Agenda — Santa Maria City Council, November 18, 2025 (part 2 of 2)

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF SANTA MARIA, CALIFORNIA
APPROVING AMENDMENT NO. 2 to AGREEMENT WITH
DEWBERRY ENGINEERS INC. TO COMPLETE THE PROJECT

APPROVAL AND ENVIRONMENTAL DOCUMENT FOR THE US
101/SR 135 BROADWAY INTERCHANGE
IN THE AMOUNT OF $1,577,071.77
WHEREAS, the US 101/SR 135 Broadway Interchange Improvement Project is identified within the Santa Barbara County Association of Governments (SBCAG) Measure A Program of Projects; and
WHEREAS, the purpose of the project is to improve traffic operations and safety at the US 101/SR 135 Broadway Interchange; and
WHEREAS, the City of Santa Maria is identified as the Project Sponsor for the interchange project; and
WHEREAS, preparation of a Project Approval and Environmental Document (PA&ED) is required for the development of the interchange; and WHEREAS, Measure A has earmarked approximately $12 million in funding for the interchange project; and
NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, California, as follows:

SECTION 1. Approve amendment No. 2 with Dewberry Engineers, Inc. in an amount not to exceed $1,577,071.77; and
SECTION 2. Authorize the City Manager or designee to execute agreement; and SECTION 3. The Chief Deputy City Clerk is hereby authorized to make minor changes herein to address clerical errors, so long as substantial conformance of the intent of this document is maintained. In doing so, the Chief Deputy City Clerk shall consult with the City Manager and City Attorney concerning any changes deemed necessary.

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PASSED AND ADOPTED at a regular meeting of the City Council of the City of Santa Maria, California, held this 18th day of November 2025.

ATTEST:

Chief Deputy City Clerk
Mayor
APPROVED AS TO FORM:
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City Attorney
APPROVED AS TO CONTENT:
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Department Director
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City Manager
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1 Atty. Rev. 2022
AMENDMENT NO. 2 TO AGREEMENT FOR PROFESSIONAL SERVICES
This Amendment No. 2 to US 101/SR 135 Broadway Interchange Project Approval and Environmental Document dated May 8, 2019 is made on November 18, 2025 by and between Dewberry Engineers Inc., a California Corporation (“Contractor”), and the City of Santa Maria, a California Municipal Corporation and charter city (“City”), in Santa Maria, California, based on the following recitals:

1. Exhibit “A” shall be revised to include the attached Exhibit “A” so noted by the revision date of 11/18/25; and

2. Exhibit “B” shall be revised to include the attached Exhibit “B” so noted by the revision date of 11/18/25.

NOW, THEREFORE, IT IS AGREED:

1. Exhibit “A” shall be revised to include the attached Exhibit “A”;

2. Exhibit “B” shall be revised to include the attached Exhibit “B”; and

3. All other terms of the Agreement remain unchanged.

IN WITNESS WHEREOF, this Agreement is executed by the parties on the date first written above.

CONTRACTOR CITY OF SANTA MARIA
____________________________
By: JOSE SILVA
Vice President
___________________________
By: David W. Rowlands
City Manager
ATTEST:
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Donna G. Scwartz
Chief Deputy City Clerk
APPROVED AS TO FORM:
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City Attorney
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Risk Manager
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EXHIBIT “A”

SERVICES TO BE PERFORMED
US 101/SR 135 Interchange
Scope of Work – Phase 1A
Please note that this scope of services only includes the tasks that are being amended.

In addition to completing the Project Approval and Environmental Document (PA&ED), this amendment is requested to complete additional tasks requested by Caltrans to determine the best geometric alternatives for the project to move forward in the PA&ED.

Task 1: Project Management (WBS 100)
Task 1.1: Meetings and Coordination (WBS 100.10)
The CONSULTANT will organize, attend, and facilitate additional meetings to provide progress updates, coordinate between technical disciplines, and facilitate overall project communication. For each meeting, the CONSULTANT will provide meeting notices, prepare meeting materials and agenda, attend and facilitate the meeting and prepare meeting minutes. The CONSULTANT will coordinate with the CITY’s project manager prior to each meeting to get input regarding the agenda.

The following meetings are anticipated for this project:
• Project Status: Regular conference calls will be held approximately monthly (up to 18 teleconferences) between the project design team and the CITY Project Manager. The purpose of these meetings is to communicate project team status and discuss project issues. The CONSULTANT will facilitate these teleconferences by providing the conference calling site, agendas and meeting notes with action items. • PDT Meetings (Teleconferences): The project development team (PDT) monthly meetings will serve as the primary forum for reviewing the status of the project and identifying and resolving project issues. The CONSULTANT Project Manager in association with the CITY Project Manager will identify key agencies and personnel to be included in the core Project Development Team. Attendees will likely include the CONSULTANT’s Project Manager and task leads as needed, City of Santa Maria, Santa Barbara County, Caltrans staff and other stakeholders. Throughout the anticipated duration of this project phase, the CONSULTANT will provided the conferencing calling suite, attend and facilitate up to 16 PDT meetings.

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Included in this task is coordinating with the City of Santa Maria, Caltrans District 5, FHWA, SBCAG, Santa Barbara County and other stakeholders.

Deliverables:
• Meeting notices, agendas, handouts, notes, and action items Task 1.2: Project Administration (WBS 100.10.05)
The CONSULTANT will monitor and control the effort and progress of the proposed services as follows:
• Monitor progress and review and approve invoices: The CONSULTANT will track the work progress of the proposed subconsultants and review their invoices for format and content compliance.
• Prepare monthly progress reports and client invoices: The CONSULTANT will prepare Progress Reports to record the progress of the project and as supporting data for invoices presented monthly to the CITY. The Progress Report will include accomplished tasks for the month, anticipated progress for the next month, pending issues/resolutions and schedule completion target dates. The CONSULTANT will mail Progress Reports with the monthly invoices.
• Prepare, monitor and adjust project schedule: The CONSULTANT will update the project schedule as required to keep the project timeline current. The schedule will be prepared using Microsoft Project and will show contracted tasks/milestones with dependencies and durations, critical path tasks and responsibility assignments. Subsequent to establishing the baseline schedule, the CONSULTANT will prepare monthly Progress Reports.

Deliverables:
• Monthly Progress Report
• Project Schedule Updates
Task 1.3: Quality Control (WBS 100.10.10)
The CONSULTANT will maintain the quality control plan during the entire course of the project phase. Exhibits, plans will also be checked, corrected and back-checked for accuracy and completeness.

The CONSULTANT will review environmental and engineering report Attachment D
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and preliminary design submittals to complete the appropriate background information, study methodology, interpretation of data, format and content in accordance with current standards.

Task 1.5: Developer Coordination
CONSULTANT will coordinate the interchange improvements with the developer engineers to accommodate ultimate conditions and to better understand the timing of the development and impacts during construction.

Deliverable:
• Meeting notes and Exhibits
Task 2: Topographic Survey (WBS 160.20)
Task 2.1: Aerial Mapping and Orthophotography (WBS 160.20.55)

2.2.3: Supplemental Ground Surveys
Supplemental ground surveys will be performed to verify existing features constructed after the arial survey needed to complete preliminary design.

2.2.4: Right of Way and Property Boundaries
Supplemental field surveys will be conducted to verify existing boundary features due to constructed elements after the arial survey needed to complete preliminary design. Additional boundary review and plat and legal descriptions will be completed to accommodate the Preisker Development.

Deliverables:
• Supplemental survey file
• Plat and Legal
Scope of Work (PA&ED Phase 1A)
Task 3: Engineering Studies (WBS 160.10)
Task 3.5: Traffic Analysis (WBS 160.10.35)

3.5.5: Future Year Operations Analysis
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CONSULTANT will complete additional traffic forecasts review to update the existing traffic intersection analysis models (AM and PM peak hour) for the Build Alternatives for Design Year and Opening Year. Intersection delay, level of service, and 95th percentile queue lengths will be presented for the AM and PM peak hour. Approved and funded transportation projects within the study area will be included under the appropriate analysis year per direction of CITY staff.

The traffic component of the Intersection Control Evaluation (ICE) process will be updated to include Highway Safety Manual (HSM) performance-based decision-making concepts. An HSM analysis of the selected alternatives will be done in a future memorandum and not as part of the ICE process. A high-level safety assessment will be performed for the US 101 northbound on-ramp for the Diverging Diamond Interchange (DDI) alternative to determine the preferred mixture of nonstandard features. This information is to be used to receive concurrence from Caltrans that the onramps may be built with non-standard features.

CONSULTANT will Develop the Diverging Diamond Interchange (DDI) alternative in Synchro for the ICE Technical Memorandum and will run the SimTraffic model to obtain the results for the Traffic Operations Analysis Report (TOAR).

CONSULTANT will develop the roundabout alternative in SIDRA and will run the model to obtain the results for both the ICE Technical Memorandum and TOAR.CONSULTANT will review with Caltrans the existing traffic volume counts completed in 2018-2019 to confirm that Caltrans still accepts these counts. Additional traffic counts may be needed if not accepted.

CONSULTANT will verify with Caltrans that the traffic operations software used for the analysis of the two alternatives (roundabout and DDI) is acceptable. Additional analysis may be needed if software is not acceptable.

3.5.6: Traffic Operations Analysis Report (TOAR)
CONSULTANT will update documentation of the existing conditions analysis, traffic forecasts, and the future year operations analysis into the consolidated Draft Final Traffic Operations Analysis Report (TOAR). CONSULATANT will update the TOAR to incorporate the DDI and Multi-Lane Roundabout alternatives. CONSULTANT will respond to consolidated written comments on the Draft Final TOAR, reconcile comments with reviewers, and submit Final TOAR for final agency approval.

3.5.7: Intersection Control Evaluation (ICE)
CONSULTANT will update the intersection operation and conceptual geometric design evaluation to objectively evaluate the US 101/SR 135 interchange’s performance based on safety, operations, and life-cycle costs of intersection control strategies for travel modes and users. To accomplish this, the Intersection Control Evaluation (ICE) will be updated for the US 101/SR 135 interchange ramp termini intersections under each alternative based on guidance described in Caltrans Traffic Attachment D
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Operations Policy Directive 13-02 (TOPD 13-02), effective August 30, 2013. TOPD 13-02 establishes procedures to evaluate impacts to intersection traffic (e.g. pedestrian, bicycle, auto, transit) in order to identify the most effective and comprehensive access alternatives. Updates include:
• Incorporating the Diverging Diamond Interchange (DDI) alternative • Incorporating the Multi-Lane Roundabout alternatives.

The evaluation and study procedures described in TOPD 13-02 are a two-step evaluation process.

Deliverables:
• Draft Final Traffic Operations Analysis Report (TOAR) (PDF) • Final Traffic Operations Analysis Report (TOAR) (PDF) • Intersection Control Evaluation Report (ICE) (PDF)
Task 3.6: Preliminary Drainage Report (WBS 160)
CONSULTANT will conduct a preliminary Drainage Impact Study to determine existing hydrology and drainage systems within the Project area. The impact of the Project improvements will be documented, and recommendations for conceptual drainage improvements will be included in the report. A planning-level opinion of probable construction cost estimate for drainage improvements will also be included in the report.

Deliverables:
• Draft Drainage Impact Study Report (PDF)
• Final Drainage Impact Study Report (PDF)
Task 3.7: Storm Water Data Report (WBS 180.05.15)
CONSULTANT will prepare a Stormwater Data Report summarizing the Project impacts to water quality, general minimization measures, and recommended best management practices (BMPs). Our study will address only the impacts from the roadway improvements, and we will utilize Caltrans standard checklists. CONSULTANT will also prepare a preliminary hydromodification assessment to determine the magnitude of the impacts and the need for minimization. CONSULTANT will propose conceptual minimization measures that meet the criteria set by the Regional Water Quality Control Board and Caltrans National Pollutant Discharge Elimination System (NPDES) Permit.

