Agenda packet — Santa Ana City Council, March 7, 2023 (part 4 of 4)

SENIOR LENDER:

Bank of America, N.A.

Mail Code #CA4-704-06-06
2000 Clayton Road
6th Floor
Concord, California 94520-2405
Attention: Loan Administration Manager
SUBORDINATE LENDER:

City of Santa Ana
City Manager
20 Civic Center Plaza
P.O. Box 1988
Santa Ana, California 92702
With a copy to:

City of Santa Ana
City Attorney
20 Civic Center Plaza
7th Floor (M-29)
Santa Ana, California 92702
Either party may, by notice given pursuant to this Section, change the person or persons and/or address or addresses, or des ignate an additional person or persons or an additional address or addresses for its notices, but notice of a change of address shall only be effective upon receipt.

16. General.
(a) Assignment/Successors.

This Agreement shall be binding upon Trustor, Senior Lender and Subordinate Lender and shall inure to the benefit of the respective legal successors, transferees and assigns of Trustor, Senior Lender and Subordinate Lender. Trustor shall not assign any of its rights and obligations under this Agreement without the prior written consent of Senior Lender and Subordinate Lender. (b) No Partnership or Joint Venture.

Senior Lender’s permission for the placement of the Subordinate Loan does not constitute Senior Lender as a joint venturer or partner of Subordinate Lender. Neither party hereto shall hold itself out as a partner, agent or Affiliate of the other party hereto.

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Subordination Agreement (City of Santa Ana) Form 6456 Page 15 Fannie Mae 08-13 © 2013 Fannie Mae
WISEPlace
4893-9038-0110v.4 4900000-002383
NOTE: NO CREDIT APPROVAL HAS BEEN RECEIVED. THIS IS NOT A COMMITMENT. (c) Senior Lender’s and Subordinate Lender’s Consent.

Wherever Senior Lender’s consent or approval is required by any provision of this Agreement, such consent or approval may be granted or denied by Senior Lender in its sole and absolute discretion, unless otherwise expressly provided in this Agreement. Wherever Subordinate Lender’s consent or approval is required by any provision of this Agreement, such co nsent or approval may be granted or denied by Subordinate Lender in its sole and absolute discretion, unless otherwise expressly provided in this Agreement.
(d) Further Assurances.

Subordinate Lender, Senior Lender and Trustor each agrees, at Borrower’s expens e, to execute and deliver all additional instruments and/or documents reasonably required by any other party to this Agreement in order to evidence that the Subordinate Mortgage is subordinate to the lien, covenants and conditions of the Senior Loan Documents, or to further evidence the intent of this Agreement.
(e) Amendment.

This Agreement shall not be amended except by written instrument signed by all parties hereto.
(f) Governing Law.

This Agreement shall be governed by the laws of the jurisdiction in which the Mortgaged Property is located without giving effect to any choice of law provisions thereof that would result in the application of the laws of another jurisdiction. Senior Lend er, Subordinate Lender and Trustor agree that any controversy arising under or in relation to this Security Instrument shall be litigated exclusively in the jurisdiction in which the Mortgaged Property is located. The state and federal courts and authorities with jurisdiction in such locale shall have exclusive jurisdiction over all controversies that arise under or in relation to this Agreement. The parties hereto irrevocably consent to service, jurisdiction, and venue of such courts for any such litigat ion and waive any other venue to which any might be entitled by virtue of domicile, habitual residence or otherwise. (g) Severable Provisions.

If any provision of this Agreement shall be invalid or unenforceable to any extent, then the other provisions of this Agreement, shall not be affected thereby and shall be enforced to the greatest extent permitted by law.
(h) Counterparts.

This Agreement may be executed in any number of counterparts, each of which shall be considered an original for all purposes; provided, however, that all such counterparts shall together constitute one (1) and the same instrument.

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Subordination Agreement (City of Santa Ana) Form 6456 Page 16 Fannie Mae 08-13 © 2013 Fannie Mae
WISEPlace
4893-9038-0110v.4 4900000-002383
NOTE: NO CREDIT APPROVAL HAS BEEN RECEIVED. THIS IS NOT A COMMITMENT. (i) Sale of Senior Loan.

Nothing in this Agreement shall limit Senior Lender’s (including any assignee or transferee of Senior Lender) right to sell or transfer the Senior Loan, or any interest in the Senior Loan. The Senior Loan or a partial interest in the Senior Loan (together with this Agreement and the other Loan Documents) may be sold one or more times without prior notice to Trustor.

[Remainder of Page Intentionally Left Blank]
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Subordination Agreement (City of Santa Ana) Form 6456 Page S-1 Fannie Mae 08-13 © 2013 Fannie Mae
WISEPlace
4893-9038-0110v.4 4900000-002383
NOTE: NO CREDIT APPROVAL HAS BEEN RECEIVED. THIS IS NOT A COMMITMENT.

IN WITNESS WHEREOF, Trustor, Senior Lender and Subordinate Lender have signed and delivered this Agreement under seal (where applicable) or have caused this Agreement to be signed and delivered under seal (where applicable) by a duly authorized representative. Where applicable law so provides, Trustor, Senior Lender, and Subordinate Lender intend that this Agreement shall be deemed to be signed and delivered as a sealed instrument.

SENIOR LENDER:

BANK OF AMERICA, N.A.,
a national banking association
By: __________________________________
Michael K. Petty
Senior Vice President
Address: Bank of America, N.A.

Mail Code #CA4-704-06-06
2000 Clayton Road
6th Floor
Concord, California 94520-2405
Attention: Loan Administration Manager
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Subordination Agreement (City of Santa Ana) Form 6456 Page S-2 Fannie Mae 08-13 © 2013 Fannie Mae
WISEPlace
4893-9038-0110v.4 4900000-002383
NOTE: NO CREDIT APPROVAL HAS BEEN RECEIVED. THIS IS NOT A COMMITMENT.

BORROWER:

NORTH BROADWAY HOUSING PARTNERS LP,
a California limited partnership
By: JHC-North Broadway LLC,
a California limited liability company,
its Managing General Partner
By: Jamboree Housing Corporation,
a California non-profit public benefit corporation,
its Managing Member
By: __________________________________
Michael Massie
Chief Development Officer
Borrower’s address for notice purposes:

North Broadway Housing Partners LP
c/o Jamboree Housing Corporation
17701 Cowan Avenue
Suite 200
Irvine, CA 92614
Attention: Asset Management
With a copy to:

Rutan & Tucker, LLP
18575 Jamboree Road
9th Floor
Irvine, CA 92612
Attention: Patrick D. McCalla, Esq.

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Subordination Agreement (City of Santa Ana) Form 6456 Page S-3 Fannie Mae 08-13 © 2013 Fannie Mae
WISEPlace
4893-9038-0110v.4 4900000-002383
NOTE: NO CREDIT APPROVAL HAS BEEN RECEIVED. THIS IS NOT A COMMITMENT.

GROUND LESSOR:

WISEPLACE,
a California nonprofit public benefit corporation
By: __________________________________
[Name]
[Title]
Ground Lessor’s address for notice purposes:

WISEPlace
______________________________
______________________________
______________________________
Attention: _____________________

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_ _ ____ ___ __
SUBORDINATE LENDER:

CITY OF SANTA ANA,
a charter city and municipal corporation
By: ___________________________________
Kristine Ridge
City Manager
ATTEST:

By: __________________________________
Norma Orozco
Clerk of the Council
Dated: _________________________________
APPROVED AS TO FORM:

SONIA R. CARVALHO, City Attorney
By: _ _ _ _ _ __________________
Special Counsel to the City
B
est, Best & Krieger
Dat
ed: _________________________________
RECOMMENDED FOR APPROVAL:

By: __________________________________
Michael L. Garcia
Executive Director
Community Development Agency
Subordination Agreement (City of Santa Ana) Form 6456 Page S-4 Fannie Mae 08-13 © 2013 Fannie Mae
WISEPlace
4893-9038-0110v.4 4900000-002383
NOTE: NO CREDIT APPROVAL HAS BEEN RECEIVED. THIS IS NOT A COMMITMENT. 2/23/23
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Subordination Agreement (City of Santa Ana) Form 6456 Page A-1 Fannie Mae 08-13 © 2013 Fannie Mae
WISEPlace
4893-9038-0110v.4 4900000-002383
NOTE: NO CREDIT APPROVAL HAS BEEN RECEIVED. THIS IS NOT A COMMITMENT.

EXHIBIT A

Legal Description

APN: ____________________________

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All that certain real property situated in the County of Orange, State of California, described as follows:

COMMENCING AT THE CENTERLINE INTERSECTION OF 15TH STREET AND SYCAMORE STREET AS SHOWN ON THE RECORD OF SURVEY NO 85-1067, RECORDED IN BOOK 111, PAGE 38, OF RECORD OF SURVEYS, IN THE OFFICE OF

THE COUNTY RECORDER OF SAID ORANGE COUNTY, SAID CENTERLINE OF

SYCAMORE STREET BEING DESCRIBED IN THAT CERTAIN FINAL JUDGMENT, SUPERIOR COURT CASE NO. 23280, A CERTIFIED COPY OF WHICH WAS RECORDED JANUARY 8, 1929 IN BOOK 227, PAGE 401 OF OFFICIAL RECORDS OF SAID ORANGE COUNTY, CALIFORNIA; THENCE SOUTHERLY ALONG SAID CENTERLINE OF SYCAMORE STREET SOUTH 00° 14' 46” WEST, 90 FEET AND SOUTH 00° 04' 48” EAST, 213.42 FEET TO THE POINT OF BEGINNING; THENCE LEAVING SAID CENTERLINE NORTH 89° 58' 21” WEST, 312.17 FEET TO THE CENTERLINE OF BROADWAY, THENCE NORTHERLY ALONG SAID CENTERLINE OF BROADWAY NORTH 00° 16' 10” EAST, 75.00 FEET TO THE SOUTHWEST CORNER OF THE LAND DESCRIBED IN A DEED TO T. J. MULLINIX RECORDED OCTOBER 29, 1897 IN BOOK 33, PAGE 197 OF DEEDS OF SAID ORANGE COUNTY; THENCE EASTERLY ALONG SAID SOUTHERLY LINE OF SAID DEED TO T. J. MULLINIX SOUTH 89° 58' 10” EAST, 181.72 FEET TO THE WESTERLY LINE OF THE EAST 130.00 FEET OF THAT PORTION OF THE LAND

ALLOTTED TO JACOB ROSS, AS DESCRIBED IN THE FINAL DECREE OF PARTITION

OF THE RANCHO SANTIAGO DE SANTA ANA, WHICH WAS ENTERED SEPTEMBER 12, 1869 IN BOOK “B”, PAGE 410 OF JUDGMENTS OF THE DISTRICT COURT OF THE 17TH JUDICIAL DISTRICT IN AND FOR LOS ANGELES COUNTY, CALIFORNIA; THENCE NORTHERLY, ALONG SAID WESTERLY LINE NORTH 00° 04' 48” WEST,

77.08 FEET; THENCE SOUTH 89°58'10” EAST, 130.00 FEET TO THE ABOVE MENTIONED CENTERLINE OF SYCAMORE STREET; THENCE SOUTHERLY ALONG SAID CENTERLINE OF SYCAMORE STREET, SOUTH 00°04'48” EAST, 152.06 FEET TO THE POINT OF BEGINNING.

SAID LAND IS SHOWN AS LOT 1 ON VOLUNTARY LOT MERGER NO. 2022-06 RECORDED JANUARY 26, 2023 AS INSTRUMENT NO. 2023000018589, OFFICIAL RECORDS OF SAID COUNTY.

Assessor’s Parcel Number: 398-523-04
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Subordination Agreement (City of Santa Ana) Form 6456
Fannie Mae 08-13 © 2013 Fannie Mae
WISEPlace
4893-9038-0110v.4 4900000-002383
NOTE: NO CREDIT APPROVAL HAS BEEN RECEIVED. THIS IS NOT A COMMITMENT.

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT

State of California )
) ss
County of _______________________ )

On ________________________, 2023 before me, ____________________________________, a Notary Public, personally appeared __________________________________________, who proved to me on the basis of satisfactory evidence to be the person (s) whose name (s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her their authorized capacity (ies), and that by his/her/their sign ature (s) on the instrument the person (s), or the entity upon behalf of which the person (s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature

(Seal)
A notary public or other officer completing
this certificate verifies only the identity of
the individual who signed the document to
which this certificate is attached, and not
the truthfulness, accuracy, or validity of
that document.

