Corey Middleton, Mayor
Paul McCoy, Mayor Pro tempore
Colleen Baker, Councilmember
Drake Davis, Councilmember
Duane Kegg, Councilmember
Jason Ledbetter, City Manager
Rhetta Hogan, Asst. City Manager and Clerk
Emily Aldrich, Finance Director
Matthew Bray, Public Works Director
John Elsnab, Human Resources Director
Mark Gilman, Police Chief
Andrew Jared, City Attorney
Jerry Lemos, Fire Chief
Juliana Lucchesi, Community Dev. Director
YREKA CITY COUNCIL MEETING AGENDA
November 7, 2023
Regular Session: 6:30 PM
Yreka City Council Chamber, 701 Fourth Street, Yreka, CA Phone 530-841-2386, Facsimile 530-842-4836, email: [email protected] Regular Meetings of the Yreka City Council are held the 1st and 3rd Tuesday of every month.
The full agenda packet can be found on the City’s website at www.ci.yreka.ca.us/AgendaCenter. Copies of all staff reports and documents subject to disclosure that relate to any item of business referred to on the agenda are available for public inspection 72 hours before each regularly scheduled meeting at the City Clerk’s office at City Hall, located at 701 4th St, Yreka, California during normal business hours. Any writing that is subject to disclosure that relates to an agenda item for open session distributed less than 72 hours prior to the meeting will be available for public inspection at the City Clerk’s office during normal business hours.
Materials distributed to a majority of councilmembers less than 72 hours before a meeting will be available for public inspection on the City’s website at www.ci.yreka.ca.us/AgendaCenter.
1. 6:30PM CALL TO ORDER REGULAR SESSION AND PLEDGE OF ALLEGIANCE:
2. SPECIAL PRESENTATIONS AND/OR ANNOUNCEMENTS:
This time slot is for informational presentations, appointments, or awards to be presented by the City Council or to the City Council.
a. Oath of Office Swearing-in Ceremony for City Clerk, Ms. Cyndy Prohaska by Assistant City Manager and Acting City Clerk, Hogan.
b. 16th Annual Read Across Siskiyou Event, First 5 Siskiyou Join this meeting via Zoom:
Link: https://us02web.zoom.us/j/6194957056
Meeting ID# 619-495-7056
Members of the public may also remotely listen to and participate in the meeting via teleconference. If you wish to listen or participate in this meeting through teleconference, simply dial into the conference number below, and enter the meeting ID#.
Conference call in Number: 669-900-6833 (Toll-Free 888 788 0099) “RAISE YOUR HAND” to provide public comment for your desired item. Speakers will be asked to identify themselves.
• Online: If you are online, click on “raise hand” on the bottom of your screen. • Mobile App: In the mobile app, you can raise your hand by tapping the "Raise Hand" option in the "More" tab. • Telephone: If you are calling in via telephone, to raise your hand, dial *9 (star-nine). Speakers will be called on by the last four digits of their phone number. To unmute yourself dial *6 (star-six).
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c. Highway 3 - Yreka Pavement Rehabilitation Project Update, Ms. Catherine Low, D2 PPM
3. PUBLIC COMMENTS:
Public participation is welcomed and invited at all City Council meetings. This time is set aside for residents to address the City Council on matters listed on the Consent Agenda as well as other items not included on the Regular Agenda. If your comments concern an item noted on the Regular Agenda, please address the Council when that item is open for public comment.
The City requests that persons addressing the City Council refrain from making personal, slanderous, profane, or disruptive remarks.
Councilmembers, when recognized by the Mayor, may ask clarifying questions of presenter but no action may be taken by the City Council during the public comment section of the meeting. Under the Brown Act, the City Council is prohibited from discussing or taking action on any item not listed on the posted agenda.
This time is set aside for residents to address the City Council on matters listed on the Consent Agenda as well as other items not included on the Agenda. If your comments concern an item listed under the Public Hearing or New Business sections of the Agenda, please address the Council when that item is open for public comment.
• Please speak into the microphone from the podium. The podium electronically adjusts up and down to accommodate speaker.
• Please state your name for the record prior to providing your comments. • Please address the Council as a whole.
• If you have documents to present, please provide a minimum of seven (7) copies. These become a public record.
• Please limit your remarks to five (5) minutes.
• Since Council is unable to take action on issues not on the agenda, your matter may be referred to staff for follow up or be placed on a future agenda.
The public comment period is not intended to be a “Question and Answer” period or conversations with the Council or City staff.
4. CONSENT AGENDA:
All matters listed under the consent agenda are considered routine and non-controversial and will be enacted by one motion unless any member of the Council wishes to remove an item for discussion, a. Approval/ratification of payments issued from October 08, 2023, through October 27, 2023. b. Approval of Minutes of the Regular Meeting held October 17, 2023. c. Adopt Resolution 2023-47 Declaring City-Owned Property (APN 062-031-190) as Surplus Land. d. Resolution 2023-52 Purchase Sale Agreement of Carnegie Library. e. Approval of the Proclamation of the 16th Annual Read Across Siskiyou event. f. Motion to Approve Letter of Support for Siskiyou County Gold Display. g. Motion to Approve the Restructure of Police Sergeant position to a Police Lieutenant position.
Recommended City Council Action: Motion to Adopt the Consent Agenda of the City Council of the City of Yreka as presented.
5. OLD BUSINESS: (none)
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6. PUBLIC HEARINGS: (none)
Public Hearing Protocol:
i. Mayor will describe the purpose of the Public Hearing. ii. City Staff will provide the Staff Report.
iii. City Staff will respond to questions from the City Council. iv. Mayor will open the Public Hearing.
v. Public wanting to comment will come to the podium, provide the City Clerk with their name and address, and provide their comments.
vi. Mayor will close the Public Hearing.
vii. City Council will deliberate and act on the item.
7. NEW BUSINESS:
City Manager
a. Title: CDBG Main Street Construction Mitigation Small Business Grant Program Guidelines Quintin Gaddy, Program Director for Business Development is here to discuss the Yreka CDBG Main Street Construction Mitigation Small Business Grant Program Guidelines. This program is made possible with funding from the California Department of Housing and Community Development.
Recommended City Council Action: Motion to Approve the City of Yreka’s CDBG Main Street Construction Mitigation Small Business Grant Program Guidelines. b. Title: Review of Yreka Municipal Code 1.24.170 Addressing the Council Manner of Addressing Council. Each person desiring to address the council shall step up to the microphone in front of the rail, state his name and address for the record, state the subject he wishes to discuss, state whom he is representing if he represents an organization or other persons, and, unless further time is granted by majority vote of the council, shall limit his remarks to five minutes. All remarks shall be addressed to the council as a whole and not to any member thereof. No question shall be asked a councilman or a member of the city staff without the permission of the presiding officer.
Recommended City Council Action: Direction to staff to bring back changes, if any, to YMC
1.24.170 Addressing the Council at a future City Council meeting for consideration.
8. CITY MANAGER/STAFF REPORTS:
City Manager and Staff may make brief announcements or reports at this time.
9. MAYOR/COUNCILMEMBERS REPORTS, STATEMENTS AND REQUESTS:
AB 1234* Conference and Meeting Report (verbal, if any) *(In accordance with AB 1234, Councilmembers shall make a brief report or file a written report on any meeting/event/conference attended at City expense.) Members of the Council may make brief announcements, reports, or request staff to report to Council on any matter at a subsequent meeting.
10. ADJOURNMENT:
In compliance with the requirements of the Brown Act, notice of this meeting has been posted in a publicly accessible place, 72 hours in advance of the meeting.
Public Hearings: If you wish to challenge in court any of the matters on an agenda for which a public hearing is to be conducted, you may be limited to raising only those issues which you (or someone else) raised orally at the public November 7, 2023 Yreka City Council Agenda 3 of 157
hearing or in written correspondence received by the City at or before the hearing. Any person seeking to challenge a City Council decision made as a result of a proceeding in which by law a hearing is required to be given, evidence is required to be taken, and the discretion in the determination of facts is vested in the City Council, shall be required to commence that action 90 days following the date on which the decision becomes final as provided in Code of Civil Procedure Section 1094.6. Please refer to Code of Civil Procedure 1094.6 to determine how to calculate when a decision becomes “final.”
"CHALLENGING DECISIONS OF CITY ENTITIES The time limit within which to commence any lawsuit or legal challenge to any quasi-adjudicative decision made by the City of Yreka is governed by Section 1094.6 of the Code of Civil Procedure, unless a shorter limitation period is specified by any other provision, including without limitation Government Code section 65009 applicable to many land use and zoning decisions, Government Code section 66499.37 applicable to the Subdivision Map Act, and Public Resources Code section 21167 applicable to the California Environmental Quality Act (CEQA). Under Section 1094.6, any lawsuit or legal challenge to any quasi-adjudicative decision made by the City must be filed no later than the 90th day following the date on which such decision becomes final. Any lawsuit or legal challenge, which is not filed within that 90-day period, will be barred. Government Code section 65009 and 66499.37, and Public Resources Code section 21167, impose shorter limitations periods and requirements, including timely service in addition to filing. If a person wishes to challenge the above actions in court, they may be limited to raising only those issues they or someone else raised at the meeting described in this notice, or in written correspondence delivered to the City of Yreka, at or prior to the meeting. In addition, judicial challenge may be limited or barred where the interested party has not sought and exhausted all available administrative remedies." The City of Yreka does not discriminate on the basis of race, color, national origin, religion, age, gender, sexual orientation, disability, or any other legally protected classes in employment or provision of services. In compliance with the Americans with Disabilities Act, those requiring accommodations for this meeting should notify the City Clerk 48 hours prior to the meeting at (530) 841-2386 or by notifying the Clerk at [email protected].
AFFIDAVIT OF NOTIFICATION AND POSTING
STATE OF CALIFORNIA)
COUNTY OF SISKIYOU) SS
CITY OF YREKA )
I, Rhetta Hogan, City Clerk for the City of Yreka, hereby declare under penalty of perjury that a copy of the above Agenda of the Regular Meeting of the City Council of the City of Yreka, California, was delivered and/or notice by email not less than 72 hours, before the hour of 6:30PM on November 7, 2023 to the members of the governing agency, and caused the agenda to be posted on the City’s website at www.ci.yreka.ca.us and posted at Yreka City Hall, 701 Fourth St., Yreka, California. /s/: Rhetta Hogan
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CERTIFICATE OF OATH OF OFFICE
STATE OF CALIFORNIA, COUNTY OF SISKIYOU
I, Cyndy Prohaska, City Clerk for the City of Yreka, do solemnly swear (or affirm) that I will support and defend the Constitution of the United States and the Constitution of the State of California against all enemies, foreign and domestic; that I will bear true faith and allegiance to the Constitution of the United States and the Constitution of the State of California; that I take this obligation freely, without any mental reservation or purpose of evasion; and that I will well and faithfully discharge the duties upon which I am about to enter.
__________________
Cyndy Prohaska
Subscribed and sworn to before me, this 7th day of November 2023.
_______________________
Rhetta Hogan
Assistant City Manager, Acting City Clerk
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Corey Middleton, Mayor
Paul McCoy, Mayor Pro tempore
Colleen Baker, Councilmember
Drake Davis, Councilmember
Duane Kegg, Councilmember
Jason Ledbetter, City Manager
Rhetta Hogan, Asst. City Manager and Clerk
Emily Aldrich, Finance Director
Matthew Bray, Public Works Director
John Elsnab, Human Resources Director
Mark Gilman, Police Chief
Andrew Jared, City Attorney
Jerry Lemos, Fire Chief
Juliana Lucchesi, Community Dev. Director
YREKA CITY COUNCIL MEETING MINUTES
October 17, 2023
Closed Session: 5:30 PM
Regular Session: 6:30 PM
Yreka City Council Chamber, 701 Fourth Street, Yreka, CA Phone 530-841-2386, Facsimile 530-842-4836, email: [email protected] Regular Meetings of the Yreka City Council are held the 1st and 3rd Tuesday of every month.
1. 5:30PM CALL TO ORDER:
The meeting was called to order at 5:30 PM, Councilmembers Baker, Davis, Kegg, McCoy and Middleton were present.
2. PUBLIC COMMENT ON CLOSED SESSION:
3. CLOSED SESSION:
The City Council will recess to Closed Session to discuss the below item(s). At the conclusion of the Closed Session, Open Session will reconvene and reportable action, if any, will be announced. a. Conference with Legal Counsel Existing Litigation (Gov. Code Sec. 54956.9(d)(1)):
In re: Aqueous Film-Forming Foam Products Liability Litigation, MDL No. 2-18-mn-2873-RMG (USDC SC)
4. 6:30PM CALL TO ORDER REGULAR SESSION AND PLEDGE OF ALLEGIANCE:
The meeting was called to order at 6:30PM, Mayor Middleton announced there was no reportable action taken from closed session. Mayor Middleton requested that item 10.a. City of Yreka Proclamation United Against Hate be considered prior to item 9.a. Yreka Travel Center and Hotel Development Planned Unit Development Amendment during the meeting. Councilmembers consented to the change.
5. SPECIAL PRESENTATIONS AND/OR ANNOUNCEMENTS:
This time slot is for informational presentations, appointments, or awards to be presented by the City Council or to the City Council.
6. PUBLIC COMMENTS:
Public participation is welcomed and invited at all City Council meetings. This time is set aside for residents to address the City Council on matters listed on the Consent Agenda as well as other items not included on the Regular Agenda. If your comments concern an item noted on the Regular Agenda, please address the Council when that item is open for public comment.
The City requests that persons addressing the City Council refrain from making personal, slanderous, profane, or disruptive remarks.
Councilmembers, when recognized by the Mayor, may ask clarifying questions of presenter but no action may be taken by the City Council during the public comment section of the meeting. Under the Brown November 7, 2023 Yreka City Council Agenda 6 of 157
Act, the City Council is prohibited from discussing or taking action on any item not listed on the posted agenda.
This time is set aside for residents to address the City Council on matters listed on the Consent Agenda as well as other items not included on the Agenda. If your comments concern an item listed under the Public Hearing or New Business sections of the Agenda, please address the Council when that item is open for public comment.
• Please speak into the microphone from the podium. The podium electronically adjusts up and down to accommodate speaker.
• Please state your name for the record prior to providing your comments. • Please address the Council as a whole.
• If you have documents to present, please provide a minimum of seven (7) copies. These become a public record.
• Please limit your remarks to five (5) minutes.
• Since Council is unable to take action on issues not on the agenda, your matter may be referred to staff for follow up or be placed on a future agenda.
The public comment period is not intended to be a “Question and Answer” period or conversations with the Council or City staff.
Public comment was heard from Claudia East, Don East, and Lorenzo Love.
7. CONSENT AGENDA:
All matters listed under the consent agenda are considered routine and non-controversial and will be enacted by one motion unless any member of the Council wishes to remove an item for discussion, a. Approval/ratification of payments issued from September 25, 2023, through October 06, 2023. b. Approval of Minutes of the Regular Meeting held October 3, 2023. c. Motion to Adopt Resolution 2023-50 of the City Council of the City of Yreka, State of California, Authorizing the Filing of a Grant Application for Community Planning and Development – Pathways to Removing Obstacles to Housing (FR-6700-N-98).
d. Motion Authorizing Yreka’s Police Chief, Mark Gilman to enter into a multijurisdictional Memorandum of Understanding recognizing the city’s participation in the North State Major Investigation Team (NSMIT)
Recommended City Council Action: Motion to Adopt the Consent Agenda of the City Council of the City of Yreka as presented.
Motion to Adopt the Consent Agenda of the City Council of the City of Yreka as presented.
MOTIONED: Councilmember Kegg
SECONDED: Councilmember Baker
AYES: Councilmembers Baker, Davis, Kegg, McCoy, and Middleton NOES: -0-
ABSENT: -0-
8. OLD BUSINESS: (none)
9. PUBLIC HEARINGS:
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Public Hearing Protocol:
i. Mayor will describe the purpose of the Public Hearing. ii. City Staff will provide the Staff Report.
iii. City Staff will respond to questions from the City Council. iv. Mayor will open the Public Hearing.
v. Public wanting to comment will come to the podium, provide the City Clerk with their name and address, and provide their comments.
vi. Mayor will close the Public Hearing.
vii. City Council will deliberate and act on the item.
a. Title: Yreka Travel Center and Hotel Development Planned Unit Development Amendment • Review of Planning Commission Approval of Yreka Travel Center and Hotel Development Planned Unit Development Amendment and Conditional Use Permit (YMC Section 16.60.070(F))
• Appeal of Variance 2021-45 (Filed by Darrin Mercier on behalf of Yreka Truck Stop, Holiday Inn Express, and A-1 Investments, LLC) (YMC Section 16.58.090) Summary:
Applicant 4 North Yreka, LLC seeks to amend Planned Unit Development (“PUD”) Permit 5-98 (Use Permit No. 2883), use permit for the project, and a height variance (Assessor’s Parcel Numbers 053- 642-350, 053-642-360, 053-642-370, and 053-642-380). The Project proposes a 12,300 square-foot convenience store, a food hall, and retail shop; a fuel center for automobiles, a separate fuel center for semi-trucks, RV’s, and Trailer Trailers, and a parking lot including electric vehicle charging stations (Phase I); and a 70-room, three-story hotel with parking (Phase II). The height variance allows the hotel building to exceed the maximum height limit of 35 feet for the Commercial Highway zone.
Appellant Yreka Truck Stop, Holiday Inn Express, and A-1 Investments, LLC (through Law Office of Darrin Mercier) challenges the height variance and opposes the review of the Planning Commission Resolution 2023-06.
Recommended Action:
1. Open Public Hearing, receive public comments, and close public hearing
2. Motion to approve City Council Resolution 2023-51 a Resolution of the City Council of the City of Yreka Affirming Planning Commission Approval of Amendments to Planned Unit Development 5-98 with Conditions, and Denying Appeal of Variance 2021-45 and Affirming the Planning Commission Approval of Variance 2021-45.
Councilmember Kegg recused himself from the meeting and discussion of the Yreka Travel Center due to a financial conflict and left the council chambers.
Public hearing comments were heard from Mr. Bamik, Melissa Moulton, Dawnmarie Autry, Lorenzo Love, Selma Lemon, Lowell Pratt, Ankit Penchal, Nairi Modi, Gary Hall, and Don East.
Attorneys for the applicant pages 85 and 96, pointed out the phrase is “will be detrimental”, should read “will not be detrimental”. The City Clerk acknowledged the changes to be made.
Motion to approve City Council Resolution 2023-51 a Resolution of the City Council of the City of Yreka Affirming Planning Commission Approval of Amendments to Planned Unit Development 5-98 with Conditions and correcting the omission of the word “not”, in the phrase “will not be detrimental on pages 85 and 96 of the agenda for Resolution 2023-51.
MOTIONED: Councilmember Baker
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SECONDED: Councilmember Davis
AYES: Councilmembers Baker, Davis, McCoy, and Middleton NOES: -0-
ABSENT: Kegg
Motion Denying Appeal of Variance 2021-45 and Variance will be granted.
MOTIONED: Councilmember Baker
SECONDED: Councilmember McCoy
AYES: Councilmembers Baker, Davis, McCoy, and Middleton NOES: -0-
ABSENT: Kegg
City Attorney Andrew Jared mentioned that the resolution as presented for consideration incorporates both of the two separate motions made this evening in that document.
10. NEW BUSINESS
City Manager
a. Title: City of Yreka Proclamation United Against Hate The City Council for the City of Yreka adopted the Proclamation United Against Hate on October 18th of 2022 at the request of members of the public. The United Against Hate organization was created by civic leaders to empower residents to take action in their local communities and build inclusive and equitable communities for all. United Against Hate Week (Nov. 12-18, 2023) is a call for seven days of local civic action by people in every community to stop the hate and implicit biases that are a dangerous threat to the safety and civility of our neighborhoods, towns, and cities.
Recommended City Council Action: Motion to adopt the City of Yreka Proclamation United Against Hate as presented and Proclaiming November 12-18, 2023, as United Against Hate Week.
Item 10.a. City of Yreka Proclamation United Against Hate was considered prior to item 9.a. Yreka Travel Center and Hotel Development Planned Unit Development Amendment during the meeting.
Motion to adopt the City of Yreka Proclamation United Against Hate as presented and Proclaiming November 12-18, 2023, as United Against Hate Week.
MOTIONED: Councilmember McCoy
SECONDED: Councilmember Kegg
AYES: Councilmembers Kegg, McCoy and Middleton
NOES: Councilmember Baker and Davis
ABSENT: -0-
11. CITY MANAGER/STAFF REPORTS:
City Manager and Staff may make brief announcements or reports at this time.
City Manager Ledbetter met with the consulting company that bid on Ringe Pool on October 5, 2023. Mr.
Ledbetter will be attending the cemetery district board meeting, to discuss a fencing project. Mr. Ledbetter will be meeting with the consultant working with the EDC to go over strategic planning with the Economic Development Council specifically for the city. For the months of November and December will be suspending the Ad Hoc Committee. I have given every council member a draft newsletter containing updates on the multitude of projects the City has going on, for your consideration. The plan is to roll that out sometime in November.
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Police Chief Gilman gave information on animal control with sworn officers performing animal control functions, overall performance has increased by 24%. (Statistic report is included with the minutes)
12. MAYOR/COUNCILMEMBERS REPORTS, STATEMENTS AND REQUESTS:
AB 1234* Conference and Meeting Report (verbal, if any) *(In accordance with AB 1234, Councilmembers shall make a brief report or file a written report on any meeting/event/conference attended at City expense.) Members of the Council may make brief announcements, reports, or request staff to report to Council on any matter at a subsequent meeting.
Councilmember Davis commented he is better from being ill recently.
Councilmember Baker asked about the availability of utility rate increase protest vote form on City website.
Councilmember Baker voiced questions and concerns about how things are handled procedurally for agenda placement and whether that should be addressed when revisiting the code of conduct policy.
Mayor Pro tempore McCoy attended Local Transportation Commission (LTC). Mayor Pro tempore McCoy attended LOLA in Tulelake.
Mayor Middleton also attended LOLA meeting in Tulelake. Mayor Middleton met with City Attorney Andrew Jared, and together they have a plan on moving forward with the code of conduct. City Attorney Andrew Jared will be speaking to each councilmember individually to gather information and concerns first.
13. ADJOURNMENT:
The meeting was adjourned at 10:53PM.
-----------------------------------
Corey Middleton, Mayor
Minutes approved by City Council,
Motion on November 7, 2023
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Rhetta Hogan, City Clerk
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NON-DISCRIMINATION
POLICY STATEMENT
The California Department of Transportation, under Title VI of the Civil Rights Act of 1964, ensures “No person in the United States shall, on the ground of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity receiving federal financial assistance.”