Additionally, CONSULTANT will address the need for erosion control measures.

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Deliverables:
• Draft Storm Water Data Report (PDF)
• Final Storm Water Data Report (PDF)
Task 3.9: Value Analysis Study (WBS 185.15.20)
CONSULTANT will prepare a Value Analysis (VA) Study. Federal law requires that projects on the Federal-aid-system (National Highway System and Interstate) with a total cost (Construction, Right of Way, and Support) of $50 million or more must have a VA study conducted prior to construction. The CONSULTANT will work with the PDT to identify a specific performance criterion which will be weighted, using a paired comparison approach. The CONSULTANT will lead a VA three-day workshop and will prepare a Value Analysis Study report to be implemented as agreed upon by the PDT.

Deliverable:
• VA Study Report (PDF)
Task 4: Environmental Document (WBS 165)
Due to the nature of the project and the use of federal funds, the project will include environmental review and clearance for both the California Environmental Quality Act (CEQA) and National Environmental Policy Act (NEPA). Thus, the CONSULTANT environmental team will follow the Standard Environmental Reference (SER) guidelines.

Task 4.1: Environmental Project Management (WBS 165)
This task includes project management by the environmental team for a project schedule of up to two years from the Notice to Proceed. If the project schedule exceeds two years, the scope and budget may need to be modified accordingly. Task 4.2: Technical Studies (WBS 165.10) The CONSULTANT will prepare both the draft and final environmental documents in compliance with CEQA and NEPA procedures per the Caltrans SER, and Caltrans District 5 and FHWA guidelines. It is anticipated that two rounds of draft technical study submittals will be required prior to development of the final.

The following scope of work is based on the results of the PEER prepared for the project in 2001.

The final scope of appropriate technical studies will be confirmed with Caltrans District 5 staff during the project Kick-off Meeting. CONSULTANT will discuss required changes (additions or reductions) to this preliminary scope of work and prepare a final scope of work/fee for CITY Attachment D
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approval. Some of the technical studies have been started with the initial alternatives and assumed project disturbance area. Additional analysis is required to include the roundabout loop and DDI alternatives.

Task 4.2.2: Archaeological Survey Report (ASR)/Historic Property Survey Report (HPSR) (WBS 165.20.05)
CONSULTANT will complete the cultural resource documents for the project pursuant to Caltrans requirements and Section 106 of the NHPA and CEQA.

Area of Potential Effect Map
Base maps and plans, depicting the area proposed for impacts (e.g., construction, staging, and construction access areas) will be assembled and a draft APE will be created by the consultant for the project area. The map will be plotted on an aerial photograph with a bar scale. The map will depict the right of way and clearly label roads and the APE for both archaeological and historic resources. The APE map will have a signature and date block for “Principal Investigator-Prehistoric Archaeologist” and “Caltrans Local Assistance Engineer.” The APE will be submitted to Caltrans for approval and adoption.

Record Search
This task will include conducting a record search at the Central Coast Information Center (CCIC) of the California Historical Resource Information System (CHRIS) using the appropriate search radius for this rural location. Records in the Historic Property Data File, California Register of Historic Resources (CRHR), and National Register of Historic Places (NRHP) will be reviewed, and historic maps, aerial photographs, and other historic documents will be assessed to determine if historic features or foundations are likely to be present below the ground surface within the project study area.

Native American Consultation
The Native American Heritage Commission (NAHC) will be contacted to provide a list of Native American and other groups or individuals with potential knowledge of cultural resources in the project area. Native American consultation (for both Section 106 and AB 52) will include written letters to the appropriate representatives, and follow-up phone calls will be made to interested individuals. The CITY will conduct the in-person AB-52 consultations during the CEQA process (if requested by the tribes).

Field Survey
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An archaeological pedestrian field survey to identify cultural resources within the project APE will be performed. Areas will be surveyed by qualified prehistoric archaeologists at appropriate transect intervals.

Report Preparation
The results of the archaeological study and survey will be presented in an Archaeological Survey Report (ASR). The document will conform to Caltrans specifications detailed in the July 2001 (and current updates) Caltrans Environmental Handbook, Volume 2, and the 2014 Programmatic Agreement Among the Federal Highway Administration, the Advisory Council on Historic Preservation, the California State Historic Preservation Officer, and the California Department of Transportation Regarding Compliance with Section 106 of the National Historic Preservation Act, as it pertains to the Administration of the Federal Aid Highway Program in California. If cultural or historic resources are not found, then applicable memorandums will be submitted in accordance with guidelines presented in the 2014 Programmatic Agreement. A Historic Property Survey Report (HPSR) that summarizes the results of the ASR will be prepared. The document will conform to Caltrans specifications detailed in the Caltrans Environmental Handbook.

Deliverables:
• Admin Draft (PDF)
• Draft ASR/HPSR (PDF)
• Final ASR/HPSR (PDFs)
Task 4.2.3 Initial Site Assessment (WBS 165.10.80)
CONSULTANT will review reasonably ascertainable records that will help identify recognized environmental conditions (RECs) in connection with the Site. These records as well as reasonably ascertainable existing documentation, will be reviewed to assess whether there were prior investigations or events and conditions or institutional or engineering controls on the properties and encroaching parcels (per the RFP) relating to spills, discharges, or other activities resulting in contamination or presence of hazardous materials or petroleum products. Consultant will review previously conducted environmental assessments of each of the subject Sites (as provided by the Client) and published lists of regulatory agency investigations and/or enforcement actions, for facilities within the vicinity of the Site.

Consultant will conduct a Phase 1 ISA in accordance with Caltrans’ procedures. The ISA will contain a description of the work performed, deviations from normal ISA procedures, a summary of findings, the opinions of the preparer regarding the property or site, data gaps, additional investigation and services recommended, conclusions, and recommendations.

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Deliverables:
• Draft Phase 1 ISA (PDF)
• Final Phase 1 ISA (PDF)
Task 4.2.4: Natural Environment Study (WBS 165.15.20)
CONSULTANT will prepare a draft and final Natural Environment Study (NES), according to the current format guidelines from Caltrans. This document will compile and integrate data and information from a literature review and current database records, include a description of field methods and results of the field studies and protocol surveys, address sensitive plant and animal species that are known or have potential to occur, assess site physical and hydrological condition, and calculate impacts and mitigation in an appropriate regulatory context.

The NES will update the results of a literature review of federal and State lists of sensitive species and current database records (e.g., CNDDB), a description of the field methods, and the results of the directed surveys. Field work will be conducted by a qualified biologist in order to document the presence/absence of sensitive biological resources (e.g., species or habitats), or to determine the potential for occurrence of such resources that may not be detectable when the field work in conducted. Additional work to support the NES includes acquisition/review of CAD and/or GIS files for the project, impact calculations and analysis, and coordination with the project team on design considerations and BMPs for the construction and post-construction phases. The NES will follow the latest template in the Caltrans SER. The NES will also include discussion on how the proposed project will comply with federal laws, acts and Executive Orders (EO) including by not limited to:
• EO 13112 Invasive Species (including avoidance and minimization measures to prevent the spread of invasive species both in and out of the project site), • EO 11990 Protection of Wetlands,
• EO 11988 Floodplain Management (Natural and Beneficial Floodplain Values), • Migratory Bird Treaty Act, and
• Section 7 of the Federal Endangered Species Act.

Deliverables:
• Admin Draft NES-MI (PDF)
• Draft NES-MI (PDF)
• Final NES-MI (PDF)
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Task 4.2.5: Noise Study Report (WBS 165.10.25)
A reconnaissance of the area project area will be conducted to determine existing land use activities, developed lands, and undeveloped lands for which development is planned, designed and programmed, which may be affected by noise from the project. A listing of sensitive receptors and associated noise measurement sites will be provided. The selection of sensitive receptors and noise measurement sites will follow the guidance provided in the Caltrans TeNS document. A review of land development projects in the area will be conducted to determine if these areas have been approved and whether noise abatement for these areas will need to be considered as part of this project. One (1) long-term measurement and up to eight (8) short-term measurements will be taken to characterize the existing environment and to assist with model calibration.

Noise modeling will be conducted to predict current, future no-build and two (2) build alternatives noise levels using the appropriate noise predictive model TNM 2.5. Prediction is based on inputs such as projected traffic volume (average daily traffic), traffic mix (percentage of truck traffic), topography and distance of the project from the receptors. Peak hour noise in the design year for the proposed project will be modeled at selected noise sensitive receptors based on forecast traffic volumes. Modeling must be adequate to accurately predict the noise levels at each of the receptors, assess the number of properties within 500 feet of the project that are impacted or will be impacted and determine the increase in traffic noise. Predicted noise impacts for the future build alternatives will be compared to the future no-build alternative to determine if a noise impact will occur. If noise impact occur, noise abatement will be considered.

In accordance with FHWA and Caltrans requirements, noise abatement measures will be considered at locations along the alignment where traffic noise impacts are predicted. If traffic noise impacts are predicted at the sensitive receptors, noise abatement measures must be evaluated at these locations.

Noise abatement is only considered where frequent human use occurs and a lowered noise level would be of benefit. A feasible and reasonable analysis will be performed at sensitive receptor locations where a traffic noise impact was predicted. Noise abatement will be evaluated at impacted sensitive receptor locations by varying wall heights until a 5dBA reduction in the future noise level is achieved. Other considerations such as topography, access requirements, other noise sources and safety considerations will be included as part of the feasible review. Those sensitive receptors that are determined to be feasible will undergo a reasonableness review. During the reasonableness review, the Caltrans design goal of 7 dB will used to if a recommended barrier can meet at least a 7 dB or noise reduction at one of more of the benefited receptors and meet requirements of a costbenefit analysis.

CONSULTANT will prepare a NSR based on the Caltrans annotated outline dated February 2008.

The NSR will be prepared in accordance with Caltrans and FHWA requirements to support the CEQA/NEPA environmental documentation. The NSR will take into consideration impacts to frequent outdoor use areas, as defined by FHWA, and recommend abatement measures as appropriate.

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A Draft Technical Noise report would be developed and circulated to the project team electronically for review and comment. The comments from the project team would be incorporated into a Draft NSR and would be developed and circulated electronically to Caltrans, the CITY and the County.

Comments received from Caltrans, the CITY and the County will be reviewed and incorporated and a final version of the NSR will be developed and circulated electronically for Caltrans approval.

Deliverables:
• Admin Draft (PDF)
• Draft Noise Study Report (PDF)
• Final Noise Study Report (PDF)
Task 4.2.6: Noise Abatement Design Report
If sound walls are found to be warranted, a Noise Abatement Decision Report (NADR) will be prepared incorporating the preliminary reasonableness determination from the Noise Study Report.

Each feasible and reasonable sound wall present that meets the Caltrans’ design goal of achieving a 7-dBA reduction an engineering estimate will be developed to determine whether the cost of building the sound wall will fall within the allowable cost allowance. An evaluation of non-acoustical factors related to feasibility, preliminary noise abatement decision, and secondary effects of abatement (impacts on cultural resources, scenic views, hazardous materials, biology, etc.) will also be considered. The NADR will be prepared in accordance with Caltrans’ SER report guidelines.

