New Sales Tax & TOT Revenues Transfers Returning
- CIP, Streets, and Economic Development
Trust Fund transfers that have been on
hiatus or reduced will return
18.45 FY 2026 Budget Calendar
- Two rounds of review of departments’ operating budget - Requests for CIP funding undergo prioritization process February 11, 2025
Operating and CIP Project Budget Preparation
Commission Reviews of Budget April – May
Proposed Operating and CIP Budgets Posted to Website
FN/CMO/HR Review of Budget with Councilmembers 1:1
Budget Hearings
May 27
February – May
May 16
Budget Adoption June 10
18.46 RECOMMENDATION
Motion to:
1) Adopt a resolution amending the Fiscal Year (FY) 2025 budget appropriation of expenditures to all funds as listed in Exhibit A, in the amount of $13,022,644 including an increase of $534,284 to the General Fund, and a total increase in all revenues as listed in Exhibit A in the amount of $9,734,188 to all funds, including a net addition of $1,078,642 to the General Fund;
2) Authorize the City Manager to allocate budgetary changes within the applicable funds and departments;
3) Receive an update on the City of Santa Cruz's financial status; and 4) Adopt a resolution amending the City of Santa Cruz Personnel Complement and Classification and Compensation Plan for multiple departments.
CITY COUNCIL PRESENTATION | CITY OF SANTA CRUZ
February 11, 2025
18.47 City Council
AGENDA REPORT
DATE: 02/06/2025
AGENDA OF: 02/11/2025
DEPARTMENT: City Council
SUBJECT: Comprehensive Wildfire Preparedness and Safety Program (CN/FD) LOCATION: Citywide
RECOMMENDATION: Motion to:
1) Direct staff to initiate a Comprehensive Wildfire Preparedness and Safety Program (Program); and
2) Form a City Council Ad Hoc Committee to work with City staff and community stakeholders to develop the Program and support community engagement and education efforts.
BACKGROUND: Over the past decade, California has experienced a significant escalation of wildfire activity, with fires becoming more frequent and destructive. The 2020 CZU Lightning Complex fire, which devastated over 86,000 acres in Santa Cruz and San Mateo counties, destroying 1,490 structures, serves as a stark reminder of the vulnerability of our community.
More recently, the Palisades and Eaton fires in Southern California have further highlighted the increasing intensity and unpredictability of wildfires across the state. These tragedies underscore the importance of collaborative wildfire mitigation and preparedness initiatives to safeguard residents, property, and the environment.
DISCUSSION: Over the last several years, the City has undertaken a comprehensive approach to wildfire planning, integrating City-led strategies, community engagement and regional collaboration. Key efforts include the Local Hazard Mitigation Plan (LHMP) and Climate Action Plan 2030 (CAP), which guide resource allocation for hazard reduction, and the completion of the Santa Cruz County and San Mateo County Community Wildfire Protection Plan (CWPP) to address regional wildfire risks. Locally, the City supports home hardening and disaster preparedness initiatives to encourage residents to create defensible space, use fire-resistant materials, and develop emergency plans. These efforts are complemented by critical public infrastructure hardening and resilience studies along with forest management in our watersheds to protect our water sources and mitigate fire risk.
Evacuation planning in coordination with the community and partner organizations is a critical focus, with designated evacuation zones, and tools like CruzAware providing emergency alert and notification. The City has publicly available evacuation maps on the City website and
19.1 provides guidance to partners who assist vulnerable populations around evacuation education.
The City supports Firewise USA Recognized Communities, including Prospect Heights, Highland, and Moore Creek Firewise Neighborhoods, which lead grassroots wildfire prevention efforts. These initiatives, combined with strategies from the City’s Climate Action Plan 2030 and the Community Wildfire Resilience Plan 2025, reflect a sustained commitment to wildfire resilience, community safety, and wildfire-related vegetation management.
Even with these comprehensive strategies in place, our community can and must do more to prepare ourselves for wildfires. Evacuation planning must be grounded in the realities of lack of compliance, highly dynamic wildfire behavior, and egress bottlenecks due to the City’s topography and adjacency to the Wildland Urban Interface. Furthermore, the City’s evacuation planning must be fully integrated with UCSC to ensure successful egress of the upper-westside’s main arteries. The City must, to the maximum extent possible, prepare its water delivery infrastructure for sustained fire flows, plan for power outages, and make wildfire resilient all critical and life-sustaining public infrastructure. The City’s open spaces must be regularly monitored and maintained to mitigate wildfire risk. Registration for CruzAware must increase to ensure access to critical information is gained by the vast majority of the City during a wildfire emergency. Vulnerable populations, such as seniors and individuals with limited mobility, along with underrepresented neighborhoods of primarily Spanish speakers, need direct outreach and sustained engagement. Homeowners and renters need affordable access to insurance. In short, the City must prepare, we must collaborate with regional stakeholders, and give Santa Cruz residents the tools they need to understand how to plan for a wildfire emergency, what to do in the event of an emergency, and how to create defensible space around their homes.
These additional planning efforts require a comprehensive and collaborative approach. Given the urgency and complexity of the issue, it is recommended the City develop a Wildfire Preparedness and Safety Program by taking the following steps:
- Establish a Wildfire Preparedness Ad Hoc Council Subcommittee to guide City efforts.
- Establish a Wildfire Preparedness Stakeholder Group that includes City Fire, Parks and Recreation, Water, Public Works, Police and Fire Departments, Firewise communities, UCSC, land trusts, and other regional partners. - Develop a public Wildfire Preparedness Report that outlines existing efforts, identifies new priorities, and highlights public engagement, community preparedness, and mitigation opportunities.
