Susanville City Council
October 7, 2026

Agenda Item No. 9.D.

Standard Workflow
City Council Agenda Item
Submitted By: Marci Rojas, Program Coordinator
Action Date: October 7, 2026
Subject: Consider Resolution No. 26-6575, supporting the Thanksgiving Turkey Trot on November 26, 2026, and authorizing the closure of Riverside Drive.

Presented By: Erik Edholm, Acting Public Works Director Summary: The Lassen County Chamber of Commerce is requesting City support for the 13th Annual Thanksgiving Day Turkey Trot to be held on Thursday, November 26, 2026. The event is scheduled to begin at 8:00 a.m. The Chamber will serve as the official nonprofit host of the event and will work with longtime organizer and Race Director Charlotte Roberts and community volunteers to coordinate the event.

The Turkey Trot is a free community event, with participants encouraged to donate nonperishable food items and monetary donations to the Susanville Salvation Army. Monetary donations will be designated to support services for seniors in the community.

The 2025 event had more than 300 participants.

To accommodate the event, the Chamber has requested the temporary closure of Riverside Drive from Alexander Avenue to Fairfield Street from 7:50 a.m. to 9:15 a.m. The requested closure provides a traffic-free route for participants during the event.

City participation includes Public Works staff setting up and removing traffic-control devices associated with the street closure.

Approval of the requested street closure is conditioned upon the Lassen County Chamber of Commerce entering into a standard risk transfer agreement with the City and providing special event liability insurance coverage in accordance with the City’s risk pool program recommended coverage limits.

Fiscal Impact: The estimated Public Works employee cost associated with the event is $615.00.

Action Requested: Motion to approve Resolution No. 26-6575, supporting the Thanksgiving Turkey Trot on November 26, 2026, and authorizing the closure of Riverside Drive.

Attachments:

1. 26-6575

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RESOLUTION NO. 26-6575

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SUSANVILLE SUPPORTING THE THANKSGIVING TURKEY TROT ON NOVEMBER 26, 2026;

AUTHORIZING THE CLOSURE OF RIVERSIDE DRIVE FROM ALEXANDER AVENUE TO FAIRFIELD STREET; AND REQUIRING APPROPRIATE RISK TRANSFER AND SPECIAL

EVENT LIABILITY INSURANCE
WHEREAS, the Lassen County Chamber of Commerce is serving as the official nonprofit host of the 13th Annual Thanksgiving Day Turkey Trot to be held on Thursday, November 26, 2026, with the event scheduled to begin at 8:00 a.m.; and WHEREAS, the Thanksgiving Day Turkey Trot is a free community event that encourages participants to donate nonperishable food items and monetary donations to the Susanville Salvation Army, with monetary donations designated to support services for seniors in the community; and
WHEREAS, the Lassen County Chamber of Commerce has requested the temporary closure of Riverside Drive from Alexander Avenue to Fairfield Street from 7:50 a.m. to 9:15 a.m. on Thursday, November 26, 2026, to safely accommodate the event; and WHEREAS, approval of the requested street closure is conditioned upon the Lassen County Chamber of Commerce entering into a standard risk transfer agreement with the City and providing special event liability insurance coverage in accordance with the City’s risk pool program recommended coverage limits.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Susanville hereby:

1. Supports the 13th Annual Thanksgiving Day Turkey Trot to be held on Thursday, November 26, 2026; and

2. Authorizes the closure of Riverside Drive from Alexander Avenue to Fairfield Street from 7:50 a.m. to 9:15 a.m. on Thursday, November 26, 2026, for the event; and

3. Conditions approval of the requested street closure upon the Lassen County Chamber of Commerce entering into a standard risk transfer agreement with the City and providing special event liability insurance coverage in accordance with the City’s risk pool program recommended coverage limits.

APPROVED: ______________________
Mendy Schuster, Mayor
ATTEST: _______________________
Heidi Whitlock, City Clerk
The foregoing resolution was adopted at a regular meeting of the City Council of the City of Susanville, held on the 7th day of October 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

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__________________________
Heidi Whitlock, City Clerk
APPROVED AS TO FORM:_____________________________
Margaret Long, City Attorney

Agenda Item No. 9.E.

Standard Workflow
City Council Agenda Item
Submitted By: Kevin Stafford, Police Lieutenant
Action Date: October 7, 2026
Subject: Consider Resolution No. 26-6576, authorizing the Acting City Manager to execute standard agreement with the State of California Office of Traffic Safety Selective Traffic Enforcement Program (STEP) and accepting $43,750.00 in grant funding.

Presented By: Allen Sobol, Acting Public Safety Chief
Summary: The Susanville Police Department has identified and applied for grant funding to reduce and mitigate the impacts of impaired driving in our community through the State of California Office of Traffic Safety Selective Traffic Enforcement Program (STEP). Through this grant application, the Susanville Police Department has been awarded $43,750.00. This award will go to fund enforcement activities and training. Enforcement activities will include Driving Under the Influence (DUI) Saturation Patrols, where personnel come in on overtime to have a specific focus on enforcing traffic regulations to get impaired drivers off of our roadway. Other operations include primary crash factor operations, pedestrian and bicycle safety operations, distracted driving enforcement operations, and motorcycle safety enforcement operations. Training includes getting personnel to advanced training which includes Drug Recognition Expert (DRE), Advanced Roadside Impaired Driving Enforcement (ARIDE), Standard Field Sobriety Tests (SFST), DRE Instructor and SFST Instructor. These trainings better equip personnel to investigate driving under the influence investigations.

Fiscal Impact: The City has been awarded $43,750.00 through the State of California Office of Traffic Safety Selective Traffic Enforcement Program (STEP). Grant funds will fully fund the approved enforcement activities, and training.

Action Requested: Motion to approve Resolution No. 26-6576, accepting the State of California Office of Traffic Safety Selective Traffic Enforcement Program (STEP) award in the amount of $43,750.00 and authorize the Acting City Manager to execute all necessary grant documents and administer the grant in accordance with program requirements.

Attachments:

1. Grant Agreement - PT27210_encrypted_

2. 26-6576

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State of California – Office of Traffic Safety

GRANT AGREEMENT

GRANT NUMBER
PT27210

1. GRANT TITLE
Selective Traffic Enforcement Program (STEP)

2. NAME OF AGENCY 3. Grant Period
Susanville From:

To:
10/01/2026
09/30/2027 4. AGENCY UNIT TO ADMINISTER GRANT
Susanville Police Department

5. GRANT DESCRIPTION
Best practice strategies will be conducted to reduce the number of persons killed and injured in crashes involving alcohol and other primary crash factors. The funded strategies may include impaired driving enforcement, enforcement operations focusing on primary crash factors, distracted driving, night-time seat belt enforcement, special enforcement operations encouraging motorcycle safety, enforcement and public awareness in areas with a high number of bicycle and pedestrian crashes, and educational programs. These strategies are designed to earn media attention thus enhancing the overall deterrent effect. In addition, the department will participate in community collaboration and engagement activities to engage in conversations regarding traffic safety with community members.

6. Federal Funds Allocated Under This Agreement Shall Not Exceed:

Allocation is contingent upon availability of federal funds. $43,750.00

7. TERMS AND CONDITIONS: The parties agree to comply with the terms and conditions of the following which are by this reference made a part of the Agreement:
• Schedule A – Problem Statement, Goals and Objectives and Method of Procedure • Schedule B – Detailed Budget Estimate and Sub-Budget Estimate (if applicable) • Schedule B-1 – Budget Narrative and Sub-Budget Narrative (if applicable) • Exhibit A – Certifications and Assurances
• Exhibit B* – OTS Grant Program Manual
• Exhibit C – Grant Electronic Management System (GEMS) Access *The item shown with an asterisk (*), is hereby incorporated by reference and made a part of this agreement as if attached hereto. This document can be viewed at the OTS home web page under Grants: www.ots.ca.gov.

Use of OTS Grant Agreement template in lieu of the California Model Agreement (CMA) The California Office of Traffic Safety (OTS) utilizes its standardized OTS Grant Agreement template for awards. The format, structure, and uniformity of the OTS Grant Agreement template allows for processing through Grant Electronic Management System (GEMS). OTS’s approach to using the OTS Grant Agreement template is consistent with the California Model Agreement (CMA) developed by University of California Office of the President (UCOP) and directed by the Department of General Service (DGS). For more information, please review the OTS Grant Program Manual.

Pre-Agreement Work
No work shall commence and no costs shall be incurred prior to the grant start date or the grant agreement being fully signed and executed. Any such costs are incurred at the grantee’s own risk and may not be reimbursed.

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8. Approval Signatures
We, the officials named below, hereby swear under penalty of perjury under the laws of the State of California that we are duly authorized to legally bind the Grant recipient to the grant terms and conditions described herein.

IN WITNESS WHEREOF, this Agreement has been executed by the parties hereto.

A. GRANT DIRECTOR B. AUTHORIZING OFFICIAL
NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Kevin Stafford
Lieutenant
[email protected]
(530) 257-5603
1801 Main Street
Susanville, CA 96130
NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Chandra Jabbs
Acting City Manager
[email protected]
(530) 257-1000
66 N. Lassen Street
Susanville, CA 96130
{{_es_signer2_signature}} {{_es_signer2_date}} {{_es_signer4_signature}} {{_es_signer4_date}} (Signature) (Date) (Signature) (Date)
C. FISCAL OFFICIAL D. AUTHORIZING OFFICIAL OF OFFICE OF TRAFFIC SAFETY NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Stefanie Steward
Assistant Director – Finance
[email protected]
(530) 252-5100
66 N. Lassen St.

Susanville, CA 96130
NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Stephanie Dougherty
Director
[email protected]
(916) 509-3030
2208 Kausen Drive, Suite 300
Elk Grove, CA 95758
{{_es_signer3_signature}} {{_es_signer3_date}} {{_es_signer6_signature}} {{_es_signer6_date}} (Signature) (Date) (Signature) (Date)
E. ACCOUNTING OFFICER OF OFFICE OF TRAFFIC SAFETY 9. SAM INFORMATION NAME: Mary Khang SAM #:

REGISTERED
ADDRESS:

CITY:

ZIP+4:

S1TDY7NBNDA6
66 N. Lassen Street
Susanville
96130-3904
ADDRESS: 2208 Kausen Drive Suite 300
Sacramento, CA 95758

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10. PROJECTED EXPENDITURES
FUND CFDA ITEM/APPROPRIATION F.Y. CHAPTER STATUTE PROJECTED

EXPENDITURES
405e DDA2720.616 0521-0890-101 2026 19/26 BA/26 $1,500.00 402PT-27 20.600 0521-0890-101 2026 19/26 BA/26 $16,000.00 1906-27 20.611 0521-0890-101 2026 19/26 BA/26 $2,500.00 164ID-27 20.608 0521-0890-101 2026 19/26 BA/26 $23,750.00

AGREEMENT
TOTAL $43,750.00

AMOUNT ENCUMBERED BY THIS DOCUMENT
I CERTIFY upon my own personal knowledge that the budgeted funds for the current budget year are available for the period and purpose of the expenditure stated above, notwithstanding allocations contingent on availability of federal funds.
$43,750.00

PRIOR AMOUNT ENCUMBERED FOR THIS

AGREEMENT
$ 0.00
OTS ACCOUNTING OFFICER’S SIGNATURE DATE SIGNED TOTAL AMOUNT ENCUMBERED TO DATE {{_es_signer5_signature}} {{_es_signer5_date}} $43,750.00

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State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule A

GRANT NUMBER
PT27210

1. PROBLEM STATEMENT
Describe the city, county, or jurisdiction this grant will impact.

Susanville is the county seat of Lassen County. Susanville is a former logging and mining town and is the site of one state prison (High Desert) which is a maximum security prison. With a population of approximately 17,000 residents the population density was 2,294.8 inhabitants per square mile. There were 3,882 housing units at an average density of 657.9 per square mile. The racial makeup of the City of Susanville was 76.0% white, 12.5% African American, 3.2% Native American, 1.1% Asian, 0.9% Pacific Islander, 3.5% from other races, and 2.8% from two or more races. Hispanic or Latino of any race were

15.6% of the population. The age distribution was 2,559 people (14.%) under the age of 18, 2,547 (14.2%) aged 18 to 24, 7,633 (42.5%) aged 25 to 44, 4,024 (222.4%) aged 45 to 64, 1,184 (6.6%) people who were 65 or older. As of 2022 the median resident age for the City of Susanville was 34.2 year of age compared to the State of California's median age of 37.9 years of age. The estimated median household income in 2022 for residents of Susanville was $52,793 while the median household income for the State of California was $91,551. Full-time law enforcement employees in 2021 for the City of Susanville was 1.06 per 1,000 residents while the State of California's average was 2.30 officers per 1,000 residents.

Describe the problem(s) to be addressed, supported by current and relevant crash data. (most recent calendar year data/stats).

The Susanville Police Department investigated 60 Driving Under the Influence (DUI) cases in 2025. In comparison, the department investigated 66 DUI cases in 2024, 25 in 2023, and 19 in 2022. These figures reflect a clear increase in DUI investigations over the past four years. Through the support of the California Office of Traffic Safety (OTS), the Susanville Police Department has been able to train the majority of its personnel in NHTSA-certified DUI and Standardized Field Sobriety Test (SFST) courses. A majority of our department is also trained in NHTSA Advanced Roadside Impaired Driving Enforcement (ARIDE) courses.

These trainings have increased officer confidence and efficiency when conducting DUI investigations. An area where our department is lacking training is in Radar/LIDAR training, Drug Recognition Expert (DRE), and basic traffic crash investigations. To further reduce the number of traffic-related injuries and fatalities within the City of Susanville, the Susanville Police Department seeks to expand its proactive traffic enforcement efforts using a three-pronged approach consisting of training, enforcement operations, and public outreach.

The second component involves proactive traffic enforcement operations, including DUI saturation patrols, distracted driving enforcement, bicycle safety operations, pedestrian safety operations, and motorcycle safety operations.

The third component emphasizes public outreach, utilizing social media platforms to participate in and promote various OTS and NHTSA safety campaigns throughout the year, ensuring Susanville residents are informed about traffic safety initiatives and enforcement efforts.

Local data from 2025 illustrates the scope of the problem. In 2025, we experienced the following:
• Injury traffic crashes 16
• Alcohol involved traffic crashes 3
• Pedestrian involved traffic crashes 5
• Motorcycle involved traffic crashes 1
• Hit and run injury involved traffic crashes 1
Define the target population the grant intends to serve and how they are affected by the problem(s).

The target population for this grant is all residents of the City of Susanville. Through enhanced officer training, strengthened community collaboration, and proactive enforcement operations, the department aims to reduce the number of community members killed or injured in traffic crashes. Better-trained officers are more confident and effective in identifying and arresting impaired drivers, ultimately removing dangerous drivers from the roadway and reducing crash-related injuries and fatalities. Increased community

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collaboration allows the department to better understand the needs of its residents while keeping the public informed of ongoing efforts to improve roadway safety. Proactive enforcement operations enable officers to prioritize the strict enforcement of impaired driving, speeding, and other hazardous behaviors that place citizens at risk of being involved in traffic crashes.

2. PERFORMANCE MEASURES
A. Goals:

1. Reduce the number of persons killed in traffic crashes.

2. Reduce the number of persons injured in traffic crashes.

3. Reduce the number of pedestrians killed in traffic crashes.

4. Reduce the number of pedestrians injured in traffic crashes.

5. Reduce the number of bicyclists killed in traffic crashes.

6. Reduce the number of bicyclists injured in traffic crashes.

7. Reduce the number of persons killed in alcohol-involved crashes.

8. Reduce the number of persons injured in alcohol-involved crashes.

9. Reduce the number of persons killed in drug-involved crashes.

10. Reduce the number of persons injured in drug-involved crashes.

11. Reduce the number of persons killed in alcohol/drug combo-involved crashes.

12. Reduce the number of persons injured in alcohol/drug combo-involved crashes.

13. Reduce the number of motorcyclists killed in traffic crashes.

14. Reduce the number of motorcyclists injured in traffic crashes.

15. Reduce hit & run fatal crashes.

16. Reduce hit & run injury crashes.

17. Reduce nighttime (2100 - 0259 hours) fatal crashes.

18. Reduce nighttime (2100 - 0259 hours) injury crashes.

B. Objectives: Target Number

1. Issue a news release announcing the kick-off of the grant by December 31st. The kick-off news releases and media advisories, alerts, and materials must be emailed to the OTS Public Information Officer at [email protected], and copied to your OTS Coordinator, for approval 7 days prior to the issuance date of the release.
1 2. Participate and report data (as required) in the following campaigns; Quarter 1:

National Pedestrian Safety Month, National Walk to School Day, National Teen Driver Safety Week, NHTSA Winter Mobilization; Quarter 3: National Distracted Driving Awareness Month, National Motorcycle Safety Month, National Bicycle Safety Month, National Click it or Ticket Mobilization; Quarter 4: National Speed Prevention Campaigns, NHTSA Summer Mobilization, National Child Passenger Safety Week, and California's Pedestrian Safety Month.
12 3. Develop (by December 31) and/or maintain a “DUI BOLO” program to notify patrol and traffic officers to be on the lookout for identified repeat DUI offenders with a suspended or revoked license as a result of DUI convictions. Updated DUI BOLOs should be distributed to patrol and traffic officers monthly. Report on the outcomes of the “DUI BOLO” program.
12 4. Send law enforcement personnel to the NHTSA Standardized Field Sobriety Testing (SFST) (minimum 16 hours) POST-certified training. 1 5. Send law enforcement personnel to the NHTSA Advanced Roadside Impaired Driving Enforcement (ARIDE) 16 hour POST-certified training. 1 6. Send law enforcement personnel to the Drug Recognition Expert (DRE) training (classroom and field training must be completed).
2 7. Send law enforcement personnel to SFST Instructor training. 1

8. Conduct DUI Saturation Patrol operation(s). 10

9. Conduct Traffic Enforcement operation(s), including but not limited to, primary crash factor violations.
4 10. Conduct highly publicized Distracted Driving enforcement operation(s) targeting drivers using hand held cell phones and texting.
1 11. Conduct highly publicized Motorcycle Safety enforcement operation(s) in areas or during events with a high number of motorcycle incidents or crashes resulting from 1

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unsafe speed, DUI, following too closely, unsafe lane changes, improper turning, and other primary crash factor violations by motorcyclists and other drivers.

