City Council
Gary Hansen, Mayor
Evan Hutson, Vice Mayor
Rick Thomas, Council Member
David Vodden, Council Member
Forrest Sprague, Council Member
City Manager
Marti Brown
City Clerk
Amos Hoover
Willows City Council
Regular Meeting
October 15, 2024
Willows City Hall
6:00 PM
201 North Lassen Street
Willows, CA 95988
(530) 934-7041
Agenda
Watch the Council meeting online via Zoom:
https://us06web.zoom.us/j/83075745683
Remote viewing of the City Council meeting for members of the public is provided for convenience only. In the event that the remote viewing connection malfunctions for any reason, the City Council reserves the right to conduct the meeting without remote viewing.
1. CALL TO ORDER
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
4. CHANGES TO THE AGENDA
5. CEREMONIAL MATTERS
a. Proclamation – Fire Prevention Month
6. PUBLIC COMMENT & CONSENT CALENDAR FORUM
All matters on the Consent Calendar are considered routine and are approved by one motion and vote, unless Councilmembers or the City Manager first requests that a matter be removed for separate discussion and action. Individuals wishing to address the City Council concerning Consent Calendar items or regarding matters that are not already on the agenda are invited to make oral comments of up to three minutes at this time.
Please address your comments to the Mayor and Councilmembers, and not to staff and/or the audience. By State law, the Council is not permitted to undertake any action or discussion on any item not appearing on the posted agenda. If you have any documentation that you would like distributed to the City Council, please mail it to the City Clerk at 201 North Lassen Street, Willows, CA 95988 or email it to: [email protected]. a. Register Approval
Recommended Action: Approve general checking, payroll, and direct deposit check registers.
Contact: Amos Hoover, City Clerk, [email protected] b. Minutes Approval
Recommended Action: Approve the September 10, 2024, meeting minutes.
Contact: Amos Hoover, City Clerk, [email protected] c. Support for Proposition 36
Recommended Action: Approve a resolution declaring the City of Willows’ support for Proposition 36 – The Homelessness, Drug Addiction, and Theft Reduction Act. 1 Contact: Marti Brown, City Manager, [email protected] d. Office of Emergency Services - Portal to Portal Agreement Recommended Action: Adopt a resolution amending the current resolution on file with the California Office of Emergency Services (CAL OES) to ensure prompt and adequate compensation for mutual aid and pre-position assignments.
Contact: Nate Monck, Fire Chief, [email protected]
7. DISCUSSION & ACTION CALENDAR
All matters in this section of the agenda are discussed and will be acted on individually. Individuals wishing to address the City Council concerning any of these items are invited to make oral comments of up to three minutes at this time. Please address your comments to the Mayor and Councilmembers, and not to staff and/or the audience. When the Mayor calls for public comment, please raise your hand to be acknowledged. While not required, the City requests that you please state your name clearly for the audio recording. By State law, the Council is not permitted to undertake any action or discussion on any item not appearing on the posted agenda.
If you have any documentation that you would like distributed to the City Council, please mail it to the City Clerk at 201 North Lassen Street, Willows, CA 95988 or email it to: [email protected]. a. The Finance & Measure i Oversight Committee
Recommended Action: To replace the former “Finance Committee” with The Finance and Measure i Oversight Committee (FMiOC) and its Bylaws (Attachment 1).
Contact: Marti Brown, City Manager, [email protected] b. FY 2025-26 Stop-Gap Financing Options
Recommended Action: Receive the staff presentation and provide any feedback. Based on Council direction, staff will return with a recommended action after the November 5, 2024, election should Measure I be approved by the voters.
Contact: Marti Brown, City Manager, [email protected]
8. COMMENTS & REPORTS
a. Council Correspondence
b. City Council Comments & Reports
c. City Manager’s Report
10. ADJOURNMENT
This agenda was posted on October 7, 2024.
______________________________
Amos Hoover, City Clerk
A complete agenda packet, including staff reports and back-up information, is available for public inspection during normal work hours at City Hall at 201 North Lassen Street in Willows or on the City’s website at www.cityofwillows.org. In compliance with the Americans with Disabilities Act, the City of Willows will make available to members of the public any special assistance necessary to participate in this meeting. If requested, the agenda shall be made available in appropriate alternative formats to persons with a disability, as required by Section 202 of the Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12132). The public should contact the City Clerk’s office at 934-7041 to make such a request. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting.
The City of Willows is an Equal Opportunity Provider.
2 CEREMONIAL
MATTERS
3 Agenda Item #5a.
City of Willows
Proclamation
FIRE PREVENTION MONTH
WHEREAS, the City of Willows is committed to ensuring the safety and security of all those living and visiting in the City; and
WHEREAS, in the United States, the first Presidential proclamation of Fire Prevention Week was made in 1925 by President Calvin Coolidge; and WHEREAS, each year, during the month of October, the Willows Fire Department takes this opportunity to remind the citizens of Willows of the devastating impact fire has on each of us; and
WHEREAS, during the year 2023, the Willows Fire Department responded to 103 fires, 632 EMS incidents, 60 traffic collisions, 14 hazardous materials incidents, 121 public service requests, and 19 mutual aid requests; and WHEREAS, this year’s theme from the National Fire Protection Association is “Smoke Alarms: Make them work for you!” Emphasizing the importance of ensuring fully operational smoke alarms are installed in the home.
WHEREAS, the majority of US fire related deaths (4 out of 5) occur at home each year; and
WHEREAS, Willows’ residents are responsive to public education measures and are able to take action to increase their safety from fire, especially in their homes.
NOW, THEREFORE, BE IT PROCLAIMED that I, Gary Hansen, Mayor of the City of Willows, on behalf of the City Council, and the Citizens of the City of Willows, declare the month of October as Fire Prevention Month and encourage all citizens to educate themselves on methods to prevent and react to fires.
PROCLAIMED this 15th day of October 2024.
__________________________________
Gary Hansen, Mayor
4 PUBLIC COMMENT &
CONSENT CALENDAR
FORUM
5 Agenda Item #6a.
PERIOD
9/18/2024 TO 9/27/2024
Check Register 54857 TO 54906
APPROVAL DATE 10/15/2024
APPROVED ___________________________________________
6 10/2/2024 3:31:08 PM Page 1 of 3
Payment Register
City of Willows APPKT00296 - CHECK RUN 9-18-24
01 - Vendor Set 01
Bank: Gen Chk - General Checking
2453
Vendor Number
TED WILSON
Total Vendor Amount
500.00
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54857 09/18/2024 500.00
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 5344 MUSIC SERVICE-CITY FINANCE ED PLAN-CITY HALL CRAWL 09/18/2024 09/18/2024 0.00 500.00 2395
Vendor Number
US BANK CORPORATE PAYMENT SYSTEMS
Total Vendor Amount
4,515.41
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54858 09/18/2024 4,515.41
Payable Number Description Payable Date Due Date Discount Amount Payable Amount MONCK91824-01 PW PAGER - PAGER REPAIR PARTS - FIRE 09/18/2024 09/18/2024 0.00 292.25 MONCK91824-02 HEIMAN - CFF GRANT FUNDED - FIRE 09/18/2024 09/18/2024 0.00 2,997.90 MONCK91824-03 49ER COMMUNICATIONS - BK RADIO PARTS - FIRE 09/18/2024 09/18/2024 0.00 1,055.82 MONCK91824-04 1250 W WOOD - FUEL - PREPO REIMBURSED - FIRE 09/18/2024 09/18/2024 0.00 112.09 MONCK91824-05 LA CASITA - FOOD PREPO REIMBURSED - FIRE 09/18/2024 09/18/2024 0.00 57.35 7 10/2/2024 3:35:43 PM Page 1 of 8
Payment Register
City of Willows APPKT00299 - CHECK RUN 9-25-24
-
Bank: Gen Chk - General Checking
Vendor Number
**Void**
Total Vendor Amount
0.00 Vendor Name
Payment Type Payment Number Payment Date Payment Amount **Void Check 54866 09/25/2024 0.00
**Void Check 54889 09/25/2024 0.00
**Void Check 54890 09/25/2024 0.00
**Void Check 54891 09/25/2024 0.00
1008
Vendor Number
A.T.& T.
Total Vendor Amount
1,143.19
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54859 09/25/2024 1,143.19
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 000022317668 BAN -9391061606 8-19-24 TO 9-18-24 SERVICE 09/23/2024 09/23/2024 0.00 75.98 000022317671 BAN - 9391061610 8-19-24 TO 9-18-24 SERVICE 09/23/2024 09/23/2024 0.00 253.98 000022317673 BAN - 9391061615 8-19-24 TO 9-18-24 SERVICE 09/23/2024 09/23/2024 0.00 154.93 000022317674 BAN - 9391061616 8-19-24 TO 9-18-24 SERVICE 09/23/2024 09/23/2024 0.00 289.41 000022317675 BAN - 9391061617 8-19-24 TO 9-18-24 SERVICE 09/23/2024 09/23/2024 0.00 30.42 000022317676 BAN - 9391061620 8-19-24 TO 9-18-24 SERVICE 09/23/2024 09/23/2024 0.00 220.43 000022317677 BAN - 9391061621 8-19-24 TO 9-18-24 SERVICE 09/23/2024 09/23/2024 0.00 28.86 000022317678 BAN - 9391061623 8-19-24 TO 9-18-24 SERVICE 09/23/2024 09/23/2024 0.00 60.32 000022317679 BAN - 9391061624 8-19-24 TO 9-18-24 SERVICE 09/23/2024 09/23/2024 0.00 28.86 1033
Vendor Number
AIRGAS USA, LLC
Total Vendor Amount
78.18 Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54860 09/25/2024 78.18
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 9801035940 MANDITORY CYLINDER TESTING & MAINT - FIRE 09/23/2024 09/23/2024 0.00 78.18 1051
Vendor Number
ALVES DOOR COMPANY, INC.
