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05-15-2018 Agenda Packet
Tuesday, May 15, 2018 6:00 PM REGULAR MEETING Council Chamber 990 Palm Street San Luis Obispo Page 1 CALL TO ORDER: Mayor Heidi Harmon ROLL CALL: Council Members, Aaron Gomez, Andy Pease, Dan Rivoire, Vice Mayor Carlyn Christianson and Mayor Heidi Harmon PLEDGE OF ALLEGIANCE: Vice Mayor Carlyn Christianson PRESENTATIONS 1.PROCLAMATION - PUBLIC WORKS WEEK (HARMON – 5 MINUTES) 2.PROCLAMATION - HUNGER AWARENESS DAY (HARMON – 5 MINUTES) 3.PROCLAMATION - BUILDING SAFETY MONTH (HARMON – 5 MINUTES) PUBLIC COMMENT PERIOD FOR ITEMS NOT ON THE AGENDA (not to exceed 15 minutes total) The Council welcomes your input. You may address the Council by completing a speaker slip and giving it to the City Clerk prior to the meeting. At this time, you may address the Council on items that are not on the agenda. Time limit is three minutes. State law does not allow th e Council to discuss or take action on issues not on the agenda, except that members of the Council or staff may briefly respond to statements made or questions posed by persons exercising their public testimony rights (gov. Code sec. 54954.2). Staff may be asked to follow up on such items. CONSENT AGENDA Matters appearing on the Consent Calendar are expected to be non-controversial and will be acted upon at one time. A member of the public may request the Council to pull an item for discussion. Pulled items shall be heard at the close of the Consent Agenda unless a majority of the Council chooses another time. The public may comment on any and all items on the Consent Agenda within the three minute time limit. San Luis Obispo City Council Agenda May 15, 2018 Page 2 4.WAIVE READING IN FULL OF ALL RESOLUTIONS AND ORDINANCES (PURRINGTON) Recommendation: Waive reading of all resolutions and ordinances as appropriate. 5.MINUTES OF MAY 1, 2018 (PURRINGTON) Recommendation: Approve the Minutes of the City Council meeting of May 1, 2018. 6.ADOPTION OF AN ORDINANCE AMENDING THE MUNICIPAL CODE TO ESTABLISH ZONING (CHAPTER 17) AND PUBLIC PEACE, MORALS AND WELFARE (CHAPTER 9) REGULATIONS FOR COMMERCIAL CANNABIS BUSINESSES AND PERSONAL CULTIVATION, REFLECTING REVISIONS DIRECTED BY COUNCIL (CODRON / COHEN / RUSSELL) Recommendation: Adopt Ordinance No. 1647 (2018 Series) entitled, “An Ordinance of the City Council of the City of San Luis Obispo, California, amending the Municipal Code to establish zoning (Chapter 17) and public peace, morals and welfare (Chapter 9) regulations for Commercial Cannabis Businesses and Personal Cultivation, and determining that the amendments are statutorily exempt from environmental review pursuant to Business and Professions Code section 26055 (H) (Code-1058-2017),” establishing standards to protect public health and safety regulating personal cannabis cultivation, cannabis business operators, and permitted cannabis business activities in the City and establishing land use regulations for cannabis business activities, personal cultivat ion, and providing for the creation of overlay zones where the proposed land use regulations would apply. 7.RESOLUTION APPROVING THE 2018 STANDARD SPECIFICATIONS AND ENGINEERING STANDARDS UPDATE (GRIGSBY / HORN) Recommendation: 1.Adopt a Resolution entit led “A Resolution of the City Council of the City of San Luis Obispo, California, approving revised Standard Specifications and Engineering Standards for Construction: approving revised Standard Specifications and Engineering Standards for Construction; and 2.Adopt a Resolution entitled “A Resolution of the City Council of the City of San Luis Obispo, California, approving revised Standard Specifications and Engineering Standards for Construction” approving an appeal process for Standard Specifications and Engineering Standards variance; and 3.Authorize the City Engineer to release projects currently in design or approved by Council under the 2016 City Standard Specifications on a case by case basis. San Luis Obispo City Council Agenda May 15, 2018 Page 3 8.OSOS/LEFF/SANTA BARBARA SEWERLINE REPLACEMENT PROJECT SPECIFICATION NO. 91438 (GRIGSBY / NGUYEN) Recommendation: 1.Approve plans and specifications for the Osos/Leff/Santa Barbara Sewerline Project, Specification Number 91438, and 2.Authorize staff to advertise for bids; and 3.Authorize the City Manager to award the construction contract if the lowest responsible bid is within the Engineer’s Estimate of $950,000. 