CITY COUNCIL AGENDA
Regular Meeting - October 28, 2025
Council Chambers
809 Center Street
Santa Cruz
10:30 A.M. CLOSED SESSION
2:00 P.M. ANNUAL MEETING OF THE BOARD OF DIRECTORS OF THE INDUSTRIAL
DEVELOPMENT AUTHORITY (IDA)
AROUND 2:05 P.M. ANNUAL MEETING OF THE BOARD OF DIRECTORS OF THE SANTA CRUZ PUBLIC
IMPROVEMENT FINANCING CORPORATION (SCPIFC)
AROUND 2:10 P.M. ORAL COMMUNICATIONS, CONSENT, GENERAL BUSINESS AND PUBLIC HEARINGS Council meetings are hybrid, and may be viewed remotely, using any of the following sources:
Click on Zoom link (no time delay): https://zoom.us/j/94684401344 Online at http://www.cityofsantacruz.com/government/city-council/council-meetings Online at Watch – Community Television of Santa Cruz County Comcast Channel 25
Or: Call any of the numbers below. If one is busy, try the next one. 1-833-548-0276 (Toll Free)
1-833-548-0282 (Toll Free)
1-877-853-5247 (Toll Free)
1-669-900-9128
Enter the meeting ID number: 946 8440 1344
When prompted for a Participant ID, press #.
Press *9 on your phone to “raise your hand” when the Mayor calls for public comment. It will be your turn to speak when the Mayor calls on you. Press *6 to unmute yourself. The timer will then be set.
Correspondence to be included in the agenda packet must be received by 5:00 pm on Monday, October 27, 2025
October 28, 2025 City Council 2
PLEASE NOTE:
Council may take a break(s) as needed.
Requests for extra speaking time on items other than Oral Communications must be made by 5:00 p.m. on Sunday, October 26th by emailing the Mayor and the City Clerk.
Approval will be confirmed via email.
[email protected] [email protected]
The City of Santa Cruz does not discriminate against persons with disabilities. Out of consideration for people with chemical sensitivities we ask that you attend fragrance free. Upon request, the agenda can be provided in a format to accommodate special needs. Additionally, if you wish to attend this public meeting and will require assistance such as an interpreter for American Sign Language, Spanish, or other special equipment, please call the City Clerk’s Department at 420-5030 at least five days in advance so that we can arrange for such special assistance, or email [email protected]. The CalRelay system number: 1-800-735-2922.
Si desea asistir a esta reunión pública y necesita ayuda - como un intérprete de lenguaje de señas americano, español u otro equipo especial - favor de llamar al Departamento de la Secretaría de la Ciudad al 420-5030 al menos cinco días antes para que podamos coordinar dicha asistencia especial o envié un correo electrónico a [email protected]. El número del sistema Cal-Relay es: 1-800-735-2922.
Agenda and Agenda Packet Materials: The City Council agenda and the complete agenda packet containing public records, which are not exempt from disclosure pursuant to the California Public Records Act, are available for review on the City’s website:
www.cityofsantacruz.com/government/city-council-meetings and at the Office of the City Clerk located at 809 Center Street, Room 8, Santa Cruz, California, during normal business hours.
Agenda Materials Submitted after Publication of the Agenda Packet: Pursuant to Government Code §54957.5, public records related to an open session agenda item submitted after distribution of the agenda packet are available at the same time they are distributed or made available to the legislative body on the City’s website at: www.cityofsantacruz.com/government/city-councilmeetings and are also available for public inspection at the Office of the City Clerk, 809 Center Street Room 8, Santa Cruz, California, during normal business hours, and at the Council meeting.
Need more information? Contact the City Clerk’s office at 831-420-5030.
October 28, 2025 City Council 3
Closed Session
10:30 AM
Statements of Disqualification
1. Conference With Legal Counsel – Liability Claims (Government Code §54956.95)
1) Claimant: Elizabeth Martinez
2) Claimant: Damien Joseph Galpren-Gibson
3) Claimant: Peter Bichier
4) Installed Building Products
Claims against the City of Santa Cruz
2. Real Property Negotiations (Government Code §54956.8) 1) Property: 1520 K-2 Pacific
APN: N/A (Public Right of Way)
Owner: City of Santa Cruz
City Negotiator: Bonnie Lipscomb
Negotiating Parties: City of Santa Cruz and Crepe Cones LLC Under Negotiation: Price, terms of payment, or both
2) Property: 1330 and 1344 Pacific Avenue
APN: 005-081-35 and -37
Owner: Palomar Associates
City Negotiator: Bonnie Lipscomb
Negotiating Parties: City of Santa Cruz and Palomar Associates Under Negotiation: Price, terms of payment, or both
3) Property: 57 Municipal Wharf
APN: 007-351-02 and -03
Owner: Genesis Peck dba Made in Santa Cruz
City Negotiator: Bonnie Lipscomb
Negotiating Parties: City of Santa Cruz and Genesis Peck Under Negotiation: Price, terms of payment, or both
October 28, 2025 City Council 4
Closed Session (continued)
3. Conference With Legal Counsel – Anticipated Litigation (Gov’t. Code §54956.9(d)(2))
Significant exposure to litigation (one potential case)
4. Conference with Legal Counsel - Existing Litigation (Government Code §54956.9(d)(1))
Capaldo and Dekock v. City of Santa Cruz
(Santa Cruz County Superior Court Case No. 25CV02938)
5. Conference with Labor Negotiators (Government Code §54957.6) SEIU Temporary Employees
SEIU Service Employees
Mid Managers, OE3
Supervisors, OE3
Fire Management
Fire, IAFF
Police Management
Police Officers Association
Executives
City Negotiator - Sara De Leon
6. Public Employment (Government Code §54957)
City Attorney
October 28, 2025 City Council 5
PLEASE NOTE: City Councilmembers serve as Boardmembers for the City’s Industrial Development Authority (IDA) and Santa Cruz Public Improvement Financing Corporation (SCPIFC). The boards were created for the purpose of providing the City an instrument to issue bonds. Annually, while the bonds are in existence, the Boardmembers are legally required to hold a meeting of the IDA and SCPIFC. The meetings are procedural and for the purpose of approving Minutes and electing new Boardmembers.
2:00 PM
Annual Meeting of the Board of Directors of the Industrial Development Authority (IDA)
Call to Order
Roll Call
General Business
7. Election of Officers
Motion to elect new officers as set forth in Section 3.02 of the Industrial Development Authority bylaws as follows:
Executive Director: City Manager M. Huffaker
Treasurer: Director of Finance E. Cabell
Chair: Mayor Keeley
Vice Chair: Vice Mayor Kalantari-Johnson
Secretary: City Clerk Administrator B. Bush
8. Minutes of the October 8, 2024 Industrial Development Authority (IDA) Motion to approve as submitted.
Adjournment
October 28, 2025 City Council 6
At or around 2:05 PM
Annual Meeting of the Board of Directors of the Santa Cruz Public Improvement Financing Corporation (SCPIFC)
Call to Order
Roll Call
General Business
9. Election of Officers
Motion to elect new officers as set forth in Section 3.02 of the Santa Cruz Public Improvement Financing Corporation bylaws as follows:
Chief Executive Officer: City Manager M. Huffaker
Chief Financial Officer: Director of Finance E. Cabell
President: Mayor Keeley
Vice President: Vice Mayor Kalantari-Johnson
Secretary/Treasurer: City Clerk Administrator B. Bush
10. Minutes of the October 8, 2024 Santa Cruz Public Improvement Finance Corporation (SCPIFC)
Motion to approve as submitted.
Adjournment
October 28, 2025 City Council 7
City Council
At or around 2:10 PM
Call to Order
Roll Call
Oral Communications - Members of the public may address Council on matters not on the agenda, but within the jurisdiction of the Council. 30 minutes is allocated for Oral Communications. No extra time for groups will be granted.
Presentation
11. Save the Waves
Presiding Officer's Announcements
Statements of Disqualification
Additions and Deletions
City Attorney Report on Closed Session
Council Meeting Calendar
12. The City Council will review the meeting calendar attached to the agenda and revise it as necessary.
October 28, 2025 City Council 8
Consent Agenda
13. Minutes of the September 30, 2025 City Council Meeting (CC) LOCATION: None
Motion to approve as submitted.
14. Resolution Setting the Regular Meeting Schedule of the City Council for the 2026 Calendar Year (CC)
LOCATION: Citywide
Motion to adopt a resolution setting the 2026 City Council meeting calendar.
15. Resolution Strengthening Local Worker and Resident Preferences (CN) Location: Citywide
Motion to adopt a resolution strengthening local worker and resident preferences.
16. Ocean Street Beautification Project – Fencing Alternatives and Contracting (EDH)
LOCATION: District 1
Motion to:
1) Direct staff to proceed with development of construction plans for the Ocean Street Beautification Project with additional hardscaping and landscape design elements.
2) Authorize the City Manager to negotiate and execute agreements, amendments, and any related documents, in a form approved by the City Attorney, with Mozeart Designz LLC in an amount not to exceed $260,000 for fabrication of the public art to be included in the Ocean Street Beautification Project.
October 28, 2025 City Council 9
Consent Agenda (continued)
17. Liability Claims Filed Against the City of Santa Cruz (FN) Motion to reject the liability claims of 1) Elizabeth Martinez, and 2) Damien Joseph Galpren-Gibson, to return as late claim of 3) Peter Bichier, and to deny application for leave to present late claim of 4) Installed Building Products, based on staff recommendation.
18. 2025 Executive Employees Compensation and Benefits Plan (HR) LOCATION: Citywide
Motion to adopt a resolution approving the 2025 Compensation and Benefits Plan for Executive Unrepresented Employees.
19. Mid-Management Association of the City of Santa Cruz Tentative Agreement for Successor Memorandum of Understanding (HR) LOCATION: Citywide
Motion to adopt a resolution approving a tentative agreement with the Mid-Management Association of the City of Santa Cruz effective October 28, 2025 through December 8, 2028.
20. Funding and Use Agreement to Renovate the Tennis Courts to Pickleball Courts at the University of California, Santa Cruz’s Westside Research Park at 2300 Delaware Avenue (PR)
Location: District 6
Motion to:
1) Approve and authorize the City Manager to execute a Funding and Use Agreement with the Regents of the University of California, in the form approved by the City Attorney, to allow for the City to renovate and convert the existing tennis courts to pickleball courts at the Westside Research Park owned by the University of California Santa Cruz (UCSC), located at 2300 Delaware Avenue; and to authorize the City Manager to execute contract amendments of a minor and nonsubstantive nature, with an Informational Report to City Council; and 2) Adopt a finding of categorical exemption pursuant to sections 15301 (Existing Facilities) and 15303 (New Construction or Conversion of Small Structures) of the California Environmental Quality Act (CEQA) Guidelines.
October 28, 2025 City Council 10
Consent Agenda (continued)
21. Santa Cruz Wharf Repairs and Recovery - Budget Adjustment (PR) LOCATION: District 4
Motion to adopt a resolution amending the FY 2026 budget to appropriate $493,003 of funds into the 2025 Santa Cruz Wharf End Interim Repair Project (c302612)
22. Amended and Restated License Agreement for Mercy Housing to Use and Improve the Tot-Lot Area at Beach Flats Park (PR)
Location: District 4
Motion to:
1) Approve and authorize the City Manager to execute an Amended and Restated License Agreement, in a form approved by the City Attorney, to allow for Mercy Housing to use and improve the tot-lot playground area at Beach Flats Park; and to authorize the City Manager to execute contract amendments of a minor and non-substantive nature, with an Informational Report to City Council; and
2) Adopt a finding of categorical exemption pursuant to sections 15301 (Existing Facilities), 15302 (Replacement or Reconstruction), and 15303 (New Construction or Conversion of Small Structures) of the California Environmental Quality Act (CEQA) Guidelines.
23. Resource Recovery Facility Enclosed Flare Station Installation Project (c402512) – Authorization to Advertise and Award (PW)
LOCATION: District 6
Motion to:
1) Approve the plans and specifications for the Resource Recovery Facility Enclosed Flare Station Installation Project (c402512), authorize staff to advertise for bids, and award the contract. The City Manager is hereby authorized and directed to execute the contract in a form approved by the City Attorney, and as authorized by Resolution No. NS27,563. The Director of Public Works is authorized to execute change orders within the approved project budget; and
2) Find the project Categorically Exempt under CEQA Guidelines 14 CCR section 15301(d)
October 28, 2025 City Council 11
Consent Agenda (continued)
24. Project WEER (Wastewater Treatment Facility Energy and Electrical Resiliency): Authorization to use Progressive Design Build Project Delivery Method (c401405) (PW)
LOCATION: District 3
Motion to authorize use of the best value project delivery methodprogressive design build, for Project WEER.
25. Consulting Engineering Services for Wastewater Treatment Facility Capital Improvement Projects – Amendment 10 to Agreement (c402611) - Budget Adjustment (PW)
LOCATION: District 3
Motion to:
1) Authorize the City Manager to execute Amendment 10 to the Professional Services Agreement with Brown and Caldwell (San Jose, CA) in the amount of $4,350,000 to provide additional engineering services for Wastewater Treatment Facility Capital Improvement Projects in a form acceptable to the City Attorney. Authorize the Director of Public Works to execute contract amendments within the approved budget; and
2) Adopt a resolution to amend the FY 2026 budget and appropriate funds in the amount of $650,000 for the Interstage Pump 1 Improvement Project (c402611) and appropriate funds in the amount of $305,882 from anticipated revenue for expenses associated with the Interstage Pump 1 Improvement Project.
26. Award of Professional Services Agreement to Errol L. Montgomery & Associates, Inc. for Groundwater Modeling (WT)
LOCATION: County
Motion authorizing the City Manager to execute a contract agreement in a form to be approved by the City Attorney with Errol L. Montgomery & Associates, Inc. (Oakland, CA) for Engineering Services for Groundwater Modeling and to authorize the Water Director to execute future contract amendments within the approved project budget.
October 28, 2025 City Council 12
Consent Agenda (continued)
27. Grant of Easement - County of Santa Cruz – Lompico Emergency Evacuation Route, APN 076-251-24 (WT)
LOCATION: County
Motion to adopt a resolution authorizing the City Manager to execute a Grant of Easement to the County of Santa Cruz covering a portion of City property located on the Newell Creek Watershed along Newell Creek Road in Lompico Canyon, APN 076-251-24.
End Consent Agenda
Consent Public Hearings
28. 2nd Reading and Final Adoption of Ordinance No. 2025-20 Amending Uncodified Ordinance No. 2020-27 Extending Temporary Use of Certain Adjacent Public Streets and Outdoor Areas for Eligible Businesses for Commercial Use on Private Property from July 1, 2026 to July 1, 2029 (EDH)
LOCATION: Citywide
Motion to adopt Ordinance No. 2025-20 amending uncodified Ordinance No. 2020-27 extending temporary use of certain adjacent public streets and outdoor areas for eligible businesses for commercial use on private property from July 1, 2026 to July 1, 2029.
29. Tri-Annual, 2025 Building Standards Code Adoption, Consistent with the State Building Standards Commission and the International Code Council Tri-Chapter Uniform Code Committee Amendments through Introduction of an Ordinance Amending Building Regulations Contained in Title 18 of the Santa Cruz Municipal Code and Adopting the California Code of Regulations Title 24, 2025 Building Standards Code to Establish Minimum Requirements to Safeguard Public Health, Life, Safety and General Welfare. CEQA: Exempt per Guidelines Sections 15061, 15305, and 15308. (PL)
LOCATION: Citywide
Motion to introduce for publication an ordinance acknowledging the CEQA exemptions, amending Title 18 of the Municipal Code, and adopting the 2025 editions of the California Building Standards Code, California Code of Regulations Title 24, Parts 1, 2, 2.5, 3, 4, 5, 6, 8, 10, 11 and 12 including referenced appendices, amendments and modifications.
October 28, 2025 City Council 13
Public Hearings
30. First Reading of an Ordinance to Establish the Midtown Santa Cruz Business Improvement District and Levy Assessments for Calendar Year 2026 (EDH)
LOCATION: Districts 1 and 2
Motion to introduce for publication an ordinance to establish the Midtown Santa Cruz Business Improvement District and Levy Assessments for Calendar Year 2026.
31. Amendments to Chapter 18.15 of the Municipal Code to Adopt Local Amendments to the California Energy Code of the 2025 California Building Code Cycle to Require Energy Conservation Measures for Certain Heating, Ventilation, and Air Conditioner Replacements and Installations in Existing Nonresidential Buildings (PL/CM) LOCATION: Citywide
Motion to:
1) Acknowledge the CEQA determinations that the ordinance is consistent with the Negative Declaration approved for the City of Santa Cruz 2030 Climate Action Plan adopted by City Council on September 13, 2022. The ordinance is also exempt from CEQA under the general rule, CEQA Guidelines Section 15061(b)(3) and per CEQA Guidelines Section 15308, Actions by Regulatory Agencies for Protection of Natural Resources; and
2) Introduce for publication an ordinance amending Municipal Code Chapter 18.15 to adopt local amendments to Title 24, Part 6 of the California Code of Regulations (California Energy Code) creating an energy reach code for existing nonresidential buildings that requires either the installation of a heat pump to State code minimum standards or additional energy measures for new and replacement air conditioning (AC) systems.
October 28, 2025 City Council 14
General Business
32. Year-End Budget Adjustment for Fiscal Year (FY) 2025- Budget Adjustment (FN)
LOCATION: Citywide
Motion to adopt a resolution amending the Fiscal Year (FY) 2025 budget to adjust annual revenue and expenditure budgets in various funds.
33. Resilient Coast Santa Cruz 2.0: Overview of Project and Draft Equitable Engagement Strategy (CM)
LOCATION: Districts 2, 3, 4, and 6
Receive presentation on project overview and planned engagement and provide feedback on the Draft Equitable Engagement Strategy for the Resilient Coast Santa Cruz 2.0 Project.
Adjournment
October 28, 2025 City Council 15
INFORMATION ITEMS PREVIOUSLY DISTRIBUTED TO CITY COUNCILMEMBERS ADDENDUM TO CITY COUNCIL AGENDA – OCTOBER 28, 2025
34. Economic Development and Housing Department: Amendments to the Lease Agreement with Laughing Phoenix, Inc. dba the Great Rabbit, Atlas Services Corporation dba Atlas Geotechnical and Clever Collective - 9/17/25 (EDHFYI 004)
MAYOR'S PROCLAMATIONS
ADDENDUM TO CITY COUNCIL AGENDA – OCTOBER 28, 2025
35. Proclaiming the week of September 29–October 5, 2025 as “Week Without Driving” and encouraging all residents to use public transportation, walk, ride a bike, or use ridesharing options, including carpooling, for their everyday travel needs.
36. Proclaiming the month of October 2025 as “Domestic Violence Awareness Month” and encouraging members of our community to participate in activities during the month of October to raise awareness and work together to prevent violence in our world.
37. Proclaiming October 8–12, 2025 as “Santa Cruz Film Festival 25th Anniversary Days” and encouraging all citizens to join in congratulating the Santa Cruz Film Festival on its 25th Anniversary, recognizing it as a consequential arts organization for Santa Cruz and the Central Coast, and affirming its role in creating access to cinematic arts, supporting diverse voices, and sustaining a vibrant and inclusive cultural ecosystem.
38. Proclaiming October 18, 2025 as “Dr. Lisa Wooninck Day” and encouraging all citizens to join in expressing heartfelt appreciation for her remarkable contributions and in wishing her all the best in her retirement.
October 28, 2025 City Council 16
MAYOR'S PROCLAMATIONS (continued)
39. Proclaiming November 1, 2025 as “Extra Mile Day” and urging each individual in the community to take time on this day to not only “go the extra mile” in his or her own life, but to also acknowledge all those who are inspirational in their efforts and commitment to make their organizations, families, community, country, or world a better place.
Advisory Body Appointments
The following positions are either currently vacant or the terms are due to expire.
Council will make appointments at a future meeting.
Board of Building and Fire Appeals One opening – at-large nomination.
County Latino Affairs Commission One opening - at-large nomination.
Transportation and Public Works
Commission
One opening – appointed by
Councilmember Trigueiro.
Public Hearing
If, in the future, you wish to challenge in court any of the matters on this agenda for which a public hearing is to be conducted, you may be limited to raising only those issues which you (or someone else) raised orally at the public hearing or in written correspondence received by the City at or before the hearing.
Any person seeking to challenge a City Council decision made as a result of a proceeding in which, by law, a hearing is required to be given, evidence is required to be taken, and the discretion in the determination of facts is vested in the City Council, shall be required to commence that action either 60 days or 90 days following the date on which the decision becomes final as provided in Code of Civil Procedure Section 1094.6 Please refer to code of Civil Procedure 1094.6 to determine how to calculate when a decision becomes “final.” The 60-day rule applies to all public hearings conducted pursuant to the City’s Zoning Ordinance, Title 24, Santa Cruz Municipal Code. The 90-day rule applies to all other public hearings.
MINUTES ARE UNOFFICIAL UNTIL APPROVED BY BOARD
City of Santa Cruz
809 Center Street
Santa Cruz, California 95060
MINUTES OF THE ANNUAL MEETING OF THE
BOARD OF DIRECTORS OF THE INDUSTRIAL DEVELOPMENT AUTHORITY October 8, 2024
1:30 PM
Call to Order – at 1:37 p.m.
Roll Call
Present: Directors Newsome, Brown, Watkins, Brunner, Kalantari-Johnson; Chair Keeley.
Absent: Vice Chair Golder.
General Business
2. Election of Officers
MOTION: Director Kalantari-Johnson moved, seconded by Director Brunner, to elect new officers as set forth in Section 3.02 of the Industrial Development Authority bylaws as follows:
Executive Director: City Manager M. Huffaker
Treasurer: Director of Finance E. Cabell
Chair: Mayor Keeley
Vice Chair: Vice Mayor Golder
Secretary: City Clerk Administrator B. Bush
ACTION: The motion carried with the following vote.
AYES: Directors Newsome, Brown, Watkins, Brunner, KalantariJohnson; Chair Keeley.
NOES: None.
ABSENT: Vice Chair Golder.
DISQUALIFIED: None.
8.1 INDUSTRIAL DEVELOPMENT AUTHORITY 2
ANNUAL BOARD OF DIRECTORS MEETING MINUTES
October 8, 2024
General Business (continued)
3. Minutes of the October 10, 2023 Industrial Development Authority (IDA) Chair Keeley opened the public comment period. There were no speakers.
Chair Keeley closed the public comment period.
MOTION: Director Brown moved, seconded by Director Watkins, to approve as submitted.
ACTION: The motion carried with the following vote.
AYES: Directors Newsome, Brown, Watkins, Brunner, KalantariJohnson; Chair Keeley.
NOES: None.
ABSENT: Vice Chair Golder.
DISQUALIFIED: None.
Adjournment - The Industrial Development Authority adjourned at 1:39 p.m.
Respectfully Submitted,
Bonnie Bush, Secretary
8.2 City of Santa Cruz
809 Center Street
Santa Cruz, California 95060
MINUTES OF THE ANNUAL MEETING OF THE BOARD OF DIRECTORS OF
THE SANTA CRUZ PUBLIC IMPROVEMENT FINANCING CORPORATION October 8, 2024
At or around 1:35 PM
Call to Order – at 1:39 p.m.
Roll Call
Present: Directors Newsome, Brown, Watkins, Brunner, Kalantari-Johnson; President Keeley.
Absent: Vice President Golder.
General Business
4. Election of Officers
MOTION: Director Watkins moved, seconded by Director Newsome, to elect new officers as set forth in Section 3.02 of the Santa Cruz Public Improvement Financing Corporation bylaws as follows:
Chief Executive Officer: City Manager M. Huffaker
Chief Financial Officer: Director of Finance E. Cabell
President: Mayor Keeley
Vice President: Vice Mayor Golder
Secretary/Treasurer: City Clerk Administrator B. Bush
ACTION: The motion carried with the following vote.
AYES: Directors Newsome, Brown, Watkins, Brunner, KalantariJohnson; President Keeley.
NOES: None.
ABSENT: Vice President Golder.
DISQUALIFIED: None.
10.1 SANTA CRUZ PUBLIC IMPROVEMENT FINANCING CORPORATION 2
ANNUAL BOARD OF DIRECTORS MEETING MINUTES
October 8, 2024
General Business (continued)
5. Minutes of the October 10, 2023 Santa Cruz Public Improvement Finance Corporation (SCPIFC)
President Keeley opened the public comment period. There were no speakers.
President Keeley closed the public comment period.
MOTION: Director Brown moved, seconded by Director Kalantari-Johnson, to approve as submitted.
ACTION: The motion carried with the following vote.
AYES: Directors Newsome, Brown, Watkins, Brunner, KalantariJohnson; President Keeley.
NOES: None.
ABSENT: Vice President Golder.
DISQUALIFIED: None.
Adjournment - The Santa Cruz Public Improvement Financing Corporation adjourned at 1:42 p.m.
Respectfully Submitted,
Bonnie Bush, Secretary/Treasurer
10.2 11.1
Climate Vulnerability
Of California’s Natural
Surfing Capital
City of Santa Cruz
October 28th, 2025
Shaun Burns
11.2 • Estimated 35 million surfers worldwide pre-covid • Annual international surf tourism expenditure estimated between $31.5 to $64.9 billion USD.*
• Surfing is California’s state sport with over 800 miles of coastline and 300 surf breaks • Surfing in Santa Cruz dates back to 1885 with the first-ever documented surf session in North America
*Leon Mach, Jess Ponting, Establishing a pre-COVID-19 baseline for surf tourism: Trip expenditure and attitudes, behaviors and willingness to pay for sustainability, Economic Impact of Surfing
11.3 The Santa Cruz World Surfing Reserve - Dedicated 2012 Legend
WSRs
Surf breaks
11.4 Project Objectives
➢ Quantify Santa Cruz’s surf economy — revenue from surf tourism and local surf expenditure to identify why surfing is an important economic driver ➢ Assess the vulnerability of Santa Cruz surf spots to sea level rise by calculating annual surfability (the percentage of daylight hours with rideable conditions) and estimate the possible future impacts on the local and regional economy ➢ Better understand socio-cultural and economic barriers to surfing in Santa Cruz ➢ Identify the vulnerabilities and economic value of Santa Cruz surf breaks to guide adaptation strategies and coastal policy emphasizing approaches that protect surf breaks, equitable access, and local communities.
11.5 Santa Cruz Surfing Economy
● There are approximately 783,000 surf visits per
year in Santa Cruz, CA
● Surf trips by visitors generate an estimated
$44.5 million annually in Santa Cruz
● Spending in the broader Santa Cruz surfing
economy on equipment and services contributes
approximately $150.2 million each year
➢ Surfing has a total estimated economic value of
at least $194.7 million per year in Santa Cruz, CA
11.6 Surf Break Vulnerability
● With 1 foot of sea-level rise, only 7 surf breaks
are surfable more than half of daylight hours.
● With 2 feet of Sea Level Rise, 0 surf breaks in
the study area are considered surfable for
more than half of daylight hours.
● With 3 feet of sea level rise only 11 surf
breaks have surfable conditions about a
quarter of the time during daylight hours.
➢ Among all adaptation strategies, managed
retreat demonstrates the greatest overall
benefit in maintaining relative surfability
across the 31 surf breaks assessed.
11.7 Present-day Surfability
1. Local Surf Condition Experts focus groups
a. Provided doable and ideal tide level,
wave face height, and swell direction
for each surf break
1. BIPOC focus groups led by Black Surf Santa
Cruz
a. Social Exclusion & Psychological Safety
b. Economic Barriers
c. Physical Accessibility Issues
d. Community Representation
11.8 Recap & Recommendations
1. All surf breaks in Santa Cruz are highly vulnerable to sea level rise - the surfability of all waves in the study area will diminish with each foot of sea level rise.
2. Surfing contributes $194.7 million annually: $44.5 million dollars are generated annually by surf recreation in Santa Cruz with an additional $150.2 million generated in broader spending.
3. Next steps: our team is recommending that this type of study be expanded to all key surfing regions in California with Santa Cruz serving as a model.
4. Next steps: with this knowledge in hand, our team is recommending the pursuit of statewide policy that focuses on surf spots as unique coastal resources to be protected and managed into the future.
11.9 1. Planning Considerations
a. Prioritize surf breaks in coastal planning and permitting. b. Support nature-based adaptation (sand management, shoreline resilience). c. Integrate surf break data into City economic planning.
1. Recommended Actions for City Leadership
a. Surf ecosystem language incorporated into Local Coastal Plan (STW comments provided to Planning dept. February, 2024)
b. Collaborate with surf community & nonprofits for stewardship and monitoring. c. Ensure public access and equity in shoreline projects. d. Consider surf break vulnerability in infrastructure and climate adaptation planning.
Protection of Santa Cruz’s Coastal
Identity & Economy
11.10 11.11
Questions?
Contact: [email protected]
Thank you!
11.12 Meeting Type
Holiday
Jewish Holiday
Regular Meeting
Special Meeting (will be added as scheduled)
Study Session (will be added as scheduled)
Budget Hearing
November 11
Courtyard Conf. Room Closed Session - Closed to the Public Council Chambers Council Regular Meeting - Open to the Public November 27
November 28
Courtyard Conf. Room Closed Session - Closed to the Public Council Chambers Council Regular Meeting - Open to the Public December 14/15
December 25
December 23 Meeting Cancelled
City Hall Closure - Christmas Day
City Hall Closure - Veteran's Day (observed)
Hanukkah (City observed - sundown to sundown)
November 18
City Council Meeting Calendar for 2025
December 9
City Hall Closure - Thanksgiving Day
City Hall Closure - Day After Thanksgiving Day
12.1 MINUTES ARE UNOFFICIAL UNTIL APPROVED BY COUNCIL
City of Santa Cruz
809 Center Street
Santa Cruz, California 95060
MINUTES OF A CITY COUNCIL MEETING
September 30, 2025
12:00 PM
Mayor Keeley opened the City Council Closed Session at 12:00 p.m. in a public meeting via Zoom and in Council Chambers, for the purpose of announcing the agenda, and receiving public testimony.
Roll Call
Present: Councilmembers Trigueiro, Brunner, Newsome, Golder, O’Hara; Vice Mayor Kalantari-Johnson; Mayor Keeley.
Absent: None.
Staff: City Manager M. Huffaker, City Attorney T. Condotti, Deputy City Clerk Administrator J. Wood, City Clerk Administrator B. Bush.
Statements of Disqualification – Councilmember Brunner announced she will be recusing herself from item 3 in an abundance of caution as it relates to her employment.
Public Comment
Mayor Keeley opened the public comment period at 12:00 p.m. There were no speakers. Mayor Keeley closed the public comment period at 12:00 p.m., at which time the meeting was closed to the public and Council adjourned to the Courtyard Conference Room.
13.1 September 30, 2025 CITY COUNCIL MINUTES 8054
Closed Session
1. Conference with Legal Counsel – Liability Claims (Government Code §54956.95) 1) Claimant: Alane Williamson
2) Claimant: David W. Turner
3) Claimant: Habibeh Deyhim
4) Claimant: Sabrina Shewfelt
Claims against the City of Santa Cruz
Council received a status report, took up under agenda item 18, and no reportable action was taken.
2. Conference with Legal Counsel – Anticipated Litigation (Government Code §54956.9(d)(4))
Initiation of litigation (two potential cases to be discussed).
By unanimous vote Council authorized and directed the City Attorney’s Office to intervene on behalf of the City. The names of the defendants, the parties, and the particulars will be available upon request to members of the public once that intervention has occurred.
3. Real Property Negotiations (Government Code §54956.8) Property: 1520 K1 Pacific
APN: N/A (Public Right of Way)
Owner: City of Santa Cruz
City Negotiator: Bonnie Lipscomb
Negotiating Parties: City of Santa Cruz and Paul Cocking (dba Gabrielita Tamaleria)
Under Negotiation: Price, terms of payment, or both
Council received a status report from the City Negotiator, and no reportable action was taken. Councilmember Brunner recused herself from this item as it pertains to her employment.
13.2 September 30, 2025 CITY COUNCIL MINUTES 8055
Closed Session (continued)
4. Conference with Labor Negotiators (Government Code §54957.6) SEIU Temporary Employees
SEIU Service Employees
Mid Managers, OE3
Supervisors, OE3
Fire Management
Fire, IAFF
Police Management
Police Officers Association
Executives
City Negotiator - Sara De Leon
Council received a status report from the City Negotiator, gave direction, and no reportable action was taken.
5. Public Employment (Government Code §54957)
City Attorney
Council received a status report, and no reportable action was taken.
13.3 September 30, 2025 CITY COUNCIL MINUTES 8056
City of Santa Cruz
809 Center Street
Santa Cruz, California 95060
MINUTES OF A CITY COUNCIL MEETING
September 30, 2025
1:45 PM
Call to Order – Mayor Keeley called the meeting to order at 1:47 p.m. in Council Chambers.
Roll Call
Present: Councilmembers Trigueiro, Brunner, Newsome, Golder, O’Hara; Vice Mayor Kalantari-Johnson; Mayor Keeley (left at 1:59 p.m.).
Absent: None.
Staff: City Manager M. Huffaker, Assistant City Manager M. Templeton, City Attorney T. Condotti, Chief of Fire R. Oatey, Director of Water H.
Luckenbach, Director of Information Technology K. Morgan, Director of Finance E. Cabell (via Zoom), Division Chief of Prevention/Fire Marshal T. Shields, Economic Development Manager R. Unitt, Deputy City Clerk Administrator J. Wood, City Clerk Administrator B. Bush.
Oral Communications - The Mayor provided a brief announcement about Oral Communications.
At 1:48 p.m. Mayor Keeley opened Oral Communications for members of the public who wished to speak regarding items not listed on the City Council agenda.
Michael Spadafore spoke regarding construction on the Murray Street Bridge.
Bradley Snyder spoke regarding the ongoing development happening in Downtown Santa Cruz.
Gillian Greensite spoke regarding the annual report of the Commission for the Prevention of Violence Against Women.
Unidentified person spoke regarding the San Lorenzo Park redesign.
At 1:56 p.m. Mayor Keeley closed Oral Communications.
13.4 September 30, 2025 CITY COUNCIL MINUTES 8057
Presentations
6. Mayoral Proclamation Declaring October 2025 as Domestic Violence Awareness Month
Councilmember Trigueiro read from a proclamation declaring October 2025 as Domestic Violence Awareness Month. Commission for the Prevention of Violence Against Women Chair Karen Madura and Commissioner Courtney Barrett spoke.
7. Mayoral Proclamation Declaring September 29th—October 5th as Week Without Driving Week
Vice Mayor Kalantari-Johnson read from a proclamation declaring September 9 th—October 5th as Week Without Driving Week.
8. Fire Prevention Week: October 5—October 11, 2025
Division Chief of Prevention/Fire Marshal T. Shields gave a presentation on fire prevention and responded to Council questions.
Presiding Officer's Announcements – None.
Statements of Disqualification – None.
Additions and Deletions – None.
City Attorney Report on Closed Session – See pages 8054—8055 for the report.
Council Meeting Calendar
9. The City Council reviewed and did not revise the meeting calendar attached to the agenda.
City Clerk Administrator B. Bush provided a reminder that the meeting on October 14th was previously cancelled.
13.5 September 30, 2025 CITY COUNCIL MINUTES 8058
Consent Agenda
Councilmember Brunner made a comment on item 13.
Councilmember Golder pulled item 15 for further discussion.
Councilmember O’Hara pulled item 16 for further discussion.
Vice Mayor Kalantari-Johnson opened the public comment period. The following people spoke:
Keikilani McKay spoke regarding item 17.
Unidentified person spoke regarding item 17.
Gerald O’Brien spoke regarding item 17.
Steve Storrs spoke regarding item 17.
Jim Cargill spoke regarding item 17.
Vice Mayor Kalantari-Johnson closed the public comment period.
MOTION: Councilmember Brunner moved, seconded by Councilmember O’Hara, to approve the remaining Consent Agenda.
ACTION: The motion carried with the following vote.
AYES: Councilmembers Trigueiro, Brunner, Newsome, Golder, O’Hara; Vice Mayor Kalantari-Johnson.
NOES: None.
ABSENT: Mayor Keeley.
DISQUALIFIED: None.
13.6 September 30, 2025 CITY COUNCIL MINUTES 8059
Consent Agenda (continued)
10. Resolution Extending the Emergency Declarations in Connection with the 2022/2023 Winter Storms and 2023/2024 Winter Storms (CA) LOCATION: Citywide
Resolution No. NS-30,552 was adopted extending by sixty days the Local Emergency Declarations in connection with the 2022/2023 and 2023/2024 Winter Storms.
11. Resolution Extending the Emergency Declaration in Connection with the December 2024 Municipal Wharf Emergency (CA/CM)
LOCATION: District 4
Resolution No. NS-30,553 was adopted extending by sixty days the Local Emergency Declaration in connection with the December 2024 Municipal Wharf emergency.
12. Minutes of the September 9, 2025 City Council Meeting (CC) LOCATION: None
Motion carried to approve as submitted.
13. Arts Commission Appointment (CC)
LOCATION: Citywide
Motion carried to approve Councilmember Brunner’s nomination of Mercedes Lewis to serve on the Arts Commission, with a term ending January 31, 2029.
14. Historic Preservation Commission Appointment (CC)
LOCATION: Citywide
Motion carried to approve Mayor Keeley's nomination of Stephanie McCormick to serve on the Historic Preservation Commission, with a term ending January 31, 2027.
13.7 September 30, 2025 CITY COUNCIL MINUTES 8060
Consent Agenda (continued)
15. Support Efforts to Strengthen Opposition to Offshore Oil Drilling (CN) LOCATION: Citywide
Vice Mayor Kalantari-Johnson opened the public comment period. The following person spoke.
Unidentified person
Unidentified person
Vice Mayor Kalantari-Johnson closed the public comment period.
MOTION: Councilmember Golder moved, seconded by Councilmember Trigueiro, to:
Support Santa Cruz County’s commitments to oppose the federal offshore oil drilling proposal by agreeing to join the local coordination effort; and Direct staff to 1) return to City Council within a month with a cooperative agreement or equivalent that defines the scope of work, terms and City involvement, and an agreement with Save Our Shores, and 2) identify a funding source for the County-requested Phase 1 contribution of $29,000 and the County-requested Phase 2 contribution of $25,000.
ACTION: The motion carried with the following vote.
AYES: Councilmembers Trigueiro, Brunner, Newsome, Golder, O’Hara; Vice Mayor Kalantari-Johnson.
NOES: None.
ABSENT: Mayor Keeley.
DISQUALIFIED: None.
13.8 September 30, 2025 CITY COUNCIL MINUTES 8061
Consent Agenda (continued)
16. Resolution Authorizing the City Manager, or Designee, to Grant Waivers to Tenants of City Lease Agreements (EDH)
LOCATION: Citywide
Vice Mayor Kalantari-Johnson opened the public comment period. There were no speakers. Vice Mayor Kalantari-Johnson closed the public comment period.
MOTION: Councilmember O’Hara moved, seconded by Councilmember Trigueiro, to adopt Resolution No. NS-30,554 authorizing the City Manager, or his designee, to grant waivers in an amount not to exceed $1,000 per fiscal year per Tenant of City lease agreements, with an annual cap of $20,000.
ACTION: The motion carried with the following vote.
AYES: Councilmembers Trigueiro, Brunner, Newsome, Golder, O’Hara; Vice Mayor Kalantari-Johnson.
NOES: None.
ABSENT: Mayor Keeley.
DISQUALIFIED: None.
17. Resolution Granting Consent to the County of Santa Cruz to Form the Santa Cruz Mountains Wine Improvement District (SCMWID) (EDH) LOCATION: Citywide
Resolution No. NS-30,555 was adopted granting consent to the County of Santa Cruz to form the SCMWID in the City of Santa Cruz.
18. Liability Claims Filed Against the City of Santa Cruz (FN) Motion carried to reject the liability claims of 1) Alane Williamson, 2) David W.
Turner, 3) Habibeh Deyhim, and deny application for leave to present late claim 4) Sabrina Shewfelt, based on staff recommendation.
13.9 September 30, 2025 CITY COUNCIL MINUTES 8062
Consent Agenda (continued)
19. Resolution Amending the City of Santa Cruz Compensation Plan for the Public Works Department (HR)
LOCATION: Citywide
Resolution No. NS-30,556 was adopted amending the Public Works Department’s Compensation Plan by correcting compensation range for Wastewater Facilities Lead Electrical/Instrumentation Technician classification.
20. Application and Project Management Support for Information Technology Systems (IT)
LOCATION: None
Motion carried to:
Approve a professional services agreement and scope of work with VantagePoint Business Solutions, LLC for application and project management support of critical information technology systems. Authorize the City Manager to execute a contract in a form approved by the City Attorney. The Information Technology Director is hereby authorized to execute change orders within the approved project budget; and Authorize the Information Technology Director to renew the contract for an additional two years under identical contractual terms and conditions at the end of the first contract term.
21. Contract Renewal with Hope Services, Inc. for the Resource Recovery Facility (PW)
LOCATION: District 6
Motion carried to authorize and direct the City Manager to renew an agreement with Hope Services, Inc. (Santa Cruz, CA) for recycling and litter control services at the City’s Resource Recovery Facility on Dimeo Lane.
13.10 September 30, 2025 CITY COUNCIL MINUTES 8063
Consent Agenda (continued)
22. Transfer within the Water Department’s Capital Investment Program for Fiscal Year 2025 Water Program Administration Expenses – Budget Adjustment (WT) LOCATION: None
Resolution No. NS-30,557 was adopted to amend the Fiscal Year 2025 budget by transferring funds in the amount of $2,647,751 from the Water Department’s Capital Investment Program (CIP) project c701901, Water Program Administration, to various other Water Department CIP projects for the purpose of allocating actual program administration expenses to active Water Program CIP projects.
23. Resolution of Private Landowner Encroachment on Zayante Watershed Lands (WT)
LOCATION: County
Resolution No. NS-30,558 was adopted to approve property transfer from Assessor’s Parcel Number (APN) 093-011-59 to the City Water Department APN 093-011-29 and property transfer from City Water Department APN 093-011-29 to APN 093-011-59 to compensate for private landowner encroachment on City Water Department property.
24. Lockhart-Zayante Vegetation Treatment Project – Zayante Watershed Lands Landowner Agreement (WT)
LOCATION: County
Motion carried to ratify the Landowner Agreement with the Resource Conservation District of Santa Cruz County, executed by the City Manager, for the Lockhart-Zayante Vegetation Treatment Project.
13.11 September 30, 2025 CITY COUNCIL MINUTES 8064
Consent Agenda (continued)
25. Union/Locust Building Roof Replacement – Approval of Purchase Order, Exemption from Local Employment Requirements and CEQA, and Budget Adjustment (WT/LB)
LOCATION: District 4
Motion carried to:
Approve the issuance of a purchase order in the amount of $289,547 under the existing agreement with Waterproofing Technologies Inc. (Beachwood, OH) for roof restoration of the Union/Locust Building and authorize the Water Director and Library Director or their designee to approve change orders within the project budget;
Approve exemption from local employment requirements in Santa Cruz Municipal Code 3.10, Local Hiring – Public Works Contractors; Adopt Resolution No. NS-30,559 amending the Fiscal Year 2026 budget in the amount of $116,000 to appropriate $116,000 from Water Enterprise Fund 711 for Capital Investment Program (CIP) project c701907, Facility and Infrastructure Improvements; and
Approve the California Environmental Quality Act (CEQA) determination contained in this Agenda Report. The Council’s action is exempt from CEQA review under the Class 1 categorical exemption of the California Code of Regulations Section 15301 for repair/rehabilitation of existing facilities.
End Consent Agenda
13.12 September 30, 2025 CITY COUNCIL MINUTES 8065
General Business
26. Accept Modifications of San Lorenzo River Water Rights, Dedicate Instream Flows for North Coast Water Sources, Approve the Anadromous Salmonid Habitat Conservation Plan Project, and Authorize the City Manager to Sign Related State and Federal Endangered Species Act Permits (WT) LOCATION: Citywide and County
Director of Water H. Luckenbach gave a presentation.
Vice Mayor Kalantari-Johnson opened the public comment period. The following people spoke.
Garrett
Erin McCarthy
Vice Mayor Kalantari-Johnson closed the public comment period.
MOTION: Councilmember Trigueiro moved, seconded by Councilmember O’Hara, to adopt Resolution No. NS-30,560 to:
Accept modifications of the City’s San Lorenzo River water rights, as described in the Santa Cruz Water Rights Project and in the State Water Resources Control Board order # WR 2025-0009 EXEC issued June 6, 2025; Dedicate instream flows for North Coast water sources for the protection of special status aquatic species;
Approve the Anadromous Salmonid Habitat Conservation Plan project; and Authorize the City Manager to sign the related federal Endangered Species Act Section 10(a)(1)(b) incidental take permit and the pending California Fish and Game Code Section 2081(b) incidental take permit.
ACTION: The motion carried with the following vote.
AYES: Councilmembers Trigueiro, Brunner, Newsome, Golder, O’Hara; Vice Mayor Kalantari-Johnson.
NOES: None.
ABSENT: Mayor Keeley.
DISQUALIFIED: None.
13.13 September 30, 2025 CITY COUNCIL MINUTES 8066
General Business (continued)
27. Ordinance Amending Uncodified Ordinance No. 2020-27 Extending Temporary Use of Certain Adjacent Public Streets and Outdoor Areas for Eligible Businesses for Commercial Use on Private Property from July 1, 2026 to July 1, 2029 (EDH)
LOCATION: Citywide
Economic Development Manager R. Unitt spoke.
Vice Mayor Kalantari-Johnson opened the public comment period. The following person spoke.
Karen Madura
Vice Mayor Kalantari-Johnson closed the public comment period.
MOTION: Councilmember Golder moved, seconded by Councilmember Brunner, to introduce for publication Ordinance No. 2025-20 amending uncodified Ordinance No. 2020-27 extending temporary use of certain adjacent public streets and outdoor areas for eligible businesses for commercial use on private property from July 1, 2026 to July 1, 2029.
ACTION: The motion carried with the following vote.
AYES: Councilmembers Trigueiro, Brunner, Newsome, Golder, O’Hara; Vice Mayor Kalantari-Johnson.
NOES: None.
ABSENT: Mayor Keeley.
DISQUALIFIED: None.
13.14 September 30, 2025 CITY COUNCIL MINUTES 8067
General Business (continued)
28. City Wildfire Resiliency Plan (FD)
LOCATION: Citywide
Division Chief of Prevention/Fire Marshal T. Shields introduced the item.
Steve Auten, Owner of ARC Forestry, gave a presentation and responded to Council questions.
Vice Mayor Kalantari-Johnson opened the public comment period. The following person spoke.
Gillian Greensite
Vice Mayor Kalantari-Johnson closed the public comment period.
Adjournment - City Council adjourned at 3:21 p.m.
Respectfully Submitted:
Julia Wood, Deputy City Clerk Administrator
Attest:
Bonnie Bush, City Clerk Administrator
Approved:
Fred Keeley, Mayor
13.15 City Council
AGENDA REPORT
DATE: 10/01/2025
AGENDA OF: 10/28/2025
DEPARTMENT: City Clerk
SUBJECT: Resolution Setting the Regular Meeting Schedule of the City Council for the 2026 Calendar Year (CC)
LOCATION: Citywide
RECOMMENDATION: Motion to adopt a resolution setting the 2026 City Council meeting calendar.
BACKGROUND: Per Section 614 of the City of Santa Cruz’s Charter, a resolution must be adopted to fix the meeting dates for regular City Council meetings.
DISCUSSION: City Council meetings are typically held on the second and fourth Tuesdays of each month. The meeting dates of July 14th and 28th will be canceled, as well as December 22nd. Cancellation of these meetings enables both staff and Council to plan ahead with respect to workflow. The July recess also applies to City advisory bodies, unless a time-sensitive issue, such as an appeal, requires a decision prior to the next regular meeting.
Staff is also recommending an adjustment to the standard meeting dates for November 2026. The regularly scheduled meeting of November 10th immediately precedes Veteran’s Day, and the November 24th meeting falls during Thanksgiving week. Accordingly, staff proposes canceling the regular meetings of November 10th and 24th, and adding a regular meeting on November 17th.
Council Study Sessions and special meetings will be agendized as needed.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: Not applicable. The resolution setting the 2026 Council meeting calendar does not require CEQA review as it does not meet the definition of a Project under CEQA as it does not have the potential to result in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment.
HEALTH IN ALL POLICIES (HiAP): This administrative process of approving the Council calendar is not related to Health in All Policies.
14.1 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.
Prepared By:
Bonnie Bush
City Clerk
Submitted By:
Michelle Templeton
Assistant City Manager
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. RESOLUTION.DOC
2. 2026 CITY COUNCIL MEETING CALENDAR.PDF
14.2 RESOLUTION NO. NSRESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ SETTING THE 2026 CITY COUNCIL MEETING SCHEDULE
WHEREAS, the City Council meets regularly on the second and fourth Tuesdays of each month; and
WHEREAS, in anticipation of a lack of quorum and possible lack of items needing immediate Council action, the City Council will cancel two regular meetings on July 14 and July 28, and the regular meeting on December 22 to allow for proper scheduling of workflow and vacations; and
WHEREAS, the regularly scheduled meeting of November 10th immediately precedes Veteran’s Day, and the November 24th meeting falls during Thanksgiving week.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Santa Cruz that the regular meetings of July 14, July 28, December 22, November 10, November 24, and December 22 are canceled and a regular meeting on November 17 will be held.
BE IT FURTHER RESOLVED the City Council hereby approves the 2024 City Council Meeting Schedule as submitted.
PASSED AND ADOPTED this 28th day of October, 2025, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
14.3 2026 City Council Meeting Calendar
December 25, 2025 - City Hall Closure - Christmas Day
January 1 - City Hall Closure - New Years Day
January 13 - Regular Meeting
January 19 - City Hall Closure - Martin Luther King Jr. Day January 27 - Regular Meeting
February 10 - Regular Meeting
February 16 - City Hall Closure - Presidents' Day
February 24 - Regular Meeting
March 10 - Regular Meeting
March 24 - Regular Meeting
April 1/2 - Passover (City observed sundown to sundown) April 14 - Regular Meeting
April 28 - Regular Meeting
May 12 - Regular Meeting
May 25 - City Hall Closure - Memorial Day
May 26 - Regular Meeting/Budget Hearings
May 27 - Special Meeting - Budget Hearings
June 9 - Regular Meeting
June 19 - City Hall Closure - Juneteenth
June 23 - Regular Meeting
July 4 - City Hall Closure - Independence Day
July 14 and 28 Meetings Canceled
August 11 - Regular Meeting
August 25 - Regular Meeting
September 7 - City Hall Closure - Labor Day
September 8 - Regular Meeting
September 11/12 - Rosh Hashanah (City observed - sundown to sundown) October 20/21 - Yom Kippur (City observed - sundown to sundown) September 22 - Regular Meeting
October 13 - Regular Meeting
October 27 - Regular Meeting
November 11 - City Hall Closure - Veteran's Day (observed) November 17 - Regular Meeting
November 26 - City Hall Closure - Thanksgiving Day
November 27 - City Hall Closure - Day After Thanksgiving Day December 4/5 - Hanukkah (City observed - sundown to sundown) December 8 - Regular Meeting
December 22 Meeting Canceled
December 25
14.4 City Council
AGENDA REPORT
DATE: 10/09/2025
AGENDA OF: 10/28/2025
DEPARTMENT: City Council
SUBJECT: Resolution Strengthening Local Worker and Resident Preferences (CN) Location: Citywide
RECOMMENDATION: Motion to adopt a resolution strengthening local worker and resident preferences.
BACKGROUND: Santa Cruz residents and essential workers are increasingly being priced out of their community. A strengthened local preference policy ensures that affordable housing serves those who live and work here, preserving neighborhood stability and reducing displacement pressures.
The City currently provides local preferences under Municipal Code §24.16.045 (Inclusionary Housing), which allows limited preferences for City and County residents and workers. Although over 90% of tenants in the City’s last four 100% affordable projects already lived or worked in Santa Cruz County at lease-up, there is no formal system to track or enforce this preference.
While Santa Cruz maintains several anti-displacement programs, including rental assistance, security deposit aid, and relocation assistance, an updated local preference framework will better protect long-term residents and workers by ensuring equitable access to new affordable housing.
DISCUSSION:
Why a Local Preference Policy Matters
Santa Cruz faces an acute housing affordability crisis. Rising rents and limited supply are displacing long-time residents and essential workers, teachers, service employees, and first responders. Local preference policies help ensure that public resources and community investments directly benefit those most connected to the city’s economic and social fabric.
15.1 Legal Framework
Local preference policies are permissible under federal and state law when implemented consistent with fair housing requirements and the duty to Affirmatively Further Fair Housing (AFFH):
California Gov. Code §7061 / SB 649 (2021): Authorizes local tenant preference programs for projects financed through Low-Income Housing Tax Credit (LIHTC) and tax-exempt bonds.
HUD 24 CFR §960.206: Permits local preferences in public housing and voucher programs, provided they are narrowly tailored and nondiscriminatory. IRS Code §42: Does not prohibit local preferences when consistent with fair housing law.
Proposed Approach
The City will develop a modernized, legally sound preference framework that:
Expands eligibility to include residents at risk of displacement; Applies across all city-assisted affordable housing developments; Establishes documentation and verification standards for residency, employment, and displacement risk; and
Institutes annual monitoring and public reporting to ensure transparency.
Examples from Other Cities
Jurisdictions such as Ojai, Cotati, Fremont, and East Palo Alto have implemented similar policies, balancing local priorities with fair housing compliance. Larger cities, including San Francisco, Oakland, and Los Angeles, are developing comparable programs under SB 649.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: This report provides direction to study potential options and does not take formal action on ordinances, nor does it result in any formal action that creates a change to the environment.
Thus, this proposed Council action is not a CEQA “project” under Public Resources Code section 21065. Additionally, the categorical exemption contained in CEQA Guidelines Section 15306 (Information Collection) applies.
HEALTH IN ALL POLICIES (HiAP): The summary report supports the City of Santa Cruz HiAP, which aligns with providing an adequate supply of housing and shelter that is safe, healthy, affordable, and accessible.
FISCAL IMPACT:
1. The recommendation in this report impacts the General Fund: Yes
2. This recommendation requires a budget adjustment: No
3. The recommendation creates an on-going expenditure commitment: Yes
15.2 FISCAL IMPACT DESCRIPTION: Staff time will be required to draft and implement updated procedures, monitor compliance, and produce annual reports. These costs cannot be absorbed within the existing department budgets. Staff will return in January with an estimated cost of implementation and a proposed budget adjustment for City Council consideration. No direct General Fund allocation is required at this time. Additionally, under Municipal Code Section 24.16.045 #8, “The City Council by resolution may establish fees for the ongoing administration and monitoring of the inclusionary units, which fees may be updated periodically, as required.”
Prepared By:
Gabriela Trigueiro
Councilmember
Susie O'Hara
Councilmember
ATTACHMENTS:
1. RESOLUTION.DOCX
15.3 RESOLUTION NO. NS-30,XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ
STRENGTHENING LOCAL WORKER AND RESIDENT PREFERENCES
WHEREAS, the City of Santa Cruz is experiencing an extraordinary wave of affordable and workforce housing development, with nearly 900 new deed-restricted apartments either under construction or approved, including Pacific Station North and South, Jessie Street, the Library Mixed-Use Project, Harvey West Studios, Cedar Street Apartments, and others, representing homes for roughly 1,800 local residents and workers; and WHEREAS, this level of affordable housing production is unprecedented in the City’s recent history and presents an important opportunity to ensure that new publicly supported homes directly serve the people who sustain the community, its residents, workforce, and families; and WHEREAS, the Santa Cruz Municipal Code currently includes local preference provisions within Section 24.16.045 (Inclusionary Housing) but lacks consistent, enforceable procedures for tracking, verifying, and reporting compliance across all affordable housing developments; and WHEREAS, federal and state law, including California Government Code §7061 (Senate Bill 649, 2021), HUD 24 CFR §960.206, and Internal Revenue Code §42, permits local preference programs when implemented in a manner consistent with fair-housing requirements and the duty to Affirmatively Further Fair Housing; and
WHEREAS, other California jurisdictions, including Ojai, Cotati, Fremont, and East Palo Alto, have adopted or updated local preference policies that balance fair-housing obligations with community priorities, offering practical models for Santa Cruz to adapt; and WHEREAS, refining the City’s local preference policy now will help ensure that this historic wave of affordable and workforce housing delivers the maximum local benefit, keeps essential workers and long-time residents housed, and preserves the social and economic fabric of Santa Cruz; and
WHEREAS, this resolution commits the City Council to launch a data-driven, equitable, and transparent process for implementing a local preference program that ensures Santa Cruz’s new housing opportunities primarily serve those who contribute most to its community life and local economy.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Santa Cruz hereby:
1. Affirms that this unprecedented period of affordable and workforce housing development presents a strategic opportunity to modernize and strengthen the City’s local preference policy, aligning it with both community values and current law.
15.4 2. Directs the City Manager and City Attorney to prepare a draft ordinance amending the Santa Cruz Municipal Code to:
a. Apply local worker and resident preference policies to all deed-restricted affordable housing developments where legally allowed, including those supported by the City’s Affordable Housing Trust Fund or other City assistance; b. Establish transparent, legally compliant verification and monitoring systems; and c. Expand eligibility to include residents at risk of displacement.
3. Further directs staff to develop an implementation and enforcement policy that:
a. Defines standardized documentation, reporting, and auditing procedures; b. Integrates outcome metrics into the City’s annual housing reports; c. Provides mechanisms for evaluating effectiveness and recommending future improvements; and
d. Incorporates additional accountability measures for adoption when the new ordinance and policy are enacted, including but not limited to:
i. Developer or property-manager affidavits confirming understanding and adherence to adopted local preference requirements;
ii. Verification processes for applicant residency or employment, as permitted by law;
iii. City-led annual compliance reviews that protect privacy while producing anonymized outcome data; and
iv. Legal procedures for addressing non-compliance, including corrective actions and public reporting.
PASSED AND ADOPTED this 28th day of October, 2025 by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
15.5 Brittany Inclan
From: Bonnie Bush
Sent: Friday, October 24, 2025 12:11 PM
To: City Council
Subject: Fwd: Local preference
Bonnie Bush, CMC
City Clerk
City of Santa Cruz
809 Center St., Room 8, Santa Cruz, CA 95060
Phone: 831-420-5035
Email:[email protected] Web: www.cityofsantacruz.com Begin forwarded message:
From: Randa Solick <[email protected]>
Date: October 24, 2025 at 11:30:44 AM PDT
To: Bonnie Bush <[email protected]>
Subject: Local preference
****CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe.**** Hello, please send this out to all the city council members. My name is Randa Solick, and although I don’t live in the city limits, I and all people in the county are affected by what goes on there. I strongly urge you to support a policy that gives local residents and local workers preference in renting affordable units.
I also urge you to publicize regularly the list of affordable places available, how much they’re renting for, how many have been rented, how many remain unoccupied, and the geographic origin of the renters who have moved in already.
I am sure that all of you get questions about how many units are still empty and how many are planned for, and the sizes and rents for those units. The Public deserve to see the answers to those questions.
Thank you.
15.6 Brittany Inclan
From: Eva Brunner <[email protected]>
Sent: Friday, October 24, 2025 4:33 PM
To: City Council
Subject: October 28 Council Meeting Agenda Item 15
Dear Councilmembers and Mayor -
Please support the "Resolution Strengthening Local Worker and Resident Preferences" , the motion to adopt a resolution strengthening local worker and resident preferences.
