Union City City Council
July 8, 2025

AGENDA

CITYOF UNION CITY/

SUCCESSOR AGENCYTO THE REDEVELOPMENT AGENCYMEETING
GARYSINGH, Mayor
SCOTT SAKAKIHARA, Vice Mayor (District 4)
LANCE NISHIHIRA, Councilmember (District 1)
JAIME PATIÑO,Councilmember (District 2)
JEFF WANG, Councilmember (District 3)
Tuesday, July 8, 2025
7:00 PM
CityHall - Council Chamber
34009Alvarado-Niles Road Union City, CA94587

1. CALL TO ORDER

1.1. Pledge ofAllegiance

1.2. Roll Call

2. UNFINISHED BUSINESS - None

3. PROCLAMATIONS AND PRESENTATIONS

3.1. Proclamation Recognizing July 2025 as Park and Recreation Month

3.2. Proclamation Recognizing July 17, 2025, as Port Chicago Remembrance Day

4. ORAL COMMUNICATIONS
An individual speaker shall have three minutes to address the Council on non-agenda items under the Oral Communications section of the agenda. The Chair may, in their discretion, lower the time limit to less than three minutes based on the number of speakers and/or business to be conducted by the City Council. Members of the public who wish to speak to the Council under the first Oral Communications section are requested to complete a speaker card, giving their name and city of residence. If a speaker wants further notification from the City, the speaker may include a mailing address. Neither a speaker card or identification of name, city of residence or mailing address are required to provide public comment but are requested for record keeping purposes.

5. CONSENT CALENDAR
All matters listed on the Consent Calendar are considered routine in nature and will be enacted by one motion. If discussion is required on a specific item, it will be removed from the Consent Calendar and considered separately.

5.1. Approve the June 24, 2025 City Council Regular MeetingAction Minutes

5.2. Adopt a Resolution Authorizing the City Manager to Execute a Consulting Services Agreement with The Pun Group, LLP, for a Three-Year Term, with Two Optional OneYear Extensions, for a Three-Year Not-to-Exceed Contract Amount of $321,555, to Provide ProfessionalAuditing Services Beginning with Fiscal Year 2024-2025 City Council/RSA Agenda 1 Tuesday, July 8, 2025

5.3. Adopt a Resolution Amending the Five-Year Capital Improvement Plan for FY 2025- 2026 Through FY 2029-2030 to Add City Project No. 26-10 – The Mark Green Sports Center Air Conditioning Units Replacement Project and Amending the FY 2025-2026 General Fund Budget by Appropriating $175,000 to Account Number 11092610-54111 (General Fund – MGSC Air Conditioning Units Replacement Project – Contractual Services)

5.4. Adopt a Resolution Authorizing the City Manager to Execute the First Amendment to the Consulting Services Agreement with Cal-West Lighting and Signal Maintenance, Inc., in the Amount of $200,000, for a Total Not-To-Exceed Contract Amount of $600,000, for Traffic Signal Maintenance, On-Call Support and Emergency Repair Services

5.5. Adopt a Resolution Rejecting All Bids for the At-Grade Pedestrian Crossing at BART, City Project No. 14-14

5.6. Adopt a Resolution Authorizing the City Manager, or Their Designee, to Submit the Required Project List Authorizing Resolution, To Execute the Certifications and Assurances, and to Submit Authorized Agent Forms for the State Transit Assistance (STA) State of Good Repair (SGR) Programfor Union City Transit

5.7. Adopt a Resolution Approving Union City Transit Fall 2025 Service Changes, Effective Saturday,August 9, 2025

6. PUBLIC HEARINGS

6.1. Conduct a Public Hearing and Adopt a Resolution Declaring Results of an Assessment Ballot Proceeding for the Union Landing Property and Business Improvement District; andAdopt a Resolution Renewing the Union Landing Property and Business Improvement District for a Period of Five Years and Levy and Collect Assessments for Fiscal Year 2025-2026 within Such District Pursuant to the Property and Business Improvement District Law Of 1994, Part 7 of Division 18 of the California StreetsAnd Highways Code

7. CITYMANAGER REPORTS

7.1. Adopt a Resolution Authorizing the City Manager to Submit an Allocation Request to the Metropolitan Transportation Commission (MTC) from the Regional Measure 3 Dumbarton Corridor Improvements Program and Accepting Alameda County Transportation Commission's Designation of the City of Union City as Implementing Agency for Quarry Lakes Parkway, City Project No. 18-04

8. SUCCESSOR AGENCYTO REDEVELOPMENT AGENCY- None

9. AUTHORITIES AND AGENCIES - None

10. CITYCOMMISSION / COMMITTEE REPORTS - None

11. ITEMS REFERRED BYCOUNCIL

12. GOOD OF THE ORDER

13. CLOSED SESSION - None

14. ADJOURNMENT

MEETING INFORMATION
Regular City Council meetings are held in person on the second and fourth Tuesday of each month at 7:00 p.m. in the Council Chambers, City Hall, 34009 Alvarado-Niles Road, Union City, CA 94587.

Meetings can also be observed via Zoom: http://citycouncil-live.unioncity.org Meetings are broadcast live on UCTV Channel 15 and live-streamed on the City's website:
https://www.unioncity.org/199/City-Meetings-Video.

City Council/RSA Agenda 2 Tuesday, July 8, 2025
Public Comment: Members of the public cannot provide comments via Zoom unless specifically permitted, as detailed below. Remote access is subject to technical availability. If the Zoom platform or other technology fails, the City Council will proceed with the meeting in person unless prohibited by law.

Public Records: Documents related to agenda items are available for review on the City's website (https://www.unioncity.org) or during business hours at the City Clerk's Office, 34009 Alvarado-Niles Road, Union City, CA 94587.

Accessibility: If you require special assistance to participate in the meeting, please contact the City Clerk's Office at (510) 675-5448 at least 72 hours before the meeting. Closed captioning is available for all regular City Council meetings.

ADDRESSING THE CITY COUNCIL
In-Person Public Comment:

Members of the public may address the Council on any agenda item or during the Public Input portion of the meeting. To speak, please fill out a speaker card with your name and city of residence. If you would like a follow-up from the City, you may also provide your mailing address. Completing a speaker card and providing your name, city, or mailing address are not required to make a public comment but are requested for record-keeping purposes.

Written Comment:

To submit written comments on an agenda item or during Public Comment, please email:
[email protected]. Include "public comment" in the subject line and reference the agenda item number. Written comments will be forwarded to the City Council and made publicly available.

Public Comment via Zoom:

As noted above, the public may not address the Council via Zoom unless required by AB 2449. If the City is required to provide this opportunity, the Mayor will announce it at the beginning of the meeting. If allowed, raise your virtual hand on Zoom to indicate that you would like to speak on a specific agenda item.

CITY COUNCIL NORMS AND GUIDELINES
(Resolution No. 6129-23; Adopted May 23, 2023)
The Union City Council abides by the following norms:

1. We conduct ourselves in a professional manner, treat everyone with respect, and act with high integrity, always putting the interests of the City of Union City ahead of self-interests in accordance with our code of ethics.

2. We respect the Council-Manager form of government, and do not interfere with the City Manager's role or any professional duties of City staff.

3. We recognize that matters of confidential nature are to be kept private and undisclosed.

4. We respect each other's opinions and are supportive of each other's work advocating for the City, and we ensure that all voices are heard. We do not criticize others for having a different point of view, and we agree to disagree respectfully.

5. We understand that the City Council acts as a body, all members are equal, and policy direction is only given by a majority vote of the City Council. Once a decision is made, all members of the City Council must respect the City Council's direction.

6. We will be prepared for City Council meetings and ask our questions of the City Manager in advance so we can avoid surprising City staff at meetings.

7. We do not criticize City staff publicly or to others and will refrain from directing them. Instead, we City Council/RSA Agenda 3 Tuesday, July 8, 2025
will take our concerns and questions privately to the City Manager.

8. We will govern on an at-large basis, although elected by districts. We will maintain a citywide perspective and consider the needs and interests of the entire community.

9. We will continue to allocate resources based on long-term strategic priorities and efforts, with consideration of citywide service levels and financial capacity.

10. We understand customer service is the priority and each member of the City Council will help constituents regardless of the district in which they reside or from which a Councilmember themselves is elected.

11. We recognize the significant importance of attendance and participation at City Council meetings in proceeding with City business. All members of the City Council should endeavor to miss no more than two regular meetings per calendar year absent extraordinary circumstances. Members of the City Council should, absent unforeseen circumstances, provide a minimum of sixty days' notice to the City Council of planned absences during the Good of the Order or Items Referred by Council portion of the City Council agenda, as appropriate.

May these Council Norms be administered and enforced in the following manner:

1. Councilmembers have the primary responsibility to assure that ethical standards are understood and met by the Council, and that the public can continue to have full confidence in the integrity of government.

2. The Mayor and the Council have the responsibility to intervene when action of its members are in violation of Council Norms.

3. The City Council can review and revise the Council Norms as needed.

4. During City Council discussions, deliberations, and proceedings, the Mayor is designated with the primary responsibility to ensure that Councilmembers adhere to the Council Norms.

CERTIFICATION OF MEETING NOTICE AND AGENDA POSTING
This notice and agenda were posted on the City's website and the City Hall bulletin board at least 72 hours prior to the meeting date, in compliance with the Ralph M. Brown Act. /s/Thai Nam Pham, MMC, CPMC
City Clerk/Secretary to the City of Union City Successor Agency City Council/RSA Agenda 4 Tuesday, July 8, 2025
Agenda Item
ATTACHMENTS:

Description Type
Proclamation Attachment
City Council/RSA Agenda 5 Tuesday, July 8, 2025

Recognizing July 2025 as Park and Recreation Month
WHEREAS, parks and recreation are a vital part of communities across the country, including here in Union City; and
WHEREAS, parks and recreation build strong connections, lifelong friendships, and inclusive spaces that help create a vibrant and resilient community; and WHEREAS, parks and recreation provide safe and welcoming places for people of all ages to stay active, enjoy nature, and participate in programs like sports, hiking, swimming, and wellness activities; and WHEREAS, through after-school, weekend, and enrichment programs, parks and recreation help children and youth grow their leadership, academic, and social-emotional skills; and WHEREAS, parks and recreation promote physical and mental health for children, adults, and seniors by offering healthy meals, wellness education, and support services; and WHEREAS, parks and recreation also support local economies by increasing property values, attracting businesses, and bringing tourism to our city; and
WHEREAS, the work of parks and recreation helps protect our environment and preserve the natural beauty of Union City for future generations; and
WHEREAS, as essential community infrastructure, parks and recreation programs also support emergency response and climate resilience; and
WHEREAS, the U.S. House of Representatives has designated July as Parks and Recreation Month, encouraging all communities to recognize the contributions of these programs; and WHEREAS, the City of Union City values the long-term benefits of parks and recreation in supporting the well-being and quality of life for all residents.

NOW, THEREFORE, I, Gary Singh, Mayor of the City of Union City, and on behalf of the entire City Council, do hereby proclaim the month of July 2025 as Park and Recreation Month in the City of Union City and encourage all residents to take time to enjoy and celebrate our local parks and recreational programs.

DATED: July 8, 2025
GARY SINGH, Mayor
SCOTT SAKAKIHARA, Vice Mayor
LANCE NISHIHIRA, Councilmember
JAIME PATIÑO, Councilmember
JEFF WANG, Councilmember
City Council/RSA Agenda 6 Tuesday, July 8, 2025
Agenda Item
ATTACHMENTS:

Description Type
Proclamation Attachment
City Council/RSA Agenda 7 Tuesday, July 8, 2025

Recognizing July 17, 2025, as Port Chicago
Remembrance Day
WHEREAS, the Port Chicago Naval Magazine, located about 27 miles north of Union City, was where African American sailors were assigned during World War II to the dangerous work of loading ammunition onto Navy ships; and
WHEREAS, on the night of July 17, 1944, a massive explosion killed 320 people— most of them African American sailors—and injured nearly 400 others, making it the deadliest home front disaster of the war; and
WHEREAS, after the explosion, 258 surviving African American sailors raised safety concerns and refused to return to the same hazardous work, bringing national attention to racial discrimination and unsafe conditions in the military; and WHEREAS, fifty of those sailors, later known as the Port Chicago 50, were wrongfully charged and convicted of mutiny for standing up for their rights and safety; and WHEREAS, on July 17, 2024, after years of advocacy—including support from the City of Union City—President Joe Biden authorized the U.S. Navy to exonerate the Port Chicago 50 and all 258 sailors, acknowledging their courage and the injustice they endured; and WHEREAS, the story of the Port Chicago sailors is a powerful reminder of the fight for civil rights, justice, and equity, and deserves to be remembered by future generations.

NOW, THEREFORE, I, Gary Singh, Mayor of the City of Union City, and on behalf of the entire City Council, do hereby proclaim July 17, 2025, as Port Chicago Remembrance Day in the City of Union City and encourage our residents to reflect on the legacy of the Port Chicago sailors and the lessons of this important moment in American history.

DATED: July 8, 2025
GARY SINGH, Mayor
SCOTT SAKAKIHARA, Vice Mayor
LANCE NISHIHIRA, Councilmember
JAIME PATIÑO, Councilmember
JEFF WANG, Councilmember
City Council/RSA Agenda 8 Tuesday, July 8, 2025
Agenda Item
ATTACHMENTS:

Description Type
Action Minutes Attachment
City Council/RSA Agenda 9 Tuesday, July 8, 2025

MINUTES

CITY OF UNION CITY / SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY

REGULAR MEETING
GARY SINGH, Mayor
SCOTT SAKAKIHARA, Vice Mayor (District 4)
LANCE NISHIHIRA, Councilmember (District 1)
JAMIE PATIÑO, Councilmember (District 2)
JEFF WANG, Councilmember (District 3)
Tuesday, June 24, 2025 | 7:00 PM
City Hall – Tom Kitayama City Council Chambers
34009 Alvarado-Niles Road, Union City, CA 94587

1. CALL TO ORDER

1.1. Pledge of Allegiance
Mayor Singh called the meeting to order at 7:05 PM. He announced that Councilmember Wang was participating remotely via teleconference, pursuant to California Government Code Section 54953, and that his location had been properly noticed in accordance with the Brown Act.

1.2. Roll Call
Attendee Name Present
Councilmember Nishihira
Councilmember Patiño
Councilmember Wang
Vice Mayor Sakakihara
Mayor Singh
Yes
Yes
Yes (Remote, arrived at 7:22 PM, left at 8:48 PM)
Yes
Yes

2. UNFINISHED BUSINESS
There were none.

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3. PROCLAMATIONS AND PRESENTATIONS

3.1. Presentation on the 2025 Safe and Sane Fireworks Public Education and Outreach Plan
Management Analyst II Segarra provided staff presentation and responded to questions from council members.

4. ORAL COMMUNICATIONS
Mayor Singh opened Oral Communications. The following speakers spoke during Oral Communications. Since there were no speakers, Mayor Singh closed Oral Communications.

5. CONSENT CALENDAR
Motion: Approve the Consent Calendar.

RESULT: Pass
MOVER: Vice Mayor Sakakihara
SECONDER:Councilmember Nishihira
AYES: Councilmembers Nishihira, Patiño, Wang, Vice Mayor Sakakihara, and Mayor Singh
NOES: None
ABSENT: None

5.1. Approve the June 10, 2025 City Council Special Study Session Action Minutes
A motion was made to approve the minutes.

5.2. Approve the June 10, 2025 City Council Special Closed Session Action Minutes
A motion was made to approve the minutes.

5.3. Approve the June 10, 2025 City Council Regular Meeting Action Minutes A motion was made to approve the minutes.

5.4. Approve the June 17, 2025 City Council Special Study Session Action Minutes
A motion was made to approve the minutes.

5.5. Adopt a Resolution Approving the Gann Appropriations Limit for Fiscal Year 2025-2026
A motion was made to adopt the resolution.

Enactment No.: Resolution No. 2025-082

5.6. Adopt a Resolution Approving an Amendment to Update the Class Specifications for the Classifications of Human Resources Manager A motion was made to adopt the resolution.

Enactment No.: Resolution No. 2025-083
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5.7. Resolution Authorizing the City Manager to Cast an Assessment Ballot on Behalf of the City of Union City as an Owner of the Union City Transit Center (APN: 463-014- 002-00) Regarding the Union Landing Property and Business Improvement District Assessment and Directing the City Manager to Vote “Yes” for the Parcel
A motion was made to adopt the resolution.

Enactment No.: Resolution No. 2025-084

5.8. Waive Further Reading and Adopt an Ordinance of the City Council of the City of Union City Approving and Re-Adopting a Military Equipment Use Policy as Stated in Chapter 2.62, "Military Equipment Use Policy" of the Union City Municipal Code in Compliance With Assembly Bill 481 A motion was made to adopt the ordinance.

Enactment No.: Ordinance No. 2025-004

5.9. Waive Further Reading and Adopt an Ordinance of the City Council of the City of Union City Amending Section 2.20.040 “Commissioner Attendance Standards” and Section 2.20.100 “Ethics/AB 1234 Training Requirements” of the Union City Municipal Code Related to Commission Standards A motion was made to adopt the ordinance.

Enactment No.: Ordinance No. 2025-005

6. PUBLIC HEARINGS

6.1. Conduct a Public Hearing, Confirm the Assessment and Order the Levy for the Landscape and Lighting Maintenance District No. 3 for Fiscal Year 2025/2026
Public Works Director Ayupan provided staff presentation to the Council and responded to questions from council members.

Mayor Singh opened the Public Hearing at 7:34 PM. Seeing no speakers, Mayor Singh closed the Public Hearing at 7:35 PM.

Motion: adopt the attached resolution to accomplish the following:

1. Confirm the assessments as described in the annual Engineer’s Report.

2. Levy the assessments for the fiscal year commencing July 1, 2025, and ending June 30, 2026.

3. Direct City staff, with the assistance of its consultant NBS, to prepare and submit the levy of assessments to Alameda County for placement on the Fiscal Year 2025-2026 secured property tax roll.

RESULT: Pass
MOVER: Councilmember Patiño
SECONDER:Councilmember Sakakihara
AYES: Councilmembers Nishihira, Patiño, Wang, Vice Mayor Sakakihara, and Mayor Singh
NOES: None
City Council/RSA Agenda 12 Tuesday, July 8, 2025
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ABSENT: None

Enactment No.: Resolution No. 2025-085

6.2. Public Hearing on the Proposed FY 2025-2026 & FY 2026-2027 Biennial Budget and Five-Year Capital Improvement Plan for FY 2025-2026 through FY 2029-2030 and Adoption of a Resolution Approving the FY 2025-2026 & FY 2026-2027 Biennial Budget and Five-Year Capital Improvement Plan for FY 2025-2026 through FY 2029-2030
Finance Director Acosta began her staff presentation to the Council regarding Transit Funds, Transit-Related Projects, and Alvarado-Niles Road Corridor Projects.

Mayor Singh recused himself from this portion of the meeting due to an economic conflict of interest. The City has a contract with MV Transportation, Inc. to operate UC Transit, and certain funds in the Capital Improvement Plan may impact or support that contract. Because MV Transportation, Inc. leases real property from Mayor Singh, it is a source of income to him. Accordingly, he has a conflict of interest concerning the Transit Fund, Paratransit Fund, Union City Transit Short Range Transit Plan, Transit Heavy-Duty Battery EV Procurement, and the Union City Transit Fleet Electrification Project. Additionally, pursuant to Government Code Section 1091, Mayor Singh disclosed a remote interest due to the lease agreement with MV Transportation, Inc. He further stated that he has an economic conflict of interest regarding the Alvarado-Niles Road Multimodal Corridor Study, the Alvarado-Niles and Decoto Road Corridor Lighting Study, and the AlvaradoNiles Road Part-Time Transit Lanes Pilot, as his residence is located within proximity to the study area.

Mayor Singh left the Chambers.

Vice Mayor Sakakihara chaired this portion of the item. Finance Director continued with staff presentation. She, City Attorney Kokotaylo, and Public Works Director Ayupan responded to questions from the council members.

Vice Mayor Sakakihara opened the Public Hearing at 7:52 PM. Wendy Huang spoke on this portion of the item. With no further speakers, Vice Mayor Sakakihara closed the Public Hearing at 7:54 p.m.

Motion: Motion to approve the Transit Funds, Transit-Related Projects, and the Alvarado-Niles Road Corridor Projects.

RESULT: Pass
MOVER: Councilmember Nishihira
SECONDER:Councilmember Patiño
AYES: Councilmembers Nishihira, Patiño, Wang, and Vice Mayor Sakakihara
NOES: None
ABSENT: None
RECUSED: Mayor Singh
Mayor Singh returned to the dais to chair the rest of the meeting.

City Council/RSA Agenda 13 Tuesday, July 8, 2025
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Finance Director Acosta continued with her staff presentation regarding the Citywide Biennial Budget of all funds and responded to questions from the council.

Mayor Singh opened the Public Hearing at 8:31 PM. Wendy Huang spoke on this portion of the item. With no further speakers, Mayor Singh closed the Public Hearing at 8:34 PM.

Motion: Adopt a resolution approving the FY 2025-2026 & FY 2026- 2027 Biennial Budget and Five-Year Capital Improvement Plan for FY 2025-2026 through FY 2029-2030.

RESULT: Pass
MOVER: Councilmember Patiño
SECONDER:Councilmember Nishihira
AYES: Councilmembers Nishihira, Patiño, Wang, Vice Mayor Sakakihara, and Mayor Singh
NOES: None
ABSENT: None

Enactment No.: Resolution No. 2025-086

7. CITY MANAGER REPORTS

7.1. Adopt a Resolution Authorizing the City Manager to Execute Amendment No. 3 to the Alameda County Transportation Commission Project Funding Agreement No. A22- 0053 to Accept an Additional $3,995,000, for a Total Amount of $8,996,191, for the Final Design of Phase (Segment) 2 for the Quarry Lakes Parkway (East West Connector) Project, City Project No. 18- 04 Management Analyst II Segarra provided staff presentation. Public Works Director Ayupan responded to questions from Council members.

Mayor Singh opened Public Comment. Andreas Kadavanich (Bike Fremont) spoke on the item. Seeing no other speakers, Mayor Singh closed Public Comment.

Motion: Adopt a resolution authorizing the City Manager to execute Amendment No. 3 to the Alameda County Transportation Commission Project Funding Agreement No. A22-0053 to accept an additional $3,995,000, for a total amount of $8,996,191, for the final design of Phase (Segment) 2 for the Quarry Lakes Parkway (East West Connector) Project, City Project No. 18-04.

RESULT: Pass
MOVER: Mayor Singh
SECONDER:Councilmember Patiño
AYES: Councilmember Patiño, Vice Mayor Sakakihara, and Mayor Singh
NOES: Councilmembers Nishihira
ABSENT: Councilmember Wang

Enactment No.: Resolution No. 2025-087
City Council/RSA Agenda 14 Tuesday, July 8, 2025
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7.2. Adopt a Resolution Amending the Medical, Dental and Vision Benefits Provided to the City Council
City Attorney Kokotaylo provided staff presentation and responded to questions from the council members.

Mayor Singh opened Public Comment. Seeing no speakers, Mayor Singh closed Public Comment.

Motion: Adopt a resolution amending the medical, dental, and vision benefits provided to the City Council.

RESULT: Pass
MOVER: Vice Mayor Sakakihara
SECONDER:Councilmember Patiño
AYES: Councilmembers Nishihira, Patiño, Vice Mayor Sakakihara, and Mayor Singh
NOES: None
ABSENT: Councilmember Wang

Enactment Nos.: Resolution No. 2025-088

9. AUTHORITIES AND AGENCIES
There were none.

10. CITY COMMISSION / COMMITTEE REPORTS
There were none.

11. ITEMS REFERRED BY COUNCIL
Councilmember Patiño reported on the League of California Cities meeting.

Vice Mayor Sakakihara reported on the League of California Cities' Governance, Transparency, and Labor Relations Policy Committee, the Housing Authority of the County of Alameda, Ava Community Energy, the Parks and Recreation Commission, and the Association of Bay Area Governments.

Councilmember Nishihira reported that the next Legislation and Policy Committee meeting will be held on July 14. He also plans to attend upcoming meetings of the Human Relations Commission, the Chamber of Commerce, and the Alameda County Library Commission.

Mayor Singh had nothing to report.

12. GOOD OF THE ORDER
Councilmember Patiño reported that he attended the ribbon-cutting ceremony for Good Vibes Eat on Smith Street, the Filipino Bar Association of Northern California Gala, and the Youth Cinema Project’s Youth Film Festival at Century Theaters with Mayor Singh. He also asked staff to follow up regarding plans referenced in Item 7.1 that had not been shared with the Council.

Councilmember Patiño also shared his recent visit to San Antonio, Texas, where he met with former San Antonio City Councilmember Dr. Adriana Rocha. He reflected on their shared work through the National League of Cities, emphasizing the nonpartisan City Council/RSA Agenda 15 Tuesday, July 8, 2025
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collaboration that occurs at both the state and national levels for the benefit of local communities. He acknowledged Dr. Rocha’s service and expressed appreciation for the ideals of local government and public service.

Vice Mayor Sakakihara reported that the League of California Cities Revenue and Taxation Committee met on June 12 to discuss budget-related matters, including potential impacts of a proposed 50/50 sales tax split for online purchases. He noted concerns about legislative flexibility that could allow a 10% adjustment in either direction, and shared that analysis is underway on how this could affect cities with distribution center revenues. The Vice Mayor also reported his attendance at the Filipino Bar Association dinner in Oakland.

He also reported attending the ribbon cutting for Union City Transit’s new bus shelters on June 13, calling it a significant milestone. He was unable to participate in the Youth Cinema Project event later that day, but noted it was well-attended.

Lastly, Vice Mayor Sakakihara commented on the Quarry Lakes Parkway item, stating he supported the funding agreement but requested that future agenda items related to the project include a summary of public concerns and how the City plans to address them.

Councilmember Nishihira commented on recent hate-motivated incidents across the region, emphasizing the importance of continued community unity and vigilance. He also expressed disappointment in the low customer attendance at Don Julio’s catering and restaurant on 11th Street in the Station District and encouraged greater support for new local businesses, suggesting that staff could coordinate a ribbon-cutting ceremony.

Mayor Singh commended City staff for their responsiveness and service improvements over the past few months, noting a significant decrease in constituent complaints. He encouraged staff to continue proactive communication with residents. He also expressed interest in formally recognizing the youth filmmakers featured at the Youth Cinema Project’s film festival and asked staff to explore the possibility of proclaiming in their honor.

Lastly, Mayor Singh reported attending the 93rd Annual Meeting of the U.S. Conference of Mayors in Tampa, Florida. He shared updates from sessions on housing shortages, publicprivate partnerships, environmental initiatives, tree planting, and sustainable urban planning. He noted that cities are encouraged to be more self-reliant and creative in securing resources, particularly in addressing climate change and supporting small businesses.

13. CLOSED SESSION
There were none.

14. ADJOURNMENT
Mayor Singh adjourned the meeting at 9:42 PM.

I HEREBY CERTIFY that the foregoing minutes were duly and regularly adopted at a regular meeting of the City Council of the City of Union City on July 8, 2025. /s/Thai Nam Pham, MMC, CPMC
City Clerk
City Council/RSA Agenda 16 Tuesday, July 8, 2025
Agenda Item
DATE: 7/8/2025
TO: HONORABLE MAYOR AND CITYCOUNCIL
FROM: JOAN MALLOY, CITYMANAGER
SUBJECT: ADOPT A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE A CONSULTING SERVICES

AGREEMENT WITH THE PUN GROUP, LLP, FOR A THREE-YEAR TERM, WITH TWO OPTIONAL ONE-YEAR EXTENSIONS, FOR A THREE-YEAR NOT-TO-EXCEED CONTRACT AMOUNT OF $321,555, TO PROVIDE PROFESSIONALAUDITING SERVICES BEGINNING WITH FISCAL YEAR 2024-2025

EXECUTIVE SUMMARY
Staff recommends that the City Council adopt a resolution authorizing the City Manager to execute a Consulting Services Agreement with The Pun Group, LLP, for a three-year term, with two optional one-year extensions, for a three-year not-to-exceed contract amount of $321,555, to provide professional auditing services beginning with Fiscal Year 2024-2025.

STRATEGIC PLAN ALIGNMENT
This agenda item does not have alignment with the Strategic Plan.

BACKGROUND
In 2012, the City hired Badawi and Associates, CPAs, to provide city-wide audit services under a three-year contract plus two additional year extensions. In 2019, the City conducted a Request for Proposal (RFP) for Professional Auditing Services, and staff recommended continuing with Badawi and Associates. This contract concludes with the Fiscal Year 2023-2024 audit, which had a cost of $97,635. As part of our ongoing commitment to implementing best practices, the City issued a Request for Proposal for professional audit services starting with Fiscal Year 2024-2025.

DISCUSSION
On May 15, 2025, the city sent out a Request for Proposal (RFP) for professional audit services, with a focus on the following:
· Audit Quality & Independence: The firm should have a strong track record for thorough, objective audits, and be independent from the City. · Industry Expertise: The auditors should understand municipal finance and have industry-specific knowledge. · Technological Capabilities: The firm should leverage AI, data analytics, and cloud platforms to streamline audits and enhance accuracy. A hybrid use of remote meetings would make some tasks more efficient. · Communication & Engagement: The firm should engage, explain, and collaborate with the City. They should clearly state their intentions to have both in-person and remote meetings and build a strong professional relationship with City staff. · Responsiveness: The City is unique and requires specific services to be provided by the firm.

By the June 6, 2025, submission deadline, the City had received eight proposals. Staff has worked with many of these firms and appreciates their willingness to submit a proposal to the City.

City Council/RSA Agenda 17 Tuesday, July 8, 2025
Table 1 – Proposals Received
Firm 1
st Year Price 5 Year Total

1. Vasquez & Company LLP $92,500 $491,070

2. Badawi & Associates $99,800 $529,856

3. Forvis Mazars LLP $99,500 $530,000

4. The Pun Group $102,000 $563,615

5. Eadie and Payne LLP $111,550 $592,260

6. Lance, Sol & Lunghard LLP $135,200 $659,240

7. Macias Gini & O’Connell LLP $127,990 $679,520

8. Eide Bailly LLP $134,580 $743,909
The proposals were evaluated by the Audit Services Proposal Review Committee, which included the Accounting Manager, Revenue Collections Manager and Senior Accountant.

All submittals were evaluated using the following criteria:
· Responsiveness of the proposal is clearly stating an understanding of the work to be performed · Technical experience of the firm
· Qualifications of staff
· Size and structure of firm and other considerations
· Quality of completeness of the proposal
· Proposed hours and costs
Based on the results of the audit process, The Pun Group received the highest ranking among all proposals, offering the best overall value. Their proposed fees are $102,000 for the first year, increasing to $123,982 in the fifth year, which totals $563,615 for the entire five-year contract (a three-year original contract, with two possible one-year extensions). All firms met the minimum qualifications for responsiveness, technical expertise, training, and completeness of their proposals. However, staff selected The Pun Group because they effectively met the City's requirements. Their proposal aligned with the current audit firm, and they demonstrated significant experience in auditing cities and other governmental agencies of similar size, as well as a well-structured audit implementation plan and very reasonable fees.

FISCAL IMPACT
Funding for the annual cost of professional auditing services was included in the recently-approved FY 2025-2026 & 2026-2027 Biennial Budget. If the City Council approves this three-year agreement, in the amount of $321,555, it is also authorizing the City Manager, at his/her discretion, to extend the agreement for up to two additional one-year terms, in the amounts of $118,078 and $123,982, respectively, without the need to return to the City Council for further approval.

RECOMMENDATION
Staff recommends that the City Council adopt a resolution authorizing the City Manager to execute a Consulting Services Agreement with The Pun Group, LLP, for a three-year term, with two optional one-year extensions, for a three-year not-to-exceed contract amount of $321,555, to provide professional auditing services beginning with Fiscal Year 2024-2025.

Prepared by:

Jackie Acosta, Finance Director
Rahnni Le, Revenue Collections Manager
Chu Thai, Accounting Manager
Submitted by:

Jackie Acosta, Finance Director
ATTACHMENTS:

Description Type
Draft Resolution Resolution
ExhibitA - CSA with Exhibits Exhibit
City Council/RSA Agenda 18 Tuesday, July 8, 2025
RESOLUTION NO. 2025-XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY

AUTHORIZING THE CITY MANAGER TO EXECUTE A CONSULTING
SERVICES AGREEMENT WITH THE PUN GROUP, LLP, FOR A THREEYEAR TERM, WITH TWO OPTIONAL ONE-YEAR EXTENSIONS, FOR A THREE-YEAR NOT-TO-EXCEED CONTRACT AMOUNT OF $321,555,

TO PROVIDE PROFESSIONAL AUDITING SERVICES BEGINNING
WITH FISCAL YEAR 2024-2025
WHEREAS, the City of Union City is required to have certain financial audits conducted yearly, and as part of our ongoing commitment to implementing best practices, the City issued a Request for Proposal for professional auditing services starting with Fiscal Year 2024-2025; and
WHEREAS, on May 15, 2025, the City of Union City issued a Request for Proposal for professional auditing services for a three-year contract, with two one-year extension options; and
WHEREAS, eight proposals were received by June 6, 2025, the submission deadline; and
WHEREAS, the proposals were evaluated by the Audit Services Proposal Review Committee, which included the Accounting Manager, Revenue Collections Manager and Senior Accountant; and
WHEREAS, The Pun Group ranked highest of all proposers; and WHEREAS, based on the results of this competitive selection process, the review committee recommends the award of a Contractual Services Agreement for professional auditing services to the top-ranked firm, The Pun Group (Exhibit A).

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Union City hereby authorizes the City Manager to execute a Consulting Services Agreement with The Pun Group, LLP, for a three-year term, with two optional one-year extensions, for a three-year not-to-exceed contract amount of $321,555, to provide professional auditing services beginning with Fiscal Year 2024-2025.

BE IT FURTHER RESOLVED that the City Council of the City of Union City hereby authorizes the City Manager, in his/her sole discretion, to extend the agreement for up to two additional one-year terms, in the amounts of $118,078 and $123,982, respectively, without the need to return to the City Council for further approval.

City Council/RSA Agenda 19 Tuesday, July 8, 2025
Resolution No. 2025-XXX
CSA with Pun Group, LLP for Auditing Services FY 24-25

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on the 8th day of July 2025 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:

THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
Attachments:

1. Exhibit A – Contractual Services Agreement
City Council/RSA Agenda 20 Tuesday, July 8, 2025
Consulting Services Agreement between the City of Union City and The Pun Group

CONSULTING SERVICES AGREEMENT BETWEEN

THE CITY OF UNION CITY
AND

THE PUN GROUP
FOR

PROFESSIONAL AUDITING SERVICES
This Agreement for consulting services is made by and between the City of Union City, a municipal corporation, (“City”) and The Pun Group, a limited liability partnership, with offices located at 2121 North California Boulevard, Suite 290, Walnut Creek, CA, 94596 (“Consultant”), (together referred to as the “Parties”), as of July 8, 2025 (the “Effective Date”).

Section 1. SERVICES. Subject to the terms and conditions set forth in this Agreement, Consultant shall provide to City the services described in the Scope of Work (Professional Services Agreement) attached as Exhibit A and incorporated herein, at the time and place and in the manner specified therein. In the event of a conflict in, or inconsistency between, the terms of this Agreement and Exhibit A, the Agreement shall prevail.

1.1 Term of Services. The term of this Agreement shall begin on the Effective Date and shall end on the completion of the FY 2026-2027 audit, and Consultant shall complete the work described in Exhibit A on or before that date, unless the term of the Agreement is otherwise terminated or extended, as provided for in Section 8. The time provided to Consultant to complete the services required by this Agreement shall not affect the City’s right to terminate the Agreement, as referenced in Section 8.

1.2 Standard of Performance. Consultant shall perform all services required pursuant to this Agreement according to the standards observed by a competent practitioner of the profession in which Consultant is engaged.

1.3 Assignment of Personnel. Consultant shall assign only competent personnel to perform services pursuant to this Agreement. In the event that City, in its sole discretion, at any time during the term of this Agreement, desires the reassignment of any such persons, Consultant shall, immediately upon receiving notice from City of such desire of City, reassign such person or persons.

1.4 Time is of the Essence. Time is of the essence. Consultant shall devote such time to the performance of services pursuant to this Agreement as may be reasonably necessary to timely finish the Scope of Work, to meet the standard of performance provided in Section 1.1 above and to satisfy Consultant’s obligations hereunder.

Section 2. COMPENSATION.

City hereby agrees to pay Consultant a sum not to exceed Three Hundred Twenty-One Thousand, Five Hundred Fifty-Five Dollars ($321,555) notwithstanding any contrary indications that may be contained in Consultant’s proposal for services to be performed and reimbursable costs incurred under this Agreement. In the event of a conflict between this Agreement and Consultant’s proposal, attached as Exhibit A, regarding the amount of compensation, the Agreement shall prevail. City shall pay Consultant for services rendered pursuant to this Agreement at the time and in the manner set forth herein. The payments specified below shall be the only payments from City to Consultant for services rendered pursuant to this Agreement. Consultant shall submit all invoices to City in the manner Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9 City Council/RSA Agenda 21 Tuesday, July 8, 2025
Consulting Services Agreement between the City of Union City and The Pun Group

specified herein. Except as specifically authorized by City in writing, Consultant shall not bill City for duplicate services performed by more than one person.

Consultant and City acknowledge and agree that compensation paid by City to Consultant under this Agreement is based upon Consultant’s estimated costs of providing the services required hereunder, including salaries and benefits of employees and subcontractors of Consultant. Consequently, the parties further agree that compensation hereunder is intended to include the costs of contributions to any pensions and/or annuities to which Consultant and its employees, agents, and subcontractors may be eligible. City therefore has no responsibility for such contributions beyond compensation required under this Agreement.

2.1 Invoices. Consultant shall submit invoices, not more often than once a month during the term of this Agreement, based on the cost for services performed prior to the invoice date. Invoices shall contain the following information:
• Serial identifications of progress bills; i.e., Progress Bill No. 1 for the first invoice, etc.;
• Project name & number, if applicable;
• Purchase Order number to expedite payment;
• The beginning and ending dates of the billing period; and • A task summary containing the original contract amount, the amount of prior billings, the total due this period, the balance available under the Agreement, and the percentage of completion.

2.2 Payment. City shall make payments, based on invoices received, for services satisfactorily performed, and for authorized reimbursable costs incurred. City shall have 30 days from the receipt of an invoice that complies with all of the requirements above to pay Consultant.

2.3 Total Payment. City shall pay for the services to be rendered by Consultant pursuant to this Agreement. City shall not pay any additional sum for any expense or cost whatsoever incurred by Consultant in rendering services pursuant to this Agreement. City shall make no payment for any extra, further, or additional service pursuant to this Agreement.

In no event shall Consultant submit any invoice for an amount in excess of the maximum amount of compensation provided above either for a task or for the entire Agreement, unless the Agreement is modified prior to the submission of such an invoice by a properly executed change order or amendment.

2.4 Hourly Rate/Fees. Unless the services provided are for a lump sum or flat fee, fees for work performed by Consultant on an hourly basis shall not exceed the amounts shown on the compensation cost proposal attached hereto as Exhibit B. In the event of a conflict in or inconsistency between the terms of this Agreement and Exhibit B, the Agreement shall prevail.

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Consulting Services Agreement between the City of Union City and The Pun Group

2.5 Payment of Taxes. Consultant is solely responsible for the payment of employment taxes incurred under this Agreement and any similar federal or state taxes.

2.6 Payment upon Termination. In the event that the City or Consultant terminates this Agreement pursuant to Section 8, the City shall compensate the Consultant for all outstanding costs and reimbursable expenses incurred for work satisfactorily completed as of the date of written notice of termination. Consultant shall maintain adequate logs and timesheets to verify costs incurred to that date.

2.7 Authorization to Perform Services. The Consultant is not authorized to perform any services or incur any costs whatsoever under the terms of this Agreement until receipt of authorization from the Contract Administrator.

2.8. Business License. The Consultant is not authorized to perform services or incur costs whatsoever under the terms of this Agreement until Consultant applies for and has been issued a business license from the City pursuant to Title 5 of the Union City Municipal Code.

Section 3. FACILITIES AND EQUIPMENT. Except as set forth herein, Consultant shall, at its sole cost and expense, provide all facilities and equipment that may be necessary to perform the services required by this Agreement. City shall make available to Consultant only the facilities and equipment listed in this section, and only under the terms and conditions set forth herein.

City shall furnish physical facilities such as desks, filing cabinets, and conference space, as may be reasonably necessary for Consultant’s use while consulting with City employees and reviewing records and the information in possession of the City. The location, quantity, and time of furnishing those facilities shall be in the sole discretion of City. In no event shall City be obligated to furnish any facility that may involve incurring any direct expense, including but not limited to computer, long-distance telephone or other communication charges, vehicles, and reproduction facilities.

Section 4. INSURANCE REQUIREMENTS. Before beginning any work under this Agreement, Consultant, at its own cost and expense, unless otherwise specified below, shall procure the types and amounts of insurance listed below against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work hereunder by the Consultant and its agents, representatives, employees, and subcontractors.

Consistent with the following provisions, Consultant shall provide proof satisfactory to City of such insurance that meets the requirements of this section and under forms of insurance satisfactory in all respects, and that such insurance is in effect prior to beginning work for the City. Consultant shall maintain the insurance policies required by this section throughout the term of this Agreement. The cost of such insurance shall be included in the Consultant's bid.

Consultant shall not allow any subcontractor to commence work on any subcontract until Consultant has obtained all insurance required herein for the subcontractor(s) and provided evidence to the City that such insurance is in effect. Verification of the required insurance shall be submitted and made part of this Agreement prior to execution.

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Consulting Services Agreement between the City of Union City and The Pun Group

4.1 Required Coverage. Consultant shall maintain all required insurance listed herein for the duration of this Agreement.

COVERAGE TYPE OF INSURANCE MINIMUM LIMITS
A Commercial General
Liability
Premises Liability; Products
and Completed Operations;
Contractual Liability;
Personal Injury and
Advertising Liability
$1,000,000 per occurrence;
Bodily Injury and Property
Damage
$2,000,000 in the aggregate;
Commercial general
coverage shall be at least as
broad as Insurance Services
Office Commercial General
Liability occurrence form CG
0001 (most recent edition)
covering comprehensive
General Liability on an
“occurrence” basis.

