Cities Index.
Item 03 - Award of Contract - Providing On-Call Professional Real Estate Brokerage Services

Yucaipa City Council
August 10, 2026

Document
Item 03 - Award of Contract - Providing On-Call Professional Real Estate Brokerage Services
Meeting
August 10, 2026
Body
Yucaipa City Council
Pages
109
Original file
194 KB
Text extracted from the city's file for reading and search. Open the original on coydocs.yucaipa.gov. That file is the official record.

Item No.

STAFF REPORT
DATE: August 10, 2026
TO: Honorable Mayor and City Council
FROM: Dr. Sean M. Moore, City Manager'.

PREPARED BY: Fermin Preciado, Director of Development Services/City Engineer;�- Todd Gutjahr, Public Works Analyst
SUBJECT: Award of Contract — Providing On -Call Professional Real Estate Brokerage Services and Issuance of Covenants and Restrictions for Real Property RECOMMENDATION:

That the City Council

1. Authorize staff to execute and record the Covenants and Restrictions for Real Property document for each specific City -owned property in compliance with the California Surplus Land Act (SLA) process; and

2. Award and authorize the City Manager to execute a Professional Services Agreement (Agreement) and the City Manager or his designee to administer the terms of the Agreement with Kosmont Realty of Manhattan Beach, CA, for On -Call Professional Real Estate Brokerage Services for Fiscal Years 2026/27, 2027/28, and 2028/29; or

3. Provide further direction to staff.

BACKGROUND/DISCUSSION:

Surplus Land Act Compliance
The City Council adopted several resolutions declaring fourteen (14) City -owned properties as Surplus Land pursuant to Government Code Sections 54220-54234. Following these actions, staff submitted all required notices to the California Department of Housing and Community Development (HCD) to complete the required SLA process for City owned properties. Completing this process allows the City to sell surplus properties.

HCD has found that the following ten (10) properties have met all the requirements under the SLA for the purposes of disposing (i.e. sale, gift/donation, abandonment/destruction, or transfer/exchange)
0 0319-101-01 - 12511 5th Street (Avenue E & 5th Street Roundabout Project)

• 0318-143-12 - 12494 5th Street (Avenue E & 5th Street Roundabout Project) • 0319-012-46 - 12475 5th Street (Avenue E & 5th Street Roundabout Project) • 0319-371-10 - 34509 Avenue E (Avenue E & 4th Street Roundabout Project) • 0319-513-13 - 35110 County Line Road (County Line Road Corridor Improvement Project) • 0319-253-12•- 34712 County Line Road (County Line Road Corridor Improvement Project) • 0321-142-22 - 11473 Pendleton Road (Pendleton Road Low Water Crossing/Bridge Project) • 0303-131-05 (portion) — Northwest corner of Yucaipa Boulevard and 5th Street • 0299-321-85 (portion)* - Northwest corner of 13th Street and Yucaipa Boulevard • 0299-321-61 (portion)* - Northwest corner of 13th Street and Yucaipa Boulevard * These properties are currently under an Exclusive Negotiating Agreement (ENA) for sale The following four (4) properties are in the final stages of the HCD Disposition process and staff is anticipating formal approval for disposition from HCD in late August/early September. • 0318-061-26 — Southeast corner of County Line Road and Avenue E • 0318-013-42 -South of Yucaipa Boulevard (between loth Street and 11th Street) • 0318-013-43 -South of Yucaipa Boulevard (between loth Street and 1 lth Street) • 0303-253-41 (portion) — East of 35058 Yucaipa Boulevard Staff recommends that the City Council authorize the recording of the proposed Covenants and Restrictions for Real Property (C&Rs) for City -owned properties in accordance with SLA requirements to maintain compliance with SLA regulations and ensure appropriate future land use conditions. C&Rs tied to HCD are recorded legal agreements that "run with the land" to mandate long-term affordable housing use, maintenance standards, and specific occupancy limits for state - funded or regulated properties. The following language in the proposed C&Rs identifies the requirements associated with the State's affordable housing requirements:
"If ten (10) or more residential units are developed on the property described on Exhibit "A " attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code. " On -Call Professional Real Estate Brokerage Services
On June 18, 2026, the City issued a Request for Qualifications/Proposals seeking on -call real estate brokerage services to support property disposition activities. The City received one response.

Staff evaluated the submittal using the City's qualifications -based selection process, reviewing experience, methodology, and cost. Based on this evaluation, staff determined that Kosmont Realty (KR) is the best qualified consultant to provide the services being requested and recommends awarding the three-year contract to KR.

Brokerage compensation/commission (if any) would be paid upon closing of transactions in accordance with the terms of the Agreement. The amount due would be based upon the final sale price of the property acquired/sold. Funding for any such compensation would be identified at the time of the property acquired/sold.

Commission Structure (Commission levels reflect a minimum compensation amount negotiated between the City and KR):
• 2.50% — Sales under $5,000,000
• 2.00% — $5,000,000 to under $10,000,000
KR also offers real estate technical/advisory services and are proposed to be incorporated into the Agreement for the hourly rates on an as -needed basis.

FISCAL IMPACT:

The recommendations do not result in a fiscal impact.

Attachments:

1. Proposed Surplus Land Act Covenants and Restrictions

2. Contract Agreement

ATTACHMENT 1

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0319-101-01
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner").

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0319-101-01, which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial -1-

occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code.

B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
SUB NO 3 YUCAIPA VALLEY N 160 FT W 160 FT LOT 38 EX STS

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
before me
(insert name and title of the officer)
Notary Public
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0318-143-12
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner")

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0318-143-12, which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial

occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code,
B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
SUB NO 3 YUCAIPA VALLEY E 1/2 S 1/2 LOT 34 EX N 200 FT AND EX W 150 FT EX ST

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On before me ,
(insert name and title of the officer)
Notary Public
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0319-012-46 (Formerly 0319-012-20)
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner").

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0319-012-46, which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial -1-

occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code,
B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
BEING PORTION OF LOT 35 OF SUBDIVISION NO. 3 OF YUCAIPA VALLEY, IN THE CITY

OF YUCAIPA, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, AS PER PLAT RECORDED IN BOOK 19 OF MAPS, PAGES AND 2, RECORDS OF SAID COUNTY DESCRIBED AS FOLLOWS: COMMENCING AT THE INTERSECTION OF 5TH STREET AND AVENUE "E" ALSO BEING THE SOUTH WEST CORNER OF SAID LOT 35; THENCE NORTH ALONG THE CENTERLINE OF 5TH STREET 100.00 FEET; THENCE EAST 41.21 FEET TO THE POINT OF BEGINNING; THENCE NORTH 01 DEG 15'24" 65.01 FEET; THENCE NORTH 40 DEG 06' 40" EAST 6.54 FEET; THENCE EAST 126.00 FEET; THENCE SOUTH 70 FEET: 'WEST 128.79 FEET TO THE POINT OF BEGINNING

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On before me , Notary Public
(insert name and title of the officer)
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0319-371-10
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner").

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0319-371-10, which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial -1-

occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code.

B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
SUB NO 2 YUCAIPA VALLEY N 160 FT W 130 FT LOT 12 EX STS

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On before me , Notary Public
(insert name and title of the officer)
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0319-513-13 (Formerly 0319-271-58)
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner").

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0319-513-13, which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial -1-

occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code.

B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
SUB NO 6 YUCAIPA VALLEY PTN LOT 61 COM AT INTERSECTION C/L CO LINE RD AND CALIF ST TH N 95 FT ALG C/L CALIF ST TH N 52 DEG 58 MIN E 62.6 FT TH S 83 DEG 49 MIN E 137.8 FT TH S 89 DEG 00 MIN E 146.20 FT TH S 97.60 FT TO A PT IN C/L CO LINE RD TH S 86 DEG 56 MIN W 333.48 FT ALG SD C/L TO POB EX E 196 FT THEREOF MEAS ALG AND

AT R/A TO S LI THEREOF EX STS

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On
before me
(insert name and title of the officer)
Notary Public
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0319-253-12 (Formerly 0319-253-13)
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner").

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0319-253-12, which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial Be

occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code.

B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
SUB NO 8 YUCAIPA VALLEY PTN LOT 188 BEG AT A PT 129 FT N OF INTERSECTION C/L COUNTY LINE ROAD W 1 TH C/L THIRD ST TH E PARALLEL W 1 TH N L I SD LOT 179.76 FT TH N PARALLEL WITH W L 1 SD LOT 108 FT TH W PARALLEL WITH N L I SD LOT 179.76 FT TO C/L THIRD ST TH S ALG C/L THIRD ST 108 FT TO POB TOGETHER WITH VACATED

PORTION OF COUNTY LINE ROAD ADJACENT ON THE SOUTH

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On before me
(insert name and title of the officer)
Notary Public
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0321-142-22
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner").

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0321-142-22, which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial Be

occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code.

B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
ALL THAT PORTION OF LOT 6, BLOCK "D", AS SHOWN ON MAP OF YUCAIPA WATER AND LUMBER COMPANY'S SUBDIVISION NO. 1, IN THE CITY OF YUCAIPA, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, AS PER PLAT RECORDED IN BOOK 17 OF MAPS, PAGE 27, RECORDS OF SAID COUNTY SAVING AND EXCEPTING THEREFROM THE SOUTH 120 FEET OF SAID LOT 6 TOGETHER WITH SOUTHERLY 320 FEET OF THE WESTERLY 85 FEET OF SAID LOT 5 OF SAID BLOCK "D", IS SHOWN ON MAP OF YUCAIPA WATER AND LUMBER COMPANY'S SUBDIVISION NO. 1 SAVING AND EXCEPTING THEREFROM THE SOUTH 120 FEET OF SAID LOT 5 PURSUANT TO LLA NO. 94-083A AS RECORDED JUNE 12, 1995 AS INSTRUMENT NO. 95-0201710, OF OFFICIAL RECORDS

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On before me ,
(insert name and title of the officer)
Notary Public
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0303-131-05 (Portion of)
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner").

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0303-131-05 (Portion of), which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income -1-

households for a period of 55 years for rental housing and 45 years for ownership housing. The initial occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code.

B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (0, inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
PTN SE 1/4 SEC 35 TP IS R 2W COM AT INTERSECTION C/L 5TH ST AND C/L YUCAIPA BLVD TH N ALG NLY PROLONGATION C/L 5TH ST 35 FT TO INTERSECTION WITH N LI YUCAIPA BLVD FOR TRUE POB TH CONT N 682 FT TH S 74 DEG 29 MIN 45 SECONDS W 103.73 FT TH S 52 DEG 57 MIN 00 SECONDS W 188 FT TO INTERSECTION WITH A LI PARALLEL WITH AND 250 FT W OF NLY PROLONGATION C/L 5TH ST TH S ALG SD LI 541 FT TO N LI YUCAIPA BLVD TH E 250 FT TO TRUE POB EX ST

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On before me , Notary Public
(insert name and title of the officer)
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0299-321-85 & 0299-321-61
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner")

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0299-32-185 & 0299-32- 161, which is more particularly described in the attached and incorporated Exhibit "A" ("the Property");
WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income -1-

households for a period of 55 years for rental housing and 45 years for ownership housing. The initial occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code.

B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
0299-321-85
THAT PORTION OF SECTION 33, TOWNSHIP 1, SOUTH, RANGE 2 WEST, SAN

BERNARDINO BASE AND MERIDIAN, IN THE COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, ACCORDING TO GOVERNMENT SURVEY, DESCRIBED AS FOLLOWS:

COMMENCING AT A POINT ON THE SOUTH LINE OF SAID SECTION 33, THE CENTERLINE

OF YUCAIPA BOULEVARD (FORMERLY REDLANDS BOULEVARD) WHICH IS IDENTICAL TO THE INTERSECTION OF 13TH STREET (FORMERLY AVENUE I), AS SHOWN ON PLAT OF MAP NO. 1 OF A PART OF DUNLAP RANCH, RECORDED IN BOOK 20 OF MAPS, PAGE 18, RECORDS OF SAN BERNARDINO COUNTY); THENCE NORTH 00'10" WEST AT RIGHT ANGLES TO THE CENTERLINE OF SAID YUCAIPA BOULEVARD 35 FEET, SAID POINT LYING ON THE NORTH RIGHT-OF-WAY LINE OF SAID YUCAIPA BOULEVARD; THENCE SOUTH 89 DEG 50'00" WEST ALONG THE NORTH LINE OF SAID YUCAIPA BOULEVARD 33 FEET TO THE TRUE POINT OF BEGINNING, SAID POINT BEING THE SOUTHWEST

CORNER OF THAT CERTAIN PARCEL OF LAND CONVEYED TO YUCAIPA VALLEY PARK AND RECREATION DISTRICT BY DEED RECORDED NOVEMBER 19, 1964, AS INSTRUMENT NO. 477 IN BOOK 6275, PAGE 718, OFFICIAL RECORDS OF SAID COUNTY; THENCE CURVING TO THE LEFT FROM AN INITIAL TANGENT THAT BEARS NORTH 00 DEG 10'00" WEST WITH A RADIUS OF 357 FEET THROUGH A CENTRAL ANGLE OF 55 DEG 45'00' AN ARC DISTANCE OF 347.37 FEET ALONG SAID WESTERLY LINE OF THAT PARCEL CONVEYED TO YUCAIPA VALLEY PARK AND RECREATION DISTRICT; THENCE NORTH 55 DEG 55'00" WEST ALONG SAID WESTERLY LINE 119.86 FEET; THENCE LEAVING SAID WESTERLY LINE AT RIGHT ANGLES SOUTH 34 DEG 05'00" WEST 438.61

FEET TO A POINT ON THE NORTHERLY LINE OF SAID YUCAIPA BOULEVARD, SAID POINT BEING SOUTH 89 DEG 50'00" WEST 502 FEET FROM THE POINT OF BEGINNING; THENCE NORTH 89 DEG 50'00" EAST ALONG THE NORTHERLY RIGHT-OF-WAY LINE OF SAID YUCAIPA BOULEVARD 502 FEET TO THE POINT OF BEGINNING. EXCEPTING THEREFROM THE FOLLOWING DESCRIBED PROPERTY: COMMENCING AT A POINT ON THE SOUTH LINE OF SAID SECTION 33, THE CENTERLINE OF YUCAIPA BOULEVARD (FORMERLY REDLANDS BOULEVARD) WHICH IS IDENTICAL TO THE INTERSECTION OF 13TH STREET (FORMERLY AVENUE I), AS SHOWN ON PLAT OF MAP NO. 1 OF A PART OF DUNLAP RANCH, RECORDED IN BOOK 20 OF MAPS, PAGE 18, RECORDS OF SAN BERNARDINO COUNTY); THENCE NORTH 00 DEG 10' WEST AT RIGHT ANGLES TO THE CENTERLINE OF SAID YUCAIPA BOULEVARD 35 FEET, SAID POINT LYING ON THE NORTH RIGHT-OF-WAY LINE OF SAID YUCAIPA BOULEVARD;THENCE SOUTH 89 DEG 50'00" WEST ALONG THE NORTH LINE OF SAID YUCAIPA BOULEVARD 33 FEET TO THE

TRUE POINT OF BEGINNING, SAID POINT BEING THE SOUTHWEST CORNER OF THAT

CERTAIN PARCEL OF LAND CONVEYED TO YUCAIPA VALLEY PARK AND RECREATION DISTRICT BY DEED RECORDED NOVEMBER 19,1964, AS INSTRUMENT NO. 477 IN BOOK 6275, PAGE 718, OFFICIAL RECORDS OF SAID COUNTY; THENCE CURVING TO THE LEFT FROM AN INITIAL TANGENT THAT BEARS NORTH 00 DEG 10'00" WEST WITH A RADIUS OF 357 FEET THROUGH A CENTRAL ANGLE OF 34 DEG 04'17" AN ARC DISTANCE OF 212.29 FEET ALONG SAID WESTERLY LINE OF THAT PARCEL CONVEYED TO YUCAIPA

VALLEY PARK AND RECREATION DISTRICT; THENCE LEAVING SAID WESTERLY LINE SOUTH 89 DEG 50'00" WEST A DISTANCE OF 168.72 FEET: THENCE SOUTH 00 DEG 10'00" EAST A DISTANCE OF 200 FEET TO A POINT ON THE NORTHERLY LINE OF SAID YUCAIPA BOULEVARD, SAID POINT BEING SOUTH 89 DEG 50'00" WEST 230 FEET FROM THE POINT OF BEGINNING; THENCE NORTH 89 DEG 50'00" EAST ALONG THE NORTHERLY RIGHT -OF WAY LINE OF SAID YUCAIPA BOULEVARD 230 FEET TO THE POINT OF BEGINNING.