12. Conduct highly publicized pedestrian and/or bicycle enforcement operation(s) in areas or during events with a high number of pedestrian and/or bicycle crashes resulting from violations made by pedestrians, bicyclists, and drivers. 1 13. Conduct Traffic Safety educational presentation(s) with an effort to reach community members. Note: Presentation(s) may include topics such as distracted driving, DUI, speed, bicycle and pedestrian safety, seat belts and child passenger safety.
2 14. Participate in community collaboration and engagement activities to engage in conversations regarding traffic safety to both share information and receive input from the community members.
2 3. METHOD OF PROCEDURE
A. Phase 1 – Program Preparation (1st Quarter of Grant Year) • The department will develop operational plans to implement the “best practice” strategies outlined in the objectives section.
• Conduct all training needed to implement the program, in the first quarter. • Purchase all grant related supplies and materials to implement the program, in the first quarter. • Items with a unit cost of $5,000 more (including tax and shipping) must comply with the Buy America Act.
• In order to develop/maintain the “DUI BOLOs,” research will be conducted to identify repeat DUI offenders with a suspended or revoked license as a result of DUI convictions. The DUI BOLO may include the driver’s name, last known address, DOB, description, current license status, and the number of times suspended or revoked for DUI. DUI BOLOs should be updated and distributed to traffic and patrol officers at least monthly. • Implementation of the STEP grant activities will be accomplished by deploying personnel at high crash locations.

Media Requirements
Issue a news release approved by the OTS PIO announcing the kick-off of the grant by December 31 and after the grant is signed and executed, but no sooner than October 1, the start of the grant year. The kick-off release must be approved by the OTS PIO. If you are unable to meet the December 31 deadline to issue a kick-off press release, communicate the reasons to your OTS grant coordinator and OTS PIO.

B. Phase 2 – Program Operations (Throughout Grant Year) Media Requirements
The following requirements are for all grant-related activities:
• Send all media advisories, alerts, videos, graphics, artwork, posters, radio/PSA/video scripts, storyboards, digital and/or print educational materials for grant-related activities to the OTS PIO at [email protected] for approval and copy your OTS grant coordinator. Optimum lead time would be 7 days before the scheduled release but at least 3 business days prior to the scheduled release date for review and approval is appreciated.
• Send all PowerPoint presentations, online presentations and trainings for grant-related activities to the OTS PIO at [email protected] for approval and copy your OTS grant coordinator. Certified training courses are EXEMPT from the approval process.
• The OTS PIO is responsible for the approval of the design and content of materials. The agency understands OTS PIO approval is not authorizing approval of budget expenditure or cost. Any cost approvals must come from the OTS grant coordinator. • Pre-approval is not required when using any OTS-supplied template for media advisories, news releases, social media graphics, videos or posts, or any other OTS-supplied educational material.

However, copy the OTS PIO at [email protected] and your OTS grant coordinator when any material is distributed to the media and public, such as a news release, educational material, or link to social media post.
• If an OTS-supplied template, educational material, social media graphic, post or video is substantially changed, the changes shall be sent to the OTS PIO at [email protected] for approval and copy your OTS grant coordinator.

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• News releases, social media posts and alerts on platforms such as NextDoor and Nixle reporting immediate and time-sensitive grant activities (e.g. enforcement operations, day of event highlights or announcements, event invites) are EXEMPT from the OTS PIO approval process.

The OTS PIO and your OTS grant coordinator should still be notified when the grant-related activity is happening (e.g. car seat checks, bicycle rodeos, community presentations, DUI checkpoints, etc.).
• Enforcement activities such as warrant and probation sweeps, court stings, etc. that are embargoed or could impact operations by publicizing in advance are EXEMPT from the PIO approval process. However, announcements and results of activities should still be copied to the OTS PIO at [email protected] and your OTS grant coordinator with the embargoed date and time or with “INTERNAL ONLY: DO NOT RELEASE” message in subject line of email. • Any earned or paid media campaigns for TV, radio, digital or social media that are part of a specific grant objective, using OTS grant funds, or designed and developed using contractual services by a subgrantee, requires prior approval.
• Social media posts highlighting state or national traffic safety campaigns (Distracted Driving Month, Motorcycle Safety Awareness Month, etc.), enforcement operations (DUI checkpoints, etc.), or any other grant-related activity such as Bicycle rodeos, presentations, or events, are highly encouraged but do not require prior approval.
• Submit a draft or rough-cut of all digital, printed, recorded or video material (brochures, posters, scripts, artwork, trailer graphics, digital graphics, social posts connected to an earned or paid media campaign grant objective) to the OTS PIO at [email protected] and copy your OTS grant coordinator for approval prior to the production or duplication. • Use the following standard language in all press, media, and printed materials, space permitting:

Funding for this program was provided by a grant from the California Office of Traffic Safety, through the National Highway Traffic Safety Administration. • Space permitting, include the OTS logo on all grant-funded print materials, graphics and paid or earned social media campaign grant objective; consult the OTS PIO and copy your OTS grant coordinator for specifics, format-appropriate logos, or if space does not permit the use of the OTS logo.
• Email the OTS PIO at [email protected] and copy your OTS grant coordinator at least 21 days in advance, or when first confirmed, a short description of any significant grant-related traffic safety event or program, particularly events that are highly publicized beforehand with anticipated media coverage so the OTS has sufficient notice to arrange for attendance and/or participation in the event. If unable to attend, email the OTS PIO at [email protected] and your OTS grant coordinator brief highlights and/or results, including any media coverage (broadcast, digital, print) of the event within 7 days following significant grant-related event or program. The OTS PIO and your OTS grant coordinator should still be notified in advance when the grant-related activity is happening (e.g. car seat checks, bicycle rodeos, community presentations, DUI checkpoints, etc.).
• Any news releases, work plans, scripts, storyboards, artwork, graphics, videos or any educational or informational materials that received OTS PIO approval in a prior grant year must be resubmitted for approval in the current grant year.
• For additional guidance, refer to the OTS Grants Materials Approval Process Guidelines and FAQs .
• Email the OTS PIO at [email protected] or your OTS grant coordinator for consultation when changes from any of the above requirements might be warranted.

C. Phase 3 – Data Collection & Reporting (Throughout Grant Year)

1. Prepare and submit grant claim invoices (due January 30, April 30, July 30, and October 30)

2. Prepare and submit Quarterly Performance Reports (QPR) (due January 30, April 30, July 30, and October 30)
• Collect and report quarterly, appropriate data that supports the progress of goals and objectives. • Provide a brief list of activity conducted, procurement of grant-funded items, and significant media activities. Include status of grant-funded personnel, status of contracts, challenges, or special accomplishments.
• Provide a brief summary of quarterly accomplishments and explanations for objectives not completed or plans for upcoming activities.

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• Collect, analyze and report statistical data relating to the grant goals and objectives.

4. METHOD OF EVALUATION
Using the data compiled during the grant, the Grant Director will complete the “Final Evaluation” section in the fourth/final Quarterly Performance Report (QPR). The Final Evaluation should provide a brief summary of the grant’s accomplishments, challenges and significant activities. This narrative should also include whether goals and objectives were met, exceeded, or an explanation of why objectives were not completed.

5. ADMINISTRATIVE SUPPORT
This program has full administrative support, and every effort will be made to continue the grant activities after grant conclusion.

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State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule B

GRANT NUMBER
PT27210

FUND NUMBER CATALOG

NUMBER (CFDA)

FUND DESCRIPTION TOTAL AMOUNT
405e DDA-27 20.616 Distracted Driving Awareness $1,500.00 1906-27 20.611 Racial Profiling Prohibition Grants $2,500.00 402PT-27 20.600 State and Community Highway
Safety
$16,000.00
164ID-27 20.608 Minimum Penalties for Repeat
Offenders for Driving While
Intoxicated
$23,750.00

COST CATEGORY FUND
NUMBER

UNIT COST OR
RATE

UNITS TOTAL COST TO
GRANT
A. PERSONNEL COSTS
Straight Time
$0.00
Overtime
DUI Saturation Patrols 164ID-27 $1,949.00 10 $19,490.00 Benefits- 164OT @ 21.85% 164ID-27 $19,497.00 1 $4,260.00 Traffic Enforcement 402PT-27 $1,843.00 4 $7,372.00
Motorcycle Safety Enforcement 402PT-27 $1,382.00 1 $1,382.00 Pedestrian and Bicycle Enforcement 402PT-27 $1,843.00 1 $1,843.00 Traffic Safety Educational Presentations 402PT-27 $150.00 2 $300.00 Benefits- 402OT @ 21.85% 402PT-27 $10,897.00 1 $2,381.00 Distracted Driving Enforcement 405e DDA27$1,230.00 1 $1,230.00 Benefits- 405eOT @ 21.85% 405e DDA27$1,235.00 1 $270.00 Community Collaboration Engagement 1906-27 $1,025.00 2 $2,050.00 Benefits- 1906OT @ 21.85% 1906-27 $2,060.00 1 $450.00
Category Sub-Total $41,028.00
B. TRAVEL EXPENSES
In State Travel 402PT-27 $2,722.00 1 $2,722.00
$0.00
Category Sub-Total $2,722.00
C. CONTRACTUAL SERVICES
$0.00
Category Sub-Total $0.00
D. EQUIPMENT
$0.00
Category Sub-Total $0.00
E. OTHER DIRECT COSTS
$0.00
Category Sub-Total $0.00
F. INDIRECT COSTS
$0.00
Category Sub-Total $0.00

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GRANT TOTAL $43,750.00

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State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule B-1

GRANT NUMBER
PT27210

BUDGET NARRATIVE

PERSONNEL COSTS
DUI Saturation Patrols - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Benefits- 164OT @ 21.85% - Claimed amounts must reflect actual benefit costs for overtime hours charged to the grant.

Traffic Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Motorcycle Safety Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Pedestrian and Bicycle Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Traffic Safety Educational Presentations - Overtime for grant funded traffic safety educational presentations conducted by appropriate department personnel.

Benefits- 402OT @ 21.85% - Claimed amounts must reflect actual benefit costs for overtime hours charged to the grant.

Distracted Driving Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Benefits- 405eOT @ 21.85% - Claimed amounts must reflect actual benefit costs for overtime hours charged to the grant.

Community Collaboration Engagement - Overtime for grant funded community collaborative engagement conducted by appropriate department personnel.

Benefits- 1906OT @ 21.85% - Claimed amounts must reflect actual benefit costs for overtime hours charged to the grant.

TRAVEL EXPENSES
In State Travel - Costs are included for appropriate staff to attend conferences and training events supporting the grant goals and objectives and/or traffic safety. Local mileage for grant activities and meetings is included. Anticipated travel may include the OTS Traffic Safety Summit – November 2026 – San Diego, CA, OTS Traffic Safety Law Enforcement Forum, and GHSA Annual Meeting – August 2027 – Anaheim, CA. All conferences, seminars or training not specifically identified in the Budget Narrative must be approved by OTS. All travel claimed must be at the agency approved rate. Per Diem may not be claimed for meals provided at conferences when registration fees are paid with OTS grant funds.

CONTRACTUAL SERVICES
-

EQUIPMENT
-

OTHER DIRECT COSTS
-

INDIRECT COSTS
-

STATEMENTS/DISCLAIMERS
There will be no program income generated from this grant.

Salaries may include wages, salaries, special compensations, or authorized absences such as annual leave and sick leave provided the cost for the individual employee is (a) reasonable for the services rendered, and (b) follows an appointment made in accordance with state or local laws and rules and meets federal requirements.

Any non-grant funded vacancies created by reassignment to a grant-funded position must be filled at the expense of the grantee agency.

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Nothing in this agreement shall be interpreted as a requirement, formal or informal, that a particular law enforcement officer issue a specified or predetermined number of citations in pursuance of the goals and objectives here under.

The OTS grant funded activities must be separate from other grant funded program activities and maintained under separate accounting tracking codes (example: the same DUI checkpoint may not be funded by both the CHP Cannabis Tax Fund and the OTS).

Benefits for personnel costs can only be applied to straight time or overtime hours charged to the grant.

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Appendix A to Part 1300—Certifications and Assurances for Highway Safety Grants (23 U.S.C. Chapter 4 or Section 1906, Public Law 109-59, as amended by Section 25024, Public Law 117- 58)
The officials named on the grant agreement, certify by way of signature on the grant agreement signature page, that the Grantee Agency complies with all applicable Federal statutes, regulations, and directives and State rules, guidelines, policies, and laws in effect with respect to the periods for which it receives grant funding.

Applicable provisions include, but are not limited to, the following:

GENERAL REQUIREMENTS
The State will comply with applicable statutes and regulations, including but not limited to:
• 23 U.S.C. Chapter 4—Highway Safety Act of 1966, as amended; • Sec. 1906, Public Law 109-59, as amended by Sec. 25024, Public Law 117-58; • 23 CFR part 1300—Uniform Procedures for State Highway Safety Grant Programs; • 2 CFR part 200—Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards;
• 2 CFR part 1201—Department of Transportation, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.

NONDISCRIMINATION
(applies to subrecipients as well as States)
The State highway safety agency [and its subrecipients] will comply with all Federal statutes and implementing regulations relating to nondiscrimination (“Federal Nondiscrimination Authorities”). These include but are not limited to:
• Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d et seq., 78 stat. 252), (prohibits discrimination on the basis of race, color, national origin);
• 49 CFR part 21 (entitled Non-discrimination in Federally-Assisted Programs of the Department of Transportation—Effectuation of Title VI of the Civil Rights Act of 1964); • 28 CFR 50.3 (U.S. Department of Justice Guidelines for Enforcement of Title VI of the Civil Rights Act of 1964);
• The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, (42 U.S.C. 4601), (prohibits unfair treatment of persons displaced or whose property has been acquired because of Federal or Federal-aid programs and projects);
• Federal-Aid Highway Act of 1973, (23 U.S.C. 324 et seq.), and Title IX of the Education Amendments of 1972, as amended (20 U.S.C. 1681-1683 and 1685-1686) (prohibit discrimination on the basis of sex);
• Section 504 of the Rehabilitation Act of 1973, (29 U.S.C. 794 et seq.), as amended, (prohibits discrimination on the basis of disability) and 49 CFR part 27; • The Age Discrimination Act of 1975, as amended, (42 U.S.C. 6101 et seq.), (prohibits discrimination on the basis of age);
• The Civil Rights Restoration Act of 1987, (Pub. L. 100-209), (broadens scope, coverage, and applicability of Title VI of the Civil Rights Act of 1964, The Age Discrimination Act of 1975 and Section 504 of the Rehabilitation Act of 1973, by expanding the definition of the terms “programs or activities” to include all of the programs or activities of the
Federal aid recipients, subrecipients and contractors, whether such programs or activities are Federallyfunded or not); • Titles II and III of the Americans with Disabilities Act (42 U.S.C. 12131-12189) (prohibits discrimination on the basis of disability in the operation of public entities, public and private transportation systems, places of public accommodation, and certain testing) and 49 CFR parts 37 and 38
State of California – Office of Traffic Safety

GRANT AGREEMENT
Exhibit A

GRANT NUMBER
PT27210

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The preceding statutory and regulatory cites hereinafter are referred to as the “Acts” and “Regulations,” respectively.

GENERAL ASSURANCES
In accordance with the Acts, the Regulations, and other pertinent directives, circulars, policy, memoranda, and/or guidance, the Recipient hereby gives assurance that it will promptly take any measures necessary to ensure that:
“No person in the United States shall, on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination under any program or activity, for which the Recipient receives Federal financial assistance from DOT, including NHTSA.”
The Civil Rights Restoration Act of 1987 clarified the original intent of Congress, with respect to Title VI of the Civil Rights Act of 1964 and other non-discrimination requirements (the Age Discrimination Act of 1975, and Section 504 of the Rehabilitation Act of 1973), by restoring the broad, institutional-wide scope and coverage of these nondiscrimination statutes and requirements to include all programs and activities of the Recipient, so long as any portion of the program is Federally assisted.

SPECIFIC ASSURANCES
More specifically, and without limiting the above general Assurance, the Recipient agrees with and gives the following Assurances with respect to its Federally assisted Highway Safety Grant Program:

1. The Recipient agrees that each “activity,” “facility,” or “program,” as defined in 49 CFR part 21 will be (with regard to an “activity”) facilitated, or will be (with regard to a “facility”) operated, or will be (with regard to a “program”) conducted in compliance with all requirements imposed by, or pursuant to the Acts and the Regulations.