- Leverage partner organizations to increase community engagement in emergency preparedness and emergency alerting programs.
- Integrate updated Fire Emergency Management webpages into the new City website (forthcoming) to provide clear, accessible information for all residents. - Deliver to Council and the community an Annual Wildfire Preparedness Report update to track progress and adapt to evolving risks.
It is further recommended that the Wildfire Preparedness and Safety Program meet the following objectives:
- Increase collaboration with UCSC on evacuation, forest management, and fire flow planning.
- Increase community registration of CruzAware.
- Increase engagement with vulnerable communities.
19.2 - Increase collaboration with local schools to encourage families to complete wildfire preparedness plans.
- Increase monitoring and management of the City’s open spaces. - Increase collaboration with the County, Land Trust and other regional partners on wildfire planning.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: This action is exempt from CEQA, as it pertains to the efforts that will not result in new construction or significant environmental impacts under CEQA.
Since the proposed actions are for staff to develop a Program, it is expected that there will be no significant adverse environmental impacts under CEQA.
If future projects associated with this policy involve construction or physical changes to the environment, a more detailed CEQA review may be required. However, the current scope of the Program is focused on measures that are not expected to result in any direct physical impact on the environment.
HEALTH IN ALL POLICIES (HiAP): This item considers the three pillars of Health in All Policies in several ways. Equity is addressed in the policy objective that calls for increasing engagement with vulnerable communities. As noted in the Climate Adaptation Plan adopted in 2018, some neighborhoods in the Wildland Urban Interface also have high social vulnerability due to a variety of factors and may require special attention in the Program's development.
Public health may also be improved indirectly through the development of the Program as successful implementation should reduce the potential for wildfire and associated smoke inhalation impacts. In terms of sustainability, wildfire is a specific climate influenced natural hazard characterized in the draft 2025 - 2030 Local Hazard Mitigation and Climate Adaptation Plan and the policy objectives of the proposed Program align closely with that Plan's goals. In this Plan are eight priority hazard mitigation strategies (of 27 in total) that pertain to wildfire risk reduction to be implemented in the next five years and should/will be considered with the Program's development.
FISCAL IMPACT:
1. The recommendation in this report impacts the General Fund: No
2. This recommendation requires a budget adjustment: No
3. The recommendation creates an on-going expenditure commitment: No FISCAL IMPACT DESCRIPTION: There is no direct fiscal impact to the general fund.
However, there may be impacts based on any programs or efforts recommended by the Ad Hoc Committee, if adopted by City Council.
19.3 Prepared By:
Susie O'Hara Councilmember,
District 5
Submitted By:
Susie O’Hara
Councilmember, District 5
Renee Golder
Councilmember, District 6
Gabriela Trigueiro
Councilmember, District 1
Rob Oatey Fire Chief
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
None.
19.4 Statement on the Importance of a Ranger Program for Fire Prevention Honorable Mayor and City Council Members,
Thank you for raising this extremely important topic today. As a founding member of the Highland Firewise group, I can attest that fire safety has been a focus for our community for years. As the concerns and risks of fire grow, so must our strategies.
One strong solution is effective fuel-source management. Our small organization rallied our neighborhood to pay for a goat herd to stay for a week in the ravine bordering Harvey West park and many of our homes. In conjunction with the MAH, we used the goats to clear a substantial amount of underbrush and overgrowth, making it possible to access areas that would have otherwise been unreachable to clear trash and do much-needed maintenance. We attempted to do the entire canyon bordering the Harvey West park, but hit roadblocks working with the City Parks department for permissions. We would love to see more of this type of abatement utilized by the city and county as well, and build an easier system for partnering with City and County parks for WUI areas that abut residential and private property.
We are also focused on re-establishing the Ranger program, with a focus on fire prevention.
Many of our trails and parks are being used as camping areas for unhoused persons.The presence of encampments in our trails and parks, in conjunction with warming fires and flammable materials, poses a considerable fire hazard. Implementing a Ranger program would proactively mitigate these hazards and enhance communication with local Firewise leaders regarding community-organized trail maintenance, cleanups, and other volunteer initiatives.
Rangers, trained under the guidance of our police and fire departments, would be able to conduct regular patrols of high-risk areas including parks and WUI areas, maintaining a safer environment for use and management, but also to aid in the quick identification of fires and their sources.
We believe the establishment (or re-establishment) and utilization of just these two programs would greatly increase our ability to mitigate wildfire risks. In addition, they are both tangible and very visible programs for our community to get behind. I urge you to support plans that not only encompass these ideas, but also continue collaboration between Firewise communities, City and County departments, and Fire personnel. Any action plan that utilizes forward-thinking and long-term solutions is a critical investment in our future.
Thank you for your time and consideration.
