Watsonville City Council
January 13, 2026

LEE ROAD TRAIL PHASE 2 PLANNING

submerged portion of Lee Road to destinations including Pajaro Valley High School. Project partner Watsonville Wetlands Watch will work with the City on community engagement for the proposed project, as well as later phases of the overall Lee Road Trail Project. This will include incorporating the City’s volunteer and work experience programs into maintenance and restoration of nearby wetlands.

3. Project benefits will be sustainable or resilient over the project lifespan.

The project includes completion of design and permitting for a segment of trail spanning the portion of Lee Road submerged under Struve Slough. The bridge will allow for the trail to continue to be used in the case of further sea level rise. The trail will be built from pervious concrete to allow water to be absorbed and percolated into the ground. To reduce the effects of erosion, the surrounding landscaping will be native plants. A maintenance plan developed by the City and CDFW will be implemented post-construction to ensure the trail remains in good condition.

4. Project delivers multiple benefits and significant positive impact.

The Phase 2 segment of the Lee Road Trail Project is the piece necessary to providing pedestrian and bicycle access from central Watsonville to the destinations north of Struve Slough, including the Pajaro Valley High School, Watsonville Slough Farm, and a CDFW Reserve.

Providing pedestrian and bicycle access will help to reduce greenhouse gas emissions from cars.

In addition, the Struve Slough bridge will be designed to accommodate emergency vehicles. As part of the overall Lee Road Project, a Conceptual Mitigation Plan will be developed and implemented to restore wetlands in the area and project partner Watsonville Wetlands Watch will utilize their workforce development training program for the implementation of the plan, providing community volunteers, local youth, and students with workforce experience.

5. Project planned with meaningful community engagement and broad community support.

Aspects of the Lee Road Trail Project reflect community priorities, such as the connection of Lee Road to the open spaces of the Watsonville Slough Farm and the Pajaro Valley High School.

Construction funding for Phase 1 was secured with the support of Congressman Panetta.

For Phase 2 planning, the proposed project will engage the community and local tribes such as the Amah Mutsun Tribal Band to envision and design the art that will be displayed on the side of the Struve Slough bridge. Community engagement will be held at public events and at meetings in City facilities. Materials will be provided in English and Spanish. To facilitate participation, childcare and/or food may be provided. The City will partner with Watsonville Wetlands Watch’s workforce development program as part of the planning and outreach for this project. Other project supporters include the Land Trust of Santa Cruz County and Santa Cruz County Parks.

PROJECT FINANCING
Coastal Conservancy $1,068,300
City of Watsonville $100,000
Exhibit B: Staff Recommendation
Attachment 2

LEE ROAD TRAIL PHASE 2 PLANNING

Project Total $1,168,300
The anticipated source of Conservancy funds for this recommended grant is an appropriation from the Safe Drinking Water, Water Quality and Supply, Flood Control, River and Coastal Protection Bond Act of 2006, Public Resources Code Section 75001 et seq. (Proposition 84).

Proposition 84 authorizes the use of bond funds for projects that promote access to and enjoyment of the coastal resources of the state and are consistent with the Conservancy’s enabling legislation, Division 21 of the Public Resources Code.

Public Resources Code Section 75060(e) allocates funds to the Conservancy for the protection of Monterey Bay and its watersheds. “Protection,” as defined in Public Resources Code Section 75005(m), includes “actions necessary to allow the continued use and enjoyment of property or natural resources and includes acquisition, development, restoration, preservation and interpretation.” “Development” is defined in Public Resources Code § 75005(f)) to include physical improvement of real property.

Consistent with these provisions, the project will plan a multiuse trail segment that will enable access to natural resources and increase the understanding and enjoyment of the natural resources in the Pajaro River watershed, a watershed of Monterey Bay. The project is consistent with the Conservancy’s enabling legislation, as discussed in the “Consistency with Conservancy’s enabling legislation” section below. The proposed project is thus consistent with the funding requirements of Proposition 84.

The City of Watsonville’s funds are expected to go towards project management. Unless specifically identified as “Required Match,” the other sources of funding and in-kind contributions described above are estimates. The Conservancy does not typically require matching funds or in-kind services, nor does it require documentation of expenditures from other funders or of in-kind services. Typical grant conditions require grantees to provide any funds needed to complete a project.

CONSISTENCY WITH CONSERVANCY’S ENABLING LEGISLATION:

The proposed project is consistent with Chapter 9 of Division 21 of the Public Resources Code (Sections 31400-31410), regarding public access and enjoyment of coastal resources. Section 31400 states that the Conservancy shall have a principal role in the implementation of a system of public accessways to and along the state’s coastline. Section 31409 authorizes the Conservancy to provide grants for public agencies to establish and expand inland trail systems that may be linked to the California Coastal Trail. The recommended authorization is for the Conservancy to grant funds to a public agency, the City of Watsonville, to develop plans for a segment of trail that will connect into nine miles of existing inland recreational trails, as well as connect to the future MBSST Rail Trail, which will provide a connection from Watsonville and Pajaro to the California Coastal Trail.

Exhibit B: Staff Recommendation
Attachment 2

LEE ROAD TRAIL PHASE 2 PLANNING

CONSISTENCY WITH CONSERVANCY’S 2023-2027 STRATEGIC PLAN:

Consistent with Goal 1.1 Benefit Excluded Communities, the proposed project will plan for a trail connection in Watsonville, a historically excluded community.

Consistent with Goal 1.3 Support Meaningful Engagement by Systemically Excluded Communities, art and interpretive information along the proposed trail and bridge will be developed in collaboration with local community members and tribes.

Consistent with Goal 2.4 Trails Planned, the project will complete planning and design for a 0.5 mile segment of trail.

CEQA COMPLIANCE:

On March 12, 2021, the County of Santa Cruz adopted the Lee Road Trail Project Initial Study/Mitigated Negative Declaration (IS/MND) and Mitigation Monitoring and Reporting Program (MMRP) and approved the Lee Road Trail Project. The project will complete the designs and permit applications for a component of the Lee Road Trail Project analyzed in the IS/MND. Staff concurs that there is no substantial evidence that the Lee Road Trail Project will have a significant effect on the environment.

Staff notes a discrepancy between the MND’s estimate of the Phase 2 segment length (0.42 miles) and the 0.5-mile length described in this staff recommendation. This inconsistency appears to stem from the October 2020 Biotic Assessment prepared by EcoSystems West Consulting Group. The Biotic Assessment includes a Table 1 summarizing proposed project characteristics and construction estimates that distributes trail segment lengths among the three phases. The MND relies on Table 1 from Biotic Assessment. These trail lengths are inconsistent with the actual length of trail considered during the grantee’s Phase 1 activities.

Nonetheless, staff concludes that this discrepancy does not affect the adequacy of the environmental review, because the MND contemplates potential impacts across the full 1.4 length of the Lee Road Trail Project.

The IS/MND identified potentially significant environmental effects in the areas of Biological and Cultural Resources. With the Lee Road Trail Project’s incorporated mitigation measures, summarized below, these environmental effects will be less than significant.

Biological Resources
Construction activities, including tree and vegetation removal within or adjacent to sloughs, could have significant temporary impacts on several special status species such as California Red-Legged Frog (CRLF), Western Pond Turtle, and San Francisco dusky-footed woodrat, as well as nesting birds and roosting bats. These temporary impacts include potential direct harm or mortality, and reduction or degradation of habitat. Additionally, construction of the bridge will require dewatering of Struve Slough for up to 3 to 4 months. During that time, wetlands habitat will likely be displaced or permanently impacted. Alternate passage for CRLF and other species will be possible but could expose them to greater predation risk. Finally, once constructed, the Lee Road Trail Project would introduce an increase in pedestrian, bicycle, and vehicle use in the Exhibit B: Staff Recommendation
Attachment 2

LEE ROAD TRAIL PHASE 2 PLANNING

area, as well as introduce the possibility for increased unauthorized access (such as illegal encampments), which could have impacts on these species and habitats as well.

Mitigation Measures BIO-1a-1h identify several best management practices for avoiding and minimizing impacts to CRLF during construction, including: 1a) biologist-prepared construction monitoring plan and map identifying all areas to be protected with exclusion fencing; 1b) biologist-led training for construction personnel to help them avoid impacts; 1c) installation and maintenance of exclusion fencing in those areas determined in Bio-1a); 1d) timing construction activities within and adjacent to the nearby CDFW Reserve, Struve Slough, and Watsonville Slough to the dry season and avoiding work at night or during rain events; 1e)-1f) onsite biological monitoring for and removal/relocation of species as necessary; 1g) appropriate treatment of all excavations to prevent inadvertent entrapment of wildlife; and 1h) appropriate storage and handling of trenches, pipes, culverts and other materials to ensure no wildlife has entered into them before use in construction.

Mitigation Measure BIO-2 has the City retain a biologist to develop a Conceptual Mitigation Plan (CMP) to minimize take of CRLF and degradation of its habitat during trail operation. The CMP will include the following components: 2a) identification and mapping of current and potential CRLF habitat with and adjacent to the CDFW Reserve, proposed Struve Slough Bridge crossing, and channelized Watsonville Slough; 2b) strategies to protect those areas from take or degradation; 2c) biologist monitoring of habitat to confirm protective maintenance measures are being implemented; 2d) adaptive management strategies to modify and/or supplement existing mitigation measures as needed; 2e) humane removal of non-native predators; and 2f) the communication protocol for local law enforcement and public works representatives to enforce parking restrictions and how to alert the appropriate parties if illegal encampments or other degradation of habitat is observed. For efficiency, the CMP for CRLF could be integrated with the CMP required as part of Mitigation Measures BIO-7 and BIO-10, described below.

Mitigation Measures BIO-3a-3f identify practices to protect nesting birds, including: 3a) performing vegetation removal outside of the avian breeding season when feasible; 3b) conducting biologist-led surveys within 15 days prior to construction activities with 3c) no additional measures required if no nesting avian species are observed; 3d) if nesting birds are observed during surveys, then postponing vegetation removal until young have fledged and/or establishing buffers; 3e) developing possible additional protective measures in consultation with the appropriate agency for any sensitive bird species nesting near the Lee Road Project area; and 3f) avoiding destruction of burrowing mammals. Mitigation Measure BIO-3g) details practices to minimize impacts specifically to burrowing owls. Measures include surveying by a burrowing owl biologist and placement of visible markers near occupied burrows and fencing around suitable habitat; avoiding the destruction of burrows; and including the burrowing owl in the training described in Mitigation Measure BIO-1b.

Mitigation Measure BIO-4 will minimize impacts to San Francisco dusky-footed woodrats through preconstruction surveys, avoidance of woodrat houses, and, if avoidance is not possible, development of a plan by a biologist in coordination with CDFW to relocate woodrat houses.

Exhibit B: Staff Recommendation
Attachment 2

LEE ROAD TRAIL PHASE 2 PLANNING

Mitigation Measure BIO-5a-5b identify practices to protect roosting bats. 5a) will reduce impacts to roosting bats by conducting tree limbing and removal between September 15- November 1 to avoid maternity roosts and winter hibernacula. 5b) calls for pre-construction surveying to determine whether bats are using the site for roosting and, if found, developing exclusion methods with CFDW recommendations; establishing buffers around trees with maternity colonies; and taking precautions when limbing or removing trees that aren’t confirmed to have roosting bats but are known habitat for them.

Mitigation Measures Bio-6a-6l outline practices to protect sensitive habitat during construction, including: a) minimizing the construction footprint; b) staging equipment in appropriate areas and c) ensuring activities are confined to those staging areas; d) within the CDFW Reserve, accessing the trail alignment from the Lee Road side as much as possible; e) fencing off coastal scrub and other sensitive habitats to prevent encroachment; f) avoiding grubbing and construction within 100 feet of the edge of sensitive habitats; g) restricting and minimizing access roads into Struve Slough; h) cleaning equipment effectively to avoid introducing or spreading invasive plant species from prior projects; i) revegetating any coastal scrub or arroyo willow riparian forest that is removed so there is no net loss, and using locally-sourced native plantings; j) upon completion, planting outside the Lee Road Trail Project footprint with native species; k) removing invasive species in and around the Lee Road Trail Project footprint; and l) re-vegetating with locally-sourced native plantings as needed.

Mitigation Measure Bio-7 has the City retain a biologist to develop a Conceptual Mitigation Plan (CMP) to compensate for the loss of non-native grassland buffer and minimize degradation of sensitive habitats during trail operation. The CMP will be developed in consultation with CDFW, Watsonville Wetlands Watch, and the Land Trust of Santa Cruz County and will include the following components: a) strategies to protect sensitive habitat from the degradation associated with trail operations; b) monitoring of sensitive habitat and developing adaptive management strategies in case degradation of habitat is detected; and c) a communication protocol for local law enforcement and public works representatives to immediately alert the appropriate parties in the event that illegal encampments or other degradation of sensitive habitats are observed. For efficiency, this CMP could be integrated with the CMP required as part of Mitigation Measures BIO-2 and BIO-10.

Mitigation Measures Bio-8a-8b detail how to protect wetlands during construction by a) avoiding or minimizing disturbance to emergent wetlands and aquatic habitats and b) avoiding grubbing and construction within 100 feet of the edge of wetlands and other waters, plus restricting access roads into Struve Slough and overall minimizing access roads.

Mitigation Measure Bio-9 requires the City in coordination with a biologist to replace and/or enhance any displaced wetlands at a ratio between 2:1 and 4:1. The size and location of the wetland would be developed in the Conceptual Mitigation Plan (see next).

Mitigation Measure Bio-10 requires the City to retain a biologist to develop a Conceptual Mitigation Plan (CMP) for wetlands habitat. The CMP will be developed in consultation with USFWS, CDFW, Regional Water Quality Control Board and Watsonville Wetlands Watch and will include the following components: a) a description of the Lee Road Trail Project with acreage of temporary and permanent impacts to sensitive habitats; b) the goals of the compensatory Exhibit B: Staff Recommendation
Attachment 2

LEE ROAD TRAIL PHASE 2 PLANNING

mitigation activities; c) the location and acreage of wetland and riparian mitigation areas; d) detailed construction and planting techniques; e) a plan for replacement in kind of fresh water marsh vegetation temporarily or permanently lost; f) a plan for replacement of all non-native tree and shrub vegetation with locally-sourced vegetation; g) description and design of habitat requirements for special-status wildlife occupying wetland and aquatic habitats; h) maintenance activities during the monitoring period; i) strategies for protecting the habitat values of the CDFW Reserve, Struve Slough, and Watsonville Slough; j) long-term quantitative and qualitative monitoring and reporting criteria; and k) adaptive management strategies to ensure the long-term viability of mitigation areas. For efficiency, this CMP could be integrated with the CMP required as part of Mitigation Measures BIO-2 and BIO-7.

Mitigation Measure Bio-11a-11b call for measures to compensate for the loss of trees and native vegetation that will occur as a result of the construction of the Struve Slough Bridge:
11a) calls for the southern approach to the Struve Slough Bridge to be revegetated with native vegetation; and 11b) calls for native trees to be planted as a component of Mitigation Bio-7 described above.

Cultural Resources
A records search found that the Lee Road Trail Project area overlaps with several cultural resources, but the only one found to have potential significant impacts from the Lee Road Trail Project is the Costanoan-Ohlone Cemetery Site. However, given the presence of multiple known pre-contact and historic period sites in and within a half-mile of the Lee Road Trail Project area, there is a possibility that additional unknown buried sites exist.

Mitigation Measures CR-1a-1d specify pre-construction measures to protect cultural resources:
a) Conducting a pre-construction meeting prior to any site disturbance that includes all relevant parties, including construction supervisor(s), project Archaeologist, and Native American Monitor.
b) Keeping the project Archaeologist and Native American Monitor on site during all ground-disturbance activities.
c) Preparing a Construction Monitoring Plan for Cultural Resources and Human Remains. d) Preparing an Archaeological Treatment Plan to be implemented during all ground disturbance activities, including archaeological testing, which details: the specific locations and methods for pre-construction archaeological testing; provisions for the preferred route of avoidance and preservation of resources; the methods to identify, evaluate, and treat any discoveries; notification procedures for the discover of archaeological resources and human remains; and the preferred method of treatment if disturbance is unavoidable. e) Training all construction personnel on cultural sensitivity.

Mitigation Measure CR1-f specifies the steps to be followed if archaeological resources and/or human remains are discovered in the course of construction. These include stopping work, Exhibit B: Staff Recommendation
Attachment 2

LEE ROAD TRAIL PHASE 2 PLANNING

calling the County coroner and contacting the Native American Most Likely Descendent to inspect the site and provide recommendations for the proper treatment of the site.

With implementation of the Lee Road Trail Project’s mitigation measures, environmental effects to biological and cultural resources will be less than significant. Staff recommends that the Conservancy find that the Lee Road Trail Project as mitigated avoids, reduces or mitigates the potentially significant environmental effects to a level of less-than-significant and that there is no substantial evidence that the Lee Road Trail Project will have a significant effect on the environment.

Upon approval of the project, Conservancy staff will file a Notice of Determination.

Exhibit B: Staff Recommendation
Attachment 2

1 Reso No. ______ (CM)
Meeting Date: 011326 SWZ ______ TV ______ PWU ______
RESOLUTION NO. ________(CM)

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE ACCEPTING THE $1,068,300 GRANT AWARD FROM THE STATE

COASTAL CONSERVANCY TO FUND THE DESIGN FOR THE LEE ROAD TRAIL PHASE 2 PROJECT; AUTHORIZING CITY MANAGER TO EXECUTE ALL REQUIRED FORMS AND AGREEMENTS TO RECEIVE THE GRANTS;

AND APPROPRIATING SUCH FUNDS TO THE SPECIAL GRANTS FUND (0260)
WHEREAS, the Legislature of the State of California has established the State Coastal Conservancy (“Conservancy”) under Division 21 of the California Public Resources Code, and has authorized the Conservancy to award grants to public agencies and nonprofit organizations to implement the provisions of Division 21; and WHEREAS, the Conservancy awards grants for projects that it determines are consistent with Division 21 of the Public Resources Code and with the Conservancy’s Strategic Plan and that best achieve the Conservancy’s statutory objectives, in light of limited funding; and
WHEREAS, at its September 18, 2025 meeting, the Conservancy adopted a resolution authorizing a grant to the City of Watsonville (“grantee”) for the Lee Road Trail Phase 2 Planning (“the project”). The resolution was adopted by the Conservancy pursuant to and is included in the Conservancy September 18, 2025 staff recommendation, a copy of which is on file with the grantee and with the Conservancy; and
WHEREAS, the Conservancy requires that governing body of the grantee certify through a resolution that it approves the award of Conservancy grant funding and authorizes the execution by a representative of the grantee of a grant agreement on terms and conditions required by the Conservancy grant agreement number G-25-010.

2 Reso No. (CM)
Meeting Date: 011326

NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF WATSONVILLE, CALIFORNIA, AS FOLLOWS:

1. Approves the award of grant funding in the amount of $1,068,300 dollars from the Conservancy for the project; and

2. Acknowledges that it has or will have sufficient funds to complete the project and, if any property is acquired as part of the project to operate and maintain the property, and, if any facilities are constructed as a part of the project, to operate and maintain the facilities for a reasonable period, not less than the useful life of the facilities; and

3. Agrees to be bound by all terms and conditions of the grant agreement and any other agreement or instrument as may be required by the Conservancy and as may be necessary to fulfill the terms of the grant agreement and to complete the project; and

4. Authorizes City Manager, Tamara Vides or her designee to act as a representative of the grantee, to negotiate and execute on behalf of the grantee all agreements and instruments necessary to complete the project and to comply with the Conservancy's grant requirements, including, without limitation, the grant agreement:

Tamara Vides, City Manager or her designee; and

5. Accepts the $1,068,300 dollars grant from the Conservancy for the design, permitting, community engagement and artistic elements for the Lee Road Trail Phase 2 project; and

6. On March 12, 2021, the County adopted a mitigated negative declaration for the Lee Road Trail project. No changes to the mitigated negative declaration are necessary and no further analysis is required. Accepting additional grant funds proposes no changes to the project that would require additional environmental analysis, and none of the conditions described in CEQA Guidelines Section 15162 for the preparation of a

3 Reso No. (CM)
Meeting Date: 011326
subsequent EIR have been met, No substantial changes involving new significant environmental effects or a substantial increase in the severity of previously identified significant effects are proposed, and there has been no change in circumstances. There is no new information about the project that could not have been known at the time of the original project approval that indicates any new significant environmental effects or effects that will be substantially more severe, nor are there new mitigation measures that would substantially reduce one or more significant effects on the environment, or mitigation measures previously found to be infeasible that would, in fact, be feasible and would substantially reduce one or more significant effects of the project. Therefore, nothing further is required under CEQA.

7. That $1,068,300 dollars be appropriated to the Special Grants Fund (0260), and a new project be created in the Capital Improvement Program, Titled, “Lee Road Trail Phase 2 Design and Permitting”.
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1 CITY COUNCIL AGENDA REPORT
MEETING DATE: Tuesday, January 13, 2026
TO: CITY COUNCIL
WRITTEN BY: ASSISTANT PUBLIC WORKS & UTILITIES DIRECTOR GREEN RECOMMENDED BY: PUBLIC WORKS & UTILITIES DIRECTOR LINDBERG APPROVED BY: TAMARA VIDES, CITY MANAGER
SUBJECT: ACCEPT FUNDS FROM EPA COMMUNITY GRANT CONSOLIDATED APPROPRIATION FOR FISCAL YEAR 24 IN THE AMOUNT OF $959,752

AND APPROVE SECOND AMENDMENT TO CAROLLO ENGINEERS

HEADWORKS DESIGN CONTRACT ADDING REQUIRED FEDERAL GRANT TERMS
RECOMMENDATION:

1. Adopt a resolution accepting grant funding from the Environmental Protection Agency (EPA) Community Grant program awarded in the California Consolidated Appropriation for Fiscal Year 24 from District 18 (Lofgren) in the amount of $959,752 for the City of Watsonville Wastewater Treatment Facility; appropriate such funds to the Special Grants Fund (0260); and authorize City Manager to apply for and execute all required forms and agreements to receive the grant funds.

2. Adopt a resolution approving a no-cost second amendment to Carollo Engineer’s contract for the Headworks & Influent Pump Station Project engineering design to add all required grant funding terms to the contract and authorize and direct City Manager to execute the amendment.