Caltrans will make every effort to ensure nondiscrimination in all of its services, programs and activities, whether they are federally funded or not, and that services and benefits are fairly distributed to all people, regardless of race, color, or national origin. In addition, Caltrans will facilitate meaningful participation in the transportation planning process in a nondiscriminatory manner.
Related federal statutes, remedies, and state law further those protections to include sex, disability, religion, sexual orientation, and age.
For information or guidance on how to file a complaint, or obtain more information regarding Title VI, please contact the Title VI Branch Manager at (916) 324-8379 or visit the following web page:
https://dot.ca.gov/programs/civil-rights/title-vi .
November 7, 2023 Yreka City Council Agenda 12 of 157
Yreka City Council Meeting
701 Fourth St Yreka, CA
November 7, 2023
Catherine Low, Project Manager
John Hinton, Area Construction Engineer
Austin Henry, Resident Engineer
Caltrans District 2
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• Season 1 (2022)
• Complete Segment 7
• Season 2 (2023)
• Complete Segment 1, 2, 5, and 6
• Season 3 (2024)
• Clean California work
• Segment 3 and 4
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Season 2
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• Open to two-way traffic for the rest of
this season
• Working with contractor to grind
pavement surfaces
• Install contrast striping for improved
visibility over winter
• Started work in Segment 3
Season 2
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Season 3
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Season 3
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• Traffic Control
• Place concrete for intersections of
Highway 3 and
• Moonlit Oak Avenue
• Oberlin Road
• Bridge Rail Upgrade
• Yreka Creek Bridge on Highway 3
Season 3
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• Yreka Maintenance Station Shop
• Construction planned for 2024
• Yreka Pavement on I-5
• Construction planned for 2030
Upcoming Projects
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Thank You
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CITY COUNCIL AGENDA MEMORANDUM
To: Yreka City Council
From:
Prepared By:
Jason Ledbetter, City Manager
Cynthia Lynch, Municipal Projects Manager
Agenda Title: Discussion/Possible Action: Adopt Resolution 2023-47 Declaring City-Owned Property at 1961 Campus Drive (APN 062-031-190) as Surplus Land and Authorizing the City Manager or Designee to Take Implementing Actions Necessary to Comply with the Surplus Land Act (Government Code Section 54220 et seq.)
Meeting Date: November 7, 2023
Recommendation and Requested Action:
That Council adopt Resolution 2023-47 declaring a City-owned property at 1961 Campus Drive (APN 062-031-190) as surplus land and authorizing the City Manager or designee to take all actions necessary to comply with the Surplus Land Act (Government Code Sections 54220 et seq.); finding this action exempt under the California Environmental Quality Act (CEQA); and authorizing City Manager or designee to file notice of exemption pursuant to CEQA Guidelines Section 15062.
Discussion:
The California Surplus Land Act (Government Code 54220 et seq.), or “the SLA”, governs the sale or other transfer of government-owned surplus lands and requires local agencies to prioritize opportunities for certain uses, including affordable housing development, for any land the entity may sell or lease. Effective January 1, 2020, Assembly Bill (AB) No. 1486 and AB No. 1255 amended the SLA to require local agencies to formally declare publicly owned property which is not necessary for the local agency’s use as surplus land before beginning the disposition process.
These properties may be declared either “surplus” or “exempt surplus” by the legislative body of the local agency, in a regular public meeting, as supported by written findings.
Surplus land must follow a statutory noticing and negotiation period with certain designated entities, including eligible housing sponsors defined by the California Department of Housing and Community Development (HCD). Exempt surplus land does not have to follow these procedural requirements of the Surplus Land Act.
The City has no current plans to develop or make improvements on the property listed in the written findings of the attached resolution (Exhibit A). Council’s declaration of this parcel as surplus land and the adoption of the attached resolution are the first steps of the disposition process under the SLA.
November 7, 2023 Yreka City Council Agenda 64 of 157
Fiscal Impact:
There is no immediate financial impact or budget action necessary as a result of the recommended action. When staff returns to Council for interim or long-term disposition proposals, the specific financial impacts for each property will be shared.
November 7, 2023 Yreka City Council Agenda 65 of 157
RESOLUTION NO. 2023-47
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF YREKA
DECLARING CITY-OWNED PROPERTY AT 1961 CAMPUS DRIVE
(APN 062-031-190) AS SURPLUS LAND AND AUTHORIZING THE
CITY MANAGER OR DESIGNEE TO TAKE ALL ACTIONS
NECESSARY TO COMPLY WITH THE SURPLUS LAND ACT
(GOVERNMENT CODE SECTIONS 54220 ET SEQ.) AND
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA)
(CEQA GUIDELINES SECTION 15062)
WHEREAS, the City of Yreka, California (“City”) is the owner in fee simple of a parcel of real property located at 1961 Campus Drive, on the west side of Campus Drive in Yreka, California and identified by Assessor’s Parcel Number [“APN”] 062-031-190 (“the Parcel”); and WHEREAS, this parcel is zoned M-1 (light industrial); and WHEREAS, effective January 1, 2020, under the Surplus Land Act (“SLA”) Government Code Section 54220-54233, surplus property is defined as land owned in fee simple by the City for which the City Council takes formal action in a regular public meeting declaring the land is surplus and not necessary for the City’s use; and
WHEREAS, under the SLA, land is necessary for the City’s use if the land is being used, or is planned to be used pursuant to a written plan adopted by the City Council, for City work or operations; and
WHEREAS, the City Council desires to declare that the Parcel, approximately 1.25 acres, is surplus land because it is not necessary for the City’s use; and WHEREAS, the City intends to follow the provisions of the SLA in the disposition of public lands; and
WHEREAS, the process described in the SLA should take place prior to taking any further actions regarding the disposition of the Surplus Properties; and WHEREAS, this declaration of surplus land does not obligate the City to subsequently dispose of the land and the City could still decide not to move forward with disposition of specific properties.
NOW, THEREFORE, the City Council hereby resolves as follows:
SECTION 1. The above recitals are true and correct and are a substantive part of this Resolution.
SECTION 2. The above recitals and the findings in Exhibit “A” are integral to this Resolution and are incorporated herein.
November 7, 2023 Yreka City Council Agenda 66 of 157
SECTION 3. This Resolution has been reviewed with respect to the applicability of the California Environmental Quality Act (Public Resources Code Section 21000 et seq.) (“CEQA”).
City staff has determined that the designation of this property as surplus does not have the potential for creating a significant effect on the environment and is therefore exempt from further review under CEQA pursuant to State CEQA Guidelines Section 15060(c)(3) because it is not a project as defined by the CEQA Guidelines Section 15378. Adoption of the Resolution does not have the potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. If and when the property is sold or leased to a purchaser and that purchaser proposes a use for the property that requires a discretionary permit and CEQA review, that future use and project will be analyzed at the appropriate time in accordance with CEQA.
SECTION 4. The City Manager or his or her designee is authorized to include the property listed in Exhibit A in the report of declared surplus land and exempt surplus land submitted as part of the Annual Report to the California Department of Housing and Community Development (HCD) and all other reporting requirements pursuant to the Surplus Land Act, in conformance with state law, and direct the City Clerk shall file a Notice of Exemption pursuant to CEQA Guidelines Section 15062.
SECTION 5. The City Manager or his or her designee is hereby authorized to do all things which are deemed necessary or proper to effectuate the purposes of this Resolution, and any such actions previously taken are hereby ratified and confirmed. Such actions include negotiating in good faith in accordance with the requirements of the SLA with any of the authorized entities that submit a written notice of interest to purchase or lease the property in compliance with the SLA.
SECTION 5. This resolution shall take effect immediately upon its passage.
Passed and adopted this 7th day of November, 2023 in a regular meeting of the City Council of the City of Yreka by the following vote:
AYES:
NAYS:
ABSENT:
ABSTAIN:
_________________________________
Corey Middleton, Mayor
Attest:
_______________________________
Cyndy Prohaska, City Clerk
November 7, 2023 Yreka City Council Agenda 67 of 157
Exhibit A ‐ Parcel List and Determinations ‐ Resolution No. 2023‐47 APN Site Name/Location Acreage Zoning Written findings for Surplus Land determination 062‐031‐190 1961 Campus Drive
W Corner of Campus Dr. and Ranch Lane
1.25 M‐1 ‐ Light Industrial Subject property has been owned by the City since 1959. It is undeveloped and there are no current City plans for site development. At present it is considered unnecessary for the City’s use and therefore the City wishes todeclare the parcel surplus land per GC 54221(b)(1).
November 7, 2023 Yreka City Council Agenda 68 of 157
CITY COUNCIL AGENDA MEMORANDUM
TO: Yreka City Council
FROM: Jason Ledbetter, City Manager
AGENDA TITLE: Motion To Adopt Resolution 2023-52 Authorizing and Ratifying Execution Of A Development Agreement And Purchase And Sale Agreement For APN 053-352-160-000 S Agreement Between The City Of Yreka And The Siskiyou Economic Development Council. .
MEETING DATE: November 7, 2023
Discussion:
On May 2, 2022, the City of Yreka adopted Resolution 2022-17 declaring 412 W. Miner Street, as surplus land in accordance with the Surplus Lands Act, California Government Code Sections 54220 et seq.
The City of Yreka (seller) and Siskiyou Economic Development Council (buyer), , a California 501(c )(4) corporation, negotiated a Purchase and Sales Agreement for real property identified as Assessor’s Parcel #053-352-160-000, commonly known as 412 W. Miners Street. The buyer has agreed to purchase the land at its appraised value of $180,000. The City will hold a ten-year promissory note on the property that outlines the method and manner of payment via the services in lieu payment agreement. The Development Agreement is included as Attachment A to the attached Resolution. The Sales Agreement is included as Exhibit A-3 to the Development Agreement. Both parties have assented to the terms of said agreements.
Fiscal Impact:
There is no monetary exchange of funds, rather the sale agreement provides for services to be performed by Siskiyou Economic Development Council in lieu of payment valued at $180,000.
Recommendation andRequested Action:
Motion to Adopt Resolution 2023-52 authorizing the City Manager or his delegate to execute the Purchase and Sales Agreement and all other documents necessary for the sale of APN 053-352- 160-000 to the Siskiyou Economic Development Council.
Attachments:
(1) Resolution 2023-52 Authorizing and Ratifying Execution Of A Development Agreement And Purchase And Sale Agreement For APN 053-352-160-000 S Agreement Between The City Of Yreka And The Siskiyou Economic Development Council.
(2) Purchase Sale Agreement, Promissory Note Secured by Deed of Trust on Real Property. (3) Carnegie Development Agreement dated February 2023.
November 7, 2023 Yreka City Council Agenda 69 of 157
RESOLUTION NO. 2023-52
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF YREKA
AUTHORIZING AND RATIFYING EXECUTION OF A DEVELOPMENT
AGREEMENT AND PURCHASE AND SALE AGREEMENT FOR APN 053-352-160- 000 BETWEEN THE CITY OF YREKA
AND THE SISKIYOU ECONOMIC DEVELOPMENT COUNCIL.
WHEREAS, on May 2, 2022, the City of Yreka adopted Resolution 2022-17 declaring Assessor’s Parcel number 053-352-160-000, also known as 412 W. Miner Street (the “Property”), as surplus land in accordance with the Surplus Lands Act, California Government Code Sections 54220 et seq.,
WHEREAS, the City of Yreka (Seller) and Siskiyou Economic Development Council (Buyer) desires to enter into an agreement for the sale of real property located at 412 W.
Miner Street, Yreka, California,
WHEREAS, the Seller and Buyer have negotiated the terms and conditions of the contract and buyer has agreed to purchase the land at its appraised value of $180,000, WHEREAS, the terms of the Carnegie Library Development Agreement with Siskiyou Economic Development Council dated February 9, 2023 set forth the terms agreed to by the parties for the purchase, sale, and development of the Property, WHEREAS, the members of the City Council have reviewed said agreement and have determined the sale is in the best interests of the City to approve, authorize, and ratify the execution of said contract by resolution.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF YREKA DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS:
Section 1. The Council hereby finds and determines that the foregoing recitals are true and correct.
Section 2. The City Council of the City of Yreka approves and ratifies the Carnegie Library Development Agreement, attached hereto as Attachment A, and the Purchase and Sales Agreement Attached as Exhibit A-3 thereto. The City Council does hereby find that said agreements described herein are in the best interests of the City of Yreka, and the City Council does hereby authorize and ratify execution of said agreements by the City Manager on behalf of the City of Yreka. The City Manager or designee is hereby further authorized and directed to execute such other agreements, documents and certificates, and to perform such other acts and deeds, as may be necessary or convenient to effect the purposes of this Resolution and the transactions herein authorized, and the November 7, 2023 Yreka City Council Agenda 70 of 157
City Clerk or such Clerk's designee is hereby authorized and directed to affix the City's seal to said documents and to attest thereto.
Section 3. It is further resolved, if any section, subsection, part, clause, sentence or phrase of this Resolution or the application thereof is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, the validity of the remaining portions of this Resolution, the application thereof, shall not be effected thereby but shall remain in full force and effect, it being the intention of the City Council to adopt each and every section, subsection, part, clause, sentence phrase regardless of whether any other section, subsection, part, clause, sentence or phrase or the application thereof is held to be invalid or unconstitutional.
Section 4. This resolution shall take effect immediately upon its passage.
Passed and adopted this 7th day of November 2023, by the following vote:
AYES:
NAYS:
ABSENT:
ABSTAIN:
________________________
Corey Middleton, Mayor
Attest:__________________
Cyndy Prohaska, City Clerk
November 7, 2023 Yreka City Council Agenda 71 of 157
Exhibit “A”
To
Purchase and Sales Agreement
PROMISSORY NOTE
SECURED BY DEED OF TRUST ON REAL PROPERTY
$180,000 Yreka, California __________________
DATE OF NOTE IS
CLOSING DATE
1. Borrower's Promise to Pay Principal and Interest; Maturity: For value received, the undersigned, SISKIYOU COUNTY ECONOMIC DEVELOPMENT COUNCIL, a 501(c)(4) California nonprofit corporation (hereinafter "Borrower"), promises to pay to the CITY OF YREKA (hereinafter "Lender"), or order, at the place designated by the Holder hereof ("Holder"), the principal sum of One Hundred Eighty Thousand Dollars ($180,000.00), with interest from the date of this Note on the unpaid principal balance at the Internal Revenue Service’s imputed interest rate (AFR) in effect on the date of this note, per annum, which is, as of January, 2023, 4.6% per annum, and Borrower and Lender hereby agree that the interest rate of this note as of its date shall be 4.6% per annum.
Beginning on the first anniversary of this Note, and continuing on the same day of each year thereafter for ten (10) successive years (at which time this Note shall mature and all outstanding principal and interest shall be fully due and payable), Borrower shall pay annual installments, in arrears, of amortized principal and interest, each in the amount of Twenty-Two Thousand Eight Hundred Sixty Dollars and 17 cents ($22,860.17), or Borrower shall submit the annual Services In Lieu Payment Report as set forth in Exhibit “A” attached hereto and incorporated herein (“SILP Report”) to Lender. Borrower agrees that this Note is not subject to the call notice requirements contained in California Civil Code §§2924i and 2966. Whenever Borrower elects to submit the SILP Report it shall be submitted to Lender at least thirty days prior to the annual payment’s due date. If Lender agrees that the SILP Report demonstrated 100% compliance with Borrower’s SILP obligations, that annual installment payment shall be forgiven. If, however, Lender, in its sole and reasonable discretion, believes Borrower has not met the criteria set forth in the SILP Report, Lender shall give written notice (a “Noncompliance Notice”) to Borrower within thirty (30) days following delivery of the SILP Report, which notice shall set forth a explanation of the facts upon which Lender’s opinion is based. Upon receipt of a Noncompliance Notice, Borrower shall have thirty (30) days to remedy Lender’s concerns as set forth in the notice, in the event of Borrower’s cure of Lender’s concerns that annual installment shall be forgiven. If Borrower is unable to remedy such noncompliance, Borrower shall pay the annual installment within fifteen (15) days following the Lender’s notice to Borrower that the installment remains due and payable. Lender’s City Manager is vested with all discretion in evaluating compliance with Borrower’s SILP obligations. Amortization of principal and interest is shown in Exhibit “B” of this Note.
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 72 of 157
Borrower represents and warrants to Lender that the proceeds of the loan evidenced by this Note shall be used for business, commercial investment, or other similar purposes, and that no portion of the proceeds will be used for personal, family or household purposes.
2. Crediting of Payments: Except as expressly provided to the contrary herein, each payment received by Lender shall be credited as of its date of receipt by Lender, first to interest then due and the remainder to principal, and interest shall cease upon the principal so credited as of the date that such credit is made.
3. Security: This Note is secured by a Short Form Deed of Trust and Assignment of Rents (the "Deed of Trust"), in the standard form utilized by the escrow agent securing the promissory note by that certain real property in the City of Yreka, County of Siskiyou, State of California commonly known as the “Carnegie Library Building” located at 412 West Miner Street (the “Property”). The Holder of this Note will also be entitled to the benefits provided in such Deed of Trust to Lender and as provided by law.
4. Acceleration on Default: Should default be made in (i) the payment of any installment or any part of the principal or interest under this Note when due, (ii) Borrower satisfactorily addressing Lender’s concerns as set forth in Noncompliance Notices for two (2) successive years, or (iii) any provision or condition contained in this Note or in the Deed of Trust securing this Note (a "Default"), the whole sum of principal and interest then due under this Note shall become immediately due at the option of Lender and regardless of any prior forbearance.
Lender agrees to give Borrower a five (5) day prior written notice to cure any Default prior to accelerating this Note. Said written notice shall set forth the amount due or other action necessary to cure the Default, and said Notice is to be sent certified mail, return receipt requested to Borrower's address at 412 Miner Street, Yreka, California 96097, or such other address as Borrower may provide to Lender by certified mail, return receipt requested.
5. Late Payment Charge: If any payment of principal or interest due under this Note shall not be received within ten (10) days after the date due, a late charge of six percent (6%) of the overdue amount may be charged by Lender. Borrower agrees that such late payment charge represents a reasonable sum for the purpose of defraying Lender's expenses incident to handling such delinquent payments considering all of the circumstances existing on the date of this Note, and further represents a fair and reasonable estimate of costs that may be sustained by Lender due to the failure of Borrower to make timely payments. The parties to this Note further agree that proof of actual damages would be costly or inconvenient. Such late charge shall be paid without prejudice to the right of Lender to collect any other amounts provided to be paid or to declare a default under this Note or under the Deed of Trust securing this Note, or from exercising any other rights or remedies of Lender.
6. Prepayment Allowed: Borrower may prepay this Note in whole or in part at any time without penalty by paying to Lender the remaining principal balance on account.
7. Acceleration: This Note shall be immediately due and payable upon the sale, conveyance, transfer or divestiture of fee title to the Property, whether voluntary or involuntary, and without demand or notice.
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8. Attorney's Fees and Costs of Collection¨: Borrower agrees to pay all attorney's fees and costs of collection, including, but not limited to, the following costs, expenses and attorney's fees paid or incurred by Lender, or adjudged to be due by any court: (i) reasonable costs of collection, costs and expenses and attorney's fees paid or incurred in connection with the collection or enforcement of this Note or the Deed of Trust, whether or not suit is filed; and (ii) costs of suit and such sum as the court may adjudge as attorney's fees in the action to enforce payment of this Note or the Deed of Trust which secures it, or any part thereof.
9. Certain Waivers: Except as otherwise set forth herein, Borrower and Borrower's successors and assigns waive diligence, grace, demand, presentment for payment, protest, notice of protest, notice of dishonor, notice of demand, notice of nonpayment, and any and all exemption rights against the indebtedness evidenced by this Note, and Borrower’s successors and assigns agree to the acceptance, release, and substitution of security for this Note, any and all extensions or renewals from time to time made without notice and to any partial payments of this Note made before or after maturity, and that no such extension or partial payment shall release any of them from the obligation of payment of this Note or any installment of this Note.
10. Miscellaneous Provisions:
a. Assignment by Lender and Holders: Lender and any Holder of this Note shall have the right to sell, assign or otherwise transfer, either in part or in its entirety, this Note or the Deed of Trust, and any other instrument evidencing or securing the indebtedness of this Note without Borrower's consent.
b. Successors and Assigns: This Note and all of the covenants, promises, and agreements contained in it shall be binding on and shall inure to the benefit of the respective legal and personal representatives, devisees, heirs, successors and assigns of Borrower and Lender. c. Forbearance Not a Waiver: No delay or omission on the part of Lender in exercising any rights under this Note or under the Deed of Trust or any other security agreement given to secure this Note, on default by Borrower, shall operate as a waiver of such right or of any other right under this Note or other agreements, for the same default or any other default. Holder shall similarly have the right to deal in any way, at any time, with one or more of the foregoing parties without notice to any other party, and to grant any such party any extensions of time for payment of any of the indebtedness, or to grant any other indulgences or forbearances whatsoever, without notice to any other party and without in any way affecting the personal liability of any such party. d. Payment in U.S. Dollars: Principal, interest and charges are payable in lawful money of the United States.
e. Governing Law: This Note shall be construed and enforceable according to the laws of the State of California for all purposes.
f. Waiver of Statute of Limitations: The pleading of any statute of limitations as a defense to the obligations evidenced by this Note or the Deed of Trust which secures it are waived to the fullest extent permissible by law.
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g. Severability: If any portion of this Note, or the application of it to any party or circumstance, is held to be invalid, the remainder of this Note, and the application of such provision to other parties or circumstances, shall not be affected thereby, the provisions of this Note being severable in any such instance.
h. Time of the Essence: Time is of the essence for each and every obligation under this Note.
IN WITNESS WHEREOF, Borrower has duly executed and delivered this Note to Lender, effective as of the date first above written, after having reviewed the terms and conditions of this Note and been advised by legal counsel.
BORROWER:
Siskiyou County Economic Development Council
By____________________________________
Mark Klever, President
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 75 of 157
EXHIBIT “A”
to
Promissory Note Secured by Deed of Trust on Real Property
SERVICES IN LIEU PAYMENT REPORT
(100 points required annually for compliance)
A. Completion Yreka Carnegie Construction/Renovation/Rehabilitation Plan:
Benchmark: Occupancy (25 points - annually)
B. Implementation of Yreka Carnegie Adaptive Reuse Strategy:
The Yreka Carnegie Library adaptive reuse plan specifies the facility will serve the community as a basecamp for local businesses, tourists, and economic development services by centralizing the region’s/community’s economic development resources in the building as a place-based location:
a. Tourism: -Discover Siskiyou
Discover Siskiyou will operate a consumer-facing location to offer visitors unprecedented access and engagement with Discover Siskiyou, the county’s official destination marketing organization.