0299-321-61
PTN SEC 33 TP IS R 2W DESC AS COM AT PT ON S LI SD SEC 33 IN C/L YUCAIPA BLVD WHICH IS IDENTICAL TO INTERSECTION OF 13TH ST TH AT R/A TO C/L SD YUCAIPA BLVD N 0 DEG 10 MIN 00 SECONDS W 35 FT TO A PT ON NLY R/L LI SD YUCAIPA BLVD TH S 89 DEG 50 MIN 00 SECONDS W ALG NLY R/L LI SD YUCAIPA BLVD 33 FT TO A PT

HEREINAFTER REFERRED TO AS PT A SD PT BEING SW COR OF THAT PARCEL OF LAND CONVEYED BY DEED IN BOOK 6275 PAGE 718 0 R TH CURVING TO THE LEFT FROM AN INITIAL TANGENT THAT BEARS N 0 DEG 10 MIN 00 SECONDS W WITH A RADIUS OF 357 FT THRU A C/A OF 55 DEG 45 MIN 00 SECONDS AN ARC DISTANCE OF 347.37 FT ALG WLY LI OF PARCEL CONVEYED IN BOOK 6275 PAGE 718 O R TH N 55 DEG 55 MIN 00 SECONDS W ALG SD WLY LI 119.86 FT TO TRUE POB TH AT R/A S 34 DEG 05 MIN 00 SECONDS W 438.61 FT TO A PT ON NLY LI SD YUCAIPA BLVD SD PT BEING S 89 DEG 50 MIN 00 SECONDS W 502 FT FROM AFORESAID PT A TH S 89 DEG 50 MIN 00 SECONDS W ALG NLY LI SD YUCAIPA BLVD 25 FT TH N 0 DEG 10 MIN 00 SECONDS W AT R/A TO C/L SD YUCAIPA BLVD 465 FT TH AT R/A N 89 DEG 50 MIN 00 SECONDS E 17.74 FT TH N 5 DEG 43 MIN 30 SECONDS W 822.41 FT TO PT ON A CURVE TH CURVING TO LEFT FROM AN INITIAL TANGENT THAT BEARS N 83 DEG 28 MIN 50 SECONDS E WITH A RADIUS OF 930 FT THRU A C/A OF 5 DEG 54 MIN 57 SECONDS AN ARC DISTANCE OF 95.79 FT TO A PT ON AFORESAID WLY LI OF PARCEL CONVEYED IN BOOK 6275 PAGE 718 O R TH S 17 DEG 33 MIN 40 SECONDS W ALG SD WLY LI 53.99 FT TO AN ANGLE PT THEREIN TH S 56 DEG 50 MIN 00 SECONDS E 74.41 FT TO A TANGENT CURVE TH CURVING TO RIGHT WITH A RADIUS OF 217 FT THRU A C/A OF 83 DEG 15 MIN 00 SECONDS AN ARC DISTANCE OF 315.30 FT TH S 26 DEG 25 MIN 00 SECONDS W 122 FT TO A TANGENT CURVE TH CURVING TO THE LEFT WITH A RADIUS OF 323 FT THRU A C/A OF 82 DEG 20 MIN 00 SECONDS AN ARC DISTANCE OF 464.15 FT TH S 55 DEG 55 MIN 00 SECONDS E 80.14 FT TO POB EX ST

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On
before me , Notary Public
(insert name and title of the officer)
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0318-061-26
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner").

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0318-061-26, which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial

occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code.

B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
THAT PORTION OF LOT 3 OF COOKS SUBDIVISION OF A PART OF DUNLAP RANCH IN YUCAIPA VALLEY DESCRIBED AS FOLLOWS: COMMENCING AT THE INTERSECTION OF THE EAST LINE OF SAID LOT 3 OF COOKS SUBDIVISION AND THE SOUTH LINE OF

THE PARCEL DESCRIBED IN DEED TO SAN BERNARDINO COUNTY, RECORDED IN BOOK 6158, PAGE 145 THENCE SOUTH 12 DEG 00'00" WEST ALONG SAID EAST LINE OF LOT 3 16.98 FEET TO THE TRUE POINT OF BEGINNING; THENCE CONTINUING SOUTH 12 DEG 00'00" WEST ALONG SAID EAST LINE OF LOT 3 155.57 FEET; THENCE LEAVING SAID EAST LINE SOUTH 52 DEG 00'00" WEST 107.06 FT TO THE BEGINNING OF A CURVE CONCAVE TO THE NORTHWEST HAVING A RADIUS OF 1045.00 FEET; THENCE SOUTHWESTERLY 711.31 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 39 DEG 00'00"; THENCE NORTH 89 DEG 00'00" WEST 495.82 FEET TO THE EASTERLY LINE OF OAK GLEN ROAD THENCE NORTHEASTERLY 148.95 FEET ALONG SAID

EASTERLY LINE OF OAK GLEN ROAD, SAID LINE BEING A CURVE CONCAVE TO THE SOUTHEAST HAVING A RADIUS OF 806.00 FEET, FROM AN INITIAL RADIAL BEARING OF NORTH 46 DEG 32'24" WEST, THROUGH A CENTRAL ANGLE OF 10 DEG 35' 19'% THENCE CONTINUING NORTHEASTERLY 184.18 FEET ALONG SAID EASTERLY LINE OF

OAK GLEN ROAD, SAID LINE BEING A CURVE CONCAVE TO THE SOUTHEAST HAVING A RADIUS OF 806.00 FEET, FROM AN INITIAL RADIAL BEARING OF NORTH 35 DEG 57'05" WEST THROUGH A CENTRAL ANGLE OF 13 DEG 05'33"; THENCE CONTINUING NORTH 67 DEG 08'28" EAST ALONG SAID EAST LINE 220.77 FEET TO THE BEGINNING OF A CURVE CONCAVE TO THE NORTHWEST HAVING A RADIUS OF 894.00 FEET; THENCE CONTINUING ALONG SAID EASTERLY LINE NORTHEASTERLY 468.10 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 30 DEG 00'00"; THENCE NORTH 37 DEG 08'28" EAST 36.92 FEET TO THE BEGINNING OF A CURVE CONCAVE TO THE SOUTHEAST HAVING A RADIUS OF 35.00 FEET; THENCE NORTHEASTERLY 45.77 FEET MORE OR LESS ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 74 DEG 55'20" TO A POINT ON THE SOUTHERLY RIGHT OF WAY OF SAID AVENUE E; THENCE SOUTHEASTERLY 403 FEET MORE OR LESS ALONG SAID SOUTHERLY RIGHT OF WAY TO THE POINT OF BEGINNING.

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On
before me
(insert name and title of the officer)
Notary Public
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0318-013-42
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner")

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0318-013-42, which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial -1-

occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code.

B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
PARCEL MAP 3621 PARCEL 1 PARCEL MAP 3621 PAR NO I

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On before me ,
(insert name and title of the officer)
Notary Public
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0318-013-43
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner")

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0318-013-43, which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial -1-

occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code.

B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
PARCEL MAP 3621 PAR NO 2

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On
before me
(insert name and title of the officer)
Notary Public
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Yucaipa
34272 Yucaipa Boulevard
Yucaipa, California 92399
Attention: City Clerk
APN: 0303-253-41 (Portion on
Exempt from recording fees pursuant to Government Code section 6103. (Space Above for Recorder's Use)

COVENANTS AND RESTRICTIONS FOR REAL PROPERTY
(per Government Code Section 54233)
These COVENANTS AND RESTRICTIONS FOR REAL PROPERTY is executed as of August 10, 2026 by the City of Yucaipa ("Owner")

RECITALS
WHEREAS, Owner is the owner of certain real property located in the City of Yucaipa, County of San Bernardino, California with an Assessor's Parcel Number of 0303-253-41 (Portion of), which is more particularly described in the attached and incorporated Exhibit "A" ("the Property"); WHEREAS, Assembly Bill 1486 amended the Surplus Land Act (Government Code Section 54220 et. seq.) and created new obligations before a local agency may dispose of surplus land; WHEREAS, the Surplus Land Act designates the California State Department of Housing and Community Development ("HCD") with oversight with respect to a local agency's compliance with the Surplus Land Act; and
WHEREAS, HCD requires that certain affordability covenants and restrictions be recorded against surplus land as set forth in Government Code Section 54233 prior to its disposition.

NOW, THEREFORE, in consideration of the foregoing, the Owner declares as follows:

A. If ten (10) or more residential units are developed on the property described on Exhibit "A" attached hereto then not less than 15 percent of the total number of residential units developed on the property shall be sold or rented at an affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower -income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall remain affordable to and occupied by lower -income households for a period of 55 years for rental housing and 45 years for ownership housing. The initial -1-

occupants of all ownership units shall be lower -income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code.

B. These requirements shall be covenants and restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor -in -interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

C. The Restrictions and Covenants set forth herein are intended not to merge into the Owner's fee simple title to the Property, but become effective when the Property is conveyed by the current Owner (i.e. the City of Yucaipa).

IN WITNESS WHEREOF, the undersigned has caused this Covenants and Restrictions for Real Property to be signed by its duly authorized representatives, as of the day and year first above written.

ATTEST:

Ana Sauseda, MMC
Director of General Services/City Clerk
APPROVED AS TO FORM:

Steven Graham Pacifico, City Attorney
OWNER: CITY OF YUCAIPA
Dr. Sean M. Moore, City Manager
-2-

EXHIBIT "A"

LEGAL DESCRIPTION OF PROPERTY
LOT 20, 21 AND 22 OF BLOCK 68 OF REVISED MAP OF YUCAIPA CITY IN THE CITY OF

YUCAIPA, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, AS PER PLAT RECORDED IN BOOK 17 OF MAPS, PAGES 91-93, INCLUSIVE, RECORDS OF SAID COUNTY.

TOGETHER WITH THE ADJACENT ALLEYS AS ABANDONED BY RESOLUTION WHICH RECORDED AUGUST 29, 1966 IN BOOK 6688, PAGE 428, OFFICIAL RECORDS.

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of San Bernardino
On
before me
(insert name and title of the officer)
Notary Public
Personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)

ATTACHMENT 2

uocusign tnveiope iu: vtrbui��-Nuet-uu�u-u i�a-a'i4m5esuatuH CITY 01'

PROFESSIONAL SERVICES AGREEMENT

BY AND BETWEEN

THE CITY OF YUCAIPA,

A CALIFORNIA MUNICIPAL CORPORATION
:m1

KOSMONT REAL ESTATE SERVICES

A CALIFORNIA MBE CORPORATION
VERSION: 2026.01 (SAN BERNARDINO COUNTY)

uocusign tnvelope IU: 4tt-00I :l;-Huts t-t5l.l.U-t5l U.J-`tf 4Zbnb btUA

CITY OF YUCAIPA PROFESSIONAL SERVICES AGREEMENT
PROJECT/SERVICES: ON -CALL PROFESSIONAL REAL ESTATE BROKERAGE SERVICES CONSULTANT: KOSMONT REAL ESTATE SERVICES, INC.

THIS PROFESSIONAL SERVICES AGREEMENT ("Agreement") is made and entered into this 101h day of August, 2026 ("Effective Date"), by and between the CITY OF YUCAIPA, a California municipal corporation ("City"), and Kosmont Real Estate Services, dba Kosmont Realty, a California MBE Corporation ("Consultant"). City and Consultant are sometimes referred to individually as a "Party" and collectively as the "Parties."

RECITALS

1. Selection Process. City has sought the performance of certain services generally described as on -call professional real estate brokerage services by Request for Qualifications/Proposals.

2. Consultant Qualifications. Consultant represents that it is specially trained, experienced, and possesses the necessary professional qualifications, skills, and any required licenses to perform the Services competently and in a manner consistent with the standards of its profession. City has selected Consultant to perform the Services based on these demonstrated competencies and qualifications.

3. Mutual Intent. The Parties now desire to formalize the selection of Consultant and enter into this Agreement to define the specific terms, conditions, and scope of the Services to be provided.

OPERATIVE PROVISIONS
NOW, THEREFORE, in consideration of the mutual covenants, promises, and conditions contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

SECTION 1. SCOPE OF SERVICES.

Subject to the terms and conditions set forth in this Agreement, Consultant shall faithfully and competently perform the services and tasks set forth in Exhibit "A" (the "Services"), which is attached hereto and incorporated by this reference. Consultant shall provide all tasks, deliverables, and services set forth in the Scope of Services, as well as those services that are reasonably necessary to the full and professional completion of the Services. In the event of any conflict or inconsistency between the provisions of Exhibit "A" and the body of this Agreement, the provisions of this Agreement shall take precedence and govern.

SECTION 2. COMPENSATION, INVOICING AND PAYMENT.
(a) Total Compensation. Subject to the terms and conditions of this Agreement, City shall pay Consultant for the Services performed in accordance with the rates and schedule set

vocusign tweiope iu: +trbuiuL­Hunt-bL l u-o i4435CCtstuH forth in Exhibit `B". The total compensation for the Services, including any reimbursement for actual and necessary expenses, shall not exceed $50,000 for Technical/Advisory Professional Services and 2.5% commission on Real Estate Brokerage Services, as listed in Exhibit "B" — Compensation ("Total Compensation"). City shall not be liable for any payments to Consultant in excess of the Total Compensation unless such additional compensation is approved in advance and in writing by the City Manager (within their delegated authority) or the City Council, pursuant to Section 24 (Administration and Implementation) or Section 25 (Amendment).
(b) Invoicing Requirements. On or before the 15th day of each month, Consultant shall submit an invoice to the City for Services performed and expenses incurred during the preceding month. Invoices shall be submitted electronically to the address provided in Section 19 (Notices) and shall include:
(i) A detailed description of the tasks performed;
(ii) If compensated on an hourly basis, the name of the person performing the task, the hourly rate, and the amount of time allocated to the task; (iii) An itemization of any pre -approved expenses; and (iv) Subconsultant charges detailed by the same categories. (c) Payment and Disputes. City shall review each invoice to ensure compliance with this Agreement. City shall pay all undisputed amounts within forty-five (45) days of receipt of a correct invoice. If City disputes any portion of an invoice, City shall notify Consultant in writing of the dispute. Payment of the undisputed portion shall not be unreasonably delayed. The 45-day period for the disputed portion shall not begin until a revised, corrected invoice is submitted and approved.
(d) 80% Notification. Consultant shall provide written notice to the City Manager when total billings reach eighty percent (80%) of the Total Compensation. This notice is a mandatory administrative requirement to allow for budget review and shall include a summary of work completed and the estimated cost to complete the remaining Services. (e) Non -Waiver. Payment of any invoice shall not constitute an acceptance of the work or a waiver of any defects in the Services performed.
(f) Additional Work. Consultant shall not be compensated for any work outside the Scope of Services unless authorized in writing and in advance by the City. Any such authorized work shall be deemed part of the "Services" and subject to the terms of this Agreement.

uccusign tnVelOpe lu: 4tr-bt51U :-Huift-b(_1_U-6 "I l.`J-`J 144b-!)bb6tUA (g) Rates for Extended Term. If the Agreement is extended on a month -to -month basis pursuant to Section 3(b), the rates set forth in Exhibit `B" shall remain in effect unless otherwise modified by a written amendment.