Thank you,
Eva Brunner
Santa Cruz, District 1
Eva Brunner
Bookkeeping services & consulting
for small business and non-profit organizations
Serving Santa Cruz since 1990
15.7 Brittany Inclan
From: Lira Filippini <[email protected]>
Sent: Monday, October 27, 2025 3:21 PM
To: City Council; City Council; Fred Keeley; Shebreh Kalantari-Johnson; Gabriela Trigueiro; Sonja Brunner; Scott Newsome; Renee Golder; Susie O'Hara Cc: Bonnie Lipscomb
Subject: Agenda Item 15; Oct 28th; Local Preferences for Affordable Housing Dear Mayor Keeley and Council Elect,
I want to extend tremendous gratitude to those of you who worked to bring this agenda item forward. I have great hope that everyone will support the adoption of the proposed resolution as written.
I'm also very grateful to Councilmember Golder for bringing up at a prior council meeting that she found some managers of affordable housing projects didn't seem to know about our City's local preference policy. This really helped bring the issue forward.
We all know how much we need affordable housing for local residents and workers. I was pleased to see that State law allows local preferences, that our own City code already includes it, and that many cities around the state and country have created tracking and enforcement systems to ensure that those who already live or work in their cities and qualify for affordable housing, will get preferred ranking when affordable units become available.
Adding a similar tracking and enforcement mechanism for ensuring our local preference policy is being followed will be a game-changer for the Santa Cruz community. Adding preferences for those facing displacement will strengthen the policy we have in place.
I understand that this will have a fiscal impact and will cost staff-time and city funds. There are some incredibly helpful tools that other cities are using to streamline the tracking and enforcement systems they have implemented. One of the most useful streamlining tools I came across are various platforms being used as portals so that the staff in other cities are not burdened. Some of these portals are very easy for cities to plug-into.
Please support this agenda item. It would be a win for everyone and I believe really encourage trust in how the City uses funds that are associated with affordable housing.
Thank you for your time and thoughtful consideration,
Lira Filippini
15.8 Brittany Inclan
From: Judy Weaver <[email protected]>
Sent: Monday, October 27, 2025 3:27 PM
To: City Council
Subject: 10/28/25 Agenda Item #15, Resolution Strengthening Local Worker and Resident Preferences
To Mayor Keeley and Members of the Santa Cruz City Council:
I support the Resolution Strengthening Local Worker and Resident Preferences.
I encourage the City Council to significantly strengthen the City’s oversight of affordable housing and the implementation of a system to track, verify and comply with preferences for local residents and workers in affordable housing.
Thank you for your consideration.
Judith Weaver
Santa Cruz CA 95060
15.9 City Council
AGENDA REPORT
DATE: 10/07/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Economic Development and Housing
SUBJECT: Ocean Street Beautification Project – Approval of Hardscaping and Landscape Design Elements and Authorization to enter into a Public Art Contract with Mozeart Designz LLC (EDH)
LOCATION: District 1
RECOMMENDATION: Motion to:
1) Direct staff to proceed with development of construction plans for the Ocean Street Beautification Project with additional hardscaping and landscape design elements. 2) Authorize the City Manager to negotiate and execute agreements, amendments, and any related documents, in a form approved by the City Attorney, with Mozeart Designz LLC in an amount not to exceed $260,000 for fabrication of the public art to be included in the Ocean Street Beautification Project.
BACKGROUND: The Ocean Street Beautification project has multiple goals focused on creating a safe and welcoming gateway to the main entry to Santa Cruz. Key components of the project include public art, new welcome signage, and landscape improvements that work together to achieve these goals through environmental design.
On June 24, 2025, City Council authorized staff to proceed with construction plans for the Ocean Street Beautification Project, including contracting for public art fabrication with the selected artists. At that meeting, Council also directed staff to return with design alternatives that include environmental design elements to achieve a safe and attractive gateway corridor entrance.
DISCUSSION: When City Council approved conceptual plans and selected artists, it also directed staff to explore site alternatives that included landscape features that would be attractive but not encourage active access to the area, as safety is of paramount concern at the busy intersection. Different features including landscape elements, fencing, selective placement of small boulders and different hardscape elements softened by mostly native landscaping are all considerations evaluated by staff and the landscape architect team.
16.1 The evaluation of the various options yielded the following considerations:
Pros: Cons:
● Fencing Option:
Fully restricts access to Redwood trees
Discourages pedestrian traffic through
medians
● Fencing Option:
Limits visibility from roadway to
sidewalk behind median.
May attract dumping and impede refuse
cleanup or maintenance.
May have unexpected conflicts with
tree roots impacting planned
installation.
Could create a vertical structure that
becomes an attractive nuisance
Increases construction costs
significantly
.
● Selective Boulder/Hardscaping and
Landscape Option:
Preserves visibility from all anglesdoes not impede sightlines through sitesafer for all users (pedestrian, public safety, drivers)
Overall visual appeal integrates
landscaping with art elements
Greater flexibility in design
● Selective Boulder/Hardscaping and
Landscape Option:
May be more likely to result in
pedestrians entering the site in
unanticipated ways to view artwork
more closely.
Based on the above considerations, staff recommends that the City Council direct staff to proceed with the second option, selective boulder/hardscaping and landscape design elements without fencing for the Ocean Street Beautification Project. If approved, staff will evaluate the effectiveness of the landscape installation to make sure the medians remain a safe and beautiful gateway to Santa Cruz. If it is determined that fencing is needed, it will be added during the next fiscal year as part of the approved project budget.
Following up on the City Council approval from June 24, 2025, staff now have a finalized budget to proceed with contracting with the selected artist. Artwork will include a minimum of four architectural glass sculptures including a banana slug, deer, heron and fox. To implement Council direction from June 24, 2025, staff requests authority to finalize and execute a contract with Chris Mosley (Mozeart Designz LLC), in a form to be approved by City Attorney, for an amount not to exceed $260,000 for design, fabrication and installation of the glass sculptures in the Ocean Street Beautification Project.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: City Council previously approved the following CEQA determination with their action on June 24, 2025. The proposed actions in this report are consistent with that determination and would not result in any immediate changes to the physical environment and are exempt from CEQA under Section 15262 – Feasibility and Planning Studies. Work anticipated after future discretionary approval of the plans and specifications in the recommendation would similarly be exempt from CEQA under sections 15301 - Existing Facilities and 15304 – Minor Alterations to Land.
16.2 Specifically, the future project will update and restore existing facilities with landscape improvements that are more resilient and “gardening” of existing improved landscape and potential grading of areas with slopes less than 10%. Recommended actions and the anticipated implementation work are also consistent with the Mitigated Negative Declaration (MND) adopted for the OSAP, including beautification of the corridor and inclusion of public art.
HEALTH IN ALL POLICIES (HiAP): This Project supports the Health in All Policies public health pillar by improving public safety for all community members through median upgrades intended to slow traffic entering Santa Cruz and by providing artful elements that can be enjoyed by the entire community. Together with street improvements completed by Public Works, the project will create a clear transition from Highway 17 as vehicles enter Santa Cruz to reduce speeds and increase awareness of pedestrian and bicycle activity in Santa Cruz.
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: The proposed project is fully funded in the Ocean Street Beautification Project (c512001). Potential maintenance costs to the General Fund should be offset by some reduction in the regular cleanups and removal of debris in the area. Proposed art installations were designed with maintenance in mind and include countermeasures to address vandalism and graffiti. Intermittent repairs of public art are budgeted in the City Art program.
Funding for maintenance of City medians is included in the FY 2026 Proposed Operating Budget for Parks and Recreation.
Prepared By:
David McCormic
Development Manager
Submitted By:
Bonnie Lipscomb
Deputy City Manager
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. RENDERINGS OF LANDSCAPE ARCHITECTURE OPTIONS AND SELECTED ARTWORK.PDF
16.3 / 1
RENDERINGS OF LANDSCAPE
ARCHITECTURE OPTIONS AND
SELECTED ARTWORK
LANDSCAP E ARCHITECTURE 16.4
/
PLYMOUTH STREET
N
16.5 CHRIS MOSLEY
16.6 MELISSA MARZAN + IDEA FAB LABS
16.7 /
5 SITE LOCATION
LANDSCAP E ARCHITECTURE
• Be visible to vehicles
and pedestrians
• Do not impact the roots
of the redwood trees
with construction – stay
out of the driplines
• Discourage pedestrian
and vehicle conflicts
• Maintain cone of vision
for Pryce Street and
Ocean Street
intersections
CONSIDERATIONS
16.8 /
• Cone of vision visibility triangle
• Site line must be maintained
between oncoming traffic
and Pryce St
• Tree trunk offset root protection
zone
– 3x trunk diameter
• Signal + Utility poles
• Vaults – Caltrans boxes
• Freeway sign
LANDSCAP E ARCHITECTURE 6
CONSTRAINTS
16.9 /
Around central area to avoid habitation
May conflict or be impacts by redwood roots over time
Fencing Option - Examples
16.10 /
Stone as groundcover
Sculptural approach
No fence needed
Ground Plane Stone - Hardscape
Limits access
Low maintenance
16.11 /
Cuts and mounding create uneven terrain
Can improve stormwater management
Adds visual interest and defines space
Limits access
Low maintenance
Varied Surfacing - Landscape
16.12 /
Forest, and wetlands inspired
Inspired by redwood understory, adapted to dryer and sunnier setting Native or adapted plants
May limit planting at base of redwoods due to heavy duff Low plants to allow visibility across the site for security Planting Concepts - Landscape
16.13 /
Demonstrated success
Embedded Stones
Boulders
Uneven grades
Santa Cruz Precedents
Limits access
Low maintenance
No fence needed
16.14 / 12
FENCING OPTION
LANDSCAP E ARCHITECTURE 16.15
16.16 16.17
16.18 / 16
SELECTIVE BOULDER
HARDSCAPE AND
LANDSCAPING OPTION
LANDSCAP E ARCHITECTURE 16.19
16.20 16.21
16.22 16.23
FENCING
HARDSCAPE + LANDSCAPE
FENCING
HARDSCAPE + LANDSCAPE 16.24
City Council
AGENDA REPORT
DATE: 10/09/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Finance
SUBJECT: Liability Claims Filed Against the City of Santa Cruz (FN) RECOMMENDATION: Motion to reject the liability claims of 1) Elizabeth Martinez, and 2) Damien Joseph Galpren-Gibson, to return as late claim of 3) Peter Bichier, and to deny application for leave to present late claim of 4) Installed Building Products, based on staff recommendation.
BACKGROUND: N/A
DISCUSSION: I. Claims to be rejected:
1. Claimant: Elizabeth Martinez
Date of occurrence: 9/13/2025
Date of claim: 9/22/2025
Amount of claim: $695.00
Claimant seeks reimbursement for towing fees when vehicle was allegedly towed without sufficient notice.
Self-Represented
2. Claimant: Damien Joseph Galpren-Gibson
Date of occurrence: 6/06/2025
Date of claim: 9/30/2025
Amount of claim: Unspecified
Claimant seeks damages related to alleged violations of his civil rights.
Represented by Legal Counsel
17.1 II. Claim to be returned as late:
3. Claimant: Peter Bichier
Date of occurrence: 4/29/2024
Date of claim: 9/25/2025
Amount of claim: $1,000.00
Claimant seeks reimbursement for damage to his vehicle.
Self-Represented
III. Denial of application for leave to present late claim:
4. Applicant: Installed Building Products
Date of occurrence: 10/3/2024
Date of application requesting leave to present late claim: 9/20/2025 Claimant seeks reimbursement for damages to their vehicle.
Self-Represented
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: N/A HEALTH IN ALL POLICIES (HiAP): N/A
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 fiscal impact.
Prepared By:
Ross Brandon
Risk & Safety Manager
Submitted By:
Elizabeth Cabell
Finance Director
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
None.
17.2 City Council
AGENDA REPORT
DATE: 10/09/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Human Resources
SUBJECT: 2025 Executive Employees Compensation and Benefits Plan (HR) LOCATION: Citywide
RECOMMENDATION: Motion to adopt a resolution approving the 2025 Compensation and Benefits Plan for Executive Unrepresented Employees.
BACKGROUND: The Compensation and Benefits Plan establishes compensation, benefits, and terms and conditions of employment for Executive Unrepresented Employees (Executives).
The Executive group consists of fourteen director-level classifications that are at-will, exempt from the Fair Labor Standards Act, and serve at the pleasure of the City Manager.
As with other labor contracts, the approach to determining successor Executive compensation is dependent upon: (1) market status or the latest market study; (2) the Consumer Price Index, San Francisco Bay Area (CPI-U); and (3) available funding. One classification, the Director of Finance, is the benchmark that determines the market status of the Executive group. An analysis was completed in May 2025 using the same methodology as the 2021 Compensation Study. This analysis included updating the salary and benefit plan (total compensation) received by the Finance Director and shows the benchmark being out of market by 9.9% for total compensation.
DISCUSSION: Changes to the 2025 Executive Employee Compensation and benefit plan include:
Item Change Section
Salary: Cost of Living (COLA) Year 1: 2.5%
Year 2: 2.5%
Year 3: 2.5%
Longevity
An additional longevity step of 2% at 15 years of full employment.
Management Vacation
An additional 20 hours of Management Leave will be available for cashout for a total of 40 hours of cashout per year.
18.1 Uniform Cleaning Allowance
This section incorporates a historic value received by Safety Executives for uniform cleaning.
Holidays
Addition of Cesar Chavez and clarification on use of Christmas and New Years Eve.
Involuntary Termination
A new section providing for 6 months of severance pay when an executive is involuntarily separated without cause.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: Not applicable.
HEALTH IN ALL POLICIES (HiAP): Approval of the successor agreements for Executive Directors supports operational continuity by ensuring stable leadership in managing essential City services and programs that directly affect community well-being.
FISCAL IMPACT:
1. The recommendation in this report impacts the General Fund: Yes
2. This recommendation requires a budget adjustment: Yes
3. The recommendation creates an on-going expenditure commitment: Yes FISCAL IMPACT DESCRIPTION: Additional appropriations to account for the cost of these compensation and benefit changes will be brought comprehensively to City Council in the FY 2026 midyear budget adjustment in February, 2026.
Prepared and Submitted By:
Sara De Leon
HR Director
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. RESOLUTION.DOCX
2. EXECUTIVES COMPENSATION AND BENEFITS PLAN.PDF
18.2 RESOLUTION NO. NS-30,XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ APPROVING
A COMPENSATION AND BENEFITS PLAN FOR EXECUTIVE UNREPRESENTED
EMPLOYEES
WHEREAS, the Executive Unrepresented Employees are at will, are exempt from the Fair Labor Standards Act and serve at the pleasure of the City Manager; and WHEREAS, Title 2 of the California Code of Regulations, Section 57.5 requires the governing body must approve and adopt a pay schedule detailing the pay rates for each position; and
WHEREAS, the Compensation and benefits Plan has been entered into by the respective parties and agreed upon by the Executive Unrepresented Employees which lists all classifications, salaries, and benefits; and
WHEREAS, the terms of the Compensation and Benefits Plan for salary increases are as follows: 2.50% in the first year, 2.5% in the second year, and 2.5% in the third year with additional changes outlined in Exhibit A.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Santa Cruz hereby approves the 2025 Executive Employees Compensation and Benefits Plan effective October 28, 2025.
PASSED AND ADOPTED this 28th day of October, 2025 by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
18.3 City of Santa Cruz
Compensation and Benefits Plan
Assistant City Manager, Department Directors,
Deputy City Manager, Chiefs of Police & Fire
Effective October 28, 2025
Purpose and Intent
This Compensation and Benefits Plan (Plan) is intended to establish compensation, benefits and terms and conditions of employment for Assistant City Manager, Deputy City Manager, Department Directors and the Chiefs of Police and Fire. The City Manager has the authority to hire the Assistant City Manager, Deputy City Manager, Department Directors and the Chiefs, and to adjust their compensation consistent with this Plan. These positions are exempt from the Fair Labor Standards Act (FLSA), are at will employees, serve at the pleasure of the City Manager and can be terminated with or without notice or cause and with no rights of appeal. 1) SALARY SCHEDULE
a) This Plan covers positions in the job classes and salary schedule set forth in Attachment A, incorporated in and made a part of this document.
Salary: Cost of Living Adjustment (COLA)
1. COLA: Cost of Living Adjustment shall be as follows:
• Effective October 1 2025, employees will receive a cost of living increase of 2.5% • Effective September 30, 2026 employees will receive a cost of living increase of
2.5.%.
• Effective September 28, 2027, employees will receive a cost of living increase of
2.5%.
b) Longevity:
i) Directors, Assistant City Manager & Deputy City Manager: 2.5% base pay increase following 10 full years of employment; and 2% at 15 full years of employment.
Police Chief: 2.5% completion of 10 years, 2% completion of 15 years, 2% completion of 20 years, and 2% completion of 25 years. Fire Chief: 2.5% completion of 10 years, 2% completion of 15 years, 2% completion of 20 years and 2% completion of 25 years. It is understood that the longevity pay will be considered as “additional compensation” for the purposes of PERS and tax computations.
2) MANAGEMENT VACATION
In the first full pay period in January of each year, employees will be credited with 80 hours of vacation time. Management vacation may be cashed out at the rates identified in Table 1 and shall occur in the last full pay period of December. Additionally, management vacation may be moved to deferred compensation plans. Employees who do not use or elect to cash out all of their Management Vacation prior to the first full pay period in January of each year will only be credited at the start of the subsequent year with sufficient hours to maintain an 80 hour balance. Upon separation, employees shall receive the value
18.4 Compensation and Benefits Plan 2
of their unused accrued management vacation. This benefit will be pro-rated for new hires.
Table 1:
Contract Year Maximum Management Vacation Cash Out
2025 40 Hours
2026 40 Hours
2027 40 Hours
3) VACATION
a) Vacation Accrual:
Years of Employment Vacation Hours
Up to five years 80 Hours
Six to ten years 120 Hours
Eleven years or more 120 Hours plus 8 hours for each year of service after 10 yrs. To a maximum of 160 hours
b) The City Manager has the authority to place a new employee at a specific accrual rate. c) Upon termination, payment will be made for all accumulated vacation to the separation date, at a rate equal to 100% of the current hourly pay rate. d) Vacation Cap: Accumulation of vacation time shall not exceed twice the annual rate of accrual without prior authorization. Vacation accrual extensions are considered on the basis of operational impacts that prohibit the employee from taking the vacation. 4) SICK LEAVE
Sick leave will accrue at a rate of 8 hours per month. Assistant City Manager, Deputy City Manager and Department Directors are entitled to the same benefits as the MidManagement MOU Section 14.00. Police Chief is entitled to the same benefits as the Police Management MOU Section 11.00. Fire Chief is entitled to the same benefits as the Fire Management MOU Section 14.00.
5) OPTIONAL MANAGEMENT BENEFIT
a) The City will contribute $1,300 for employees with less than 10 years of service and $1,500 for employees with 10 or more years of service. Payment for this benefit shall be made on the last pay date in July of each year for the previous years’ service. In lieu of direct payment, employees may select one of the following options for use of this benefit: 1) payment to deferred compensation or 2) purchase of additional vacation leave, not to exceed the Vacation Accrual Limit. This benefit will be pro-rated for new hires and terminated employees. 6) VEHICLE ALLOWANCE
a) Employees shall receive a vehicle allowance in the amount of $107 per month. In lieu of a vehicle allowance, the City will provide the Fire Chief and Police Chief with a vehicle.
The Police Chief and Fire Chief may elect to use a city vehicle instead of receiving of a vehicle allowance.
7) UNIFORM ALLOWANCE AND CLEANING
The Police Chief and Fire Chief uniform and cleaning costs are covered by the City.
18.5 Compensation and Benefits Plan 3
8) SPECIAL PROJECT/ASSIGNMENT PAY
A special project/assignment is a specific and unique assignment which exceeds the normally assigned duties and responsibilities of the employee’s job classification. An employee, so assigned by the City Manager, shall receive 5% of his/her base pay while actually working on the project or in the assignment. Special project pay does not affect, nor is it included in sick and vacation or other leaves of absence. These assignments will be included in PERS computations.
9) FLEXIBLE SPENDING ARRANGEMENT CONTRIBUTIONS
a) Employees are entitled to the same benefits as the Mid-Management MOU Section 16.00 – Benefits.
b) Medical & Dental: Employees are eligible to enroll in a California Public Employees’ Retirement System (CalPERS) medical plan, Dental and Vision Plan. The City makes a contribution on behalf of each qualified employee based on 90% of the cost of the highest medical premium between the Blue Shield Access+HMO and PERSChoice PPO.
Employees will make an additional contribution of $50.00 per pay period towards the cost of health care benefits. Vision & Dental: employees are entitled to the same benefits as the Mid-Management MOU Sections 16.02 & 16.03
c) Cash Out: Employees who can verify to the City’s satisfaction that: they have equivalent health coverage for medical, which will remain in effect until the next enrollment date; will receive $200 month.
10) FLEXIBLE SPENDING ACCOUNTS
The City offers a Healthcare Spending Account with an annual election limit of $2,400 and a Dependent Care Spending Account with annual election limit of $5,000. 11) RETIREMENT
a) CalPERS Retirement Benefits for Classic Members:
i) Non-Sworn Tier 1: For all eligible employees hired on or before May 11, 2012: Benefit of 2.0% @ 55 with the single highest year option. The employee’s contribution amount is 12% of reportable salary (7% employee share + 5% employee paid employer share).
The employee contribution from pay is on a pre-tax basis pursuant to 414(h)(2). ii) Non-Sworn Tier 2: For all eligible employees hired on or after May 12, 2012, Benefit of 2% @ 60 with employees highest three year average. The employee’s contribution amount is 12% of reportable salary (7% employee share + 5% employee paid employer share). The employee contribution from pay is on a pre-tax basis pursuant to 414(h)(2).
iii) Police Sworn Tier 1: For all eligible employees hired on or before September 2, 2011:
Benefit of 3% @ 50 with the single highest year option. The employee’s contribution amount is 12% of reportable salary (9% employee share + 3% employee paid employer share). The employee contribution from pay is on a pre-tax basis pursuant to 414(h)(2).
iv) Police Sworn Tier 2: For all eligible employees hired on or after September 3, 2011:
Benefit of 3% @ 55 with the employees highest three year average. The employee’s contribution amount is 12% of reportable salary (9% employee share + 3% employee paid employer share). The employee contribution from pay is on a pre-tax basis pursuant to 414(h)(2).
18.6 Compensation and Benefits Plan 4
v) Fire Tier 1: For all eligible employees hired on or before September 2, 2011: Benefit of 3% @ 50 with the single highest year option. The employee’s contribution amount is 12% of reportable salary, (9% employee share + 3% employee paid employer share). The employee contribution from pay is on a pre-tax basis pursuant to 414(h)(2). vi) Fire Tier 2: For all eligible employees hired on or after September 3, 2011: Benefit of 3% @ 55 with employees highest three year average. The employee’s contribution amount is 12% of reportable salary (9% employee share + 3%) employee paid employer share). The employee contribution from pay is on a pre-tax basis pursuant to 414(h)(2).
b) CalPERS: NEW Members:
i) Individuals that have never been a member of any public retirement system prior to January 1, 2013, or
ii) Individuals who moved between retirement systems with more than a six month break in service; and
iii) In compliance with the California Public Employees’ Pension Reform Act of 2013, (PEPRA), new members will receive a Local Miscellaneous benefit formula of 2% @ 62, Sworn/Safety (Police & Fire) will receive a benefit of 2.7% @ 57. Employees will contribute 50% of the normal cost as determined by CalPERS (12.25% for sworn and
6.75% for Misc.). Final compensation, for purposes of calculating the retirement benefit, is calculated on the highest average pensionable compensation earned by a member during a period of 36-consecutive months. This is also referred to as the 3- year average. The employee contribution from pay is on a pre-tax basis pursuant to 414(h)(2).
In addition to the required employee contribution, Chief Police and Chief Fire Sworn members will contribute an additional 5.0%, and Miscellaneous will contribute an additional
5.0%.HOLIDAYS
Twelve, eight (8) hour holidays and Two, four (4) hour holidays per calendar year as defined by the City Council.
Accrual and Usage rules are in accordance with those in Section 12.00 of the midmanagement MOU. 12) FLOATING HOLIDAYS:
The Assistant City Manager, Deputy City Manager, Department Directors, and Chiefs shall accrue up to twenty-four hours of floating holidays per fiscal year in accordance with the Mid-Management MOU Section 12.02.
13) INSURANCE
The City provides long-term disability insurance as well as term life insurance in the amount of $25,000.
14) INVOLUNTARY TERMINATION
At-Will Status and Separation
Employees covered by this Plan serve at the pleasure of the City Manager and are atwill employees. As such, they may be released from employment at any time, with or without cause or advance notice, and without rights of appeal or hearing, consistent with applicable law.
18.7 Compensation and Benefits Plan 5
a) Severance Upon Involuntary Separation Without Cause
In the event the City Manager terminates the employment of an executive covered by this Plan for reasons other than cause, the employee shall be eligible to receive severance compensation as follows:
i) A lump sum payment equivalent to six(6) months of the employee’s base salary at the time of separation; and
ii) Continuation of employer-paid medical, dental, and vision benefits for a period of six (6) months, or until the employee becomes eligible for comparable group coverage under another employer, whichever occurs first. Alternatively, the City may provide a cash equivalent of the COBRA premium for the same duration.
iii) A payout of all accrued and unused vacation and administrative leave balances in accordance with City policy.
b) Severance Exclusion
No severance shall be provided if the employee is terminated for cause, resigns voluntarily, or retires. “Cause” shall include, but is not limited to, misconduct, dishonesty, gross negligence, or violation of City policy, as determined by the City Manager. c) Limitations
In no event shall severance benefits exceed the limitations established by California Government Code Sections 53260 through 53264, including but not limited to the 12-month salary cap for severance agreements. If a severance agreement is executed, it shall include a waiver and release of claims in a form approved by the City Attorney.
Adopted: 2/9/16
Amended: 6/28/16
Adopted: 10/8/19
Adopted: 10/1/2022
Adopted 10/1/2025
18.8 Compensation and Benefits Plan 6
ATTACHMENT A
ASSISTANT CITY MANAGER, DEPARTMENT DIRECTORS, DEPUTY
CITY MANAGER, CHIEFS OF POLICE & FIRE
JOB CLASSES AND SALARY SCHEDULE
Positions & Salary Schedule as of December 31, 2024
POSITION Minimum Maximum
Assistant City Manager $ 17,103 $ 21,827
Chief of Police $ 17,103 $ 21,827
Chief of Fire $ 17,103 $ 21,827
Director of Public Works $ 16,383 $ 20,903
Director of Water $ 16,383 $ 20,903
Director of Planning $ 15,594 $ 19,894
Director of Finance $ 15,594 $ 19,894
Director of Human Resources $ 15,594 $ 19,894
Director of Information Technology $ 15,594 $ 19,894
Director of Libraries $ 15,594 $ 19,894
Director of Parks & Recreation $ 15,594 $ 19,894
Director of Economic Development $ 15,594 $ 19,894
Deputy City Manager I $ 15,594 $ 19,894
Deputy City Manager II $ 16,383 $ 20,903
18.9 City Council
AGENDA REPORT
DATE: 10/09/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Human Resources
SUBJECT: Mid-Management Association of the City of Santa Cruz Tentative Agreement for Successor Memorandum of Understanding (HR) LOCATION: Citywide
RECOMMENDATION: Motion to adopt a resolution approving a tentative agreement with the Mid-Management Association of the City of Santa Cruz effective October 28, 2025 through December 8, 2028.
BACKGROUND: The Memorandum of Understanding (MOU) with the Mid-Management Association (Union) expired on August 29, 2025. The Union and the City of Santa Cruz (City) have met and conferred in good faith in accordance with the Meyers-Milias-Brown Act regarding wages, hours, and other terms and conditions of employment. As a result, the Union and the City have reached a Tentative Agreement on a successor MOU.
As with other labor contracts, the approach to determining successor mid-management compensation is dependent upon: (1) market status or the latest market study; (2) the Consumer Price Index, San Francisco Bay Area (CPI-U); and (3) available funding. Several classifications determine the market status of the mid-management group. An analysis was completed in May 2025 using the same methodology as the 2021 Compensation Study. This analysis included updating the salary and benefit plan (total compensation) and shows the overall group being out of market by 3.11% for total compensation.
DISCUSSION: The Union and the City have been meeting and conferring on a successor MOU and have reached a Tentative Agreement. In summary, the major terms of the new MOU include the following:
1. Three-year term with the following cost of living adjustments 3% in year one, 4% in year two, 4% in year three
2. Payment of State Disability Insurance by employees
3. Extension of probationary term from six months to twelve months for new hire and rehire appointments
4. A new longevity step of 2% at 20 years of service
5. Addition of Cesar Chavez and clarification on use of Christmas and New Years Eve
19.1 On November 18, 2025, the 2025 - 2028 Successor MOU in its entirety including the changes as agreed will be provided to Council as a final administrative action.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: Not applicable.
HEALTH IN ALL POLICIES (HiAP): Approval of the successor agreements for midmanagement addresses the public health pillar of HiAP by supporting operational continuity, ensuring stable leadership in managing essential City services and programs that directly affect community well-being.
FISCAL IMPACT:
1. The recommendation in this report impacts the General Fund: Yes
2. This recommendation requires a budget adjustment: Yes
3. The recommendation creates an on-going expenditure commitment: Yes FISCAL IMPACT DESCRIPTION: Additional appropriations to account for the cost of these compensation and benefit changes will be brought comprehensively to City Council in the FY 2026 midyear budget adjustment in February 2026.
Prepared and Submitted By:
Sara De Leon
HR Director
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. RESOLUTION.DOCX
2. EXHIBIT A - CITY'S TOTAL PACKAGE TENTATIVE AGREEMENT - MID MANAGEMENT.PDF
19.2 RESOLUTION NO. NS-XX,XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ APPROVING
TENTATIVE AGREEMENT WITH THE MID-MANAGEMENT EMPLOYEE
ASSOCIATION
WHEREAS, representatives of the City of Santa Cruz and Mid-Management Employee Association (Union) have met and conferred in good faith to bargain for a successor agreement; and
WHEREAS, the Tentative Agreement with the Union has been entered into by the respective parties and duly ratified by the Union’s members; and WHEREAS, the terms of the Tentative Agreement are attached as Exhibit A; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Santa Cruz as follows: The City Counil hereby approves the Tentative Agreement for the Mid-Management Employee Association for a successor Memorandum of Understanding effective October 28, 2025 and expiring December 8, 2028
PASSED AND ADOPTED this 28th day of October, 2025 by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
19.3 4930-9411-2622 v2
SUCCESSOR MOU NEGOTIATIONS
Between
CITY OF SANTA CRUZ
And
CITY OF SANTA CRUZ MID-MANAGEMENT ASSOCIATION
CITY’S TOTAL PACKAGE TENTATIVE AGREEMENT PROPOSAL #3
SEPTEMBER 29, 2025
The City submits this Total Package Tentative Agreement Proposal #3 pursuant to ground rule 15.
A rejection of any one of the proposals set forth below will be deemed a rejection of the Total Package Proposal in its entirety. The City reserves the right to modify any of the below proposals based on any subsequent individual proposal or any additional subsequent Total Package Proposal.
1. TERM PROPOSAL
2.00 TERM
The term of this Memorandum of Understanding shall commence September 17, 2022Saturday, August 30, 2025, or when Council approves the successor MOU in open session, whichever is later, and shall expire on August 29Friday, December 8, 20285.
Negotiations for a successor MOU shall begin one hundred eighty (180) days prior to the expiration date of this agreement (February 28, 2025Sunday, June 11, 2028) or any other mutually agreed date.
Unless otherwise stated herein, all payroll related changes identified in this agreement will commence effective the pay period beginning Saturday, August 30, 2025, or the pay period when Council approves the successor MOU in open session, whichever is later.
2. SALARY PROPOSAL
11.05 Salary
Effective the pay period that begins August 30, 2025, or the pay period when Council approves the successor MOU in open session, whichever is later, the salary for all bargaining unit members shall be increased by three percent (3%).
The City will provide additional base salary increases for the following classifications: Urban Forester at 5% for a total of 8%; Superintendent of Parking Services at 2.5% for a total of 5.5%; Superintendent of Disposal at 2.5% for a total of 5.5%; Superintendent of Collections at 2.5% for a total of 5.5%; and Parking Program Manager at 3% for a total of 6%.
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19.4 4930-9411-2622 v2
Effective the pay period inclusive of August 30, 2026, the base salary for all bargaining unit members shall be increased by four percent (4%).
Effective the pay period inclusive of August 30, 2027, the base salary for all bargaining unit members will be increased by four percent (4%).
3. LONGEVITY PROPOSAL
11.06 Longevity
Upon completion of ten (10) years of continuous regular service employees shall receive a 2½% longevity pay increase. Longevity is calculated from the date of hire into a regular status position or a fully benefited special status position. It is understood that the 2½% longevity pay will be considered as "additional compensation" for purposes of PERS and tax computations.
Upon completion of fifteen (15) years of continuous regular service, employees shall receive an additional 2% longevity pay increase.
Effective the pay period that begins August 30, 2025, or the pay period when Council approves the successor MOU in open session, whichever is later, employees shall receive an additional two percent (2.0%) longevity pay increase upon completion of twenty (20) years of continuous regular service.
4. STATE DISABILITY INSURANCE PROPOSAL
New Section
Effective the pay period inclusive of August 30, 2026, the City will provide to represented employees CA SDI and STD Plan Option #9 (30 day EP to dovetail with LTD 90 day EP, 24-hour coverage). To cover the cost of SDI benefits, employees shall contribute 1% of their base salary through payroll deductions.
5. RETIREMENT PROPOSAL
11.04 Retirement
11.04.01 Employees Hired on or Before May 11, 2012 (Tier I) This section 11.04.01 shall apply to employees hired on or before May 11, 2012, who are contributing members of CalPERS.
A. Final Compensation Based on the Single Highest Year.
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19.5 4930-9411-2622 v2
For purposes of determining a retirement benefit, final compensation for employees covered by this section 11.04.01 shall be based on the single highest year.
B. 2.0% @ 55 Pension Formula.
The 2.0%@ 55 pension formula shall be available to all employees covered by this section 11.04.01 who are contributing members of CalPERS. Additionally, the City provides the Pre-Retirement Optional Settlement 2W Death Benefit to employees covered by this section 11.04.01.
C. Required Employee Contribution.
Members covered by this section 11.04.01 will contribute the employee contribution amount established by CalPERS for the 2.0% @ 55 pension formula.
The required contribution amount was 7.0% as of the date of this MOU.
D. Additional Required Employee Contribution.
In addition to the required employee contribution, starting with the pay period beginning on June 22, 2013 members covered by this section 11.04.01 will contribute an additional 4.0% (total 11% as of the date of this MOU).
11.04.02 Employees Hired On or After May 12, 2012 (Tier II) This section 11.04.02 shall apply to employees hired on or after May 12, 2012 and before January 1, 2013 who are contributing members of CalPERS.
A. Final Compensation Based on Three Year Average.
For purposes of determining a retirement benefit, final compensation for employees covered by this section 11.04.02 shall be based on the employee's highest threeyear average.
B. 2.0% @ 60 Pension Formula.
The 2.0% @ 60 pension formula shall be available to all employees covered by this section 11.04.02 who are contributing members of CalPERS. Additionally, the City provides the Pre-Retirement Optional Settlement 2W Death Benefit to employees covered by this section 11.04.02.
C. Required Employee Contribution.
Members covered by this section 11.04.02 will contribute the employee contribution amount established by CalPERS for the 2.0% @ 60 pension formula.
The required contribution amount was 7.0% as of the date of this MOU.
D. Additional Required Employee Contribution.
In addition to the required employee contribution, starting with the pay period beginning on June 22, 2013 members covered by this section 11.04.02 will contribute an additional 4.0% (total 11% as of the date of this MOU).
11.04.03 Employees Hired On or After January l, 2013 (Tier III) Docusign Envelope ID: A92E6E09-14C3-4A90-A8F1-A30C516C6017
19.6 4930-9411-2622 v2
This section 11.04.03 shall apply to employees hired on or after January 1, 2013 who are contributing members of CalPERS.
A. Final Compensation Based on Three Year Average.
For purposes of determining a retirement benefit, final compensation for employees covered by this section 11.04.03 shall be based on the employee's highest three-year average.
B. 2.0% @ 62 Pension Formula.
The 2.0% @ 62 pension formula shall be available to all employees covered by this section 11.04.03 who are contributing new members of CalPERS.
Additionally, the City provides the Pre-Retirement Optional Settlement 2W Death Benefit to employees covered by this section 11.04.03. Employees covered by this section 11.04.03 who are classic members as defined by CalPERS may be eligible for a different pension formula.
C. Required Employee Contribution.
Members covered by this section 11.04.03 will contribute the employee contribution amount established by CalPERS for their pension formula. The required contribution amount for the 2.0% @ 62 was 8.56.75% as of the date of this MOU.
In the event employee contribution rates are adjusted by CalPERS during the term of this MOU, the employee contribution will be recalculated based upon the updated required employee contribution rate established by CalPERS.
D. Additional Required Employee Contribution.
In addition to the required employee contribution, starting with the pay period beginning on June 22, 2013 members covered by this section 11.04.03 will contribute an additional 4.0% (total 12.510.75% as of the date of this MOU).
11.04.04 Retirement. All Employees
The City will maintain the IRS 414(h)(2) provision allowing employees to defer State and Federal income taxes on their CalPERS contributions.
6. HOLIDAYS PROPOSAL
12.01 Fixed Holidays
Employees within the unit shall have the following specific holidays with pay:
Eight (8)Twelve (12) 8 Hour Holidays
New Year’s Day
Martin Luther King’s Birthday
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19.7 4930-9411-2622 v2
Presidents’ Day
César Chavez Day
Memorial Day
Juneteenth
Independence Day
Labor Day
Veterans’ Day
Thanksgiving Day
Friday after Thanksgiving
Christmas Day
Four (4) 4 Hour Holidays
The last four (4) hours of the work shift are Holiday hours for Christmas Eve. (if Christmas is on a Tuesday–Saturday)
The last four (4) hours of the work shift are Holiday hours for New Year’s Eve. (if New Year’s Day is on a Tuesday–Saturday)
Except as provided for on Christmas Eve and New Year’s Eve, when a holiday falls on Sunday, the following Monday shall be observed. When a holiday falls on Saturday, the proceeding Friday shall be observed.
7. PERFORMANCE EVALUATION PROPOSAL
10.02 Performance Evaluations
It is compulsory that all regular employees receive an annual written performance evaluation from their supervisor. Probationary employees will be evaluated at the completion of their third and sixth month of service. For original and re-hire appointments, employees will receive an informal evaluation at their third month of service and a formal written evaluation at six and twelve months of service. All regular employees will be evaluated annually on their merit review date.
Evaluations are intended to be a summary of the employee’s performance over the course of the evaluation period. Evaluations are also to be used as a tool to motivate the employee to work at their highest capacity and to communicate and document the employee’s level of performance. To this end, the supervisor and the employee will meet and discuss work responsibilities, job standards and objectives, review progress and plan for the employee’s future development prior to the evaluation being placed in the employee’s personnel file. Whenever possible, employees will be given their written evaluation five (5) days prior to the performance evaluation meeting.
Any additions, corrections, deletions or changes on the original evaluation form require initialing by both the maker of the amendment and the employee to indicate that the changes have been discussed and understood. No evaluation shall be made on hearsay statements. Employees may also choose to discuss performance evaluations with their department head and/or the Human Resources Director and formally enter a response to the evaluation in their personnel file.
Disputes regarding performance reviews shall not be subject to the grievance process.
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19.8 4930-9411-2622 v2
8. PROBATION PROPOSAL
10.03.01 Probationary Period
All original and re-hire appointments shall be subject to a probationary period of twelve (12) months. Successful completion of the six-month evaluation of an original and rehire appointment qualify for a merit increase. Promotional appointments shall be subject to a probationary period of six (6) months at which they qualify for a merit increase.
Any time spent by an employee on paid or unpaid leave exceeding five (5) consecutive workdays shall not be counted as qualifying service toward completion of the probationary period. If the probationary period is interrupted by paid or unpaid leave or absence of five (5) consecutive workdays or more, the probationary period shall be extended by the duration of such absence, equal to the number of consecutive workdays the employee was on leave. However, paid leave time for vacation, sick time, legally required jury or witness duty, and/or holiday leave shall not extend an employee’s probationary period.
10.03.02 Objective of Probationary Period
The probationary period shall be regarded as part of the selection process and shall be utilized for training the new employee on work assignments and standards, and observing and evaluating the employee’s performance.
10.03.03 Rejection of Probationary Employee
During the probationary period, an employee may be rejected at any time by the appointing authority without the right of appeal. Notification of rejection shall be served to the probationary employee in writing.
Any promoted employee who is rejected during the probationary period shall be reinstated to the position from which promotion occurred; unless the rejection is due to discharge in which case no reinstatement shall occur.
10.03.04 Extension of Probation
All efforts will be made to sufficiently evaluate the probationary employee during the assigned period. An extension of the probationary period may, however, be recommended by the appointing authority and approved by the Human Resources Director when good cause exists.
Such extensions shall be for a specific period of time, not to exceed six (6) months for original hire and re-hire appointments and not to exceed three (3) months for promotional appointments. The employee shall be informed in writing of the reasons for the period of the extension at least seven (7) calendar days prior to the scheduled end of the probationary period.
9. TENTATIVE AGREEMENTS
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19.9 4930-9411-2622 v2
Individual Tentative Agreements: The Parties also mutually agree to incorporate the individual tentative agreements signed by their respective bargaining teams during these negotiations for a successor MOU, pursuant to ground rule 15. All proposals exchanged by the Parties that are not included in a signed tentative agreement are hereby withdrawn.
For the City of Santa Cruz For the Mid-Management Association of the City of Santa Cruz
________________________________
Sara De Leon, Lead Negotiator
Date:
____________________________________
Michael Moore, Lead Negotiator
Date:
________________________________
Timothy L. Davis, Co-Lead Negotiator
Date:
____________________________________
Rome P. Norman, OE3 Vice President
Date:
Docusign Envelope ID: A92E6E09-14C3-4A90-A8F1-A30C516C6017 9/30/2025
9/30/2025
9/30/2025
10/3/2025
19.10 City Council
AGENDA REPORT
DATE: 10/08/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Parks and Recreation
SUBJECT: Funding and Use Agreement to Renovate the Tennis Courts to Pickleball Courts at the University of California, Santa Cruz’s Westside Research Park at 2300 Delaware Avenue (PR)
Location: District 6
RECOMMENDATION: Motion to:
1) Approve and authorize the City Manager to execute a Funding and Use Agreement with the Regents of the University of California, in the form approved by the City Attorney, to allow for the City to renovate and convert the existing tennis courts to pickleball courts at the Westside Research Park owned by the University of California Santa Cruz (UCSC), located at 2300 Delaware Avenue; and to authorize the City Manager to execute contract amendments of a minor and non-substantive nature, with an Informational Report to City Council; and 2) Adopt a finding of categorical exemption pursuant to sections 15301 (Existing Facilities) and 15303 (New Construction or Conversion of Small Structures) of the California Environmental Quality Act (CEQA) Guidelines.
BACKGROUND: The Parks Master Plan 2030 (August 2020) process identified pickleball courts as an emerging need. The growing number of voices requesting more pickleball facilities is not unique to the City and is a pressing topic in the parks and recreation field across the country.
Locating a pickleball court facility within the City’s park system has proven challenging. Parks and Recreation staff have evaluated all City parks to accommodate a permanent facility. The City’s urban park space is developed and cannot accommodate pickleball courts without displacing an existing use. Additionally, the costs for creating a new facility are significantly higher than modifying an existing court facility.
The Parks Master Plan 2030 identifies the following actions:
Goal II, Policy A, Action 2: Explore opportunities for partnerships to use land within or adjacent to the City to help provide facilities to meet unmet needs. Examples include…working with UCSC to provide pickleball striping at the tennis courts at 207 Natural Bridges Drive [2300 Delaware Avenue]...
20.1 Goal III, Policy G, Action 1: Provide activities that improve physical activity and mental health for all ages, abilities, and interests…Identify a location for a pickleball facility with 6 to 10 courts…
Over the past several years, Parks and Recreation staff have been meeting with UCSC staff to discuss a possible agreement. In 2022, a draft agreement was generally agreed upon. On October 10, 2022, the Parks and Recreation Commission reviewed the agreement and unanimously recommended that the City Council approve it. Shortly thereafter, UCSC staff asked Parks and Recreation staff to put the project on hold due to staffing and other resource concerns.
Parks and Recreation staff and UCSC staff recently resumed discussions, and the agreement is now ready for final approval. The proposed Funding and Use Agreement would allow the City to renovate UCSC’s existing two tennis courts to create eight pickleball courts at 2300 Delaware Avenue (Funding and Use Agreement.pdf). UCSC would keep the pickleball courts open for public use.
DISCUSSION: The City presently accommodates shared-use pickleball play by striping pickleball courts on existing facilities. There are presently ten striped, shared-use pickleball courts. One of the courts is striped on the basketball court at the London Nelson Community Center. This court can be reserved. Due to the social element of pickleball, wherein groups of people meet up to play on numerous courts, this location is not used for regular pickleball play.
Additionally, three striped pickleball courts are located at the shared court facility at Mike Fox Park. The courts at Mike Fox Park are not regulation size, and, as a result, the courts are not presently used for pickleball play. The remaining six striped pickleball courts located on two tennis courts at Sgt. Derby Park are the primary location for pickleball play within the City and are heavily used. Parks and Recreation staff have received complaints from adjacent neighbors related to parking and noise.
The shared-use courts create conflicts between user groups and do not satisfy demand. Parks and Recreation staff receive complaints from pickleball players about the inconvenience of having to break down and set up nets to be able to play. Tennis players have let staff know that it is frustrating that certain times are restricted to pickleball play and that courts are used for pickleball outside of those times.
Due to the lack of available park space within the City’s developed parks, the Parks Master Plan 2030 identified other possible locations for joint-use agreements for pickleball court space, including the UCSC tennis courts at 207 Natural Bridges Drive (2300 Delaware Avenue). The proposed agreement would allow for the City to hire and oversee a contractor to perform the renovation and conversion work. The existing tennis courts would be resurfaced, striped, and netted to allow for public pickleball play. The City would also perform minor grounds keeping and maintenance. UCSC would ensure the courts remain open to the general public.
The License Agreement is similar to the shared-use agreement with the School District for the use of Natural Bridges Gym (1989), a project which the City partially funded and that continues to accommodate recreational programming.
To reduce the impact on the tennis community, as well as the Sgt. Derby Park neighbors, Parks and Recreation staff plan to resurface and re-stripe the shared-use courts at Sgt. Derby Park, located approximately ½ mile away, to only allow for tennis play. The City also provides two
20.2 tennis courts at University Terrace Park and two tennis courts at Neary Lagoon Park.
Additionally, UCSC campus courts are available for public tennis use with a membership pass which costs approximately $55 per month.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: The proposed City Council action is categorically exempt under CEQA pursuant to sections 15301 (Existing Facilities) and 15303 (New Construction or Conversion of Small Structures) of CEQA.
The project involves the minor alteration of an existing court facility and involves a negligible expansion of the existing use. Additionally, the project consists of the conversion of the existing surface from tennis to pickleball with only minor modifications to the exterior of the structure.
HEALTH IN ALL POLICIES (HiAP): This effort supports the City’s Health in All Policies framework, including health and wellness, community connectedness, and equity. Pickleball has a low barrier to entry, can be played competitively by a wide range of persons, creates a social networks, and improves the physical and mental health of participants.
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: The proposed agreement allocates $105,000 in City funding for the courts. The FY2026 budget includes $140,000 for c302519, Westside Pickleball Courts. Any unused funds will be returned to the Parks Facilities Tax fund upon project completion. The Parks and Recreation Department will incorporate the minor maintenance duties within the existing operating budget.
Prepared By:
Noah Downing
Park Planner
Submitted By:
Tony Elliot
Parks and Recreation Director
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. FUNDING AND USE AGREEMENT.PDF
2. AERIAL AND PHOTOS.PDF
20.3 1
FUNDING AND USE AGREEMENT BETWEEN
THE REGENTS OF THE UNIVERSITY OF CALIFORNIA
AND
CITY OF SANTA CRUZ
THIS FUNDING AND USE AGREEMENT (“Agreement”) is made and entered into as of the latest signature date below (“Effective Date”) by and between THE REGENTS OF THE UNIVERSITY OF CALIFORNIA, a California public corporation (“University”) and CITY OF SANTA CRUZ (“City”).
University and City are each referred to as a “party” or collectively as the “parties”.
RECITALS
A. WHEREAS, the parties desire to convert certain University tennis courts to pickleball courts (“Court Facility”) and allow public access for pickleball play to the University’s Westside Research Park’s court facility at 2300 Delaware Avenue (“Premises”). A description of the Premises is attached hereto as Exhibit A; B. WHEREAS, the existing tennis courts on the Premises are available to the general public but currently require repairs and maintenance;
C. WHEREAS, the parties recognize the mental and physical health benefits of racquet sports and desire to repair the Court Facility and provide pickleball courts for general public use;
D. WHEREAS, the parties entered into that certain Work Agreement, Number 20220622 (“Work Agreement”) for due diligence for pre-design associated with conversion of the Court Facility. This Work Agreement is attached hereto as Exhibit B;
E. WHEREAS, University has agreed to certain improvements described below (“Improvements”) to the Court Facility, which will be carried out and funded by the City in an amount specified below;
F. WHEREAS, University has agreed to maintain the converted Court Facility and allow general public access to the Court Facility for the period specified herein in return for City funding the Improvements;
G. WHEREAS, the parties desire to memorialize this mutual understanding and agreement to make the converted Court Facility available to the City and the public for pickleball play, and the parties’ respective duties related to the funding and construction of the Improvements;
NOW, THEREFORE, for good and valuable consideration, University and City agree as follows:
1) Court Facility Improvements.
City agrees to fund and carry out the Improvements to convert the Court Facility to a playing condition suitable for pickleball in an amount not to exceed $105,000. Other than providing the funds and hiring a contractor to perform the Improvements, City assumes no legal responsibility for the Court Facility after completion of the Improvements. The Improvements to be performed by the City’s contractor(s) include, but are not limited to, patching and
20.4 2
repairing court surfaces, resurfacing, painting, installing posts and nets, and other general court improvements within the Court Facility.
2) Court Facility Access. University will provide access to the Court Facility primarily for general public use for a period of at least (10) years from the Court Facility Opening Date for Public Pickleball Use, with the exception of private events as may be scheduled through UCSC’s special event permit process. Neither the University nor the City will use the Court Facility for programs and classes.
3) Open Hours. The Court Facility will remain open for public access daily from sunrise to sunset during the year, except for when temporary closures are necessary to address special circumstances such as construction activities or safety concerns; and except for private events as specified in paragraph 2.
4) No Parking Access. The parties understand and agree that there is no University parking access granted, offered, or made available to the City or to the public under this Agreement. 5) Maintenance/Custodial Duties. At its cost, City is responsible for performing routine custodial duties and for maintenance of the Court Facility as necessary to keep the converted Court Facility in a playable condition, including trash pick-up, graffiti abatement, minor crack fixes, minor touch up painting, signage, and the opening and closing of any gate, if locked. 6) Partnership Recognition Signage. City will provide two signs to University to be posted in prominent locations to educate players on the unique collaboration between the City and University regarding the converted Court Facility for pickleball. University will have an opportunity to pre-approve the sign design, size, and content prior to printing and posting. 7) Term and Termination. This Agreement shall commence upon the Effective Date and shall continue for 10 years from the Court Facility Opening Date for Public Pickleball Use (“Term”).
Notwithstanding the foregoing, either party may terminate this Agreement at any time for any reason by giving thirty (30) days' written notice to the other party. In the event University terminates this Agreement for any reason, City will receive a pro-rata refund of the funds expended on the Improvements reflecting the time remaining in the Term. For clarification, if notice of termination by the University is provided, the actual funds expended by City to complete the Improvements will be amortized over every month of the Term and the costs allocated for the period between the date of the notice and the end of the Term will be reimbursed to the City. For the avoidance of doubt, City will not receive a pro-rata refund of the funds if City terminates this Agreement for convenience. 8) Alteration in Writing. This Agreement along with the Work Agreement supersede any and all prior understandings and agreements, whether written or oral, between the parties with respect to the subject matter of this Agreement. No alteration or variation of this Agreement shall be valid unless made in writing and signed by the parties. In the event of any conflict between this Agreement and the Work Agreement, this Agreement shall control.
20.5 3
9) Notice. Any notice required hereunder shall be in writing and shall be addressed as follows:
(a) University:
University of California Santa Cruz
c/o Real Estate Services – PPDO
1156 High Street
Santa Cruz, CA 95064
Attention: Nikki Vamosi, Director, Real Estate and Contract Services (b) City:
City of Santa Cruz
Parks and Recreation Department
323 Church Street
Santa Cruz, CA 95060
Attention: Tony Elliot, Director of Parks and Recreation or to such other address as the parties may indicate in a written notice to the others. All notices and communications given under this Agreement shall be deemed to have been duly given and received: (i) upon personal delivery, or (ii) as of the third business day after mailing by United States certified mail, return receipt requested, postage prepaid, addressed as set forth above, or (iii) the immediately succeeding business day after deposit (for next day delivery) with Federal Express or other similar overnight courier system, or (iv) 24 hours after facsimile or email transmittal with confirmation of receipt and followed by personal delivery, United States mail, or overnight delivery as specified in this Paragraph. 10) Indemnification.
(a) Each party (“Indemnitor”) shall indemnify, defend, and hold harmless the other party, its respective officials, officers, agents and employees (“Indemnitees”), from and against any claims, damages, costs, expenses, or liabilities (collectively “Claims”) which any Indemnitee may sustain or incur, but only in proportion to and to the extent such Claims arise out of or are caused by the acts or omissions, or negligence or willful misconduct of Indemnitor, Indemnitor’s officials, officers, employees, and/or agents in any way connected with their respective obligations under this Agreement including, without limitation, Claims for loss or damage to any property, or for death or injury to any person or persons. (b) Except as stated otherwise under subsection (a), neither party has any duty to indemnify, defend, or hold harmless the other party, its officers, agents, and employees for Claims which arise out of or are caused by the acts or omissions of a third-party not under the control or authority of Indemnitor.
(c) City will require its contractors in its construction contract for the Improvements to indemnify, defend, and hold harmless the University, its officials, officers, agents and employees from and against any claims, damages, costs, expenses, or liabilities to the same extent and under the same terms and conditions as the City requires the contractors to defend, indemnify, and hold the City harmless.
(d) The duty to indemnify and hold harmless includes duties to defend as set forth in Section 2778 of the California Civil Code, except as modified by the terms in this Agreement.
20.6 4
(e) The indemnity obligations in this section 10 shall survive the expiration or termination of this Agreement and are in addition to the indemnification clause in Section 10 of the Work Agreement.
11) Insurance.
(a) City’s contractors and subcontractors performing the Improvements shall be required to meet the insurance requirements stated in Section 10(b) of the Work Agreement, except for the following changes:
(i) Products and-Completed Operations Aggregate shall be two million dollars ($2,000,000);
(ii) General Aggregate shall be two million dollars ($2,000,000); (iii) Professional liability insurance shall not be required; and (iv) City and University shall be named as additional insureds on the Commercial General Liability Insurance policy.
(b) City will not be required to furnish the insurance as stated under Section 10(b) of the Work Agreement.
12) Severability. The unenforceability, invalidity, or illegality of any provision(s) of this Agreement shall not render the other provisions unenforceable, invalid, or illegal. 13) No Agency. The parties shall have no authority, express or implied, to act on behalf of each other in any capacity whatsoever as an agent. The parties shall have no authority, express or implied, pursuant to this Agreement to bind each other to any obligation whatsoever. 14) Contract Interpretation. Each party acknowledges that it has reviewed this Agreement and that both parties have participated in the drafting of this Agreement. Thus, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement. 15) Counterparts. The parties may execute this Agreement in two or more counterparts, which shall, in the aggregate, be deemed an original but all of which, together, shall constitute one and the same instrument. Electronic signatures and fully executed copies of this Agreement are deemed valid as originals.
16) Warranty of Authority. The signatories to this Agreement warrant and represent that each is authorized to execute this Agreement and that their respective signatures serve to legally obligate their respective representatives, agents, successors and assigns to comply with the provisions of this Agreement.
[SIGNATURES ON FOLLOWING PAGE]
20.7 5
IN WITNESS WHEREOF, the parties have executed this Agreement as of the Effective Date.
THE REGENTS OF THE UNIVERSITY CITY OF SANTA CRUZ
By: By: ____________________________
Matt Huffaker
Its: UC Santa Cruz Campus Provost Its: City Manager
And Executive Vice Chancellor
Date: Date: ___________________________
Approved as to Form:
__________________________________
Office of the City Attorney
20.8 6
EXHIBIT A
PREMISES DESCRIPTION
The premises is the court facility located at the University’s Westside Research Park at 2300 Delaware Avenue.
20.9 7
EXHIBIT B
WORK AGREEMENT
20.10 2300 Delaware Ave Courts – Aerial and Photos
Existing
Tennis Courts
20.11 Sgt. Derby Park – Aerial and Photos
Existing
Tennis/Pickleball
Courts
20.12 Brittany Inclan
From: Mark Dettle <[email protected]>
Sent: Monday, October 27, 2025 9:44 AM
To: City Council
Cc: SCPC Board
Subject: Funding and Use Agreement to renovate Tennis Courts to Pickleball Courts Hi Council Person Golder
The Santa Cruz Pickleball Club (SCPC) is very happy to see this project moving forward after many years working with staff.
As you may be aware, the SCPC currently coordinates and facilitates organized public play at St.Derby courts on Wednesday and Sunday mornings from 9:00-12:00. All adults are welcome to play, members of the club or not. We clean the courts, provide balls, a signup board and an orientation for new player and a site coordinator available to respond to any issue. We have been at St. Derby for over 8 years and we are looking forward to moving to this new location.
I wanted to reach out to you and make myself available to answer any questions you may have about Pickleball, SCPC, the current operation at St. Derby or questions about the new location.
We will continue to work with staff to provide input on the design and construction of the new courts to make it a smooth transition.
Thanks for your support of this project.
Mark Dettle
President of Santa Cruz Pickleball Club
(Sent from my iPhone )
20.13 Brittany Inclan
From: Noah Downing
Sent: Monday, October 27, 2025 3:02 PM
To: Brittany Inclan
Cc: City Council
Subject: FW: support for new pickleball courts at UCSC Westside Research AND strong opposition to removal of Derby courts
From: Karen Jackson <[email protected]>
Sent: Sunday, October 26, 2025 5:54 PM
To: Noah Downing <[email protected]>
Subject: Re: support for new pickleball courts at UCSC Westside Research AND strong opposition to removal of Derby courts
****CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe.****
Hi Noah,
I’m writing once again to give my whole hearted support for the development of pickleball courts at the Westside UCSC Research Facility AND to strongly oppose the removal of the six courts at Derby park. A few months ago I was disappointed the much needed proposed courts weren’t approved for Depot Park but I understood the need to respond to the biking community. I hope you now give the pickleball community the same consideration.
Removing the operational heavily-used courts at Derby would negatively impact so many people.
As I said in my previous letter of support for more pickleball courts, I'm a 72 year old resident who plays pickleball regularly at Derby Park, 2-3 times a week. I'm grateful to the Park and Recreation department for providing this opportunity for me to get outside, meet new people and engage in a healthy physical activity. The Derby courts are heavily used, often with wait times. The courts are used from early in the morning until sunset. Pickleball players range in age from youth to older adults. I see families playing together, groups of teens, college students and of course the regular pickleball club members. It must be one of your more heavily used recreation facilities.
Santa Cruz needs another pickleball facility. Demand exceeds supply. Pickleball is the fastest growing sport in America. The courts at Derby are getting more and more crowded as pickleball grows in popularity. The sport is easily accessible to so many people: it's easy to learn, doesn't require a big investment, and is fun for all ages! Two tennis courts would serve far fewer people and see much less usage. I read your report in the agenda package and agree it is difficult to find a space for new courts so giving up operational courts seems counterproductive.
