Exhibit C
(d) The Recipient must notify the Division promptly by phone at (916) 327-9978, by email to [email protected]; [email protected] and [email protected], and by mail to the contact address set forth in Section 4 of this Agreement of any of the following events:
i. The discovery of a false statement of fact or representation made in this Agreement or in the application to the Division for this financial assistance, or in any certification, report, or request for reimbursement made pursuant to this Agreement, by the Recipient, its employees, agents, or contractors; ii. Any substantial change in scope of the Project. The Recipient must undertake no substantial change in the scope of the Project until prompt written notice of the proposed change has been provided to the Division and the Division has given written approval for the change;
iii. Cessation of all major construction work on the Project where such cessation of work is expected to or does extend for a period of thirty (30) days or more; iv. Any circumstance, combination of circumstances, or condition, which is expected to or does delay Completion of Construction for a period of ninety (90) days or more;
v. Discovery of any unexpected endangered or threatened species, as defined in the federal Endangered Species Act. Should a federally protected species be unexpectedly encountered during construction of the Project, the Recipient agrees to promptly notify the Division. This notification is in addition to the Recipient’s obligations under the federal Endangered Species Act; vi. Any Project monitoring, demonstration, or other implementation activities required in Exhibit A or Exhibit D of this Agreement, if any; vii. Any public or media event publicizing the accomplishments and/or results of this Agreement and provide the opportunity for attendance and participation by state representatives with at least ten (10) working days’ notice to the Division; viii. Any allegation of research misconduct involving research activities that are supported in whole or in part with EPA funds under this Project, as required by Exhibit C.4.3(xxvii);
ix. Any events requiring notice to the Division pursuant to the provisions of this Agreement;
x. Completion of Construction of the Project, and actual Project Completion; xi. The award of the prime construction contract for the Project; xii. Initiation of construction of the Project.
C.3.26 Operation and Maintenance; Insurance.
The Recipient agrees to sufficiently and properly staff, operate and maintain all portions of the System during the Useful Life of the Project in accordance with all applicable state and federal laws, rules, and regulations.
The Recipient will procure and maintain or cause to be maintained insurance on the System with responsible insurers, or as part of a reasonable system of self-insurance, in such amounts and against such risks (including damage to or destruction of the System) as are usually covered in connection with systems similar to the System. Such insurance may be maintained by a self-insurance plan so long as such plan provides for (i) the establishment by the Recipient of a separate segregated self-insurance fund in an amount determined (initially and on at least an annual basis) by an independent insurance consultant experienced in the field of risk management employing accepted actuarial techniques and (ii) the establishment and maintenance of a claims processing and risk management program.
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In the event of any damage to or destruction of the System caused by the perils covered by such insurance, the net proceeds thereof shall be applied to the reconstruction, repair or replacement of the damaged or destroyed portion of the System. The Recipient must begin such reconstruction, repair or replacement as expeditiously as possible, and must pay out of such net proceeds all costs and expenses in connection with such reconstruction, repair or replacement so that the same must be completed and the System must be free and clear of all claims and liens. If such net proceeds are insufficient to reconstruct, repair, or restore the System to the extent necessary to enable the Recipient to pay all remaining unpaid principal portions of the Payments, if any, in accordance with the terms of this Agreement, the Recipient must provide additional funds to restore or replace the damaged portions of the System.
Recipient agrees that for any policy of insurance concerning or covering the construction of the Project, it will cause, and will require its contractors and subcontractors to cause, a certificate of insurance to be issued showing the State Water Board, its officers, agents, employees, and servants as additional insured; and must provide the Division with a copy of all such certificates prior to the commencement of construction of the Project.
C.3.27 Permits, Subcontracting, and Remedies.
Recipient must procure all permits, licenses and other authorizations necessary to accomplish the work contemplated in this Agreement, pay all charges and fees, and give all notices necessary and incidental to the due and lawful prosecution of the work. Signed copies of any such permits or licenses must be submitted to the Division before any construction begins.
The Recipient must not contract or allow subcontracting with excluded parties. The Recipient must not contract with any party who is debarred or suspended or otherwise excluded from or ineligible for participation in any work overseen, directed, funded, or administered by the State Water Board program for which this funding is authorized. For any work related to this Agreement, the Recipient must not contract with any individual or organization on the State Water Board’s List of Disqualified Businesses and Persons that is identified as debarred or suspended or otherwise excluded from or ineligible for participation in any work overseen, directed, funded, or administered by the State Water Board program for which funding under this Agreement is authorized. The State Water Board’s List of Disqualified Businesses and Persons is located at
http://www.waterboards.ca.gov/water_issues/programs/enforcement/fwa/dbp.shtml
C.3.28 Professionals.
The Recipient agrees that only licensed professionals will be used to perform services under this Agreement where such services are called for. All technical reports required pursuant to this Agreement that involve planning, investigation, evaluation, design, or other work requiring interpretation and proper application of engineering, architectural, or geologic sciences, shall be prepared by or under the direction of persons registered to practice in California pursuant to Business and Professions Code, sections 5536.1, 6735, 7835, and 7835.1. To demonstrate compliance with California Code of Regulations, title 16, sections 415 and 3065, all technical reports must contain a statement of the qualifications of the responsible registered professional(s). As required by these laws, completed technical reports must bear the signature(s) and seal(s) of the registered professional(s) in a manner such that all work can be clearly attributed to the professional responsible for the work.
C.3.29 Prevailing Wages.
The Recipient agrees to be bound by all applicable provisions of State Labor Code regarding prevailing wages. The Recipient must monitor all agreements subject to reimbursement from this Agreement to ensure that the prevailing wage provisions of the State Labor Code are being met.
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In addition, the Recipient agrees to comply with the Davis-Bacon provisions incorporated by reference in Section 3 of this Agreement.
C.3.30 Public Funding.
This Project is publicly funded. Any service provider or contractor with which the Recipient contracts must not have any role or relationship with the Recipient, that, in effect, substantially limits the Recipient's ability to exercise its rights, including cancellation rights, under the contract, based on all the facts and circumstances.
C.3.31 Recipient’s Responsibility for Work.
The Recipient shall be responsible for all work and for persons or entities engaged in work performed pursuant to this Agreement, including, but not limited to, contractors, subcontractors, suppliers, and providers of services. The Recipient shall be responsible for responding to any and all disputes arising out of its contracts for work on the Project. The State Water Board will not mediate disputes between the Recipient and any other entity concerning responsibility for performance of work.
C.3.32 Related Litigation.
Under no circumstances may the Recipient use funds from any reimbursement under this Agreement to pay costs associated with any litigation the Recipient pursues against the State Water Board or any Regional Water Quality Control Board. Regardless of the outcome of any such litigation, and notwithstanding any conflicting language in this Agreement, the Recipient agrees to repay all of the disbursed funds plus interest in the event that Recipient does not complete the project.
C.3.33 Rights in Data.
The Recipient agrees that all data, plans, drawings, specifications, reports, computer programs, operating manuals, notes, and other written or graphic work produced in the performance of this Agreement are subject to the rights of the State as set forth in this section. The State shall have the right to reproduce, publish, and use all such work, or any part thereof, in any manner and for any purposes whatsoever and to authorize others to do so. If any such work is copyrightable, the Recipient may copyright the same, except that, as to any work which is copyrighted by the Recipient, the State reserves a royalty-free, nonexclusive, and irrevocable license to reproduce, publish, and use such work, or any part thereof, and to authorize others to do so, and to receive electronic copies from the Recipient upon request.
C.3.34 State Water Board Action; Costs and Attorney Fees.
Any remedy provided in this Agreement is in addition to and not in derogation of any other legal or equitable remedy available to the State Water Board as a result of breach of this Agreement by the Recipient, whether such breach occurs before or after completion of the Project, and exercise of any remedy provided by this Agreement by the State Water Board shall not preclude the State Water Board from pursuing any legal remedy or right which would otherwise be available. In the event of litigation between the parties hereto arising from this Agreement, it is agreed that each party shall bear its own costs and attorney fees.
