIGNMENT, TRANSFER AND NOTICE.........................................33 Section 13. 02. Transfers In General..................................................................... 33 Section 13. 02.02. City Review of Release Provisions...........................................33 ARTICLE 14. MORTGAGEE PROTECTION...............................................................34 ARTICLE 15. GENERAL PROVISIONS.......................................................................35 Section 15. 01. Incorporation of Recitals and Exhibits.........................................35 Section 15. 02. Project is a Private Undertaking...................................................36 Section 15. 03. Cooperation in the Event of Legal Challenge........................................... 36 Section 15. 04. Defense and Indemnity................................................................. 36 Section 15. 05. Governing Law; Attorneys' Fees.................................................. 37 Section 15. 06. Force Majeure...............................................................................37 Section 15. 07. Waiver .................................................. 37 Section15. 08. Notices.......................................................................................... 38 Section 15. 09. No Joint Venture or Partnership................................................... 39 Section 15. 10. Severability...................................................................................39 Section 15. 11. Estoppel Certificate......................................................................39 Section 15. 12. Further Assurances........................................................................ 39 Section 15. 13. Construction..............................................................................................39 Section 15. 14. Other Miscellaneous Terms ......................... .............................. 40 Section 15. 15. Counterpart Execution..................................................................40 Section15. 16. Time..............................................................................................40 Section 15. 17. Good Faith/ Fair Dealing...............................................................40 Section 15. 18. Exhibits........................................................................ ...................... 40 iv
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DEVELOPMENT AGREEMENT

BY AND BETWEEN THE CITY OF SAN LUIS OBISPO AND AVILA RANCH, LLC

RELATING TO THE AVILA RANCH DEVELOPMENT PLAN
THIS DEVELOPMENT AGREEMENT is entered into this 2nd day ofNovember, 2017 Execution Date"), by and between the CITY OF SAN LUIS OBISPO, a municipal corporation and charter city ("City"), and AVILA RANCH, LLC, a California limited liability company Avila Ranch" or "Developer"), hereinafter referred to in this Development Agreement individually as a " Party" and collectively as the " Parties," as appropriate.

RECITALS AND DEFINITIONS
A. The " Project," as referenced in this Development Agreement, consists of the development of housing, neighborhood commercial buildings, parks, agricultural and open space uses, and various public infrastructure facilities located within the Avila Ranch subarea ofthe Airport Area Specific Plan area on the southwestern boundary ofthe City, as more particularly described and defined in Section 2. 01 below.

B. The " Property," as referenced in this Development Agreement, consists of approximately 150 acres of land that has been designated for development as part of the Airport Area Specific Plan (the " AASP Area"). The property comprising the Property is more fully shown on Exhibit A attached hereto and incorporated herein by this reference. Exhibit B attached hereto sets forth the legal description for the Property. Avila Ranch represents and warrants to City that as of the Execution Date, Avila Ranch has a legal or equitable interest in the Property.

C. Upon the effective date of the City ordinance approving this Development Agreement, this Development Agreement becomes Effective, as defined in Section 1. 02 below, as to the Property and the City will record it against the Property.

D. On December 9, 2014, City adopted an update to the Land Use and Circulation Elements ofthe City' s General Plan that included the AASP Area. The City' s General Plan designates the Property for a variety of land uses including residential, neighborhood commercial, open space, and agricultural, and provides for the development ofthese uses so as to benefit the City and its residents
E. City and Avila Ranch have engaged in a cooperative and successful relationship to establish a development plan for the Property (the " Development Plan"). These efforts have culminated in the City' s adoption and approval of the following entitlements:
1) The Final Environmental Impact Report and associated Mitigation Monitoring and Reporting Plan (including all mitigation measures therein) for the project certified and adopted, respectively, by Resolution No. 10832 ( 2017 Series), on September 19, 2017.
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2) The Amendment to Airport Area Specific Plan as amended by Resolution No. 10832 ( 2017 Series), adopted September 19, 2017.
3) The City' s zoning map as amended by Ordinance No. 1638 ( 2017 Series), adopted October 3, 2017.
4) The Development Plan approved by Resolution No. 10832 ( 2017 Series), on September 19, 2017.
5) Vesting Tentative Tract Map #3089 (Avila Ranch) approved by Resolution No. 10832 ( 2017 Series), on September 19, 2017.
6) Ordinance No. 1639 ( 2017 Series) dated October 3, 2017 adopting this Development Agreement (" the Adopting Ordinance").
7) The amendment to the City General Plan, as amended by Resolution No. by Resolution No. 10832 ( 2017 Series), on September 19, 2017. 8) The conditions of approval of each of the foregoing.

These approvals described in this Recital E, together with the Environmental Impact Report and related Findings, Statement of Overriding Considerations and Mitigation Monitoring and Reporting Plan described in Recital F below, are referred to herein, collectively, as the Entitlements" or "Project Entitlements."
F. Before approving the Entitlements described in Recital E above, the City Council of the City of San Luis Obispo: (i) reviewed and considered the significant environmental impacts of the Project and several alternatives to the Project, as described in that certain Final Environmental Impact Report (the " Project EIR") and (ii) adopted Resolution No. No. 10832 2017 Series), on September 19, 2017 to certify the Project EIR, making Findings Concerning Mitigation Measures and Alternatives (the " Findings"), adopting a Statement of Overriding Considerations, and adopting a Mitigation Monitoring and Reporting Plan (the " MMRP"), all in accordance with the provisions of the California Environmental Quality Act, California Public Resources Code section 21000 et seq. (" CEQA").

G. One ofthe principal purposes of this Development Agreement is to further the cooperative relationship between City and Avila Ranch for the benefit of all residents of San Luis Obispo during the implementation of the Project. The City and Avila Ranch join as Parties to this Development Agreement to ensure the requirements ofthe Development Agreement Statute ( California Government Code section 65864 et. seq.) are satisfied. As more fully set forth below, this Development Agreement contains both covenants of a personal nature and covenants and/ or servitudes that run with title to the Property.

H. This Development Agreement is based upon and was written to achieve these purposes:
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1) that the City shall be kept and/or made " whole" by Avila Ranch as to the Property and by other property owners with respect to their respective properties with respect to all aspects ( e. g., fiscal impacts, etc.) of the planning, development, maintenance and operation ofthe AASP Area including, among other things, the costs to the City ofproviding the Project with public services and facilities, the payment of City' s costs associated with the implementation of the Development Agreement, the Entitlements, all other planning and environmental efforts described and envisioned by the Development Agreement, the Subsequent Approvals ( as defined in Section 2. 04 below) and the Project, and the mitigation of the Project' s environmental impacts.
2) that once this Development Agreement has taken legal effect, Avila Ranch shall have a full and vested right, throughout the term ofthis Development Agreement, to the Rights and Obligations as to the Property;
3) that this Development Agreement is intended to reduce the uncertainty in planning and implementation for and, and to secure the orderly development of, the Project, ensure a desirable and functional community environment, provide effective and efficient development of public facilities, infrastructure and services appropriate for the development of the Project, ensure maximum effective utilization ofresources within the City, and provide other significant benefits to the City and its residents;
4) to secure Project features and Development conditions above and beyond those that may be levied by the City under existing zoning and development regulations and the FEIR;
5) to provide Developer with a reliable and definitive form ofreimbursement for offsite and onsite infrastructure beyond its fair share; 6) that this Development Agreement is intended to be consistent with and to implement the City' s General Plan, and more particularly the achievement ofthe community' s development objectives for the Property as set forth in Policy 8. 1. 6 of the Land Use Element;
7) that the development ofthe Project will enable the City to capture sales taxes that are being leaked to other communities because of the jobs -housing imbalance; 8) that the development ofthe Project would result in the capture of an estimated 540 households that commute to jobs in San Luis Obispo, resulting in the reduction of Countywide vehicle miles traveled for those trips by approximately

4.0 million miles per year; and
9) that the value of the obligations of the Developer pursuant to this Development Agreement are anticipated to be above and beyond those necessary to serve the Project.
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The Rights and Obligations of the Parties to this Development Agreement shall be construed and interpreted so as shall give full effect to each and all of these purposes.

I. As used in this Development Agreement, " Rights" shall mean all of the vested and other rights and benefits of the Development Agreement, and the term " Obligations" shall mean all of the duties, obligations, responsibilities and other burdens ofthe Development Agreement. References to lot numbers in this Development Agreement refer to lots as numbered in Vesting Tentative Tract Map. No. 3089 dated April 26, 2017.