BACKGROUND:

The City of Watsonville received an appropriation “earmark” in the California Consolidated Appropriation for Fiscal Year 24 through District 18 (Lofgren). The appropriation is administered through the EPA Community Grant program which requires further action from the City to receive these funds. The grant funds will be applied to the Headworks & Influent Pump Station project design which requires a contract amendment to include the required federal grant terms.

DISCUSSION:

2 In order for the City to receive the appropriated funds, staff must submit an application and complete all necessary forms and documentation required to receive the EPA Community Grant program disbursement in the amount of $959,752. It is therefore recommended that Council accept the grant funds by appropriating the grant amount to the Special Grants Fund (0260) and authorize City Manager to execute all required forms and agreements to receive the grant disbursement.

The grant is appropriated specifically for the City of Watsonville Wastewater Treatment Facility (WWTF).

The grant funds will be applied to the WWTF’s upcoming Headworks & Influent Pump Station Improvements project, and more specifically to the engineering design which is nearly complete.

To that end, federal funding requires specific language to be included in all contracts that receive federal funding in accordance with Appendix II to Part 200, Title 2 of the Code of Federal Regulations. Council awarded the design contract to Carollo Engineers for the design of the Headworks & Influent Pump Station on December 12, 2023 (Resolution 236-23 CM). At the time, the City had not received the federal grant award and therefore did not include the required federal grant terms in the contract.

Therefore, the staff recommends that the Council approve the Second Amendment to the contract with Carollo Engineers, which adds no cost to the existing $1,792,738 contract but adds the language required by 2 CFR Appendix II.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION:

Accepting a grant and a resolution approving a Second Amendment to a design contract with Carollo Engineers, Inc. is exempt from the requirements of the California Environmental Quality Act (CEQA) in accordance with CEQA Guidelines Section 15378 (b)(5) in that the actions do not meet CEQA’s definition of a “project” because the actions do not have the potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment.

No action on the construction of the Headworks & Influent Pump Station Improvements project is being taken in this agenda item. When the project construction is brought before Council for consideration, any CEQA actions specific to the construction project will be addressed at that time.

STRATEGIC PLAN:

These actions are consistent with the following strategic plan goals:

Fiscal Health
Infrastructure & Environment
FINANCIAL IMPACT:

The receipt of grant funds will reduce the cost of the Headworks & Influent Pump Station design by $959,752 which is approximately half of the total design cost. There is no financial impact to approving

3 the Second Amendment as it only adds federal contract terms but does not modify the design scope or fee.

ALTERNATIVE ACTION:

No reasonable alternatives are currently known. The grant funds will help reduce the burden of the Headworks & Influent Pump Station project on the City’s sewer rate payers.

ATTACHMENTS AND/OR REFERENCES (IF ANY):

None.

1 Reso No. ______ (CM)
Meeting Date: 011326 SWZ ______ TV ______ PWU ______
RESOLUTION NO. ________(CM)

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE ACCEPTING THE $959,752 GRANT AWARD TO FUND THE DESIGN FOR

THE HEADWORKS AND INFLUENT PUMP STATION IMPROVEMENTS
PROJECT; AND DIRECTING SUCH FUNDS BE APPROPRIATED TO THE SPECIAL GRANTS FUND (0260) APPROVING THE GRANT OF FUNDS

FROM THE ENVIRONMENTAL PROTECTION AGENCY COMMUNITY

GRANT PROGRAM FUNDED BY THE FEDERAL CALIFORNIA
CONSOLIDATED APPROPRIATION FOR FY 24 AND AUTHORIZE CITY

MANAGER TO APPLY FOR AND EXECUTE ALL REQUIRED FORMS

AND AGREEMENTS TO RECEIVE THE GRANT FUNDS
WHEREAS, the City of Watsonville has received a federal appropriation “earmark” from the California Consolidated Appropriation for Fiscal Year 24 from California District 18 (Lofgren), in the amount of $959,752; and
WHEREAS, federal appropriations to local communities are managed by the Environmental Protection Agency (EPA) Community Grant Program; and WHEREAS, the federal appropriation is specific to the City of Watsonville Wastewater Treatment Facility; and
WHEREAS, Council must take action to receive any grant funds and appropriate them into the Special Grant Funds (0260) budget.

NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF WATSONVILLE, CALIFORNIA, AS FOLLOWS:

1. This action is exempt from the requirements of the California Environmental Quality Act (CEQA) in accordance with CEQA Guidelines Section 15378(b)(5), in that adopting a Resolution accepting grant funds does not meet CEQA's definition of a “project,” because the action does not have the potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment and if a “project,” is exempt under the “common sense” exception (14

2 Reso No. (CM)
Meeting Date: 011326
Cal. Code Regs. § 15061(b)(3)) because it can be seen with certainty that there is no possibility that this action may have a significant effect on the environment.

2. Approves the receipt of grant funding awarded in the amount of $959,752 dollars from the EPA Community Grant program for the City of Watsonville Wastewater Treatment Facility; and

3. Authorizes City Manager, Tamara Vides or her designee to act as a representative of the grantee, to negotiate and execute on behalf of the grantee all agreements and instruments necessary to complete the project and to comply with the grant requirements, including, without limitation, the grant agreement; and

4. That $959,752 dollars be appropriated to the Special Grants Fund (0260) for the Headworks and Influent Pump Station project design (project #14410). **********************************

1 Reso No. ______ (CM)
Reference: Reso No’s 236-23 (CM) and 180-24 (Amend)
Meeting Date: 011326 SWZ ______ TV ______ PWU ______
RESOLUTION NO. (CM)

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WATSONVILLE APPROVING SECOND AMENDMENT TO CONTRACT

BETWEEN THE CITY OF WATSONVILLE AND CAROLLO ENGINEERS,
INC., A CORPORATION, FOR HEADWORKS AND INFLUENT PUMP

STATION ENGINEERING DESIGN TO ADD ALL REQUIRED FEDERAL
GRANT FUNDING TERMS TO THE CONTRACT; AND AUTHORIZING

AND DIRECTING THE CITY MANAGER TO EXECUTE SAME
WHEREAS, on December 12, 2023, Council adopted Resolution No. 263-23 (CM) awarding a Contract for engineering design services to Carollo Engineers, Inc., a corporation, for engineering services for the Headworks & Influent Pump Station design in amount not to exceed $1,709,629; and
WHEREAS, on September 10, 2024, Council adopted Resolution No. 180-24 (CM) approving a first amendment to the contract, adding to the scope of work, amending the compensation to increase the contract amount by $83,109 for a revised total amount not to exceed $1,792,738; and
WHEREAS, the City received federal grant funds that can be applied to the cost of the design contract; and
WHEREAS, at the time of award, the required federal grant contract terms were not included in the contract with Carollo Engineers; and WHEREAS, a Second Amendment to the contract with Carollo Engineers adding the federal grant terms required by 2 CFR Part 200 Appendix II is necessary to apply the grant funds to the design contract costs.

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF WATSONVILLE, CALIFORNIA, AS FOLLOWS:

2 Reso No. ______ (CM)
Reference: Reso No’s 236-23 (CM) and 180-24 (Amend)
Meeting Date: 011326

1. This action is exempt from the requirements of the California Environmental Quality Act (CEQA) in accordance with CEQA Guidelines Section 15378(b)(5), in that adopting a Resolution approving Second Amendment to Contract with Carollo Engineers, Inc. does not meet CEQA's definition of a “project,” because the action does not have the potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment and if a “project,” is exempt under the “common sense” exception (14 Cal. Code Regs. § 15061(b)(3)) because it can be seen with certainty that there is no possibility that this action may have a significant effect on the environment.

2. This Second Amendment to Contract between the City of Watsonville and Carollo Engineers, Inc., a corporation, a copy of which Second Amendment is attached hereto and incorporated herein by this reference is hereby approved.

3. The City Manager is hereby authorized and directed to execute said Second Amendment for and on behalf of the City of Watsonville with minor revisions that may be approved by the City Manager and the City Attorney.
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1 CITY COUNCIL AGENDA REPORT
MEETING DATE: Monday, January 13, 2025
TO: CITY COUNCIL
WRITTEN BY: ACCOUNTANT I GETREU
RECOMMENDED BY: ADMINISTRATIVE SERVICES DIRECTOR DURAN
APPROVED BY: TAMARA VIDES, CITY MANAGER
SUBJECT: FISCAL YEAR 2024/25 DEVELOPMENT IMPACT FEE REPORT FOR THE CITY OF WATSONVILLE FOR FY ENDED JUNE 30, 2025
RECOMMENDATION:

It is recommended that the City Council accept by resolution, the Development Impact Fee Report for the City of Watsonville for FY ended June 30, 2025.

BACKGROUND:

State law requires the Cities to prepare an annual Development Impact Fee (DIF) Report, in accordance with AB 1600, the Mitigation Fee Act (Government Code §§ 66000-66025). AB 1600 imposes certain accounting and reporting requirements with respect to the fees. Fees must be separated into different funds and used only for the purposes for which the fees are collected. Government Code section 66006(b) requires the comprehensive report to include the following information for each fund:
 Brief description of the type of fee;
 Amount of the fee;
 Beginning and ending balances;
 Amount of the fees collected and interest earned;
 Identification of each public improvement on which fees were expended and the amount of the expenditures on each improvement, including the total percentage of the cost of the public improvement that was funded with fees;
 Identification of an approximate date by which the construction of the public improvement will commence if the local agency determines that sufficient funds have been collected to complete financing on an incomplete public improvement, as identified

2 in paragraph (2) of subdivision (a) of Section 66001, and the public improvement remains incomplete;
 An identification of each public improvement identified in a previous report pursuant to clause (i) and whether construction began on the approximate date noted in the previous report;
 (iii) For a project identified pursuant to clause (ii) for which construction did not commence by the approximate date provided in the previous report, the reason for the delay and a revised approximate date that the local agency will commence construction;  A description of each interfund transfer or loan made from the account or fund, including the public improvement on which the transferred or loaned fees will be expended, and, in the case of an interfund loan, the date on which the loan will be repaid, and the rate of interest that the account or fund will receive on the loan; and  The amount of refunds made pursuant to subdivision (e) of Section 66001 and any allocations pursuant to subdivision (f) of Section 66001.

Government Code section 66001 (d) provides that, for the fifth fiscal year following the first deposit into the fund and every five years thereafter, the local agency shall make findings with respect to any portion of the fee remaining unexpended, whether committed or uncommitted. The five-year findings must:
 Identify the purpose of the fee;
 Demonstrate a nexus between the fee and the purpose for which it was originally charged;
 Identify all sources and amounts of funding anticipated to complete financing of incomplete improvements along with the approximate dates on which the anticipated funding is expected to be deposited into the fund; and
 Designate the approximate dates on which the funding is expected to be deposited into the appropriate account or fund.

Government Code section 66013(d) requires the comprehensive report to include the following information for each Capacity Fee fund:
 A description of the charges deposited in the fund;
 The beginning and ending balance of the fund and the interest earned from investment of money in the fund;
 The amount of charges collected in that fiscal year;
 Each public improvement on which charges were expended and the amount of the expenditure for each improvement, including the percentage of the total cost of the public improvement that was funded with those charges if more than one source of funding was used;
 Each public improvement on which charges were expended that was completed during that fiscal year;

3  Each public improvement that is anticipated to be undertaken in the following fiscal year; and
 A description of each interfund transfer or loan made from the capital facilities fund. The information provided, in the case of an interfund transfer, shall identify the public improvements on which the transferred moneys are, or will be, expended. The information, in the case of an interfund loan, shall include the date on which the loan will be repaid, and the rate of interest that the fund will receive on the loan.

DISCUSSION:

With the City’s Finance Department finalizing the 2024/25 financial statements, staff were able to produce the 2024/25 Development Impact Fee Report (Attachment 1) for the Fiscal Year (FY) that ended June 30, 2025. The City imposes DIFs and Capacity Fees on new developments as a mechanism to mitigate impacts on public facilities and infrastructures created by development. Due to the City imposing DIFs and Capacity Fees, the City must produce annual reports as required by AB 1600. To satisfy the reporting requirement, the City drafted the 2024/25 Development Impact Fee Report (Attachment 1) for the Fiscal Year that ended June 30, 2025.

The City anticipates using fund balances on various projects, including but not limited to:

Park and Recreation:

Ramsay Park Renovations (ongoing), Recreation Center Building, City Plaza Restroom Facility Improvement (ongoing), Ramsay Park Restroom & Parking Lot Renovation, Ramsay Park Relocation (ongoing), Senior Center Repairs (ongoing)
Fire: Tiller Arial Quint, Fire Vehicle, Fire Engine
Street and Traffic: Bike Share Program, Pedestrian Improvements Downtown, LED Street Lighting Improvements, Fleet Study, HVAC System Improvements, Road Reconstruction, Main Street at Riverside (ongoing), Highway 1 and Harkins Slough Road Pedestrian Improvements(ongoing), General Underground Utilities Work, Underground Utilities Lake Ave (ongoing), Road and Traffic Upgrades Sewer Connection:

Sanitary Sewer Main Replacement Project (ongoing)
Water Connection:

Main Water Replacement Project (ongoing)
There were no interfund transfers or loans from these funds. As of June 30, 2025, all fees collected have been earmarked for current and future capital projects to maintain the current levels of service to serve new development.

4 CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION:

The preparation and submittal of the annual development impact fee report is not subject to CEQA, as the action is not a project as defined in Section 15378(b)(2) of the Public Resources Code, and therefore no further review is required.

STRATEGIC PLAN:

Fiscal Health
Housing
Infrastructure & Environment
FINANCIAL IMPACT:

There are no funds requested for this item.

ALTERNATIVE ACTION:

The City Council could choose not to receive the report. However, this would be in violation of Section 66006 of the California Government Code that requires the annual publishing of information contained in this report.

ATTACHMENTS AND/OR REFERENCES (IF ANY):

None.

1 Reso No. ______ (CM)
Meeting Date: 011326 SWZ ______ TV ______ Finance ______ RESOLUTION NO. (CM)

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE

REVIEWING AND ACCPETING ANNUAL DEVELOPMENT IMPACT FEE
REPORT FOR FISCAL YEAR ENDING ON JUNE 30, 2025, PURSANT TO CALIFORNIA GOVERNMENT CODE SECTION 66006
WHEREAS Government Code Section 66000 et seq., authorizes the City of Watsonville (City) to impose, collect, and expand impact fees to offset the impacts of development within the City, and
WHEREAS the City of Watsonville deposited all fees in separate noncommingled funds established for such a purpose; and WHEREAS the City has made available to the public within one hundred eighty (180) days following the last day of the fiscal year the annual accounting information (Annual Reports) required by Government Code sections 66001, 66006, and 66013 (the Mitigation Fee Act) related to each of the Fees; and
WHEREAS the City has mailed notice at least fifteen (15) days prior to this meeting to all interested parties who have requested notice of any meeting relative to the City’s imposition of the Fees.

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF WATSONVILLE, CALIFORNIA, AS FOLLOWS:

1. The City Council has considered the full record before it, which may include but is not limited to the staff report, testimony by staff and the public, and other materials and evidence submitted or provided to it. Furthermore, the recitals set forth above are found to be true and correct and are incorporated herein by reference.

2. In accordance with Government Code Section 66006(b)(2), the City Council has reviewed and approves the Annual Reports for each of the fees, which are

2 Reso No. ______ (CM)
Meeting Date: 011326
attached to this Resolution as Attachment 1 and are also placed on file with the City Clerk.
********************************

City of Watsonville Annual and Five-Year Report
Development Impact Fees Report
For Fiscal Year Ending June 30, 2025

Attachment 1

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Table Of Contents
Page
Overview and Legal Requirements ………………………......5
Affordable Housing Fee…………………………..……….…...10
Public Art Fee……………………………………………….…...17
Park Land Impact Fee…………………………………..……...20
Community Center/Recreation Impact Fee………………...22
Park Development………………………………………………24
Carbon Impact Fee……………………………….……….…....28
Green Valley Road/Freedom Impact Fee…………………...32
Industrial Park Traffic Impact Fee…………………………...34
Citywide Traffic Impact Fee…………………………………...36
Attachment 1

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Table Of Contents (Cont.)
Page
Pennsylvania Drive Impact Fee…………………….………...39
Crestview Impact Fee…………………………………………..41
Green Valley Corridor Traffic Impact Fee………….….…....43
East Highway 1 Area Traffic Impact Fee…………………....45
Struve Slough Bridge Traffic Impact Fee….….…………....47
Watsonville Slough Traffic Impact Fee……….….………....49
Errington Clifford Extension Impact Fee……….….……....51
Fire Impact Fee………………………………………………....53
Public Facilities……………………………………...………....56
Attachment 1

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Table Of Contents (Cont.)
Page
Storm Drainage Facilities Fee…………………….………...59
Zone 7 Storm Drainage Fee………………………….……...61
Errington Road South Benefit Impact Fee………….…....63
Impervious Area Impact Fee……………….…………..…...65
Westside Industrial Area…………………………….…..…..67
Area Outside Westside Industrial Area……………….......69
Underground Utility In-Lieu Fee……...………………..…..72
Manabe Ow Traffic Impact Fee………….…………….……75
Vehicle Miles Travel (VMT) In-Lieu Fee……………….......77
Attachment 1

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Table Of Contents (Cont.)
Page
Sewer Connection Fee………………………………………...80
Water Connection Fees……………………….…..…………..82
Interfund Transfers or Loans……………….…..……..……..85
Attachment 1

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City of Watsonville
Annual Mitigation Fee Act (AB 1600) Report on Development Impact Fees Five Year Report for Fiscal Years 2020/21 through 2024/25 Introduction

LEGAL REQUIREMENTS FOR DEVELOPMENT IMPACT FEE REPORTING California Government Code Section 66006 (b)
California Government Code Section 66006 (b) defines the specific reporting requirements for local agencies that impose AB 1600 Development Impact Fees (DIF) on new development.

Annually, for each separate fund established for the collection and expenditure of DIFs, the local agency shall, within 180 days of the close of the fiscal year, make available to the public the information shown below for the most recent fiscal year.

A) A brief description of the type of fee in the account or fund.

B) The amount of the fee.

C) The beginning and ending balance of the account or fund.

D) The amount of the fees collected, and interest earned.

E) An identification of each public improvement on which fees were expended and the amount of the expenditures on each improvement, including the total percentage of the cost of the public improvement that was funded with fees.

F)(i) An identification of an approximate date by which the construction of the public improvement will commence if the local agency determines that sufficient funds have been collected to complete financing on an incomplete public improvement, as identified in paragraph (2) of subdivision (a) of Section 66001, and the public improvement remains incomplete.

F)(ii) An identification of each public improvement identified in a previous report pursuant to clause (i) and whether construction began on the approximate date noted in the previous report.

F)(iii) For a project identified pursuant to clause (ii) for which construction did not commence by the approximate date provided in the previous report, the reason for the delay and a revised approximate date that the local agency will commence construction G) A description of each interfund transfer or loan made from the account or fund, including the public improvement on which the transferred or loaned fees will be expended, and, in the case of an interfund loan, the date on which the loan will be repaid, and the rate of interest that the account or fund will receive on the loan.

H) The amount of refunds made pursuant to subdivision (e) of Section 66001 and any allocations pursuant to subdivision (f) of Section 66001.

Attachment 1

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California Government Code Section 66001 (d)(1)
For all funds established for the collection and expenditure of DIFs, California Government Code
Section 66001 (d)(1) has additional requirements. For the fifth fiscal year following the first deposit into the fund and every five years thereafter, the local agency shall make all the following findings with respect to that portion of the fund remaining unexpended, whether committed or uncommitted:

A) Identify the purpose to which the fee is to be put.

B) Demonstrate a reasonable relationship between the fee and the purpose for which it is charged.

C Identify all sources and amounts of funding anticipated to complete financing in incomplete improvements identified in paragraph (2) of subdivision (a).

D) Designate the approximate dates on which the funding referred to in subparagraph (c) is expected to be deposited into the appropriate account or fund.

California Government Code Section 66013(d)
California Government Code Section 66006(b)(1) defines the specific reporting requirements for local agencies that impose Capacity Fees on new development. Annually, for each separate fund established for the collection and expenditure of Capacity Fees, the local agency shall, within 180 days of the close of the fiscal year, make available to the public the information shown below for the most recent fiscal year.
(1) A description of the charges deposited in the fund. (2) The beginning and ending balance of the fund and the interest earned from investment of moneys in the fund.
(3) The amount of charges collected in that fiscal year. (4) An identification of all of the following:
(A) Each public improvement on which charges were expended and the amount of the expenditure for each improvement, including the percentage of the total cost of the public improvement that was funded with those charges if more than one source of funding was used.
(B) Each public improvement on which charges were expended that was completed during that fiscal year.
(C) Each public improvement that is anticipated to be undertaken in the following fiscal year.
(5) A description of each interfund transfer or loan made from the capital facilities fund.

The information provided, in the case of an interfund transfer, shall identify the public improvements on which the transferred moneys are, or will be, expended. The Attachment 1

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information, in the case of an interfund loan, shall include the date on which the loan will be repaid, and the rate of interest that the fund will receive on the loan.

Attachment 1

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FIVE-YEAR REPORT AND FINDINGS
California Government Code Section 66001(d)(1) requires the City to make findings every fifth year with respect to that portion of each impact fee account that remains unexpended, whether encumbered to a specific project or remaining unencumbered in an impact fee fund. As of June 30, 2021, the five-year revenue tests (included as part of Table 9, Table 11, Table 13, Table 15, and Table 17) indicate that each of the City’s development impact fee funds has unexpended funds that have been held past the fifth year of first deposit. Therefore, the City is reporting the following findings relating to each of the fee programs. • 66001(d)(1)(A): Identify the purpose to which the fee is to be put. • 66001(d)(1)(B): Demonstrate a reasonable relationship between the fee and purpose for which it is charged.
• 66001(d)(1)(C): Identify all sources and amounts of funding anticipated to complete financing in incomplete improvements.
• 66001(d)(1)(D): Designate the approximate dates on which the funding is expected to be deposited into the appropriate account or fund.

Attachment 1

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DESCRIPTION OF IMPACT FEE
221-Affordable Housing Fees
Residential projects with fewer than 7 units and commercial/industrial developments exceeding 1,000 square feet of gross floor area are subject to an in-lieu fee. However, the developer of a residential project may elect to provide an affordable unit rather than paying the in-lieu fee.