The Highland Firewise Community
Prepared by Angela Stanford, February 2025
19.5 - Rob Oatey, Fire Chief
-Tim Shields, Fire Marshal
-Meredith Albert, OES Manager 19.6
Immediate
Loss of life
Property damage/ destruction
Business interruption/ destruction
Impacts to parks and open spaces
Infrastructure damage
Evacuations
Potential impacts to life, property and the environment Long Term
Home values and insurance costs
Business disruption
Smoke-related illness
Environmental impacts
Land use changes
19.7 Risk Assessment
National Risk Index | FEMA.gov
Home Page - Cal MyHazards
CalFire Risk Assessment Tool
California Geological Survey
19.8 Coordinated City and Community Efforts
Hazard Mitigation Planning
Wildfire Resiliency Program
Emergency operations planning
Evacuation Planning
Coordination in Evacuation & Alert and Warning
Community Outreach and Collaboration
Focus on Personal and Household preparedness
Wildfire Preparedness Report (draft 2/28/2025)
19.9 Task Completion Date Status
Evaluate/Prepare Background Information
& Project Scoping Analysis
September 2024 Completed
Conduct Field Investigations November 2024 Completed
Develop Annotated Outline January 2025 In Progress
Field Tour – Butano State Park February 2025 Upcoming
Develop Administrative Draft WRP May 2025 Not Started
Develop Final WRP June 2025 Not Started
Goal: The WRP aims to create a roadmap for prioritized and strategic treatment strategies across COSC lands to promote ecosystem, infrastructure, and community resiliency to wildfire
19.10 19.11
19.12 19.13
City Council
AGENDA REPORT
DATE: 01/27/2025
AGENDA OF: 02/11/2025
DEPARTMENT: Finance/Economic Development and Housing/Public Works SUBJECT: Parking Lease Revenue Bond Authorization (FN/EDH/PW) LOCATION: District 4
RECOMMENDATION: Introduce for publication an ordinance amending and restating Chapter 16.26 of the Municipal Code to permit the issuance of Parking Revenue Bonds by the City.
BACKGROUND: The Downtown Library Affordable Housing Project (DLAHP) continues to make progress on construction ready documents following the approval of project entitlements by the City Council on March 14th, 2023, and is currently finalizing the process for building permit issuance. Congruently with the design efforts, the project team has been working to secure the necessary funding sources associated with construction costs. To date the team has secured funds totaling over $31.5M from:
Housing and Community Development (HCD) Local Housing Trust Fund (LHTF) Santa Cruz Affordable Housing Trust Fund (AHTF)
Santa Cruz Economic Development Trust Fund
Housing and Urban Development HOME Award
Congressional Grant
Affordable Housing Sustainable Communities Award
Central Coast Community Energy Grant
REAP Grant through the Association of Monterey Bay Area Governments Additionally, the project will be utilizing the $25M Measure S funds available for Library Construction. On April 9, 2024, Council adopted a resolution authorizing staff to secure financing of $20M for the new construction of a parking garage as part of the DLAHP. On December 11th, 2024, the project secured a $55.1 million tax credit award through the California Tax Credit Allocation Committee (CTCAC) and a $55.6 million bond award through the California Debt Allocation Committee (CDLAC). With this CTCAC award the project will be required to start construction by Spring/Summer 2025.
DISCUSSION: The City is a charter city and as such is authorized to make and enforce all ordinances and regulations in respect to municipal affairs. Pursuant to its municipal affairs powers as a charter city, the City Council adopted an ordinance in 2019 adding Chapter 16.26 to
20.1 the Santa Cruz Municipal Code, which establishes procedures for the issuance and sale of revenue bonds to finance improvements to the water and wastewater enterprises of the City.
At this time, the City is proceeding to construct a parking structure in the downtown area as part of the Downtown Library and Affordable Housing Project. In order to provide financing for this project, the City’s financing team has recommended that the City issue Parking Revenue Bonds which are payable from, and secured by, a pledge of the City parking revenues. The purpose of the proposed ordinance is to amend Chapter 16.26 so that it authorizes the issuance of Parking Lease Revenue Bonds, in addition to revenue bonds which are issued to finance water and wastewater projects as are currently provided for in Chapter 16.26.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: On June 26, 2012, the Santa Cruz City Council certified the CEQA Environmental Impact Report for the City’s General Plan 2030 (“General Plan EIR”). On November 14, 2017, the Council certified a supplemental CEQA Environmental Impact Report for amendments to the Downtown Plan (“Downtown Specific Plan EIR”) to address additional environmental impacts specific to downtown development. Following these certifications, on March 16, 2023, the City of Santa Cruz filed a CEQA Notice of Exemption (“NOE”) for the Downtown Library and Affordable Housing Project with both the Clerk of the Board for Santa Cruz County and the Office of Planning and Research. This NOE affirmed that the Project is exempt from further environmental review under CEQA.
HEALTH IN ALL POLICIES (HiAP): HiAP is a collaborative approach to improving the health of all people by incorporating health considerations into decision-making across sectors and policy areas. HiAP is based on 3 pillars: equity, public health, and sustainability. The goal of HiAP is to ensure that all decision-makers are informed about the health, equity, and sustainability impacts of various policy options during the policy development process. The DLAHP supports the pillar of equity by providing a destination public facility, childcare, commercial facility, and affordable residential rental units on a site in the City’s downtown urban core, in an area that is improved with sidewalks and street trees near public transportation, commercial goods and services, and recreational areas.
With its downtown location, the Project encourages a sustainable and healthy lifestyle by allowing residents to walk, cycle, and ride to the job center and commercial uses in the downtown vicinity. By providing 100% affordable rental apartments, this will not only help the City with a more sustainable supply of rental housing but will also help create a more inclusive equitable community.
FISCAL IMPACT:
1. The recommendation in this report impacts the General Fund: No
2. This recommendation requires a budget adjustment: No
3. The recommendation creates an on-going expenditure commitment: No FISCAL IMPACT DESCRIPTION: There is no impact to the General Fund by the approval of the recommended action. The costs of securing, issuing, and repaying the bond will be paid by the Parking Fund.