J. As used in this Development Agreement, the terms, phrases and words shall have the meanings and be interpreted as set forth in this Development Agreement (the meaning given the term in the singular shall include the term in the plural and vice versa) unless the context clearly indicates the Parties intended another meaning. To the extent that any capitalized terms contained in this Development Agreement are not defined within it, then such terms shall have the meaning ascribed to them in the City Laws, other applicable law or, ifno meaning is given a term in any ofthose sources, the common understanding of the term shall control.

AGREEMENT
NOW, THEREFORE, in consideration of the promises, covenants and provisions set forth in this Development Agreement, the Parties hereby agree as follows:

ARTICLE 1. GENERALLY
Section 1. 01. Definition of "Avila Ranch." As used herein, " Avila Ranch" means Avila Ranch, LLC, as that business entity existed on the Effective Date and any permitted successor, assign, or transferee ofAvila Ranch, LLC.

Section 1. 02. Effective Date. This Development Agreement is entered into by and between the City and Avila Ranch and takes legal effect on November 2, 2017, the date that Ordinance No. 1639 ( 2017 Series) approving the Development Agreement takes legal effect (" Effective Date").

The terms and conditions of this Development Agreement shall be for the benefit of or a burden upon the Property, shall run with title to the Property, and shall be binding upon Avila Ranch and its permitted successors, assigns and transferees during their respective ownerships of any portion of the Property.

Section 1. 03. Term.

Section 1. 03. 1. In General.
a) The term of this Development Agreement shall commence upon the Effective Date and shall continue until, and terminate upon, the earliest ofthe following dates (" Termination Date"):
al
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1) 12: 01 a.m. on the anniversary of the Effective Date, 2037, unless Avila Ranch requests, and the City approves, an extension of the Term for an additional 10 - year period, in which case the Termination Date shall be 12: 01 on the anniversary of the Effective Date, 2047. Such request for extension shall be submitted, in writing, to the City Manager at least 180 days, but no earlier than 365 days, before the 2037 Termination Date. The City may deny the request ifAvila Ranch is not in compliance with all of its Obligations under this Development Agreement; 2) 12: 01 a.m. on the anniversary of the Effective Date, 2024, should Avila Ranch fail to substantially complete the Backbone Infrastructure for Phases 1 and 2 ofthe Project in accordance with the Project' s Phasing Plan as set forth in Section 6.01, below. As used herein, " substantially complete" means that all ofthe Backbone Infrastructure required for Phases 1 and 2 listed in the phasing schedule is actively under construction and is being diligently prosecuted to completion, with all bonds in place.
3) This Development Agreement may be terminated with respect to the property included in a recorded final subdivision map creating residential lots on any portion ofthe Property, provided that no further on- site or off-site infrastructure is required and no conditions remain to be satisfied before building permits can be issued for the development of lots depicted on that map. Concurrently with or following recordation of such a subdivision map as to any portion ofthe Property, Avila Ranch may request in writing and the Community Development Director shall not unreasonably withhold a certificate of termination of this Development Agreement, in recordable form, solely as to the property included in such a final recorded map which meets the foregoing requirements; provided that no such certificate need issue ifobligations to the City under this Development Agreement remain unfulfilled which are not made conditions ofthe approval ofthe subdivision map. Upon the Community Development Director' s recordation of such a certificate, this Development Agreement shall terminate as to the land covered by such final map. IfAvila Ranch does not request or the Community Development Director does not issue such a certificate, this Development Agreement shall continue to apply to any lot depicted on such a subdivision map until this Development Agreement otherwise expires or terminates according to its terms.
b) This Development Agreement shall be of no further force, effect or operation upon the Termination Date. Subject to the provisions of Section 8. 04 below, in no event shall the expiration or termination of this Development Agreement result in expiration or termination of any Approval without further action of City.

Section 1. 04. Execution and Recordation ofAgreement.

Section 1. 04. 1. Execution and Recordation. Avila Ranch shall execute this Development Agreement, in conformance with Section 15. 15 ofthis Development Agreement, within five business days of date of adoption of the Adopting Ordinance referenced in Recital E above. 183247. 1

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Provided Avila Ranch has so executed this Development Agreement, City shall execute this Agreement, in conformance with Section 15. 15 ofthis Agreement, within five business days of execution of this Development Agreement by Avila Ranch.

Section 1. 04.2. Recordation. City shall deliver this Development Agreement to the County Recorder for recordation within 10 days following its execution.

ARTICLE 2. DESCRIPTION OF THE PROJECT
Section 2.01. In General. As used herein, " Project" means the development ofthe Property as described in the " Project Approvals" ( defined in Section 2. 02 below), including all on- site and off-site " Project Facilities and Infrastructure" ( defined in Section 5. 02. 1 below).

Section 2. 02. Project Approvals. As used herein, " Project Approvals" include, but are not limited to: ( i) those provisions of City' s General Plan that relate to or affect the Property, as the General Plan existed on the Effective Date and as it may be amended from time to time consistently with this Development Agreement (the " General Plan"), ( ii) those provisions ofthe Development Plan (including the Design Guidelines) that relate to or affect the Property, as incorporated into the Specific Plan, as the Development Plan existed on the Effective Date and as it may be amended from time to time consistently with this Development Agreement (the Development Plan"), ( iii) the zoning of the Property, as it existed on the Effective Date and as it may be amended from time to time consistently with this Development Agreement thereafter the " Zoning") and (iv) the other entitlements listed in Recital E above; provided that " Project Approvals" shall not mean or include amendments to the General Plan, AASP or Zoning ofthe Property that conflict with the Project Approvals as they existed on the Effective Date unless Avila Ranch consents in writing to such conflicting amendments.

Section 2. 03. Subsequent Approvals. As used herein, " Subsequent Approvals" mean those permits and approvals (other than the Project Approvals and amendments thereto) necessary or desirable for the development ofthe Project including, without limitation, those identified in Section 2. 04 below.

Section 2. 04. Subsequent Approval Documents. The " Subsequent Approvals" defined in Section 2.03 above include, but are not limited to: ( i) subdivision maps and related or similar approvals issued under the California Subdivision Map Act, (ii) development permits (including Site Plan Reviews and Conditional Use Permits as described in the Specific Plan), (iii) architectural review and design review approvals ( as described in the Specific Plan), ( iv) any other discretionary or ministerial permits or approvals of City necessary or appropriate for buildout of the Project and Property, and (vi) any amendments to any of the foregoing necessary or appropriate for the development of the Project.

Section 2. 05. Approvals. Project Approvals, amendments to Project Approvals, and Subsequent Approvals are sometimes referred to in this Development Agreement collectively as the " Approvals" and each individually as an " Approval." G
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ARTICLE 3. DEVELOPMENT OF PROJECT IN GENERAL
Section 3. 01. Consideration to Avila Ranch. The Parties acknowledge and agree that City' s agreement to perform and abide by the covenants and Obligations of City set forth herein is material consideration for Avila Ranch' s agreement to perform and abide by the covenants and Obligations ofAvila Ranch set forth herein.

Section 3. 02. Consideration to City. The Parties acknowledge and agree that Avila Ranch' s agreement to perform and abide by the covenants and Obligations of Avila Ranch set forth herein is material consideration for City' s agreement to perform and abide by the covenants and Obligations of City set forth herein.

Section 3. 03. Rights ofAvila Ranch Generally. Avila Ranch shall have a fully vested right to develop the Project and to use the Property consistently with this Development Agreement and Applicable Law.
a) During the Term ofthis Development Agreement, the Developer shall have a vested right to develop the Property to the full extent permitted by the Entitlements and this Development Agreement. Except as provided within this Development Agreement, the Entitlements shall exclusively control the development ofthe Property, including the uses ofthe Property, the density or intensity of use, the maximum height and size of proposed buildings, the provisions for reservations or dedications ofland for public purposes and the design, improvement and construction standards and specifications applicable to the Project. The maximum number ofresidential units authorized to be constructed hereunder and the approximate acreage of commercial development is 720 residential units and approximately 15, 000 square feet of commercial development. In furtherance of the foregoing, the Developer retains the right to apportion the uses, intensities and densities, between itself and any other owners of the Property, upon the sale, transfer or assignment of any portion of the Property, so long as such apportionment is consistent with the Entitlements and this Development Agreement.
b) Subject to the City' s exercise of its police power authority the Developer shall have a vested right to: ( i) receive from the City all future development approvals for the Property that are consistent with and implement the Entitlements and this Development Agreement; (ii) not have such approvals be conditioned or delayed for reasons which are inconsistent with the Entitlements or this Development Agreement; and ( iii) develop the Property in a manner consistent with such approvals in accordance with the Entitlements and this Development Agreement.