Benchmarks:
- Investment in tourism marketing (15 points)
- Annual marketing plan (15 points)
b. Business services: -Small Business Development Center The Siskiyou Small Business Development Center (SBDC) will utilize meeting space and technology to provide services directly benefitting businesses.
Benchmarks:
- Businesses served (15 points)
- Technical assistance hours provided (15-25 points)
c. Economic Development Services: Siskiyou Economic Development The Siskiyou Economic Development Council (affiliates) will provide a premier, professional, community-facing location that showcases the SEDC’s work and services.
Benchmarks:
- Investment in professional economic development services (30 points) - Annual progress report (15 points)
d.Downtown Revitalization: Community Access/ Building Amenities The Carnegie reuse will provide space to host collaborative work between regional partners, governments, and local nonprofits; provide modern office space available to rent for co-working; and provide technologically enabled conference/meeting spaces available to rent.
Benchmarks:
- Annual activity report including number and type of events, meetings, hours of operation, maintenance/facility improvements, etc. (15-40 points)
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 76 of 157
Exhibit B
Amortization of Principal and Interest
Amortization Schedule
$180,000.00 Loan with Annual Payments 4.6% Interest Rate Compounded Annually
Annual Payment of $ 22,860.17 for 10 Years
Year Payment Principal Paid Interest Paid Remaining Balance 2024 $ 22,860.17 $ 14,580.17 $ 8,280.00 $ 165,419.83
2025 $ 22,860.17 $ 15,250.86 $ 7,609.31 $ 150,168.97
2026 $ 22,860.17 $ 15,952.40 $ 6,907.77 $ 134,216.57
2027 $ 22,860.17 $ 16,686.21 $ 6,173.96 $ 117,530.36
2028 $ 22,860.17 $ 17,453.77 $ 5,406.40 $ 100,076.59
2029 $ 22,860.17 $ 18,256.65 $ 4,603.52 $ 81,819.94
2030 $ 22,860.17 $ 19,096.45 $ 3,763.72 $ 62,723.49
2031 $ 22,860.17 $ 19,974.89 $ 2,885.28 $ 42,748.60
2032 $ 22,860.17 $ 20,893.73 $ 1,966.44 $ 21,854.87
2033 $ 22,860.19 $ 21,854.87 $ 1,005.32 $ .0
Totals $ 228,601.72 $ 180,000.00 $ 48,601.72
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 77 of 157
CARNEGIE LIBRARY DEVELOPMENT AGREEMENT
THIS CARNEGIE LIBRARY DEVELOPMENT AGREEMENT (this “Agreement”) is made and entered into by and between the City of Yreka, a California municipality (the "City") and the Siskiyou County Economic Development Council, entity number C1271229, a California nonprofit 501(c)(4) corporation in good standing with the California Secretary of State and Franchise Tax Board, and the Internal Revenue Service (the “SCEDC”) (collectively the “Parties”). This Agreement will be effective as of the latest date upon which either of the Parties executes.
RECITALS
WHEREAS, the City is the owner of the real property known as the Yreka Carnegie Library located at 412 W. Miner Street, Yreka, Siskiyou County, California and generally described as the southeastern quadrant of Section 22 of Township 45 North, Range 7 West, Mount Diablo Base and Meridian, Siskiyou County Assessor’s parcel number (APN) 053-352-160; and WHEREAS, the Property was vacated in 2019 by the City of Yreka Police Department, is a historical building prominently located in the City’s downtown area, and requires extensive rehabilitation to restore it to a community asset; and
WHEREAS, on November 21, 2019, the City issued a Request for Proposal for a qualified nonprofit organization to purchase the Property in its “as is” condition, which request specified competitive criteria including relevant experience, organizational capacity, reuse plan, and community benefit; and
WHEREAS, in its present condition the Property has a monetary value in the sum of One Hundred Eighty Thousand Dollars; and
WHEREAS, the City desires to transfer the building to a party that can best effectuate its rehabilitation and occupation to promote downtown revitalization, benefit local business, and support visitor services; and
WHEREAS, on January 15, 2020, the SCEDC submitted a response to the City’s Request for Proposal that included a plan, as set forth in Exhibit A-1 attached hereto and incorporated herein (the “Proposal”), for the development of the Property to revitalize it as an important historical asset and to serve as a cornerstone of the community’s downtown through rehabilitation and reuse in accordance with the City’s desired outcomes (the “Project”); and WHEREAS, the City will be the recipient of certain grants and may, from time to time, grant SCEDC a subrecipient agreement, professional services agreement and such other documents to further effectuate the evaluation and renovation of the Property; and WHEREAS, the City selected the SCEDC’s Proposal for development and intends to transfer the Property contingent upon the timely performance of the terms of sale between the City and the SCEDC as set forth in this Agreement and its exhibits.
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NOW, THEREFORE, the Parties agree as follows:
1. Scope of Services to be Performed by the Parties.
A. The SCEDC shall provide sufficient organization, personnel, and management to design and develop the Project as described in the Proposal in an expeditious and economical manner, consistent with the interests of the City, and substantially in accord with the three (3) year timeline set forth in the Proposal (the “Performance Period”). Unless otherwise set forth herein, all costs of acquiring the Property, as well as designing, developing, and constructing the Project, shall be borne by the SCEDC, at no cost to the City. All professional work shall be performed by properly licensed architects, engineers, and contractors, as applicable.
B. The SCEDC shall apply and pay for, and obtain from the City, at the City’s standard fees and charges, together with all other agencies with jurisdiction over the Property, all necessary approvals, entitlements, and permits for the Project (including, without limitation, the approval of architectural plans, the issuance of any certificates regarding historic resources required in connection with the renovation and restoration of the Property, and the approval of the Project in compliance with CEQA).
C. The SCEDC or its qualified designees shall provide to the City copies of the deliverables outlined in Exhibit A-2 attached hereto and incorporated herein (the “Deliverables”) as and when they become available for the City’s review and inspection and reasonable discretionary approval. If no written approval or disapproval has been given by the City within fourteen (14) days, or any applicable maximum statutory response period, of the SCEDC’s delivery of any such Deliverable, it shall be deemed approved by the City. The Deliverables shall comply with all federal, state and local statutes, rules and ordinances applicable to the Project.
D. The SCEDC shall comply with the City’s, and all funding agencies contributing funds to the Project’s, equal opportunity and other applicable policies. All of the SCEDC’s programs, services, employment opportunities, volunteer positions, and contracts provided under this Agreement shall be open to all persons without regard to race, religion, color, national origin, sex, age, marital status, disabilities, or political affiliation.
E. The City shall fully cooperate with the SCEDC in applications for grant or other funding for architectural, engineering, design, permitting, construction, and environmental remediation documents and services in connection with the Project, provided that the terms and conditions of such grants or other funding opportunities are acceptable to the City.
F. The SCEDC shall prepare and deliver to the City, at six (6) month intervals, narrative reports of the progress of the Project. Any written verification of the progress reports requested by the City shall be timely provided. The City shall also have the right, from time to time, to make on-site inspections of the Property at any time during working hours and upon reasonable advance notice to the SCEDC to verify the progress of the construction work for the Project.
G. Subject to the conditions and timelines herein, the City shall transfer by grant deed full fee title to the Property to the SCEDC subject to such title exceptions as may be shown on the preliminary title report and are acceptable to the SCEDC pursuant to its inspection rights.
A purchase and sale agreement for the Property (the “Purchase Agreement”) in the form DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 79 of 157
attached hereto as Exhibit A-3 shall be executed by the Parties concurrently herewith and is incorporated herein. The City shall maintain the Property in its current condition prior to commencement of Project construction activities.
2. Term.
The term of this Agreement shall commence upon the completed execution by both Parties and expire upon the earlier of: (i) the first anniversary of the Performance Period if the SCEDC has not made initial application to the City for a building permit for the Project; (ii) the second anniversary of the Performance Period if the City has not issued a building permit for the Project; or (iii) the City’s issuance of a final certificate of occupancy for the Property following completion of the Project on or before the end of the Performance Period; but in all events described above, shall not exceed 36 months, unless the Performance Period may be extended and/or modified by a written agreement signed by the Parties.
3. Governmental Permits.
During the term of this Agreement, the SCEDC will seek certain governmental permits to develop the Property. The City shall cooperate with the SCEDC, shall take all actions and join in all applications, and shall execute all documents reasonably necessary to allow the SCEDC to pursue applications for and obtain such governmental permits subject to the following terms and conditions:
A. The City shall not bear or become obligated to pay any expense arising from or in connection with any such governmental permit activity.
B. Without the City’s prior written consent, no governmental permit or approval shall impose or increase any lien, encumbrance, tax, or assessment before closing under the Purchase Agreement. The SCEDC acknowledges that the processing by the SCEDC of applications to obtain governmental permits and investigation by the SCEDC with regard to the Property may directly or indirectly result in discovering toxic substances, endangered species, earthquake faults, title defects or other matters that could affect the market value of the Property. If the SCEDC elects not to purchase, the City acknowledges that it may be required to undertake remedial actions on such defects. The SCEDC shall not be responsible for any loss in market value or any other damages the City incurs as a result of defects or conditions in the Property uncovered by any investigation of the Property conducted by the SCEDC or as a result of the applications for governmental permits. To the extent legally permissible, the SCEDC will maintain the confidentiality of the results of the inspections and studies. However, the City understands and consents to such disclosure as is necessary for the SCEDC to obtain the permits it needs to develop the site for its intended purpose and to cooperate with regulatory agencies to characterize the site and determine the extent of any remediation and clean-up that may be required.
4. Default; Termination.
Any one or all of the following shall constitute an “Event of Default”: (i) either Party fails to perform any of its material obligations under this Agreement or the Purchase Agreement; (ii) either Party becomes insolvent; (iii) either party, whether voluntarily or involuntarily, becomes subject to any bankruptcy proceeding under federal or state law; or (iv) the SCEDC fails to perform any other provision of this Agreement if the failure to perform is not cured within twenty (20) days after notice has been given. If an Event of Default described in DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 80 of 157
subsection (iv) herein cannot be reasonably cured within twenty (20) days, the SCEDC shall not be in default of this Agreement if the SCEDC commences to cure such Event of Default within twenty (20) days and diligently and in good faith continues to cure such Event of Default.
5. City’s Remedies
The City shall have the following remedies if the SCEDC commits an Event of Default.
These remedies are not exclusive; they are cumulative in addition to any remedies now or later allowed by law:
A. Terminate the SCEDC’s right to possession of the Property by any lawful means, in which case this Agreement and the Purchase Agreement shall terminate. The SCEDC shall immediately surrender possession of the Property to the City. In such event the City shall be entitled to recover from the SCEDC all damages incurred by the City by reason of the SCEDC’s default including, but not limited to, the cost of recovering possession of the Property, the cost of alterations immediately required to make the Property safe, and reasonable attorney’s fees, less the fair market value of any improvements the SCEDC will have made to the Property. In the event the SCEDC shall have abandoned the Property, the City shall have the option of taking possession of the Property and recovering from the SCEDC the amount specified in this paragraph; and/or
B. Pursue any other remedy now or hereafter available to the City under the laws or judicial decisions of the State in which the Property is located.
6. SCEDC’s Remedies.
The SCEDC shall have the following remedies if the City commits an Event of Default.
These remedies are not exclusive; they are cumulative in addition to any remedies now or later allowed by law:
A. Terminate this Agreement and the Purchase Agreement. The SCEDC shall immediately surrender possession of the Property to the City. In such event the SCEDC shall be entitled to recover from the City all expenditures made by the SCEDC that, by the terms of any grant or funding source, are required to be repaid to the grant or funding source by the SCEDC in the event of non-completion of the Project; and/or B. Pursue any other remedy now or hereafter available to the SCEDC under the laws or judicial decisions of the State in which the Property is located.
7. Ownership of Deliverables.
A. All Deliverables, including, without limitation, all documents, data, drawings, specifications, plans, and permits, whether tangible or intangible, and including all intellectual property rights related to the Deliverables, that are prepared or produced by or on behalf of SCEDC in connection with this Agreement and the development of the Property shall be and remain the property of the City until the close of escrow. Upon close of escrow and title transfer to the SCEDC, title to all Deliverables shall automatically transfer to the SCEDC.
Notwithstanding the foregoing, (i) in the event the issuer of any Deliverable requires that one party or the other own the Deliverable, then such party shall own that Deliverable, and (ii) at all times the non-owning party of any Deliverable shall have a full non-exclusive license to use and reproduce any such non-owned Deliverable. The Deliverables shall be produced solely for the DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 81 of 157
benefit of the Project and shall not be used by the SCEDC for any other purpose without prior written consent from the City.
B. Notwithstanding the foregoing, in the event this Agreement is terminated by either Party for any reason, or if the Performance Period expires prior to the City’s issuance of a final certificate of occupancy, the ownership of the Deliverables, including any copyrights or other intellectual property rights to same that may be vested in the SCEDC, shall then immediately and automatically transfer to and vest in the City. The City acknowledges that its use of the Deliverables is limited to the purposes contemplated by this Agreement, and that the SCEDC makes no representation of the suitability of the Deliverables for use in or application to circumstances not contemplated by the scope of work set forth herein. In the event this Agreement is terminated as a result of an Event of Default on the part of the City, the City shall reimburse the SCEDC for all of its costs in producing the Deliverables.
C. The City shall make available to the SCEDC, at the City’s actual cost, copies of plans, drawings, surveys, studies, soil reports, and other relevant data relating to the Property which are readily available and on file at the City. These documents are available solely as additional information to the SCEDC and do not relieve the SCEDC of its duties and obligations under this Agreement, nor constitute any representation or warranty by the City as to conditions or other matters related to the Property or the Project, nor obligate the City to perform studies or surveys. It shall be the sole responsibility of the SCEDC to gather and become familiar with all site information relevant to the Property and the Project.
8. Insurance, Hold Harmless, and Indemnification.
A. At all times during the Performance Period, the SCEDC shall maintain a commercial general liability policy including coverage for bodily injury and property damage with coverage limits in the greater of: (i) Two Million Dollars ($2,000,000) each occurrence, and Two Million Dollars ($2,000,000) annual aggregate; or (ii) such other policy limits as the City may require in its reasonable discretion. Such policy or policies shall name the City as additional insured as its interests may appear, and certificates of same shall be delivered to the City upon its written request.
B. As of the commencement of construction of the Project, the SCECD shall furnish or cause to be furnished to the City evidence satisfactory to the City that the SCEDC and any contractor with whom the SCEDC has contracted for the performance of work on the Property or otherwise pursuant to this Agreement, carries statutory Workers’ Compensation insurance in a minimum amount of Two Million Dollars ($2,000,000) per accident, and that any contractor with whom the SCEDC has contracted for the performance of work on the Property carries builder's all-risk insurance in an amount not less than the full insurable cost of the Project on a replacement cost basis naming the SCEDC and the City as loss payees as their interests may appear.
C. Commencing upon completion of construction of the Project, the SCEDC shall maintain property insurance covering all risks of loss including earthquake (if required) and flood (if required) for the full replacement value of the Project, and copies of same shall be furnished to the City upon its written request.
D. The SCEDC shall hold harmless and indemnify, including the cost to defend, the City and its officers, officials, and employees (“City Indemnitees”), from and against any and all claims, demands, costs, or liability, including property damage and personal injury DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 82 of 157
(“Damages”) that arise out of, or relate to, (i) the SCEDC’s and its agents entry upon the Property prior to the closing of the Purchase Agreement, and (ii) the negligence, recklessness, or willful misconduct of the SCEDC or its officers, officials, agents, contractors and employees in the performance of its obligations hereunder, but such indemnity obligations shall not apply to Damages arising out of, or relating to, the sole negligence, recklessness, or willful misconduct of any of the City Indemnitees. Such obligations shall survive the expiration or termination of this Agreement.
E. The City shall hold harmless and indemnify, including the cost to defend, the SCEDC and its directors, officers, employees, and agents (the “SCEDC Indemnitees”) from and against any and all Damages that arise out of, or relate to, the negligence, recklessness, or willful misconduct of the City or its directors, officers, employees, or agents in the performance of its obligations hereunder, but such indemnity obligations shall not apply to Damages arising out of, or relating to, the sole negligence, recklessness, or willful misconduct of any of the SCEDC Indemnitees. Such obligations shall survive the expiration or termination of this Agreement.
9. Delays.
A. The Parties shall be excused from performing their respective obligations hereunder in the event they are prevented from so performing by reason of floods, earthquakes, tsunamis, other "acts of God", war, civil insurrection, riots, and other similar catastrophic events which are beyond the control of and not the fault of the party claiming excuse from performance hereunder. Labor unrest, including but not limited to strike, work stoppage or slowdown, sickout, picketing, or other concerted job action conducted by the SCEDC 's employees or directed at the SCEDC is not an excuse from performance and the SCEDC shall be obligated to continue to provide service notwithstanding the occurrence of any or all of such events. In the case of labor unrest or job action directed at a third party over whom the SCEDC has no control, the inability of the SCEDC to provide Agreement services due to the unwillingness or failure of the third party to provide reasonable assurance of the safety of the SCEDC 's employees while providing Agreement services to minimize any confrontation with pickets shall, to that limited extent, excuse performance. The foregoing excuse shall be conditioned on the SCEDC 's cooperation in providing services at different times.
B. The Party claiming excuse from performance shall, within two (2) days after such Party has notice of such cause, give the other Party notice of the facts constituting such cause and asserting its claim to excuse under this Section. Notwithstanding, the SCEDC in the event of a catastrophic event shall comply with the City's Emergency Preparedness Plan.
C. In the event that either Party validly exercises its rights under this Section, the Parties hereby waive any claim against each other for any damages sustained thereby.
D. The partial or complete interruption or discontinuance of the SCEDC 's services caused by one or more of the events described in this Section and constituting an excuse from performance shall not constitute an Event of Default by the SCEDC under this Agreement.
Notwithstanding the foregoing, however, if the SCEDC is excused from performing its obligations hereunder for any of the causes listed in this Section for a period of ninety (90) days or more, other than as the results of third party labor disputes where service cannot be provided for reasons described earlier in this Section, the City shall nevertheless have the right, in its sole discretion, to terminate this Agreement by giving ten (10) days notice.
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 83 of 157
10. Successors and Assigns.
Neither Party shall assign, transfer or encumber any rights, duties or interests accruing from this Agreement or the Purchase Agreement without the advance written consent of the other Party. Notwithstanding the foregoing, the SCEDC may assign all of its rights and obligations under this Agreement and/or the Purchase Agreement to the Siskiyou County Job Council, a California nonprofit 501(c)(3) corporation, whether by direct contractual assignment or operation of merger, without the City’s advance written consent, and upon written notice to the City of such assignment, the City shall attorn to such assignee, and the SCEDC shall be relieved of all liability hereunder.
11. Governing Law; Venue; Attorneys’ Fees
In the event any litigation should arise concerning the construction or interpretation of any of the terms or provisions of this Agreement, the venue for such actions shall be in the courts of the State of California in and for the County of Siskiyou or in the appropriate federal court with jurisdiction over the matter. The prevailing Party in any such litigation shall be entitled to reimbursement of its reasonable attorneys’ fees and court costs.
12. Severability
Any provision of this Agreement held to be void or unenforceable under any law or regulation shall be deemed stricken and all remaining provisions shall continue to be valid and binding upon the Parties, and this Agreement shall be reformed to replace such stricken provision with a valid and enforceable provision that comes as close as possible to expressing the intention of the stricken provision.
13. Liens/Encumbrances
Neither the SCEDC nor any of its contractors, subcontractors, agents, employees or consultants shall allow liens, stop notices, claims, causes of action, judgments or encumbrances to attach to the Property during the Performance Period.
14. Entire Agreement; Amendment; Conflict with Proposal This Agreement, including its exhibits, contains the entire agreement between the Parties and no other agreements, oral or otherwise, regarding the subject matter of this Agreement shall be deemed to exist or bind any of the Parties hereto. Either Party may request changes to this Agreement. Proposed changes which are mutually agreed upon shall be incorporated by written amendment into this Agreement. In the event any term or provision of this Agreement conflicts with any term or provision of the Proposal, the term or provision of this Agreement shall control.
15. Independent Contractor.
A. Neither Party has or shall have the power to bind the other Party or to assume or to create any obligation or responsibility, express or implied, on behalf of, or in the name of the other Party. The Parties agree that the SCEDC is in business for itself. For all services rendered pursuant to this Agreement, the City and the SCEDC are and at all times shall be and remain independent contractors as to each other, and no joint venture, partnership, agency or DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 84 of 157
other legal relationship which would impose vicarious liability upon one Party for the act or omission of the other shall be created or implied hereby or here from. The SCEDC shall not be considered an agent or employee of the City. The SCEDC shall be solely responsible for all contributions, payments or withholdings normally made on behalf of an employee including, but not limited to, state and federal income taxes, federal social security contributions, California state disability insurance taxes and unemployment insurance contributions, medical insurance, dental insurance, life insurance, deferred compensation and disability insurance.
The SCEDC shall provide, at the SCEDC’s expense, workers’ compensation coverage for the SCEDC and the SCEDC’s employees to the extent required by law. Except as is expressly herein set forth, each Party shall bear full and sole responsibility for its own expenses, liabilities, costs of operation and the like.
B. The SCEDC (including its directors, officers and employees who are bound by the disclosure and conflict of interest rules of the California Political Reform Act) covenants and represents that it does not have any investment or interest in real property and shall not acquire any interest, direct or indirect, in real property within a one (1) block radius of the Property, or any other source or income, interest in real property or investment which would be affected in any manner or degree by the performance of the SCEDC ’s services hereunder. The SCEDC further covenants and represents that in the performance of its duties hereunder no person having any such interest shall perform any services under this Agreement.
C. The SCEDC is not a designated employee within the meaning of the Political Reform Act because the SCEDC:
(i) will conduct research and arrive at conclusions with respect to its rendition of information, advice, recommendations, or counsel independent of the control and direction of the City or of any City official, other than normal agreement monitoring; (ii) possesses no authority with respect to any City decision beyond rendition of information, advice, recommendation, or counsel;
(iii) does not make or participate in the making of any governmental decisions regarding approval of a rate, rule, or regulation, the adoption or enforcement of laws; (iv) does not make or participate in the issuance, denial, suspension or revocation of permits, licenses, applications, certificates, approvals, orders, or similar authorization or entitlement;
(v) does not make or participate in authorizing the City to enter into, modify, or renew a contract;
(vi) does not make or participate in granting City approval to a contract that requires City approval and to which the City is a party, or to the specifications for such a contract;
(vii) does not make or participate in granting City approval to a plan, design, report, study, or similar item;
(viii) does not make or participate in adopting, or granting City approval of, policies, standards, or guidelines for the City or for any subdivision thereof; and DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 85 of 157
(ix) does not serve in a staff capacity with the City and in that capacity participate in making a governmental decision or otherwise perform the same or substantially all the same duties for the City that would otherwise be performed by an individual holding a position specified in the City’s Conflict of Interest Code under Government Code Section 87302.