Deliverables:
• Draft NADR (PDF)
• Final NADR (PDF)
Task 4.2.7: Air Quality Report (WBS 165.10.30)
The Air Quality Report will be prepared in accordance with the latest following protocols/guidelines: EPA Transportation Conformity Guidance for Quantitative Hot-spot Analyses in PM2.5 and PM10 Nonattainment and Maintenance Areas, and the FHWA Interim Guidance on Air Toxic Analysis in NEPA Documents, and Caltrans’ policy on greenhouse gas emissions.

Interagency consultation with Transportation Conformity Working Group will be initiated to determine whether the project is a project of air quality concern (POAQC) and whether a qualitative PM2.5 Hot Spot analysis is sufficient to demonstrate project conformity.

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Currently the SCCAB is designated as federal nonattainment area for ozone. The proposed project is characterized as interchange reconfiguration project. Therefore, it is exempt form regional air quality emissions analysis. Further, the area is in attainment for CO and PM10 and no project air quality conformity analysis is required. The Greenhouse Gas Emissions Analysis will be based on the Caltrans Climate Action Program and will require coordination with District Headquarters staff on the final methodology.

CONSULTANT will prepare the air quality technical report in accordance with Caltrans and FHWA requirements to support the CEQA/NEPA environmental documentation.

Deliverables:
• Admin Draft Air Quality Report (PDF)
• Draft Air Quality Report (PDF)
• Final Air Quality Report (PDF)
• Draft Interagency Consultation Letter (PDF)
• Final Interagency Consultation Letter (PDF)
Task 4.2.8: Water Quality and Hydromodification (WBS 165.10.35) As an optional task and in order to provide the existing physical and regulatory environment information for the water quality, CONSULTANT will: 1) identify and describe the current and upcoming laws that relate to water quality, 2) describe the beneficial uses for potentially affected waters, 3) discuss water quality objectives for potentially affected waters, 4) collect and present monitoring data from other agencies, 5) list potential sources of pollutants, and 6) describe the watershed, existing drainage, and hydrologic conditions. CONSULTANT will evaluate the water quality impacts for each proposed alignment and recommend possible minimization measures to reduce the adverse impacts to water quality. CONSULTANT will also prepare a preliminary hydromodification assessment to determine the magnitude of the impacts and the need for mitigation. CONSULTANT will propose conceptual mitigation measures that meet the criteria set by the Regional Water Quality Control Board. CONSULTANT will document the preliminary findings in the Water Quality Assessment Report, which will follow the Caltrans’ guidelines and requirements.

Deliverables:
• Draft Water Quality Assessment Report (PDF)
• Final Water Quality Assessment Report (PDF)
Task 4.2.9: Location Hydraulic Study and Floodplains (WBS 165.10.60) Attachment D
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Based on CONSULANT’s preliminary qualitative assessments, the Project may potentially result in a floodplain encroachment. Therefore, CONSULTANT will prepare a Floodplain Evaluation Report, which will include the Technical Information for the Location Hydraulic Study and Floodplain Evaluation Report Summary forms, to document the investigation and determine the specific impacts to the floodplain. CONSULTANT design team will work together to evaluate the project’s improvement footprints to minimize impacts to the floodplains.

Deliverables:
• Draft Flood Plain Evaluation Report (PDF)
• Final Flood Plan Evaluation Report (PDF)
Task 4.2.10: Visual Impact Assessment (WBS 165.10.20)
Since the approval of the PEER, new homes have been built that have views of the proposed project. These homes represent a new sensitive viewer group and their presence warrants an evaluation of how their visual environment will change. CONSULTANT will prepare a visual impact assessment for the project. The report will follow methodology and protocol developed by FHWA and adopted by Caltrans and will include a discussion of the methodology, terms, and thresholds for significance; an overview of applicable local, state, and federal policies and guidelines regarding visual resources (including the general plan and state scenic highway guidelines); a description of the regional visual character and area-specific landscape view shed units (which comprise the baseline conditions for assessing aesthetic impacts); a characterization of viewer groups and their responses to changes in views; an impact analysis which will focus on changes in key views, overall visual character, nighttime light, and daytime glare; and recommendations and mitigation measures to lessen potential project impacts. Up to two visual simulations are included in this scope.

The Visual Impact Assessment will be reviewed and stamped by a licensed landscape architect before submittal.

Deliverables:
• Admin Draft Visual Impact Assessment (PDF)
• Draft Visual Impact Assessment (PDF)
• Final Visual Impact Assessment (PDF)
Task 4.2.11: Section 4(f)/6(f) De Minimis Memorandum (WBS 165.25.10) The proposed project includes the realignment of the Santa Maria Levee Trail which is considered a 4(f) and 6(f) resource since it is a public recreational area and was funded by the Land & Water Conservation Fund Act. The Santa Maria Levee Trail is located on the top of the Santa Maria Levee on the northeastern edge of the project area with a connection from a parking area adjacent to the US 101 northbound ramp to the levee. Section 4(f) of the Department of Transportation Act Attachment D
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applies whenever a federal action involves the use of a publicly-owned park, recreation area, wildlife or waterfowl refuge, or land from a historic site. This project has the potential to temporarily “use” the Santa Maria Levee Trail access located in the project area. In addition, State and local governments often obtain grants through the Land and Water Conservation Fund Act to acquire or make improvements to parks and recreational areas. Section 6(f) of this Act prohibits the conversion of property acquired or developed with these grants to a non-recreational purpose without the approval of Department of Interior’s (DOI) National Park Service. CONSULTANT will consult with Caltrans Local Assistance and the National Parks Service, as needed, in the development of a joint Section 4(f) / 6(f) de minimis Memorandum. A de minimis Memorandum is assumed the appropriate level of documentation because the parking lot and trail will be realigned to conform to ramp improvements. CONSULTANT will provide information for the de minimis documentation, including a detailed description of the Section 4(f) / 6(f) property, construction methods and avoidance measures, to be formatted in accordance with the Caltrans SER, Volume 1, Chapter 20 and 37.

Deliverables:
• Admin Draft 4(f)/6(f) De Minimis Memorandum (PDF)
• Draft 4(f)/6(f) De Minimis Memorandum (PDF)
• Final 4(f)/6(f) De Minimis Memorandum (PDF)
Task 4.3: Prepare CEQA and NEPA Documentation (WBS 165.25 and WBS 165.30)
An Initial Study/Mitigated Negative Declaration (IS/MND) would be required for the project to comply with CEQA and an Environmental Assessment (EA) and Finding of No Significant Impact (FONSI) would be required for project clearance under NEPA. For the purposes of this scope of work, CONSULTANT is assuming the EA will follow the “Routine EA” process.

To achieve CEQA and NEPA compliance, an IS/EA will be prepared pursuant to Caltrans standards as a joint CEQA/NEPA document. The IS/EA will be reviewed and recommended for signature by the Caltrans Headquarters Legal staff for requirements under NEPA and for signature by CITY staff for requirement under CEQA.

The CONSULTANT will prepare the IS/MND document and public notices. The CITY will mail the public notices.

Task 4.3.1: Draft Environmental Document
The CONSULTANT will prepare an Initial Study (IS)/Environmental Assessment for the project.

It is the goal of the IS/EA to support adoption of a Mitigated Negative Declaration (MND)/Finding of No Significant Impact by the CITY and Caltrans, respectively. Several technical reports and memorandums will be prepared in previous tasks of the project to support the Attachment D
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conclusions of the IS/EA. An outline of the document will be submitted to the project team for review before document preparation begins.

Deliverables:
• It is anticipated that three rounds of iterative review of the Draft IS/EA will be required for this project.
• Administrative Draft IS/EA (PDF)
• Draft IS/EA (PDF)
Task 4.3.2: Prepare and Submit Draft Environmental Document Once the Draft IS/EA has been approved by both CITY and Caltrans, it will be circulated for public review for a period of 30 days. The IS/EA has a critical objective of providing a means by which the general public and responsible agencies can participate in the environmental process by providing written comments on issues addressed in the IS/EA.

Pursuant to NEPA and CEQA requirements, Caltrans will prepare a Notice of Availability (NOA) and the CONSULTANT will prepare a Notice of Completion (NOC) for the Draft IS/EA. This notice, along with the draft environmental document and technical studies, will be made available to the public during a 30-day public circulation and review period. In addition, the document will be distributed to other reviewing government agencies through the California State Clearinghouse. The CONSULTANT will prepare and submit the copies for the State Clearinghouse.

During the 30-day public review period, the CITY will hold a Public Hearing to solicit comments about the project. The CONSULTANT will attend this hearing to answer questions regarding the project, potential environmental impacts, as well as the environmental schedule. The CONSULTANT will work with the CITY to record comments at this hearing, and responses will be generated during the next task. CONSULTANT will compile public comments from this hearing and public review for response and inclusion in the final environmental document.

Deliverables:
• Public Circulation IS/EA (PDF and 50 hard copies)
• Notice of Completion (NOC) to the State Clearing House and deliver 15 bound copies of the Draft IS/EA
• Public Meeting Comment Review Matrix (PDF)
Task 4.3.3: Final Environmental Document
Attachment D
17 Atty. Rev. 2022
The CONSULTANT will then formulate responses to the comments on the Draft IS/EA. Once draft responses to comments are completed, they will be reviewed and then submitted to the CITY and Caltrans staff for review and comment.

The CONSULTANT will prepare an Environmental Commitment Record, including monitoring forms, to convey that the environmental measures contained in the final IS/EA are to be implemented. The Environmental Commitment Record will be included as an appendix in the final IS/EA. This Environmental Commitment Record will be useful during final design, permitting, and construction of the project as it is a summary of avoidance, minimization, and mitigation measures developed during the environmental process.

The final IS/EA will incorporate the response to comments and environmental commitments record. Caltrans will draft the Finding of No Significant Impact (FONSI) and the CITY will draft a MND, detailing the reasons for deciding that the action will not have a significant effect on the environment. Formal distribution of a FONSI is not required; however, an EA, at a legal minimum, must be made available for public review upon request for at least 30 days before making a final determination. The CONSULTANT will assist Caltrans in the preparation of a Notice of Availability (NOA) of the FONSI that will be sent to the affected units of federal, state and local government and to the State Clearinghouse in compliance with Executive Order 12372.

The CONSULTANT will file a Notice of Determination with the Santa Barbara County Recorder’s Office within 5 days of approval of the Final IS/MND (pursuant to CEQA guidelines) and provide the CITY’s payment of Fish and Game Fees pursuant to Fish and Game Code Section 711.4.

Deliverables:
• It is anticipated that three rounds of iterative review of the Draft/Final IS/EA and response to comments chapter will be required for this project. • Draft Final IS/MND/EA/FONSI (PDF)
• Draft/Final Environmental Commitments Record
• Notice of Determination (NOD)
• Final IS/MND/EA/FONSI and MMRP (PDF and 50 hard copies) Task 7: Right of Way (WBS 160.20)
Task 7.3: Prepare Preliminary Acquisition Estimates (WBS 160.10.40) The CONSULTANT will prepare preliminary right of way estimates conforming to the requirements described in Chapter 4 of the Caltrans Right of Way Manual for inclusion in right of way data sheets. No formal appraisals are included.

Attachment D
18 Atty. Rev. 2022
Task 7.4: Right of Way Data Sheets (WBS 160.10.40)
The CONSULTANT will compare and summarize right of way impacts for each alternative. Data sheets will summarize the number of parcels potentially affected, impacts to property access and will include a preliminary opinion of probable right of way acquisition costs.

Consultant will list anticipated right of way acquisitions and use appraisal principles of comparable properties, assessor’s information, multiple listing service sales data, observed listings and information from brokers to prepare estimated opinion of probable right of way acquisition costs.

Costs will consider estimated loss of goodwill for businesses impacted by the project. This will be documented in the Right of Way Data Sheets.

