Turlock City Council
December 9, 2025

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5.2.4 RFQ Documents
The requesting department shall prepare RFQ documents under the supervision of the Purchasing Officer. Purchasing shall establish a preliminary schedule of events with the department, based upon the anticipated date of advertisement, which designates the date upon which all changes, comments, and required approvals must be submitted. Such a schedule shall permit a sufficient time period for review of the contract documents by the individuals involved.

5.2.4.1 Although the provisions and requirements in RFQ documents may vary, the RFQ documents shall, at a minimum, contain the following items:
a. Notice Requesting Statements of Qualifications/Proposals. The notice requesting proposals ("Notice") is a publicly advertised document that notifies potential proposers of the title and nature of the contract, the date for a Pre-Proposal Conference, if one is scheduled, and establishes the subsequent date and time by which proposals must be submitted to the City.
b. The Purchasing Officer or authorized designee shall publicly advertise the Notice, which shall refer to and incorporate by reference all RFQ documents (i.e., the General Conditions and Instructions to Proposer, the Special Provisions, the Technical Specifications, and other certificates, forms, and documents), and shall designate the method for obtaining copies of such documents. c. General Conditions and Instructions to Proposer. The General Conditions and Instructions to Proposer ("General Conditions") sets forth standard terms and conditions that govern the contractual relationship between the successful Proposer and the City.
d. Special Provisions. Special Provisions prescribe terms and conditions specifically tailored to the particular contract being sought.
e. Pre-Proposal Conference. If a Pre-Proposal Conference is scheduled, the Notice shall advise of the date, time, and location of the conference. An attendance signin sheet will be used as a permanent record of the Pre-Proposal Conference and shall contain the names, contact information, and business affiliations of all Proposers and other interested persons in attendance.
f. Qualifications of Proposers. Because the nature of professional services obtained through the RFQ process is such that the qualifications of the Proposers are essential evaluation criteria, Purchasing includes among the RFQ documents a clause setting forth such qualifications, and contracts for services also contain such clauses. In addition, contracts for the provision of supplies, equipment, and materials, where a specially-manufactured product or technical guidance and advice are called for, also contain provisions regarding Proposer qualifications.

Such provisions shall clearly state that the City may reject any proposal that does not meet the requirements stated in the qualification’s clause. Included in such clause will be requirements that Proposers demonstrate they are regularly

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engaged in the provision of the work or product called for in the contract, and that they have the necessary experience, training, licenses or certifications, resources, facilities, and personnel to perform such work. g. Proposers must attest that they have previously and satisfactorily performed work with characteristics comparable to those specified in the contract. h. Proposers may be required to furnish adequate references.

The requesting department may, at its option, prepare and include with the RFQ documents a form to be completed by Proposers that will cover the qualification requirements described herein.

5.2.4.2 Scope of Work / Services.

A. The RFQ includes the scope of work and services being requested, applicable terms and conditions, the time in which the project must be completed, requirements concerning coordination with other entities, other information that may be useful in preparation of the proposal, and evaluation criteria specifically tailored to the project. Such criteria must include the consultant's proven experience and competence, bondability, insurability, understanding of the scope of work, financial ability, resources to perform the work, willingness to cooperate with City Purchasing and technical staff, and proposed method for assuring timely and acceptable performance and management of the work. If the City assigns weighted valuesto the evaluation criteria, such values shall be indicated in the RFQ.

B. In addition, résumés of the consultant's staff may be requested to allow the evaluation committee to determine the staff’s training, education, experience, and overall competence to perform the work. Specifications must include detailed descriptions of the qualitative and quantitative nature of the services to be procured. They must also set forth the minimum essential characteristics and standards to which the work must conform to satisfy the City's intended use.

C. The use of blueprints, diagrams, charts, and maps is encouraged to clarify the specifications requirements. Specifications shall not be drafted to unduly restrict competition. Brand names may be used in Technical Specifications only when it is impractical or uneconomical to specify clear and adequate descriptions of the technical requirements for a particular type of needed product. In all cases where brand names are used, Proposersshall be afforded the opportunity to propose to the City a substitute alternate product of equal quality or value. The City's decision to approve or disapprove such alternative product shall be final and binding on the Proposer.

Note that additional restrictions may apply to federally funded procurements.

Refer to Section 7 for additional details.

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5.2.4.3 Pricing Schedule
A. Whenever reasonable and appropriate, pricing may be requested in the RFQ. If pricing is requested, the RFQ should specify that pricing should be provided in a separate file. In some cases, the RFQ may solicit a labor fee schedule for all categories of personnel to be utilized by the consultant in connection with the project, and a total proposed project budget. The Proposer's completion of the Pricing Schedule shall constitute both the Proposer's prices and acceptance of all the terms and conditions contained in the RFQ documents unless exceptions are thereto so noted and approved by the City.

B. Purchasing shall develop the Pricing Schedule in coordination with the requesting department. The Pricing Schedule may seek separate cost quotations for all relevant aspects of the procurement. In all cases, the Pricing Schedule shall be structured to establish a starting point for negotiations and to allow the City to make a reasonable project cost determination. In no case shall such pricing be used to objectively compare RFQ submittals.

5.2.4.4 Advertisement
A. Purchasing will publish the Invitation to RFQ electronically, and when required by the funding agency or by law, in at least one newspaper of general circulation.

The advertisement shall state the time and place for the receiving of proposals and shall describe in general terms the work to be done.

B. Generally, RFQs will be open 14-30 days. The Purchasing Officer will determine the number of days RFQs will be open based on the nature and complexity of the goods or services being procured. City employees, and consultants or contractors under the supervision of City employees, shall refrain from discussing details of the requested goods or services with prospective proposers, unless so authorized by Purchasing.

5.2.4.5 Addenda
A. All proposer questions will be entered and answered in the e-procurement portal.

All proposers shall be able to access the questions and answers through the eprocurement portal, to prevent any one proposer from obtaining an unfair advantage.

B. Any necessary changes, modifications, or adjustments to specifications, requirements, or quantities shall be authorized and publicized by Purchasing. No private modifications shall be made. Once the RFQ has been published, all changes necessary to correct any errors in the RFQ documents, to extend deadlines, or to otherwise revise the RFQ documents, shall be accomplished through the issuance of a written Addendum, authorized and publicized by Purchasing. No private modifications shall be made.

C. All technical Addenda shall be drafted by the requesting department and shall be reviewed and approved by Purchasing before publishing. Addenda shall identify the RFQ number and title, date of issuance, Addendum number, and specific

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reference to the provisions in the RFQ documents being amended and the substance of such amendment.

D. Purchasing shall publicly issue the addendum so that it is available to all firms or persons, except in the cases of RFQs that require mandatory attendance of PreProposal/Site Inspection Conference(s), in which case only those vendors in attendance may be forwarded addenda.

5.2.4.6 Proposal Submittals
A. Proposal submittals shall be submitted electronically through the e-procurement portal before the time and date specified in the RFQ documents. Proposals may be submitted physically or electronically, at the discretion of the City.

B. The e-procurement software will date and time stamp proposal submittals as they are received. Any proposals received after the specified date and time proposals are due will not be accepted by the e-procurement software.

C. Proposals are not subject to public examination until the City has made an award announcement. Following the specified date and hours proposals are due, the eprocurement software will prevent Proposers from changing their proposal, except to correct errors or provide additional information, at the discretion and request of Purchasing. Original RFQ and proposal documents shall be retained on file in the e-procurement software until no longer required by the City's Record Retention Policy, or by applicable law.

5.2.5 Evaluation
Proposals are not subject to public examination until the City has made an award announcement. At a minimum, Proposals shall be reviewed by the Purchasing Officer or authorized designee. The Project Coordinator and other City personnel with appropriate technical expertise shall also be included in the review process, as necessary.

5.2.5.1 Criteria
The award shall be made to the Proposer whose proposal is determined in writing to best meet the criteria set forth in the RFQ. The review shall adhere strictly to the evaluation criteria set out in the RFQ and discussed at the PreProposal Conference (if applicable); no discriminatory waiver of criteria shall be allowed. The conclusions of the reviewers shall be summarized on the scoring matrix and/or in a memorandum.

5.2.5.2 Selection Process
A. The City shall establish an Evaluation Committee (EC) composed of representatives from the City for the purpose of evaluating the proposals received in response to an RFQ. The City may include as part of the Committee qualified representatives from other agencies or entities. Each EC member shall attest in writing or electronically that they do not have a conflict of interest in

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serving in that role for the specified solicitation.

B. Proposal documentation requirements shall be set forth in the RFQ to provide guidance regarding the information considered by the EC. The EC shall be responsible for performing the evaluations of each proposal based on the stated criteria.

C. Each member of the EC shall rate the proposals separately unless the proposals are technical in nature, in which case a subject matter expert may be called upon to score that section. The scores of each member of the EC shall then be averaged to provide a total score for each of the proposers.

5.2.5.3 Initial Evaluation: Proposal Submission and Financials Purchasing shall conduct an initial pass/fail analysis of (a) each proposal submittal package for completeness (“responsiveness”), and the Finance Director shall review when applicable (b) the financial stability of each Proposer based upon the Financial Report submitted. Upon completion of this analysis, Purchasing will forward the Qualification Proposals of the passing proposers to the Evaluation Committee (EC).

5.2.5.4 Evaluation of Qualifications
A. The EC will review and evaluate the Qualification Proposals based on the criteria identified in the RFQ, and each proposer will be given a score.

Reference checks will be performed, and proposers may also be required to submit to interviews, provide presentations, allow facility surveys, and other items deemed necessary during the evaluation process. In no case shall the City’s discretionary use or disuse of these optional additional evaluation processes be grounds for protest of an award decision.

B. Should the City exercise the option to interview, only those proposers judged by the EC to be the most qualified to perform the work shall be requested to make a formal presentation to the City. Based on the oral presentation and the written proposal, the evaluators shall make a final ranking of potential proposers.

5.2.5.5 Evaluation of Pricing
A. Price proposals will remain locked within the e-procurement portal until the EC has completed the evaluation of the Qualification Proposals.

B. Proposer qualifications are of the utmost importance in service contracts; however, where two or more persons or firms appear equally qualified to perform the desired services, the one proposing the lowest total price shall be ranked first. In the event that the City receives only one proposal in response to an RFQ or the responses reveal a lack of adequate competition, the department may conduct a cost analysis to determine whether the compensation proposals are fair and reasonable.

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5.2.5.6 Calculation of Final Score
Upon completion of all phases of the evaluation process, the e-procurement software shall total the scores to rank the proposals and identify the winning proposer.

5.2.5.7 Negotiations
A. The Project Coordinator, and those City personnel with technical expertise relating to the project, may negotiate with the highest-ranked proposer to establish a precise scope of work, work schedule and completion date, cost of services, and the method and manner of payment. A recommendation for award may be made upon the successful completion of negotiations as to the terms, conditions, and technical requirements of the proposed agreement.

The recommendation for award should be submitted to Purchasing so award letters may be generated and distributed.

B. If negotiations with the highest-ranked proposer prove unsuccessful, the City shall terminate negotiations with this firm and commence discussions with the next-highest-ranked proposer until a price determined to be fair and reasonable to both parties is obtained. Once negotiations have been terminated with a firm, the City may not go back to that firm for additional negotiations – even if the next lower ranked respondent is higher in price.

5.2.5.8 Award of Contract
A. Award of Contract shall be made on a “best value” basis to the qualified proposer whose proposal best meets the criteria set forth in the RFQ and will be most advantageousto the City, with price and all other factors considered.

The City Council shall authorize the award of contracts exceeding $75,000. (TMC §2-7-08(e)).

B. Upon completion of RFQ evaluation and analysis, Purchasing shall notify all proposers in writing of the City's intent to award a contract. The successful proposer must execute the agreement documents and submit the required Certificate of Insurance within the time specified in the RFQ or agreement documents, or if no such time is specified therein, within the time specified in the notice of intent to award issued by Purchasing.

5.2.6 Contract Administration

5.2.6.1 Upon contract award and execution, the e-procurement software will maintain a contract file. The requesting department head or designated Project Manager shall be responsible for monitoring and reviewing the project to determine whether contract terms and conditions are being met, and for approving invoices for payment.

5.2.6.2 The requesting department, shall endeavor to resolve any problems concerning adherence to terms and conditions of the contract. All financial matters shall be coordinated with the Finance Department.

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SECTION 6 : PUBLIC WORKS CONTRACTS

6.1.APPLICABILITY
This Section is designed to supplement the procedures outlined in Sections 2 through 5 for Public Works Contracts. The procurement of public projects should follow all established procedures and the unique procedures outlined below. In addition, if the project is federally funded, the requirements outlined in Section 7 should also be followed.

6.1.1 Public Project Defined
Public Project shall mean any of the following: (PCC §20161, TMC §2-9-01(b)) • A project for the construction, reconstruction, erection, alteration, renovation, improvement, demolition, painting, repainting, or repair work involving any publicly owned, leased, or operated facility,
• Work in or about streams, bays, waterfronts, embankments, or other work for protection against overflow,
• Street or sewer work except maintenance or repair,
• Furnishing supplies or materials for any such project, including maintenance or repair of streets or sewers.

All public projects with expenditures exceeding five thousand dollars ($5,000), shall be contracted for and let to the lowest responsible bidder. (PCC Section 20162) Additionally, all Public Works projects more than $1,000 are subject to state-mandated prevailing wage and reporting requirements, regardless of the procurement method used (Labor Code §1771). The City shall comply with state Department of Industrial Relations regulations, and to advise contractors of mandatory bonding requirements for projects above $25,000 (Civil Code §95500; Labor Code §1720; PCC §20170, 20171, 20483, and SB-854)

6.1.2 Federal Funds
The City's procurement actions are primarily governed by the State of California Government Code, Public Contract Code, Federal Transit Administration (FTA) Circular 4220.1F, and Federal Highway Administration (FHWA) regulations as they appear in the Caltrans Local Assistance Procedures Manual (LAPM). In all procurements utilizing any amount of Federal funds, Federal requirements will generally supersede State law. Where no Federal funds are involved, procurement actions will be governed by applicable State law. References to statutes or regulations herein shall be deemed to refer to any subsequent revisions or amendments that may be enacted from time to time.

6.1.3 Federal Contract Law
If no applicable State or Federal law or regulation exists regarding a particular aspect of procurement, then Federal contract law principles defined in the Federal Acquisition Regulations may be applied.

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6.1.4 Bidding Procedures – Public Works Projects
The Engineering Division maintains a Standard Specifications and Drawings document that outlines proposal, award, scope of work, control of work and materials, legal relations, and other standards related to a public works construction project. The standards may be supplemented by Special Provisions and/or Technical Specifications for specific projects as necessary to define the scope of work.

6.1.5 Value Engineering
The City of Turlock may use value engineering clauses for construction and other capital projects of sufficient size to offer reasonable opportunity for increased efficiency. Value engineering is a systematic and creative analysis to ensure that the projectis designed and constructed to perform its essential functionsin themost costeffective manner. The process may include consideration of life-cycle costing, and intangible orindirect benefits such as sustainability. (2 CFR 200.318(g))

6.1.6 Caltrans Local Assistance Projects
The California Department of Transportation (Caltrans) Local Assistance Program provides funding to the city for the purpose of improving its transportation infrastructure or providing transportation services. The funding comes from various Federal and State programs designed to assist the transportation needs of local agencies. Local Assistance Programs include programs such as the Congestion Mitigation and Air Quality Improvement Program (CMAQ) and Local Highway Safety Improvement Program (HSIP).

Local Assistance Programs will be administered in accordance with the Local Assistance Program Guidelines and Local Assistance Program Manuals (LAPMs).

6.1.6.1 Pursuant to the Local Assistance Procedures Manual, Chapter 10, Section 10.1.3, contracts below $1 million are not subject to the Caltrans Financial Document Review, but Local Public Agencies are required to establish that all costs are in compliance with the Federal cost principles, 48 CFR Chapter 1, Part 31, and other applicable requirements are met.

6.1.6.2 For identified projects below $1 million, prior to contract execution, the City will obtain documentation including the Exhibit 10-H1 Cost Proposal and the Exhibit 10-K Consultant Annual Certification of Indirect Costs and Financial Management System form for each consultant.

6.1.6.3 Once all documentation is received, the City will complete an ICAP/ICRP Review Checklist for each consultant working on the project.

A. If there are any items where the consultant does not appear to meet the requirements, the City will communicate with the consultant to attempt to resolve the discrepancy.

B. If there are any items that remain unresolved, the City will determine whether:
• The rate should be recalculated, making adjustments for any items that were not documented or do not appear reliable.

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• Do not proceed with the contract in the event the issues are significant and assurance over the accuracy of the rate cannot be obtained and an adjustment cannot be calculated.

6.1.6.4 Pursuant to LAPM Section 10.1.3, an indirect cost rate (ICR) is valid for the oneyear applicable accounting period and consultants must update their ICR annually. However, once an ICR has been established for a contract, the ICR may be extended beyond the one-year applicable period through the duration of the specific contract, provided all concerned parties agree. The contract must clearly specify the ICR period if it is beyond the one-year applicable period.

6.1.7 Advertisement for Bids
Notices inviting informal bids will be sent to all qualified contractors for the category of work being bid and/or all construction trade journals specified in PCC §22036. Public Works of Improvement projects above $220,000 shall be advertised in one local newspaper of general circulation and the City’s website. (PCC §20161, 20162, 20170, 20482, 22036)
For federal and state-aid projects, the bid solicitation shall notify bidders of requirements associated with the participation of Local and Small Business Enterprise (LSBE) or Disadvantaged Business Enterprises (DBE), where applicable.

6.1.8 Bidder Qualifications
The City Engineering Division shall review the bids and determine whether the low bid proposal is responsive to the bid solicitation and whether the low bidder is responsible.

The City Engineering Division will recommend an award of an agreement by the City Council to the lowest bidder determined to be both responsive and responsible.

In contracts where the nature of the work is such that the qualifications of the bidders are essential criteria for evaluating the bidders' responsibility, the Engineering Division shall identify such criteria in the Special Provisions. Contracts for services and Public Works of Improvement (construction and maintenance) shall contain such clauses. In addition, contracts for the provision of supplies, equipment, and materials, where a specially manufactured product or technical guidance and advice are called for, shall also contain a provision regarding the qualifications of bidders.

Such provision shall clearly state that the City may reject any bid that does not meet the requirements stated in the qualification’s clause. Included in such clause shall be requirements that bidders demonstrate they are regularly engaged in the manufacture, construction, or provision of the work or product called for in the contract, and that they have the necessary resources, facilities, and personnel to perform under the contract.

Additionally, bidders must attest that they have previously and satisfactorily performed work comparable to that specified in the contract. Finally, bidders may be required to provide adequate references. The Engineering Division may prepare and include with the bid documents a form to be completed by bidders that covers the qualifications requirements.

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6.2.METHODS OF PROCUREMENT

6.2.1 Micro-purchases
Micro-purchases are those purchases up to but not exceeding $2,500. Purchases belowthatthresholdmay bemadewithout obtaining competitive quotations butshall provide for competition whenever practicable. Award may bemade ifitis determined that the price is fair and reasonable, and that there are no significant differences in quality or price among available vendors. Typically, this would involve itemssold "offthe-shelf' to the general public or a specific market. Documentation for a noncompetitive micro-purchase need only include a notation that the price is fair and reasonable and the reason for the determination. The determination of price reasonableness may be recorded on preprinted forms or a checklist on the receipt. (2 CFR 200.320(a))

6.2.1.1 Micro-purchases are exempt from Buy America requirements. There should be equitable distribution among qualified suppliers, and requirements may not be split to avoid a competitive solicitation process.

The City of Turlock will maintain a log of micro-purchases to ensure that there is an equitable distribution of purchases among qualified suppliers.

The Davis Bacon Act (40 U.S.C. §3141 etseq.) applies to construction micropurchasesin excess of $2,000.

6.2.2 Small Purchases
Small purchases are relatively simple and informal solicitations forservices, supplies, or other property that cost more than $5,000 but do not exceed $25,000. In no case shall small purchase procedures be used for procurements above the Federal simplified acquisition threshold as defined in 41 U.S.C. §403(11), currently $250,000.

If small purchase procedures are used, price or rate quotationsshall be solicited from an "adequate number of qualified sources." The number ofsources will depend upon the availability of qualified sources, but the objective should ordinarily be to obtain quotes from at least three vendors. If items are purchased from GSA that have been competitively bid orstate contracts, then no othersolicitations are required. Both the solicitation and quotes should be written, in either electronic or hard copy form.

6.2.3 Existing Contracts: Purchasing Schedules and Piggybacking

6.2.3.1 State Purchasing Schedules. To foster greater economy and efficiency, intergovernmental agreements, contracts, and schedules of the U.S. General Services Administration ("GSA") and states may be used as permitted and appropriate. When GSA or state contracts are used to acquire goods or services with federal funds, all federal requirements apply. This will require the City of Turlock to incorporate federal terms and conditions (contract clauses and required vendor "certifications," such as Buy America, etc.), in the first purchase order issued by the City of Turlock under the GSA or state contract.

This will be necessary since GSA or the state may not have incorporated required federal terms, including Buy America, when the contracts were awarded. The City of Turlock will therefore require a Buy America certification

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in all cases, and if the product being acquired is not Buy America compliant, the City of Turlock will obtain a waiver from the applicable federal agency before proceeding with the procurement.

6.2.4 Competitive Sealed Bidding

6.2.4.1 Projects in excess of Two Hundred Twenty Thousand and no/100ths ($220,000) are publicly solicited through a formal Request for Bids (RFB) with a fixed-price contract (lump sum or unit price) being awarded to the lowest-priced responsive bid from a responsible bidder. Public projects less than $220,000 may be procured using an informal bidding process where qualified contractors are invited to bid. (TMC §2-9- 04)

6.2.4.2 Competitive sealed bidding is the preferred method of solicitation, and justification for any other method of procurement must be documented as part of the procurement record.

6.2.4.3 All bids will be publicly opened at the time and place prescribed in the RFB. Bidders shall be afforded a suitable opportunity to examine all bids received after they are opened.

6.2.4.4 A fixed-price contract award will be made in writing to the responsible bidder submitting the lowest responsive bid at the price stated in the bid. A fixed-price contract type does not preclude consideration of the use of price-varying provisions such as escalation or incentives/disincentives if suitable for the circumstances. The price reasonableness analysis shall consider whether bids are materially unbalanced.

6.2.4.5 When specified in bidding documents, factors such as discounts, transportation costs, and life cycle costs may be considered in determining the low bid if specified in the solicitation. Payment discounts shall be requested or considered only when prior experience indicates that the City is able to avail itself of such discounts.

6.2.4.6 If the RFB includes pricing for any options or alternatives, the solicitation must define whether or not they will be considered in determining the low bid, and, in the event of multiple options, the basis for and order in which they will be accepted. In order to exercise contract options after award, and also consider them as part of the original competitive process, the options must have been considered during the award of the basic contract.

6.2.4.7 In the event that a single responsive bid is received from a responsible bidder, the City may negotiate with the bidder to ensure that a fair and reasonable price is obtained. If the responsive bid from the lowest responsible bidder exceeds available funds, the City may negotiate with the apparent low bidder to obtain a contract price within available funds. The City may not, as part of a negotiation process, modify or alter the scope and specification defined in the RFB in a manner that might have attracted additional bidders if incorporated in the solicitation.

6.2.4.8 If the informal bidding process was used and all bids received exceed $220,000, the City Council may, by adoption of a resolution by a four-fifths vote, award the contract, at Two Hundred Thirty-Five Thousand dollars ($235,000) or less, to the lowest responsible bidder, if it determines the cost estimate was reasonable. (TMC §2-9-04 (h))

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6.2.5 Competitive Negotiation

6.2.5.1 For design/build contracts, the competitive negotiation procurement processis conducted through a formal Request for Proposals (RFP). This method of procurement is generally used when conditions are not appropriate for the use of sealed bids. This method may be used for the acquisition of supplies or services only if the City determines in advance and in writing that competitive sealed bidding is not practicable or fiscally advantageous, pursuant to California Public Contract Code 22160.

6.2.5.2 Either a fixed price or cost-reimbursement contract may be awarded.

6.2.6 Architectural and Engineering (A&E) and Other Professional Services

6.2.6.1 The City will use qualification-based competitive proposal procedures based on the Brooks Act, Chapter 11 of Title 40 ofthe United States Code, and 49 U.S.C. §5325(b), when contracting for A&E services.

6.2.6.2 The Brooks Act requires that:

A. An offeror’stechnical qualifications be evaluated;
B. Price be excluded as an evaluation factor;
C. A pricing proposal be requested from, and negotiations be conducted only with the most qualified offeror; and
D. Failing agreement on price, the proposal must be rejected and negotiations conducted with the next most qualified offeror, until a contract award can be made to themost qualified offeror whose price is fair and reasonable; ifthe pool of qualified offerorsis exhausted without an agreement, the solicitation must be canceled.

6.2.6.3 The Brooks Act "qualifications-based" procurement method can only be used for the procurement of A&E services which are defined to include program management, construction management, feasibility studies, preliminary engineering, design, architectural, engineering, surveying, mapping, and related services, where any amount of Federal fundsis utilized. This method of procurement cannot be used to obtain other types of services even though a firmthat provides A&E servicesis also a potentialsource to perform other types of services. It is also recognized that California law does not require contracts for professional services such as private architectural, landscape, engineering, environmental, legal, land surveying or construction management be competitively bid and the Federal policy to restrict qualifications-based selection procedures to A&E contracts may be considered inconsistent. However, the City hereby determines that acceptance of Federal funds and compliance with the Federal standard is in the public interest even though the Federal limitation of the use of qualification-based procurement procedures is inconsistent with the

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California law.

6.2.6.4 When no Federal funds are involved in funding a procurement for professional services including accountants, lawyers, architects, engineers, environmental, land surveying or construction management, the City will comply with the applicable provisions of the California Government Code and Public Contract Code and select the contractor based on professional qualifications, excluding price.

6.2.7 Noncompetitive (Sole Source) Proposals

6.2.7.1 Noncompetitive (Sole Source) procurements are accomplished through acceptance of a proposal from only one source. A contract amendment or change order that is not within the scope of the original contract is considered a sole source procurement that must comply with this subparagraph.

6.2.7.2 Procurement by noncompetitive proposals may be used when only one source is practicably available and the award of a contract isinfeasible under small purchase procedures,sealed bids, or competitive proposals and atleast one ofthe following circumstances applies:

1. The item is available only from one responsible source because:
(a) It involves a unique or innovative concept or capability not available from another source. A unique or innovative concept means a new, novel, or changed concept, approach, or method that isthe product of original thinking, the details of which are kept confidential or are patented or copyrighted, and is available to the City only from one source and has not in the past been available to the City from another source.
(b) Patents or Restricted Data Rights. Patent or data rights restrictions preclude competition.
(c) Substantial Duplication Costs. In the case of a follow-on contract for the continued development or production of highly specialized equipment and major components thereof, when it is likely that an award to another contractor would result in substantial duplication of costs that are not expected to be recovered through competition. (d) UnacceptableDelay. Inthe caseof a follow-on contractforthe continued development or production of highly specialized equipment or major component thereof, an award to another contractor would result in unacceptable delays in fulfilling the City's needs.

2. The public exigency or emergency for the requirement will not permit a delay resulting from competitive solicitation;

3. The federal agency authorizes noncompetitive negotiations (e.g., in the original grant application and approval process);

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4. Other circumstances described in Part 6.3 of the Federal Acquisition Regulations exist;

5. After solicitation of a number of sources, competition is determined inadequate, and an evaluation of the specifications determines they are not unduly restrictive of competition; or

6. The item is an associated capital maintenance item as defined in 49U.S.C. §5307(a) (1) that is procured directly from the original manufacturer or supplier of the item to be replaced, and no other sole source justification applies. The City must first certify to the FTA in writing that the manufacturer or supplier of the capital maintenance item is the only source for the item and that the price is no higher than the price paid by like customers.

A. Receipt of a single responsive and responsible bid or proposal is not, by itself, conclusive evidence that competition was inadequate; the City Manager, or designee, must determine if there was a perception of competition which would affect the bid or proposal. Under these circumstances, award is not considered a sole source. The City Manager, or designee, however, must investigate the reason why no other bids or proposals were received; verify that the specification was not unduly restrictive, and that the solicitation cannot be modified in a manner that would result in greater competition; and document the file accordingly.

