Loading...
HomeMy WebLinkAbout2011-02-02 PacketCITY OF UKIAH CITY COUNCIL AGENDA Regular Meeting CIVIC CENTER COUNCIL CHAMBERS 300 Seminary Avenue Ukiah, CA 95482 February 2, 2011 6:00 p.m. 1. ROLL CALL 2. PLEDGE OF ALLEGIANCE 3. PROCLAMATIONS/INTRODUCTIONS/PRESENTATIONS 4. PETITIONS AND COMMUNICATIONS 5. APPROVAL OF MINUTES a. Regular Minutes of January 19, 2011 6. RIGHT TO APPEAL DECISION Persons who are dissatisfied with a decision of the City Council may have the right to a review of that decision by a court. The City has adopted Section 1094.6 of the California Code of Civil Procedure, which generally limits to ninety days (90) the time within which the decision of the City Boards and Agencies may be judicially challenged. 7. CONSENT CALENDAR The following items listed are considered routine and will be enacted by a single motion and roll call vote by the City Council. Items may be removed from the Consent Calendar upon request of a Councilmember or a citizen in which event the item will be considered at the completion of all other items on the agenda. The motion by the City Council on the Consent Calendar will approve and make findings in accordance with Administrative Staff and/or Planning Commission recommendations. a. Update Report On Local Emergency Declaration Regarding Drought And Water Shortage Status b. Update Report Regarding Status Of Water Emergency Conditions Necessitating Emergency Resolution To Expedite Construction Of Oak Manor Drive Water Well C. Authorize City Manager To Negotiate And Execute Lease Agreement For Ukiah Youth Baseball League, Inc. d. Report To City Council Regarding The Contract For Professional Services With The North Bay Professional Officials Association For Adult Basketball Referees e. Report To City Council Regarding The Purchase Of Pulsar Plus Chlorine Briquettes From Lincoln Equipment Co, Inc. For The Ukiah Municipal Swimming Pools In The Amount Of $5,002.50. f. Receive Report Of The Acquisition Of 2,000 Pound Capacity Vapor Phase Carbon Adsorbers And 6,000 Pounds Of Carbon From Pure Effect, Inc. In The Amount Of $18,889.88 g. Report Of Acquisition Of Professional Consulting Services From Rau And Associates, Inc. For Design Of Waugh Lane Bridge h. Report Of Acquisition Of Professional Consulting Services From Green Valley Consulting Engineers In The Amount Of $9,983 For Additional Construction Management Work For The Realignment Of Gobbi Street - Oak Manor Drive - Babcock Lane Intersection 8. AUDIENCE COMMENTS ON NON-AGENDA ITEMS The City Council welcomes input from the audience. If there is a matter of business on the agenda that you are interested in, you may address the Council when this matter is considered. If you wish to speak on a matter that is not on this agenda, you may do so at this time. In order for everyone to be heard, please limit your comments to three (3) minutes per person and not more than ten (10) minutes per subject. The Brown Act regulations do not allow action to be taken on audience comments in which the subject is not listed on the agenda. 9. PUBLIC HEARINGS (6:15 PM) 10. UNFINISHED BUSINESS a. Approve Professional Services Agreement With David R. Lewis In An Amount Not To Exceed $10,000 To Provide Right Of Way Services For The Acquisition Of An Easement At The Intersection Of Perkins Street And Orchard Avenue b. Review And Approval Of The Revitalizing Business Investment And Lending Development (ReBILD) Guidelines And The Corresponding Budget Amendment Utilizing CDBG Program Income. 11. NEW BUSINESS a. Approval To Sole Source Costco Environmental Impact Report Work To Environmental Science Associates (ESA) b. Review And Approval Of The Community Development Block Grant (CDBG) Business Assistance Program Guidelines 12. COUNCIL REPORTS 13. CITY MANAGER/CITY CLERK REPORTS 14. CLOSED SESSION - Closed Session may be held at any time during the meeting a. Conference with Legal Counsel -Existing Litigation Government Code Section 54956.9 Name of case: (Ukiah Valley Sanitation District v. City of Ukiah, SCUK1057183) b. Conference with Legal Counsel-Anticipated Litigation Initiation of litigation pursuant to subdivision c of Government Code Section 54956.9: (1 case) 15. ADJOURNMENT Please be advised that the City needs to be notified 72 hours in advance of a meeting if any specific accommodations or interpreter services are needed in order for you to attend. The City complies with ADA requirements and will attempt to reasonably accommodate individuals with disabilities upon request. Materials related to an item on this Agenda submitted to the City Council after distribution of the agenda packet are available for public inspection at the front counter at the Ukiah Civic Center, 300 Seminary Avenue, Ukiah, CA 95482, during normal business hours, Monday through Friday, 8:00 am to 5:00 pm. hereby certify under penalty of perjury under the laws of the State of California that the foregoing agenda was posted on the bulletin board at the main entrance of the City of Ukiah City Hall, located at 300 Seminary Avenue, Ukiah, California, not less than 72 hours prior to the meeting set forth on this agenda. Dated this 28th day of Januay 2011. JoAnne Currie, City Clerk Item 5a CITY OF UKIAH CITY COUNCIL MINUTES Regular Meeting CIVIC CENTER COUNCIL CHAMBERS 300 Seminar Avenue Ukiah, CA 95482 1/19/2011 6:00 pm 1. ROLL CALL Ukiah City Council met at a Regular Meeting on January 19, 2011, the notice for which being legally noticed on January 14, 2011. Mayor Rodin called the meeting to order at 6:03 pm. Roll was taken with the following Councilmembers present: Landis, Thomas, Crane (arriving 6:11 pm), Baldwin (arriving 6:08 pm), and Mayor Rodin. Councilmembers absent: None. Staff present: City Manager Chambers, Assistant City Manager Sangiacomo, City Attorney Rapport, Director of Public Works/City Engineer Eriksen, Community Services Administrator Marsolan, Project and Grant Administrator Mills, Electric Utility Director Grandi, Electric Distribution Engineer Bauer, Human Resource Director Harris, and City Clerk Currie. 2. PLEDGE OF ALLEGIANCE 3. PROCLAMATIONS/INTRODUCTIONS/PRESENTATIONS 4. PETITIONS AND COMMUNICATIONS 5. APPROVAL OF MINUTES a. Regular Minutes of January 5, 2011 M/S Landis/Thomas to approve minutes of January 5, 2011, as submitted. Motion carried by all AYE voice vote. Absent: Councilmember Crane and Baldwin. 6. RIGHT TO APPEAL DECISION 7. CONSENT CALENDAR a. Report of Disbursements for Month of December 2010 b. Report of Expenditure of $7002.61 to Redwood Coast Fuels for the Purchase of Red Diesel #2 C. Report of Expenditure of $6,920.33 Plus Tax and Shipping to Pace Supply for the Purchase of Plumbing Supplies for the Ukiah Skate Park Restroom d. Adoption of Resolution Approving City of Ukiah Qualified Contractors List for 2011 e. Award Purchase of Pole Mount and Pad Mount Transformers for the Total Amount of $30,198.12 f. Approval of Notice of Completion for 2002 STIP Realignment of Gobbi Street- Oak Manor Drive-Babcock Lane Intersection, Specification No. 09-02 Page 1 1/1911 g. Approval of Loan Servicing Policies and Procedures for Single Family Home Activities: First Time Homebuyer (FTHB) and Owner-Occupied Rehabilitation (OOR) h. Update Report On Local Emergency Declaration Regarding Drought and Water Shortage Status i. Update Report Regarding Status of Water Emergency Conditions Necessitating Emergency Resolution to Expedite Construction of Oak Manor Drive Water Well j. Approval of Change Order #1 with Balance Hydrologics for Completion of the Percolation Pond Study and Associated Budget Amendment in the Amount of $17,445.69 MIS Landis/Thomas to approve Consent Items 7a-j. Motion carried by the following roll call votes: AYES: Landis, Thomas, and Mayor Rodin. NOES: None. ABSENT: Councilmember Crane and Baldwin. ABSTAIN: None. 8. AUDIENCE COMMENTS ON NON-AGENDA ITEMS 9. PUBLIC HEARINGS (6:15 PM) 12. COUNCIL REPORTS Councilmember Thomas reported on the January 19, 2011 Library Advisory Board meeting. The Board met with Mendocino County's Chief Executive Officer Carmel J. Angelo to review budget concerns over the governor's proposed budget. Thomas reported on his and City Manager Chamber's attendance at a League of California Cities regional meeting. A topic at that meeting was the League's perception of the governor's proposed budget. Councilmember Landis reported that March 6, 2011, is Ukiah's celebration of National Women's History Day at the Saturday Afternoon Club. Councilmember Thomas and Landis have met with city staff and members of the Stakepark Committee and reported they are working collaboratively regarding users following the safety rules. Landis also reported that the second annual Shop Local youth film contest will be starting soon. Mayor Rodin and Councilmember Landis are participating on a North Coast regional food consortium in connection with the USDA. Councilmember Baldwin provided Council with an LA Times article dated January 17, 2010, regarding safety concerns of common coal tar driveway sealant and would like to agendize a discussion regarding a ban of this particular sealant. Councilmember Crane stated for the record the northbound lane on River Road/ Babcock there is a slight offset that should have a guard rail. Mayor Rodin reported the Public Advisory Court House group met. The timeline is ambitious. The Administrative Office of the Courts (AOC) is submitting the paperwork for two downtown sites to the public works board in March 2011 with the hope the board will approve the two sites in May 2011. Once approved, the AOC is allowed to begin negotiations. Mayor Rodin reported on a letter to Mendocino County Supervisor Carrie Brown from the Manager of Government Relations US Postal Service. The letter states they are considering moving the Ukiah Main post office to the Ukiah Annex location. Page 2 1/1911. 10. UNFINISHED BUSINESS a. Approve an Amendment to the Fiscal Year 2010/2011 Revenue and Expense Budgets in the Amounts of One Million Sixty-Six Thousand Five Hundred Fifty-One Dollars, and Five Hundred Seventy-Six Thousand Six Hundred Fifty-Four Dollars Respectively Finance Director Elton presented the item. Recommended Action: Approve FY 2010/2011 budget amendments as proposed by staff. MIS Baldwin/Landis to approve an Amendment to, the Fiscal Year 2010/2011 Revenue and Expense Budgets. Motion carried by the following roll call votes: AYES: Landis, Thomas, Councilmember Rodin, Crane, Baldwin. NOES: None. ABSENT: None. ABSTAIN: None. b. Consideration for Adoption of Prequalification Process for Riverside Park Phase One Trails and Re-Vegetation Project Funded By California Resources Agency River Parkways Grant Community Services Administrator Marsolan presented the item. Recommended Action: Adopt resolution for a prequalification process for Riverside Park Phase One Trails and Re-vegetation Project. MIS Baldwin/Landis to approve adoption of the Prequalification Process for Riverside Park Phase One Trails and Re-Vegetation Project. Public Comment Opened 6:44 pm Public speaking to the item: John Peaslee, Ukiah resident. Public Comment Closed 6:45 pm Motion carried by the following roll call votes: AYES: Councilmember Landis, Thomas, Baldwin, and Mayor Rodin. NOES: Councilmember Crane. ABSENT: None. ABSTAIN: None. C. Rescind Award of Contract for Perkins Street and Orchard Avenue Intersection Improvements, Specification No. 09-14 and Direct Staff to Return the Original Bonds to North Bay Construction, Inc. Director of Public Works/City Engineer Eriksen presented the item. Recommended Action(s): Rescind award of contract for Perkins Street and Orchard Avenue Intersection Improvements, Specification No. 09-14 and direct staff to return the original bonds to North Bay Construction, Inc. MIS Landis/Thomas to approve Recommended Action. Motion carried by the following roll call votes: AYES: Landis, Thomas, Crane, Baldwin, and Mayor Rodin. NOES: None. ABSENT: None. ABSTAIN: None. d. Discussion and Possible Action to Approve an Exclusive Negotiating Agreement with Costco Wholesale Corporation and Authorize the City Manager/Executive Director to Execute the Agreement Page 3 1/1911 Assistant City Manager Sangiacomo and Project and Grant Administrator Mills presented the item. Recommended Action(s): Approve an Exclusive Negotiating Agreement with Costco Wholesale Corporation and authorize the City Manager/Executive Director to execute the agreement and a subsequently negotiated reimbursement agreement, provided the reimbursement agreement does not require the expenditure of redevelopment funds. MIS Landis/Baldwin to approve an Exclusive Negotiating Agreement with Costco Wholesale Corporation and Authorize the City Manager/Executive Director to Execute the Agreement. Public Comment opened 6:56 pm Public Speaking in opposition of the item: Jim Houle, Redwood Valley resident and member of the County Green Party. Closed public comment 7:02 pm Motion carried by the following roll call votes: AYES: Landis, Thomas, Crane, Baldwin, and Mayor Rodin. NOES: None. ABSENT: None. ABSTAIN: None. City Attorney Rapport referred to a small typo on attachment 3 ofthe agreement that will be corrected. Recessed 7:06 pm Reconvened 7:15 pm 11. NEW BUSINESS a. Discussion and Possible Approval of Streetlight Pole License for PG&E Smartmeter Equipment Electric Utility Director Grandi presented the item. Recommended Action: Approve the agreement or provide direction to staff regarding the terms of the agreement. PG&E representatives provided information and answered City Council questions: Cynthia Haines, Josh Townsend, Bill Monlux, Carl Bushberg Public Comment opened 7:24 pm Public Speaking iti opposition to the Item: Susan Kenuff Public Comment closed 7:33 pm MIS Crane/Thomas to approve Streetlight Pole License for PG&E Smartmeter Equipment. Motion carried by the following roll call votes: AYES: Landis, Thomas, Crane, Baldwin, and Mayor Rodin. NOES: None. ABSENT: None. ABSTAIN: None. b. Award of the Purchase of Six Padmounted Vacuum Fault Interrupters (VFI) Switchgear Needed for the Orchard Substation Project and the Electric System Reliability Improvements From HD Supply Utilities in Portland, Oregon in the Amount of $141,081. Page 4 1/1911 Electric Utility Director Grandi and Electric Distribution Engineer Bauer presented the item. Recommended Action: Award of the Purchase of six, padmounted VFI switchgear needed for the Orchard Substation project and the electric system reliability improvements from HD supply utilities in Portland, Oregon in the amount of $141,081. M/S Crane/Thomas to approve Recommended Action. Motion carried by the following roll call votes: AYES: Landis, Thomas, Crane, Baldwin, and Mayor Rodin. NOES: None. ABSENT: None. ABSTAIN: None. C. Adoption of Policy Resolution Establishing the Agenda Order for Council Meetings Mayor Rodin presented the item. Recommended Action: Adopt Policy Resolution establishing the Agenda order for city Council meetings. M/S Baldwin/Thomas to approve councilmember and committee reports becoming item 9 on the agenda. Motion carried by the following roll call votes: AYES: Landis, Thomas, Crane, Baldwin, and Mayor Rodin. NOES: None. ABSENT: None. ABSTAIN: None. d. Resolution of the Ukiah City Council Regarding Needed Improvements to Coyote Dam and Lake Mendocino Councilmember Thomas presented the item. Recommended Action: Adopt Resolution Requesting the Federal Government Appropriate sufficient funds to the U.S. Army Corps of Engineers in the FY 2012 Budget to resolve all ongoing problems with Coyote Dam. M/S Baldwin/Landis to approve Recommended Action. Councilmember Thomas requested agendizing an Inland Water and Power Commission expenditure item. Motion carried by the following roll call votes: AYES: Landis, Thomas, Crane, Baldwin. and Mayor Rodin. NOES: None. ABSENT: None. ABSTAIN: None. M/S Baldwin/Thomas to approve reconsidering item 11 c. Motion carried by the following roll call votes: AYES: Landis, Thomas, Crane, Baldwin, and Mayor Rodin. NOES: None. ABSENT: None. ABSTAIN: None. C. Adoption of Policy Resolution Establishing the Agenda Order for Council Meetings Mayor Rodin presented the item. Recommended Action: Adopt Policy Resolution establishing the Agenda order for city Council meetings. M/S Baldwin/Landis to approve to amending the motion to include City Manager and City Clerk Reports becoming item 10 on the Agenda. Motion carried by the Page 5 1/1911 following roll call votes: AYES: Landis, Thomas, Crane, Baldwin, and Mayor Rodin. NOES: None. ABSENT: None. ABSTAIN: None. 13. CITY MANAGER/CITY CLERK REPORTS City Manager Chambers reported she will be contacting Councilmembers to schedule a Strategic Planning meeting regarding what would have been on the December's Strategic Planning meeting agenda, which will include City financing and the 2011/2012 budget strategy. City Clerk Currie reported Maddy Act Requirements are met and applications and notices are posted on the City website for boards, commissions, and committees having vacancies occurring in June 2011. Adjourned to closed session and convene as the Ukiah Redevelopment Agency at 8 pm. 14. CLOSED SESSION - Closed Session may be held at any time during the meetin a. Conference with Legal Counsel -Existing Litigation Government Code Section 54956.9 Name of case: (Ukiah Valley Sanitation District v. City of Ukiah, SCUK1057183 b. Conference with Legal Counsel Anticipated Litigation Initiation of litigation pursuant to subdivision c of Government Code Section 54956.9: (1 case) C. Conference with Labor Negotiator 54957.6) Agency Representative: Jane Chambers, City Manager Employee Organizations: Police, Fire, Electric, Miscellaneous, Management, and Department Head Units d. Conference with Real Property Negotiators (§54956.8) Property: APN 180-080-57, 58, 59, 62, 63, 64, 6, 66, 67, 180.110-08, 09, 10 Negotiator: Jane Chambers, Executive Director . Negotiating Parties: Ukiah Redevelopment Agency and Northwest Atlantic (Costco) Under Negotiation: Price & Terms Not heard Reconvened in Open Session at 9:55 pm with no reportable action. 