All future development approvals for the Property, including without limitation general plan amendments, zoning changes, or parcel maps or tract maps, shall upon approval of the City be vested in the same manner as provided in this Development Agreement as for the Entitlements.
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Section 3. 04. Rights of City Generally. City shall have a right to regulate development of the Project and use of the Property consistently with this Development Agreement and Applicable Law.

Section 3. 05. Project Parameters. The permitted uses of the Property, the density and intensity of use ofthe Property, the maximum height and size ofbuildings included in the Project, and provisions for the reservation and dedication ofland shall be as set forth herein and in the Project Approvals.

ARTICLE 4. APPLICABLE LAW
Section 4.01. In General.

Section 4.01. 1. Applicable Law Defined. Except as the Parties may otherwise agree, the rules, regulations and official policies applicable to the Project and the Property during the Term of this Development Agreement shall be those set forth in this Development Agreement and, except as otherwise set forth herein, the rules, regulations and official policies of City (including the plans, municipal codes, ordinances, resolutions and other local laws, regulations, capital facilities fees and policies of City) in force and effect on the Effective Date ( collectively, Applicable Law").

Section 4.01. 2. Approvals as Applicable Law. Applicable Law shall include, without limitation, Approvals as they may be issued from time to time consistently with this Agreement.

Section 4.02. Application of Other City Laws.

Section 4.02. 1. No Conflicting City Laws.
a) City may apply to the Project and the Property any rule, regulation or official policy of City (including any plan, municipal code, ordinance, resolution or other local law, regulation, capital facility fee or policy of City) (each a " City Law") that does not conflict with Applicable Law or this Agreement. City shall not, however, without the written consent ofAvila Ranch apply to the Project or the Property (whether by initiative, referendum, imposition of mitigation measures under CEQA or otherwise) any City Law that is in conflict with Applicable Law or this Agreement.
b) If City attempts to apply to the Project a City Law which Avila Ranch believes to conflict with Applicable Law or this Agreement, Avila Ranch shall give City written notice describing the legal and factual basis for Avila Ranch' s position.

The Parties shall meet and confer within 30 days of City' s receipt of such written notice to seek to resolve any disagreement. Ifno mutually acceptable solution can be reached, either Party may take such action as may be permitted under Article 12 below.

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a) Nothing herein shall prevent City from applying to the Project standards contained in uniform building, construction, fire or other uniform codes, as the same may be adopted or amended from time to time by City, provided that the provisions of any such uniform code shall:
1) Apply to the Project only to the extent that such code is in effect on a Citywide basis; and 2) With respect to those portions of any such uniform code that have been adopted by City without amendment, be interpreted and applied consistently with the generally prevailing interpretation and application of such code in California.
b) Nothing herein shall prevent City from applying to the Project standards and specifications for public improvements ( e. g., streets, storm drainage, parking lots, and driveway widths) adopted or amended from time to time by City, provided that such standards and specifications shall apply to the Project and the Property only to the extent that they are in effect on a City-wide basis.

Section 4.04. State and Federal Law.
a) Nothing herein shall prevent City from applying to the Project or the Property any change in City Law required by: (i) state or federal law; or (ii) any governmental agency that, due to the operation of state law (and not the act of City through a memorandum of understanding, joint exercise of powers or other agreement entered into after the Effective Date), has binding legal authority on City. b) Ifthe application of such changes prevents or precludes performance of one or more provisions ofthis Development Agreement, City and Avila Ranch shall take any and all such actions as may be necessary or appropriate to ensure the provisions ofthis Development Agreement shall be implemented to the maximum extent practicable.

ARTICLE 5. FINANCIAL COMMITMENTS OF CITY AND AVILA RANCH Section 5. 01. In General. This Article 5 establishes a framework for the imposition and allocation to the extent permitted by law of fees, taxes, assessments and other revenues to be generated and/or paid by the Project and/ or the Property. The provisions of this Article 5 are intended to prevent the Project from resulting in negative fiscal impacts on City as determined by the fiscal impact analysis prepared for the Project; to facilitate the construction, operation and maintenance of infrastructure and facilities to avoid or limit the physical impacts of development; and to assist in the development ofthe Project so as to provide long-term fiscal and other benefits to City, including increased employment opportunities, an increased tax base and revenues to City, and an enhanced quality of life for the City' s residents.

Section 5. 02. Basic Principles.

Z
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Section 5. 02. 1. General.
a) This Article 5 is intended to serve two basic purposes: first, that there shall be no cost to City for the construction of the fair share allocation of public facilities and infrastructure needed to serve the Project or the Property or for the provision of municipal services to the Project or the Property, including the operation and maintenance of facilities and infrastructure to serve the Project ( collectively, the Project Facilities and Infrastructure"); and second, that all costs associated with the construction ofProject Facilities and Infrastructure, and the provision of municipal services to the Project and the Property (including the operation and maintenance ofProject Facilities and Infrastructure) shall be borne by the Project alone.
b) The cost ofproviding Project Facilities and Infrastructure to the Project or the Property shall be consistent with the following principles: Except as otherwise specifically permitted by this Development Agreement and not in limitation of any other provisions hereof, (i) there shall be a reasonable relationship between any municipal cost required to be borne by the Project and the type of development within the Project to which such cost is attributable; (ii) there shall be a reasonable relationship between the need to incur any such municipal cost and the type of development within the Project to which such cost is attributable; iii) no municipal cost required to be borne by the Project shall exceed the estimated reasonable cost ofproviding the service or facility to which such municipal cost relates; and ( iv) with respect to any fee required to finance Project Facilities and Infrastructure, there shall be a reasonable relationship between the amount ofthe fee and the cost ofthe Project Facilities and Infrastructure funded by such fee. Wherever this Development Agreement requires a " reasonable relationship" between the Project and any requirement imposed thereon, there shall be required an essential nexus between the Project and such requirement and rough proportionality in the allocation of a municipal cost or fee both internally to various portions of the Property and as between the Project and other projects within the City.
c) As used herein, the term " Project Facilities and Infrastructure" shall include public facilities and infrastructure only to the extent they serve the Project, and shall not include public facilities or infrastructure to the extent such facilities or infrastructure serve projects or areas other than the Project or the Property, unless the public facilities and infrastructure serving the Project or Property are required to be oversized to serve other projects or areas in accordance with the provisions of Section 6.02.2 below.

Section 5. 02.2. Financing of Infrastructure; Operation and Maintenance. Prior to or concurrent with the adoption of this Development Agreement City shall consider in good faith establishing and forming a mechanism or mechanisms to finance Project Facilities and Infrastructure and Project -related municipal services or the operation and maintenance portion of 10 183247. 1

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the Project Facilities and Infrastructure, such as a Mello -Roos District, Landscaping and Lighting Districts, or other Maintenance Assessment Districts, in accordance with the following principles:
1) The level ofmunicipal services provided to the Project, including the level of operation and maintenance of Project Facilities and Infrastructure, shall be at least equal or superior to the level of service provided elsewhere in the City. 2) Any costs associated with such mechanism shall be borne by the Project, which may be reimbursed by the financing mechanism.
3) The City may require as a condition of approval of a tentative subdivision or parcel map a financing mechanism or mechanisms to finance the operation and maintenance of Project Facilities and Infrastructure.
4) In accordance with and subject to -Section 7. 13. 1 below, Avila Ranch shall include within the Covenants, Conditions and Restrictions (CC& Rs) required for each subdivision ofthe Property a requirement that the Master Homeowners' Association, and or each Homeowners' Association for a subdivision within the Property (each, an " HOA"), shall assume responsibilities to maintain, repair and insure the following items in the event that such financing mechanism is dissolved or in the event that the fees, assessments, or taxes generated thereby are repealed or reduced other than by discretionary action by the City Council. In such event the HOA shall assume responsibility to maintain, repair and insure for the publiclyowned facilities within the Property (as to a Master HOA) or subdivision as to another HOA), including but not limited to, Parks A through F, H and I, and Stevenson Park"; landscaped parkways and trees; low -impact -development treatment facilities; and riparian open space, but expressly shall not assume responsibility to maintain, repair and insure streets, curbs, gutters, sidewalks, regional park (Park G), farmed agricultural open space, landscape paseos connecting the public parks, retaining walls adjacent to the open space corridors, bike paths, bike path bridges and bike path facilities (including bike paths and bike path facilities in the County). Avila Ranch shall include the City as a third - party beneficiary of these CC& Rs in language acceptable to the City Attorney, which shall grant the City the right to perform the maintenance, repair and insurance obligations and to impose assessments against the affected parcels in the event an HOA fails to perform its obligations under this subparagraph ( 4).