SECTION 3. TERM OF AGREEMENT.
(a) Term and Commencement. This Agreement shall commence on the Effective Date and shall continue until June 30, 2029 (the "Term"), unless sooner terminated or extended by written amendment in accordance with this Agreement. All references to "days" shall mean calendar days unless otherwise specified.
(b) Month -to -Month Extension. Following the expiration of the Term, the City Manager may, in their sole and absolute discretion, unilaterally extend this Agreement on a month - to -month basis for a period not to exceed six (6) months. Any such extension shall be on the same terms and conditions as set forth herein, including the compensation rates specified in Exhibit `B." The City Manager shall exercise this option by providing written notice to Consultant at least ten (10) days prior to the expiration of the Term. (c) Fiscal Year Funding Contingency. Consultant acknowledges that the City is a municipal corporation and is subject to the appropriation of funds by its City Council on a fiscal year basis. If the City Council fails to appropriate or authorize funding for the Services for any subsequent fiscal year, this Agreement shall terminate at the end of the current fiscal year for which funding was appropriated. City shall provide Consultant with written notice of such non -appropriation as soon as practicable. City shall not be obligated to pay Consultant for any Services or expenses incurred after the end of a funded fiscal year. (d) Schedule of Performance. Consultant shall perform the Services in accordance with the schedule set forth in Exhibit "C" (the "Schedule of Performance"). Time is of the essence in the performance of this Agreement. If Consultant fails to meet the milestones or timelines set forth in Exhibit "C", such failure may be deemed a material breach and default under this Agreement. In the event of a delay, the City may, at its sole option:
(i) Allow Consultant to continue performance subject to a revised schedule; or (ii) Exercise its termination rights under Section 21 (Termination of Agreement).

SECTION 4. CONSULTANT'S BOOKS AND RECORDS.
(a) Recordkeeping Requirements. Consultant shall maintain any and all documents and records demonstrating or relating to Consultant's performance of the Services, including but not limited to ledgers, books of account, invoices, vouchers, electronic data, and other records evidencing expenditures and disbursements charged to City. Any and all such documents or records shall be maintained in accordance with generally accepted accounting principles and shall be sufficiently detailed to permit an accurate evaluation of

uocusign tnveiope IU: 4trbt5/l.4-HUtf t-t3l..l.U-l5l UJ-`Jf 14Zb0bZ%t:UH the Services. All such records shall be maintained for at least four (4) years following the date of final payment under this Agreement, or for any longer period required by law. (b) Inspection and Audit Rights. Upon reasonable request, City or its designated representative shall have the right to inspect, audit, and copy any records required to be maintained under this Section during regular business hours. Consultant shall provide such records to City in a format requested by City (including electronic formats) when practical; otherwise, such records shall be made available at Consultant's address for notice as set forth in Section 19 (Notices).
(c) CPRA Compliance. Consultant acknowledges that the City is a public agency subject to the California Public Records Act (Gov. Code § 7920.000 et seq.) (the "Act"). Consultant shall provide City with any and all records in its possession that are deemed "public records" under the Act within five (5) business days of a request by City, or such shorter time as may be necessary for City to comply with its obligations under the California Public Records Act. Consultant shall defend, indemnify, and hold harmless City for any claims, costs, penalties, or attorney's fees arising from Consultant's failure to provide such records in a timely manner or from Consultant's improper withholding of public records. (d) Transfer of Records. If City has reason to believe that records may be lost or discarded due to the dissolution or termination of Consultant's business, City may, by written request, require that custody of such records be given to the City. (e) Subconsultant Records. Consultant shall include the requirements of this Section in any agreement with a subconsultant providing Services under this Agreement.

SECTION 5. OWNERSHIP OF DOCUMENTS.
(a) City Ownership of Work Product. All original maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, and other documents (including "Native Files" in their original editable format) prepared, developed, or discovered by Consultant in the course of providing the Services (collectively, "Work Product") shall become the sole property of City. City may use, reuse, or dispose of the Work Product without Consultant's prior permission. Upon completion, expiration, or termination of this Agreement, Consultant shall immediately deliver all Work Product to City.
(b) Work Made for Hire. To the extent the Work Product is copyrightable, the Parties intend that all such works be deemed a "work made for hire" as defined in 17 U.S.C. § 101. City shall be considered the author and shall own all rights, including the copyright, in and to the Work Product.
(c) Intellectual Property Rights Assignment. To the extent any Work Product is deemed not to be a "work made for hire," Consultant hereby irrevocably assigns to City all right, title,

uocusign tnveiope lu: 4tr0iS/V1­-Huth-6Ul ,u-d I1.J-J'14LC5J)t505tUH and interest in and to the Work Product, including all copyrights, patents, trademarks, and other intellectual property rights. Consultant shall, at City's request and without further compensation, execute any documents (including powers of attorney) necessary to perfect or protect City's ownership. To the extent permitted by law, this assignment includes a waiver of any "moral rights" under California Civil Code § 987 or rights of publicity under California Civil Code § 3344 related to the Work Product. (d) Al and Data Models. Work Product expressly includes any datasets, metadata, algorithmic models, or artificial intelligence models developed or refined using City - provided data or developed in the course of performing the Services. Consultant shall not use City data or any Work Product to train, develop, or refine any proprietary Al models, machine learning algorithms, or other technologies for use outside of this Agreement without City's prior express written consent. Consultant shall not sell, license, or otherwise commercialize any Al models or algorithms derived from City data. (e) Limitation on Consultant Warranties. If City utilizes the Work Product for any purpose not related to this Agreement, Consultant's guarantees and warranties in Section 6 (Standard of Performance) shall not extend to such unrelated use. (f) Survival. The provisions of this Section shall survive the expiration or termination of this Agreement.

SECTION 6. STANDARD OF PERFORMANCE.
(a) General Standard. Consultant represents and warrants that it has the qualifications, experience, and resources necessary to properly perform the Services in a thorough, competent, and professional manner. Consultant shall at all times faithfully, competently, and to the best of its ability, experience, and talent, perform the Services. (b) Professional Standard of Care. In meeting its obligations under this Agreement, Consultant shall employ, at a minimum, generally accepted standards and practices utilized by professionals providing similar services to California municipal agencies. Consultant shall use such skill, prudence, and diligence as other members of Consultant's profession commonly possess and exercise. All deliverables provided by Consultant shall be free from material errors or omissions.
(c) Specific Standards. In addition to the general standards set forth in this Section, any specific standards of performance or criteria set forth in Exhibit "A" shall apply. In the event of a conflict between a general standard and a specific standard, the more stringent standard or the specific criteria shall govern.
(d) Compliance with Professional Ethics. Consultant shall perform all Services in accordance with the ethical standards and codes of conduct applicable to Consultant's profession and licensure.

uocusign tnvempe iu: 4trocsi��-Hunt-o��u-e i�a-a'iv�cs5coutur� (e) Re -Performance of Services. If City determines that any of the Services are deficient or fail to meet the standard of care set forth in this Section, City shall notify Consultant in writing of such deficiency. Consultant shall, at its sole cost and expense and without further compensation, promptly re -perform or correct the deficient Services to the reasonable satisfaction of the City. The City's acceptance of any Work Product shall not be construed as a waiver of the Consultant's obligation to re -perform or correct Services that are later discovered to be deficient or incorrect. If Consultant fails to correct the Services within a reasonable timeframe as determined by the City (which shall be no less than ten (10) business days unless circumstances require more urgent action), City may perform the work or hire a third party to do so, and Consultant shall be liable to City for all resulting costs, including the cost of cover and any price differential. City may offset such costs against any amounts owed to Consultant.

SECTION 7. COMPLIANCE WITH APPLICABLE LAWS; PERMITS AND LICENSES. (a) General Compliance. Consultant shall keep itself informed of and comply with all applicable federal, state, and local laws, ordinances, codes, and regulations in effect during the Term, including all Cal/OSHA requirements, conflict of interest laws, and prevailing wage laws (as applicable). If Consultant performs any work knowing it, or reasonably should have known it, to be contrary to such laws, rules, or regulations, Consultant shall be solely responsible for all costs and penalties arising therefrom. (b) Data Privacy and Security. Without limiting the generality of the foregoing, Consultant represents, warrants, and covenants that all Services shall comply with all applicable laws, regulations, and industry standards related to data protection, privacy, and information security, including but not limited to:
(i) The California Information Practices Act of 1977 (Cal. Civ. Code § 1798 et seq.); (ii) The California Consumer Privacy Act (CCPA/CPRA), as amended; (iii) The Health Information Portability and Accountability Act (HIPAA); (iv) The CJIS Security Policy promulgated by the FBI; and (v) All applicable digital accessibility standards, including WCAG 2.1 (Level AA) or higher and Section 508 of the Rehabilitation Act.
(c) Permits and Licenses. Consultant shall, at its sole cost and expense, obtain and maintain in full force and effect during the Term all permits, professional licenses, registrations, and certifications required by federal, state, or local law for the performance of the Services.

This includes, but is not limited to, maintaining a valid City Business License, as applicable for the duration of this Agreement. Consultant shall provide proof of all required licenses and permits to City upon request and within five (5) business days of any renewal.

uocusign tnveiope lu: 4tr0t5/LL-AU6t-tSLLu-b IL`.1-`,J 14, tb-jbbbtUA (d) Environmental Responsibility. As applicable, Consultant shall be responsible for all costs of clean-up and/or removal of hazardous or toxic substances spilled, leaked, or released as a result of Consultant's (or its subconsultants') performance of the Services. (e) Compliance Indemnity. Consultant shall defend, indemnify, and hold City and its Indemnified Parties (as defined in Section 15) harmless from any and all claims, liabilities, or penalties arising out of any failure or alleged failure of Consultant to comply with the laws and regulations referenced in this Section.

SECTION 8. CONFLICT OF INTEREST.
(a) Government Code Section 1090. Consultant represents and warrants that it has no knowledge of any facts that create or would create a violation of California Government Code Section 1090 et seq. Consultant represents and warrants that neither it nor any of its principals, owners, officers, employees, agents, or subconsultants (collectively, "Consultant Parties") has participated or will participate in the "making" of this Agreement (as that term is interpreted under California law) while having a financial interest in it, as defined in Government Code § 1090 ("§ 1090"). Consultant shall immediately disclose to the City Attorney any potential or actual § 1090 issues. Consultant acknowledges that any Agreement made in violation of § 1090 is void ab initio, and City may seek full disgorgement of all compensation paid, along with any other remedies available at law or in equity.
(b) Political Reform Act and Form 700. If City determines Consultant is acting in a "decision -making capacity," Consultant Parties may be required to comply with the Political Reform Act (Gov. Code § 87100 et seq.) and City's Conflict of Interest Code.

This includes:
(i) Filing Statements of Economic Interests (Form 700) as required by the City Clerk; (ii) Adhering to all disqualification and recusal requirements; and (iii) Implementing internal screens to ensure no person with a disqualifying financial interest influences a City decision.
(c) Levine Act Compliance (Gov. Code § 84308). Consultant represents that it (including its agents and subconsultants) has not made any campaign contributions to any City official exceeding the then -current threshold established by Government Code § 84308 and Fair Political Practices Commission ("FPPC") regulations within the twelve (12) months preceding the City's action on this Agreement. Consultant shall not make any such contribution for twelve (12) months following the final decision on this Agreement.

Consultant shall disclose in writing to the City Clerk and City Attorney any such contributions made by Consultant or its agents promptly upon learning of the matter.

UOCUsign tnvelope IU: 4trM 5fU_-iiubt-bUUU-b JU1-U14Lt10bbbtuA (d) Organizational Conflicts of Interest. Consultant shall avoid any "Organizational Conflict of Interest" where, because of other activities or relationships, Consultant is unable to render impartial assistance or advice, or Consultant's objectivity in performing the Services is otherwise impaired. Consultant shall not represent any third party in any matter adverse to the City that is related to the subject matter of this Agreement without City's prior written consent.
(e) Gifts, Gratuities, and Kickbacks. Consultant Parties shall not offer, give, or arrange any gift, honorarium, or "behested payment" to any City official in violation of the Political Reform Act or FPPC regulations. Consultant warrants it has not paid any contingent fee or kickback to secure this Agreement.
(f) Post -Employment Restrictions. Consultant shall not assign any former City official or employee to perform Services in violation of the "Revolving Door" restrictions set forth in Gov. Code § 87406.3 or local ordinances.
(g) Flow -Down and Remedies. Consultant shall impose these requirements on all subconsultants. A breach of this Section is a material breach permitting City to immediately terminate the Agreement, withhold payment, and seek all legal and equitable remedies, including rescission.

SECTION 9. PROHIBITED INTERESTS.
(a) Covenant Against Contingent Fees. Consultant warrants that it has not employed or retained any person or entity, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Consultant further warrants that it has not paid, and has not agreed to pay, any person or entity, other than a bona fide employee, any fee, commission, percentage, brokerage fee, or gift contingent upon or resulting from the award of this Agreement.
(b) Conflict of Interest. For the Term of this Agreement, Consultant warrants that no official, officer, or employee of City shall have any direct interest in this Agreement or obtain any present or anticipated material benefit arising therefrom. (c) Remedy for Breach. For any breach or violation of the warranties in this Section, City shall have the right to rescind this Agreement without liability and, at its discretion, may deduct from the Agreement price or otherwise recover the full amount of such fee, commission, percentage, brokerage fee, or gift.