15. ADJOURNMENT There being no further business, the meeting adjourned at 9:55 pm JoAnne M. Currie, City Clerk Page 6 1/1911 G~ty Cli..gik aF ITEM NO.: 7a MEETING DATE: February 2, 2011 AGENDA SUMMARY REPORT SUBJECT: UPDATE REPORT ON LOCAL EMERGENCY DECLARATION REGARDING DROUGHT AND WATER SHORTAGE STATUS Summary: In drought conditions, the City may declare a local emergency under the California Emergency Services Act ("ESA"). In addition, the City Council under the Ukiah City Code may declare a Water Shortage Emergency as a Stage I, II or III emergency. At its meeting of April 15, 2009, the City Council adopted a RESOLUTION DECLARING A LOCAL EMERGENCY UNDER THE STATE EMERGENCY SERVICES ACT AND A STAGE I WATER SHORTAGE EMERGENCY UNDER SECTION 3602 THE UKIAH CITY CODE. (Attachment #1). The resolution contains recitals setting forth the drought conditions and the response to those conditions by the State, Mendocino County, the Sonoma County Water Agency and the State Water Resources Control Board which the resolution seeks to address. Please refer to those recitals for details. Subsequent to adoption of the resolution, City staff has responded further to the water shortage emergency by replying to the Sonoma County Water Agency (SCWA) regarding actions that the City of Ukiah has taken, and will be taking, to address water conservation. Attachment #2 is a copy of that letter. The letter outlined actions that the City is taking, responded to SCWA's request for water use information, and included an outline of the City of Ukiah's water conservation program for 2009. As a result of the drought, the City Council has considered many different aspects of the water shortage issue. Under Council's direction, staff has implemented a series of water conservation and education measures. In addition, the City has a full time staff position dedicated to implementing these measures. Water demand has decreased by 20.8% from the 2008 quantities and 19.0% as compared to the 2004 quantities. Staff assumes that this is as a result of our conservation efforts. This will affect our revenues and staff is working on solutions for this issue as we analyze the fee study that is currently being prepared by an outside consulting firm. Developments from the SWRCB On May 28, 2009, the State Water Resources Control Board (SWRCB) issued an amendment to Order WR 2009-0027-DWR, Order WR 2009-0034-EXEC. The amended order conditionally approves Sonoma County Water Agency's (SCWA) petition to reduce the flow in the Russian River from July 6 through October 2, 2009 Continued on paae 2 Recommended Action: 1. City Council receive the status report on water shortage emergency Alternative Council Option(s): N/A Citizens advised: N/A Requested by: Jane Chambers, City Manager Prepared by: Lauren McPhaul, Public Works Water & Sewer Project Coordinator Coordinated with: Tim Eriksen, Director of Public Works and City Engineer Attachments: Attachment 1 - Resolution Attachment 2 - Letter to SCWA Approved: . Ja hambers, City Manager Subject: Drought and Water Shortage Status Meeting Date: February 2, 2011 Page 2 of 2 to 25 cubic feet per second (cfs) for the upper Russian River and 35 cfs for the lower Russian River if during the period from April 1 through June 30 total inflow to Lake Mendocino is less than or equal to 25,000 acre- feet. The amended order confirms a water conservation goal for Mendocino County of 50% (compared to 2004) from April 6, 2009 until the expiration of this order (October 2, 2009), "By May 6, 2009, SCWA shall submit a plan to the State Water Resources Control Board to obtain the cooperation and participation of agricultural and municipal Russian River water user to reach a water conservation goal of 25 percent in Sonoma County and 50 percent in Mendocino County for the period of April 6, 2009 until the expiration of this order (October 2, 2009). The amended order modified the original order issued on April 6, 2009. From July 6 through October 2, 2009, minimum in-stream flow shall remain at or above 25 cfs, if Lake Mendocino storage is less than 65,630 acre feet on July 1, 2009 (instead of total inflow to Lake Mendocino less than or equal to 25,000 acre-feet). On October 27, 2009 the County of Mendocino Water Agency discussed the current water storage situation in the Ukiah Valley. The discussion led to the consideration of repealing the County emergency order for all water purveyors to limit water usage by 50%. The Agency was not comfortable with the language in the repealing order as prepared by staff and requested staff to bring the order back for adoption at the next regularly scheduled meeting. On November 3, 2009 the County of Mendocino retracted the 50% conservation requirement. However, the Board of Supervisors recommended that each water district strive to achieve 25% conservation on a voluntary basis. The City of Ukiah in the coming weeks must consider how to address this voluntary request by the County of Mendocino. Updated Staff Actions Staff has continually monitored this issue in response to the City Council concerns about this emergency and the length of time that it has been in effect. On December 16, 2009 City Council repealed the mandatory water rationing, however, Stage I voluntary rationing is still in place. Lake Mendocino storage is now 69,459 acre-feet. Staff recommends the continuation of the voluntary conservation measures. It should be noted that the construction of the pump house at Oak Manor well #8 is completed. Water Treatment Plant personnel are in the final stages of testing the well motor and other components before putting the well in service. Regional Issues The administrative draft of The Water Supply Assessment for the Ukiah Valley Area Plan (UVAP) has been released for comment. This plan was originally drafted a few months ago. The original was flawed with inaccurate data. County staff has done an admiral job at rewriting this document. However, with the recent changes in county staff at the water agency, the status of this study is uncertain. ATTACHMENT-__L_ RESOLUTION NO. 2009-17 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UKI'AH DECLARING A LOCAL EMERGENCY PURSUANT TO THE EMERGENCY SERVICES ACT AND .A: STAGE I WATER` EMERGENCY UNDER SECTION 3602 OF THE UKIAH CITY CODE WHEREAS, 1. Lake Mendocino and the Russian River are one current source of water for the City of Ukiah and the primary source of water for other domestic and agricultural users of water in Mendocino and Sonoma Counties; and 2. Average rainfall through March for the area contributing run-off to Lake Mendocino is 42 inches and the rainfall total through March 2009 is 23 inches; and 3. There have been below average rainfall and reduced storage in Lake Mendocino in 2004, 2007 and 2008; and 4. Average rainfall for April - June is 4.8 inches; and • 5. Even average rainfall for the remainder of the rainy season cannot compensate for the extremely low rainfall this year, and 6. Lake Mendocino held approximately 53,000 acre feet on April 1, 2009, with a Lake level of 727.63 feet; and 7. The average Lake storage in April is 84,448 acre feet, the Lake storage in April 2007 was 56,617 acre feet and the average Lake storage in October is 55,854 acre feet, more water at the end of the dry summer season than is currently stored in the Lake; and ` 8. The historically low water storage level in Lake Mendocino this year is part of a statewide water shortage.caused by inadequate rainfall which has prompted Governor Schwarzenegger to declare a statewide emergency under the Emergency Services Act due to these drought conditions and 9. Mendocino County has declared a local' emergency due to drought conditions under the Emergency Services Act; and 10.. On April 6, 2009, the State Water Resources Control Board ("SVVR.CB") has approved an Urgency Change Petition filed by the Sonoma County Water Agency C SCWA") to reduce in-stream flows in the Russian River to 75 cfs from April 6-June 30, 2009 and to as low as 25 cfs for the period July 1-06tober 2, 2009, if cumulative total inflow to Lake Mendocino is equal to or less than 25,000 acre feet for the period April 1-June 30, 2009; and 11. The order approving temporary, changes. to the minimum in-stream flows required by the appropriative rights permits issued to SCWA is subject to several conditions, including a condition requiring the SCWA to submit a plan by May 6, 2009, to the SWRCB to `obtain the cooperation and participation of agricultural and municipal Russian River water users to reach a water conservation goal of 25 percent in Sonoma County and 50 percent in Mendocino County for the period ofAprff 6, 2009 until the expiration of this order (October 2, 2009)' and 12. A local emergency under the California Emergency Services Act (Government Code §8550 et seq.) is defined in Section 8558(c) as the duly proclaimed existence of conditions of disaster or of extreme peril to the safety of persons and property within the territorial limits of the City caused by such conditions as drought which are or are likely to be beyond the control of the services, personnel, equipment, and facilities of individual local governments and which require the combined forces of other political subdivisions to combat; and 13. The historically low rainfall and water storage in Lake Mendocino qualifies as a local emergency under the statutory definition; and 14. In a declared local emergency, local agencies may provide'mutual aid as needed pursuant to agreements or resolutions, state agencies may provide mutual aid to local agencies pursuant to agreement or at the direction of the Governor, costs incurred by the City in providing mutual aid pursuant to agreements or resolution constitute a charge against the state, when approved by the Governor in accordance with adopted regulations, and the City Council may promulgate orders and regulations for the duration of the emergency to provide protection for life and property (see Goverrnment Code 8631-86-34); and ~I 15, In a declared local emergency, the City Council must review the state of the emergency ' not less than every 21 days after first declaring the emergency; and 16. Under Uldah City Code Section 3602, the City Council may by resolution declare a water emergency, specify the degree of emergency and place into effect the appropriate provisions of Division 4, Chapter 1, Article 1 l of the Uldah City Code pertaining to a Water Shortage Emergency; and 17 In a Stage I water emergency the Mayor shall issue aproclamation urging citizens to institute such water conservation measures on a voluntary basis as maybe required to reduce water demand to coincide with available supply; and IS. The City Council has already authorized the development of a groundwater well on an emergency basis to provide the City with an additional water source this summer that does not rely on the Russian River or water stored in Lake Mendocino; and 19. Stage II and III water emergencies impose various mandatory conservation measures on. City residents, including a prohibition on "nonessential water use"' in a Stage II water emergency and a limit on the daily use of water by different classes of water user in a Stage III emergency; and 2 20. The City can declare a Stage II or Stage II emergency, if voluntary measures or less sever mandatory measures does' not achieve an adequate reduction in the use of Russian River water or in water use generally to meet the available supply; NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Ukiah hereby: 1. Declares,a local emergency due to drought under the Emergency Service Act. 2. Declares a StageI Water Storage Emergency under Uldah City Code Section 3602. 3. Directs the City Manager: a. to identify and encourage the use as a Russian River water user of voluntary measures to reach a water conservation goal of 50 percent for the period of April 6, 2009 to October 2, 2009 ("Conservation Period!% and to report back t6 the City Council at each City Council meeting lield during that same time period on the measures identified, the means used to encourage their use, the amount of water use reduction, and the status of the emergency conditions; b. to notify the City Council, if the City Manager determines that a Stage I Water Emergency is not reducing water use to match the available supply and to recommend a Stage II or M emergency, if necessary to achieve that level of water use; c. at City Councilmeetings during the Conservation Period to recommend temporary rules or orders to. supplement or modify mandatory conservation measures in a Stage H or III Water Storage Emergency to reduce water use to the available supply and to achieve the conservation goals in Order WR 2009-0027-DWR. issued by the Division of Water Rights of the State Water Resources Control Board; c. to work with other local governments in the County, including the incorporated cities and county water districts, to preserve as much water as possible for use during the dry summer months and for the fall return of Chinook Salmon to the Russian River; and d. to coordinate mutual aid efforts to address the local emergency between and among political subdivisions in Mendocino and Sonoma Counties and state agencies. PASSED AND ADOPTED on April 15, 2009, by the following roll call vote: AYES: Councilmembers Landis, Thomas, Crane, Rodin, and Mayor Baldwin NOES: None ABSTAIN: None ABSENT: None Philip E. aldwin, Mayor ATTEST ` U d ro ity Clerk April 28, 2009 6 Lynn Florey Sonoma County Water Agency Principal Program Specialist P.O. Box 11628 ' Santa Rosa, CA 95406 Dear Ms. Florey; This letter is written in response to your letter dated April 17, 2009. I do not know when your letter was received by the City of Ukiah, but it arrived' at our water treatment plant rather than in my office at City Hall. The letter was just brought to my attention late yesterday. I had been expecting a request to respond to Sonoma County Water Agency for information related to the State Water Resources Control Board's ruling, and, therefore, am snaking an effort to meet your deadline of today's date. In future, it would be helpful if you could copy and/or address critical dated correspondence about these current drought conditions directly to my office, as that will assist us in making timely replies. Attached; please find the diversion volumes information requested in your letter. You will see that overall annual water use since 2004 has been reduced by 11.4%. Water use in the months of April through October has been reduced since.2004 by 13%. Diversion volume during the months April through October has also been reduced, for some 25% between 2004 and 2007, and 16% between 2004 and 2008 use. Reduced use over the last few years is a result of the City's commitment to institute conservation measures in both the irrigation and domestic use of water in our community. Attached please find the City of Ukiah's Water Conservation Program which outlines current activities the City is taking to address water conservation. With regard to immediate drought related conditions, here are some technical and rate related factors that the City of Ukiah must deal with as the summer and high irrigation use time approaches: The City's water supply is obtained from a Ranney collector well and Wells 43 and #4. The Ranney and Well #3 draw water from an alluvial zone along the Russian Rivera The pumping capacity of both the Ranney collector and Well #3 are affected by the amount of flow in the river. If that water is not available during this summer, the.only source of water available as of this date will be Well 44, whichs percolated groundwater. On February 27, 2009 Governor Arnold Schwarzenegger declared a water shortage. On February 26, 2009, the City received a letter from Victoria A. 300 SEMINARY AVENUE UKIAH, CA 95482-5400 Phone# 707/463-6200 Fox,707/463-6204 Web Address; www.cityofuklah.com City staff is actively seeking stimulus funding for a system to deliver recycled water from the City's wastewater treatment plant. At the current time, it is anticipated that the wastewater treatment plant could begin to produce recycled water by August of 2009. A distribution system is under design mid plans will be developed within the next few months. ]funding for this important resource delivery project will be explored from all possible resources, as the City fully recognizes the value of using recycled water to lower the demand for surface water-in our area. Although a recycled water distribution system cannot be in place for this summer, the City will pursue developing this resource. With regard to efforts to identify and prevent water waste and unreasonable use: Typical water waster penalties include, in the order implemented: 1. Educational letter or visit 2. Educational visit' and warning 3. Citation 4. Installation of flow restrictor and possible fine 5. Shutoff and reconnection fee The City will identify water wasters through monitoring the water meters and citizen reports. In closing, please review all aspects of the attached conservation measures and water use detail in addressing the four questions of your letter, in addition to the specific issues addressed in the above bullet points. Please call me at 707- 463 6213 if you have questions regarding this information. Sincerely, ?ze : A. Cambers Manager Attachments: 1. City of Ukiah Water Use 2. City of Ukiah Water Conservation Program 1009 City of Uldah Water Use Annual Water Use MG 2008 1192.968 -11.4% 2008/2004 2007 1219.964 -9.3% 2007/2004 2006 1248.424 -7.2% 2006/2004 2005 1223.542 -9.1% 2005/2004 2004 1345.744 Water Use (MG) 2004 2007 2008 2009 2007/2004 2008/2004 April 96.743 87.507 87.865 -10% •990 May 145.402 121.505 132.345 -16% -9% June 162.897 149.782 143.469 -8% -12% July 185.876 164.473 158,899 -1295 -15% August 179.326 162.859 157.056 -9% -12% Sept. 156.798 134.481 130.508 -14% -17% Oct. 109.224 83.777 91324 -23% -16% Tatar MG 1036.266 904.385 901.866 -13% -13% ac-ft 3180 2775 2768 Diversion Volume (MG) 2004 2007 2008 2009 2007/2004 2008/2004 April 57,046 27.598 62.754 -52% 10% May 112.803 72.833 111.365 -35% -1% June 129.493 109.976 102,115 -15% -21% July 131.935 105.631 109.09 -2096 -17% August 126,768 104.658 101.593 -17% -20% Sept. 117155 88.134 85.313 -25% -28% Oct. 96.734 72.864 73.465 -25% -24% Total MG 772.534 581.694 645.695 -25% -16% ac-ft 2371 1785 1982 The City of Ukiah Water Conservation Program 2009 The unpredictability of its water supplies and ever Increasing demand on California's complex water resources have resulted in a coordinated effort by the California Department of Water Resources (DWR), water utilities, environmental organizations, and other interested groups to develop a list of urban water conservation demand management measures (DMM) for conserving water. This consensus building effort resulted in a Memorandum of Understanding (MOU),Regarding Urban Water Conservation In California, as amended September 16, 199% among parties, which formallzes an agreement to Implement these DMMs and makes a cooperativeeffortto reduce the consumption of California's water resources. The MOU is administered by the California Urban Water Conservation Council (CUWCC). The DMMs as defined in the MOU are generally recognized as standard definitions of water conservation measures. 