Section 5. 03. Establishment of Financing Mechanisms.

Section 5. 03. 1. Procedures for Establishment. The establishment of any mechanism to finance the operation or maintenance of Project Facilities and Infrastructure (each a " Financing Mechanism") shall be initiated upon Avila Ranch' s written request to the City' s Finance Director. Such request shall outline the purposes for which the Financing Mechanism is to be established and the general terms and conditions upon which the establishment ofthe Financing Mechanism will be based. City' s consideration ofAvila Ranch' s request shall be consistent with 11 183247. 1

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the criteria set forth in Section 5. 02 above. IfAvila Ranch requests the City form a Mello -Roos Community Facilities District to finance the operation or maintenance of Project Facilities and Infrastructure, City shall use its best efforts to cause such district to be formed and special taxes to be levied to the extent permitted by Applicable Law.

Section 5. 03. 2. Nature of City Participation. City' s participation in the formation of any Financing Mechanism approved by City (and its operation thereafter) and in the issuance of any Project Debt approved by the City shall include all ofthe usual and customary municipal functions associated with such tasks including, without limitation, the formation and administration of special districts; the issuance ofProject Debt; the monitoring and collection of fees, taxes, assessments and charges such as utility charges; the creation and administration of enterprise funds; the enforcement of debt obligations and other functions or duties authorized or mandated by Applicable Law.

Section 5. 04. Imposition of and Increases in Fees, Taxes, Assessments and Other Charges.

Section 5. 04. 1. Taxes and Assessments.
a) During the Term of this Development Agreement, Avila Ranch shall be bound to and shall not protest, challenge, or cause to be protested or challenged, any City tax in effect on the Effective Date.
b) No assessment shall be imposed on the Project or the Property other than through a Financing Mechanism as set forth above.
c) No new debt shall be issued that affects the Project or the Property without Avila Ranch' s approval, unless such debt otherwise conforms with the requirements of Articles XIII C and D of the California Constitution and any requisite voter approval is achieved, in which case the City may issue debt even ifAvila Ranch votes against the matter.

Section 5. 04.2. Other Fees and Charges; Credits and Reimbursements. a) City shall impose against or apply to the Project or the Property only those financial obligations ( other than taxes and assessments) described in this Section

5. 04.2. Except as otherwise specifically stated below, any financial obligation imposed against or applied to the Project under this Section 5. 04.2 shall be consistent with the provisions of controlling California law, including California Government Code section 66000 et seq. and California Constitution, article XIII A and its implementing statutes.
b) The Developer shall be required to pay all City-wide, Airport Area Specific Plan, Los Osos Valley Road (" L.O.V.R.") Interchange Impact Fees, and Project -specific development impact fees, excluding sewer and water impact fees addressed in section 5. 04.2( c) immediately below, for the Project' s fair share ofthe cost to mitigate Project impacts as identified in the Final Environmental Impact Report 12 183247. 1

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FEIR), Specific Plan, conditions of approval or otherwise specified in the Development Agreement in effect when each final map is recorded in accordance with AB 1600 analysis. City may adjust development impact fees not more than once a year with changes no greater than the inflation index identified upon imposition of the fee.
c) The Developer shall be required to pay sewer and water impact fees in accordance with the AB 1600 analysis in effect when each Final Map is recorded plus any adjustments based on CPI until issuance of each building permit. Subsequent payments shall be adjusted annually by the inflation index identified upon imposition of the fee as determined by the City.
d) Fees imposed by City, including but not limited to planning, engineering, building permit, fire plan check and development impact fees, but excluding sewer and water impact fees governed by section 5. 04.2( c) immediately above, shall be in accordance with the fees in effect as ofthe date of when the Final Map is recorded plus any adjustments based on the inflation index identified upon imposition of the fee until issuance of each building permit.
e) Ifthe City amends any existing Development Impact Fee ( DIF) program to include additional projects or costs for the benefit of the Project (either new projects or increased costs for projects included in the analysis supporting existing fees) for improvements necessary to satisfy Project requirements, Developer will be required to pay the amended fees. Credits applied towards infrastructure costs advanced by Developer shall apply when building permits are issued or fees are otherwise due and shall arise only from Developer -funded construction of infrastructure or community facilities included in the project list on which a particular fee was based. Credits applied when building permits are issued or fees are otherwise due pursuant to this section shall be adjusted for inflation consistently with such adjustments of the fees against which credits are allowed. f) The Developer shall pay all then -current processing fees for any subsequent planning applications and permits as adopted by the City Council. g) City acknowledges that Developer may dedicate property and install infrastructure improvements beyond its " fair share" cost. The City agrees to grant fee credits and reimbursements, funded by Development Impact Fees paid by Developer and other developers, and traffic impact fees, where eligible, but excluding sewer and water impact fees. If and to the extent that the Developer constructs or installs any infrastructure and/ or facilities that have a capacity or size in excess of that required to serve the Project or mitigate its impacts, and one or more undeveloped properties will be benefitted by such infrastructure and facilities, the City shall enter into a reimbursement agreement with the Developer, in a form mutually acceptable to City and Developer, which provides for the reimbursement of all excess costs and expenses incurred by the Developer in constructing such improvements in accordance with California Government Code 13 183247. 1

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section 66485 et seq. and section 16. 20. 110 of the City' s municipal code, the City' s zoning ordinance, and in accordance with Section 5. 05. 3 below. h) The City' s rates for monthly retail utility service ( e. g., water and sewer) may be applied to the Project and increased from time to time during the term of this Development Agreement; provided, however, that any such increase shall be imposed only to the extent permitted by law.
i) Avila Ranch shall pay City reasonable staff and consultant time and other reasonable costs (including reasonable consultant costs) associated with: (i) the MMRP Evaluation and the Development Agreement Review, (ii) the establishment of any Financing Mechanism (to the extent such costs are not included in the Financing Mechanism), including any necessary election costs, and (iii) all other administrative tasks associated with City' s adoption and implementation of this Development Agreement and the Project. j) Avila Ranch shall pay all required fees of the California Department of Fish and Wildlife ("CDFW"). CDFW fees shall be submitted to the City' s Planning Division before filing of any required Notice of Determination under CEQA, along with any fee required by the County Clerk/ Recorder. The City may require proof of payment of such fees before issuing building permits or filing of a Final Subdivision Map.
k) During the term ofthis Development Agreement, fees and charges other than those specifically described in subsections ( a) through 0) above may be imposed against or apply to the Project or the Property only as City and Avila Ranch agree.

Section 5. 05. Other Commitments of City and Avila Ranch Related to Financing.

Section 5. 05. 1. Arrangements with Other Governmental Agencies. City and Avila Ranch acknowledge and agree that City may from time to time enter into joint exercise of power agreements, memoranda of understanding or other agreements with other governmental agencies consistent with and to further the purposes ofthis Development Agreement.

Section 5. 05. 2. Other Funding Sources.
a) City and Avila Ranch agree to pursue outside sources of funding for the construction, operation and maintenance of Project Facilities and Infrastructure including, in particular, facilities and infrastructure which serve the region. City shall not be obligated, however, to apply for county, state or federal funds ifthe use of such funds for the Project would reduce the availability ofthat resource for other City projects.
b) Any obligation ofAvila Ranch under this Development Agreement to fund or otherwise bear the costs of the construction of improvements, the provision of services or any other item, whether or not the sole obligation ofAvila Ranch, may 14 183247. 1

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be satisfied through the use of funds provided by, from or through any third party including other non -City, governmental) sources.