The parking issue has solutions. The pickleball community has actively addressed neighborhood concerns by biking, walking, and parking on Swift Street. Rather than eliminating a highly-valued facility, the city could explore additional parking management strategies. Adding the UCSC facility would also distribute demand across multiple locations.
Community process matters. You cited community input as the reason for preserving Depot Park’s bike facilities.
The Derby pickleball community is substantially larger and equally passionate. Have these regular users been
20.14 formally notified of potential elimination? I’ve seen no posted notices at the courts, yet this decision would impact hundreds of residents who depend on this facility for health, social connection, and quality of life.
Santa Cruz needs both the new UCSC courts AND the existing Derby facility. Please reconsider any plan to reduce pickleball access. The community you serve is asking you to expand recreation opportunities, not eliminate them.
Thank you,
Karen Jackson
Sent from my iPad
On Dec 10, 2024, at 10:18 AM, Noah Downing <[email protected]> wrote:
Dear Pickleball Enthusiasts,
Thank you for providing your written and/or oral comments regarding the Parks and Recreation Department's proposal to convert the bike ramps into pickleball courts at Depot Park. We greatly appreciate your time and input, as it helps our staff assess the key issues and topics affecting the City’s parks system.
During the meeting, it was evident that many community members wish to retain the bike park. In the new year, P&R staff will work with bike park users to enhance the bike park’s design and usability.
Additionally, it is clear that the demand for pickleball continues to grow, and a dedicated facility is needed within the City. Our staff will continue to work on identifying a suitable location.
I will keep your email on file for future updates. Thank you again for your participation.
Thank you,
<image001.png>
Noah Downing
Park Planner
City of Santa Cruz | Parks & Recreation Department
323 Church St., Santa Cruz, CA 95060
Phone: 831-420-5362
Email: [email protected]
Web: www.cityofsantacruz.com
<image002.png>
<image003.png>
<image004.png>
<image005.png>
20.15 Brittany Inclan
From: Noah Downing
Sent: Monday, October 27, 2025 3:03 PM
To: Brittany Inclan
Cc: City Council
Subject: FW: Pickleball v tennis, contd..
FYI.
From: Alan W Ritch <[email protected]>
Sent: Monday, October 27, 2025 1:00 PM
To: Noah Downing <[email protected]>
Cc: Kathy Chetkovich <[email protected]>; Jonathan Franzen <[email protected]>; Thad Nodine <[email protected]>; Shelby Graham <[email protected]>; Michael Weaver <[email protected]>; [email protected]; Cindy Padilla <[email protected]>; Christa Fink <[email protected]>; Jordi Aladro <[email protected]>; Sarah Rabkin <[email protected]>; Philippe Molson <[email protected]> Subject: Pickleball v tennis, contd..
****CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe.****
Dear Noah Downing,
Three years ago, we exchanged emails on the possible but regrettable conversion of the tennis courts near Antonelli Lagoon to the exclusive use of pickle-ball players. Over the years, my alarm gave way to complacency. I and my fellow tennis players assumed either that the conversion project had been abandoned or that we would be alerted if and when the proposal moved forward.
Now, I am shocked to learn that a decision has already been made, without our input, to take away the courts on which I've been playing tennis virtually every day for the past 20 years.
I am so devoted to their care and maintenance that I recently bought a new net for one of the courts and it was installed about a month ago by another equally keen player, Gabriel Padilla. I understand that a new net for the other court has also been purchased by Jon Franzen, also a frequent user of the courts.
We have consistently shared in the courts' maintenance, e.g., by cutting back invasive vegetation on the westside of the courts and by helping the UCSC custodians keep them clean.
I should be pleased to be reassured that an irrevocable decision has yet to be made. But, if my worst fears are realized, I hope that the previous promise of exclusive tennis use at the Derby Park Courts is fulfilled. None of my fellow players prefer the latter courts, and we'd welcome some infrastructural improvements such as resurfacing them to obliterate the confusing pickle-ball lines and plans to cope with their susceptibility to flooding during the rainy season, but we apparently have little choice but to accept this partial compensation for our loss.
Please share with me a time-line for the conversion project and specifically when our exile from the cherished Antonelli courts will be enforced.
20.16 Thanks in advance,
Alan Ritch
20.17 Brittany Inclan
From: Noah Downing
Sent: Monday, October 27, 2025 3:03 PM
To: Brittany Inclan
Cc: City Council
Subject: FW: Pickleball v tennis, contd..
From: Thad Nodine <[email protected]>
Sent: Monday, October 27, 2025 1:18 PM
To: Noah Downing <[email protected]>
Cc: Alan Ritch <[email protected]>; Kathy Chetkovich <[email protected]>; Jonathan Franzen <[email protected]>; Shelby Graham <[email protected]>; Michael Weaver <[email protected]>; [email protected]; Cindy Padilla <[email protected]>; Christa Fink <[email protected]>; Jordi Aladro <[email protected]>; Sarah Rabkin <[email protected]>; Philippe Molson <[email protected]> Subject: Re: Pickleball v tennis, contd..
****CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe.****
Dear Noah,
I’d like to add to Alan’s concerns as expressed below. We tennis players, in theory, currently have access to (or priority at) the Derby courts during some time periods, but it’s impossible to actually kick off the pickle ball players.
1. Upon changing the Antonelli Pond courts to pickle ball, will the city resurface the Derby courts and remove the pickle ball lines? Is that currently in the resolution before the Council?
2. What recourse do we tennis players have when pickle ballers bring their nets and set them up at Derby as well as near Antonelli Pond courts?
Sincerely,
Thad Nodine
…………………………………………...
Thad Nodine, Ph.D.
Writer, Researcher, Novelist
President, Nodine Consulting
831-252-3348
nodine.net
On Oct 27, 2025, at 12:59 PM, Alan W Ritch <[email protected]> wrote:
Dear Noah Downing,
20.18 Three years ago, we exchanged emails on the possible but regrettable conversion of the tennis courts near Antonelli Lagoon to the exclusive use of pickle-ball players. Over the years, my alarm gave way to complacency. I and my fellow tennis players assumed either that the conversion project had been abandoned or that we would be alerted if and when the proposal moved forward.
Now, I am shocked to learn that a decision has already been made, without our input, to take away the courts on which I've been playing tennis virtually every day for the past 20 years.
I am so devoted to their care and maintenance that I recently bought a new net for one of the courts and it was installed about a month ago by another equally keen player, Gabriel Padilla. I understand that a new net for the other court has also been purchased by Jon Franzen, also a frequent user of the courts. We have consistently shared in the courts' maintenance, e.g., by cutting back invasive vegetation on the westside of the courts and by helping the UCSC custodians keep them clean.
I should be pleased to be reassured that an irrevocable decision has yet to be made. But, if my worst fears are realized, I hope that the previous promise of exclusive tennis use at the Derby Park Courts is fulfilled. None of my fellow players prefer the latter courts, and we'd welcome some infrastructural improvements such as resurfacing them to obliterate the confusing pickle-ball lines and plans to cope with their susceptibility to flooding during the rainy season, but we apparently have little choice but to accept this partial compensation for our loss.
Please share with me a time-line for the conversion project and specifically when our exile from the cherished Antonelli courts will be enforced.
Thanks in advance,
Alan Ritch
20.19 City Council
AGENDA REPORT
DATE: 10/08/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Parks and Recreation
SUBJECT: Santa Cruz Wharf Repairs and Recovery - Budget Adjustment (PR) LOCATION: District 4
RECOMMENDATION: Motion to adopt a resolution amending the FY 2026 budget to appropriate $493,003 of funds into the 2025 Santa Cruz Wharf End Interim Repair Project (c302612)
BACKGROUND: The City Council Wharf Subcommittee reviewed five alternatives developed by Moffat & Nichol to address the damaged end of the Wharf. The Subcommittee evaluated each option for cost, structural viability, alignment with the Wharf Master Plan, and flexibility for future reconstruction. After careful review, the Subcommittee recommended moving forward with Alternative #5, which restores the Wharf from Bent 167 to Bent 171 as a practical near-term solution while preserving opportunities for future visioning and potential reconstruction beyond that point.
The 2025 Santa Cruz Wharf End Interim Repair Project (c302612) restores Bent 167 to Bent 171 to pre-collapse condition consistent with current engineering protocols and environmental constraints, while maintaining public access and visual interests including the re-establishment of one sea lion viewing hole. Engineering design for the 2025 Santa Cruz Wharf End Interim Repair Project has been completed with a cost estimate of $1,377,500 and permitting is underway in coordination with state and federal permitting agencies. Plans and specifications can be viewed on the Parks and Recreation Department website at Significant Projects | City of Santa Cruz (Link here:
https://www.cityofsantacruz.com/Home/Components/BusinessDirectory/BusinessDirectory/333/ 4350). Construction is tentatively scheduled to begin in November 2025 with project completion projected for March 2026.
DISCUSSION: The 2025 Santa Cruz Wharf End Interim Repair Project Invitation for Bid (IFB No. Parks and Recreation-0244) resulted in three bid submittals. Jilk Heavy Construction, Inc. had the lowest responsive and responsible bid at $1,357,275. Incorporating a ten percent contingency into the project brings the total project cost estimate to $1,493,003.
A budget adjustment for $493,003 is attached to appropriate additional funding and will increase the existing project budget of $1,000,000 to an updated total budget of $1,493,003.
21.1 CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION:
CEQA provides several statutory and “categorical exemptions” which are applicable to categories of projects and activities that the Lead Agency has determined generally do not pose a risk of significant impacts on the environment. The 2025 Santa Cruz Wharf End Interim Repair Project consists of repairs to the damaged end of the Santa Cruz Municipal Wharf. The project is exempt from CEQA under Public Resources Code Section 21080, subd. (b)(2) relating to emergency repairs to public service facilities necessary to maintain service. CEQA Guidelines Section 15301, Existing Facilities (Class 1 Exemption); Section 15302, Replacement or Reconstruction (Class 2 Exemption); and Section 15303, New Construction or Conversion of New Structures (Class 3 Exemption). The projects involve the repair, maintenance, and minor alteration of an existing facility and consists of replacement and reconstruction of existing structures where the new ones will be located on the same site with the same purpose and no expansion of use. None of the exceptions to exemptions listed in CEQA Guidelines Section 15300.2 apply.
HEALTH IN ALL POLICIES (HiAP): The Santa Cruz Wharf is the longest timber Wharf in the western hemisphere and is a historic asset in the City of Santa Cruz. The Wharf is overseen and managed by the Parks and Recreation Department in close coordination with Public Works, Fire, and Economic Development and Housing. Together, the City not only maintains the Wharf but also activates it through numerous annual events and activities ranging from Woodies on the Wharf to the Tuesday Night Live summer concert series and much more. Beyond these events, the Wharf provides unique recreation opportunities and public access to experience the Monterey Bay National Marine Sanctuary and is home to roughly 20 local businesses. The Parks and Recreation Department’s mission is to “provide quality public spaces and experiences that build a healthy community, foster equity, and better the environment.” Through the implementation of this mission, the Parks and Recreation Department seeks to advance the core pillars of HiAP – health, equity, and sustainability.
FISCAL IMPACT:
1. The recommendation in this report impacts the General Fund: No
2. This recommendation requires a budget adjustment: Yes
3. The recommendation creates an on-going expenditure commitment: No FISCAL IMPACT DESCRIPTION: Projected additional costs associated with the 2025 Santa Cruz Wharf End Interim Repair Project (c302612) are $493,003.
Additional costs will be allocated as follows:
CalOES – Dec 2024 Storm (CDAA-2025-03): $369,752
Insurance Proceeds: $123,251
TOTAL: $493,003
Total project funding is expected as follows:
CalOES – Dec 2024 Storm (CDAA-2025-03): $1,119,752
Insurance Proceeds: $373,251
TOTAL: $1,493,003
21.2 Prepared By:
Lindsay Bass
Principal Management
Analyst
Submitted By:
Tony Elliot
Parks and Recreation Director
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. BUDGET ADJUSTMENT.PDF
21.3 City of Santa Cruz
BUDGET ADJUSTMENT REQUEST
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This BA will increase the 2025 SC Wharf Interim Repair Project (c302612) budget by $493,003 to reflect the bid results of IFB No. Parks and Recreation-0244. The department will resource this increase using disaster reimbursement funds from CDAA-2025-003 and insurance proceeds.
311-30-41-9220-43227 c302612-250-2270-0164 2025 SC Wharf End Interim Repair Project (CalOES) 369,752 311-30-41-9220-46923 c302612-493-5025-0 2025 SC Wharf End Interim Repair Project (Insurance Proceeds) 123,251 493,003
311-30-41-9220-57303 c302612-100-2020-0 2025 SC Wharf End Interim Repair Project (Wharf facilities) 493,003 493,003
0 Lindsay
Bass
Digitally signed
by Lindsay Bass
Date: 2025.09.23
12:34:50 -07'00'
Anthony Elliot
Digitally signed
by Anthony Elliot
Date: 2025.09.23
12:56:35 -07'00'
Digitally signed
by Emily Burton
Date: 2025.09.30
'14:19:27 -07'00
Elizabet
h Cabell
Digitally signed by
Elizabeth Cabell
Date: 2025.10.09
16:10:23 -07'00' 21.4
City Council
AGENDA REPORT
DATE: 10/08/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Parks and Recreation
SUBJECT: Amended and Restated License Agreement for Mercy Housing to Use and Improve the Tot-Lot Area at Beach Flats Park (PR)
Location: District 4
RECOMMENDATION: Motion to:
1) Approve and authorize the City Manager to execute an Amended and Restated License Agreement, in a form approved by the City Attorney, to allow for Mercy Housing to use and improve the tot-lot playground area at Beach Flats Park; and to authorize the City Manager to execute contract amendments of a minor and non-substantive nature, with an Informational Report to City Council; and
2) Adopt a finding of categorical exemption pursuant to sections 15301 (Existing Facilities), 15302 (Replacement or Reconstruction), and 15303 (New Construction or Conversion of Small Structures) of the California Environmental Quality Act (CEQA) Guidelines.
BACKGROUND: In 2001, the City and Mercy Housing entered into a partnership agreement to develop an affordable housing project, a childcare center, and a community center at 131, 133, 135, and 201-405 Leibrandt Avenue.
In 2004, per the original partnership agreement, the City and Mercy Housing entered into a License Agreement to allow for the new childcare center to have exclusive use of the adjacent City-owned playground area at Beach Flats Park during certain hours and specified each party’s responsibility in relation to the license area.
In 2024, Community Bridges received a $3 million grant award through the CAL FIRE Green Schoolyards Grants program to update their Early Education Division childcare outdoor play areas into nature-based learning environments. Community Bridges leases space from Mercy Housing at 135 Leibrandt Avenue for the Nuevo Dia Center. Community Bridges included the City’s tot-lot playground at Beach Flats Park within their grant proposal, and approximately $500,000 of the grant award is available to be used to update the tot-lot playground at Beach Flats Park, as well as some minor improvements to the child-care area.
22.1 The proposed Amended and Restated License Agreement would allow for Community Bridges to renovate the tot-lot playground with part of their grant award (Attachment “Amended and Restated License Agreement.pdf”).
DISCUSSION: Community Bridges received a grant award and requested to improve the tot-lot playground at Beach Flats Park. Community Bridges has performed outreach with Parks and Recreation staff, CAL FIRE, community partners, children, parents of students, volunteers, site supervisors, teachers, and community members to inform the playground design.
The new play area is still in the design stage, but is anticipated to include natural materials and finishes, child-driven play elements, opportunities for learning, and a mix of manufactured and natural playscape. The current concept shows a small gathering area adjacent to a small lawn, a log climber balancing feature surrounded by a trike track, and a nest swing surrounded by plantings (Attachment “Concept Plan for Tot-Lot Playground at Beach Flats Park.pdf”).
The proposed Amended and Restated License Agreement would allow Community Bridges to finalize the designs, receive permits, and hire and oversee the construction of the playground under the CAL FIRE Grant Award. The project is anticipated to be completed by February 27, 2027. As per the intent of the original license agreement for tot-lot playground use, the tot-lot playground would remain closed to the public during child-care hours, but open to the public during non-child-care hours.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: The proposed Council action is categorically exempt under CEQA pursuant to sections 15301 (Existing Facilities, 15302 (Replacement of Reconstruction), and 15303 (New Construction or Conversion of Small Structures) of CEQA. The project involves the minor alteration of an existing playground and involves a negligible expansion of the existing use. Also, the existing playground features will be replaced with new ones that will have substantially the same purpose and capacity. Additionally, the project consists of a limited number of new, small structures.
HEALTH IN ALL POLICIES (HiAP): The project enhances equity by improving the play area for the adjacent child-care center and surrounding neighborhood and promotes health and learning by converting the existing space into a nature-based learning center with opportunities for play and learning. It also enhances environmental stewardship by adding tree canopy and incorporating low-water-use and low-maintenance practices.
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 at this time.
Prepared By:
Noah Downing
Park Planner
Submitted By:
Tony Elliot
Parks and Recreation Director
Approved By:
Matt Huffaker
City Manager
22.2 ATTACHMENTS:
1. AMENDED AND RESTATED LICENSE AGREEMENT.PDF
2. CONCEPT PLAN FOR TOT-LOT PLAYGROUND AT BEACH FLATS PARK.PDF
3. LETTER FROM COMMUNITY BRIDGES.PDF
22.3 Amended and Restated License Agreement 1
AMENDED AND RESTATED LICENSE AGREEMENT
BETWEEN
CITY OF SANTA CRUZ AND MERCY HOUSING CALIFORNIA XV
THIS AMENDED AND RESTATED LICENSE AGREEMENT (“License Agreement”) is made and entered into this 28th day of October, 2025 (“Effective Date”) by and between the City of Santa Cruz, a municipal corporation (“City” or “Licensor”) and Mercy Housing California XV, a California limited partnership (“Mercy” or “Licensee”). Licensor and Licensee may also be identified individually as “Party” or collectively as the “Parties.” I. RECITALS
A. City owns Beach Flats Park, located at 122-124 Raymond Street, Santa Cruz, California, 95060, Assessor Parcel Numbers (“APN”) 007-263-01, 007-263-02 and 007-263-03.
B. A portion of Beach Flats Park includes a tot lot playground for young children (the “Existing Tot Lot Playground”).
C. City and Mercy previously entered into a license agreement whereby City granted Mercy the exclusive right to use the Existing Tot Lot Playground for specified periods (“Original License Agreement”).
D. Community Bridges, a California nonprofit corporation, currently leases from Mercy, a childcare facility (“Childcare Facility”) located at 135 Leibrandt Avenue, Santa Cruz, CA 95060 (“Mercy Lease Agreement”).
E. The Mercy Lease Agreement grants Community Bridges the exclusive use of the Existing Tot Lot Playground during the Childcare Facility’s normal hours of operation or as may be required to obtain State licensing for the Childcare Facility, which is consistent with Mercy’s use of the Existing Tot Lot Playground during the time periods approved by the City.
F. The Original License Agreement contemplates that the Childcare Facility will be operated by a licensed childcare provider and that the licensed childcare provider will utilize the Existing Tot Lot Playground, pursuant to the Mercy Lease Agreement.
G. Community Bridges has received grant funding to demolish and construct a new tot lot (“New Tot Lot Playground”) along with ancillary improvements to replace the Existing Tot Lot Playground located on a portion of City property in Beach Flats Park (both referred to as “Project”).
H. City and Mercy desire to terminate, replace, and supersede the Original License Agreement in its entirety with this Amended and Restated License Agreement for City to continue to grant Mercy a license to use the same portion of Beach Flats Park, and set out Mercy’s duties and responsibilities regarding Mercy’s construction, use, and maintenance of the New Tot Lot Playground, and authorize Mercy to sublicense the Amended and
22.4 Amended and Restated License Agreement 2
Restated License Agreement to Community Bridges to allow use of the New Tot Lot Playground by its Childcare Facility.
NOW, THEREFORE, incorporating the above-stated Recitals, in consideration of the conditions herein contained, and for other good and valuable consideration, the City and Licensee agree as follows:
II. AGREEMENT
1. LICENSE AREA.
a. City grants to Licensee an exclusive license (“License”) for the use of a portion of Beach Flats Park, located on an estimated 2,300 square feet on APNs 007-263-01, 007-263-02 and 007-263-03 of City’s property described and as shown in the attached Exhibit A (the “License Area”), incorporated herein.
b. The License is for the sole purpose of removing the Existing Tot Lot Playground, construction and maintenance of the New Tot Lot Playground, and ancillary improvements, and use of the New Tot Lot Playground (collectively, the “Permitted Use”).
c. For the safety of the community, the Tot Lot Playground will be closed to the public while the improvements are being constructed.
d. Licensee does not hold any ownership or vested property interest in the License Area by virtue of this License. This License Agreement is not a lease but merely entitles Licensee to use the License Area as provided herein.
2. TERM. This License shall commence on the above stated Effective Date and shall expire fifteen (15) years from the Effective Date (“License Term”). At City’s sole discretion and provided that Licensee is in full compliance with the terms of this License Agreement, this License Agreement may be renewed for an additional period of five (5) years upon Licensee providing written notice to the City requesting to exercise the option to extend the License term not less than ninety (90) days prior to the termination of the License Term.
3. TERMINATION.
a. This License Agreement shall automatically terminate thirty (30) days following expiration of the Mercy Lease Agreement. Licensee shall give the City at least thirty (30) days’ written notice prior to expiration of the Mercy Lease Agreement. b. Either Party may terminate this Agreement by providing written notification to the other Party, at least ninety (90) days in advance of the effective date of termination.
City reserves the right to accept ownership of any improvements or may require Licensee to remove any or all improvements prior to termination. All improvements,
22.5 Amended and Restated License Agreement 3
alterations or additions accepted by the City in writing shall become part of the realty and belong to the City.
4. LICENSEE’S AUTHORIZED USE. City and Licensee agree that the purpose of this License is for use of the License Area as follows:
a. To remove the Existing Tot Lot Playground and construct the New Tot Lot Playground and ancillary improvements. All construction work shall be performed on weekdays between the hours of 7:00 AM and 6:00 PM, or as otherwise may be agreed to by City in writing. Licensee may restrict access to the License Area during all construction.
b. For purposes of operating the Childcare Facility on Monday – Friday from 8 a.m. to 4 p.m., excluding public holidays or days in which the Childcare Facility is not open.
Licensee may restrict access to the License Area during the aforementioned times to ensure safe access for participants of the Childcare Facility or during times the New Tot Lot Playground requires maintenance or repair work. c. Licensee acknowledges that the City retains exclusive use of the License Area at all other times, when the Childcare Facility is not open.
5. CONDITION OF LICENSE AREA AS-IS. Licensee acknowledges the uniqueness of the License Area and accepts the current “AS-IS, IN ITS CURRENT CONDITION, WITH ALL FAULTS” condition existing on the date of execution of this License Agreement. Licensee acknowledges Licensee has satisfied itself, by its own independent investigation, that the License Area is suitable for Licensee’s intended use and neither City nor its agents or representatives have made any representation or warranty as to the present or future suitability of the License Area for the Permitted Use by Licensee.
6. LICENSEE OBLIGATIONS. Licensee agrees as follows:
a. To maintain and keep the License Area and its contents in a good, clean, safe, and sanitary condition during the Licensee’s use as set forth herein. b. To comply with all applicable Federal, State, and local laws and regulations, while demolishing the Existing Tot Lot Playground, constructing the New Tot Lot Playground and ancillary improvements, and utilizing the License Area. All New Tot Lot Playground improvements shall comply with playground safety regulations as specified in ASTM F1487 and F2223, or as specified at City’s written direction. c. To remove and dispose of the Existing Tot Lot Playground. d. To obtain City’s written approval of the proposed design for the New Tot Lot Playground and ancillary improvements and materials to be used or installed prior to construction of the New Tot Lot Playground. The New Tot Lot Playground design should be durable, incorporate play elements which will be fun and inviting for
22.6 Amended and Restated License Agreement 4
children under the age of 5 and do not solely rely on programming or supplemental playthings for the intended use, include some affixed play structures, and provide for a variety of play events.
e. To conduct soil testing of the License Area prior to the construction of the Project at Licensee’s sole cost and expense; and share the soil inspection report results with the City in a prompt manner.
f. To obtain all permits or other approvals as may be required for the construction of the Project.
g. To construct, maintain, and repair the License Area as necessary to keep it in a clean, safe, and usable condition during the term of this License Agreement. Licensee will notify City, as soon as reasonably practicable, after Licensee becomes aware of any potentially unsafe condition that may require replacing equipment at the New Tot Lot Playground.
h. To not intentionally or negligently destroy, deface, damage, or impair any part of the License Area. Licensee shall not remove anything from the License Area except as explicitly provided for in this License Agreement.
i. Except in cases of emergency, to provide a minimum of fourteen (14) days written notice prior to closures of the New Tot Lot Playground for maintenance or repairs. j. To unlock and open the New Tot Lot Playground during all days and hours when the New Tot Lot Playground is open for public use. City will provide Licensee with the days and hours the New Tot Lot Playground is to be open for public use. Licensee may install a timed gate lock to facilitate opening the New Tot Lot Playground. k. To lock and secure the New Tot Lot Playground during all days and hours when the New Tot Lot Playground is not open for public use or when the New Tot Lot Playground is closed for maintenance or repair activities. City will provide Licensee with the days and hours the New Tot Lot Playground is closed for public use.
Licensee may install a timed gate lock to facilitate closing the New Tot Lot Playground.
l. To report any incidences occurring when the Childcare Facility is not utilizing the New Tot Lot Playground, such as vandalism, trash, or drug use, and to work with the City Parks and Recreation Department to develop and implement a plan to mitigate these issues, which may include a temporary closure of the New Tot Lot Playground. m. To inspect all facilities and equipment in the New Tot Lot Playground at the beginning of each day that the Childcare Facility is open to determine whether the facilities and equipment are in a safe and usable condition solely for Licensee’s use pursuant to this License Agreement. Should a piece of equipment need repair or a dangerous condition exist in the New Tot Lot Playground, Licensee shall immediately
22.7 Amended and Restated License Agreement 5
notify the City of that fact in writing and prevent children from the Childcare Facility from using that piece of equipment or coming into contact with that condition prior to its repair or replacement which may include a temporary closure of the New Tot Lot Playground.
n. To ensure that following each session of use of the New Tot Lot Playground, the New Tot Lot Playground is returned to substantially the condition existing at the beginning of each session, except for ordinary wear and tear.
o. Conduct periodic playground safety inspections, by a certified playground safety inspector, no less than once a year or within thirty (30) days of a written request by the City.
7. CITY OBLIGATIONS. City agrees as follows:
a. To remediate any potential or actual threats to the environment or public health and safety necessitated by the soil contamination report of the License Area, on the condition that there is sufficient appropriation of funds by the City for the remediation work.
b. To provide access to the License Area throughout the duration of the License Term during the times specified in in Section 4 of this License Agreement. c. To maintain signs at the New Tot Lot Playground informing the public of rules of use and hours that the New Tot Lot Playground is available to the public for children ages 0-5 years old, and indicating that the New Tot Lot Playground is not available for public use during the hours described in Section 4 of this License Agreement. d. To replace the playground equipment as necessary to provide equipment that is in a safe and useable condition.
e. To provide Licensee with the days and hours the New Tot Lot Playground is open and closed for public use.
f. The City may, but shall not be required, to hire a security patrol to periodically confirm that the gate securing the New Tot Lot Playground is locked and that the New Tot Lot Playground is not in use during the days and hours the New Tot Lot Playground is closed to the public.
8. FEES. In consideration of Licensee fully performing its obligations under this License Agreement, the City agrees not to charge a License Fee. The City reserves the right to assess a License Fee consistent with fees charged for use of other City owned property, with at least 30 days’ prior notice to Licensee.
22.8 Amended and Restated License Agreement 6
9. LATE CHARGES AND INTEREST ON UNPAID LICENSE FEES. If any fees are not received by the City when due, Licensee shall pay to the City an additional sum of ten percent (10%) of the overdue License Fee as a late charge, as well as interest at the rate of one-and one-half percent (1 1/2 %) per month, or the maximum rate of interest allowed by law, on the unpaid balance of said rent or sum until paid. The parties agree that said late charges and interest represent a fair and reasonable estimate of the costs that the City will incur by reason of late payment by Licensee. The acceptance by the City of any late charge shall not constitute a waiver of Licensee's default with respect to the overdue amount, nor prevent the City from exercising any of the other rights and remedies available to the City under this License Agreement or as provided by law.
10. CONSTRUCTION.
a. Compliance with All Laws. All contracts for the design, soil inspection, permitting, and construction of the Project shall require compliance with applicable requirements under any federal, state or local law or regulation and all applicable conditions of any funding used for the design or construction of the Project, including but not limited to all applicable prevailing wage and related labor laws under Labor Code section 1710- 1815 and related regulations.
b. Notification. Licensee shall keep City apprised of the construction schedule, status, delays and any disputes potentially affecting the scheduled completion of the Project.
Licensee shall handle any contract dispute with any consultant, contractor or subcontractor under contract with Licensee for the design and/ or construction of the Project.
c. Acceptability of Completed Project. . When Licensor’s authorized representative has made the final inspection and determines that construction of the Project has been completed in all respects in accordance with all specifications and requirements, the authorized representative will recommend that the work be formally accepted.
Acceptance of the work shall not waive Licensor’s rights and remedies related to the Project.
d. Site Conditions and Safety. During the construction or any work relating to this License Agreement, the security and safety of the work area/site and construction materials and equipment will be Licensee’s sole responsibility. Licensee shall at its sole cost and expense, ensure that the work site and staging area is properly maintained as to avoid injury or damage to any person or property in accordance with applicable legal and safety requirements, that all necessary barriers or signage to deter unauthorized entry and to protect the public are in place, such as notifying, warning, and protecting the public of any dangerous conditions on the property related to the Project, installing a secure construction fence, and other reasonable measures, and as further requested by Licensor to protect public health and safety during the course of the work.
22.9 Amended and Restated License Agreement 7
11. INADEQUATE FUNDS OR LOSS OF GRANT FUNDING FOR
CONSTRUCTION.
a. Should Community Bridges fail to obtain or maintain the grant funding necessary to construct the New Tot Lot Playground, the Parties will amend this License Agreement to allow for Licensee’s (and Community Bridges, as a sublicensee) continued use of the Existing Tot Lot Playground in Beach Flats Park for purposes of maintaining the Childcare Facility.
b. Should there be insufficient appropriation of funds for the cost of any required remediation of the License Area by the City, the City reserves the right to terminate or amend this Agreement without penalty or liability.
12. ALTERATIONS. Any alterations, improvements, additions or utility installations in, on, or about the License Area that Licensee shall desire to make will require the written consent of Licensor. Such proposed alterations, improvements, additions or utility installations shall be presented to the Licensor in written form, with proposed detailed plans. If Licensor shall give its consent, the consent shall be deemed conditioned upon Licensee acquiring a permit or other approvals to do so from appropriate governmental agencies, if applicable, the furnishing of a copy thereof to Licensor prior to the commencement of the work, and the compliance by Licensee of all conditions of said permit or other approvals in a prompt and expeditious manner.
13. HAZARDOUS OR TOXIC MATERIALS. Licensee shall comply, at Licensee’s sole expense, with all federal, state, and local statutes or regulations concerning environmental conditions, emissions, pollutants, and controls, except for any soil remediation if required prior to the construction of the Project. Licensee shall not cause, store, use or permit any Hazardous Material (defined to include, but not limited to: (i) any material, substance or waste which is or hereafter shall be listed, regulated or defined by state or federal laws to be hazardous, acutely hazardous, extremely hazardous, radioactive toxic, or dangerous; (ii) asbestos or asbestos-containing materials; (iii) polychlorinated biphenyls (PCBs); (iv) radon gas; (v) laboratory wastes; (vi) experimental products, including genetically engineered microbes; (vii) petroleum, natural gas, or other petroleum product; and (viii) medical waste) to be brought upon, kept or used in or about the License Area by Licensee, its agents, employees, contractors or invites, without the prior written consent of Licensor, which Licensor shall not unreasonably withhold as long as Licensee demonstrates to Licensor’s reasonable satisfaction that such Hazardous Material is necessary or useful to Licensee’s use of the License Area, does not violate any requirements of the Licensor’s policies of fire, causality or public liability insurance and will be used, kept and stored in a manner that complies with all laws regulating any such Hazardous Material so brought upon or used or kept in or about the License Area.
If Licensee breaches any of its obligation stated herein, or if the presence of Hazardous Material on the License Area caused or permitted by Licensee results in contamination of the License Area, then Licensee shall indemnify, defend and hold Licensor harmless from any and all claims, judgment, damages, penalties, fines, costs, liabilities or losses,
22.10 Amended and Restated License Agreement 8
including, without limitation, diminution in value of the License Area, damages for the loss or restriction on use or marketing of rentable or usable space of the License Area, and sums paid in settlement of claims, attorneys' fees, consultant fees and expert fees which arise during or after the License term as a result of such contamination. Without limiting the foregoing, if the presence of any Hazardous Material on the License Area caused or permitted by Licensee results in any contamination of the License Area, Licensee shall promptly take all actions at its sole expense as are necessary to return the License Area to the condition existing prior to the introduction of any such Hazardous Material to the License Area; provided that Licensor’s approval of such actions shall first be obtained, which approval shall not be unreasonably withheld so long as such actions would not potentially have any material adverse long-term or short-term effect on the License Area.
14. INDEMNIFICATION. Licensee agrees, to the fullest extent permitted by law, to indemnify, defend, and hold harmless the City, its officials, officers, employees, agents, and volunteers (collectively, “Indemnitees”) from and against any and all liability, claim, action, loss, injury, damage, judgment, or expense, including attorneys’ fees and costs (“Losses”) which arise from or are in any manner related to its obligations, entry on, occupancy, and/or use of the License Area under this License Agreement (including, but not limited to any improvements or personal property located therein) by Licensee, its officers, directors, employees, agents, representatives, invitees, customers, contractors, subcontractors, suppliers, or others acting on Licensee’s behalf or under Licensee’s authority or control. Licensee’s duty to indemnify and hold harmless Indemnitees shall not apply to the extent such Losses are caused by the sole or active negligence or willful misconduct of Indemnitees. Licensee’s obligation to defend shall arise regardless of any claim or assertion that Indemnitees caused or contributed to the Losses. This Section 14 shall survive the expiration or early termination of this License Agreement.
15. INSURANCE.
a. Prior to the beginning of the License Agreement, Licensee will maintain and comply with the Insurance Requirements as set forth in Exhibit B. The insurance coverages required shall not in any way limit the liability of the Licensee. The coverage requirements may be satisfied by self-insurance or pooled risk plans that provide comparable coverage.
b. Licensee agrees that if Licensee does not maintain any insurance policy required under this License Agreement or fails to pay any premiums when due, the City may, at its election, either terminate this License Agreement, require that the Licensee immediately cease use of the License Area pending reinstatement of insurance by Licensee.
16. CONTRACTOR INSURANCE AND INDEMNIFICATION.
22.11 Amended and Restated License Agreement 9
a. Licensee shall provide the City an opportunity to review and approve all contractor and subcontractor agreements (collectively, “Contractor”) relating to the construction of the Project . Licensee agrees to require its Contractor to maintain the type and amount of insurance coverage similar to that provided in Exhibit B and to name the City of Santa Cruz, and its respective officials, officers, directors, and employees as additional insureds on such policies.
b. Licensee shall require payment and performance bonds for all contracts for construction of the Project in accordance with applicable law, regulations and/ or funding conditions. All payment and performance bonds and any warranties required for the construction of the Project shall name Mercy and the City as co-obligees. No bonds are required for minor projects under $25,000, and as defined by City ordinance.
c. All Contractor agreements shall require that all subcontractors of the Contractor shall be subject to the same insurance and indemnity requirements as that required of the Contractor.
d. Licensee shall require its Contractor to execute the Contractor Indemnification & Insurance Agreement, attached hereto as Exhibit C, to verify its Contractor’s compliance with these indemnification and insurance requirements. Licensee shall provide notice to City listing the names of its Contractor a minimum of 10 days prior to Contractor’s work in the License Area.
e. Upon Licensee’s written request, the City may, in consultation with the City Risk Manager, waive or modify the above Contractor insurance and/or indemnification requirements. All modifications shall be documented in writing.
17. REPAIR AND RESTORATION. If Licensee, its agents or contractors cause any damage to the License Area, or to Licensor’s roads, infrastructure or other property and improvements in connection with the exercise of this License, Licensee shall repair and restore the damaged property to its condition prior to the damage. Licensee shall perform the repair and restoration required hereunder prior to the expiration of this License, or within ten (10) days of the earlier termination of Licensee’s rights hereunder. In the event that repair and restoration is performed following the termination this License, Licensee’s Indemnity and Insurance obligations in this License Agreement shall continue until repair and restoration is completed as provided herein. Licensor shall have the right (but not the obligation) to make such repairs or replacements which are Licensee’s responsibility under this License Agreement without liability to Licensee for any loss or damage that may occur to Licensee’s business, and Licensee shall pay for all costs and expenses incurred by Licensor in making such repairs and/or replacements, plus an administrative overhead fee of ten percent (10%) from the date of commencement of the work through the date of payment.
18. POSSESSORY INTEREST TAXES. Pursuant to the provisions of Revenue and Taxation Code Section 107.6, Licensee is hereby advised that the terms of this License
22.12 Amended and Restated License Agreement 10
Agreement may result in the creation of a possessory interest. Licensee shall pay before delinquency all possessory interest taxes, assessments, license fees, and other charges that are levied and assessed against such interest. “Possessory Interest Tax” means that tax imposed pursuant to laws of the State of California on the exclusive use of tax exempt property and does not include taxes on Licensee’s inventory, personal, or any other tax or assessment that is presently or may, in the future be levied. On demand by City, Licensee shall furnish City with satisfactory evidence of these payments.
19. INSPECTION. The City, and the City’s agents and employees shall have the right to enter the License Area at any time to inspect the same, to see that Licensee is performing its obligations under this License Agreement, that no damage has been or is done to the License Area, and to protect any and all rights of City, to post such reasonable notices as City may desire as to protect the rights of the City, or in the interest of public health, safety, and welfare.
20. CITY AUTHORITY. The City shall at all times retain exclusive final authority over the use of the License Area and the use of the adjacent public right-of-way, including the use of fixtures thereon. The City shall have the right to promulgate and enforce any and all ordinances, rules and regulations, and to take action authorized by its police power, as the City, in its sole discretion, deems necessary to advance the public’s health, safety and welfare.
21. RIGHT TO ENTRY FOR ALTERATIONS AND REPAIRS. It is agreed that the City has reserved and shall at all times have the right to alter, repair, and improve the nonexclusive areas which may affect the License Area. Licensee also waives any claims for damages against the City by reason of the City’s entry into or onto the License Area for the purpose of making repairs to the License Area or to any other area. City agrees to give Licensee reasonable notice of intention to make repairs, except in situations involving immediate peril and hazard to the public, when such entry shall be made summarily by the City. The City shall be the sole and exclusive judge as to what constitutes immediate peril and hazard to the public.
22. AMERICANS WITH DISABILITIES ACT. Throughout the term of the License Agreement, Licensee acknowledges and expressly accepts full responsibility and shall incur all costs and expenses for compliance with the requirements of the Americans with Disabilities Act (ADA) and any other applicable laws or regulations regarding the accessibility of the License Area (and the improvements located or to be located thereon) by disabled individuals. Licensee agrees to indemnify, defend, and hold harmless City (and its officials, officers, employees, agents, volunteers) from and against any claim, loss, expense or liability arising from Licensee’s failure to fully comply with such laws or regulations.
23. COMPLIANCE WITH LAWS. All activities of Licensee, its employees, and/or agents will be carried out in compliance with all applicable federal, state, and local laws and regulations.
22.13 Amended and Restated License Agreement 11
24. BUSINESS LICENSE. Licensee agrees to provide proof of a current City of Santa Cruz Business Tax Certificate. For additional information and licensing requirements, view the City’s Business Licenses and Permits webpage or call the Revenue and Taxation division at 831/420-5070.
25. CONFLICTS OF INTEREST. Licensee acknowledges and agrees to comply with applicable provisions of conflict of interest laws and regulations, including the CA Political Reform Act (Gov’t. Code §§1090, 87100), Levine Act (Gov’t. Code §84308), and the City’s conflict of interest code, and make any necessary disclosures.
26. SUBLICENSE.
a. Licensee may grant a sublicense of this License Agreement to Community Bridges (“Sublicense Agreement”). The Sublicense Agreement shall be in writing and shall require compliance with all provisions of this License Agreement and be only in effect during the term of this License Agreement. The Sublicense Agreement shall require Community Bridges maintain and comply with the Insurance Requirements as set forth in Section 15 and Exhibit B of this License Agreement, and shall require Community Bridges to defend, indemnify, and hold harmless the City and City related parties to the same extent and under the same terms and conditions as Licensee is required to defend, indemnify, and hold harmless the City and City related parties herein.
b. Licensee shall obtain City’s written approval of the form of the Sublicense Agreement prior to the effective date of the Sublicense Agreement. c. Licensee shall be responsible for ensuring Community Bridge’s compliance with all terms and conditions of the Sublicense Agreement.
27. ASSIGNMENT PROHIBITED. Licensee shall not, either voluntarily or involuntarily, assign or encumber its interests in this License Agreement or allow any other person or entity (except Licensee's authorized representatives) to operate under the terms of this License Agreement without the prior written approval and consent of the City. Any such assignment without prior written approval of the City shall be null and void.
28. WAIVERS. Any subsequent acceptance of License Fees hereunder by City shall not be deemed a waiver of any preceding breach of any obligation hereunder by Licensee other than the failure to pay the particular License Fees so accepted; and the waiver of any breach of any covenant or condition by City herein shall not constitute a waiver of any other breach regardless of knowledge thereof. Any waiver by City of any breach must be in writing.
29. FORCE MAJEURE. Neither party hereto shall be considered in default in the performance of its obligation hereunder to the extent that the performance of its obligation hereunder is prevented or delayed due to an act of God, natural disaster, pandemic, acts of terrorism, war, a strike, lockout or other labor difficulty, or other peril,
22.14 Amended and Restated License Agreement 12
which is beyond the reasonable control of the affected party and not caused by the fault or negligence of the party obligated to perform under this License Agreement. If the License Area is damaged in part or as a whole during the license term thus necessitating repairs or otherwise restricting the use of the License Area by Licensee, City may in its sole discretion reduce or excuse payment of any applicable fees up to the period that the use of the License Area is restricted solely due to the above stated causes.
30. CITY OF SANTA CRUZ AS LICENSOR. Licensee acknowledges and understands that the City as Licensor is a municipality consisting of numerous offices, departments, agencies, and districts. Whenever a provision contained in this License Agreement or any extension, modification, or amendment requires the “written consent” of the City, such consent must be obtained from the then City Manager or Director of Parks and Recreation for the City of Santa Cruz, or their respective designee. Licensee may not rely on any statement or representation by any other employee, agent, or representative of City in obtaining such consent, and any such statement or representation other than the express written consent of the City Manager or Director of Parks and Recreation, or their respective designee, shall be null and void and have no effect. Nothing contained in this Section shall limit in any way the authority of any office, department, agency, or district of the City or County of Santa Cruz, California from approving or withholding consent to any event or activity regulated by local law.
31. NO REPRESENTATIONS, INDUCEMENTS, OR ASSURANCES. Licensee acknowledges that this License Agreement does not create any expectation relating to any pending or future approval of Licensee’s application to construct the New Tot Lot Playground. Licensee further acknowledges that no representations, inducements, or assurances have been made by the City, its officials, officers, or employees, directly or indirectly, relating to Licensee’s pending or any future application for the construction of the New Tot Lot Playground.
32. PREVAILING WAGE. To the extent that the work to be performed under this License Agreement may be considered a “public work” (construction, alteration, demolition, or repair work) pursuant and subject to Labor Code section 1720 et seq., Licensee (and any subconsultant performing the work or services) shall conform to any and all prevailing wage requirements applicable to such work under this License Agreement. Licensee (and any subconsultant) shall adhere to the prevailing wage determinations made by the Director of Industrial Relations (DIR) pursuant to California Labor Code Part 7, Chapter 1, Article 2, applicable to the work, if any. All workers employed in the execution of a public works contract (as such term is defined California Labor Code section 1720 et seq. and section 1782(d)(1)) must be paid not less than the specified prevailing wage rates for the type of work performed. (CA Labor Code sections 1720, 1774 and 1782.)
33. MISCELLANEOUS.
a. This License Agreement, along with any attachments, is the full and complete integration of the Parties’ agreement with respect to the matters addressed herein, and
22.15 Amended and Restated License Agreement 13
this License Agreement supersedes any previous written or oral agreements between the Parties with respect to the matters addressed herein. b. If Licensee is comprised of more than one individual or entity, Licensee’s obligations and liabilities may be enforced against each of them, personally, jointly, and/or severally.
c. Except as the City may specify in writing, Licensee shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Licensee shall have no authority, express or implied, pursuant to this License Agreement to bind the City to any obligation whatsoever.
d. This License Agreement shall be construed and interpreted in accordance with the laws of the State of California.
e. The unenforceability, invalidity, or illegality of any provision(s) of this License Agreement shall not render the other provisions unenforceable, invalid, or illegal. f. This License Agreement may only be amended in writing as agreed to by both Parties.
g. Each party acknowledges that it has reviewed this License Agreement and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this License Agreement.
h. The Parties may execute this License Agreement in two or more counterparts, which shall, in the aggregate, be deemed an original but all of which, together, shall constitute one and the same instrument. Electronic signatures and fully executed copies of this License Agreement are deemed valid as originals. i. The signatories to this License Agreement warrant and represent that each is authorized to execute this License Agreement and that their respective signatures serve to legally obligate their respective representatives, agents, successors and assigns to comply with the provisions of this License Agreement.
34. NOTICES. If either party shall desire or is required to give notice to the other such notice shall be given in writing, via email and concurrently delivered by: (a) personal delivery, in which case notice is effective upon delivery; (b) overnight courier (i.e., Federal Express) with charges prepaid or charged to the sender’s account, in which case notice is effective when delivered; (c) priority U.S. Mail, in which case notice shall be deemed delivered on the fifth business day after the deposit thereof with the U.S. Postal Service. Notices shall be addressed to recipient as follows:
22.16 Amended and Restated License Agreement 14
To CITY:
City of Santa Cruz
Mike Godsy
Superintendent of Parks
323 Church Street
Santa Cruz, CA 95060
[email protected]
To LICENSEE:
Mercy Housing California XV
c/o Mercy Housing California
1256 Market Street
San Francisco, CA 94102
Attention: Asset Manager
With a copy to:
Mercy Housing, Inc.
1600 Broadway, Suite 2000
Denver, CO 80202
Attention: General Counsel
Changes to the above information shall be given to the other party in writing ten (10) business days before the change is effective.
[SIGNATURES ON FOLLOWING PAGE]
22.17 Amended and Restated License Agreement 15
IN WITNESS WHEREOF, the parties hereto have executed this License Agreement the day and year first herein written.
CITY OF SANTA CRUZ,
a municipal corporation:
By____________________________
Matt Huffaker
City Manager
Date__________________________
APPROVED AS TO FORM
________________________________
Office of the City Attorney
Date__________________________
MERCY HOUSING CALIFORNIA XV,
a California Limited Partnership:
By: MERCY HOUSING WEST,
a California nonprofit public benefit
corporation
Its: General Partner
By: ________________________________
Tiffany Bohee, President
Date________________________________
By:_________________________________
Joe Rosenblum, Secretary (OR Chad Payne,
Chief Financial Officer)
Date________________________________
22.18 Amended and Restated License Agreement 16
Exhibit A
LICENSE AREA
22.19 Amended and Restated License Agreement 17
Exhibit B
CITY OF SANTA CRUZ INSURANCE REQUIREMENTS
Licensee shall procure and maintain for the duration of the License Agreement, insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the obligations thereunder by Licensee, Licensee’s respective employees, subcontractor(s), agents, representatives, or volunteers.
A. CERTIFICATE REQUIREMENTS
The City will be issued a Certificate of Insurance (a Memorandum of Understanding will not be accepted) with the following minimum requirements:
• Certificate(s) will show current policy number(s) and effective dates, • Coverage and policy limits will meet, or exceed, requirements below, • The Certificate Holder will be City of Santa Cruz, Risk Management, 1200 Pacific Ave., Suite 290, Santa Cruz, CA 95060,
• Certificate will be signed by an authorized representative, • An endorsement, if required below, will be provided to show the City, its officers, officials, employees, and volunteers as additional insureds, and
• Coverages must be maintained during the term of the Agreement with the City, unless a longer duration is required as specified below.
B. MINIMUM SCOPE AND LIMITS OF INSURANCE
Licensee acknowledges that the insurance coverage and policy limits set forth in this section constitute the minimum amount of coverage required. If Licensee maintains broader insurance coverage and/or higher limits than the minimums shown below, the City of Santa Cruz requires and shall be entitled to the broader insurance coverage and/or higher limits maintained by Licensee. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City of Santa Cruz.
Coverage will be at least as broad as:
• COMMERCIAL GENERAL LIABILITY (CGL): $2,000,000 PER OCCURRENCE; $2,000,000 AGGREGATE Proof of coverage for $2 Million per occurrence and $2 Million in the aggregate including products and completed operations, property damage, bodily injury, personal and advertising injury will be provided on Insurance Services Office (ISO) Form CG 00 01 covering CGL. • WORKERS’ COMPENSATION AS REQUIRED BY THE STATE OF CALIFORNIA, WITH STATUTORY LIMITS, AND EMPLOYER’S LIABILITY INSURANCE: $1,000,000 per accident for bodily injury or disease.
The Worker’s Compensation policy must be endorsed with a waiver of subrogation in favor of the City for all work performed by the Licensee and its employees. • AUTOMOBILE LIABILITY: Licensee shall procure automobile insurance on an “Any Auto” Basis: ISO Form Number CA 00 01 covering any auto (Code 1), or if Licensee has no owned autos, hired, (Code 8) and non-owned autos (Code 9), with limit no less than $1,000,000 combined single limit each occurrence/per accident for bodily injury and property damage.
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• BUILDER’S RISK (Course of Construction) insurance utilizing an “All Risk” (Special Perils) coverage form, with limits equal to the completed value of the construction project and no coinsurance penalty provisions. Contractor may submit evidence of Builder’s Risk insurance in the form of Course of Construction coverage Such coverage shall name the City as an additional loss payee. If the construction does not involve new or major reconstruction, at the option of the City, an Installation Floater may be acceptable. For such construction projects, a Property Installation Floater shall be obtained that provides for the improvement, remodel, modification, alteration, conversion or adjustment to existing buildings, structures, processes, machinery and equipment. The Property Installation Floater shall provide property damage coverage for any building, structure, machinery or equipment damaged, impaired, broken, or destroyed during the performance of the work, including during transit, installation, and testing at the License Area. • CONTRACTORS’ POLLUTION LIABILITY and/or ASBESTOS POLLUTION LIABILITY (CPL) (if project involves environmental hazards) with limits no less than $2,000,000 per occurrence or claim, and $2,000,000 policy aggregate.
1. If the services involve lead-based paint or asbestos identification / remediation, the Pollution Liability shall not contain lead-based paint or asbestos exclusions. If the services involve mold identification / remediation, the Pollution Liability shall not contain a mold exclusion and the definition of “Pollution” shall include microbial matter including mold.
2. The Automobile Liability policy shall be endorsed to include Transportation Pollution Liability insurance, covering hazardous materials to be transported by Consultant pursuant to the Agreement. This coverage may also be provided on the Consultant’s Pollution Liability policy.
C. OTHER INSURANCE PROVISIONS
The insurance policies are to comply with the following provisions:
1. ADDITIONAL INSURED STATUS
The City, its officers, officials, employees, agents, and volunteers are to be covered as additional insureds on the CGL and automobile policies with respect to liability arising out of work or operations performed by or on behalf of Licensee including materials, parts, or equipment furnished in connection with such work or operations, products and completed operations. Commercial General Liability coverage will be provided in the form of an endorsement to Licensee’s insurance at least as broad as ISO Form CG 20 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 License Agreement, Licensee’s and all subcontractor’s insurance coverage will be primary and non-contributory as respects the City, its officers, officials, employees, agents, and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, agents, or volunteers will be excess of Licensee’s and all subcontractor’s insurance and will not contribute with it.
3. NOTICE OF CANCELLATION
Each insurance policy required above shall state that the coverage shall not be canceled, except with notice to the City.
4. WAIVER OF SUBROGATION
Licensee hereby grants to the City a waiver of any right to subrogation, except as otherwise not applicable, which any insurer of said Licensee may acquire against the City by virtue of the payment of any loss, including attorney’s fees under such insurance. Licensee agrees to obtain any endorsement that may be necessary to effectuate this waiver of subrogation, but this provision
22.21 Amended and Restated License Agreement 19
applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer.
5. EXCESS LIABILITY/UMBRELLA INSURANCE POLICIES
Licensee may use excess liability/umbrella policies to meet the required liability limits on the condition that they provide all of the insurance coverages required herein, including, but not limited to, primary and non-contributory, additional insured, Self-Insured Retentions (SIRs), indemnity, and defense requirements. The excess liability/umbrella insurance policies shall be provided on a true “following form” or broader coverage basis, with coverage at least as broad as provided on the underlying CGL insurance. No insurance policies maintained by the additional insureds, whether primary or excess, and which also apply to a loss covered hereunder, shall be called upon to contribute to a loss until the Licensee’s primary and excess liability policies are exhausted.
6. DURATION OF COVERAGE
CGL & Excess Liability/Umbrella policies for any construction related work, including, but not limited to, maintenance, service, or repair work, shall continue coverage for a minimum of 5 years for completed operations liability coverage. Such Insurance must be maintained, and evidence of insurance must be provided, for at least five (5) years after completion of the contract of work.
7. SELF-INSURED RETENTIONS (SIR)
Self-insured retentions must be declared to and approved by the City. City may require Licensee to purchase coverage with a lower retention or provide proof of ability to pay losses and related expenses. 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.
8. ACCEPTABILITY OF INSURERS
Insurance is to be placed with insurers with a current A.M. Best’s rating of no less than A: VII, unless otherwise acceptable to the City.
9. VERIFICATION OF COVERAGE
Licensee will 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 (and any Excess Liability/Umbrella policies, as applicable) listing all policy endorsements to be approved by the City. However, failure to obtain the required documents prior to the term of the License Agreement will not waive the Licensee’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.
10. SUBCONTRACTORS
Licensee shall include their subcontractor(s) as additional insured(s) under the policies or shall furnish separate certificates and endorsements for each contractor and subcontractor. Licensee shall require and verify that all contractors and subcontractors maintain insurance meeting all the requirements stated herein, and Licensee shall ensure that City, its officers, officials, employees, agents, and volunteers are named as additional insureds on insurance required from its contractor(s) and subcontractor(s).
22.22 Amended and Restated License Agreement 20
11. SPECIAL RISKS/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 and provide 90 days prior written notice to Licensee.
22.23 Amended and Restated License Agreement 21
EXHIBIT C
CONTRACTOR INDEMNIFICATION & INSURANCE AGREEMENT
This Contractor Indemnification & Insurance Agreement (“Contractor Indemnification Agreement”) is entered into this day of ____ , 20__, by _____________________ (“Contractor”) and the City of Santa Cruz (the “City”). Each are individually referred to as a “Party” or collectively as the “Parties”.
RECITALS
WHEREAS, Mercy Housing California XV (“Mercy”) entered into the Amended and Restated License Agreement (“License Agreement”) with the City related to the demolition of an existing tot lot playground within Beach Flats Park, and the construction and maintenance of a new tot lot playground (“Project”) and to perform the public improvements and maintenance (“Work”) as described the attached License Agreement, which is incorporated as Exhibit A hereto;
WHEREAS, the License Agreement permits Mercy to sublicense the License Agreement to Community Bridges;
WHEREAS, Contractor has entered into a separate agreement with Mercy or Community Bridges to perform the Work necessary for the Project;
WHEREAS, as required by the License Agreement, Contractor is required to indemnify the City, and also provide insurance for claims arising from the Contractor’s work in performing any portion of the Project described in the License Agreement;
NOW, THEREFORE, the Parties agree as follows:
1. Indemnification. Contractor agrees to indemnify, defend, and hold harmless the City, its officials, officers, employees, and agents in the same manner as Mercy, as described in Section 14 of the License Agreement as follows:
Contractor agrees, to the fullest extent permitted by law, to indemnify, defend, and hold harmless the City, its officials, officers, employees, agents, and volunteers (collectively, “Indemnitees”) from and against any and all liability, claim, action, loss, injury, damage, judgment, or expense, including attorneys’ fees and costs (“Losses”) which arise from or are in any manner related to its obligations, entry on, Work within, occupancy, and/or use of the License Area as defined in and pursuant to the License Agreement (including, but not limited to any improvements or personal property located therein) by Contractor, its officers, directors, employees, agents, representatives, invitees, customers, contractors, subcontractors, suppliers, trespassers, or others acting on Contractor’s behalf or under Contractor’s authority or control. Contractor’s duty to indemnify and hold harmless Indemnitees shall not apply to the extent such Losses are caused by the sole or active negligence or willful misconduct of Indemnitees. Contractor’s obligation to defend shall arise regardless of
22.24 Amended and Restated License Agreement 22
any claim or assertion that Indemnitees caused or contributed to the Losses. This Section shall survive the expiration or early termination of this License Agreement or Contractor’s agreement to perform the Work.
2. Insurance. Contractor agrees to provide the insurance as required in Section 15 and Exhibit B of the License Agreement.
3. Miscellaneous.
a. Each party acknowledges that it has reviewed this Contractor Indemnification Agreement and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Contractor Indemnification Agreement. b. The unenforceability, invalidity or illegality of any provision(s) of this Contractor Indemnification Agreement shall not render the other provisions unenforceable, invalid or illegal.
c. The Parties may execute this Contractor Indemnification Agreement in two or more counterparts, which shall, in the aggregate, be deemed an original but all of which, together, shall constitute one and the same instrument. A scanned, electronic, facsimile or other copy of a party’s signature shall be accepted and valid as an original.
d. The signatories to this Contractor Indemnification Agreement warrant and represent that each is authorized to execute this Contractor Indemnification Agreement and that their respective signatures serve to legally obligate their respective representatives, agents, successors and assigns to comply with the provisions of this Agreement.
[SIGNATURE ON FOLLOWING PAGE]
22.25 Amended and Restated License Agreement 23
IN WITNESS WHEREOF, the Parties have executed this Contractor Indemnification Agreement the date and year first above written.
CITY OF SANTA CRUZ CONTRACTOR1
By:___________________________ By:______________________________ Name:_________________________ Name:___________________________ Its:____________________________ Its:______________________________ APPROVED AS TO FORM:
_____________________________
Office of the City Attorney
1 Signature Requirements for Business Entity:
a. Corporation – 2 officer signatures required (one from each group, unless person signing holds officer positions in both Group 1 and 2):
Group 1: Chief Executive Officer, Chairman of the Board, President, or Vice President Group 2: Secretary, Assistant Secretary, Chief Financial Officer, Treasurer, Assistant Treasurer b. Partnership - Signature of General Partner, or signature of partner who is authorized to execute documents per the Certificate of Partnership. If authorized partner is a corporation, follow Corporation signature requirement. c. LLC- For a member-managed LLC, signature of any member. For a manager-managed LLC, signature of the manager. If the LLC has corporate officer designations, follow Corporation signature requirement.