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CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT

State of California )
) ss
County of ____________________ )

On ________________________, 2023 before me, ____________________________________, a Notary P ublic, personally appeared __________________________________________, who proved to me on the basis of satisfactory evidence to be the person (s) whose name (s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed th e same in his/her their authorized capacity (ies), and that by his/her/their signature (s) on the instrument the person (s), or the entity upon behalf of which the person (s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature

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CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT

State of California )
) ss
County of ____________________ )

On ________________________, 2023 before me, ____________________________________, a Notary Public, personally appeared __________________________________________, who proved to me on the basis of satisfactory evidence to be the person (s) whose name (s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her their authorized capacity (ies), and that by his/her/their signature (s) on the instrument the person (s), or the entity upon behalf of which the person (s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature

(Seal)

A notary public or other officer completing
this certificate verifies only the identity of
the individual who signed the document to
which this certificate is attached, and not
the truthfulness, accuracy, or validity of
that document.

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CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT

State of California )
) ss
County of ____________________ )

On ________________________, 2023 before me, ____________________________________, a Notary Public, personally appeared __________________________________________, who proved to me on the basis of satisfactory evidence to be the person (s) whose name (s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her their authorized capacity (ies), and that by his/her/their signature (s) on the instru ment the person (s), or the entity upon behalf of which the person (s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature

(Seal)

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1 FREE RECORDING REQUESTED PURSUANT
TO GOVERNMENT CODE SECTION 27383
When Recorded Mail to:

City of Santa Ana
Clerk of the Council
20 Civic Center Plaza (M-30)
P.O. Box 1988
Santa Ana, California 92702
Attention: Clerk of the Council
_________________________________________________________________

SUBORDINATION AGREEMENT

CITY OF SANTA ANA AND COUNTY OF ORANGE
This Subordination Agreement (this " Subordination Agreement") is dated for reference purposes as of ____________, and is executed by and betwee n the CITY OF SANTA ANA, a California charter city (the “City”), and the COUNTY OF ORANGE, a political subdivision of the State of California (the "County").

Factual Background
A. City has agreed to make a permanent loan to North Broadway Housing Partners L.P ., a California limited partnership (the "Borrower"), in the original principal amount of up to Five Million Two Hundred Fifty Six Thousand Three Hundred Twenty Seven Dollars ($5,256,327) (the “City Loan”) to assist in financing the construction of an affo rdable multifamily residential development (the “ Project”) on property located at 1411 N.

Broadway in Santa Ana, and more particularly described in Exhibit A attached hereto and incorporated herein (the “Property”).

B. The City Loan is evidenced by a City HOM E-ARP Loan Agreement dated as of ________________, and executed by and between Borrower and the City (the “ City Loan Agreement”) and a City HOME-ARP Promissory Note executed by the Borrower in favor of the County dated as of ______________ (the “City Note”). The City Loan is secured by a City HOME-ARP Deed of Trust________, dated as of _________, that will be recorded in the official records of Orange County (“Official Records”) substantially concurrently herewith (the “ City Deed of Trust ”). The City Loan Agreement, the City Note, and the City Deed of Trust are collectively referred to herein as the “ City Loan Documents.” In connection with the City Loan, Borrower and City will execute that certain Affordability Restrictions on the Transfer of Property , w hich will be recorded substantially concurrently herewith (the “City Regulatory Agreement”).

C. Pursuant to a County of Orange ARPA Loan Agreement dated as of _____________, between County and Borrower (“ County Loan Agreement ”), County has made or is EXHIBIT 5

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2 making a loan to Borrower in the maximum principal amount of One Million Five Hundred Thousand Dollars ($ 1,500,000) (“County Loan”). The County is secured by a County of ARPA Deed of Trust dated as of _______________ (“County Deed of Trust”) encumbering all or a portion of the Mortgaged Property. In connection with the County Loan, Borrower and County have entered into that certain Amended and Restated Rent Limitation and Regulatory Agreement by and between Borrower and City to be recorded with the Recording Office on or about the date hereof (the “County Regulatory Agreement”).

AGREEMENT

1. Subordination.

1.1 The City Deed of Trust, and any and all renewals, modifications permitted hereunder, extensions, or protective advances (including those costs to cure Borr ower’s default) thereunder (including interest thereon), is and will remain at all times, a lien, claim, or charge on the Property prior and superior to the County Deed of Trust. County acknowledges that it has had an opportunity to review the City Loan Documents, and County intentionally subordinates the lien of the County Deed of Trust to the City Deed of Trust.

1.2 The City Regulatory Agreement , and any and all renewals, modifications permitted hereunder, extensions, or protective advances (including thos e costs to cure Borrower’s default) thereunder (including interest thereon), is and will remain at all times, a lien, claim, or charge on the Property prior and superior to the County Regulatory Agreement .

County acknowledges that it has had an opportunit y to review the City Regulatory Agreement, and County intentionally subordinates the County Regulatory Agreement to the City Regulatory Agreement.

2. Amendments Require Consent. County agrees that it will not amend or modify the County Loan Documents to shor ten the maturity date, increase the principal amount, accelerate the repayment schedule (excluding any acceleration of the County Note due to Borrower’s default) or increase the interest rate payable under the County Loan Documents without City’s prior written consent. City agrees that it will not amend or modify the City Loan Documents to shorten the maturity date, increase the principal amount, accelerate the repayment schedule (excluding any acceleration of the County Note due to Borrower’s default) or increase the interest rate payable under the City Loan Documents without County’s prior written consent.

3. Notice and Cure Rights.

3.1 Definitions: For purposes of this Section 3, the following capitalized words and terms shall have the following meanings.
"Cure Period" means a period of a ninety (90) consecutive days from the giving of a Default Notice.
"Defaulted Lender" means the party giving a Default Notice.

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3 "Default Notice" means written notice of the default(s) or Event(s) of Default giving rise to a party's right to complete a Foreclosure Remedy.
"Foreclosure Remedy" means the completion of a foreclosure sale of the Property or the recording of a deed-in-lieu of foreclosure with respect to the Property. "Noticed Defaults" means the noticed default(s) or Event(s) of Default set forth in a Default Notice.
"Notice Party" means the party receiving a Default Notice.

3.2 Notice and Cure Rights.
(a) Notice and Cure Rights of City . County agrees that concurrently with County’s provision of any notice of default (includ ing without limitation any Default Notice) to Borrower under the County Loan Documents, County shall provide a copy of such notice to City at the address specified below. County agrees that City shall have the right to cure any default of Borrower within the same period of time provided to Borrower under the County Loan Documents, extended by a period of ninety (90) days. County further agrees that it shall not complete a Foreclosure Remedy unless and until City has first been given a Default Notice, and City has failed to cure the Noticed Defaults within the Cure Period or such longer period provided pursuant to this Section; provided, however, that County shall be entitled during the Cure Period to continue to pursue all of its rights and remedies under the County Loan Documents, including but not limited to acceleration of the County Note (subject to the de - acceleration provisions set forth below), commencement and pursuit of foreclosure (but not completion of the foreclosure sale), any guaranty (subject to any notice and cure provisions contained therein), and/or any other County Loan Document. It is the express intent of the parties hereunder that County shall have the right to pursue all rights and remedies except completion of a Foreclosure Remedy wi thout liability to City for failure to provide notice to City, and that the County's liability hereunder shall be expressly limited to actual damages to City directly caused by the County's completion of a Foreclosure Remedy without City receiving the notice and opportunity to cure described above. Except as specifically provided herein, or otherwise agreed in writing, County's failure to give any such notice for any reason shall not act to impair or waive any remedy or right of County under this Subordination Agreement or any of the Loan Documents.
(b) Notice and Cure Rights of County. City agrees that concurrently with City’s provision of any notice of default (including without limitation any Default Notice) to Borrower under the City Loan Documents, City shall provide a copy of such notice to County at the address specified below. City agrees that County shall have the right to cure any default of Borrower within the same period of time provided to Borrower under the City Loan Documents, extended by a pe riod of ninety (90) days. City agrees that it shall not complete a Foreclosure Remedy unless and until County has first been given a Default Notice, and County has failed to cure the Noticed Defaults with the Cure Period; provided, however, that City shal l be entitled during the Cure Period to continue to pursue all of its rights and remedies under City Loan Documents including but not limited to acceleration of the City Note (subject to the de-acceleration provisions set forth below), commencement and pur suit of foreclosure (but not EXHIBIT 5

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4 completion of the foreclosure sale), any guaranty (subject to any notice and cure provisions contained therein), and/or any other City Loan Document. It is the express intent of the parties hereunder that City shall have the r ight to pursue all rights and remedies except completion of a Foreclosure Remedy without liability to County for failure to provide notice to County, and that the City's liability hereunder shall be expressly limited to actual damages to County directly caused by the City's completion of a Foreclosure Remedy without County receiving the notice and opportunity to cure described above. Except as specifically provided herein, or otherwise agreed in writing, City's failure to give any such notice for any reaso n shall not act to impair or waive any remedy or right of City under this Subordination Agreement or any of the City Loan Documents.

3.3 Exercise of Cure Rights . With respect to the exercise of the cure rights provided in Section 3.2 above, the following shall apply:
(a) Each Notice Party, whether County or City, shall have the right, but not the obligation, to elect to cure the Noticed Defaults by giving the Defaulted Lender written notice of its intention to cure the Noticed Defaults within the Cure Period and t hereafter curing all Noticed Defaults within the Cure Period.
(b) If a cure of all the Noticed Defaults is completed within the Cure Period, the Defaulted Lender will rescind any notice of default recorded and request dismissal of any receiver who has been app ointed, after reimbursement of all of Defaulted Lender's costs, including, without limitation, reasonable attorneys' fees and costs. (c) Following the timely cure of all Noticed Defaults by a Notice Party, the Defaulted Lender will not exercise its right to ac celerate (or will de -accelerate) the amounts due under the Defaulted Lender's loan documents by reason of the Noticed Defaults cured by such Notice Party; provided, however, that nothing herein shall be construed to waive or limit any of Defaulted Lender's rights or remedies as to any uncured Noticed Default, or any subsequent default, by Borrower.
(d) Nothing in this Section is intended to limit or modify any covenant, term, or condition contained in the County Loan Documents or the City Loan Documents, including, without limitation, any covenant against creating or recording any liens or encumbrances against the Property without County's or City's prior written approval, and any acceleration clause in the County Deed of Trust and/or the City Deed of Trust.

4. Integration; No Waiver . This Subordination Agreement is the whole and only agreement with regard to the subordination of the liens, claims, and charges of the City Deed of Trust to the County Deed of Trust. This Subordination Agreement may not be modified o r amended except by a written agreement signed by the party against whom enforcement is sought.

No waiver shall be deemed to be made by any party of any of its rights hereunder unless the same shall be in writing signed by such party, and each such waiver , if any, shall be a waiver only with respect to the specific matter or matters to which the waiver relates and shall in no way impair the rights of such party or the obligations of Borrower to City or County in any other respect at any other time.

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5 5. Successors and Assigns. This Subordination Agreement is binding on and inures to the benefit of the legal representatives, successors, and assigns of the parties.

6. Creditor's Rights . City and County each agree not to commence or join with any other creditor of Borrower in commencing any bankruptcy, reorganization, or insolvency proceedings against the Borrower without the prior written consent of the other party.

7. Governing Law . This Subordination Agreement shall be governed by, and construed in accordance with, the laws of the State of California, without regard to the choice of law rules of that State, except to the extent that any of such laws may now or hereafter be preempted by Federal law. The parties hereto consent to the jurisdiction of any Federal o r State court having jurisdiction within the County of Orange, California, submits to venue in such jurisdiction, and also consents to service of process by any means authorized by Federal law or the law of the State of California. Without limiting the generality of the foregoing, the parties hereby waive and agree not to assert by way of motion, defense, or otherwise in such suit, action, or proceeding, any claim that (i) any such party is not subject to the jurisdiction of the courts of the above-referenced jurisdiction or the United States District Court for such jurisdiction, or (ii) such suit, action, or proceeding is brought in an inconvenient forum, or (iii) the venue of such suit, action, or proceeding is improper.