B. A cost analysis isrequired for each sole source acquisition.

C. The contract file must include a sole source determination signed by the City Manager explaining the reasons for the award on a noncompetitive basis.

6.2.8 Options

6.2.8.1 An option is a unilateral right in a contract by which, for a specified time, the buyer may elect to purchase additional equipment, supplies, or services called for by the contract, or may elect to extend the term of the contract.

The use of options must be limited to quantities of goods or services that are reasonably anticipated to be required by the City during the term of the contract; options may not be included solely with the intent of assigning them to another entity in the future; however, contracts may include a provision allowing assignment to other agencies in the event of a change in the City's anticipated requirements, in accordance with federal regulations and guidance.

6.2.8.2 The option quantities or periods must be defined in the solicitation; contained in the offer upon which a contract is awarded; and evaluated as part of the initial award process; i.e., the options must be evaluated in combination with bid pricesfor the base quantity to determine the low bidder. When an option has not been evaluated to determine the low bidder for award of the contract, exercise of the option will be considered a

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sole source procurement and must be justified as such.

6.2.8.3 The exercise of an option must be in accordance with the terms and conditions of the option asstated in the initial contract, and an option may not be exercised unlessit is determined that the option price is better than prices available in the market orthat the option is the more advantageous offer at the time the option is exercised, cost and other factors considered.

6.2.8.4 Ifsequential options(e.g., a series of one-year extensions) exist,the failure to timely and properly exercise any option will void all subsequent options.

6.2.8.5 The City of Turlock may exercise optionsin contracts of other public agencies ("piggybacking") in accordance with federal regulations and guidance.

6.3.CONTRACT TYPES

6.3.1 Time and Materials Contracts
Time and Materials ("T&M") contracts are to be used only after a documented determination that no other type of contract is suitable. Such contracts will specify a ceiling price (a limitation of funding) that the contractor shall not exceed except at its own risk. T&M contracts are subject to a high degree of oversight in order to obtain reasonable assurance that the contractor is using efficient methods and effective cost controls. (2 CFR 200.318(j))

6.3.2 Cost Reimbursement Contracts
Prior to the use of a cost-type contract, the City Manager, or designee, shall make a determination that the contractor's accounting system is adequate to properly segregate and bill costs, and also adequate to allocate indirect costs in accordance with generally accepted accounting principles. In no event shall fixed indirect cost rates, that are not subject to audit and adjustment, be used in a cost-type contract, as such agreements constitute an unlawful cost-plus-percent-of-cost method of compensation. Provisional indirect billing rates may be used but must be subject to later audit and adjustment.

6.3.3 Cost Plus Percent of Cost Contracts
Contracts that are structured with payment provisions based on the incurrence and payment of actual costs, such as direct labor, with a fixed mark-up on the actual costs incurred for (a) profit, (b) indirect costs, (c) or both, are prohibited by Federal statute and shall not be used.

6.3.4 Construction Contracts for Publicly Funded Buildings All construction projects for public works contracts costing more than $4,000 are required to be performed by contract and cannot be separated into smaller work orders for the purposes of evading the provisions of the Public Contract Code.

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6.3.5 Design Build
Design-build refersto a procurement for design and construction simultaneously with a contract award to a single contractor, joint venture, etc., that will be responsible for both the project's design and construction. Design-build contracts may be used for the construction of a building or buildings and improvements directly related to the construction of a building or buildings and park and recreational facilities. Designbuild contracts may not be used for the construction of other infrastructure, including, streets and highways, public rail transit, or water resources facilities and infrastructure. Design-build contracts may be used for public works projectsin excess of one million dollars. (PCC Sections 22160-22169)

6.4.CONTRACT COST AND PRICE ANALYSIS

6.4.1 Requirement
A cost or price analysis must be performed for every procurement action, including contract modifications. The method and degree of analysis is dependent on the facts surrounding the particular procurement situation. (2 CFR 200.324)

6.4.2 Independent Cost Estimate
Any cost or price analysis must be based on an independent cost estimate, which should be developed before a solicitation isissued, butin no event afterthe receipt of bids or proposals. For contract modifications, the independent estimate must be prepared without knowledge of the contractor's proposed pricing.

6.4.3 Cost Analysis

6.4.3.1 A cost analysis must be performed when the offeror isrequired to submit the elements (i.e., labor hours, overhead, materials, etc.) of the estimated cost.

6.4.3.2 A cost analysis will be necessary when adequate price competition islacking, including sole source procurements (which include contract modifications and change orders), unless price reasonableness can be established on the basis of a catalog ormarket price of a commercial product sold in substantial quantities to the general public or on the basis of prices set by law or regulation.

6.4.3.3 Profit isto be negotiated as a separate element of the price for each contract in which there is no price competition and, in all cases, where cost analysis is performed. To establish a fair and reasonable profit, consideration will be given to the complexity of the work to be performed, the risk borne by the contractor, the contractor's investment, the amount of subcontracting, the quality of its record of past performance, and industry profit rates in the surrounding geographical area for similar work.

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6.4.3.4 Costs or prices based on estimated costs for contracts will be allowable only to the extent that costs incurred or cost estimates included in negotiated prices are consistent with Federal cost principles contained in Part 31 of the Federal Acquisition Regulations.

6.4.3.5 The cost plus a percentage of cost method of contracting shall not be used.

6.4.4 Price Analysis

6.4.4.1 A price analysis looks at the price as a whole without examination of its various components, and is usually performed by comparing prices to those from other comparable procurements.

6.4.4.2 A price analysis may be used in all instances where a cost analysis is not required to determine the reasonableness of the proposed contract price.

6.4.4.3 Adequate price competition may be determined to exist when the perception of competition exists, even if only one bid or proposal is received; conversely, the receipt of multiple bids or proposals with widely differing prices may not constitute adequate price competition.

6.5.BONDING REQUIREMENTS

6.5.1 Construction
The City of Turlock shall specify bonds in compliance with (1) federal regulations, and (2) the applicable provisions of the California Government code. (2 CFR 200.326)

6.5.2 Non-Construction
For non-construction contracts, bonding requirements are discouraged except where applicable law or regulation provides for such bonding, or the City determines that such a requirement is necessary as part of the risk management plan for a project.

6.6.PAYMENT PROVISIONS

6.6.1 Progress Payments
Progress payments are to be made only for costs incurred in the performance of the contract. When progress payments are used, the City must obtain title to property or other adequate security for the amount of the progress payment. Progress payments for construction contracts may be made on a percentage of completion basis; this method may not be used for non-construction contracts.

6.7.DELAY (LIQUIDATED) DAMAGES

6.7.1 Risk Management
The City of Turlock shall determine whether to use or not to use a delay damages

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provision for a specific procurement, as part of an overall riskmanagement program.

6.7.2 Calculation
The amount of delay damages must be reasonably calculated to reflect anticipated damages the City of Turlock might suffer as the result of an inadequacy or delay in contract performance, and such damages would be difficult or impossible to determine.

6.7.3 Measurement
Delay damages may be imposed for an entire contract or for a readily identifiable milestone or deliverable, and the measurement period may be other than a day, where appropriate.

6.7.4 Solicitation Requirements
Ifitis determined that a delay damages provision will be included, the solicitation shall identify with specificity the circumstances in which the delay damages will be imposed and the rate to be charged. The file shall document the derivation ofthe rate of assessment and ensure it isreasonable, proper and not arbitrary or punitive.

6.8.CONTRACT AWARD ANNOUNCEMENTS
The City is not required to issue announcements of contract awards utilizing Federal funds; however, when announcements of contract awards using federal funds are made by City of Turlock, they will be made in accordance with federal policy. Federal policy requires that announcements of contract awards, if they are made, identify (1) the federal agency that is or will be providing assistance, (2) the amount of assistance that is provided or expected to be provided, and (3)theAssistance Number of the program that authorizesthe Federal assistance.

6.9. PROTEST PROCEDURES
Upon receipt of a protest, the City Engineer shall review all submitted materials, create and retain a written record of the review, and respond in writing at least generally to each material issue raised in the protest no later than ten (10) business days after receipt of the protest. If the protest involves a procurement involving FTA funds, refer to Section 6.10.6 for specific FTA protest procedures.

If the solicitation is for goods or services that are expected to be funded, in whole or in part, with federal funds, the City Engineer shall promptly notify the appropriate federal agency of the receipt of a third-party contract protest, in accordance with the Common Grant Rule (49 CFR Part 18).

If the protest cannot be resolved by mutual agreement, or if the protesting bidder is not satisfied with the decision of the City Engineer, the protesting bidder shall have the right to appeal to the City Manager, in writing, within five (5) business days after notification of the decision.

If the protesting bidder is not satisfied with the decision of the City Engineer, except as otherwise provided below, the final level of appeal is with the City Council. The protesting bidder may appear at a City Council meeting to be heard by the Council. If the solicitation is for

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goods or services that are expected to funded, in whole or in part, with federal funds, the protesting bidder may have additional protest escalation options as outlined in the respective solicitation.

In general, the filing of a protest should cause the solicitation proceedings subject to protest to be halted until the appeal is resolved. In order to allow essential City functions to continue, the City may proceed with the solicitation or award of the contract, despite the protest, upon an adequate determination in writing by the City’s Engineer that such action is necessary. It is expected that such determination will occur only in those few circumstances where it is necessary to protect a substantial interest of the City of Turlock.

In an effort to limit frivolous protests, protestors who file two (2) protests within twelve (12) calendar months, whose protests are not resolved in their favor, may be withheld from future bids or proposals

6.10. FTA-SPECIFIC REQUIREMENTS

6.10.1 Contract Scope
Guidance asto what is "within the scope" of a contract may be found in the FTA Best Practices Procurement Manual. "Tag-ons" are defined by FTA as additions to the scope of work or deliverable items that were not included in the original contract competition, and which must be treated assole source additionsto the contract. Tagons are not to be treated as changes within the scope of the contract.

6.10.2 A&E Procurement
Where theprocurementisforA&Eservices, the selection process will notinvolve prices (in accordance with FTA regulations); however, for all other procurements, including non-A/E professional services, such as legal, medical, auditing, etc., price must be considered in the selection process in accordance with FTA regulations. (FTA Circular 4220.1F, Chapter VI, Section 3(f)(1)-(3))

6.10.3 Cost Analysis
The "Pricing Guide for FTA Grantees" will be used as guidance to perform the appropriate degree of cost or price analysis for FTA-funded contracts.

6.10.4 Piggy-Backing
Piggybacking-Exercising Options in Other Agency Contracts. The term "piggybacking" is often used to describe one transit agency's use of another transit agency's existing contract when the awarding agency's contract did not originally envision its use by the piggybacking agency. When another agency's contract has been identified for potential use by the City of Turlock, a number of FTA requirements must be met before the contract may be used. FTA requires that the existing contract contain an assignability clause and all required FTA contract clauses and certifications (Buy America, etc.). If the existing contract does not contain both an assignability clause and required contract clauses, it may not be used. This requirement differs from GSA and California state contracts, where FTA contract clauses may be added later with the first purchase order issued. In the case

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of an existing agency contract, PTA contract clauses may not be added later. Additionally, the items being acquired by assigned contract rights must not cause the original contract quantities (including options) to be exceeded by the piggybacking action. The City of Turlock must also determine that a cost or price analysis was performed for the existing contract prices, including options, and then the City of Turlock will perform a price analysis to determine that the option prices are fair and reasonable. If the contract options were not evaluated as part of the original award, exercising those options after the contract award will result in a sole source award. In conclusion, the City of Turlock will determine that an existing contract meets all FTA requirements before using that contract and will document the file accordingly.

6.10.5 Advance Payments
The use of FTA funds for payments in advance of the incurrence of costs by the contractor is generally prohibited, without prior written approval from FTA. FTA does permit advance payments from FTA funds for those purchases where advance payment is customary in the commercial marketplace such as utility services, rents, and subscriptions. FTA approval of such advance payments is required when the amount exceeds $100,000. City of Turlock should not make advance payments using other funds (including local match funds) except where (a) it is customary in the industry, or(b)there are sound businessreasons(e.g.,to enable a more cost-effective pricing structure) for doing so; in the latter case, the file shall be documented to fully justify the advance payment.

6.10.6 FTA Review of Protest
A protester must exhaust all administrative remedies with the City of Turlock before pursuing a protest with the FTA. Review of a protest by FTA will be limited to:
• City of Turlock's failure to have or follow its protest procedures, or its failure to review a complaint or protest; or
• Violations of Federal law or regulation.

Following any adverse decision by theCity Council ortheCityManager, the bidder may file a protest if there has been a violation related to the above. An appeal to FTA must be received by the U.S. Department of Transportation, Federal Transit Administration ("FTA"), Region 9 Office, San Francisco Federal Building, 90 7th Street, Suite 15-300, San Francisco, CA 94103, within five (5) working days ofthe date the protester learned orshould have learned of an adverse decision by the City Council or the City Manager or other basis of appeal to FTA.

6.10.6.1 Contents of Protest to FTA
A bidder filing a protest with FTA must submit the protest in writing, via certified United States mail with a return receipt request, to the U. S. Department of Transportation, Federal Transit Administration ("FTA"), Region 9, San Francisco Federal Building, 90 7th Street, Suite 15-300, San Francisco, CA 94103. The protest must include:

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A. The name and address of the bidder;
B. Identification of the grantee (City of Turlock), project number, and the number of the solicitation;
C. A detailed and factual statement of the grounds for protest and any supporting documentation. The documentation submitted to FTA must be fully supported to the extent possible;
D. A copy of the protest filed with the City of Turlock, and a copy of the City of Turlock decision, if any; and
E. The desired relief, action or ruling from FTA.

FTAwill not consider any data that was notsubmitted to theCity. If new data becomes available after the exhaustion of administrative remedies with the City, that data should be submitted to the City with a request for reconsideration. If the request is denied orif the protester's administrative remedies with the City are again exhausted, the protester may then submit the new data to FTA. No formal briefs or other technical forms of pleading or motion are required, but a protest and other submission should be concise, logically arranged, and clear. Bid protests must be filed with FTA no later than five (5) days after the exhaustion of administrative remedies with the City is known or should have been known, whichever is earlier.

6.10.7 FTA Contract Period
The period of contract performance for rolling stock and replacement partsshall not exceed five years, inclusive of options, as defined in FTA C 4220. 1F. The length of all other contracts shall be based upon sound business judgment, including consideration of issues such as the nature of the item being purchased, the need to afford the contractor a reasonable opportunity to recapture any start-up costs, the need to afford competing vendors the opportunity to do business with the City, and the relative benefit to the City of a longer or shorter contract term.

6.10.8 Recovery Credited to Project
All delay damages recovered under an FTA funded contract will be credited to the project unless the FTA agrees otherwise.

6.11. CONTRACT PERIOD
All contracts must specify a contract period of performance, either in the form of delivery schedules for contract deliverables such as commodities, or a specific end date for service contracts.

6.12. NOTICE TO PROCEED
For Engineering contracts, upon receipt of the successful bidder’s executed Agreement, sureties, and evidence of insurance, the City will issue a Notice to Proceed letter to the Contractor with a copy to the City’s Project Coordinator.

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SECTION 7 : FEDERAL REQUIREMENTS

7.1.APPLICABILITY
The City of Turlock utilizes federal funds to procure contracts in Public Works and in other areas of the City. All federally funded contracts must adhere to the procurement guidelines outlined in Title 2, Parts 200.317-200.326, Code of Federal Regulations. All contracts funded in whole or in part with federal funds must contain the provisions outlined in Title 2, Appendix II to Part 200, Code of Federal Regulations.

Additionally, Public Works contracts funded through the Federal Transit Agency (FTA) have additional requirements. FTA requirements are set forth in the FTA Master Agreement, which is published on the FTA web page as of October 1 of each year. The FTA Procurement Circular 4220.1F, Appendix D, contains guidance in the form of a contract clause matrix for various types of commodities and services being procured. The FTA Best Practices Procurement & Lessons Learned Manual ("BPPM"), Appendix A, contains instructions for the contract clauses required by FTA as shown in FTA Circular 4220.1F. The complete list of Federal contract clauses can be found within the Annual Comprehensive Review Contractor's Manual (FTA CORTAP Contractor's Manual).

7.2.PROCUREMENT VS. NONPROCUREMENT TRANSACTIONS

7.2.1 Contractor vs. Subrecipient Determination
To determine whether federal procurement (contractor) or nonprocurement (subrecipient) requirements apply, the requesting department should make a determination as to whether the activities outlined in the contract represent a contractor or subrecipient relationship. NOTE: Contracts may be used in either a procurement or nonprocurement transaction, therefore, the use of a contract document does not automatically preclude the transaction from representing a subrecipient relationship. (2 CFR 200.331)

7.2.2 Subrecipients
A subaward (nonprocurement transaction) is for the purpose of carrying out a portion of a federal award and creates a federal assistance relationship with the subrecipient.

Characteristics which support the classification as a subrecipient include when the nonfederal entity:
• Determines who is eligible to receive what federal assistance; • Has its performance measured in relation to whether objectives of a federal program were met;
• Has responsibility for programmatic decision-making;
• Is responsible for adherence to applicable federal program requirements specified in the federal award; and
• Uses the federal funds to carry out a program for a public purpose specified in authorizing statute, as opposed to providing goods or services for the benefit of the pass-through entity.

Examples of a subrecipient agreement include agreements with non-profit entities for

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activities such as residential rehabilitation and economic development under the CDBG program.

7.2.3 Contractors
A contractor (procurement transaction) is for the purpose of obtaining goods and services for the City’s own use and creates a procurement relationship with the contractor.

Characteristics indicative of a procurement relationship between the non-Federal entity and a contractor are when the contractor:
• Provides the goods and services within normal business operations; • Provides similar goods or services to many different purchasers; • Normally operates in a competitive environment;
• Provides goods or services that are ancillary to the operation of the Federal program; and
• Is not subject to compliance requirements of the federal program as a result of the agreement.

Examples of a contractor relationship include virtually all agreements with for-profit entities.

7.2.4 Use of Judgment
In determining whether an agreement between the City and an entity casts that entity as either a subrecipient or a contractor, the substance of the relationship is more important than the form of the agreement. All of the characteristics of a subrecipient or a contractor may not be present and the City must use judgment in classifying each agreement as a subaward or procurement contract.

As the resulting requirements for procurement and nonprocurement transactions vary significantly and the determination of the nature of the relationship is subject to judgment, Purchasing maintains a Contractor vs. Subrecipient Determination Checklist.

Requesting departments should prepare this Checklist and maintain it in the contract file to document their determination for each agreement. The use of this Checklist helps ensure the appropriateness of the determination and prevents questions upon post-audit on the application of the correct requirements.

7.3.SUBRECIPIENT REQUIREMENTS

7.3.1 Agreements
The applicable department should ensure that all contracts/agreements with subrecipients clearly identifies that the agreement represents a subaward and includes the following information: (2 CFR 200.332)
• Federal award identification
o Subrecipient name;
o Subrecipient’s unique entity identifier;
o Federal Award Identification Number (FAIN);
o Federal Award Date;
o Subaward Period of Performance Start and End Date;

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o Subaward Budget Period Start and End Date;
o Amount of Federal Funds Obligated by this action;
o Total Amount of Federal Funds Obligated to the subrecipient by the City; o Total Amount of the Federal Award committed to the subrecipient by the City; o Federal award project description;
o Name of Federal awarding agency, pass-through entity, and contact information for the City’s awarding official;
o Assistance Listings number and title;
o Identification of whether the award is research and development (R&D); and o Indirect cost rate for the Federal award, including if the de minimis rate is charged.
• All requirements imposed by the City on the subrecipient so that the Federal award is used in accordance with Federal statutes, regulations, and the terms and conditions of the Federal award;
• Any additional requirements that the City imposes on the subrecipient in order for the City to meet its own responsibility to the awarding agency including identification of any required financial and performance reports;
• A requirement that the subrecipient permit the City and auditors to have access to the subrecipient’s records and financial statements as necessary; and • Appropriate terms and conditions concerning closeout of the subaward.

7.3.2 Suspension and Debarment
The City must ensure that all subawards to subrecipients are made to entities that have not been suspended or debarred. The City must verify that the entity is not suspended or debarred or otherwise excluded from participating in the transaction. The verification can be accomplished by (1) checking the System for Award Management Exclusions available at SAM.gov (click on Search Record, then click on Advanced Search-Exclusions), (2) collecting a certification from the entity, or (3) adding a clause or condition to the transaction with that entity. Prior to contracting with an entity, staff will check SAM.gov to verify the entity is not suspended or debarred or otherwise excluded. The verification is saved electronically, ensuring that it includes the date and time of the verification.

7.3.3 Monitoring
The City is required to monitor all subrecipients in accordance with the requirements of 2 CFR 200.332(b)-(h). This monitoring should include a risk assessment and a monitoring plan detailing monitoring activities to be performed based on the risk assessment.

7.4.PROCUREMENT REQUIREMENTS
The requirements and the procedures outlined below apply to all City contracts funded in whole or in part with federal funds. This is not intended to be an exhaustive list of all requirements when entering into contracts funded with federal funds. The requesting department should refer to the resources noted in Section 7.1 to ensure compliance with all key requirements.

7.4.1 General Standards
The City must have and use its documented procurement procedures for the acquisition

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of property or services required under a Federal award or subaward. (2 CFR 200.318(a))

7.4.2 Full and Open Competition
All procurement transactions over $10,000 will be awarded competitively, without providing an unfair competitive advantage to any potential vendor. Some of the situations considered to be restrictive of competition include, but are not limited to: (2 CFR 200.319)

7.4.2.1 Unreasonable requirements placed on firms in order for them to qualify to do business.

7.4.2.2 Unnecessary or excessive experience, excessive bonding, insurance, warranty or similar requirements which affect an otherwise qualified firm's ability to compete. Such requirements must also, however, be established in a manner consistent with the protection of the City's interests.

7.4.2.3 Noncompetitive pricing practices between firms or between affiliated companies.

7.4.2.4 Noncompetitive awards to any person or firm on retainer contracts.

7.4.2.5 Organizational conflicts of interest. An organizational conflict of interest exists where other activities, relationships, or contracts of a contractor inhibit, affect, or prevent the contractor from rendering impartial assistance or advice to City of Turlock; a contractor's objectivity in performing the contract work is or might be otherwise impaired (e.g., a contractor assisting with a design might have a financial interest in a product or system that could be utilized in implementing that design); or a contractor has an unfair competitive advantage which might be gained through its involvement in writing, or reviewing the solicitation and contract documents, including the scope or specification except as part of a general industry review.

7.4.2.6 Specifying only a "brand name" product, without specifying that equivalent products will be accepted and providing salient characteristics or other descriptive information sufficient to allow bidders to identify and propose such equivalent products.

7.4.2.7 The use of specification requirements and evaluation criteria that unnecessarily favor an incumbent contractor.

7.4.2.8 Any arbitrary action in the procurement process.

7.4.3 Geographic Preferences
Procurement transactions using Federal funds will be conducted in a manner that prohibits the use of in-state or local geographical preferences in the solicitation and evaluation of bids or proposals, except in those cases where applicable Federal statutes or regulations expressly mandate or permit geographic preference. This does not preempt State or local licensing laws. However, geographic location may be a selection criterion in procurements for architectural and engineering (A&E) services, provided its application leaves an appropriate number of qualified firms, given the nature and size of the project, to compete for the contract.

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7.4.4 Suspension and Debarment
The City is prohibited from contracting with parties under covered transactions that are suspended or debarred. Covered transactions include contracts for goods and services that are expected to equal or exceed $25,000. The City must verify that the entity is not suspended or debarred or otherwise excluded from participating in the transaction. The verification can be accomplished by (1) checking the System for Award Management Exclusions available at SAM.gov (click on Search Record, then click on Advanced SearchExclusions), (2) collecting a certification from the entity, or (3) adding a clause or condition to the transaction with that entity. Prior to contracting with an entity, the staff will check SAM.gov to verify the entity is not suspended or debarred or otherwise excluded. The verification is saved electronically, ensuring that it includes the date and time of the verification.

7.5.PUBLIC WORKS PROJECT REQUIREMENTS

7.5.1 Build America, Buy America Act
The City must comply with the Build America, Buy America (BABA) requirements for all federal awards related to infrastructure projects if the award terms and conditions require compliance. These requirements include incorporating a Buy America preference in the terms and conditions of each award with an infrastructure project. The Act requires the following preference:
• All iron and steel used in the project are produced in the United States; • All manufactured products used in the project are produced in the United States; and
• All construction materials are manufactured in the United States.

However, Federal agencies may waive this preference. For example, the Federal Transit Administration (FTA) waives the BABA requirements from all purchases of $150,000 or less. The requesting department should ensure that, if required by the award documents and not waived by the applicable federal agency, the BABA preference is included in procurement documents. A listing of waivers by agency may be obtained at:
https://www.madeinamerica.gov/waivers/financial-assistance.

7.5.2 Cost Principles
The Federal Acquisition Regulation Part 31 cost principles will be incorporated by reference in all contracts where allowable costs must be determined for payment (e.g., all cost reimbursement contracts), and for negotiating all fixed price contracts and modifications where costs are estimated by the contractor and then negotiated for purposes of establishing a contract price.

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7.6.MINORITY, DISADVANTAGED, AND WOMEN-OWNED BUSINESS

UTILIZATION

7.6.1 Policy
It is the policy of the City of Turlock that business concerns owned and controlled by women and/or socially and economically disadvantaged individuals shall have equal and maximum practicable opportunity to participate in the City’s purchasing program when funded in whole or in part by federal funds. (2 CFR 200.321)

7.6.2 Definitions

7.6.2.1 Small Business – Those businesses that fall in the category of small by the Small Business Administration.

7.6.2.2 Minority Business Enterprise (MBE) – An independent and continuing business or profit, which performs a commercially useful function, and which is owned and controlled by one or more minority group members. For purpose of this definition, minority group members include, but not limited to, Black Americans, Hispanic Americans, Native Americans (including American Indians, Eskimos, Aleutians and Native Hawaiians) and Asian-Pacific Americans (including persons whose origins are from Japan, China, the Philippines, Vietnam, Korea, Samoa, Guam, the United States, Trust Territories of the Pacific, Northern Marianas, Laos, Cambodia and Taiwan).

7.6.2.3 Women-Owned Business Enterprise (WBE) – An independent and continuing business for profit, which performs a commercially useful function, and which is owned and controlled by one or more women.

7.6.2.4 Disadvantaged Business Enterprise (DBE) - A small business concern which is (a) at least fifty-one percent (51%) owned by one or more socially and economically disadvantaged individuals, or in the case of any publicly owned business, at least fifty-one percent (51%) of the stock of which is owned by one or more socially and economically disadvantaged individuals; and (b) whose management and daily business operations are controlled by one or more socially and economically disadvantaged individuals who own it. Socially and economically disadvantaged individuals include MBE’s, WBE’s and any other minorities or individuals found to be disadvantaged by the Small Business Administration pursuant to Section 8(a) of the Small Business Act.

7.6.2.5 Handicapped-Owned Business Enterprise (HBE) – An independent and continuing business for profit, which performs a commercially useful function, and which is owned and controlled by one or more disabled individuals pursuant to the federal ADA Act.

7.6.3 Good Faith Effort
The City of Turlock expects all general contractors to solicit minority, disadvantaged and women-owned business firms as subcontractors and materials suppliers. All general contractors should make a good faith effort to work with the City to fulfill our joint commitment to these business enterprises. Only through this combined effort can we create a business climate favorable to all citizens of the City of Turlock.

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7.6.4 Minority Determination
For purposes of determining whether a business is a Minority-Owned Business Enterprise, Disadvantaged-Owned Business Enterprise or a Women-Owned Business Enterprise, the minority or minorities, the woman or women, or a combination of minorities and women as the context requires shall (1) possess legal authority and power to manage business assets, good will and daily operation of the business, and (2) actively and continuously exercise such authority and power in determining the policies and directing the daily operations.

7.6.5 General Requirements
City Contract Administrator and City Purchasing Division staff will:
• Provide all qualified DBE’s an opportunity to bid on any City contract. • Provide one-on-one counseling to DBE’s with respect to obtaining bid bonds and performance bonds.
• Advertise all upcoming contracts in minority publications. • Take a leadership role in interacting with organizations that promote minority business development such as the Hispanic Chamber of Commerce and the Small Business Development Center.
• Hold special events to acquaint DBE’s with City purchasing procedures and upcoming opportunities.
• Coordinate pre-bid conferences to include general contractors and subcontractors at the same time so as to provide opportunities for minority, women and handicapped business owners to meet general contractors.

7.7.DISADVANTAGED BUSINESS ENTERPRISES (DBE)

7.7.1 Policy Statement
It is the policy of the City of Turlock to utilize Disadvantaged Business Enterprises (DBE’s) and firms as defined in 49 CFR Part 23 in all aspects of contracting, to the maximum extent possible. This policy, which is fully described herein, constitutes policy and commitment to substantially increase DBE utilization in all program activities funded wholly or in part by the U.S. Department of Transportation.

The City, its contractors and subcontractors, which are the recipients of Federal-aid funds, agree to ensure DBE firms have the maximum opportunity to participate in the performance of contracts and subcontracts. In this regard, this Agency and all of its contractors and subcontractors will take all reasonable steps in accordance with 49 CFR Part 23 to ensure that DBE firms have the maximum opportunity to compete for and perform contracts.

7.7.2 Disadvantaged Business Enterprise Liaison Officer

7.7.2.1 The City Manager will appoint the DBE Liaison Officer(s). The DBE Liaison Officer(s) shall be assigned such staff as necessary to fully implement the provisions of 49 CFR Part 23 and such other DBE programs as may be required.

7.7.2.2 The DBE Liaison Officer shall develop, manage and implement the DBE Program

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on a day-to-day basis. The Liaison Officer shall:
• Develop and carry out technical assistance programs for DBE’s. • Arrange solicitations, time for the presentation of bids, quantities, specifications and delivery schedules so as to facilitate the participation of DBE’s. Where such changes are found necessary to increase DBE utilization, they will be made in consultation and cooperation with the functional unit involved.
• Provide guidance to DBE’s in overcoming barriers such as inability to obtain bonding or financing.
• Carry out information and communication programs on contracting opportunities in timely manner. Programs shall be bilingual where applicable.
• Investigate the services offered by banks owned and controlled by DBE’s. • Listing of certified DBE’s are to be made available to all project bidders. Such listing will include the following information: Name, address, telephone number, DBE classification and type of work performed by the firm. • Prior to approval of the substitution of any DBE subcontractor for any given project, the prime contractors will be required to provide and prove good faith effort to replace the DBE with another eligible DBE. • Establish a DBE overall annual goal. The goal shall be evaluated annually and adjusted as necessary.
• Establish an appropriate individual project DBE goal for each Federal Aid Project advertised.
• Perform good faith analysis when the project goal is not achieved. • Maintain such documentation as is necessary to verify performance of all activities included in this program.

7.7.3 Public Notification
Public notification shall include published notice in both a minority and majority local media and shall include the following information:
• Annual overall DBE goal.
• Notification that a description of how the goal was set is available for public inspection for a period of thirty (30) days.
• Notification that both the U.S. DOT and the City of Turlock will accept comments on the goal for 45 days from the date of the notice. The notice shall advise interested parties that comments are for information purposes only.

The program will be reaffirmed annually, by public notice, at the time of the publication of the overall goal. If substantial changes are made to this document, the entire document shall be subject to notification as noted above. In addition to the foregoing, interested DBE and majority contractor organizations will receive direct mailings of this complete program.

7.7.4 Establishment of Goal
The DBE goal will be established both annually (overall) and on a per contract basis. The overall goal will be based on planned contract activity for the coming year. The overall

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goal established will be subject to methodology and procedures established in 49 CFR Part 23, Subparts (C) and (D) and takes effect on October 1st of each year.

The overall DBE goal established with this program is 10%. Individual project goals will be established based on the following criteria:
• Attainment of established overall goals.
• Size of the project.
• Opportunities for DBEs as subcontractors, vendors and suppliers. • Minority population of the geographic area in which the work is to be performed. • DBE goals being utilized in the geographic area by other State, Federal, or local jurisdictions.
• Availability of certified DBEs.
• Past experience on projects similar to the project being evaluated. • Such other factors as may affect the utilization of DBEs.

Projects that do not contain a specific goal will contain the following provisions:
• Policy. It is the policy of the Department of Transportation that Disadvantaged Business Enterprises as defined in 40 CFR Part 23 shall have the maximum opportunity to participate in the performance of contracts financed in whole or in part with Federal funds provided by the USDOT.
• DBE Obligation. The recipient or its contractor agrees to ensure that Disadvantaged Business Enterprises, as defined in 49 CFR Part 23, have the maximum opportunity to participate in the performance of contracts and subcontracts financed in whole or in part with Federal funds provided under this agreement. In this regard, all recipients or contractors shall take all necessary and reasonable steps in accordance with 49 CFR Part 23 to ensure that Disadvantaged Business Enterprises have the maximum opportunity to compete for and perform contracts. Recipients and their contractors shall not discriminate on the basis of race, color, national origin, ancestry, religion handicap or gender in the award or performance of U.S. DOT-assisted contracts.

7.7.5 Contract Procedure
These procedures require bidders to submit the names of DBE subcontractors and suppliers, a description of the work each is to perform or material to be furnished, and the dollar value of each DBE sub activity.

7.7.6 DBE Notification
Projects will be advertised in local newspapers and minority-focus newspapers when possible. These ads will include reference to DBE requirements and will indicate the DBE project goal. DBE supportive service assistance centers will receive notification of projects scheduled to be advertised. Such centers will be afforded the opportunity to receive complementary plans and specifications for projects within their geographical area of responsibility.

7.7.7 Selection Criteria for Projects with DBE Goals
Every project containing a DBE goal shall be evaluated by the DBE Liaison Officer or

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his/her designee to ascertain the bidding contractor’s efforts to attain the DBE goal. The award of any project must be concurred by the DBE Liaison Officer or his/her designee before said contract may be awarded. Should there be a disagreement between functional units concerning the contractor’s efforts to attain contract goals for DBE participation, the matter shall be referred to the City Manager or his/her designee, for final determination. Competitors that fail to meet the DBE goal and fail to demonstrate sufficient reasonable good faith efforts shall be declared non-responsive and ineligible for award of the contract.

All contracts that contain a DBE goal, pursuant to this policy, will be monitored on an ongoing basis by City project personnel during the course of construction. The DBE Liaison Officer is to be immediately advised of any circumstances wherein contractor compliance with the DBE provision of the contract is questionable. The contractor shall submit a final report for each project that includes total payments to the prime contractor, as well as any payments the prime contractor has made to DBE subcontractors, vendors, and suppliers. If the report indicates the prime contractor has not achieved the project goal, project personnel shall attach an evaluation in narrative form, of the reasons for failure to attain the goal and any corrective action that was taken. Prime contractors will be required to notify the Agency of any situation in which regularly scheduled progress payments are not made to DBE subcontractors, vendors, or suppliers.

7.7.8 Counting DBE Participants
This City, its contractors and subcontractors shall count DBE participation in accordance with the provisions of Section 23.47, Title 49, of the Code of Federal Regulations.

7.7.9 Records and Reports
The DBE Liaison Officer shall maintain such records, and provide such reports as are necessary to ensure full compliance with this policy. Such records and reports shall include, as a minimum, the following information:
• Awards to DBE’s.
• Awards to majority contractors.
• Final project reports concerning DBE Utilization.
• Such other data as is needed to fully evaluate compliance with this program.

The DBE Liaison Officer shall submit reports to the California Department of Transportation or U.S. DOT element as required. These reports will include:
• Number and dollar value of contracts awarded.
• Number and dollar value of contracts and subcontracts awarded to DBE’s. • The percentage of the dollar value of all contracts awarded during the year which were awarded to DBE’s.

Reports shall be broken down separately by ethnic grouping.

7.7.10 Complaints
Any complaints received by the City of Turlock concerning this program will be investigated. The City shall endeavor to resolve said complaints within ninety (90) days of receipt of the complaint by the DBE Liaison Officer. The appropriate U.S. DOT element

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will be furnished a copy of the complaint and may be invited to participate in the investigation/resolution of the complaint. The U.S. DOT will receive a complete investigative report on the complaint and may be requested to concur in the proposed disposition of said complaint. The contractor will be directed to notify the City of any complaints they may receive concerning this program.

7.7.11 Summary of Significant Regulations
The table below summarizes some of the more significant regulations related to public works projects:

Clause Threshold Citation
Bonding
(a) A bid guarantee from each bidder
equivalent to five percent of the
bid price. The “bid guarantee”
must consist of a firm
commitment such as a bid bond,
certified check, or other
negotiable instrument
accompanying a bid as assurance
that the bidder will, upon
acceptance of the bid, execute
such contractual documents as
may be required within the time
specified.
(b) A performance bond on the part
of the contractor for 100 percent
of the contract price. A
“performance bond” is one
executed in connection with a
contract to secure fulfillment of
all the contractor’s obligations
under such contract.
(c) A payment bond on the part of
the contractor for 100 percent of
the contract price. A “payment
bond” is one executed in
connection with a contract to
assure payment as required by
law of all persons supplying labor
and material in the execution of
the work provided in the contract.

For construction or facility
improvement contract or
subcontract exceeding the Federal
Simplified Acquisition Threshold,
the Federal awarding agency or
pass through entity may accept
the bonding policy and
requirements for the non-Federal
entity provided that the Federal
awarding agency or pass through
entity has made a determination
that the Federal interest is
adequately protected.
2 CFR 200.326
The bidder’s security shall be in an
amount equal to at least 10 percent
of the amount bid. A bid shall not be
considered unless one of the forms
PCC Section 20171,
20483

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Clause Threshold Citation
of bidder’s security is enclosed with
it.

The faithful performance of the
contract shall be secured by not less
than 25 percent of the contract price.

The contractor shall also furnish a
labor and material bond as required
by law in a sum not less than 50
percent of the contract price.

PCC Section 20483
Administrative, contractual, or legal
remedies in instances where
contractors violate or breach contract
terms, and provide for sanctions and
penalties as appropriate.

For procurement over the Federal
Simplified Acquisition threshold
Appendix II to Part 200
Termination for cause and for
convenience including the manner by
which it will be affected at the basis
for settlement.

For procurement over $10,000 Appendix II to Part 200
Equal Employment Opportunity All contracts that meet the definition of the “federally assisted
construction contract” in 41 CFR
Part 60-1.3
Appendix II to Part 200
Davis- Bacon Act All prime construction contracts in
excess of $2,000
Appendix II to Part 200
Contract Work Hours and Safety
Standard Act
All contracts in excess of $100,000
that involve the employment of
mechanics or laborers
Appendix II to Part 200
Rights to Inventions Made Under a
Contract or Agreement
Contracts that meet the definition
of “funding agreement” under 37
CFR 401 Part 2(a) and the recipient
or subrecipient wishes to enter
into a contract with a small
business firm or nonprofit
organizations regarding the
substitution of parties, assignment
or performance of experimental,
developmental, or research work
under that “funding agreement”,
the recipient or sub recipient must
comply with the requirements of
37 CFR Part 401, rights to
inventions made by nonprofit
organization and small business
firms under government grant,
contract and cooperative
agreement.

Appendix II to Part 200

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Clause Threshold Citation
Clean Air Act (42 U.S.C. 7401-7671q.)
and Federal Water Pollution Control
Act (33 U.S.C. 1251-1381)
Contracts in excess of $150,000 Appendix II to Part 200 Byrd Anti-Lobbying Amendment (31
U.S.C. 1352)
Contracts in excess of $100,000 Appendix II to Part 200 6002 of the Solid Waste Disposal Act
When procuring only items
designated in guidelines of the
Environmental Protection Agency EPA
at 40 CFR Part 247 that contain the
highest percentage of recovered
materials practicable consistent with
maintaining A satisfactory level of
competition. Procuring solid waste
management services in a manner
that maximizes energy and resource
recovery and establishing an
affirmative procurement program for
procurement of recovered materials
identified in the EPA guidelines
For a non-Federal entity that is a
state agency or agency of a
political subdivision of a state, a
contract with a purchase price that
exceeds $10,000 or the value of
the quantity acquired during the
preceding fiscal year exceeded
$10,000.
2 CFR 200.323
Notice to FTA and U.S. DOT Inspector
General of information related to
fraud, waste, abuse, or other legal
matters.

Applies to all contracts at all tiers
expected to equal or exceed
$25,000. The recipient must
require a prime contractor to flow
down the requirement to
subcontractors.

FTA master agreement
39B note: this
requirement only
applies to
procurements awarded
after October 2018. See
the master agreements
at FTA Grant
Agreements | FTA
(dot.gov).

Prohibition of certain
telecommunications and video
surveillance services or equipment.

All contracts made by the nonFederal entity under the federal award.
2 CFR 200. 216
Domestic preferences for
procurements.

To the greatest extent practicable
and consistent with law, provide a
preference for the purchase,
acquisition, or use of goods,
products or materials produced in
the United States.
2 CFR 200.322

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SECTION 8 : CONTRACTS

8.1.APPLICABILITY

8.1.1 Sound and Complete Agreement
All contracts shall include provisions to define a sound and complete agreement, appropriate to the type and complexity of the project. At a minimum, these include a well-defined statement of work or specification, a defined contract term, a clear statement of the price and payment terms, and all applicable clauses required by federal, state, or local laws and regulations. Contracts will not contain so-called "un-priced options," either for extending services or for additional items. All purchase orders and contracts will be drafted by the City and contain standard terms and conditions.

8.2.GENERAL REQUIREMENTS

8.2.1 Retroactive Contracts
No City contract shall be commenced prior to approval by the City Manager or the City Council. Contractors and vendors shall be advised by the responsible department head that performance under the contract may not commence prior to such approval. No payment shall be made prior to this approval. Any variation of this policy must be justified in writing to the Purchasing Officer.

8.2.2 Contract Periods
Multiple-year contracts must include provisions for early termination and must be contingent upon available funding.

Unless exempted by the City Manager, no contract shall extend, either by original contract or by renewals or amendments, for more than a total period of five (5) years (60 months) unless there is a distinct and particular advantage to the City to contract for longer periods of time.

8.2.3 Compensation for Contracts

8.2.3.1 Compensation Methods
A. Lump sum or fixed price: Utilized when the contract is for a given result and the City is not concerned with the cost incurred by the contractor, but with the end product.

B. Hourly rate plus cost reimbursement, with a ceiling on that total project or contract amount. This method may also be used for a contract with a given result. In this case the contractor agrees to charge only for the hours utilized at an agreed rate of compensation and reimbursement of costs.

C. Monthly compensation for those contractors whose services are rendered generally not less than forty (40) hours per week and no longer than a oneyear period.

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8.2.3.2 Payment Terms
All contracts should contain payment terms addressing the following:

A. The rates of compensation to be paid to the contractor. There are no set rates for paying contracts. Amounts to be paid depend upon the complexity and difficulty of the project, the going rate for similar work, and the qualifications and reputation of the individual or firm being awarded the contract. The rates of compensation included in the contract should agree with the rates listed in the bid or proposal submitted.

B. Independent contractors are responsible for bearing all costs incidental to the performance of their services to the City.

C. Any other expenses shall be clearly and specifically set forth in the contract.

D. Progress payments shall be avoided whenever possible and especially on contracts less than three (3) months in duration. If it is essential that progress payments be made, they shall not be made more frequently than monthly in arrears or at clearly identifiable stages of progress based upon written progress reports submitted with the Contractor’s invoices. In the aggregate, progress payments shall not exceed ninety percent (90%) of the total amount of the contract. Progress or other payments shall always be based on at least equivalent services rendered and not made in advance of service rendered, unless otherwise negotiated.

E. While advance payments by the City are legally permitted, such payments are discouraged and should only be made when absolutely necessary.

Contracts or agreements containing provisions for advance payment by the City shall provide for small, periodic payments that are tied to deliverable goods or services, rather than total contract price or lump sum advances.

8.3.CONTRACT PREPARATION AND PROCESSING

8.3.1 Negotiation
Once the prospective vendor has been identified, it is up to the requesting department, with assistance from Purchasing, to negotiate a contract. The requesting department should draft the contract, with assistance from Purchasing and the City Attorney. It is critical to involve all departments that may be affected by the particular contract in the negotiations as soon as possible.

8.3.2 Contract Drafting
City Attorney has developed template agreements for suppliers, professional services, public works improvement projects, and service providers with prevailing wage language, when applicable. The requesting department should obtain the appropriate template and add information from the successful proposal to complete the contract.

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8.3.3 Contract Processing

8.3.3.1 The Requesting department completes the contract and obtains the vendor’s signature on the contract.

8.3.3.2 Once the vendor has signed the contract, the department will fill out a Contract Routing Sheet that identifies pertinent contract information and the approvals required. The contract is then routed through Finance for review and to the City Manager for signature if the contract is within the signing authority.

8.3.3.3 If the contract requires Council approval, once the vendor has signed the contract, it is returned to the department for processing and presentation to the Council. The department will fill out a Contract Routing Sheet that identifies pertinent contract information and the approvals required.

8.3.3.4 The department will provide the City Clerk’s Office with the Contract Routing Sheet, the required number of copies of the contract, and identify the signatures required. If the City Council approves the contract, the information provided will allow the Council and City Attorney to fully execute the contract at the Council meeting.

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SECTION 9 : CONTRACT ADMINISTRATION

9.1.APPLICABILITY

9.1.1 Contract Administration
Contract administration is the post-award administration of the contract to ensure compliance with the terms of the contract by both the contractor and City of Turlock.

Every type of contract will have different contract administration actions and the documentation required to support that administration will differ as well. Supply contracts have different specific administrative actions than construction contracts do, just as fixed price contracts are administered differently than costreimbursement contracts.

9.1.2 Contract Monitoring
Contract monitoring allows the City to diagnose problems that may lead to work change orders, schedule delays, cost overruns, or unacceptable product quality. In order to guard against these problems, the requesting department will designate a Contract Administrator, establish administrative controls, monitor work progress regularly, and establish cost controls.

9.1.3 Contract Administrator
The requesting department head will assign responsibility for each contract. This individual will be the single contact person and be responsible for:
• Coordinating the flow of information between the contractor and the City. • Responding to requests made by the contractor.
• Monitoring the procurement progress against the work scheduled. • Coordinating the delivery of data or services to the contractor. • Approving all contract deliverables.

The Contract Administrator should have a technical background to promptly diagnose problems in the development, testing, implementation, and operation of the product or service.

9.1.4 Administrative Controls
The Contract Administrator and the contractor’s project manager shall hold a kick-off meeting or separately discuss the rights, obligations, and responsibilities of both parties soon after the contract is signed. During this review, they should discuss all issues that were difficult to settle, if any, since these issues are the most likely points for future disagreement. The Contract Administrator should review the following:
• Communication channels between the City and the contractor, designating

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specific personnel by name, title, responsibility, address, and telephone number.

This should include the designation of personnel who should be contacted in the event problems arise.
• Major milestones, including the due dates for all contract deliverables and the provision of all property, material, and manpower by the City to the contractor. • Administrative and technical requirements for reporting work progress. • Administrative requirements for reporting expenses and procedures for progress payments or other financial arrangements.
• Administrative and technical procedures for inspecting and accepting contract deliverables.
• Administrative procedures for authorizing modifications to the contract.

9.1.5 Work Progress

9.1.5.1 Written progress reports are an effective tool for the Contract Administrator to maintain control over the project and should be required from the contractor.

The frequency of the progress reports should be based on the terms of the contract. Shorter-term contracts may require biweekly progress reports, whereas long-term contracts may require monthly reports.

9.1.5.2 The progress reports should describe:
• Actual progress during the current reporting period;
• Deviations from planned progress;
• Problems anticipated in the next reporting period.

9.1.6 Cost Controls
Cost controls are another means of determining whether the procurement is proceeding as planned. Cost controls warn the Contract Administrator of any problems the contractor may have in completing the required work within the contractual cost limits by showing the relationships between actual and expected costs. Cost controls can also be used with cost-reimbursement contracts as a means of noting deviation from target costs. The Contract Administrator can then suggest actions that will reduce costs and future deviations.

Cost control is maintained by requiring the contractor to submit a cost plan and a cost status report with the written progress report.
• A cost plan is a task-by-task budget of direct labor costs, fringe benefits, overhead, direct materials, direct services, and other expenses, as well as general and administrative costs.
• A cost status report provides information using the same cost elements found in the cost plan. The cost status report is used to update the City on actual costs, cumulative costs-to-date, and variances between actual and planned costs.

9.1.7 Invoice Review and Approval

9.1.7.1 Upon receipt of an invoice from a contractor, the Contract Administrator should review the invoice for accuracy before submitting it to the Finance Department in an accounts payable batch for payment. The review should include verifying:

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• Compliance with contract terms and conditions,
• Mathematical accuracy,
• Goods and services were received, and
• Any applicable discounts were applied.

9.1.7.2 Any discrepancies in the contractor’s invoice should be promptly resolved by the Contract Administrator.

9.1.7.3 The Contract Administrator should sign or obtain the authorized signature and date the invoice denoting their approval and forward the invoice to the staff member paying the invoice.

9.1.8 Inspection of Plant and Audit of Records

9.1.8.1 When applicable, the contract administrator should prepare a plan establishing a schedule for inspecting the plant or place of business of the contractor or any subcontractor that is related to the performance of the contract. • The schedule should provide for both announced and unannounced visits. • The frequency of the visits should be determined by the contract administrator based on the nature of the contract and the risks to the City if the goods or services received are defective. At a minimum, a site visit should be conducted within the first month after contract execution.

9.1.8.2 The contract administrator should perform audits of the contractor’s records when invoices are based on the units provided or the contractor’s actual costs (e.g., cost reimbursement and time and materials contracts). • The nature and extent of the review should be based on the materiality of the amounts invoiced.
• Audits involve more extensive procedures than the monthly invoice approval process. When auditing a contractor’s records, the contract administrator should select invoices for testing and trace the amounts on the invoices through the contractor’s records to the original documentation. For example, contractor time on the invoice may be checked to the contractor’s time reports, and then, for a sample of employees, their time should be checked back to their timesheets.
• Payments should be subsequently adjusted for any errors noted during an audit. Additionally, if significant errors are noted, the contract administrator should work with the Purchasing Officer or City Engineer on whether additional actions, up to and including contract termination are required.

9.1.9 Contract Administration Files - Procurement
The City shall maintain records detailing the history of a procurement in a manner consistent with the size, complexity, and cost of the contract. Purchase orders and contract files will be kept in storage for 10 years from the date of final payment. At a minimum, these records shall include: (2 CFR 200.318(i))

9.1.9.1 The rationale for the method of the procurement,

9.1.9.2 Selection of the contract type,

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9.1.9.3 Reasons for each contractor's selection or rejection, and

9.1.9.4 The basis for the contract price.

9.1.10 Contract Files – Post-Award
For all contracts above themicro-purchase level,the awarding department will ensure that the contract file includesthe following, as applicable:

9.1.10.1 The executed contract

9.1.10.2 Performance and payment bonds, bond-related documentation, and correspondence with any sureties;

9.1.10.3 Contract-required insurance documentation;

9.1.10.4 Post-award (pre-performance) correspondence from or to the contractor or other Governmental agencies;

9.1.10.5 Notice to proceed;

9.1.10.6 Approvals or disapprovals of contractsubmittalsrequired by the contract and requests for waivers or deviations from contractual requirements;

9.1.10.7 Modifications/changesto the contractincluding the rationale forthe change, change orders issued, and documentation reflecting any time and or increases to or decreases from the contract price as a result of those modifications;

9.1.10.8 Memos/Letters/Reports including field reports, meeting notes, correspondence, and progress reports.

9.1.10.9 Documentation related to any inspections of the contractor’s plant or audit of the contractor’s records;

9.1.10.10Documentation regarding settlement of claims and disputesincluding, as appropriate, results of audit and legal reviews of the claims and approval by the proper City, State, or Federal official (i.e., FTA, City Council, City Manager) of the settlement amount;

9.1.10.11Documentation regarding stop work and suspension of work orders and termination actions (convenience as well as default); and

9.1.10.12Documentation relating to contract close-out.

9.1.10.13Executed Resolution when applicable

9.1.10.14Staff report when applicable

9.1.10.15Hard copies need to be sent to the City Clerk to file in the vault.

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SECTION 10 : SPECIAL PURCHASING PROCEDURES

10.1. APPLICABILITY
This section includes information regarding the procurement of specific items that have unique restrictions or requirements.

10.2. INFORMATION TECHNOLOGY

10.2.1 Information Technology (IT)
IT means equipment, hardware, software, firmware, programs, systems, networks, infrastructure, media, and related material used to automatically, electronically, and wirelessly collect, receive, access, transmit, display, store, record, retrieve, analyze, evaluate, process, classify, manipulate, manage, assimilate, control, communicate, exchange, convert, converge, interface, switch, or disseminate information of any kind or form. All acquisitions of information technology require close coordination as well as approval from the Information Technology Department. IT approval will be documented through a Help Desk ticket.

10.2.1.1 The user/requestor should determine the need and type of equipment or software required. IT Department staff are available for technical consultation and assistance if required.

10.2.1.2 The user/requestor may submit the acquisition request to IT one of three ways.

The requestor may email the Help Desk at [email protected], call Ext. 4321 and leave a voicemail, or create an IT Request through the Turlock City Intranet.

10.2.1.3 IT Department staff will work with the requestor department to determine the most appropriate method of procurement and initiate the procurement or assist with the process, depending on the nature of the items or services being requested. If the department will be proceeding with the purchase, the IT department approval documentation will need to be included on the purchase order.

10.3. MOTOR VEHICLES
Vehicles are crucial to many City operations. Consequently, the development of specifications for vehicles should take into consideration the function(s) for which the vehicle will be operated; the acquisition process; operating and maintenance costs; and other relevant factors.

10.3.1 Utilization of Contract

10.3.1.1 The Fleet Division will develop specifications with the requesting department for all vehicle purchases.

10.3.1.2 The following two-step review process is implemented through; first determining the operational need (qualitative) and second a cost benefit analysis (quantitative):

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a. The operational need or qualitative assessment ensures that the vehicle or equipment is needed, that the vehicle being purchased is optimized to meet the operational needs of the customer department, and that the vehicle being purchased is the right size/class of vehicle to purchase. b. The cost benefit or quantitative analysis compares potential vehicles in terms of initial cost, lifetime fuel cost, environmental impact, maintenance cost, depreciation, and resale value.

Public Safety vehicles being utilized for emergency response shall be selected at the discretion of the Department Chief.

10.3.1.3 Vehicles should generally be acquired through a competitive process; which may be accomplished by utilizing a cooperative agreement or by contract piggyback in order to streamline the procurement processes.

10.3.1.4 When vehicles are not available for purchase through a cooperative agreement, piggyback contracts, or sole source procurement but are deemed necessary by the Fleet Manager, a recommendation will be made to the City Manager for approval to procure a vehicle(s) through other sources (ex. auctions, dealerships, etc.) if a budgeted appropriation exists. The purchase shall not require the City Council’s approval prior to the purchase unless the purchase amount exceeds the City Manager’s approval threshold, which it must then be reported at the next City Council meeting.

The following procedures and requirements must be followed to purchase a vehicle from a dealership. The Fleet Division will develop specifications based on the user department’s needs. The Fleet Division may solicit at least three (3) written quotes utilizing informal procurement procedures; an attempt will be made to solicit from local vendors. A thorough inspection of each vehicle under consideration will be performed by Fleet Division staff, who will make recommendation for purchase. Once the purchase order has been created and approved, Fleet will arrange for transportation to the city, ensure vehicle registration is complete and submit sale documentation to the Accounting Division in a timely manner. If necessary, the Department making the purchase will prepare the council item.

10.4. BLANKET PURCHASE ORDERS

10.4.1 Use of Blanket Purchase Orders
Blanket purchase orders will be allowed on a very limited basis as approved by the Purchasing Division. Blanket purchase orders are intended for small, repetitive purchases, where individual transactions are equal or less than $5,000 and total fiscal year spending is under $25,000 with the same vendor, or for similar goods and services.

10.4.2 Requests for a Blanket Purchase Order
Requests for blanket orders will be reviewed for approval when requested by departments and approved by the Purchasing Division for given fiscal year. Departments are advised that these orders are not to be used to circumvent the bidding process and are subject to being closed if in the opinion of the Purchasing Officer, the City would be better served with the

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items being bought in a competitive bid process.

10.4.3 Vendor Selection
The decision for selecting vendors for a blanket (open) purchase order shall be based on the following criteria:
a. Geographic location (how much time will be spent by employees in traveling to purchase goods?)
b. Responsiveness and capabilities of the vendor to provide the needed materials.

User departments should monitor the usage of blanket purchase orders to ensure that they do not exceed the established budget or the transaction threshold.

10.5. PETTY CASH
Petty cash purchases may be made by authorization of the Department Head up to an amount of seventy-five dollars ($75.00) inclusive of sales tax. Petty cash purchases should be made in compliance with the City’s Petty Cash Policy.

City of Turlock Purchasing Manual (11/25) 86
SECTION 11 : SURPLUS CITY PROPERTY AND UNCLAIMED PROPERTY

11.1. APPLICABILITY
Pursuant to §2-7-04 (j), of the Turlock Municipal Code, the Purchasing Officer shall have the authority to recommend to the City Manager the transfer of surplus or unused supplies and equipment between departments as needed and the sale of all supplies and equipment which cannot be used by any agency or which have become unsuitable for City use.

11.2. PROCEDURES

11.2.1 Disposal Methods
The Purchasing Officer or designee, upon approval of the City Manager, may dispose of surplus property by any of the following methods:
a. Trade-in on New Equipment
b. Sale at Public Auction
c. Sale by Sealed Bids
d. Junking
e. Sale as Scrap
f. Donation to Non-profit Organization or another governmental agency Only the City Manager has the authority to approve the sale or disposition of personal property owned by the City. The Purchasing Officer or designee will facilitate the sale and disposition of property subsequent to approval.

11.2.2 General Procedure

11.2.2.1 Owner Department Procedures
A. Notifies Purchasing of materials and equipment by completing and submitting a surplus property form. The form should identify the contact person’s name and phone number.

B. Coordinate with IT that all information technology equipment has been properly sanitized prior to disposition.

C. Dispose of supplies and equipment in accordance with the method approved by the City Manager.

D. Sell recyclable materials to scrap dealers.

E. Ensure applicable state or federal regulations if the surplus equipment was acquired with a grant.

F. The department collecting revenues from sales will prepare deposits for submission to Finance.

City of Turlock Purchasing Manual (11/25) 87

11.2.2.2 Purchasing Division Procedures
A. Recommend to the City Manager the most appropriate method of disposition for materials and equipment identified as surplus.

B. Review the surplus property form submitted by the Owner Department and submit it to the City Manager for approval.

C. Dispose of equipment in accordance with the method approved by the City Manager. 1) Sell surplus equipment at auction or by sealed bid. Sealed bids are opened on the due date in the presence of witnesses.
2) Ensure applicable state or federal regulations if the surplus equipment was acquired with a grant.

D. Maintain records of sales and advise the Accounting Division of fixed asset disposition as appropriate.

E. Maintain records of surplus property on hand.

F. The department collecting revenues from sales will prepare deposits for submission to Finance.

11.2.3 Trade-Ins
Departments are encouraged to trade in equipment that is being replaced at the time of the new equipment acquisition when possible. Trade-ins earn credits against the purchase of a new item, transfer moving and storage costs to the vendor, and result in a faster, less costly disposition of unwanted equipment than the sealed bid or auction processes. To trade in equipment, the department should attach a list of the equipment to be traded to the requisition for the new equipment purchase.

If the new equipment acquisition is through a competitive procurement process, the requesting department should request bids on the trade-in equipment as part of the bid for the new equipment.

11.2.4 Information Technology
Information technology equipment, including computers, printers, and copiers, should be sent to the Information Technology Department for sanitization prior to disposition by Purchasing.

11.2.5 Vehicle Disposal
Disposal of City-owned vehicles must be facilitated by Fleet Services Division, who will work directly with the Purchasing Officer. Prior to disposal of any vehicle, Fleet Services will evaluate the vehicle for usage in other City departments. This may result in the transfer of the assets to another department, without compensation to the originating department, when applicable.

City Council Staff Report
December 9, 2025
From: Adrienne Werner, Development Services Director
Prepared by: Kim Hammack, Staff Services Analyst
Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Ordinance: Introduction and first reading of an Ordinance amending Turlock Municipal Code Title 8, Chapter 1, Article 1; Section 02, Chapter 2, Article 1, Section 02; Chapter 5, Article 1, Section 02 and Chapter 6 Article 1 Section 02 to adopt the 2025 California Building Standards Code.

2. NARRATIVE:

California’s building codes (California Code of Regulations, Title 24) are adopted every three years with the last adoption in 2022. In accordance with Health and Safety Code 17950 and 18938(b), California Building Standards are applicable to all occupancies throughout California whether or not the local jurisdiction takes affirmative action to adopt those Building Standards.

The California Building Standards become effective January 1, 2026. However, State statute requires the local agency to adopt the California Building Standards. The Building Code adoption is contained in Title 8 of the Municipal Code.

The edits to the Municipal Code update the applicable Code year from 2022 to 2025. No other changes are proposed to the Municipal Code and no additional standards beyond those contained in the 2025 California Codes are proposed.

3. FISCAL IMPACT / BUDGET AMENDMENT:

The implementation of the new code requires additional training for staff as well as the purchase of new code books. Adequate funding has beed budgeted to cover these expenses.

4. ENVIRONMENTAL DETERMINATION:

The recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

5. ATTACHMENTS:

1. Building Code Adoption Ordinance 2025 pdf

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
IN THE MATTER OF AMENDING TURLOCK } ORDINANCE NO. -CS
MUNICIPAL CODE TITLE 8, CHAPTER 1, }
ARTICLE 1, SECTION 02; CHAPTER 2, ARTICLE}
1, SECTION 02; CHAPTER 5, ARTICLE 1, }
SECTION 02 AND CHAPTER 6 ARTICLE 1 }
SECTION 02 TO ADOPT THE 2025 CALIFORIA }
BUILDING STANDARDS CODE }
_________________________________________}
WHEREAS, every three years the State of California adopts updated building codes referred to as the California Building Standards Code for the protection of the public, and
WHEREAS, the City of Turlock is amending Title 8 Chapters 1, 2, 5, and 6 of the Turlock Municipal Code adopting by reference the following codes; and BE IT ORDAINED by the City Council of the City of Turlock as follows:

SECTION 1. AMENDMENT: Title 8, Chapter 1, Article 1, Section 02, subsection a is hereby amended:
8-1-102 Adoption.

The following publications are hereby incorporated herein by reference and are adopted by the City of Turlock as the Building Code of the City of Turlock, except as expressly amended or superseded by the provisions of this chapter:
(a) Title 24, 2022 2025 Edition, of the California Building Standards Code including the following parts:
(1) Part 1, California Administrative Code;
(2) Part 2, California Building Code, Volumes 1 and 2, Chapters 1 through 26, 31, Section 3109, and incorporating Appendix H, Signs, and Appendix I, Patio Covers;
(3) Part 2.5, California Residential Code, Chapters 1 through 10, and including Appendix H, Patio Covers, Appendix V, Swimming Pool Safety Act; and Appendix X (Emergency Housing);
(4) Part 3, California Electrical Code, including Informative Annex Chapters A, B, C and D;

Ordinance No. -CS

(5) Part 4, California Mechanical Code, including Appendix Chapters A and B;
(6) Part 5, California Plumbing Code, including Appendix Chapters A, B, D and I;
(7) Part 6, California Energy Code, including Appendix Chapters; (8) Part 8, California Historical Building Code, including Appendix Chapters; (9) Part 10, California Existing Building Code, including Appendix Chapters; (10) Part 11, California Green Building Standards Code, Chapters 1 through 8;
(11) Part 12, California Referenced Standards Code, including Appendix Chapter A;
(b) The Uniform Housing Code, 1997 Edition, as published by the International Conference of Building Officials;
(c) The Uniform Code for the Abatement of Dangerous Buildings, 1997 Edition, as published by the International Conference of Building Officials; (d) 2006 Property Maintenance Code, as published by the International Code Council (ICC).

One (1) copy of said California Building Standards Code and all other referenced publications, certified by the Clerk of said City of Turlock, is on file and will be kept on file for use and examination by the public in the office of the Chief Building Official in said City of Turlock, 156 South Broadway, Turlock, California.

SECTION 2. AMENDMENT: Title 8, Chapter 2, Article 1, Section 02, is hereby amended to read as follows:
8-2-02 Adoption of the Electrical Code of the City of Turlock.

The following publications are hereby incorporated herein by reference and adopted by the City of Turlock as the Electrical Code of the City of Turlock, except as expressly amended or superseded by the provisions of this chapter:

Ordinance No. -CS

California Electrical Code, 2022 2025 Edition, based on the 2020 2023 National Electric Code, including Annex A, B, and C as published by National Fire Protection Association and as adopted by the California Building Standards Commission in Title 24 of the California Code of Regulations.

One (1) copy of said California Electrical Code, certified by the Clerk of said City of Turlock, is on file and will be kept on file for use and examination by the public in the office of the Chief Building Official in said City of Turlock, 156 South Broadway, Turlock, California.

SECTION 3. AMENDMENT: Title 8, Chapter 5, Article 1, Section 02, is hereby amended to read as follows:
8-5-102 Adoption of the Plumbing Code of the City of Turlock.

The following publications are hereby incorporated herein by reference and adopted by the City of Turlock as the Plumbing Code of the City of Turlock, except as expressly amended or superseded by the provisions of this chapter:

California Plumbing Code, 2022 2025 Edition, including Appendix A, B, D, and I based on the 2021 2024 Uniform Plumbing Code as published by the International Association of Plumbing and Mechanical Officials, and as adopted by the California Building Standards Commission in Title 24 of the California Code of Regulations.

One (1) copy of said California Plumbing Code, 2022 2025 Edition, is on file and will be kept on file for use and examination by the public in the office of the Chief Building Official in said City of Turlock, 156 South Broadway, Turlock, California.

SECTION 4 AMENDMENT: Title 8, Chapter 6, Article 1, Section 02, is hereby amended to read as follows:
8-6-102 Adoption of the Mechanical Code of the City of Turlock.

The following publications are hereby incorporated herein by reference and adopted by the City of Turlock as the Mechanical Code of the City of Turlock, except as expressly amended or superseded by the provisions of this chapter:

California Mechanical Code, 2022 2025 Edition, including Appendix A, and Appendix B based on the 2021 2024 Uniform Mechanical Code as published by the International

Ordinance No. -CS

Association of Plumbing and Mechanical Officials, and as adopted by the California Building Standards Commission in Title 24 of the California Code of Regulations.

One (1) copy of said California Mechanical Code, 2022 2025 Edition, is on file and will be kept on file for use and examination by the public in the office of the Chief Building Official in said City of Turlock, 156 South Broadway, Turlock, California.

SECTION 5. VALIDITY: If any section, subsection, sentence, clause, word, or phrase of this ordinance is held to be unconstitutional or otherwise invalid for any reason, such decision shall not affect the validity of the remainder of this ordinance. The Turlock City Council hereby declares that they would have passed this ordinance, and each section, subsection, sentence, clause, word, or phrase thereof, irrespective of the fact that one or more section, subsection, sentence, clause, word, or phrase be declared invalid or unconstitutional.

SECTION 6. ENACTMENT: Prior to the expiration of fifteen (15) days from the passage and adoption thereof, this ordinance shall be published in a newspaper of general circulation printed and published in the County of Stanislaus, State of California, together with names of the members of the City Council voting for and against the same.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Turlock this 13th day of January, 2026, by the following vote:

AYES:

NOES:

NOT PARTICIPATING:

ABSENT:

Signed and approved this 13th day of January, 2026.
__________________________
AMY BUBLAK, Mayor
ATTEST:

Ordinance No. -CS

_____________________________
Nichole Fiez, City Clerk,
City of Turlock, County of Stanislaus,
State of California

City Council Staff Report
December 9, 2025
From: Adrienne Werner, Development Services Director
Prepared by: Joanne Foster, Assistant Planner
Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Confirmation: City Clerk confirms: a) Proof of Publication of Notice of Public Hearing; b) Signed Waiver and Consent; c) Completed and Signed Ballot and d) Signed Certificate of Clerk Regarding Receipt of Property Owner Waiver and Consent Form and Ballot Declaring Election Results
Resolution: Calling a Special, Mailed-Ballot Election respecting Proposed Annexation Number 39 to existing Community Facilities District Number 2 (Services Mitigation) Resolution: Declaring the results of the Mailed-Ballot Election respecting Proposed Annexation Number 39 to Community Facilities District Number 2 (Services Mitigation) and ordering annexation.

2. NARRATIVE:

A Fiscal Impact Study of new residential development on General Fund supported services (Police, Fire, Park maintenance, Planning, etc.) conducted in 2004, concluded that current General Fund revenues are inadequate to support both existing as well as the planned, General Plan levels of services. In response, the City Council adopted a policy (Resolution No. 2004-189) to require all new residential development not otherwise entitled by existing zoning to be included in a Community Facilities or Mello-Roos District as a condition of development. At its meeting on October 26, 2004, the City Council formed Turlock Community Facilities District No. 2 (CFD No. 2), to generate additional General Fund revenues from an additional tax imposed on new residential units.

In 2017, an evaluation of CFD #2 was completed and it was concluded the existing tax level of CFD #2 was still adequate to mitigate the service costs created by new residential development.

The existing CFD #2 was phased in over ten (10) years. The current (FY 2025/2026) rate for multi-family dwellings subject to CFD #2 is $595 per year and will increase 2% annually. A higher rate ($760 FY 2025/2026) is charged on single-family dwelling units.

Annexation No. 39 will annex two parcels into CFD #2.

1. A 9.86-acre parcel located at 1601 W. Monte Vista Avenue, Stanislaus County Assessor’s Parcel 087-012-053, and a 3.75-acre parcel located at 3201 Four Seasons Drive, Stanislaus County Assessor’s Parcel 087-008-085 as shown on the attached boundary map (Attachment 1 of the Resolution) into CFD #2. Vesting Tentative Subdivision Map 2024-02 (VTSM 24-02) was approved on February 11,

Agenda Staff Report
12/9/2025
2025 authorizing the construction of 114 residential units. Annexation into CFD #2 is required as a condition of approval for the project.

2. A 11.22-acre parcel located at 3130 E. Tuolumne Road, Stanislaus County Assessor’s Parcel 073-016-011, as shown on the attached boundary map (Attachment 1 of the Resolution) into CFD #2. Vesting Tentative Subdivision Map 2025-01 (VTSM 25-01) was approved on June 10, 2025 authorizing the construction of 22 residential units. Annexation into CFD #2 is required as a condition of approval for the project.

The second step in the annexation process entails a public hearing and, where there is unanimous agreement among property owner(s) and fewer than 12 voters, an immediate election. In this case there are zero (0) registered voters within Assessor Parcel Number 087-12-053 and 087-008-085 (1601 W. Monte Vista Avenue and 3201 Four Seasons Drive) and two (2) registered voters withing Assessor Parcel Number 073-016-011 (3130 E Tuolumne Road) in the project area included in this Annexation Number 39. Staff is in possession of all the documents required to conduct and conclude an election to approve the annexation to the district.

3. FISCAL IMPACT / BUDGET AMENDMENT:

The annexation of these properties into CFD #2 will increase revenues to the General Fund once the residential units are constructed and will pay for the increase service demand created by the new residential units.

4. ENVIRONMENTAL DETERMINATION:

This action does not constitute a “project” subject to CEQA review. Pursuant to Section 15398(b)(4) of the CEQA Guidelines, the creation of governmental funding mechanisms that do not make a commitment to a specific project that has the potential to result in a significant physical impact on the environment are not defined as “projects” under CEQA and, therefore, are not subject to CEQA review. The annexation of these properties to CFD #2 for the purpose of funding ongoing operations of police, fire and park maintenance personnel has no potential to cause a physical change in the environment.

5. ATTACHMENTS:

1. CFD 2 Annexation 39 Calling for Election Resolutio

2. CFD 2 Annexation 39 Declaring Election Results Resolution

3. Verano Boundary Map

4. Verano Special Election Ballot

5. Atherton Est. Waiver Consent

6. Atherton Estates Boundary Map

7. Atherton Est. Special Election Ballot

8. Verano Waiver and Consent

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
IN THE MATTER OF CALLING A SPECIAL, } RESOLUTION NO. 2025- MAILED-BALLOT ELECTION AND DECLARING }
THE RESULTS OF THE MAILED BALLOT }
ELECTION RESPECTING PROPOSED ANNEXATION}
NUMBER 39 FOR THE PROPERTIES LOCATED AT }
1601 W. MONTE VISTA AVE, STANISLAUS COUNTY}
APN 087-01-053, 3201 FOUR SEASON DRIVE, }
STANISLAUS COUNTY APN 087-008-085, AND 3130 }
E. TUOLUMNE ROAD, STANISLAUS COUNTY APN }
073-016-011 TO EXISTING COMMUNITY FACILITIES }
DISTRICT NUMBER 2 (SERVICES MITIGATION) }
________________________________________ ____}
WHEREAS, reference is made to the Resolution Declaring Intention to Order Annexation Number 39 (henceforth referred to as “the Resolution of Intention”), adopted by the City of Turlock City Council (Council) on October 28, 2025, to annex the SUBJECT PROPERTIES, located at 1601 W. Monte Vista Ave, (Stanislaus County Assessor’s Parcel 087-012-053), 3201 Four Seasons Drive (Stanislaus County Assessor’s Parcel 087-008-085), and 3130 E. Tuolumne Road (Stanislaus County Assessor’s Parcel 073-016-011), as shown on the attached maps (Attachment 1) to the Existing Community Facilities District No. 2 (Services Mitigation) for the description of the petition received from the owner of the SUBJECT PROPERTIES which the Owner is requesting be annexed to the existing Community Facilities District No. 2 (Services Mitigation) (“CFD No. 2”); and
WHEREAS, the City of Turlock City Council scheduled this same date as the date for the public hearing with respect to the proposed annexation of the SUBJECT PROPERTIES located at 1601 W. Monte Vista Ave, (Stanislaus County Assessor’s Parcel 087-012-053), 3201 Four Seasons Drive (Stanislaus County Assessor’s Parcel 087-008-085), and 3130 E. Tuolumne Road (Stanislaus County Assessor’s Parcel 073- 016-011), (the “Proposed Annexation”); and
WHEREAS, on this same date, at the time set for the public hearing by the Resolution of Intention, the City of Turlock City Council conducted the public hearing, and at the close of the public hearing the City of Turlock City Council determined that a majority protest under Section 53824 of the Government Code was not made at the hearing; and
WHEREAS, in order to proceed with the Proposed Annexation, as provided by the Resolution of Intention, the matter must be submitted to an election of the qualified electors in the territory of the SUBJECT PROPERTIES, as provided in the form of special election ballot attached hereto as Exhibit A and by this reference incorporated herein; and

Resolution No. 2025-

WHEREAS, a Certificate Regarding Registered Voters and Landowners (the “Certificate”) has been filed with the City Clerk (the “Clerk”), certifying that at no time during the ninety days preceding the close of the protest hearing on this date, were there ever any persons registered to vote within the territory of the SUBJECT PROPERTIES, with the result that, pursuant to Section 53826 of the Government Code, the qualified electors for the proposed special election shall be the Owners.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Turlock as follows:

1. The City of Turlock City Council finds and determines that the foregoing recitals are true and correct.

2. The City of Turlock City Council accepts the Certificate heretofore filed in these proceedings and finds, in accordance therewith, that there presently are, and at all times during the ninety days just past there have been not been any registered voters residing within the boundaries of SUBJECT PROPERTIES 1601 W. Monte Vista Ave, 3201 Four Seasons Drive, and 3130 E. Tuolumne Road. Accordingly, under Section 53826 of the Government Code, the qualified electors for the proposed special election shall be the Owners.

3. The City of Turlock City Council further finds and determines that the Owners are the sole landowner of record of the SUBJECT PROPERTIES and that the Certificate correctly sets forth the amount of PROPERTIES owned by the Owner, the number of votes to which the Owner is entitled pursuant to said Section 53826 being said number of acres rounded up to the nearest whole integer.

4. The City of Turlock City Council further finds and determines that an authorized representative of the Owner has filed with the Clerk (a) the special election ballot pertaining to the SUBJECT PROPERTIES and (b) waiver and consents, by which the time limits and related requirements respecting preparation and distribution of election materials are waived.

5. Pursuant to Sections 53826 and 53851 of the Government Code, the City of Turlock City Council hereby calls an election, to be held and conducted forthwith upon adoption of this resolution, and sets this same date as the election date. Pursuant to Section 53826 of the Government Code, the election shall be conducted by mailed ballot; provided that personal service of the ballot is permitted under the terms of the waiver and consent on file with the Clerk and shall therefore be permitted and ratified.

The action of the Clerk in having made personal service of the ballot, in the form of Exhibit A, to the Owner is hereby ratified.

6. The measure to be submitted to the qualified electors of the SUBJECT PROPERTIES shall be as set forth in Exhibit A.

Resolution No. 2025-

7. The Clerk, having received the only eligible ballot prior to adoption of this resolution, shall immediately close the election and declare the results of the City Council.

8. This resolution shall take effect from and after its adoption.

Resolution No. 2025-

PASSED AND ADOPTED at a meeting of the City Council of the City of Turlock this 9th day of December 2025, by the following vote:

AYES:

NOES:

NOT PARTICIPATING:

ABSENT:

ATTEST:
__________________________
_
Nicole Fiez, City Clerk
City of Turlock, County of
Stanislaus
State of California

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
IN THE MATTER OF DECLARING THE } RESOLUTION NO. 2025
RESULTS OF MAILED-BALLOT ELECTION }
RESPECTING PROPOSED ANNEXATION }
NUMBER 39 FOR THE PROPERTIES LOCATED AT }
1601 W. MONTE VISTA AVE, STANISLAUS COUNTY}
APN 087-01-053, 3201 FOUR SEASON DRIVE, }
STANISLAUS COUNTY APN 087-008-085, AND 3130 }
E. TUOLUMNE ROAD, STANISLAUS COUNTY APN }
073-016-011 TO EXISTING COMMUNITY FACILITIES }
DISTRICT NUMBER 2 (SERVICES MITIGATION) }
}
WHEREAS, on this date, at the time set for the public hearing in the matter of annexing the SUBJECT PROPERTIES located at 1601 W. Monte Vista Ave, (Stanislaus County Assessor’s Parcel 087-012-053), 3201 Four Seasons Drive (Stanislaus County Assessor’s Parcel 087-008-085), and 3130 E. Tuolumne Road (Stanislaus County Assessor’s Parcel 073-016-011), as shown on the attached map (Attachments 1, respectively) to Community Facilities District No. 2 (Services Mitigation) (“CFD No. 2”) by its Resolution Declaring Intention to Order Annexation No. 39 to Existing Community Facilities District No. 2, the City of Turlock City Council conducted the public hearing, and at the close of the public hearing, the City of Turlock City Council determined that a majority protest under Section 53339.6 of the Government Code was not made at the hearing; and
WHEREAS, at the conclusion of the public hearing, the City of Turlock City Council adopted its Resolution Calling Special Mailed-Ballot Election Respecting Proposed Annexation No. 39 to Existing Community Facilities District No. 2 (Services Mitigation) pursuant to Section 53339.7 of the Government Code; and WHEREAS, by said resolution calling the election, the two questions of annexing the SUBJECT PROPERTIES and levying a special tax as previously authorized for PROPERTIES within CFD No. 2 were combined into a single ballot measure pursuant to Section 53353.5 of the Government Code, as provided in the form of special election ballot attached thereto as Exhibit A; and
WHEREAS, a Certificate of Clerk regarding Receipt of PROPERTIES Owner Waiver and Consent Form and Ballot and Declaring Election Results, dated this same date (the “Clerk’s Certificate”), executed by the City Clerk (the “Clerk”), has been filed with the City of Turlock City Council, certifying that a completed ballot has been returned to the Clerk for the sole landowner-voter eligible to cast a ballot in said special election, with all votes cast as “Yes” votes in favor of the ballot measure, and further certifying on said basis that the special mailed-ballot election was closed; and

Resolution No. 2025-XX

WHEREAS, the City of Turlock City Council has received, reviewed and hereby accepts the Clerk’s Certificate and wishes by this resolution to declare the results of the special mailed-ballot election.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Turlock as follows:

1. The City of Turlock City Council finds and determines that the foregoing recitals are true and correct.

2. The City of Turlock City Council hereby finds and determines and declares that the ballot measure submitted to the qualified elector of CFD No. 2 has been passed and approved by that qualified elector in accordance with Sections 53339.8 and 53355 of the Government Code, and the SUBJECT PROPERTIES is hereby declared annexed to CFD No. 2 and made subject to the special tax of CFD No. 2 in accordance with the rate and method of apportionment of special tax previously approved for CFD No.

2. 3. The City of Turlock City Council hereby authorizes and directs the Clerk to cause the following:
a. The recordation with the Stanislaus County Recorder (the “County Recorder”) of the map titled “Proposed Boundaries, Annexation No. 39, City of Turlock Community Facilities District No. 2 (Services Mitigation),” which map is on file with the Clerk; and
b. The preparation and recordation with the County Recorder of a notice of special tax lien in accordance with the provisions of Section 3114.5 of the Streets and Highways Code and Section 53328.3 of the Government Code. Said notice shall be recorded in said County Recorder’s office within 15 days of today’s date.

4. This resolution shall take effect from and after its adoption.

PASSED AND ADOPTED at a meeting of the City Council of the City of Turlock this 9th day of December, 2025, by the following vote:

AYES:

NOES:

NOT PARTICIPATING:

ABSENT:

ATTEST:
__________________________

Resolution No. 2025-XX

_
Nicole Fiez, City Clerk
City of Turlock, County of
Stanislaus State of California

BEING THE REMAINDER OF "WINTER HAVEN, PHASE 2", FILED IN BOOK 39 OF MAPS, PAGE 71, S.C.R., LYING IN THE SOUTHEAST QUARTER OF SECTION 4, T. 5 S., R. 10 E., M.D.B. & M., CITY OF TURLOCK, COUNTY OF STANISLAUS, STATE OF CALIFORNIA COMMUNITY FACILITIES DISTRICT NO. 2 PROPOSED BOUNDARIES OF ANNEXATION NO. 39 CITY OF TURLOCK

PRELIMINARY COUNTY RECORDER'S STATEMENT
R G
D 150 75
0 150 300

WHISTLER COURT
SNOWMASS LANE W. MONTE VISTA AVENUE SNOWBIRD DRIVE SPRING BLOSSOM LANE SPRING VALLEY DRIVE

SUMMER CREEK DRIVE

SPRING CREST DRIVE WINTER HAVEN ROAD VAIL COURT

TELLURIDE LANE

FOUR SEASONS DRIVE

PORSCHE STRASSE
N. WALNUT ROAD
SPRING GARDEN DRIVE VICINITY MAP W. MONTE VISTA AVE N. WALNUT RD SNOWBIRD DR

FOUR SEASONS DR
N. WALNUT RD W. MONTE VISTA AVE
N. GOLDEN STATE BOULEVARD . W. CHRISTOFFERSEN PARKWAY
GEER ROAD GEORGETOWN AVENUE W. TUOLUMNE ROAD W. CHRISTOFFERSEN PARKWAY DEWAR LANE N. KILROY ROAD MOUNTAIN VIEW ROAD W. TAYLOR ROAD SITE
R G

D CITY CLERK'S CERTIFICATE
R
D
G GDR ENGINEERING, Inc. REMAINDER 39-PM-71 ±13.61 ACRES

DELS LANE

SEASONS
PA
R
K
DR
IVE

City Council Staff Report
December 9, 2025
From: Adrienne Werner, Development Services Director
Prepared by: Katie Quintero, Planning Manager
Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Confirm making no change in the cap on the number of beds that may be permitted under the nondiscretionary permit process within the SB 2 Emergency Shelter Overlay District

2. NARRATIVE:

The City of Turlock adopted the 2007-14 Housing Element on January 10, 2012. The Housing Element was subsequently certified by the State Housing and Community Development Department on March 23, 2012. One of the most sweeping changes contained in the new document came with the enactment of Senate Bill 2 (SB 2) in 2007. This bill required the City of Turlock to amend its Zoning Ordinance to provide a nondiscretionary permitting process to allow year-round emergency homeless shelters in a zoning district or districts. The City adopted Turlock Municipal Code (TMC) Chapter 9-4 Article 2 in response to this new requirement which establishes the standards and process for establishing an emergency homeless shelter within the overlay zoning district shown in Figure 1 on the following page.

The SB 2 zoning overlay district is roughly bounded by A Street on the north, Center and F streets on the east, Linwood on the south, and Lander on the west. The boundary encompasses 171 properties. The nondiscretionary permit required by SB 2 only applies to properties located within the SB 2 Emergency Shelter Overlay District. Changes to the Zoning Ordinance were also made to require a Conditional Use Permit for all zoning districts located outside the overlay district boundary.

Figure 1
SB 2 Emergency Shelter Overlay District Boundary
In
2011,
the
City

Agenda Staff Report
12/9/2025
Council established a 200-bed cap on the number of beds that can be permitted in the overlay district under the more expedited, nondiscretionary permit required by Senate Bill 2.

Once the cap is met, applicants would need to follow the appropriate permitting process identified for the underlying zoning, which is typically a Conditional Use Permit. The cap was initially set (and is currently set) at 200 beds based on a needs assessment contained within the Housing Element and public testimony received during the adoption of the ordinance.

In order to address concerns expressed by the State Housing and Community Development Department during their review of the Housing Element, the City agreed to establish a process to annually review the cap through a formal public hearing process (see TMC section below).

TMC §9-4-203 states, "The Turlock City Council shall establish the cap on the number of beds that may be permitted under this nondiscretionary permit process. The cap shall be reviewed annually by the Turlock City Council at a formal public hearing". The City Council set the cap at 200 beds and reviews it annually at a formal public hearing to ensure this cap is not a potential constraint on the ability to accommodate the need for emergency shelters and to ensure it is not a deterrent to future emergency shelters. To date, 129 beds have been authorized under the expedited permit process, leaving capacity for 71 additional beds to be permitted through the non-discretionary process within the overlay district. The 2025 Point-in-Time Count found 241 persons experiencing homelessness in the City of Turlock.

The Point-In-Time Count fluctuates from year to year and will continue to be monitored annually as part of this review. At this time, there is adequate capacity left within the established cap to meet any needs for existing shelters or to accommodate any future shelters. This item was publicly noticed and no comments were received to indicate any need for an increase in the established cap. Furthermore, over the last year, staff has not received any requests or inquiries for any shelter expansions or establishment of new shelters. Therefore, the cap has not created a constraint on providing shelter beds and, in accordance with the Municipal Code it will continue to be brought forward to Council annually as a public hearing for consideration to ensure it does not become a constraint.

3. FISCAL IMPACT / BUDGET AMENDMENT:

None

4. ENVIRONMENTAL DETERMINATION:

The recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

5. ATTACHMENTS:

None

City Council Staff Report
December 9, 2025
From: Christopher Fisher, Municipal Services Director
Prepared by: Juan Tejeda, Regulatory Affairs Manager, Lupe Madrigal, Staff Services Analyst
Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Motion: Accepting the 2025 Public Health Goal Report

2. NARRATIVE:

In compliance with the Health and Safety Code Section 116470 (b) and (c), water suppliers serving more than 10,000 service connections must prepare a Public Health Goal Report every three years. This report provides transparency by identifying any drinking water constituents above a Public Health Goal (PHG) or Maximum Contaminant Level Goal (MCLG).

PHGs & MCLGs are established by health experts at levels where no known or expected health risks are anticipated. They are not enforceable standards, but rather health-based goals generally set well below the levels that can be reliably measured or treated with current technology.

The 2025 PHG Report covers data from January 2022 through December 2024. During this period, the City detected the following constituents at levels exceeding the PHG or MCLG values:
• 1,2,3-Trichloropropane (TCP)
• Arsenic
• Hexavalent Chromium
• Gross Alpha Particles
• Tetrachloroethylene (PCE)
• Uranium
The PHG Report is a routine informational document that provides scientific health-based guidelines, not regulatory standards or action levels. Importantly, this report does not signal any water quality issues or health concerns, and no corrective actions are needed. The City remains committed to providing safe, high-quality drinking water through ongoing testing and monitoring.

3. FISCAL IMPACT / BUDGET AMENDMENT:

There is no fiscal impact associated with this action.

4. ENVIRONMENTAL DETERMINATION:

This action is not subject to the provisions of the California Environmental Quality Act

Agenda Staff Report
12/9/2025
(CEQA) in accordance with Section 15378(b)(5) of the CEQA guidelines. This action consists of "organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment" and therefore is not considered a project.

5. ATTACHMENTS:

1. PHG Report 2025 (2022-2024)

Public Health Goal Report
June 2025 Public Health Goal Report Page 1
Public Health Goal Report
2022 - 2024
City of Turlock
Municipal Services Department
June 2025

Public Health Goal Report
June 2025 Public Health Goal Report Page 2
Background
California Health and Safety Code Section 116470(b) requires that larger water utilities (>10,000 service connections) prepare a Public Health Goal Report (hereinafter “Report”) every three years if any constituent in their drinking water supply has exceeded any Public Health Goals (PHGs). PHGs are non-enforceable goals established by the California Environmental Protection Agency’s (Cal-EPA) Office of Environmental Health Hazard Assessment (OEHHA). The law requires that where OEHHA has not adopted a PHG for a constituent, water suppliers are to use the Maximum Contaminant Level Goal (MCLG) adopted by United States Environmental Protection Agency (USEPA) when preparing their Reports. Only constituents which have a California primary drinking water standard and for which either a PHG or MCLG has been set are to be addressed in the Report.

There are a few constituents that are routinely detected in water systems at levels usually well below the drinking water standards for which no PHG or MCLG has yet been adopted by OEHHA or USEPA.

Such constituents will be addressed in future required reports once a PHG is adopted. If a constituent was detected in the City’s water supply during 2022, 2023 or 2024 at a level exceeding an applicable PHG or MCLG, this Report will provide information required by law.

This Report provides the following information as specified in the California Health and Safety Code Section 116470(b) for any contaminant detected in the City’s water supply between 2022 and 2024 at a level exceeding a PHG or MCLG:
• Numerical public health risk associated with the Maximum Contaminant Level (MCL) and the PHG and MCLG;
• Category or type of risk to health that could be associated with each contaminant level; • Best Available Treatment Technology (BAT) that could be used to reduce the contaminant level; and
• Estimate of the cost to install that treatment.

Public Health Goals
PHGs are set by the OEHHA, which is part of Cal-EPA, and are based solely on public health risk considerations. None of the practical risk-management factors that are considered by the USEPA or the State Water Resources Control Board (SWRCB) Division of Drinking Water (DDW) in setting drinking water standards (MCLs) are considered in setting the PHGs. These factors include analytical detection capability, treatment technology available, benefits and costs. The PHGs are not enforceable and are not required to be met by any public water system. MCLGs are the federal equivalent to PHGs.

City of Turlock Water Source
The City of Turlock is reliant on both groundwater and surface water purchased from the Stanislaus Regional Water Authority (SRWA) for its drinking water source. As of June 2025, the City has 16 active drinking water wells pumping into the distribution system.

Water Quality Data Considered
All of the water quality data collected by the City between 2022 and 2024 for purposes of determining compliance with drinking water standards was considered. This data was all summarized in the City’s 2022, 2023, and 2025 Water Quality Reports which were made available to all drinking water customers by July 1
st of their respective years.

Public Health Goal Report
June 2025 Public Health Goal Report Page 3
Guidelines Followed
The Association of California Water Agencies (ACWA) formed a workgroup which prepared guidelines for water utilities to use in preparing these newly required reports. The ACWA guidelines were used in the preparation of the City’s report. No guidance was available from state regulatory agencies.

Best Available Treatment Technology (BAT) and Cost Estimates Both the USEPA and DDW adopt what are known as BATs, or Best Available Technologies, which are the best known methods of reducing contaminant levels to the MCL. Costs can be estimated for such technologies. However, since many PHGs and all MCLGs are set much lower than the MCL, it is not always possible, nor feasible, to determine what treatment is needed to further reduce a constituent downward to, or near, the PHG or MCLG, many of which are set at zero. Estimating the costs to reduce a constituent to zero is difficult, if not impossible, because it is not possible to verify by analytical means that the level has been lowered to zero. In some cases, installing treatment to try and further reduce very low levels of one constituent may have adverse effects on other aspects of water quality.

Treatment cost estimates for constituents listed were derived from the “Cost Estimates for Treatment Technologies,” included as Attachment No. 3 in the ACWA Suggested Guidelines for PHG Reports. In addition, treatment costs were provided based on previous and/or current cost estimates for treatment of certain contaminants. Water production for each source can vary dramatically from year to year so the treatment cost associated with these estimates can vary significantly. The estimates for specific treatment technologies do not include other factors, such as permitting and waste disposal.

Furthermore, before any treatment system is approved by DDW, the City is required to conduct a California Environmental Quality Act (also known as CEQA) review to assess potential environmental impacts that may be related to the project. The results of that assessment could add significant costs to mitigate potential concerns, or could preclude using a specific treatment technology altogether.

Waste disposal costs associated with various treatment technologies vary widely. Some waste disposal costs are known and can be estimated as part of the routine operations and maintenance of the system. Others requiring direct discharge to the sanitary sewer or hauling of potentially hazardous waste would have to be determined on a case-by-case basis.

Constituents Detected that Exceed a PHG or MCLG
The following is a discussion of constituents that were detected in one or more of the City’s drinking water sources at levels above the PHG, or if no PHG, above the MCLG:
• 1,2,3-Trichloropropane (TCP)
• Arsenic
• Hexavalent Chromium
• Gross Alpha Particles
• Tetrachloroethylene (PCE)
• Uranium
This report only provides information on contaminants that were found in the City’s drinking water that exceeded the PHG or MCLG. The City of Turlock consistently delivers safe drinking water to its customers. The levels of these contaminants were below the MCLs; therefore, they do not constitute a violation of drinking water regulations, or indicate the water is unsafe to drink. 1,2,3-Trichloropropane (TCP)
Eight wells exceeded the PHG for 1,2,3 Trichloropropane (TCP) between the period of 2022 through 2024 and three of the eight were placed under a compliance order. All three wells have been removed

Public Health Goal Report
June 2025 Public Health Goal Report Page 4
from service and are no longer running into the water system. The City is currently exploring funding options to remove TCP and return these wells to service. • Health Related Information
TCP is a chlorinated hydrocarbon with high chemical stability. It is a man-made chemical found at industrial or hazardous waste sites. It has been used as a cleaning and degreasing solvent and also is associated with pesticide products. TCP causes cancer in laboratory animals (US EPA, 2009). It is reasonably anticipated to be a human carcinogen (NTP, 2014), and probably carcinogenic to humans, based on sufficient evidence of carcinogenicity in experimental animals (IARC, 1995). In 1992, TCP was added to the list of chemicals known to the state to cause cancer, pursuant to California's Safe Drinking Water and Toxic Enforcement Act (Proposition 65).

Health Risk Category Carcinogenicity (causes cancer)
PHG (mg/L) 0.0000007
Cancer Risk at the PHG One case per million people exposed for a 70-year period
MCL (mg/L) 0.000005
Cancer Risk at the MCL Seven cases per million people exposed for a 70-year period
mg/L = milligrams per liter
• BAT for Treatment
The approved BATs for treating TCP in drinking water include the following treatment techniques:
o Granular Activated Carbon (GAC)
o Packed Tower Aeration
Since GAC can treat multiple contaminants that are found to be above the PHG within the City’s system, it would be the most likely treatment method to select. The cost would be estimated at $0.65 per 1,000 gallons of water treated (using Attachment No. 3 of the ACWA’s Suggested Guidelines for PHG Reports). The annualized capital and operations and maintenance (O&M) cost would be approximately $4,144,608. This would result in an annual estimated increased cost of $214.39 per customer or a monthly estimated increased cost of $17.87 per customer.

Arsenic
Seventeen wells exceeded the PHG for arsenic between the period of 2022 through 2024. One well currently has Iron Assisted Coagulation Filtration (ICF) treatment in place. The City is also pursuing funding for two other wells for treatment.
• Health Related Information
Arsenic (As) is a naturally occurring element in the earth's crust and is widely distributed in the environment. In general, humans are exposed to microgram (μg) quantities of arsenic (inorganic and organic) largely from food (25 to 50 μg per day) and to a lesser degree from drinking water and air. Arsenic is used in industry as a component in wood preservatives, pesticides, paints, dyes, and semi-conductors. In most areas, erosion of rocks and minerals is considered to be the primary source of arsenic in groundwater. Environmental contamination may result from anthropogenic sources such as: urban runoff, treated wood, pesticides, fly ash from power plants, smelting, and mining wastes. Studies cited have associated chronic intake of arsenic in

Public Health Goal Report
June 2025 Public Health Goal Report Page 5
drinking water with the following non-carcinogenic health effects including: heart attack, stroke, diabetes mellitus, and hypertension. Other effects also include decreased production of erythrocytes and leukocytes, abnormal cardiac function, blood vessel damage, liver and/or kidney damage, and impaired nerve function in hands and feet (paresthesia). Characteristic skin abnormalities are also seen appearing as dark or light spots on the skin and small "corns" on the palms, soles, and trunk. Some of the corns may ultimately progress to skin cancer.

Carcinogenic health effects involve an increased risk of cancer at internal sites, especially lungs, urinary bladder, kidneys, and liver. The health effects language in Appendix 64465-D of Title 22, California Code of Regulations states: “Some people who drink water containing arsenic in excess of the MCL over many years may experience skin damage or circulatory system problems, and may have an increased risk of getting cancer.” Health Risk Category Carcinogenicity (causes cancer)
PHG (mg/L) 0.000004
Cancer Risk at the PHG One case per million people
exposed for a 70-year period
MCL (mg/L) 0.010
Cancer Risk at the MCL Two and a half cases per
thousand people exposed for a
70-year period
• BAT for Treatment
The BATs for arsenic removal are dependent on the water chemistry of the source to be treated.

While research into new methods of removing arsenic continues, the current recommendations include:
o Activated Alumina
o Coagulation / Filtration
o Electrodialysis
o Ion Exchange
o Lime Softening
o Oxidation Filtration
o Reverse Osmosis
Since arsenic levels in City’s wells showing the presence of arsenic are already below the MCL, reverse osmosis would likely be required to effectively decrease the amount of arsenic present.

The cost would be estimated at $2.46 per 1,000 gallons of water treated (using Attachment No. 3 of the ACWA’s Suggested Guidelines for PHG Reports). The annualized capital and O&M cost would be approximately $35,005,997. This would result in an annual estimated increased cost of $1,810.78 per customer or monthly estimated increased cost of $150.90 per customer.

Hexavalent Chromium
Fourteen wells exceeded the PHG for hexavalent chromium between the period of 2022 through 2024. • Health Related Information
Hexavalent chromium is a heavy metal that can occur naturally at low levels in drinking water but can also enter drinking water sources through historic leaks from industrial plants and hazardous waste sites. Chromium is used in many products and processes, including stainless steel, textile dyes, wood preservation, leather tanning, and anti-corrosion coatings. Acute exposure to hexavalent chromium in humans can result in respiratory irritation, eye irritation, and

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June 2025 Public Health Goal Report Page 6
upper abdominal pain. Chronic exposure to chromium causes gastrointestinal tumors and stomach cancer. Studies show increased cancer rates in both laboratory animals consuming contaminated drinking water and workers with occupational exposure. Hexavalent chromium is a potent carcinogen that can damage DNA.

Health Risk Category Carcinogenicity (causes cancer)
PHG (mg/L) 0.00002
Cancer Risk at the PHG One case per million people exposed for a 70-year period.

MCL (mg/L) 0.01
Cancer Risk at the MCL Five cases per ten thousand people exposed for a 70-year period.
• BAT for Treatment
The approved BATs for treating hexavalent chromium include the following treatment techniques:
o Ion Exchange
o Reverse Osmosis
o Coagulation/Filtration
o Electrochemical Reduction
Since reverse osmosis can treat multiple contaminants such as uranium and gross alpha particles, the City would likely select this form of treatment. The cost would be estimated at $2.46 per 1,000 gallons of water treated (using Attachment No. 3 of the ACWA’s Suggested Guidelines for PHG Reports). The annualized capital and O&M cost would be approximately $28,119,571.

This would result in an annual estimated increased cost of $1,455 per customer or a monthly estimated increased cost of $121.21 per customer.

Gross Alpha Particle Activity
Five wells exceed the MCLG for gross alpha particles between the period of 2022 through 2024. • Health Related Information
Certain minerals are radioactive and may emit a form of radiation known as alpha radiation.

Gross alpha particle activity (GA) is a measurement of the overall alpha radiation emitted when certain elements such as uranium and radium undergo radioactive decay. Alpha radiation exists in the air, soil and water. Naturally occurring alpha radiation in groundwater results mainly from the dissolution of minerals as the water seeps into the ground, and as water moves through aquifers. Detectable levels of GA above the detection limit for purposes of reporting (DLR) are used to determine when additional radionuclide speciation (monitoring) is required. Because GA is associated with a group of radioactive elements rather than an individual contaminant, OEHHA determined it is not practical to establish a PHG. GA is known to cause cancer; therefore, USEPA established the MCLG at zero picocuries per liter (pCi/L). the actual cancer risk from radionuclides emitting alpha radiation in drinking water depends on the particular radionuclide present and the average consumption over a lifetime. Alpha radiation loses energy rapidly and doesn’t pass through the skin; therefore, it is not a health hazard outside of the body. Typical exposure routes for alpha radiation include: eating, drinking, and inhaling alpha-emitting particles. General, non-carcinogenic health effects associated with ingesting elevated levels of alpha radiation include kidney damage, damage to cells and DNA, and damage to other vital organs. Specific cancers that may result from exposure to elevated levels of alpha radiation

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June 2025 Public Health Goal Report Page 7
include: bone cancer and cancer of particular organs, each of which are associated with specific alpha-radiation emitters.

Health Risk Category Carcinogenicity (causes cancer)
MCLG (pCi/L) Zero
Cancer Risk at the PHG One case per million people exposed for a 70-year period.

MCL (pCi/L) 15
Cancer Risk at the MCL One case per thousand people exposed for a 70-year period.
• BAT for Treatment
The approved BAT for treating gross alpha particles in drinking water include the following treatment techniques:
o Reverse Osmosis
The most effective method to reduce gross alpha particles is to install reverse osmosis treatment at select groundwater wells where results exceed the MCLG and are detectable at levels above the DLR. Cost estimates for reverse osmosis would be around $2.46 per 1,000 gallons of water treated (using Attachment No. 3 of the ACWA’s Suggested Guidelines for PHG Reports). The annualized capital and O&M costs would be approximately $9,054,374. This would result in an annual estimated increased cost of $468.36 per customer or a monthly estimated increased cost of $39.03 per customer.

Tetrachloroethylene
Two wells exceeded the PHG for tetrachloroethylene (PCE) between the period of 2022 through 2024. • Health Related Information
PCE is widely used for dry-cleaning fabrics and metal degreasing operations. Effects resulting from acute (short term) high-level inhalation exposure of humans to PCE include irritation of the upper respiratory tract and eyes, kidney dysfunction, and neurological effects such as reversible mood and behavioral changes, impairment of coordination, dizziness, headache, sleepiness, and unconsciousness. The primary effects from chronic (long term) inhalation exposure are neurological, including impaired cognitive and motor neurobehavioral performance. PCE exposure may also cause adverse effects in the kidney, liver, immune system and hematologic system, and on development and reproduction. Studies of people exposed in the workplace have found associations with several types of cancer including bladder cancer, non-Hodgkin lymphoma, and multiple myeloma. EPA has classified PCE as likely to be carcinogenic to humans.

Health Risk Category Carcinogenicity (causes cancer)
PHG (mg/L) 0.00006
Cancer Risk at the PHG One case per million-population exposed for a 70-year period.

MCL (mg/L) 0.005
Cancer Risk at the MCL Eight cases per one hundred thousand people exposed over a 70-year period

Public Health Goal Report
June 2025 Public Health Goal Report Page 8
• BAT for Treatment
The approved BATs for treating PCE in drinking water include the following treatment techniques:
o Granular Activated Carbon (GAC)
o Packed Tower Aeration
Since GAC can treat multiple contaminants that are found to be above the PHG within the City’s system, it would be the most likely treatment method to select. The cost would be estimated at $0.65 per 1,000 gallons of water treated (using Attachment No. 3 of the ACWA’s Suggested Guidelines for PHG Reports). The annualized capital and O&M cost would be approximately $1,010,880. This would result in an annual estimated increased cost of $52.29 per customer or a monthly estimated increased cost of $4.36 per customer.

Uranium
Three wells exceeded the PHG for uranium between the period of 2022 through 2024. • Health Related Information
Uranium is a common naturally occurring and radioactive substance. It is a normal part of rocks, soil, air, and water, and it occurs in nature in the form of minerals, but never as a metal. Uranium has demonstrated toxic effects on human kidneys leading to kidney inflammation and changes in urine composition. Uranium can decay into other radioactive substances, such as radium, which can cause cancer with extensive exposures over a long enough period of time (US EPA, 2013).

Health Risk Category Carcinogenicity (causes cancer)
PHG (pCi/L) 0.43
Cancer Risk at the PHG One case per million people exposed for a 70-year period.

MCL (pCi/L) 20
Cancer Risk at the MCL Five cases per one hundred thousand people exposed for a 70-year period
• BAT for Treatment
The approved BATs for treating uranium include the following treatment techniques:
o Ion Exchange
o Reverse Osmosis (RO)
o Lime Softening
o Coagulation/Filtration
The most effective method to reduce Uranium is to install reverse osmosis treatment at select groundwater wells where results exceed the PHG and are detectable at levels above the DLR.

The cost would be estimated at $2.46 per 1,000 gallons of water treated (using Attachment No. 3 of the ACWA’s Suggested Guidelines for PHG Reports). The annualized capital and O&M cost would be approximately $6,631,373. This would result in an annual estimated increased cost of $343.03 per customer or a monthly estimated increased cost of $28.59 per customer.

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June 2025 Public Health Goal Report Page 9
Recommendations for Further Action
The drinking water quality of the City of Turlock meets all State Water Resources Control Board and USEPA drinking water standards established to protect public health. To further reduce the levels of the constituents identified in this report that are already below the Maximum Contaminant Levels established by the State and Federal government, additional costly treatment processes would be required. The effectiveness of the treatment processes to provide any significant reductions in constituent levels at these already-low values is uncertain. The theoretical health protection benefits of these further hypothetical reductions are not at all clear and may not be quantifiable. Therefore, staff is not recommending further action at this time. However, the point of this process is to provide customers and decision-makers with information on the City of Turlock’s drinking water quality, as well as cost estimates to make certain improvements.

More Information
This report was completed by the City of Turlock’s Municipal Services Department’s staff. Any questions relating to this report should be directed to:

Lupe Madrigal
Staff Services Analyst
156 S Broadway, Ste. 270
Turlock, CA 95380
(209) 668-5590

City Council Staff Report
December 9, 2025
From: Christopher Fisher, Municipal Services Director
Prepared by: James Governale, Administrative Analyst
Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Ordinance: Introduction and first reading of an ordinance amending Turlock Municipal Code Title 7 (Public Works), Chapter 7-2 (Street Improvements), Article 6 (Miscellaneous Provisions), and amending Chapter 7-6 (Sidewalk Maintenance and Repair Obligations) Resolution: Adopting a sidewalk repair assistance program and authorizing the City Manager or Interim City Manager to administer the sidewalk repair assistance program and Amend the Fiscal Year 2025–26 budget to reflect $100,000 in revenue (account 218-40- 463.35350 – Sidewalk Repair Program) and $400,000 in expenses (account 218-40- 463.47320_001 – Repair Program Sidewalk) from Fund 218 (Measure L) unallocated reserves
Resolution: Increasing the commitment established in Resolution 2025-072 from $25,000 to $50,000 and appropriate $25,000 to Fund 217 “Streets – Gas Tax” account number 217- 50-510.47320_001 “Repair Program Sidewalk” from unallocated reserves for offsetting encroachment permit fees for qualifying frontage improvement projects Resolution: Rescinding Resolution 1992-081

2. NARRATIVE:

Since 1941, California Streets and Highways Code has required property owners to maintain sidewalks adjacent to their property in a condition that does not endanger persons or interfere with public use. Turlock Municipal Code (TMC) echoes this requirement in Section 7-2-601, placing the responsibility for repair and maintenance of sidewalks, curbs, gutters, and driveway approaches on adjacent property owners.

Over the years, Turlock City Councils have consistently reinforced this principle through ordinances and programs designed to support sidewalk maintenance and repair. These include various initiatives adopted in 1992, 2012, 2013, 2016, 2017, and 2025, as well as measures authorizing liens against properties when repairs were not completed promptly or properly, such as those enacted in 1976, 1988, 1990, 2014, and 2015. Each Council has made steady progress toward stronger and more consistent enforcement, recognizing the importance of maintaining safe and accessible pedestrian infrastructure for all residents.

Responsibility for Maintenance
Balancing accessibility, public safety, and affordability with regard to sidewalks is always a challenge. While shifting the responsibility for all sidewalk maintenance to the City might appear attractive to some, there are many reasons that shifting responsibility to the City is not advised:

Agenda Staff Report
12/9/2025
• Adjacent property owners are in a better position to “repair” defective sidewalks because it is adjacent to their property, and they will have knowledge of the defect before the City.
• Adjacent property owners receive a special benefit of safe sidewalks (providing safe access and walkability).
• The City has hundreds of miles of sidewalks and it is difficult for the City to monitor the condition of all sidewalks.
• The cost to the City to maintain all sidewalks is expected to be tens of millions of dollars annually; prevailing wage requirements make City-managed repairs a minimum of 30–40% more expensive than privately contracted work. The fiscal impact could include either:
o Halting some or all currently-appropriate sources of funding and shifting the focus from wherever they are (could be road construction, pothole repair, public safety, recreation, park maintenance, and many more) to sidewalk maintenance, and/or
o Levying a new tax in order to retain current services and taking on sidewalk maintenance, repair, and replacement, as necessary.

As with all financial decisions that the City makes, a "yes" to one thing is a "no" to something else; all in all, the fiscal impact to Turlock residents or visitors at large is expected to be far greater if the City were to take on all sidewalk maintenance and repair than if the duty to maintain remains with the respective property owner.

Enforcement Action
Past enforcement often involved sending notices, requiring property owners to make repairs, and, if necessary, completing the work and placing a lien on the property. This process was burdensome for all parties but necessary for the safety of pedestrians and compliance with the law. This was often made more complicated by damage caused by “street trees,” which the TMC requires property owners to maintain when such trees are adjacent to their property (TMC 7-7-206). If neglected or watered improperly, trees often cause infrastructure damage.

Liability
Unrepaired sidewalks present serious liability risks for both the City and property owners.

Lawsuits that name the City and not a property owner do not leave our residents unaffected - they affect taxpayers citywide. In the interest of being good stewards of public funds and acting in the interest of the residents of and visitors to Turlock, the City has a responsibility to maintain and strengthen our Turlock Municipal Code and enforcement action relative to sidewalk maintenance and repair.

Proposed Actions
Accordingly, City staff engaged Jarvis Fay LLP, who advised the City to strengthen its ordinance, retain property owner responsibility, and, if desirable as a policy directive, provide targeted financial assistance. In looking at municipal counterparts around California, the advice they offered to staff is given and recommended in the interest of protecting the City and the residents of Turlock at large, increasing total benefit to all parties.

The City has already taken steps in this direction by adopting Resolution 2025-072, which

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waives encroachment permit fees for sidewalk repairs using Gas Tax (Fund 217). The actions recommended in this report build upon that framework:
• Introduce an updated ordinance. Reorganize and clarify TMC provisions, making them more accessible and visible to residents and compliant with legal requirements, while outlining some enforcement procedures.
• Adopt and fund an assistance program. Provide meaningful financial support to property owners while efficiently leveraging competitive bidding and project grouping to offset prevailing wage costs.
• Increase funding for encroachment permits. Increase the allocation for offsetting encroachment permit fees and provide budget to support approximately 300 repairs initially, with staff to monitor usage and request additional appropriations if warranted. • Rescind an outdated program. Clear away conflicting past policies, most notably Resolution 1992-081.
• Next meeting - Approve repair contracts. Secure contractors for both minor (grinding/sawcut) and major (removal/replacement) repairs to ensure capacity regardless of property owner participation.
o This will include both work done under the assistance program, sidewalk, curb, and gutter repair of City-owned facilities, and final enforcement actions related to non-responsive property owners.

Sidewalks are a vital part of Turlock’s infrastructure, many of which are decades old and require either continued maintenance or repair. Staff recommend approval of the actions outlined to implement a lawful, fair, and sustainable sidewalk repair program.

3. FISCAL IMPACT / BUDGET AMENDMENT:

The fiscal impact of the proposed actions are as follows:
• Rescind Resolution 1992-081: No fiscal impact.
• Ordinance: Expected to increase encroachment permits, generating revenue to the General Fund (110-40-410.35191 – Utility Co. Inspection Permit Fee). This increase will likely be reduced by the revenue provided from the program that offsets encroachment fees for qualifying frontage repairs with funds from Fund 217 (Gas Tax).
• Sidewalk Repair Assistance Program:
o City will pay contractors directly and invoice property owners for their share:
▪ Revenues: Account 218-40-463.35350 – Sidewalk Repair Program ▪ Expenses: Account 218-40-463.47320_001 – Repair Program Sidewalk o Staff recommend a tiered approach, consisting of a standard program and an enhanced level of assistance for participants who meet certain eligibility criteria.
o Staff also recommend establishing both a percentage-based and a not-toexceed assistance amount for each tier. o In alignment with the proposed ordinance, the City Manager would be authorized to administer this program, which allows for greater flexibility and efficiency to ensure it works best for property owners. • Budget Amendment: Staff recommend amending the Fiscal Year 2025–26 budget to recognize $100,000 in anticipated revenue (Account 218-40-463.35350 – Sidewalk

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Repair Program) and to appropriate a total of $400,000 in expenses in Account 218- 40-463.47320_001 from Fund 218 (Measure L) unallocated reserves. • Increase Offset for Permits: Staff recommend increasing the commitment established in Resolution 2025-072 from $25,000 to $50,000 and therefore appropriate $25,000 to Fund 217 "Streets - Gas Tax" from unallocated reserves.

4. ENVIRONMENTAL DETERMINATION:

These actions are not subject to the provisions of the California Environmental Quality Act (CEQA) in accordance with Section 15378(b)(5) of the CEQA guidelines. These actions consist of “organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment” and therefore are not considered projects.

5. ATTACHMENTS:

1. Draft Ordinance

2. Draft Resolution - Adoption and Funding of Program

3. Draft Resolution - Increase for Offsetting Fees

4. Draft Resolution - Rescinding Resolution 1992-081

5. Resolution 1992-081 Turlock Sidewalk Repair Program (to be rescinded)

6. TMC 7-2 Article 6 and TMC 7-6 (current)

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
ORDINANCE NO. 1337-CS
WHEREAS, sidewalks are an important piece of the City of Turlock’s (“City”) transportation network; and
WHEREAS, the City wants to ensure that all sidewalks are properly maintained and free of dangerous defects; and
WHEREAS, the timely maintenance and repair of sidewalks is essential to protect the health, welfare, and safety of Turlock residents, workers, and visitors from dangerous sidewalk defects; and
WHEREAS, a property owner adjacent to the sidewalk is in the best position to know of unsafe sidewalk conditions and to notify the City of the dangerous defect; and WHEREAS, the California Streets and Highways Code provides that adjacent property owners owe a duty to the City to maintain sidewalks and repair dangerous sidewalk defects; and WHEREAS, the City wishes to clarify that adjacent property owners are liable for injuries resulting from dangerous sidewalk defects; and
WHEREAS, the City wishes to amend the Turlock Municipal Code (“TMC”) to codify an indemnification requirement for adjacent property owners should the City face legal liability resulting from an injury occurring as a result of a dangerous sidewalk defect; and WHEREAS, the City wishes to establish a process whereby the City will notify property owners of the need to repair a sidewalk defect and if the owner fails to timely make the repairs, the City may make the repairs on their behalf and bill the owner for the costs through a notice of costs; and
WHEREAS, under this process, if the owner fails to pay the costs set forth in the notice of costs, the City may initiate proceedings to make the cost of the work performed by the City a lien against the property fronting the repaired sidewalk; and WHEREAS, for transparency and ease of reference, the City wishes to restructure the TMC to move provisions related to sidewalk repair to in its own section of the Code.

BE IT ORDAINED by the City Council of the City of Turlock as follows:

SECTION 1. ENVIRONMENTAL DETERMINATION: The Ordinance has been reviewed with respect to applicability of CEQA and the CEQA Guidelines. The Ordinance is not a project }
}
}

IN THE MATTER OF AMENDING TURLOCK
MUNICIPAL CODE TITLE 7 (PUBLIC WORKS),
CHAPTER 7-2 (STREET IMPROVEMENTS),
ARTICLE 6 (MISCELLANEOUS PROVISIONS), AND
AMENDING CHAPTER 7-6 (SIDEWALK

MAINTENANCE AND REPAIR OBLIGATIONS)
}
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}
}
}
}
}

under CEQA Guidelines Section 15378(b)(5) because the Ordinance is an administrative activity that does not have the potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.

SECTION 2. AMENDMENT: Title 7, Chapter 7-2, Article 6, shall hereby be amended to read as follows:

Chapter 7-2

STREET IMPROVEMENTS
Article 6. Miscellaneous Provisions
7-2-601 Maintenance of curbs, gutters, sidewalks, curb cuts, and driveway approaches [REPEALED]
7-2-602 Exceptions to provisions.
(a) None of the provisions of this chapter, with respect to construction only, shall apply to any streets or portions of streets which may be determined by the Council to have reached a stage of improvement under the provisions of previous regulations which would cause a state of undue hardship or hazard to result from compliance with the provisions of this chapter. (b) None of the provisions of this chapter, except the minimum location, testing, inspection, fee, and construction standards, shall apply to the following:
(1) Public utility structures, such as street lights and telephone and power lines; and (2) Street signs, mailboxes, traffic signs, or other installations made by State or Federal governmental agencies.
7-2-603 Approval by the Building Official.

The Building Official shall deny the final approval of any building or its occupancy until the work required by the provisions of this chapter is completed or construction is guaranteed within a specified time limit approved by the City Engineer by an improvement security. Such improvement security shall be approved by the City Attorney in an amount to be fixed by the City Engineer in accordance with the criteria set forth in TMC 7-2-502.
7-2-604 Nuisances: Abatement.

The construction, repair, or maintenance of any sidewalk area, or failure to construct, repair or maintain any sidewalk area in violation of the provisions of this chapter is hereby declared to be a nuisance. The adjacent property owner shall be notified of the violation and shall be requested to apply for an encroachment permit and to correct the violation. On the owner’s failure to obtain an encroachment permit and correct the violation within forty-five (45) days after such notification, abatement proceedings may be instituted in accordance with the provisions of Chapter 5-5 TMC.

SECTION 3. AMENDMENT: Title 7, Chapter 7-6, shall hereby be amended in its entirety to read as follows:

Chapter 7-6

SIDEWALK MAINTENANCE AND REPAIR OBLIGATIONS

Article 1. Miscellaneous Provisions
7-6-101 Purpose of article.

It is the purpose of this article to provide sidewalk repair policies which are alternative and supplementary to the policies set forth in Chapter 22 of Division 7, Part 3, of the Streets and Highways Code of the State, commencing at Section 5600, as those sections now exist or may hereafter be amended or renumbered. In the event of any conflict between the provisions of said Chapter 22 of Division 7, Part 3, of the Streets and Highways Code of the State and this Code, the provisions of this Code shall control.
7-6-102 Definitions.

For the purposes of this chapter, unless otherwise apparent from the context, certain words and phrases used in this chapter are defined as follows:
(a) “City” shall mean the City of Turlock.
(b) “Defective sidewalk” shall mean a sidewalk where, in the judgment of the City, the vertical or horizontal line or grade is altered or displaced or such other condition exists that interferes with the public convenience in the use of the sidewalk.
(c) “Planting strip” shall mean that portion of the sidewalk planting strip not required for sidewalk, driveway, or curb use.
(d) “Property owner” or “owner” shall mean the owner of the real property, or the owner of the property adjacent to the right-of-way, in accordance with Chapter 22 of Division 7, Part 3, of the Streets and Highways Code. For the purposes of this article, “property owner” or “owner” may refer to one or multiple property owners.
(e) “Sidewalk” shall mean that portion of the sidewalk planting strip established for pedestrian use.

In those areas where a sidewalk does not exist, the City Engineer shall determine the location of the sidewalk area.
(f) “Sidewalk planting strip” shall mean that portion of the street right-of-way between the property line and the curb line.
7-6-103 Maintenance and repair of sidewalks.
(a) The property owner of lots or portions of lots adjacent to or fronting on any portion of a sidewalk area between the property line of the lots and the street line, including parking strips, sidewalks, curbs, gutters, curb cuts, and driveway approaches and persons in possession of such lots by virtue of any permit or right shall repair defective sidewalks and maintain such sidewalk areas in a nondangerous condition and pay the costs and expenses therefor, including a charge for the City of Turlock’s costs of inspection and administration or handling of any lien placed on the property due to failure of the property owner to promptly pay such assessments. (b) Maintenance and repair of sidewalk area shall include, but not be limited to, maintenance and repair of surfaces including grinding, removal and replacement of sidewalks, repair and maintenance of curb and gutters, removal and filling or replacement of parking strips, removal of weeds and/or debris, tree root pruning and installing root barriers, trimming of shrubs and/or ground cover, and trimming shrubs within the area between the property line of the adjacent

property and the street pavement line, including parking strips and curbs, so that the sidewalk area will remain in a condition that is not dangerous to property or to persons using the sidewalk in a reasonable manner and will be in a condition which will not interfere with the public convenience in the use of said sidewalk area.
(c) In conjunction with any sale or transfer of real property and using the Local Option Real Estate Transfer Disclosure Statement form set forth in Civil Code Section 1102.6a, the seller/transferor shall provide notice of the maintenance and repair obligations set forth in TMC Chapter 7-6 to the buyer/transferee. The notice shall, at a minimum, include the following language:

The owners of lots or portions of lots adjacent to or fronting on any portion of a sidewalk area between the property line of the lots and the street line, including parking strips, sidewalks, curbs, gutters, curb cuts, and driveway approaches and persons in possession of such lots by virtue of any permit or right shall repair and maintain such sidewalk areas and pay the costs and expenses therefor, including a charge for the City of Turlock’s costs of inspection and administration or handling of any lien placed on the property due to failure of the property owner to promptly pay such assessments. (d) To provide all property owners with notice of his/her obligation to maintain and repair his/her sidewalk area as set forth in this article, the ordinance codified in this chapter shall be recorded with the County Clerk of the County of Stanislaus.
7-6-104 Liability for injuries to public.

The property owner required under this section to maintain and repair the sidewalk area shall owe a duty to members of the public to keep and maintain the sidewalk area in a safe and nondangerous condition. If, as a result of the failure of any property owner to maintain the sidewalk area in such a nondangerous condition as required, any person suffers injury or damage to person or property, the property owner shall be liable to such person for the resulting damages or injury.

Any person who suffers injury or property damage as a result of the failure of the property owner to maintain the sidewalks and sidewalk areas shall have a cause of action for such injury or property damage against such property owner.
7-6-105 Indemnity.

A property owner shall defend and indemnify the City and its employees from any action, claim, or judgment, and any cost or expense incurred, including attorneys' fees, which arise from the property owner's failure to maintain and repair the sidewalk as required in this section. Nothing in this section creates an obligation on an owner to defend or indemnify the City from any action, claim or judgment to the extent any employee or instrumentality of the City caused the defective sidewalk which resulted in the claimant's injuries or damage. 7-6-106 Notice to repair.
(a) When the City has actual notice of the existence of a defective sidewalk, the City may give written notice to the owner of the lot, lots or portion of the lot fronting the defective sidewalk to repair the defective sidewalk. The City may also give notice to the person in possession of the lot, lots or portion of the lot, in addition to the notice given to the owner of the lot.

(b) This provision does not restrict the City’s ability to send any additional notices to repair to the owner of the lot, lots or portion of the lot fronting the defective sidewalk to repair the defective sidewalk.
7-6-107 Service of notice.
(a) The notice to repair shall be served on the owner by any of the following methods:
(1) Mailing an initial notice to the owner by first class mail, postage prepaid, to the address of the owner as set forth on the last equalized assessment roll and mailing a second notice, not less than seven (7) or more than ten (10) days after the mailing of the initial notice to repair. The second notice to repair shall be marked “Second Notice.”; or (2) Posting the notice in a conspicuous place at the lot or lots fronting the defective sidewalk mailing notice to the owner by first class mail, postage prepaid, to the address of the owner as set forth in the last equalized assessment roll. 7-6-108 Contents of notice.
(a) The notice to repair shall, at a minimum, contain the following information:
(1) That the sidewalk is a defective sidewalk;
(2) The nature of the work required to be done;
(3) The manner in which the work is to be done, including the specifications required by the City as to materials and workmanship;
(4) That if the repair is not commenced within the time as specified by the notice, or once commenced is not completed diligently and without interruption, the City may commence and complete the repair and the cost thereof shall become a lien on the lot or lots of the owner fronting the defective sidewalk; and
(5) Provide that the owner may elect to perform the repairs him or herself, have the work performed by a licensed contractor, or have the work performed by the City, through a contractor selected by the City or with City employees. (b) Notwithstanding the provisions of the Streets and Highways Code, the City Manager or his designee may in their discretion, and for sufficient cause, extend the period by 90 days, or further if determined by the City Manager to be necessary, in which required maintenance and repair of sidewalk areas must commence.
7-6-109 Failure to make required repairs.
(a) If, after the owner has been notified of its obligation, the owner fails to make the repairs within the time established as required by the City’s notice to repair, the City may repair the sidewalk.

The cost of such repair shall be an obligation to the City owed by the owner. (b) Title Transfer. If the owner has received a notice to repair and has not completed the required sidewalk repairs, it must complete the repairs prior to transferring title associated with the sale of real property. “Title transfer” means the sale or transfer of an entire real property estate or the fee interest in that real property estate and does not include the sale or transfer of partial interest, including a leasehold. In addition, the following shall not be included: (1) transfer by a fiduciary in

the course of the administration of a decedent's estate, guardianship, conservatorship, or trust, (2) transfers from one (1) co-owner to one (1) or more other co-owners, or from one (1) or more co-owners into or from a revocable trust, if the trust is for the benefit of the grantor or grantors, (3) transfers made by a trustor to fund an inter vivos trust, (4) transfers made to a spouse, to a registered domestic partner as defined in Section 297 of the Family Code, or to a person or persons in the lineal line of consanguinity of one (1) or more of the transferors, (5) transfers between spouses or registered domestic partners resulting from a decree of dissolution of marriage or domestic partnership, or a decree of legal separation or from a property settlement agreement incidental to a decree, (6) transfers from property owners to any financial institution as a result of a foreclosure or similar process.
7-6-110 Payment of repairs; notice of cost.
(a) If the City has repaired the sidewalk in accordance with Section 7-6-109, the City shall give written notice to the owner of the lot, lots or portion of the lot fronting the defective sidewalk of the cost of all the work in connection with the repair of a defective sidewalk, including administrative and inspection costs.
(b) Upon receipt of a notice of cost described in subdivision (a), the owner is responsible to pay the total cost within the time specified in the City’s notice of cost. 7-6-111 Assessing cost of sidewalk repairs upon nonpayment of invoice. (a) If the owner has not provided payment within the time specified in the City’s notice of cost, the City may initiate proceedings to make the cost of the work performed by the City a lien against the parcel(s) of property fronting the repaired sidewalk(s). (b) The City shall issue a notice of lien to all owners who fail to pay for the work provided by the City for repair of a defective sidewalk. This notice shall provide a process whereby the owner may dispute the amount due with the Municipal Services Director (or their designee) by filing a protest; set forth a due date for payment; and provide a process for the owner to obtain a hearing before a hearing officer appointed by the City Manager (or their designee). (c) The notice shall be served on the owner in accordance with TMC Section 7-6-107. The notice shall set the date and time by which a protest shall be filed with the Municipal Services Director (or their designee). No protest received after that date and time shall be considered. 7-6-112 Lien protest process.

In order for the owner to obtain a hearing before a hearing officer, the owner must first protest the charges with the Municipal Services Director (or their designee). A protest must be submitted in writing by way of personal delivery, email, fax, or mail. The Municipal Services Director (or their designee) will investigate the protest, and at the conclusion of the resolution process, a "finding of facts" letter will be prepared and served on the owner in accordance with TMC Section 7-6- 107. If the owner disagrees with the Municipal Services Director’s (or their designee’s) findings, he or she may request a formal hearing before a hearing officer within the deadline set forth in the finding of facts. If the owner does not request a formal hearing by the deadline set forth in the finding of facts, the decision of the Municipal Services Director shall be final. 7-6-113 Notice of hearing.

The City shall cause notice of the hearing before the hearing office to be served on the owner in accordance with TMC Section 7-6-107 not less than ten (10) days prior to the date of the hearing. 7-6-114 Hearing and decision.

At the time fixed for consideration of the protest, the hearing officer shall hear the matter from the Municipal Services Director (or their designee), together with any objections and evidence, of the owner(s) liable to be assessed for the cost of repair. The hearing officer shall follow, as nearly as practicable, those procedures that the City Council would have followed had it conducted the hearing. The hearing officer may make revisions, corrections, or modifications of the matter as the hearing officer may deem just, and shall submit a report (as revised, corrected or modified) to the City for adjustment and/or collection. The report shall specify the repairs which have been made, the costs of the repairs, describe the real property in front of which the repairs have been made and the assessment against each lot or parcel of land proposed to be levied to pay the cost thereof. The City shall serve the results of the hearing to the protesting owner in accordance with TMC Section 7-6-107.
7-6-115 Hearing before the City Council
Upon receipt of the Hearing Officer’s report, the City Council shall schedule a public hearing at which it shall confirm, reject or modify the report. The City shall serve notice of the public hearing to all affected property owner(s) in accordance with TMC Section 7-6-107. The public hearing shall be limited to the issue of whether the hearing before the hearing officer was conducted in accordance with applicable City ordinances. Only the property owner(s) who both filed a protest and appeared before the hearing officer shall be permitted to protest at the City Council meeting.

The decision of the Council as to whether to confirm, reject, or modify the report shall be final. 7-6-116 Assessment of costs of repair upon nonpayment of invoice.

In the event that the cost of repair to the sidewalk is not paid after the notice of cost, and a protest was not filed prior to the deadline or a protest was filed and denied, the City shall transmit to the Finance Director a statement of each such unpaid cost of repair. The Finance Director shall endeavor diligently to collect the same on behalf of the City. 7-6-117 Recording and release of lien.
(a) Sixty (60) days after the City Council adopts the report, the City will place a lien on the adjacent property in accordance with TMC 5-5-405.
(b) On payment of the amount owed, the City shall request that the County Recorder remove the lien.
7-6-118 City manager authority.

The City Manager shall have the authority to establish administrative policies and regulations, which may include, but is not limited to, a financial assistance program, that may be necessary to implement the provisions of this Chapter.

SECTION 4. VALIDITY: If any section, subsection, sentence, clause, word, or phrase of this ordinance is held to be unconstitutional or otherwise invalid for any reason, such decision shall not affect the validity of the remainder of this ordinance. The Turlock City Council hereby declares that they would have passed this ordinance, and each section, subsection, sentence,

clause, word, or phrase thereof, irrespective of the fact that one or more section, subsection, sentence, clause, word, or phrase be declared invalid or unconstitutional.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Turlock this 9th day of December, 2025, by the following vote:

AYES:

NOES:

NOT PARTICIPATING:

ABSENT:

Signed and approved this 13th day of January, 2026.

SIGNED:

__________________________
AMY BUBLAK, Mayor
ATTEST:
___________________________
Nichole Fiez, City Clerk,
City of Turlock, County of Stanislaus,
State of California APPROVED AS TO FORM:
__________________________
George A. Petrulakis, City Attorney

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
RESOLUTION NO. 2025-

WHEREAS, sidewalks are a critical component of the City’s transportation network, providing safe, accessible, and convenient routes for pedestrians, including children, seniors, and persons with disabilities; and
WHEREAS, the construction, maintenance, and repair of sidewalks is essential to protecting public health, safety, and welfare by ensuring accessible rights-of-way and minimizing hazards; and
WHEREAS, California law, including Division 7, Part 3, Chapter 22 of the Streets and Highways Code, establishes the responsibility of adjacent property owners to maintain sidewalks adjoining their property; and
WHEREAS, the Turlock Municipal Code further affirms this responsibility, requiring adjacent property owners to maintain sidewalks, curbs, gutters, and driveway approaches in a safe and serviceable condition; and
WHEREAS, the City Council recognizes that sidewalk repair costs can pose a financial hardship for property owners and that a shared-cost assistance program will promote timely repairs and reduce liability risks for both property owners and the City; and
WHEREAS, it is in the City’s best interest to provide financial assistance to property owners, as needed, to promote timely and widespread sidewalk repairs; and WHEREAS, to aid Turlock residents in maintaining their sidewalks, the City will contract with a vendor who can provide concrete services and then collect a portion of the repair cost from the property owner; and
WHEREAS, the City Council desires to amend the Fiscal Year 2025–26 budget to establish funding for a sidewalk repair assistance program by recognizing anticipated revenues and appropriating expenditures necessary for program implementation; and }
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}

IN THE MATTER OF ADOPTING A

SIDEWALK REPAIR ASSISTANCE

PROGRAM AND AUTHORIZING THE CITY

MANAGER OR INTERIM CITY MANAGER

TO ADMINISTER THE SIDEWALK REPAIR

ASSISTANCE PROGRAM AND AMENDING
THE FISCAL YEAR 2025–26 BUDGET TO
REFLECT $100,000 IN REVENUE
(ACCOUNT 218-40-463.35350 – SIDEWALK
REPAIR PROGRAM) AND $400,000 IN
EXPENSES (ACCOUNT 218-40-
463.47320_001 – REPAIR PROGRAM
SIDEWALK) FROM FUND 218 (MEASURE

L) UNALLOCATED RESERVES

Resolution No. 2025-

WHEREAS, the City Council desires to allocate funding from Measure L - Fund 218 - to establish and administer a sidewalk repair assistance program, thereby providing meaningful financial support to property owners while ensuring the effective and efficient delivery of sidewalk repair projects; and
WHEREAS, the total proposed budget amendment reflects $100,000 in revenue (Account 218-40-463.35350 – Sidewalk Repair Program) and $400,000 in expenses (Account 218-40-463.47320_001 – Repair Program Sidewalk); and WHEREAS, the City Council intends that sidewalk repair assistance be provided on a first-come, first-served basis, subject to annual appropriation, and only until funds allocated for the program have been fully expended; and WHEREAS, participation in the sidewalk repair assistance program does not alter or shift the legal responsibility of adjacent property owners under State law or the Turlock Municipal Code to maintain the sidewalk adjoining their property; and WHEREAS, the City Council of the City of Turlock is committed to promoting safe, accessible, and well-maintained sidewalks throughout the community, and finds that the actions taken by this resolution are necessary and appropriate to protect the public health, safety, and welfare.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Turlock as follows:

1. The City Council hereby finds that the above recitations are true and correct and, accordingly, are incorporated as a material part of this Resolution.

2. This action is not a project under CEQA Guidelines Section 15378(b)(5) because the action consists of “organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment” and therefore is not considered a project.

3. The City Council of the City of Turlock hereby adopts a sidewalk repair assistance program and authorizes the City Manager or Interim City Manager to administer the sidewalk repair assistance program (Program). a. The Program is designed to improve public safety, support compliance, and reduce barriers to timely sidewalk repair, not to eliminate the property owner’s responsibility for sidewalk maintenance and repair. b. To be eligible for the Program, the applicant must satisfy the following criteria:
i. Be the legal owner of the subject property;
ii. The subject property is located within the City of Turlock; iii. The sidewalk defect is located within the public right-of-way and is located on the sidewalk adjacent to the subject property; and iv. Have no unpaid citations, administrative penalties, or

Resolution No. 2025-

enforcement costs associated with the subject property at the time the application is received by the City.
c. Only dangerous sidewalk defects, as determined by the City Engineer based on criteria established pursuant to Section 4, are eligible for repair under the Program. Repairs to driveways, non-dangerous defects, defects outside the public right-of-way, work performed before application approval, and repairs related to street trees are not eligible. d. The City will hire a contractor to perform the repair work, as determined by the City Engineer. The City Engineer shall determine whether the eligible dangerous sidewalk defect requires a minor repair (such as grinding or sawcutting) or a major repair (such as removal and replacement), based on a field assessment and industry standards. The City will pay the contractor in full. Once the repair is complete, the City will be reimbursed by the applicant according to the applicable assistance tier:
i. Standard: The City covers fifty-five percent (55%) of the eligible repair expense, not to exceed one thousand two hundred fifty dollars ($1,250); the applicant reimburses the City the remainder. ii. Income-Qualified: Available to applicants who meet income eligibility guidelines established pursuant to Section 4 of this Resolution. The City covers eighty-five percent (85%) of the eligible repair expense, not to exceed two thousand five hundred dollars ($2,500); the applicant reimburses the City the remainder. e. The Program will operate within an estimated annual funding level per fiscal year of $300,000, or such other amount as may be approved by the City Council, to be determined during the annual budget adoption process.
f. Participation in the Program shall be provided on a first-come, firstserved basis until Program funds have been exhausted. g. The Program shall be funded by Measure L (Fund 218) or any other appropriate funding source identified in the budget process.

4. The City Manager or Interim City Manager may establish additional administrative procedures, including income eligibility guidelines, documentation requirements, application forms, and internal review procedures consistent with this Resolution.

5. The City Council of the City of Turlock hereby amends the Fiscal Year 2025– 26 budget to reflect one hundred thousand dollars ($100,000) in revenue (Account 218-40-463.35350 – Sidewalk Repair Program) and four hundred thousand dollars ($400,000) in expenses (Account 218-40-463.47320_001 – Repair Program Sidewalk) from Fund 218 (Measure L) unallocated reserves to compensate for the Program and any other enforcement actions.

6. This Resolution shall take effect immediately upon adoption.

Resolution No. 2025-

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Turlock this 9th day of December, 2025, by the following vote:

AYES:

NOES:

NOT PARTICIPATING:

ABSENT: ATTEST:
__________________________
Nichole Fiez, City Clerk,
City of Turlock, County of Stanislaus,
State of California

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
RESOLUTION NO. 2025-

WHEREAS, sidewalks are a critical component of the City’s transportation network, providing safe, accessible, and convenient routes for pedestrians, including children, seniors, and persons with disabilities; and
WHEREAS, the construction, maintenance, and repair of sidewalks is essential to protecting public health, safety, and welfare by ensuring accessible rights-of-way and minimizing hazards; and
WHEREAS, California law, including Division 7, Part 3, Chapter 22 of the Streets and Highways Code, establishes the responsibility of adjacent property owners to maintain sidewalks adjoining their property; and
WHEREAS, the Turlock Municipal Code further affirms this responsibility, requiring adjacent property owners to maintain sidewalks, curbs, gutters, and driveway approaches in a safe and serviceable condition; and
WHEREAS, the City Council recognizes that sidewalk repair costs can pose a financial hardship for property owners and that offsetting permit fees will promote timely repairs and reduce liability risks for both property owners and the City; and WHEREAS, the City Council desires to increase the allocation set forth in Resolution 2025-072 from $25,000 to $50,000 for the purpose of offsetting encroachment permit fees for qualifying frontage improvement projects, thereby reducing costs for property owners and encouraging hazard mitigation; and
WHEREAS, the City Council of the City of Turlock is committed to promoting safe, accessible, and well-maintained sidewalks throughout the community, and finds that the actions taken by this resolution are necessary and appropriate to protect the public health, safety, and welfare.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Turlock as follows:
}
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}

IN THE MATTER OF INCREASING THE

COMMITMENT ESTABLISHED IN
RESOLUTION 2025-072 FROM $25,000 TO
$50,000 AND APPROPRIATING $25,000 TO
FUND 217 “STREETS – GAS TAX”
ACCOUNT NUMBER 217-50-510.47320_001
“REPAIR PROGRAM SIDEWALK” FROM

UNALLOCATED RESERVES FOR

OFFSETTING ENCROACHMENT PERMIT

FEES FOR QUALIFYING FRONTAGE

IMPROVEMENT PROJECTS

Resolution No. 2025-

1. The City Council hereby finds that the above recitations are true and correct and, accordingly, are incorporated as a material part of this Resolution.

2. This action is not a project under CEQA Guidelines Section 15378(b)(5) because the action consists of “organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment” and therefore is not considered a project.

3. The City Council of the City of Turlock hereby increases the commitment established in Resolution 2025-072 from $25,000 to $50,000 to offset encroachment permit fees for qualifying frontage improvement projects (curbs, gutters, sidewalks, driveway approaches, and ramps), thereby reducing the financial burden on property owners and promoting timely hazard mitigation.

4. The City Council of the City of Turlock hereby appropriates $25,000 to Fund 217 “Streets – Gas Tax” account number 217-50-510.47320_001 “Repair Program Sidewalk” from unallocated reserves for offsetting encroachment permit fees for qualifying frontage improvement projects.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Turlock this 9th day of December, 2025, by the following vote:

AYES:

NOES:

NOT PARTICIPATING:

ABSENT: ATTEST:
__________________________
Nichole Fiez, City Clerk,
City of Turlock, County of Stanislaus,
State of California

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
RESOLUTION NO. 2025-

WHEREAS, sidewalks are a critical component of the City’s transportation network, providing safe, accessible, and convenient routes for pedestrians, including children, seniors, and persons with disabilities; and
WHEREAS, the construction, maintenance, and repair of sidewalks is essential to protecting public health, safety, and welfare by ensuring accessible rights-of-way and minimizing hazards; and
WHEREAS, California law, including Division 7, Part 3, Chapter 22 of the Streets and Highways Code, establishes the responsibility of adjacent property owners to maintain sidewalks adjoining their property; and
WHEREAS, the Turlock Municipal Code further affirms this responsibility, requiring adjacent property owners to maintain sidewalks, curbs, gutters, and driveway approaches in a safe and serviceable condition; and
WHEREAS, the City Council has from time to time enacted various policies and resolutions to assist with sidewalk repair and compliance, some of which are outdated or inconsistent with current best practices; and
WHEREAS, Resolution 1992-081 established a sidewalk compliance program that is no longer aligned with the City’s updated goals, priorities, and legal framework for sidewalk maintenance; and
WHEREAS, rescinding Resolution 1992-081 will eliminate conflicting provisions, provide clarity for property owners and staff, and allow the City to implement a more effective and equitable sidewalk repair program; and
WHEREAS, the City Council of the City of Turlock is committed to promoting safe, accessible, and well-maintained sidewalks throughout the community, and finds that the actions taken by this resolution are necessary and appropriate to protect the public health, safety, and welfare.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Turlock as follows:

1. The City Council hereby finds that the above recitations are true and correct and, accordingly, are incorporated as a material part of this Resolution.

2. This action is not a project under CEQA Guidelines Section 15378(b)(5) because the action consists of “organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment” and therefore is not considered a project.

3. The City Council of the City of Turlock hereby rescinds Resolution No. 1992- }
}
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}
}
}
}
}
}

IN THE MATTER OF RESCINDING
RESOLUTION 1992-081

Resolution No. 2025-

081 in its entirety, and any policies or provisions established therein shall be of no further force or effect and that this rescission is intended to eliminate conflicts with current law, policy, or future programs adopted by the City Council regarding sidewalk maintenance and repair.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Turlock this 9th day of December, 2025, by the following vote:

AYES:

NOES:

NOT PARTICIPATING:

ABSENT: ATTEST:
__________________________
Nichole Fiez, City Clerk,
City of Turlock, County of Stanislaus,
State of California

Article 6
Miscellaneous Provisions
§ 7-2-601. Maintenance of curbs, gutters, sidewalks, curb cuts, and driveway approaches.1
(a) Anything in this Code to the contrary notwithstanding, the maintenance and repair of sidewalk areas and the making, confirming, and collection of assessments for the cost and expenses of said maintenance and repair may be done and the proceedings therefor may be had and taken in accordance with Chapter 22 of Division 7, Part 3, of the Streets and Highways Code of the State as the same is now in effect or may hereafter be amended. In the event of any conflict between the provisions of said Chapter 22 of Division 7, Part 3, of the Streets and Highways Code of the State and this Code, the provisions of this Code shall control.
(b) The owners of lots or portions of lots adjacent to or fronting on any portion of a sidewalk area between the property line of the lots and the street line, including parking strips, sidewalks, curbs, gutters, curb cuts, and driveway approaches and persons in possession of such lots by virtue of any permit or right shall repair and maintain such sidewalk areas and pay the costs and expenses therefor, including a charge for the City of Turlock's costs of inspection and administration or handling of any lien placed on the property due to failure of the property owner to promptly pay such assessments.
(c) Maintenance and repair of sidewalk area shall include, but not be limited to, maintenance and repair of surfaces including grinding, removal and replacement of sidewalks, repair and maintenance of curb and gutters, removal and filling or replacement of parking strips, removal of weeds and/or debris, tree root pruning and installing root barriers, trimming of shrubs and/or ground cover, and trimming shrubs within the area between the property line of the adjacent property and the street pavement line, including parking strips and curbs, so that the sidewalk area will remain in a condition that is not dangerous to property or to persons using the sidewalk in a reasonable manner and will be in a condition which will not interfere with the public convenience in the use of said sidewalk area. (d) The City Manager or his designee may in his or her discretion, and for sufficient cause, extend the period in which required maintenance and repair of sidewalk areas must commence by a period of not to exceed ninety (90) days. (e) The property owner required under this section to maintain and repair the sidewalk area shall owe a duty to members of the public to keep and maintain the sidewalk area in a safe and nondangerous condition. If, as a result of the failure of any property owner to maintain the sidewalk area in such a nondangerous condition as required, any person suffers injury or damage to person or property, the property owner shall be liable to such person for the resulting damages or injury.

1. Code reviser's note: Section 4 of Ord. 1219-CS provides: "The amendments set forth in this Ordinance, specifically Section 7-2-601 subsections (f) and (g), shall become operative on July 1, 2016." City of Turlock, CA
§ 7-2-601 § 7-2-601
Downloaded from https://ecode360.com/TU4675 on 2025-12-02

(1171-CS, Amended, 07/10/2012; 1219-CS, Amended, 07/01/2016) § 7-2-602. Exceptions to provisions.
§ 7-2-603. Approval by the Building Official.

The Building Official shall deny the final approval of any building or its occupancy until the work required by the provisions of this chapter is completed or construction is guaranteed within a specified time limit approved by the City Engineer by an improvement security. Such improvement security shall be approved by the City Attorney in an amount to be fixed by the City Engineer in accordance with the criteria set forth in TMC 7-2-502.
§ 7-2-604. Nuisances: Abatement.

Construction in violation of the provisions of this chapter is hereby declared to be (f) In conjunction with any sale or transfer of real property and using the Local Option Real Estate Transfer Disclosure Statement form set forth in Civil Code Section 1102.6a, the seller/transferor shall provide notice of the maintenance and repair obligations set forth in this article to the buyer/transferee. The notice shall, at a minimum, include the following language:

The owners of lots or portions of lots adjacent to or fronting on any portion of a sidewalk area between the property line of the lots and the street line, including parking strips, sidewalks, curbs, gutters, curb cuts, and driveway approaches and persons in possession of such lots by virtue of any permit or right shall repair and maintain such sidewalk areas and pay the costs and expenses therefor, including a charge for the City of Turlock's costs of inspection and administration or handling of any lien placed on the property due to failure of the property owner to promptly pay such assessments. (g) To provide all property owners with notice of his/her obligation to maintain and repair his/her sidewalk area as set forth in this article, the ordinance codified in this chapter shall be recorded with the County Clerk of the County of Stanislaus. (a) None of the provisions of this chapter, with respect to construction only, shall apply to any streets or portions of streets which may be determined by the Council to have reached a stage of improvement under the provisions of previous regulations which would cause a state of undue hardship or hazard to result from compliance with the provisions of this chapter.
(b) None of the provisions of this chapter, except the minimum location, testing, inspection, fee, and construction standards, shall apply to the following:
(1) Public utility structures, such as street lights and telephone and power lines; and
(2) Street signs, mailboxes, traffic signs, or other installations made by State or Federal governmental agencies.

City of Turlock, CA
§ 7-2-601 § 7-2-604
Downloaded from https://ecode360.com/TU4675 on 2025-12-02

a nuisance. The adjacent property owner shall be notified of the violation and shall be requested to apply for an encroachment permit and to correct the violation. On the owner's failure to obtain an encroachment permit and correct the violation within forty-five (45) days after such notification, abatement proceedings may be instituted in accordance with the provisions of Chapter 5-5 TMC.

City of Turlock, CA
§ 7-2-604 § 7-2-604
Downloaded from https://ecode360.com/TU4675 on 2025-12-02

CHAPTER 7-6

CONCRETE CURBS, GUTTERS, VALLEY GUTTERS, SIDEWALKS, AND

DRIVEWAYS
(Repealed)
City of Turlock, CA
Downloaded from https://ecode360.com/TU4675 on 2025-12-02

City Council Staff Report
December 9, 2025
From: Adrienne Werner, Development Services Director
Prepared by: Adrienne Werner, Development Services Director Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Resolution: Finding that Plan4Dream has complied in good faith with the terms and conditions of the Development Agreement (DA) between Plan4Dream, formerly JDI Farms, and the City of Turlock for the operation of an indoor cannabis cultivation, manufacturing and distribution business at 600 D Street, Stanislaus Assessor's Parcel Number 043-018-016.

2. NARRATIVE:

Plan4Dream, formerly JDI Farms, is located at 600 D Street. The property is zoned Industrial which allows cannabis cultivation, manufacturing and distribution with a Conditional Use Permit and Development Agreement.

At their October 8, 2019 meeting, the City Council adopted the ordinance approving the Development Agreement (DA). On March 4, 2021 the Planning Commission granted Conditional Use Permit 2020-02 to allow JDI Farms to operate a cannabis cultivation, manufacturing and distribution business.

On June 2, 2025, Qingyu Huang, with Plan4Dream Investments, LLC and the City of Turlock executed an Assignment and Assumption Agreement, as allowed under Section 10.1 of the Development Agreement. The Assignment and Assumption Agreement allowed the sale, assignment, or transfer of JDI Farms, Inc. at 600 D Street, to Plan4Dream Investments, LLC.

All other conditions of the Conditional Use Permit and the Development Agreement remain unchanged.

In accordance with City of Turlock Ordinance 1264-CS and Turlock Municipal Code Section 9-5-912 the Planning Commission is to review the Development Agreement annually and to recommend to the City Council whether the business has complied in good faith with the terms and conditions of the Development Agreement. The terms and conditions the Planning Commission reviewed are discussed below.

Planning Department
JDI Farms submitted a building permit application for the necessary interior tenant improvements on March 30, 2021. The plan check process was completed and the building permit was issued on September 24, 2024. Construction of the interior tenant improvements are underway.

Business License
Plan4Dream Investments has not yet applied for a business license. A business license is not required at this time as they are not operational. A business license will be required prior to Plan4Dream becoming operational.

Agenda Staff Report
12/9/2025
Signage
Plan4Dream has not applied for any exterior wall signs and no signs are installed on the exterior of the building. Any proposed exterior wall signs would have to comply with TMC §9-2-518(6)(ac)(iv) for commercial cannabis uses.

Finance Department
Public Benefit Amount
The Development Agreement requires monthly payment of a public benefit amount. Section

4.2 of the Development Agreement details the public benefit amount that Plan4Dream must submit to the City on a monthly basis once they become operational.

CULTIVATION

YEAR PUBLIC BENEFIT AMOUNT PAID MONTHLY, AMORTIZED

ANNUALLY
1 ST $10.00 sq/ft *
2 ND $10.00 sq/ft *
3 RD $10.00 sq/ft *
4 TH $10.00 sq/ft *
5 TH $10.00 sq/ft *
* Sq./ft. will be based on cultivation canopy. Cultivation canopy size will be the amount approved for use in the Conditional Use Permit.

MANUFACTURING

YEAR PUBLIC BENEFIT AMOUNT PAID MONTHLY,

AMORTIZED ANNUALLY
1 ST $10.00 sq/ft *
2 ND $10.00 sq/ft *
3 RD $10.00 sq/ft *
4 TH $10.00 sq/ft *
5 TH $10.00 sq/ft *
* Sq./ft. will be based on area of building set aside for manufacturing and ballistics use.

DISTRIBUTION

Agenda Staff Report
12/9/2025

YEAR PUBLIC BENEFIT AMOUNT, PAID MONTHLY

AMORTIZED ANNUALLY
If distribution is from cultivation or
manufacturing uses not subject to a City of
Turlock Public Benefit Amount
If distribution is from
cultivation or
manufacturing uses subject
to a City of Turlock Public
Benefit Amount
1 ST 2.5% of gross receipts No Public Benefit Amount
owed
2 ND 2.5% of gross receipts No Public Benefit Amount
owed
3 RD 2.5% of gross receipts No Public Benefit Amount
owed
4 TH 2.5% of gross receipts No Public Benefit Amount
owed
5 TH 2.5% of gross receipts No Public Benefit Amount
owed
Finance Department
Since Plan4Dream has not started operating they have not started depositing the public benefit amounts.

Police Department
From January 1, 2023 through October 2025 there has been one call for service for a smoke detector activated. The Fire Department responded there was no fire at the site. The alarm company canceled the call. The Fire Department did note construction for the tenant improvements was occurring. No report was filed and no arrests made.

To put the calls for service in perspective, from January 2023 through October 2025 there were a total of 91,830 calls for service citywide. Of those calls, 82 (0.09%) CFS were attributed to the cannabis businesses.

Planning Commission
At the November 6, 2025 public hearing, the Planning Commission voted 5-0 with 2 Commissioners absent to recommend the City Council find FirePlan4Dream has complied in good faith with the terms and conditions of the Development Agreement.

Agenda Staff Report
12/9/2025

3. FISCAL IMPACT / BUDGET AMENDMENT:

If the City Council finds that Plan4Dream has not acted in good faith with the terms and conditions of the Development Agreement they may terminate the agreement. If the agreement is terminated Plan4Dream is no longer allowed to operate or comply with the terms of the agreement including depositing the public benefit amount as specified in the agreement.

4. ENVIRONMENTAL DETERMINATION:

The recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

5. ATTACHMENTS:

1. Resolution Plan4Dream DA Annual Review 2025

ATTACHMENT 1

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
WHEREAS, on October 8, 2019 the City adopted Ordinance No. 1264-CS approving a Development Agreement by and between the City and JDI Farms, Inc. now operating as Plan4Dream. to operate a cannabis cultivation, manufacturing, and distribution business as defined in Turlock Municipal Code Section 5.21 in strict accordance with applicable state and local law, at 600 D Street, Turlock, California, County of Stanislaus Assessor’s Parcel Number 043-018-016 (the “Project”), consistent with the General Plan, as amended; and WHEREAS, on November 6, 2025, the Planning Commission of the City of Turlock met in accordance with Turlock Municipal Code Section 9-5-912(c); and WHEREAS, pursuant to Section 9-5-912(c), the City Council, upon recommendation of the Planning Commission, shall determine whether the property owner has complied in good faith with the terms and conditions of the agreement during the period under review; WHEREAS, the City Council determined the recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Turlock does hereby determine that Plan4Dream has complied in good faith with the terms and conditions of the Development Agreement between Plan4Dream and the City of Turlock for the operation of a cannabis cultivation, manufacturing, and distribution business at 600 D Street, Turlock, CA, County of Stanislaus, Assessor’s Parcel Number 043-018-016.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Turlock this 9 th day of December, 2025, by the following vote:

AYES: ( )
NOES: ( )
NOT PARTICIPATING: ( )
}
}
}
}
}
}
}
}
}
}
RESOLUTION NO. 2025- IN THE MATTER OF THE CITY COUNCIL FINDING THAT PLAN4DREAM HAS COMPLIED IN GOOD

FAITH WITH THE TERMS AND CONDITIONS OF

THE DEVELOPMENT AGREEMENT BETWEEN
PLAN4DREAM AND THE CITY OF TURLOCK FOR

THE OPERATION OF A CANNABIS CULTIVATION,

MANUFACTURING AND DISTRIBUTION BUSINESS
AT 600 D STREET, TURLOCK, CA, COUNTY OF
STANISLAUS, ASSESSOR’S PARCEL NUMBER
043-018-016

Resolution No. 2025-

ABSENT: ( )
ATTEST:
___________________________
Nichole Fiez, City Clerk,
City of Turlock, County of Stanislaus,
State of California

City Council Staff Report
December 9, 2025
From: Adrienne Werner, Development Services Director
Prepared by: Adrienne Werner, Development Services Director Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Resolution: Finding that NHC has complied in good faith with the terms and conditions of the Development Agreement (DA) between NHC and the City of Turlock for the operation of a cannabis retail dispensary at 3401 W. Monte Vista Avenue, Stanislaus Assessor's Parcel Number 087-003-039.

2. NARRATIVE:

NHC is located at 3401 W. Monte Vista Avenue. The property is zoned PD 233 with an underlying General Plan Designation of Highway Commercial (HWC). The commercial zoning and general plan designations allow cannabis dispensaries with a Conditional Use Permit and Development Agreement.

On September 22, 2020, the City Council granted Conditional Use Permit 2020-01 and approved the Development Agreement to allow NHC to operate a cannabis dispensary. NHC opened for business on May 19, 2023.

In accordance with City of Turlock Ordinance 1284-CS and Turlock Municipal Code Section 9-5-912 the Planning Commission is to review the Development Agreement annually and to recommend to the City Council whether the business has complied in good faith with the terms and conditions of the Development Agreement. The terms and conditions the Planning Commission reviewed are discussed below.

Planning Department
Business License
NHC was issued a business license on January 27, 2023. Their business license is current and active. There are no outstanding issues.

NHC is in compliance with the Planning Division.

Building Department
There are no active building code violations and NHC is in compliance with the requirements of the Building and Safety Division.

Finance Department
Public Benefit Amount
The Development Agreement requires monthly payment of a public benefit amount. Section

4.2 of the Development Agreement details the public benefit amount that NHC must submit to the City on a monthly basis. The public benefit amount that NHC has paid is detailed in

Agenda Staff Report
12/9/2025
the table below:

Fiscal Year Public Benefit Payment
2020-21 N/A
2021-22 N/A
2022-23 $50,000.00
2023-24 $310,000.00
2024-25 $375,000.00
Total through 6/30/25 $735,000.00
The audits and compliance checks have been completed. NHC is in compliance with the Finance Department requirements.

Police Department
There were thirteen (13) calls for service (CFS) in 2023, including four (4) extra patrols and three (3) trespassing calls prior to NHC opening for business. Two (2) panic alarms were accidental. The responding officer found the building secure. The alarm company called back and canceled the two (2) commercial alarms. A suspicious vehicle call found an unoccupied car with no one in the vicinity. A self-initiated trespass call was placed by the security guard when two (2) males in an RV refused to leave the property. The officer responded and advised the subjects to leave the area. The subjects stated they were waiting for a friend to drive them to Modesto. The Fire Department responded to a fire in the microwave in the employee breakroom. One (1) fraudulent phone call made to the business was closed by the responding officer.

There were a total of 9 CFS in 2024 including one commercial fire alarm and a medical emergency call, both cleared by the Fire Department. A suspicious vehicle call found a boat and trailer parked on the property with no one in the surrounding area. Three panic alarm calls were attributed to employees accidentally pressing the panic button, two commercial alarms found a roof hatch unsecure and a main entry unsecure. Employees were educated on securing the respective entries. One CFS was for larceny with two suspects concealing product and leaving the business without paying for the product. This call for service resulted in an arrest. All other calls did not result in a report filed by the responding officer or arrests.

Calls for Service from January 1, 2025 through October 22, 2025 totaled 5. All 5 calls for service were false alarm calls closed by dispatch and the alarm company and/or the responding officer.

To put the calls for service in perspective, from January 2023 through October 2025 there were a total of 91,830 calls for service Citywide. Of those calls, 82 (0.09%) CFS were attributed to the cannabis businesses.

It is important to remember, when responding to calls, the location is indexed by where the incident occurred or where the officer should respond to, to contact the victim. If the officer

Agenda Staff Report
12/9/2025
responds to the parking lot for NHC the address and business name will be indexed in the report. If no report was made, the officer did not find probable cause to show a crime occurred.

NHC is compliant and in good standing with the Police Department’s conditions.

Planning Commission
At the November 6, 2025 public hearing, the Planning Commission voted 5-0 with 2 Commissioners absent to recommend the City Council find NHC has complied in good faith with the terms and conditions of the Development Agreement.

3. FISCAL IMPACT / BUDGET AMENDMENT:

If the City Council finds that NHC has not acted in good faith with the terms and conditions of the Development Agreement they may terminate the agreement. If the agreement is terminated NHC is no longer allowed to operate or comply with the terms of the agreement including depositing the public benefit amount as specified in the agreement.

4. ENVIRONMENTAL DETERMINATION:

The recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

5. ATTACHMENTS:

1. Resolution NHC DA Annual Review 2025

ATTACHMENT 1

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
WHEREAS, on September 22, 2020 the City adopted Ordinance No. 1284-CS approving a Development Agreement by and between the City and NHC to operate a storefront retail dispensary as defined in Turlock Municipal Code Section 5.21 in strict accordance with applicable state and local law, at 3401 W. Monte Vista Avenue, Turlock, California, County of Stanislaus Assessor’s Parcel Number 087-003-039 (the “Project”), consistent with the General Plan, as amended; and
WHEREAS, on November 6, 2025, the Planning Commission of the City of Turlock met in accordance with Turlock Municipal Code Section 9-5-912(c); and WHEREAS, pursuant to Section 9-5-912(c), the City Council, upon recommendation of the Planning Commission, shall determine whether the property owner has complied in good faith with the terms and conditions of the agreement during the period under review; WHEREAS, the City Council determined the recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Turlock does hereby determine that NHC has complied in good faith with the terms and conditions of the Development Agreement between NHC and the City of Turlock for the operation of a cannabis retail dispensary at 3401 W. Monte Vista Avenue, Turlock, CA, County of Stanislaus, Assessor’s Parcel Number 087-003-039.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Turlock this 9 th day of December, 2025, by the following vote:

AYES: ( )
NOES: ( )
NOT PARTICIPATING: ( )
}
}
}
}
}
}
}
}
}
}
RESOLUTION NO. 2025- IN THE MATTER OF THE CITY COUNCIL FINDING

THAT NHC HAS COMPLIED IN GOOD FAITH WITH

THE TERMS AND CONDITIONS OF THE

DEVELOPMENT AGREEMENT BETWEEN NHC

AND THE CITY OF TURLOCK FOR THE

OPERATION OF A CANNABIS RETAIL
DISPENSARY AT 3401 W. MONTE VISTA AVENUE,

TURLOCK, CA, COUNTY OF STANISLAUS,
ASSESSOR’S PARCEL NUMBER 087-003-039

Resolution No. 2025-

ABSENT: ( )
ATTEST:
___________________________
Nichole Fiez, City Clerk,
City of Turlock, County of Stanislaus,
State of California

City Council Staff Report
December 9, 2025
From: Adrienne Werner, Development Services Director
Prepared by: Adrienne Werner, Development Services Director Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Resolution: Finding that Perfect Union has complied in good faith with the terms and conditions of the Development Agreement (DA) between Perfect Union and the City of Turlock for the operation of a cannabis retail dispensary at 2500 N. Golden State Boulevard, Stanislaus Assessor's Parcel Number 088-007-025.

2. NARRATIVE:

Perfect Union is located at 2500 N. Golden State Boulevard. The property is zoned Community Commercial, which allows cannabis dispensaries with a Conditional Use Permit and Development Agreement.

The City Council adopted Ordinance 1263-CS approving the Development Agreement on September 24, 2019, and the Planning Commission approved Conditional Use Permit 2019- 07 on March 5, 2020 to allow Perfect Union to operate a cannabis retail dispensary. Perfect Union opened for business in September 2020.

In accordance with City of Turlock Ordinance 1263-CS and Turlock Municipal Code Section 9-5-912, the Planning Commission is to review the Development Agreement annually and to recommend to the City Council whether the business has complied in good faith with the terms and conditions of the Development Agreement. The terms and conditions the Planning Commission reviewed are discussed below.

Planning Department
Business License
Perfect Union was issued a business license on August 25, 2020. Their business license is current and active. There are no outstanding issues.

Building Department
Perfect Union opened for business on September 18, 2020. There are no active building code violations and Perfect Union is in compliance with the requirements of the Building and Safety Division.

Finance Department
Public Benefit Amount
The Development Agreement requires a monthly public benefit payment to the City of Turlock. Section 4.2 of the Development Agreement details the public benefit amount that Perfect Union must submit to the City on a monthly basis. The public benefit amount that

Agenda Staff Report
12/9/2025
Perfect Union has paid is detailed in the table below:

Fiscal Year Public Benefit Payment
2020-21 $237,500.00
2021-22 $350,000.00
2022-23 $410,000.00
2023-24 $430,000.00
2024-25 $525,000.00
Total through 6/30/25 $1,952,500.00
The audits and compliance checks have been completed. Perfect Union is in compliance with the Finance Department requirements.

Police Department
There were nine (9) calls for service (CFS) in 2023. Three (3) calls were for City Ordinance re-inspections, four (4) commercial alarm checks, a security check and a suspicious incident call. All CFS were closed by the officer and did not result in a report being filed or an arrest.

In 2024, there were four (4) calls for service (CFS). Two (2) calls were closed by the responding officer. A fireworks violation where a nearby business was setting off fireworks, and damage to a nearby property. A medical emergency was attended by the Fire Department and an accidental panic alarm was closed by dispatch. None of the calls resulted in a report being filed by the officer and no arrests were made.

Calls for Service from January 1, 2025 through October 22, 2025, totaled seven (7). Four (4) calls were emergency medical calls which were cleared by the Fire Department, one (1) suspicious vehicle, two (2) individuals fighting each other, and a public intoxication call. Only the public intoxication call resulted in an arrest. The other six (6) calls were closed by the responding officer.

To put the calls for service in perspective, from January 2023 through October 2025, there were a total of 91,830 calls for service Citywide. Of those calls, 82 (0.09%) CFS were attributed to the cannabis businesses.

It is important to remember, when responding to calls for service, the location is indexed by where the incident occurred or where the officer should respond to contact the victim. If the officer responds to the Perfect Union parking lot or in close proximity to Perfect Union, the business name will be indexed in the report. It does not mean a crime occurred at Perfect Union. If no report was made, the responding officer did not find probable cause to show a crime occurred.

Perfect Union is in compliance with the Police Department’s conditions.

Planning Commission
At the November 6, 2025, public hearing, the Planning Commission voted 5-0 with 2

Agenda Staff Report
12/9/2025
Commissioners absent to recommend the City Council find Perfect Union has complied in good faith with the terms and conditions of the Development Agreement.

3. FISCAL IMPACT / BUDGET AMENDMENT:

If the City Council finds that Perfect Union has not acted in good faith with the terms and conditions of the Development Agreement they may terminate the agreement. If the agreement is terminated Perfect Union is no longer allowed to operate or comply with the terms of the agreement including depositing the public benefit amount as specified in the agreement.

4. ENVIRONMENTAL DETERMINATION:

The recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

5. ATTACHMENTS:

1. Resolution Perfect Union DA Annual Review 2025

ATTACHMENT 1

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
WHEREAS, on September 24, 2019 the City adopted Ordinance No. 1263-CS approving a Development Agreement by and between the City and Perfect Union to operate a storefront retail dispensary as defined in Turlock Municipal Code Section 5.21 in strict accordance with applicable state and local law, at 2500 N. Golden State Boulevard, Turlock, California, County of Stanislaus Assessor’s Parcel Number 088-007-025 (the “Project”), consistent with the General Plan, as amended; and
WHEREAS, on November 6, 2025, the Planning Commission of the City of Turlock met in accordance with Turlock Municipal Code Section 9-5-912(c); and WHEREAS, pursuant to Section 9-5-912(c), the City Council, upon recommendation of the Planning Commission, shall determine whether the property owner has complied in good faith with the terms and conditions of the agreement during the period under review; WHEREAS, the City Council determined the recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Turlock does hereby determine that Perfect Union has complied in good faith with the terms and conditions of the Development Agreement between Perfect Union and the City of Turlock for the operation of a cannabis retail dispensary at 2500 N. Golden State Boulevard, Turlock, CA, County of Stanislaus, Assessor’s Parcel Number 088-007-025.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Turlock this 9 th day of December, 2025, by the following vote:

AYES: ( )
NOES: ( )
NOT PARTICIPATING: ( )
}
}
}
}
}
}
}
}
}
}
RESOLUTION NO. 2025- IN THE MATTER OF THE CITY COUNCIL FINDING

THAT PERFECT UNION HAS COMPLIED IN GOOD

FAITH WITH THE TERMS AND CONDITIONS OF

THE DEVELOPMENT AGREEMENT BETWEEN

PERFECT UNION AND THE CITY OF TURLOCK

FOR THE OPERATION OF A CANNABIS RETAIL
DISPENSARY AT 2500 N. GOLDEN STATE

BOULEVARD, TURLOCK, CA, COUNTY OF
STANISLAUS, ASSESSOR’S PARCEL NUMBER
088-007-025

Resolution No. 2025-

ABSENT: ( )
ATTEST:
___________________________
Nichole Fiez, City Clerk,
City of Turlock, County of Stanislaus,
State of California

City Council Staff Report
December 9, 2025
From: Adrienne Werner, Development Services Director
Prepared by: Adrienne Werner, Development Services Director Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Resolution: Finding that Firehouse has complied in good faith with the terms and conditions of the Development Agreement (DA) between Firehouse and the City of Turlock for the operation of a cannabis retail dispensary at 1601 W. Main Street, Stanislaus Assessor's Parcel Number 089-015-006.

2. NARRATIVE:

Firehouse is located at 1601 W. Main Street. The property is zoned Community Commercial which allows cannabis dispensaries with a Conditional Use Permit and Development Agreement.

At the September 19, 2019 meeting, the City Council adopted the ordinance approving the Development Agreement (DA) and granted a Conditional Use Permit (CUP) on March 10, 2020 for Firehouse to operate a cannabis dispensary. Firehouse opened for business in August 2020.

In accordance with City of Turlock Ordinance 1260-CS and Turlock Municipal Code Section 9-5-912 the Planning Commission is to review the Development Agreement annually and to recommend to the City Council whether the business has complied in good faith with the terms and conditions of the Development Agreement. The terms and conditions the Planning Commission reviewed are discussed below.

Planning Department
Signage
Firehouse has not applied for any exterior wall signs and no signs are installed on the exterior of the building. Any proposed exterior wall signs would have to comply with TMC §9-2- 518(6)(ac)(iv) for commercial cannabis uses.

Firehouse is seeking to utilize the existing pole sign. The existing 50’ tall pole sign is considered a legal nonconforming sign. Staff continues to work with the City Attorney’s office to address matters related to this sign.

Business License
Firehouse was issued a business license on August 5, 2020. Their business license is current and active.

Firehouse is in compliance with the Planning Division.

Building Department

Agenda Staff Report
12/9/2025
Firehouse opened for business on August 7, 2020. There are no active building code violations and Firehouse is in compliance with the requirements of the Building and Safety Division.

Finance Department
Public Benefit Amount
The Development Agreement requires a monthly public benefit payment to the City of Turlock. Section 4.2 of the Development Agreement details the public benefit amount that Firehouse must submit to the City on a monthly basis.

The public benefit amount that Firehouse has paid is detailed in the table below:

Fiscal Year Public Benefit Deposit
2020-21 $943,815.11
2021-22 $891,144.88
2022-23 $750,862.13
2023-24 $602,846.38
2024-25 $534,486.69
Total through 6/30/25 $3,723,155.19
The annual audits and compliance checks have been completed and Firehouse is in compliance with the Finance Department.

Police Department
There were ten (10) calls for service (CFS) in 2023. Two (2) calls were for medical emergencies which AMR and the Fire Department responded to, two (2) security checks initiated by onsite security requesting an officer to check on two (2) persons sleeping/loitering on the property, two (2) suspicious person calls, and four (4) disturbance calls. All CFS were closed by the officer and did not result in a report being filed or an arrest.

In 2024, there were seven (7) calls for service (CFS). Two (2) medical emergency calls and a grass fire were attended by the Fire Department and closed. Two (2) disturbance/suspicious person calls, one (1) security check of a toddler not buckled in, and one (1) commercial alarm call. None of the calls resulted in a report being filed by the officer and no arrests were made.

There have been five (5) calls for service from January 2025 through October 2025. Two (2) of the calls started as traffic stops with one (1) resulting in the arrest of the individual for an outstanding warrant. One (1) vehicle accident and one (1) medical emergency, both cleared by the Fire Department, and a security check that was a false alarm.

To put the calls for service in perspective, from January 2023 through October 2025 there were a total of 91,830 calls for service Citywide. Of those calls, 82 (0.09%) CFS were attributed to the cannabis businesses.

Agenda Staff Report
12/9/2025
It is important to remember, when responding to calls for service, the location is indexed by where the incident occurred or where the officer should respond to contact the victim. If the officer responds to the Firehouse parking lot or in close proximity to Firehouse the business name will be indexed in the report. It does not mean a crime occurred at Firehouse. If no report was made, the responding officer did not find probable cause to show a crime occurred.

Firehouse is in compliance with the Police Department’s conditions.

Planning Commission
At the November 6, 2025, public hearing, the Planning Commission voted 5-0 with 2 Commissioners absent to recommend the City Council find Firehouse has complied in good faith with the terms and conditions of the Development Agreement.

3. FISCAL IMPACT / BUDGET AMENDMENT:

If the City Council finds that Firehouse has not acted in good faith with the terms and conditions of the Development Agreement they may terminate the agreement. If the agreement is terminated Firehouse is no longer allowed to operate or comply with the terms of the agreement including depositing the public benefit amount as specified in the agreement.

4. ENVIRONMENTAL DETERMINATION:

The recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

5. ATTACHMENTS:

1. Resolution Firehouse DA 2025

ATTACHMENT 1

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
WHEREAS, on September 24, 2019 the City adopted Ordinance No. 1260-CS approving a Development Agreement by and between the City and Firehouse to operate a cannabis retail dispensary as defined in Turlock Municipal Code Section 5.21 in strict accordance with applicable state and local law, at 1601 W. Main Street, Turlock, California, County of Stanislaus Assessor’s Parcel Number 089-015-006 (the “Project”), consistent with the General Plan, as amended; and WHEREAS, on November 6, 2025, the Planning Commission of the City of Turlock met in accordance with Turlock Municipal Code Section 9-5-912(c); and WHEREAS, pursuant to Section 9-5-912(c), the City Council, upon recommendation of the Planning Commission, shall determine whether the property owner has complied in good faith with the terms and conditions of the agreement during the period under review; WHEREAS, the City Council determined the recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Turlock does hereby determine that Firehouse has complied in good faith with the terms and conditions of the Development Agreement between Firehouse and the City of Turlock for the operation of a cannabis retail dispensary at 1601 W. Main Street, Turlock, CA, County of Stanislaus, Assessor’s Parcel Number 089-015-006.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Turlock this 9 th day of December, 2025, by the following vote:

AYES: ( )
NOES: ( )
NOT PARTICIPATING: ( )
ABSENT: ( )
}
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}
RESOLUTION NO. 2025- IN THE MATTER OF THE CITY COUNCIL FINDING

THAT FIREHOUSE HAS COMPLIED IN GOOD

FAITH WITH THE TERMS AND CONDITIONS OF

THE DEVELOPMENT AGREEMENT BETWEEN FIRE

HOUSE AND THE CITY OF TURLOCK FOR THE

OPERATION OF A CANNABIS RETAIL
DISPENSARY AT 1601 W. MAIN STREET,

TURLOCK, CA, COUNTY OF STANISLAUS,
ASSESSOR’S PARCEL NUMBER 089-015-006

Resolution No. 2025-

ATTEST:
___________________________
Nichole Fiez, City Clerk,
City of Turlock, County of Stanislaus,
State of California

City Council Staff Report
December 9, 2025
From: Adrienne Werner, Development Services Director
Prepared by: Adrienne Werner, Development Services Director Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Resolution: Finding that The Evergreen Market dba FF Farms has complied in good faith with the terms and conditions of the Development Agreement (DA) between The Evergreen Market dba FF Farms and the City of Turlock for the operation of a cannabis retail dispensary at 101 E. Glenwood Avenue, Stanislaus Assessor's Parcel Number 044-022-013.

2. NARRATIVE:

The Evergreen Market dba FF Farms is located at 101 E. Glenwood Avenue. The property is zoned Community Commercial, which allows cannabis dispensaries with a Conditional Use Permit and Development Agreement.

At their February 28, 2023, meeting, the City Council adopted the ordinance approving the Development Agreement (DA). As required in the DA, The Evergreen Market applied for a Conditional Use Permit. The Planning Commission granted Conditional Use Permit 2022-07 at the April 6, 2023, public hearing allowing The Evergreen Market to operate a cannabis dispensary in the existing 2,785 square foot building.

On March 31, 2024, Jose Rodrigues and the City of Turlock executed an Assignment and Assumption Agreement, as allowed under Section 10.1 of the Development Agreement. The Assignment and Assumption Agreement allowed the sale, assignment, or transfer of The Evergreen Market at 101 E. Glenwood Avenue, to Jose Rodrigues. All other conditions of the Conditional Use Permit and the Development Agreement remain unchanged. FF Farms opened for business in August 2024.

In accordance with City of Turlock Ordinance 1300-CS and Turlock Municipal Code Section 9-5-912, the Planning Commission is to review the Development Agreement annually and to recommend to the City Council whether the business has complied in good faith with the terms and conditions of the Development Agreement. The terms and conditions the Planning Commission reviewed are discussed below.

Planning Department
The Evergreen Market dba FF Farms has complied with the requirements of the Planning Division.

Business License
The Evergreen Market dba FF Farms was issued a business license on August 1, 2024.

Their business license is current and active. There are no outstanding issues.

Building Department
There are no active building code violations and The Evergreen Market dba FF Farms is in

Agenda Staff Report
12/9/2025
compliance with the requirements of the Building and Safety Division.

Finance Department
Public Benefit Amount
The Development Agreement requires the monthly payment of a public benefit amount.

Section 4.2 of the Development Agreement details the public benefit amount that FF Farms must submit to the City on a monthly basis. The public benefit amount that Evergreen Market has paid is detailed in the table below:

Fiscal Year Public Benefit Payment
2020-21 N/A
2021-22 N/A
2022-23 N/A
2023-24 N/A
2024-25 $275,000.00
Total through 6/30/25 $275,000.00
The compliance checks have been completed and The Evergreen Market is compliant with the state regulations and ordinances inspected. The financial review has not been completed and is continuing with the Finance Department. The Evergreen Market is in compliance with the Finance Department requirements.

Police Department
In 2024, there were two (2) calls for service (CFS). The landscaping crew set off an alarm when leaf blowing near the front doors. The other call for service was a false alarm set off by the business owner. Both calls were closed by the responding officer and did not result in a report or arrests.

Calls for Service from January 1, 2025, through October 22, 2025, totaled two (2). Both calls were accidental alarms by the employees. Both calls were closed by the responding officer with no arrests made.

To put the calls for service in perspective, from January 2023 through October 2025, there were a total of 91,830 calls for service Citywide. Of those calls, 82 (0.09%) CFS were attributed to the cannabis businesses.

It is important to remember, when responding to calls for service, the location is indexed by where the incident occurred or where the officer should respond to contact the victim. If the officer responds to the FF Farms parking lot or in close proximity to FF Farms, the business name will be indexed in the report. It does not mean a crime occurred at FF Farms. If no report was made, the responding officer did not find probable cause to show a crime occurred.

Agenda Staff Report
12/9/2025
FF Farms is in compliance with the Police Department’s conditions.

Planning Commission
At the November 6, 2025, public hearing, the Planning Commission voted 5-0 with 2 Commissioners absent to recommend the City Council find The Evergreen Market dba FF Farms has complied in good faith with the terms and conditions of the Development Agreement.

3. FISCAL IMPACT / BUDGET AMENDMENT:

If the City Council finds that FF Farms has not acted in good faith with the terms and conditions of the Development Agreement they may terminate the agreement. If the agreement is terminated FF Farms is no longer allowed to operate or comply with the terms of the agreement including depositing the public benefit amount as specified in the agreement.

4. ENVIRONMENTAL DETERMINATION:

The recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

5. ATTACHMENTS:

1. Resolution Evergreen Market DA Annual Review 2025

ATTACHMENT 1

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
WHEREAS, on February 24, 2023 the City adopted Ordinance No. 1300-CS approving a Development Agreement by and between the City and The Evergreen Market dba FF Farms to operate a storefront retail dispensary as defined in Turlock Municipal Code Section 5.21 in strict accordance with applicable state and local law, at 101 E. Glenwood Avenue, Turlock, California, County of Stanislaus Assessor’s Parcel Number 044-022-013 (the “Project”), consistent with the General Plan, as amended; and
WHEREAS, on November 6, 2025, the Planning Commission of the City of Turlock met in accordance with Turlock Municipal Code Section 9-5-912(c); and WHEREAS, pursuant to Section 9-5-912(c), the City Council, upon recommendation of the Planning Commission, shall determine whether the property owner has complied in good faith with the terms and conditions of the agreement during the period under review; WHEREAS, the City Council determined the recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Turlock does hereby determine that Perfect Union has complied in good faith with the terms and conditions of the Development Agreement between The Evergreen Market dba FF Farms and the City of Turlock for the operation of a cannabis retail dispensary at 101 E. Glenwood Avenue, Turlock, CA, County of Stanislaus, Assessor’s Parcel Number 044-022-013.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Turlock this 9 th day of December, 2025, by the following vote:

AYES: ( )
NOES: ( )
NOT PARTICIPATING: ( )
}
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RESOLUTION NO. 2025- IN THE MATTER OF THE CITY COUNCIL FINDING

THAT THE EVERGREEN MARKET DBA FF FARMS

HAS COMPLIED IN GOOD FAITH WITH THE TERMS

AND CONDITIONS OF THE DEVELOPMENT

AGREEMENT BETWEEN THE EVERGREEN

MARKET DBA FF FARMS AND THE CITY OF

TURLOCK FOR THE OPERATION OF A CANNABIS
RETAIL DISPENSARY AT 101 E. GLENWOOD

AVENUE, TURLOCK, CA, COUNTY OF
STANISLAUS, ASSESSOR’S PARCEL NUMBER
044-022-013

Resolution No. 2025-

ABSENT: ( )
ATTEST:
___________________________
Nichole Fiez, City Clerk,
City of Turlock, County of Stanislaus,
State of California

City Council Staff Report
December 9, 2025
From: Adrienne Werner, Development Services Director
Prepared by: Adrienne Werner, Development Services Director Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Resolution: Finding that 680 D St., LLC dba Flavor Farms has complied in good faith with the terms and conditions of the Development Agreement (DA) between 680 D St., LLC and the City of Turlock for the operation of a cannabis retail dispensary at 680 D Street, Stanislaus Assessor's Parcel Number 089-015-006.

2. NARRATIVE:

Flavor Farms is located at 680 D Street. The property is zoned industrial which allows cannabis cultivation, manufacturing and distribution with a Conditional Use Permit and Development Agreement.

At their June 13, 2023 meeting, the City Council adopted the ordinance approving the Development Agreement (DA). On August 8, 2023, the Planning Commission granted Conditional Use Permit 2022-04 to allow Flavor Farms to operate a cannabis cultivation, manufacturing and distribution business.

In accordance with City of Turlock Ordinance 1260-CS and Turlock Municipal Code Section 9-5-912, the Planning Commission is to review the Development Agreement annually and to recommend to the City Council whether the business has complied in good faith with the terms and conditions of the Development Agreement. The terms and conditions the Planning Commission reviewed are discussed below.

Planning & Building and Safety Divisions
Flavor Farms submitted a building permit application for the necessary interior tenant improvements on May 15, 2024. The plan check process was completed, and the building permit was issued on March 28, 2025. Staff from multiple City departments walked through the building on October 2, 2025 to discuss the construction and inspection process. Staff anticipates being called for regular inspections soon as construction has commenced. The existing fencing along the front of the site is located within the setback area and in the public right of way. Staff let the applicant know this will need to be addressed during the construction of the project prior to the issuance of the certificate of occupancy.

Business License
Flavor Farms has not yet applied for a business license. A business license is not required at this time as they are not operational. A business license will be required prior to Flavor Farms becoming operational.

Signage
Flavor Farms has not applied for any exterior wall signs and no signs are installed on the exterior of the building. Any proposed exterior wall signs would have to comply with TMC

Agenda Staff Report
12/9/2025
§9-2-518(6)(ac)(iv) for commercial cannabis uses.

Finance Department
Public Benefit Amount
The Development Agreement requires a monthly public benefit payment to the City of Turlock. Section 4.2 of the Development Agreement details the public benefit amount that Flavor Farms must submit to the City on a monthly basis.

CULTIVATION

YEAR PUBLIC BENEFIT AMOUNT PAID MONTHLY, AMORTIZED

ANNUALLY
1 ST $10.00 sq/ft *
2 ND $10.00 sq/ft *
3 RD $10.00 sq/ft *
4 TH $10.00 sq/ft *
5 TH $10.00 sq/ft *
* Sq./ft. will be based on cultivation canopy. Cultivation canopy size will be the amount approved for use in the Conditional Use Permit.

MANUFACTURING

YEAR PUBLIC BENEFIT AMOUNT PAID MONTHLY,

AMORTIZED ANNUALLY
1 ST $10.00 sq/ft *
2 ND $10.00 sq/ft *
3 RD $10.00 sq/ft *
4 TH $10.00 sq/ft *
5 TH $10.00 sq/ft *
* Sq./ft. will be based on area of building set aside for manufacturing and ballistics use.

DISTRIBUTION

YEAR PUBLIC BENEFIT AMOUNT, PAID MONTHLY

AMORTIZED ANNUALLY
If distribution is from cultivation or
manufacturing uses not subject to a City of
Turlock Public Benefit Amount
If distribution is from
cultivation or manufacturing
uses subject to a City of
Turlock Public Benefit
Amount
1 ST 2.5% of gross receipts No Public Benefit Amount
owed

Agenda Staff Report
12/9/2025
2 ND 2.5% of gross receipts No Public Benefit Amount
owed
3 RD 2.5% of gross receipts No Public Benefit Amount
owed
4 TH 2.5% of gross receipts No Public Benefit Amount
owed
5 TH 2.5% of gross receipts No Public Benefit Amount
owed
Finance Department
Since Flavor Farms has not started operating, they have not started depositing the public benefit amounts.

Police Department
There were no calls for service in 2023; one (1) call for service (CFS) in 2024 was for a security check. The responding officer found two (2) individuals inside the warehouse. The individuals left the premises and the officer closed the case. No arrests were made. From January 1, 2025 through October 2025, there were three (3) CFS. One (1) call was an accidental alarm by an employee, and two (2) traffic stops. One (1) of the traffic stops had expired registration and was later found the driver had an outstanding warrant. The driver was arrested. No other calls for service resulted in arrests.

To put the calls for service in perspective, from January 2023 through October 2025 there were a total of 91,830 calls for service citywide. Of those calls, 82 (0.09%) CFS were attributed to the cannabis businesses.

It is important to remember, when responding to calls for service, the location is indexed by where the incident occurred or where the officer should respond to contact the victim. If the officer responds to the Flavor Farms parking lot or in close proximity to Flavor Farms the business name will be indexed in the report. It does not mean a crime occurred at Flavor Farms or that they were the cause of the call. If no report was made, the responding officer did not find probable cause to show a crime occurred.

Flavor Farms will work with the Police Department during construction to ensure they comply with all Police Department conditions. At this time there are no violations.

Planning Commission
At the November 6, 2025 public hearing, the Planning Commission voted 5-0 with TWO (2) Commissioners absent to recommend the City Council find Flavor Farms has complied in good faith with the terms and conditions of the Development Agreement.

3. FISCAL IMPACT / BUDGET AMENDMENT:

If the City Council finds that Flavor Farms has not acted in good faith with the terms and conditions of the Development Agreement they may terminate the agreement. If the agreement is terminated Flavor Farms is no longer allowed to operate or comply with the

Agenda Staff Report
12/9/2025
terms of the agreement including depositing the public benefit amount as specified in the agreement.

4. ENVIRONMENTAL DETERMINATION:

The recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

5. ATTACHMENTS:

1. Resolution Flavor Farms DA Annual Review 2025

ATTACHMENT 1

BEFORE THE CITY COUNCIL OF THE CITY OF TURLOCK
WHEREAS, on June 13, 2023 the City adopted Ordinance No. 1305-CS approving a Development Agreement by and between the City and Flavor Farms. to operate a cannabis cultivation, manufacturing, and distribution business as defined in Turlock Municipal Code Section

5.21 in strict accordance with applicable state and local law, at 680 D Street, Turlock, California, County of Stanislaus Assessor’s Parcel Number 043-018-015 (the “Project”), consistent with the General Plan, as amended; and
WHEREAS, on November 6, 2025, the Planning Commission of the City of Turlock met in accordance with Turlock Municipal Code Section 9-5-912(c); and WHEREAS, pursuant to Section 9-5-912(c), the City Council, upon recommendation of the Planning Commission, shall determine whether the property owner has complied in good faith with the terms and conditions of the agreement during the period under review; WHEREAS, the City Council determined the recommended action does not constitute a project and will not create a physical impact on the environment or authorize any action that has the potential to impact the physical environment and would not make any changes in current policy or regulations; therefore, the proposed action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(General Rule, No Environmental Impact) of the CEQA Guidelines.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Turlock does hereby determine that Flavor Farms has complied in good faith with the terms and conditions of the Development Agreement between Flavor Farms and the City of Turlock for the operation of a cannabis cultivation, manufacturing, and distribution business at 680 D Street, Turlock, CA, County of Stanislaus, Assessor’s Parcel Number 043-018-015.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Turlock this 9 th day of December, 2025, by the following vote:

AYES: ( )
NOES: ( )
NOT PARTICIPATING: ( )
}
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RESOLUTION NO. 2025- IN THE MATTER OF THE CITY COUNCIL FINDING

THAT FLAVOR FARMS HAS COMPLIED IN GOOD

FAITH WITH THE TERMS AND CONDITIONS OF

THE DEVELOPMENT AGREEMENT BETWEEN

FLAVOR FARMS AND THE CITY OF TURLOCK

FOR THE OPERATION OF A CANNABIS

CULTIVATION, MANUFACTURING AND
DISTRIBUTION BUSINESS AT 680 D STREET,

TURLOCK, CA, COUNTY OF STANISLAUS,
ASSESSOR’S PARCEL NUMBER 043-018-015

Resolution No. 2025-

ABSENT: ( )
ATTEST:
___________________________
Nichole Fiez, City Clerk,
City of Turlock, County of Stanislaus,
State of California

City Council Staff Report
December 9, 2025
From: Nichole Fiez, City Clerk
Prepared by: Nichole Fiez, City Clerk
Agendized by: Susan E. Borrego, Interim City Manager

1. ACTION RECOMMENDED:

Resolution: Rescind and Replace PFA-2013-002 and Adopt an Amended Regular Meeting Schedule for the Public Financing Authority

2. NARRATIVE:

On September 14, 2010, the Public Financing Authority (PFA) Board rescinded Resolution No. PFA-2005-001 and adopted Resolution No. PFA-2010-001, establishing a new schedule for the Authority, particularly that the “Authority shall have regular meetings at the same time and place as the Turlock City Council has regular meetings, which shall be every second and fourth Tuesday of each month at 7:00 p.m. at City Hall, 156 S. Broadway Street, Turlock, California.” The action was taken as a result of SB 99, under which the approval of documents related to a bond issuance by the governing body of a Joint Powers Authority, such as the PFA, must occur at a regular meeting of the PFA.

On February 26, 2013, the City Council adopted Ordinance No. 1180-CS, changing the start time of regular City Council meetings from 7:00 p.m. to 6:00 p.m. This adjustment necessitated a corresponding change to the Public Financing Authority's meeting schedule.

Accordingly, Resolution PFA 2013-002, adopted on September 24, 2013, amended the Public Financing Authority's regular meeting time to match that of the City Council.

Staff is requesting a repeal of the meeting schedule of the Public Financing Authority, reducing the frequency of its regular meetings to once annually, to occur during the last City Council meeting of the calendar year.

On average, the Public Financing Authority convenes only once a year. As a result, under the Brown Act, the remaining 21 scheduled meetings are routinely canceled. This proposed change would eliminate the need for unnecessary cancellations, streamline meeting administration, and better reflect the Agency’s current meeting requirements. If additional meetings are required, they may be convened as Special Meetings.

3. FISCAL IMPACT / BUDGET AMENDMENT:

No Fiscal Impact.

4. ENVIRONMENTAL DETERMINATION:

This action is not subject to the provisions of the California Environmental Quality Act (CEQA) in accordance with Section 15378(b)(5) of the CEQA guidelines. This action consists of “organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment” and therefore is not considered a project.

Agenda Staff Report
12/9/2025

5. ATTACHMENTS:

1. Draft Resolution

BEFORE THE BOARD OF DIRECTORS OF THE

TURLOCK PUBLIC FINANCING AUTHORITY
IN THE MATTER OF RESCINDING AND } RESOLUTION NO. PFA-2025-XXX REPLACING RESOLUTION NO. PFA-2013-002}
AND ADOPTING AN AMENDED REGULAR }
MEETING SCHEDULE FOR THE TURLOCK }
PUBLIC FINANCING AUTHORITY }
}
WHEREAS, the Turlock Public Financing Authority (the “Authority”) is a joint powers authority duly organized and existing under and pursuant to Articles 1 through 4 (commencing with Section 6500), Chapter 5, Division 7, Title 1 of the California Government Code (the “Act”) and that certain Joint Exercise of Powers Agreement, dated as of December 15, 1998, by and between the City of Turlock (the “City”) and the Turlock Redevelopment Agency (the “Agency”), and is authorized pursuant to Article 4 of the Act to issue bonds for the purpose of making loans to the Agency to provide financing and refinancing for public capital improvements; and
WHEREAS, Senate Bill No. 99 which was approved by the Governor of California on October 11, 2009, added Section 6592.1 to the California Government Code effective January 1, 2010, and imposed a new requirement that approval of the issuance of bonds by a joint exercise of powers authority under the Act must occur at a regular meeting held pursuant to Section 54954 of the Government Code; and
WHEREAS, pursuant to the Authority’s bylaws adopted on January 26, 1999, regular meetings of the Authority shall be held at the business office of the Authority, or at such other place as the Authority may by resolution designate, on dates and at a time as fixed by resolution of the Authority; and
WHEREAS, to facilitate the Authority’s issuance of bonds authorized under the Act in keeping with Government Code Section 6592.1 and without causing inordinate delay at the time such financings are required, the Authority established a regular meeting schedule by Resolution No. PFA-2010-001, particularly that the Authority shall have regular meetings at the same time and place as the Turlock City Council has regular meetings, which shall be every second and fourth Tuesday of each month at 7:00 p.m. at City Hall, 156 S. Broadway Street, Turlock, California; and WHEREAS, Turlock City Council Ordinance No. 1180-CS changed the hour regular City Council meetings are held, which directly corresponds to the hour regular meetings of the Turlock Public Financing Authority meetings are held.

WHEREAS, On September 24, 2013, the Authority rescinded Resolution No. PFA2010-001, and replaced it to amend that the Authority shall have regular meetings at the same time and place at the Turlock City Council has regular meetings, which shall be every second and fourth Tuesday of each month at City Hall, 156 S. Broadway, Turlock, California.