C.3.35 Timeliness.
Time is of the essence in this Agreement.
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C.3.36 Unenforceable Provision.
In the event that any provision of this Agreement is unenforceable or held to be unenforceable, then the parties agree that all other provisions of this Agreement have force and effect and shall not be affected thereby.
C.3.37 Venue.
Any action arising out of this Agreement shall be filed and maintained in the Superior Court in and for the County of Sacramento, California.
C.3.38 Waiver and Rights of the State Water Board.
Any waiver of rights by the State Water Board with respect to a default or other matter arising under this Agreement at any time shall not be considered a waiver of rights with respect to any other default or matter. Any rights and remedies of the State Water Board provided for in this Agreement are in addition to any other rights and remedies provided by law.
C.4 MISCELLANEOUS STATE AND FEDERAL REQUIREMENTS
C.4.1 [Reserved]
C.4.2 State Cross-Cutters.
Recipient represents that, as applicable, it complies and covenants to maintain compliance with the following for the term of the Agreement:
i. The California Environmental Quality Act (CEQA), as set forth in Public Resources Code 21000 et seq. and in the CEQA Guidelines at Title 14, Division 6, Chapter 3, Section 15000 et seq.
ii. Water Conservation requirements, including regulations in Division 3 of Title 23 of the California Code of Regulations.
iii. Mo nthly Water Diversion Reporting requirements, including requirements set forth in Water Code section 5103.
iv. Public Works Contractor Registration with Department of Industrial Relations requirements, including requirements set forth in Sections 1725.5 and 1771.1 of the Labor Code.
v. Volumetric Pricing & Water Meters requirements, including the requirements of Water Code sections 526 and 527.
vi. Urban Water Management Plan requirements, including the Urban Water Management Planning Act (Water Code, § 10610 et seq.).
vii. Urban Water Demand Management requirements, including the requirements of Section 10608.56 of the Water Code.
viii. Delta Plan Consistency Findings requirements, including the requirements of Water Code section 85225 and California Code of Regulations, title 23, section 5002.
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ix. Agricultural Water Management Plan Consistency requirements, including the requirements of Water Code section 10852.
x. Charter City Project Labor Requirements, including the requirements of Labor Code section 1782 and Public Contract Code section 2503.
C.4.3 Federal Requirements and Cross-Cutters for SRF Funding.
The Recipient acknowledges, warrants compliance with, and covenants to continuing compliance with the following federal terms and conditions for the Useful Life of the Project:
i. Unless the Recipient has obtained a waiver from USEPA on file with the State Water Board or unless this Project is not a project for the construction, alteration, maintenance or repair of a public water system or treatment work, the Recipient shall not purchase “iron and steel products” produced outside of the United States on this Project. Unless the Recipient has obtained a waiver from USEPA on file with the State Water Board or unless this Project is not a project for the construction, alteration, maintenance or repair of a public water system or treatment work, the Recipient hereby certifies that all “iron and steel products” used in the Project were or will be produced in the United States. For purposes of this section, the term "iron and steel products" means the following products made primarily of iron or steel: lined or unlined pipes and fittings, manhole covers and other municipal castings, hydrants, tanks, flanges, pipe clamps and restraints, valves, structural steel, reinforced precast concrete, and construction materials. “Steel” means an alloy that includes at least 50 percent iron, between .02 and 2 percent carbon, and may include other elements.
ii. The Recipient must include in full the Wage Rate Requirements (Davis-Bacon) language incorporated by reference in Section 3 of this Agreement in all construction contracts and subcontracts.
iii. The Recipient must comply with the signage requirements set forth in Exhibit A.
iv. The Recipient shall notify the State Water Board and the USEPA contact of public or media events publicizing the accomplishment of significant events related to this Project and provide the opportunity for attendance and participation by federal representatives with at least ten (10) working days’ notice.
v. The Recipient shall comply with applicable EPA general terms and conditions found at http://www.epa.gov/.
vi. No Recipient may receive funding under this Agreement unless it has provided its Unique Entity Identifier, assigned by the System for Award management, to the State Water Board.
vii. The Recipient represents and warrants that it and its principals are not excluded or disqualified from participating in this transaction as such terms are defined in Parts 180 and 1532 of Title 2 of the Code of Federal Regulations (2 CFR). If the Recipient is excluded after execution of this Agreement, the Recipient shall notify the Division within ten (10) days and shall inform the Division of the Recipient’s exclusion in any request for amendment of this Agreement. The Recipient shall comply with Subpart C of Part 180 of 2 CFR, as supplemented by Subpart C of Part 1532 of 2 CFR. Such compliance is a condition precedent to the State Water Board’s performance of its obligations under this Agreement. When entering into a covered transaction as defined in Parts 180 and 1532 of 2 CFR, the Recipient shall require the other party to the covered transaction to comply with Subpart C of Part 180 of 2 CFR, as supplemented by Subpart C of Part 1532 of 2 CFR.
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viii. To the extent applicable, the Recipient shall disclose to the State Water Board any potential conflict of interest consistent with USEPA’s Final Financial Assistance Conflict of Interest Policy at https://www.epa.gov/grants/epas-final-financial-assistance-conflict-interest-policy . A conflict of
interest may result in disallowance of costs.
ix. USEPA and the State Water Board have the right to reproduce, publish, use and authorize others to reproduce, publish and use copyrighted works or other data developed under this assistance agreement.
x. Where an invention is made with Project Funds, USEPA and the State Water Board retain the right to a worldwide, nonexclusive, nontransferable, irrevocable, paid-up license to practice the invention owned by the Recipient. The Recipient must utilize the Interagency Edison extramural invention reporting system at http://iEdison.gov
and shall notify the Division when an invention
report, patent report, or utilization report is filed.
xi. The Recipient agrees that any reports, documents, publications or other materials developed for public distribution supported by this Agreement shall contain the Disclosure statement set forth in Exhibit A.
xii. The Recipient acknowledges that it is encouraged to follow guidelines established under Section 508 of the Rehabilitation Act, codified at 36 CFR Part 1194, with respect to enabling individuals with disabilities to participate in its programs supported by this Project.
xiii. The Recipient, its employees, contractors and subcontractors and their employees warrants that it will not engage in severe forms of trafficking in persons, procure a commercial sex act during the term of this Agreement, or use forced labor in the performance of this Agreement. The Recipient must include this provision in its contracts and subcontracts under this Agreement. The Recipient must inform the State Water Board immediately of any information regarding a violation of the foregoing. The Recipient understands that failure to comply with this provision may subject the State Water Board to loss of federal funds. The Recipient agrees to compensate the State Water Board for any such funds lost due to its failure to comply with this condition, or the failure of its contractors or subcontractors to comply with this condition. The State Water Board may unilaterally terminate this Agreement if the Recipient that is a private entity is determined to have violated the foregoing.
xiv. The Recipient certifies to the best of its knowledge and belief that:
a. No federal appropriated funds have been paid or will be paid, by or on behalf of the Recipient, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any federal contract, the making of any federal grant, the making of any federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any federal contract, grant, loan, or cooperative agreement. b. If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress in connection with this Agreement, the Recipient shall complete and submit Standard Form-LLL, “Disclosure Form to Report Lobbying,” in accordance with its instructions, and notify the State Water Board.
The Recipient shall require this certification from all parties to any contract or agreement that the Recipient enters into and under which the Recipient incurs costs for which it seeks reimbursements under this Agreement.
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xv. The Recipient must comply with the following federal non-discrimination requirements:
a. Title VI of the Civil Rights Act of 1964, which prohibits discrimination based on race, color, and national origin, including limited English proficiency (LEP). b. Section 504 of the Rehabilitation Act of 1973, which prohibits discrimination against persons with disabilities.
c. The Age Discrimination Act of 1975, which prohibits age discrimination. d. Section 13 of the Federal Water Pollution Control Act Amendments of 1972, which prohibits discrimination on the basis of sex.
e. 40 CFR Part 7, as it relates to the foregoing.
xvi. Executive Order No. 11246. The Recipient shall include in its contracts and subcontracts related to the Project the following provisions:
"During the performance of this contract, the contractor agrees as follows:"(a) The contractor will not discriminate against any employee or applicant for employment because of race, creed, color, or national origin. The contractor will take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, creed, color, or national origin. Such action shall include, but not be limited to the following:
employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the contracting officer setting forth the provisions of this nondiscrimination clause.