1. CUWCC Demand Management Measures Implemented The existing conservation The City of Ukiah has had a water conservation program in place since the late 1970's. During the past five years, the City has expanded Its program and public outreach, The City reduced the amount of water it used by over 9.36/0 In 2007 and 11.4% in 2006 compared to 2004. Currently, the City's conservation program includes the following DMMs: DMM 9, Water survey programs for single-family residential and multi-family residential connections. The City tests customer meters upon request and instructs customers in how to use their water meter to determine if there is a leak on the demand side of the meter. The City provides toilet leak detection tablets to customers. DMM 3, System water audits, lean detection, and repair. The City performs leak detection and repair on an ongoing basis. The City, also, calculates system water losses annually and reports this information to. DWR. DMM 4. Metering, with commodity rates for all new connections and retrofit of existing connections. The City water distribution system Is fully metered. The City Is currently replacing old meters In the system. The new meters will provide a more accurate reading of water use within the City. The City recently went through a rate re-structuring that is believed will reduce water uses in the I future.: DMM 5. Large landscape conservation programs and Incentives. The City's Planning Department reviews all landscape plans proposed for new developments. Included In the City's Municipal Code is a requirement for all landscape planting to be "those which grow well inUkiah's climate without extensive Irrigation." City staff reviews the water use of its top 5 water users and holds meetings with them on a regbiar basis to discuss landscape conservation programs. DMM 7. Public information programs. The City believes public awareness of water conservation issues is an important factor In ensuring a reliable water supply. The City promotes' public awareness of water conservation through occasional bill stufFers, distribution of the Consumer Confidence Report, radio broadcasts, newspaper articles, the City of Ukiah's "Activity and Recreation Guide", distribution of brochures and additional Information at local expositions and fairs, and on the City website advertised to the community on a banner across a City thoroughfare. The City also provides free of charge water conservation yard signs to encourage minimal use of water for lawn Irrigation. Water conservation information and assistance Is routinely provided to the public by the water utility maintenance staff and meter readers while in the field. Field staff receives conservation training to better assist customers and promote conservation. Door hangers are used to remind customers of Ukiah's Voluntary Water Conservation Program measures and to provide notice of problems with outdoor water use. DMM 8. School education programs. City staff presents information on water conservation to elementary school children in the classroom. The City offers local schools tours of Its water treatment plant and also provides educational materials. Four science classes on public water supply at the high school are offered once a year. DMM 9. Conservation programs for commercial, industrial, and institutional accounts. The City has only two industrial customers: Maverick Industries and Red Tail Ale Brewery. The City surveys the water usage of these Industries. Any now commercial, industrial, or institutional developments will be reviewed by the City Planning Department and must meet: all requirements of the Municipal Code. DMM 11. Conservation pricing. In 2005, the City Increased and re-structured its water rates to encourage more conservation. The City has simplified Its rate structure by eliminating rate codes and classifying customers according to their metersize. The new rate structure incorporates the American Water Works Association (AWWA) demand capacity guidelines so that price increases across meter size In proportion to the potential demand a customer can place an the water system. DMM 12. Conservation Coordinator. The City's Conservation Coordinator Is essential to sustaining and improving Ukiah's ongoing water conservation program. The conservation coordinator is responsible for implementing and monitoring the City's water conservation activities. In practice, the City's water conservation program includes the efforts of the Conservation Coordinator and all staff. DMM 13. Water waste prohibition. The City has adopted regulations that state in part: "Where negligent or wasteful use of water exists on a customer's premises ...the City may discontinue the service..." (City Municipal Code Article 7, Section 3571). The City first sends customers a letter calling their attention to the wasteful practice and asking for correction. If the condition is not corrected within five days after the written notice, service may be discontinued if necessary. DMM 14. Residential UL FT replacement programs. Since October 1992, the sale of toilets using more than 1.6 gallons per flush has been prohibited by State and Federal regulations. These regulations are enforced in the City. 11. Additional Water Conservation Measures in addition to the DMMs, the City has also taken the following actions: 1. Installation of five waterless urinals in the Ukiah Civic Center to support and promote the use of waterless urinals In all City facilitles and in the public sector. The use of these urinals has received very positive feedback from Facilities staff who would like to install these in the Ukiah Valley Conference Center. 2. Cooperative water conservation programs have been developed between the City and the Mendocino County Water Agency, the Russian River Public Water Agencies, and the Sonoma County Water Agency. 3 The Ukiah City Council adopted the Ahwahnee Water Principles on April 4, 2007. The Principles contain Ideas for protecting and enhancing water quality, improving water availability, making more efficient use of water, and conserving water as a scarce resource. The Principles suggest a process for improving decision-making as it Impacts water-related issues. The City Council reviewed the Principles and determined the ideas and suggestions promote the Council's stated goals. 111. Future ;Water Conservation Activities The City has recently undertaken a rate and revenue study of Its water utility. A tiered inclining block rate structure and excess use charge are being evaluated to-encourage water conservation. The City has submitted a pre-application to the State Water Resources Control Board State Revolving Fund to construct a recycled water system. The City's Wastewater Treatment Plant Improvement Project Is scheduled to be completed by June 2009. After the project is completed, the plant will be capable of producing 2 million gallons per day (MGD) in the summer and up to 7.5 MGD in the winter of Title 22 unrestricted use recycled water. Other Immediate and long-term conservation measures include: - Installation of waterless urinals and dual flush toilets in all City buildings (immediate) Sign the Calirdmia Urban Water Conservation Council's Memorandum of Understanding Regarding Urban. Water Conservation and implement the 14 best management practices (long term) • Water efficiency standards for new single-family development (long term) • Water-efficient landscaping (long term) • Water waste ordinance prohiblting:'(immediate) 1. gutterflooding 2. Carwash fundraisers 3. non-recycling decorative water fountains 4 breaks or leaks in the water delivery system • Incentives for Retrofits (long term) 1. low flow shower heads 2. toilet displacement devices 3, toilet flappers;. 4. faucet aerators 5. high efficiency washing machines b. ultra-low flow toliets left . ITEM NO.: MEETING DATE: City u,J' Uk afi. AGENDA SUMMARY REPORT 7b February 2, 2011 SUBJECT: UPDATE REPORT REGARDING STATUS OF WATER EMERGENCY CONDITIONS NECESSITATING EMERGENCY RESOLUTION TO EXPEDITE CONSTRUCTION OF OAK MANOR DRIVE WATER WELL Background: On March 4, 2009, at a regular meeting of the Ukiah City Council, an emergency resolution was adopted to expedite the construction of a water well at Oak Manor Drive in Oak Manor Park to the east of the tennis courts. Pursuant to Public Contracts Code Section 22050(b)(1), the City Council delegated authority to the City Manager to order action pursuant to subparagraph (a)(1) of that section and directed the City Manager to undertake all steps necessary to have the well constructed without going through a formal competitive bidding process. Pursuant to Public Contracts Code Section 22050(b)(3), adoption of this resolution requires the City Manager to report back to the City Council at its next regular meeting setting forth the reasons justifying why the emergency will not permit a delay resulting from the formal competitive solicitation for bids for the well and why the action is necessary to respond to the emergency. Discussion: The reasons for the emergency were set forth in resolution number 2009-12. These reasons continue to exist: 1) the State of Emergency declared by the Governor of California due to drought conditions, 2) recommendation to municipalities from Victoria Whitney, Deputy Director for Water Rights for the State of California Water Resources Control Board, that drought conditions may necessitate suspension of surface water rights this summer and to secure groundwater sources, 3) the time required to drill, develop, and construct a temporary connection from a new groundwater well into the City's water distribution system is not sufficient to comply with the noticing requirements of the Public Contracts Code formal, bidding process. Gobbi Well The date of the bid opening for construction of the Gobbi Street well head and pump house was June 18, 2009. The contractor mobilized their equipment on site on July 13. Substantial completion of this project Continued on Page 2 Recommended Action(s): Receive the report. Alternative Council Option(s): Reject recommended action(s) and provide staff with alternate direction. Citizens advised: n/a Requested by: Tim Eriksen, Director of Public Works / City Engineer Prepared by: Lauren McPhaul, Public Works Water & Sewer Project Coordinator Coordinated with: Jane Chambers, City Manager Attachments: None. Approved: ,ne Chambers, City Manager Subject: Update Report Regarding Status of Water Emergency Conditions Necessitating Emergency Resolution to Expedite Construction of Oak Manor Drive Water Well Meeting Date: February 2, 2011 Page 2 of 2 was November 10t". The time required from the bid opening to substantial completion of the Gobbi Street well head and pump house was approximately five months. Oak Manor Well In the December 16, 2009 Agenda Summary Report, Item 7d, a best case schedule was developed assuming the Oak Manor well head and pump house bid in December 2009 and construction started no later than January. With this schedule it was possible the Oak Manor well (Well #8) would have been completed in May 2010. This completion date assumed a shortened bid period and no delays due to weather or other circumstances. Bids were issued on January 8, 2010. The revised schedule includes the January bid date and a 30 day noticing period with bids due February 9t". The lowest, qualifying bid was submitted by Wipf Construction in the amount of $377,000 and was approved by Council on February 17t". Construction began April 26, 2010. The pump house at Oak Manor well #8 is complete. All equipment is in place and Eaton technicians has inspect the motor and box. Electricity has been supplied to the well site. Water Treatment Plant personnel are in the final stages of testing the electronic system and other components before putting the well into service. ITEM NO.: MEETING DATE: City of 4lf ah. AGENDA SUMMARY REPORT 7c February 2, 2011 SUBJECT: AUTHORIZE CITY MANAGER TO NEGOTIATE AND EXECUTE LEASE AGREEMENT FOR UKIAH YOUTH BASEBALL LEAGUE, INC. Summary: The City of Ukiah has leased a portion of the property within the Riverside Park site to South Ukiah Little League for $1.00 per year since April 1984. South Ukiah Little League has now merged with North Ukiah Little League to become the Ukiah Youth Baseball League. The proposed lease continues similar terms and conditions of the previous lease. Staff believes the continued use of the property for this purpose is beneficial to the public and recommends approval of the lease as proposed. Staff does not anticipate any conflict with future park development as the Little League fields are included in the conceptual plan for the Riverside Park. Fiscal Impact: Not Applicable Budget Amendment Required F-1 Budgeted FY 10/11 1-1 New Appropriation FRI Amount Budgeted Source of Funds (title and Account Number Addtl. Appropriation Requested Recommended Action(s): Authorize City Manager to negotiate and execute lease agreement for Ukiah Youth Baseball League, Inc. Alternative Council Option(s): N/A Citizens advised: Requested by: Prepared by: Katie Marsolan, Community Services Administrator 'Coordinated with: Mary Horger, Purchasing Supervisor Attachments: Lease and Map Approved: N\4_ Ja Chambers, City Manager LEASE AGREEMENT This Lease, made this _ day of , 2011, by and between the City of Ukiah, State of California, acting by and through its City Council, hereinafter referred to as "Lessor" and the Ukiah Youth Baseball League Inc., a corporation organized and existing under and in compliance with the laws of the State of California and its officers, hereinafter referred to as "Lessee." RECITALS: 1. Lessor has the authority contained in Government Code {{37380 and 37395 and does determine that the use of certain property owned by the Lessor is not required for its use at this time and is available for Lease, and 2. The use of said property by the Lessee would be and is beneficial for the citizens of the City of Ukiah. LEASE AGREEMENT 1. LEASE. The parties hereto agree that on the terms and conditions hereinafter expressed, Lessor does hereby let to Lessee and Lessee does hereby hire from Lessor a portion of that certain parcel of property commonly referred to as "Riverside Park", located on City property to the Southeast of East Gobbi Street, County of Mendocino and West of the Russian River, more specifically described on the attached "Exhibit A". 2. TERM. The term of this Lease is for a period of five (5) years commencing on the date set forth above, with the option for one, five year, renewal. 3. RENT. As rent for the term hereby demised, Lessee agrees to pay to Lessor the sum of One Dollar ($1.00) per year and identify Lessor as a sponsor of Lessee's program in consideration hereof for the use of said property. 3.1. Lessee specifically represents that it does not intend to make a profit on the use of the leased premises. All income derived from use of the leased premises shall be used ex- clusively to sponsor or promote Little League Baseball on the leased premises or for improvements to the leased premises. 3.2 Lessee shall maintain regular books of account which it shall make available to Lessor upon demand for inspection or audit. 3.3 Lessee agrees to provide signage in a location of visibility on the leased premises which identifies Lessor as a sponsor of the South Ukiah Little League Program. 4. USE AND IMPROVEMENTS. Lessee hereby agrees to install all permanent improvements which shall become part of said property and title to said improvements shall be vested in the Lessor upon termination of this Lease except as set forth herein. 4.1. Lessee shall use the leased premises exclusively as a Little League Baseball field under the Lessee's sponsorship and supervision. 4.2. Improvements, excavations, removal of any trees, brush, grass or improvements and other modifications to the property shall be the sole responsibility of Lessee and shall be approved by Lessor prior to conducting work. 4.3. Prior to beginning baseball activities on the premises, Lessee shall install and maintain sound reduction materials to the backstop at the approval of Lessor and provide for at least one port-o-let sanitary station to be placed on the premises during baseball season. 4.4. Lessee agrees to keep the premises and all improvements in good repair and order and to bear the full cost for maintenance of all improvements. 4.5. Lessee shall acquire the necessary and required permits from the appropriate regulating body for any development proposed under this lease. 4.6. Lessee is responsible for the relocation, alteration, removal, construction, reconstruction of any municipal or private facilities, structures or utilities existing on leased premises which are presently in use or abandoned. 4.7. Lessee shall insure that no alcoholic beverages are possessed or consumed on the leased premises at any time. Lessee shall not use or permit the leased premises to be used except in full compliance with all rules, regulations, laws or ordinances of the City of Ukiah and the State of California. 4.8. Lessee shall bear sole responsibility for the cost of all utilities and any possessory interest tax which may result due to Lessees occupancy of the property. 4.9. Lessee agrees to allow use and access to the leased premises during the lessee's non-use times to Lessor for the purpose of Lessor's recreation programs. Lessee shall not permit use of the property for any reason after the hour of 10:00 p.m. Lessee shall not permit vehicles to park on the premises between the hours of 10:00 p.m. and 8:00 a.m., and shall properly post the premises in accordance with Vehicle Code requirements. 5. ASSIGNMENT. Lessee will not assign this Lease or any interest therein and will not let or underlet the said premises or any part thereof without the prior written consent of the Lessor. 2 6. INDEMNIFICATION AND INSURANCE. 6.1. Lessor shall not be liable for and is free from the cost of any damages for personal injury or property damage resulting from the use made by Lessee of the demised premises, any defective condition or faulty construction of the demised premises existing at the time of letting or arising thereafter and Lessee covenants and agrees to indemnify and save harmless said Lessor and its officers, agents and employees from and against any and all liability, loss, cost, or other obligation, including reasonable attorney's fee, on account of or arising out of any such injuries or losses however occurring. 6.2. Lessee covenants and agrees during the life of this Lease at Lessee's sole expense to comply with the requirements of Exhibit B, Insurance Requirements for Lessees (No Auto Risks), attached hereto and incorporated herein by reference. 6.3 Notwithstanding the provisions of Exhibit B requiring Lessee to procure workmen's compensation insurance, Lessee need not procure such insurance provided all of the following conditions are met: a. It maintains its status as a non-profit tax exempt organization; b. It's Board of Directors takes no action to designate any person providing services or work to the organization as its employee; and c. All persons performing services for the organization do so strictly as volunteers without receiving any compensation whatsoever. Lessee shall immediately notify Lessor if it fails to meet all of the conditions of this paragraph 6.3 and shall immediately thereafter comply with the workmen's compensation provisions of Exhibit B. 7. TERMINATION. 7.1. This Lease or any renewal thereof, may be canceled for any reason by either party on sixty (60) days written notice to the other party. 7.2. Lessor can cancel this Lease immediately for any breach of this lease by Lessee, including, but not limited to, failure to provide insurance, without any prior notice to Lessee. 8. ATTORNEY'S FEES. Lessee shall pay Lessor its reasonable costs and attorney's fees if Lessor prevails in any legal action to enforce any of the terms of this Lease. 9. TIME OF ESSENCE. Time is of the essence of this agreement. 3 10. WAIVER. City's waiver of any default in Lessee's performance of any condition of this Lease, including the obligation to pay rent, shall not constitute a waiver of remedies available for a subsequent breach of the same or a different condition of this Lease. Acceptance of subsequent rental payments from Lessee or its assignees shall not constitute a waiver of the failure of Lessee to pay rent or obtain prior approval to an assignment of this Lease. 11. NOTICES. Any written notice required hereby shall be deemed sufficient when placed in the United States mail, postage prepaid and addressed as follows: TO LESSEE: TO CITY: Ukiah Youth Baseball League, Inc. City Manager Ukiah Civic Center 300 Seminary Avenue Ukiah, CA 95482 12. PARAGRAPH HEADINGS. Paragraph headings are included for the convenience of the parties and are not intended to define or limit the scope of this Lease. 13. PREVIOUS AGREEMENTS. Any and all existing statement or agreements, whether oral or written, or renewals thereof, between the parties hereto, covering the same subject matter, are hereby canceled and superseded by the terms of this Lease, and such prior agreements, statements or understandings shall have no further force or effect. 14. DUPLICATE ORIGINALS. This Lease may be executed in one or more duplicate originals bearing the original signature of both parties and when so executed any such duplicate original shall be admissible as proof of the existence and terms of this Lease. Entered on the date first written above. 4 CITY OF UKIAH By: ATTEST: City Clerk UKIAH BASEBALL LEAGUE, INC. By: It's Y• June 16, 1978 Lease Agreement - South. Ukiah Little League Description EXHIBIT "A" . Being a portion of that tract of land, Dillingham to the Town of Ukiah City, as recorded September 10, 1896 in Deeds of Mendocino County, State of California, in Book 69, Page 390, said portion. being more particularly described as follows: Beginning at a Boint on the Westerly line of said tract, said point being S 9 E 40.00 feet from the Northwesterly corner of said tract; thence along the Westerly line of said tract, S 90 E 549 feet more or less to a point which is 75.00 feet Northerly from the Southerly line of said tract, measured at right angles to said Southerly line; thence parallel to and 75.00 feet ortherly of said Southerly line, N 81015' E 550.00 feet; thence N 9 W 549 feet more or less bo.a point which is 40.00 feet Southerly from the tortherly line of said tract, measured at right angles to said Northerly line; thence parallel to and 40.00 feet Southerly of said Northerly line, S 81015' W 550.00 feet to the point of beginning and containing 6,93-acres, more or less. Ref: R-13 3 N'd 1 ~IJJ`d~3 a ~n • W 1t to tt% oo'v 9! z 3,It •IC M i ' •.