Section 5. 05. 3. Reimbursement.
a) City shall reimburse, or provide for the reimbursement by other landowners or developers, the actual hard and soft costs associated with Avila Ranch' s funding or construction of that portion of any oversized or accelerated improvements or facilities that is attributable to a project or area other than the Project or Property as required by this section. Hard and soft costs eligible for reimbursement shall include, without limitation: reasonable direct costs of construction and materials, soft costs including bonds, architecture and engineering fees, and professional fees. Such reimbursement shall be based on a fair share allocation of costs determined by calculating the pro rata share ofthe capacity in such improvements that is attributable to other projects or properties as reflected in the allocation percentages in Exhibit C, which reimbursement shall be timely provided in accordance with Applicable Law, following City' s collection of funds from the sources identified in subsection 5. 05. 3( a)( 1)—( 4) below. Avila Ranch and City acknowledge that the amounts specified in Exhibit C for each improvement are estimates only and that total reimbursable costs shall be based on Avila Ranch' s actual costs as set forth in this Section 5. 05. 3.
1) Development Impact Fees paid by the Project for the improvements specified from the AASP impact fees, L.O.V.R. Interchange impact fees, or the Citywide transportation impact fees, as applicable;
2) Development Impact Fees paid to the City on behalf of other development in the AASP area that are not committed to repayment obligations under prior Reimbursement Agreements;
3) Development Impact Fees paid to City from developers who contribute to the impact associated with the improvements installed by Avila Ranch; and 4) Taxes or assessments in a Community Facilities District. 5) Separate reimbursement agreement. For purposes of such agreement, backbone infrastructure that is larger than the minimum size or standard as identified in the Standard Specifications and Engineering Design Standards may be considered to be oversized and shall be subject to prior review and approval by the City prior to being included in a separate reimbursement agreement.
b) Under no circumstances shall the City be obligated to fund reimbursement from its own resources, from funds it does not yet possess, or from funds which may not be lawfully used for that purpose.
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c) Failure or error by the City to collect funds from the sources identified in subsection 5. 05. 3( a) above shall not subject the City to any liability, obligation, or debt to Avila Ranch. Notwithstanding the foregoing, the City shall reimburse Avila Ranch pursuant to the terms of this Agreement with respect to all such funds actually collected by the City. Failure by the City to reimburse Avila Ranch after the City collects such funds shall entitle Avila Ranch to exercise its remedies in accordance with Article 12.
d) For any improvement subject to reimbursement under this section, Avila Ranch shall provide City with evidence ofthe actual hard and soft costs of each of the improvements in the form ofreceipted bills, canceled checks, and contracts.

Approval of reimbursement may occur in phases as projects are accepted by City.

Regardless ofAvila Ranch's claimed costs incurred in constructing the reimbursable improvements, City has the authority, through its Director or designee, in the exercise of his or her reasonable discretion, to determine the amount subject to possible reimbursement for each improvement. e) In the event any owner or developer pays all or a portion ofthe fees or assessments identified in subsection 5. 05. 3( a)( 1)—( 4) above under protest, the City shall not be required to make reimbursements under this Development Agreement until the limitation period for instituting court action to seek a refund of such funds paid under protest has passed, and no court action (" Action") has been instituted. If an Action is instituted seeking refund of funds paid under protest, or to prevent the City from collecting such funds, or challenging any provision of this Development Agreement, the City shall not pay over such funds to Avila Ranch until the Action has been finalized and the authority ofthe City to collect such funds and reimburse the Developer has been sustained. The City shall promptly notify Avila Ranch in writing of the Action. The City shall reasonably support Developer' s efforts to participate as a party to the Action, to defend the Action or settle the Action. Furthermore, the City shall have the right to tender defense of the Action to Avila Ranch. If, within 15 days ofthe City' s mailing a notice in compliance with Section 15. 08 below requesting that Avila Ranch defend the Action, should Avila Ranch thereafter fail to undertake the defense of the Action at Avila Ranch' s sole cost and expense, the City may stipulate to return ofthe funds collected under protest, to cease collecting such funds, or enter into any other settlement ofthe Action acceptable to the City, and Avila Ranch shall lose any right to reimbursement under this Development Agreement ofthe amount contested in the Action. Avila Ranch shall further reimburse the City for its costs and attorneys' fees incurred in defense of the Action, including reasonable payment for legal services performed by the City' s City Attorney, and for any liability the City incurred in the Action. In addition, ifthe City fails to impose a requirement upon development projects to pay their respective prorated share of the improvements specified in Exhibit C or fails to collect such funds, Avila Ranch may exercise all of its legal rights to attempt to collect such funds from the owners or developers of the benefitted properties, which legal rights shall not be interpreted to include an action against the City. In the event Avila 16 183247. 1

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Ranch attempts to collect such funds from such owners or developers, the City shall assign to Avila Ranch all of its rights to collect such funds under this Development Agreement.
f) The City reserves the right to offset any funds it collects from the sources identified in this Section 5. 03. 3 against any unpaid fees, debts or obligations of Avila Ranch owed to the City. The City shall provide Avila Ranch with notice, in accordance with Section 15. 08 and Article 12, of its intent to offset any collected funds against unpaid fees, debts or obligations described in the notice, and provide Avila Ranch with a reasonable opportunity to cure such unpaid fees, debts, or obligations.
g) Avila Ranch' s rights to reimbursement under this Section 5. 05. 3 shall survive termination of this Development Agreement for a period of 15 years from the date oftermination or until Developer has been fully reimbursed, whichever occurs first.

Section 5. 05. 4. Other Shortfalls of City.
a) Avila Ranch understands and acknowledges that the costs to City of serving the Project and the Property and otherwise carrying out its Obligations under this Development Agreement may exceed the fees, charges and revenues generated by or as a result ofthe Project. Accordingly, prior to or concurrently with this Development Agreement, the City shall establish a Financing Mechanism to mitigate potential annual shortfalls to the City' s General Fund resulting from the provision ofmunicipal services to the Project, the costs of which exceed the General Fund revenues generated by development within the Property (the General Fund Shortfalls"). The Funding Mechanism shall be designed to remain in place until annual General Fund revenues generated by development within the Property are at least equal to the annual General Fund costs incurred by City in providing municipal services to the Project.
b) A Financing Mechanism shall be established to generate revenues sufficient to offset such potential shortfall, ifrequested by the City, and shall only be effective if a fiscal impact analysis shows a General Fund Shortfall. The shortfall Financing Mechanism may consist of a Mello -Roos Community Facilities District (" CFD"). c) City may annually monitor the fiscal impacts of development within the Property to determine the extent to which development generates sufficient General Fund Revenues to eliminate the General Fund Shortfall. When and ifthe City determines as a result of annual monitoring that sufficient development has occurred within the Property to generate General Fund revenues to cover the annual costs to the City' s General Fund ofproviding municipal services to the Project (the " Break -Even Point"), the shortfall Financing Mechanism shall be discontinued and all revenues that have been collected to fund the projected General Fund Shortfall but have not been used for such purpose shall be refunded 17 183247. 1

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to Avila Ranch, ifpermissible pursuant to Applicable Law, or otherwise used to defray Project Costs in the City' s reasonable discretion and pursuant to law. d) Avila Ranch' s obligation to fund projected General Fund Shortfalls under Section

5. 05. 4 above shall be limited by the provisions of Section 5. 02. 1 above and, in any event, shall not survive the expiration or termination of this Development Agreement. If Developer requests, and City grants, an extension ofthis Development Agreement as set forth in Section 1. 03. 1( a)( 1) above, Avila Ranch' s obligation to fund projected General Fund Shortfalls shall be extended accordingly.

ARTICLE 6. COMMITMENTS OF CITYAND AVILA RANCH RELATED TO PUBLIC

IMPROVEMENTS
Section 6.01. Backbone Infrastructure Phasing Plan. The Project Backbone Infrastructure is planned to be designed and constructed in six (6) phases.

Section 6.01. 1. Development Plan Phasing Plan. The improvements described in the Avila Ranch Development Plan and Exhibits E- 1 through E-4 and J to this Development Agreement constitute the Project " Backbone Infrastructure." The Parties acknowledge that further analysis may result in a more cost- effective approach to the provision of such infrastructure to adequately serve development within the Project Area, and that Exhibits E- 1 through E- 4 and J may be revised accordingly by agreement of the Parties and that such revisions shall not require amendment to this Development Agreement.

Section 6. 01. 2. Phasing Plan. The phasing plan for the project is attached to this Agreement as Exhibit D.

Section 6.01. 3. Phasing Plan Amendments. The Phasing Plan may be amended by agreement of the Parties to take advantage ofnew technologies, to respond to changes in the underlying land use assumptions upon which the plan is based, or for such other reasons as the Parties may agree.

Section 6. 02. Construction and Dedication of Project Facilities and Infrastructure.

Section 6.02. 1. Construction and Funding of Project Facilities and Infrastructure by Avila Ranch. The City may, in any manner consistent with the terms and provisions of this Development Agreement, require Avila Ranch to construct or fund the construction of any Project Facilities and Infrastructure when needed to satisfy the Backbone Infrastructure Phasing Plan.