9.AUTHORIZATION TO RELEASE A REQUEST FOR PROPOSALS FOR COMMUNITY CHOICE ENERGY TECHNICAL AND ENERGY SERVICES (HILL / READ) Recommendation: 1.Authorize the release of the RFP to solicit proposals for energy and technical services to support the development and ongoing administration of a local Community Choice Energy (CCE) program pursuant to Specification No. 91669; and 2.Authorize the City Manager to award a consultant services agreement to the selected consulting firm(s). 10.RESOLUTION AMENDING THE WATER RESOURCE RECOVERY FACILITY PROJECT LOAN RESOLUTION NO. 10762 (2016 SERIES) (MATTINGLY / HIX / METZ / BARCENAS) Recommendation: Adopt a Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, Pledging Sewer Fund Revenues to the State Water Resources Control Board for the Financing of The Water Resource Recovery Facility Upgrade.” 11.POLICE PORTABLE RADIO UPGRADE (SCHMIDT / GUARDADO) Recommendation: 1.Award a contract and authorize a purchase order for Emergency Vehicle Specialists, Inc. in the amount of $162,555 for the purchase and configuration of Kenwood portable radios and associated accessories for the Police Department. 2.Waive formal bids and authorize use of WSCA Contract 06913 to sole source this project to Emergency Vehicle Specialists, Inc. as allowed under 3.24.060 E. of the City of San Luis Obispo Municipal Code. San Luis Obispo City Council Agenda May 15, 2018 Page 4 12.REQUEST FOR PROPOSALS – CONSTRUCTION MANAGEMENT AND INSPECTION SERVICES, WATER RESOURCE RECOVERY FACILITY PROJECT (MATTINGLY / ELKE) Recommendation: Approve the Request for Proposals Construction Management and Inspection Services, Water Resource Recovery Facility Project, Specification No. 91363CM and authorize staff to advertise the Request for Proposals. 13.ADOPT A RESOLUTION TO LICENSE PARKING STALLS TO RECARGO, INC., FOR THE PURPOSE OF INSTALLING, OPERATING, AND MAINTAINING ELECTRIC VEHICLE CHARGERS (HILL / READ) Recommendation: Adopt a Resolution entitled “A Resolution of the City Council of the City of San Luis Obispo, California, to license parking stalls to Recargo, Inc. for the purpose of installing, operating, and maintaining electric vehicle chargers” at the Calle Joaquin Park and Ride Lot subject to the approval of the City Attorney. 14.AUTHORIZE GRANT APPLICATIONS FOR WILDLAND–URBAN INTERFACE FUEL REDUCTION AND OPEN SPACE LAND MANAGEMENT PURPOSES (HERMANN / HILL) Recommendation: 1.Authorize the Office of Sustainability to prepare and submit grant applications for wildland-urban interface fuel reduction and open space land management purposes. 2.Authorize the City Manager or designee to execute any other required grant application- related documentation. PUBLIC HEARINGS AND BUSINESS ITEMS 15.PUBLIC HEARING - UPDATE TO GENERAL PLAN, WATER AND WASTEWATER MANAGEMENT ELEMENT (MATTINGLY / METZ – 45 MINUTES) Recommendation: As recommended by the Planning Commission, adopt a Resolution entitled “A Resolution o f the City Council of the City of San Luis Obispo, California approving a Negative Declaration (EID 1455-2018) and Amendments to the Water And Wastewater Management Element of the General Plan (GENP-1454-2018)”. San Luis Obispo City Council Agenda May 15, 2018 Page 5 16.PUBLIC HEARING - REVIEW OF AN APPEAL (FILED BY NEW HERITAGE FAMILY LIMITED PARTNERSHIP) OF THE ARCHITECTURAL REVIEW COMMISSION’S CONDITION APPROVAL NO. 31.D OF RESOLUTION NO. ARC 1002-18 (CODRON / COHEN / ANSOLABEHERE – 45 MINUTES) Recommendation: Staff report to be provided under separate cover and distributed as agenda correspondence. 17.PUBLIC HEARING - AN ORDINANCE INTRODUCTION TO CODE ENFORCEMENT PRIORITIES IMPLEMENTATION AND BUILDING CODE FINE AMENDMENT (CODRON / VAN GUNDY – 30 MINUTES) Recommendation: 1.Introduce an Ordinance entitled “An Ordinance of the City Council of the City of San Luis Obispo, California, amending Chapter 1.24 (Administrative Code Enforcement Procedures) of Title 1 to the San Luis Obispo Municipal Code”; and 2.Adopt a Resolution entitled “A Resolution of the City Council of the City of San Luis Obispo, California, amending the amount of administrative fines payable under certain citations” to adopt and implement the recommended amended administrative fine schedule for violations of Titles 8, 15, and 17 (except Chapter 17.17). STUDY SESSION 18.REVIEW OF A BALLOT MEASURE AND DRAFT ORDINANCE REGARDING A CANNABIS BUSINESS TAX (HERMANN / BETZ / FERREIRA – 60 MINUTES) Recommendation: Review and consider the following items and provide direction to staff. 