The in-lieu fees collected pursuant to the Affordable Housing Ordinance are used to fund activities designed to support affordable housing. The amount of funds deposited into the Affordable Housing Fund is heavily dependent on a strong economy and local development activity. These funds can be used to help a wider range of income groups than federal and state programs generally finance. According to the City’s Affordable Housing Ordinance, moderate and above moderate-income households can receive program benefits. These funds can be used to increase the supply of affordable housing, improve the housing supply, and reduce the cost of housing.

There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on affordable housing measured by the number of units or square footage depending on the type of development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

AFFORDABLE HOUSING ORDINANCE - IN LIEU FEES
Residential
Single-Family detached $15,819.00 per unit
Accessory dwelling unit (14-46.050 exceptions) $0.00
Multi-Family (townhouses, co-op, condos all for sale) $7,911.00 per unit Commercial
0-1,000 sq. ft. $0.00 per sq. ft.
1,001 sq. ft. or more $3.95 per sq. ft.

Attachment 1

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STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

ACTIVITY SUMMARY

Project Name Project Description
FY24/25
Expenditures Project Cost
FY24/25 Impact Fee
Expenditures as of % of
Total Project Cost
Permanent Local Housing
Allocation (PLHA) Support for local affordable housing. $ 1,546,047.00 1,137,314.00 $ 73.6% Total Expenditures $ 1,137,314.00
Attachment 1

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Note: Revenues were collected during the fiscal year, and expenditures occurred in support of eligible housing-related programs and acƟviƟes. Remaining balances will conƟnue to be reserved for future affordable housing uses in accordance with applicable requirements.

The fund balance conƟnue to support affordable housing-related acƟviƟes consistent with the purpose of the fee. The use of the funds will conƟnue as affordable housing iniƟaƟves progress and resources become available, consistent with applicable program requirements.

ANTICIPATED FUTURE PROJECTS
Permanent Local Housing Allocation:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2023/24 ConstrucƟon status in FY 2024/25: Project acƟviƟes commenced as anƟcipated and remain ongoing: the project is not yet complete.

ExplanaƟon / Revised Date: ImplementaƟon of affordable housing acƟviƟes occurs over mulƟple fiscal years and is dependent on program administraƟon, funding availability, and coordinaƟon with housing delivery mechanisms. AcƟviƟes are expected to conƟnue as resources allow; no revised commencement date is required as the project is underway.

Permanent Local Housing:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2023/24 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Project is scheduled to begin in a future fiscal year, project implementaƟon remains dependent on planning, coordinaƟon, and funding availability; revised commencement date FY 2026/27.

Project Description Total Cost
Previous Fee
Expenditure
Anticipated Fee
Expenditure Additional Sources
Anticipated
Amount From
Additional
Sources
Approximate
Transfer Date
Once All Funds
Are Collected
Permanent Local Housing Allocation (In
Progress) $ 1,383,894.00 1,546,947.00 $ 163,053.00 $ None - Ongoing Project Description Total Cost
Previous Fee
Expenditure
Anticipated Fee
Expenditure Additional Sources
Anticipated
Amount From
Additional
Sources
Approximate
Transfer Date
Once All Funds
Are Collected
Permanent Local Housing (Future) $ N/A 328,000.00 328,000.00 $ None - FY 2026/27 Attachment 1

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DESCRIPTION OF IMPACT FEE
274-Public Art Fee
Developers have the option to commission public art on the development site or make a one-time in-lieu contribution to the City's public art account “Watsonville Cultural Fund.” Deposits to the Watsonville Cultural Fund account may be used for the commission, acquisition, and placement of public art throughout the Cit, and will be managed by the City's Parks and Community Services staff with guidance from the Public Art Advisory Committee. “Artwork” includes but is not limited to paintings, drawings, murals in any media, stained glass, statues, bas-relief or other sculptures, and any creation under “new genres” as defined herein; environmental artworks or public spaces; monuments, fountains, arches or other structures intended for ornament or commemoration; integrated and functional architectural, video and other media-based elements designed by a qualified artist. For projects that involve no structures, artwork may include a combination of landscape design, natural and manufactured materials including but not limited to rocks, fountains, reflecting pools, sculptures, screens, benches, and other types of street furniture, provided they have been designed by a qualified artist. Artwork may be of a permanent or temporary nature. The term “Artwork” also includes “Public Art” which is a process that results in the incorporation of original works of art by artists in publicly accessible spaces and which serves a socio-environmental function identifiable with people; is accessible to the mind and the eye; is integral to the site and responds to the concept of place making; is integrated with the work of other design professionals; is of high quality; serves the City by enhancing the quality of life for citizens and contributes to the City's prestige; and is unique to its moment in time and place.

There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on availability of public art measured by the building permit valuation of development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

WATSONVILLE PUBLIC ART PROGRAM ALLOCATION FEE
New Residential Development, Comercial, Indurstrial, and Public Development Projects involving 2,000 SF or more of new floor area with a building construction valuation of $500,000 or more shall be subject to pay .75% of building permit valuation and not more than $75,000.

Exterior and interior modifications and additions that include all remodeling of existing buildings of five or more units and all remodeling of existing commercial, industrial and public buildings exceeding $250,000 excluding rehabilitiation required for seismic safety shall be subject to pay .75% of building permit valuation and not more than $75,000.

Buildings designed and dedicated primarily to nonprofit performing arts spaces or museum uses shall not be required to meet the Watsonville Public Art Program Allocation requirement for as long as the performing arts or museum uses are maintained with these buildings.

Multiple building permits issued within a three-year period for a single project shall be considered in the aggregate in determining the Watsonville Public Art Program Allocation.

Attachment 1

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STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

ACTIVITY SUMMARY
Project Name Project Description FY24/25 Expenditures Project Cost FY24/25 Impact Fee
Expenditures as of % of
Total Project Cost
Public Art Master Plan
Project management &
development $ 93,181.10 $ 329,791.00 28%
Total Expenditures $ 329,791.00 93,181.10 $
Attachment 1

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Note: The fund received impact fee revenue during the fiscal year, and expenditures were made for public art planning acƟviƟes. AddiƟonal improvements will be pursued as sufficient funding becomes available.

The fund balance conƟnues to be held because the Public art Improvements for which the fees were collected remain necessary, and the unspent funds will be used for that purpose. Public art planning and implementaƟon remain ongoing capital acƟviƟes and are incomplete as of the fiscal year ended June 30, 2025. Progress is ongoing and the projects are expected to conƟnue through the next several fiscal years as capacity allows.

ANTICIPATED FUTURE PROJECTS
Public Art Master Plan:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2023/24 ConstrucƟon status in FY 2024/25: Project acƟviƟes commenced as planned and remain ongoing; implementaƟon is phased and incomplete.

ExplanaƟon / Revised Date: Public art planning and implementaƟon occur incrementally as opportuniƟes idenƟfied. No revised commencement date is required.

Project Description Total Cost
Previous Fee
Expenditure
Anticipated Fee
Expenditure Additional Sources
Anticipated
Amount From
Additional
Sources
Approximate
Transfer Date
Once All Funds
Are Collected
Public Art Master Plan $ 75,000.00 85,000.00 $ 10,000.00 $ None - FY 2023/24 Project Description Total Cost
Previous Fee
Expenditure
Anticipated Fee
Expenditure Additional Sources
Anticipated
Amount From
Additional
Sources
Approximate
Transfer Date
Once All Funds
Are Collected
Public Art Projects 261,641.10 $ 28,621.10 $ 233,020.00 $ None - FY 2025/26 Attachment 1

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Public Art Projects:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2024/25 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: InstallaƟon Ɵming is dependent on project selecƟon, coordinaƟon, and funding availability. ConstrucƟon is not anƟcipated to commence in FY 2025/26.

Attachment 1

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DESCRIPTION OF IMPACT FEE
276-Park Land Impact Fee
Since some residential development may not involve a subdivision of land, and the Quimby Act applies only to subdivisions (including parcel maps), it is useful to establish a park land impact fee that applies to residential development projects not involving a subdivision. Local governments in California provide a critical role in the effort to set aside parkland and open space for recreational purposes. Cities and counties are authorized to require developers to set aside land, donate conservation easements, or pay fees for park improvements. The fees must be paid or land conveyed directly to the local public agencies that provide park and recreation services communitywide. The fee is based on the cost of land in the community and a standard number of park acres per thousand residents. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on parklands measured by the square footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

PARK LAND & DEVELOPMENT IMPACT FEE (PER UNIT)
<600 SF $1,397.00 per unit
600-900 SF $2,438.00 per unit
>900-1200 SF $3,465.00 per unit
>1200-2100 SF $4,377.00 per unit
>2100 SF $4,845.00 per unit
Attachment 1

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STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)
Note: Revenues were received during the fiscal year; however, no expenditures occurred. Park land improvement projects require substanƟal findings and planning, and the fund balance is being accumulated to support future eligible acquisiƟons and improvements.

The fund balance conƟnues to be held because park land acquisiƟon and related improvements remain necessary to miƟgate development impacts, and the unspent funds will be used for that purpose. No expenditures occurred during the fiscal year ended June 30, 2025. Revenues will conƟnue accumulate unƟl adequate funds are available for eligible park land projects. The City anƟcipates iniƟaƟng addiƟonal project planning in an upcoming fiscal year as capacity allows.

Attachment 1

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ANTICIPATED FUTURE PROJECTS
Ramsay Park Renovations:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2022/23 ConstrucƟon status in FY 2024/25: ConstrucƟon commenced as anƟcipated and remains ongoing; the project is incomplete.

ExplanaƟon / Revised Date: Work is proceeding in phases based on available funding and construcƟon sequencing. No revised commencement date is required.

Project Description Total Cost
Previous Fee
Expenditure
Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate
Transfer Date
Once All Funds
Are Collected
Ramsay Park Renovations $ 74,143.00 31,972,039.00 $ 419,032.00 $ CA Local Assistance Specified
Grant, ARPA, CDBG Phase 1
Inclusive Playground, Prop 68
Per Capita Grant - Dog Park,
WSCT Funds, CIP, Bond $ FY 22/23 31,478,864.00
Attachment 1

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DESCRIPTION OF IMPACT FEE
277-Park Improvement Impact Fee
Because the park land in-lieu and impact fees cover only the cost of acquiring parkland, a park improvement impact fee is proposed to cover the cost of park improvements. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on parkland improvements measured by the square footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

PARK IMPROVEMENT IMPACT FEES (PER UNIT)
<600 SF $1,696.00 per unit
600-900 SF $2,961.00 per unit
>900-1200 SF $4,208.00 per unit
>1200-2100 SF $5,316.00 per unit
>2100 SF $5,884.00 per unit
Attachment 1

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Note: The fund received revenue during the year, but expenditures were not incurred for an acƟve project. The balance will be used to support future eligible park facility enhancements.

The fund balance conƟnues to be held because park improvement projects remain necessary to serve a new development and the unspent funds will be used for that purpose. The next phase of improvements has not yet been scheduled, but planning acƟviƟes will proceed once resources allow. Funds are expected to be expended within the next several fiscal years.

ANTICIPATED FUTURE PROJECTS
Ramsay Park Restroom & Parking Lot Renovation:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2024/25 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: The project has not yet commenced as it is being coordinated with related park improvements and border site improvements. Revised commencement date is FY 2025/26.

Project Description Total Cost
Anticipated Fee
Expenditure
Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate
Transfer Date
Once All Funds
Are Collected
Ramsay Park Restroom & Parking Lot
Renovation $ N/A 593,060.00 593,060.00 $ None - FY 2025/26 Attachment 1

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DESCRIPTION OF IMPACT FEE
278-Community Center and Recreation Facilities Impact Fee These impact fees are imposed to ensure that community centers and recreation facilities can serve future development in the City. The increase of development within the City leads to an increase in the use of community centers and recreation facilities. The purpose of the fee is to develop community and recreation infrastructure and programs to accommodate the increased use. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on community and recreational infrastructure and programs measured by the square footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

COMMUNITY CENTERS AND RECREATION FACILITIES IMPACT FEES (PER UNIT) <600 SF $234.00 per unit
600-900 SF $408.00 per unit
>900-1200 SF $579.00 per unit
>1200-2100 SF $732.00 per unit
>2100 SF $810.00 per unit
Attachment 1

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Note: Revenues were collected but there were no impact fee expenditures during the fiscal year; therefore, no capital improvement acƟvity occurred for this fund. Funds remain available for future eligible improvements consistent with the purpose of the fee.

The fund balance conƟnues to be held because community and recreaƟon center improvements remain necessary to meet the needs of new development and the unspent funds will be used for that purpose.

Project acƟvity has not yet advanced to the next acƟvity phase due to scheduling and staffing limitaƟons.

Funds will be expended once the project is iniƟated in the next several fiscal years.

ANTICIPATED FUTURE PROJECTS
Center Renovation:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2024/25 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: ConstrucƟon did not begin as the project remains scheduled to proceed in coordinaƟon with broader capital improvement and funding availability. Revised commencement date is FY 2025/26.

Project Description Total Cost
Previous Fee
Expenditure
Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate
Transfer Date
Once All Funds
Are Collected
Center Renovation $ N/A 124,001.00 124,001.00 $ None - FY 2025/26 Attachment 1

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DESCRIPTION OF IMPACT FEE
281-Park Development
Local governments in California provide a critical role in the effort to set aside parkland and open space for recreational purposes. Cities and counties have been authorized since the passage of the 1975 Quimby Act to pass ordinances requiring that developers set aside land, donate conservation easements, or pay fees for park improvements for subdivisions. Revenues generated through the Quimby Act cannot be used for the operation and maintenance of park facilities. The goal of the Quimby Act is to require developers to help mitigate the impacts of residential property improvements. The Act gives authority for passage of land dedication ordinances only to cities and counties. The fees must be paid and land conveyed directly to the local public agencies that provide park and recreation services communitywide. The fee is based on the cost of land in the community and a standard number of park acres per thousand residents. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on parklands measured by the square footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

PARK LAND & DEVELOPMENT IMPACT FEE (PER UNIT)
<600 SF $1,397.00 per unit
600-900 SF $2,438.00 per unit
>900-1200 SF $3,465.00 per unit
>1200-2100 SF $4,377.00 per unit
>2100 SF $4,845.00 per unit
Attachment 1

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STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

ACTIVITY SUMMARY
Note: The fund received revenue and supported expenditures related to park development improvements. The remaining balance will support future phases of the acƟve project and future eligible improvements consistent with the purpose of the fee.

The fund balance conƟnues to be held because park development improvements for which fees were collected remain necessary, and the unspent funds will be used for that purpose. Each project remains an acƟve capital improvement and is incomplete as of the fiscal year ended June 30, 2025. Staffing limitaƟons have delayed further progress; however, the City expects each project to move forward within the next several years, with expenditures occurring as work advances.

Project Name Project Description
FY24/25
Expenditures Project Cost
FY24/25 Impact Fee
Expenditures as of % of
Total Project Cost
City Plaza Restroom
Improvement
Consists of site improvements including City
building plumbing services $ 455,764.00 8,197.85 $ 1.8% Attachment 1

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ANTICIPATED FUTURE PROJECTS
City Plaza Restroom Improvement:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2022/23 ConstrucƟon status in FY 2024/25: ConstrucƟon commenced as anƟcipated and remains in progress.

ExplanaƟon / Revised Date: Project compleƟon is dependent on phased implementaƟon and funding; no revised commencement date is required.

Ramsay Park Relocation:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2022/23 ConstrucƟon status in FY 2024/25: ConstrucƟon commenced as anƟcipated and remains in progress.

ExplanaƟon / Revised Date: Project compleƟon is dependent on phased implementaƟon and funding; no revised commencement date is required
Project Description Total Cost
Previous Fee
Expenditure
Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate
Transfer Date
Once All Funds
Are Collected
City Plaza Restroom Improvement 455,764.00 $ 301,228.00 $ 154,536.00 $ CDBG 409,826.00 $ Ongoing Project Description Total Cost
Previous Fee
Expenditure
Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate
Transfer Date
Once All Funds
Are Collected
Ramsay Park Relocation $ - 306,952.00 $ 81,952.00 $ CDBG $ Ongoing 225,000.00 Project Description Total Cost
Previous Fee
Expenditure
Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate
Transfer Date
Once All Funds
Are Collected
Ramsay Park Renovations $ 83,528.00 714,613.00 $ 631,085.00 $ None - Ongoing Attachment 1

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Ramsay Park Renovations:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2022/23 ConstrucƟon status in FY 2024/25: ConstrucƟon commenced as anƟcipated and remains in progress.

ExplanaƟon / Revised Date: Project compleƟon is dependent on phased implementaƟon and funding; no revised commencement date is required.

Attachment 1

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DESCRIPTION OF IMPACT FEE
311- Carbon Impact Fee
The carbon impact fee is assessed on all applicable building projects to fund greenhouse gasreducing projects outlined in the Climate Action Plan. The carbon fund can only be used for projects that reduce greenhouse gas emissions, and the use of funds requires City Council approval. This fee is only charged to those additions and new construction that do not install carbon-reducing technology such as solar panels to offset the energy use created by the addition and/or new development. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on carbon emissions measured by the total building permit fees of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

CARBON FUND IMPACT FEE
Carbon fund fee is based on a percentage of the total building permit fees paid including engineering pan check and review fees. Building permit fees do not include planning permit fees, inspection fees, utility fees or impact fees.

New residential and nonresidential construction 50% of total building permit fee Multi family residential & nonresidential additions and alterations 30% of total building permit fee Single family residential additions of 500 SF or greater 30% of total building permit fee Attachment 1

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Note: There were no impact fee expenditures during the fiscal year; therefore, no capital improvement acƟvity occurred for this fund. The fund balance remains available for future eligible improvements consistent with the purpose of the fee.

The fund balance conƟnues to be held because improvements intended to offset carbon impacts from development remain necessary, and the unspent funds will be used for that purpose. Planned improvements require coordinaƟon and have yet reached implementaƟon. Funds are expected to be used within the next several fiscal years once planning acƟvity begins.

ANTICIPATED FUTURE PROJECTS
Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Bike Share Program $ N/A 929,105.00 929,105.00 $ None - FY 2025/26 Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
LED Street Lighting Improvements $ N/A 350,000.00 350,000.00 $ None - FY 2025/26 Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Fleet Study $ N/A 150,000.00 150,000.00 $ None - FY 2025/26 Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
HVAC System Improvements $ N/A 150,000.00 150,000.00 $ None - FY 2025/26 Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Pedestrian Improvements Downtown $ N/A 100,000.00 100,000.00 $ None - FY 2025/26 Attachment 1

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Bike Share Program:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2024/25 ConstrucƟon status in FY 2024/25: ConstrucƟon commenced as anƟcipated and remains in progress.

ExplanaƟon / Revised Date: Project compleƟon is dependent on construcƟon phases and coordinaƟon; no revised commencement date is required.

LED Street Lighting Improvements:

Prior AnƟcipated Commencement (FY 2023/24 Report): N/A
ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Project implementaƟon requires coordinaƟon, planning, and resource availability. ConstrucƟon anƟcipated commencement in FY 2025/26.

Fleet Study:

Prior AnƟcipated Commencement (FY 2023/24 Report): N/A
ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Project Timing was adjusted to align with funding and implementaƟon planning. ConstrucƟon anƟcipated commencement in FY 2025/26.

HVAC System Improvements:

Prior AnƟcipated Commencement (FY 2023/24 Report): N/A
ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: ImplementaƟon is dependent on project coordinaƟon and funding prioriƟzaƟon. ConstrucƟon anƟcipated commencement in FY 2025/26.

Attachment 1

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Pedestrian Improvements Downtown:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2025/26 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: ImplementaƟon is dependent on project coordinaƟon and funding prioriƟzaƟon; no revised commencement date is required.

Attachment 1

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DESCRIPTION OF IMPACT FEE
338- Green Valley Road/Freedom Boulevard Traffic Impact Fee.

One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. There is a reasonable relationship between the fee and the purpose for which it is imposed because the fee is calculated in proportion to the traffic impacts generated by new development on the Green Valley Road and Freedom Boulevard roadway system, as measured by development type and applicable trip generate rates as established in the adopted fee schedule.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)
Single Family detached 14 trips per unit $237.00 per trip Multi-Family (apartments, townhouses, co-op, condos) 10 trips per unit $237.00 per trip Non-Residential (remodel/addition) trips based on use $121.00 per trip Non-Residential (other) trips based on use $180.00 per trip Errington Road/Clifford Drive Corridor, East Highway 1 Area, Struve Slough Bridge Area, Watsonville Slough Area, Green Valley Road/Freedom Blvd Attachment 1

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Note: Revenue were received but no expenditures occurred during the current fiscal year. Fund remains reserved for future road reconstrucƟon work.

The fund balance conƟnues to be held because roadway reconstrucƟon improvements remain necessary to serve new development, and the unspent funds will be used for that purpose. The project requires extensive coordinaƟon, and the subsequent phase has not been scheduled. Funds are expected to be expended within the next several fiscal years as the project advances.

ANTICIPATED FUTURE PROJECTS
Road Reconstruction – Green Valley / Freedom Blvd Roadway:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2024/25 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Project iniƟaƟon is dependent on funding availability and coordinaƟon with broader transportaƟon improvements. Revised commencement is FY 2026/27.

Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Improvements - Green Valley / Freedom Blvd
Roadway $ N/A 108,174.00 108,174.00 $ None - FY 2026/27 Attachment 1

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DESCRIPTION OF IMPACT FEE
339- Industrial Park Traffic Impact Fee.

One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. Area affected is the Airport Industrial Park and Freedom Industrial Park. Improvements include traffic lights at (1) Airport Blvd, (2) Nielson Street, (3) Hangar Way or widening of Airport Boulevard and Larkin Valley Road. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on Airport industrial Park and Freedom Industrial Park traffic, measured by the lineal footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

INDUSTRIAL PARK AREA
Fee imposed upon parcels of $0.135 per square foot of land area composing such parcel.

Attachment 1

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Note: There were no impact fee expenditures during the fiscal year; therefore, no capital improvement acƟvity occurred for this fund. The fund balance remains available for future eligible improvements consistent with the purpose of the fee.