Prepared By:
Elizabeth Cabell
Submitted By:
Elizabeth Cabell
Approved By:
Matt Huffaker
20.2 Director of Finance
Brian Borguno
Development Manager
Director of Finance City Manager
ATTACHMENTS:
1. ORDINANCE.DOCX
20.3 ORDINANCE NO. 2025-XX
AN ORDINANCE OF THE CITY OF SANTA CRUZ AMENDING CHAPTER 16.26
TO THE SANTA CRUZ MUNICIPAL CODE RELATING TO THE ISSUANCE OF
PARKING REVENUE BONDS
BE IT ORDAINED by the City Council of the City of Santa Cruz as follows:
WHEREAS, the City of Santa Cruz (the “City”) is a charter city organized and existing under the Constitution and laws of the State of California, and as such is authorized by Article XI, Section 5 of the California Constitution to make and enforce all ordinances and regulations in respect to municipal affairs; and
WHEREAS, as an exercise of its municipal affairs powers the City Council has previously adopted its Ordinance enacting Chapter 16.26 to the Santa Cruz Municipal Code for the purpose of establishing the procedures for the issuance and sale of revenue bonds of the City for the purpose of financing improvements to the water and wastewater enterprises of the City; and WHEREAS, the City Council wishes at this time to amend and restate Chapter 16.26 to the Santa Cruz Municipal Code for the purpose of including procedures for the issuance and sale of bonds of the City which are payable from revenues of the City’s parking enterprise, in order to provide financing for parking improvements of the City; NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Santa Cruz as follows:
SECTION 1. Chapter 16.26 of the Santa Cruz Municipal Code is hereby amended and restated to read in its entirety as follows:
CHAPTER 16.26
CITY OF SANTA CRUZ
ENTERPRISE REVENUE BOND LAW
16.26.010. PURPOSE AND INTENT.
The purpose and intent of this chapter is to provide the procedures to be followed by the City with respect to the authorization, issuance and sale of bonds and other obligations for the purpose of financing the water enterprise, wastewater enterprise and parking enterprise of the City. This chapter may be cited as the City of Santa Cruz Enterprise Revenue Bond Law. The City Council hereby finds that the City’s issuance of Bonds to finance Capital Improvement Costs relating to the Water System, the Wastewater System and Parking System is a municipal affair and promotes a necessary and essential public purpose.
20.4 ORDINANCE NO. 2025-XX
2 16.26.020. DEFINITIONS.
A. The following definitions apply in this chapter and shall not be construed to define the same terms found in any other section of this code. As used in this chapter, the following terms shall have the meanings set forth below.
1. “Bonds” means any bonds, notes, loans, interim certificates, debentures, installmentpurchase agreements, leases, or other obligations that are issued or incurred under this chapter and are payable from Revenues described in the Issuing Instrument.
2. “Capital Improvement” means (a) any addition, betterment, replacement, renewal, extension, equipping, or improvement of or to the Water System, the Wastewater System and the Parking System, including the acquisition of land or any interests in land, and (b) any capital costs for the extension, reinforcement, enlargement, or other improvement of a facility or property, or for the acquisition of an interest in a facility or property, that is determined by the City to be necessary or convenient in connection with use of the Water System, the Wastewater System and the Parking System.
3. “Capital Improvement Costs” means all costs and expenses the City pays or incurs in connection with planning, designing, acquiring, constructing, installing, furnishing, equipping, and financing a Capital Improvement; placing a Capital Improvement in operation; disposing of a Capital Improvement; and obtaining governmental approvals, certificates, permits, and licenses for a Capital Improvement. “Capital Improvement Costs” includes the following:
a. Reimbursement to the City for any costs and expenses that are included in this definition, are paid by the City, have not previously been reimbursed to the City, and will not be reimbursed from contributions in aid of construction. b. Costs of preliminary investigation and development, including the cost of performing or acquiring feasibility and planning studies; the cost of securing regulatory approvals; the cost of acquiring land and land rights; fees for engineering and contractor services; the costs of labor, materials, equipment, utility services, and supplies; and legal fees and financing expenses. c. Working capital and working-capital reserves in such amounts as the City determines to be appropriate.
d. Interest accruing in whole or in part on Bonds before and during construction of a Capital Improvement or any portion of a Capital Improvement, and interest accruing for such additional time as the City determines. e. Deposits from the proceeds of Bonds in any funds or accounts when the Issuing Instrument requires such deposits.
20.5 ORDINANCE NO. 2025-XX
3 f. The payment of principal, purchase price, premium, and interest of any indebtedness, the proceeds of which were applied to Capital Improvement Costs.
g. Training and testing costs that are properly allocable to acquiring or constructing a Capital Improvement or placing it in operation. h. All costs of insurance that is in effect when a Capital Improvement is constructed and placed in operation.
i. Amounts due the United States of America as rebate of investment earnings on the proceeds of Bonds or as penalties in lieu of rebate. j. Amounts payable for capital costs of expanding, reinforcing, enlarging, or otherwise improving facilities the City determines to be necessary in connection with the use of a Capital Improvement, and the costs associated with the removal from service of, or reductions in service by, any facilities as a result of the expansion, reinforcement, enlargement or other improvement of such facilities or the construction of a Capital Improvement. k. Costs of issuance of any Bonds, including costs of legal, underwriting, feasibility, engineering, and other consultants; costs of City staff; costs of reserve funds; and costs of bond insurance or other credit or liquidity enhancement for the Bonds.
l. Fees and expenses relating to any lending or credit facility or agreement for a Capital Improvement or any portion of a Capital Improvement. m. Any other cost as the City Council may, in its discretion, define as a Capital Improvement Cost in the Issuing Instrument.
4. “Director of Finance” means the Director of Finance or any designee of the Director of Finance.
5. “Include” and its variants are terms of enlargement rather than of limitation, so that “includes” means “includes but not limited to,” and “including” means “including but not limited to.”
6. “Issuing Instrument” means the resolution of the City Council adopted under this chapter and any indenture, trust agreement, loan agreement, lease, installment-purchase agreement, revolving-credit agreement, credit or liquidity agreement, or other instrument or agreement under which the City issues Bonds for the Water System, the Wastewater System and the Parking System as described in this chapter.
