Sonoma City Council
March 18, 2026

City Council:

Ron Wellander, Mayor
Sandra Lowe, Vice Mayor
Jack Ding
Patricia Farrar-Rivas
John Gurney

REGULAR MEETING AGENDA

OF THE SONOMA CITY COUNCIL
City Council Chambers, 177 First Street West
Wednesday, March 18, 2026
https://us06web.zoom.us/j/84876986131
6:00 PM Regular Meeting

ACCESSING PUBLIC MEETINGS
As a public service to the community, City Council meetings are held in-person, and viewable through a live webcast on the City’s CivicWeb Portal at https://sonomacity.civicweb.net/Portal/Video.aspx, City of Sonoma YouTube channel at https://www.youtube.com/channel/UChZjUrg2rNLYxTgQHhFy-Tg, and televised on Comcast Cable Channel 27. Members of the public can also view the meeting via ZOOM, at https://us06web.zoom.us/j/84876986131.

If a technical issue arises with Zoom video or the listening phone dial-in option, the City Council meeting will continue unless a Council Member is participating remotely pursuant to the provisions of Government Code Section 54953.8.3.

Members of the public who wish to address the Council by providing public comments during the meeting may do so in-person in the Council Chambers at 177 First Street West, where the meeting is being publicly held. As an alternative, members of the public may also provide written public comment submitted via the City’s online Public Comment form at https://sonomacity.civicweb.net/Portal/CitizenEngagement.aspx or by email to:
[email protected]
PROCESS FOR COMMENTS FROM THE PUBLIC: There will be two opportunities for members of the public to address items not appearing on the agenda. The early public comment period, Agenda Item 1, will be limited to ten speakers. Each speaker will be allowed up to two minutes. Speakers who do not have an opportunity to speak during the first public comment section will be allowed to make their comments during the later public comment period, Agenda Item 10, provided there were more than 10 people in the first public comment section. When the Mayor announces these agenda items, please form a line to speak.

In the event a Council Member participates remotely for just cause Government Code Section 54953.8.3, the City will allow for public comment through the Zoom link.

In accordance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk (707) 933-2216. Notification 48 hours before the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting.

Be Courteous - TURN OFF your cell phones and watches while the meeting is in session.

The City Council may discuss and/or take action on any or all of the items listed on the agenda irrespective of how the items are described.

No new items will begin after 9:00pm unless a majority of the members present vote to allow the items to be heard.

Page

REGULAR MEETING

CONVENE, CALL TO ORDER & PLEDGE OF ALLEGIANCE
ROLL CALL (Ding, Farrar-Rivas, Gurney, Lowe, Wellander)

REPORT ON CLOSED SESSION

APPROVAL OF THE AGENDA

1. COMMENTS FROM THE PUBLIC
At this this time members of the public may address the Council on matters not listed on this agenda, but which are within the subject matter jurisdiction of the Council. This public comment period will be limited to ten speakers. Each speaker will be allowed up to two minutes.

Speakers who do not have an opportunity to speak during the first public comment section will be allowed to make their comments during the later public comment period, Agenda Item 10, provided there were more than 10 people in the first public comment section. When the Mayor announces these agenda items, please form a line to speak.

Under State Law, unless otherwise permitted under the Ralph M. Brown Act, the merits of the matters presented under this item cannot be discussed or acted upon by the City Council at this time. For items appearing on the agenda, the public will be invited to make comments at the time the item comes up for Council consideration. Please begin by stating your name.

2. MEETING DEDICATIONS

3. COUNCILMEMBERS’ REPORTS AND COMMENTS
Committee Reports - Council Members are appointed to various boards and committees - local, county-wide and regional. Any updates from a council member will be shared at this time.

A list of all appointments is available on our City Website for easy reference.

Council Members may also make appointments to city commissions at this time.

4. CITY MANAGER COMMENTS AND ANNOUNCEMENTS

5. CITY ATTORNEY COMMENTS

6. PRESENTATIONS

7. CONSENT CALENDAR – CITY COUNCIL
All items listed on the Consent Calendar are considered to be routine and will be acted upon by a single motion. There will be no separate discussion of these items unless members of the Council or staff request specific items to be removed for separate action.

7.1: Waive further reading and Authorize Introduction and/or Adoption of Ordinances by Title Only. (Standard procedural action - no backup information provided)

7.2: Receive the Minutes from the Special and Regular Meetings of March 4, 2026 (Monique Saviez Burns, CPMC, CMC, Deputy City Clerk)
RECOMMENDATION: Receive the minutes.

03.04.2026 Special Meeting Minutes

03.04.2026 Regular Meeting Minutes
5 - 8

7.3: Accept the Expenditure Report for the Month of February 2026 (Ryan Kodama, Accounting Manager)
RECOMMENDATION: Accept the expenditure report.

Agenda Report - Expenditure Report February 2026 - Pdf
9 - 15

7.4: Adopt a Resolution Authorizing the City Manager to Execute a Professional Services Agreement with Mercury Associates, Inc. Not to Exceed $59,925 for 16 - 56

Fleet Assessment Consultant Services (Ashley Cotter, PW Admin & Project Manager)
RECOMMENDATION: Adopt the Resolution.

Agenda Report - Fleet Assessment Contract Award - Pdf

7.5: Adopt a Resolution Adopting the City of Sonoma Credit Card Policy and City Business Expense Reimbursements and Payments Policy (David Guhin, City Manager)
RECOMMENDATION: Adopt the Resolution.

Agenda Report - Credit Card Policy and City Business Expense Reimbursements & Payments Policy - Pdf
57 - 95

8. PUBLIC HEARING

9. REGULAR CALENDAR – CITY COUNCIL
(Matters requiring discussion and/or action by the City Council)

9.1: 2026 Climate Action Commission Annual Workplan (Antoinette Freeman, Sustainability Coordinator)
RECOMMENDATION: Approve the proposed 2026 Climate Action Commission Annual Workplan.

Agenda Report - 2026 Climate Action Commission Annual Workplan - Pdf 96 - 109

9.2: Accept the City of Sonoma General Plan Annual Progress Report and Direct Staff to Distribute to the California Department of Housing and Community Development (HCD) and the Governor’s Office of Land Use and Climate Innovation (LCI) (Jennifer Gates, AICP, Community Development Director) RECOMMENDATION: Accept the City of Sonoma General Plan Annual Progress Report and Direct Staff to Distribute to the California Department of Housing and Community Development (HCD) and the Governor’s Office of Land Use and Climate Innovation (LCI)
Agenda Report - General Plan and Housing Element Annual Progress Reporting 2025 - Pdf
110 - 172

10. SECOND PUBLIC COMMENT (ONLY REQUIRED IF EARLIER PUBLIC SPEAKERS

REMAIN)
At this time members of the public who did not have the opportunity to speak during the early comment period may address the Council on matters not listed on this agenda, but which are within the subject matter jurisdiction of the Council. Each speaker will be allowed up to two minutes. Please form a line to speak.

Under State Law, unless otherwise permitted under the Ralph M. Brown Act, the merits of the matters presented under this item cannot be discussed or acted upon by the City Council at this time. For items appearing on the agenda, the public will be invited to make comments at the time the item comes up for Council consideration. Please begin by stating your name.

11. ADJOURNMENT
I do hereby certify that a copy of the foregoing agenda was posted as legally required. Monique Saviez Burns, CPMC, CMC, Deputy City Clerk
*********************************************************************************************************************************** Copies of all staff reports and documents subject to disclosure that relate to any item of business referred to on the agenda are usually available for public inspection the Wednesday before each regularly scheduled meeting at City Hall, located at No. 1 The Plaza, Sonoma CA. Any documents subject to disclosure that are provided to all, or a majority of all, of the members of the City Council regarding any item on this agenda after the agenda has been distributed will be made available for inspection at the City Clerk’s office, No. 1 The Plaza, Sonoma CA during regular business hours. If you challenge the action of the City Council in court, you may be limited to raising only those issues you or someone else raised at the public hearing described on the agenda or in written correspondence delivered to the City Clerk at or prior to the public hearing.

In accordance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk (707) 933-2216. Notification 48 hours before the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting.

Appointments to Commission/Committees: The Council may establish and make appointments to a Council committee (made up of two Council Members) with respect to any item appearing on this agenda.

Closed Session: If action is taken during a Closed Session meeting that is required to be reported out at this meeting, the Council will return to Open Session and report out immediately. However, if the Council is unable to do so due to time constraints, it will report out at the immediately following Regular Council Meeting under "REPORT ON CLOSED SESSION".

Motion for Consideration: A Council Member voting with the majority on any item appearing on this agenda may move for reconsideration of that vote provided the motion is in conformance with the rules adopted by the Council governing such motions.

NOTE: Portions of this document may have been drafted with support from AI-based tools, consistent with City of Sonoma policy on use of artificial intelligence. All information represented in this document has been reviewed by City of Sonoma staff.

City Council:

Ron Wellander, Mayor
Sandra Lowe, Vice Mayor
Patricia Farrar-Rivas
John Gurney
Jack Ding

SPECIAL CLOSED SESSION MEETING MINUTES

OF THE SONOMA CITY COUNCIL
City Council Chambers
177 First Street West
Wednesday, March 4, 2026

5:30 PM Special Meeting
Special Closed Session Meeting Minutes, March 4, 2026

REGULAR MEETING

CALL TO ORDER
Mayor Wellander called the meeting to order at 5:30 p.m.

ROLL CALL:

PRESENT: Mayor Wellander, Vice Mayor Lowe, Council Member Farrar-Rivas, Council Member Gurney, and Council Member Ding
Council Member Farrar-Rivas arrived at 5:40 p.m.

1. CALL TO ORDER

2. ITEMS FOR DISCUSSION
Item 2.1: PUBLIC EMPLOYEE PERFORMANCE EVALUATION - Pursuant to Government Code 54957
Title: City Manager
Action: Council provided direction to the City Manager, but no reportable action was taken.

Item 2.2: PUBLIC EMPLOYMENT / PUBLIC EMPLOYEE APPOINTMENT - Pursuant to Government Code 54957
Title: City Manager & Acting/Interim City Manager
Action: Council provided direction to the City Manager, but no reportable action was taken.

3. ADJOURNMENT
Mayor Wellander adjourned the meeting at 6:00 p.m.

I HEREBY CERTIFY that the foregoing minutes were duly and regularly received at a regular meeting of the Sonoma City Council on the 18th of March 2026.
____________________________________
Rebekah Barr, MMC, City Clerk
Agenda Item #7.2:

City Council:

Ron Wellander, Mayor
Sandra Lowe, Vice Mayor
Patricia Farrar-Rivas
John Gurney
Jack Ding

REGULAR MEETING MINUTES

OF THE SONOMA CITY COUNCIL
City Council Chambers
177 First Street West
Wednesday, March 4, 2026

6:00 PM Regular Meeting
Regular Meeting Minutes, March 4, 2026

REGULAR MEETING

CONVENE, CALL TO ORDER, & PLEDGE OF ALLEGIANCE
Mayor Wellander called the meeting to order at 6:05 p.m.

ROLL CALL:

PRESENT: Mayor Wellander, Vice Mayor Lowe, Council Member Farrar-Rivas, Council Member Gurney, and Council Member Ding

CLOSED SESSION
City Council held a Closed Session; no reportable action was taken.

APPROVAL OF AGENDA
Motion by Council Member Farrar-Rivas, seconded by Vice Mayor Lowe, to approve the agenda as presented. Motion carried unanimously by voice vote.

1. COMMENTS FROM THE PUBLIC
Kate Schertz, Connie Schlelein, Jamie Love, Pat Myer Johnson, John Caner, Linda Keaton, Richard Price, Landon LaMoin, and Jim Silverman provided public comments.

2. MEETING DEDICATIONS
None.

3. COUNCILMEMBERS’ REPORTS AND COMMENTS
Council Member Gurney appointed Jamie Love to the Cultural and Fine Arts Commission (CFAC) as his direct appointment.

Vice Mayor Lowe attended a Local Agency Formation Commission (LAFCO) meeting today, March 4, 2026.

Council Member Ding attended a Zero Waste Sonoma meeting on February 19, 2026. He also attended a Sonoma County Mayors and Councilmembers Association Legislative Committee meeting on February 20, 2026, where he was selected as vice-chair for this year.

Since the last City Council meeting, Mayor Wellander reported that he met to receive an update on the Ting Project. He also participated in the Mountain Cemetery Clean-Up on February 28, attended a Sonoma Valley Visitors Bureau meeting at the Fairmont Hotel last week, and attended Jim Silverman’s presentation at the Vintage House. In partnership with the Chamber of Commerce, the Mayor also recognized Larry Nadeau, Hospitality Director for EnClov. Additionally, Mayor Wellander commended the Sonoma Police Department for their efforts during the recent tragedy involving a fatality on Broadway.

4. CITY MANAGER COMMENTS AND ANNOUNCEMENTS
City Manager Guhin expressed gratitude to the thirteen volunteers who participated in last Saturday’s Mountain Cemetery Clean-Up. He also announced that the City has opened the Discretionary Funding Application period, which will remain open through April 3, 2026.

5. CITY ATTORNEY COMMENTS
None.

6. PRESENTATIONS
Item 6.1: Proclamation Designating March 2026 as American Red Cross Month in the City of Sonoma
Item 6.2: Proclamation Designating March 2026 as Women's History Month in the City of Sonoma
Item 6.3: Presentation by Sonoma Water on FY 2026-2027 Proposed Budget & Rates - Water Transmission System

7. CONSENT CALENDAR – CITY COUNCIL
Agenda Item #7.2:

Regular Meeting Minutes, March 4, 2026
Motion by Vice Mayor Lowe, seconded by Council Member Gurney, to approve the Consent Calendar as presented. Motion carried unanimously.

Item 7.1: Waive further reading and Authorize Introduction and/or Adoption of Ordinances by Title Only. (Standard procedural action - no backup information provided) Item 7.2: Receive Minutes from the Special Meeting of January 30, 2026 and the Special Meeting of January 30, 2026 (Rebekah Barr, MMC, City Clerk)
Action: The minutes were received from the Special Meeting of January 30, 2026, the Regular Meetings of February 4, 2026 and February 18, 2026.

Item 7.3: Adopt a Resolution Approving a Cooperative Funding Agreement with Sonoma County Transportation Authority (SCTA) for Go Sonoma Measure M Funds for CIP Project No.

T-6, Citywide Safety Bicycle and Pedestrian Improvements (Ashley Cotter, Public Works Admin & Project Manager)
Action: Adopted as Resolution 05-2026.

Item 7.4: Adopt a Resolution Authorizing Certain City Officials and Staff Members to Order Deposits and Withdrawals from the Local Agency Investment Fund (LAIF) (David Guhin, City Manager)
Action: Adopted as Resolution 06-2026.

Item 7.5: Adopt a Resolution Authorizing an Extension of a 1% of the Transient Occupancy Tax that was Approved by Council Effective September 1, 2019, for Use for Affordable Housing (David Guhin, City Manager)
Action: Adopted as Resolution 07-2026.

8. PUBLIC HEARING
None.

9. REGULAR CALENDAR – CITY COUNCIL
The Mayor called for a recess at 7:09 p.m.; Council reconvened at 7:15 p.m.

Item 9.1: Discussion on the General Plan Update Process and Future Land Use Map (Jennifer Gates, AICP, Community Development Director)
Action: Council discussed the General Plan Update process and future land use map and provided staff with direction.

Public Comment: Sonia Carabell, Karina, Titza Carris, Alex Tredwell, Nedia, Janet Boyle, Becky Sager, Amy Alterman, Jean Olivarie, Julie King, Robert Demler, Jeanie Shram, Victor Conforti, Mike Mennefi, Andrea Foreman, Carrie Gerster, Claudia Robins, Ray Shaken, Mitchel Price, Diane DuVall, Michael Woods, Joe Cuneo, Pat Summers, and Connie McCann.

Lovall Velly Road
Direction provided to staff:

Approved for Land Use Change using “Agriculture-Residential” zoning. One per two acres.

Sonoma Highway
Direction provided to staff:

Approve for Land Use Change
Sebastiani Property
Direction provided to staff:

Keep the two existing lots zoned for agricultural use.

Update the density to Medium Density Residential which is 7-15 units per acre.

Keep the designation Sonoma Mixed Commercial Use
Update the Floor Area Ratio (FAR) to .5
Motion by Vice Mayor Lowe, seconded by Council Member Ding, to continue the meeting after 9:00 p.m. Motion carried unanimously by voice vote.

Item 9.2: Appointment to the Sonoma Valley Community Advisory Commission (Rebekah Barr, MMC, City Clerk)
Action: Adam Ross was appointed to the Sonoma Valley Community Advisory Commission (SVCAC) as a regular member.

Motion by Vice Mayor Lowe, seconded by Council Member Farrar-Rivas, to appoint Adam Ross to the vacant regular seat on the Sonoma Valley Community Advisory Commission (SVCAC). Motion carried unanimously by voice vote.

10. SECOND PUBLIC COMMENT (ONLY REQUIRED IF PUBLIC SPEAKERS REMAIN FROM ITEM 2.0) None.

11. ADJOURNEMENT
Agenda Item #7.2:

Regular Meeting Minutes, March 4, 2026
Mayor Wellander adjourned the meeting at 10:18 p.m.

I HEREBY CERTIFY that the foregoing minutes were duly and regularly received at a regular meeting of the Sonoma City Council on the 18th of March 2026.
______________________________________________
Monique Saviez Burns, CPMC, CMC, Deputy City Clerk
Agenda Item #7.2:

City of Sonoma
Agenda Item Summary
Meeting: City Council - 18 Mar 2026
Department
Finance
Staff Contact
David Guhin, City Manager
Agenda Item Title
Accept the Expenditure Report for the Month of February 2026 Summary
The attached report shows disbursements for the month of February 2026.

General Fund Departments 42101 (Police) and 42201 (Fire) had larger than normal expenditures as a result of two months of contract payments for each being paid in February 2026.

A detailed list of disbursements is available at the website indicated at the bottom of the report.

Recommended Council Action
Accept the expenditure for the month of February 2026.

Alternative Actions
Council discretion.

Financial Impact
Monthly Payables Report, February 2026
Environmental Review Status
Environmental Impact Report
Negative Declaration
Exempt
Not Applicable
Approved/Certified
No Action Required
Action Requested
Attachments
Disbursement Report - February 2026
Fund Glossary
Alignment with Council Goals:

Not Applicable
Agenda Item #7.3:

DISBURSEMENT REPORT FEBRUARY 2026
Year to Date Monthly Year to Date Annual Percent of Fund Fund Revenue Expenditure Expenditure Budget Budget Balance General Fund 30000 16,794,481 29,543,090 57% 13,619,707 City Council 41001 8,578 74,275 150,401 49%
City Clerk 41002 27,475 311,131 463,743 67%
City Manager 41003 81,229 858,524 1,265,317 68%
Finance 41004 48,529 555,341 903,151 61%
City Attorney 41005 24,382 173,915 285,000 61%
Police 42101 1,175,450 4,624,618 7,778,032 59%
Fire 42201 1,157,648 5,686,677 8,122,755 70%
Public Works - Admin 43020 34,375 370,592 641,510 58%
Public Works - Streets 43022 108,855 988,803 1,498,358 66% Parks & Recreation 43023 89,666 1,069,431 1,869,606 57% Planning 43030 97,604 945,003 2,019,937 47%
Building 43040 49,643 655,955 1,221,111 54%
Community Activities 43101 58,289 804,557 1,223,734 66% Successor Agency 43199 8,249 89,062 184,500 48%
Non-Departmental 43200 67,593 536,568 829,040 65%
Emergency Response 43201 4,577 48,286 117,189 41%
Public Information 43203 12,222 126,176 208,492 61%
Transfers 43999 - 1,022,615 1,220,000 84%
Total General Fund Expenditures 3,054,366 18,941,529 30,001,876 63% Other Funds
Public Education & Gov 202 18,621 18,318 18,318 - 0% (23,710) Strong Motion 203 182 - - - 0% 6,960
Asset Forfeiture 211 358 - - - 0% 17,729
SLESF C.O.P.S Grant 217 60,151 - 120,000 120,000 100% 356,295 Bond Property 220 - - - - 0% (19,144)
Maysonnave Property 221 - - - - 0% (15,195)
Schell Drainage 234 4,338 - - - 0% 73,420
Abandoned Vehicle 240 500 618 7,070 15,000 47% (36,558) Streets/Transport/Drain 301 301,748 1,102 166,116 300,000 55% 166,688 Gas Tax 302 197,463 3,774 142,448 414,545 34% 901,271
SB-1Road Maint 303 159,672 - 104,200 204,200 51% 716,659 Parks & Facilities 304 631,343 6,563 79,618 625,000 13% 634,553 Fire Measure H 312 193,323 193,104 193,104 708,000 27% 218 Transportation Measure M 313 115,473 - 200,000 200,000 100% 356,629 Parks-In-Lieu/Quimby Act 314 16,851 - - 225,000 0% 16,851 Parks Measure M 315 91,845 - - 84,999 0% 756,580
Prop 68 Parks 316 - - - - 0% (162,690)
Successor Agency 391 1,306,771 - 1,255,003 2,599,306 48% (17,512,346) CREBS 495 - - - - 0% -
2012 POB 498 26 - - - 0% (5,205)
Cemeteries 501 305,298 23,199 263,697 791,396 33% (2,148,119) Cemetery Replacement 502 - - - - 0% 288,613
Cemetery Endowment 504 28,459 - 47,000 47,000 100% 724,390 Water Utility 510 5,667,826 276,660 4,600,756 7,396,976 62% 10,650,759 Water CIP 512 723,396 - 5,172 655,000 1% 1,185,313
Water Equip Replacement 513 14,893 - - - 0% 741,152
EMS Equip Replacement 521 1,751 - - - 0% 86,401
Mgmt Information Srvcs 601 398,367 27,490 363,750 613,288 59% 424,136 Vehicle Replacement 603 749,128 166,631 433,814 671,985 65% 1,566,235 Insurance 604 1,044 - - - 0% 51,709
Building Maintenance 610 418,057 2,926 200,726 289,915 69% 3,803,166 Computer Loan 614 1,341 - - - 0% 66,388
Hardscape Maint 615 545 - - - 0% 26,969
Admin Hearings 620 171 - - - 0% 996
Grants Restricted 630 7,237 - - - 0% 38,783
Culture Fine Art 701 250 - - - 0% 12,576
Tree Trust 702 394 - - - 0% 19,807
Public Art 703 26,405 - 766 35,000 2% 96,495
Pool Scholarship 715 4,358 - 25,000 25,000 100% 184,218 Senior Housing 731 4,035 - 25,454 25,454 100% 195,111
Housing Trust 732 415,320 - 250,000 250,000 100% 2,721,916 IGT 796 1,162,182 - 1,180,400 1,585,968 74% 1,989,866
SVFRA Operations 798 17,218 - - - 0% 610,476
TOTAL 29,840,820 3,774,752 28,623,942 47,884,908 60%
Monthly disbursement detail reports can be found at www.sonomacity.org/financial-documents Agenda Item #7.3:

City of Sonoma

CITY OF SONOMA

FUND DESCRIPTIONS
General Fund (Fund 100): The general operating fund of the City is used to account for all financial resources except those that require accounting in another fund.

Public Education & Government (Fund 202): Special revenue fund accumulates fees from telecommunication operators to support public, educational and government telecommunications, including broadcasting public meetings. Costs associated with acquiring equipment, renovating and constructing PEG-related facilities and broadcasting are paid from this fund.

Strong Motion (Fund 203): Accounts for State of California "strong motion" fees paid by building permit applicants. Funds are paid regularly to State Department of Conservation.

Asset Forfeiture (Fund 211): Accounts for funds received from seizure and forfeiture of assets that represent the proceeds of, or were used to facilitate, crime. Funds are expended according to legal restrictions.

SLESF (Supplemental Law Enforcement Services Fund)/COPS (Citizen Option for Public Safety) (Fund 217): Supplemental law enforcement funding is distributed by the State to the County which passes through the funding to local agencies. These funds have traditionally been used to support the costs of the Community Service Officer staff in the Police Department.

Bond Property (Fund 220): The Bond Property, a six acre parcel located at 19990 Seventh Street, was bequeathed to the city in 1977 by Pauline Bond, for the purpose of “creating and maintaining a public park” and is now home to the Sonoma Garden Center. The parcel is leased to the Sonoma Ecology Center who maintains the property and administers public programs at the site. Not Currently Active Fund Maysonnave Property (Fund 221): The Maysonnave Property, consisting of two parcels of land totaling

1.44 acres located at 291 and 289 First Street East, was bequeathed to the city in 1990 by Henri Maysonave for the purpose of “creating and maintaining a public park”. The parcel at 291 First Street East is leased to the League for Historic Preservation who maintains the property and administers public programs at the site while the parcel identified as 289 First Street East is leased to the Valley of the Moon Petanque Club, which maintains the property and administers public programs at that site. Not Currently Active Fund
Schell Drainage (Fund 234): Accounts for funds used for tracking of mitigation fees for specific projects.

Not Currently Active Fund
Abandoned Vehicle (Fund 240): Accounts for funds received from the Sonoma County Abandoned Vehicle Abatement (SCAVA) program and must be expended in compliance with legal restrictions.

Streets/Transport/Drain (Fund 301): This Capital Improvement Fund represents a transfer of funds from the General Fund to support improvements to the City's streets, sidewalks, bikeways, and storm drainage system.

Agenda Item #7.3:

City of Sonoma
Gas Tax (Fund 302): The State of California imposes per-gallon excise taxes and sales taxes on gasoline and diesel fuel, and registration taxes on motor vehicles with allocations dedicated to transportation purposes. Gas taxes can be used for any street or road purpose; however, it is best practice to focus on maintenance and rehabilitation costs only.

SB-1 Road Maintenance (Fund 303): The Road Repair and Accountability Act of 2017 (SB1) increased pergallon excise taxes and sales taxes on gasoline and diesel fuel, and vehicle registration taxes, stabilized price-based fuel tax rates and provided for inflationary adjustments to rates in future years. Funds may be used for road maintenance and rehabilitation, safety projects, “complete street” components, and traffic control devices.

Parks & Facilities (Fund 304): This Capital Improvement Fund represents a transfer of funds from the General Fund to support improvements to the City's 17 parks encompassing nearly 40 acres, nine play structures, two public restrooms, Class I bike trails, hiking trails, a duck pond, and a rose garden. Park needs that exceed the capacity of City and contract workers are included in this fund.

Fire Measure H (Fund 312): Sonoma County measure uses a ½ cent countywide sales tax to improve fire services.

Transportation Measure M (Fund 313): The Traffic Relief Act for Sonoma County (Measure M) provides for a ¼ cent sales tax that is apportioned to local jurisdictions to maintain their streets, as well as other County-wide street, highway, transit, and safe bicycle and pedestrian routes.

Parks-In-Lieu/Quimby Act (Fund 314): The 1975 Quimby Act (California Government Code §66477) authorized the City to pass ordinances requiring developers set aside land, donate conservation easements, or pay fees, which can only be used for new and rehabilitating existing parks and recreational facilities and cannot be used for the operation and maintenance of park facilities The City currently has a parkland dedication (exaction) requirement as a condition of approval for Tentative Subdivision Maps or Tentative Parcel Maps.

Parks Measure M (Fund 315): Sonoma County Parks Improvement, Water Quality and Fire Safety Measure (Measure M) is a one-eighth cent sales tax that supports Sonoma County’s regional and city parks Prop 68 Parks (Fund 316): Known as the California Clean Water and Safe Parks Act, Proposition 68 allocates funds to construct and rehabilitate parks, implement water improvements for safe drinking water, increase recycling and flood protection, and encourage climate change adaptation projects.

Successor Agency (Fund 391): The City of Sonoma has elected to serve as the Successor Agency to the Sonoma Redevelopment Agency, which was dissolved by the State through the Redevelopment Dissolution Act in 2012. The City as Successor Agency receives pass through revenue when property taxes are remitted to the City by the County via RPTTF (Redevelopment Property Tax Trust Fund). The City then makes authorized payments from Successor Agency for expenses, such as debt service costs, contract services for contracts issued before the dissolution of the development agency, and other expenses, including legal services.

CREBS (Clean Renewable Energy Bonds) (Fund 495): Bonds to pay for solar projects at the Police Station and Corporation Yard. Not Currently Active Fund
Agenda Item #7.3:

City of Sonoma
2012 POB (Pension Obligation Bond) (Fund 498): Bond issued to refund the City’s side fund loan obligations to the California Public Employees’ Retirement System (CalPERS). Not Currently Active Fund Cemeteries (Fund 501): Accounts for funding to support the City’s three cemeteries’ operations and maintenance, including burial and inurnment preparation and coordination, cemetery improvements, tree hazard assessment and abatement, grounds maintenance, mausoleum maintenance, road maintenance, and vandalism abatement.