1.Review proposed ballot measure for the upcoming November 2018 municipal election to establish a cannabis business tax; and 2.Review proposed amendments to Municipal Code adding Chapter 5.10 (Cannabis Business Tax) to Title 5 to be adopted only if the proposed ballot measure is approved by the voters in November 2018. San Luis Obispo City Council Agenda May 15, 2018 Page 6 COUNCIL LIAISON REPORTS AND COMMUNICATIONS (Not to exceed 15 minutes) Council Members report on conferences or other City activities. At this time, any Council Member or the City Manager may ask a que stion for clarification, make an announcement, or report briefly on his or her activities. In addition, subject to Council Policies and Procedures, they may provide a reference to staff or other resources for factual information, request staff to report back to the Council at a subsequent meeting concerning any matter, or take action to direct staff to place a matter of business on a future agenda. (Gov. Code Sec. 54954.2). ADJOURNMENT The next Regularly scheduled City Council Meeting is scheduled for T uesday, June 5, 2018 at 4:00 p.m. and 6:00 p.m. in the Council Chamber, 990 Palm Street, San Luis Obispo, California. LISTENING ASSISTIVE DEVICES are available for the hearing impaired--please see City Clerk. The City of San Lu is Obispo wishes to make all of its public meetings accessible to the public. Upon request, this agenda will be made available in appropriate alternative formats to persons with disabilities. Any person with a disability who requires a modification or acco mmodation in order to participate in a meeting should direct such request to the City Clerk’s Office at (805) 781-7100 at least 48 hours before the meeting, if possible. Telecommunications Device for the Deaf (805) 781-7107. City Council regular meetings are televised live on Charter Channel 20. Agenda related writings or documents provided to the City Council are available for public inspection in the City Clerk’s Office located at 990 Palm Street, San Luis Obispo, California during normal business hours, and on the City’s website www.slocity.org. Persons with questions concerning any agenda item may call the City Clerk’s Office at (805) 781 -7100. San Luis Obispo Page 1 Tuesday, May 1, 2018 Regular Meeting of the City Council CALL TO ORDER A Regular Meeting of the San Luis Obispo City Council was called to order on Tuesday, May 1, 2018 at 4:00 p.m. in the Council Hearing Room, located at 990 Palm Street, San Luis Obispo, California, by Mayor Harmon. ROLL CALL Council Members Present: Council Members Aaron Gomez, Andy Pease, Dan Rivoire, Vice Mayor Carlyn Christianson, and Mayor Heidi Harmon. Council Members Absent: None City Staff Present: Derek Johnson, City Manager; Anne Russell, Interim City Attorney; and Teresa Purrington, City Clerk; were present at Roll Call. Other staff members presented reports or responded to questions as indicated in the minutes. PUBLIC COMMENT ON AGENDA ITEMS ONLY None. ---End of Public Comment--- 1.PUBLIC HEARING - REVIEW OF A COMMON INTEREST VESTING TENTATIVE TRACT MAP NO. 3111 TO CREATE 30 RESIDENTIAL LOTS AND AN HOA LOT ON THE PRATT PROPERTY, PARCEL 2 OF VESTING TENTATIVE PARCEL MAP SLO-17-0127, WITHIN THE ORCUTT AREA SPECIFIC PLAN WITH A STATUTORY EXEMPTION FROM ENVIRONMENTAL REVIEW IN ACCORDANCE WITH GOVERNMENT CODE SECTION 65457 Community Development Director Michael Codron and Associate Planner Rachel Cohen provided an in-depth staff report and responded to Council questions. Packet Page 7 Item 5 San Luis Obispo City Council Minutes of May 1, 2018 Page 2 Public Comments: None ---End of Public Comment --- ACTION: MOTION BY VICE CHAIR CHRISTIANSON, SECOND BY COUNCIL MEMBER PEASE, CARRIED 5-0 to adopt a Resolution No. 10834 (2018 Series) entitled “A Resolution of the City Council of the City of San Luis O bispo, California, adopting a Common Interest Vesting Tentative Tract Map No. 3111 to Create 30 Residential Lots and an HOA Lot on the Pratt Property, Parcel 2 of Vesting Tentative Parcel Map SLO-17-0127, within the Orcutt Area Specific Plan with a Statuto ry Exemption from Environmental Review in accordance with Government Code Section 65457 (SBDV-1225- 2017),” as recommended by the Planning Commission. 