16. Counterparts.
This Agreement may be executed simultaneously and in several counterparts, each of which shall be deemed an original, but which together shall constitute one and the same instrument.
17. Other Documents.
The Parties agree that they shall cooperate in good faith to accomplish the object of this Agreement and, to that end, agree to execute and deliver such other and further instruments and documents as may be necessary and convenient to the fulfillment of these purposes.
18. Compliance with Laws.
The SCEDC’s performance hereunder shall be conducted in accordance with all the laws, ordinances, rules and regulations applicable to such business as set forth by the City, State of California, and the United States government. The SCEDC agrees to indemnify the City against any damages or expenses under this Agreement resulting from the SCEDC’s or the SCEDC’s lower-tier subcontractors' failure to comply with the above laws and regulations.
19. Waiver.
A waiver by any Party of any breach of any term, covenant or condition herein contained or a waiver of any right or remedy of such Party available hereunder at law or in equity shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant or condition herein contained or of any continued or subsequent right to the same right or remedy. No Party shall be deemed to have made any such waiver unless it is in writing and signed by the Party so waiving.
20. Completeness of Instrument.
This Agreement, together with its specific references and attachments, constitutes all of the agreements, understandings, representations, conditions, warranties and covenants made by and between the Parties hereto. Unless set forth herein, neither Party shall be liable for any representations made express or implied.
21. Supersedes Prior Agreements.
It is the intention of the Parties hereto that this Agreement shall supersede any prior agreements, discussions, commitments, representations, or agreements, written or oral, between the Parties hereto.
22. Jurisdiction.
The laws of the State of California govern this Agreement and disputes arising out of or relating to this Agreement or the Parties’ relationship. Any action or proceeding arising out of or relating to this Agreement or the Parties’ relationship shall be brought in a state court DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 86 of 157
situated in Siskiyou County, State of California, unless transferred by court order pursuant to Code of Civil Procedure Sections 394 and 395.
23. Time is of the Essence.
Time is of the essence of this Agreement and each covenant and term a condition herein. Any reference to days means calendar days unless otherwise specifically stated.
24. Authority.
All Parties to this Agreement warrant and represent that they have the power and authority to enter into this Agreement in the names, titles, and capacities herein stated and on behalf of any entities, persons, estates, or firms represented or purported to be represented by such entity(s), person(s), estate(s), or firm(s) and that all formal requirements necessary or required by any state and/or federal law in order to enter into this Agreement have been fully complied with.
Further, by entering into this Agreement, neither Party hereto shall have breached the terms or conditions of any other contract or agreement to which such Party is obligated, which such breach would have a material effect hereon.
25. Notices.
All notices to be sent pursuant to this Agreement shall be made in writing and sent to the Parties at their respective addresses specified below or to such other address as a Party may designate by written notice delivered to the other Party in accordance with this Section. All such notices shall be sent by: (i) personal delivery, in which case notice is effective upon delivery; (ii) certified or registered mail, return receipt requested, in which case notice shall be deemed delivered on receipt if delivery is confirmed by a return receipt; or (iii) electronic communication, in which case notice is effective on the next business day following the send.
If to the SCEDC: Siskiyou Economic Development Council
1512 South Oregon Street
Yreka, California 96097
Attn: Executive Director
Email: [email protected]
If to the City: City of Yreka
701 Fourth Street
Yreka, California 96097
Attn: City Manager
Email: [email protected]
26. Signatures
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 87 of 157
The signatures on this Agreement shall be deemed the required and fully authorized signatures of the parties and the express agreement of each party to the terms contained herein. No separate execution of this agreement shall be required to make it valid.
CITY:
EXECUTED on ________________ , 2023, at Yreka, California.
Name: Jason Ledbetter Name: Rhetta Hogan
Title: City Manager Title: City Clerk
City of Yreka, California City of Yreka, California
SCEDC:
EXECUTED on ________________ , 2023, at Yreka, California.
Attest:
Name: Mark Klever Name: Louie Dewey
Title: President Title: Secretary
Siskiyou County Economic Development Siskiyou County Economic Development Council Council
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 2/8/2023
2/9/2023
November 7, 2023 Yreka City Council Agenda 88 of 157
Exhibit A-1
to
Carnegie Library Development Agreement
Proposal
January 15, 2020
Arthur Boyd
Grants and Projects Analyst
City of Yreka, 701 Fourth Street, Yreka, CA 906097
Dear Mr. Boyd,
The Siskiyou Economic Development Council (SEDC) is expressing interest in the acquisition of the Yreka Carnegie Library with a plan for adaptive reuse, to position the Yreka Carnegie Library at the center of a comprehensive strategy, to spur reinvestment in Yreka’s Historic District, help revitalize the county’s seat, and elevate our region’s economic programs. The proposed project will build on our dynamic work to leverage local assets, improve the local tax base, provide small business services and evolve with emerging economic sectors.
SEDC’s expressed interest in the acquisition of the Yreka Carnegie Library, with this adaptive reuse and place-making strategy will:
position Siskiyou as a nationally recognized destination for heritage tourism; improve access and expand services to local small businesses; and rehabilitate a historic asset as a beacon for downtown revitalization and community prosperity.
Many case studies show communities successfully leveraging historical assets as a strategy to preserve essential character and spur investment in historic downtown districts—thus connecting historic preservation to economic development. The high cost of rehabilitating a historic building is a challenge, but when historical landmarks are revived, they serve as a catalyst for community prosperity and vitality.
The SEDC professional team pledges to achieve this goal, leveraging private and public investment and reintroducing the Yreka Carnegie Library as a vibrant, community-facing, high-performing asset—serving our community for another 100 years.
We are committed to working with the City of Yreka for a mutually beneficial outcome. Thank you for this opportunity.
Sincerely,
Tonya Dowse, Executive Director
Siskiyou Economic Development Council
[email protected]
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 89 of 157
Executive Summary
Returning Community Prosperity to Yreka, Siskiyou’s Historic County Seat The Carnegie Library is located in the heart of Yreka’s West Miner Historic District, serving as an important feature of the community’s physical and cultural infrastructure for 104 years. However, today the building is in danger of continuing degradation and, without, investment may eventually be completely lost to the community. This important historical asset can be revitalized to serve once again as a cornerstone of the community and downtown infrastructure for another 100 years.
The Siskiyou Economic Development Council along with its affiliate organizations the Siskiyou Jobs Council, Discover Siskiyou, and Siskiyou Small Business Development Center, are proposing an adaptive reuse and placemaking strategy to return long term stability and investment to the Yreka Carnegie Library and the West Miner Historic District of Yreka. This strategy saves a national treasure, introduces a new economic base in a disadvantaged region, and further positions Siskiyou as a nationally recognized destination for tourism.
Adaptive Reuse and Placemaking
Adaptive reuse refers to the process of reusing an existing building for a purpose other than which it was originally built or designed for. It is also known as recycling and conversion. Adaptive reuse is an effective strategy for optimizing the operational and commercial performance of built assets.
Placemaking is a transformative approach to the planning, design and management of public spaces.
Placemaking capitalizes on a local community's assets, inspiration, and potential, with the intention of creating public spaces that promote people's health, happiness, and well-being.
Case studies show preserving the character of a city's vacant, underutilized spaces will provide a positive ROI to the triple-bottom line. Extraordinary costs serve as a challenge, but when historical landmarks are revived, they are a catalyst for investment, return lasting economic benefits, and elevate the character of the city.
The Siskiyou Economic Development Council, in partnership with its affiliate programs, presents this conceptual plan to revive the nationally significant Yreka Carnegie Library into a vibrant, communityfacing, high-performing asset.
We are Uniquely Qualified
The Siskiyou Economic Development Council’s mission is to facilitate business growth, retention and attraction to promote community prosperity in Siskiyou County. The SEDC is a private non-profit, governed by an esteemed group of volunteer board members that represent the diverse private and public leaders across the county.
SEDC has provided economic and community development assistance to the communities comprising Siskiyou County for 30 years. The proposed project will build on an enduring Memorandum of Understanding between the SEDC, city jurisdictions, and the County of Siskiyou to leverage local assets, improve the local tax base, provide small business services and evolve with emerging economic sectors.
This project will be led by SEDC and incorporate its affiliate organizations/brands the Siskiyou Jobs Council, Discover Siskiyou, and Siskiyou Small Business Development Center.
The SEDC maintains a qualified staff of economic development professionals who specialize in addressing challenges, leveraging funds, and overseeing robust infrastructure projects and contracts to benefit the rural communities of Siskiyou County. This work is a dynamic, evolving mix of services, investments, and projects that makes Siskiyou County a better place to live, work, and visit.
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At the discretion of our respected Board of Directors, the SEDC staff has identified the Yreka Carnegie Library as an important local asset for our community’s future. SEDC will leverage its funding relationships, grant writing expertise, and project management skills to make this project come to life.
Together the staff and board pride themselves on being a model of performance and adaptability in an everchanging climate of highly competitive and leveraged resources.
A “WIN-WIN” for Yreka and SEDC
The reuse proposal will centralize the region’s/community’s economic resources in one location; position Siskiyou County as a leader in tourism and small business services; and provide a premier, professional, community-facing location that showcases the SEDC’s work and services. The location will prominently serve as a basecamp for local businesses, tourists, and visitors.
The Yreka Carnegie Library will be owned, operated and maintained by the SEDC and its affiliates named above. Once completed, the Siskiyou Economic Development Council, Siskiyou Jobs Council, Discover Siskiyou, and Siskiyou Small Business Development Council will locate and operate out of the building.
The SEDC and affiliates, currently comprised of eight full-time employees will primarily occupy the upstairs addition. The 3,155 sq. ft. capacity of the building is right-sized to serve our current needs and offers just enough additional space for more collaborative opportunities. We will carefully restore, design and reconfigure the building to be efficient and aesthetically appealing.
Community Benefit
This proposal is both an adaptive reuse and placemaking strategy that will return community benefit to Siskiyou County, the City of Yreka, and the West Miner Historic District as follows:
-Discover Siskiyou Launchpad
The SEDC will open a new consumer-facing location to offer visitors unprecedented access and engagement with Discover Siskiyou, the county’s official destination marketing organization. The repurposed Yreka Carnegie Library will serve as a launch pad location for visitors to the area, showcasing the best of Siskiyou’s cultural, historical and touristic assets. Discover Siskiyou is the result of a long-term endeavor by local lodging properties to grow and enhance Siskiyou’s tourism economy. A prominent location in Yreka will highlight the team’s professional marketing efforts and better serve tourists and visitors.
-Small Business Development Center Basecamp
The Siskiyou Business Basecamp will also serve as the headquarters for the Siskiyou Small Business Development Center (SBDC). The Siskiyou SBDC was established in 2016 after the Siskiyou Economic Development Council identified a need for expanded services to local businesses in Siskiyou County.
Siskiyou business owners are the leading job creators and the foundation of our economic climate and quality of life. The SBDC provides high-quality services for existing and start-up businesses in the County.
The SBDC will utilize and benefit from access to conference space, client meeting spaces, and flexible workspaces. The building will enhance our ability to successfully support business incubation/entrepreneurs, scalable businesses/business startups, local work force programs and visiting officials.
-Downtown Revitalization
The SEDC has an outstanding tenure of commitment to our local communities. We are currently helping to facilitate an expansive effort to support downtown revitalization through the Siskiyou Revitalization Network—a collaboration the Yreka’s City Council helped found.
Our Interest in the Project is an Expression of our DNA.
By acquiring the Yreka Carnegie Library, fundraising and investing eventually over $1 million in its rehabilitation and reuse; and physically locating our team of professionals to downtown Yreka we will be an active participant in the realization of Yreka’s downtown revitalization.
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 91 of 157
Contents
Full legal name of purchaser.................................................................................................. 1 Legal organization................................................................................................................... 1 Purchase Terms........................................................................................................................ 1 Experience with Similar Sized Projects.................................................................................... 1 Real Estate Management ................................................................................................... 1 Program Management........................................................................................................ 2 Staff and Board Experience ................................................................................................ 2 Vision for Redevelopment....................................................................................................... 2 USDA Community Facilities Study ....................................................................................... 3 Conceptual Plan.................................................................................................................. 3 Protect, Promote and Preserve Integrity of Building ......................................................... 5 Community Benefit.................................................................................................................. 6 Maintenance Plan................................................................................................................... 7 Goals of the Maintenance Plan ......................................................................................... 7 Exterior Building Components............................................................................................. 7 Interior Building Components.............................................................................................. 9 Achieving ADA Compliance.................................................................................................11 Key Building Factors............................................................................................................11 Desired Outcomes..............................................................................................................11 Fundraising Strategy ...............................................................................................................11 Federal Assistance ..............................................................................................................12 Private Foundation Assistance...........................................................................................12 Long-Term Occupancy Plan .................................................................................................13 Staffing Plan and Operational Budget .................................................................................15 Budget Assumptions............................................................................................................15 Services Offered .....................................................................................................................16 Building Amenities...............................................................................................................16 Hours of Operation..............................................................................................................16 DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 92 of 157
Full legal name of purchaser
Siskiyou County Jobs Council
Legal organization
501(c) 3
Purchase Terms
The Siskiyou County Jobs Council (and affiliate Siskiyou Economic Development Council (SEDC) acknowledges that the City of Yreka’s recent appraisal on the property values it at $180,000. In addition, the SEDC agrees with the City’s desire to ensure the building remains as a public and community asset in perpetuity.
We are open to negotiating with the City on terms of purchase for both the buyer and seller’s benefit.
Initially, we propose that the transfer of ownership will be determined at a point when both the SEDC Board and City are satisfied sufficient funds for the project are achieved. The SEDC is currently fundraising from both public and private sources to attain an estimated $1.075 million necessary to fully rehabilitate and actively reuse the Carnegie Library as a community asset. Ultimate acquisition and ownership may need to be influenced by funding agencies.
SEDC would also like to acknowledge a recent City Council workshop explored the concept of a progressively forgiven mortgage, amortized over ten years with a three percent interest rate, contingent on continued capital investment. We are appreciative of the concept and open to further explore the feasibility.
Experience with Similar Sized Projects
Real Estate Management
The Siskiyou Economic Development Council (SEDC) has a long, established track record of owning realestate in partnership with the City of Yreka as a means to achieve community economic development.
SEDC owned and operated the Pacific West Foodworks/Business Incubator facility in a public-private partnership with the City of Yreka for over 20 years. The facility, located at 1512 S. Oregon Street, consists of a 16,000 sq. ft., former manufacturing plant, that had been converted into flexible business incubator space and a full-service commercial kitchen.
The building was originally constructed as the primary manufacturing facility for NorCal Products. SEDC worked alongside the City of Yreka to assist the company’s need for a larger, more modern plant.
Specifically, the SEDC developed and authored a U.S. Housing and Urban Development (HUD)/California, Community Development Block Grant (CDBG) grant, on behalf of the City, that was used to purchase the building and entice the company to grow and expand within Yreka. The grant conditions generally required the building (grant funds) be used to benefit income qualified individuals and establish microenterprise businesses.
SEDC owned and operated the facility for two decades, as required; and thereby fulfilled the City’s grant obligations. During that time SEDC oversaw substantial building improvements, provided maintenance, installed equipment and kept the building in good repair. SEDC (often with the help of the City’s CDBG program) invested tremendous time and resources into improving the building during this tenure.
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Changes in the CDBG program along with changes in home-based food processing led to a decrease in demand for the buildings specific operational design. In response, and with permission from the City of Yreka, SEDC offered the building for sale to a local expanding technology firm. SEDC and the City agreed to split the proceeds of the $500,000 sale equally concluding the project successfully and providing unencumbered revenue to both.
Program Management
SEDC maintains a team of highly dedicated professionals with extensive experience of effectively managing costly long-term projects. The SEDC offers the capacity to fundraise the required capital needed for rehabilitation; it also has the internal controls and administration necessary to properly manage the project. With this existing organizational capacity, the SEDC has an advantage in the local community to leverage outside funds effectively.
Recent examples of successful projects include:
USDOC, Economic Development Administration, infrastructure grant for the City of Weed, $2.1 million
USEPA, Brownfields Coalition Site Assessment (2019-2022), $600,000 USDOC, Economic Development Administration, Economic Recovery/Resiliency Planning (2019-2020), $156,000
USDOC, Economic Development Administration, planning grant for the City of Mt.
Shasta for $125,000.
USDA, Rural Development, Community Facilities Technical Assistance and Training (2019-2020), $36,000
Ford Family Foundation Siskiyou Small Business Development Center (2018-2019), $65,000
California Employment Training Panel (2019-2020), $58,000 Staff and Board Experience
The SEDCC is a private non-profit, governed by an esteemed group of volunteer board members that represent the diverse private and public leaders across the county. The Executive Director, Tonya Dowse offers a 20-year track record of economic development experience and is supported by a dynamic staff of economic development professionals who specialize in addressing challenges, leveraging funds and overseeing robust infrastructure projects and contracts, to benefit the rural communities of Siskiyou County.
Today, our work is a dynamic mix of services, investments, and projects that make our county a better place to live, work, and visit. Together the staff and board pride themselves on being a model of performance and adaptability in an ever-changing climate of highly competitive and leveraged resources.
Vision for Redevelopment
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USDA Community Facilities Study
The SEDC is in the midst of completing a U.S. Department of Agriculture (USDA) Community Facilities Technical Assistance and Training grant; awarded July 2019. The workplan includes a feasibility study for SEDC’s occupancy and procurement of a consultant to conduct a Historic Structure Report of the Yreka Carnegie Library. As demonstrated in the attached floor plan, the Carnegie is spatially adequate to address our growing organizational needs, but large enough to provide supplementary conference and office spaces to offset the financial constraints. Moreover, this study included an evaluation of the Library’s amenities, an estimation of the scope for rehabilitation, the development of a fundraising strategy and research on prospective architectural teams. In the next phase, we anticipate procurement of a consultant for the Historic Structure Report, including ADA and preservation recommendations.
Conceptual Plan
This adaptive reuse and placemaking strategy will locate economic development and business/visitor services, collaborative colocations and a team of professional employees in Yreka’s historic Carnegie Library located in the West Miner Historic District. It will open a new community-facing Discover Siskiyou location and position the Siskiyou Small Business Development Center in a visible, accessible location.
This strategy will return community benefit to Yreka and Siskiyou County.
Specifically, the vision for redevelopment is to fully restore the original Carnegie Library, upgrade and beautify the building exterior, remodel and redesign the 1980 additions to better accommodate current needs and technology, shore-up the entire structure, address hazardous materials such asbestos and lead, address Americans with Disabilities Act (ADA) compliance, upgrade all mechanical fixtures, make exterior/parking lot improvements, etc. to better serve the community, local businesses, and visitors. The total cost for rehabilitation and renovations is estimated to be $1.075 million.
Once completed, the original footprint will be carefully restored and serve as welcoming foray for visitors.
It will showcase local attractions, heritage/historical tourism assets, and provide visitors will essential information. The existing four offices on the main floor will provide opportunities to earn rental income, enhance collaborative/colocation relationships, and facilitate the delivery of business and visitor services.
The Siskiyou Economic Development Council, Siskiyou Jobs Council, Discover Siskiyou, and Siskiyou Small Business Development Council will locate and operate out of the building. The SEDC and affiliates, currently comprised of eight full-time employees will primarily occupy the upstairs addition.
The ground floor addition, located at the back of the building will be reconfigured into a conference/meeting room with a modern, fully-equipped kitchen. The meeting space will be available for use/rent by community members.
This conceptual plan will inspire regional connection, new investment, increased visits, and longer stays, the West Miner Historic District.
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Protect, Promote and Preserve Integrity of Building
SEDC plans on rehabilitating the Yreka Carnegie Library in alignment with the City Historical District Code and Secretary of Interior’s Standards for Rehabilitation. SEDC will ensure that the Yreka Carnegie Library’s architectural integrity and status with the National Register of Historic Places will not be disrupted. In alignment with these guidelines, there are no plans to significantly add to or demolish any portion of the building’s structure.
The following standards will be applied throughout the rehabilitation:
1. A property will be used as it was historically or be given a new use that requires minimal change to its distinctive materials, features, spaces and spatial relationships.
2. The historic character of a property will be retained and preserved. The removal of distinctive materials or alteration of features, spaces and spatial relationships that characterize a property will be avoided.
3. Each property will be recognized as a physical record of its time, place and use. Changes that create a false sense of historical development, such as adding conjectural features or elements from other historic properties, will not be undertaken.
4. Changes to a property that have acquired historic significance in their own right will be retained and preserved.
5. Distinctive materials, features, finishes and construction techniques or examples of craftsmanship that characterize a property will be preserved.
6. Deteriorated historic features will be repaired rather than replaced. Where the severity of deterioration requires replacement of a distinctive feature, the new feature will match the old in design, color, texture and, where possible, materials. Replacement of missing features will be substantiated by documentary and physical evidence.
7. Chemical or physical treatments, if appropriate, will be undertaken using the gentlest means possible. Treatments that cause damage to historic materials will not be used.
8. Archeological resources will be protected and preserved in place. If such resources must be disturbed, mitigation measures will be undertaken.
9. New additions, exterior alterations or related new construction will not destroy historic materials, features and spatial relationships that characterize the property. The new work will be differentiated from the old and will be compatible with the historic materials, features, size, scale and proportion, and massing to protect the integrity of the property and its environment.
10. New additions and adjacent or related new construction will be undertaken in such a manner that, if removed in the future, the essential form and integrity of the historic property and its environment would be unimpaired.
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Community Benefit
Downtown Revitalization
As a leadership member of the countywide Siskiyou Revitalization Network (SRN), this project will showcase a direct investment in this effort for rural downtown redevelopment. Numerous studies demonstrate the positive externalities that occur in communities as more businesses relocate downtown. Centralizing Siskiyou County’s economic development resources improves their accessibility and visibility to the community, thereby increasing our community’s economic resilience. Examples of immediate benefits include businesses having an increased likelihood of utilizing the many valuable resources provided by the Small Business Development Center, tourists will have an easier time finding out information on what to do with their time in Siskiyou County, and local nonprofits will have dedicated space to plan and collaborate on projects that benefit the community.
Over time, the potential impact of this investment can be amplified by leveraging outside funds to significantly improve the Library. SEDC is uniquely advantaged within the community to be able to successfully leverage sufficient outside funds and can serve as the catalyst or force multiplier needed to stimulate further development in the area. Our capacity for fundraising would serve as a foundation example to create further incentives for redevelopment, encouraging more local investment in the community.