22.26 NRO911
18-6-2025 AS-BUILTS
29-05-2025 AS-BUILTS
F 5 1 0 . 4 5 0 . 9 0 9 1
CLA 3490
T 5 1 0 . 9 1 4 . 5 8 2 2
Highlands Center
Nuevo Dia Center
Redwood Mountain Center
Sycamore Street Center
Vista Verde Center
Fairgrounds Center
restoring land, culture, and community
Jeni Webber + Associates
LOWELL
11432
LINCOLN
11431
GIANNINI
August 19, 2025
Date
Renewal Date
Signature
#3490
RE
BB
I WE
NEJ
T CETI HCRA
PE
LANDSCA
DERETSI GER
I
AI N R F O
L I
F C A
O E T AT S
11425
OF SHEETS
Date No. Revisions
DRAFTER CHECKED BY
S.F.U.S.D. PROJECT NO.
DATE:
SCALE:
SHEET NO. JOB NO.
SITE NO.:
Landscape Architect
Address
10-06-2025
1743 ACATRAZ AVE,OAKLAND CA 94703
03 405
1/8" = 1'-0"
JW
Nuevo Dia Center
135 Leibrandt Ave
Santa Cruz,CA 95060
Nuevo Dia Center
Green Schoolyards
03 06
UZ
SCALE 1":8'-0"
0 1 2 4 6 8 16
LAN-1.1
SITE PLAN &
MATERIALS-AREA sqft
SITE PLAN & MATERIALS - AREA sqft
SCALE: 1/8" = 1'-0"
Area = 148
Length = 49'9-3/4"
Area = 556.14572
Area = 148.17543
(+/- 2e-05) square feet
Length = 14'8"
Area = 556.14572
(+/- 9.5e-05) square feet
Length = 47'6-1/4"
Area = 3089.39165
(+/- 1e-06) square feet
Length = 27'7-1/2"
Area = 50.482342 + 39.159714 = 89.642056
(+/- 1e-08) square feet
Area =101.7
Length = 26'7"
Area = 423.75
Length = 101'8-1/2"
Area = 18.4718107
(+/- 1e-08) square feet
Area = 403.69835
(+/- 0.00013) square feet
Length = 22'2-3/4"
Length = 7'10-1/4"
Area = 36.9955812
(+/- 1e-08) square feet
Area = 528.591446
Area = 528.591446
(+/- 3.6e-05) square feet
Area = 3089.39165
(+/- 1e-06) square feet
Length = 42'-0"
Area = 54
(+/- 1e-08) square feet
Length = 27'0-1/2"
Area = 78
Area = 101.74033
(+/- 4.2e-05) square feet
Area = 21
Area = 177.824435
(+/- 1.8e-05) square feet
Area = 13.4235188
(+/- 1e-08) square feet
Length = 38'6-1/4" + 27'4-1/4"
Area = 10.3100431
(+/- 1e-08) square feet
Area = 13.4362622 x 2
Area = 35.1040314
(+/- 1e-08) square feet
Area = 21
(+/- 1e-08) square feet
Area = 137.597602
(+/- 4.1e-06) square feet
Length = 24'7-1/2"
Area = 81.6235028
(+/- 1e-08) square feet
Length = 75'2-1/2"
Area = 36.6469043
(+/- 1e-08) square feet
Area = 4.9087386 x 14 = 70
(+/- 1.9e-06) square feet
Area = 18.5 + 35.10
Area = 13.4362622
(+/- 1e-08) square feet
Area = 20.3495239
(+/- 1e-08) square feet
Length = 20'0"
Area = 356.527757
(+/- 3e-05) square feet
Area = 54.3293201
(+/- 6.4e-07) square feet
Length = 14'8"
Area = 77.656086
(+/- 2.5e-05) square feet
Length = 332'3-1/4"
Area =81.6235028
Area = 36.6
Area = 45.7127582
(+/- 1e-08) square feet
(N) SAND BOX
(N) MULCH
(N) LAWN
(E) RAMP
(N) NEST SWING
(N) ADA RAMP
(E) RAMP
LAWN
(N) LOG SEATING AND EDGING
(E) SHED
(N) CHALK BOARD
(E)GATE
(EWF)
GATHERING
(E) SHED
(E) SHED
(N) LOG JAM CLIMBER
(EWF) KOMPAN PLAY HUT
TOTAL SITE AREA
(N) PLANTING
(E) SHED
(N) PLANTING
(N) NEST SWING
GATHERING
(N) ADA RAMP
(N) TRICK TRACK
(E) GATE
(N) PAVING
(N) PLANTING
(E) PATH WAY
(N) LOG JAM CLIMBER
(N) PLANTING BARRELS (N) SAND BOX
(N) LOG SEATING AND EDGING
(E) GATE
(N) PLANTING
(N) ADULT AND CHILD SINKS
MUD PLAY
(N) MULCH
LEGEND
(E) CONCRETE
(N) PLANTING AREAS
(N) MOWED LAWN
(N) LOG SEATING AND EDGING
(EWF) ENGINEERED WOOD FIBER
(S) SAND PLAY
(N) PATHWAY
(N) MUD PLAY
(N) CONCRETE
(N) ORNAMENTAL PAYVING
NUEVO DIA CENTER
22.27 Re: Cal Fire Grant Funding for Early Education Division Green School Yard Grant – Nuevo Dia – Beach Flats Tot Lot
October 8, 2025
Dear City Council,
On behalf of Community Bridges, we write to express our thanks to partner with City Parks and Recreation Department by allowing Community Bridges to upgrade the City’s playground equipment with our early education equipment to maintain compliance and good standing with the California State Preschool Program (CSPP) program. This project will enhance this community park in Beach Flats and is made possible with funding provided by CAL FIRE allowing us to transition the park into a more engaging greenspace. The grant provides funding totaling $3-million dollars for all six early education locations across the County with $500,000 allocated to Nuevo Dia. The Nuevo Dia EED location play area, is a City owned property, is also open the the public (children zero to five years old) during non EED operating hours will allow all Beach Flats children and families to enjoy a redesigned new zero to five play area.
The Board approved the application and execution of this grant unanimously on November 29, 2023.
And approved Ray Cancino, CEO or his designee as the agent of the board to conduct negotiations, execute or submit all documents.
As a CSPP-funded provider, Community Bridges must meet evolving standards for classroom materials, technology, and learning environments. These upgrades are not optional—they are essential to remain eligible for CSPP funding. Failure to meet compliance requirements would jeopardize our ability to continue to provide free, high-quality childcare and early education to low-income families across Santa Cruz County.
Currently, Community Bridges’ Early Education Division (EED) operates 5 sites including Nuevo Dia.
Nuevo Dia alone currently provides 5,474 days of childcare for the 23 current students with a licensing capacity of 32 children. Each of these children relies on access to a safe, engaging, and developmentally appropriate learning environment that reflects today’s educational standards.
Upgrading our playground equipment will ensure that our students continue to have access to modern, interactive learning tools that prepare them for kindergarten and beyond. Equally
22.28 important, these improvements will allow us to incorporate green materials and sustainable practices—modeling environmental responsibility and promoting stewardship among the next generation.
The Board and staff remain steadfast in our commitment to equity and educational access.
Continued investment in our facilities safeguards not only the quality of our program but also the future of hundreds of children and families who depend on Community Bridges each year.
We appreciate your consideration and continued support as we work to strengthen our programs and sustain our mission of building a brighter, more equitable future for Santa Cruz County’s youngest learners.
Sincerely,
Ray Cancino,
Chief Executive Officer,
Community Bridges
22.29 City Council
AGENDA REPORT
DATE: 10/09/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Public Works
SUBJECT: Resource Recovery Facility Enclosed Flare Station Installation Project (c402512) – Authorization to Advertise and Award (PW)
LOCATION: District 6
RECOMMENDATION: Motion to:
1) Approve the plans and specifications for the Resource Recovery Facility Enclosed Flare Station Installation Project (c402512), authorize staff to advertise for bids, and award the contract. The City Manager is hereby authorized and directed to execute the contract in a form approved by the City Attorney, and as authorized by Resolution No. NS-27,563. The Director of Public Works is authorized to execute change orders within the approved project budget; and 2) Find the project Categorically Exempt under CEQA Guidelines 14 CCR section 15301(d) BACKGROUND: At its March 11, 2025 meeting, City Council authorized the direct purchase of an enclosed flare, related equipment, shipping and startup with Perennial Energy LLC (West Plains, MO) at the Resource Recovery Facility in the amount of $1,023,314.
City staff have identified a location near the existing landfill gas to energy (LFGTE) plant for the installation of the enclosed flare station. The proposed location was chosen for the following reasons:
Proximity to the LFGTE plant to reduce the amount of piping required to connect the two systems.
Proximity to electrical utilities to reduce the amount of trenching and power utility installation.
The flare stack requires clearance from any items that are higher than half the flare stack height. This location maintains a clearance between the flare stack to existing items onsite based on this requirement.
The enclosed flare station equipment will include the enclosed flare stack, an air compressor, three blowers, a condensate management system, and the equipment control panel. The
23.1 manufacturing of the equipment is underway, and the estimated shipment date is December 2025.
DISCUSSION: This related project will develop the flare site, as well as install and startup the equipment. The site work will include:
Installation of the enclosed flare station equipment, concrete pads, access road, concrete retaining wall and associated earthwork
Survey work for the installation of the flare station, concrete pads, and concrete retaining wall
Installing and tying in the landfill gas, air, and condensate management lines from the flare station to the existing LFGTE infrastructure on site Trenching and installing new electrical feed to the flare station, wiring, conduits, and associated electrical components
Installation of the 6-foot tall chain link fence and access gates Schedule: The project construction is estimated to start in early 2026.
Budget: The flare station installation is estimated to cost $750,000 Plans and specifications can be found online at:
http://www.cityofsantacruz.com/publicworksprojects
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: This project is categorically exempt from the California Environmental Quality Act (CEQA) under Public Resources Code section 15301(d): Class 1 Existing Facilities. The replacement of an existing temporary back-up methane flare with a new permanent flare represents a minor alteration to an existing facility with no expansion of use. A Notice of Exemption will be prepared for the installation of the enclosed flare station.
HEALTH IN ALL POLICIES (HiAP): This program promotes the following Health in All Policies Conditions: The RRF Enclosed Flare Station Installation Project contributes to the Healthy Environments pillar of Health in All Policies Conditions. It addresses the CORE Community Indicators of “Concern for the environment” and “Environmental stewardship” by reducing health and safety risk associated from uncollected landfill gas and ensures responsible, mandated management.
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: Funds are available in the FY 2026 Refuse Fund Capital Investment Program (CIP) project (c402512). There is no impact to the General Fund.
23.2 Prepared By:
Hoi Yu
Senior Professional Engineer
Submitted By:
Nathan Nguyen, P.E.
Director of Public Works
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
None.
23.3 City Council
AGENDA REPORT
DATE: 10/09/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Public Works
SUBJECT: Project WEER (Wastewater Treatment Facility Energy and Electrical Resiliency): Authorization to use Progressive Design Build Project Delivery Method (c401405) (PW)
LOCATION: District 3
RECOMMENDATION: Motion to authorize use of the best value project delivery methodprogressive design build, for Project WEER.
BACKGROUND: The City of Santa Cruz (City) Wastewater Treatment Facility (WWTF), originally built in 1928, has been periodically expanded and upgraded. The WWTF is a regional facility which treats around 10 million gallons per day. It provides wastewater treatment and disposal via the City’s ocean outfall for the City of Santa Cruz and the Santa Cruz County Sanitation District (including Live Oak, Capitola, Soquel and Aptos). The City’s ocean outfall also provides disposal for the City of Scotts Valley. The City’s WWTF is a regional partner with Soquel Creek Water District providing source water for the District’s Pure Water Soquel Water Purification Center which will recharge the critically over-drafted Mid-County Groundwater Basin.
In 2018, the Public Works staff completed the Wastewater Treatment Facility Infrastructure and Major Equipment Study which found an increased need for replacement and rehabilitation of aging equipment at the WWTF. The study concluded that the WWTF electrical distribution equipment was at end of its useful life and in need of replacement. In 2020, the City contracted with ArcSine Engineering to conduct further condition assessments and provide a conceptual design for upgrades and replacement.
The WWTF Energy and Electrical Resiliency Project (WEER) will replace aging infrastructure, increase reliability and resiliency of key systems, and prepare the facility to adapt to future threats of climate change. The project scope includes replacement of the 21kV main switchgear, cables, substations, and transformers. The project will complete a 21kV A and B loop which will provide redundancy. A maintenance staff office building will be demolished to make room for the new main switchgear. Project WEER will convert interstage pumps 2 and 3 and blowers to 480v which will standardize site power distribution voltage and replace aging standby generators for plant-wide backup in enclosures. In 2024, the City initiated a service order with Brown and Caldwell for owner advisory services to evaluate strategic approach to the project,
24.1 project packaging and the best value project delivery method. Brown and Caldwell conducted market sounding research and recommended progressive design-build as the preferred project delivery method.
WWTF projects are notoriously complex and challenging to design and construct, especially when the plant must remain in service as will be the case for the City’s WWTF. When faced with these challenges many public agencies in the region have utilized best value project delivery methods to execute projects similar to Project WEER. Best value project delivery methods are typically selected because they use an integrated approach towards design and construction that provides opportunities to creatively problem-solve issues that could come up during construction of the project.
DISCUSSION: Brown and Caldwell worked with City staff to evaluate potential delivery methods appropriate for a project of this size and complexity. Through a series of delivery method workshops staff considered and scored criteria related to cost, schedule, project scope, operational impacts, community impacts, permitting, and risk. Staff identified that this project may benefit from early procurement of long lead time items including standby generators and key distribution equipment. The evaluation highlighted and compared the strengths and challenges of traditional design-bid-build, progressive design-build, and construction manager at risk delivery methods. After careful consideration, staff are recommending progressive designbuild as the best value approach for the Project WEER.
The progressive design-build delivery method involves a competitive request for qualifications, short-listing of qualified firms and then a competitive request for proposals process from the short-listed qualified firms. Progressive design build provides for an integrated design and construction team from the early design stages of the project. This is an established and preferred approach for many regional utilities. Since the WWTF cannot be taken out of service, the construction team’s engagement during design will reduce risk and potential delays during construction and ensure operations can be maintained throughout the construction of the project.
This project delivery methods allows for the ability to establish a higher degree of cost certainty early in the project design and adjust scope if pricing is higher than expected. It has flexibility in the project schedule to align with external funding deadlines—staff anticipate pursuing a low interest loan through the Clean Water State Revolving Fund.
The current project cost estimate for the construction portion of the project is $67 million. The total project cost, including escalation and soft costs is currently estimated at $91 million dollars (including future escalation). Given the scale, complexity and anticipated cost of Project WEER, staff are recommending the use of the best value progressive design-build method. Staff are planning to conduct additional outreach to the community at the planned Westside District Engagement and are working with the City’s communication team to develop a communication and outreach plan to be implemented throughout the design and construction phases of Project WEER.
At the September 15, 2025 Transportation and Public Works Commission (TPWC) meeting, staff gave a presentation on the delivery method evaluation and the recommended delivery method. A copy of commission presentation has been included as Attachment 1. The commission unanimously supported a motion that City Council move forward with the proposed best value delivery method, progressive design-build. Should the Council authorize the use of the best value progressive design-build method, a Request for Qualifications (RFQ) would be
24.2 advertised in November of 2025, which would be the first step of the two-step process for procuring a design-builder team for the project. The RFQ process is intended to shortlist qualified firms, each of which would be invited to submit a detailed proposal in Q2 of 2026 in the Request for Proposal (RFP) step. The RFP would be followed by a formal Council award for the progressive design build contract. On May 12, 2020, through Ordinance No 2020-08, Council adopted changes and updates to section 3.08 of the Purchasing code to address the use of the best value delivery method for construction projects.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION:
Recommending a project delivery method is not a project. Staff are coordinating with the City’s on-call environmental services firm Dudek to scope initial technical reports which will support a CEQA determination.
HEALTH IN ALL POLICIES (HiAP): This project promotes the following Health in All Policies Conditions: Health and Wellness and Healthy Environments. The Project WEER is in alignment with the City’s HiAP initiative by supporting Health and Wellness and Healthy Environments. The City’s WWTF safeguards public health and environmental health by conveying and treating wastewater for ocean discharge in compliance with all regulatory standards and by augmenting water supply by providing a source for recycled water.
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 fiscal impact currently. Project funds are in the Wastewater Fund (721).
Prepared By:
Katie Stewart
Senior Professional Engineer
Submitted By:
Nathan Nguyen, P.E.
Director of Public Works
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. TPWC PRESENTATION.PDF
24.3 10/6/2025
1 WWTF Energy and Electrical Resiliency
Project (Project WEER)
September 15, 2025
Brown and Caldwell 2
2 Agenda
1. Project Vision
2. Project Drivers
3. Timeline
4. Delivery Method
5. Cost
6. Next Steps
1 2
24.4 10/6/2025
2 3
Project Vision
1. Replace 21 kV main
switchgear, substations, and
switchgears
2. Complete 21 kV loop to
improve redundancy,
maintainability, and flexibility
3. Convert 2.4kV motors to
480V
Project Drivers
1 Address aging
electrical equipment
and infrastructure to
reduce the risk of
failure and ongoing
high maintenance cost
2 Improve electrical
redundancy,
maintainability, and
flexibility.
3 Standardize motor voltage
(eliminate 2.4kV
equipment)
4 SWGR-1 (480V) SWGR-2 (480V)
3 4
24.5 10/6/2025
3 Project Timeline
Identifies Electrical
Distribution System
Replacement
2018 - 2020 2021 2022 2023 2024 2025
TPWC Delivery Method
Completion of TM 1 Recommendation (Today)
and TM 2 Detailed
Condition
Assessment and
Project Approach
Kennedy Jenks WWTF
Infrastructure and
Major Equipment Study
ArcSine Engineering Condition Assessments and Conceptual Design Brown and Caldwell Owner Advisor
Completion of TM 3
Siting Evaluations
Completion of TM 6 –
Electrical Conceptual
Design,
Completion of TM 4 and
TM 5 Cogeneration and
SCADA Analysis
Development of Class 5
OPCC and Delivery Method
Evaluation
2026
City Council (Oct 2025)
Procurement (2026)
5 6
Delivery Methods Considered
5 6
24.6 10/6/2025
4 7
Design-Bid-Build
• Owner selects Engineer
• Engineer designs, develops
plans/specs
• Construction is awarded to
the lowest responsive,
responsible bidder
• Construction is monitored by
Engineer and CM
8 Construction Manager at Risk (CMAR)
• Owner selects Engineer and
CMAR
• Engineer designs project
• CMAR involved during design
• Owner and CMAR negotiate
Guaranteed Maximum Price
(GMP)
• Subcontractors may be
competitively bid
7 8
24.7 10/6/2025
5 9
Progressive Design Build
• Owner selects Design Builder
(DB) primarily on
qualifications
• Can include limited design
competition with prescriptive
and performance-based
approach
• DB prepared 30-60% design
– then negotiate GMP or
fixed price
10 Delivery Method Evaluation
• Staff considered and scored criteria
related to cost, schedule, project scope,
operational impacts, community
impacts, permitting, and risk
• Project cost, schedule and risk were
given the highest weight
• Staff are recommending Progressive
Design Build (PDB)
9 10
24.8 10/6/2025
6 PDB Project Delivery Model
We are here!
11 12
PDB Project Delivery Model
Next Steps
1. Develop procurement
documents
2. Two step procurement
a. Request for Qualifications (RFQ) - Shortlist most
qualifed firms
b. Request for Proposals (RFP) - Invite shortlisted
firms to submit a proposal
3. Select design builder
Existing MH-51B
11 12
24.9 10/6/2025
7 13
Item Amount
Demolition $0.65M
Site Work $3.9M
Structural $0.34M
Mechanical $2.4M
Electrical and Instrumentation $30M
Total (with markups, tax, shipping and handling) $37M (-50% to 100%) Probable Construction Cost Summary
14 Item Gross Total
Probable Construction Cost with Contingency
Construction Cost with Markup $37M
Contingency 30% $11M
Subtotal $48M
Costs with Gross Markups
Contractor General Conditions and DB Fee 15% $7.2M
Contractor Contingency/Risk Matrix 5% $2.8M
Escalation 15.7% $9.3M
Insurance and Bonds 2% $1.3M
Subtotal $69M
$12M DB Soft Costs and Markups (design up to GMP, post GMP, construction QC, startup, training…)
Subtotal $81M
OA Costs (PM, conceptual design, design oversight, construction oversight) $7.3M Subtotal $88M
Other Soft Costs (legal, permitting, admin, financing) $2.6M Total $91M
Total Project Cost Estimate
13 14
24.10 10/6/2025
8 15
Motion /Next Steps / Questions?
• Motion to recommend that the City Council authorize use of the best value project delivery method, progressive design build, for Project WEER. • Next Steps
o City Council authorization for PDB delivery method
o Finalize procurement documents
• Questions?
15 24.11
City Council
AGENDA REPORT
DATE: 10/09/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Public Works
SUBJECT: Consulting Engineering Services for Wastewater Treatment Facility Capital Improvement Projects – Amendment 10 to Agreement (c402611) - Budget Adjustment (PW)
LOCATION: District 3
RECOMMENDATION: Motion to:
1) Authorize the City Manager to execute Amendment 10 to the Professional Services Agreement with Brown and Caldwell (San Jose, CA) in the amount of $4,350,000 to provide additional engineering services for Wastewater Treatment Facility Capital Improvement Projects in a form acceptable to the City Attorney. Authorize the Director of Public Works to execute contract amendments within the approved budget; and
2) Adopt a resolution to amend the FY 2026 budget and appropriate funds in the amount of $650,000 for the Interstage Pump 1 Improvement Project (c402611) and appropriate funds in the amount of $305,882 from anticipated revenue for expenses associated with the Interstage Pump 1 Improvement Project.
BACKGROUND: The City of Santa Cruz (City) Wastewater Treatment Facility (WWTF), originally built in 1928, has been periodically expanded and upgraded. The Advanced Primary modifications were completed in 1988. The Secondary Treatment Facility upgrade was completed in 1998. In 2017 the City contracted Kennedy Jenks to conduct a major equipment condition assessment at the WWTF. Kennedy Jenks assessed WWTF asset conditions, identified high-risk assets, and provided a prioritized list of capital improvement projects to be completed over the next 10 to 15 years.
In February 2022, the City of Santa Cruz solicited statements of qualifications from qualified consultants to provide consulting engineering support services for the upcoming capital improvement projects at the WWTF. Proposals were received from Brown and Caldwell (San Jose), West Yost (Concord), Kennedy Jenks (Santa Clara), MNS Engineers (San Jose) and Dudek (Santa Cruz). Proposals were evaluated based on the criteria listed in the solicitation, and the evaluation committee selected Brown and Caldwell. In June 2022, the City awarded the contract for consulting engineering services to Bown and Caldwell for a total estimated amount of $3,280,000. Subsequent contract amendments authorizing individual projects were issued and
25.1 are referred to as Service Orders (SO). Amendments 1 through 3 authorized SOs 1 though 6. In November 2023 City council approved Amendment 4 to the Professional Services Agreement (PSA) which authorized an additional fee of $3,950,000 for a new proposed overall PSA not to exceed $7,230,000 and proposed potential SOs 7 through 14.
DISCUSSION: To date, Brown and Caldwell has substantially completed SOs 2 through 6.
They have been responsive to staff input and delivered a wide range of services meeting City needs. Staff continue to work on the following service orders:
SO1 – Influent and Headworks Infrastructure Project. The Headworks project is under construction and expected to be completed in late 2026. The previously proposed Grit Gate service order has been incorporated into the Headworks project.
SO2 - Interstage Pumps and Blower Upgrades – completed
SO3 – High Strength Waste Implementation Plan – completed SO4 – Digester Gas Piping Rehabilitation – completed
SO5 – Funding Strategy and Support – completed
SO6 – 54-inch Sewer Rehabilitation Construction Management – completed SO7 – Regional Master Plan. Work is underway to develop regional master plan for the WWTF and it is expected to be completed by February 2027.
SO8 – Owner Advisory for Plant-Wide Electrical Project. Brown and Caldwell have assisted with the evaluation of a project delivery method, development of a conceptual design and are preparing procurement documents. The project is estimated to be completed by 2031 Staff have identified additional components of the WWTF’s aging infrastructure that require replacement or rehabilitation and are proposing this amendment to Brown and Caldwell’s PSA for additional scope and budget. The WWTF Regional Master plan will assist in prioritizing projects in the near future. Additional expected Service Orders to be funded by this amendment are as follows:
SO8 – Owner Advisory for Plant-Wide Electrical Project: additional services for design phase ($3,000,000)
SO9 – Interstage Pump 1 Improvement Project ($500,000)
SO10 – Secondary Treatment Piping Replacement ($400,000) SO11 – Primary Sedimentation Tank Rehabilitation ($400,000) SO12 – Miscellaneous Projects ($50,000)
Staff are working with Brown and Caldwell to finalize the scope and budget negotiations for the proposed SO-9 Interstage Pump 1 Improvement Project and a budget adjustment is necessary to
25.2 fully fund the project. Per the existing cost sharing agreement, the County of Santa Cruz Sanitation District will contribute (8/17ths) of the project costs for the Interstage Pump 1 Improvement Project (c402611)
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION:
Amending the PSA and allocating funding are not projects. Each future Service Order, if resulting in a project, will be analyzed through a future CEQA analysis.
HEALTH IN ALL POLICIES (HiAP): This project promotes the following Health in All Policies Conditions: Health and Wellness and Healthy Environments.
The proposed amendment is aligned with the City’s HiAP initiative by supporting Health and Wellness and Healthy Environments. The City’s WWTF safeguards public health and environmental health by treating wastewater for ocean discharge in compliance with all regulatory standards and by augmenting water supply by providing a source for recycled water.
FISCAL IMPACT:
1. The recommendation in this report impacts the General Fund: No
2. This recommendation requires a budget adjustment: Yes
3. The recommendation creates an on-going expenditure commitment: No FISCAL IMPACT DESCRIPTION: This recommendation requires a change to the budget, which can be seen in the attached budget adjustment. Funds are available in the Wastewater Fund (721) to fully fund the PSA amendment and the Interstage Pump 1 Improvement Project (c402611). There is no impact to the General Fund.
Prepared By:
Katie Stewart
Senior Professional Engineer
Submitted By:
Nathan Nguyen, P.E.
Director of Public Works
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. PROFESSIONAL SERVICES AGREEMENT AMENDMENT 10.DOCX
2. SCOPE OF WORK.PDF
3. BUDGET ADJUSTMENT.PDF
25.3 Tenth Amendment to Professional Services Agreement
TENTH AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT WITH
BROWN AND CALDWELL
THIS TENTH AMENDMENT (“Tenth Amendment”), effective as of _________2025, (“Effective Date”) to the PROFESSIONAL SERVICES AGREEMENT for Santa Cruz Wastewater Treatment Facility dated July 7, 2022, is made by and between the CITY OF SANTA CRUZ (“City”) and Brown and Caldwell (“Consultant”). City and Consultant may be referred to individually as a “Party” and collectively, as the “Parties.”
RECITALS
WHEREAS, City and Consultant have previously entered into that certain Professional Services Agreement for Santa Cruz Wastewater Treatment Facility Capital Investment Projects dated July 7, 2022 (the “Agreement”), incorporated herein by this reference. The Agreement included a scope of work that included Service Orders 1-5 and allowed for additional projects to be added within the contract amount of $3,280,000; and
WHEREAS, on June 28, 2022, City Council authorized the Public Works Director to execute future contract amendments and change orders within the approved project budgets; and WHEREAS, City and Consultant previously entered into a First Amendment to the Agreement on October 2, 2023 to revise Exhibit A: Scope of Work for additional services for Service Order No. 1, Task 5 related to the Influent and Headworks Infrastructure Project, and to revise Exhibit B: Fee Schedule for Service Order No. 1 to incorporate the additional fee of $200,000 for the additional design services under Task 5, for a new total budget of $2,391,225 for Service Order No. 1.
WHEREAS, City and Consultant previously entered into a Second Amendment to the Agreement on October 2, 2023 to revise Exhibit A: Scope of Work to include additional services for Service Order No. 2, Task 2 related to Interstage Pumps and Blowers Upgrades, and to revise Exhibit B: Fee Schedule for Service Order No. 2 to incorporate the additional fee of $15,000 for the additional services under Task 2, for a new total budget of $161,807 for Service Order No. 2.
WHEREAS, City and Consultant previously entered into a Third Amendment to the Agreement on March 4, 2024 to expand the Scope of Work in Exhibit A of the Agreement to add Service Order 6, and to amend Exhibit B: Fee Schedule to incorporate the additional fee of $450,036 for the additional services.
WHEREAS, City and Consultant previously entered into a Fourth Amendment to the Agreement on March 20, 2024 to expand the Scope of Work in Exhibit A of the Agreement to add potential Service Orders 7 through 14, and to amend Exhibit B: Fee Schedule to incorporate the additional fee for the additional services and to amend the Agreement budget estimate amount to $7,230,000.
WHEREAS, City and Consultant previously entered into a Fifth Amendment to the Agreement on July, 24, 2024 to revise Exhibit A: Scope of Work to add services to Service Order No.1, Task 5 related to the Influent and Headworks Infrastructure Project, and to revise Exhibit B: Fee Schedule for Service Order No.1 to incorporate the additional fee of $162,000 for the additional design service under Task 5, for a new total budget of $2,553,225 for Service Order No. 1, and to revise Exhibit C: Work Schedule for the completion date of the services under Task 5.
25.4 Tenth Amendment to Professional Services Agreement
WHEREAS, City and Consultant previously entered into a Sixth Amendment to the Agreement on October 4, 2024 to expand the Scope of Work in Exhibit A of the Agreement to add services to Service Order No. 8 and revise Exhibit B: Fee Schedule to incorporate the additional fee of $408,235 for a new total budget of $455,658 for Service Order No. 8.
WHEREAS, City and Consultant previously entered into a Seventh Amendment to the Agreement on October 31, 2024 to expand the Scope of Work in Exhibit A of the Agreement to add Service Order No. 7, and amend Exhibit B: Fee Schedule to incorporate the additional fee for the additional services.
WHEREAS, City and Consultant previously entered into an Eighth Amendment to the Agreement on January 6, 2025 to expand the Scope of Work in Exhibit A of the Agreement to add services to Service Order No. 1, and amend Exhibit B: Fee Schedule to incorporate the additional fee for the additional services.
WHEREAS, City and Consultant previously entered into a Ninth Amendment to the Agreement on July 22, 2025 to expand the Scope of Work in Exhibit A of the Agreement to add services to Service Order No. 8, and amend Exhibit B: Fee Schedule to incorporate the additional fee for the additional services.
WHEREAS, City and Consultant desire to enter into this Tenth Amendment to the Agreement to expand the Scope of Work in Exhibit A of the Agreement to add proposed Service Orders 9 through 12, and to amend Exhibit B: Fee Schedule to incorporate the additional fee for the additional services and to amend the overall Capital Improvement Projects budget estimate amount, as specified herein.
AGREEMENT
NOW, THEREFORE, it is agreed between the Parties to incorporate the above Recitals hereto, and that the Agreement is hereby amended as follows:
1. Exhibit A: Scope of Work of the Agreement is hereby amended to revise the prior Scope of Work in Exhibit A of the Agreement to add Service Orders 9-12 and include additional design and engineering support services as specified on pages 2 through 4 of Consultant’s proposal dated September 25, 2025, which is attached hereto as Exhibit A-10 and incorporated herein.
2. Exhibit B: Fee Schedule of the Agreement is hereby amended to revise the Rate Table in Exhibit B of the Agreement as shown in Exhibit B-10 attached hereto and incorporated herein, and to include the additional fee of $4,350,000 for the additional design and engineering support services in Service Orders 9 through 12, for a new proposed overall Capital Improvement Projects’ budget total of $ 11,580,000 for Service Orders 1 through
12. Except as amended by this Tenth Amendment, all other applicable terms and conditions of the original Agreement and attachments, and other prior amendments, shall remain in full force and effect. The terms of this Tenth Amendment shall control if any conflict exists.
25.5 Tenth Amendment to Professional Services Agreement
Each Party acknowledges that it has reviewed this Tenth Amendment and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Tenth Amendment.
The unenforceability, invalidity or illegality of any provision(s) of this Tenth Amendment shall not render the other provisions unenforceable, invalid or illegal.
The Parties may execute this Tenth Amendment in two or more counterparts, which shall, in the aggregate, be deemed an original but all of which, together, shall constitute one and the same instrument. A scanned, electronic, facsimile or other copy of a party’s signature shall be accepted and valid as an original.
The signatories to this Tenth Amendment warrant and represent that each is authorized to execute this Tenth Amendment and that their respective signatures serve to legally obligate their respective representatives, agents, successors and assigns to comply with the provisions of this Tenth Amendment.
IN WITNESS WHEREOF, the City and the Consultant have executed this Tenth Amendment as of the Effective Date.
Approved As To Form:
By: ______________________________ Date: ___________
Office of the City Attorney
CONSULTANT
By: ______________________________ Date: __________________ Printed: __________________________ Title: _________________________ By: ______________________________ Date: __________________ Printed: __________________________ Title: __________________
CITY OF SANTA CRUZ
By: ______________________________ Date: __________________ Nathan Nguyen, Director of Public Works
Technical Review:
By: ______________________________ Date: ___________
Kevin Crossley, City Engineer/Assistant Director
25.6 Tenth Amendment to Professional Services Agreement
Signature Requirements for Business Entity:
a. Corporation – 2 officer signatures required (one from each group, unless person signing holds officer positions in both Group 1 and 2):
Group 1: Chief Executive Officer, Chairman of the Board, President, or Vice President Group 2: Secretary, Assistant Secretary, Chief Financial Officer, Treasurer, Assistant Treasurer b. Partnership - Signature of General Partner, or signature of partner who is authorized to execute documents per the Certificate of Partnership. If authorized partner is a corporation, follow Corporation signature requirement. c. LLC- For a member-managed LLC, signature of any member. For a manager-managed LLC, signature of the manager. If the LLC has corporate officer designations, follow Corporation signature requirement.
25.7 Tenth Amendment to Professional Services Agreement
Exhibit A-10
25.8 Tenth Amendment to Professional Services Agreement
Exhibit B-10
25.9 Professional Services
Agreement
Amendment Request
September 30, 2025
25.10 September 25, 2025
Exhibit A. Scope of Work
Professional Services Agreement Amendment
The City of Santa Cruz (City) has contracted Brown and Caldwell (BC) under a Professional Services Agreement (PSA) since July 2022 to support various engineering and project needs at the Santa Cruz Wastewater Treatment Facility (WWTF). To date, BC has been contracted under eight service orders (SO), summarized below.
SO1 – Influent and Headworks Infrastructure Project
SO2 – Interstage Pumps and Blowers
SO3 – High Strength Waste Implementation Plan
SO4 – Digester Gas Piping Rehabilitation
SO5 – Funding Strategy Support
SO6 – 54-inch Sewer Rehabilitation Construction Management Services SO7 – Regional Wastewater Master Plan
SO8 – Owner Advisory Electrical Upgrades Project
The table below summarizes the status and budget of the active SO, and the identified SO from the last PSA amendment:
Table 1. Summary of Current Service Orders
SO Description Status Budget
1 Headworks and Infrastructure
Rehabilitation
Ongoing headworks engineering support during
construction
Grit gate replacement
$2,968,325
7 Regional WW Master Plan Ongoing $1,931,188
8 OA Electrical Upgrade Project
Ongoing
Recently added additional scopes to support
conceptual design, funding strategy, and
design-builder procurement
$1,233,907
9 Interstage Pumps and Blowers
Design
On hold as City has prioritized the electrical
project (SO8) --
10 Grit Gate Replacement Incorporated under current service order (SO1) -- 11 Secondary Treatment Piping
Replacement
On hold as City has prioritized the electrical
project (SO8) --
12 Primary Sedimentation Tank
Rehabilitation
On hold as City has prioritized the electrical
project (SO8) --
13 Digester 1 thru 4
Rehabilitation
On hold as City has prioritized the electrical
project (SO8) --
14 Miscellaneous Projects On hold as City has prioritized the electrical project (SO8) --
25.11 September 25, 2025
As the current budget is nearly expended, BC has prepared this PSA amendment to outline the anticipated services needed to continue supporting the City as listed below:
SO8 – Owner Advisory Electrical Upgrades Design Oversight SO9 – Interstage Pump 1 Improvements
SO10 – Secondary Treatment Piping Replacement
SO11 – Primary Sedimentation Tank Rehabilitation
SO12 – Miscellaneous Projects
The following draft service order descriptions provide a high level overview of the anticipated upcoming SOs, and will be refined through further discussions between BC and the City to address specific project needs. Assumptions and deliverables will be documented within each SO scoping document. BC will provide services up to the respective budget limit.
Service Order 8 – Owner Advisory Electrical Upgrade Design Oversight
The service order is a continuation of SO8 and provides owner advisory services, including design oversight of the electrical design-build team during the design phase of the electrical upgrade project. Services include reviewing design submittals, coordinating with the City on technical decisions, providing guidance on constructability and code compliance, and assisting in resolving design issues. The following tasks are anticipated in the service order:
Task 1 – Project Management
Oversee project progress, coordinate team activities, track deliverables, and maintain communication with City team.
Task 2 – Meetings and workshops
Organize and conduct meetings and workshops to discuss technical and management progress, resolve issues, and gather input for decision-making.
Task 3 – Design review
Review design documents prepared by Design Builder for completeness, accuracy, and compliance with project requirements, identifying potential issues and recommending improvements.
Task 4 – Constructability and risk review
Assess designs for construction feasibility, identify risks, and recommend mitigation measures to minimize schedule or cost impact.
Task 5 – Cost and schedule Advisory
Provide guidance on project cost estimates and schedule, analyze potential impacts of changes, and support decision-making.
Service Order 9 – Interstage Pump 1 Improvements
The Interstage Pumps and Blowers Preliminary Design – Service Order 2 provided a recommended path forward to improve the condition of Interstage Pump 1 and related equipment and instruments, as summarized below:
Replace Pump 1 and its motor.
Add a VFD for Pump 1.
25.12 September 25, 2025
Replace check valves, inlet and discharge valves for all three interstage pumps. Replace exposed inlet and discharge piping for all three interstage pumps. Add individual flow meter for each pump.
Elevate Pump 1’s equipment pad to allow straight pipe to pump inlet. Replace portions of the grating at the secondary return sludge channel.
This Project will develop bid-ready documents for the recommended improvements. This service order consists of the following tasks:
Task 1 – Project Management
Task 2 – Detailed Design
Task 3 – Pre-procurement Support
Service Order 10 – Secondary Treatment Piping Replacement The project objective is to replace several exposed process piping and fittings at the secondary treatment facilities that have exhibited corrosion, failures, and leaks. The piping replacement consists of the following:
The 8-inch diameter and 16-inch diameter return secondary sludge (RSS) piping in the Secondary Equipment Gallery
The 36-inch diameter RSS piping inside and outside of the Secondary Equipment Gallery The 8-inch diameter and 10-inch diameter waste secondary sludge piping in the Secondary Equipment Gallery
Aeration air piping located in the headspace of the Effluent and RSS Channels Bolts on couplings on the 54-inch diameter Primary Effluent that are located in the south side of the Secondary Equipment Gallery
It is noted that the City’s Maintenance Team has begun replacement of a portion of the above piping.
BC will initiate this project by coordinating with the City to understand the remaining scope of replacement. Subsequently, BC will conduct a visual assessment and ultrasonic thickness test to assess the condition of the remaining piping. Based on the results of the assessment, BC will present replacement options and the recommended replacement strategies in a basis of design report. Upon City’s acceptance of the report, BC will proceed in development of the design package.
Design package will include drawings and technical specifications and opinions of probable construction cost. Detailed design will include mechanical components, electrical, instrumentation and controls components including replacement of flow meters, pressure gauges, etc. currently mounted on the secondary piping. Design review submittals will be provided at 30%, 60%, and 90% design progression level. During the bidding phase, BC will support the City in responding questions, reviewing bids, providing technical guidance and addenda to the bid documents as it relates to BC’s scope of design. During construction phase, BC will answer questions and requests for information from the Contractor and Construction Manager, review submittals and perform onsite support as directed by the City. Towards the end of the construction, BC will prepare record drawings for City’s record. The following tasks are anticipated in the service order:
Task 1 – Project Management
Task 2 – Condition assessment and basis of design report Taks 3 – Design
Task 4 – Bid Support
Task 5 – Engineering Support during Construction
25.13 September 25, 2025
Service Order 11 – Primary Sedimentation Tank Rehabilitation Plant staff have identified leaks at the six (6) primary sedimentation tanks. This project will focus on the rehabilitation of the primary sedimentation tanks and inlet/outlet channels. It is noted that a portion of the structure has been recoated recently. BC will initiate this project by coordinating with the City’s Maintenance Team to understand the causes of the failure and the remaining scope.
Subsequently, BC will conduct a condition assessment of the tanks and channel by scratch test and concrete sampling to evaluate the condition of the structure. BC will prepare a condition assessment work plan and coordinate with Plant Operations to strategize and schedule the condition assessment. Based on the condition assessment results, BC will present replacement vand rehabilitation options. Upon City’s acceptance of the basis of design report, BC will proceed to the design phase and develop a bid ready drawings, technical specifications and opinions of probable construction cost. Detailed design will include structural and process mechanical. Electrical, instrumentation and controls is not required for this design. Design review submittals will be provided at 30%, 60%, and at 90% design progression level. During the bidding phase, BC will support the City in responding questions, reviewing bids, providing technical guidance and addenda to the bid documents as it relates to BC’s scope of design. During construction phase, BC will answer questions and requests for information from the Contractor and Construction Manager, review submittals and perform onsite support as directed by the City. Towards the end of the construction, BC will prepare record drawings for City’s record. The following tasks are anticipated in the service order:
Task 1 – Project Management
Task 2 – Condition assessment and basis of design report Taks 3 – Design
Task 4 – Bid Support
Task 5 – Engineering Support during Construction
Service Order 12 - Miscellaneous Projects
This Service Order will be used to implement miscellaneous projects, approved by the City, throughout the WWTF in the future. BC will develop detailed scope, schedule and fee as various project requests for implementation under this Service Order are identified by the City in writing.
25.14 Exhibit B
Anticipated Service Order Estimated Budget Summary
Service Order Budget Estimate Services
8 – Owner Advisory Electrical Upgrade Design Oversight $3,000,000 Additional owner advisory services for electrical upgrade design oversight
9 – Interstage Pump 1 Improvements $500,000 Design and procurement support 10 – Secondary Treatment Piping Replacement $400,000 Condition assessment, design and bidding/construction support
11 – Primary Sedimentation Tank Rehabilitation $400,000 Condition assessment, design and bidding/construction support
12 – Miscellaneous Projects $50,000 Various projects as requested by the City Total PSA Estimated Budget $4,350,000
Key Staff Rate Table – Calendar Year 2025
Key Staff Role Hourly Billing Rate
Anup Shah Principal in charge $362
Ben Skousen Modeler $181
Cara Ingebrigtsen Project assistant $197
Chris Peters Civil engineer $323
Christian O’Neil Electrical engineer $138
Dan Gagne Structural lead $278
Dan Goodburn Cost estimator $273
Dan Stewart Mechanical lead $302
David Shroyer Cost estimator $253
Jann Yamauchi Project manager/support engineer $247
Joey Cheng Project manager/service order manager $309
Liz Minyard Owner advisory lead $337
Linda Sawyer Process lead $317
Marc Nakamoto Project manager $342
Matthew Pagendarm Electrical, instrumentation and control lead $325 Seema Chavan Funding strategy lead $383
Shane Clements Project manager/support engineer $213
Notes and Assumptions
1. Service order budget is an estimate for planning level only. Detailed scope and budget will be developed when City directs Brown and Caldwell to prepare the individual service order scope of work and associated budget.
2. A labor multiplier of 3.125 will be used for all staff and during annual update of billing rates on all projects.
3. Invoices from subcontractors will be subjected to a 5% markup for contract administration and reviews.
4. Travel and lodging expenses for staff members starting with SO7 and onward will be reimbursable on the project at cost.
25.15 5. Printing and reproduction costs for technical deliverables will be reimbursable on the project at cost.
25.16 City of Santa Cruz
BUDGET ADJUSTMENT REQUEST
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NEW APPROPRIATIONS FOR NEW PROJECT
The Santa Cruz County Sanitation District pays 8/17th of the cost based on the wastewater treatment facility capacity dedicated to the County.
721-40-62-7252-43350 c402611-475-4060-0 Local capital grants and contributions 305,882 Interstage Pump 1 Improvements Project
305,882
721-40-62-7252-57301 c402611-100-2020-0 Sewer systems 650,000 Interstage Pump 1 Improvements Project
650,000
-344,118
Christin
a Alberti
Digitally signed by
Christina Alberti
Date: 2025.09.17
11:21:59 -07'00'
Nathan N.
Nguyen
Digitally signed by
Nathan N. Nguyen
Date: 2025.10.09
15:21:14 -07'00'
Joseph
Balasabas
Digitally signed by
Joseph Balasabas
Date: 2025.10.09
16:38:30 -07'00'
Elizabet
h Cabell
Digitally signed by
Elizabeth Cabell
Date: 2025.10.09
16:49:49 -07'00' 25.17
City Council
AGENDA REPORT
DATE: 10/07/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Water
SUBJECT: Award of Professional Services Agreement to Errol L. Montgomery & Associates, Inc. for Groundwater Modeling (WT)
LOCATION: County
RECOMMENDATION: Motion authorizing the City Manager to execute a contract agreement in a form to be approved by the City Attorney with Errol L. Montgomery & Associates, Inc. (Oakland, CA) for Engineering Services for Groundwater Modeling and to authorize the Water Director to execute future contract amendments within the approved project budget.
BACKGROUND: The City of Santa Cruz is a participating agency of the Santa Margarita Groundwater Agency (SMGWA), which is responsible for the development and now implementation of the approved Groundwater Sustainability Plan (GSP) for the Santa Margarita Groundwater Basin (SMGB). The GSP includes a variety of projects and management actions that are designed to achieve sustainability for the groundwater basin by 2040 as required under California’s Sustainable Groundwater Management Act (SGMA).
The Water Supply Augmentation Implementation Plan (WSAIP) considers water transfers with neighboring agencies, such as Scotts Valley Water District (SVWD), whereby surplus surface water could be transferred to neighboring agencies in return for groundwater transfers from SVWD to the City during drought years when surface water is low or unavailable. The intertie with SVWD could be used for passive, or in lieu, water banking in the SMGB by sending water to SVWD to offset the demand otherwise served by groundwater wells, or active recharge in the SMGB through the use of Aquifer Storage and Recovery (ASR) wells in the SMGB. ASR in the neighboring Mid-County Groundwater Basin (MCGB) is also currently being evaluated.
DISCUSSION: The Water Department has been engaged for many years on water supply planning and groundwater management efforts and has worked on the groundwater modeling aspect of these efforts with Errol L. Montgomery & Associates, Inc. (aka Montgomery & Associates or M&A) and formerly HydroMetrics Water Resources Inc. (acquired by M&A in 2018) since the mid-2000s in both the MCGB and the SMGB. M&A is the lead consultant for groundwater modeling for both basins. M&A was selected by the Santa Margarita Groundwater Agency (SMGWA) through a competitive selection process to develop the GSP for the SMGB, which included upgrading and revising the groundwater model. This history has allowed M&A to develop a unique understanding of the groundwater model code and local datasets.
26.1 Additionally, in 2023, the City contracted with M&A to perform predictive modeling of water transfers between the City and SVWD using existing infrastructure.
Based on this background, M&A is deemed specially trained, experienced, and competent to perform these unique professional services in the time needed by the City. Results from the groundwater modeling in the SMGB will be used to inform the City’s water supply augmentation efforts and may also inform the water supply modeling for the 2025 Urban Water Management Plan (UWMP) Update, depending on availability of modeling results. To be able to use the modeling results for 2025 UWMPs, the modeling work that is to be conducted by M&A needs to proceed immediately. Award of a new contract with M&A has been reviewed by the Purchasing Manager and is supportive of the non-competitive award as authorized in SCMC Section
3.08.150.
The model simulations will build on the predictive modeling work that M&A did in 2023 and will be used to evaluate transfers based on four capacity options to deliver between 0.75 and 2.0 million gallons per day. As noted above, the results from the groundwater modeling will be used to inform water supply modeling and the Water Department’s broader water supply planning efforts.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: The proposed Council action is not a project under CEQA. The execution of this agreement is not a project under CEQA because the modeling services provided do not have the potential to cause a physical change in the environment directly or indirectly.
HEALTH IN ALL POLICIES (HiAP): The objectives of this work support the public health and sustainability pillars of the City’s HiAP framework and the Water Department’s mission of diversifying its water supply portfolio to build climate resiliency and ensure the safety and reliability of the public drinking water supply.
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: The estimate for this work is $178,000. Funds are available in the Water Department’s FY 2026 Capital Investment Program budget within project c701705, Water Supply Augmentation.
Prepared By:
Isidro Rivera
Deputy Water
Director/Engineering Manager
Submitted By:
Heidi Luckenbach
Water Director
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. SINGLE SOURCE JUSTIFICATION S125.PDF
2. PROFESSIONAL SERVICES AGREEMENT.PDF
26.2 WATER DEPARTMENT
MEMORANDUM
DATE: 10/3/2025
TO: Elizabeth Millwee, Purchasing Manager
FROM: Katy Fitzgerald, Management Analyst
SUBJECT: Single Source Justification from Purchasing for Contracting with Errol L.
Montgomery & Associates, Inc. (M&A) for 4 model scenarios to evaluate basin response to potential City of Santa Cruz Water Storage Projects in the Santa Margarita Basin
Background
This memorandum is requesting the Purchasing Manager’s authorization to execute a single source contract with Errol L. Montgomery & Associates, Inc. (M&A) in the amount of $178,000.00. The Water Department is seeking a contract with M&A for the development of 4 modeling scenarios to evaluate the impacts of potential City of Santa Cruz water storage projects in the Santa Margarita Groundwater Basin (SMGB). The City is one of the lead agencies in the regional Santa Magarita Groundwater Agency (SMGA), which similar to the Mid-County Groundwater Agency, is mandated by the state’s Groundwater Sustainability Management Act to develop and implement a Groundwater Sustainable Plan (GSP) for the groundwater basin which is designated as critically over-drafted. M&A’s work is necessary to continue development and management plans for the basin as required by the GSP.
Reason for Non-competitive Agreement
In 2019, M&A was selected by the SMGA through a competitive RFQ process to provide technical services for the development and annual reporting of the SMGB’s GSP. The scope of work for this contract will build on M&A’s technical and modeling work in Santa Margarita groundwater basin in 2023; thus, the Water Department finds that M&A are the most qualified and competent to continue performing these highly specialized professional services. M&A possesses a unique understanding of the groundwater model code and local datasets acquired through years of work experience. The City has been engaged in SMGA on regional water supply planning and groundwater management efforts since 2015 and has worked on the groundwater modeling with M&A) and formerly HydroMetrics Water Resources, Inc (acquired by M&A in 2018) since the late mid-2000s. The City previously approved a sole source contract with M&A in 2023 for similar services for the Mid-County Groundwater Agency due to the specialized nature of the work.
Price Reasonableness Analysis
26.3 The Water Department finds M&A’s cost proposal reasonable based on work previously completed for the Water Department and the SMGA. M&A’s 2025 rates align with inflation adjustments since 2023 as shown in the table below:
Classification 2023
(Hourly)
2025
(Hourly) % Change
CPI
Buying
Power*
Principal Groundwater
Hydrologist
$258 $273 9.2% $273.96
Principal Hydrologist $258 $273 9.2% $273.96
Groundwater Modeler $165 $179 8.4% $175.20
Scientist II $142 $154 8.5% $150.78
Technical Editor $82 $88 7.3% $87.07
*Changes in CPI buying power were calculated using the Bureau of Labor Statistics CPI Inflation calculator and calculate the buying power of January 2023 dollars in January 2025:
https://www.bls.gov/data/inflation_calculator.htm
26.4 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 1
Professional Services Agreement With
ERROL L. MONTGOMERY & ASSOCIATES, INC.
For
GROUNDWATER MODELING SCENARIOS IN SANTA MAGARITA GROUNDWATER BASIN
THIS PROFESSIONAL SERVICES AGREEMENT (“Agreement”) for professional services is made by and between the City of Santa Cruz (“City”) and Errol L. Montgomery & Associates, Inc. (“Consultant”) (each is referred to individually as a “Party” and collectively, as the “Parties”) as of ____________, 2025 (the “Effective Date”).
NOW, THEREFORE, in consideration of each other’s mutual promises, the Parties hereto agree as follows:
SECTION 1: SCOPE OF WORK
Consultant will furnish services as defined and described in the Scope of Work, attached hereto as Exhibit A and incorporated herein.
SECTION 2: RESPONSIBILITIES OF CONSULTANT
All services performed by Consultant, or under Consultant’s direction, shall be rendered in accordance with the generally accepted practices, and to the standards of, Consultant's profession. Consultant represents and agrees that Consultant: (i) is fully experienced and properly qualified to perform the work and services provided for herein, (ii) has the financial capability required for the performance of the work and services, and (iii) is properly equipped and organized to perform the work and services in a competent, timely, and workmanlike/professional manner, in accordance with the requirements of this Agreement.
Consultant shall not undertake any work beyond Tasks 1-3 of the Scope of Work set forth in Exhibit A unless such additional work is approved in advance and in writing by City. City shall compensate Consultant for such additional work on the same basis as provided for in Section 4.
If, in performing the services, it is necessary to conduct field operations, security and safety of the job site will be the Consultant's responsibility excluding, the security and safety of any facility of City within the job site which is not under the Consultant’s control or authority.
Consultant shall meet with Heidi Luckenbach, Director of the Water Department, hereinafter called "Director", or other designated and authorized City personnel, and/ or third parties as necessary, on all matters connected with carrying out Consultant’s services described in Exhibit A. Such meetings shall be held at the request of either Party.
Consultant shall obtain City’s review and acceptance of completed work monthly, or at other intervals as may be mutually agreed upon during the term of this Agreement. Review or acceptance of Consultant’s work by City or its designee shall not relieve Consultant from responsibility for errors and omissions in Consultant’s work.
SECTION 3: RESPONSIBILITIES OF THE CITY
City shall make available to Consultant all data and information in the City’s possession necessary to carrying out and completing the services and shall actively assist Consultant in obtaining such information from other agencies and individuals as needed. Consultant is entitled to reasonably rely upon the accuracy and completeness of such data and information, and Consultant shall provide City prompt written notice of any known defects in such data and information.
26.5 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 2
The Director may authorize a City staff person to serve as their representative with respect to this Agreement.
Consultant’s work shall be reviewed at such intervals as may be mutually agreed upon between the Parties. The City will be the sole judge of acceptable work, provided that such approval will not be unreasonably withheld or delayed. If the work is not acceptable, City will inform Consultant of the changes or revisions necessary to secure acceptance.
SECTION 4: FEES AND PAYMENT
For services actually performed, the City will compensate Consultant at the rates set forth in the Fee Schedule detailed in Exhibit B and in accordance with the terms set forth therein. Payment for Consultant's services in carrying out the entire Scope of Work shall be made within the budget limit, or limits shown, upon Exhibit B. Markups shall not be charged for any approved sub-consultants or subcontractors.
Consultant agrees that the payments to Consultant specified in this Section 4 will constitute full and complete compensation for all obligations assumed by Consultant under this Agreement. Such payments shall be considered the full compensation for all personnel, materials, supplies, and equipment used by Consultant in the Scope of Work. Where conflicts regarding compensation may occur, the provisions of this section shall apply.
Variations from the budget for each task which are justified by statements indicating personnel time expended and submittal of a revised budget are only allowed with prior City approval; however, in no event shall the total fee charged for the Scope of Work (Tasks 1-3) set forth in Exhibit A exceed the budget of $178,000 without advance written City authorization in the form of an amendment or change order.
Invoices shall detail the time worked by each class of employee on each task and the expenses incurred for which billing is made. Invoices shall indicate the percentage completion of each work task as identified in the Scope of Work in Exhibit A and the overall percentage of completion of the total required services. Unless otherwise specified in the fee schedule, payments shall be made monthly by the City within 30 days based on itemized invoices from the Consultant which list the actual costs and expenses.
All invoices shall contain the following affidavit signed by Consultant (if individual) or by an authorized representative of Consultant (if Consultant is an entity):
“[I] or [As an authorized representative of Consultant, I] hereby certify that the charge of (Insert invoice amount) as summarized above and shown in detail on the attachments is in accordance with the terms of the Agreement by and between the City of Santa Cruz and (Insert Party Name) dated (Insert Agreement Date), and has not been previously paid." This Agreement is contingent upon the appropriation of sufficient funding by the City for the Scope of Work covered by this Agreement. If funding is reduced or deleted for the Scope of Work covered by this Agreement, the City has the option without penalty or liability to either terminate this Agreement or to offer an amendment to this Agreement indicating any reduced amount.
SECTION 5: TRAVEL REIMBURSEMENT POLICY
The City agrees to reimburse Consultant and Consultant’s employee(s) for only authorized travel expenses, as indicated by a mark below, and according to the City’s Travel Reimbursement Policy. It is expected that all travel expenses incurred by Consultant while conducting activities on behalf of the City will be at reasonable rates and that Consultant and Consultant’s employee(s) will exercise prudence in incurring these expenses.
26.6 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 3
☒ Meals: Meals are reimbursed at the current GSA Meals & Incidental per diem rate by county (www.gsa.gov/travel). The City does not reimburse for actual costs for meals. Reimbursement is based solely on per diem rates. Do not submit meal receipts.
• Travel before 8:00am qualifies for breakfast reimbursement. • Travel between 8:00am – 1:30pm qualifies for lunch reimbursement. • Travel between 1:30pm – 7:00pm (or later) qualifies for dinner reimbursement. • Days between hotel stays and days starting before 8am and ending after 7pm, qualify for the full GSA Meals & Incidental per diem rate.
☒ Ground Transportation: Ground transportation is reimbursable when it is for travel between the Consultant’s place of business, an airport, or Santa Cruz hotel, as applicable, to the City work location.
1. Reasonable fees for taxis, shuttles, buses, trains, light rail, ride hailing services (Uber, Lyft or other), and similar modes of transportation will be reimbursed. Receipts are required for reimbursement.
2. When using vehicles owned by Consultant or Consultant’s employer:
• Mileage will be reimbursed at the current IRS mileage rate. • Evidence of automobile liability insurance meeting the City’s requirements must be provided. • Maps showing starting point, City work location, and total miles are required for reimbursement.
3. Use of car rentals are reimbursable when:
• Travel is necessary from an airport to the City work location. • The rental reservation is made as far in advance as is practical and the lowest possible price is obtained. • Insurance coverage is included, and the car is returned with a full tank of gas. • The smallest vehicle necessary is rented.
• Parking expenses are included in the GSA Meals & Incidental per diem rate. The City will not pay additionally for parking expenses.
• Receipts are required for reimbursement.
☒ Airfare: Airfare is reimbursable when the Consultant’s place of business, or Consultant’s employee’s home, is more than 250 miles away from Santa Cruz.
• Airfare must be lowest available coach class fare. Flights may be non-stop. • Airfare must be booked as far in advance as is practical. • Fees for one piece of checked luggage (and any equipment necessary for the work being done) will be reimbursed.
• Extra charges for seat assignments, refundable tickets, travel insurance/protection, and similar fees are not reimbursable.
• If the City cancels the need for travel and the ticket cannot be changed or refunded, the ticket cost will be reimbursable.
• Receipts are required for reimbursement.
☒ Lodging: Lodging is reimbursable when the Consultant must work on site for two or more consecutive days and the Consultant’s place of business or personal residence, is more than 60 miles away from Santa Cruz. • Lodging is reimbursed up to the current GSA rate by county (www.gsa.gov/travel). • Costs for hotel rooms above this rate are the responsibility of the traveler. • Receipts are required for reimbursement.
26.7 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 4
General Rule
1. Travel expenses not listed or checked above will not be reimbursed.
2. Travel reimbursements are paid after the completion of travel. There are no travel advances.
3. Exceptions to any of the above requirements require advance written permission from the Director or City’s designated agent contracting with the Consultant.