Cemetery Replacement (Fund 502): Not Currently Active Fund Cemetery Endowment (Fund 504): The Cemetery Endowment Fund was created to record the income received from Cemetery sales that is designated as endowment care. The City’s Municipal Code defines endowment care as the general maintenance of the City’s three cemeteries that is necessitated by natural growth and ordinary wear.

Water Utility (Fund 510): This enterprise fund is responsible for the delivery of high quality, dependable water service for a variety of needs including consumption, irrigation, and fire protection. It operates and maintains 3 active City-owned tanks with a combined storage capacity of 5.5 million gallons, 7 production wells and appurtenant treatment facilities, 2 pump stations with a combined 140 horsepower maximum output, 56 miles of active water main ranging from 8” to 14” in diameter, 513 fire hydrants, and approximately 4,500 active service connections
Water Construction in Progress (CIP) (Fund 512): This Capital Improvement Fund represents a transfer of funds from the Water Utility Fund to support improvements to the City's drinking water infrastructure.

Projects include replacing aging water mains and appurtenances (e.g. tees, crosses, couplers, saddles, valves), neighborhood-scale water service replacement projects, renewing tank coatings and corrosion control systems, replacing well or pump station equipment, replacing Supervisory Control and Data Acquisition (SCADA) systems and equipment, improvements to well and pump station buildings (e.g. replacing roofs or electrical systems).

Water Equipment Replacement (Fund 513): Accounts for costs to replace water equipment. Not Currently Active Fund
EMS Equipment Replacement (Fund 521): Accounts for costs to replace EMS equipment.

Management Information Services (Fund 601): The fund provides a mechanism for funding the operational costs, maintenance, and planned replacement of installed computer systems, equipment, software, telephone systems and other critical electronic office equipment through annual transfers from other City departments and funds.

Vehicle Replacement (Fund 603): Accounts for costs to replace vehicles based on a depreciation schedule.

Costs are distributed among user departments and transferred as approved in the annual budget process.

Insurance (Fund 604): Account from which liability, property, earthquake, vehicle, and other insurance premiums are paid. Funding is transferred from other City departments and funds on a pro rata share.

Not Currently Active Fund
Agenda Item #7.3:

City of Sonoma
Building Maintenance (Fund 610): The fund allows the City to set aside funding received through annual transfers made by other City departments and funds for future replacement or repair of certain items in City owned and maintained facilities.

Computer Loan (Fund 614): Created by the City Council in 2000 and funded by an initial transfer of $50,000 from the Employee Benefit Fund, this fund provides low interest loans to employees for the purchase of computers for both personal and professional use. Loans must be repaid through payroll deductions within two years.

Hardscape Maintenance (Fund 615): Accounts for the City's hardscape maintenance reserve programs.

Not Currently Active Fund
Administrative Hearings (Fund 620): Accounts for all activities of the City's Administrative Hearings as charged to departments. Not Currently Active Fund
Grants Restricted (Fund 630): The purpose of the fund is to separately track grant monies that are received and spent for capital improvement projects.

Culture Fine Art (Fund 701): Accounts for assets held to be used for cultural fine art programs. Not Currently Active Fund
Tree Trust (Fund 702): Accounts for assets held to be used for planting and replacement of trees. Not Currently Active Fund
Public Art (Fund 703): Accounts for assets held to be used for public art displays. Not Currently Active Fund
Pool Scholarship (Fund 715): In 2014, the City entered an agreement with Sonoma Valley Health and Recreation Association to support the construction of a swimming pool within the Sonoma Valley. The City’s financial commitment is for a total of $250,000 to be paid in 10 annual installments of $25,000 for the value of free and reduced-fee services to be provided to Sonoma Valley residents Senior Housing (Fund 731): Sonoma Creek Senior Housing is a thirty-four unit rental apartment complex for very low income senior citizens located on Oregon Street and administered by the Board of Directors of the Sonoma Community Housing Corporation (SCHC), a non-profit housing corporation created by the City’s Community Development Agency (CDA). The Board of the SCHC is comprised of two City Councilmembers, the City Manager, a staff member designated by the City Manager and a public member. The operation of the apartment complex is contracted out to Hank Fisher Properties, a rental management firm, with the resident managers being employed by the firm. All accounting and finance for the complex is handled through the rental management contract. Rental income is used to repay the indebtedness issued for the purchase of the complex and to cover annual maintenance and other operational costs. Not Currently Active Fund
Housing Trust (Fund 732): The fund accumulates and distributes funding in accordance with the City Council’s Affordable Housing Plan. The main source of funding is from General Fund transfers of one percent of the Transient Occupancy Tax.

Agenda Item #7.3:

City of Sonoma
IGT (Intergovernmental Transfer) (Fund 796): State of California program that provides an opportunity to receive federal matching funds to support health services for Medi-Cal Managed Care beneficiaries served by the Fire Department.

SVFRA (Sonoma Valley Fire Rescue Association) Operations (Fund 798): Accounts for operational activities in which revenues and expenses are split between the City and SVFD.

Agenda Item #7.3:

City of Sonoma
Agenda Item Summary
Meeting: City Council - 18 Mar 2026
Department
Public Works
Staff Contact
Ashley Cotter, PW Admin & Project Manager
Agenda Item Title
Adopt a Resolution Authorizing the City Manager to Execute a Professional Services Agreement with Mercury Associates, Inc. Not to Exceed $59,925 for Fleet Assessment Consultant Services
Summary
The City of Sonoma has a fleet of 42 vehicles and 34 pieces of equipment, and departments with vehicles and large equipment contribute to the City's Vehicle Replacement Fund (VRF), which functions as an internal service fund (ISF) for the replacement of these vehicles in a timely manner before they begin costing more to maintain their value. The City anticipates having a positive fund balance in the VRF for the next 2-3 years but does not have a comprehensive 10-15 year replacement schedule, vehicle lifecycle costing, or other key metrics to assist City staff in accurately maintaining the VRF and strategically purchasing and maintaining vehicles and equipment.

A Request for Proposals (RFP) for fleet analysis services was issued by the Public Works Department on October 30, 2025. The scope of this RFP included reviewing fleet inventory and utilization and providing recommendations for reallocating or reducing fleet units as appropriate, evaluating current maintenance and repair operations and identifying opportunities for improvement, lifecycle costing and replacement planning recommendations and guidelines, as well as sustainability and regulatory compliance as required by California's Advanced Clean Fleet (ACF) requirements. Additionally, this included a review of current best management practices related to procurement, vehicle selection, suggesting software, metrics, or dashboards for both managing and operating an efficient and effective fleet program.

Seven proposals were received and reviewed by department members from Public Works, Finance, as well as Sonoma Valley Fire District. The initial review provided three top ranked firms. Interviews were conducted with the top three selected firms. Both the initial review and the interviews conducted used evaluation criteria specified in the RFP. These included, but were not limited to, criteria such as qualifications and experience of team members; experience in completing projects similar in size, scope and purpose; consultant availability to provide the requested services; approach to delivering the requested services, and cost.

Ultimately, staff recommends contracting with Mercury Associates, Inc. The review of the proposals was based on qualifications, not cost; however, the City's purchasing policy does allow City staff to consider cost when selecting consultants, but it cannot be the main reason for selection.

Staff has recommended that the Vehicle Replacement Fund (VRF) fund this effort.

Recommended Council Action
Adopt a Resolution Authorizing the City Manager to Execute a Professional Services Agenda Item #7.4:

Agreement with Mercury Associates, Inc. Not to Exceed $59,925 for Fleet Assessment Consultant Services
Alternative Actions
Council discretion.

Financial Impact
Staff is recommending that this be paid for out of the Vehicle Replacement Fund (VRF), which currently has enough funding to support this contract. The VRF takes in funding from all different departments with vehicles and equipment, so funding this effort from the VRF will also ensure equal participation from all participating departments.

Environmental Review Status
Environmental Impact Report
Negative Declaration
Exempt
Not Applicable
Approved/Certified
No Action Required
Action Requested
Attachments
Resolution - Fleet contract award V3
Fleet Analysis Contract
Alignment with Council Goals:

Agenda Item #7.4:

City of Sonoma
RESOLUTION # _______- 2026

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SONOMA AUTHORIZING THE

CITY MANAGER TO EXECUTE A PROFESSIONAL SERVICE AGREEMENT WITH MERCURY ASSOCIATES, INC., IN AN AMOUNT NOT TO EXCEED $59,925 WHEREAS, the City of Sonoma has identified improvements needed in fleet practices, lifecycle costing, and replacement funding, and is required to comply with California Advanced Clean Fleet (ACF) regulations; and
WHEREAS, a Request for Proposal (RFP) for fleet analysis services was issued by the Public Works Department on October 30, 2025, and seven proposals were received; and WHEREAS, given that this effort is highly interdepartmental, staff from Finance, Parks, Public Works, and the Sonoma Valley Fire District collectively reviewed all proposals and interviewed the top three firms; and
WHEREAS, ultimately Mercury Associates, Inc., was deemed highly qualified to support the City in this effort to right-size both fleet and Vehicle Replacement Fund contributions, as well as providing guidance on best management practices and regulatory compliance initiatives.

NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Sonoma that the City Manager is authorized to execute a Professional Services Agreement with Mercury Associates, Inc. in an amount not to exceed $59,925 for fleet analysis services.

RESOLVED, PASSED, AND ADOPTED, at a Regular Meeting of the City Council of the City of Sonoma on this 18th day of March 2026 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

_________________________________
Ron Wellander, Mayor
ATTEST:
_____________________________________________
Monique Saviez Burns, CPMC, CMC, Deputy City Clerk
Agenda Item #7.4:

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PROFESSIONAL SERVICES AGREEMENT

FOR CONSULTANT SERVICES
(City of Sonoma / Mercury Associates, Inc.)

1. IDENTIFICATION
This PROFESSIONAL SERVICES AGREEMENT (“Agreement”) is entered into as of the last date indicated below by and between the City of Sonoma, a California municipal corporation (“City”), and Mercury Associates, Inc., a South Carolina Corporation (“Consultant”) (collectively, “parties”).

2. RECITALS

2.1 City has determined that it requires the following professional services from a consultant: fleet analysis services.

2.2 Consultant represents that it is fully qualified to perform such professional services by virtue of its experience and the training, education and expertise of its principals and employees. Consultant further represents that it is willing to accept responsibility for performing such services in accordance with the terms and conditions set forth in this Agreement.

2.3 City has relied upon the professional ability and training of Consultant as a material inducement to enter into this Agreement. Consultant shall perform in accordance with generally accepted professional practices and standards as well as the requirements of applicable federal, state and local laws, it being understood that acceptance of Consultant’s work by City shall not operate as a waiver or release. Consultant represents and warrants to City that (a) it has all licenses, permits, qualifications, insurance and approvals of whatever nature which are legally required for Consultant to practice its profession, and (b) it shall, at its sole cost, keep in effect or obtain at all times during the term of this Agreement any licenses, permits, insurance and approvals which are legally required for Consultant to practice its profession. Consultant shall indemnify and hold harmless the City from and against any and all claims or expenses caused or occasioned directly or indirectly by Consultant’s failure to so perform.

NOW, THEREFORE, for and in consideration of the mutual covenants and conditions herein contained, City and Consultant agree as follows:

Agenda Item #7.4:

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3. DEFINITIONS

3.1 “Agreement Administrator” for this project means Mike Berger, Public Works Director. The Agreement Administrator shall be the principal point of contact at the City for this project. All services under this Agreement shall be performed at the request of the Agreement Administrator. The Agreement Administrator will establish the timetable for completion of services and any interim milestones. City reserves the right to change this designation upon written notice to Contractor.

3.2 “Approved Fee Schedule” means such compensation rates as are set forth in Consultant’s January 5, 2026 fee schedule to City attached hereto and fully incorporated herein by this reference. This fee schedule shall remain in effect for the duration of this Agreement unless modified in writing by mutual agreement of the parties.

3.3 “Commencement Date” means March 18th, 2026 .

3.4 “Consultant Project Administrator” means Dan Reichmann. The Consultant Project Administrator will be the principal point of contact for the Consultant.

3.5 “Maximum Amount” means the highest total compensation and costs payable to Consultant by City under this Agreement. The Maximum Amount under this Agreement is Fifty Nine Thousand Nine Hundred Twenty Five Dollars ($59,925.00).

3.6 “Scope of Services” means such professional services as are set forth in Consultant’s January 5, 2026 proposal to City attached hereto as “Exhibit A” and fully incorporated herein by this reference.

3.7 “Termination Date” means March 18, 2028.

4. TERM
The term of this Agreement shall commence at 12:00 a.m. on the Commencement Date and shall terminate at 11:59 p.m. on the Termination Date unless extended in writing by mutual agreement of the parties or terminated earlier in accordance with Section 18 (“Termination”) below. Consultant may request extensions of time to perform the services required hereunder. Such extensions shall be effective if Agenda Item #7.4:

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authorized in advance by City in writing and incorporated in written amendments to this Agreement.

5. CONSULTANT’S SERVICES

5.1 Time is of the essence in Consultant’s performance of services under this Agreement.

5.2 Consultant shall perform the services identified in the Scope of Services.

City shall have the right to request, in writing, changes in the Scope of Services. Any such changes mutually agreed upon by the parties, and any corresponding increase or decrease in compensation, shall be incorporated by written amendment to this Agreement. In performing services under this Agreement, Consultant shall coordinate all contact with City through its Agreement Administrator. All changes and/or extra work shall be performed and paid for in accordance with the following:

5.2.1 Only the City Public Works Director or City Council may authorize extra and/or changed work. Consultant expressly recognizes that other City personnel are without authorization to either order extra and/or changed work or waive contract requirements. Failure of Consultant to secure the Council’s or City Public Works Director authorization for such extra and/or changed work shall constitute a waiver of any and all right to adjustment in the Maximum Amount due to such unauthorized work and Consultant thereafter shall be entitled to no compensation whatsoever for performance of such work.

5.2.2 If the Consultant is of the opinion that any work s/he has been directed to perform is beyond the scope of this Agreement and constitutes extra work, s/he shall promptly notify the Agreement Administrator of this opinion. The City shall make a determination as to whether or not such work is, in fact, beyond the scope of this Agreement and constitutes extra work. In the event that the City determines that such work does constitute extra work, it shall provide extra compensation to the Consultant on a fair and equitable basis. A Supplemental Agreement providing for such compensation for extra work shall be negotiated between the City and the Consultant. Such Supplemental Agreement shall be Agenda Item #7.4:

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executed by the Consultant and be approved by the City in accordance with its purchasing policy.

5.2.3 In the event City determines that such work does not constitute extra work, Consultant shall not be paid extra compensation above that provided herein and if such determination is made by City staff, this determination may be appealed to the City Council as long as a written appeal is submitted to the City Manager within five (5) days after the staff’s determination is received by the Consultant. Any written appeal shall include a description of each and every ground upon which Consultant challenges the staff’s determination. The City Council’s decision shall be final.

5.3 In no event shall the total compensation and costs payable to Consultant under this Agreement exceed the Maximum Amount unless specifically approved in advance and in writing by City. Consultant shall notify the Agreement Administrator, in writing, when fees and expenses incurred under this Agreement have reached eighty percent (80%) of the Maximum Amount payable above. Consultant shall concurrently inform the Agreement Administrator, in writing, of Consultant’s estimate of total expenditures required to complete its current assignments before proceeding, when the remaining work on such assignments would exceed the Maximum Amount payable above.

5.4 Consultant shall perform all work to the highest standards of Consultant’s profession and in a manner reasonably satisfactory to City. Consultant shall comply with all applicable federal, state and local laws and regulations, including the conflict-of-interest provisions of Government Code Section 1090 and the Political Reform Act (Government Code Section 81000 et seq.).

5.5 Consultant shall obtain and maintain in force a City business license for the term of this Agreement.

5.6 Consultant represents that it has no known relationships with third parties, City Council Members, or employees of City which would (i) present a conflict of interest with the rendering of services under this Agreement under Government Code Section 1090, the Political Reform Act (Government Code Section 81000 et seq.), or other applicable law, (ii) prevent Consultant from performing the terms of this Agreement, or Agenda Item #7.4:

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(iii) present a significant opportunity for the disclosure of confidential information.

5.7 During the term of this Agreement, Consultant shall not perform any work for another person or entity for whom Consultant was not working at the Commencement Date if both (i) such work would require Consultant to abstain from a decision under this Agreement pursuant to a conflict of interest statute and (ii) City has not consented in writing to Consultant’s performance of such work.

5.8 This Agreement is subject to Government Code section 84308, as amended by Senate Bill 1439 (2022), Senate Bill 1181 (2024), and Senate Bill 1243 (2024). Consultant shall disclose any contribution to an elected or appointed City official’s campaign or committee in an amount of more than five hundred dollars ($500) made within 12 months preceding the Commencement Date, by Consultant, its, her, or his agent, or another party affiliated with Consultant. Consultant shall provide a signed copy of the attached Campaign Contribution Disclosure Form, Exhibit C, to City prior to, or concurrent with, Consultant’s execution of this Agreement and no later than the Commencement Date.

5.9 Pursuant to Government Code section 1097.6, Consultant’s duties and services under this Agreement shall not include preparing or assisting the City with any portion of the City’s preparation of a request for proposals, request for qualifications, or any other solicitation regarding a subsequent or additional contract with the City. The City shall at all times retain responsibility for public contracting, including with respect to any subsequent phase of this project. Consultant’s participation in the planning, discussions, or drawing of project plans or specifications shall be limited to conceptual, preliminary, or initial plans or specifications.

Consultant shall cooperate with the City to ensure that all bidders for a subsequent contract on any subsequent phase of this project have access to the same information, including all conceptual, preliminary, or initial plans or specifications prepared by Consultant, if any, pursuant to this Agreement.

5.10 Consultant represents that it has, or will secure at its own expense, all personnel required to perform the services identified in the Scope of Services. All such services shall be performed by Consultant or under its supervision, and all personnel engaged in the work shall be qualified to Agenda Item #7.4:

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perform such services. The Consultant Project Administrator shall have direct responsibility for management of Consultant’s performance under this Agreement. No other person shall serve as Consultant Project Administrator without City’s prior written consent.

5.11 This Agreement covers professional services of a specific and unique nature. Except as otherwise provided herein, Consultant shall not assign or transfer its interest in this Agreement or subcontract any services to be performed without amending this Agreement.

5.12 Consultant shall be responsible to City for all services to be performed under this Agreement. All subconsultants shall be approved by the Agreement Administrator and their billing rates identified in the Approved Fee Schedule, Exhibit A. City shall pay Consultant for work performed by its subconsultants (including labor) only at Consultant’s actual cost plus an approved mark-up as set forth in the Approved Fee Schedule, Exhibit A. Consultant shall be liable and accountable for any and all payments, compensation, and federal and state taxes to all subconsultants performing services under this Agreement. City shall not be liable for any payment, compensation, or federal and state taxes for any subconsultants.

5.13 Consultant shall notify the Agreement Administrator, in writing, of any change in name, ownership or control of Consultant’s firm or of any subconsultant. Change of ownership or control of Consultant’s firm may require an amendment to the Agreement.

5.14 Prevailing Wage Notice.

5.14.1 This Agreement is subject to prevailing wage law, for all work performed under the Agreement for which the payment of
prevailing wages is required under the California Labor Code. In particular, Consultant acknowledges that prevailing wage determinations are available for the performance of inspection and survey work.

5.14.2 In the event Consultant will perform inspection services, City or authorized representatives of the City shall have the right to inspect the work of such services whenever such representatives may deem such inspection to be desirable or necessary. Inspections by the City do not in any way relieve or minimize the responsibility of Agenda Item #7.4:

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Consultant to conduct the inspections Consultant has expressly agreed to perform pursuant to this Agreement. Consultant shall be solely liable for said inspections performed by Consultant.

Consultant shall certify in writing to the City as to the completeness and acceptability of each inspection of improvement or
construction which Consultant agrees to inspect hereunder.

6. COMPENSATION

6.1 City agrees to compensate Consultant for the services provided under this Agreement and Consultant agrees to accept payment in accordance with the Approved Fee Schedule in full satisfaction for such services.

6.2 Consultant shall submit to City an invoice, on a monthly basis or less frequently, for services performed pursuant to this Agreement. Each invoice shall identify the Maximum Amount, the services rendered during the billing period, the amount due for the invoice, and the total amount previously invoiced. All labor charges shall be itemized by employee name and classification/position with the firm, the corresponding hourly rate, the hours worked, a description of each labor charge, and the total amount due for labor charges. Consultant shall include a copy of each subconsultant invoice for which reimbursement is sought in the invoice.

6.3 City shall not withhold applicable taxes or other payroll deductions from payments made to Consultant except as otherwise required by law.

Consultant shall be solely responsible for calculating, withholding, and paying all taxes.

6.4 The parties agree to meet and confer at mutually agreeable times to resolve any disputed amounts contained in an invoice submitted by Consultant.

7. OWNERSHIP OF WRITTEN PRODUCTS
All reports, documents or other written material, and all electronic files, including computer-aided design files, developed by Consultant in the performance of this Agreement (such written material and electronic files are collectively known as “written products”) shall be and remain the property of City without restriction or limitation upon its use or dissemination by City except as provided by law. Consultant may take and retain copies of such written products as desired, but no such written products shall be the subject of a copyright application by Consultant.

Agenda Item #7.4:

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8. RELATIONSHIP OF PARTIES

8.1 Consultant is, and shall at all times remain as to City, a wholly independent contractor. Consultant shall have no power to incur any debt, obligation, or liability on behalf of City or otherwise to act on behalf of City as an agent. Consultant, its officers, employees and agents shall not have any power to bind or commit the City to any decision or course of action, and Consultant, its officers, employees and agents shall not represent to any person or party that it or they are acting as agents of the City or that it or they have the power to bind or commit the City. Neither City nor any of its agents shall have control over the conduct of Consultant or any of Consultant’s employees, except as set forth in this Agreement. Consultant shall not represent that it is, or that any of its agents or employees are, in any manner employees of City.

8.2 Under no circumstances shall Consultant look to the City as its employer.

Consultant shall not be entitled to any benefits. City makes no representation as to the effect of this independent contractor relationship on Consultant’s previously earned California Public Employees Retirement System (“CalPERS”) retirement benefits, if any, and Consultant specifically assumes the responsibility for making such a determination. Consultant shall be responsible for all reports and obligations including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, workers’ compensation, and other applicable federal and state taxes.

9. CONSULTANT PROJECT ADMINISTRATOR
In performing services under this Agreement, Consultant shall coordinate all contact with City through its Agreement Administrator. City reserves the right to change this designation upon written notice to Consultant. All services under this Agreement shall be performed at the request of the Agreement Administrator, who will establish the timetable for completion of services and any interim milestones.

10. INDEMNIFICATION

10.1 The parties agree that City, its officers, agents, employees, and volunteers should, to the fullest extent permitted by law, be protected from any and all loss, injury, damage, claim, lawsuit, cost, expense, attorneys’ fees, litigation costs, taxes, or any other cost arising out of or in any way related to the performance of this Agreement. Accordingly, the parties intend the Agenda Item #7.4:

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provisions of this indemnity provision to be interpreted and construed to provide the City with the fullest protection possible under the law.

Consultant acknowledges that City would not enter into this Agreement in the absence of Consultant’s commitment to indemnify and protect City as set forth herein.

10.2 To the fullest extent permitted by law, Consultant shall indemnify, hold harmless, and when the City requests with respect to a claim provide a deposit for the defense of, and defend (with counsel satisfactory to City) City, its officers, agents, employees and volunteers from and against any and all claims, losses, costs and expenses for any damage due to death or injury to any person, whether physical, emotional, consequential or otherwise, and injury to any property arising out of or in connection with Consultant’s alleged negligence, recklessness or willful misconduct or other wrongful acts, errors or omissions of Consultant or any of its officers, employees, servants, agents, or subconsultants, or anyone directly or indirectly employed by either Consultant or its subconsultants, in the performance of this Agreement or its failure to comply with any of its obligations contained in this Agreement, except such loss or damage which is caused by the sole active negligence or willful misconduct of the City. Such costs and expenses shall include reasonable attorneys’ fees due to counsel of City’s choice, expert fees and all other expenses of litigation.

Consultant shall not be entitled to any refund of attorneys’ fees, defense costs or expenses in the event that it is adjudicated to have been nonnegligent.

10.3 City shall have the right to offset against any compensation due Consultant under this Agreement any amount due City from Consultant as a result of Consultant’s failure to pay City promptly any indemnification arising under this Section 10 of this Agreement and any amount due City from Consultant arising from Consultant’s failure either to (i) pay taxes on amounts received pursuant to this Agreement or (ii) comply with applicable workers’ compensation laws.

10.4 The obligations of Consultant under this Section 10 of this Agreement are not limited by the provisions of any workers’ compensation or similar statute. Consultant expressly waives its statutory immunity under such statutes as to City, its officers, agents, employees and volunteers.

Agenda Item #7.4:

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10.5 Consultant agrees to obtain executed indemnity agreements with provisions identical to those set forth here in Section 10 of this Agreement from each and every subconsultant or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. If Consultant fails to obtain such indemnity obligations from others, Consultant agrees to indemnify, hold harmless and defend City, its officers, agents, employees and volunteers from and against any and all claims, losses, costs and expenses for any damage due to death or injury to any person and injury to any property resulting from any alleged intentional, reckless, negligent, or otherwise wrongful acts, errors or omissions of Consultant’s subconsultants or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. Such costs and expenses shall include reasonable attorneys’ fees incurred by counsel of City’s choice.

10.6 City does not, and shall not, waive any rights that it may possess against Consultant because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Agreement.

This hold harmless and indemnification provision shall apply whether or not any insurance policies apply to a claim, demand, damage, liability, loss, cost or expense.

10.7 In the event that Consultant or any employee, agent, or subconsultant of Consultant providing services under this Agreement claims or is determined by a court of competent jurisdiction or CalPERS to be eligible for enrollment in CalPERS as an employee of the City, Consultant shall indemnify, defend, and hold harmless City for the payment of any employee and/or employer contributions for CalPERS benefits on behalf of Consultant or its employees, agents, or subconsultants, as well as for the payment of any penalties and interest on such contributions, which would otherwise be the responsibility of City.

10.8 Notwithstanding any federal, state, or local policy, rule, regulation, law or ordinance to the contrary, Consultant and any of its employees, agents, and subconsultants providing service under this Agreement shall not qualify for or become entitled to, and hereby agree to waive any claims to, any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in CalPERS as an employee of City and entitlement to any contribution to be paid by City Agenda Item #7.4:

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for employer contribution and/or employee contributions for CalPERS benefits.

11. INSURANCE

11.1 During the term of this Agreement, Consultant shall carry, maintain, and keep in full force and effect insurance against claims for death or injuries to persons or damages to property that may arise from or in connection with Consultant’s performance of this Agreement.

11.2 Any available insurance proceeds broader than or in excess of the specified minimum Insurance coverage requirements or limits shall be available to City as an Additional Insured as provided below.

Furthermore, the requirements for coverage and limits shall be the greater of (1) the minimum coverage and limits specified in this Agreement, or (2) the broader coverage and maximum limits of coverage of any Insurance policy or proceeds available to the named Insured.

11.3 Insurance required under this Agreement shall be of the types set forth below, with minimum coverage as described:

11.3.1 Comprehensive General Liability Insurance written on a per occurrence basis with coverage limits of not less than Two Million Dollars ($2,000,000) per occurrence and Four Million Dollars ($4,000,000) general aggregate, including products and operations hazard, contractual insurance, broad form property damage, independent consultants, personal injury, underground hazard, and explosion and collapse hazard where applicable.

11.3.2 Automobile Liability Insurance for vehicles used in connection with the performance of this Agreement with minimum limits of Two Million Dollars ($2,000,000) per claimant and Two Million dollars ($2,000,000) per incident. Automobile liability insurance shall be evidenced by ISO Form Number CA 0001 covering Code 1 (any auto) or, if Consultant has no owned autos, Code 8 (hired) and 9 (non-owned).

11.3.3 Worker’s Compensation insurance if and as required by the laws of the State of California.

Agenda Item #7.4:

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11.3.4 Professional Errors and Omissions Insurance with coverage limits of not less than One Million Dollars ($1,000,000) per occurrence and Two Million Dollars ($2,000,000) aggregate. In the event Consultant’s policy is a “claims made” policy only covering those claims made during the policy period, then Consultant agrees to maintain the professional liability insurance required hereunder and with respect to this project in effect for at least three (3) years after acceptance of the work. The retroactive date of the policy must be shown and must be before the Commencement Date of this Agreement. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a retroactive date before the Commencement Date of this Agreement, the Consultant must purchase “extended reporting” coverage for a minimum of three (3) years after completion of work.