Asset Based Community Development (ABCD)
A critical component of Siskiyou County’s economic development strategy is accounting for the value of its existing assets. The remarkable natural beauty of Siskiyou County coupled with the storied history and rich cultural heritage of its communities should be fully utilized to expand the local economy, and the proposed use of the Yreka Carnegie Library directly supports that goal. Heritage tourism and outdoor recreation strengthens and diversifies the economy by attracting new residents and visitors, including entrepreneurs who may capitalize on the location to build or expand businesses. Trends in US Census data have shown that working professionals are increasingly moving to smaller towns, with quality of life concerns rank among the highest reasons. This strategic shift presents a multitude of advantages through achieving triple-bottom-line objectives that preserve natural resources, versus the declining extraction-based industries that traditionally supported Siskiyou County’s economy. Advancing the Yreka Carnegie Library as a strategic asset to support these sustainable development goals will be invaluable.
Alignment with Mission
The mission of SEDC is to facilitate business growth, retention and attraction to promote community prosperity in Siskiyou County. The key foundation of that mission is supported by building economic resilience throughout the community. Due to shifting industry changes that negatively impact Siskiyou County, such as the reduction of the timber industry, the success of this endeavor is significantly shaped by how effectively existing assets are leveraged to maximize impact and navigate changing conditions. Rehabilitating, emphasizing and building from the Yreka Carnegie Library employs an asset-based community development approach to help improve resilience.
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Maintenance Plan
The specific details of the maintenance plan will be determined by working alongside architects and engineers who will oversee a Historic Structure Report for the building. Upon detailed inspection of the building, an identification of defining elements of the historic character and a determination of the schedule for rehabilitation, an accurate maintenance plan can be devised. Expert guidance from preservation professionals is an indispensable component due to the advanced age of the Yreka Carnegie Library and the minimal expertise and experience held by SEDC in preservation. The following Goals, Exterior Building Components, and Interior Building Components sections comprise initial considerations for the overall maintenance plan.
While expert suggestions may either narrow or broaden the scope of future maintenance, the National Park Service of the US Department of Interior has published guidelines for the treatment, preservation and rehabilitation of historic buildings that informs this plan. There is an extensive catalog of preservation briefs that have been published for specific styles of workmanship, materials and techniques used in historic buildings to guide future maintenance work. It is to be expected that a combination of proactive and reactive measures will be taken based upon practicality, economic feasibility, and the specific materials used in the Library.
The initial rehabilitation efforts will address major structural, mechanical, and electrical issues to alleviate maintenance burdened by the existing systems. Priority, or a phased rehabilitation strategy may be utilized in the event of costs exceeding funding efforts. As demonstrated in past building ownership and the operational budget table, SEDC will have funds set aside for ongoing maintenance throughout its tenure.
Goals of the Maintenance Plan
Proactively preserve structural integrity and mitigate further material deterioration through rehabilitation
Upgrade/replace aging mechanical, electrical, HVAC and plumbing components Catalog features, materials and their respective maintenance protocols Utilize experts to identify best practices for maintaining historic workmanship, such as woodwork and masonry, that adds to the character of the building and requires extra care Identify potential problem areas that will require increased monitoring Develop schedules for routine inspection, monitoring and maintenance cycles (annual, biennial, 5+) and establish respective budget requirements Establish guidelines for maintaining health and human safety, for example the handling of building-specific hazardous materials, pests and other potential hazards Exterior Building Components
There are 5 key exterior building components within this general maintenance plan, with specificity for inspections and maintenance to be provided later within the Historic Structure Report. Roofs/Chimney
o Concerns: Maintaining adequate protection from rain and winter conditions. o Inspections: Observations of debris accumulation, physical damage and leaks should be met with immediate maintenance. Roof inspection will require a greater frequency than other building components, with routine seasonal inspections biannually. o Maintenance: Routine maintenance will include the removal of debris, repair of gaps and holes and replacement of roof tiles as needed. A special attention should be placed on preserving DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 99 of 157
exterior masonry and the aesthetic trim of the roof when cleaning gutters. Exterior Walls
o Concerns: Maintaining adequate protection from rain and winter conditions, pests, and decay. o Inspections: The relative sturdiness of the exterior walls should not detract from the importance of inspections in both dry and wet weather. Moisture patterns and any movements should be monitored, especially around joints, outlets, attachments and openings. o Maintenance: General maintenance will include washing the exterior walls, patching and painting. In the event of cracks, failures or moisture traps, the masonry may require repointing, replacement or patching.
Openings
o Concerns: Functioning openings are integral to building occupancy and security. This building feature undergoes the greatest day-to-day wear and tear and serves as the greatest risk of air and water infiltration in the building. The greatest concern is the flood risk in the basement from the opening in the exterior stairwell.
o Inspections: Wall openings, (windows and doors), should be inspected inside and out for water penetration, insect infiltration and animal entry. Each opening should be properly functioning, with frames that are tight and fully sealed. Warped frames that continue to function should be noted and monitored closely. Inspections should also entail the monitoring of any loose or decayed joints, misalignments, sagging, broken glass, peeling paint and corrosion/rust.
Basement inspections should occur in the event of rainstorms and subsequent flooding. o Maintenance: Windows should be cleaned regularly and checked for functionality in both wet and dry weather. In the event of broken or missing glass, replacement should occur immediately. All handles, locks, frames and perimeters should be repaired as needed. Weather stripping and storm panels must be in a state of good repair and replaced upon evidence of water infiltration.
Projections
o Concerns: There are numerous projections included in the historic design of the Yreka Carnegie Library that require extra care, as well as attached components that are exposed.
These include the front steps, railings, light fixtures, the front sign, basement entryway, generator, AC unit, fuel tank and power lines.
o Inspections: Visual inspections of degradation or damage should occur regularly, especially after significant weather events. The anchorage and structure of raised projections should be routinely inspected for corrosion and separation. A special attention should be placed upon the seals of any connections, such as on mechanical units.
o Maintenance: Repairs should occur as damages are noted. In the event of significant damage to seals or connections, replacements should occur immediately. Foundations/Perimeter Grades
o Concerns: The foundation and perimeter grades are integral to the structural function of the building. The most critical concern is that there is adequate drainage around and away the building to prevent moisture accumulation in the foundation, basement and crawlspaces. The basement entryway further complicates this concern.
o Inspections: All foundational inspections should occur in conjunction with those of the downspouts to ensure water is discharged sufficiently. Ventilation must be adequately monitored to deter mold and decay; inspections should look for any evidence of water damage, infestation or vegetation. The presence of standing water after storms may indicate drainage issues.
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o Maintenance: Drains should be frequently maintained and kept free of debris by cleaning and flushing to ensure no blockage. Insect inspections should occur annually, and vegetation should be removed upon observation. Evidence of moisture damage may require masonry repointing. Extra care should be placed upon snow and ice management. Excessive salts and chemicals can damage the masonry, as can blade-based snow removal tools. Parking Lot
o Concerns: Maintaining public access to the lot while preserving dedicated space to employees and visitors; fence on back of lot will need to be removed; repaving may be required; general beautification efforts and aesthetic improvements; managing right-of-way and vehicles as to not intrude or disrupt neighboring properties.
o Inspections: Lot should be monitored for cracks, potholes and other protrusions that could damage a vehicle or serve as a mobility hazard.
o Maintenance: Routine sweeping, cleaning and debris removal should occur regular. Damages to asphalt should be repaired in a timely manner and treated with sealants for inclement weather.
Interior Building Components
The primary focus of the interior maintenance will be centered around preserving the character defining elements of the Library. In supporting this effort, the following general approaches will be followed:
Configuration, Features and Finishes
o Concerns: Retaining as much of floor plan and historic configuration of the original ground floor.
This entails avoiding unnecessary cuts and alterations to the floor, walls and ceiling. Interior features and finishes, including woodwork, columns, windowpanes, masonry and other nonstructural components may require protection during rehabilitation. o Inspections: General visual inspections for damages or distortions should be made on an ongoing basis. This will be further directed by expert opinion on the Library’s materials. o Maintenance: Maintenance cycles for finishes, paint and other decorative features will be determined after an initial rehabilitation of the Library is complete. HVAC/Mechanical/Plumbing
o Concerns: Aging components may require retrofitting and/or replacement to ensure long-term functionality. Any new systems should minimize alterations Visible features of early mechanical systems that are character defining, such as vents, switchboards, grilles, plumbing fixtures and radiators, should be preserved throughout the installation and lifetime of new systems. o Inspections: The HVAC system will undergo annual inspections, plumbing will undergo biennial inspections, and electrical systems will undergo inspections every 5 years. o Maintenance: Routine maintenance will include cleaning, balancing, lubricating and part replacement as needed. All systems will follow manufacturer instructions for upkeep. Structure and Seismic Retrofit
o Concerns: There is a necessity to determine the structural soundness of the building and conduct a building code analysis within the Historic Structure Report. A structural review of the building will determine what deficiencies may exist within the structure and specify an evacuation plan. o Inspections: Regular inspections for moisture, corrosion, rot and rust should occur in conjunction with those of the external structure.
o Maintenance: Immediately address repairs as needed and provide additional braces or reinforcement features in the event of structural failures.
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Hazardous Building Materials
o Concerns: Portions of the basement and heating ducts are insulated with asbestos containing materials (ABT); a fuel tank buried on the east side of the building may require removal. o Inspections: The identification of hazardous building materials is required before any rehabilitation or maintenance work is completed in order to prevent disruption. Inspections, potentially followed by abatement measures, may also be required under California Environmental Quality Act (CEQA) and California Historic Building Code (CHBC) guidelines. o Maintenance: Future and ongoing maintenance work must ensure a minimal disruption of hazardous materials or the removal of hazardous materials. Thorough documentation of work completed should occur to monitor
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Achieving ADA Compliance
SEDC has taken the initial steps of determining how to meet American with Disabilities Act (ADA) and California Historic Building Code (CHBC) compliance by consulting with Garavaglia Architecture, a firm with Carnegie Library rehabilitation experience, on the most pragmatic strategies to do so. This strategy considers the current restrictions of the building in conjunction with its features permissive to modification in order to maximize accessibility while minimizing changes to the aesthetics.
Key Building Factors
The current restrictions in the Yreka Carnegie Library that should be factored include:
Access to the original ground floor, from both the front of the building and addition Access to the second floor of the addition
Restroom accessibility
Defining historic features that should be preserved/minimally altered Other critical components that should be included:
The access point for vehicles and currently accessible entrance is in the rear of the building The height and tread of the front steps inhibits a ramp The mezzanine steps in the front entrance further impedes access The overall budget for modifications
SEDC is exploring numerous options to alleviate these restrictions while restoring as much historic integrity of the building’s original configuration. The ultimate determinations will be made at the suggestion of our architectural team, our availability of funds, and any input from our Board of Directors.
After internal deliberations and significant research, SEDC is prioritizing accessibility and desires to see improvements made to the Yreka Carnegie Library that reach beyond the scope of what the minimum ADA requirements are. To comprehensively overhaul the facilities within the Library, SEDC will be requesting funding assistance from CDBG and establish separate budget requirements within the rehabilitation plan dedicated to accessibility provisions. This may fund modifications such as lifts, elevators, new restrooms and any modifications of stairs and walkways.
Desired Outcomes
The desired outcome is a completely accessible building for both visitors as well as employees, that does not leave people with disabilities feeling like they are receiving second-class treatment. The installation of accessibility features will be matched with aesthetic improvements, such as at the rear entrance of the building, so as to not detract from the experience we intend to provide visitors of the Yreka Carnegie Library. This outcome will demonstrate SEDC’s commitment to uplifting all members of our community through promoting inclusion at the core of our operations.
Fundraising Strategy
SEDC is actively pursuing numerous sources of grants from governments and private foundations to fund the rehabilitation of the Yreka Carnegie Library. This strategy encompasses both the immediate rehabilitation requirements as well as long-term improvements to be made in the future. The immediate goals of the fundraising strategy for rehabilitation are to support the professional consultation, necessary structural modifications and aesthetic improvements needed for occupancy. Due to past successes in fundraising efforts and its organizational capacity for grant management, SEDC has a measurable degree of confidence in the soundness of this strategy.
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Federal Assistance
SEDC has successfully applied for and received the Community Facilities Training and Technical Assistance grant for $28,000 from the US Department of Agriculture. This grant has funded a feasibility study conducted by SEDC to determine whether the Yreka Carnegie Library could fit its needs as a new headquarters and how it could further serve the community.
SEDC applied for the save America’s Treasures grant offered by the National Park Service in the amount of $500,000 in December of 2019 to fund the professional consultation services, planning, and initial steps for rehabilitation. SEDC will similarly apply to the Historic Revitalization Subgrant Program, also offered by the National Park Service, upon its posting in 2020 for $500,000.
Lastly, SEDC plans on working with the City of Yreka to pursue the Department of Housing and Urban Development’s Community Block Development Grant funding from California’s non-entitlement, rural jurisdiction allowance. Although the amount of this anticipated funding is currently undetermined, SEDC has a history of implementing over $3 million in CDBG funding and this project will be classified as a high priority in the City of Yreka’s 2020 application for funds.
Private Foundation Assistance
SEDC is utilizing its longstanding relationships with several local private foundations, the Shasta Regional Community Foundation and the Ford Family Foundation, to support the rehabilitation. Funding is offered through each foundation’s McConnell Fund and Community Building Spaces Program, for $50,000 and $250,000 respectively. SEDC is actively applying for these funding opportunities in anticipation of matching grant funds from NPS in 2020.
SEDC also plans on pursuing funding through organizations that it has an established funding history with.
SEDC maintains an outstanding track record of responsible fund management and project completion with numerous private funders, including the Pacific Power Foundation, Wells Fargo and the US Bank Foundation.
SEDC will explore these current opportunities offered and further leverage future opportunities as they arise.
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Long-Term Occupancy Plan
The eventual occupancy of the Yreka Carnegie Library itself will occur in several phases based upon the length of the rehabilitation workplan. SEDC maintains a high level of excitement to reopen the Library as soon as possible. This may include the option of occupying the building before every planned improvement is fully completed, a decision that will be made at the discretion of SEDC leadership. The plan for occupancy is divided into four phases and current estimations for the project once it is ‘shovel ready’ are 2-3 years: predevelopment; planning; rehabilitation; occupancy. Key activities in each phase include:
Project Development: Finalizing the acquisition of the Library, fundraising and selecting an architect and engineer. This will be followed by Drafting a Historic Structure Report, rehabilitation plan and architectural drawings.
Permitting: Permits and local contractors will be pursued. Construction/Rehabilitation: Construction of modifications, installation of ADA compliant features and refinishing of historic components.
Occupancy: Furnishing of new office spaces, installation of technological conferencing features and a gradual relocation of staff.
An estimated 3-year schedule of rehabilitation and occupancy is attached:
Month 1 2 3 4 5 6 7 8 9 10 11 12
Project Development- Phase I
Bid for Engineer/ Architect X X X
Engage Engineer/ Architect X X X
Historic Structure Report X X
Structural/ Seismic Review X X
Exisiting Conditions Survey X X
Building Systems Evaluation X X
Hazardous Material Assessment X X
Draft Plans/ ADA Modifications X X X
Review Plans X
Permitting - Phase II X
Application Period X
Permit Review/ CEQA X
Initial Building Inspection X
Bid for Contractor X X
Engage Contractor X X
Develop Construction Sequence X
Reporting/ Internal Evaluation X X X X
Quarter 2Q 3Q 4Q
Year 1 Annual
1Q
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Month 1 2 3 4 5 6 7 8 9 10 11 12
Construction- Phase III (cont)
Potential Schedule Overruns X X X X X X X X X
City Building Inspections X
Permit Renewal (if necessary) X X
Plan for Occupancy- Phase IV
Maintenance Plan Development X X X
Long Term Staffing/ Services X X X
Small Business Development Center
Requirements X X
Visitor Center Requirements X X
Siskiyou Jobs Council Requirements X X
Siskiyou Economic Development
Council Requirements X X
Occupancy- Phase V
Furnish/ Equip New Facilities X X X X
Transfer Office Materials/ Records X
Reopen Yreka Carnegie Library X
Reporting/ Internal Evaluation X X X X
Quarter
Year 3 Annual
1Q 2Q 3Q 4Q
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Staffing Plan and Operational Budget
Upon occupancy of the Yreka Carnegie Library, the building will serve as the headquarters for the Siskiyou Economic Development Council, Discovery Siskiyou, Small Business Development Center and their respective staffs. The majority of the staff (8 employees in total) will have permanent office space on the second floor of the addition to the Library, which will utilize a semi-shared/open floorplan to accommodate each team of staff.
There are also plans to accommodate a seasonal internship position for local students.
This work will follow the prescribed maintenance plan for the Yreka Carnegie Library and will be funded through a combination of income generated by the building in addition to contributions made by each tenant.
Financial management, bookkeeping and other accountant services for building management will be overseen by SEDC’s current bookkeeper and program analyst. In the future event that required upgrades, modifications or problems with the building occur carry significant costs, they must first be approved by SEDC’s Executive Director at the discretion of the Board of Directors.
A proposed operational budget with rough estimates is as follows:
Budget Assumptions
Funds will be set aside in reserve for building repairs and maintenance in excess of basic operations.
This budget does not account for rent savings of $15,000/year or the fees incurred for meeting room rentals.
This budget assumes property taxes are waived due to non-profit ownership. SEDC may invest up to $250,000 from prior real estate sales and/or incur debt for rehabilitation costs in excess of grant funds.
Income: Month Year
Rent 3 offices @$1.50/ sq.ft. $ 650.00 $ 7,800.00
Rent conference room rented
@$150/ day $ 450.00 $ 5,400.00
Rent day-use work space @$100/ month $ 300.00 $ 3,600.00 Totals: $ 1,400.00 $ 16,800.00
Expenses: Month Year
Staff time @50/ hr $ 250.00 $ 3,000.00
Janitorial $ 250.00 $ 3,000.00
Landscaping $ 250.00 $ 3,000.00
Utilities $ 250.00 $ 3,000.00
Insurance $ 250.00 $ 3,000.00
Internet/ Technology $ 100.00 $ 1,200.00
Supplies $ 50.00 $ 600.00
Totals: $ 1,400.00 $ 16,800.00
Carnegie Library Estimated Operating Budget
150.00
350.00
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Services Offered
The services offered will include those specific to each nonprofit organization headquartered at the Yreka Carnegie Library as well as amenities provided by the building itself.
SEDC: The mission of SEDC is to facilitate business growth, retention and attraction to promote community prosperity. SEDC pursues this mission by partnering closely with local governments, businesses and foundations to connect and leverage Siskiyou County’s resources in a cohesive strategy. SEDC offers a wide range of technical expertise, project management and coordination capabilities to its numerous partners that makes the City of Yreka and Siskiyou County more competitive and connected.
Discover Siskiyou: Discover Siskiyou is Siskiyou County’s premier organization for marketing and advocating for local tourism. Working closely with Visit California, the statewide tourism development organization, Discover Siskiyou partners with hotels and other tourism related businesses throughout Siskiyou County to increase the vibrancy of the tourism sector. Discover Siskiyou has demonstrated success contributing to the recent growth of tourism in Siskiyou County and offers numerous services to local businesses and tourists such as marketing, social media engagement and travel information.
SBDC: The Siskiyou Small Business Development Center is the product of a cooperative agreement between the US Small Business Association, Humboldt State University and SEDC. SBDC offers no-cost business consulting and low-cost training to entrepreneurs and businesses in Siskiyou County. This may also include opportunities for loans, marketing and technological assistance, management consulting and business plan development.
Building Amenities
Technologically enabled conference/meeting spaces available to rent Modern office space available to rent for coworking
‘Siskiyou Base Camp’ tourism information center and Siskiyou heritage displays Space to host collaborative work between regional partners, governments and local nonprofits
Hours of Operation
SEDC adheres to general All federal holidays will be observed, and regular hours of operation to be expected are:
Monday 8:30 a.m. – 5:00 p.m.
Tuesday 8:30 a.m. – 5:00 p.m.
Wednesday 8:30 a.m. – 5:00 p.m.
Thursday 8:30 a.m. – 5:00 p.m.
Friday 8:30 a.m. – 5:00 p.m.
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 108 of 157
Exhibit A-2
to
Carnegie Library Development Agreement
Deliverables
1. Architectural agreement.
2. Architectural drawings and specifications.
3. Engineering agreement.
4. Engineering plans and specifications.
5. Construction agreement.
6. Construction plans and specifications.
7. ADA compliance plans.
8. Initial and revised construction budgets.
9. Historic structure report.
10. Structural and seismic report.
11. Existing conditions survey.
12. Building systems evaluation.
13. Hazardous materials assessment.
14. Lease agreements with tenants.
15. Long-term maintenance plan.
16. Evidence of full Project funding.
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 109 of 157
Exhibit A-3
to
Carnegie Library Development Agreement
Purchase and Sales Agreement
This agreement is made as of the last date it is executed, by and between City of Yreka, California, a municipality ("Seller") and Siskiyou County Economic Development Council, a California nonprofit corporation ("Buyer").
This agreement is made with reference to the following facts:
A. Seller owns certain commercial premises formerly utilized as the City’s Police Station located at 412 W. Miner Street, Yreka, California; and
B. Buyer is desirous of purchasing the land and the building to renovate it to effectuate its rehabilitation and occupation to promote downtown revitalization, benefit local business, and support visitor services; and
C. Seller and Buyer have, concurrently herewith, executed that certain Carnegie Library Development Agreement setting forth their agreements regarding the renovation of the building, to which this agreement is attached and into which this agreement is incorporated (the “Development Agreement”).
1. Agreement To Sell and To Purchase; Description of Property
On the terms contained herein, Seller agrees to sell and Buyer agrees to purchase certain improved real property in the County of Siskiyou, State of California, all commonly referred to as 412 W. Miner Street, Yreka, California (referred to in this agreement as "the Property").
2. Property Taken “As Is.”
In consideration of the low purchase price and Buyer's familiarity with an opportunity to fully inspect the Property, Buyer takes the Property and title to it “as is" and Buyer waives any and all remedies it may have resulting from the failure of Seller to disclose to Buyer defects in title or the Property as required by California Civil Code §1102 et seq., by any other provisions of law, or which may exist in order to avoid fraud, misrepresentation, or deceit in this transfer transaction. Buyer assumes and shall bear the risk attendant with the condition of the Property and hereby waives the right to assert any cause of action related thereto.
Buyer acknowledges that Buyer is purchasing the Property solely in reliance of Buyer's own thorough investigation of the Property, and that no representations or warranties of any kind whatsoever, express or implied, have been made by Seller, or Seller’s agents or brokers, if any. Buyer further acknowledges that as of the close of escrow Buyer will be aware of governmental requirements, site and physical conditions, and other matters affecting the use and condition of the Property to Buyer’s satisfaction and agrees to purchase the Property in the condition that it is in at close of escrow.