The fund balance conƟnues to be held because transportaƟon improvements serving Industrial Park area remain necessary to address development-related impacts, and the unspent funds will be used for that purpose. The Ɵming of future improvements is dependent on available resources and coordinaƟon with broader capital planning efforts. Funds will be used once appropriate transportaƟon work is ready to proceed.

ANTICIPATED FUTURE PROJECTS
The Industrial Park Traffic Impact Fee Fund currently has no other capital projects in development.

Attachment 1

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DESCRIPTION OF IMPACT FEE
340- Citywide Traffic Impact Fee.

One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. Improvements are made citywide. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on the City’s right of ways, measured by the number of trips.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

CITY-WIDE TRAFFIC IMPACT FEE
Single Family detached 14 trips per unit $237.00 per trip Multi-Family (apartments, townhouses, co-op, condos) 10 trips per unit $237.00 per trip Non-Residential (remodel/addition) trips based on use $121.00 per trip Non-Residential (other) trips based on use $180.00 per trip Attachment 1

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ACTIVITY SUMMARY
Note: The fund received revenue and supported expenditures related to Citywide traffic improvements during the fiscal year. The remaining balance will support eligible future projects and future phases of an acƟve project.

The fund balance conƟnues to be held because city-wide traffic circulaƟon improvements remain necessary, and the unspent funds will be used for that purpose. Due to the scale and complexity of transportaƟon projects, the City expects project work to conƟnue throughout the next several fiscal years.

ANTICIPATED FUTURE PROJECTS
Project Name Project Description
FY24/25
Expenditures Project Cost
FY24/25 Impact Fee
Expenditures as of % of
Total Project Cost
Main Street / Riverside Dr Traffic
Signal Modifications Traffic Signals Improvements $ 109,517.00 1,950.00 $ 1.8% Total Expenditures $ 1,950.00
Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Roadway Improvements Citywide $ N/A 2,587,529.00 2,587,529.00 $ None - FY 2026/27 Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Main Street Riverside Drive Improvements $ 29,532.00 109,517.00 $ 79,985.00 $ None - FY 2025/26 Attachment 1

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Roadway Improvements Citywide:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2024/25 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Scheduling adjustments were made to coordinate with other transportaƟon prioriƟes. Revised commencement is FY 2026/27.

Main Street Riverside Drive Improvements:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2017/18 ConstrucƟon status in FY 2024/25: Project commenced in prior fiscal year and remains ongoing; work is incomplete.

ExplanaƟon / Revised Date: Project acƟviƟes conƟnue as part of a phased implementaƟon; no revised commencement date is required.

Attachment 1

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DESCRIPTION OF IMPACT FEE
341- Pennsylvania Drive Traffic Impact Fee.

One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. Areas affected include Main St, Clifford St and Green Valley Rd.

Improvements include Traffic signals at (1) Pennsylvania Drive & Clifford, (2) Pennsylvania & Winding Way, (3) Pennsylvania & Hammer, and street widening of Green Valley and Freedom.

There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on Pennsylvania Drive traffic, measured by the lineal footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

PENNSYLVANIA DRIVE IMPACT FEE
Fee imposed upon parcels of .0493 per square foot of gross land area basis composing such parcel, excluding street area.

Attachment 1

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Note: The fund received revenue but incurred no expenditures during the fiscal year. The balance is reserved for future phases of local street reconstrucƟon.

The fund balance conƟnues to be held because roadway reconstrucƟon improvements remain necessary, and the unspent funds will be used for that purpose. Project acƟvity is pending and will proceed when planning and resources allow, with expenditures expected in a future fiscal year.

ANTICIPATED FUTURE PROJECTS
Roadway improvements Pennsylvania Dr.

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2024/25 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Project Ɵming has been adjusted due to funding and coordinaƟon consideraƟons. Revised commencement is FY 2026/27.

Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources Approximate Transfer Date Once All Funds Are Collected Roadway Improvements Pennsylvania Dr. $ N/A 1,638.00 1,638.00 $ None - FY 2026/27 Attachment 1

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DESCRIPTION OF IMPACT FEE
342- Crestview Area Traffic Impact Fee.

One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. Proposed improvements include traffic signals at the intersection of Freedom Boulevard and Pennsylvania & Clifford, and street widening of Green Valley Road and Freedom Blvd. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on the Crestview area traffic, measured by the lineal footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

CRESTVIEW IMPACT FEE
Fee imposed upon parcels of $0.05 per square foot of land area composing such parcel, excluding street area.

Attachment 1

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Note: There were no impact fee expenditures during the current fiscal year; therefore, no capital improvement acƟvity occurred for this fund. The fund balance remains available for future eligible improvements consistent with the purpose of the fee.

The balance conƟnues to be held because circulaƟon and traffic-related improvements in the Crestview area remain necessary to support development, and the unspent funds will be used for that purpose.

Work has not yet advanced to an implementaƟon stage, but funds will be applied once eligible improvements are iniƟated.

ANTICIPATED FUTURE PROJECTS
The Crestview Area Traffic Impact Fee Fund currently has no other capital projects in development.

Attachment 1

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DESCRIPTION OF IMPACT FEE
343-Green Valley Corridor Traffic Impact Fee.

One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. Improvements include traffic signals at intersections: (1) Green Valley Road and Quiet Medow Drive, (2) Green Valley Road & Main Street, (3) Green Valley Road & Harkins Slough Road, (4) Green Valley Road & Freedom Blvd. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on Green Valley Road traffic, measured by the lineal footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

GREEN VALLEY CORRIDOR
Fees specific to certain assesors parcel number
18-401-16 18,215 18-401-17 22,582
18-421-02 8,877 18-421-03 13,540
18-421-04 30,309
16-251-ALL 133,897
Attachment 1

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Note: There were no impact fee expenditures during the current fiscal year; therefore, no capital improvement acƟvity occurred for this fund. The fund balance remains commiƩed for future transportaƟon improvements.

The fund balance conƟnues to be held because transportaƟon improvements along the corridor remain necessary, and the unspent funds will be used for that purpose. The City anƟcipates the project to proceed within the next several fiscal years as capacity allows, and accumulated funds will be expended once project work begins.

ANTICIPATED FUTURE PROJECTS
Roadway improvements Green Valley Corridor
Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2024/25 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Project sequencing and coordinaƟon with corridor-wide improvements resulted in a revised commencement of FY 2026/27
Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Roadway Improvements Green Valley
Corridor $ N/A 174,224.00 174,224.00 $ None - FY 2026/27 Attachment 1

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DESCRIPTION OF IMPACT FEE
344- East Highway 1 Area Traffic Impact Fee.

One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. Proposed work includes operational and safety improvements at the Highway 1/ Harkins Slough interchange. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on the East Highway 1 Area traffic, measured by the lineal footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)
Single Family detached 14 trips per unit $237.00 per trip Multi-Family (apartments, townhouses, co-op, condos) 10 trips per unit $237.00 per trip Non-Residential (remodel/addition) trips based on use $121.00 per trip Non-Residential (other) trips based on use $180.00 per trip Errington Road/Clifford Drive Corridor, East Highway 1 Area, Struve Slough Bridge Area, Watsonville Slough Area, Green Valley Road/Freedom Blvd Attachment 1

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ACTIVITY SUMMARY
Note: The fund balance conƟnues to be held because pedestrian, roadway, and circulaƟon improvements at the Highway 1/Harkins Slough corridor remain for which fees were collected remain necessary, and the unspent funds will be used for that purpose. The project remains an acƟve capital improvement and is incomplete as of the fiscal year ended June 30, 2025. The City expects the project to move forward within the next several years, with expenditures occurring as work advances.

The fund received revenue and supported expenditures related to pedestrian, roadway, and circulaƟon improvements. The remaining balance will support future phases of the acƟve project.

ANTICIPATED FUTURE PROJECTS
HWY 1 / Harkins Slough Rd Pedestrian Improvements:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2025/26 ConstrucƟon status in FY 2024/25: ConstrucƟon has commenced and remains ongoing.

ExplanaƟon / Revised Date: Work conƟnues subject to coordinaƟon and construcƟon phasing.

Project Name Project Description
FY24/25
Expenditures Project Cost
FY24/25 Impact Fee
Expenditures as of % of
Total Project Cost
HWY 1/ Harkins Slough Rd/
Pedestrian Plan, Construct
Improvements on Bike/Ped
Expand bicycle and pedestrian infrastructure
in roadway $ 4,055,353.88 286,866.00 $ 7.1%
Total Expenditures $ 286,866.00
Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
HWY 1 / Harkins Slough Rd Pedestrian
Improvements $ 3,022,281.00 4,055,353.88 $ 299,971.00 $ Grant, Measure D $ Ongoing 733,101.88 Attachment 1

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DESCRIPTION OF IMPACT FEE
345-Struve Slough Bridge Area Traffic Impact Fee.

One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. Improvements include constructing a bridge at the Harkins Slough Road crossing of Struve Slough. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on Struve Slough Bridge area traffic, measured by the lineal footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)
Single Family detached 14 trips per unit $237.00 per trip Multi-Family (apartments, townhouses, co-op, condos) 10 trips per unit $237.00 per trip Non-Residential (remodel/addition) trips based on use $121.00 per trip Non-Residential (other) trips based on use $180.00 per trip Errington Road/Clifford Drive Corridor, East Highway 1 Area, Struve Slough Bridge Area, Watsonville Slough Area, Green Valley Road/Freedom Blvd Attachment 1

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Note: Revenues were collected during the current fiscal year, and no expenditures occurred. No capital improvement acƟvity occurred during the current fiscal year. Funds will be used for eligible transportaƟon-related improvements as planning progresses and sufficient resources become available.

The fund balance conƟnues to be held because transportaƟon-related improvements associated with development within the Struve Slough Bridge area remain necessary, and the unspent funds will be used for that purpose. The City anƟcipates eligible project to proceed within the next several fiscal years as capacity allows, and accumulated funds will be expended once project work begins.

ANTICIPATED FUTURE PROJECTS
The Struve Slough Bridge Area Traffic Impact Fee Fund currently has no other capital projects in development.

Attachment 1

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DESCRIPTION OF IMPACT FEE
346- Watsonville Slough Area Traffic Impact Fee.

One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. Improvements include constructing a bridge at the Harkins Slough Road crossing of Watsonville Slough. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on Watsonville Slough area traffic, measured by the lineal footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)
Single Family detached 14 trips per unit $237.00 per trip Multi-Family (apartments, townhouses, co-op, condos) 10 trips per unit $237.00 per trip Non-Residential (remodel/addition) trips based on use $121.00 per trip Non-Residential (other) trips based on use $180.00 per trip Errington Road/Clifford Drive Corridor, East Highway 1 Area, Struve Slough Bridge Area, Watsonville Slough Area, Green Valley Road/Freedom Blvd Attachment 1

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Note: Revenues were collected during the current fiscal year, and no expenditures occurred. No capital improvement acƟvity occurred during the current fiscal year. Funds will be used for eligible transportaƟon-related improvements as planning progresses and sufficient resources become available.

The fund balance conƟnues to be held because transportaƟon improvements within the Watsonville Slough area remain necessary to miƟgate development impacts, and the unspent funds will be used for that purpose. Project Ɵmelines are dependent on mulƟ-department coordinaƟon and available funding.

Funds will be used once eligible transportaƟon improvements progress.

ANTICIPATED FUTURE PROJECTS
The Watsonville Slough Area Traffic Impact Fee Fund currently has no other capital projects in development.

Attachment 1

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DESCRIPTION OF IMPACT FEE
347- Errington Clifford Extension Corridor Traffic Impact Fee.

One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. Improvements proposed at Main Street & Clifford Drive, West Beach Street & Errington Road, Errington Road and Harkins Slough Road, and Pennsylvania Drive and Clifford Avenue. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on Errington Clifford Extension Corridor traffic, measured by the lineal footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)
Single Family detached 14 trips per unit $237.00 per trip Multi-Family (apartments, townhouses, co-op, condos) 10 trips per unit $237.00 per trip Non-Residential (remodel/addition) trips based on use $121.00 per trip Non-Residential (other) trips based on use $180.00 per trip Errington Road/Clifford Drive Corridor, East Highway 1 Area, Struve Slough Bridge Area, Watsonville Slough Area, Green Valley Road/Freedom Blvd Attachment 1

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Note: Revenues were collected during the current fiscal year, and no expenditures occurred. No capital improvement acƟvity occurred during the current fiscal year. Funds will be used for eligible transportaƟon-related improvements as planning progresses and sufficient resources become available.

The fund balance conƟnues to be held because transportaƟon-related improvements associated with development within the Errington-Clifford Extension Corridor remain necessary, and the unspent funds will be used for that purpose. The Ɵming of future improvements will depend on available funding and project readiness.

ANTICIPATED FUTURE PROJECTS
General Underground Utilities Work:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2025/26 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Project Ɵming is dependent on coordinaƟon with roadway and uƟlity planning. Revised commencement is FY 2026/27.

Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
General Underground Utilities Work $ N/A 178,888.00 178,888.00 $ None - FY 2026/27 Attachment 1

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DESCRIPTION OF IMPACT FEE
348-Fire Impact Fee
The Fire Impact fee is a one-time charge to new development to offset the additional public service costs of new development. Fee is only for the cost of constructing, acquiring, purchasing, and providing capital fire facilities and equipment. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on fire service and infrastructure measured by the number of units or square footage depending on the type of development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

FIRE IMPACT FEE
Residential new construction $1,179.00 per unit
Residential addition $0.50 per sq. ft.

Commercial & Industrial $0.50 per sq. ft.

Attachment 1

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Note: Revenues were collected during the current fiscal year, and no expenditures occurred. No capital improvement acƟvity occurred during the current fiscal year. Funds will be used for eligible fire equipment and facility improvements as planning progresses and sufficient resources become available.

The fund balance conƟnues to be held because the cost of construcƟng, acquiring, purchasing, and providing capital fire faciliƟes and equipment remains necessary, and the unspent funds will be used for that purpose. These improvements require long-term planning and procurement. Expenditures are expected in future fiscal years as projects advance.

ANTICIPATED FUTURE PROJECTS
KME / TDA 100’ Tiller Aerial Quint:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2025/26 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: No revised commencement date is required.

Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
KME / TDA 100' Tiller Aerial Quint $ N/A 2,450,000.00 2,450,000.00 $ None - FY 2025/26 Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Placer International Type 3 Engine $ N/A 500,000.00 500,000.00 $ None - FY 2025/26 Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Fire Apparatus Vehicle $ N/A 80,000.00 80,000.00 $ None - FY 2025/26 Attachment 1

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Placer International Type 3 Engine:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2024/25 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Delivery schedules and procurement requirements resulted in a revised commencement of FY 2025/26.

Fire Apparatus Vehicle:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2024/25 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Procurement Ɵmelines resulted in a revised anƟcipated commencement of FY 2025/26.

Attachment 1

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DESCRIPTION OF IMPACT FEE
349-Public Facilities (Ordinance No. 859-91 (CM), No. 882-92 (CM)).

Fee assessed on residential, commercial, and industrial construction. Fees are assessed citywide. Fees shall be used for providing capital public facilities and equipment. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on public facilities, measured by the square footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

PUBLIC FACILITIES IMPACT FEE
$0.40 per sq. ft.

New detached structures or
additions over 1,000 sq. ft.

Calcuated on total square
footage.

Attachment 1

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ACTIVITY SUMMARY
Note: The fund received revenue and supported expenditures related to capital public faciliƟes and equipment improvements. The remaining balance will support future phases of the acƟve project.

The fund balance conƟnues to be held because public facility improvements remain necessary to support populaƟon and development growth, and the unspent funds will be used for that purpose. The project remains an acƟve capital improvement and is incomplete as of the fiscal year ended June 30, 2025. The City expects the project to conƟnue within the next several years, with expenditures occurring as work advances.

ANTICIPATED FUTURE PROJECTS
Project Name Project Description
FY24/25
Expenditures Project Cost
FY24/25 Impact Fee
Expenditures as of % of
Total Project Cost
Senior Center Refurbishments Senior Center exterior wall $ 11,603.00 9,803.01 $ 84.5% Total Expenditures $ 9,803.01
Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Senior Center Repairs $ 9,803.01 11,603.00 $ 1,799.99 $ None - FY 2025/26 Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources Approximate Transfer Date Once All Funds Are Collected General Facilities Repair 464,666.01 $ 69,850.00 $ 394,816.01 $ None - FY 2025/26 Attachment 1

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Senior Center Repairs:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2025/26 ConstrucƟon status in FY 2024/25: ConstrucƟon has commenced and remains ongoing.

ExplanaƟon / Revised Date: Project Ɵming is dependent on coordinaƟon with Senior Center planning and funding availability; no revised commencement date is required.

General Facilities Repair:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2025/26 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Project Ɵming is dependent on coordinaƟon with general faciliƟes planning and funding availability; no revised commencement date is required.

Attachment 1

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DESCRIPTION OF IMPACT FEE
350-Storm Drainage Facilities Fee (WMC 3-6.8).

One time charge to construction of residential, commercial or industrial unit or structure. Fees are assessed citywide. Fees are used to develop storm drainage facilities throughout the City.

There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on storm drain infrastructure, measured by the acreage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

STORM DRAINAGE FEE
Additions to Existing (per acre of new impermeable area) $15,944.35 per acre New Development Projects:

Low residential (4.5 units/acre) $6,418.05 per acre
Med. Residential (4.5-7.5 units /acre) $7,978.13 per acre High residential (7.5 units/acre) $9,564.05 per acre
Commercial & Industrial $12,760.62 per acre
Attachment 1

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Note: Revenues were collected during the current fiscal year, and no expenditures occurred. No capital improvement acƟvity occurred during the current fiscal year. The balance will be used to fund future storm drain upgrades.

The fund balance will be held because storm drain replacement and infrastructure improvements remain necessary, and the unspent funds will be used for that purpose. These projects require engineering evaluaƟon and coordinaƟon before work can begin. Expenditures are expected in future fiscal years once design and planning advance.

ANTICIPATED FUTURE PROJECTS
Storm Drain Replacement & Infrastructure Improvements:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2026/27 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: ConstrucƟon has not begun as the project remains scheduled within the City’s broader storm drainage capital improvements and is dependent on funding availability and coordinaƟon with related infrastructure work; no revised commencement date is required.

Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Storm Drain Replacement & Infrastructure
Improvements $ N/A 1,741,362.00 1,741,362.00 $ None - FY 2026/27 Attachment 1

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DESCRIPTION OF IMPACT FEE
351- Zone 7 Storm Drain
One time charge to construction of residential, commercial or industrial unit or structure. Fees are assessed citywide. Fees are used to develop storm drainage facilities within Zone 7. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on storm drain infrastructure within Zone 7, measured by the acreage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)
ZONE 7 DRAINAGE FEE
Area "C" (NE of City, S of Corralitos & Salsipuedes Creeks) $33,478.63 per acre Attachment 1

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Note: Revenues were collected during the current fiscal year, and there were no impact fee expenditures during the fiscal year; therefore, no capital improvement acƟvity occurred for this fund. The balance is reserved for future drainage improvements.

The fund balance will be held because storm drainage and related infrastructure improvements within Zone 7 remain necessary to support development, and the unspent funds will be used for that purpose.

Project iniƟaƟon is dependent on engineering review and available resources. Funds will be used once appropriate storm drainage work begins.

ANTICIPATED FUTURE PROJECTS
Zone 7 – Storm Drain Improvements:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2026/27 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: ConstrucƟon has not commenced because project iniƟaƟon is planned for future fiscal year and is dependent on funding availability, coordinaƟon with related drainage improvements, and sequencing within the broader storm drain capital improvements.

Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Zone 7 - Storm Drain Improvements $ N/A 40,074.00 40,074.00 $ None - FY 2026/27 Attachment 1

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DESCRIPTION OF IMPACT FEE
352- Errington Road South Benefit Area Traffic Impact Fee.

One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. Improvements include construction of a road and bridge on Errington Road (identified pre-annexation). There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on the Errington Road bridge, measured by the lineal footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)
Single Family detached 14 trips per unit $237.00 per trip Multi-Family (apartments, townhouses, co-op, condos) 10 trips per unit $237.00 per trip Non-Residential (remodel/addition) trips based on use $121.00 per trip Non-Residential (other) trips based on use $180.00 per trip Errington Road/Clifford Drive Corridor, East Highway 1 Area, Struve Slough Bridge Area, Watsonville Slough Area, Green Valley Road/Freedom Blvd Attachment 1

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Note: Revenues were collected during the current fiscal year, and there were no impact fee expenditures during the fiscal year; therefore, no capital improvement acƟvity occurred for this fund. The balance is reserved for future planning, design, development, and construcƟon of transportaƟon improvements.

The fund balance conƟnues to be held because traffic and circulaƟon improvements in the Errington Road South Benefit area remain necessary to address development-related impacts, and the unspent funds will be used for that purpose. Project Ɵming is dependent on planning and coordinaƟon with other infrastructure needs.

ANTICIPATED FUTURE PROJECTS
The Errington Road South Benefit Area Traffic Impact Fee Fund currently has no other capital projects in development.

Attachment 1

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DESCRIPTION OF IMPACT FEE
353- Impervious Area
Fee assessed on improvements that result in a net increase in impervious surface area. Fees are assessed citywide. Fees shall be used to fund flood protection projects necessitated by increased storm water flows resulting from the creation of additional impervious area within the Pajaro River watershed. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on impervious surface area, measured by the square footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

IMPERVIOUS AREA IMPACT FEE
per square foot of new impervious area $0.55 per sq. ft.

Attachment 1

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Note: Revenues were collected during the current fiscal year, and there were no expenditures during the fiscal year; therefore, no capital improvement acƟvity occurred for this fund. The balance remains reserved for future eligible improvements consistent with the purpose of the Impervious Area fee..

The fund balance conƟnues to be held because stormwater and drainage-related improvements associated with development remain necessary, and the unspent funds will be used for that purpose.

The Ɵming of future improvements will depend on funding availability and coordinaƟon with broader system-wide infrastructure efforts.

ANTICIPATED FUTURE PROJECTS
Storm Drain Improvements:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2026/27 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: ConstrucƟon has not commenced because project implementaƟon is dependent on the accumulaƟon of sufficient fee revenues, and coordinaƟon with related storm drain and drainage system improvements.

Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Storm Drain Improvements $ N/A 2,048,123.00 2,048,123.00 $ None - FY 2026/27 Attachment 1

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DESCRIPTION OF IMPACT FEE
355 – Westside Industrial Area
The impact fee will mitigate the impacts of developments within the Westside Industrial Area by installing signals and intersection improvements as recommended in the Barton-Aschman Traffic Analysis; constructing the Ramps and Bridge as recommended in the Barton-Aschman Traffic Analysis. The commencement of major construction within the Westside Industrial Area requires the imposition of such fees prior to issuance of a building permit or permits to developers in order to establish funding at the earliest possible time and to appraise developers of the fee imposition upon respective properties prior to issuance of building permits. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on traffic and transportation infrastructure, measured by units of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

STREET IMPROVEMENT IN-LIEU FEES
Westside Industrianl Area and everything outside of the Westside Industrial Area Industrially Zoned Parcels $133.00 per lineal ft
fee per lineal foot of street frontage or 5% of actual on-site project improvements whichever is less Other Parcels $221.00 per lineal ft
fee per lineal foot of street frontage or 10% of actual on-site project improvements whichever is less Attachment 1

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Note: Revenues were collected during the current fiscal year, and there were no expenditures during the fiscal year; therefore, no capital improvement acƟvity occurred for this fund. The balance is reserved for installing signals and intersecƟon improvements.

The fund balance conƟnues to be held because transportaƟon and infrastructure improvements in the Westside Industrial Area are sƟll needed to support development, and the unspent funds will be used for that purpose. Project schedules are dependent on funding levels and coordinaƟon with systemwide improvements.

ANTICIPATED FUTURE PROJECTS
Roadway Improvements Westside Industrial Area:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2025/26 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Project Ɵming was adjusted to coordinate with area-wide infrastructure improvements. Revised commencement is FY 2026/27.

Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Roadway Improvements Westside Industrial Area $ N/A 104,692.00 104,692.00 $ None - FY 2026/27 Attachment 1

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DESCRIPTION OF IMPACT FEE
356 - Area Outside Westside Industrial Area.

Section 7-4.04 of the Watsonville Municipal Code requires the installation of street improvements where a project requiring building permits fronts an unimproved street. Further, Section 7-4.07 provides, in certain circumstances, for the payment of a fee in lieu of actual construction. Fees collected shall be utilized solely in the benefit area in which they are located and solely for the design and construction of street improvements. The Area Outside the Westside Industrial Area is hereby designated and defined as those parcels not located within the Westside Industrial Area.

There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on City right of way paving, measured by the lineal foot of each unimproved street frontage as established by resolution of the City Council or a percentage established by resolution of City Council of the actual cost of on-site project improvements whichever is less. Two rates shall be established; one rate shall be established for industrially zoned parcels and another rate shall be established for all other parcels. That such on-site improvements shall include building and private site improvements such as grading, parking and landscaping. On-site improvements shall not include development related fees including, but not limited to building fees and development impact fees or design related costs for on-site improvements.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STREET IMPROVEMENT IN-LIEU FEES
Westside Industrianl Area and everything outside of the Westside Industrial Area Industrially Zoned Parcels $133.00 per lineal ft
fee per lineal foot of street frontage or 5% of actual on-site project improvements whichever is less Other Parcels $221.00 per lineal ft
fee per lineal foot of street frontage or 10% of actual on-site project improvements whichever is less Attachment 1

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STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)
Note: Revenues were collected during the current fiscal year, and there were no expenditures during the fiscal year; therefore, no capital improvement acƟvity occurred for this fund. The balance is reserved for street improvements.

The fund balance conƟnues to be held because improvements to support circulaƟon and infrastructure outside the Westside Industrial Area remain necessary as development occurs, and the unspent funds will be used for that purpose. The iniƟaƟon of work will depend on funding availability and coordinaƟon with broader planning efforts.

ANTICIPATED FUTURE PROJECTS
Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Outside Westside Industrial $ N/A 143,543.00 143,543.00 $ None - Ongoing Attachment 1

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Outside Westside Industrial:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2025/26 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: ConstrucƟon has not commenced because the project is scheduled to begin in a future fiscal year and is being advanced in coordinaƟon within the City’s broader transportaƟon capital improvement planning; no revised commencement date is required.

Attachment 1

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DESCRIPTION OF IMPACT FEE
357- Underground Utility In-Lieu Fee
Watsonville Municipal Code requires the underground installation of existing overhead utilities whenever there is new construction which requires design review, use permit, minor land division, subdivision, or a building permit. A fee shall be paid in lieu of actual underground installation when an exemption is granted. The fee is a one-time charge and can be spent on utility undergrounding projects throughout the City. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on underground installation of existing overhead utilities, measured by the lineal footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

UNDERGROUND UTILITY IN-LIEU FEE
$86.00 per lineal ft
fee per lineal foot of frontage or 1.25% of actual project improvement whichever is less Attachment 1

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ACTIVITY SUMMARY
Note: The fund received revenue and supported expenditures related to underground uƟliƟes improvements. The remaining balance will support future phases of the acƟve project and remains available for future eligible uƟlity undergrounding efforts once they are scheduled.

The fund balance conƟnues to be held because underground uƟlity improvements remain necessary in areas where development has occurred, and the unspent funds will be used for that purpose. Project Ɵming is dependent on coordinaƟon and overall capital improvement planning.

ANTICIPATED FUTURE PROJECTS
Underground Utilities:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2024/25 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: Scheduling adjustments were made due to funding and coordinaƟon consideraƟons. Revised commencement is FY 2025/26
Project Name Project Description
FY24/25
Expenditures Project Cost
FY24/25 Impact Fee
Expenditures as of % of
Total Project Cost
Underground Utilities Lake
Avenue Underground Utility Improvements $ 48,945.00 11,532.50 $ 23.6% Total Expenditures $ 11,532.50
Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources Approximate Transfer Date Once All Funds Are Collected Underground Utilities $ 48,945.00 34,694.50 $ $ 14,250.50 None - FY 2026/27 Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources Approximate Transfer Date Once All Funds Are Collected General Underground Utilities $ 743,720.50 N/A $ 743,720.50 None - FY 2026/27 Attachment 1

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General Underground Utilities:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2025/26 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: ConstrucƟon has not commenced because the project is scheduled to begin in a future fiscal year, project implementaƟon remains dependent on planning and coordinaƟon; no revised commencement date is required.

Attachment 1

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DESCRIPTION OF IMPACT FEE
358- Manabe Ow Traffic Impact Fee
One-time charge to new development to fund planning, design, development, and construction of transportation improvements which are necessary to mitigate the impacts of future development on the City’s circulation network. Improvements include providing the following: West Beach St/Walker St traffic signal; Main St/Riverside Dr improvements; Northbound Highway 1 Ramps/Riverside Dr (State Route 129) Traffic Signal; Southbound Highway 1/Riverside Dr (State Route 129) Traffic Signal; Main St (State Route 152)/Ohlone Pkwy improvements; Green Valley Rd/Main St realignment; Highway 1/Harkins Slough Rd Traffic Signal; Ohlone Pkwy/Lighthouse Dr roundabout; Ohlone Pkwy/Loma Vista Dr roundabout. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on Manabe Ow area traffic, measured by the lineal footage of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)
Manabe Ow Traffic Area Fee
Single Family detached 14 trips per unit $237.00 per trip Multi-Family (apartments, townhouses, co-op, condos) 10 trips per unit $237.00 per trip Non-Residential (remodel/addition) trips based on use $121.00 per trip Non-Residential (other) trips based on use $180.00 per trip Attachment 1

76 | P a g e
Note: Revenues were collected during the current fiscal year, and there were no expenditures during the fiscal year; therefore, no capital improvement acƟvity occurred for this fund. The balance remains reserved for future transportaƟon-related improvements.

The fund balance conƟnues to be held because transportaƟon improvements serving the Manabe Ow area remain necessary to address development impacts, and the unspent funds will be used for that purpose. Project Ɵming is dependent on planning needs, resource availability, and coordinaƟon with adjacent improvements.

ANTICIPATED FUTURE PROJECTS
Road and Traffic Upgrades:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2025/26 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: ConstrucƟon has not commenced because the project is scheduled to begin in a future fiscal year, project implementaƟon remains dependent on planning and coordinaƟon; no revised commencement date is required.

Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Road and Traffic Upgrades $ N/A 369,823.00 369,823.00 $ None - Ongoing Attachment 1

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DESCRIPTION OF IMPACT FEE
359- Vehicle Miles Travel (VMT) In-Lieu Fee
One-time charge to new developments if they choose to pay a VMT in-lieu fee. The California Environmental Quality Act (CEQA) requires that some new development projects measure their impact on the existing transportation system by identifying the increase in VMT and provide ways to mitigate these increases. The number of VMT that is to be mitigated is determined during the planning permit process. One way to mitigate the VMT increase is to construct facilities that decrease driving and support active transportation, such as cycling and walking. The VMT in-lieu fee funds the construction of such facilities. The City has identified specific projects that will construct these facilities and are outlined in Table 1. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on pedestrian and cyclist infrastructure measured by 1,524.21 per vehicle mile travelled.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE Vehicle Miles Travel (VMT) In-Lieu Fee
Cost per VMT - $1,524.2
Developers may choose to pay a VMT In-Lieu fee to reduce their project's impact below the applicable threshold (mitigate the impact). Essentially, the developer can choose to achieve VMT reductions and avoid a finding of significant unmitigated VMT impacts by paying the fee. The fee is not imposed on projects but is rather an option that is available to developers should they choose to use it
Attachment 1

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STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)
Note: Revenues were collected during the current fiscal year, and there were no expenditures during the current fiscal year; therefore, no capital improvement acƟvity occurred for this fund. The balance conƟnues to grow unƟl eligible miƟgaƟon improvements are ready to begin.

The fund balance conƟnues to be held because development acƟvity creates demand for future circulaƟon and mobility improvements, and the unspent funds will be used for that purpose. The use of the funds will occur as planning progress and resources become available.

ANTICIPATED FUTURE PROJECTS
Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Trail Connector Improvements $ N/A 124,354.00 124,354.00 $ None - Ongoing Attachment 1

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Trail Connector Improvements:

Prior AnƟcipated Commencement (FY 2023/24 Report): FY 2025/26 ConstrucƟon status in FY 2024/25: ConstrucƟon has not commenced.

ExplanaƟon / Revised Date: ConstrucƟon has not commenced because the project is scheduled to begin in a future fiscal year, project implementaƟon remains dependent on planning and coordinaƟon; no revised commencement date is required.

Attachment 1

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DESCRIPTION OF IMPACT FEE
710-Sewer Connection Fee
Fees to obtain permission to connect to the City-owned sewer system, to have flow capacity rights, and to use the trunk sewer, sewage treatment facilities and appurtenances, provided that the City's prevailing service charges have been paid. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on sewage infrastructure, measured by the number of units of the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE

STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

SANITARY SEWER CONNECTION FEE
Residential and all others $2,391.00 per unit
Commercial & Industrial: Sum of following, but not less than $2,391.00 minimum Based on peak month discharge of flow $6.65 per gpd
BOD (Biochemical oxygen demand) $422.77 lb/day BOD
SS (suspended solids) $533.93 lb/day SS
Attachment 1

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ACTIVITY SUMMARY
Note: Revenues were collected during the fiscal year, and expenditures occurred. Expenditures were made for eligible capacity-related acƟviƟes consistent with the purpose of the fee, and remaining funds will conƟnue to be held for future capacity needs.

ANTICIPATED FUTURE PROJECTS
Sewer System Capacity:

Prior AnƟcipated Commencement (FY 2023/24 Report): Ongoing ConstrucƟon status in FY 2024/25: Expenditures occurred during the fiscal year in support of eligible capacity-related improvements, and acƟviƟes remain ongoing.

ExplanaƟon / Revised Date: Capacity improvements funded by connecƟon fees are implemented on an ongoing basis as system needs are idenƟfied and prioriƟzed. As a result, individual project commencement dates are not separately defined, and no revised commencement date is required.

Project Name Project Description
FY24/25
Expenditures Project Cost
FY24/25 Impact Fee
Expenditures as of % of
Total Project Cost
Sanitary Sewer Main
Replacement Project
Improvements of existing sanitary sewer
infrastruture to support system capacity and
reliability $ 216,694.00 216,694.00 $ 100.0%
Total Expenditures $ 216,694.00
Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Sewer System Capacity $ 316,694.00 $ 216,694.00 $ 100,000.00 None - Ongoing Attachment 1

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DESCRIPTION OF IMPACT FEE
720-Water Connection Fees
Fees to obtain permission to connect to the City-owned water system, to have flow capacity rights, and to use the water treatment facilities and appurtenances, provided that the City's prevailing service charges have been paid. There is a reasonable relationship between the fee and the purpose because the fee is calculated in proportion to the development’s impact on water infrastructure, measured by the number of connections required by the development.

THE AMOUNT OF THE DEVELOPMENT FEE PER THE FY 24-25 MASTER FEE SCHEDULE Meter Size Connection Fee
Construction
Charge***
(Outside
City)
Meter Drop-in
3/4" 3,089.44 $710.00
1" combo $1,185.00
1" 7,724.10 $830.00
1 ½" 15,449.75 estimate
2" 24,720.61 estimate
3" 49,441.22 estimate
4" 76,843.72 estimate
6" 154,504.59 estimate
8" 354,029.54 estimate
10" 438,739.41 estimate
Master Meter additional connections to multi residential meters Fire Flow Test per test
***Watsonville no longer constructs water services for builders or developers.

New water service may be constructed under permit by prequalified Contractors

WATER SERVICES
$514.45
$2,167.49
Groundwater Impact fee $549.79 per bedroom of each new connection Construction
Charge*** (Inside
City)
Attachment 1

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STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE FIVE YEARS, ENDING JUNE 30, 2025
(AMOUNTS ROUNDED TO NEAREST WHOLE DOLLAR)

ACTIVITY SUMMARY
Note: Revenues were collected during the fiscal year, and expenditures occurred. Expenditures were made for eligible capacity-related acƟviƟes consistent with the purpose of the fee, and remaining funds will conƟnue to be held for future capacity needs.

Project Name Project Description
FY24/25
Expenditures Project Cost
FY24/25 Impact Fee
Expenditures as of % of
Total Project Cost
Main Water Replacement Project
Improvements of existing water infrastructure
to support system capacity and reliability $ 296,687.00 296,687.00 $ 100.0% Total Expenditures $ 296,687.00
Attachment 1

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ANTICIPATED FUTURE PROJECTS
Water System Capacity:

Prior AnƟcipated Commencement (FY 2023/24 Report): Ongoing ConstrucƟon status in FY 2024/25: Expenditures occurred during the fiscal year in support of eligible capacity-related improvements, and acƟviƟes remain ongoing.

ExplanaƟon / Revised Date: Capacity improvements funded by connecƟon fees are implemented on an ongoing basis as system needs are idenƟfied and prioriƟzed. As a result, individual project commencement dates are not separately defined; and no revised commencement date is required.

Project Description Total Cost Previous Fee Expenditure Anticipated Fee
Expenditure Additional Sources
Anticipated Amount From Additional Sources
Approximate Transfer Date Once All Funds
Are Collected
Water System Capacity $ 396,687.00 $ 296,687.00 $ 100,000.00 None - Ongoing Attachment 1

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Interfund Transfers or Loans
66006(b)(1)(G) and 66013(d)(5)
Section 66006(b)(1)(G) of the Mitigation Fee Act requires a description of each interfund transfer or loan made from the account or fund, including the public improvement on which the transferred or loaned fees will be expended; and, in the case of an interfund loan, the terms of the loan, including the repayment schedule for the loan, and the rate of interest that the account or fund will receive on the loan.

In the fiscal year ending June 30, 2025, there were no interfund transfers or loans made from any of the impact fees and connection fees.

Summary of Refunds
66006(b)(1)(H)
Section 66006(b)(1)(H) of the Mitigation Fee Act requires a summary of any refunds made, and their respective amount, due to sufficient funds being collected to complete financing of schedule public improvements and the amount of reallocation of funds made due to administrative costs of refunding unexpended revenues exceeding the amount to be refunded.

In the fiscal year ending June 30, 2025, there were no refunds made from any of the impact fees and connection fees.

Attachment 1

1 CITY COUNCIL AGENDA REPORT
MEETING DATE: Tuesday, January 13, 2026
TO: CITY COUNCIL
WRITTEN BY: ADMINISTRATIVE ANALYST RENTERIA
RECOMMENDED BY: CITY MANAGER VIDES
APPROVED BY: TAMARA VIDES, CITY MANAGER
SUBJECT: LETTER OF SUPPORT FOR RURAL HEALTH TRANSFORMATION (RHT)

PROGRAM FUNDING FOR WATSONVILLE COMMUNITY HOSPITAL
RECOMMENDATION:

Motion to approve a letter of support for Watsonville Community Hospital’s prioritization for Rural Health Transformation (RHT) Program funding and designation as a regional hub hospital.

BACKGROUND:

The Rural Health Transformation (RHT) Program was created under H.R. 1 / Public Law 119-21, enacted on July 4, 2025, as part of the federal government’s “largest investment in rural health care.” The program allocates $50 billion to states over five years (FFY 2026–2030) to strengthen rural health systems and ensure equitable access to high-quality care.

RHT funding is designed to help rural hospitals modernize facilities, stabilize operations, expand workforce capacity, implement innovative care models, and adopt technology-driven solutions such as telehealth and data systems. Funding is intended to transform rural care delivery, not supplant Medicare/Medicaid, and supports hospitals, clinics, FQHCs, and other rural providers.

In California, the Department of Health Care Access and Information (HCAI) manages the state application and allocation process. The vision of the California RHT (CA-RHT) program is a connected, resilient rural health system in which every rural and frontier Californian can access timely, person-centered primary, maternal, specialty, chronic condition, and behavioral health care close to home, supported by a sustainable workforce, modern technology, and data infrastructure. The program develops regional coordination and partnerships, applies evidence-based care, deploys tools for low-resource settings, and aligns sustainable payment to fund local readiness and healthcare services.

2 RHT Application and Award Timeline:
 September 4, 2025: HCAI kickoff webinar
 September 5–12, 2025: Stakeholder survey
 Mid-September 2025: CMS Notification of Funding Opportunity (NOFO) released  September 15–26, 2025: Key stakeholder engagement and HCAI drafting of priorities  September 29–October 3, 2025: Feedback listening sessions  October 6–November 7, 2025: Application finalization, review, and submission to CMS  By December 31, 2025: All applications must be approved by CMS  FFY 2026–2030: Funding awarded and distributed to states RHT Funding Distribution:
 Federal: $50 billion total over five years
 $25 billion distributed equally among approved states ($200 million estimated per eligible state per year)
 $25 billion distributed based on CMS-determined factors such as rural population and need
 State-level: California will receive a baseline of $100 million per year for approved activities; an additional $100 million per year will be distributed based on application scores and priority activities identified in the HCAI proposal.

HCAI CA-RHT Application Initiatives:

The California RHT application highlights three key priorities: developing a Transformative Care Model, strengthening workforce development, and enhancing Technology & Tools.

The Transformative Care Model establishes regional hub-and-spoke networks that connect hospitals with local clinics and telehealth services, expanding specialty access and improving care coordination. It provides transformation payments to financially distressed rural hospitals that are strategically important for regional care, supports the growth of the rural health workforce—including obstetrics fellowships, community health workers, LVNs, doulas, midwives, and other allied health professionals—and builds a digital telehealth infrastructure to enable specialty access, e-consults, remote patient monitoring, and workforce support.

Workforce development efforts focus on mapping and planning rural workforce needs, strengthening training pathways and clinical placements to create a sustainable pipeline of rural health professionals, and supporting recruitment and retention through targeted incentives and wraparound programs.

Finally, Technology & Tools initiatives provide infrastructure enhancements that help rural providers participate effectively in regional care models, offer grant funding to modernize EHRs, practice

3 management, population health systems, and telehealth platforms, and promote consumer-facing digital tools for self-monitoring and education. The program also fosters regional collaboration through shared technology resources and delivers technical assistance via the Rural Technical Assistance Center to support participating hospitals and grantees.

DISCUSSION:

Watsonville Community Hospital (WCH) is the primary acute-care, maternity, and emergency facility serving approximately 93,000 residents across Santa Cruz, Monterey, and San Benito counties.

With roughly 35,000 annual emergency department visits and 800 births, WCH is a critical safety-net provider for a largely Medi-Cal, uninsured, or underinsured population.

Since transitioning to public ownership in September 2022, WCH has stabilized operations, improved quality metrics, and strengthened partnerships. However, the hospital continues to face structural vulnerabilities common to rural facilities, including staffing shortages, deferred maintenance, and recent cybersecurity and operational challenges.

RHT Program funding would enable WCH to:
 Stabilize operations and ensure continued access to emergency and maternity care;  Expand primary and specialty care capacity through clinics and partnerships with regional health providers;
 Modernize facilities, implement technology-driven solutions, and strengthen workforce development in alignment with HCAI priorities;
 Support long-term sustainability and regional hub designation, reducing the risk of service disruption for vulnerable populations and regional economic sectors.

Prioritizing WCH aligns with RHT goals of improving access to care, advancing workforce development, strengthening local partnerships, supporting technology-driven solutions, and ensuring sustainable rural hospital operations.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION:

This action is not a project as defined under CEQA; therefore, no environmental review is required.

STRATEGIC PLAN:

Community Engagement & Well-being
FINANCIAL IMPACT:

No financial impact.

4 ALTERNATIVE ACTION:

No alternative action.

ATTACHMENTS AND/OR REFERENCES (IF ANY):
1) Draft letter of Support from Council

City Manager’s Office
“Working with our community to create positive impact through service with heart.” Watsonville

CALIFORNIA
January 13, 2026
The Honorable Robert Rivas
Speaker of the California State Assembly, 29th Assembly District The Honorable John Laird
California State Senator, 17th Senate District
The Honorable Dawn Addis
Member of the California State Assembly, 30th Assembly District Leaders, California Department of Health Care Access and Information (HCAI) CC: The Honorable Zoe Lofgren
Member of the U.S. House of Representatives, 19th Congressional District CC: The Honorable Jimmy Panetta
Member of the U.S. House of Representatives, 20th Congressional District Subject: Urgent Support for Watsonville Community Hospital and the Pájaro Valley Health Care District
Dear Esteemed Representatives and Leaders,
On behalf of the Watsonville City Council, we write to express our strong support for the Pajaro Valley Health Care District (PVHCD) and its sole acute-care facility, Watsonville Community Hospital (WCH), and to urge your continued investment in this essential regional resource.