2. PUBLIC HEARING - ROADWAY SEALING AND LAUREL LANE COMPLETE STREETS 2018 PROJECT, SPECIFICATION NO. 91630 Public Works Director Daryl Grigsby Transportation Manager, Jake Hudson, and Transportation Planner Jennifer Rice provided an in-depth staff report and responded to Council questions. Public Comments: Louise Justice Jonathan Roberts Jeff Spevack Myron Amerine Lea Brooks Garrett Otto ---End of Public Comment --- ACTION: MOTION BY COUNCIL MEMBER RIVOIRE, SECOND BY COUNCIL MEMBER GOMEZ, CARRIED 5-0 to 1. Approve plans and specifications for the Roadway Sealing and Laurel Lane Complete Streets 2018 Project, Specification Number. 91630; and 2. Authorize staff to advertise for bids; and 3. Direct staff to return to Council with the 2018-19 Budget Supplement with those projects identified; and 4. Return to Council with revised plans showing the parking lane and the bike lane switched prior to awarding the construction contract including the Base Bid and staff recommended Additive Alternatives if the lowest responsible bid is within the available project funding as identified in the 2018-19 Budget Supplement. RECESSED AT 5:21 P.M. TO THE REGULAR MEETING OF TUESDAY, MAY 1, 2018 TO BEGIN AT 6:00 P.M. Packet Page 8 Item 5 San Luis Obispo City Council Minutes of May 1, 2018 Page 3 CALL TO ORDER A Regular Meeting of the San Luis Obispo City Council was called to order on Tuesday, May 1, 2018 at 6:00 p.m. in the Council Chamber, located at 990 P alm Street, San Luis Obispo, California, by Mayor Harmon. ROLL CALL Council Members Present: Council Members Aaron Gomez, Andy Pease, Dan Rivoire, Vice Mayor Carlyn Christianson, and Mayor Heidi Harmon. Council Members Absent: None City Staff Present: Derek Johnson, City Manager; Anne Russell, Interim City Attorney; and Teresa Purrington, City Clerk; were present at Roll Call. Other staff members presented reports or responded to questions as indicated in the minutes. PLEDGE OF ALLEGIANCE Council Member Dan Rivoire led the Pledge of Allegiance. PRESENTATIONS 3. PRESENTATION - MAYOR'S AWARD TO LAGUNA MIDDLE SCHOOL STUDENTS Mayor Heidi Harmon and Council Members presented the Mayor’s award to Laguna Middle School Students for their community service. 4. PRESENTATION - CHIEF CANTRELL - 2018 CONGRESSIONAL WOMEN OF THE YEAR Congressman Salud Carbajal present ed Chief Cantrell a 2018 Congressional Women of the Year award. 5. PRESENTATION - SLOCOG/RIDESHARE REGARDING BIKE TO WORK DAY (MAY 18TH) AND BIKE TO SCHOOL DAY (MAY 9TH) Peter Williamson, San Luis Obispo Council of Governments (SLOCOG) made a presentation on Rideshare Bike Month.” Packet Page 9 Item 5 San Luis Obispo City Council Minutes of May 1, 2018 Page 4 APPOINTMENTS 6. APPOINTMENT TO THE ACTIVE TRANSPORTATION COMMITTEE (ATC) City Clerk Teresa Purrington presented the contents of the report. Public Comments: None ---End of Public Comments--- ACTION: MOTION BY COUNCIL MEMBER RIVOIRE, SECOND BY COUNCIL MEMBER GOMEZ, CARRIED 5-0 to confirm the appointment of Garrett Otto to the Active Transportation Committee to complete an unexpired term through March 31, 2019. PUBLIC COMMENT ON ITEMS NOT ON THE AGENDA Tim Ross Garrett Otto Conor Stephen James Brescia Don Henrick ---End of Public Comment --- CONSENT AGENDA ACTION: MOTION BY COUNCIL MEMBER RIVOIRE, SECOND BY VICE MAYOR CHRISTIANSON, CARRIED 5-0 to approve Consent Calendar Items 7 thru 12. 7. WAIVE READING IN FULL OF ALL RESOLUTIONS AND ORDINANCES CARRIED 5-0, to waive reading of all resolutions and ordinances as appropriate. 8. MINUTES OF THE CITY COUNCIL MEETINGS OF APRIL 2, APRIL 10 AND APRIL 17, 2018 CARRIED 5-0, to approve the Minutes of the City Council meetings of April 3, April 10, and April 17, 2018. 9. WATERLINE REPLACEMENT 2016 PROJECT, SPECIFICATION NO. 91436 CARRIED 5-0, to: 1. Approve plans and specificat ions for the Waterline Replacement 2016 project, Specification number. 91436; and 2. Authorize staff to advertise for bids; and Packet Page 10 Item 5 San Luis Obispo City Council Minutes of May 1, 2018 Page 5 3. Authorize the City Manager to award the construction contract if the lowest responsible bid is within the engineer’s estimate of $1,877,000. 10. CITY HALL CHILLER REPLACEMENT, SPECIFICATION NO. 91568 CARRIED 5-0, to: 1. Approve plans and specifications for “City Hall Chiller Replacement, Specification No. 91568”; and 2. Authorize staff to advertise for bids; and 3. Authorize the City Manager to award the contract if the lowest responsible bid is within the Engineer’s Estimate of $150,000. 11. SOUTHWOOD AND ELLEN WAY DRAINAGE IMPROVEMENT, SPECIFICATION NO. 91623 CARRIED 5-0, to: 1. Approve plans and specifications for the Southwood and Ellen Way Drainage Improvement Project, Specification No. 91623; and, 2. Authorize staff to advertise for bids; and, 3. Authorize the City Manager to award the contract if the lowest responsible bid is within the Engineer’s Estimate of $207,000. 