Deliverables:
• Draft Right of Way Data Sheets (PDF)
• Final Right of Way Data Sheets (PDF)
Task 8: Preliminary Design (WBS 160.10)
The CONSULTANT will evaluate two additional alternatives for the interchange in addition to the initial three alternatives and required No-Build project. This includes the roundabout loop and DDI.

Task 8.1: Refine/Evaluate Conceptual Alignments (WBS 160.10.15) Based upon the results of the traffic operations analysis, project mapping, geotechnical study, available data, and input from the CITY, the CONSULTANT will evaluate the conceptual alternatives for the project. The CONSULTANT will prepare the alignment drawings that will serve to establish the project footprint for subsequent environmental studies.

Deliverable:
• Conceptual Engineering Alternative Alignment Exhibits (PDF) Task 8.2: Geometric Approval Drawings (WBS 160.45)
CONSULTANT will prepare additional GADs for the roundabout loop and DDI alternatives.

CONSULTANT will update the Geometric Approval Drawing (GAD) package to include HSM elements and obtain approval of the alignment geometrics. CONSULTANT will prepare the GAD in accordance with Caltrans GAD requirements and add design standard decision document exceptions onto the GAD. The purpose of the GAD is to demonstrate that the proposed design meets the requirements of the Highway Design Manual and formally confirm that the design meets the operational needs of the facility. In addition, the GAD provides the foundation for the project Attachment D
19 Atty. Rev. 2022
base map, the CONSULTANT will prepare and update the GAD submittal package which includes plan view exhibits, profiles with super-elevation diagrams, and typical sections.

Deliverable:
• GADs and Updates(PDF)
Task 8.3: Design Exception Fact Sheets (Design Standard Decision Documents) (WBS 160.15.05)
The CONSULTANT will evaluate alternatives for non-standard features that are identified in the Design Information Bulletin (DIB) 78. The DIB 78 will be used in conjunction with the Caltrans Highway Design Manual and compared to non-delegated, delegated, procedural, and permissive designs. Design Standard Decision Documents (DSDD) will be identified for each alternative in the Draft Project Report.

CONSULTANT will prepare Design Standard Decision Documents for identified non-standard features and will submit to Caltrans for review and approval. The Design Standard Decision Documents will be prepared in accordance with Chapter 21 of the Project Development Procedures Manual, “Exceptions to Design Standards”. The signed Design Standard Decision Documents will become an attachment to the Draft and Final Project Report.

Deliverables:
• Draft Design Standard Decision Documents (PDF)
• Final Design Standard Decision Documents (PDF)
Task 8.4: Structures Advanced Planning Studies (WBS 160.10.85) The CONSULTANT will update the Advance Planning Studies (APS) for the proposed overcrossing based on the roundabout loop and DDI alternatives.

The advanced planning studies will adhere to current Caltrans detailing and formatting requirements as specified in Section 3-2 “Advance Planning Studies” of Caltrans OSFP Information and Procedures Guide as well as in Caltrans Memo to Designers 1-8 “Advance Planning Studies”. The itemized opinion of probable structure construction cost estimate will be based on approximate quantity estimates using tables from Caltrans Bridge Design Aids manual.

Deliverables:
• Draft Advance Planning Studies (PDF)
• Final Advance Planning Studies (PDF)
Attachment D
20 Atty. Rev. 2022
Task 8.6: Cost Estimates (WBS 160.15.05)
The CONSULTANT will prepare Caltrans standard 11-page cost estimates for the build alternatives (up to three). The unit costs for construction items will be based on current bids. Opinion of probable construction cost will include roadway items, structure items, and right of way items.

Opinion of probable construction cost estimates will be reviewed by the project manager and project engineer.

Deliverable:
• Opinion of Probable Construction Cost Estimates (PDF) Task 8.7: Risk Register (WBS 100.05.05)
CONSULTANT will prepare a qualitative risk register per Caltrans Project Delivery Directive PD09. The risk register will include a list of identified risks, the results of prioritizing risks, risk owner/responsible party and agreed upon risk response strategy. Objectives are agreed-upon delivery targets such as cost, time, scope and quality. The risk register will be discussed by the PDT team at which time issues that are not considered a risk will be removed. The risk register will be included in the project report.

Deliverable:
• Draft and Final Risk Register (PDF)
Task 8.8: Safety and Constructability Meeting (WBS 100.10.05) CONSULTANT will schedule and help facilitate a combined Safety and Constructability review meetings with Caltrans staff in accordance with Caltrans practices. The review meetings will be held after submittal of Draft Project Report and after selection of the preferred alternative. Comments will be consolidated into their appropriate logs and responses formulated. Where appropriate, the comments will be incorporated into the preliminary design and project report.

Deliverables:
• Meeting Minutes (PDF)
• Comments, responses and resolution (PDF and 5 hard copies) Task 8.9: Modified/New Public Road Connection (WBS 160) The CONSULTANT will coordinate with Caltrans to acquire approval from CTC for a modified/new public road connection to US-101 and Broadway Street (SR-135). CONSULTANT will prepare a Modified/New Connection Report for the concept approval process.

CONSULTANT will coordinate with the CITY to prepare a resolution requesting the Attachment D
21 Atty. Rev. 2022
modified/new public road connection for the US-101 and Broadway Street (SR-135) interchange.

CONSULTANT will also assist in preparation of a new freeway agreement. With concurrence from Caltrans, the project report may be used for final approval of the modified/new connection in-lieu of a separate modified/new connection report.

Deliverables:
• Admin. Draft Modified/New Connection Report (PDF)
• Draft Modified/New Connection Report (PDF)
• Final Modified/New Connection Report (PDF)
• Freeway Agreement support documents (PDF)
Task 9: Project Report (WBS 160 & 180)
The CONSULTANT will prepare a Project Report (PR) in accordance with the Caltrans Project Development Procedures Manual, Appendix K, “Preparation Guidelines for Project Report”.

Task 9.1: Draft Project Report (WBS 160)
The CONSULTANT will prepare an Administrative Draft Project Report that will be submitted to the CITY and other stakeholders as appropriate. After addressing comments, the CONSULTANT will prepare a Draft Project Report for submittal to the CITY and Caltrans. The Draft Project Report will be completed after completion of the environmental studies. The Draft Project Report will generally include the following: Cover Sheet, Vicinity Map, Introduction, Recommendation, Background, Purpose and Need, Viable Alternatives, Considerations Requiring Discussion, Other Considerations as Appropriate, Programming, Reviews, and Project Personnel. In addition, the Draft Project Report will include the following attachments:
• Location Map
• Project Build Alternatives
• Typical Sections, Layouts and Profiles
• Advanced Planning Studies
• Preliminary Opinion of Probable Construction Cost Estimates • Environmental Document (Signed cover)
• Right of Way Data Sheets with Utility and R/W Exhibits • Transportation Management Plan Data Sheets
Attachment D
22 Atty. Rev. 2022
• Storm Water Data Report (PE and PM signed cover page) • Noise Abatement Decision Report (signed cover page)
• Risk Register
Deliverables:
• Admin Draft Project Report (PDF)
• Draft Project Report (PDF)
• 2nd Draft Project Report (PDF)
Task 9.2: Final Project Report (WBS 180)
Following public circulation of the draft Environmental Document, consideration of public comments and the selection of a preferred alternative, the Draft Project Report will be revised to create the Final Project Report. Sections and attachments of the Draft Project Report will be included in the Final Project Report. The final environmental document will be attached to the Final Project Report.

Deliverables:
• Admin Final Project Report (PDF)
• Draft Final Project Report (PDF)
• 2nd Draft Final Project Report (PDF)
• Final Project Report (PDF)
Attachment D
23 Atty. Rev. 2022
EXHIBIT “B”

PAYMENT
I. Progress Authorization
Written authorization to proceed from the City authorizes the Consultant to generate the not-to- exceed cost of TWO MILLION SIX HUNDRED AND TWELVE THOUSAND TWENTY-THREE DOLLARS WITH THIRTY-FOUR CENTS ($2,612,023.34) in fees for all work.

Task 1: Project Management (WBS 100) $ 131,448
Task 2: Topographic Survey (WBS 160.20) $ 44,018
Task 3: Engineering Studies (WBS 160.10) $ 233,391
Task 4: Environmental Document (WBS 165) $ 225,563
Task 5: Public Outreach (WBS 175 &185) $ 50,251
Task 6: Utility Mapping (WBS 160.10.45) $ 17,966
Task 7: Right of Way (WBS 160.20)
Task 8: Preliminary Design (WBS 160.10)
Task 9: Project Report (WBS 160 & 180)
Direct Cost
$ 21,118
$ 181,615
$ 34,404
$ 60,222
Original Costs: $ 999,996

AMENDMENT #1
Task 1: Project Management (WBS 100) $ No additional Cost Task 2: Topographic Survey (WBS 160.20) $ 1,593.74
Task 3: Engineering Studies (WBS 160.10) $ 5,973.74
Task 4: Environmental Document (WBS 165) $ 983.12
Task 5: Public Outreach (WBS 175 &185) $ 2,550.49
Task 6: Utility Mapping (WBS 160.10.45) $ 15,348.96
Task 7: Right of Way (WBS 160.20) $ 1,551.49
Direct Costs $ 6,954.03
Amendment #1 total: $ 34,955.57
AMENDMENT #2
Task 1: Project Management (WBS 100) $ 200,749.25
Task 2: Topographic Survey (WBS 160.20) $ 23,489.88
Task 3: Engineering Studies (WBS 160.10) $ 321,056.24
Task 4: Environmental Document (WBS 165) $ 252,375.48
Task 7: Right of Way (WBS 160.20) $ 9,516.20
Task 8: Preliminary Design (WBS 160.10) $ 453,171.21
Task 9: Project Report (WBS 160 & 180) $ 207,701.23
Attachment D
24 Atty. Rev. 2022
Other Direct Cost $ 106,330.00
Anticipated Salary Increase $ 2,682.27
Amendment #2 total: $1,577,071.77
II. Invoice procedure.

A. Payment shall be at the conclusion of the Project based on the billable charges.

B. The Consultant shall present the bill for charges by the second day of the month.

C. The Consultant's bill shall be substantiated by appropriate documentation, and include an itemized listing of personnel, subcontractors, and other direct costs incurred.

III. Maximum billable amounts
Under no circumstance shall the total of all payments to the Consultant exceed ninety percent (90%) of the maximum not-to-exceed cost, prior to acceptance by the City of all items to be completed as noted within Exhibit "A".

Attachment D
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Attachment D

COUNCIL AGENDA REPORT
TO: Mayor and City Council
FROM: Brett Fulgoni, Director of Public Works
DATE: November 18, 2025
SUBJECT: Adoption of a Resolution Authorizing an Increase in Project Contingency for the Citywide Road Resurfacing Project, Bid No. 2025- 01 Description:

The City Council will consider approving an increase of $100,000 to the project contingency for the Citywide Road Resurfacing Project, Bid No. 2025-01, to accommodate potential overruns in material quantities and ensure sufficient funds are available to complete the project in accordance with City standards.

Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required.

RECOMMENDATIONS:

1. Adopt a Resolution authorizing an increase of $100,000 to the project contingency for the Citywide Road Resurfacing Project, Bid No. 2025-01; and

2. Authorize the City Manager, or designee, to approve project change orders and expenditures within the revised contingency amount.

BACKGROUND:

On August 5, 2025, the City Council awarded Bid No. 2025-01 to Pavement Coatings Co. in the amount of $2,910,328.82 for the Citywide Road Resurfacing Project. The project includes the application of chip seal and fog seal , along with pavement markings and striping replacement throughout various City streets to extend pavement life and reduce long-term maintenance costs.