WCH serves approximately 93,000 residents across Santa Cruz, Monterey, and San Benito counties, providing nearly 35,000 emergency visits and about 800 births annually, the highest in Santa Cruz County. Its patient population is predominantly Medi-Cal, government-insured, or uninsured. WCH is a critical hub for emergency, maternity, and acute-care services, serving rural and medically underserved populations. Nearby hospitals, including Dominican Hospital and Natividad Medical Center, already operate at or near capacity.

Any reduction or closure of WCH services would strain neighboring hospitals, increase travel times, overcrowd emergency departments, delay urgent care, and worsen health outcomes.

Attachment 1

275 Main Street, Suite 400, Watsonville, CA 95076
watsonville.gov
Since its transition to public ownership in 2022, WCH has made significant progress rebuilding operations, strengthening services, and upgrading infrastructure with voter support through Measure N. Nonetheless, challenges—including a cyberattack, clinician departures, and longdeferred maintenance—threaten stability, and federal reforms under H.R. 1 add new pressures to rural safety-net hospitals.

The District has developed a community-grounded strategy to stabilize and modernize WCH, including expanding specialty and primary care, advancing telehealth, strengthening partnerships with local providers, and workforce development initiatives with Cabrillo College, the Morehouse School of Medicine Dominican Family Medicine Residency Program, and the forthcoming UCSC/UC Davis medical school.

To successfully execute this strategy—and preserve essential hospital services—targeted investment through the State of California’s Rural Health Transformation Program (RHTP), including transformation payments and consideration as a regional hub hospital, is urgently needed. We respectfully urge your office to prioritize WCH for these resources to ensure longterm access to quality care, health equity, and economic stability for our region.

Thank you for your consideration and commitment to supporting the health and wellbeing of our community.

Respectfully,
Watsonville City Council
Attachment 1

January 13, 2026

Economic
Development Efforts
Retail Strategies, the City’s retail
consultant, is conducting a
comprehensive analysis of
Watsonville’s retail and restaurant
market.

This work evaluates local
demographics and consumer behavior
to develop a tailored retail recruitment
strategy that leverages national retail
relationships and positions
Watsonville has a strong location for
retail and restaurant growth.

Unless Something Goes
Terribly Wrong
Wastewater Documentary Screening
Wed, Jan 14 | 2:30 – 5:30 PM
Community Room
• Documentary on aging wastewater
infrastructure
• Training opportunity + real-world lessons
• Live Q&A with filmmakers
• Open to staff, professionals, and public

Books n' Bites
Nutrition & Wellness
Classes
Tuesday, Jan 27 | 6:00 PM
at the Watsonville Main Library
Hosted by: Community Health Trust of
Pajaro Valley
• Learn about balanced eating & nutrition
• Topics include fiber, low sodium, and
healthy meals
• Food tasting included
• Open to all ages

Stay Ready for
the Rainy Season
The rainy season isn’t over yet, make
sure you and your family are prepared.

Visit: watsonville.gov → Emergency
Preparedness
• Storm safety tips
• Sandbag filling & setup instructions
• Sign up for emergency alerts
• Check if your home is in a Special
Flood Hazard Area
Need Sandbags?
Self-serve stations:
• Joyce McKenzie Park — 500 Joyce Dr.
• Fire Station 1 — 115 2nd Street

See, Click, Fix
• Potholes
• Graffiti
• Sidewalk Damage
• Damaged (or not working)
Street lights
See-Click-Fix is Watsonville's tool to
report non-emergency issues within the
City's jurisdiction such as:

Santa Cruz County
Regional Fire Academy
We’re now accepting applications for
an anticipated 2026 Santa Cruz
County Regional Fire Academy,
where certified Paramedics will train
to become career Firefighters.

Applicants must be certified
Paramedics and will be screened for
potential interviews over the next few
months.

Apply today at watsonville.gov

1 CITY COUNCIL AGENDA REPORT
MEETING DATE: Tuesday, January 13, 2026
TO: CITY COUNCIL
WRITTEN BY: SENIOR ENVIRONMENTAL PROJECTS ANALYST STOLZENTHALER RECOMMENDED BY: PUBLIC WORKS & UTILITIES DIRECTOR LINDBERG APPROVED BY: TAMARA VIDES, CITY MANAGER
SUBJECT: AMEND CHAPTER 6-7 OF THE WATSONVILLE MUNICIPAL CODE TO COMPLY WITH CA SB 1053 CARRYOUT PLASTIC BAG PROHIBITION AND

RECYCLED PAPER BAGS STANDARDS
RECOMMENDATION:

Introduce, for first reading only, waiving full reading of the text, an ordinance amending Watsonville Municipal Code Chapter 6-7 (reducing single-use plastic carryout bags) to eliminate carryout plastic bags at checkout and update paper bag recycled content in alignment with California Senate Bill 1053 (SB 1053).

BACKGROUND:

By January 1, 2026, California retail establishments must eliminate plastic carryout bags and charge a minimum $0.10 fee for recycled paper bags at checkout. Additionally, SB 1053 requires recycled paper bags to contain at least 50% post-consumer recycled content by January 1, 2028. SB 1053 applies to grocery stores, convenience stores, food marts, and retail stores with pharmacies. The City’s intent in amending the Watsonville Municipal Code (“WMC”) Chapter 6-7 (REDUCING SINGLE-USE PLASTIC CARRYOUT BAGS) is to bring the City’s Municipal Code into alignment with SB 1053 and join in the mission of creating a uniform statewide system for plastic reduction.

The recommended amendments to the City’s ordinance are as follows:
$0.25 Fee for Recycled Paper Carryout Bags
The recommended amendments will require retail establishments to charge a $0.25 fee (rather than the minimal $0.10 amount) for recycled paper carryout bags. Currently, WMC section 6-7.102 states that retail establishments are required to charge a $0.25 fee for recycled paper carryout bags. The California

2 Constitution authorizes public agencies to adopt local ordinances that are equal to or stricter than the state mandate. The recommended ordinance does not decrease the fee to the minimum $0.10 amount.

Currently, the fee revenue shall be retained by retail establishments for the purpose of discouraging single-use bag consumption.

Prohibition on Plastic
The recommended amendments will require retail establishments to eliminate plastic carryout bags altogether consistent with SB 1053’s goal of reducing plastic pollution—particularly thicker plastic film bags that proliferated after earlier bans. The prohibition of plastic bags (and $0.25 fee) will not apply to:
(1) bags used to protect produce, meat, or bulk items prior to checkout; (2) compostable plastic or paper bags used for wet or cold items (e.g., ice cream); (3) paper bags used for weighing candy; (4) paper pharmacy bags; or (5) small paper bags used to protect items such as bottles or greeting cards.

Restaurant Take Out
The recommended amendments allow restaurant food take-out to be provided in recycled paper bags, rather than plastic, at no charge to the customer.

Revisions and Additions to Definitions
The recommended amendments revise definitions for: (1) “Single-use plastic bag,” (2) “Recycled paper bags,” (3) “Reusable bag,” and (4) “Retail establishment” or “retail store.” The recommended amendments add the following definitions: (1) “Flim plastic” or “plastic film,” (2) “Prepared food,” (3) “Take out food,” and (4) “"Director" or "Director Public Works and Utilities.” Currently retail establishments have circumvented the City’s mission to promote “reusable bags” by offering thicker (approximately 4-mil) plastic film bags that technically meet the current definition of a “reusable bag” but are not recyclable and are often not reused or become litter.

Recyclability Requirements
Prior to SB 1053 recycled paper bags were required to contain at least 40% postconsumer recycled paper.

The recommended amendments require retail establishments to ensure recycled paper bags contain at least 50% postconsumer recycled paper by January 1, 2028.

DISCUSSION:

The City is collaborating with the County of Santa Cruz, the City of Santa Cruz, and the City of Capitola to revise local bag ordinances and ensure uniformity across the County. This regional approach will help ensure that customers and businesses experience consistent rules both within and outside City limits.

Following adoption of the recommended amendments, all City retail establishments will receive:
 A written notification of the new requirements;
 An in-person outreach visit; and

3  Visually engaging cashier point-of-sale placards explaining the rules and environmental rationale to customers.

This outreach strategy is intended to support compliance, promote reusable bag use, and reduce plastic pollution citywide.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION:

The approval of the recommended amendments to the City’s ordinance are exempt from the California Environmental Quality Act (CEQA) pursuant to 14 Cal. Code Regs. § 15307, as the amendments constitute an action taken by a regulatory agency for the protection of the environment. The amendments are further exempt pursuant to 14 Cal. Code Regs. § 15308, as the amendments constitute an action by the City to protect the environment and pursuant to the “common sense” exception (14 Cal. Code Regs. § 15061(b)(3)) because it can be seen with certainty that there is no possibility that this action may have a significant effect on the environment.

STRATEGIC PLAN:

This project supports the Strategic Plan Goal:

Infrastructure & Environment
The elimination of plastic bags at checkout will reduce plastic litter contamination.

FINANCIAL IMPACT:

The financial impact shall be limited to City staff’s efforts to visit and educate local businesses on the new changes to the WMC.

ALTERNATIVE ACTION:

If City Council chooses not to adopt the recommended amendments, the WMC will not be aligned with SB 1053 or the state’s mission to reduce plastic consumption. Specifically, the WMC will be in conflict with SB 1053 if WMC does not require retail establishments to eliminate plastic bags at checkout, provide recycled paper bags that contain 50% postconsumer recycled paper by 2028, and follow updated recycled content definitions that will be inconsistent with other cities within the county. While retailers will still be required to comply with state law (which requires a $0.10 fee per bag), the City’s Municipal Code would differ from state law, potentially causing confusion for retailers and other community members.

The Council could also choose to eliminate Watsonville Municipal Code Chapter 6-7 (REDUCING SINGLEUSE PLASTIC CARRYOUT BAGS) to defer to SB 1053. This option would still eliminate plastic carryout bags, but the fee would be decreased to the minimum amount of $0.10 per bag. This option would involve state authority rather than local education and enforcement by City staff.

4 ATTACHMENTS AND/OR REFERENCES (IF ANY):

None.

1 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326 SWZ ______ TV ______ PWU ______
ORDINANCE NO. Introduction (CM)

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
WATSONVILLE AMENDING CHAPTER 7 (REDUCING SINGLE-USE
PLASTIC CARRYOUT BAGS) OF TITLE 6 (SANITATION AND HEALTH)

OF THE WATSONVILLE MUNICIPAL CODE TO COMPLY WITH CA SB
1053 CARRYOUT PLASTIC BAG PROHIBITION AND RECYCLED

PAPER BAGS STANDARDS
WHEREAS, on April 24, 2012, the Watsonville City Council adopted Ordinance No. 1284-12 amending Title 6 (Sanitation and Health) of the Watsonville Municipal Code by adding Chapter 7 (Reducing Single-Use Plastic Carryout Bags); and, WHEREAS, on September 22, 2024, Senate Bill (“SB”) 1053, which prohibits stores from providing plastic film carryout bags to a customer at the point of sale, became effective; and,
WHEREAS, the State has since revised certain provisions in SB 1053. The revisions, which will become effective on January 1, 2026, require that by January 1, 2028, all single-use paper carryout bags provided to customers shall contain a minimum of fifty percent (50%) post-consumer recycled paper fiber, and be recyclable in the City of Watsonville’s curbside recycling program; and
WHEREAS, the City Council desires to amend Watsonville Municipal Code Chapter 7 (Reducing Single-Use Plastic Carryout Bags) of Title 6 (Sanitation and Health) to be consistent with SB 1053.
o-0-o

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WATSONVILLE, CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS:

2 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
SECTION 1. RECITALS.

The above recitals are true and correct and incorporated herein by this reference.

SECTION 2. AMENDMENT.

Chapter 7 (Reducing Single-Use Plastic Carryout Bags) is hereby amended as shown in Exhibit A.

SECTION 3. EFFECTIVE DATE.

This ordinance shall take effect thirty (30) days after its adoption.

SECTION 4. SEVERABILITY.

If any section, subsection, phrase or clause of this ordinance is for any reason held to be unconstitutional, such decision shall not affect the validity of the remaining portions of this ordinance. The City Council hereby declares that it would have passed this and each section, subsection, phrase or clause thereof irrespective of the fact that any one or more sections, subsections, phrase or clauses be declared unconstitutional on their face or as applied.

SECTION 5. CALIFORNIA ENVIRONMENTAL QUALITY ACT.

The recommended amendments to the City’s ordinance are exempt from the California Environmental Quality Act (CEQA) pursuant to 14 Cal. Code Regs. § 15307, as the amendments constitute an action taken by a regulatory agency for the protection of a natural resource. The amendments are further exempt pursuant to 14 Cal. Code Regs. § 15308, as the amendments constitute an action by the City to protect the environment and pursuant to the “common sense” exception (14 Cal. Code Regs. § 15061(b)(3)) because it can be seen with certainty that there is no possibility that this action may have a significant effect on the environment.

3 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
SECTION 6. PUBLICATION.

This ordinance shall be published in the Watsonville Register-Pajaronian and/or Santa Cruz Sentinel in compliance with the provisions of the Charter of the City of Watsonville.
******************************

4 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
Exhibit A
CHAPTER 6-7

REDUCING SINGLE-USE PLASTIC CARRYOUT BAGS
Sections:
6-7.100 Intent and finding.
6-7.101 Definitions.
6-7.102 Ban on single-use plastic carryout bags—Store charge for recycled paper carryout bags. Ban on plastic bags and store charge for single use carryout bags and plastic reusable bags.
6-7.1021 Recyclability requirements for recycled paper carryout bags. 6-7.103 Implementation.
6-7.104 Exemptions allowing single-use plastic bags.
6-7.105 Violations.
6-7.106 No conflict with Federal or State law.

Sec. 6-7.100 Intent and Findings.

The Watsonville City Council finds and declares that:
(a) The City of Watsonville makes the following findings:
(1) In June 2012, the City of Watsonville passed its first bag reduction ordinance to eliminate certain types of plastic carryout bags in the City and to encourage reusable bags to reduce waste and to protect the environment from plastic pollution.
(2) In April of 2014, the City of Watsonville updated its bag reduction ordinance to further implement bag reduction mandates.
(3) In November 2016, California voters approved Proposition 67, a statewide referendum to uphold Senate Bill 270 that banned single-use carryout bags. As a result, most grocery stores, retail stores with a pharmacy, convenience food stores, foodmarts, and liquor stores no longer provide single-use, lightweight, plastic carryout bags to their customers at the point of sale.

5 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
(4) Senate Bill 270 allowed the use of thicker film plastic carryout bags that were deemed reusable if they met specified standards. These thicker film plastic carryout bags were not generally reused by consumers and resulted in an increased amount of plastic and plastic waste.
(5) Senate Bill 1053 bans thicker plastic bags at grocery checkouts starting January 1, 2026, closing a loophole in the original bag ban to reduce plastic waste, and requires retailers to offer paper bags (with increasing recycled content) for a 10-cent fee, encouraging reusable bags but allows for jurisdictions to adopt stricter standards.
(b) It is the intent of this ordinance to:
(1) Support and reflect the will of City of Watsonville residents and California voters to ban the distribution of film plastic carryout bags at stores. (2) Incentivize California consumers to bring their own reusable bag for carrying out store purchases, with stores encouraging and supporting this practice, which will reduce the costly and wasteful practice of relying on store-provided carryout bags. (3) Support sustainable and thriving communities and natural environments that are not burdened with pollution from plastic production nor littered with plastic waste. (4) Eliminate film plastic carryout bags from grocery store distribution and increase the recycling of paper carryout bags.
(5) Reduce the proliferation of plastic pollution by eliminating the existing provisions of law that allows film plastic carryout bags to be distributed as reusable bags under the City’s and the state’s bag bans.

6 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
(§ 1, Ord. 1284-12 (CM), eff. June 7, 2012, as amended by § 1, Ord. 1302-14 (CM), eff. April 24, 2014)
The City of Watsonville makes the following findings:
(1) Globally, an estimated 500 billion to 1 trillion petroleum-based plastic bags are used each year, which equals over 1 million per minute, the production and use of which uses over 12 million barrels of oil. The California Integrated Waste Management Board estimates that Californians use nearly 20 billion singleuse plastic bags per year and discard over 100 hundred plastic bags per second.

Further the Environmental Protection Agency estimates that only 5 percent of the plastic bags in California and nationwide are currently recycled. (2) The production and disposal of plastic bags cause significant environmental impacts, including contamination of the environment, the deaths of thousands of marine animals through ingestion and entanglement, widespread litter and debasement of the urban environment, and increased waste disposal costs.
(3) Most plastic carryout bags do not biodegrade, but instead persist in the environment for hundreds of years; rather than breaking down, they slowly break up through abrasion, tearing, and photodegradation into toxic plastic bits that contaminate soil and water, while entering the food web when animals inadvertently ingest these materials. Toxic substances present in plastics are known to cause death or reproductive failure in fish, shellfish, wildlife, and in the humans ingesting the fish.

7 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
(4) Plastic bits absorb dangerous compounds such as
dichlorodipheny/dichloroethylene (DDE), polychlorinated biphenyls (PCB), and other toxic materials present in ocean water. Plastics have been found to concentrate these toxic chemicals at levels of up to 1 million times the levels found in seawater. Plastic bits have displaced plankton in the Pacific Gyre. (5) The U.S. Marine Mammal Commission estimates that 257 marine species have been reported entangled in or having ingested marine debris. Plastic can constrict the animals’ movements or block their digestive system, killing the animals through starvation, exhaustion, or infection from deep wounds caused by tightening material.
(6) According to Save Our Shores, a Santa Cruz based marine conservation non-profit that conducts beach, river, and inland cleanups in the coastal regions of Santa Cruz, San Mateo, and Monterey Counties, from June 2007 to May 2011 they conducted over 400 cleanups where volunteers removed a total of 26,000 plastic bags. Unchecked, this material would have likely entered the marine environment of the Monterey Bay National Marine Sanctuary. (7) Plastic bags returned to supermarkets may be recycled into plastic lumber; however, a very low percentage of bags are actually returned. Recycling bags into lumber does not reduce the impact of making new plastic carryout bags. (8) Compostable plastic carryout bags, as currently manufactured, do not solve the problems of wildlife damage, litter, or resource use addressed by this ordinance. Compostable carryout bags are designed to remain intact until placed in a professional compost facility, so they do not degrade quickly as litter or in a

8 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
marine environment. Producing compostable bags consumes nearly as much fossil fuel as noncompostable bags. Mixing compostable bags with regular plastic bags prevents recycling or composting either of them. Therefore, there is no exemption in this ordinance for compostable carryout bags. (9) Reusable bags are readily available from numerous sources and vendors. Many grocery and other retail establishments throughout the City of Watsonville already offer reusable bags.
(10) This ordinance recognizes that there are energy and environmental consequences of using paper bags. While paper bags do not have the end-of-use impacts of plastic bags, they may use comparable or more energy and resources to manufacture. For this reason, a store charge on paper bags is indicated, as an incentive to reduce their use and encourage reusable bags. Paper bags that contain a minimum of forty fifty percent (50%) (40%) post consumer recycled content have fewer negative impacts than virgin paper bags. (11) Paper shopping bags with forty fifty percent (50%) (40%) post consumer recycled content are easily available, and such bags are in wide use by City of Watsonville merchants.
(12) State law currently prohibits local jurisdictions from placing fees on single-use checkout plastic bags. Therefore, several California Cities have adopted or are pursuing a ban as the most effective remaining means to eliminate the impacts these plastic bags cause. State law does not prohibit jurisdictions from placing fees on paper bags.

9 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
(13) The City of Watsonville has an obligation to protect the environment, the economy, and public health. The City of Watsonville has a waste reduction goal, which is to be reached by waste reduction, reuse, recycling, and composting.

Sec. 6-7.101 Definitions.

For the purposes of this chapter, certain words and phrases used are defined as follows:
(a) "Carryout bags" shall mean bags provided by retailers to customers at the point of sale to hold customers' purchases. "Carryout bags" does not include bags used to contain loose items prior to checkout, such as meat, produce, and bulk goods, and does not include prepackaged products.
(b) “Film plastic” or “plastic film”” shall mean thin continuous polymetric material that can be made from a variety of plastic resins. Common resins used include polyethylene (PE), polypropylene (PP), polyethylene terephthalate (PET), and polyvinyl chloride (PVC).
(c) "Single-use plastic bag" shall mean a single-use carryout bag of any size that is made from film plastic and provided at the point of sale to customers by a retail establishment that is not a recycled paper bag or a reusable bag. (d) "Recycled paper bag" shall mean a paper carryout bag that contains a minimum of 40% postconsumer recycled paper. By January 1, 2028, a recycled paper bag must contain at least 50% postconsumer recycled paper. (e) "Recyclable" shall mean material that can be sorted, cleansed, and reconstituted using the County's available recycling collection programs for the purpose

10 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
of using the altered form in the manufacture of a new product. Recycling does not include burning, incinerating, converting, or otherwise destroying solid waste. (f) "Reusable bag" shall mean any bag with handles that is specifically designed and manufactured for at least 125 uses with a volume of at least 15 liters, and is either (a) made of cloth or other washable woven fabric, or (b) made of durable material that can be disinfected. A "reusable bag" may be made of recycled plastic such as high density polyethylene (HDPE), low density polyethylene (LDPE), or polypropylene, but cannot be made from film plastic.
(g) "Retail establishment" or "retail store" shall mean all sales outlets, stores, shops, restaurants, vehicles, or other places of business located within the City of Watsonville, which operate primarily to sell or convey goods, including "to go" food, directly to the ultimate consumer.
(h) "Exempted uses" shall mean those point-of-purchase or delivery sales which have received an exemption under section 6-7.104 that allows the use of singleuse plastic bags. (i) "Prepared food" shall mean any food or beverage prepared on the premises of a restaurant or retail food vendor by way of cooking, chopping, slicing, mixing, freezing, or squeezing, and require no further preparation or action by the ultimate consumer to be consumed. "Prepared food" shall not include any raw uncooked meat, or fruits and vegetables which are not chopped, squeezed, or mixed.
(j) "Take out food" shall mean prepared food or beverages that require no further preparation or action by the ultimate consumer to be consumed, and are generally purchased to be consumed off the restaurant’s or retail food vendor's premises.