2. The Recipient will insert the following notification in all solicitations for bids, Requests For Proposals for work, or material subject to the Acts and the Regulations made in connection with all Highway Safety Grant Programs and, in adapted form, in all proposals for negotiated agreements regardless of funding source:
“The [name of Recipient], in accordance with the provisions of Title VI of the Civil Rights Act of 1964 (78 Stat. 252, 42 U.S.C 2000d to 2000d-4) and the Regulations, hereby notifies all bidders that it will affirmatively ensure that in any contract entered into pursuant to this advertisement, disadvantaged business enterprises will be afforded full and fair opportunity to submit bids in response to this invitation and will not be discriminated against on the grounds of race, color, or national origin in consideration for an award.”

3. The Recipient will insert the clauses of appendix A and E of this Assurance (also referred to as DOT order 1050.2A) [1]in every contract or agreement subject to the Acts and the Regulations.

4. The Recipient will insert the clauses of appendix B of DOT Order 1050.2A, as a covenant running with the land, in any deed from the United States effecting or recording a transfer of real property, structures, use, or improvements thereon or interest therein to a Recipient.

5. That where the Recipient receives Federal financial assistance to construct a facility, or part of a facility, the Assurance will extend to the entire facility and facilities operated in connection therewith.

6. That where the Recipient receives Federal financial assistance in the form of, or for the acquisition of, real property or an interest in real property, the Assurance will extend to rights to space on, over, or under such property.

7. That the Recipient will include the clauses set forth in appendix C and appendix D of this DOT Order 1050.2A, as a covenant running with the land, in any future deeds, leases, licenses, permits, or similar instruments entered into by the Recipient with other parties:
a. for the subsequent transfer of real property acquired or improved under the applicable activity, project, or program; and
b. for the construction or use of, or access to, space on, over, or under real property acquired or improved under the applicable activity, project, or program.

8. That this Assurance obligates the Recipient for the period during which Federal financial assistance is extended to the program, except where the Federal financial assistance is to provide, or is in the

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form of, personal property, or real property, or interest therein, or structures or improvements thereon, in which case the Assurance obligates the Recipient, or any transferee for the longer of the following periods:
a. the period during which the property is used for a purpose for which the Federal financial assistance is extended, or for another purpose involving the provision of similar services or benefits; or
b. the period during which the Recipient retains ownership or possession of the property.

9. The Recipient will provide for such methods of administration for the program as are found by the Secretary of Transportation or the official to whom he/she delegates specific authority to give reasonable guarantee that it, other recipients, sub-recipients, sub- grantees, contractors, subcontractors, consultants, transferees, successors in interest, and other participants of Federal financial assistance under such program will comply with all requirements imposed or pursuant to the Acts, the Regulations, and this Assurance.

10. The Recipient agrees that the United States has a right to seek judicial enforcement with regard to any matter arising under the Acts, the Regulations, and this Assurance.

By signing this ASSURANCE, the State highway safety agency also agrees to comply (and require any subrecipients, sub-grantees, contractors, successors, transferees, and/or assignees to comply) with all applicable provisions governing NHTSA's access to records, accounts, documents, information, facilities, and staff. You also recognize that you must comply with any program or compliance reviews, and/or complaint investigations conducted by NHTSA. You must keep records, reports, and submit the material for review upon request to NHTSA, or its designee in a timely, complete, and accurate way. Additionally, you must comply with all other reporting, data collection, and evaluation requirements, as prescribed by law or detailed in program guidance.

The State highway safety agency gives this ASSURANCE in consideration of and for obtaining any Federal grants, loans, contracts, agreements, property, and/or discounts, or other Federal-aid and Federal financial assistance extended after the date hereof to the recipients by the U.S. Department of Transportation under the Highway Safety Grant Program. This ASSURANCE is binding on the State highway safety agency, other recipients, sub-recipients, sub-grantees, contractors, subcontractors and their subcontractors', transferees, successors in interest, and any other participants in the Highway Safety Grant Program. The person(s) signing below is/are authorized to sign this ASSURANCE on behalf of the Recipient.

THE DRUG-FREE WORKPLACE ACT OF 1988 (41 U.S.C. 8103)
The Subgrantee will provide a drug-free workplace by:
a. Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession or use of a controlled substance is prohibited in the grantee's workplace, and specifying the actions that will be taken against employees for violation of such prohibition; b. Establishing a drug-free awareness program to inform employees about:

1. The dangers of drug abuse in the workplace;

2. The grantee's policy of maintaining a drug-free workplace;

3. Any available drug counseling, rehabilitation, and employee assistance programs;

4. The penalties that may be imposed upon employees for drug violations occurring in the workplace;

5. Making it a requirement that each employee engaged in the performance of the grant be given a copy of the statement required by paragraph (a); c. Notifying the employee in the statement required by paragraph (a) that, as a condition of employment under the grant, the employee will—

1. Abide by the terms of the statement;

2. Notify the employer of any criminal drug statute conviction for a violation occurring in the workplace no later than five days after such conviction; d. Notifying the agency within ten days after receiving notice under subparagraph (c)(2) from an employee or otherwise receiving actual notice of such conviction; e. Taking one of the following actions, within 30 days of receiving notice under subparagraph (c)(2), with respect to any employee who is so convicted—

1. Taking appropriate personnel action against such an employee, up to and including termination;

2. Requiring such employee to participate satisfactorily in a drug abuse assistance or

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rehabilitation program approved for such purposes by a Federal, State, or local health, law enforcement, or other appropriate agency;
f. Making a good faith effort to continue to maintain a drug-free workplace through implementation of all of the paragraphs above.

POLITICAL ACTIVITY (HATCH ACT)
(applies to subrecipients as well as States)
The State will comply with provisions of the Hatch Act (5 U.S.C. 1501-1508), which limits the political activities of employees whose principal employment activities are funded in whole or in part with Federal funds.

CERTIFICATION REGARDING FEDERAL LOBBYING
(applies to subrecipients as well as States)

CERTIFICATION FOR CONTRACTS, GRANTS, LOANS, AND COOPERATIVE AGREEMENTS The undersigned certifies, to the best of his or her knowledge and belief, that:

1. No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement;

2. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, “Disclosure Form to Report Lobbying,” in accordance with its instructions;

3. The undersigned shall require that the language of this certification be included in the award documents for all sub-awards at all tiers (including subcontracts, subgrants, and contracts under grant, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly.

This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure.

RESTRICTION ON STATE LOBBYING
(applies to subrecipients as well as States)
None of the funds under this program will be used for any activity specifically designed to urge or influence a State or local legislator to favor or oppose the adoption of any specific legislative proposal pending before any State or local legislative body. Such activities include both direct and indirect (e.g., “grassroots”) lobbying activities, with one exception. This does not preclude a State official whose salary is supported with NHTSA funds from engaging in direct communications with State or local legislative officials, in accordance with customary State practice, even if such communications urge legislative officials to favor or oppose the adoption of a specific pending legislative proposal.

CERTIFICATION REGARDING DEBARMENT AND SUSPENSION
(applies to subrecipients as well as States)

INSTRUCTIONS FOR PRIMARY TIER PARTICIPANT CERTIFICATION (STATES)

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1. By signing and submitting this proposal, the prospective primary tier participant is providing the certification set out below and agrees to comply with the requirements of 2 CFR parts 180 and 1200.

2. The inability of a person to provide the certification required below will not necessarily result in denial of participation in this covered transaction. The prospective primary tier participant shall submit an explanation of why it cannot provide the certification set out below. The certification or explanation will be considered in connection with the department or agency's determination whether to enter into this transaction. However, failure of the prospective primary tier participant to furnish a certification or an explanation shall disqualify such person from participation in this transaction.

3. The certification in this clause is a material representation of fact upon which reliance was placed when the department or agency determined to enter into this transaction. If it is later determined that the prospective primary tier participant knowingly rendered an erroneous certification, in addition to other remedies available to the Federal Government, the department or agency may terminate this transaction for cause or default or may pursue suspension or debarment.

4. The prospective primary tier participant shall provide immediate written notice to the department or agency to which this proposal is submitted if at any time the prospective primary tier participant learns its certification was erroneous when submitted or has become erroneous by reason of changed circumstances.

5. The terms covered transaction, civil judgment, debarment, suspension, ineligible, participant, person, principal, and voluntarily excluded, as used in this clause, are defined in 2 CFR parts 180 and 1200. You may contact the department or agency to which this proposal is being submitted for assistance in obtaining a copy of those regulations.

6. The prospective primary tier participant agrees by submitting this proposal that, should the proposed covered transaction be entered into, it shall not knowingly enter into any lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, debarred, suspended, declared ineligible, or voluntarily excluded from participation in this covered transaction, unless authorized by the department or agency entering into this transaction.

7. The prospective primary tier participant further agrees by submitting this proposal that it will include the clause titled “Instructions for Lower Tier Participant Certification” including the “Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion—Lower Tier Covered Transaction,” provided by the department or agency entering into this covered transaction, without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions and will require lower tier participants to comply with 2 CFR parts 180 and 1200.

8. A participant in a covered transaction may rely upon a certification of a prospective participant in a lower tier covered transaction that it is not proposed for debarment under 48 CFR part 9, subpart

9.4, debarred, suspended, ineligible, or voluntarily excluded from the covered transaction, unless it knows that the certification is erroneous. A participant is responsible for ensuring that its principals are not suspended, debarred, or otherwise ineligible to participate in covered transactions. To verify the eligibility of its principals, as well as the eligibility of any prospective lower tier participants, each participant may, but is not required to, check the System for Award Management Exclusions website
( https://www.sam.gov/).

9. Nothing contained in the foregoing shall be construed to require establishment of a system of records in order to render in good faith the certification required by this clause. The knowledge and information of a participant is not required to exceed that which is normally possessed by a prudent person in the ordinary course of business dealings.

10. Except for transactions authorized under paragraph 6 of these instructions, if a participant in a covered transaction knowingly enters into a lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, suspended, debarred, ineligible, or voluntarily excluded from participation in this transaction, in addition to other remedies available to the Federal Government, the department or agency may terminate the transaction for cause or default.

CERTIFICATION REGARDING DEBARMENT, SUSPENSION, AND OTHER RESPONSIBILITY MATTERS—PRIMARY TIER

COVERED TRANSACTIONS

1. The prospective primary tier participant certifies to the best of its knowledge and belief, that it and

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its principals:
a. Are not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participating in covered transactions by any Federal department or agency;
b. Have not within a three-year period preceding this proposal been convicted of or had a civil judgment rendered against them for commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public (Federal, State, or local) transaction or contract under a public transaction; violation of Federal or State antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property; c. Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity (Federal, State, or local) with commission of any of the offenses enumerated in paragraph (1)(b) of this certification; and d. Have not within a three-year period preceding this application/proposal had one or more public transactions (Federal, State, or local) terminated for cause or default.

2. Where the prospective primary tier participant is unable to certify to any of the Statements in this certification, such prospective participant shall attach an explanation to this proposal.

INSTRUCTIONS FOR LOWER TIER PARTICIPANT CERTIFICATION

1. By signing and submitting this proposal, the prospective lower tier participant is providing the certification set out below and agrees to comply with the requirements of 2 CFR parts 180 and 1200.

2. The certification in this clause is a material representation of fact upon which reliance was placed when this transaction was entered into. If it is later determined that the prospective lower tier participant knowingly rendered an erroneous certification, in addition to other remedies available to the Federal Government, the department or agency with which this transaction originated may pursue available remedies, including suspension or debarment.

3. The prospective lower tier participant shall provide immediate written notice to the person to which this proposal is submitted if at any time the prospective lower tier participant learns that its certification was erroneous when submitted or has become erroneous by reason of changed circumstances.

4. The terms covered transaction, civil judgment, debarment, suspension, ineligible, participant, person, principal, and voluntarily excluded, as used in this clause, are defined in 2 CFR parts 180 and 1200. You may contact the person to whom this proposal is submitted for assistance in obtaining a copy of those regulations.

5. The prospective lower tier participant agrees by submitting this proposal that, should the proposed covered transaction be entered into, it shall not knowingly enter into any lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, debarred, suspended, declared ineligible, or voluntarily excluded from participation in this covered transaction, unless authorized by the department or agency with which this transaction originated.

6. The prospective lower tier participant further agrees by submitting this proposal that it will include the clause titled “Instructions for Lower Tier Participant Certification” including the “Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion—Lower Tier Covered Transaction,” without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions and will require lower tier participants to comply with 2 CFR parts 180 and 1200.

7. A participant in a covered transaction may rely upon a certification of a prospective participant in a lower tier covered transaction that it is not proposed for debarment under 48 CFR part 9, subpart

9.4, debarred, suspended, ineligible, or voluntarily excluded from the covered transaction, unless it knows that the certification is erroneous. A participant is responsible for ensuring that its principals are not suspended, debarred, or otherwise ineligible to participate in covered transactions. To verify the eligibility of its principals, as well as the eligibility of any prospective lower tier participants, each participant may, but is not required to, check the System for Award Management Exclusions website
( https://www.sam.gov/).

8. Nothing contained in the foregoing shall be construed to require establishment of a system of

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records in order to render in good faith the certification required by this clause. The knowledge and information of a participant is not required to exceed that which is normally possessed by a prudent person in the ordinary course of business dealings.

9. Except for transactions authorized under paragraph 5 of these instructions, if a participant in a covered transaction knowingly enters into a lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, suspended, debarred, ineligible, or voluntarily excluded from participation in this transaction, in addition to other remedies available to the Federal Government, the department or agency with which this transaction originated may pursue available remedies, including suspension or debarment.

CERTIFICATION REGARDING DEBARMENT, SUSPENSION, INELIGIBILITY AND VOLUNTARY EXCLUSION—LOWER TIER

COVERED TRANSACTIONS

1. The prospective lower tier participant certifies, by submission of this proposal, that neither it nor its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participating in covered transactions by any Federal department or agency.

2. Where the prospective lower tier participant is unable to certify to any of the statements in this certification, such prospective participant shall attach an explanation to this proposal.

BUY AMERICA
(applies to subrecipients as well as States)
The State and each subrecipient will comply with the Buy America requirement (23 U.S.C. 313) when purchasing items using Federal funds. Buy America requires a State, or subrecipient, to purchase with Federal funds only steel, iron and manufactured products produced in the United States, unless the Secretary of Transportation determines that such domestically produced items would be inconsistent with the public interest, that such materials are not reasonably available and of a satisfactory quality, or that inclusion of domestic materials will increase the cost of the overall project contract by more than 25 percent. In order to use Federal funds to purchase foreign produced items, the State must submit a waiver request that provides an adequate basis and justification for approval by the Secretary of Transportation.

CERTIFICATION ON CONFLICT OF INTEREST
(applies to subrecipients as well as States)

GENERAL REQUIREMENTS
No employee, officer, or agent of a State or its subrecipient who is authorized in an official capacity to negotiate, make, accept, or approve, or to take part in negotiating, making, accepting, or approving any subaward, including contracts or subcontracts, in connection with this grant shall have, directly or indirectly, any financial or personal interest in any such subaward. Such a financial or personal interest would arise when the employee, officer, or agent, any member of his or her immediate family, his or her partner, or an organization which employs or is about to employ any of the parties indicated herein, has a financial or personal interest in or a tangible personal benefit from an entity considered for a subaward. Based on this policy:

1. The recipient shall maintain a written code or standards of conduct that provide for disciplinary actions to be applied for violations of such standards by officers, employees, or agents. a. The code or standards shall provide that the recipient's officers, employees, or agents may neither solicit nor accept gratuities, favors, or anything of monetary value from present or potential subawardees, including contractors or parties to subcontracts. b. The code or standards shall establish penalties, sanctions, or other disciplinary actions for violations, as permitted by State or local law or regulations.

2. The recipient shall maintain responsibility to enforce the requirements of the written code or standards of conduct.

DISCLOSURE REQUIREMENTS

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No State or its subrecipient, including its officers, employees, or agents, shall perform or continue to perform under a grant or cooperative agreement, whose objectivity may be impaired because of any related past, present, or currently planned interest, financial or otherwise, in organizations regulated by NHTSA or in organizations whose interests may be substantially affected by NHTSA activities. Based on this policy:

1. The recipient shall disclose any conflict of interest identified as soon as reasonably possible, making an immediate and full disclosure in writing to NHTSA. The disclosure shall include a description of the action which the recipient has taken or proposes to take to avoid or mitigate such conflict.

2. NHTSA will review the disclosure and may require additional relevant information from the recipient.

If a conflict of interest is found to exist, NHTSA may (a) terminate the award, or (b) determine that it is otherwise in the best interest of NHTSA to continue the award and include appropriate provisions to mitigate or avoid such conflict.

3. Conflicts of interest that require disclosure include all past, present, or currently planned organizational, financial, contractual, or other interest(s) with an organization regulated by NHTSA or with an organization whose interests may be substantially affected by NHTSA activities, and which are related to this award. The interest(s) that require disclosure include those of any recipient, affiliate, proposed consultant, proposed subcontractor, and key personnel of any of the above. Past interest shall be limited to within one year of the date of award. Key personnel shall include any person owning more than a 20 percent interest in a recipient, and the officers, employees or agents of a recipient who are responsible for making a decision or taking an action under an award where the decision or action can have an economic or other impact on the interests of a regulated or affected organization.