8. Notices. All notices given under this Subordination Agreement shall be in writing and be given by personal delivery, overnight receipted courier (such as Airborne, UPS, or Federal Express) or by registered or certified United States mail, postage prepaid, sent to the party at its address appearing below its signature. Notices shall be effective upon the first to occur of receipt, when proper delivery is refused, or the expiration of forty -eight (48) hours after deposit in registered or certified United States mail as described above. Add resses for notice may be changed by any party by notice to any other party in accordance with this Section.

9. Counterparts. This Subordination Agreement may be executed in counterparts, and all counterparts constitute but one and the same document.

10. Exhibits and Recitals . The above Recitals and the attached exhibits are incorporated into this Agreement.
(Remainder of page intentionally left blank.)

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_____ ____
IN WITNESS WHEREOF, the parties have executed this Subordination Agreement.

ATTEST: CITY OF SANTA ANA
___________________________ _______________________
Norma Orozco Kristine Ridge
Clerk of the Council City Manager
Dated: Dated:

APPROVED AS TO FORM:

SONIA R. CARVALHO, City Attorney
By: ____ _ __________
Special Counsel to the City
Best, Best & Krieger
Dated:

RECOMMENDED FOR APPROVAL:
_______________________________
Michael L. Garcia
Executive Director
Community Development Agency
County Subordination Agreement
6 2/23/23
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7 COUNTY:

COUNTY OF ORANGE, a political subdivision of the state of California

By:____________________________________
Julia Bidwell, OC Community Resources,
Housing and Community Development

APPROVED AS TO FORM

By: ______________________________________
Deputy County Counsel

Address for notices to County:

County of Orange
OC Community Resources/
Housing & Community Development
1501 E. St. Andrew Place, 1st Floor
Santa Ana, CA 92705
Attn: Director

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Exhibit A

EXHIBIT A

LEGAL DESCRIPTION

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All that certain real property situated in the County of Orange, State of California, described as follows:

COMMENCING AT THE CENTERLINE INTERSECTION OF 15TH STREET AND SYCAMORE STREET AS SHOWN ON THE RECORD OF SURVEY NO 85-1067, RECORDED IN BOOK 111, PAGE 38, OF RECORD OF SURVEYS, IN THE OFFICE OF

THE COUNTY RECORDER OF SAID ORANGE COUNTY, SAID CENTERLINE OF

ALLOTTED TO JACOB ROSS, AS DESCRIBED IN THE FINAL DECREE OF PARTITION

SAID LAND IS SHOWN AS LOT 1 ON VOLUNTARY LOT MERGER NO. 2022-06 RECORDED JANUARY 26, 2023 AS INSTRUMENT NO. 2023000018589, OFFICIAL RECORDS OF SAID COUNTY.

Assessor’s Parcel Number: 398-523-04
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1 FREE RECORDING REQUESTED PURSUANT
TO GOVERNMENT CODE SECTION 27383
When Recorded Mail to:

SUBORDINATION AGREEMENT

CITY OF SANTA ANA AND ORANGE COUNTY HOUSING FINANCE TRUST This Subordination Agreement (this " Subordination Agreement") is dated for reference purposes as of ____________, and is exe cuted by and between the CITY OF SANTA ANA, a California charter city (the “ City”), and the ORANGE COUNTY HOUSING FINANCE TRUST, a joint powers authority (the "OCHFT").

Factual Background
A. City has agreed to make a permanent loan to North Broadway Housing P artners L.P., a California limited partnership (the "Borrower"), in the original principal amount of up to Five Million Two Hundred Fifty Six Thousand Three Hundred Twenty Seven Dollars ($5,256,327) (the “ City Loan”) to assist in financing the construction of an affordable multifamily residential development (the “ Project”) on property located at 1411 N.

Broadway in Santa Ana, and more particularly described in Exhibit A attached hereto and incorporated herein (the “Property”).

B. The City Loan is evidenced by a City HOME -ARP Loan Agreement dated as of ________________, and executed by and between Borrower and the City (the “ City Loan Agreement”) and a City HOME-ARP Promissory Note executed by the Borrower in favor of the City dated as of ______________ (the “City Note”). The City Loan is secured by a City HOME-ARP Deed of Trust________, dated as of _________, that will be recorded in the official records of Orange County (“Official Records”) substantially concurrently herewith (the “ City Deed of Trust ”). The City Loan Agreement, the City Note, and the City Deed of Trust are collectively referred to herein as the “ City Loan Documents.” In connection with the City Loan, Borrower and City will execute that certain Affordability Restrictions on the Transfer of Pr operty, which will be recorded substantially concurrently herewith (the “City Regulatory Agreement”).

C. Pursuant to a n Orange County Housing Finance Trust (“OCHFT”) Loan Agreement dated as of _____________, between OCHFT and Borrower (“ OCHFT Loan EXHIBIT 6

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2 Agreement”), OCHFT has made or is making a loan to Borrower in the maximum principal amount of Two Million Four Hundred Eighty Thousand Thirty Dollars ( $ 2,480,030) (“OCHFT Loan”). The OCHFT Loan is secured by a n OCHFT Deed of Trust dated as of _______________ (“ OCHFT Deed of Trust ”) encumbering all or a portion of the Mortgaged Property. In connection with the OCHFT Loan, Borrower and OCHFT have entered into that certain Amended and Restated Rent Limitation and Regulatory Agreement by and between Borrower and City to be recorded with the Recording Office on or about the date hereof (the “OCHFT Regulatory Agreement”).

AGREEMENT

1. Subordination.

1.1 The City Deed of Trust, and any and all renewals, modifications permitted hereunder, extensions, or protective advances (including those costs to cure Borrower’s default) thereunder (including interest thereon), is and will remain at all times, a lien, claim, or charge on the Property prior and superior to the OCHFT Deed of Trust. OCHFT acknowledges that it has had an oppo rtunity to review the City Loan Documents, and OCHFT intentionally subordinates the lien of the OCHFT Deed of Trust to the City Deed of Trust.

1.2 The City Regulatory Agreement , and any and all renewals, modifications permitted hereunder, extensions, or prot ective advances (including those costs to cure Borrower’s default) thereunder (including interest thereon), is and will remain at all times, a lien, claim, or charge on the Property prior and superior to the OCHFT Regulatory Agreement .

OCHFT acknowledges that it has had an opportunity to review the City Regulatory Agreement, and OCHFT intentionally subordinates the OCHFT Regulatory Agreemen t to the City Regulatory Agreement.

2. Amendments Require Consent. OCHFT agrees that it will not amend or modify the OCHFT Loan Documents to shorten the maturity date, increase the principal amount, accelerate the repayment schedule (excluding any acceleration of the OCHFT Note due to Borrower’s default) or increase the interest rate payable under the OCHFT Loan Documents without City’s prior written consent. City agrees that it will not amend or modify the City Loan Documents to shorten the maturity date, increase the principal amount, accelerate the repayment schedule (excluding any acceleration of the OCHFT Note due to Borrower’s default) or increase the interest rate payable under the City Loan Documents without OCHFT’s prior written consent.

3. Notice and Cure Rights.

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3 "Default Notice" means written notice of the default(s) or Event(s) of Defaul t giving rise to a party's right to complete a Foreclosure Remedy.
"Foreclosure Remedy" means the completion of a foreclosure sale of the Property or the recording of a deed-in-lieu of foreclosure with respect to the Property. "Noticed Defaults" means the noticed default(s) or Event(s) of Default set forth in a Default Notice.
"Notice Party" means the party receiving a Default Notice.

3.2 Notice and Cure Rights.
(a) Notice and Cure Rights of City . OCHFT agrees that concurrently with OCHFT’s provision of any notice of default (including without limitation any Default Notice) to Borrower under the OCHFT Loan Documents, OCHFT shall provide a copy of such notice to City at the address specified below. OCHFT agrees that City shall have the right to cure any default of Borrower within the same period of time provided to Borrower under the OCHFT Loan Documents, extended by a period of ninety (90) days. OCHFT further agrees that it shall not complete a Foreclosure Remedy unless and until City has first been given a Defau lt Notice, and City has failed to cure the Noticed Defaults within the Cure Period or such longer period provided pursuant to this Section; provided, however, that OCHFT shall be entitled during the Cure Period to continue to pursue all of its rights and r emedies under the OCHFT Loan Documents, including but not limited to acceleration of the OCHFT Note (subject to the de-acceleration provisions set forth below), commencement and pursuit of foreclosure (but not completion of the foreclosure sale), any guara nty (subject to any notice and cure provisions contained therein), and/or any other OCHFT Loan Document. It is the express intent of the parties hereunder that OCHFT shall have the right to pursue all rights and remedies except completion of a Foreclosure Remedy without liability to City for failure to provide notice to City, and that the OCHFT's liability hereunder shall be expressly limited to actual damages to City directly caused by the OCHFT's completion of a Foreclosure Remedy without City receiving the notice and opportunity to cure described above. Except as specifically provided herein, or otherwise agreed in writing, OCHFT's failure to give any such notice for any reason shall not act to impair or waive any remedy or right of OCHFT under this Sub ordination Agreement or any of the Loan Documents.
(b) Notice and Cure Rights of OCHFT. City agrees that concurrently with City’s provision of any notice of default (including without limitation any Default Notice) to Borrower under the City Loan Documents, City shall provide a copy of such notice to OCHFT at the address specified below. City agrees that OCHFT shall have the right to cure any default of Borrower within the same period of time provided to Borrower under the City Loan Documents, extended by a period of ninety (90) days. City agrees that it shall not complete a Foreclosure Remedy unless and until OCHFT has first been given a Default Notice, and OCHFT has failed to cure the Noticed Defaults with the Cure Period; provided, however, that City sha ll be entitled during the Cure Period to continue to pursue all of its rights and remedies under City Loan Documents including but not limited to acceleration of the City Note (subject to the de-acceleration provisions set forth below), commencement and pu rsuit of foreclosure (but not EXHIBIT 6

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4 completion of the foreclosure sale), any guaranty (subject to any notice and cure provisions contained therein), and/or any other City Loan Document. It is the express intent of the parties hereunder that City shall have the right to pursue all rights and remedies except completion of a Foreclosure Remedy without liability to OCHFT for failure to provide notice to OCHFT, and that the City's liability hereunder shall be expressly limited to actual damages to OCHFT directly caused by the City's completion of a Foreclosure Remedy without OCHFT receiving the notice and opportunity to cure described above. Except as specifically provided herein, or otherwise agreed in writing, City's failure to give any such notice for any reason s hall not act to impair or waive any remedy or right of City under this Subordination Agreement or any of the City Loan Documents.

3.3 Exercise of Cure Rights . With respect to the exercise of the cure rights provided in Section 3.2 above, the following shall apply:
(a) Each Notice Party, whether OCHFT or City, shall have the right, but not the obligation, to elect to cure the Noticed Defaults by giving the Defaulted Lender written notice of its intention to cure the Noticed Defaults within the Cure Period and there after curing all Noticed Defaults within the Cure Period.
(b) If a cure of all the Noticed Defaults is completed within the Cure Period, the Defaulted Lender will rescind any notice of default recorded and request dismissal of any receiver who has been appoint ed, after reimbursement of all of Defaulted Lender's costs, including, without limitation, reasonable attorneys' fees and costs. (c) Following the timely cure of all Noticed Defaults by a Notice Party, the Defaulted Lender will not exercise its right to accele rate (or will de -accelerate) the amounts due under the Defaulted Lender's loan documents by reason of the Noticed Defaults cured by such Notice Party; provided, however, that nothing herein shall be construed to waive or limit any of Defaulted Lender's rig hts or remedies as to any uncured Noticed Default, or any subsequent default, by Borrower.
(d) Nothing in this Section is intended to limit or modify any covenant, term, or condition contained in the OCHFT Loan Documents or the City Loan Documents, including, without limitation, any covenant against creating or recording any liens or encumbrances against the Property without OCHFT's or City's prior written approval, and any acceleration clause in the OCHFT Deed of Trust and/or the City Deed of Trust.

4. Integration; No Waiver . This Subordination Agreement is the whole and only agreement with regard to the subordination of the liens, claims, and charges of the City Deed of Trust to the OCHFT Deed of Trust. This Subordination Agreement may not be modified or amended except by a written agreement signed by the party against whom enforcement is sought.