Total Vendor Amount
348.61
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54861 09/25/2024 348.61
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 10592 DOOR REPAIR/REPLACEMENT - FIRE 09/23/2024 09/23/2024 0.00 348.61 2350
Vendor Number
AMOS HOOVER
Total Vendor Amount
4,140.00
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54862 09/25/2024 4,140.00
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 004 ADMINISTRATIVE SERVICES 8-26-24 TO 9-20-24 09/23/2024 09/23/2024 0.00 4,140.00 1103
Vendor Number
BAKER & TAYLOR BOOKS
Total Vendor Amount
132.08
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54863 09/25/2024 132.08
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 2038521876 NEW MATERIALS & BOOKS - LIBRARY 09/23/2024 09/23/2024 0.00 132.08 8 Payment Register APPKT00299 - CHECK RUN 9-25-24
10/2/2024 3:35:43 PM Page 2 of 8
1377
Vendor Number
CAITLIN EHORN
Total Vendor Amount
7.24 Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54864 09/25/2024 7.24
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 92324CE REIMBURSEMENT-SUPPLIES-CITY CRAWL-CITY FIN ED-CM 09/23/2024 09/23/2024 0.00 7.24 1172
Vendor Number
CALIFORNIA WATER SERVICE
Total Vendor Amount
5,317.76
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54865 09/25/2024 5,317.76
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 1053836442-91024 SERVICE TO 9-10-24 09/23/2024 09/23/2024 0.00 110.61 8491677777-91324 SERVICE TO 9-13-24 09/24/2024 09/24/2024 0.00 5,207.15 1252
Vendor Number
CLEARWAY ENERGY LLC
Total Vendor Amount
6,610.18
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54867 09/25/2024 6,610.18
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 1409813 AUGUST 2024 SOLAR - SEWER 09/23/2024 09/23/2024 0.00 6,610.18 1275
Vendor Number
CORBIN WILLITS SYSTEMS
Total Vendor Amount
518.96
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54868 09/25/2024 518.96
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 000C409151 OCTOBER 2024 SERVICE FINANCE 09/23/2024 09/23/2024 0.00 518.96 1288
Vendor Number
CREATIVE COMPOSITION
Total Vendor Amount
192.66
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54869 09/25/2024 192.66
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 30489 BUSINESS CARDS -LANCE FOLLEY - BUILDING 09/23/2024 09/23/2024 0.00 192.66 2454
Vendor Number
EDWARD GOMEZ
Total Vendor Amount
220.00
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54870 09/25/2024 220.00
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 91924EG WATER SLIDE-CITY CRAWL - CITY FINANCE ED PLAN-CM 09/23/2024 09/23/2024 0.00 220.00 1388
Vendor Number
EMPLOYERS INVESTIGATIVE S
Total Vendor Amount
387.88
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54871 09/25/2024 387.88
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 5050916 BACKGROUND CHECK- LUKE TAYLOR - FIRE 09/23/2024 09/23/2024 0.00 387.88 2432
Vendor Number
IMPERIAL COUNTY OFFICE OF EDUCATION
Total Vendor Amount
2,069.94
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54872 09/25/2024 2,069.94
Payable Number Description Payable Date Due Date Discount Amount Payable Amount INV25-00108 BROADBAND INTERNET - LIBRARY 09/23/2024 09/23/2024 0.00 2,069.94 9 Payment Register APPKT00299 - CHECK RUN 9-25-24
10/2/2024 3:35:43 PM Page 3 of 8
1606
Vendor Number
JEREMY'S PEST STOMPERS
Total Vendor Amount
40.00 Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54873 09/25/2024 40.00
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 93248 SEPTEMBER 2024 SERVICE - FIRE 09/23/2024 09/23/2024 0.00 40.00 1659
Vendor Number
KERRI WARREN
Total Vendor Amount
175.00
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54874 09/25/2024 175.00
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 501 CUPCAKES CITY CRAWL - CITY FINANCE ED PLAN - CM 09/23/2024 09/23/2024 0.00 175.00 1665
Vendor Number
KNIFE RIVER CONSTRUCTION
Total Vendor Amount
538.39
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54875 09/25/2024 538.39
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 304896 HOT PATCH - STREETS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 389.31 307895 HOT PATCH - STREETS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 149.08 1301
Vendor Number
L.N. CURTIS & SONS
Total Vendor Amount
4,920.48
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54876 09/25/2024 4,920.48
Payable Number Description Payable Date Due Date Discount Amount Payable Amount PINV930614 FIRE TRUCK SUPPLES - CFF GRANT - FIRE 09/23/2024 09/23/2024 0.00 4,920.48 2363
Vendor Number
LACO ASSOCIATES
Total Vendor Amount
17,117.50
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54877 09/25/2024 17,117.50
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 53401 AUGUST 2024 PLANNING SERVICES 09/23/2024 09/23/2024 0.00 17,117.50 1760
Vendor Number
MATSON & ISOM TECHNOLOGY
Total Vendor Amount
5,713.00
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54878 09/25/2024 5,713.00
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 94771 SEPTEMBER 2024 IT SERVICES - CITYWIDE 09/23/2024 09/23/2024 0.00 5,713.00 1763
Vendor Number
MAXIMUM SECURITY SYSTEMS
Total Vendor Amount
60.00 Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54879 09/25/2024 60.00
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 00035454 QUARTERLY MONITORING SERVICE - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 60.00 1770
Vendor Number
MENDES SUPPLY COMPANY
Total Vendor Amount
161.46
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54880 09/25/2024 161.46
Payable Number Description Payable Date Due Date Discount Amount Payable Amount R074256 JANITORIAL SUPPLIES - PARKS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 161.46 10 Payment Register APPKT00299 - CHECK RUN 9-25-24
10/2/2024 3:35:43 PM Page 4 of 8
1780
Vendor Number
MIDWEST TAPE
Total Vendor Amount
53.87 Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54881 09/25/2024 53.87
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 506033632 MATERIALS - DVD'S - LIBRARY 09/23/2024 09/23/2024 0.00 53.87 1805
Vendor Number
MUNICIPAL RESOURCE GROUP
Total Vendor Amount
1,782.50
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54882 09/25/2024 1,782.50
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 241088 WILLOWS - PD ASSESSMENT 24051-WIL - CC 09/23/2024 09/23/2024 0.00 1,782.50 2312
Vendor Number
NAPA AUTO PARTS
Total Vendor Amount
7.80 Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54883 09/25/2024 7.80
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 691963 DRAIN PLUG - PARKS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 7.80 1852
Vendor Number
NORTHERN CALIF. GLOVES
Total Vendor Amount
119.63
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54884 09/25/2024 119.63
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 01571192 LATEX GLOVES - PARKS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 119.63 2373
Vendor Number
ODP BUSINESS SOLUTIONS
Total Vendor Amount
185.98
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54885 09/25/2024 185.98
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 385463477001 PAPER - OFFICE SUPPLIES - CITYWIDE 09/23/2024 09/23/2024 0.00 127.06 385569374001 OFFICE SUPPLIES - GENERAL OFFICE 09/24/2024 09/24/2024 0.00 58.92 1864
Vendor Number
O'REILLY AUTO PARTS
Total Vendor Amount
104.07
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54886 09/25/2024 104.07
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 4878-447873 BRAKEBEST RETURN & STR WHL CVR - PUBLIC WORKS 06/17/2024 06/17/2024 0.00 -106.51 4878-451827 RESISTOR - 2006 CHEVROLET SILVERADO 1500 - PW 07/18/2024 07/18/2024 0.00 46.50 4878-458369 WIPER FLUID - PARKS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 19.86 4878-459059 BRAKES - PARKS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 58.22 4878-459074 OIL FILTER & MOTOR OIL - PARKS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 86.00 1143
Vendor Number
PEDRO BOBADILLA
Total Vendor Amount
576.92
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54887 09/25/2024 576.92
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 92724PB RECREATION SERVICES 9-14-24 TO 9-27-24 09/23/2024 09/23/2024 0.00 576.92 1917
Vendor Number
PG & E
Total Vendor Amount
16,071.03
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54888 09/25/2024 16,071.03
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 0939281537-091324 SERVICE TO 9-13-24 09/24/2024 09/24/2024 0.00 16,071.03 11 Payment Register APPKT00299 - CHECK RUN 9-25-24
10/2/2024 3:35:43 PM Page 5 of 8
2390
Vendor Number
QUENCH USA, INC
Total Vendor Amount
63.28 Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54892 09/25/2024 63.28
Payable Number Description Payable Date Due Date Discount Amount Payable Amount INV07958490 OCTOBER WATER SERVICE 2024 09/23/2024 09/23/2024 0.00 63.28 1978
Vendor Number
REGIONAL GOVERNMENT SERVI
Total Vendor Amount
613.35
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54893 09/25/2024 613.35
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 17410 AUGUST 2024 HR SERVICES 09/23/2024 09/23/2024 0.00 613.35 2041
Vendor Number
SACRAMENTO VALLEY MIRROR
Total Vendor Amount
438.00
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54894 09/25/2024 438.00
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 2421 AD 2024 CITY CRAWL - CITY FINANCE ED PLAN - CM 09/23/2024 09/23/2024 0.00 438.00 2133
Vendor Number
SUNRISE ENVIRONMENTAL
Total Vendor Amount
580.99
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54895 09/25/2024 580.99
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 149223 SOLVENT - SEWER - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 580.99 1439
Vendor Number
THE FIRST CHOICE COFFEE S
Total Vendor Amount
45.00 Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54896 09/25/2024 45.00
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 1631 SEPTEMBER 2024 WATER FILTRATION - FIRE 09/23/2024 09/23/2024 0.00 45.00 2207
Vendor Number
TYLER TECHNOLOGIES, INC
Total Vendor Amount
49,382.00
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54897 09/25/2024 49,382.00
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 025-478813 INCODE ANNUAL SAAS FEE - YR 3 (10-1-24 TO 9-30-25) 09/23/2024 09/23/2024 0.00 42,812.00 025-478973 PROJECT MANAGEMENT - CW 09/23/2024 09/23/2024 0.00 4,250.00 045-484190 PARKS & REC SVCS IMPLEMENTATION - RECREATION 09/23/2024 09/23/2024 0.00 2,320.00 2233
Vendor Number
US BANK ST. PAUL CM-9703
Total Vendor Amount
2,500.00
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54898 09/25/2024 2,500.00
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 7374007 2021 SEWER SYSTEM REFINANCE PROJECT INSTALLMENT 09/23/2024 09/23/2024 0.00 2,500.00 2433
Vendor Number
VESTIS
Total Vendor Amount
317.02
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54899 09/25/2024 317.02
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 5066678299 UNIFORM SERVICE - PUBLIC WORKS 09/24/2024 09/24/2024 0.00 158.51 5066683728 UNIFORM SERVICE - PUBLIC WORKS 09/25/2024 09/25/2024 0.00 158.51 12 Payment Register APPKT00299 - CHECK RUN 9-25-24
10/2/2024 3:35:43 PM Page 6 of 8
2295
Vendor Number
WILLOWS ACE HARDWARE
Total Vendor Amount
415.27
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54900 09/25/2024 415.27
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 114787 BRUSH DRIVEWAY SEALER - PARKS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 16.08 114989 COUPLE & REPAIR COUPLING - PARKS & MAINT - PW 09/23/2024 09/23/2024 0.00 6.53 114999 REPAIR COUPLING & COUPLING - SYCAMORE - PARKS - PW09/23/2024 09/23/2024 0.00 10.53 115029 BBQ WOOD PELLETS - FIRE 09/23/2024 09/23/2024 0.00 86.75 115122 LEVEL - SOFTBALL - PARKS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 5.35 115163 PAINT - SOFTBALL FIELDS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 232.19 115165 DISTILLED WATER - GOLF CART - PARKS - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 21.40 115193 GORILLA WOOD GLUE - LIBRARY CHAIR - PUBLIC WORKS 09/23/2024 09/23/2024 0.00 5.35 115215 EXTENSION CORD - PUBLIC WORKS - CIVIC CENTER 09/23/2024 09/23/2024 0.00 31.09 2282
Vendor Number
WILLOWS HARDWARE, INC.
Total Vendor Amount
301.31
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54901 09/25/2024 301.31
Payable Number Description Payable Date Due Date Discount Amount Payable Amount 321886 MOWER WHEELS & SHARPEN BLADE - PARKS - PW 09/23/2024 09/23/2024 0.00 127.23 326924 DEADBOLT & REKEY - PARKS & MAINTENANCE - PW 09/23/2024 09/23/2024 0.00 58.25 328391 NUTS & BOLTS - SOFTBALL FIELDS - PW 09/23/2024 09/23/2024 0.00 115.83 13 10/2/2024 4:18:21 PM Page 1 of 3
Payment Register
City of Willows APPKT00301 - SEPTEMBER PAYROLL VENDOR PAYMENTS 09/27/24 01 - Vendor Set 01
Bank: Gen Chk - General Checking
1029
Vendor Number
AFLAC- FLEX ONE
Total Vendor Amount
396.24
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54902 09/27/2024 396.24
Payable Number Description Payable Date Due Date Discount Amount Payable Amount INV0000824 AFLAC DENTAL 09/27/2024 09/30/2024 0.00 107.66 INV0000825 AFLAC CANCER 09/27/2024 09/30/2024 0.00 108.88 INV0000826 AFLAC ACCIDENT 09/27/2024 09/27/2024 0.00 107.32 INV0000827 AFLAC STD 09/27/2024 09/30/2024 0.00 29.12
INV0000829 AFLAC HOSPITAL 09/27/2024 09/30/2024 0.00 29.06 INV0000830 AFLAC VISION 09/27/2024 09/30/2024 0.00 14.20 1194
Vendor Number
CALIFORNIA STATE DISBURSE
Total Vendor Amount
162.92
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54903 09/27/2024 162.92
Payable Number Description Payable Date Due Date Discount Amount Payable Amount INV0000831 CHILD SUPPORT 09/27/2024 09/27/2024 0.00 162.92 1650
Vendor Number
FIRE RISK MANAGEMENT SERVICES
Total Vendor Amount
20,603.78
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54904 09/27/2024 20,603.78
Payable Number Description Payable Date Due Date Discount Amount Payable Amount INV0000814 MEDICAL 09/13/2024 09/30/2024 0.00 6,151.38
INV0000815 MEDICAL 09/13/2024 09/30/2024 0.00 4,171.07
INV0000834 MEDICAL 09/27/2024 09/30/2024 0.00 6,151.29
INV0000835 MEDICAL 09/27/2024 09/30/2024 0.00 3,816.04
INV0000844 ROBINETTE/MISTROT RETIREE INSURANCE 09/27/2024 09/27/2024 0.00 314.00 1551
Vendor Number
HUMANA DENTAL/VISION
Total Vendor Amount
1,273.86
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54905 09/27/2024 1,273.86
Payable Number Description Payable Date Due Date Discount Amount Payable Amount INV0000812 DENTAL 09/13/2024 09/30/2024 0.00 346.56
INV0000813 DENTAL 09/13/2024 09/30/2024 0.00 214.52
INV0000817 VISION 09/13/2024 09/30/2024 0.00 47.79
INV0000818 VISION 09/13/2024 09/30/2024 0.00 28.13
INV0000832 DENTAL 09/27/2024 09/30/2024 0.00 346.56
INV0000833 DENTAL 09/27/2024 09/30/2024 0.00 214.52
INV0000837 VISION 09/27/2024 09/30/2024 0.00 47.72
INV0000838 VISION 09/27/2024 09/30/2024 0.00 28.06
2223
Vendor Number
UNITED PUBLIC EMPLOYEES A
Total Vendor Amount
256.41
Vendor Name
Payment Type Payment Number Payment Date Payment Amount Check 54906 09/27/2024 256.41
Payable Number Description Payable Date Due Date Discount Amount Payable Amount INV0000836 PUBLIC SAFETY DUES 09/27/2024 09/30/2024 0.00 256.41 14 City Council
Gary Hansen, Mayor
Evan Hutson, Vice Mayor
Rick Thomas, Council Member
David Vodden, Council Member
Forrest Sprague, Council Member
City Manager
Marti Brown
City Clerk
Amos Hoover
Willows City Council
Regular Meeting
Action Minutes
September 24, 2024
Willows City Hall
6:00 PM
201 North Lassen Street
Willows, CA 95988
(530) 934-7041
1. CALL TO ORDER – 6:02 PM
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
Councilmembers Present: Mayor Hansen, Vice Mayor Hutson, and Councilmembers Thomas, Sprague, and Vodden
Councilmembers Absent: None
4. CHANGES TO THE AGENDA
5. PRESENTATION
a. Community Development & Services Annual Report
Action: Received presentation from Joe Bettencourt, Community Development and Services Director.
6. PUBLIC COMMENT & CONSENT CALENDAR FORUM
a. Register Approval
Action: Approved general checking, payroll, and direct deposit check registers. b. Minutes Approval
Action: Approved the August 27, 2024, meeting minutes.
c. Electrical Facilities Cost Sharing Agreement with Caltrans – Pulled by Councilmember Vodden.
Action: Continued item to a later City Council meeting.
Vote to approve items a and b on the Consent Calendar
Moved/Seconded: Councilmembers Thomas and Vodden
Yes: Councilmembers Thomas, Sprague, and Vodden, Vice Mayor Hutson, and Mayor Hansen
No: None
7. DISCUSSION AND ACTION CALENDAR
a. Sidewalk Rehabilitation Cost Share Program
Action: Item tabled until after the new year.
Agenda Item #6b.
15 2
Moved/Seconded: Vice Mayor Hutson and Councilmember Sprague Yes: Councilmembers Thomas, Sprague, and Vodden, Vice Mayor Hutson, and Mayor Hansen No: None
b. City Planning Services Contract
Action: Authorized the City Manager to sign a contract with Harris and Associates to provide city planning services.