"(b) The contractor will, in all solicitations or advertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will receive consideration for employment without regard to race, creed, color, or national origin. "(c) The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice, to be provided by the agency contracting officer, advising the labor union or workers' representative of the contractor's commitments under Section 202 of Executive Order No. 11246 of September 24, 1965, and shall post copies of the notice in conspicuous places available to employees and applicants for employment.
"(d) The contractor will comply with all provisions of Executive Order No. 11246 of Sept. 24, 1965, and of the rules, regulations, and relevant orders of the Secretary of Labor. "(e) The contractor will furnish all information and reports required by Executive Order No. 11246 of September 24, 1965, and by the rules, regulations, and orders of the Secretary of Labor, or pursuant thereto, and will permit access to his books, records, and accounts by the contracting agency and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders.
"(f) In the event of the contractor's noncompliance with the nondiscrimination clauses of this contract or with any of such rules, regulations, or orders, this contract may be cancelled, terminated or suspended in whole or in part and the contractor may be declared ineligible for further Government contracts in accordance with procedures authorized in Executive Order No. 11246 of Sept 24, 1965, and such other sanctions may be imposed and remedies invoked as provided in Executive Order No. 11246 of September 24, 1965, or by rule, regulation, or order of the Secretary of Labor, or as otherwise provided by law.
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"(g) The contractor will include the provisions of Paragraphs (1) through (7) in every subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to Section 204 of Executive Order No. 11246 of Sept. 24, 1965, so that such provisions will be binding upon each subcontractor or vendor. The contractor will take such action with respect to any subcontract or purchase order as the contracting agency may direct as a means of enforcing such provisions including sanctions for noncompliance: Provided, however, That in the event the contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction by the contracting agency, the contractor may request the United States to enter into such litigation to protect the interests of the United States."
xvii. The Recipient agrees to comply with the requirements of USEPA’s Program for Utilization of Small, Minority and Women’s Business Enterprises.
xviii. Procurement Prohibitions under Section 306 of the Clean Air Act and Section 508 of the Clean Water Act, including Executive Order 11738, Administration of the Clean Air Act and the Federal Water Pollution Control Act with Respect to Federal Contracts, Grants, or Loans; 42 USC § 7606; 33 USC § 1368. Except where the purpose of this Agreement is to remedy the cause of the violation, the Recipient may not procure goods, services, or materials from suppliers excluded under the federal System for Award Management: http://www.sam.gov/ .
xix. Uniform Relocation and Real Property Acquisition Policies Act, Pub. L. 91-646, as amended; 42 USC §§4601-4655. The Recipient must comply with the Act’s implementing regulations at 49 CFR 24.101 through 24.105.
xx. The Recipient agrees that if its network or information system is connected to USEPA networks to transfer data using systems other than the Environmental Information Exchange Network or USEPA’s Central Data Exchange, it will ensure that any connections are secure.
xxi. All geospatial data created pursuant to this Agreement that is submitted to the State Water Board for use by USEPA or that is submitted directly to USEPA must be consistent with Federal Geographic Data Committee endorsed standards. Information on these standards may be found at www.fgdc.gov
.
xxii. If the Recipient is a water system that serves 500 or fewer persons, the Recipient represents that it has considered publicly-owned wells as an alternative drinking water supply. xxiii. The Recipient represents that it is not a corporation that has any unpaid Federal tax liability that has been assessed, for which all judicial and administrative remedies have been exhausted or have lapsed, and that is not being paid in a timely manner pursuant to an agreement with the authority responsible for collecting the tax liability; and it is not a corporation that was convicted of a felony criminal violation under a Federal law within the preceding 24 months.
xxiv. The Recipient agrees to immediately notify the Project Manager in writing about any allegation of research misconduct involving research activities that are supported in whole or in part with EPA funds under this Project, including fabrication, falsification, or plagiarism in proposing, performing, or reviewing research, or in reporting research results, or ordering, advising, or suggesting that subordinates engage in research misconduct.
xxv. The Recipient agrees to comply with, and require all contractors and subcontractors to comply with, EPA’s Scientific Integrity Policy, available at
https://www.epa.gov/osa/policy-epa-scientific-
integrity, when conducting, supervising, and communicating science and when using or applying the results of science. For purposes of this condition scientific activities include, but are not limited to, computer modelling, economic analysis, field sampling, laboratory experimentation,
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demonstrating new technology, statistical analysis, and writing a review article on a scientific issue.
The Recipient shall not suppress, alter, or otherwise impede the timely release of scientific findings or conclusions; intimidate or coerce scientists to alter scientific data, findings, or professional opinions or exert non-scientific influence on scientific advisory boards; knowingly misrepresent, exaggerate, or downplay areas of scientific uncertainty; or otherwise violate the EPA’s Scientific Integrity Policy. The Recipient must refrain from acts of research misconduct, including publication or reporting, as described in EPA’s Policy and Procedures for Addressing Research Misconduct, Section 9.C, and must ensure scientific findings are generated and disseminated in a timely and transparent manner, including scientific research performed by contractors and subcontractors.
xxvi. The Recipient agrees to comply with the Animal Welfare Act of 1966 (7 USC 2131-2156).
Recipient also agrees to abide by the “U.S. Government Principles for the Utilization and Care of Vertebrate Animals used in Testing, Research, and Training,” available at http://grants.nih.gov/grants/olaw/references/phspol.htm#USGovPrinciples .
xxvii. The Recipient certifies that no Project Funds will be used on:
a. Video surveillance or telecommunications equipment produced by Huawei Technologies Company or ZTE Corporation (or any subsidiary or affiliate of such entities), telecommunications equipment produced by Hytera Communications Corporation, Hangzhou Hikvision Digital Technology Company, or Dahua Technology Company (or any subsidiary or affiliate of such entities);
b. Telecommunications or video surveillance services produced by such entities; c. Telecommunications or video surveillance equipment or services produced or provided by an entity that the Secretary of Defense, in consultation with the Director of the National Intelligence or the Director of the Federal Bureau of Investigation, reasonably believes to be an entity owned or controlled by, or otherwise connected to, the government of a covered foreign country; or
d. Other telecommunications or video surveillance services or equipment in violation of 2 CFR 200.216.
xxviii. BABA.
The Recipient acknowledges that funds received under this Agreement are subject to the Build America Buy America (BABA) requirements of Public Law 117-58 (the Infrastructure Investment and Jobs Act, also known as the Bipartisan Infrastructure Law (BIL), signed into law on November 15, 2021), which are in addition to “iron and steel products” requirements described in section C.4.3 (i) above. Specifically, unless (1) the Recipient has requested and obtained a waiver from USEPA on file with the State Water Board pertaining to the Project or the Project is otherwise covered by a general applicability waiver, as confirmed in writing by the State Water Board; or (2) the State Water Board and, to the extent the Project is co-funded by any other agency using federal funds subject to BABA requirements, each such agency has advised the Recipient in writing that the BABA requirements are not applicable to the Project, the Recipient shall ensure and certifies that, as these terms are defined within and made applicable by Public Law 117-58:
(a) all iron and steel used in the Project are produced in the United States; (b) the manufactured products used in the Project are produced in the United States; and
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(c) the construction materials used in the Project are produced in the United States.