7. “Parking System” means all revenue-producing improvements, facilities or undertakings used for or useful in the providing of public parking lots, garages or other
20.6 ORDINANCE NO. 2025-XX
4 automotive or vehicular parking facilities, including any and all public off-street vehicular parking facilities in the City and all parts thereof and appurtenances thereto and lands, easements, rights in lands, contract rights and franchises appurtenant thereto.
8. “Revenues” means all income, rents, rates, fees, charges, and other moneys that the City derives from the Water System, the Wastewater System or the Parking System and that the City Council may, in its discretion, designate as “Revenues” in the Issuing Instrument. At the discretion of the City Council, the "Revenues" which are pledged to the payment of Bonds may be net of the costs of operating and maintaining the Water System, the Wastewater System or the Parking System.
9. “Water System” means the water treatment, production, storage and distribution system owned or operated by the City, including but not limited to all facilities, properties and improvements at any time owned or operated by the City for the collection, treatment and supply of water within the service area of such system, and any necessary lands, rights, entitlements and other property useful in connection therewith, together with all extensions thereof and improvements thereto hereafter acquired, constructed or installed by the City.
10. “Wastewater System” means the system owned or operated by the City for the collection, treatment, disposal or reuse of wastewater, including sewage treatment plants, intercepting and collecting sewers, outfall sewers, force mains, pumping stations, ejector stations, oxidation ponds, pipes, valves, machinery and all other appurtenances necessary, useful or convenient for the collection, treatment, purification, reclamation or disposal of sewage, and any necessary lands, rights of way and other real or personal property useful in connection therewith.
B. Terms not defined in this section shall be interpreted to give this chapter its most reasonable meaning and application, consistent with applicable state and federal law.
16.26.030. GENERAL POWERS.
The City is authorized and empowered to do the following:
A. Issue Bonds for the purposes of financing Capital Improvement Costs, refunding outstanding Bonds, and paying all costs incurred in connection with Bonds.
B. Establish the terms for financings undertaken in accordance with this chapter.
C. Employ or contract for such legal, financial advisory, underwriting, feasibility, engineering, and other consultant services the City Council determines to be necessary for the issuance and sale of Bonds.
D. Do all things necessary or convenient to carry out the purposes of this chapter.
16.26.040. AUTHORIZATION AND TERMS OF BONDS.
20.7 ORDINANCE NO. 2025-XX
5 The City Council may adopt a resolution authorizing the issuance of Bonds in accordance with this chapter. Every issue of Bonds shall be payable from Revenues of the Water System, the Wastewater System or the Parking System for which Capital Improvement Costs are being financed. The resolution that authorizes the issuance of Bonds and the Issuing Instrument may prescribe any or all of the following for the Bonds:
1. The form of the Bonds, which may be issued as serial bonds, term bonds, or installment bonds, or any combination thereof.
2. The date or dates to be borne by the Bonds.
3. The date or dates of maturity of the Bonds.
4. The interest to be borne by the Bonds, which may be taxable or tax-exempt, fixed or variable, and which may be paid on a current-interest-rate basis, a capital-appreciation basis or any combination thereof.
5. The date or dates that interest on the Bonds will be payable.
6. The denominations, form, and registration privileges of the Bonds.
7. The manner of execution of the Bonds.
8. The place or places the Bonds are payable.
9. The terms of redemption of the Bonds.
10. Any other terms and conditions as the City may deem necessary or advisable.
Notwithstanding the foregoing provisions of this Section, at the discretion of the City Council, any Bonds issued under this chapter may be secured or evidenced by an Issuing Instrument in the form of an indenture or a trust agreement between the City and a corporate trustee or trustees, which may be any trust company or bank having the powers of a trust company. An Issuing Instrument may contain any lawful provisions the City Council determines to be reasonable and proper.
16.26.050. BOND INSURANCE.
The Director of Finance may obtain bond insurance or other credit enhancement or liquidity support for the Bonds and may approve the entering into by the City of any credit agreement, reimbursement agreement, standby bond-purchase agreement, or similar agreement with any person or entity. Such an agreement must contain the terms of the credit, reimbursement, liquidity support, interest rate, and security, and any other terms the Director of Finance deems necessary or appropriate.
16.26.060. PERSONAL LIABILITY.
Neither the members of the City Council; nor the City’s officers, employees, and agents; nor any person executing Bonds will be liable personally on the Bonds or be subject to any personal liability or accountability by reason of the issuance of the Bonds.
20.8 ORDINANCE NO. 2025-XX
6 16.26.070. REFUNDING BONDS.
The City Council may issue Bonds to refund outstanding Bonds. Such a refunding includes payment of the principal, purchase price, interest, and redemption premiums, if any, of the outstanding Bonds. At the discretion of the City Council, based on the Director of Finance’s recommendation, the proceeds of Bonds issued to refund outstanding Bonds may be applied to the retirement of the outstanding Bonds at maturity or to the redemption (on any redemption date) or purchase of the outstanding Bonds before maturity, upon such terms as the City Council determines to be appropriate.
16.26.080. SALE OF THE BONDS.
The Bonds may be sold at either a public or private sale, on either a negotiated or competitive basis, and at a price which is at, above, or below the par value of the Bonds. The manner of sale of the Bonds shall be designated in the resolution of the City Council authorizing the issuance of the Bonds.
16.26.090. LIBERAL CONSTRUCTION.
This chapter, being necessary for the health, welfare, and safety of the City and its residents, is to be liberally construed to carry out its purposes.
16.26.100. COMPLETE, ADDITIONAL, AND ALTERNATIVE METHOD.
This chapter provides a complete, additional, and alternative method for doing the things authorized and is to be regarded as supplemental and additional to the powers conferred by other laws.