Section 6.02.2. Oversizing of Project Facilities and Infrastructure. a) In addition to requiring Avila Ranch to construct or fund the construction of Project Facilities and Infrastructure, City may require any Project Facilities and Infrastructure constructed or funded by Avila Ranch under Section 6. 01 above to 183247. 1

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be oversized to serve projects or areas other than the Project or the Property; provided that:
i) City shall consider in good faith the establishment of a Financing Mechanism to provide such additional funding;
ii) City shall reimburse the costs associated with Avila Ranch' s funding or construction ofthat portion of any such oversized improvements that is attributable to projects or areas other than the Project or the Property, pursuant to section 5. 05. 3 of this Agreement above.
b) Ifthe phasing or incremental construction of facilities would involve significant inefficiencies that are unacceptable to City for a sub -phase implemented by Avila Ranch, Avila Ranch may be required to construct or provide advance funding for the construction of oversized improvements. For example, ifthe Project generates a need for an 18 -inch sanitary sewer line, but other projects reasonably may be expected to use that sewer line and thereby increase the required capacity of such line to 24 inches, City may require Avila Ranch to construct or fund the construction of a 24 -inch sewer line (but shall provide reimbursement as described in section 5. 05. 3 above). Notwithstanding the foregoing, City shall exercise its best good faith efforts to reasonably limit Avila Ranch' s obligation to construct or provide advance funding of oversized improvements and may in certain instances, in the interest of fairness to Avila Ranch, tolerate certain inefficiencies.

Section 6.03. Dedications.
a) To the extent rights-of-way or other interests in real property owned by Avila Ranch within the Property are needed for the construction, operation or maintenance ofProject Facilities and Infrastructure, Avila Ranch shall dedicate or otherwise convey such rights-of-way or other interest in real property to City, or as necessary to the County of San Luis Obispo. Such rights-of-way shall be dedicated or otherwise conveyed in the widths set forth in the AASP or in the Avila Ranch Development Plan.
b) Any public improvements constructed by Avila Ranch and conveyed to City, and any right-of-way or other real property conveyed to City, shall be dedicated or otherwise conveyed (i) free and clear of any liens unacceptable to the City and ii) except as otherwise agreed to by City, in a condition free of any toxic materials. Nothing herein shall prevent City' s right to pursue third parties under applicable law.

Section 6. 04. Cooperation with Respect to Project Facilities and Infrastructure.

Section 6. 04. 1 Off -Site Improvements. Avila Ranch acknowledges that certain off-site improvements are required as part of the project' s conditions of approval and mitigation 19 183247. 1

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measures which include, but may not be limited to:( i) a right-of-way along Buckley Road and/or the Buckley Extension; ( ii) a right-of-way necessary to implement the Horizon Extension from the project to Suburban Road: ( iii) the Earthwood Extension to Suburban; ( iv) improvements to Suburban Road between Earthwood and Horizon; (v) improvement of the intersection ofVachell and Venture; (vi) pedestrian improvements along Higuera and Vachell; (vii) intersection improvements at Higuera/Buckley, L.O.V.R./Higuera, Suburban/ Higuera, Tank Farm/Higuera, Prado/ Higuera and South/Higuera; and (viii) bicycle improvements required by the City and consistent with the City Bicycle Master Plan, all of which are more particularly described in the Project' s approved plans (the " Off -Site Improvements"). A schedule of all Off -Site Improvements for which Avila Ranch is responsible is attached as Exhibit C to this Agreement.

Avila Ranch shall exhaust all reasonable efforts and diligently pursue acquisition of all necessary easements and/ or rights of way not currently owned or controlled by City or Avila Ranch which are required to construct the Off -Site Improvements. For purposes of this Section 6.04. 1, the term " reasonable efforts" shall include proof that the Avila Ranch has made a commercially reasonable written offer to purchase the property interest at fair market value, in accordance with an appraisal conducted by an MAI appraiser.

If after exercising reasonable efforts Avila Ranch is unable to acquire the necessary easements and/ or rights of way, City, upon written request ofAvila Ranch, may either: ( 1) require Avila Ranch to construct functionally equivalent alternative improvements to those previously approved, provided that such alternative improvements are equally or more effective in addressing the impact; or (2) pursue acquisition of the real property interests by means of eminent domain. City and Avila Ranch acknowledge that eminent domain is a discretionary process and that City cannot commit to its use unless and until all appropriate notifications, hearings and proceedings have been undertaken. If City chooses to pursue acquisition ofthe real property interests by means of eminent domain, City shall take all reasonable steps necessary towards that endeavor, including undertaking appraisals, noticing property owners, noticing and holding required public hearings and meetings, and following any other procedures required for prejudgment possession and Avila Ranch shall pay all costs reasonably incurred by City related to, arising from, or associated with such acquisition or condemnation proceedings, including but not limited to, attorneys' fees, expert witness fees, settlement costs, and jury awards of any kind.

In addition, Avila Ranch shall indemnify, defend and hold City harmless from and against any and all claims, liabilities or causes of action of any kind associated with City' s acquisition of such real property interests, excluding therefrom any claims, liabilities or causes of action arising from City' s gross negligence or willful misconduct.

If and to the extent this Section 6. 04. 1 demands more of Avila Ranch than does Section 66462.5 ofthe Subdivision Map Act, this section shall apply in addition to the Developer' s obligations under that statute.

Upon acquisition of the necessary interest in land, or upon obtaining right of entry, either by agreement or court order, Avila Ranch shall commence and complete the public improvements. 20 183247. 1

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This requirement shall be included, and, ifnecessary, detailed, in any subdivision improvement agreement entered between the Developer and the City pursuant to Government Code section 66462.

ARTICLE 7. OTHER COMMITMENTS OF CITY AND AVILA RANCH
Section 7. 01. Mutual Cooperation for Other Governmental Permits. City and Avila Ranch, as appropriate, shall each be responsible to apply to other governmental or quasi -governmental agencies for necessary permits and approvals for development and use ofthe Property (e. g., agencies having jurisdiction over water supply; wastewater treatment, reuse and disposal; access to the Property; wetlands -related and other biological issues). City and Avila Ranch each shall take any and all actions as may be necessary or appropriate to process successfully such permits and approvals, provided such permits and approvals are consistent with the Development Plan and AASP and agreed by the City and Avila Ranch to be reasonably necessary or desirable for the construction, maintenance or operation ofthe Project.

Section 7.02. Timing of Development.

Section 7. 02. 1. Timing Requirements.
a) Avila Ranch shall be obligated to comply with the terms and conditions of the Project Approvals, the Development Plan, the AASP, and this Development Agreement when specified in each. The Parties acknowledge that the rate at which phases of the Project develop depends upon numerous factors and market conditions that are not entirely within Avila Ranch' s or the City' s control such as market demand, interest rates, absorption rates, completion schedules, availability of labor, and other factors. The Parties wish to avoid the result ofPardee Construction Co. a City ofCamarillo, 37 Cal. 3d 465 ( 1984), where the failure of the parties therein to consider and expressly provide for the timing of development resulted in the court' s determination that a later -adopted initiative restricting the timing of development prevailed over the parties' agreement.

Accordingly, the Parties acknowledge that Avila Ranch shall have the right to develop the Project at such time Avila Ranch deems appropriate in the exercise of its subjective business judgment except as provided in this section below and the City shall not attempt to limit or restrict the timing of development ofthe Project except in accordance with the terms of this Development Agreement. b) Avila Ranch shall complete the first two phases of development depicted in Exhibit D to this Agreement, including the installation ofthose certain improvements required under either the Development Plan or FEIR, by seven years after the Effective Date. Otherwise, Avila Ranch may proceed with the development of any portion of the Project, or make any financial commitment associated with any such development when, in Avila Ranch' s sole and absolute discretion, Avila Ranch determines that it is in Avila Ranch' s best financial or other interest to do so. The foregoing sentence shall not, however, limit any 21 183247. 1

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obligation ofAvila Ranch under this Development Agreement with respect to any development activities that Avila Ranch chooses to undertake hereunder. c) Avila Ranch shall pursue buildout of the project in conformance with the phasing schedule below. The Parties acknowledge that, except as expressly required by Section 1. 03. 1( a)( 2), the actual timing of buildout will vary from year to year due to a variety of factors such as market demand, economic conditions, etc. Avila Ranch may accelerate buildout of the Project ahead of the schedule so long as there is outstanding indebtedness owed to Avila Ranch for Off -Site Improvements under section 5. 05. 3 ofthis Agreement. The Project shall be permitted to develop at a rate up to the cumulative total of 150% of the annual number of dwelling units shown in the phasing schedule immediately below. The Project shall not exceed the cumulative maximum shown for each year in the phasing schedule below, unless authorized by the Community Development Director upon a finding that there is outstanding debt owed to Avila Ranch and that such development and/ or rate of development will not exceed the City' s Growth Management Ordinance.