SECTION 10. CALIFORNIA LABOR CODE REQUIREMENTS.
(a) Applicability. Consultant acknowledges and agrees to comply with the requirements of California Labor Code §§ 1720 et seq. and 1770 et seq. ("Prevailing Wage Laws"). If the

uocusign tnvelope iu: 4tr-t)ot u-Audtz-bt_uu-6 l.`J-`J 14zL-5)bt5tst:vA Services (or any portion thereof, such as surveying, inspection, or field testing) are deemed a "public work" or "maintenance" project as defined under California law, Consultant shall:
(i) Pay not less than the prevailing rate of per diem wages as determined by the Director of the California Department of Industrial Relations ("DIR"); (ii) DIR Registration: Maintain a current and valid registration with the DIR for the duration of the project, as required by Labor Code § 1725.5; and (iii) Apprentices and Payroll: Comply with all requirements related to the employment of apprentices and the maintenance/submission of certified payroll records. (b) Indemnification. Consultant shall defend, indemnify, and hold City and its Indemnified Parties (as defined in Section 15) harmless from any and all claims, demands, causes of action, fines, penalties, stop orders, liabilities, damages, costs, and expenses (including reasonable attorney's fees and costs of litigation) arising out of or in any way related to Consultant's failure to comply with Prevailing Wage Laws or DIR registration requirements, including but not limited to claims brought by the Labor Commissioner, DIR, or any affected worker.
(c) Duty to Monitor. Consultant is solely responsible for determining the applicability of Prevailing Wage Laws to the Services. City's failure to identify a project as a "public work" or "maintenance" does not relieve Consultant of its statutory or contractual obligations. (d) Right to Withhold Payment (Stop Payment). If City has a reasonable basis to believe that Consultant is in violation of Prevailing Wage Laws, or if Consultant (or any subconsultant) fails to maintain active DIR registration, City may withhold all or any portion of any payment otherwise due to Consultant until Consultant provides evidence of compliance to City's satisfaction. City may also withhold sufficient funds to cover potential penalties and liabilities. City's election to withhold payment under this Section shall not constitute a breach of this Agreement and shall not subject the City to any liability for penalties, interest, or consequential damages. Consultant expressly waives any claim for delay damages or lost profits arising from such withholding.

SECTION 11. EQUAL OPPORTUNITY EMPLOYMENT.

Consultant represents that it is an equal opportunity employer and that it shall not discriminate against any employee or applicant for employment because of race, religion, color, national origin, ancestry, sex, sexual orientation, gender identity, age, or any other status protected by the state or federal constitutions or laws. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment, layoff, or termination.

uocusign tweiope Iu: 4tt-001 kl AU6tz-i5U_U-25-I 1:`U-`J 14Lt 0bW5tUH SECTION 12. INDEPENDENT CONTRACTOR.
(a) Independent Contractor Status. Consultant is and shall at all times remain a wholly independent contractor and not an officer, employee, or agent of City. This Agreement is a "business -to -business" contract under California Labor Code § 2776. Consultant represents and warrants that it is a separate business entity that is: (i) free from the control and direction of the City in connection with the performance of the Services; (ii) provides services directly to its own clients; and (iii) maintains a separate business location. (b) No Agency Authority. Consultant shall have no authority, express or implied, to act on behalf of the City, to bind the City to any contract, or to incur any obligation, debt, or liability against the City. Consultant shall not at any time represent that Consultant or any of its employees or agents are in any manner officials, officers, employees, or agents of the City.
(c) Control of Personnel and Conduct. Consultant shall be solely responsible for the means, methods, techniques, sequences, and procedures of the Services. The personnel performing the Services shall be under Consultant's exclusive direction and control. Consultant shall provide all facilities, tools, equipment, and resources necessary to perform the Services. (d) No City Employee Benefits / Ca1PERS. Neither Consultant nor its officers, employees, or agents shall obtain any rights to retirement (including Ca1PERS), health care, workers' compensation, disability, unemployment insurance, or any other benefits which may accrue to City's employees. Consultant expressly waives any claim to such rights to the fullest extent permitted by law. Consultant acknowledges and agrees that City will not withhold any federal or state income taxes, social security, Medicare, State Disability Insurance (SDI), or other employment -related taxes from payments made under this Agreement. Consultant is solely responsible for all such tax obligations and shall provide City with proof of payment upon request.
(e) Reclassification Indemnity. Should any person or entity (including but not limited to Ca1PERS, the Employment Development Department (EDD), the Internal Revenue Service, the Division of Labor Standards Enforcement, the Franchise Tax Board, or any private plaintiff in a class action or representative action under the Private Attorneys General Act (PAGA) claim that Consultant or any of its personnel are "employees" of the City or that the City is a "joint employer," Consultant shall defend, indemnify, and hold City and its Indemnified Parties (as defined in Section 15) harmless from and against any and all resulting liabilities, including but not limited to:
(i) Unpaid employer and employee contributions to Ca1PERS or other pension systems;
(ii) Unpaid employment taxes, social security, and Medicare payments;

uocusign tnveiope 1L):4tl'bL5A_U-Hu0t-uUUu-uiUa-a14ZbnbbutuH (iii) Interest, fines, and administrative penalties; and (iv) Attorney's fees and costs incurred by the City in defending such claims. (f) Survival. The provisions of this Section shall survive the expiration or termination of this Agreement and shall remain in effect for as long as any third -party claim may be brought regarding the status of the relationship.

SECTION 13. CONFIDENTIAL INFORMATION; RELEASE OF INFORMATION. (a) Confidentiality of Information. All information gained or Work Product produced by Consultant in connection with the Services shall be considered confidential unless it is in the public domain or becomes publicly available through no breach by Consultant.

Consultant shall not release or disclose any such information to third parties without prior written authorization from the City Manager, except as required by law or court order.

Consultant shall promptly notify City of any legal requirement to disclose confidential information and shall cooperate with City's efforts to obtain a protective order or other appropriate relief.
(b) CPRA Compliance and Personal Devices. Consultant acknowledges that City is subject to the California Public Records Act (Gov. Code § 7920.000 et seq.). (i) Duty to Search: Consultant shall, at City's request, conduct a thorough search of its servers, cloud storage, and the private devices/accounts of any personnel used to perform the Services to identify responsive records.
(ii) Redaction Cooperation: Consultant shall assist City in identifying and segregating information it believes is exempt from disclosure. City shall make the final determination on disclosure.
(c) Data Breach Notification (SB 446). If Consultant discovers or is notified of a "breach of the security of the system" (as defined in Cal. Civil Code § 1798.82) involving City data, Consultant shall:
(i) Immediate Notice: Notify the City Attorney and City Manager in writing within twenty-four (24) hours of discovery or when Consultant reasonably should have discovered the breach, whichever is earlier.
(ii) 30-Day Mandatory Clock: Ensure all affected California residents are notified within thirty (30) calendar days of discovery, pursuant to the strict deadlines of SB 446.

uocusign tnVelope W: 4tr-bV1UU-HUbt-6LA U-tfl l:`J-`Jl4Ltl5tf27 tStVH (iii) AG Notification: If the breach affects more than 500 residents, Consultant shall notify the California Attorney General within fifteen (15) calendar days of notifying the individuals.
(iv) Notice Format: Any notice must be titled "Notice of Data Breach," use at least 10- point type, and include the mandatory headings: "What Happened," "What Information Was Involved," "What We Are Doing," "What You Can Do," and "For More Information."
(v) Cost of Notification: Consultant shall bear all costs associated with the investigation, notification, and provision of at least twelve (12) months of credit monitoring services to affected individuals.
(d) Restrictions on Voluntary Statements. Consultant shall not voluntarily provide declarations, testimony, or letters of support concerning the Services to any third party without prior written authorization from the City Manager or City Attorney. (e) Notice of Legal Process. If Consultant is served with a subpoena or discovery request regarding this Agreement, Consultant shall notify the City Attorney within two (2) business days and provide City at least ten (10) business days to seek a protective order before disclosing any information.
(f) Whistleblower Protection. Nothing in this Section shall prohibit Consultant or its employees from reporting suspected unlawful acts to a government agency pursuant to California Labor Code § 1102.5.
(g) Indemnification for Disclosure. Consultant shall defend, indemnify, and hold City and its Indemnified Parties (as defined in Section 15) harmless from any damages, costs, or attorney's fees, including regulatory fines and class-action settlements, arising from Consultant's unauthorized disclosure or data breach.

SECTION 14. NON -EXCLUSIVITY AND COOPERATION.
(a) Non -Exclusivity. City reserves the right to employ other consultants, contractors, or City personnel in connection with the Services or other projects. This Agreement is non- exclusive, and nothing herein shall prevent City from providing for itself or obtaining from third parties any services similar or identical to those performed by Consultant. (b) Duty of Cooperation. Consultant acknowledges that City may have other consultants or City employees performing work related to the Services. Consultant shall provide active and professional cooperation to City and any third -party providers. This duty includes, but is not limited to:
(i) Timely participation in joint project meetings;

UOCUsign tnveiope IU: 4tFbb I U1,-AUbt-t UUU-b I Ul-'J l4Lt55t525t5t=UA (ii) Sharing of Work Product, data, and information in native, open, and machine- readable formats (e.g., .csv, .dwg, .xlsx) as necessary for integration; and (iii) Providing reasonable access to Consultant's personnel to resolve technical "interfacing" issues.
(c) Integration Disputes. In the event of a conflict or technical "interface" issue between Consultant and another City service provider, the City Manager' shall have the final authority to determine the appropriate resolution. Consultant shall implement the City Manager's decision at no additional cost to the City, provided such resolution is within the general Scope of Services.
(d) No Compensation for Interference. Consultant shall not be entitled to additional compensation or a "delay claim" arising from the City's exercise of its right to employ other consultants, except as specifically provided under Section 22 (Delays in Performance).

SECTION 15. INDEMNIFICATION AND DEFENSE.
(a) Definitions. For purposes of this Section 15, the following definitions apply:
(i) "Indemnified Parties" means the City and its elected and appointed officials, officers, employees, agents, representatives, and volunteers. (ii) "Claims" means any and all claims, demands, causes of action, proceedings (whether at law or equity, administrative or judicial), orders, judgments, losses, injuries (including injury to or death of any person), liabilities, damages, costs, and expenses (including reasonable attorney's fees, expert witness fees, and costs of litigation and investigation).
(b) General Indemnity. To the fullest extent permitted by law, Consultant shall indemnify, defend, and hold harmless the Indemnified Parties from and against any and all Claims that arise out of, pertain to, or relate to, directly or indirectly, in whole or in part, the performance of the Services by Consultant, its officers, employees, agents, representatives, or subconsultants. This includes Claims arising from the active or passive negligence of the Indemnified Parties, excluding only those Claims arising from the sole negligence or willful misconduct of the Indemnified Parties.
(c) Immediate Duty to Defend. Consultant acknowledges that the duty to defend is a separate and distinct obligation from the duty to indemnify. This duty shall (i) arise immediately upon the tender of a Claim; (ii) be provided at Consultant's sole cost and expense; and (iii) exist regardless of whether the Consultant is ultimately found liable or negligent.

uocusign tnveiope iu: 4trbi5/1.l.-HVt5t-251.1.U-i5lub-y14zbobdbtuH (d) Defense and Settlement. City reserves the absolute right to conduct and control its own defense, including the selection of counsel (including the City Attorney's Office).

Consultant remains liable for all costs and fees. Notwithstanding any other provision, no Claim shall be settled, compromised, or otherwise resolved without the prior written consent of the City. City has the right to withhold consent to any settlement that: (i) involves an admission of liability or wrongdoing by the City; (ii) imposes non -monetary obligations on the City; or (iii) is deemed by the City Attorney to create an adverse legal precedent for the City. Any settlement entered into by Consultant or its insurer without the City's express written approval shall not release Consultant from its duty to continue the defense or to fully indemnify the City for any subsequent judgment or costs. (e) Design Professional Exception. Pursuant to Civil Code § 2782.8, if Consultant is a "Design Professional," the duty to indemnify and defend (including defense costs) shall be limited to the extent that the Claims arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant.
(f) Subconsultant Flow -Down. Consultant shall require all subconsultants to execute an indemnity and defense agreement identical to this Section, naming the Indemnified Parties as additional indemnitees.
(g) Survival. The provisions of this Section shall survive the expiration or termination of this Agreement until all claims against Indemnified Parties involving any Claims are fully, finally, and absolutely barred by the applicable statute of limitations.

SECTION 16. INSURANCE.
(a) Maintenance of Insurance. Consultant shall, at its sole cost and expense, procure and maintain for the duration of this Agreement (and for any extended period required herein) the insurance coverages set forth in Addendum "1". All insurance shall be placed with insurers with a current A.M. Best's rating of no less than A:VII, unless otherwise approved in writing by the City Manager or their designee.
(b) Evidence of Coverage. On or before the Effective Date, Consultant shall deliver to City original certificates of insurance and amendatory endorsements (including the "Additional Insured" and "Primary/Non-Contributory" endorsements) effecting coverage required by this Agreement. City reserves the right to require complete, certified copies of all required insurance policies, including endorsements, at any time. (c) Primary and Non -Contributory. All insurance required of Consultant shall be primary to any insurance or self-insurance maintained by the City, and the City's insurance shall be non-contributory. Any other insurance provisions in Consultant's policies shall be amended or superseded by this Agreement to ensure the Consultant's coverage responds first.

uOCUSign tnveiope iu: 4trbtf / l.l.-Huff t-ifl.l.U-tf-I 1. `J-`J 142b35LiMtuH (d) Notice of Cancellation. Consultant shall provide City with at least thirty (30) days' prior written notice of any cancellation, non -renewal, or material reduction in coverage. If a policy is cancelled for non-payment of premium, Consultant shall provide at least ten (10) days' notice. Failure to maintain required insurance shall be a material breach permitting City to immediately terminate this Agreement or withhold payment. (e) Waiver of Subrogation. Consultant hereby waives all rights of subrogation against the Indemnified Parties (as defined in Section 15) for losses arising from the Services.

Consultant shall ensure all policies include a waiver of subrogation endorsement in favor of the City.
(f) Subconsultants. Consultant shall ensure that all subconsultants maintain insurance meeting the same requirements set forth in this Section and Addendum "1", unless a lower limit is approved in writing by the City Manager.

SECTION 17. CONTINUITY OF PERSONNEL.
(a) Designation of Key Personnel. The Services shall be performed or directly supervised by the individuals designated in Consultant's proposal as "Key Personnel" or similar.

Consultant represents that these individuals possess the specific professional qualifications and experience upon which the City relied in awarding this Agreement. (b) Stability of Staffing. Consultant shall make every reasonable effort to maintain the stability and continuity of the Key Personnel throughout the Term. Consultant shall not remove or reassign any Key Personnel from the Services without providing at least fourteen (14) days' prior written notice to the City, unless such individual has left Consultant's employ or is unable to work due to illness or disability. (c) Substitution of Personnel. If any Key Personnel must be replaced, Consultant shall propose a substitute with equivalent or superior qualifications. (d) City's Right to Object. While Consultant retains the sole right to hire and direct its employees, City shall have the right to object to a proposed substitute if the City determines, in good faith, that the substitute lacks the qualifications or experience necessary to perform the Services.
(e) Effect of Objection. If the City objects to a substitute, Consultant shall propose an alternative until a qualified individual is identified. Failure to provide qualified Key Personnel shall be considered a failure to meet the Standard of Performance under Section

6. uocusign tnvelope Iu:4t1'bt5tkA_-Hutlt-6Ut_U-25IVJ-`)14/bObObtUH (f) Independent Contractor Distinction. Nothing in this Section shall be construed as giving the City the right to control the means or methods of Consultant's work or to manage Consultant's internal human resources. The City's interest is limited solely to ensuring that the professional expertise and qualifications promised in the proposal are delivered throughout the project.