16.26.110. VALIDITY OF BONDS.
The validity of any Bonds does not depend on, and is not affected in any way by, any proceedings taken by the City for acquisition, construction, or completion of any properties or projects for which the Bonds are issued or any agreements made in connection with the acquisition, construction, or operation of those properties. The Bonds shall be incontestable and by their issuance and delivery shall conclusively establish the due performance of all conditions precedent to their issue.
16.26.120. AMENDMENT OF CHAPTER.
This chapter may not be amended to have a material, adverse effect upon the rights of the holders of any outstanding Bonds without the written consent of the Bond holders, except as follows: this chapter may be amended at any time if the amendment is needed to cure an ambiguity or to correct or supplement a defective provision; if the City Council finds that the amendment will not materially impair or adversely affect the City’s interests or the interests of any Bond holder; or if the amendment will apply solely to Bonds issued after its effective date.
20.9 ORDINANCE NO. 2025-XX
7 16.26.130. CHAPTER CONTROLLING.
To the extent this chapter is inconsistent with any general statute or special act, this chapter shall be controlling.
16.26.140. SEVERABILITY.
If any section, subsection, sentence, clause, phrase or word of this chapter is for any reason held to be invalid and/or unconstitutional by a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this chapter.” SECTION 2. This Ordinance shall become effective on the 30th day following the date of its passage and adoption.
SECTION 3. This Ordinance shall be published in accordance with the requirements of Section 613 of the City Charter.
PASSED FOR PUBLICATION this 11th day of February 2025, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
20.10 ORDINANCE NO. 2025-XX
8 PASSED FOR FINAL ADOPTION this 25th day of February 2025 by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
This is to certify that the above and
foregoing document is the original
of Ordinance No. 2025-XX and
that it has been published or posted
in accordance with the Charter of
the City of Santa Cruz.
________________________________
Bonnie Bush, City Clerk Administrator
20.11 City Council
AGENDA REPORT
DATE: 02/06/2025
AGENDA OF: 02/11/2025
DEPARTMENT: City Attorney
SUBJECT: Ordinance Amending Chapter 21.07 of the Santa Cruz Municipal Code to Create a Process Guaranteeing a Fair Rate of Return to Landlords of Properties With Expiring Affordability Agreements (CA)
LOCATION: Citywide
RECOMMENDATION: This item is continued to the February 25th Council meeting and will not be discussed on February 11th.
21.1 City Council
AGENDA REPORT
DATE: 02/06/2025
AGENDA OF: 02/11/2025
DEPARTMENT: City Council
SUBJECT: Ordinance Amending Santa Cruz Municipal Code Chapter 9.36 (“Noise”) and Chapter 9.40 (“Sound Amplifying Equipment”) and Adding Objective Standards to Both Chapters (CN)
LOCATION: Citywide
RECOMMENDATION: Motion to:
1) Introduce for publication an ordinance amending Santa Cruz Municipal Code Chapter 9.36 (“Noise”) and Chapter 9.40 (“Sound Amplifying Equipment”) and adding objective standards to both chapters; and
2) Approve the CEQA determination contained in this agenda report and the proposed ordinance.
The Council’s action is not a “project” under CEQA. Even if this ordinance or objective standards were considered to be a “project” the following exemptions apply: “common sense” exemption (no possibility of a significant effect on the environment.”) (Cal. Code Regs., tit. 14, § 15061(b)(3)); Class 7 Categorical Exemption (action intended “to assure the maintenance, restoration, or enhancement of a natural resource” (Cal. Code Regs., tit. 14, § 15307); and Class 8 Categorical Exemption (action intended “to assure the maintenance, restoration, enhancement, or protection of the environment.”) (Cal. Code Regs., tit. 14, § 15308.) BACKGROUND: Unreasonably loud noise in commercial areas is a major issue in the City impacting the public’s health, use, and enjoyment of both public and private spaces.
While the City’s current Municipal Code already regulates unreasonably loud noise, questions have arisen as to what, exactly, constitutes unreasonably loud noise, especially in commercial areas. Without objective standards, both community members and enforcement officers may not have a clear understanding as to the level of amplification that is allowed or prohibited under the City’s municipal code.
The sponsoring Councilmembers desire to establish more objective standards related to unreasonable loud noise, similar to the objective standard contained in California Vehicle Code § 27007, which provides, in relevant part that, “[n]o driver of a vehicle shall operate . . . any sound amplification system which can be heard outside the vehicle from 50 or more feet when the vehicle is being operated”.
22.1 DISCUSSION: The sponsoring councilmembers desire to set objective standards to create a community understanding about unreasonably loud noise and to foster an environment of mutual respect, while at the same time promoting self-expression.
The proposed amendments to Chapters 9.36 and 9.40 establish objective standards as to when certain noises should be presumed to be unreasonably loud, in violation of Santa Cruz Municipal Code sections 9.36.020 and 9.40.010.
More specifically, the proposed amendments provide that “If the noise producing source is on public property in a commercial zone . . . , amplified noise and/or repetitive banging or percussive noises that can be heard 75 or more feet from the noise-producing source are presumptively unreasonably loud or disturbing as prohibited by this section. This presumption, however, shall not apply to permitted amplification or percussion used in special events or performances permitted by the City under a different part of the Municipal Code (e.g., Public Gathering and Expression Events (Chapter 10.65) and Major Public Special Events (Chapter
10.64)).” (Proposed SCMC § 9.36.020(C).)