PROHIBITION ON USING GRANT FUNDS TO CHECK FOR HELMET USAGE (applies to subrecipients as well as States)
The State and each subrecipient will not use 23 U.S.C. Chapter 4 grant funds for programs to check helmet usage or to create checkpoints that specifically target motorcyclists.

POLICY ON SEAT BELT USE
In accordance with Executive Order 13043, Increasing Seat Belt Use in the United States, dated April 16, 1997, the Grantee is encouraged to adopt and enforce on-the-job seat belt use policies and programs for its employees when operating company-owned, rented, or personally-owned vehicles. The National Highway Traffic Safety Administration (NHTSA) is responsible for providing leadership and guidance in support of this Presidential initiative. For information and resources on traffic safety programs and policies for employers, please contact the Network of Employers for Traffic Safety (NETS), a public-private partnership dedicated to improving the traffic safety practices of employers and employees. You can download information on seat belt programs, costs of motor vehicle crashes to employers, and other traffic safety initiatives at www.trafficsafety.org. The NHTSA website ( www.nhtsa.gov) also provides information on statistics, campaigns, and program evaluations and references.

POLICY ON BANNING TEXT MESSAGING WHILE DRIVING
In accordance with Executive Order 13513, Federal Leadership On Reducing Text Messaging While Driving, and DOT Order 3902.10, Text Messaging While Driving, States are encouraged to adopt and enforce workplace safety policies to decrease crashes caused by distracted driving, including policies to ban text messaging while driving company-owned or rented vehicles, Government-owned, leased or rented vehicles, or privately-owned vehicles when on official Government business or when performing any work on or behalf of the Government. States are also encouraged to conduct workplace safety initiatives in a manner commensurate with the size of the business, such as establishment of new rules and programs or reevaluation of existing programs to prohibit text messaging while driving, and education, awareness, and other outreach to employees about the safety risks associated with texting while driving.

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INSTRUCTIONS FOR ADDING OR UPDATING GEMS USERS

1. Each agency is allowed a total of FIVE (5) GEMS Users.

2. GEMS Users listed on this form will be authorized to login to GEMS to complete and submit Quarterly Performance Reports (QPRs) and reimbursement claims.

3. Complete the form if adding, removing or editing a GEMS user(s).

4. The Grant Director must sign this form and return it with the Grant Agreement.

CURRENT GEMS USER(S)

1. Chandra Jabbs
Title: Finance Director Media Contact: No
Phone: (530) 257-1000
Email: [email protected]

2. Chandra Jabbs
Title: Acting City Manager Media Contact: No
Phone: (530) 257-1000
Email: [email protected]

3. Kevin Stafford
Title: Lieutenant Media Contact: No
Phone: (530) 257-5603
Email: [email protected]
State of California – Office of Traffic Safety
OTS-55 Grant Electronic Management System (GEMS) Access Exhibit C

GRANT NUMBER
PT27210

GRANT DETAILS
Grant Number: PT27210
Agency Name: Susanville Police Department
Grant Title: Selective Traffic Enforcement Program (STEP) Agreement Total: $43,750.00
Authorizing Official: Chandra Jabbs
Fiscal Official: Stefanie Steward
Grant Director: Kevin Stafford

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Complete the below information if adding, removing or editing a GEMS user(s) GEMS User 1
Add/Change {{[]c11_es_:signer1}} Remove Access {{[] c12_es_:signer1}} Add as a media contact? Yes {{[]c1_es_:signer1}} No{{[]c2_es_:signer1}} {{UserName1_es_:signer1 }} {{UserTitle1_es_:signer1 }}
Name Job Title
{{UserEmail1_es_:signer1 }} {{UserPhone1_es_:signer1 }} Email address Phone number
GEMS User 2
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Form completed by: {{Sig_es_:signer1:signature}} Date: {{Dte1_es_:signer1:date}} As a signatory I hereby authorize the listed individual(s) to represent and have GEMS user access. {{Sig_es_:signer2:signature}} {{Name1_es_:signer2:fullname }} Signature Name
{{Dte2_es_:signer2:date}} Grant Director
Date Title

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RESOLUTION NO. 26-6576

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SUSANVILLE

AUTHORIZING THE ACTING CITY MANAGER TO EXECUTE STANDARD AGREEMENT

WITH THE STATE OF CALIFORNIA OFFICE OF TRAFFIC SAFETY SELECTIVE TRAFFIC ENFORCEMENT PROGRAM (STEP) AND ACCEPTING $43,750.00 IN GRANT FUNDING WHEREAS, the Susanville Police Department is responsible for providing public safety within the City of Susanville; and
WHEREAS, the Susanville Police Department has identified and applied for grant funding to reduce and mitigate the impacts of impaired driving in our community through the State of California Office of the Traffic Safety Selective Traffic Enforcement Program (STEP); and WHEREAS, the Susanville Police Department has been awarded grant funding through the California Office of Traffic Safety in the amount of $43,750.00.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Susanville hereby accepts the STEP Award of $43,750.00, authorizes the Acting City Manager to execute standard agreement with the State of California Office of the Traffic Safety Selective Traffic Enforcement Program (STEP) and authorizes the Finance Director to modify the budget as necessary to accommodate the expenditure of grant funds.

APPROVED:_______________________
Mendy Schuster, Mayor
ATTEST:_______________________
Heidi Whitlock, City Clerk
The foregoing resolution was adopted at a regular meeting of the City Council of the City of Susanville, held on the 7th day of October 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_____________________________
Heidi Whitlock, City Clerk
APPROVED AS TO FORM:_____________________________
Margaret Long, City Attorney

Agenda Item No. 9.F.

Standard Workflow
City Council Agenda Item
Submitted By: Heidi Whitlock, City Clerk
Action Date: October 7, 2026
Subject: Discussion regarding agreements approved by the City Manager and Department Heads.

Presented By: Heidi Whitlock, City Clerk
Summary: On December 4, 2024, the City Council adopted Resolution No. 24-6386 approving the City's Procurement Policy, which became effective December 28, 2024. The Procurement Policy authorizes department heads to approve agreements and contracts totaling $15,000 or less in the aggregate and the City Manager to approve contracts up to $25,000. Agreements exceeding $25,000 require City Council approval.

As part of the adoption of the Procurement Policy, the City Council requested that agreements and contracts executed under the delegated authority of department heads and the City Manager be periodically presented to the City Council for review and transparency purposes. The frequency of these reports is determined by the City Council and may be modified as desired.

In accordance with the City Council's request, attached is a list of fully executed agreements and contracts approved pursuant to the delegated authority provided under the Procurement Policy during Fiscal Year 2025/26. The listing is provided for City Council review and transparency and does not require further action or approval of the agreements previously executed under the authority granted by the Procurement Policy.

Staff will continue to present these agreements to the City Council at the frequency established by the Council.

Fiscal Impact: None.

Action Requested: Informational item with possible direction to staff.

Attachments:

1. 261007.Agreement.Spreadsheet

Agreement No.
(Year-No.) ex. 24-
01 Signer/CC Approval Date Name of Contract/Agreement Start Date Expiration Date Link to Resolution
Log Cost
Resolution Cost Limit if
Applicable
25-05 Mayor 12/31/2024 CIVICPLUS WEBSITE AMENDMENT - (ADDING AIR DISTRICT) 9/15/2025 NA $ 7,722.52 25-22 Mayor 5/7/2025 AXON - TASERS 8/15/2025 5/14/2028 25-6424 $ 29,871.62 25-23 Mayor 5/7/2025 AXON CLOUD SERVICES 7/15/2025 7/14/2030 25-6424 $ 204,894.09 25-33 Mayor 7/2/2025 FINANCE DIRECTOR EMPLOYMENT CONTRACT - CHANDRA JABBS 7/1/2025 ongoing 25-6452 25-48.1 Mayor 10/15/2025 CALTRANS SE GATEWAY AMENDMENT NO.1 25-6483 25-51 Mayor 10/15/2025 BRAD & JUDITH CROUL ENCROACHMENT AGREEMENT 10/16/2025 ongoing 25-6481 None 25-54 Mayor 11/5/2025 CITY CLERK CONTRACT WITH HEIDI WHITLOCK 7/1/2025 ongoing 25-6489 26-4 Mayor 2/4/2026 Aiport Lease Lot 9 4/1/2026 3/31/2028 26-6506 Revenue for City 26-5 Mayor 4/1/2026 VANLANT & FANKHANEL LLP - AUDITING SERVICES - ADDENDUM 4/1/2026 FY 26/27 26-6524 $135,485.00 26-6.2 Mayor 10/15/2025 CALTRANS GATEWAY AGREEMENT 02-0417 AMENDMENT 4/16/2026 25-6483 $161,000.00 25-37 Mayor 7/2/2025 SEAN BITLE TURF & IRRIGATION - GOLF COURSE MAINTENANCE 7/2/2025 6/30/2025 25-6449 Not to exceed $76k 26-3 CM - Per CC 12/17/25 FULL SPECTRUM, ENG. - UPDATING TESCO l2000 HARDWARE PLC SITES IN SCADA 12/30/2025 6/30/2026 25-6500 $ 39,910.00 $39,910.00 26-1 CM - Per CC 12/17/25 CLA-VAL CO. - MAINTENANCE ON PRV's 1/1/2026 6/30/2026 25-6500 Not to exceed $25k 25-47 CM - Per CC 10/1/2025 STATE OF CA OTS GRANT - STEP SELECTIVE TRAFFIC ENFORCEMENT PROGRAM 10/1/2025 9/30/2026 25-6476 Not to exceed $51,000 25-36 CM - Per CC 7/16/2025 BELFOR PROPERTY RESTORATION - MEMORIAL BALLFIELD EMERGENCY WORK POST FIRE 7/14/2025 Ongoing 25-6456 Not to exceed $55k 25-43 CM - Per CC 8/6/2025 CIVICPLUS - PRO PREMIUM (AGENDA SOFTWARE) IMPLEMENTATION AND LIVESTREAMING 8/18/2025 8/17/2028 25-6466 $ 24,440.00 25-44 CM - Per CC 7/2/2025 TETRA TECH ROONEY 9.5 MI TRAP ADDITIONS AND INTEGRITY ASSESSMENT 7/24/2025 6/30/2027 25-6450 $ 450,000.00 25-53 CM - Per CC 10/15/2025

STATE OF CA OFFICE OF TRAFFIC SAFETY - GRANT REGIONAL CRASH RESPONSE & ESTRICATION IMPROVEMENT PROGRAM 10/1/2025 9/30/2026 25-6482 Not to exceed $51k 25-56 CM - Per CC 11/19/2025 NST ENGINEERING - ON CALL PROFESSIONAL ENGINEERING SERVICES 12/1/2025 12/1/2028 25-6492 Not to exceed $250k 25-57 CM - Per CC 11/19/2025 PACE ENGINEERING - ON CALL ENGINEERING SERVICES 12/1/2025 12/1/2028 25-6492 Not to exceed $250k 25-59 CM - Per CC 11/19/2025 T-MOBILE (POLICE) - 20 CELLULAR DEVICES & 10 MOBILE HOTSPOTS FOR PATROL 11/19/2025 ongoing 25-6498 $1,087.50 Monthly 26-9.1 CM - Per CC 3/4/2026 M-GROUP PLANNING CONSULTATION SERVICES - Amendment 6/2/2026 6/30/2027 26-6513 $75,000.00 26-14 CM - Per CC 4/15/2026 ALLPRO HVAC RENOVATION - FIRE DEPT. 4/16/2026 26-6532 $3,000.00 26-15 CM - Per CC 4/15/2026 IGI RESOURCES NATURAL GAS PURCHASE ORDER 5/1/2026 4/30/2029 26-6529 No contract cost 26-10 CM - Per CC 4/15/2026 IGI RESOURCES FOR NATURAL GAS - ASSET MANAGEMENT 5/1/2026 4/30/2026 26-6529 No contract cost 26-11 CM - Per CC 4/15/2026 IGI RESOURCES FOR NATURAL GAS - TRANSACTION CONFIRMATION 5/1/2026 4/30/2026 26-6529 No contract cost 25-45 CM - Per CC 6/4/2025 HLVRA LHS 2025 SWIM TEAM SEASON 8/18/2025 6/30/2026 25-6440 Up to $24k 25-52 CM HIGH DESERT STATE PRISON MUTUAL AID AGREEMENT 10/1/2025 10/8/2027 No charge to city 25-58 CM KREINS CONSULTING RECRUITMENT & TESTING SERVICES FOR PUBLIC SAFETY CHIEF 12/0/2025 12/31/2026 Not to exceed $17,500 26-18 CM ERIK JEFFERTS AIRPORT LEASE HANGAR #30 1/1/2026 12/31/2045 Revenue for City 25-30 CM ABC DAILY LICENSE DMGC & HIGH DESERT EMP. LIAISON PROGRAM (HARP) 7/12/2025 7/12/2025 No charge to city 25-31 CM ABC DAILY LICENSE - FARMERS NIGHT MARKETS (MULTIPLE DATES) 7/2/2025 9/3/2025 No charge to city 25-34 CM ABC DAILY LICENSE - LASSEN HUMANE SOCIETY 8/2/2025 8/2/2025 No charge to city 25-13.1 CM
ALLPRO ENVIRONMENTAL SERVICES ST. FRANCIS ASBESTOS & LEAD PAINT ASSESSMENT - AMMENDMENT NO. 1 9/8/2025 12/31/2025 Not to exceed $12k 25-49 CM NST ENGINEERING - MEMORIAL PARK BALLPARK BACKSTOP ITEMS 7/5/2025 1/31/2026 Not to exceed $8k 26-12 CM LASSEN SPORTSMANS CLUB FACILITY USE - JUNIOR FISHING DERBY 5/16/2026 5/16/2026 25-46 Dept. Head BEFORE THE MOVIE PW ADVERTISEMENT 10/11/2025 10/11/2026 $ 4,896.00 26-2 Dept. Head AIR MED CARE FOR CITY EMPLOYEE AIR AMBULANCE BENEFIT 1/13/2026 ongoing No charge to city 26-17 Dept. Head KRISCH CO. FLSA ASSISTANCE 6/3/2026 9/30/2026 Not to exceed $5,808 25-28 Dept. Head ALLIANT ACIP (CRIME INSURANCE PROGRAM) 7/1/2025 7/1/2026 $ 2,870.00 26-8 Dept. Head JASON COLBERT CONSTRUCTION 4/15/2026 6/3/2026 Not to exceed $6,275.22 26-23 Dept. Head DAVENPORT ENGINEERING - 3rd PARTY VERIFICATION OF GREENHOUSE GAS EMISSIONS 6/25/2026 7/11/2026 Not to exceed $15k 25-39 DCM ABC DAILY LICENSE - ESKUALDUNAK CLUB OF SUSANVILLE ANNUAL PICON OPEN 8/16/2025 8/16/2025 No charge to city 25-42 DCM ABC DAILY LICENSE - NORTHERN CALIFORNIA CANCER ADVOCATES ANNUAL GOLF TOURNAMENT 8/30/2025 8/30/2025 No charge to city 25-50 DCM ABC DAILY LICENSE - SUSANVILLE SOROPTOMIST HOLIDAY WITH A HERO EVENT 10/4/2025 10/4/2025 No charge to city 26-7 DCM ABC DAILY LICENSE - DIAMOND MOUNTAIN GOLF COURSE 5/2/2026 5/2/2026 No charge to city 26-13 DCM ABC DAILY LICENSE SUNRISE ROTARY GOLF TOURNAMENT 6/6/2026 6/6/2026 No charge to city 26-16 DCM ABC DAILY AGREEMENT - LASSEN CHAMBER OF COMMERCE SHOW & SHINE EVENT 6/27/2026 6/27/2026 No charge to city 26-26 DCM ABC DAILY LICENSE - SUNRISE ROTARY CLUB 6/30/2026 6/30/2026 No charge to city

Agenda Item No. 9.G.

City Manager Direct
Review
City Council Agenda Item
Submitted By: Jolene Arredondo, Deputy City Manager
Action Date: October 7, 2026
Subject: Consider Resolution No. 26-6578, awarding bid to Mattingly Construction for the 2026 Pat Murphy Little League Field Bathroom Project, Project No. 26-03 and amending the project budget.

Presented By: Jolene Arredondo, Deputy City Manager
Summary: NST Engineering has prepared plans and specifications for the concrete work and to remove temporary back fill, form, set rebar, compact material and install concrete curbs, landings, walkways, steps, and foundations in accordance with the project plans of the Little League Bathroom Project. The City has completed the work of hiring CXT (building manufacturer/supplier) for the delivery and placement of the bathroom building. The engineer's estimate for the work was $61,000. Bids were received from Mattingly Construction ($72,000), Paul J. Graham ($108,650), Crazy J's Construction ($73,839.38), Jason Colbert Construction ($87,500), and PRIDEX Construction Group ($78,000). Mattingly Construction is the lowest responsible bidder and pursuant to the California Public Contract Code is eligible to be awarded the construction contract.

This is an American Rescue Plan Act (ARPA) project with an obligated amount of $143,000 and needs additional funding to complete the project and award the bid and is recommending an increase to the project budget from the Parks cash balance in the amount of $53,000 which will provide for a contingency for the contract as well as City Staff to add a water supply line close to the new facility.