12. RESOLUTION ACCEPTING A TAX EXCHANGE AGREEMENT WITH THE COUNTY OF SAN LUIS OBISPO TO ADDRESS TAX TRANSFERS FROM THE SAN LUIS RANCH ANNEXATION AREA; ANNEXATION NO. 80 CARRIED 5-0, to Adopt a Resolution No. 10835 (2018 Series) entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, accepting a Negotiated Exchange of Tax Revenue and Annual Tax Increment between the County of San Luis Obispo and the City of San Luis Obispo for the San Luis Ranch Annexation Area, as Represented in the Staff Report and attachments dated May 1, 2018.” PUBLIC HEARING ITEMS AND BUSINESS ITEMS 13. COUNCIL COMPENSATION COMMITTEE RECOMMENDATIONS Department Director Greg Hermann provided an in-depth staff report and responded to Council questions. Packet Page 11 Item 5 San Luis Obispo City Council Minutes of May 1, 2018 Page 6 Public Comments: Brett Strickland Jeffery Specht Vanessa Igel ---End of Public Comment --- ACTION: MOTION BY COUNCIL MEMBER PEASE, SECOND BY COUNCIL MEMBER GOMEZ, CARRIED 4-1 (COUNCIL MEMBER RIVOIRE voted NO) to: 1. Adopt a Resolution No. 10836 (2018 Series) entitled “A Resolution of the City Council of the City of San Luis Obispo, California, setting new salaries for the Mayor and Council Members,” increasing compensation by 15% for the Mayor and 2% for the Council Members, effective the first full payroll period in January 2019. 2. Adopt a Resolution No. 10837 (2018 Series) entitled “A Resolution of the City Council of the City of San Luis Obispo, California, increasing compensation for Architectural Review Commission and Planning Commission Members” from $60 to $70 per meeting, not to exceed $280 per month, effective July 1, 2018 14. CHANGES TO PURCHASING POLICIES FOR ENTERPRISE RESOURCE PLANNING (ERP) IMPLEMENTATION Department Director Gregg Hermann and Purchasing Analyst Kristin Eriksson provided an in-depth staff report and responded to Council questions. Public Comments: NONE ---End of Public Comment --- ACTION: MOTION BY COUNCIL MEMBER GOMEZ, SECOND BY VICE MAYOR CHRISTIANSON, CARRIED 5-0 to adopt a Resolution No. 10383 (2018 Series) entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, Updating the City’s Purchasing Policy Guidelines,” to amend purchasing guidelines related to the implementation of the City’s new Enterprise Resource Planning (ERP) financial system and to revise purchasing authority thresholds. RECESS Council recessed at 7:45 p.m. and reconvened at 7:50 p.m., with all Council Members present. Packet Page 12 Item 5 San Luis Obispo City Council Minutes of May 1, 2018 Page 7 15. PUBLIC HEARING - CANNABIS OPERATORS’ PERMIT AND LAND USE REGULATION ORDINANCE Community Development Director Michael Codron and Associate Planner Rachel Cohen provided an in-depth staff report and responded to Council questions. Public Comments: Wendy Brown David Gehrt Brandon Martinez Don Hedrick Charles Doster Sean Donahue Todd Mitchell Sarah Flickinger Charlene Rosales ---End of Public Comment --- ACTION: MOTION BY COUNCIL MEMBER PEASE, SECOND BY COUNCIL MEMBER RIVOIRE, CARRIED 5-0 to: 1. Introduce an Ordinance No. 1647 (2018 Series), as amended, entitled “An Ordinance of the City Council of the City of San Luis Obispo, California, amending the Municipal Code to establish Zoning (Chapter 17) and Public Peace, Morals and Welfare (Chapter 9) regulations for commercial cannabis businesses and personal cultivation, and determining that t he amendments are statutorily exempt from environmental review pursuant to business and professions code section 26055 (H) (CODE-1058-2017).” a. Creating “Chapter 9.10 - Cannabis Regulations” of the City’s Municipal Code, repealing the current ban on commerc ial cannabis business activity and establishing standards to protect public health and safety regulating personal cannabis cultivation, cannabis business operators, and permitted cannabis business activities in the City; and b. As recommended by the Planning Commission, with modifications to personal cultivation limits, creating “Chapter 17.99 – Cannabis” of the City’s Municipal Code creating land use regulations for cannabis business activities, personal cultivation, and providing for the creation of overlay zones where the proposed land use regulations would apply. 