“[T]he term “commercial zone” means one of the following places: (i) the area within the boundaries of the Downtown Plan Area, as currently adopted or as amended; or (ii) the area along or within 75 feet of any point of Soquel Ave. within the City of Santa Cruz; or (iii) the area along or within 75 feet of any point on Mission St./Highway 1 within the City of Santa Cruz.” (Proposed SCMC § 9.36.020(C)(1).)
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION:
Approval of this ordinance is not a “project” under the California Environmental Quality Act (CEQA) because it does not have the potential to cause physical change in the environment directly or indirectly. (Pub. Resources Code, § 21065.) In the alternative, if this ordinance were considered a “project” under CEQA, the “common sense” exemption applies because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.” (14 Cal Code Regs 15061(b)(3).)
Furthermore, the following exemptions are applicable:
• Class 7 Categorical Exemption because the Council action is intended “to assure the maintenance, restoration, or enhancement of a natural resource.” (Cal. Code Regs., tit. 14, § 15307.)
• Class 8 Categorical Exemption because the Council action is intended “to assure the maintenance, restoration, enhancement, or protection of the environment.” (Cal. Code Regs., tit. 14, § 15308.)
The project does not include construction activities or relaxation of standards allowing environmental degradation as prohibited by these exceptions.
HEALTH IN ALL POLICIES (HiAP): The goal of Health in All Policies (HiAP) is to ensure that decision-makers are informed about the impacts on the three HiAP pillars of health, equity, and sustainability when reviewing projects and policy options. Establishing objective standards related to the City’s Municipal Code on unreasonably loud noise promotes community health, as excessively loud noise is harmful to individual and community health. Establishing objective
22.2 standards related to the City’s Municipal Code on unreasonably loud noise also promotes equity, in that the standards will help to create more uniform and fair application of the City’s Municipal Code, given the objective understanding that will be established related to unreasonably loud noise.
FISCAL IMPACT:
1. The recommendation in this report impacts the General Fund: No
2. This recommendation requires a budget adjustment: No
3. The recommendation creates an on-going expenditure commitment: No FISCAL IMPACT DESCRIPTION: No impact.
Submitted By:
Sonja Brunner
Councilmember, District 2
Submitted By:
Scott Newsome
Councilmember, District 4
ATTACHMENTS:
1. PROPOSED ORDINANCE - TRACK CHANGES.DOCX.DOCX
22.3 ORDINANCE NO. 2025-XX
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ AMENDING SANTA CRUZ MUNICIPAL CODE CHAPTER 9.36 (“NOISE”) AND CHAPTER 9.40 (“SOUND AMPLIFYING EQUIPMENT”) AND ADDING OBJECTIVE STANDARDS TO
BOTH CHAPTERS
WHEREAS, the City Council for the City of Santa Cruz finds that unreasonably loud noise in commercial areas is a major issue in the City impacting the public’s health, use, and enjoyment of both public and private spaces; and
WHEREAS, the City Council desires to set more objective standards related to unreasonable loud noise, similar to the objective standard contained in California Vehicle Code § 27007, which provides, in relevant part that, “[n]o driver of a vehicle shall operate . . . any sound amplification system which can be heard outside the vehicle from 50 or more feet when the vehicle is being operated”; and
WHEREAS, the City Council desires to set objective standards to create a community understanding about unreasonably loud noise and to foster an environment of mutual respect, while at the same time promoting self-expression; and
WHEREAS, these amendments to Chapters 9.36 and 9.40 establish objective standards as to when certain noises should be presumed to be unreasonably loud, in violation of Santa Cruz Municipal Code sections 9.36.020 and 9.40.010.
BE IT ORDAINED by the City Council of the City of Santa Cruz as follows:
SECTION 1. City Council Intent.
The City Council for the City of Santa Cruz finds that unreasonably loud noise in commercial areas is a major issue in the City impacting the public’s health, use, and enjoyment of both public and private spaces.
The City Council desires to set more objective standards related to unreasonable loud noise, similar to the objective standard contained in California Vehicle Code § 27007, which provides, in relevant part that, “[n]o driver of a vehicle shall operate . . . any sound amplification system which can be heard outside the vehicle from 50 or more feet when the vehicle is being operated”.
The City Council desires to set objective standards to create a community understanding about unreasonably loud noise and to foster an environment of mutual respect, while at the same time promoting self-expression.
22.4 ORDINANCE NO. 2025-XX
These amendments to Chapters 9.36 and 9.40 establish objective standards as to when certain noises should be presumed to be unreasonably loud, in violation of Santa Cruz Municipal Code sections 9.36.020 and 9.40.010.
With these amendments, the Council intends for enforcement officers who observe violations of Section 9.36.020 and 9.40.010 to be able to cite for those violations without necessarily requiring a victim’s signature, similar to when enforcement officers witness other violations of law, such as running a stop sign or smoking on Pacific Avenue.
SECTION 2. Santa Cruz Municipal Code section 9.36.020, within Chapter 9.36 “Noise”, is hereby amended to read as follows:
“9.36.020 UNREASONABLY DISTURBING NOISES.
A. No person shall make, suffer or permit to be made any noises or sounds which are unreasonably loud, raucous, jarring or disturbing to people of ordinary sensitiveness.