No waiver shall be deemed to be made by any party of any of its rights hereunder unless the same shall be in writing signed by such party, and each such waiver, if any , shall be a waiver only with respect to the specific matter or matters to which the waiver relates and shall in no way impair the rights of such party or the obligations of Borrower to City or OCHFT in any other respect at any other time.

EXHIBIT 6

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5 5. Successors and Assigns. This Subordination Agreement is binding on and inures to the benefit of the legal representatives, successors, and assigns of the parties.

6. Creditor's Rights. City and OCHFT each agree not to commence or join with any other creditor of Borrowe r in commencing any bankruptcy, reorganization, or insolvency proceedings against the Borrower without the prior written consent of the other party.

7. Governing Law . This Subordination Agreement shall be governed by, and construed in accordance with, the l aws of the State of California, without regard to the choice of law rules of that State, except to the extent that any of such laws may now or hereafter be preempted by Federal law. The parties hereto consent to the jurisdiction of any Federal or State court having jurisdiction within the OCHFT of Orange, California, submits to venue in such jurisdiction, and also consents to service of process by any means authorized by Federal law or the law of the State of California. Without limiting the generality of the foregoing, the parties hereby waive and agree not to assert by way of motion, defense, or otherwise in such suit, action, or proceeding, any claim that (i) any such party is not subject to the jurisdiction of the courts of the above-referenced jurisdiction or the United States District Court for such jurisdiction, or (ii) such suit, action, or proceeding is brought in an inconvenient forum, or (iii) the venue of such suit, action, or proceeding is improper.

8. Notices. All notices given under this Subord ination Agreement shall be in writing and be given by personal delivery, overnight receipted courier (such as Airborne, UPS, or Federal Express) or by registered or certified United States mail, postage prepaid, sent to the party at its address appearing b elow its signature. Notices shall be effective upon the first to occur of receipt, when proper delivery is refused, or the expiration of forty -eight (48) hours after deposit in registered or certified United States mail as described above. Addresses for notice may be changed by any party by notice to any other party in accordance with this Section.

9. Counterparts. This Subordination Agreement may be executed in counterparts, and all counterparts constitute but one and the same document.

10. Exhibits and Recita ls. The above Recitals and the attached exhibits are incorporated into this Agreement.
(Remainder of page intentionally left blank.)

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_
IN WITNESS WHEREOF, the parties have executed this Subordination Agreement.

ATTEST: CITY OF SANTA ANA
___________________________ _______________________
Norma Orozco Kristine Ridge
Clerk of the Council City Manager
Dated: Dated:

APPROVED AS TO FORM:

SONIA R. CARVALHO, City Attorney
By: _____________ __________
Special Counsel to the City
Best, Best & Krieger
Dated:
2/23/23
RECOMMENDED FOR APPROVAL:
_______________________________
Michael L. Garcia
Executive Director
Community Development Agency
OCHF 6
T Subordination Agreement
EXHIBIT 6

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7 ORANGE COUNTY HOUSING FINANCE TRUST,
a political subdivision of the State of California

By: ______________________________________

Date: ______________

APPROVED AS TO FORM AND LEGALITY

By: ______________________________________

Address for notices to OCHFT:

Orange County Housing Finance Trust
Attn: Adam Eliason, Manager
1 League #62335
Irvine, CA 92602
EXHIBIT 6

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Exhibit A

EXHIBIT A

LEGAL DESCRIPTION

EXHIBIT 6

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All that certain real property situated in the County of Orange, State of California, described as follows:

COMMENCING AT THE CENTERLINE INTERSECTION OF 15TH STREET AND SYCAMORE STREET AS SHOWN ON THE RECORD OF SURVEY NO 85-1067, RECORDED IN BOOK 111, PAGE 38, OF RECORD OF SURVEYS, IN THE OFFICE OF

THE COUNTY RECORDER OF SAID ORANGE COUNTY, SAID CENTERLINE OF

ALLOTTED TO JACOB ROSS, AS DESCRIBED IN THE FINAL DECREE OF PARTITION

SAID LAND IS SHOWN AS LOT 1 ON VOLUNTARY LOT MERGER NO. 2022-06 RECORDED JANUARY 26, 2023 AS INSTRUMENT NO. 2023000018589, OFFICIAL RECORDS OF SAID COUNTY.

Assessor’s Parcel Number: 398-523-04
EXHIBIT 6

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Parks, Recreation, and Community Services
www.santa-ana.org/parks
Item # 14
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
March 7, 2023
TOPIC: Resolution and Donation Agreement for Project Backboard Renovation of the Basketball Court at Portola Park
AGENDA TITLE:

Resolution Accepting the In-Kind Donation for the Repair and Resurfacing of the Basketball Court at Portola Park

RECOMMENDED ACTION

1. Adopt a resolution accepting the donation for the repair and resurfacing of the basketball court at Portola Park and

2. Authorize the City Manager to execute donation agreement with Project Backboard for the repair and resurfacing of a basketball court, valued at approximately $75,000, with no cost to the City, for the period of March 7, 2023 through April 30, 2023, subject to non-substantive changes approved by the City Manager and City Attorney.

DISCUSSION
Project Backboard’s mission is to renovate public basketball courts and install large scale works of site specific art on the surface in order to strengthen communities, improve park safety, encourage multi-generational play, and inspire people to think more critically and creatively about their environment. This renovation will enhance the Portola basketball court at no cost to the City.

The following terms are incorporated into the donation agreement:
• Clean existing basketball court.
• Patch and level significant areas on the court surface and repair existing cracks. • Apply acrylic sports resurfacer.
• Two coats, minimum, of acrylic sports specific color coating accordance with the requirements of final approved design.
• Source all stencils and other materials needed to install court artwork. • Stripe court(s) with textured acrylic with line paint. • Remove and replace basketball rims.
• Clean and repaint existing basketball backboards as necessary.

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Resolution and Donation Agreement for Project Backboard Renovation of the Basketball Court at Portola Park
March 7, 2023

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3 2
8 3

FISCAL IMPACT
There is no fiscal impact associated with this action.

EXHIBIT(S)

1. Resolution

2. Agreement
Submitted By: Hawk Scott, Executive Director of Parks, Recreation and Community Services
Approved By: Kristine Ridge, City Manager

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Resolution 2023-xxx

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brs 2/21/23

RESOLUTION NO. 2023-xxx

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA

ACCEPTING THE DONATION OF THE REPAIR AND RESURFACING OF

THE BASKETBALL COURT AT PORTOLA PARK

BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS FOLLOWS:

Section 1. The City Council of the City of Santa Ana hereby finds, determines and declares as follows:

A. Portola Park in the City of Santa Ana, located at 1700 E. Santa Clara Avenue, has a basketball court available for public use.

B. Project Backboard, a 501(c)(3) not for profit organization, renovates public basketball courts and installs large scale works of site specific art on the surface.

C. Project Backboard wishes to donate the repair and resurfacing of the basketball court at Portola Park.

D. The total value of the donated equipment and services is valued at approximately $75,000 with no cost to the City.

E. The acceptance of this donation enhances the public basketball court at Portola Park.

Section 2. The City hereby accepts the donation of the repair and resurfacing of the public basketball court at Portola Park, 1700 E. Santa Clara Avenue.

Section 3. If any section, subsection, sentence , clause , phrase or word of this Resolution is for any reason held to be invalid by a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Resolution. The City Council hereby declares that it would have passed and adopted this Resolution, and each and all provisions hereof, irrespective of the fact that one or more provisions may be declared invalid.

Section 4. This Resolution shall take effect immediately upon its adoption by the City Council, and the Clerk of the Council shall attest to and certify the vote adopting this Resolution.

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Resolution 2023-xxx

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ADOPTED this day of March, 2023.

Valerie Amezcua
Mayor

APPROVED AS TO FORM:

Sonia R. Carvalho, City Attorney

By:

Brandon Salvatierra
Deputy City Attorney

AYES: Councilmembers
NOES: Councilmembers
ABSTAIN: Councilmembers
NOT PRESENT: Councilmembers

CERTIFICATE OF ATTESTATION AND ORIGINALITY

I, ______________________, Clerk of the Council, do hereby attest to and certify the attached Resolution No. 20 23-________ to be the original resolution adopted by the City Council of the City of Santa Ana on .

Date:

Clerk of the Council
City of Santa Ana

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DONATION AGREEMENT WITH PROJECT BACKBOARD FOR BASKETBALL

COURT REPAIR AND RESURFACING AT PORTOLA PARK

This Agreement is made and entered into this 7th day of March, 2023 by and between Project Backboard, a California non-profit public benefit corporation (Donor), and the City of Santa Ana, a charter city and Municipal Corporation organized and existing under the Constitution and laws of the State of California (“City”).

RECITALS

A. Donor is a 501(c)(3) organization that renovates public basketball courts and installs large scale works of site specific art on the surface in order to strengthen communities, improve park safety, encourage multi-generational play, and inspire people to think more critically and creatively about their environment.

B. Portola Park in the City of Santa Ana has a basketball court available for public use.

C. Donor wishes to donate the repair and resurfacing of the public basketball court at Portola Park.

D. These repair and resurfacing services will be donated to City and performed by Donor at no cost to City.

NOW THEREFORE, in consideration of the mutual and respective promises, and subject to the terms and conditions hereinafter set forth, the parties agree as follows:

1. SCOPE OF SERVICES

Donor shall furnish, at its own expense, all labor, materials, equipment, supplies and other items and services necessary to repair and resurface the public basketball court at Portola Park, as further described in Exhibit A, attached hereto, by June 30, 2023. City grants Donor the right to enter its property for the purpose of repair and resurfacing of the public basketball court at Portola Park.

2. COMPENSATION
City agrees to accept services to be provided above and Donor agrees to provide services and materials free of charge to the City. This Agreement does not contemplate the payment of monies to Donor on the part of the City.

3. TERM

This Agreement shall commence on the date stated above and terminate on April 30, 2023, unless terminated earlier in accordance with Section 12, below.

4. INDEPENDENT CONTRACTOR

Donor shall, during the entire term of this Agreement, be construed to be an independent contractor and not an employee of the City. This Agreement is not intended nor shall it be construed to

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create an employer-employee relationship, a joint venture relationship, or to allow the City to exercise discretion or control over the professional manner in which Donor performs the services which are the subject matter of this Agreement; however, the services to be provided by Donor shall be provided in a manner consistent with all applicable standards and regulations governing such services. Donor shall pay all salaries and wages, employer's social security taxes, unemployment insurance and similar taxes relating to employees and shall be responsible for all applicable withholding taxes.

5. INSURANCE

Donor shall provide to the City proof of insurance prior to undertaking performance of work under this Agreement. Donor shall maintain and shall require its subcontractors, if any, to obtain and maintain insurance as described below:
a. Minimum Scope and Limit of Insurance

(1) Commercial General Liability (CGL) : Insurance Services Office Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal & advertising injury with limits no less than $1,000,000 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit.

(2) Automobile Liability: ISO Form Number CA 00 01 covering any auto (Code 1), or if Contractor has no owned autos, hired, (Code 8) and non -owned autos (Code 9), with a limit no less than $1,000,000 per accident for bodily injury and property damage.

(3) Workers’ Compensation : as required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit of no less than $1,000,000 per accident for bodily injury or disease.

(4) Broader Coverage : if the Contractor maintains broader coverage and/or higher limits than the minimums shown above, the City requires and shall be entitled to the broader coverage and/or the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.

b. Other Insurance Provisions

(1) Additional Insured Status: The City, its officers, officials, employees, and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of the Contractor including materials, parts, or equipment furnished in connection with such work or operat ions. General liability coverage can be provided in the form of an endorsement to the Contractor’s insurance (at least as broad as ISO Form CG 20

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10 11 85 or if not available, through the addition of both CG 20 10, CG 20 26, CG 20 33, or CG 20 38; and CG 20 37 if a later edition is used).

(2) Primary Coverage: For any claims related to this contract, the Contractor’s insurance coverage shall be primary coverage at least as broad as ISO CG 20 01 04 13 as respects the City, its officers, officials, employees, a nd volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers shall be excess of the Contractor’s insurance and shall not contribute with it.

(3) Notice of Cancellation: Each insurance policy requir ed above shall provide that coverage shall not be canceled, except with notice to the City.