Moved/Seconded: Councilmembers Vodden and Sprague
Yes: Councilmembers Thomas, Sprague, and Vodden, Vice Mayor Hutson, and Mayor Hansen No: None
8. COMMENTS & REPORTS
a. Council Correspondence
b. City Council Comments & Reports
c. City Manager’s Report
9. ADJOURNMENT - 9:00PM
______________________________
Amos Hoover, City Clerk
16 Agenda Item #6c.
_____________________________________________________________________ Date: October 15, 2024
To: Honorable Mayor and Councilmembers
From: Amos Hoover, City Clerk/Assistant to the City Manager Marti Brown, City Manager
Subject: Support for Proposition 36
Recommendation:
Approve a resolution declaring the City of Willows’ support for Proposition 36 – The Homelessness, Drug Addiction, and Theft Reduction Act.
Rationale for Recommendation:
Proposition 36 will appear on the November 5, 2024, ballot.
Background:
Passed in 2014, Prop 47 achieved notable success in making California’s criminal justice system more equitable. However, it led to unintended consequences over the past decade — repeat and often organized retail theft, inner-city store closings, and difficulty convincing people to seek drug and mental health treatment — that can only be corrected by the voters at the ballot box with modest amendments to Prop 47.
Discussion & Analysis:
Prop 36 is a bi-partisan measure providing common sense, targeted reforms to Prop 47, addressing organized and serial retail theft by classifying repeated theft as a felony for individuals who steal less than $950 if they have two or more prior theft related convictions. It addresses the current fentanyl crisis by adding it to the list of hard drugs that are illegal to possess with a firearm and authorizes stricter penalties for selling deadly quantities.
Consistency with Council Priorities and Goals:
Support for Proposition 36 is consistent with Council Priority #3: Public Safety.
Fiscal Impact:
There is no fiscal impact.
Attachment:
Attachment 1: Resolution XX-2024
17 City of Willows
Resolution XX-2024
A RESOLUTION OF THE CITY COUNCIL IN SUPPORT OF PROPOSITION 36,
THE HOMELESSNESS, DRUG ADDICTION, AND THEFT REDUCTION ACT WHEREAS, Prop 47 achieved notable success in making California’s criminal justice system more equitable, Prop 47 has also led to unintended consequences over the past decade; and WHEREAS, Prop 47 has contributed to increases in repeat and often organized retail theft, the shuttering of local businesses, and difficulty convincing people to seek drug and mental health treatment; and
WHEREAS, These unintended consequences can only be corrected by the voters at the ballot box with modest amendments to Prop 47; and
WHEREAS, Prop 36, the Homelessness, Drug Addiction, and Theft Reduction Act is a bi-partisan measure that provides common sense, targeted reforms to Prop 47 that, with the recently adopted legislative Retail Theft Package, provide more tools to increase safety in our communities; and WHEREAS, Spikes in retail theft, violent smash-and-grab robberies, fentanyl deaths and illicit drug use, as well as strained social services, are creating challenges beyond the capacity of local governments; and
WHEREAS, Cities are partnering with the state to advance solutions that help reduce crime and provide more support to residents struggling with substance abuse, while avoiding a return to the days of mass incarceration; and
WHEREAS, Prop 36, the Homelessness, Drug Addiction, and Theft Reduction Act will define fentanyl as a hard drug, hold individuals convicted of trafficking fentanyl accountable, and grant judges’ greater discretion in sentencing drug traffickers; and
WHEREAS, Breaking the cycle of repeat offenders means addressing the many root causes of retail theft; and
WHEREAS, Prop 36, the Homelessness, Drug Addiction, and Theft Reduction Act allows critical behavioral health services, drug treatment, and job training within our justice system for people who are homeless and suffering from mental illness or struggling with substance abuse; and WHEREAS, It’s time for meaningful and tailored reforms to our justice system to ensure the safety of our communities.
NOW THEREFORE BE IT RESOLVED that the City Council of the City of Willows does formally expresses support for Prop 36, the Homelessness, Drug Addiction, and Theft Reduction Act and the benefit that it provides for our community’s safety.
Attachment 1
18 PASSED AND ADOPTED by the City Council of the City of Willows this 15th day of October 2024, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED: ATTESTED:
_________________________ __________________________
Gary Hansen, Mayor Amos Hoover, City Clerk
19 Agenda Item #6d.
_____________________________________________________________________ Date: October 15, 2024
To: Honorable Mayor and Councilmembers
From: Nathan Monck, Fire Chief
Marti Brown, City Manager
Subject: Office of Emergency Services - Portal to Portal Agreement Recommendation:
Adopt a resolution amending the current resolution on file with the California Office of Emergency Services (CAL OES) to ensure prompt and adequate compensation for mutual aid and preposition assignments.
Rationale for Recommendation:
The existing agreement does not have all potential job classifications that the City of Willows may wish to seek portal to portal compensation for while responding to CAL OES preposition assignments, CAL FIRE, or Federal mutual aid incidents. These positions such as Equipment Operator, Battalion Chief, Dispatcher and Helicopter Pilot must be directly referred to in the resolution authorizing portal to portal reimbursement to be eligible for reimbursement under CAL OES administrative rules.
Background:
The current resolution on file has not been updated since 2015. The department is more active in mutual aid now than ever before as it has become paramount to the fiscal sustainability of the department.
Discussion & Analysis:
By ensuring these positions are eligible for portal-to-portal compensation, the department will be compensated from the time the department initiates response to a CAL OES, CAL FIRE, or Federal mutual aid incident under California Fire Assistance Agreements or Assistance by Hire Agreements until the time deployments return to their home station and the equipment is back in service and ready for local response. By adding these higher-level positions, we will be more able to respond to these incidents with overhead and command level staff and be compensated at portal-to-portal rates.
Please note, not all positions are planned for use; however, they are included in the resolution to eliminate the need for future council action such as for a heavy equipment operator and/or helicopter pilot.
20 Consistency with Council Priorities and Goals:
This item is consistent with Council priority #1: Fiscal Stability and Priority #3: Public Safety.
Fiscal Impact:
There is no immediate fiscal impact. If anything, there may be a positive fiscal impact in the future when the City is reimbursed for some of these higher-level positions that are paid at higher rates than the City’s current paid positions.
Attachments:
Attachment 1: Resolution XX-2024
21 City of Willows
RESOLUTION No: XX-2024
A RESOLUTION OF THE CITY OF WILLOWS IDENTIFYING THE TERMS AND CONDITIONS FOR FIRE
DEPARTMENT RESPONSE AWAY FROM THEIR OFFICIAL DUTY STATION AND ASSIGNED TO AN EMERGENCY INCIDENT.
WHEREAS, the City of Willows Fire Department is a public agency located in the County of Glenn, State of California; and
WHEREAS, it is the City of Willows desire to provide fair and legal payment to all its employees for time worked; and
WHEREAS, the City of Willows has in its employ, Fire department response Personnel that at times include: Fire Chief, Deputy Chief, Assistant Chief, Division Chief, Battalion Chief, Fire Captain, Lieutenant, Engineer, Apparatus Operator, Firefighter/Paramedic, Firefighter/EMT, Firefighter, Dispatcher, Helicopter Pilot and Heavy Equipment Operator; and WHEREAS, the City of Willows will compensate its employees portal to portal while in the course of their employment and away from their official duty station and assigned to an emergency incident, in support of an emergency incident, or prepositioned for emergency response; and WHEREAS, the City of Willows will compensate its employees overtime in accordance with their current Memorandum of Understating while in the course of their employment and away from their official duty station and assigned to an emergency Incident, in support of an emergency incident, or pre-positioned for emergency response.
Now, Therefore, Be It Hereby resolved by the City Council of the City of Willows that:
1. Personnel shall be compensated according to Memorandum of Understanding (MOU), Personnel Rules and Regulations, and/or other directive that identifies personnel compensation in the workplace.
2. In the event a personnel classification does not have an assigned compensation rate, a “Base Rate” as set forth in an organizational policy, administrative directive or similar document will to compensate such personnel.
3. The City of Willows Fire Department will maintain a current salary survey or acknowledgement of acceptance of the “base rate” on file with the California Governor’s Office of Emergency Services, Fire Rescue Division.
4. Personnel will be compensated (portal to portal) beginning at the time of dispatch to the return to jurisdiction when equipment and personnel are in service and available for agency response.
Attachment 1
22 5. Fire department response personnel include: Fire Chief, Deputy Chief, Assistant Chief, Division Chief, Battalion Chief, Fire Captain, Lieutenant, Engineer/Apparatus/Equipment Operator, Firefighter/Paramedic, Firefighter/EMT, Firefighter, Dispatcher, Helicopter Pilot and Heavy Equipment Operator.
PASSED, APPROVED AND ADOPTED this 15th day of October 2024. ___________________________
Gary Hansen, Mayor
ATTEST:
I, Amos Hoover, City Clerk of the City of Willows hereby certify that the foregoing resolution was duly passed at a regular meeting of the City Council of the City of Willows held on the 15th day of October 2024 by the following vote on roll call:
Ayes:
Noes:
Absent:
_____________________________
Amos Hoover, City Clerk
23 DISCUSSION & ACTION
CALENDAR
24 Agenda Item #7a.
_____________________________________________________________________ Date: October 15, 2024
To: Honorable Mayor and Councilmembers
From: Marti Brown, City Manager
(on behalf of the City Council Finance Committee)
Subject: The Finance & Measure i Oversight Committee
Recommendation:
To replace the former Finance Committee with The Finance and Measure i Oversight Committee (FMiOC) and its Bylaws (Attachment 1).
Rationale for Recommendation:
Since the City is required to establish an oversight process should Measure i be approved by the voters, it seemed like a good time to completely overhaul the prior historic Finance Committee to include both Measure i oversight and broad purview over all financial policies, audits, tracking revenues and expenditures, trial balances, and check registers.
Background:
The current Finance Committee has historically reviewed the Check Register on a biweekly basis, as well as inquired about various vendors and expenses. There is no reference of the Finance Committee in any city policy documents nor is there any record of Committee Bylaws. The City has relied entirely on institutional memory to guide the actions of the Committee.
Discussion & Analysis:
The current Finance Committee desires to move to a financial policy focused committee with more occasional review of the Check Register and Trial Balances (e.g., quarterly). With the potential passage of Measure i, this seemed like a good time to reformulate the Committee and combine the financial policy focus with the City’s commitment to transparently monitor Measure I revenues and expenditures.
While Attachment 1 is self-explanatory, it’s worth noting that the Measure i Ordinance on the November 2024 ballot clearly states that the City commits to the following oversight of Measure i revenues and expenditures:
Section 16. SALES TAX OVERSIGHT. The City shall maintain a separate Fund (including approved individual budget line items) for the sales tax revenue for budgeting and independent auditing purposes. The public audit shall include an accounting of sales 25 tax revenues received and expenditures thereof in the audited financial statements and shall be presented annually to the City Council at a public meeting.
For the first three years, the City of Willows will produce quarterly reports identifying sales tax revenue and expenditures, which will be presented to the Council at a public meeting and posted on the City’s website. After the first three years, the City of Willows will produce an annual report that includes the sales tax revenues and expenditures to be presented to the Council and posted on the City’s website.
For the first five years, the City of Willows will conduct one town hall meeting per fiscal year to report to the public on proposed expenditures of the transaction and use tax and to receive public input on how to expend the monies. The town hall meeting will be held in the spring before the final budget approval.
The City Council will conduct a separate annual budget and allocation process of the sales tax revenue during a regular City Council meeting. The City of Willows will include a separate chapter in the annual budget explaining the Council approved revenues and expenditures of the sales tax for the fiscal year.
The elements of the Sales Tax Oversight outlined above have been incorporated into the Finance & Measure i Oversight Committee Bylaws (Attachment 1) to ensure that there is a public forum for comprehensive review of Measure I and all city financial matters by the Committee.
Finally, by formally establishing a Council Finance & Measure i Oversight Committee with approved bylaws, the city is transparently codifying the purpose and purview of the committee for the public, Council and City staff so that everyone is on the same page. The Committee will comply with the Brown Act, including publicly posting agendas and minutes.
Consistency with Council Priorities and Goals:
Establishing the Finance & Measure I Oversight Committee is consistent with Council Priority #1:
Financial Stability.
Fiscal Impact:
There is no fiscal impact by approving the new Standing Committee and its bylaws.
Attachment:
Attachment 1: The Finance & Measure i Oversight Committee Bylaws 26 BYLAWS OF THE FINANCE AND MEASURE I OVERSIGHT COMMITTEE
CITY OF WILLOWS, CALIFORNIA
WHEREAS, Committees are essential to the effective operation of legislative bodies; and
WHEREAS, if approved by the voters, the City Council has committed to continuous oversight of the revenue and expenditures of Measure I, the 1.5% sales tax measure on the November 2024 ballot; and
WHEREAS, the city wishes to reaffirm a standing committee of the Willows City Council to oversee city finances and, if approved by the voters, Measure i sales tax revenues and expenditures; and
WHEREAS, this committee replaces the former “Finance Committee,” and to be now named the Finance and Measure I Oversight Committee; and WHEREAS, the Finance and Measure i Oversight Committee (FMiOC) is authorized and directed to ascertain, study, and analyze all factsrelating to any subjects or matters within the purview of city finances and Measure i, and shall report to and submit recommendations to the City Council for action.
NOW, THEREFORE, these Bylaws govern the conduct of the Finance and Measure i Oversight Committee meetings and the transaction of its affairs.
A. PURPOSE
1. The purpose of the Committee is to review city finances and make recommendations to the City Council. Review of the city’s fiscal matters shall include but are not limited to, the City's annual independent audit, City fees, City service charges, and budgets, accounts payable, Investment, General Fund reserve and Pension Funding policies.
2. The Committee shall have an initial purview over any item assigned to it by the City Council as well as any items being advanced by the City Manager that implement or relate to the overall jurisdictional purpose of the Committee.
3. Activities of FMiOC shall include reviewing and tracking consistency between actual expenditures and the approved budget over the course of the fiscal year, quarterly review Measure i revenue progress and expenditures, and as necessary, revisiting Debt.