~r yyam` o oe fir. ti ti~ t 1► ~~rFe9 s EXHIBIT °n ~x A h a. W ~ C m m ~w W zO ' o a m v ~ LL > •~W z . O d d Y Ub ~ A ~ .o ~ w Q J W w O r / c A N co ? i a 0 ~ J O 0 0 o y ti . x City vJ`?-kiafi- ITEM NO.: 7d MEETING DATE: AGENDA SUMMARY REPORT Feb. 2, 2011 SUBJECT: REPORT TO CITY COUNCIL REGARDING THE CONTRACT FOR PROFESSIONAL SERVICES WITH THE NORTH BAY PROFESSIONAL OFFICIALS ASSOCIATION FOR ADULT BASKETBALL REFEREES Summary: Pursuant to the requirements of Section 1522 of the Municipal Code, Staff is filing with the City Council this report regarding the contract with NBPO to provide officials for the 2011 Adult Basketball Leagues. This item is budgeted in account #100.6117.250.000. This program continues to be successful and currently provides an activity for 200 participants. The contract is in the amount of $5,700. Fiscal Impact: Not Applicable Budget Amendment Required ,Budgeted FY 10/11 F-1 New Appropriation F-1 F Amount Budgeted Source of Funds (title and Account Number Addtl. Appropriation Requested $5,700 CS Dept, Adult Basketball 100.6117.250.000 Recommended Action(s): Receive report regarding the purchase of professional services with the North Bay Professional Officials Association for Adult Basketball referees. Alternative Council Option(s): N/A Citizens advised: Requested by: Prepared by: Jake Burgess, Sports Coordinator Coordinated with: Mary Horger, Purchasing Supervisor Attachments: Approved: J n Chambers, City Manager city of -ZIkjoh- ITEM NO.: 7e MEETING DATE: AGENDA SUMMARY REPORT February 2, 2011 SUBJECT: REPORT TO CITY COUNCIL REGARDING THE PURCHASE OF PULSAR PLUS CHLORINE BRIQUETTES FROM LINCOLN EQUIPMENT CO, INC. FOR THE UKIAH MUNICIPAL SWIMMING POOLS IN THE AMOUNT OF $5,002.50. Summary: Pursuant to the requirements of Section 1522 of the Municipal Code, Staff is filing with the City Council this report regarding the annual purchase of chlorine briquettes for the Ukiah Municipal Swimming Pools. The only qualified bidder who stocks these specialty pool products is Lincoln Equipment Co, Inc. This item is budgeted in account #100.6130.690.001. Fiscal Impact: ❑X Budgeted FY 10/11 ❑ New Appropriation ❑ Not Applicable ❑ Budget Amendment Required Amount Budgeted Source of Funds (title and Account Number Addtl. Appropriation Requested $5,002.50 CS Dept, Aquatics, Supplies 100.6130.690.001 N/A Recommended Action(s): Receive report regarding the purchase of Pulsar Plus Chlorine Briquettes from Lincoln Equipment Co, Inc. for the Ukiah Municipal Swimming Pools in the amount of $5,002.50. Alternative Council Option(s): N/A Citizens advised: Requested by: Prepared by: Katie Marsolan, Community Services Administrator Coordinated with: Mary Horger, Purchasing Supervisor Attachments: Approved: Jan hambers, City Manager ITEM NO.: MEETING DATE: City of ukia.Fr- AGENDA SUMMARY REPORT February 2, 2011 SUBJECT: RECEIVE REPORT OF THE ACQUISITION OF 2,000 POUND CAPACITY VAPOR PHASE CARBON ADSORBERS AND 6,000 POUNDS OF CARBON FROM PURE EFFECT, INC. IN THE AMOUNT OF $18,889.88 Background & Discussion: In compliance with the City Code, this report is being submitted to the City Council for the purpose of reporting the acquisition of supplies. The City Public Works Department worked with the EBA Engineering to obtain quotes for the acquisition of three each 2,000 pound capacity vapor phase carbon adsorbers and 6,000 pounds of carbon. These carbon filters will be used at the City Corporation Yard for remediation of the groundwater contamination which was identified after removal of the underground storage tanks. The purchase amount of $18,889.88 (tax included) is included in the costs identified for the Corporation Yard remediation project. Fiscal Impact: A] Budgeted FY 10/11 New Appropriation Not Applicable ❑ Budget Amendment Required Amount Budgeted Source of Funds (title and Account Number Add'I. Appropriation Requested $18,889.88 Corporation Yard UST 110.3301.250.000 Recommended Action(s): Receive and file report of the acquisition of 2,000 pound capacity vapor phase carbon adsorbers and 6,000 pounds of carbon from Pure Effect, Inc. in the amount of $18,889.88. Report is submitted pursuant to City Code. Alternative Council Option(s): N/A Citizens advised: N/A Requested by: Tim Eriksen, Director of Public Works / City Engineer,;; Prepared by: Rick Seanor, Deputy Director of Public Works - Engineering & Streets 40 Coordinated with: Jane Chambers, City Manager Attachments: None Approved: O~Z~ Ja a Chambers, City Manager ITEM NO.: 7g MTN MEETING DATE: February 2, 2011 City of "Z-1kJa-fi AGENDA SUMMARY REPORT SUBJECT: REPORT OF ACQUISITION OF PROFESSIONAL CONSULTING SERVICES FROM RAU AND ASSOCIATES, INC. FOR DESIGN OF WAUGH LANE BRIDGE Background & Discussion: In compliance with Section 1522 of the City Code, this report is submitted to the City Council for the purpose of reporting the acquisition of professional consulting services costing more than $5,000 but less than $10,000. The Public Works Department obtained a proposal from Rau and Associates, Inc. Staff reviewed the proposal and found the proposed fee of $9,900 to be commensurate with the scope of work. Rau and Associates, Inc. will provide design services for replacement of the Waugh Lane wooden bridge. The new structure will be asphalt pavement on top of a steel deck bridge. Fiscal Impact: Not Applicable Budget Amendment Required Budgeted FY 10/11 F-1 New Appropriation 1-1 Amount Budgeted Source of Funds (title and Account Number Additional Appropriation Requested $9,900 Special Projects 699 699.3110.930.017 Recommended Action(s): Receive and file report of the acquisition of professional services from Rau and Associates, Inc. in the amount of $9,900 for design of the Waugh Lane bridge. Report is submitted pursuant to Citv Code. Alternative Council Option(s): N/A Citizens advised: None. Requested by: Tim Eriksen, Director of Public Works / City Engineer "Ltj Prepared by: Rick Seanor, Deputy Director of Public Works - Engineering & Streets Coordinated with: Jane Chambers, City Manager Attachments: None. Approved: v~- Jane ambers, City Manager ITEM NO.: pIr MEETING DATE: City aJ (Z-1k a:fz AGENDA SUMMARY REPORT 7h February 2, 2011 SUBJECT: REPORT OF ACQUISITION OF PROFESSIONAL CONSULTING SERVICES FROM GREEN VALLEY CONSULTING ENGINEERS IN THE AMOUNT OF $9,983 FOR ADDITIONAL CONSTRUCTION MANAGEMENT WORK FOR THE REALIGNMENT OF GOBBI STREET - OAK MANOR DRIVE - BABCOCK LANE INTERSECTION Background: This work has been included in the FY 2010-2011 budget adopted by the City Council. Discussion: The City's consultant, Green Valley Consulting Engineers, for construction management and inspection services related to the realignment of Gobbi Street - Oak Manor Drive - Babcock Lane intersection, identified additional costs necessary for final construction management/inspection and completion of the close-out of this project. These costs included construction management and inspection, negotiation of claims and change orders, processing final change orders and final pay request, preparation and printing of final as-built drawings, and assembling project files for transfer to the City. Staff reviewed and concurred with the additional work proposal. This report is submitted pursuant to City Code. Fiscal Impact: Budgeted FY 10/11 1-1 New Appropriation ❑ Not Applicable Budget Amendment Required Amount Budgeted Source of Funds (title and Account Number Addtl. Appropriation Requested $9,983 330.9813.930.001 Recommended Action(s): Receive and file report of the acquisition of professional services from Green Valley Consulting Engineers in the amount of $9,983 for additional construction management work for the realignment of Gobbi Street -Oak Manor Drive - Babcock Lane Intersection project. Report is submitted pursuant to City Code. Alternative Council Option(s): N/A A Citizens advised: N/A -A Requested by: Tim Eriksen, Director of Public Works / City Engineer o~N/" Prepared by: Rick Seanor, Deputy Director of Public Works - Engineering and Streets Coordinated with: Jane Chambers, City Manager Attachments: None. Approved: 6 Jai} hambers, City Manager TSUNAMI! The Arts Council of Mendocino County (ACMC) Celebrates Cooperative Galleries with an Exhibition of Ocean Inspired Artwork February 4 "First Friday" 2011 4-6:00 pm ***please note the early hours (due to dependence upon natural light) The Arts Council of Mendocino County casts a conceptual spotlight on the cooperative galleries of Mendocino County and inaugurates its new location in the Historic Ukiah Depot with an opening reception for TSUNAMI! an exhibit of ocean inspired artwork produced by members of cooperative (artist-run) galleries located throughout the county. This event marks the first exhibition in over 40 years of artwork at the Historic Ukiah Depot. February 4th is a "soft opening" for the Depot. (A grand opening will be held May 6, 2011. Please save the date.) The Ukiah Depot, home to the Arts Council of Mendocino County and Visit Mendocino's inland office, is a place to learn about the rich cultural offerings of Mendocino County. Find out more about county artists and arts organizations, pick up a "Guide to Artful Living" brochure, discover classes, workshops, programs and events taking place throughout the county, and now: view and purchase artwork. In a geographically diverse county, ACMC's goal is to conceptually unite and simultaneously promote disperse county artists and arts organizations under one roof and online: www.ArtsMendocino.org. ACMC is grateful to the following organizations and individuals for their support of TSUNAMI! : ACME Rigging Art Center Ukiah California Arts Council City of Ukiah Corner Gallery Edgewater Gallery Erika Kane Katie Gibbs Mendocino Ballet Mendocino County Board of Supervisors Mendocino County Lodging Association Northcoast Artists Gallery Partners Gallery Visit Mendocino County Project CART Introduction: • An Environmental Club at Developing Virtue Secondary School o Things we already do: organic farm, solar shutter, compost • Seiman's Foundation • Feasibility study o Stage of exploring different potentials 3 Areas of Concern: 1. Environmental-> goal: reduce carbon footprint a. 0.88 lb Carbon Dioxide per mile driven b. 1 plastic bag creates 13.2 Ibs C02 emission 2. Health and well being a. Vigorous walking-> activity in hippocampus i. Better memory (all age groups) ii. Increase life expectancy chances 3. Quality of life Questions we want to ask: • Request permission to o explore potential solutions: we believe walking is the answer o use facilities where we could to talk anyone o to anyone to get this project implemented (legal counsel, staff, etc) • Request assistance , -Q-4( C( NL uk AP-A'(>4r SA3 Feb. 2, 2011 Under Council member reports: I have received several inquiries and complaints from citizens regarding failure of enforcement of the use of the posted required personal protective gear (RPPG) in the Ukiah Skate Park. On Sunday, January 30, 20111 visited the skate park to observe the degree of compliance and took the photo below. It is obvious in the photo, which is consistant with the complaints I have received, that the majority of the users of the skate park do not use the RPPG in the skate park. When the Council was made aware of the grant award for the skate park, Council asked Staff if Staff could manage or arrange for the operation/management of the skate park with the recources available. Staff assured the Council that Staff would be able to do so. Prior to the opening of the skate park a set of rules was developed incorporating REMIF requirements for personal protective equipment which are posted at the entrance. Staff again was asked if they could operate/manage the skate park with those requirements. Staff affirmed the need for the RPPG and the Staff commitment to enforcment of same. It is my understanding the City of Ukiah has an obligation to REMIF for the use of RPPG in the skate park in order to have insurance to operate the facility. I wish to agendize for the 2/16/11 Council meeting discussion and action to bring the facility into RPPG compliance. Douglas Crane, Council Member e Solid. Waste Management in Mendocino County Mendocino Solid Waste Management Authority January, 2011 Prepared by Mike Sweeney and Jennifer Silva Contents Tables Overview 1 Franchise Collection Areas 5 Total Disposal 2 Service Prices by Franchise 6 Area Collection 3 Customer Count by Franchise 7 Closed Landfills 8 Area Waste Export 9 Closed Landfills g Transfer Stations 12 Distances to Regional Landfills 11 Recycling & Composting 19 Composite Market Values 20 Compost Facilities 22 Hazardous Wastes Received 25 by HazMobile Recycling Rates 22 Hazardous Waste 25 Issues for the Future 27 Maps Figures County of Mendocino 4 Mendocino County 2 Franchise Collection Landfill Disposal by Areas Year Regional Landfills 10 Ukiah Transfer 24 Near Mendocino Station Inbound County Tons v. Disposal Tons Solid Waste Management in Mendocino County Overview Solid waste services in Mendocino County are provided by four private companies operating under nine franchise collection contracts and six transfer station contracts. Six local jurisdictions have solid waste contracts the County of Mendocino, the cities of Ukiah, Fort Bragg, Willits, and Point Arena, and the Brooktrails Community Service District. Until 1992, the County's solid waste disposal took place at landfills in Ukiah, Caspar, Willits and South Coast. From 1992 through 2001, these landfills were closed one by one and transfer stations were built to haul solid waste to the Potrero Hills Landfill. in Suisun, California. Mendocino County has been a leader among rural counties in recycling. Both curbside collection and drop-off recycling were established in the early 1990's, usually at no extra charge to the public. Recycling expanded dramatically from 1999 through 2004 with the introduction of "single-stream" collection, which allows the public to put most recyclables together. Processing facilities to sort out the mixed recyclables, commonly called material recovery facilities or "MRFs," were opened in 2009 by the private haulers in Willits and Ukiah. Composting of yard waste, wood waste and agricultural wastes takes place at two local facilities, and some yard waste and wood waste is sent to Scotia, California, to be burned as fuel. Mendocino County's system is vulnerable to increases in the price of diesel fuel and loss of access to remote landfills. . Solid Waste Management in Mendocino County - Page 1 Total Disposal Mendocino County sends about 52,000 tons of solid waste per year to out-of-county landfills. As shown by Figure 1, disposal fell in recent years but has stabilized. Two factors caused a decline of about 31% in total disposal from 2006 to 2009. The first was the. Great Recession which reduced all economic activity but particularly construction. The second was the scavenging program introduced by C&S Waste Solutions at the Ukiah Transfer Station, which is described further in the Recycling Rates section. Figure 1. Mendocino County Landfill Disposal by Year (in Tons) 80,000 73,365 Tons 70,314 tons 70,000 60,000 58,053 tons 52,370 tons 50,000 50,091 tons I 40,000 i 30,000 2006 2007 2008 2009 2010 Collection There are nine exclusive franchise collection areas in Mendocino County. The rates charged to the public vary considerably. Among the factors influencing these rates are the size of the customer base, the density of collection points, and the historical circumstances of the franchise area, such as whether there was ever competitive bidding for the franchise. Information on the nine franchise areas appears in Tables 1 through 3. The boundaries of the four County franchise areas are shown in Map 1. Note that Area #2 (Empire Waste Management] is divided into Coastal and Inland zones, which have different collection rates. Solid Waste Management in Mendocino County- Page 3 County of Mendocino Franchise Collection Areas Map prepared for the Mendocino County Solid Waste Department, 12 Mar 04 Table 1. Franchise Collection Areas Franchise Area Company Contract expiration date Franchise fie 18% [includes 3% City of Ukiah C&S Waste Solutions September 30, 2016 for city billing service] USA Waste of California 20.96% [includes City of Fort Bragg June 30, 2014 10.96% for Caspar [Waste closure] Management] October 31, 2015 [automatically City of Willits Solid Wastes of extends 10 years unless city gives 12% Willits notice 1 to 3 years before expiration] Pacific Coast Disposal City of Point Arena [North Bay December 11, 2024 $6000 per year Corporation] County Franchise Solid Wastes of Area #1 [North Willits December 31, 2024 12% County] County Franchise USA Waste of Area #2 [Ukiah and California [Waste June 30, 2011 12% Fort Bragg vicinities] Management] County Franchise Area #3 [Anderson Solid Wastes of December 31, 2024 12% Valley] Willits County Franchise Solid Wastes of December 31, 2024 12% Area #4 [South Coast] Willits May 31, 2016 [automatically Brooktrails Solid Wastes of extends 3 years unless notice Community Service Willits given 1 to 3 years before District expiration] Solid Waste Management in Mendocino County - Page 5 I» Z 0 CC J m 00 01 000 0) 00 d: 0 Nt M oq I~ N M I, 00 l0 1- N 00 P%% m z3LUa N z m m Lnn ( LO Lo m - N R t`i c Q > O r I N M t Ln ~ u v 3 = z O~ m N e^-I O l0 Ol m ~-I 00 N 00 Ln N O to 00 ~ r-i 00 d o z O m m 0 w lO0 LO .6 m N N N N m ~r-4 d' M L LLnn c u U n r Z O H N 0) rn lc* ~ N* n Ln d: ri r-1 m 0 3 O Qo O ) U c o M M r-I Ln w d' 0i Ln Lri W ~ N ° N m ~Vq n 0100 F, M N 0 c V L (D Y 0 00 Ct d: 00 0) N Lf) r! \ \ \ O N N d' 0 M ~ W Dl N Ct ~ ~ ~ ~ O rn . r1 N N L co 0 N P Z 3 In m m r- d N N dam' on O Ln N 1~ O 0) N 01 Ln r-I m m C 0 O O N : d l0 N ^ ~ rN-I w N N C r-I N N m Kt J O Z Z W N m Ln r - O (14 ^ r-q 00 N C1r-I 4 M r-I 0 r-I m M Ln r- ° d. 0 a Q Q' U Q a U Ql r-i N N i~ M N Ln Ol r-I N M Ln R t O -I d -I N N m d m C c r N d Ln N L' O Z 3 Z m r-I i- m N 00 N N r-I Ln O O N Ln N d, 00 00 00 00 . M ri 00 00 N r-I =1 LAJ N Z O o 6 T-4 ON i t l0 N ~ (3i cyi r- -I t.6 ~ t.6 N vi N r~ M k6 q N U U " r C U C Cl F- O m cr-I 0000 n l-0 r-I I- C) R* ~ N 00 M i, O r, rn r- O 0? : m m L 0 C7 3 C 00 r-I 00 N I~ Ln l0 00 1~ N Ln Ln M 00 LD N N 00 M r- N LL LY u m r-I N N M Ln Q , o 3 O m r- 000 m 0) LLn tD r-i Rte. a) Cn N ° m (71 n L-Q U "i c 1.4 r-I O N d ~ 6 Ln d' N 01 d w r- -I m N N m H r Rt L U r -I r-I M d a) V LL= N Q ca r-i fl d W O M Ql M I~ N r-I 00 N Ln ^ O 00 O d d: W -1 00 OR N M u m m r^-I L^n ~ m r- w r-I r-I ri N M Ln W w o w o w w w OA to 4A m y. m m m m m m m rn E m w rn r-I r„-I N m Rt t.0 00 CC 0 z 30~ z O 3: Q uj J O N u1 r-I M O O M O d' C C 0 N Z > a u 3=^ 3 0 p = (.0 NO 000 0 rm-I rn n m O n n N lp ri o 4 z 0 U 2 ^ z V3 O C 111 N m Ln W d r-I M 111 al M O O 111 N d N ~ f u..v 0 3: \ 00 00 om o ° o 0 o m o m 0 w m -1 v 3 a O \ = a) I 01 00 N a) N Ln N N 0000 M O r-i O r14 \ \ a) n O N v ~ ~ Y ?i u. u O W V o - -I i M -I U a' Q a U (a a) N D a g \ r-4 N m r14 m N N 1,n ^ N lD 00 d d d' ri m \ C U 0 z m C J- LA. 0 C~C L7 3 \ = 00 M al o O M O r, N N M al a0 N o) \ m Q 0 U , to 1-+ C O LL. o \ w m m 00 ^ r-i N M N M N 0000 O ri d c E ~ co 0 = N } a 0 F- ]L u C14 o m m r a) Ili Cm4 m I%% 1.n co t-i vi w 00 0 W 00 Cr lD ~D N n, Ln c* rj Q iv 4A 4A C]0 C10 i]A m •i WD UD bA -0 t0 L- -0 m co m i0 m (a d O O M lfl al E M w m ~ TH N M [t W 00 OC 0 1 Closed landfills Until the late 1990's, solid waste disposal in Mendocino County took place in local publicly-owned landfills. None of them had leachate collection and prevention systems that met new federal and state environmental standards. Rather than build