B Commercial or Business
Automobile Liability
All owned vehicles, hired or
leased vehicles, non-owned,
borrowed and permissive
uses. Personal Automobile
Liability is acceptable for
individual contractors with no
transportation or hauling
related activities
$1,000,000 per occurrence;
Any Auto; Bodily Injury and
Property Damage.

Automobile coverage shall
be at least as broad as
Insurance Services Office
Automobile Liability form CA
0001 (most recent edition),
Code 1 (any auto). No
endorsement shall be
attached limiting the
coverage.

C Workers’ Compensation
(WC) and Employers
Liability (EL)
Required for all contractors
with employees
WC: Statutory Limits
EL: $100,000 per accident
for bodily injury or disease.

Consultant may rely on a
self-insurance program to
meet those requirements,
but only if the program of
self-insurance complies fully
with the provisions of the
California Labor Code. The
insurer shall waive all rights
of subrogation against the
City and its officers, officials,
employees, and volunteers
for loss arising from work
performed under this
Agreement.

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Consulting Services Agreement between the City of Union City and The Pun Group

D Professional
Liability/Errors &
Omissions
Includes endorsements of
contractual liability
$1,000,000 per occurrence
$2,000,000 policy
aggregate; Any deductible or
self-insured retention shall
not exceed $150,000 per
claim.

4.2 Additional requirements. Each of the following shall be included in the insurance coverage or added as a certified endorsement to the policy:
a. All required insurance shall be maintained during the entire term of the Agreement with the following exception: Insurance policies and coverage(s) written on a claims-made basis shall be maintained during the entire term of the Agreement and until three (3) years following termination and acceptance of all work provided under the Agreement, with the retroactive date of said insurance (as may be applicable) concurrent with the commencement of activities pursuant to this Agreement
b. All insurance required above with the exception of Professional Liability, Personal Automobile Liability, Workers’ Compensation and Employers Liability, shall be endorsed to name as additional insured: City of Union City, its City Council, and all City officers, agents, employees, volunteers and representatives. c. For any claims related to this Agreement or the work hereunder, the Consultant’s insurance coverage shall be primary insurance as respects the City, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers shall be excess of the Consultant’s insurance and shall not contribute with it.
d. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled by either party, except after 30 days’ prior written notice has been provided to the City.
e. Certificates of Insurance: Before commencing operations under this Agreement, Consultant shall provide Certificate(s) of Insurance and applicable insurance endorsements, in form and satisfactory to City, evidencing that all required insurance coverage is in effect. The City reserves the rights to require the Consultant to provide complete, certified copies of all required insurance policies. f. Subcontractors: Consultant shall include all subcontractors as an insured (covered party) under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the requirements stated herein.
g. Claims-made limitations. The following provisions shall apply if the professional liability coverage is written on a claims-made form:
i. The retroactive date of the policy must be shown and must be before the date of the Agreement.

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Consulting Services Agreement between the City of Union City and The Pun Group

ii. Insurance must be maintained and evidence of insurance must be provided for at least five years after completion of the Agreement or the work, so long as commercially available at reasonable rates.
iii. If coverage is canceled or not renewed and it is not replaced with another claims-made policy form with a retroactive date that precedes the date of this Agreement, Consultant must purchase an extended period coverage for a minimum of three (3) years after completion of work under this Agreement. iv. A copy of the claim reporting requirements must be submitted to the City for review prior to the commencement of any work under this Agreement.

4.3 All Policies Requirements.
a. Acceptability of insurers. All insurance required by this section is to be placed with insurers with a Bests' rating of no less than A:VII. Insurance shall be maintained through an insurer with a minimum A.M. Best Rating of A- or better, with deductible amounts acceptable to the City. Acceptance of Consultant’s insurance by City shall not relieve or decrease the liability of Consultant hereunder. Any deductible or selfinsured retention amount or other similar obligation under the policies shall be the sole responsibility of the Consultant.
b. Deductibles and Self-Insured Retentions. Consultant shall disclose to and obtain the written approval of City for the self-insured retentions and deductibles before beginning any of the services or work called for by any term of this Agreement. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its officers, employees, and volunteers; or the Consultant shall provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration and defense expenses. c. Wasting Policies. No policy required by this Section 4 shall include a “wasting” policy limit (i.e. limit that is eroded by the cost of defense). d. Waiver of Subrogation. Consultant hereby agrees to waive subrogation which any insurer or contractor may require from vendor by virtue of the payment of any loss. Consultant agrees to obtain any endorsements that may be necessary to affect this waiver of subrogation. The Workers’ Compensation policy shall be endorsed with a waiver of subrogation in favor of the entity for all work performed by the consultant, its employees, agents, and subcontractors.

4.4 Remedies. In addition to any other remedies City may have if Consultant fails to provide or maintain any insurance policies or policy endorsements to the extent and within the time herein required, City may, at its sole option exercise any of the following remedies, which are alternatives to other remedies City may have and are not the exclusive remedy for Consultant’s breach:
• Obtain such insurance and deduct and retain the amount of the premiums for such insurance from any sums due under the Agreement;
• Order Consultant to stop work under this Agreement or withhold any payment that becomes due to Consultant hereunder, or both stop work and withhold any Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9 City Council/RSA Agenda 26 Tuesday, July 8, 2025
Consulting Services Agreement between the City of Union City and The Pun Group

payment, until Consultant demonstrates compliance with the requirements hereof; and/or
• Terminate this Agreement.

Section 5. INDEMNIFICATION AND CONSULTANT’S RESPONSIBILITIES.

Consultant shall indemnify, defend with counsel acceptable to City, and hold harmless City and its officers, officials, employees, agents and volunteers from and against any and all liability, loss, damage, claims, expenses, and costs (including without limitation, attorney’s fees and costs and fees of litigation) (collectively, “Liability”) of every nature arising out of or in connection with Consultant’s performance of the Services or its failure to comply with any of its obligations contained in this Agreement, except such Liability caused by the sole negligence or willful misconduct of City.

The Consultant’s obligation to defend and indemnify shall not be excused because of the Consultant’s inability to evaluate Liability or because the Consultant evaluates Liability and determines that the Consultant is not liable to the claimant. The Consultant must respond within 30 days, to the tender of any claim for defense and indemnity by the City, unless this time has been extended by the City. If the Consultant fails to accept or reject a tender of defense and indemnity within 30 days, in addition to any other remedy authorized by law, so much of the money due the Consultant under and by virtue of this Agreement as shall reasonably be considered necessary by the City, may be retained by the City until disposition has been made of the claim or suit for damages, or until the Consultant accepts or rejects the tender of defense, whichever occurs first.

With respect to third party claims against the Consultant, the Consultant waives any and all rights of any type to express or implied indemnity against the Indemnitees.

Notwithstanding the forgoing, to the extent this Agreement is a “construction contract” as defined by California Civil Code Section 2782, as may be amended from time to time, such duties of consultant to indemnify shall not apply when to do so would be prohibited by California Civil Code Section 2782.

In the event that Consultant or any employee, agent, or subcontractor of Consultant providing services under this Agreement is determined by a court of competent jurisdiction or the California Public Employees Retirement System (PERS) to be eligible for enrollment in PERS as an employee of City, Consultant shall indemnify, defend, and hold harmless City for the payment of any employee and/or employer contributions for PERS benefits on behalf of Consultant or its employees, agents, or subcontractors, as well as for the payment of any penalties and interest on such contributions, which would otherwise be the responsibility of City.

Section 6. STATUS OF CONSULTANT.

6.1 Independent Contractor. At all times during the term of this Agreement, Consultant shall be an independent contractor and shall not be an employee of City. City shall have the right to control Consultant only insofar as the results of Consultant's services rendered pursuant to this Agreement and assignment of personnel pursuant to Subparagraph

1.3; however, otherwise City shall not have the right to control the means by which Consultant accomplishes services rendered pursuant to this Agreement. Notwithstanding any other City, state, or federal policy, rule, regulation, law, or ordinance to the contrary, Consultant and any of its employees, agents, and subcontractors providing services under this Agreement shall Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9 City Council/RSA Agenda 27 Tuesday, July 8, 2025
Consulting Services Agreement between the City of Union City and The Pun Group

not qualify for or become entitled to, and hereby agree to waive any and all claims to, any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in the California Public Employees Retirement System (PERS) as an employee of City and entitlement to any contribution to be paid by City for employer contributions and/or employee contributions for PERS benefits.

6.2 Consultant Not an Agent. Except as City may specify in writing, Consultant shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Consultant shall have no authority, express or implied, pursuant to this Agreement to bind City to any obligation whatsoever.

Section 7. LEGAL REQUIREMENTS.

7.1 Governing Law. The laws of the State of California shall govern this Agreement.

7.2 Compliance with Applicable Laws. Consultant and any subcontractors shall comply with all laws applicable to the performance of the work hereunder.

7.3 Other Governmental Regulations. To the extent that this Agreement may be funded by fiscal assistance from another governmental entity, Consultant and any subcontractors shall comply with all applicable rules and regulations to which City is bound by the terms of such fiscal assistance program.

7.4 Licenses and Permits. Consultant represents and warrants to City that Consultant and its employees, agents, and any subcontractors have all licenses, permits, qualifications, and approvals of whatsoever nature that are legally required to practice their respective professions. Consultant represents and warrants to City that Consultant and its employees, agents, any subcontractors shall, at their sole cost and expense, keep in effect at all times during the term of this Agreement any licenses, permits, and approvals that are legally required to practice their respective professions. In addition to the foregoing, Consultant and any subcontractors shall obtain and maintain during the term of this Agreement valid Business Licenses from City.

7.5 Nondiscrimination and Equal Opportunity. Consultant shall not discriminate, on the basis of a person’s race, religion, color, national origin, age, physical or mental handicap or disability, medical condition, marital status, sex, or sexual orientation, against any employee, applicant for employment, subcontractor, bidder for a subcontract, or participant in, recipient of, or applicant for any services or programs provided by Consultant under this Agreement. Consultant shall comply with all applicable federal, state, and local laws, policies, rules, and requirements related to equal opportunity and nondiscrimination in employment, contracting, and the provision of any services that are the subject of this Agreement, including but not limited to the satisfaction of any positive obligations required of Consultant thereby.

Consultant shall include the provisions of this Subsection in any subcontract approved by the Contract Administrator or this Agreement.

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Consulting Services Agreement between the City of Union City and The Pun Group

Section 8. TERMINATION AND MODIFICATION.

8.1 Termination. City may cancel this Agreement at any time and without cause upon written notification to Consultant. Consultant may cancel this Agreement upon thirty (30) days’ written notice to City and shall include in such notice the reasons for cancellation.

In the event of termination, Consultant shall be entitled to compensation for services performed to the effective date of termination; City, however, may condition payment of such compensation upon Consultant delivering to City any or all work product, including, but not limited to documents, photographs, computer software, video and audio tapes, and other materials provided to Consultant or prepared by or for Consultant or the City in connection with this Agreement.

8.2 Extension. City may, in its sole and exclusive discretion, extend the end date of this Agreement beyond that provided for in Subsection 1.1. Any such extension shall require a written amendment to this Agreement, as provided for herein.

8.3 Amendments. The parties may amend this Agreement only by a writing signed by all the parties.

8.4 Assignment and Subcontracting. City and Consultant recognize and agree that this Agreement contemplates personal performance by Consultant and is based upon a determination of Consultant’s unique personal competence, experience, and specialized personal knowledge. Moreover, a substantial inducement to City for entering into this Agreement was and is the professional reputation and competence of Consultant. Consultant may not assign this Agreement or any interest therein without the prior written approval of the Contract Administrator. Consultant shall not subcontract any portion of the performance contemplated and provided for herein, other than to the subcontractors noted in the proposal, without prior written approval of the Contract Administrator.

8.5 Survival. All obligations arising prior to the termination of this Agreement and all provisions of this Agreement allocating liability between City and Consultant shall survive the termination of this Agreement.

8.6 Options upon Breach by Consultant. If Consultant materially breaches any of the terms of this Agreement, City’s remedies shall include, but not be limited to, the following:

8.6.1 Immediately terminate the Agreement;

8.6.2 Retain the plans, specifications, drawings, reports, design documents, and any other work product prepared by Consultant pursuant to this Agreement;

8.6.3 Retain a different consultant to complete the work described in Exhibit A not finished by Consultant; or

8.6.4 Charge Consultant the difference between the cost to complete the work described in Exhibit A that is unfinished at the time of breach and the amount that City would have paid Consultant pursuant to Section 2 if Consultant had completed the work.

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Consulting Services Agreement between the City of Union City and The Pun Group

Section 9. KEEPING AND STATUS OF RECORDS.

9.1 Records Created as Part of Consultant’s Performance. All reports, data, maps, models, charts, studies, surveys, photographs, memoranda, plans, studies, specifications, records, files, or any other documents or materials, in electronic or any other form, that Consultant prepares or obtains pursuant to this Agreement and that relate to the matters covered hereunder shall be the property of the City. Consultant hereby agrees to deliver those documents to the City upon termination of the Agreement. It is understood and agreed that the documents and other materials, including but not limited to those described above, prepared pursuant to this Agreement are prepared specifically for the City and are not necessarily suitable for any future or other use. City and Consultant agree that, until final approval by City, all data, plans, specifications, reports and other documents are confidential and will not be released to third parties without prior written consent of both parties.

9.2 Consultant’s Books and Records. Consultant shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, and other records or documents evidencing or relating to charges for services or expenditures and disbursements charged to the City under this Agreement for a minimum of 3 years, or for any longer period required by law, from the date of final payment to the Consultant to this Agreement.

9.3 Inspection and Audit of Records. Any records or documents that Section

9.2 of this Agreement requires Consultant to maintain shall be made available for inspection, audit, and/or copying at any time during regular business hours, upon oral or written request of the City. Under California Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds $10,000.00, the Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of the City, for a period of 3 years after final payment under the Agreement.

Section 10. MISCELLANEOUS PROVISIONS.

10.1 Attorneys’ Fees. If a party to this Agreement brings any action, including an action for declaratory relief, to enforce or interpret the provision of this Agreement, the prevailing party shall be entitled to reasonable attorneys’ fees in addition to any other relief to which that party may be entitled. The court may set such fees in the same action or in a separate action brought for that purpose.

10.2 Venue. In the event that either party brings any action against the other under this Agreement, the parties agree that trial of such action shall be vested exclusively in the state courts of California in the County of Alameda or in the United States District Court for the Northern District of California.

10.3 Severability. If a court of competent jurisdiction finds or rules that any provision of this Agreement is invalid, void, or unenforceable, the provisions of this Agreement not so adjudged shall remain in full force and effect. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement.

10.4 No Implied Waiver of Breach. The waiver of any breach of a specific provision of this Agreement does not constitute a waiver of any other breach of that term or any other term of this Agreement.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9 City Council/RSA Agenda 30 Tuesday, July 8, 2025
Consulting Services Agreement between the City of Union City and The Pun Group

10.5 Successors and Assigns. The provisions of this Agreement shall inure to the benefit of and shall apply to and bind the successors and assigns of the parties.

10.6 Use of Recycled Products. Consultant shall prepare and submit all reports, written studies and other printed paper materials on paper containing a minimum of 30% postconsumer recycled content when they are available in the marketplace at equal or less cost than virgin paper and are equal in performance to virgin paper.

10.7 Conflict of Interest. Consultant may serve other clients, but none whose activities within the corporate limits of City or whose business, regardless of location, would place Consultant in a “conflict of interest,” as that term is defined in the Political Reform Act, codified at California Government Code Section 81000 et seq.

Consultant shall not employ any City official in the work performed pursuant to this Agreement. No officer or employee of City shall have any financial interest in this Agreement that would violate California Government Code Sections 1090 et seq. Consultant hereby warrants that it is not now, nor has it been in the previous 12 months, an employee, agent, appointee, or official of the City. If Consultant was an employee, agent, appointee, or official of the City in the previous twelve months, Consultant warrants that it did not participate in any manner in the forming of this Agreement. Consultant understands that, if this Agreement is made in violation of Government Code § 1090 et seq., the entire Agreement is void and Consultant will not be entitled to any compensation for services performed pursuant to this Agreement, including reimbursement of expenses, and Consultant will be required to reimburse the City for any sums paid to the Consultant. Consultant understands that, in addition to the foregoing, it may be subject to criminal prosecution for a violation of Government Code § 1090 and, if applicable, will be disqualified from holding public office in the State of California.

10.8 Solicitation. Consultant agrees not to solicit business at any meeting, focus group, or interview related to this Agreement, either orally or through any written materials.

10.9 Contract Administration. This Agreement shall be administered by the City Manager, or his/her designee, identified as Chu Thai, Accounting Manager ("Contract Administrator"). All correspondence, meeting documentation, invoices and project deliverables shall be directed to or through the Contract Administrator.

10.10 Notices. Any written notice to Consultant shall be sent to:

Frances J. Kuo, CPA CGMA
Managing Partner
2121 N. California Blvd., Suite 290
Walnut Creek, CA 94596
All other written notices to City shall be sent to:

Joan M. Malloy
City Manager
City of Union City
34009 Alvarado Niles Road
Union City, CA 94587
with a copy to
Kristopher J. Kokotaylo
City Attorney
City of Union City
34009 Alvarado Niles Road
Union City, CA 94587
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9 City Council/RSA Agenda 31 Tuesday, July 8, 2025
Consulting Services Agreement between the City of Union City and The Pun Group

10.11 Professional Seal. Where applicable in the determination of the contract administrator, the first page of a technical report, first page of design specifications, and each page of construction drawings shall be stamped/sealed and signed by the licensed professional responsible for the report/design preparation. The stamp/seal shall be in a block entitled "Seal and Signature of Registered Professional with report/design responsibility," as in the following example.
_________________________________________
Seal and Signature of Registered Professional with
report/design responsibility.

10.12 Integration. This Agreement, including the scope of work and compensation attached hereto and incorporated herein as Exhibits A and B, represents the entire and integrated agreement between City and Consultant and supersedes all prior negotiations, representations, or agreements, either written or oral.

Exhibit A Scope of Services/Technical Proposal
Exhibit B Cost Proposal

10.13 Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be an original and all of which together shall constitute one agreement.

SIGNATURES ON THE FOLLOWING PAGE
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9 City Council/RSA Agenda 32 Tuesday, July 8, 2025
Consulting Services Agreement between the City of Union City and The Pun Group

The Parties have executed this Agreement as of the Effective Date.

CITY OF UNION CITY The Pun Group

JOAN MALLOY

CITY MANAGER
ATTEST:

FRANCES J. KUO

MANAGING PARTNER
THAI NAM N. PHAM

CITY CLERK
APPROVED AS TO FORM:

KRISTOPHER J. KOKOTAYLO

CITY ATTORNEY
3695229.2
Version 3.2.21
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9 City Council/RSA Agenda 33 Tuesday, July 8, 2025
Consulting Services Agreement between the City of Union City and The Pun Group

EXHIBIT A

SCOPE OF SERVICES/TECHNICAL PROPOSAL
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9 City Council/RSA Agenda 34 Tuesday, July 8, 2025

CITY OF UNION CITY

TECHNICAL PROPOSAL

PROPOSAL FOR PROFESSIONAL

AUDITING SERVICES
Frances J. Kuo, CPA, CGMA June 06, 2025
Managing Partner
2121 North California Boulevard, Suite 290
Walnut Creek, CA 94596
(949) 777-8805 l [email protected]
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EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 35 Tuesday, July 8, 2025
The Pun Group LLP is recognized for its professionalism, integrity and for providing clients with practical solutions unique to their circumstances and issues. You will receive a superior level of service and a quality audit.

Thank You!
Thank you for allowing us to submit our qualifications to provide you with Professional Auditing Services.

The Pun Group LLP
Certified Public Accountants and Business Advisors

WHY CHOOSE
THE PUN GROUP LLP?
 Big firm expertise, small firm values
 Personal attention meets technical expertise
 A unique firm culture
 Innovation embraced
 Achievable plans to move your organization forward
The Pun Group’s most
valuable asset is our
people, they and their
deep experience drive our
every interaction with
clients.
“
”
In Memoriam
Kenneth H. Pun, CPA, CGMA
Founder
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EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 36 Tuesday, July 8, 2025
City of Union City
Table of Contents
Transmittal Letter ........................................................................................... 1 License to Practice in California .................................................................... 3 Independence ................................................................................................ 3 Firm Qualifications and Experience ............................................................... 4 Partner, Supervisory, and Staff Qualifications and Experience ..................... 9 Similar Engagements with Other Government Entities ............................... 17 Specific Audit Approach ............................................................................... 29 Identification of Anticipated Potential Audit Problems ................................. 36 Annual Updates and Professional Development of Client Staffing .............. 37 Acknowledgement of Cunsulting Services Agreement ................................ 38 Let’s Get to Work! ........................................................................................ 39 Appendix A – Certificate of Insurance ......................................................... 40 Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 37 Tuesday, July 8, 2025
For the 5th consecutive year,
The Pun Group has been honored with the
"Best of Accounting" Award.

The Pun Group LLP is proud to have won 2025’s Best of
Accounting® award from ClearlyRated for consistently
delivering exceptional service to its clients for the fifth consecutive year.

Winners of such awards have proven to be industry leaders in service quality based entirely on ratings provided by their clients. On average, clients of 2025 Best of Accounting winners are 70% more likely to be satisfied than those who work with non-winning firms.
“I am pleased to introduce the 2025 Best of Accounting
winners alongside their validated service ratings on
ClearlyRated.com,” said ClearlyRated’s CEO, Eric Gregg. “These firms have demonstrated a remarkable commitment to delivering amazing experiences despite another year of
upheaval and macroeconomic uncertainty. Hats off to these service leaders - it’s truly an honor to recognize and celebrate their achievements.”
The Pun Group LLP received satisfaction scores of 9 or 10 out of 10 from 94.1% of their clients, significantly higher than the industry’s average of 50%.

Our firm excelled in five key areas: Responsiveness, Quality, Value, Needs Understanding, and Proactive Approach.

About ClearlyRated
Rooted in satisfaction research for professional service firms, ClearlyRated utilizes a Net Promoter® Score survey program to help professional service firms measure their service experience, build an online reputation, and
differentiate on service quality.

For the 2nd consecutive year, INSIDE Public
Accounting has recognized The Pun
Group as one of the Top 500 Firms and one
of the fastest-growing firms.
“We started using Pun Group when the
pandemic first started two years ago so
had a little apprehension about doing
everything remotely with a new firm. But
the audit went very well and was
completed on time without problem.”
Kevin W.

State and Local Government Client
“The Firm has consistently exceeded our
expectations as an auditor.”
Clint O.

State and Local Government Client
“An excellent partner and amazing service.”
Jim T.

Private Sector Client
“Excellent customer service and staff and
partners are expert in their fields.”
Lani H.

State and Local Government Client
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EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 38 Tuesday, July 8, 2025
2121 North California Blvd., Suite 290
Walnut Creek, California 94596
City of Union City
Transmittal Letter
June 6, 2025
City of Union City
Chu Thai, Accounting Manager
34009 Alvarado-Niles Rd
Union City, California 94587
Re: RFP for Professional Auditing Services
Dear Chu Thai:

Please allow us to introduce our Firm and share our qualifications and proposed services plan for the City of Union City (the “City”) according to your Request for Proposals for Professional Auditing Services for the five year contract to audit its financial statements, with the first year will be fiscal year ending June 30, 2025.

The Pun Group LLP (the “Firm”) has the knowledge and experience necessary to become the City’s next public accounting firm and the work plan to ensure a smooth process.

This letter is an acknowledgment of the Firm’s understanding of the work to be performed. We are offering our commitment to deliver all of the required work, complete the audit, and issue the necessary auditor’s reports within the periods outlined by the City. No subcontractors will be utilized for this engagement.

The Pun Group is the right choice for the City of Union City because:

We Understand the Demographics and Your Needs. The Pun Group is reputable for its governmental practice. We are the principal auditors for cities in California such as Ventura, Coachella, Corona, Fresno, Gilroy, Lakewood, Montebello, National City, Salinas, San Mateo, Santa Clarita, Stockton, Tracy, and several others. Accordingly, the proposed engagement team has a deep understanding of the current issues that municipalities are facing, such as varying demographics, economic environments, and the constantly changing landscape of laws and regulations.

Recognized Leader in the Governmental Industry. We are a small national Firm with licenses in the States of California, Arizona, and Nevada and a proven leader in professional services to the government sector. All key engagement team professionals are licensed to practice as Certified Public Accountants and meet the Continuing Professional Education requirements under US GAO’s Government Auditing Standards to perform the proposed audits. The partners and all employees proposed to perform the requested services do not have a record of substandard audit work nor have any outstanding claim of substandard practice or unsatisfactory performance pending with the State Board of Accountancy or other professional organizations. In addition, we are members of the national AICPA Audit Quality Center.

We strongly believe that part of our success is credited to our professionals’ participation in various industry-leading organizations. Such affiliations are critical to addressing emerging accounting and auditing issues within the industry environment.

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EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 39 Tuesday, July 8, 2025
City of Union City
2 | PUNGROUP.CPA
You’ll Work with a Team that Embraces Innovation and Continuous Improvement. Our Firm is committed to continuous improvement as it relates to service delivery. We embrace innovation and identify areas of technological enhancements in our audit and project management approaches. For example:

Secure Data File Transfer System. In order to improve audit efficiency, workflow management software plays an essential role between your organization and our engagement team. We employ a secure data file transfer system called Suralink. Suralink’s dynamic request list is integrated with our secure file hosting system for seamless documentrequest coordination, including the upload of large-size files. It means all our requests are in one place, updated in real-time, and accessible by everyone working on the engagement. Not only makes the operation more cost-efficient, but it also enables you and your team to spend your time getting the job done, not reconciling a messy list of outstanding items. In addition, Suralink’s dashboard allows you to visualize the process of document-request fulfillment.

AI Auditor. The Pun Group leverages the technology and research tools required to provide excellent services to its clients. With the usage of Artificial Intelligence (AI) technology, the Firm is capable of issuing all reports requested faster than other audit firms without exposing the City to unnecessary risks.

Remote and Hybrid Auditing Capability. At our firm, we have fully embraced a hybrid approach to auditing, combining the flexibility of remote work with the benefits of on-site engagement. While we are fully equipped with advanced technology to perform audits remotely when needed, our preferred method is a hybrid model — balancing remote efficiency with in-person collaboration to deliver the highest quality service to our clients. We continue to offer on-site auditing as needed to best meet client needs.

Knowledge is Shared with You. As part of our pledge to keep you updated on new technical accounting and financial issues, we implemented our 2025 Virtual Government Accounting Conference, which qualifies for up to 15 hours of CPE – nearly double what other firms offer. These online sessions are free of charge and part of the service package provided to you. More details and dates can be found on the “Client Training Webinars” topic under this proposal.

The Pun Group is proud of its inclusive values and is an avid promoter of equality and diversity. In addition, the Firm is an equal-opportunity employer and complies with all federal and state hiring requirements. We’re proud of supporting affirmative-action philosophies and work hard to provide opportunities for self-enhancement to members of disadvantaged groups.

This proposal is a firm and irrevocable offer valid for ninety (90) days following the closing date for the receipt of all proposals. We also acknowledge the receipt of the Q&A dated 05/21/2025.

Finally, we would like to emphasize one additional point: We want to earn your trust and your business! We are confident that the energetic and experienced team we have assembled is the right one for the City.

Our commitment to serving the City of Union City cannot be adequately conveyed in a letter, and I look forward to continuing the discussion with you. I’m assigned as your primary contact for contract negotiations. I’m also authorized to legally bind the Firm. Should you have any questions or wish to discuss this proposal, please do not hesitate to contact me at (949) 777-8805 or by email at [email protected].

Sincerely,
Frances J. Kuo, CPA, CGMA | Managing Partner | The Pun Group LLP 2121 North California Boulevard, Suite 290, Walnut Creek, CA 94596 Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 40 Tuesday, July 8, 2025
City of Union City
3 | PUNGROUP.CPA
License to Practice in California
License to Practice in California
The Firm and all key professional staff are licensed by the State of California to practice as Certified Public Accountants and meet the Continuing Professional Education requirements under US GAO’s Government Auditing Standards to perform the proposed audits.

Firm Registration:

California State Board of Accountancy Number – PAR 7601 Federal Identification Number – 46-4016990
Independence
Independence
The Pun Group LLP requires all employees to adhere to strict independence standards concerning the Firm’s clients.

These independence standards exceed, in many instances, the rules promulgated by the American Institute of Certified Public Accountants (AICPA).

The Pun Group LLP certifies that it is independent of the City of Union City and its component units. The Firm meets independence requirements defined by the United States Government Accountability Office’s (US GAO’s) Government Auditing Standards and the American Institute of Certified Public Accountants (AICPA). Based on that, we have not identified an instance that constitutes a conflict of interest relative to performing the services requested by the City.

The Firm had no relationship with the City of Union City or its component units during the past five (5) years.

The Firm will give the City of Union City written notice of any professional relationships entered into during the period of the engagement.

Insurance
If selected, the Firm will obtain and maintain the minimum insurance requirements during the entire execution of the agreement with the City of Union City. Within ten days from the implementation of the contract, we will furnish the City of Union City with satisfactory evidence of the insurance requirements and proof that each carrier is required to give at least 30 days prior written notice of the cancellation of any policy during the entire period of the agreement.

The City of Union City will be named as an additional named insured under the Firm’s policies.

A copy of our current certificate of insurance is presented in the Appendices section of this proposal.

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EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 41 Tuesday, July 8, 2025
City of Union City
4 | PUNGROUP.CPA
Firm Qualifications and Experience
Established in 2012, The Pun Group, LLP stands as a limited liability partnership comprising a team of sixty dedicated professionals who specialize in providing auditing, accounting, and advisory services.

Our firm, which includes Certified Public Accountants and Business Advisors, has garnered recognition as one of the foremost accounting entities in Orange County, as acknowledged by the Orange County Business Journal. Additionally, we proudly secure a place among the CalCPA Top 150 firms.

Our distinction within the industry lies in the fusion of hands-on experience and pragmatic knowledge demonstrated by our audit professionals. This combination sets our firm apart. We possess a profound grasp of prevailing regulations and issues bolstered by our technical acumen. Furthermore, our commitment to diligence, integrity, and collaborative teamwork is evident in every engagement we undertake, thus contributing to our clients' success.

The Partners’ Group is a distinguished assembly comprising notable professionals such as Frances Kuo, Coley Delaney, Andrew Roth, John Georger Jr., Jim Fritzsche, and Sophia Kuo.

We specialize in providing auditing, accounting, and advisory services to numerous governmental entities across the United States. With a collective experience of over two centuries, we have established ourselves as a trusted business ally and have gained recognition as industry leaders in a rapidly expanding market. Our dedication to the field is evident through our work with nearly 100 government and not-for-profit audit clients, demonstrating our unwavering passion and unparalleled municipal experience.

Moreover, our practices adhere to professional standards embraced nationwide within the United States of America, including the rigorous criteria outlined in the Government Auditing Standards issued by the Comptroller General of the United States.

The Firm’s headquarters are located in Orange County, California, with five branches in San Diego, Walnut Creek, Sacramento (California), Las Vegas (Nevada), and Phoenix (Arizona).

The Walnut Creek Office, located at 2121 North California Boulevard, Suite 290, Walnut Creek, CA 94596, will perform the requested services for the City. However, we may assign additional staff from our other offices to the engagement at no extra cost to the City. No subcontractors will be used in this engagement.

Global Capabilities
The Pun Group LLP is an independent member of Allinial Global, an association of over 100 independent accounting and consulting firms. Based in North America, Allinial Global offers international support by connecting its member firms to providers and global networks of accounting firms worldwide.

OUR

AFFILIATIONS

OUR FIRM

AT A GLANCE
60 full-time auditing,
accounting, tax and
advisory professionals
One of the fastest growing
firms serving California,
Nevada and Arizona
6 offices across
3 states
Client retention rate:
90 – 95%
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EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 42 Tuesday, July 8, 2025
City of Union City
5 | PUNGROUP.CPA
Full-Time Government Auditors
As full-time government auditors, we understand that governmental entities do not operate independently but in an increasingly complex web of local, state, and federal relationships. We know how these relationships work, what they mean at the local level, and how every public organization’s focus on resource management is critical to success.

Also, while many accounting Firms can provide services, not all can build excellent working relationships with their clients. The Pun Group LLP prides itself on developing lasting, personal relationships with our clients. Our hands-on partner involvement and low personnel turnover are crucial tools to our success and are highly beneficial to the City.

Local Office’s Information Technology (IT) Audit Capabilities The Pun Group LLP continues our efforts to invest in our IT system to enhance our security further and promote audit efficiency.

Top security for your data is the key to our success. When we have your data virtualized, our Firm takes all the preventive steps to avoid putting your information at risk. Our In-House IT administrator maintains our server to ensure our IT environment is continuously updated with the latest security fixes. Through VPN and Microsoft Remote Desktop, our In-House network administrator can lock down files and system access from a single point, limiting the ability of remote sites to take data from our server.

Access to systems from anywhere and anytime. With more mobility being the norm rather than the exception, our engagement team needs robust access to the engagement files when they are working in your office. Accounting and Auditing Software applications are installed in our “Private” server and can be securely accessed through VPN and Microsoft Remote Desktop. The Firm uses CCH ProSystem fx® Engagement for audit documentation, which allows real-time synchronization of the work papers and instant collaboration quality control review.

Secure Data File Transfer System. In order to improve audit efficiency, workflow management software plays an essential role between your organization and our engagement team. We employ a secure data file transfer system called Suralink.

Suralink’s dynamic request list is integrated with our secure file-hosting system for seamless document-request coordination. It means all our requests are in one place, updated in real-time, and accessible by everyone working on the engagement. As a client, you no longer have to manually maintain a spreadsheet amongst several people, only to repeat the process in a day or two. Not only makes the operation more cost-efficient, but it also enables you and your team to spend your time getting the job done, not reconciling a messy list of outstanding items.

The Suralink dashboard, as shown below, allows you to visualize the process of document-request fulfillment.

BIG FIRM EXPERTISE.

SMALL FIRM VALUES.

Our professional backgrounds at major national
firms showed us how to solve complicated
business and accounting challenges, but the
sense of personal connection was missing.

We launched The Pun Group because we believe
every client deserves to work with experienced
business advisors and CPAs who have the time –
and take the time – to create an authentic
connection. Every client is our top priority!
A UNIQUE CULTURE.
“Personalization” is not just a buzzword – it’s part
of our firm’s culture. We take a personal approach
to everything we do. We collaborate with our
clients, so they’re always part of the process. We
listen to our staff to make sure they have the right
support and resources to do a great job. Getting to
know others and discovering how we can serve
them better is not just a sign of good business
practices; it’s a sign of good people.

INNOVATION EMBRACED.

New ideas keep you ahead of the game. From
leveraging the value of emerging technologies to
further refining trusted processes, we adopt proven
solutions to meet your needs.

WHERE YOU GO, WE GO.

WHERE YOU GROW, WE GROW.

Our success is defined by how you achieve yours.

Partner with accomplished accounting and
financial professionals who are laser-focused on
taking your business to the next level.

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EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 43 Tuesday, July 8, 2025
City of Union City
6 | PUNGROUP.CPA
Our Services
Our partners and seasoned professionals are always available, guiding clients through their periods of rapid growth as well as difficult times. We are able to do that by offering a portfolio of accounting services that are as diverse as the jurisdictions and entities themselves. The Pun Group LLP has successfully provided professional auditing, accounting, financial reporting, and management advisory/consulting services to a broad spectrum of governmental entities.

ASSURANCE ADVISORY OTHER SERVICES
 Financial statements audits
 Compliance audits
 Performance audits
 Internal audits
 Service organization
controls audits
 Operational reviews/risk
advisory services
 Forensic investigation
 Financial condition
analysis
 Organizational structure
review
 Cash flow analysis
 Debt restructuring
consultation
 Litigation restructuring
consultation
 Assistance with the
preparation and review of the
Annual Comprehensive
Financial Report
 Government property lease
excise tax compliance review
 Sub-recipient monitoring
 Implementation of new GASB
pronouncements
 Audit readiness services
 Contract Finance
Director/Accountant services
Cannabis Compliance Services
Many cities have authorized commercial cannabis to operate within their local jurisdiction.

Compliance issues are common in California’s newly regulated cannabis industry, which is no surprise given the complexity of the state’s regulatory landscape.

The Pun Group LLP has developed a platform to guide government agencies and commercial enterprises through the new and challenging steps in this emerging market. We have partnered with Simplifya, which has developed a cloudbased government agency/licensee compliance solution. Simplifya, headquartered in Denver, Colorado, and at the forefront since legalization in Colorado, has been an industry leader in commercial cannabis compliance since 2016.

This new software allows government agencies to monitor their licensees at every stage of the approval process, from initial licensing to renewal and continuing disclosure requirements. Your communities demand that these new cannabis businesses operate based on the ordinances that you have passed. We can help ensure businesses are working in compliance, and when they are not, your team receives an immediate notification.

The Pun Group LLP has proven itself as a leader in the assurance and advisory field in the government arena. With the addition of Simplifya to our service offering, we have strengthened our position as a leading firm to help with your compliance needs and in unconventional areas as they emerge.

Joint Venture or Consortium
This project will not be accomplished by a Joint Venture or consortium. No subcontractors will be hired and/or utilized to provide the requested services to the City.

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EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 44 Tuesday, July 8, 2025
City of Union City
7 | PUNGROUP.CPA
Peer Review
Being a member of the American Institute of Certified Public Accountants (AICPA), The Pun Group LLP is required to obtain an independent peer review of our audit and accounting practice every three (3) years. The peer reviewer assessed the Firm’s quality-control policies, reviewed administrative records, interviewed professional personnel, and inspected the Firm’s working papers and reports from a representative sample of accounting and auditing engagements, including governmental audits. The reviewer concluded that the Firm fully complied with the AICPA’s stringent standards for quality control and issued a peer review rating of “Pass.” A copy of our most recent peer review is presented below.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 45 Tuesday, July 8, 2025
City of Union City
8 | PUNGROUP.CPA
Federal or State Desk Review
No federal or state desk reviews or field reviews have been undertaken of any audits performed by the Firm or any of its partners, managers, or professionals during the past three (3) years.

Disciplinary Action
State regulatory bodies or professional organizations have taken no disciplinary action against the Firm or any of its partners, managers, or professionals during the past three (3) years.

The Firm has no conditions such as bankruptcy, pending litigations, planned office closures, mergers, or any organizational conflict of interest that may affect the ability of the Firm to perform the required duties requested by the City of Union City.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 46 Tuesday, July 8, 2025
City of Union City
9 | PUNGROUP.CPA
Partner, Supervisory, and Staff Qualifications and Experience Who We Are
The engagement team was carefully selected to provide the City with all the services needed to successfully complete the audit. Your assigned Engagement and Technical Partners will be personally involved in the project, leading a team that has significant experience in governmental auditing. You can be confident that our broad experience and technical capabilities will allow us to provide technical support, interpret findings, and offer practical solutions to any issues that may arise.

About Your Engagement Team
The personnel assigned to this engagement are fully qualified to perform an effective audit of the City, and their extensive experience will be critical to the audit process. Our professionals are familiar with the complexities of governmental accounting, auditing, and financial reporting, including but not limited to all GASB pronouncements, the Single Audit Act, Uniform Guidance (formerly known as OMB Circular A-133), and fund operations. They have held positions as professional certified public accountants, as well as significant roles within and outside of government agencies. Such qualities will bring to an entity like the City of Union City the thought leadership, quality, and level of experience it requires.

As full-time government auditors, we understand that governmental entities do not operate independently but in an increasingly complex web of local, state, and federal relationships. We know how these relationships work, what they mean at the local level, and how every public organization’s focus on resource management is critical to success.

Also, while many accounting Firms can provide services, not all can build excellent working relationships with their clients. The Pun Group LLP prides itself on developing lasting, personal relationships with our clients. Our hands-on partner involvement and low personnel turnover are crucial tools to our success and are highly beneficial to the City.

Because of the “familiarity threat” under the professional audit and independence standards that may exist in longterm relationships with audit firms, the Firm is committed and has sufficient resources to rotate engagement partners, managers, and or supervisors assigned to the City’s audit with personnel with similar or higher qualifications and experience in order to overcome this threat.

If the Firm changes key personnel, we will provide the City with a written notification. Engagement partners, managers, and specialists will only be changed with the express prior written permission from the City. Audit personnel may be replaced only by those with similar or better qualifications and experience.

Frances J. Kuo, CPA, CGMA | Engagement/Lead Partner
Frances Kuo is the Managing Partner at the Firm. She has extensive experience in providing audit and advisory services to local government agencies, including public pension plans, cities, counties, special districts, community colleges, and joint powers authorities, as well as not-for-profit organizations. Ms. Kuo brings a wealth of experience from her background in audits and advisory services in areas such as internal controls, policy development, and accounting system implementation. She is a Certified Public Accountant and a Chartered Global Management Accountant.

In her capacity as the Engagement/Lead Partner, Ms. Kuo will be overseeing the Engagement Team, developing the audit plan, reviewing fieldwork for quality, approving final reports, and communicating with the designated City team.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 47 Tuesday, July 8, 2025
City of Union City
10 | PUNGROUP.CPA
Coley Delaney, CPA | Technical/Concurring Partner
Coley Delaney serves as a Partner in The Pun Group, LLP's Assurance division, leveraging his extensive fifteen years of accounting and auditing expertise. Over the course of his career, he has undertaken audits and various attestation services for numerous governmental entities across California. These encompass cities, counties, transportation agencies, public financing authorities, housing authorities, redevelopment agencies, and special districts. He holds the distinction of being a Certified Public Accountant.

In his role, Mr. Delaney will assume the position of Technical/Concurring Partner. This entails conducting a secondary review of crucial high-risk areas, audit reports, and the resolution of significant accounting, auditing, and reporting concerns.

John (“Jack”) F. Georger, CPA, CIA, CGMA | GASB Implementation Specialist Throughout his forty years of experience, Mr. Georger has spent many years in the “Big 4” and national firms. He worked diligently alongside numerous governmental municipalities, including cities, counties, and transportation agencies, as well as not-for-profit entities, providing clients with financial and compliance auditing as well as consultation services. Mr.