SECTION 18. ASSIGNMENT.
(a) Restriction on Transfer and Assignment. The expertise, experience, and reputation of Consultant are material considerations for this Agreement. Consultant shall not assign, transfer, or convey this Agreement, any portion hereof, any performance required hereunder, or any "monies due" or to become due hereunder, without the prior written consent of the City. Such consent may be given or withheld in the sole and absolute discretion of the City Manager.
(i) Change of Control. A sale, merger, or transfer of a majority interest in Consultant's business shall be deemed an "assignment" requiring City consent under this Section.
(ii) Effect of Violation. Any attempted assignment without prior written consent shall be null, void, and a material breach, entitling City to all remedies, including immediate termination.
(b) Use of Subconsultants. Consultant shall not subconsult any portion of the Services without the prior written approval of the City Manager. Before retaining any Subconsultant, Consultant shall provide City with:
(i) Identity and Qualifications: The name, license number (if applicable), and professional qualifications of the proposed Subconsultant. (ii) Contractual Flow -Down: A copy of the proposed subconsultant agreement that must expressly incorporate the indemnity, defense, insurance, and audit requirements of this Agreement, naming the Indemnified Parties (as defined in Section.15) as third -party beneficiaries.
(ill) Insurance Evidence: Certificates and endorsements showing the Subconsultant carries insurance equal to the limits required in Addendum "I". (c) Consultant's Responsibility. The use of subconsultants shall not relieve Consultant of its primary obligations under this Agreement. Consultant shall be jointly and severally liable to City for the acts, errors, and omissions of its subconsultants. Consultant shall be solely responsible for the timely payment of its subconsultants.

uocusign tnveiope w: 4trbb[UU ,-,vuut-uuuu-b ]Ub-a 142bObnatUA (d) No Contractual Relationship. Nothing in this Agreement shall create a contractual relationship between the City and any subconsultant, and no subconsultant shall have any claim against the City for payments due to Consultant.

SECTION 19. NOTICES.
(a) Method of Delivery. All notices, demands, or communications required under this Agreement shall be in writing and shall be deemed "given" and "received" when:
(i) Personal Delivery: Delivered in person to the recipient; (ii) Reputable Courier: Delivered by a recognized overnight delivery service (e.g., FedEx, UPS) with a receipt showing date and time; or
(iii) Certified Mail: Three (3) business days after deposit in the U.S. Mail, postage prepaid, certified, return receipt requested.
(b) Address of Record.

To City: City of Yucaipa
Attn: City Manager
34272 Yucaipa Blvd
Yucaipa, CA 92399
To Consultant:

Kosmont Real Estate Services
Attn: Lary J. Kosmont, CRE — President & Broker
1601 N. Sepulveda Blvd., #382
Manhattan Beach, CA 90266
(c) Courtesy Email Copies. While the formal notice must be sent via the methods in subsection (a) above, the Parties shall endeavor to provide a courtesy copy via email to the representatives listed above. Email notice alone shall not constitute "formal notice" for purposes of termination or breach.
(d) Change of Address. Consultant shall provide written notice to City of any change of address within five (5) business days.

uccusign tnveiope lu: 4trt3bI U-AUdt-i UUU-tl IU-J-`J14Zb0b btUA SECTION 20. INSPECTION AND FINAL ACCEPTANCE.
(a) Right to Inspect. City shall have the right to inspect and review Consultant's work in progress at any time. Consultant shall cooperate with City and provide reasonable access to all draft Work Product, notes, and data to ensure the Services are progressing in accordance with this Agreement.
(b) Review and Rejection. City shall have sixty (60) days from the date of receipt of a final deliverable to accept or reject the work. Any rejection shall be in writing and shall specify the reasons the work fails to meet the Scope of Services (Exhibit A) or the Standard of Performance (Section 6).
(c) Tolling of Time. If City requests clarification, additional data, or minor revisions, the 60- day review period shall be "tolled" (paused) until Consultant provides the requested information.
(d) Opportunity to Cure. If City rejects any Work Product, Consultant shall have fourteen (14) days from the date of the rejection notice (the "Cure Period") to correct the deficiencies at no additional cost to the City.
(e) Extension of Cure Period. The City Manager may, in their sole discretion, extend the Cure Period if the Consultant demonstrates that a longer period is required for a professional correction.
(f) Failure to Cure. If Consultant fails to cure the deficiencies within the Cure Period, City may: (i) declare a material breach and terminate the Agreement under Section 21 (Termination of Agreement); or (ii) perform the work or hire a third party to do so, with all reasonable costs deducted from any amounts due to Consultant, provided that City shall provide Consultant with a detailed accounting of such costs within thirty (30) days of completion of the corrective work.
(g) Final Acceptance. City's "Final Acceptance" of the Services shall be conclusive as to the work performed, except for:
(i) Latent Defects: Errors or omissions in the Work Product that were not reasonably discoverable by City at the time of acceptance;
(ii) Fraud or Gross Mistake: Any willful concealment or mistakes so gross as to amount to fraud; and
(iii) Surviving Warranties: Any breach of the professional standard of care warranties set forth in Section 6 (Standard of Performance).

UOCu Sign tnveiope iu: 4trot tuu-Auot-b5 ,uu-tSll,y-`J 14Lt55tS t525tUH (h) No Waiver. Neither Final Acceptance nor Final Payment shall constitute a waiver of any of the City's rights under Section 13 (Confidential Information; Release of Information), Section 15 (Indemnification and Defense), or Section 16 (Insurance).

SECTION 21. TERMINATION OF AGREEMENT.
(a) Termination by City (Convenience). City may terminate this Agreement, in whole or in part, at any time and for any reason, with or without cause, by providing written notice to Consultant.
(i) Effect of Notice: Upon receipt of notice, Consultant shall immediately cease all work, except as specifically directed by the City for an orderly "wind -down." (ii) Liability Limit: City's sole liability shall be to pay for Services satisfactorily performed up to the date of the notice, plus reasonable costs incurred by Consultant in winding down the Services as specifically directed by City under subsection 21(a)(i) above. City shall not be liable for lost profits, unabsorbed overhead, anticipated profits on unperformed services, or any other consequential damages arising from such termination.
(b) Termination by City (Cause). City may terminate this Agreement immediately for cause if Consultant: (i) materially fails to perform the Services within the time specified and such failure is not excused under Section 22 (Delays in Performance); (ii) fails to cure a deficiency under Section 20 (Inspection and Final Acceptance); (iii) materially breaches the Conflict of Interest provisions in Section 8 (Conflict of Interest); or (iv) becomes insolvent or files for bankruptcy. In such event, City may complete the work by other means and Consultant shall be liable for any reasonable excess costs actually incurred by City, meaning the difference between the cost to complete the work and the amount that would have been paid to Consultant for the same work under this Agreement. (c) Termination by Consultant. Consultant may only terminate this Agreement for cause (e.g., City's material failure to pay undisputed invoices) upon thirty (30) days' prior written notice. If City cures the breach within that 30-day period, the notice shall be deemed rescinded.
(d) Obligations Upon Termination. Within seven (7) days of any termination:
(i) Consultant shall deliver to City all Work Product (including native and editable files) and all City -owned property;
(ii) Consultant shall provide a final itemized invoice for work performed through the termination date; and

uocusign tnvelope lu: 4tt-OOIUU-HU23t-to UU-t5ll,:`J-`J"14LCaaautUH (iii) Consultant shall waive and release any claims to "mechanic's liens" or other encumbrances against the City or City property.
(e) Suspension of Performance. City may, at its sole option, suspend all or any portion of the Services.
(i) Resumption: City may rescind the suspension by written notice. Consultant shall be entitled to an extension of time equal to the suspension period. (ii) Extended Suspension: If the suspension exceeds ninety (90) days, the Parties shall meet in good faith to determine if a compensation adjustment is required due to the delay.

SECTION 22. DELAYS IN PERFORMANCE.
(a) Excusable Delay. Neither Party shall be in default of this Agreement for delays in performance caused by circumstances beyond their reasonable control that were unforeseeable at the time of contracting and could not have been avoided by the exercise of due diligence (a "Force Majeure Event").
(b) Included Events. Force Majeure Events include, but are not limited to: acts of God (fire, flood, earthquake); acts of the public enemy; war; riots; civil disturbances; and unforeseeable acts of federal, state, or local government (such as new embargoes or judicial restraints).
(c) Excluded Events. Notwithstanding the above, the following shall not constitute a Force Majeure Event:
(i) Financial Hardship. Increased costs of labor or materials, or the Consultant's general financial inability to perform.
(ii) Labor Disputes. Strikes or slowdowns involving the Consultant's own employees or subconsultants.
(iii) Cyber Events. Data breaches, ransomware, or system failures caused by Consultant's failure to maintain reasonable cybersecurity measures, unless such events were part of a widespread regional infrastructure failure beyond Consultant's reasonable control.
(iv) Foreseeable Risks. Any event (including public health orders) that was known or reasonably foreseeable as of the Effective Date.
(d) Mandatory Notice and Mitigation. To claim a Force Majeure Event, the non- performing Party must:

uocusign tnveiope iu: 4trbb/U1--,vu6t-uU1-u-0 11+m5eruotu,v (i) Provide written notice to the other Party within two (2) business days of the commencement of the event;
(ii) Provide a detailed explanation of the impact on the Schedule of Performance (Exhibit C); and
(iii) Exercise comprehensive and active diligence to mitigate the delay and resume performance as soon as possible.
(e) Termination for Extended Delay. If a Force Majeure Event delays performance for more than thirty (30) days, City may terminate this Agreement for convenience immediately upon written notice, pursuant to Section 21(a), without further liability except for payment for work satisfactorily performed prior to the event.

SECTION 23. AUTHORITY TO EXECUTE.
(a) Representation of Authority. The person or persons executing this Agreement on behalf of Consultant represent and warrant that:
(i) Consultant is a duly organized and validly existing entity under the laws of the State of its formation;
(ii) The execution of this Agreement has been authorized by all necessary corporate, partnership, or limited liability company action; and
(iii) The signatory has the actual authority to bind Consultant to all terms and conditions of this Agreement.
(b) Personal Liability of Signatory. If the person executing this Agreement is unauthorized to bind the Consultant, such signatory shall be personally and individually liable for all obligations, performances, and liabilities set forth in this Agreement. This personal liability includes, but is not limited to, the obligation to defend and indemnify the City under Section 15 in the event the Consultant entity disclaims the Agreement. (c) Proof of Authority. Upon request of the City Attorney or City Clerk, Consultant shall provide written evidence of the signatory's authority to bind the entity. Such evidence may include a certified copy of a corporate resolution, a Secretary's Certificate, or relevant excerpts from an operating agreement or bylaws.
(d) California Corporations Code Compliance. If Consultant is a corporation, Consultant shall endeavor to have this Agreement executed in accordance with California Corporations Code § 313, utilizing the signatures of two (2) authorized officers (one from

uocusign tnvetope iu: Il a-J 14LL:$0b?J t:UA
the "Operational" tier and one from the "Financial/Secretarial" tier), unless a single signatory provides proof of dual -authority.

SECTION 24. ADMINISTRATION AND IMPLEMENTATION.
(a) City Representative. This Agreement shall be administered and implemented by the City Manager or their designated representative (the "City Representative"). (b) Administrative Authority. The City Manager shall have the authority to:
(i) Issue written interpretations of this Agreement;
(ii) Approve minor "field changes" or adjustments to the Schedule of Performance (Exhibit C) that do not exceed the overall Term; and
(iii) Authorize minor modifications to the Scope of Services (Exhibit A), provided such changes do not increase the total compensation beyond the City Manager's authorized contracting limit under the City Municipal Code. (c) Fiscal Limitations. Notwithstanding any other provision, any amendment or modification that increases the Total Compensation set forth in Section 2 beyond the amount previously authorized by the City Council, or beyond the City Manager's current purchasing authority, shall require a formal written amendment approved by the City Council. (d) Documentation. Any interpretation or administrative adjustment issued under this Section must be in writing and signed by the City Manager to be effective. Consultant shall not be entitled to rely on oral representations or "informal" approvals from City staff that deviate from the terms of this Agreement.

SECTION 25. AMENDMENT.
(a) Formal Requirements. No amendment, modification, or variation of the terms of this Agreement shall be valid or relevant unless made in writing and executed by the authorized representatives of both Parties.
(b) Approval Authority.
(i) City Manager Authority. The City Manager shall have the authority to approve and execute an amendment to this Agreement only if the Total Compensation, as amended, remains within the City Manager's formal contracting and purchasing authority as established by the City Municipal Code.
(ii) City Council Authority. Any amendment that increases the Total Compensation beyond the City Manager's purchasing authority in the City Municipal Code must be approved by the City Council.

uocusign tnveiope iu: 4trbesi��-Hunt-a��u-u'i�a-a'i4ttsotsuatuH (c) Non -Waiver of Writing Requirement. The Parties specifically agree that the requirement for a "writing" to amend this Agreement is a material term and cannot be waived through oral representations, course of performance, or course of dealing. Any attempted oral amendment or waiver of this Section shall be void ab initio. (d) Execution of Amendments. Amendments shall be numbered sequentially (e.g., "First Amendment to Professional Services Agreement") and shall clearly identify the specific sections of the original Agreement being modified.

SECTION 26. WAIVER.
(a) No Implicit Waivers. No waiver of any provision of this Agreement shall be effective unless it is made in writing and signed by the authorized representative of the waiving Party. No delay or omission by the City in exercising any right or remedy shall operate as a waiver of that right or any other right.
(b) Sequential Breaches. A waiver by either Party of a breach of any term, condition, or covenant of this Agreement shall not be construed as a waiver of any subsequent breach of the same or any other- term, condition, or covenant. The City's failure to enforce a strict perfomance of any provision shall not waive the City's right to demand strict performance in the future.
(c) Acceptance of Performance. The City's payment for or acceptance of any Work Product or Services shall not constitute a waiver of any of the City's rights or the Consultant's obligations under this Agreement, including but not limited to the Standard of Perfonnance Section 6 (Standard of Performance), Section 15 (Indemnification and Defense), and Section 16 (Insurance).
(d) Cumulative Remedies. All rights and remedies of the City under this Agreement are cumulative and are in addition to any other rights or remedies provided by law or in equity.

SECTION 27. LAW TO GOVERN; VENUE.
(a) Governing Law. This Agreement shall be interpreted, construed, and governed according to the laws of the State of California, without regard to its conflict of laws principles. (b) Venue. In the event of litigation between the Parties:
(1) State Court: Venue shall lie exclusively in the Superior Court of California for the County of San Bernardino.
(ii) Federal Court: Venue shall lie exclusively in the United States District Court for the Central District of California.

SECTION 28. ATTORNEY'S FEES, COSTS AND EXPENSES.

Except as expressly provided otherwise in Section 15 (Indemnification and Defense), the Parties agree that in any action to enforce or interpret this Agreement, each Party shall bear its own attorney's fees and litigation costs, regardless of who is the prevailing party.

uocusign tnveiope w: 4trbaicc-Hunt-auuu-u 1Ua-`Jl4Zb3bb ftuA SECTION 29. BINDING EFFECT.

This Agreement shall be binding upon the heirs, executors, administrators, successors, and assigns of the Parties.

SECTION 3O. INCORPORATION AND ORDER OF PRECEDENCE.
(a) Incorporated Documents. The following documents are hereby incorporated into and made a part of this Agreement by this reference:
(i) Funding Restrictions. Any laws, regulations, or restrictions applicable to the specific funding source(s) used by City (e.g., FEMA, ARPA, or State Grant requirements);
(ii) Amendments. Any written amendments executed pursuant to Section 25; (iii) Addenda. Addendum "I" (Insurance Requirements) and, if applicable, Addendum "2" (Federal Funds);
(iv) Exhibits. Exhibit "A" (Scope of Services), Exhibit "B" (Compensation), and Exhibit "C" (Schedule of Performance); and
(v) Consultant's Proposal. Consultant's proposal, but only as to the description of the Services and the technical specifications contained therein. (b) Order of Precedence. The documents listed in subsection (a) above, together with the body of this Agreement, shall be referred to collectively as the "Agreement Documents." The Agreement Documents are intended to be complementary. In the event of any conflict, inconsistency, or ambiguity between the Agreement Documents, they shall be given effect in the following order of priority:
(1) Funding Restrictions (highest priority);
(ii) Amendments (most recent takes precedence);
(iii) The Body of this Agreement;
(iv) Addendum "I" (Insurance Requirements);
(v) Exhibits "A", "B", and "C' ; and
(vi) Consultant's Proposal (lowest priority).

uccusign tnveiope IU: 4tz bUbt UU-Hunt-tSl..UU-0IU.J-`JJ 14Zb0b?JbtUA (c) Limitations on Proposal. Notwithstanding any language to the contrary in the Consultant's proposal, no "standard terms and conditions," "limitations of liability," "indemnity carve -outs," or "proprietary rights" contained in the Consultant's proposal shall have any force or effect, even if the proposal is attached as an Exhibit. (d) Stringency Rule. If an obligation is addressed in multiple Agreement Documents at the same priority level, the more stringent requirement, in the reasonable determination of the City Attorney, shall govern.

SECTION 31. SEVERABILITY.
(a) General Severability. If any teen, condition, or covenant of this Agreement is declared or detennined by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions of this Agreement shall not be affected thereby and shall remain in full force and effect.
(b) Judicial Reformation. In the event any provision is held to be invalid or unenforceable, the Parties agree that the court should "reform" such provision to the minimum extent necessary to make it valid and enforceable, while maintaining the original intent of the Parties.
(c) Essential Purpose. If the removal or reformation of any provision under this Section would effectively defeat the "essential purpose" of the Agreement (e.g., the limitation on total compensation or the standard of care), the Parties shall meet in good faith to amend the Agreement to restore such purpose. If no agreement can be reached, the City may terminate the Agreement for convenience under Section 21.

SECTION 32. ENTIRE AGREEMENT.
(a) Final and Exclusive Expression. This Agreement, including all incorporated Agreement Documents (as defined in Section 30), constitutes the entire, complete, final, and exclusive expression of the Parties with respect to the subject matter hereof. (b) Integration and Merger. All prior or contemporaneous agreements, understandings, negotiations, representations, or statements, whether oral or written, are hereby merged into and superseded by this Agreement. No Party has relied on any promise, representation, or inducement that is not expressly set forth in this Agreement. (c) Independent Investigation. Consultant represents and warrants that it has conducted its own independent investigation of the facts and circumstances material to the performance of the Services. Consultant has not relied on any oral or written information provided by City personnel that is not expressly incorporated into Exhibit "A" (Scope of Services). (d) Preemption of Standard Terms. The Parties agree that no "standard terms and conditions," "shrink-wrap," "click -through" or "browse -wrap" terms provided by

uocusign tumpe iu: 4trbt t L U-Hunt-au(_u-0 I l J-a 14, tWDbnutuH Consultant (including those found on Consultant's website, invoices, or data -transfer portals) shall have any force or effect, and the terms of this Agreement shall govern exclusively.

SECTION 33. TIME OF ESSENCE.

Time is of the essence for each and every provision of this Agreement.

SECTION 34. FEDERAL FUNDS.
(a) Automatic Incorporation. In the event the Services are funded, in whole or in part, by federal funds (including but not limited to grants, reimbursements, or loans from FEMA, HUD, ARPA, or the Department of Transportation), the provisions of Addendum "2" (Federal Funds) and the remainder of this Section 34 shall be deemed automatically incorporated into this Agreement and shall have the highest priority in the Order of Precedence (Section 30).
(b) Consultant's Duty of Inquiry. Consultant acknowledges that it is a "subrecipient" or "contractor" for purposes of federal law (e.g., 2 C.F.R. Part 200). Consultant has an affirmative duty to inquire with the City Representative as to the funding source of this Agreement. The absence of a specific reference to federal funds in Exhibit `B" shall not relieve Consultant of its duty to comply with Addendum "2" if federal funds are, in fact, utilized.
(c) Conflict of Terms. In the event of a conflict between the requirements of Addendum "2" and any other provision of this Agreement, the federal requirements shall govern to the extent necessary to ensure the City's eligibility for such funds. (d) Immediate Compliance. Upon notice from the City that federal funds are being utilized, Consultant shall immediately:
(i) Provide any required federal certifications (e.g., Debarment and Suspension, Byrd Anti -Lobbying);
(ii) Adjust its recordkeeping to comply with federal audit standards; and (iii) Ensure all subconsultants are bound by the same federal flow -down requirements. [SIGNATURE PAGE FOLLOWS]

uocusign tnvelope lu: 4trbt5/l.l,-Huts t-tSl:l.U-i5l l:`J-`Jl4Lt55C252ftUH IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date and year first -above written.

CITY OF YUCAIPA: CONSULTANT:

By:

Dr. Sean Moore, City Manager
ATTEST:

CITY CLERK
By:

Ana Sauseda, MMC
APPROVED AS TO FORM:

CITY ATTORNEY
By:

Steven Pacifico, City Attorney
oocuSigned by:
(Awv 6SM6V'f
By: "P"...

Larry J. Kosmont, President & Broker

uocusign tnvelope lu: 4trbbt UU-AUbtz-t UUU-b IUJ-`,) 14Zb0b btZUA EXHIBIT "A"

SCOPE OF SERVICES

uocusign tnvelope IU: 4trbi5/l,l:-HUtSt-t5l;l:U-i5l l:y-y "14Ltd5lSi5t5tUH kosmon
r-r,im
_ July 9, 2026
Mr. Fermin Preciado, P.E., Director of Development Services/City Engineer City of Yucaipa
34272 Yucaipa Blvd
Yucaipa, CA 92399
Re: Request for Qualification/Proposals— On -Call Professional Real Estate Brokerage Services Dear Mr. Preciado and City Staff:

Kosmont Real Estate Services ("KRES"), doing business as Kosmont Realty ("KR"), is pleased to submit this proposal to the City of Yucaipa ("City") in response to the Request for Qualifications/Proposals for Professional Real Estate Brokerage Services. KR is a full -service real estate brokerage firm licensed by the California Department of Real Estate (License No. 02058445), with the capability to assist the City with property dispositions, acquisitions, leasing, valuation, market analysis, negotiation support, and Surplus Land Act ("SLA") compliance advisory.

KR, a certified Minority Business Enterprise ("MBE"), together with its affiliate Kosmont Companies, brings more than 30 years of experience providing real estate, economic, and financial advisory services to public agencies and private clients throughout California. Our team has managed over $12 billion in real estate, land use, and public finance transactions and has extensive experience supporting public agencies in complex and highly visible property transactions.

Our qualifications are directly relevant to the City's needs. KR has assisted cities, counties, special districts, and other public entities with brokerage and advisory services related to property sales, acquisitions, leases, and redevelopment, including work for Anaheim, Corona, Norco, Cathedral City, Cypress, Hawaiian Gardens, Placentia, Sutter County, Los Angeles County Development Authority, Inyo County, County of Los Angeles, San Diego Community College District, Orange County Mosquito & Vector Control District, North of the River Recreation and Park District, University of La Verne, and California State University, Northridge.

We also bring substantial experience with SLA compliance and related disposition requirements.

A key advantage of KR is our combination of brokerage expertise and public -sector advisory experience. Our team includes real estate professionals as well as former city managers and former directors of redevelopment, economic development, community development, planning, and financial services. In addition, KR maintains longstanding relationships with developers, investors, brokers, and capital sources, supported by a proprietary database of more than 1,200 active industry contacts and marketing resources such as Costar, LoopNet, MLS, and Crexi.

KR is familiar with the local market and has recently represented Southern California public agencies in assignments involving public property acquisition and disposition. We believe KR is exceptionally well qualified to provide the requested services and, if selected, is ready to begin work immediately on an as - needed basis.

We appreciate your consideration and welcome the opportunity to discuss our proposal further.

Sincerely"
Larry J. Kosmont CRE®
President & Broker
Kosmont Realty
Mailing Address: 1601 N. Sepulveda Blvd., R382 (424) 297 1076 Physical Address: 2301 Rosm,ans Ave., #4140 Manhattan Beach, CA 90266 W—kosmontreaity.corn Manhattan Beach, CA 90266 21P. i _

uocusign tnveiope w: 4trbuiUU-Hunt-uLAu-u I4Zb0b btzUA
On -Call Professional Real Estate Brokerage Services
rraw

UOCUsign tnvelope IU: 4tt-001UU-AU0t=-0LLU-0I L`J-`.114Z1JZ3b0tStUA Submitted by: Kosmont Real Estate Brokerage Services dba Kosmont Realty [DRE # 02058445) KOSMONT REAL ESTATE SERVICES DBA KOSMONT REALTY - www.kosmontrealty corn_ California Corporation — Established in 1980 — 30+ years experience KR provides services to clients in -person, virtually from satellite locations, and from the El Segundo headquarters across the Western U.S.

Mailing Address: 1601 N. Sepulveda Blvd., #382, Manhattan Beach, CA 90266 Physical Address: 2301 Rosecrans Avenue, Suite 4140, El Segundo, CA 90245 Office (424) 297-1076 / Fax (424) 286-4632
Authorized Signer Protect Manager / Primary City Contact Larry 1. Kosmont CRE11 Wil Soholt
President & Broker (DRE # 01182660) Sr. Managing Director &Broker (DRE # 01836503) (213) 507-9000 / [email protected] (310) 740-5681 / [email protected] KR is a certified Minority Business Enterprise ("MBE") and a full -service real estate brokerage and public/private transaction firm, licensed in the State of California (license #02058445).

KR has extensive experience working with government on property transactions between public agencies and private parties and structured project financing involving public and private funding sources. KR's extensive knowledge and experience ensures successful outcomes in the technical and transactional practice of executing real estate transactions between public agencies and private parties.

Our team includes real estate experts, economic consultants and public finance professionals, along with former real estate developers and City/community development officials. Our hands-on experience in the public and private sectors provides us with a distinctive and unique balance of public sector priorities and private investment and development criteria.

In each transaction, we work to serve our client's long-term strategic goals by helping them with asset management and planning. Particularly for our public agency clients, KR seeks to increase their capacity for deals by building key relationships in the real estate sector.

A brief highlight of our services is as follows: Real Estate Transactions / Brokerage; Asset Valuation and Strategy; Real Estate Portfolio/Disposition of Surplus Property; Surplus Land Act compliance; Opportunity Zone Strategies/Transactions; Broker Opinion of Value ("BOV") Services; Development Consulting/Developer RFP; RDA Dissolution & Post RDA Property Management Plan ("PMP") Implementation Services; Surplus Land Act compliance including Government Code 52201, 53083, and 33433 Reports.

KR is affiliated with Kosmont, a nationally -recognized Consulting firm in public -private real estate, economic development and public finance. The integration between these firms gives KR brokers access to real estate consultants, public sector deal structure experts, and public -private financial advisors. Our multiple roles in the real estate industry have made us highly adaptable and skilled for a wide -array of assignments. For City property that must be sold/leased, KR seeks buyers/lessees for assets that will best serve the long-term interests of the Client. We know of no other integrated set of companies that can provide a full complement of Economic Development Services, Real Estate Brokerage, and Municipal Consulting. Our diverse roles and experience in the real estate and financial industries have made us highly adaptable and skilled for this type of assignment.

KOSMONT REALTY
j 1601 N Sepulveda Blvd.. #382 1 10anhattan Beach, CA 90266 1 424.297.1076 OSilk, t www kosmontrealty corn

uocusign tnveiope iu: 14Z1J esuutuH
r ITV r1C Vl lr'AIPA
On -Call Professional Real Estate Brokerage Services
Kosmont Realty ("KR") brings more than 30 years of experience providing real estate brokerage, advisory, and transaction support services to public agencies throughout California. KR has assisted cities, counties, special districts, and institutional clients with property dispositions, acquisitions, leasing, valuation, market analysis, and Surplus Land Act compliance, combining hands-on brokerage capability with a strong understanding of public -sector process, approvals, and documentation requirements. KR offers the City a team with deep experience in municipal real estate strategy, complex negotiations, and the successful execution of public/private real estate transactions.

Below is a list of recent transactions; additional information about transactions, case studies and project experience can be found in the General Attachment section.
9/20/2025
LACDA (Seller)
$2,790,000
$2,500,000
95 3/10/2026
City of Calimesa (Buyer)
N/A
$1,985,000
N/A
9/2025
San Diego CCD (Lessee)
N/A
$16,658,435
N/A
7/1/2025
City of Anaheim (Lessee)
N/A
$192,900
N/A
12/2025
City of Anaheim (Lessee)
N/A
Exempt
N/A
11/25/2025
North Co fire Protection District (Seller)
N/A
2,064,000
N/A
2/6/2026
City of Laguna Beach (Buyer)
4,950,000
4,950,000
N/A
2/6/2026
City of Laguna Beach (Buyer)
3,050,000
3,050,000
N/A
8/2/2024
City of Moorpark (Seller)
N/A
$255,000
-13 mos
9/2024
NOR Rec & Park District (Seller)
$215,000
$193,500
- 9 mos
6/25/2024
NOR Rec & Park District (Seller)
$130,000
$150,000
6 mos
7/10/2024
City of Arvin (Seller)
N/A
$15,525
9 mos
12/16/2024
City of Paramount (Seller)
N/A
$650,000
' 11 mos
In Escrow
City of Bell (Seller)
N/A
$3,338,432
N/A
In Escrow
City of Arvin (Seller)
$1,032,398
$1,032,398
N/A
In Escrow
City of Los Gotos (Seller)
$3,500,000
$3,800,000
^ 4 mos
'Government
property disposition transactions can be complex
and often require development agreements
with
extended due
diligence periods and successor agency/oversight board disposition requirements.

KOSMONT REALTY
1601 N, Sepulveda Blvd., #382 1 Manhattan Beach, CA 90266 1 424 297.1076 k o S i11011 www. kosmontreatty.com
5�1'
C

UOCUsign tnvelope IV 4trbbItel:-AUbt-t5L:t.:u-61Ul J-y114LtibbbbLUA On -Call Professional Real Estate Brokerage Services

LICENSES& EXPERIENCE
KR is a certified Minority Business Enterprise ("MBE") and a full -service real estate brokerage and public/private transaction firm, licensed in the State of California (License #02058445).

KR is a California -licensed Real Estate Broker in good standing with the Department of Real Estate and has the requisite experience. KR brings more than 30 years of experience representing public agencies in dozens of transactions (see next page for requested list of recent transactions and General Attachment for more information; individual salesperson licenses provided in General Attachment section).

LarryJ. Kosmont Broker/President
Wil Soholt Senior Managing Director / Broker
Sara Isgur Senior Managing Director / Agent
Stephanie Ontiveros Managing Director / Agent
Andrew Perez Managing Director / Agent
Estate of malifarnia
Outr of Califnrnis
u �..•rr.• rr ,.1 N• e I w
Real Estate. Officer License
Real kmate Broker License
4rc} J i:n•+wr:

I n:.� 7 Ar•.�.r-x
lioun.re'
-Please see General Attachment for a full list of key personnel, resumes, roles, relevant experience, and licenses.