(4) Waiver of Subrogation: Contractor hereby grants to City a waiver of any right to subrogation that any insurer of said Contractor may acquire against the City by virtue of the payment of any loss under such insurance. Contractor agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer.

(5) Self-Insured Retentions: Self-insured retentions must be declared to and approved by the City. The City may require the Contractor to purchase coverage with a lower retention or provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. The policy language shall provide, or be endorsed to provide, that the self -insured retention may be satisfied by either the named insured or City.

(6) Acceptability o f Insurers: Insurance is to be placed with insurers authorized to conduct business in the state with a current A.M. Best’s rating of no less than A:VII, unless otherwise acceptable to the City.

(7) Claims Made Policies: If any of the required policies provid e claims -made coverage:

i. The retroactive date must be shown, and must be before the date of the contract or beginning of contract work.

ii. Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of contract work.

iii. If coverage is canceled or non -renewed, and not replaced with another claims-made policy form with a retroactive date prior to the contract effective date, the Contractor must purchase “extending reporting” coverage for a minimum of five (5) years after completion of work.

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(8) Verification of Coverage: Contractor shall furnish the City with original Certificates of Insurance including all required amendatory endorsements (or copies of the applicable policy language effecting coverage required by this clause) and a copy of the Declarations and Endorsement Page of the CGL policy listing all policy endorsements to City before work begins. However, failure to obtain the required documents prior to the work beginning shall not waive the Contractor’s obligation to provide them.

The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by these specifications, at any time.

(9) Subcontractors: Contractor shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Contractor shall ensure that City is an additional insured on insurance required from subcontractors.

(10) Special Risks or Circumstances: City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

6. INDEMNIFICATION

Donor agrees to and shall defend, indemnify and hold harmless the City, its officers, agents, employees, consultants, special counsel, and representatives from liability: (1) for personal injury, damages, just compensation, restitution, judicial or equitable relief arising out of claims for personal injury, including death, and claims for property damage, which may arise from the direct or indirect operations of Donor or its contractors, subcontractors, agents, employees, or other persons acting on their behalf which relates to the services described in section 1 of this Agreement; and (2) from any claim that personal injury, damages, just compensation, restitution, judicial or equitable relief is due by reason of the terms of or effects arising from this Agreement. This indemnity and hold harmless agreement applies to all claims for damages, just compensation, restitution, judicial or equitable relief suffered, or alleged to have been suffered, by reason of the events referred to in this Section or by reason of the terms of, or effects, arising from this Agreement. Donor further agrees to indemnify, hold harmless, and pay all costs for the defense of the City, including fees and costs for special counsel to be selected by the City, regarding any action by a third party challenging the validity of this Agreement, or asserting that personal injury, damages, just compensation, restitution, judicial or equitable relief due to personal or property rights arises by reason of the terms of, or effects arising from this Agreement. City may make all reasonable decisions with respect to its representation in any legal proceeding. Notwithstanding the foregoing, to the extent Donor’s Services are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent required by Civil Code Section 2782.8, to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of Donor.

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7. CONFIDENTIALITY

If Donor receives from the City information which due to the nature of such information is reasonably understood to be confidential and/or proprietary, Donor agrees that it shall not use or disclose such information except in the performance of this Agreement, and further agrees to exercise the same degree of care it uses to protect its own information of like importance, but in no event less than reasonable care. “Confidential Information” shall be clearly marked “Confidential Information.” Confidential information includes not only written information, but also information transferred orally and reduced to writing, visually, electronically, or by other means. Confidential information disclosed to either party by any subsidiary and/or agent of the other party is covered by this Agreement. The foregoing obligations of non-use and nondisclosure shall not apply to any information that (a) has been disclosed in publicly available sources; (b) is, through no fault of Donor disclosed in a publicly available source; (c) is in rightful possession of Donor without an obligation of confidentiality; (d) is required to be disclosed by operation of law; or (e) is independently developed by Donor without reference to information disclosed by the City.

8. CONFLICT OF INTEREST CLAUSE

Donor covenants that it presently has no interests and shall not have interests, direct or indirect, which would conflict in any manner with performance of services specified under this Agreement.

9. NOTICE

Any notice, tender, demand, delivery, or other communication pursuant to this Agreement shall be in writing and shall be deemed to be properly given if delivered in person or mailed by first class or certified mail, postage prepaid, or sent by facsimile or other telegraphic communication in the manner provided in this Section, to the following persons:

To City: Clerk of the City Council
City of Santa Ana
20 Civic Center Plaza (M-30)
P.O. Box 1988
Santa Ana, CA 92702-1988
Fax: 714-647-6956

Copies to: Parks, Recreation & Community Services Agency City of Santa Ana
20 Civic Center Plaza (M-23)
Santa Ana, California 92702
Fax: 714-571-4221

To Donor: Project Backboard
Attn: Dan Peterson
53 Christamon S.

Irvine, CA 92620

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A party may change its address by giving notice in writing to the other party. Thereafter, any communication shall be addressed and transmitted to the new address. If sent by mail, communication shall be effective or deemed to have been given three (3) days after it has been deposited in the United States mail, duly registered or certified, with postage prepaid, and addressed as set forth above. If sent by facsimile, communication shall be effective or deemed to have been given twenty-four (24) hours after the time set forth on the transmission report issued by the transmitting facsimile machine, addressed as set forth above. For purposes of calculating these time frames, weekends, federal, state, County or City holidays shall be excluded.

10. EXCLUSIVITY AND AMENDMENT

This Agreement represents the complete and exclusive statement between the City and Donor regarding the subject matter herein, and supersedes any and all other agreements, oral or written, between the parties. In the event of a conflict between the terms of this Agreement and any attachments hereto, the terms of this Agreement shall prevail. This Agreement may not be modified except by written instrument signed by the City and by an authorized representative of Donor. The parties agree that any terms or conditions of any purchase order or other instrument that are inconsistent with, or in addition to, the terms and conditions hereof, shall not bind or obligate Donor nor the City. Each party to this Agreement acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made by any party, or anyone acting on behalf of any party, which are not embodied herein.

11. ASSIGNMENT

Inasmuch as this Agreement is intended to secure the specialized services of Donor, Donor may not assign, transfer, delegate, or subcontract any interest herein, except as already specified in this Agreement, without the prior written consent of the City and any such assignment, transfer, delegation or subcontract without the City's prior written consent shall be considered null and void. Nothing in this Agreement shall be construed to limit the City’s ability to have any of the services, which are the subject to this Agreement performed by City personnel or by other contractors retained by City.

12. TERMINATION

This Agreement may be terminated by the City upon seven (7) days written notice of termination.

13. NON-DISCRIMINATION

Donor shall not discriminate because of race, color, creed, religion, sex, marital status, sexual orientation, gender identity, gender expression, gender, medical conditions, genetic information, or military and veteran status, age, national origin, ancestry, or disability, as defined and prohibited by applicable law, in the recruitment, selection, training, utilization, promotion, termination or other employment related activities. Donor affirm that it is an equal opportunity employer and shall comply with all applicable federal, state, and local laws and regulations.

City Council
14 –
10 3/7/2023

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14. JURISDICTION-VENUE

This Agreement has been executed and delivered in the State of California and the validity, interpretation, performance, and enforcement of any of the clauses of this Agreement shall be determined and governed by the laws of the State of California. Both parties further agree that Orange County, California, shall be the venue for any action or proceeding that may be brought or arise out of, in connection with or by reason of this Agreement.

15. PROFESSIONAL LICENSES

Donor shall, throughout the term of this Agreement, maintain all necessary licenses, permits, approvals, waivers, and exemptions necessary for the provision of the services hereunder and required by the laws and regulations of the United States, the State of California, the City of Santa Ana and all other governmental agencies. Donor shall notify the City immediately and in writing of its inability to obtain or maintain such permits, licenses, approvals, waivers, and exemptions. Said inability shall be cause for termination of this Agreement.

16. MISCELLANEOUS PROVISIONS

a. Each undersigned represents and warrants that its signature herein below has the power, authority and right to bind their respective parties to each of the terms of this Agreement, and shall indemnify City fully, including reasonable costs and attorney’s fees, for any injuries or damages to City in the event that such authority or power is not, in fact, held by the signatory or is withdrawn.

b. All Exhibits referenced herein and attached hereto shall be incorporated as if fully set forth in the body of this Agreement.

IN WITNESS WHEREOF, the parties hereto have executed this Agreement the date and year first above written.

ATTEST: CITY OF SANTA ANA

_____________________ _________________________
Jennifer L. Hall Kristine Ridge
Clerk of the Council City Manager

[signatures continued on next page]

City Council
14 –
11 3/7/2023

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APPROVED AS TO FORM:

SONIA R. CARVALHO DONOR
City Attorney

By: _____________________ _________________________
Brandon Salvatierra Dan Peterson
Deputy City Attorney Project Backboard

RECOMMENDED FOR APPROVAL:

______________________________
Hawk Scott
Executive Director of Parks, Recreation &
Community Services Agency

City Council
14 –
12 3/7/2023

EXHIBIT A

City Council
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13 3/7/2023

Project Backboard
c/o Dan Peterson
53 Christamon S.

Irvine CA, 92620
[email protected]
(512) 492 2062
Description
This Scope of Work is for the repair and resurfacing of one basketball court at Portola Park, 1700 E Santa Clara Ave, Santa Ana, CA 92705.

Project Backboard to provide the following:
• Clean existing basketball court.
• Patch and level significant “bird bath” areas and repair existing cracks
• Apply acrylic sports resurfacer (Sport Master or similar brand) • Two (2) coats, minimum, of acrylic sports specific color coating (Sport Master or similar brand) in accordance with the requirements of final approved design.
• Source all stencils and other materials needed to install court artwork.
• Stripe court(s) with textured acrylic with line paint. • Remove and replace basketball rims.
• Clean and repaint existing basketball backboards as necessary.

City Council
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14 3/7/2023

Portola Park, 1700 E Santa Clara Ave, Santa Ana, CA 92705 Condition as of 2/11/2013

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SAMPLE ARTWORK

City Council
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Public Works Agency
www.santa-ana.org/public-works
Item # 15
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
March 7, 2023
TOPIC: Grant Application for Water Well Projects

AGENDA TITLE
Adopt a Resolution Authorizing Grant Application Submission for California Department of Water Resources 2022 Urban and Community Drought Relief Grant Program (Non- General Fund)

RECOMMENDED ACTION
Adopt a resolution authorizing the Executive Director of the Public Works Agency to submit a grant application to the California Department of Water Resources 2022 Urban Community Drought Relief Grant Program for the Well 38 Wellhead Treatment Project and West Station Well Project land acquisition in an amount up to $4,000,000.

DISCUSSION
The Public Works Agency’s Water Resources Division oversees and maintains the daily operations of the City’s water distribution system. The water system is comprised of approximately 480 miles of water main, 21 groundwater wells, seven pump stations, ten reservoirs with a storage capacity of 49 million gallons, four pressure regulating vaults (PRVs), and seven connection points with the Metropolitan Water District of Southern California (MWD).

The majority of the City of Santa Ana’s potable water comes from the Orange County Groundwater Basin (OC Basin) and is pumped through 21 existing City wells. Due to a variety of issues, including the presence of per- and polyfluoroalkyl substances (PFAS) found in routine well monitoring, several wells in the City have been taken offline. Given the limited water supplies in the region, and recent recurring drought conditions, removing wells from the City’s potable water distribution system will reduce its reliability.

Rehabilitating existing wells or constructing new wells will reduce the burden on other City water production facilities and the reliance on imported water sources.

The Well 38 Wellhead Treatment Project will construct an ion exchange water treatment facility to remove PFAS chemicals from the water and allow the well to be returned to the City’s distribution system. Well 38 is located in the City’s upper pressure zone, which has become increasingly reliant on imported water due to the presence of PFAS contamination found in the wells primarily serving this area of the City.

City Council
15 –
1 3/7/2023

Adopt Resolution for DWR Drought Relief Grant Applications March 7, 2023

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The West Station Well Project land acquisition site is adjacent to the City’s existing West Station site. The groundwater wells at West Station are amongst the oldest in the system and operated beyond their expected lifespan of 50 years. The Water Resources Division plans to add new groundwater wells adjacent to the aging infrastructure and maintain the same level of service to the community, while also meeting regulations regarding siting of new wells relative to existing wells.