Staff is recommending that the City Council approve the Resolution awarding the construction contract to Mattingly Construction and authorizing the Acting City Manager to do the following:

1. Execute the Construction Agreement

2. Execute Contract Change Orders in an amount not to
exceed $80,000 (approximately 10% contingency)

3. Issue a Notice to Process upon receipt and execution of all necessary documents

4. Increase the project budget utilizing the Parks cash balance

for a total project amount of $196,000 of which $143,000 is ARPA funding
Fiscal Impact: This project is partially funded by American Rescue Plan Act funds that are currently budgeted ($143,000) the remaining project funds will be from the Parks cash balance for a total project budget and cost of $196,000
Action Requested: Motion to approve Resolution No. 26-6578, awarding bid to Mattingly Construction for the 2026 Pat Murphy Little League Field Bathroom Project, Project No. 26-03 and amending the project budget.

Attachments:

1. 26-6578

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RESOLUTION NO. 26-6578

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SUSANVILLE

AWARDING THE CONSTRUCTION CONTRACT FOR THE LITTLE LEAGUE BATHROOM

PROJECT TO MATTINGLY CONSTRUCTION, AUTHORIZING THE ACTING CITY

MANAGER TO EXECUTE THE CONSTRUCTION AGREEMENT AND RELATED

DOCUMENTS, AND AMENDING THE PROJECT BUDGET
WHEREAS, the City of Susanville (“City”) has identified the need for permanent restroom facilities at the Little League complex and is undertaking the Little League Bathroom Project (“Project”); and
WHEREAS, the Project is funded in part through the American Rescue Plan Act (“ARPA”), with an existing project obligation of $143,000; and WHEREAS, NST Engineering has prepared plans and specifications for the concrete work associated with the Project, including removal of temporary backfill, forming, placement of reinforcing steel, compaction of material, and installation of concrete curbs, landings, walkways, steps, and foundations in accordance with the Project plans and specifications; and WHEREAS, the City has separately completed the procurement and contracting process for CXT, the bathroom building manufacturer and supplier, for the delivery and placement of the bathroom building; and
WHEREAS, the City has received five bids for the remaining project work as follows:

Mattingly Construction $72,000
Paul J. Graham Construction $108, 650
Crazy J’s Construction $73,839.38
Jason Colbert Construction $87,500
PRIDEX Construction Group $78,000
WHEREAS, Mattingly Construction is the lowest responsive and responsible bidder $72,000; and
WHEREAS, pursuant to the California Public Contract Code and applicable law, Mattingly Construction is eligible to be awarded the construction contract for the Project; and WHEREAS, City staff recommends that the City Council award the construction contract to Mattingly Construction in the amount of $72,000 and authorize the Acting City Manager to execute the Construction Agreement and administer the construction contract in accordance with the terms and conditions approved by the City; and WHEREAS, City staff further recommend authorizing the Acting City Manager to approve contract change orders in an aggregate amount not to exceed $80,000, subject to applicable provisions of the California Public Contract Code, the City’s purchasing policies, and available project funding; and
WHEREAS, upon receipt and execution of all required contract documents, bonds, insurance certificates, and other necessary documentation, City staff recommends authorizing the Acting City Manager to issue the Notice to Proceed for the Project, and

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WHEREAS, the existing ARPA obligation of $143,000 is insufficient to fully fund the Project, including the construction contract, contingency, and additional work necessary to provide a water supply line in close proximity to the new restroom facility; and WHEREAS, City staff recommends increasing the Project budget by $53,000 utilizing available Parks Fund cash balance, resulting in a total Project budget of $196,000, of which $143,000 will be funded through ARPA funds and $53,000 will be funded from the Parks Fund cash balance; and
WHEREAS, the additional funding will provide sufficient resources for the construction contract, project contingency, and City staff work necessary to add a water supply line near the new facility for cleaning of the restroom.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Susanville does hereby:

1. Award bid to Mattingly Construction in the amount of $72,000; and

2. Authorize the Acting City Manager to execute construction agreement with Mattingly Construction; and

3. Authorize the Acting City Manager to execute contract change orders in an amount not to exceed $8,000 (approximately 10% contingency); and

4. Authorize the Acting City Manager to issue a “Notice to Proceed” upon receipt and execution of all necessary documents, and

5. Authorize the Finance Director to increase the budget for the Little League Bathroom Project from $143,000 to $196,000 with funding as follows:

American Rescue Plan Act (ARPA): $143,000
Parks (1011) Fund Available Cash: $ 53,000
Total Project Budget: $196,000
APPROVED:_______________________
Mendy Schuster, Mayor
ATTEST:_______________________
Heidi Whitlock, City Clerk
The foregoing resolution was adopted at a regular meeting of the City Council of the City of Susanville, held on the 7th day of October 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

_____________________________
Heidi Whitlock, City Clerk

APPROVED AS TO FORM:_____________________________
Margaret Long, City Attorney

Agenda Item No. 10.A.

Standard Workflow
City Council Agenda Item
Submitted By: Ruth McElrath, Permit Technician
Action Date: October 7, 2026
Subject: PLANNING COMMISSION: *PUBLIC HEARING* Consider PC Resolution No. 26-1205, Approving Use Permit 25-008 to allow a Type 47 On-Sale General Eating Place liquor license and operation of an event center in the Uptown Business District at 400 Main St.

Presented By: Erik Edholm, Acting Public Works Director Summary: The new owners of the former Susanville Elks Lodge are proposing to open a restaurant/bar and event space within the existing building at 400 Main St. The applicant has a simultaneous application for a California Type 47-On-Sale General-Eating Place liquor license through the Department of Alcoholic Beverage Control.

The building is located in the Uptown Business District zoning district and a use permit is required for an event hall and on-sale and off-sale acholic beverage sales per Susanville Municipal Code

17.40.030.

While the facility previously served alcoholic beverages and was used for events, the use pre-dated existing City regulations and there were no use permits issued for the site. Per Susanville Municipal Code (SZC) Section 17.108.010.B because the uses were occurring without a use permit they were considered legal non-conforming use.

As described in Section 17.108.030.D, because more than one year has elapsed since the discontinuation of the prior operations, the non-conforming use was abandoned and in compliance with SZC Section 17.108.040.A.2., a use permit to serve alcohol and operate an event center (assembly hall) is required.

Fiscal Impact: None
Action Requested: Motion to approve PC Resolution No. 26-1205, Approving Use Permit 25-008 to allow a Type 47 On-Sale General Eating Place liquor license and operation of an event center in the Uptown Business District at 400 Main St.

Attachments:

1. PC 26-1205

2. UP 25-008 Staff Report

3. Application

4. Environmental Questionnaire

5. Site Plan

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PC RESOLUTION NO. 26-1205

A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF SUSANVILLE APPROVING USE PERMIT 25-008 TO ALLOW A TYPE 47 ON-SALE GENERAL-EATING PLACE LIQUOR LICENSE AT 400 MAIN STREET ASSESSOR’S PARCEL NUMBER 103- 270-007-000 USE PERMIT APPLICATION NUMBER 25-008
WHEREAS, on December 22, 2025, Rome Ravenwood, The Hidden Key, Inc. submitted a complete application to operate an event center, bar, and restaurant with on-sale alcohol sales in an existing building located at 400 Main St., Susanville, CA 96130; and WHEREAS, the property is located in the Uptown Business District and within the Historic Combining District; and
WHEREAS, an assembly hall and on-sale alcohol sales are conditionally allowable with a Use Permit; and
WHEREAS, the previous use of the site as an event center with on-sale liquor sales predated the City’s Zoning Code and operated as a nonconforming use.

WHEREAS, the non-conforming use was discontinued for longer than six months and is treated as a new use; and
WHEREAS, the Susanville Planning Commission held a duly noticed public hearing during its during its regular meeting on October 7, 2026, and considered both written and oral comments presented concerning the proposed project as required by City Code Section

17.112.20 E and;
NOW, THEREFORE, BE IT RESOLVED that the Planning Commission of the City of Susanville hereby makes the following findings:

1. That the establishment, maintenance and operation of the subject use, building or facilities applied for will not, under the circumstances of the particular use, with the conditions imposed thereon, be detrimental to or contrary to the health, safety, peace, morals, comfort and general welfare of persons residing or working in the neighborhood of the proposed use and will not be injurious or detrimental to property or improvements in the neighborhood or the general welfare of the city.

2. The conditions imposed upon approval of this use are necessary to further the public, health, safety, peace, comfort and general welfare of the city.

3. The project is consistent with the applicable policies of the Susanville General Plan 1990-2010 as amended in 2025.

4. The project complies with the applicable regulations in the Susanville Municipal Code and Zoning Ordinance.

5. Any modifications to the submitted application after approval by the Planning Commission shall require a new application and review by the Planning Commission.

6. The applicant/owner shall indemnify, protect, defend and hold harmless, the City, and/or any of its officials officers, employees, agents, departments, agencies, and

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instrumentalities thereof, from any and all claims, demands, lawsuits, writs of mandamus, and other actions and proceedings (whether legal, equitable, declaratory, administrative or adjudicatory in nature), and alternative dispute resolutions procedures (including but not limited to arbitration, mediations, and other such procedures collectively “Actions”), brought against the City, and /or any of its officials, officers, employees, agents, departments, agencies and instrumentalities thereof, that challenge, attack or seek to modify, set aside, void or annul the any action of, or any permit or approval issued by, the City and/or any of its officials, officers, employees, agents, departments, agencies and instrumentalities there of (including actions approved by the voters of the City), for or concerning the project, whether such Actions are brought under the California Environmental Quality Act, the Planning and Zoning Law, the Subdivision Map Act, Code of Civil Procedure Section 1085 or 1094.5 or any other state, federal, or local statute, law, ordinance, rule, regulation, or any decision of a court of competent jurisdiction. It is expressly agreed that the City shall have the right to approve, which approval will not be unreasonably withheld, the legal counsel providing the City’s defense, and that developer shall reimburse City for any costs and expenses directly and necessarily incurred by the City in the course of the defense. City shall promptly notify the developer of any Action brought and City shall cooperate with developer in the defense of Action.

NOW THEREFORE, BE IT FURTHER RESOLVED, that the Planning Commission of City of Susanville hereby approves Use Permit 25-008 to allow an assembly hall with on-sale alcohol sales at 400 Main St. with the following conditions of approval:

AREA/SITE SPECIFIC CONDITIONS:

1. Meet the requirements of the Lassen County Environmental Health Department prior to opening.

2. Obtain a business license and fire inspection prior to the business opening.

3. The business owner shall obtain and maintain refuse service from the local franchisee. Refuse containers must be large enough for refuse and emptied regularly to prevent overflow. Provide a secured trash enclosure meeting City standards for one trash receptacle and recycling receptacle.

4. An application shall be submitted to the City Building and Planning Division prior to installation of any signage.

5. Prior to issuance of a certificate of occupancy, the applicant shall demonstrate compliance with Title 24 of the 2025 California Building Code.

6. Prior to any changes to exterior landscaping or installation of new lighting features a new site plan shall be submitted for administrative review. Any new exterior lighting shall comply with SMC 17.96.050 – Lighting.

7. The applicant shall keep in good repair all exterior and interior portions of the structure(s) whose maintenance is necessary to prevent deterioration and decay of the structure(s).

8. The applicant shall maintain the site or property in such condition so as to preserve and protect its noteworthy qualities and attributes.

9. A Historic Resources Evaluation and an application for architectural design review shall be required prior to any alterations, modifications or construction of any type which affects the exterior appearance of the structure.

10. If through the interior remodel process, it is determined that the project will include structural work, the applicant shall contact the City’s Planning Department to determine whether a Historic Resources Evaluation is required.

11. In the event that any portion of the structure and/or its character-defining features are

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purposefully or accidentally damaged or demolished during project construction, the applicant shall contact the City within 24 hours of the determination. At that time, all construction work shall cease, and the applicant shall remit a deposit of $15,000 to the City. Upon receiving the deposit, the City will contract with an architectural historian to develop a remediation plan. The applicant will be responsible for all costs associated with the implementation and completion of the remediation plan.

12. Prior to the curve, the applicant shall install a sign, outside of the Caltrans right-ofway, that states “restaurant and event parking use street,” with an arrow that points to the right.

13. The applicant shall install a sign at the driveway that says, “no restaurant parking & event parking.”
GENERAL:

14. This permit will become null and void if the approved use has not begun within one year from the date of adoption of this resolution unless an extension of the life of the permit is approved by the Planning Commission. It is the applicant’s responsibility to request an extension within a reasonable time frame, if needed.

15. Approval of this use permit is contingent upon the establishment, maintenance and operation of the subject use not being detrimental or contrary to the health, safety, peace, morals, comfort and general welfare of persons residing or working in the neighborhood of the proposed use. The project shall meet the fire and life safety requirements of the Susanville Fire Department.

APPROVED:___________________________
Mendy Schuster, Chairperson
ATTEST:_______________________
Heidi Whitlock, City Clerk
The foregoing resolution was adopted at a special meeting of the Planning Commission of the City of Susanville, held on the 7th day of October 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_____________________________
Heidi Whitlock, City Clerk

Agenda Item No. 13.A.

Standard Workflow
City Council Agenda Item
Submitted By: Chandra Jabbs, Acting City Manager/Finance Director Action Date: October 7, 2026
Subject: Consider Resolution No. 26-6577, Authorizing the Purchase of Greenhouse Gas Allowances, As Required by California Air Resources Board Cap & Invest Program
Presented By: Chandra Jabbs, Acting City Manager/Finance Director Summary: BACKGROUND: City council previously approved implementation of a Natural Gas Greenhouse Gas Reduction Cap and Invest Program on August 19, 2026, pursuant to Resolution 26-6565 (attached). Among several aspects of the program, the August resolution authorized staff to purchase compliance allowances to meet the full requirements for 2024 through 2026 (Item 9). The Cap and Invest guidelines require that the first purchase to meet Susanville’s requirements must be made by November 2, 2026 (Item 7). Following the August meeting, staff has worked with Joe Stierer of Yorke Engineering regarding purchase strategy to make the necessary first purchase of allowances.

APPROACH: The Cap and Invest guidelines require that 8,600 of the allowances needed must be “year 2025 vintage,” which requires they be purchased through a broker rather than through an Air Resources Board (ARB) on-line auction. Preliminary price information from brokers indicates, 1) a narrow spread of prices for the compliance allowances between different brokers, and 2) that the price for allowances purchased through a broker will likely close to the price of allowances offered through ARB auction.

Consequently, the strategy of staff is to purchase all the 2024 and 2025 requirements through the lowest-cost broker, then purchase the 2026 allowance through the on-line auction.

Considering the significant expense for the allowances, the proposed resolution compliments the August resolution reiterating and providing further clarification as follows:

1. Quotes shall be solicited for 65,000 allowances, which at least 8,600 must be year 2025 vintage, or earlier, pursuant to the requirements of the Cap and Invest program.

2. All 2024 and 2025 allowances shall be purchased through a broker.

3. Quotes shall be solicited from three brokers to select the best available price.

4. The cost of the 65,000 allowances is expected to range between $30 and $33 each, for a total cost range of
$1,950,000 and $2,145,000.

5. The first payment may be more than $350,000, but will not exceed the $3,500,000 authorized by Resolution 25-6565.

6. Payment for the allowances shall be made from the Natural Gas Enterprise fund cash balance.

7. The City Attorney shall review and approve the transaction document for the purchase of the allowances prior to the purchase from the successful bidder.

8. The City Manager, Acting City Manager, or designee is authorized to execute the transaction document.

9. The City Manager, Acting City Manager, or designee is authorized to execute one or more brokerage agreements
for subsequent compliance years for a term of five (5)
years.

10. Staff shall also proceed prior to November 2027 to
purchase the required 2026 allowances and portions of
required 2027 allowances through ARB auction receiving
the market-determined price.

11. Following the purchases, staff shall send billing statements to High Desert State Prison and Plumas Sierra
Cogeneration, allocating to each their share of the cost of the purchased allowances.

Fiscal Impact: The cost of the 65,000 allowances is expected to range between $30 and $33 each, for a total cost range of $1,950,000 and $2,145,000.

Action Requested: Motion to approve Resolution No. 26-6577, Authorizing the Purchase of Greenhouse Gas Allowances, As Required by
California Air Resources Board Cap & Invest Program
Attachments:

1. 26-6577

2. Adopted Resolution No. 26-6565

Resolution 26-____ Page 1 of 2
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RESOLUTION NO. 26-6577

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SUSANVILLE

AUTHORIZING THE PURCHASE OF GREENHOUSE GAS ALLOWANCES,

AS REQUIRED BY CALIFORNIA AIR RESOURCES BOARD

CAP AND INVEST PROGRAM
WHEREAS, by Resolution No. 26-6565, approved August 19th, 2026, the City Council of the City of Susanville approved implementation of a Natural Gas Greenhouse Gas Reduction Cap and Invest program; and
WHEREAS, for the period 2024 through 2026, the City must make its first purchases of compliance allowances on or before Monday, November 2nd, 2026, and must purchase all required compliance allowances by November 2027; and
WHEREAS, Resolution 26-6565, authorizes staff to proceed at its own discretion with input from outside consulting expertise to purchase allowances for 2024, 2025, and 2026, at a cost up to $3,500,000; and
WHEREAS, Item 7 of Resolution 26-6565 provides that the first purchase of allowances up to $350,000 must be made prior to November 2, 2026, and the purchase of 65,000 allowances recommended herein, which staff intend to complete as the first purchase, may exceed $350,000; and
WHEREAS, staff now recommend proceeding with the purchase of all required 2024 and 2025 allowances through a broker; and
WHEREAS, the City’s obligation to surrender compliance allowances continues beyond 2026, and a standing brokerage agreement will allow staff to purchase allowances through a broker in future years when doing so offers better value than the ARB auction; and WHEREAS, staff further recommend purchasing the required 2026 and 2027 allowances through the Cap and Invest on-line auction.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Susanville hereby authorizes the purchase of Cap and Invest Greenhouse Gas Allowances, as follows:

1. Quotes shall be solicited for 65,000 allowances, of which at least 8,600 must be year 2025 vintage, or earlier, pursuant to the requirements of the Cap and Invest program.