11.4 Consultant shall require each of its subconsultants to maintain insurance coverage that meets all of the requirements of this Agreement provided however, that the Agreement Administrator may waive the provision of Errors and Omissions Insurance by subconsultants in his or her sole discretion.

11.5 The policy or policies required by this Agreement shall be issued by an insurer admitted in the State of California and with a rating of at least A:VII in the latest edition of Best’s Insurance Guide.

11.6 Consultant agrees that if it does not keep the insurance coverages required by this Agreement in full force and effect, City may either (i) immediately terminate this Agreement; or (ii) take out the necessary insurance and pay the premium(s) thereon at Consultant’s expense.

11.7 At all times during the term of this Agreement, Consultant shall maintain on file with City’s Risk Manager a certificate or certificates of insurance showing that the required coverages are in effect and naming City and its officers, employees, agents and volunteers as Additional Insureds. Prior to commencement of work under this Agreement, Consultant shall file with City’s Risk Manager such certificate(s) and Forms CG 20 10 07 04 and CG 20 37 07 04 or the substantial equivalent showing City as an Additional Insured.

Agenda Item #7.4:

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11.8 Consultant shall provide proof that policies of insurance required by this Agreement expiring during the term of this Agreement have been renewed or replaced with other policies providing at least the same coverage. Such proof will be furnished at least two weeks prior to the expiration of the coverages.

11.9 The general liability and automobile policies of insurance required by this Agreement shall contain an endorsement naming City and its officers, employees, agents and volunteers as Additional Insureds. All of the policies required under this Agreement shall contain an endorsement providing that the policies cannot be canceled or reduced except on thirty days’ prior written notice to City. Consultant agrees to require its insurer to modify the certificates of insurance to delete any exculpatory wording stating that failure of the insurer to mail written notice of cancellation imposes no obligation, and to delete the word “endeavor” with regard to any notice provisions.

11.10 The insurance provided by Consultant shall be primary to any other coverage available to City. Any insurance or self-insurance maintained by City and/or its officers, employees, agents or volunteers shall be in excess of Consultant’s insurance and shall not contribute with it.

11.11 All insurance coverage provided pursuant to this Agreement shall not prohibit Consultant, and Consultant’s employees, agents or subconsultants, from waiving the right of subrogation prior to a loss.

Consultant hereby waives all rights of subrogation against the City.

Consultant agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer. However, the Workers’ Compensation policy shall be endorsed with a waiver of subrogation in favor of the City for all work performed by the Consultant, its employees, agents and subconsultants.

11.12 Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of City, Consultant shall either reduce or eliminate the deductibles or self-insured retentions with respect to City, or Consultant shall procure a bond in the amount of the deductible or selfinsured retention to guarantee payment of losses and expenses.

Agenda Item #7.4:

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11.13 Procurement of insurance by Consultant shall not be construed as a limitation of Consultant’s liability or as full performance of Consultant’s duties to indemnify, hold harmless and defend under Section 10 of this Agreement.

11.14 Consultant may be self-insured under the terms of this Agreement only with express written approval from the City.

11.14.1All self-insured retentions (SIR) must be disclosed to the City for approval and shall not reduce the limits of liability.

11.14.2Policies containing any SIR provision shall provide or be endorsed to provide that the SIR may be satisfied by either the named Insured or the City.

11.15 City reserves the right to obtain a full certified copy of any Insurance policy and endorsements. Failure to exercise this right shall not constitute a waiver of the right to exercise later.

12. MUTUAL COOPERATION

12.1 City shall provide Consultant with all pertinent data, documents and other requested information as is reasonably available for the proper performance of Consultant’s services under this Agreement.

12.2 If any claim, action, or proceeding is brought against City relating to Consultant’s performance in connection with this Agreement, Consultant shall render any reasonable assistance that City may require in the defense of that claim, action, or proceeding.

13. CONFIDENTIALITY
All data, documents, discussion, or other information developed or received by Consultant or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Consultant without prior written consent by City. City shall grant such consent if disclosure is legally required. Upon request, all City data shall be returned to City upon the termination or expiration of this Agreement.

14. RECORDS AND INSPECTIONS
Consultant shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, and other records or documents evidencing or relating to Agenda Item #7.4:

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charges for services or expenditures and disbursements charged to City under this Agreement for a minimum of three (3) years, or for any longer period required by law, from the date of final payment to Consultant under this Agreement. All such documents shall be made available for inspection, audit, and/or copying at any time during regular business hours, upon oral or written request of City. City shall further have the right to make transcripts therefrom and to inspect all program data, documents, proceedings, and activities.

In addition, pursuant to Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds ten thousand dollars, all such documents and this Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of City, for a period of three (3) years after final payment under the Agreement.

15. PERMITS AND APPROVALS
Consultant shall obtain, at its sole cost and expense, all permits and regulatory approvals necessary for Consultant’s performance of this Agreement. This includes, but shall not be limited to, professional licenses, encroachment permits and building and safety permits and inspections.

16. NOTICES
Any notices, bills, invoices, or reports required by this Agreement shall be deemed received on: (i) the day of delivery if delivered by hand, facsimile or overnight courier service during Consultant’s and City’s regular business hours; (ii) the third business day following deposit in the United States mail if delivered by mail, postage prepaid, to the addresses listed below (or to such other addresses as the parties may, from time to time, designate in writing); or (iii) the day of delivery if emailed to the email address listed below and simultaneously deposited in the U.S. mail, postage prepaid, to the address(es) listed below (or to such other addresses as the parties may, from time to time, designate in writing).

If to City:

Mike Berger
City of Sonoma
Public Works Dept
No. 1 The Plaza
Sonoma, CA 95476
Telephone: (707) 933-2233
If to Consultant:

Dan Reichmann
Mercury Associates, Inc.
186 Seven Farms Drive, Ste F
Daniel Island, SC, 29492
Telephone: 202-306-8127
Agenda Item #7.4:

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Email: [email protected] Email: dreichmann@mercuryassoc.com With courtesy copy to:

David J. Ruderman, Sonoma City Attorney
Colantuono, Highsmith & Whatley, PC
670 W. Napa Street, Suite F
Sonoma, CA 95476
Telephone: (707) 986-8091
Facsimile: (707) 509-7295
Email: [email protected]

17. SURVIVING COVENANTS
The parties agree that the covenants contained in Paragraph 8.2, Section 10, Paragraph 12.2, Section 13, and Section 14 of this Agreement shall survive the expiration or termination of this Agreement.

18. TERMINATION

18.1 The City may, in its sole and unfettered discretion and without cause, terminate this Agreement at any time prior to completion by Consultant of the services required. Notice of Termination of this Agreement shall be given in writing to Consultant and shall be sufficient and complete when same is emailed to Consultant and simultaneously deposited in the United States mail postage prepaid and certified, addressed as set forth in Section 16 of this Agreement. The Agreement shall be terminated upon receipt of the Notice of Termination by Consultant. If City should terminate this Agreement, the Consultant shall be compensated for all work satisfactorily performed prior to time of receipt of termination notice, and shall be compensated for materials ordered by the Consultant or his/her employees, or services of others ordered by the Consultant or his/her employees prior to receipt of Notice of Termination whether or not such Agenda Item #7.4:

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materials or final instruments of services of others have actually been delivered, provided that the Consultant or its employees are not able to cancel such orders for materials or services of others. Compensation for the Consultant in the event of termination by the City shall be determined by the Public Works Director in accordance with the percentage of project completed. In the event that this Agreement is terminated pursuant to this Paragraph 18.1, Consultant shall not be entitled to any additional compensation over that provided herein; nor shall Consultant be entitled to payment for any alleged damages or injuries (including lost opportunity damages) purportedly caused by the termination of this Agreement by the City pursuant hereto.

18.2 Consultant may terminate this Agreement upon thirty (30) days written notice to the City only for good cause. Consultant’s written notice of termination shall contain a full explanation of the facts and circumstances constituting good cause. In the event of termination, all notes, sketches, computations, drawings and specifications, or other data, whether complete or not, produced through the time of the City’s last payment shall be relinquished to the City. The City may, at its own expense, make copies or extract information from any such notes, sketches, computations, drawings, and specifications, or other data whether complete or not.

18.3 Should the Consultant fail to perform any of its obligations hereunder, within the time and in the manner provided or otherwise violate any of the terms of this Agreement, the City may terminate this Agreement by giving written notice of such termination, stating the reasons for such termination in such event. Consultant shall be compensated as above, provided, however, there shall be deducted from such amount the amount of damage if any, sustained by City by virtue of the Consultant’s breach of this Agreement.

18.4 In no event shall Consultant be entitled to receive more than the Maximum Amount that would be paid to Consultant for the full performance of the services required by this Agreement as provided in Paragraph 3.5 above and as otherwise provided in this Agreement.

19. GENERAL PROVISIONS

19.1 Consultant shall not delegate, transfer, subcontract or assign its duties or rights hereunder, either in whole or in part, without City’s prior written Agenda Item #7.4:

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consent, and any attempt to do so shall be void and of no effect. City shall not be obligated or liable under this Agreement to any party other than Consultant.

19.2 In the performance of this Agreement, Consultant shall not discriminate against any employee, subconsultant, or applicant for employment because of race, color, sex (including pregnancy, childbirth, or related medical condition), creed, national origin, color, disability as defined by law, disabled veteran status, Vietnam veteran status, religion, age (40 and above), medical condition (cancer-related), marital status, ancestry, sexual orientation, or any other unlawful basis, including without limitation, the City’s Non-Discrimination Policy adopted as Resolution #25-2019.

Consultant shall take affirmative action to ensure that applicants are employed, and that employees are treated during employment without regard to race, sex (including pregnancy, childbirth, or related medical condition), creed, national origin, color, disability as defined by law, disabled veteran status, Vietnam veteran status, religion, age (40 and above), medical condition (cancer-related), marital status, ancestry, sexual orientation, or any other unlawful basis. Such action shall include, but not be limited to, the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; or in terms, conditions or privileges of employment, and selection for training, Consultant agrees to post in conspicuous places, available to employees and applicants for employment, the provisions of this nondiscrimination clause.

19.3 Each party had an opportunity to consult with an attorney in reviewing and drafting this Agreement. Any uncertainty or ambiguity shall not be construed for or against any party based on attribution of drafting.

19.4 The captions appearing at the commencement of the Sections hereof, and in any paragraph thereof, are for convenience in reference to this Agreement. Should there be any conflict between such heading, and the Section or Paragraph thereof at the head of which it appears, the Section or Paragraph shall govern construction of this Agreement. Masculine or feminine pronouns shall be substituted for the neuter form and vice versa, and the plural shall be substituted for the singular and vice versa, in any place or places herein in which the context requires such substitution(s).

Agenda Item #7.4:

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19.5 The waiver by City or Consultant of any breach of any term, covenant or condition herein contained shall not be deemed to be a waiver of any other term, covenant or condition or of any subsequent breach of the same or any other term, covenant or condition herein contained. No term, covenant or condition of this Agreement shall be deemed to have been waived by City or Consultant unless in writing signed by one authorized to bind the party to be charged with the waiver.

19.6 Consultant shall not be liable for any failure to perform if Consultant presents acceptable evidence, in City’s sole judgment, that such failure was due to causes beyond the control and without the fault or negligence of Consultant.

19.7 Each right, power and remedy provided for herein or now or hereafter existing at law, in equity, by statute, or otherwise shall be cumulative and shall be in addition to every other right, power, or remedy provided for herein or now or hereafter existing at law, in equity, by statute, or otherwise. The exercise, the commencement of the exercise, or the forbearance from the exercise by any party of any one or more of such rights, powers or remedies shall not preclude the simultaneous or later exercise by such party of any or all of such other rights, powers or remedies. If legal action shall be necessary to enforce any term, covenant or condition contained in this Agreement, the party prevailing in such action, whether or not reduced to judgment, shall be entitled to its reasonable court costs, including any accountants’ and attorneys’ fees expended in the action. The venue for any litigation shall be Sonoma County, California and Consultant hereby consents to jurisdiction in Sonoma County for purposes of resolving any dispute or enforcing any obligation arising under this Agreement.

19.8 If any term or provision of this Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, then such term or provision shall be amended to, and solely to the extent necessary to, cure such invalidity or unenforceability, and in its amended form shall be enforceable. In such event, the remainder of this Agreement, or the application of such term or provision to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected thereby, and each term and provision of this Agreement shall be valid and be enforced to the fullest extent permitted by law.

Agenda Item #7.4:

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19.9 This Agreement shall be governed and construed in accordance with the laws of the State of California.

19.10 All documents referenced as exhibits in this Agreement are hereby incorporated into this Agreement. In the event of any material discrepancy between the provisions of this Agreement and those of any document incorporated herein by reference, the provisions of this Agreement shall prevail. This instrument contains the entire Agreement between City and Consultant with respect to the transactions contemplated herein. No other prior oral or written agreements are binding upon the parties. Amendments hereto or deviations herefrom shall be effective and binding only if made in writing and executed on behalf of the City and Consultant.

19.11 Nonprofit service contractors which receive contracts from the City of $75,000 or more in a 12-month period, and for-profit service contractors who receive contracts from the City of $10,000 or more in a 12-month period, provided they have more than six employees, may be subject to the City’s Living Wage Ordinance. Sub-contractors with $50,000 or more in annual gross receipts may also be subject to the Living Wage Ordinance. Unless otherwise exempt in accordance with the provisions of the Ordinance (Sonoma Municipal Code Chapter 2.70), this Agreement is subject to applicable provisions of the Living Wage Ordinance of the City as amended from time to time and available on the City’s website.

19.12 This Agreement may be signed in one or more counterparts, each of which shall be deemed an original, but all of which together shall be deemed one and the same instrument. The parties acknowledge and agree that this Agreement may be executed by electronic signature, which shall be considered as an original signature for all purposes and shall have the same force and effect as an original signature. Without limitation, “electronic signature” shall include faxed or emailed versions of an original signature, electronically scanned and transmitted versions (e.g., via pdf) of an original signature, or a digital signature.

19.13 This Agreement shall be binding on successors and assigns of the parties.

19.14 Except as expressly stated herein, there is no intended third-party beneficiary of any right or obligation assumed by the parties.

19.15 The recitals are incorporated by this reference.

Agenda Item #7.4:

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[Signatures on following page]
Agenda Item #7.4:

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TO EFFECTUATE THIS AGREEMENT, the parties have caused their duly authorized representatives to execute this Agreement as of the last date indicated below:
“City”
City of Sonoma
By:________________________________
Signature
Printed: David Guhin
Title: City Manager
Date:______________________
“Consultant”
Mercury Associates, Inc.

By:________________________________
Signature
Printed: Micah Brassfield
Title: Vice President of Operations
Date:______________________
Attest:

By:__________________________________
Monique Saviez Burns, CPMC, CMC,
Deputy City Clerk
Date:________________________
By:________________________________
Signature
Printed: Dan Reichmann
Title: Director of Advisory Services
Date:______________________
Approved as to form:

By:__________________________________
David J. Ruderman, City Attorney
Date:________________________
Agenda Item #7.4:

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“EXHIBIT A”
Scope of Work
Agenda Item #7.4:

Proposal to Provide Fleet Analysis
Services to the City of Sonoma
MERCURY ASSOCIATES, INC. PAGE |9
186 Seven Farms Drive, Suite F, PMB #103 | Daniel Island, SC 29492 www.mercury-assoc.com | (888) 518-3377 Project Understanding and Approach
Project Methodology Our approach to conducting this assessment will be inclusive, interactive, and results oriented. Our goal as management consultants is for our clients to improve their fleet management practices by acting based upon our recommendations. This requires that our recommendations be practical and appropriate to the challenges and opportunities facing a specific client at a specific point in time. We have no interest in making recommendations that are technically or academically sound but ill-suited to the real-world conditions our clients face.

Site Visits and Stakeholder Engagement Mercury’s approach to fleet management consulting is characterized by a combination of high-touch client engagement, unmatched industry expertise, and premium service. Consequently, our approach does not seek to merely gather data, plug it into a system, and provide generic results. Rather, we make a concerted effort to travel onsite to meet our client partners face to face, evaluate the condition of vehicles, and assess the operational landscape firsthand. During this time, we will also meet with representatives of user departments, as appropriate or directed, to obtain their unique perspective of their use and need for fleet assets and the fleet program in general, which will help ensure our recommendations are feasible and directly applicable to the City’s unique challenges and goals pertaining to fleet.

Project Management Mercury takes a collaborative approach to all of our consulting engagements in an effort to ensure that the recommendations we make are practical, actionable, and tailored to the needs of the fleets we serve. Following contract execution, and prior to conducting the tasks outlined in the Work Plan below, members of our project team will meet with the City’s designated project team to conduct a project kick-off meeting. The primary objectives of the meeting will be to introduce the members of both project teams to one another and to confirm both parties’ understanding of project parameters including but not limited to goals and objectives, scope, approach, timeline, critical success factors, and deliverables.

In addition to specifically initiating the project through this task, Mercury will also monitor the progress of the project throughout the duration of the engagement and subsequent tasks. We will schedule and hold project calls at a cadence to be determined with the City’s project team, and we will set regular checkpoints aligned with the deliverable due dates for each task to ensure we remain on schedule and expectations remain aligned.

Data Collection Our team understands that clear, comprehensive data is paramount to accurately conducting our analyses. Thus, our approach also includes a formal request for information (RFI) once the project has been initiated. The RFI will be in the form of a checklist which identifies the documentary material that we would like to obtain to conduct the analysis and a detailed inventory and roster template developed in Microsoft Excel. Once received, we will review all documentary material and data provided for completeness and follow up, if necessary, on any missing or erroneous items to ascertain if they will be forthcoming or are not available.

Agenda Item #7.4:

Proposal to Provide Fleet Analysis
Services to the City of Sonoma
MERCURY ASSOCIATES, INC. PAGE |10
186 Seven Farms Drive, Suite F, PMB #103 | Daniel Island, SC 29492 www.mercury-assoc.com | (888) 518-3377 Task 1: Review Fleet Management Practices
Objectives:
• Develop an understanding of current fleet makeup, processes, and operations to serve as a foundation for subsequent tasks and recommendations
• Review practices related to procurement, vehicle selection, assignment of vehicles, financing and payment, lease options, and asset disposal • Suggest software, metrics, dashboards, or other industry-leading technology for managing and operating an efficient and effective fleet program • Review the metrics by which the City can measure the success of this effort, as well as the ongoing effectiveness and efficiency of the recommended fleet operations • Review and assess current staffing involved in fleet maintenance as well as fleet procurement across all relevant departments, including Police and Fire Approach:

In an effort to inform our approach to the remainder of the project tasks, our team will begin by conducting an evaluation of fleet management practices which will entail a review of current conditions, resources, and business practices. Our assessment will be rooted in industry best practice, reinforced by our team’s experience and expertise and guided by the eight disciplines of fleet management as put forth by the National Association of Fleet Administrators (NAFA).

Those eight principles are:

Asset Management
Maintenance Management
Financial Management
Risk Management
Fuel Management
Information Management
Professional Development
Business Management
More specifically, we will request all available data and documentation pertaining to procurement, vehicle selection, assignment, financing, and asset disposal to compare the City’s current processes with industry best practices, and to identify opportunities to adjust current processes to increase efficiency or efficacy. We will also leverage our knowledge of the leading technologies available within fleet to determine if there are opportunities to bolster current systems or to offer additional training to support the systems that are currently in place.

In our evaluation, we will determine how processes currently are performed through a combination of documentation review, employee interviews, focus group meetings, and site visits. Our team recognizes that successful fleet management is not determined by policy alone, and we acknowledge that the way processes and procedures are supposed to be performed and the way they are actually performed can differ. Thus, we will assess the adequacy of both the definition, as expressed in regulations, rules, policies, procedures, forms, etc. and the execution of fleet management processes in accordance with these requirements and guidelines.

Ultimately, our evaluation approach will not seek to merely differentiate good practices from bad, but to identify the factors unique to the client – whether political, organizational, Agenda Item #7.4:

Proposal to Provide Fleet Analysis
Services to the City of Sonoma
MERCURY ASSOCIATES, INC. PAGE |2
186 Seven Farms Drive, Suite F, PMB #103 | Daniel Island, SC 29492 www.mercury-assoc.com | (888) 518-3377 managerial, operational, administrative, fiscal, technological, educational, or other – that explain why some practices are strong and others weak. This will allow us to develop recommendations for improvement that are not generic or academic in nature, but of direct applicability to the needs, objectives, conditions, and capabilities of the fleet.

As part of this task, we will also review current organizational staffing to determine whether the current number of personnel is sufficient to deliver services and the way they are organized and deployed to accomplish their mission. We will begin by looking specifically at fleet staff, calculating the workload required to manage and maintain the fleet and then, using reasonable and appropriate performance standards, we will recommend the required workforce.

In evaluating key aspects of a fleet management organization’s performance, Mercury uses Vehicle Equivalency Unit (VEU) values. This benchmarking technique allows us to compute and compare certain metrics for different fleets by expressing the size of a fleet comprised of many different types of assets in terms of the equivalent number of passenger vehicles. Each class is given a VEU value that reflects the amount of maintenance and repair labor hours it is estimated to require in one year, in proportion to the amount of such effort typically required by a passenger vehicle (rated at 1.0 VEUs). The following graphic illustrates how this technique works:

Sample Vehicle Equivalent Unit Values
Vehicle Classification Sample VEU Value
Sedan, mid-size, administrative use 1.0
Pickup truck, LD 1.5
Backhoe, MD 4.5
Street Sweeper, HD 8.5
Aerial Ladder Truck 10.5
Mercury strives to compare standard VEU values to an organization’s actual performance, and to conduct the in-depth analysis required to successfully develop a comprehensive staffing plan. We also consider a number of other factors such as age and condition of the fleet, fleet maintenance facility limitations, skill level of technicians, training programs, business and workflow processes, Agenda Item #7.4:

Proposal to Provide Fleet Analysis
Services to the City of Sonoma
MERCURY ASSOCIATES, INC. PAGE |3
186 Seven Farms Drive, Suite F, PMB #103 | Daniel Island, SC 29492 www.mercury-assoc.com | (888) 518-3377 fleet availability requirements, bargaining unit implications, tooling and shop equipment, use of fleet technologies, etc.

We will also review staffing pertaining to procurement and across all relevant departments, evaluating both the number of staff and assignment of responsibilities to ensure the workload related to fleet is appropriately delegated to individuals with the skillset and bandwidth to manage it.

The results of this evaluation will serve as the foundation for developing specific recommendations for actionable improvements to fleet management processes which will reduce costs and/or improve the quality and effectiveness of both fleet management activities and the vehicles and equipment themselves that comprise the fleet. This methodology will guide our approach to the following tasks and inform the recommendations to follow.

Task 2: Conduct Fleet Inventory and Utilization Review
Objectives:
• Review and document the City’s complete fleet inventory, including age, mileage/hours, usage, condition of each vehicle/equipment unity, and life expectancy • Assess all fleet units identified as reserve, backup, and/or pool vehicles if used as such versus active fleet, in addition to identifying underused or overused assets • Collaborate with City staff to understand both met and unmet needs for vehicles • Provide recommendations for reallocating or reducing fleet units as appropriate Approach:

Mercury has organized our approach to this task into the following specific subtasks, which represent the culmination of Mercury’s Vehicle Allocation Methodology (VAM) approach to fleet right sizing. This method of evaluating fleet size and composition will allow us to identify assets that are underused, overused, and where assets may need to be reallocated or removed from the fleet to ensure users’ needs are met.

Task 2.1: Review and Document Fleet Inventory
We will utilize the information gathered as part of our initial request for information, in addition to utilization statistics such as current odometer and/or hour readings and the date of the meter reading to document a comprehensive fleet inventory list to use for this task. We will also request fuel consumption data for each unit for the past year or two if available, mileage by year for the past three years, domicile location, and other trip statistics that may be available such as work order data, telematics information, etc. Finally, we will request that the City identify contact names and contact information (i.e., email address) for each fleet asset included in the review.

Task 2.2: Develop Detailed Fleet Profile
We will then analyze utilization statistics by type of asset and use case in order to identify those assets in the City’s fleet whose usage is such that they should be further investigated for possible Agenda Item #7.4:

Proposal to Provide Fleet Analysis
Services to the City of Sonoma
MERCURY ASSOCIATES, INC. PAGE |4
186 Seven Farms Drive, Suite F, PMB #103 | Daniel Island, SC 29492 www.mercury-assoc.com | (888) 518-3377 reassignment to a shared-use pool or removal from the fleet either immediately or at the end of the service life of the current asset. We will segment and analyze the assets in the fleet by user department, asset class or type, and, data availability permitting, asset domicile or regular parking/storage location. We will calculate statistics on recent usage levels by asset class and, based on the findings of these analyses, we will recommend the annual usage level for each group which should serve as a threshold for separating assets that clearly should be retained in the fleet from those that require more detailed investigation.

For unique vehicles (e.g., executive vehicles, specialized vehicles, etc.) in the fleet, we will confer with appropriate City leadership to ascertain whether they should be included in the fleet right sizing study. We may also suggest alternative methodologies to conduct right sizing analysis based on use-case.

Task 2.3: Survey Users of Potentially Under-Utilized Assets Utilization statistics alone, of course, can be misleading indicators of the need for a vehicle. A common definition of a vehicle being in use is when it is not available for use by another person.

In many such situations, a vehicle that is in use may or may not be accumulating many (or any) miles or engine hours. For example, a cargo van assigned to a carpenter may function as a toolbox on wheels and carry materials to a job site where the vehicle sits for extended periods of time.

Analysis of historical miles driven will indicate that it is not used very much, but this clearly does not mean that the unit is underutilized or not needed.

Consequently, we will analyze fleet utilization from several perspectives in addition to meter readings for low-mileage units and will also tailor our analysis to the different types of vehicles and conditions in which user organizations operate. To decide whether individual assets whose usage falls below the pertinent threshold should be retained as is, reassigned to a shared pool, or removed from the fleet, we will collect and review feedback through stakeholder conversations and interviews or supplemental information requests. The types of information we may request for each asset in this group include the following.

Frequency and timing of the asset’s use
• Typical times of use, including evening and weekend hours • Seasonality of use
• Ability to predict and manage when the asset is used
• Documentary information to support utilization claims • Vehicle status (active, spare, backup, etc.)
General requirements for the asset’s use
• Typical number of passengers
• Types of passengers
Special characteristics of the asset’s usage requirements • Need to respond to emergency calls and frequency and timing of such calls • Need for auxiliary equipment (e.g., light bar, radio, mobile data terminal, toolbox, etc.) Agenda Item #7.4:

Proposal to Provide Fleet Analysis
Services to the City of Sonoma
MERCURY ASSOCIATES, INC. PAGE |5
186 Seven Farms Drive, Suite F, PMB #103 | Daniel Island, SC 29492 www.mercury-assoc.com | (888) 518-3377 • Need to transport materials, tools, and/or equipment that are not easily removed • Criticality of the asset to the user’s mission
Location of the asset’s use
• Proximity of the asset user to other employees with whom the asset might be shared • Variability in the user’s workplace locations and travel destinations (i.e., predictability as to where and when the asset will be available for use by others) If desired and/or agreed to be necessary, Mercury can disseminate an online survey to gather information from users regarding fleet usage. However, given the size of the City’s fleet, we anticipate the necessary data can be collected through a series of interviews and conversations with stakeholders and supplemented by a review of fuel usage and other pertinent data.

Task 2.4: Earmark Assets for Reassignment or Removal from the Fleet Once user departments have completed the online survey, if/as required or have provided the required supporting utilization data, we will review the data for each asset included in the study for completeness, following up where necessary to obtain missing data, and then analyze the data in order to identify specific assets that we recommend for reassignment or removal from the fleet.

Upon completing these analyses, we may meet with department representatives, if necessary, to review and solicit feedback on our findings and recommendations regarding the disposition of specific fleet assets in their possession. The objective of these discussions will be to review and discuss the reasonableness and acceptability of our findings and recommendations in light of considerations such as the following:
• Any special operating practices or circumstances that account for the low usage of the assets earmarked for reassignment or disposal; and
• Recent and/or anticipated changes in the organization’s size, mission, work methods, staffing levels, or other operating needs and parameters that might mitigate some of recommended reductions to their fleet.

On the basis of these discussions and our analyses we will finalize our recommendations regarding changes in asset assignments that will adjust the size and composition of the fleet to a more cost-effective configuration.