4. While the City Council will continue to review the detailed check register of monthly accounts payable as part of the City Council agenda, the FMiOC will review, consider and recommend to the full Council on the mid- and long-term implications of the city’s revenue and expenditure trends, as well as review and recommend updates to financial policies as Attachment 1
27 needed. Committee activities may include the review, discussion, and input in the following areas:
a. Measure i revenue and expenditures,
b. Annual audits and compliance reporting,
c. Annual and quarterly budget updates, augmentations, and forecasts, and d. Long-term planning, including but not limited to:
City revenues and expenses, including related fee and tax studies, Deferred maintenance and capital planning, and
Long-term liabilities, debt, and other finance planning.
5. The Committee will not have jurisdiction to discuss any budget approaches that would require good faith bargaining with labor groups.
6. While the Committee may request data and reports, FMiOC may not direct staff’s dayto-day work, including assigning research projects that may undermine staff’s ability to maintain daily operations, without the authority and approval of the entire Council.
B. FUNCTION
The Committee may, by a vote of the consensus of the majority of appointed Committee Members, decide to postpone, continue, or table an item on the agenda. On any item on an agenda, the Committee may allow for an informational presentation by City staff relating to the item. With respect to an action item, and after discussion and consideration of the item, the Committee may take one of the following actions:
1. Vote by consensus of a majority of the appointed Committee Members to approve the recommendation of staff or the originator of the proposed action item and forward the recommendation onto the full Council. The Committee may, as a condition of approval, request additional information to be presented for consideration when the full Council hears the item.
2. Fail to approve any recommended action, in which case the item shall not be forwarded to the full City Council; provided that the City Council shall have jurisdiction to place the item on the agenda for a future City Council meeting, in accordance with the requirements of the Meeting Protocols for agenda setting, if no action was taken on the item due to any one of the following reasons:
Due to the cancellation of a committee meeting, or
Due to lack of a quorum, or
The Committee was unable to approve any recommended action. 28 3. Any undecided or divided vote of the two-Council Committee shall automatically be presented to the full Council for consideration.
4. By a consensus of the Members present, may continue any item to a later meeting for further discussion and consideration.
C. ROLE AND RESPONSIBILITIES
The role of the Finance and Measure i Oversight Committee is to provide quarterly updates to the full City Council as part of the regular agenda to inform the City Council and the public of the City’s overall fiscal management including the performance of Measure i (e.g., revenue, expenditures).
For the first three years of Measure i, these updates and reports to the City Council will occur quarterly as part of the Treasurer’s Report and will include identifying sales tax revenues and expenditures. All reports will be posted on the City’s website.
After the first three years, the FMiOC and City staff will produce an annual report that includes the sales tax revenues and expenditures to be presented to the Council and posted on the City’s website.
For the first five years, the FMiOC will conduct one town hall meeting per fiscal year to report to the public on proposed expenditures of the transaction and use tax and to receive public input on how to expend the monies. The town hall meeting will be held in the spring before the final budget approval.
D. MEMBERSHIP GUIDELINES
1. Membership. The Finance Committee shall consist of two (2) City Councilmembers appointed by the entire City Council. The Mayor shall serve as the Committee alternate.
2. Term. Each member shall serve a one-year term; selected as part of the City Council's annual appointment process outlined in the Council's Protocol Manual.
3. Attendance. If a member of the Finance Committee fails to attend two (2) of the regularly scheduled and quarterly meetings in any calendar year, his or her position on the Finance Committee shall automatically become vacant. For quorum confirmation, a member who is unable to attend a meeting shall inform the staff liaison designated by the relevant City Department at least 48 hours before the next meeting.
E. QUORUM
A quorum of the Finance Committee shall consist of both appointed Members. A quorum 29 must be present in order for the Finance Committee to hold a meeting.
Meetings of the Committees may be noticed as a Special Meeting of the City Council if a majority of the members of the Council plan to attend and participate as part of the Committee.
F. OFFICERS
1. The officers of the Finance Committee shall be:
a. The Chairperson and
b. The Vice-Chairperson.
2. The Chairperson shall:
a. Preside at allregular and special meetings.
b. Rule on all points of order and procedure during the meetings.
G. DUTIES OF THE COMMITTEE
1. Review, discuss, and provide direction to facilitate the preparation and presentation of accurate, timely, and meaningful financial statements to the Council from City staff.
2. Oversee the preparation of the Annual Townhall Meeting on Measure i, as well as the preparation and presentation of the Measure i Annual Report.
3. Monitor City finances.
4. Review and update from time to time and as necessary the city’sfinancial policies.
5. Be familiar with, approve, and review periodically the organization's annual budget; Ensuring that the financial elements of the City are in accordance with the City Council's Strategic Priorities.
6. Develop policies and plans for financial awareness in cooperation with other public and private agencies.
7. Provide recommendationsto the City Council on such matters that may be referred to the City Council by the community.
H. MEETINGS
1. Regular meetings of the FMiOC shall be held on the third Tuesday of October, January, April, and July starting at 5:30 pm.
2. If the scheduled date of a regular meeting conflicts with a holiday period, staff shall reschedule that meeting to be conducted within that month.
3. Any regular meeting may be adjourned, or any item on the agenda continued to the next or any subsequent regular meeting of the Finance Committee, by a majority of the quorum. If a meeting is adjourned or an item is continued to a special meeting to be held on a date other than a regular meeting date, the time, place, and date of such special meeting shall be specified in the motion for adjournment or continuance. 30 4. All meetings are subject to the Brown Act as set forth in Government Code Sections 54950.
Accordingly, all meetings shall be publicly noticed and agendas for all meetings shall be prepared and distributed in accordance with the current City Council meeting procedures and the Brown Act, including posted on the City’s website and front door of the Civic Center 72 hours prior to a meeting.
5. All meetings will be recorded via video and/or audio and will be posted on the City’s website after the meeting.
6. Action minutes will be produced for all meetings and posted on the City’s website.
7. All meetings shall be conducted in accordance with the current City Council meeting procedures.
I. AGENDA SCHEDULE
January Meeting
Review and track consistency of actual expenditures with the approved budget, as well as Measure i revenue progress. Meeting results and any recommendations to be presented to the entire Council within one month of the January FMiOC meeting. April Meeting
As required by the Measure i Ordinance, hold a Townhall Meeting to review and discuss Measure i revenues and expenditures. Before final budget approval and within one month of the April meeting, recommend to the full Council any Measure i expenditures for the next fiscal year to be included in the new budget. July Meeting
Review the City’s finance policies for any needed updates and/or changes. Recommend any changes to the full Council within one month of the July meeting. October Meeting
Review and track consistency of actual expenditures with the approved budget. Review year over year comparison of sales tax, property tax and Transient Occupancy Tax (TOT) comparing the most recent fiscal year to the prior fiscal year.
J. ADMINISTRATIVE PROCEDURES AND POLICIES
City Boards and Committees shall follow all applicable City administrative policies and procedures, as well as the Willows Municipal Code.
K. STAFF LIAISON
The Finance Committee’s staff liaison will be the City Manager with support from the Finance Director.
L. ADOPTION
This document, as adopted by the City Council, October 8, 2024, by Resolution XX-2024 31 and shall serve as the Bylaws for the Finance and Measure i Ove rsight Committee. 32 _____________________________________________________________________ Date: October 15, 2024
To: Honorable Mayor and Councilmembers
From: Marti Brown, City Manager
Subject: FY 2025-26 Stop-Gap Financing Options
Recommendation:
Receive the staff presentation and provide any feedback. Based on Council direction, staff will return with a recommended action after the November 5, 2024, election should Measure I be approved by the voters.
Rationale for Recommendation:
Should Measure I, the 1.5% sales tax measure on the November 2024 ballot, be approved by the voters, the city will still require gap financing to bridge the city’s cashflow needs in fiscal year 2025-26 until the new sales tax revenue is generated and received.
Background:
Since April 2023, the Council and staff have had multiple explicit and public discussions about the City’s ongoing structural deficit and use of General Fund Reserves to balance the City’s budget, as well as the immediate need for increased revenue or face deep cuts to city services. As a result of those ongoing discussions, the majority Council approved placing a 1.5% sales tax measure on the November 2024 ballot in April 2024.
While the potential passage of the sales tax measure will bring considerable financial relief to the city and cure the General Fund’s structural deficit, it is anticipated that there will be cashflow constraints by fiscal year 2025-26 (until the new revenue is received) and additional stop-gap funding will be necessary. As a result, staff has developed the following possible interim financing strategies to support city services until there is a steady and sufficient flow of sales tax revenue to sustain the General Fund.
Discussion & Analysis:
There are basically the following two options for providing interim financing to support the General Fund in fiscal year 2025-26:
The Sale of City-Owned Property (Attachments 1), and/or Line of Credit/Tax Anticipation Note.
Agenda Item #7b.
33 The Sale of City-Owned Property
As Attachment 1 lists, the city owns eight salable properties with the following zoning:
Three parcels, residential,
One parcel, RP: Business/Professional
One parcel, GC: General Commercial,
One parcel, Public Facilities and Services, and
Two parcels, MH: Heavy Manufacturing and Public Facilities and Services.
For the purposes of generating additional revenue from city-owned properties that do not serve or facilitate city business, staff recommends disposing of the three properties zoned residential.
For the time being, and until the Council and staff may assess the highest and best use of the other five properties, staff recommends keeping those properties. In addition, staff recommends reviewing and more closely examining these properties and their unique attributes as part of updating the Council Priorities and Goals in 2025. After further assessment, the Council may wish to develop a long-term strategy for development and disposition of the properties based on Council goals, the community vision and the demands of the marketplace.
Should the Council approve selling the three residential properties, staff estimates that approximately $500,000 in revenue would be generated.
While not recommended for sale at this time, staff also included a 2019 appraisal of the city-owned properties adjacent to the city’s wastewater treatment plant currently leased for the cultivation of rice, as well as house the installed solar panels (Attachment 2). The appraisal was included to provide the Council with an idea of the potential one-time revenue that could be generated from the sale of those properties if desired. Based on 2019 market values, the appraised value for those parcels was estimated at slightly more than $1 million.
Tax Anticipation Note
Other recommended options include a Tax Anticipation Note (TAN). Should Measure I be approved by the voters, A TAN could be issued on a tax-exempt basis and secured by the approved sales tax for an amount up to $2 million.
TANs allow public agencies to finance current operations before tax revenues are received. When the taxes are received, they are used to pay back the loan/note. The term of a TAN is typically 12 months or less. However, an annual renewal provision may be included, provided that such annual renewal will require the City to approve a new resolution and documentation which will be substantially similar to the documents created for the original Credit Facility.
The TAN would likely be a variable interest rate between 4-6.33%. There would be an annual fee of approximately $15,000 and legal fees and expenses are anticipated to be approximately $20,000.
Other Options – Not Recommended
The City could also consider restructuring its Pension Obligation Bond (POB) to delay payments and thereby reserve General Fund revenues over the next few years. However, staff does 34 not recommend this option, because the city would lose the savings it generated by bonding in the first place, and it would also lose the interest rate that was locked in at the time that the POB was issued.
Another option is it to borrow a Taxable Working Capital Loan, which is basically borrowing against city assets that are not already being used for collateral by other debt. It’s anticipated that the City could borrow up to approximately $6 million based on this model. Again, however, staff does not recommend this option because the city could end up borrowing considerably more money than it needs resulting in a high debt service.
Consistency with Council Priorities and Goals:
The proposed financing options are consistent with Council Priority #1: Financial Stability.
Fiscal Impact:
There is no fiscal impact at this time.
Attachment:
Attachment 1: City Owned Properties
Attachment 2: 2019 Appraisal of City-Owned Properties (Adjacent to WWTP) 35 145 N. Lassen St.
Developed Land- Rental House
002-101-006
.15 Acres
6,534 Sq. Ft.
Year Built – 1935
Two Bedroom – One Bathroom
1,060 Sq. Ft.
Approx. Value - $230,000
Attachment 1
36 139 N. Lassen St.
Developed Land- Rental House
002-101-006
.15 Acres
6,534 Sq. Ft.
Year Built – 1928
Two Bedroom – One Bathroom
1,128 Sq. Ft.
Approx. Value - $235,000
37 N. Ventura St. and HWY 162
Vacant Land
003-142-004
.79 Acres
34,412 Sq. Ft.
38 N. Butte St. and French St.
Vacant Land
Three Contiguous Properties
Norh Parcel
005-363-009
.18 Acres
7,840 Sq. Ft.
Middle Parcel
005-363-010
.15 Acres
6,534 Sq. Ft.
South Parcel
005-363-011
.14 Acres
6,098 Sq. Ft.
Combined
.47 Acres
20,472 Sq. Ft.
39 South of City Hall Parking Lot
Vacant Land
002-101-010
.51 Acres
22,215 Sq. Ft.
40 S. Yolo St. and E. Sycamore St.
Vacant Land
003-113-006
.16 Acres
6,969 Sq. Ft.
41 City of Willows
Vacant Land
017-170-005
10 Acres
435,600 Sq. Ft.
42 City of Willows
Vacant Land
017-170-050
124.850 Acres
5,438,666 Sq. Ft.
43 APPRAISAL OF REAL PROPERTY
Two Parcels of Land Being a Portion of
Assessor’s Parcel Numbers 017-170-029 & 017-170-005
Located on the N/S County Road 57
Willows, Glenn County, California 95988
Effective Date of the Appraisal:
June 4, 2019
Prepared For:
Chief Peabody
on behalf of
City of Willows
Prepared By:
Jodi White
Certified General Real Estate Appraiser
CA License No. AG044936
Attachment 2
44 55 Independence Circle, Suite 202 Chico, California 95973 Office: (530) 893-0699 July 24, 2019
Chief Peabody
City of Willows
201 N. Lassen Street
Willows, CA 95988
Re: Appraisal of Two Parcels of Land Located on the N/S County Road 57, Glenn County, California 95988; Being a Portion of Assessor’s Parcel Numbers 017-170-029 & 017-170-005 Dear Chief Peabody,
As requested, I have completed the accompanying appraisal of the above referenced parcels, also referred to throughout the report as “the subjects”.