2. All 2024 and 2025 allowances shall be purchased through a broker.

3. Quotes shall be solicited from three brokers to select the best available price.

4. The cost of the 65,000 allowances is expected to range between $30 and $33 each, for a total cost range of $1,950,000 and $2,145,000.

5. Notwithstanding Item 7 of Resolution 26-6565, the first purchase of allowances made on or before November 2, 2026, may exceed $350,000, in a total amount not to exceed $2,145,000; provided that all allowance purchases for the period 2024 through 2026 shall remain within the $3,500,000 authorized by Item 3 of Resolution 26-6565.

6. Payment for the allowances shall be made from the Natural Gas Enterprise fund cash balance.

Resolution 26-____ Page 2 of 2
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7. The City Attorney shall review and approve the transaction document for the purchase of the allowances prior to the purchase from the successful bidder.

8. The City Manager, Acting City Manager, or designee is authorized to execute the transaction document.

9. The City Manager, Acting City Manager, or designee is further authorized to negotiate and execute one or more brokerage agreements, including master or standing agreements, with qualified brokers for the purchase of compliance allowances for the 2024–2026 compliance period and for subsequent compliance years, for a term not to exceed five (5) years, subject to review and approval as to form by the City Attorney. Purchases made under any such agreement shall not exceed the amounts authorized by the City Council and appropriated in the City’s budget, and shall be reported to the City Council in the annual natural gas report required by Item 11 of Resolution 26-6565.

10. Staff shall also proceed prior to November 2027 to purchase the required 2026 allowances and portions of required 2027 allowances through ARB auction receiving the marketdetermined price.

11. Following the purchases, staff shall send billing statements to High Desert State Prison and Plumas Sierra Cogeneration, allocating to each their share of the cost of the purchased allowances.

APPROVED:_______________________
Mendy Schuster, Mayor
ATTEST:_______________________
Heidi Whitlock, City Clerk
The foregoing resolution was adopted at a regular meeting of the City Council of the City of Susanville, held on the 7th day of October 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_____________________________
Heidi Whitlock, City Clerk

APPROVED AS TO FORM:_____________________________
Margaret Long, City Attorney

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28 RESOLUTION NO. 26-6565

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SUSANVILLE

AUTHORIZING THE IMPLEMENTATION OF A NATURAL GAS GREENHOUSE GAS

REDUCTION CAP AND INVEST PROGRAM, AS REQUIRED BY THE STATE OF CALIFORNIA GLOBAL WARMING SOLUTION ACT OF 2006
WHEREAS, the City of Susanville (City) is a general law municipality in the State of California that owns and operates a natural gas distribution system; and WHEREAS, the Global Warming Solution Act of 2006, also known as Assembly Bill ("AB") 32, requires the reduction California Greenhouse Gas ("GHG") emissions below the levels recorded in 1990; and
WHEREAS, the California Air Resources Board (CARB) notified the City on February 9, 2026, that it must report all gas transported through its pipeline system, even if it does not own the gas, and because the City's qualifying emissions are over 25,000 metric tons of carbon dioxide equivalent (MTCO2e), it must have annual data verified by a CARB-accredited third-party verifier; and WHEREAS, because the City's qualifying emissions do exceed 25,000 MTCO2e, the City must participate in the CARB Greenhouse Gas Cap and Invest program retroactively for the defined compliance period of January 2024 through December 2026, and then forward beginning in 2027; and
WHEREAS, participation in the Cap and Invest program will require active City staff· engagement in the purchase of compliance allowances (also compliance instruments) through CARB auctions and through brokers, in proportion to the annual volume of natural gas transported through the City's gas system; and
WHEREAS, participation will also include allocation by the CARB of specified free allowances that may eventually be utilized for the benefit of ratepayers either in the form of energy efficiency programs to reduce natural gas usage, or by a non-volumetric return to ratepayers; and WHEREAS, for the period 2024 through 2026, the City must make its first purchases of compliance allowances on or before Monday, November 2
nd
, 2026, and must purchase all required
compliance allowances by November 2027.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Susanville hereby authorizes the implementation of a Natural Gas Greenhouse Gas Reduction Cap and Invest Program ("Greenhouse Gas Program"), as follows:

1. The City Manager (or Acting City Manager) shall designate two employees to register for and participate in CARB's Compliance Instrument Tracking System Service (CITSS) to purchase compliance instruments on behalf of the City; and

2. The existing cash balance in the Natural Gas Enterprise Fund shall be initially utilized to cover the cost of compliance instruments that must be purchased; and

3. The dollar amount authorized to purchase allowances for the period 2024 through 2026 is up to three million five hundred thousand dollars ($3,500,000).

4. Revenue and expenses associated with the Greenhouse Gas Program shall be coded

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5. A cash asset fund shall be established within the Gas Enterprise entitled "Greenhouse Gas Program Fund" for the purpose of:
a. Tracking the balance of purchases and sales of allowances, and b. Accumulating allowance payments from High Desert State Prison and Plumas Sierra Cogeneration, and
c. Accumulating income from a greenhouse gas surcharge from customers, should one be established, and
d. Tracking administrative costs to operate the program.

6. Natural Gas Enterprise cash shall be transferred to the Greenhouse Gas Program Fund as needed to provide adequate operating cash for Cap and Invest allowance purchases, and

7. The first purchase of allowances up to $350,000 must be prior to November 2, 2026; and

8. Staff may proceed using their own discretion with input from outside consulting expertise regarding timing to purchase compliance allowances to meet the full requirement for the 2024 through 2026 requirement, and

9. Staff shall work diligently pursuing High Desert State Prison and Plumas Sierra Cogeneration to allocate and collect their portions of the cost burden for allowances purchased on their behalf.

10. Staff shall provide recommendations to City Council by April 30, 2027, regarding the use of the monetary value of allowances sold from the Limited Use Holding Account for the benefit of ratepayers, through a natural gas greenhouse reduction rebate program or through nonvolumetric cash return to ratepayers, or both; and

11. The status of the City's Greenhouse Gas Program shall be added to the annual natural gas report due each year by August 31
st
·
AYES:

NOES:

ABSENT:

ABSTAIN:

APPRO
The foregoing resolution was adopted at a regular meeting of the City Council of the City of Susanville, held on the 19th day of August 2026, by the following vote:

Bortle, Hibbitts, Parrish, Miller, & Schuster
None
None
None
APPROVED AS TO FORM: _
Margaret Long, City Attorney

Agenda Item No. 14.A.

Standard Workflow
City Council Agenda Item
Submitted By: Chandra Jabbs, Acting City Manager/Finance Director Action Date: October 7, 2026
Subject: Department Reports - Finance Department Update Presented By: Chandra Jabbs, Acting City Manager/Finance Director Summary:

Fiscal Impact: None.

Action Requested: Information only.

Attachments:

1. Oct 2026 CC Finance Report

2. Susanville 4Q25 Newsletter

3. Susanville 1Q26 Newsletter

4. California Consensus Forecast 4Q25

5. California Consensus Forecast 1Q 2026

6. HdL Fuel Report 4Q25

Department Report - Finance
City of Susanville
Reporting Period: Q3&4 FY 25/26
Prepared for: City Council
Prepared by: Chandra Jabbs, Finance Director
Date: 10/7/26

1. Finance Department Overview
• 6 staff – 0 vacancies
• Payroll - 13 cycles during Q3&4, plus special payroll in June o $3.2 million in gross wages
o $1.5 million in benefits
o 108 people employed over this period
• AP – $2,885,197 in 2,770 transactions
• Gas/Water Utility Billing Statistics
o Active Water Meters as of Sept 30 – 3,755
o Active Gas Meters as of Sept 30 – 3,406
o Mailings
▪ Paper Bills Generated (Jan - June) – 18,037
▪ Paper Reminders Generated (Jan - June) – 5,725
▪ Avg – 3,523 mailings/month
o Paperless Sign-ups – 90 from January -June 2026
o Total Paperless Registrations – 1,699 Customers as of June 30 o Invoice Cloud payments (July – Dec) – 12,911, avg 2,151/month • 54 New Business Licenses Issued January - June
• 426 Active Business Licenses with addresses in Susanville • TOT – 9 businesses
• Retail Sales – 438 Licenses

2. General Fund Overview
In FY 25/26, budgeted deficit is approximately $2.03 million, due to planned one-time projects that total over $1.7 million from available cash. The remaining deficit is anticipated to be recovered through grant projects, vacancies, and other savings throughout the year.

3. General Fund Revenues Breakdown
In FY 25/26, the City received approximately $8.9 million in revenues, which represents approximately 103% of our General Fund budgeted revenues. Property taxes and sales tax are the largest sources of revenues, representing 88% of the City’s total General Fund revenues. Sales taxes exceed budgeted expectations by 4%, while property taxes were down 4%. Business licenses and business taxes, which includes Transient Occupancy Tax (TOT), represent 8% of total revenues received.

4. General Fund Expenditures Breakdown – PRELIMINARY FY 25/26 Preliminary expenditures in the General Fund accounts spent approximately $9.1 million, the percentage of total expenditures by department is Police 50%, Fire 24%, Community Services 15%, Administration 5%, and Debt Repayment 7%. $3,310,710
$4,630,427
$8,924
$750,274 $227,316
Revenue Sources (YTD Actual)
Property Taxes
Sales Taxes
Intergovernmental/Fees
Business License/Tax
Other
$-
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
Amount
Department
Expenditures by Department
(YTD Actual)
YTD Actual

Capital purchase for FY 25/26 includes a Vehicle Speed Feedback sign, tasers, body-worn cameras, 3 vehicles for the Police Department, a mower, and a truck for the Streets Department.

5. Debt & Reserves
As of June 30, 2026, debt principal balances are as follows:
• Natural Gas Refunding Bonds $16,755,000
• Natural Gas Interfund Loan $1,781,786
• CalPERS UAL Refinancing $8,986,656
• Water USDA Loan $628,000
• Water Refunding Bonds $4,502,900
• City Hall Remodel $201,015
• Community Pool $0.00
Cash balance in the General Fund Reserve Account as of June 30, 2026 is $1,618,987.

6. Forecast & Outlook
Through Q2, Bradley-Burns Sales Tax receipts have been positive in comparison to 2024 with 4% year over year change. However, point-of-sale purchases were down 1% over the same period. Measure P receipts are forecasted to be down as 25Q4 did not show as strong in 2025. Sales tax receipts continue to be closely monitored as economic indicators reflect broader economic volatility, including gas prices. HdL highlights key factors influencing their quarterly newsletter which include the interest rates, inflation, and continued price increases.

Property taxes continue to rise as home values continue to rise and the housing market continues to remain active.

Interest revenues are higher in FY 25/26 than prior years. We will see these revenues decrease as the ARPA projects near completion.

7. Appendices

1. HdL Sales Tax Update for Q4 2025

2. HdL Sales Tax Update for Q1 2026

3. HdL California Forecast Sales Tax Trends & Economic Drivers March 2026

4. HdL California Forecast Sales Tax Trends & Economic Drivers June 2026

5. HdL Fuel Report 4Q25

www.hdlcompanies.com | 888.861.0220
Q4 2024*
Q4 2025*
Legend
$0
$40,000
$80,000
$120,000
$160,000
$200,000
$240,000
SALES TAX BY MAJOR BUSINESS GROUP *Allocation aberrations have been adjusted to reflect sales activity County
and State
Pools
General
Consumer
Goods
Restaurants
and
Hotels
Autos
and
Transportation
Fuel and
Service
Stations
Food
and
Drugs
Business
and
Industry
Building
and
Construction
CITY OF SUSANVILLE HIGHLIGHTS TOP 25 PRODUCERS
Published by HdL Companies in Spring 2026
A One Food Mart
Ace Hardware
Burger King
Carlsons Tire Pros
Grocery Outlet
Guy Rents
Jack in the Box
Les Schwab Tire Center
Marshalls
Mazatlan Grill
McDonald’s
O’Reilly Auto Parts
Safeway
Spirit
Susanville Beacon
Susanville Chevron
Susanville Food Mart
Susanville Shell
Susanville Supermarket
Taco Bell
Tractor Supply
Walgreens
Walmart
Wheels West
Zaengles Carpet One
Floor & Home

SALES TAX UPDATE

CITY OF SUSANVILLE
4Q 2025 (OCTOBER - DECEMBER)
Susanville’s receipts from October
through December were 5.7% below the
fourth sales period in 2024. Excluding
reporting aberrations, actual sales were
down 6.0%.

State-county pools, the City’s largest
income classification, had a weak -9.9%
return. General consumer goods showed
discouraging gross receipts at electronicappliance stores as consumers limited their purchases and began to be more
mindful of tariffs that took effect.

The autos-transportation category
experienced soft proceeds from
automotive supply stores as car owners
choose to suspend servicing their
vehicles. Likewise, service stations felt
shrinking profits as fuel prices declined
for the eighth consecutive quarter.

The restaurant-hotel sector had solid
revenues at quick service and casual
dining establishments as patrons enjoyed
the holiday season. In addition, the
food-drug category showed promising
proceeds at grocery stores as consumers
shopped for deep discounts.

The City’s voter-approved Measure P
experienced negative results of -0.6%,
primarily from the food-drugs and
general consumer goods sectors.

Net of aberrations, taxable sales for all
of Lassen County grew 3.2% over the
comparable time period; the Far North
region was down 0.5%.

TOTAL:
-0.6%
$703,988
Measure P
TOTAL: $ 569,561
-6.0% 3.2% 1.1%

COUNTY STATE

SUSANVILLE
4Q2025

TOP NON-CONFIDENTIAL BUSINESS TYPES
Q4 '25
Susanville
Business Type Change Change Change
County HdL State
Service Stations 42,437 -3.9% -3.1% -2.1%
Quick-Service Restaurants 32,928 3.9% 3.9% 0.2%
Grocery Stores 28,731 4.9% 4.3% 0.7%
Automotive Supply Stores 26,409 -0.6% -0.6% -2.3%
Casual Dining 24,374 1.9% 7.7% 2.3%
Contractors 7,826 -2.2% 50.6% -0.8%
Electronics/Appliance Stores 6,902 -6.4% -6.4% -3.6%
Auto Repair Shops 6,516 2.1% 5.7% -1.9%
Specialty Stores 2,763 16.3% 18.8% -1.2%
Government/Social Org. 615 11.5% 1.5% 15.7%
*Allocation aberrations have been adjusted to reflect sales activity

REVENUE BY BUSINESS GROUP
Susanville This Calendar Year*
33%
Pools
12%
Restaurants
10%
Autos/Trans.
4%
Building
5%
Bus./Ind.
22%
Cons.Goods
6%
Food/Drug
9%
Fuel
*ADJUSTED FOR

ECONOMIC DATA
4Q 2025 CITY OF SUSANVILLE SALES TAX UPDATE

STATEWIDE RESULTS
California’s local one cent sales and use tax
receipts posted moderate growth during the
fourth quarter, reflecting resilient consumer
behavior despite persistent economic
headwinds. For the months of October
through December, revenues increased 1.2%
from the year ago quarter after adjusting
for accounting anomalies. This performance
capped an overall improvement for calendar
year 2025 of 1.2%, marking a welcomed
annual increase after two consecutive years
of decline.

Consumer spending patterns during the
holiday season played a central role in the
fourth-quarter results. Fulfillment centers and
countywide use tax pools generated strong
returns, driven by sustained demand for
online shopping as cost-conscious consumers
prioritized convenience and price comparison.

This e-commerce momentum persisted
throughout the 2025 year. Traditional brickand-mortar retailers, particularly apparel and jewelry stores, also realized modest seasonal
gains, benefiting from holiday purchasing
activity.

Restaurant sales taxes rose again, although
operators reported continual pressure
from rising costs that influenced customer
behavior. Diners reduced visit frequency
and alcohol purchases, reflecting heightened
price sensitivity. While upcoming national
and global sporting events in California could
support localized growth, broader restaurant
sector expansion is expected to remain
constrained and concentrated primarily in
tourism-heavy and event-focused regions.

Energy-related initiatives produced solid
returns; however, revenue allocation
mechanisms shifted, with proceeds previously
reported directly to local agencies now
distributed through county pools during the
current period.

In contrast, the autos-transportation and
building-construction sectors remained
subdued. Elevated interest rates, seasonal
purchasing patterns, and winter weather limited
activity, particularly in high-value purchases
such as vehicles and home improvement
projects. Contractors in roofing and concrete
experienced reduced productivity, reinforcing
expectations of continued stagnation in these
industries. With minimal interest rate relief
projected for 2026, significant near-term
recovery remains unlikely.

Looking ahead, emerging global risks present
growing uncertainty. While not reflected
in current results, escalating tensions in
the Middle East have driven West Texas
Intermediate crude oil prices above $100 per
barrel, translating into sharply higher gasoline
prices exceeding $6 per gallon locally. Refinery
closures across Northern and Southern
California further amplify supply pressures.