Task 2.5: Quantify Cost Savings
To the extent that available data permit, we will estimate the immediate and recurring cost savings associated with implementing our recommended changes to current vehicle assignments and overall fleet size and composition. This will include replacement cost avoidance, estimated proceeds from the sale of units identified for removal from the fleet, and estimated vehicle operating cost savings, if applicable.

Agenda Item #7.4:

Proposal to Provide Fleet Analysis
Services to the City of Sonoma
MERCURY ASSOCIATES, INC. PAGE |6
186 Seven Farms Drive, Suite F, PMB #103 | Daniel Island, SC 29492 www.mercury-assoc.com | (888) 518-3377 Task 3: Review Maintenance and Repair Practices
Objectives:
• Evaluate current maintenance operations, repair practices, and scheduling efficiency • Analyze annual maintenance costs by vehicle type and compare them to industry benchmarks
• Identify opportunities to improve preventative maintenance and reduce asset downtime Approach:

Using the information gathered in the first task as part of our review of fleet management processes, we will also evaluate current maintenance operations, repair practices, and scheduling efficiency to identify opportunities for better alignment with industry best practices.

We will utilize our findings to document and analyze annual maintenance costs and to compare them to industry benchmarks developed using Mercury’s repository of data from comparable clients across the fleet industry. Our team will leverage our findings in addition to our industry expertise to identify opportunities to improve upon preventative maintenance processes and provide recommendations to reduce overall asset downtime.

Task 4: Analyze Lifecycle Costing and Replacement Planning Objectives:
• Develop lifecycle cost projections for each vehicle class • Recommend replacement schedules and capital planning strategies • Provide guidelines for extending useful life where cost effective • Collaborate with other organizations within the City to help determine future needs Approach:

In this task, we will develop a 20-year Fleet Replacement Plan using a combination of data analysis and business process mapping methods and techniques that Mercury has developed and refined over several decades of advising fleet owners on their fleet management business practices and resource requirements. Our resulting deliverable will include cost projections for each asset class, recommended replacement schedules and subsequent capital planning strategies, and guidelines for extending assets’ useful life where cost effective. We will collaborate with the City’s project team to determine what other organizations may need to provide input relevant to this task, and will meet with pertinent stakeholders to ensure we have gathered the appropriate data to support our analysis and findings.

The initial step in developing a fleet renewal plan is to develop a baseline plan that identifies all assets in the fleet and their projected replacement date and cost over a 20-year planning period.

The output will be a detailed, multi-year fleet replacement plan in which all assets are assumed to be replaced like for like. That is, current conventionally fueled vehicles (CFVs) will be replaced with comparable CFVs; current alternatively fueled vehicles (AFVs) with comparable AFVs, and Agenda Item #7.4:

Proposal to Provide Fleet Analysis
Services to the City of Sonoma
MERCURY ASSOCIATES, INC. PAGE |7
186 Seven Farms Drive, Suite F, PMB #103 | Daniel Island, SC 29492 www.mercury-assoc.com | (888) 518-3377 current electric vehicles (EVs) with comparable EVs. This plan will establish a baseline against which the current replacement planning processes can be compared.

We will develop the baseline plan using Mercury’s fleet replacement planning and cost analysis program CARCAP™ (Capital Asset Replacement Cost Analysis Program™). This program employs specific parameters or assumptions and regression equations for specific types or classes of assets to project future replacement dates, purchase prices, residual values, capital (depreciation) costs, and other pieces of information for each individual asset in a fleet. Thus, the baseline plan will not be based on, say, the average purchase/upfitting cost and replacement cycle of an “average” vehicle in the fleet, but on agreed-upon parameters for the specific types of assets in the fleet and on a complete inventory of the assets that make up this fleet.

We will work with appropriate City fleet staff and leadership to develop the analysis parameters needed by CARCAP to project future asset replacement dates and purchase prices. These parameters include, by asset type or class, recommended replacement cycles in terms of age (months) and/or usage (miles or hours); current purchase price, including upfitting costs (if any); and purchase price inflation rates.

Next, we will use the fleet inventory and replacement planning parameters to develop a baseline replacement plan for the fleet. This plan will project the replacement date and cost of each individual asset in the fleet each time it meets recommended criteria for replacement over the next 20 years. Given that such a plan typically presents a fiscally unrealizable Year One backlog of assets eligible for replacement, we also calculate a smoothed replacement plan that stages the backlog over a number of years. A smoothed fleet replacement plan we developed for a 6,660- unit fleet is shown in the following exhibit to illustrate one of the key outputs of this task.

Sample CARCAP Replacement Plan
Agenda Item #7.4:

Proposal to Provide Fleet Analysis
Services to the City of Sonoma
MERCURY ASSOCIATES, INC. PAGE |8
186 Seven Farms Drive, Suite F, PMB #103 | Daniel Island, SC 29492 www.mercury-assoc.com | (888) 518-3377 This exhibit is merely a graphical representation of the replacement plan, with each column showing the total annual cost (aggregate purchase prices) of replacing all assets that meet or exceed their recommended replacement cycle in that year. While this particular replacement plan graph shows future gross vehicle and equipment purchase costs, CARCAP also estimates future used asset sales proceeds in order to determine net annual replacement funding requirements.

Task 5: Evaluate Sustainability and Regulatory Compliance Objectives:
• Assess opportunities to reduce greenhouse gas emissions and transition to alternative fuel or zero-emission vehicles
• Evaluate the City’s current infrastructure and the ability to achieve these opportunities • Evaluate compliance with California’s Advanced Clean Fleets (ACF) requirements • Identify potential grant or funding opportunities to offset costs of transitioning to a more sustainable fleet
Approach:

Expanding upon our right sizing and replacement planning analyses, and leveraging the expertise of our trusted industry partner, Sawatch Labs, Mercury will review opportunities to transition to alternative fuels, including electric (EV), compressed natural gas (CNG), and hydrogen vehicles.

Based upon our understanding of fleet composition and use as determined through the previous tasks, we will evaluate the feasibility of various fuel types to make a recommendation for replacement of conventionally fueled vehicles (CFV) with alternatively fueled vehicles (AFV) where appropriate and/or possible. We will also provide an examination of relevant case studies, industry best practices, and potential benefits and costs, including equipment, maintenance, and training requirements for utilizing and maintaining and alternatively fueled fleet.

In parallel, we will evaluate, at a high level, the City’s current fueling and maintenance facilities to determine adequacy for present and future needs. We will also identify land, resource, and equipment requirements for any new or expanded infrastructure, along with the operating and capital budget implications of proposed changes, and present the City with an overview of the required changes and estimated cost of implementing these changes.

More specifically, Sawatch Labs will use their advanced analytics software, ezEV, to assess each vehicle for economic and operational fit for replacement with an electric vehicle. Sawatch will do this using any existing fuel transaction data from the City’s fuel management system. The results will include a 1-page summary for each vehicle providing information on driving, estimated energy use, EV recommendations, infrastructure needs, estimated cost to charge the vehicle, estimated annual and lifetime savings and estimated GHG emissions reductions.

Ultimately, this task will result in a phased roadmap that factors in transition plan milestones including GHG reduction goals, operational impacts both immediately and over time, and change management strategies to facilitate a minimally disruptive transition.

Agenda Item #7.4:

Proposal to Provide Fleet Analysis
Services to the City of Sonoma
MERCURY ASSOCIATES, INC. PAGE |9
186 Seven Farms Drive, Suite F, PMB #103 | Daniel Island, SC 29492 www.mercury-assoc.com | (888) 518-3377 If desired, Sawatch Labs can provide Geotab telematics for more advanced data collection. The more robust data set from telemetry allows Sawatch Labs to more accurately model the projected energy needs for each vehicle. This increased insight into daily operations would optimize recommendations for electric vehicle suitability and notably, electric vehicle supply infrastructure. If this option is selected, data collection would take place over a three-month period with results delivery within one-month post data collection. We would be happy to discuss this option in greater detail, if desired.

We will take into consideration the City’s goals for electrification in an effort to remain compliant with the state of California’s electrification requirements, leaning upon California Air Resources Board (CARB) Advanced Clean Fleet (ACF) requirements and recommendations as a guideline for incorporating EVs into the City’s fleet.

If desired, we will also provide a summary of CARB ACF regulations and recent changes that are pertinent to the City’s fleet so that leadership can identify a feasible path to compliance which aligns with the City’s ESG goals.

Finally, we will assist the City with identifying potential grant or funding opportunities to offset costs associated with transitioning to a more sustainable fleet, in alignment with our recommendations from this task.

Project Deliverables
As requested by the RFP, our deliverables will include, at a minimum:
• Comprehensive written report summarizing findings and recommendations based upon the tasks outlined above, including a summary of facility and space needs to meet industry standards over the next 15 years
• Prioritized replacement schedule with cost projections • Recommended standard operating procedures (SOPs) to be incorporated into the City’s fleet program
• In-person presentation of findings to the City leadership and Public Works staff • Recommendations for effective organizational and operational structures to support the recommended fleet maintenance program
Our deliverable(s) for this project will include, as appropriate, bullet points, brief narrative discussions, notes, quantitative analysis results in tabular and graphical form, and photographs as/if necessary to illustrate our findings, presented in Microsoft Word (.doc), PowerPoint (.ppt), Excel (.xls), and PowerBI (.pbix) formats, as applicable. This will be developed in draft initially for review and comment by the client's project team. All written comments and requests for changes, edits, clarifications, etc. will be considered prior to developing the final drafts for presentation to City leadership.

Agenda Item #7.4:

336531.3
“EXHIBIT B”
Approved Fee Schedule
Agenda Item #7.4:

Proposal to Provide Fleet Analysis
Services to the City of Sonoma
MERCURY ASSOCIATES, INC. PAGE |12
186 Seven Farms Drive, Suite F, PMB #103 | Daniel Island, SC 29492 www.mercury-assoc.com | (888) 518-3377 Project Investment
In alignment with the scope of work, expected level of effort, project complexity, and timeline requirements, Mercury proposes a firm fixed price of $59,925 for Tasks 1-5 as described in our proposal. This cost is inclusive of Sawatch Labs’ services, as well as all travel costs for the Mercury team and Sawatch Labs teams to travel onsite as needed to conduct observations and collect data pertinent to the project.

Note that the costs proposed above include only the scope of work and approach as described in this proposal. Should the City request additional travel that is not related to this scope of work, additional deliverables, or an expansion of the scope of work, these services will be quoted separately. Both Mercury and Sawatch Labs’ hourly rates by personnel title are included below.

Mercury Associates, Inc. Hourly Rates
Project Executive $250
Project Manager $225
Senior Consultant $180
Consultant/Analyst $150
Statement of Compliance
This proposal is in strict compliance with the Request for Proposal and the City’s standard Professional Services Agreement and no exceptions to either are proposed at this time.

Conflict of Interest
Neither Mercury nor Sawatch Labs have any known conflicts of interest relative to this scope of work which could conflict in any manner or degree with the performance of services required.

Addenda Acknowledgement
Addendum # 1, Issue Date December 5th, 2025.

The undersigned acknowledges that the above addenda were received by Mercury Associates, Inc.

Dan Reichmann
Dan Reichmann, Director of Advisory Services
Sawatch Labs Hourly Rates
Senior Transportation Analyst $205
Junior Transportation Analyst $175
Agenda Item #7.4:

336531.3
“EXHIBIT C”
Campaign Contribution Disclosure Form
Agenda Item #7.4:

336531.3

CAMPAIGNCONTRIBUTIONDISCLOSUREPROVISIONS
Cities are subject to the campaign disclosure provisions detailed in Government Code Section 84308.

Please carefully read the following information to determine if the provisions apply to you. If you determine that the
provisions are applicable, the Campaign Disclosure Form must be completed and returnedtothe Citywithyourapplication.

1. No City councilmember or commissioner shall accept,
solicit, or direct a contribution of more than $500 from any party,1 financially interested participant,2 or agent3 while a proceeding is pending or for 12 months subsequent to the date a final decision isrendered by the City. This prohibition commences when your application has been filed, or the
proceeding is otherwise initiated.

2. A party to a City proceeding shall disclose on the record of the proceeding any contribution of more than $500 made to any councilmember or commissioner by the party, or agent, during the preceding 12 months. No party to or participant in a City proceeding shall make a contribution of more than $500 to a councilmember or commissioner during the proceeding and for 12 monthsfollowing the date a final decision is rendered by the City. No agent to a party or participant shall make a contribution in any amount to a councilmember of
commissioner during the proceeding and for 12 months
following the date a final decision is rendered by the City.

3. Prior to rendering a decision on a City proceeding, any councilmember or commissioner who received
contribution of more than $500 within the preceding 12
months from any party, or agent, to a proceeding shall
disclose that fact on the record of the proceeding, and shall be disqualified from participating in the proceeding. However, if any councilmember or commissioner receives a
contribution that otherwise would require disqualification, and returns the contribution within 30 days of making the decision, or knowing about the contribution and the
relevant proceeding, whichever comes last, that
councilmember or commissioner shall be permitted to
participate in the proceeding.
1 “Party” is defined as any person who files an application for, or is the subject of, a proceeding.
2 “Participant” is defined as any person who actively supports or opposes a particular decision in a proceeding.
3 “Agent” is defined as a person who represents a party in connection with a proceeding for compensation who appears before or otherwise communicates with the City for the purpose of influencing the proceeding. If an individual acting as an agent also is acting as an employee or member of a law, architectural, engineering, or consulting firm, or a similar entity or corporation, both the individual and the entity or corporation are agents.

When a closed corporation is a party to a proceeding, the majority shareholder is subject to these provisions.

To determinewhether a campaign contribution ofmore than $500 has been made by you or your agent to a
councilmember or commissioner within the preceding
12 months, all contributions made by you or your agent
during that period must be aggregated.

Names of currentCity councilmembers and commissioners
are available on the City’s website. If you have questions about Government Code Section 84308, FPPC
regulations, or the Campaign Disclosure Form, please
contact the City Clerk.

CAMPAIGN CONTRIBUTION DISCLOSURE FORM
(a) Document:
□ License
□ Lease
□ Permit
□ Franchise
□ Other Contract
□ Other Entitlement
Name and address of any party, participant, or agent who has contributed more than $500 to any councilmember or
commissioner within the preceding 12 months:

1. ____________________________________

2. ____________________________________

3. ____________________________________
(b) Date and amount of contribution:

Date Amount $
Date Amount $
Date Amount $
(c) Name of councilmember or commissioner to whom
contribution was made:

1. ____________________________________

2. ____________________________________

3. ____________________________________
(d) I certify that the above information is provided to the best of my knowledge.

Printed Name
Signature
Date Phone
To be completed by City:

Document No: ______________________________
Agenda Item #7.4:

336531.3
Agenda Item #7.4:

City of Sonoma
Agenda Item Summary
Meeting: City Council - 18 Mar 2026
Department
Administration
Staff Contact
David Guhin, City Manager
Agenda Item Title
Adopt a Resolution Adopting the City of Sonoma Credit Card Policy and City Business Expense Reimbursements and Payments Policy
Summary
Introduction and Purpose
The purpose of this item is to establish formal administrative policies governing the use of City-issued credit cards (CALCards) and the reimbursement and payment of business-related expenses incurred by City employees and officials. Adoption of these policies will standardize procedures across departments, strengthen internal controls, improve financial accountability, and promote cost-efficient practices consistent with public sector financial management standards.

Formalizing these policies also ensures that City expenditures are conducted transparently, responsibly, and in accordance with recognized governmental best practices.

Background
Local governments routinely incur operational expenses necessary to conduct City business, including travel, training, procurement of small-dollar goods and services, and other administrative costs. In the absence of clearly defined policies, these transactions may be handled inconsistently between departments, which can create administrative inefficiencies and increase the risk of errors or noncompliance.

To address these concerns, staff have developed two administrative policies intended to create consistent standards governing financial transactions across all City departments:

1. Credit Card Policy – Establishes guidelines for the issuance, use, monitoring, and reconciliation of City credit cards (CALCards).

2. Business Expense Reimbursements and Payments Policy – Establishes procedures and documentation requirements for reimbursement of authorized business expenses and direct payments made on behalf of employees and officials.

Scope
Administrative policies provide clear direction to employees and officials regarding appropriate procedures and expectations for conducting City business. In the context of financial management, well-defined policies are critical to:
 Ensuring consistent and uniform standards across all departments  Establishing clear accountability and internal controls  Protecting public funds through oversight and documentation requirements  Promoting transparency in public expenditures
Agenda Item #7.5:

 Supporting compliance with generally accepted public sector financial management practices
By codifying procedures for credit card usage and expense reimbursement, the City ensures that all financial transactions are handled in a manner that protects taxpayer resources and maintains public trust.

The proposed Credit Card Policy provides guidelines regarding:
 Authorization and issuance of City credit cards
 Allowable and prohibited uses
 Spending limits and supervisory oversight
 Receipt and documentation requirements
 Monthly reconciliation procedures
 Responsibilities of cardholders and department heads
 Procedures for reporting lost or stolen cards
 Consequences for misuse
The proposed Business Expense Reimbursements and Payments Policy establishes clear procedures for reimbursing employees and officials for legitimate business-related expenses incurred on behalf of the City. The policy addresses:
 Eligible reimbursable expenses
 Documentation requirements and submission timelines
 Approval authorities
 Travel and training expenses
 Direct payments versus reimbursements
 Compliance with applicable tax and accounting regulations Financial Accountability and Cost Efficiencies
Implementing standardized administrative policies supports the City’s commitment to responsible fiscal management. These policies improve operational efficiency and cost effectiveness by:
 Reducing administrative processing time for small-dollar purchases  Limiting unnecessary reimbursements through clear purchasing guidance  Improving tracking and reporting of City expenditures  Reducing the risk of duplicate or inappropriate payments  Providing clear audit trails for financial transactions Additionally, consistent procedures reduce staff time spent resolving inconsistencies and strengthen the City’s ability to respond effectively to financial audits.

The adoption of the Credit Card Policy and the Business Expense Reimbursements and Payments Policy will establish clear administrative standards for financial transactions, strengthen internal controls, and promote responsible stewardship of public funds. These policies reflect best practices in municipal financial management and will help ensure consistency, transparency, and cost-effective operations throughout the City organization.

Recommended Council Action
Adopt the resolution adopting the Credit Card and Business Expense Reimbursements and Payments Policies.

Agenda Item #7.5:

Alternative Actions
Council discretion.

Financial Impact
There is no direct fiscal impact associated with adopting these policies. However, the policies are expected to produce administrative efficiencies and improve oversight of City expenditures, which may result in long-term cost savings.

Environmental Review Status
Environmental Impact Report
Negative Declaration
Exempt
Not Applicable
Approved/Certified
No Action Required
Action Requested
Attachments
Resolution - CALCard and Business Expense Policy
Business Expense Policy (final)
Cal Card Policy (final)
Alignment with Council Goals:

Not Applicable
Agenda Item #7.5:

City of Sonoma
RESOLUTION # ________- 2026

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SONOMA ADOPTING A CREDIT

CARD POLICY AND A BUSINESS EXPENSE REIMBURSEMENTS AND PAYMENTS POLICY
WHEREAS, the City of Sonoma is committed to maintaining sound financial management practices and ensuring responsible stewardship of public funds; and WHEREAS, the City Council recognizes the importance of establishing clear administrative procedures governing the use of City-issued credit cards and the reimbursement and payment of business-related expenses; and
WHEREAS, formal policies governing credit card usage and business expense reimbursements help ensure consistent standards and procedures across City departments, strengthen internal controls, and promote transparency and accountability in the use of public resources; and
WHEREAS, these administrative policies reflect best practices in municipal financial management and support efficient City operations by establishing clear guidelines for documentation, approval, and monitoring of expenditures; and WHEREAS, the Credit Card Policy establishes procedures for the issuance, authorized use, reconciliation, and oversight of City credit cards to ensure purchases are made only for legitimate City business purposes; and
WHEREAS, the Business Expense Reimbursements and Payments Policy establishes standards and procedures for reimbursement of authorized expenses incurred by City employees and officials while conducting City business; and WHEREAS, adoption of these policies will promote uniform financial procedures, improve administrative efficiency, and provide clear guidance to City staff and officials regarding appropriate financial practices.

NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Sonoma hereby adopts the Credit Card Policy and the Business Expense Reimbursements and Payments Policy, attached hereto and incorporated by reference.

BE IT FURTHER RESOLVED, that the City Manager, or designee, is authorized to implement and administer these policies and to make minor administrative updates as necessary to maintain consistency with operational practices and applicable laws, provided such changes do not materially alter the intent of the policies.

PASSED, RESOLVED, AND ADOPTED, at a Regular meeting of the City Council of the City of Sonoma on this 18th day of March 2026, by the following vote:

AYES:

NOES:

Agenda Item #7.5:

ABSENT:

ABSTAIN:
____________________________
Ron Wellander, Mayor
ATTEST:
_____________________________________________
Monique Saviez Burns, CPMC, CMC, Deputy City Clerk
Agenda Item #7.5:

423048.5
City of Sonoma
Administrative- City Business Expense Reimbursements and Payments Policy

1. Overview of Purpose and Scope of this Policy.

1.1. The purpose of this Administrative Policy regarding City Business Expense Reimbursements and Payments is to establish uniform standards and procedures for the City’s payment and reimbursement of actual and necessary expenses incurred by City employees while conducting City Business.

1.2. This “City Business Expense Reimbursements and Payments” Administrative Policy may be referred to herein as the “Expense Reimbursement Policy” or “Policy.”

1.3. All City employees shall use good judgment to identify and implement the most cost-effective methods of incurring actual and necessary expenses to be paid by the City for City Business.

1.4. The City will pay the actual and necessary expenses incurred by a City employee while conducting City Business, only to the extent that the expenses are incurred and the requests for payment or reimbursement are submitted and approved in accordance with the standards and procedures set forth in this Policy.

1.5. This Policy shall not apply to any reimbursement that is requested to be paid in accordance with a separate agreement between the City and another agency to which services are provided by City employees. Any such reimbursement shall be paid in accordance with the terms of the separate agreement; and, to the extent a City employee receives reimbursement under a separate agreement, the City employee shall not be entitled to reimbursement from the City under this Policy.

1.6. The City Council is responsible for adopting this Policy and for approving any significant policy revisions.

2. Definitions.

The following definitions shall apply to this Policy:
“Actual and Necessary Expense” means any expense that: (a) is actually incurred, (b) is reasonably necessary for the performance of City Business, considering the cost effectiveness of alternative means of performing the City Business, and (c) is an “allowable expense” as defined by this Policy. “City Business” means an activity performed by a City employee in the course and scope of employment.

City Business includes a City employee’s attendance at an Event that is approved by the Department Director as being consistent with and in support of the goals and purposes of the City (as established by the City Council or City Manager) and the department. The goals and purposes of the City include providing opportunities for City employees to obtain education and experiences that facilitate more effective performance of the responsibilities of the employee’s position in the City organization, to promote growth and collaboration within the City organization, and to promote collaboration between the City and other Agenda Item #7.5:

423048.5
public agencies and other organizations that interact with the City. “Department Director” means the person designated by the City Manager to lead the department to which the City employee seeking payment or reimbursement under this Policy is assigned. The City Manager may designate in writing any person to exercise the responsibilities and authority of a Department Director as set forth in this Policy.
“Designated Place of Work” means the location of property owned or operated by the City to which a City employee is typically required to report to work on a regular basis. This typically means the office, or other City facility to which the employee is assigned (e.g., Corporation Yard, City Hall, or Carnegie Building). “Event” means any gathering of people at which a City employee is in attendance, such as a meeting, training, conference, educational Event, or hearing.
• “Local Event” means any Event that is not an Overnight Event. • “Overnight Event” means any Event for which the Department Director determines that lodging is an actual and necessary expense of a City employee’s participation, due to the infeasibility of traveling to and from the Event in one day.
“Incidental Expense” means minor, necessary expenses incurred while traveling for work, including hourly parking fees, bridge tolls, and customary gratuities such as tips given to porters, baggage carriers, hotel staff, and drivers.
“Official Conference Rate” means a discounted lodging rate negotiated by or published by the event organizer for attendees, typically listed on the event’s registration website or materials.

3. Pre-Approval of City Business Event.

3.1. Department Director Approval
City employees must obtain written approval from their Department Director prior to making commitments on any expenses or incurring any expenses in accordance with this Policy.

3.2. City Manager Approval
In addition to Department Director approval, prior written approval from the City Manager is required in the following circumstances:
• Any Out-of-State City Business.
• Any Department Director attending an Overnight Event. • Any Event with registration expenses exceeding $1,000 per employee, per Event. • Any request to use a rental car, with an explanation of why other local transportation options are not available or feasible for the event.

3.3. Pre-Approval Form Requirement
Any request for pre-approval of payment or reimbursement from the City in accordance with this Policy must be provided on the approved Business Expense Pre-Approval Form.

Agenda Item #7.5:

423048.5

3.4. Required Information for Pre-Approval
At a minimum, a written request for prior approval of payment or reimbursement by the City for the actual and necessary expenses of City Business must include the following information:
a. A concise description of the Event for which expense payments are requested, including the basis for determining that the Event is City Business.
b. The date(s), time, and location of the Event.
c. The registration expenses for the Event.
d. The method of travel to and from the Event. If multiple means of travel are anticipated (e.g., personal vehicle, City vehicle, parking, air, shuttle, taxi, rideshare, rental car), include known costs and reasonable estimates for expenses that may vary.
e. For an Overnight Event, the identification of the lodging, including the name, location, dates of stay, and room rates.
f. If an employee is requesting City payment or reimbursement for meals, identify the estimated Departure Time to the Event, and the estimated Return Time from the Event. g. If an employee is requesting overtime pay (for non-exempt employees), identify the anticipated “Work Time” for the Event.

3.5. Approval Authority
A Department Director (or the City Manager) is authorized to approve a request for City payment of expenses only to the extent that the Department Director (or City Manager) determines in writing that:
a. The Event is City Business,
b. The expenses are “actual and necessary expenses” for the City Business; and c. The request is submitted in accordance with this Policy.

4. Allowable Expenses.

The City will pay the actual and necessary expenses of an Event of City Business, for the types of expenses set forth in this Section 4.

4.1. Registration Expenses
Cost to attend or participate in the Event of City Business.

4.2. Travel Expenses
As part of the pre-approval process, the Department Director shall determine the most cost effective and efficient method of travel for an Event, considering the cost and time required for alternative means of travel. Generally, for travel to an Event that is 250 miles or more (one way), air travel is the preferred method of travel.

4.3. Personal Vehicle Reimbursements
If the Department Director approves the use of a personal vehicle for travel associated with an Event, the following are allowable expenses:
a. Mileage - Mileage for the most cost-effective route to and from the Event is an allowable expense and will be reimbursed at the mileage rate in accordance with the current IRS-authorized rate in effect at the time the mileage is incurred.

Agenda Item #7.5:

423048.5
The current rate can be found on the U.S. General Services Administration (GSA) website at:
https://www.gsa.gov/travel/plan-a-trip/transportation-airfare-rates-pov-rates-etc/privately-ownedvehicle-pov-mileage-reimbursement Mileage will be calculated by the Department using Google Maps, based on the most direct and time-efficient route between the origin and destination. While employees may choose alternate routes for personal reasons, only the mileage for the most cost-effective route as determined by Google Maps will be eligible for reimbursement. Employees do not need to submit their own mileage totals; the Finance Department will determine the reimbursable distance. i. For occasions in which the employee’s origination of travel is not the Designated Place of Work (e.g., personal residence), the mileage reimbursement shall be calculated by deducting the employee’s regular commute distance from the total travel distance between the point of origination and the Event.
ii. In the event that more mileage was traveled than the standard calculated route (e.g., due to detours, additional stops required for business, or other unforeseen circumstances), employees may submit an Additional Mileage Request Form explaining the reason for the extra miles. Approval from the Department Head is required for any additional mileage to be reimbursed beyond the amount calculated by the Department. iii. CAL-Card is not to be used for fuel purchases for personal vehicles, as mileage reimbursement provided as outlined above includes fuel cost. iv. Employees Receiving an Auto Allowance – For any City employee who receives an auto allowance from the City: (a) mileage for personal vehicle travel is not an allowable expense for travel within 50 miles from the employee’s Designated Place of Work; however, (b) for travel outside the 50-mile radius, vehicle mileage above 100 miles for the total round trip is an allowable expense.
b. Parking - Employees may be reimbursed for parking in short-term or long-term parking. Parking such as valet parking, exclusive parking, or other added cost premium parking spaces will not be reimbursed, unless there is no other practical parking available. If two or more travelers share transportation to and from an Event, reimbursement shall be made to the person driving his/her vehicle. The employee shall obtain receipts for the actual costs of parking. c. Tolls - Employees may be reimbursed for tolls only when the toll is necessary, meaning that no reasonable non‑toll route is available to reach the approved destination. The City may require justification for any tolls submitted for reimbursement. d. City Vehicle Reimbursements - If the Department Director approves the use of a City Vehicle for travel associated with an Event, allowable expenses are limited to:
• Parking expenses, as specified above in Section 4.3(b) • Tolls, as specified above in Section 4.3(c)
Agenda Item #7.5:

423048.5

4.4. Air Transportation - If the Department Director approves air transportation for travel associated with an Event, the following are allowable expenses:
a. Air transportation shall be arranged in advance to obtain the lowest cost fare that is feasible. The City will pay for commercial air transportation at coach fares equivalent to the most cost-effective route between: (1) Sacramento, Oakland, Santa Rosa, San Jose or San Francisco airports, and (2) the most viable and available airport to the final travel destination for the Event. The most costeffective route shall take into consideration all relevant fees (such as climate impact), the cost of supplemental transportation to and from each airport (such as shuttles), as well as the time required for travel.
i. Upgrades in class will be at the employee’s expense. ii. If the employee requests and obtains approval from the Department Director before incurring the costs, and the Department Director determines that there are unique circumstances, based on the City’s business need for a particular Event, to justify the cost of priority boarding, the Department Director may provide pre-approval for the cost of priority boarding.
b. Use of Personal Vehicle In-Lieu of Airfare – If an employee chooses to use a Personal Vehicle inlieu of an airline, requests must be pre-approved by the Department Director and are only allowable when the total reimbursable cost of personal vehicle use is equal to or less than the total cost of the most cost-effective airfare and related travel expenses, as outlined in paragraph “a” above.