Section 7. 03. Dedication of Park Lands. Avila Ranch shall dedicate land in excess of that ordinarily required by the City to construct public parks in South San Luis Obispo, an area that presently has a deficiency of park area. In particular, Avila Ranch shall provide 18. 25 acres of public park land, 1. 76 acres in excess of City requirements, to bring the total park acreage for South San Luis Obispo to five and a - half acres per 1, 000 persons. Said parks shall be reviewed and approved by the City' s Parks and Recreation Commission before dedication. Ongoing maintenance and operation of these park facilities shall be funded by the Project residents pursuant to a Financing Mechanism established pursuant to Sections 5. 03 or 5. 04 above and shall not be payable from the General Fund or other community - wide resources.

Section 7. 04. Dedication of Open Space and Agricultural Lands. To compensate for the loss of onsite agricultural lands and to meet the open space objectives of the General Plan, Avila Ranch shall dedicate at least 50 acres of on- site open space and/ or agricultural land and shall preserve at least 50 acres of off- site open space and/ or agricultural land. Said lands shall be dedicated within the City' s " Greenbelt" area depicted in Figure 5 of the Conservation and Open Space Element, a 22 183247. 1
Phase 1 Phase 3 Phase 4 Phase 5
Phase 2
Year>>> 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 R- 1 101 50 51
R- 2 Standard 221 44 44 45 44 44
R- 2 Pocket Cottage 76 16 16 15 16 13
R -3 -Duplex 38 38
R- 3 Town Home 159 52 52 55
R- 4 Apartments 125 65 60
Total Subject to Limit 720 60 60 60 125 117 90 52 55 50 51 Maximum . 90 180 270 458 633 720
Cumulative Limit
Section 7. 03. Dedication of Park Lands. Avila Ranch shall dedicate land in excess of that ordinarily required by the City to construct public parks in South San Luis Obispo, an area that presently has a deficiency of park area. In particular, Avila Ranch shall provide 18. 25 acres of public park land, 1. 76 acres in excess of City requirements, to bring the total park acreage for South San Luis Obispo to five and a - half acres per 1, 000 persons. Said parks shall be reviewed and approved by the City' s Parks and Recreation Commission before dedication. Ongoing maintenance and operation of these park facilities shall be funded by the Project residents pursuant to a Financing Mechanism established pursuant to Sections 5. 03 or 5. 04 above and shall not be payable from the General Fund or other community - wide resources.

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copy of which figure is attached here as Exhibit F. The land to be dedicated or reserved may be comprised of multiple properties, and may be located in the City or unincorporated County territory. Avila Ranch may satisfy a portion of this requirement through the payment of an in lieu fee to the City or, with the City' s approval, to a land conservation organization. Ifland is dedicated in the form of a Conservation Easement, the terms and conditions shall be approved by the City, together with a correspondent and contemporaneous baseline conditions report. Ifland is to be dedicated in fee simple title, the City shall have the opportunity to conduct due diligence inspections, including but not limited to, Phase I Environmental Site Assessment ( and subsequent assessment as may be necessary), title review, and physical site inspections; the City may reject any such dedications based on its due diligence inspections, which shall not be construed as a waiver of the dedication requirements herein.

Section 7. 05. Affordable Housing and Workforce Housing and Related Programs. Avila Ranch shall provide affordable housing for the Project as described in Exhibit G. Avila Ranch shall also provide workforce housing and shall implement the local preference " SLO Workers First" program, owner occupancy restrictions and down payment assistance program as described in Exhibit G.

Section 7. 07. Energy.
a) Avila Ranch shall provide for accelerated compliance with the City' s Energy Conservation Goals and its Climate Action Plan by implementing energy conservation measures significantly above City standards and norms by providing for solar PV energy generation for 100 percent of onsite electrical demand as described in Section 13 of the Design Framework ofthe Development Plan. The Project shall also include energy efficiency standards in excess of the current Building Code.
b) Developer shall provide sustainability features as described in Section 13 of the Design Framework of the Development Plan, including: (i) housing that meets the 2019 net zero building and energy codes or, ifthe 2019 building and energy codes are not yet adopted upon building permit application, the equivalent to the satisfaction of the Community Development Director, (ii) implementing any future city-wide policy regarding carbon emissions reduction, (iii) solar electric panels, ( iv) integrated power outlets for electric vehicles and electric bicycles, ( v) building design that maximizes grey water usage, and (vi) work -at-home options with high-speed internet connectivity.

Section 7. 08. Water.
a) Avila Ranch shall provide for accelerated compliance with the Climate Action Plan through by implementing special water conservation measures to reduce the usage ofpotable water by Avila Ranch households to 35 percent below the current City-wide average as described in Section 13 ofthe Development Plan. b) Avila Ranch shall comply with the California Water Code and the regulations imposed by the City before or after the Effective Date in its capacity as the 23 183247. 1

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Groundwater Sustainability Agency pursuant to the Sustainable Groundwater Management Act (" SGMA").
c) Avila Ranch shall install water improvements necessary to serve the Project and future annexation areas of the AASP and County fringe areas in and around Buckley and Broad Streets as shown in Exhibit H.
d) Avila Ranch shall offer to dedicate to the City a well site for future municipal use on Lot 594, 406 or 398, with area buffers acceptable to the City and consistent with drinking water standards. Ifthe water well is located in a public park, the design shall be consistent with the project' s Parks Plan, and may be subject to review and approval by the City Parks and Recreation Commission. The well site shall have a footprint with an area measuring 20' x 40', plus a buffer as shown more particularly in Exhibit I.
e) Except as provided in paragraph ( b) ofthis section above, Avila Ranch reserves all groundwater or other water rights with respect to the Property and shall be entitled to irrigate agricultural or open space land with ground or well water, to the extent that such reservation and action does not violate Applicable Law and so long as such water meets or exceeds all applicable water quality standards. Avila Ranch shall have the option, but shall not be required, to connect to the City' s water system to irrigate agricultural/open space land with reclaimed water.

Section 7.09. Storm Drain Facilities. Before approval of a Final Subdivision Map or building permit for a use that does not require a map, Avila Ranch shall cause to be provided storm drain facilities adequate to accommodate the storm water runoff from the area subject to the Final Subdivision Map or building permit.

Section 7. 10. Interim Fire Station. Avila Ranch shall construct, and dedicate to the City, an interim fire station on Lot 302 to serve all property in South San Luis Obispo. Per the requirements of the Fire Station Master Plan, the interim fire station shall be provided at the buildout of the 361 st dwelling unit. After the interim fire station has been constructed, the site shall be dedicated to the City for use as a City park or affordable housing site, as deemed appropriate by the City. Avila Ranch shall be entitled to credits against fire development impact fees in an amount reasonably determined by the City' s fiscal impact consultant to reflect (i) the value of the land donated to the City under this section and (ii) the lesser of (a) Avila Ranch' s actual cost to improve the interim fire station and (b) the reasonable cost of that construction.

Section 7. 11. Traffic and Circulation Improvements. Avila Ranch shall construct or fund the traffic and circulation improvements as established in the FEIR and Development Plan as further described in Exhibit C. City and Avila Ranch acknowledge that these improvements are necessary to mitigate project impacts, improve access to and from the project, relieve existing or future traffic deficiencies, and bring such intersections into compliance with the General Plan in advance of impacts associated with the Project. In addition, Avila Ranch shall construct or fund the following improvements:
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a. Buckley/227 Intersection Improvements. Avila Ranch shall commit $200,000 above its fair share allocation of costs to facilitate design of the roundabout improvements for the Buckley Road/227 intersection called for in the 227 corridor study.
b. Operational Improvements to the Davenport Creek and Buckley Road Intersection. The Project' s fair share of these improvements is 2. 7 percent, based on the Project' s share of additional traffic on Buckley Road. Avila Ranch shall provide funding to the City in the amount of $230,000 for these improvements ( 90 percent of projected costs), including the costs for initial design, construction documents, and right-of-way acquisition. In the event actual costs are less than what has been projected, Avila Ranch may apply the remaining funds ($ 230,000 less 90 percent of actual costs of construction) to the Buckley/227 intersection improvements. The City shall work with the County of San Luis Obispo and enter into any necessary agreements to act as a conduit for the Avila Ranch funding contribution to the Davenport Creek and Buckley Road intersection improvements.