new "cells" that met environmental requirements, the jurisdictions that owned these landfills all decided to close them down and begin solid waste export to out-of-county landfills. This mirrored a nationwide trend to consolidation of solid waste into large regional landfills. Lake County, however, made a different choice and retained its landfill. Inactive landfills are an ongoing liability for their owners. State law requires specific measures to "close" a landfill, including installation of an impermeable cap and a protective vegetation layer, and sometimes leachate or gas collection. For at least 30 years following closure, the landfill must be supervised, usually involving periodic testing of groundwater monitoring wells. The landfill owner is required to set aside sufficient funds for closure and post-closure, and each jurisdiction in Mendocino County has done so, although the funds may or may not prove sufficient in each case. Not counting various small dumps that shut down 40 years ago or more, Mendocino County has five landfills in various stages of closure, as described in Table 4. Table 4. Closed Landfills Date ceased Final `closure Site Owner operation certified by state? Ukiah Landfill City of Ukiah 2001 No Willits Landfill ~ City of Willits & County 1997 Yes i of Mendocino Caspar Landfill City of Fort Bragg & 1992 Yes j County of Mendocino South Coast Landfill County of Mendocino I 2001 No Laytonville Landfill County of Mendocino 1993 Yes Solid Waste Management in Mendocino County - Page 8 C&S Waste Solutions has proposed re-opening the Ukiah Landfill by placing solid waste in the areas previously used for disposal, which would avoid the requirement for a subsurface impermeable liner. In order to hold more waste on the landfill slopes, a large retaining structure would have to be built at the base of the landfill. It cannot be determined at this time whether this concept will move forward. There are 18 historic "burn dumps" scattered around the County which were closed 40 years ago or more and are designated "pre-regulation" by the state. There are also 14 wood waste landfills which were operated by sawmills. All are closed. Waste Export Currently almost all of Mendocino County's disposal takes place at Potrero Hills Landfill in Suisun, California. This landfill is owned by Waste Connections, Inc., one of the three largest solid waste corporations in the U.S. Solid Wastes of Willits, operator of the Willits Transfer Station and South Coast Transfer Station, directs its solid waste to Potrero Hills under a contract that can be extended to 2029. The contract provides for a landfill tipping fee that was fixed in 2000 and has been increased since then only by a consumer price index adjustment and certain pass-throughs of local fees. C&S Waste Solutions, operator of the Ukiah Transfer Station, has a contract with Potrero Hills Landfill that expires in December, 2011. C&S is seeking access to Lake County's Eastlake landfill under a 5-year agreement. While Lake historically has refused to grant access to outside waste, this position may change due to a large drop in usage and the financial burden of continued operation. The small portion of Mendocino County waste which enters Annapolis Transfer Station is exported by North Bay Corporation to one of the regional landfills under contract with Sonoma County. Mendocino County waste that is self-hauled from the far northern part of the county to Redway Transfer Station in Humboldt County is hauled to Anderson Landfill in Shasta County. A map showing the location of the regional landfills follows. Distances to landfills are shown in Table 5. Solid Waste Management in Mendocino County - Page 9 Siskiyou Shasta I Lassen Humboldt Trinity Anderson Landfill • Tehama w 0 O 0 m w Mendocino Willits Transfer Station 0 Ukiah Transfer Station South Coast Transfer Station Glenn Plumas Yuba Lake Colusa Ostrom Road Nevada Landfill Eastlake • Landfill • Sutter Placer Sonoma Regional Landfills Redwood Near Mendocino County Landfill • Marin ■ Transfer-Stations • Landfill Sites O counties O 10 6 0 10 Mlles Butte Yolo Napa ay Road Landfill • Solano Potrero Hills Landfill • Contra Costa Alameda Sacramento San Joaquin Table 5. Distances to Regional Landfills one-way. road One-way toad Landfill County owner miles to Uldah i miles to Willits Transfer statilon Transfer Station Eastlake Landfill Lake County of Lake 58 63 ' Redwood Landfill Marin Waste 81 106 I Management Potrero Hills Solano I Waste Connections 125 1 150 Landfill Ostrom Road Yuba Recology i 137 144 Landfill 1 Hay Road Landfill Solano Recology 139 i 162 Anderson Landfill Shasta Waste 182 187 i Management Solid Waste Management in Mendocino County- Page 11 Transfer Stations Mendocino has three larger "export" transfer stations and nine smaller "feeder" transfer stations. In addition, there is a transfer system based on specialized truck containers used to move solid waste from the Fort Bragg area to the Willits Transfer Station. The three export transfer stations are: 315 Taylor Drive, Ukiah Ukiah Transfer Station Monday-Saturday, 8 a.m. to 4 p.m. i Owner' C&S Waste Solutions Operator C&S Waste Solutions Allocation of 56% Unincorporated County Gate Fee $74.50 per ton Waste 44% City of Ukiah ! $17.50 per cubic yard Effort Potrero Hills Landfill Under contract City of Contract Sept. 24, destination with Ukiah Expires 2016 Annual tons 21,785 export The Ukiah Transfer Station directs mixed recyclables and separated yard waste and wood to Pacific Recycling Solutions in Ukiah, and bales metal for direct shipment to market. A California Redemption Center is operated for beverage containers. When C&S Waste Solutions purchased the Ukiah Transfer Station from North Bay Corporation in 2007, it discovered that North Bay had no long-term contract with Potrero Hills Landfill. The tipping fee charged by Potrero Hills Landfill to Ukiah Transfer Station was increased immediately by about $10 per ton. This stimulated aggressive measures by C&S to reduce solid waste. Scavenging by workers on the tipping floor was instituted to pull out a wide variety of recyclables, including wood, yard waste, metal, and carpet padding. A "Salvage Shop" was opened to sell reusable items to the public. The future destination of solid waste from Ukiah Transfer Station was undetermined as of January, 2011. C&S Waste Solutions' contract with Potrero Hills Landfill expires at the end of 2011. C&S has asked for access to Lake County's landfill. Lake County is scheduled to act on the request in February, 2011. C&S has also proposed re-opening the Ukiah Landfill and has made a commitment to the City of Ukiah to pursue engineering studies. Solid Waste Management in Mendocino County - Page 12 351 Franklin Avenue, Willits Willits Transfer Station Tuesday-Saturday, 9 a.m. to 4 p.m. [owner Solid Wastes of Willits Operator i Solid Wastes of Willits AllDCation ~ 14% City of Willits $70.33 per ton, $18.00 21% City of Fort Bragg fate fee per cubic yard of Waste 65% Unincorporated County Export Potrero Hills County of ! destination : Landfill Contra t December Under contract ! Mendocino, City c with; of Fort Bragg, Expires 1, 2015 Annual tons 25 500 City of Willits export , The County and Fort Bragg have been granted an option to extend the contract to 2029. 33549 Annapolis itoad Annapolis Annapolis Transfer Station Wednesday-Saturday, 8 a.m. to 4 p.m. North Bay Owner County of Sonoma Operator Corporation Allocation of [Mendocino portion] f $81.51 per ton ' Waste 19 % City of Point Arena Gate Fee' (Mendo. Rate) 81% Unincorporated County Export Various regional destination landfills f Sonoma t C Under y o oun granted license to Contract Indefinite Uninc.. County: contract with County of Mendocino moires Annual tons 550 Point Arena: 125 Mendocino County has access to Annapolis Transfer Station for the franchise hauler collection trucks from Franchise Area #4 (South Coast) pursuant to a 2006 agreement. Use of Annapolis will end when the South Coast Transfer Station is improved to allow the franchised hauler's trucks to dump there. These improvements are required to be completed by September 1, 2012 as a condition of a transfer station contract between the County and Solid Wastes of Willits. Annapolis Transfer Station is.also the destination for solid waste collections carried out in the City of Point Arena by Pacific Coast Disposal, a branch of North Bay Corporation. Solid Waste Management in Mendocino County-Page 13 The nine "feeder" transfer stations, serving self-haul customers only, are: 14i? D:Praiii! Way, Caspar >i Caspar Transfer Station Mon.-Wed. 9 a.m. to 3 p.m. _ Sat.-Sun. 9 a.m. to 4 p.m. an►»er Operator Solid Wastes of Willits County of Mendocino & City of Fort Bragg [hauling by Empire Waste Management] Allocation of ! 25% City of Fort Bragg Gate Fee $25.00 per cubic yard Waste ; 75% Unincorporated County 1 Export Willits Transfer Under contract ! County of Contract June 30, destination I Station itirith Mendocino Expires 2017 Annual tons - 3,000 I Caspar Transfer Station serves self-haul customers only. The franchised hauler in the greater Fort Bragg area, Empire Waste Management, utilizes debris boxes and detachable collection truck bodies ("pods") to transfer Caspar's solid waste to Willits Transfer Station. The City of Fort Bragg and County of Mendocino have a joint planning project to site a new transfer facility that would receive all solid waste for direct out-of-county shipment to a landfill. The Caspar Transfer Station directs yard and wood waste to Cold Creek Compost and metal to Ukiah Transfer Station. 40855 Fish Bock Road, Gualala South Coast Transfer. Station Tuesday & Wednesday 12 p.m. to 4 p.m. i Saturday & Sunday 9. a.m. to 4 p.m. Owner County of Mendocino Operator Solid Wastes of Willits Allocation 17% City of Point Arena 'Gate Fee $29,00 per cubic yard OF Waste 83% Unincorporated County I tinder contract of - County Contract ; Dec. 31, Export ; destination Potrero Hills Landfill j with Mendocino Expires 2024 j Annual tons 677 Pursuant to its contract, Solid Wastes of Willits has a project underway to improve the facility so that the franchise area collection trucks can dump there. Solid Waste Management in Mendocino County - Page 14 18851 Mountain View Road, Boonville Boonville Transfer Station Tuesday & Wednesday 9 a.m. to 4 p:m, Saturday & Sunday 9 a.m. to 4 p.m, Owner i County of Mendocino Operator ; ; Solid Wastes of Willits Allocation of e 100% Unincorporated County Gate fee $29.00 per cubic yard Wast Export Ukiah Transfer Lander contract W th County of Contract Dec. 31, 2024 , destination Station i Mendocino Expires Annual torts 400 30180 Albion Ridge Road, Albion Albion Transfer Station Wednesday 12 p.m. to 4 p.m. Saturday & Sunday .9 a.m. to 4 p.m. j Owner County of Mendocino Operator Solid Wastes of Willits Allocation of 100% Unincorporated County Gate Fee $29.00 per cubic yard Waste Export Willits Transfer Under contract County of Contract Dec. 31; 2024 destination Station w ith Mendocino Expires Annual tons, 400 Solid Waste Management in Mendocino County - Page 15 8923 Main Street, Potter Valley Potter Valley Transfer Station Wednesday 12 p.m. to 4 p.m. Saturday & Sunday 9 a.m. to 4 p.m. Owner County of Mendocino Operator i Solid Wastes of Willits Allocation of 100% Unincorporated County Gate Fee $29.00 per cubic yard Waste I Willits Export Transfer !Under contract County of Contract i Dec. 31, 2024 destination Station With Mendocino Exp res i i Annual tons I 350 1825 Branscornb Road, taytonville i.aytonvilie,'Transfer Station Wednesday 12 p.m. to 4 p.m- Saturday & Sunday 9 a.m. to 4 p.m. Owner County of Mendocino Operator i Solid Wastes of Willits i Allocation of 100% Unincorporated County Gate Fee $29.00 per cubic yard Waste Willits Linder contract County of Contract Dec. 31, Export destination, 1 Transfer With Mendocino Expires 2024 Station . Annual tons i 700 Solid Waste Management in Mendocino County - Page 16 90500 Refuse Road, Covello Covelo Transfer Station Wednesday-Saturday 9 a.m. to 3 p.m. Owner County of Mendocino Operator Solid Wastes of Willits I i Allocation of 100% Unincorporated County Gate Fee $22.50 per cubic yard Waste Willits Under contract County of Contract Dec. 31, Export destination Transfer i d i E 2024 Station With oc no Men xp res Annual tons ` 775 . 37551 N_ Highway 1, Westpoit -I Westport Transfer Station Thursday & Friday 10 a.m. to 2 p.m. Saturday 10 a .m- to 4 p.m. Owner Solid Waste of Willits Operator Solid Wastes of Willits i Allocation of 100% Unincorporated County Gate Fee $25.00 per cubic yard Waste I Export Willits Transfer Under contract County of Contract Dec. 31, destination Station with Mendocino Fires 2024 Annual tons 55 Solid Waste Management in Mendocino County - Page 17 3810 Redwood Drive, l ed% ►ay Monday and Tuesday: gam - 4pm Redway Transfer Station Friday and Saturday 9arn 4pnn Sunday: 12 to 4prn @wner County of Humboldt Operator Eel River Disposal Allocation of waste Unincorporated county Gate Fee $108/ton Under County of ontract Export destination Anderson Landfill Contract Humboldt ! n/a With Expires 116 [Mendocino Annual tons waste only] Seff-haul customers from the extreme northern edge of Mendocino County (Whitethorn, Piercy, Leggett) take their solid waste to Redway Transfer Station in Humboldt County. Operations vase: Empire Waste Management Transfer System 219 Pudding Greek Road, Fort Bragg Owner Empire Waste Management Operator Empire Waste Management Hours Not applicable Gate Fee Not applicable Export Willits Transfer tinder I County of June 30, dest+riatim Station contract Mendocino Cit , y Contracts 2011, with of Fort Bragg Expire June 1, 2014 Annual torts 9,000 Empire Waste Management's collection trucks in the Fort Bragg area have detachable bodies ("pods") that can be loaded three-at-a-time onto a long-haul flatbed trailer. This system, combined with conventional debris'boxes, is used to move solid waste to the Willits Transfer Station. Solid Waste Management in Mendocino County - Page 18 Recycling & composting The franchised haulers in Mendocino County offer residential and commercial customers recycling service at no additional charge. Recycling for most items is "commingled" or "single-stream,", meaning that all the recyclable items can be mixed together in the curbside cart or bin (dumpster). The single-stream recyclables are: Aluminum & steel cans Glass bottles & jars Paper Corrugated cardboard Boxboard Plastic containers Milk & juice boxes Small scrap metal items Separation of recyclables is carried out by processing plants, known as "material recovery facilities" or MRFs, that were opened in 2009 by Solid Wastes of Willits at 351 Franklin Avenue, Willits, and by C&S Waste Solutions at 4260 North State Street, Ukiah, under the name of a subsidiary, Pacific Recycling Solutions. The Willits MRF receives recyclables from Solid Wastes of Willits' franchise areas and transfer stations (owned or operated) and from Empire Waste Management's collections in the Fort Bragg area. The Ukiah MRF receives recyclables from the City of Ukiah, Ukiah Transfer Station, Empire Waste Management's collections around Ukiah, and part of Lake County. Recyclables are sorted at the MRFs -using a combination of mechanical devices and hand- sorters, and are baled for shipment to market. Mendocino County benefits from its proximity to export docks in the Bay Area which are destination for many recyclables. Even at the bottom of the business cycle in the recent recession, revenue was earned from sale of recyclables. Most recently, the average revenue from single-stream recyclables has been estimated at $134.15 per ton using the following commodity prices and proportions of the total mix as shown in Table 6. Solid Waste Management in Mendocino County- Page 19 Table 6. Composite Market Value, January 1, 2011 Scrap Weighted Composition Commodity Value/Ton CRV/Ton Valuefron Corrugated 14.75% cardboard 122.00 18.00 44.08% Mixed paper 88.00 38.79 HDPE color 0.53% plastic 333.00 110.00 2.35 HDPE natural 0.51 % plastic 499.00 110.00 3.11 1.94% PET plastic 401.00 1,180.00 30.67 1.25% Rigid plastics 99.00 1.24 1.82% Tin 5.00 0.09 24.41 % Glass 3 Mix 10.00 84.00 18.06 0.71% Alum. Cans 1,248.00 2,820.00 28.88 10.00% Refuse (70.33) (7.03) Total $134.15 Total Composite Market Value Per Ton = $134.15 This estimate includes the California Redemption Value (CRV) which the NW captures on redemption beverage containers. It also includes 10% contamination of the recyclables with trash which must be sent for disposal for $70.33 per ton. Other recyclables besides the single-stream materials include: Scrap metal & appliances. A market value of about $150 per ton for baled steel has made metal recycling a profitable business for Mendocino County haulers. C&S Waste Solutions operates a metal baler at the Ukiah Transfer Station which currently receives scrap metal from transfer stations in Mendocino and Lake counties. Solid Waste Management in Mendocino County - Page 20 Wood. C&S Waste Solutions grinds wood waste from the Ukiah and Willits transfer stations at its North State Street facility for shipment to the biomass burning electrical generating plant in Scotia. Wood waste from the Fort Bragg area is directed to Cold Creek.Compost in Potter Valley. Yard waste. Collection service is provided to residential collection customers and some commercial customers in Ukiah, Willits, Fort Bragg, Brooktrails, County franchise area 42 [Empire Waste Management] and part of County franchise area #I [Solid Wastes of Willits]. Yard waste is one of the largest recyclables, by weight. C&S Waste Solutions and Solid Wastes of Willits cooperate in handling yard waste by directing the material to the C&S grinder at North State Street. Depending on market conditions and moisture, the ground yard waste is either trucked to the biomass generator in. Scotia or to a small composting facility (Mendocino Earth Products LLC) jointly operated by the two companies at Sagehorn Ranch at 5801 Old River Road south of Talmage. Pursuant to an agreement made with City of Ukiah when C&S Waste Solutions purchased the Ukiah solid waste collection company in 2007, an average of 400 tons per month of yard .waste collected in Ukiah is sent to Cold Creek Compost in Potter Valley. Cold Creek also receives yard waste from Empire Waste Management's collections in Fort Bragg and County Franchise Area #2, and from Caspar Transfer Station. Food waste. A permit revision for Cold Creek Compost in 2009 allowed the facility to receive residential food waste that is placed into the green yard waste carts at the curb. This method of waste diversion has been successfully introduced at many cities in North America, including several jurisdictions in the San Francisco Bay Area. In Mendocino County, Empire Waste Management has taken advantage of this opportunity by adding food waste as an allowed material in green waste carts in the City of Fort Bragg and County Franchise Area #2. Cold Creek Compost has invited the City of Ukiah and City of Willits to join the program. Solid Waste Management in Mendocino County - Page 21 Compost facilities Cold Creek Compost, 6000 Potter Valley Road, Potter Valley, receives manure, grape pomace, dead chickens, brewery waste, yard waste, wood waste, food waste and various other organic materials. Cold Creek uses static and aerated windrows to produce compost, much of which is enriched so that it functions not only as humus but also as fertilizer. Cold Creek receives about 15,000 tons of organic material per year. Its permit allows 400 ton per day of input and 35,900 cubic yards of material on site. Mendocino Earth Products, 5801 Old River Road, Talmage, receives yard waste and some grape pomace. It is permitted at the lowest tier in the state's regulatory structure, to store up to 1,500 cubic yards at one time and receive 15 cubic yards per day. The owners applied for permit