Reimbursable expenses for personal vehicle use shall be limited to the lesser of:
• The total cost of the most cost-effective air travel route (including airfare, shuttle or rideshare, baggage fees, etc.),
• The actual cost of mileage, parking, and tolls incurred, calculated using the criteria set forth in Section 4.3.
• Additional costs associated with personal vehicle travel, such as meals, lodging, or extended travel time, are not reimbursable.

4.5. Public Transportation or Common Carrier – If the Department Director approves public transportation or common carrier transportation for an Event, the following are allowable expenses:
a. The employee shall select the most economical and practical mode of transportation for the City based on the cost, time efficiency, total distance, and number of travelers, and other similar relevant factors. Common carrier transportation (local transit system, taxi, shuttles, or rideshare applications) is generally presumed to be most efficient.

4.6. Rental Car – If a City employee has received prior written approval from the City Manager for use of a rental car, the employee will be reimbursed for costs of the rental car, and costs of gasoline and costs of gasoline for the rental car if receipts are submitted. Alternatively, the employee may use their CALCard to pay for costs of the rental car, and costs of gasoline for the rental car. When selecting the car to be rented, the employee will select the most cost-effective car available. When obtaining gasoline for a Agenda Item #7.5:

423048.5
rental car, the employee will select the most economical source of gas in the proximity of the rental car company. When renting a rental car, the employee shall adhere to the following:
a. Physical damage insurance coverage shall be purchased from the rental car company. b. Liability insurance coverage shall be waived.

4.7. Lodging- As part of the pre-approval process (Section 3, above), the Department Director shall determine if the Event qualifies as an “Overnight Event,” based on whether it is feasible to travel to and from the Event in one day. Lodging expenses are only authorized if the Event is designated as an Overnight Event. Generally, an Overnight Event is defined as an event located 50 miles or more from the employee’s Designated Place of Work. However, the Department Director may approve exceptions due to special circumstances, such as the Event’s start time or anticipated traffic patterns. a. Required Method of Payment
All lodging expenses shall be paid using the City-issued CAL-Card whenever available and accepted. Employees are expected to use the CAL-Card to secure lodging in advance of travel.

Personal funds may be used only when CAL-Card use is not feasible, and reimbursement in such cases requires prior approval and supporting documentation. b. Conferences, Workshops, or Structured Training Events with an Official Conference Rate For conferences, workshops, or similar structured events that offer a published or official conference or training rate:
i. Lodging shall be reserved at the lowest available official conference rate for a standard single-occupancy room and paid using the CAL-Card
ii. If the designated conference hotel is sold out, the employee must provide documentation to the Department Director showing the conference hotel was sold out at the time the reservation was attempted, and showing other lodging options at the most cost-effective and reasonable nearby hotel that allows attendance at the event. The Department Director must pre-approve alternative lodging in writing.
iii. If an employee elects not to stay at the designated conference hotel when rooms are available, reimbursement and CAL-Card payment authorization shall be limited to the lesser of the lowest available conference rate or the applicable GSA lodging per diem for the location and travel dates.
c. Room Type and Rate Selection
Lodging arrangements shall be for a single-occupancy room unless the employee is sharing accommodations with another City employee attending the same event. Employees are required to seek the lowest reasonable lodging rate, including government, per diem, or conference rates, consistent with prudent use of public funds.
c. Allowable Lodging-Related Charges
In addition to the room rate, the following lodging-related charges are allowable when incurred for Agenda Item #7.5:

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City business and paid using the CAL-Card:
i. Applicable taxes and mandatory hotel fees.
ii. Parking fees required by the lodging facility.
iii. Internet access charges when used for City business, provided the employee does not have a City-issued mobile device with internet capability.
e. Authorized Lodging Period
Lodging is generally authorized beginning the night prior to the first day of the event and ending the night of the last day of the event. The Department Director may approve up to one additional night before and/or after the event when special circumstances exist, such as when same-day travel is not feasible due to distance, flight schedules, or other reasonable travel constraints.

4.8. Meals and Incidental Expenses – The City will reimburse the costs incurred by an employee for meals and incidentals as a part of an Event, based on per diem rates approved by the U.S. General Services Administration (GSA), which reflect the Internal Revenue Service (IRS) guidelines. These per diem rates are location-specific and can be found at www.gsa.gov.

The per diem for meals and incidental expenses—referred to as the M&IE rate—represents the maximum daily reimbursement allowed for both meals and incidentals (such as gratuities, bridge tolls, and tips given to hotel staff, baggage carriers, and porters). The M&IE per diem includes a fixed $5.00 per day allowance for incidental expenses, which is not reimbursed separately. a. Receipts. The City will reimburse meals and incidental expenses at the applicable IRS per diem rate identified in this Policy, without requiring itemized receipts from the employee. The per diem rate applies only to meals and incidental expenses. Reimbursement for any other travel-related expenses requires submission of itemized receipts as documentation. i. However, in special circumstances, such as when required by grant funding terms, federal/state regulations, or exceptional local Event conditions, the Department Director may determine in advance that alternative documentation is acceptable. Such determinations must be made prior to the employee’s attendance at the Event and documented in writing. In all cases, reimbursement will be limited to the actual cost of meals and incidentals, up to the applicable IRS/GSA M&IE rate. b. Reimbursements for Costs of Meals. The City will pay the employee the IRS rate for the meals identified in the following table, subject to the adjustments set forth below. As identified in the table, reimbursements are based on the “Departure Time” to an Event, and the “Return Time” from an Event, that must be documented on the Business Expense Claim Form:

When Departure Time is
Before:

Or, Return Time is
After
Reimbursement Allowed
for:
7:00 am 8:00 am Breakfast
12:00 pm 1:00 pm Lunch
5:00 pm 7:00 pm Dinner
c. Adjustments to Reimbursable Meals. If the employee’s cost of a meal is reimbursable under this Section 4.8, the City will nonetheless not reimburse the employee for any meal that is included in Agenda Item #7.5:

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the price paid for: registration for the Event, lodging, or airline ticket. The adjustment set forth in this Section 4.8 applies to a continental breakfast if provided by the lodging or the Event registration; and the adjustment applies whether or not the employee chooses to partake in the offered meal.
d. Incidentals. The City will pay the employee the daily IRS rate for incidental expenses for each day of an Overnight Event for which the employee is authorized to receive a meal reimbursement under this Section 4.8. In accordance with the GSA guidelines, this incidental expense rate is currently $5.00 per day and is already included in the M&IE per diem. As such, incidental expenses are not reimbursed separately.

The current breakdown of the M&IE per diem can be found on the GSA website:
https://www.gsa.gov/travel/plan-a-trip/per-diem-rates/mie-breakdowns. This rate is subject to change and employees should consult the link above for the most up-to-date rate at the time of travel.
e. Discretionary Expenses. If an employee requests and obtains written pre-approval from the Department Director before incurring a cost, and the Department Director determines that unique circumstances justify the expense, the City may reimburse the employee for discretionary travelrelated expenses not otherwise covered under this policy. Such expenses must be reasonable, necessary, and directly related to City business.

5. Non-Allowable Expenses.

5.1. The City will not reimburse a City employee for any costs unless those costs are “actual and necessary” for City Business, as defined in this Policy. The following listing includes examples of expenses which are not “actual and necessary,” and are therefore not reimbursable. This is not an exhaustive list of all non-reimbursable expenses.
• Alcohol
• Alcohol-related expenses such as corkage fees (unless for City-sponsored Events and authorized in writing by the City Manager)
• Upgrades of hotel room not initiated by the hotel
• Rental vehicle (unless authorized in writing by the City Manager) • Books, Magazines, Newspapers for personal use
• Parking or traffic citations
• Expenses for personal service
• Personal loss incurred during business travel
• Internet charges for personal use
• Entertainment/Recreation/Golf tournaments
• Fitness Center/Spa
• Expenses for non-City employees

6. Procedures for Requesting Payment or Reimbursement for Expenses.

For the costs of any Event, the City will either pre-pay the costs, or reimburse costs incurred by City employees, only to the extent the costs are for the actual and necessary expenses of an Event of City Business, in accordance with this Policy.

6.1. Prepaid Expenses- Expenses for authorized Events may be prepaid directly by the City through the Agenda Item #7.5:

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CAL-Card or reimbursed to the participating employee. Requests for payment must be accompanied by a City Business Expense Pre-Approval Form for the Event, approved by the Department Director (in accordance with Section 3).

6.2. Registration Expenses- CAL-Card is the preferred method for prepayment of Event Registration. a. Travel Expenses- The CAL-Card is the preferred method for prepayment of lodging and airfare. b. The City will not prepay an employee’s costs or issue “travel advances,” including meals, incidentals, personal vehicle mileage, or any other allowable expenses incurred by the employee.

The City will reimburse those allowable expenses in accordance with Section 6.3 below. c. If the City prepays expenses for an Event, and the expenses are non-refundable, and the employee does not attend the Event, the employee will be personally responsible for the non-refundable expenses, and the employee will reimburse those costs to the City. However, if the Department Director determines that the employee has identified circumstances beyond the employee’s control which caused the employee to not attend the Event (such as a serious illness, death in the family, natural disaster, or an unforeseen need for the employee to perform other services for the City), the Department Director may authorize the City to cover the non-refundable expenses.

6.3. Reimbursement of Business Expenses- Any employee seeking reimbursement for expenses incurred for an actual and necessary expense of City Business shall obtain Department Director approval on a Business Expense Claim Form within ten business days following the authorized Event. a. The Expense Claim Form must include:
i. The City Business Pre-Approval Form for the Event, approved by the Department Director (in accordance with Section 3).
ii. Account for any prepayments, including any amounts paid by CAL-Card. b. Include all prepaid items in the detail and show credit for the prepaid items in the “Prepaid Costs” section.
c. Receipts. Include all required receipts, including receipts for prepaid items. Receipts must:
i. Identify the actual costs incurred, date of purchase, vendor name, item quantity, item description, and price per item.
ii. Employees shall submit original, itemized receipts for all reimbursable expenses other than meals and incidental expenses reimbursed at the applicable per diem rate. Receipts must be affixed to an 8.5 x 11 inch sheet of paper, scanned, and retained in the department’s shared folder in accordance with the City’s records retention requirements.

Receipts are not required for meals and incidental expenses reimbursed using the per diem method (see Section 4.8). Itemized meal receipts are required when reimbursement is charged to grant-funded programs, as required by grant terms and Section 48.a of this Policy.
d. Missing Receipts. If the employee does not have a required receipt, the employee must seek to Agenda Item #7.5:

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obtain a copy from the vendor. If that proves unsuccessful, the employee must complete the Missing Receipt Report Form and include it with the Business Expense Claim Form. The Missing Receipt Report Form will indicate the employee’s certification regarding the missing receipt and identify the actual costs incurred, date of purchase, vendor name, item quantity, item description, and price per item. Items without receipts and with a total of more than $50.00, will not be reimbursed.
e. If an employee co-mingles personal recreation or travel as a part of travel to an Event, the employee must clearly separate business expenses from personal expenses, and document that separation as a part of any request for reimbursement on the Business Expense Claim Form. The City will reimburse no costs for personal recreation or travel. The City will only reimburse actual and necessary expenses for City Business.
f. If an employee fails to submit a Business Expense Claim Form in accordance with this Policy within 10 business days of return from the Event, the City will not reimburse the employee’s expenses unless the employee documents, and the Department Director approves, extraordinary circumstances that warranted the delayed submission. Repeated submittal of untimely Business Expense Claim Forms may result in a denial of future requests to participate in City Business Events.
g. As an exception to the reimbursement processes, costs for attendance at a Local Event (e.g., registration or meeting fee), prepaid by the City, may be authorized via direct vendor payment through the accounts payable process; and reimbursement of costs subsequently incurred by an employee (limited to mileage, toll and parking) may be authorized by the Department Director by submitting the “Mileage Reimbursement Form.”

7. Work Time at Events for Non-Exempt Employees

7.1. The City will approve the Work Time for Non-Exempt Employees while attending an approved Event of City Business, which may include an allocation of overtime or compensated time off. a. “Non-Exempt Employee” means an employee not exempt from the provision of overtime laws as set forth by the U.S. Department of Labor Fair Labor Standards Act (FLSA). b. “Standard Working Hours” means an employee’s usual working hours per day, per week, per month or per year (e.g., regular 8-hour workday, or alternate work schedule of 9/80 or 4/10).

Standard working hours may vary from person to person.
c. “Work Time” means the portion of time during an Event that the City employee is conducting City Business. Work Time specifically includes all time at the Event, as well as travel to and from the Event. Depending on the duration of the Event, Work Time may be identified by one or more starting date(s) and time(s), and ending date(s) and time(s).

7.2. The calculation for Overtime/Compensated Time Off (OT/CTO) is applicable only to NonExempt Employees and must be estimated and approved in writing, in advance by the Department Director through use of the Business Expense Pre-Approval Form. Overtime/CTO is only allowed for Events that occur outside standard working hours. Regular meal periods are not included in overtime.

Working overtime without advance approval is grounds for discipline.

Overtime/CTO Eligibility Chart - Non-Exempt Employee
Agenda Item #7.5:

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Travel Time: For time traveling to Events
• Regularly compensated during standard working hours (travel substitutes normal job duties)
• OT/CTO during hours outside of standard working hours Event Time: For time spent attending Events
• Regularly compensated during standard working hours (Event substitutes normal job duties)
• OT/CTO during hours outside of standard working hours • OT/CTO will not be paid before Event, after Event or during meal hour, unless it qualifies as travel OT/CTO as referenced above.

7.3. Events and Travel Time- Compensation for reasonable travel time when driving to an Event is allowed before and after the City Business for Non-Exempt Employees. Overtime/CTO will only be issued when travel time and/or Event is outside employee’s standard working hours and falls within the parameters listed above. Employees must document time spent at an approved event, and request approval of OT/CTO, which will be based on the initial estimate included in the Business Expense PreApproval Form.

Index to Attachments
Attachment A: Business Expense Pre-Approval Form
Attachment B: Business Expense Claim Form
Attachment C: Missing Receipt Report Form
Attachment D: Mileage Reimbursement Form
Agenda Item #7.5:

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City of Sonoma
Credit Card Policy
Agenda Item #7.5:

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Contents

1.0 Introduction ...........................................................................................................3

2.0 General Information................................................................................................3

3.0 Controls.................................................................................................................3

4.0 Definitions.............................................................................................................4

5.0 Responsibilities......................................................................................................6

6.0 Procurement Process and Procedures........................................................................9

7.0 Prohibited Goods and Services...............................................................................10

8.0 Internet Purchases.................................................................................................11

9.0 Purchase Declined ................................................................................................12

10.0 Emergency Needs...............................................................................................12

11.0 Sales Transaction Procedures...............................................................................12

12.0 Statement Procedures..........................................................................................13

13.0 Obtaining a Credit Card.......................................................................................15

15.0 Credit Card Activation ........................................................................................15

16.0 Credit Card Modification.....................................................................................16

17.0 Request for Replacement Credit Card. ..................................................................16

18.0 Lost, Stolen, or Compromised Credit Card ............................................................16

19.0 Cancellation of a Credit Card...............................................................................16

20.0 Fraudulent Use of City Credit Card ......................................................................17

21.0 Unauthorized Use of City Credit Card ..................................................................17

22.0 Employee Departures and Transfers .....................................................................18

23.0 Billing Cycle and Online “Statement of Account”..................................................18

24.0 Late Fees ...........................................................................................................18

25.0 Account Suspension and Cancellation...................................................................19

26.0 Information Sources............................................................................................19 Agenda Item #7.5:

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1.0 Introduction
In the constant pursuit of improving the way the city does business and in promoting vendor acceptance and operational efficiency, the City of Sonoma has initiated the use of a new credit card called the CAL-Card, for an alternate method of purchasing and traveling. (The CAL-Card may also be referred to as “credit card” or “purchasing card” throughout this document.) Through the use of the State of California’s Master Services Agreement with U.S. Bank, the City of Sonoma is participating in this unique credit card program, the CAL-Card system. The City of Sonoma’s Credit Card is an International Merchant Purchase Authorization Card (I.M.P.A.C.) that has been specifically designed to look different from personal credit cards. The card is embossed with the City of Sonoma name and the department or cardholder’s name.

Authorization to use the card is restricted to the cardholder only and may not be delegated. The credit card is to be used for official city use only and may never be used for personal purchases.

The following policies and procedures have been established with the goals of good internal controls, proper financial reporting, keeping the number of credit cards issued to a minimum, while ensuring that permanent employees with a genuine need for an alternate method of purchasing have access to a City of Sonoma credit card.

2.0 General Information
The City of Sonoma credit card is essentially a Visa credit card with enhanced controls and data reporting that enables the city to streamline the traditional procurement process for small purchases up to $500, as well as travel-related expenses not covered under the Travel or Purchase Policy (e.g., flights and hotels). The credit card allows city departments and offices, under strict guidelines, to move easily and rapidly in obtaining low-dollar-value purchases directly and to also make travel arrangements for board-approved travel, subject to budget limitations.

The CAL-Card can be used for the purchase of merchandise from most vendors that accept Visa credit cards for payment. If use of the credit card is not practical, or if the specific purchase is prohibited on the CAL-Card, then standard purchasing procedures must be followed when appropriate.

There are no U.S. Bank administrative fees associated with the city credit card.

3.0 Controls
A number of unique controls have been developed for the I.M.P.A.C. program that do not exist in a traditional credit card environment. These controls ensure that the card can be used only for specific purchases and within a dollar limit of up to $500, as determined by the Finance Department. These limits and controls are established uniquely for each cardholder and can be modified with the approval of the Finance Department and City Manager, as necessary to meet the purchasing needs of the cardholder and the City. When a merchant seeks authorization from Agenda Item #7.5:

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the bank for a purchase, the system will check the individual cardholder’s single purchase limit, the cardholder’s thirty (30) day limit, the city’s limit, and the type of merchant where the cardholder is making a purchase before the transaction is authorized. If these established requirements are not met, the purchase will be denied.

In addition, detailed proof of all purchases is required by each cardholder, with additional verification performed by the cardholder’s Approving Official, and audit approval by the Finance Department before payment is made to the bank. All credit card purchases are subject to the terms, conditions, and requirements of City of Sonoma’s Procurement Policy, Travel Policy, and CAL-Card Policy, and must be within approved departmental budget.

Intentional use of the credit card for other than “Official City Business” may be considered as an attempt to commit a criminal act, which may result in immediate cancellation of a cardholder’s credit card, referral to the District Attorney, and disciplinary action, up to and including termination. The cardholder will be personally liable to the city for the amount of any nonapproved purchases. Payroll deductions may be used to collect funds that are due to the city, to the extent allowed by the law.

4.0 Definitions
The following terms are commonly referred to in this manual and their definitions are provided for clarification:

Approving Official
The Approving Official shall be the cardholder’s department head, or his/her authorized designee who has authority to sign departmental claims and is a critical checkpoint for internal control purposes. The Approving Official reviews and compares the cardholder’s monthly “Statement of Account” with the actual individual receipts and invoices to verify that all assigned cardholder’s purchases are necessary and for Official City Business only, that detailed receipts have been submitted, and that the “Statement of Account” is accurate.

The Approving Official must have a working knowledge of various purchasing methods and be familiar with all city procurement codes, policies and procedures, as well as the City Travel Policy. The Approving Official must also have knowledge of the job responsibilities of his/her designated cardholder and should be the cardholder’s supervisor or a high-level official. Ideally, expenditures should be reviewed by the cardholder’s direct supervisor. A subordinate shall not be an Approving Official for his/her supervisor.

Accounting Technician
The City’s designated staff member responsible for reviewing all department credit card activity, reconciling cardholder Statements of Account and supporting documentation, and ensuring alignment with the monthly Corporate Account Summary. These responsibilities are carried out under the oversight of the Finance Department.

Agenda Item #7.5:

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Cardholder
The person whose responsibility it is to secure and use appropriately the CAL-Card, and whose name appears on the CAL-Card. The cardholder is authorized to make purchases of commodities and travel arrangements on behalf of their department. The cardholder must be familiar and comply with all city procurement codes, policies and procedures, and City Travel Policy.

Cardholder Statement
A monthly “Statement of Account,” which lists the cardholder’s transactions. It is available online to each cardholder by U.S. Bank at the end of the monthly billing cycle. A paper copy of the monthly statement is available to the cardholder upon request. The Accounting Technician may distribute paper statements as a courtesy when feasible; however, it is the cardholder’s responsibility to access and review their statement. If a cardholder did not have activity during a billing cycle, no statement will be generated for those requesting paper statements.

Corporate Account Summary
U.S. Bank official billing statement for the entire city. This is sent to the Accounting Technician at the end of the monthly billing cycle and is also available online.

Finance Department
The Finance Department is responsible for overall administration of the City’s CAL-Card Program. This includes coordinating new card applications, processing modifications to existing accounts, managing cancellation and destruction of cards, and establishing procedures for proper card use and control. The Finance Department is also responsible for training cardholders and relevant personnel and has full authority to suspend or revoke cards as needed to ensure compliance with City policies and procedures.

Fixed Asset
A single tangible asset with a value of at least $500 and/or has an expected useful life of three (3) years or more.

I.M.P.A.C.

An acronym for International Merchant Purchase Authorization Card which is embossed on all City of Sonoma credit cards furnished by U.S. Bank.

Official City Business
Activities, expenditures, or transactions that are necessary to perform a cardholder’s official duties or support authorized City operations. This includes, but is not limited to, purchases related to City programs, services, or functions that are approved by the City and conducted in Agenda Item #7.5:

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the interest of the public. Use of City resources for personal, political, or non-City-related purposes is strictly prohibited.

Prohibited Goods and Services
Prohibited goods and services are defined as those listed in Section 7.0 of this policy. The use of the city credit card is unauthorized and shall not be used to procure such items.

Restricted Goods and Services
Restricted goods and services are defined as goods and services that, although not “prohibited,” are not authorized purchases for the individual cardholder. If the goods and services are “restricted,” the city credit card may be authorized for use if established approvals and criteria are met through the Approving Official and Finance Department.

Single Purchase
A single purchase is defined as one transaction with a vendor at one point in time, as reflected by a single receipt or invoice, even if it includes multiple items. The total amount of a single purchase, including freight, shipping, and tax, must not exceed the cardholder’s established credit limit.

U.S. Bank
The entity that maintains all I.M.P.A.C accounts. U.S. Bank issues the credit cards, monthly statement of accounts, and reports and invoices to cardholders, Approving Officials and Finance Department.

5.0 Responsibilities

5.1 Finance Department Responsibilities
The Finance Department is responsible for the City’s U.S. Bank CAL-Card Purchasing Card Program. The Finance Department is the focal point for program questions, contract administration, account application coordination, card issuance, suspension, and cancellation, report management and review, and administrative training. Specific responsibilities include, but are not limited to the following:

1. Determining spending controls in conjunction with Approving Officials (thirty (30) day limit, single purchase limit, etc.)

2. Coordinating new account setups

3. Verifying appropriate city personnel involved in the billing and payment processes receive training and policy manuals.

4. Coordinating account maintenance changes (addresses, spending controls)

5. Canceling cards immediately upon cardholder termination or for violation of this policy

6. Developing program training and materials
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7. Delivering training and supporting materials to cardholders, Approving Officials, and other program participants.

8. Developing and distributing internal procedures for the city

9. Auditing receipt retention and program compliance for city

10. Notifying the cardholder’s Approving Officials of noncompliance issues and assisting with compliance enforcement

11. Authorizing temporary changes for the cardholder’s spending limits

12. Reviewing renewal information for all accounts nearing expiration to ensure cards are received prior to the end of the expiration month

13. Closing accounts not eligible for reissue

5.2 Accounting Technician Responsibilities
The Accounting Technician is responsible for managing and coordinating the City’s Corporation Account. Specific responsibilities include, but are not limited to, the following:

1. Receiving and reconciling the official invoice (Corporate Account Summary) at the cycle date via paper or electronically

2. Reviewing and reconciling cardholder statements to ensure that receipts and documentation are in order.

3. Preparing city claim and journal entry for timely payment and appropriate classification and distribution of departmental expenses.

4. Analyzing and monitoring U.S. Bank Payment Access Online reports on statements, payment, performance and delinquencies.

5. Working with U.S. Bank Payment Services to resolve payment issues.

6. Ensuring the Corporate Account Summary is in order in accordance with the State of California Master Service Agreement for payment to U.S. Bank within the forty-five (45) day payment terms

7. Ensuring prompt payment is made to the U.S. Bank in order to take advantage of the State of California Prompt Payment Rebate Incentive.

5.3 Approving Official Responsibilities
The Approving Official is responsible to ensure purchasing card is used in accordance with the city’s policies and procedures and any procurement regulations that may be applicable, and for authorizing cardholder purchases. Specific responsibilities include, but are not limited to, the following:

1. Determining spending controls in conjunction with the Finance Department (thirty (30) day limit, single purchase limit, etc.).

2. Ensuring cardholders are familiar and comply with all city procurement codes, policies, and procedures, including CAL-Card Policy and Procedures and City Travel Policy.

3. Monitoring cardholders to ensure consistent and timely completion of CAL-Card Monthly Purchase Log.

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4. Reviewing all credit card purchases to verify they are for official city business and that cardholders are authorized to make specific purchases.

5. Ensuring that detailed receipts are provided by cardholder for each purchase on the Cardholder Statement of Account.

6. Verifying correct funds, departments, and accounts are included on the CAL-Card Monthly Purchase Log for financial posting purposes.

7. Ensuring that cardholders reconcile their CAL-Card Monthly Purchase Log with the cardholder statement of account and actual detailed invoices and submit to Approving Official within (5) business days of online statement receipt.

8. Reconciling the CAL-Card Monthly Purchase Log with the Cardholder Statement of Account for Cardholders out of the office on business, vacation, or sick.

9. Approving, signing, and dating each CAL-Card Monthly Purchase Log and Cardholder Statement of Account upon receipt and review.

10. Forwarding all Cardholder Statement of Accounts, detailed receipts, and other documentation to the Accounting Technician in one packet within five (5) business days of receipt from all cardholders.

11. Taking appropriate disciplinary action if cardholder uses credit card for non-city use, inappropriate use, unauthorized use, or personal use.

12. Notifying the Finance Department immediately (within two (2) business days) of a lost or stolen CAL-Card.

13. Retrieving credit cards from cardholders no longer employed by the city and forwarding to the Finance Department within two (2) business days.

5.4 Cardholder Responsibilities
The cardholder is responsible for using their Cal-Card in accordance with the city’s codes, policies, and procedures and any procurement regulations that may be applicable. Specific responsibilities include, but are not limited to, the following:

1. Signing their card in the presence of the Finance Department or authorized staff.

2. Using the card for official city purchase only.

3. Ensuring that their card is not used by anyone other than cardholder (i.e. cannot be used by a member of their staff, family or supervisor).