2. Direct staff to return to the City Council with additional implementing measures, including zoning map amendments for the proposed cannabis overlay zones, criteria for the ranking of cannabis business operator applications, a fee schedule for applications and annual licenses, and more information about a cannabis revenue measure. Packet Page 13 Item 5 San Luis Obispo City Council Minutes of May 1, 2018 Page 8 COUNCIL COMMUNICATIONS AND LIAISON REPORTS Mayor Harmon indicated she attended the Whale Rock Commission meeting and spoke at the SLO marathon. Council Member Pease indicated she attended the Open House regarding the Fire Department’s Strategic Plan Update and the kick off meeting of the Groundwater Sustainability Commission. ADJOURNMENT The meeting was adjourned at 10:44 p.m. The next Regular City Council Meeting is scheduled for Tuesday, May 15, 2018 at 6:00 p.m., in the Council Chamber, 990 Palm Street, San Luis Obispo, California. __________________________ Teresa Purrington City Clerk APPROVED BY COUNCI L: XX/XX/2018 Packet Page 14 Item 5 Meeting Date: 5/15/2018 FROM: Michael Codron, Director of Community Development Prepared By: Anne Russell, Assistant City Attorney Rachel Cohen, Associate Planner SUBJECT: ADOPTION OF AN ORDINANCE AMENDING THE MUNICIPAL CODE TO ESTABLISH ZONING (CHAPTER 17) AND PUBLIC PEACE, MORALS AND WELFARE (CHAPTER 9) REGULATIONS FOR COMMERCIAL CANNABIS BUSINESSES AND PERSONAL CULTIVATION, REFLECTING REVISIONS DIRECTED BY COUNCIL RECOMMENDATION Adopt Ordinance No. 1647 (2018 Series), reflecting Council directed revisions, creating “Chapter 9.10 - Cannabis Regulations” of the City’s Municipal Code, repealing the current ban on commercial cannabis business activity and establishing standards to protect public health and safety regulating personal cannabis cultivation, cannabis business ope rators, and permitted cannabis business activities in the City (Attachment A, Exhibit A); and creating “Chapter 17.99 – Cannabis” of the City’s Municipal Code to establish land use regulations for cannabis business activities, personal cultivation, and pro viding for the creation of overlay zones where the proposed land use regulations would apply (Attachment A, Exhibit B). DISCUSSION On May 1, 2018, the City Council voted 5:0 to introduce Ordinance No. 1647 (2018 Series) to repeal the current ban on commercial cannabis business activity. The ordinance introduced by the City Council establishes standards to protect public health and safety through the regulat ion of personal cannabis cultivation, cannabis business operators, and permitted cannabis business activities in the City. In addition, the ordinance establishes land use regulations for cannabis business activities, personal cultivation, and provid es for the creation of overlay zones where the proposed land use regulations would apply. During the meet ing, the City Council directed staff to make some changes to the draft regulations, including: adding a definition for cannabis events; adjusting the provisions for annual renewal of licenses to make local renewal requirements more streamlined, consistent with State law; adjusting the provisions for rejection of license renewal applications; limiting ranking of qualified business operators to retail store operators and cultivators; requiring new retail stores to submit an educational material dissemination plan; and simplifying the process of transferring or assigning licenses. Attachment B and Attachment C include tracked changes made to the ordinance per the Council’s direction. Packet Page 15 Item 6 The ordinance, with directed modifications, will be published in accordance state law and Charter requirements in advance of adoption. The ordinance is now ready for adoption and will become effective on June 14, 2018. However, as provided for in the ordinance, no land use or operator permits shall be issued, and no commercial c annabis business operations shall be allowed in the City unless and until the voters of the City approve a cannabis revenue measure. ALTERNATIVES 1. Continue the proposed ordinance. The City Council may continue action if more information is needed to adopt the final ordinance. Direction should be provided to staff so that additional information can be prepared, and a final action can be scheduled for a future meeting. 