Buyer further agrees to hold Seller free and harmless from any latent or patent defects now existing, or hereafter discovered, respecting the Property and its improvements, if any.
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In this respect, since this is a commercial transaction for premises not to be utilized for residential dwellings, to the extent lawful, Buyer waives any requirement for Seller to provide Buyer with any of the following disclosures:
• The California Environmental Protection Agency pamphlet entitled: Residential Environmental Hazards Guide and reports, together with its 2011 update; • The United States Environmental Protection Agency pamphlet entitled: Protect your family from lead in our home;
• The State of California Seismic Safety Commission pamphlet entitled: Homeowner guide to earthquake safety;
• The California Energy Commission pamphlet entitled: HERS – what is your home energy rating;
• The advisability of Title Insurance warning required by California Civil Code §1057.6. • The Airport in Vicinity report as required by California Civil Code §1103.4(c)(1); • The carbon monoxide and detector disclosure statement and all compliance thereto California Civil Code §1102.6;
• The Commercial Property Owner’s Guide to Earthquake Safety as required by Cal. Bus. & Prof. Code § 10147, Cal. Gov’t Code §§8875.6, 8875.9, 8893.2, 8893.3 and Cal. Civ. Code §2079.9.
• Any disclosures of a death on the premises within the last three years as required by California Civil Code §1710.2;
• Energy Use Report as required by California Public Resources Code §25402.10 and C.C.R. §§1680, 1684;
• The Farm or Ranch Proximity report and Siskiyou County’s Right to Farm Ordinance, if any; • The flood disaster insurance requirements as required by 42 U.S.C. §5154(a). • The Gas and Hazardous Liquid Transmission Pipeline Notice as required by California Civil Code §2079.10.5
• The Industrial Use Zone Location disclosures California Civil Code §1102.17 and California Code of Civil Procedure §731(a);
• The lead-based Paint Pamphlet and Form;
• Any disclosure of known material facts relating to the Premises; • The Megan’s Law Disclosure relating to the location of sex offenders; • Mello-Roos, 1915 Bond Assessments, and voluntary contractual assessments, if any; • The disclosure of any Meth Lab Clean-Up Orders;
• Any disclosures of military ordinance locations;
• Any disclosures of mining operations;
• Any disclosure of excessive mold or health threat;
• Any compliance to install smoke alarms and its written statement of compliance; • Any disclosure of State Fire Hazard Responsibility Areas; • Any notices regarding possibility of the levy of Supplemental Property Taxes after transfer; • All notices and disclosures regarding Subdivided Lands Laws and the Subdivision Map Act; • Any disclosure of very high fire hazard severity zones; • Any compliance with the replacement of noncompliance (not water conserving fixtures) plumbing fixtures and the disclosures relating thereto.
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Notwithstanding the foregoing, Seller shall provide Buyer, at Buyer’s expense, within fifteen (15) days following the opening of escrow (i) a Natural Hazard Disclosure Statement as required by California Gov’t Code §§ 8589.4, 8589.5; and California Civil Code §1103 (including the Earthquake Fault Zone information, Area of Potential Flooding), as well as (ii) the statement required by California Health and Safety Code §25359.7 regarding hazardous substances on the Property.
3. Condition; Buyer's Approval of Onsite Investigation and Tests
Within one (1) year following the effective date of this agreement (the “Inspection Period”), Buyer shall have the right to conduct any inspections, tests or surveys or other studies of the Property (“Inspections”) that Buyer deems appropriate to its decision to consummate the purchase. Buyer, Buyer's representatives or its authorized agents may enter on the Property to make tests, surveys, or other studies of the Property as long as Buyer pays for all such tests and studies, keeps the Property free and clear of any liens, repairs all damage to the Property, and indemnifies, protects, holds harmless, and defends Seller from and against all liability, claims, demands, damages, or costs of any kind whatsoever (including attorney fees) arising from or connected with the Inspections. Buyer shall have until thirty (30) days after the end of the Inspection Period to deliver to Seller a disapproval notice (“Inspection Notice”) stating that Buyer's inspection of the Property has disclosed a defect and describing the defect with reasonable particularity. Failure to so notify Seller shall conclusively be considered approval. Seller shall have sixty (60) days to remedy all defects set forth in any Inspection Notice.
In the event Seller cannot or will not remedy any such defect, Buyer shall have the right, upon written notice to Seller, to terminate this agreement and the Development Agreement with no further liability on the part of either party.
4. Price, Payment and Allocation
The total purchase price for the Property is One Hundred Eighty Thousand Dollars ($180,000) payable by Buyer to Seller as follows. The purchase price shall be evidenced by a promissory note in the form attached hereto and incorporated herein as Exhibit “A” accruing interest on the unpaid principal balance at the Internal Revenue Service’s imputed interest rate at the time of the close of escrow. That rate is presently 4.6% per annum. The promissory note shall be secured by a Deed of Trust nominating City as the beneficiary. The principal and accrued interest shall be divided into ten annual payments, due in arrears. The annual payment shall be forgiven for the payment due whenever Buyer shall have conformed to the objectives and goals Buyer set out in its January 15, 2020 Proposal for the Purchase of Historic Property Carnegie Library, 412 Miner Street, City of Yreka, California (the “Proposal”). The purchase price shall be allocated as the parties may mutually agree. In the event that Buyer has not, in City’s sole and reasonable discretion, complied with the goals and objectives of the Proposal, as set out in the Services In Lieu Payment Report attachment incorporated in the promissory note that payment shall be due as set out in the note. Compliance with the Proposal’s commitments as set forth in Services In Lieu Payment Report shall be a material term of the note and failure to comply for two successive years shall constitute an event of default resulting in a trustee’s sale or judicial sale in City’s discretion. This provision shall survive the close of escrow.
Buyer and Seller each acknowledges that the amount of purchase price allocated to the Property represents the fair market value of the assets, determined pursuant to arm’s length negotiation. They further acknowledge that a qualified adviser has explained the tax consequences of these allocations to them. Buyer and Seller each agrees to report the sale of the Property for income tax purposes according to the allocations set forth herein.
Buyer shall be responsible for the payment of all sales tax liability due the Board of Equalization as a result of personal property transferred in this transaction, if any.
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5. Escrow
This sale shall be consummated through an escrow established by Buyer with Mt. Shasta Title and Escrow Company within ten (10) days of the mutual execution of this agreement. It is anticipated that the closing date for the escrow will be no later than sixty (60) days from the fulfillment of the Purchase Conditions (as defined herein below). Escrow shall be considered opened when Buyer deposits a fully executed copy of this agreement with escrow holder and "close of escrow" shall be when the grant deed to the property is recorded.
For purposes of this agreement, “Purchase Conditions” shall mean (i) Buyer’s acquisition of funds necessary to fully rehabilitate and occupy the Property in accordance with the Proposal and the Development Agreement of at least $1.075 million, as may be revised in Buyer’s discretion, (ii) Seller’s issuance of a building permit for the Project as defined in the Development Agreement, (iii) this agreement and the Development Agreement are in full force and effect and have not expired or been terminated by either party, and (iv) no grant or other funding source of Buyer requires Seller to continue to hold fee title to the Property. Unless and until ALL of the foregoing Purchase Conditions are fulfilled, Buyer shall have NO obligation to purchase the Property.
Within reasonable times following escrow holder’s request, each party shall execute and deliver to the escrow holder its written instructions consistent with the terms of this agreement and shall provide the escrow holder with such other information, documents, and instruments as the escrow holder may reasonably require to enable it to close the transactions on the closing date.
If the designated escrow holder should be unable or unwilling to act, Seller shall designate another escrow holder subject to Buyer's approval, which shall not be unreasonably withheld.
6. Vesting Title
On close of escrow, title shall vest in Buyer or another entity as directed by Buyer pursuant to the terms of the Development Agreement.
7. State of Title Evidenced by Title Insurance
Buyer, at its own cost, shall provide itself with a preliminary title report within fifteen (15) days after the opening of escrow for Buyer’s review and approval.
At the close of escrow, Seller shall convey, by grant deed, to Buyer or Buyer’s permitted designee full fee title to the Property.
Seller shall, at its own cost procure for Buyer’s benefit an American Land Title Association standard owner’s policy of title insurance in the amount of the purchase price together with an ALTA Loan Policy-Extended (or such policy as is required by Buyer’s financing institution) to be issued by First American Title Insurance Company showing title vested as Buyer directs with only those exceptions shown on the preliminary title report and approved by Buyer. American Land Title Association is to be able to issue its standard Owner’s policy of title insurance dated as of the close of escrow, on its usual form, with liability not less than the purchase price, covering the Property, showing title vested in Buyer or its designee, and showing as exceptions only current real property taxes, not yet delinquent, and any exceptions to title that Buyer has approved.
Buyer shall have sixty (60) days following receipt of the preliminary title report to deliver to Seller a disapproval notice (“Title Notice”) stating that Buyer's review of the preliminary title report for the Property has disclosed a defect or unacceptable exception and describing the defect or exception with reasonable particularity. Failure to so notify Seller shall conclusively be considered approval. Seller shall have sixty (60) DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 113 of 157
days to remedy all defects and remove all exceptions set forth in any Inspection Notice. In the event Seller cannot or will not remove any such title defect, Buyer shall have the right, upon written notice to Seller, to terminate this agreement and the Development Agreement with no further liability on the party of either party hereunder.
8. Proration of Taxes, Insurance, and Interest
Real property taxes, interest on assessments assumed by Buyer, and interest on any indebtedness secured by any deed of trust to remain on the Property shall all be prorated as of the closing date on the basis of a 30-day month. Assessments of record shall be assumed by Buyer. Any supplemental tax bill shall be prorated between the parties outside of escrow with Seller paying any additional taxes assessed for any period before close of escrow and Buyer paying the taxes for any period after the close of escrow.
9. Closing Costs
Buyer shall pay all costs and expenses of clearing title.
Buyer shall pay the premium for the lender’s title insurance policy (if any), the Lender’s tie in fees, and all of the recording fees, fees for preparing, executing, acknowledging, and delivering the grant deed, the premium for the owner’s title insurance policy, the escrow fees and charges, the recording fees, and the documentary transfer taxes.
10. Notices
All notices to be sent pursuant to this agreement shall be made in writing and sent to the parties at their respective addresses specified below or to such other address as a party may designate by written notice delivered to the other party in accordance with this Section. All such notices shall be sent by: (i) personal delivery, in which case notice is effective upon delivery; (ii) certified or registered mail, return receipt requested, in which case notice shall be deemed delivered on receipt if delivery is confirmed by a return receipt; or (iii) electronic communication, in which case notice is effective on the next business day following the send.
If to Buyer: Siskiyou Economic Development Council
1512 South Oregon Street
Yreka, California 96097
Attn: Executive Director
Email: [email protected]
If to Seller: City of Yreka
701 Fourth Street
Yreka, California 96097
Attn: City Manager
11. Timely Performance
Time is of the essence of this agreement, and failure to comply with this provision shall be a material breach of this agreement.
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12. Effect of Waiver of Provision on Remedy
No waiver by a party of any provision of this agreement shall be considered a waiver of any other provision or any subsequent breach of the same or any other provision, including the time for performance of any such provision. The exercise by a party of any remedy provided in this agreement or at law shall not prevent the exercise by that party of any other remedy provided in this agreement or at law.
13. Assignment by Buyer
Buyer may not assign this agreement without Seller's prior written consent, which shall not be unreasonably withheld.
14. Integration Clause
This agreement constitutes the entire agreement between the parties with respect to its subject matter and supersedes all prior discussions, negotiations, and agreements whether oral or written. Any amendment to this agreement, including any oral modification supported by new consideration, must be reduced to writing and signed by both parties before it will be effective.
15. Counterparts
This agreement and all amendments and supplements to it may be executed in counterparts, and all counterparts together shall be construed as one document.
16. Binding on Successors
This agreement inures to the benefit of, and is binding on, the parties and their respective representatives, successors, and assigns.
17. Captions and References
The caption headings of the various paragraphs of this agreement are for convenience only and shall not be considered to limit, expand, or define the contents of the respective paragraphs.
Masculine, feminine, or neuter gender references, and use of the singular and/or plural herein shall each be considered to include the other whenever the context so requires.
18. No Representation Regarding Legal Effect of Document
No representation, warranty, or recommendation is made by Seller or its respective agents, employees, or attorneys regarding the legal sufficiency, legal effect, or tax consequences of this agreement or the transaction, and each signatory is advised to submit this agreement to its respective attorney before signing it.
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19. Governing Law
This agreement and the legal relations between the parties shall be governed by, interpreted and construed in accordance with the laws of the State of California according to its fair meaning, and not in favor of or against any party.
20. Signatures
The signatures on this agreement shall be deemed the required and fully authorized signatures of the parties and the express agreement of each party to the terms contained herein. No separate execution of this agreement shall be required to make it valid.
SELLER:
EXECUTED on _______________________, 2023, at Yreka, California.
Attest:
Name: Jason Ledbetter Name: Rhetta Hogan
Title: City Manager, Title: City Clerk
City of Yreka, California City of Yreka, California
BUYER:
EXECUTED on , 2023, at Yreka, California.
Attest:
Name: Mark Klever Name: Louie Dewey
Title: President Title: Secretary
Siskiyou County Economic Development Siskiyou County Economic Development Council Council
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 2/8/2023
2/9/2023
November 7, 2023 Yreka City Council Agenda 116 of 157
Exhibit “A”
To
Purchase and Sales Agreement
PROMISSORY NOTE
SECURED BY DEED OF TRUST ON REAL PROPERTY
$180,000 Yreka, California __________________
DATE OF NOTE IS
CLOSING DATE
1. Borrower's Promise to Pay Principal and Interest; Maturity: For value received, the undersigned, SISKIYOU COUNTY ECONOMIC DEVELOPMENT COUNCIL, a 501(c)(4) California nonprofit corporation (hereinafter "Borrower"), promises to pay to the CITY OF YREKA (hereinafter "Lender"), or order, at the place designated by the Holder hereof ("Holder"), the principal sum of One Hundred Eighty Thousand Dollars ($180,000.00), with interest from the date of this Note on the unpaid principal balance at the Internal Revenue Service’s imputed interest rate (AFR) in effect on the date of this note, per annum, which is, as of January, 2023, 4.6% per annum, and Borrower and Lender hereby agree that the interest rate of this note as of its date shall be 4.6% per annum.
Beginning on the first anniversary of this Note, and continuing on the same day of each year thereafter for ten (10) successive years (at which time this Note shall mature and all outstanding principal and interest shall be fully due and payable), Borrower shall pay annual installments, in arrears, of amortized principal and interest, each in the amount of Twenty-Two Thousand Eight Hundred Sixty Dollars and 17 cents ($22,860.17), or Borrower shall submit the annual Services In Lieu Payment Report as set forth in Exhibit “A” attached hereto and incorporated herein (“SILP Report”) to Lender. Borrower agrees that this Note is not subject to the call notice requirements contained in California Civil Code §§2924i and 2966. Whenever Borrower elects to submit the SILP Report it shall be submitted to Lender at least thirty days prior to the annual payment’s due date. If Lender agrees that the SILP Report demonstrated 100% compliance with Borrower’s SILP obligations, that annual installment payment shall be forgiven. If, however, Lender, in its sole and reasonable discretion, believes Borrower has not met the criteria set forth in the SILP Report, Lender shall give written notice (a “Noncompliance Notice”) to Borrower within thirty (30) days following delivery of the SILP Report, which notice shall set forth a explanation of the facts upon which Lender’s opinion is based. Upon receipt of a Noncompliance Notice, Borrower shall have thirty (30) days to remedy Lender’s concerns as set forth in the notice, in the event of Borrower’s cure of Lender’s concerns that annual installment shall be forgiven. If Borrower is unable to remedy such noncompliance, Borrower shall pay the annual installment within fifteen (15) days following the Lender’s notice to Borrower that the installment remains due and payable. Lender’s City Manager is vested with all discretion in evaluating compliance with Borrower’s SILP obligations. Amortization of principal and interest is shown in Exhibit “B” of this Note.
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Borrower represents and warrants to Lender that the proceeds of the loan evidenced by this Note shall be used for business, commercial investment, or other similar purposes, and that no portion of the proceeds will be used for personal, family or household purposes.
2. Crediting of Payments: Except as expressly provided to the contrary herein, each payment received by Lender shall be credited as of its date of receipt by Lender, first to interest then due and the remainder to principal, and interest shall cease upon the principal so credited as of the date that such credit is made.
3. Security: This Note is secured by a Short Form Deed of Trust and Assignment of Rents (the "Deed of Trust"), in the standard form utilized by the escrow agent securing the promissory note by that certain real property in the City of Yreka, County of Siskiyou, State of California commonly known as the “Carnegie Library Building” located at 412 West Miner Street (the “Property”). The Holder of this Note will also be entitled to the benefits provided in such Deed of Trust to Lender and as provided by law.
4. Acceleration on Default: Should default be made in (i) the payment of any installment or any part of the principal or interest under this Note when due, (ii) Borrower satisfactorily addressing Lender’s concerns as set forth in Noncompliance Notices for two (2) successive years, or (iii) any provision or condition contained in this Note or in the Deed of Trust securing this Note (a "Default"), the whole sum of principal and interest then due under this Note shall become immediately due at the option of Lender and regardless of any prior forbearance.
Lender agrees to give Borrower a five (5) day prior written notice to cure any Default prior to accelerating this Note. Said written notice shall set forth the amount due or other action necessary to cure the Default, and said Notice is to be sent certified mail, return receipt requested to Borrower's address at 412 Miner Street, Yreka, California 96097, or such other address as Borrower may provide to Lender by certified mail, return receipt requested.
5. Late Payment Charge: If any payment of principal or interest due under this Note shall not be received within ten (10) days after the date due, a late charge of six percent (6%) of the overdue amount may be charged by Lender. Borrower agrees that such late payment charge represents a reasonable sum for the purpose of defraying Lender's expenses incident to handling such delinquent payments considering all of the circumstances existing on the date of this Note, and further represents a fair and reasonable estimate of costs that may be sustained by Lender due to the failure of Borrower to make timely payments. The parties to this Note further agree that proof of actual damages would be costly or inconvenient. Such late charge shall be paid without prejudice to the right of Lender to collect any other amounts provided to be paid or to declare a default under this Note or under the Deed of Trust securing this Note, or from exercising any other rights or remedies of Lender.
6. Prepayment Allowed: Borrower may prepay this Note in whole or in part at any time without penalty by paying to Lender the remaining principal balance on account.
7. Acceleration: This Note shall be immediately due and payable upon the sale, conveyance, transfer or divestiture of fee title to the Property, whether voluntary or involuntary, and without demand or notice.
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8. Attorney's Fees and Costs of Collection¨: Borrower agrees to pay all attorney's fees and costs of collection, including, but not limited to, the following costs, expenses and attorney's fees paid or incurred by Lender, or adjudged to be due by any court: (i) reasonable costs of collection, costs and expenses and attorney's fees paid or incurred in connection with the collection or enforcement of this Note or the Deed of Trust, whether or not suit is filed; and (ii) costs of suit and such sum as the court may adjudge as attorney's fees in the action to enforce payment of this Note or the Deed of Trust which secures it, or any part thereof.
9. Certain Waivers: Except as otherwise set forth herein, Borrower and Borrower's successors and assigns waive diligence, grace, demand, presentment for payment, protest, notice of protest, notice of dishonor, notice of demand, notice of nonpayment, and any and all exemption rights against the indebtedness evidenced by this Note, and Borrower’s successors and assigns agree to the acceptance, release, and substitution of security for this Note, any and all extensions or renewals from time to time made without notice and to any partial payments of this Note made before or after maturity, and that no such extension or partial payment shall release any of them from the obligation of payment of this Note or any installment of this Note.
10. Miscellaneous Provisions:
a. Assignment by Lender and Holders: Lender and any Holder of this Note shall have the right to sell, assign or otherwise transfer, either in part or in its entirety, this Note or the Deed of Trust, and any other instrument evidencing or securing the indebtedness of this Note without Borrower's consent.
b. Successors and Assigns: This Note and all of the covenants, promises, and agreements contained in it shall be binding on and shall inure to the benefit of the respective legal and personal representatives, devisees, heirs, successors and assigns of Borrower and Lender. c. Forbearance Not a Waiver: No delay or omission on the part of Lender in exercising any rights under this Note or under the Deed of Trust or any other security agreement given to secure this Note, on default by Borrower, shall operate as a waiver of such right or of any other right under this Note or other agreements, for the same default or any other default. Holder shall similarly have the right to deal in any way, at any time, with one or more of the foregoing parties without notice to any other party, and to grant any such party any extensions of time for payment of any of the indebtedness, or to grant any other indulgences or forbearances whatsoever, without notice to any other party and without in any way affecting the personal liability of any such party. d. Payment in U.S. Dollars: Principal, interest and charges are payable in lawful money of the United States.
e. Governing Law: This Note shall be construed and enforceable according to the laws of the State of California for all purposes.
f. Waiver of Statute of Limitations: The pleading of any statute of limitations as a defense to the obligations evidenced by this Note or the Deed of Trust which secures it are waived to the fullest extent permissible by law.
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g. Severability: If any portion of this Note, or the application of it to any party or circumstance, is held to be invalid, the remainder of this Note, and the application of such provision to other parties or circumstances, shall not be affected thereby, the provisions of this Note being severable in any such instance.
h. Time of the Essence: Time is of the essence for each and every obligation under this Note.
IN WITNESS WHEREOF, Borrower has duly executed and delivered this Note to Lender, effective as of the date first above written, after having reviewed the terms and conditions of this Note and been advised by legal counsel.
BORROWER:
Siskiyou County Economic Development Council
By____________________________________
Mark Klever, President
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 120 of 157
EXHIBIT “A”
to
Promissory Note Secured by Deed of Trust on Real Property
SERVICES IN LIEU PAYMENT REPORT
(100 points required annually for compliance)
A. Completion Yreka Carnegie Construction/Renovation/Rehabilitation Plan:
Benchmark: Occupancy (25 points - annually)
B. Implementation of Yreka Carnegie Adaptive Reuse Strategy:
The Yreka Carnegie Library adaptive reuse plan specifies the facility will serve the community as a basecamp for local businesses, tourists, and economic development services by centralizing the region’s/community’s economic development resources in the building as a place-based location:
a. Tourism: -Discover Siskiyou
Discover Siskiyou will operate a consumer-facing location to offer visitors unprecedented access and engagement with Discover Siskiyou, the county’s official destination marketing organization.
Benchmarks:
- Investment in tourism marketing (15 points)
- Annual marketing plan (15 points)
b. Business services: -Small Business Development Center The Siskiyou Small Business Development Center (SBDC) will utilize meeting space and technology to provide services directly benefitting businesses.