4. Maintaining card security to prevent unauthorized charges against the account

5. Obtaining a detailed receipt at the point of purchase and verifying it for accuracy and required details.

6. Posting each purchase immediately to their CAL-Card Monthly Purchase Log and providing all required transaction information.

7. Reconciling receipts and other purchase documentation to the online monthly Cardholder Statement of Account, using U.S. Bank electronic access system, Access Online.

8. Notifying Approving Official and Accounting Technician of any billing discrepancies posted on their Cardholder Statement of Account that cannot be immediately resolved.

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9. If a billing discrepancy cannot be resolved with the merchant, the cardholder must notify U.S. Bank by calling Customer Service or using Access Online no later than 30 calendar days from the statement date.

10. Resolution of all outstanding billing discrepancies on Cardholder Statement of Account.

11. Forwarding the reconciled Statement of Account, purchase documentation, and all associated detailed receipts and invoices to their Approving Official for approval within five (5) business days of online statement receipt. Failure to comply with this submission deadline for two (2) consecutive months may result in card revocation.

12. Calling U.S. Bank Customer Service immediately to report lost or stolen cards, and also immediately notifying the Approving Official.

13. Notifying the Finance Department of any name, telephone, address or other account changes.

14. Complying with all state, city and department acquisition regulations, policies and procedures, including Credit Card Policy and Procedures and City Travel Policy.

6.0 Procurement Process and Procedures
The City of Sonoma Credit Card is not intended to replace effective procurement planning. Use of the card does not relieve the cardholder from adherence to all state, city and department acquisition regulations, policies and procedures. The following conditions must be met when using the credit card.

1. The credit card may be used whenever possible for travel, airline tickets, hotel reservations, parking charges, and vehicle rental. All travel is subject to the City of Sonoma Travel Policy.

2. The Cardholder must request and receive detailed invoices, which provide an itemized listing of the goods and services received, purchase amounts, vendor name, date of purchase, and signature of cardholder.

3. Each single purchase may be comprised of multiple items, but the total including freight, shipping, and tax cannot exceed the credit card limit.

4. If a purchase will exceed the cardholder’s limit established by the department, other established city purchasing procedures must be followed.

5. The least expensive item that meets the department’s basic needs must be sought.

6. Cardholders shall ensure that sufficient funds have been budgeted and are available prior to making any purchases. Be aware of the fact that invoices that do not include sales tax may be subject to use tax, which will increase the cost of the purchase. A supervisor or Approving Official can assist in verifying that funds are available. Departments must maintain proper budgetary control to ensure approved appropriation levels are not exceeded.

7. Purchase must not be split to circumvent procurement regulations.

Agenda Item #7.5:

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8. The credit card shall not be used for purchases when the cardholder has a personal interest or knowledge, which creates an appearance of a conflict of interest (e.g. buying from a relative).

If you have any questions regarding procurement regulations, contact the Finance Department.

7.0 Prohibited Goods and Services
The use of the CAL-Card is strictly prohibited for the following purchases and merchants:
- Cash Advances
- Financial Institution-Manual Cash
- Financial Institution- Auto Cash
- Financial Institution-Merchandise
- Non-Financial Institution Foreign Currency, Money Orders, Traveler’s Checks - Security Brokers Dealers
- Timeshares
- Fines
- Bail and Bond Payments
- Wire Transfer
- Money Orders
- Dating and Escort Services
- Massage Parlors
- Betting, Track, Casino and Lotto
- Any alcoholic beverages, except for Alcade and Treasure Artist events with prior approval from the City Manager
- Fixed Assets
- Foreign Transactions
- Telecommunications Equipment
- Computer Equipment totaling more than $500
- Consultants, Instructors, and Speakers
- Road Projects
- Construction, Improvements and Maintenance of Facilities; the Finance Department may approve in writing an exception for Building and Grounds personnel when making small purchases for minor repair projects.
- Purchases against Blanket Purchase Orders and Citywide Contracts - Gasoline and motor oil for City-owned vehicles. An exception applies during Citydeclared or operational emergencies (including earthquakes, wildfires, floods, or other urgent public safety or infrastructure responses). Fuel purchases using a CAL-Card are permitted only for emergency operations when other City fuel resources are unavailable. - For departments with assigned gas cards (Public Works and Police), those cards must be used for out-of-city travel purchases of gasoline and motor oil when accepted by the Agenda Item #7.5:

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merchant. Departments without gas cards must request prior written Finance approval for out-of-city fuel purchases.
- Gasoline and motor oil for personal vehicle. (The mileage reimbursement policy for the use of personal vehicles already covers these costs.)
- Vehicle repairs and/or services for city-owned vehicles, unless an out-of-city-emergency - Vehicle repairs and/or services for personal vehicles - Political organizations
- Religious organizations
- Court costs, alimony, child support
- Tax payments
- Government loan payments
- Utility payments of any type
- Personal payments on behalf of private parties and/or clients; subject to finance approval, an exception may be made for allowable expenditures under the special client programs as authorized by Federal, State, or City regulations (i.e. “Wrap” programs, etc.) - Non-City Related Purchases
- Unauthorized merchant type costs as determined by Finance Department and Approving Official for each individual cardholder.
- Software of digital licenses, unless pre-approved in writing by the Department Services Supervisor.

The Finance Department has the right to impose additional prohibitions on the use of the credit cards. Additional department restrictions may be applied. All purchases will be audited to ensure compliance with approved credit card program requirements and restrictions, all city policies and codes, and department budget restrictions. Payment may be refused by the Finance Department, and/or the Approving Official when a purchase does not meet the established purchase criteria.

In this event, the cardholder will be responsible for returning the item(s) to the vendor for full credit. Cash refunds are not allowed. Neither the bank nor the merchant will bear any responsibility for inappropriate or unauthorized purchases. If you have any questions regarding the appropriate use of your credit card, contact the Finance Department.

8.0 Internet Purchases
The credit card may be used to order via the internet ONLY IF THE INTERNET SITE

CLEARLY INDICATES THAT IT USES SECURE SERVER SOFTWARE WHICH ENCRYPTS ALL CREDIT CARD INFORMATION.

Cardholder credentials (including saved payment information, usernames, or passwords) must not be shared or stored on shared devices. All internet purchases must be initiated and completed by the cardholder personally. The cardholder may not provide the password to anyone else to place an order or access information via the internet.

Agenda Item #7.5:

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The cardholder must enter each transaction on the “CAL-Card Monthly Purchase Log.” A printout of the internet purchase transaction must be made and attached to the “Statement of Account” in which the charge appears.

9.0 Purchase Declined
Occasionally a vendor will receive a “decline” status on a CAL-Card for a variety of reasons.

Cardholders should contact U.S. Bank Customer Service at 800-344-5696 or the Finance Department for assistance regarding declined transaction. The cardholder may be required to provide: 1) account number; 2) amount declined (total transaction amount); and 3) date the decline occurred to U.S. Bank Customer Service.

10.0 Emergency Needs
If an emergency arises which the cardholder believes necessitated a use which will exceed the maximums established for his/her credit card, he/she must contact the Approving Official prior to using the card for this purpose. If the Approving Official concurs an emergency exists, he/she will contact the Finance Department for final authorization. If approved, the Finance Department will then arrange the necessary temporary changes with U.S. Bank. The mere fact that a credit card purchase will exceed established maximum limits does not constitute an emergency. Other established city purchasing procedures can be used in this situation.

11.0 Sales Transaction Procedures
In all cases, the cardholder shall require the vendor to itemize the receipt or invoice for each item purchased. The vendor’s name, date of purchase, a description of commodities purchased, quantity purchased, price per item, and the total amount including sales tax, shipping and handling charges, if applicable, must be included on the itemized receipt. The authorization number, obtained by the merchant from U.S. Bank, must also be written on the sales receipt.

Upon completing a credit card transaction, the cardholder shall immediately record the transaction on the “CAL-Card Monthly Purchase Log.” The report is to include the following information as a minimum, but may have additional requirements as well:

1. Date of purchase;

2. Funds, department and account to be charged;

3. Description of purchase;

4. City use/purpose of purchase;

5. Receipt or invoice number;

6. Vendor’s name; and

7. The total purchase amount including tax and shipping/handling Agenda Item #7.5:

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12.0 Statement Procedures

12.1 Cardholder Procedures
At the close of each billing cycle (the 12th of each month), each cardholder will have access to their individual bank statement online (referred to as “Cardholder Statement of Account”) using the U.S. Bank internet-based electronic access system, Access Online. Cardholders can view and print copies of their statement. They can also view transactions using Access Online, including details about specific transactions. A paper statement can be mailed if requested.

The statement will show all transactions the cardholder made during the billing cycle. If a statement is not received or there are questions regarding the information on the statement, the cardholder shall contact U.S. Bank Government Services’24-hour customer service. If no activity occurred for a cardholder during a particular cycle, no paper statement will be generated.

Upon receipt of the cardholder statement, cardholders must complete the following steps:

1. Review the “Cardholder Statement of Account” for accuracy;

2. Reconcile the “Statement of Account” with the “CAL-Card Monthly Purchase Log.” All items on your statement must be either matched or disputed. For accurate posting, ensure all required information has been entered on the “CAL-Card Monthly Purchase Log.”

3. Billing discrepancies must be investigated immediately upon discovery. Cardholders should first attempt to resolve any discrepancies directly with the merchant. If the issue cannot be resolved with the merchant, the Cardholder must contact U.S. Bank directly by calling (800) 344-5696 or the phone number listed on the back of their CAL-Card.

4. Attach all corresponding receipts and invoices in the same order as they appear on the “Statement of Account.” For any disputed items, include a brief note indicating the issue and notify the Finance Department or Accounting Technician of the dispute.

5. If a receipt or invoice is lost and a duplicate cannot be obtained from the vendor, the Cardholder must complete a “Missing Receipt Form” and attach it to the CAL-Card Monthly Purchase Log as documentation for the purchase.

Repeated loss of original receipts and/or invoices (two or more instances) may result in the suspension or cancellation of the cardholder’s CAL-Card privileges, as determined by the Finance Department.

To maintain CAL-Card privileges, Cardholders are expected to consistently maintain and submit original, itemized receipts and invoices. This requirement will be strictly enforced.

6. Attach all credit vouchers for returned merchandise to the “Statement of Account.” All credit vouchers must be listed on the “CAL-Card Monthly Purchase Log.”

7. Sign the original “Statement of Account” and “CAL-Card Monthly Purchase Log.” Forward the "CAL-Card Monthly Purchase Log” and the “Statement of Account” to the Approving Official within five (5) business days of online statement receipt. If a cardholder is unable to review the “Statement of Account” within the required five-day Agenda Item #7.5:

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period (out of the office on business, vacation or sick), all paperwork is to be forwarded to the Approving Official to be processed. Cardholder must sign the “Statement of Account” and “CAL-Card Monthly Purchase Log” upon return to the office.

8. The cardholder shall maintain a file folder containing his/her “CAL-Card Monthly Purchase Log” and all current receipts and invoices, in a location known to the Approving Official. The cardholder must ensure that all receipts and invoices have been obtained and are entered on the “CAL-Card Monthly Purchase Log” as purchases are made. This will enable the Approving Official, or designee, to complete the reconciliation and statement process in the event the cardholder is out of the office when the cardholder’s reconciled “Statement of Account” is due.

9. Purchases deemed unauthorized, unnecessary or not for “Official City Use” by the Approving Official must be returned. If the cardholder is unable to return the item for credit, then he/she shall be personally liable to the City for the cost of the purchase. Cash refunds are not allowed.

12.2 Approving Official Procedures
The Approving Official is responsible for ensuring that all cardholders’ “Statement of Accounts” and “CAL-Card Monthly Purchase Logs” have been forwarded to him or her in the required timeframe. If a cardholder had no purchase activity during a particular billing cycle, no statement will be generated for that period. Within five (5) business days of receipt of all cardholder’s “Statement of Account” and supporting documentation, the Approving Official will be responsible for the following:

1. Review each cardholder’s “Statement of Account” to ensure supporting documentation has been provided for each transaction.

2. Review each cardholder’s purchases, and the merchants from whom the purchases were made, to determine if purchases were made in accordance with the City of Sonoma policies and procedures. The Approving Official has the responsibility to discuss questionable purchases with the cardholder. If the cardholder cannot justify that the purchase was necessary and for “Official City Use,” the cardholder must return the item and provide a credit voucher substantiating such return. If the cardholder is unable to return the item for credit, then he/she shall be personally liable for the cost of the purchase. Cash refunds are not allowed. Resolution of improper use of the credit card will be the responsibility of each department. In addition, the Finance Department can suspend or cancel the CAL-Card for improper use.

3. Review and process the “Statement of Account” and all associated documents of any cardholder who is on leave, on vacation, or traveling. If there are unresolvable problems with a particular cardholder’s “Statement of Account” and/or supporting documentation, forward all documents, along with an explanation of the problems to the Accounting Technician. Continue to assist Accounting Technician in the resolution of the problems.

Agenda Item #7.5:

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4. After reviewing each cardholder(s)’ “Statement of Account”, ensure all documentation has been completed properly and accurately, the Approving Official signs the “CAL-Card Monthly Purchase Log” and forwards the entire package to the Finance Department for completion and immediate submission to the Account Technician.

13.0 Obtaining a Credit Card
Departments may request City credit cards (CAL-Cards) for designated employees by submitting a request through the Finance Department. The Approving Official must initiate the request by contacting the Accounting Technician, who coordinates all aspects of CAL-Card program maintenance.

The Accounting Technician will route the request to the City Manager for review and final approval. The City Manager shall determine and assign the following for each Cardholder:

1. Single transaction limit

2. Monthly transaction limit
Once approved, the Accounting Technician will submit the Cardholder Set-Up Information to U.S. Bank Government Services.

After the CAL-Card program is in place, all new credit card requests and account changes (e.g., limit increases, closures, or replacements) must be submitted using the “Cardholder Account Update” form provided by the Finance Department.

Each department utilizing credit cards may establish additional internal procedures to support oversight and control, so long as they are consistent with this policy.

15.0 Credit Card Activation
Upon verification and approval by the Finance Department & City Manager, U.S. Bank Government Services will provide the requested credit card. The card is mailed directly to the Accounting Technician for delivery. Upon delivery of the card, the new cardholder will be required to sign a “Receipt of Credit Card and Agreement for Responsibility of Charges Form.” The reverse side of the card includes a space for the cardholder to sign. This must be signed in the presence of the Approving Official, to prevent unauthorized use upon issuance.

The cardholder is responsible to immediately contact U.S. Bank to activate their card once they receive it from the Finance Department or Accounting Technician. To activate the card, call U.S.

Bank Customer Service toll-free number located on the back of the card. U.S. Bank may cancel cards issued but not activated in a timely manner. If this happens, contact the Finance Department to have your card reactivated.

Agenda Item #7.5:

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16.0 Credit Card Modification
All requests to obtain a new CalCard, cancel an existing card, or modify a cardholder account (including changes to single transaction limits, monthly transaction limits, temporary increases, or updates to cardholder information such as name, address, telephone number, or email address) must be submitted using the City of Sonoma CalCard Request/Cancellation/Increase Form. The cardholder must complete the form, obtain Approving Official approval, and submit the signed form to [email protected].

17.0 Request for Replacement Credit Card
If a cardholder needs a replacement credit card for reasons other than loss, theft, or compromised cards, the cardholder must contact the Finance Department directly to request a replacement. The Department Head or Approving Official does not need to initiate this request.

18.0 Lost, Stolen, or Compromised Credit Card
The cardholder is responsible for the security of the credit card. If a cardholder loses, or has his or her credit card stolen, or believes the account number is compromised in any way, the cardholder shall, within two (2) hours of discovering the loss, comply with the following reporting requirements.

1. Notify U.S. Bank Customer Service immediately of the loss at 800-344-5696. The 800 number is answered 24-hours per day, 7 days a week;

2. Immediately contact their Approving Official to report the card as being lost, stolen, or compromised;

3. Also provide written notification to their Approving Official. The notification should include:
a. Account number;
b. Date/time/location card was lost or stolen, or believed compromised; and c. Any purchase(s) made on the day the card was lost, stolen or compromised.

The Approving Official will immediately notify the Finance Department by telephone and will forward the cardholder’s written notification within (2) business days of the loss.

The Finance Department will contact the bank to obtain a replacement card if appropriate. U.S.

Bank will mail replacement cards to the Finance Department once the loss or theft is reported to the bank. A new account number will be assigned to the replacement card.

A cardholder may be personally liable for purchases made on the card if the reporting requirements for a lost or stolen card are not met.

19.0 Cancellation of a Credit Card
To cancel a CalCard, the City of Sonoma CalCard Request/Cancellation/Increase Form must be completed by the cardholder, signed by the Department Director, and submitted to Agenda Item #7.5:

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[email protected]. If the card cancellation is urgent, the Approving Official shall also contact the Accounting Technician immediately and inform him/her of the specific circumstances.

The Finance Department has the authority to cancel a CAL-Card issued to cardholder for misuse, or unauthorized use of the card. The Finance Department also has the authority to cancel a CALCard for non-compliance with any City of Sonoma CAL-Card policy and procedure, city purchasing code, or Travel Policy. All City of Sonoma CAL-Card policies and procedures will be strictly enforced.

U.S. Bank, and the Finance Department have the authority to cancel cards issued to cardholders if the city has an invoice which is not paid in full within (60) days after the date of the invoice report indicating a balance for the invoice which is due (excluding valid, disputed amounts).

The issuance of a CAL-Card to a City of Sonoma employee is a privilege and not a right. There is no right to appeal or grievance for card cancellations.

20.0 Fraudulent Use of City Credit Card
U.S. Bank’s Fraud Prevention Unit continually monitors accounts and transactions to prevent and halt fraud activity. If fraud activity is suspected, the U.S. Bank Fraud Prevention Unit may contact cardholders by telephone to inform them about the use (or attempted use) of their credit card in a fraudulent manner.

Cardholders can help prevent fraud by carefully reviewing the Statement of Account. If the cardholder discovers a fraudulent transaction, the cardholder must follow the requirements of Section 18 above.

Intentional use of the credit card by the cardholder for other than “Official City Use” may be considered as an attempt to commit a criminal act, which may result in immediate cancellation of a cardholder’s credit card, referral to the District Attorney, and disciplinary action, up to and including termination. The cardholder will be personally liable to the City for the amount of any non-approved purchases. Payroll deductions may be used to collect funds that are due to the City, to the extent allowed by law.

21.0 Unauthorized Use of City Credit Card
Employees of the City of Sonoma hold a public trust. Employees’ conduct must meet the highest ethical standards. Disciplinary procedures will be initiated for unauthorized use of a city credit card. “Unauthorized use” means the use of the credit card by any person, including the cardholder, who does not have authority for such use, and from which use the city receives no benefit. Use of the city credit card for personal purchases, cash advances, or loans is a crime (Penal Code Sections 424 and 504). Unauthorized use of the city credit cards can constitute: (1) a criminal act; (2) willful misuse of public funds and (3) dishonesty. Any employee who engages Agenda Item #7.5:

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in the unauthorized use of the city credit card will be subject to disciplinary action, up to and including termination, referral to the District Attorney for appropriate action, and immediate cancellation of the cardholder’s credit card. In addition, any unauthorized or personal charges will be deducted from the employee’s monthly paycheck to the extent allowed by law.

22.0 Employee Departures and Transfers
Credit cards are issued to individual employees and are associated with the Approving Official’s account. If an employee leaves a department, the Approving Official shall notify the Finance Department immediately and within two (2) business days return his/her credit card to the Finance Department along with a completed “Cardholder Account Update” form.

If a cardholder is transferred to another department within the city, and the new department head determined that the employee is to retain the CAL-Card, the new Approving Official shall complete and submit a new “Cardholder Account Update” form to the Finance Department. The Finance Department will notify U.S. Bank Government Services and return the card to the cardholder.

If an Approving Official leaves a department, they must notify the Finance Department.

23.0 Billing Cycle and Online “Statement of Account”
U.S. Bank offers the city electronic billing/invoicing options (and paper upon request). All invoicing is done on a predetermined billing cycle. City of Sonoma’s billing cycle ending date is the 12th of each month.

To ensure processing requirements and timelines are met, immediately after the end of each billing cycle the cardholder will have access to their individual “Statement of Account” using the U.S. Bank internet based electronic access system, Access Online. If cardholder is unable to view statement online in any particular month, contact the Accounting Technician to obtain a copy of Cardholder’s Statement of Account.

24.0 Late Fees
Payment in full or payment with substantiating documentation must be received by U.S. Bank within forty-five (45) days from the Corporate Account Summary invoice date. If payment in full is not made by then (excluding disputed items), a late fee (interest penalty fee) at the current allowable rate must be included with the payment
All associated interest penalties are calculated from the due date to the date the payment is received. The interest penalty fee is determined by the State of California each fiscal year and is based on the State Prompt Payment Act. The rate is based on the annualized Pooled Money Investment Account rate plus 1%. The late fee shall be calculated: Total Dollars x Rate x Days beyond 45 (including estimated transit time for the payment to be received by U.S. Bank).

Agenda Item #7.5:

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Each department that is submitting a statement for payment for that billing period will be proportionally charged for any late fees incurred. Consequently, it is imperative that all cardholders’ “CAL-Card Monthly Purchase Logs” are kept current on a daily basis. Further, once the statements are received, they must be processed timely by the cardholder and Approving Official and promptly forwarded to the Finance Department for payment.

If the Finance Department determines that one department is responsible for the late fee, the full amount may be charged to that department.

Timely payment to U.S. Bank I.M.P.A.C. Government Services is a condition of participation in the City of Sonoma credit card program. Failure to submit reconciled statements and documentation to the Finance Department in a timely manner will result in the loss of City of Sonoma credit card privileges.

25.0 Account Suspension and Cancellation
Timely payment to U.S. Bank is a condition of participation in the CAL-Card Program.

Consequently, all parties must adhere to the timeline established in this policies and procedures manual. Per U.S. Bank requirements, if accounts are delinquent beyond sixty (60) days the entire City CAL-Card Account will be suspended. At one hundred twenty (120) days past due the city’s account will be canceled.

26.0 Information Sources
U.S. Bank
Customer Service
(800) 344-5696
Agenda Item #7.5:

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Appendix A
Agenda Item #7.5:

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Appendix B
TO:

The U.S. Bank Cal Card represents our company’s trust in you. You are empowered as a responsible agent to safeguard company assets. Your signature below is verification that you agree to and accept following responsibilities through the issuance of the City/US Bank Cal Card. Your signature also acknowledges that you have received your Cal Card.

1. I understand the card is for City-approved purchases only and I agree not to charge personal purchases.

2. Improper use of this card can be considered misappropriation of City funds. This may result in disciplinary action up to and including termination of employment.

3. If the card is lost or stolen, I will immediately notify U.S. Bank by telephone. I will confirm the telephone call by mail or facsimile with a copy of the notification to the Department Head or Finance Department. .

4. I agree to surrender the card immediately upon termination of employment, whether for retirement, voluntary or involuntary reasons.

5. The card is issued in my name. I will not allow any other person to use the card. I am considered responsible for any and all charges against the card excluding fraud.

6. All authorized charges will be billed directly to and paid directly by the City.

7. As the card is City property, I understand that I may be periodically required to comply with internal control procedures designed to protect City assets. This may include being asked to produce the card to validate its existence and account number. I will also be required to produce receipts and statements to audit its use.

8. I will receive a Monthly Reconciliation Statement (MRS), which will report all activity during the statement period. Since I am responsible for all charges (but not for payment) on the card, I will resolve any discrepancies by either contacting the supplier or the Finance Department.

9. I understand the CAL-Card is not necessarily provided to all employees. Assignment is based on my need to purchase materials for the City and/or to provide for business travel. My card may be revoked based on change of assignment or location. I understand that the card is not an entitlement nor reflective of title or position.

Employee Signature Approving Manager Signature
Employee Printed Name Date Approving Manager Printed Name Date G:\_Departments\FINANCE\Accounts Payable\US Bank Cal Card City of Sonoma
No. 1 The Plaza
Sonoma California 95476
Phone (707) 933-2244 Fax (707) 938-3934
E-Mail: [email protected]
Agenda Item #7.5:

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Appendix
C
Agenda Item #7.5:

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Appendix
D
Agenda Item #7.5:

City of Sonoma
Agenda Item Summary
Meeting: City Council - 18 Mar 2026
Department
Community Development
Department
Staff Contact
Antoinette Freeman, Sustainability Coordinator
Agenda Item Title
2026 Climate Action Commission Annual Workplan
Summary
The City of Sonoma has several Commissions that are advisory to the City Council, as described in the Sonoma Municipal Code (SMC) Title 2 Administration and Personnel.

Chapter 2.50 Climate Action Commission and adopted policies describe how members are appointed, the term of appointment, and the rules and regulations of operations. To set priorities for implementing the Climate Action Strategies, staff recommend that the Climate Action Commission annually adopt a work plan. This work plan will be used to formulate goals, timelines, and priorities for the fiscal year. In February 2026, staff presented the status update on the Climate Action Strategies, and the Commission identified the work plan for the next year, taking into consideration the City Council Goals for 2026.

Work Plan
The proposed work plan is a framework for achieving continuous improvement on the implementation of the Climate Action Strategies adopted by the City Council in January 2024.

On February 11, 2026, the Climate Action Commission recommended that the City Council approve the continued focus on the Climate Action Strategies (attached).

Staff and the Commission identified areas to focus on in 2026:
 Continuing to identify grant opportunities to implement strategies.  Expand public education and outreach materials tied to active program areas, especially water conservation, waste reduction, and incentive programs.  Identify which ordinance and policy topics are realistic for 2026 development.

Specifically, Climate Action Strategies: Ban New Fossil-Fueling Stations (T-4) and Reduce Idling (T-5).
 Gather metrics and data for Climate Action Strategy tracking and develop a publicfacing Climate Action Strategy dashboard.  Identify water conservation opportunities and practices to explore.

To assist staff in the implementation, three ad hoc committees were identified:

1. Education, Community Involvement & Outreach

2. Metrics Development

3. Climate Adaptation
Environmental Review
This action is exempt from the California Environmental Quality Act pursuant to CEQA Guidelines Section 15378(b)(5), which exempts organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.

Agenda Item #9.1:

Recommended Council Action
Approve the proposed 2026 Climate Action Commission Work Plan.

Alternative Actions
Provide direction and modify the proposed 2026 Climate Action Commission Work Plan.

Financial Impact
The fiscal impact associated with the staff recommendation is mostly accounted for in the FY 2025-26 budget. No additional funding is being requested at this time.

Environmental Review Status
Environmental Impact Report
Negative Declaration
Exempt
Not Applicable
Approved/Certified
No Action Required
Action Requested
Attachments
Climate Action Strategies UPDATE
Alignment with Council Goals:

Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 1 T - Transportation
T-1 Expand Bicycle and Pedestrian Infrastructure
Starting in Fiscal Year 2024-25, expand and improve opportunities and connections for people-powered transportation.

Target Year Performance Metric GHG Reduction Potential
2023 Added Downtown bicycle parking Medium
2024 Create cool corridor bicycle and pedestrian trails Medium 2025 Master plan for bicycle & pedestrian infrastructure Low 2025 Connect Sonoma City Trail to the Plaza Low - Medium Implementation Details
Implementation Timeline Medium to
Long
Start
Year
2023 Completion Year 2027
COMPONENTS:

T-1.1 Prepare Master Plan for Bicycle and Pedestrian Infrastructure T-1.2 Connect the Sonoma City Trail to the Plaza
T-1.3 Increase Downtown Bicycle Parking
T-1.4 Create Cool Corridors for Bicycle and Pedestrian Trails 2024 Actions:
• Installation of bicycle parking in the plaza to completed 2024. 2025 Actions:
• Adopted an updated Active Transportation Plan (ATP) to improve the bicycle and pedestrian network, with the goal of decreasing Vehicle Miles Traveled (VMT). • Work with Public Works to identify ATP implementation projects. Add Spain Streets • Continued to identify grant opportunities for Cool Corridor.

T-2 Electrification of Personal Transportation
Starting in Fiscal Year 2024-25, increase the availability of publicly accessible EV charging.

Target Year Performance Metric GHG Reduction Potential
2024 Fund a cost sharing program to add 25 L2 charger ports Medium/High 2026 Add 20 L2 EV charger ports for multifamily units. Medium 2026 Add 4 L2 EV charger ports for public charging Low
Implementation Details
Implementation Timeline Short-term,
then Ongoing
Start
Year
2024 Completion Year 2026, then ongoing
COMPONENTS:

T-2.1 Increase EV Charging at Multi-unit Dwellings
T-2.2 Expand Publicly Accessible EV Charging
2025 Actions:
• Obtained Charging Smart Silver designation for electric vehicle readiness. • How do we track number of chargers we have permitted on private property? Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 2 T-3 Improve Public Transportation
Starting in Fiscal Year 2024-25, increase availability of public transportation.