KOSktONT REALTY

1. 1601 N. Sepulveda Blvd , #362 1 Manhattan Beach, CA 90266 1 424.297,1076 k (),111
).ti111 (l Il www.kosmontreafy.com
61 F r
L

uocusign tnveiope IV 4trbt fUU-Huut-uL,1-u-u IUU-`J 14/b3bCt5t:UA

CITY OF YUCAIPA
Real Estate Advisory Brokerage Services
kosmon
""Ify

uocusigntnveiopeiu:4trUt5ruLliAuut=-rsuuu-oiva-`.1i4zb:Dt5ostu/k KR brings a well-rounded and seasoned professional cohort with the required expertise and exemplary skillsets to provide the requested real estate services. The KR team has extensive experience, a proven track record, and the qualifications to provide the knowledge, guidance, and execution of those services necessary to assist the City in achieving their goals. KR Team members will be assigned based on their skills and qualifications to provide the requested services along with their availability to work on the project for the length of the assignment. The KR Team organizational chart shown below along with the 5 key team member resumes on the subsequent pages showcases their qualifications and experience. KR also has the capacity to provide additional personnel as needed for the assignments.

CITY OF

EXECUTIVE OVERSIGHT
LarryJ. Kosmont, CREW
KR Broker / President

PROJECTCONTACT
Wil Soholt
KR Sr. Managing Dir. / Broker

REAL ESTATE CONSULTING AND

BROKERAGE SERVICES I

KOSMONT REALTY
1601 N. Sepulveda Blvd., #382 1 Manhattan Beach. CA 90266 I k o ti 111011 www.kosmontrealty.com
8 1 P :
424.297 1076
I

uocusign tnveiope iu: 4trbIJtL U-Hunt-auLu-u 14Zb3b t5tuH was,
PA
ko S In 46n
".If '
91 MIME61 IN—M V G
Rea! Estate Advisory Brokerage Services

uocusign tnveiope IU: 4trb6ILL-AUt5t-bLLU-6IL`U-`J 14Lt55Ct 6LUA Kosmont Realty, a California -licensed real estate brokerage firm, can provide on -call real estate brokerage and advisory services to assist the City of Yucaipa with the sale of exempt -surplus land and surplus land, as well as the purchase and acquisition of property, as needed during the term of the agreement. Services will be provided in coordination with City staff and, as appropriate, the City Attorney, and will include the range of brokerage and transaction support customarily required for City representation. Because the RFP describes an on -call set of commercial real estate advisory and transaction services rather than a single defined project, KR's approach below outlines our scalable delivery framework that we utilize with public sector clients. At the outset, we recommend a kickoff meeting with City staff to confirm priorities, review the City's pipeline/portfolio, align on decision -making and authorization procedures, and establish an initial workplan and schedule that can be refined as specific assignments are issued.

Task Area 1— Real Estate Planning and Advisory Services KR will coordinate with City staff to confirm transaction objectives, schedule, communication protocols, and required approvals for each assignment. For dispositions or acquisitions, KR will review available property information, including site characteristics, zoning, title information, easements, encumbrances, access, utilities, and other City -provided materials, and will identify key transaction issues, constraints, and opportunities. KR can provide pre -disposition real estate advisory services to help the City evaluate property readiness, transaction strategy, and required implementation steps before marketing or disposition. Services may include Surplus Land Act advisory, review of exempt -surplus or surplus land classification issues, preparation of draft notices and compliance materials, coordination with City staff and the City Attorney, and related advisory/analytical support such as broker opinion of value, highest and best use, market positioning, and other real estate analysis needed to inform City decision -making. Further information is available on the following pages.

Task Area 2 — Real Estate Acquisition Services
KR can assist the City in identifying potential acquisition opportunities consistent with City needs and priorities and evaluating property suitability, including zoning, access, utilities, title conditions, and other potential constraints.

As requested, KR can provide preliminary financial and transactional analysis to support City decision -making and assist in negotiating acquisition terms and coordinating due diligence and escrow activities. KR can assist with property search criteria, shortlisting, outreach to owners/brokers, pricing range, offer strategy, due diligence checklist, and escrow support. KR can also provide regular written status updates regarding active transactions, key timelines, milestones, and outstanding items; attend meetings with City staff, City Council, committees, or commissions as requested; maintain organized transaction files, correspondence, and compliance records; and provide additional advisory services related to real property matters within the scope of the agreement.

Task Area 3 — Real Estate Brokerage Services
For disposition assignments, KR will prepare or assist with marketing strategy, listing approach, property information packages, offering materials, listing recommendations, targeted outreach, and broker/developer/investor communications. For acquisition assignments, KR can assist the City in identifying candidate properties and evaluating suitability relative to City needs. KR will also coordinate with title, escrow, and other relevant parties to assemble transaction -related materials, obtain preliminary title information, and support preparation of key deal terms and related documentation.

KR will serve as the City's brokerage representative in communications with prospective buyers, sellers, brokers, and other transaction parties; receive and review offers or opportunities; summarize pricing and business terms; support City evaluation of proposals; and conduct negotiations consistent with City direction. KR will also assist through due diligence, escrow, and closing, including coordination of amendments, counteroffers, and other transaction documentation necessary to advance the transaction to completion.

KOSMONT REALTY
1601 N. Sepulveda Blvd.. #382 1 Manhattan Beach, CA 90266 1 424.297.1076 }.0511101, www kosmontrealty corn

uocusign tnvelope Iu: 4t-b?J/LL-Huai-?Jt k U-a "I 1. `J-`J'14LtS5CaatUH Kosmont Realty (KR) is a full -service real estate brokerage and public/private transaction firm, licensed in the California (License #02058445). KR brings 30+ years of experience supporting government agencies on acquisitions, dispositions, and leasing transactions, including public —private transactions and structured project financing involving public and private funding sources. KR can draw upon multi -disciplinary staff to address services requested. KR's experience and capabilities align closely with the RFP's requested services —supporting the City with acquisitions, dispositions, and leasing transactions; delivering market -supported analysis and strategy; and providing valuation / feasibility assessments to inform City decision -making. The proposed team has performed similar services for public agencies, including marketing and outreach, evaluation and negotiation support, transaction management, and preparation of deliverables suitable for public -sector processes.

KR has deep regional knowledge of the Inland Empire market, understands how the City of Yucaipa fits within broader economic dynamics, and has familiarity with key opportunity areas of the City. We bring practical familiarity with local market participants and deal terms and can help the City position assets, evaluate proposals, and negotiate transactions with an understanding of local conditions. KR has assisted other local agencies in the region, providing a strong baseline familiarity with the City's real estate context, comparables, stakeholder expectations, and transaction strategies.

KR is well-resourced, utilizing Microsoft Office and Teams/SharePoint to support secure document management, version control, and efficient coordination. As needed for specific assignments, KR can also leverage GIS/ESRI capabilities and market intelligence platforms such as Costar, LoopNet, MLS, and Placer.ai to support activities.

KR provides services in -person, virtually from satellite locations, and from our El Segundo headquarters across the Western U.S. Team members are assigned based on the needs of each assignment, relevant expertise, and availability, enabling KR to scale support efficiently as priorities evolve. Through our team of experienced real estate and finance professionals, we are fully capable of providing the City with a range of real estate financial and economic services, including, but not limited to:

Business / Developer Attractions and Negotiations
KR frequently assists public entities with business expansion / attraction / retention ('BEAR") and marketing of opportunities using a variety of different mediums. KR also provides assistance on negotiations for dozens of development projects each year. We have successfully assisted in negotiating a wide variety of agreements including, but not limited to ground leases, purchase and sale agreements, development agreements, and revenue sharing agreements. Our services for the City could include:
• Participating in formal and informal discussions and presentations with potential lessees, developers, and community officials
• Reviewing and analyzing business terms and assisting staff in developing counterproposals for complex real estate, affordable, and market -rate housing, and/or real estate development transactions Analyzing proposed developer / City land trade and cost -sharing transactions Assisting with lease negotiations

KOSMONT REALTY
1601 N Sepulveda Blvd . #382 1 Manhattan Beach, CA 90266 1 424.297 1076 I:O tiMI vmw.kosmontrealty.corn 4
II11,a q,

uocusign tnveiope iu: 4t-1D61 Uk; Hunt-nUUu-n Ua-y 14tts5 dbt:uH Market / Financial Feasibility Analyses
KR regularly completes market supply and demand analysis / market studies for clients either independent of, or in conjunction with long range planning activities. KR is also superbly skilled in developing pro forma and completing financial analyses at multiple levels of detail and complexity from simple initial feasibility reviews, to highly intricate 99-year+ cashflow models. These models routinely evaluate various profitability metrics including internal rate of return, net present value, leveraged and unleveraged returns, and sensitivity of the same to changes in cost, revenue and expense assumptions. KR can assist the City with:
• Preparing economic analysis of real estate, affordable and market -rate housing, and/or real estate development proposals, including additional market and project background information • Conducting financial pro forma analyses of alternative real estate, affordable and market -rate housing, and/or development schemes to analyze feasibility, financing structures, and profits • Performing market analyses of real estate sales values, market rents, and community needs for affordable • housing, market -rate housing, retail, office, industrial, and other commercial development types Preparing highest -and -best -use (HBU) analyses to evaluate alternative development programs and land use scenarios, identify key feasibility and entitlement considerations, and support the City's decisions on acquisition, disposition, leasing, and developer solicitation strategies • Providing Broker Opinion of Value (BOV) / pricing guidance based on market comps, current market conditions, and deal structure considerations to inform City strategy and negotiation. While KR does not perform appraisals, we routinely work alongside MAI and other qualified appraisers and can assist the City in coordinating the process (scoping, procurement support, data and comparables, and review of assumptions) to support timely, defensible valuation for City actions.

Real Estate Development Evaluation and Strategies
KR's services for the City can include:
• Evaluating real estate, affordable and market -rate housing, and/or real estate development proposals and providing strategic recommendations
• Providing expertise relative to development phasing/sequencing and the viability of certain components PA
KOS110W REALTY
1601 N Sepulveda Blvd.. #382 1 Manhattan Beach, CA 90266 1 424.297.1076 05111 OI1 www.kosmontrealty.com
1211',1 `=

uocusign tnveiope lu: 4tr-001U -Hutft-bLLu-?JIL`J-`J 14ZbObbOtUA Assembly Bill 1486, effective January 1, 2020, revised the California Surplus Land Act (first passed in 1968) (Government Code §§ 54220 et seq.) ("SLA"), to require that all public agencies prioritize the development of affordable housing on publicly owned land prior to its' sale or lease. Assembly Bill 480 and Senate Bill 747, effective on January 1, 2024, further amend the SLA by generally expanding the definition of exempt surplus land (e.g., 15-year lease term, mixed use projects, former military bases), new procedures for declaration of exempt surplus property, and tightening the methodology for assessment of penalties for non-compliance.

The SLA has a profound impact on a public agencies' decision -making process to sell or lease public -private projects.

Public agencies need to act strategically and proactively to get the most out of their property assets. KR has hands on experience navigating and satisfying compliance with the requirements of the SLA as well as other Government Code § 52201, 33433, and 53083 reports that are typically required of public agency dispositions and economic development -based transactions.

KR offers public agencies a one -stop shop real estate brokerage and transactional team with expertise in SLA compliance, property sales, and economic development.

KR's SLA Services
Project
Kick OH
KR can perform .:ial pre -sate property due diligence to assess market conditions, property conditions/constraints, and preferred SLA disposition strategies to help achieve client economic development goals and objectives. This includes evaluating market value, zoning, and approaches for sale and development.

KR can prepare the Surplus Land declaration and Notice of Availability, including managing the solicitation process. Respondents are given a 60-day notice, followed by a 90-day negotiation period with interested parties.
• KR can review offers and assist with structuring and negotiating public -private transactions and engage HCD to support City staff / City Attorney with SLA-related compliance processes, ultimately aiming to obtain a formal letter of compliance.
• KR can directly represent the client and/or collaborate through a co -brokerage agreement with a third -party brokerage/broker(s) to provide real estate brokerage services and facilitate a successful property sale/lease.

KOSMONT REALTY
1601 N Sepulveda Blvd., #382 1 Manhattan Beach. CA 90266 1 424.297.1076 koSt,Ot1 www.kosmontrealty.com
1311',. _
C

Uocusign tnvelope IU: 4trbt5tLL-Hut5t-bLLu-t51Ly-`.174Lt55t5d=UH MARKETING PLAN —APN 0303-131-05 / NW CORNER OF YUCAIPA BLVD & 5T" STREET Kosmont Realty would prepare a targeted and practical marketing plan for the City -owned property at the northwest corner of Yucaipa Boulevard and 5th Street, following completion of the City's required Surplus Land Act process and authorization to proceed with marketing. The site is located along one of the City's primary commercial corridors, has a General Commercial land use designation, and may be appropriate for targeted outreach to qualified commercial users, developers, investors, brokers, and other parties that can deliver a project consistent with the City's economic development and land -use objectives. KR's marketing plan would be designed to balance broad market exposure with targeted, strategic outreach. Prior to marketing, KR would coordinate with City staff and the City Attorney to confirm the property status, SLA compliance milestones, offering process, City objectives, preferred transaction structure, and any use, timing, entitlement, or public - benefit considerations. The goal would be to generate interest from qualified buyers, developers, brokers, and investors while maintaining a transparent process that supports the City's real estate and economic development objectives.

Pre -Marketing Review
KR would coordinate with City staff to confirm the property status, City objectives, preferred transaction structure, timing, and use or development considerations. KR would also review available site information, including parcel boundaries, zoning / land use, title information, access, existing improvements, and other City - provided materials.

Marketing Materials
KR would prepare concise and professional marketing materials, which may include a property flyer, aerial/site exhibit, zoning and land use summary, relevant market data, property description, broker outreach email, online listing materials, and signs to be installed on -site. All materials would be reviewed with City staff before release, Targeted Outreach
KR would market the property through a combination of direct outreach and broader market exposure. Outreach may include KR's developer, investor, broker, and commercial real estate contacts, as well as appropriate listing platforms such as Costar / LoopNet, Crexi, MIS or other commercial brokerage networks, social media posts, direct email campaigns to KR's contact databases, KR's website, and other appropriate channels.

Buyer Engagement and Offer Review
KR would respond to inquiries, coordinate site tours, track interested parties, and assist the City in reviewing offers or proposals. Evaluation would focus on pricing, buyer qualifications, financial capacity, proposed use, contingencies, closing certainty, timing, and alignment with City goals.

Transaction Support
Following selection of a preferred buyer or transaction partner, KR would assist the City with negotiations, due diligence, escrow coordination, and closing support in coordination with City staff, the City Attorney, title / escrow, and other parties as needed. kosion

KOSMONT REALTY
1601 N. Sepulveda Blvd.. #382 1 Manhattan Beach.
www.kosmontrealty com
141

uocusign tnveiope lu: 4t�-bt5/l.l.-HViSt-UI.I.V-t5l4Lt90t52St5tUfi EXHIBIT "B"

COMPENSATION
The total compensation for the Services set forth in this Agreement shall not exceed the Cost Structure outlined below.

uocusign tnveiope iu: 4trb25/l.l:-HV2f t-t5l:l.U-iS'l l.`J-`J14Zt$0bbbtuH Real Estate Advisory Brokerage Services

COST OF
Brokerage services may include the sale of exempt -surplus land and surplus land, as well as the purchase and acquisition of real property on behalf of the City. KR's share of commission, as well as KR's billing rates for other real estate advisory services, is summarized below. See Additional Costs section on next page for information about additional expenses in addition to the below costs.