Georger annually instructs over 300 hours in accounting and auditing subjects and has authored training material in governmental accounting and auditing for the AICPA. Mr.

Georger is also the technical reviewer of the CCH Knowledge-Based Audits™ of State and Local Governments with Single Audits, GAAP Guide (FASB), and Governmental GAAP Guide (GASB), the gold standard for audit firms throughout the United States. He is a Certified Public Accountant, a Certified Internal Auditor, and a Chartered Global Management Accountant.

Mr. Georger is responsible for reviewing all reports issued by the Firm to ensure the utmost quality and compliance with professional standards and the final quality-control assessment within the engagement.

Ross Gotthoffer, CPA | Quality Control Reviewer
With over two decades of experience, Mr. Gotthoffer has worked extensively with local firms in Florida and California, collaborating with various governmental bodies, including cities, special districts, charter schools, and nonprofits. He has provided financial and compliance audits, along with valuable consulting services. Additionally, Mr. Gotthoffer is the technical reviewer for industry-standard resources like the CCH Knowledge-Based Audits™ of State and Local Governments, GAAP Guide (FASB), and Governmental GAAP Guide (GASB).

As our firm's Quality Officer, Mr. Gotthoffer guides clients on complex accounting issues and supports the engagement team in audit-related challenges. He meticulously reviews all reports to ensure the highest quality and professional standards. He is a Certified Public Accountant in Florida and is pursuing registration in California.

Mark Hu, CPA | Engagement Manager
Mark is an Assurance Services Manager within the Firm. He will work with the engagement team and the finance personnel during the auditing process. He is a Certified Public Accountant.

Mr. Hu will secure the effective implementation of the services approach while assisting in the timely delivery of the requested services.

Seniors and Professional Staff
Every member of the assurance team possesses the qualifications necessary to conduct financial and compliance audits. This guarantees a consistent level of staff quality throughout the entire engagement period. In our commitment to both staff growth and the continuity of engagements, we actively promote senior and staff accountants to assume greater responsibilities in their ongoing engagements as part of their professional advancement.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 48 Tuesday, July 8, 2025
City of Union City
11 | PUNGROUP.CPA
Continuing Education and Professional Development
Because of our commitment to providing the highest quality of services to the City, we provide our professionals with technical training to ensure our people stay current on topics within the industry sectors and better equip themselves to serve our clients.

All professionals are required to obtain continuing education that exceeds the requirements of the American Institute of Certified Public Accountants (AICPA) and, where applicable, Government Auditing Standards. Our professionals participate in continuing education programs through the following means:
 Governmental Accounting and Auditing Conference sponsored by AICPA.  Webinar sponsored by AICPA Government Audit Quality Center.  Annual Conference sponsored by California Society Municipal Finance Officers.  Governmental Accounting and Auditing Conference sponsored by CalCPA.  The Pun Group in-house training on government-specific topics, including but not limited to GASB updates, Government Auditing Standards Revision, Fraud in State and Local Governments, COSO Internal ControlIntegrated Framework, Audit of State and Local Governments, Single Audit, and Mindbridge AI Auditors™.

In 2024, our government professionals received an average of 52 hours of continuing professional education, compared with the 40 hours of accounting industry requirement.

By expanding our knowledge through these seminars/conferences, we can provide the right solutions to our clients.

Staff Continuity
The Pun Group LLP is committed to maintaining staff continuity throughout audit engagements, and we can assure you that the partners assigned to this audit will be involved throughout the entire contract term.

While we cannot guarantee that our staff-level members will stay with the Firm, we encourage loyalty by paying competitive wages, offering opportunities for promotion, using state-of-the-art equipment, and providing excellent working conditions. Also, we offer benefits, including retirement plans, medical plans, profit-sharing programs, and continuing education.

Quality-Control System
Our Firm meticulously monitors the quality and contents of our reports. The Pun Group LLP is 100% committed to providing only the highest grade of work possible for our clients and for those who rely on our audits. The Firm strives to exceed professional industry standards because of the continuing respect for our clients and our emphasis on creating long-lasting relationships. The Pun Group LLP works exclusively with those who share the same moral integrity and values. Our quality-control system has been crafted with excellence in mind. It not only meets AICPA standards but also matches our own elevated standards, which include following various professional development activities.

Engagement Team Resumes
The City of Union City deserves experienced professionals who work as a team. The Pun Group LLP will provide qualified professionals to perform the audit. No subcontractors and/or consultants will be utilized to perform the requested services. Resumes for key engagement team members are presented as follows:

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 49 Tuesday, July 8, 2025
City of Union City
12 | PUNGROUP.CPA

EXPERIENCE
Frances Kuo serves as the Managing Partner at The Pun Group, LLP, bringing over seventeen years of experience in accounting and auditing. Her expertise spans engagements with governmental agencies, not-for-profit entities, and employee benefit plans. Frances excels in conducting financial audits compliant with GAO Yellow Book standards and compliance audits aligned with the Uniform Guidance framework, formerly known as OMB Circular A-133 standards.

In her role, Frances has led audits and provided attestation services to various municipalities across California. Her clientele includes cities, counties, successor agencies of former redevelopment agencies, housing authorities, public financing authorities, special districts, and transportation agencies. Frances's contributions have been pivotal in assisting clients in producing Annual Comprehensive Financial Reports in accordance with GASB Statement No.

34. Within the firm, Frances takes on the role of an in-house instructor, dedicatedly providing theoretical and on-the-job training to junior staff members. She has played a key role in developing comprehensive training materials covering topics such as the risk-based audit approach, GASB Statement No. 34 reporting, Single Audits, and employee benefit plan audits.

Frances also provides peer review services to other CPA firms under the practice monitoring Program of the AICPA.

EDUCATION
University of California, Riverside
B.S. Degree – Business Administration, Emphasis in Accounting University of California, Riverside
B.A. Degree – Economics

LEADERSHIP & AFFILIATIONS
 Member, American Institute of Certified Public Accountants (AICPA)  Member, California Society of Certified Public Accountants (CalCPA)  Member, California Society of Municipal Finance Officers (CSMFO)  Member, Government Finance Officers Association (GFOA)

RELEVANT EXPERIENCE
 City of Coachella  City of Corona
 City of Culver City  City of Desert Hot Springs
 City of Monterey  City of Paramount
 City of Palm Springs  City of Santa Clarita
 City of Seal Beach  City of Vernon

CONTINUING PROFESSIONAL EDUCATION
Various courses are offered by the Firm online through Thompson Reuters, AICPA, and CalCPA Education Foundation, including:
 Governmental and Nonprofit Annual Update
 Government Auditing Standards
 GASB Basic Financial Statements for State and Local Governments  Single Audits: Uniform Guidance (formerly OMB Circular A-133)  Financial Accounting Standards Board Annual Updates
 Statement on Standards for Accounting and Review Services Updates Has met/exceeded the current CPE educational requirements to perform audits of governmental agencies.

Frances J. Kuo

CPA , CGMA
Engage ment/
Lead Pa rtner
EMAIL
[email protected]

WEBSITE
www.pungroup.cpa
Expertise:

CITIES

CO UNTI ES

T RANSPORTATION

AGENCIES

ENTERPRISE

O PERATIONS

HI G HER

EDUCA TION

NOT-FOR-PROFIT
Li censed to Practice in:

California
Arizona
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 50 Tuesday, July 8, 2025
City of Union City
13 | PUNGROUP.CPA

EXPERIENCE
Coley Delaney holds the position of Partner within The Pun Group, LLP's Assurance division.

With an extensive background spanning fifteen years in accounting and auditing, Coley's professional experience encompasses collaborations with governmental agencies, not-for-profit entities, and private for-profit entities. His specialization lies in conducting financial audits adhering to GAO Yellow Book standards, as well as compliance audits in alignment with Uniform Guidance (previously known as OMB Circular A-133).

Throughout his career, Mr. Delaney has successfully executed audits and various attestation services for multiple governmental agencies across California. This includes engagement with cities, counties, redevelopment agencies, public financing authorities, housing authorities, transportation agencies, and special districts. His contributions have facilitated the accurate preparation of Comprehensive Annual Financial Reports in accordance with GASB Statement No. 34.

Beyond his client-facing responsibilities, Mr. Delaney is actively involved in internal capacity building. He is involved in developing training materials and sharing his expertise with fellow professionals within the firm. Additionally, Coley is a sought-after speaker for in-house seminars that delve into subjects related to government auditing standards and Single Audits.

EDUCATION
University of California, Santa Barbara
B.A. Degree – Business Economics, Emphasis in Accounting

LEADERSHIP & AFFILIATIONS
 Member, American Institute of Certified Public Accountants (AICPA)  Member, California Society of Certified Public Accountants (CalCPA)

RELEVANT EXPERIENCE
 City of National City  City of San Bernardino
 City of Encinitas  City of Escondido
 City of Shafter  City of Stockton
 City of Fairfield  City of Hermosa Beach
 City of Industry  San Diego Metropolitan Transit System

CONTINUING PROFESSIONAL EDUCATION
Various courses are offered by the Firm online through Thompson Reuters, AICPA, and CalCPA Education Foundation, including:
 Governmental and Nonprofit Annual Update
 Government Auditing Standards
 GASB Basic Financial Statements for State and Local Governments  Single Audits: Uniform Guidance (formerly OMB Circular A-133)  Financial Accounting Standards Board Annual Updates
 Statement on Standards for Accounting and Review Services Updates Has met/exceeded the current CPE educational requirements to perform audits of governmental agencies.

Expertise:

CITIES

CO UNTI ES

T RANSPORTATION

AGENCIES

SPECIA L

DI STRI CTS

HI G HER

EDUCA TION

NOT-FOR-PROFIT
Li censed to Practice in:

California
Coley Delaney
CPA
Technical/
Concurr ent Partner
EMAIL
[email protected]

WEBSITE
www.pungroup.cpa
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 51 Tuesday, July 8, 2025
City of Union City
14 | PUNGROUP.CPA

EXPERIENCE
Jack Georger is the Chief GASB Implementation Specialist within The Pun Group LLP’s Assurance division. By leveraging more than forty years of public accounting and auditing experience in the government, agribusiness, financial services, manufacturing, and nonprofit sectors, Mr. Georger brings in-depth knowledge and practical expertise to each engagement.

Jack coordinates, plans, and manages financial audit activities, consulting activities, federal and state compliance audit activities, performance audits, and numerous quality control and internal control reviews for a broad mix of governmental agencies and programs throughout the United States.

Mr. Georger leads our Peer Review department providing peer review services to other firms under the practice monitoring program of the AICPA.

Mr. Georger is a continuing professional education course instructor for the AICPA. Annually, he instructs over 300 hours in accounting and auditing subjects. Jack has authored training material in governmental accounting and auditing for the AICPA. He is the technical reviewer of the CCH Knowledge-Based Audits™ of State and Local Governments with Single Audits, GAAP Guide (FASB), and Governmental GAAP Guide (GASB).

Mr. Georger is licensed to practice as a certified public accountant in the states of California, New York, Virginia, Maryland, the District of Columbia, Missouri (inactive), Connecticut (inactive), and Wyoming (inactive). He is a Certified Internal Auditor (CIA).

EDUCATION
George Mason University Fairfax, Virginia
B.S. Degree – Accounting

LEADERSHIP & AFFILIATIONS
 Member and Instructor, American Institute of Certified Public Accountants (AICPA)  Member, Institute of Internal Auditors
 Member, California Society of Certified Public Accountants (CalCPA)  Member, New York Society of Certified Public Accountants (NYSSCPA)  Chairman, NYSSCPA Government Accounting and Auditing Committee  Member, NYSSCPA Auditing Standards Committee
 Member, NYSSCPA Sustainability Committee
 Member, NYSSCPA Not-for-Profit Committee
 Nevada Society of Certified Public Accountants (NSCPA)  Member, Government Finance Officers Association (GFOA) – Reviewer  Member, Institute of Internal Auditors

CONTINUING PROFESSIONAL EDUCATION
He has instructed over 300 hours of municipal accounting courses offered by the AICPA.

Has met/exceeded the current CPE educational requirements to perform audits of governmental agencies.

John F. Georger, Jr .

CPA, CIA, CGMA
GASB
Implementation
Specialist
EMAIL
[email protected]
WEBSITE www.pungroup.cpa
Expertise:

CITIES

COUNTIES

TRANSPORTATION

AGENCIES

ENTERPRISE

OPERATIONS
HIGHER

EDUCATION

NOT-FOR-PROFIT
Licensed to Practice in:

California
Arizona
Nevada
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 52 Tuesday, July 8, 2025
City of Union City
15 | PUNGROUP.CPA

EXPERIENCE
Ross Gotthoffer, a Director in The Pun Group LLP's Assurance division, boasts over two decades of public accounting and auditing experience across diverse sectors such as government, agribusiness, financial services, manufacturing, and nonprofits. His wealth of knowledge and practical expertise enhances every engagement.

As a seasoned Quality Control Reviewer at the CPA firm, Mr. Gotthoffer ensures the highest standards of accuracy and compliance. His meticulous approach encompasses the evaluation of financial statements, auditing processes, and regulatory adherence. With a proven track record, he actively contributes to enhancing overall quality control protocols, providing valuable insights, and fostering a culture of excellence within the organization.

Mr. Gotthoffer's responsibilities include conducting comprehensive quality reviews of all reports, ensuring that audits align with both firm and professional standards. He serves as a key resource for technical and operational issues, bringing a depth of expertise to the role.

Additionally, Mr. Gotthoffer holds the position of technical reviewer for significant publications like CCH Knowledge-Based Audits™ of State and Local Governments with Single Audits, GAAP Guide (FASB), and Governmental GAAP Guide (GASB). He is a licensed certified public accountant in the state of Florida.

EDUCATION
University of South Florida, Tampa, Florida
Master of Accountancy

LEADERSHIP & AFFILIATIONS
 Member, American Institute of Certified Public Accountants (AICPA)  Member, Florida Institute of Certified Public Accountants (AICPA)  Member, Government Finance Officers Association (GFOA) – Reviewer

CONTINUING PROFESSIONAL EDUCATION
Has met/exceeded the current CPE educational requirements to perform audits of governmental agencies.

Ross Gotthoffer
CPA
Quality Control
R eviewer
EMAIL
[email protected]

WEBSITE
www.pungroup.cpa
Expertise:

CITIES

CO UNTI ES

T RANSPORTATION

AGENCIES

ENTERPRISE

O PERATIONS

HI G HER

EDUCA TION

NOT-FOR-PROFIT
Li censed to Practice in:

Florida
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 53 Tuesday, July 8, 2025
City of Union City
16 | PUNGROUP.CPA

EXPERIENCE
Mark Hu, CPA, is an Assurance Services Manager at The Pun Group LLP with more than eight years of experience in providing accounting and audit services, internal control and risk evaluation, and business consulting to privately held and public companies. Mr. Hu has worked with clients in a variety of industries, including large not-for-profit entities, insurance carriers, manufacturing and distribution, and government entities.

Mark has been responsible for managing, planning, and performing financial and regulatory external and internal audits and for developing and conducting internal control procedures and risk assessment evaluations. He has evaluated key processes within companies to determine areas of operation and efficiencies for potential internal control weaknesses, developed findings into recommended courses of action, and reported comments and recommendations for resolution.

Mr. Hu has provided accounting support services to local not-for-profits and governments, including financial statement analysis and preparation.

EDUCATION
Hofstra University, New York
M.S. Degree – Accounting

LEADERSHIP & AFFILIATIONS
 Member, California Society of Certified Public Accountants (CalCPA)

RELEVANT EXPERIENCE
 City of Stockton  City of Gilroy
 City of South Gate  West Valley Water District
 Alameda County Water District  Zone 7 Water Agency
 City of Lodi  City of Pacific Grove
 City of Port Hueneme
 City of Menlo Park
 City of San Mateo
 City of Monterey Park

CONTINUING PROFESSIONAL EDUCATION
Various courses are offered by the Firm online through Thompson Reuters, AICPA, and CalCPA Education Foundation, including:
 Governmental and Nonprofit Annual Update
 Government Auditing Standards
 GASB Basic Financial Statements for State and Local Governments  Single Audits: Uniform Guidance (formerly OMB Circular A-133)  Financial Accounting Standards Board Annual Updates
 Statement on Standards for Accounting and Review Services Updates Has met/exceeded the current CPE educational requirements to perform audits of governmental agencies.

Mark Hu
CPA
Engage ment
Manager
EMAIL
[email protected]

WEBSITE
www.pungroup.cpa
Expertise:

CITIES

T RANSPORTATION

AGENCIES

ENTERPRISE

O PERATIONS

NOT-FOR-PROFIT
Licensed to Practice in:

California
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 54 Tuesday, July 8, 2025
City of Union City
17 | PUNGROUP.CPA
Similar Engagements with Other Government Entities
References
The following are examples of some of the engagements with similar requirements as the City of Union City’s proposal. Please feel free to contact these agencies to learn more about their experiences working with us.

Name of Public Agency San Diego Metropolitan Transit System Contact Info Ms. Erin Dunn, Controller
[email protected] | (619) 557-4536
Address 1255 Imperial Avenue, Suite 1000 San Diego, CA 92101 Total Hours Approximately 1,850 hours
Contract Price $225,000/year
Date of Services 2015 – Present
Scope of Work/
Reports Prepared
Financial Audit and Compliance Services: Annual Comprehensive Financial Report Audit, GFOA Award, San Diego Transit Corporation Employee’s Retirement Plan, AUP/National Transit Database (NTD): MTS, San Diego Transit Corp., San Diego Trolley, Inc., AUP/Transportation Development Act (TDA): MTS, San Diego Transit Corp., San Diego Trolley, Inc., AUP/Indirect Costs, and Public Transportation Modernization Improvement Service Enhancement Account (PTMISEA).

Name of Public Agency City of Cupertino
Contact Info Ms. Kristina Alfaro, Director of Administrative Services [email protected] | (408) 777-3356
Address 10300 Torre Ave, Cupertino, CA 95014
Total Hours 1120 hours
Contract Price $148,000/year
Date of Services 2023 – Present
Scope of Work/
Reports Prepared
Financial Audit and Compliance Services: Annual Comprehensive Financial Report, GFOA Award, Single Audit, GANN Limit, TDA Investment Policy.

Name of Public Agency City of Tracy
Contact Info Ms. Sara Cowell, Director of Finance
[email protected] | (209) 831-6862
Address 333 Civic Center Plaza, Tracy, CA 95376
Total Hours 960 hours
Contract Price $96,500/year
Date of Services 2021 – Present
Scope of Work/
Reports Prepared
Financial Audit and Compliance Services: Annual Comprehensive Financial Report, GFOA Award, Single Audit, GANN Limit, National Transit Database (NTD), State Controller’s Reports (City, PFA, Operating Partnership JPA, City’s Transit Operator’s General Services, and Specialized Services)
Name of Public Agency City of Desert Hot Springs
Contact Info Mr. Geoffrey Buchheim, Finance Director
[email protected] | (760) 329-6411
Address 11999 Palm Drive, Desert Hot Springs, CA 92240
Total Hours 700 hours
Contract Price $75,000/year
Date of Services 2013 – Present
Scope of Work/
Reports Prepared
Financial Audit and Compliance Services: Annual Comprehensive Financial Report Audit, GFOA Award, Single Audit, GANN Limit, Desert Hot Springs Successor Agency, Desert Hot Springs Financing Authority, Desert Hot Springs Health and Wellness Foundation, New Market Tax Credit Audit (Desert Hot Springs Health and Wellness Foundation), Annual State Controller’s Reports, AUP/Transient Occupancy Tax, Utility User Tax, DHS Housing Audits.

Name of Public Agency City of National City
Contact Info Mr. Phillip Davis, Financial Analyst
[email protected] | (619) 336-4246
Address 1243 National City Blvd., National City, CA 91950 Total Hours 600 hours
Contract Price $70,000/year
Date of Services 2013 – Present
Scope of Work/
Reports Prepared
Financial Audit and Compliance Services: Annual Comprehensive Audit, GFOA Award, Single Audit, GANN Limit, HUD Single Audit/Morgan Towers, Financial and Compliance Reports – Kimball Towers, Annual State Controller’s Report.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 55 Tuesday, July 8, 2025
City of Union City
18 | PUNGROUP.CPA
List of Current Municipal Clients
The Pun Group LLP has performed numerous audits of organizations subject to financial and compliance audits. These audits were performed under auditing standards generally accepted in the United States, Government Auditing Standards, Uniform Guidance (formerly known as OMB Circular A-133), and its Compliance Supplement (when applicable), Office of the State Controller’s Minimum Audit Requirements and Reporting Guidelines.

A representative list of our current clients is as follows:

Municipalities Dates Financial
Audit
Single
Audit
GFOA
Certificate
Total
Hours
City of Adelanto 2021 – Present Yes Yes Yes 700
City of Anderson 2023 – Present Yes Yes N/A 530
City of Arvin 2013 – Present Yes Yes N/A 400
City of Baldwin Park 2022 – Present Yes Yes Yes 700
City of Bell 2018 – Present Yes Yes Yes 520
City of Bradbury 2012 – Present Yes N/A N/A 150
City of Calexico 2007 – Present Yes Yes N/A 750
City of Clovis 2006 – Present Yes Yes Yes 500
City of Coachella 2017 – Present Yes Yes Yes 410
City of Commerce 2023 – Present Yes Yes Yes 570
City of Cottonwood, AZ 2007 – Present Yes Yes Yes 400
City of Corona 2021 – Present Yes Yes Yes 640
City of Cudahy 2023 – Present Yes Yes Yes 500
City of Cupertino 2023 – Present Yes Yes Yes 1120
Town of Corte Madera 2022 – Present Yes Yes N/A 400
Town of Danville 1999 – Present Yes Yes Yes 400
City of Douglas, AZ 2020 – Present Yes Yes Yes 300
City of Desert Hot Springs 2013 – Present Yes N/A N/A 700 City of Encinitas 2024 – Present Yes Yes Yes 600
City of Fairfield 2025 – Present Yes Yes Yes 928
City of Fresno 2022 – Present Yes Yes Yes 1,450
City of Gilroy 2020 – Present Yes Yes Yes 640
City of Hercules 2020 – Present Yes Yes Yes 450
City of Indio 2024– Present Yes Yes Yes 708
City of Lake Elsinore 2023 – Present Yes Yes Yes 460
City of Lakewood 2013 – Present Yes Yes Yes 380
City of Madera 2019 – Present Yes Yes Yes 470
City of Menlo Park 2023 – Present Yes Yes Yes 550
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 56 Tuesday, July 8, 2025
City of Union City
19 | PUNGROUP.CPA
Municipalities Dates Financial
Audit
Single
Audit
GFOA
Certificate
Total
Hours
City of Montebello 2022 – Present Yes Yes Yes 600
County of Monterey 2023 – Present Part of the audit & consulting services pool TBD City of Monterey Park 2023 – Present Yes Yes Yes 612
City of National City 2013 – Present Yes Yes Yes 600
City of Newport Beach 2024 – Present Part of the internal audit consulting services TBD City of Pacific Grove 2023 – Present Yes Yes Yes 490
City of Paramount 2023 – Present Yes Yes Yes 460
City of Patterson 2017 – Present Yes Yes Yes 450
City of Placerville 2008 – Present Yes Yes N/A 400
City of Pleasanton 2024 – Present Yes Yes Yes 700
City of Pinole 2023 – Present Yes Yes Yes 400
City of Redlands 2022 – Present Yes Yes Yes 650
City of Redwood City 2025 – Present Yes Yes Yes 1,340
City of Ridgecrest 2009 – Present Yes Yes Yes 300
City of Rohnert Park 2020 – Present Yes Yes Yes 700
City of Salinas 2022 – Present Yes Yes Yes 800
City of San Mateo 2021 – Present Yes Yes Yes 900
City of Santa Clarita 2022 – Present Yes Yes Yes 1,200
City of Santa Cruz 2023 – Present Yes Yes Yes 800
City of Seal Beach 2017 – Present Yes Yes Yes 410
City of Stockton 2012 – Present Yes Yes N/A 3,000
City of Tracy 2021 – Present Yes Yes Yes 960
Town of Tiburon 2022 – Present Yes Yes Yes 452
City of Vernon 2023 – Present Yes Yes Yes 1000
City of Ventura 2024 – Present Yes Yes Yes 960
City of Visalia 2021 – Present Yes Yes Yes 650
Imperial County Transportation
Commission 2020 – Present Yes Yes Yes 600
San Diego Metropolitan Transit System 2005 – Present Yes Yes Yes 1,850 Carmel Area Wastewater District 2022 – Present Yes Yes N/A 150 CAWD/PBSCD Wastewater Reclamation
Project 2022 – Present Yes N/A N/A 150
Central Basin Water District 2018 – Present Yes Yes N/A 400 Emerald Bay Service District 2024 – Present Yes Yes N/A 225 Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 57 Tuesday, July 8, 2025
City of Union City
20 | PUNGROUP.CPA
Municipalities Dates Financial
Audit
Single
Audit
GFOA
Certificate
Total
Hours
Helix Water District 2024 – Present Yes Yes Yes 320
Los Angeles County Law Library 2020 – Present Yes N/A N/A 180 NALEO Educational Fund and NALEO 2020 – Present Yes N/A N/A 300 Olivenhain Municipal Water District 2019 – Present Yes Yes Yes 200 Padre Dam Municipal Water District 2020 – Present Yes Yes Yes 250 San Bernardino County Preschool
Services Department 2020 – Present Yes Yes N/A 150
San Bernardino County Fire Protection
District 2016 – Present Yes N/A N/A 200
Santa Fe Irrigation District 2019 – Present Yes N/A N/A 250 San Mateo County Mosquito & Vector
Control District 2024 – Present Yes N/A N/A 220
Sweetwater Authority 2022 – Present Yes Yes Yes 270
South Bay Cities Council of Governments 2020 – Present Yes N/A N/A 100 South Orange County Water Authority 2017 – Present Yes Yes Yes 240 South Bay Regional Public
Communications Authority 2015 – Present Yes N/A N/A 100 West Valley Mosquito and Vector Control
District 2016 – Present Yes N/A N/A 100
West Valley Water District 2018 – Present Yes N/A N/A 430 Zone 7 Water Agency 2020 – Present Yes Yes Yes 400
GFOA Award Program
The Pun Group LLP realizes the importance of maintaining the Certificate for Excellence in Financial Reporting from the GFOA. Our professionals are exceptionally well qualified to assist governments in obtaining and maintaining their certificates.

Our dedication and active engagement in shaping auditing and accounting standards are evident through our enthusiastic participation in the GFOA's financial statements certificate programs. Remarkably, all of our present clients who have submitted their Annual Comprehensive Financial Reports to the GFOA have been honored with these prestigious awards.

Also, our senior partner, Mr. John F. Georger, is a member of the Government Finance Officers Association and participates in the GFOA Special Review Committee.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 58 Tuesday, July 8, 2025
City of Union City
21 | PUNGROUP.CPA
Firm’s Experience with Single Audit and Grants
The Pun Group LLP works with numerous organizations that receive extensive governmental funding and are subject to auditing under Uniform Grant Guidance. This Firm’s specialization helps our audit team understand the procedures’ nuances and execute the engagement accordingly. We also assist in preparing the data collection form and preparing the reporting package for submission to the federal audit clearinghouse.

The Firm is a member of the AICPA Governmental Audit Quality Center and has demonstrated its commitment to audit quality, including those performed under Government Auditing Standards and Uniform Guidance. Also, we are a recipient of the Single Audit Resource Center’s Award for Excellence. This award is based on the positive feedback result from our clients in an independent survey, demonstrating our Firm’s highest commitment to quality and client satisfaction.

We utilize standardized audit programs from the federal government’s Compliance Supplement to ensure that our procedures meet federal standards. Our audit programs are continually updated to reflect the revisions of OMB.

Our Uniform Guidance risk-based approach focuses on areas of higher risk of non-compliance. Such an approach truly reflects the federal government's intent by concentrating on the following four steps:

1. Planning & Internal control assessment: The engagement team will obtain an understanding of the City and its operating environment and its internal control over the Schedule of Expenditures of Federal Awards. The engagement team will perform the major program determination and communicate with the City’s management before conducting major program testing.

2. Testing & compliance assessment: The engagement team will obtain an understanding of internal control over compliance on the direct and material compliance requirements for each major program. The engagement will perform testing on internal controls over compliance to ensure the controls are in place working effectively and properly and that the City is in compliance with the applicable regulations in administering major programs.

3. Reporting & Review: The engagement team will review and prepare the single audit reports and perform quality control procedures following the Quality Control Standards issued by the AICPA. Any comments will be issued to the management or the Charge with Governance, depending on the magnitude of the issues. Upon obtaining the final approvals from management, the Single Audit report will be issued.

4. Issuance to Clearing House: The engagement team will assist the City in drafting the data collection form and completing the final submission, including uploading the audit package to the Federal Clearing House.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 59 Tuesday, July 8, 2025
City of Union City
22 | PUNGROUP.CPA
Our Firm has audited hundreds of millions of dollars in federal expenditures, making our engagement team uniquely experienced in single audits. We are familiar with grantors, such as:

Following are a few examples of the types of federal programs our engagement team has experience auditing:
 Corporation for National and Community Services
 Department of Agriculture
 Department of Education
 Department of Health and Human Services
 Department of Housing and Urban Development
 Department of Transportation
 Environmental Protection Agency
 Department of Commerce
 Department of Labor
 Department of Homeland Security
 Department of Justice
 Department of Treasury
 Executive Office of the President
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 60 Tuesday, July 8, 2025
City of Union City
23 | PUNGROUP.CPA
Firm’s Experience with Finance and Community Development Institutions Our Firm has provided professional services to several Finance Authorities, as well as Community Development Agencies. Some examples are:

Finance Authorities:
 City of Bell Public Finance Authority
 City of Desert Hot Springs Financing Authority
 City of Hercules Public Financing Authority
 City of Lakewood Public Financing Authority
 City of Madera Financing Authority
 City of Palm Springs Public Financing Authority
 City of Patterson Financing Authority
 West Patterson Financing Authority
 City of Perris Public Financing Authority
 City of Pomona Public Financing Authority
 Town of Danville Financing Authority
Community Development Agencies:
 City of Lodi (Special Purpose Audits – Community Development Block Grant/Home Funds)  Morgan Towers (Multi-Family Program), National City Community Development Commission  National City Community Development Commission
 Perris Community Economic Development Corporation
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 61 Tuesday, July 8, 2025
City of Union City
24 | PUNGROUP.CPA
Firm’s Experience Performing Compliance Audits and Agreed-upon Procedures (Measures) Our Firm has performed several audits with requirements similar to the ones requested by the City. Some examples follow:

Measure A
 City of Coachella
 City of Hemet
 City of Perris
 City of Stockton
Measure B
 City of Hercules
 City of Stockton
Measure BB
 City of Seal Beach
Measure N (Formerly Measure C)
 City of Hercules
Measure D
 City of Palm Springs
 Imperial County Local Transportation Authority
Measure G
 City of Gardena
Measure J
 City of Palm Springs
Measure L
 City of Huntington Park
Measure M
 City of Culver City
 City of Stockton
Measure O
 City of Hercules
Measure R
 City of Culver City
 City of Gardena
 City of Lynwood
Measure T
 City of Madera
Measure U
 City of Port Hueneme
Measure W
 City of Stockton
Measure X
 City of Monterey
Measure Z
 Southwestern Community College District
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 62 Tuesday, July 8, 2025
City of Union City
25 | PUNGROUP.CPA
Firm’s Experience with State Controller’s Reports
The Pun Group LLP has assisted numerous clients with the preparation of the required reports by the California State Controller’s Office. Some of these experiences are as follows:

Cities Financial Transactions Report:
 City of Arvin
 City of Bell
 City of Coachella
 City of Culver City
 City of Desert Hot Springs
 City of Hercules
 City of Placentia
 City of Laguna Niguel
 City of Lakewood
 City of Lynwood
 City of Monterey
 City of Morro Bay
 City of Napa
 City of National City
 City of Palm Springs
 City of Perris
 City of Rohnert Park
 City of South Gate
 City of Stockton
Annual Street Report:
 City of Desert Hot Springs
 City of Laguna Niguel
 City of Napa
 City of Palm Springs
 City of Perris
 City of Stockton
Special Districts Financial Transactions Report:
 Special District of West End Water Development Treatment and Conservation Joint Powers Authority  Special District of West Valley Water District
 Special District of Coachella Financing Authority
 Special District of Coachella Sanitary District (Riverside)  Special District of Coachella Water Authority
 Special District of Desert Hot Springs Public Financing Authority  Special District of Desert Hot Springs Successor Agency  Special District of Perris Public Utility Authority
 Special District of Perris Public Financing Authority  Special District of Perris Joint Powers Authority
 Special District of Central Basin Municipal Water District  Special District of Marina Coast Water District
 Special District of Menlo Park Fire Protection District  Special District of San Bernardino County Fire Protection District Transit Operators Financial Transactions Report:
 City of Arvin
 City of Culver City
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 63 Tuesday, July 8, 2025
City of Union City
26 | PUNGROUP.CPA
Our Professional’s Experience with Pensions and Other Post-Employment Benefits Members of our team have experience in providing professional services to the following employee retirement systems:
 California Public Employees' Retirement System (CALPERS)  Culver City Other Postemployment Benefit Plan
 Nevada Public Employees Retirement Systems
 Sacramento County Employees’ Retirement System
 San Francisco Community College District
 San Diego County Employees Retirement Association
 San Diego City Employees’ Retirement System
 San Diego Transit Corporation Employee’s Retirement Plan  San Jose Employee Retirement System
 University of California Pension Plans
In addition, our team draws years of expertise reviewing budget documents as well as various pension and other post-employment benefits (“OPEB”) plan documents, including but not limited to trust agreements, pension, and OPEB actuarial reports, GASB 68 and 75 reports, as well as GASB 75 reports prepared under Alternative Measurement Methods. A relevant list of plans includes:
 California Public Employees' Retirement System GASB 68 reports  Public Agency Retirement System (“PARS”) GASB 68 reports  San Bernardino County Employees’ Retirement Association (“SBCERA”) GASB 68 reports  PARS GASB 75 reports
Experience in Performing Program-Specific Audits
The assigned engagement team will count on their experience with numerous financial and compliance audits as well as agreed-upon procedures to deliver the requested services to the City. Our team is extremely experienced with the following:
 National Transit Database (“NTD”)
 Federal Transit Administration (“FTA”)
 Local Transportation Fund (“LTF”)
 State Transit Assistance Fund (“STAF”)
 State of Good Repair (“SGR”)
 Low Carbon Transit Operations Program Accounts (“LCTOP”)  Public Transportation Modernization Improvement and Service Enhancement Account (PTMISEA)  Proposition 1B
 State of California Transportation Development Act (“TDA”), including the requirements of the Southern California Association of Governments’ Transportation Development Act Conformance Auditing Guide  Special District, Transit District Reporting, and Transportation Reporting Requirements, as specified by the California State Controller
 Sales Tax Measures
 Debt Compliance/Bond Debt
We have conducted financial, and compliance audits for transportation clients, such as:
 Big Bear City Airport District  Culver City Bus Lines  GTrans (Gardena Municipal Bus Lines)  Gold Coast Transit  Imperial County Local Transportation Authority  North County Transit District  San Diego Metropolitan Transit System  Shasta Regional Transportation Authority  SunLine Transit Agency  Ventura County Transportation Commission  Imperial County Transportation Commission  Nevada County Transportation Commission Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 64 Tuesday, July 8, 2025
City of Union City
27 | PUNGROUP.CPA
Firm’s Expertise and Experience in Governmental Accounting Rules and Regulations, Including Implementation of new GASB Pronouncements
The ever-changing landscape of federal laws and compliance requirements has added significant complexity to public accounting. Our GASB Implementation Specialist, Jack Georger, expertly guides clients through new standards and updates to existing ones. Additionally, our partners actively contribute to the development of new standards through committee roles and participation in key industry associations focused on state and local governments.

By staying engaged with industry groups and developments, we ensure our clients and team members are informed about the latest changes. Our professionals bring deep expertise in governmental accounting, auditing, and financial reporting, including GASB pronouncements, the Single Audit Act, Uniform Guidance, and fund operations. With experience as CPAs and leaders within and outside government, we deliver the thought leadership and quality our clients need.

The Firm is well versed and experienced in assisting our clients with the implementation of the applicable GASB pronouncements every year, such as:
 GASB 34
 GASB 54
 GASB 65
 GASB 68
 GASB 75
 GASB 84
 GASB 87
 GASB 91
 GASB 94
 GASB 96
 GASB 100
 GASB 101
 GASB 102
Throughout the engagement, several new GASB pronouncements will become effective. The Engagement Team will pay specific attention to upcoming statements that will become effective and work with the City to create a plan to address new standards before the implementation period. This step will allow the finance department staff the needed time to be prepared.

Special Attention: GASB Pronouncements Effective for Reporting Year 2025-2026 GASB Statement No. 101, Compensated Absences
This statement updates the recognition and measurement guidance for compensated absences to align with a unified model and revises certain disclosures. It is effective for the City’s fiscal year ending June 30, 2025.

GASB Statement No. 102, Certain Risk Disclosures
This statement requires governments to assess and disclose risks related to concentrations or constraints that could impact their financial statements. It is effective for the City’s fiscal year ending June 30, 2025. Earlier application is encouraged.

GASB Statement No. 103, Revenue and Expense Recognition This statement provides a unified framework for recognizing and measuring revenue and expenses. It is effective for the City’s fiscal year ending June 30, 2026. Earlier application is encouraged.

GASB Statement No. 104, Disclosure of Certain Capital Assets This statement requires separate disclosure of certain capital assets, including those held for sale and intangible assets, to improve transparency. It is effective for the City’s fiscal year ending June 30, 2026. Earlier application is encouraged.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 65 Tuesday, July 8, 2025
City of Union City
28 | PUNGROUP.CPA
Firm's Experience with Tyler Technologies and Their Solutions Our professionals are extremely familiar with Tyler Technologies and their software solutions. Our team will deploy such experience to hit the ground running with no downtime. Some examples of our clients who utilize Tyler Technologies are:

Client Name Office Industry
Encinitas, City of San Diego Local Government
Culver City, City of Orange County Local Government
Fresno, City of Orange County Local Government
Gardena, City of Orange County Local Government
Lakewood, City of Orange County Local Government
Lodi, City of Walnut Creek Local Government
Lynwood, City of Orange County Local Government
Madera, City of Orange County Local Government
Monterey, City of Orange County Local Government
Napa, City of Orange County Local Government
Perris, City of Orange County Local Government
Redlands, City of Orange County Local Government
Rohnert Park, City of Walnut Creek Local Government
San Elijo JPA San Diego Special District
Shafter, City of Orange County Local Government
South Bay Regional Communications Orange County Local Government South Gate, City of Orange County Local Government
Tracy, City of Orange County Local Government
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 66 Tuesday, July 8, 2025
City of Union City
29 | PUNGROUP.CPA
Specific Audit Approach
Scope of Work, Audit Approach, and Methodology
The City of Union City is requesting the Firm to perform Professional Auditing Services and issue opinions on the City’s financial statements. The audits are to be completed in accordance with all applicable and generally accepted auditing standards, including, but not limited to, the following:
 Generally accepted auditing standards as set forth by the American Institute of Certified Public Accountants (AICPA).
 US General Accounting Office’s (GAO) Standard for Audit of Governmental Organizations, Programs, Activities, and Functions.
 Local Governments and Governmental Accounting Standards Board (GASB) Pronouncements.  The standards applicable to financial audits contained in the most current version of the Generally Accepted Government Auditing Standards (Yellow Book), issued by the Comptroller General of the United States.  The provisions of the Single Audit Act as amended in 1996.  The provisions of the US Office of Management and Budget (OMB) Uniform Guidance (formerly known as Circular A-133), Audits of State and Local Governments and Non-profit Organizations, and the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.

The Firm will perform the following services:
 Financial Statement Audits and issuance of an opinion statement on the Annual Comprehensive Financial Report of the City of Union City and the financial statements of its component units. The audit will be conducted in accordance with Generally Accepted Government Auditing Standards. The report will be in full compliance with all current GASB pronouncements.

In addition, the Firm will assist in meeting the requirements for the Government Finance Officers Association (GFOA) “Certificate of Achievement for Excellence in Financial Reporting.”  Prepare a Single Audit Report which will include the following:
o Report on compliance and on internal control over financial reporting based on an audit of financial statements performed in accordance with Government Auditing Standards. o Report on compliance with requirements applicable to each major program, internal control over compliance, and on the schedule of expenditures of federal awards in accordance with Uniform Guidance, “Audits of State and Local Governments,” and the Single Audit Act of 1984 (Public Law 98-502).
o Schedule of Expenditures of Federal Awards.
o Notes to Schedule of Expenditures of Federal Awards.
o Schedule of Findings and Questioned Costs.
o Any other required schedules or reports.
o Prepare the Data Collection Form for Reporting on Audits of States, Local Governments, and NonProfit Organizations.  Audit and perform compliance audit reports and/or other special audit reports when required in compliance with applicable statutes, rules and regulations on the Alameda County Transportation Authority.  Test compliance with Proposition 111, Article XIII.B – Review of Appropriation Limit Calculations (GANN).  A report based on the auditors’ understanding of the Internal Control structure and assessment of control risk.
 Separate report, when requested by the City, on the auditors’ analysis of the Internal Control Structure used in the administration of the City’s Investment Policies and Procedures. Evaluate internal controls and conduct testing of detailed transactions, including all investment transactions, to ensure compliance with State law and the City’s investment policy.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 67 Tuesday, July 8, 2025
City of Union City
30 | PUNGROUP.CPA
 Separate report, on the auditors’ analysis of the Internal Control Structure used in the Administration of Federal Financial Assistance Programs.
 Audit and perform examination procedures on State Controller’s Cities Financial Transactions Reports.  Audit and perform examination procedures on State Controller’s Annual Street Report.  Audit and perform examination procedures on Utility Users’ Tax Audit and Report.  Issue an Auditors’ Communication Letter with any reportable conditions found during the audit. A reportable condition will be defined as a material weakness or significant deficiency.  Issue a separate "Management Letter" that includes recommendations for improvements on internal control, accounting procedures, and other significant observations that are considered to be no reportable conditions.
 Provide recommendations for: a) Improvements in systems of internal control and b) Improvements in the accounting system.