Target Year Performance Metric GHG Reduction Potential
2024 Expand operational times for the free #32 Sonoma Valley Shuttle. Low 2025 Establish a downtown circular electric shuttle Low Implementation Details
Implementation Timeline Short-term, then ongoing Start Year 2024 Completion Year 2028, then ongoing COMPONENTS:

T-3.1 Establish Electric Downtown Shuttle
T-3.2 Expand the #32 Sonoma Shuttle
2024 Actions:
• A shuttle and route (not EV) was tested by the Visitors Bureau. • Identified SCT ridership requirements for expanded run times. City pays SCT to allow for free trips between Boyes and the City.

T-4 Ban New Fossil-Fueling Stations
Consider a ban on construction of new fossil-fueling stations.

Target Year Performance Metric GHG Reduction Potential
2024 Effective date of a new ordinance. None/Low
Implementation Details
Implementation Timeline Short-term Start Year 2024 Completion Year 2024, ongoing COMPONENTS:

T-4.1 Explore Banning New Fossil-Fuel Filling Stations
2024 Actions:
• Identified communities with ordinances.

T-5 Reduce Idling
Consider ban on construction of new drive-through “windows.” Target Year Performance Metric GHG Reduction Potential
2024 Effective date of a new ordinance. Low
Implementation Details
Implementation Timeline Short-term Start Year 2024 Completion Year 2024, ongoing COMPONENTS:

T-5.1 Explore Banning New Drive Through Windows
2024 Actions:
• Identified communities with ordinances.

Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 3 B - Buildings
B-1 Reduce Reliance on Natural Gas
Consider adoption of all-electric or electric preferred reach code that would ban or discourage future natural gas hookups.

Target Year Performance Metric GHG Reduction Potential
2024 Effective date of a new ordinance. Low
Implementation Details
Implementation Timeline Short- term Start Year 2024 Completion Year 2024 COMPONENTS:

B-1.1 Encourage Increased Electrification and Energy Efficiency in Residences and Commercial Buildings
B-1.2 Adopt All-Electric or Electric Preferred Reach Code 2025 Actions:
• Created educational materials, updated City website, developed outreach plan. • Looked to other jurisdictions on guide to Reach Codes and what is defensible with the new Building Code to be released this year.

B-2 Increase Community Energy Conservation and Efficiency Starting in calendar year 2024, initiate energy efficiency events and initiatives to increase energy conservation and efficiency practices by residents and businesses.

Target Year Performance Metric GHG Reduction Potential
2024 Significant participation by residents and businesses Medium Implementation Details
Implementation Timeline Short- term Start Year 2024 Completion Year 2024, and ongoing COMPONENTS:

B-2.1 Sponsor Lighting Efficiency Giveaway Events
B-2.2 Offer Energy Efficiency Workshops
B-2.3 Deploy Local Energy Conservation Teams
B-2.4 Promote Building Energy Benchmarking
2024 Actions:
• Partnered with BayREN for programs for energy efficient items that the City promotes. • Requested funding, identify grants and partners to promote, provide and sponsor. • Created educational materials, updated City website, developed outreach plan.

Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 4 B-3 Expand Installation of PV Solar Systems
Increase use of PV Solar Systems
Target Year Performance Metric GHG Reduction Potential
2024 Attendance by participants and installation of PV systems Medium Implementation Details
Implementation Timeline Short- term Start Year 2024 Completion Year 2024, and ongoing COMPONENTS:

B-3.1 Increase Installation of PV Solar
2024 Actions:
• Created educational materials, updated the City website, and developed an outreach plan. 2025 Actions:
• Solar Permit in OpenGov, process was streamlined
• Metrics for pv solar systems
B-4 Explore Feasibility of Community Microgrids and Muli-family Solar Systems Explore the feasibility of community microgrids and community solar systems in Sonoma.

Target Year Performance Metric GHG Reduction Potential
2024 Effective date of a new ordinance. Medium
Implementation Details
Implementation Timeline Short- term Start Year 2024 Completion Year 2024, and ongoing COMPONENTS:

B-4.1 Explore Feasibility of Community Microgrids and Muli-family Solar Systems 2024 Actions:
• Explored grants opportunities to fund assessment.

Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 5 SW – Solid Waste
SW-1 Increase Organic Materials Separation
Develop a discounted residential backyard compost program and update the solid waste franchise agreement.

Target Year Performance Metric GHG Reduction Potential
2024
• Distribute 100 backyard composters
• Increase organics diversion by weight
• Low
• Medium
Implementation Details
Implementation Timeline Short-term Start Year 2024 Completion Year 2024, and ongoing COMPONENTS:

SW-1.1 Offer Discounted Residential Backyard Composters SW-1.2 Update the Solid Waste Franchise Agreement
SW-1.3 Increase Zero Waste Practices
2024 Actions:
• Created educational materials, updated City website, developed outreach plan. • Agreement was approved by City Council. Create educational materials, update City website. • research zero waste policies. Create educational materials, update City website, develop outreach plan. Promote Zero Waste Sonoma Activities
2025 Actions:
• Set up pages and made Sort It Sonoma easy to find on the City Website.

SW-2 Decrease Consumption of Plastic Shopping Bags
Adopt a plastic bag ordinance and commence enforcement of the state bag fee requirement.

Target Year Performance Metric GHG Reduction Potential
2024 Reduction in single-use plastic bags distributed by retailers. Low Implementation Details
Implementation Timeline Short-term Start Year 2024 Completion Year 2024, and ongoing COMPONENTS:

SW-2.1 Adopt a Plastic Bag Ordinance
SW-2.2 Enforce State Bag Fee Requirement
2024 Actions:
• Identified ordinances from other cities.
• Create educational materials, update City website, develop outreach plan. • Identify enforcement options, what do other cities do.

Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 6 SW-3 Reduce Single Use Plastic Water Bottles
Starting in calendar year 2024, install 5 additional water bottle filling stations on public property Target Year Performance Metric GHG Reduction Potential
2024 Active use of water bottle filling stations. Decrease in plastic water bottles generated.

Low
Implementation Details
Implementation Timeline Short-term Start Year 2024 Completion Year 2024, and ongoing COMPONENTS:

SW-3.1 Increase the Number of Water-Bottle Filling Stations 2024 Actions:
• Explored grant opportunities and costs associated with the installation of new and replacement of water filling stations.
2025 Actions:
• Included in the upcoming Olsen Park Plan and Depot Park Plan (typically included in all park projects) SW-4 Increase Use of Compliant Food Serviceware
Starting in calendar year 2024, increase use of compliant food serviceware at special events and begin enforcement of the city’s ban on disposable food serviceware.

Target Year Performance Metric GHG Reduction Potential
2024
• Reduced distribution of non-compliant food serviceware. • Begin enforcement of city’s ban on non-compliant food serviceware
• Low
• Low
Implementation Details
Implementation Timeline Short-term Start Year 2024 Completion Year 2024, and ongoing COMPONENTS:

SW-4.1 Increase Use of Compliant Items at Special Events SW-4.2 Enforce City’s Ban on Disposable Food Serviceware 2024 Actions:
• Worked with events coordinators on options
• Created educational materials, updated City website, developed outreach plan.

Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 7 W – Water
W-1 Reduce Use of Irrigation
Institute a program to reduce the use of irrigation.

Target Year Performance Metric GHG Reduction Potential
2024
• Expand and modify the Cash for Turf program.
• Offer discounted residential rain capture barrels.
• Install largescale rainwater capture systems at government buildings. • Prepare and implement a community based social marketing program for water conservation.
• Low
• Low
• Low
• Low
Implementation Details
Implementation Timeline Short-term Start Year 2024 Completion Year 2024, and ongoing COMPONENTS:

W-1.1 Expand and Modify Cash for Turf Program
W-1.2 Encourage Use of Rainwater Capture Systems on Private and Public Properties W-1.3 Offer Discounted Residential Rain Barrels
W-1.4 Prepare and Implement a Community Based Social Marketing Plan W-1.5 Encourage Water Conservation by High Users
2024 Actions:
• Funding/grant was received for this program. Updated rebate program, created educational materials, updated City website, developed outreach plan
• Requested funding and created rebate program, created educational materials, updated City website, developed outreach plan. Discussed opportunities with public works department on city facilities. • Expanded and modified Cash for Turf Program Continued program 2025 Actions:
• Continued offering Cash for Turf Program
• Explored expansion of the grant program
W-2 Install Real Time Monitoring of Water Consumption
Install advanced water metering infrastructure.

Target Year Performance Metric GHG Reduction Potential
2024 • Percentage of water meters with Advanced Water Meter • Low Implementation Details
Implementation Timeline Medium-Term Start Year 2024 Completion Year 2026, and ongoing COMPONENTS:

W-2.1 Install Advanced Water Metering Infrastructure
2025 Actions:
• Completed in the AMI Project
Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 8 G – Government Operations
G-1 Implement Energy Conservation Measures in City Buildings Complete energy conservation audits of all city buildings and implement energy conservation measures.

Target Year Performance Metric GHG Reduction Potential
2024 • Reduction in energy consumed in city buildings • Low Implementation Details
Implementation Timeline Medium-Term Start Year 2024 Completion Year
Ongoing
COMPONENTS:

G-1.1 Conduct Energy Conservation Audits of City Buildings G-1.2 Replace Ineffective Window Sash Locks
G-1.3 Install Vacancy Lighting Sensors
G-1.4 Install HVAC Zones in City Hall and Carnegie Library 2024 Actions:
• Discussed opportunities with public works department. Explored grant opportunities. 2025 Actions:
• A 'Facilities Assessment' RFP has been prepared to address (G-1.2) Replace Ineffective Window Sash Locks and (G-1.3) Install Vacancy Lighting Sensors and (G-1.4) Install HVAC Zones in City Hall and Carnegie Library
G-2 Upgrade and Expand PV Solar
Begin thorough assessment of existing and future PV solar potential on government buildings and begin upgrading and expanding.

Target Year Performance Metric GHG Reduction Potential
2024 • Percent increase in electricity generated by PV • Medium Implementation Details
Implementation Timeline Medium-Term Start Year 2024 Completion Year
2026
COMPONENTS:

G-2.1 Upgrade Current PV Solar Arrays
G-2.2 Expand PV Solar on Municipal Buildings
G-2.3 Assess Potential Areas to Install PV Solar Parking Canopies 2024 Actions:
• Discussed opportunities with public works department. Explored grant opportunities Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 9 G-3 Electrify City Vehicles and Equipment
Develop a plan to electrify the city’s fleet and vehicles and install EV charging for city employees.

Target Year Performance Metrics GHG Reduction Potential 2024 • Percent of city fleet electrified.
• Percent of city’s equipment electrified.
• Hours of charging used for city employees.
• Medium
Implementation Details
Implementation Timeline Short-, Medium-,
and Long-Term
Start Year 2024 Completion
Year
2025, and ongoing.

COMPONENTS:

G-3.1 Prepare City Fleet and Equipment Electrification Plan G-3.2 Install EV Charging at City Facilities
2024 Actions:
• Discussed opportunities with public works department. Explored grant opportunities 2025 Actions:
• Continued design for Sonoma County Transit electric charger installation for buses at the City Corporation Yard.
• PG&E EV Fleet Program was contacted in 2024 and 2025, and continues to be at capacity and not available for Sonoma
• Fleet Assessment RFP was sent, received 7 proposals.

G-4 Replace Natural Gas-Fired Equipment
Create replacement plan for natural gas fired equipment with high efficiency electric equipment.

Target Year Performance Metrics GHG Reduction Potential 2024 • Decreased number of natural gas fired items.
• Decreased amount of natural gas consumed by city operations • Low to high
Implementation Details
Implementation Timeline Medium- to
Long-Term
Start Year 2024 Completion
Year
2026, and ongoing.

COMPONENTS:

G-4.1 Replace Gas-Fired Water Heaters
G-4.2 Replace Gas-Fired HVAC System at the Police Department 2024 Actions:
• Discussed opportunities with public works department. Explored grant opportunities 2025 Actions:
• Replaced Gas-Fired Water Heater in Corp Yard March 2025 Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 10 C – Carbon Sequestration
C-1 Increase Soil-based Carbons Sequestration
Expand the application of compost in Sonoma and support the use of biochar.

Target Year Performance Metric GHG Offset Potential
2023 • Amount of compost distributed annually • Medium
Implementation Details
Implementation Timeline Medium-Term Start Year 2023 Completion Year 20-23 and ongoing COMPONENTS:

C-1.1 Expand Application of Compost
C-1.2 Explore Application of Biochar
2024 Actions:
• Create educational materials, updated City website, developed outreach plan. • Identified compost opportunity sites and program for volunteer management.

C-2 Increase Planting of Trees
Increase the planting of trees in strategic locations.

Target Year Performance Metric GHG Offset Potential
2023 • Number of trees planted annually. • Medium
• Percent shade canopy in the city.
• Receipt of the Tree City USA designation.

Implementation Details
Implementation Timeline Medium-Term Start Year 2024 Completion Year Continuing COMPONENTS:

C-2.1 Assess and Expand Urban Tree Shade Canopy
C-2.2 Install Green Pocket Forests
C-2.3 Seek Tree City USA Designation
2024 Actions:
• Assessed potential locations and interest. Requested funding and solicited consultants for completion. • Researched requirements. Determined that additional options are available. 2025 Actions:
• City-wide tree inventory and urban tree canopy study conducted to identify potential plantable areas.

Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 11 C-3 Create Local Carbon Offset Program
Initiate the City of Sonoma Carbon Offset Program.

Target Year Performance Metric GHG Offset Potential
2023 • Number of participants per year.
• Amount of money collected per year.
• Number of trees planted and protected.
• Medium
Implementation Details
Implementation Timeline Medium-Term Start Year 2023 Completion Year Continuing COMPONENTS:

C-3.1 Establish a Local Carbon Offset Program for Sonoma 2025 Actions:
• Staff continued to work with BayRen and RCPA on regional program development.

Agenda Item #9.1:

Climate Action Strategies Progress - 2025 City of Sonoma 12 General
2025 Actions:
• ‘Climate Smart Sonoma’ public information effort in 4th quarter of 2025 featured the many ways the City of Sonoma and CAC are working to reach climate goals. • Identified four Priority Conservation Areas in the City with the Association of Bay Area Governments (ABAG) and Metropolitan Transportation Commission (MTC) to make City eligible for funding of projects within those areas.
• Hired a part-time Sustainability Coordinator.

Agenda Item #9.1:

City of Sonoma
Agenda Item Summary
Meeting: City Council - 18 Mar 2026
Department
Community Development
Department
Staff Contact
Diane Levine, Associate Planner
Agenda Item Title
Accept the City of Sonoma General Plan Annual Progress Report and Direct Staff to Distribute to the California Department of Housing and Community Development (HCD) and the Governor’s Office of Land Use and Climate Innovation (LCI) Summary
California Government Code sections 65400 and 65700 require that all cities and counties prepare and submit an annual progress report (APR) on the status of its General Plan. State law requires that the local legislative body review the Annual Progress Report (APR) prior to submittal to the Governor’s Office of Land Use and Climate Innovation (LCI) and the Department of Housing and Community Development (HCD).

The APR provides information to legislative bodies and the public with information regarding the implementation of its General Plan. Additionally, HCD requires jurisdictions to submit the Housing Element report, on prescribed tables, directly to HCD which also covers activities and accomplishments from the calendar year related specifically to their Housing Element.

The APR is due to both agencies by April 1st of each year. Timely submission of the annual report to HCD fulfills statutory requirements to report certain housing information, including the local agency’s progress in meeting its share of regional housing needs, and the status of programs identified in the Housing Element.

Based on these requirements, Staff have prepared the 2025 General Plan APR, which includes the Housing Element APR for review and consideration by the City Council (Attachment A, General Plan APR 2025).

General Plan APR
The General Plan APR provides an overview of what was completed during the Calendar Year 2025 (January 1, 2025 – December 31, 2025). Topics addressed include the following:

 Introduction
 Purpose of the General Plan
 Status of the Adopted Elements
 Progress in the General Plan’s Implementation
The Housing Element APR is included as Appendix A in the General Plan APR. The Housing Element APR includes housing development applications deemed complete, new housing construction entitlements, permits, RHNA progress, Housing Element Program implementation status, and other housing data as applicable during the 2025 calendar year.

The following are some of the highlights for 2025:

Agenda Item #9.2:

 Approved the Montaldo Apartments Project, which will provide 50 residential units, twenty-five percent of which will be affordable in perpetuity.  Received an application for and began processing a SB330 project, which is proposed to provide 41 residential units.
 Received application for and began processing a development project, which is proposed to provide 120 residential units with a five percent affordability component.  Received application for a development project proposing 51 residential units with a 10 percent affordability component.
 Zoning code amendments to further streamline multifamily development standards and Design Review.
 Assisted in the purchase of two affordable housing properties to secure preservation of 18 affordable units within the city.

RHNA Progress
The City of Sonoma was allocated a total of 311 units for the 6th Cycle (2023-2031). In 2025, the City has reported its status of housing production relative to its 6th Cycle RHNA to HCD and OPR for 2025, which includes:

In accordance with Program 28 of the Housing Element, City staff monitors the adequacy of development standards in Title 19 of the Sonoma Municipal Code to determine if any standards create undue burdens or limit the ability for housing to be developed at the density designated in the site inventory.

 In 2025, one project proposed on a Housing Element Site was approved, which will result in 50 units, twenty-five percent of which will provide deed restricted affordable housing units once constructed.
 No constraints caused by development standards have been identified that limit development of housing or the ability to achieve the densities in the RHNA identified sites as approved in the 2023-2031 Housing Element.

Agenda Item #9.2:

The final APR is scheduled for submission to LCI and HCD prior to March 31, 2026. Any comments received from the public or City Council will be included in the submission.

The City Council made Housing a top priority again for 2026, reaffirming its commitment to addressing housing issues. Below are some key initiatives:

 Continued implementation of the Housing Element
 Updating the mobile home conversion policies
 Updating the ADU and Density Bonus regulations to be consistent with state law  Complete the Comprehensive Fee Update and Nexus Study  Complete the Inclusionary Housing Analysis
 Enhance pedestrian safety and accessibility throughout the city  Evaluate the limits of the Urban Growth Boundary as part of a strategic approach to meeting housing and long-term community needs
 Enhance Tree policies and expand tree plantings
Environmental Review

The General Plan Annual Progress Report is a reporting document and does not create or alter policy. The content is provided for informational purposes only and is exempt from the requirements of the California Environmental Quality Act (CEQA) per CEQA Guidelines Section 15378(b)(5), which exempts organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment. This informational item provides a means to monitor the implementation of the General Plan during the 12- month reporting period.

Recommended Council Action
Accept the City of Sonoma General Plan Annual Progress Report and Direct Staff to Distribute to the California Department of Housing and Community Development (HCD) and the Governor’s Office of Land Use and Climate Innovation (LCI) Alternative Actions
Council discretion
Financial Impact
N/A
Environmental Review Status
Environmental Impact Report
Negative Declaration
Exempt
Not Applicable
Approved/Certified
No Action Required
Action Requested
Attachments
GPAPR2025
Appendix A Updated 03.16.26
Appendix B
Agenda Item #9.2:

Appendix C
Appendix D
Alignment with Council Goals:

Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
1 CITY OF SONOMA

GENERAL PLAN
2025 ANNUAL PROGRESS REPORT
PREPARED BY:

Community Development Department
1 The Plaza
Sonoma, CA 95476
Received by the City Council
March 18, 2026
Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
2 Table of Contents
I. Introduction ............................................................................................................ 3 II. General Plan Background.................................................................................... 3 III. City of Sonoma 2020 General Plan.................................................................... 4 IV. General Plan Update............................................................................................ 7 V. Community Development Department Responsibilities.................................. 8 VI. 2025 City of Sonoma Accomplishments.......................................................... 10 VII. Housing Accomplishments ................................................................................ 13 VIII. General Plan Amendments ............................................................................... 14 IX. Permits, Plans and Projects .............................................................................. 14 X. Conclusion............................................................................................................ 16 Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
3 I. Introduction
California Government Code Sections 65400 and 65700 require the City to prepare and submit an annual report on the status of the General Plan and progress in its implementation. The Annual Progress Report (APR) must be presented to the City Council for review and acceptance prior to its submittal to the Governor’s Office of Land Use and Climate Innovation (LCI) and Housing and Community Development (HCD) by April 1st of each year. The APR provides legislative bodies and the public with information on the implementation of the City’s General Plan. Also, the report provides State required information regarding the City’s progress in meeting its share of the regional housing needs allocation (RHNA) as has been reported in the 2025 Housing Element APR reviewed by the City Council on March 18, 2026. The General Plan APR allows LCI to identify statewide trends in land use decision-making and how local planning and development activities relate to statewide planning goals and policies. The Housing Element APR requires the inclusion of certain housing information in accordance with state housing law Government Code Sections 65400, 65583, and 65584). The State does not have required forms or procedures for cities to follow for the General Plan APR.

However, LCI does provide formatting and guidance on the contents, which they strongly recommend using.

II. General Plan Background
The City has a proud history of adopting General Plans for its future, dating back to 1964.

Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
4 III. City of Sonoma 2020 General Plan
State law requires that general plans include seven elements. The elements may be combined or renamed, but basic requirements must be included. Elements for other topics of local concern may also be included. The following shows the correspondence between State mandated elements and the City of Sonoma General Plan.

Mandatory Elements Sonoma General Plan (adopted)
Land Use Community Development (2006)
Circulation Circulation (2017)
Conservation Environmental Uses (2006)
Open Space Environmental Uses (2006)
Safety Public Safety (2006)
Noise Noise (2006)
Housing Housing (2023)
Economic Development optional Local Economy (2006)
Additionally, General Plans are to comply with LCI’s General Plan Guidelines. The General Plan Guidelines document sets out statutory requirements, provides recommended policy language, and provides resources, among other information.

Although there are no disadvantaged communities within the City’s boundaries, the City makes efforts to connect with and contribute to the Sonoma Valley within the County’s jurisdiction, such as awarding over $71,000 in discretionary funding within the 25-26 fiscal year to 25 local, non-profit organizations whose projects benefit the Sonoma Valley community. The City also implements other practices as required by LIC’s General Plan Guidelines, such as conducting tribal consultation when adopting or proposing amendments to the General Plan, as well as when proposed development projects trigger the requirement for tribal outreach under SB 18 and AB 52.

Vision
The City Council adopted a Vision Statement in October 2006 that guides the development of the community and forms the basis of actions taken by the City. “Sonoma is a beautiful, environmentally friendly, and safe place, widely recognized as one of the most desirable cities in Northern California to live, visit, and do business. Ours is a diverse community where residents and their children can and want to remain. In 2020, Sonoma will be a place where:

Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
5  Innovative, creative and sustainably-designed development respects the availability of natural resources and enhances the scale, character, and natural setting of the community.
 The community’s history and its role as a cultural center are enhanced through public art, special events, and careful preservation of historic features.  A vibrant, entrepreneurial economy is fueled largely by retention and incubation of locally-owned businesses that complement the small-town atmosphere and provide high- paying jobs.
 Housing is available and affordable to the residents and the local workforce to support an economically diverse population.
 Creeks, trees, other natural features are valued and preserved, and open space and agricultural lands are protected - both in and around the city.  Residents have access to a variety of high-quality recreational opportunities.  Walking and bicycling are safe and the use of clean-fuel transit is popular. Traffic congestion is mitigated.
 Residents enjoy peace, quiet, and security, as well as efficient, high-quality public services.
 The City enjoys productive relationships with neighboring communities to effectively address regional issues, including planning, service provision and capital improvements.”
The 2020 General Plan contains the following 24 goals to support the vision statement of the City Council:

Goal CD-1: Contain urban land uses within a compact area that preserves surrounding open space and agricultural resources.

Goal CD-2: Achieve a balance between protecting open space and providing housing and employment, consistent with the small-town character of Sonoma.

Goal CD-3: Expand joint planning efforts with the County and other public agencies in Sonoma Valley.

Goal CD-4: Encourage quality, variety, and innovation in new development.

Goal CD-5: Reinforce the historic, small-town characteristics that give Sonoma its unique sense of place.

Goal CD-6: Establish Sonoma as a cultural center.

Goal LE-1: Support and enhance the local economy in a manner consistent with Sonoma’s character and in furtherance of its quality of life.

Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
6 Goal ER-1: Acquire and protect important open space in and around Sonoma.

Goal ER-2: Identify, preserve, and enhance important habitat areas and significant environmental resources.

Goal ER-3: Conserve natural resources to ensure their long-term sustainability.

Goal ER-4: Respond to the recreational needs of the community.

Goal CE 1.0: Maintain a Citywide Roadway System that Provides for the Safe and Efficient Movement of People and Goods to All Parts of Sonoma.

Goal CE 2.0: Create a Circulation Network that Supports and Encourages Travel by Non-Automobile Modes
Goal CE 3.0: Coordinate circulation and land use patterns to ensure safe and convenient access to activity centers while maintaining Sonoma’s neighborhoods and small-town character.

Goal CE 4.0: Effectively integrate the City’s circulation system with surrounding regional network.

Goal PS-1: Minimize risks to life and property associated with seismic and other geologic hazards, fire, hazardous materials, and flooding.

Goal PS-2: Assure that essential emergency and public services will function effectively in a disaster.

Goal NE -1: Achieve noise compatibility between existing and new development to preserve the quiet atmosphere of Sonoma and quality of life.

Housing Element (6th Cycle 2023-2031)
The Sonoma City Council approved the Sonoma 6th Cycle Housing Plan and Background Report on Tuesday, January 31, 2023. On April 13, 2023, the California Department of Housing and Community Development (HCD) issued a letter to the City of Sonoma stating that the adopted Housing Element was in full compliance with State Housing Element Law (Article 10.6 of the Gov. Code). The adopted element, including non-substantive modifications, which was posted on the City’s website, addresses the statutory requirements described in HCD’s January 24, 2023, review. More information is available at the link: https://www.sonomacity.org/housing-element-update/ The Housing Plan includes six goals that guide the City’s housing programs and activities in the City of Sonoma including:

Goal H-1: Provide a range of housing types affordable to all income levels, allowing Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
7 those who work in Sonoma to also live in the community.

Goal H-2: Improve housing affordability for both renters and homeowners in Sonoma.

Goal H-3: Maintain and enhance the existing housing stock, preserve the affordable housing stock, and ensure that new residential development is consistent with Sonoma’s town character and neighborhood quality.

Goal H-4: Reduce governmental constraints under the City’s control on the maintenance, improvement, and development of housing while maintaining community character.

Goal H-5: Promote equal housing opportunities for all residents, including Sonoma’s special needs populations and all classes protected under Federal and State fair housing laws, so that safe and decent housing is available to all persons and all income levels throughout the community and residents can reside in the housing of their choice.

Goal H-6: Promote environmental sustainability through support of existing and new development that minimizes reliance on natural resources.

Activities completed to implement the Housing Element and other elements of the General Plan can be found in latter sections of this progress report.

IV. General Plan Update
The last comprehensive update to the City’s General Plan was completed in October of 2006, with the adoption of the 2020 General Plan. The current General Plan Update process commenced with the release of the Request for Proposals on December 12, 2022. On May 17, 2023, the City of Sonoma selected De Novo Planning Group as the consultant to prepare the General Plan and associated Environmental Impact Report. The contract was signed and executed on May 19, 2023. The General Plan Update process was kicked off on October 11, 2023, with a joint City Council and Planning Commission meeting to discuss the General Plan update and provide direction to staff. In 2025, the City held ten community meetings.

From July through December 2025 staff worked with the General Plan Task Force, Planning Commission and City Council on identifying potential land use changes to be considered in the draft General Plan update. The direction received was presented to the community in January 2025. In May 2025, the consultants and staff began releasing preliminary draft elements. Preliminary drafts were made publicly available online.

Additionally, staff presented the elements for discussion and comments at General Plan Task Force, Planning Commission, Parks, Recreation and Open Space Commission, Climate Action Commission, and the Historic Preservation Commission meetings, as applicable. Staff is currently compiling the comments received from the public and at meetings, consolidating into one draft that will be provided to the consultant to create the Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
8 final draft, to be released with the draft Environmental Impact Report (“EIR”) in Spring 2026.