Prolonged energy price volatility could force
consumers to redirect spending toward fuel
costs, reducing discretionary expenditures in
other sectors.

Prior to these developments, short-term
economic expectations were cautiously
optimistic. However, renewed inflationary
pressure has led the Federal Reserve to delay
anticipated interest rate reductions, limiting
consumer flexibility. Stubbornly high fuel
prices may also dampen travel and tourism
through summer, leaving little room for broadbased sales tax growth in the year.

www.hdlcompanies.com | 888.861.0220
Q1 2025*
Q1 2026*
Legend
$0
$40,000
$80,000
$120,000
$160,000
$200,000
$240,000
SALES TAX BY MAJOR BUSINESS GROUP *Allocation aberrations have been adjusted to reflect sales activity County
and State
Pools
General
Consumer
Goods
Restaurants
and
Hotels
Autos
and
Transportation
Fuel and
Service
Stations
Food
and
Drugs
Business
and
Industry
Building
and
Construction
CITY OF SUSANVILLE HIGHLIGHTS TOP 25 PRODUCERS
Published by HdL Companies in Summer 2026
Ace Hardware
Burger King
Carlsons Tire Pros
Grocery Outlet
Gulf
Jack in the Box
Les Schwab Tire Center
Marshalls
Mazatlan Grill
McDonald’s
O’Reilly Auto Parts
Panda Express
Patriot
Safeway
Sinclair
Spirit
Susanville Beacon
Susanville Chevron
Susanville Supermarket
Taco Bell
Tractor Supply
Walgreens
Walmart
Wheels West
Zaengles Carpet One
Floor & Home

SALES TAX UPDATE

CITY OF SUSANVILLE
1Q 2026 (JANUARY - MARCH)
Susanville’s receipts from January
through March were 7.3% above the first
sales period in 2025. Excluding reporting
aberrations, actual sales were up 10.2%.

World conflicts caused petroleum
products of all kinds to spike in the last
few weeks of this period, locally it was
not enough to push the group positive;
next quarter service stations should see
strong growth.

General consumer goods grew at the
same pace as the statewide average
while restaurants were up with solid
gains in the quick-service restaurant
categories.

The bright spot was the large gains in the
countywide pool allocation; this was due
to a combination of robust ecommerce
activity, one-time filings and completion
of an audit by CDTFA that now directs
a marketplace seller’s statewide tax
allocations to county pools.

Voter approved Measure P had several
categories with strong deliveries into
the city including retail ecommerce, new
motor vehicles and building materials.

Net of aberrations, taxable sales for all
of Lassen County grew 10.7% over the
comparable time period; the Far North
region was up 1.4%.

TOTAL:

2.9%
$538,672
Measure P
TOTAL: $ 532,551

10.2% 10.7% 4.0%

COUNTY STATE

SUSANVILLE
1Q2026

TOP NON-CONFIDENTIAL BUSINESS TYPES
Q1 '26
Susanville
Business Type Change Change Change
County HdL State
Service Stations 35,675 -3.1% -1.1% 1.0%
Quick-Service Restaurants 30,968 4.9% 4.9% 1.9%
Automotive Supply Stores 22,975 16.9% 16.8% 1.5%
Grocery Stores 22,897 -5.8% -4.7% -1.0%
Casual Dining 19,341 -4.2% -2.7% 4.0%
Auto Repair Shops 6,130 8.6% 4.6% -2.1%
Electronics/Appliance Stores 5,978 -4.4% -4.5% -2.6%
Contractors 3,330 -29.0% -21.8% 4.2%
Specialty Stores 2,616 11.4% 8.4% -1.9%
*Allocation aberrations have been adjusted to reflect sales activity

REVENUE BY BUSINESS GROUP
Susanville This Quarter*
40%
Pools
11%
Restaurants
10%
Autos/Trans.
20%
Cons.Goods
5%
Food/Drug
7%
Fuel
7%
Others
*ADJUSTED FOR

ECONOMIC DATA
1Q 2026 CITY OF SUSANVILLE SALES TAX UPDATE

STATEWIDE RESULTS
California’s local one cent sales and use
tax receipts posted moderate growth
during the first quarter, reflecting resilient
consumer behavior despite persistent
economic headwinds. For the months
of January through March, revenues
increased 4% from the year ago quarter
after adjusting for accounting anomalies.

Strong consumer spending patterns did
not falter and was the main reason of
growth, partially enhanced by larger-thanexpected income tax refunds. Both online retailers and brick and mortar merchants
experienced dynamic changes over
last year that far exceed expectations.

E-commerce remains the platform of
choice providing convenience, broad
product availability, and flexible payment
options – benefitting the business-industry
sector and allocations via the countywide
use tax pool. Family apparel and discount
department stores both boosted general
consumer goods the most, with a slight
bump in gas prices further pushing returns
from multiple vendors.

Patronage at restaurants resulted in a

4.2% year over year jump. With demand
constrained due to increasing pricesensitivity and slower foot traffic, gains by all types of eateries signaled underlying
resolve to dine out. Temporary events
further contributed to the positive
outcome – Southern California wildfires
hindered 2025 and the Super Bowl lifting
2026.

The first quarter also included the initial
impacts of elevated tensions in the
Middle East which drove West Texas
Intermediate crude oil prices above $95
per barrel. This had an immediate impact
on local gas prices resulting in a modest
bump to receipts from gas stations and
created large amounts of uncertainty. At
the time of writing, the conflict appears to
have subsided with the Strait of Hurmuz
reopened reducing the possibility of future
strain.

Autos-transportation posted a nominal
gain in first quarter 2026, as higher average
transaction prices offset weaker unit sales.

These price increases reflected tariff
impacts reaching consumers after months
of absorption by automakers, along with
rising material costs. As in the prior quarter,
the transition to the new DMV payment
system for used vehicle dealers under AB
85 modestly reduced cash receipts, with
adjustments still pending.

Overall, the short-term outlook remains
cautiously optimistic. Normal consumer
spending combined with multiple host sites
of World Cup matches and corresponding
tourism should sustain growth, albeit
varied regionally. The Middle East conflict
temporarily resulted in $6 per gallon
average peak pricing during the start of the
summer months. The forecast is coupled
with a national inflation rate that anticipates
an upward trend leaving little room for the
Federal Reserve to alter interest rates in a
favorable way for consumers, potentially
slowing down the retail economy.

888.861.0220 | [email protected] | hdlcompanies.com

CALIFORNIA FORECAST

SALES TAX TRENDS & ECONOMIC DRIVERS
MARCH 2026
San Diego, CA

STATEWIDE

SALES TAX TRENDS
2025/26 | 2026/27 2025/26 | 2026/27
Overview: Amid ongoing global events, political volatility, and consumer uncertainty surrounding both the California and national economies, near‑term sales tax revenues are still expected to post modest growth. Fiscal year 2025–26 projections are consistent with expectations set in the second quarter of 2025, reflecting a broadly stable outlook, and gradually improving statewide sales tax revenues. Consumers remain attentive to inflation trends, tariff‑related price changes, interest rate movements, and fuel costs. Despite these pressures, overall spending patterns have demonstrated resilience. Household demand is expected to remain steady, supporting moderate gains over the coming year even as pockets of unpredictability persist across numerous sectors.

Fuel/Service Stations 1.3% | 3.9%
Fuel‑related taxable sales entered 2026 with significant volatility following a weaker outcome in fourth quarter 2025. Geopolitical tensions involving Iran drove sharp swings in crude markets, with West Texas Intermediate (WTI) prices fluctuating between $80 and $120 per barrel in March. As a general benchmark, every $10 increase in WTI prices translates into an approximate $0.24 increase per gallon at California pumps. Structural supply pressures— including the closure of the Phillips 66 refinery in Los Angeles and the scheduled shutdown of Valero’s Benicia refinery in April along with CARB regulations—are compounding upward price risks. While short‑term price volatility may temporarily lift taxable sales, long‑term growth in this group continues to average near 2% annually.

General Consumer Goods 1.1% | 1.2%
Brick‑and‑mortar retailers maintained momentum in late 2025, posting year‑over‑year growth of 0.8%. Gains were concentrated in family apparel, led by off‑price retailers and the continuous expansion of athleisure brands. As 2026 unfolds, comparisons will be influenced by last year’s national retail boycotts, which weighed on in‑store sales at major chains. A partial rebound is anticipated, supported by larger tax refunds in the first half of the year. While tariff‑related uncertainties linger, conditions across general consumer goods are expected to stabilize. Retail risk has increasingly shifted toward secondary impacts from fuel price volatility and geopolitical disruptions; discretionary spending could contract in the coming months.

Restaurants/Hotels 1.8% | 1.9%
Consumers remain highly value‑conscious, and the restaurant industry continues to contend with elevated labor and operational costs. Several national chains are closing underperforming locations while reallocating resources toward higher‑growth markets. Despite these pressures, the outlook includes notable upside. California hosted the Super Bowl in 2026 and will do so again in 2027, alongside multiple World Cup matches in 2026 and the Olympic Games in 2028. These events reliably boost visitor spending, generating meaningful revenue gains for restaurants and hotels in host regions and lifting statewide averages.

State and County Pools 5.3% | 2.5%
Use tax pool collections exceeded expectations in the fourth quarter of 2025, driven largely by e‑commerce marketplace sellers and retailers with a strong online presence. Additional one‑time gains were observed in select counties from business‑related segments such as energy-utilities and the Franchise Tax Board for self-reported sales activity. The long‑term trend remains clear: an increasing share of consumer retail revenue is generated through internet‑based transactions. Substantial company investment in AI‑enabled platforms and digital fulfillment is expected to further expand the pool tax base in coming years.

Autos/Transportation -0.5% | 2.5%
The expiration of federal electric vehicle tax credits in September 2025 caused a sharper‑than‑anticipated 4Q25 decline in auto sales as many consumers advanced purchases to take advantage of the incentive. Consequently, the current‑year forecast is modestly revised downward. Additional uncertainty stems from the onset of conflict involving Iran, which contributed to higher fuel prices. This dynamic temporarily delayed vehicle purchases and may shift consumer preferences toward more affordable, fuel‑efficient models. Still, the sector’s longer‑term outlook remains constructive. The historically high average age of the nation’s vehicle fleet points to significant pent‑up demand that is expected to support renewed growth and a gradual return to normalized sales conditions beyond 2026.

Building/Construction -2.2% | 1.3%
Activity in this category remained largely unchanged compared to the third quarter of 2025. The expiration of the 30% federal solar investment tax credit on December 31 drove a short‑term increase in sales for some material suppliers and electrical contractors.

Infrastructure projects had limited direct impact as materials were often sourced through suppliers classified under business and industry. Roofing activity saw a modest uptick, though gains were concentrated among a small number of contractors. Based on patterns observed following 2022 heavy rainfall, more significant repair activity is anticipated to begin during the summer months.

First‑quarter results for large home improvement retailers may appear softer due to year‑ago calendar and tax allocation anomalies.

Business/Industry 2.3% | 3.0%
Business and industry produced a net positive result in the quarter, buoyed primarily by constant expansion in e‑commerce. Consumers leaned heavily into the convenience of mobile‑enabled online shopping during the winter season. California‑based fulfillment centers accounted for an estimated 34% of revenues, helping to offset softness elsewhere. YoY comparisons were affected by one‑time technology and energy‑related payments recorded in the prior year. While industrial segments continue to face challenges related to capital financing costs and tariffs, the statewide forecast remains cautiously optimistic.

Growth is expected to be driven by AI‑integrated technologies, logistics efficiencies, and continued e‑commerce adoption.

Food/Drugs -1.7 | 0.4%
Grocery stores recorded a modest uptick, 0.8%, reflecting the sustained rise of online ordering and click‑and‑collect services. Viral social media trends created sudden surges in demand for specific products, accelerating turnover cycles. Convenience stores and liquor markets experienced contraction, although many operators are attempting to stabilize traffic by expanding prepared food offerings.

Cannabis retailers posted positive results, as vape products surpassed traditional flower in sales for the first time. Drug stores, however, continued to struggle amid widespread closures, contributing to the emergence of ‘pharmacy deserts’ in urban and under-served areas. Overall, tax filings are expected to soften further through the remainder of the fiscal year.

TOTAL 1.8% | 2.2%
2025/26 | 2026/27
HdL Companies California Forecast
March 2026

Proposition 172
Statewide Proposition 172 revenues declined a modest 0.3% in fiscal year 2024–25, following a similar decrease of 0.9% the prior year. Growth is forecast to resume, with projected increases of 0.9% in 2025–26 and 1.8% in 2026–27. Current county estimates rely on pro‑rata allocation factors issued by the State Controller’s Office in July 2025, based on updated 2024 data. These factors are expected to change with the release of calendar year 2025 sales tax results in April 2026. As Bradley‑Burns sales tax data often shift due to audits and taxpayer adjustments, Proposition 172 revenues will continue to vary by county.

NATIONAL AND STATEWIDE

ECONOMIC DRIVERS
U.S. Real GDP Growth 2.5% | 2.2%
The year is progressing amid domestic unease and foreign policy shocks in the Middle East. Uncertainty remains elevated, and consumer confidence has plunged to near record lows. Still, the big picture reveals that very little has changed in the U.S. economy over the last year. The federal government shutdown left much of the core data lagging, but what did filter through points to more of the same—decent economic growth despite soft labor markets. Real GDP grew 2.2% in 2025, confirming Beacon Economics’ view that the economy would remain stable in the near term. Heading into the second half of 2026, the nation’s economy appears set for a modest acceleration, with the Federal Reserve and Congress moving into stimulus mode.

CA Unemployment Rate 5.5% | 5.3%
California’s unemployment rate has remained stable, reaching 5.6% in September 2025 and staying within a narrow 5.4% to 5.6% range over the past year. The consistency of the rate indicates that the labor market has settled into a new equilibrium. Labor market flows have slowed, with hiring no longer keeping pace with worker separations, limiting net job growth. Increases in unemployment have been concentrated among labor force re-entrants and longerduration job seekers, while job losses have remained stable.

Together, these patterns point to slower job switching and longer job searches, rather than an increase in layoffs, keeping unemployment elevated even as the labor market avoids broader deterioration.

CA Total Nonfarm
Employment Growth 0.2% | 0.2%
In California, hiring has remained soft since the pandemic, labor force growth continues to lag the nation, and unemployment remains high.

Demand for workers has cooled but not evaporated. Job postings are now roughly in line with 2015 levels, well below both the recent hiring surge and the pre‑pandemic period. The state’s labor market will remain soft in the near term, with modest employment gains and elevated unemployment. California’s ability to sustain growth will depend on expanding housing supply and restoring population growth. Without progress on these fronts, demographic aging and labor force constraints will continue to weigh on the state’s economic growth, even with favorable conditions nationwide.

U.S. Unemployment Rate 4.4% | 4.5%
The nation’s unemployment rate, now 4.4%, has gradually increased over the last two years. Uncertainty is partly to blame for soft labor markets, despite a growing economy. This prevents employers from pursuing aggressive expansion plans, and AI may have slightly reduced demand for certain jobs. The concentration of softness at the entry level (younger workers) seems to support the AI claim.

But the deeper truth is that U.S. labor markets aren’t as soft as they appear. Claims for unemployment insurance remain very low, and the job-openings rate is still 4.5%—a historically normal level.

The real issue is flat or even contracting labor supply due to policy shifts related to undocumented immigrants. Current policies have essentially halted in immigration into the United States, a challenge being masked by these short-term fluctuations in labor demand.

CA Residential
Building Permits 94,175 | 102,021
Over the past decade, California permitted an average of approximately 9,000 single- and multifamily housing units per month. For FY 2026, permits in the state are on track to reach around 105,000; not nearly enough to meaningfully expand supply. Under the 2021–2029 RHNA cycle, California jurisdictions are expected to accommodate about 2.5 million units statewide, or roughly 312,000 units per year. Actual production, even in strong years, has typically been between 100,000 to 130,000 units annually, meaning the state has been building about one-third of what planners estimate is needed to keep up with demand and address existing undersupply.

CA Median Existing
Home Price $741,508 | $747.246
California’s housing market has cooled, but that hasn’t translated into meaningful price relief. Unsold inventory has rebounded from pandemic lows but remains below pre-pandemic levels; 20% lower than 2015. With listings still limited, price growth has slowed, but not fallen. Current trends look similar to the pre-pandemic period.

Local resistance to new development is still strong, and without sustained increases in housing production, supply constraints will prevent significant declines in home prices across the state. 2025/26 | 2026/27 2025/26 | 2026/27
HdL Companies California Forecast
March 2026
Watch our webinar
for more details!

Beacon Economics LLC
310.571.3399 | BeaconEcon.com
Beacon Economics has proven to be one of the most thorough and accurate economic research/analytical forecasting firms in the country. Their evaluation of the key drivers impacting local economies and tax revenues provides additional perspective to HdL’s quarterly consensus updates. The collaboration and sharing of information between Beacon and HdL helps both companies enhance the accuracy of the work that they perform for their respective clients.

HdL Companies
888.861.0220 | [email protected] | hdlcompanies.com California’s allocation data trails actual sales activity by three to six months. HdL compensates for the lack of current information by reviewing the latest reports, statistics and perspectives from fifty or more economists, analysts and trade associations to reach a consensus on probable trends for coming quarters. The forecast is used to help project revenues based on statewide formulas and for reference in tailoring sales tax estimates appropriate to each client’s specific demographics, tax base and regional trends.