Provided By Client (PBC) Lists: They will be provided for both interim and final audits according to an agreed-upon timeline between the engagement team and the City in order to be reasonably prepared for a field audit. The engagement team will meet with the City’s management during the initial planning stage to discuss audit schedules and review the prior year's audit findings (if any). We will deliver a list of all documents to be provided by the City’s staff. Once such materials are agreed upon by the engagement team and City’s finance personnel, no other schedules will be requested unless new information comes to light in the course of test work.

Attendance at Meetings and Hearings: The engagement team will participate in as many meetings with staff as needed to perform the work scope tasks, present the audit plan prior to beginning fieldwork, and discuss the draft audit reports. The team will attend public meetings to present and discuss its findings and recommendations. Once all issues of discussion are resolved, the completed Financial Reports, Single Audit report (if applicable), and other reports will be delivered to the City according to the agreed-upon schedule.

Proposed Audit Adjustments: All proposed adjusting journal entries by the Firm will be discussed and explained in a timely manner with the designated Finance Department personnel. Such proposed adjustments will be in a format that shows the lowest level of posting detail needed for data entry in the general ledger systems.

Supplemental Reports, Audits, or Agreed-Upon Procedures: Other services, such as agreed-upon procedures, may be deemed necessary. These services will be performed at agreed-upon rates and will be added to a written agreement before commencing audit work. The Firm and the City of Union City will discuss and approve the scope and associated costs of these tasks.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 68 Tuesday, July 8, 2025
City of Union City
31 | PUNGROUP.CPA
Advice and Consultation: Will be provided throughout the year on matters relating to accounting and financial reporting. Such services do not include any task that entails significant research or a formal report.

GASB Implementation: The Firm will provide technical assistance and training in the implementation of applicable GASB pronouncements not yet in effect. We have a dedicated partner, Mr. Jack Georger, who will be responsible for providing advice and consultation for the implementation of these new standards. The Firm will advise the City on the applicability of accounting and reporting standards and other accounting issues and provide guidance on new note disclosures, GASB implementations, and other reporting requirements. We will also provide training, resources, and information on topics relevant to the City’s financial reporting and operations. (Based on the scope, additional charges may apply.)
Report of all Irregularities and Illegal Acts: The Firm will make an immediate written report of all irregularities and illegal acts or indications of illegal actions of which we may become aware to the City Manager and the Administrative Services Director.

The engagement team will also make all communications to the City required by the audit standards under which the engagement is performed.

Working Paper Retention and Access to Working Papers: The Firm will retain, at its own expense, all working papers and reports for a minimum of seven (7) years unless the City of Union City notifies the Firm in writing of the need to extend the retention period. The Firm will make working papers available upon request by the City of Union City or its designees.

Also, we will comply with reasonable requests from successor auditors and allow them to review working papers that relate to matters of continuing accounting significance.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 69 Tuesday, July 8, 2025
City of Union City
32 | PUNGROUP.CPA
Methodology and Segmentation of Engagement
The Firm’s audit approach consists of six phases: Engagement Acceptance and General Planning, Planning and Internal Control Evaluation, Fieldwork, Post Fieldwork, Report Preparation and Review, and Final Production.

1. Engagement Acceptance and General Planning: The engagement partner and manager will meet with City’s management to obtain an update on the current City policies and procedures, help identify risk areas and new operations and establish any specific requirements they may have. Our team will work on the identification of unique transactions, implementation of new GASB pronouncements, and develop the audit work plan for the engagement. Proposed timeline: May of each year.

2. Planning and Internal Control Evaluation: The engagement team, including the engagement partner, will assess accounting policies adopted by the City in order to obtain an understanding of its structure and its operating environment. Also, our team will review internal controls on all significant transaction classes, perform walkthroughs and/or tests of internal controls, perform preliminary analytical procedures, develop an initial risk assessment, evaluate Single Audit compliance, identify any audit issues, and prepare confirmation correspondence. The engagement team and City’s Management will establish expectations, including responsibilities and assignments for the year-end fieldwork, and will hold a progress status meeting at the end of the interim phase. Proposed timeline: September for Fiscal Year 2025, and June for future years.

3. Fieldwork: The engagement team, including the engagement partner, will conduct audit procedures on account balances in the general ledger, finish confirmation procedures, perform data analysis using our AI tools, search for unrecorded liabilities, perform substantial analytical review procedures, complete work on compliance with Federal Assistance, and conclude fieldwork. The engagement team and City Management will hold an exit conference at year-end. Periodic update meetings will be held to communicate audit progress to management. Proposed timeline: October of each year.

4. Post Fieldwork: During the phase, the engagement team, including the engagement partner, will review all documents and evaluate commitments and contingencies. The team will perform an assessment of the going concern and jointly plan for the next steps. Proposed timeline: immediately after fieldwork completion.

5. Report Preparation and Review: The Firm will review and prepare audit reports and perform quality control procedures following the Quality Control Standards issued by the AICPA. We will also examine reports for compliance with GFOA reporting guidelines at no additional cost. Any comments will be recorded in a letter to management. At the City’s request, the engagement partner and manager will present the audit to City’s Management and other governing bodies. Proposed timeline: November of each year.

6. Final Production: The final phase of our approach entails obtaining the management representation letter and final financial statement report, which may include a final presentation to the City’s Management and other governing bodies (if applicable). Proposed timeline: December of each fiscal year.

The Firm will complete the audit fieldwork and issue all reports within the established timeframe, assuming no internal circumstances within the City causes delays in the audit. • Expertise & Experience – Our team has extensive experience auditing not-for-profit organizations, ensuring accurate and compliant audits. • Customized Solutions – We tailor our audit approach to fit your unique needs and challenges.

Benefits • Efficiency & Timeliness – We deliver high-quality audits on time, minimizing disruption to your operations. • Proactive Risk Management – We identify and address financial and operational risks early. • Strengthening Financial Health – We improve your financial management and operational efficiency through internal control review s and recommendations.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 70 Tuesday, July 8, 2025
City of Union City
33 | PUNGROUP.CPA
Level of Staff and Number of Hours to be Assigned to Each Segment of the Engagement The Pun Group LLP understands that the City is not only looking to employ our auditing services but is also seeking to receive value within that professional relationship. We believe that our value derives from the in-depth knowledge, experience, and commitment that our auditing firm employs. We stress and emphasize “employ” because all of the knowledge and expertise listed on paper will not benefit you unless it is applied. That is why we have developed a plan that we feel will accomplish the objectives of the City and your particular needs. Our Firm will utilize the information that you have shared with us and our experience from our previous audits of this nature from various government entities and cities to develop a practical plan for all major areas.

Estimated Total Hours*:
*Does not include CPE hours related to Governmental Webinars and/or optional services.

Sample Size and the Extent to Which Statistical Sampling is to be Used in this Engagement In our audit approach, random and statistical sampling is used in conjunction with our skilled judgment and knowledge of each situation. When designing an audit sample, our auditors consider the purpose of the audit procedure and the characteristics of the population from which the sample will be drawn. We determine a sample size sufficient to reduce sampling risk to an acceptably low level and select items for such a task in a way that we can reasonably expect it to be representative of the relevant sample and likely to provide the auditor with a reasonable basis for conclusions about the population.

Enhancing Auditing Quality with Artificial Intelligence There are plenty of challenges with established audit practices. Outdated CAAT tools, sampling practices, and the explosive growth of big data are some of the examples, and they all present significant barriers to detecting anomalies, intentional or otherwise, in financial data. The Pun Group deploys a comprehensive, risk-based approach, complemented by using MindBridge™'s Artificial Intelligence Platform, to conduct our audit. Through this tool, we can seamlessly analyze thousands and thousands of financial and operating data and records, identifying and cataloging significant risks in mere seconds.

The AI Auditor platform works by our side, augmenting our capacity to detect errors or fraud in the collected data not only by analyzing the entire set but by cross-correlating dozens of testing criteria against pre-established data points and presenting us with a view of every user, vendor, and transaction, by risk. All are happening within moments of ingesting analyzed data, which is something standard audit procedures simply cannot accomplish.

We utilize these tools to allow our audit team to increase efficiency in the audit process, enhance the existing quality of our work, provide directed testing in areas subject to the highest risk, and quickly assimilate large amounts of data your staff would typically be asked to gather. The tools also help us to meet our professional requirements regarding fraud and internal control, allowing us to:
 Run Benford’s analysis to check for fraud in transactions.  Increase the value of audit findings with complete, 100% data coverage.  Isolate risk and control issues before they impact your operations.  Improve productivity by automating procedures and eliminating manual tasks.  Conduct more direct, efficient, and effective audits to improve overall service quality.

Partner(s)
Director/
Manager
Supervisory
Staff Staff Clerical Total
Engagement Acceptance & General Planning 3 4 10 14 1 33 Planning & Internal Control Evaluation 5 6 16 21 2 49
Fieldwork 24 30 78 105 8 245
Post Fieldwork 16 20 52 70 5 163
Report Preparation & Review 24 30 78 105 8 245
Final Production 8 10 26 35 3 82
Total* 80 100 260 350 26 816
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 71 Tuesday, July 8, 2025
City of Union City
34 | PUNGROUP.CPA
Our engagement team easily imports data in a secure environment from the City’s financial software and extracts useful data for testing and analytical procedures particular to the following areas:
 Successful Fraud Test  Kickback or Conflict-of-Interest Schemes  Questionable Invoices  Dormant Account Schemes
 Phantom Vendor Schemes  Money Laundering Schemes
Type and Extent of Analytical Procedures to be Used in the Engagement Analytical procedures are one of many financial audit processes that help an auditor understand the client’s operation and changes in the environment and identify potential risk areas to plan other audit procedures. Such procedures include a comparison of financial information on prior periods, budgets, forecasts, and industry benchmarks. We use trend and ratio analysis to identify any uncertain or unusual events. To perform these analyses, our Firm surveys cities and counties and develops benchmarks on specific vital financial indicators, such as the cost of services to tax revenues ratios, average general fund balance, capital assets, debt-to-capital, and general fund unassigned fund balance to total general fund expenditures, etc. Our engagement members have extensive experience in successfully implanting analytical procedures to the City’s benefit.

Our analytical procedures process is performed during three stages of the audit: (a) at the start, (b) in the middle, and (c) at the end. These three stages are risk assessment procedures, substantive analytical procedures, and final analytical procedures:
 Risk assessment procedures are used to assist the auditor in understanding the business better and in planning the nature, timing, and extent of audit procedures.  Substantive analytical procedures are used to obtain evidential matters about particular assertions related to the account balances or classes of transactions. During the interim phase, our engagement team will set up expectations for the year-to-date results and balances and compare them with budgeted and prior-year amounts. This process allows us to forecast year-end amounts, reducing the workload during the year-end phase and allowing us to focus on areas of concern.
 Final analytical procedures are used as an overall review of the financial information in the last review stage of the audit. The Engagement Partner(s) and Manager(s) will perform a high-level analytical analysis of the financial information, comparing its data both quantitatively and qualitatively to ensure the amounts are fairly presented in all material respect in the financial statements.

Approach to be Taken to Gain and Document an Understanding of the Internal Control Structure Audit risk assessment is established by an internal control review, combined with the engagement team’s understanding of the City’s operations and accounting software. Using the Committee of Sponsoring Organizations (COSO) Framework, staff members will evaluate the City’s processes and identify any control deficiencies. These diagnostic review procedures allow the engagement team to assess the City’s systems and controls and to provide constructive feedback to management.

During our initial planning phase of the audit, our engagement team, including the engagement Partner and Manager, will obtain an understanding of the entity and its environment. It is an essential aspect of performing an audit under generally accepted auditing standards. That understanding establishes a frame of reference within which the auditor plans the procedures and exercises professional judgment about assessing risks of material misstatement of the financial statements and responding to those risks throughout the examination.

During the interim phase of the audit, our engagement team will perform a walkthrough of all significant accounting systems, including processes for financial reporting, revenue recognition and cash receipts, purchasing/contract management and cash disbursements, payroll and related liabilities, and others. Our auditors will obtain the written policies and procedures, inquiring accounting personnel, and document the process in either a flowchart or narrative summary format. After gaining an understanding of the accounting and internal control systems, our auditor will make a preliminary assessment of control risk, at the assertion level, for each material account balance or class of transactions.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 72 Tuesday, July 8, 2025
City of Union City
35 | PUNGROUP.CPA
The form and extent of this documentation are influenced by the size and complexity of the entity and the nature of its accounting and internal control systems. Generally, the more complex the entity’s accounting and internal control systems and the more extensive the auditor’s procedures, the broader our documentation will need to be.

Approach to be Taken in Determining Laws and Regulations that Will be Subject to Audit Test Work The Firm stays continually up to date with audit requirements—including new regulations, compliance supplements, state guidelines, and related contracts—to ensure that we conduct audits under applicable laws and regulations. We test transactions for compliance with the Single Audit Act, California Government Code, GANN Appropriations Limit, provisions of applicable grant guidelines, requirements of local measures, and others.

For example, the Single Audit Act requires that we determine which grants to include in our audit and select transactions from those grants for detailed testing. While most items will be tested as part of the Interim phase, we cannot determine which grants will be selected for the Single Audit until the year-end/fieldwork stage of the audit.

Our compliance audits of cash, investments, debt covenants, and other areas will be performed following the California Government Code, which has many provisions and regulations covering investments.

Approach to be Taken in Drawing Audit Samples for Purposes of Tests of Compliance To test compliance, we will follow the AICPA’s Audit Sampling Considerations of Uniform Guidance Compliance Audits. We will select an appropriate sample size based on our professional judgment and knowledge. Any deviations from control and compliance requirements will be documented.

Audit Firm’s Expectations of the Role and Participation of City’s Staff in the Audit Process The engagement team will meet with the City’s management during the initial planning stage to discuss audit schedules and review the prior year's audit findings (if any). We will deliver a list of all documents to be provided by the City’s staff. Once such materials are agreed upon by the engagement team and City’s finance personnel, no other schedules will be requested unless new information comes to light in the course of test work.

Our goal is to cause the least amount of interruptions to the City’s daily operations; therefore, to the extent possible, we will use information in the form available from the City’s records.

We believe client/engagement team communication is vital to perform results satisfactorily. With that sentiment in mind, we will hold regular meetings with the City’s management to determine the status of the audit as well as any items which will require special attention. Open and frequent communication is critical.

Objectives of Our Services
Our primary objective for the proposed audit is to examine the City’s financial statements and express our opinion on the fairness of the presentation, following generally accepted accounting principles. Other objectives that will benefit the City include the following:
 To offer beneficial observations and recommendations about policies and procedures for accounting and operating controls
 To identify opportunities to make City operations more efficient and reduce costs  To perform the audit efficiently and effectively. Disruptions to office operations are kept to a minimum  To provide continuing advisory services so the City can implement recommendations  To meet these objectives at no additional cost to the City The Engagement Team will perform the audit abiding by the Firm’s quality-control procedures, which include following standard audit programs, careful planning, using industry-standardized software for auditing and internal control documentation, and welcoming an objective review of audit work. In other words, our client-tailored approach emphasizes careful planning, open communication, and proper assignment of responsibilities.

The Firm will supply portable computers to the on-site staff members.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 73 Tuesday, July 8, 2025
City of Union City
36 | PUNGROUP.CPA
Identification of Anticipated Potential Audit Problems
Identification of Anticipated Potential Audit Problems
While we do not expect any problems with the audit, we will carefully investigate and monitor the following relevant accounting issues:

Investments:
 Compliance with GASB 31 and GASB 34
 Authorization and approval process for City investments  Controls to assure the City’s compliance with investment limitations and types of specific investments  Monitoring by the City of its investments
Financial Reporting:
 Compliance with current reporting and disclosure requirements issued by GASB  Compliance with the various GASBs in effect
 Perform valuations of OPEB benefits to determine the liability for all benefits promised to active, retired, and inactive plan members as of each valuation date
 Compliance with Governmental Accounting Standards Board (GASB) Statements 74 and 75  Compliance with infrastructure obligations and regulatory provisions Internal Control Structure:
 City’s internal control functions and compliance with proper internal control philosophies  Computer-system processes and controls and adequacy of the control environment Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 74 Tuesday, July 8, 2025
City of Union City
37 | PUNGROUP.CPA
Annual Updates and Professional Development of Client Staffing Strengthen Your Accounting Knowledge: TPG Client Training Webinars We pride ourselves in leading the governmental auditing profession nationwide and statewide. Members of our team have been assigned to the AICPA and State Government Accounting and Audit committees. Our membership with these two levels of government keeps us current, and such involvement helps our Firm with the constant changes in accounting and auditing standards, laws and regulations, and compliance provisions, which have created an unprecedented complexity in public accounting for state and local governments.

Every year, the Firm hosts a conference to update governmental clients on new technical accounting and financial issues. Since last year, by implementing “Webinars,” we’ve been expanding our horizons and offering our clients 15 hours of Continuing Professional Education (CPE). These sessions are free of charge and part of the service package provided to our clients.

CPE courses we offer:

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 75 Tuesday, July 8, 2025
City of Union City
38 | PUNGROUP.CPA
Acknowledgement of Cunsulting Services Agreement
We acknowledge receipt and review of the City’s Consulting Services Agreement and the associated insurance requirements. At this time, we have no exceptions, changes, revisions, or comments to any elements of the agreement. Should our firm have any future changes or concerns, these will be communicated during contract negotiations, if needed. We also understand that the City reserves the right to substitute and/or modify the Consulting Services Agreement prior to contract execution with mutual acceptance.:

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 76 Tuesday, July 8, 2025
City of Union City
39 | PUNGROUP.CPA
Let’s Get to Work!
Benefits of Choosing The Pun Group LLP
The Pun Group LLP is recognized for its professionalism, integrity and for providing clients with practical solutions unique to their circumstances and issues. Our Firm prides itself on being able to provide personalized client services, and with that sentiment in mind, we have carefully chosen our engagement teams. The Pun Group’s primary objective is to offer the City of Union City solutions and directions led by highly experienced and capable partners who can successfully implement the work and produce the results you expect. This philosophy and mindset allow us to provide a superior level of service and a quality audit.

We trust that this proposal has given you the information needed about the Firm, the engagement team members, the overall audit approach, cost-saving measures, and audit fees. We are committed to exceeding your expectations, and we look forward to bringing our experience and expertise to the City of Union City while providing you with the excellent level of service that you expect and deserve.

Thank You
Thank you for allowing us to submit our qualifications to provide you with Professional Auditing Services. Please direct inquiries to:

Frances J. Kuo, CPA, CGMA
Managing Partner
Email: [email protected]
Phone: (949) 777-8805 | Fax: (949) 777-8850
Sincerely,
The Pun Group LLP
Certified Public Accountants and Business Advisors
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 77 Tuesday, July 8, 2025
City of Union City
40 | PUNGROUP.CPA
Appendix A – Certificate of Insurance
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 78 Tuesday, July 8, 2025
www.pungroup.cpa

ORANGE COUNTY SAN DIEGO SACRAMENTO BAY AREA LAS VEGAS PHOENIX Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT A - SCOPE OF SERVICES/TECHNICAL PROPOSAL
City Council/RSA Agenda 79 Tuesday, July 8, 2025
Consulting Services Agreement between the City of Union City and The Pun Group

EXHIBIT B

COMPENSATION SCHEDULE
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9 City Council/RSA Agenda 80 Tuesday, July 8, 2025

CITY OF UNION CITY

COST PROPOSAL

PROPOSAL FOR PROFESSIONAL

AUDITING SERVICES
Frances J. Kuo, CPA, CGMA June 06, 2025
Managing Partner
2121 North California Boulevard, Suite 290
Walnut Creek, CA 94596
(949) 777-8805 l [email protected]
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT B - COST PROPOSAL
City Council/RSA Agenda 81 Tuesday, July 8, 2025
The Pun Group LLP is recognized for its professionalism, integrity and for providing clients with practical solutions unique to their circumstances and issues. You will receive a superior level of service and a quality audit.

Thank You!
Thank you for allowing us to submit our qualifications to provide you with Professional Auditing Services.

The Pun Group LLP
Certified Public Accountants and Business Advisors

WHY CHOOSE
THE PUN GROUP LLP?
 Big firm expertise, small firm values
 Personal attention meets technical expertise
 A unique firm culture
 Innovation embraced
 Achievable plans to move your organization forward
The Pun Group’s most
valuable asset is our
people, they and their
deep experience drive our
every interaction with
clients.
“
”
In Memoriam
Kenneth H. Pun, CPA, CGMA
Founder & Managing Partner
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT B - COST PROPOSAL
City Council/RSA Agenda 82 Tuesday, July 8, 2025
Table of Contents
Total All-Inclusive Maximum Price ................................................................. 1 Manner of Payment ........................................................................................ 2 City of Union City
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT B - COST PROPOSAL
City Council/RSA Agenda 83 Tuesday, July 8, 2025
For the 5th consecutive year,
The Pun Group has been honored with the
"Best of Accounting" Award.

The Pun Group LLP is proud to have won 2025’s Best of
Accounting® award from ClearlyRated for consistently
delivering exceptional service to its clients for the fifth consecutive year.

Winners of such awards have proven to be industry leaders in service quality based entirely on ratings provided by their clients. On average, clients of 2025 Best of Accounting winners are 70% more likely to be satisfied than those who work with non-winning firms.
“I am pleased to introduce the 2025 Best of Accounting
winners alongside their validated service ratings on
ClearlyRated.com,” said ClearlyRated’s CEO, Eric Gregg. “These firms have demonstrated a remarkable commitment
to delivering amazing experiences despite another year of upheaval and macroeconomic uncertainty. Hats off to these service leaders - it’s truly an honor to recognize and
celebrate their achievements.”
The Pun Group LLP received satisfaction scores of 9 or 10 out of 10 from 94.1% of their clients, significantly higher than the industry’s average of 50%.

Our firm excelled in five key areas: Responsiveness, Quality, Value, Needs Understanding, and Proactive Approach.

About ClearlyRated
Rooted in satisfaction research for professional service firms, ClearlyRated utilizes a Net Promoter® Score survey program to help professional service firms measure their service experience, build an online reputation, and
differentiate on service quality.

For the 2nd consecutive year, INSIDE
Public Accounting has recognized The
Pun Group as one of the Top 500 Firms
and one of the fastest-growing firms.
“We started using Pun Group when the
pandemic first started two years ago so had
a little apprehension about doing
everything remotely with a new firm. But
the audit went very well and was
completed on time without problem.”
Kevin W.

State and Local Government Client
“The Firm has consistently exceeded our
expectations as an auditor.”
Clint O.

State and Local Government Client
“An excellent partner and amazing service.”
Jim T.

Private Sector Client
“Excellent customer service and staff and
partners are expert in their fields.”
Lani H.

State and Local Government Client
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT B - COST PROPOSAL
City Council/RSA Agenda 84 Tuesday, July 8, 2025
City of Union City
1 | PUNGROUP.CPA
Total All-Inclusive Maximum Price
We are committed to the performance of a high-quality audit at the most reasonable fee level possible, both initially and throughout the engagement. Also, our partners will provide advice and consultation as needed at no additional cost to the City of Union City.

Name of Firm: The Pun Group LLP – Certified Public Accountants and Business Advisors Contact Name: Frances J. Kuo, CPA, CGMA
Contact Email Address: [email protected]
Authorization to Represent the Firm
I, the undersigned, certify I am duly authorized to represent The Pun Group LLP and am empowered to submit this bid. In addition, I certify I am authorized to contract with the City of Union City on behalf of the Firm.

June 6, 2025
_________________________________________ _______________________________ Frances J. Kuo, CPA, CGMA | Managing Partner Date
The Pun Group LLP
Total All-Inclusive Maximum Price
Our proposed fees for Professional Auditing Services for the five year contract to audit its financial statements, with the first year will be fiscal year ending June 30, 2025, are as follows:

All-Inclusive Maximum
Price by Report 2024-25 2025-26 2026-27 2027-28 2028-29 City Audit and Related Reports 72,400 $ 76,020 $ $ 79,821 $ 83,812 $ 88,003 Single Audit and Related Reports (1) 6,000 6,300 6,615 6,946 7,293 Special Purpose Audits and Related Reports 10,000 10,500 11,025 11,576 12,155 GANN Limit Audit Report 600 630 662 695 729
State Controller City, Transit, and Paratransit Report 11,000 11,550 12,128 12,734 13,371 Utility Users' Tax Audit and Report 2,000 2,100 2,205 2,315 2,431 Management Letter Included Included Included Included Included Total All-Inclusive Maximum Price
for All Schedules: $ 102,000 $ 107,100 $ 112,455 $ 118,078 $ 123,982 Optional Years
(1) Single Audit fees based on one (1) major program. The fee for auditing additional major programs will be $6,000 each.

The number of programs determined to be “major” will be based on OMB Uniform Guidance. The Engagement Team will discuss this with the City of Union City’s Management before starting Single Audit work.

Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT B - COST PROPOSAL
City Council/RSA Agenda 85 Tuesday, July 8, 2025
City of Union City
2 | PUNGROUP.CPA
Manner of Payment
Out of Pocket Expenses are Included in the Total All-Inclusive Maximum Price and Reimbursement Rates The Firm’s policy is to maintain flexible billing rates to meet the needs of clients and help them control costs. In the interest of starting our long-term relationship, we will absorb expenses such as travel and printing costs.

Additionally, our Partners will be available to provide advice and consultation as necessary to the City of Union City.

The Firm will also absorb these costs.

Rates for Additional Professional Services
Below are the Firm’s hourly billing rates, delineated by staffing levels:

Any supplemental reports, audits, or agreed-upon procedures not covered by this proposal may be added to a written agreement prior to commencing audit work. The Firm and the City will discuss and approve the scope and associated costs of these tasks. Any additional work will be performed at the above-quoted hourly rates.

Manner of Payment
Engagement Team members are required to maintain timesheets detailing the date, number of hours, and work performed for every audit task. The Firm will collect these timesheets and bill the City of Union City at the rates outlined in the Total All-Inclusive Maximum Price section in four stages: (1) at the conclusion of the planning phase, (2) at the conclusion of the interim phase, (3) at the conclusion of the Year-End phase, (4) and after presentation and acceptance of the final audit reports. Interim billings will cover a period not less than a calendar month. The billing amounts generally break down as follows:

Partner(s) $ 300
Director(s) $ 250
Senior Manager(s) $ 225
Manager(s) $ 200
Supervisor(s) $ 175
Senior Accountant(s) $ 150
Staff Accountant(s) $ 125
Clerical $ 100
Hourly Billing Rates
Work Performed % of Proposal Amount
Planning 10%
Interim 40%
Fieldwork 40%
Presentation and Acceptance of Reports 10%
Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT B - COST PROPOSAL
City Council/RSA Agenda 86 Tuesday, July 8, 2025
www.pungroup.cpa

ORANGE COUNTY SAN DIEGO SACRAMENTO BAY AREA LAS VEGAS PHOENIX Docusign Envelope ID: 56A896D9-11B2-464D-9E10-11502888F2C9

EXHIBIT B - COST PROPOSAL
City Council/RSA Agenda 87 Tuesday, July 8, 2025
Agenda Item
DATE: 7/8/2025
TO: HONORABLE MAYOR AND CITYCOUNCIL
FROM: JOAN MALLOY, CITYMANAGER
SUBJECT: ADOPT ARESOLUTION AMENDING THE FIVE-YEAR CAPITAL IMPROVEMENT PLAN FOR FY2025-2026 THROUGH FY2029-2030 TOADD CITYPROJECT NO. 26-10 – THE MARK GREEN SPORTS CENTER AIR CONDITIONING UNITS REPLACEMENT PROJECT AND AMENDING THE FY2025-2026 GENERAL FUND BUDGET BYAPPROPRIATING $175.000 TOACCOUNT NUMBER 11092610-54111 (GENERAL FUND – MGSC AIR CONDITIONING UNITS REPLACEMENT PROJECT – CONTRACTUAL SERVICES)

EXECUTIVE SUMMARY
As a result of the unexpected failure of two air conditioning units at the Mark Green Sports Center gymnasium, staff recommends that the City Council adopt a resolution Amending the Five-Year Capital Improvement Plan for FY 2025-2026 through FY 2029-2030 to add City Project No. 26-10 – The Mark Green Sports Center (MGSC) Air Conditioning Units Replacement Project and Amending the FY 2025-2026 General Fund Budget by Appropriating $175,000 to Account Number 11092610-54111 (General Fund – MGSC Air Conditioning Units Replacement Project – Contractual Services).

STRATEGIC PLAN ALIGNMENT
There is no specific Strategic Plan goal or strategy to address the emergency repairs.

BACKGROUND
The Mark Green Sports Center opened in 2007 and includes a 12,000 square foot gymnasium that is used for a variety of recreational programming and private rentals. The gym is cooled by two air conditioning units, and both were reported to fail on May 29, 2025. One unit has completely failed and the other is operating at less than fifty percent, which makes it ineffective in this large, high-ceilinged gym. These are the original air conditioning units that have been in use for 18 years and have reached their end-of-life.

The City Council adopted the FY 2025-2026 & FY 2026-2027 Biennial Budget and Five-Year Capital Improvement Plan for FY 2025-2026 Through FY 2029-2030 on June 24, 2025, and the units failed five days later. Due to the high cost of the air conditioning units at approximately $75,000 each, the replacement of the units requires a budget amendment and the addition of a new capital improvement project.

DISCUSSION
Public Works staff have consulted with two air conditioning contractors, with a third contractor consultation scheduled for July 3. Based on the two initial assessments, the units are obsolete, and replacement parts are no longer available. Staff continue to evaluate if there is any feasible interim repair to keep the units operational until they can be replaced. Based on the current understanding, even parts to repair the units would require custom manufacturing, which is an expensive and lengthy process. Staff would consider any possible repair to be temporary until the units can be replaced.

Public Works staff are proposing to install new, energy-efficient air conditioning units. Based on the consultations with contractors, however, even City Council/RSA Agenda 88 Tuesday, July 8, 2025
to install new units, the estimated lead time could be up to 24 weeks, and initial costs are estimated at $75,000 per unit. Public Works staff are exploring all the options to expedite temporary repairs and full replacement. Staff is requesting that the City Council amend the Five-Year CIP for $175,000 to cover the cost to replace the air conditioning units and any additional incidental expenses for possible repair or to expedite the replacement. Currently, staff is seeking three competitive bids to quickly advance this project.

Based on the outcome of Public Works’ evaluation, CRS staff will consider the need for any feasible mitigations, such as large fans, to allow recreational activities and private rentals to proceed. Due to the large-volume space of the gym, even mitigation measures may not be effective.

In which case, classes and events may need to be moved to alternative locations or be canceled should the weather get too hot and the gym get too warm.

Currently, there has been no impact to scheduled programming and activities. However, as a precaution, CRS staff have also informed current and prospective gym rental clients about the state of the existing air conditioning units, and the projected timeline for repairs, so that they are all aware and can consider temporary fans or reconsider other alternative locations. Any gym rental clients expressing concerns about potential warm temperature in the room, and unavailability of an air conditioning unit, can request a full refund.

FISCAL IMPACT
The recently adopted Five-Year Capital Improvement Plan (CIP) included funding for many capital projects, but unfortunately, the replacement of the two air conditioning units at the Mark Green Sports Center was not one of them. Therefore, if the City Council approves adding this project to the Five-Year CIP, the FY 2025-2026 General Fund expenditure budget will need to be increased by $175,000. At this time, no other funding source is available except the General Fund. The $175,000 will come from the unassigned General Fund balance which has an approximate balance as of July 1, 2025 of $42,259,894.

RECOMMENDATION
Staff recommends that the City Council adopt a resolution amending the Five-Year Capital Improvement Plan for FY2025-2026 through FY2029- 2030 to add City Project No. 26-10 – The Mark Green Sports Center (MGSC) Air Conditioning Units Replacement Project and Amending the FY 2025-2026 General Fund Budget by Appropriating $175,000 to Account Number 11092610-54111 (General Fund – MGSC Air Conditioning Units Replacement Project – Contractual Services)
Prepared by:

Joan Malloy, City Manager
Submitted by:

Joan Malloy, City Manager
ATTACHMENTS:

Description Type
Draft Resolution Resolution
City Council/RSA Agenda 89 Tuesday, July 8, 2025
RESOLUTION NO. 2025-XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY

AMENDING THE FIVE-YEAR CAPITAL IMPROVEMENT PLAN FOR FY
2025-2026 THROUGH FY 2029-2030 TO ADD CITY PROJECT NO. 26-10 – THE MARK GREEN SPORTS CENTER AIR CONDITIONING UNITS
REPLACEMENT PROJECT AND AMENDING THE FY 2025-2026
GENERAL FUND BUDGET BY APPROPRIATING $175.000 TO
ACCOUNT NUMBER 11092610-54111 (GENERAL FUND – MGSC AIR
CONDITIONING UNITS REPLACEMENT PROJECT – CONTRACTUAL

SERVICES)
WHEREAS, the City Council adopted the FY 2025-2026 & FY 2026-2027 Biennial Budget and Five-Year Capital Improvement Plan for FY 2025-2026 Through FY 2029- 2030 on June 24, 2025; and
WHEREAS, on June 29, 2025 both air conditioning units at the Mark Green Sports Center gymnasium failed; and
WHEREAS, the repair and/or replacement of the two air conditioning units was not included in the Five-Year Capital Improvement Plan; and WHEREAS, the expected cost to replace the air conditioning units is $75,000 each, but this does not include any incidental costs for possible temporary repairs, if feasible, or premium costs to expedite and prioritize the replacement of the air conditioning units; and
WHEREAS, the Mark Green Sports Center is an “essential facility” in case of emergency, and is programmed by the Community and Recreation Services Department for recreational programming year around and the gymnasium is regularly rented for private events; and
WHEREAS, advancing the repair and replacement of the air conditioning units is critical to the ongoing use of the facility.

NOW, THEREFORE, BE IT RESOLVED, the City Council approves amending the Five-Year Capital Improvement Plan for FY 2025-2026 through FY 2029-2030 to add City Project No. 26-10 – The Mark Green Sports Center (MGSC) Air Conditioning Units Replacement Project and Amending the FY 2025-2026 General Fund Budget by Appropriating $175,000 to Account Number 11092610-54111 (General Fund – MGSC Air Conditioning Units Replacement Project – Contractual Services) from the unassigned General Fund balance.

City Council/RSA Agenda 90 Tuesday, July 8, 2025
Resolution No. 2025-XXX
Mark Green Sports Center Gymnasium Air Conditioning Unit Replacement

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on this 8
th day of July 2025 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:

THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
City Council/RSA Agenda 91 Tuesday, July 8, 2025
Agenda Item
DATE: 7/8/2025
TO: HONORABLE MAYOR AND CITYCOUNCIL
FROM: JOAN MALLOY, CITYMANAGER
SUBJECT: ADOPT A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE THE FIRST AMENDMENT TO

THE CONSULTING SERVICES AGREEMENT WITH CAL-WEST LIGHTING AND SIGNAL MAINTENANCE, INC., IN THE AMOUNT OF $200,000, FOR A TOTAL NOT-TO-EXCEED CONTRACT AMOUNT OF $600,000, FOR

TRAFFIC SIGNAL MAINTENANCE, ON-CALL SUPPORT AND EMERGENCYREPAIR SERVICES

EXECUTIVE SUMMARY
Staff recommends that the City Council authorize the City Manager to execute the First Amendment to the Consulting Services Agreement with Cal-West Lighting and Signal Maintenance, Inc. (Cal-West), in the amount of $200,000, for a total not-to-exceed contract amount of $600,000, for traffic signal maintenance, on-call support, and emergency repair services.

STRATEGIC PLAN ALIGNMENT
This agenda item does not have alignment with the Strategic Plan.

BACKGROUND
Union City owns and maintains sixty-one existing traffic signalized intersections, one High Intensity Activated Crosswalk (HAWK) on AlvaradoNiles Road, one flashing beacon on Meyers Drive, and two Rectangular Rapid Flashing Beacon (RRFB) crossings. The City applies for and receives federal, state, and local transportation capital grant funds for upgrading and improving various traffic signal systems to current standards. These traffic signal systems employ state-of-the-art electrical equipment requiring specialized expertise for maintenance services and upgrades, expertise that goes beyond the capabilities of in-house staff.

On September 26, 2023, the City Council adopted Resolution No. 6202-23, approving a Consulting Services Agreement with Cal-West Lighting and Signal Maintenance, Inc., for traffic signal maintenance, on-call support, and emergency repair services, for a not-to-exceed contract amount of $400,000. The resolution approved a twenty-two-month term, with an option, if mutually agreeable by the City and Cal-West, for a third year; however, additional funding for the third year was inadvertently omitted from the resolution.

DISCUSSION
Cal-West is our current traffic signal maintenance contractor and demonstrates a high level of technical expertise and experience in traffic signal maintenance. They demonstrate a comprehensive understanding of the complexities and requirements associated with maintaining traffic signals, including troubleshooting, repairs, maintenance, and emergency support. Cal-West continues its strong track record in successfully delivering traffic signal maintenance services for Union City. Cal-West has extensive experience with traffic signal systems and is very familiar with the City’s infrastructure, geographic complexities, and intricacies of each traffic signal. City staff collaborate and coordinate extensively with Cal-West staff, who are readily available and responsive.

Cal-West will continue to perform the City’s routine traffic signal maintenance activities and respond to emergency callouts for traffic signal City Council/RSA Agenda 92 Tuesday, July 8, 2025
malfunction and traffic signal facility knockdowns.

Traffic Signal Maintenance service costs are estimated as follows:

Routine On-Call Traffic Signal Maintenance $61,200/year Maintenance Extras (Emergency Calls) $45,600/year
Maintenance Extras (Projects/Knockdowns) $93,200/year
ANNUAL TOTAL $200,000/year
Staff recommends extending the contract with Cal-West for a third year.

FISCAL IMPACT
The First Amendment to the Consulting Services Agreement with Cal-West, in the amount of $200,000, will be funded with Measure F funds (Account Number 26033003-54111) as identified in the Biennial Budget for Fiscal Years 2025-2026 & 2026-2027, adopted by the City Council on June 24, 2025, via Resolution 2025-086.

There is no impact to the General Fund.

RECOMMENDATION
Staff recommends that the City Council authorize the City Manager to execute the First Amendment to the Consulting Services Agreement with Cal-West Lighting and Signal Maintenance, Inc. (Cal-West), in the amount of $200,000, for a total not-to-exceed contract amount of $600,000, for traffic signal maintenance, on-call support, and emergency repair services.

Prepared by:

Eddie Yu, Civil Engineer II
Submitted by:

MarilouAyupan, Public Works Director
ATTACHMENTS:

Description Type
Attachment 1 - FirstAmendment Attachment
Draft Resolution Resolution
City Council/RSA Agenda 93 Tuesday, July 8, 2025

FIRST AMENDMENT TO THE

CONSULTING SERVICES AGREEMENT
WITH CAL-WEST LIGHTING AND SIGNAL MAINTENANCE, INC.

FOR TRAFFIC SIGNAL MAINTENANCE SERVICES
THIS FIRST AMENDMENT (the “First Amendment”) is effective as of this 8th day of July, 2025 by and between THE CITY OF UNION CITY, a municipal corporation, (“City”) and CALWEST LIGHTING AND SIGNAL MAINTENANCE, INC., ("Consultant"), collectively referred to as the "Parties."
W I T N E S S E T H:

WHEREAS, on September 1, 2023, the Parties entered into a Consulting Services Agreement (“Agreement”) wherein the Consultant will provide the City with consulting services related to Traffic Signal Maintenance Services for a two-year term, in the amount of $400,000; and WHEREAS, on September 26, 2023, the City Council adopted Resolution No. 6202-23, approving the Agreement twenty-two month term with an option to extend the term for an additional one-year period; and
WHEREAS, the Parties desire to amend the Agreement to exercise the additional one-year period option and increase the compensation for an additional $200,000; and WHEREAS, the City and the Consultant desire to enter into this First Amendment.

NOW, THEREFORE, the Parties hereto do mutually agree as follows:

1. The “TERM OF SERVICES,” as set forth in the first sentence of Section 1.1 of the Agreement, is hereby extended to June 30, 2026.

2. The first sentence of Section 2 “COMPENSATION” of the Agreement is hereby amended to reflect payment based upon a sum increase of Two Hundred Thousand Dollars ($200,000), as set forth in Exhibit B of this First Amendment. The total compensation under the Agreement including this Amendment shall not exceed a total contract amount of Six Hundred Thousand Dollars ($600,000). The first sentence shall now read:

City hereby agrees to pay Consultant a sum not to exceed Six Hundred Thousand Dollars ($600,000), notwithstanding any contrary indications that may be contained in Consultant's proposal, for services to be performed and reimbursable costs incurred under this Agreement.

3. The “COST PROPOSAL” as set forth in EXHIBIT B of the Agreement, is hereby amended to include the information contained in Exhibit B of this First Amendment, attached hereto and incorporated herein by reference.

City Council/RSA Agenda 94 Tuesday, July 8, 2025

4. All other provisions of the Agreement, remain unchanged except as modified by this First Amendment.

IN WITNESS WHEREOF, the City and the Consultant have executed this Amendment effective as of the date hereinabove written.

THE CITY OF UNION CITY CAL-WEST LIGHTING AND SIGNAL
MAINTENANCE, INC.

By By
Joan Malloy Craig Geis
City Manager President
Attest:
___________________________
Thai Nam N. Pham
City Clerk
Approved as to Form:
____________________________
Kristopher J. Kokotaylo
City Attorney
City Council/RSA Agenda 95 Tuesday, July 8, 2025

EXHIBIT B

COST PROPOSAL

1. ROUTINE MONTHLY MAINTENANCE (Traffic Signals)
• Routine Traffic Signal Maintenance rates are set under the assumption of Routine services being performed within one (1) hour or less per-intersection. • Traffic Signals: Routine Maintenance of Traffic Signals shall cost the rate of seventy dollars ($70.00) per-intersection per-monthly inspection.