The Recipient must require its contractors and subcontractors to comply with all applicable BABA requirements and must include the following provision in its contracts and subcontracts under this Agreement:
“The contractor acknowledges to and for the benefit of the [name of the Recipient] and the State Water Board that it understands the goods and services under this contract are being funded with federal monies and have statutory requirements commonly known as “Build America, Buy America;” that requires all of the iron and steel, manufactured products, and construction materials used in the project to be produced in the United States (“Build America, Buy America Requirements”) including iron and steel, manufactured products, and construction materials provided by the contactor pursuant to this contract. The contractor hereby represents and warrants to and for the benefit of the [name of the Recipient] and the State Water Board (a) the contractor has reviewed and understands the Build America, Buy America Requirements, (b) all of the iron and steel, manufactured products, and construction materials used in the project will be and/or have been produced in the United States in a manner that complies with the Build America, Buy America Requirements, unless a waiver of the requirements is approved, and (c) the contractor will provide any further verified information, certification or assurance of compliance with this paragraph, or information necessary to support a waiver of the Build America, Buy America Requirements, as may be requested by the [name of the Recipient] and the State Water Board. Notwithstanding any other provision of this Agreement, any failure to comply with this paragraph by the contractor shall permit the [name of the Recipient] and the State Water Board to recover as damages against the contractor any loss, expense, or cost (including without limitation attorney’s fees) incurred by the [name of the Recipient] and the State Water Board resulting from any such failure (including without limitation any impairment or loss of funding, whether in whole or in part, from the State Water Board or any damages owed to the State Water Board by the [name of the Recipient]). If the contractor has no direct contractual privity with the State Water Board, as a lender or awardee to the [name of the Recipient] for the funding of its project, the [name of the Recipient] and the contractor agree that the State Water Board is a third-party beneficiary and neither this paragraph (nor any other provision of this Agreement necessary to give this paragraph force or effect) shall be amended or waived without the prior written consent of the State Water Board.”
The Recipient must inform the State Water Board immediately of any information regarding a violation of the foregoing.
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Exhibit D
EXHIBIT D – SPECIAL CONDITIONS
Executive Order N-6-22 — Russian Sanctions.
On March 4, 2022, Governor Gavin Newsom issued Executive Order N-6-22 (the EO) regarding Economic Sanctions against Russia and Russian entities and individuals. “Economic Sanctions” refers to sanctions imposed by the U.S. government in response to Russia’s actions in Ukraine, as well as any sanctions imposed under state law. The EO directs state agencies to terminate contracts with, and to refrain from entering any new contracts with, individuals or entities that are determined to be a target of Economic Sanctions. Accordingly, should the State Water Board determine Recipient is a target of Economic Sanctions or is conducting prohibited transactions with sanctioned individuals or entities, that shall be grounds for termination of this Agreement. The State Water Board shall provide Recipient advance written notice of such termination, allowing Recipient at least 30 calendar days to provide a written response. Termination shall be at the sole discretion of the State Water Board.
The Recipient represents that the Recipient is not a target of economic sanctions imposed in response to Russia’s actions in Ukraine imposed by the United States government or the State of California. The Recipient is required to comply with the economic sanctions imposed in response to Russia’s actions in Ukraine, including with respect to, but not limited to, the federal executive orders identified in California Executive Order N-6-22, located at
https://www.gov.ca.gov/wp-content/uploads/2022/03/3.4.22-Russia- Ukraine-Executive-Order.pdf and t he sanctions identified on the United States Department of the Treasury website (https://home.treasury.gov/policy- issues/financial-sanctions/sanctions-programs-and- country-information/ukraine-russia-related-sanctions). T he Recipient is required to comply with all applicable reporting requirements regarding compliance with the economic sanctions, including, but not limited to, those reporting requirements set forth in California Executive Order N-6-22 for all Recipients with one or more agreements with the State of California with an aggregated value of Five Million Dollars ($5,000,000) or more. Notwithstanding any other provision in this Agreement, failure to comply with the economic sanctions and all applicable reporting requirements may result in termination of this Agreement.
For Recipients with an aggregated agreement value of Five Million Dollars ($5,000,000) or more with the State of California, reporting requirements include, but are not limited to, information related to steps taken in response to Russia’s actions in Ukraine, including but not limited to:
1. Desisting from making any new investments or engaging in financial transactions with Russian institutions or companies that are headquartered or have their principal place of business in Russia;
2. Not transferring technology to Russia or companies that are headquartered or have their principal place of business in Russia; and
3. Direct support to the government and people of Ukraine.
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109
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City of Santa Ana
Agreement No.: D2202006
Project No.: 3010038-002C
Exhibit E
EXHIBIT E – PAYMENT SCHEDULE
See the attached preliminary Payment Schedule. The final Payment Schedule will be forwarded to the Recipient after all disbursements have been paid and construction of the Project has been completed.
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110
2/7/2023
City of Santa Ana
Agreement No.: D2202006
Project No.: 3010038-002C
Exhibit F
EXHIBIT F – TAX CERTIFICATE
F.1 Purpose.
The purpose of this Exhibit F is to establish the reasonable expectations of the Recipient regarding the Project and the Project Funds, and is intended to be and may be relied upon for purposes of Sections 103, 141 and 148 of the Code and as a certification described in Section 1.148-2(b)(2) of the Treasury Regulations. This Exhibit F sets forth certain facts, estimates and circumstances which form the basis for the Recipient’s expectation that neither the Project nor the Bond Funded Portion of the Project Funds is to be used in a manner that would cause the Obligation to be classified as “arbitrage bonds” under Section 148 of the Code or “private activity bonds” under Section 141 of the Code.
F.2 Tax Covenant.
The Recipient agrees that it will not take or authorize any action or permit any action within its reasonable control to be taken, or fail to take any action within its reasonable control, with respect to the Project which would result in the loss of the exclusion of interest on the Bonds from gross income for federal income tax purposes under Section 103 of the Code.
F.3 Governmental Unit.
The Recipient is a state or local governmental unit as defined in Section 1.103-1 of the Treasury Regulations or an instrumentality thereof (a "Governmental Unit") and is not the federal government or any agency or instrumentality thereof.
F.4 Financing of a Capital Project.
The Recipient will use the Project Funds to finance capital expenditures it has incurred or will incur for the construction, reconstruction, installation or acquisition of the Project in accordance with the terms of this Agreement. Such expenditures shall not have previously been financed with the proceeds of any other issue of indebtedness except for interim financing by the Recipient, the date of maturity, prepayment or redemption of which is within thirty (30) days of the date of disbursement of Project Funds under this Agreement. All Project Funds shall be allocated to expenditures by the Recipient within thirty (30) days of the date of disbursement, including (if at all) Project Funds allocated to repay interim financing of the Recipient. For purposes of this Section F.4, “interim financing” means notes, commercial paper, loans, lines of credit and other forms of short- term borrowing
.
F.5 Ownership and Operation of Project.
The Recipient exclusively owns and, except as provided in Section F.12 hereof, operates the Project.
F.6 Temporary Period.
The Recipient reasonably expects that at least eighty-five percent (85%) of the Bond Funded Portion of the Project Funds will be allocated to expenditures for the Project within three (3) years of the earlier of the effective date of this Agreement or the date the Bonds are issued ("Applicable Date"). The Recipient has incurred, or reasonably expects that it will incur within six (6) months of the Applicable Date, a substantial binding obligation (i.e., not subject to contingencies within the control of the Recipient or a related party) to a third party to expend at least five percent (5%) of the Bond Funded Portion of the Project Funds on Project Costs. The completion of acquisition, construction, improvement and equipping of the Project and the allocation of the Bond Funded Portion of the Project Funds to Project Costs will proceed with due diligence.
F.7 Working Capital.
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111
2/7/2023
City of Santa Ana
Agreement No.: D2202006
Project No.: 3010038-002C
Exhibit F
No operational expenditures of the Recipient or any related entity are being, have been or will be financed or refinanced with Project Funds.
F.8 Expenditure of Proceeds.