Section 7. 12. Bicycle and Multimodal Transportation Improvements. Avila Ranch shall construct or fund the construction of bicycle and multimodal transportation improvements as established in the FEIR and Development Plan as further described in Exhibit J. City and Avila Ranch acknowledge that these improvements are necessary to mitigate Project impacts, improve access to and from the Project, encourage multimodal transportation, relieve existing or future traffic deficiencies, and bring such intersections into compliance with the General Plan in advance of impacts associated with the Project. In addition, ifprior to the termination ofthis Development Agreement, City acquires all or a portion ofright of way through the Chevron site immediately adjacent to the Property as contemplated in the City' s Circulation element, Avila Ranch agrees to improve, at its sole cost and expense, subject to reimbursement, such right of way as a Class 1 bicycle facility and pedestrian walkway. Avila Ranch shall be obligated to construct such improvements upon written notice by City that it has acquired all or a portion of the right of way through the Chevron property and such obligation shall survive termination of this Development Agreement. Actual construction of the bicycle and pedestrian improvements shall be coordinated with build -out ofthe Project, but in no event shall it be later than one year after completion ofphase 4 ofthe Project or City' s written notice to Avila Ranch of its acquisition of such right-of-way, whichever is later.

Section 7. 13. Miscellaneous.

Section 7. 13. 1. Covenants, Conditions, and Restrictions. CC& Rs for each subdivision within the Property shall state substantially the following: "This project is within the boundaries of the San Luis Obispo Airport Area Specific Plan, and as such, is subject to design guidelines and development standards which have been incorporated into the Airport Area Specific Plan and the Avila Ranch Development Plan Design Guidelines, both on file with the Community Development Department ofthe City of San Luis Obispo." Before the City approves a Final Subdivision Map or issues a building permit for a land use that does not require a Map, the CC& R disclosure statement referenced above shall be provided to the City Attorney for review and approval.

Section 7. 13. 2. Ownership and Maintenance of Public Improvements. Unless otherwise mutually agreed, the City shall own and maintain, or cause to be maintained, the following public improvements:
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a) Potable water system and water tank within public properties or public easements; b) Sanitary sewer system within public properties or public easements; c) Recycled water system within public properties or public easements; d) Storm drain system, including continuous deflective separation ( CDS) vaults or other BMP facilities, within public properties or public easements; e) Public roadways;
f) Public parks; and,
g) Public access, landscape, and utility easements.

Section 7. 13. 3. Public Utilities Easements. All land subject to public utilities easements PUEs); public water, sewer, or storm drain easements; and public access easements shall be open and accessible to the City at all times.

Section 7. 13. 4. Design Review of Major Surface Facilities. Design Review shall be completed for all major surface public facilities for which it is required before construction.

Section 7. 13. 5. Design and Construction Standards for Sewer and Water Facilities. All sewer, water and recycled water facilities shall conform to the Design and Construction Standards in effect for the Project when improvement plans are submitted. The submittal shall include all pertinent engineering analysis and design calculations. The plans shall be subject to the Director of Public Works' review and approval.

Section 7. 13. 6. Communications Requirements. Developer shall provide cable or suitable conduit to each City facility, public park, or other lot designated for City or public use for high speed internet connectivity. The cable or suitable conduit shall be shown on the joint trench improvement plans and constructed before the final lift of asphalt is placed on the adjacent street.

ARTICLE 8. CONSIDERATION OF PERMITS AND APPROVALS
Section 8. 01. In General.

Section 8. 0 1. 1 Review and Action Generally. Upon Avila Ranch' s submission of any complete application for an Approval together with any fees permitted under Article 5 and required by City in accordance with Applicable Law, City shall use its best efforts to commence and complete promptly and diligently all steps necessary to act on the application. Avila Ranch promptly shall provide to City all information reasonably requested by City for its consideration of any such application.

Section 8. 01. 2. Applicable Law. Except as otherwise specifically provided in this Article 8, all applications for Approvals submitted by Avila Ranch shall be considered by City in accordance with Applicable Law. To the extent an approval would amend Applicable Law as set forth in 26 183247. 1

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Section 4. 01. 1, the aspect of Applicable Law to be amended by the approval shall not apply to the City' s consideration of the application.

Section 8. 02. General Plan and AASP Amendments. The parties anticipate that Avila Ranch may request amendments to the General Plan or the AASP to respond to changing circumstances and conditions. City is not obligated to approve any such application and may, in the exercise ofits legislative discretion, approve, deny or propose conditions or modifications thereto, including conditions or modifications that might otherwise be prohibited by the vested rights provided by this Development Agreement. Avila Ranch shall be afforded a reasonable opportunity to review any such proposed conditions and modifications and to withdraw its application for a General Plan amendment or AASP amendment (in which case neither Avila Ranch' s proposed amendments nor the City' s proposed modifications shall become effective).

Section 8. 03. CEQA Compliance.

Section 8. 03. 01. MMRP Application. When conducting an environmental review of any application for an Approval, City shall review the Mitigation Monitoring and Reporting Program adopted in connection with the Development Plan and Avila Ranch EIR (the " MMRP") to determine if any mitigation measure contained in the MMRP as to the portion of the Property subject to this Development Agreement should be incorporated into the design of, or added as a condition of approval to, such Approval.

Section 8. 04. Life ofApprovals. Any Approval issued by City, including vesting maps as defined in Section 8. 05 below, shall continue in effect without expiration until the later of. (i) the expiration or earlier termination of this Development Agreement or (ii) the date upon which such Approval would otherwise expire under the laws of the State of California.

Section 8. 05. Vesting Maps. The ordinances, standards and policies applicable to any vesting tentative map, vesting parcel map, vesting subdivision map or any other type of vesting map Vesting Map'.') under California Government Code section 66474.2, and the ordinances, policies and standards vested under any Vesting Map pursuant to California Government Code section 66498. 1( b) shall be those established as Applicable Law under this Agreement. Ifthis Development Agreement terminates before the expiration of any Vesting Map or the vested rights provided thereby, such termination ofthis Development Agreement shall not affect Avila Ranch' s right to proceed with development under such Vesting Map in accordance with the ordinances, policies and standards so vested under the Vesting Map. Notwithstanding the foregoing, no Vesting Map shall extend Applicable Law beyond the stated term of this Development Agreement (and the rules, regulations and official policies of City applicable to that portion of the Property covered by such Vesting Map shall become those in effect as ofthe expiration of such term) except as otherwise agreed by City and Avila Ranch; provided, however, that City and Avila Ranch may agree to an extension of the term of this Development Agreement with respect to the area covered by any such Vesting Map.

Section 8. 06. Need for Flexibility. The provisions of this Development Agreement require a close degree of cooperation between the City and Developer. Implementation of the Project may require minor modifications of the details of the Development Plan and affect the performance of the Parties to this Development Agreement. The anticipated refinements ofthe Project and the 27 183247. 1

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development of the Property may require that appropriate clarifications and refinements are made to this Development Agreement and the Entitlements with respect to the details ofthe performance ofthe City and the Developer. The Parties desire to retain a certain degree of flexibility with respect to those items covered in general terms under this Development Agreement.

ARTICLE 9. AMENDMENTS
Section 9. 01. Amendments ofAgreement.

Section 9.01. 1. General. This Development Agreement maybe amended from time to time only upon the mutual written consent of City and Avila Ranch and in compliance with section

17. 94. 190 ofthe City' s zoning ordinance; provided, however, that in connection with the transfer of any portion of Avila Ranch' s Rights and/or Obligations under this Development Agreement to another person, entity, or organization pursuant to the provisions ofArticle 13 below, Avila Ranch, such transferee and City may agree that the signature of such transferee may be required to amend this Development Agreement insofar as such amendment would materially alter the Rights and/ or Obligations of such transferee hereunder. In no event shall the signature or consent of any "Non -Assuming Transferee" ( as defined in Section 13. 03 below) be required to amend this Agreement.

Section 9. 01. 2. Future Approvals Do Not Require Amendments to Agreement. Except as the Parties may otherwise agree, no amendment of this Development Agreement shall be required in connection with the issuance of any Approval, or an amendment to the MMRP. Any Approval issued after the Effective Date as to a portion of the Property shall be incorporated automatically into this Development Agreement and vested hereby. City shall not, however, amend or issue any Approval unless Avila Ranch requests such an amendment or issuance from City unless otherwise permitted by this Agreement.

ARTICLE 10. ANNUAL REVIEW
Section 10. 01. Annual Review
a) The Community Development Director shall annually and concurrently conduct i) the MMRP Evaluation as set forth in Section 11. 01; and (ii) the Development Agreement Review as set forth in Section 11. 02 ( collectively, the " Annual Review"). With respect to the MMRP Evaluation, ifthe Community Development Director determines that mitigation measures adopted by City in connection with its approval ofthe AASP and the Zoning are not being implemented as set forth in the MMRP, the Community Development Director shall take any appropriate remedial action as described in Section 11. 01 below. Further, the Community Development Director shall incorporate the results ofthe MMRP Evaluation into the review of any applications for Approvals that are submitted following completion of an Annual Review.
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San Luis Obispo City CouncilOctober 15, 2024

San Luis Obispo City Council
October 15, 2024