B. The factors to be considered in determining whether to issue a citation for a violation and whether a violation of this section has occurred shall include, but not be limited to, the following:
1. The volume and intensity of the noise, music, or related sound;
2. The duration, continuousness or repetitive nature of the noise, music, or related sound;
3. Whether the origin of the noise, music, or related sound is natural or unnatural to the area in which it occurs;
4. The volume and intensity of the ambient or background noise or sound, if any;
5. The proximity of the noise, music, or related sound to residential sleeping facilities or to overnight accommodations, such as hotels and motels;
6. The proximity to offices, places of business or other areas where work is known to be carried on, of the noise, music, or related sound;
7. The nature and zoning of the area within which the noise, music, or related sound emanates;
8. The time of day or night the noise, music, or related sound occurs and the relationship of this time to the normal activities of the area in which it occurs and in relation to the other factors listed in this subsection; and
9. Whether the noise, music, or related sound is produced by a commercial or a noncommercial activity.
C. If the noise producing source is on public property in a commercial zone (as defined below), amplified noise and/or repetitive banging or percussive noises that can be heard 75 or more feet from the noise-producing source are presumptively unreasonably loud or disturbing as prohibited by this section. This presumption, however, shall not apply to permitted amplification or percussion used in special events or performances permitted by the City under a different part of the Municipal Code (e.g., Public Gathering and Expression Events (Chapter 10.65) and Major Public Special Events (Chapter 10.64)).
22.5 ORDINANCE NO. 2025-XX
1. Within this section and SCMC § 9.40.010(B)(3), the term “commercial zone” means one of the following places: (i) the area within the boundaries of the Downtown Plan Area, as currently adopted or as amended; or (ii) the area along or within 75 feet of any point of Soquel Ave. within the City of Santa Cruz; or (iii) the area along or within 75 feet of any point on Mission St./Highway 1 within the City of Santa Cruz.” SECTION 3. Santa Cruz Municipal Code section 9.40.010, within Chapter 9.40 “Sound Amplifying Equipment”, is hereby amended to read as follows:
“9.40.010 RESTRICTIONS ON USE OF SOUND AMPLIFYING EQUIPMENT AND SOUND TRUCKS.
A. No person shall use or cause to be used any sound amplifying device or equipment at any place in the city, whether on public property or private property, except in accordance with subsection B.
B. Sound amplifying equipment and sound trucks:
1. Shall only be used to produce music or human speech, or both;
2. Shall not be emitted near hospitals, churches, schools, courthouses or city facilities in a manner that unreasonably disrupts, obstructs, impairs or interferes with the normal use and operation of such facilities for their intended purposes;
3. Shall be operated at a volume of sound that is not be unreasonably loud, raucous, jarring, disturbing or a nuisance to reasonable persons of normal sensitiveness within the range of audibility, considering the factors set forth in Section 9.36.020(B). If the noise producing source is on public property in a commercial zone (as defined by SCMC §
9.36.020(C)(1)), amplified noise that can be heard 75 or more feet from the noiseproducing source is presumptively unreasonably loud or disturbing as prohibited by this subsection. This presumption, however, shall not apply to permitted amplification used in special events or performances permitted by the City under a different part of the Municipal Code (e.g., Public Gathering and Expression Events (Chapter 10.65), Major Public Special Events (Chapter 10.64));
4. Shall be operated in a manner that directs sound, to the extent feasible, toward open unoccupied space and away from residential and business uses; and
5. Shall not be used between the hours of 10:00 p.m. and 8:00 a.m.” SECTION 4. Environmental Review. The Council finds that approval of this ordinance is not a “project” under the California Environmental Quality Act (CEQA). An activity undertaken, supported, or authorized by a public agency is a “project” subject to CEQA only if it “may cause either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.” (Pub. Resources Code, § 21065.) Approval of this ordinance is not a “project” under CEQA because it does not have the potential to cause physical change in the environment directly or indirectly.
In the alternative, if this ordinance is considered a “project” under CEQA, the “common sense” exemption applies because it can be seen with certainty that there is no possibility that the
22.6 ORDINANCE NO. 2025-XX
activity in question may have a significant effect on the environment.” (14 Cal Code Regs 15061(b)(3).)
Furthermore, the following exemptions are applicable:
• Class 7 Categorical Exemption because the Council action is intended “to assure the maintenance, restoration, or enhancement of a natural resource.” (Cal. Code Regs., tit. 14, § 15307.)
• Class 8 Categorical Exemption because the Council action is intended “to assure the maintenance, restoration, enhancement, or protection of the environment.” (Cal. Code Regs., tit. 14, § 15308.)
The project does not include construction activities or relaxation of standards allowing environmental degradation as prohibited by these exceptions.
SECTION 5. This ordinance shall take effect and be in force thirty (30) days after final adoption.
PASSED FOR PUBLICATION this 11th day of February, 2025, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
PASSED FOR FINAL ADOPTION this Xth day of XX, 2025, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
22.7 ORDINANCE NO. 2025-XX
This is to certify that the above and
foregoing document is the original
of Ordinance No. 2024-xx and that
it has been published or posted in
accordance with the Charter of the
City of Santa Cruz.
________________________________
Bonnie Bush, City Clerk Administrator
22.8 Brittany Inclan
From: Sheila Namir <[email protected]>
Sent: Sunday, February 9, 2025 7:59 AM
To: City Council
Subject: Noise ordinance
We hope you will implement a noise ordinance that prohibits noise before 8 am and after 10pm.
The near downtown areas, including Walnut Ave, Cedar and Center streets, is increasingly residential and not just commercial buildings. At Walnut Commons, a three floor and 19 unit building, we continue to have garbage trucks at 6 or 6:30, metal doors and trucks in the Cruzio building’s parking lot(below our windows), trucks beeping as they reverse, and leaf blowers.
Even with double paned windows closed, we are awoken early in the morning and need to run fans to keep air flowing at night.
For those who recognize how essential sleep is to the health of people, the noise level before 8 am makes sleep impossible.
Please help Santa Cruz and all our neighbors at Walnut Commons and other residential areas reduce the noise in the early morning and at night.
Thank you for your concern.
Sheila Namir, Ph.D
Rabbi Malka Drucker
190 Walnut Avenue
Unit 306
831 331-6963
,
22.9 23.1
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