Several change orders have been issued to date to address unforeseen field conditions and adjustments required to meet City standards. As the project progresses, staff anticipates potential material quantity overruns and cost impacts that may exceed the current authorized contingency level.
2 DISCUSSION:

To ensure the project can be completed in full compliance with City standards without delay, staff recommends increasing the project contingency by $100,000. This adjustment will provide the necessary flexibility to process future change orders related to quantity adjustments or other field conditions that arise during construction.

No changes to the existing contract or scope of work are proposed. All modifications will continue to be processed through standard change order procedures within the limits of the revised contingency.

Alternative(s)
The City Council may choose not to approve the contingency increase; however, this may delay completion or require separate future budget authorization if available funds are exceeded.

Fiscal Considerations
The City Council originally approved a total project budget of $3,492,394.58, which included a 15% contingency of $436,549.32. The proposed increase of $100,000 will adjust the total project budget to $3,592,394.58.

Funding for this increase will be provided from existing appropriations within the Enhanced Roadway Maintenance Fund (SB-1, Gas Tax, and Measure A accounts). No additional appropriations outside of these funding sources are required .

Impact on the Community
This adjustment ensures sufficient resources are available to complete the resurfacing project to City standards, maintaining roadway safety and quality for motorists, cyclists, and pedestrians throughout Santa Maria.

ATTACHMENT(S)
A. Resolution
B. Original Agreement
Attachment A

Page 1 of 2 ends

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF SANTA MARIA, CALIFORNIA
AUTHORIZING AN INCREASE OF $100,000 TO THE

PROJECT CONTINGENCY FOR THE CITYWIDE ROAD
RESURFACING PROJECT, BID NO. 2025-01
WHEREAS, on August 5, 2025, the City Council awarded Bid No. 2025-01 to Pavement Coatings Co. in the amount of $2,910,328.82 for the Citywide Road Resurfacing Project; and
WHEREAS, the current project contingency of $436,549.32 is anticipated to be insufficient due to potential material quantity overruns and other field conditions; and WHEREAS, to ensure completion of the project in accordance with City standards, staff recommends increasing the contingency amount by $100,000; and WHEREAS, the total authorized project budget, including the revised contingency, will be $3,592,394.58.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, California, as follows:

SECTION 1. Authorizes an increase of $100,000 to the project contingency for the Citywide Road Resurfacing Project, Bid No. 2025-01, for a revised total project budget of $3,592,394.58; and
SECTION 2. Authorizes the City Manager, or designee, is authorized to approve change orders and expenditures within the revised contingency limit; and SECTION 3. The Chief Deputy City Clerk is hereby authorized to make minor changes herein to address clerical errors, so long as substantial conformance of the intent of this document is maintained. In doing so, the Chief Deputy City Clerk shall consult with the City Manager and City Attorney concerning any changes deemed necessary.

Attachment A

Page 2 of 2 ends

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Santa Maria, California, held this 18th day of November 2025.

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Attachment B

COUNCIL AGENDA REPORT
TO: Mayor and City Council
FROM: Brett Fulgoni, Director of Public Works
DATE: November 18, 2025
SUBJECT: Adoption of a Resolution Approving the Removal of No Stopping Zones on Western Avenue, Carmen Lane, And Sonya Lane and Establishment of a Passenger Loading Zone on Western Avenue Description:

The City Council will consider approving the removal of existing No Stopping Zones on Western Avenue, Carmen Lane, and Sonya Lane, and the establishment of a Passenger Loading Zone on Western Avenue adjacent to Jimenez Elementary School. These changes, along with additional roadway modifications, including the installation of a protected two-way cycle track and reconfiguration of on-street parking, are intended to better reflect current roadway use, improve school-related pick-up and drop-off operations, and enhance safety for both students and cyclists.

RECOMMENDATION:

Adopt a Resolution approving the removal of existing No Stopping Zones on Western Avenue, Carmen Lane, and Sonya Lane; and establishing a Passenger Loading Zone on Western Avenue, adjacent to Jimenez Elementary School, pursuant to California Vehicle Code Section 21458.

BACKGROUND:

Jimenez Elementary School staff, parents, and members of the cycling community have expressed concerns regarding limited pick-up/drop-off space, limited parking, and cyclist safety along Western Avenue, Carmen Lane, and Sonya Lane. These roadways currently contain Class II bike lanes and “No Stopping” zones on both sides of the roadway, which limit access and flexibility for school-related activities.

To address community concerns, the City hosted a town hall meeting on May 19, 2025, at Jimenez Elementary School. Three design options were presented to attendees, including school staff, parents, and local cyclists. Option 1 proposed no modifications.

Option 2 included a protected cycle track adjacent to the school, with on-street parking on the opposite side of the roadway. Option 3 reversed this configuration, placing onstreet parking adjacent to the school and the protected cycle track on the opposite side. 2 By a show of hands, Option 3 emerged as the preferred alternative, supported by the majority of attendees and both assistant principals. This option includes removal of the existing bike lanes, reconfiguration of curb use, and construction of a protected two-way cycle track. A portion of the new on-street parking adjacent to the school would be designated as a Passenger Loading Zone (see Attachment A).

This proposed configuration deviates from the City’s adopted Active Transportation Plan (ATP) dated November 2020. The current ATP identifies a Class I Shared Use Path along Western Avenue and no modifications to the existing Class II Bike Lanes on Carmen Lane and Sonya Lane. In contrast, this project proposes Class IV Separated Bikeways along Western Avenue, Carmen Lane, and Sonya Lane.

Public Works staff finds this deviation justified, as the proposed improvements better reflect existing roadway conditions and current use patterns, particularly in the vicinity of Jimenez Elementary School.

DISCUSSION:

The proposed changes aim to improve school-related circulation and safety for both pedestrians and cyclists. These modifications include:
 Remove existing No Stopping Zones along Western Avenue, Carmen Lane, and Sonya Lane, and introduce on-street parking adjacent to Jimenez Elementary School and Aquistapace Park.
 Establish a Passenger Loading Zone on the west side of Western Avenue, directly adjacent to Jimenez Elementary School.
 Install a protected two-way cycle track on Western Avenue, Carmen Lane, and Sonya Lane, opposite the school and park frontages.

The Passenger Loading Zone is proposed to operate during school hours only to minimize impacts on residents while supporting efficient and safe student drop-off and pick-up activity.

Per Section 22507 (a) of the California Vehicle Code, “Local authorities may, by ordinance or resolution, prohibit or restrict the stopping, parking, or standing of vehicles, including, but not limited to, vehicles that are six feet or more in height (including any load thereon) within 100 feet of any intersection, on certain street or highways, or portions thereof, during all or certain hours of the day.”
The Traffic Committee has reviewed the request and recommends the proposed Passenger Loading Zone on Western Avenue. The City Council has the authority to restrict parking within certain areas of the City.
3 Alternative(s)
The City Council may approve the proposed modifications as recommended, modify specific elements of the proposal, or decline to implement the changes at this time.

Fiscal Considerations
Sufficient funds for miscellaneous roadway projects, including this one, have been budgeted in FY 2025/2026 under the account titled “Various Street Improvements” (7200- FD463-CC1120-SC7425). The estimated total cost to implement this project, including construction, contingency, inspection, and staff time, is $75,000.

Impact on the Community
The proposed changes are expected to improve student safety and drop-off efficiency near Jimenez Elementary School. The project will enhance bicycle accommodation through the installation of protected infrastructure and restore limited on-street parking for residents and school visitors. Approximately thirty (30) parking spaces will be affected by the new Passenger Loading Zone. The cycle track will replace the previously striped bike lanes and provide greater separation from traffic, contributing to an overall safer and more organized roadway environment.

ATTACHMENT(S)
A. Resolution
B. Proposed Passenger Loading Zones Neighborhood North of Pioneer Valley High School C. Cross-sectional View
D. Design Information for Two-Way Class IV Bikeway
Attachment A

Page 1 of 2 ends

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF SANTA MARIA, CALIFORNIA

APPROVING THE REMOVAL OF EXISTING NO STOPPING ZONES

ON WESTERN AVENUE, CARMEN LANE, AND SONYA LANE, AND

ESTABLISHING A PASSENGER LOADING ZONE ON WESTERN AVENUE

ADJACENT TO JIMENEZ ELEMENTARY SCHOOL,
PURSUANT TO CALIFORNIA VEHICLE CODE SECTION 21458
WHEREAS, it is in the best interest of the City of Santa Maria to establish Passenger Loading Zones at certain locations within the City to improve safety and circulation; and
WHEREAS, the City of Santa Maria Traffic Committee has reviewed and recommends the establishment of a Passenger Loading Zone along Western Avenue adjacent to Jimenez Elementary School; and
WHEREAS, the proposed Passenger Loading Zone will enhance student drop-off and pick-up operations, improve pedestrian safety, and support more efficient traffic flow near the school.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, California, as follows:

SECTION 1. Pursuant to Section 21458 of the California Vehicle Code, a passenger loading zone shall be established along the west side of Western Avenue, beginning at the southwest curb return at Western Avenue and Carmen Lane, and extending north for approximately seven hundred fifty (750) feet. All work shall be accomplished in accordance with City standards and specifications, as approved by the Director of Public Works/City Engineer; and
SECTION 2. The Chief Deputy City Clerk is hereby authorized to make minor changes herein to address clerical errors, so long as substantial conformance of the intent of this document is maintained. In doing so, the Chief Deputy City Clerk shall consult with the City Manager and City Attorney concerning any changes deemed necessary. ///
///
Attachment A

Page 2 of 2 ends

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Santa Maria, California, held this 18th day of November 2025.

ATTEST:

COUNCIL AGENDA REPORT
TO: Mayor and City Council
FROM: Brett Fulgoni, Director of Public Works
DATE: November 18, 2025
SUBJECT: Adoptin of a Resolution Approving Acceptance of a U.S. Department of Homeland Security (DHS) and Federal Emergency Management Agency (FEMA) Grant
Description:

The City Council will consider adoption of a Resolution approving acceptance of a grant in the amount of $375,000 to develop a City of Santa Maria Flood Mitigation Master Plan.

RECOMMENDATIONS:

1. Adopt a Resolution authorizing the City Manager, or designee, to accept a FEMA grant in the amount of $375,000, and authorize the City Manager, or designee, to authorize appropriation of said grant funds; and

2. Authorize the Finance Director to appropriate $125,000 from the Growth Mitigation Fund as the local match to support the development of a City of Santa Maria Flood Mitigation Master Plan.

BACKGROUND:

On April 7, 2020, the Santa Maria City Council passed a Resolution authorizing its agent(s) to provide to the Governor’s Office of Emergency Services all assurances and agreements required for state disaster assistance. Furthermore, Resolution No. 2020-22 (Attachment B) states, “This is a universal resolution and is effective for all open and future disasters up to three years following the date of approval below.” This grant was issued in response to Federal Disaster # FEMA-4699-DR-CA for flooding declared on April 3, 2023, within the three-year time period following passage of the Council Resolution. Per the award, CalOES will provide $375,000 to the City on a reimbursement basis. The City will contribute $125,000, as approved by Interim City Manager Alexander Posada and submitted to the California Office of Emergency Services (CalOES) on October 18, 2023.
2 DISCUSSION:

The City of Santa Maria applied for and was awarded an Advance Assistance grant from DHS and FEMA in the amount of $375,000 (see Attachment C). The grant is administered by CalOES and will be used to create a Santa Maria Flood Mitigation Master Plan.