revision in 2009 to increase capacity by several orders of magnitude, but withdrew the application in 2010. Recycling Rates One of the driving forces in developing recycling programs in Mendocino County was the 50% diversion mandate from State Law AB 939, enacted in 1989. For many years, the annual diversion rate calculation was an issue that concerned our jurisdictions. The state law was amended in 2008 to eliminate the diversion rate as the sole criterion for compliance and to add a review of the diversion programs that each jurisdiction had implemented. All Mendocino County jurisdictions except Point Arena have gained recognition from the state's Department of Resources Recycling & Recovery (CalRecycle) for compliance with state diversion requirements. Point Arena has been recommended by CalRecycle staff for making a "good faith" effort to become compliant. The extensive curbside recycling programs don't, by themselves, result in 50% diversion of the overall wastestream, measured in tons. Both C&S Waste Solutions (for City of Ukiah) and Empire Waste Management (for County Franchise Area #2) reported that 35% of their total curbside collections were diverted as recyclables or green waste (the rest was solid waste). This number is a reflection of the fact that curbside recyclables are Solid Waste Management in Mendocino County - Page 22 less dense than solid waste. It also reflects the fact that one large, dense component in the wastestream-food-wasn't recycled at the curb. As noted elsewhere, residential food waste diversion is now possible at Cold Creek Compost and is being offered by Empire Waste Management in its green waste carts in Fort Bragg and County Franchise Area #2. A major factor in achieving state approval for Ukiah and the County was the scavenging introduced at the Ukiah Transfer Station in late 2007 by its new owners, C&S Waste Solutions. Wood, metal, yard waste, gypsum board, carpet padding and other recyclables are hand-picked from the transfer station tipping floor by workers, with the assistance of a small loader. Commissions are paid to the workers based on the tons they recover. This activity reduced total disposal by about one-third, as shown by Figure 2. Solid Wastes of Willits carries out some scavenging activity from the commercial loads received at Willits Transfer Station, and has done so since the transfer station opened in 2001. This activity has concentrated on the higher-value items that are readily accessible out of debris box loads, such as metal, wood and cardboard. In 2009 the Willits Transfer Station reported scavenging of 426 tons compared to disposal of 25,565 tons. The large amount of material recovered by scavenging at Ukiah Transfer Station showed that source-separation recycling efforts had been inadequate in the construction & demolition sector, and among debris box renters generally. Scavenging appears to be a partial solution for recycling in this sector, provided that workers can be found to carry out this difficult and dangerous task. With new state green business rules requiring 50% diversion from all construction projects, there will be much greater pressure on contractors to divert waste. This can be done either by source-separation at the job site or by relying on scavenging service available at the transfer stations. Solid Waste Management in Mendocino County- Page 23 U) c O ~a O 0 cn c O C O C O (6 Cl) c M L N N L L1._ 0 H C V) 3 O O Q -0 in C ~ I oiS or~~ or,' 01 or'4 ox. 1 0 2. eov 49 ea em 6o., So. ~O ti Sov dS . S% &kr 80,~ 804 `o, O4, coq, oS O 0 0 O 0 O 0 O LO 0 LO d ns m N N r! Hazardous Waste Commercial hazardous waste disposal service is available in Mendocino County from specialized contractors based in northern California. These services are utilized in cases of.hazardous waste spills and clean-ups, and also for certain routine "milk-run" pickup services for common shop wastes like used motor oil and antifreeze. The remainder of the hazardous waste disposal function is provided by the Mendocino Solid Waste Management Authority's HazMobile program, which serves both households and businesses. In addition to service at the HazMobile base facility, located at 298-A Plant Road, Ukiah, there are 47 mobile collection days each year in Mendocino County. Lake County is served under contract by 24 collection days, and northwestern Sonoma County participates in 10 collections in the Gualala area. MSWIVIA's key public information tools are the Recycling Hotline (468-9704) and the website www.MendoRecycle.org. HazMobile service is free for households for up to 15 gallons per vehicle per day, with a "pass-through" charge for any excess. Businesses are charged the pass-through rates for all material. The hazardous waste materials received annually by the HazMobile in 2009 were: Table 7. Hazardous Wastes Received by HazMobile, 2009 Material Pounds Management method Motor oil/oil products* 142,610 Recycled . Water-based paint 88,000 Recycled, local giveaway Oil-based paint 65,450 Fuel for cement kilns Household batteries 44,000 Landfill Solvents & gasoline 29,560 Fuel for cement kilns Fluorescent lights 22,699 Recycled Used oil filters 20,250 Recycled Auto batteries 15,685 Recycled Pesticides & herbicides 10,280 Incineration Antifreeze 7,013 Recycled Compressed gas cylinders 4,395 Incineration Aerosol cans 3,795 Fuel for cement kilns PCB waste 3,680 Incineration Acids 2,390 Neutralization Bases 1,080 Neutralization Oxidizers/peroxides 830 Incineration Other 9,705 Miscellaneous Solid Waste Management in Mendocino County - Page 25 `Includes motor oil recycled at transfer stations paid for. by MSWMA. Materials are consolidated and consigned to hazardous waste companies for recycling when possible, blending for use as fuel in cement kilns, or incineration. Rather than ship out the water-based paint, MSWMA blends it in 55-gallon batches by color, decants it into 4-gallon pails discarded by a local factory, and gives away about 8,000 gallons per year to the public. MSWMA also provides free removal of hazardous wastes from appliances (chlorofluorocarbon refrigerants, oil, mercury switches) at the transfer stations, in order to reduce the cost of recycling of these items.. MSWMA utilizes several long-standing state grant programs to fund the recycling of used motor oil and used tires (at an annual free tire recycling event). Used fluorescent lights, including grow lights, are an increasing waste category and are hazardous because of their mercury content. MSWMA cooperates with four local stores to provide free drop-off points for fluorescents and will be inviting other stores to join the program. Home Depot operates its own fluorescent take-back. MSWMA continues to function in the role created for it in 1990-as a problem-solver in the solid waste field. The introduction of the household hazardous waste program was an example of that role, as was the assumption of roadside cleanup of illegal dumping in 1996. MSWMA continues to innovate with programs like sharps collection, which is provided free to households and for a fee to businesses. MSWMA assists all the county's local jurisdictions in understanding the solid waste industry and administering contracts, so that public policy will be made in the public interest, although the solid waste services are provided by private corporations. MSWMA is leading the effort to site a new transfer station in the greater Fort Bragg area so that greater efficiency can be achieved in transfer of that region's solid waste. Solid Waste Management in Mendocino County - Page 26 Issues for the Future Since Mendocino County has no landfill, there is insecurity over costs and availability of disposal. A return of the $5/gallon diesel prices experienced in 2008, or even higher prices, would make long-haul waste transfer increasingly uneconomical compared to diversion. Creation of a new transfer station in the greater Fort Bragg area is essential to control future transportation costs. Currently, Fort Bragg Disposal realizes an average payload of only 13.76 tons in moving solid waste the 37 miles from the coast to Willits Transfer Station in pods and debris boxes, where it must be dumped and reloaded. If a full-service transfer station is developed on the coast, a payload of up to 24 tons can be achieved and solid waste can be hauled directly to a destination landfill without reloading. Unrealized opportunities for diversion exist in two areas. The first is construction & demolition waste, as shown by C&S Waste Solutions' scavenging initiative. As construction activity revives after the Great Recession, the franchised haulers will be called upon to respond to the needs of builders who will be faced with a 50% diversion mandate pursuant to State Green Building rules. The second area for increased diversion is food waste, now possible because Cold Creek Compost has succeeded in expanding its permitted inputs. As a practical matter, residential food waste can be captured only by adding it to the existing curbside green waste carts. This has worked well in numerous areas around the United States and now in Fort Bragg and County Franchise Area #2. For the cities of Ukiah and Willits, this program would conflict with their existing methods of processing green waste, which includes realizing net revenue by a backhaul of burnable wood and yard waste to the biomass generator in Scotia. These haulers also cooperate their own joint composting facility south of Talmage. Reconciliation of these differing company interests so that diversion can be maximized is an important challenge for Ukiah and Willits. An important decision in Ukiah's future is whether to assume ownership of the Ukiah Transfer Station, which is Mendocino County's largest disposal facility. Under terms of Ukiah's contract with C&S Waste Solutions, the City can take ownership of the transfer station and its equipment when the current contract expires on September 24, 2016, Solid Waste Management in Mendocino County-Page 27 provided that advance notice is given to C&S not later than March 24, 2016. Whether or not the City subsequently leases the facility back to C&S or another company, ownership would give the public a valuable measure of security regarding future disposal service. Mendocino County's local governments are handicapped in their management of solid waste by the fragmentation of authority among the different jurisdictions. Most important solid waste decisions affect more than one jurisdiction. With the privatization of the last transfer stations, neither the County or any city has staff that specializes in solid waste management. The Board of Commissioners of MSWMA and the MSWMA staff can provide essential support to the local jurisdictions in solid waste management. Solid Waste Management in Mendocino County - Page 28 ITEM NO.: MEETING DATE: City P-I'Tikinfr AGENDA SUMMARY REPORT 10a February 2, 2011 SUBJECT: APPROVE PROFESSIONAL SERVICES AGREEMENT WITH DAVID R. LEWIS IN AN AMOUNT NOT TO EXCEED $10,000 TO PROVIDE RIGHT OF WAY SERVICES FOR THE ACQUISITION OF AN EASEMENT AT THE INTERSECTION OF PERKINS STREET AND ORCHARD AVENUE Background & Discussion: The Perkins and Orchard Intersection Improvements project is the addition of a right turn lane for west-bound traffic on Perkins Street at the intersection of Perkins Street and Orchard Avenue. This project is funded in conjunction with the Orchard Avenue Bridge project. Sixty percent (60%) of the funding is coming from the U. S. Economic Development Administration grant. A necessary part of the project involves the acquisition of an easement at the northeast corner of Perkins and Orchard in order to allow the construction of an ADA curb ramp. All of the attempts to date by City staff to contact the current owner of the property, a family trust located in Ohio, have been unsuccessful. The hiring of a professional right of way agent is deemed necessary to complete this project in the 2011 construction season. Fiscal Impact: ❑ Budgeted FY 10/11 ❑ New Appropriation ❑ Amount Budgeted Source of Funds (title and $10,000 Bridge Fund 290 Perkins & Orchard Intersection Improvements Not Applicable F-1 Budget Amendment Required Account Number Addtl Appropriation Requested 290.9645.930.000 Recommended Action(s): Approve the professional services agreement with David R. Lewis in an amount not to exceed $10,000 to provide right of way services for the acquisition of an easement at the intersection of Perkins Street and Orchard Avenue. ALTERNATIVE COUNCIL POLICY OPTIONS: 1. Provide Staff with other direction. Citizen Advised: None. Requested by: Tim Eriksen, Director of Public Works / City Engineer Prepared by: Alan Hasty, Assistant Engineer Coordinated with: Jane Chambers, City Manager Attachments: None APPROVED: J Chambers, Executive Director ITEM NO.: MEETING DATE: City &J,- Ukiah, AGENDA SUMMARY REPORT 1.0b. February 2 , 2011 SUBJECT: REVIEW AND APPROVAL OF THE REVITALIZING BUSINESS INVESTMENT AND LENDING DEVELOPMENT (REBILD) GUIDELINES AND THE CORRESPONDING BUDGET AMENDMENT UTILIZING CDBG PROGRAM INCOME. SUMMARY: The City of Ukiah's Community Development Block Grant CDBG Program Income Revolving Business Loan Program has been inactive for quite some time due to lack of funding and the need to have an administrator to oversee the program. In response to the need within the business community for business loans, the Ukiah City Council directed Staff to reinstate a revised program that will utilize an existing partnership with the Community Development Commission of Mendocino County (CDC) for administration. There is currently $150,000 of existing CDBG Economic Development Program Income (ED PI) in the City's revolving loan fund. In consultation with private lenders and City Staff, CDC has prepared a revised loan program called Revitalizing Business Investment and Lending Development Program (ReBILD). The program guidelines are included as Attachment #1 for consideration. The ReBILD program has been designed to provide the critical and necessary capital needs of businesses and development projects in Ukiah. The intent of ReBILD is to provide "gap" or appropriate other financial assistance to local Ukiah business and development projects, which in turn will create and/or retain jobs, along with increasing the commercial and industrial base of the community. ReBILD would provide loans whose repayments are "revolved" or recaptured to be substantially re-loaned for other eligible projects. Therefore, the initial recapture that capitalizes the program would be used again to create additional jobs, assist more businesses and projects, and provide significant benefits beyond ReBILD's initial loans. Continued on Page 2 Recommended Action(s): Approve proposed Revitalizing Business Investment and Lending Development (ReBILD) Guidelines and the corresponding budget amendment utilizing CDBG Program Income. Alternative Council Option(s): Provide staff with alternative direction. Citizens advised: N/A Requested by: Ukiah City Council Prepared by: Shannon Riley, URA Staff; Sage Sangiacomo, Assistant City Manager; and Craig Schlatter, Community Development Manager for Community Development Commission of Mendocino County Coordinated with: Jane Chambers, City Manager Attachments: 1. Proposed Revitalizing Business Investment and Lending Development (ReBILD) Guidelines Approved: C . J, n Chambers, City Manager Through partnering with local private lenders, the City of Ukiah's ReBILD program would be designed to provide gap funding as some percentage of a project's total financing requirements. ReBILD is targeted to businesses that have the greatest potential for long-term job creation and retention, particularly jobs created and/or retained for low and moderate income persons. ReBILD would assist businesses and projects that start-up, expand, and/or locate within the city limits of Ukiah. Funds can be used to finance: A. Working Capital/Lines of Credit B. Inventory Purchase C. Equipment Acquisition D. Real Property Acquisition, Construction, Rehabilitation, and E. Furniture/Fixtures. ReBILD would be administered by the Community Development Commission of Mendocino County (CDC), through its existing agreement with the City. Sources of funding for ReBILD may include, but are not limited to, one or more of the following: Community Development Block Grant (CDBG) open grants, CDBG repayments from CDBG loans, Redevelopment funds, development impact fees, and/or Small Business Assistance programs. ReBILD would comply with all applicable funding source guidelines requirements. Currently, the proposed funding source for ReBILD is CDBG loan repayments (Program Income). Recommended Action(s): Approve proposed Revitalizing Business Investment and Lending Development (ReBILD) Guidelines and the corresponding budget amendment utilizing CDBG Program Income. Fiscal Impact: ❑ Budgeted FY 10/11 F-1 New Appropriation Not Applicable ❑X Budget Amendment Required Amount Available Source of Funds (title and Account Number Appropriation Requested $150,267 CDBG Program Income TBD $150,267 Attachment #1 CITY OF UKIAH ReBILD: REVITALIZING BUSINESS INVESTMENT AND LENDING DEVELOPMENT IN UKIAH PROGRAM GUIDELINES January 19, 2011 I. INTRODUCTION The City of Ukiah Revitalizing Business Investment and Lending Development in Ukiah (ReBILD) program is designed to provide the critical and necessary capital needs of businesses and development projects in Ukiah. The intent of ReBILD is to provide "gap" or appropriate other financial assistance to local Ukiah business and development projects, which in turn will create and/or retain jobs, along with increasing the commercial and industrial base of the community. ReBILD provides loans whose repayments are "revolved" or recaptured to be substantially re-loaned for other eligible projects. Therefore, the initial recapture that capitalizes the program will be used again to create additional jobs, assist more businesses and projects, and provide significant benefits beyond ReBILD's initial loans. 2.0 PURPOSE AND OBJECTIVES 2.1 PURPOSE: Through partnering with local private lenders, the City of Ukiah's ReBILD program is designed to provide gap funding as some percentage of a project's total financing requirements. ReBILD is targeted to businesses that have the greatest potential for long-term job creation and retention, particularly jobs created `and/or retained for low and moderate income persons. ReBILD will be administered by the Community Development Commission of Mendocino County (CDC), through its existing agreement with the City. ReBILD will assist businesses and projects that start-up, expand, and/or locate within the city limits of Ukiah. Funds can be used to finance: A. Working Capital/Lines of Credit, B. Inventory Purchase, C. Equipment Acquisition, D. Real Property Acquisition, Construction, Rehabilitation, and E. Furniture/Fixtures. 2.2 ECONOMIC BENEFITS & OBJECTIVES: The following elements are critical in the selection of loans for the Program: • Existence of a documented need that hinders the business or project from obtaining or affording the project without the ReBILD program's injection. • The loan meets underwriting criteria. • A sufficient number of jobs will be created or retained as a result of the ReBILD-assisted project to justify ReBILD loan assistance. City of Ukiah ReBILD Guidelines Page 2 2.3 SOURCE(S) OF FUNDING: Sources of funding for ReBILD may include, but are not limited to, one or more of the following: Community Development Block Grant (CDBG) open grants, CDBG repayments from CDBG loans, redevelopment funds, development impact fees, and/or Small Business Assistance programs. ReBILD will comply with all applicable funding source guidelines requirements. Currently, the funding source for ReBILD is CDBG loan repayments (Program Income). A copy of the CDBG Business Assistance Loan Guidelines is attached as Attachment 1. 