11 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
(k) "Director" or "Director Public Works and Utilities" refers to the Public Works & Utilities Director or their designee.
(a) “Carryout bags” shall mean bags provided by retailers to customers at the point of sale to hold customers’ purchases. “Carryout bags” do not include bags used to contain loose items prior to checkout, such as meat, produce, and bulk goods, and does not include prepackaged products.
(b) “Single-use plastic bag” or “single-use plastic carryout bag” shall mean a single-use carryout bag of any size that is made from plastic and provided at the point of sale to customers by a retail establishment. Single-use plastic bags include both compostable and non-compostable carryout bags.
(c) “Single-use paper bag” shall mean a checkout bag provided by a retail establishment at the point of sale that is made from paper and is not a reusable bag. (d) “Recyclable” shall mean material that can be sorted, cleansed, and reconstituted using the County’s available recycling collection programs for the purpose of using the altered form in the manufacture of a new product. Recycling does not include burning, incinerating, converting, or otherwise destroying sold waste. (e) “Reusable bag” shall mean any bag with handles that is specifically designed and manufactured for multiple reuse, and is either 1) made of cloth or other washable woven fabric, or 2) made of durable material that is at least 2.25 mils thick. A “reusable bag” may be made of recyclable plastic such as high density polyethylene (HDPE), low density polyethylene (LDPE), or polypropylene.

12 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
(f) “Retail establishment” or “retail store” shall mean all sales outlets, stores, shops, vehicles, or other places of business located within the City of Watsonville, which operate primarily to sell or convey goods directly to the ultimate consumer. (g) “Exempted uses” shall mean those point-of-purchase or delivery sales, which have received an exemption under Section 6-7.104 that allows the use of singleuse bags. (h) "Restaurant" shall mean an establishment at a fixed location or a mobile vehicle where food or beverages are prepared and provided to consumers for consumption on the premises, for take-out, or by delivery.

Sec. 6-7.102 Ban on single-use plastic carryout bags Plastic Bags and ---- Store Charge for recycled paper carryout bags. Single-Use Carryout Bags and Plastic Reusable Bags.
(a) Retail establishments are prohibited from providing single-use plastic carryout bags to customers at the point of sale, except as permitted in this Chapter. (b) Retail establishments shall charge a minimum $0.25 fee for each recycled paper carryout bag provided to customers at the point of sale. (c) The charge imposed pursuant to this section shall not be applied to customers participating in the California Special Supplemental Food Program for Women, Infants, and Children, the State Department of Social Services Food Stamp program, or other government-subsidized purchase programs for low-income residents. (d) Notwithstanding the charging requirements set forth in subsection (b) of this Section, recycled paper carryout bags may be distributed without charge by restaurants for the transportation of food or beverages that are provided to customers for consumption on the premises, for take-out, or by delivery.

13 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
(e) The ban on single-use plastic bags and the charge on recycled paper carryout bags does not apply to compostable plastic or paper bags used to protect produce, meat, or otherwise used to protect items as they are put into a carryout bag at checkout, such as paper bags to protect bottles, compostable plastic bags around ice cream or other wet items, paper bags used to weigh candy, paper pharmacy bags or paper bags to protect greeting cards.
(f) Retail establishments are strongly encouraged to make reusable bags available for sale to customers at a reasonable price. Reusable bags which meet the requirements of this chapter may be distributed without charge during limited-duration promotional events.
(g) Retail establishments shall indicate on the customer transaction receipt the number of recycled paper carryout bags provided, and the total amount charged for those bags.
(h) City of Watsonville contractors and special events promoters and their vendors shall not provide single-use plastic carryout bags to participants while performing pursuant to a City of Watsonville contract or permit.
(a) No retail establishment shall provide plastic carryout bags to customers at the point of sale, except as permitted in this chapter. (b) Single-use paper carryout bags provided to customers shall contain a minimum of forty (40%) percent post consumer recycled paper fiber, and be recyclable in the City of Watsonville’s curbside recycling program.
(c) During the period of time starting on the date that this chapter takes effect and continuing for one year thereafter, retail establishments shall charge a minimum tenPage 615 of 660 14 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
cent (.10¢) fee for each single-use paper checkout bag provided to customers at the point of sale. At the completion of the initial one-year period established by this subsection, the charge shall increase to a minimum twenty-five (25¢) cents per bag provided. Retail establishments shall keep annual records of paper bag distribution to be made available to the Director of Public Works or designee upon request. The records shall be evaluated annually for the first five (5) years by the City to ensure the effectiveness of the ordinance.

If it is determined that single-use paper bag or plastic reusable bag use has increased beyond anticipated levels, the City Council shall consider increasing the store charge to improve the effectiveness of the ordinance.
(d) The charge imposed pursuant to this section shall not be applied to customers participating in the California Special Supplemental Food Program for Women, Infants, and Children, the State Department of Social Services Food Stamp program, or other government subsidized purchase programs for low-income residents. (e) Notwithstanding the prohibition set forth in subsection (a) of this section, singleuse paper or plastic carryout bags may be distributed without charge by restaurants for the transportation of food or beverages that are provided to customers for consumption on the premises, for take-out, or by delivery.
(f) The ban on single-use plastic bags and the charge on single-use paper bags would not apply to plastic or paper bags used to protect produce, meat, or otherwise used to protect items as they are put into a carryout bag at checkout. Other examples include: paper bags to protect bottles, plastic bags around ice cream or other wet items,

15 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
paper bags used to weigh candy, paper pharmacy bags or paper bags to protect greeting cards.
(g) Retail establishments are strongly encouraged to make reusable bags available for sale to customers at a reasonable price. Reusable bags which meet the requirements of this ordinance may be distributed without charge during limited-duration promotional events.
(h) Retail establishments shall indicate on the customer transaction receipt the number of carryout bags provided, and the total amount charged for those bags. (i) City of Watsonville contractors and special events promoters, and their vendors, shall not provide single-use plastic carryout bags to participants while performing under a City of Watsonville contract or permit.

Sec. 6-7.1021 Recyclability requirements for recycled paper carryout bags.

Until January 1, 2028, recycled paper carryout bags provided to customers shall contain a minimum of 40 percent post-consumer recycled paper fiber. On and after January 1, 2028 recycled paper carryout bags shall contain a minimum of 50 percent post-consumer recycled paper fiber. All recycled paper carryout bags must be recyclable in the City of Watsonville’s curbside recycling program.

Sec. 6-7.103 Implementation.
(a) Thirty days before this ordinance takes effect, the City of Watsonville shall post, mail or deliver a copy of it to retail establishments within the City of Watsonville. (b) The City of Watsonville will distribute to each store a reproducible placard designed to inform shoppers of the City of Watsonville regulations concerning carryout bags.

16 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
(a) No less than sixty days (60) before this ordinance is enforced, the City of Watsonville shall post, mail or deliver a copy of it to retail establishments within the City of Watsonville.
(b) The City of Watsonville will distribute to each store a reproducible placard designed to inform shoppers of the City of Watsonville of this ordinance.

Sec. 6-7.104 Exemptions allowing single use plastic bags. (a) The Director of Public Works, or the director’s designee, may exempt a retail establishment from the requirement set forth in section 6-7.102 of this chapter for a oneyear period upon the retail establishment showing, in writing, that this chapter would create an undue hardship or practical difficulty not generally applicable to other persons in similar circumstances. The decision to grant or deny an exemption shall be in writing, and the Director’s or the director’s designee’s decision shall be final. (b) An exemption application shall include all information necessary for the Director of Public Works or the director’s designee to make a decision, including but not limited to documentation showing factual support for the claimed exemption. (c) The Director of Public Works or director’s designee may approve the exemption application in whole or in part, with or without conditions.

Sec. 6-7.105 Violations.
(a) The Director of Public Works, or designee, shall have primary responsibility for enforcement of this ordinance and shall have authority to issue citations for violation of this chapter. The Director, or designee, is authorized to establish regulations or administrative procedures to ensure compliance with this chapter.

17 Ord No. (CM)
Reference: Ord. No. 1284-12, 1302-14 (Amend)
Meeting Date: 011326
(b) Violation of this chapter is hereby declared to be a public nuisance. Any violation described in the preceding paragraph shall be subject to abatement by the City of Watsonville, as well as any other remedies that may be permitted by law for public nuisances, and may be enforced by injunction, upon a showing of violation. (c) A violation of this ordinance is an infraction.
(d) The City of Watsonville may enforce the provisions of this ordinance under Chapter 2 of Title 1 of this Code.
(e) Upon a first violation by a retail establishment, the Public Works & Utilities Director or designee shall mail the establishment a written warning. The warning shall recite the violation and advise that future violations may result in fines. (f) The Public Works & Utilities Director may inspect any retail establishment's premises to verify compliance with this chapter.
(§ 1, Ord. 1284-12 (CM), eff. June 7, 2012)
Sec. 6-7.106 No conflict with Federal or State law.

Nothing in this chapter shall be interpreted or applied so as to create any requirement, power, or duty in conflict with any Federal or State law.

1 CITY COUNCIL AGENDA REPORT
MEETING DATE: Monday, January 13, 2025
TO: CITY COUNCIL
WRITTEN BY: POLICE CAPTAIN RADICH & CONTRACTED TRAFFIC ENGINEER

RODRIGUEZ
RECOMMENDED BY: PUBLIC WORKS & UTILITIES DIRECTOR LINDBERG APPROVED BY: TAMARA VIDES, CITY MANAGER
SUBJECT: INTRODUCTION AND FIRST READING OF ORDINANCE MODIFYING

RESTRICTED USE OF CERTAIN STREETS ORDINANCE, AND

AUTHORIZING THE ADDITION OF AN OVERSIZED VEHICLE PARKING

ORDINANCE
RECOMMENDATION:

Introduce for first reading only, waiving full reading of the text, modifications and additions to Title 4-Public Safety, Chapter 5-Traffic, Article 13-Restricted Use of Certain Streets, which modifies Articles 1301 and 1302, and adds Article 1306 “Oversized Vehicle Parking Ordinance” to the Watsonville Municipal Code, to define restrictions specific to the parking of oversize vehicles and trailers, or their combination, on public streets and property.

BACKGROUND:

The City regularly fields complaints from commercial business owners, property owners, and residents regarding the impact of oversized vehicles and trailers being parked on public streets and/or public property. Oversized vehicles and trailers can obstruct access to rights-of-way, reduce sight distance, and reduce visibility at intersections and crosswalks. These obstructions, in turn, can create increased hazardous traffic conditions and risks of collision, endangering motorists, bicyclists, pedestrians, and other members of the public. Currently, most regulation and enforcement of Oversized Vehicles is done using an existing code, 4-5-1003(b), for leaving vehicles parked more than 72-hours, but that section has proven to be ineffective due to the frequent movement of Oversized Vehicles from one part of the City to another.

2 DISCUSSION:

California Vehicle Code 22507(a) allows local authorities, by ordinance or resolution, to prohibit or restrict the stopping, parking, or standing of oversized vehicles on certain streets or highways, or portions thereof, during all or certain hours of the day.

The recommended ordinance updates Watsonville Municipal Code, Title 4-Public Safety, Chapter 5 Traffic, Article 13-Restricted Use of Certain Streets as follows:
 Minor change to 4-5.1301(b): The title “Chief of Police” would be removed and replaced with “Director of Public Works and Utilities or their designee” who would be given the authority to issue permits for oversized loads traveling through our business districts.  Minor change to 4-5.1302: Removed “without payment of the City license tax,” from the section, in reference to vehicles used for advertising purposes that are equipped with sound-amplification or loud-speaker devices. That “City license tax” does not appear on our FY25-26 fee schedule. The advertising vehicle’s use of sound-amplification or loudspeaker devices would still be prohibited by the code.

The recommended new ordinance is intended to better define restrictions on the parking of oversized vehicles or trailers, or their combination, on public streets or on public (City) property.

The recommended ordinance would add section 4-5-1306: Removal of vehicles parked in violation of the Oversized Vehicle restriction:
(a) Purpose: The purpose of this section is to reduce the adverse impacts associated with oversized vehicle parking and increase roadway visibility, increase the safety of pedestrians and motorists using public roadways and other public spaces, and to further protect the public health and safety by eliminating the discharge of septic waste, wastewater, garbage, and litter into the city's storm drains and sanitary sewer.
(b) Definitions: The following words and terms as used in this section shall have the following meanings:
(1) “Oversized vehicle” means a motor vehicle under Vehicle Code section 670 which also meets one or more of the following criteria: exceeds seven (7) feet in height; or exceeds seven and a half (7 1/2’) feet in width; or exceeds twenty-two (22’) feet in length; or having a manufacturer’s gross vehicle weight rating of ten thousand (10,000) pounds or more. (2) “Trailer” means any camping trailer, camper, fifth wheel travel trailer, house car, mobile home, trailer, trailer coach, as defined in Vehicle Code sections 242, 243, 324, 362, 396, 630, 635, or any recreational vehicle as defined in Health and Safety Code section 18010. (c) Parking of oversized vehicles prohibited. Except as provided in subsection (d) below, it shall be unlawful to park any oversized vehicle or trailer or combination of oversized vehicle and trailer on any public street, roadway, alley, City owned or maintained parking lot, or other public place.

The city manager or their designee, shall place signage on streets sufficient to give adequate notice of this prohibition.
(d) Exemptions. The prohibition in subsection (c) should not apply to any of the following:

3 (1) Oversized vehicles actively engaged in loading and unloading deliveries of persons, merchandise, wares, supplies, goods, or other materials in the course of construction or other work from or to an adjacent residence or building.
(2) Oversized vehicles that are parked while the operator is actively engaged in performing a service to or on a property on the same City block where the oversized vehicle is parked. (3) Oversized vehicles involved in an emergency or being repaired under emergency conditions.

Emergency parking may be allowed for eight consecutive hours where an oversized vehicle is left parked on a city street because of a mechanical breakdown or because of physical incapacity of the driver or owner.
(4) Oversized vehicles belonging to federal, state, local authorities, or utility companies or agencies that are parked while the operator of the oversized vehicle is conducting official business. (5) Oversized vehicles that are wheelchair-accessible vans parked for the purpose of providing access or transportation services to an individual.
(6) Oversized vehicles and/or trailers owned or operated by vendors for City-permitted special events, issued pursuant to Section 5-12 of this code, and parked within the designated special event area.
(7) Oversized vehicles and/or trailers parked on streets exempted from this Section by resolution of the City Council.
(8) Recreational vehicles or camping trailers that are parked at Pinto Lake City Park and have paid the daily reservation fees.
(e) Administrative regulations. The Chief of Police or their designee shall adopt administrative regulations governing the implementation of this Section. Said regulations may include notice, vehicle storage, and property inventory policies.
(f) Violations. Violators shall be subject to citation, towing, or both. Any member of the police department authorized by the Chief of Police may remove a vehicle that is stopped, standing or parked in violation of this Section, from the street or highway in the manner and subject to the requirements of Vehicle Code section 22650 et seq. Any vehicle parked in violation of the prohibition set forth in this article will be subject to removal at the owner’s expense.

Signage regarding the Oversized Vehicle Ordinance and its restrictions would be posted at all ingress streets and roadways leading into our City Limits. If this ordinance were to go into effect, the Police Department would modify its existing yellow “Notice of Intent to Tow” form to include the new 4-5- 1036(c) ordinance section, and make sure any vehicle or trailer has the notice affixed to it for at least twenty-four (24) hours prior to any towing.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION:

This ordinance is exempt from the California Environmental Quality Act (“CEQA”) because the ordinance does not qualify as a project and will not result in a direct or reasonably foreseeable indirect physical change in the environment. (CEQA Guidelines, §§15060, subds. (c)(2), (c)(3), 15061, subd. (b)(3).

4 STRATEGIC PLAN:

Infrastructure & Environment
Public Safety
FINANCIAL IMPACT:

About twenty-five (25) signs would need to be posted to advise incoming motorists of the City’s Oversized Vehicle Ordinance and its restrictions. The signs have a general cost of about $250 each, which would come to a total of $6,250 and would be funded by Gas Tax Funding. The signs would be affixed by our Public Works Traffic Operations crew.

ALTERNATIVE ACTION:

The City Council could choose to not implement this ordinance at this time, but our enforcement efforts for Oversized Vehicles and trailers would remain limited.

ATTACHMENTS AND/OR REFERENCES (IF ANY):

1. Watsonville Police Department Policy #510 – Towing Vehicles and Release

Policy
510
Watsonville Police Department
Watsonville PD Policy Manual
Copyright Lexipol, LLC 2025/12/15, All Rights Reserved.

Published with permission by Watsonville Police Department Vehicle Towing and Release - 1
Vehicle Towing and Release
510.1 PURPOSE AND SCOPE
This policy provides the procedures for towing a vehicle by or at the direction of the Watsonville Police Department. Nothing in this policy shall require the Department to tow a vehicle. 510.2 STORAGE AND IMPOUNDS
When circumstances permit, for example when towing a vehicle for parking or registration violations, the handling employee should, prior to having the vehicle towed, make a good faith effort to notify the owner of the vehicle that it is subject to removal. This may be accomplished by personal contact, telephone or by leaving a notice attached to the vehicle at least 24 hours prior to removal. If a vehicle presents a hazard, such as being abandoned on the roadway, it may be towed immediately.

The responsibilities of those employees towing, storing or impounding a vehicle are listed below. 510.2.1 VEHICLE STORAGE REPORT
Department members requesting towing, storage, or impound of a vehicle shall complete CHP Form 180 and accurately record the mileage and a description of property within the vehicle (Vehicle Code § 22850). A copy of the storage report should be given to the tow truck operator, and the original shall be submitted to the Records Unit as soon as practicable after the vehicle is stored.
510.2.2 REMOVAL OF VEHICLE DISABLED IN A TRAFFIC COLLISION When a vehicle has been involved in a traffic collision and must be removed from the scene, the officer shall have the driver select a towing company, if possible, and shall relay the request for the specified towing company to the dispatcher. When there is no preferred company requested, a company will be selected from the rotational list of towing companies in Net-Com.

If the owner is incapacitated, or for any reason it is necessary for the Department to assume responsibility for a vehicle involved in a collision, the officer shall request the dispatcher to call a company from the rotational list of towing companies. The officer will then store the vehicle using a CHP form 180.
510.2.3 STORAGE AT ARREST SCENES
Whenever a person in charge or in control of a vehicle is arrested, it is the policy of this department to provide reasonable safekeeping by storing the arrestee’s vehicle subject to the exceptions described below. The vehicle, however, shall be stored whenever it is needed for the furtherance of the investigation or prosecution of the case, or when the community caretaker doctrine would reasonably suggest that the vehicle should be stored (e.g., traffic hazard, high-crime area).

The following are examples of situations where consideration should be given to leaving a vehicle at the scene in lieu of storing, provided the vehicle can be lawfully parked and left in a reasonably secured and safe condition: Attachment 1

Watsonville Police Department
Watsonville PD Policy Manual
Vehicle Towing and Release
Copyright Lexipol, LLC 2025/12/15, All Rights Reserved.

Published with permission by Watsonville Police Department Vehicle Towing and Release - 2
• Traffic-related warrant arrest.
• Situations where the vehicle was not used to further the offense for which the driver was arrested.
• Whenever the licensed owner of the vehicle is present, willing, and able to take control of any vehicle not involved in criminal activity.
• Whenever the vehicle otherwise does not need to be stored and the owner requests that it be left at the scene. In such cases, the owner shall be informed that the Department will not be responsible for theft or damages. 510.2.4 IMPOUNDMENT AT SOBRIETY CHECKPOINTS
Whenever a driver is stopped at a sobriety checkpoint and the only violation is that the operator is driving without a valid driver’s license, the officer shall make a reasonable attempt to identify the registered owner of the vehicle (Vehicle Code § 2814.2). The officer shall release the vehicle to the registered owner if the person is a licensed driver, or to another licensed driver authorized by the registered owner, provided the vehicle is claimed prior to the conclusion of the checkpoint operation.

If the vehicle is released at the checkpoint, the officer shall list on his/her copy of the notice to appear the name and driver’s license number of the person to whom the vehicle is released.

When a vehicle cannot be released at the checkpoint, it shall be towed (Vehicle Code § 22651(p)).

When a vehicle is removed at the checkpoint, it shall be released during the normal business hours of the storage facility to the registered owner or his/her agent upon presentation of a valid driver’s license and current vehicle registration.
510.2.5 DRIVING A NON-CITY VEHICLE
Vehicles which have been towed by or at the direction of the Department should not be driven by police personnel unless it is necessary to move a vehicle a short distance to eliminate a hazard, prevent the obstruction of a fire hydrant or to comply with posted signs. 510.2.6 DISPATCHER’S RESPONSIBILITIES
Upon receiving a request for towing, the dispatcher shall promptly telephone the specified authorized towing service. The officer shall be advised when the request has been made and the towing service has been dispatched.

When there is no preferred company requested, the dispatcher shall call the next firm in rotation from the list of approved towing companies and shall make appropriate entries on that form to ensure the following firm is called on the next request. 510.2.7 RECORDS UNIT RESPONSIBILITY
Records personnel shall promptly enter pertinent data from the completed storage form (CHP Form 180) into the Stolen Vehicle System and return the form to the Watch Commander for approval (Vehicle Code § 22651.5(b); Vehicle Code § 22851.3(b); Vehicle Code § 22854.5).

Attachment 1

Watsonville Police Department
Watsonville PD Policy Manual
Vehicle Towing and Release
Copyright Lexipol, LLC 2025/12/15, All Rights Reserved.

Published with permission by Watsonville Police Department Vehicle Towing and Release - 3
Approved storage forms shall be promptly placed into the auto-file so that they are immediately available for release or review should inquiries be made.