Benchmarks:
- Businesses served (15 points)
- Technical assistance hours provided (15-25 points)
c. Economic Development Services: Siskiyou Economic Development The Siskiyou Economic Development Council (affiliates) will provide a premier, professional, community-facing location that showcases the SEDC’s work and services.
Benchmarks:
- Investment in professional economic development services (30 points) - Annual progress report (15 points)
d.Downtown Revitalization: Community Access/ Building Amenities The Carnegie reuse will provide space to host collaborative work between regional partners, governments, and local nonprofits; provide modern office space available to rent for co-working; and provide technologically enabled conference/meeting spaces available to rent.
Benchmarks:
- Annual activity report including number and type of events, meetings, hours of operation, maintenance/facility improvements, etc. (15-40 points)
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 121 of 157
Exhibit B
Amortization of Principal and Interest
Amortization Schedule
$180,000.00 Loan with Annual Payments 4.6% Interest Rate Compounded Annually
Annual Payment of $ 22,860.17 for 10 Years
Year Payment Principal Paid Interest Paid Remaining Balance 2024 $ 22,860.17 $ 14,580.17 $ 8,280.00 $ 165,419.83
2025 $ 22,860.17 $ 15,250.86 $ 7,609.31 $ 150,168.97
2026 $ 22,860.17 $ 15,952.40 $ 6,907.77 $ 134,216.57
2027 $ 22,860.17 $ 16,686.21 $ 6,173.96 $ 117,530.36
2028 $ 22,860.17 $ 17,453.77 $ 5,406.40 $ 100,076.59
2029 $ 22,860.17 $ 18,256.65 $ 4,603.52 $ 81,819.94
2030 $ 22,860.17 $ 19,096.45 $ 3,763.72 $ 62,723.49
2031 $ 22,860.17 $ 19,974.89 $ 2,885.28 $ 42,748.60
2032 $ 22,860.17 $ 20,893.73 $ 1,966.44 $ 21,854.87
2033 $ 22,860.19 $ 21,854.87 $ 1,005.32 $ .0
Totals $ 228,601.72 $ 180,000.00 $ 48,601.72
DocuSign Envelope ID: ADE8E507-77CA-495C-9FC4-007E7DFAFA00 November 7, 2023 Yreka City Council Agenda 122 of 157
CITY COUNCIL AGENDA MEMORANDUM
TO: Yreka City Council
FROM: Jason Ledbetter, City Manager
AGENDA TITLE: 16th Annual Read Across Siskiyou Event
MEETING DATE: November 7, 2023
Recommended City Council Action: Motion to Approve the Proclamation of the 16th Annual Read Across Siskiyou event.
Discussion:
Siskiyou First 5 is excited to have the City of Yreka adopt the proclamation endorsing the importance of early literacy, daily reading, singing, and playing with children as a critical foundation for healthy development and life-long success.
The 16th annual “Read Across Siskiyou” will feature reading events with local officials and community members in all corners of Siskiyou County on Wednesday, November 8th, 2023. This year's selected book is Pig the Winner, by Aaron Blabey.
Fiscal Impact:
None
November 7, 2023 Yreka City Council Agenda 123 of 157
Siskiyou County
PROCLAMATION of the 16th ANNUAL “READ ACROSS SISKIYOU” event Sponsored By First 5 Siskiyou Children and Families Commission WHEREAS, the ultimate goal of the First 5 Siskiyou Children and Families Commission is that all of Siskiyou’s children from prenatal through 5 years of age will be healthy, ready to learn, and supported in safe, nurturing families and communities; and WHEREAS, children in Siskiyou County from prenatal through 5 years of age have a successful start in life through daily reading with supportive and nurturing families, caregivers, educators and community leaders; and WHEREAS, early literacy is the foundation for academic, social emotional, and economic success; and WHEREAS, First 5 Siskiyou, in partnership with Siskiyou County Library and the Family/ Community Resource Centers, dedicates one day each year to promote early literacy by providing the same titled book to be read by guest readers to children in various preschools, kindergartens, child care settings, libraries and online events throughout Siskiyou County on the same day and provide each child with a copy of that book to take home.
THEREFORE, the City of Yreka hereby proclaims November 8 2023 as the 16th anniversary of “Read Across Siskiyou” and be it that this body enthusiastically endorses daily reading, singing and playing with children as a critical foundation for healthy development and life long success.
Signed:_____________________ Date:_____________________ Corey Middletown
Mayor, City of Yreka
November 7, 2023 Yreka City Council Agenda 124 of 157
From: Allison
To: Jason Ledbetter
Cc: Rhetta Hogan; Yreka Gorman; Dori Reynolds; Karen Pautz Subject: Re: Request for City of Yreka Council Meeting on Nov 7 Read Across Siskiyou Date: Thursday, October 12, 2023 12:01:59 PM
Attachments: 11-7-2023 Yreka Proclamation RAS .pdf
Hi,
Please see the attached proclamation. We can bring a copy to be signed.
Thank you.
Allison
-----Original Message-----
From: "Jason Ledbetter" <[email protected]>
Sent: Friday, September 22, 2023 7:59am
To: "Allison" <[email protected]>, "Rhetta Hogan" <[email protected]>
Cc: "Yreka Gorman" <[email protected]>, "Dori Reynolds" <[email protected]>, "Karen Pautz" <[email protected]> Subject: Re: Request for City of Yreka Council Meeting on Nov 7 Read Across Siskiyou
Rhetta,
Please put a placeholder for the Read Across Siskiyou Proclamation for 11.7.
Allison,
Can we get a copy for the published agenda. Thank you
Jason Ledbetter
City of Yreka | City Manager
701 4th Street, Yreka, Ca 96097
(530) 841-2386
From: Allison <[email protected]>
Sent: Thursday, September 21, 2023 5:28 PM
To: Jason Ledbetter <[email protected]>
Cc: Yreka Gorman <[email protected]>; Dori Reynolds <[email protected]>; Karen Pautz <[email protected]>
Subject: Request for City of Yreka Council Meeting on Nov 7 Read Across Siskiyou Dear Jason,
We at First 5 Siskiyou kindly request to be on the agenda for the City of Yreka Meeting on:
November 7, 2023 Yreka City Council Agenda 125 of 157
Tuesday, November 7, 6:30pm
We are excited to have the City of Yreka adopt the proclamation endorsing the importance of early literacy, daily reading, singing, and playing with children as a critical foundation for healthy development and life-long success.
The 16th annual “Read Across Siskiyou” will feature reading events with local officials and community members in all corners of Siskiyou County on Wednesday, November 8th, 2023. This year's selected book is Pig the Winner, by Aaron Blabey.
We will bring a printed proclamation to be signed as well as a copy of the book for each council member. If any of the staff would like a book to take home too, let us know how many more to bring.
Thank you,
Allison
November 7, 2023 Yreka City Council Agenda 126 of 157
CITY COUNCIL AGENDA MEMORANDUM
TO: Yreka City Council
FROM: Jason Ledbetter, City Manager
AGENDA TITLE: Letter of Support for Siskiyou County Gold Collection Display MEETING DATE: November 7, 2023
Recommended City Council Action: Motion to Approve the City of Yreka’s Letter of Support for the Siskiyou County Re-Display of the County’s remaining Gold Collection.
Discussion:
Mike Grifantini and Bob Kaster spoke to the City Council on October 3, 2023, to garner support for displaying the Siskiyou County’s remaining gold collection. This evening, they are seeking your support in asking the County to consider re-displaying the remaining gold and to enlist a citizen group to help with the project.
Fiscal Impact:
None
November 7, 2023 Yreka City Council Agenda 127 of 157
City of Yreka
701 Fourth Street • Yreka, CA 96097
(530) 841-2386 • FAX (530) 842-4836
Board of Supervisors, Siskiyou County
Yreka, CA
Siskiyou County Supervisors:
Several weeks ago, Bob Kaster and Mike Grifantini provided Public Comments at a Yreka City Council meeting. They brought up the issue of the remaining County gold collection and what should be done with it in the future. Apparently, they suggested, a portion of the original collection still exists (after the tragic heist more than a decade ago).
They stated that the gold display was a point of pride for Yreka and Siskiyou County.
They also suggested that if the remaining gold were to be re-displayed it might be a significant tourist draw.
The City Council believes that their proposal has some merit. However, it appears that a number of potential logistical issues would need to be addressed before the gold collection could be displayed: Where would the display be located? How would it be protected? Who would be responsible for overseeing and curating the display? Where would the funds come from to pay for all of the potential costs? The City of Yreka believes that analyzing these re-display questions would provide an excellent opportunity for local citizens, the City of Yreka and the County to work together to develop possible alternatives. An ad hoc working group might be recruited to consider the display issues and to make recommendations.
The County should keep in mind that the gold heist took place more than twelve years ago. During that time the citizens of the county have not been able to see the remaining pieces or have a chance to discuss with the County what the collection’s disposition should be. This situation has the potential to foster conspiracy theories, which we are sure is not to the citizen’s or County’s best interest.
Please accept this suggestion that the County consider re-displaying the remaining gold and to enlist a citizen group to help decide how that may best be done.
Sincerely,
Mayor Corey Middleton, Mayor
Yreka City Council
November 7, 2023 Yreka City Council Agenda 128 of 157
1 Rhetta Hogan
From: Mike Grifantini <[email protected]>
Sent: Tuesday, October 24, 2023 9:05 AM
To: Rhetta Hogan
Subject: Fw: Draft Letter of Support for County Re-display of Gold Collection Attachments: City Council Letter.docx
Hello Rhetta--Bob Kaster and I made presentations before the City Counil several weeks ago. We asked for City support to have the County re-display the gold collection that used to be housed in the old Courthouse.
I have been communicating with Jason regarding this matter and he asked us to write a Draft letter of City support.
When I recently sent him the draft, I received an automated message that he would be away from his office until a date that was in the past! So, I assume that he forgot to update the date. Anyway, not knowing how long Jason will be gone and if you were asked to deal with this issue in his absence, I am sending the Draft letter of support to you (see attachment).
Thank you,
Mike Grifantini
530-710-4882
----- Forwarded Message -----
From: Mike Grifantini <[email protected]>
To: Jason Ledbetter <[email protected]>
Cc: Bob Kaster <[email protected]>
Sent: Monday, October 23, 2023 at 02:29:48 PM PDT
Subject: Draft Letter of Support for County Re-display of Gold Collection Hello Jason--Here is a letter that the City might consider, giving support for re-displaying the County gold collection.
Please give me a call if you have any questions,
Thanks,
Mike Grifantini
530-710-4882
November 7, 2023 Yreka City Council Agenda 129 of 157
CITY COUNCIL AGENDA MEMORANDUM
TO: Yreka City Council
FROM: Mark Gilman, Yreka Police Chief
AGENDA TITLE: Restructure of Police Sergeant position to a Police Lieutenant position MEETING DATE: November 7, 2023
Recommended City Council Action: Motion to Approve the Restructure of Police Sergeant position to a Police Lieutenant position.
Discussion:
I am requesting a change to my staffing structure. I currently have one Lieutenant and four sergeants.
The Lieutenant oversees the Administration Bureau, Patrol Bureau, and Criminal Investigation Bureau. Due to the high amount of state and federal requirements for those divisions, we are unable to effectively manage them. It is very typical for police agencies to have a supervisor over each division. I know that I could better provide services to the city with a manager for each division.
The Yreka Police Department has 16 sworn officers. There are an additional five reserve officers.
We provide 24-hour service with a Sergeant 24 hours a day, with some exceptions. The Chief and Lieutenant work a staggered shift providing management during the daytime. Typical agencies have managers providing this coverage and a Chief that oversees the divisions. The Anderson Police Department has 21 sworn. This is slightly larger than YPD. Anderson PD has a chief, two Lieutenants, five Sergeants, three Detectives and 10 officers. This demonstrates an efficient department and use of resources.
After reviewing my staffing levels and the amount of work required to effectively run a Police Department, I would at least request one additional Lieutenant position. Scheduling has been researched, and converting one Sergeant to a Lieutenant will basically have no effect. The Lieutenant will work one of the typical Sergeant day shifts and the remaining three Sergeants would rotate through three shifts, rather than four. One Lieutenant would oversee the Administration Bureau and the other Lieutenant would oversee Patrol/Criminal Investigations Bureau. These would be rotating positions. The reason for the rotating positions is for succession planning. Each Lieutenant will learn all the requirements of running a police department in preparation for possible advancement.
Fiscal Impact:
Budgets are tight and the city is in a budget cycle currently. For that reason, I would request to convert one Sergeant position to a Lieutenant position. This would have very little effect on my budget. The Lieutenant position is management without overtime. Considering the amount of overtime Sergeants make and the salary difference between management without overtime, there should be little monetary difference.
November 7, 2023 Yreka City Council Agenda 130 of 157
November 7, 2023 Yreka City Council Agenda 131 of 157
November 7, 2023 Yreka City Council Agenda 132 of 157
CITY COUNCIL AGENDA MEMORANDUM
TO: Yreka City Council
FROM: Jason Ledbetter, City Manager
AGENDA TITLE: CDBG Main Street Construction Mitigation Small Business Grant Program Guidelines
MEETING DATE: November 7, 2023
Recommended City Council Action: Motion to Approve the City of Yreka’s CDBG Main Street Construction Mitigation Small Business Grant Program Guidelines.
Discussion:
Quintin Gaddy, Program Director for Business Development is here this evening to discuss the Yreka CDBG Main Street Construction Mitigation Small Business Grant Program Guidelines (the Program). On November 1, 2023, the Finance Committee met to review and comment on the proposed program guidelines. The document considered this evening includes the Finance Committee’s comments and recommendations. The Yreka CDBG Main Street Construction Mitigation Small Business Grant Program document links and the website application landing are configured and can be located: https://www.siskiyoucounty.org/yreka-construction-mitigation About the Program:
This program is made possible with funding from the California Department of Housing and Community Development (Department), through its non-entitlement funding program. The source of funds is the Community Development Block Grant, originating from the US Department of Housing and Urban Development. The Program Contract Number is 22-CDBG-ED-30045.
Fiscal Impact:
The 22-CDBG-ED-30045 grant award of $750,000 provides financial resources for grant administration by both the contractor and city. Prior to submission of the grant, the city issued a request for qualifications for economic development program services. On August 2, 2022, Yreka City Council approved the motion to award the contract to Siskiyou County Economic Development Council. The city’s contractor will ensure and may procure the services of a qualified program administrator (Administrator) who has experience in originating business assistance grants and is familiar with state CDBG requirements. The administrator’s detailed scope of services will be negotiated and included in a formal agreement for services executed between the city and administrator. The administrator will market the program, accept and process applications, underwrite and recommend approval of grants, ensure proper grant closing and disbursement of funds, maintain grant files and fiscal records and support the city’s staff in administration of CDBG funding used in this program. The administrator will follow and ensure compliance with these guidelines.
November 7, 2023 Yreka City Council Agenda 133 of 157
City of Yreka
CDBG Main Street
Construction Mitigation
Small Business Grant
Program Guidelines
Adopted by City Council:
Version Control Document
Version
Number
Date Amendments
1.0 Original document
November 7, 2023 Yreka City Council Agenda 134 of 157
Contents
1. About the Program............................................................................................................... - 1 -
1.1 Introduction ....................................................................................................................... - 1 -
1.2 The Highway 3 Rehabilitation Project: ............................................................................. - 1 -
1.3 Negative Business Impacts During Construction.............................................................. - 1 -
2. Program Overview .................................................................................................................. - 1 -
2.1 Source of Program Funds .................................................................................................. - 1 -
2.2 CDBG National Objective ................................................................................................ - 2 -
2.3 Program Administrator ...................................................................................................... - 2 -
2.4 Program Service Area: “Impact Area” .............................................................................. - 2 -
3. Program Eligibility & Requirements ................................................................................... - 2 -
3.1 Eligible Businesses ............................................................................................................ - 3 -
3.2 Ineligible Businesses ......................................................................................................... - 3 -
3.3 No Conflict of Interest Allowed ........................................................................................ - 4 -
3.4 Required Documents ......................................................................................................... - 4 -
3.5 Eligible Use of Funds ........................................................................................................ - 4 -
4. Program Processing ............................................................................................................. - 5 -
4.1 Grant Application .............................................................................................................. - 5 -
4.2 Program Participant Confidentiality............................................................................. - 5 -
4.3 Determining Eligibility ..................................................................................................... - 5 - Meeting the LMJ National Objective .................................................................................. - 5 - CDBG Public Benefit Standard ........................................................................................... - 5 -
4.4 Underwriting Standards..................................................................................................... - 6 -
4.5 Other Federal Requirements.............................................................................................. - 7 - National Environmental Policy Act (NEPA) ....................................................................... - 7 - Davis Bacon Federal Prevailing Wage Compliance ............................................................ - 7 - Acquisition and Relocation laws ......................................................................................... - 7 - Universal Entity Identifier and check for debarment: ......................................................... - 7 -
5. Program Award and Disbursement ...................................................................................... - 7 -
5.1 Awarding the Grant ........................................................................................................... - 7 -
5.2 Grant Disbursement: ......................................................................................................... - 8 - November 7, 2023 Yreka City Council Agenda 135 of 157
5.3 General Grant/Grant Closing Process – CDBG Drawdown Process ................................ - 8 -
6. Program Monitoring and Closeout ...................................................................................... - 8 -
6.1 Program Participant Monitoring ....................................................................................... - 8 -
6.2 Administrator Monitoring ................................................................................................. - 8 - November 7, 2023 Yreka City Council Agenda 136 of 157
1. About the Program
1.1 Introduction
The City of Yreka (City) offers its Small Business Grant Program (Program) to assist small businesses in Yreka who have been negatively impacted by the Highway 3 Rehabilitation Project that is scheduled from 2022-2024. The Program is designed to provide direct financial assistance to eligible for-profit businesses in the form of grants, to mitigate the negative financial impact that substantial construction can cause.
1.2 The Highway 3 Rehabilitation Project:
The Yreka Rehab Project, under management by the California Department of Transportation District 2, is a pavement rehabilitation project in the City of Yreka that will bring State Route 3, also known as Main Street, up to current design standards and increase its service life. The project spans from Westside Road (south end) to Montague Road (north end).
This project will make for a significantly smoother ride for motorists driving on State Route 3.
Other improvements include a clean, pedestrian-friendly look as well as upgraded traffic signals, drainage improvements and curbs and sidewalks that comply with current Americans With Disabilities Act standards.
This project also includes decorative lighting, planters, vegetation and textured sidewalks and crosswalks along State Route 3/Main Street in the City of Yreka funded by Clean California, a $1.1 billion initiative to clean and beautify areas around the state.
This is a three-season project beginning summer of 2022, with completion expected in 2024.
Construction will begin at the south (Westside Road) and north (Montague Road) ends of the project for the 2022 construction season. Construction will then move to the area between Moonlit Oaks Avenue and Yreka Street during 2023, with Yreka Street to Montague being constructed in 2024.
1.3 Negative Business Impacts During Construction
Due to the extensive construction timeline and exhaustive nature of the road construction, which is bringing significant delays and road closures, businesses may feel significant negative financial impacts from loss of foot traffic. The design of the roads provide limited access points to many commercial storefronts during road construction, making alternative entrances and updated signage an insufficient remediation to these impacts. To ameliorate these impacts, the City applied for CDBG funding to create this Program to provide direct financial relief to impacted businesses.
2. Program Overview
2.1 Source of Program Funds
This program is made possible with funding from the California Department of Housing and Community Development (Department), through its non-entitlement funding program. The source of funds is the Community Development Block Grant, originating from the US November 7, 2023 Yreka City Council Agenda 137 of 157
Department of Housing and Urban Development. The Program Contract Number is 22-CDBGED-30045.
2.2 CDBG National Objective
As a recipient of this funding the City and its recipients, (i.e., businesses) are required to meet a national objective. The City’s Program meets the national objective noted below, depending on the individual businesses’ eligibility:
• LMJ – Business will create or retain permanent jobs, at least 51% of which, on a full time equivalent (FTE) are held by LMI (low- and moderate-income) or considered to be available to LMI persons
2.3 Program Administrator
The City will procure the services of a qualified program administrator (Administrator) who has experience in originating business assistance grants and is familiar with state CDBG requirements. The Administrator’s detailed scope of services will be negotiated and included in a formal agreement for services executed between the City and Administrator. In general, the Administrator will market the Program, accept and process applications, underwrite and recommend approval of grants, ensure proper grant closing and disbursement of funds, maintain grant files and fiscal records and support the City’s staff in administration of CDBG funding used in this Program. The Administrator will follow and ensure compliance with these guidelines.
2.4 Program Service Area: “Impact Area”
This program will be offered exclusively for businesses with a commercial storefront that have a direct impact from the ongoing Main Street/Highway 3 rehabilitation project that began in 2022 and will run through 2024.
This area shall include:
- All areas within 300 feet from Main Street, with a southern cutoff from Westside Road until a northern cutoff on Montague Road at the intersection of Interstate 5.
3. Program Eligibility & Requirements
Only one application will be accepted per applicant, even if the applicant has multiple interests/businesses within the City. Businesses that are owned and operated by individuals who are considered low-to-moderate income and/or are considered a socially or economically disadvantaged individual (SEDI) will be prioritized.
November 7, 2023 Yreka City Council Agenda 138 of 157
3.1 Eligible Businesses
Businesses interested in applying to be Program participants and receiving award funding must meet all requirements to establish eligibility. Eligibility requirements are outlined below:
1. Business is located within the City of YREKA city boundaries and within the Impact Area (defined in Section 2.4)
2. Business has a valid City of YREKA business license at the time of applying
3. Business does not have any active code violations
4. Business is currently operating out of a commercial storefront
5. Business employs no more than 25 employees (not including business owner)
6. Business is required to register for a free UEI number via sam.gov website
7. Business must meet the national objective as noted below:
a. LMJ: Currently employ and retain permanent jobs, at least 51% of which, on a full time equivalent (FTE) are held by LMI (low- and moderate-income) or considered to be available to LMI persons and provide evidence that without the assistance received the business would have faced employee layoffs (i.e., notices issued to employees, analysis of financial records, etc.)
3.2 Ineligible Businesses
The following businesses are considered ineligible to apply or receive assistance from the Program.