The Bond Funded Portion of the Project Funds shall be used exclusively for the following purposes: (i) Reimbursement Expenditures (as defined in Section F.20 below), (ii) Preliminary Expenditures (as defined in Section F.20 below) in an aggregate amount not exceeding twenty percent (20%) of the Bond Funded Portion of the Project Funds, (iii) capital expenditures relating to the Project originally paid by the Recipient on or after the date hereof, (iv) interest on the Obligation through the later of three (3) years after the Applicable Date or one (1) year after the Project is placed in service, and (v) initial operating expenses directly associated with the Project in the aggregate amount not more than five percent (5%) of the Bond Funded Portion of the Project Funds.
F.9 Private Use and Private Payments.
No portion of the Project Funds or the Project is being, has been or will be used in the aggregate for any activities that constitute a Private Use (as defined below). No portion of the principal of or interest with respect to the Payments will be secured by any interest in property (whether or not the Project) used for a Private Use or in payments in respect of property used for a Private Use, or will be derived from payments in respect of property used for a Private Use. "Private Use" means any activity that constitutes a trade or business that is carried on by persons or entities, other than a Governmental Unit. The leasing of the Project or the access by or the use of the Project by a person or entity other than a Governmental Unit on a basis other than as a member of the general public shall constitute a Private Use. Use by or on behalf of the State of California or any of its agencies, instrumentalities or subdivisions or by any local Governmental Unit and use as a member of the general public will be disregarded in determining whether a Private Use exists. Use under an arrangement that conveys priority rights or other preferential benefits is generally not use on the same basis as the general public. Arrangements providing for use that is available to the general public at no charge or on the basis of rates that are generally applicable and uniformly applied do not convey priority rights or other preferential benefits. For this purpose, rates may be treated as generally applicable and uniformly applied even if (i) different rates apply to different classes of users, such as volume purchasers, if the differences in rates are customary and reasonable; or (ii) a specially negotiated rate arrangement is entered into, but only if the user is prohibited by federal law from paying the generally applicable rates, and the rates established are as comparable as reasonably possible to the generally applicable rates. An arrangement that does not otherwise convey priority rights or other preferential benefits is not treated, nevertheless, as general public use if the term of the use under the arrangement, including all renewal options, is greater than 200 days. For this purpose, a right of first refusal to renew use under the arrangement is not treated as a renewal option if (i) the compensation for the use under the arrangement is redetermined at generally applicable, fair market value rates that are in effect at the time of renewal; and (ii) the use of the financed property under the same or similar arrangements is predominantly by natural persons who are not engaged in a trade or business.
F.10 No Sale, Lease or Private Operation of the Project.
The Project (or any portion thereof) will not be sold or otherwise disposed of, in whole or in part, to any person who is not a Governmental Unit prior to the final maturity date of the Obligation. The Project will not be leased to any person or entity that is not a Governmental Unit prior to the final maturity date of the Obligation. Except as permitted under Section F.12 hereof, the Recipient will not enter any contract or arrangement or cause or permit any contract or arrangement to be entered with persons or entities that are not Governmental Units if that contract or arrangement would confer on such persons or entities any right to use the Project on a basis different from the right of members of the general public. The contracts or arrangements contemplated by the preceding sentence include but are not limited to management contracts, take or pay contracts or put or pay contracts, and capacity guarantee contracts.
F.11 No Disproportionate or Unrelated Use.
No portion of the Project Funds or the Project is being, has been, or will be used for a Private Use that is unrelated or disproportionate to the governmental use of the Project Funds.
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112
2/7/2023
City of Santa Ana
Agreement No.: D2202006
Project No.: 3010038-002C
Exhibit F
F.12 Management and Service Contracts.
The Recipient represents that, as of the date hereof, it is not a party to any contract, agreement or other arrangement with any persons or entities engaged in a trade or business (other than Governmental Units) that involve the management or operation of property or the provision of services at or with respect to the Project that does not comply with the standards of the Treasury Regulations, or Revenue Procedure 2017-13, as applicable. The Recipient represents that it will not be party to any such contract, agreement or arrangement with any person or entity that is not a Governmental Unit for the management of property or the provision of services at or with respect to the Project, while the Obligation (including any obligation or series thereof issued to refund the Obligation, as the case may be) is outstanding, except: (a) with respect to any contract, agreement or arrangement that does not constitute “private business use” of the Project under Code §141(b), or (b) with respect to any contract, agreement or arrangement that complies with (i) Revenue Procedure 97-13, 1997-1 C.B. 632, as amended by Revenue Procedure 2001-39, 2001-2 C.B. 38, and as amplified by Notice 2014-67, with respect to contracts entered into before August 18, 2017 and not materially modified or extended after August 18, 2017, or (ii) Revenue Procedure 2017-13, with respect to contracts entered into or materially modified or extended on or after August 18, 2017, or (c) with respect to any contract, agreement or arrangement that does not give rise to use of the Bond Funded Portion of the Project Funds or the Project by a non-Governmental Unit of more than the amount of such non-qualified use permitted by the Code, or (d) in the event that the Recipient receives an opinion of counsel, satisfactory to the State Water Board and the Bank and expert in the issuance of state and local government bonds the interest on which is excluded from gross income under Section 103 of the Code (“Nationally-Recognized Bond Counsel”), that such contract, agreement or arrangement will not adversely affect the exclusion of the interest on the Obligation from gross income for federal income taxation purposes.
F.13 No Disposition of Financed Property.
As of the date hereof, the Recipient does not expect to sell or otherwise dispose of any portion of the Project, in whole or in part, prior to the final maturity date of the Obligation.
F.14 Useful Life of Project.
As of the date hereof, the Recipient reasonably expects that the economic useful life of the Project, commencing at Project Completion, will be at least equal to the term of this Agreement, as set forth in Exhibit A hereto.
F.15 Payments.
Payments generally are expected to be derived from assessments, taxes, fees, charges or other current Revenues of the Recipient in each year, and such current Revenues are expected to equal or exceed the Payments during each payment period. Any amounts accumulated in a sinking fund or bona fide debt service fund to pay Payments (whether or not deposited to a fund or account established by the Recipient) will be disbursed to pay Payments within thirteen months of the initial date of accumulation or deposit. Any such fund used for the payment of Payments will be depleted once a year except for a reasonable carryover amount not exceeding the greater of earnings on such fund or one-twelfth of the Payments in either case for the immediately preceding year.
F.16 No Other Replacement Proceeds.
The Recipient will not use any of the Bond Funded Portion of the Project Funds to replace or substitute other funds of the Recipient that were otherwise to be used to finance the Project or which are or will be used to acquire securities, obligations or other investment property reasonably expected to produce a yield that is materially higher than the yield on the Bonds.
F.17 No Sinking or Pledged Fund.
Except as set forth in Section F.18 below, the Recipient will not create or establish any sinking fund or pledged fund which will be used to pay Payments on the Obligation within the meaning of Section 1.148-1(c) of the Treasury Regulations. If any sinking fund or pledged fund comes into being with respect to the Obligation before
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City of Santa Ana
Agreement No.: D2202006
Project No.: 3010038-002C
Exhibit F
the Obligation has been fully retired which may be used to pay the Payments, the Recipient will invest such sinking fund and pledged fund moneys at a yield that does not exceed the yield on the Bonds.
F.18 Reserve Amount.
The State Water Board requires that the Recipient maintain and fund a separate account in an amount equal to one (1) year of debt service with respect to the Obligation (the “Reserve Amount”) as set forth in Exhibit B. The Recipient represents that the Reserve Amount is and will be available to pay debt service with respect to the Obligation, if and when needed. The Reserve Amount consists solely of revenues of the Recipient and does not include any proceeds of any obligations the interest on which is excluded from gross income for federal income tax purposes or investment earnings thereon. The aggregate of the Reserve Amount, up to an amount not exceeding the lesser of (i) ten percent of the aggregate principal amount of the Obligation, (ii) the maximum annual debt service with respect to the Obligation, or (iii) 125 percent of the average annual debt service with respect to the Obligation, will be treated as a reasonably required reserve fund.
F.19 Reimbursement Resolution.
The “reimbursement resolution” adopted by the Recipient is incorporated herein by reference.
F.20 Reimbursement Expenditures.