The subjects consist of two parcels currently part of a larger property owned by the City of Willows. The City is considering creating four legal parcels out of the larger property which contains approximately 136.58± acres. The subject parcels are identified as a 17.6± acres at the western boundary of the larger parcel. The other subject is a 44.7± acre tract that encompasses the eastern portion of the larger parcel.
For purpose of analysis, the 17.6± acre parcel is identified as Parcel 1 and the 44.7± acre site is identified as Parcel 2, throughout the appraisal.
A preliminary title report was not provided for this assignment, nor were surveys provided. Therefore, the values presented are based on the Extraordinary Assumption that a division of the property will occur as described by the client and summarized in the appraisal.
The purpose of the appraisal is to develop an opinion of the fee simple market value of the subject parcels. The intended user is City of Willows. The intended use of the appraisal is to provide guidance to the City as it relates to possible disposition or sale of the property. The appraisal is intended to comply with the 2018/2019 Uniform Standards of Professional Appraisal Practice (USPAP) promulgated by the Appraisal Foundation and state regulations pertaining to real estate.
The value conclusions shown in this letter are to be made part of the attached appraisal and is not for use without the full body of the report and all exhibits. Based on the data gathered and analyzed in the accompanying report, and subject to the definitions, assumptions, and limiting conditions expressed herein, the fee simple market values as of June 4, 2019 are as follows:
45 55 Independence Circle, Suite 202 Chico, California 95973 Office: (530) 893-0699 Since the proposed subject parcels are non-contiguous and will likely be marketed and sold individually once they are legally created, there is no need to further discount the values to account for a bulk sale transaction.
If you have any questions or comments, please contact the undersigned. Thank you for the opportunity to be of service.
Respectfully submitted,
Jodi L. White, CA License No. AG044936
Certified General Real Estate Appraiser
PARCEL #
PARCEL SIZE -
ACRES
UNIT VALUE -
PER ACRE
UNIT VALUE -
PER SQ. FT.
INDICATED VALUE
1 17.6 $21,875 $0.50 $385,000
2 44.7 $14,200 $0.33 $635,000
EFFECTIVE DATE OF VALUE June 4, 2019
SUMMARY OF VALUES
The value is predicated on the Extraordinary Assumption that the subject parcels have been or may be legally created from the larger parcel and sold as stand-alone sites with access from County Road 57.
The use of an Extraordinary Assumption may have an impact on value. The appraiser reserves the right to review and possibly revise the value estimates if the parcels can not be legally created or subdivided from the larger parcel which contains approximately 136± acres
46 TABLE OF CONTENTS
1 SUMMARY OF SALIENT FACTS AND CONCLUSIONS 1
IDENTIFICATION OF THE SUBJECT 2
EXTRAORDINARY ASSUMPTION/HYPOTHETICAL CONDITION 2
CURRENT OWNERSHIP & SALES HISTORY 2
PURPOSE OF THE APPRAISAL 2
INTENDED USE, INTENDED USER OF THE APPRAISAL 2
DEFINITION OF MARKET VALUE 3
DEFINITION OF PROPERTY RIGHTS APPRAISED 3
APPLICABLE REQUIREMENTS 3
DISCLOSURE OF PRIOR SERVICES 3
SCOPE OF THE APPRAISAL 4
MARKET AREA DATA 4
LAND DESCRIPTION AND ANALYSIS 6
HIGHEST AND BEST USE ANALYSIS 14
VALUATION METHODOLOGY 15
SALES COMPARISON APPROACH 16
CONCLUSION OF SALES COMPARISON APPROACH 24
SUMMARY OF FINAL VALUES 24
APPRAISER CERTIFICATION 25
ASSUMPTIONS & LIMITING CONDITIONS 26
ADDENDA
COMPARABLE DATA SALE SHEETS
SUBJECT DATA-FLOOD MAP PANEL
APPRAISER QUALIFICATIONS
47 SUMMARY OF SALIENT FACTS AND CONCLUSIONS
1 Assessor’s Parcel Number(s): Portion of 017-170-029 and 017-170-005 Property Address: N/S County Road 57, Willows, Glenn County, CA 95988 Owner of Record: City of Willows
Real Estate Assessment and Taxes: The subject is exempt from taxation. Privately-owned-properties are typically re-assessed when a sale or transfer is recorded. An approximate tax burden may be calculated by multiplying the appraised value or a pending transaction price of the property by the current tax rate for similar properties.
Zoning / General Plan Designation: MH, Heavy Manufacturing Site Area: Parcel 1: 17.6± Acres
Parcel 2: 44.6± Acres
Land Improvements: Portion of the property has water, sewer, power at CR 57 Current Use: Rice Fields
Highest and Best Use: Continuation of current interim use and eventual development with industrial use allowed by MH zoning
Fee Simple Market Value: Parcel 1 (17.6± acres): $385,000 Parcel 2 (44.7± acres): $635,000
Effective Date/Date of Inspection: June 4, 2019
Date of Report: July 24, 2019
48 GENERAL INFORMATION
2 IDENTIFICATION OF THE SUBJECT
The subject parcels are currently part of two larger tracts that contain a total of 136.58± acres according to Assessor’s Parcel Numbers (APN) 017-170-005 & 029. Parcel 017-170-029 has a street address of 1600 Hwy 99, Willows. The legal description is described as: Sewage Plant Remnant Lands 11PM71. Parcel 017-170-005 is described as being: The NE 1/4 of the NE 1/4 of the SW ¼ of Section 15 Township 19 Range 3. As noted, the subject parcels will be legally created from these larger parcels. For the purpose of analysis, the appraisal identifies the subjects as follows:
Parcel 1: 17.6± acres generally along the western boundary; Parcel 2: 44.7± acres generally at the eastern boundary of the larger parcel.
EXTRAORDINARY ASSUMPTIONS AND HYPOTHETICAL CONDITIONS
The value conclusion is prefaced on the extraordinary assumption that the subject parcels have been legally created and divided from the larger property described previously. Preliminary Title Report was not provided.
1. This appraisal is not an appraisal of the 136.58± acre “larger parcel”, or “parent tract”
2. The subjects of the appraisal consist of two industrially zoned parcels of raw land containing 17.6± and 44.7± acres, respectively
3. If, at a later date, a legal description, survey, preliminary title report or other documentation is provided that indicates the subject parcels are significantly different in terms of size, shape or location, than what has been described, the appraiser reserves the right to review and possibly revise the appraisal and value conclusions herein. It is noted that the use of an extraordinary assumption may have an impact on the value
CURRENT OWNERSHIP AND SALES HISTORY
USPAP requires appraisers to report the ownership and analyze any sales, transfers, listings or pending sales related to the subject property within a three-year period preceding the effective date of the appraisal.
The subject is owned by the City of Willows. This entity has owned the property for longer than preceding three-year period. There have been no other sales or transfers of ownership within this period, and the property is not currently listed for sale.
PURPOSE OF THE APPRAISAL
The purpose of this appraisal report is to develop an opinion of the market value of the fee simple interest of the subject as of the effective date of the appraisal, June 4, 2019. The appraisal is valid only as of the stated effective date.
INTENDED USER AND INTENDED USE OF THE APPRAISAL
The intended user of this appraisal report is City of Willows. The intended use of the appraisal is to provide guidance to the City as it relates to possible disposition or sale of the property. No other parties other than the client may use or rely on the information, opinions, and conclusions contained in this report.
49 GENERAL INFORMATION
3 DEFINITION OF MARKET VALUE
Market value as used in this report is defined as:
"The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently, knowledgeably, and assuming the price is not affected by undue stimulus other than customary market factors.
Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby:
Buyer and seller are typically motivated;
Both parties are well informed or well advised, and each acting in what they consider their own best interest;
A reasonable time is allowed for exposure in the open market; Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and
The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale." (Source: Code of Federal Regulations, Title 12, Chapter 1, Part 34.42(g); Interagency Appraisal and Evaluation Guidelines, Federal Register, 75 FR 7449, December 10, 2010, page 77472)
DEFINITION OF PROPERTY RIGHTS APPRAISED
For this analysis, the fee simple interest is appraised. Fee simple is defined as “Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat.” (Source: The Dictionary of Real Estate Appraisal, Sixth Edition, Appraisal Institute, Chicago, Illinois.)
APPLICABLE REQUIREMENTS
This appraisal is intended to conform to the requirements of the following:
2018-2019 edition Uniform Standards of Professional Appraisal Practice (USPAP);
PRIOR SERVICES
USPAP requires appraisers to disclose to the client any other services they have provided in connection with the subject property in the prior three years, including valuation, consulting, property management, brokerage, or any other services. To that extent, I have performed no services, as an appraiser or in any capacity, regarding the property that is the subject of this report within the three-year period immediately preceding the acceptance of this assignment.
REPORT FORMAT
The Appraisal Report option set forth in Standard 2(a) of the Uniform Standards of Professional Appraisal Practice (USPAP) is utilized in this assignment. 50 GENERAL INFORMATION
4 SCOPE OF THE APPRAISAL
To determine the appropriate scope of work for this assignment, consideration is given to the intended use of the appraisal, the needs of the user, the complexity of the property, and other pertinent factors. For this analysis the following tasks were completed but are not limited to:
Conducted a site visit on June 4, 2019, accompanied by Chief Peabody Reviewed the proposed land subdivision plan of the larger tract overlaid on Google image Reviewed the LAFCO Municipal Services Review Willows dated August 11, 2014 Reviewed the 2017 Glenn County Annual Crop & Livestock Report Conducted a market investigation of neighborhood, identified comparable sales and listing data; visual inspection of comparable data, confirmation and analysis of same Data collection relating to the subject property and the comparables, such as zoning, soils classification, flood zone data and grant deeds were obtained from public agencies including the USDA Web Soil Survey, County Assessor, Tax Collector, Planning and Building Departments, FEMA flood maps, local MLS, brokers, and other proprietary sources (RealQuest)
The type and extent of the research and analysis is detailed in the individual sections of the report, including steps taken to identify and verify comparable sales and listing data.
Although every effort is made to confirm the arm’s length nature of each sale with a party to the transaction, it is sometimes necessary to rely on secondary verification from sources deemed reliable.
Highest and Best Use Analysis
Valuation analysis and completion of the appraisal process including formulation of the final report
MARKET AREA DATA
The subject is located in Glenn County, population 29,132 as of January 2019, according to the CA Department of Finance. The primary industry in Glenn County is Agriculture. The top five crops are almonds, walnuts, rice, dairy and olives. Total crop value for 2017 was $834,632,000.
There are two incorporated cities in the county; Orland, population 8,337, located along the State Hwy 32/I-5/Hwy 99W corridor, and the county sear of Willows, population 6,282 in central Glenn County. Glenn County encompasses about 1,327 square miles and extends from the Mendocino National Forest west of Interstate 5 to east of the Sacramento River east of Hwy 45 and extending generally from Orland south approximately 6 miles south of Willows. Varied geography and topography ranging from mountainous forest to rice fields and orchards.
Willows is a small city that benefits from its location near Interstate 5, with two full interchanges.
In addition to County and City offices, Willows is also home to regional government offices, including the California Highway Patrol, California Department of Motor Vehicles, US Bureau of Reclamation and the main office of the Mendocino National Forest. The main office for the GlennColusa Irrigation District (GCID), the largest irrigation district in the Sacramento Valley, is 51 GENERAL INFORMATION
5 headquartered in Willows. Major developments or places of interest include Thunderhill Raceway, located west of Interstate 5; The Sacramento National Wildlife Refuge, located seven miles3 south of Willows, consists of 10,819 acres of wetlands; Mendocino National Forest; and The Willows Glenn County Airport is located west of I-5, south of State Highway 162 and serves general aviation and agricultural aviation purposes. Another significant project is CalPlant I -a 275± acre property located west of Interstate 5 on Hwy 162 under development with a $300 million facility that will convert rice straw to medium density fiberboard - expected to be completed in the fall of 2019.
The subject market area is defined as the Hwy 99W / Interstate 5 corridor in south Willows, generally between County Road 53 and County Road 60. A full interchange with Interstate 5 at County Road 57 provides direct access to the area and the subject. Highway 99W basically parallels Interstate 5 in this region. The Southern Pacific Railroad extends along the east side of Hwy 99W. The immediate area is defined by agricultural uses including rice fields and ag related activities. The Highway 99W corridor is rural with scattered light and heavy manufacturing uses including the City of Willows Water Waste Treatment Plant, Budweiser Warehouse, Wilber- Ellis, Swift Transportation and older commercial structures travelling north on Hwy 99W towards the center of town. Road improvements underway along Hwy 99W just north of County Road 57 being completed in anticipation of a 38± acre commercial/industrial/residential project planned for the west side of Hwy 99W and County Road 57. Individual commercial parcel sizes range from 1 to 5 acres. No timeline for construction has been reported, however, Rumiano Cheese is reportedly going to construct a new facility as an expansion of their overall operations.
Approximately 314 acres of raw industrial and agricultural land is also being marketed for sale on the south side of County Road 53. Currently planted in rice, the asking prices range from $20,000 for ag land to $40,000 for light manufacturing land with parcel sizes ranging from 68 to 81 acres.
SURROUNDING LAND USES
The predominant land usage within a 1-mile radius of the subject consists of agricultural and farmland with some rural residences on large acreage. Immediately surrounding uses include:
East: Agricultural Land (Rice)-County
South: Agricultural Land (Rice)-County
North: City of Willows Waste Treatment Facility
West: Heavy Manufacturing (Wilbur Ellis), then vacant commercial land/Interstate 5 52 LAND DESCRIPTION AND ANALYSIS
6 The following description relates to the two subject parcels which are to be created from two larger parcels of land. The overall larger parcel contains approximately 136.58± acres with a rectangular shape and approximately 1,882 feet of frontage on County Road 57 and a maximum depth of about 2,660 feet on the eastern boundary. Most of it is planted in rice but a portion of the property is considered brown fill.