The California Department of Water Resources offers financial assistance in the form of grant funding through its Urban Community Drought Relief Grant Program for these type of projects. The program provides funding for projects that provide water to communities that face the loss or contamination of their water supplies, address immediate impacts on human health and safety, and protect fish and wildlife resources.

If the grant application is successful, the grant funding would offset up to $4,000,000 of the estimated $12,662,000 total project costs. The Resolution authorizes staff to submit the respective application (Exhibit 1).

FISCAL IMPACT
There is no fiscal impact associated with this action. Staff will return to the City Council with a request for approval of further actions and will indicate the fiscal impact of any such awards and associated expenditures at that time.

EXHIBIT(S)

1. Resolution
Submitted By: Nabil Saba, P. E., Executive Director, Public Works Agency Approved By: Kristine Ridge, City Manager

City Council
15 –
2 3/7/2023

brs 2/14/23
Resolution No. 2023-XXX

Page 1 of 2 ends

RESOLUTION NO. 2023-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA

ANA AUTHORIZING THE GRANT APPLICATION, ACCEPTANCE,
AND EXECUTION FOR THE WELL 38 WELLHEAD TREATMENT

PROJECT AND WEST STATION WELL PROJECT
WHEREAS, the City of Santa Ana proposes to implement the Well 38 Wellhead Treatment Project and West Station Well Project; and
WHEREAS, the City has the legal authority and is authorized to enter into a funding agreement with the State of California; and
WHEREAS, the City intends to apply for grant funding from the California Department of Water Resources for the Well 38 Wellhe ad Treatment Project and West Station Well Project.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Santa Ana as follows:

Section 1. Pursuant and subject to all of the terms and provisions of the Budget Act of 2021 (Stats. 2021, ch. 240, section 80) as amended (Stats. 2022, ch. 44, section 25), the Executive Director of Public Works, or designee, i s hereby authorized and directed to prepare and file an application for funding with the Department of Water Resources, and take such other actions necessary or appropriate to obtain grant funding for the above-referenced projects.

Section 2. The Executive Director of Public Works, or designee, is hereby authorized and directed to execute the funding agreement with the Department of Water Resources and any amendments thereto.

Section 3. The Executive Director of Public Works, or designee, is hereby authorized and directed to submit any required documents, invoices, and reports required to obtain grant funding.
.

Section 4. This Resolution shall take effect immediately upon its adoption by the City Council, and the Clerk of the Council shall attest to and certify the vote adopting this Resolution.

ADOPTED this _____ day of ____________, 2023.
________________________________
Valerie Amezcua
Mayor
EXHIBIT 1

City Council
15 –
3 3/7/2023

brs 2/14/23
Resolution No. 2023-XXX

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APPROVED AS TO FORM:

Sonia R. Carvalho, City Attorney

By:

Brandon Salvatierra
Deputy City Attorney

AYES: Councilmembers

NOES: Councilmembers

ABSTAIN: Councilmembers

NOT PRESENT: Councilmembers _

CERTIFICATION 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

City Council
15 –
4 3/7/2023

Planning and Building Agency
www.santa-ana.org/planning-and-building
Item # 16
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
March 7, 2023
TOPIC: Resolution Affirming the Local Enforcement of Regulations Pertaining to the Use and Maintenance of Public Sidewalks and Urging the State Legislature of the State of California to Amend State Law and Allow Local Jurisdictions the Right of Self- Determination to Enact Local Sidewalk Regulations
AGENDA TITLE:

A Resolution of the City Council of the City of Santa Ana Affirming its Dedication and its Priority to Protect the Health, Safety and Welfare of Its Residents, Visitors, and Business Owners in the Enforcement of State Sidewalk Vendor Regulations, the Federal Americans With Disabilities Act of 1990 and Other Disability Access Standards, and All Local Regulations Pertaining to the Use and Maintenance of Public Sidewalks and Other Pedestrian Pathways, and Urging the State Legislature of the State of California to Amend State Law and Allow Local Jurisdictions the Right of Self- Determination to Enact Local Sidewalk Regulations

RECOMMENDED ACTION
Adopt resolution.

DISCUSSION
In response to community concerns and demands for the City to address the proliferation of stationary sidewalk food vendors within the City as result of SB 946 (Lara, Statutes of 2019) and SB 972 (Gonzalez, Statutes of 2022) and the negative impacts they have on the public’s health, safety and welfare, the City Council at its regular meeting on February 7, 2023 directed staff to draft a resolution affirming the following local priorities:

1. Protect the health, safety and welfare of the community and to enforce applicable federal, state, and local sidewalk accessibility, use, and maintenance laws and regulations; and

2. Call upon the State Legislature of the State Of California to amend state law and allow local jurisdictions the right of self-determination to enact local sidewalk regulations.

The resolution is included as Exhibit 1 to this report and affirms the City’s commitment to a diverse and inclusive community that equitably permits and regulates business

City Council
16 –
1 3/7/2023

Resolution Affirming Local Enforcement and Urging the California State Legislature to Amend Sidewalk Regulations
March 7, 2023

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activities in Santa Ana to ensure the health, safety, and welfare of the City’s residents, visitors, and business owners.

ENVIRONMENTAL IMPACT
In accordance with the California Environmental Quality Act (CEQA), the adoption of this Resolution is not considered a “project” as defined in Section 15378 of the CEQA Guideline and therefore is exempt from further review.

FISCAL IMPACT
There is no fiscal impact associated with this action.

EXHIBIT(S)

1. Resolution
Submitted By: Minh Thai, Executive Director, Planning and Building Agency Approved By: Kristine Ridge, City Manager

City Council
16 –
2 3/7/2023

Resolution No. 2023-XXX

Page 1 of 8 ends

RESOLUTION NO. 2023-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA

ANA, COUNTY OF ORANGE, STATE OF CALIFORNIA, AFFIRMING

ITS DEDICATION AND ITS PRIORITY TO PROTECT THE HEALTH,

SAFETY AND WELFARE OF ITS RESIDENTS, VISITORS, AND

BUSINESS OWNERS IN THE ENFORCEMENT OF STATE

SIDEWALK VENDOR REGULATIONS, THE FEDERAL AMERICANS
WITH DISABILITIES ACT OF 1990 AND OTHER DISABILITY ACCESS

STANDARDS, AND ALL LOCAL REGULATIONS PERTAINING TO

THE USE AND MAINTENANCE OF PUBLIC SIDEWALKS AND

OTHER PEDESTRIAN PATHWAYS, AND URGING THE STATE

LEGISLATURE OF THE STATE OF CALIFORNIA TO AMEND STATE

LAW AND ALLOW LOCAL JURISDICTIONS THE RIGHT OF SELF-

DETERMINATION TO ENACT LOCAL SIDEWALK REGULATIONS
WHEREAS, the City Council of SANTA ANA, CALIFORNIA is committed to supporting an inclusive, thriving, vibrant, and healthy community, regardless of race, ethnicity, age, gender, religion, sexual orientation, gender identity, gender expression, disability, economic status and other diverse backgrounds; and WHEREAS, the government of SANTA ANA, CALIFORNIA is a chartered city as defined under California Government Code Section 51036(d); and WHEREAS, the City of SANTA ANA, CALIFORNIA has experienced an exponential increase in the number of unpermitted stationary sidewalk food vendors within its jurisdiction since Senate Bill 946 was enacted; and WHEREAS, the global Coronavirus disease 2019 (COVID-19) pandemic caused by the severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2) resulted in fundamental shifts in the ways in which consumers purchase household groceries and food through deliveries, pickup, mobile vending, food delivery, and to-go ordering; and WHEREAS, in response to this fundamental shift, the State and local jurisdictions enacted temporary and permanent regulatory changes surrounding the food industry, enabling, among others, sidewalk vending; and
WHEREAS, Senate Bill (SB) 946 was signed into law on September 17, 2018, and became effective January 1, 2019; and
WHEREAS, SB 946 severely limits the authority of cities and counties to regulate sidewalk vendors, except in accordance with Government Code Sections 51038 and 51039; and
WHEREAS, SB 972 was signed into law September 23, 2022, and became effective January 1, 2023; and

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Resolution No. 2023-XXX

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WHEREAS, SB 972 built upon the policy framework included in SB 946 and further restricted local jurisdictions’ abilities to implement key food vendor regulations, including basic food safety and accessibility requirements; and
WHEREAS, SB 946 and SB 972 (the “Bills”) provide for regulations by the State Department of Public Health of retail food facilities, including sidewalk vending, and require local health agencies to enforce these provisions; and WHEREAS, following the passage of SB 946, Santa Ana City Code Enforcement Officers and Orange County Health Officials have encountered a rise in negligent stationary sidewalk food vending operations, including the sale of food deemed unfit for human consumption, the presence of unventilated smoke and open flame and other devices emitting flame, fire or potential heat to sensitive groups, the obstruction of adequate sidewalk space for accessibility and safety purposes, and the spillage of food and grease impacting the surface texture of the sidewalk; and WHEREAS, cooking and heating of food through the use of outdoor fires and open flame heating equipment on public sidewalks without proper venting, fire control systems, and proper food heating and handling equipment constitute a danger to the public’s health, safety, and welfare; and
WHEREAS, the consequences of these Bills have allowed, all too often, largescale stationary food vendors to take over entire sidewalk spaces, thus prohibiting reasonable access for individuals with disabilities, or pushing individuals into the roads with dangerous traffic conditions in order to navigate the lack of available safe sidewalk space; and
WHEREAS, reducing the width and destabilizing the surface texture of public sidewalks designed strictly to comply with the Americans with Disabilities Act (ADA) constitutes a danger to the public’s health, safety, and welfare; and WHEREAS, the increased number of stationary sidewalk food vendors has resulted in significant time and resources from City Code Enforcement Officers, County Health Officials, and local law enforcement to deal with the aforementioned issues. The focus on stationary sidewalk food vendors means that these public resources are not available to respond to other needs throughout the City; and WHEREAS, with the provisions of SB 972 recently taking effect, the City has experienced a proliferation in the number of stationary sidewalk food vendors and has been further restricted in its abilities for regulating sidewalk activities; and WHEREAS, with the provisions of SB 972 recently taking effect, the City is further restricted in its ability to ensure that that the food being offered is safe for consumption; and
WHEREAS, with the provisions of SB 972 recently taking effect, the City is further restricted in its ability to ensure that residents and visitors have adequate access to public sidewalks; and

City Council
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4 3/7/2023

Resolution No. 2023-XXX

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WHEREAS, since the passage of the Bills, the City has found it increasingly difficult to mitigate the public health impacts from stationary sidewalk food vendor operations and their threat to the public’s health and safety. Specifically, measures to reduce local health permit regulations for street food vendors, consequently undermine the collective authority of City and County agencies to implement standardized inspections and assign accountability; and
WHEREAS, the Bills have eliminated key food health and safety requirements intended to keep food safe for public consumption, such as water requirements and handwashing stations, and prohibit the regulation of where food vendors can be located; and
WHEREAS, the County Health Care Agency’s Environmental Health Division (EHD) observed that a disproportionately large number of stationary food vendors are corporatized with sophisticated, stationary equipment that encompasses large amounts of sidewalk space, and threatens the livelihoods of local, small-business, brick-and-mortar “mom and pop” vendors that adhere to municipal and state codes; and WHEREAS, the California Health and Safety Code (CH&SC) Section 114381(a) establishes a food facility shall not be open for business without a valid permit; and WHEREAS, stationary sidewalk food vendors continue to operate without first obtaining a valid permit from the local county health authority as provided by section 114381(a) of the California Health and Safety Code; and WHEREAS, the stationary sidewalk food vendors operating within the jurisdiction of SANTA ANA, CALIFORNIA regularly endanger the health, safety, and welfare of Santa Ana residents, visitors, and business owners in that they:
a. Engage in unsanitary practices in violation of the California Health and Safety Code, including but not limited to transporting uncooked meat in an unsanitary manner and handling uncooked meat and raw food products without necessary and proper handwashing stations on-site; and
b. Prepare hot food utilizing open flame without necessary and proper fire mitigation measures in place; and
c. Dismantle their operation temporarily when approached by City Code Enforcement officers, Santa Ana Police officers, County of Orange Health Inspectors, or combination thereof; and
d. Abandon their equipment and flee the scene when approached by City Code Enforcement officers, Santa Ana Police Officers, County of Orange Health Inspectors, or combination thereof. The abandoned equipment obstructs the public-right-of-way and constitutes a nuisance that must be mitigated at the public’s expense; and