The Master Plan will identify issues that caused the drainage system to become overburdened during the floods of early 2023. It will evaluate problem areas, deficiencies, and other issues in the storm drainage system and may include up to a 10% design for future construction projects. This work will likely lead to an implementation project to address critical storm drain infrastructure needs.

Alternative(s)
The City Council could choose to deny acceptance of the grant funds. However, staff does not recommend this action, as it would forgo $375,000 in federal assistance.

Fiscal Considerations
Acceptance of the $375,000 grant for a Citywide Flood Mitigation Master Plan represents 75% of the total project cost. The award requires a local match of $125,000 from the Growth Mitigation Transportation Fund. Sufficient funds are available to meet this match requirement.

Impact on the Community
The Flood Mitigation Master Plan will help identify and prioritize future drainage improvements to reduce the impacts of future flooding events.

ATTACHMENT(S)
A. Resolution
B. City of Santa Maria Resolution No. 2020-22
C. Cal OES Approval Letter
Attachment A

Page 1 of 2 ends

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF SANTA MARIA, CALIFORNIA

AUTHORIZING THE CITY MANAGER, OR DESIGNEE,
TO ACCEPT A FEMA GRANT IN THE AMOUNT OF $375,000

AND AUTHORIZE THE CITY MANAGER, OR DESIGNEE, TO

AUTHORIZE APPROPRIATION OF SAID GRANT FUNDS
WHEREAS, on April 7, 2020, the Santa Maria City Council passed Resolution No. 2020-22 authorizing its agent(s) to provide to the Governor’s Office of Emergency Services all assurances and agreements required for state disaster assistance; and WHEREAS, on April 3, 2023, the Federal Emergency Management Agency (FEMA) declared Federal Disaster No. FEMA-4699-DR-CA for flooding; and WHEREAS, as a result of the declared federal disaster, City staff applied for grant funding to support improvements to the City’s drainage system, which was overburdened during the 2023 storms; and
WHEREAS, on June 12, 2025, the U.S. Department of Homeland Security, through FEMA, notified the California Governor’s Office of Emergency Services of approval to issue funding through the Hazard Mitigation Grant Program (HMGP) for the City of Santa Maria in the amount of $375,000, with a $125,000 non-federal share, for a total project cost of $500,000; and
WHEREAS, on July 10, 2025, the California Governor’s Office of Emergency Services informed the City of Santa Maria that FEMA had approved the City’s subaward application in the amount of $375,000.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, California, as follows:

SECTION 1. Authorizes acceptance of the grant funds and approves the appropriation of $375,000 in said funding; and
SECTION 2. The City Council authorizes the Finance Director to appropriate $125,000 from the Growth Mitigation Fund as the local match to support the project; and SECTION 3. The City Council authorizes the City Manager, or designee, to execute all forms and documents, and to coordinate the implementation of the grant and awarded project, including amending the Engineering Division’s adopted Fiscal Year 2025-2026 Budget to reflect receipt of said grant; and
SECTION 4. The Chief Deputy City Clerk is hereby authorized to make minor changes herein to address clerical errors, so long as substantial conformance of the intent Attachment A

Page 2 of 2 ends

of this document is maintained. In doing so, the Chief Deputy City Clerk shall consult with the City Manager and City Attorney concerning any changes deemed necessary.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Santa Maria, California, held this 18th day of November 2025.

ATTEST:

RECOVERY FINANCIAL PROCESSING UNIT
(916) 845-8110
July 10, 2025
Ryan Provost
Engineer I
Santa Maria, City of
110 East Cook Street
Santa Maria, CA 93454
Subject: Notification of Subapplication Approval
Hazard Mitigation Grant Program
FEMA-4699-DR-CA, Project #AP01121, FIPS #083-69196,
Supplement #31
Dear Mr. Provost:

The California Governor’s Office of Emergency Services (Cal OES) received notification that the Federal Emergency Management Agency (FEMA) has approved your organization’s subaward application in the amount of $375,000.00. A copy of the FEMA award package is enclosed for your records.

In order to receive payment as a grant subrecipient, your organization must have the following on file with the Recovery Financial Processing Unit:
 A valid, current (approved within the last 3 years) Governing Body Resolution
 A Project Assurances for Federal Assistance agreement  A Supplemental Grant Subaward Information sheet
 A current Federal Funding Accountability and Transparency Act (FFATA) Financial Disclosure form. This form must be submitted each fiscal year.  An active registration with the federal System for Award Management (SAM) website. The registration must remain active for the duration of this grant subaward.

For your convenience, this subapplication approval package includes the required post-obligation documents as well as guides to completing and renewing a SAM registration. Please complete the documents and mail copies to the address listed at the end of this letter, keeping the originals with your records.

Alternatively, you may scan and email the completed documents to the Recovery Financial Processing Unit at [email protected].

Electronic copies of the post-obligation documents can also be requested at the same address.

GAVIN NEWSOM

GOVERNOR

NANCY WARD

DIRECTOR
Attachment C
Mr. Provost

Page 2 ends

3650 SCHRIEVER AVENUE  MATHER, CA 95655

RECOVERY FINANCIAL PROCESSING UNIT
(916) 845-8110
Payments will be made on a reimbursement basis using the enclosed Hazard Mitigation Reimbursement Request Form. A ten percent (10%) retention will be withheld from all reimbursement payments and will be released as part of the subaward closeout process.

Reimbursements can be made only for items listed on the approved subaward application. Expenditures for any other work should be separately maintained and are the sole responsibility of the subrecipient. Any funds received in excess of current needs or approved amounts, or those found owed as a result of a final inspection or audit, must be refunded to the State within 30 days of receipt of an invoice from Cal OES.

When mailing documents to the Recovery Financial Processing Unit, please use the following address:

California Governor’s Office of Emergency Services
Attention: Recovery Financial Processing Unit
3650 Schriever Avenue
Mather, CA 95655
For further assistance regarding post-obligation documents or the reimbursement request process, please contact the Recovery Financial Processing Unit at (916) 845-8110 or at [email protected]. For program-related questions, please contact the Hazard Mitigation Grants Program Unit at (916) 328-7450.

Recovery Financial Processing Unit
Enclosures
c: Subrecipient’s Project File
*The Recovery Financial Processing Unit has the City’s universal Resolution No. 2020-22, passed on 4/7/20, on file. Although this resolution is older than three years, it remains valid for Disaster 4699, which was declared on 4/3/23. A copy of the resolution is included in this package for your review. With the written permission of an Authorized Agent, the resolution can be applied to this project.

Attachment C

RECEIVED
JUN 18 2025

FINANCIAL PROCESSING UNIT
Attachment C
Attachment C
Attachment C
Attachment C
Attachment C
Attachment C
Attachment C
Attachment C

COUNCIL AGENDA REPORT
TO: Mayor and City Council
FROM: Shad S. Springer, Director of Utilities
DATE: November 18, 2025
SUBJECT: Adoption of a Resolution Authorizing Disposal Fees for the Santa Maria Regional Landfill Effective January 1, 2026
Description:

The City Council will consider adopting a Resolution setting disposal fees for the Santa Maria Regional Landfill effective January 1, 2026.

RECOMMENDATION:

Adopt a Resolution authorizing updated disposal fees for the Santa Maria Regional Landfill, effective January 1, 2026.

BACKGROUND:

The Utilities Department manages integrated waste services on behalf of the City of Santa Maria (“City”), including operation of the Santa Maria Regional Landfill (“SMRL”) at 2065 East Main Street. The Solid Waste Disposal Fund receives revenue from fees assessed at the SMRL. The facility is open to all patrons, and disposal fees are standardized for all customers, regardless of the community from which the waste originates (e.g., Guadalupe, Nipomo, Orcutt, Santa Maria).

In 2023, a financial consulting firm updated the Solid Waste Disposal Fund’s financial model to evaluate revenue and expenditure trends and project cash balance impacts.

That analysis established disposal rates for 2024 and 2025.

Since then, Utilities staff refined the model using two years of actual data and current economic, regulatory, and operational information. The updated analysis indicates that existing SMRL disposal fees (last adjusted on January 1, 2025) are insufficient to meet projected operational and capital funding needs. Additional revenue is required to support continued operations, maintenance, equipment replacement, environmental compliance, capital projects, and fund reserves required by the California Department of Resources Recycling and Recovery (CalRecycle). Operational expenses include increased costs for labor and benefits, household hazardous waste disposal, facility operations, recycling park operations, equipment repairs, fuel, and enhanced regulatory requirements for landfill gas and groundwater monitoring.
2 DISCUSSION:

To ensure sufficient funding for the Solid Waste Disposal Enterprise Fund, the Utilities Department recommends the following fees which reflect the anticipated costs to receive, process, and/or dispose of specific commodities. Current and proposed fees are shown below:

Prior to the effective date of January 2026, approved fees will be publicly posted at the SMRL and on the City Utilities Department webpage. Fee Description Ref # Unit Current Fee
(1/1/25)
Proposed Fee
(1/1/26)
Change from
Current (+/-)
General Refuse (up to 300 lbs.) 2, 4 22.00 25.00 3.00
General Refuse (301 to 1,050 lbs.) 2, 4 50.00 55.00 5.00 General Refuse (over 1,050 lbs.) 2, 3 ton 100.00 105.00 5.00 Alternative Daily Cover ton 27.00 30.00 3.00
Appliances/White Goods each 15.00 20.00 5.00
Cardboard - Unwaxed 1 0.00 0.00 0.00
Clean Dirt (up to 10 yards) load 12.00 15.00 3.00
Clean Dirt (over 10 yards) ton 27.00 30.00 3.00
Clean Green / Wood Waste
Untreated/Unpainted (up to 1,050 lbs.)
2 65.00 55.00 -10.00
Clean Green / Wood Waste
Untreated/Unpainted (over 1,050 lbs.)
3 ton 90.00 105.00 15.00
Commingled Recyclables 1 0.00 0.00 0.00
Electronic Waste, up to 5 1 0.00 0.00 0.00
Hard to Handle (minimum applies) 5 ton 158.00 250.00 92.00 Inert Material ton 47.00 50.00 3.00
Mattresses/Box Springs, up to 5 1 0.00 0.00 0.00
Non-Friable Asbestos/Treated Medical Waste
(minimum applies)
5 ton 158.00 250.00 92.00
Non-hazardous Hydrocarbon Impacted Soils
(minimum applies)
ton 50.00-158.00 250.00 92.00
Tires: Shredded 6 ton 100.00 105.00 5.00
Tires: Whole - Passenger Vehicles, up to 4 7 each 8.00 10.00 2.00 Tires: Whole - Commercial Vehicles, up to 4 7,8 each 15.00 20.00 5.00 Unsorted Loads 9 N/A 50.00 50.00
Untarped Loads 15.00 50.00 35.00
Biosolids 10 ton 20.00 20.00 0.00
Sweeping Debris 10 ton 39.00 39.00 0.00
Reference Notes
1 - No charge items.
2 - Current fee schedule is up to 1,000 lbs.
3 - Current fee schedule is over 1,000 lbs.
4 - Proposed fee structure is based on weight, not vehicle type and weight as shown on current fee schedule. 5 - Minimum base fee applies (equivalence to per-ton fee). 6 - Cut tires shown on current fee schedule no longer accepted as of 8/15/25. 7 - Current fee schedule has no limit - proposed fee structure establishes maximum. 8 - Heavy equipment tires shown on current fee schedule no longer accepted. 9 - Proposed new fee to encourage compliance with State diversion mandates. 10 - Non-public fee type / limited use. Will not be published with the customer-facing fee schedule. 3 Alternatives
The City Council may choose not to approve the proposed fees. This would result in inadequate funding of the Solid Waste Disposal Enterprise Fund and require alternative revenue sources, such as the General Fund. Staff does not recommend this approach, as disposal fees are intended to cover ongoing and future costs without subsidies from other sources.