LOCATION AND ACCESS
Subject parcels are located on the north side of County Road 57, east of Highway 99W and the Southern Pacific Railroad. Access to the immediate area is from Interstate 5 and Hwy 99 with direct access to the subject from County Road 57. County Road 57 is two lane county-maintained road that extends from west of Interstate 5 to County Road P east of the subject.
SIZE: Parcel 1: 17.6± Acres; Parcel 2: 44.7± Acres
SHAPE/ROAD FRONTAGE: Parcel 1 has an in irregular shape due to its proposed configuration and the location of a 1.7± acre portion of the overall site that will be deeded to Cal Water. This parcel will have two driveways leading to the bulk of the property. The driveways will provide approximately 50’ and 30’ feet of frontage on County Road 57. Parcel 2 has a rectangular shape with approximately 675 feet of road frontage.
TOPOGRAPHY: Currently planted in rice fields and will require draining and leveling UTILITIES: Parcel 1 has water, sewer, power and fiber at County Road 57. Parcel 2 will require water, sewer and power connections. Subject parcels are in the Glenn Colusa Irrigation District (GCID).
LAND IMPROVEMENTS: None other than rice fields
FLOOD ZONE DATA
Flood Panel and Effective Date: 06021C0825D; Dated 8/5/2010 Flood District: X
Floodplain Status: Zone X – Area of minimal flood hazard
SOIL CLASSIFICATION
Soils class and slope of the land often determines the type of use that a parcel will accommodate.
Slope of the land is an aspect of topography - and is also a soil characteristic. According to the USDA Natural Resources Conservation Services, Web Soil Survey, the subject parcels are comprised mostly of Wca, Willows Clay, Slightly Saline-Alkali with 0 to 1% slopes and MzrA-Myers Clay, 0 to 1% slopes, MLRA 17.
According to the California Revised Storie Index (CRSI), the subject soil classifications are nearly 100% Class/Grade 4. The CRSI ratings range from Grade/Class 1 (Excellent) to Grade/Class 6 (Nonagricultural). The subject’s grade 4 is considered “Poor”. The soils maps have been retained in the Appraiser’s files.
53 LAND DESCRIPTION AND ANALYSIS
7 ZONING ANALYSIS
The subject is within the City of Willows. The larger parcel appears to have a dual zoning – the portion where the existing wastewater treatment facility is located has a Public Facilities and Services zoning, and the portion where the proposed subject parcels are located has MH, Heavy Manufacturing zoning. According to the municipal code, “The heavy industrial or MH district is intended to apply to areas devoted to normal operations of industries subject only to regulations as are needed to control congestion and protect surrounding areas.” Permitted uses allowed outright include:
All uses permitted in the ML, Light Manufacturing district Wholesale lumber yards, lumber mills, grain elevators and storage Pottery kilns and ceramic works of heavy industry types Concrete batch plants
Blacksmith shops and casting foundries
Other uses are permitted with the issuance of a use permit. In addition to industrial uses, a review of the zoning code indicates that commercial uses would be permitted on the site. Agricultural uses are not allowed per the MH zoning description. The existing use appears to be a nonconforming use from a zoning standpoint, but the area generally area has historically supported rice production, as seen on surrounding properties.
Site subject parcels meet the minimum site requirements which include a minimum lot area of 10,000 square feet. There are no setback requirements, but the maximum building height is noted at 50 feet. A copy of the zoning code has been retained in the Appraiser’s files.
EASEMENTS AND ENCROACHMENTS
Without a preliminary title report (PTR) or metes and bounds legal description, it is not possible to identify various public utility, access, road and right of way easements that may be present on the subject. There may be typical easements along the road frontage or on the perimeters of the site; however, this appraisal assumes there are no easements or encroachments present on the site that would have an adverse impact on its development potential.
ENVIRONMENTAL HAZARDS
An Environmental Site Assessment was not provided for review. There are other light and heavy industrial uses in the area. The appraisal assumes that no environmental hazards are present that would impede development as allowed by zoning, but the client should obtain an Environmental Assessment to satisfy concerns, if any.
CONCLUSION OF LAND ANALYSIS
The parcels have an adequate size, shape and availability of utilities to support a variety of uses allowed by zoning. The parcels large size may be a limiting factor to some potential users but the proximity and access to Interstate 5 and the potential to extend a rail spur along the north end of the parcels are positive characteristics. Furthermore, the subject benefits from the availability of city water and sewer, fiber optics and power already at the site. The location is somewhat 54 LAND DESCRIPTION AND ANALYSIS
8 rural agricultural in nature but there is some evidence of new commercial and light industrial being developed in the South Willows area.
PARCEL MAP OF LARGER PROPERTY
GOOGLE IMAGE OF LARGER PARCEL WITH PROPOSED SUBJECT PARCELS OUTLINED IN RED 55 LAND DESCRIPTION AND ANALYSIS
9 GOOGLE IMAGE OF PROPOSED SUBDIVISION OF LARGER PARCEL WITH SUBJECTS IDENTIFIED 56 LAND DESCRIPTION AND ANALYSIS
10 ZONING MAP
SUBJECTS
57 SUBJECT PHOTOGRAPHS
11 View facing north proposed Parcel 1 from driveway on County Road 57 View facing north at western boundary proposed Parcel 1 / rice fields shown Typical view
58 SUBJECT PHOTOGRAPHS
12 Typical view
Typical view of proposed Parcel 2
Typical view of proposed Parcel 2
59 SUBJECT PHOTOGRAPHS
13 View facing north from County Road 57
View facing south
View facing west on County Road 57 from proposed Parcel 1 60 HIGHEST AND BEST USE ANALYSIS
14 The highest and best use determination is critical to the appraisal of any property. It helps to ensure the selection of appropriate comparable properties for use in all the approaches. It also aids in the determination of those uses that will produce the highest net return to the land.
Highest and best use is defined as: The reasonably probable use of property that results in the highest value. The four criteria that the highest and best use must meet are legal permissibility, physical possibility, financial feasibility and maximum productivity. (Source: The Dictionary of Real Estate Appraisal, Sixth Edition, 2015)
HIGHEST AND BEST USE
In this instance, the subject parcel consists of industrially zoned land that is currently leased to a local farmer and used for organic rice production. The lease began in December 2018 and expires in November 2023. The annual lease amount is $26,145 for the first year and escalates by CPI each year thereafter.
Legally permissible uses include a variety of light and heavy manufacturing uses.
Physically, the parcel has adequate size, access, shape and topography that would support a variety of industrial uses. The soil classifications are Class 4/Poor and will require the removal of the rice fields prior to industrial development; however, should then adequately support the primary uses allowed by zoning.
Surrounding parcels are planted rice to the north, east and south. The Hwy 99W corridor has a few light and heavy industrial uses in the immediate vicinity but for the most part still in transitional stage. A 38-acre mixed use project is planned for the northeast quadrant of Interstate 5 and County Road 57 which likely spur future development on surrounding or nearby sites.
However, a development timeline is beyond the scope of this assignment.
The highest and best use of the subject parcels “as vacant” and “as improved” is for a continuation of the current interim agricultural use, and eventual development with an industrial use as market demand increases. However, given the longer term highest and best use, and considering the current zoning classification, the valuation analysis utilizes sales and listings of similarly zoned parcels as the basis of the Sales Comparison Approach. 61 METHODOLOGY OF VALUATION
15 There are three generally accepted approaches or methods used in the valuation of real property.
These are the Sales Comparison Approach, the Income Capitalization Approach and the Cost Approach. In appraisal practice, an approach to value is included or omitted based on its applicability to the property type being valued; and the quality of information available. The final estimate of value considers the result of each approach used in the report. If more than one approach has been found to be applicable to the subject property, a correlation or reconciliation of indicated values is performed to establish a final value. The different approaches are briefly discussed below.
The sales comparison approach is a method of establishing market value by comparing the subject property to similar properties that have recently sold or are listed for sale in an effort to determine the most probable price at which the subject would likely sell if offered on the open market. The sales comparison approach has applicability in the valuation of vacant land, agricultural land, and improved properties. It is appropriate in the valuation of owner-occupied residential and commercial properties and lends support to the income approach in the valuation of multi-tenant or investment grade properties.
The Dictionary of Real Estate Appraisal, 6th Edition defines the sales comparison approach as:
“The process of deriving a value indication for the subject property by comparing sales of similar properties to the property being appraised, identifying appropriate units of comparison, and making adjustments to the sale prices (or units prices as appropriate) of the comparable properties based on relevant, market-derived elements of comparison. The sales comparison approach may be used to value improved properties, vacant land, or land being considered as though vacant when an adequate supply of comparable sales is available”.
The income capitalization approach uses a set of procedures through which a value indication is derived for an income-producing property by converting its anticipated benefits (cash flows and reversion) into property value. This conversion can be accomplished in two ways, known as the direct capitalization method and the discounted cash flow method.
The Dictionary of Real Estate Appraisal, 6th Edition defines the income capitalization approach as: “Specific appraisal techniques applied to develop a value indication for a property based on its earning capability and calculated by the capitalization of property income”.
The cost approach is based on the principle of substitution that a purchaser would most likely not pay more for a property than the cost of obtaining an equally desirable site, plus the cost of replacing equally desirable and useful improvements. This assumes no costly delay is involved in making the substitution. This approach has practical application when a property is new and where the improvements are special purpose in nature.
In the following analysis, only the Sales Comparison Approach is used in the valuation of the subject. The Income Capitalization and Cost Approaches are not applicable since the subject is land, produces no income and has no structural improvements in place. 62 SALES COMPARISON APPROACH
16 The sales comparison approach is a commonly used method of valuation for vacant land, agricultural land and improved properties. The approach is based on the premise that a buyer would pay no more for a specific property than the cost of obtaining a similar property. It is based on the appraisal principles of supply and demand, substitution and externalities. In the sales comparison approach, the market value of the subject property is derived through a comparison of similar properties utilizing appropriate units of comparison and applying adjustments where appropriate. In this instance, the price per acre and price per square foot of land are the most commonly used units of comparison in appraisal practice for this property type.
It is commonly used by brokers, buyers and sellers when referencing vacant land. Generally, larger or agricultural properties are referenced by the price per acre; while smaller, commercial or industrial land is referenced by the price per square foot.
MARKET OBSERVATIONS
The comparable data research focused on transactions within the following parameters:
Location: Glenn County and neighboring communities along the Highway 99W corridor extending north to Red Bluff and south to Williams
Property Type/Use: Vacant land with industrial, commercial and mixed-use zoning classifications
Size: Initial search included properties ranging from 2.0± acres to 82.0± acres Transaction Date: Given the general lack of closed sales, the initial search extended back to January 2014
Approximately 17 properties were identified within these parameters, ranging in size from 2.0 acres to 314.0 acres. The sale and list prices of the initial data range from a low of $0.21 per square foot ($9,009 per acre) for a closed sale to a high of $10.73 per square foot or $467,290 per acre, for an active listing. Most sales closed within 75% to 80% of the list price. Days on market for range from less than 30 days to over 12 months.
Typically, longer days on market required for these more rural locations. The closed sales had an average sale price of $0.99 per square foot and a median sale price of $0.89 per square foot. The listings indicate a higher overall range of values even when considering downward adjustments for sale status/negotiations, suggesting minor to moderate market appreciation over the past five years.
After further review and analysis of the initial data, three active listings and five closed sales are considered to be the best indicators of value for the subject parcels. These properties range in size from 3.62± acres to 82± acres with sale or list prices ranging from $9,740 to $99,081 per acre or $0.22 to $2.27 per square foot of land area. A summary of the comparable data is presented below. The data are arranged in descending order by sale or list price.
63 SALES COMPARISON APPROACH
17 COMP # LOCATION SALE DATE SALE PRICE PARCEL SIZE $ PER SQ. FT. $ PER ACRE ZONING
LISTINGS
1 S/S CR 53, E/of Hwy 99W,
Willows Listing $1,620,000 81.0 $0.46 $20,000 AE-40/Glenn Listing $2,800,000 70.0 $0.92 $40,000 ML/Willows
2 Maxwell Colusa Rd & Lausten
Rd, Maxwell Listing $3,300,000 85.3 $0.89 $38,710 M2 &
HC/Maxwell
3 S/S Niagra Ave, W of CR 45
Colusa Listing $3,125,000 31.5 $2.27 $99,081 M2/Colusa
CLOSED SALES
1 1 Norman Road, Willows 8/3/2018 $360,000 36.96 $0.22 $9,740 HVC/Glenn 2 6239 State Hwy 162, Willows 5/9/2019 $300,000 12.4 $0.56 $24,291 HVC/Glenn 3 2090 Walnut Street, Red Bluff 7/1/2019 $275,000 8.1 $0.78 $33,867 M-1/Red Bluff 4 3747 County Road 99W
Orland 8/7/2014 $260,000 20.0 $0.30 $13,000 SC/Glenn
5 3748 County Road 99W
Orland 8/4/2017 $80,000 3.6 $0.51 $22,099 M/Glenn
SUBJECT County Road 57, Willows Effective Date: 4-Jun-19 17.6 & 44.7 HM/Willows Comments: Small commercial service zoned parcel located south of Orland, approximately 13± miles north of the subject.
Level, no improvements.
Subject is comprised of two parcels which will be created out of one larger parcel. Currently planted in rice. These parcels have water on site and power nearby. Located in the City of Willows. There is possibility of extending rail spur to site on northern boundary. Located on north side of County Road 57 just east of Hwy 99W Comments:This acreage is zoned for commercial and industrial uses. There are three 5-acre parcels zoned commercial and a 60-acre parcel zoned industrial. Current income generated from cell phone tower lease, rental home lease and farmland cash lease. Water, power and sewer located near the parcels. Approximately 15 miles south of subject.