Delivering Insight, Revenue, and Efficiency
to Local Government

National and Statewide Economic Drivers
California Consensus
Forecast Report
June 2026

STATEWIDE

SALES TAX TRENDS
2025/26 | 2026/27 2025/26 | 2026/27
Overview: Recent sales tax analysis continues to diverge from broader economic sentiment, even as consumer confidence reached a low point in May. Despite this, spending on taxable goods and services is projected to finish FY 2025–26 approximately 3% above prior-year results, with modest growth expected in the coming year. Across sectors, inflation, interest rates, and price increases remain key factors influencing future revenues. While spending patterns vary across household income levels, recent trends point to a resilient economy. Overall, the near-term outlook remains positive heading into FY 2026–27.

Fuel and Service Stations 3.6% | 7.0%
Merchants reported stronger-than-expected first-quarter 2026 remittances, driven by elevated fuel prices. Since March, geopolitical tensions involving Iran have contributed to significant volatility in global crude oil markets, placing upward pressure on prices.

California’s market also faces structural supply constraints following the closure of the Phillips 66 Los Angeles refinery and production cessation at Valero’s Benicia facilities. As a result, forecasts spanning 2Q 2026 through 1Q 2027 have been revised upward compared to the prior March Consensus Forecast. Beginning in 2Q 2027, petroleum prices are expected to gradually moderate, leading to projected declines in taxable sales for the latter half of FY 2026–27 and into FY 2027–28 as conditions normalize.

General Consumer Goods 1.7% | 1.5%
Brick-and-mortar retail sales rebounded, increasing 3.5% compared to the same quarter a year earlier. Growth was driven by favorable comparisons in apparel, strong performance among discount department stores, and continued momentum in luxury segments such as designer brands and jewelry. Results were further supported by stable spending among higher-income households and larger-than-expected tax refunds. However, growth likely overstates underlying momentum, as early 2025 comparisons were depressed by national boycotts and wildfire-related disruptions.

Looking ahead, rising gasoline prices, persistent inflation, and increasing pressure on disposable income are expected to weigh on consumer spending through the remainder of 2026.

Restaurants and Hotels 2.5% | 2.0%
California’s restaurant and hotel industries entered 2026 in a mixed but increasingly strained position. Consumer demand for dining remained relatively strong, supported by off-premise sales and greater high dining frequency. However, patronage became more uneven and increasingly price-sensitive, particularly among lower- and middle-income households. Tax refunds
provided a temporary boost to spending. At the same time, major event-driven activity—especially surrounding the Super Bowl—exceeded expectations, strengthening performance
in key hospitality markets. This has contributed to cautious optimism for future demand, particularly with upcoming largescale events such as the World Cup and next year’s Super Bowl.

County and State Pools 7.7% | 4.3%
Evidence-based analysis indicates that consumers increasingly relied on online purchasing, supported by convenience, broad product availability, and flexible payment options. As a result, pool tax revenues rose sharply, with first-quarter 2026 receipts increasing 10% over year-ago levels. A portion of this growth reflects changes in tax reporting following a recent CDTFA audit decision. All top ten reporting segments recorded positive results. In addition to consumerdriven gains, business-related sectors—including medical/biotech, energy, and light industrial—contributed to improved performance.

Pool revenues are expected to increase significantly this fiscal year and capture a larger share of total retail spending in the coming year.

Autos and Transportation -0.3% | 2.5%
This category posted a slight gain in the first quarter of 2026, as higher average transaction prices offset weaker unit sales. These price increases reflect tariff impacts increasingly reaching consumers after a period of absorption by automakers, along with rising material costs. As in the prior quarter, the transition to the new DMV payment system for used vehicle dealers under AB 85 modestly reduced agency cash receipts, with adjustments still pending. Elevated vehicle prices, ongoing economic uncertainty, and consumer caution are expected to constrain unit sales in the near term. However, longer-term projections remain supported by substantial pentup demand, driven by the record age of the nation’s vehicle fleet.

Building and Construction -1.8% | -0.2%
Overall activity declined during the period, though some subsectors experienced growth. Roofing material sales increased modestly as property owners delayed major repairs from winter storm damage until the summer months. Infrastructure activity strengthened, with increased demand for concrete reversing several quarters of weakness. Home improvement retailers reported mixed results. In cases where sales rose more than modestly, gains are expected to be temporary, supported primarily by the use of income tax refunds.

Businesses tied to residential solar installations were negatively impacted by the expiration of the 30% federal tax credit, resulting in significant declines in sales volumes compared to last year.

Minimal change is anticipated in tax collections for the coming year.

Business and Industry 3.1% | 3.0%
Customers continued to prioritize the convenience of online and mobile purchasing, with in-state fulfillment centers accounting for approximately one-third of revenues. This concentration helped offset weakness in other segments, as well as shifts of some fulfillment-related revenues into countywide pools. Yearover-year comparisons were reduced by one-time transportation payments and elevated energy and utility returns in the first quarter of 2025, which are not expected to recur at similar levels. The outlook remains cautiously optimistic. Growth expectations are supported by continued expansion in e-commerce and adoption of AI-enabled technologies, though the pace will vary depending on the size, structure, and adaptability of local businesses.

Food and Drug -0.9% | 0.0%
Grocery store profits softened due to shifting food consumption patterns among GLP-1 users, increased interest in multicultural cuisines, and heightened competition from discount retailers.

Convenience stores reported encouraging results as they continue evolving into premium food-service destinations, emphasizing highquality, fresh, and made-to-order options to compete with fast casual restaurants. Cannabis sales showed modest improvement, with infused beverages emerging as one of the fastest-growing product segments. Drug stores faced continued challenges, including store closures. Remaining operators are focusing on capturing market share in an increasingly competitive environment. Overall revenues decline slightly in the current year, are flat in FY 2026–27.

TOTAL 2.7% | 2.3%
2025/26 | 2026/27
HdL Companies California Forecast
June 2026

NATIONAL AND STATEWIDE

ECONOMIC DRIVERS
U.S. Real GDP Growth 2.2% | 2.4%
The U.S. economy grew by 2.1% last year, representing slower expansion than the prior two years, partly due to reduced public spending and a prolonged government shutdown late in the year. Growth eased further to 1.6% in the first quarter of 2026, largely reflecting a sharp widening in the trade deficit earlier in the year. Continued investment in U.S. Treasury markets is expected to support ongoing economic expansion. However, the outlook depends on investor confidence, and future shifts in market sentiment could influence borrowing conditions and increase concerns about the sustainability of U.S. debt financing.

CA Unemployment Rate 5.4% | 5.2%
Although AI is often cited in recent layoff announcements, there has been no meaningful increase in the overall layoff rate or in initial unemployment insurance claims. This is true nationally as well as in technology-heavy California, where one might expect AI-related displacement to be most visible. In fact, continuing unemployment claims have drifted downward over the past year, suggesting that displaced workers are still finding jobs relatively quickly.

CA Total Nonfarm
Employment Growth 0.8% | 0.4%
California’s labor market is experiencing a significant slowdown in hiring. The state is tied with two other states for the highest unemployment rate in the nation, and job growth has been largely concentrated in the Health Care sector. Absent gains in Health Care employment, total jobs would be approximately 120,000 below prepandemic levels and roughly 253,000 fewer jobs when compared to the post-pandemic peak in the second half 2022, with notable declines in the Bay Area and Southern California. Labor market conditions reflect limited hiring activity across most industries outside of Health Care.

U.S. Unemployment Rate 4.3% | 4.3%
Despite concern about AI, labor markets remain relatively steady.

The U.S. economy has been adding jobs at a moderate pace, averaging slightly more than 100,000 new jobs per month in 2026. April’s job openings rate rose to 4.6%, the highest level since January 2025, while the unemployment rate held at 4.3% in May. The sharp decline in immigration last year temporarily reduced labor force growth, but this appears to have been a shortterm disruption rather than a lasting structural change. Overall, labor market trends are stabilizing at a slower, more typical pace.

CA Residential
Building Permits 107,578 | 99,253
The slight cooling in home prices does not appear to be driven by a meaningful expansion in California’s housing supply. State policymakers enacted several measures in recent legislative sessions aimed at encouraging development (including AB 130 and SB 9), but these measures have not yet generated a noticeable acceleration in new residential permits. Year-to-date, permit issuance in California has increased, with FY-2026 on pace to be the strongest year since FY-2022, although still below the state’s housing production targets.

CA Median Existing
Home Price $762,314 | $772,608
Soft labor market conditions help explain the sluggish housing market.

Year-to-date home sales in FY-2026 are roughly in line with FY-2025, but inventories have risen to a multi-year high, placing downward pressure on price appreciation. Approximately one in four homes sold had a price reduction, improving conditions for buyers. The estimated monthly mortgage cost based on the median list price declined 2.7% compared to a year ago and down 0.6% compared to the start of 2026. The housing market is still largely frozen but continues to thaw. 2026/27 | 2027/28 2026/27 | 2027/28
HdL Companies California Forecast
June 2026
Proposition 172 Note
Statewide Proposition 172 (P-172) revenues declined by 0.3% in fiscal year 2024–25, following a 0.9% decrease in the prior year.

The forecast projects modest growth of 2.1% in both FY 2025–26 and FY 2026–27. Current county projections are based on pro-rata allocation factors from the State Controller’s Office (April 2026), derived from calendar year 2025 data. Because Bradley-Burns sales tax results can shift due to audits, taxpayer adjustments, and changing economic conditions, these allocation factors—and resulting P-172 revenues—will vary across counties.

Watch our webinar
for more details!

888.861.0220 | [email protected] | hdlcompanies.com Delivering Insight, Revenue, and Efficiency
to Local Government
Beacon Economics LLC
310.571.3399 | BeaconEcon.com
Beacon Economics has proven to be one of the most thorough and accurate economic research/analytical forecasting firms in the country. Their evaluation of the key drivers impacting local economies and tax revenues provides additional perspective to HdL’s quarterly consensus updates. The collaboration and sharing of information between Beacon and HdL helps both companies enhance the accuracy of the work that they perform for their respective clients.

HdL Companies
888.861.0220 | [email protected] | hdlcompanies.com California’s allocation data trails actual sales activity by three to six months. HdL compensates for the lack of current information by reviewing the latest reports, statistics and perspectives from fifty or more economists, analysts and trade associations to reach a consensus on probable trends for coming quarters. The forecast is used to help project revenues based on statewide formulas and for reference in tailoring sales tax estimates appropriate to each client’s specific demographics, tax base and regional trends.

STATE OF CALIFORNIA

GASOLINE AND DIESEL TRENDS
% Change from Same Qtr Prior Year -2.20% -6.99% -1.89% 2.12% 4.69% 27.07% 31.00% 24.88% 18.38% % Change from Prior Quarter 2.91% 4.31% -4.89% 0.03% 5.49% 26.61% -1.95% -4.64% 0.00% Average Price Per Gallon $4.64 $4.84 $4.60 $4.60 $4.86 $6.15 $6.03 $5.75 $5.75 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 4Q26 1Q27

2.5B

2.9B

3.3B

3.7B

4.0B

4.4B

4.8B

5.2B
4Q
20 2Q
21 4Q
21 2Q
22 4Q
22 2Q
23 4Q
23 2Q
24 4Q
24 2Q
25 4Q
25 2Q
26 4Q
26 $2.40
$3.06
$3.71
$4.37
$5.03
$5.69
$6.34
$7.00
Gasoline Prices and Sales
Average Price Per Gallon Taxable Sales in Gallons
- Estimate
Gasoline Data * * * *
*
Diesel Prices and Sales
680.0M
797.1M
914.3M
1,031.4M
1,148.6M
1,265.7M
1,382.9M
1,500.0M
4Q
20 2Q
21 4Q
21 2Q
22 4Q
22 2Q
23 4Q
23 2Q
24 4Q
24 2Q
25 4Q
25 $2.00
$2.71
$3.43
$4.14
$4.86
$5.57
$6.29
$7.00
Average Price Per Gallon Taxable Sales in Gallons
HdL • 909.861.4335 • www.hdlcompanies.com Page 1 of 1
Sources: Board of Equalization, California Department of Tax and Fee Administration, Energy Information Administration, The HdL Companies

How a Gallon of Gasoline Is Priced in California
• Global Oil Market (Current Driver): Ongoing Middle East conflict has driven crude oil above $100/barrel, putting immediate pressure on gasoline and diesel prices.
• Crude Oil (Base Input): Largest underlying cost component, driven by global supply and demand.
• Refining (CARB-Compliant Fuel Production): California-specific refining requirements often create the largest and most volatile markup.
• Wholesale / Rack Price: Regional market pricing reflects refinery outages and supply constraints.
• Distribution & Transportation: Pipelines, trucking, and storage. • Excise & Environmental Costs: Federal excise tax, California excise tax, and program costs such as Cap-and-Trade / LCFS.
• Retail Station Costs & Margin: Labor, rent, operations, and credit card fees.
• Sales Tax (Applied at the End): Bradley-Burns 1% plus local Transactions & Use Tax, which varies by jurisdiction.

Global shock
Crude + refined products reprice
↓
Crude oil
Base commodity input
↓
Refining
CARB gasoline production
↓
Taxes & fees
Excise + environmental
↓
Retail price
Station margin
↓
Sales tax
Bradley-Burns + local TUT
California pump prices are structurally higher because of environmental standards, limited refining capacity, and supply constraints.

Breaking Down a $6.00 Gallon (All-In Price)
Final Pump Price
$6.00
Sales Tax (1% BB + 1% TUT)
$0.12
Pre-Sales Tax
$5.88
Crude Oil $2.40
Refining (CARB) $1.50
Wholesale, Distribution & Supplier Margin
(Rack Price)
$0.45
Federal Excise Tax $0.18
CA State Excise Tax $0.60
Environmental Programs $0.25
Retail Costs & Margin $0.50
Sales Tax (1% BB + 1% TUT) $0.12
Total (Final Pump Price) $6.00

Key Takeaways: Fuel Prices and Sales Tax Impact
Current market conditions
California average price across grades is about $5.97. Crude prices above $100/barrel and Middle East conflict have pushed gasoline and diesel materially higher.

Why this matters for revenue
Sales tax is embedded in the retail price. As prices rise, taxable sales rise automatically even if gallons sold soften.

Relationship to the forecast
Historical price-to-revenue relationship is about 70%, but the current working range is 75% to 85% given stronger structural pricing pressure.

Why the relationship is stronger now
Refinery closures, CARB fuel requirements, and global crude shocks are feeding directly into California pump prices.

Offsetting factors
Higher prices can reduce consumption and trigger behavioral changes, which is why the pass-through is less than 100%.

Forecast implication
Upward revisions are likely needed for 2026, with the strongest pressure in Q2 and Q3, with elevated levels likely through Q4.

Bottom line: fuel tax revenue is being driven more by structural pricing pressure than by volume growth.

Agenda Item No. 15.A.

Standard Workflow
City Council Agenda Item
Submitted By: Heidi Whitlock, City Clerk
Action Date: October 7, 2026
Subject: Future Council Items
Presented By: Chandra Jabbs, Acting City Manager/Finance Director Summary: Council may provide direction to staff to bring back items for discussion or action at a future meeting.

Fiscal Impact: None.

Action Requested: Possible direction to staff.

Attachments:

1. 261007.Future.Items.List

7/1/2026 Request made to consider a discussion item related to the expansion of the Skate Park
7/15/2026 Request made to waive/reduce fees associated with the liens on 17 Orange Street 8/5/2026 Request made to consider an overall nuisance item 8/19/2026 Request made to address the dumping of animals in Susanville 8/19/2026 Request made to address the unsafe manner in which children are operating motorized scooters.
9/2/2026 Request made to provide transparancy related to the hiring of the Public Safety Chief
9/2/2026 Request made to continue consideration of the skatepark project. 9/16/2026 Request made to consider Veteran's Day Proclamation 7/15/2026 Request made to bring back an animal control item 8/5/2026 Request made to bring back a discussion item related to possible grant writers to assist with parks projects.
8/5/2026 Request to have a short-term and long-term nuisance item brought back to include burned out buildings, dog control, and 1409 Fourth Street. 8/19/2026 Request made for a quarterly pool report to be presented to the Council. 9/2/2026 Request made to bring back a skatepark discussion due to the upcoming grant cycle 9/2/2026 Request made to bring back quarterly reports for all meetings/commissions that Council members sit on to be heard under Council Announcements. 9/16/2026 Request made to bring back a discussion item related to a possible budget amendment to fund a ful time animal cntrol officer.
9/16/2026 Request made to bring back a discussion item related the the K9 Program. Item to be included in mid-year budget discussion.
7/15/2026 Request made to bring back an update on the Frank Ernaga Ball Field at Memorial Park. - 8/5/2026
7/1/2026 Request made to bring a discussion item regarding the Skatepark at Memorial Park - 8/19/26
8/5/2026 Request made to consider a rezone of the Credence School - 9/2/26 7/15/2026 Request made to revisit the issues at 1409 Fourth Street -9/16/2026 8/5/2026 Request made to address issues at 1409 Fourth Street -9/16/26 LAST THREE MONTHS (7/1/2026 to current)

BUSINESS FROM THE FLOOR
Council requested - FUTURE COUNCIL ITEMS
Completed List Items