4. Tips and gratuities will not be reimbursed.
5. Alcoholic beverage purchases will not be reimbursed.
6. Consultants will exercise prudence in incurring reimbursable expenses.
7. The City of Santa Cruz has the sole discretion to deny any reimbursement request the City has determined to be excessive or an inappropriate use of public funds.
SECTION 6: CHANGES IN WORK
City may negotiate changes to the Scope of Work. No changes to the Scope of Work shall be made without the prior written agreement between City and Consultant. Any change requiring compensation in excess of the sum specified in Exhibit B shall be approved in advance in writing by the City. Only City’s authorized representative(s) is authorized to approve changes to this Agreement on behalf of City.
SECTION 7: TERM AND SCHEDULE
The term of this Agreement shall commence on the effective date of this Agreement and terminate upon completion of the Scope of Work.
Consultant shall begin the Scope of Work as specified in a written authorization (e.g., Notice to Proceed) to perform services issued by the City. The written authorization to perform work shall not be issued until after this Agreement has been approved and executed by the City.
The Work Schedule for completion of the work shall be as shown upon Exhibit A. In the event there are major changes to the Scope of Work, the schedule for completion as stated in Exhibit A may be adjusted with the City’s approval to allow Consultant a reasonable period of time within which to complete any additional work which may be required as a result of the changes to the Scope of Work.
Neither party shall be held responsible for delay or default caused by declared emergencies, natural disasters, or any Force Majeure event which is beyond the party's reasonable control. Consultant will, however, make all reasonable efforts to remove or eliminate such a cause of delay or default and will, upon the cessation of the cause, diligently pursue performance of its obligations under this Agreement.
The City reserves the right to obtain the item(s) and/or services covered by this Agreement from another source during any on-going suspension of service due to the circumstances outlined above.
Consultant acknowledges that it is necessary for Consultant to complete its work on or before the completion date set forth in Exhibit A in order to allow the City to achieve its objectives for entering into this Agreement. The Parties therefore agree that time is of the essence in the performance of this Agreement.
SECTION 8: TERMINATION
The City may terminate the Agreement for any reason by providing written notice to Consultant not less than 10 calendar days prior to an effective termination date.
26.8 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 5
The City may, at its option, allow Consultant to cure its failure to perform within 10 business days (or longer period authorized in writing by the City) from the date of the City’s termination notice. The termination shall be become effective if Consultant has not cured within the specified time period to the City’s satisfaction.
Consultant may terminate this Agreement for cause if the City fails to cure a material default in performance of its obligations under this Agreement within a period of 30 calendar days (or such longer period agreed to by the Consultant), from the date of the Consultant’s written termination notice specifying the default in performance.
Consultant must provide a written notice of termination to the City not less than 60 calendar days of the effective termination date.
Upon notice of termination by either the City or Consultant, the Consultant will immediately act to not incur any additional obligations, costs or expenses, except as may be reasonably necessary to terminate its activities. The City’s only obligation to the Consultant will be just and equitable payment for services authorized by, and received to the satisfaction of, the City up to and including the effective date of termination less any amounts withheld. All finished or unfinished work or documents procured or produced under the Agreement will become property of the City upon the termination date. In the event of Consultant’s failure to perform pursuant to the Agreement, the City reserves the right to obtain services elsewhere and Consultant will be liable for the difference between the prices set forth in the terminated Agreement and the actual cost to the City. Termination of the Agreement pursuant to this paragraph shall not relieve the Consultant of any liability to City for additional costs, expenses, or damages sustained by City due to failure of the Consultant to perform pursuant to the Agreement. City may withhold any payments to Consultant for the purpose of set-off until such time as the exact amount of damages due City from Consultant is determined. After the effective date of termination, Consultant will have no further claims against the City under the Agreement. No other compensation will be payable for anticipated profit on unperformed services.
SECTION 9: INSURANCE
Prior to the beginning of and throughout the duration of the Agreement, Consultant will maintain and comply with the Insurance Requirements as set forth in Exhibit C. Consultant will insure the City against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder. The insurance coverages required shall not in any way limit the liability of the Consultant.
SECTION 10: INDEMNIFICATION
Consultant agrees, to the fullest extent permitted by law, to indemnify, defend, and hold harmless the City, its officials, officers, employees, agents, and volunteers (collectively, “Indemnitees”) from and against any and all liability, claim, action, loss, injury, damage, judgment, or expense, including attorneys’ fees and costs (“Losses”) caused by or resulting from the negligence, recklessness, or willful misconduct of Consultant, Consultant’s officers, employees, agents, or subcontractors in any way related to this Agreement. Consultant’s duty to indemnify and hold harmless Indemnitees shall not apply to the extent such Losses are caused by the sole or active negligence or willful misconduct of Indemnitees. Consultant’s obligation to defend shall arise regardless of any claim or assertion that Indemnitees caused or contributed to the Losses.
In the event this Agreement involves the performance of design professional services by Consultant, Consultant’s officers, employees, agents, or subcontractors, Consultant’s costs to defend Indemnitees shall not exceed the Consultant’s proportionate percentage of fault per Civil Code §2782.8. This section shall survive the termination or expiration of this Agreement.
26.9 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 6
SECTION 11: EQUAL EMPLOYMENT OPPORTUNITY/NON-DISCRIMINATION POLICIES City’s policies promote a working environment free from abusive conduct, discrimination, harassment, and retaliation; and require equal opportunity in employment for all regardless of race, religious creed (including religious dress and grooming practices), color, national origin (including language use restrictions), ancestry, religion, disability (mental and physical), medical condition, sex, gender (including gender identity and gender expression), physical characteristics, marital status, age, sexual orientation, genetic information (including family health history and genetic test results), organizational affiliation, and military or veteran status, or any other consideration made unlawful by local, State or Federal law. City requires Consultant to comply with all applicable Federal and State and local equal employment opportunity laws and regulations, and Consultant is responsible for ensuring that effective policies and procedures concerning the prevention of abusive conduct, discrimination, harassment, and retaliation exist in Consultant’s business organization. The City’s current Equal Employment Opportunity and Non-Discrimination policies to which this Section applies may be viewed at http://www.codepublishing.com/CA/SantaCruz/?SantaCruz09/SantaCruz0983.html and http://www.cityofsantacruz.com/home/showdocument?id=59192.
SECTION 12: LEGAL ACTION/ATTORNEYS’ FEES
If any action at law or in equity is brought to enforce or interpret the provisions of this Agreement, the prevailing party shall be entitled to reasonable attorneys’ fees in addition to any other relief. The laws of the State of California, with jurisdiction in the Santa Cruz County Superior Court, shall govern all matters relating to the validity, interpretation, and effect of this Agreement and any authorized or alleged changes, the performance of any of its terms, as well as the rights and obligations of Consultant and the City.
SECTION 13: AMENDMENTS
This Agreement may not be amended in any respect except by way of a written instrument which expressly references and identifies this particular Agreement, which expressly states that its purpose is to amend this particular Agreement, and which is duly executed by the City and Consultant. Consultant acknowledges that no such amendment shall be effective until approved and authorized by the City’s authorized representative. No representative of the City is authorized to obligate the City to pay the cost or value of services beyond the scope of services set forth in Exhibit A.
Such authority is retained solely by the City Manager, Director, or their designee. Unless expressly authorized by the City Manager or Director, Consultant’s compensation shall be limited to that set forth in Exhibit B, Fee Schedule.
SECTION 14: MISCELLANEOUS PROVISIONS
1. Project Manager/Key Staff. Director reserves the right to evaluate and confer with Consultant regarding the project manager or other key staff assigned by Consultant to perform the work under this Agreement. Consultant shall replace the project manager or key staff upon Director’s request due to Director’s concern about their performance.
Otherwise, no change in assignment by the Consultant may occur without prior written approval of the City.
2. Consultant Services Only. Consultant is employed to render professional services only and any payments made to Consultant are compensation solely for such professional services.
3. Independent Contractor. In the performance of this Agreement, it is expressly understood that Consultant, including each of Consultant’s employees, agents, subcontractors or others under Consultant’s supervision or control, is an independent contractor solely responsible for its own acts and omissions, and shall not be considered an employee of the City for any purpose. Consultant agrees to indemnify, defend and hold harmless the City, its officials, officers, employees, and agents against any claim or liability, including attorneys’ fees and costs, arising in any manner related to this Agreement that an employee, agent or others under Consultant’s supervision or control was misclassified.
26.10 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 7
In the event that Consultant or any employee, agent, or subcontractor of Consultant providing services under this Agreement is determined by a court of competent jurisdiction or the California Public Employees Retirement System (PERS) to be eligible for enrollment in PERS as an employee of City, Consultant shall indemnify, defend, and hold harmless City for the payment of any employee and/or employer contributions for PERS benefits on behalf of Consultant or its employees, agents, or subcontractors, as well as for the payment of any penalties and interest on such contributions, which would otherwise be the responsibility of City.
4. Consultant Not an Agent. Except as City may specify in writing, Consultant shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Consultant shall have no authority, express or implied, pursuant to this Agreement to bind City to any obligation whatsoever.
5. Subcontractors. Consultant shall obtain prior approval of the City prior to subcontracting of any work pursuant to this Agreement. If at any time, the City determines any subcontractor is incompetent or unqualified, Consultant will be notified and will be expected to immediately cancel the subcontract. Consultant shall require and verify that all subcontractors maintain insurance meeting all of the requirements stated herein, including naming the City of Santa Cruz, its officers, officials, employees, agents, and volunteers as additional insureds. Any modification to the insurance requirements for subcontractors must be agreed to by the City in writing.
Consultant shall be as fully responsible to the City for the negligent acts and omissions of its contractors and subcontractors or subconsultants, and of persons either directly or indirectly employed by them, or acting on Consultant’s behalf pursuant to this Agreement, as it is for the acts and omissions of persons directly employed by Consultant. Consultant’s obligation to pay its subconsultants is an independent obligation from the City’s obligation to make payments to the Consultant.
6. Assignment. This Agreement shall not be assigned without first obtaining the express written consent of the Director or after approval of the City Council. Neither party may assign this Agreement unless this Agreement is amended in accordance with its terms.
7. Conflicts of Interest. Consultant agrees to comply with conflict of interest lawsin performing the work and services under this Agreement. Consultant covenants (on behalf of Consultant and Consultant’s employees, agents, representatives, and subcontractors) that there is no direct or indirect interest, financial or otherwise, which would conflict in any manner or degree with the performance of services required under this Agreement. Consultant acknowledges and agrees to comply with applicable provisions of conflict of interest law and regulations, including the CA Political Reform Act, (Gov’t. Code §§1090, 87100), Levine Act (Gov’t. Code §84308), and the City’s conflict of interest code. Consultant will immediately advise City if Consultant learns of a conflicting financial interest of Consultant during the term of this Agreement.
8. City Property. The work, or any portion, of Consultant in performing this Agreement shall become the property of City. The Consultant may be permitted to retain copies of such work for information and reference in connection only with the provision of services for the City. All materials and work product, whether finished or unfinished, shall be delivered to City upon completion of contract services or termination of this Agreement for any reason.
Consultant acknowledges and agrees that the work product shall be considered a work made for hire within the meaning of the patent and copyright laws of the United States; and Consultant agrees that all copyrights which arise from creation of project-related documents and materials pursuant to this Agreement shall be vested in the City and Consultant waives and relinquishes all claims to copyright or other intellectual property rights in favor of City. Any work product related to this Agreement shall be confidential, not to be used by the Consultant on other projects or disclosed to any third party, except by agreement in writing by the City, or except as otherwise provided herein.
Consultant’s final deliverables shall comply with Section 508 (29 U.S.C. Section 794d) accessibility requirements,
26.11 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 8
as applicable. Notwithstanding any other provision of this Agreement to the contrary, Consultant shall retain the rights in any pre-existing standard drawing details, designs, specifications, databases, computer software, proprietary information, documents, templates, and any other property owned by Consultant on the date of this Agreement or developed outside of this Agreement.
9. Intellectual Property and Indemnity.
a. Consultant represents to City that, to the best of Consultant’s knowledge, any Intellectual Property (including but not limited to: patent, patent application, trade secret, copyright and any applications or right to apply for registration, computer software programs or applications, tangible or intangible proprietary information, or any other intellectual property right) in connection with any services and/or products related to this Agreement does not violate or infringe upon any Intellectual Property rights of any other person or entity. b. To the fullest extent permitted by law, Consultant agrees to indemnify, defend, and hold harmless City, its officials, officers, employees, and agents, from any and all claims, demands, actions, liabilities, damages, or expenses (including reasonable attorneys’ fees and costs) arising out of a claim of infringement, actual or alleged, direct or contributory, of any Intellectual Property rights in any way related to Consultant’s performance under this Agreement or to the City’s authorized intended or actual use of Consultant’s product or service under this Agreement. This provision shall survive termination or expiration of this Agreement. c. If any product or service becomes, or in the Consultant’s opinion is likely to become, the subject of a claim of infringement, the Consultant shall, at its sole expense: (i) provide the City the right to continue using the product or service; or (ii) replace or modify the product or service so that it becomes non-infringing; or (iii) if none of the foregoing alternatives are possible even after Consultant’s commercially reasonable efforts, in addition to other available legal remedies, City will have the right to return the product or service and receive a full or partial refund of an amount equal to the value of the returned product or service, less the unpaid portion of the purchase price and any other amounts, which may be due to the Consultant. City shall have the right to retrieve its data and proprietary information at no charge prior to any return of the product or termination of service.
10. Confidentiality.
a. Consultant shall not acquire any ownership interest in data and information (“City Data”) received by Consultant from City, which shall remain the property of the City. Certain information may be considered confidential (“Confidential Information”). Confidential Information shall mean all information or proprietary materials (in every form and media) not generally known to the public and which has been or is hereafter disclosed or made available directly or indirectly to Consultant through any means of communication, either verbally or in writing even if it has not been designated in writing as “Confidential” to Consultant in connection with this Agreement. Unless otherwise required by law, Consultant shall not, without City’s written permission, use or disclose City Data and/or Confidential Information other than in the performance of the obligations under this Agreement. As between Consultant and City, all City Confidential Information shall remain the property of the City. Consultant shall not acquire ownership interest in the City’s Confidential Information. b. Consultant shall be responsible for ensuring and maintaining the security and confidentiality of City Data and Confidential Information, protect against any anticipated threats or hazards to the security or integrity of City Data and Confidential Information, protect against unauthorized access to or use of City Data and Confidential Information that could result in substantial harm or inconvenience to City or any end users; and ensure the proper return and/or disposal of City Data and Confidential Information upon termination of this Agreement with notice to the City.
26.12 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 9
c. Consultant shall take appropriate action to address any incident of unauthorized access to City Data and Confidential Information, including addressing and/or remedying the issue that resulted in such unauthorized access, notifying City as soon as possible of any incident of unauthorized access to City Data and Confidential Information, or any other breach in Consultant’s security that materially affects City or end users; and be responsible for ensuring compliance by its officers, employees, agents, and subcontractors with the confidentiality provisions hereof. Should confidential and/or legally protected City Data be divulged to unauthorized third parties, Consultant shall comply with all applicable federal and state laws and regulations, including but not limited to California Civil Code sections 1798.29 and 1798.82 at Consultant’s sole expense.
Consultant shall not charge City for any expenses associated with Consultant’s compliance with these obligations.
d. Consultant shall defend, indemnify and hold harmless City, its officials, officers, employees and agents against any claim, liability, loss, injury or damage (including attorneys’ fee and costs) arising out of, or in connection with, the unauthorized use, access, and/or disclosure of City Data and/or Confidential Information by Consultant and/or its agents, employees or subcontractors, excepting only loss, injury or damage caused by the sole negligence or willful misconduct of the City. This provision shall survive the termination or expiration of this Agreement.
11. Consultant's Records/Audits. Consultant shall maintain accurate accounting records and other written documentation pertaining to the costs incurred relating to this Agreement for examination and audit by the City, State, or federal government, as applicable, in compliance with Gov. Code §8546.7 for a contract in excess of $10,000, or in compliance with other applicable federal laws (e.g. 48 CFR 31) or regulations for a period of three (3) years from: the date of the final City payment for Consultant's services, or from the date of final disposition of real property or equipment acquired with federal funds, or date of the termination of this Agreement, whichever is later. If Consultant engages a subcontractor to perform work related to this Agreement with a cost of $10,000 or more over a 12-month period, such subcontract shall contain these same requirements. This provision shall survive the termination of this Agreement.
12. California Public Records Act. City is a public agency subject to the disclosure requirements of the California Public Records Act (“CPRA”). If Consultant’s proprietary information is contained in documents or information submitted to City, and Consultant claims that such information falls within one or more CPRA exemptions, Consultant must clearly mark such information “Confidential and Proprietary,” and identify the specific lines containing the information. In the event of a request for such information, City will make best efforts to provide notice to Consultant prior to such disclosure. If Consultant contends that any documents are exempt from the CPRA and wishes to prevent disclosure, it is required to obtain a protective order, injunctive relief, or other appropriate remedy from a court of law in Santa Cruz County before the City is required to respond to the CPRA request. If Consultant fails to obtain such remedy within the time the City is required to respond to the CPRA request, City may disclose the requested information without any liability. Consultant further agrees that it shall defend, indemnify and hold City harmless against any claim, action or litigation (including but not limited to all judgments, costs, and attorney’s fees) that may result from denial by City of a CPRA request for information arising from any representation, or any action (or inaction), by the Consultant.
13. Compliance with Laws. All activities of Consultant, its employees, subcontractors and/or agents will be carried out in compliance with all applicable federal, state, and local laws and regulations. Consultant further agrees to comply with the covenant of good faith and fair dealing and other provisions of Santa Cruz Municipal Ordinance chapter 3.09, or otherwise Consultant may be subject to penalties including being declared an irresponsible contractor.
26.13 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 10
14. Licensure. Consultant agrees that Consultant, its subcontractors and/or agents (if any) has/have complied with all applicable federal, state, and local licensing requirements and agrees to provide proof of a current City of Santa Cruz Business Tax Certificate if:
• Consultant, its subcontractor(s) and agent(s) or its business is/are located in the City of Santa Cruz; • Will perform actual work in the City of Santa Cruz for 6 or more days annually; or • Will use company vehicles to deliver within the City of Santa Cruz for 6 or more days annually.
For additional information and licensing requirements, view the City’s Business Licenses and Permits webpage or call the Revenue and Taxation division at 831/420-5070.
15. Living Wage. Every contract for services to the City for $10,000 or more, is subject to City of Santa Cruz Living Wage Ordinance number 2000-25. If applicable, Consultant agrees to comply with the requirements of the Living Wage ordinance as provided in Santa Cruz Municipal Code Chapter 5.10.
16. Prevailing Wages for Public Work. To the extent that the work or services to be performed under this Agreement may be considered a “public work” (construction, alteration, demolition, or repair work) pursuant and subject to Labor Code section 1720 et seq., Consultant (and any subconsultant performing the work or services) shall conform to any and all prevailing wage requirements applicable to such work/and or services under this Agreement. Consultant (and any subconsultant) shall adhere to the prevailing wage determinations made by the Director of Industrial Relations (DIR) pursuant to California Labor Code Part 7, Chapter 1, Article 2, applicable to the work, if any. All workers employed in the execution of a public works contract (as such term is defined California Labor Code section 1720 et seq. and section 1782(d)(1)) must be paid not less than the specified prevailing wage rates for the type of work performed. (CA Labor Code sections 1720, 1774 and 1782.) To the extent applicable to the scope of work and services under this Agreement, Consultant agrees to be bound by the state prevailing wage requirements, including, but not limited to, the following:
a. If a worker is paid less than the applicable prevailing wage rate owed for a calendar day (or any portion thereof), Consultant shall pay the worker the difference between the prevailing wage rate and the amount actually paid for each calendar day (or portion thereof) for which the worker(s) was paid less than the prevailing wage rate, as specified in Labor Code section 1775; b. Consultant shall maintain and make available payroll and worker records in accordance with Labor Code sections 1776 and 1812;
c. If Consultant employs (and/or is legally required to employ) apprentices in performing the work and/or services under this Agreement, Consultant shall ensure compliance with Labor Code section 1777.5; d. Consultant is aware of the limitations imposed on overtime work by Labor Code sections 1810 et seq. and shall be responsible for any penalties levied in accordance with Labor Code section 1813 for failing to pay required overtime wages;
e. Consultant shall post a copy of the applicable wage rates at each jobsite at a location readily available to its workers.
f. Any failure of Consultant and/or its subconsultant to comply with the above requirements relating to a public work project shall constitute a breach of this Agreement that excuses the City’s performance of this Agreement at the City’s sole and absolute option and shall be at the sole risk of Consultant. Consultant on behalf of itself and any subconsultant, agree to indemnify, defend and hold harmless the City and its officials, officers, employees, and agents from and against any and all claims, liabilities, losses, costs,
26.14 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 11
expenses, attorney’s fees, damages, expenses, fines, financial consequences, interest, and penalties, of any kind or nature, arising from or relating to any failure (or alleged failure) of the Consultant and any subconsultant to pay prevailing wages or to otherwise comply with the requirements of prevailing wage law relating to a public work.
g. Consultant acknowledges that it and/or any subconsultant may not engage in the performance of any contract for public work unless currently registered with the DIR and qualified to perform public work pursuant to Labor Code section 1725.5 [with limited exceptions from this requirement for bid purposes only under Labor Code section 1771.1(a)].
17. Storm Water Requirements. To the extent applicable to the Scope of Work under this Agreement, Consultant, Consultant’s employees, subcontractors, and agents are required to abide by the applicable City of Santa Cruz Storm Water Best Management Practices (BMPs) for the duration of the work. The City’s mandatory Storm Water BMPs, which are listed according to the type of work, operations, or business, are located on the City website at: https://www.cityofsantacruz.com/government/city-departments/public-works/stormwater/bestmanagement-practices
18. Dispute Resolution. The Parties agree to attempt in good faith to resolve through negotiation any dispute, claim or controversy arising out of or relating to this Agreement. Either party may initiate negotiations by providing written notice in letter form to the other party, setting forth the subject of the dispute and the relief requested.
Promptly upon such notification, the Parties shall meet at a mutually agreeable time and place in order to exchange relevant information and perspective, and to attempt to resolve the dispute. In the event that no resolution is achieved, and if, but only if, the parties mutually agree, then prior to pursuing formal legal action, the parties shall make a good faith effort to resolve the dispute by non-binding mediation or negotiations between representatives with decision-making power, who, to the extent possible, shall not have had substantive involvement in the matters of the dispute. To the extent that the dispute involves or relates to a public works project, the Parties agree to attempt to resolve the dispute by complying with the claims process as set forth in Public Contract Code sections 9204(e), 20104-20104.6, but without waiving the requirements of the California Tort Claims Act, Gov’t Code section 800 et seq. unless otherwise agreed to by the Parties.
19. Force Majeure. Neither party hereto shall be considered in default in the performance of its obligation hereunder to the extent that the performance of any such obligation is prevented or delayed by an act of God, natural disaster, pandemic, acts of terrorism, war, a strike, lockout or other labor difficulty, or other peril, which is beyond the reasonable control of the affected party and without the negligence of the respective Parties. Each party hereto shall give notice promptly to the other of the nature and extent of any Force Majeure claimed to delay, hinder or prevent performance of the services under this Agreement. Each Party will, however, make all reasonable efforts to remove or eliminate such a cause of delay or default and will, upon the cessation of the cause, diligently pursue performance of its obligations in this Agreement. In the event either party is prevented or delayed in the performance of its respective obligation by reason of such Force Majeure, the only remedy is that there may be an equitable adjustment of the schedule based on City’s sole discretion.
20. Complete Agreement. This Agreement, along with any attachments, is the full and complete integration of the Parties’ agreement with respect to the matters addressed herein, and that this Agreement supersedes any previous written or oral agreements between the Parties with respect to the matters addressed herein. Unless otherwise stated, to the extent there is any conflict between this Agreement and any other agreement (written or oral), the terms of this Agreement shall control.
26.15 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 12
21. Severability. The unenforceability, invalidity or illegality of any provision(s) of this Agreement shall not render the other provisions unenforceable, invalid or illegal.
22. Waiver. Waiver by any party of any portion of this Agreement shall not constitute a waiver of the same or any other portion hereof.
23. Governing Law. This Agreement shall be governed by and interpreted in accordance with California law.
24. Contract Interpretation. Each party acknowledges that it has reviewed this Agreement and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement.
25. MacBride Principles/Peace Charter. City of Santa Cruz Resolution NS-19,378 (7/24/90) encourages all companies doing business in Northern Ireland to abide by the MacBride Principles and Peace Charter.
26. Notices. If either party shall desire or is required to give notice to the other, such notice shall be given in writing, via email, and concurrently delivered by: (a) personal delivery, in which case notice is effective upon delivery; (b) overnight courier (i.e., Federal Express) with charges prepaid or charged to the sender’s account, in which case notice is effective when delivered; (c) priority U.S. Mail, in which case notice shall be deemed delivered on the second business day after the deposit thereof with the U.S. Postal Service. Notices shall be addressed to recipient as follows:
To CITY:
City of Santa Cruz Water Department
Heidi Luckenbach, Water Director
212 Locust Street, Ste A
Santa Cruz, CA 95060
[email protected]/ (831)-420-5200
To CONSULTANT:
Errol L. Montgomery & Associates, Inc.
Cameron Tana, P.E.
1970 Broadway, Suite 225
Oakland, CA 94612
[email protected]/ (510) 903-0458
The Parties must provide notice of any changes to the above information in writing at least ten (10) business days before the change is effective.
27. Counterparts. The Parties may execute this Agreement in two or more counterparts, which shall, in the aggregate, be deemed an original but all of which, together, shall constitute one and the same instrument. A scanned, electronic, facsimile or other copy of a party’s signature shall be accepted and valid as an original.
28. Warranty of Authority. The signatories to this Agreement warrant and represent that each is authorized to execute this Agreement and that their respective signatures serve to legally obligate their respective representatives, agents, successors and assigns to comply with the provisions of this Agreement. [SIGNATURES ON FOLLOWING PAGE]
26.16 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 13
Approved As To Form:
By: _____________________________ Date: __________________ Office of the City Attorney
CITY OF SANTA CRUZ WATER DEPARTMENT
By: _____________________________ Date: __________________ Heidi Luckenbach, P.E.,
Water Director
CONSULTANT: ERROL L. MONTGOMERY & ASSOCIATES, INC.
By: _____________________________ Date: __________________ Printed: ___________________________ Title: __________________ By: _____________________________ Date: __________________ Printed: ___________________________ Title: __________________ Signature Requirements for Business Entity:
a. Corporation – 2 officer signatures required (one from each group, unless person signing holds officer positions in both Group 1 and 2):
Group 1: Chief Executive Officer, Chairman of the Board, President, or Vice President Group 2: Secretary, Assistant Secretary, Chief Financial Officer, Treasurer, Assistant Treasurer Technical Review By:
By: _____________________________ Date: ___________
Isidro Rivera, P.E., Deputy Water Director/Engineering Manager
CITY OF SANTA CRUZ
By: _____________________________ Date: __________________ Matt Huffaker,
City Manager
26.17 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 14
EXHIBIT A: SCOPE OF WORK AND WORK SCHEDULE
26.18 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 15
EXHIBIT B: FEE SCHEDULE
26.19 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 16
EXHIBIT C: INSURANCE REQUIREMENTS
Consultant shall procure and maintain insurance against claims for injuries to persons or damages to property and otherwise which may arise from or in connection with the performance of the work under this Agreement and the results of that work by Consultant, its agents, representatives, employees, or subcontractors.
A. CERTIFICATE REQUIREMENTS
The City will be issued a Certificate of Insurance (a Memorandum of Understanding will not be accepted) with the following minimum requirements:
• Certificate(s) will show current policy number(s) and effective dates, • Coverage and policy limits will meet, or exceed, requirements below, • The Certificate Holder will be City of Santa Cruz, Risk Management, 1200 Pacific Ave., Suite 290, Santa Cruz, CA 95060,
• Certificate will be signed by an authorized representative, • An endorsement, if required below, will be provided to show the City, its officers, officials, employees, and volunteers as additional insureds, and
• Coverages must be maintained during the term of the Agreement with the City, unless a longer duration is required as specified below.
B. MINIMUM SCOPE AND LIMITS OF INSURANCE
Consultant acknowledges that the insurance coverage and policy limits set forth in this section constitute the minimum amount of coverage required. If Consultant maintains broader insurance coverage and/or higher limits than the minimums shown below, the City of Santa Cruz requires and shall be entitled to the broader insurance coverage and/or higher limits maintained by Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City of Santa Cruz.
Coverage will be at least as broad as:
• COMMERCIAL GENERAL LIABILITY (CGL): $1,000,000 PER OCCURRENCE; $2,000,000 AGGREGATE Proof of coverage for $1 Million per occurrence and $2 Million in the aggregate including products and completed operations, property damage, bodily injury, personal and advertising injury will be provided on Insurance Services Office (ISO) Form CG 00 01 covering CGL. • PROFESSIONAL LIABILITY (ERRORS AND OMISSIONS): $2,000,000 PER OCCURRENCE OR CLAIM, $2,000,000 AGGREGATE.
Consultant will maintain insurance appropriate to Consultant’s profession; with limit no less than $2,000,000 per occurrence or claim, $2,000,000 aggregate. Insurance must be maintained, and evidence of insurance must be provided for at least five (5) years after date of completion of the services under this Agreement. 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 or start of work date, Consultant must purchase “extended reporting” coverage for a minimum of five (5) years after completion of the contract of work.
• AUTOMOBILE LIABILITY:
Proof of coverage for $1,000,000 provided on ISO Form Number CA 00 01 covering any auto (Code 1), or if Consultant has no owned autos, hired, (Code 8) and non-owned autos (Code 9), per accident for bodily injury and property damage.
26.20 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 17
• WORKERS’ COMPENSATION AS REQUIRED BY THE STATE OF CALIFORNIA, WITH STATUTORY LIMITS, AND EMPLOYER’S LIABILITY INSURANCE: $1,000,000 per accident for bodily injury or disease.
The Worker’s Compensation policy must be endorsed with a waiver of subrogation in favor of the City for all work performed by the Consultant and its employees. (Not required if Consultant provides written verification it has no employees) - If Consultant has no employees, Consultant shall complete and sign a Workers’ Compensation Exemption Declaration and Release of Liability.
OTHER INSURANCE PROVISIONS
The insurance policies are to comply with the following provisions:
• ADDITIONAL INSURED STATUS
The City, its officers, officials, employees, agents, and volunteers are to be covered as additional insureds on the CGL policy(ies) with respect to liability arising out of work or operations performed by or on behalf of Consultant including materials, parts, or equipment furnished in connection with such work or operations, products and completed operations. General liability coverage will be provided in the form of an endorsement to Consultant’s insurance at least as broad as ISO Form CG 20 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).
• PRIMARY COVERAGE
For any claims related to this Agreement, Consultant’s and all subcontractor’s insurance coverage will be primary and non-contributory as respects the City, its officers, officials, employees, agents, and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, agents, or volunteers will be excess of Consultant’s and all subcontractor’s insurance and will not contribute with it.
• NOTICE OF CANCELLATION
Each insurance policy required above shall state that the coverage shall not be canceled, except with notice to the City.
• WAIVER OF SUBROGATION
Consultant hereby grants to the City a waiver of any right to subrogation, except as otherwise not applicable, which any insurer of said Consultant may acquire against the City by virtue of the payment of any loss, including attorney’s fees under such insurance. Consultant agrees to obtain any endorsement that may be necessary to effectuate 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. • EXCESS LIABILITY/UMBRELLA INSURANCE POLICIES
Consultant may use excess liability/umbrella policies to meet the required liability limits on the condition that they provide all of the insurance coverages required herein, including, but not limited to, primary and non-contributory, additional insured, Self-Insured Retentions (SIRs), indemnity, and defense requirements. The excess liability/umbrella insurance policies shall be provided on a true “following form” or broader coverage basis, with coverage at least as broad as provided on the underlying CGL insurance. No insurance policies maintained by the additional insureds, whether primary or excess, and which also apply to a loss covered hereunder, shall be called upon to contribute to a loss until the Consultant’s primary and excess liability policies are exhausted.
26.21 City of Santa Cruz Professional Services Agreement for Groundwater Modeling Scenarios
Santa Magarita Groundwater Basin
October 2025 Page 18
• SELF-INSURED RETENTIONS (SIR)
Self-insured retentions must be declared to and approved by the City. City may require Consultant to purchase coverage with a lower retention or provide proof of ability to pay losses and related expenses.
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.
• ACCEPTABILITY OF INSURERS
Insurance is to be placed with insurers with a current A.M. Best’s rating of no less than A: VII, unless otherwise acceptable to the City.
• CLAIMS MADE POLICIES
If any of the required policies provide coverage on a claims-made basis:
1. The Retroactive Date must be shown and must be before the date of the contract or the beginning of contract work.
2. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5) years after completion of the contract of work.
3. 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 Consultant must purchase “extended reporting” coverage for a minimum of five (5) years after completion of contract work. • VERIFICATION OF COVERAGE
Consultant will 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 be approved by the City before work commences. However, failure to obtain the required documents prior to the work beginning will not waive the Consultant’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.
C. SUBCONTRACTORS
Consultant shall include their subcontractor(s) as additional insured(s) under the policies or shall furnish separate certificates and endorsements for each contractor and subcontractor. Consultant shall require and verify that all contractors and subcontractors maintain insurance meeting all the requirements stated herein, and Consultant shall ensure that City, its officers, officials, employees, agents, and volunteers are named as additional insureds on insurance required from its contractor(s) and subcontractor(s).
D. SPECIAL RISKS/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 and provide notice to Consultant.
26.22 City Council
AGENDA REPORT
DATE: 10/08/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Water
SUBJECT: Grant of Easement - County of Santa Cruz – Lompico Emergency Evacuation Route, APN 076-251-24 (WT)
LOCATION: County
RECOMMENDATION: Motion to adopt a resolution authorizing the City Manager to execute a Grant of Easement to the County of Santa Cruz covering a portion of City property located on the Newell Creek Watershed along Newell Creek Road in Lompico Canyon, APN 076-251-24.
BACKGROUND: The Lompico Canyon community is located in an unincorporated region of Santa Cruz County that is mountainous and at risk for emergency events such as wildfires and storms. Currently, the only access route for ingress and egress to and from the Lompico community is Lompico Road which poses a significant safety risk to residents and first responders in the event of an emergency.
DISCUSSION: To improve evacuation and emergency access during emergencies, the County of Santa Cruz (County) is implementing its Lompico Canyon Emergency Evacuation Route Project Phase II (Project) which includes the construction and maintenance of a new emergency evacuation route for the Lompico Canyon community and associated neighborhoods. The emergency evacuation route will connect West Drive to Newell Creek Road.
The County will need a Grant of Easement to construct and maintain a portion of the emergency evacuation route through City property on the Newell Creek Watershed off Newell Creek Road.
Staff have reviewed the Project and determined that there will be no impacts to City’s operations or use of the property.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION:
Granting the proposed easement is not a “Project” under CEQA. The County will conduct CEQA review for its proposed road project.
HEALTH IN ALL POLICIES (HiAP): This Grant of Easement aligns with the public health pillar of the City’s HiAP initiative in that supporting regional emergency measures reinforces the City’s commitment to building a resilient and safer community within Santa Cruz County.
27.1 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: As a result of this action, the City will receive the appraised value of the easement. The easement is valued at $2,450.00 and will be paid to the Water Department from the County of Santa Cruz, as per the appraisal report and contract. These funds will be deposited into Water Enterprise fund 711 for FY 2026.
Prepared By:
Katy Fitzgerald
Management Analyst
Submitted By:
Heidi Luckenbach, P.E.
Water Director
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. RESOLUTION.DOCX
2. EASEMENT AGREEMENT.PDF
3. CONTRACT.PDF
27.2 RESOLUTION NO. NS-XX,XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ AUTHORIZING
THE CITY MANAGER TO EXECUTE A GRANT OF EASEMENT TO THE
COUNTY OF SANTA CRUZ IN LOMPICO CANYON ON APN 076-251-24 WHEREAS, the County of Santa Cruz has requested a Grant of Easement from the City of Santa Cruz to construct and maintain an emergency evacuation route for Lompico Canyon residents and associated neighborhoods; and
WHEREAS, such easement would not interfere with the city’s use and protection of said City property.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Santa Cruz that the City Manager is hereby authorized to execute certain Grant of Easement pertaining to City property located in the Newell Creek Watershed on APN 076-251-24 from the City of Santa Cruz to the County of Santa Cruz, upon the terms and conditions as set forth in said Grant of Easement presented to Council on this date, in a form approved by the City Attorney.
PASSED AND ADOPTED this 28th day of October, 2025, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
27.3 RECORDED AT THE REQUEST OF:
COUNTY OF SANTA CRUZ
Govt. Agency Exempt GC 27383
WHEN RECORDED RETURN TO:
GENERAL SERVICES DEPARTMENT
701 OCEAN STREET RM 330
SANTA CRUZ, CA 95060
ATTN: Real Property Division
PORTION APN: 076-251-24
E A S E M E N T D E E D
Documentary Tax Exempt RT 11922
For value received THE CITY OF SANTA CRUZ, A MUNICIPAL CORPORATION, (“GRANTOR”), HERBY, GRANTS to the COUNTY OF SANTA CRUZ, a political subdivision of the State of California, an EASEMENT FOR EMERGENCY TRAVEL AND MAINTENANCE situate in the County of Santa Cruz, State of California described below
FOR LEGAL DESCRIPTION SEE EXHIBIT "A", ATTACHED HERETO AND MADE A PART HEREOF
EASEMENT AGREEMENT
1. USE OF EASEMENT. Grantee and its assigns and licensees may utilize the Easement for the following express purposes:
A. EMERGENCY INGRESS AND EGRESS TO AND FROM THE LOMPICO AREA. Grantee may utilize the Easement for emergency access to and from the Lompico area. Grantee may allow other parties, specifically including emergency personnel and members of the public (“invitees”), to utilize the Easement for emergency access when Grantee determines that there is an emergency. For the purposes of this Easement, an “Emergency” shall mean any natural disaster emergency event that Grantee reasonably determines constitutes an immediate threat to public safety, with or without a formally declared state or local disaster. Grantee shall make reasonable efforts to inform Grantor of the existence of an emergency that requires use of the Easement.
B. CONSTRUCTION OF SAID EMERGENCY ACCESS ROUTE. Grantee shall have the right to construct and/or improve the area within the Easement to a condition sufficient, in Grantee’s sole discretion, to serve the Easement’s intended purpose.
C. MAINTENANCE OF EASEMENT AREA. Grantee shall have the right to access and utilize the area of the Easement to maintain and repair the area of the Easement in a condition sufficient for the purpose of utilizing the Easement for emergency access. Grantee will inspect the evacuation route no less than once annually and may conduct additional inspections on an as-need basis, to maintain its function as an evacuation route and ensure that it is in suitable condition for vehicular passage during an emergency.
Grantee shall also have the right to maintain the evacuation route by performing routine maintenance activities and necessary repairs, which may include but shall not be limited to, spot grading, vegetation maintenance, and pothole/surface repair of the route. Grantee shall, whenever practical, provide Grantor with reasonable notice of such inspections and maintenance activities. Grantee may utilize County personnel or contractors for said inspections and maintenance activities. Grantee shall have no right, and shall not be obligated, to maintain or repair the area of the Easement beyond the minimal amount necessary for using the Easement for emergency access as described above. In the event of catastrophic damage or total loss County will not cover any cost in excess of $10,000 to repair the Easement area unless approved by the Board of Supervisors and subject to available funding. Grantee’s maintenance responsibilities under this agreement will not be in effect until after the completion of construction of the emergency egress connection as described and illustrated in the attached Exhibit B.
27.4 D. RESTORATION OF SERVIENT ESTATE. If use of the Easement by Grantee or Grantee’s invitees damages Grantor’s property, including damage that occurs during construction, repair, maintenance, or use of the emergency access route described above, Grantee shall restore the Servient estate to an equivalent condition as before the damage occurred. Grantee shall not be responsible for repairing or maintaining Grantor’s road-related infrastructure, including but not limited to retaining walls, culverts, or road surfaces, unless infrastructure is damaged during Grantee’s use of the Easement. Further, Grantee shall not be responsible for repairing any damage caused by natural disasters, extreme weather events, or other unforeseen circumstances beyond Grantee’s control. However, subject to available funding and approval from the Board of Supervisor’s Grantee may repair such damage if the damage prevents the Easement from adequately serving as an emergency egress route.
E. SECURITY OF EASEMENT. Grantee shall take reasonable steps to ensure that access to the Easement is secured by locked gate on either end of the emergency access route when the Easement is not in use, and shall also post signs advising the public not to trespass on said route.
F. NOTICE TO GRANTOR. Grantee shall attempt to provide reasonable advance notice to Grantor prior to accessing the Easement for maintenance or repairs, except in the event of an emergency or imminent threat to public safety. Grantee shall provide Grantor with at least seven (7) days’ advance notice prior to any non-emergency access. Notice may be provided verbally or in writing and shall include the estimated date and duration of access. Grantee shall make reasonable efforts to minimize disruption to Grantors’ use of their property during such access.
2. TERM OF EASEMENT. The Easement shall exist until expressly terminated by Grantee through vacation, abandonment, or reconveyance to Grantor or Grantor’s successors-in-interest.
3. NO UNREASONABLE INTERFERENCE. Grantor shall not conduct any activity on, under or about the Easement that would unreasonably interfere with the use of the Easement by Grantee.
4. IMPLIED RIGHTS GRANTED. All rights not expressly stated herein, but which are reasonably necessary to Grantee’s used of the Easement for the purposes described above, are hereby granted to Grantee, regardless of whether they are expressly set forth herein.
5. RUNS WITH THE LAND; BINDS SUCCESSORS AND ASSIGNS. The Easement is an easement in gross. Pursuant to California Civil Code section 1468, this Easement Agreement and the Easement are covenants related to the use, repair, maintenance and improvement of the properties benefited and burdened hereby, and, as such, the covenants set forth herein shall be binding upon Grantor’s property as identified in Exhibit “A,” and shall be binding upon all parties having or in the future acquiring any interest in Grantor’s property.
6. ENTIRE AGREEMENT; AMENDMENTS. This agreement contains the entire agreement of the parties hereto relating to the Easement herein granted. Any representations or modifications concerning this Easement shall be of no force and effect, excepting a subsequent modification in writing duly executed by both Grantor and Grantee, or their respective successors-in-interest.
7. WARRANTY OF AUTHORITY. Grantor represents and warrants as of the date set forth below that (i) Grantor is the legal owner of the property identified in Exhibit “A”, (ii) it has full power and authority to place the encumbrance of this Easement said property, (iii) it has not conveyed (or purported to convey) any right, title or interest in or to the Easement prior to the date set forth below, and (iv) if necessary, it has all required written consents of any lenders, tenants and subtenants necessary to grant the Easement.
8. INDEMNIFICATION AND LIABILITY.
To the fullest extent permitted by law, Grantee shall indemnify, defend, and hold harmless Grantor, and Grantor’s successors and assigns, from and against any and all claims, demands, damages, liabilities, losses, costs, or expenses (including reasonable attorneys’ fees), arising out of or related to the use, construction, improvement, maintenance, repair, or operation of the Easement by Grantee, its contractors, agents, licensees, invitees, or any member of the public authorized to use the Easement by Grantee for the Easement’s intended
27.5 purposes. For avoidance of doubt, this provision also extends to constructing, improving and maintaining the contemplated emergency evacuation route within the area of the Easement, and Grantee agrees to, at Grantee’s option, either reimburse Grantor for or repair any damage to Grantor’s remainder parcel directly caused by those construction, improvement or maintenance activities.
This indemnification shall not apply to any claims or damages resulting from the negligence or willful misconduct of Grantor. Nothing in this provision shall be construed as a waiver of any governmental immunity available to the Grantee under applicable law.
Grantee’s obligation under this Section shall survive the termination or expiration of this Easement.
--- SIGNATURE PAGE TO FOLLOW---
27.6 “Grantor” “Grantee”
City of Santa Cruz
_______________________________________
Date
Matt Machado, Deputy CAO, Director
Department of Public Works
____________________________________________
Date
Approved as to Form:
_____________________________________________
Office of County Counsel Date
Approved as to Insurance:
_____________________________________________
Risk Management Date
Recommended for Approval:
_____________________________________________
Real Property Date
27.7 State of CALIFORNIA County of SANTA CRUZ
On ___________________ before me,
____________________, Deputy Clerk of said County of Santa Cruz, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the persons whose names is subscribed to the within instrument and acknowledged to me that they executed the same in their authorized capacities, and that by their signatures on the instrument the persons, or the entity upon behalf of which the persons 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 at my office in said County and State, Tricia Webber, COUNTY CLERK
Signature _______________________________, Deputy
JUSTIN ENDERS
The following information is OPTIONAL, however it may prove valuable to person(s) relying on the document and could prevent fraudulent removal and re-attachment of this acknowledgment to another document.
DESCRIPTION OF THE ATTACHED DOCUMENT
Title or Type of Document: Permanent Easement
Document Date: ________________ Number of Pages:
Signer(s) Other Than Named Above:
Other Information: APN 076-251-33
CAPACITIES CLAIMED BY SIGNER: Owner
A NOTARY PUBLIC OR OTHER OFFICER COMPLETING THIS CERTIFICATE VERIFIES ONLY THE IDENTITY OF THE INDIVIDUAL(S) WHO SIGNED THE DOCUMENT WHICH THIS CERTIFICATE IS ATTACHED, AND NOT THE TRUTHFULNESS, ACCURACY, OR VALIDITY OF THAT DOCUMENT.
27.8 CERTIFICATE OF ACCEPTANCE -
Govt. Code Sec. 27281
This is to certify that the interest in real property conveyed by the within deed to the County of Santa Cruz, a political subdivision of the State of California, is hereby accepted by Ordinance No. 5247 of the Board of Supervisors dated May 24, 2017, and the Grantee consents to recordation thereof by its duly authorized officer.
Dated _______________________________________
By _________________________________________
DIRECTOR OF PUBLIC WORKS
27.9 EASEMENT FOR EMERGENCY ACCESS
SITUATE in the County of Santa Cruz, State of California, and described as follows:
BEING an easement for an emergency egress, no use allowed except for use during emergencies and for annual maintenance,
BEING an exclusive easement, 20 feet in width, the centerline described as follows:
BEGINNING at an angle point in the centerline of West Drive as shown on that map filed in Volume 106 of Maps, at Page 3, Santa Cruz County Records, said angle point also being the northeast corner of the lands of Lebarre as described in Document #2004-0091179, Santa Cruz County Records, from which a ¾ inch iron pipe, no tag, on the southerly line of said lands of Lebarre, South 00⁰18’00” West, a distance 54.77 feet and North 89⁰55’08” East, a distance of 422.98 feet; thence along the centerline of the following courses:
1. South 12⁰20’34” West, a distance of 61.29 feet;
2. South 07⁰08’41” East, a distance of 303.56 feet, to a tangent curve to the right
3. along said curve to the right with a radius of 100 feet, through an angle of 19⁰31’14”, an arc length of 34.07 feet;
4. South 12⁰22’33” West, a distance of 52.01 feet, to a tangent curve to the right;
5. along said curve to the right with a radius of 100 feet, through an angle of 12⁰05’25”, an arc length of 21.10 feet;
6. South 24⁰27’57” West, a distance of 230.80 feet, to a tangent curve to the left;
7. along said curve to the left with a radius of 100 feet, through an angle of 11⁰57’33”, an arc length of 20.87 feet;
8. South 12⁰30’25” West, a distance of 111.91 feet, to a tangent curve to the left;
9. along said curve to the left with a radius of 100 feet, through an angle of 26⁰54’30”, an arc length of 46.96 feet;
EXHIBIT A
27.10 10. South 14⁰24’05” East, a distance of 134.17 feet, to a tangent curve to the right;
11. along said curve to the right with a radius of 25 feet, through an angle of 124⁰26’25”, an arc length of 54.30 feet;
12. North 69⁰57’40” West, a distance of 29.65 feet, to a tangent curve to the left;
13. along said curve to the left with a radius of 50 feet, through an angle of 26⁰37’43”, an arc length of 23.24 feet;
14. South 83⁰24’36” West, a distance of 58.52 feet, to a tangent curve to the left;
15. along said curve to the left with a radius of 50 feet, through an angle of 26⁰04’41”, an arc length of 22.76 feet;
16. South 57⁰19’56” West, a distance of 115.70 feet, to a tangent curve to the right;
17. along said curve to the right with a radius of 50 feet, through an angle of 27⁰18’10”, an arc length of 23.83 feet;
18. South 84⁰38’05” West, a distance of 97.33 feet, to a tangent curve to the right;
19. along said curve to the right with a radius of 100 feet, through an angle of 13⁰14’15”, an arc length of 23.10 feet;
20. North 82⁰07’40” West, a distance of 54.29 feet, to a tangent curve to the left;
21. along said curve to the left with a radius of 100 feet, through an angle of 25⁰40’37”, an arc length of 44.82 feet;
22. South 72⁰11’43” West, a distance of 72.14 feet, to a tangent curve to the right;
23. along said curve to the right with a radius of 100 feet, through an angle of 17⁰35’00”, an arc length of 38.69 feet;
24. South 89⁰46’43” West, a distance of 71.22 feet, to a tangent curve to the right;
25. along said curve to the right with a radius of 50 feet, through an angle of 58⁰31’54”, an arc length of 51.08 feet;
26. North 31⁰41’22” West, a distance of 79.76 feet, to a tangent curve to the left;
27. along said curve to the left with a radius of 50 feet, through an angle of 56⁰50’40”, an arc length of 49.61 feet;
27.11 28. North 88⁰32’02” West, a distance of 57.49 feet, to a point on the easterly side of the lands of Yee as described in Document #2010-0017978, Official Records of Santa Cruz County, from which a found 1-1/2 inch iron pipe, tagged RCE 10307, located on the northerly line of Section 3, Township 10 South, Range 2 West, M.D.B.&M. bears North 00⁰31’15” West, a distance of 224.84 feet,
29. North 88⁰32’02” West, a distance of 0.70 feet, to a tangent curve to the right;
30. along said curve to the right with a radius of 60 feet, through an angle of 16⁰59’05”, an arc length of 17.79 feet;
31. North 71⁰32’57” West, a distance of 44.10 feet, to a tangent curve to the left;
32. along said curve to the left with a radius of 50 feet, through an angle of 76⁰56’35”, an arc length of 67.15 feet to a reverse curve to the right;
33. along said curve to the right with a radius of 75 feet, through an angle of 63⁰21’59”, an arc length of 82.95 feet;
34. North 85⁰07’33” West, a distance of 3.44 feet, to a tangent curve to the right;
35. along said curve to the right with a radius of 250 feet, through an angle of 36⁰46’44”, an arc length of 160.48 feet;
36. North 48⁰20’49” West, a distance of 270.35 feet, to a tangent curve to the left;
37. along said curve to the left with a radius of 100 feet, through an angle of 52⁰16’16”, an arc length of 91.23 feet;
38. South 79⁰22’55” West, a distance of 46.75 feet, to a tangent curve to the right;
39. along said curve to the right with a radius of 85 feet, through an angle of 58⁰58’07”, an arc length of 87.48 feet to a compound curve to the right;
40. along said curve to the right with a radius of 310 feet, through an angle of 51⁰38’54”, an arc length of 279.44 feet to a compound curve to the right;
41. along said curve to the right with a radius of 50 feet, through an angle of 24⁰44’48”, an arc length of 21.60 feet;
42. North 34⁰44’43” East, a distance of 18.45 feet, to a tangent curve to the right;
27.12 43. along said curve to the right with a radius of 50 feet, through an angle of 47⁰20’19”, an arc length of 41.31 feet;
44. North 82⁰05’02” East, a distance of 35.24 feet, to a tangent curve to the left;
45. along said curve to the left with a radius of 75 feet, through an angle of 74⁰15’53”, an arc length of 97.21 feet;
46. North 07⁰49’09” East, a distance of 66.84 feet, to a tangent curve to the right;
47. along said curve to the right with a radius of 100 feet, through an angle of 28⁰55’54”, an arc length of 50.50 feet;
48. North 36⁰45’03” East, a distance of 56.62 feet to a tangent curve to the left;
49. along said curve to the left with a radius of 50 feet, through an angle of 09⁰23’35”, an arc length of 8.20 feet;
50. North 27⁰21’28” East, a distance of 42.51 feet to a tangent curve to the right;
51. along said curve to the right with a radius of 250 feet, through an angle of 04⁰09’32”, an arc length of 18.15 feet;
52. North 31⁰31’00” East, a distance of 194.46 feet to a tangent curve to the right;
53. along said curve to the right with a radius of 200 feet, through an angle of 06⁰30’46”, an arc length of 22.73 feet;
54. North 38⁰01’46” East, a distance of 40.95 feet to a tangent curve to the left;
55. along said curve to the left with a radius of 50 feet, through an angle of 36⁰21’16”, an arc length of 31.73 feet;
56. North 01⁰40’30” East, a distance of 12.62 feet to a tangent curve to the left;
57. along said curve to the left with a radius of 25 feet, through an angle of 71⁰57’13”, an arc length of 31.40 feet to a compound curve to the left;
58. along said curve to the left with a radius of 50 feet, through an angle of 37⁰01’28”, an arc length of 32.31 feet;
59. South 72⁰41’50” West, a distance of 116.89 feet to a tangent curve to the right;
27.13 60. along said curve to the right with a radius of 125 feet, through an angle of 60⁰52’24”, an arc length of 132.81 feet;
61. North 46⁰25’46” West, a distance of 37.26 feet to a tangent curve to the left;
62. along said curve to the left with a radius of 60 feet, through an angle of 59⁰59’20”, an arc length of 62.82 feet;
63. South 73⁰34’54” West, a distance of 36.00 feet to a tangent curve to the right;
64. along said curve to the right with a radius of 100 feet, through an angle of 32⁰40’04”, an arc length of 57.02 feet;
65. North 73⁰45’01” West, a distance of 55.28 feet to a tangent curve to the right;
66. along said curve to the right with a radius of 150 feet, through an angle of 20⁰43’38”, an arc length of 54.26 feet;
67. North 53⁰01’23” West, a distance of 50.65 feet to a tangent curve to the left;
68. along said curve to the left with a radius of 125 feet, through an angle of 13⁰09’37”, an arc length of 28.71 feet;
69. North 66⁰11’01” West, a distance of 58.98 feet to a tangent curve to the right;
70. along said curve to the right with a radius of 125 feet, through an angle of 32⁰26’41”, an arc length of 70.78 feet;
71. North 33⁰44’19” West, a distance of 89.14 feet to a tangent curve to the left;
72. along said curve to the left with a radius of 100 feet, through an angle of 05⁰54’38”, an arc length of 10.32 feet;
73. North 39⁰38’57” West, a distance of 260.43 feet;
74. South 84⁰13’40” West, a distance of 124.96 feet;
75. North 63⁰28’51” West, a distance of 144.66 feet;
76. South 71⁰47’50” West, a distance of 217.92 feet;
77. South 59⁰45’26” West, a distance of 314.99 feet;
27.14 78. South 39⁰34’51” West, a distance of 134.88 feet to a tangent curve to the left;
79. along said curve to the left with a radius of 50 feet, through an angle of 80⁰33’11”, an arc length of 70.30 feet;
80. South 40⁰58’20” East, a distance of 114.05 feet;
81. South 66⁰50’51” East, a distance of 166.37 feet;
82. South 22⁰58’55” East, a distance of 125.13 feet;
83. South 42⁰49’43” East, a distance of 103.94 feet to a tangent curve to the right;
84. along said curve to the right with a radius of 30 feet, through an angle of 89⁰48’06”, an arc length of 47.02 feet to a reverse curve to the left;
85. along said curve to the left with a radius of 75 feet, through an angle of 144⁰00’12”, an arc length of 188.50 feet to a reverse curve to the right;
86. along said curve to the right with a radius of 30 feet, through an angle of 180⁰00’15”, an arc length of 94.25 feet to a reverse curve to the left;
87. South 82⁰58’35” West, a distance of 398.56 feet;
88. North 76⁰30’00” West, a distance of 165.42 feet;
89. South 63⁰04’35” West, a distance of 112.12 feet;
90. North 75⁰30’44” West, a distance of 136.17 feet;
91. South 89⁰18’05” West, a distance of 119.34 feet to a tangent curve to the right;
92. along said curve to the right with a radius of 220 feet, through an angle of 34⁰08’07”, an arc length of 131.07 feet to a reverse curve to the left;
93. along said curve to the left with a radius of 50 feet, through an angle of 66⁰07’51”, an arc length of 57.71 feet;
94. South 57⁰18’03” West, a distance of 216.81 feet to a tangent curve to the left;
95. along said curve to the left with a radius of 30 feet, through an angle of 73⁰49’28”, an arc length of 38.65 feet to a reverse curve to the right;
96. South 16⁰31’25” East, a distance of 52.57 feet;
27.15 97. South 04⁰32’29” East, a distance of 221.15 feet;
98. and South 16⁰45’43” West, a distance of 84.97 feet to a point on the east side of Newell Creek Road
the sidelines of said 20 foot wide easement to be extended and shortened to meet at angle points and to terminate at the easterly side of Newell Creek Road and the southerly side of West Road.
END OF DESCRIPTION
Job #P40674 – Lompico Emergency Escape Route – from West Road to lands of Yee Over portions of:
SLV Water District: APN 076-301-06 (3,443 s.f.)
APN 075-311-04 (3,161 s.f.)
APN 075-311-06 (603 s.f.)
G14 Extracts: APN 075-311-08 (25,955 s.f.)
APN 075-311-05 (3,018 s.f.)
Paulus: APN 076-301-11 (2,119 s.f.)
Yee: APN 076-251-25 (90,990 s.f.)
Didia: APN 076-251-33 (46,950 s.f.)
Liberte: APN 076-251-32 (20,670 s.f.)
City of Santa Cruz: APN 076-251-24 (28,740 s.f.)
27.16 COUNTY OF SANTA CRUZ LOMPICO EMERGENCY ESCAPE ROUTE EXHIBIT SHEET 1 of 8 27.17 SHEET 2 of 8
COUNTY OF SANTA CRUZ
LOMPICO EMERGENCY
ESCAPE ROUTE
EXHIBIT
27.18 COUNTY OF SANTA CRUZ LOMPICO EMERGENCY ESCAPE ROUTE EXHIBIT SHEET 3 of 8 27.19 COUNTY OF SANTA CRUZ LOMPICO EMERGENCY ESCAPE ROUTE EXHIBIT SHEET 4 of 8 27.20 COUNTY OF SANTA CRUZ LOMPICO EMERGENCY ESCAPE ROUTE EXHIBIT SHEET 5 of 8 27.21 COUNTY OF SANTA CRUZ LOMPICO EMERGENCY ESCAPE ROUTE EXHIBIT SHEET 6 of 8 27.22 SHEET 7 of 8
COUNTY OF SANTA CRUZ
LOMPICO EMERGENCY
ESCAPE ROUTE
EXHIBIT
27.23 COUNTY OF SANTA CRUZ LOMPICO EMERGENCY ESCAPE ROUTE EXHIBIT SHEET 8 of 8 27.24
EXHIBIT B
Improvements along the emergency egress connection may include, but are not limited to, grading, removal or trimming of trees and vegetation, minor surface stabilization, and installation of drainage features, as necessary, to support emergency vehicular access.
All improvements will be completed in accordance with applicable County design standards, engineering specifications, and environmental regulatory requirements.
Completion of the emergency egress connection will be determined by the Grantee based on whether the improvements are sufficient to establish a continuous and functional emergency route between the existing private road and West Drive.
A visual map depicting the anticipated connection area is attached hereto.