City Council
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5 3/7/2023

Resolution No. 2023-XXX

Page 4 of 8 ends

e. Create a nuisance and public health hazard by allowing debris to accumulate in and around their site and deliberately failing to collect and dispose of same upon dismantling their operation; and
f. Create a nuisance and public health hazard by disposing of used grease on adjacent City of Santa Ana-owned and/or privately-owned grass or green areas, sidewalks and adjacent storm drains; and
g. Serve food which is or has been deemed by County of Orange Health Inspectors under CH&SC Section 111030 to be unfit for human consumption leaving consumers with no redress for any ill effects of consuming same; and h. Trespass and set up their operations on private property without permission of the owner or lessee in control of said private property; and WHEREAS, in a six-week period in late 2022, the City’s Code Enforcement Division in partnership with the Orange County Health Care Agency’s Environmental Health Division (EHD) inspected over 100 stationary sidewalk food vending operations that were found to be selling food unfit for human consumption and operating without the proper health permit under CH&SC Section 111030; and
WHEREAS, the City of Santa Ana is a champion of diversity and inclusivity through its policies and programs in the arenas of demographics, housing, and economic activities, with a progressive and community-benefits oriented General Plan and Housing Element, both comprehensively updated and adopted in 2022, that promote and celebrate the diversity of all groups in the community, specifically:
a. The Land Use Element, which promotes a balance of land uses and business activities in the City by promoting new investment in key areas and preservation of existing communities in others; and
b. The Economic Prosperity Element, which seeks new endeavors to diversify the City’s economic base while ensuring all demographic groups in Santa Ana benefit from healthy and balanced economic development; and WHEREAS, the City of Santa Ana routinely promotes and has permitted micro (“ghost”) kitchens in its industrial zones, allowing businesses to utilize shared kitchens to prepare foods in a sanitary setting designed and constructed for such activities, most recently at 2509 South Broadway and 3200 South Susan Street, to supply a surging demand for incubator spaces for food-related manufacturing, production, and mobile food vending; and
WHEREAS, the City of Santa Ana has consistently demonstrated leadership in access to alternative means of acquiring household groceries and food through deliveries, pickup, mobile vending, food delivery, and to-go ordering by enacting legislation that permits and regulates these activities, specifically:

City Council
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6 3/7/2023

Resolution No. 2023-XXX

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a. Ordinance No. NS-1654 (1982), as amended and updated from time to time, allowing and regulating home occupations through the home occupation permit process, with continued compliance with Assembly Bill (AB) 1616, the California Homemade Food Act of 2012, commonly referred to as the “Cottage Food Law”; and
b. Ordinance No. NS-2133 (1991), as amended and updated from time to time, allowing and regulating pushcarts to vend food on sidewalks in a safe and responsible manor, the first of its kind in Orange County; and c. Executive Order 5-2020 and City Council Resolution No. 2022-055, which authorized outdoor dining in accordance with the “City of Santa Ana: Guide for Outdoor Business Operations” and that allowed for mobile food vending in certain city-owned parking lots; and
d. Ordinance No. NS-3033 (2022), allowing and regulating outdoor dining on permanently private property, following the sunset of temporary COVID-19 regulations allowing the same; and
e. Ordinance No. NS-3034 (2022), allowing and regulating mobile food trucks on private property subject to certain standards for time, place, and manner; and
WHEREAS, the progressive nature of these policies and programs have cultivated a dynamic, local entrepreneurial climate and promote economic opportunities in the Santa Ana community; and
WHEREAS, the presence of multiple disadvantaged, at-risk, and vulnerable communities in Santa Ana, as identified by the General Plan Update of 2022, necessitates the City’s obligation to ensure that food products, including freshly-prepared foods, is safely produced and sold in a manner that does not exacerbate community health concerns; and
WHEREAS, the Santa Ana community’s reduced access to healthcare and health services through traditional policy coverage, access to medical clinics, medical professionals, and treatment necessitates the City’s obligation to ensure that food products, including freshly-prepared foods, is safely produced and sold; and

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS FOLLOWS:

Section 1. The Recitals set forth above are true and correct.

Section 2. In accordance with the California Environmental Quality Act (CEQA), the adoption of this Resolution is not considered a “project” as defined in Section 15378 of the CEQA Guidelines and therefore is exempt from further review.

City Council
16 –
7 3/7/2023

Resolution No. 2023-XXX

Page 6 of 8 ends

Section 3. The City of Santa Ana affirms its dedication and its priority to protect the health, safety and welfare of its residents, visitors, and business owners in the enforcement of State sidewalk vendor regulations, the federal Americans with Disabilities Act of 1990 (Public Law 101-336) and other disability access standards, and all local regulations pertaining to the use and maintenance of public sidewalks and other pedestrian pathways.

Section 4. The City of Santa Ana urges the State Legislature of the State of California to introduce and adopt legislation to amend SB 946 and SB 972 to specifically allow local jurisdictions the right of self-determination to enact local regulations that:
a. Protect and preserve the health, safety, and welfare of Santa Ana residents, visitors, and business owners; and
b. Maintain an equitable, diverse, and inclusive business environment in Santa Ana wherein all types of economic activity are subject to equitable regulations that protect the health of employees and consumers; and c. Uphold the goals and policies of the Land Use Element and the Economic Prosperity Element of the Santa Ana General Plan; and
d. Amend Government Code Sections 51036-51039:
i. Section 51037(d) is added to Part 1 of Division 1 of Title 5 of the Government Code, to read: Nothing in this chapter shall be construed to affect the applicability of the federal Americans with Disabilities Act of 1990 (Public Law 101-336) and other disability access standards. ii. Section 51037(e) is added to Part 1 of Division 1 of Title 5 of the Government Code, to read: Nothing in this chapter shall be construed to affect the ability of a local authority, by ordinance or resolution, to adopt requirements to maintain sanitary conditions upon a public sidewalk or other pedestrian path.

Section 5. This Resolution shall take effect immediately upon its adoption by the City Council, and the Clerk of the Council shall attest to and certify the vote adopting this Resolution.

ADOPTED this ____ day of ________, 2023.

_______________________
Valerie Amezcua
Mayor

City Council
16 –
8 3/7/2023

Resolution No. 2023-XXX

Page 7 of 8 ends

APPROVED AS TO FORM:

Sonia R. Carvalho
City Attorney
By:________________________
John M. Funk
Chief Assistant City Attorney
AYES: Councilmembers ___________________________________ NOES: Councilmembers ___________________________________ ABSTAIN: Councilmembers ___________________________________ NOT PRESENT: Councilmembers ___________________________________

City Council
16 –
9 3/7/2023

Resolution No. 2023-XXX

Page 8 of 8 ends

CERTIFICATE OF ATTESTATION AND ORIGINALITY
I, Jennifer L. Hall, 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

City Council
16 –
10 3/7/2023

Public Works Agency
www.santa-ana.org/pw
Item # 17
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
March 7, 2023
TOPIC: Ordinance Amending Article XI of Chapter 33 of the Santa Ana Municipal Code

AGENDA TITLE
Ordinance Amending Article XI Of Chapter 33 Of The Santa Ana Municipal Code (Streets Sidewalks And Public Works) Related To Ceremonial Street Naming

RECOMMENDED ACTION
Approve first reading of an ordinance amending Article XI of Chapter 33 of the Municipal Code relating to ceremonial street naming.

DISCUSSION
On August 2, 2022, the City Council adopted Ordinance No. NS 3024 to recognize outstanding individuals or events that have made a significant impact on the community through the commemorative or honorary naming of streets or intersections.

Subsequently, on January 17, 2023, the City Council expressed an interest to amend the ordinance. The amendment to the ordinance limits the number of City blocks and number of honorary topper signs that can be implememented, to be able to maximize the opportunity to honor Santa Ana individuals or events deserving of recognition. The proposed amendments to the ordinace are as follows:

1. Limit the number of city blocks to a maximum of two contiguous blocks on a single street that can be designated to recognize individuals or events;

2. Limit the number of citywide streets to one street, that can be designated to recognize individuals or events; and

3. Limit the number of sign toppers to two total sign toppers that shall be installed on either end of the section of street designated for the commemorative or honorary street naming.

To continue to allow for the recognition of individuals or events that are of particular importance to the City of Santa Ana or have made significant contributions to improving the quality of life in the City, the proposed amended ordinance (Exhibit 1) amends Article XI of Chapter 33 of the Santa Ana Municipal Code that creates updated specifications when allowing the ceremonial street naming.

City Council
17 –
1 3/7/2023

Adopt Ordinance Amending Chapter 33 of the Santa Ana Municipal Code March 7, 2023

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It is important to note that the limitations of the amended ordinace shall not apply retroactively to any ceremonial streets that have already been designated by the City Council.

FISCAL IMPACT
There is no fiscal impact associated with this action.

EXHIBIT(S)

1. Ordinance Amending Article XI of Chapter 33 of the Santa Ana Municipal Code (Streets, Sidewalks, and Public Works) Relating to Ceremonial Street Naming Submitted By: Nabil Saba, P.E., Executive Director – Public Works Agency Approved By: Kristine Ridge, City Manager

City Council
17 –
2 3/7/2023

Ordinance No. NS-XXX

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ORDINANCE NO. NS-XXX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
SANTA ANA AMENDING ARTICLE XI OF CHAPTER 33 OF

THE SANTA ANA MUNICIPAL CODE (STREETS,

SIDEWALKS AND PUBLIC WORKS) RELATING TO

CEREMONIAL STREET NAMING
WHEREAS, on August 2, 2022, the City Council adopted Ordinance No. NS-3024 amending Chapter 33 of the Santa Ana Municipal Code (Streets, Sidewalks and Public Works) by adding Article XI enabling ceremonial naming of streets to recognize outstanding individuals or events that have made a significant impact on the community; and
WHEREAS, the number of streets in the City are finite; and WHEREAS, a limitation on the manner and number of ceremonial street signs for any one individual or event is needed to maximize the opportunity to honor Santa Ana individuals or events deserving of recognition; and
WHEREAS, this limitation shall not apply retroactively to any ceremonial streets that have already been designated by the City Council.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA ANA DOES HEREBY ORDAIN AS FOLLOWS:

Section 1. The recitals above are each incorporated by reference and adopted as findings by the City Council.

Section 2. Section 33-260 (General provisions) of Article XI of Chapter 33 of the Santa Ana Municipal Code is hereby amended to read as follows:

Sec. 33-260. - General provisions.
(a) Only entire blocks of public streets or intersections may be granted ceremonial street names.
(b) A ceremonial street naming application may only be initiated by:
(1) A resident or owner of a property abutting the street; or (2) Neighborhood or community groups; or
(3) A current City Councilmember.

EXHIBIT 1

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(c) Candidates for c eremonial street names shall be limited to the n ame of an individual, philanthropic organization, significant event or landmark. (d) Ceremonial street names shall be in the form of a “Sign Topper,” which is a sheet metal sign that is placed on top of the standard City street sign identification and shall adhere to the following specifications:
(1) Ceremonial street naming cannot contain a product name or be used for a commercial purpose.
(2) Ceremonial street naming must be a name of an individual, philanthropic organization, landmarks or an event.
(3) A ceremonial street Sign Topper must include the word “Honorary.” (4) No more than one ceremonial Sign Topper per street block. (54) Only one (1) Sign Topper may be placed on any pole. (65) Sign Toppers shall not be attached to traffic signal mast arms. (76) Ceremonial names shall not duplicate any currently existing official street names.
(87) Up to five (5) Sign Toppers may be located at any one intersection, coincident with existing street name signs.
(98) Sign Toppers may not be attached to traffic signal poles. (109) No one (1) candidate may receive City Council approval for a Sign Topper recognition on more than one (1) street or intersection. (10) Each ceremonial street name shall cover a street section comprising a maximum of two (2) contiguous blocks and shall be applied to a single street , where no more than two (2) Sign Toppers shall be installed on existing poles at either end of the designated street section.

Section 3. The City Council finds and determines that this ordinance is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the State CEQA Guidelines because it will not result in a direct or reasonably foreseeable indirect physical change in the environment, as there is no possibility it will have a significant effect on the environment and it is not a "project", as defined in Section 15378 of the CEQA Guidelines.