Reimbursements are disallowed, except as specifically authorized in Exhibit B or Exhibit D of this Agreement. To the extent so authorized, a portion of the Bond Funded Portion of the Project Funds may be applied to reimburse the Recipient for Project Costs paid before the date hereof, so long as the Project Cost was (i) not paid prior to sixty (60) days before the Recipient’s adoption of a declaration of official intent to finance the Project, (ii) not paid more than eighteen (18) months prior to the date hereof or the date the Project was placed-in-service, whichever is later, and (iii) not paid more than three (3) years prior to the date hereof (collectively, “Reimbursement Expenditures”), unless such cost is attributable to a “preliminary expenditure.” Preliminary expenditure for this purpose means architectural, engineering, surveying, soil testing and similar costs incurred prior to the commencement of construction or rehabilitation of the Project, but does not include land acquisition, site preparation and similar costs incident to the commencement of acquisition, construction or rehabilitation of the Project. Preliminary expenditures may not exceed 20% of the Bond Funded Portion of the Project Funds.
F.21 Change in Use of the Project.
The Recipient reasonably expects to use all of the Bond Funded Portion of the Project Funds and the Project for the entire stated term to maturity of the Obligation. Absent an opinion of Nationally-Recognized Bond Counsel to the effect that such use of the Bond Funded Portion of the Project Funds will not adversely affect the exclusion from federal gross income of interest on the Bonds pursuant to Section 103 of the Code, the Recipient will use the Bond Funded Portion of the Project Funds and the Project solely as set forth in this Agreement.
F.22 Rebate Obligations.
If the Recipient satisfies the requirements of one of the spending exceptions to rebate specified in Section 1.148-7 of the Treasury Regulations, amounts earned from investments, if any, acquired with the Bond Funded Portion of the Project Funds will not be subject to the rebate requirements imposed under Section 148(f) of the Code. If the Recipient fails to satisfy such requirements for any period, it will notify the State Water Board and the Bank immediately and will comply with the provisions of the Code and the Treasury Regulations at such time, including the payment of any rebate amount calculated by the State Water Board or the Bank.
F.23 No Federal Guarantee.
The Recipient will not directly or indirectly use any of the Bond Funded Portion of the Project Funds in any manner that would cause the Bonds to be "federally guaranteed" within the meaning of Section 149(b) of the Code, taking into account various exceptions including any guarantee related to investments during an initial temporary period until needed for the governmental purpose of the Bonds, investments as part of a bona fide debt
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114
2/7/2023
City of Santa Ana
Agreement No.: D2202006
Project No.: 3010038-002C
Exhibit F
service fund, investments of a reasonably required reserve or replacement fund, investments in bonds issued by the United States Treasury, investments in refunding escrow funds or certain other investments permitted under the Treasury Regulations.
F.24 Amendments.
The provisions in this Exhibit may be amended, modified or supplemented at any time to reflect changes in the Code upon obtaining written approval of the State Water Board and the Bank and an opinion of Nationally- Recognized Bond Counsel to the effect that such amendment, modification or supplement will not adversely affect the exclusion from federal gross income of interest on the Bonds pursuant to Section 103 of the Code.
F.25 Reasonable Expectations.
The Recipient warrants that, to the best of its knowledge, information and belief, and based on the facts and estimates as set forth in the tax covenants in this Exhibit, the expectations of the Recipient as set forth in this Exhibit are reasonable. The Recipient is not aware of any facts or circumstances that would cause it to question the accuracy or reasonableness of any representation made in the provisions in this Exhibit.
F.26 Assignment.
The Recipient consents to any pledge, sale, or assignment to the Bank or a trustee for the benefit of the owners of the Bonds, if any, at any time of any portion of the State Water Board's estate, right, title, and interest and claim in, to and under this Agreement and the right to make all related waivers and agreements in the name and on behalf of the State Water Board, as agent and attorney-in-fact, and to perform all other related acts which are necessary and appropriate under this Agreement, if any, and the State Water Board's estate, right, title, and interest and claim in, to and under this Agreement to Payments (but excluding the State Water Board's rights to Additional Payments and to notices, opinions and indemnification under each Obligation).
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California DWSRF Payment Schedule
Project No. 3010038-002C - Santa Ana, City of
Agreement: D2202006 - based on Actual + Projected Disbursements Automated Meter Infrastructure
Interest rate: 1.10000%
Principal is paid over: 20 Years
Ref
Num
Due
Date
Date
Received Principal Payment
Interest
Rate%
Interest
Payment
Total P and I
Payment
Total
Payment
Ending
Balance
CPI
Interest
1 7/1/2023 0.00 1.100 15,028.57 15,028.57 15,028.57 4,660,516.00 0.00 2 7/1/2024 0.00 1.100 0.00 0.00 0.00 7,689,200.00 0.00
3 7/1/2025 0.00 1.100 0.00 0.00 0.00 10,117,365.00 0.00 4 7/1/2026 455,027.52 1.100 111,291.02 566,318.54 566,318.54 9,662,337.48 0.00 5 7/1/2027 460,032.83 1.100 106,285.71 566,318.54 566,318.54 9,202,304.65 0.00 6 7/1/2028 465,093.19 1.100 101,225.35 566,318.54 566,318.54 8,737,211.46 0.00 7 7/1/2029 470,209.21 1.100 96,109.33 566,318.54 566,318.54 8,267,002.25 0.00 8 7/1/2030 475,381.52 1.100 90,937.02 566,318.54 566,318.54 7,791,620.73 0.00 9 7/1/2031 480,610.71 1.100 85,707.83 566,318.54 566,318.54 7,311,010.02 0.00 10 7/1/2032 485,897.43 1.100 80,421.11 566,318.54 566,318.54 6,825,112.59 0.00 11 7/1/2033 491,242.30 1.100 75,076.24 566,318.54 566,318.54 6,333,870.29 0.00 12 7/1/2034 496,645.97 1.100 69,672.57 566,318.54 566,318.54 5,837,224.32 0.00 13 7/1/2035 502,109.07 1.100 64,209.47 566,318.54 566,318.54 5,335,115.25 0.00 14 7/1/2036 507,632.27 1.100 58,686.27 566,318.54 566,318.54 4,827,482.98 0.00 15 7/1/2037 513,216.23 1.100 53,102.31 566,318.54 566,318.54 4,314,266.75 0.00 16 7/1/2038 518,861.61 1.100 47,456.93 566,318.54 566,318.54 3,795,405.14 0.00 17 7/1/2039 524,569.08 1.100 41,749.46 566,318.54 566,318.54 3,270,836.06 0.00 18 7/1/2040 530,339.34 1.100 35,979.20 566,318.54 566,318.54 2,740,496.72 0.00 19 7/1/2041 536,173.08 1.100 30,145.46 566,318.54 566,318.54 2,204,323.64 0.00 20 7/1/2042 542,070.98 1.100 24,247.56 566,318.54 566,318.54 1,662,252.66 0.00 21 7/1/2043 548,033.76 1.100 18,284.78 566,318.54 566,318.54 1,114,218.90 0.00 22 7/1/2044 554,062.13 1.100 12,256.41 566,318.54 566,318.54 560,156.77 0.00 23 7/1/2045 560,156.77 1.100 6,161.72 566,318.49 566,318.49 0.00 0.00 10,117,365.00 1,224,034.32 11,341,399.32 11,341,399.32 0.00
EXHIBIT 3
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City Clerk’s Office
www.santa-ana.org/city-clerks-office
Item # 30
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
February 7, 2023
TOPIC: Assembly Bill 361
AGENDA TITLE:
Teleconferencing for Meetings of City Council and All Boards, Committees, and Commissions Pursuant to the Provisions of Assembly Bill 361
RECOMMENDED ACTION
Adopt a resolution to consider continuing the use of teleconferencing for City Council, board, committee, and commission meetings pursuant to the provisions of Assembly Bill 361 for the next 30 days.