Fiscal Considerations
Based on current tonnages, the proposed fees are projected to generate approximately $1,000,000 in additional revenue in 2026, supporting the long-term viability of the Solid Waste Disposal Enterprise Fund. Staff will continue to monitor the financial model and will return to the City Council for future fee adjustments, as needed.

Disposal fees are not considered property-related charges, such as water, sewer, or refuse service rates, and therefore are not subject to Article XIII D, Section 6 of the California Constitution (“Prop 218”).

Impact on the City
The proposed fees will generate additional revenue to support operational and capital needs and while remaining comparable to neighboring disposal facilities to minimize the risk of losing volume and revenue.

Impact on the Community
Updated fees will continue to provide residents and businesses with a local, cost-effective option for safe and reliable waste disposal.

ATTACHMENT(S)
A. Resolution
Exhibit A – SMRL Fees
Attachment A

Page 1 of 3 ends

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF SANTA MARIA, CALIFORNIA

AUTHORIZING UPDATED DISPOSAL FEES FOR

THE SANTA MARIA REGIONAL LANDFILL
EFFECTIVE JANUARY 1, 2026
WHEREAS, the City of Santa Maria (“City”) owns and operates the Santa Maria Regional Landfill (“SMRL”), which derives its revenue from landfill disposal fees (Solid Waste Disposal Fund); and
WHEREAS, the Utilities Department updated its financial model for the SMRL using actual data and current economic, regulatory, and operational information; and WHEREAS, based on that update, additional revenue is required to support continued operations, maintenance, equipment replacement, environmental compliance, capital projects, and fund reserves required by the California Department of Resources Recycling and Recovery (CalRecycle); and
WHEREAS, the proposed disposal fees reflect the anticipated costs to receive, process, and/or dispose of specific commodities; and
WHEREAS, the proposed disposal fees will provide additional funding to better sustain the Solid Waste Disposal Fund.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, California, as follows:

SECTION 1. As of January 1, 2026, the Director of Utilities is hereby authorized and directed to charge, and the Director of Finance is hereby authorized and directed to collect, the disposal fees for Santa Maria Regional Landfill as described in Exhibit “A”; and
SECTION 2. The Chief Deputy City Clerk is hereby authorized to make minor changes herein to address clerical errors, so long as substantial conformance of the intent of this document is maintained. In doing so, the City Clerk shall consult with the City Manager and City Attorney concerning any changes deemed necessary. //
//
Attachment A

Page 2 of 3 ends

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Santa Maria held this 18th day of November 2025.

ATTEST:

Chief Deputy City Clerk
Mayor
Exhibit A - Disposal fees
APPROVED AS TO FORM:
_______________________________
City Attorney
APPROVED AS TO CONTENT:
_______________________________
Department Director
_______________________________
City Manager
Attachment A

Page 3 of 3 ends

Exhibit “A”

COUNCIL AGENDA REPORT
TO: Mayor and City Council
FROM: Rebecca Campbell, Director of Finance
DATE: November 18, 2025
SUBJECT: Financial Report for the Fourth Quarter Ending June 30, 2025 Description:

The City Council will consider receiving and filing the Fiscal Year 2024-25 Fourth Quarter Financial Report.

RECOMMENDATION:

Receive and file the Financial Report for the Fourth Quarter ending June 30, 2025.

BACKGROUND:

Four times each year, City staff completes a comprehensive analysis of City finances, including projected fund balances, revenues to date, departmental expenditures, encumbrances, and potential adjustments. This financial report summarizes the fourth quarter financial analysis.

DISCUSSION:

The Quarterly Financial Report for the Fourth Quarter Ending June 30, 2025 (Attachment A) provides an overview of the current economic outlook at the State and National levels; General Fund revenues, expenditures, projected fund balances; Measure U activity; and activity in the three Enterprise Funds. Though this information is not audited and does not contain all the usual year-end adjustments, accruals, or disclosures, the information does provide a general picture of the City’s activity and the developing financial trends.

Impact to the Community
The interim financial statement provides the community with an understanding of the financial activity of the City’s primary funds.

ATTACHMENT(S) A. Quarterly Financial Report Fourth Quarter Ending June 30, 2025

QUARTERLY

FINANCIAL
REPORT

FOURTH QUARTER ENDED
JUNE 30, 2025

ATTACHMENT A
1 MAYOR
Alice Patino MAYOR PRO TEM
Carlos Escobedo COUNCIL
Gloria Soto
Maribel Aguilera-Hernandez
Gloria Flores CITY MANAGER
David W. Rowlands REPORT PREPARED BY
Rebecca Campbell
Director of Finance
206 East Cook Street
Santa Maria, CA 93454
(805)925-0951 Ext. 2215
www.cityofsantamaria.org QUARTERLY FINANCIAL REPORT

CITY OF SANTA MARIA, CA
V

TABLE OF CONTENTS
ECONOMIC INDICATORS ................................................... 1 FUND
BALANCE SUMMARY ................................................ 2

GENERAL
FUND

MEASURE
UFUND

GENERAL
FUND ................................................................ 3

MEASURE
UFUND ............................................................. 7

ENTERPRISE
FUNDS ............................................................ 8

WATER/WASTEWATER
FUND
SOLID

WASTE FUNDS
PUBLIC

TRANSIT FUNDS
FY 2025-26
MID-CYCLE BUDGET REVIEW .......................... 9
Quarterly Financial Report: Fourth Quarter Ending June 30, 2025 1 ECONOMIC INDICATORS
The nation's gross domestic product — the broadest measure of economic activity — grew at an annual rate of 3 percent in April, May and June. That was a turnaround from the three previous months when the economy contracted at a 0.5 percent pace – the first decline in three years. Imports surged early in the year, as businesses tried to stockpile foreign goods before the tariffs took effect. That had the effect of depressing GDP in January, February and March, because imports are subtracted from the government's measure of economic activity. Averaging the first- and second-quarter GDP measures, the U.S. economy grew at an annual rate of 1.25 percent during the first half of the year.

That is a slowdown from each of the two previous years, when the economy grew nearly 3 percent.

Unemployment remained relatively low at 4.1 percent as of June. The jobless rate remained in a narrow range of 4.0 to 4.2 percent since May 2024. The U.S. labor market has cooled during the past year and the pullback in job growth has largely been attributed to employers reining in hiring rather than conducting mass layoffs. Economists say the tariff-driven economic uncertainty is why hiring is weak.

Inflation was 2.7 percent for the 12 months ending in June, up 0.3 percent from May. The full impact of tariffs was yet to come, according to economists, who predict higher inflation in coming months. Retail sales increased 0.6 percent in June after an unrevised 0.9 percent drop in May, the Commerce Department said.

Nationally, single-family homebuilding dropped to an 11-month low in June according to the Commerce Department. The average rate on the popular 30-year fixed mortgage hovered just under 7 percent in the first six months of the year.

California’s unemployment rate rose slightly in June, by 0.1 percentage point, to 5.4 percent in June, tying Nevada for the highest rate in the nation. California lost a net 6,100 jobs. The unemployment rate in Santa Barbara County was 4.7 percent, compared to 4.3 percent a year ago. Santa Maria’s jobless rate in June was 5.3 percent (2,900 people), compared to 4.8 percent a year ago.

California’s new $321 billion State budget was signed in late June by Governor Gavin Newsom. It is the third year in a row the budget has reduced funding or stopped some programs. The plan freezes enrollment by adults without legal status in Medi-Cal, the State’s health insurance program for the poor, starting in January. Public transit agencies and the University of California and California State University also avoid funding cuts under this spending plan.

California’s median home price fell for the second straight month in June, slipping below the $900,000 mark for the first time in three months, according to the California Association of Realtors. The median home sales price in Santa Maria continues to fluctuate around $600,000 – most of those houses are previously owned. The City has issued only 83 permits for construction of new single-family homes from January 2021 through May 2025 as builders focus more on accessory dwelling units and new apartments. Through the first six months of 2025, homes in the 93454 Zip Code (east of Broadway) saw the median sales price of $605,000, and in the 93458 Zip Code (west of Broadway) the median sales price was $593,500, according to the Santa Maria Association of Realtors. The median price means half sold for more, and half sold for less. Sales activity was slower than a year ago.

Despite strong demand and rising prices, new permits remain subdued, and developers are cautious amid economic uncertainty.” Its forecast for the California economy is that it will grow slower than the nation’s in 2025, with several quarters of negative job growth. A recovery from California’s 2025 economic doldrums could begin in mid-2026, and economic growth is expected to increase in 2027.

Quarterly Financial Report: Fourth Quarter Ending June 30, 2025 2 ECONOMIC INDICATORS (CONTINUED)

GENERAL FUND & MEASURE U FUND BALANCE SUMMARY
General Fund:

The table below shows revenues are at 105.1 percent of projections while expenditures are at 92.0 percent of appropriations through the fourth quarter of Fiscal Year 2024-25. Year-end results have a favorable impact on fund balance by reducing the budgeted draws on reserves for unfunded pensions ($3.2M) and Local Economic Augmentation Fund (LEAF) ($5.2M).

GENERAL FUND
(in thousands)
Adopted
Budget
Amended
Budget
Year-End
Estimates 4th Quarter
Percent of
Amended
Budget
Beginning Fund Balance $ 8,570 $ 10,072 $ 10,072 $ 10,072 Cancelled Reserves:

Unfunded Pensions - 3,188 - - 0.0%
LEAF 8,336 5,148 419 - 0.0%
Revenues 91,813 93,619 94,852 98,420 105.1%
Expenditures 108,719 112,094 105,343 103,177 92.0%
(Use)/Provision of Fund Balance $ (8,570) $ (18,475) $ (10,491) $ (4,757) Ending Fund Balance $ - $ (67) $ - $ 5,315
Measure U Fund:

The table below shows revenues are at 97.1 percent of projections while expenditures are at 96.4 percent of appropriations. Year-end results have a favorable impact on fund balance by reducing the draw on reserves by $576 thousand, thereby increasing fund balance available in FY 2025-26.

MEASURE U FUND
(in thousands)
Adopted
Budget
Amended
Budget
Year-End
Estimates 4th Quarter
Percent of
Amended
Budget
Beginning Fund Balance $ 4,414 $ 12,164 $ 12,164 $ 12,164 Revenues 26,716 26,716 25,705 25,946 97.1%
Expenditures 31,130 37,575 36,550 36,229 96.4%
(Use)/Provision of Fund Balance $ (4,414) $ (10,859) $ (10,845) $ (10,283) Ending Fund Balance $ - $ 1,305 $ 1,319 $ 1,881
It is important to note the results presented in this report are estimates because the City’s annual audit for FY 2023-24 and FY 2024-25 are not finalized.

KEY STATISTICS
Quarterly Financial Report: Fourth Quarter Ending June 30, 2025 3 GENERAL FUND
Budget:

The table below presents the budget as adopted, amended and estimated along with expenditures through June 30, 2025. General Fund appropriations adopted on June 18, 2024, were $108.72 million compared to budgeted sources of $100.15 million, inclusive of an $8.34 million draw from the Local Economic Augmentation Fund (LEAF), and the use of $8.57 million of available General Fund balance.

At the end of FY 2023-24 there were several projects, contracts, and transactions that were not yet completed. The remaining appropriations for those were carried forward into FY 2024-25. Amended General Fund appropriations are $112.09 million compared to amended sources of $101.96 million, inclusive of a $5.15 million transfer in from LEAF, the use of $3.19 million from the reserves for unfunded pensions, and the use of $10.07 million of available General Fund balance. Revenue and expenditure variances are discussed later in this report.