2. MONTHLY MAINTENANCE EXTRAS
Items not listed in “Routine Maintenance” shall be billed as “Maintenance Extras” in accordance with and outlined under Labor and Equipment, and Material Rates to include:
a. Emergency service calls such as but not limited to Signal Controller malfunction or knock-downs
b. Work performed or materials used outside of the allotted period of Scheduled Maintenance or malfunctions caused by vandalism, power issues, pole or equipment knock-down, lightning strike, earthquake, or other acts of God c. The correction, repair, or replacement of materials or equipment installed or modified by another party other than Cal-West
Labor and Equipment Billing
A. Normal Straight-Time rates apply between the day-time hours of: 0700hrs to 1600hrs Over-time rates apply between the Evening hours of: 1600hrs to 0700hrs B. Normal Straight-Time rates apply during normal business hours Monday-thru-Friday Over-Time rates apply after normal business hours, Weekends, and Holidays C. There shall be no half hour or hour minimum charge on day-time calls Labor and Equipment charges for Day-Time calls shall be billed in fifteen (15) minute increments D. There shall be a two (2) hour minimum charge for Emergency calls in the Evening hours Evening calls, after the two (2) hour minimum, shall be billed in fifteen (15) minute increments Labor:

Straight-Time Over-Time
Traffic Signal Technician: $ 135.00 / hr $ 230.00 / hr
Equipment:

General Laborer: $ 75.00 / hr $ 115.00 / hr
Straight-Time Over-Time
Service (Bucket) Truck:
$ 30.00 / hr $ 30.00 / hr
Crane (Boom) Truck: $ 30.00 / hr $ 30.00 / hr
Dump Truck: $ 25.00 / hr $ 25.00 / hr
Material Rates: All material rates shall be set at invoice cost plus an overhead mark-up of: 10% City Council/RSA Agenda 96 Tuesday, July 8, 2025
RESOLUTION NO. 2025-XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

UNION CITY AUTHORIZING THE CITY MANAGER TO

EXECUTE THE FIRST AMENDMENT TO THE

CONSULTING SERVICES AGREEMENT WITH CAL-WEST
LIGHTING AND SIGNAL MAINTENANCE, INC., IN THE
AMOUNT OF $200,000, FOR A TOTAL NOT-TO-EXCEED
CONTRACT AMOUNT OF $600,000, FOR TRAFFIC

SIGNAL MAINTENANCE, ON-CALL SUPPORT, AND

EMERGENCY REPAIR SERVICES
WHEREAS, the City of Union City owns and maintains sixty-one existing traffic signals, one High Intensity Activated Crosswalk (HAWK) on Alvarado-Niles Road, one flashing beacon on Meyers Drive and two existing Rectangular Rapid Flashing Beacon (RRFB) crossings within the City; and
WHEREAS, the City receives federal, state and local transportation funds for traffic signal improvements and equipment upgrades to support the City’s Capital Improvement Program (CIP); and
WHEREAS, on September 26, 2023, the City Council adopted Resolution No. 6202-23, approving a Consulting Services Agreement with Cal-West Lighting and Signal Maintenance, Inc., for traffic signal maintenance, on-call support, and emergency repair services, for a twenty-two-month term and a not-to-exceed contract amount of $400,000; and
WHEREAS, the resolution approved an option, if mutually agreeable by the City and Cal-West, for a third year; however, additional funding for the third year was inadvertently omitted from the resolution; and
WHEREAS, Cal-West Lighting and Signal Maintenance, Inc., continue to provide continuous and comprehensive routine traffic signal maintenance and on-call support, and respond to emergency services for repairs/replacement of the City’s traffic signals to ensure safe and sound signalized intersections operations; and WHEREAS, the First Amendment to the Consulting Services Agreement with CalWest Lighting and Signal Maintenance, Inc. for traffic signal maintenance, on-call support, and emergency repair services, in the amount of $200,000, for an additional one-year term and for a total not-to-exceed contract amount of $600,000, will be funded with Measure F Vehicle Registration Fee Fund monies (Account Number 26033003-54111), as identified in the Biennial Budget for Fiscal Years 2025-2026 & 2026-2027, adopted by the City Council on June 24, 2025, via Resolution 2025-086.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Union City hereby authorizes the City Manager to execute the First Amendment to the Consulting Services Agreement with Cal-West Lighting and Signal Maintenance, Inc., in the amount of $200,000, for traffic signal maintenance, on-call support, and emergency repair services.

City Council/RSA Agenda 97 Tuesday, July 8, 2025
Resolution No. 2025-XXX
Approve First Amendment to CSA with Cal-West Lighting and Signal Maintenance, Inc.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on the 8
th day of July 2025, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:

THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
City Council/RSA Agenda 98 Tuesday, July 8, 2025
Agenda Item
DATE: 7/8/2025
TO: HONORABLE MAYOR AND CITYCOUNCIL
FROM: JOAN MALLOY, CITYMANAGER
SUBJECT: ADOPT A RESOLUTION REJECTING ALL BIDS FOR THE AT-GRADE PEDESTRIAN CROSSING AT BART, CITY PROJECT NO. 14-14

EXECUTIVE SUMMARY
Staff recommends the City Council adopt a resolution rejecting all bids for the At-Grade Pedestrian Crossing at BART, City Project No. 14-14.

STRATEGIC PLAN ALIGNMENT
This agenda item is in alignment with the following:

Goal C, Strategy 2: Economic, Community Development, and Public Safety – Facilitate the build out of the greater Station District Area through the construction of the Quarry Lakes Parkway, completion of the pedestrian rail crossing, and implementing the recommendations of the Southern Alameda County Regional Rail Integration Study to make the Station District a passenger rail hub served byACE.

Goal D, Strategy 2: Environmental Sustainability and Infrastructure – Implement the City’s capital improvement plan.

BACKGROUND
The At-Grade Pedestrian Crossing at BART, City Project No. 14-14, consists of improvements within and adjacent to the Union Pacific Railroad (UPRR) and BART rights-of-way between the existing Union City BART Station and Duncan Way, as shown and described in the Contract Documents. Within the UPRR right-of-way, the improvements consist of the at-grade crossing approaches and asphalt conforms (to existing concrete panels), stairs and ramp structures, UPRR maintenance vehicle access paths/ramps and associated grading. In addition, drainage inlets, drainage pipes and ditches will be constructed to provide drainage within the UPRR right-of-way. Other items include granite cladding, railing, lighting and landscaping.

DISCUSSION
On May 9, 2025, the City released a Notice Inviting Bids for this project. Three (3) bids were received from Ghilotti Construction Company ($5,588,484.00), R&S Construction Management, Inc. ($4,160,410.00) and Bay Cities Paving & Grading, Inc.($5,761,279.07) on June 12, 2025 (see Exhibit A). The engineer’s estimate for this project was $3,000,000.

R & S Construction Management, Inc., was the apparent low bidder. However, they sent a request to withdraw their bid, without forfeiting their bid security, as allowed under California Public Contract Code Section 5100 et seq., including but not limited to 5101(b) and 5103, according to their request. The bid was withdrawn due to errors on eight (8) bid items and the use of ‘Tons’ instead of ‘Cubic Yards’ for measurements on the bid sheet.

This resulted in a bid amount significantly lower than what it would have been.

Additionally, there was a discrepancy between the specifications and the bid forms provided in the package. The specifications call for each subcontractor to have their bid amount listed on the designated form where all subcontractors are listed; however, the designated form did not have specified areas to list the amount for each subcontractor bid. Consequently, all bidders, except the second lowest bidder, failed to include the City Council/RSA Agenda 99 Tuesday, July 8, 2025
subcontractor amounts on the designated form. The second lowest bidder realized this discrepancy and, rather than bring it to the City’s attention as required by the specifications, proceeded to insert lines for the amounts for each subcontractor and submitted it as part of their bid package.

Per California Public Contract Code Section 20166 and as stated in the bid documents, the City reserves the right to reject all bids. Staff believes it is in the best interest of the City to reject all bids, make any necessary corrections to the bid documents, and re-advertise for public bids.

The City will update the specifications to correct the identified discrepancy, as well as update the engineer’s estimate to more closely reflect actual market conditions and go to bid after the City Council rejects all current bids.

Staff recommends rejecting all current bids, revising the bid package as outlined above, and re-advertising the project.

FISCAL IMPACT
The City will absorb minimal costs in reviewing the bid documents and preparing the documents for a second bid.

RECOMMENDATION
Staff recommend that the City Council reject all bids for the At-Grade Pedestrian Crossing at BART, City Project No. 14-14.

Prepared by:

Farooq Azim, City Engineer
Submitted by:

MarilouAyupan, Public Works Director
ATTACHMENTS:

Description Type
Draft Resolution Resolution
ExhibitA - Bid Summary Exhibit
City Council/RSA Agenda 100 Tuesday, July 8, 2025
RESOLUTION NO. 2025-XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY

REJECTING ALL BIDS FOR THE AT-GRADE PEDESTRIAN CROSSING AT BART, CITY PROJECT NO. 14-14
WHEREAS, the City of Union City issued a Notice of Inviting Bids for the At-Grade Pedestrian Crossing at BART, City Project No. 14-14, to construct a new pedestrian atgrade (Oakland Sub) crossing to make a new east entrance to Union City BART and to improve Decoto Road at-grade crossing and close I Street at-grade (Oakland Sub).

Improve other distance at-grade crossings (Coast Sub/Oakland Sub/Niles Sub); and WHEREAS, on May 9, 2025, plans and specifications for the At-Grade Pedestrian Crossing at BART, City Project No. 14-14, were released and advertised for bids. Three bids were received and opened on June 12, 2025, as noted in Exhibit A, Bid Summary; and
WHEREAS, the lowest bidder sent a request to withdraw their bid due to errors on the bid sheet, resulting in a bid amount significantly lower than what it would have been; and
WHEREAS, the specifications called for information for which there was not a designated place on the bid form, causing all bidders, except the second lowest bidder, to fail to include the required information; and
WHEREAS, California Public Contract Code Section 20166 permits the City to reject all bids; and
WHEREAS, it is in the best interest of the City to reject all bids, make necessary corrections to the bid documents regarding the engineer’s estimate, and re-advertise for public bids; and
WHEREAS, City staff recommends that all current bids be rejected, the bid package be revised as outlined above, and the project be re-advertised.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Union City does hereby reject all bids received for the At-Grade Pedestrian Crossing at BART, City Project No. 14-14, for the reasons set forth above.

City Council/RSA Agenda 101 Tuesday, July 8, 2025
Resolution 2025-XXX
Reject All Bids for the At-Grade Pedestrian Crossing at BART

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on the 8
th day of July 2025 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:

THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
Attachments:

1. Exhibit A – Bid Results
City Council/RSA Agenda 102 Tuesday, July 8, 2025

CITY OF UNION CITY

BID SUMMARY
PROJECT: AT-GRADE PEDESTRIAN CROSSING AT BART, CITY PROJECT NO.14-14
Project Manager: Farooq Azim, City Engineer
DATE: Thursday, June 12, 2025
TIME: 2:00 p.m.

LOCATION: City Council Chambers
34009 Alvarado-Niles Road
Union City, CA 94587
No BIDDERS BID AMOUNT
*CORRECTED

BID AMOUNT

1. Ghilotti Construction Company $5,588,484.00

2. R&S Construction Management, Inc. $4,074,910.00 $4,160,410.00

3. Bay Cities Paving & Grading, Inc. $5,759,279.07 $5,761,279.07 I, Thai Nam Pham, City Clerk of the City of Union City, do hereby certify that on Thursday, June 12, 2025, I received and opened three (3) bids for the above-mentioned project. *Note: All bid amounts will be verified by the Engineer. Any corrections will be shown in the column above.

Thai Nam Pham, MMC, CPMC
City Clerk
City Council/RSA Agenda 103 Tuesday, July 8, 2025
Agenda Item
DATE: 7/8/2025
TO: HONORABLE MAYOR AND CITYCOUNCIL
FROM: JOAN MALLOY, CITYMANAGER
SUBJECT: ADOPT A RESOLUTION AUTHORIZING THE CITY MANAGER, OR THEIR DESIGNEE, TO SUBMIT THE

REQUIRED PROJECT LIST AUTHORIZING RESOLUTION, TO EXECUTE THE CERTIFICATIONS AND

ASSURANCES, AND TO SUBMIT AUTHORIZED AGENT FORMS FOR THE STATE TRANSIT ASSISTANCE (STA)

STATE OF GOOD REPAIR (SGR) PROGRAM FOR UNION CITYTRANSIT

EXECUTIVE SUMMARY
Staff recommends the City Council adopt a resolution authorizing the City Manager, or their designee, to submit the required project list authorizing resolution, to execute the certifications and assurances, and to submit authorized agent forms for the State Transit Assistance (STA) State of Good Repair (SGR) Program for Union City Transit, in the estimated amount of $23,748.

STRATEGIC PLAN ALIGNMENT
There is no direct alignment with the Strategic Plan goals.

BACKGROUND
Senate Bill 1 (SB1), also known as the Road Repair and AccountabilityAct of 2017, augmented the existing State Transit Assistance program with a new State of Good Repair (SGR) program funded from a portion of a new Transportation Improvement Fee on vehicle registrations due on or after January 1, 2018. Funds are administered by the California Department of Transportation (Caltrans) and distributed by formula on a population basis in the region to the Metropolitan Transportation Commission (MTC), and on a revenue basis to eligible transit operators for transit maintenance, rehabilitation, and capital projects. The State Controller’s Office (SCO) has estimated that $23,748 in revenue-based SGR funds will be available for allocation to the City of Union City – Union City Transit in FY2025-26.

Caltrans’ SGR Program guidelines require regional agencies, including MTC, to approve transit operators’ revenue-based SGR projects and submit a single region-wide list of projects to Caltrans by September 1 of each year. In order for MTC to approve the Regional SGR Program Project List by September 1, transit operators in the BayArea must submit a governing body–approved project list for all anticipated SGR Program expenditures to MTC no later than July 1. MTC staff has stated they will accept the City of Union City’s resolution approving the project list following the July 8, 2025, City Council meeting.

The program guidelines state that transit agencies receiving funds from the SGR Program must submit expenditure proposals listing projects that maintain the public transit system in a state of good repair, which are:

Transit capital projects or services to maintain or repair a transit operator’s existing transit vehicle fleet or transit facilities, including the rehabilitation or modernization of the existing vehicles or facilities.

The design, acquisition and construction of new vehicles or facilities that improve existing transit services.

Transit services that complement local efforts for repair and improvement of local transportation infrastructure.

DISCUSSION
City Council/RSA Agenda 104 Tuesday, July 8, 2025
Staff proposes to use the FY 2025-26 SGR allocation to continue making bus stop improvements around Union City. This project will continue the installation of new bus shelters and customer information displays that has been ongoing since 2023 through June 2025. The total estimated amount available to support the project is $23,748.

Caltrans has adopted requirements for agencies to designate an authorized agent and to provide certifications and assurances for SGR. As a condition to receive SGR funds, each project sponsor/agency must authorize an agency designee to execute these certifications and assurances.

They include guidelines for project administration, reporting, cost principles, record retention, and special situations.

FISCAL IMPACT
The City will receive approximately $23,748 of pass-through SGR funds in one-time or progressive disbursement depending on the State’s sales receipts and committed funds; staff will bring the award of funds to City Council for acceptance at that time. These funds will be combined with prior year SGR and local transit funds for the proposed project. There will be no impact on the General Fund.

RECOMMENDATION
Staff recommends the City Council adopt a resolution authorizing the City Manager, or their designee, to submit the required project list authorizing resolution, to execute the certifications and assurances, and to submit authorized agent forms for the State Transit Assistance (STA) State of Good Repair (SGR) Program for Union City Transit.

Prepared by:

Steve Adams, Transit Manager
Submitted by:

Joan Malloy, City Manager
ATTACHMENTS:

Description Type
Draft Resolution Resolution
ExhibitA -AuthorizedAgent Form Exhibit
Exhibit B- Certifications &Assurances Exhibit
City Council/RSA Agenda 105 Tuesday, July 8, 2025
RESOLUTION NO. 2025-XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY

AUTHORIZING THE CITY MANAGER, OR THEIR DESIGNEE, TO

SUBMIT THE REQUIRED PROJECT LIST AUTHORIZING

RESOLUTION, TO EXECUTE THE CERTIFICATIONS AND

ASSURANCES, AND TO SUBMIT AUTHORIZED AGENT FORMS FOR

THE STATE TRANSIT ASSISTANCE (STA) STATE OF GOOD REPAIR (SGR) PROGRAM FOR UNION CITY TRANSIT
WHEREAS, Senate Bill 1 (SB1), the Road Repair and Accountability Act of 2017, establishes the State of Good Repair (SGR) program to fund eligible transit maintenance, rehabilitation, and capital project activities that maintain the public transit system in a state of good repair; and
WHEREAS, the Metropolitan Transportation Commission (MTC) is an eligible project sponsor and may receive and distribute State Transit Assistance (STA) State of Good Repair (SGR) funds to eligible project sponsors (local agencies) for eligible transit capital projects; and
WHEREAS, MTC is distributing SGR funds to eligible project sponsors (local agencies) under its regional jurisdiction; and
WHEREAS, MTC concurs with and approves the project named below for the SGR Program funds:

List project(s), including the following information:

Project Name: Bus Stop Improvements
Amount of SGR funds: approximately $23,748
Short description of the project: New bus shelter installations and customer information displays; and
WHEREAS, the California Department of Transportation (Caltrans) has developed guidelines for the purpose of administering and distributing SGR funds to eligible project sponsors (local agencies); and
WHEREAS, the City of Union City – Union City Transit wishes to delegate authorization to execute these documents and any amendments thereto to the City Manager and/or their designees (see Exhibits A and B).

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Union City that the fund recipient agrees to comply with all conditions and requirements set forth in the Certification and Assurances and the Authorized Agent documents and applicable statutes, regulations and guidelines for all SGR funded transit projects.

NOW THEREFORE, BE IT FURTHER RESOLVED that City Manager and/or their designee(s) be authorized to execute all required documents of the SGR program and any Amendments thereto with the California Department of Transportation.

City Council/RSA Agenda 106 Tuesday, July 8, 2025
Resolution No. 2025-XXX
Authorize FY 2025-26 STA SGR Funds

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on the 8
th day of July 2025 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:

THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
Attachments:

1. Exhibit A - LCTOP Authorized Agent

2. Exhibit B - LCTOP Certificates and Assurances
City Council/RSA Agenda 107 Tuesday, July 8, 2025
STATE OF CALIFORNIA • DEPARTMENT OF TRANSPORTATION
Division of Rail and Mass Transportation
State Transit Assistance State of Good Repair Program
Authorized Agent Form
Authorized Agent
The following individual(s) are hereby authorized to execute for and on behalf of the named Regional Entity/Transit Operator, and to take any actions necessary for the purpose of obtaining State Transit Assistance State of Good Repair funds provided by the California Department of Transportation, Division of Rail and Mass Transportation. This form is valid at the beginning of Fiscal Year 2017-2018 until the end of the State of Good Repair Program. If there is a change in the authorized agent, the project sponsor must submit a new form. This form is required even when the authorized agent is the executive authority himself. __________________________________________________________________ OR (Name and Title of Authorized Agent)
__________________________________________________________________ OR (Name and Title of Authorized Agent)
__________________________________________________________________ . (Name and Title of Authorized Agent)
AS THE __________________________________________________ (Chief Executive Officer / Director / President / Secretary) OF THE __________________________________________________ (Name of County/City Organization) ______________________________________________________________ _________________________________________ (Print Name) (Title)
__________________________________________
(Signature)
Approved this ______________day of _________________, 20_____ FY 22-23 SB 1 STA State of Good Repair
City Council/RSA Agenda 108 Tuesday, July 8, 2025
State Transit Assistance State of Good Repair Program
Recipient Certifications and Assurances
In order to receive State of Good Repair Program (SGR) funds from the California Department of Transportation (Department), recipients must agree to following terms and conditions:

A. General
(1) The recipient agrees to abide by the State of Good Repair Guidelines as may be updated from time to time.
(2) The potential recipient must submit to the Department a State of Good Repair Program Project List annually, listing all projects proposed to be funded by the SGR program. The project list should include the estimated SGR share assigned to each project along with the total estimated cost of each project.. (3) The recipient must submit a signed Authorized Agent form designating the representative who can submit documents on behalf of the recipient and a copy of the board resolution authorizing the agent.

B. Project Administration
(1) The recipient certifies that required environmental documentation will be completed prior to expending SGR funds. The recipient assures that each project approved for SGR funding comply with Public Resources Code § 21100 and § 21150. (2) The recipient certifies that SGR funds will be used for transit purposes and SGR funded projects will be completed and remain in operation for the estimated useful lives of the assets or improvements.
(3) The recipient certifies that it has the legal, financial, and technical capacity to deliver the projects, including the safety and security aspects of each project.

Recipient: City of Union City
.

Effective Date: 1st of July, 2025 .

City of Union City - Union City Transit

City Council/RSA Agenda 109 Tuesday, July 8, 2025
(4) The recipient certifies that there is no pending litigation, dispute, or negative audit findings related to any SGR project at the time an SGR project is submitted in the annual list.
(5) Recipient agrees to notify the Department immediately if litigation is filed or disputes arise after submission of the annual project list and to notify the Department of any negative audit findings related to any project using SGR funds. (6) The recipient must maintain satisfactory continuing control over the use of project equipment and/or facilities and will adequately maintain project equipment and/or facilities for the estimated useful life of each project. (7) Any and all interest the recipient earns on SGR funds must be reported to the Department and may only be used on approved SGR projects or returned to the Department.
(8) The recipient must notify the Department of any proposed changes to an approved project list by submitting an amended project list.
(9) Funds will be expended in a timely manner.

C. Reporting
(1) Per Public Utilities Code § 99312.1 (e) and (f), the recipient must submit the following SGR reports:
a. Annual Expenditure Reports within six months of the close of the fiscal year (by December 31st) of each year.
b. The annual audit required under the Transportation Development Act (TDA), to verify receipt and appropriate expenditure of SGR funds. A copy of the audit report must be submitted to the Department within six months of the close of each fiscal year in which SGR funds have been received or expended.

D. Cost Principles
(1) The recipient agrees to comply with Title 2 of the Code of Federal Regulations Part 200, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments.
(2) The recipient agrees, and will assure that its contractors and subcontractors will be obligated to agree, that (a) Contract Cost Principles and Procedures, 48 CFR, Federal Acquisition Regulations System, Chapter 1, Part 31, et seq., shall be used to determine the allowability of individual project cost items and (b) those parties shall City of Union City - Union City Transit

City Council/RSA Agenda 110 Tuesday, July 8, 2025
comply with Federal administrative procedures in accordance with 2 CFR, Part 200, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments.
(3) Any project cost for which the recipient has received payment that are determined by subsequent audit to be unallowable under 2 CFR, Part 200, are subject to repayment by the recipient to the State of California (State). Should the recipient fail to reimburse moneys due to the State within thirty (30) days of demand, or within such other period as may be agreed in writing between the Parties hereto, the State is authorized to intercept and withhold future payments due the recipient from the State or any third-party source, including but not limited to, the State Treasurer and the State Controller.

E. Record Retention
(1) The recipient agrees, and will assure that its contractors and subcontractors shall establish and maintain an accounting system and records that properly accumulate and segregate incurred project costs and matching funds by line item for the project.

The accounting system of the recipient, its contractors and all subcontractors shall conform to Generally Accepted Accounting Principles (GAAP), enable the determination of incurred costs at interim points of completion, and provide support for reimbursement payment vouchers or invoices. All accounting records and other supporting papers of the recipient, its contractors and subcontractors connected with SGR funding shall be maintained for a minimum of three (3) years from the date of final payment and shall be held open to inspection, copying, and audit by representatives of the State and the California State Auditor. Copies thereof will be furnished by the recipient, its contractors, and subcontractors upon receipt of any request made by the State or its agents. In conducting an audit of the costs claimed, the State will rely to the maximum extent possible on any prior audit of the recipient pursuant to the provisions of federal and State law. In the absence of such an audit, any acceptable audit work performed by the recipient’s external and internal auditors may be relied upon and used by the State when planning and conducting additional audits.
(2) For the purpose of determining compliance with Title 21, California Code of Regulations, Section 2500 et seq., when applicable, and other matters connected with the performance of the recipient’s contracts with third parties pursuant to Government Code § 8546.7, the recipient, its contractors and subcontractors and the Department shall each maintain and make available for inspection all books, documents, papers, accounting records, and other evidence pertaining to the performance of such contracts, including, but not limited to, the costs of administering those various contracts. All of the above referenced parties shall make such materials available at their respective offices at all reasonable times during the entire project period and for three (3) years from the date of final payment. The State, the California State Auditor, or any duly authorized representative of the State, shall each have access to any books, records, and documents that are pertinent to a City of Union City - Union City Transit

City Council/RSA Agenda 111 Tuesday, July 8, 2025
project for audits, examinations, excerpts, and transactions, and the recipient shall furnish copies thereof if requested.
(3) The recipient, its contractors and subcontractors will permit access to all records of employment, employment advertisements, employment application forms, and other pertinent data and records by the State Fair Employment Practices and Housing Commission, or any other agency of the State of California designated by the State, for the purpose of any investigation to ascertain compliance with this document.

F. Special Situations
(1) Recipient acknowledges that if a project list is not submitted timely, the recipient forfeits its apportionment for that fiscal year.
(2) Recipients with delinquent expenditure reports may risk future eligibility for future SGR funding.
(3) Recipient acknowledges that the Department shall have the right to perform an audit and/or request detailed project information of the recipient’s SGR funded projects at the Department’s discretion from SGR award through 3 years after the completion and final billing of any SGR funded project.. Recipient agrees to provide any requested project information.

City of Union City - Union City Transit

CITY OF UNION CITY
I certify all of these conditions will be met.

BY:

Marilou Ayupan, Public Works Director
City Council/RSA Agenda 112 Tuesday, July 8, 2025
City of Union City - Union City Transit

ATTACHMENT I
City Council/RSA Agenda 113 Tuesday, July 8, 2025
Agenda Item
DATE: 7/8/2025
TO: HONORABLE MAYOR AND CITYCOUNCIL
FROM: JOAN MALLOY, CITYMANAGER
SUBJECT: ADOPT A RESOLUTION APPROVING UNION CITY TRANSIT FALL 2025 SERVICE CHANGES EFFECTIVE SATURDAY,AUGUST 9, 2025

EXECUTIVE SUMMARY
Staff recommends that the City Council adopt a resolution approving Union City Transit Fall 2025 service changes effective Saturday, August 9, 2025.

STRATEGIC PLAN ALIGNMENT
There is no direct alignment with the Strategic Plan goals.

BACKGROUND
Prior to the Novel Coronavirus (COVID-19) Pandemic, Union City Transit had not changed its routes and schedules since 2015. During 2020, Union City Transit went through multiple iterations of its service to adapt to decreased ridership, social distancing, and social unrest with curfews.

After a public hearing held on March 9, 2021, the City Council adopted Resolution No. 5722-21, making permanent service changes to route alignments.

On May 24, 2021, Union City Transit began the twenty-two-month Union City Flea (Flexible, Local, Easy, Access) microtransit pilot project that was initially approved by Resolution No. 5535-19 on October 22, 2019. The pilot project concluded on March 31, 2023. City Council approved extending the program through September 1, 2023, by adopting Resolution No. 6111-23 on April 25, 2023, to coincide with the upcoming Bay Area Rapid Transit District (BART) fall service changes, originally scheduled to take place inAugust 2023.

On April 4, 2025, BART announced to transit operators that their proposed service changes for Fall 2025 would take effect on Monday, August 11, 2025. The service changes would continue BART’s response to a looming fiscal cliff that requires reducing service to preserve existing operating funds with continued significant impacts to the segment of the system between Bay Fair (San Leandro) and Berryessa (North San Jose). Trains will continue to be scheduled to arrive every ten (10) minutes on average in each direction at the Union City BART Intermodal Station. This latest adjustment impacts Union City Transit schedules that have been in effect since August 10, 2023.

The City Council awarded a service contract to MV Transportation, Inc., (MV Transit) on March 14, 2023, with the adoption of City Council Resolution No. 6096-23. The new contract includes a provision for microtransit and an anticipated number of service hours pending an expansion or contraction of the service.

On April 22, 2025, the City Council adopted Resolution No. 2025-050, authorizing Union City Transit to apply for Low-Carbon Transit Operation Program (LCTOP) funds to partially fund a further expanded service area for the Union City Flea microtransit service as described in the contract with MV Transit. This application has been submitted to the California Department of Transportation (Caltrans) for review and Caltrans staff has been working with Union City Transit staff to ensure its approval.

DISCUSSION
City Council/RSA Agenda 114 Tuesday, July 8, 2025
The Metropolitan Transportation Commission’s (MTC) Blue Ribbon Transit Recovery Task Force (BRTF) convened during the COVID-19 Pandemic to address transit issues. The BRTF has evolved into the Transit Transformative Action Plan (TTAP) and seeks to implement the most viable recommendations that came from the BRTF. The TTAP includes schedule coordination, fare coordination, wayfinding coordination, technology coordination, procurement coordination, and fiscal responsibility amongst all the transit operators in the nine-county San Francisco Bay Area under the purview of MTC. Some of the collaborations described will come through a newly developed MTC committee responsible for Regional Network Management (RNM). One of the goals of RNM is to make local or sub-regional operators connect with regional operators. In Union City, Union City Transit would continue coordinating its schedule to connect with BART trains arriving or departing at the station.

Union City Transit staff has evaluated the new BART schedule for Fall 2025 and has created a slightly modified schedule with buses departing or arriving within three to five (3-5) minutes of the current schedule to maintain connections with the maximum number of trains possible. The new schedule preserves peak hours weekday mornings and evenings at twenty (20)-minute peak service intervals on Routes 1, 2, and 5. The new schedule adjusts the number of trips on Routes 3 and 4 based on prior year ridership. Route 8, the official route number for the New Haven Unified School District’s (NHUSD) seasonal supplemental service, will resume operating on weekdays during the school year. The new weekday schedule will start at 4:35 AM and end at 10:25 PM and the new weekend schedule will start at 7:04 AM and end at 7:51 PM. There are no changes to the bus route alignments with these schedule changes.

Union City Paratransit’s Americans with Disabilities Act (ADA) service hours will adjust to complement those of the fixed-route service, as required by law. There will be no change to Paratransit Plus service on weekdays until January 2026, while the service hours on weekends will adjust to the weekend fixed-route service.

Union City Flea will be impacted the most with the upcoming service changes. Last fall, the service area expanded to encompass almost all of Union City east of I-880, with stops to access shopping at the Union Landing Transit Center and at Calaveras Landing. With the LCTOP funds for this year, the service area will expand to encompass the entire city. The service will not enter gated communities, it will not serve as school service, and it will not stop in front of schools. Youth aged twelve (12) and under will require the supervision of an adult, and youth aged eight (8) or weighing eightypounds (80 lbs.) or less will require an adult (not the driver) to install and remove a car seat. A minimum of two (2) vehicles will be in service at all times with up to five (5) vehicles available during peak periods. The wait times are expected to be between fifteen (15) to twenty (20) minutes for curb-to-curb service. The expansion of the service area will be accompanied by an expansion of the weekday service hours from 4:35 AM to 10:25 PM. The expansion of the service area and the increase in vehicles is made possible by blending the paratransit vehicles into the demand response fleet, so customers may get picked up by a paratransit vehicle instead of a Flea vehicle. For now, the fare will remain the same as that on the fixedroute service and Clipper is accepted (and recommended) along with the Clipper discounts.

FISCAL IMPACT
The service changes put forth were included in the pricing from MV Transit and MV Transit’s pricing was used in the development of Union City Transit’s funding in the approved Biennial Budget for FY 2025-2026 and FY 2026-2027, so there is no anticipated cost increase to Union City Transit. Union City Transit staff continues to explore additional funding sources like LCTOP to fund service enhancements, but this is to preserve funding reserves since the San Francisco BayArea Transit operators are all potentially facing financial issues after FY2027-2028.

There is no impact to the General Fund.

RECOMMENDATION
Staff recommends that the City Council adopt a resolution approving Union City Transit Fall 2025 services changes effective Saturday, August 9, 2025.

Prepared by:

Steve Adams, Transit Manager
Submitted by:

MarilouAyupan, Public Works Director
ATTACHMENTS:

Description Type
Attachment 1 - UCTransit Fall 2025 Service Changes Attachment Draft Resolution Resolution
City Council/RSA Agenda 115 Tuesday, July 8, 2025
1 Union City
Transit & Flea
Service Area
2024 Service Map
City Council/RSA Agenda 116 Tuesday, July 8, 2025
2 Union City
Transit & Flea
Service Area
2025 Service Map
City Council/RSA Agenda 117 Tuesday, July 8, 2025
RESOLUTION NO. 2025-XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

UNION CITY APPROVING UNION CITY TRANSIT FALL
2025 SERVICE CHANGES EFFECTIVE SATURDAY,
AUGUST 9, 2025
WHEREAS, in the wake of the Novel Coronavirus (COVID-19) Pandemic, the Metropolitan Transportation Commission (MTC) has taken the lead on a Transit Transformative Action Plan (TTAP) to increase collaboration and connectivity amongst the San Francisco Bay Area operators through Regional Network Management (RNM); and
WHEREAS, connectivity amongst operators is recommended to happen through local or sub-regional operator connections with regional operators, and in Union City, Union City Transit coordinates its schedule to connect with Bay Area Rapid Transit District (BART) trains arriving or departing at the station; and WHEREAS, BART will implement a new schedule starting on Monday, August 11, 2025; and
WHEREAS, Union City Transit will take this opportunity to realign its service schedule to connect with the new BART schedules as well as further expand the Union City Flea microtransit pilot service; and
WHEREAS, the new weekday schedule will start at 4:35 AM and end at 10:25 PM, and the new weekend schedule will start at 7:04 AM and end at 7:51 PM; and WHEREAS, the service changes put forth were included in the pricing of the MV Transportation, Inc. (MV Transit) operations and maintenance contract awarded on March 14, 2023, and MV Transit’s pricing was used in the development of Union City Transit’s funding in the approved Biennial Budget for FY 2025-2026 and FY 2026-2027, so there is no anticipated cost increase to Union City Transit.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Union City hereby adopts a resolution approving Union City Transit’s Fall 2025 service changes, effective Saturday, August 9, 2025.

City Council/RSA Agenda 118 Tuesday, July 8, 2025
Resolution No. 2025-XXX
Approve Fall 2025 Union City Transit and Flea Service Changes

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on the 8
th day of July 2025, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:

THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
City Council/RSA Agenda 119 Tuesday, July 8, 2025
Agenda Item
DATE: 7/8/2025
TO: HONORABLE MAYOR AND CITYCOUNCIL
FROM: JOAN MALLOY, CITYMANAGER
SUBJECT: CONDUCT A PUBLIC HEARING AND ADOPT A RESOLUTION DECLARING RESULTS OF AN ASSESSMENT

BALLOT PROCEEDING FOR THE UNION LANDING PROPERTY AND BUSINESS IMPROVEMENT DISTRICT

AND ADOPT A RESOLUTION RENEWING THE UNION LANDING PROPERTY AND BUSINESS IMPROVEMENT DISTRICT FOR APERIOD OF FIVE YEARS AND LEVY AND COLLECT ASSESSMENTS FOR FISCAL YEAR 2025- 2026 WITHIN SUCH DISTRICT PURSUANT TO THE PROPERTY AND BUSINESS IMPROVEMENT DISTRICT LAW OF 1994, PART 7 OF DIVISION 18 OF THE CALIFORNIASTREETS AND HIGHWAYS CODE

EXECUTIVE SUMMARY
The Union Landing property owners have declared their intention to again renew the Union Landing Property and Business Improvement District (PBID) for a five-year period (FY 2025-2026 through FY 2029-2030). The City Council adopted a resolution of intent to renew the PBID and set a public hearing date of July 8, 2025. Staff recommends the City Council hold the public hearing, and have the City Clerk tabulate the ballots.

Following tabulation, staff recommends the City Council adopt the attached resolution declaring the results of the ballot tabulation (Attachment 1) and, provided that a majority protest does not exist, adopt the attached resolution renewing the PBID for a five-year period and levying and collecting assessments for FY25/26 (Attachment 2). The PBID Management Plan and Engineer’s Report, which the renewal is based on, is attached to this staff report (Attachment 2, Exhibit A). Also attached is a 5-year re-cap of the PBID/ULPOA accomplishments (Attachment 3).

STRATEGIC PLAN ALIGNMENT
This agenda item is aligned with the following:

Goal C, Strategy 4: Enhance the City’s partnership with Union Landing property owners and tenants to grow the vitality of the business district and revenue to the City.

BACKGROUND
The Union Landing PBID includes parcels located in the Union Landing Shopping Center. The center is generally bounded by Interstate 880 to the east, Whipple Road to the north, Dyer Street to the west and Alvarado-Niles Road to the south.

The City Council approved the formation of the Union Landing PBID pursuant to the Property and Business Improvement District Law of 1994, California Streets and Highway Code Sections 36600 et seq in 2004 for a one-year period. Since its initial formation, the PBID has been renewed multiple times, each for a three-year term up to the most recent renewal in 2020, which was for a term of five years.

The PBID has provided funding for security and marketing services, administration, and the operation of a police substation in the shopping center.

The current PBID term ends June 30, 2025. Consistent with prior years, the City hired NBS to assist with the PBID formation process.

The Union Landing Property Owners Association (ULPOA) Board of Directors and City staff have worked diligently to support post-pandemic recovery of businesses located at the center. Those efforts have included improvement of gateway walls at the entrances to the center; upgraded median landscaping, and renovation of the freeway pylon sign. These improvements along with installation of banners, web page management, a social media program, and seasonal events have positioned the center as a regional retail “powerhouse.” With no big box vacancies and top sales City Council/RSA Agenda 120 Tuesday, July 8, 2025
tax performance, the center is a significant asset to the City. Attached is a recap of the prior PBID/ULPOA accomplishments (Attachment 3).

DISCUSSION
The Union Landing property owners have declared their intention at a meeting that took place on June 12, 2025 to renew the Union Landing PBID for a five-year period (FY2025-26 through FY2029-30). The PBID would continue to provide funding for three dedicated full-time sworn Union City police officers at Union Landing, the police substation rental, and supplies for the officers. In addition, a marketing program will continue to provide marketing and promotional efforts such as digital marketing, center signage, and banners.

As part of the renewal, funding was added to the budget to transition management of the PBID to Community Strong Strategies (CSS), an experienced manager of PBIDs throughout the state. City staff will work closely with CSS to ensure a smooth transition during the 6-month transition period from July 1, 2025 through December 31, 2025, with CSS fully taking over administration duties starting January 1, 2026. Administration of the PBID was previously handled by Economic Development staff. During this PBID cycle, the assessment calendar will shift from a fiscal year to a calendar year to better align with property tax assessments and the income tax filings. This will also align with the calendar for CSS's administration duties.

The City Council has declared its intention to renew the PBID (Resolution No. 2025-060) and called for a public hearing and assessment ballot proceeding for the PBID formation to support and/or protest the five-year renewal. As part of the renewal process, each property owner in the PBID was mailed a ballot. The ballots are weighted according to the proportional financial obligation of each affected parcel. A majority protest exists if, upon the conclusion of the public hearing, weighted ballots submitted in opposition to the assessment exceed the weighted ballots submitted in favor of the assessment. Provided a majority protest does not exist, the City Council may renew the District.

At the public hearing, interested persons will be allowed to “hear and be heard.” At the close of the public hearing, assessment ballots will be tabulated. The City Council will then declare the results of the Assessment Ballot Proceedings for the PBID and, if there are no majority protests, may adopt the attached resolution (Attachment 2) to renew the PBID and to levy and collect assessments for Fiscal Year 2025-2026.

The City of Union City as an owner of the Union City Transit Center (APN: 463-014-002-00) is assessed as part of the PBID and is eligible to cast a ballot. The City Council, at their June 24, 2025 meeting authorized the City Manager to cast an assessment ballot on behalf of the City in support of the renewal.
.

FISCAL IMPACT
In the first year, the PBID assessment will provide funding, for the above-mentioned activities/services, in the amount of $1,615,471.62. This amount is paid for by the property owners and is referred to as the "special benefit." The Management Plan (Attachment 2, Exhibit A) includes a table showing the breakdown of what each property owner is required to pay broken down by parcel. The Union Landing Transit Center parcel is one of the parcels assessed as part of the special benefit. The City is estimated to pay approximately $750 for this parcel in the first year. Other City-owned parcels, which accommodate roadways, are included in the table but not assessed. In addition, the City will contribute $75,399.35 to cover the "general benefit" conferred by the services. General benefit is defined as the benefit to the public at large resulting from the services to be provided by the assessments levied, which must be paid for by the City. Beginning in the second year, the special benefit assessments will be $1,214,674.99 and the general benefit assessment will be $54,208.05. Staff does not have an estimate for its portion of the special benefit for the second year, but it will be reduced. The second-year assessments reflect the removal of the additional six months of costs included in the first year. As stated previously, the assessment calendar will shift from a fiscal year to a calendar year to better align with property tax assessments and the income tax filings. The second-year assessments also reflect a four percent increase from the prior year, which the Board and the City can add to address increases in costs. A four percent increase can also be added to each subsequent year.

RECOMMENDATION
Staff recommends that the City Council hold the Public Hearing, then have the City Clerk tabulate the assessment ballots. Upon assessment ballot tabulation, staff recommends the City Council adopt the attached resolution declaring the results of the ballot tabulation (Attachment 1) and, if a majority protest does not exist, adopt the attached resolution (Attachment 2) renewing the PBID and levying and collecting assessments for FY 2025-2026.