27.25 STATE
OF CAL I FORN AI
CI L ENSED LA ND
SURV EYOR GREGORY R. JONES No. 8376
PROPOSED CONNECTION ROUTE - EXHIBIT B
EXHIBIT B
27.26 Lompico Emergency Evacuation Route Project Phase II-Easement Contract- City of Santa Cruz-APN: 076-251-24
CONTRACT
COUNTY OF SANTA CRUZ
This Contract is entered into this day of ____________________, 2025, by and between the COUNTY OF SANTA CRUZ, hereinafter called “County”, and THE CITY OF SANTA CRUZ, A MUNICIPAL CORPORATION, HEREINAFTER called “Seller”. County and Seller are sometimes referred to herein individually as “Party” or collectively as “Parties.” The Parties mutually agree as follows:
1. The purpose of this Contract is to allow the County to construct and maintain an emergency evacuation route for Lompico Canyon and associated neighborhoods.
2. The Parties herein set forth the whole of their agreement. The performance of this agreement constitutes the entire consideration for this transaction, hereinafter called “Contract”.
3. Consideration by Sellers. Sellers agree to execute and deliver the following documents to Kimberly Finley, Chief Real Property Agent of the County, within seven (7) days of the execution of this Contract:
(A) (1) Easement Deed for the creation of an easement (“Easement”) over the property commonly identified as APN 076-251-24, Santa Cruz County, more particularly described in Exhibit “A” attached hereto and made a part hereof; and
(B) A Form W-9 (Request for Taxpayer Identification Number and Certification) completed with Sellers’ information.
4. Consideration by County. In exchange for Sellers’ execution and delivery of the documents, and conveyance of the Permanent Easement, described in Section 2 above, County shall:
(A) Pay the undersigned Seller the nominal sum of TWO THOUSAND FOUR HUNDRED FIFTY DOLLARS ($2,450) for the Easement as conveyed by the executed and recorded Easement Deed.
(B) County shall remit payment within thirty (30) days after date title to Property vests in the County free and clear of all liens, encumbrances, assessments, easements and leases (recorded and/or unrecorded), taxes, penalties, and bonds except:
1. Covenants, conditions restrictions and reservations of record, if any,
2. Easements or rights of way over said land for utility or street purposes, if any.
THE CITY OF SANTA CRUZ, A MUNICIPAL
CORPORATION
(SELLER)
APN: 076-251-24
Project: LOMPICO CANYON
EMERGENCY EVACUATION
ROUTE PROJECT PHASE II
27.27 Lompico Emergency Evacuation Route Project Phase II-Easement Contract- City of Santa Cruz-APN: 076-251-24 (C) County Shall Pay all escrow and recording fees incurred in this transaction, and if Title Insurance is required by the County.
5. Condition of Property “As-Is” With No Warranties. County is to purpose the Easement “asis,” that is, in its present condition, and Seller makes no warranties or representations regarding the condition of the Property. However, County shall have the right, it is expense, to have one or more professionals inspect the Property before title to the Easement is transferred. County shall indemnify and hold Seller harmless from all liability, claims, losses, damages, costs, and expenses, including attorneys’ fees, arising out of or resulting from the performance of such inspection. County may terminate this contract based on the results of any such inspection by providing Seller written notice of termination before title transfers. This notice shall state the basis of County’s determination and shall be accompanied by any relevant written inspection reports.
6. Indemnification. The County agrees to indemnify, defend, and hold harmless Sellers from and against any claims, damages, or liabilities arising from maintenance or construction activities performed by or on behalf of the County, including but not limited to, any physical damage to Sellers’ remaining property outside the Easement area caused by such activities.
7. Commencement of Possession. It is agreed and confirmed by the Parties hereto that notwithstanding other provisions in this contract, the right of possession and use of the Easement by the County including the right to remove and dispose of improvements, shall commence on the date that the amount shown in Section 3(A) is deposited into escrow as full payment for such possession, use, and interest from said date.
8. Authority to Grant Easements. Seller warrants that it has full legal authority to grant the property interests described in this Contract. Seller warrants that there are no other parties who may claim an interest in the servient property such that Seller cannot grant the Easement to County. Seller warrants that there are no oral or written leases on any portion of the servient property exceeding a period of one month, and Seller further agrees to hold harmless and reimburse the County for any and all losses or expenses resulting or arising from any lease on the servient property exceeding a period of one month.
9. Same Condition of Property at Time of Grant of Easement. On the day title of the Easement vests in the name of the County, the condition of the Easement area, including the existence or nonexistence of improvements, will be the same as the condition of that portion of the servient property on the inspection date of October 1, 2024.
10. Contract Subject to Approval. This Contract is subject to the approval of the Santa Cruz County Board of Supervisors and does not bind County until such time as Board approval and consent has been received in writing and as required by law.
11. Successors Bound. The provisions of this Contract shall inure to the benefit of and bind the respective successors, heirs, and assigns of the Parties hereto.
12. Notice. All notices and correspondence herein provided to be given, or which may be given by either Party to the other, shall be deemed to have been fully given when made in writing and either: 1) deposited in the United States Mail, certified and postage prepaid; or 2) sent via an alternate commercial overnight delivery service (i.e. FedEx or similar) with receiver’s signature required; and addressed as follows:
27.28 Lompico Emergency Evacuation Route Project Phase II-Easement Contract- City of Santa Cruz-APN: 076-251-24 To Seller:
CITY OF SANTA CRUZ
Attn: BONNIE LIPSCOMB
337 Locust Street
Santa Cruz, CA 95060
To County:
GENERAL SERVICES DEPARTMENT
REAL PROPERTY SECTION
Phone No. 831-454-2334
Attn: KIMBERLY FINLEY
Email: [email protected]
701 OCEAN STREET, ROOM 330
SANTA CRUZ, CA 95060
13. Severability. In the event any part(s) of this Contract are found to be void, the remaining provisions of this Contract shall nevertheless be binding with the same effect as though the void parts were deleted, unless it would be unreasonable, in light of the intent of this Contract, taken as a whole, to do so.
14. No Changes Except by Written Amendment. No changes shall be made to this Contract except by written amendment, duly executed by the Parties hereto.
15. Entire Contract. This Contract (including the documents referred to herein) constitutes the entire Contract between the Parties and supersedes any prior understandings, contracts, or representations by or among the Parties, written or oral, to the extent they related in any way to the subject matter hereof.
16. Attorney’s Fees. In the event of a suit relating to, arising out of, or in order to enforce any provision of this Contract, the Parties agree that each Party shall bear their own attorney’s fees and costs.
17. Execution in Counterparts. This Contract may be executed in any number of counterparts and all the counterparts taken together shall be deemed to constitute one and the same instrument. This Contract, once executed by a Party, may be delivered to the other Party hereto by electronic transmission of a copy of this Contract bearing the signature of the Party so delivering this Contract.
18. Mutual Drafting. County and Seller mutually represent and warrant that they have each had the opportunity to be represented by counsel of their choice in negotiating this Contract, and therefore this Contract shall be deemed to have been negotiated and prepared at the joint request, direction and construction of the Parties, at arm’s length, with the advice and participation of counsel, and shall be interpreted in accordance with its terms without favor to either Party, and no presumption or burden of proof shall arise favoring or disfavoring either Party by virtue of the authorship of any of the provisions of this Contract. Headings are provided in this Contract for the convenience of the Parties only and shall not be used to interpret the provisions of this Contract.
27.29 Lompico Emergency Evacuation Route Project Phase II-Easement Contract- City of Santa Cruz-APN: 076-251-24
19. Governing Law; Venue. In the event of a dispute between the Parties to this Contract regarding or related to the terms and provisions contained herein, County and Seller mutually agree that the sole venue for any such dispute shall be the Superior Court of the County of Santa Cruz, and that the terms and provisions of this Contract shall be interpreted under the laws of the State of California.
20. Civil Rights Act. The Parties to this Contract shall, pursuant to Section 21.7(a) of Title 49, Code of Federal Regulations, comply with all elements of Title VI of the Civil Rights Act of 1964. This requirement under Title VI and the Code of Federal Regulations is to complete the USDOT-Non-Discrimination Assurance requiring compliance with Title VI of the Civil Rights Act of 164, 49 C.F.R Section50.3.
21. Non-discrimination. No person in the United States shall, on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination under any program or activity that is the subject of this Contract. --- INTENTIONALLY LEFT BLANK---
27.30 Lompico Emergency Evacuation Route Project Phase II-Easement Contract- City of Santa Cruz-APN: 076-251-24 In WITNESS WHEREOF,
“Seller” County of Santa Cruz “County”
City of Santa Cruz
_______________________________________
By: Date
Matt Machado, Deputy CAO, Director
Department of Public Works
____________________________________________
Date
Approved as to Form:
_____________________________________________
Office of County Counsel Date
Approved as to Insurance:
_____________________________________________
Risk Management Date
Recommended for Approval:
_____________________________________________
Real Property Date
27.31 ORDINANCE NO. 2025-20
AN UNCODIFIED ORDINANCE OF THE CITY OF SANTA CRUZ EXTENDING UNTIL JULY 1, 2029 ON PRIVATE PROPERTY THE UNCODIFIED EMERGENCY ORDINANCE 2020-27 AUTHORIZING TEMPORARY USE OF CERTAIN ADJACENT PUBLIC STREET
AND OUTDOOR AREAS FOR ELIGIBLE BUSINESSES IMPACTED BY INDOOR BUSINESS CLOSURES RELATED TO THE COVID-19 PANDEMIC
WHEREAS, the City Council has previously adopted a series of uncodified ordinances (Nos. 2020-27, 2021-14, 2021-21, 2022-16, 2024-06, and 2024-13) authorizing temporary outdoor business activity in the public right-of-way and on private property in response to business impacts from the COVID-19 pandemic and subsequent recovery; and
WHEREAS, the City recognizes the importance of ongoing economic recovery efforts and the economic importance of supporting local businesses, especially during prolonged construction projects, including the Murray Street Bridge Seismic Retrofit Project, which has resulted in impactful traffic detours to and from Seabright and Harbor businesses; and WHEREAS, City staff has reported that businesses will require additional time under the temporary program to sustain operations and prepare for transition to the permanent outdoor dining permit program; and
WHEREAS, the City Council finds that extending the duration of uncodified Ordinance No. 2020-27 until July 1, 2029 will facilitate business recovery, aid businesses impacted by the Murray Street Bridge closure, generate increased sales tax revenue for the City, and provide businesses citywide with sufficient time to apply for and obtain permits under the permanent outdoor dining program.
NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Santa Cruz as follows:
SECTION 1. Section 5 of uncodified Ordinance No. 2020-27, adopted as an emergency measure by the City Council on December 8, 2020, and amended by uncodified Ordinances No. 2021- 14, No. 2021-21, No. 2022-16, 2024-06, and No. 2024-13 is hereby further amended to extend its expiration date to July 1, 2029.
SECTION 2. This ordinance shall take effect and be in force thirty (30) days after final adoption (the “Effective Date”) and shall expire on the dates set forth above, unless further extended by action of the City Council.
28.1 ORDINANCE NO. 2025-20
2 PASSED FOR PUBLICATION this 30th day of September, 2025, by the following vote:
AYES: Councilmembers Trigueiro, Brunner, Newsome, Golder, O’Hara; Vice Mayor Kalantari-Johnson.
NOES: None.
ABSENT: Mayor Keeley.
DISQUALIFIED: None.
APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
PASSED FOR FINAL ADOPTION this 28th day of October, 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. 2025-20 and that
it has been published or posted in
accordance with the Charter of the
City of Santa Cruz.
________________________________
Bonnie Bush, City Clerk Administrator
28.2 Proof of Publication
(2015 C.C.P.)
I, the undersigned, declare:
That I caused the attached legal notice/advertisement to be published in the Santa Cruz Good Times, a weekly newspaper published and circulated in the County of Santa Cruz, and adjudged a newspaper of general circulation by the Superior Court of California in and for the County of Santa Cruz, under Proceeding No. 68833; and that the legal notice/advertisement was published in the above-named newspaper on the following date(s), to wit:
October 15, 2025
I declare under penalty of perjury that the foregoing is true and correct to the best of my knowledge.
This 15th day of October, 2025, Santa Cruz, California
____________________________
Julia Wood
Deputy City Clerk Administrator
28.3 DECLARATION OF POSTING
STATE OF CALIFORNIA )
) SS.
COUNTY OF SANTA CRUZ )
On the 6th day of October, 2025, I posted conspicuously in three public places within the City of Santa Cruz, Ordinance No. 2025-20, to wit:
1. City Hall: 809 Center Street: Bulletin Board outside Room 9/10
2. City Hall: Bulletin Board outside Council Chambers
3. The City of Santa Cruz website
The document, posted in its entirety, consists of pages 1—2.
I declare under penalty of perjury that the foregoing is true and correct. Executed this 6th day of October, 2025, in Santa Cruz, California.
_______________________________
Julia Wood
Deputy City Clerk Administrator
28.4 City Council
AGENDA REPORT
DATE: 10/23/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Planning and Community Development
SUBJECT: Tri-Annual, 2025 Building Standards Code Adoption, Consistent with the State Building Standards Commission and the International Code Council Tri-Chapter Uniform Code Committee Amendments through Introduction of an Ordinance Amending Building Regulations Contained in Title 18 of the Santa Cruz Municipal Code and Adopting the California Code of Regulations Title 24, 2025 Building Standards Code to Establish Minimum Requirements to Safeguard Public Health, Life, Safety and General Welfare. CEQA: Exempt per Guidelines Sections 15061, 15305, and 15308. (PL)
LOCATION: Citywide
RECOMMENDATION: Motion to introduce for publication an ordinance acknowledging the CEQA exemptions, amending Title 18 of the Municipal Code, and adopting the 2025 editions of the California Building Standards Code, California Code of Regulations Title 24, Parts 1, 2, 2.5, 3, 4, 5, 6, 8, 10, 11 and 12 including referenced appendices, amendments and modifications.
BACKGROUND: Generally, every three years, the building, plumbing, mechanical, electrical and other building standards are updated by the model code agencies to include the most current construction and engineering principles and practices. These model codes are then reviewed by the various state agencies that have an interest in health, life and safety relative to building construction. Under the purview of the Building Standards Commission, these state agencies modify the codes as they deem necessary then publish the newly revised Building Standards Code for required local adoption. Jurisdictions have 180 days from publication to review, amend, and adopt the mandated building standards codes. This process is to assure that the latest construction, engineering, and life safety techniques become standard practice throughout the State.
The mandatory effective date of the 2025 Building Standards is January 1, 2026. In an effort to preserve the intent of our local standards, a staff review process takes place with recommendations for amendments to the municipal code, allowing for a level of consistency as the mandated codes are folded into our municipal code. With the Building Standards Codes comprising thousands of pages, they are not included in this packet. However, they can be referenced online at https://www.dgs.ca.gov/BSC/Codes.
29.1 DISCUSSION: In the time allotted, staff has reviewed the California Code of Regulations, Title 24, 2025 Building Standards Code. This review, along with some training on code updates and collaboration with colleagues, revealed that relatively few changes are needed to our local ordinances. Therefore, only certain chapters of the municipal code are proposed for amendment in an effort to recognize the adoption of the State Building Standards Code and other codes and standards used by the City to promote health, life, and safety as it relates to building construction. No changes to fees are required or recommended by this amendment.
Other than the adoption of the state mandated codes, the changes to Title 18 of the municipal code reflect the clean-up of language, grammar, and code revisions needed to maintain our current provisions as these new codes are incorporated. These include the continuance of enhanced earthquake construction requirements prohibiting the use of specific wall bracing materials and methods in both the California Building and Residential Codes, as demonstrated in the attachments. Also included are provisions modifying concrete special inspection requirements.
Other changes include the change of the alphabetized appendices from the California Residential Code and California Building Code. These appendices, which are not considered part of the code unless adopted by the local jurisdiction, include:
CBC Appendix P revised to Q – Emergency Housing, with no changes from previous version.
CRC Appendix AH revised to BF – Patio Covers, with no changes from previous version. CRC Appendix AK revised to BG – Sound Transmission, with no changes from previous version.
CRC Appendix AQ revised to BB – Tiny Homes, with no changes from previous version. CRC Appendix AX revised to CI – Swimming Pool Safety Act, with no changes from previous version.
Overall, this ordinance provides for adoption of the mandatory state codes, while maintaining consistency with the intent of our local standards. A strikeout/underline version is included as an attachment, with the sections of the nine chapters of the Santa Cruz Municipal Code, Title 18, where amendments are proposed.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION:
The ordinance is exempt from CEQA under the general rule, CEQA Guidelines Section 15061(b)(3), because it can be seen with certainty that the provisions contained herein would not have the potential for causing a significant effect on the environment. This ordinance is also exempt per CEQA Guidelines Section 15305, Minor Alterations in Land Use Limitations, in that the building code regulations do not result in changes to land use or density. Further, this ordinance is exempt under CEQA Guidelines Section 15308, Class 8, Actions by Regulatory Agencies for Protection of Natural Resources, since the proposed ordinance would institute regulatory requirements intended to protect the environment and natural resources.
29.2 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 three 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 amendments support the pillars of equity and public health by promoting building health and safety, and they promote sustainability by encouraging energy efficiency and long-lasting buildings. Therefore, the proposed code amendments are considered consistent with the three pillars of HiAP.
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 direct fiscal impacts result from the adoption of the subject ordinance. The cost of code books and public references along with staff training has been incorporated into the FY 2026 approved budget. Training for the construction and design community is being provided by the California Building Officials, the Building Standards Commission, and the Local Chapters of Building Officials at no additional cost to the City.
Prepared By:
Larry Riordan
Chief Building Official
Submitted By:
Lee Butler
Director of Planning and
Community Development
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. ORDINANCE – CLEAN.DOCX
2. ORDINANCE – TRACK CHANGES.DOCX
29.3 ORDINANCE NO. 2025-XX
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ AMENDING TITLE 18 OF THE SANTA CRUZ MUNICIPAL CODE, ADOPTING CALIFORNIA CODE OF REGULATIONS TITLE 24 BUILDING STANDARDS CODE
WHEREAS, the City of Santa Cruz (“City”) proposes to adopt and incorporate by reference the 2025 edition of the California Building Standards Code, California Code of Regulations Title 24, Parts 1, 2, 2.5, 3, 4, 5, 6, 8, 10, 11 and 12 including referenced appendices (“Building Standards Code”), amendments and modifications; and WHEREAS, the City proposes to make certain changes in the requirements of the 2022 Building Standards Code, which will make certain parts the City’s Building Standards Code more restrictive than state law; and
WHEREAS, the City Council finds that in order to best protect the health, safety, sustainability and welfare of the residents of the City of Santa Cruz, the administrative regulations (Part 1) adopted herein and hereinafter referred to as the “administrative provisions” and the building standards for building construction, hereinafter referred to as the “technical codes,” and also known as the 2025 Edition of the California Building Standards Code and the California Code of Regulations, Title 24, including Parts 2, 2.5, 3, 4, 5, 6, 8, 10, 11 and 12, shall be adopted as provided herein; and
WHEREAS, based on the materials presented by and the recommendations of the city’s building official, the city council finds that it is necessary to make procedural and administrative modifications and changes to the California Building Standards Code and to adopt certain appendices to the California Building Standards Code as specifically adopted in this ordinance, to provide more efficient, economical and expeditious enforcement of the building standards of the City of Santa Cruz; and
WHEREAS, the City Council further finds and determines that pursuant to Health and Safety Code Sections 13143.5,17958, 17958.5, 17958.7 and 18941.5 the substantive amendments to California Building Standards Code, which are adopted by this chapter, are reasonable and necessary because of local climatic, geographical, or topographical conditions and do not lessen, diminish, or change the standards set forth within the California Building Standards Code except as authorized by law; and
WHEREAS, this code is adopted pursuant to the authority granted by Section 7 of Article XI of the California Constitution to a county or city to make and enforce within its limits all such local, police, sanitary and other ordinances and regulations as are not in conflict with general laws.
It is further adopted in conformity with the provisions of Sections 50022.1 through 50022.10, inclusive, of the Government Code relating to adoption of codes by reference; and
29.4 2
WHEREAS, pursuant to Health and Safety Code Section 18909(c), certain “administrative provisions” adopted by this chapter are procedural and administrative in nature and are not subject to the requirements of findings pursuant to Sections 17958.5, 17958.7 and 18941.5; and WHEREAS, the City Council hereby finds that the City's topography and terrain contain areas which are very susceptible to wildland fires, having a local climate characterized by hot, dry summers with periodic high winds which are a predominate factor in the spread of fire by burning embers that are carried by the wind to adjacent exposed areas. This is further compounded by agricultural and recreational use of lands contained within the City, as well as the open space, brush and hills that are part of and immediately adjacent to the City. These topographic and climatic conditions impact the City’s built environment, operations, public services and emergency services in such a way that their effects should be mitigated through appropriate amendments to the construction codes where practical; and
WHEREAS, earthquake activity represents significant potential hazards which could result in road closures, loss of housing, fires, injuries, collapsed buildings, and isolation of persons requiring assistance. Additionally, soil conditions within the City are such that liquefaction may occur during seismic activity, creating the potential for structure collapse or mudslides. There are only a limited number of thoroughfares through the City, and during periods of traffic congestion resulting from roadway obstructions, emergency services response times are increased. The City is comprised of a relatively large number of historically significant buildings which contain archaic materials and designs which present unique safety, remodeling and upgrading problems due to their age and proximity to earthquake faults; and
WHEREAS, the proximity to major earthquake faults represents a geologic hazard that could significantly impact the public and City’s occupants, City operations, public services, infrastructure, its housing, emergency services and its economic well-being in such a way that the potential hazards should be mitigated through appropriate amendments to the construction codes where practical; and
WHEREAS, due to the elevation of the City in relation to sea level and periodic storms resulting in significant rainfall, flooding during the rainy season often restricts traffic, has a detrimental effect on structures, housing and their occupants and can impair emergency services’ ability to respond to life threatening emergencies. These geologic and climatic conditions impact the public and the City’s operations and emergency services in such a way that their effects should be mitigated through appropriate amendments to the construction codes where practical; and WHEREAS, other than the adoption of the State mandated codes, the changes to Title 18 adopted by this ordinance reflect the clean-up of language, grammar, and code revisions needed to maintain current provisions as these new codes are incorporated; and WHEREAS, the existing sections of Title 18.15.040 “Energy Code” remain in full force and effect, except for the amendments to the California Energy Code of the 2025 California Building Code Cycle adopted by Ordinance 2025-XX, which update Chapter 18.15.040 of the Municipal Code to require Energy Conservation Measures for Certain Heating, Ventilation, and Air Conditioner Replacements and Installations in Existing Nonresidential Buildings; and
29.5 3
WHEREAS, the City Council finds that this ordinance is exempt from CEQA under the general rule, CEQA Guidelines Section 15061(b)(3), because it can be seen with certainty that the provisions contained herein would not have the potential for causing a significant effect on the environment. This ordinance is also exempt per CEQA Guidelines Section 15305, Minor Alterations in Land Use Limitations, in that the building code regulations do not result in changes to land use or density. Further, this ordinance is exempt under CEQA Guidelines Section 15308, Class 8, Actions by Regulatory Agencies for Protection of Natural Resources, since the proposed ordinance would institute regulatory requirements intended to protect the environment and natural resources.
NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Santa Cruz as follows:
(NOTE: Those sections of Title 18 not included in this ordinance remain in force and unchanged by this ordinance.)
Section 1. Chapter 18.04 “Building Code” of Section 18 .04 .030 of the City of Santa Cruz Municipal Code of the City of Santa Cruz shall be amended at Section 18.04.030 “Adoption of Codes” to read as follows:
18.04.030 ADOPTION OF CODES.
Subject to the modifications and deletions set forth in Section 18.04.040 and by the State of California Building Standards Commission, the following documents are hereby adopted as part of the Building Code of the city of Santa Cruz:
California Code of Regulations Title 24 (hereafter CCR T 24), Part 1, The 2025 California Administrative Code;
CCR T 24, Part 2, Volumes 1 and 2, The 2025 California Building Code, including Appendices H, I, and Q except as modified herein (hereafter CBC);
CCR T 24, Part 2.5, The 2025 California Residential Code, including Appendices BF, BG, BB, and CI, except as modified herein (hereafter CRC);
CCR T 24, Part 6, The 2025 California Energy Code, except as modified herein (hereafter CEnC);
CCR T 24, Part 10, The 2025 California Existing Building Code, except as modified herein (hereafter CEBC);
CCR T 24, Part 11, The 2025 California Green Building Standards Code, except as modified herein (refer to Chapter 24.15, Green Building Regulations); CCR T 24, Part 12, The 2025 California Referenced Standards Code;
29.6 4
The Uniform Administrative Code, 1997 Edition, for the purpose of maintaining and administering the existing fee structure, except as modified herein (hereafter UAC); The Uniform Housing Code, 1997 Edition, except as modified herein (hereafter UHC); The Uniform Code for the Abatement of Dangerous Buildings, 1997 Edition, except as modified herein (hereafter UCADB);
One copy of each of the above documents is and shall be maintained on file in the office of the building official, for use and examination by the public.
Section 2. Chapter 18.04 “Building Code” of the City of Santa Cruz Municipal Code shall be amended at Section 18.04.040 “Building Code – Deletions and Modifications” to read as follows:
18.04.040 BUILDING CODE – DELETIONS AND MODIFICATIONS.
The following sections of the codes as adopted in Section 18.04.030 are hereby modified as follows:
The UAC Chapter 1 and the CBC Chapter 1, Division II shall have the following inserted under their respective headings to read as follows:
The 1997 Uniform Administrative code (UAC) shall be used for the purpose of maintaining and administering the existing fee structure as established in the UAC or adopted by the City of Santa Cruz as authorized by the UAC. The California Building Code Chapter 1, Division II shall be used in its entirety, as applicable, for the administration of the building standards codes for all buildings, structures and equipment in the City of Santa Cruz, except as modified in SCMC Title 18.
Add sentence to CBC Sections 1.8.8.1 and 1.11.2.5, and CRC Sections 1.8.8.1 and R112.1:
Refer to Santa Cruz Municipal Code (hereafter SCMC) Chapter 18.41, board of building and fire appeals.
CBC Section 105.1, insert second paragraph to read as follows:
Except as specified in Section 105.2, no building, structure or building service equipment regulated by this code and the technical codes shall be erected, constructed, enlarged, altered, repaired, moved, improved, removed, converted or demolished unless a separate, appropriate permit for each building, structure or building service equipment has first been obtained from the building official.
CBC Section 105.2 is hereby amended to add the following modification to exemption No. 1 and to add exemption No. 14:
29.7 5
1. One-story detached accessory structures used as tool and storage sheds, playhouses and similar uses, provided the floor area does not exceed 120 square feet (11m2). Exempted structures shall not be placed within six feet of each other or any other permanent structure and shall comply with local zoning requirements for setbacks and maximum number of structures allowed.
14. Decks and platforms that meet all the following criteria:
a) Are not more than 200 square feet in area, and
b) are not more than thirty inches above the adjacent grade at any point within the area of the deck and 36 inches beyond the edge of the deck, and c) are not attached to a building or structure, and
d) do not serve as part of a required exit or means of egress, and e) are not located over a basement or story below.
(Decks serving common areas in multi-family residential construction and all commercial decks are not exempted by this section.)
CBC Section 107.2.3 shall strike reference to R-2 and occupancies with the second sentence to read as follows:
In other than occupancies in Group R-3, the construction documents shall designate the number of occupants to be accommodated on every floor, and in all rooms and spaces.
CBC Section 110.1, insert second paragraph to read as follows:
A survey of the lot may be required by the building official to verify that the structure is located in accordance with the approved plans.
CBC Section 112, add Section 112.4 to read as follows:
112.4 Connection after Order to Disconnect. Persons shall not make connections from an energy, fuel or power supply nor supply energy or fuel to building service equipment which has been disconnected or ordered to be disconnected by the building official or the use of which has been ordered to be discontinued by the building official until the building official authorizes the reconnection and use of such equipment.
Add sentence to CBC Section 113.1:
Refer to SCMC 18.41, Board of Building and Fire Appeals.
29.8 6
CBC Section 406.3.2.1 is hereby amended to insert a sentence after the second sentence of the paragraph to read as follows:
Gypsum board applied to the garage side shall be suitably fire taped and have the nail heads spotted with taping compound.
CBC Section 1405 is hereby amended to add to Section 1405.1 a second paragraph, as follows:
1405.1 Shingles or Shakes. A minimum Class “B” Listing by a manufacturer acceptable to the Fire Marshal or the Chief Building Official shall be required for all wood shingles or shakes, and other shingles or shakes that may be used for exterior wall covering referred to elsewhere in this code. No Class “C” wood and non-rated wood shakes or wood shingles shall be installed as an exterior wall covering on any new or existing building or structure.
Wood shingles shall meet the minimum thickness requirements of Table 1404.2.
CBC Section 1405 is hereby amended to add an additional exception to Section 1405.1 as to read as follows:
Exception: Existing Wood Exterior Repairs or Installations of less than 25%. The Class “B” requirements of this section shall not apply when an existing building or structure with wood shake or wood shingle exterior wall covering is subject to installation, addition, repair, alteration or replacement of less than 25% of the existing building or structure's wood shake or wood shingle exterior wall covering area accumulated over the life of the building commencing on or after the effective date of this ordinance. For the purposes of this code, 25% of the area of wood exterior wall covering shall be calculated from the area of the wood exterior wall shake or wood shingle covering existing on the effective date of this ordinance.
CBC Section 1505 is hereby amended to add Section 1505.0 as follows:
1505.0 Class “C” wood, and non-rated wood roofs prohibited. No Class “C” wood, or nonrated wood roof covering shall be installed on any new or existing building or structure.
Any reference, table, footnote, or exception allowing Class “C” wood, or “N", or nonclassified wood roofing in this code is hereby amended to read as Class “B”. Any qualified historical building or structure as defined in Health and Safety Code Section 18955 may utilize alternative roof classifications as provided by the State Historical Building Code.
Where Title 19 of the SCMC and/or State standards identify conflicting Wildland/Urban Interface requirements in this jurisdiction, the most restrictive shall apply.
CBC Section 1512 is hereby amended to add Section 1512.0, as follows:
1512. Overlay on Existing Wood Roofs or Asphalt Shingle Roofs. Re-roofing over Class “C” wood or non-rated wood shakes and wood shingles is prohibited. When a roof has one or more layers of roof covering, any layer of which is wood shake or wood shingle, all built-up roof covering shall be completely removed before applying a new roof covering without exception (unless specifically provided for in SCMC Title 18).
29.9 7
CBC Section 1512.1 is hereby amended to add Exception 3, as follows:
3. Minor Work on Existing Wood Roofs. The requirements of Section 1512 shall not apply when an existing building or structure with a wood roof covering is subject to roof installation, addition, repair, alteration or replacement of less than 25% of the existing building or structure's wood roof-covering area, accumulated over the life of the building, commencing on or after the official date of this ordinance. In such circumstances, wood roof coverings with a CSFM listed rating may be used, provided the completed roof assembly complies with all other provisions of this code. For the purpose of this ordinance, 25% of the wood roof covering area shall be calculated from the area of wood roof covering existing on the effective date of this ordinance.
Modify CBC 1705.3 Exception 1 to read as follows:
Isolated spread concrete footings of buildings three stories or less above grade plane that are fully supported on earth or rock, where the structural design of the footing is based on a specified compressive strength, f'c, no greater than 2,500 pound per square inch (psi) (17.2 MPa), regardless of the compressive strength specified in the approved construction documents or used in the footing construction.
Add sentence to CBC Section 1804 after the section heading:
Refer to SCMC Chapter 18.45, excavation and grading regulations.
Add sentence to CBC Sections 2206.1.1.2, and 2305.1 to read as follows:
Gypsum board sheathing shall not be permitted to resist horizontal forces in shear walls.
Table 2308.10.1 (Wall Bracing Requirements) of CBC Chapter 23 (Wood) is amended as follows:
1) The title of Table 2308.6.1 is amended to read:
TABLE 2308.6.1a, f, g
2) Footnotes “f” and “g” are added to TABLE 2308.10.1, to read:
f. Methods PBS, HPS and SFB are not permitted in Seismic Design Categories D or E.
g. Methods GB, DWB and PCP are not permitted in Seismic Design Category E.
CRC Section 105.2 Exemption 1 shall be modified as follows:
29.10 8
In Exemption 1, add a second paragraph stating: Exempted structures shall not be placed within six feet of each other or any other permanent structure and shall comply with local zoning requirements for setbacks and maximum number of structures allowed.
CRC Table R301.2 shall be populated with the following criteria as established by the city of Santa Cruz, using criteria published in the CRC where applicable:
WIND DESIGN SUBJECT TO DAMAGE FROM GROUND
SNOW
LOAD
(PSF)
Ultimate
Speed
(mph)
Topographic
effects
Special
wind
region
Wind
borne
debris
zone
SEISMIC
DESIGN
CATEGORY Weathering Frost line
depth Termite
0 90 No No No D2 Negligible
12 inches
below undisturbed
soil
Very
Heavy
ICE BARRIER
UNDERLAYMENT REQ’DFLOOD HAZARDS
AIR
FREEZING
INDEX
MEAN
ANNUAL
TEMP
No
5/16/2012 FIRM 06087C:
Panels 214E, 218E, 219E, 238E,
327E, 331E, 332E, 351E;
9/29/17 FIRM 06087C:
Panels 329F, 333F, 334F, 353F
0 55 F
Replace Manual J Design Criteria Table with the following:
MANUAL J DESIGN CRITERIA
Elevation
Altitude
Correction
Factor
Coincident Wet
Bulb
Indoor Winter
Design Relative
Humidity
Indoor Winter
Design Dry-bulb
Temperature
Outdoor Winter
Design Dry-bulb
Temperature
Heating
Temperature
Difference ()
125 ft 1.00 61 50% 70 38 32
Latitude Daily Ranger
Summer Deign
Gains
Indoor Summer
Design Relative
Humidity
Indoor Summer
Design Dry-bulb
Temperature
Outdoor Summer
Design Dry-bulb
Temperature
Cooling
Temperature
Difference ()
37 H -1 @ 50% RH 50% 75 71 4
CRC Section R302.5.1: delete exception.
Modify the third sentence of CRC Section R302.6 to read:
Attachment of gypsum board shall comply with Table R702.3.5; gypsum board applied to the garage side shall be suitably fire taped and have the nail heads spotted with taping compound.
Add sentence to CRC Section R313:
Refer to SCMC Title 19, Fire Prevention Code.
29.11 9
Table R602.10.3(3) (Bracing Requirements Based on Seismic Design Category) of CRC Chapter 6 (Wall Construction) is amended as follows:
1) The title of Table R602.10.3(3) is amended to read:
CRC Table R602.10.3(3)i, j
2) Footnotes “i” and “j” are added to Table R602.10.3(3), to read:
i. Methods PBS, HPS, SFB and CS-SFB are not permitted in Seismic Design Categories D0, D1, and D2.
j. Methods GB, DWB and PCP are not permitted in Seismic Design Categories D0, D1, and D2 where S1 is greater than or equal to 0.75.
Add sentence to CRC Section R703.6:
Refer to city amended CBC Sections 1405 for requirements.
Add CRC Section R902.0:
Refer to city amended CBC Section 1505 for local requirements.
UHC Section 103 and UCADB Section 102.2 shall have the following paragraph added, to read as follows:
Where reference is made to any code or standard, the most relevant code(s) and/or standards(s) as currently adopted in SCMC Title 18 shall be used. Where conflict may occur between other provisions of the Santa Cruz Municipal Code and this Title 18, Title 18 shall govern.
UHC Section 401, Nuisance, is hereby amended by adding item 9 to read:
9. Any residential property upon which a person or persons conducts activities, accumulates materials, or fails to maintain structures and grounds to a degree, which by common standards, is disruptive and/or damaging to general welfare, peace and sanctity of the surrounding neighborhood.
Section 3. Chapter 18.08 “Electrical Code” of the City of Santa Cruz Municipal Code shall be amended at Section 18.08.030 to read as follows:
18.08.030 ADOPTION OF THE ELECTRICAL CODE.
The following documents are hereby adopted as part of the Electrical Code of the city of Santa Cruz:
29.12 10
CCR T 24, Part 3, The 2025 California Electrical Code, except as modified herein (hereafter CEC).
One copy of the above documents is and shall be maintained on file in the office of the building official, for use and examination by the public.
Section 4. Chapter 18.12 “Plumbing Code” of the City of Santa Cruz Municipal Code is hereby amended at Section 18.12.030 to read as follows:
18.12.030 ADOPTION OF THE PLUMBING CODE.
The plumbing code of the city of Santa Cruz (CCR 24, Part 5, the 2025 California Plumbing Code) is hereby amended to adopt Appendix M, The Peak Water Demand Calculator, which provides an optional, alternate approach for use by builders in determining the sizing of plumbing systems and facilities.
One copy of the above documents is and shall be maintained on file in the office of the building official for use and examination by the public.
Section 5. Chapter 18.14 “Mechanical Code” of the City of Santa Cruz Municipal Code is hereby amended at Section 18.14.030 to read as follows:
18.14.030 ADOPTION OF THE MECHANICAL CODE.
The following documents are hereby adopted as part of the Mechanical Code of the city of Santa Cruz:
CCR T 24, Part 4, The 2025 California Mechanical Code, including Appendices B and C, except as modified herein (hereafter CMC).
One copy of the above documents is and shall be maintained on file in the office of the building official, for use and examination by the public.
Section 6. Chapter 18.15 “Energy Code” of the City of Santa Cruz Municipal Code is hereby amended at Section 18.14.030 to read as follows:
18.15.030 ADOPTION OF THE ENERGY CODE.
The following documents are hereby adopted as part of the Energy Code of the city of Santa Cruz:
CCR T 24, Part 6, The 2025 California Energy Code, except as modified herein (hereafter CEnC).
One copy of the above documents is and shall be maintained on file in the office of the building official, for use and examination by the public.
29.13 11
Section 7. Chapter 18.40 “Historical Building Code” of the City of Santa Cruz Municipal Code is hereby amended at Section 18.40.030 to read as follows:
18.40.030 ADOPTION OF HISTORICAL BUILDING CODE.
The following documents are hereby adopted as part of the Mechanical Code of the city of Santa Cruz:
CCR T 24, Part 8, The 2025 California Historical Building Code (hereafter CHBC) is hereby adopted as part of the Historical Building Code of the city of Santa Cruz. One copy of the CHBC referred to above shall be maintained on file in the office of the building official, for use and examination by the public.
This ordinance shall be in force and take effect thirty (30) days after its final adoption but not prior to January 1, 2026.
PASSED FOR PUBLICATION this 28th day of October 2025, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: __________________________
Fred Keeley, Mayor
ATTEST: ________________________________
Bonnie Bush, City Clerk Administrator
PASSED FOR FINAL ADOPTION this 18th day of November 2025 by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
29.14 12
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
29.15 ORDINANCE NO. 2025-XX
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ AMENDING TITLE 18 OF THE SANTA CRUZ MUNICIPAL CODE, ADOPTING CALIFORNIA CODE OF REGULATIONS TITLE 24 BUILDING STANDARDS CODE
WHEREAS, the City of Santa Cruz (“City”) proposes to adopt and incorporate by reference the 2025 edition of the California Building Standards Code, California Code of Regulations Title 24, Parts 1, 2, 2.5, 3, 4, 5, 6, 8, 10, 11 and 12 including referenced appendices (“Building Standards Code”), amendments and modifications; and WHEREAS, the City proposes to make certain changes in the requirements of the 2022 Building Standards Code, which will make certain parts the City’s Building Standards Code more restrictive than state law; and
WHEREAS, the City Council finds that in order to best protect the health, safety, sustainability and welfare of the residents of the City of Santa Cruz, the administrative regulations (Part 1) adopted herein and hereinafter referred to as the “administrative provisions” and the building standards for building construction, hereinafter referred to as the “technical codes,” and also known as the 2025 Edition of the California Building Standards Code and the California Code of Regulations, Title 24, including Parts 2, 2.5, 3, 4, 5, 6, 8, 10, 11 and 12, shall be adopted as provided herein; and
WHEREAS, based on the materials presented by and the recommendations of the city’s building official, the city council finds that it is necessary to make procedural and administrative modifications and changes to the California Building Standards Code and to adopt certain appendices to the California Building Standards Code as specifically adopted in this ordinance, to provide more efficient, economical and expeditious enforcement of the building standards of the City of Santa Cruz; and
WHEREAS, the City Council further finds and determines that pursuant to Health and Safety Code Sections 13143.5,17958, 17958.5, 17958.7 and 18941.5 the substantive amendments to California Building Standards Code, which are adopted by this chapter, are reasonable and necessary because of local climatic, geographical, or topographical conditions and do not lessen, diminish, or change the standards set forth within the California Building Standards Code except as authorized by law; and
WHEREAS, this code is adopted pursuant to the authority granted by Section 7 of Article XI of the California Constitution to a county or city to make and enforce within its limits all such local, police, sanitary and other ordinances and regulations as are not in conflict with general laws.
It is further adopted in conformity with the provisions of Sections 50022.1 through 50022.10, inclusive, of the Government Code relating to adoption of codes by reference; and
29.16 2
WHEREAS, pursuant to Health and Safety Code Section 18909(c), certain “administrative provisions” adopted by this chapter are procedural and administrative in nature and are not subject to the requirements of findings pursuant to Sections 17958.5, 17958.7 and 18941.5; and WHEREAS, the City Council hereby finds that the City's topography and terrain contain areas which are very susceptible to wildland fires, having a local climate characterized by hot, dry summers with periodic high winds which are a predominate factor in the spread of fire by burning embers that are carried by the wind to adjacent exposed areas. This is further compounded by agricultural and recreational use of lands contained within the City, as well as the open space, brush and hills that are part of and immediately adjacent to the City. These topographic and climatic conditions impact the City’s built environment, operations, public services and emergency services in such a way that their effects should be mitigated through appropriate amendments to the construction codes where practical; and
WHEREAS, earthquake activity represents significant potential hazards which could result in road closures, loss of housing, fires, injuries, collapsed buildings, and isolation of persons requiring assistance. Additionally, soil conditions within the City are such that liquefaction may occur during seismic activity, creating the potential for structure collapse or mudslides. There are only a limited number of thoroughfares through the City, and during periods of traffic congestion resulting from roadway obstructions, emergency services response times are increased. The City is comprised of a relatively large number of historically significant buildings which contain archaic materials and designs which present unique safety, remodeling and upgrading problems due to their age and proximity to earthquake faults; and
WHEREAS, the proximity to major earthquake faults represents a geologic hazard that could significantly impact the public and City’s occupants, City operations, public services, infrastructure, its housing, emergency services and its economic well-being in such a way that the potential hazards should be mitigated through appropriate amendments to the construction codes where practical; and
WHEREAS, due to the elevation of the City in relation to sea level and periodic storms resulting in significant rainfall, flooding during the rainy season often restricts traffic, has a detrimental effect on structures, housing and their occupants and can impair emergency services’ ability to respond to life threatening emergencies. These geologic and climatic conditions impact the public and the City’s operations and emergency services in such a way that their effects should be mitigated through appropriate amendments to the construction codes where practical; and WHEREAS, other than the adoption of the State mandated codes, the changes to Title 18 adopted by this ordinance reflect the clean-up of language, grammar, and code revisions needed to maintain current provisions as these new codes are incorporated; and WHEREAS, the existing sections of Title 18.15.040 “Energy Code” remain in full force and effect, except for the amendments to the California Energy Code of the 2025 California Building Code Cycle adopted by Ordinance 2025-XX, which update Chapter 18.15.040 of the Municipal Code to require Energy Conservation Measures for Certain Heating, Ventilation, and Air Conditioner Replacements and Installations in Existing Nonresidential Buildings; and
29.17 3
WHEREAS, the City Council finds that this ordinance is exempt from CEQA under the general rule, CEQA Guidelines Section 15061(b)(3), because it can be seen with certainty that the provisions contained herein would not have the potential for causing a significant effect on the environment. This ordinance is also exempt per CEQA Guidelines Section 15305, Minor Alterations in Land Use Limitations, in that the building code regulations do not result in changes to land use or density. Further, this ordinance is exempt under CEQA Guidelines Section 15308, Class 8, Actions by Regulatory Agencies for Protection of Natural Resources, since the proposed ordinance would institute regulatory requirements intended to protect the environment and natural resources.
NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Santa Cruz as follows:
(NOTE: Those sections of Title 18 not included in this ordinance remain in force and unchanged by this ordinance.)
Section 1. Chapter 18.04 “Building Code” of Section 18 .04 .030 of the City of Santa Cruz Municipal Code of the City of Santa Cruz shall be amended at Section 18.04.030 “Adoption of Codes” to read as follows:
18.04.030 ADOPTION OF CODES.
Subject to the modifications and deletions set forth in Section 18.04.040 and by the State of California Building Standards Commission, the following documents are hereby adopted as part of the Building Code of the city of Santa Cruz:
California Code of Regulations Title 24 (hereafter CCR T 24), Part 1, The 20225 California Administrative Code;
CCR T 24, Part 2, Volumes 1 and 2, The 20225 California Building Code, including Appendices H, I, and PQ except as modified herein (hereafter CBC); CCR T 24, Part 2.5, The 20225 California Residential Code, including Appendices AHBF, AKBG, AQBB, and AXCI, except as modified herein (hereafter CRC); CCR T 24, Part 6, The 20225 California Energy Code, except as modified herein (hereafter CEnC);
CCR T 24, Part 10, The 20225 California Existing Building Code, except as modified herein (hereafter CEBC);
CCR T 24, Part 11, The 20225 California Green Building Standards Code, except as modified herein (refer to Chapter 24.15, Green Building Regulations); CCR T 24, Part 12, The 20225 California Referenced Standards Code;
29.18 4
The Uniform Administrative Code, 1997 Edition, for the purpose of maintaining and administering the existing fee structure, except as modified herein (hereafter UAC); The Uniform Housing Code, 1997 Edition, except as modified herein (hereafter UHC); The Uniform Code for the Abatement of Dangerous Buildings, 1997 Edition, except as modified herein (hereafter UCADB);
One copy of each of the above documents is and shall be maintained on file in the office of the building official, for use and examination by the public.
Section 2. Chapter 18.04 “Building Code” of the City of Santa Cruz Municipal Code shall be amended at Section 18.04.040 “Building Code – Deletions and Modifications” to read as follows:
18.04.040 BUILDING CODE – DELETIONS AND MODIFICATIONS.
The following sections of the codes as adopted in Section 18.04.030 are hereby modified as follows:
Add sentence to CBC Sections 1.8.8.1 and 1.11.2.5, and CRC Sections 1.8.8.1 and R112.1:
Refer to Santa Cruz Municipal Code (hereafter SCMC) Chapter 18.41, board of building and fire appeals.
Add sentence to CBC Section 1804 after the section heading:
Refer to SCMC Chapter 18.45, excavation and grading regulations.
Add sentence to CRC Section R313:
Refer to SCMC Title 19, Fire Prevention Code.
Add sentence to CBC Sections 2211.1.1.22206.1.1.2, and 2305.1 to read as follows:
Gypsum board sheathing shall not be permitted to resist horizontal forces in shear walls.
Modify CBC 1705.3 Exception 1 to read as follows:
Isolated spread concrete footings of buildings three stories or less above grade plane that are fully supported on earth or rock, where the structural design of the footing is based on a specified compressive strength, f'c, no greater than 2,500 pound per square inch (psi) (17.2 MPa), regardless of the compressive strength specified in the approved construction documents or used in the footing construction.
29.19 5
Table 2308.6.110.1 (Wall Bracing Requirements) of CBC Chapter 23 (Wood) is amended as follows:
1) The title of Table 2308.6.1 is amended to read:
TABLE 2308.6.1a, f, g
2) Footnotes “f” and “g” are added to TABLE 2308.6.110.1, to read:
f. Methods PBS, HPS and SFB are not permitted in Seismic Design Categories D or E.
g. Methods GB, DWB and PCP are not permitted in Seismic Design Category E.
Table R602.10.3(3) (Bracing Requirements Based on Seismic Design Category) of CRC Chapter 6 (Wall Construction) is amended as follows:
1) The title of Table R602.10.3(3) is amended to read:
CRC Table R602.10.3(3)i, j
2) Footnotes “i” and “j” are added to Table R602.10.3(3), to read:
i. Methods PBS, HPS, SFB and CS-SFB are not permitted in Seismic Design Categories D0, D1, and D2.
j. Methods GB, DWB and PCP are not permitted in Seismic Design Categories D0, D1, and D2 where S1 is greater than or equal to 0.75.
CBC Section 406.3.2.1 is hereby amended to insert a sentence after the second sentence of the paragraph to read as follows:
Gypsum board applied to the garage side shall be suitably fire taped and have the nail heads spotted with taping compound.
Modify the third sentence of CRC Section R302.6 to read:
Attachment of gypsum board shall comply with Table R702.3.5; gypsum board applied to the garage side shall be suitably fire taped and have the nail heads spotted with taping compound.
CRC Section R302.5.1: delete exception.
CBC Section 1505 is hereby amended to add Section 1505.0 as follows:
29.20 6
1505.0 Class “C” wood, and non-rated wood roofs prohibited. No Class “C” wood, or nonrated wood roof covering shall be installed on any new or existing building or structure.
Any reference, table, footnote, or exception allowing Class “C” wood, or “N", or nonclassified wood roofing in this code is hereby amended to read as Class “B”. Any qualified historical building or structure as defined in Health and Safety Code Section 18955 may utilize alternative roof classifications as provided by the State Historical Building Code.
Where Title 19 of the SCMC and/or State standards identify conflicting Wildland/Urban Interface requirements in this jurisdiction, the most restrictive shall apply.
Add CRC Section R902.0:
Refer to city amended CBC Section 1505 for local requirements.
CBC Section 1512 is hereby amended to add Section 1512.0, as follows:
1512.0 Overlay on Existing Wood Roofs or Asphalt Shingle Roofs. Re-roofing over Class “C” wood or non-rated wood shakes and wood shingles is prohibited. When a roof has one or more layers of roof covering, any layer of which is wood shake or wood shingle, all built-up roof covering shall be completely removed before applying a new roof covering without exception (unless specifically provided for in SCMC Title 18).
CBC Section 1512.1 is hereby amended to add Exception 3, as follows:
3. Minor Work on Existing Wood Roofs. The requirements of Section 15112 shall not apply when an existing building or structure with a wood roof covering is subject to roof installation, addition, repair, alteration or replacement of less than 25% of the existing building or structure's wood roof-covering area, accumulated over the life of the building, commencing on or after the official date of this ordinance. In such circumstances, wood roof coverings with a CSFM listed rating may be used, provided the completed roof assembly complies with all other provisions of this code. For the purpose of this ordinance, 25% of the wood roof covering area shall be calculated from the area of wood roof covering existing on the effective date of this ordinance.
CBC Section 1405 is hereby amended to add to Section 1405.1 a second paragraph, as follows:
1405.1 Shingles or Shakes. A minimum Class “B” Listing by a manufacturer acceptable to the Fire Marshal or the Chief Building Official shall be required for all wood shingles or shakes, and other shingles or shakes that may be used for exterior wall covering referred to elsewhere in this code. No Class “C” wood and non-rated wood shakes or wood shingles shall be installed as an exterior wall covering on any new or existing building or structure.
Wood shingles shall meet the minimum thickness requirements of Table 1404.2.
CBC Section 1405 is hereby amended to add an additional exception to Section 1405.1 as to read as follows:
29.21 7
Exception: Existing Wood Exterior Repairs or Installations of less than 25%. The Class “B” requirements of this section shall not apply when an existing building or structure with wood shake or wood shingle exterior wall covering is subject to installation, addition, repair, alteration or replacement of less than 25% of the existing building or structure's wood shake or wood shingle exterior wall covering area accumulated over the life of the building commencing on or after the effective date of this ordinance. For the purposes of this code, 25% of the area of wood exterior wall covering shall be calculated from the area of the wood exterior wall shake or wood shingle covering existing on the effective date of this ordinance.
Add sentence to CRC Section R703.6:
Refer to city amended CBC Sections 1405 for requirements.
The UAC Chapter 1 and the CBC Chapter 1, Division II shall have the following inserted under their respective headings to read as follows:
The 1997 Uniform Administrative code (UAC) shall be used for the purpose of maintaining and administering the existing fee structure as established in the UAC or adopted by the City of Santa Cruz as authorized by the UAC. The California Building Code Chapter 1, Division II shall be used in its entirety, as applicable, for the administration of the building standards codes for all buildings, structures and equipment in the City of Santa Cruz, except as modified in SCMC Title 18.
CBC Section 105.1, insert second paragraph to read as follows:
Except as specified in Section 105.2, no building, structure or building service equipment regulated by this code and the technical codes shall be erected, constructed, enlarged, altered, repaired, moved, improved, removed, converted or demolished unless a separate, appropriate permit for each building, structure or building service equipment has first been obtained from the building official.
CBC Section 105.2 is hereby amended to add the following modification to exemption No. 1 and to add exemption No. 14:
1. One-story detached accessory structures used as tool and storage sheds, playhouses and similar uses, provided the floor area does not exceed 120 square feet (11m2). Exempted structures shall not be placed within six feet of each other or any other permanent structure and shall comply with local zoning requirements for setbacks and maximum number of structures allowed.
14. Decks and platforms that meet all the following criteria:
a) Are not more than 200 square feet in area, and
29.22 8
b) are not more than thirty inches above the adjacent grade at any point within the area of the deck and 36 inches beyond the edge of the deck, and c) are not attached to a building or structure, and
d) do not serve as part of a required exit or means of egress, and e) are not located over a basement or story below.
(Decks serving common areas in multi-family residential construction and all commercial decks are not exempted by this section.)
CRC Section 105.2 Exemption 1 shall be modified as follows:
In Exemption 1, add a second paragraph stating: Exempted structures shall not be placed within six feet of each other or any other permanent structure and shall comply with local zoning requirements for setbacks and maximum number of structures allowed.
CBC Section 107.2.3 shall strike reference to R-2 and I-1 occupancies with the second sentence to read as follows:
In other than occupancies in Group R-3, the construction documents shall designate the number of occupants to be accommodated on every floor, and in all rooms and spaces.
CBC Section 110.1, insert second paragraph to read as follows:
A survey of the lot may be required by the building official to verify that the structure is located in accordance with the approved plans.
CBC Section 112, add Section 112.4 to read as follows:
112.4 Connection after Order to Disconnect. Persons shall not make connections from an energy, fuel or power supply nor supply energy or fuel to building service equipment which has been disconnected or ordered to be disconnected by the building official or the use of which has been ordered to be discontinued by the building official until the building official authorizes the reconnection and use of such equipment.
Add sentence to CBC Section 113.1:
Refer to SCMC 18.41, Board of Building and Fire Appeals.
CRC Table R301.2 shall be populated with the following criteria as established by the city of Santa Cruz, using criteria published in the CRC where applicable:
GROUND WIND DESIGN SEISMIC SUBJECT TO DAMAGE FROM
29.23 9
SNOW
LOAD
(PSF)
Ultimate
Speed
(mph)
Topographic
effects
Special
wind
region
Wind
borne
debris
zone
DESIGN
CATEGORY Weathering Frost line
depth Termite
0 11090 No No No D2 Negligible
12 inches
below undisturbed
soil
Very
Heavy
WINTER DESIGN
TEMP
ICE BARRIER
UNDERLAYMENT REQ’D
FLOOD HAZARDS
AIR
FREEZING
INDEX
MEAN
ANNUAL
TEMP
40 F No
5/16/2012 FIRM 06087C:
Panels 214E, 218E, 219E, 238E,
327E, 331E, 332E, 351E;
9/29/17 FIRM 06087C:
Panels 329F, 333F, 334F, 353F
0 55 F
Replace Manual J Design Criteria Table with the following:
MANUAL J DESIGN CRITERIA
Elevation
Altitude
Correction
Factor
Coincident Wet
Bulb
Indoor Winter
Design Relative
Humidity
Indoor Winter
Design Dry-bulb
Temperature
Outdoor Winter
Design Dry-bulb
Temperature
Heating
Temperature
Difference ()
125 ft 1.00 61 50% 70 38 32
Latitude Daily Ranger
Summer Deign
Gains
Indoor Summer
Design Relative
Humidity
Indoor Summer
Design Dry-bulb
Temperature
Outdoor Summer
Design Dry-bulb
Temperature
Cooling
Temperature
Difference ()
37 H -1 @ 50% RH 50% 75 71 4
CBC Chapter 7A and CRC Section R337 shall have advisory text added under its heading, as follows: See SCMC 19.05.270 for additional requirements.
UHC Section 401, Nuisance, is hereby amended by adding item 9 to read:
9. Any residential property upon which a person or persons conducts activities, accumulates materials, or fails to maintain structures and grounds to a degree, which by common standards, is disruptive and/or damaging to general welfare, peace and sanctity of the surrounding neighborhood.
UHC Section 103 and UCADB Section 102.2 shall have the following paragraph added, to read as follows:
Where reference is made to any code or standard, the most relevant code(s) and/or standards(s) as currently adopted in SCMC Title 18 shall be used. Where conflict may occur between other provisions of the Santa Cruz Municipal Code and this Title 18, Title 18 shall govern.
29.24 10
Section 3. Chapter 18.08 “Electrical Code” of the City of Santa Cruz Municipal Code shall be amended at Section 18.08.030 to read as follows:
18.08.030 ADOPTION OF THE ELECTRICAL CODE.
The following documents are hereby adopted as part of the Electrical Code of the city of Santa Cruz:
CCR T 24, Part 3, The 20252 California Electrical Code, except as modified herein (hereafter CEC).
One copy of the above documents is and shall be maintained on file in the office of the building official, for use and examination by the public.
Section 4. Chapter 18.12 “Plumbing Code” of the City of Santa Cruz Municipal Code is hereby amended at Section 18.12.030 to read as follows:
18.12.030 ADOPTION OF THE PLUMBING CODE.
The plumbing code of the city of Santa Cruz (CCR 24, Part 5, the 20252 California Plumbing Code) is hereby amended to adopt Appendix M, The Peak Water Demand Calculator, which provides an optional, alternate approach for use by builders in determining the sizing of plumbing systems and facilities.
One copy of the above documents is and shall be maintained on file in the office of the building official for use and examination by the public.
Section 5. Chapter 18.14 “Mechanical Code” of the City of Santa Cruz Municipal Code is hereby amended at Section 18.14.030 to read as follows:
18.14.030 ADOPTION OF THE MECHANICAL CODE.
The following documents are hereby adopted as part of the Mechanical Code of the city of Santa Cruz:
CCR T 24, Part 4, The 20225 California Mechanical Code, including Appendices B and C, except as modified herein (hereafter CMC).
One copy of the above documents is and shall be maintained on file in the office of the building official, for use and examination by the public.
Section 6. Chapter 18.15 “Energy Code” of the City of Santa Cruz Municipal Code is hereby amended at Section 18.14.030 to read as follows:
29.25 11
18.15.030 ADOPTION OF THE ENERGY CODE.
The following documents are hereby adopted as part of the Energy Code of the city of Santa Cruz:
CCR T 24, Part 6, The 20225 California Energy Code, except as modified herein (hereafter CEnC).
One copy of the above documents is and shall be maintained on file in the office of the building official, for use and examination by the public.
Section 7. Chapter 18.40 “Historical Building Code” of the City of Santa Cruz Municipal Code is hereby amended at Section 18.40.030 to read as follows:
18.40.030 ADOPTION OF HISTORICAL BUILDING CODE.
The following documents are hereby adopted as part of the Mechanical Code of the city of Santa Cruz:
CCR T 24, Part 8, The 20225 California Historical Building Code (hereafter CHBC) is hereby adopted as part of the Historical Building Code of the city of Santa Cruz. One copy of the CHBC referred to above shall be maintained on file in the office of the building official, for use and examination by the public.
This ordinance shall be in force and take effect thirty (30) days after its final adoption but not prior to January 1, 2026.