Section 4. If any section, subsection, sentence, clause, phrase or portion of this ordinance is for any reason held to be invalid or unconstitutional by the decision of any EXHIBIT 1

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court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The City Council of the City of Santa Ana hereby declares that it would have adopted this ordinance and each section, subsection, sentence, clause, phrase or portion thereo f irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions be declared invalid or unconstitutional.

Section 5. This Ordinance shall become effective thirty (30) days after its adoption.

Section 6. The Clerk of the Council shall certify the adoption of this ordinance and shall cause the same to be published as required by law.

ADOPTED this _______ day of ___________, 2023.
_________________________
Valerie Amezcua
Mayor
APPROVED AS TO FORM:

Sonia R. Carvalho, City Attorney
By:_________________________
Brandon Salvatierra
Deputy City Attorney
AYES: Councilmembers ______________________________________ NOES: Councilmembers _______________________________________ ABSTAIN: Councilmembers _______________________________________ NOT PRESENT: Councilmembers _______________________________________ EXHIBIT 1

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CERTIFICATE OF ATTESTATION AND ORIGINALITY
I, Norma Orozco, Acting Clerk of the Council, do hereby attest to and certify the attached Ordinance No. NS -____________ to be the original ordinance adopted by the City Council of the City of Santa Ana on _______________, and that said ordinance was published in accordance with the Charter of the City of Santa Ana.

Date: ________________ ____________________________________ Acting Clerk of the Council
City of Santa Ana
EXHIBIT 1

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Parks, Recreation, and Community Services
www.santa-ana.org/parks
Item # 18
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
March 7, 2023
TOPIC: Senior Citizens Commission
AGENDA TITLE:

Senior Citizens Commission Informational Report
RECOMMENDED ACTION:

Accept informational report and provide direction to staff.

DISCUSSION:

Background
At the January 17, 2023 City Council meeting, Mayor Amezcua added the following councilmember requested item: Discuss and Consider Directing the City Manager to Direct Staff to Prepare an Ordinance Establishing a Senior Citizen Commission. There was consensus among the City Council to proceed with this item.

Accordingly, staff has prepared this report outlining preliminary research of different commission structures, alternatives to a commission, and a draft ordinance establishing a Senior Citizen Commission.

Senior Citizen Commission
Like all other boards and commissions, a Senior Citizen Commission is an advisory body that advises the City Council, particularly relating to matters concerning aging and older adults or senior citizens (the terms “older adults”, “seniors”, and “senior citizens” refer to individuals who are 55 years of age and older, and are used interchangeably in this report). Generally, a Senior Citizen Commission advises the City Council on the following matters:
•To act in an advisory capacity to the City Council relating to service delivery pertaining to older adults.
•To make recommendations to the City Council relating to services provided by the City to older adults.
•To make recommendations to the City Council relating to policies and plans relating to older adults.

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•To facilitate coordination between the City of Santa Ana and external government agencies that provide services to older adults
•To carry out such studies as may be assigned to it by the City Council. •To report to the Mayor and City Council its findings from time to time.

Similar to how all other City boards and commissions are established, a Senior Citizen Commission would include seven members, each nominated by a member of the City Council and appointed by a majority vote of the City Council. With the exception of the citywide commissioner seat nominated by the Mayor who would serve a two-year term, each commissioner would serve a term of four years. The Senior Citizen Commission would meet regularly, establish bylaws concerning their scope of work, and report to the City Council from time to time.

For discussion only, attached is a draft ordinance establishing a Senior Citizen Commission (Exhibit 1).

Staff researched surrounding municipalities with existing or prior Senior Citizen Commissions and found that most Senior Citizen Commissions were disbanded due to time commitment requirements and lack of participation from the community.

Alternatives to Establishing a Senior Citizen Commission Below are alternatives to establishing a stand-alone Senior Citizen Commission.

Add Two Seats to the Parks and Recreation Commission to Represent Older Adults Add two more seats to our current Parks, Recreation, and Community Services Commission to make a Commission of nine members, whereby the two new members are older adults. Under this model, the Mayor and Mayor Pro Tem would each select an additional person to fill the two seats. These two commissioners would provide insight into the Parks, Recreation, and Community Services Agency’s service delivery for older adults.

Direct Staff to Establish a Senior Committee
At the direction of the City Council, staff may establish a Senior Committee — a group of individuals appointed to engage in a short-term study or to advise staff on matters relating to older adults.

Direct Staff to Establish a Senior Task Force
The City Council may direct staff to form a Task Force to accomplish one or more specific objectives. A Task Force would meet as often as necessary, and would operate in a purely functional capacity.

Establish a City Council Standing Subcommittee to Discuss Matters Relating to Older Adults
The City Council may establish a standing subcommittee to discuss matters relating to

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older adults. Standing subcommittees are subject to provisions of the Brown Act.

City Council Ad-Hoc Committee to Discuss Matters Relating to Older Adults As an alternative to a standing subcommittee, the Mayor may establish an ad hoc committee ad hoc committee to discuss matters relating to older adults. The ad hoc committee would generally serve only a limited or single purpose, would not be perpetual, and would dissolve when its specific task is completed.

Recommendation
At this time, staff recommends adding two more seats to the existing Parks, Recreation, and Community Services Commission to make a Commission of nine members to include older adults who would serve on the Commission provide insight into the Parks, Recreation, and Community Services Agency’s service delivery for older adults.

FISCAL IMPACT
There is no fiscal impact associated with this action.

EXHIBIT(S)

1. Draft ordinance for discussion only
Submitted By: Hawk Scott, Executive Director of Parks, Recreation and Community Services
Approved By: Kristine Ridge, City Manager

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DIVISION X. - SENIOR CITIZENS COMMISSION
Sec. X-XXX. – Establishment and purpose.

There is hereby established a Senior Citizens Commission (hereinafter referred to as the “Commission”). The purpose of the commission shall be to advise the City Council on matters relating to service delivery pertaining to older adults.

Sec. X-XXX. – Senior Citizens Commission membership and term.

The Commission shall be composed of seven (7) members who shall be residents of the city. The provisions of section 2-326 of this Code shall govern the appointment, removal, vacancies, and term of members of the commission.

Sec. X-XXX. – Qualifications of commissioners.

Each member of the commission shall be at least 55 years of age.

Sec. X-XXX. - Meetings.

The commission shall meet at dates and times set forth in the bylaws of the commission. The bylaws shall be approved by the City Council.

Sec. X-XXX. – Organization
The Senior Citizens Commission shall elect from its members a chairperson and vice chairperson, each of whom shall serve in such position for the term of one (1) year. No member shall serve in the position of chairperson for more than one (1) term.

Sec. X-XXX. - Responsibilities and duties of commission.

The Senior Citizens Commission shall have the following responsibilities and duties:
a. To act in an advisory capacity to the City Council relating to service delivery pertaining to older adults.
b. To make recommendations to the City Council relating to services provided by the City to older adults.
c. To make recommendations to the City Council relating to policies and plans relating to older adults.
d. To facilitate coordination between the City of Santa Ana and external government agencies that provide services to older adults e. To carry out such studies as may be assigned to it by the City Council. f. To report to the Mayor and City Council its findings from time to time.

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City Council
www.santa-ana.org/city-council
Item # 20
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
March 7, 2023
TOPIC: Amending Subcontractor Disclosure Ordinance
AGENDA TITLE:

Discuss and Consider Directing the City Manager and City Attorney to Direct Staff to Prepare an Ordinance Amending Section 8-6 of the Santa Ana Municipal Code to Increase Transparency and Accountability Regarding Contractor and Subcontractor Disclosures

RECOMMENDED ACTION
Direct staff to prepare Ordinance 23-___ An Ordinance of the City Council of the City of Santa Ana, Amending Section 8-6 of Chapter 8 of Article 1 of the Santa Ana Municipal Code Relating to Disclosure of License and Insurance Requirements of Contractors and Subcontractors for adoption at the first regularly scheduled City Council meeting in April 2023.

DISCUSSION
Construction workers are often exploited by contractors doing business in Santa Ana, often in the form of wage theft, fraudulent business practices, and unsafe working conditions.

The City’s Municipal Code currently requires contractors to disclose information regarding their subcontractors, including insurance and license information. However, such disclosures do not include information on pending and/or prior enforcement actions for any state or federal labor violations. Amending the City’s Code to ensure such disclosures occur—and enforcing existing fines and imposing stop work orders for failure to comply with disclosure requirements—helps to ensure safe working conditions and transparent and fair contracting without slowing down construction or making it harder to build in Santa Ana. Fines collected by the City shall go to offset any administrative and enforcement costs relating to the existing and amended ordinance.

EXHIBIT(S)

1. Draft Ordinance
Submitted By: Councilmember Thai Viet Phan

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EXHIBIT A
ORDINANCE NO. 23-_______

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA ANA, AMENDING SECTION 8-6 OF CHAPTER 8 OF ARTICLE 1 OF THE SANTA ANA MUNICIPAL CODE

RELATING TO DISCLOSURE OF LICENSE AND INSURANCE REQUIREMENTS OF

CONTRACTORS AND SUBCONTRACTORS

WHEREAS, the City Council of the City of Santa Ana has previously adopted changes and improvements to the baseline requirements of the California Building Codes, as reflected in Section 8-6 of the Santa Ana Municipal Code; and
WHEREAS, Section 8-6 of the Santa Ana Municipal Code contains a series of existing requirements, disclosures, and penalties for non-compliance relating to the identification of contractors who will be utilized in connection with work authorized by City-issued permits; and WHEREAS, the disclosure mandated by Section 8-6 can be strengthened and enhanced by (i) expanding the scope of disclosure to include whether each subcontractor or its principals has any pending and/or prior enforcement actions for any state or federal labor violations or paid any penalties to a government agency related to the provisions of the California Labor Code, (ii) clarifying that subcontractor disclosures must be updated prior to the commencement of work on a project, and prior to adding or replacing a subcontractor after work commences, and (iii) allowing the City the right to issue a stop work order if a contractor fails to comply with its disclosure obligations.

NOW, THEREFORE, the City Council of the City of Santa Ana DOES HEREBY ORDAIN as follow:

SECTION 1. The above recitals are true and correct and are incorporated here.

SECTION 2. Section 8-6 of Chapter 8 of Article 1 of the Santa Ana Municipal Codes is hereby amended, with additions shown in double underlining read in its entirety as follows:

Sec. 8-6. - License requirements of contractors and subcontractors.

A) No person shall be issued a permit to perform work requiring a permit under this Code, unless they are:

1. A licensed contractor;

2. An employee, agent or authorized representative of a licensed contractor;

3. A representative of an electronically subscribed service acting on behalf of a licensed contractor; or

4. The property owner performing their own work;

5. An employee of the owner, provided that the owner shows evidence of workers' compensation insurance required by state and city law, and their federal tax identification number.

B) Subsections (C) and (D) of this Section shall apply to permits involving:

1. Twenty (20) or more dwelling units, including single-family dwelling units in a subdivision, in a new residential or mixed-use development.

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EXHIBIT A

2. Twenty-thousand (20,000) square feet of tenant improvements, or 20,000 square feet of additional gross floor area, in new or existing commercial or industrial developments.

C) At the time of permit issuance and prior to the commencement of work, the applicant shall submit a list of all subcontractors and provide verification of each subcontractor's workers' compensation insurance, state contractor license and license category, city business license and federal tax identification number and show verification whether each subcontractor or its principals has any pending and/or prior enforcement actions for any state or federal labor violations or paid any penalties to a government agency related to the provisions of the California Labor Code. No person shall contract or subcontract construction work without a valid contractor's license pursuant to applicable provisions of the state business and professions code.

D) In the event that the applicant cannot provide a list of valid subcontractors upon permit application or later at the time of adding or replacing a subcontractor, the applicant shall provide to the city, within two business days after issuance of each permit but prior to commencement of any work pursuant to said permit, all information required by subsection (C). Failure to provide valid and current subcontractor listings prior to commencing work shall result in:

1. Stop Work Order

2. Revocation of any permit issued by the city; and

3. The permit applicant paying a penalty for default to the city in an amount equal to the original permit fee for each violation in order to defray city costs of enforcement of this section prior to the issuance of any new permit.

Any work performed prior to satisfying the requirements of this section shall be deemed performed without the required permits.

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Santa Ana City Council
March 7, 2023