The General Plan Update will consist of the following Elements:
• Land Use
• Circulation
• Conservation and Open Space
• Safety
• Noise
• Utilities and Public Services
• Economic Development optional
• Historic and Cultural Resources
optional
More information about the General Plan Update can be found here:
https://sonomacity.generalplan.org/
V. Community Development Department Responsibilities
The Community Development Department currently consists of a Building Division and Planning Division which is responsible for processing new policy and entitlements, building permits, code enforcement, sustainability initiatives, and long-range planning projects. Planning Division also helps to ensure all City activity is consistent with the General Plan policies and goals, including the Housing Element. The Planning Division currently includes two Associate Planners and a Permit Technician position.

Responsibilities of the Division are as follows:

Council/Commission Staffing: In addition to supporting the City Council with respect to planning and related matters, the Division brings forward staff supports to the following commissions and committees: the Planning Commission (PC), the Historic Preservation Commission (HPC), the Climate Action Committee (CAC), the Sonoma Valley Citizens Advisory Commission (as needed), the Parks, Recreation, and Open Space (PROS) (as needed), the Traffic Safety Committee (as needed), and the City’s internal Project Advisory Committee (PAC).

Current Planning: The Planning Division is responsible for processing applications for planning entitlements such as: Use Permits, Design Review, Modifications, Variances, Exceptions, Tentative Subdivision and Parcel Maps, Urban Lot Splits, and Signs, some of which are processed ministerially and others through the Planning Commission, Historic Preservation Commission, or the City Council. These activities also include a range of tasks from home occupations to large-scale residential and commercial development.

Staff also review referrals from the Sonoma County Planning Department (Permit Sonoma) for development proposals nearby that may impact the City and long-range planning efforts such as the General Plan, Sonoma Springs Specific Plan, and the Sonoma Developmental Center.

Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
9 Advanced Planning: The Planning Division is responsible for maintaining and updating the Development (Zoning) Code and General Plan to be consistent with State law and other actions as directed by City Council. This involves reviewing potential legislation and new laws that become effective each year and bringing forward resolutions, ordinances, or informational staff reports to maintain compliance. Staff also monitors and/or manages housing policy matters related to the Housing Element of the General Plan, Annexation requests, the City’s Growth Management Ordinance, and the City’s Regional Housing Needs Allocation (RHNA). The Division is also responsible for project management of long-range planning tasks requiring the onboarding of consultants for specialized and/or technical studies such as the current city-wide tree inventory and urban canopy assessment project, inclusionary housing analysis, and the city-wide historic resource survey.

City Council Goals: The City Council identified five main goals in 2025 (Appendix B) that are the foundation for the City Manager to set priorities, direct work activities, and allocate staffing and financial resources in the City. The City Council Goals are established on an annual basis and are utilized by the staff to work with the Commissions to identify priorities.

The accomplishments for 2025 are also provided as part of Appendix B.

Planning Commission Work Plan: The Commission’s Work Plan includes recommendations for the City Manager and City Council to consider in ensuring continuous improvement to the City’s land use and regulatory framework. The Work Plan is intended to align with the budget process, allowing for allocation of resources to implement all or part of the recommendations in the Work Plan. In 2025, the Planning Commission discussed accomplishments for 2024 and established a new 2025 Work Plan (Appendix C). A new plan will be developed in March 2026.

Building Permit Plan Check: Review of Building Permits, including those not subject to other forms of planning review (e.g., Use Permit review or Design Review), to ensure compliance with applicable building codes and regulations, development standards, and state law.

Site Inspections: Site inspections are conducted to ensure that conditions of approval for new development projects have been completed and are in conformance with the scope of permits.

Enforcement: Sign and other code enforcement activities are primarily performed by the Associate Planners, in conjunction with the City Prosecutor/Code Enforcement unit.

Affordable Housing Management: The City is responsible for preparing and managing affordable housing agreements. Work in this area includes annually reviewing rent levels, screening prospective tenants and homebuyers, and setting prices for the sale and resale of affordable ownership units.

Climate Action / Sustainability: The Department is responsible for preparing and implementing the climate action plan. The City Council restated its commitment to Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
10 reducing greenhouse gas (GHG) emissions through the adoption of a Climate Emergency Resolution that contained a target of net zero carbon emissions by 2030 for municipal operations and communitywide. The Climate Action Strategies set forth a path to achieve these targets. The Strategies were adopted by City Council in January 2024 (Appendix D).

GIS: The City’s Geographic Information System now includes the following layers: streets, parcels, city limits, sphere of influence, flood areas, historic sites, and air photographs.

The parcel layer is tied to a database that tracks property ownership, units, and land use, among other items. To maintain the utility and validity of the system, it is important to keep the information on these layers up to date. Staff are working on adding additional layers to the system to incorporate into our online permitting system that trigger specific reviews.

A separate GIS software, TreePlotter, has also been adopted to track the City’s existing tree inventory. The software provides detailed information about each tree, including their current conditions, maintenance needed, size, width, common names, and Latin names.

Regional Coordination: Staff participates in regional activities/meetings with several organizations, including but not limited to: the Association of Bay Area Governments (ABAG), Regional Climate Protection Authority (RCPA), Sonoma County Transportation Authority (SCTA), Bay Area Regional Energy Network (BayREN), Napa Sonoma Housing Collaborative, and the Sonoma County Community Development Commission (CDC).

VI. 2025 City of Sonoma Accomplishments
General Plan Task Force: City Council appointed seven-member task force made up of five residents in the City and two in the Sonoma Valley. The task force discusses the General Plan and what they have heard and community meetings and will be making recommendations to City Council and the Planning Commission as the process moves forward. In 2025 the Task Force met six times.

City Wide Tree Inventory and Urban Canopy Assessment: In 2024, staff held two joint Planning Commission, Parks, Recreation and Open Space Commission, and Climate Action Commission Meetings to set priorities to implement a new comprehensive approach to the City’s urban forest. The first item was to prepare a tree inventory and canopy assessment. Staff selected a qualified consultant and approved the contract in April 2025. The tree inventory and urban canopy assessment was conducted throughout 2025 and the final report was accepted by City Council in February 2026. The reports will provide key details on the quantity, health, and classification of existing trees with the goal of identifying suitable planting areas/types, as well as needed care of existing trees.

Online Permit Submittal and Tracking System Implementation: In 2022 and 2023, the City rolled out an online permit system requiring applicants to submit electronically and staff and applicants to track the permit in the system with the intent to build in efficiency and reduce time on permit tracking. In 2024, additional online permitting options were added. The Planning Division continues to improve upon existing permits and tracking systems for increased accuracy and efficiency.

Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
11 West Spain Street Improvement Project: The West Spain Street Improvement Project rehabilitated West Spain Street between Hwy 12 and First Street West to improve roadway conditions, safety, and accessibility for all users.

Neighborhood Traffic Safety & Calming: The Neighborhood Traffic Calming Program Guide was adopted in August 2025, a community driven program outlining strategies to address speeding, cut-through traffic, and other safety concerns on residential streets.

Active Transportation Plan: City participated in the countywide active transportation planning process in 2024. In January 2025, the City adopted the Active Transportation Plan which identifies policies to improve pedestrian and alternative transportation experience and safety.

Charging Smart Designation:

The Charging Smart Program is an EV-readiness program that encourages the establishment of policies and procedures that impact EV charger deployment in communities. The City participated in the program in coordination with Interstate Renewable Energy Council (IREC) starting in April of 2025. Meetings were held once a month and included one-on-one check-ins to discuss our progress and receive support in achieving the program goals. The program has three designations including Bronze, Silver, and Gold. The City was able to achieve 38 program actions and receive the Silver designation in November of 2025.

Homeless Services:
• Increased one-time funding to local homeless service providers to expand capacity and strengthen service delivery, including engaging experienced providers such as Catholic Charities and Sonoma Family Meals to help ensure long-term service continuity in Sonoma Valley and enhance financial stability • Allocated ongoing funding for Homeless Action Sonoma (HAS), in partnership with Catholic Charities to operate shelter and supportive services in Sonoma Valley, and Sonoma Family Meals to provide meals for unhoused and foodinsecure residents • Activated an overnight warming center in coordination with Sonoma County during extreme cold weather events and contracted with a service provider to manage operations
• Distributed essential supplies to unhoused individuals during extreme heat events—including cooling towels, water, shade hats, and snacks—and partnered with Sonoma County to ensure access to the Sonoma Valley Regional Library as a cooling center during multiple extreme weather events Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
12 Public meetings:

The Planning Division supported the following hearings, including noticing in the paper, mailings and minutes:
• 11 x Planning Commission (PC)
• 1 x Special Planning Commission meetings
• 9 x Historic Preservation Commission meetings (formerly Design Review and Historic Preservation Commission)
• 3 x Climate Action Commission meetings (CAC)
• 3 x Special Climate Action Commission meeting
• Staff attended most City Council meetings throughout the year Housing Opportunities and Affordable Housing Management:
• Submitted Annual Progress Report to HCD (2024).
• Preservation of 18 affordable units within the City through a landmark partnership and utilization of the City’s Affordable Housing Trust Fund. • Processed and approved planning entitlements for the City’s first SB9 Lot Split. • Processed affordable housing applications and filled available affordable housing units.
• Began working on updating Mobile home Park Closures and Conversions in relation to the Sonoma Municipal Code.
• Three affordable units sold to qualified households.
• Participated in Generation Housing’s countywide housing reporting.

Zoning Code Amendments:
• Amendment of Multifamily Design Standards to apply to all multifamily development and be a ministerial process unless an exception is requested by applicant. • Rezoning of three sites for by right development when certain criteria is met, aligning with Program 20 of the Housing Element.
• Amendments throughout Title 19 to accommodate a low barrier navigation center, supportive housing, transitional housing, residential care facilities, qualified employee housing, single room occupancy, and emergency shelters in accordance with state law aligning with Program 15 of the Housing Element. • Amendments clarifying responsibilities of the review authorities and modifications to Design Review triggers to further streamline the entitlement process. • Introduced Ordinance to implement Housing Element Program 15 to accommodate low barrier navigation centers, supportive housing, transitional housing, residential care facilities, qualified employee and agricultural employee housing, single room occupancy, and emergency shelters in compliance with state law.
• Introduced Ordinance to implement Housing Element Program 20 to allow developments by-right on nonvacant and vacant sites previously identified to accommodate the lower income regional housing needs allocation in compliance with state law.

Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
13 Other Activities:
• New partnerships with Catholic Charities and Sonoma Family Meals expanded local services through the Home & Safe Village and Unity Kitchen. • Staffed three positions within the Community Development Department, acquiring a Building Permit Technician, Building Inspector, and Sustainability Coordinator. • Created the City’s first Parks and Recreation Department and hired a Recreation Director.
• Continue participation with Napa Sonoma Housing Collaborative • Represented the City of Sonoma at Sonoma County Transportation meetings • Represented the City of Sonoma at the Cities and Towns Advisory Council meetings of the Community Development Commission
• Adopted new drone policy
• Updated the city film permit ordinance
• Fiscal Year 25/26 included additional one-time funding of $75,000 to our local nonprofits who support our unsheltered population.

VII. Housing Accomplishments
California’s Housing Element law requires that each city and county develop local housing programs to meet their “fair share” of existing and future housing needs for all income groups. The Association of Bay Area Governments (ABAG) is responsible for developing and assigning these “Regional Housing Need Allocations,” or “RHNA”, to Bay Area jurisdictions. Pursuant to the RHNA planning period, the Sonoma 6th Cycle Housing Element is an eight-year plan extending from 2023-2031 which was adopted on January 31st by the City Council. On April 13, 2023, the California Department of Housing and Community Development (HCD) issued a letter to the City of Sonoma stating that the adopted Housing Element was in full compliance with State Housing Element Law (Article 10.6 of the Gov. Code). As Housing Element updates are tied to the RHNA cycle, they are not always synchronized with major updates of the other elements of the General Plan, which tend to occur less frequently. See Appendix A Housing Element APR for specific accomplishments in 2025.

Progress in Meeting the City’s Share of Regional Housing Needs:

Government Code Section 65400(a)(2)(B) provides that “the Housing Element portion of the Annual Progress Report … shall be prepared through the use of forms and definitions adopted by the Department of Housing and Community Development …” The tables provided in Appendix A demonstrate the progress made in meeting the City’s share of regional housing needs. HCD requires a report format that consists of Excel spreadsheets. Therefore, Appendix A also addresses the progress in meeting housing goals and objectives specified in the Housing Element, adopted in 2023.

Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
14 The City of Sonoma was allocated a total of 311 units for the 6th Cycle (2023-2031), including 41 Extremely Low, 42 Very Low, 48 Low, 50 Moderate, and 130 Above Moderate Units. In 2025, the City has reported its status of housing production relative to its 6th Cycle RHNA to HCD and LCI for 2025, which includes:
• 0 Low Income Units
• 3 Moderate Income Units
• 21 Above Moderate Income Units
• 24 total housing units
VIII. General Plan Amendments
No General Plan amendments were processed. The City initiated a comprehensive General Plan Update in 2023 which is anticipated to be completed in 2026 and will comprehensively update the General Plan, except for the recently adopted Housing Element.

IX. Permits, Plans and Projects
The following table provides a breakdown in the application types processed for 2025.

DESIGN REVIEW HISTORIC PRESERVATION COMMISSION / PLANNING

COMMISSION / CITY COUNCIL REVIEW
Design Review Permit 15
Sign Permit 7
Use Permit (Major/Minor/Wine Tasting) 1/7/3
Policy/Ordinance 3
Planned Development 1
Variance/ Exception 8/5
The City issued approximately 583 building permits for commercial and residential projects in 2025.

Major Development Applications
The following actions/approvals of the City by the Planning Commission and City Council have been found to be consistent with the General Plan.

Redtail Multifamily Land Development: Residential development proposing 120 units with a five percent affordability component. The property is identified in the City’s 2020 Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
15 General Plan as within the City’s sphere of influence. Therefore, the project would require annexation into the city limits.

Project Location: 20540 Broadway Road
Project Status: Application submitted on June 9, 2025. The application was determined incomplete and the Planning Division is currently awaiting resubmittal.

Montaldo Apartments: Residential development providing 50 residential apartment units with deed restricted affordable units consisting of 2 units for extremely low, 3 units very low income, and 8 units low income. The project would merge two existing parcels into a single 2.15-acre lot.

Project Location: 19320 Sonoma Highway
Project Status: Approved by Planning Commission September 2025 Hummingbird Subdivision: Vesting Tentative Subdivision Map to demolish an existing ±960 square foot single family residence and ±100 square foot auxiliary building, and to construct 15 new units. The 15 units include 9 single family residences and three duplex units (6 units total). Two of the units are deed restricted for moderate income buyer and one unit for a low income buyer.

Project Location: West MacArthur and 5th Street West
Project Status: All below market rate homes sold in 2025.

Final Occupancy provided in 2025 for 14 of 15 homes.
254 First Street East: Infill residential development project filed under SB 330 proposing 41 townhomes ranging from 1,944 square feet to 2,079 square feet.

Project Location: 254 First Street East
Project Status: Application submitted September 18, 2025. The application was determined incomplete and the Planning Division is currently awaiting resubmittal.

Vineyard Crossing: Residential development project providing 51 multifamily residential units with deed restricted affordable units, 10 units for moderate income, and 3 units for low-income. The project would redevelop a 2.88-acre site that is currently in unincorporated Sonoma County, which will require annexation.

Project Location: 20455 Fifth Street East
Project Status: Application submitted August 12, 2025. The application was determined incomplete and the Planning Division is currently awaiting resubmittal.

Agenda Item #9.2:

2025 City of Sonoma
General Plan
Annual Progress Report
16 X. Conclusion
Key accomplishments for 2025 include:
• Approval of the Montaldo Apartments Project, entitling 50 new units, including two extremely low income, three very low income, and eight low income units. • Purchase of two affordable housing properties by Burbank Housing through a partnership to secure the long-term preservation of 18 affordable units within the City.
• Continued efforts to support individuals experiencing homelessness • Public meetings and over 100 unique participants in the General Plan Update process
• Staffed three open positions within the Community Development with the onboarding of a Building Inspector, Building Technician, and Sustainability coordinator.

Agenda Item #9.2:

Jurisdiction Sonoma
Reporting Year 2025
Housing Element Planning Period 6th Cycle
Current Year
Deed
Restricted 0
Non-Deed
Restricted 0
Deed
Restricted 0
Non-Deed
Restricted 0
Deed
Restricted 0
Non-Deed
Restricted 1
Deed
Restricted 0
Non-Deed
Restricted 1
Deed
Restricted 0
Non-Deed
Restricted 1
5 8
Units by Structure Type Entitled Permitted Completed
Single-family Attached 0 0 0
Single-family Detached 2 4 2
2 to 4 units per structure 0 0 0
5+ units per structure 50 0 14
Accessory Dwelling Unit 0 4 8
Mobile/Manufactured Home 0 0 0
Total 52 8 24
Infill Housing Developments and Infill Units Permitted # of Projects Units 88 00
(Jan. 1 - Dec. 31)
01/31/2023 - 01/31/2031
Very Low
Low
Moderate
Acutely Low
Extremely Low
Total Units
Above Moderate
Indicated as Infill
Not Indicated as Infill
Building Permits Issued by Affordability Summary
Income Level
Agenda Item #9.2:

5 0
0 0
0 Number of SB 423 Streamlining Applications Approved 0 Total Housing Applications Submitted:

Number of Proposed Units in All Applications Received:

Total Housing Units Approved:

Total Housing Units Disapproved:

Housing Applications Summary
Use of SB 423 Streamlining Provisions - Applications
Number of SB 423 Streamlining Applications
Agenda Item #9.2:

Income Rental Ownership Total
Acutely Low 00 0
Extremely Low 00 0
Very Low 00 0
Low 00 0
Moderate 00 0
Above Moderate 00 0
Total 0 0 0
Streamlining Provisions Used - Permitted Units # of Projects Units SB 9 (2021) - Duplex in SF Zone 00
SB 9 (2021) - Residential Lot Split 00
AB 2011 (2022) 00
SB 6 (2022) 00
SB 423 (2023) 00
Ministerial and Discretionary Applications # of Units
Ministerial 50
Discretionary 00
Density Bonus Applications and Units Permitted
Number of Applications Submitted Requesting a Density Bonus 0 Number of Units in Applications Submitted Requesting a Density Bonus 0 Number of Projects Permitted with a Density Bonus 0
Number of Units in Projects Permitted with a Density Bonus 0 Housing Element Programs Implemented and Sites Rezoned Count 20 0
Programs Implemented
Sites Rezoned to Accommodate the RHNA
Units Constructed - SB 423 Streamlining Permits
Agenda Item #9.2:

Jurisdiction Sonoma ANNUAL ELEMENT PROGRESS REPORT Note: "+" indicates an optional field Reporting Year 2025
(Jan. 1 - Dec.
31) Housing Element Implementation
Planning Period 6th Cycle 01/31/2023 - 01/31/2031
Date
Application
Submitted
Total
Approved
Units by
Project
Total
Disapproved
Units by
Project
Streamlining Historic Sites Application Status Project Type Notes 2 34 6 7 8 9 10 12 13 14
Prior APN+ Current APN Street Address Project Name+
Local
Jurisdiction
Tracking ID
Unit Category
(SFA,SFD,2 to
4,5+,ADU,MH)
Tenure
R=RenterO=Owner
Date
Application
Submitted
(see
instructions)
Acutely LowIncome Deed
Restricted
Acutely LowIncome Non
Deed
Restricted
Extremely
Low-Income
Deed
Restricted
Extremely
Low-Income
Non Deed
Restricted
Very LowIncome
Deed
Restricted
Very LowIncome
Non Deed
Restricted
LowIncome
Deed
Restricted
Low-Income
Non Deed
Restricted
ModerateIncome Deed
Restricted
ModerateIncome
Non Deed
Restricted
Above
ModerateIncome
Total

PROPOSED
Units by
Project
Total

APPROVED
Units by
project
Total

DISAPPROVE
D Units by
Project
Please select
state
streamlining
provision/s the
application was
submitted
pursuant to.

Is this project
located on a
site with an
associated
historical
designation as
outlined in
Government
Code Section
65400(a)(2)(N)
and reported
on Table L?
Did the
housing
development
application
seek
incentives or
concessions
pursuant to
Government
Code section
65915?
Were
incentives or
concessions
requested
pursuant to
Government
Code section
65915
approved?
Please
indicate the
status of the
application.

Is the project
considered a
ministerial
project or
discretionary
project?
Notes+
Summary Row: Start Data Entry Below 0 0 0 0 0 0 0 0 0 00 0 0 0 018-321-012 401 Patten
Street ADU BP-25-123 ADU R 11/13/2025
0 Approved Ministerial
018-321-021
411 Patten
Street ADU BP-24-66 ADU R 6/4/2025
0 Approved Ministerial
018-860-001
432 East Napa
Street ADU BP-24-187 ADU R 8/13/2025
0 Approved Ministerial
128-131-015
111 Malet Lot Split UA-24-41
3/6/2025
0 SB 9 (2021) -
Residential Lot
Split
No No No Approved Ministerial
127-700-033 613 Charles
Van Damme
Way ADU
BP 25-44
ADU R
9/23/2025
0 Approved Ministerial0000000000000000000000000000
Table A
Cells in grey contain auto-calculation formulas
1 5
Project Identifier Unit Types Density Bonus Law Applications 11 Housing Development Applications Submitted
Proposed Units - Affordability by Household Incomes
Agenda Item #9.2:

Jurisdiction Sonoma ANNUAL ELEMENT PROGRESS REPORT
Reporting Year 2025
(Jan. 1 - Dec.
31) Housing Element Implementation
Planning Period 6th Cycle 01/31/2023 - 01/31/2031
Table A2
23 56
Prior APN+ Current APN Street Address Project Name+
Local
Jurisdiction
Tracking ID
Unit
Category
(SFA,SFD,2 to
4,5+,ADU,MH
)
Tenure
R=Renter
O=Owner
Acutely LowIncome Deed
Restricted
Acutely LowIncome Non
Deed
Restricted
Extremely
Low- Income
Deed
Restricted
Extremely
Low- Income
Non Deed
Restricted
Very LowIncome Deed
Restricted
Very LowIncome Non
Deed
Restricted
Low- Income
Deed
Restricted
Low- Income
Non Deed
Restricted
ModerateIncome
Deed
Restricted
ModerateIncome Non
Deed
Restricted
Above
ModerateIncome
Entitlement
Date Approved
# of Units
issued
Entitlements
Acutely
LowIncome
Deed
Restricted
Acutely
LowIncome Non
Deed
Restricted
Extremely
LowIncome
Deed
Restricted
Summary Row: Start Data Entry Below 0 0 2 0 3 0 8 0 0 37 2 52000 127-202-007
19320 Sonoma
Highway
Montaldo
Apartments UA--24-7 5+ R
2 3 8 37
9/18/2025
50 018-321-012 401 Patten
Street
Garage to ADU
Conversion BP-25-123 ADU R
0 018-670-017 660 Oak Lane SFD BP-25-50 SFD O 1 1/16/2025 1 0 018-382-035 471 York Court SFD BP-25-36 SFD O 0018-321-021 411 Patten Street JADU BP-24-66 ADU R
0 018-860-001 432 East Napa
Street Attached ADU BP-24-187 ADU R
0 018-670-016 670 Oak Lane SFD BP-24-166 SFD O 1 1/16/2025 1 018-412-011 827 Austin Avenue Workshop to ADU Conversion BP-24-44 ADU R 0 018-381-051 866 Fourth Street East Demo Garage, new ADU 25628 ADU R 0 128-061-001 498 Fortuni Court Hummingbird BP-24-59 5+ O 0 128-061-001 488 Sanchez Court Hummingbird BP-24-62 5+ O 0 018-112-008 471 Claudia Drive New ADU w/attached Garage BP-23-42 ADU R 0 018-231-064 364 East Napa Street ADU 26219 ADU R
0 128-061-001 497 Fortuni Court Hummingbird BP-24-60 5+ O 0 128-061-001 481 Sanchez Court Hummingbird BP-24-69 5+ O 0 128-061-001 407 Second Street East Guest House to ADU 26381 ADU R 0 128-061-001 482 Sanchez Court Hummingbird BP-24-64 5+ O 0 1
Unit Types Affordability by Household Incomes - Completed Entitlement 4 Project Identifier
Annual Building Activity Report Summary - New Construction, Entitled, Permits and Completed Units Agenda Item #9.2:

Cells in grey contain auto-calculation formulas
89 11 12
Extremely
LowIncome Non
Deed
Restricted
Very LowIncome
Deed
Restricted
Very LowIncome
Non Deed
Restricted
LowIncome
Deed
Restricted
LowIncome
Non Deed
Restricted
ModerateIncome
Deed
Restricted
ModerateIncome Non
Deed
Restricted
Above
ModerateIncome
Building
Permits Date
Issued
# of Units Issued
Building Permits
Acutely LowIncome
Deed
Restricted
Acutely LowIncome Non
Deed
Restricted
Extremely
LowIncome
Deed
Restricted
Extremely
LowIncome Non
Deed
Restricted
Very LowIncome
Deed
Restricted
Very LowIncome
Non Deed
Restricted
LowIncome
Deed
Restricted
LowIncome
Non Deed
Restricted
ModerateIncome
Deed
Restricted
ModerateIncome Non
Deed
Restricted
Above
ModerateIncome
Certificates of
Occupancy or other
forms of readiness
(see instructions)
Date Issued
# of Units
issued
Certificates
of Occupancy
or other
forms of
readiness
00 101 0 1 5 800000 2 1 2 2 2 15 24
0 0
1 11/13/2025 1 0
1 6/19/2025 1 0
0 0
1 6/26/2025 1 0
1 1/4/2025 1 0
1 8/13/2025 1 0
1 4/4/2025 1 0
0 1 2/27/2025 10 1 3/26/2025 10 1 4/2/2025 10 1 4/2/2025 10 1 4/30/2025 10 1 7/25/2025 10 2 7/29/2025 20 1 8/20/2025 10 1 9/2/2025 1 0 1 9/8/2025 1
Affordability by Household Incomes - Building Permits Affordability by Household Incomes - Certificates of Occupancy 7 10
Note: "+" indicates an optional field
Agenda Item #9.2:

Streamlining Historic Sites Infill
Housing without
Financial Assistance or
Deed Restrictions
Term of
Affordability or
Deed Restriction
Notes
13 14 15 16 17 18 19 20 21 22 23 24 25
Please select the
state
streamlining
provision the
project was

APPROVED
pursuant to.
(may select
multiple)
Is this project
located on a site
with an
associated
historical
designation as
outlined in
Government
Code Section
65400(a)(2)(N)
and reported on
Table L?
Infill Units?
Y/N+
Assistance
Programs for Each
Development
(may select
multiple - see
instructions)
Deed Restriction
Type
(may select
multiple - see
instructions)
For units affordable
without financial
assistance or deed
restrictions, explain how
the locality determined the
units were affordable
(see instructions)
Term of Affordability
or Deed Restriction
(years) (if affordable
in perpetuity enter
1000)+
Number of
Demolished/Destro
yed Units
Demolished
or Destroyed
Units
Demolished/
Destroyed
Units
Owner or
Renter
Total Density Bonus
Applied to the Project
(Percentage Increase in
Total Allowable Units or
Total Maximum Allowable
Residential Gross Floor
Area)
Number of Other
Incentives,
Concessions,
Waivers, or Other
Modifications Given
to the Project
(Excluding Parking Waivers or Parking
Reductions)
List the
incentives,
concessions,
waivers, and
modifications
(Excluding
Parking Waivers
or Parking
Modifications)
Did the project
receive a reduction or
waiver of parking
standards? (Y/N)
Notes+
2 NONE No Y Other 1000
2 Development Standards Modification
No
Project had both Density Bonus and Inclusionary Housing Requirements.

NONE No Y
ABAG ADU Affordability
Survey published January
2026
NONE No YNONE No YNONE No Y
ABAG ADU Affordability
Survey published January
2026
NONE No Y
ABAG ADU Affordability
Survey published January
2026
NONE No YNONE No Y
ABAG ADU Affordability
Survey published January
2026
NONE No Y
ABAG ADU Affordability
Survey published January
2026
NONE No Y DB 1000 11.0%
1 Development Standards Modification
Yes
NONE No Y DB 1000 11.0%
1 Development Standards Modification
Yes
NONE No Y
ABAG ADU Affordability
Survey published January
2026
NONE No Y
ABAG ADU Affordability
Survey published January
2026
NONE No Y 11.0%
1 Development Standards Modification
Yes
NONE No Y 11.0%
1 Development Standards Modification
Yes
NONE No Y
ABAG ADU Affordability
Survey published January
2026
NONE No Y 11.0%
1 Development Standards Modification
Yes
Density Bonus
Housing with Financial
Assistance and/or Deed
Restrictions
Demolished/Destroyed Units
Agenda Item #9.2: