Cities Index.
Agenda packet

Ukiah City Council
June 19, 2024

Document
Agenda packet
Meeting
June 19, 2024
Body
Ukiah City Council
Pages
792
Original file
135.8 MB
Text extracted from the city's file for reading and search. Open the original on ukiahca.api.civicclerk.com. That file is the official record.

COU No. 2324- 190
Locality Media, Inc. Agreement Dec 2023 Page 5 of 12

24. Any delay in or failure of performance by either party under this Agreement will not be considered a breach and will be excused to the extent caused by any event beyond the reasonable control of such party including, but not limited to, acts of God, acts of civil or military authorities, strikes or other labor disputes, fires, interruptions in telecommunications or Internet or network provider services, power outages, and governmental restrictions.

25. This Agreement supersedes all prior agreements, understandings, representations, warranties, requests for proposal and negotiations, if any. Each provision of this Agreement is severable from each other provision for the purpose of determining the enforceability of any specific provision.

26. Agreement Billing Information
a. Accounts Payable Contact
Name: MaryJo Reynolds
Email: ap@cityofukiah. com
Phone: ( 707) 463-6293
b. Tax Exempt _No____ ( Yes/ No)
If yes, please email a copy of the Exempt Certificate to accounting@firstdue. com. c. Purchase Order Required ___No__ ( Yes/ No)
If yes, return a copy of the Purchase Order with the signed agreement or email a copy to accounting@firstdue. com.

LOCALITY MEDIA, INC. Ukiah Valley Fire Department
By: By:

Name: Andreas Huber Name: Sage Sangiacomo
Title: President & CEO Title: City Manager
Date: Date: May 30, 2024
Zoho Sign Document ID: 2AB7F2F4- SMEJKS8NAAPUQUKXQEFOUNZOLMWQJU7WALAI1JLTDWW

Page 298 of 792 ends

COU No. 2324- 190
Locality Media, Inc. Agreement Dec 2023 Page 6 of 12
Exhibit A - Quote
Locality Media, Inc. dba First Due
107 Seventh St
Garden City, NY 11530, United States
Phone: + 1 (516) 874-2258
Website: https:// www. firstdue. com/
Prepared By: Seth Dinehart
Valid Until: June 30, 2024
Quote Number: 1545132000268755982
BILL TO:

Eric Singleton
Ukiah Valley Fire Department
1500 S State St.

Ukiah, CA 95482
Account: Ukiah Valley Fire Department
Subscription Start: April 15, 2024
Initial Term: 12 months
Annual Subscription: $ 36,990. 00
Product Details Total
Occupancy Management & Pre-Incident Planning
Manage Occupancies, Pre-Incident Mapping, ArcGIS Maps, Fire Systems, Hazardous Material, and Contacts.

Responder
Web Responder dashboard and Responder iOS/ Android App with notifications, statusing and routing.

Hydrant Management – Advanced
Manage Hydrants including hydrants visible on pre-plan & response map, hydrant list, hydrant types, hydrant uploads, ArcGIS hydrant layers, hydrant setup, hydrant service checklist, data management, mapping, service inspections, hydrant flow test and reporting.

Inspections
Field Inspections, Configurable Checklists, Violation Management, Virtual Inspections, Inspections Scheduler, and Integrated Pre-Incident Planning.

Invoicing
Invoice Management, Bulk Mailing, Billing Report and Customizable Fee Schedules.

Permitting
Permit Management, Customizable Permit Types, Plan Review and Permit Fees.

Investigations
Organize, analyze, and document investigations, keeping case information secure and separated from, but integrated with other modules.

Incident Reporting – NFIRS
NFIRS Incident Documentation, State and Federal Compliance with automated submission.

Incident Reporting – ePCR
ePCR Incident Documentation, State and Federal Compliance with automated submission.

Scheduling
Manage staff schedules with an interactive shift board, configurable call shifts module, messaging, time-off and shift trades.

Personnel Management
Store, Manage and Access Employee Records including demographic data, certifications and employment information.

Training Records
Assign Training, Record Completions, View Training Logs, and Manage Certifications.

Events & Activities
Create Events, View Global Activity Log, and Access Global Calendar.

Zoho Sign Document ID: 2AB7F2F4- SMEJKS8NAAPUQUKXQEFOUNZOLMWQJU7WALAI1JLTDWW

Page 299 of 792 ends

COU No. 2324- 190
Locality Media, Inc. Agreement Dec 2023 Page 7 of 12
Assets & Inventory
Assets, vehicles, equipment and inventory management, assets and equipment checks, and work order management.

Community Connect
Online portal for residents and businesses to input critical occupant and property data that can be made available to Emergency Response Agencies during an incident.

CAD Integration
Automated importing of CAD calls via XML, Database Connector or API.

Premium Online Training Package
8 Hours Online Training with certified First Due Instructor Implementation and Configuration Services
Services related to configuring and customizing the First Due Platform as described in the Statement of Work.

One-Time Fees Subtotal $ 9,000. 00
Subscription Fees Subtotal $ 36,990.00
Grand Total $ 45,990.00
Statement of Work
Please see attached Statement of Work detailing the Implementation, Training, Data Migration, Integrations, Customer Success Manager, Customer Support, and Assumptions for this Exhibit A – Quote.

Terms and Conditions
The above- listed Grand Total will be invoiced on or around the Subscription Start date. For subsequent annual periods, the Service fees are due and payable annually in advance.

Payment Terms: Net 30 days
For electronic ACH payment: JPMorgan Chase Bank | ABA Routing: 021000021 | Account #: 803527972 Zoho Sign Document ID: 2AB7F2F4- SMEJKS8NAAPUQUKXQEFOUNZOLMWQJU7WALAI1JLTDWW

Page 300 of 792 ends

COU No. 2324- 190
Locality Media, Inc. Agreement Dec 2023 Page 8 of 12
Statement of Work
Locality Media, Inc. dba First Due
107 Seventh St
Garden City, NY 11530, United States
Phone: + 1 (516) 874-2258
Website: https:// www. firstdue. com/
For Quote Number: 1545132000268755982
Statement of Work | Ukiah Valley Fire Department

1. Introduction

1.1 Purpose
The purpose of this Statement of Work ( SoW) document is to clearly define the Implementation, Training, Data Migration, Integrations, Customer Success Manager, Customer Support, and Assumptions for Ukiah Valley Fire Department (“ Customer”) from Locality Media, Inc. dba First Due (“ First Due”) for the purchased product( s) set forth in Exhibit A – Quote (“ Purchased Products”) attached to the Agreement.

1.2 Scope:

This SOW includes the configuration, optimization, and deployment of the Purchased Products with the goal of meeting the organizational needs of the Customer.

2. Implementation

2.1 Overview
First Due utilizes a combination waterfall and iterative approach to implementation. This includes Discovery, Configuration, Optimization, Data Migration, Training, and Go-Live.

2.2 Implementation Resources
Implementation Manager: Project lead and go-to person, acting as the primary liaison between the Customer and the First Due project team. The Implementation Manager will develop and execute the project plan, manage communication, and ensure adherence to predefined timelines and quality standards. This individual is also responsible for helping to configure the core system and some of the more straightforward modules.

Implementation Product Specialist( s): While the Implementation Manager will lead the overall project, Product Specialists will be brought in to help configure and optimize specialty modules such as Fire Prevention, ePCR, Assets & Inventory, Training, Scheduling, and Reporting. They are product experts in First Due and are versed in industry best practices for their specific product specialties. Depending on the modules purchased and complexity, your project may be assigned 1-3 Product Specialists.

Technical Implementation Specialist: Responsible for managing data migration from your current vendor to First Due and the integration between First Due and CAD. The Technical Implementation Specialist Zoho Sign Document ID: 2AB7F2F4- SMEJKS8NAAPUQUKXQEFOUNZOLMWQJU7WALAI1JLTDWW

Page 301 of 792 ends

COU No. 2324- 190
Locality Media, Inc. Agreement Dec 2023 Page 9 of 12
team comes from a diverse background, ranging from database management to public safety software integration.

Customer Success Manager: As the point person after project completion, the Customer Success Manager ( CSM) will be part of the implementation as an advocate and to ensure a seamless transition to support post go-live. During the Implementation they will regularly check- in to ensure progress is being made and help with the addition of new modules or scope from a commercial perspective. Post go-live, they will provide regular check- ins to ensure the Customer is adopting the Purchased Products and deriving value from them.

Training Manager: Responsible for developing and executing the training plan, with the goal of effective adoption of the Purchased Products by Customer. The Training Manager will be involved throughout the project to ensure they have the Customer specific knowledge to design the most effective training plan possible.

2.3 Implementation Phases

2.3.1 Discovery & Planning: Once the Project has been assigned, Customer will receive a set of tailored discovery questionnaires. Once filled out, the Implementation Manager will schedule a Project Kick-Off.

During this meeting the Customer will receive access to the First Due platform, meet the project team and receive an initial product tour. The Implementation Manager will also provide an overview of the project plan, decide the meeting cadence, and formalize the next steps. CAD Integration and Data Migration planning meetings are also held during this phase, if required. These meetings will be led by the Technical Implementation Specialist.

Key Meeting(s): Project Kick-Off, CAD Kick- Off, Data Migration Planning Milestone( s): Project Kick-Off, System Access
Customer Task(s): Fill Discovery Questionnaires
Deliverable( s): Welcome email, Initial Account Set-Up, System Logins Provided

2.3.2 Configuration: After planning is complete, the Implementation Manager will begin scheduling the Configuration sessions. Before each configuration session there will be some light prep work for the Customer to complete. Generally, there will generally be one (1) configuration session per module, but in cases where there is more complexity, there may be multiple. These sessions will be either be run by the Implementation Manager or the Implementation Product Specialist, depending on the module.

Key Meeting(s): Module Configuration Sessions ( 1-2 per module) Milestone( s): N/ A
Customer Task(s): Configuration Prep Work ( per module) Deliverable( s): Initial Module Configuration
Scope: All Purchase Products

2.3.3 Optimization: After the configuration is complete, the Customer will be provided with test work ( module User Acceptance Testing ( UAT)) to complete. Following the completion of the UAT work, Optimization Sessions will be held to review Customer feedback, correct any issues, and finalize the configuration of the module. There will generally be one (1) Optimization session per module, but in cases where there is more complexity, there may be multiple. Once a module is configured and optimized, the Customer will be provided a module sign- off document to review and sign. Note Configuration and Optimization sessions may run interchangeably to ensure the project stays on-track.

Key Meeting(s): Module Optimization Sessions ( 1-2 per module) Milestone( s): Module Acceptance and Sign- Off (1 per module) Customer Task(s): Optimization Prep Work ( UAT per module) Deliverable( s): Module Optimization resulting in Customer Acceptance Scope: All Purchase Products
Zoho Sign Document ID: 2AB7F2F4- SMEJKS8NAAPUQUKXQEFOUNZOLMWQJU7WALAI1JLTDWW

Page 302 of 792 ends

COU No. 2324- 190
Locality Media, Inc. Agreement Dec 2023 Page 10 of 12

2.3.4 Data Migration: Data Migration will occur through- out the project and can be summarized in three steps: ( 1) initial data migration at the beginning of the project required for configuration, ( 2) import of historical records, usually occurring throughout the project, and (3) final data migration immediately before go-live. First Due’ s Data Migration team will review your legacy data environment and provide guidance on the best path to extract, map, and import the data into First Due.

Key Meeting(s): Data Migration Planning
Milestone( s): Data Migration Sign- Off
Customer Task(s): Extract or provide access to legacy data based on guidance from First Due Data Migration team, Data Mapping Assistance, review and approve data load.

Deliverable( s): Data Migration Plan, Data Mapping Assistance, Data Import

2.3.5 Training: As the project is in the final stages, the Training Manager will work with the Customer to arrange a training plan that will result in the successful adoption of the Purchased Products. Note that while Webinar Administrator training will occur during configuration and optimization sessions, the Training Manager will arrange formal Webinar and/ or Onsite Train- the-Trainer and/ or End User Training Session( s). Additive to the provided training, Customer will also have access to live weekly training academy sessions as well as on demand online training videos and training guides via the First Due Knowledgebase.

Key Meeting(s): Training Planning, Training Sessions
Milestone( s): Training Completed
Customer Task(s): Coordinate staff to be trained
Deliverable( s): Training Plan and Training Session( s)

2.3.6 Go-Live: Once all modules have been signed off and training has been arranged or completed, First Due will work with the Customer to kick-off the Go-live process. This includes: ( 1) Final System Acceptance, ( 2) Go-live planning meeting, ( 3) Final Data Migration, ( 4) Go-live, and (5) Post go-live implementation support.

Key Meeting(s): Go-live planning, Post Go-live Check- Ins Milestone( s): System Acceptance, Go-live
Customer Task(s): Final Testing
Deliverable( s): Post Go-live Implementation Support ( 2-4 weeks)

2.3.7 Transition to Customer Success: Following the completion of the post go-live support period and assuming all critical implementation tasks are complete, Customer will be transitioned to their Customer Success Manager ( CSM) and to the First Due Support team.

Key Meeting(s): Customer Success Transition Meeting
Milestone( s): Transition to Customer Success and Support Customer Task(s): N/ A
Deliverable( s): N/ A

3. Training
Training is an integral part of any successful implementation. First Due is focused on providing your agency adequate training to ensure effective user adoption of the platform. As part of this Statement of Work, the Customer shall receive:

Formal training as outlined in Exhibit A - Quote
Administrator Training as part of the Configuration / Optimization Access to live First Due Academy Webinars
Access to online recorded training videos and guides via an interactive knowledgebase Any additional scope or detail related to Training will be listed below.

Zoho Sign Document ID: 2AB7F2F4- SMEJKS8NAAPUQUKXQEFOUNZOLMWQJU7WALAI1JLTDWW

Page 303 of 792 ends

COU No. 2324- 190
Locality Media, Inc. Agreement Dec 2023 Page 11 of 12

4. Data Migration
First Due understands the importance of data migration to our customers and has extensive experience working to migrate historical records into the platform. First Due will use best efforts to migrate applicable data from Customer’ s existing systems utilizing data migration best practices. This includes:

Data Migration Planning Session
Assistance/ Guidance in extracting data from existing system/ s Mapping extracted data to First Due import workbooks
Importing of Data into First Due
The Data Migration scope of this Statement of Work will be to import legacy data from Customer existing systems in order for the Purchased Products to be operational. This includes operational data and historic records. Note that there are times when certain data is not seen as valuable to migrate to First Due. First Due and Customer will agree during the planning phase on what data needs to be migrated and priorities around data migration.

5. Integrations
As part of this Statement of Work, First Due will Implement all integrations and relevant scope outlined in Exhibit A – Quote. Integrations will be implemented during the configuration and optimization phases outlined above. In most cases, these integrations will be aligned with the module they are related. The only exception to this is the CAD Integration which, if part of scope, will have its own dedicated session at the beginning of an implementation. Customer or complex integrations may follow this same exception and have their own sessions to implement.

First Due will support these integrations post go-live. Note First Due is not responsible for outages, issues, and failures of 3rd Party Vendors. First Due will, however, always endeavor to work with Customer to resolve issues, regardless of responsibility.

Any additional scope or detail related to Integrations will be listed below.

6. Customer Success Manager
First Due understands the value of ongoing Customer Success activities post go-live. As part of this Statement of Work, Customer will receive a Customer Success Manager who will be the point person for Customer post go-live. Customer will receive regular check- ins to ensure the adoption of the Purchased Products. As part of the regular check- ins, the Customer Success Manager can help Customer with any major enhancements or issues, new feature updates, interest in other modules and additional training needs.

7. Customer Support
A customer’ s success is important to First Due and we understand having a reliable, knowledgeable Customer Support ( or Support) team there to help is vital. Customer Support provides a central point of contact to ensure that all customer support requests are responded to and resolved. Below is a summary of the support components.

7.1 Contacting Customer Support
Customer Support is a service provided to our customers when they have questions, requests, or issues with the Services. When Customer submits a support request, a Support Ticket ( or Ticket) is created within First Due’ s Support CRM and a unique ID ( or ticket number) is assigned to track and document Customer’ s support request.

We offer a variety of channels to communicate with our Support team:

Online: https:// support. firstduesizeup. com/ portal/ en/ kb/ first- due-community- connect- support Email: support@firstdue. com
Phone: (516) 874-5818
Zoho Sign Document ID: 2AB7F2F4- SMEJKS8NAAPUQUKXQEFOUNZOLMWQJU7WALAI1JLTDWW

Page 304 of 792 ends

COU No. 2324- 190
Locality Media, Inc. Agreement Dec 2023 Page 12 of 12

7.2 Self-Service Resources
First Due strives to provide useful, empowering self-service resources that are available 24/ 7 on our online Support Center. Our Knowledgebase contains step-by-step/ how-to articles, FAQs, videos, best practices, etc.

7.3 Hours of Operation
Customer Support hours of operation ( Business Hours) are:

Monday to Friday, 9:00am – 6:00pm ET**
24x7 Support available for Sev 1 (Down/ Urgent) issues.

8. Assumptions

8.1 Customer Participation
Every successful implementation requires adequate participation from the Customer. Although First Due is ultimately responsible for deliverables in the SoW, Customer agrees to attend the necessary calls and complete required preparatory work in order to help drive the project forward. At a minimum, Customer resources will be required for one (1) hour per week for meetings, and half an hour to one (0.5-1) hour of prep work per week by one or multiple individuals. Customer understands the importance of ensuring the correct Customer resources are available when required.

8.2 Statement of Work Expiration
Excluding significant delays caused by the First Due team, this Statement of Work will expire within twelve ( 12) months of the Subscription Start Date as detailed in Exhibit A – Quote. In situations where the project is delayed for no fault of either party, First Due agrees to extend the term, only if there is an agreed plan to complete the project within the extension period. Note the term expiration does not apply to section 6 & 7 above and will not impact First Due’ s ability to support the Customer post go-live.

8.3 Best Practice and Standard Workflow
First Due intends to meet the organizational needs of the Customer and their respective software requirements by configuring the Purchased Products to closely align with existing workflows. Although First Due is incredibly flexible, there may be times when First Due recommends using standard functionality or best practice to ensure a timely implementation, and simplification of current process. These workflows may differ from Customer existing workflows. Customer understands the importance of collaboration to achieve the ultimate goal of successfully adopting the Purchased Products and is aware there may be changes to existing workflow to accomplish this.

8.4 Go-live Requirements & Gaps
Over the course of the Implementation, both parties may uncover functionality gaps in the Purchased Products. Some of these gaps may have a material impact on the ability to implement or adopt the product.

Gaps of this nature, deemed Go-Live Requirements, will be prioritized to ensure a timely go-live and project completion. However, in the case that certain features are not complete before go-live, they will be added to module and system signoffs as exceptions and will be completed within an agreed upon timeframe.

Zoho Sign Document ID: 2AB7F2F4- SMEJKS8NAAPUQUKXQEFOUNZOLMWQJU7WALAI1JLTDWW

Page 305 of 792 ends
Page 1 of 4 ends

Agenda Item No: 12.a.

MEETING DATE/TIME: 6/19/2024

ITEM NO: 2024-284

AGENDA SUMMARY REPORT
SUBJECT: Receive an Update Regarding the City of Ukiah’s Western Hills Annexation and Sphere of Influence Amendment Application, LAFCo File No. A-2022-02; Consider Adoption of an Amended City Council Resolution for A_2022-02; and Introduce an Amended Ordinance by Title Only Confirming the Previously Approved Prezoning Districts as Low-Density Residential - Hillside (R1-H) and Public Facilities (PF).

DEPARTMENT: Community
Development PREPARED BY: Jesse Davis, Chief Planning Manager, Maya Simerson, Project & Grant Administrator PRESENTER:

Maya Simerson, Project and Grant Administrator;
Craig Schlatter, Community Development
Director
ATTACHMENTS:

1. LAFCo Incomplete Letter A-2022-02 (April 19, 2024)

2. Draft Resolution

3. Draft Ordinance

4. Statement of Fair Share Housing Needs A-2022-02 (June 19, 2024) Summary: The City Council will receive an update regarding the City of Ukiah’s Western Hills Annexation and Sphere of Influence (SOI) Amendment application (LAFCo File No. A-2022-02), and consider directing Staff to submit an updated application to the Mendocino Local Agency Formation Commission (LAFCo). The City Council will also consider adoption of an amended resolution and introduction of an Ordinance by title only to facilitate the submission of an updated application to LAFCo that effectively prezones all identified parcels.

Background: The City has a vision and goal to protect Ukiah’s western wildland-urban interface (WUI) by preserving open space, conserving forest and stream ecosystems, providing large-scale wildfire mitigation opportunities, and protecting the Upper Russian River Watershed, while facilitating orderly development to reduce sprawl.

To achieve these goals, and at the direction of the City Council, the City has been acquiring lands immediately adjacent to its western city limits over the last several years. The purpose of these acquisitions is to annex such lands into the City for open space preservation, public facility purposes, wildfire protection, and limited residential development. Presently, the City is proposing to annex approximately 792 acres known as the 'Western Hills Annexation Area,' comprising both City-owned and privately-owned property. For a detailed review of the timeline and history associated with the Western Hills Annexation Area, please review the City's Western Hills Annexation web page (https://cityofukiah.com/western-hills-annexation-request-sphere-ofinfluence-amendment/).

The most recent action undertaken by the City Council occurred on December 6, 2023. At their regular meeting on this date, the City Council approved an amendment to the 'Western Hills Annexation Area' (to include APN 003-190-11), confirmed the prezoning, and adopted an Addendum to the 2021 Western Hills Project Initial Study and Mitigated Negative Declaration (SCH No. 2021040428).

Subsequently, on March 14, 2024, the City submitted the revised application to LAFCo. On April 19, 2024,

Page 306 of 792 ends
Page 2 of 4 ends

LAFCo provided the City of Ukiah with an ‘Incomplete Letter’ (Attachment 1), which is specifically addressed within the Discussion section of this staff report.

Discussion: Staff provides the following updates to the City Council regarding items identified in the 'Incomplete Letter' dated April 19, 2024 (Attachment 1) from the Mendocino Local Agency Formation Commission for the City of Ukiah's Western Hills Annexation and Sphere Amendment (File No. A-2022-02):

1. Adoption of property tax exchange agreement(s) per Revenue and Taxation Code (RTC) Section 99.

On June 5, 2024, the Mendocino County Board of Supervisors adopted a Resolution approving a Master Tax Sharing & Housing Agreement between the County of Mendocino, the City of Fort Bragg, the City of Point Arena, the City of Ukiah, and the City of Willits. On June 19, 2024, the Ukiah City Council will review and consider adoption of the approved Master Tax Sharing & Housing Agreement. The other three cities will each consider the agreement within the next 45 days.

2. A Land Use Designation needs to be established for APN 003-190-11 for General Plan consistency findings.

The amended Resolution (Attachment 2) and Ordinance (Attachment 3) were revised to address this consideration. Across the Western Hills Annexation Area parcels proposed for residential development are pre-zoned Low Density Residential-Hillside (R1-H) and feature a Hillside Residential (HR) General Plan – Land Use Designation; parcels proposed for public uses are prezoned Public Facilities (PF) and feature a General Plan – Land Use Designation: Public (P).

3. Effectively Prezone all proposed annexation parcels that were added after City Ordinance No. 1217,in accordance with GOV §56375(a)(7).

The amended Resolution (Attachment 2) and Ordinance (Attachment 3) address this consideration. On December 6, 2023, the City Council approved the prezoning designations for APN 003-190-11, but did not introduce or adopt an Ordinance, as necessitated by Mendocino LAFCo. Staff notes that the hearing of the City Council on December 6, 2023 considered and explicitly discussed prezoning considerations, as did the Planning Commission hearing that preceded it.

4. Submit Exhibits A and B and Attachments 1 and 2 to City Resolution No. 2023-42. Note that we do not have record of a prior Resolution of Application.

The amended Resolution (Attachment 2) and Ordinance (Attachment 3) address this consideration. Staff notes that City of Ukiah Resolution No. 2023-42 included the statement, “The City Council approves the Western Hills Annexation Area amendment, prezoning and associated actions.” Upon review, Staff notes that the original submission of A_2022-02 did not feature a Resolution of Application, but did include Ordinance No. 1217.

5. Submit a brief written description of the public right-of-way or easements involved in the proposal per Project Information #3 from the Justification of Proposal.

On April 23, 2024, Staff identified and provided the public right-of-way and easements considerations as detailed in the Purchase Agreement (COU #2122-201). Right-of-way and easement considerations apply to access and utility considerations for residential development, as well as public trail considerations. Staff understand the provided materials to be sufficient, but is able to provide additional clarification to LAFCo, if required.

6. We will continue working together to address the fair shares of the regional housing needs documentation process (GOV §65580).

Staff updated the submitted Statement of Fair Share Housing Needs for A-2022-02 (Attachment 4) to address

Page 307 of 792 ends
Page 3 of 4 ends

considerations related to California Code, Government Code - GOV § 65584.07(a), which requires the following:
• The county's share of low-income and very low income housing shall be reduced only in proportion to the amount by which the county's share of moderate- and above moderate-income housing is reduced.

Originally, the City and County had agreed to transfer only low-income housing as a component of the fair share housing requirements. Given the requirements Government Code §65584.07(a), however, this agreement has been updated to convey a proportional split between moderate-income and low-income units.

Another consideration for A-2022-02 is that under the California Government Code, if an allocation is granted, the city that received a transfer shall adopt or amend its housing element within 30 months of the effective date of incorporation. The county that received a transfer shall amend its housing element within 180 days of the effective date of the transfer.

City Staff consulted the Mendocino County Planning and Building Services Department, and intend to request that the Mendocino Council of Governments (MCOG) apply the proposed fair share considerations to the 7th Housing Cycle allocation, recognizing that the proposed residential parcels are unlikely to be developed within the remaining years of the 6th Cycle, which concludes in 2027, and therefore those units are more appropriately applied to the upcoming 7th Cycle using the formula identified in the pending Master Tax Share Agreement.

7. Please address the attached and below comments from other agencies related to the proposed annexation map and written description.

Staff worked closely with the City's contracted professional surveyor, Mendocino County Department of Transportation, Mendocino County Information Services, as well as LAFCo to ensure that the updated plat and legal descriptions meet their specifications and requirements. A revised legal description and plat for the Western Hills Annexation Area has been finalized and provided to LAFCo staff for confirmation or further revisions. The amended resolution (Attachment 2) and ordinance (Attachment 3) now cite the updated and most-current legal description and plats as Exhibit(s) C.

8. CEQA Note, UVFD Annexation, UVSD & CSA 3 Detachment.

With regard to CEQA, Staff anticipates that all new residential development, even the '2022 - CleanUp/Correction Parcels' will require discretionary review, due to the topography and applied zoning designations. Given these development requirements, site specific and cumulative environmental considerations will be assessed as new entitlements are evaluated. Additionally, it is expected that the subject parcels will be sold and developed incrementally. Given past examples of residential development subject to the City’s Hillside combining district, it would be unprecedented for the build-out of all units to occur in a coordinated, immediate and comprehensive manner. Rather, it is expected that parcels will be sold and developed individually over the course of the next (5) five to (10) ten years. While access to municipal water and sewer becomes available to undeveloped 'Clean-Up/Correction' parcels, no extension of infrastructure is contemplated at this time.

In consultation with the City Manager's Office, the Ukiah Valley Fire Authority (UVFA), and the City of Ukiah Public Works Department, it has been determined that it is not appropriate to further amend LAFCO File No, A-2022-02 at this time. The City of Ukiah, however, notes the considerations raised by LAFCo and Mendocino County regarding CSA 3 and UVSD, and will address them when future applications for annexation or reorganization are considered.

Page 308 of 792 ends
Page 4 of 4 ends

Recommended Action: (1) Direct Staff to submit an updated application to LAFCo; (2) Adopt an amended Resolution for the City of Ukiah's Western Hills Annexation and Sphere of Influence (SOI) Amendment Application as specified in the Initial Study/Mitigated Negative Declaration (SCH No. 2021040428) previously adopted on December 6, 2023; and (3) Introduce by title only an amended ordinance confirming the previously approved Prezoning districts as Public Facility (“PF”) and Low Density Residential-Hillside (“R1-H”).

BUDGET AMENDMENT REQUIRED: N/A
CURRENT BUDGET AMOUNT: N/A
PROPOSED BUDGET AMOUNT: N/A
FINANCING SOURCE: N/A
PREVIOUS CONTRACT/PURCHASE ORDER NO.: N/A
COORDINATED WITH: Sage Sangiacomo, City Manager, David Rapport, City Attorney DIVERSITY-EQUITY INITIATIVES (DEI): N/A
CLIMATE INITIATIVES (CI): 5b – Protect against sprawl through completion of annexations. 10a – Protect from dangerous emission by preventing fires.

GENERAL PLAN ELEMENTS (GP): LU 6; LU 7; LU 8; LU 11.3; LU 13; ED 4.1; PFS 1; PFS 1.1; PFS 12; PFS

12.3

Page 309 of 792 ends

MENDO CINO
Local Agency Formation Commission
Ukiah Valley Conference Center | 200 South School Street | Ukiah, California 95482 Telephone: (707) 463-4470 | E-mail: [email protected] | Web: http://mendolafco.org April 19, 2024
Jesse Davis
Chief Planning Manager, City of Ukiah
300 Seminary Avenue
Ukiah, CA 95482
RE: Application Deemed Incomplete Pursuant to GOV §56658(c) City of Ukiah Western Hills Annexation and Sphere Amendment (File No. A-2022-02) Dear Mr. Davis,
We have reviewed the Change of Organization proposal for the City of Ukiah Western Hills Annexation and Sphere Amendment (File No. A-2022-02) resubmitted on March 21, 2024. This application was originally submitted on June 8, 2022 and was not a complete submittal since several application components were pending at that time. We have identified the following project incomplete items that need to be addressed prior to issuance of a Certificate of Filing pursuant to GOV §56658(f) and scheduling the matter for Commission consideration.

1. Adoption of property tax exchange agreement(s) per Revenue and Taxation Code (RTC) Section 99.

Please note that we sent a Notice of Filing pursuant to RTC §99(b) on March 21, 2024 to the County Assessor and Auditor, with a copy to the CEO and Board of Supervisors, to commence the process. When the Master Tax Share Agreement is approved by all agencies, this item no longer applies.

2. A Land Use Designation needs to be established for APN 003-190-11 for General Plan consistency findings.

3. Effectively Prezone all proposed annexation parcels that were added after City Ordinance No. 1217, in accordance with GOV §56375(a)(7).

4. Submit Exhibits A and B and Attachments 1 and 2 to City Resolution No. 2023-42. Note that we do not have record of a prior Resolution of Application.

5. Submit a brief written description of the public right-of-way or easements involved in the proposal per Project Information #3 from the Justification of Proposal.

6. We will continue working together to address the fair shares of the regional housing needs documentation process (GOV §65580).

7. Please address the attached and below comments from other agencies related to the proposed annexation map and written description.
a) In the first line on page 1, “All that real property….”, change “situate” to “situated”. b) Lester Carter’s PLS stamp is dated “3-31-24” which has expired; update the PLS stamp to be current.

Attachment 1

Page 310 of 792 ends

Mr. Jesse Davis
April 19, 2024
c) Correct “Yokaya” to “Yokayo” on sheet 1, SE city boundary line. d) Expand the course column on the table to show the courses instead of “……………” e) Remove the usage of Exhibits A and B, as well as associated references (note #3). f) Correct the text in line 35 of the description where it reads “…1326.72 feet to the northwest one-sixteenth corner of Section 25.”, to read as follows: “…the west one-sixteenth corner between Section 24 and Section 25.”.
g) On the first page of the legal description, 5th line down from the top, correct “Charles T. Healy” to “Charles T. Healey”.

CEQA Note
While the MND Addendum for the Ukiah Western Hills Open Land Acquisition and Limited Development Agreement Project does not explicitly address LAFCo actions (annexation and sphere amendment), there is some analysis of these items under impact discussion sections which should be adequate for our purposes. It is noteworthy that the MND Addendum does not address the post-annexation conditions of development potential for the Noguera and larger Werra parcels, and availability of public water to these parcels, because there are currently no development plans. The MND Addendum also does not address the post-annexation conditions of availability of public water to the planned development parcels (because on-site well water is intended to serve these parcels), or availability of new public sewer to planned development parcels 4, 5, 6, and 7. There is a relatively low amount of residential development anticipated (up to 20 residences) for the development parcels, and the determination that the environmental impacts will be less than significant appears reasonable.

Future UVFD Annexation Note
Note that the area currently proposed for City annexation will not be part of the Ukiah Valley Fire District (UVFD) unless and until a subsequent UVFD annexation proposal is approved by LAFCo.

Future Districts Detachment Note
The proposed annexation area overlaps with the Ukiah Valley Sanitation District and County Service Area (CSA) 3. It will be important to continue working together to determine the appropriate timing for a comprehensive detachment proposal to address the currently proposed annexation area, and other overlap areas, from all applicable special districts.

Once the requested additional information is received, we will proceed with reviewing your application for consistency with applicable laws, regulations, and polices.

Please feel free to contact me if you need additional information or have any questions.

Sincerely,
Uma Hinman
Executive Officer
Enc: Comment Letter, Mendocino County GIS Coordinator
Cc: Sage Sangiacomo, City Manager, City of Ukiah
Craig Schlatter, Community Development Director, City of Ukiah David Rapport, City Attorney, City of Ukiah

Page 311 of 792 ends

Memo
To: Uma Hinman, LAFCO Executive Officer
From: Leif Farr, Mendocino County GIS Coordinator
Date: April 17, 2024
Re: LAFCO File No A-2022-02
The following issues and concerns are based on a limited review of the documentation that your office provided me, (dated March 21, 2024) regarding the “City of Ukiah – Western Hills Annexation”, LAFCO File No A-2022-02. I did not comment on the accuracy of the boundary description as this issue has been reviewed by other County Departments.

1. Exhibit B includes three map sheets, yet only sheet 1 has been stamped by the Surveyor, leaving sheets 2 and 3 without a source as to who completed the maps.

2. Map sheets 1 and 2 appear to show parcel 001-040-07 within in the area of the annexation and outside of the City of Ukiah, when in fact the parcel is within the current boundary of the City of Ukiah.

3. All map sheets do not clearly define and depict the current City of Ukiah boundary. The symbol chosen for the City of Ukiah boundary is not sufficiently different then other lines on the map and so it is difficult to decern the actual boundary on the map. While the City boundary symbol is listed in the map legend it is also labeled as the boundary of the Yokayo Rancho on the map, thus adding further confusion.

4. The boundary for the City of Ukiah as shown on all map sheets is not correct. The boundary seems to include within the City of Ukiah, a vast area of land that is not actually within the City of Ukiah. It is a requirement of the State Board of Equalization and as per the County standards for LAFCO maps to clearly and accurately depict the current boundary of the City or District that the annexed land will become a part of. Shape files for the current boundaries for all incorporated cities within Mendocino County are available from the County’s GIS Program, so it should be a simple mater to accurately depict said boundaries.

5. A portion of the proposed annexation is within the Ukiah Valley Sanitation District. Will the annexation include a detachment of this area from the Sanitation District?

Page 312 of 792 ends

ATTACHMENT 2

Page 1 of 3 ends

RESOLUTION NO. 2024-

RESOLUTION OF APPLICATION OF THE CITY COUNCIL OF THE CITY OF UKIAH FOR THE

WESTERN HILLS ANNEXATION AREA, PREZONING FOR THE UKIAH WESTERN HILLS

WESTERN HILLS ANNEXATION AND SPHERE OF INFLUENCE AMENDMENT APPLICATION (LAFCO FILE NO. A-2022-02)
WHEREAS:

1. On January 16, 2020, the Ukiah City Council adopted an Annexation Policy (Resolution No. 2020-06) stating that the City will pursue, apply for, and support the annexation of unincorporated areas to the City to avoid the negative consequences of continued urban sprawl and to ensure the efficient provision of municipal services to unincorporated areas without placing an undue financial burden on the City or its residents; and

2. On October 6, 2021, the City Council adopted Ordinance No. 1217, approving the Ukiah Western Hills Open Land Acquisition & Limited Development Project ("2021 Western Hills Project") to facilitate the acquisition, annexation prezoning, and certification of the associated Initial Study and Mitigated Negative Declaration (ISMND; SCH No. 2021040428); ands

3. On March 2, 2022, the City Council approved the Limited Development Agreement and Property Exchange (COU No. 2122-201), and a Road, Access and Maintenance Agreement (COU No. 2122-200) to facilitate the Project; and

4. On June 8, 2022, the City of Ukiah applied for annexation of the “2021 Western Hills Project” area to the Mendocino County Local Agency Formation Commission (LAFCo).

The application was assigned File No. A-2022-02, and included several unrelated, privately-owned parcels (referred to as the "Clean Up/Correction Parcels") to inform deliberate, correct and appropriate boundaries for the City of Ukiah. Some of these parcels span both City and County jurisdiction. The City proposes to annex them to rectify ongoing jurisdictional considerations and to prevent the creation of an unincorporated island; and

5. On December 7, 2022, the City Council adopted Resolution No. 2022-78 and Resolution No. 79, adopting the City's 2040 General Plan and certifying the associated Environmental Impact Report (EIR; SCH No. 2022050556). The 2040 General Plan and EIR identify the Western Hills Annexation Area as one of the three geographies that the City evaluated and intends to pursue for annexation. Under this environmental review, the “Clean-Up Parcels” were analyzed and included, bringing the total Western Hills Annexation Area to 752 acres at that time; and

6. On December 19, 2022, LAFCo approved the City' s Ukiah Municipal Service Review (MSR) and Sphere of Influence (SOI) Update; and

7. In 2023, an additional ±40-acre parcel (APN 003-190-11) directly adjacent to the Western Hills Annexation Area and City's western boundary became available for purchase that was strategically critical to address access considerations and preserve additional openspace; and

Page 313 of 792 ends

ATTACHMENT 2

Page 2 of 3 ends

8. On December 6, 2023, the City of Ukiah adopted Resolution No. 2023-42 to facilitate the purchase and prezoning of APN 003-190-11, as well as to facilitate revisions to LAFCo File. No. A-2022-02 to include a Sphere of Influence (SOI) Amendment; and

9. Pursuant to Section 15164 of the CEQA Guidelines, an Addendum to the adopted MND was prepared and adopted by the City of Ukiah as minor changes or additions were necessary and none of the conditions described in Section 15162 of the CEQA Guidelines calling for the preparation of a subsequent EIR or subsequent MND occurred or were identified; and

10. On March 14, 2024, City of Ukiah Staff submitted the revised application to LAFCo; and

11. On April 19, 2024, LAFCo provided the City of Ukiah with an ‘Incomplete Letter’ which requires the City to further codify actions previously approved by the City Council, including adoption of an amended ordinance to effectively prezone all parcels identified for annexation, as well as a revised Resolution of Application to address other considerations identified by LAFCo, such as the need to apply a General Plan Land Use Designation for APN 003-190-11; and

12. An amendment to Resolution 2023-42 is required to address considerations identified in the Mendocino LAFCo Incomplete Letter dated April 19, 2024 that the City provide general plan designations and clarify associated exhibits required by California Government Code for the requested annexation and Sphere of Influence Amendment. No changes to the application or project are requested or required.

NOW, THEREFORE, BE IT RESOLVED AND ORDERED:

1. This annexation and Sphere of Influence Amendment request is made, and it is requested that proceedings be taken, pursuant to the Cortese/ Knox/ Hertzberg Local Government Reorganization Act of 2000, commencing with section 56000 of the California Government Code, specifically Government Code § 56654(a).

2. This proposal is an annexation and Sphere of Influence Amendment (SOI) to the City of Ukiah.

3. Legal descriptions of the affected territories are set forth in Exhibit C, and a list of parcels and maps of the affected territories are set forth in Exhibits A & B, attached hereto and by reference incorporated herein.

4. The additional parcel to be annexed is a ±40acre uninhabited parcel that is contiguous to the existing Western Hills Annexation Area and City limits, resulting in a total annexation area of approximately 792 acres.

5. APN 003-190-11 is not located within the City' s SOI, but is adjacent to the existing City limits and is included in the City's Planning Area.

6. The City proposes to prezone APN 003-190-11 a combination of Public Facilities (PF) and Low-Density Residential - Hillside (R1- H), as described in Exhibit A and depicted on the prezoning map in Exhibit B. As visually conveyed on Exhibit B, the portion of the parcel proposed or associated with residential development is prezoned Low-Density Residential

Page 314 of 792 ends

ATTACHMENT 2

Page 3 of 3 ends

Hillside Overlay (R1-H) and features a Hillside Residential (HR) General Plan – Land Use Designation; the portion of the parcel proposed for public uses is prezoned Public Facilities (PF) and features a General Plan – Land Use Designation: Public (P).

7. In accordance with CEQA Guidelines Sections 15162 through 15164, an Addendum to the 2021 Western Hills Project ISMND (SCH No: 2021040428) was previously prepared by the City of Ukiah Community Development Department, Planning Division.

8. As discussed in the Planning Commission Staff Report and Addendum, none of the criteria noted in CEQA Guidelines 15162 have occurred, and only minor changes are necessary in order to deem the Addendum to the certified MND adequate. Specifically, there are no substantial changes proposed that require major revisions of the 2021 MND due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects. The Addendum incorporates mitigation identified in the 2021 MND to reduce all impacts to a less than significant level. No new impacts that were not previously discussed in the 2021 MND were identified.

9. As discussed throughout the Addendum, staff reports and associated documents, the proposal and associated actions are consistent with the City' s General Plan, Zoning Code, as well as the Government Code and LAFCo policies related to annexation.

10. On December 6, 2023, the City Council approved the Western Hills Annexation area amendment, prezoning and associated action, adopting the Addendum (and associated Mitigation Monitoring Reporting Program) to the 2021 Western Hills Project ISMND (SCH No: 2021040428).

11. Once the territory is annexed by the City, it will be subject to the Master Tax Share Agreement as adopted by the County of Mendocino on June 5, 2024 and the City of Ukiah on June 19, 2024.

PASSED AND ADOPTED this 19th day of June 2024, by the following roll call vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Josefina Dueñas, Mayor
ATTEST:

Kristine Lawler, CMC/City Clerk
Exhibit A: List of Parcels
Exhibit B: Prezone & General Plan Designation Map
Exhibit C: A-2022-02 Legal Description & Plats – Updated (June 2024)

Page 315 of 792 ends

ANNEXATION PARCEL CURRENT APNs SITUS OWNER CURRENT

ACREAGE

PROPOSED

ACREAGE

COUNTY ZONING UKIAH PROPOSED GENERAL PLAN UKIAH PROPOSED ZONING SANITATION WATER 003‐110‐90 (Private) 003‐110‐90 620 Redwood Ave. Adonis & Sarah Noguera 4.14 4.14 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) CoU; UVSD CoU; None 003‐190‐09 (Private) 003‐190‐09 620 Redwood Ave. Adonis & Sarah Noguera 10.2 10.2 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD None001‐420‐40 (Private) 001‐420‐40 145 Mendocino Place Robert R Beltrami 1.49 1.49 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU001‐041‐02 (Private) 001‐041‐02 500 Lookout Dr. Grayden Huff 1.33 1.33 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU; None001‐041‐03 (Private) 001‐041‐03 4 Lookout Dr. Amanda Reiman 0.66 0.66 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU; None001‐041‐04 (Private) 001‐041‐04 3 Lookout Dr. Amanda Reiman 0.48 0.48 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU; None001‐041‐05 (Private) 001‐041‐05 2 Lookout Dr. Marlene Werra TTEE 1.13 1.13 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU; None001‐041‐06 (Private) 001‐041‐06 415 Hillview Ave. Marlene Werra TTEE 0.74 0.74 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU; None001‐041‐01 (Private) 001‐041‐01 TBD Marlene Werra TTEE 35.5 35.5 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD None001‐040‐81 (Private) 001‐040‐81 335 Janix Dr. William Edwards 2.4 2.4 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) CoU; None CoU; NoneDevelopment Agreement ‐ Parcel 1 003‐190‐13 TBD D&J Investments, LLC 10 10 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 2 003‐190‐15 TBD D&J Investments, LLC 5 5 Upland Residential (UR:40) Hillside Residential (HR) Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private Shared Development Agreement ‐ Parcel 3
157‐050‐18; 157‐070‐05;003‐190‐16; 003‐190‐17 TBD D&J Investments, LLC 153.2 5 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private Shared Development Agreement ‐ Parcel 4 001‐040‐83 TBD D&J Investments, LLC 77.6 9.9 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private Shared Development Agreement ‐ Parcel 5 157‐050‐16 TBD D&J Investments, LLC 40.3 9.9 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 6 157‐050‐15 TBD D&J Investments, LLC 40.4 9.2 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 7 157‐030‐02; 157‐050‐14 TBD D&J Investments, LLC 40.2 5 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 8 157‐050‐13; 157‐060‐02 TBD City of Ukiah 78.4 665.09 Upland Residential (UR:40) PF ‐ Public Facility (Open Space) UVSD; None NoneDevelopment Agreement ‐ Parcel 9 157‐030‐03 TBD D&J Investments, LLC 60 5 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 10 157‐050‐03; 157‐060‐03 TBD D&J Investments, LLC 188.57 5 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 11 003‐190‐11 TBD D&J Investments, LLC 40 5 Upland Residential (UR:40) Hillside Residential (HR) Hillside Residential (HR) Hillside Residential (HR) Hillside Residential (HR) Hillside Residential (HR) Public (P)Hillside Residential (HR) Hillside Residential (HR) Hillside Residential (HR) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private Shared 2021 Western Hills ‐ Annexation Parcel(Original)2022 Western Hills ‐ Correction/Clean‐ Up Parcels2023 Western Hills ‐ PurchaseAgreement
Exhibit A

Page 316 of 792 ends

157-080-05
001-030-03
157-170-34
157-060-02
157-060-04
157-060-03
157-080-04
156-190-01
003-200-10
001-040-92
003-190-17
157-050-15
157-130-01
156-230-03
157-110-07
157-170-43
157-160-11
157-170-44
157-080-03
157-040-16
157-040-13 157-060-01
001-040-90
156-170-03
157-160-17
156-220-03
157-030-03
156-220-04
157-150-05
156-190-03
157-150-01 157-150-07
157-120-07
157-140-15
157-030-02
157-120-03
001-030-05
157-170-53
157-150-06
157-160-09
157-070-05
157-160-08
157-050-03
003-200-22
157-030-04
157-130-07
003-200-04
157-050-18
003-200-20
157-140-10
003-200-16
157-160-18
157-050-16
156-250-02
157-050-08 157-070-03
001-420-38
003-190-09
157-140-18
157-170-49
157-160-03
003-200-13
157-120-11
157-130-04
157-070-04
003-190-11
157-170-27
157-140-20
157-160-10
157-140-19
157-140-14
157-110-08
157-160-06
001-040-75
156-240-13
003-200-08
003-260-48
001-040-01 001-040-02
001-041-01 001-040-83
156-250-01
001-030-01
156-240-01
003-190-08
003-260-01
003-260-57
001-090-01
003-260-55
001-040-82
003-500-14
001-040-88
003-190-13
001-040-85
001-040-84
001-040-81
157-050-13
157-050-14
CASE:

OWNER:

APN:

APLCT:

AGENT:

ADDRESS:
µ LAFCo A_2022-0002
Various
Various
City of Ukiah
City of Ukiah
Western Hills
1:18,000
0 700 1,400 Feet
0 0.125 0.25 Miles
MENDOCINO COUNTY PLANNING DEPARTMENT- 3/14/2024

PARCELS BY CHRONOLOGY
City Limits
Project Chronology
2021 (Original Western Hills Annexation)
2022 (Clean-Up/Correction)
2023 (Purchase Agreement)

Page 317 of 792 ends

"Clean up parcels" (APNs 001‐420‐40; 001‐041‐02; 001‐041‐ 03; 001‐041‐04; 001‐041‐05; 001‐041‐06; 001‐041‐07; 001‐ 040‐81; and 001‐041‐01) are prezoned R1(-H)
"Noguerra parcels" APNs
(003-110-90 & 003-190-09) are
prezoned R1(-H)
Exhibit B

Page 318 of 792 ends
Page 1 of 4 ends

N:\6UKI010100 City of Ukiah Annexation\Survey\LEGALS\LD-Western Hills Annexation.docx

LEGAL DESCRIPTION

CITY OF UKIAH - WESTERN HILLS ANNEXATION
(LAFCO FILE NO. A-2022-02)
All that certain real property situated in the unincorporated area of Mendocino County, State of California, being portions of Sections 19 and 30 of Township 15 North, Range 12 West and Sections 25 and 26 of Township 15 North, Range 13 West, Mount Diablo Base and Meridian and as shown on that certain map entitled “YOKAYO RANCHO” redrawn (August 1971) from the Original Map made in 1886-1870 by Charles T. Healey and as shown on the General Land Office Survey, Map of Rancho Yokayo, Mendocino County Records (M.C.R), more particularly described as follows:

COMMENCING at a United States National Geodetic Survey Station, being a 3-1/4” aluminum disc marked “CA DOT-101 MEN 25.13”; thence South 45°45'43" West 9,627.99 feet to the southeast corner of Lot 3 of said Section 19, being an angle point on the City of Ukiah Boundary Line, said City Boundary Line is coincident with portions of said Rancho Yokayo Boundary, said angle point also being the POINT OF BEGINNING; thence from said Point of Beginning, along said City of Ukiah boundary line, the following thirteen (13) courses:

1. North 88°45'25" East 1279.45 feet to the northeast corner of Lot 4 of said Section 19, from which a 2.5” aluminum disc marked “DOT / HPGN DCA 01 CG” bears S24°58’39” East 18128.70 feet, thence continuing along said City Limit line, and the east line of said Lot 4;

2. South 01°48'09" East 522.09 feet, to the northeast corner of Barnette Subdivision, as shown on the Map filed in Map Case 1, Drawer 10, at Page 78, M.C.R., thence continuing along said City of Ukiah boundary line the following eleven (11) courses;

3. (1) South 71°03'48" West 520.95 feet,

4. (2) South 70°00'17" West 472.11 feet;

5. (3) South 00°16'47" East 553.01 feet; to the south line of said Section 19; thence along said south line of said Section 19;

6. (4) North 88°58'48" East 765.20 feet, thence leaving said south line of Section 19, continuing along said City of Ukiah Boundary line; Exhibit C

Page 319 of 792 ends
Page 2 of 4 ends

N:\6UKI010100 City of Ukiah Annexation\Survey\LEGALS\LD-Western Hills Annexation.docx

7. (5) North 00°06'17" West 298.15 feet;

8. (6) North 76°10'00" East 191.28 feet;

9. (7) South 00°30'42" East 346.50 feet

10. (8) South 00°31'39" West 730.11 feet;

11. (9) South 00°15'47" West 621.60 feet;

12.(10) North 89°38'45" West 515.18 feet;

13.(11) South 00°23'02" West 1304.48 feet, to the south line of the southwest onequarter of the northeast one-quarter of Section 30, thence leaving said south line and said City of Ukiah Boundary line, the following fifteen (15) courses;

14. (1) South 89°23'43" West 1160.71 feet along said south line of the southwest onequarter of the northeast one-quarter of Section 30, thence leaving said south line;

15. (2) North 00°30'03" West 1326.06 feet to the south line of the north one-half of the northeast one-quarter of said Section 30, thence;

16. (3) North 89°13'17" West 3678.76 feet, along the south line of said north one-half of the northeast one-quarter of said Section 30, also being the south line of the north one-half of the northwest one-quarter of said Section 30, to the northeast one-sixteenth corner of said Section 25, thence;

17. (4) South 00°45'13" West 1331.19 feet along the east line of the southwest onequarter of the northeast one-quarter of said Section 25 to the east one-sixteenth corner of said Section 25;

18. (5) North 86°25'07" West 1310.42 feet along the south line of the northeast onequarter of said Section 25 to the center one-quarter corner of said Section 25;

19. (6) South 02°10'53" West 1187.06 feet along the east line of the southwest onequarter of said Section 25 to the south one-sixteenth corner of said Section 25;

20. (7) South 88°38'24" East 2558.66 feet along the north line of the south one-half of the southeast one-quarter of said Section 25 to the south one-sixteenth corner of said Section 25;

21. (8) South 01°22'47" West 1226.43 feet along the east line of said Section 25 to the common corner of said Sections 25, 30, 31 & 36;

22. (9) North 89°39'49" West 2490.35 feet along the south line of said Section 25 to the south one-sixteenth corner of said Section 25;

Page 320 of 792 ends
Page 3 of 4 ends

N:\6UKI010100 City of Ukiah Annexation\Survey\LEGALS\LD-Western Hills Annexation.docx

23. (10) North 89°39'49" West 1343.99 feet continuing along the south line of said Section 25 to the south one-sixteenth corner of said Section 25;

24. (11) North 00°59'04" East 2481.81 feet along the west line of the east one-half of the southwest one-quarter of said Section 25 to the west one-sixteenth corner of said Section 25;

25.(12) South 89°55'02" West 1305.40 along the south line of the northwest onequarter of said Section 25 to the one-quarter corner of said Sections 25 & 26;

26.(13) North 89°16'54" West 1349.43 feet along the south line of the northeast onequarter of said Section 26;

27.(14) North 00°49'21" East 2728.12 feet along the west line of the east one-half of the northeast one-quarter of said Section 26, to the north one-sixteenth corner of said Section 26;

28.(15) South 89°15'56" East 1328.64 feet along the north line of said Section 26 to the common corner of said Sections 23, 24, 25 & 26, thence along the north line of said Section 25 the following four (4) courses:

29.(1) South 87°41'27" East 1326.72 feet to the west one-sixteenth corner of said Section 25;

30.(2) South 88°18'03" East 1278.82 feet to the north one-quarter corner of said Section 25;

31.(3) South 87°28'48" East 1293.39 feet along the north line of said Section 25 to the east one-sixteenth corner of said Section 25;

32.(4) South 85°33'43" East 1209.00 feet to the common corner of said Sections 19, 24, 25 and 30, thence;

33. North 01°02'47" West 1380.30 feet along the west line of the south one-half of the southwest one-quarter of said Section 19, to the northwest corner of the south onehalf of the south one-quarter corner of said Section 19, thence;

34. South 89°57'53" East 2389.07 feet along the north line of the south one-half of the southwest one-quarter of said Section 19, thence continuing;

35. North 88°45'25" East 524.60 feet along the north line of the south one-half of the southwest one-quarter of said Section 19 to said POINT OF BEGINNING.

Total Annexation Area contains approximately 789 acres, more or less.

Page 321 of 792 ends
Page 4 of 4 ends

N:\6UKI010100 City of Ukiah Annexation\Survey\LEGALS\LD-Western Hills Annexation.docx The Basis of Bearings for this description is based on NAD 83, California Coordinate System (CCS83), Zone 2 (2010.00 epoch) using the two found National Geodetic Survey monuments designated “101 MEN 25.13” and “HPGN D CA 01 CG” said bearing being South 05°01'58" East.

The purpose of this description is for annexation purposes and to comply with the State Board of Equalization's "Written Legal (Cadastral/Geodetic) Description Requirements".

This description is to be used to establish geodetic position only and is not intended to establish property ownership.

See Exhibit “A”, Plat to accompany description, attached hereto and made a part hereof.

This legal description was prepared by me or under my supervision pursuant to Section 8729 (2) of the Professional Land Surveyors Act.
_________________________________ 5/10/2024
Lester E. Carter Jr., CA. LS No 6148 Date

Page 322 of 792 ends

30 POB
N. STATE STREET
S. STATE STREET
R.13W.R.12W.
24 31
1 6
13 12

CITY OF UKIAH
T.15N.

T.14N.

RIVER

RUSSIAN
E. PERKINS ST.

TALMAGE RD.
19 18
5 32
SHEET 2 SHEET 3
25 23
35 US HWY 101
US HWY 101
14 2

VICHY SPRINGS
7 36
26 CITY OF UKIAH
US HWY 101

CITY OF UKIAH
POC
"UNINCORPORATED
LEGEND:
“ “ ”
EXHIBIT "A"

CITY OF UKIAH

WESTERN HILLS ANNEXATION
(LAFCo FILE No. A-2022-02)
PORTIONS OF YOKAYO RANCHO, AND PORTIONS OF SECTION 19, 23, 24, 25, 26 AND 30 OF TOWNSHIP 15 NORTH, RANGE 13 WEST, MOUNT DIABLO BASE & MERIDIAN (M.D.B.M.)

COUNTY OF MENDOCINO, STATE OF CALIFORNIA
JUNE, 2024
SHEET 1 OF 3

AUTHORIZATION CERTIFICATION
I,___________________________________, CHAIR OF THE LOCAL AGENCY FORMATION COMMISSION

OF THE COUNTY OF MENDOCINO, STATE OF CALIFORNIA,

HEREBY CERTIFY THAT SAID LOCAL AGENCY FORMATION
COMMISION, BY RESOLUTION No. ____________________
ON THE _________ DAY OF ___________________, 20____
APPROVED WITHIN MAP.
__________________________________________________ CHAIR, LOCAL AGENCY FORMATION COMMISION

CERTIFICATE OF COMPLETION
RECORDED ON THE ____ DAY OF _______________, 20___,
AS INSTRUMENT No. ________________________________,
MENDOCINO COUNTY RECORDS.

DISCLAIMER:

FOR ASSESSMENT PURPOSES ONLY. THIS DESCRIPTION OF LAND

IS NOT A LEGAL PROPERTY DESCRIPTION AS DEFINED IN THE

SUBDIVISION MAP ACT AND MAY NOT BE USED AS A BASIS FOR
AN OFFER FOR SALE OF THE LAND DESCRIBED.

Page 323 of 792 ends

25 30
36 31
24 19
25 30
LOT 1
LOT 2
R.13W.R.12W.

LOT 3
LOT 4
POB
1 3
4 5
6 7
8 9 10
11 12
13 14
15 16
20 21
22 2
32 33
34 35
LEGEND:

EXHIBIT "A"

CITY OF UKIAH

WESTERN HILLS ANNEXATION
(LAFCo FILE No. A-2022-02)
PORTIONS OF YOKAYO RANCHO, AND PORTIONS OF SECTION 19, 23, 24, 25, 26 AND 30 OF TOWNSHIP 15 NORTH, RANGE 13 WEST, MOUNT DIABLO BASE & MERIDIAN (M.D.B.M.)

COUNTY OF MENDOCINO, STATE OF CALIFORNIA
JUNE, 2024
SHEET 2 OF 3
“ “ ”

Page 324 of 792 ends

23 24
26 25
26 25
35 36
16 17
19 20
22 23
24 26 25
27 28
29 30
31 32
18 LEGEND:

EXHIBIT "A"

CITY OF UKIAH

WESTERN HILLS ANNEXATION
(LAFCo FILE No. A-2022-02)
PORTIONS OF YOKAYO RANCHO, AND PORTIONS OF SECTION 19, 23, 24, 25, 26 AND 30 OF TOWNSHIP 15 NORTH, RANGE 13 WEST, MOUNT DIABLO BASE & MERIDIAN (M.D.B.M.)

COUNTY OF MENDOCINO, STATE OF CALIFORNIA
JUNE, 2024
SHEET 3 OF 3
“ “ ”

Page 325 of 792 ends

ATTACHMENT 3

Page 1 of 3 ends

ORDINANCE NO.

ORDINANCE OF THE CITY COUNCIL OF THE CITY OF UKIAH AMENDING ORDINANCE NO. 1217 TO PREZONE CERTAIN PARCELS IN ASSOCIATION WITH THE WESTERN HILLS

ANNEXATION AND SPHERE OF INFLUENCE AMENDMENT APPLICATION (LAFCO FILE NO. A-2022-02)
The City Council of the City of Ukiah hereby ordains as follows:

SECTION ONE

1. The City has proposed to annex approximately 797 acres of unincorporated territory identified as the ‘Western Hills Annexation Area’, as conveyed in Exhibit A and below:
a. 2021 - Original Western Hills Parcels: APNs (157-060-03; 157-060-02; 157- 050-13; 157-050-03; 157-030-03; 157-030-02; 157-050-14; 157-050-15; 157- 050-16; 157-050-18; 157-070-05; 001-040-83; 003-190-17; 003-190-13; 003- 190-09; 003-190-16; 003-190-15; 003-110-90).
b. 2022 - Clean-Up/Correction Parcels: APNs (001‐420‐40; 001‐041‐02; 001‐041‐ 03; 001‐041‐04; 001‐041‐05; 001‐041‐06; 001‐041‐01; 001‐040‐81). c. 2023 - Western Hills Purchase Agreement: APN (003-190-11).

2. Government Code Section 65859 allows the City to adopt a zoning district for land outside of the city limits in anticipation of annexation and development, i.e. prezone.

3. As visually conveyed on Exhibit B, the parcels within the ‘Western Hills Annexation Area’ proposed or associated with residential development are prezoned Low-Density Residential Hillside Overlay (R1-H) and feature a Hillside Residential (HR) General Plan – Land Use Designation; the parcel proposed for public use(s) is prezoned Public Facilities (PF) and features a General Plan – Land Use Designation: Public (P).

4. On October 6, 2021, the City Council adopted Ordinance No. 1217, approving the Ukiah Western Hills Open Land Acquisition & Limited Development Project ("2021 - Original Western Hills Project") to facilitate acquisition, annexation and prezoning, as well as adopting the associated Initial Study and Mitigated Negative Declaration (ISMND; SCH No. 2021040428).

5. On December 7, 2022, the City Council adopted Resolution No. 2022-78 and Resolution No. 2022-79, approving the City's 2040 General Plan and certifying the associated Environmental Impact Report (EIR; SCH No. 2022050556). The 2040 General Plan and associated EIR identified the ‘Western Hills Annexation Area’ as an unincorporated area that the City programmatically evaluated for reorganization. Under this environmental review, the “2022 - Clean-Up/Correction Parcels” were identified and analyzed in addition to the existing annexation area.

6. On December 6, 2023, the City of Ukiah adopted Resolution No. 2023-42 to facilitate the purchase, development agreement and prezoning of APN 003-190-11 “2023 - Western Hills Purchase Agreement”, which enabled revisions to LAFCo File. No. A-2022-02 to include a Sphere of Influence (SOI) Amendment bringing the ‘Western Hills Annexation

Page 326 of 792 ends

ATTACHMENT 3

Page 2 of 3 ends

Area’ to its present total of approximately 797 acres. Pursuant to Section 15164 of the CEQA Guidelines, an Addendum to the adopted MND was prepared and adopted by the City of Ukiah as minor changes or additions were necessary to progress the project, and none of the conditions described in Section 15162 of the CEQA Guidelines calling for the preparation of a subsequent EIR or subsequent MND occurred.

7. An amendment to Ordinance 2017 is required to address considerations identified in the Mendocino LAFCo Incomplete Letter dated April 19, 2024 that requires the City to effectively prezone all proposed annexation parcels that were added after City Ordinance No. 1217, in accordance with GOV §56375(a)(7). No changes to the application or project are requested or required.

SECTION TWO.

1. The proposed annexation and sphere of influence amendment would not be detrimental to the public interest, health, safety, convenience or welfare of the City.

2. A list of the affected parcels is set forth in Exhibit A, and a map of the affected territories identifying their prezoning designations is set forth in Exhibit B, and the legal description and associated plats for the annexation set forth in Exhibit C of this Ordinance.

3. The proposed prezoning is consistent with Government Code Section 65859 and Ukiah City Code Section 9267, as the City Planning Commission conducted a public hearing on November 8, 2023 to consider a proposal for prezoning territory. The Commission formulated a recommendation to the City Council and the City Council conducted a public hearing on December 6, 2023 that considered the prezoning proposal, and rendered a decision. Due to the fact, however, that the City did not “effectively” prezone additional parcels by Ordinance, but by Resolution, an amended ordinance codifying previous City Council approvals is required.

4. The intended use, and proposed prezoning of the affected territories are set forth in Exhibit B, attached hereto and by reference incorporated herein.

SECTION THREE.

1. Publication: Within fifteen (15) days after its adoption, this Ordinance shall be published once in a newspaper of general circulation in the City of Ukiah. In lieu of publishing the full text of the Ordinance, the City may publish a summary of the Ordinance once five (5) days prior to its adoption and again within fifteen (15) days after its adoption.

2. Effective Date: Section 2 and 3 of this amended ordinance shall become effective on the date that LAFCo Executive Officer provides the City of Ukiah with the Certificate of Completion for LAFCo File No. A-2022-02.

Introduced by title only on June 19 ,2024, by the following roll call vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Page 327 of 792 ends

ATTACHMENT 3

Page 3 of 3 ends

Adopted on , 2024, by the following roll call vote:

AYES:

NOES:

ABSENT: ABSTAIN:

Josefina Dueñas, Mayor
ATTEST:

Kristine Lawler, CMC/City Clerk
Exhibit A: List of Parcels
Exhibit B: Prezone & General Plan Designation Map
Exhibit C: Legal Description & Plats – Updated (June 2024)

Page 328 of 792 ends

ANNEXATION PARCEL CURRENT APNs SITUS OWNER CURRENT

ACREAGE

PROPOSED

ACREAGE

COUNTY ZONING UKIAH PROPOSED GENERAL PLAN UKIAH PROPOSED ZONING SANITATION WATER 003‐110‐90 (Private) 003‐110‐90 620 Redwood Ave. Adonis & Sarah Noguera 4.14 4.14 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) CoU; UVSD CoU; None 003‐190‐09 (Private) 003‐190‐09 620 Redwood Ave. Adonis & Sarah Noguera 10.2 10.2 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD None001‐420‐40 (Private) 001‐420‐40 145 Mendocino Place Robert R Beltrami 1.49 1.49 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU001‐041‐02 (Private) 001‐041‐02 500 Lookout Dr. Grayden Huff 1.33 1.33 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU; None001‐041‐03 (Private) 001‐041‐03 4 Lookout Dr. Amanda Reiman 0.66 0.66 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU; None001‐041‐04 (Private) 001‐041‐04 3 Lookout Dr. Amanda Reiman 0.48 0.48 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU; None001‐041‐05 (Private) 001‐041‐05 2 Lookout Dr. Marlene Werra TTEE 1.13 1.13 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU; None001‐041‐06 (Private) 001‐041‐06 415 Hillview Ave. Marlene Werra TTEE 0.74 0.74 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD; CoU CoU; None001‐041‐01 (Private) 001‐041‐01 TBD Marlene Werra TTEE 35.5 35.5 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD None001‐040‐81 (Private) 001‐040‐81 335 Janix Dr. William Edwards 2.4 2.4 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) CoU; None CoU; NoneDevelopment Agreement ‐ Parcel 1 003‐190‐13 TBD D&J Investments, LLC 10 10 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 2 003‐190‐15 TBD D&J Investments, LLC 5 5 Upland Residential (UR:40) Hillside Residential (HR) Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR)Hillside Residential (HR) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private Shared Development Agreement ‐ Parcel 3
157‐050‐18; 157‐070‐05;003‐190‐16; 003‐190‐17 TBD D&J Investments, LLC 153.2 5 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private Shared Development Agreement ‐ Parcel 4 001‐040‐83 TBD D&J Investments, LLC 77.6 9.9 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private Shared Development Agreement ‐ Parcel 5 157‐050‐16 TBD D&J Investments, LLC 40.3 9.9 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 6 157‐050‐15 TBD D&J Investments, LLC 40.4 9.2 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 7 157‐030‐02; 157‐050‐14 TBD D&J Investments, LLC 40.2 5 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 8 157‐050‐13; 157‐060‐02 TBD City of Ukiah 78.4 665.09 Upland Residential (UR:40) PF ‐ Public Facility (Open Space) UVSD; None NoneDevelopment Agreement ‐ Parcel 9 157‐030‐03 TBD D&J Investments, LLC 60 5 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 10 157‐050‐03; 157‐060‐03 TBD D&J Investments, LLC 188.57 5 Upland Residential (UR:40) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private SharedDevelopment Agreement ‐ Parcel 11 003‐190‐11 TBD D&J Investments, LLC 40 5 Upland Residential (UR:40) Hillside Residential (HR) Hillside Residential (HR) Hillside Residential (HR) Hillside Residential (HR) Hillside Residential (HR) Public (P)Hillside Residential (HR) Hillside Residential (HR) Hillside Residential (HR) R1(‐H) ‐ Low Desnity Residential (Hillside) UVSD Private Shared 2021 Western Hills ‐ Annexation Parcel(Original)2022 Western Hills ‐ Correction/Clean‐ Up Parcels2023 Western Hills ‐ PurchaseAgreement
Exhibit A

Page 329 of 792 ends

157-080-05
001-030-03
157-170-34
157-060-02
157-060-04
157-060-03
157-080-04
156-190-01
003-200-10
001-040-92
003-190-17
157-050-15
157-130-01
156-230-03
157-110-07
157-170-43
157-160-11
157-170-44
157-080-03
157-040-16
157-040-13 157-060-01
001-040-90
156-170-03
157-160-17
156-220-03
157-030-03
156-220-04
157-150-05
156-190-03
157-150-01 157-150-07
157-120-07
157-140-15
157-030-02
157-120-03
001-030-05
157-170-53
157-150-06
157-160-09
157-070-05
157-160-08
157-050-03
003-200-22
157-030-04
157-130-07
003-200-04
157-050-18
003-200-20
157-140-10
003-200-16
157-160-18
157-050-16
156-250-02
157-050-08 157-070-03
001-420-38
003-190-09
157-140-18
157-170-49
157-160-03
003-200-13
157-120-11
157-130-04
157-070-04
003-190-11
157-170-27
157-140-20
157-160-10
157-140-19
157-140-14
157-110-08
157-160-06
001-040-75
156-240-13
003-200-08
003-260-48
001-040-01 001-040-02
001-041-01 001-040-83
156-250-01
001-030-01
156-240-01
003-190-08
003-260-01
003-260-57
001-090-01
003-260-55
001-040-82
003-500-14
001-040-88
003-190-13
001-040-85
001-040-84
001-040-81
157-050-13
157-050-14
CASE:

OWNER:

APN:

APLCT:

AGENT:

ADDRESS:
µ LAFCo A_2022-0002
Various
Various
City of Ukiah
City of Ukiah
Western Hills
1:18,000
0 700 1,400 Feet
0 0.125 0.25 Miles
MENDOCINO COUNTY PLANNING DEPARTMENT- 3/14/2024

PARCELS BY CHRONOLOGY
City Limits
Project Chronology
2021 (Original Western Hills Annexation)
2022 (Clean-Up/Correction)
2023 (Purchase Agreement)

Page 330 of 792 ends

"Clean up parcels" (APNs 001‐420‐40; 001‐041‐02; 001‐041‐ 03; 001‐041‐04; 001‐041‐05; 001‐041‐06; 001‐041‐07; 001‐ 040‐81; and 001‐041‐01) are prezoned R1(-H)
"Noguerra parcels" APNs
(003-110-90 & 003-190-09) are
prezoned R1(-H)
Exhibit B

Page 331 of 792 ends
Page 1 of 4 ends

N:\6UKI010100 City of Ukiah Annexation\Survey\LEGALS\LD-Western Hills Annexation.docx

LEGAL DESCRIPTION

CITY OF UKIAH - WESTERN HILLS ANNEXATION
(LAFCO FILE NO. A-2022-02)
All that certain real property situated in the unincorporated area of Mendocino County, State of California, being portions of Sections 19 and 30 of Township 15 North, Range 12 West and Sections 25 and 26 of Township 15 North, Range 13 West, Mount Diablo Base and Meridian and as shown on that certain map entitled “YOKAYO RANCHO” redrawn (August 1971) from the Original Map made in 1886-1870 by Charles T. Healey and as shown on the General Land Office Survey, Map of Rancho Yokayo, Mendocino County Records (M.C.R), more particularly described as follows:

COMMENCING at a United States National Geodetic Survey Station, being a 3-1/4” aluminum disc marked “CA DOT-101 MEN 25.13”; thence South 45°45'43" West 9,627.99 feet to the southeast corner of Lot 3 of said Section 19, being an angle point on the City of Ukiah Boundary Line, said City Boundary Line is coincident with portions of said Rancho Yokayo Boundary, said angle point also being the POINT OF BEGINNING; thence from said Point of Beginning, along said City of Ukiah boundary line, the following thirteen (13) courses:

1. North 88°45'25" East 1279.45 feet to the northeast corner of Lot 4 of said Section 19, from which a 2.5” aluminum disc marked “DOT / HPGN DCA 01 CG” bears S24°58’39” East 18128.70 feet, thence continuing along said City Limit line, and the east line of said Lot 4;

2. South 01°48'09" East 522.09 feet, to the northeast corner of Barnette Subdivision, as shown on the Map filed in Map Case 1, Drawer 10, at Page 78, M.C.R., thence continuing along said City of Ukiah boundary line the following eleven (11) courses;

3. (1) South 71°03'48" West 520.95 feet,

4. (2) South 70°00'17" West 472.11 feet;

5. (3) South 00°16'47" East 553.01 feet; to the south line of said Section 19; thence along said south line of said Section 19;

6. (4) North 88°58'48" East 765.20 feet, thence leaving said south line of Section 19, continuing along said City of Ukiah Boundary line; Exhibit C

Page 332 of 792 ends
Page 2 of 4 ends

N:\6UKI010100 City of Ukiah Annexation\Survey\LEGALS\LD-Western Hills Annexation.docx

7. (5) North 00°06'17" West 298.15 feet;

8. (6) North 76°10'00" East 191.28 feet;

9. (7) South 00°30'42" East 346.50 feet

10. (8) South 00°31'39" West 730.11 feet;

11. (9) South 00°15'47" West 621.60 feet;

12.(10) North 89°38'45" West 515.18 feet;

13.(11) South 00°23'02" West 1304.48 feet, to the south line of the southwest onequarter of the northeast one-quarter of Section 30, thence leaving said south line and said City of Ukiah Boundary line, the following fifteen (15) courses;

14. (1) South 89°23'43" West 1160.71 feet along said south line of the southwest onequarter of the northeast one-quarter of Section 30, thence leaving said south line;

15. (2) North 00°30'03" West 1326.06 feet to the south line of the north one-half of the northeast one-quarter of said Section 30, thence;

16. (3) North 89°13'17" West 3678.76 feet, along the south line of said north one-half of the northeast one-quarter of said Section 30, also being the south line of the north one-half of the northwest one-quarter of said Section 30, to the northeast one-sixteenth corner of said Section 25, thence;

17. (4) South 00°45'13" West 1331.19 feet along the east line of the southwest onequarter of the northeast one-quarter of said Section 25 to the east one-sixteenth corner of said Section 25;

18. (5) North 86°25'07" West 1310.42 feet along the south line of the northeast onequarter of said Section 25 to the center one-quarter corner of said Section 25;

19. (6) South 02°10'53" West 1187.06 feet along the east line of the southwest onequarter of said Section 25 to the south one-sixteenth corner of said Section 25;

20. (7) South 88°38'24" East 2558.66 feet along the north line of the south one-half of the southeast one-quarter of said Section 25 to the south one-sixteenth corner of said Section 25;

21. (8) South 01°22'47" West 1226.43 feet along the east line of said Section 25 to the common corner of said Sections 25, 30, 31 & 36;

22. (9) North 89°39'49" West 2490.35 feet along the south line of said Section 25 to the south one-sixteenth corner of said Section 25;

Page 333 of 792 ends
Page 3 of 4 ends

N:\6UKI010100 City of Ukiah Annexation\Survey\LEGALS\LD-Western Hills Annexation.docx

23. (10) North 89°39'49" West 1343.99 feet continuing along the south line of said Section 25 to the south one-sixteenth corner of said Section 25;

24. (11) North 00°59'04" East 2481.81 feet along the west line of the east one-half of the southwest one-quarter of said Section 25 to the west one-sixteenth corner of said Section 25;

25.(12) South 89°55'02" West 1305.40 along the south line of the northwest onequarter of said Section 25 to the one-quarter corner of said Sections 25 & 26;

26.(13) North 89°16'54" West 1349.43 feet along the south line of the northeast onequarter of said Section 26;

27.(14) North 00°49'21" East 2728.12 feet along the west line of the east one-half of the northeast one-quarter of said Section 26, to the north one-sixteenth corner of said Section 26;

28.(15) South 89°15'56" East 1328.64 feet along the north line of said Section 26 to the common corner of said Sections 23, 24, 25 & 26, thence along the north line of said Section 25 the following four (4) courses:

29.(1) South 87°41'27" East 1326.72 feet to the west one-sixteenth corner of said Section 25;

30.(2) South 88°18'03" East 1278.82 feet to the north one-quarter corner of said Section 25;

31.(3) South 87°28'48" East 1293.39 feet along the north line of said Section 25 to the east one-sixteenth corner of said Section 25;

32.(4) South 85°33'43" East 1209.00 feet to the common corner of said Sections 19, 24, 25 and 30, thence;

33. North 01°02'47" West 1380.30 feet along the west line of the south one-half of the southwest one-quarter of said Section 19, to the northwest corner of the south onehalf of the south one-quarter corner of said Section 19, thence;

34. South 89°57'53" East 2389.07 feet along the north line of the south one-half of the southwest one-quarter of said Section 19, thence continuing;

35. North 88°45'25" East 524.60 feet along the north line of the south one-half of the southwest one-quarter of said Section 19 to said POINT OF BEGINNING.

Total Annexation Area contains approximately 789 acres, more or less.

Page 334 of 792 ends
Page 4 of 4 ends

N:\6UKI010100 City of Ukiah Annexation\Survey\LEGALS\LD-Western Hills Annexation.docx The Basis of Bearings for this description is based on NAD 83, California Coordinate System (CCS83), Zone 2 (2010.00 epoch) using the two found National Geodetic Survey monuments designated “101 MEN 25.13” and “HPGN D CA 01 CG” said bearing being South 05°01'58" East.

The purpose of this description is for annexation purposes and to comply with the State Board of Equalization's "Written Legal (Cadastral/Geodetic) Description Requirements".

This description is to be used to establish geodetic position only and is not intended to establish property ownership.

See Exhibit “A”, Plat to accompany description, attached hereto and made a part hereof.

This legal description was prepared by me or under my supervision pursuant to Section 8729 (2) of the Professional Land Surveyors Act.
_________________________________ 5/10/2024
Lester E. Carter Jr., CA. LS No 6148 Date

Page 335 of 792 ends

30 POB
N. STATE STREET
S. STATE STREET
R.13W.R.12W.
24 31
1 6
13 12

CITY OF UKIAH
T.15N.

T.14N.

RIVER

RUSSIAN
E. PERKINS ST.

TALMAGE RD.
19 18
5 32
SHEET 2 SHEET 3
25 23
35 US HWY 101
US HWY 101
14 2

VICHY SPRINGS
7 36
26 CITY OF UKIAH
US HWY 101

CITY OF UKIAH
POC
"UNINCORPORATED
LEGEND:
“ “ ”
EXHIBIT "A"

CITY OF UKIAH

WESTERN HILLS ANNEXATION
(LAFCo FILE No. A-2022-02)
PORTIONS OF YOKAYO RANCHO, AND PORTIONS OF SECTION 19, 23, 24, 25, 26 AND 30 OF TOWNSHIP 15 NORTH, RANGE 13 WEST, MOUNT DIABLO BASE & MERIDIAN (M.D.B.M.)

COUNTY OF MENDOCINO, STATE OF CALIFORNIA
JUNE, 2024
SHEET 1 OF 3

AUTHORIZATION CERTIFICATION
I,___________________________________, CHAIR OF THE LOCAL AGENCY FORMATION COMMISSION

OF THE COUNTY OF MENDOCINO, STATE OF CALIFORNIA,

HEREBY CERTIFY THAT SAID LOCAL AGENCY FORMATION
COMMISION, BY RESOLUTION No. ____________________
ON THE _________ DAY OF ___________________, 20____
APPROVED WITHIN MAP.
__________________________________________________ CHAIR, LOCAL AGENCY FORMATION COMMISION

CERTIFICATE OF COMPLETION
RECORDED ON THE ____ DAY OF _______________, 20___,
AS INSTRUMENT No. ________________________________,
MENDOCINO COUNTY RECORDS.

DISCLAIMER:

FOR ASSESSMENT PURPOSES ONLY. THIS DESCRIPTION OF LAND

IS NOT A LEGAL PROPERTY DESCRIPTION AS DEFINED IN THE

SUBDIVISION MAP ACT AND MAY NOT BE USED AS A BASIS FOR
AN OFFER FOR SALE OF THE LAND DESCRIBED.

Page 336 of 792 ends

25 30
36 31
24 19
25 30
LOT 1
LOT 2
R.13W.R.12W.

LOT 3
LOT 4
POB
1 3
4 5
6 7
8 9 10
11 12
13 14
15 16
20 21
22 2
32 33
34 35
LEGEND:

EXHIBIT "A"

CITY OF UKIAH

WESTERN HILLS ANNEXATION
(LAFCo FILE No. A-2022-02)
PORTIONS OF YOKAYO RANCHO, AND PORTIONS OF SECTION 19, 23, 24, 25, 26 AND 30 OF TOWNSHIP 15 NORTH, RANGE 13 WEST, MOUNT DIABLO BASE & MERIDIAN (M.D.B.M.)

COUNTY OF MENDOCINO, STATE OF CALIFORNIA
JUNE, 2024
SHEET 2 OF 3
“ “ ”

Page 337 of 792 ends

23 24
26 25
26 25
35 36
16 17
19 20
22 23
24 26 25
27 28
29 30
31 32
18 LEGEND:

EXHIBIT "A"

CITY OF UKIAH

WESTERN HILLS ANNEXATION
(LAFCo FILE No. A-2022-02)
PORTIONS OF YOKAYO RANCHO, AND PORTIONS OF SECTION 19, 23, 24, 25, 26 AND 30 OF TOWNSHIP 15 NORTH, RANGE 13 WEST, MOUNT DIABLO BASE & MERIDIAN (M.D.B.M.)

COUNTY OF MENDOCINO, STATE OF CALIFORNIA
JUNE, 2024
SHEET 3 OF 3
“ “ ”

Page 338 of 792 ends

June 13, 2024
Mendocino LAFCo
Ukiah Valley Conference Center
200 South School Street
Ukiah, CA, 95482
Re: ‘City of Ukiah – Fair Share Housing Need/Regional Housing Needs Allocation (RHNA)’ Per Government Code §56668(m), evaluation of an annexation proposal shall consider the extent to which the request will affect a city or the county in achieving their respective allocation of regional housing needs as determined by the designated council of governments. Within Mendocino County this process is facilitated by the Mendocino Council of Governments (MCOG).

As part of the 2024 Master Tax Share Agreement, adopted by the County of Mendocino on June 5th, 2024, and presently being finalized by the incorporated cities of Ukiah, Willits, Fort Bragg & Point Arena, guidance and requirements are included to inform how housing allocations should be adjusted to reflect the impact of an annexation based on existing and proposed land uses (Exhibit A).

Per this pending agreement, the income-level of transferred units is to be negotiated in good faith between the relevant city and the Mendocino County Department of Planning & Building Services, while an objective formula is used to determine the number of units to be transferred. That being said, Government Code §65584.07(a)(3) requires that if a transfer is facilitated that the county's share of lowincome and very low-income housing shall be reduced only in proportion to the amount by which the county's share of moderate- and above moderate-income housing is reduced.

Based on the analysis provided in Exhibit B, as well as relevant Government Code, the County would transfer a total of twenty-seven (27) units to the City of Ukiah to facilitate LAFCo File No. A-2022-02. As required by Government Code, the transfer is to feature fourteen (14) low-income units, and thirteen (13) moderate-income units. This deviates from a previous iteration of an agreement between the County and the City to transfer only low-income units from the County to the City.

Given the anticipated timeline for A-2022-02 and the subsequent entitlement process, it is unlikely that its approval would affect the City of Ukiah or the County of Mendocino in achieving their respective allocation of regional housing needs for the 6th Cycle. Therefore, it is requested that MCOG facilitate the transfer of housing units identified in Exhibit C to the 7th Cycle Housing Element. Deferring the assignment of these units to the 7th Cycle is appropriate given that the issuance of associated building permits on the associated subject parcels is not expected until 2026, at which time MCOG should be actively working with identified jurisdictions to prepare their 7th Cycle Housing Elements. Additionally, it is expected that the subject parcels will be sold and developed incrementally. Given past examples of residential development subject to the City’s Hillside (-H) combining district, it would be unprecedented for build-out of all units in the ‘Western Hills Annexation Area’ to occur in a coordinated, immediate and comprehensive manner. Rather, it is expected that parcels will be sold and developed individually over the course of the next (5) five to (10) ten years.

Attachment 4

Page 339 of 792 ends

Furthermore, if the identified units are not transferred as part of the 7th Cycle, it is understood that the City and the County would be required to amend and adopt revised 6th Cycle Housing Elements within 30 months and 180 days respectively per Government Code §65584.07(b)(2-3). Upon consultation with the County, it was determined that the practicality and value of facilitating an update to approved and adopted 6th Cycle Housing Elements within the time-frames identified was limited, and potentially deleterious given the financial and staff resources required to facilitate a general plan amendment.

In addition to limited residential development and open-space preservation, the ‘Western Hills Annexation’ seeks to adjust the jurisdictional boundary of several legal parcels located predominantly in the City of Ukiah but bifurcated by the County of Mendocino. To ensure these parcels are fully incorporated the City has included them as part of this annexation request. As conveyed in Exhibit B, these parcels are not used for calculating the fair share adjustment of RHNA, as they are relatively small parcels associated with developed lots that are the result of historic cartographical errors.

The City of Ukiah and the County of Mendocino have agreed in principle to the aforementioned allocation, as well as the application of transfered units to the 7th Cycle, and will work with MCOG to process this adjustment in coordination with Mendocino LAFCo, as well as HCD.

Best Regards,
Jesse Davis, AICP
Chief Planning Manager
CC: Mendocino County Planning & Building Services (Julia Krog); Mendocino Council of Governments (Nephele Barrett); Department of Housing & Community Development (Kevan Rolfness) Enclosed: Exhibit A (Mendocino County Master Tax Share & Housing Allocation Requirements); Exhibit B (Fair Share Housing Needs Analysis – Western Hills Annexation); Exhibit C (7th Cycle Assigned RHNA) Jesse Davis III

Page 340 of 792 ends

Regional Housing Needs Plan Allocation – Principles & Guidance a. The Parties agree: a) the County’s Regional Housing Needs Plan (the “RHNP”) allocation was based on its unincorporated lands; b) subsequent Annexation(s) may limit the County’s ability to satisfy its obligations under the Housing Element Law; and c) the RHNP allocation should be adjusted to reflect the impact of an Annexation on the County’s obligations under the Housing Element Law. Therefore, the Parties agree, in the event that the relevant City or a non-party proposes to annex a specific territory, the relevant Parties will work together in good faith to attempt to reach a mutually acceptable agreement to transfer a portion of the County’s allocation to the relevant City. b. The following general principles shall be used as a framework to reach such an agreement:
i. Where a City Annexation includes undeveloped territory that the relevant City’s general plan and prezoning proposes for residential development, a portion of the County’s Reginal Housing Needs Allocation (“RHNA”) shall be transferred to the City in an amount equal to potential residential units, including accessory dwelling units (“ADU’s”). This transfer shall be calculated by using the City’s prezoning for each legal parcel. Should the territory include an approved subdivision, units will be transferred as identified on the approved tentative map or project description. If such transferred number of units is fewer than the number of units such territory is designated for in the County General Plan or in the Residential Sites Inventory of the County’s Housing Element, the relevant City and the County shall negotiate in good faith the amount to be transferred.
ii. Where a City Annexation includes developed territory that the relevant City designates and prezones for residential purposes, a portion of the County’s RHNA would be transferred to the relevant City in an amount equal to the unrealized units on underutilized properties for that area; provided, however, that such transfer shall not include ADUs or existing mobile home parks. This transfer shall be calculated by using the relevant City’s prezoning for each legal parcel. If such transferred number of units is fewer than the number of units such territory is designated for in the County General Plan or in the Residential Sites Inventory of the county’s Housing Element, the relevant City and the County shall negotiate in good faith the amount to be transferred.
iii. Where a City Annexation includes territory that the relevant City’s general plan and prezoning proposes for commercial or industrial purposes, no adjustment of the RHNP shall be required, unless the proposed Annexation includes commercial territories on the Residential Sites Inventory of the County’s Housing Element, in which case an amount equal to the identified residential units would be transferred to the relevant City.
c. The income-level of transferred units shall be negotiated in good faith per the existing MCOG Annexation policy and State law. The Parties acknowledge that meeting Exhibit A

Page 341 of 792 ends

the need in the lower income category requires higher residential densities and proximity to services, that an Annexation may result of the loss of lands that would otherwise be available to the County to meet the lower income obligations, and that such losses are an important factor in the good faith negotiations.
d. Should a City seek to annex unincorporated territory for the purposes of openspace, agriculture or public facilities, no adjustment of the RHNP shall be required, unless any portion of the territory is designated for residential development in the County’s Residential Sites Inventory of the county’s Housing Element, in which case the parties shall negotiate a transfer in good faith.
e. If the County has already fulfilled its RHNA obligations for the current Housing Element Cycle, no modification of the RHNP allocation shall be required.

Page 342 of 792 ends

300 Seminary Avenue • Ukiah • CA • 95482-5400
Phone: (707) 463-6200 · Fax: (707)463-6204 ·www.cityofukiah.com FAIR SHARE HOUSING NEEDS MATRIX – WESTERN HILLS ANNEXATION AREA

APN ACRES OWNER
RHNA

TRANSFER MTA DETERMINATION ANNEXATION PURPOSE
003‐110‐90 4.14
Adonis & Sarah Noguera
(Private) 1 Unit
Partially Developed -
Residential
Access to Development
Agreement Parcels
003‐190‐09 10.2
Adonis & Sarah Noguera
(Private) 2 Units Undeveloped Residential
Access to Development
Agreement Parcels
001‐420‐40 1.49 Robert R Beltrami (Private) 1 Unit
Partially Developed -
Residential
Partially Developed
Residential –
Unincorporated Island
001‐041‐02 1.33 Grayden Huff (Private) 0 Units Correction Adjustment City/County
Boundary
001‐041‐03 0.66 Amanda Reiman (Private) 0 Units Correction Adjustment City/County
Boundary
001‐041‐04 0.48 Amanda Reiman (Private) 0 Units Correction Adjustment City/County
Boundary
001‐041‐05 1.13 Marlene Werra TTEE (Private) 0 Units Correction Adjustment City/County
Boundary
001‐041‐06 0.74 Marlene Werra TTEE (Private) 1 Unit
Partially Developed -
Residential
Undeveloped Residential –
Unincorporated Island
001‐041‐01 35.5 Marlene Werra TTEE (Private) 2 Units Undeveloped Residential Undeveloped Residential –
Unincorporated Island
001‐040‐81 2.4 William Edwards (Private) 0 Units Correction Adjustment City/County
Boundary
Development
Agreement - Parcel 1 10 D&J Investments, LLC 2 Units Undeveloped Residential Development Agreement -
Residential
Development
Agreement - Parcel 2 5 D&J Investments, LLC 2 Units Undeveloped Residential Development Agreement -
Residential
Development
Agreement - Parcel 3 5 D&J Investments, LLC 2 Units Undeveloped Residential Development Agreement -
Residential
Development
Agreement - Parcel 4 9.9 D&J Investments, LLC 2 Units Undeveloped Residential Development Agreement -
Residential
Development
Agreement - Parcel 6 9.2 D&J Investments, LLC 2 Units Undeveloped Residential Development Agreement -
Residential
Exhibit B

Page 343 of 792 ends

300 Seminary Avenue • Ukiah • CA • 95482-5400
Phone: (707) 463-6200 · Fax: (707)463-6204 ·www.cityofukiah.com Development
Agreement - Parcel 7 5 D&J Investments, LLC 2 Units Undeveloped Residential Development Agreement -
Residential
Development
Agreement - Parcel 8 665 City of Ukiah (Public) 0 Units Undeveloped - Public Development Agreement –
Public Facilities
Development
Agreement - Parcel 9 5 D&J Investments, LLC 2 Units Undeveloped Residential Development Agreement -
Residential
Development
Agreement - Parcel 10 5 D&J Investments, LLC 2 Units Undeveloped Residential Development Agreement -
Residential
Development
Agreement - Parcel 11 5 D&J Investments, LLC 2 Units Undeveloped Residential Development Agreement -
Residential
TOTAL 27 Units

Page 344 of 792 ends

7th Cycle Existing & Proposed Regional Housing Needs Allocation LAFCo File No. A-2022-02
7th Cycle Housing Element (Existing)
City of Ukiah
Income Level Housing Units
Very-Low TBD
Low TBD
Moderate TBD
Above-Moderate TBD
↓
7th Cycle Housing Element (Proposed)
City of Ukiah
Income Level Housing Units
Very-Low TBD
Low +14
Moderate +13
Above-Moderate TBD
7th Cycle Housing Element (Existing)
County of Mendocino
Income Level Housing Units
Very-Low TBD
Low TBD
Moderate TBD
Above-Moderate TBD
↓
7th Cycle Housing Element (Proposed)
County of Mendocino
Income Level Housing Units
Very-Low TBD
Low -14
Moderate -13
Above-Moderate TBD
Exhibit C

Page 345 of 792 ends
Page 1 of 3 ends

Agenda Item No: 12.b.

MEETING DATE/TIME: 6/19/2024

ITEM NO: 2024-292

AGENDA SUMMARY REPORT
SUBJECT: Conduct a Public Hearing to Receive Public Comment; Discuss Final Grantee Performance Under State Community Development Block Grant 20-CDBG-12041; Adopt Resolution Confirming Project Closeout and Reimbursement of Grant Expenses from the California Department of Housing and Community Development; and Approve any Corresponding Budget Amendments Required as part of the Grant Closeout Process.

DEPARTMENT: Community
Development PREPARED BY: Jim Robbins, Housing and Grants Manager PRESENTER: Jim Robbins, Housing and Grants Manager
ATTACHMENTS:

1. Resolution_2020-43

2. Bus_Assist_Loan_Prog_Guidelines

3. Bus_Assist_Loan_Prog_Fact_Sheet

4. Standard_Agrement_20-CDBG-12041

5. Proposed Resolution
Summary: Council is requested to conduct a public hearing to receive a report from Staff on performance and accomplishments from State Community Development Block Grant #20-CDBG-1241; receive public comment related to the City's performance on this grant project; adopt a Resolution acknowledging project accomplishments and confirming activity completion; and approve any corresponding budget amendments required as part of the grant closeout process.

Background: On August 5, 2020, the Ukiah City Council adopted Resolution No. 2020-43 (Attachment 1) authorizing the submittal of a State Community Development Block Grant (CDBG) application in response to the 2020 CDBG Notice of Funding Availability (NOFA) issued by the State Department of Housing and Community Development (HCD). The authorizing Resolution for the application included the Business Assistance Program (project), a Microenterprise Technical Assistance Program, the Orr Street Bridge and Transportation Corridor Study and Plan, and a Design and Feasibility Study for ADA Improvements to 501 S.

State Street, all of which were funded in separate standard agreements in 2021. HCD awarded the City $500,000 in State CDBG funds for the project, in addition to $140,000 in CDBG Program Income (PI), and the City executed Standard Agreement 20-CDBG-12041 on June 22, 2021 (Attachment 4). Awarded project activities consisted of the following:
“City of Ukiah Business Assistance Program”
The goal of the program was to loan funds to businesses in Ukiah to facilitate the creation or retention of 12 jobs, at least 51% of which would be filled by low or moderate individuals. Working with the City’s procured program operator and underwriter, Community Development Services (CDS), City staff modified the 2016- 2019 CDBG Business Assistance Loan Program to provide flexible, low interest forgivable loans to small and medium-sized businesses in Ukiah to offset the negative impacts of the COVID-19 Shelter in Place (SIP) order, assisting businesses with financial recovery. Where needed, the City’s CDBG Business Assistance program would also assist businesses to start up or expand. The repayment schedule for each loan was based on an analysis of the anticipated debt service capacity of the business during the COVID-19 recovery

Page 346 of 792 ends
Page 2 of 3 ends

period. In most cases, the loan forgiveness period was two years. Loans made after the lifting of the SIP order did not include the loan forgiveness process.

The loan forgiveness aspect of the Business Assistance loan program was modeled for the first time in CDBG's history by the City, after a major rewrite of program guidelines, to provide assistance to struggling businesses following the pandemic- and to keep local residents employed at these businesses. Loan forgiveness was based on the business retaining full-time equivalent positions, 51% of which were to be filled by members of low and moderate income households during the recovery period. Loan payments were deferred for a period of time based on a financial forecast of debt service capacity utilizing the HUD CDBG underwriting criteria.

Discussion: The original program goal was to assist eight (8) businesses with CDBG Business Assistance loans. The program was able to assist six (6) businesses during the three-year grant period due to the average individual loan amount ($87,500) being more than originally anticipated ($65,625). 15 jobs were retained, three more than the anticipated 12 jobs.

The grant program deliverables include the following:
• Business Assistance Program Guidelines (Attachment 2) • Business Loan Program Fact Sheet (Attachment 3)
• Loans closed to 6 businesses, creating or retaining 15 jobs Together with Community Development Services, City Staff successfully implemented the CDBG-grant funded Business Assistance Program between July 2021 and June 2024. Six businesses were assisted with low interest loans to create or retain 15 jobs. Three of the six loans included two-year loan forgiveness terms due to the COVID-19 Shelter in Place order. The total amount of 20-CDBG-12041 grant Activity funds expended for the project was $416,800, representing an expenditure rate of 97% of total available Activity grant funds. $140,000 of City Program Income (PI) funds were expended, representing a PI expenditure rate of 100%. $36,262 in Activity Delivery funds and $32,711 in General Administration funds were also expended.

Since the City's CDBG Business Assistance Program was first launched in 2010 as the Revitalizing Business Investment and Lending Development ("ReBILD) program, it has performed very well, with high expenditure rates of CDBG funds, many jobs retained and/or created, and nearly 20 businesses assisted in city limits.

Supported entirely by CDBG funding, the City's Business Assistance program provides an example of the economic multiplier effect that can be achieved through targeted, robust economic development financing programs.

Staff recommends Council receive this report, conduct a public hearing to receive public comment on the City’s performance related to grant 20-CDBG-12041, and adopt a Resolution acknowledging accomplishments, confirming activity completion, and confirming receipt of grant reimbursement funds from the State (Attachment 5).

Recommended Action: 1) Receive report from Staff on final performance related to State Community Development Block Grant 20-CDBG-12041; 2) conduct a public hearing to receive public comment; 3) adopt a Resolution acknowledging accomplishments, confirming activity completion, and confirming receipt of grant reimbursement funds from the State; and 4) approve any corresponding budget amendments required as part of the grant closeout process.

BUDGET AMENDMENT REQUIRED: N/A
CURRENT BUDGET AMOUNT: $500,000 + $140,000 in CDBG PI
PROPOSED BUDGET AMOUNT: N/A
FINANCING SOURCE: CDBG
PREVIOUS CONTRACT/PURCHASE ORDER NO.:

Page 347 of 792 ends
Page 3 of 3 ends

COORDINATED WITH: Craig Schlatter, Community Development Director; Mary Horger, Financial Services Manager
DIVERSITY-EQUITY INITIATIVES (DEI): Goal 5 – Instill diversity, equity, and inclusion as essential core elements of policy-making, accountability, and delivery of City services.

CLIMATE INITIATIVES (CI): N/A
GENERAL PLAN ELEMENTS (GP): GP-A2 - Economic Development Element

Page 348 of 792 ends

RESOLUTION NO. 2020-43

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UKIAH APPROVING AN

APPLICATION FOR FUNDING AND THE EXECUTION OF A GRANT AGREEMENT AND ANY AMENDMENTS THERETO FROM THE 2019- 2020 FUNDING YEAR OF THE STATE CDBG

PROGRAM
BE IT RESOLVED by the City Council of the City of Ukiah as follows:

SECTION 1:

The City Council has reviewed and hereby approves the submission to the State of California of one or more application( s) in the aggregate amount, of not to exceed $ 850, 500, for the following CDBG activities, pursuant to the January 2020 CDBG NOFA:

City of Ukiah Microenterprise Technical Assistance Program 140, 000 General Administration — Microenterprise Technical Assistance Program 10, 500 City of Ukiah Business Assistance Program 431, 000
Activity Delivery— Business Assistance Program 34, 000
General Administration — Business Assistance Program 35, 000 Orr Street Bridge and Transportation Corridor Study and Plan 150, 000 Design and Feasibility Study for ADA Improvements at City of Ukiah Municipal Services Facility Located at 501 South State Street 50, 000 Total Grant Amount 850, 500
SECTION 2:

The City hereby approves the use of Program Income in an amount not to exceed $ 140, 000 for the City of Ukiah Business Assistance Program described in Section 1.

SECTION 3:

The City acknowledges compliance with all state and federal public participation requirements in the development of its applications.

SECTION 4:

The City hereby authorizes and directs City Manager to execute and deliver all applications and act on the City's behalf in all matters pertaining to all such applications.

SECTION 5:

If an application is approved, the City Manager is authorized to enter into, execute and deliver the grant agreement ( i. e., Standard Agreement) and any and all subsequent amendments thereto with the State of California for the purposes of the grant.

SECTION 6:

If an application is approved, City Manager is authorized to sign and submit Funds Requests and all required reporting forms and other documentation as may be required by the State of California from time to time in connection with the grant.

Page 1 of 2 ends

ATTACHMENT 1

Page 349 of 792 ends

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Ukiah held on August 5, 2020 by the following vote:

AYES: Councilmembers Mulheren, Brown, Scalmanini, Orozco, and Mayor Crane NOES: None
ABSTAIN: None
ABSENT: None
r
r
Douglas F:,°Crane, Mayor
Ukiah City Council

STATE OF CALIFORNIA
City of Ukiah
ATTEST:

I, Kristine Lawler, City Clerk of the City of Ukiah, State of California, hereby certify the above and foregoing to be a full, true and correct copy of a resolution adopted by said City Council on this 5th day of Au ust, 2020.

Kristine Lawler, City Clerk
of the City of Ukiah of the State of California
Name and Title

Page 2 of 2 ends
Page 350 of 792 ends

1 2021 CDBG BUSINESS ASSISTANCE

LOAN PROGRAM GUIDELINES
TO BE FUNDED BY:
20-CDBG-12041 AND CDBG PROGRAM INCOME
Adopted by City Council: July 7, 2021

TABLE OF CONTENTS
Table of Contents……………………………………………… 1

1. Description of Business Assistance Activity................... 2

2. Program Overview............................................................... 3

3. Eligible and Ineligible Costs............................................... 4

4. Meeting National Objectives............................................... 5

5. Meeting Public Benefit Standards...................................... 5

6. Meeting CDBG Underwriting Requirements...................... 6

7. Meeting Federal Program Requirements........................... 6

8. Loan Processing and Approval.......................................... 8

9. Dispute Resolution/Appeal Process.................................. 9

10.Loan Closing........................................................................ 10

11.Loan Application Evaluation.............................................. 11

12.Loan Servicing..................................................................... 13

13.Readiness............................................................................. 13 ATTACHMENT 2

Page 351 of 792 ends

2 1. Description of Business Assistance Activity
The City of Ukiah is proposing to utilize CDBG 2020 NOFA funds for the purpose of establishing a business assistance revolving loan fund. The purpose of the revolving loan fund is to provide flexible low interest forgivable loans to small and medium sized businesses in the City of Ukiah to offset the negative impacts of the COVID-19 Shelter In Place (SIP) order and to assist these businesses with financial recovery. The repayment schedule for each loan will be based on an analysis of the anticipated debt service capacity of the business during the COVID-19 recovery period.

Loan forgiveness will be based on the business retaining full time equivalent positions of which 51% are to be filled by members of low/moderate income households during the recovery period. Loan payments may be deferred for a period of time based on a month by month annual financial forecast of debt service capacity utilizing the required six HUD CDBG under writing criteria. A key element of this analysis will be a review of the past two years business tax returns, to determine past business viability, and a review of recent in-house, bookkeeper, or CPA-prepared profit and loss and balance sheet statements measuring the impacts of the Shelter in Place order on the business. The next step will be the development of a month by month one-year financial forecast, based on the business history, combined with the evolving relaxation of the order on the business future cash flow. The forecast will determine the loan repayment and loan deferral schedule.

In order to provide additional technical and objective expertise, the program operator will utilize the services of the regional NorCal Small Business Development Finance Center to help the borrower prepare the one year forecast statements and to assist with the financial evaluation process. The business owner will prepare the forecast with assistance from the NorCal SBDC Finance Center consulting team.

The loan fund design is based on meeting CDBG National Objective and Public Benefit requirements in the COVID-19 recovery period. It is based on the retention of jobs. It is also designed to complement existing local and regional lending activities by filling a gap in the availability of low interest, flexible business loans. The program will provide loan funds in cooperation with private lenders, including but not necessarily limited to Umpqua Bank, Tri Counties Bank, Bank of the West, West America Bank, and Savings Bank of Mendocino County. These banks will provide referrals to the city loan fund operator. The nonprofit lenders, which include Mendocino Economic Development Finance Corporation, the Arcata Economic Development Corporation, and the SBA, will also provide referrals to the program. The goal will be to arrange companion loans when possible to leverage other loan funds and extend the City loan program capacity to serve more businesses.

In some cases, the WEST Business Development Center, utilizing resources being made available through the Business Innovation and Resiliency Fund for Mendocino County, may award grants to support micro businesses that participate in working groups and one on one consulting activities. These activities are designed to help small businesses

Page 352 of 792 ends

3 survive during the recovery period. The WEST Business Development Center will also provide referrals and, in some cases as a condition of the loan, provide follow up technical assistance as needed to improve the likelihood of the borrower’s success. The WEST Business Development Center may also provide business support services to help program borrowers rebuild their businesses. Because the WEST Business Development Center is part of the traditional SBDC family of service providers, its consultants can serve a variety of small businesses with follow up technical assistance.

2. Program Overview
Administration
The City will administer the program with in-house experienced CDBG staff administrators. The City will assist the program operator, Community Development Services, in implementing the program.

City of Ukiah CDBG Administrator: Craig Schlatter, Director of Community Development Department: Community Development
Address: 300 Seminary Ave. Ukiah, CA 95482
Phone Number: (707) 463-6219
Email Address: [email protected]
Implementation
Community Development Services will be responsible for working with the banks, public lenders, originating and underwriting business loans, documenting compliance with CDBG regulations, and preparing the loan closing documents.

Principal Program Operator: Jeff Lucas, Principal
Agency: Community Development Services
Address: 3895 Main St. Kelseyville, CA 95451
Phone Number: (707) 279-1540
Email Address: [email protected]
CDBG Program Requirements
Eligible Applicants
CDBG funds under this Program can only be expended on the eligible activity authorized under Title I of the Housing and Community Development Act of 1974 (hereafter called “Act”), section 105(a)(17): special economic development, providing direct financial assistance to private for-profit businesses.

An eligible applicant is:
• an existing business legally operating, with any required local business license, insurance, permits per local, state and federal requirements;

Page 353 of 792 ends

4 • an applicant with a non-operating start-up business may not have all required licenses or insurance, so these items will be made a condition of loan closing; • a person or persons wishing to buy an existing business; • a business leasing tenant space or owner-occupied business in the service area.

The loan applicant must provide documentation that the proposed project will meet CDBG eligibility criteria of national objective and public benefit requirements. The loan applicant must provide documentation of meeting reasonable commercial underwriting criteria outlined in below in these guidelines as well as HUD CDBG mandated six underwriting standards. These mandated criteria are described below.

Specific ineligible loan applicants include:
• a business operating a private “exclusive” recreational facility; • non-profit businesses are not eligible under this program; • a businesses or person(s) with unresolved state / federal tax liens; • a business or person in bankruptcy process are not eligible until bankruptcy process is complete.

3. Eligible Project Costs
The following list is provided for reference in order to clarify that CDBG funds will only be used for CDBG eligible activities. The primary purpose of the loan program will be to retain businesses and retain jobs. CDBG funds are non-discretionary and restricted to certain eligible costs.
• operating capital and inventory;
• furniture fixtures and equipment (FF&E), with or without installation costs; • project site improvements, new construction or rehabilitation of leased space or owned building;
• engineering and architectural plans and required permits or fees; • purchase of manufacturing equipment (with or without installation costs); • refinancing of existing business debt when done in conjunction with restructuring of other existing private financing debt(s);
• purchase of real property, when it provides positive cash flow for new jobs; • relocation grants for persons displaced due to funding of the project; • purchase of an existing business, including documented value of good will.

Ineligible Costs
CDBG funds are non-discretionary, limited to certain eligible costs described in the section above. Some ineligible costs are:
• costs incurred prior to submittal of BA loan application and environmental review completion;
• costs associated with residential housing development, i.e. on mixed use project; • costs associated with supporting “other” businesses the applicant owns;

Page 354 of 792 ends

5 • costs on a funded project not meeting a national objective; • personal expenses such as cars, home repairs, not directly associated with the business;
• costs of paying off personal credit cards;
• costs of paying off any personal debt not directly associated with business; • cash payments of any kind made directly to the assisted business owner(s) (wages or draws) from loan proceeds;
• costs associated with a funded project when the owner(s) or business is found to be on federal debarred list;
• public infrastructure in support of the business;
• research and development costs for future production (speculative).

Once approved, loan funds cannot be shifted from one approved type of cost to another without formal written approval from the City. If there is a substantial change in the project scope of work or underwriting, then the loan must be re-evaluated by the City, per state and federal regulations, prior to loan closing or disbursement of CDBG funds.

4. Meeting National Objective Standards
All eligible activities funded under this program must meet a CDBG “National Objective” as described in the Act, Section 104(b)(3) and federal regulations 24 CFR Part 570.483.

Projects not documented as meeting a national objective are an ineligible activity. Below is a general description of documenting how a project meets the national objective of benefit to low - moderate income (LMI) persons. The City will use Department specific guidance for ensuring each eligible project funded is documented as meeting a national objective.

Projects normally meet a national objective standard when they create or retain jobs and provide over half; at least fifty one percent (51%), of the new job positions or retained positions to low/moderate income (LMI) qualified persons. Businesses proposing to retain or create jobs to LMI persons must agree to allow the City, or their designated representative, to meet with each job applicant prior to hiring or returning to work and complete a Self-Certification of Income Form. Payrolls must be collected by the City and compared before and after the loan closing to prove over half of job positions are provided to low-moderate income persons. This will prove the project’s job retention met the national objective of principally benefiting LMI persons.

5. Meeting Public Benefit Standards
All eligible project activities funded under this program must meet a minimum CDBG “Public Benefit Standard” as described in the Act, section 104(b)(17) and federal regulations; 24 CFR Part 570.483(f)(g). Public Benefit is provided by the loan recipient in return for use of subsidized federal funds, and provides a funding limit or “cap”.

For projects meeting national objective via jobs provided to LMI persons, the Public Benefit standard is jobs, and the maximum CDBG loan funding available is limited to

Page 355 of 792 ends

6 $35,000 per job. The City will require loan applicants to provide an estimate of public benefit generated by investment of CDBG funds into the business via the Job Tracking Form. The jobs retained must also be included in the business forecast spread sheet as a business expense. This proposed level of public benefit will be verified after investment of CDBG funding.

CDBG public benefit requirements of the program will be disclosed by the City program operator at the start of the application process. The City will use HUD CDBG financial underwriting to identify the need for a CDBG loan and determine the reasonable public benefit that will be generated from the loan.

6. Meeting CDBG Underwriting Requirements
In addition to documenting that the project meets CDBG public benefit standard, the loan must also be documented as meeting six HUD CDBG underwriting standards, per federal regulation 24 CFR Part 570.483(e). These underwriting standards are required to document a minimum “due diligence” of the City and ensure projects are financially sound enough to meet public benefit and national objective job retention standards. The six underwriting standards are general, qualitative, and are supported in part by commercial underwriting standards defined below.

The Six Underwriting Standards are:
• project costs are documented as reasonable (typically, third party cost estimates); • all sources of funding for the project are documented with final commitments; • to the extent practicable, CDBG funds are not substituted for private (non-federal) funds;
• documentation that project is financially feasible (based on cash flow projections to support jobs and debt service, etc.);
• to the extent practicable, the return of the owner’s equity investment is not unreasonable (based on level of equity and proposed CDBG loan terms); • to the extent practicable, CDBG funds are disbursed on a pro-rata basis with other financing provided for the project.

7. Meeting Other Federal Program Requirements
Since these loans are provided from a federal funding source, there are a number of federal laws and requirements which are triggered by their use. The City will require loan applicants to provide information which allows them to make a compliance determination.

Applicants are required to sign loan disclosures and work with City staff to ensure each project is in compliance with any of the triggered, applicable regulations listed below. The sections below are program requirements.

National Environmental Policy Act (NEPA): Every project funded under the program must be reviewed under HUD NEPA regulations 24 CFR Part 58 and the City’s NEPA Certifying Officer must sign and certify an Environmental Review Record (ERR) for each project

Page 356 of 792 ends

7 prior to approval or disbursement of loan funds. The City is required to sign and certify the correct NEPA ERR, per current Environmental Review Requirements.

The ERR level of review is based on the project’s “aggregated” scope of work, which includes all proposed project funding. Any construction or equipment installation proposed will require more review work on the ERR. The ERR will be done early in application process, as soon as the project is deemed eligible and scope of work is finalized. No costs will be charged to the Borrower for this process. Applicants must sign Department certification form that no “choice limiting action” under NEPA regulations has or will take place.

Prevailing Wage Compliance: If a project proposes to use CDBG funds to pay costs for any construction project, then federal and state labor standards compliance must be documented. Davis-Bacon Act (40 USC 276a - 276a-5) and related laws are “triggered” when any CDBG funding is used to pay for any project construction costs. Lender will follow Department guidance in current Labor Standards Chapter of the GMM for prevailing wage compliance on funded projects.

Additional labor costs will be added to projects proposing to use CDBG to pay for new construction, rehabilitation, or equipment installation. The City will work with loan applicants to ensure project compliance. The additional time and work required by prevailing wage regulations will be disclosed to the borrower as soon as possible. Any additional costs resulting from this regulation will be incorporated into the CDBG loan approval.

Acquisition and Relocation Laws: All applicants proposing to use CDBG funds for purchase of real property must comply with 49 CFR Part 24 Acquisition laws. The City will provide required Seller Disclosure for execution as part of meeting this requirement.

All applicants proposing projects which trigger relocation compliance i.e. result in displacement of persons per Uniform Relocation Act (URA), must work with City to ensure compliance with this law. Additional costs associated with relocation compliance will be disclosed to the applicant prior to CDBG loan approval and included in project loan approval.

All applicants must sign a Certification of No Job Pirating. Job pirating is prohibited per CDBG federal regulation 24CFR 570.482 (h). Job pirating is defined as using CDBG public funds to facilitate the moving of a business and associated jobs from one jurisdiction to another (business attraction). As such, CDBG federal funds cannot be used to attract / subsidize a business to move from one labor market area to another or keep a business from moving out of a labor market by making a retention argument. The County will require all applicants to sign a non- job pirating certification.

Loan applicants will sign a Certification of No Conflict of Interest. In accordance state and federal regulations, no member of the governing body and no official, employee or agent of the local government, nor any other person who exercises policy or

Page 357 of 792 ends

8 decision-making responsibilities (including members of the loan committee and officers, employees, and agents of the loan committee, the administrative agent, contractors and similar agencies) in connection with the planning and implementation of the CDBG program shall directly or indirectly be eligible for this program. The City will require all applicants to sign a non- conflict of interest certification, any questions about state conflict of interest laws will be referred to City’s legal council for final determination.

All program applicants must obtain a DUN’s number, if they do not already have one. The DUN’s number is free and can be obtained online. In addition, prior to loan approval, the Lender will document that the business being assisted and all owners and affiliated businesses are verified as not on the federal debarred contractors list. HUD also requires that the Department and the City collect certain income and demographic data from the business and any beneficiaries of CDBG funds.

8. Loan Processing and Approval
Fair Lending Compliance
The City CDBG Business Loan Program will be implemented in a way that is consistent with the City’s commitment to fair lending laws. No person or business shall be excluded from participation in, denied the benefit of, or be subjected to discrimination under any program or activity funded in whole or in part with CDBG funds on the basis of his or her religion or religious affiliation, age, race, color, ancestry, national origin, sex, marital status, familial status (number or ages of children), physical or mental disability, sexual orientation, or other arbitrary cause. All personal and financial information of loan applicants will be kept confidential.

Loan Application Processing
Certain key anchor businesses within the City will be given initial priority to determine their need for financing. Once this process is completed, loan applications will be processed on a first come first served basis. The City will accept loan applications and review them for initial eligibility. Applicants that do not meet basic CDBG requirements of the program will be sent a letter or email of explanation. All applications received will be kept on file to document fair lending standards. Applications that meet basic eligibility requirements will be contacted for a site visit and collection of additional information.

Loan files will be set up as applications are received and compliance information gathered. The business will be required to provide accurate financials for past, current and future projection of the business operations. All owners will have credit checks conducted as part of loan underwriting. The City may arrange to provide sample financial Excel forms (balance / cash flow sheets, profit and loss, personal financial statements, and proforma) and coordinate the use of these tools with the NorCal Small Business Finance Center who will assist the loan applicant with preparing the month by month oneyear financial forecast. This arrangement will provide an objective source of guidance to the applicant, and accelerate the lending process.

Page 358 of 792 ends

9 Loan applicants are responsible for providing accurate and timely information to the City as part of the loan process. This may include:
• disclose all business owners with twenty percent or more ownership; • disclose all other businesses the owners have an ownership interest of twenty percent (20%) or more;
• provide current personal financial statements for each owner; • disclose sources of collateral and security;
• provide business historic financial information, including year to date; • disclose sources of cash for any equity investment proposed; • provide third party documentation of eligible project costs; • provide market study or document basis of future sales projections; • provide management capacity documentation for ability to execute; • provide necessary information to clear federal overlays.

The City and its program operator will assist the loan applicants with meeting these requirements where applicable in the most fundamental and expeditious manner possible. Once the City and program operator have compiled a complete loan file with all the credit, financial, and underwriting information needed to show the loan is eligible under these guidelines, then a loan proposal will be prepared. The proposal will be submitted to City Loan Committee for their approval. Once approved, the City program operator will craft loan closing documents for signing by the borrower and then the City.

Funds will be provided to the borrower in accordance with CDBG distribution requirements.

Loan Approval Process
The Loan Committee shall be made up of three (3) individuals from the local nonprofit and/or for-profit lending community. The City of Ukiah’s Deputy City Manager/Economic Development Lead will serve as a fourth Loan Committee member, and a fifth Loan Committee member will include an associate planner, senior planner, or planning manager from the Community Development Department. The two City staff members serving on the loan committee will also assist as alternates if one of the primary loan committee members has a conflict due to the provision of matching lending on a Business Assistance loan program transaction. Loan Committee meetings will be scheduled as loan proposals are ready for presentation. Members may request additional information and/or attach conditions on closing or funding of the loan. If the loan is approved, then the City can move forward with loan closing.

Applicant Confidentiality
Persons involved in the loan process for this Program will not disclose any of applicants’ business or personal confidential information as part of loan review and approval process.

All confidential information of businesses will only be disclosed to persons required to view the information as part of loan review and approval. All personal and business

Page 359 of 792 ends

10 confidential information of loan applicants will be kept in a locked secured storage facility and are not available to persons outside of the program.

9. Dispute Resolution/Appeals Process
Any business applying for assistance through this program has the right to appeal if their application is denied. The appeal must be made in writing to the City Community Development Department. The Department will then schedule an appeal meeting for the applicant that will be heard by the Director of Community Development. If the application is denied a second time then the person may ask to have their appeal presented to the City Council for a final decision.

Exceptional Circumstances
Exceptions are defined as any action, which would depart from policy and procedures stated in the guidelines. The City may initiate consideration of an exceptional/special circumstance to the policies in these guidelines as long as it does not violate CDBG federal / state requirements. A written analysis of the exception will be prepared and submitted with loan approval request. This analysis shall contain a narrative, including the staff's recommended course of action and any written or verbal information supplied by the applicant. The loan approval shall be made after review and acceptance of the exceptional/special circumstances request.

10. Loan Closing Process
After approval, the City’s program operator will prepare for the loan closing with an Escrow Company if real property is involved. All loan document signings will be witnessed by a Public Notary. The loan closing documents are Laser Pro documents, which are the standard loan documents used by Banks and lenders. The borrower will sign all the necessary documents and agreements. Then the City will sign the documents. The original loan documents will be kept in a fire proof safe at City Hall.

Determination of Loan Amount
The Program has a minimum loan amount of $35,000. The maximum loan amount is $70,000. The actual loan amounts will be based on the business’s need for capital to recover from the Shelter in Place order and retain employees. Loan amounts may be increased based on Loan Committee approval.

Determination of Loan Term
The loan term is tied directly to the debt service capacity of the borrower, the use of funds, and what security is being pledged for the loan. If a business needs operating capital, equipment, inventory, or supplies, then the term of the loan can be amortized over seven years to minimize monthly loan payments. If the loan is for real property improvements and can be secured on real property, then the terms can be extended out to 10 years.

The key element of this loan program is to provide for loan balance forgiveness when the business has met its job retention requirements. The measurement for the meeting this

Page 360 of 792 ends

11 requirement is based on the business retaining one full time equivalent job for every $35,000 loaned for a period of two years. The job retained must be filled from a member of a low to moderate income household. Once the business has done that, the loan balance can be forgiven. This policy will encourage the business to retain employees during the anticipated COVID-19 recovery period.

Determination of Interest Rate
The loan interest rate will be one percent (1%).

Loan Processing Fees
The program provides administration funds to pay for loan processing and servicing costs.

No direct loan fees will be charged to the borrower. Also, there is no pre-payment penalty on the loans under this Program.

11. Loan Application Evaluation
Each project/business will be evaluated based on the how it has performed in the past and its future financial forecasts. Specifically, the following questions will be asked upon receipt of the loan application. The loan application has been vetted by HCD staff and designed to obtain the information and documentation necessary to determine loan eligibility.
• Is business an eligible applicant?
• Are the proposed project costs eligible?
• Will project meet a CDBG national objective?
• Will business meet public benefit jobs retention?
• Does project appear to meet six HUD underwriting standards? • Are federal overlays triggered that will adversely impact project development? • Are the business and all owners’ credit worthy?
• Does the business and owner pay bills on time, collect on time? • Does owner have documented market demand for projected sales? • Does owner have management capacity to operate the business? • Does owner have financial accounting capacity to operate the business? • Is the owner contributing a reasonable amount of equity? • Is the owner able to get conventional bank financing, if not, why not? • Was the business financially viable in the past (net income covers debt)? • Are there reasonable financial assumptions for future viability/success? • Is there enough collateral available to secure the proposed loan? • Is the owner’s personal financial status stable?
By collecting enough initial application information to answer the above list of questions, the City will have a good sense of how strong a borrower is, and how successful they will be, if assisted with a CDBG loan. Most of this information is collected on the loan application form and verified verbally at the initial site visit with the owner. By meeting

Page 361 of 792 ends

12 the borrower and asking these questions the City will know what additional information/documentation needs to be collected to provide a clear picture and documentation of how CDBG funds can be used to retain the business and its jobs.

Personal and Business Credit
Each applicant will have third party credit reports obtained showing credit scores and payment history. All owners and their spouses with twenty percent (20%) or more interest in the business will get credit reports reviewed. If the personal credit reporting service, Sarma, which provides detailed credit history form Transunion, Experian, and Equifax, provides low credit scores or shows poor credit history, applicants must provide a written explanation of their current credit situation to clarify their situation.

Personal and Business Financial Information
Personal financial statements will be required for each person who owns 20% or more of the business. Financial statements need to show all assets and liabilities of the person.

In addition to these statements, federal tax return statements for owners and the business for the past two years are needed to give a historic perspective of income.

For the business fiscal year, historic financial statements will be required. These will consist of past two year’s balance sheets and cash flow statements, generated from past tax returns. These statements should be put together by the person responsible for doing the bookkeeping and finance management for the business.

A budget showing how the funds will be used must be provided so we understand how the CDBG funds will be used. Using the information in these financial statements, along with any back up documentation required, will provide the information necessary to prepare the loan proposal.

Collateral Requirements
When possible, loans under this program will be collateralized using commercial lending standards. However, the City understands that some borrowers will not have the collateral available to meet conventional lending standards. In these cases, we will determine if the borrower is fully committed to the loan and has provided as much collateral as possible as security for the loan. In addition, the City recognizes that CDBG funding is typically in a subordinate position to banks and other lenders.

It is the goal of the Program to get the best lien position possible to ensure loan repayments. Types of collateral may include:
• Secured liens on real property,
• UCC liens on machinery, equipment, or other fixtures, • Lease assignments, as appropriate,
• Personal and corporate guarantees, as appropriate, and • Life insurance assignment and other collateral, as appropriate.

Page 362 of 792 ends

13 Appraisal of assets may be required as part of determining how to obtain the best lien positions for the CDBG loan. Combined loan to value ratio on collateral for the typical CDBG loan should not exceed ninety percent (90%). Equipment and inventory secured should be properly discounted to reflect actual resale value when doing loan to value calculations.

Business Experience and Management Capacity
The loan applicant will provide brief management histories to show the experience of business owners and their management staff in successful operation of the existing business or something comparable.

12. Loan Servicing
The City will retain all original project files within locked storage. Original legal documents will be kept in locked fire proof filing system for future loan servicing. The City will provide annual income tax statements to the borrower for their tax purposes and other documentation as required within the loan closing documents. All loan payment will be made directly to the City and deposited into a CDBG Program Income Revolving Loan Fund account. City staff will inform the loan program operator if payments are late and the program operator will follow up.

The City will require periodic financial statements, annual tax returns, and proof of insurance annually from the borrower during the course of the loan term. Upon reviewing the borrower’s financial statements, the City may require the business to take actions that improve the business cash flows. In some cases, the borrower will need to update the city program operator on how the businesses is doing. In these situations, the NorCal SBDC Finance Center will provide vitiations and assistance as needed to help the business and maintain open communication with the City.

The borrower must disclose any sale of equipment or assets that are used as loan security by the Lender. The borrower may submit a written request to the City to change the CDBG loan terms, if the business is not able to fully service CDBG debt repayments or if they wish to pre-pay the loan by making one or more larger payments.

Demand Projections
It is anticipated that eight loans will be made within eighteen months of program implementation.

13. Readiness
The City has an existing contract with Community Development Services, (CDS) to assist with CDBG related activities. This firm has over 30 years of experience with CDBG business loan programs and is ready to implement the program once approved by HCD.

Page 363 of 792 ends

City of Ukiah
300 Seminary Ave., Ukiah, CA 95482
Business Loan Program
Purpose  The City of Ukiah offers business loans funded with Community Development Block Grants (CDBG). The purpose of these business loans is to provide flexible financing to businesses which, in turn, create or retain jobs.

Funding Source  State  Housing  and  Community  Development  Department  (HCD)  Community Development Block Grant (CDBG)
Loan Amount  From $35,000 to $70,000 * depending on funds available.

Interest Rates  1.0%, based on the cash flow needs of the borrower and the risk level of the loan. Repayment terms are based on the ability of the business to repay the loan.

Collateral  Junior lien positions are possible, a personal loan guarantee is required.

Repayment
Schedules/Terms
A deferral of payments is possible based on income & expense projections and the loan term can exceed the life of the asset.  The repayment schedule is based on the capacity of the business to repay the loan.

Loan Fees  None
Job
Creation/Retention
One job per $35,000 loaned, with 51% of the jobs to be filled by members of the low to moderate income group.

Use of Funds  Purchase  of  equipment,  inventory,  real  property,  working  capital,  debt consolidation.  Construction is less  preferable  due  to Davis  Bacon  Labor  Law requirements.

Contact  Jeff Lucas, Program Consultant
Community Development Services
3895 Main Street Kelseyville, CA 95451
Office: 707‐279‐1540      Email: [email protected]
ATTACHMENT 3

Page 364 of 792 ends

ATTACHMENT 4

Page 365 of 792 ends

Synthia Rhinehart Contract Office Manager
6/22/2021

Page 366 of 792 ends

STATE OF CALIFORNIA - BUSINESS, CONSUMER SERVICES AND HOUSING AGENCY GAVIN NEWSOM, Governor

DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT

ADMINISTRATION AND MANAGEMENT DIVISION
Business & Contract Services Branch
2020 W. El Camino Avenue, Suite 130, 95833
P. O. Box 952054
Sacramento, CA 94252-2054
(916) 263-6872
www.hcd.ca.gov
Sage Sangiacomo, City Manager
City of Ukiah
300 Seminary Avenue
Ukiah, CA 95842
Dear Sage Sangiacomo,
RE: City of Ukiah
Contract No.: 20-CDBG-12041
Congratulations on your Community Development Block Grant (CDBG) Program Award.

You have received your CDBG Standard Agreement, Exhibits A through E, in the Grants Network System:

A. Standard Agreement (STD 213 and Exhibits A thru E)
STD 213 - Cover page
Exhibit A - Authority, Purpose and Scope of Work
Exhibit B - Budget Detail and Payment Provisions
Exhibit C - State of California General Terms and Conditions - GTC 04/2017 Exhibit C is now incorporated by reference; please see the STD 213 for additional information.

Exhibit D – CDBG Program Terms and Conditions
Exhibit E – Program Application
B. For expeditious handling, please review the STD 213, sign and upload it into the Grants Network System. Do not mail or email the signed STD 213. Please follow the instructions below:

1. Review the entire Standard Agreement thoroughly and, if necessary, discuss the requirements with your legal and financial advisors.

2. The person or persons authorized by the Resolution(s), must provide an original signature, printed name, title and date, using blue ink, on the lower left-hand section entitled "Contractor" on the STD 213 and/or on page 2 of the STD 213, if applicable.

Page 367 of 792 ends

City of Ukiah
20-CDBG-12041

Page 2 ends

3. Print and upload the signed STD 213 into the Grants Network System within 30 days from the date of this letter.

4. Note: If the resolution did not authorize a designated official to sign the STD 213 and amendments thereto, your governing body must adopt a resolution authorizing a designated official(s) to sign the STD 213 and any subsequent amendments. If the authorized designee as reflected in the resolution, the awarded NOFA amount or your entity status has changed, you are required to provide, to the Department, a new resolution consistent with the terms of the NOFA award and adopted by your Board.

6. Maintain a complete electronic version of the STD 213 and Exhibits A through E for your pending file. Note: The Standard Agreement is not effective until it is signed by the Awardee's designated official and the Department.

The Department reserves the right to cancel any pending Standard Agreement in its entirety if not returned within the required 30-day period.

Please contact Connie Mallavia, CDBG Program Manager, Federal Programs Branch, at (916) 263-2711 or email [email protected], if you have any questions regarding the Standard Agreement or the provisions therein.

Sincerely,
LaTasha Jackson
Contracts Analyst
cc: Janice Waddell, Branch Chief, Federal Programs Branch

Page 368 of 792 ends

City of Ukiah
20-CDBG-12041

Page 1 of 7 ends

EXHIBIT A
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended: 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020

AUTHORITY, PURPOSE AND SCOPE OF WORK

1. Authority & Purpose
This Standard Agreement (hereinafter "Agreement") will provide official notification of the conditional reservation of funds under the State of California's administration of the federal Community Development Block Grant Program for non-entitlement jurisdictions (hereinafter, "CDBG" or the “Program") by the Department of Housing and Community Development (hereinafter the "Department") pursuant to the provisions of 42 U.S. Code (U.S.C.) 5301, et seq., 24 Code of Federal Regulations (CFR) Part 570, Subpart l , California Health and Safety Code Section 50825, et seq., and the California State CDBG Program Guidelines in effect as of October 15, 2019, all as may be amended from time to time. The Program is listed in the Catalog of Federal Domestic Assistance as 14.228 - CDBG -Community Development Block Grant Program. In accepting this conditional reservation of funds by executing this Agreement, the Grantee agrees to comply with the terms and conditions of this Agreement, the Notice of Funding Availability (NOFA) under which the Grantee applied, as identified in this document footer, the representations contained in the Grantee's application (the "Application") for this funding allocation, which is incorporated herein by reference and is included as a summary in Exhibit E, and the requirements of the authorities cited above. For activities funded outside of a NOFA, including activities funded through Program Income, and activities funded through Urgent Need, the Grantee agrees to comply with the terms and conditions of this Agreement, the representations contained in the Grantee’s Application for activity funding, which is incorporated herein by reference and is included as a summary in Exhibit E, and the requirements of the authorities cited above. Any changes made to the submitted and awarded Application after this Agreement is executed must receive prior written approval from the Department. For purposes of this Agreement, use of the term "Grantee" shall be a reference to "Contractor".

2. Scope of Work
A. The Grantee shall perform the funded activities described in the Scope of Work (Work), including applicable National Objectives as represented in Exhibit E Sections I through IV, and the Application which is on file with the Department and which is incorporated herein by reference. All written materials or alterations submitted as addenda to the original Application and which are approved in writing by the Department are hereby incorporated as part of the Application. The Department reserves the right to require the Grantee to modify any or all parts of the Application in order to comply with CDBG requirements. The Department

Page 369 of 792 ends

City of Ukiah
20-CDBG-12041

Page 2 of 7 ends

EXHIBIT A
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended: 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
reserves the right to monitor all Work to be performed by the Grantee, its contractors, and subgrantees in relation to this Agreement. Any proposed revision to the Scope of Work must be submitted in writing for review and approval by the Department and may require an amendment to this Agreement.

Approval shall not be presumed unless such approval is made by the Department in writing.

B. For the purposes of performing the Scope of Work, the Department agrees to provide the amount(s) identified in Exhibit B, and as detailed in Exhibit E, Section VI, Budget Worksheet. Unless amended in writing, the Department shall not be liable for any costs in excess of the total approved budget. The Department shall not, under any conditions, be liable for any unauthorized or ineligible costs or activities.

C. Except for General Program Administration, grant activity(ies) must meet one of the following three CDBG National Objectives:
1) Benefit to Low/Moderate Income Persons or Households, 2) Urgent Need, or
3) Elimination of Slums or Blight as defined in 24 CFR 570.483.

3. Effective Date and Commencement of Work
A. This Agreement is effective upon approval by the Department as evidenced by the Department representative’s signature on page one of the fully executed Standard Agreement, STD 213.

B. The CDBG Grantee agrees that no Work toward the implementation of the project activity or program activity, as identified in Exhibit E, Section I through IV, shall commence without prior written authorization from the Department prior to the execution of this Agreement by the Department.

4. Term of Agreement and Performance Milestones
A. Term of Agreement: With the exception of the Grant Closing Requirements set forth in Exhibit B, Section 6, the Grantee shall complete the grant activity and/or activities on or before 36 months (three (3) years) from the Department’s execution date identified on the STD 213 of this Standard Agreement. Any

Page 370 of 792 ends

City of Ukiah
20-CDBG-12041

Page 3 of 7 ends

EXHIBIT A
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended: 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
extensions beyond the 36 months will require the Department’s approval and a contract amendment.

B. Expenditure Deadline: All Program funds shall be expended no later than 36 months (three (3) years) from the final Department execution date of this Agreement as identified on the STD 213. All requests for funds must be submitted prior to the Expenditure Deadline.
1) Reporting Deadlines:
a) All activities except activities in support of new housing construction and activities in support of economic development must report final beneficiaries no later than thirty (30) days after the expiration of the Expenditure Deadline. Extensions for final reporting must be approved in writing by the Department.
b) For activities in support of new housing construction and economic development where housing units or jobs are dependent on off-site infrastructure development, the activity shall have an extended reporting term of two years (24 months) from the expenditure deadline to complete reporting of units constructed and occupied or jobs created or retained. Activities that do not meet the reporting deadline will be deemed ineligible and the Grantee will be required to repay all grant funds expended on the activity.

C. Milestones: Grantee shall timely adhere to project milestones as established in Exhibit E, Section V.
1) Failure to Meet Milestones:
a) Failure to meet the first milestone identified in Exhibit E, Section V, is a material breach and will result in a for-cause termination of this Agreement. All funds, including program income, reimbursed for this activity prior to the termination shall be returned to the Department no less than thirty (30) days from the written notification of termination.
b) Failure to meet any given subsequent milestones identified in Exhibit E, Section V, may result in loss of program eligibility and will restrict the Grantee from applying for additional CDBG funding until

Page 371 of 792 ends

City of Ukiah
20-CDBG-12041

Page 4 of 7 ends

EXHIBIT A
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended: 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
the activity is corrected and put back on schedule, or the activity is completed, or the activity is canceled.
2) Any milestone or deadline except the first milestone, the final activity report milestone, and the expenditure deadline may be revised administratively with the approval of the Department without incurring penalty, provided the revision request is received in advance of the original milestone due date.

D. Scope of Work Revisions and Amendments
1) Contract Revisions: Adjustments to the Scope of Work that do not require an increase or reduction of activity scope, a change in National Objective, or a change in the type of beneficiaries assisted may be completed as a Contract Revision. Contract Revisions must be approved by the Department prior to implementation. If approved, contract revisions shall automatically be deemed a part of, and incorporated into, this Agreement.

Approval shall be provided either through the online grant management system, or in writing, as appropriate. Contract Revisions shall include but not be limited to:
a) Adjustments that itemize the scope of work, revise milestone deadlines, except for first and last milestones, and change the scope of work in a manner that does not change the overall budget, National Objective, or change type or reduce count of estimated beneficiaries.
b) Adjustments that increase the estimated number of beneficiaries without increasing or decreasing the scope of work and without changing the overall budget.
2) Contract Amendments: Adjustments to the Scope of Work that require an increase or a reduced scope of work, that change the National Objective, or that change the type or reduces the number of beneficiaries assisted shall require a Contract Amendment. Contract Amendments must be fully executed by both the Grantee and the Department prior to implementation. Adjustments may not be implemented prior to execution unless the Department has provided written notice authorizing the Grantee to proceed. Contract Amendments shall include but not be limited to:

Page 372 of 792 ends

City of Ukiah
20-CDBG-12041

Page 5 of 7 ends

EXHIBIT A
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended: 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
a) Adjustments that either add scope beyond what was included in the original application, or that reduce scope such that the activity is materially different from the original application, or that reduce estimated beneficiary counts.
b) Adjustments that change the scope in a manner that requires a change to awarded activity budget, including adding funds from other State CDBG funded activities, adding Program Income, and reducing funds from either State CDBG awarded funds or Program Income.
3) HUD Matrix Codes: If HUD changes an activity matrix code(s) or if there is an error in recording the activity code, the Grantee shall be notified in writing and the correction shall not require an amendment to this Agreement.

E. State CDBG Program Contract Management
1) Department Contract Manager: For purposes of this Agreement, the State CDBG Program Contract Manager for the Department is the Program Manager of the State CDBG Program in the Division of Financial Assistance, or such person’s designee. Written communication regarding this Agreement shall be directed to the State CDBG Program Contract Manager at the following address:

State CDBG Program Contract Manager
Division of Financial Assistance
Department of Housing and Community Development
P.O. Box 952054
Sacramento, California 94252-2054
Ph: (916) 263-2711
Email: [email protected]
2) Contract Management: Day-to-day administration of this Agreement shall take place through the online grant management system, including but not limited to:
a) Financial Reports (Funds Requests);
b) Activity Reports;

Page 373 of 792 ends

City of Ukiah
20-CDBG-12041

Page 6 of 7 ends

EXHIBIT A
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended: 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
c) Semi-Annual Reports;
d) Annual Reports;
e) Submittal of any and all requested supporting documentation; f) Standard Agreement Revisions (non-material contract changes); and,
g) Standard Agreement Amendments (material contract changes). 3) Grantee Contract Administrator: The Grantee's Contract Administrator (must be a Grantee employee) is identified in Exhibit E, Profile. Unless otherwise informed, any notice, report, or other communication required by this Agreement shall be directed to the Grantee’s Contract Administrator at the contact information identified in Exhibit E, Profile.

Written communication shall be directed to the Grantee’s Contract Administrator as identified in the Grantee Profile as referenced in Exhibit E.
4) Capacity to Contract: Contractor has the capacity and authority to fulfill the obligations required of it hereunder and nothing prohibits or restricts the right or ability of Contractor to carry out the terms hereof. 5) Authority to Execute: Each person executing this Agreement represents and warrants to the Department that he or she is duly authorized to execute and deliver this Agreement on behalf of the Contractor, and that such authority is evidenced by a binding authorization. The person executing this Agreement, and the Contractor, acknowledge that the Department is materially relying upon the foregoing representation and warranty in agreeing to enter into this Agreement. In the event of a defect in any resolution submitted to the Department in connection herewith, then this provision shall be deemed satisfactory and admissible evidence of the authority of the signer to bind Contractor to this Agreement and Contractor shall remain fully bound to the terms hereof.

In the event the Department determines in its sole discretion that a resolution submitted by the Contractor is deficient in any way, then within thirty (30) days of the

Page 374 of 792 ends

City of Ukiah
20-CDBG-12041

Page 7 of 7 ends

EXHIBIT A
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended: 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
Department’s request, Contractor shall resubmit a new resolution which is satisfactory to the Department. Failure by the Contractor to timely provide such resolution to the Department shall constitute a default under this Agreement.

Page 375 of 792 ends

City of Ukiah
20-CDBG-12041

Page 1 of 7 ends

EXHIBIT B
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020

BUDGET DETAIL AND PAYMENT PROVISIONS

1. Budget
A. Budget Detail: The activity shall follow the budget as detailed in Exhibit E, Section VI.

B. Program Income: All Program Income is state administered CDBG funding and is subject to the same federal requirements for financial administration as open grant awards. Program Income, including both cash-on-hand and future projected receipts, if identified as a funding source for any given activity, must be included in the activity budget and must be substantially expended prior to drawing grant award funds. Program Income must be identified separately from grant funds in the activity budget and must be broken out into activity and general administration funding, as applicable. The Department will not encumber locally administered Program Income against NOFA grant funds in the state’s accounting system. Only new grant awards made under a NOFA or in conjunction with an Urgent Need application will be encumbered in the state’s accounting system.

Funding in this Agreement may include either or both:
1) the total new grant award from the NOFA to be encumbered by the Department from grand funds,
2) total locally held Program Income to be included in the activity budget but that will not be encumbered by the Department. This Agreement is for the sum total of funds to be used in the activity including grant funds and Program Income, as applicable. Program Income receipts must be reported no less than quarterly.

C. Other Non-State CDBG Funding Sources: The Grantee shall report on the value of other contributions included as leverage for each activity via the Financial Reports required for such activity. The Financial Reports shall be accessed through the online grant management system and are the reports which convey the information needed to complete financial transactions in HUD’s Integrated Disbursement and Information System (IDIS).

Page 376 of 792 ends

City of Ukiah
20-CDBG-12041

Page 2 of 7 ends

EXHIBIT B
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020

2. Availability of Funds
The Department’s provision of funding to Grantee pursuant to this Agreement is contingent on the continued availability of CDBG funds and continued federal authorization for CDBG activities, as well as the conditions set forth in Exhibit D, Section

33. The Department’s provision of funding is subject to amendment or termination due to lack of funds or authorization. This Agreement is subject to written modification or termination as necessary by the Department in accordance with requirements contained in any future state or federal legislation and/or state or federal regulations. All other modifications must be in written form and approved by both parties.

3. Eligible Costs
A. No activity costs may be incurred, or funds reimbursed until the Grantee has documented compliance with the applicable National Environmental Protection Act (NEPA) requirements established in 24 CFR 50, 24 CFR 58, and 42 USC 4321, et seq.

B. Allowable Costs: Allowable costs shall mean those necessary and proper costs under 2 CFR 200.400 through 475, and as identified in the Grantee’s application and as detailed in Exhibit E, Section VI, and as approved by the Department unless any or all such costs are disallowed by the State of California or HUD.

Allowable costs include necessary and proper activity and administration costs incurred prior to the execution of this Agreement. All costs incurred prior to the execution of this Agreement must be eligible to be considered allowable and suitable for reimbursement. Eligible costs must, at a minimum, be costs incurred according to the procurement requirements of 2 CFR 200.317, et seq. and be costs required for the activity in this Agreement to meet a National Objective.

C. Priority of Funds: The Grantee agrees to utilize funds available under this Agreement to supplement rather than supplant funds otherwise available. To the extent available, the Grantee must disburse funds available from locally held funding CDBG grant resources such as, but not limited to Program Income, rebates, refunds, contract settlements, audit recoveries, and interest earned on such funds before requesting additional cash payments from the grant award.

D. Withholding Funds: The Department reserves the right to withhold payments

Page 377 of 792 ends

City of Ukiah
20-CDBG-12041

Page 3 of 7 ends

EXHIBIT B
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
pending timely delivery of program reports or documents as may be required under this Agreement. Payments are contingent upon the Grantee's financial management system meeting the requirements of 2 CFR 200.302, and the internal control requirements of 2 CFR 200.303. Payment may be suspended or terminated, in whole or in part, by the Department in its sole discretion in the event of a default by Grantee.

E. Disencumbering Funds: The Grantee agrees that funds determined by the Department to be surplus upon completion of the activity, or that have not been spent prior to the Expenditure Deadline will be subject to disencumbrance by the Department.

F. Indirect Costs: If Grantee wishes to charge for indirect costs, the Grantee must develop an indirect cost allocation plan for determining the appropriate CDBG share of such indirect costs and submit such plan to the Department for approval prior to submission of requests for any payments for the indirect cost expenditures.

G. Pre-Agreement Costs: Pre-Agreement Costs are eligible costs incurred prior to the award of funds as defined in Exhibit D, Section 1. Eligible Pre-Agreement costs as identified in Exhibit E, Section VI, Project Budget, may only be reimbursed upon the full execution of this Agreement and verification that the costs meet all eligibility criteria. Pre-Agreement costs may include both activity delivery and general program administration.

The Grantee agrees that any Pre-Agreement costs not previously identified in Exhibit E, Section VI, Project Budget, will not be paid with CDBG funds.

4. Method of Payment
The Department will not authorize payments unless it has determined the costs incurred are in compliance with the terms of this Agreement. Funds requested through the Financial Reports must be for a minimum of $1,000.00, with the exception of the final funds request, which must be marked “Final”. Payments will be issued to the agency identified on the Taxpayer Identification Form (TIN) provided by the Grantee to the Department.

A. Reimbursements: The Department will reimburse the Grantee its allowable costs

Page 378 of 792 ends

City of Ukiah
20-CDBG-12041

Page 4 of 7 ends

EXHIBIT B
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
for the services identified in this Agreement in Exhibit E, Section VI, upon presentation of invoices which Grantee certified are true and correct copies of payments due on behalf of the Grantee for the activity covered by this Agreement and made in accordance and compliance with Exhibit A, Scope of Work. The Grantee may not request reimbursements under this Agreement until the funds are needed for payment of eligible costs. The amount of each request must be limited to the amount needed.
1) To receive reimbursement for grant activities, including reimbursement for eligible Pre-Agreement costs, the Grantee must submit all Department required forms according to the applicable deadlines. Financial Reports and Activity Reports are due no less than quarterly, within 15 days of the end of the quarter. Financial Reports and Activity Reports may be submitted more frequently at the Grantee’s discretion. Financial Reports shall include the level of documentation specified by the Department, including proof of expenditure, and proof of cost eligibility. Grantees must submit documentation supporting cost amounts and cost eligibility with each funds request as part of the Financial Report.
2) Grantees shall submit Financial Reports (funds requests) no less than quarterly. If no funds have been expended, the Grantee shall provide a description of work completed and an explanation of why no funds have been expended.

B. Advances: The Grantee must receive prior written approval from the Department before submitting an advance request. All advances are subject to the Department’s consent, which may be given or withheld on its sole discretion. No advances will be issued prior to full Agreement execution.

C. Final Payment Requests:
1) Grantees on the Reimbursement Payment System: All requests for final reimbursement must be submitted before the Expenditure Deadline referenced in Exhibit A, Section 4 of this Agreement.
2) Grantees on the Advance Payment System: The last advance payment must be submitted to the Department no later than sixty (60) days prior to

Page 379 of 792 ends

City of Ukiah
20-CDBG-12041

Page 5 of 7 ends

EXHIBIT B
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
the Expenditure Deadline of this Agreement.
3) Return of Unexpended Funds: All funds received by the Grantee but not expended by the Expenditure Deadline must be accounted for and returned to the Department within thirty (30) days after the Expenditure Deadline. Funds shall be returned in accordance with the current State CDBG Grants Management Manual. All returned funds will be disencumbered.
4) All Funds Not Previously Requested: If the final funds disbursement request for costs expended during the term of this Agreement has not been received by the Department before the Expenditure Deadline, and the Grantee has not requested an extension per Exhibit A Section 4, (Term of Agreement and Performance Milestones), the Department may disencumber any funds remaining and grant funds will no longer be available for the Grantee.

5. Budget Revisions and Amendments
Budget line item adjustments may be made in accordance with the following:

A. Budget Revisions: Adjustments to the Budget that do not require an increase or reduction of total activity budget, a change in National Objective, or a change in the type or a reduction in number of beneficiaries assisted may be completed as a Budget Revision. Budget Revisions shall include but not be limited to:
1) Adjustments that reallocate funds between budget line items, including between General Administration funding, activity funding, and Program Income resources, including both Program Income cash on hand, and Program Income projected receipts, but that otherwise does not change the overall budget total, the scope of work, the National Objective, and type and count of estimated beneficiaries. Reallocations involving General Administration funding are subject to applicable General Administration caps identified in the Notice of Funding Availability.
2) Adjustments that increase or decrease the detail included in the submitted lined item budgets, including adding and removing budget line items, without increasing or decreasing the scope of work and without changing the overall budget.

Budget Revisions must be approved by the Department prior to implementation.

Approval shall be provided either through the online grant management system, or in writing, as appropriate. If approved, Budget Revisions shall automatically be

Page 380 of 792 ends

City of Ukiah
20-CDBG-12041

Page 6 of 7 ends

EXHIBIT B
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
deemed a part of, and incorporated into, this Agreement.

B. Budget Amendments: Adjustments to the Budget that result in an increased or a reduced total activity budget shall require a Contract Amendment. Contract Amendments must be fully executed by both the Grantee and the Department prior to implementation. Adjustments may not be implemented prior to execution unless the Department has provided written notice authorizing the Grantee to proceed.

6. Grant Closing Requirements
A. Expenditure Deadline:
1) All Program funds shall be expended no later than the Expenditure Deadline as defined in Exhibit A, Section 4. All requests for funds must be submitted prior to the Expenditure Deadline.
2) The Final Financial Report for the activity must be marked final and submitted before the Expenditure Deadline. Financial Reports submitted after the Expenditure Deadline will not be eligible for reimbursement.

Closeout Procedure: The Grantee must submit the following at the completion of the activity:
1) A Final Activity Report that includes all required reporting data for the activity;
2) A filed Notice of Completion (if applicable);
3) Evidence, satisfactory to the Department, of compliance with any and all other Special Conditions of this Agreement as set forth in Exhibit E hereto; and,
4) A resolution from the governing body acknowledging the accomplishments of the activity and confirming that the activity is complete and that all outstanding funds have been reimbursed by the Department.

If the Grantee identified an extended reporting period will be required to meet the National Objective for the activity in the Application, the above closeout requirements shall be submitted upon the completion of the activity, or within twenty-four (24) months after the Expiration Deadline, whichever comes first. If no extended reporting period is required, the above closeout requirements shall

Page 381 of 792 ends

City of Ukiah
20-CDBG-12041

Page 7 of 7 ends

EXHIBIT B
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
be submitted within thirty (30) days after the Agreement's Expenditure Deadline.

Upon receipt of the above documentation, the Department will close out this Agreement and finalize the activity in IDIS for final reporting to HUD.

B. Ongoing Reporting: Grants that have been closed may, as applicable, have continued reporting requirements, including Program Income reporting, performance reporting, beneficiary reporting, asset reporting, and other federally required reports as identified in Exhibit D, Section 22.

Page 382 of 792 ends

City of Ukiah
20-CDBG-12041

Page 1 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020

CDBG PROGRAM TERMS AND CONDITIONS

1. Definitions
A. "Activity" means one of the following HUD eligible activities as per 42 U.S.C. 5305.
1) Acquisition (§ 5305 (a)(1))
2) Public Improvements (§ 5305 (a)(2))
3) Public Facilities (§ 5305 (a)(2) and (5))
4) Code Enforcement (§ 5305 (a)(3))
5) Housing Rehabilitation (§ 5305 (a)(4))
6) Public Services (§ 5305 (a)(8))
7) Planning and Technical Assistance (Section 105(a)(12), (14) and (19) 8) Business Financial Assistance (§ 5305 (a)(17))
9) Microenterprise Assistance (§ 5305 (a)(22))
10) Homeownership (§ 5305 (a)(24))
B. “Activity Budget” means the budget included in Exhibit E, Section VI, Project Budget, as referenced by Exhibit B, Budget Detail, and Payment Provisions.

C. "Activity Delivery" (AD) means any reasonable and necessary costs that are not directly related to labor and/or direct construction and/or direct activity implementation costs. The Grantee may expend up to the indicated AD as identified the NOFA that is associated with this Agreement or any relevant CDBG Management Memo. CDBG funds for AD cannot be drawn down unless CDBG activity costs have previously been drawn down or are being drawn down on the same funds request.

D. “Activity Reports” are the activity reports that must be submitted at least quarterly that describe program or project progress and/or beneficiaries served during a

Page 383 of 792 ends

City of Ukiah
20-CDBG-12041

Page 2 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
given reporting period.

E. “Department” means the California Department of Housing and Community Development.

F. "Funds Request" is also identified as a Financial Report and refers to the forms and processes required to request the drawdown of CDBG funds (requests for funds must be a minimum of $1,000.00 unless it is the final Financial Report for an activity). Funds disbursements must be completed no less than quarterly for each open activity, including Program Income funded activities.

G. "General Administration" refers to eligible administrative expenses as provided in 42 U.S.C. 5305(a)(13).

H. “Grantee” means the jurisdiction that applied for CDBG funding and has legal authority to sign this Agreement and commit to compliance with all federal requirements regarding the administration of federal funds, as identified in 2 CFR 200.

I. “Pre-Agreement Costs” are pre-award costs as defined at 2 CFR 200.458 and 24 CFR 570.489(p) and are costs that are eligible per 2 CFR 200.400 et.seq. that have been itemized on the approved activity budget as identified in Exhibit E, Section VI, Project Budget, as referenced by Exhibit B, Budget Detail and Payment Provisions.

J. "Program" means an eligible activity that provides direct assistance to eligible participants within a defined service area. Programs include public services, housing assistance to households, and instances where an eligible person, household, or area is directly assisted with a unit of service.

K. “Program Guidelines” means the CDBG Program Guidelines adopted in October 2019 that replaced the California state regulations regarding the operation of the State CDBG program, as per Health and Safety Code 50826.1(a) that states that the regulations are repealed upon adoption of guidelines.

L. “Program Income”, as defined in 24 CFR 570.489(e), means gross income received by the Grantee that is directly generated from the use of CDBG funds.

When such income is generated by an activity that is only partially assisted with CDBG funds, the income shall be prorated to reflect the percentage of CDBG

Page 384 of 792 ends

City of Ukiah
20-CDBG-12041

Page 3 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
funds used.

M. "Project" means eligible capital improvements to public facilities, infrastructure, assets, and right-of-way. Projects may also include eligible capital improvements to privately owned facilities, infrastructure, and assets that serve the public or that provide a public good, including shelters, community-based facilities, and utilities.

2. Eligible Activities
Grantee will only use funds under this Agreement for the activity identified in Exhibit E.

All activities must be eligible CDBG activities as authorized under 42 U.S.C. 5305 and 24 CFR 570.482.

3. National Objectives
Grantee will only use funds in support of the National Objective identified in Exhibit E, Section IV. All CDBG funded grant activities must meet a National Objective as defined in 42 U.S.C. 5304(b)(3), as amended, and 24 CFR Part 570.483.

Real Property acquired in whole or in part with CDBG funds must be used to meet the same National Objective for which it was purchased for no less than five years from the date of acquisition. The Department may require a Use Restriction Agreement be recorded against real property acquired or improved in whole or in part with CDBG funds.

4. Termination and Remedies for Noncompliance
Awards as secured by this Agreement may be terminated by the Department in whole or in part as per federal regulation at 2 CFR 200.339. All terminations shall include written notification setting forth the reason(s) for such termination, the effective date, and the portion to be terminated in the case of partial terminations and will follow termination notification requirements identified in 2 CFR 200.340.

A. Termination without Cause: Agreements may be terminated without cause in whole or in part by the Department only with the consent of the Grantee. In the case of a whole agreement termination, the two parties shall agree upon termination conditions, including the effective date. In the case of partial termination, the two parties shall agree upon termination conditions, including the

Page 385 of 792 ends

City of Ukiah
20-CDBG-12041

Page 4 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
portion to be terminated and the effective date.

B. Noncompliance and Termination with Cause: The Department may terminate this Agreement for Grantee’s failure to comply with the terms and conditions of this Agreement. Terminations for material failure to comply with the Agreement terms and conditions must be reported by the Department to the appropriate federal program integrity and performance system accessible through the System for Award Management (SAM) as per 2 CFR 200.339(b).
1) The Department may initiate remedies for noncompliance as identified in 2 CFR 200.338 at any time it has been determined that the Grantee is no longer meeting the terms and conditions of this Agreement. Remedies for noncompliance may be required in addition to, in lieu of, or prior to termination.
2) Prior to terminating this Agreement for cause or noncompliance, the Department shall submit written notice specifying noncompliance and/or specifying the event or events that if not cured would constitute an event of default. The Department’s written notice shall identify remedies for cure.

Grantee shall have thirty (30) calendar days from receipt of notice to fully cure. This period may be extended at the Department’s discretion for a reasonable period of time if the Grantee is acting in good faith to cure the noncompliance or cause. Any extension of the cure period must be communicated in writing by the Department.
3) The Department’s remedies for Grantee’s noncompliance with a federal statute or regulation, a state statute or regulation, an assurance, in a State plan or application, a notice of award, or elsewhere may include, as appropriate:
a) Temporarily withhold cash payments pending correction of the deficiency by the Grantee.
b) Disallow (that is, deny both use of funds and matching credit for) all or part of the cost of the activity or action not in compliance. c) Wholly or partly suspend or terminate the current award for the Grantee’s program or project, as applicable.

Page 386 of 792 ends

City of Ukiah
20-CDBG-12041

Page 5 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
d) Withhold further and/or future awards of CDBG funds. e) Request that HUD initiate federal suspension debarment proceedings.
f) Take other remedies that may be legally available, including, but not limited to:
(i) In the case of costs incurred without meeting a National Objective, require repayment of all funds reimbursed,
including General Administration, Activity Delivery, and any and all Program Income, as appropriate.
4) In taking an action to remedy noncompliance, the Department will provide the Grantee an opportunity for such hearing, appeal, or other administrative proceeding to which the Grantee is entitled under any statute or regulation applicable to the action involved as per 2 CFR 200.341.

C. Effects of Suspension and Termination: Grantee costs resulting from obligations incurred by the Grantee or any of the Grantee’s contractors, subrecipients, or subgrantees during a suspension or after termination of an Agreement are not allowable unless otherwise authorized by the Department in written notice or as allowable in 2 CFR 200.342. Termination and remedies for noncompliance identified in this Section do not preclude a Grantee or any of the Grantee’s contractors, subrecipients, or subgrantees from being subject to nonprocurement debarment and suspension requirements at 2 CFR 2424. CDBG funds may not be provided to excluded or disqualified persons pursuant to 24 CFR 570.489(l).

D. Remedies: All remedies of the Department hereunder are cumulative and not exclusive.

5. Severability
A. If any provision of this Agreement, or an underlying obligation, is held invalid by a court of competent jurisdiction, such invalidity, at the sole discretion of the Department, shall not affect any other provisions of this Agreement and the remainder of this Agreement shall remain in full force and effect. Therefore, the provisions of this Agreement are, and shall be, deemed severable.

Page 387 of 792 ends

City of Ukiah
20-CDBG-12041

Page 6 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
B. The Grantee shall notify the Department immediately of any claim or action undertaken by or against it which affects or may affect this Agreement or the Department, and shall take such action with respect to the claim or action as is consistent with the terms of this Agreement and the interests of the Department.

6. Waivers
No waiver or any breach of this Agreement shall be held to be a waiver of any prior or subsequent breach. The failure of the Department to enforce, at any time, the provisions of this Agreement or to require, at any time, performance by the Grantee of these provisions shall in no way be construed to be a waiver of such provisions nor to affect the validity of this Agreement or the right of the Department to enforce these provisions.

7. Uniform Administrative Requirements
The Grantee, its agencies or instrumentalities, and Subgrantees shall comply with the policies, guidelines and Administrative Requirements of 2 CFR Part 200 et seq., as applicable, as they relate to the cost principles, audit requirements, acceptance and use of federal funds.

A. Single Audit Compliance: Funds will not be disbursed to any Grantee identified by the State Controller's Office (SCO) as non-compliant with the Federal Single Audit Act, as described in the Uniform Administrative Requirements, Cost Principles, And Audit Requirements for Federal Awards at 2 CFR 200 Sub-Part F. No funds may be disbursed until compliance with the Uniform Administrative Requirements is demonstrated to the satisfaction of the Department.

B. Accounting Standards: Grantee agrees to comply with, and administer the activity in conformance with, 2 CFR Part 200.300 et seq, and agrees to adhere to the accounting principles and procedures required therein, utilize adequate internal controls, and maintain necessary source documentation for all costs incurred.

C. Suspension and Debarment: By executing this Agreement, Grantee verifies and affirms that it has not been suspended or debarred from participating in or receiving federal government contracts, subcontracts, loans, grants or other assistance programs.

Page 388 of 792 ends

City of Ukiah
20-CDBG-12041

Page 7 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020

8. Compliance with State and Federal Laws and Regulations A. Grantee, its agencies or instrumentalities, contractors, sub-grantees, and subrecipients shall comply with all local, state, and federal laws, statutes, and regulations, as well as policies and guidelines established by the Department for the administration of the CDBG program.

B. Grantee shall comply with the requirements of 24 CFR 570.480 et seq., the Housing and Urban Development (HUD) regulations concerning State administered Community Development Block Grants, 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Final Guidance, as adopted by HUD at 2 CFR 2400, Title II of the Cranston-Gonzales National Affordable Housing Act (42 U.S.C. § 12701 et seq.) and all federal regulations and policies issued pursuant to these regulations. The Grantee further agrees to utilize funds available under this Agreement to supplement rather than supplant funds otherwise available.

9. Affirmatively Furthering Fair Housing
Grantee shall affirmatively further fair housing, in accordance with the Civil Rights Act of 1964 (42 U.S.C 2000a, et seq.), and the Fair Housing Act (42 U.S.C. 3601, et seq.), according to 42 U.S.C. 5306, et seq. and in compliance with California statute (Gov.

Code sections 65583, et seq.). Grantee shall comply with the Fair Housing Amendment Act of 1988 (Public Law 100-430).

10. Equal Opportunity Requirements and Responsibilities Grantee agrees that it undertakes hereby the same obligations to the Department that the Department has undertaken to HUD pursuant to the Department’s CDBG certifications. The obligations undertaken by Grantee include, but are not limited to, the obligation to comply with all applicable federal laws and regulations described in Subpart K of 24 CFR Part 570 and specifically with each of the following:

A. The Housing and Community Development Act of 1974 (Public Law 93-383) that authorized the CDBG program, as amended, and legislative changes contained in the Housing and Urban-Rural Recovery Act of 1983 that authorized the state administered CDBG program for non-entitlement communities, and the Architectural Barriers Act of 1968 (42 U.S.C. Section 4151) that requires publicly funded facilities be accessible to the public;

Page 389 of 792 ends

City of Ukiah
20-CDBG-12041

Page 8 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
B. Title VI of the Civil Rights Act of 1964 (Public Law 88-352) prohibiting discrimination based on protected class, as amended, Title VIII of the Civil Rights Act of 1968 (Public Law 90-284) prohibiting discrimination in housing, as amended; the Civil Rights Restoration Act of 1987 (Public Law 100-259) requiring expanded compliance with civil rights laws for jurisdictions receiving federal funding; Section 104(d) regarding relocation and displacement and Section 109 of Title 1 of the Housing and Community Development Act of 1974 prohibiting discrimination in CDBG funded programs, as amended; Section 504 of the Rehabilitation Act of 1973 prohibiting recipients of federal funds from discrimination against persons with disability; the Americans With Disabilities Act of 1990 prohibiting all public discrimination against persons with disabilities; the Age Discrimination Act of 1975 prohibiting age-based discrimination in federally funded activities; Executive Order 11063 prohibiting discrimination in disposition of properties owned or financed with federal funds, as amended by Executive Order 12259; and Executive Order 11246 regarding fair employment, as amended by Executive Orders 11375, 11478 and 12086; and HUD regulations heretofore issued or to be issued to implement these authorities relating to civil rights;
C. The Equal Employment Opportunity Act of 1972 that created the Equal Employment Opportunity Commission, Equal Employment Opportunity and Affirmative Action requirement (EEO/AA); Grantee shall, in all solicitations or advertisements for employees placed by or on behalf of the Grantee, state that it is an Equal Opportunity or Affirmative Action employer.

11. Relocation, Displacement, and Acquisition
Grantee shall comply with the provisions of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended, in 24 CFR Part 42, 49 CFR Part 24, and 42 U.S. §5304(d) as they apply to the performance of this Agreement. Grantee agrees to comply with 24 CFR 570.606 relating to the acquisition and disposition of all real property utilizing grant funds and to the displacement of persons, businesses, nonprofit organizations and farms occurring as a direct result of any acquisition of real property utilizing grant funds.

12. Section 3: Training, Employment and Contracting Compliance Grantee shall comply with Section 3 of the Housing and Urban Development Act of

Page 390 of 792 ends

City of Ukiah
20-CDBG-12041

Page 9 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
1968 (12 U.S.C. 1701u), and implementing regulations at 24 CFR, Part 135. The responsibilities of the Grantee are outlined in 24 CFR 135.32 and include, but may not be necessarily limited to:

A. Implementing procedures designed to notify Section 3 eligible residents about training and employment opportunities generated by Section 3 covered assistance and Section 3 business concerns about contracting opportunities generated by Section 3 covered assistance.

B. Notifying potential contractors for Section 3 covered projects of the requirements of Part 135 and incorporating the Section 3 clause set forth in 24 CFR 135.38 in all solicitations and contracts in excess of $100,000.00.

C. Facilitating the training and employment of Section 3 residents and the award of contracts to Section 3 business concerns to reach the goals set forth in 24 CFR 135.30. Recipients, at their own discretion, may establish reasonable numeric goals for the training and employment of Section 3 residents and contract awards to additional Section 3 business concerns that exceed the goals specified in 24 CFR 135.30.

D. Assisting and actively cooperating with the Department in obtaining the compliance of contractors and subcontractors with the requirements of Part 135 and refraining from entering into any contract with any contractor where the recipient has notice or knowledge that the contractor has been found in violation of the regulations in 24 CFR Part 135.

E. Documenting actions taken to comply with the requirements of Part 135, the results of those actions taken and impediments, if any.

13. Environmental Compliance
A. Grantee shall comply with the California Environmental Quality Act (CEQA) (Pub.

Resources Code § 21000, et seq.) requirements as they apply to this project.

CEQA reviews and determinations are the responsibility of local agencies and shall be administered by the Grantee as applicable.

B. Grantee shall comply with the Federal Water Pollution Control Act, as amended, 33 U.S.C. § 1251, et seq., as amended, and 33 U.S.C. § 1318 relating to inspection, monitoring, entry, reports, and information, and all regulations and

Page 391 of 792 ends

City of Ukiah
20-CDBG-12041

Page 10 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
guidelines issued thereunder.

C. Grantee shall comply with the requirements of the Clean Air Act, as amended, 42 U.S.C. 7401, et seq.

D. Grantee shall comply with Environmental Protection Agency (EPA) regulations pursuant to 40 CFR Part 50 regarding air quality protections, as amended.

E. Grantee shall comply with the requirements of the Flood Disaster Protection Act of 1973 (42 U.S.C. 4001). Grantee shall assure that for activities located in an area identified by the Federal Emergency Management Agency (FEMA) as having special flood hazards, that flood insurance under the National Flood Insurance Program is obtained and maintained as a condition of financial assistance for acquisition or construction purposes (including rehabilitation).

F. Grantee shall comply with the requirements of the Residential Lead-Based Paint Hazard Reduction Act of 1992 and Section 401(b) of the Lead-Based Paint Poisoning Prevention Act of 1971. Grantee agrees that any construction or rehabilitation of residential structures with assistance provided under this Agreement shall be subject to HUD Lead-Based Paint Regulations at 24 CFR 570.608, and 24 CFR Part 35, Subpart B. Such regulations pertain to all CDBGassisted housing and require that all owners, prospective owners, and tenants of properties constructed prior to 1978 be properly notified that such properties may include lead-based paint. Such notification shall point out the hazards of leadbased paint and explain the symptoms, treatment and precautions that should be taken when dealing with lead-based paint poisoning and the advisability and availability of blood lead level screening for children under seven. The notice should also point out that if lead-based paint is found on the property, abatement measures may be required.

G. Grantee shall comply with the Historic Preservation requirements set forth in the National Historic Preservation Act of 1966, as amended (16 U.S.C. 470), the Archaeological and Historical Preservation Act of 1974 (Public Law 93-291), and the procedures set forth in 36 CFR Part 800, Advisory Council on Historic Preservation Procedures for Protection of Historic Properties, insofar as they apply to the performance of this agreement. Grantee shall also comply with federal Executive Order 11593 on the protection and enhancement of the cultural environment. In general, this requires concurrence from the State Historic

Page 392 of 792 ends

City of Ukiah
20-CDBG-12041

Page 11 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
Preservation Officer for all rehabilitation and demolition of historic properties that are fifty years old or older or that are included on a federal, state, or local historic property list.

H. Grantee shall comply with all National Environmental Protection Act (NEPA) requirements as applicable to the performance of this Agreement as found in 24 CFR Part 50, 24 CFR Part 58, as applicable, and 40 CFR 1500 – 1508. Grantee shall not receive authority to incur activity costs until they have successfully documented compliance with the applicable NEPA requirements, including public noticing and publishing.

14. Procurement
The Grantee shall comply with the procurement provisions in 2 CFR Part 200.317 – 200.326, Procurement Standards, as well as all other Administrative Requirements for Grants and Cooperative Agreements to state, local and federally recognized Indian tribal governments as set forth in 2 CFR 200, et al, as applicable.

15. Procurement of Recovered Materials
A. Grantee and the Grantee’s contractors shall comply with Section 6002 of the Solid Waste Disposal Act of 1965, as amended by the Resource Conservation and Recovery Act. The Contractor shall procure 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, unless the Contractor determines that such items:
1) are not reasonably available in a reasonable period of time; 2) fail to meet reasonable performance standards, which shall be determined on the basis of the guidelines of the National Institute of Standards and Technology, if applicable to the item; or
3) are only available at an unreasonable price.

B. This clause shall apply to items purchased under this Agreement or subsequent contract where:
1) the Contractor purchases in excess of $10,000.00 of the item under this

Page 393 of 792 ends

City of Ukiah
20-CDBG-12041

Page 12 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
Agreement; or
2) during the preceding federal fiscal year, the Contractor:
a) purchased any amount of the items for use under a contract that was funded with Federal appropriations and was with a Federal agency or a State agency or agency of a political subdivision of a State; and
b) purchased a total of in excess of $10,000.00 of the item both under and outside that contract.

16. Contracting and Labor Standards
A. Grantee shall comply with the Davis-Bacon Act (40 U.S.C. §§ 3141-3148) and 29 CFR Subtitle A, Parts 1, 3 and 5, as applicable, to construction, alteration, and repair contracts over $2,000.00.

B. Grantee shall ensure that all contracts comply with the Anti-Kickback Act of 1986 (41 U.S.C. §§ 51-58) that prohibits attempted as well as completed "kickbacks," which include any money, fees, commission, credit, gift, gratuity, thing of value, or compensation of any kind.

C. Grantee shall ensure all contracts comply with the Contract Work Hours and Safety Standards Act of 1962 (40 U.S.C. § 3702) which requires that workers receive overtime compensation at a rate of one and one-half (1-1/2) times their regular hourly wage after they have worked forty (40) hours in one week.

D. Grantee shall maintain documentation that demonstrates compliance with hour and wage requirements of this part. Such documentation shall be made available to the Department for review upon request.

17. Prevailing Wages
A. Where funds provided through this Agreement are used for construction work, or in support of construction work, the Grantee shall ensure that the requirements of California Labor Code, Chapter 1, commencing with Section 1720, Part 7 [California Labor Code Sections 1720-1743] (pertaining to the payment of prevailing wages and administered by the California Department of Industrial

Page 394 of 792 ends

City of Ukiah
20-CDBG-12041

Page 13 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
Relations) are met.

B. Where funds provided through this Agreement are used for construction work or in support of construction work, the Grantee shall also ensure that the federal requirements of the Davis Bacon Act codified at 40 U.S.C. 3141, et seq. (as amended), pertaining to federal labor standards and compliance, are met and documented. Grantee recognizes that multiple labor standards (both state prevailing wage and federal Davis-Bacon Act) may apply to the project and both standards must be satisfied.

C. For the purposes of this requirement "construction work" includes, but is not limited to, rehabilitation, alteration, demolition, installation or repair done under contract and paid for, in whole or in part, through this Agreement. All construction work shall be done through the use of a written contract with a properly licensed building contractor incorporating these requirements (the "construction contract"). Where the construction contract will be between the Grantee and a licensed building contractor, the Grantee shall serve as the "awarding body" as that term is defined in the California Labor Code. Where the Grantee will provide funds to a third party that will enter into the construction contract with a licensed building contractor, the third party shall serve as the "awarding body." Prior to any disbursement of funds, including but not limited to release of any final retention payment, the Department may require a certification from the awarding body that prevailing wages have been or will be paid.

D. The applicable wage rate determination on construction work will be the more restrictive of the rate prescribed in the California Labor Code Sections 1770- 1784, or the Davis-Bacon Wage Determination.

18. Contractors and Subrecipients
A. Grantee shall comply with 24 CFR Part 2424 and shall not enter into any agreement, written or oral, with any contractor or subrecipient without the prior determination that the contractor or subrecipient is eligible to receive CDBG funds and is not listed on the Federal Consolidated List of Debarred, Suspended, and Ineligible Contractors.

B. Any agreement between the Grantee and any contractor or subrecipient shall include the terms and conditions in Appendix II of 2 CFR 200.

Page 395 of 792 ends

City of Ukiah
20-CDBG-12041

Page 14 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
C. Grantee shall ensure that any contract or subrecipient agreement includes clauses requiring the maintenance of workers’ compensation insurance, as applicable, as well as general liability insurance. Contract or subrecipient agreements must require that the Grantee is notified in the event that any required insurance is canceled, expired, or otherwise invalidated during the performance period of the contract or subrecipient agreement.

D. Grantee shall require that contractors and subrecipients comply with the Drug-Free Workplace Act of 1988.

19. Requirements for Economic Development Activities
A. Public Benefit Standards for Economic Development Activities: Per 24 CFR 570.482 (e) (f), (g) and 570.483(b)(4), the Grantee must comply with federal underwriting standards and must meet the public benefit standards for all CDBG Economic Development activities under 42 U.S. §5305(a)(17). The use of public benefit standards is mandatory.

B. Anti-Job Pirating Certification: Pursuant to 24 CFR 570.482(h) CDBG funds may not be used to directly assist a business, including a business expansion, in the relocation of a plant, facility, or operation from one labor market area to another labor market area if the relocation is likely to result in a significant loss of jobs in the labor market area from which the relocation occurs. Job loss of more than 500 employees is always considered significant. Job loss of 25 or fewer positions is never considered significant.

20. Rights to Inventions Made Under a Contract or Agreement Grantee shall comply with and require the following in contracts and subrecipient agreements: If a Federal award meets the definition of “funding agreement” under 37 CFR 401.2(a) and the recipient or subrecipient wishes to enter into a contract with a small business firm or nonprofit organization regarding the substitution of parties, assignment or performance of recipient or subrecipient must comply with requirements of 37 CFR Part 401, “Rights to Inventions Made by Nonprofit Organizations and Small Business Firms Under Government Grants, Contracts and Cooperative Agreements,“ and any implementing regulation issued by the awarding agency.

Page 396 of 792 ends

City of Ukiah
20-CDBG-12041

Page 15 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020

21. Prohibition Against Payments of Bonus or Commission The assistance provided under this Agreement shall not be used in the payment of any bonus or commission for the purpose of:

A. Obtaining the Department's approval of the Application for such assistance or additional assistance; or,
B. Securing any other approval or concurrence of the Department required under this Agreement, Title I of the Housing and Community Development Act of 1974, or the State regulations or Program Guidelines with respect thereto; provided, however, that reasonable fees for bona fide technical, consultant, managerial or other such services, other than actual solicitation, are not hereby prohibited if otherwise eligible as program costs.

22. Reporting Requirements
A. Requirements: During the term of this Agreement, the Grantee must submit all CDBG program reports required by the Department, including quarterly activity, financial, and Program Income reports, semi-annual labor and compliance reports, annual performance reports, and other reports required by the Department or HUD. The Department reserves the right to request additional detail and support for any report made. Reports must be made according to the dates identified, unless otherwise specified at the discretion of the Department.

The Grantee's performance under this Agreement will be evaluated in part on whether it has submitted the reports on a timely basis.

B. Reporting Period: Grantee shall submit reports quarterly, and as required for semi-annual and annual reports, and shall continue to submit reports until such time that the activity is complete, a National Objective has been met and beneficiaries have been identified. The reporting period for this activity may extend beyond the Expenditure Deadline as defined in Exhibit A.

C. Final Reporting Deadline: Grantee shall complete all required reporting for this activity no later than five (5) years from the execution date of this Agreement as identified on the STD 213.

D. Asset Reporting: Grantee shall report annually on the status of all assets (real and personal property, equipment, and vehicles) purchased in whole or in part

Page 397 of 792 ends

City of Ukiah
20-CDBG-12041

Page 16 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
with CDBG funds for no less than five years from the completion of the activity that generated the asset. Reporting shall continue until the property is disposed, fully depreciated, or, in the event of real property, the five-year commitment to a National Objective has been completed.

23. Fiscal Controls
Grantee shall be responsible for the internal control and monitoring of fiscal and programmatic/operational goals and procedures. The Grantee shall establish and maintain such fiscal controls and fund accounting procedures as required by federal regulations, or as may be deemed necessary by the Department to ensure the proper disbursal of, and accounting for, funds paid to the Grantee under this Agreement.

A. Deposit of Funds: Grantee shall maintain separate accounts within established bookkeeping systems for the deposit of CDBG funds. All cash advances must be deposited in an interest-bearing account; any interest earned in excess of $100.00 per year (which may be retained for related administrative expenses) must be returned at least quarterly to HUD via the Department. Deposits in minority banks are encouraged.

B. Fund Management: Grantee shall deposit funds in an account requiring two signatures for disbursement and shall submit to the Department specimen signatures for all authorized signatories prior to receipt of funds; C. Fiscal Liability: Grantee shall be liable for all amounts which are determined to be due by the Department including, but not limited to, disallowed costs which are the result of Grantee’s or its contractor’s conduct under this Agreement. Grantee shall be notified in writing and shall be permitted to respond regarding any controversy or proceeding between the Department and HUD arising from this Agreement.

D. Fiscal Records: All financial transactions must be supported by complete and verifiable source documents. Records shall provide a clear audit trail and shall be maintained as specified in Section 25 of this Agreement.

E. Program Income: Any and all Program Income received by Grantee during the administration of this Agreement must be receipted and deposited into a separate Program Income account. Program Income funds may not be comingled with CDBG grant funds in a single account.

Page 398 of 792 ends

City of Ukiah
20-CDBG-12041

Page 17 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020

24. Reversion of Assets
Upon expiration of this Agreement, Grantee shall transfer to the Department any CDBG funds, excluding Program Income, in Grantee’s control at the time of expiration. Further, any real property under Grantee’s control that was acquired and/or improved in whole or in part with CDBG funds (including CDBG funds provided to the Grantee in the form of a loan and Program Income) in excess of $25,000.00 shall be either:

A. Used to meet one of the National Objectives in 24 CFR Part 570 until five (5) years after expiration or closure of this Agreement, the length of time to be further prescribed by mutual agreement of the parties.

B. Disposed of in such manner that Grantee is reimbursed in the amount of the fair market value of the property at the time of disposition of the property less any portion of the value attributable to expenditures of non-CDBG funds for acquisition and/or improvement of such property. The proceeds from such disposition is Program Income.

If the Grantee provides funds for the purchase or improvement of real property to a subrecipient that is a private non-profit organization, that subrecipient must further agree to a voluntary lien on above-referenced real property as to any CDBG funds received and that such lien will be notarized and recorded in the Office of the County Recorder where the real property is located.

25. Monitoring Requirements
The Department shall perform a program and/or fiscal monitoring of the CDBG grant no less than once during the thirty-six (36) month expenditure period of this Agreement.

The Grantee shall be required to resolve any monitoring findings to the Department's satisfaction by the deadlines set by the Department to maintain program eligibility.

Grantees and applicable subrecipients shall retain all books, records, accounts, documentation, and all other materials relevant to this Agreement for a minimum period of five (5) years after the Department notifies the Grantee that the HCD contract has been closed according to the record retention requirements at 2 CFR 200.333.

Grantees and applicable subrecipients shall permit the State, federal government, the state Bureau of State Audits, the Department, and/or their representatives, upon reasonable notice, unrestricted access to any or all books, records, accounts,

Page 399 of 792 ends

City of Ukiah
20-CDBG-12041

Page 18 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
documentation, and all other materials relevant to this Agreement for the purpose of monitoring, auditing, or otherwise examining said materials.

26. Inspections of Grant Activity
The Department reserves the right to inspect any grant activity(ies) performed hereunder to verify that the grant activity(ies) is being and/or has been performed in accordance with the applicable federal, state and/or local requirements and this Agreement.

A. The Grantee shall inspect any grant activity performed by contractors and subrecipients hereunder to ensure that the grant activity(ies) is being and has been performed in accordance with the applicable federal, state and/or local requirements and this Agreement.

B. The Grantee agrees to require that all grant activity(ies) found by such inspections not to conform to the applicable requirements be corrected, and to withhold payment to its contractor or subcontractor, respectively, until it is so corrected.

27. Signs
If the Grantee places signs stating that the activity is funded with private or public dollars and the Department is also providing financing, it shall indicate in a typeface and size commensurate with the Department's funding portion of the project that the Department is a source of financing through the CDBG Program.

28. Insurance
The Grantee shall have and maintain in full force and effect prior to the start of work, and at all times during the term of this Agreement such forms of insurance, at such levels as may be determined by the Grantee and the Department to be necessary for specific components of the grant activity(ies) described in Exhibit E. Prior to the commencement of any work, Grantee shall provide to the Department acceptable proof(s) of insurance confirming the required insurance coverages are in effect and naming the Department as an additional insured, where applicable. No insurance policy may be cancellable on less than thirty (30) calendar days prior notice to the insured and the Department. Grantees are responsible for requiring sufficient insurance, including but not limited to liability and workers compensation insurance, from all contractors and

Page 400 of 792 ends

City of Ukiah
20-CDBG-12041

Page 19 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
subrecipients. Grantees are recommended to be listed as an additional insured on policies held by contractors or subrecipients for the implementation of this award.

Where a Grantee insurance policy is required to be purchased specifically for the execution or implementation of the activity funded through this award, the Department must be listed as an additional insured on the declarations page of the policy.

29. Anti-Lobbying Certification
Grantee shall comply with and require that the language of this certification be included in all contracts or subcontracts entered into in connection with this grant activity(ies) and that all subrecipients shall certify and disclose accordingly. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by 31 U.S.C. 1352. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000.00 and no more than $100,000.00 for such failure.

A. No federally appropriated funds have been paid or will be paid, by or on behalf of it, to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, an officer or employee of Congress, or an employee of a member of Congress in connection with the awarding of any federal contract, the cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any federal contract, grant, loan, or cooperative agreement.

B. If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, an officer or employee of Congress, or an employee of a member of Congress in connection with this federal contract, grant, loan, or cooperative agreement, it will complete and submit Standard Form LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions.

30. Conflict of Interest
Pursuant to 24 CFR 570.489(h), no member, officer, or employee of the Grantee, or its designees or agents, no member of the governing body of the locality in which the program is situated, and no other public official of such locality or localities who exercise or have exercised any functions or responsibilities with respect to CDBG activities assisted under this part, or who are in a position to participate in a decision-making

Page 401 of 792 ends

City of Ukiah
20-CDBG-12041

Page 20 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
process or gain inside information with regard to such activities, including members and delegates to the Congress of the Unites States may obtain a financial interest or benefit from a CDBG-assisted activity, or have a financial interest in any contract, subcontract or agreement with respect to a CDBG-assisted activity or its proceeds, either for themselves or those with whom they have business or immediate family ties, during their tenure, or for one (1) year thereafter. The Grantee shall incorporate, or cause to be incorporated, in all such contracts or subcontracts a provision prohibiting such interest pursuant to the purposes of this section.

31. Obligations of Grantee with Respect to Certain Third-Party Relationships Grantee shall remain fully obligated under the provisions of this Agreement notwithstanding its designation of any third party or parties for the undertaking of all or any part of the Program with respect to which assistance is being provided under this Agreement to the Grantee. The Grantee shall comply with all lawful requirements of the Department necessary to ensure that the Program, with respect to which assistance is being provided under this Agreement to the Grantee, is carried out in accordance with the Department's Assurance and Certifications, including those with respect to the assumption of environmental responsibilities of the Department under Section 104(g) of the Housing and Community Development Act of 1974 [42 U.S.C. 5304(g)].

32. Energy Policy and Conservation Act
This Agreement is subject to mandatory standards and policies relating to energy efficiency which are contained in the State Energy Conservation Plan issued in compliance with the Energy Policy and Conservation Act (Pub. L. 94-163, 89 Stat. 871).

33. State Contract Manual Requirements (Section 3.11, Federally Funded Contracts (Rev. 3/03):

A. All contracts, except for State construction projects that are funded in whole or in part by the Federal government, must contain a thirty (30)-day cancellation clause and the following provisions:
1) It is mutually understood between the parties that this contract may have been written for the mutual benefit of both parties before ascertaining the availability of congressional appropriation of funds to avoid program and fiscal delays that would occur if the contract were executed after that determination was made.

Page 402 of 792 ends

City of Ukiah
20-CDBG-12041

Page 21 of 21 ends

EXHIBIT D
Program Name: Community Development Block Grant (CDBG)
NOFA Date: 01/21/2020; Amended on 04/03/2020, and 06/19/2020 Approved Date: 07/02/2020
Prep. Date: 11/05/2020
2) This Agreement is valid and enforceable only if sufficient funds are made available to the State by the United States Government for the purpose of this Program. In addition, this contract is subject to any additional restrictions, limitations, or conditions enacted by the Congress or to any statute enacted by the Congress that may affect the provisions, terms, or funding of this contract in any manner.
3) The parties mutually agree that if the Congress does not appropriate sufficient funds for the program, this contract shall be amended to reflect any reduction in funds.
4) The Department has the option to invalidate the contract under the thirty (30) day cancellation clause or to amend the contract to reflect any reduction in funds.

B. Exemptions from provisions A.1 through A.4 above may be granted by the Department of Finance provided that the director of the State agency can certify in writing that Federal funds are available for the term of the contract.

C. California Government Code § 8546.4(e) provides that State agencies receiving federal funds shall be primarily responsible for arranging for federally required financial and compliance audits, and shall immediately notify the Director of Finance, the State Auditor, and the State Controller when they are required to obtain federally required financial and compliance audits.

Page 403 of 792 ends

Applications: City of Ukiah Business Assistance Program

EXHIBIT E
Award Number
20-CDBG-12041
PO Number
Profile
[email protected]
Section I
Activity Category
Business assistance
Activity (BA/ME)
18A ED Assistance to For-Profits
National Objective (HCD USE)
(LMJ) Low/mod job creation and retention
National Objective (BA)
(LMJ) Low/mod job creation and retention
Section II
Measure Indicator (ED)
Jobs
Detailed information on performance measurements can be located in HUD’s Basically CDBG manual, Chapter 13. https://files.hudexchange.info/resources/documents/Basically-CDBG-Chapter-13-Performance-Measurement.pdf Number of Beneficiaries
12 Please indicate the proposed number of beneficiaries of this activity.

LMA - Number of LMI persons in service area that will benefit.

LMC - Number of LMI persons that will benefit
LMH - Number of households that will benefit
LMJ - Number of jobs created/retained
Presumed Benefit Types
Additional Benefit Types
Single Adults, Single Men, Single Women, Families
Section III
Project Title
City of Ukiah Business Assistance Program
Organization Name
City of Ukiah
Is this acitivity in a Colonia?
No
Is this acitivity for a non-Federally recognized Native American tribe? No
For a list of Federally recognized Native American tribes in California please see https://www.ncsl.org/research/state-tribal-institute/list-of-federal-andstate-recognized-tribes.aspx. For more information see the Governor’s Office of the Tribal Advisor at https://tribalgovtaffairs.ca.gov/.

City of Ukiah
20-CDBG-12041

Page 1 of 172 ends
Page 404 of 792 ends

Project/Program Census Location
The Census information in this section will be used for legislative and congressional district tracking. Please use the Census information of your primary facility or the designated address of the responsible organization. If you are doing a LMA activity, you will be asked to provide additional Census information specific to your service area. It is ok if the information is duplicative.

Use the HUD LMSI mapping tool located at https://hud.maps.arcgis.com/apps/webappviewer/index.html?id=ffd0597e8af24f88b501b7e7f326bedd to gather the required census tract information as identified by the address below. For instructions on using the mapping tool visit:
https://hud.maps.arcgis.com/home/item.html?id=ffd0597e8af24f88b501b7e7f326bedd Identify the census location data for the administrative entity of this application (if this is a county use the County Administration building, if this is a city use City Hall or an administrative facility).

County Code
045
Census Tract
116
Census Block Group(s)
01 Address
300 Seminary Ave. Ukiah, CA 95482
Section IV
Activity Address
City of Ukiah incorporated area - 300 Seminary Ave. Ukiah, CA 95482 Activity Description
The City of Ukiah proposes the funding of a Business Assistance (BA) Revolving Loan Program through the CDBG 2019-2020 NOFA for businesses located in the city. The proposed BA Loan Program is a continuation of a successful BA Loan program most recently funded by CDBG grant #16-CDBG-11147 and CDBG Program Income. With an expenditure rate of 85% and full expenditure of Program Income, the 2016-2019 CDBG BA Loan Program resulted in the funding of three loans to businesses, creating 14 jobs and retaining 9. Two of the loans funded through the 2016-2019 program were for anchor downtown businesses, revitalizing areas of the downtown and leading to positive economic spillover impacts to neighboring retail and restaurant businesses in Ukiah.

City of Ukiah staff, working with the City’s procured program operator and underwriter, Community Development Services, have modified the 2016-2019 CDBG BA loan program for the 2019-2020 CDBG NOFA application round. The purpose of the newly modified program is to provide flexible low interest forgivable (and amortized, where applicable) loans to small and medium sized businesses in Ukiah to offset the negative impacts of the COVID-19 Shelter in Place (SIP) order, assisting these businesses with financial recovery. Where needed, the City's CDBG BA program will also assist businesses start up and/or expand. The repayment schedule for each loan will be based on an analysis of the anticipated debt service capacity of the business during the COVID-19 recovery period.

Loan forgiveness will be based on the business retaining full time equivalent positions of which 51% are to be filled by members of low/moderate income households during the recovery period. Loan payments may be deferred for a period of time based on a month by month annual financial forecast of debt service capacity utilizing the required six HUD CDBG underwriting criteria. A key element of this analysis will be a review of the past two years of business tax returns, to determine past business viability, and a review of recent in-house, bookkeeper, or CPA-prepared profit and loss and balance sheet statements measuring the impacts of the Shelter in Place order on the business.

At least eight businesses will be assisted with 2019-2020 CDBG BA loan funds, leading to the creation and/or retention of at least 12 jobs for the benefit of low/moderate-income persons. City of Ukiah staff will administer the program and assist its program operator in the implementation of the program.

In order to provide additional technical and objective expertise, the program operator will utilize the services of the regional Northern California Small Business Development and Finance Center to help the borrower (business owner) prepare the one year forecast statements and to assist with the financial evaluation process. The business owner will prepare the forecast with assistance from the NorCal SBDC Finance Center consulting team.

Please note: Because the City's Business Assistance program is anticipated to be used at least in part for COVID-related financial recovery assistance, the City and its program operator CDS will insert language within the Business Assistance program application to minimize duplicating funding sources/benefits for the same activity. This is discussed further in the Activity Implementation Plan Narrative attached within the Threshold Section.

City of Ukiah
20-CDBG-12041

Page 2 of 172 ends
Page 405 of 792 ends

Enter a detailed description of your activity which should include at a minimum: what the activity is, why it is needed, who the beneficiaries will be, where will it take place, how it will be done and when it will be complete. This should be a similar description provided for the NEPA. Additionally, please indicate if this will be a new activity, a modification to an existing activity, or if a new type of assistance will be added to an existing activity.

By completing the narratives below the applicant is demonstrating a knowledge of need for the activity and the steps needed to achieve the desired outcome.

Detailed Scope of Work - Task Narrative
The CDBG Business Assistance loan program will be administered by staff of the City of Ukiah Community Development Department and implemented by the City's program operator, Community Development Services (CDS), with implementation assistance from City staff. A detailed task narrative, listing steps and an approximate timeline for implementation, is provided below. With the exception of #1, all narrative steps are to be immediately implemented after standard agreement general and special conditions have been approved by HCD.

1. City staff secure approval of draft Business Assistance program guidelines from Ukiah City Council- by August 26, 2020.

2. Concurrently, CDS markets program and provides outreach via email and phone to banks and public/non-profit lending institutions that participated in the program survey (see Market Analysis and Survey Process below), as well as the Ukiah Chamber of Commerce- by September 1, 2020. Marketing efforts will also include the preparation and posting of program fact sheet flyers on the City's web page and Facebook page and the Ukiah Chamber of Commerce website.

3. Begin processing loan applications- by September 1, 2020.

4. Continue marketing the program, including meeting with local lenders and partners, and utilizing other referral resources such as WEST Business Development Center and Visit Ukiah- ongoing, throughout program operation.

5. Process and underwrite loans; and secure loan approval from City of Ukiah Loan Committee- from September 1, 2020 to March 1, 2022.

6. Close loans to at least eight businesses, creating and/or retaining at least 12 jobs for low/moderate-income persons- by March 1, 2022.

7. Present performance and accomplishments to Ukiah City Council for review and approval- by March 16, 2022.

8. Complete closeout requirements and submit final closeout package to HCD- by March 31, 2022.

The City expects to submit monthly funds requests, loan set-up/completion reports, and other required reports throughout the BA loan program implementation period.

Provide a detailed narrative describing the steps to be taken to complete the activity. (i.e.: Task 1- create marketing plan; Task 2- hold a town hall meeting; Task 3- analyze feedback… etc.). This task narrative should indicate your knowledge of the steps and actions necessary to complete your activity. Narrative should include all actions taken to reach readiness through actions necessary for closeout.

Detailed Scope of Work - Deliverable Narrative
Deliverable 1- City Council-approved Business Assistance program guidelines- by August 26, 2020.

Deliverable 2- Business Assistance program fact sheet flyers, Facebook and web page program fact sheet posts- by September 1, 2020.

Deliverable 3- Close loans to at least eight businesses, creating and/or retaining at least 12 jobs for low/moderate-income persons- by March 1, 2022.

Deliverable 4- Complete closeout package and present performance and accomplishments report to Ukiah City Council- by March 16, 2022.

Deliverable 5- Complete all required funds requests, quarterly and/or semi-annual reports, annual performance reports, and setup/completion reports throughout the grant period, finishing with the final closeout package to HCD by March 31, 2022.

Provide a detailed narrative describing the deliverables that will be completed as part of this activity. (i.e.: Deliverable 1- marketing plan; Deliverable 2- town hall meeting minutes; Deliverable 3- labor compliance files… etc.). This deliverable narrative should indicate your knowledge of the documentation necessary to monitor and evaluate activity compliance. These documents should be part of your project file and will be reviewed as part of your onsite monitoring.

Section V
Will you need more than 30 days after the expenditure deadlines to complete your activity reporting? No
Will you need more than 30 days after the expenditure deadline to complete your beneficiary reporting, for example; reporting for activities that are in support of housing or economic development where it is likely that there will be a time gap between completion of the activity and reportable beneficiaries.

Do you want to include additional optional milestones?
No
If you selected YES, please provide each milestone for the project as well as the anticipated completion date. There are spaces for 10 milestones, however only the first and last are mandatory. The first milestone is the proposed activity start date and the last milestone is the proposed notice of completion or completion date of the activity. Additional milestones are optional. Milestones provided in this section will become part of the Standard Agreement.

City of Ukiah
20-CDBG-12041

Page 3 of 172 ends
Page 406 of 792 ends

Milestone #1
Follow up on existing relationship with lenders. Market the loan program by way of Ukiah Chamber of Commerce and local lenders and partners. Begin processing loan applications.

Milestone #1 Completion Date
09/01/2020
Confirmation of Closeout - Milestone #10
Fully complete eight loan closings. Due to the successful history of the City's CDBG business loan program and the ongoing relationship between CDS and local and regional lenders we anticipate that the loan program will be fully utilized within 12-18 months of startup.

Confirmation of Closeout - Milestone #10 Completion Date 03/01/2022
Readiness Criteria
Have you met the state objective for Disaster Resiliency Long-Term Planning? Yes
Upload the plan
State Obj Doc- Disaster Resiliency.Ukiah.pdf
Have you met the state objective for Fair Housing- Access to Opportunity? Yes
Upload documentation showing how you met this objective State Obj Doc- Fair Housing.Ukiah.pdf
Do you have a completed Market Analysis?
Yes
Upload Market Analysis
Market Analysis and Survey- City of Ukiah BA loan program.pdf Understanding of Market Conditions and Opportunities by Market Segment Survey Analysis
Use the following link U.S. Census - County Business Pattern (CBP) (free source) ( http://www.census.gov/programs-surveys/cbp.html)
to determine the number of businesses by industry category using the 2 digit North American Industry Classification System (NAICS) code level breakdown. Information on the CBP website is only available in a list format. From the CBP website click on the American Fact Finder link and the “Main” tab to obtain additional information and instructions on how to use the American Fact Finder business patterns search tool. Analyze the business segments for the most recent 3 years describing increases, decreases, or stability in number of businesses by segment and employment category. Local businesses surveyed to determine demand. For Micro-Enterprise, use businesses with 5 or fewer employees in your evaluation.

Identifying and Analyzing Lending Opportunities and Competitors Identifying all (other) private and public lending sources serving the market area to determine, Determine and confirm that financing program will fill the financing gaps in the market Look for the following from other lending opportunities:

1. Types of lending products offered.

2. Types of businesses inquiring/obtaining financing.

3. Types of businesses not meeting lender requirements

4. Minimum and maximum loan amounts.

5. Typical loan terms & interest rates.

6. Allowable uses of funds.

7. Collateral requirements.

8. Level of equity contribution required for loan-to-value (LTV).

Demand projections and conclusions
Determine number and average size of loans, Validate requested funding, Third party documentation and references Use the analysis to determine the scope number size of applications and potential loans for the program and validate the amount of money being requested as part of this application.

Upload Loan Underwriting and Servicing Documentation
Debt Coverage Ratios, Collateral standards or requirements, Credit standards or requirements, Loan servicing plan City of Ukiah
20-CDBG-12041

Page 4 of 172 ends
Page 407 of 792 ends

HUD’s overview of economic development underwriting can be located in the HUD Economic Development Toolkit, Chapter 9 Economic Development Toolkit, Chapter 11 and Appendix A to Part 570 (https://www.law.cornell.edu/cfr/text/24/appendix-Atopart_570).Toolkits can be found here:
https://files.hudexchange.info/resources/documents/Economic-Development-Toolkit-Manual.pdf Upload Underwriting Requirements
CDBG Underwriting Requirements- City of Ukiah BA Loan Program.pdf Threshold Criteria
Are you looking to start a new program, modify an ongoing program, or add a new type of assistance to an existing program?
Modify ongoing
Please include a narrative describing your staff and/or contractor/subrecipient expertise CDBG Business Assistance Program General Administration Craig Schlatter, Community Development Director for the City of Ukiah, will provide general administration activities for the CDBG Business Assistance loan program standard agreement. He will also assist the procured program operator in implementing the program. Mr. Schlatter has nearly 14 years' experience with the State CDBG program and has administered and implemented multiple community and economic development and housing activities through CDBG grants and Program Income- both for the City of Ukiah and for other non-entitlement communities throughout Northern California. Mr. Schlatter's experience includes involvement in each phase of administration and implementation of CDBG grant activities, from program and project scoping and design, to grant application preparation, project/program general set-up, implementation of the activity, and closeout. Mr.

Schlatter has extensive training through HUD San Francisco's NEPA Environmental Review preparation courses and serves as the City's Certifying Officer. Mr. Schlatter has also been trained and has experience in performing Davis Bacon Prevailing Wage monitoring services. Mr. Schlatter designed the City's first CDBG Business Assistance loan program, formerly known as the Revitalizing Business Investment and Lending Development (ReBILD) program, and funded by CDBG grant #10-EDEF-7261.

Alicia Tlelo Martinez, Assistant Planner and Mary Horger, Financial Services Manager, will assist Mr. Schlatter in the processing of funds requests and reporting responsibilities related to the CDBG Business Assistance program. Ms. Tlelo has experience in housing and community development activities at both a locally based housing nonprofit development company and the City of Ukiah. She has managed the City's CDBG and HOME loan portfolio since 2019 and assists Mr. Schlatter with the preparation of funds requests, invoices, and reports. Ms. Horger has significant experience in budgeting, accounting, and financial functions supporting state and federal grants, special projects, and large public capital improvement projects.

See attached City staff resumes for additional details.

Implementation of CDBG Business Assistance Loan Program (Activity Delivery) The City has procured the services of an experienced and qualified program operator to implement the business loan program.

This organization, Community Development Services, will be responsible for loan origination, working directly with banks, local public lenders, the Business Development Center, and the NorCal SBDC Finance Center, preparing the loan proposals, completing loan closing documentation, assisting the City with loan servicing, and arranging ongoing technical assistance to loan recipients.

Community Development Services (CDS), established in 1990 by Jeff Lucas, is an experienced economic development, underwriting/business lending, business services, housing program, and community outreach consulting firm. CDS works on behalf of both public and private sector clients. CDS specializes in project-specific grant acquisition, loan program management, direct services to businesses, and community outreach and education. They have obtained over $100 million from Community Development Block Grant (CDBG), Economic Development Administration (EDA), United States Department of Agriculture (USDA), Workforce Training, private sector, banking institutions, and other sources, on behalf of their clients.

CDS provides in-depth technical assistance to small and mid-sized businesses in the areas of cash flow management, personnel development, business expansion management, market analysis, customer service, and product/services development. Their team also provides project coordination and liaison services between public and private entities, project feasibility analysis, presentations to communities, strategy development, staff training, and program administration services. CDS staff describes what they like the most is "accessing financing for our clients." See attached Statement of Qualifications for additional details.

Do you have a signed agreement with a contractor/subrecipient? Yes
City of Ukiah
20-CDBG-12041

Page 5 of 172 ends
Page 408 of 792 ends

Supporting Documentation
City of Ukiah-CDS Contract.pdf
Supporting Documentation
City staff resumes and CDS Statement of Quals- Ukiah BA Program.pdf The Subrecipient Agreements must meet the requirements of 24 CFR §570.503: https://www.law.cornell.edu/cfr/text/24/570.503 Contracts must be in compliance with 2 CFR §§200.317-200.326:. https://www.ecfr.gov/cgi-bin/text-idx?node=2:1.1.2.2.1.4.31&rgn=div7 Contracts should include language required in Appendix 2 of 2 CFR 200: https://www.law.cornell.edu/cfr/text/2/appendix-IItopart_200 Can you certify that the funding requested is gap funding? Yes
Upload proof of certification
Gap Funding Cert- City of Ukiah BA Loan Program.pdf
Additional proof of certification
SBDC Support Letter Signed.pdf
Additional proof of certification
Additional proof of certification
Additional proof of certification
Do you have adopted or draft:

Program guidelines, Activity implementation plan
To meet threshold requirements applicants must have at least one of the following four documents. Plans that have been approved for other funding organizations are acceptable.

Program Guidelines- (NOTE: For all housing loan and economic development programs DRAFT program guidelines are mandatory). A grantee must develop and follow a detailed plan which details the rules and regulations under which the program will operate.

Activity Implementation Plan- An implementation plan is the document that you use to define your implementation strategy. It outlines the activities and decisions necessary to turn the strategic goals into reality, and the execution plan is a schedule of concrete actions and activities to achieve goals and drive success.

Strategic Plan- A document that articulates both the decisions made about the organization's goals and the ways in which the organization will achieve those goals.

Operating Plan- An operating plan can be defined as a plan that clearly defines actions it will take to support the strategic objectives and plans of upper management.

Upload your adopted or draft program documentation
City of Ukiah BA Loan Program Guidelines (Draft).pdf
Upload additional adopted or draft program documentation Activity Implementation Plan- City of Ukiah BA loan program.pdf Upload additional adopted or draft program documentation Upload additional adopted or draft program documentation Description of site control of the facility or means to conduct the services N/A
Upload your Site Control Supporting Documentation
Site Control Doc- City of Ukiah BA Loan Program.pdf
Upload your Debarment Check
City of Ukiah Debarment Check.pdf
Upload additional Debarment Check documentation
2020 SAM document.pdf
Upload additional Debarment Check documentation
City of Ukiah
20-CDBG-12041

Page 6 of 172 ends
Page 409 of 792 ends

Upload additional Debarment Check documentation
Upload additional Debarment Check documentation
Upload additional Debarment Check documentation
Upload your Statement of Assurances and Compliance with 2 CFR Part 200 Appendix J-2020 CDBG Application Certifications-signed.pdf Citizen Participation - Have you met all Public Hearings/Citizen Participation requirements? Yes
Upload Citizen Participation Proof of Public Notice
City of Ukiah Proofs of Publication- App Submittal and Design Phase.pdf Upload Public meeting/hearing presentation/handout materials Description.agenda.report-Ukiah App Submittal Public Hearing.pdf Upload Public meeting/hearing presentation/handout materials Description.minutes.handouts- Ukiah Local App-Design Phase process.pdf Per 24 CFR §570.486 https://www.law.cornell.edu/cfr/text/24/570.486 the public notice should contain at the minimum, the amount of CDBG funds being requested, the amount of PI funds being used (if applicable), the range of activities that will be performed, the address, phone number, and times of the meeting.

Upload Approved Resolution for Application
CC Reso 2020-43 - Approving Grant Application to CDBG.pdf Upload CA TIN Verification form
GovtTINForm_000 City of Ukiah-signed.pdf
Are all single audit findings cleared or in remediation? N/A (no audit finding or not required to submit single audit) Upload your most current single audit, if applicable
OMB single audit cert- CDBG.pdf
Are all program monitoring findings cleared or in remediation? N/A (no monitoring findings or no recent monitoring completed) Have any Department of Housing and Community Development monitoring findings been resolved or is there an approved remediation plan in effect? If you have not been monitored in the last five years, select N/A. If you are unsure if your prior findings have been resolved please contact your program representative.

Are you in compliance with all exisiting HCD award agreements? Yes
Have funds due to the state for repayment of non-compliance items have been repaid? Or have you entered into a satisfactory repayment agreement, and payments are current? N/A (no funds due for re-payment)
Have you expended at least 50 percent of open CDBG funds in this same activity? N/A
Do you have any overdue semi-annual or annual grant reports? No
NEPA Compliance required the appropriate level of NEPA review, documented in an EA, CEST, CENST, or Statement of Exemption for the activity, and a Statement of Exemption for the general administration of the activity. Please make sure to upload both if applicable.

Upload proof of NEPA Compliance
Ukiah BA- NEPA ER and updated CENST.pdf
Upload additional proof of NEPA Compliance
Ukiah BA general admin- NEPA ER and updated CENST.pdf
City of Ukiah
20-CDBG-12041

Page 7 of 172 ends
Page 410 of 792 ends

Upload additional proof of NEPA Compliance
City of Ukiah RROF- BA Loan Program.pdf
Upload additional proof of NEPA Compliance
Upload additional proof of NEPA Compliance
Upload additional proof of NEPA Compliance
Upload the Environment Review form and essential supporting documentation including consultation letters, mitigations conditions of approval or other documents. Please do not upload the entire environmental review record if it is more than 50 pages. Do upload any noticing FONSI/RROF or NOIRROF and Authorization to Use Funds if available that corresponds with the activity’s appropriate level of review. Acceptable formats of these forms can be located at https://www.hudexchange.info/programs/environmental-review/. To determine the correct level of review go to HUD’s environmental review overview page https://www.hudexchange.info/programs/environmental-review/orientation-to-environmental-reviews/#overview. Please make sure your Environmental Review is definitive in findings and that the project description matches the project description in this application. Environmental Reviews with qualified findings that do not adequately or correctly identify mitigations that did not complete required consultations, or that have other material deficiencies may result in disqualification.

Has your housing element been submitted to HCD?
Yes
Upload your housing element proof of submittal
Ukiah Review Letter - Adopted FINAL (HCD Certification).pdf Have you enacted limitations on residential construction other than establishing agricultural preserves or limitations based on health and safety needs?
No
Applicant must be in compliance with HSC §25395.99 https://codes.findlaw.com/ca/health-and-safety-code/hsc-sect-25395-99.html. For more information about Land-Use Controls please visit https://www.hcd.ca.gov/community-development/building-blocks/constraints/land-use-controls.shtml.

Average Score

0.00 Budget Worksheet
Have you completed and submitted your budget worksheet? Yes
Upload activity budget documentation (spreadsheet)
Activity Budget- City of Ukiah BA Loan Program -09.17.2020.xlsx Upload cost allocation plan (if applicable)
Upload other budget documentation
Activity Budget Narrative- City of Ukiah BA Loan Program 09.17.2020.pdf Budget narrative should include information about activity viability if the project is only partially funded. For instance can the project scope be reduced the number of beneficiaries be reduced, can the project be scaled to the amount of funding available. Include budget information that describes your activity budget as uploaded. Make sure the budget narrative has a relationship to the tasks and deliverables described above. 15. Make sure there is not help text on extra uploads
View Budget Worksheet
https://portal.ecivis.com/#/peerBudget/D91E85DB-DBC2-4B06-A668-B20B6C262256 # of Reviews
1 # of Denials
0 Original Submission Date (for re-submissions)
05/31/2020
Section VI - Budget
Applications: File Attachments
City of Ukiah
20-CDBG-12041

Page 8 of 172 ends
Page 411 of 792 ends

Upload Market Analysis
Market Analysis and Survey- City of Ukiah BA loan program.pdf Upload Underwriting Requirements
CDBG Underwriting Requirements- City of Ukiah BA Loan Program.pdf Supporting Documentation
City of Ukiah-CDS Contract.pdf
Supporting Documentation
City staff resumes and CDS Statement of Quals- Ukiah BA Program.pdf Upload proof of certification
Gap Funding Cert- City of Ukiah BA Loan Program.pdf
Additional proof of certification
SBDC Support Letter Signed.pdf
Upload your adopted or draft program documentation
City of Ukiah BA Loan Program Guidelines (Draft).pdf
Upload additional adopted or draft program documentation Activity Implementation Plan- City of Ukiah BA loan program.pdf Upload your Site Control Supporting Documentation
Site Control Doc- City of Ukiah BA Loan Program.pdf
Upload your Debarment Check
City of Ukiah Debarment Check.pdf
Upload additional Debarment Check documentation
2020 SAM document.pdf
Upload your Statement of Assurances and Compliance with 2 CFR Part 200 Appendix J-2020 CDBG Application Certifications-signed.pdf Upload Citizen Participation Proof of Public Notice
City of Ukiah Proofs of Publication- App Submittal and Design Phase.pdf Upload Public meeting/hearing presentation/handout materials Description.agenda.report-Ukiah App Submittal Public Hearing.pdf Upload Public meeting/hearing presentation/handout materials Description.minutes.handouts- Ukiah Local App-Design Phase process.pdf Upload Approved Resolution for Application
CC Reso 2020-43 - Approving Grant Application to CDBG.pdf Upload CA TIN Verification form
GovtTINForm_000 City of Ukiah-signed.pdf
Upload your most current single audit, if applicable
OMB single audit cert- CDBG.pdf
Upload proof of NEPA Compliance
Ukiah BA- NEPA ER and updated CENST.pdf
Upload additional proof of NEPA Compliance
Ukiah BA general admin- NEPA ER and updated CENST.pdf
Upload additional proof of NEPA Compliance
City of Ukiah RROF- BA Loan Program.pdf
Upload your housing element proof of submittal
Ukiah Review Letter - Adopted FINAL (HCD Certification).pdf Upload activity budget documentation (spreadsheet)
Activity Budget- City of Ukiah BA Loan Program -09.17.2020.xlsx Upload other budget documentation
Activity Budget Narrative- City of Ukiah BA Loan Program 09.17.2020.pdf City of Ukiah
20-CDBG-12041

Page 9 of 172 ends
Page 412 of 792 ends

2019-2020 CDBG APPLICATION

BUSINESS ASSISTANCE PROGRAM
Business Loan Program Market Analysis and Description of Survey Process The City of Ukiah CDBG Business Assistance loan program design is based on HCD and HUD guidelines as well as interviews and working directly with commercial for loan officers for twenty years prior to, and during the Shelter in Place Order. The City’s program operator worked with each of these banks and public sector lenders during the past sixty days, assisting 65 businesses with understanding and completing the SBA Payroll Protection Plan and Economic Injury Disaster Loan applications. These loan programs have been difficult to implement on many levels, having been hastily conceived with underdeveloped delivery platforms. In spite of this, the loans have been getting to Ukiah’s local businesses and making a difference in their survival. The City loan program is designed to provide access to low cost capital in order to bridge the gap between the Payroll Protection Plan and Economic Injury Disaster Loan programs and the conventional financing available from our local and regional banks.

The outcome of this past and most recent experience combined with follow up interviews with lenders is a consensus that there is a need for loans in the range of $35,000 to $70,000 for the purpose of providing general business working capital, inventory purchases, equipment for future PSPS events, or other uses, and the refinancing of past high interest debt. These loans should be targeted to small and medium sized businesses and can be used in companion with other lenders to leverage funds.

According to the 2019 Community Reinvestment Act Report provided by Savings Bank of Mendocino County, 63% of the commercial loans made in Mendocino County to small and medium sized businesses were in an amount less than $100,000. We reviewed this finding with Umpqua Bank loan officers and Bank of the West loan officers who verified that a majority of loans to small and medium sized businesses were in an amount of less than $100,000. We also interviewed management with Redwood Credit Union, which serves Sonoma, Lake, and Mendocino counties. They also concurred that there will be an increased need for loans in the range of $35,000 to $70,000 as we navigate through the recovery period.

In late 2019, the Federal Reserve bank conducted an annual National Small Business Credit Survey for the purpose of determining how small businesses were planning to stay afloat during uncertain times. The survey, focusing on profitability, credit risk, and business funding, provided information indicating if a business was healthy (profitable, high credit scores, and used retained business earnings to fund the business), or stable, City of Ukiah
20-CDBG-12041

Page 10 of 172 ends
Page 413 of 792 ends

where the business met two of these criteria, or at risk, where the business only met one of the criteria. An important finding was that only one in five healthy firms had sufficient cash reserves to continue normal operations if they experienced a two-month revenue loss. The survey found that 35% of the business survey were healthy, 35% were stable, and 23% were at risk. Clearly, since more than two months have transpired since the Shelter in Place order has been in place, we can surmise that many of the stable firms now have a financial gap because their asset base has eroded. No cash flow for small non-essential businesses, especially small businesses, has created a financing gap that cannot be filled with conventual financing or further personal investment.

Over the past ten years, since the recession of 2008/09, local banks have adjusted as much as possible to the need for Line of Credit financing. For example, a small business owner with a reasonably good credit history, can obtain an unsecured Line of Credit for working capital up to $35,000 at a rate of prime plus 3%. The average application fee is $150, with an approval turnaround time of about two weeks. The annual fee for using a LOC averages $150, plus the interest on funds drawn down. This loan tool is typically not available or is too expensive to access or maintain for businesses whose asset base has eroded during the past two months. The Ukiah Business Loan Program can fill that funding gap.

In spite of the availability of the SBA programs, recent Federal Deposit Insurance Corporation (FDIC) data suggests that the reduction of credit availability to small business is more profound than bigger businesses, which can borrow money in the capital markets, while small businesses are limited to credit that is provided by banks. Unfortunately, many local and regional banks are tightening up their lending criteria during the COVID19 recovery period to mitigate their risk. This means that credit score requirements will be higher, loan to value ratios will require higher security values, and secondary sources of repayment will receive a higher level of scrutiny. This lending environment will continue indefinitely. Therefore, the availability of low interest flexible financing can fill this emerging conventional lending criteria gap as well.

For the City of Ukiah, based on interviews with city staff and the manager of the Ukiah Chamber of Commerce, there is a need for flexible financing targeted to anchor businesses in the downtown area that generate foot traffic and increased activity upon which nearby retail and service businesses benefit. These anchor businesses are often restaurants, which will most likely have the longer recovery time due to the recovery phasing process requirements. Also, several loan officers expressed concern for the service businesses like barber shops, salons, spas, and fitness gyms due to the phasing process rules of social distancing. These businesses will receive targeted outreach early in the implementation of the loan program, with subsequent businesses being assisted on a first come first serve basis.

Overall, the availability of flexible financing based on CDBG underwriting standards combined with very flexible repayment schedules will be needed until the economy recovers. In short, the City business loan program will fill lending gaps in the community City of Ukiah
20-CDBG-12041

Page 11 of 172 ends
Page 414 of 792 ends

to small and medium sized businesses and provide working capital financing using a low interest, extended term loan structure to do so.

The primary gap for the program that the other lenders cannot meet is in reduced interest rate, deferred payment schedules, extended repayment terms, and debt forgiveness based on job retention. It all goes back to the debt service capacity of the borrower and preparing a repayment schedule based on the businesses ability to repay the debt. The other gap is in the ability of the CDBG program to take a junior lien position behind the primary lenders. This capacity is very important due to the reduced value of real property caused by the Shelter in Place order. This characteristic of the loan program is very appealing to conventional lenders because it allows them to take a first lien position in situations where companion loans can be provided to a business.

Survey Process and Outcomes for the Ukiah Business Loan Program The survey process to determine the need and structure of the proposed CDBG Business Loan Program was implemented during the period of April 1, 2020 through May 22, 2020.

The survey was conducted by Jeff Lucas, principal owner of Community Development Services (CDS), acting on behalf of the City of Ukiah. CDS conducted survey interviews with five local and regional conventional lenders- Savings Bank of Mendocino County, Bank of the West, Umpqua Bank, West America Bank, Redwood Credit Union, and TriCounties bank. CDS also interviewed two public nonprofit business loan organizations, The Economic Development Finance Corporation of Mendocino County, and the Arcata Economic Development Corporation.

These lenders were selected due to their high volume of loans in and around the City of Ukiah as well as their awareness of the City CDBG Business Loan Program from past lending interactions. The lender most active with the City CDBG Business Assistance Program is Savings Bank of Mendocino County. The most recent addition to commercial lending in Ukiah is Redwood Credit Union. These lenders were selected to participate in the interview surveys because of their familiarity with the business and lending environment in Ukiah.

Due to the Shelter in Place order, the interviews were conducted by telephone. The interviews were conducted with the senior loan officers with each local branch institution.

In the case of Umpqua Bank, the interview was conducted with their commercial lending and government lending division based in Eureka. This was done after interviewing local bank relationship officers who acknowledged limited authority to approved loans and a preference for discussions to be held with their underwriting team based in Eureka.

After introductions, explaining how the CDBG business loan program works, and stating the purpose of the call and interview, Mr. Lucas asked four questions, which were:

1. What is the loan size range that could best fill the gap you see for small business lending?
City of Ukiah
20-CDBG-12041

Page 12 of 172 ends
Page 415 of 792 ends

2. Do you see a need for low interest long term repayment scheduled loans with a possible forgiveness of the loan balance after a two-year period?

3. Will your bank be tightening credit requirements during the COVID-19 recovery period?

4. Do you support and will you refer businesses to the City program if it is funded? At the conclusion of the survey interview, Mr. Lucas asked for any comments or recommendations for the program. The outcome of these interviews is summarized within the market analysis (above). In addition, CDS reviewed information provided from the Savings Bank of Mendocino County Community Investment Act Report for 2019, and information provided in the annual Small Business Survey conducted by the Federal Reserve Bank in order to provide a local and national context and validation of the need for the program. The results of that research are also described in the market analysis.

CDS interviewed the new manager of the Ukiah Chamber of Commerce regarding her observation of need for small business financing and thoughts regarding which businesses to target the program to. Her responses were insightful and were provided as part of the market analysis.

City of Ukiah
20-CDBG-12041

Page 13 of 172 ends
Page 416 of 792 ends

2019-2020 CDBG APPLICATION

BUSINESS ASSISTANCE PROGRAM
Underwriting Requirements Documentation
The City of Ukiah is proposing to utilize CDBG 2020 NOFA funds for the purpose of establishing a business assistance revolving loan fund. The purpose of the revolving loan fund is to provide flexible low interest forgivable loans to small and medium sized businesses in the City of Ukiah to offset the negative impacts of the COVID-19 Shelter in Place (SIP) order and to assist these businesses with financial recovery. The repayment schedule for each loan will be based on an analysis of the anticipated debt service capacity of the business during the COVID-19 recovery period.

Loan forgiveness will be based on the business retaining full time equivalent positions of which 51% are to be filled by members of low/moderate income households during the recovery period. Loan payments may be deferred for a period of time based on a month by month annual financial forecast of debt service capacity utilizing the required six HUD CDBG under writing criteria.

In addition to documenting that the project meets CDBG public benefit standard, the loan must also be documented as meeting six HUD CDBG underwriting standards, per federal regulation 24 CFR Part 570.483(e). These underwriting standards are required to document a minimum “due diligence” of the City and ensure projects are financially sound enough to meet public benefit and national objective job retention standards. The six underwriting standards are general, qualitative, and are supported in part by commercial underwriting standards defined below.

The Six Underwriting Standards are:
 project costs are documented as reasonable (typically, third party cost estimates);  all sources of funding for the project are documented with final commitments;  to the extent practicable, CDBG funds are not substituted for private (non-federal) funds;
 documentation that project is financially feasible (based on cash flow projections to support jobs and debt service, etc.);
 to the extent practicable, the return of the owner’s equity investment is not unreasonable (based on level of equity and proposed CDBG loan terms);  to the extent practicable, CDBG funds are disbursed on a pro-rata basis with other financing provided for the project.

City of Ukiah
20-CDBG-12041

Page 14 of 172 ends
Page 417 of 792 ends

A key element of this analysis will be a review of the past two years business tax returns, to determine past business viability, and a review of recent in house, bookkeeper, or CPA prepared, profit and loss and balance sheet statements measuring the impacts of the Shelter in Place order on the business. The next step will be the development of a month by month one-year financial forecast, based on the business history, combined with the evolving relaxation of the order on the business future cash flow. The forecast will determine the loan repayment and loan deferral schedule.

The loan fund design is based on meeting CDBG National Objective and Public Benefit requirements in the COVID-19 recovery period. It is based on the retention of jobs. It is also designed to complement existing local and regional lending activities by filling a gap in the availability of low interest, flexible business loans. The program will provide loan funds in cooperation with private lenders, including Umpqua Bank, Tri Counties Bank, Bank of the West, West America Bank, and Savings Bank of Mendocino County. These banks will provide referrals to the city loan fund operator. The nonprofit lenders, which include Mendocino Economic Development Finance Corporation, the Arcata Economic Development Corporation, and the SBA, will also provide referrals to the program. Our goal will be to arrange companion loans when possible to leverage other loan funds and extend the City loan program capacity to serve more businesses.

City of Ukiah
20-CDBG-12041

Page 15 of 172 ends
Page 418 of 792 ends

City of Ukiah
20-CDBG-12041

Page 16 of 172 ends
Page 419 of 792 ends

City of Ukiah
20-CDBG-12041

Page 17 of 172 ends
Page 420 of 792 ends

City of Ukiah
20-CDBG-12041

Page 18 of 172 ends
Page 421 of 792 ends

City of Ukiah
20-CDBG-12041

Page 19 of 172 ends
Page 422 of 792 ends

City of Ukiah
20-CDBG-12041

Page 20 of 172 ends
Page 423 of 792 ends

City of Ukiah
20-CDBG-12041

Page 21 of 172 ends
Page 424 of 792 ends

City of Ukiah
20-CDBG-12041

Page 22 of 172 ends
Page 425 of 792 ends

City of Ukiah
20-CDBG-12041

Page 23 of 172 ends
Page 426 of 792 ends

City of Ukiah
20-CDBG-12041

Page 24 of 172 ends
Page 427 of 792 ends

City of Ukiah
20-CDBG-12041

Page 25 of 172 ends
Page 428 of 792 ends

City of Ukiah
20-CDBG-12041

Page 26 of 172 ends
Page 429 of 792 ends

City of Ukiah
20-CDBG-12041

Page 27 of 172 ends
Page 430 of 792 ends

City of Ukiah
20-CDBG-12041

Page 28 of 172 ends
Page 431 of 792 ends

City of Ukiah
20-CDBG-12041

Page 29 of 172 ends
Page 432 of 792 ends

City of Ukiah
20-CDBG-12041

Page 30 of 172 ends
Page 433 of 792 ends

City of Ukiah
20-CDBG-12041

Page 31 of 172 ends
Page 434 of 792 ends

City of Ukiah
20-CDBG-12041

Page 32 of 172 ends
Page 435 of 792 ends

City of Ukiah
20-CDBG-12041

Page 33 of 172 ends
Page 436 of 792 ends

City of Ukiah
20-CDBG-12041

Page 34 of 172 ends
Page 437 of 792 ends

City of Ukiah
20-CDBG-12041

Page 35 of 172 ends
Page 438 of 792 ends

City of Ukiah
20-CDBG-12041

Page 36 of 172 ends
Page 439 of 792 ends

City of Ukiah
20-CDBG-12041

Page 37 of 172 ends
Page 440 of 792 ends

City of Ukiah
20-CDBG-12041

Page 38 of 172 ends
Page 441 of 792 ends

City of Ukiah
20-CDBG-12041

Page 39 of 172 ends
Page 442 of 792 ends

City of Ukiah
20-CDBG-12041

Page 40 of 172 ends
Page 443 of 792 ends

City of Ukiah
20-CDBG-12041

Page 41 of 172 ends
Page 444 of 792 ends

City of Ukiah
20-CDBG-12041

Page 42 of 172 ends
Page 445 of 792 ends

CRAIG T. SCHLATTER
300 Seminary Avenue
Ukiah, CA 95482
(707) 463-6219
[email protected]

EXPERIENCE HIGHLIGHTS
CITY OF UKIAH Ukiah, CA
Director of Community Development 2017 – Present
 Direct the activities of the Community Development Department, consisting of the Divisions of Planning, Building, and Housing and supported by an operating budget of approximately $900,000 and six team members.
 Serve as the principal advisor to the Planning Commission, Design Review Board, Demolition Review Committee, Paths, Open Space and Creeks Commission, and City Council in planning and community development matters including the preparation and presentation of reports and recommendations.  Meet and engage with a variety of citizens, governmental representatives, technical experts, and developers on issues including traffic, facilities design, housing, parking, commercial/industrial development, zoning, and neighborhood improvement.
 Serve as the City’s Zoning Administrator, make authoritative interpretations of applicable laws, regulations, and policies pertaining to planning, environmental quality, zoning, and land use.  Oversee all CDBG, HOME, and Ukiah Housing Trust Fund community and economic development and housing activities, including application preparation and in-house activities implementation.

Accomplishments
 Developed the City’s 2019-2027 Housing Element, adopted by City Council in October 2019 and certified by HCD December 2019
 Secured $5.1 million in HOME project funds for new 30-unit affordable senior rental housing project  Secured a $160,000 SB2 Planning Grant Program award for streamlining housing production  Designed City of Ukiah’s first Housing Strategy (2017) with the Ukiah City Council, created the City’s Housing Division, and developed the Ukiah Housing Trust Fund  Completed the restructuring of the Community Development Department (formerly, the Community Development and Planning Department), prioritizing a focus on customer service.  Implemented a 2016 CDBG Business Assistance program, leading to 14 jobs created and 25 jobs retained; and delivering an 85% expenditure rate with full expenditure of Program Income  Assisted the City Council in the development of regulations and ordinances for accessory dwelling units and residential density
COMMUNITY DEVELOPMENT COMMISSION OF MENDOCINO COUNTY Ukiah, CA Development and Sustainability Manager 2013 – 2017
 Managed the Development and Sustainability Department, consisting of the operational areas of housing, community development, environmental planning, and housing facilities maintenance and supported by an approximately $2 million grant and operations budget and six team members  Directed the activities of a $1 million public-private electric utilities partnership that focused on delivering energy efficiency solutions to residents, small businesses and local government agencies, including residential and public facilities retrofits, climate planning and greenhouse gas emissions inventories, and environmental justice education
 Served as Lead Agency Certifying Officer for NEPA environmental reviews and Labor Standards Officer for Davis Bacon and Related Act prevailing wages monitoring Community Development Manager 2007 – 2012
 Oversaw HUD Capital Fund and public housing modernization activities; completed the rehabilitation or development of over 150 affordable housing units in Mendocino County  Designed and implemented approximately $5M in single- and multi-family housing rehabilitation programs and projects, first time homebuyer assistance programs, and new rental and homeownership construction projects for Commission, County of Mendocino, and City of Ukiah  Prepared CDBG, HOME, and other applications generating over $10M in new funding for Mendocino County jurisdictions; administered program and project activities City of Ukiah
20-CDBG-12041

Page 43 of 172 ends
Page 446 of 792 ends

Community Development Specialist (Intern/Fellow) 2006 – 2007  Closed 5 first time homebuyer loans for public housing homeownership program, serviced $1M CDBG and HOME residential loan portfolio, prepared NEPA environmental reviews for Capital Fund projects  Coordinated the $1M CDBG-funded reconstruction of an affordable housing apartment building STEVENSON CENTER FOR COMMUNITY AND ECONOMIC DEVELOPMENT Normal, IL Brownfields Redevelopment Fellow 2006
 Worked with USDA and US EPA to conduct environmental site assessments and funding analyses to determine redevelopment potential for brownfields sites; collaborated with professors and other Fellows to design redevelopment plans for IL communities

EDUCATION
ILLINOIS STATE UNIVERSITY Normal, IL
MS, Economics, Applied Community and Economic Development Sequence 2005 – 2007 • Developed, planned, and co-coordinated the University’s first Poverty Dialogue Forum • Emphasis in urban planning/community development, housing policy, and economic development BS, Economics/Political Science minor, Cum Laude 2000 – 2002

MILITARY EXPERIENCE
UNITED STATES MARINE CORPS Twentynine Palms, CA
Sergeant, Honorable Discharge 1996 – 2000

PROFESSIONAL ACTIVITIES AND AFFILIATIONS
Member, CALED Rural Exchange
Leadership Mendocino Class XXVI
Member, American Planning Association
Member, California CDBG Redesign Committee
Graduate, Disney Leadership Institute
City of Ukiah
20-CDBG-12041

Page 44 of 172 ends
Page 447 of 792 ends

300 Seminary Avenue, Ukiah, CA 95482
(707) 463-6268
[email protected]
May 20, 2020
Alicia Tlelo Martinez
Objective
Assistant Planner
Experience
8/2018-Current City of Ukiah Ukiah, CA
Assistant Planner/ Community Development
 Provides information to the public regarding the General Plan, zoning, application procedures, and current projects, etc. at the front counter, over the telephone and via email.
 Processes minor planning/development permit applications from start to finish, including conducting analysis, writing reports, and making verbal presentations to the City of Ukiah Zoning Administrator.
 Conducts field investigations related to planning permit applications.  Public Noticing for Planning Commission and Zoning Administrator.  Works with and provides basic technical support to various boards and commissions.  Prepares public information materials using various computer software programs.  Processes over the counter Building Permit applications and issue permits.  Input application information via Munis.
 Presentations and marketing related to the HOME First Time Homebuyer Program.  Various grant project set-up and completion reports related to HOME First Time Homebuyer Program and CDBG grants such as Business Assistance Loans and Microenterprise Technical Assistance Programs.
 Creating spreadsheets for monitoring and record keeping of various HOME and CDBG grant projects and their recipients.
 Process Quarterly Program Income Status Reports and Quarterly Program Status Reports to HOME and CDBG programs for previous and current grants. 3/2017-8/2018 City of Ukiah Ukiah, CA
Customer Service Representative III, Supervisor Finance Department  Conduct all phases of collection, notification and utility, water, sewer and garbage billing in the finance department.
 Produce and maintain utility billing statements, delinquent letters, collection notices, final notices & disconnect noticing for utility accounts on a weekly basis in compliance with Municipal & State Regulations.
 Answer difficult and complex customer inquiries and complaints over the phone and in person using independent judgement to resolve and report situations.  Maintain statistical records for financial assistance programs and audit utility assistance agencies.
 Maintain and update customer records daily.
 Analyze, reconcile and process credit card transactions and balance daily cash posting spreadsheets.
 Maintain and reconcile utility deposits.
 Operate various office machinery such as personal computers, complex billing computer software, mailroom equipment, ten-key adding machine, typewriter, copier and fax machine.
 Collect and process payments for the Building and Planning department.  Process Business Applications, assign license, collect payments and create files.  Supervise employees and provide back up in the absence of the department manager.

City of Ukiah
20-CDBG-12041

Page 45 of 172 ends
← All documents from this meeting