Prepared by:

Gloria Ortega, Economic Development Manager
City Council/RSA Agenda 121 Tuesday, July 8, 2025
Submitted by:

Carmela Campbell, Economic and Community Development Director ATTACHMENTS:

Description Type
Attachment 1 - Draft Resolution - PBIDBallot Tabulation Results Resolution Attachment 2 - Draft Resolution - PBIDRenewal Resolution ExhibitA - Management Plan and Engineer's Report Exhibit Attachment 3- PBID5 Year Recap Attachment
PowerPoint Presentation Attachment
City Council/RSA Agenda 122 Tuesday, July 8, 2025
RESOLUTION NO. 2025-XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY

DECLARING THE RESULTS OF AN ASSESSMENT BALLOT

PROCEEDING FOR THE UNION LANDING PROPERTY AND BUSINESS

IMPROVEMENT DISTRICT AND APPROVING CERTAIN ACTIONS
WHEREAS, the City Council of the City of Union City (hereafter referred to as the “City Council”) pursuant to the provisions of the Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the Streets and Highways Code of California (hereafter referred to as the “Act”), did by previous Resolutions, complete proceedings for the formation and subsequent renewal of the Union Landing Property and Business Improvement District (hereafter referred to as the “District”); and WHEREAS, the City Council did by previous Resolution declare its intention to renew the District, approve the District’s Management District Plan and Engineer’s Report (which are on file with the City Clerk), call an assessment ballot proceeding, and provide notice of a public hearing; and
WHEREAS, the City Council called and duly held a public hearing and an assessment ballot proceeding for the District pursuant to the Act and the California Constitution Article XIII D, for the purpose of presenting to the qualified property owners within the District the annual levy of assessments and maximum annual assessments over the five year period to pay for the costs and expenses associated with and authorized for the District as outlined in the Management District Plan and Engineer’s Report; and WHEREAS, notices of such hearing accompanied by assessment ballot materials were regularly mailed to each such record owner in the time, form and manner required by the Assessment Law, a full hearing has been given, and at this time all assessment ballots submitted pursuant to the Assessment Law have been tabulated by the tabulation official appointed by the City (the “Tabulation Official”), pursuant to the terms and provisions of the Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the Streets and Highways Code of California (hereafter referred to as the “Act”), Article XIIID of the Constitution of the State of California (“Article XIIID”) and the Proposition 218 Omnibus Implementation Act (Government Code Section 53750 and following) (“Proposition 218” and, together with the 1972 Act and Article XIIID, the “Assessment Law”); and,
WHEREAS, the Tabulation Official has prepared and submitted to this legislative body a Certificate of Tabulation Official and Statement of Assessment Ballots Submitted (the “Certificate of the Tabulation Official”), a copy of which is attached as Exhibit A hereto and incorporated herein by this reference, which reflects the results of the tabulation of the assessment ballots; and
WHEREAS, the City Council is now satisfied with the assessment and all matters contained in the Engineer’s Report as submitted.

NOW, THEREFORE BE IT RESOLVED:

1. Recitals. The above recitals are true and correct.

City Council/RSA Agenda 123 Tuesday, July 8, 2025
Resolution No. 2025-XXX
PBID Renewal - Assessment Ballot Tabulation

2. Canvass of Ballots. The canvass of the ballots cast in the Assessment District at the assessment ballot proceeding held on July 8, 2025, is hereby approved and confirmed. Assessment ballots were mailed, as required by the Assessment Law, to the record owners of all properties proposed to be assessed within the District. The assessment ballots that were completed and received by the City Clerk, prior to the close of the Public Hearing, have been tabulated in accordance with the procedures established under the Assessment Law and the results of such tabulation have been submitted to this City Council.

3. Ballot Results. This City Council hereby finds that the assessment ballots submitted in favor of the levy of assessments exceed the assessment ballots submitted in opposition to such levy as weighted by assessment amount in accordance with the Assessment Law. Therefore, no majority protest to the levy of assessments within the Assessment District has been found to exist. The City Clerk is hereby directed to enter this Resolution on the minutes of the City Council which shall constitute the official declaration of the result of such assessment ballot proceeding. This Resolution shall become effective immediately upon its adoption. The City Clerk shall certify the adoption of this Resolution.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on July 8, 2025, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:

THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
Attachments:

1. Exhibit A – Certificate of Tabulation Official and Statement of Assessment Ballots Statements
City Council/RSA Agenda 124 Tuesday, July 8, 2025
Resolution No. 2025-XXX
PBID Renewal - Assessment Ballot Tabulation

Exhibit A
Certificate of Tabulation Official
and
Statement of Assessment Ballots Submitted

STATE OF CALIFORNIA )
COUNTY OF ALAMEDA ) ss.

CITY OF UNION CITY )
The undersigned, the duly authorized tabulation official appointed by the City Council of the City of Union City, DOES HEREBY CERTIFY that pursuant to the provisions of Article XIIID of the Constitution of the State of California and the Proposition 218 Omnibus Implementation Act (Government Code Section 53750 and following), I did tabulate the assessment ballots timely submitted in the assessment ballot proceedings pertaining to the Union Landing Property and Business Improvement District.

I FURTHER CERTIFY that this Statement of Assessment Ballots Received shows the assessment ballots submitted in favor of the proposed assessment and the assessment ballots submitted in opposition to the proposed assessment, each total weighted according to the financial obligation of the affected properties for which the assessment ballots were submitted.

Total assessment ballots distributed 30
Total assessment ballots received
Assessment ballots received in favor of the proposed
assessment:

Weighted value of assessment ballots received in favor of the proposed assessment
Assessment ballots received in opposition to the
proposed assessment:

Weighted value of assessment ballots received in
opposition to the proposed assessment
This certification is executed this day of , 2025 in ___________________, California.

By:

Title:

City Council/RSA Agenda 125 Tuesday, July 8, 2025
RESOLUTION NO. 2025-XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY

RENEWING THE UNION LANDING PROPERTY AND BUSINESS

IMPROVEMENT DISTRICT AND TO LEVY AND COLLECT
ASSESSMENTS FOR FISCAL YEAR 2025/26 WITHIN SUCH DISTRICT

PURSUANT TO THE PROPERTY AND BUSINESS IMPROVEMENT
DISTRICT LAW OF 1994, PART 7 OF DIVISION 18 OF THE CALIFORNIA

STREETS AND HIGHWAYS CODE
WHEREAS, the City Council of the City of Union City (hereafter referred to as the “City Council”) pursuant to the provisions of the Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the Streets and Highways Code of California (hereafter referred to as the “Act”), did by previous Resolutions, complete proceedings for the formation and subsequent renewal of the Union Landing Property and Business Improvement District (hereafter referred to as the “District”); and WHEREAS, the City Council did by previous Resolution declare its intention to renew the District, approve the District’s Management District Plan and Engineer’s Report, which is Labeled Exhibit A, attached hereto and made a part hereof, call an assessment ballot proceeding and provide notice of a public hearing; and WHEREAS, the City Council called and duly held a public hearing and an assessment ballot proceeding for the District pursuant to the Act and the California Constitution Article XIII D, for the purpose of presenting to the qualified property owners within the District the annual levy of assessments and maximum annual assessments over the five-year period to pay for the costs and expenses associated with and authorized for the District as outlined in the Management District Plan and Engineer’s Report; and
WHEREAS, the assessment ballot proceeding was conducted, with ballots present to qualified property owners of the District for receipt by the City Clerk on July 8, 2025, weighted according to the proportional financial obligation of each affected property, and the tabulation of said ballots returned by the property owners indicated no majority protest was made; and
WHEREAS, the City Council, pursuant to the Act did by previous Resolution appoint an owner’s association and this owner’s association shall cause to be prepared an annual Management District Plan regarding the District for the City Council’s approval.

NOW, THEREFORE BE IT RESOLVED, DETERMINED, AND ORDERED BY THE CITY COUNCIL AS FOLLOWS:

1. Recitals. The above recitals are true and correct.

2. Resolution of Intention. The Resolution of Intention was adopted on May 13, 2025 as Resolution No. 2025-060 with the following title: “RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF UNION CITY DECLARING ITS INTENTION TO RENEW

THE UNION LANDING PROPERTY AND BUSINESS IMPROVEMENT DISTRICT

AND TO LEVY AND COLLECT ASSESSMENTS WITHIN SUCH DISTRICT City Council/RSA Agenda 126 Tuesday, July 8, 2025
Resolution No. 2025-XXX
PBID Renewal 2025-2030

PRUSUANT TO THE PROPERTY AND BUSINESS IMPROVEMENT DISTRICT LAW OF 1994, PART 7 OF DIVISION 18 OF THE CALIFORNIA STREETS AND

HIGHWAYS CODE, CALLING AN ASSESSMNET BALLOT PROCEEDING AND ESTABLISHING A TIME AND PLACE FOR A PUBLIC HEARING”

3. Public Hearing and Ballot Proceeding. Following notice duly given, the City Council held a full and fair Intent Meeting and Public Hearing on July 8, 2025, in the City Council Chambers in connection with the renewal of the District and the levy and collection of assessments and considered all oral and written statements, protests and communications made or filed by interested persons. The City has tabulated the assessment ballots returned by the close of the noticed public hearing and has determined that the property owners have approved the annual levy and collection of assessments and the property owners have approved the annual levy and collection of assessments and maximum assessments over a five-year period as outlined in the Management District Plan and Engineer’s Report in compliance with the Act and the California Constitution Article XIII D.

4. Activities and Improvements. The City Council hereby orders the proposed activities and improvements for Fiscal Year 2025/26 to commence. The activities within the District are security, marketing, and administration. The activities are described more specifically in the Management District Plan.

5. Amendments. The properties in the District established by this Resolution shall be subject to any amendments to the Act.

6. Funds. The activities and improvements to be provided in the District will be funded by the levy of assessments. The revenue from the levy of assessments within the District shall not be used to provide activities or improvements outside the District or for any purpose other than the purposes specified in the resolution of intention.

7. Special Benefit. Based upon its review of the Management District Plan and Engineer’s Report, copies of which have been approved by the City Council, and which are on file with the City Clerk and attached, the City Council hereby finds and determines that:
a) The parcels of land within the District will receive special benefits from the activities, improvements, and appurtenances to be provided by the District. b) The District includes all of the lands so benefited and is inclusive of all parcels identified on the Assessment Diagram of the District contained in said documents. c) The net amount to be assessed upon the lands within the District in accordance with the proposed budget for the period commencing July 1, 2025, and ending December 30, 2026, is apportioned by a formula and method with fairly distributes the net amount among all eligible parcels in proportion to the special benefits to be received by each parcel from the activities and improvements. d) The assessments described in said documents are consistent with the assessments approved by the property owners in the District.

City Council/RSA Agenda 127 Tuesday, July 8, 2025
Resolution No. 2025-XXX
PBID Renewal 2025-2030

8. Assessment. The assessment to be levied on property in the District pursuant to the method contained in the Management District Plan. The levy for the entire District for Fiscal Year 2025/26 is $1,615,471.62. The maximum amount to be levied and collected for subsequent years may be increased by an amount not to exceed four percent per year. No bonds will be issued. The assessment is described more specifically in the Engineer’s Report and Management District Plan. The City Council hereby orders the levy and collection of annual assessments.

9. Boundaries: The District includes those parcels which are located in the commercial business center known as the Union Landing Center. The center is bounded by Interstate 880 to the east, Whipple Road to the north, Dyer Street to the West and Alvarado-Niles Road to the south. The District boundaries are described more specifically in the Management District Plan.

10.Fiscal Year 2025/26 Levy. The adoption of this Resolution and recordation of the Notice of Assessment and Assessment Diagram constitute the District levy for the Fiscal Year commencing July 1, 2025 and ending June 30, 2030, as well as each Fiscal Year described in the Management District Plan.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on this 8
th day of July 2025 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:

THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
Attachment:

1. District’s Management District Plan and Engineer’s Report City Council/RSA Agenda 128 Tuesday, July 8, 2025
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Prepared by:

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Management District Plan For:

Union Landing Property and Business Improvement
District
March 2025

EXHIBIT A
City Council/RSA Agenda 129 Tuesday, July 8, 2025

TABLE OF CONTENTS
EXECUTIVE SUMMARY....................................................................................................1

1.1 The Union Landing PBID............................................................................................1

1.2 Goal of the Union Landing PBID................................................................................1

1.3 Boundaries.................................................................................................................1

1.4 Management District Plan Overview ........................................................................1 DISTRICT AT A GLANCE....................................................................................................2

2.1 Union Landing PBID Boundaries................................................................................2

2.2 Services......................................................................................................................2

2.3 Annual Total Budget and Assessments.....................................................................2

2.4 Term ..........................................................................................................................2 BACKGROUND................................................................................................................3

3.1 What is a Property and Business Improvement District (PBID)? ..............................3

3.2 Establishing a PBID ....................................................................................................3

3.3 PBID Name Designation ............................................................................................4

3.4 Timeline for Implementation and Completion of the District ..................................4 DESCRIPTION OF SERVICES..............................................................................................5

4.1 Security Services........................................................................................................5

4.2 Marketing Program ...................................................................................................5

4.3 Overhead...................................................................................................................5 ANNUAL AMOUNT TO BE COLLECTED & EXPENDED.........................................................6

5.1 Security Services Cost Estimate Budget....................................................................6 METHOD OF ASSESSMENT ............................................................................................ 10

6.1 Sources of Funding ..................................................................................................10

6.2 Basis of Assessment ................................................................................................10

6.3 General Benefit Assignment....................................................................................10

6.4 Special Benefit Point Assignment............................................................................10

6.5 Parcel Factors..........................................................................................................11

6.6 Total Benefit Points Calculation ..............................................................................12

6.7 Assessment Calculation...........................................................................................12

6.8 Number of Years Assessments Will Be Levied ........................................................12

6.9 Time and Manner of Collecting Assessments.........................................................12

6.10 Appeals Process.......................................................................................................13

6.11 Assessor’s Parcel Listing ..........................................................................................13 City Council/RSA Agenda 130 Tuesday, July 8, 2025
DISTRICT MANAGEMENT .............................................................................................. 14

7.1 Union Landing PBID Owners’ Association ...............................................................14

7.2 Public Access ...........................................................................................................14

7.3 Union Landing PBID Advisory Board .......................................................................14

7.4 Dissolution...............................................................................................................15 APPENDICES ................................................................................................................. 15 APPENDIX A – ASSESSMENT DIAGRAM ...............................................................................8-1 APPENDIX B – ASSESSOR’S PARCEL LISTING.........................................................................8-2 APPENDIX C – ENGINEER’S REPORT.....................................................................................8-3 City Council/RSA Agenda 131 Tuesday, July 8, 2025
Union Landing Business Improvement District
Management District Plan (March 2025) 1

EXECUTIVE SUMMARY

1.1 The Union Landing PBID
City of Union City (the City”) property owners in the Union Landing shopping center and the City Council (the “City Council”) of the City approved the formation of the Union Landing Property and Business Improvement District (the “PBID”) – a property and business improvement district pursuant to the Property and Business Improvement District Law of 1994, California Streets and Highway Code Sections 36600 et seq (the “1994 Act”) – in 2004 for a one-year period. Since formation, the PBID has been renewed multiple times, each previous renewal being for a three-year term. The PBID has provided funding for the operation of a police substation in the shopping center. In 2017, the PBID also included marketing services. In 2020, property owners in the PBID renewed the funding for both security and marketing services provided through the PBID for a five-year period. In 2025, property owners in the PBID will be provided with the opportunity to renew for another five-year period.

1.2 Goal of the Union Landing PBID
The goal of the PBID is to maintain the high quality entertainment and shopping environment of the Union Landing center, protect the safety of visitors, and provide businesses within the shopping center with valuable marketing efforts. The positive reputation of the center as a safe and enjoyable shopping and entertainment complex has allowed the center to maintain its position as a regional retail destination.

1.3 Boundaries
The Union Landing PBID includes those parcels which are located in the commercial business center known as the Union Landing Center. The center is generally bounded by Interstate 880 to the east, Whipple Road to the north, Dyer Street to the west and Alvarado-Niles Road to the south.

Please see Appendix A for the assessment diagram of the PBID.

1.4 Management District Plan Overview
The Management District Plan is the result of the work of property owners in the PBID and City staff dedicated to improving the Union Landing shopping Center. The Management District Plan includes an updated description of services, annual budget, assessment methodology, and district management guidelines.

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DISTRICT AT A GLANCE
In 2004, property owners established the PBID for a one-year operational term. Based on the success of the services provided, property owners have renewed the PBID for additional three-year terms including the most recent renewal in 2017. In 2020, property owners in the PBID renewed the funding for both security and marketing services provided through the PBID for a five-year period.

2.1 Union Landing PBID Boundaries
The Union Landing PBID includes those parcels that are located in the commercial business center known as the Union Landing Center. The center is generally bounded by Interstate 880 to the east, Whipple Road to the north, Dyer Street to the West and Alvarado-Niles Road to the south.

Refer to Appendix A for an assessment diagram that more fully provides a description of the PBID’s boundaries and parcels within.

2.2 Services
The improvements, services, and activities provided in this Management District Plan include the provision of security services, marketing and promotional efforts and related management activities to support those efforts, as further described in Section 4, herein.

2.3 Annual Total Budget and Assessments
The total proposed annual operating budgets for Fiscal Year 2025/26 is $1,386,076.05 for security services and $304,776.00 for marketing services. This includes an additional six months of services as the PBID transitions to paying for services on a calendar year basis. Assessment revenue of $1,316,772.67 and $298,680.48, respectively provides 95.00% and 98.00%, respectively, of the annual operating budgets. The remaining portion of the annual operating budgets will be paid for by the City’s general fund. The assessment calculation for each property utilizes a combination of dispatched police calls, building square footage and lot square footage. Section 6 of this Management District Plan provides a more detailed procedure of the annual assessment calculation.

2.4 Term
If renewed, assessments would be collected for five years (July 1, 2025, through June 30, 2030).

Expenditure of those collected assessments can continue for up to six months after the end of the assessment collection period (December 31, 2030), at which point the PBID would terminate, if not renewed.

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BACKGROUND
Property owners establish special assessment districts to provide a constant funding source for various improvements, services, and activities that benefit properties within a defined geographical area. The improvements, services, and activities can include providing enhanced cleaning and maintenance services, improving security, providing for marketing activities to promote and revitalize an area, and other programs found to benefit an area. The ongoing revenue stream for the improvements, services, and activities comes from the annual assessments funded by properties within the special assessment district. The process by which special assessment districts are formed is outlined below.

3.1 What is a Property and Business Improvement District (PBID)? A PBID is a special assessment district that provides for the levy and collection of assessments on properties within a geographically defined area. Assessment revenue collected from the benefitting properties pays the costs associated with the improvements, services, and activities provided to the PBID area. Proceedings are conducted pursuant to Proposition 218, the “Right to Vote on Taxes Act” approved by California voters in 1996, which added Articles XIIIC and XIIID to the California State Constitution (the “Assessment Law”) and the Property and Business Improvement District Law of 1994, California Streets and Highway Code Sections 36600 et seq (the “1994 Act”).

A PBID established under the Assessment Law and 1994 Act may be administered by an owners’ non-profit management corporation. The owners’ non-profit management corporation may administer or implement the improvements, services and activities specified in the management district plan. The City Council appointed PBID advisory board shall make a recommendation to the City Council on the expenditure of revenues derived from the levy of assessments. The advisory board shall also cause to be prepared a report of each fiscal year for which assessments are to be levied and collected. The annual report shall contain, but is not limited to, any proposed changes in the PBID boundaries or any benefit zones within the district; the improvement and activities to be provided for that fiscal year; an estimate of the cost of providing the improvements and the activities for that fiscal year; the method and basis of levying the assessment; the amount of any surplus or deficit revenues to be carried over from a previous fiscal year; and the amount of any contributions to be made from sources other than assessments levied pursuant to this part.

3.2 Establishing a PBID
The 1994 Act and Assessment Law provide the legal framework for establishing this PBID. As part of the formation proceedings, a Management District Plan is prepared in accordance with Section 36622 of the 1994 Act. The Management District Plan must contain, but is not limited to, the following required elements:
• a map, in sufficient detail to locate each assessed property within the PBID; • the name of the PBID;
• the description of the boundaries, including any zones of benefit; • the improvements, services, and activities to be funded for each year of operation, along with the maximum cost;
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• the total annual amount to be expended, in each year of operation, for improvements, services, activities, maintenance, and operations;
• the proposed source(s) of financing, including the basis and method of levying the assessments, and whether or not bonds will be issued;
• the time and manner of collecting the assessments;
• the specific number of years in which the assessments will be levied; • the time for implementation and completion of the Management District Plan; • any rules and regulations applicable to the PBID; and • a listing of the properties to be assessed along with the parcel number and the method by which expenses will be imposed upon benefitted real property in proportion to the benefit received.

3.3 PBID Name Designation
The name designation of this PBID is the Union Landing Property and Business Improvement District.

3.4 Timeline for Implementation and Completion of the District The PBID assessment will be effective beginning July 1, 2025, and ending June 30, 2030. PBID operations will begin in July 1, 2025.

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DESCRIPTION OF SERVICES
The PBID will provide for the ongoing provision of security services, marketing efforts and management activities all located within the boundaries of the PBID.

4.1 Security Services
The security team will consist of three sworn full-time Union City police officers who will patrol the PBID and will be responsible for coordinating their activities to deter crime, make arrests when necessary, warn and advise trespassers and pan handlers, and respond to visitor inquiries. The staffing will include three police officers who will be dedicated on a full-time basis to the PBID. In addition, the Union City Police Department will provide emergency response to supplement dedicated services on an as-needed basis. The leasing of office space is also included.

The work schedule of the dedicated officers will be determined by the Chief of Police based upon the recommendations of the Owner’s Association of the PBID, the calls for service workload, general activity requiring increased police presence, Memorandum of Understanding with the Union City Police Officers Association, and with overall consideration of the general welfare of the entire PBID.

4.2 Marketing Program
Marketing in the PBID will generally consist of marketing and promotional efforts to maintain the visibility and desirability of Union Landing as a regional retail destination. These strategies include web page maintenance, digital campaigns, tenant engagement to support promotional efforts and can include events, center signage, banners, and murals. Marketing and promotional effort performance will be analyzed with findings and recommendations reported to the Owner’s Association. Additionally, any conditions that would affect brand perception in Union Landing will be documented and communicated to property owners or managers.

4.3 Overhead
In addition to the costs to provide the PBID services mentioned above, the PBID will incur costs for City staff time and expense related to the programs mentioned above, as well as the management of the PBID.

Professional management of the PBID by contract with a professional services contractor is also included.

City staff time includes oversight and coordination of City provided services, annual tax roll preparation, and addressing property owner questions and concerns. These activities are directly related to the PBID and services within the PBID, and without them the services could not be efficiently provided on an ongoing basis.

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ANNUAL AMOUNT TO BE COLLECTED & EXPENDED

5.1 Security Services Cost Estimate Budget

5.1.1 2025/26 SECURITY SERVICES BUDGET
The estimated security services cost budget for the first operating period of the PBID renewal (July 1, 2025 through December 31, 2026) is as follows:

Description
2025/26
Budget
Security Services Costs:

Sworn Police Services Salaries $1,274,487.00
Vehicles and Equipment 36,244.50
Office Space Lease for Police Personnel 58,797.00
Supplies 16,548.00
Total Security Services and Incidental Costs $1,386,076.50 The 2025/26 estimated security services operating budget will be funded as follows:

Description of Revenue Source
2025/26
Revenue Amount
Assessment Revenue $1,316,793.34
Contributions for General Benefit (5.00% of Security Services Costs) 1 69,303.83 Rounding (20.67)
Total 2025/26 Annual Revenue $1,386,076.50
1 Comprised of additional funds generated from sources other than assessments. Refer to Section 5 of this Engineer’s Report for an explanation of General Benefit.

The 2025/26 budgets cover an 18-month period from July 1, 2025 through December 31, 2026 as the PBID transitions from funding on a fiscal year basis to a calendar year basis. Once that initial transition is complete, the PBID budget for 2026/27 will reflect the period of January 1, 2027 through December 31, 2027 as follows.

5.1.2 2026/27 SECURITY SERVICES BUDGET
Description
2026/27
Budget
Security Services Costs:

Sworn Police Services Salaries $883,644.32
Vehicles and Equipment 25,129.52
Office Space Lease for Police Personnel 40,765.92
Supplies 11,473.28
Total Security Services and Incidental Costs $961,013.04 The 2026/27 estimated security services operating budget will be funded as follows:

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Description of Revenue Source
2026/27
Revenue Amount
Assessment Revenue $912,962.39
Contributions for General Benefit (5.00% of Security Services Costs) 1 48,050.65 Total 2026/27 Annual Revenue $961,013.04
1 Comprised of additional funds generated from sources other than assessments. Refer to Section 5 of this Engineer’s Report for an explanation of General Benefit.

5.1.3 2027/28, 2028/29, 2029/30 SECURITY SERVICES BUDGET Each fiscal year beginning Fiscal Year 2027/28, the maximum allowable assessment rate per benefit point may increase by up to four percent (4.00%) based on demonstrated need and a recommendation by the Owners’ Association in its annual report to the City and on City Council approval. The annual assessment cannot exceed the actual costs to operate the PBID in any given year.

Based upon a maximum possible annual assessment increase of 4.0%, beginning July 1, 2027, the total annual maximum assessment revenue each year for each of the five years is described in the following table:

Year Fiscal Year Total Maximum Annual
Assessment Revenue 1
1 2025/26 $1,316,772.67
2 2026/27 912,962.39
3 2027/28 949,480.89
4 2028/29 987,460.13
5 2029/30 1,026,958.54
1 Based upon assigned Benefit Points in FY 2025/26 which will remain the same for the five-year term of the PBID.

5.2 Marketing & Administration Program Cost Estimate Budget

5.2.1 2025/26 MARKETING & ADMINISTRATION PROGRAM SERVICES BUDGET The estimated marketing and administration program cost budget for the first operating period of the PBID renewal (July 1, 2025 through December 31, 2026) is as follows:

Description
2025/26
Budget
Marketing & Administration Services Costs:

Marketing Services $165,750.00
Administration Services Costs 1 239,026.00
Marketing & Administration Contingency 50,000.00
Less Prior Year Rollover Funds (150,000.00)
Total Marketing & Administration Services Costs $304,776.00 1 Includes costs of City staff, PBID administration, and County Auditor/Controller fees.

The 2025/26 estimated marketing program operating budget will be funded as follows:

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Description of Revenue Source
2025/26
Revenue Amount
Assessment Revenue $298,678.28
Contributions for General Benefit (2.00% of Marketing & Administration Services Costs) 6,095.52
Rounding 2.20
Total 2025/26 Annual Revenue $304,776.00
1 Comprised of additional funds generated from sources other than assessments. Refer to Section 5 of this Engineer’s Report for an explanation of General Benefit.

The 2025/26 budgets cover an 18-month period from July 1, 2025 through December 31, 2026 as the PBID transitions from funding on a fiscal year basis to a calendar year basis. Once that initial transition is complete, the PBID budget for 2026/27 will reflect the period of January 1, 2027 through December 31, 2027 as follows.

5.2.2 2026/27 MARKETING & ADMINISTRATION PROGRAM SERVICES BUDGET Description
2026/27
Budget
Marketing & Administration Services Costs:

Marketing Services $114,920.00
Administration Services Costs 140,950.00
Marketing & Administration Contingency 52,000.00
Less Prior Year Rollover Funds 0.00
Total Marketing & Administration Services Costs $307,870.00 1 Includes costs of City staff, PBID administration, and County Auditor/Controller fees.

The 2026/27 estimated marketing program operating budget will be funded as follows:

Description of Revenue Source
2026/27
Revenue Amount
Assessment Revenue $301,712.60
Contributions for General Benefit (2.00% of Marketing & Administration Services Costs) 1 6,157.40
Total 2026/27 Annual Revenue $307,870.00
1 Comprised of additional funds generated from sources other than assessments. Refer to Section 5 of this Engineer’s Report for an explanation of General Benefit.

5.2.3 2027/28, 2028/29, 2029/30 MARKETING & ADMINISTRATION PROGRAM SERVICES BUDGET
Each fiscal year beginning Fiscal Year 2027/28, the maximum allowable assessment rate per benefit point may increase by up to four percent (4.00%) based on demonstrated need and a recommendation by the Owners’ Association in its annual report to the City and on City Council approval. The annual assessment cannot exceed the actual costs to operate the PBID in any given year.

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Based upon a maximum possible annual assessment increase of 4.0%, beginning July 1, 2027, the total annual maximum assessment revenue each year for each of the five years is described in the following table:

Year Fiscal Year Total Maximum Annual
Assessment Revenue 1
1 2025/26 $298,680.48
2 2026/27 301,712.60
3 2027/28 313,781.11
4 2028/29 326,332.35
5 2029/30 339,385.65
1 Based upon assigned Benefit Points in FY 205/26 which will remain the same for the five-year term of the PBID.

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Management District Plan (March 2025) 10

METHOD OF ASSESSMENT

6.1 Sources of Funding
The levy and collection of annual assessments upon property within the PBID provides the primary funding source for the improvements, services, and activities previously outlined. As required by the Assessment Law, the City will also contribute funds toward that portion of costs related to general benefit conferred by the services.

The PBID will not issue bonds to finance any of the improvements, services, and activities provided by the PBID.

6.2 Basis of Assessment
The benefits provided to real property within the PBID relate to the improvements, services, and activities more fully described in Section 4, herein.

6.3 General Benefit Assignment
General benefit is a benefit to the public at large resulting from the implementation of PBID services. The amount of general benefit that conferred by from the PBID improvements, services, and activities cannot be funded by assessments within the PBID. It has been determined that 5.00% of the total benefits from the security services and 2.00% of the total benefits from the marketing services are considered to accrue to the public at large. Accordingly, 95.00% and 98.00% respectively of the benefits from the PBID improvements, services, and activities are considered to provide special benefits to the properties within the PBID and thus could be subject to assessment therein. Please see the City of Union City Union Landing Property and Business Improvement District Renewal Engineer’s Report (the “Engineer’s Report”), included as Appendix C, for a more detailed discussion of the calculation of the general benefit.

6.4 Special Benefit Point Assignment
Each of the parcels within the PBID receives a special benefit from the improvements. Each parcel that has a special benefit conferred upon it, as a result of the provision of improvements, services, and activities is identified and the proportionate special benefit derived by each identified parcel is determined in relationship to the total benefits.

The total costs of the improvements, services and activities less the amount of general benefit identified, will be assessed to the parcels within the PBID based on the benefit points assigned to each parcel. To assess special benefit appropriately, it is necessary to relate parcels of different land uses, lot size and building size. Please see the Engineer’s Report, included as Appendix C, for a more detailed discussion of the special benefit point assignment.

Each parcel’s land use is a factor that differentiates parcels based on the benefit received from the services within the PBID. Parcels with a commercial or industrial land use will be the basis for assigning benefit points since business is the focus of the service activities.

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In addition to land use, the size of the parcel and size of the structure located on the parcel also need to be considered when assigning benefit points. A larger parcel with more building square footage has a greater level of benefit than a parcel that is smaller with less building square footage.

6.4.1 REDUCED FEAR OF CRIME BENEFIT POINTS
The reduced fear of crime benefit points are assigned as follows:

Reduced Fear of Crime Benefit Points Per
2,750.00 Dispatched Call for Service

1.20 Building Square Foot

0.315 Lot Square Foot

6.4.2 INCREASED ECONOMIC ACTIVITY BENEFIT POINTS
The increased economic activity benefit points are assigned as follows:

Increased Economic Activity
Benefit Points Per

0.50 Building Square Foot

6.5 Parcel Factors
The method of apportioning benefit to parcels within the PBID reflects the proportional special benefit assigned to each property from the PBID improvements, services and activities based upon the various property characteristics for each parcel as compared to other properties within the PBID. As part of the special benefit analysis various property characteristics were analyzed including dispatched calls for service, lot square footage, building square footage, and land use. Given that the special benefits provided by the PBID improvements, services, and activities focus on reduced fear of crime benefit and increased economic activity benefit, it was determined that dispatched calls for service, lot square footage, and building square footage are the most appropriate parcel factors. Each parcel’s dispatched calls for service, lot square footage and building square footage have been used as the primary assessment variables for the calculation and assignment of special benefit points.

6.5.1 LAND USE
Property in the PBID is primarily commercial business. One parcel in the PBID, APN 463 -0104-007-00, has been assigned a County Use Code of 4400 (Miscellaneous Industrial) as of January 2025. This parcel is currently the site of I Fly, an indoor skydiving venue, which is considered a commercial parcel for purposes of PBID classification.

A small number of parcels within the PBID are driveways, streets and signage. These parcels are deemed to receive no benefit from PBID services as they are connectors/signage for other properties and do not benefit from increased economic activity.

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6.5.2 DISPATCHED CALLS FOR SERVICE
Dispatched calls for service is the primary factor in determining the reduced fear of crime benefit as the call volume indicates the use of police services.

6.5.3 LOT SQUARE FOOTAGE AND BUILDING SQUARE FOOTAGE
Building square footage and lot square footage are both secondary factors in determining reduced fear of crime benefit as they indicate the potential use of police services.

6.6 Total Benefit Points Calculation
The total Reduced Fear of Crime Benefit Points for the PBID at this time is 16,892,794.40.

The total Increased Economic Activity Benefit Points for the PBID at this time is 550,042.00.

6.7 Assessment Calculation
The method of assessment is discussed in detail in Engineer’s Report and is summarized below:

Total Security Services Costs to be Assessed / Total Reduced Fear of Crime Benefit Points = Assessment Rate per Reduced Fear of Crime Benefit Point $1,316,772.67 / 16,892,794.40 = $0.07795
Total Marketing & Administration Services Costs to be Assessed / Total Increased Economic Activity Benefit Points = Assessment Rate per Increased Economic Activity Benefit Point $298,680.48 / 550,042.00 = $0.54301

6.8 Number of Years Assessments Will Be Levied
The proposed term for the PBID is set at five years. The City will levy assessments beginning Fiscal Year 2025/26 up through and including Fiscal Year 2029/30. Expenditure of collected assessments may continue for up to six months after June 30, 2030, if the district is not renewed. In order to authorize the levy and collection of assessments after Fiscal Year 2029/30, the City and Owners’ Association will need to go through the renewal process pursuant to the Assessment Law and 1994 Act.

6.9 Time and Manner of Collecting Assessments
Each property owner pays a share of the cost of the PBID improvements, services, and activities based on an assessment formula. The payment is collected twice yearly, through the property tax bill. The PBID assessment, including any delinquent assessment and related interest and penalties, will be received by the Tax Collector of the County of Alameda. The Tax Collector shall transfer the assessment payments to the City for distribution to the PBID for the funding of the improvements, services, and activities described in this Management District Plan. Any assessment on a property that does not receive a property tax bill from the County of Alameda will be billed-directly by the City.

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6.10 Appeals Process
Any property owner claiming that the amount or application of the assessment is not correct, including any factors determining the assessment, such as dispatched calls for service, lot square footage and building square footage may file a written notice of appeal with the City’s Finance Director who shall promptly review the appeal, and if necessary, meet with the property owner, consider written and oral evidence regarding the amount of the assessment, including any factors determining the assessment, and decide the appeal. If the decision of the City’s Finance Director requires the assessment to be modified or changed in favor of the property owner, a cash refund, limited to the prior years’ assessment shall be paid to a property owner in excess of the difference between the amount actually assessed and paid by a property owner and the corrected rate as determined for the year prior to the filing of the appeal. A decision of the City’s Finance Director shall be final and conclusive.

6.11 Assessor’s Parcel Listing
Appendix B of this Management District Plan provides a listing of all of the Assessor’s Parcels, including the Assessor’s Parcel Number, businesses on the parcel, dispatched calls for service, lot square footage, building square footage, special benefit points and the total 2025/26 assessment.

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DISTRICT MANAGEMENT

7.1 Union Landing PBID Owners’ Association
The PBID owners’ association, known as the “Union Landing Property Owners Association” (the “Owners’ Association”), is a non-profit organization whose membership consists of all property owners within the PBID who pay an annual PBID assessment. The Owners’ Association is governed by an advisory board (the “Advisory Board”) whose membership is designed to represent stakeholders and areas of the PBID as well as property owners of various sizes.

7.2 Public Access
The Owners’ Association is required to comply with specified state open meeting and public records laws, the Ralph M. Brown Act, commencing with Section 54950 of the Government Code, and the California Public Records Act, commencing with Section 6250 of the Government Code. Ralph M. Brown Act compliance is required when PBID business is heard, discussed, or deliberated, and the California Public Records Act compliance is required for all documents relating to PBID business.

7.3 Union Landing PBID Advisory Board
The powers and responsibilities of the Advisory Board are as follows:
• Review improvements, services, and activities provided and establish priorities for the upcoming Fiscal Year
• Submit an annual report to City
Each year, the Advisory Board shall prepare a report for each Fiscal Year, except the first year, for which assessments are levied and collected to pay the costs of the improvements, services, and activities described in the report. Each annual report must be filed with the City Clerk per Section 36650 of the 1994 Act; each report shall contain or provide, but not be limited to the following:
• Any proposed changes in the boundaries of the PBID or in any benefit zones within the district; • The improvements, services, and activities to be provided for that fiscal year; • An estimate of the cost of providing the improvements and the activities for that fiscal year; • The method and basis of levying the assessment in sufficient detail to allow each real property owner to estimate the amount of the assessment to be levied against his or her property for that fiscal year; • The amount of any surplus or deficit revenues to be carried over from a previous fiscal year; • The amount of any contributions to be made from sources other than assessments levied pursuant to the 1994 Act.

The City Council may approve the annual report as filed, or the City Council may modify any particulars contained in the report, and then approve it as modified. Given the potential resulting impact to an assessment levy, any changes to the improvements, services, and/or activities require City Council approval.

Any modification to the annual report shall be made pursuant to Section 36635 and 36636 of the 1994 Act.

City Council/RSA Agenda 145 Tuesday, July 8, 2025
Union Landing Business Improvement District
Management District Plan (March 2025) 15
However, the City Council cannot approve a change in the basis and method of levying assessments that would impair an authorized or executed contract to be paid from the revenues derived from the levy of assessments.

7.4 Dissolution
The PBID, when there is no indebtedness, outstanding and unpaid, incurred to accomplish any of the purposes of the PBID, may be disestablished by resolution by the City Council in either of the following circumstance:
1 If the City Council finds there has been misappropriation of funds, malfeasance, or a violation of law in connection with the management of the PBID, it shall notice a hearing on disestablishment. 2 During the operation of the PBID, there shall be a 30-day period each year in which assessed property owners may request disestablishment of the PBID. The first such period shall begin one year after the date of establishment of the PBID and shall continue for a 30-day period. The next such 30-day period shall begin two years after the date of the establishment of the PBID. Each successive year of operation of the PBID shall have such a 30-day period. Upon the written petition of the owners of real property in the area who pay 30 percent or more of the assessments levied, the City Council shall notice a hearing on disestablishment. The City Council shall notice a hearing on disestablishment.

The City Council shall adopt a resolution of intention to disestablish the PBID prior to the public hearing. The resolution shall state the reason for the disestablishment, shall state the time and place of the public hearing, and shall contain a proposal to dispose of any assets acquired with the revenues of the assessments levied within the PBID. The public hearing shall be held not less than 30-days or more than 60- days after the adoption of the resolution of intention.

Upon the disestablishment of the PBID, any remaining revenues derived from the levy of assessments, or any revenues derived from the sale of assets acquired with the revenues, shall be refunded to the owners of the property then located and operating within the PBID in which assessments were levied by applying the same method and basis that was used to calculate the assessments levied in the fiscal year in which the district was disestablished. If the disestablishment occurs before and assessment is levied for the fiscal year, the method and basis that was used to calculate the assessment levied in the immediate prior fiscal year shall be used to calculate the amount of refund.