PASSED FOR PUBLICATION this 28th day of October 2025, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: __________________________
Fred Keeley, Mayor
ATTEST: ________________________________
Bonnie Bush, City Clerk Administrator
29.26 12
PASSED FOR FINAL ADOPTION this 18th day of November 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
29.27 City Council
AGENDA REPORT
DATE: 10/06/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Economic Development and Housing
SUBJECT: First Reading of an Ordinance to Establish the Midtown Santa Cruz Business Improvement District and Levy Assessments for Calendar Year 2026 (EDH)
LOCATION: Districts 1 and 2
RECOMMENDATION: Motion to introduce for publication an ordinance to establish the Midtown Santa Cruz Business Improvement District and Levy Assessments for Calendar Year 2026.
BACKGROUND: The City of Santa Cruz Economic Development and Housing Department (EDH) has coordinated for many years with the Midtown Business Association, an informal organization currently operated by businesses in the area to promote and advocate for midtown business success. The businesses have advocated for growth of this organization and further investments for clean, safe, and welcoming services in the midtown commercial district. The Midtown Business Association has expressed interest in the creation of a formal improvement district for midtown similar to the improvement districts that operate downtown. EDH staff received direction from the City Council on January 23, 2024 to engage a district formation consultant and pursue the formation of an improvement district.
Following a Request for Proposal process, EDH hired a joint consultant team of Kristen Lowell, Inc., Civitas Advisors, and Community Strong Strategies to work on the establishment of a midtown Business or Property-Based Improvement District (BID/PBID). The contract began in July 2024 with a scope of work that included determining the district structure, preparing a management plan for the district organization, and completing the ballot and legal process to establish the BID/PBID.
A steering committee was formed in September 2024 with representatives of business owners and key property owners within the proposed district boundaries. The purpose of the steering committee was to help determine priorities, help with outreach to stakeholders, and ultimately guide the City and consultants on assessment rates and services. The steering committee met twice with City staff and consultants. The steering committee held two facilitated community outreach workshops in Fall 2024 with potential district members to explain the process and benefits of establishing a BID/PBID and answer questions about the assessment, services, and organization structure. The consultant team’s initial recommendation was to explore the
30.1 feasibility of a PBID, due to the level of stability and greater potential for district revenue from a property-based model. Following the first two workshops and feedback from the property owners, it was determined that a PBID was not feasible due to lack of interest and support from property owners. The steering committee decided to move forward with a BID. The steering committee then met in February, May, and July 2025 to determine the preferred service plan, assessment rate and budget. In August 2025 the steering committee hosted two more community outreach workshops to present the proposed BID structure to potential district members for additional feedback and to gauge support.
On September 9, 2025, the City Council adopted a resolution of intention to initiate proceedings to establish the MSCBID.
DISCUSSION: BIDs are organizations of business owners working to improve their commercial corridor or business district by supplementing public services through a stable funding mechanism. Benefits of a BID include:
Customization to fit the needs of each district area
The ability to provide a wide range of services to businesses located within the district, including: marketing programs, business promotion activities, and infrastructure improvements
Participation by businesses who will pay into the assessment in the design, creation and governance of the district
The provision of a stable funding source for ongoing services and needs in the district In California, BIDs can be formed pursuant to the Parking and Business Improvement Area Law of 1989, Streets and Highways Code §36500 et seq. (“89 Law”). This law allows for the creation of special benefit assessment districts to raise funds within a specific geographic area.
Midtown Santa Cruz Business Improvement District (MSCBID) The MSCBID will include assessed businesses, existing and in the future, within the boundaries described below:
a) the commercial corridor along Soquel Avenue, beginning with the businesses just west of Pacheco Avenue and continuing west on Soquel Avenue until and including the businesses at the intersection of Soquel Avenue and Branciforte Ave; b) the commercial area of Water Street, beginning with the businesses at Water St. and Morrisey Blvd. and continuing west on Water Street until and including the businesses at Water Street and Seabright Avenue;
c) all parcels fronting Seabright Avenue, between Water St. and Soquel Avenue; and d) the commercial area two parcels deep on Seabright Avenue south from Soquel Avenue.
30.2 The following is a diagram showing the included areas:
Businesses are assessed based on their building square footage for business space occupied (as recorded through a business license), business type, base rate, and a flat base fee of $100 per business. The annual assessment may be increased by no more than 5% added to the base rate and 5% added to the base fee per year. Annual increases will be voted on by the advisory board (defined by Streets & Highways Code § 36505) and approved by City Council.
30.3 Total Assessment = (Bldg. SF) X (Type %) X (Base Rate) + ($100 Base Fee) Type % Base Rate
Base Rate per Bldg. SF: $0.8106
Base Fee: $100.00
Type 1: Retail, Food & Lodging 100% $0.8106
Type 2: Financial, Bars 75% $0.8106
Type 3: Wholesale, Trade, Services, Professions, Auto
Dealers, Grocery Stores, Gyms (Capped at 10,000 SF AFTER building SF x Type %)
60% $0.8106
Type 4: Nonprofit, Theaters (capped at 10,000
SF AFTER building SF x Type %) 40% $0.8106
Duration
The MSCBID will have a one (1) year-life, beginning on January 1, 2026 and ending December 31, 2026. The one (1) year MSCBID may be renewed pursuant to the Parking and Business Improvement District Law of 1989, Streets and Highways Code section 36500 et seq. (89 Law).
Management
The MSCBID will be managed by an advisory board made up by business owners from within the district charged with managing district funds and implementing programs in accordance with the ordinance establishing the MSCBID. The MSCBID formation steering committee, which is comprised of business owners in the proposed district boundary, has helped shape the service plan for the proposed district. The steering committee will select the initial slate of advisory board members and those individuals will be considered for appointment by the City Council at the final public hearing for the MSCBID formation.
Annual Assessment Process
If the MSCBID is established, a public hearing must be held annually on the proposed levy of assessment for each MSCBID fiscal year of the district (January through December). If written protests are received from the business owners in the proposed area that will pay fifty percent 50% or more of the assessments proposed to be levied, the proposed levee cannot be assessed, and no further action on the proposed assessment can be taken for a period of one year.
The City will be responsible for collecting the assessment on a semi-annual basis from each assessed business located in the MSCBID boundaries and disbursing the collected assessment funds to the non-profit that will be established to manage the district upon the district’s formation.
30.4 MSCBID FORMATION PROCESS
September 9, 2025 RESOLUTION OF INTENTION HEARING (COMPLETED) City Council may initiate proceedings to establish an improvement area by the adoption of a resolution expressing its intention to establish an improvement area.
September 15, 2025 NOTICE (COMPLETED)
The 89 Law requires the publication of the resolution of intention in a newspaper of general circulation in the City at least seven (7) days before the public hearing.
The 89 Law also requires the mailing of a complete copy of the resolution of intention to each assessed business owner in the MSCBID at least seven (7) days before the public hearing.
October 28, 2025 PUBLIC MEETING AND INTRODUCTION/FIRST READING OF
ORDINANCE
At the public meeting, City Council shall introduce and conduct the first reading of the ordinance establishing the MSCBID and levying the assessment for the Calendar Year 2026.
November 18, 2025 FINAL PUBLIC HEARING AND SECOND READING/ADOPTION OF
THE ORDINANCE
If written protests are received from the owners of businesses in the proposed MSCBID which will pay fifty percent (50%) or more of the assessments proposed to be levied and protests are not withdrawn so as to reduce the protests to less than fifty percent (50%), no further proceedings to levy the proposed assessment against such businesses shall be taken for a period of one (1) year from the date of the finding of a majority protest by City Council.
Following a successful public hearing and first reading of the ordinance, City Council shall convene to hold a second reading of the ordinance establishing the MSCBID and levying the assessment. Upon successful passage of the ordinance, the MSCBID shall be established, and the ordinance shall go into effect thirty (30) days after its successful passage.
Following approval of the formation of the MSCBID, the City and consultants will assist the advisory board in establishing a non-profit 501(c)(6) organization to manage the new assessment revenue and serve as the legal entity managing the district.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: The proposed Council action is not a “project” under CEQA because it does not have the potential to cause a physical change in the environment directly or indirectly.
30.5 HEALTH IN ALL POLICIES (HiAP): The MSCBID aligns with the equity goals of HiAP by establishing a district that promotes all businesses in the Midtown commercial district.
Businesses all receive equal benefit from the services provided including marketing and promotion, beautiful, clean, and safe services, and special projects available only to assessed businesses. The MSCBID also creates a unified and sustainable organization to improve advocacy on behalf of the commercial district and creates opportunities for collective decision making and leadership opportunities for businesses engagement in oversight of the district.
FISCAL IMPACT:
1. The recommendation in this report impacts the General Fund: Yes
2. This recommendation requires a budget adjustment: No
3. The recommendation creates an on-going expenditure commitment: No FISCAL IMPACT DESCRIPTION: There is no significant fiscal impact to the General Fund.
The City will serve as the fiscal agent collecting assessments on behalf of the MSCBID and passing through those assessments to the organization. The General Fund’s Finance Department and Economic Development and Housing Department will absorb the administrative costs related to performing these collection and passthrough duties. Because the MSCBID programs are intended to increase commercial activity for Midtown Santa Cruz, there may be an increase in sales tax collections to the City that could offset the City’s administrative costs.
Prepared By:
Rebecca Unitt
Economic Development
Manager
Submitted By:
Bonnie Lipscomb
Deputy City Manager
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. ORDINANCE.DOCX
2. MSCBID SERVICE PLAN.PDF
30.6 ORDINANCE NO. 2025-XX
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ ADDING CHAPTER 5.85 “MIDTOWN SANTA CRUZ BUSINESS IMPROVEMENT DISTRICT” TO THE CITY OF SANTA CRUZ MUNICIPAL CODE AND LEVYING ASSESSMENTS FOR THE 2026 CALENDAR YEAR
WHEREAS, the Parking and Business Improvement Area Law of 1989, Streets and Highways Code § 36500 et seq. (“89 Law”), authorizes the City of Santa Cruz (“City”) to establish business improvement areas; and
WHEREAS, Midtown Santa Cruz business owners and representatives from the City have met to consider the formation of the Midtown Santa Cruz Business Improvement District (“MSCBID”); and
WHEREAS, the Santa Cruz City Council (“Council”) adopted Resolution No. NS-30,550, titled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ
DECLARING ITS INTENTION TO ESTABLISH THE MIDTOWN SANTA CRUZ BUSINESS
IMPROVEMENT DISTRICT (MSCBID) AND TO LEVY ASSESSMENTS FOR CALENDAR YEAR 2026 IN THE MSCBID AND FIXING THE TIME AND PLACE OF A PUBLIC HEARING THEREON AND GIVING NOTICE THEREOF” on September 9, 2025, and ordered notice of a public meeting and public hearing pursuant to the 89 Law to establish the MSCBID; and
WHEREAS, Resolution No. NS-30,550 was duly published, and copies of Resolution No.
NS -30,550 were mailed to the affected businesses, as required by the 89 Law; and WHEREAS, as specified in Resolution No. NS-30,550, a public meeting concerning the formation of the MSCBID was held before the City Council on October 28, 2025 in the Council Chambers, located at 809 Center Street, Santa Cruz, California 95060; and WHEREAS, as specified in Resolution No. NS -30,550, a public hearing concerning the formation of the MSCBID was held before the City Council on November 18, 2025 in the Council Chambers, located at 809 Center Street, Santa Cruz, California 95060; and WHEREAS, the City has not received written protests from the affected businesses in the proposed MSCBID paying fifty percent (50%) or more of the proposed assessment; and WHEREAS, at or before said public hearings, written protests were filed and oral protests were made. The Council has considered these protests and hereby finds and determines that there was no majority protest within the meaning of Section 36525 of the 89 Law; and WHEREAS, the City Council finds that businesses and the property within the MSCBID area will be benefited by the improvements and activities funded by the assessments to be levied.
30.7 NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Santa Cruz, as follows:
SECTION 1. The foregoing recitals are true, correct, and are hereby incorporated into and made a part of this Ordinance as if fully set forth herein.
SECTION 2. A new Chapter 5.85 of the Santa Cruz Municipal Code is added as follows:
“5.85.010 PURPOSE AND FINDINGS.
The purpose of this chapter is to generate revenue for the exclusive purpose of promoting business in the Midtown Santa Cruz Business Improvement District (“MSCBID”). The City Council has found that the businesses and the property within the business and improvement area will be benefited by the improvements and activities funded by the assessment to be levied.
5.85.020 MIDTOWN SANTA CRUZ BUSINESS IMPROVEMENT AREA.
There is hereby established a parking and business improvement area to be named “Midtown Santa Cruz Business Improvement District” within the area bounded as set forth in the diagram included in this section.
The MSCBID generally includes:
(a) the commercial corridor along Soquel Avenue, beginning with the businesses just west of Pacheco Avenue and continuing west on Soquel Avenue until and including the businesses at the intersection of Soquel Avenue and Branciforte Ave; and (b) the commercial area of Water Street, beginning with the businesses at Water St. and Morrisey Blvd. and continuing west on Water Street until and including the businesses at Water Street and Seabright Avenue; and
(c) all parcels fronting Seabright Avenue, between Water St. and Soquel Avenue; and (d) the commercial area two parcels deep on Seabright Avenue south from Soquel Avenue.
30.8 5.85.030 MSCBID ASSESSMENT.
An assessment, which shall be in addition to any general business license tax of the City of Santa Cruz (“City”), shall be imposed upon all businesses within the business improvement area based on the formula contained within Section 5.85.040, which is proportionate to the degree of benefit derived by businesses in the zones comprising the improvement area. This charge will be imposed twice each year.
5.85.040 FORMULA FOR ASSESSMENT.
30.9 Businesses are assessed based on their building square footage for business space occupied (as recorded on business license), business type, base rate, and a flat base fee of $100 per business.
For the 2026 calendar year, the rate of assessment shall be imposed according to the following:
Total Assessment = (Bldg. SF) X (Type %) X (Base Rate) + ($100 Base Fee) Type % Base Rate
Base Rate per Bldg. SF: $0.8106
Base Fee: $100.00
Type 1: Retail, Food & Lodging 100% $0.8106
Type 2: Financial, Bars 75% $0.8106
Type 3: Wholesale, Trade, Services,
Professions, Auto Dealers, Grocery Stores,
Gyms (Capped at 10,000 SF AFTER building
SF x Type %) 60% $0.8106
Type 4: Nonprofit, Theaters (capped
at 10,000 SF AFTER building SF x Type %) 40% $0.8106
5.85.050 ANNUAL INCREASES.
The annual assessment may be increased by no more than 5% added to the base rate and 5% added to the base fee per year. Increases will be voted on by the advisory board (defined by Streets & Highways Code § 36505) and approved by City Council in the annual report.
5.85.060 REVENUE USE.
The revenue generated from the assessment shall be used to promote businesses in the MSCBID. Revenue generated from the levy of assessments provided for in this chapter shall be used to provide improvements and activities within the business improvement area and shall not be used to provide improvements or activities outside the area or for any purpose other than the purposes specified in the resolution of intention. The purpose of the MSCBID is to provide “beautiful, clean, and safe” programs, marketing, branding, special events programs, and administration services directly and only to payors within its boundaries.
5.85.070 BUSINESSES SUBJECT TO ASSESSMENT.
The assessment imposed by this chapter shall be levied, collected and enforced on all businesses in the MSCBID, including those exempt from the business license tax, in the same manner, at the same time, and with the same penalties and interest charges, as the general business license tax of the City. The annual assessment imposed by this chapter is payable in two equal semiannual installments. The first fifty percent (50%) installment payment is due on or before January 1st of the subject calendar year and the second fifty percent (50%) installment payment is due on or before July 1 st of the subject calendar year.
30.10 New businesses within the MSCBID will not be exempt from the levy of assessments as authorized by Section 36531 of the Parking and Business Improvement District Law of 1989, Streets and Highways Code section 36500 et seq (“89 Law”).
5.85.080 ADVISORY BOARD, ANNUAL REPORT, SUBSEQUENT ANNUAL LEVY OF ASSESSMENT.
(a) The City Council shall appoint an advisory board as required by the 89 Law, including Streets & Highways Code § 36530.
(b) The advisory board shall prepare an annual report that shall comply with all the requirements of the 89 Law, including Streets & Highways Code § 36533.
(c) The MSCBID shall commence on January 1, 2026, and assessments for the year 2026 shall be levied consistent with this chapter.
(d) Starting with the assessments for year 2027, consistent with the 89 Law, to renew the assessments each year, the Council may adopt a resolution of intention to levy and collect assessments for the subject year. The resolution shall meet all requirements of the 89 Law, including those contained within Streets & Highways Code § § 36534 and 36535.
5.85.090 GOVERNING LAW.
All of the businesses in the MSCBID established by this Ordinance shall be subject to any amendments to the provisions of the 89 Law.”
SECTION 3. This ordinance shall take effect and be added to the City’s Municipal Code thirty (30) days after final adoption. The MSCBID shall commence January 1, 2026, as provided in Section
5.85.080.
PASSED FOR PUBLICATION this 28th day of October, 2025, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
30.11 PASSED FOR FINAL ADOPTION this 18th day of November, 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
30.12 20xx-20xx
Midtown Santa Cruz Business Improvement District
SERVICE PLAN
Prepared pursuant to the Parking and Business Improvement District Law of 1989, Streets and Highways Code section 36500 et seq.
August 14, 2025
30.13 2
Developed by business owners in the Midtown area in the City of Santa Cruz (City), the Midtown Santa Cruz Business Improvement District (MSCBID) is an assessment district proposed to provide specific benefit to assessed payors, by funding Beautiful, Clean, and Safe programs, Marketing, Branding, and Special Events programs, and Administration services.
Location: The Midtown Santa Cruz BID generally includes the commercial corridor along Soquel Avenue, beginning at its intersection of Morrissey Boulevard, Water Street and Soquel Avenue. It heads west on Water Street until the intersection of Seabright Avenue. It also heads southwest on Soquel Avenue until the intersection of Branciforte Avenue.
It also includes all parcels fronting Seabright Avenue. It also goes 2 parcels deep on Seabright Avenue south from Soquel Avenue.
Purpose: The MSCBID will provide Beautiful, Clean, and Safe programs, Marketing, Branding, and Special Events programs, and Administration services directly and only to payors within its boundaries.
Budget: The MSCBID annual assessment budget for the initial year operation is anticipated to be $250,000. The annual budget may be subject to an increase in the base rate and flat base fee of no more than five percent (5%) per year. Increases will be voted on by the advisory board and approved by City Council in the annual report.
Cost: Businesses are assessed based on their building square footage for business space occupied (as recorded on business license), business type, base rate, and a flat base fee of $100 per business.
Total Assessment = (Bldg. SF) X (Type %) X (Base Rate) + ($100 Base Fee) Type % Base Rate
Base Rate per Bldg. SF: $0.8106
Base Fee: $100.00
Type 1: Retail, Food & Lodging 100% $0.8106
Type 2: Financial, Bars 75% $0.8106
Type 3: Wholesale, Trade, Services,
Professions, Auto Dealers, Grocery Stores,
Gyms (Capped at 10,000 SF AFTER building
SF x Type %) 60% $0.8106
Type 4: Nonprofit, Theaters (capped at 10,000
SF AFTER building SF x Type %) 40% $0.8106
Duration: The MSCBID will have a one (1) year-life, beginning on January 1, 2026 and end December 31, 2026. After the one (1) year, the MSCBID may be renewed pursuant to the Parking and Business Improvement District Law of 1989, Streets and Highways Code section 36500 et seq. (89 Law).
30.14 3
Management: The advisory board appointed by City Council will be responsible for managing the MSCBID and charged with managing funds and implementing programs in accordance with the ordinance establishing the MSCBID.
BOUNDARIES
The map below illustrates the MSCBID boundaries.
SERVICE PLAN & BUDGET
Beautiful, Clean, and Safe
The Beautiful, Clean, and Safe programs will make the MSCBID cleaner, more accessible, and more inviting to potential tenants and customers. A regular schedule will be established for most of the maintenance services, while some will be provided on an as-needed basis. Services may include an ambassador program for the area, as budget allows. Beautiful, Clean, and Safe services may include, but are not limited to:
• Pressure washing sidewalks and gum removal;
• Regular litter removal services and installation and management of additional receptacles, including garbage, debris, and leaves;
• Graffiti removal for public spaces within the MSCBID boundaries;
30.15 4
• Flower baskets;
• Capital improvements that may include art installations, entry features, traffic calming measures, and maintenance and/or installation of benches, bike racks and decorative lighting; • Identifying and pursuing grant opportunities;
• Working with non-profit organizations to provide the unhoused with resources to emergency shelters, permanent housing, and mental/physical health care; • Landscape improvements and maintenance, such as weeding, mulching, planting of trees and flowers and subsequent trimming and upkeep; and
• Similar services designed to maintain a clean, attractive environment.
Marketing, Branding, and Special Events
The MSCBID will have a unified Marketing, Branding, and Special Events program that will collaborate with payors within the MSCBID boundaries to market and promote the MSCBID to the public as a single destination with a rich collection of attractions, businesses, events, and services. The MSCBID will coordinate exciting and fun events for the area. Further, the Marketing, Branding, and Special Events program will garner positive media coverage and frequent communications with business owners.
The Marketing, Branding, and Special Events program may include, but is not limited to:
• The development and distribution of visitor guides, press releases, e-newsletters, e-calendars, and a dedicated MSCBID website to enhance communication and engagement with the community; • Kiosks or display cases;
• Execution of marketing research to identify trends and opportunities; • Organization of special events that foster community interaction and coordination of necessary street closures that facilitate activities;
• Retail and business recruitment activities to encourage businesses to locate within the district; • Maintenance of business owner database;
• Creating an active evening and weekend environment to increase commerce to assessed businesses;
• Similar projects aimed at increasing visitation and commerce to assessed businesses, ultimately contributing to a vibrant and economically thriving MSCBID; • Directional, wayfinding, and gateway signage that establishes a sense of place, promotes patronage and activity, and connects the properties of the MSCBID service area with the larger community;
• Demonstration "pop up" efforts to attract additional event promoters into the District, showcasing local talent and fostering a vibrant atmosphere; • Funding the purchase and installation of regular rotational displays of pole banners, decorative lighting, holiday décor, art installations, and other decorative adornments throughout the MSCBID which serve to celebrate various shopping seasons which serve to present a cohesive image of community personality and identity; and
• Similar services designed to enhance the image of the MSCBID.
Administration
The administration portion of the budget will be utilized to provide a unified voice to represent and promote the shared needs and concerns of the MSCBID’s payors. The administration costs are associated with providing the activities and improvements for the MSCBID. These costs may include rent, telephone
30.16 5
charges, legal fees, accounting fees, postage, administrative staff, insurance, and other general office expenses. Administration funds may be used for advocacy. Advocacy efforts will utilize dedicated staff time to provide unified attention, communication, and responsiveness throughout the MSCBID and provide a unified voice to represent the MSCBID’s best interests. MSCBID staff will advocate for additional funding for the area as well as assist with grant writing for additional projects and funding.
Proposed Budget
The total budget for 2026 that is funded by assessments is approximately $250,000. Assessment funds will be spent to provide specific benefits to the payors.
Services % Budget
Beautiful, Clean, and Safe 50% $125,000
Marketing, Branding and Special Events 40% $100,000
Administration 10% $25,000
TOTAL 100% $250,000
30.17 Brittany Inclan
From: Benjamin Ow <[email protected]>
Sent: Wednesday, October 22, 2025 8:51 AM
To: City Council; Matt Huffaker
Cc: George Ow; Andrew Ow; William Ow
Subject: Please Vote Down the Proposed Midtown Business Improvement District! Attachments: 2015-10 - Letter to Santa Cruz City Council re Midtown BID.pdf Dear Mayor Keeley and Santa Cruz City Council,
Please find my attached letter asking you to please vote down the proposed Midtown Business Improvement District and let me know if you have any questions.
Thank you for your consideration and support.
Best regards,
Benjamin Ow
--
Benjamin Ow | Manager
Ow Family - 911 Soquel, LLC | 1601 41st Avenue #202 | Capitola | CA 95010 T 831.247.1175 | F 831.426.5772 | [email protected] | www.owcommercial.com
30.18 October 16, 2025
Mayor Fred Keeley and Santa Cruz City Council
809 Center Street, Room 10
Santa Cruz, CA 95060
[email protected]
RE: PLEASE VOTE DOWN THE PROPOSED MIDTOWN BUSINESS IMPROVEMENT DISTRICT Dear Mayor Keeley and the Santa Cruz City Council,
I am the manager of Ow Family – 901 Soquel, LLC, which owns the property where Santa Cruz Athletic Club operates at 901 Soquel Avenue in Santa Cruz. I am writing on behalf of myself and the rest of my family business team, which now includes the fourth generation of Santa Cruz locals, and in support of Santa Cruz Athletic Club and its ownership and operations team to respectfully request that you vote against the formation of the proposed Midtown Business Improvement District (“BID”).
As local property owners, we have significant concerns about the way the proposed BID has been formed and how it will operate. I believe that we first learned of a movement to create a property‐based business improvement district less than a year ago. What we learned gave us significant pause. Out‐of‐town consultants were pushing an organization that would cost us and/or our tenants thousands of dollars a year and whose budget allocated 25% of its money to administrative costs. We found this outrageous as commercial management contracts for real estate management are typically much less than that, with 5% being a common percentage. We were also concerned that none of the services would actually benefit our tenants. Santa Cruz Athletic Club is a new, thriving business but it’s in a shopping center with its own parking lot so its front door is about 150 feet from Soquel Avenue. We were told that none of the BID services or help would apply to the parking lot so if a person were loitering (or worse) and causing a nuisance in the parking lot or leaving trash strewn about, BID employees would not help or clean up after them. Even with a BID, Santa Cruz Athletic Club would still be responsible for policing and cleaning the large area in front of and around its premises. This is a big contrast from the businesses directly on Soquel Avenue, who would have the areas around their stores policed and cleaned by BID employees.
Santa Cruz Athletic Club and the other tenants of the shopping center currently pay for all of the services that the BID would provide to the other businesses that are located directly on Soquel Avenue. They should not have to pay for both the services that they actually use and already pay for (cleaning and repairing the parking lot, private security at times, store‐specific marketing, etc.) and also pay for the services that only their neighbors will use and benefit from.
Another reason we believe that the proposed BID would not be beneficial for our tenant, Santa Cruz Athletic Club, is because we don’t believe that the marketing expenses and activities will be helpful for a gym.
For example, a recent Lookout article mentioned that BID marketing dollars could be used on a “Bingo card, where shoppers could collect stamps from participating businesses with a purchase of at least $25, then enter completed cards in a raffle for local prizes.” https://lookout.co/santa‐cruz‐county‐businesses‐turn‐to‐special‐ tax‐districts‐as‐economic‐pressures‐mount‐and‐government‐support‐shrinks/story. Such an idea may be Ow Family – 901 Soquel, LLC 1601 41st
Avenue, Suite 202
Capitola, CA 95010
Phone: (831) 475-9042
Fax: (831) 475-2186
30.19 2
beneficial for retail businesses, but it is not a helpful promotion for gyms like Santa Cruz Athletic Club. Another promotional activity mentioned in the article is a scavenger hunt. Again, a scavenger hunt may be great for driving traffic to retail stores, but is not helpful for a gym, which has members.
The property‐based BID would have required property owners to vote and approve it. Our understanding is that there was not sufficient support so it was changed to a BID voted on by the City Council.
We think this change is unfair and will allow a BID to be formed without support from the property owners and/or tenants who will be funding it.
While we appreciate that the administrative costs in the budget have been reduced, we think that the proposed BID will not provide meaningful services to us or our tenants but we will be forced to pay significant sums of money annually regardless. While we think that helping smaller businesses is a laudable goal, we don’t think it should be done at the expense of larger local businesses who no longer have a say in the matter.
Please vote down the creation of the proposed Midtown Business Improvement District. It does not have sufficient tenant or property owner support. The City Council should not create new fees for businesses purporting to help them when the majority of the businesses themselves do not want the organization or the costs.
Best,
Benjamin Ow,
Manager of Ow Family – 901 Soquel, LLC
SENT VIA EMAIL
CC:
Matt Huffaker, City Manager
[email protected]
30.20 30.21
30.22 Brittany Inclan
From: Santa Cruz Athletic Club <[email protected]> Sent: Friday, October 24, 2025 8:20 AM
To: City Council; Bonnie Bush
Cc: Benjamin Ow; Matt Huffaker
Subject: Re: PLEASE VOTE DOWN THE PROPOSED MIDTOWN BUSINESS IMPROVEMENT
DISTRICT
Attachments: 2015-10 SCAC Letter to Santa Cruz City Council re Midtown BID.pdf Note, Adding an additional recipient:
[email protected]
On Wed, Oct 22, 2025 at 6:39 AM Santa Cruz Athletic Club <[email protected]> wrote:
Dear Mayor Keeley and the Santa Cruz City Council,
Please find the attached letter asking you to please vote down the proposed Midtown Business Improvement District.
Please let me know if you have any questions.
Thank you for your consideration.
Sincerely,
Chris Ellis
President and CEO
Santa Cruz Athletic Club
408-499-9776
30.23 October 16, 2025
Mayor Fred Keeley and Santa Cruz City Council
809 Center Street, Room 10
Santa Cruz, CA 95060
[email protected]
RE: PLEASE STOP THE PROPOSED MIDTOWN BUSINESS IMPROVEMENT DISTRICT Dear Mayor Keeley and the Santa Cruz City Council,
We are the owners/operators of Santa Cruz Athletic Club, the new gym at 901 Soquel Avenue next to Whole Foods. We are writing to ask that you please stop the formation of the proposed Midtown Business Improvement District (“BID”).
We opened Santa Cruz Athletic Club earlier this year after running Santa Cruz Power Fitness on Water Street for many years. We understand well the many challenges and opportunities of running a business in Santa Cruz. Please do not add an additional burden to our business by creating a new organization that will be very costly for us with limited to no benefits.
As a tenant of a shopping center with a large parking lot, we already pay significant sums for all of the services that the BID would provide to city sidewalks and parking lots yet the BID would not provide those services to our parking lot or walkways. Our space is large and far from the street. The design of the BID would mean that we pay a lot of money each year yet the services would overwhelmingly benefit the smaller stores located directly on Soquel Avenue. The City implementing a new business license tax that would impose significant costs on a large local employer to benefit smaller stores with fewer employees seems misguided and inequitable. Please do not make us pay to clean up Soquel Avenue to benefit other businesses when we and our neighboring tenants already work together to pay to keep our shopping center clean. Just as we wouldn’t expect or ask businesses outside of our shopping center to contribute to the costs of keeping our shopping center safe and clean, we ask that you not impose fees or taxes that would require us to pay to help keep the area directly in front of other businesses clean.
In addition to not benefitting from the cleaning services the BID would provide, we don’t believe that we would benefit from the marketing and promotional activities the BID would engage in. All of the ideas that we’ve heard regarding marketing seem solely aimed at helping the nearby retail and restaurant businesses.
We hope they do well, but we also don’t want to have to pay for their marketing expenses.
We are also concerned about the process that led to the proposed creation of the BID. We first learned about a possible property-based BID. We were told that property owners/tenants would get to vote on the creation. This made sense to us because that process would allow those who would pay for the potential organization to have a say in whether or not it would be created. After negative feedback in a series of stakeholder meetings (and many of the stakeholders have decades of experience with public and private business associations), it seemed clear that there was not support for a property-based BID. Much to our Santa Cruz Athletic Club
901 Soquel Ave
Santa Cruz, CA 95060
(831) 425-4653
30.24 dismay, we recently learned that the City was planning to forge ahead with a different process, which does not require tenant or property owner votes, to form a BID anyway. We find this change in process unfair and undemocratic. BIDs should be formed by people who want to form them and are willing to pay for them. They should not be formed because a handful of businesses, most of whom would pay relatively small fees, lobby City staff and the City Council to form a BID when the stakeholders who would be paying the majority of the costs of the BID do not want it.
Please stop the proposed Midtown Business Improvement District. Macroeconomic conditions are already difficult. Please don’t add to our issues by increasing City fees on us and other large local employers.
The City Council should not create new fees for us without us getting to vote on it.
Best,
Camile Periat and Chris Ellis, Owners/Operators of Santa Cruz Athletic Club
SENT VIA EMAIL
CC:
Matt Huffaker, City Manager
[email protected]
2 30.25
Brittany Inclan
From: Sonia McMoran <[email protected]>
Sent: Sunday, October 26, 2025 11:52 AM
To: City Council
Subject: Comments Regarding the Proposed Midtown Business Improvement District (BID) Dear Mayor Keeley and Members of the City Council,
In today’s economy, consumers have a wide range of choices in how and where they spend their money.
Large corporations and online retailers often offer products and services that are both more affordable and more convenient.
For small businesses, our greatest competitive advantage lies not in price or convenience, but in the quality of the experience we create for our customers. That experience depends not only on what happens within our individual establishments, but also on the broader environment in which our businesses operate. A welcoming, well-maintained neighborhood plays a critical role in encouraging residents and visitors alike to spend their time and money locally.
The proposed Midtown Business Improvement District presents an opportunity for business owners to collaborate and reinvest directly in the vitality of our district. By pooling our resources, we can collectively enhance Midtown’s appeal, making it a more vibrant, engaging, and economically resilient area.
As a small business owner of ten years, I recognize that any new financial assessment can feel burdensome, particularly in the current economic climate. Nevertheless, I view this proposal as an investment that has the potential to yield measurable returns—through increased foot traffic, a stronger sense of community, and sustained local economic growth.
Finally, I respectfully request that if the proposed resolution does not yet have broad support among Midtown business owners, the Council consider postponing a vote rather than approving or rejecting the measure at this time. A Business Improvement District will only thrive if it is founded on shared purpose and collective confidence.
Thank you for your attention to this matter and for your continued support of the Santa Cruz small business community.
Sincerely,
Sonia McMoran, Owner
Home/Work
1100 Soquel Ave
Santa Cruz, CA 95062
30.26 City Council
AGENDA REPORT
DATE: 10/23/2025
AGENDA OF: 10/28/2025
DEPARTMENT: Planning and Community Development/City Manager SUBJECT: Amendments to Chapter 18.15 of the Municipal Code to Adopt Local Amendments to the California Energy Code of the 2025 California Building Code Cycle to Require Energy Conservation Measures for Certain Heating, Ventilation, and Air Conditioner Replacements and Installations in Existing Nonresidential Buildings (PL/CM) LOCATION: Citywide
RECOMMENDATION: Motion to:
1) Acknowledge the CEQA determinations that the ordinance is consistent with the Negative Declaration approved for the City of Santa Cruz 2030 Climate Action Plan adopted by City Council on September 13, 2022. The ordinance is also exempt from CEQA under the general rule, CEQA Guidelines Section 15061(b)(3) and per CEQA Guidelines Section 15308, Actions by Regulatory Agencies for Protection of Natural Resources; and 2) Introduce for publication an ordinance amending Municipal Code Chapter 18.15 to adopt local amendments to Title 24, Part 6 of the California Code of Regulations (California Energy Code) creating an energy reach code for existing nonresidential buildings that requires either the installation of a heat pump to State code minimum standards or additional energy measures for new and replacement air conditioning (AC) systems.
BACKGROUND: The City adopted its Climate Action Plan 2030 (CAP 2030) in 2022 with a legal target to reduce emissions 40% from 1990 levels by 2030 and an aspirational target of being carbon neutral by 2035, ten years earlier than the State target. One important way to reduce carbon emissions is by targeting energy efficiency in existing buildings, because existing buildings account for 24% of greenhouse gas emissions as regulated by the California Air Resources Board (CARB). The CAP 2030 contains three measures related to existing building energy use:
Measure BE-2 - Electrify 31% of existing residential buildings by 2030 and 53% by 2035. Measure BE-3 - Electrify 26% of existing commercial buildings by 2030 and 45% by 2035.
Measure BE-5 - Increase resiliency through equitable energy efficiency and local solar programs.
31.1 In 2023, City Council approved local modifications to the California Energy Code, referred to as a “reach code,” for newly constructed buildings. The City followed with a reach code for existing single-family buildings in October 2024, and an update to the policy in 2025 to go into effect on January 1, 2026. The current proposal takes the next step in this process to create reach code requirements for existing non-residential buildings that replace or install new cooling systems. While single family homes and accessory dwelling units represent the largest number of buildings in Santa Cruz at 18,400, nonresidential buildings make up 1,343 buildings. However, nonresidential buildings account for one-quarter of the building square footage in Santa Cruz:
another 12 million square feet, presenting further opportunity to reduce greenhouse gas emissions.
According to permit data for the City of Santa Cruz, there were at least 51 AC unit replacements between 2016 and 2025 (to date) or 9 per year.
DISCUSSION: Historically, the Energy Code has prioritized improvements to code sections regarding construction of new buildings. This is largely because new construction code changes are simpler to study, implement, and enforce. However, for every new dwelling unit built annually in California, there are approximately 117 existing buildings, many of which predate the introduction of modern energy efficiency standards. Given this, local governments face an increased need to implement practical policies for reducing emissions in these older buildings, which contribute significantly to overall energy consumption and greenhouse gas emissions.
Additionally, CARB recently introduced draft zero-emission appliance standards with a phased implementation beginning in 2027. These standards aim to reduce greenhouse gas emissions and improve air quality by targeting residential and commercial appliances, including heaters and water heaters, to transition towards cleaner energy sources. By 2030, all new space and water heaters sold in California are expected to meet zero-emission standards. This initiative is part of California's broader strategy to achieve carbon neutrality by 2045. The proposed ordinance is the latest of several policies coming forward to prepare existing buildings for the upcoming zeroemission appliance standards and regulate energy use in existing buildings to reach the CAP 2030 targets.
When the reach code for the construction of new buildings was adopted in 2023, staff also began work exploring existing building decarbonization policies. Reach codes for existing singlefamily buildings passed in 2024 and were updated in 2025. Considering that one-quarter of the City’s floorspace is non-residential, staff determined that non-residential air conditioning replacements and installations are the next best opportunity for property owners to make costeffective improvements that result in lower energy use and reduce emissions while also improving living environment, comfort, safety and satisfaction.
This proposed ordinance would require more stringent energy standards for new and replacement air conditioning installations but would maintain state minimum requirements for new heat pump installations for space cooling.
The proposed policy provides property owners with the option of either a single zone heat pump (SZHP) or a single zone air conditioner system with a gas furnace (SZAC) plus heat recovery ventilation (HRV) whenever a SZAC unit between 5 and 20 tons is replaced or a new unit is installed on non-residential buildings. The proposed policy does not require electrification or the use of a heat pump. The building types included in this reach code include financial institutions,
31.2 grocery stores, libraries, offices, schools, and retail occupancies. The policy is compliant with the recent budget trailer: Assembly Bill 130, which amended California Health and Safety Code sections 17958.5 and 17958.7 to include stricter requirements on when jurisdictions can amend local residential building codes. Since this policy acts on non-residential buildings only, the City may amend the local building code.
The proposed policy also has an exception for situations where the electrical capacity is not sufficient to support a SZHP but can support a SZAC, which is unlikely to be an issue in Santa Cruz’s moderate climate. In these situations, the applicant can apply to be exempt from the reach code requirements by submitting load calculations to the permitting agency prior to permitting.
Cost-effectiveness
One way to assess the cost-effectiveness of this proposed policy is to evaluate lifecycle costs.
Lifecycle costs factor in equipment operation and replacement over a 30-year lifecycle, assuming one equipment replacement during that time. When installing a heat pump at time of air conditioner replacement, it will also provide heating to the building during the colder months. If there is a secondary gas heating source, it will not need to be replaced when it fails. Lifecycle costs shown in Table 1 show greater savings when installing a heat pump as compared to replacing the AC unit with another AC unit, furnace and HRV.
Table 1: Lifecycle Energy Savings
Lifecycle Energy Savings Approach Small Office Medium Retail Primary Pathway (SZHP) $ 4,767 $43,063
Alternative Pathway (SZAC with furnace and HRV) $1,103 $38,147 To generate these results, Attachment: 2025 Non-residential Alterations Study, funded by the California Energy Codes and Standards Program, included evaluation of cost data for two nonresidential building types, Small Office and Medium Retail across three vintages: 1980s, 1990s, and 2000s. While both pathways result in savings, installing a SZAC + HRV is also energy equivalent with installing a SZHP. The requirements of this ordinance also do not require equipment efficiencies greater than the federally mandated minimum efficiencies in accordance with the federal standards enacted under the Energy Policy and Conservation Act.
Greenhouse Gas Emissions
Heat pumps can provide significant reductions in greenhouse gas (GHG) emissions over air conditioner replacements. This is because heat pumps provide heating more efficiently than gas furnaces (and electric resistance heat). Table 2 below demonstrates greenhouse gas emissions reductions for heat pump approaches, as compared to the base case of an AC replacement in metric tons of carbon dioxide equivalent (MTCO2e for the first year) and as a percentage of total emissions. These estimations are conservative, and the actual impact is likely greater because Santa Cruz receives clean energy from Central Coast Community Energy, resulting in very low GHG emissions from electricity use.
31.3 Table 2: Greenhouse Gas Reductions
Annual GHG savings (MTCO2e/year) Approach Small Office Medium Retail Primary Pathway (SZHP) 0.5 6.4
Alternative Pathway (SZAC
and Furnace with HRV) 0.3 2.7
If the policy is implemented and assuming that half of permits are for small office and the other half are for medium retail, the City can expect, on average, at least 27 MT CO2e in GHG emissions savings annually. As temperatures increase and the City’s existing commercial building stock ages, the GHG emissions savings will continue to increase over time. AC unit replacements with SZHP are a prime opportunity and important step in addressing building energy usage to meet the CAP 2030 target.
California Energy Commission Approval
After adoption by the City Council, the proposed local amendments to the California Energy Code must be approved by the California Energy Commission prior to becoming effective.
Public Resources Code Section 25402.1(h)(2) and Section 10-106 of the Building Energy Efficiency Standards establish a process that allows local adoption of energy standards that are more stringent than the statewide standards. Under this process, the California Energy Commission requires any local amendments to the California Energy Code that affect energy use in regulated buildings to be cost-effective and use less energy than the standard requirements contained in Title 24, Part 6. The attached cost-effectiveness studies published by the California Energy Codes and Standards Statewide Utility Program, which includes the State's InvestorOwned Utilities (PG&E, SDG&E, and SCE, under the auspices of the California Public Utilities Commission), show that reach codes such as the one proposed are cost-effective.
California Building Standards Commission Filing
After adoption by the City Council, the proposed local amendments to the California Energy Code must be filed with the California Building Standards Commission prior to becoming effective. California Health and Safety Code Sections 17958.5, 17958.7 and 18941.5 provide that the City may make changes or modifications to the building standards contained in the 2025 California Building Standards Code based upon express findings that such changes or modifications are reasonably necessary because of local climatic, geological, or topographical conditions. These conditions are stated here:
1. The City of Santa Cruz’s northern and western neighborhoods abut the Santa Cruz Mountains, creating a wildland-urban interface and heightened fire risk. The 2020 CZU Lightning Complex fire showed that large, fast-moving wildfires can reach these areas.
Cutting local greenhouse-gas pollution is a practical way to lessen the frequency and intensity of future fires.
2. Since 2021, the City has faced several destructive flood events. A late-January 2021 atmospheric-river storm triggered debris-flow, causing evacuations. Between December 30, 2022, and January 18, 2023, several atmospheric rivers overtopped the San Lorenzo River, damaged downtown levees and coastal infrastructure. Finally, a powerful winter storm in December 2024 partially collapsed the Santa Cruz Municipal Wharf, leading Governor Newsom to issue an emergency proclamation on February 14, 2025. These recent disasters underscore that greenhouse-gas emissions are amplifying flood hazards. Accordingly, more
31.4 restrictive local Energy Code measures are reasonably necessary to safeguard public health, safety, and welfare.
3. In January 2023, successive atmospheric-river storms overwhelmed the Coast Pump Station on the San Lorenzo River, ruptured the Newell Creek Pipeline, the City’s lone conduit from Loch Lomond Reservoir to the Graham Hill Water Treatment Plant, and pushed raw-water turbidity at the plant to its highest level on record. These escalating, climate-linked disruptions to critical infrastructure make the Ordinance’s stricter local Energy Code requirements a necessary safeguard for public health, safety, and welfare.
4. Santa Cruz occupies a narrow marine terrace bounded by 15- to 30-foot mudstone cliffs along West Cliff Drive and the San Lorenzo River. This layout channels storm waves onto easily eroded bluffs and funnels runoff into downtown, as seen when the January 2023 bomb-cyclone washed out parts of West Cliff and a December 2023 surge increased damages to over $30 million. The City’s Local Hazard Mitigation and Climate Adaptation Plan (2025- 2030) ranks these cliffs and the river plain as high-risk for erosion, liquefaction, and quake impacts. To slow erosion, temper storm intensity, and protect key corridors, stricter Energy Code measures that curb greenhouse-gas emissions are essential.
5. Given the unique geological, topographical, and climatic characteristics of Santa Cruz, failure to address and substantially reduce greenhouse gas emissions creates an increased risk to the health, safety, and welfare of City residents.
Community Outreach
Decarbonization has been the subject of extensive outreach between 2019 and 2024 as the City developed its Climate Action Plan 2030 and, more specifically, its strategy for decarbonizing new buildings and the existing building stock, as well as when prior energy reach codes were developed. This outreach consisted of developer roundtables, community webinars, Climate Action Task Force meetings, and Planning Commission meetings.
Next Steps
If the City Council approves the first reading of the ordinance on October 28, 2025, it is then anticipated to come back for a second reading on November 18, 2025. After approval by the City Council, the ordinance will be submitted to the California Energy Commission (CEC) for approval as local modifications to the California Energy Code. The ordinance is anticipated to become effective January 1, 2026, or after the final approval by the City Council and the California Energy Commission and final filing with the California Building Standards Commission (CBSC).
Summary of Energy Reach Code Work
As called for in the CAP 2030, there are a number of energy reach codes to be considered to enable achievement of CAP 2030 measure targets. Two energy reach codes have been adopted, with one (Existing Single-Family Renovations) already updated to the new 2025 California Energy Code, and the other (New Construction) to be updated in the future, pending the release of cost effectiveness studies for the new 2025 code cycle. There are also others (e.g., Multifamily Residential) that will be brought forward when the cost effectiveness studies are released. The following table summarizes past and future energy reach code work the City has undertaken and plans to undertake:
31.5 Policy Description Ordinance
Number
Adoption
Date/
Projected
Council
Date(s)
Status
2022 Single Family Flexpath
and New Construction Energy
Performance
2024-21 12/10/2024 In effect but expires on
January 1, 2026. The existing
building portion will be
replaced by the 2025 Single
Family Flexpath update
2022 Single Family FlexPath
correction
2025-04 3/11/2025 In effect but expires on
January 1, 2026. The existing
building portion will be
replaced by the 2025 Single
Family Flexpath update
2025 Single Family FlexPath
update
2025-19 9/9/2025 Under CEC review and will
be enforceable once it is
approved, anticipated for
January 1, 2026.
2025 Nonresidential 2 Way
AC (the subject of this agenda
report)
TBD 10/28/2025
and
11/18/2025
Will go into effect January 1,
2026, pending CEC and
CBSC review.
2025 New Construction
Energy Performance
TBD TBD City staff will develop
requirements once the costeffectiveness results are
available later this year. This
ordinance will take effect as
soon as Q1 of 2026.
2025 Multifamily Residential
Reach Code
TBD TBD Will be in development in Q1
of 2026
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: The municipal code amendments are consistent with the Negative Declaration approved for the City of Santa Cruz 2030 Climate Action Plan adopted by City Council on September 13, 2022.
Therefore, no further environmental review under the California Environmental Quality Act (CEQA) is required. The ordinance is also exempt from CEQA under the general rule, CEQA Guidelines Section 15061(b)(3), because it can be seen with certainty that the provisions contained herein would not have the potential for causing a significant effect on the environment.
Further, this ordinance is exempt per CEQA Guidelines Section 15308, Class 8, Actions by Regulatory Agencies for Protection of Natural Resources, since the proposed ordinance would institute regulatory requirements intended to protect the environment and natural resources.
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 three 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 municipal code amendments support the pillars of equity and public health by promoting building health and safety while remaining cost effective. The amendments support sustainability
31.6 by reducing GHG emissions and fossil fuel dependence citywide consistent with the CAP 2030.
Therefore, the proposed code amendments are considered consistent with the three pillars of HiAP.
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: The implementation of this ordinance is unlikely to create cost shifts of a magnitude that would influence whether an applicant decides to move forward with a project or not, so the overall fiscal impact of the proposed ordinance is likely neutral.
Given cooling installations are gaining popularity and becoming more common in Santa Cruz, an increase in mechanical permit applications will result in increased revenue for the City in the short term. In instances where new cooling installations add value to an existing building, then the tax basis increases over the longer term as these existing buildings are reassessed.
Prepared By:
Tiffany Wise-West
Sustainability and Resiliency
Officer
Clara Stanger
Senior Planner
Submitted By:
Lee Butler, AICP
Director of Planning &
Community Development
Approved By:
Matt Huffaker
City Manager
ATTACHMENTS:
1. ORDINANCE – CLEAN.DOCX
2. ORDINANCE – TRACK CHANGES.DOCX
3. 2025 NON-RESIDENTIAL ALTERATIONS REACH CODE COST EFFECTIVENESS STUDY.PDF
31.7 ORDINANCE NO. 2025-XX
AN ORDINANCE OF THE CITY OF SANTA CRUZ AMENDING MUNICIPAL CODE CHAPTER 18.15 - ENERGY CODE, ADOPTING LOCAL AMENDMENTS TO THE CALIFORNIA ENERGY CODE, PART 6 OF THE CALIFORNIA BUILDING
CONSTRUCTION AND FIRE PREVENTION CODE TO REQUIRE ENERGY
CONSERVATION MEASURES FOR CERTAIN HEATING, VENTILATION, AND AIR
CONDITIONER REPLACEMENTS AND INSTALLATIONS IN EXISTING
NONRESIDENTIAL BUILDINGS
WHEREAS, The State of California has a goal to achieve carbon neutrality by 2045; and WHEREAS, The California Air Resources Board (CARB) has introduced zero-emission appliance standards with a phased implementation beginning in 2027 to reduce greenhouse gas emissions and improve air quality, with an expectation that all new space and water heaters sold in California meet zero-emission standards by 2030; and WHEREAS, The City adopted its Climate Action Plan 2030 (CAP 2030) in 2022 with a legal target to reduce emissions 40% from 1990 levels by 2030 and an aspirational target of carbon neutrality by 2035, 10 years earlier than the State target; and WHEREAS, The CAP 2030 contains three measures related to existing building energy use which accounts for 24% of greenhouse gas emissions regulated by CARB, including Measure BE-2, to electrify 31% of existing residential buildings by 2030 and 53% by 2035; Measure BE- 3, to electrify 26% of existing commercial buildings by 2030 and 45% by 2035; and Measure BE- 5 is to increase resiliency through equitable energy efficiency and local solar programs; and
WHEREAS, Public Resources Code Section 25402.1(h)(2) allows local agencies to adopt local amendments that are cost-effective and that require greater energy reduction/conservation than the California Energy Code; and
WHEREAS, the California Energy Codes and Standards Statewide Utility Program, has determined specific modifications to the 2025 State Energy Code for each climate zone that are cost-effective; and that such modifications will result in designs that consume less energy than they would under the 2025 State Energy Code; and
WHEREAS, staff has reviewed the "2025 Statewide Nonresidential Alterations and AC to HP Cost-Effectiveness Study" and associated data, and find them sufficient to illustrate compliance with the requirements set forth under California Administrative Code Chapter 10-106; and
WHEREAS, based on these studies, the City finds the proposed local amendments to the 2025 California Energy Code to be cost-effective and consume less energy than permitted by Title 24, Part 6; and
31.8 WHEREAS, pursuant to Sections 17958.5, 17958.7, and 18941.5 of the Health and Safety Code, the proposed amendments meet the following conditions to demonstrate local amendments are necessary; and
WHEREAS, the 2025 California Energy Code offers compliance options that were established through the public rulemaking process ofthe code update; and WHEREAS, pursuant to California Health and Safety Code Section 17958.7, the Council expressly declares that the proposed amendments to the Energy Code are reasonably necessary because of local climatic, topological, and geological conditions within the City of Santa Cruz; and
WHEREAS, the requirements specified in this Ordinance were reviewed via public comment and through a publicly noticed public hearing process; and WHEREAS, that, pursuant to the Public Resources Code section 25402.1(h)(2) and Section 10-106 of the 2025 California Administrative Code, the City Council of the City of Santa Cruz finds and determines the following: (1) The locally adopted energy efficiency standards contained in this ordinance are cost-effective, and (2) the efficiency standards in this ordinance will require buildings to be designed to consume less energy compared to the 2025 California Energy Code; and
WHEREAS, The municipal code amendments are consistent with the Negative Declaration approved for the City of Santa Cruz 2030 Climate Action Plan adopted by City Council on September 13, 2022, and therefore, no further environmental review under the California Environmental Quality Act (CEQA) is required; the amendments are exempt from CEQA under the general rule, 15061(b)(3), because it can be seen with certainty that the provisions contained herein would not have the potential for causing a significant effect on the environment; and, this ordinance is exempt per CEQA Guidelines Section 15308, Class 8, Actions by Regulatory Agencies for Protection of Natural Resources, since the proposed ordinance would institute regulatory requirements intended to protect the environment and natural resources.
WHEREAS, this ordinance shall become effective as of January 1, 2026 upon approval of the California Energy Commission or upon the date the California Building Standards Commission accepts the ordinance for filing, whichever is later.
BE IT ORDAINED By the City of Santa Cruz as follows:
Section 1. Incorporation of Recitals. The foregoing recitals are found to be true and correct, and are incorporated by this reference into this action.
Section 2. Findings.
(a) Pursuant to the Public Resources Code section 25402.1(h)(2) and Section 10- 106 of the 2025 California Administrative Code, City Council finds and determines the following: (1) The locally adopted energy efficiency standards contained in this ordinance are cost-effective, and (2) the efficiency standards
31.9 in this ordinance will require buildings to be designed to consume less energy compared to the 2025 California Energy Code.
(b) The Council finds and declares that the unique characteristics of the topographic, geologic, and climatic conditions found in the City of Santa Cruz make the local amendments to the 2025 California Energy Code reasonable and necessary, and adopts the following findings of fact in support of the changes or modification contained herein:
(i) The City of Santa Cruz’s northern and western neighborhoods abut the Santa Cruz Mountains, creating a wildland-urban interface and heightened fire risk. The 2020 CZU Lightning Complex fire showed that large, fastmoving wildfires can reach these areas. Cutting local greenhouse-gas pollution is a practical way to lessen the frequency and intensity of future fires.
(ii) Since 2021 the City has faced several destructive flood events. A lateJanuary 2021 atmospheric-river storm triggered debris-flow, causing evacuations. Between December 30, 2022, and January 18, 2023, several atmospheric rivers overtopped the San Lorenzo River, damaged downtown levees and coastal infrastructure. Finally, a powerful winter storm in December 2024 partially collapsed the Santa Cruz Municipal Wharf, leading Governor Newsom to issue an emergency proclamation on February 14, 2025. These recent disasters underscore that greenhouse-gas emissions are amplifying flood hazards. Accordingly, more restrictive local Energy Code measures are reasonably necessary to safeguard public health, safety, and welfare.
(iii)In January 2023, successive atmospheric-river storms overwhelmed the Coast Pump Station on the San Lorenzo River, ruptured the Newell Creek Pipeline, the city’s lone conduit from Loch Lomond Reservoir to the Graham Hill Water Treatment Plant, and pushed raw-water turbidity at the plant to its highest level on record. These escalating, climate-linked disruptions to critical infrastructure make the Ordinance’s stricter local Energy Code requirements a necessary safeguard for public health, safety, and welfare.
(iv)Santa Cruz occupies a narrow marine terrace bounded by 15- to 30-foot mudstone cliffs along West Cliff Drive and the San Lorenzo River. This layout channels storm waves onto easily eroded bluffs and funnels runoff into downtown, as seen when the January 2023 bomb-cyclone washed out parts of West Cliff and a December 2023 surge increased damages to over $30 million. The City’s Local Hazard Mitigation and Climate Adaptation Plan (2025-2030) ranks these cliffs and the river plain as high-risk for erosion, liquefaction, and quake impacts. To slow erosion, temper storm intensity, and protect key corridors, stricter Energy Code measures that curb greenhouse-gas emissions are essential.
(v) Given the unique geological, topographical, and climatic characteristics of Santa Cruz, failure to address and substantially reduce greenhouse gas
31.10 emissions creates an increased risk to the health, safety, and welfare of City residents.
Section 3. Section 18.15.040 of Chapter 18.15 of the Santa Cruz Municipal Code is hereby amended to read as follows:
18.15.040 ENERGY CODE — MODIFICATIONS.
The following sections of the code as adopted in Section 18.15.030 are hereby modified as follows:
Section 100.1(b) of the CEnC is amended to add the following:
MAJOR ADDITION is any change to an existing building that increases conditioned floor area by 350 or more square feet in a one-year period.
MAJOR ALTERATION is any construction or renovation to an existing structure other than a repair whose altered components cover 350 or more square feet in a one-year period. A project that consists only of roof and/or fenestration replacement is not considered a major alteration.
Section 130.0 of the CEnC is amended to read as follows:
a) The design and installation of all lighting systems and equipment in nonresidential and hotel/motel buildings, outdoor lighting, and electrical power distribution systems within the scope of Section 100.0(a), shall comply with the applicable provisions of Sections 130.0 through 130.6.
Subchapter 4 of the CEnC is amended to add Section 130.6 to be numbered, entitled, and to read as follows:
130.6 Electric Readiness Requirements for Systems Using Gas or Propane Where nonresidential systems using gas or propane are installed, construction drawings shall indicate electrical infrastructure and physical space accommodating the future installation of an electric heating appliance by including the following, as certified by a registered design professional or licensed electrical contractor:
a. Branch circuit wiring, electrically isolated and designed to serve all electric heating appliances in accordance with manufacturer requirements and the California Electrical Code, including the appropriate voltage, phase, minimum amperage, and an electrical receptacle or junction box within five feet of the appliance that is accessible with no obstructions. Appropriately sized conduit may be installed in lieu of conductors. b. Labeling of both ends of the unused conductors or conduit that includes the terms "For Future Electrical Appliance."
c. Reserved circuit breakers in the electrical panel for each branch circuit, appropriately labeled (e.g., "Reserved for Future Electric Range"), and positioned on the opposite end of the panel supply conductor connection.
31.11 d. Connected subpanels, panelboards, switchboards, busbars, and transformers that are sized to serve the future electric heating appliances. The electrical capacity requirements shall be adjusted for demand factors in accordance with the California Electric Code. e. Physical space for future electric heating appliances, including equipment footprint, and if needed, a pathway reserved for routing of ductwork to heat pump evaporator(s), all of which shall be depicted on the construction drawings. The footprint necessary for future electric heating appliances may overlap with non-structural partitions and with the location of currently designed gas-fueled equipment.
Section 141.0(b)2C is amended to add a new subsection iii, to read as follows:
iii. In addition to the requirements in Section 141.0(b)2Cii above, new or replacement single zone packaged rooftop systems with direct expansion cooling with rated cooling capacity of 65,000 Btu/hr or more and less than 240,000 Btu/hr serving Financial Institution, Grocery, Library, Office, School, or Retail occupancies shall meet the applicable requirements specified in Table 141.0-E-1A or shall meet the performance compliance requirements of Section 141.0(b)3.