2. Reject the proposed ordinance. The City Council may reject the proposed ordinance if additional changes are desired. Direction should be provided to staff to make changes to the ordinance, and to return to the Council to introduce the new ordinance at a future public hearing. Attachments: a - Cannabis Ordinance with Exhibits b - Track Change Version Exhibit A - Chapter 9.10 c - Track Change Version Exhibit B - Chapter 17.99 Packet Page 16 Item 6 O ______ ORDINANCE NO. 1647 (2018 SERIES) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AMENDING THE MUNICIPAL CODE TO ESTABLISH ZONING (CHAPTER 17) AND PUBLIC PEACE, MORALS AND WELFARE (CHAPTER 9) REGULATIONS FOR COMMERCIAL CANNABIS BUSINESSES AND PERSONAL CULTIVATION, AND DETERMINING THAT THE AMENDMENTS ARE STATUTORILY EXEMPT FROM ENVIRONMENTAL REVIEW PURSUANT TO BUSINESS AND PROFESSIONS CODE SECTION 26055 (h) (CODE-1058- 2017) WHEREAS, the voters of the State of California approved the Compassionate Use Act in 1996 to provide a defense to criminal prosecution for the cultivation, possession and use of marijuana for medical purposes. Subsequently, the Medical Marijuana Program Act (MMPA) established a voluntary participation, State-authorized medical marijuana identification card and registry database for verification of qualified patients and their primary caregivers; and WHEREAS, in 2015, the State enacted the Medical Cannabis Regulation and Safety Act; and WHEREAS, on November 8, 2016, California voters approved Proposition 64, the Adult Use of Marijuana Act, a voter initiative, which legalized adult personal recreational use, possession and cultivation of cannabis in California, and created a comprehensive regulatory and dual licensing system for commercial cannabis activity in the State effective January 2018; and WHEREAS, Proposition 64 was passed by sixty-seven percent (67%) of the voters in the City of San Luis Obispo; and WHEREAS, prior to the passage of Proposition 64, the City took the position that commercial cannabis activity was prohibited in the city under principles of permissive zoning, which holds that uses that are not expressly allowed or conditionally allowed under zoning regulations are prohibited within the City; and WHEREAS, after the passage of Proposition 64, in 2017 the City Council adopted Ordinance 1633, amending Chapter 9.10 of the Municipal Code to maintain the status quo while the city conducted public outreach, by limiting outdoor cultivation and expressly prohibiting all commercial and industrial recreational and medical marijuana/cannabis-related uses, activities, businesses, or operations within the city; and WHEREAS, City staff has conducted extensive public outreach; and WHEREAS, after review of the information gathered by staff during public outreach, the City Council directed staff to recommend and draft amendments to the Municipal Code to permit commercial cannabis activities within the City; and Packet Page 17 Item 6 Ordinance No. 1647 (2018 Series) Page 2 O 1647 WHEREAS, in 2017, the California legislature passed, and Governor Brown signed Senate Bill 94, which enacted the Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA”), repealed the Medical Cannabis Regulation and Safety Act (“MCRSA”) but incorporated certain provisions of MCRSA into the licensing provisions established by Proposition 64; and WHEREAS, before any commercial cannabis activities in the City can begin, revision of Title 17, Zoning, and repeal and replacement of Title 9, Public Peace, Morals and Welfare (Chapter 9.10,) is required; and WHEREAS, as part of the process to permit commercial cannabis activity in the City, the City desires to update Title 9 and Title 17 and establish regulations for the operation of cannabis businesses, consistent with current state law and City permitting and land use requirements; and WHEREAS, the Planning Commission of the City of San Luis Obispo conducted a public hearing in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo, California, on March 28, 2018 and March 29, 2018, for the purpose of considering amendments to Title 17 (Zoning Regulations) of the Municipal Code to establish land use regulations for the operation of commercial cannabis businesses, and making recommendations to the City Council regarding such amendments. WHEREAS, the amendments were scheduled to be considered at regular, duly noticed meeting of the City Council on May 1, 2018; and NOW, THEREFORE, BE IT ORDAINED by the Council of the City of San Luis Obispo as follows/or that (whatever action is needed): SECTION 1. Findings. Based upon all the evidence, the Council makes the following additional findings. a) The proposed amendments to Title 17 are consistent