City Council/RSA Agenda 146 Tuesday, July 8, 2025
Union Landing Business Improvement District
Management District Plan (March 2025) 15

APPENDICES
City Council/RSA Agenda 147 Tuesday, July 8, 2025
APPENDIX A – ASSESSMENT DIAGRAM
City Council/RSA Agenda 148 Tuesday, July 8, 2025
City Council/RSA Agenda 149 Tuesday, July 8, 2025
APPENDIX B – ASSESSOR’S PARCEL LISTING
City Council/RSA Agenda 150 Tuesday, July 8, 2025
Assmnt ID APN Owner Name
Dispatched
Police Calls
Building Square
Footage
Lot Square
Footage
Dispatched
Police Calls BP
Building Size
BP Parcel Size BP
Total Reduced
Fear of Crime BP
Rate Per Reduced
Fear BP
Reduced Fear of
Crime Assmnt
Building Size
BP
Total Economic
Activity BP
Rate per Economic
Activity BP
Economic Activity
Assmnt
1 463 -0060-012-10 BARBIERI VITTORE A & ANNA M TRS 36 12,280 73,774 99,000 14,736.00 23,238.81 136,974.81 0.07795 10,677.19 6,140.00 6,140.00 0.54301 3,334.08 14,011.272 463 -0060-012-14 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.003 463 -0060-013-07 K&P LAU FAMILY LP 17 5,760 60,034 46,750 6,912.00 18,910.71 72,572.71 0.07795 5,657.04 2,880.00 2,880.00 0.54301 1,563.87 7,220.914 463 -0060-015-11 DYER TRIANGLE LLC 66 20,603 106,316 181,500 24,723.60 33,489.54 239,713.14 0.07795 18,685.64 10,301.50 10,301.50 0.54301 5,593.82 24,279.465 463 -0060-015-13 DYER TRIANGLE LLC 323 65,668 231,864 888,250 78,801.60 73,037.16 1,040,088.76 0.07795 81,074.92 32,834.00 32,834.00 0.54301 17,829.19 98,904.116 463 -0060-021-03 DYER TRIANGLE LLC 218 31,714 235,289 599,500 38,056.80 74,116.04 711,672.84 0.07795 55,474.90 15,857.00 15,857.00 0.54301 8,610.51 64,085.417 463 -0060-022-05 KPDT ENTERPRISES LLC 189 68,433 224,694 519,750 82,119.60 70,778.61 672,648.21 0.07795 52,432.93 34,216.50 34,216.50 0.54301 18,579.90 71,012.838 463 -0060-029-00 VIRAY CHRISTOPHER 9 3,137 7,528 24,750 3,764.40 2,371.32 30,885.72 0.07795 2,407.54 1,568.50 1,568.50 0.54301 851.71 3,259.259 463 -0060-030-00 VIDEO ONLY INC 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.00 10 463 -0060-031-00 WAL-MART REAL ESTATE BUSINESS TRUST 810 146,645 696,352 2,227,500 175,974.00 219,350.88 2,622,824.88 0.07795 204,449.20 73,322.50 73,322.50 0.54301 39,814.85 244,264.0511 463 -0060-032-00 DYER UNION LANDINGS LLC 26 13,674 67,008 71,500 16,408.80 21,107.52 109,016.32 0.07795 8,497.82 6,837.00 6,837.00 0.54301 3,712.56 12,210.3812 463 -0060-034-00 VIDEO ONLY INC 85 23,500 88,209 233,750 28,200.00 27,785.84 289,735.84 0.07795 22,584.91 11,750.00 11,750.00 0.54301 6,380.37 28,965.2813 463 -0060-035-01 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0014 463 -0060-035-02 VIDEO ONLY INC 35 15,125 75,588 96,250 18,150.00 23,810.22 138,210.22 0.07795 10,773.49 7,562.50 7,562.50 0.54301 4,106.51 14,880.0015 463 -0060-036-00 BRE ESA P PORTFOLIO LLC 227 55,684 106,637 624,250 66,820.80 33,590.66 724,661.46 0.07795 56,487.36 27,842.00 27,842.00 0.54301 15,118.48 71,605.8416 463 -0060-037-00 SOUTHVIEW PEAK LLC 60 6,526 49,014 165,000 7,831.20 15,439.41 188,270.61 0.07795 14,675.69 3,263.00 3,263.00 0.54301 1,771.84 16,447.5317 463 -0060-038-00 ROBERT SWANSON FAMILY PTP 54 7,255 59,068 148,500 8,706.00 18,606.42 175,812.42 0.07795 13,704.58 3,627.50 3,627.50 0.54301 1,969.77 15,674.3518 463 -0060-039-00 AUSTIN CRAVINGS UNION LANDING LLC 17 10,912 34,037 46,750 13,094.40 10,721.66 70,566.06 0.07795 5,500.62 5,456.00 5,456.00 0.54301 2,962.66 8,463.2819 463 -0060-040-00 DYER TRIANGLE LLC 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0020 463 -0060-041-01 DYER TRIANGLE LLC 271 129,069 193,842 745,250 154,882.80 61,060.23 961,193.03 0.07795 74,925.00 64,534.50 64,534.50 0.54301 35,042.88 109,967.8821 463 -0060-042-00 DYER TRIANGLE LLC 403 23,058 443,189 1,108,250 27,669.60 139,604.54 1,275,524.14 0.07795 99,427.11 11,529.00 11,529.00 0.54301 6,260.36 105,687.4722 463 -0060-043-00 DYER TRIANGLE LLC 86 25,747 103,452 236,500 30,896.40 32,587.38 299,983.78 0.07795 23,383.74 12,873.50 12,873.50 0.54301 6,990.44 30,374.1823 463 -0060-045-02 PAPPAS UNION CITY NO 2 LP 79 3,179 47,421 217,250 3,814.80 14,937.62 236,002.42 0.07795 18,396.39 1,589.50 1,589.50 0.54301 863.11 19,259.5024 463 -0060-046-00 PAPPAS UNION CITY NO 2 LP 412 159,284 490,050 1,133,000 191,140.80 154,365.75 1,478,506.55 0.07795 115,249.59 79,642.00 79,642.00 0.54301 43,246.40 158,495.9925 463 -0060-047-01 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0026 463 -0060-047-02 PAPPAS UNION CITY NO 2 LP 351 46,161 166,101 965,250 55,393.20 52,321.82 1,072,965.02 0.07795 83,637.62 23,080.50 23,080.50 0.54301 12,532.94 96,170.5627 463 -0060-048-00 PAPPAS UNION CITY NO 2 L P 30 17,037 70,132 82,500 20,444.40 22,091.58 125,035.98 0.07795 9,746.55 8,518.50 8,518.50 0.54301 4,625.63 14,372.1828 463 -0060-049-00 PAPPAS UNION CITY NO 2 LP 503 39,774 132,858 1,383,250 47,728.80 41,850.27 1,472,829.07 0.07795 114,807.03 19,887.00 19,887.00 0.54301 10,798.84 125,605.8729 463 -0060-050-00 PAPPAS UNION CITY 2 L P 305 28,105 114,563 838,750 33,726.00 36,087.35 908,563.35 0.07795 70,822.51 14,052.50 14,052.50 0.54301 7,630.65 78,453.1630 463 -0060-051-00 PAPPAS UNION CITY NO 2 L P 141 38,561 159,662 387,750 46,273.20 50,293.53 484,316.73 0.07795 37,752.49 19,280.50 19,280.50 0.54301 10,469.50 48,221.9931 463 -0060-052-00 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0032 463 -0060-053-00 LOTUS HOTELS UNION CITY INC 199 38,998 72,360 547,250 46,797.60 22,793.40 616,841.00 0.07795 48,082.76 19,499.00 19,499.00 0.54301 10,588.15 58,670.9133 463 -0060-054-00 LOTUS HOTELS UNION LANDING INC 179 56,328 47,021 492,250 67,593.60 14,811.62 574,655.22 0.07795 44,794.37 28,164.00 28,164.00 0.54301 15,293.33 60,087.7034 463 -0104-001-00 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0035 463 -0104-002-00 CITY OF UNION CITY 1 798 9,967 2,750 957.60 3,139.61 6,847.21 0.07795 533.74 399.00 399.00 0.54301 216.66 750.4036 463 -0104-003-00 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0037 463 -0104-004-00 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0038 463 -0104-006-00 H & S ENERGY LLC 22 1,572 21,902 60,500 1,886.40 6,899.13 69,285.53 0.07795 5,400.81 786.00 786.00 0.54301 426.81 5,827.6239 463 -0104-007-00 SKY VENTURE SILICON VALLEY LLC 28 5,497 9,508 77,000 6,596.40 2,995.02 86,591.42 0.07795 6,749.80 2,748.50 2,748.50 0.54301 1,492.46 8,242.2640 463 -0104-008-00 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.00 5,182 1,100,084 4,197,440 14,250,500 1,320,100.80 1,322,194 16,892,794.40 1,316,793.34 550,042.00 550,042.00 298,678.28 1,615,471.62 Reduced Fear of Crime Benefit Points & Assessment Increased Economic Activity Benefit Points & Assessment

TOTAL PBID

ASSESSMENT
City Council/RSA Agenda 151 Tuesday, July 8, 2025
APPENDIX C – ENGINEER’S REPORT
City Council/RSA Agenda 152 Tuesday, July 8, 2025
nbsgov.com
Prepared by:

Corporate Headquarters
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Toll free: 800.676.7516
Renewal Engineer’s Report For:

Union Landing Property and Business Improvement
District
March 2025
City Council/RSA Agenda 153 Tuesday, July 8, 2025

TABLE OF CONTENTS
ENGINEER’S LETTER ........................................................................................................1 INTRODUCTION ..............................................................................................................4

2.1 Background of PBID...................................................................................................4

2.2 Reason for the Assessment.......................................................................................4

2.3 Process for Renewing the PBID.................................................................................4 PLANS AND SPECIFICATIONS ...........................................................................................6

3.1 Description of the Boundaries of the PBID ...............................................................6

3.2 Description of the Improvements, Services, and Activities......................................6 ESTIMATE OF COSTS .......................................................................................................8

4.1 Security Services Cost Estimate Budget....................................................................8

4.2 Marketing & Administration Program Cost Estimate Budget...................................8

4.3 2026/27 Budgets.......................................................................................................9 SPECIAL AND GENERAL BENEFITS .................................................................................. 11

5.1 Introduction.............................................................................................................11

5.2 Identification of Benefit ..........................................................................................11

5.3 Separation of General Benefit.................................................................................12

5.4 Quantification of General Benefit...........................................................................12

5.5 Apportioning of Special Benefit ..............................................................................14

5.6 Parcel Factors..........................................................................................................16

5.7 Total Benefit Points Calculation ..............................................................................17 METHOD OF ASSESSMENT ............................................................................................ 18

6.1 Balance to be Assessed ...........................................................................................18

6.2 Method of Assessment Spread ...............................................................................19

6.3 2026/27 Assessment Rates.....................................................................................19

6.4 Cost of Living Inflator ..............................................................................................20 ASSESSMENT DIAGRAM................................................................................................ 21 ASSESSMENT ROLL........................................................................................................ 22 City Council/RSA Agenda 154 Tuesday, July 8, 2025
Union Landing Business Improvement District
Renewal Engineer’s Report (March 2025) 1
ENGINEER’S LETTER
Pursuant to the Property and Business Improvement District Law of 1994, Section 36600 of California’s Streets and Highways Code (the “1994 Act”), it is proposed that the Union Landing Property and Business Improvement District (the “PBID”) be renewed. If renewed, assessments would be collected for up to five years (July 1, 2025 – June 30, 2030). Expenditure of those collected assessments can continue for up to six months after the end of the assessment collection period (December 31, 2030), at which point the PBID would then be terminated, if not renewed.

This Engineer’s Report presents the plans and specifications describing the improvements, services, and activities, an estimate of the costs of the improvements, services, and activities for the PBID for the 2025/26 Fiscal Year, a proposed assessment diagram showing the area and properties to be assessed, and an assessment of the estimated costs of the improvements, services, and activities, assessing the net amount upon all assessable lots and/or parcels within the PBID in proportion to the special benefit received.

The following assessments are authorized in order to pay the estimated costs of the PBID improvements, services and activities to be paid by the assessable real property within the boundaries of the PBID in proportion to the special benefit received. The following tables summarize the PBID assessment:

Description Amount
2025/26 Security Services Costs:

Sworn Police Services Salaries $1,274,487.00
Vehicles and Equipment 36,244.50
Office Space Lease for Police Personnel 58,797.00
Supplies 16,548.00
Total Security Services Costs $1,386,076.50
Less: Contributions for General Benefit (5.00% of Total Operating Costs) 1($69,303.83) Plus: Rounding 20.67
Total 2025/26 Maximum Security Services Assessment: $1,316,793.34 Total Reduced Fear of Crime Benefit Points 3 16,892,794.40 2025/26 Maximum Allowable Assessment per Reduced Fear of Crime Benefit Point $0.07795 1 Refer to Section 5 of this Engineer’s Report for an explanation of General Benefit. 2 Includes costs of the City/Management staff, assessment engineering/administration, and County Auditor/Controller fees. 3 Refer to Section 5 of this Engineer’s Report for an explanation of Reduced Fear of Crime Benefit Points.

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Renewal Engineer’s Report (March 2025) 2
Description Amount
2025/26 Marketing & Administration Services Costs:

Marketing Services $165,750.00
Administration Services 2 239,026.00
Marketing & Administration Contingency 50,000.00
Less Prior Year Rollover Funds (150,000.00)
Total Marketing & Administration Services Costs $304,776.00 Less: Contributions for General Benefit (2.00% of Total Marketing & Administration Services Costs) 1
($6,095.52)
Less: Rounding (2.20)
Total 2025/26 Maximum Marketing & Administration Services Assessment: $298,678.28 Total Increased Economic Activity Benefit Points 3 550,042.00 2025/26 Maximum Allowable Assessment per Increased Economic Activity Benefit Point $0.54301 1 Refer to Section 5 of this Engineer’s Report for an explanation of General Benefit. 2 Includes costs of the City/Management staff, assessment engineering/administration, and County Auditor/Controller fees. 3 Refer to Section 5 of this Engineer’s Report for an explanation of Increased Economic Activity Benefit Points.

The assessment methodology adheres to local and state laws. In making the assessments contained herein pursuant to the 1994 Act, Article XIIID of the Constitution of the State of California and the Proposition 218 Omnibus Implementation Act, commencing with Section 53750 of the Government Code (collectively referred to as the “Assessment Law”):

1. I identified all parcels which will have a special benefit conferred upon them from the installation, implementation and provision of the improvements, services, and activities described in Section

3.2 to this Engineer’s Report (the “Specially Benefited Parcels”). For particulars as to the identification of said parcels, reference is made to the Assessment Diagram, a copy of which is included in Section 7 of this Engineer’s Report.

2. I have assessed the costs and expenses to install, implement and maintain the improvements, services, and activities upon the Specially Benefited Parcels. In making such assessment:
a. The proportionate special benefit derived by each Specially Benefited Parcel from the installation, implementation and provision of the improvements, services, and activities was determined in relationship to the entirety of the costs; b. No assessment has been imposed on any Specially Benefited Parcel which exceeds the reasonable cost of the proportional special benefit conferred on such parcel from the installation, implementation and provision of improvements, services, and activities; and c. Any general benefits from the installation, implementation and provision of improvements, services, and activities have been quantified and separated from the special benefits and only special benefits have been assessed.

City Council/RSA Agenda 156 Tuesday, July 8, 2025
Union Landing Business Improvement District
Renewal Engineer’s Report (March 2025) 3
I, the undersigned, respectfully submit the enclosed Engineer’s Report and, to the best of my knowledge, information and belief, the Engineer’s Report, Assessments, and the Proposed Boundary Map herein have been prepared and computed in accordance with the Assessment Law.

By:

John G. Egan
Assessment Engineer
R.C.E. 14853
City Council/RSA Agenda 157 Tuesday, July 8, 2025
Union Landing Business Improvement District
Renewal Engineer’s Report (March 2025) 4

INTRODUCTION

2.1 Background of PBID
City of Union City (the City”) property owners in the Union Landing shopping center and the City Council (the “City Council”) of the City approved the formation of the Union Landing Property and Business Improvement District (the “PBID”) – a property and business improvement district pursuant to the Property and Business Improvement District Law of 1994, California Streets and Highway Code Sections 36600 et seq (the “1994 Act”) – in 2004 for a one-year period. Since formation, the PBID has been renewed multiple times, for three-year terms and in 2020 for a five-year term. The 2020 renewal also added marketing services within the PBID in addition to the operation of a police substation in the shopping center. In 2025, property owners in the PBID will be asked to renew the funding for services provided through the PBID, for a five-year period. This renewal will also include extraordinary funding in the first year of the term to move the provision of services from a fiscal year basis to a calendar year basis.

As part of the assessment district formation process, this Engineer’s Report has been prepared to support the renewal proceedings for the PBID.

2.2 Reason for the Assessment
Approval of the assessment covered by this Engineer’s Report will generate the annual assessment revenue necessary to provide for the provision of the services more fully described in Section 3.2. The PBID improvements, services, and activities include all necessary operations and administration required to keep the PBID improvements in an operational and satisfactory condition, as well as provide for the ongoing services and activities. The implementation and operations of the PBID improvements, services, and activities shall also include equipment, capital improvements, and administrative costs associated with the annual administration and operation of the PBID.

2.3 Process for Renewing the PBID
The City cannot renew the PBID and levy assessments without complying with the procedures specified in California Constitution Article XIIID (part of Proposition 218). In November 1996, the voters in the State of California passed Proposition 218 which added Article XIIID to the California Constitution imposing, among other requirements, the necessity to conduct an assessment ballot procedure to enable the owners of each property on which assessments are proposed to be imposed, the opportunity to express their support for, or opposition to, the proposed assessment. The basic steps of the assessment ballot procedure are outlined below.

The City must prepare a notice of public hearing, which describes, along with other mandated information, the reason for the proposed assessments and provide a date, time and location of a public hearing to be held on the matter. The City must also prepare an assessment ballot, which clearly gives the property owner the ability to sign and execute their assessment ballot either in favor of, or in opposition to, the proposed assessment. The notice and assessment ballot are mailed to each affected property owner within the PBID a minimum of 45 days prior to the public hearing date as shown in the notice. The City may also hold community meetings with the property owners to discuss the issues facing the PBID and to answer property owner questions directly.

City Council/RSA Agenda 158 Tuesday, July 8, 2025
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Renewal Engineer’s Report (March 2025) 5
After the notice and assessment ballot are mailed, property owners are given until the close of the public hearing, as stated in the notice, to return their signed and executed assessment ballot. During the public hearing, property owners are given the opportunity to address the City Council and ask questions or voice their concerns. After the public hearing, the returned assessment ballots received prior to the close of the public hearing are tabulated, weighted by the proposed assessment amount on each property and the results are announced by the City Council.

Article XIIID provides that if, as a result of the assessment ballot proceeding, a majority protest is found to exist, the City Council shall not have the authority to enact the assessments as proposed. A majority protest exists if the assessments represented by weighted ballots submitted in opposition exceed those weighted ballots submitted in favor of the assessment. All returned ballots are tabulated and weighted according to the financial obligation of each particular parcel, in relation to the total proposed assessments. If there is no majority protest as described above, the City Council may approve the PBID renewal and levy the assessments.

City Council/RSA Agenda 159 Tuesday, July 8, 2025
Union Landing Business Improvement District
Renewal Engineer’s Report (March 2025) 6

PLANS AND SPECIFICATIONS

3.1 Description of the Boundaries of the PBID
The Union Landing PBID includes those parcels which are located in the commercial business center known as the Union Landing Center. The center is generally bounded by Interstate 880 to the east, Whipple Road to the north, Dyer Street to the west and Alvarado-Niles Road to the south.

Section 7 of this Engineer’s Report provides an Assessment Diagram that more fully provides a description of the PBID boundaries.

3.2 Description of the Improvements, Services, and Activities The PBID will provide for the ongoing provision of security services, marketing efforts and management activities all located within the boundaries of the PBID.

3.2.1 SECURITY SERVICES
The security team will consist of three sworn full-time Union City police officers who will patrol the PBID and will be responsible for coordinating their activities to deter crime, make arrests when necessary, warn and advise trespassers and pan handlers, and respond to visitor inquiries. The staffing will include three police officers who will be dedicated on a full-time basis to the PBID. In addition, the Union City Police Department will provide emergency response to supplement dedicated services on an as-needed basis. The leasing of office space is also included.

The work schedule of the dedicated officers will be determined by the Chief of Police based upon the recommendations of the Owner’s Association of the PBID, the calls for service workload, general activity requiring increased police presence, Memorandum of Understanding with the Union City Police Officers Association, and with overall consideration of the general welfare of the entire PBID.

3.2.2 MARKETING PROGRAM
Marketing in the PBID will generally consist of marketing and promotional efforts to maintain the visibility and desirability of Union Landing as a regional retail destination. These strategies include web page maintenance, digital campaigns, tenant engagement to support promotional efforts and can include events, center signage, banners, and murals. Marketing and promotional effort performance will be analyzed with findings and recommendations reported to the Owner’s Association. Additionally, any conditions that would affect brand perception in Union Landing will be documented and communicated to property owners or managers.

3.2.3 MANAGEMENT AND OPERATIONS
In addition to the costs to provide the PBID services mentioned above, the City will incur costs for staff time and expense related to the programs mentioned above, as well as the management of the PBID.

Professional PBID management services will also be contracted to transfer the majority of the administration duties from City staff. Staff time includes oversight and coordination of City provided services, annual tax roll preparation, and addressing property owner questions and concerns. The PBID renewal and tax roll billing services are also included. These activities are directly related to the PBID and City Council/RSA Agenda 160 Tuesday, July 8, 2025
Union Landing Business Improvement District
Renewal Engineer’s Report (March 2025) 7
services within the PBID, and without them the services could not be efficiently provided on an ongoing basis.

City Council/RSA Agenda 161 Tuesday, July 8, 2025
Union Landing Business Improvement District
Renewal Engineer’s Report (March 2025) 8

ESTIMATE OF COSTS
The estimated costs of installation, implementation and provision of the PBID improvements, services, and activities as described in Section 3 are outlined below. Each year, as part of the PBID assessment levy calculation process, the costs and expenses are reviewed and the annual costs are projected for the following fiscal year.

4.1 Security Services Cost Estimate Budget
The estimated security services cost budget for the first operating period of the PBID renewal (July 1, 2025 through December 31, 2026) is as follows:

Description
2025/26
Budget
Security Services Costs:

Sworn Police Services Salaries $1,274,487.00
Vehicles and Equipment 36,244.50
Office Space Lease for Police Personnel 58,797.00
Supplies 16,548.00
Total Security Services and Incidental Costs $1,386,076.50 The 2025/26 estimated security services operating budget will be funded as follows:

Description of Revenue Source
2025/26
Revenue Amount
Assessment Revenue $1,316,772.67
Contributions for General Benefit (5.00% of Security Services Costs) 1 69,303.83 Total 2025/26 Annual Revenue $1,386,076.50
1 Comprised of additional funds generated from sources other than assessments. Refer to Section 5 of this Engineer’s Report for an explanation of General Benefit.

4.2 Marketing & Administration Program Cost Estimate Budget The estimated marketing and administration program cost budget for the first operating period of the PBID renewal (July 1, 2025 through December 31, 2026) is as follows:

Description
2025/26
Budget
Marketing & Administration Services Costs:

Marketing Services $165,750.00
Administration Services Costs 1 239,026.00
Marketing & Administration Contingency 50,000.00
Less Prior Year Rollover Funds (150,000.00)
Total Marketing & Administration Services Costs $304,776.00 1 Includes costs of City staff, PBID administration, and County Auditor/Controller fees.

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Renewal Engineer’s Report (March 2025) 9
The 2025/26 estimated marketing program operating budget will be funded as follows:

Description of Revenue Source
2025/26
Revenue Amount
Assessment Revenue $298,680.48
Contributions for General Benefit (2.00% of Marketing & Administration Services Costs) 6,095.52
Total 2025/26 Annual Revenue $304,776.00

4.3 2026/27 Budgets
The 2025/26 budgets cover an 18-month period from July 1, 2025 through December 31, 2026 as the PBID transitions from funding on a fiscal year basis to a calendar year basis. Once that initial transition is complete, the PBID budget for 2026/27 will reflect the period of January 1, 2027 through December 31, 2027 as follows:

4.3.1 2026/27 SECURITY SERVICES BUDGET
Description
2026/27
Budget
Security Services Costs:

Sworn Police Services Salaries $883,644.32
Vehicles and Equipment 25,129.52
Office Space Lease for Police Personnel 40,765.92
Supplies 11,473.28
Total Security Services and Incidental Costs $961,013.04 The 2026/27 estimated security services operating budget will be funded as follows:

Description of Revenue Source
2026/27
Revenue Amount
Assessment Revenue $912,962.39
Contributions for General Benefit (5.00% of Security Services Costs) 1 48,050.65 Total 2026/27 Annual Revenue $961,013.04
1 Comprised of additional funds generated from sources other than assessments. Refer to Section 5 of this Engineer’s Report for an explanation of General Benefit.

4.3.2 2026/27 MARKETING & ADMINISTRATION SERVICES BUDGET Description
2026/27
Budget
Marketing & Administration Services Costs:

Marketing Services $114,920.00
Administration Services Costs 140,950.00
Marketing & Administration Contingency 52,000.00
Less Prior Year Rollover Funds 0.00
Total Marketing & Administration Services Costs $307,870.00 1 Includes costs of City staff, PBID administration, and County Auditor/Controller fees.

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The 2026/27 estimated marketing program operating budget will be funded as follows:

Description of Revenue Source
2026/27
Revenue Amount
Assessment Revenue $301,712.60
Contributions for General Benefit (2.00% of Marketing & Administration Services Costs) 1 6,157.40
Total 2026/27 Annual Revenue $307,870.00
1 Comprised of additional funds generated from sources other than assessments. Refer to Section 5 of this Engineer’s Report for an explanation of General Benefit.

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Renewal Engineer’s Report (March 2025) 11

SPECIAL AND GENERAL BENEFITS

5.1 Introduction
Pursuant to Article XIIID, all parcels that receive a special benefit conferred upon them as a result of the public services shall be identified, and the proportionate special benefit derived by each identified parcel shall be determined in relationship to the entire costs of the project.

Article XIIID, Section 4(a) of the California Constitution limits the amount of any assessment to the proportional special benefit conferred on the property. Article XIIID also provides that publicly owned properties within an assessment district must be assessed unless there is clear and convincing evidence that those properties receive no special benefit from the assessment. Examples of parcels which might be exempted from the assessment would be the areas of public streets, public avenues, public lanes, public roads, public drives, public courts, public alleys, public easements and rights-of-ways, public greenbelts and public parkways. There are nine parcels in the PBID that are public streets or easements for signage which are exempt from the assessment.

Furthermore, Article XIIID requires that the City separate the general benefit from special benefit, so that only the special benefit may be assessed.

5.2 Identification of Benefit
The provisions of services and necessary related administrative expenses the City will incur in providing and managing the PBID services will provide benefits to both those properties within the boundary of the PBID and to the surrounding area. The benefits conferred to property within the boundary of the PBID from the services are described below. This report does not consider any general enhancement of property value.

5.2.1 REDUCED FEAR OF CRIME
Fear of crime impacts American society to a large degree. People choose where to shop, socialize and live grounded in their perceptions of safety.1 Police substations are shown to be very effective at reducing the fear of crime in their immediate vicinity. Multiple studies have shown that implementation of police substations increase citizen satisfaction and reduce the fear of crime in the area of the substation.2 Policing strategies characterized by more direct involvement of police and citizens, such as police substations, have the effect of reducing fear of crime in a neighborhood. 3 Security:

The regular presence of officers in the PBID allows for increased quantity and quality of face-to-face nonenforcement interactions between police officers and community members. Fear of crime can lead to fewer customers in a commercial center. Reduced fear of crime creates an environment which attracts customers 1 Cordner, Gary. (2010) Reducing Fear of Crime Strategies for Police. Office of Community Oriented Policing Services. Washington, DC: U.S. Department of Justice.
2 Johnson, Richard R., Ph.D. (2016) Reducing Fear of Crime and Increasing Citizen Support for Police. Raleigh, North Carolina:

Dolan Consulting Group.
3 National Research Council. (2004). Fairness and Effectiveness in Policing: The Evidence. Committee to Review Research on Police Policy and Practices. Wesley Skogan and Kathleen Frydl, editors. Committee on Law and Justice, Division of Behavioral and Social Sciences and Education. Washington, DC: The National Academies Press.

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Renewal Engineer’s Report (March 2025) 12
to the Union Landing shopping center. A robust commercial environment also attracts and encourages investment in business development.

5.2.2 INCREASED ECONOMIC ACTIVITY
Marketing services serve to bring customers to a shopping center such as Union Landing, but also provide a tool to retain and attract business owners and tenants.4Increasing the quantity and quality of foot traffic will increase business sales. This, in turn, creates a robust retail environment which encourages business development and investment.

Marketing & Administration:

Marketing activities aim to increase economic activity and future property development potential within the PBID. Through strategic marketing campaigns consisting of digital marketing and promotional efforts, the retail environment will be enhanced. A strong marketing presence will also attract, retain and encourage the expansion of business throughout the PBID. Administration activities are essential to having an active PBID and community within the shopping center.

5.3 Separation of General Benefit
Section 4 of Article XIIID of the California Constitution provides that once a local agency which proposes to impose assessments on property has identified those parcels that will have special benefits conferred upon them and upon which an assessment will be imposed, the local agency must next “separate the general benefits from the special benefits conferred,” and only the special benefits can be included in the amount of the assessments imposed. A general benefit is an overall and similar benefit to the public at large resulting from the services to be provided by the assessments levied.

The security services will provide reduced fear of crime benefits to property within the PBID, but it is recognized that the security services will also provide a level of benefit to some property within proximity to the PBID. The officers assigned to the police substation in the PBID respond primarily to calls for service within the Union Landing shopping center. As City police officers, they do, however, occasionally respond to emergency calls in the vicinity but outside the boundary of the PBID. This is considered to be a general benefit that cannot be funded by PBID assessments.

Marketing efforts conducted in the PBID are specific to the Union Landing shopping center and the benefit from such marketing will chiefly benefit businesses within the PBID. It is conceivable, however, that other City businesses may benefit from marketing activity conducted for Union Landing.

Therefore, the general benefit created as a result of PBID services has been considered. These activities create general benefit that is required to be separated and quantified as shown below.

5.4 Quantification of General Benefit
The amount of general benefit that is provided from the PBID services cannot be funded via property owner assessments within the PBID. In order for property within the PBID to be assessed only for that portion of 4 Wagner, Nancy. (2017) The Purpose in Preparing a Shopping Mall’s Sales Marketing Plan.

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Renewal Engineer’s Report (March 2025) 13
special benefit received from the PBID services, general benefits provided by the services needs to be quantified.

The PBID consists of a variety of non-residential property land uses, including one movie theater, three hotels, two dental offices, numerous retail stores, an indoor skydiving facility and the Union Landing Transit Center. Properties within the PBID are classified to a land use category according to the assigned land use code as shown on the County Assessor’s latest secured property tax roll.

5.4.1 GENERAL BENEFIT: REDUCED FEAR OF CRIME FROM SECURITY SERVICES As a result of security services within the PBID, there will be a level of general benefit to surrounding property. Without the police substation located within the PBID, there would be fewer officers on duty in the area of the PBID. This general benefit, as a result of the operation of the police substation, needs to be quantified.

Police officers assigned to the Union Landing police substation were dispatched on 5,182 calls during calendar year 2024. In addition to those 5,182 dispatched calls, approximately 259 were to locations outside of the PBID.

Union Landing Police Substation Dispatched Calls
Dispatched Calls Within PBID 5,182
Dispatched Calls Outside PBID 259
Total Dispatched Calls 5,441
The number of dispatched calls to property outside of the PBID (259) is 5.00% of the total dispatched calls (5,441), and is therefore considered to be general benefit.

General Benefit: Dispatched Calls 5.00%
In addition to responding to calls within Union Landing, the Union City Police Department routinely deploys officers on overtime and conducts special enforcement at the complex as part of a proactive and specialized response to crime trends at the Union Landing complex. Special enforcement officers have been deployed in unmarked and even rented vehicles as part of sting operations in an attempt to curb criminal activity at the Union Landing complex. Additionally, rather than direct victims of certain crimes, such as vehicle burglary, vandalism, theft and lost property, to file a report via the City’s online reporting system, officers make face-to-face contact with victims of these crimes within Union Landing. The additional services to Union Landing, conservatively, do not reduce the overall general benefit resulting from the security services. Therefore, the general benefit related to the reduced fear of crime is 5.00% and the special benefit related to the reduced fear of crime is 95.00%.

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5.4.2 GENERAL BENEFIT: INCREASED ECONOMIC ACTIVITY FROM MARKETING &

ADMINISTRATION SERVICES
As a result of marketing and administration services within the PBID, there may be a level of general benefit to other commercial property. Administration services support the PBID, which supports Union Landing. Although the marketing campaign is designed to specifically highlight the PBID and its businesses, one can imagine a degree of benefit accruing to other businesses in Union City. While customers may travel to shop in Union Landing, they may also patronize other local business. Since Union Landing is a distinct shopping center with very little commercial property in the immediate surrounding area, the benefit to other local business is expected to be very small. In lieu of a detailed study showing what effects the marketing efforts of the Association have on Union City businesses not within the PBID, we liberally estimate the general benefit resulting from the marketing services to be 2.00%.

Increased Economic Activity General Benefit 2.00%
Therefore, the general benefit related to the increased economic activity is 2.00% and the special benefit related to the increased economic activity is 98.00%.

5.5 Apportioning of Special Benefit
As outlined in Section 5.2, each of the parcels within the PBID receives a special benefit from the services.

Each parcel that has a special benefit conferred upon it, as a result of the provisions of services, is identified and the proportionate special benefit derived by each identified parcel is determined in relationship to the entire costs of the services.

The total costs of the services, less the amount of general benefit identified, will be assessed to the parcels within the PBID based on the benefit points assigned to each parcel. Section 6.3 of this report provides a detailed breakdown of the assigned benefit points described herein. To assess special benefit appropriately, it is necessary to relate parcels of different land use, lot size and building size to one another.

Each parcel’s land use is a factor that differentiates parcels based on the benefit received from the services within the PBID. Parcels with a commercial or industrial land use will be the basis for assigning benefit points since business is the focus of the service activities.

In addition to land use, the size of the parcel and size of the structure located on the parcel also need to be considered when assigning benefit points. A larger parcel with more building square footage has a greater level of benefit than a parcel that is smaller with less building square footage.

5.5.1 REDUCED FEAR OF CRIME BENEFIT POINTS
The reduced fear of crime benefit relates to the public perception of the Union Landing shopping center as a result of staffing the Union Landing police substation, one of the PBID services. The police services will provide for consistent police presence and response within the PBID which has been shown to reduce the fear of crime thereby creating a more positive commercial environment for property in the PBID.

In order to recognize the varying levels of reduced fear of crime benefit, properties are assigned benefit points related to the number of dispatched police calls, building square footage and parcel size. Property in City Council/RSA Agenda 168 Tuesday, July 8, 2025
Union Landing Business Improvement District
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the PBID is primarily commercial business5. Given the fairly homogenous land use, commercial property within the PBID are assigned Reduced Fear of Crime Benefit Points based on the dispatched calls for service, building square footage and lot square footage. Dispatched calls for service is the primary factor in determining the reduced fear of crime benefit as the call volume indicates the use of police services.

Building Square footage and lot square footage are both secondary factors in determining reduced fear of crime benefit as they indicate the potential use of police services. Given the total dispatched police calls to parcels within the PBID of 5,182, building square footage of approximately 1.1 million and lot square footage of approximately 4.2 million, the benefit points per each criteria has been calculated to adjust for the varying totals and weight the benefit as described above. The Reduced Fear of Crime Benefit Points are as shown in the following table:

Reduced Fear of Crime Benefit Points Per
2,750.00 Dispatched Call for Service

1.20 Building Square Foot

0.315 Lot Square Foot
A small number of parcels within the PBID are driveways, streets and signage. These parcels are deemed to receive no benefit from PBID services as they are connectors/signage for other properties and do not benefit from reduced fear of crime.

5.5.2 INCREASED ECONOMIC ACTIVITY BENEFIT POINTS
The PBID services will promote Union Landing businesses through targeting marketing efforts. These services will encourage visitors to shop, dine and conduct business throughout the PBID. This, in turn, will make business property more prosperous, and will attract additional investment to spur economic activity.

In order to recognize the varying levels of economic activity benefit, properties are assigned benefit points related to building square footage. Property in the PBID is primarily commercial business6. Given the fairly homogenous land use, commercial property within the PBID are assigned Increased Economic Activity Benefit Points as shown in the following table:

Increased Economic Activity
Benefit Points Per

0.50 Building Square Foot
A small number of parcels within the PBID are driveways, streets and signage. These parcels are deemed to receive no benefit from PBID services as they are connectors/signage for other properties and do not benefit from increased economic activity.
5 One parcel in the PBID, APN 463 -0104-007-00, has been assigned a County Use Code of 4400 (Miscellaneous Industrial) as of January 2020. This parcel is currently the site of I Fly, an indoor skydiving venue, which is considered a commercial parcel for purposes of PBID classification.
6 One parcel in the PBID, APN 463 -0104-007-00, has been assigned a County Use Code of 4400 (Miscellaneous Industrial) as of January 2020. This parcel is currently the site of I Fly, an indoor skydiving venue, which is considered a commercial parcel for purposes of PBID classification.

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5.5.3 DATA CONSIDERATIONS AND PARCEL CHANGES
The use of the latest Assessor’s Secured Roll information has been the basis in determining each parcel’s land use category, building square footage and lot square footage, unless better data was or is available to the City. The City’s crime analyst data has been used to determine the dispatched police call volume. The building size, lot square footage and dispatched police call volume used to establish the assessment will remain unchanged for the term of the assessment. In addition, if any parcel within the PBID is identified by the County Auditor/Controller to be an invalid parcel number, the land use category, building square footage, lot square footage and dispatched police call volume of the subsequent valid parcels shall serve as the basis in assigning special benefit points.

5.5.4 SPECIAL CONSIDERATIONS: PUBLICLY OWNED PARCELS
Any publicly owned parcels that benefit from the improvements cannot be exempt from the assessment.

The special benefits accruing to these types of parcels must be determined using the same kind of formulas and benefit point assignment as applied to privately owned parcels. This requirement is clearly conveyed in Article XIII D, Section 4(a) of the California Constitution which states in part, “... Parcels within a district that are owned or used by any agency, the State of California or the United States shall not be exempt from assessment unless the agency can demonstrate by clear and convincing evidence that those publicly owned parcels in fact receive no special benefit.” Publicly owned parcels have been categorized and assigned benefit units using the same methodology as privately owned parcels, based on their land use as shown on the County Assessor’s latest secured property tax roll.

5.5.5 ASSESSMENT INCREASES
The maximum annual assessment rates are subject to an annual increase beginning July 1, 2026. The maximum annual assessment rate increase is 4%. Note, this is the maximum annual assessment and the actual amount assessed to properties may be less than this maximum, depending on the annual budget of the PBID.

5.6 Parcel Factors
The method of apportioning benefit to parcels within the PBID reflects the proportional special benefit assigned to each property from the PBID improvements, services and activities based upon the various property characteristics for each parcel as compared to other properties within the PBID. As part of the special benefit analysis various property characteristics were analyzed including dispatched calls for service, lot square footage, building square footage, and land use. Given that the special benefits provided by the PBID improvements, services, and activities focus on reduced fear of crime benefit and increased economic activity benefit, it was determined that dispatched calls for service, lot square footage, and building square footage are the most appropriate parcel factors. Each parcel’s dispatched calls for service, lot square footage and building square footage have been used as the primary assessment variables for the calculation and assignment of special benefit points.

5.6.1 LAND USE
Property in the PBID is primarily commercial business. One parcel in the PBID, APN 463 -0104-007-00, has been assigned a County Use Code of 4400 (Miscellaneous Industrial) as of January 2025. This parcel is City Council/RSA Agenda 170 Tuesday, July 8, 2025
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currently the site of I Fly, an indoor skydiving venue, which is considered a commercial parcel for purposes of PBID classification.

A small number of parcels within the PBID are driveways, streets and signage. These parcels are deemed to receive no benefit from PBID services as they are connectors/signage for other properties and do not benefit from increased economic activity.

5.6.2 DISPATCHED CALLS FOR SERVICE
Dispatched calls for service is the primary factor in determining the reduced fear of crime benefit as the call volume indicates the use of police services.

5.6.3 LOT SQUARE FOOTAGE AND BUILDING SQUARE FOOTAGE
Building square footage and lot square footage are both secondary factors in determining reduced fear of crime benefit as they indicate the potential use of police services.

5.7 Total Benefit Points Calculation
The total Reduced Fear of Crime Benefit Points for the PBID at this time is 16,892,794.40.

The total Increased Economic Activity Benefit Points for the PBID at this time is 550,042.00.

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METHOD OF ASSESSMENT

6.1 Balance to be Assessed

6.1.1 SECURITY SERVICES
The general benefit, which is the percentage of the total budget, excluding incidental costs, that must be funded through sources other than assessments, is 5.00% of the total services cost. The special benefit, which is the percentage of the budget that may be funded by assessments, is 95.00%.

Description
2025/26 Budget
Amount
Security Services Costs $1386,076.50
Less: General Benefit Contribution (69,303.83)
Total Security Services Costs to be Assessed $1,316,772.67

6.1.2 ASSESSMENT AMOUNT PER REDUCED FEAR OF CRIME BENEFIT POINT The assessment per Reduced Fear of Crime Benefit Point is calculated by dividing the total security services costs to be assessed by the total Reduced Fear of Crime Benefit Points assigned to the parcels within the PBID. The following formula provides the assessment per Reduced Fear of Crime Benefit Point calculation:

Total Security Services Costs to be Assessed / Total Reduced Fear of Crime Benefit Points = Assessment Rate per Reduced Fear of Crime Benefit Point $1,316,772.67 / 16,892,794.40 = $0.07795
The security services special benefit analysis and assignment of Reduced Fear of Crime Benefit Points has been calculated in relation to the costs to be assessed. No assessment will be imposed on any parcel that exceeds the reasonable cost of the proportional special benefit conferred on the parcel.

6.1.3 MARKETING & ADMINISTRATION SERVICES
The general benefit, which is the percentage of the total budget, excluding incidental costs, which must be funded through sources other than assessments, is 2.00% of the total services cost. The special benefit, which is the percentage of the budget that may be funded by assessments, is 98.00%.

Description
2025/26 Budget
Amount
Marketing Services Costs $304,776.00
Less: General Benefit Contribution (6,095.52)
Total Marketing Services Costs to be Assessed $298,680.48

6.1.4 ASSESSMENT AMOUNT PER INCREASED ECONOMIC ACTIVITY BENEFIT POINT The assessment per Increased Economic Activity Benefit Point is calculated by dividing the total marketing services costs to be assessed by the total Economic Activity Benefit Points assigned to the parcels within the PBID. The following formula provides the assessment per Economic Activity Benefit Point calculation:

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Total Marketing & Administration Services Costs to be Assessed / Total Increased Economic Activity Benefit Points = Assessment Rate per Increased Economic Activity Benefit Point $298,680.48 / 550,042.00 = $0.54301
The marketing services special benefit analysis and assignment of Economic Activity Benefit Points has been calculated in relation to the costs to be assessed. No assessment will be imposed on any parcel that exceeds the reasonable cost of the proportional special benefit conferred on the parcel.

6.2 Method of Assessment Spread
The method of assessment is based upon a formula that assigns the special benefit to each parcel. The formulas below provide a summary of the assessment calculations for each parcel within the PBID.

Parcel’s Total
Reduced Fear of
Crime Assessment
=
Assessment Rate
per Reduced Fear
of Crime Benefit
Point
x
Parcel’s Total
Reduced Fear of
Crime Benefit
Points
Parcel’s Total
Increased
Economic Activity
Assessment
=
Assessment Rate
per Increased
Economic Activity
Benefit Point
x
Parcel’s Total
Increased
Economic Activity
Benefit Points

6.3 2026/27 Assessment Rates

6.3.1 2026/27 ASSESSMENT AMOUNT PER REDUCED FEAR OF CRIME BENEFIT POINT The assessment per Reduced Fear of Crime Benefit Point is calculated by dividing the total security services costs to be assessed by the total Reduced Fear of Crime Benefit Points assigned to the parcels within the PBID. The following formula provides the assessment per Reduced Fear of Crime Benefit Point calculation:

Total Security Services Costs to be Assessed / Total Reduced Fear of Crime Benefit Points = Assessment Rate per Reduced Fear of Crime Benefit Point $912,962.39 / 16,892,794.40 = $0.054045
The security services special benefit analysis and assignment of Reduced Fear of Crime Benefit Points has been calculated in relation to the costs to be assessed. No assessment will be imposed on any parcel that exceeds the reasonable cost of the proportional special benefit conferred on the parcel.

6.3.2 ASSESSMENT AMOUNT PER INCREASED ECONOMIC ACTIVITY BENEFIT POINT The assessment per Increased Economic Activity Benefit Point is calculated by dividing the total marketing services costs to be assessed by the total Economic Activity Benefit Points assigned to the parcels within the PBID. The following formula provides the assessment per Economic Activity Benefit Point calculation:

Total Marketing & Administration Services Costs to be Assessed / Total Increased Economic Activity Benefit Points = Assessment Rate per Increased Economic Activity Benefit Point $301,712.60 / 550,042.00 = $0.548527
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Renewal Engineer’s Report (March 2025) 20
The marketing services special benefit analysis and assignment of Economic Activity Benefit Points has been calculated in relation to the costs to be assessed. No assessment will be imposed on any parcel that exceeds the reasonable cost of the proportional special benefit conferred on the parcel.