Comments: Commercial/industrially zoned acreage located between I-5 and Hwy 99N on the south side of Norman Rd (CO Rd 68), 6± miles south of Willows (and the subject) in Glenn County. It is at the highway exit to the Sacramento Wildlife Refuge and Lambertville Duck Clubs. It was purchased by Wetland America, who intend to transfer/donate the property for wildlife refuge expansion/use.
Comments: Recent sale of an industrially zoned parcel within Red Bluff City limits. Utilities nearby by and could be extended to the site. Furthest sale from the subject but in a small city included due to similar zoning, current condition and recent date of sale.
SUMMARY OF COMPARABLE LAND SALES & LISTINGS
Comments: This acreage is part of a larger listing comprised of four parcels that total 314± acres on the south side of County Road 53 at the east side of Hwy 99W. the total property has a list price of $15,700,000 or about $50,000 per acre/$1.15 per square foot. The parcels are currently planted in rice but two have a commercial zoning and are located within the city limits.
The asking price for these parcels is $40,000 per acre. The adjacent parcels are located in the County and have an AE-40 zoning. These parcels have an asking price of $20,000 per acre. Utilities near by, rail potential. Property is located just north of the subject.
Comments: Listing is located in the Colusa Industrial Park, south of Colusa and near Hwy 45. Portion of the property extends along the abandoned railroad. Located approximately 20 miles south of the subject.
Comments: This property is located in Glenn County, west of Willows. It is west of Interstate 5 on the south side of Hwy 162, just west of the Willows-Glenn County Airport. It was leased for agricultural endeavors at the time of sale. Area is agricultural/transitional to commercial/industrial.
Comments: This parcel of commercial/industrial land was subsequently developed with a 60,000± square foot steel building (200'x300'). Located on the west side of Hwy 99W, south of Orland, approximately 13± miles north of the subject.
UNITS OF COMPARISON
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MAP OF COMPARABLE SALES AND LISTINGS
0 mi 5 10 15 20 25
65 SALES COMPARISON APPROACH
19 ANALYSIS AND ADJUSTMENT OF COMPARABLE DATA
In the sales comparison approach, the comparable properties are compared to the subject and adjusted to account for material differences that affect value.
When warranted, the comparable data are adjusted up or down based on various elements of comparison. The comparable data are compared to the subject based on either a qualitative, (ranking method), or quantitative analysis of the data. Adjustments are typically considered for the following factors, generally in this order:
• Effective Sale Price
• Real Property Rights Transferred
• Financing Terms
• Conditions of Sale
• Market Conditions
• Location
• Zoning/Use
• Size of Property
• Shape, Soils, Topography
• Land Improvements
Based on a review of the data, the comparable sales and listings are considered to be similar to the subject with respect to effective sale price, real property rights appraised, financing terms, location, zoning and physical characteristics such as shape, soils and topography. Therefore, no adjustments are necessary for these factors. Adjustments are applied where necessary for the following characteristics:
Conditions of Sale: The closed sales indicate that properties are selling generally between 75% and 95% of the list price. A downward adjustment for conditions of sale is applied to the listings to account for likely sale negotiations.
Market Conditions: Comparable Sale 4 required an upward adjustment to account for market appreciation that has occurred since between the date of sale and effective date of appraisal.
This is applied at a rate of 15%. This sale also required a significant upward adjustment for conditions of sale as it represents a distressed transaction by the seller.
Parcel Size/Acreage: Typically, an inverse relationship exists between parcel size and unit value.
Based on the theory of economies of scale, smaller parcels usually sell for more per unit than larger parcels. The impact size has on value varies because other factors also influence the overall sale price. To quantify a reasonable and supported adjustment for differences in size, a regression analysis using the macro data initially identified was performed. The regression analysis indicated a reliability index of 25% for the macro data. The sales used for direct comparison indicated greater than 60% reliability index while the listings clearly supported the inverse relationship, with a greater than 90% reliability index. Meaning that at least 25% to 90% of the difference in value between parcels is attributable to size. Given the size of the data, even minor adjustments result in a large dollar amount or percentage adjustment, so care is taken not to overstate the impact.
66 COMPARABLE # SUBJECT Comparable 1 Comparable 2 Comparable 3 Comparable 4 LOCATION N/S of County Road 57, East of
Hwy 99W 6239 State Hwy 162, Willows 2090 Walnut Street, Red Bluff 3747 County Road 99W Orland 3748 County Road 99W Orland RECORDED DATE OF SALE N/A 5/9/2019 7/1/2019 8/7/2014 8/4/2017 SALE PRICE N/A $300,000 $275,000 $260,000 $80,000
LAND AREA-ACREAGE 17.60 12.35 8.12 20.00 3.62
LAND AREA - SQUARE FEET 766,656 537,966 353,707 871,200 157,687 UNIT VALUE $ PER ACRE N/A $24,291 $33,867 $13,000 $22,099 UNIT VALUE $ PER SQ. FT. N/A $0.56 $0.78 $0.30 $0.51
TRANSACTIONAL CHARACTERISTICS
PROPERTY RIGHTS CONVEYED Fee Simple Similar Similar Similar Similar FINANCING Assume Cash or Equivalent Similar Similar Similar Similar CONDITIONS OF SALE Assume Arm's Length Similar Similar Distressed Sale Similar - Adjustment (%) N/A 0% 0% 25% 0%
MARKET CONDITIONS (TIME) 6/4/2019 Similar Similar Market Appreciation Similar - Adjustment (%) N/A 0% 0% 25% 0%
Adjusted Sale Price N/A $300,000 $275,000 $390,000 $80,000 Adjusted Price/Acre N/A $24,291 $33,867 $19,500 $22,099
PHYSICAL CHARACTERISTICS
LOCATION Hwy 99W Corridor/Average Similar Closer to Downtown Similar Similar - Adjustment (%) N/A 0% -10% 0% 0%
ZONING/USE MH, Heavy Manufacturing; City of
Willows Similar Similar Similar Similar
SIZE 17.60 Smaller Smaller Larger Smaller
- Adjustment (%) N/A -7% -13% 3% -13%
SHAPE/TOPOGRAPHY Rectangular/Level Similar Similar Similar Similar SOIL CLASSIFICATION Grade 4/Poor Similar Similar Similar Similar UTILITIES/LOCATION Water, Sewer, Power, Fiber in Co
Rd 57 at east property line
To Be Developed-Well, Septic,
Power on Hwy 162 At Site Water/Septic/Power TBD Well/Septic/Power TBD
LAND IMPROVEMENTS/WATER
SOURCE
Property is planted in rice / GlennColusa Irrigation District Raw Land/Transitional/GCID Raw Land/Transitional Raw Land Fencing
FINAL ADJUSTED VALUES
ADJUSTED SALES PRICE N/A $279,984 $211,358 $400,980 $69,340 UNIT VALUE $ PER ACRE N/A $22,671 $26,029 $20,049 $19,155 UNIT VALUE $ PER SQ. FT. N/A $0.52 $0.60 $0.46 $0.44
Number of Adjustments N/A 1 2 3 1
% Net Adjustment N/A -6.67% -23.14% 54.22% -13.32%
COMPARABLE DATA ADJUSTMENT GRID - 17.6± ACRE SUBJECT
ELEMENTS OF COMPARISON AND ADJUSTMENT
67 COMPARABLE # SUBJECT Comparable 1 Comparable 2 Comparable 3 Comparable 4 LOCATION N/S of County Road 57, East of
Hwy 99W 1 Norman Road, Willows 6239 State Hwy 162, Willows 2090 Walnut Street, Red Bluff 3747 County Road 99W Orland RECORDED DATE OF SALE N/A 8/3/2018 5/9/2019 7/1/2019 8/7/2014 SALE PRICE N/A $360,000 $300,000 $275,000 $260,000
LAND AREA-ACREAGE 44.70 36.96 12.35 8.12 20.00
UNIT VALUE $ PER ACRE N/A $9,740 $24,291 $33,867 $13,000 UNIT VALUE $ PER SQ. FT. N/A $0.22 $0.56 $0.78 $0.30
TRANSACTIONAL CHARACTERISTICS
PROPERTY RIGHTS CONVEYED Fee Simple Similar Similar Similar Similar FINANCING Assume Cash or Equivalent Similar Similar Similar Similar CONDITIONS OF SALE Assume Arm's Length Similar Similar Similar Distressed Sales - Adjustment (%) N/A 0% 0% 0% 25%
MARKET CONDITIONS (TIME) 6/4/2019 Similar Similar Similar Market Appreciation - Adjustment (%) N/A 0% 0% 0% 25%
Adjusted Sale Price N/A $360,000 $300,000 $275,000 $390,000 Adjusted Price/Acre N/A $9,740 $24,291 $33,867 $19,500
PHYSICAL CHARACTERISTICS
LOCATION Hwy 99W Corridor/Average Similar Similar Closer to Downtown Similar - Adjustment (%) N/A 0% 0% -10% 0%
ZONING/USE HM, Heavy Manufacturing; City of
Willows Inferior Similar Similar Similar
- Adjustment (%) N/A 21% 0% 0% 0%
SIZE 44.70 Similar Smaller Smaller Similar/Smaller
- Adjustment (%) N/A 0% -33% -41% -14%
SHAPE/TOPOGRAPHY Rectangular/Level Similar Similar Similar Similar SOIL CLASSIFICATION Grade 4, Poor Comprised of trailings from the development of I-5 & Hwy 99W Similar Similar Similar
UTILITIES/LOCATION Water, Sewer, Power, Fiber to be
extended from adjacent parcel
To Be Developed-Well, Septic,
Power on Hwy 99W
To Be Developed-Well, Septic,
Power on Hwy 162 At Site Water/Septic/Power TBD
LAND IMPROVEMENTS/WATER
SOURCE
Property is planted in rice / GlennColusa Irrigation DistrictRaw Land/GCID - In Water District but has not been farmed Raw Land/Transitional/GCID Raw Land/Transitional Fencing
FINAL ADJUSTED VALUES
ADJUSTED SALES PRICE N/A $433,920 $201,333 $135,931 $333,499 UNIT VALUE $ PER ACRE N/A $11,740 $16,302 $16,740 $16,675 UNIT VALUE $ PER SQ. FT. N/A $0.27 $0.37 $0.38 $0.38
Number of Adjustments N/A 1 1 2 3
% Net Adjustment N/A 20.53% -32.89% -50.57% 28.27%
COMPARABLE DATA ADJUSTMENT GRID - 44.7± ACRE SUBJECT
ELEMENTS OF COMPARISON AND ADJUSTMENT
68 SALES COMPARISON APPROACH
22 SUMMARY OF ANALYSIS AND CONCLUSION OF VALUE
The listings provide an indication of the improving market conditions in the general region. After refinements the listings generally indicate a range for the subject that extends from a low of $0.32 per square foot ($13,940 per acre) to $1.00 per square foot ($43,560 per acre) for a superior listing in an established industrial park. Two of the four listings indicate a range from $0.60 to $0.62 per square foot. Three of the four listings are currently being used for agricultural purposes and will require similar removal of the ag use prior to industrial or commercial development. Overall the listings are much larger than the subject and ultimately set the upper end of the range that would be appropriate for the subject. They are given no valuation weight in the final analysis but do provide support that values and demand have increased over the past 24 months.
The closed sales provide reasonable alternative locations to the subject parcels. The zoning classifications and other physical characteristics are similar overall. There is variation in size, as described previously, and the sales have been adjusted where necessary. None of the closed sales are being used for agricultural purposes.
In the valuation of subject Parcel 1, the proposed 17.6± acre parcel, the four closed sales provide an adjusted range of values that extend from $0.44 to $0.60 per square foot ($19,155 to $26,029 per acre). In the final analysis, Comparables 1, 2 and 3 are considered to be most similar and are given most valuation weight. These sales have adjusted values ranging from $0.46 to $0.60 per square foot. Considering the subject’s existing utilities, rail potential and zoning in place, the value of the subject’s 17.6± acre proposed parcel is concluded near the upper end of the refined range, at $23,000 per acre, or $0.53 per square foot.
This preliminary value assumes the property is “site ready” for industrial development, which it is not. As noted, the subject is currently planted in rice. The property will require removal of the fields and site leveling to return the parcel to raw land that will support industrial development.
The Appraiser consulted with Ryan Edson, principal with M Peacher Construction to estimate the cost of field removal and site preparation. The range was estimated to be between $1,000 and $1,300 per acre. Due to the size of the project, the upper end of the range is utilized in this analysis.
The following chart summarizes the calculations which result in a value of $385,000, rounded.
The value equates to approximately $21,875 per acre or $0.50 per square foot for the 17.6± acre subject parcel, as shown.
69 SALES COMPARISON APPROACH
23 The value of subject Parcel 2 is based on four closed sales which provided a refined range of unit values extending from $11,740 to $16,740 per acre, or $0.27 to $0.37 per square foot. The adjusted average unit value is indicated at $15,364 per acre. A unit value within the refined range is appropriate for the subject as it represents a reasonable alternative location to the comparable data.
Comparable 1 is most similar in terms size and its location near an interchange with Interstate 5.
However, it was purchased for recreational use because of its proximity to the Sacramento Wildlife Refuge. It represents the low end of the range overall but lends support to the size regression analysis.
Comparable Sales 2, 3, and 4 are smaller than the subject and required downward adjustments for size. Other physical characteristics are considered to be generally similar to the subject. These sales provided a narrow range of adjusted values extending from $16,302 to $16,740 per acre, or $0.38 per square foot. However, it is reasonable to assume that the subject’s 44.7± acre parcel would have a unit value somewhat below $16,302 per acre due its larger size and the fact that the size adjustment is not all encompassing. Based on the preceding analysis and giving valuation weight to all four closed sales, the value of the subject’s 44.7± acre parcel is concluded at $15,500 per acre, or $0.35 per square foot.
The preliminary value assumes the property is “site ready” for industrial development, which it is not. As with Parcel 1, the cost of returning the land to industrial property will require the removal of the existing rice fields. This has been estimated to be $1,300 per acre, or $58,110 overall. Deducting the costs of the field removal from the preliminary value conclusion results in a final fee simple market value for Parcel 2 at $635,000. This equates to roughly $14,200 per acre or $0.33 per square foot. The calculations are summarized in the next chart.