2.4 ELIGIBILITY To be eligible for ReBILD financing, borrowers must comply with the following criteria: 1. Location Businesses to be assisted with ReBILD funds must be located in the incorporated area of the City of Ukiah, excluding portions subject to flooding. The City reserves the option of completing the "eight step" process for areas subject to flooding., converting to exempt status, and including these areas at the discretion of CDC or the City. 2. Selection ReBILD funding is available on a first-come first-served basis. All business owners requesting loan funding must qualify per the guidelines contained herein and any applicable funding source guidelines. Funds will not be reserved until the applicant receives full approval from the Loan Committee. 3. Title Property owners shall hold land in fee title. 2.5 TYPES OF FINANCING AND TERMS Maximum Loan Amount Maximum total assistance with ReBILD funds will be revised to reflect current market conditions, but cannot exceed forty-nine percent (49%) of the total financing. Total indebtedness will not exceed 100% for the entire term of the loan(s). Determining Loan Amounts and Terms Loan amounts and terms will be determined based on the business's ability to City of Ukiah ReBILD Guidelines Page 3 pay and the amount of jobs created and/or retained. Because it is the design of ReBILD for funds to revolve, loan terms will be developed that encourage repayment. Requirements for Primary Financer Primary financing must be with a conventional lender and must be for the maximum amount possible. The loan must have a fixed interest rate within 100 basis points of the Fannie Mae published rate, be fully amortizing, and must have a minimum loan term of 5 years. 2.5 DIRECT LOANS FOR FINANCIAL HARDSHIP The City of Ukiah reserves the right to make direct loans to eligible businesses that prove financial hardship, i.e. businesses that have applied for financing with a conventional lender but cannot receive financing from these lenders due to their financial situation. Such loans will be reviewed and approved on a case-by-case basis by both City and CDC staff. 2.6 CONFLICT OF INTEREST No member of the City of Ukiah City Council and no other official, employee or agent of City of Ukiah, and the Community Development Commission of Mendocino County, who exercises policy, decision-making functions, or responsibilities in connection with the planning and implementation of the program shall directly or indirectly be eligible for this program, unless the application for assistance has been reviewed and approved according to applicable California Department of Housing and Community Development (HCD) guidelines and federal HOME Regulations at 24 CFR 92.356. This ineligibility shall continue for one year after an individual's relationship with the City of Ukiah government and/or the Community Development Commission of Mendocino County ends. City of Ukiah ReBILD Guidelines Page 4 Aem city qJ 'z z :afi ITEM NO.: 11a MEETING DATE: February 2, 2011 AGENDA SUMMARY REPORT SUBJECT: APPROVAL TO SOLE SOURCE COSTCO ENVIRONMENTAL IMPACT REPORT WORK TO ENVIRONMENTAL SCIENCE ASSOCIATES (ESA) SUMMARY: The City Council and Redevelopment Agency recently approved an Exclusive Negotiating Agreement (ENA) with Costco Wholesale Corporation to negotiate the sale of City owned property for a new Costco warehouse store. On January 24, 2010, Costco indicated to City Staff that it would be filing the required planning permit applications to construct the store in the very near future. Based on discussions with the Costco representatives and a preliminary review of the proposal, Staff has determined that an Environmental Impact Report is required for the project. Section 403.1 of the ENA acknowledges the desire to minimize the cost and time it takes to prepare an Environmental Impact Report, and suggests that the time and cost could be reduced by hiring the firm of Environmental Science Associates (ESA), because it is currently preparing the EIR for the Wal-Mart expansion project in close proximity to the proposed Costco site. ESA has indicated that they have the capacity to take on the project, and that the technical work performed for the Wal-Mart expansion project included the analysis of a possible discount warehouse retail store on the now proposed Costco site. Using ESA and its available information should save time and reduce the cost for the Costco EIR. Additionally, Staff has been pleased with the technical expertise and professionalism of the ESA team, as'well as its knowledge base and understanding of the City and surrounding area. This agenda item is seeking City Council approval to sole source the Costco Environmental Impact Report project to Environmental Science Associates consistent with Section 403.1 of the approved ENA. If the Council approves the sole sourcing to ESA, staff will provide detailed information about the project to ESA when Costco makes formal application, and request a bid proposal to prepare the EIR. Once Costco agrees to fund the ESA proposal, Staff will return to the City Council for approval of a proposed contract with ESA. Fiscal Impact: Budget Amendment Required Budgeted FY 09/10 F~ New Appropriation ❑X Not Applicable F Recommended Action(s): Approve the sole sourcing of the Costco Environmental Impact Report work to Environmental Science Associates (ESA) Alternative Council Option(s): Do not approve the sole sourcing and provide direction to Staff. Citizens advised: N/A Requested by: Charley Stump, Director of Planning and Community Development Prepared by: Charley Stump, Director of Planning and Community Development Coordinated with: Jane Chambers, City Manager and David Rapport, City Attorney Attachments: None Approved: 7 Chambers, City Manager city of Ukznk ITEM NO.: 11 b MEETING DATE. February 2, 2011 AGENDA SUMMARY REPORT SUBJECT: REVIEW AND APPROVAL OF THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBGI BUSINESS ASSISTANCE PROGRAM GUIDELINES SUMMARY: The Department of Housing and Community Development (HCD) has recently announced the availability of approximately $4.3 million in funding for the 2010-2011 Economic Development Allocation (ED) through the Community Development Block Grant Program (CDBG). The California Community Economic Enterprise Fund (Enterprise Fund) Notice of Funding Availability (NOFA) was released on January 14, 2011, the final filing date for all applications is March 28, 2011, and the HCD will issue an award announcement on May 27, 2011. All eligible CDBG non-entitlement jurisdictions may submit an application for a maximum grant of $500,000 to be used for: 1) small business loan programs, and 2) microenterprise technical assistance and loan programs. All applications that are received will be evaluated and awarded on a competitive basis until all funds are expended. In cooperation with the Community Development Commission of Mendocino County (CDC), City Staff is recommending that the City prepare an application to provide additional funding for the City's recently renewed small business revolving loan program called Revitalizing Business Investment and Lending Development Program (ReBILD). The first step in preparing for the application is the development of CDBG specific guidelines. CDC has prepared these guidelines which are included as Attachment #1 for review and approval. The CDBG Guidelines are complementary to the ReBiLD Guidelines and if additional grant funds are awarded, Staff intends to implement the program through the ReBiLD Program. Early adoption of the CDBG Guidelines may result in bonus points should the City submit an application to CDBG ED. Additional action to authorize the CDBG application will be necessary and considered at a later date. Continued on Page 2 Recommended Action(s): Approve proposed CDBG Business Assistance Program Guidelines. Alternative Council Option(s): Provide staff with alternative direction. Citizens advised: N/A Requested by: Sage Sangiacomo, Assistant City Manager Prepared by: Shannon Riley, URA Staff; Sage Sangiacomo, Assistant City Manager; and Craig Schlatter, Community Development Manager for Community Development Commission of Mendocino County Coordinated with: Jane Chambers, City Manager, Attachments: 1. Proposed CDBG Business Assistance Program Guidelines Approved: J e hambers, City Manager DISCUSSION: The City of Ukiah Business Assistance Loan Program (The Program) is designed to provide the critical and necessary capital needs of businesses and development projects in the City of Ukiah. The intent of the Program is to provide "appropriate" assistance to business and development projects, which in turn would create and/or retain jobs, along with increasing the commercial and industrial base of the community. The Program would provide loans whose repayments are "revolved" or recaptured to be substantially re- loaned for CDBG eligible projects. Therefore, the initial recapture that capitalizes the program would be used again to create additional jobs, assist more businesses and projects, and provide significant benefits beyond the Program's initial loans. The Program is designed to provide funding as some percentage of a project's total financing requirements. It is targeted to businesses and projects that have the greatest potential for long-term job creation/retention, particularly jobs created and/or retained for low and moderate income persons. The Program would assist businesses and projects that start-up, expand, and/or locate within the city limits of Ukiah. The Program funds could be used to finance: A. Working Capital/Lines of Credit, B. Inventory Purchase, C. Equipment Acquisition, D. Real Property Acquisition, Construction, Rehabilitation, and E. Furniture/Fixtures. Economic Benefits and Objectives: The following elements would be critical in the selection of loans for the Program: • Existence of a documented need that hinders the business or project from obtaining or affording the project without the Program's injection. • The loan meets the Program's underwriting criteria. • A sufficient number of jobs will be created or retained as a result of the CDBG-assisted project to justify CDBG assistance. • Where benefit to low and moderate income households is the national objective, at least 51 % of the jobs created and/or retained must be from the Target Income Group JIG). The TIG is a low/moderate income person whose household income does not exceed 80% of county median household income. In order to meet the criterion for created/retained jobs, the employees need to self certify (using the form in the Attachments) that they are TIG. • Where eradication of slums and blight is the national objective, job creation must be documented through submitted payrolls and the business must be located in an area appropriately designated as blighted. Linking Jobs with Long-Term Unemployed: The City of Ukiah and the Community Development Commission of Mendocino County (CDC) would make every effort to work closely with the Workforce Investment Act (WIA) programs and services that provide assistance to the unemployed and low and moderate income persons. With the assistance of the State Employment Development Department, the agencies regularly promote training activities and the labor market to potential employers in the area. Early and consistent involvement with each loan applicant would be an integral policy of the RLA Program. The training, recruitment and placement activities currently operating in the community constitute the primary vehicle for ensuring that the unemployed, under-employed and low and moderate income persons are linked with the jobs created through the RLA Program. These programs provide training and can be custom tailored specifically to meet a company's needs. Loan recipients in the RLA would be provided with a description of the services and benefits, including financial, of participation in the Workforce Investment program and will be referred to the job training agencies, as appropriate. Loan Parameters: Maximum total assistance with ReBILD funds would be revised to reflect current market conditions, but cannot exceed forty-nine percent (49%) of the total financing on the property. Total 2 indebtedness against property would not exceed 100% for the entire term of the loan(s). However, loans above $250,000 would require additional underwriting review and approval by the State Department of Housing and Community Development (HCD), Economic Development Advisory Committee (EDAC). • Leveraging: One of ReBILD's goals is to leverage a realistic pledge of dollars from equity and/or debt for every one dollar loaned. On a case by case basis this leverage requirement may be waived. A private dollar can be either a loan or owner equity. Owner equity can be cash and/or land. The land is counted only for construction projects. Expenditures made by the loan applicant prior to the loan award are not counted unless made as part of the submittal, and made within 60 days of the loan submittal, related to and in anticipation of such submittal. • Loan Terms: Up to twenty-five years, depending on the asset being financed and the demonstrated need for the loan funds. • Interest Rate: The interest rate is set based on the HUD's loan underwriting guidance of not providing an undue enrichment by a CDBG loan. • Loan Fee: None • Prepayment Penalty: None • Deferral of Payments: On a case by case basis, determined based on the financial review of the loan by Loan Committee. • Job Creation/Retention: One full time equivalent job (1,750 hours annually) per $35,000 loaned shall be achieved for each loan. Two permanent part-time jobs (at least 875 annually) can be aggregated to count as one full time equivalent job. For loans meeting the national objective of principally benefiting the Targeted Income Group (TIG), at least 51 % of the jobs created/retained shall be held by TIG persons. • Collateral Requirements: Collateral coverage will be assessed to determine the maximum collateral available to maintain cash flow and ensure permanent job creation. Types of collateral may include: • Liens on real property, • Deeds of Trust, • Liens on machinery, equipment, or other fixtures, • Lease assignments, as appropriate, • Personal and/or corporate guarantees, as appropriate, and • Other collateral, as appropriate. The source of funding for the Program is either an open CDBG grant or repayments from State of California Community Development Block Grant Program business loans and development impact fees. Role of the Participants ROLE OF THE PROGRAM OPERATOR (CDC) The roles include: • Publicize and market the RLA; screen all applicants for loans; • Ask promising candidates to submit preliminary information and an application, along with accompanying financial information; • Prepare package, along with recommendation to loan committee; • If approved, process loan and loan closing; • Once closed, monitor the loan, maintain the loan records, and monitor compliance with job objectives. • Loan servicing and accounting, • Provide monthly receipts of loan payments to City, • Provide quarterly statements on each loan to City • In concurrence with the jurisdiction's legal counsel, undertake loan collections, including asset liquidation, • Obtain credit reports on all loan applicants, as needed ROLE OF CITY STAFF: City staff would make the decisions called for or implied regarding the activities of the RLA. Decisions to foreclose and declare defaults would be the responsibility of the City, working in conjunction with the Program Operator and in consultation with legal counsel, based upon recommendations of staff. City staff would monitor on-going operations of the loan recipient, in conjunction with program operator. Staff would consult and monitor program operator during the term of the contract. Staff would review all reports, financial information and performance reports on each loan during the term of the loan. City staff and/or Program Operator staff would serve as the contact for the State Department of Housing & Community Development for the RLA Program. City staff, working with Program Operator staff, would conduct an environmental review of the project as necessary. City staff and program operator would refer potential applicants, including those ineligible or denied RLA financing, that need technical and management assistance to the appropriate organization. City staff and/or the program operator may require applicants who have received loans to undertake business counseling if it appears that the applicant's financial position is declining and the RLA loan may become delinquent. Recommended Action(s): Approve proposed CDBG Business Assistance Program Guidelines. Fiscal Impact: Budgeted FY 08/09 F-1 New Appropriation Not Applicable Budget Amendment Required 4 Attachment #1 CITY OF UKIAH COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) BUSINESS ASSISTANCE PROGRAM GUIDELINES January 19, 2011 L INTRODUCTION The City of Ukiah Business Assistance Loan Program (The Program) is designed to provide the critical and necessary capital needs of businesses and development projects in the City of Ukiah. The intent of the Program is to provide "appropriate" assistance to business and development projects, which in turn will create and/or retain jobs, along with increasing the commercial and industrial base of the community. The Program provides loans whose repayments are "revolved" or recaptured to be substantially re-loaned for CDBG eligible projects. Therefore, the initial recapture that capitalizes the program will be used again to create additional jobs, assist more businesses and projects, and provide significant benefits beyond the Program's initial loans. 2.0 PURPOSE AND OBJECTIVES 2.1 PURPOSE: The Program is designed to provide funding as some percentage of a project's total financing requirements. The Program is targeted to businesses and projects that have the greatest potential for long-term job creation/retention, particularly jobs created and/or retained for low and moderate income persons. The Program will assist businesses and projects that start-up, expand, and/or locate within the city limits of Ukiah. The Program funds can be used to finance: A. Working Capital/Lines of Credit, B. Inventory Purchase, C. Equipment Acquisition, D. Real Property Acquisition, Construction, Rehabilitation, and E. Furniture/Fixtures. 2.2 ECONOMIC BENEFITS & OBJECTIVES: The following elements are critical in the selection of loans for the Program: • Existence of a documented need that hinders the business or project from obtaining or affording the project without the Program's injection. • The loan meets the Program's underwriting criteria. • A sufficient number of jobs will be created or retained as a result of the CDBG- assisted project to justify CDBG assistance. • Where benefit to low and moderate income households is the national objective, at least 51 % of the jobs created and/or retained must be from the Target Income Group (TIG). The TIG is a low/moderate income person whose household income does not exceed 80% of county median household income. In order to meet the criterion for created/retained jobs, the employees need to self certify (using the form in the Attachments) that they are TIG. • Where eradication of slums and blight is the national objective, job creation must be documented through submitted payrolls and the business must be located in an area appropriately designated as blighted. 2.3 SOURCE OF FUNDING: The source of funding for the Program is either an open CDBG grant or repayments from State of California Community Development Block Grant Program business loans and development impact fees. 3.0 DESCRIPTION OF FUNDING City of Ukiah Page 2 CDBG Business Assistance Guidelines 3.1 GUIDELINES & FEATURES: Significant Key Considerations All loans must be submitted to the state CDBG Program for final approval prior to funding/closing a loan. The new Loan Approval Drawdown Checklist must be used when sending a loan package in for final approval. The appropriate level of HUD NEPA environmental review shall be done and approved by the CDBG Program prior to the project moving forward. The City understands that moving forward with the project without receiving the NEPA clearance letter from the state CDBG Program could seriously jeopardize the ability of the state CDBG Program to provide final authorization for the loan. No loans can be promised, awarded, approved, temporarily funded with other funding in anticipation of CDBG approval, etc. at the local level until the state CDBG Program has provided a written approval of the loan. Loan Parameters Maximum total assistance with ReBILD funds will be revised to reflect current market conditions, but cannot exceed forty-nine percent (49%) of the total financing on the property. Total indebtedness against property will not exceed 100% for the entire term of the loan(s). However, loans above $250,000 will require additional underwriting review and approval by the State Department of Housing and Community Development (HCD), Economic Development Advisory Committee (EDAC). • Leveraging: One of ReBILD's goals is to leverage a realistic pledge of dollars from equity and/or debt for every one dollar loaned. On a case by case basis this leverage requirement may be waived. A private dollar can be either a loan or owner equity. Owner equity can be cash and/or land. The land is counted only for construction projects. Expenditures made by the loan applicant prior to the loan award are not counted unless made as part of the submittal, and made within 60 days of the loan submittal, related to and in anticipation of such submittal • Loan Terms: Up to twenty-five years, depending on the asset being financed and the demonstrated need for the loan funds. • Interest Rate: The interest rate is set based on the HUD's loan underwriting guidance of not providing an undue enrichment by a CDBG loan. • Loan Fee: None • Prepayment Penalty: None • Deferral of Payments: On a case by case basis, determined based on the financial review of the loan by Loan Committee. • Job Creation/Retention: One full time equivalent job (1,750 hours annually) per $35,000 loaned shall be achieved for each loan. Two permanent part-time jobs (at least 875 annually) can be aggregated to count as one full time equivalent job. For loans meeting the national objective of principally benefiting the Targeted Income Group (TIG), at least 51 % of the jobs created/retained shall be held by TIG persons. • Collateral Requirements: Collateral coverage will be assessed to determine the maximum collateral available to maintain cash flow and insure permanent job creation. Types of collateral may include: City of Ukiah Page 3 CDBG Business Assistance Guidelines • Liens on real property, • Deeds of Trust, • Liens on machinery, equipment, or other fixtures, • Lease assignments, as appropriate, • Personal and/or corporate guarantees, as appropriate, and • Other collateral, as appropriate. 3.2 GENERAL ADMINISTRATIVE FEATURES: • Confidentiality of Client Financial Information, as allowed by law. • Equal Opportunity/Affirmative Action Policy. • Attorney review of all contracts and legal forms. • Monitoring and Reporting Forms. • Collection and Foreclosure Policy. • Compliance with HCD and HUD regulations. • The Business Development Corporation will be responsible for overall project marketing, loan evaluation, loan packaging, and monitoring. 3.3 PROJECT EVALUATION CRITERIA: • The number of jobs created/retained and the percentage benefiting members of the Targeted Income Group. • The amount of private dollars leveraging funds. • The financial viability of the proposed project. • The demonstrated need for the funds ("appropriate" test). 3.4 GENERAL CREDIT REQUIREMENTS: A Loan Applicant must: • Show ability to operate a business successfully, • Have enough borrowing ability or equity to operate, with the loan, on a sound financial basis, Show the proposed loan is of sound value or reasonably secure to assure repayment, and Show that the past earning record and future prospects of the firm indicate ability to repay the loan and other fixed debt, if any, out of the profits. 3.5 LOAN PACKAGING: The Community Development Commission of Mendocino County, operating ReBILD through its existing Memorandum of Understanding with City of Ukiah, will be responsible for loan packaging activities, including review of all proposals presented to the Loan Committee. 3.6 LOAN REVIEW: The Loan Committee shall be responsible for reviewing funding proposals and making recommendations to ReBILD staff. After approval by the Loan Committee, the City, or CDC, shall submit the loan package to the CDBG Program for final approval. The Loan Committee shall be comprised of: ■ One representative of City of Ukiah • One representative of Community Development Commission of Mendocino County, and City of Ukiah Page 4 CDBG Business Assistance Guidelines One representative of the business community appointed by the City. All projects meeting the established criteria shall be brought before the Loan Committee. 3.7 LENGTH OF REVIEW PROCESS: On average, the RLA review process takes six to eight weeks from submittal of a complete loan application through Loan Committee. Loan funds can be disbursed two to three weeks after signing the RLA documents, depending on the financing and approval by HCD. Conditional commitments can be made prior to final approval from another funding source. Every effort will be made to facilitate the process to coincide with the other funding source and the project's requirements. 3.8 LINKING JOBS WITH LONG-TERM UNEMPLOYED: The City of Ukiah and the Community Development Commission of Mendocino County (CDC) will make every effort to Work closely with the Workforce Investment Act (WIA) programs and services that provide assistance to the unemployed and low and moderate income persons. With the assistance of the State Employment Development Department, the agencies regularly promote training activities and the labor market to potential employers in the area. Early and consistent involvement with each loan applicant will be an integral policy of the RLA Program. The training, recruitment and placement activities currently operating in the community constitute the primary vehicle for insuring that the unemployed, under- employed and low and moderate income persons are linked with the jobs created through the RLA Program. These programs provide training and can be custom tailored specifically to meet a company's needs. Loan recipients in the RLA will be provided with a description of the services and benefits, including financial, of participation in the Workforce Investment program and will be referred to the job training agencies, as appropriate. 4.0 ELIGIBILITY 4.1 ELIGIBLE APPLICANTS: Eligible applicants include on-going and start-up private, for profit business concerns, corporations, partnerships, sole proprietorships and cooperatives that are incorporated and licensed, and are located in or expanding to Ukiah. The project to be financed with the RLA Program must be within the incorporated area of Ukiah. 4.2 ELIGIBLE USES: The project must be commercial or industrial. RLA funds can be used for construction and permanent financing, working capital, inventory, equipment, real property acquisition, construction and rehabilitation. 4.3 INELIGIBLE USES: Projects must be located in the City of Ukiah. Projects cannot be residential in nature. Projects must have reasonable assurance of repayment. Projects are not eligible if they create a conflict of interest pursuant to California Government Code S87100 et seg for any current City or Business Development Corporation City of Ukiah Page 5 CDBG Business Assistance Guidelines employee or Loan Committee member. Projects must create or retain jobs, primarily for the Targeted Income Group or through the eradication of slums and blight, and must leverage private or equity funds. 4.4 ELIGIBLE PROJECTS: Project eligibility is based on the project satisfying a CDBG Program national objective: (i.e. principally benefit targeted income group persons through job creation/retention, aid in the elimination of slums or blight, meet a community development need having a particular urgency) and the public benefit requirement of $35,000/job or less. Additionally, the eligibility of a project is dependent on the appropriate determination being made to justify the provision and extent of CDBG assistance. 4.5 ELIGIBLE COSTS: • Land costs, including engineering, legal, grading, testing, site, mapping and related costs associated with the acquisition and preparation of land. • Building costs, including real estate, engineering, architectural, legal and related costs associated with acquisition, construction and rehabilitation of buildings including leasehold improvements. • Finance of inventory, furniture, fixtures, machinery and equipment. • Working capital, in conjunction with any of the above 4.6 INELIGIBLE COSTS FOR CDBG LOANS Costs incurred prior to CDBG grant execution, submittal of the loan application, and environmental review approval, except for private leverage as specified in Section 3.1. and costs other than those listed as eligible in Section 4.5. Non profits are not eligible to apply for FF&E and working capital. 5.0 ROLE OF THE PARTICIPANTS (BY EXAMPLE) 5.1 ROLE OF THE PROGRAM OPERATOR (CDC) The roles include: • Publicize and market the RLA; screen all applicants for loans; • Ask promising candidates to submit preliminary information and an application, along with accompanying financial information; • Prepare package, along with recommendation to loan committee; • If approved, process loan and loan closing; • Once closed, monitor the loan, maintain the loan records, and monitor compliance with job objectives. • Loan servicing and accounting, • Provide monthly receipts of loan payments to City, • Provide quarterly statements on each loan to City • In concurrence with the jurisdiction's legal counsel, undertake loan collections, including asset liquidation, • Obtain credit reports on all loan applicants, as needed 5.3 ROLE OF CITY STAFF: City staff will make the decisions called for or implied regarding the activities of City of Ukiah Page 6 CDBG Business Assistance Guidelines the RLA. Decisions to foreclose and declare defaults will be the responsibility of the City, working in conjunction with the Program Operator and in consultation with legal counsel, based upon recommendations of staff. City staff will monitor on-going operations of the loan recipient, in conjunction with program operator. Staff will consult and monitor program operator during the term of the contract. Staff will review all reports, financial information and performance reports on each loan during the term of the loan. City staff and/or Program Operator staff will serve as the contact for the State Department of Housing & Community Development for the RLA Program. City staff, working with Program Operator staff, will conduct an environmental review of the project as necessary. City staff and program operator will refer potential applicants, including those ineligible or denied RLA financing, that need technical and management assistance to the appropriate organization. City staff and/or the program operator may require applicants who have received loans to undertake business counseling if it appears that the applicant's financial position is declining and the RLA loan may become delinquent. 6.0 LOAN SELECTION & APPROVAL PROCESS 6.1 PROCESS: 6.1.(A) MARKETING: The marketing of the RLA Program will be accomplished by a variety of means. The most-utilized marketing efforts will be conducted through media coverage, marketing brochures, and/or joint marketing through program operator's existing loan packaging and financial services. Local lenders will recommend clients and projects, when appropriate. The Small Business Development Center, local Realtors, and business associations may also refer potential applicants. The City and CDC (program operator) may also use existing business and community networks to market the RLA Program. 6.1.(B) PROCEDURE: Once a potential project has been identified, City and CDC staff will conduct a preliminary review for eligibility with the RLA criteria. If another lending source is more appropriate, or the project does not meet the RLA criteria, the staff will refer the prospective borrower to another organization for assistance. If the project appears to meet the criteria, the applicant will be asked to submit preliminary information. Preparation and submission by an applicant of preliminary information and supporting documents include, but are not limited to: business and personal tax returns for the last two years or since commencement of operations (whichever is less), business financial statements (balance sheet and income statement) for current year and prior two years, current personal financial statement, credit history, and proposed project summary. Start-up businesses must submit proforma financial statements for the first three years. Real estate projects must submit pro forma projections for the first five years, and pre-leasing information. City of Ukiah Page 7 CDBG Business Assistance Guidelines The preliminary information will be reviewed by CDC staff, in consultation with City staff. If the project is viable, a draft loan analysis will be prepared by CDC. If the decision is to decline the request, CDC will provide the applicant with a written explanation of the denial. If appropriate, referrals to other organizations will be made. If the review is positive, the applicant will be invited to an application conference with CDC. At the application conference, CDC will review with the applicant the formal RLA checklist and required information, forms and financial schedules deemed necessary by CDC or City to complete the loan package. City and CDC will determine project needs/conformance with local requirements, as well as determine the necessary environmental review for the project. City and CDC will begin the environmental review as necessary. The applicant, in conjunction with City, CDC and WIA (as appropriate) will develop the employment plan. Upon completion of the necessary information, CDC will make a presentation of the loan application to Loan Committee. The presentation will include a completed RLA Project Evaluation Form (sample attached as Exhibit 2). If the private funds are from equity, then the commitment letter must be from the applicant. The CDC presentation will also include a recommendation. This recommendation will include the proposed terms and conditions, based upon the identified financial need and the "appropriate" analysis, along with a checklist insuring that the loan meets the RLA guidelines and criteria. The Loan Committee will decide to recommend approval or to decline the loan request. If declined the applicant will be informed in writing by CDC as to the reason. If recommended, the Loan Committee's recommendation can be under the terms and conditions proposed by CDC and/or City, or the Loan Committee can recommend alternative terms and conditions. For loan approvals by the Loan Committee between $0 and $49,999, the City may fund the loan. For loan approvals of $50,000 or more by the Loan Committee, the loan package is sent for final approval to the CDBG Program using the Loan Approval Drawdown Checklist. The CDBG Program may add conditions to approving the loan. If the CDBG Program denies the loan, the reasons will be in writing. 6.1.(C). LOAN CLOSING: Upon Loan Committee approval (and/or CDBG Program approval), the CDC and City will prepare for the loan closing. The Borrower will sign all the necessary documents and agreements. The City will request a drawdown of funds from the State Department of Housing & 'Community Development- or utilize funds from its local Program Income RLA. CDC will prepare the loan closing documents, prepare title and lien searches, and UCC-1 filings, if appropriate (the sample pre- closing checklist and escrow instructions attached in Exhibits 6, 7A and 713 will be developed and used for each loan closing). City legal counsel will review all agreements and documents, as necessary or appropriate. Loan closing will be undertaken by the CDC. At the time of closing, the Borrower City of Ukiah Page 8 CDBG Business Assistance Guidelines will be provided with a checklist outlining their obligations under the RLA Program. At closing, or another specified time, funds will be disbursed to the Borrower. City and CDC will complete any remaining legal, regulatory or other items. Monitoring and compliance files will be set-up at this time. 6.1.(D). LOAN MONITORING: Two separate loan files will be maintained. The first is the legal file which holds all the original loan documentation, along with the original documents. This file shall be kept in a fireproof vault for safekeeping. The second is a credit file which shall contain the day-to-day administrative records of the loan. At a minimum the legal file shall include: • Note • Loan Agreement, including Non-Financial Employment Plan • Mortgage • General Security Agreement • Personal Guaranty • Corporate Guaranty • Subordination Agreement • Life Insurance Policy and Assignment • Hazard Insurance Policy and Assignment • General Resolution • Certificate of Secretary • Opinion of Counsel, as necessary • Intercreditor Agreement The credit file shall contain, at a minimum, the loan application and financial information associated with the application, credit~memo, LOAN COMMITTEE recommendation, final local approval, disbursement records, reports of site visits, updated financial information provided by borrower, job creation/retention data, etc. A reporting system will be established for each loan and the loan portfolio as a whole. The report should be up-dated at least quarterly. The CDC shall be responsible for preparation of this report. The report will be used by CDC and the City to monitor the loans and identify problems. The report will contain the following- • Fund Report Balance: A monthly summary of the beginning fund balance, principal and interest recaptured during the month, disbursements made during the month and funds committed but not yet disbursed, and amount remaining in the RLA which is unencumbered. The monthly receipts from the lender on each loan will serve as the basis for this report. • Portfolio Summary Report: A quarterly summary of the total loans outstanding and authorized loans. The report shall include a quarterly statement on each loan, prepared by the lender. The quarterly report shall include the last payment date and loan balance. Delinquent loans shall be identified and a summary of actions to date to collect delinquent loans shall be included. • Employment Report: A quarterly report on each project detailing the jobs created/retained, and where applicable those hired that meet the Targeted City of Ukiah Page 9 CDBG Business Assistance Guidelines Income Group. • Loan Loss and Delinquent File: A list of all loans that have been classified as uncollectible and a summary of foreclosure procedures to date on the loan. Loans that are delinquent will also be listed, along with a summary of recommended steps, and steps taken to date. • Tickler File: A listing of the current loan portfolio and dates for receipt of financial statements, employment information, renewal of UCC-1 filings, review date, dates for insurance renewal and other information. In addition, a loan monitoring file will be established which will include a summary of the monitoring requirements of the State Department of Housing and Community Development. A tickler file will be part of this overall file to insure that loan and RLA Program monitoring is undertaken and completed. City of Ukiah Page 10 CDBG Business Assistance Guidelines