6.4 Cost of Living Inflator
The maximum annual assessment rates are subject to an annual increase beginning July 1, 2027. The maximum annual assessment rate increase is 4%. Note, this is the maximum annual assessment and the actual amount assessed to properties may be less than this maximum, depending on the annual budget of the PBID.

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ASSESSMENT DIAGRAM
The following page contain the Assessment Diagram for the PBID.

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ASSESSMENT ROLL
The following pages contain the proposed 2025/26 assessment roll for the PBID.

City Council/RSA Agenda 177 Tuesday, July 8, 2025
Assmnt ID APN Owner Name
Dispatched
Police Calls
Building Square
Footage
Lot Square
Footage
Dispatched
Police Calls BP
Building Size
BP Parcel Size BP
Total Reduced
Fear of Crime BP
Rate Per Reduced
Fear BP
Reduced Fear of
Crime Assmnt
Building Size
BP
Total Economic
Activity BP
Rate per Economic
Activity BP
Economic Activity
Assmnt
1 463 -0060-012-10 BARBIERI VITTORE A & ANNA M TRS 36 12,280 73,774 99,000 14,736.00 23,238.81 136,974.81 0.07795 10,677.19 6,140.00 6,140.00 0.54301 3,334.08 14,011.272 463 -0060-012-14 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.003 463 -0060-013-07 K&P LAU FAMILY LP 17 5,760 60,034 46,750 6,912.00 18,910.71 72,572.71 0.07795 5,657.04 2,880.00 2,880.00 0.54301 1,563.87 7,220.914 463 -0060-015-11 DYER TRIANGLE LLC 66 20,603 106,316 181,500 24,723.60 33,489.54 239,713.14 0.07795 18,685.64 10,301.50 10,301.50 0.54301 5,593.82 24,279.465 463 -0060-015-13 DYER TRIANGLE LLC 323 65,668 231,864 888,250 78,801.60 73,037.16 1,040,088.76 0.07795 81,074.92 32,834.00 32,834.00 0.54301 17,829.19 98,904.116 463 -0060-021-03 DYER TRIANGLE LLC 218 31,714 235,289 599,500 38,056.80 74,116.04 711,672.84 0.07795 55,474.90 15,857.00 15,857.00 0.54301 8,610.51 64,085.417 463 -0060-022-05 KPDT ENTERPRISES LLC 189 68,433 224,694 519,750 82,119.60 70,778.61 672,648.21 0.07795 52,432.93 34,216.50 34,216.50 0.54301 18,579.90 71,012.838 463 -0060-029-00 VIRAY CHRISTOPHER 9 3,137 7,528 24,750 3,764.40 2,371.32 30,885.72 0.07795 2,407.54 1,568.50 1,568.50 0.54301 851.71 3,259.259 463 -0060-030-00 VIDEO ONLY INC 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.00 10 463 -0060-031-00 WAL-MART REAL ESTATE BUSINESS TRUST 810 146,645 696,352 2,227,500 175,974.00 219,350.88 2,622,824.88 0.07795 204,449.20 73,322.50 73,322.50 0.54301 39,814.85 244,264.0511 463 -0060-032-00 DYER UNION LANDINGS LLC 26 13,674 67,008 71,500 16,408.80 21,107.52 109,016.32 0.07795 8,497.82 6,837.00 6,837.00 0.54301 3,712.56 12,210.3812 463 -0060-034-00 VIDEO ONLY INC 85 23,500 88,209 233,750 28,200.00 27,785.84 289,735.84 0.07795 22,584.91 11,750.00 11,750.00 0.54301 6,380.37 28,965.2813 463 -0060-035-01 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0014 463 -0060-035-02 VIDEO ONLY INC 35 15,125 75,588 96,250 18,150.00 23,810.22 138,210.22 0.07795 10,773.49 7,562.50 7,562.50 0.54301 4,106.51 14,880.0015 463 -0060-036-00 BRE ESA P PORTFOLIO LLC 227 55,684 106,637 624,250 66,820.80 33,590.66 724,661.46 0.07795 56,487.36 27,842.00 27,842.00 0.54301 15,118.48 71,605.8416 463 -0060-037-00 SOUTHVIEW PEAK LLC 60 6,526 49,014 165,000 7,831.20 15,439.41 188,270.61 0.07795 14,675.69 3,263.00 3,263.00 0.54301 1,771.84 16,447.5317 463 -0060-038-00 ROBERT SWANSON FAMILY PTP 54 7,255 59,068 148,500 8,706.00 18,606.42 175,812.42 0.07795 13,704.58 3,627.50 3,627.50 0.54301 1,969.77 15,674.3518 463 -0060-039-00 AUSTIN CRAVINGS UNION LANDING LLC 17 10,912 34,037 46,750 13,094.40 10,721.66 70,566.06 0.07795 5,500.62 5,456.00 5,456.00 0.54301 2,962.66 8,463.2819 463 -0060-040-00 DYER TRIANGLE LLC 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0020 463 -0060-041-01 DYER TRIANGLE LLC 271 129,069 193,842 745,250 154,882.80 61,060.23 961,193.03 0.07795 74,925.00 64,534.50 64,534.50 0.54301 35,042.88 109,967.8821 463 -0060-042-00 DYER TRIANGLE LLC 403 23,058 443,189 1,108,250 27,669.60 139,604.54 1,275,524.14 0.07795 99,427.11 11,529.00 11,529.00 0.54301 6,260.36 105,687.4722 463 -0060-043-00 DYER TRIANGLE LLC 86 25,747 103,452 236,500 30,896.40 32,587.38 299,983.78 0.07795 23,383.74 12,873.50 12,873.50 0.54301 6,990.44 30,374.1823 463 -0060-045-02 PAPPAS UNION CITY NO 2 LP 79 3,179 47,421 217,250 3,814.80 14,937.62 236,002.42 0.07795 18,396.39 1,589.50 1,589.50 0.54301 863.11 19,259.5024 463 -0060-046-00 PAPPAS UNION CITY NO 2 LP 412 159,284 490,050 1,133,000 191,140.80 154,365.75 1,478,506.55 0.07795 115,249.59 79,642.00 79,642.00 0.54301 43,246.40 158,495.9925 463 -0060-047-01 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0026 463 -0060-047-02 PAPPAS UNION CITY NO 2 LP 351 46,161 166,101 965,250 55,393.20 52,321.82 1,072,965.02 0.07795 83,637.62 23,080.50 23,080.50 0.54301 12,532.94 96,170.5627 463 -0060-048-00 PAPPAS UNION CITY NO 2 L P 30 17,037 70,132 82,500 20,444.40 22,091.58 125,035.98 0.07795 9,746.55 8,518.50 8,518.50 0.54301 4,625.63 14,372.1828 463 -0060-049-00 PAPPAS UNION CITY NO 2 LP 503 39,774 132,858 1,383,250 47,728.80 41,850.27 1,472,829.07 0.07795 114,807.03 19,887.00 19,887.00 0.54301 10,798.84 125,605.8729 463 -0060-050-00 PAPPAS UNION CITY 2 L P 305 28,105 114,563 838,750 33,726.00 36,087.35 908,563.35 0.07795 70,822.51 14,052.50 14,052.50 0.54301 7,630.65 78,453.1630 463 -0060-051-00 PAPPAS UNION CITY NO 2 L P 141 38,561 159,662 387,750 46,273.20 50,293.53 484,316.73 0.07795 37,752.49 19,280.50 19,280.50 0.54301 10,469.50 48,221.9931 463 -0060-052-00 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0032 463 -0060-053-00 LOTUS HOTELS UNION CITY INC 199 38,998 72,360 547,250 46,797.60 22,793.40 616,841.00 0.07795 48,082.76 19,499.00 19,499.00 0.54301 10,588.15 58,670.9133 463 -0060-054-00 LOTUS HOTELS UNION LANDING INC 179 56,328 47,021 492,250 67,593.60 14,811.62 574,655.22 0.07795 44,794.37 28,164.00 28,164.00 0.54301 15,293.33 60,087.7034 463 -0104-001-00 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0035 463 -0104-002-00 CITY OF UNION CITY 1 798 9,967 2,750 957.60 3,139.61 6,847.21 0.07795 533.74 399.00 399.00 0.54301 216.66 750.4036 463 -0104-003-00 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0037 463 -0104-004-00 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.0038 463 -0104-006-00 H & S ENERGY LLC 22 1,572 21,902 60,500 1,886.40 6,899.13 69,285.53 0.07795 5,400.81 786.00 786.00 0.54301 426.81 5,827.6239 463 -0104-007-00 SKY VENTURE SILICON VALLEY LLC 28 5,497 9,508 77,000 6,596.40 2,995.02 86,591.42 0.07795 6,749.80 2,748.50 2,748.50 0.54301 1,492.46 8,242.2640 463 -0104-008-00 CITY OF UNION CITY 0 0 0 0 0.00 0.00 0.00 0.07795 0.00 0.00 0.00 0.54301 0.00 0.00 5,182 1,100,084 4,197,440 14,250,500 1,320,100.80 1,322,194 16,892,794.40 1,316,793.34 550,042.00 550,042.00 298,678.28 1,615,471.62 Reduced Fear of Crime Benefit Points & Assessment Increased Economic Activity Benefit Points & Assessment

TOTAL PBID

ASSESSMENT
City Council/RSA Agenda 178 Tuesday, July 8, 2025
City Council/RSA Agenda 179 Tuesday, July 8, 2025
City Council/RSA Agenda 180 Tuesday, July 8, 2025
City Council/RSA Agenda 181 Tuesday, July 8, 2025
City Council/RSA Agenda 182 Tuesday, July 8, 2025

CONDUCT A PUBLIC HEARING AND ADOPT A RESOLUTION

DECLARING RESULTS OF AN ASSESSMENT BALLOT PROCEEDING

FOR THE UNION LANDING PROPERTY AND BUSINESS

IMPROVEMENT DISTRICT AND ADOPT A RESOLUTION RENEWING

THE UNION LANDING PROPERTY AND BUSINESS IMPROVEMENT
DISTRICT FOR A PERIOD OF 5 YEARS AND LEVY AND COLLECT
ASSESSMENTS FOR FISCAL YEAR 25/26
Pursuant to the Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the California Streets and Highway Code Item 6.a City Council/RSA Agenda 183 Tuesday, July 8, 2025
Background
City Council/RSA Agenda 184 Tuesday, July 8, 2025
3 PBID Renewal Process
March 2025 May 25, 2025 July 8, 2025
Public
Hearing to
Renew or
Abandon
ULPOA
Declares
Intent to
review
CC Adopts
Reso Intent
to Renew
ULPOA
Approves
Draft
Budget
Jan. 12, 2025
City Council/RSA Agenda 185 Tuesday, July 8, 2025
4 What Union
Landing Means
to Union City
• Union Landing = Regional destination for retail, dinning, and recreation
• Community Gathering Space = A place to gather and
celebrate
• Sales Taxes Generation = Retail sales generates 21.3% of the city’s revenues
• Top sales tax generators = Best Buy, Burlington, Flor, In-NOut Burgers, Lowes, Ross, Walmart Stores • Other Revenues = Business License Taxes and Property
Taxes
City Council/RSA Agenda 186 Tuesday, July 8, 2025
5 What the PBID Pays For: Security Services
• Three dedicated Officers, Vehicles and Equipment
• Police Sub-Station (located at Union Landing ) and supplies • Enhanced Public Safety Measures
City Council/RSA Agenda 187 Tuesday, July 8, 2025
6 What the PBID Pays For:

Marketing Services
• Marketing and promotions:
website, social media
campaigns, banners,
signage
• Events at Shopping Center
throughout the year
Visit
Union
Landing!
City Council/RSA Agenda 188 Tuesday, July 8, 2025
7 Celebrating Accomplishments for the Past 5 Years
Celebrating Accomplishments – Past 5
Years
• Developed a Strong Partnership with
Directors, City and Police Department
• Capital Improvement Projects - Improved
the overall appearance of the center
• No big box vacancies, strong retail sales
• Generated significant Sales Tax revenues
City Council/RSA Agenda 189 Tuesday, July 8, 2025
The Renewal Process
City Council/RSA Agenda 190 Tuesday, July 8, 2025
Public/Private
Partnership
Stronger and Better
Together
Property Business Improvement District Renewal
• Three Officers, Marketing and Promotions
• Five Year Term
• Outside Management
City Council/RSA Agenda 191 Tuesday, July 8, 2025
Overview of Assessments
Year Assessments
Year 1 – Special Benefit
Assessments
$1,615,471.62
Year 1- City General
Benefit
$75,399
Year 2 – Special Benefit
Assessments
$1,214,674.99
Year 2 - City General
Benefit
$54,208
Year 1 = 18 months
FY to Calendar Year
City Council/RSA Agenda 192 Tuesday, July 8, 2025
Public Hearing Overview
• Open Public Hearing for Public Comment; deadline for
receiving ballots
• Close Public Hearing
• CC Recess while City Clerk Tabulates ballots
• City Council adopts Resolution Confirming Ballot Tabulation • If no Majority Protest exists, the City Council adopts Resolution to Renew the PBID for a Five- Year Term
City Council/RSA Agenda 193 Tuesday, July 8, 2025
Council Recommendation
City Council/RSA Agenda 194 Tuesday, July 8, 2025
Staff recommends:
• The City Council hold the Public Hearing, then have the City Clerk tabulate the assessment ballots
• Upon assessment ballot tabulation, staff recommends
the City Council adopt a resolution declaring the results of the ballot tabulation
• If a majority protest does not exist, adopt a resolution renewing the PBID and levying and collecting
assessments for FY 25/26
City Council/RSA Agenda 195 Tuesday, July 8, 2025
Agenda Item
DATE: 7/8/2025
TO: HONORABLE MAYOR AND CITYCOUNCIL
FROM: JOAN MALLOY, CITYMANAGER
SUBJECT: ADOPT A RESOLUTION AUTHORIZING THE CITY MANAGER TO SUBMIT AN ALLOCATION REQUEST TO THE METROPOLITAN TRANSPORTATION COMMISSION (MTC) FROM THE REGIONAL MEASURE 3

DUMBARTON CORRIDOR IMPROVEMENTS PROGRAM AND ACCEPTING ALAMEDA COUNTY TRANSPORTATION COMMISSION’S DESIGNATION OF THE CITY OF UNION CITY AS IMPLEMENTING AGENCYFOR QUARRYLAKES PARKWAY, CITYPROJECT NO. 18-04

EXECUTIVE SUMMARY
Staff recommends that the City Council adopt a resolution authorizing the City Manager to submit an allocation request to the Metropolitan Transportation Commission (MTC) from the Regional Measure 3 Dumbarton Corridor Improvements Program and accepting Alameda County Transportation Commission’s designation of the City of Union City as Implementing Agency for the Quarry Lakes Parkway, City Project No. 14-14.

STRATEGIC PLAN ALIGNMENT
This agenda item is in alignment with the following:

Goal C, Strategy 2: Economic, Community Development and Public Safety – Facilitate the build out of the greater Station District Area through the construction of the Quarry Lakes Parkway, upgrades to the BART Station and completion of the Pedestrian Rail Crossing and the sale and development to of City-owned land.

Goal D, Strategy 2: Environmental Sustainability and Infrastructure – Implement the City’s capital improvement plan.

BACKGROUND
The Metropolitan Transportation Commission (MTC), a regional planning agency, has been designated as the federal Metropolitan Planning Organization (MPO) and the state Regional Transportation Planning Agency (“RTPA”) for the San Francisco Bay Area. At designated times, MTC receives available regional, state and federal funds as an MPO and RTPA, and, in turn, provides these funds to local agencies for planning and programming transportation, transit, land use, or other projects relevant to MTC or its statutory purposes (the “Project” or “Projects”).

To solve the Bay Area’s growing traffic congestion problems, voters in 2018 approved Regional Measure 3 (RM 3) to finance $4.45 billion for highways and transit improvements through a one dollar increase in tolls for the region’s seven (7) state-owned toll bridges, including the San Francisco-Oakland Bay Bridge, the San Mateo-Hayward Bridge, the Dumbarton Bridge, the Richmond-San Rafael Bridge, the BeniciaMartinez Bridge, the Carquinez Bridge and the Antioch Bridge. The previous toll measures approved by voters in the nine Bay Area counties - Alameda, San Francisco, San Mateo, Santa Clara, Contra Costa, Napa, Marin, Solano and Sonoma -- included Regional Measure 1 (RM 1) in 1988 and Regional Measure 2 (RM 2) in 2004. The Dumbarton Express, which provides regional transit service for the residents of Alameda County to the jobs in San Mateo County, has received operating and capital improvement funds through these past toll measure programs.

However, there has not been significant funding for local projects to improve the east-west commute along the Dumbarton Corridor or Decoto Road, a High Injury Network (HIN) in SouthernAlameda County, from these past toll measures.

City Council/RSA Agenda 196 Tuesday, July 8, 2025
The Regional Measure 3 Expenditure Plan has identified a list of corridor improvements under Corridor- Specific Capital Projects. Under the South (San Mateo-Hayward, Dumbarton) list of projects, $130 million has been programmed for the Dumbarton Corridor Improvement (see Attachment 1 for the RM 3 Expenditure Plan).

The statute description for the Dumbarton Corridor Improvement states:
“Funding planning, environmental review, design and construction of capital improvements with the Dubarton Bridge and rail corridors in the Counties of Alameda and San Mateo to relieve congestion, increase person throughput, and offer reliable travel times. Eligible projects include, but not limited to, the projects recommended in the Dumbarton Corridor Transportation Study and improvements to facilitate rail and transit connectivity among the Altamont Commuter Express, Capitol Corridor and Bay Area Rapid Transit, including rail connection at the Shinn Station. The project sponsors are the Bay Area Toll Authority, Alameda County Transportation Commission, San Mateo County Transit District and the San Mateo County Transportation Authority.” The Dumbarton Corridor Transportation Study, completed in 2017, discussed the proposed Dumbarton Rail Corridor service connecting Caltrain in San Mateo County to BART at the Union City BART Station in Alameda County. In 2019, San Mateo County Transit District (SamTrans) partnered with Facebook on the Dumbarton Rail Corridor (DRC) Study to review and evaluate alignments and types of rail modes for connecting San Mateo County to Alameda County along the Dumbarton- Decoto Corridor. This study was put on hold in 2021 and has not been completed.

MTC’s Southern Alameda County Integrated Rail Study (SoCo Rail), Phase 2, completed in 2023, has recommended the proposed “Shinn Station” option at the Union City Intermodal Station, which currently serves BART, AC Transit, Dumbarton Express, Union City Transit, and potential future ACE service.

DISCUSSION
In early 2023, with guidance from Mayor and MTC Commissioner Carol Dutra-Vernaci, the southern Alameda County cities of Fremont and Newark, as well as AC Transit and Alameda County Transportation Commission (Alameda CTC), began identifying potential capital improvement projects along or parallel to the Dumbarton-Decoto Road corridor that were ready for construction within the next five years.

The Quarry Lakes Parkway Project and the BART At-Grade Pedestrian Crossing Project clearly meet the statute language for the RM 3, Dumbarton Corridor Improvement program funds. Also, these projects are identified in Alameda CTC’s Countywide Transportation Plan (CTP) and MTC’s Plan BayArea (PBA) 2050 Plus.

In early 2023, Union City submitted the initial project information to Alameda CTC and MTC, requesting $25.0 million for Quarry Lakes Parkway and $3.0 million for the BART At-Grade Pedestrian Crossing for their review and comments. In February 2024, MTC met with project sponsors to review and discuss all potential projects under consideration.

On June 24, 2024, at the MTC Commission Meeting, the Commission unanimously approved the staff recommendation for programming $130 million to projects inAlameda and San Mateo County with $72.0 million for specific projects in Fremont, Newark and Union City (see Attachment 2 for the MTC Dumbarton Corridor Programming Presentation and Attachment 3 for the MTC’s Updated Resolution No. 4411 for the Dumbarton Corridor Improvement Program).The MTC action approved the award of a total of $28.0 million to Union City projects, including $25.0 million for Quarry Lakes Parkway and $3.0 million for the Union City BART East Entrance and At-Grade Crossing as noted on Slide 4 of the Presentation.

On September 10, 2024, City Council adopted Resolution No. 6360-24, authorizing the City Manager to submit an Allocation Request to the Metropolitan Transportation Commission from the Regional Measure 3 Dumbarton Corridor Improvements Program, in the amount of $3,000,000 ($3.0 million), and accepting Alameda County Transportation Commission’s designation of the City of Union City as Implementing Agency for the Union City BART East Entrance and At-Grade Pedestrian Crossing Project, City Project No. 14-14. On February 11, 2025, the City Council adopted Resolution No. 2025-020, accepting $3 million from the Regional Measure 3 Dumbarton Corridor Improvement Program of the Metropolitan Transportation Commission for Union City BART East Entrance and At-Grade Pedestrian Crossing Project, City Project No. 14-14, increasing the revenue projections in the Capital Projects Fund by $3.0 million and appropriating $3.0 million to Project No. 14-14.

On January 14, 2025, City Council adopted Resolution No. 2025-007, authorizing the City Manager to submit an Allocation Request to the Metropolitan Transportation Commission from the Regional Measure 3 Dumbarton Corridor Improvements Program, in the amount of $3,507,000, and accepting Alameda County Transportation Commission’s designation of the City of Union City as Implementing Agency for the Quarry Lakes Parkway, City Project No. 18-04. Staff is presenting a new resolution to supersede Resolution No. 2025-007, one that will enable the City to request the entire grant award of $25.0 million of the Regional Measure 3 Dumbarton Corridor Improvements Program funds. The purpose of requesting the entire $25.0 million now is to meet MTC funding deadlines and to demonstrate full funding for Quarry Lakes Parkway Phase 1 (Mission Boulevard to 7
th Street) and Phase 2 (Caltrans/Gateway property).

On June 24, 2025, the City Council adopted Resolution No. 2025-087, authorizing the City Manager to execute Amendment No. 3 to the City Council/RSA Agenda 197 Tuesday, July 8, 2025
Alameda County Transportation Commission (Alameda CTC) Project Funding Agreement (PFA) No. A22-0053 to accept an additional $3,995,000, for a total PFA of $8,996,191, for the Final Design of Phase (Segment) 2 for the Quarry Lakes Parkway (East West Connector) Project, City Project No. 18-04. This amendment will allow the Consultant, Mark Thomas and Company, to prepare Final Plans, Specifications and Estimate (PS&E) by summer of 2026 for advertisement and award by late 2026/early 2027.

The critical funding requirements of the Regional Measure 3 Dumbarton Corridor Improvement Program dictate that all the projects be approved for funding by the cities, by Alameda CTC and by MTC before December 31, 2025, followed by construction in the following years. Project funding signs must be placed at the limits of the project area during construction.

To meet the MTC funding requirements, the City proposes to use $20.0 million for the environmental off-site mitigation contract; $1.5 million for the Quarry Lakes Parkway, Phase 1; and $3.5 million for Quarry Lakes Parkway, Phase 2, totaling $25.0 million of the Regional Measure 3 Dumbarton Corridor funds programmed specifically for Union City and Quarry Lakes Parkway.

The environmental off-site mitigation contract is required because of the impacts to existing wetlands, riparian areas, species, and waters. These impacts are due to the realignment of the Line M Flood Control Channel and the disturbance of existing wetlands area in Quarry Lakes Parkway, Phase 1, and the construction of new outfall structures along Old Alameda Creek in Quarry Lakes Parkway, Phase 2. All the regulatory permits must be approved before completion of the 95% PS&E Submittal to allow the permit conditions to be included in the Final PS&E before the City can advertise the project for construction. The City is currently coordinating with the Regional Water Quality Control Board (RWQCB) to approve the requirements of the environmental off-site mitigation work. InApril 2025, RWQCB agreed on the proposed off-site mitigation site at Manning Ranch in the foothills of the Livermore Valley area. This environmental off-site mitigation construction is scheduled to begin late 2025 and should be completed by end 2026.

The construction cost for Quarry Lakes Parkway, Phase 1, is estimated at $41.3 million. Phase 1 includes the relocation of the Corp Yard security wall to accommodate the new alignment of the Line M Flood Control Channel and acquisition of approximately a quarter of the Corp Yard property. Also, the construction will be an inconvenience to the daily Public Works operations, Union City Transit and Dumbarton Express operations and their fleet parking area located in the southern area of the yard. The $1.5 million of the Regional Measure 3 Dumbarton Corridor funds for Quarry Lakes Parkway, Phase 1, will be used to pave the southern area of the Corporation Yard in advance of the Phase 1 construction to facilitate the construction of Quarry Lakes Parkway and minimize the impact on UC Transit, Dumbarton Express, and the daily operations of Public Works. The advance construction contract is anticipated to begin by the Spring of 2026 and should be completed by the end of 2026.

The remaining $3.5 million of the Regional Measure 3 Dumbarton Corridor funds will be used for the construction of Quarry Lakes Parkway, Phase 2, estimated at $42.1 million. The construction of Phase 2 is scheduled to begin late 2026 and should be completed by the end of 2028.

Union City is required to submit an Allocation Request package to MTC for RM 3, Dumbarton Corridor Improvement program funds, including the attached resolution formatted to MTC’s specifications for the Quarry Lakes Parkway, City Project No. 18-04. The Allocation Request package will be initially submitted to MTC in July 2025 for their initial review and comments before formal submittal to Alameda CTC for approval. Alameda CTC anticipates Committee and Commission approvals in September 2025, followed by MTC board approval in October 2025.

FISCAL IMPACT
Union City will coordinate with Alameda CTC and MTC staff to finalize the allocation request package, which will be part of the MTC’s Project Funding Agreement. Once we receive the executed Project Funding Agreement, expected around October 2025, staff will request the City Council to accept the $25,000,000 and increase the Capital Improvement budget of the Quarry Lakes Parkway, City Project No. 18-04, by this new grant amount.

There is no impact to the General Fund.

RECOMMENDATION
Staff recommends that the City Council adopt a resolution authorizing the City Manager to submit an allocation request to the Metropolitan Transportation Commission (MTC) from the Regional Measure 3 Dumbarton Corridor Improvements Program and accepting Alameda County Transportation Commission’s designation of the City of Union City as Implementing Agency for the Quarry Lakes Parkway, City Project No. 14-

14. Prepared by:

MarilouAyupan, Public Works Director
City Council/RSA Agenda 198 Tuesday, July 8, 2025
Submitted by:

MarilouAyupan, Public Works Director
ATTACHMENTS:

Description Type
Attachment 1 - RM3 Expenditure Plan Attachment
Attachment 2 - MTCRM3 Dumbarton ProgramRecommendation Presentation Attachment Attachment 3 - MTCUpdated Resolution No. 4411 Attachment Draft Resolution Resolution
ExhibitA - RM3 Dumbarton: Initial Project Report (IPR) Form Exhibit Exhibit B– RM3 Dumbarton: Funding Plan Exhibit
Exhibit C– RM3 Dumbarton: Request forAllocation Form Exhibit Exhibit D- RM3 Dumbarton: Cash Flow Plan Exhibit
PowerPoint Presentation Attachment
City Council/RSA Agenda 199 Tuesday, July 8, 2025
REGIONAL MEASURE 3 EXPENDITURE PLAN ($ in millions)
All- Corridor Annual Operating Program
All Corridors
Transbay Terminal 5
Ferries (Funding ramps up to $35 million over five years) 35 Regional Express Bus 20
Annual Operating Program Total $ 60
Regional Programs
BART Expansion Cars 500
Bay Area Corridor Express Lanes 300
Ferry Enhancement Program 300
Goods Movement and Mitigation 160
San Francisco Bay Trail / Safe Routes to Transit 150
Capitol Corridor 90
Next Generation Clipper Transit Fare Payment System 50
Regional Programs Subtotal (35%) $ 1,550
Corridor-Specific Capital Projects
Central (San Francisco-Oakland Bay Bridge)
Caltrain Downtown Extension 325
Muni Fleet Expansion and Facilities 140
Core Capacity Transit Improvements 140
AC Transit Rapid Bus Corridor Improvements 100
Transbay Rail Crossing 50
Interstate 80 Transit Improvements 25
Central Subtotal (27%) $ 780
South (San Mateo-Hayward, Dumbarton)
BART to San Jose Phase 2 375
Tri-Valley Transit Access Improvements 100
Eastridge to BART Regional Connector 130
San Jose Diridon Station 100
Dumbarton Corridor Improvements 130
Highway 101/State Route 92 Interchange 50
Interstate 680/SR 84 Interchange Reconstruction 85
Interstate 680/Interstate-880/Route 262 Freeway Connector 15 South Subtotal (34%) $ 985
North (Richmond-San Rafael, Benicia-Martinez, Carquinez, Antioch) Contra Costa 680/State Route 4 Interchange Improvements 210 U.S. 101 Marin-Sonoma Narrows 120
Solano County Interstate 80/Interstate 680/State Route 12 Interchange Project 150 Interstate 80/Westbound Truck Scales 105
State Route 37 Improvements 100
Sonoma-Marin Area Rail Transit District (SMART) Extension to Windsor & Healdsburg 40 San Rafael Transit Center 30
Richmond-San Rafael Bridge Access Improvements 210
North Bay Transit Access Improvements 100
SR 29 Improvements 20
East Contra Costa County Transit Intermodal Station 15
Byron Highway-Vasco Road Airport Connector 10
Vasco Road Safety Improvements 15
Interstate 680 Transit Improvements 10
North Subtotal (39%) $ 1,135
Corridor-Specific Capital Projects Subtotal (65%) 2,900 Capital Projects Grand Total 4,450

OPERATING PROGRAM

CAPITAL PROJECTS
City Council/RSA Agenda 200 Tuesday, July 8, 2025
RM3 Capital Programming for
Dumbarton Corridor Improvements
MTC Commission Meeting
June 24, 2024
Updated Version
City Council/RSA Agenda 201 Tuesday, July 8, 2025
Language in RM3 Statute
• Project Title and Amount: Dumbarton Corridor Improvements, $130 million • Scope: Fund planning, environmental review, design, and construction of capital improvements within Dumbarton Bridge and rail corridor in the Counties of Alameda and San Mateo to relieve congestion, increase person throughput, and offer reliable travel times.
• Eligible projects include, but are not limited to, the projects recommended in the Dumbarton Corridor Transportation Study and improvements to facilitate rail and transit connectivity among the Altamont Corridor Express, Capitol Corridor, and Bay Area Rapid Transit District, including a rail connection at Shinn Station.
• Project sponsors: Bay Area Toll Authority, Alameda County Transportation Commission, the San Mateo County Transit District, and the San Mateo County Transportation Authority
2 City Council/RSA Agenda 202 Tuesday, July 8, 2025
Distribution Principles

1. Geographic and Sponsor Balance
• 25% each to be designated by Alameda County, San Mateo County, and BATA
• 25% to be competitive

2. Retaining purchasing power of RM3

3. Reduce congestion in the corridor

4. Consistency with Plan Bay Area and regional policies 3 City Council/RSA Agenda 203 Tuesday, July 8, 2025
Staff Proposal
4 PROJECT

IMPLEMENTING
AGENCY ALA - $32.5M BATA - $32.5M SM - $32.5M
Competitive
Funding - $32.5 M Total RM3 Funding

UNION CITY BART EAST ENTRANCE AND AT GRADE
CROSSING UNION CITY $ 3,000,000 $ 3,000,000

DECOTO ROAD COMPLETE STREETS FREMONT
I-880/DECOTO INTERCHANGE MODERNIZATION FREMONT
QUARRY LAKES PARKWAY UNION CITY $ 18,300,000 $ 6,700,000 $ 25,000,000 THORNTON AVENUE COMPLETE STREETS & BAY TRAIL NEWARK $ 15,000,000 $ 15,000,000 DUMBARTON BRIDGE TO QUARRY LAKES TRAIL FREMONT $ 10,800,000 $ 10,800,000 SAN MATEO DUMBARTON BUSWAY SAMTRANS $ 5,000,000 $ 5,000,000 101/84 INTERCHANGE REIMAGINED RWCity/SMCTA $ 10,000,000 $27,500,000 $ 10,500,000 $ 48,000,000 DUMBARTON FORWARD OPERATIONAL IMPROVEMENTS BATA $ 5,000,000 $ 5,000,000 TOTAL $ 32,500,000 $ 32,500,000 $32,500,000 $ 32,500,000 $ 130,000,000 *General condition: Projects programmed below must submit allocation requests consistent with the RM3 Policies and Procedures, including an adopted board resolution and updated Initial Project Report that demonstrates full funding commitments for the requested project phase. If these are not submitted by December 31, 2025, MTC staff will request a project update for the Commission and could recommend deprogramming the funds.

PROGRAMMING RECOMMENDATIONS *
$ 11,200,000 $ 7,000,000 $ 18,200,000
City Council/RSA Agenda 204 Tuesday, July 8, 2025
Recommendation and Next Steps
• MTC Resolution No. 4411,
Revised – approve initial
programming as outlined today
• Staff will bring proposed
allocations to Commission for
consideration on a rolling basis
as projects are ready, in
accordance with RM3 Policies
and Procedures
6 City Council/RSA Agenda 205 Tuesday, July 8, 2025
Appendix -- Project Detail
7 City Council/RSA Agenda 206 Tuesday, July 8, 2025
Union City BART East
Entrance and
At-Grade Crossing
Project Sponsor City of Union City
Scope New East entrance to Union
City BART station, at-grade
UPRR crossing, other area
pedestrian improvements
RM3 Funding
Amount
$3M (Alameda)
RM3 Phase CON
Total Cost $8.4M
Schedule Begin construction 2024, open
summer 2025
8 City Council/RSA Agenda 207 Tuesday, July 8, 2025
Decoto Road Multimodal Complete Streets
Project Sponsor City of Fremont
Scope Between I-880 Interchange and
Alameda Creek Trail, dedicated
transit lanes and multipurpose
paths each direction, two
protected intersections,
upgraded signals and lighting
RM3 Funding
Amount
Up to $18.2M total
($11.2M Alameda, $7M
Competitive)
RM3 Phase PS&E, ROW, CON
Total Cost $46.8M
Schedule* Begin final design 2024, open
spring 2027
Note: This project may be phased. Schedule is shown for Phase 1, which would focus on a two-way gapclosing cycle track along the north side, and pavement rehabilitation. Phase 1 estimated cost is $10.5M. 9 City Council/RSA Agenda 208 Tuesday, July 8, 2025
I-880/ Decoto Road Interchange Modernization
Project
Sponsor
City of Fremont
Scope Multipurpose trail and
dedicated transit lanes
through intersection
RM3 Funding
Amount
TBD (Portion of $18.2M
not dedicated to Decoto
Road Complete Streets)
RM3 Phase TBD
Total Cost $24.5M
Schedule Funding dependent; could
start construction 2026
If alternate funding for the Decoto Road Complete Streets project is found, RM3 allocations may be recommended for the I-880/ Decoto Interchange Modernization project so that the continuous active transportation and bus priority improvements may be made throughout this corridor. 10 City Council/RSA Agenda 209 Tuesday, July 8, 2025
Quarry Lakes Parkway
Project Sponsor City of Union City
Scope Construct a new four-lane
multimodal, local street with a
landscape median, buffer bike
lanes and a separated
continuous multi-use trail from
Mission Blvd (SR 238) in Union
City to Paseo Padre in Fremont
RM3 Funding
Amount
$25M total
($18.3M Alameda, $6.7M
BATA)
RM3 Phase ROW, CON
Total Cost* $211.8M
Schedule* Begin construction 2025, open
end of 2028
Note: Costs and schedule shown for Phases 1-3.
11 City Council/RSA Agenda 210 Tuesday, July 8, 2025
Thornton Avenue Multimodal
Complete Streets
Project Sponsor City of Newark
Scope3-phase multimodal access
improvements between SR-84
and I-880 in Newark, including
Old Town Streetscape and
Complete Streets and Thornton
Ave Complete Streets (Hickory
St to Gateway Blvd)
RM3 Funding
Amount
$15M, competitive
RM3 Phase PS&E, CON
Total Cost* $36.8M
Schedule* Phased; construction beginning
2025-2028, segments opening
2026-2029
12 City Council/RSA Agenda 211 Tuesday, July 8, 2025
Dumbarton Bridge to Quarry Lakes Trail
Project Sponsor City of Fremont
Scope Segment 2 of trail, extending
from SR 84 toll plaza to
Ardenwood Transit Center,
including existing toll plaza
overcrossing
RM3 Funding
Amount
$10.8M, BATA
RM3 Phase PS&E, ROW, CON
Total Cost $10.8M
Schedule Construction beginning 2026,
opening 2028
13 City Council/RSA Agenda 212 Tuesday, July 8, 2025
101/84 Interchange Reimagined
Project Sponsor Redwood City, San Mateo County
Transportation Authority
Project US 101/84 Interchange Reimagined
• Significant safety improvements
• 4.21 Miles of new bike/ped
• Improved access for transit shuttles from RWC
Caltrain to Port and access to planned WETA
ferry terminal
RM3 Funding
Amount*
$48M
RM3 Phase CON
Total Cost $321M
Schedule Construction start in 2027
14 City Council/RSA Agenda 213 Tuesday, July 8, 2025
San Mateo Dumbarton Busway
Project Sponsor Dumbarton Corridor Transitway
Scope Business Case
RM3 Funding
Amount
$5 Million
RM3 Phase Pre-environmental
Total Cost $150 Million (estimated total
project cost)
Schedule Construction beginning in 2029
15 City Council/RSA Agenda 214 Tuesday, July 8, 2025
BATA Programming/
Dumbarton Forward
Operational Improvement Project
Project Sponsor BATA and others as to be defined
Scope Proposed Part-time Bus only Lane on San
Mateo County side of Dumbarton Bridge;
funding may also be recommended for
further transit improvements and Bay Trail
improvement studies
RM3 Funding Amount $5M, BATA ($5M in RM2 is also dedicated to Dumbarton Forward)
RM3 Phase CON
Total Cost $26M
Schedule Construction completion summer 2026
16 City Council/RSA Agenda 215 Tuesday, July 8, 2025
Date: March 25, 2020
W.I.: 1258
Referred by: PAC
Revised: 05/27/20-C 06/23/21-C
07/28/21-C 11/16/22-C
06/26/24-C

ABSTRACT
MTC Resolution No. 4411, Revised
This resolution establishes programming for Regional Measure 3 (RM3) capital projects sponsored or co-sponsored by MTC or BATA.

This resolution includes the following attachments:

Attachment A – Goods Movement and Mitigation Program of Projects Attachment B – Bay Area Corridor Express Lanes Program of Projects Attachment C – North Bay Transit Access Improvements Program of Projects Attachment D – Dumbarton Corridor Improvements Program of Projects This resolution was revised on May 27, 2020 by Commission Action to add Attachment B – Bay Area Corridor Express Lanes Program of Projects.

This resolution was revised on June 23, 2021 by Commission Action to add Attachment C – North Bay Transit Access Improvements Program of Projects.

This resolution was revised on July 28, 2021 by Commission Action to amend Attachment B – Bay Area Corridor Express Lanes Program of Projects.

This resolution was revised on November 16, 2022 by Commission Action to amend Attachment A – Goods Movement and Mitigation Program of Projects.

This resolution was revised on June 26, 2024 by Commission Action to add Attachment D – Dumbarton Corridor Improvements Program of Projects, and to amend Attachments B and C to conform to programming and allocation actions taken by the Commission, including the addition of funds to the Bay Area Corridor Express Lanes program and further specification of a separate programming and allocation resolution for county programs under the North Bay Transit Access Improvements program.

Additional discussion of this allocation is contained in the Executive Director’s memorandum and MTC Programming and Allocations Committee Summary sheet dated March 11, 2020, May 13, 2020, June 9, 2021, July 14, 2021, November 9, 2022, and June 12, 2024, and the Commission summary sheet dated June 24, 2024.

City Council/RSA Agenda 216 Tuesday, July 8, 2025
Date: March 25, 2020
W.I.: 1258
Referred by: PAC
Re: Programming of Regional Measure 3 Capital Projects Sponsored or Co-Sponsored by MTC or BATA

METROPOLITAN TRANSPORTATION COMMISSION
RESOLUTION No. 4411
WHEREAS, pursuant to Government Code Section 66500 et seq., the Metropolitan Transportation Commission (“MTC”) is the regional transportation planning agency for the San Francisco Bay Area; and
WHEREAS, Streets and Highways Code Sections 30950 et seq. created the Bay Area Toll Authority (“BATA”) which is a public instrumentality governed by the same board as that governing MTC; and
WHEREAS, on June 5, 2018, a special election was held in the City and County of San Francisco, and the Counties of Alameda, Contra Costa, Marin, Napa, San Mateo, Santa Clara, Solano, and Sonoma (individually, each a “County” and, collectively, the “Counties”) to approve a toll increase of three dollars ($3.00) phased in over time, including a one dollar ($1.00) toll increase on January 1, 2019, a one dollar ($1.00) toll increase on January 1, 2022, and a one dollar ($1.00) toll increase on January 1, 2025, for vehicles traveling on the state-owned bridges located in the San Francisco Bay Area (“Regional Measure 3”); and
WHEREAS, on September 26, 2018, the Bay Area Toll Authority (“Authority”) adopted Resolution No. 126 accepting certified statements from the Registrar of Voters of the City and County of San Francisco and each of the Counties and observing that a majority of all voters voting on Regional Measure 3 (“RM3”) at such special election voted affirmatively for RM3; and WHEREAS, on December 19, 2018, the Authority adopted Resolution No. 128 adopting a toll schedule phasing in the toll increase approved pursuant to RM3, effective on January 1, 2019; and WHEREAS, RM3 establishes the RM3 Expenditure Plan and identifies specific capital projects and programs and operating programs eligible to receive RM3 funding as identified in Sections 30914.7(a) and (c) of the California Streets and Highways Code; and WHEREAS, BATA shall fund the projects of the RM3 Expenditure Plan by bonding or transfers to MTC; and
City Council/RSA Agenda 217 Tuesday, July 8, 2025
MTC Resolution No. 4411