• Businesses with active code violations
• Home-based businesses
• Businesses outside of the City of YREKA city boundaries • Businesses outside of the Impact Area (defined in Section 2.4) • Businesses currently in the process of bankruptcy proceedings • a government entity (other than an entity owned and/or operated by a Native American tribe) or elected official office;
• a business primarily engaged in political or lobbying activities; • a passive business, investment company or investor who files a Schedule E on its tax returns;
• a church or other religious institution;
• a financial business primarily engaged in the business of lending, such as a bank, finance company or factoring company;
• a business engaged in any activity that is illegal under federal, state or local law; • a business of a prurient sexual nature, including a business which presents live performances of a prurient sexual nature or a business which derives directly or indirectly more than de minimis gross revenue through the sale of products or services, or the presentation of any depictions or displays, of a prurient sexual nature; • a business engaged in any socially undesirable activity or activity that may be considered predatory in nature such as rent-to-own businesses or check cashing businesses;
• a business that restricts patronage for any reason other than capacity; November 7, 2023 Yreka City Council Agenda 139 of 157
• a speculative business;
• a business that is affiliated (as such term is defined in 13 C.F.R. § 121.103) with another Program participant; or
• a business, franchise or location of which the undersigned has already applied for and received a grant under the Program.
3.3 No Conflict of Interest Allowed
In accordance with Title 24, Section 570.611 of the code of federal regulations, no member of the governing body and no official, employee or agent of the local government, nor any other person who exercises policy or decision-making responsibilities (including members of the Grant committee and officers, employees, and agents of the Grant committee, the administrative agent, contractors and similar agencies) in connection with the planning and implementation of the CDBG program shall directly or indirectly be eligible for this program. Exceptions to this policy can be made only after public disclosure and formal approval by the governing body and authorized in writing by City’s legal counsel.
3.4 Required Documents
Businesses will be required to submit the following documents as part of the application and eligibility review.
• Completed application (online via JotForm)
• Property lease, mortgage or other proof of business ownership • Active City of Yreka business license
• Payroll report documenting number of persons employed, hourly wages, fringe & benefits (if applicable) and YTD wages paid
• Business tax returns and income statements for 2021 & 2022 • UEI number and active SAM.gov registration
• If grant is awarded, business will be required to submit receipts demonstrating how grant funds were used, and sign a job retention report that demonstrates the retention of 1 FTE (or equivalent) throughout the three-month performance period of the grant.
3.5 Eligible Use of Funds
Businesses are required to note their intended use of funds as part of their application. Eligible use of funds include:
• Commercial lease or mortgage payments
• Employee payroll: wages, fringe and benefits
• Utilities
• Equipment or inventory pertinent to business operations (costs of goods sold) November 7, 2023 Yreka City Council Agenda 140 of 157
4. Program Processing
Due to limited funds, the City will only accept and process applications until all funds have been exhausted. If the City has remaining available funds, the City reserves the right to re-open the application period.
4.1 Grant Application
Grant applications will be fully electronic and encrypted to protect Personally Identifiable Information (PII),and will be processed on a first come first served basis. The Administrator will accept Grant applications and review them for initial eligibility. Applications that do not meet basic requirements of the program will be returned with an explanation of requirements needing to be met. Applications that do meet basic eligibility requirements will be sent out instructions with requests for additional information.
Program participants will be assigned a Grant ID number, and Grant files will be set up as applications are received and proper information gathered. Technical assistance will be provided as needed to help businesses who wish to be Program participants provide proper and accurate information for Grant underwriting.
4.2Program Participant Confidentiality
Persons serving as the Administrator and City for this Program will not disclose any of the Program participant’s personal confidential information as part of Grant approval process. All confidential information of businesses will only be disclosed to persons required to view the information as part of Grant review and approval. All personal and business confidential information of Grant applicants will be kept in a locked secured storage facility and not be available to persons outside of the program. If the City or Administrator or Department get a request for public records for a Grant applicant then only non-confidential information, as verified by legal counsel, will be provided.
4.3 Determining Eligibility
Businesses must submit a completed application and all documents listed in the “Required Documents” section of these guidelines to establish eligibility.
Meeting the LMJ National Objective
Under the LMJ objective activities are meant to retain jobs and/or create jobs that will benefit low-and moderate- income (LMI) persons. Under this national objective, the business must create or retain permanent jobs, at least 51 percent of which (computed on a full-time equivalent basis) are to be made available to or held by LMI persons. For businesses creating jobs, jobs must be created and filled no later than six (6) months after receipt of grant funds.
As part of follow up monitoring requirements, the business will be required to submit documentation (i.e., payroll report, timecards) on the average hours worked by employees.
CDBG Public Benefit Standard
When CDBG funds are used for certain economic development projects or infrastructure improvements carried out for the purpose of creating/retaining jobs for LMI persons, or to assist November 7, 2023 Yreka City Council Agenda 141 of 157
local businesses that provide essential goods and services in predominately LMI communities, the CDBG rules require the application of public benefit standards.
To meet the public benefit standard by applying the job creation/retention standard, the public benefit calculation begins by determining the total number of jobs to be directly created or retained by each business as a result of CDBG assistance, across the designated ‘performance period’ of a three (3) month period.
The total CDBG cost per job is then calculated by:
• The total dollar amount of CDBG funds to be spent for the activity (not including general administration costs), divided by the total number of jobs to be created or retained as a result of the project being undertaken.
• HCD defines an FTE as at least 30 hours per week or 1,560 hours per year. If a permanent, part-time job is created, determine the proportion of an FTE that is created and use it in the calculation.
• This calculation may not include the following jobs: temporary workers, temporary construction jobs related to the construction of the CDBG-funded project, third-party contractors, persons working less than 469 hours per year, or existing jobs that were relocated to another facility. o If the activity is a public facility or infrastructure improvement that benefits multiple businesses directly, then all jobs from all businesses directly benefitting must be included in this calculation
• The amount of assistance provided to the eligible business (if the assistance is provided directly to the business) or the cost of the public facility/infrastructure that will directly benefit the business(es) cannot exceed $35,000 of CDBG assistance per full-time equivalent, permanent job created or retained across the performance period of three (3) months.
4.4 Underwriting Standards
In addition to documenting that the project meets CDBG public benefit standard, the project must also be documented as meeting six HUD underwriting standards, per federal regulation 24 CFR Part 570.483(e). These underwriting standards are required to document a minimum “due diligence” of the Lender and ensure projects are financially sound enough to meet public benefit and national objective standards, i.e. create new or retain existing job positions.
The Six Underwriting Standards are:
1. project costs are documented as reasonable (typically, third party cost estimates);
2. all sources of funding for the project are documented with final commitments;
3. to the extent practicable, CDBG funds are not substituted for private (non-federal) funds;
4. documentation that project is financially feasible (based on cash flow projections to support jobs and debt service, etc.);
5. to the extent practicable, the return of the owner’s equity investment is not unreasonable (based on level of equity and proposed CDBG loan terms); November 7, 2023 Yreka City Council Agenda 142 of 157
6. to the extent practicable, CDBG funds are disbursed on a pro-rata basis with other financing provided for the project.
4.5 Other Federal Requirements
National Environmental Policy Act (NEPA) regulations require an Environmental Review Record (ERR) to be submitted for each project / business funded with CDBG monies prior to authorization to use grant funds for award or approval of funds. The City is required to complete the proper NEPA review along with any state review under California’s Environmental Quality Act (CEQA) review. The ERR level of review is based on the type of project proposed and ALL aggregated activities to be undertaken. The Administrator may complete the ERR for the City but the City must sign and take legal responsibility for the review.
Davis Bacon Federal Prevailing Wage Compliance is required when CDBG funding is used to pay for certain construction costs. This can add additional costs to projects that require CDBG funds for construction (for example: equipment installation or tenant improvements). In addition, state prevailing wage may be triggered in the use of CDBG funding. Grant processing staff will work with businesses to ensure funded businesses and projects are in compliance and disclose any additional time or work required due to the HUD federal prevailing wage regulations and federal procurement standards. Any additional costs resulting from this regulation will be incorporated into the business Grant and subsidized with the CDBG funds.
Acquisition and Relocation laws may be triggered when using CDBG funds (24 CFR 570.606).
Acquisition laws, both federal and state, must be followed when CDBG funds are used to assist in the purchase of real property. In the same way, federal and state relocation laws apply whenever there may be displacement of a person or business because of the use of CDBG funding. Grant processing staff will work with Grant applicants to ensure the business is in compliance any state or federal acquisition/relocation laws triggered by the project. Applicants will be informed of any additional time or costs or administrative work required due to acquisition or relocation regulations.
Universal Entity Identifier and check for debarment: All businesses who wish to receive funds under this Program will be required to obtain a Universal Entity Identifier (UEI) from SAM.gov.
The UEI number is free and can be obtained online. In addition, prior to funding, the City will require that each business be checked to confirm they are not on the federal debarred contractors list. HUD also requires that the Department and the City collect certain income and demographic data from the business and any new hires resulting from the investment of CDBG funds.
Applicants will be required to obtain all proper licenses and insurance to operate legally in the community.
5. Program Award and Disbursement
5.1 Awarding the Grant
Upon verification of eligibility the Administrator will confirm with the Program participant via email that their grant award has been approved. The Administrator will then provide the Program November 7, 2023 Yreka City Council Agenda 143 of 157
participant with an agreement outlining the terms and conditions of the award. Upon receipt of a signed agreement the City will disburse the one-time grant up to the amount of $35,000, or three (3) months of operating expenses, whatever amount is lower, for eligible business expenditures.
Grant amounts will be determined based on the level of financial need and the reasonableness of the costs to be paid for by CDBG. If there are not sufficient CDBG funds for the project then the program Administrator can assist in locating other public or private funding to leverage CDBG funding with.
5.2 Grant Disbursement:
Grant/Grant disbursement will take place only after all conditions have been met, Grant documents executed. Grant disbursement(s) will be prepared according to the terms of Grant approval. The procedure for Grant disbursement will vary dependent upon the purpose of the Grant funding.
Regardless of the purpose, all requests for disbursement must be authorized by the program participant, or its authorized representative, and the Administrator must approve all disbursements.
5.3 General Grant/Grant Closing Process – CDBG Drawdown Process Upon approval by the CDBG Program Administrator, the City will prepare for the Grant closing.
The Program participant will sign all the necessary documents and agreements. The City will request a drawdown of CDBG funds from the Department, will issue payment to the listed owner of the Microenterprise, and will issue a 1099-G upon the end of the tax year.
6. Program Monitoring and Closeout
6.1 Program Participant Monitoring
The Program participant is responsible for providing the Program with documentation demonstrating that grant funds were used in the way they were intended.
The Administrator will review the Program participant’s application to identify how the business said they would use funds and will collect supporting documents. Although this list is not intended to be exhaustive, supporting documents may include but is not limited to:
• Lease agreement and rent receipts
• Invoices with receipts/proof of payment for any purchases • Payroll documents. Reports, registers
• Low Income Job Self-Certification Form
• Job Creation/Retention Forms
All collected documents will be placed in the Program participant’s program file.
6.2 Administrator Monitoring
The City is ultimately the responsible entity for the CDBG Program. The City will oversee the Administrator and communicate with the Program participants as needed to explain CDBG compliance.
November 7, 2023 Yreka City Council Agenda 144 of 157
The Administrator is responsible to the City and Program participants to assure that the Program is implemented in compliance with these program guidelines, and state and federal regulations.
In addition, Administrator staff will ensure that grant applicant projects are underwritten in a timely and responsible manner. This includes working closely with Program participants to ensure they provide accurate financial statements through documenting BA project compliance for project close-out with Department and HUD. Administrator will review all grant documents with borrowers prior to loan closing.
November 7, 2023 Yreka City Council Agenda 145 of 157
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November 7, 2023 Yreka City Council Agenda 146 of 157
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November 7, 2023 Yreka City Council Agenda 147 of 157
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November 7, 2023 Yreka City Council Agenda 148 of 157
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November 7, 2023 Yreka City Council Agenda 149 of 157
CITY COUNCIL AGENDA MEMORANDUM
TO: Yreka City Council
FROM: Jason Ledbetter, City Manager, Andrew Jared, City Attorney AGENDA TITLE: Review of Yreka Municipal Code 1.24.170 Addressing the Council MEETING DATE: November 7, 2023
Recommended City Council Action: Direction to staff to bring back changes, if any, to YMC
1.24.170 Addressing the Council at a future City Council meeting for consideration Discussion:
Staff is suggesting a review of the Yreka Municipal Code 1.24.170 Addressing the Council.
1.24.170 Addressing the council.
(a) Manner of Addressing Council. Each person desiring to address the council shall step up to the microphone in front of the rail, state his name and address for the record, state the subject he wishes to discuss, state whom he is representing if he represents an organization or other persons, and, unless further time is granted by majority vote of the council, shall limit his remarks to five minutes. All remarks shall be addressed to the council as a whole and not to any member thereof. No question shall be asked a councilman or a member of the city staff without the permission of the presiding officer. (b) Spokesman for Group of Persons. In order to expedite matters and to avoid repetitious presentations, whenever any group of persons wishes to address the council on the same subject matter, it shall be proper for the presiding officer to request that a spokesman be chosen by the group to address the council and, in case additional matters are to be presented by any other member of said group, to limit the number of such persons addressing the council.
(c) After Motion. After a motion has been made or a public hearing has been closed, no member of the public shall address the council from the audience on the matter under consideration without first securing permission to do so by a majority vote of the city council. (Ord. 442 § 2 (part), 1970).
Areas of discussion might include:
(1) limiting remarks, e.g. limiting comment from five to three minutes; (2) method and manner of addressing the Council, prior to covid public comment was heard in person, “each person desiring to address the council shall step up to the microphone in front of the rail, state his name and address for the record, state the subject he wishes to discuss, state whom he is representing if he represents an organization or other persons”. Many cities are eliminating online public comment due to hate speech and online disruption. E.g. language on the agenda would be modified to read: “Please note the following change to the City’s public comment procedures: Unless a Councilmember is participating in the meeting remotely pursuant to AB2449, remote public comment will not be accepted. Public comment may be provided in person or via email, as set forth below.”
November 7, 2023 Yreka City Council Agenda 150 of 157
As outlined stated in the code, should the City revert to in person or written comments to the clerk, in method and manner outlined in the agenda.
If commenting pursuant to a public hearing, commenting would be heard in the method and manner outlined in the public hearing notice.
(3) update section for gender neutral language.
(4) discussion of AB2449 remote participation – many cities are no longer allowing remote attendance by Councilmember, committee members pursuant to AB2449, and reverting to prepandemic Brown Act procedures.
Fiscal Impact:
City Attorney, staff time and publication costs -cost estimate $2,000.
November 7, 2023 Yreka City Council Agenda 151 of 157
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AB 2449: New Brown Act Rules for a Zoom-Friendly
World
ATTORNEYS
Nicolle A. Falcis
Senior Associate
[email protected]
949-453-4260
Kathryn E. Meola
Partner
[email protected]
916-923-1200
09.16.2022
On September 13, 2022, the Governor signed Assembly Bill 2449 (Rubio) (“AB 2449”) into law, amending certain portions of the Ralph M. Brown Act (“Brown Act”) relating to teleconference participation by members of legislative bodies for and during public meetings. The new law amends existing requirements set forth in Government Code section 54953 to facilitate virtual meetings in the absence of a state of emergency by removing some of the barriers that proved to be burdensome and unrealistic during the COVID-19 pandemic.
Previously, Government Code section 54953 set out various requirements for members of a legislative body participating in public meetings through teleconferencing. It allowed for teleconference meetings under the “traditional rules” and under “AB 361.” To quickly review, the traditional teleconference rules include: (1) posting meeting agendas at all teleconference locations; (2) identifying all teleconference locations in the notice and agenda; and (3) making accessible each teleconference location to the public. AB 361 allowed legislative bodies to conduct their meetings via teleconference without adhering to the requirements listed above; however, AB 361 only applied during a declared state of emergency.
AB 2449 creates an opportunity for less than a majority of the board (up to 2 members of a 5-member board; up to 3 members of a 7- member board) to attend via teleconference under certain conditions when the majority of the board (a quorum) participates from a single physical location open to the public. When a quorum of the legislative body participates in a physical location open to the public, AB 2449 authorizes the remaining board members to participate remotely under two specific circumstances:
Alerts & Articles
November 7, 2023 Yreka City Council Agenda 152 of 157
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Davina F. Harden
Partner
[email protected]
628-234-6200
Jeffrey W. Frey
Senior Associate
[email protected]
949-453-4260
RELATED PRACTICE AREAS
Board Governance
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(1) Just cause: The member notifies the legislative body at the earliest possible opportunity, including at the start of a regular meeting, of their need to participate remotely for “just cause,” including a general description of the circumstances relating to their need to appear remotely at the given meeting. A member of the legislative body may not use the provisions of this clause for more than two meetings per calendar year.
“Just cause” is defined as any one of the following
circumstances: (1) childcare or caregiving of a child, parent, grandparent, grandchild, sibling, spouse, or domestic
partner that requires them to participate remotely; (2) a contagious illness that prevents a member from attending in person; (3) a need related to a physical or mental
disability; or (4) travel while on business of the legislative body or another state or local agency.
(2) Emergency Circumstances: The member requests the
legislative body to allow them to participate in the meeting remotely due to “emergency circumstances,” and the legislative body takes action to approve the request. “Emergency
circumstances” means a physical or family medical emergency that prevents a member from attending in person. The legislative body shall request a general description of the circumstances relating to the member’s need to appear remotely at the given meeting. This description generally need not exceed 20 words and shall not require the member to disclose any medical diagnosis or disability, or any personal medical information that is already exempt under existing law. For the purposes of this clause, the following requirements apply:
(a) A member shall make a request to participate remotely at a meeting pursuant to this clause as soon as possible. (b) the legislative body may take action on a request to participate remotely at the earliest opportunity. If the request does not allow sufficient time to place proposed action on such a request on the posted agenda for the
meeting for which the request is made, the legislative body may take action by majority vote on the emergency
circumstances request at the beginning of the meeting.
AB 2449: New Brown Act Rules for a Zoom-Friendly
World
November 7, 2023 Yreka City Council Agenda 153 of 157
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AB 2449 imposes additional teleconferencing requirements, similar to the requirements imposed under AB 361, when less than a majority attends remotely for “just cause” or “emergency circumstances,” as described above. The additional requirements include, but are not limited to:
● The legislative body must provide a way for the public to remotely hear, visually observe, and remotely address the legislative body, either by a two-way audiovisual platform or a two-way telephonic service and a live webcasting of the meeting.
● When providing notice of the time and agenda of a meeting, the legislative body must also provide notice of how the public can access the meeting and offer comments. The agenda must identify and include an opportunity for the public to attend and directly address the legislative body through a call-in option, an internet-based service option, and in-person. The legislative body also may not require public comments to be submitted prior to the meeting but must provide an opportunity for the public to address the body in real time.
● The legislative body must implement a procedure for receiving and resolving requests for reasonable accommodations for individuals with disabilities, and must give notice of such procedure in each instance notice of the meeting time is given or an agenda is posted. ● Members participating through remote teleconferencing must participate through both audio and visual technology and members must publicly disclose at the meeting before any action is taken whether any other individuals 18 years of age or older are present in the room at the remote location with the member and the general nature of the member’s relationship with the individual.
Please note that these provisions will only be required if a member of a legislative body is participating by teleconferencing due to “just cause” or “emergency circumstances.” Legislative bodies may always meet via teleconference by following the “traditional rules,” and AB 361’s state of emergency authorization remains valid until January 1, 2024.
AB 2449 provides that a member may not participate in meetings solely by teleconference due to “just cause” or “emergency circumstances” for a period of more than three consecutive months or 20 percent of the regular meetings for the local agency within a calendar year. If the legislative body regularly meets less than 10 times a year, a board member may not participate remotely in more than two meetings.
The provisions of AB 2449 will remain in effect until January 1, 2026.
Special thanks to Christy Kim, our Irvine law clerk, for her extensive work on this alert.
This AALRR publication is intended for informational purposes only and should not be relied upon in reaching a conclusion in a particular area of law. Applicability of the legal principles discussed may differ substantially in individual situations. Receipt of this or any other AALRR publication does not create an attorney-client relationship. The Firm is AB 2449: New Brown Act Rules for a Zoom-Friendly
World
November 7, 2023 Yreka City Council Agenda 154 of 157
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not responsible for inadvertent errors that may occur in the publishing process. © 2022 Atkinson, Andelson, Loya, Ruud & Romo
AB 2449: New Brown Act Rules for a Zoom-Friendly
World
November 7, 2023 Yreka City Council Agenda 155 of 157
10/30/23, 1:30 PM The Excerable ‘Zoombombers’ Upending Public Meetings in California | California City News https://californiacitynews.org/2023/10/excerable-zoombombers-upending-public-meetings-california.html?utm_source=California+City+News&utm_campaign=d2f794838e-City_05_May_2020_COPY_01&utm_mediu… 1/3 Sonoma County, Santa Rosa, Sacramento, Modesto, Fremont. These are just some of the local governments recently forced to ban remote comments at their public meetings because of hate speech from racist and antisemitic trolls.
The so-called “zoombombing” campaign — which has also affected school boards — has gotten so out of hand that some stakeholders are discussing possible changes to the Brown Act.
Free speech advocates fret that governments’ response to the barrage of hate could serve to limit public discourse and engagement. For certain members of the public, such as those with disabilities, virtual meetings have been a godsend.
“It’s really a shame when some people’s speech or behavior cuts (access) off for so many other people,” Kathi Pugh, with Berkeley’s Commission on Disability, told the Mercury News.
But zoombombing has become more than just a nuisance. Racist and antisemitic tirades have made it impossible for some councils to do their work. In the case of school board meetings, some parents are City Jobs
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Upending Public Meetings in
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November 7, 2023 Yreka City Council Agenda 156 of 157
10/30/23, 1:30 PM The Excerable ‘Zoombombers’ Upending Public Meetings in California | California City News https://californiacitynews.org/2023/10/excerable-zoombombers-upending-public-meetings-california.html?utm_source=California+City+News&utm_campaign=d2f794838e-City_05_May_2020_COPY_01&utm_mediu… 2/3 Sign Up for Our Awesome Newsletter
rethinking their children’s involvement.
“I’ve had [school board meetings] on in the kitchen when I’m cooking,” Santa Rosa City Schools parent April Liggett told the Press Democrat last month. “I would never think I needed to wear headphones. I’m naive in that way.”
The campaign is clearly coordinated and can be viewed as part of a larger increase in organized hate across the U.S. The tactics are vile.
The trolls hurl profanities and racial slurs, including the N-word, at both officials and attendees. They deny the Holocaust, defend slavery, and spew antisemitic conspiracy theories.
Other states are dealing with the same problem. Zoombombers have gone on the attack in Connecticut and Georgia.
Public officials are trying to figure out how to best navigate this disturbing phenomenon. For now, many feel the right course of action is to cut zoombombing off at the source.
Online platforms like Zoom “are great tools of communication that we didn’t have 20 years ago. But unfortunately, we also have a segment of the population that will use that for hateful or nefarious means,” said Walnut Creek Councilmember Kevin Will, who recently met with Cal Cities to brainstorm solutions. “All it takes is a few people to ruin it for everybody.”
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November 7, 2023 Yreka City Council Agenda 157 of 157