DISCUSSION
On March 17, 2020, Governor Gavin Newsom issued Executive Order N-29-20, suspending certain provisions of the Brown Act to allow legislative bodies to conduct their meetings completely telephonically or by other electronic means. City Council meetings have been conducted by Zoom, with councilmembers and staff joining from remote locations when necessary.
The suspension of certain provisions of the Brown Act was further extended by Governor Newsom on June 11, 2021 by the issuance of Executive Order N-08-21, which continued to allow completely virtual City Council (and other legislative body) meetings. This order stayed in effect until September 30, 2021.
In response, AB 361 was signed into effect by Governor Newsom on September 16, 2021. It amends the Brown Act to allow legislative bodies to meet virtually, provided there is a state of emergency, and either (1) state or local officials have imposed or recommended measures to promote social distancing, or (2) the legislative body determines by majority vote that meeting in person would present imminent risks to the health and safety of attendees.
The City of Santa Ana’s current practices with respect to live public comment via Zoom already satisfy all of the new requirements in AB 361. Additionally, the individual legislative bodies can make their own findings for the AB 361 teleconferencing
City Council
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1 2/7/2023
Assembly Bill 361
February 7, 2023
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3 7
resolution for future meetings. Determinations to continue to utilize remote meetings as allowed by AB 361 must be re-visited by the legislative body every 30 days with the support of new findings. Staff recommends this extension period to act as a helpful transitional stage for boards, committees, and commissions who still currently meet virtually.
Most recently, on January 17, 2023, the City Council adopted Resolution No. 2023-003, making the required findings under AB 361 to allow the City to continue to offer teleconference accessibility for public meetings after September 30, 2021, to help mitigate the spread of COVID-19. The attached resolution (Exhibit 1) declares additional findings to allow for the continued use of teleconferencing for City Council, board, commission, and committee meetings pursuant to AB 361.
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action.
FISCAL IMPACT
There is no fiscal impact associated with this action.
EXHIBIT(S)
1. Resolution
Submitted By: Norma Orozco, Acting City Clerk
Approved By: Kristine Ridge, City Manager
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2 2/7/2023
Resolution 2023-XXX
RESOLUTION 2023-xxx
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SANTA ANA , CALIFORNIA AUTHORIZING THE USE OF
REMOTE TELECONFERENCING PROVISIONS (AB 361)
WHEREAS, the Ralph M. Brown Act (Government Code section 54950 et seq.) generally requires local agencies meeting via teleconference , including through other virtual or electronic means, to, among other things, provide public access at each location in which members of the legislative body are teleconferencing; and WHEREAS, Assembly Bill 361 (AB 361) amends Government Code section 54953 to allow local agencies to meet fully virtually, without fully adhering to the rules otherwise applicable to teleconferencing, during a proclaimed state of emergency if state or local officials have imposed or recommended measures to promote social distancing; and WHEREAS, the Governor issued a proclamation declaring a state of emergency on March 4, 2020 due to the COVID-19 pandemic, pursuant to section 8625 of the California Emergency Services Act, and this proclaimed state of emergency currently remains in effect; and
WHEREAS, the City Council of the City of Santa Ana declared a local emergency on March 17, 2020 pursuant to Santa Ana Municipal Code section 2-404A (now section 2-646A); and
WHEREAS, in order to continue teleconferencing pursuant to the provisions of AB 361, the City Council is required to make certain findings every thirty (30) days; and WHEREAS, the Ci ty Council of the City of Santa Ana , consistent with those provisions, approved Resolutions 2021-055, 2021-66, 2021-072, 2021-088; 2022-004, 2022-015, 2022-021, 2022-026, 2022-033, 2022 -037; 2022 -043; 2022 -050; 2022 -063; 2022-070; 2022-073; 2022-077; 2022-087; 2022-090; 2022-094; 2022-103; and 2023 - 003 authorizing the use of remote teleconferencing provisions pursuant to AB 361; and WHEREAS, the City Council of the City of Santa Ana has reconsidered the circumstances of the state of emergency; and
WHEREAS, state and local officials continue to recommend measures to promote social distancing to prevent the spread of COVID-19; and WHEREAS, the continuation of remote teleconferencing will allow for full participation by members of the public and the members of the City legislative bodies until social distancing recommendations are lifted; and
WHEREAS, the City Council of the City of Santa Ana desires to continue to utilize remote teleconferencing pursuant to AB 361 and Government Code section 54953(e).
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3 2/7/2023
Resolution 2023-XXX
NOW THEREFORE BE IT RESOLVED, by the City Council of the City of Santa Ana as follows:
SECTION 1. The above recitals are true and correct and shall be the findings of the City of Santa Ana’s City Council and each and every other legislative body of the City.
SECTION 2. The City Council of the City of Santa Ana hereby authorizes the use of remote teleconferencing pursuant to AB 361.
SECTION 3. The City Council and all other legislative bodies of the City of Santa Ana created by the City Council or created through its City Charter shall continue to meet virtually in accordance with Government Code section 54953(e) and without compliance with section 54953(b)(3) based upon the findings and determinations hereby made by the City Council.
SECTION 4. The City Clerk shall attest to and certify to the passage and adoption of this resolution and it shall be effective immediately upon its approval.
ADOPTED this ____ day of February, 2023.
___________________________
Valerie Amezcua
Mayor
APPROVED AS TO FORM:
Sonia R. Carvalho, City Attorney
By: ________________________
Laura A. Rossini
Chief Assistant City Attorney
AYES: Councilmembers
NOES: Councilmembers
ABSTAIN: Councilmembers
NOT PRESENT: Councilmembers
City Council
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4 2/7/2023
Resolution 2023-XXX
CERTIFICATE OF ATTESTATION AND ORIGINALITY
I, Clerk of the Council, do hereby attest to and certify the attached Resolution No. 2023- ___ to be the original Resolution adopted by the City Council of the City of Santa Ana on _____________, 2023.
Date: ___________________ ____________________________
Clerk of the Council
City of Santa Ana
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5 2/7/2023
City Clerk’s Office
www.santa-ana.org/city-clerks-office
Item # 31
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
February 7, 2023
TOPIC: City Council Standing Subcommittee Appointments
AGENDA TITLE:
Review the City Council Standing Subcommittees Interest List and Appoint Members
RECOMMENDED ACTION
Review the City Council Standing Subcommittees interest list and appoint members to serve as representatives through December 2024 to the:
1. School Collaboration City Council Subcommittee
2. Public Safety and Homelessness City Council Standing Subcommittee
3. Legislative City Council Standing Subcommittee
4. Joint School Collaboration City Council Standing Subcommittee
DISCUSSION
School Collaboration City Council Subcommittee
At the September 7, 2021 City Council meeting, the City Council adopted Resolution No. 2021-051 establishing the School Collaboration City Council Subcommittee. The purpose of the School Collaboration City Council Subcommittee is to discuss creating opportunities to collaborate with educational institutions that serve Santa Ana, including public school districts (such as the Santa Ana Unified School District, Garden Grove Unified School Districts, and others), private schools, charter schools, higher education institutions, and others to improve service delivery, as well as identify existing joint-use agreements and opportunities for joint use for City-owned and school district-owned facilities.
Public Safety and Homelessness City Council Subcommittee At the December 21, 2021 City Council meeting, the City Council adopted Resolution No. 2021-089 establishing the Public Safety and Homelessness City Council Standing Subcommittee. The purpose of the Public Safety and Homelessness City Council Standing Subcommittee is to discuss the following topics: public safety services (police and fire); homelessness; homeless services; how to provide relief to residents, business owners, and other community members relating to homelessness; impacts of
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1 2/7/2023
City Council Standing Subcommittee Appointments
February 7, 2023
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3 4
homelessness on the quality of life of community member; the effects of homelessness on public safety; and any other topics related thereto.
Legislative City Council Subcommittee
At the December 21, 2021 City Council meeting, the City Council adopted Resolution No. 2021-089 also establishing the Legislative City Council Standing Subcommittee.