PRELIMINARY UNIT VALUE/PER ACRE $23,000
SUBJECT SIZE/ACRES 17.60
PRELIMINARY VALUE INDICATION $404,800
LESS: COST TO REMOVE FIELDS/LEVEL ($22,880)
FINAL VALUE INDICATION $381,920
ROUNDED $385,000
Indicated Value Per Acre $21,875
Indicated Value Per Square Foot $0.50
CONCLUSION OF VALUE
70 SALES COMPARISON APPROACH
24 Comparable data sale sheets detailing the transaction data and property characteristics of the individual sales and an aerial image of each are found in the Addenda section of the appraisal.
FINAL SUMMARY OF VALUES
The value conclusions for the two proposed parcels are summarized in the next chart. Since the parcels are non-contiguous and will likely be marketed and sold individually once they are legally created, there is no need to further discount the values to account for a bulk sale transaction.
Therefore, the fee simple market values of the proposed subject parcels are as follows:
PRELIMINARY UNIT VALUE/PER ACRE $15,500
SUBJECT SIZE/ACRES 44.70
PRELIMINARY VALUE INDICATION $692,850
LESS: COST TO REMOVE FIELDS/LEVEL ($58,110)
FINAL VALUE INDICATION $634,740
ROUNDED $635,000
Indicated Value Per Acre $14,206
Indicated Value Per Square Foot $0.33
CONCLUSION OF VALUE
PARCEL #
PARCEL SIZE -
ACRES
UNIT VALUE -
PER ACRE
UNIT VALUE -
PER SQ. FT.
INDICATED VALUE
1 17.6 $21,875 $0.50 $385,000
2 44.7 $14,200 $0.33 $635,000
EFFECTIVE DATE OF VALUE June 4, 2019
SUMMARY OF VALUES
The value is predicated on the Extraordinary Assumption that the subject parcels have been or may be legally created from the larger parcel and sold as stand-alone sites with access from County Road 57.
The use of an Extraordinary Assumption may have an impact on value. The appraiser reserves the right to review and possibly revise the value estimates if the parcels can not be legally created or subdivided from the larger parcel which contains approximately 136± acres
71 APPRAISER CERTIFICATION
25 I certify that to the best of my knowledge and belief:
1. The statements of fact contained in this report are true and correct.
2. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal, impartial, and unbiased professional analyses, opinions and conclusions.
3. I have no present or prospective interest in the property that is the subject of this report, and no personal interest with respect to the parties involved. Furthermore, I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment.
4. I have never appraised the subject property.
5. My engagement in this assignment was not contingent upon developing or reporting predetermined results.
6. The compensation is not contingent upon the reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value estimate, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal.
7. The analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice.
8. Jodi L. White personally conducted an inspection of the subject property.
9. No one other than the persons signing this Certification provided a significant professional contribution to this appraisal.
10. As of the date of this report, I, Jodi L. White, am a California State Certified General Real Estate Appraiser.
11. I have experience appraising properties similar to the subject and am in compliance with the Competency Rule of USPAP.
Date: July 24, 2019
Jodi L. White
Certified General Real Estate Appraiser
CA License No. AG044936
72 ASSUMPTIONS AND LIMITING CONDITIONS
26 This appraisal is based on the following assumptions, except as otherwise noted in the report.
1. The title is assumed to be good and marketable. The appraised value(s) assumes the property is free and clear of any and all liens or encumbrances unless otherwise stated. The property is appraised as though under responsible ownership and competent management and is available for its highest and best use.
2. I have made no survey of the property and assume no responsibility in connection with such matters. Any sketch or survey of the property included in this report is for illustrative purposes only and should not be considered scaled accurately for size. The appraisal covers the property as described in the report, and the area and dimensions set forth are assumed to be correct.
3. Unless otherwise agreed to in writing, I am not required to give testimony, respond to any subpoena, or attend any court or governmental or other hearing with reference to the property.
4. Any distribution of the valuation in the report between land and improvements applies only under the reported highest and best use of the property. The allocations of value for land and improvements must not be used in conjunction with any other appraisal and are invalid if so used. The appraisal report shall be considered only in its entirety. No part of the appraisal shall be used separately or out of context.
5. The appraisal assumes that there are no hidden, unapparent or undisclosed conditions of the property, subsoil, or structures, which would render it more or less valuable.
6. Information and opinions furnished by and obtained from third party sources are believed to be reliable, true and correct. However, no warranty is given for its accuracy, nor has it been independently verified.
7. An appraisal is inherently subjective and represents my opinion as to the value of the property appraised.
8. Neither all, nor any part of the content of the report, or copy thereof (including conclusions as to the property value, the identity of the appraiser(s), professional designations, reference to any professional appraisal organizations, or the firm with which the appraisal is connected), shall be disseminated through advertising media, social media, public relations media, news media or any other means of communications, without the prior written consent and approval of the person(s) signing this report.
9. The appraisal report is prepared for the exclusive benefit of the client, its subsidiaries or affiliates. It may not be used or relied upon by any other party.
10. No environmental studies were either requested or made in conjunction with this appraisal, and I reserve the right to revise or rescind any of the value opinions based upon any subsequent environmental impact studies.
73 27
ADDENDA
74 COMPARABLE SALE DATA SHEETS
COMPARABLE SALE 1
Grantor: Larry Hansen Trust
Grantee: Wetlands America Trust Inc.
Recorded Date of Sale: August 3, 2018
Document #: 2018-2988
Location: Between Hwy 99W & Interstate 5 at County Road 68 Interchange Parcel Size: 36.96± Acres in three parcels
Zoning: HVC, Highway Commercial/Visitor Services
Sales Price: $360,000
Price Per Acre: $9,740
Confirmation: Deed, Broker, Doug McGeoghegan
Notes: Vacant land purchased for recreation/conservation 75 COMPARABLE SALE DATA SHEETS
COMPARABLE SALE 2
Grantor: Richard L. Berry
Grantee: Ben A & RaeAnn Titus/Steven R & Keri L Titus
Recorded Date of Sale: May 10, 2019
Document #: 2019-1810
Location: 6239 Hwy 162W, West of Interstate 5 and the Willows Municipal Airport Parcel Size: 12.35± Acres in one parcel
Zoning: HVC, Highway Commercial/Visitor Services
Sales Price: $300,000
Price Per Acre: $24,291
Confirmation: Deed, Broker, RaeAnn Titus
Notes: Vacant land purchased for future commercial development, possible subdivision of the land into smaller commercial sites.
76 COMPARABLE SALE DATA SHEETS
COMPARABLE SALE 3
Grantor: Randal W Austin
Grantee: Jose Oseguera/Martha Betancourt
Recorded Date of Sale: June 28, 2019
Document #: 2019-8165
Location: 2090 Walnut Street, Red Bluff; North side of Walnut at Baker Street Parcel Size: 8.12± Acres in one parcel
Zoning: M1, Red Bluff
Sales Price: $275,000
Price Per Acre: $33,867
Confirmation: Deed, Broker, Robin Fox, Solid Rock Realty Notes: Vacant land purchased for future commercial development. Located west of Interstate 5 in central Red Bluff
77 COMPARABLE SALE DATA SHEETS
COMPARABLE SALE 4
Grantor: Rabobank, NA
Grantee: Lelys GP
Recorded Date of Sale: August 7, 2014
Document #: 2014-2868
Location: 3747 Hwy 99W, Orland; West side of Hwy 99W
Parcel Size: 20± Acres in one parcel
Zoning: SC, Service Commercial; Glenn County
Sales Price: $260,000
Price Per Acre: $13,000
Confirmation: Deed, John Edson, Appraiser
Notes: Vacant land, bank owned property which was purchased for development with a 60,000 square foot steel building completed in 2017. Owner occupancy 78 COMPARABLE SALE DATA SHEETS
COMPARABLE SALE 5
Grantor: William & Brenda Menig
Grantee: W Kent Ramos Family
Recorded Date of Sale: June 22, 2016
Document #: 2016-2645
Location: 3748 Hwy 99W, Orland; East side of Hwy 99W
Parcel Size: 3.62± Acres in one parcel
Zoning: M, Industrial; Glenn County
Sales Price: $80,000
Price Per Acre: $22,099
Confirmation: Deed, Dave Johnson, Appraiser
Notes: Vacant industrial land purchased as investment
79 USGS The National Map: Orthoimagery. Data refreshed April, 2019.
National Flood Hazard Layer FIRMette
0 250 500 1,000 1,500 2,000
Feet
Ü
122°11'53.91"W
39°29'56.02"N
122°11'16.45"W
39°29'28.26"N
SEE FIS REPORT FOR DETAILED LEGEND AND INDEX MAP FOR FIRM PANEL LAYOUT
SPECIAL FLOOD
HAZARD AREAS
Without Base Flood Elevation (BFE)
Zone A, V, A99
With BFE or Depth Zone AE, AO, AH, VE, AR
Regulatory Floodway
0.2% Annual Chance Flood Hazard, Areas
of 1% annual chance flood with average
depth less than one foot or with drainage
areas of less than one square mile Zone X
Future Conditions 1% Annual
Chance Flood Hazard Zone X
Area with Reduced Flood Risk due to
Levee. See Notes. Zone X
Area with Flood Risk due to Levee Zone D
NO SCREEN Area of Minimal Flood Hazard Zone X
Area of Undetermined Flood Hazard Zone D
Channel, Culvert, or Storm Sewer
Levee, Dike, or Floodwall
Cross Sections with 1% Annual Chance
17.5 Water Surface Elevation
Coastal Transect
Coastal Transect Baseline
Profile Baseline
Hydrographic Feature
Base Flood Elevation Line (BFE)
Effective LOMRs
Limit of Study
Jurisdiction Boundary
Digital Data Available
No Digital Data Available
Unmapped
This map complies with FEMA's standards for the use of
digital flood maps if it is not void as described below.
The basemap shown complies with FEMA's basemap
accuracy standards
The flood hazard information is derived directly from the authoritative NFHL web services provided by FEMA. This map was exported on 7/24/2019 at 5:46:02 PM and does not
reflect changes or amendments subsequent to this date and time. The NFHL and effective information may change or
become superseded by new data over time.
This map image is void if the one or more of the following map elements do not appear: basemap imagery, flood zone labels, legend, scale bar, map creation date, community identifiers, FIRM panel number, and FIRM effective date. Map images for unmapped and unmodernized areas cannot be used for
regulatory purposes.
Legend
OTHER AREAS OF
FLOOD HAZARD
OTHER AREAS
GENERAL
STRUCTURES
OTHER
FEATURES
MAP PANELS
8 1:6,000
B 20.2
The pin displayed on the map is an approximate
point selected by the user and does not represent
an authoritative property location.
80 QUALIFICATIONS of Jodi L. White, AG #044936
10 Dean Way, Chico, CA 95926 Cell: 530-570-7101 / Email: [email protected]
PROFESSIONAL EXPERIENCE
I have been a Certified General Real Estate Appraiser providing real estate appraisals and consulting services since 1999. Appraisals have been completed for the following partial list of clients: the State of California Department of General Services, CAL FIRE, Yuba County; as well as lending institutions such as Five Star Bank, Sierra Central Credit Union, Northern California National Bank, Tri Counties Bank, Golden Valley Bank, Bank of America, SunTrust, Wachovia, KeyBank, Teachers Insurance & Annuity Association, attorneys for estate and tax planning, and property owners.
References available upon request.
Professional Licenses Held:
California State Certified General Real Estate Appraiser –License AG#044936, Years Held: 2011-2020 (Current) Florida State Certified General Real Estate Appraiser – License RZ#2949, Years Held: 2002-2012 (Expired) California Appraisals / J White Appraisals & Consulting, Chico, CA April 2014 to Present Full-service appraisal firm serving a wide variety of clients in the Northern Sacramento Valley Area. Properties appraised include industrial properties, multiple family developments, professional and medical office buildings, retail buildings, and commercial and agricultural land. Service areas include Butte, Glenn, Yuba, Sutter, Tehama, Plumas, Lassen, Shasta and Colusa Counties.
Office of Scott S. Hamm, MAI, Real Estate Appraiser, Chico, CA December 2010 to April 2014 Fee Appraiser with a full service real estate appraisal and consulting firm. Performed commercial appraisals of a variety of commercial properties banks and other lending institutions, family trusts, attorneys and the State of California.
Service areas included Butte, Glenn, Sutter, Tehama, Colusa, Shasta and Plumas Counties.
Integra Realty Resources-Orlando, Senior Analyst/Appraiser, Orlando, FL July 1999 to December 2010 Senior analyst / Fee appraiser with a full service, national real estate valuation and consulting firm. Prepared narrative appraisals for a wide variety of clients including institutional REIT’s, lending agencies, county and state agencies, and property owners. Properties appraised included proposed and existing projects, mixed-use developments, multiple family developments, shopping centers, office buildings, industrial buildings and all types of vacant land. Experience appraising fee simple, leased fee, leasehold and partial ownerships as well as other mortgage positions throughout the State of Florida.
APPRAISAL EDUCATION
Uniform Standards of Professional Appraisal
Practice (USPAP) Required Every Two Years
Principles of Real Estate Appraisal
The Appraisal of Residential Properties
Basic Income Capitalization
Advanced Sales Comparison Approach &
Cost Approach
Advanced Report Writing
Chapter 475 II FS
Advanced Income Capitalization
Appraisal Review For Commercial
Appraisers
Appraisal of Land Subject to a Ground Lease
Appraisal of Assisted Living Facilities
Appraisal of Self Storage Facilities
Appraisal of Fast Food Facilities
Karh’s Guide to Argus Seminar
Dyna (Realm) Cash Flow & Lease Analysis
Uniform Appraisal Standards for Federal
Land Acquisitions
81 COMMENTS AND
REPORTS
82