GENERAL FUND
(in millions)
Adopted
Budget
Amended
Budget
Year-End
Estimates
2024-25
Actual
Percent of
Amended
Budget
Beginning Fund Balance $ 8,570 $ 10,072 $ 10,072 $ 10,072 Cancelled Reserves
Unfunded Pensions $ - $ 3,188 $ - $ - 0.0%
LEAF 8,336 5,148 419 - 0.0%
Total Cancelled Reserves $ 8,336 $ 8,336 $ 419 $ - 0.0% Revenues & Transfers In
Sales Tax $ 31,872 $ 31,872 $ 30,621 $ 30,763 96.5%
Property Tax 26,498 26,498 27,699 27,996 105.7%
Hotel/Bed Tax 4,274 4,274 4,023 3,838 89.8%
Licenses, Permits & Fees 3,196 3,196 4,593 5,536 173.2% All Other Revenues 25,973 27,779 27,916 30,287 109.0%
Total Revenues & Transfers In $ 91,813 $ 93,619 $ 94,852 $ 98,420 105.1% Total Resources $ 108,719 $ 112,027 $ 105,343 $ 108,492 Expenses & Transfers Out
Staffing $ 73,048 $ 72,929 $ 67,077 $ 67,109 92.0%
Contracts & Services 10,184 12,522 12,052 11,423 91.2%
Materials & Supplies 4,257 4,478 5,005 4,733 105.7%
Maintenance & Operations 10,835 10,859 10,843 10,751 99.0% Capital Outlay 1,800 2,501 2,487 2,490 99.6%
Debt Service 267 267 267 267 100.0%
Transfers 8,328 8,538 7,612 6,404 75.0%
Total Expenses & Transfers Out $ 108,719 $ 112,094 $ 105,343 $ 103,177 92.0% (Use)/Provision of Fund Balance $ (16,906) $ (18,475) $ (10,491) $ (4,757) Ending Fund Balance $ - $ (67) $ - $ 5,315
Quarterly Financial Report: Fourth Quarter Ending June 30, 2025 4 GENERAL FUND (CONTINUED)
Year-Over-Year Comparison:

The chart to the right
compares revenue
receipts, expenditures,
and transfers through
the year ending June
30, 2025, versus the year
ending June 30, 2024.

Major Revenues:

Through the fourth quarter, receipts for four major General Fund revenue sources (Sales Tax, Property Tax, Hotel Tax, and Licenses, Permits, & Fees) are at 103.5 percent of projections and account for 68.9 percent of total General Fund revenues.

Revenue Variances:

Receipts from Property Tax and Licenses, Permits & Fees are higher than the fourth quarter receipts from the prior year by 5.7 percent, or $1.3 million, and

50.3 percent, or $1.9 million, respectively offsetting lower receipts from Sales Tax and Hotel Tax of 3.3 percent, or $1.1 million, and 3.7 percent, or $149 thousand, respectively.
 Sales Tax: The charts below display activity by major business group for the fourth quarter of FY 2024-25 as compared to the same period of FY 2023-24. Sales Tax receipts for FY 2024-25 were less than the same quarter of FY 2023-24 for three of the year’s four quarters. Receipts for the first quarter were 3.3 percent, or $269 thousand, less. Receipts for the second quarter were 2.0 percent, or $162 thousand less. Receipts for the fourth quarter were 0.1 percent, or $10 thousand less. The only quarter experiencing an increase was the third quarter, which was 0.4 percent, or $26 thousand, more.

Quarterly Financial Report: Fourth Quarter Ending June 30, 2025 5 GENERAL FUND (CONTINUED)
Receipts through the fourth quarter of FY 2024-25 are 3.3 percent, or $1.1 million, less than those for the same period last year.
 Hotel/Bed Tax: Through June, Transient Occupancy Tax (TOT) receipts are 3.7 percent, or $149 thousand, less than last fiscal year and behind estimates by 4.6 percent, or $185 thousand.  Licenses, Permits, & Fees: Receipts for FY 2024-25 of $5.536 million exceeds projections by 73.2 percent, or $2.34 million, and is 50.3 percent, or $1.852 million, more than that through FY 2023-

24. This is due to a marked increase in development, including strong commercial activity as well as Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs). The proliferation of ADUs in Santa Maria is among the highest in the state on a per-capita basis, with unit counts exceeding those of cities with much larger populations. Permit activity is anticipated to continue to exceed projections during FY 2025-26 as development remains strong and housing prices remain high, driving residents to seek more affordable alternatives.

Expenditures:

Through the fourth quarter, operating expenditures, excluding debt service and transfers, are at 93.4 percent of total budget. Expenditures, as shown above in the Expenditure Categories chart above on the right, are within budget except for Materials & Supplies.

Expenditure Variances:

Financial Reporting policies require an explanation of variances greater than 5 percent of major categories and departmental variances greater than 10 percent.

Quarterly Financial Report: Fourth Quarter Ending June 30, 2025 6 GENERAL FUND (CONTINUED)
 Staffing: Under budget by 8.0 percent, or $5.82 million, due to vacancies mostly experienced in the Police and Fire departments. The City has maintained a hiring chill for non-public safety positions.
 Contracts & Services: Under budget by 8.8 percent, or $1.1 million.  Materials & Supplies: Over budget by 5.7 percent, or $255 thousand, due to a significant increase in the amount of watering required of the Recreation & Parks Department necessitated by Senate Bill (SB) 1383, which requires the spreading of a pre-defined amount of compost each year. Once placed at appropriate depths the compost needs to be watered regularly until it has been locked into the ground.
 Transfers Out: Under budget by 25.0 percent, or $2.13 million. The General Fund subsidy of the Library Fund is under budget due to the budgeted draw down of the Library Fund’s fund balance, as well as savings from vacant positions and lower-than-anticipated operating costs.

The chart to the right presents percentages of budget spent by department.  Fire Department: Under budget by 15.1 percent, or $2.18 million, largely due to vacancies, as well as overtime savings.

Quarterly Financial Report: Fourth Quarter Ending June 30, 2025 7 MEASURE U FUND
The table below presents the budget as adopted, amended, and estimated along with unaudited actual expenditures as of June 30, 2025. Measure U Fund appropriations adopted on June 20, 2024, were $31.1 million compared to budgeted sources of $26.7 million and the use of $4.4 million of available Measure U Fund balance. Amended Measure U Fund appropriations are $37.6 million compared to amended sources of $26.7 million and the use of $10.9 million of available Measure U Fund balance.

MEASURE U FUND
(in millions)
Adopted
Budget
Amended
Budget
Year-End
Estimates
2024-25
Actual
Percent of
Current Budget
Revenue $ 26,716 $ 26,716 $ 25,705 $ 25,946 97.1%
Expenses
Community Development $ 824 $ 824 $ 824 821 99.6%
City Manager’s Office 1,435 1,435 1,420 1,381 96.3%
Finance 3 3 3 3 100.0%
Library 1,015 1,015 1,015 994 97.9%
Recreation & Parks 3,071 3,489 3,254 2,975 85.3%
Fire 11,946 17,939 17,164 17,217 96.0%
Police 12,836 12,870 12,870 12,839 99.8%
Total Expenses $ 31,130 $ 37,575 $ 36,550 $ 36,229 96.4% Revenues received through the fourth quarter are at 97.1 percent of budget, or $25.9 million.

Expenditures are at 96.4 percent of budget, or $1.3 million under budget, primarily due to a delay in the operation of Regional Dispatch noted below.

The City Manager’s Office budget includes costs of maintaining the City’s mass notification system database, a position for the Public, Education, and Government (PEG), and the Motorola Backhaul Refresh and Refresh of CAD/RMS capital projects. The Finance budget is for the annual independent audit of Measure U financial activity. The Fire Department budget includes the City’s proportional cost of participating in the Regional Dispatch, which was anticipated to begin in early 2025 but began in May 2025, as well as funding for the Fire Station 1 Expansion project and fleet expenses.

Through June, Measure U expended 87.7 percent on
Public Safety, 4.8 percent on Youth Services, and 7.5
percent on Quality of Life.

Quarterly Financial Report: Fourth Quarter Ending June 30, 2025 8 ENTERPRISE FUNDS
The Statement of Revenues and Expenses through the fourth quarter ending June 30, 2025, for the three enterprise funds, are shown in the table below.

ENTERPRISE FUNDS
(in thousands)
Water /
Wastewater
Solid
Waste
Public
Transit
Revenues
Charges for Service $ 59,371 $ 35,007 $ 683
Interest Income 3,080 1,094 204
Other Revenue 1,975 432 15,671
Total Revenues $ 64,426 $ 36,533 $ 16,558
Expenses
Operating $ 17,909 $ 31,866 $ 8,186
Capital 5,448 17,038 8,168
State Water Payment 24,709 - -
Debt Service 3,622 - -
Total Expenses $ 51,688 $ 48,904 $ 16,354
(Use)/Provision of Fund
Balance
$ 12,738 $ (12,371) $ 204
Water/Wastewater Funds:

Revenues exceeded expenditures by $12.7 million, which is $1.6 million more than last year. Revenues increased 3.5 percent, or $2.1 million, compared to the prior year due to higher sewer service charges and revenues generated through sales of metered water. Expenses are $586 thousand more than last year. Water and Wastewater operational expenses are under budget by 64.9 percent due to personnel savings from vacant positions and timing of maintenance and contractual agreements.

Solid Waste Funds:

The Solid Waste Fund reports refuse collection and disposal activities. Revenues are at $36.5 million, or 100.2 percent of budget. Operating expenditures are at $31.9 million, or 86.1 percent, of budget. The underexpenditure is primarily attributable to personnel savings from vacant positions. Capital expenditures are at $17.0 million, or 57.4 percent, of budget. The underexpenditure results from delays of planned projects.

Public Transit Funds:

The City operates the Santa Maria Regional Transit (SMRT) and Breeze Transit systems, which are funded by a combination of Federal grants, State transportation funds, and user fares. Fare revenue is $683 thousand, which is about $57 thousand more than last year. The farebox ratio is 8.3 percent based on fares received and operating expenses recorded to date.

Quarterly Financial Report: Fourth Quarter Ending June 30, 2025 9 FY 2025-26 MID-CYCLE BUDGET REVIEW
The City Council adopted the FY 2025-26 Mid-Cycle Budget on June 3, 2025. Public engagement occurred at the City’ Council’s meeting, during which budget presentations and discussions were conducted and feedback was received. Information on the public meetings related to the development of the FY 2025-26 Mid-Cycle Budget is available on the City’s website at:
https://www.cityofsantamaria.org/services/departments/city-clerk-records/agendas-reportsmeeting-videos.

MAYOR & COUNCIL
Gloria Soto
Councilmember
District 3
Maribel
AguileraHernandez
Councilmember
District 4
Alice Patino
Mayor
At-Large
Carlos
Escobedo
Councilmember
District 1
Gloria Flores
Councilmember
District 2
City of Santa Maria, California
110 E. Cook Street
Santa Maria, CA 93454
cityofsantamaria.org

EXPLORE
the City’s budget online at
www.cityofsantamaria.org/services/departments/city-manager-s-office/city-budget

CITY OF SANTA MARIA DISTRICTS
DISTRICT 2
Gloria Flores
DISTRICT 1
Carlos Escobedo
DISTRICT 3
Gloria Soto
DISTRICT 4
Maribel Aguilera-Hernandez

Santa Maria City CouncilNovember 18, 2025

Santa Maria City Council
November 18, 2025