Table 141.0-E-1A – REQUIREMENTS FOR NEW OR REPLACMENT SZAC or SZHP, GREATER THAN 65,000 BTU/HR AND LESS THAN 240,000 BTU/HR System Size CZ 3
65,000 to 240,000 Btu/hr SZHP or SZAC3
Notes to Table 141.0-E-1A
SZHP – Single Zone Heat Pump
SZAC3 – Single Zone Air Conditioner with Furnace + Heat Recovery Ventilator Exception 1 to Section 141.0(b)2Ciii: Where the capacity of the existing main electrical service panel is insufficient to supply the electrical capacity of a heat pump and where the existing main electrical service panel is sufficient to supply a new or replacement air conditioner, as calculated according to the requirements of California Electrical Code Article 220. Documentation of electrical load calculations in accordance with Article 220 must be submitted to the enforcement agency prior to permitting for both the heat pump and proposed air conditioner.
Section 150.0 of the CEnC is amended as follows:
Single-family residential buildings shall comply with the applicable requirements of Sections 150(a) through 150.0(w).
NOTE: The requirements of Sections 150.0 (a) through (v) apply to newly constructed buildings.
Sections 150.2(a) and 150.2(b) specify which requirements of Sections 150.0(a) through 150.0(r) also apply to additions or alterations. Major Additions, Major Alterations, or combinations shall also be required to comply with Section 150.0(w). The City of Santa Cruz amendments to sections 150.0 (t) do not apply to additions or alterations or the following types of new construction statewide exemption accessory dwelling units:
31.12 1. One accessory dwelling unit per lot with a proposed single-unit building, including a single-family dwelling, or a townhome, or a detached residential condominium or apartment unit on a lot with multiple single-unit buildings, if all of the following apply:
i. The accessory dwelling unit is within the proposed space of a single-unit building. ii. The accessory dwelling unit has an exterior entrance separate from that of the primary dwelling unit.
iii. The side and rear setbacks are sufficient for fire and safety.
2. One detached, new construction accessory dwelling unit per lot that meets the following standards:
i. The accessory dwelling unit shall be located on a lot with a proposed or existing singleunit building, including a single-family dwelling, or a townhome, or a detached residential condominium or apartment unit on a site with multiple single-unit buildings. ii. The accessory dwelling unit size shall not exceed 800 square feet in floor area. iii. Interior side yard and rear yard setbacks shall be at least four feet. iv. The accessory dwelling unit shall meet one of the following height limitations as measured to the roof peak:
1. A height of 16 feet; or
2. A height of 18 feet if the accessory dwelling unit is on a lot within one-half of one mile walking distance of a major transit stop or a high-quality transit corridor, as those terms are defined in Section 21155 of the Public Resources Code. This height can be increased an additional two feet to twenty feet to accommodate a roof pitch on the accessory dwelling unit that is aligned with the roof pitch of the primary dwelling unit.
3. One junior accessory dwelling unit per lot zoned to allow single-family dwellings and within the walls of a proposed single-unit building, including a single-family dwelling, townhome, or detached residential condominium or apartment unit on a lot with multiple detached single-unit dwellings.
(a)-(v): Subsections 150.0(a) - (s) are adopted without modification. t. Heat pump space heater ready. Systems using a gas or propane furnace to serve individual dwelling units shall include the following:
1. A dedicated 240-volt branch circuit wiring shall be installed within 3 feet from the furnace and accessible to the furnace with no obstructions. The branch circuit conductors shall be rated at 30 amps minimum. The blank cover shall be identified as "240V ready." All electrical components shall be installed in accordance with the California Electrical Code.
2. The main electrical service panel shall have a reserved space to allow for the installation of a double pole circuit breaker for a future heat pump space heater installation. The reserved space shall be permanently marked as "For Future 240V use."
3. A designated exterior location for a future heat pump compressor unit with either a drain or natural drainage for condensate and adequate space to maintain the equipment
31.13 in accordance with California Mechanical Code 304.1 & California Electrical Code 110.26.
Section 150.0(w) is added to read as follows:
w. Mandatory Requirements for Existing Building Additions and Alterations. Existing Building Additions and Alterations shall meet the requirements of Items 1 through 3 below, as applicable:
1. Major addition. Any major addition shall require installation of a set of measures from the Measure Menu Table, Table 150.0-I to achieve a total score that is equal to or greater than 9. In addition, all mandatory measures listed in Table 150.0-I shall be installed. Measure verification shall be explicitly included as an addendum to the Certificate of Compliance to be filed pursuant to 2025 Title 24 Section 10-103.
Installed measures shall meet the specifications in Table 150.0-J.
2. Major alteration. Any major alteration shall require installation of a set of measures from the Measure Menu Table, Table 150.0-I to achieve a total score that is equal to or greater than 9. In addition, all mandatory measures listed in Table 150.0-I shall be installed. Measure verification shall be explicitly included as an addendum to the Certificate of Compliance to be filed pursuant to 2025 Title 24 Section 10-103.
Installed measures shall meet the specifications in Table 150.0-J.
3. Combination alterations and additions. Any project that includes an addition and alteration whose altered components cover 350 square feet or greater shall require installation of a set of measures from the Measure Menu Table, Table 150.0-I to achieve a total score that is equal to or greater than 9. In addition, all mandatory measures listed in Table 150.0-1 shall be installed. Measure verification shall be explicitly included as an addendum to the Certificate of Compliance to be filed pursuant to 2025 Title 24 Section 10-103. Installed measures shall meet the specifications in Table 150.0-J.
4. Water heating system electric readiness. Any project that includes a major addition, major alteration, or combination alteration and addition that requires water heating system electric readiness shall meet the requirements of section 150.0 (n)1:
Exception 1 to Section 150.0(w): The project is the result of a repair as defined by Title 24 Part 2 Section 202.
Exception 2 to Section 150.0(w): If compliance costs exceed 20% of total project valuation or due to conditions specific to the project, it is technically infeasible to achieve compliance through any available set of measures, the applicant may request an exemption as set forth below. In applying for an exemption, the burden is on the applicant to show hardship or infeasibility.
1. Application. Based on the following, the applicant shall identify in writing the specific requirements of the standards for compliance that the project is unable to achieve and the circumstances that make it a hardship or infeasible for the project to comply with this chapter. The applicant may not petition for relief from any requirement of the 2025 California Energy Code (Title 24, Part 6) and referenced standards, or the 2025 California
31.14 Green Building Standards (Title 24, Part 11) of the California Building Standards Code.
Circumstances that constitute hardship or infeasibility shall include one of the following:
i. That the cost of achieving compliance is disproportionate to the overall cost of the project;
ii. That it is technically infeasible to achieve compliance through all packages due to conditions specific to the project; That strict compliance with these standards would create or maintain a hazardous condition(s) and present a life safety risk to the occupants.
2. Granting of exemption. If the chief building official determines that it is a hardship or infeasible for the applicant to fully meet the requirements of this chapter and that granting the requested exemption will not cause the building to fail to comply with the 2025 California Energy Code (Title 24, Part 6) and referenced standards, or the 2025 California Green Building Standards (Title 24, Part 11) of the California Building Standards Code, the chief building official shall determine the minimum feasible threshold of compliance reasonably achievable for the project. If an exemption is granted, the applicant shall be required to comply with this chapter in all other respects and shall be required to achieve the threshold of compliance determined to be achievable by the chief building official.
3. Denial of exemption. If the chief building official determines that it is reasonably possible for the applicant to fully meet the requirements of this chapter, the request shall be denied, and the applicant shall be notified of the decision in writing. The project and compliance documentation shall be modified to comply with the standards for compliance.
4. Appeal. Any aggrieved applicant or person may appeal the determination of the chief building official regarding the granting or denial of an exemption or compliance with any other provision of this chapter. An appeal of a determination of the chief building official shall be filed in writing with the Board of Building and Fire Appeals.
Exception 3 to Section 150.0(w): If the dwelling unit has previously installed measures from the Measure Menu, Table 150.0-1, and compliance can be demonstrated to the building official, then these measures shall not be required to be newly installed, and appropriate credit shall be included in the applicable compliance calculations.
Exception 4 to Section 150.0(w): The applicant may request an exemption to any requirements of this chapter which would impair the historic integrity of any building listed on a local, state, or federal register of historic structures, as determined by the Planning Director or designee and as regulated by the California Historic Building Code (Title 24, Part 8). In making a determination of exemption, the Planning Director or designee may require the submittal of an evaluation by an architectural historian or similar expert.
Exception 5 to Section 150.0(w): An alteration that consists solely of seismic safety improvements.
Exception 6 to Section 150.0(w): Buildings which are temporary (such as construction trailers).
31.15 Exception 7 to Section 150.0(w): An alteration that consists solely of roof and/or fenestration projects.
Exception 8 to Section 150.0(w): Mobile Homes, Manufactured Housing, or Factory-built Housing as defined in Division 13 of the California Health and Safety 12 Code (commencing with Section 17000 of the Health and Safety Code).
Exception 9 to Section 150.0(w): One accessory dwelling unit and one junior accessory dwelling unit per lot with a proposed or existing single-family dwelling if all of the following apply:
1. The accessory dwelling unit or junior accessory dwelling unit is within the proposed space of a single-family dwelling or existing space of a single-family dwelling or accessory structure and may include an expansion of not more than 150 square feet beyond the same physical dimensions as the existing accessory structure. An expansion beyond the physical dimensions of the existing accessory structure shall be limited to accommodating ingress and egress.
2. The space has exterior access from the proposed or existing single-family dwelling.
3. The side and rear setbacks are sufficient for fire and safety.
Exception 10 to Section 150.0(w): Where the project includes an accessory dwelling unit or junior accessory dwelling unit that is attached to the primary dwelling unit, either as a new addition or converted from within the space of the primary dwelling unit, and there is not an additional combination alteration/addition to the primary dwelling unit of at least 350 square feet, then the primary dwelling unit is exempt from the requirements.
Exception 11 to section 150.0(w): Single family homes built after December 31, 1991.
New Table 150.0-I is added to read as follows:
Table 150.0-I: Measure Menu
Measures Table 150.0-J ID Points
Water Heating Package E1 1
Induction Cooktop E2 1
Heat Pump Clothes Dryer E3 1
Air Sealing E4 2
Duct Sealing E5 3
R-49 Attic Insulation E6 4
Windows E7 4
R-15 Wall Insulation E8 5
New Ducts + Duct Sealing E9 6
R-19 Floor Insulation E10 9
R-30 Floor Insulation E11 10
Heat Pump Water Heater (HPWH) E12 12
31.16 Solar PV + Electric Ready Pre-Wire E13 13
Heat Pump Space Heater E14 18
Utility Room, Kitchen & Laundry-Related Electric
Ready Pre-Wire M1 Mandatory
Panel-Related Electric Ready Pre-Wire M2 Mandatory
LED Lighting Upgrade M3 Mandatory
Note: the measures in the Measure Menu shall conform to the specifications in Table 150.0- J
New Table 150.0-J is added to read as follows: Table 150.0-J: Measure Specifications ID Measure Specification
General Measures
E1 Water Heating Package: Add exterior insulation meeting a minimum of R-6 to existing storage water heaters. Insulate all accessible hot water pipes with pipe insulation a minimum of ¾ inch thick. This includes insulating the supply pipe leaving the water heater, piping to faucets underneath sinks, and accessible pipes in attic spaces or crawlspaces. Upgrade fittings in sinks and showers to meet current California Green Building Standards Code (Title 24, Part 11) Section 4.303 water efficiency requirements.
Water heaters 20 gallons or less, or water heaters that are not able to add exterior insulation may not take credit for this measure.
Exception 1: Water heater blanket is not required on water heaters less than 20 gallons.
Exception 2: Water heater blanket not required if application of a water heater blanket voids the warranty on the water heater.
Exception 3: Upgraded fixtures are not required if existing fixtures have rated or measured flow rates of no more than ten percent greater than 2025 California Green Building Standards Code (Title 24, Part 11) Section 4.303 water efficiency requirements.
Exception 4: Water heaters with factory installed insulation of R-24 or greater E2 Induction Cooktop: Replace existing gas and electric resistance stove top with inductive stove top and cap the gas line
E3 Heat Pump Clothes Dryer: Replace existing electric resistance clothes dryer with heat pump dryer with no resistance element and cap gas line.
E4 Air Sealing: Seal all accessible cracks, holes, and gaps in the building envelope at walls, floors, and ceilings. Pay special attention to penetrations including plumbing, electrical, and mechanical vents, recessed can light luminaires, and windows. Weather-strip doors if not already present.
Verification shall be conducted by a certified HERS Rater that either: a) shows at least a 30 percent reduction from pre-retrofit conditions; or b) shows that the number of air changes per hour at 50 Pascals pressure difference (ACH50) does not exceed ten for Pre-1978 vintage buildings, seven for 1978 to 1991 vintage buildings and five for 1992-2010 vintage buildings. Compliance can also be demonstrated with blower door testing conducted by a certified HERS Rater no
31.17 more than three years prior to the permit application date showing compliance with condition (a) or (b).
If combustion appliances are located within the pressure boundary of the building, conduct a combustion safety test by a professional certified by the Building Performance Institute in accordance with the ANSI/BPI-1200-S-2017 Standard Practice for Basic Analysis of Buildings, the Whole House Combustion Appliance Safety Test Procedure for the Comfortable Home Rebates Program 2020 or the California Community Services and Development Combustion Appliance Safety Testing Protocol.
Reducing the air leakage of a building can reduce the building's drying potential.
When improving the air sealing of a building, consider if there is a need to add continuous ventilation to the building (if not already present).
E5 Duct Sealing: Air seal all space conditioning ductwork to meet the requirements of the 2025 Title 24 Section 150.2(b)lE. The duct system must be tested by a HERS Rater no more than three years prior to the alteration or addition permit application date to verify the duct sealing and confirm that the requirements have been met.
This measure may not be combined with the New Ducts and Duct Sealing measure in this Table. Dwelling units without ductwork or where the ducts are in conditioned space may not take credit for this measure.
E6 R-49 Attic Insulation: Attic insulation shall be installed to achieve a weighted assembly U- factor of 0.020 or insulation installed at the ceiling level shall have a thermal resistance of R-49 or greater for the insulation alone. Recessed downlight luminaires in the ceiling shall be covered with insulation to the same depth as the rest of the ceiling. Luminaires not rated for insulation contact must be replaced or fitted with a fire-proof cover that allows for insulation to be installed directly over the cover.
Exception: In buildings where existing R-30 is present and existing recessed downlight luminaires are not rated for insulation contact, insulation is not required to be installed over the luminaires.
E7 Windows: Replace at least 50% of existing windows with high performance windows with an area-weighted average U-factor no greater than 0.27.
E8 R-15 Wall Insulation: Install wall insulation in all exterior walls to achieve a weighted U-factor of 0.095 or install wall insulation in all exterior wall cavities that shall result in an installed thermal resistance of R-15 or greater for the insulation alone.
E9 New Ducts+ Duct Sealing: Replace existing space conditioning ductwork with new R-8 ducts that meet the requirements of 2025 Title 24 Section 150.0(m) 11.
This measure may not be combined with the Duct Sealing measure in this Table.
To qualify, a preexisting measure must have been installed no more than three years before the alteration or addition permit application date.
E10 R-19 Floor Insulation: Raised-floors shall be insulated such that the floor assembly has an assembly U-factor equal to or less than U-0.037, or shall be insulated between wood framing with insulation having an R-value equal to or greater than R-19. This measure cannot be combined with measure R-30 Floor insulation.
31.18 E11 R-30 Floor Insulation: Raised-floors shall be insulated such that the floor assembly has an assembly U-factor equal to or less than U-0.028, or shall be insulated between wood framing with insulation having an R-value equal to or greater than R-30. This measure cannot be combined with measure R-19 Floor insulation.
E12 Heat Pump Water Heater (HPWH): Replace existing electric resistance or natural gas storage water heater with a heat pump water heater that meets the requirements of Sections 110.3 and 150.2 (b) 1.H.iii.b or c.
E13 PV and Electric Ready Pre-Wire: Install a solar PV system that meets the requirements of 2025 Title 24 Section 150.l(c)14.
In addition to the solar PV system, comply with the water heating system electric readiness requirements per Section 150.0(w)4 and the heat pump space heaters requirements per Section 150.0(t) and one of the following:
A. Energy Storage Systems (ESS) Ready, as specified in Section 150.0(s), or B. EV Charger Ready as specified in the California Green Building Code, Title 24, Part 11, Section A4.106.8.1, which otherwise applies to new construction.
Exception 1: In buildings where the designated space requirement specified in Section 150.0(n) 1 can be demonstrated to the building official as infeasible, the electric readiness components per Section 150.0(n)l are not required.
E14 Heat Pump Space Heater: Replace all existing gas and electric resistance space heating systems with an electric-only heat pump system that meets the applicable requirements of Sections 150.2 (b) 1.C, 150.2 (b)1.E, 150.2(b)1.F, and 150.2(b)1.G.
Mandatory Measures
M1 Utility Room, Kitchen & Laundry-Related Electric Ready Pre-Wire: Where the project includes a kitchen remodel, comply with the electric cooktop ready requirement, as specified in Section 150.0(u). Where the project includes a laundry room remodel, comply with the electric clothes dryer ready requirement, as specified in Section 150.0(v). Where the project includes a utility room remodel, comply with the water heating system electric readiness requirements per Section l50.0(n)1 and the heat pump space heater electric readiness requirements per Section 150.0(t):
Exception 1: If an electrical permit is not otherwise required for the project other than compliance with this measure.
Exception 2: If a utility service upgrade is not otherwise required for the project other than compliance with this measure.
Exception 3: In buildings where the designated space requirement specified in Section 150.0(n)1 can be demonstrated to the building official as infeasible, the electric readiness components per Section 150.0(n)1 are not required.
M2 Panel-Related Electric Ready Pre-Wire: Where the project includes a new electrical panel and electrical service upgrade to 200A or more, comply with the water heating systems electric readiness requirements per Section 150.0(n)1 and the heat pump space heater electric readiness requirements per Section 150.0(t).
31.19 Exception 1: In buildings where the designated space requirement specified in Section (150.0(n)1 can be demonstrated to the building official as infeasible, the electric readiness components per Section 150.0(n)1 are not required.
M3 LED Lighting Upgrade: Replace all interior and exterior screw-in incandescent, halogen, and compact fluorescent lamps with LED lamps. Install photocontrol and either a motion sensor or an automatic time switch, or an astronomical time clock control on all exterior lighting luminaires consistent with current Title 24 requirements for new single-family residential buildings.
Alternative means of exterior lighting timing controls, including smart home devices, may be approved.
Section 150.2(a) [ENERGY EFFICIENCY STANDARDS FOR ADDITIONS AND ALTERATIONS TO EXISTING SINGLE FAMILY RESIDENTIAL BUILDINGS] is modified to read as follows:
Additions. Additions to existing single-family residential buildings shall meet the requirements of Sections 110.0 through 110.9, Sections 150.0(a) through (n), (p), (q), (w), and either Section 150.2(a)1 or 2.
Section 150.2(b) [ENERGY EFFICIENCY STANDARDS FOR
ADDITIONS AND ALTERATIONS TO EXISTING SINGLE FAMILY RESIDENTIAL BUILDINGS] is modified to read as follows:
Alterations. Alterations to existing single-family residential buildings or alterations in conjunction with a change in building occupancy to a single-family residential occupancy shall meet either Item 1 or 2 below.
1. Prescriptive approach. The altered component and any newly installed equipment serving the alteration shall meet the applicable requirements of Sections 110.0 through 110.9 and all applicable requirements of Sections 150.0(a) through (1), 150.0(m)1 through 150.0(m)10, 150.0(p) through (q). and 150.0(w); and
2. Performance approach. The altered component(s) and any newly installed equipment serving the alteration shall meet the applicable requirements of Subsection A below.
A. The altered components shall meet the applicable requirements of Sections 110.0 through 110.9, Sections 150.0(a) through (1), Sections 150.0(m)1 through 150.0 (m)10, Sections 150.0(p) through (q), and Section 150.0(w). Entirely new or complete replacement mechanical ventilation systems as these terms are used in Section 150.2(b)1L, shall comply with the requirements in Section 150.2(b)1L. Altered mechanical ventilation systems shall comply with the requirements of Section 150.2(b)1M. Entirely new or complete replacement space-conditioning systems, and entirely new or complete replacement duct systems, as these terms are used in Sections 150.2(b)1C and 150.2(b) lDiia, shall comply with the requirements of Sections 150.0(m)12 and 150.0(m)13.
31.20 Section 4. Severability. If any word, phrase, sentence part, section, subsection or other portion of this amendment or any application thereof to any person or circumstance is declared void, unconstitutional, or invalid for any reason, then such word, phrase, sentence, part, section, subsection, or other portion, or the prescribed application thereof, shall be severable, and the remaining provisions of this amendment, and all applications thereof, not having been declared void, unconstitutional or invalid, shall remain in full force and effect.
Section 5. CEQA. The municipal code amendments are consistent with the Negative Declaration approved for the City of Santa Cruz 2030 Climate Action Plan adopted by City Council on September 13, 2022, and therefore, no further environmental review under the California Environmental Quality Act (CEQA) is required. This ordinance is also categorically exempt from CEQA because it is an action taken by a regulatory agency for the purpose of protecting the environment (CEQA Guidelines Section 15308). In addition, this ordinance is exempt from CEQA under the general rule, 15061(b)(3), on the grounds that these standards are more stringent than the State energy standards, there are no reasonably foreseeable adverse impacts, and there is no possibility that the activity in question may have a significant effect on the environment. The following findings are made in support of these determinations:
a) The purpose of the implementation of a Reach Code is to reduce the amount of greenhouse gas emissions in Santa Cruz that are produced from buildings. b) The Reach Code approval process requires that Santa Cruz determines that the local standards will require buildings to be designed to consume less energy than current statewide requirements. Furthermore, the California Energy Commission approval process requires that Santa Cruz make the findings as part of its approval process.
Therefore, the Reach Code standards can only go into effect if they protect the environment by making buildings more efficient.
Section 6. Effective Date: This ordinance shall become effective as of January 1, 2026 upon approval of the California Energy Commission or upon the date the California Building Standards Commission accepts the ordinance for filing, whichever is later.
PASSED FOR PUBLICATION this 28th day of October 2025, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
APPROVED: __________________________
Fred Keeley, Mayor
ATTEST: ___________________________
Bonnie Bush, City Clerk Administrator
31.21 PASSED FOR FINAL ADOPTION this 18th day of November 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
31.22 1
ORDINANCE NO. 2025-XX
AN ORDINANCE OF THE CITY OF SANTA CRUZ AMENDING MUNICIPAL CODE CHAPTER 18.15 - ENERGY CODE, ADOPTING LOCAL AMENDMENTS TO THE CALIFORNIA ENERGY CODE, PART 6 OF THE CALIFORNIA BUILDING
CONSTRUCTION AND FIRE PREVENTION CODE TO REQUIRE ENERGY
CONSERVATION MEASURES FOR CERTAIN HEATING, VENTILATION, AND AIR
CONDITIONER REPLACEMENTS AND INSTALLATIONS IN EXISTING
NONRESIDENTIAL BUILDINGS
WHEREAS, The State of California has a goal to achieve carbon neutrality by 2045; and WHEREAS, The California Air Resources Board (CARB) has introduced zero-emission appliance standards with a phased implementation beginning in 2027 to reduce greenhouse gas emissions and improve air quality, with an expectation that all new space and water heaters sold in California meet zero-emission standards by 2030; and WHEREAS, The City adopted its Climate Action Plan 2030 (CAP 2030) in 2022 with a legal target to reduce emissions 40% from 1990 levels by 2030 and an aspirational target of carbon neutrality by 2035, 10 years earlier than the State target; and WHEREAS, The CAP 2030 contains three measures related to existing building energy use which accounts for 24% of greenhouse gas emissions regulated by CARB, including Measure BE-2, to electrify 31% of existing residential buildings by 2030 and 53% by 2035; Measure BE- 3, to electrify 26% of existing commercial buildings by 2030 and 45% by 2035; and Measure BE- 5 is to increase resiliency through equitable energy efficiency and local solar programs; and
WHEREAS, Public Resources Code Section 25402.1(h)(2) allows local agencies to adopt local amendments that are cost-effective and that require greater energy reduction/conservation than the California Energy Code; and
WHEREAS, the California Energy Codes and Standards Statewide Utility Program, has determined specific modifications to the 2025 State Energy Code for each climate zone that are cost-effective; and that such modifications will result in designs that consume less energy than they would under the 2025 State Energy Code; and
WHEREAS, staff has reviewed the "2025 Statewide Nonresidential Alterations and AC to HP Cost-Effectiveness Study" and associated data, and find them sufficient to illustrate compliance with the requirements set forth under California Administrative Code Chapter 10-106; and
31.23 2
WHEREAS, based on these studies, the City finds the proposed local amendments to the 2025 California Energy Code to be cost-effective and consume less energy than permitted by Title 24, Part 6; and
WHEREAS, pursuant to Sections 17958.5, 17958.7, and 18941.5 of the Health and Safety Code, the proposed amendments meet the following conditions to demonstrate local amendments are necessary; and
WHEREAS, the 2025 California Energy Code offers compliance options that were established through the public rulemaking process of the code update; and
WHEREAS, pursuant to California Health and Safety Code Section 17958.7, the Council expressly declares that the proposed amendments to the Energy Code are reasonably necessary because of local climatic, topological, and geological conditions within the City of Santa Cruz; and
WHEREAS, the requirements specified in this Ordinance were reviewed via public comment and through a publicly noticed public hearing process; and WHEREAS, that, pursuant to the Public Resources Code section 25402.1(h)(2) and Section 10-106 of the 2025 California Administrative Code, the City Council of the City of Santa Cruz finds and determines the following: (1) The locally adopted energy efficiency standards contained in this ordinance are costeffective, and (2) the efficiency standards in this ordinance will require buildings to be designed to consume less energy compared to the 2025 California Energy Code; and
WHEREAS, The municipal code amendments are consistent with the Negative Declaration approved for the City of Santa Cruz 2030 Climate Action Plan adopted by City Council on September 13, 2022, and therefore, no further environmental review under the California Environmental Quality Act (CEQA) is required; the amendments are exempt from CEQA under the general rule, 15061(b)(3), because it can be seen with certainty that the provisions contained herein would not have the potential for causing a significant effect on the environment; and, this ordinance is exempt per CEQA Guidelines Section 15308, Class 8, Actions by Regulatory Agencies for Protection of Natural Resources, since the proposed ordinance would institute regulatory requirements intended to protect the environment and natural resources.
WHEREAS, this ordinance shall become effective as of January 1, 2026 upon approval of the California Energy Commission or upon the date the California Building Standards Commission accepts the ordinance for filing, whichever is later.
31.24 3
BE IT ORDAINED By the City of Santa Cruz as follows:
Section 1. Incorporation of Recitals. The foregoing recitals are found to be true and correct, and are incorporated by this reference into this action.; Section 2. Findings.
(a) Pursuant to the Public Resources Code section 25402.1(h)(2) and Section 10-106 of the 2025 California Administrative Code, City Council finds and determines the following: (1) The locally adopted energy efficiency standards contained in this ordinance are costeffective, and (2) the efficiency standards in this ordinance will require buildings to be designed to consume less energy compared to the 2025 California Energy Code.
(b) The Council finds and declares that the unique characteristics of the topographic, geologic, and climatic conditions found in the City of Santa Cruz make the local amendments to the 2025 California Energy Code reasonable and necessary, and adopts the following findings of fact in support of the changes or modification contained herein:
(i) The City of Santa Cruz’s northern and western neighborhoods abut the Santa Cruz Mountains, creating a wildland-urban interface and heightened fire risk. The 2020 CZU Lightning Complex fire showed that large, fast-moving wildfires can reach these areas. Cutting local greenhouse-gas pollution is a practical way to lessen the frequency and intensity of future fires. (ii) Since 2021 the City has faced several destructive flood events.
A late-January 2021 atmospheric-river storm triggered debrisflow, causing evacuations. Between December 30, 2022, and January 18, 2023, several atmospheric rivers overtopped the San Lorenzo River, damaged downtown levees and coastal
infrastructure. Finally, a powerful winter storm in December 2024 partially collapsed the Santa Cruz Municipal Wharf, leading Governor Newsom to issue an emergency proclamation on February 14, 2025. These recent disasters underscore that greenhouse-gas emissions are amplifying flood hazards.
Accordingly, more restrictive local Energy Code measures are reasonably necessary to safeguard public health, safety, and welfare.
(iii)In January 2023, successive atmospheric-river storms overwhelmed the Coast Pump Station on the San Lorenzo River, ruptured the Newell Creek Pipeline, the city’s lone conduit from Loch Lomond Reservoir to the Graham Hill Water Treatment
31.25 4
Plant, and pushed raw-water turbidity at the plant to its highest level on record. These escalating, climate-linked disruptions to critical infrastructure make the Ordinance’s stricter local Energy Code requirements a necessary safeguard for public health, safety, and welfare.
(iv)Santa Cruz occupies a narrow marine terrace bounded by 15- to 30-foot mudstone cliffs along West Cliff Drive and the San Lorenzo River. This layout channels storm waves onto easily eroded bluffs and funnels runoff into downtown, as seen when the January 2023 bomb-cyclone washed out parts of West Cliff and a December 2023 surge increased damages to over $30 million. The City’s Local Hazard Mitigation and Climate Adaptation Plan (2025-2030) ranks these cliffs and the river plain as high-risk for erosion, liquefaction, and quake impacts.
To slow erosion, temper storm intensity, and protect key corridors, stricter Energy Code measures that curb greenhousegas emissions are essential. (v) Given the unique geological, topographical, and climatic characteristics of Santa Cruz, failure to address and substantially reduce greenhouse gas emissions creates an increased risk to the health, safety, and welfare of City residents.
Section 3. Severability. If any word, phrase, sentence part, section, subsection or other portion of this amendment or any application thereof to any person or circumstance is declared void, unconstitutional, or invalid for any reason, then such word, phrase, sentence, part, section, subsection, or other portion, or the prescribed application thereof, shall be severable, and the remaining provisions of this amendment, and all applications thereof, not having been declared void, unconstitutional or invalid, shall remain in full force and effect.
Section 4. CEQA. The municipal code amendments are consistent with the Negative Declaration approved for the City of Santa Cruz 2030 Climate Action Plan adopted by City Council on September 13, 2022, and therefore, no further environmental review under the California Environmental Quality Act (CEQA) is required. This ordinance is also categorically exempt from CEQA because it is an action taken by a regulatory agency for the purpose of protecting the environment (CEQA Guidelines Section 15308). In addition, this ordinance is exempt from CEQA under the general rule, 15061(b)(3), on the grounds that these standards are more stringent than the State energy standards, there are no reasonably foreseeable adverse impacts, and there is no possibility that the activity in question may have a significant effect on the environment. The following findings are made in support of these determinations:
a) The purpose of the implementation of a Reach Code is to reduce the amount of greenhouse gas emissions in Santa Cruz that are produced from
31.26 5
buildings.
b) The Reach Code approval process requires that Santa Cruz determines that the local standards will require buildings to be designed to consume less energy than current statewide requirements. Furthermore, the California Energy Commission approval process requires that Santa Cruz make the findings as part of its approval process. Therefore, the Reach Code standards can only go into effect if they protect the environment by making buildings more efficient.
Section 5. Effective Date: This ordinance shall become effective as of January 1, 2026 upon approval of the California Energy Commission or upon the date the California Building Standards Commission accepts the ordinance for filing, whichever is later.
Section 63. Section 18.15.040 of Chapter 18.15 of the Santa Cruz Municipal Code is hereby amended to read as follows:
18.15.040 ENERGY CODE — MODIFICATIONS.
The following sections of the code as adopted in Section 18.15.030 are hereby modified as follows:
Section 100.1(b) of the CEnC is amended to add the following:
MAJOR ADDITION is any change to an existing building that increases conditioned floor area by 350 or more square feet in a one-year period.
MAJOR ALTERATION is any construction or renovation to an existing structure other than a repair whose altered components cover 350 or more square feet in a one-year period. A project that consists only of roof and/or fenestration replacement is not considered a major alteration.
Section 130.0 of the CEnC is amended to read as follows:
a) The design and installation of all lighting systems and equipment in nonresidential and hotel/motel buildings, outdoor lighting, and electrical power distribution systems within the scope of Section 100.0(a), shall comply with the applicable provisions of Sections 130.0 through 130.6.
Subchapter 4 of the CEnC is amended to add Section 130.6 to be numbered, entitled, and to read as follows:
130.6 Electric Readiness Requirements for Systems Using Gas or Propane
31.27 6
Where nonresidential systems using gas or propane are installed, construction drawings shall indicate electrical infrastructure and physical space accommodating the future installation of an electric heating appliance by including the following, as certified by a registered design professional or licensed electrical contractor:
a. Branch circuit wiring, electrically isolated and designed to serve all electric heating appliances in accordance with manufacturer requirements and the California Electrical Code, including the appropriate voltage, phase, minimum amperage, and an electrical receptacle or junction box within five feet of the appliance that is accessible with no obstructions. Appropriately sized conduit may be installed in lieu of conductors. b. Labeling of both ends of the unused conductors or conduit that includes the terms "For Future Electrical Appliance."
c. Reserved circuit breakers in the electrical panel for each branch circuit, appropriately labeled (e.g., "Reserved for Future Electric Range"), and positioned on the opposite end of the panel supply conductor connection.
d. Connected subpanels, panelboards, switchboards, busbars, and transformers that are sized to serve the future electric heating appliances. The electrical capacity requirements shall be adjusted for demand factors in accordance with the California Electric Code. e. Physical space for future electric heating appliances, including equipment footprint, and if needed, a pathway reserved for routing of ductwork to heat pump evaporator(s), all of which shall be depicted on the construction drawings. The footprint necessary for future electric heating appliances may overlap with non-structural partitions and with the location of currently designed gas-fueled equipment.
Section 141.0(b)2C is amended to add a new subsection iii, to read as follows:
iii. In addition to the requirements in Section 141.0(b)2Cii above, new or replacement single zone packaged rooftop systems with direct expansion cooling with rated cooling capacity of 65,000 Btu/hr or more and less than 240,000 Btu/hr serving Financial Institution, Grocery, Library, Office, School, or Retail occupancies shall meet the applicable requirements specified in Table 141.0-E-1A or shall meet the performance compliance requirements of Section 141.0(b)3.
Table 141.0-E-1A – REQUIREMENTS FOR NEW OR REPLACMENT SZAC or SZHP, GREATER THAN 65,000 BTU/HR AND LESS THAN 240,000 BTU/HR System Size CZ 3
65,000 to 240,000 Btu/hr SZHP or SZAC3
Notes to Table 141.0-E-1A
SZHP – Single Zone Heat Pump
SZAC3 – Single Zone Air Conditioner with Furnace + Heat Recovery Ventilator Exception 1 to Section 141.0(b)2Ciii: Where the capacity of the existing main electrical service panel is insufficient to supply the electrical capacity of a heat pump and where the existing main electrical service panel is sufficient to supply a new or replacement air conditioner, as calculated according to the requirements of California Electrical Code
31.28 7
Article 220. Documentation of electrical load calculations in accordance with Article 220 must be submitted to the enforcement agency prior to permitting for both the heat pump and proposed air conditioner.
Section 150.0 of the CEnC is amended as follows:
Single-family residential buildings shall comply with the applicable requirements of Sections 150(a) through 150.0(w).
NOTE: The requirements of Sections 150.0 (a) through (v) apply to newly constructed buildings.
Sections 150.2(a) and 150.2(b) specify which requirements of Sections 150.0(a) through 150.0(r) also apply to additions or alterations. Major Additions, Major Alterations, or combinations shall also be required to comply with Section 150.0(w). The City of Santa Cruz amendments to sections 150.0 (t) do not apply to additions or alterations or the following types of new construction statewide exemption accessory dwelling units:
One accessory dwelling unit per lot with a proposed single-unit building, including a singlefamily dwelling, or a townhome, or a detached residential condominium or apartment unit on a lot with multiple single-unit buildings, if all of the following apply:
i. The accessory dwelling unit is within the proposed space of a single-unit building. ii. The accessory dwelling unit has an exterior entrance separate from that of the primary dwelling unit.
iii. The side and rear setbacks are sufficient for fire and safety.
2. One detached, new construction accessory dwelling unit per lot that meets the following standards:
i. The accessory dwelling unit shall be located on a lot with a proposed or existing singleunit building, including a single-family dwelling, or a townhome, or a detached residential condominium or apartment unit on a site with multiple single-unit buildings. ii. The accessory dwelling unit size shall not exceed 800 square feet in floor area. iii. Interior side yard and rear yard setbacks shall be at least four feet. iv. The accessory dwelling unit shall meet one of the following height limitations as measured to the roof peak:
1. A height of 16 feet; or
2. A height of 18 feet if the accessory dwelling unit is on a lot within one-half of one mile walking distance of a major transit stop or a high-quality transit corridor, as those terms are defined in Section 21155 of the Public Resources Code. This height can be increased an additional two feet to twenty feet to accommodate a roof pitch on the accessory dwelling unit that is aligned with the roof pitch of the primary dwelling unit.
3. One junior accessory dwelling unit per lot zoned to allow single-family dwellings and within the walls of a proposed single-unit building, including a single-family dwelling, townhome, or detached residential condominium or apartment unit on a lot with multiple detached single-unit dwellings.
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(a)-(v): Subsections 150.0(a) - (s) are adopted without modification. t. Heat pump space heater ready. Systems using a gas or propane furnace to serve individual dwelling units shall include the following:
1. A dedicated 240-volt branch circuit wiring shall be installed within 3 feet from the furnace and accessible to the furnace with no obstructions. The branch circuit conductors shall be rated at 30 amps minimum. The blank cover shall be identified as "240V ready." All electrical components shall be installed in accordance with the California Electrical Code.
2. The main electrical service panel shall have a reserved space to allow for the installation of a double pole circuit breaker for a future heat pump space heater installation. The reserved space shall be permanently marked as "For Future 240V use."
3. A designated exterior location for a future heat pump compressor unit with either a drain or natural drainage for condensate and adequate space to maintain the equipment in accordance with California Mechanical Code 304.1 & California Electrical Code 110.26.
Section 150.0(w) is added to read as follows:
w. Mandatory Requirements for Existing Building Additions and Alterations. Existing Building Additions and Alterations shall meet the requirements of Items 1 through 3 below, as applicable:
1. Major addition. Any major addition shall require installation of a set of measures from the Measure Menu Table, Table 150.0-I to achieve a total score that is equal to or greater than 9. In addition, all mandatory measures listed in Table 150.0-I shall be installed.
Measure verification shall be explicitly included as an addendum to the Certificate of Compliance to be filed pursuant to 2025 Title 24 Section 10-103. Installed measures shall meet the specifications in Table 150.0-J.
2. Major alteration. Any major alteration shall require installation of a set of measures from the Measure Menu Table, Table 150.0-I to achieve a total score that is equal to or greater than 9. In addition, all mandatory measures listed in Table 150.0-I shall be installed. Measure verification shall be explicitly included as an addendum to the Certificate of Compliance to be filed pursuant to 2025 Title 24 Section 10-103. Installed measures shall meet the specifications in Table 150.0-J.
3. Combination alterations and additions. Any project that includes an addition and alteration whose altered components cover 350 square feet or greater shall require installation of a set of measures from the Measure Menu Table, Table 150.0-I to achieve a total score that is equal to or greater than 9. In addition, all mandatory measures listed in Table 150.0-1 shall be installed. Measure verification shall be explicitly included as an addendum to the Certificate of Compliance to be filed pursuant to 2025 Title 24 Section 10-103. Installed measures shall meet the specifications in Table 150.0-J.
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4. Water heating system electric readiness. Any project that includes a major addition, major alteration, or combination alteration and addition that requires water heating system electric readiness shall meet the requirements of section 150.0 (n)1:
Exception 1 to Section 150.0(w): The project is the result of a repair as defined by Title 24 Part 2 Section 202.
Exception 2 to Section 150.0(w): If compliance costs exceed 20% of total project valuation or due to conditions specific to the project, it is technically infeasible to achieve compliance through any available set of measures, the applicant may request an exemption as set forth below. In applying for an exemption, the burden is on the applicant to show hardship or infeasibility.
1. Application. Based on the following, the applicant shall identify in writing the specific requirements of the standards for compliance that the project is unable to achieve and the circumstances that make it a hardship or infeasible for the project to comply with this chapter. The applicant may not petition for relief from any requirement of the 2025 California Energy Code (Title 24, Part 6) and referenced standards, or the 2025 California Green Building Standards (Title 24, Part 11) of the California Building Standards Code. Circumstances that constitute hardship or infeasibility shall include one of the following:
i. That the cost of achieving compliance is disproportionate to the overall cost of the project;
ii. That it is technically infeasible to achieve compliance through all packages due to conditions specific to the project; That strict compliance with these standards would create or maintain a hazardous condition(s) and present a life safety risk to the occupants.
2. Granting of exemption. If the chief building official determines that it is a hardship or infeasible for the applicant to fully meet the requirements of this chapter and that granting the requested exemption will not cause the building to fail to comply with the 2025 California Energy Code (Title 24, Part 6) and referenced standards, or the 2025 California Green Building Standards (Title 24, Part 11) of the California Building Standards Code, the chief building official shall determine the minimum feasible threshold of compliance reasonably achievable for the project. If an exemption is granted, the applicant shall be required to comply with this chapter in all other respects and shall be required to achieve the threshold of compliance determined to be achievable by the chief building official.
3. Denial of exemption. If the chief building official determines that it is reasonably possible for the applicant to fully meet the requirements of this chapter, the request shall
31.31 10
be denied, and the applicant shall be notified of the decision in writing. The project and compliance documentation shall be modified to comply with the standards for compliance.
a. Appeal. Any aggrieved applicant or person may appeal the determination of the chief building official regarding the granting or denial of an exemption or compliance with any other provision of this chapter. An appeal of a determination of the chief building official shall be filed in writing with the Board of Building and Fire Appeals.
Exception 3 to Section 150.0(w): If the dwelling unit has previously installed measures from the Measure Menu, Table 150.0-1, and compliance can be demonstrated to the building official, then these measures shall not be required to be newly installed, and appropriate credit shall be included in the applicable compliance calculations.
Exception 4 to Section 150.0(w): The applicant may request an exemption to any requirements of this chapter which would impair the historic integrity of any building listed on a local, state, or federal register of historic structures, as determined by the Planning Director or designee and as regulated by the California Historic Building Code (Title 24, Part 8). In making a determination of exemption, the Planning Director or designee may require the submittal of an evaluation by an architectural historian or similar expert.
Exception 5 to Section 150.0(w): An alteration that consists solely of seismic safety improvements.
Exception 6 to Section 150.0(w): Buildings which are temporary (such as construction trailers).
Exception 7 to Section 150.0(w): An alteration that consists solely of roof and/or fenestration projects.
Exception 8 to Section 150.0(w): Mobile Homes, Manufactured Housing, or Factory-built Housing as defined in Division 13 of the California Health and Safety 12 Code (commencing with Section 17000 of the Health and Safety Code).
Exception 9 to Section 150.0(w): One accessory dwelling unit and one junior accessory dwelling unit per lot with a proposed or existing single-family dwelling if all of the following apply:
1. The accessory dwelling unit or junior accessory dwelling unit is within the proposed space of a single-family dwelling or existing space of a single-family dwelling or accessory structure and may include an expansion of not more than 150 square feet beyond the same physical dimensions as the existing accessory structure. An expansion beyond the physical dimensions of the existing accessory structure shall be limited to accommodating ingress and egress.
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2. The space has exterior access from the proposed or existing single-family dwelling.
3. The side and rear setbacks are sufficient for fire and safety.
Exception 10 to Section 150.0(w): Where the project includes an accessory dwelling unit or junior accessory dwelling unit that is attached to the primary dwelling unit, either as a new addition or converted from within the space of the primary dwelling unit, and there is not an additional combination alteration/addition to the primary dwelling unit of at least 350 square feet, then the primary dwelling unit is exempt from the requirements.
Exception 11 to section 150.0(w): Single family homes built after December 31, 1991.
New Table 150.0-I is added to read as follows:
Table 150.0-I: Measure Menu
Measures Table 150.0-J ID Points
Water Heating Package E1 1
Induction Cooktop E2 1
Heat Pump Clothes Dryer E3 1
Air Sealing E4 2
Duct Sealing E5 3
R-49 Attic Insulation E6 4
Windows E7 4
R-15 Wall Insulation E8 5
New Ducts + Duct Sealing E9 6
R-19 Floor Insulation E10 9
R-30 Floor Insulation E11 10
Heat Pump Water Heater (HPWH) E12 12
Solar PV + Electric Ready Pre-Wire E13 13
Heat Pump Space Heater E14 18
Utility Room, Kitchen & Laundry-Related Electric
Ready Pre-Wire M1 Mandatory
Panel-Related Electric Ready Pre-Wire M2 Mandatory
LED Lighting Upgrade M3 Mandatory
Note: the measures in the Measure Menu shall conform to the specifications in Table 150.0-J
New Table 150.0-J is added to read as follows: Table 150.0-J: Measure Specifications ID Measure Specification
General Measures
E1 Water Heating Package: Add exterior insulation meeting a minimum of R-6 to existing storage water heaters. Insulate all accessible hot water pipes with pipe
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insulation a minimum of ¾ inch thick. This includes insulating the supply pipe leaving the water heater, piping to faucets underneath sinks, and accessible pipes in attic spaces or crawlspaces. Upgrade fittings in sinks and showers to meet current California Green Building Standards Code (Title 24, Part 11) Section
4.303 water efficiency requirements.
Water heaters 20 gallons or less, or water heaters that are not able to add exterior insulation may not take credit for this measure.
Exception 1: Water heater blanket is not required on water heaters less than 20 gallons.
Exception 2: Water heater blanket not required if application of a water heater blanket voids the warranty on the water heater.
Exception 3: Upgraded fixtures are not required if existing fixtures have rated or measured flow rates of no more than ten percent greater than 2025 California Green Building Standards Code (Title 24, Part 11) Section 4.303 water efficiency requirements.
Exception 4: Water heaters with factory installed insulation of R-24 or greater E2 Induction Cooktop: Replace existing gas and electric resistance stove top with inductive stove top and cap the gas line
E3 Heat Pump Clothes Dryer: Replace existing electric resistance clothes dryer with heat pump dryer with no resistance element and cap gas line.
E4 Air Sealing: Seal all accessible cracks, holes, and gaps in the building envelope at walls, floors, and ceilings. Pay special attention to penetrations including plumbing, electrical, and mechanical vents, recessed can light luminaires, and windows. Weather-strip doors if not already present.
Verification shall be conducted by a certified HERS Rater that either: a) shows at least a 30 percent reduction from pre-retrofit conditions; or b) shows that the number of air changes per hour at 50 Pascals pressure difference (ACH50) does not exceed ten for Pre-1978 vintage buildings, seven for 1978 to 1991 vintage buildings and five for 1992-2010 vintage buildings. Compliance can also be demonstrated with blower door testing conducted by a certified HERS Rater no more than three years prior to the permit application date showing compliance with condition (a) or (b).
If combustion appliances are located within the pressure boundary of the building, conduct a combustion safety test by a professional certified by the Building Performance Institute in accordance with the ANSI/BPI-1200-S-2017 Standard Practice for Basic Analysis of Buildings, the Whole House Combustion Appliance Safety Test Procedure for the Comfortable Home Rebates Program 2020 or the California Community Services and Development Combustion Appliance Safety Testing Protocol.
Reducing the air leakage of a building can reduce the building's drying potential.
When improving the air sealing of a building, consider if there is a need to add continuous ventilation to the building (if not already present).
31.34 13
E5 Duct Sealing: Air seal all space conditioning ductwork to meet the requirements of the 2025 Title 24 Section 150.2(b)lE. The duct system must be tested by a HERS Rater no more than three years prior to the alteration or addition permit application date to verify the duct sealing and confirm that the requirements have been met. This measure may not be combined with the New Ducts and Duct Sealing measure in this Table. Dwelling units without ductwork or where the ducts are in conditioned space may not take credit for this measure.
E6 R-49 Attic Insulation: Attic insulation shall be installed to achieve a weighted assembly U- factor of 0.020 or insulation installed at the ceiling level shall have a thermal resistance of R-49 or greater for the insulation alone. Recessed downlight luminaires in the ceiling shall be covered with insulation to the same depth as the rest of the ceiling. Luminaires not rated for insulation contact must be replaced or fitted with a fire-proof cover that allows for insulation to be installed directly over the cover.
Exception: In buildings where existing R-30 is present and existing recessed downlight luminaires are not rated for insulation contact, insulation is not required to be installed over the luminaires.
E7 Windows: Replace at least 50% of existing windows with high performance windows with an area-weighted average U-factor no greater than 0.27.
E8 R-15 Wall Insulation: Install wall insulation in all exterior walls to achieve a weighted U-factor of 0.095 or install wall insulation in all exterior wall cavities that shall result in an installed thermal resistance of R-15 or greater for the insulation alone.
E9 New Ducts+ Duct Sealing: Replace existing space conditioning ductwork with new R-8 ducts that meet the requirements of 2025 Title 24 Section 150.0(m) 11.
This measure may not be combined with the Duct Sealing measure in this Table.
To qualify, a preexisting measure must have been installed no more than three years before the alteration or addition permit application date.
E10 R-19 Floor Insulation: Raised-floors shall be insulated such that the floor assembly has an assembly U-factor equal to or less than U-0.037, or shall be insulated between wood framing with insulation having an R-value equal to or greater than R-19. This measure cannot be combined with measure R-30 Floor insulation.
E11 R-30 Floor Insulation: Raised-floors shall be insulated such that the floor assembly has an assembly U-factor equal to or less than U-0.028, or shall be insulated between wood framing with insulation having an R-value equal to or greater than R-30. This measure cannot be combined with measure R-19 Floor insulation.
E12 Heat Pump Water Heater (HPWH): Replace existing electric resistance or natural gas storage water heater with a heat pump water heater that meets the requirements of Sections 110.3 and 150.2 (b) 1.H.iii.b or c.
31.35 14
E13 PV and Electric Ready Pre-Wire: Install a solar PV system that meets the requirements of 2025 Title 24 Section 150.l(c)14.
In addition to the solar PV system, comply with the water heating system electric readiness requirements per Section 150.0(w)4 and the heat pump space heaters requirements per Section 150.0(t) and one of the following:
A. Energy Storage Systems (ESS) Ready, as specified in Section 150.0(s), or
B. EV Charger Ready as specified in the California Green Building Code, Title 24, Part 11, Section A4.106.8.1, which otherwise applies to new construction.
Exception 1: In buildings where the designated space requirement specified in Section 150.0(n) 1 can be demonstrated to the building official as infeasible, the electric readiness components per Section 150.0(n)l are not required.
E14 Heat Pump Space Heater: Replace all existing gas and electric resistance space heating systems with an electric-only heat pump system that meets the applicable requirements of Sections 150.2 (b) 1.C, 150.2 (b)1.E, 150.2(b)1.F, and 150.2(b)1.G.
Mandatory Measures
M1 Utility Room, Kitchen & Laundry-Related Electric Ready Pre-Wire: Where the project includes a kitchen remodel, comply with the electric cooktop ready requirement, as specified in Section 150.0(u). Where the project includes a laundry room remodel, comply with the electric clothes dryer ready requirement, as specified in Section 150.0(v). Where the project includes a utility room remodel, comply with the water heating system electric readiness requirements per Section l50.0(n)1 and the heat pump space heater electric readiness requirements per Section 150.0(t):
Exception 1: If an electrical permit is not otherwise required for the project other than compliance with this measure.
Exception 2: If a utility service upgrade is not otherwise required for the project other than compliance with this measure.
Exception 3: In buildings where the designated space requirement specified in Section 150.0(n)1 can be demonstrated to the building official as infeasible, the electric readiness components per Section 150.0(n)1 are not required.
M2 Panel-Related Electric Ready Pre-Wire: Where the project includes a new electrical panel and electrical service upgrade to 200A or more, comply with the water heating systems electric readiness requirements per Section 150.0(n)1 and the heat pump space heater electric readiness requirements per Section 150.0(t).
Exception 1: In buildings where the designated space requirement specified in Section (150.0(n)1 can be demonstrated to the building official as infeasible, the electric readiness components per Section 150.0(n)1 are not required.
M3 LED Lighting Upgrade: Replace all interior and exterior screw-in incandescent, halogen, and compact fluorescent lamps with LED lamps.
Install photocontrol and either a motion sensor or an automatic time switch,
31.36 15
or an astronomical time clock control on all exterior lighting luminaires consistent with current Title 24 requirements for new single-family residential buildings. Alternative means of exterior lighting timing controls, including smart home devices, may be approved.
Section 150.2(a) [ENERGY EFFICIENCY STANDARDS FOR ADDITIONS AND ALTERATIONS TO EXISTING SINGLE FAMILY RESIDENTIAL BUILDINGS] is
modified to read as follows:
Additions. Additions to existing single-family residential buildings shall meet the requirements of Sections 110.0 through 110.9, Sections 150.0(a) through (n), (p), (q), (w), and either Section 150.2(a)1 or 2.
Section 150.2(b) [ENERGY EFFICIENCY STANDARDS FOR
ADDITIONS AND ALTERATIONS TO EXISTING SINGLE FAMILY RESIDENTIAL BUILDINGS] is
modified to read as follows:
Alterations. Alterations to existing single-family residential buildings or alterations in conjunction with a change in building occupancy to a single-family residential occupancy shall meet either Item 1 or 2 below.
1. Prescriptive approach. The altered component and any newly installed equipment serving the alteration shall meet the applicable requirements of Sections 110.0 through 110.9 and all applicable requirements of Sections 150.0(a) through (1), 150.0(m)1 through 150.0(m)10, 150.0(p) through (q). and 150.0(w); and
2. Performance approach. The altered component(s) and any newly installed equipment serving the alteration shall meet the applicable requirements of Subsections A, B, and C below.
A. The altered components shall meet the applicable requirements of Sections 110.0 through 110.9, Sections 150.0(a) through (1), Sections 150.0(m)1 through 150.0 (m)10, Sections 150.0(p) through (q), and Section 150.0(w). Entirely new or complete replacement mechanical ventilation systems as these terms are used in Section 150.2(b)1L, shall comply with the requirements in Section 150.2(b)1L. Altered mechanical ventilation systems shall comply with the requirements of Section 150.2(b)1M. Entirely new or complete replacement space-conditioning systems, and entirely new or complete replacement duct systems, as these terms are used in Sections 150.2(b)1C and 150.2(b) lDiia, shall comply with the requirements of Sections 150.0(m)12 and 150.0(m)13.
Section 34. Severability. If any word, phrase, sentence part, section, subsection
31.37 16
or other portion of this amendment or any application thereof to any person or circumstance is declared void, unconstitutional, or invalid for any reason, then such word, phrase, sentence, part, section, subsection, or other portion, or the prescribed application thereof, shall be severable, and the remaining provisions of this amendment, and all applications thereof, not having been declared void, unconstitutional or invalid, shall remain in full force and effect.
Section 45. CEQA. The municipal code amendments are consistent with the Negative Declaration approved for the City of Santa Cruz 2030 Climate Action Plan adopted by City Council on September 13, 2022, and therefore, no further environmental review under the California Environmental Quality Act (CEQA) is required. This ordinance is also categorically exempt from CEQA because it is an action taken by a regulatory agency for the purpose of protecting the environment (CEQA Guidelines Section 15308). In addition, this ordinance is exempt from CEQA under the general rule, 15061(b)(3), on the grounds that these standards are more stringent than the State energy standards, there are no reasonably foreseeable adverse impacts, and there is no possibility that the activity in question may have a significant effect on the environment. The following findings are made in support of these determinations:
b) The purpose of the implementation of a Reach Code is to reduce the amount of greenhouse gas emissions in Santa Cruz that are produced from buildings.
c) The Reach Code approval process requires that Santa Cruz determines that the local standards will require buildings to be designed to consume less energy than current statewide requirements. Furthermore, the California Energy Commission approval process requires that Santa Cruz make the findings as part of its approval process. Therefore, the Reach Code standards can only go into effect if they protect the environment by making buildings more efficient.
Section 56. Effective Date: This ordinance shall become effective as of January 1, 2026 upon approval of the California Energy Commission or upon the date the California Building Standards Commission accepts the ordinance for filing, whichever is later.
PASSED FOR PUBLICATION this 28th day of October 2025, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
31.38 17
APPROVED: __________________________
Fred Keeley, Mayor
ATTEST: ___________________________
Bonnie Bush, City Clerk Administrator
PASSED FOR FINAL ADOPTION this 18th day of November 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
31.39 2025 Nonresidential
Alterations:
Reach Code Study
Prepared by:
TRC Companies:
Lucy Albin, Shannenia Sumawan,
Avani Goyal, Farhad Farahmand
Prepared for:
Amy Discher, Southern California
Edison
Revision: 1.0
Last modified: 2025/07/07
31.40 2025 Nonresidential Alterations Reach Code Study 1 2025/07/07
Summary of Revisions
Date Description Reference (page or section)
7/7//2025 Original Release N/A
Legal Notice
This report was prepared by
Southern California Edison and
funded by the California utility
customers under the auspices of
the California Public Utilities
Commission.
Copyright 2025, Southern
California Edison. All rights
reserved, except that this
document may be used, copied,
and distributed without
modification.
Neither SCE nor any of its
employees makes any warranty,
express or implied; or assumes
any legal liability or responsibility
for the accuracy, completeness or
usefulness of any data,
information, method, product,
policy or process disclosed in this
document; or represents that its
use will not infringe any privatelyowned rights including, but not limited to, patents, trademarks or
copyrights.
31.41 2025 Nonresidential Alterations Reach Code Study 2 2025/07/07
Acronym List
B/C – Benefit-to-Cost Ratio
CBECC - California Building
Energy Code Compliance
CBSC - California Building
Standards Commission
CEC - California Energy
Commission
CPAU – City of Palo Alto
Utilities
CZ – Climate Zone
GHG - Greenhouse Gas
HP – Heat Pump
HVAC – Heating,
Ventilation, and Air
Conditioning (equipment)
IOU – Investor-Owned
Utility
kWh – Kilowatt Hour
LSC – Long-term
Systemwide Cost
MF – Mixed-Fuel
NPV – Net Present Value
POU – Publicly Owned
Utility
PG&E – Pacific Gas &
Electric (utility)
PV - Solar Photovoltaic
RTU – Rooftop Unit
(equipment)
SCE – Southern California
Edison (utility)
SCG – Southern California
Gas (utility)
SDG&E – San Diego Gas &
Electric (utility)
SMUD – Sacramento
Municipal Utility District
SZAC – Single Zone Air
Conditioner
SZHP – Single Zone Heat
Pump
Title 24 – California Code of
Regulations Title 24, Part 6
31.42 2025 Nonresidential Alterations Reach Code Study 1 2025/07/07
Table of Contents
Executive Summary...............................................................................................................4 1 Introduction.....................................................................................................................5 2 Methodology and Assumptions .....................................................................................6
2.1 Cost-Effectiveness ..................................................................................................... 6
2.1.1 Benefits ............................................................................................................... 6
2.1.2 Costs ................................................................................................................... 6
2.1.3 Metrics................................................................................................................. 7
2.1.4 Utility Rates ......................................................................................................... 7
2.2 Greenhouse Gas Emissions....................................................................................... 9 3 Prototypes, Measure Packages, and Costs ................................................................10
3.1 Prior Reach Code Study Research............................................................................10
3.2 Prototype Characteristics ..........................................................................................10
3.3 Measure Definitions and Costs..................................................................................13
3.3.1 Baseline and Measure Packages........................................................................13
3.3.2 Energy Efficiency Measures................................................................................15
3.3.3 HVAC Retrofit .....................................................................................................18 4 Stakeholder Interviews .................................................................................................21
4.1 Objectives and Research Questions .........................................................................21
4.2 Results ......................................................................................................................21
4.3 Interpretation.............................................................................................................22 5 Cost-effectiveness Results ..........................................................................................25
5.1 Small Office...............................................................................................................26
5.1.1 Individual Efficiency Measure Results.................................................................26