The purpose of the Legislative City Council Standing Subcommittee is to discuss the following topics: provide guidance and direction to help facilitate the City’s legislative affairs efforts; make recommendations to the City Council relating to setting legislative priorities and directing legislative advocacy; making policy recommendations relating to how the City may respond to legislative actions that may affect the City; provide guidance to City staff on legislative activities; and any other topics related thereto.
Joint School Collaboration City Council Subcommittee
At the April 19, 2022 City Council meeting, the City Council adopted Resolution No. 2022-028 establishing the Joint School Collaboration City Council Subcommittee between the City of Santa Ana and the Santa Ana Unified School District. The purpose of the Joint School Collaboration City Council Standing Subcommittee would be to discuss issues of mutual interest between the City and SAUSD focusing on youth services and including but not limited to, joint use of SAUSD and City facilities; library facilities; educational programs; and other topics related thereto.
Membership of each City Council Subcommittee
School Collaboration City Council Subcommittee
Current members on School Collaboration City Council Subcommittee are Mayor Pro Tem Lopez and Councilmember Hernandez. Former Councilmember Mendoza was previously a member on the School Collaboration City Council Subcommittee.
Joint School Collaboration City Council Subcommittee
Current members on School Collaboration City Council Subcommittee are Mayor Pro Tem Lopez and Councilmember Hernandez. Former Councilmember Mendoza was previously a member on the School Collaboration City Council Subcommittee.
Mayor Amezcua and Mayor Pro Tem Lopez have expressed interest in serving on the Joint School Collaboration City Council Subcommittee
Public Safety and Homelessness City Council Standing Subcommittee Current members on Public Safety and Homelessness City Council Standing Subcommittee are Councilmembers Bacerra and Hernandez. Former Councilmember Mendoza was previously a member on the Public Safety and Homelessness City Council Standing Subcommittee.
Mayor Amezcua and Councilmember Bacerra have expressed interest in serving on the Public Safety and Homelessness City Council Standing Subcommittee.
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City Council Standing Subcommittee Appointments
February 7, 2023
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3 4
Legislative City Council Standing Subcommittee
Current members on Legislative City Council Standing Subcommittee and Mayor Pro Tem Lopez and Councilmember Penaloza. Former Mayor Sarmiento was previously a member on the Legislative City Council Standing Subcommittee.
Mayor Amezcua and Mayor Pro Tem Lopez have expressed interest in serving on the Legislative City Council Standing Subcommittee.
FISCAL IMPACT
There is no fiscal impact associated with this action.
Submitted By: Norma Orozco, Acting City Clerk
Approved By: Kristine Ridge, City Manager
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Community Development Agency
santa-ana.org/community-development
Item # 2
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
February 7, 2023
TOPIC: Quarterly Report for Housing Choice Voucher Program AGENDA TITLE:
Quarterly Report for the Housing Choice Voucher Program for the Period of October 1, 2022 to December 31, 2022
RECOMMENDED ACTION
Receive and file the Quarterly Report for the Housing Choice Voucher Program for the period of October 1, 2022 to December 31, 2022.
DISCUSSION
The October 1, 2022 to December 31, 2022 Quarterly Report for the Housing Choice Voucher (HCV) Program provides statistics for the day-to-day activities of the Santa Ana Housing Authority. The report is divided into three (3) sections: Applicants, Participants, and Production.
Applicants
The Santa Ana Housing Authority accepted applications from May 2, 2022 through May 31, 2022 and received a total of 20,759 applications. A random lottery procedure was applied and the Santa Ana Housing Authority accepted 7,500 of the 20,759 applications to establish a 2022 HCV Waiting List. Charts 1 and 2 depict the characteristics of those applicants currently on the Waiting List. As of December 31, 2022, the Housing Authority has not selected any applicants from the 2022 HCV Waiting List.
Chart 1 illustrates the percentage of applicants on the 2022 HCV Waiting List who live or work in Santa Ana.
These applicants are given a preference on the
Waiting List together with U.S. Military Veterans.
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Quarterly Report for Housing Choice Voucher Program
February 7, 2023
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Chart 2 illustrates the number of applicants by total
household size. The majority of applicants on the
Waiting List consist of only one (1) or two (2)
household members.
Over half of all applicants (4,685 of the 7,500
applicants or 62%) have one (1) or two (2) member
households and would qualify for a one-bedroom
voucher. The Santa Ana Housing Authority’s
occupancy standard is one (1) bedroom for every two
(2) family members.
Participants
At the end of the reporting period, there were 3,027
households receiving rental assistance from the
Housing Authority.
Chart 3 illustrates participating families, sorted by
number of family members. Over three-fourths (87%) of
families receiving assistance have three (3) or fewer
members.
Chart 4 illustrates the family type for program
participants. Over half (69%) of participating
households have elderly and/or disabled members.
[“Other” consists of households that are non-elderly,
non-disabled, with no minor children.]
2888
1797
1090 906
490
200 80 29 11 9
0 500
1000
1500
2000
2500
3000
3500
1 2 3 4 5 6 7 8 9 10+
2. Household Size
Number of Applicants
People per Houshold
Disabled
43%
Elderly
26%
Family
16%
Other
15%
4. Family Type
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Quarterly Report for Housing Choice Voucher Program
February 7, 2023
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Chart 5 depicts participants by percentage of Orange
County median income. As of December 31, 2022, the
County’s median income is $119,100 per year for a
family of four.
Approximately 90% of families on the program earn less
than 30% of the median income, which is $40,650 per
year for a family of four (4).
Participants’ incomes come from a variety of sources,
as illustrated in Chart 6. A total of 36% of participating families have income from employment.
Participating families pay a portion of their monthly
rent based upon their income and the payment
standard for their unit. The Housing Authority pays the difference between the tenant’s portion and the
contract rent. This payment is the Housing Assistance
Payment (HAP). The average HAP for October 1,
2022 to December 31, 2022 was $1,395.
*Note: Chart 6 does not add up to 100% because the income of some participants comes from multiple sources.
Production
HQS Inspections: At least once every two (2) years,
the Housing Authority must inspect each assisted-unit
to ensure it meets HUD’s Housing Quality Standards
(HQS) in compliance with the federal
regulations. From October 1, 2022 to December 31,
2022 a total of 384 inspections and re-inspections of
our assisted-units were performed of which 73
inspections failed. Chart 7 illustrates the number of
inspections performed on a monthly basis during the reporting period. 129
116
139
100
110
120
130
140
Oct Nov Dec
7. HQS Inspections
Inspection Months
36%
8%
62%
14%
0%
10%
20%
30%
40%
50%
60%
70%
With Any
Wages
With any
Welfare
With any
SSI/SS
With any
other Income
6. Source of Income
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Quarterly Report for Housing Choice Voucher Program
February 7, 2023
3 2
2 0
Recertifications / Interims:
Each year, the Housing Authority must re-certify
every assisted-family to verify the family is still
eligible for assistance. In addition, when a
participant’s income changes, an interim examination
must be performed. During the reporting period, a
total of 891 recertifications and interims were
conducted. Chart 8 illustrates the number of
recertifications and interims performed.
Other Change of Unit:
These actions are completed when a family moves to a different rental unit. Eighteen (18) change of unit actions were processed during the reporting period.
New Admissions:
This action is completed when a family is admitted to the HCV Program. Ninety-three (93) new admissions were processed during the reporting period.
End of Participation:
This action is completed when the family is no longer interested in participating in the program, the family becomes deceased, the family is no longer eligible for the program, or the family is terminated from the program due to program violations. Twenty-nine (29) end of participations were processed during the reported period.
Expired Vouchers:
This action is completed when an applicant is unable to locate a unit within the timeframe of the voucher and all extensions have been exhausted or no extension is requested. There were forty-eight (48) expired vouchers processed during the reporting period.
FISCAL IMPACT
There is no fiscal impact associated with this action.
Submitted By: Michael L. Garcia, Executive Director of Community Development Approved By: Kristine Ridge, City Manager
198 208 191
115 113 66
0 100
200
300
400
Oct Nov Dec
Re-exams Interims
8. Re-exams and Interims
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