Within 48 hours, excluding weekends and holidays, of the storage of any such vehicle it shall be the responsibility of the Records Unit to determine the names and addresses of any individuals having an interest in the vehicle through DMV or CLETS computers. Notice shall be sent to all such individuals by mail as applicable and as provided in Vehicle Code § 22851.3(d), Vehicle Code § 22852(a), and Vehicle Code § 14602.6(a)(2). The notice shall include the following (Vehicle Code § 22852(b)):
(a) The name, address, and telephone number of this Department (b) The location of the place of storage and description of the vehicle, which shall include, if available, the name or make, the manufacturer, the license plate number, and the mileage
(c) The authority and purpose for the removal of the vehicle (d) A statement that, in order to receive their post-storage hearing, the owners, or their agents, shall request the hearing in person, in writing, or by telephone within 10 days of the date appearing on the notice
510.3 TOWING SERVICES
The City of Watsonville periodically selects a firm to act as the official tow service and awards a contract to that firm. This firm will be used in the following situations:
(a) When it is necessary to safeguard a vehicle due to the inability of the owner or operator to take the required action.
(b) When a vehicle is being held as evidence in connection with an investigation. (c) When it is otherwise necessary to store a motor vehicle. This would include situations involving the recovery of stolen or abandoned vehicles, and the removal of vehicles obstructing traffic in violation of state or local regulations. 510.4 VEHICLE INVENTORY
All property in a stored or impounded vehicle shall be inventoried and listed on the vehicle storage form. This includes the trunk and any compartments or containers, even if closed and/or locked.

Members conducting inventory searches should be as thorough and accurate as practical in preparing an itemized inventory. These inventory procedures are for the purpose of protecting an owner's property while in police custody, to provide for the safety of officers, and to protect the Department against fraudulent claims of lost, stolen, or damaged property. 510.5 SECURITY OF VEHICLES AND PROPERTY
Unless it would cause an unreasonable delay in the completion of a vehicle impound/storage or create an issue of officer safety, officers should make reasonable accommodations to permit a driver/owner to retrieve small items of value or personal need (e.g., cash, jewelry, cell phone, prescriptions) that are not considered evidence or contraband. Attachment 1

Watsonville Police Department
Watsonville PD Policy Manual
Vehicle Towing and Release
Copyright Lexipol, LLC 2025/12/15, All Rights Reserved.

Published with permission by Watsonville Police Department Vehicle Towing and Release - 4
If a search of a vehicle leaves the vehicle or any property contained therein vulnerable to unauthorized entry, theft, or damage, personnel conducting the search shall take such steps as are reasonably necessary to secure and/or preserve the vehicle or property from such hazards. 510.6 RELEASE OF VEHICLE
The Department will maintain a listed, 24-hour telephone number to provide information regarding impoundment of vehicles and the right of the registered owner to request a storage hearing.

Releases for towed vehicles will be made available during regular, non-emergency business hours (Vehicle Code § 14602.6).
(a) Vehicles removed pursuant to Vehicle Code § 22850 shall be released after proof of current registration is provided by the owner or the person in control of the vehicle and after all applicable fees are paid (Vehicle Code § 22850.3; Vehicle Code § 22850.5). (b) Vehicles removed that require payment of parking fines or proof of valid driver’s license shall only be released upon presentation of proof of compliance, proof of payment, completion of affidavit, and payment of applicable fees related to the removal (Vehicle Code § 22651 et seq., Vehicle Code § 22652 et seq., Vehicle Code § 22850.3; Vehicle Code § 22850.5).
(c) A vehicle removed pursuant to Vehicle Code § 14602.6(a) shall be released to the registered owner or his/her agent with proof of current registration, proof of a valid driver’s license, and applicable fees paid prior to the end of the 30-day impoundment period under any of the following circumstances:

1. The vehicle was stolen.

2. If the driver reinstates his/her driver's license or acquires a license and provides proof of proper insurance.

3. Any other circumstance as set forth in Vehicle Code § 14602.6.

4. When there is no remaining community caretaking need to continue impound of the vehicle or the continued impound would not otherwise comply with the Fourth Amendment.
(d) An autonomous vehicle removed under authority of Vehicle Code § 22651(o)(1)(D) shall be released to the registered owner or person in control of the autonomous vehicle if the requirements of Vehicle Code § 22651(o)(3)(B) are met.

Personnel whose duties include releasing towed vehicles should consult the Vehicle Code under which the vehicle was towed or impounded for any specific requirements prior to release.

Employees who suspect that a vehicle was impounded in error should promptly advise a supervisor. Supervisors should approve, when appropriate, the release of the vehicle without requiring the registered owner or his/her agent to request a hearing, as described in the Vehicle Impound Hearings Policy.

Attachment 1

Watsonville Police Department
Watsonville PD Policy Manual
Vehicle Towing and Release
Copyright Lexipol, LLC 2025/12/15, All Rights Reserved.

Published with permission by Watsonville Police Department Vehicle Towing and Release - 5
510.7 TOWING FOR EXPIRED REGISTRATION
Prior to a member removing a vehicle that is found to have expired registration for more than six months, the member shall verify that no current registration exists with the Department of Motor Vehicles (DMV). If current registration exists with the DMV, the vehicle shall not be removed (Vehicle Code § 22651(o)(1)(A)).

Attachment 1

1 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326 SWZ ______ TV ______ Police ______ ORDINANCE NO. Introduction (CM)

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
WATSONVILLE AMENDING EXISTING SECTIONS 4-5.1301 AND 4-

5.1302 OF ARTICLE 13 (RESTRICTED USE OF CERTAIN STREETS) OF CHAPTER 5 (TRAFFIC) OF TITLE 4 (PUBLIC SAFETY) OF THE

WATSONVILLE MUNICIPAL CODE TO AMEND EXISTING

RESTRICTIONS RELATED TO USE OF PUBLIC STREETS AND AMEND

EXISTING RESTRICTIONS RELATED TO ADVERTISING VEHICLES
EQUIPPED WITH SOUND-AMPLIFYING DEVICES; AND ADDING A
NEW SECTION 4-5.1306 OF ARTICLE 13 (RESTRICTED USE OF
CERTAIN STREETS) OF CHAPTER 5 (TRAFFIC) OF TITLE 4 (PUBLIC

SAFETY) OF THE WATSONVILLE MUNICIPAL CODE TO ESTABLISH

A PROHIBITION ON PARKING OF OVERSIZED VEHICLES
WHEREAS, the City of Watsonville is a charter city; and WHEREAS, pursuant to Article XI, Sections 5(a) and 7 of the California Constitution, and the City’s authority as a charter city to exercise the full measure of its police power regarding municipal affairs, the City is empowered and charged with responsibility for the health, safety, and welfare of its residents; and WHEREAS, Vehicle Code section 22507 authorizes the City to prohibit or restrict the stopping, parking, or standing of oversized vehicles on certain streets or highways, or portions thereof, during all or certain hours of the day; and WHEREAS, the parking of oversized vehicles can create public safety concerns; and
WHEREAS, oversized vehicles can obstruct access to rights-of-way, reduce sight distance, and reduce visibility at intersections and crosswalks; and WHEREAS, these obstructions, in turn, can create increased hazardous traffic conditions and risks of collision and endanger motorists, bicyclists, pedestrians, and other members of the public; and

2 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
WHEREAS, the City Council desires to limit parking of oversized vehicles on City streets and prohibit encroachments on City streets; and WHEREAS, the City Council wishes to provide limited exceptions to the prohibitions on oversized vehicles in the public right-of-way; and WHEREAS, the City Council desires to update the Watsonville Municipal Code to enact an oversized vehicle parking restriction.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WATSONVILLE DOES ORDAIN AS FOLLOWS:

Section 1. Findings.

The City Council of the City of Watsonville does hereby find that the above referenced recitals are true and correct and material to the adoption of this ordinance.

Section 2. Amendment.

Section 4-5.1301 (Certain vehicles prohibited in business districts) of the Watsonville Municipal Code is hereby amended to read as set forth in Exhibit A, attached hereto and incorporated herein by this reference.

Section 3. Amendment.

Section 4-5.1302 (Advertising vehicles) of the Watsonville Municipal Code is hereby amended to read as set forth in Exhibit B, attached hereto and incorporated herein by this reference.

Section 4. Amendment.

A new section 4-5.1306 (Removal of vehicles parked in violation of oversized vehicle restriction) is hereby added to the Watsonville Municipal Code as set forth in Exhibit C, attached hereto and incorporated herein by this reference.

3 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
Section 5. Environmental Determination.

The City Council finds that this ordinance is exempt from the California Environmental Quality Act (“CEQA”) because the ordinance does not qualify as a project and will not result in a direct or reasonably foreseeable indirect physical change in the environment. (CEQA Guidelines, §§15060, subds. (c)(2), (c)(3), 15061, subd. (b)(3).) Section 6. Severability.

If any section, subsection, sentence, clause, phrase, or word of this ordinance is for any reason held to be unconstitutional, unlawful, or otherwise invalid by a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance.

Section 7. Effective Date.

This ordinance shall take effect thirty (30) days after passage by the City Council.

Section 8. Publication.

This ordinance shall be published in the Watsonville Register-Pajaronian and/or Santa Cruz Sentinel in compliance with the provisions of the Charter of the City of Watsonville.

4 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
Exhibits
A. Section 4-5.1301 (Certain vehicles prohibited in business districts) Amendment B. Section 4-5.1302 (Advertising vehicles) Amendment
C. Section 4-5.1306 (Removal of vehicles parked in violation of oversized vehicle restriction) Addition

5 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
Exhibit A
Section 4-5.1301 Certain vehicles prohibited in business districts. (additions in underline, deletions in strikethrough):
(a) No person shall operate any of the following vehicles in the business district between the hours of 7:00 a.m. and 6:00 p.m. of any day:
(1) Any freight vehicle more than eight and one-half (8 1/2') feet in width with load or any freight vehicle so loaded that any part of its load extends more than twenty (20') feet to the front or rear of such vehicle;
(2) Any vehicle carrying building materials which have not been loaded or are not to be unloaded at some point within the business district;
(3) Any freight vehicle with a trailer; or
(4) Any vehicle carrying crude or fuel oil.
(b) The Chief of PoliceThe Director of Public Works and Utilities or their designee, by written permit, may authorize the operation of such vehicles for the purpose of making necessary emergency deliveries to or from points within the business district.

6 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
Exhibit B
Section 4-5.1302 (Advertising vehicles) (additions in underline, deletions in strikethrough):

No person shall operate or drive any vehicle used for advertising purposes or any advertising vehicle equipped with a sound-amplifying or loud-speaking device upon any street or alley. without the payment of the City license tax.

7 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
Exhibit C
Section 4-5.1306 Removal of vehicles parked in violation of oversized vehicle restriction (additions in underline, deletions in strikethrough):

Section 4-5.1306 Removal of vehicles parked in violation of oversized vehicle restriction (a) Purpose.

The purpose of this section is to reduce the adverse impacts associated with oversized vehicle parking and increase roadway visibility, increase the safety of pedestrians and motorists using public roadways and other public spaces, and to further protect the public health and safety by eliminating the discharge of septic waste, wastewater, garbage, and trash into the city's storm sewer and sanitary sewer.
(b) Definitions.

The following words and terms, as used in this section, shall have the following meanings:
(1) “Oversized vehicle” means a motor vehicle under Vehicle Code section 670 which also meets one or more of the following criteria: exceeds seven (7) feet in height; or exceeds seven and a half (7 1/2’) feet in width; or exceeds twenty-two (22’) feet in length; or having a manufacturer’s gross vehicle weight rating of ten thousand (10,000) pounds or more. (2) “Trailer” means any camping trailer, camper, fifth wheel travel trailer, house car, mobile home, trailer, trailer coach, as defined in Vehicle Code sections 242, 243, 324, 362, 396, 630, 635, or any recreational vehicle as defined in Health and Safety Code section 18010. (c) Parking of oversized vehicles prohibited.

Except as provided in subsection (d) below, it shall be unlawful to park any oversized vehicle or trailer or combination of oversized vehicle and trailer on any public street, roadway, alley, City owned or maintained parking lot, or other public place. The city manager or their designee, shall place signage on streets sufficient to give adequate notice of this prohibition. (d) Exemptions.

The prohibition in subsection (c) shall not apply to any of the following:
(1) Oversized vehicles actively engaged in loading and unloading deliveries of persons, merchandise, wares, supplies, goods or other materials in the course of construction or other work from or to an adjacent residence or building. (2) Oversized vehicles that are parked while the operator is actively engaged in performing a service to or on a property on the same City block where the oversized vehicle is parked. (3) Oversized vehicles involved in an emergency or being repaired under emergency conditions. Emergency parking may be allowed for eight consecutive hours where an oversized vehicle is left parked on a city street because of a mechanical breakdown or because of physical incapacity of the driver or owner.

8 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
(4) Oversized vehicles belonging to federal, state, local authorities, or utility companies or agencies that are parked while the operator of the oversized vehicle is conducting official business.
(5) Oversized vehicles that are wheelchair-accessible vans parked for the purpose of providing access or transportation services to an individual. (6) Oversized vehicles and/or trailers owned or operated by vendors for City-permitted special events, issued pursuant to Section 5-12 of this code, and parked within the designated special event area.
(7) Oversized vehicles and/or trailers parked on streets exempted from this Section by resolution of the City Council.
(8) Recreational vehicles or camping trailers that are parked at Pinto Lake City Park and have paid the daily reservation fees.
(e) Administrative regulations.

The Chief of Police or their designee shall adopt administrative regulations governing the implementation of this Section. Said regulations may include notice, vehicle storage, and property inventory policies.
(f) Violations.

Violators shall be subject to citation, towing, or both. Any member of the police department authorized by the Chief of Police may remove a vehicle that is stopped, standing, or parked in violation of this Section, from the street or highway in the manner and subject to the requirements of Vehicle Code section 22650 et seq. Any vehicle parked in violation of the prohibition set forth in this article will be subject to removal at the owner’s expense.

UPDATED
1 Ord No. ______ (CM)
Reference: Ord No. 486 NCS
Meeting Date: 011326 SWZ ______ TV ______ WPD ______
ORDINANCE NO. Introduction (CM)

ORDINANCE OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE AMENDING EXISTING SECTIONS 4-5.1301 AND 4-5.1302 OF ARTICLE 13 (RESTRICTED USE OF CERTAIN STREETS) OF CHAPTER 5
(TRAFFIC) OF TITLE 4 (PUBLIC SAFETY) OF THE WATSONVILLE

MUNICIPAL CODE TO AMEND EXISTING RESTRICTIONS RELATED

TO USE OF PUBLIC STREETS AND AMEND EXISTING RESTRICTIONS RELATED TO ADVERTISING VEHICLES EQUIPPED WITH SOUNDAMPLIFYING DEVICES; AND ADDING A NEW SECTION 4-5.1306 OF ARTICLE 13 (RESTRICTED USE OF CERTAIN STREETS) OF CHAPTER 5 (TRAFFIC) OF TITLE 4 (PUBLIC SAFETY) OF THE WATSONVILLE

MUNICIPAL CODE TO ESTABLISH A PROHIBITION ON PARKING OF

OVERSIZED VEHICLES
WHEREAS, the City of Watsonville is a charter city; and WHEREAS, pursuant to Article XI, Sections 5(a) and 7 of the California Constitution, and the City’s authority as a charter city to exercise the full measure of its police power regarding municipal affairs, the City is empowered and charged with responsibility for the health, safety, and welfare of its residents; and WHEREAS, Vehicle Code section 22507 authorizes the City to prohibit or restrict the stopping, parking, or standing of oversized vehicles on certain streets or highways, or portions thereof, during all or certain hours of the day; and WHEREAS, the parking of oversized vehicles can create public safety concerns; and
WHEREAS, oversized vehicles can obstruct access to rights-of-way, reduce sight distance, and reduce visibility at intersections and crosswalks; and WHEREAS, these obstructions, in turn, can create increased hazardous traffic conditions and risks of collision and endanger motorists, bicyclists, pedestrians, and other members of the public; and

2 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
WHEREAS, the City Council desires to limit parking of oversized vehicles on City streets and prohibit encroachments on City streets; and WHEREAS, the City Council wishes to provide limited exceptions to the prohibitions on oversized vehicles in the public right-of-way; and WHEREAS, the City Council desires to update the Watsonville Municipal Code to enact an oversized vehicle parking restriction.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WATSONVILLE DOES ORDAIN AS FOLLOWS:

Section 1. Findings.

The City Council of the City of Watsonville does hereby find that the above referenced recitals are true and correct and material to the adoption of this ordinance.

Section 2. Amendment.

Section 4-5.1301 (Certain vehicles prohibited in business districts) of the Watsonville Municipal Code is hereby amended to read as set forth in Exhibit A, attached hereto and incorporated herein by this reference.

Section 3. Amendment.

Section 4-5.1302 (Advertising vehicles) of the Watsonville Municipal Code is hereby amended to read as set forth in Exhibit B, attached hereto and incorporated herein by this reference.

Section 4. Amendment.

A new section 4-5.1306 (Removal of vehicles parked in violation of oversized vehicle restriction) is hereby added to the Watsonville Municipal Code as set forth in Exhibit C, attached hereto and incorporated herein by this reference.

3 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
Section 5. Environmental Determination.

The City Council finds that this ordinance is exempt from the California Environmental Quality Act (“CEQA”) because the ordinance does not qualify as a project and will not result in a direct or reasonably foreseeable indirect physical change in the environment. (CEQA Guidelines, §§15060, subds. (c)(2), (c)(3), 15061, subd. (b)(3).) Section 6. Severability.

If any section, subsection, sentence, clause, phrase, or word of this ordinance is for any reason held to be unconstitutional, unlawful, or otherwise invalid by a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance.

Section 7. Effective Date.

This ordinance shall take effect thirty (30) days after passage by the City Council.

Section 8. Publication.

This ordinance shall be published in the Watsonville Register-Pajaronian and/or Santa Cruz Sentinel in compliance with the provisions of the Charter of the City of Watsonville.

4 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
Exhibits
A. Section 4-5.1301 (Certain vehicles prohibited in business districts) Amendment B. Section 4-5.1302 (Advertising vehicles) Amendment
C. Section 4-5.1306 (Removal of vehicles parked in violation of oversized vehicle restriction) Addition

5 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
Exhibit A
Section 4-5.1301 Certain vehicles prohibited in business districts. (additions in underline, deletions in strikethrough):
(a) No person shall operate any of the following vehicles in the business district between the hours of 7:00 a.m. and 6:00 p.m. of any day:
(1) Any freight vehicle more than eight and one-half (8 1/2') feet in width with load or any freight vehicle so loaded that any part of its load extends more than twenty (20') feet to the front or rear of such vehicle;
(2) Any vehicle carrying building materials which have not been loaded or are not to be unloaded at some point within the business district;
(3) Any freight vehicle with a trailer; or
(4) Any vehicle carrying crude or fuel oil.
(b) The Chief of PoliceThe Chief of Police or Designee by written permit, may authorize the operation of such vehicles for the purpose of making necessary emergency deliveries to or from points within the business district.

6 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
Exhibit B
Section 4-5.1302 (Advertising vehicles) (additions in underline, deletions in strikethrough):

No person shall operate or drive any vehicle used for advertising purposes or any advertising vehicle equipped with a sound-amplifying or loud-speaking device upon any street or alley. without the payment of the City license tax.

7 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
Exhibit C
Section 4-5.1306 Removal of vehicles parked in violation of oversized vehicle restriction (additions in underline, deletions in strikethrough):

Section 4-5.1306 Removal of vehicles parked in violation of oversized vehicle restriction (a) Purpose.

The purpose of this section is to reduce the adverse impacts associated with oversized vehicle parking and increase roadway visibility, increase the safety of pedestrians and motorists using public roadways and other public spaces, and to further protect the public health and safety by eliminating the discharge of septic waste, wastewater, garbage, and trash into the city's storm sewer and sanitary sewer.
(b) Definitions.

The following words and terms, as used in this section, shall have the following meanings:
(1) “Oversized vehicle” means a motor vehicle under Vehicle Code section 670 which also meets one or more of the following criteria: exceeds eight (8) feet in height; or exceeds seven and a half (7 1/2’) feet in width; or exceeds twenty-two (22’) feet in length; or having a manufacturer’s gross vehicle weight rating of ten thousand (10,000) pounds or more. (2) “Trailer” means any camping trailer, camper, fifth wheel travel trailer, house car, mobile home, trailer, trailer coach, as defined in Vehicle Code sections 242, 243, 324, 362, 396, 630, 635, or any recreational vehicle as defined in Health and Safety Code section 18010. (c) Parking of oversized vehicles prohibited.

Except as provided in subsection (d) below, it shall be unlawful to park any oversized vehicle or trailer or combination of oversized vehicle and trailer on any public street, roadway, alley, City owned or maintained parking lot, or other public place. The city manager or their designee, shall place signage on streets sufficient to give adequate notice of this prohibition. (d) Exemptions.

The prohibition in subsection (c) shall not apply to any of the following:
(1) Oversized vehicles actively engaged in loading and unloading deliveries of persons, merchandise, wares, supplies, goods or other materials in the course of construction or other work from or to an adjacent residence or building. (2) Oversized vehicles that are parked while the operator is actively engaged in performing a service to or on a property on the same City block where the oversized vehicle is parked. (3) Oversized vehicles involved in an emergency or being repaired under emergency conditions. Emergency parking may be allowed for eight consecutive hours where an oversized vehicle is left parked on a city street because of a mechanical breakdown or because of physical incapacity of the driver or owner.

8 Ord No. ______ (CM)
Reference: Ord. No. 486 NCS
Meeting Date: 011326
(4) Oversized vehicles belonging to federal, state, local authorities, or utility companies or agencies that are parked while the operator of the oversized vehicle is conducting official business.
(5) Oversized vehicles that are wheelchair-accessible or passenger vans parked for the purpose of providing access or transportation services to an individual. (6) Oversized vehicles and/or trailers owned or operated by vendors for City-permitted special events, issued pursuant to Section 5-12 of this code, and parked within the designated special event area.
(7) Oversized vehicles and/or trailers parked on streets exempted from this Section by resolution of the City Council.
(8) Recreational vehicles or camping trailers that are parked at Pinto Lake City Park and have paid the daily reservation fees.
(9) Oversized vehicles and/or trailers parked in an area with the zoning designation of Industrial Park or General Industrial owned by a company licensed by the City to tow other vehicles.
(e) Administrative regulations.

The Chief of Police or their designee shall adopt administrative regulations governing the implementation of this Section. Said regulations may include notice, vehicle storage, and property inventory policies.
(f) Violations.

Violators shall be subject to citation, towing, or both. Any member of the police department authorized by the Chief of Police may remove a vehicle that is stopped, standing, or parked in violation of this Section, from the street or highway in the manner and subject to the requirements of Vehicle Code section 22650 et seq. Any vehicle parked in violation of the prohibition set forth in this article will be subject to removal at the owner’s expense.

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Sakata Ln. (D1)
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Freedom Bl. (D5)
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Anna St. (D3)
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