KOSMONT REALTY — PROPOSED COST STRUCTURE - REAL ESTATE BROKERAGE SERVICES For the City's sale or acquisition of property, KR would require Client approval and execution of an Exclusive Authorization to Represent Buyer / Seller Agreement by and between KR and the Client, based on the most current, applicable AIR CRE form(s).

KR's share of the commission when KR serves as the listing or selling broker (representing the seller or buyer, respectively) is as follows:`
Real Property:

2.SO% of the gross sales price for transactions less than $5,000,000;

2.00% of the gross sales price for transactions equal to or greater than $5,000,000, and less than $10,000,000;

1.50% of the gross sales price for transactions equal to or greater than $10,000,000, and less than $25,000,000;

1.25% of the gross sales price for transactions equal to or greater than $25,000,000, and less than $35,000,000;

1.005n of the gross sales price for transactions equal to or greater than $35,000,000, 'The commission structure above would serve as a minimum commission amount as mutually agreed upon between Client and KR. If there is another participating broker representing the other party in a given transaction, that broker's commission would be in addition to the amounts above (typically, though not always an amount equal to the percentages listed above). For long term ground leases (generally in excess of 50 years) the commission amount shall be based on the independently appraised value of the property being conveyed. See Additional Costs section in the General Attachment document for information about additional costs not borne by KR. In either or any transaction scenario, Kosmont will receive a minimum commission of $15,000, KOSMONT REALTY — PROPOSED COST STRUCTURE - REAL ESTATE TECHNICALIADVISORY SERVICES Compensation for any pre-sale/disposition real estate advisory/technical services including but not limited to broker opinion of value, real estate transaction structuring, public -private negotiations (e.g., ENA, DDA, DA), preparation of Government Code 52201, 53083, and 33433 reports, Surplus Land Act compliance, and/or project implementation services would be paid in accordance with professional services (hourly) fees at KR's billing rates as shown below.

Future increases in budget will require approval by Client in advance. Budget may be increased by Client at any time.

See Additional Costs section in the General Attachment document for information about additional expenses in addition to professional services (labor) fees.

Professional Services
Chairman & CEO / President
$540.00/hour
Senior Managing Director / Senior Advisor
$405.00/hour
Managing Director
$295.00/hour
Senior Director / Senior Project Analyst
$210.00/hour
Director / Project Analyst / Project Manager
$195.00/hour
Project Promotion/Graphics/GIS Mapping Services/Research $ 95.00/hour
Administrative Support
$ 90.00/hour

KOSMONT REALTY
1601 N Sepufveda Blvd.. #382 1 Manhattan Beach, CA 90266 1 424.297.1076 L)JA
wvw.kosmontreafty.ccm
21Pagc
u

uocusign tnvetope iu: IUa-a i4us5e+aat=UA

ADDITIONAL COSTS
KR's share of commission, as well as KR's billing rates for other real estate advisory services, is summarized in the Cost of Services section above. Additional costs and expenses are summarized below.

KOSMONT REALTY — PROPOSED COST STRUCTURE - REAL ESTATE BROKERAGE SERVICES — ADDITIONAL COSTS The additional costs needed for these transactions will include escrow fees, title insurance, appraisal, documentary transfer fees, and other typical closing costs. Activities related to subdivision map matters (such as lot line adjustments and Phase I or II environmental reports) are an additional cost not borne by KR. Property sales may also require specific services that are not provided by KR, and which are contracted for and compensated separately. These potential services include but are not limited to engineering, environmental assessment and remediation, geological, and legal or entitlement services.

KOSMONT REALTY — PROPOSED COST STRUCTURE - REAL ESTATE TECH NICAUADVISORY — ADDITIONAL COSTS Additional Expenses
In addition to professional services (labor) fees:
1) An administrative fee for in-house copy, fax, phone, postage costs, digital/technological support and related administrative expenses will be charged, which will be computed at four percent (4.0 %) of monthly Kosmont Realty's professional service fees incurred; plus
2) Out-of-pocket expenditures, such as travel and mileage, professional printing, and delivery charges Tor messenger and overnight packages will be charged at cost. 3) Project/Market data sources for support of evaluation and analysis e.g., ESRI, Costar/5TR, IMPLAN, ParceQuest and other based on quoted project cost.
4) For Third Party Vendor(s) retained on behalf of Client (with Client's advance approval), fees and costs will be billed to Client at 1.1X (times) fees and costs.
5) Consultant's attendance or participation at any public meeting, whether such participation is in person, digital, video and/or telephonic (e.g., City Council, Planning Commission, Public Agency Board, other) requested by Client and are beyond those specifically identified in the Scope of Work will be billed at the professional services (hourly) fees as shown on this Attachment A.

Charges for Court/Deposition/Expert Witness -Related Appearances Court -related (non -preparation) activities, such as court appearances, depositions, mediation, arbitration, dispute resolution and other expert witness activities, will be charged at a court rate of 1.S times scheduled rates, with a 4- hour minimum.

Rates Effective until December 31, 2026. For and during the term of the subject Agreement, the above referenced rates in each category will be increased, effective January 1, 2027, and annually thereafter, to reflect the adjustment in the CPI (U.S. Dept. of tabor, Bureau of Labor Statistics) All Cities Average Consumer Price Index for the prior year. As an example, the US City Average Consumer Price Index (CPI-U) for December 2025 was 0.3, representing a change of 2.7 percent over the index of the previous 12 months.

KOSMONT REALTY
1601 N Sepulveda Blvd., #382 1 Manhattan Beach. CA 90266 t 424 297.1076 ko!A4
11Otll wyvw.kosmontreafy.com
31P�i

uocusign tnveiope iu: 14Lt55t5b6tuH
EXHIBIT "C"

SCHEDULE OF PERFORMANCE
Task Area 1: Real Estate Planning and Advisory Services • Evaluate City -owned properties for long term real estate planning • Evaluate the feasibility of the disposal of City -owned properties in conformance with the Surplus Land Act
• Conduct economic and financial feasibility analysis for development concepts for City facilities and affordable housing on City -owned land Task Area 2: Real Estate Acquisition Services
• Evaluate the acquisition of new property for the potential relocation sites for City facilities and the development of affordable housing or public uses Task Area 3: Real Estate Brokerage Services
Property Sales
• Recommend the listing prices of City surplus properties based on their marketability and comparable properties in the area
• Recommend a minimum sale price for the site for the City to consider and a projected timeline for sales at various listing prices
• Development and management of solicitations and marketing processes • Vetting and evaluation of potential developers and projects • Coordination with City staff to organize and facility buyer site tours • Coordination with City staff to negotiate land sale prospects and buyers • Coordinate with City staff relating to the sale of real estate • Coordination of all customary activities and services associated with real estate transactions
Property Purchase
• Identify and evaluate potential acquisition properties that meet the City's objectives
• Recommend purchase price ranges based on market conditions and comparable properties
• Recommend maximum offer amounts and anticipated acquisition timelines. • Develop and manage property search and acquisition strategies • Conduct due diligence and evaluate property suitability and development potential
• Coordinate with City staff to organize property tours and inspections • Assist City staff in negotiating purchase terms with property owners and brokers
• Coordinate with City staff throughout the acquisition process • Manage customary activities and services associated with real estate acquisitions, including due diligence, escrow, and closing 3�

uocusign tnveiope iu:4troai�c-Hurst-csu�u-ts'i�a-a'i4�noesnatuH ADDENDUM "1"

INSURANCE REQUIREMENTS
(a) Maintenance of Insurance. Consultant shall, at its sole cost and expense, procure and maintain in full force and effect for the duration of this Agreement (and for any extended "tail" or "discovery" periods required herein) the insurance coverages set forth in this Addendum.
(b) General Standard. These policies shall protect the Consultant and the Indemnified Parties (as defined in Section 15) from any and all Claims (as defined in Section 15) which may arise from or in connection with: (i) the performance of the Services; (ii) the acts, errors, or omissions of the Consultant, its officers, employees, agents, or subconsultants; or (iii) any person or entity for whom the Consultant is legally responsible. (c) Acceptability of Insurers. All insurance required by this Agreement shall be placed with insurers authorized to transact business in the State of California with a current A.M. Best's rating of no less than A:VII. If an insurer's rating falls below A:VII during the Term, Consultant shall immediately notify the City Manager and replace the coverage with a qualified insurer within ten (10) business days.
(d) Verification of Scope and Limits. Consultant shall maintain the following minimum types and limits of insurance, which shall be deemed the "floor" of coverage.

General Liability Insurance. Consultant shall maintain Commercial General Liability (CGL) insurance with coverage at least as broad as Insurance Services Office (ISO) Form CG 00 01, covering CGL on an "occurrence" basis.

Minimum Limits: Coverage shall be in an amount not less than $2,000,000 per occurrence and $4,000,000 general aggregate for bodily injury, personal injury, and property damage.

Contractual Liability: The policy must include broad -form contractual liability coverage.

Any endorsement restricting or deleting standard ISO "insured contract" language (including, but not limited to, ISO Endorsement CG 21 39 or similar) is strictly prohibited and shall not be accepted.

Scope of Coverage: Coverage shall include, but not be limited to: (i) Products -Completed Operations (to be maintained for at least three (3) years following completion of the Services); (ii) Personal and Advertising Injury; (iii) Independent Contractors; and (iv) Cross- Liability/Severability of Interests.

No Professional Services Exclusion for BI/PD: The policy shall not contain any "Professional Services Exclusion" that would bar coverage for bodily injury (BI) or property damage (PD) arising out of the Consultant's general operations or project site activities.

uocusign tnveiope iu: 4t1-buiuu-Hutst-?JU u-u icy-J 142b0bMtVA Automobile Liability Insurance. Consultant shall maintain Automobile Liability insurance at least as broad as ISO Form CA 00 01, covering Symbol 1 (any auto) or if Consultant has no owned autos, Code 8 (hired) and 9 (non -owned).

Minimum Limits: Coverage shall be in an amount not less than $2,000,000 combined single limit for each accident for bodily injury and property damage.

Scope of Coverage: Coverage shall apply to all "autos" (as defined in the policy) used in connection with the Services, including but not limited to: (i) all owned vehicles; (ii) hired or rented vehicles; and (iii) non -owned vehicles (such as employees' personal vehicles used for City business).

MCS-90 Endorsement: If the Services involve the transportation of hazardous materials (as defined by the DOT), the policy shall be endorsed with an MCS-90 endorsement and a CA 99 48 (Pollution Liability - Broadened Coverage for Business Automobile) endorsement.

Professional Liability (Errors & Omissions) Insurance. Consultant shall maintain Professional Liability insurance appropriate to the Consultant's profession and the Services to be provided.

Minimum Limits: Coverage shall be in an amount not less than $1,000,000 per claim and $1,000,000 in the annual aggregate.

Retroactive Date: The policy inception date, continuity date, or retroactive date must be prior to the Effective Date of this Agreement. Consultant warrants that continuous coverage will be maintained, or an extended reporting period will be purchased, in accordance with the "Tail" requirements below.

Extended Reporting Period ("Tail"): Because this coverage is typically provided on a "claims -made" basis, Consultant shall maintain such insurance (or purchase an extended reporting period endorsement) for a period of no less than four (4) years after the final "Acceptance" of the Services by the City.

Scope of Coverage: The policy shall not contain any exclusions for: (i) vicarious liability for the acts or omissions of subconsultants; (ii) "contractual liability" (unless such coverage is provided by the CGL policy as required herein); or (iii) any specific Services identified in Exhibit "A„
Workers' Compensation Insurance. To the extent Consultant has employees, Consultant shall maintain Workers' Compensation Insurance as required by the State of California, with Statutory Limits.

Employer's Liability: To the extent Consultant has employees, Consultant shall maintain Employer's Liability Insurance with limits of no less than $2,000,000 per accident or disease.

Waiver of Subrogation: The policy shall be endorsed with a Waiver of Subrogation in favor of the City and the Indemnified Parties (as defined in Section 15). Consultant shall submit this endorsement to the City along with the certificate of insurance. 21P:i g r

uccusign tnveiope IU: 4tr-bt 1U_-HUbt-i5t kl U-Z5Il:y-`J'14Ltf5Gt32 UA Alternate Employer Endorsement: If Consultant provides "leased" or "temporary" employees, the policy shall include an Alternate Employer Endorsement naming the City.

Sole Proprietor / Officer Exemption: If Consultant is a sole proprietor or a corporation with no employees (other than the officers), Consultant shall provide a signed Declaration of Exemption in a form acceptable to the City Attorney. Notwithstanding such exemption, the indemnity and defense obligations in Section 15 shall remain in full force and effect.

Umbrella or Excess Liability Insurance. Consultant may utilize an Umbrella or Excess Liability Insurance policy to meet the minimum limits required by this Agreement, provided that such coverage is at least as broad as the underlying primary policies (CGL, Automobile, and Employer's Liability).

Follow Form Requirement: The Umbrella or Excess policy shall "follow form" to the underlying primary policies. Any exclusion or limitation in the primary policy that has been modified or deleted to comply with this Agreement (such as the "Contractual Liability" or "Additional Insured" requirements) must be reflected in the Umbrella or Excess policy.

Drop -Down Feature: The policy shall include a "drop -down" provision requiring the insurer to respond if the primary insurance is exhausted or proves to be uncollectible.

Pay on Behalf of. The policy shall use "Pay on Behalf of wording as opposed to "Indemnity" or "Reimbursement" wording, ensuring the insurer pays the City directly for covered losses rather than requiring the Consultant to pay first and seek reimbursement.

Concurrency and Insureds: Effective dates shall be concurrent with the primary policies, and all Indemnified Parties (as defined in Section 15) shall be included as additional insureds under the Umbrella or Excess policy to the same extent as in the primary policies.

Primary and Non -Contributory: The Umbrella or Excess policy shall be endorsed to state that it is primary and non-contributory to any insurance or self-insurance maintained by the City. (e) Other Provisions. Each insurance policy required by this Agreement shall be endorsed and state the coverage shall not be suspended, voided, cancelled, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to City.
(f) Other Requirements. Consultant agrees to deposit with City, at or before the effective date of this Agreement, certificates of insurance necessary to satisfy City that the insurance provisions of this contract have been complied with. The City Attorney may require that Consultant furnish City with copies of original endorsements effecting coverage required by this Section. The certificates and endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. City reserves the right to inspect complete, certified copies of all required insurance policies, at any time.

1. Upon request from the City, Consultant shall furnish certificates and endorsements from each subcontractor identical to those Consultant provides.
31P;t g e

,,e IU: 4trbtl/l l-NUtSt-Cl:l U-25"I l y-y'14Ltf5CtlCtUF1 Any deductibles or self -insured retentions must be declared to and approved by City. At the option of City, either the insurer shall reduce or eliminate such deductibles or self -insured retentions as respects City or its respective elected or appointed officers, officials, employees and volunteers or the Consultant shall procure a bond guaranteeing payment of losses and related investigations, claim administration, defense expenses and claims.

Coverage provided by Consultant shall be primary and non-contributory, and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City before the City's own insurance or self-insurance shall be called upon to protect it as a named insured.

4. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against City, its elected or appointed officers, agents, officials, employees and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against City, and shall require similar written express waivers and insurance clauses from each of its subconsultants.

General liability policies shall provide or be endorsed to provide that City and its officers, officials, employees, and agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies. 41P;i_,�

← All documents from this meeting