with the City’s General Plan. b) The proposed amendments to Title 17 are consistent with existing zoning practices in the City, so that commercial cannabis activities will be permitted only in zones which already allow for similar uses, such as retail, manufacturing and laboratories, consistent with existing performance standards and levels of planning review applicable to similar uses. c) The amendments Title 9 and to Title 17 enacted by this ordinance promote the public health, safety, convenience, and welfare of the City by creating clear and complementary land use, business operations, and personal conduct standard and requirements to ensure the safe and orderly implementation of Propositions 64 and Senate Bill 94 in the City, taking into consideration the unique local circumstances and needs of City residents, as well as law enforcement and regulatory enforcement staff. Packet Page 18 Item 6 Ordinance No. 1647 (2018 Series) Page 3 O 1647 d) The proposed amendments establish reasonable regulations regarding the establishment of commercial cannabis businesses in the City, are consistent with State law, maintain local control over land use and balance the City's competing interests in allowing certain commercial and research -related cannabis activities desired by the majority of voters, with the public health, welfare, and safety concerns of the City. e) The City requires discretionary review and approval of permits, licenses and other authorizations necessary to engage in commercial cannabis activity. Such review and approval include applicable environmental review. SECTION 2. Environmental Review. Until July 1, 2019, Business and Professions Code section 26055, subdivision (h), as amended by SB 94, provides that the California Environmental Quality Act (“CEQA”) does not apply to the adoption of an ordinance, rule, or regulation by a local jurisdiction that requires discretionary review and approval of permits, licenses, or other authorizations to engage in commercial cannabis activity, so long as the discretionary review includes any applicable environmental review pursuant to CEQA. The proposed ordinance is subject to a statutory exemption from CEQA because the City requires discretionary review and approval, including applicable environmental review pursuant to CEQA, of permits, licenses or other authorizations to engage in commercial cannabis activity. SECTION 3. This Ordinance shall be known as the “Cannabis Land Use and Business Regulation Implementation Ordinance.” SECTION 4. Chapter 9.10 of the City of San Luis Obispo’s Municipal Code is hereby repealed and replaced in its entirety as set forth in Exhibit A. SECTION 5. Chapter 17.99 of the City of San Luis Obispo’s Municipal Code is hereby added as set forth in Exhibit B. SECTION 6. Chapter 17.22, Table 9 of the City of San Luis Obispo’s Municipal Code is hereby amended as set forth in Exhibit C. SECTION 7. Chapter 17.100 of the City of San Luis Obispo’s Municipal Code is hereby amended as set forth in Exhibit D. SECTION 8. No land use or operator permits under the terms of the provisions adopted and/or amended herein shall be issued and no commercial cannabis business operators shall be allowed in the City after the effective date of this ordinance unless and until the voters of the City approve a cannabis revenue measure. SECTION 9. Severability. If any subdivision, paragraph, sentence, clause, or phrase of this Ordinance is, for any reason, held to be invalid or unenforceable by a court of competent jurisdiction, such invalidity or unenforceability shall not affect the validity or enforcement of the remaining portions of this Ordinance, or any other provisions of the City’s rules and regulations. It is the city’s express intent that each remaining portion would have been adopted irrespective of Packet Page 19 Item 6 Ordinance No. 1647 (2018 Series) Page 4 O 1647 the fact that any one or more subdivisions, paragraphs, sentences, clauses, or phrases be declared invalid or unenforceable SECTION 10. A summary of this ordinance, together with the names of Council members voting for and against, shall be published at least five (5) days prior to its final passage, in The Tribune, a newspaper published and circulated in this City. This ordinance shall go into effect at the expiration of thirty (30) days after its final passage. INTRODUCED on the ___ day of ___, 2018, AND FINALLY ADOPTED by the Council of the City of San Luis Obispo on the ___ day of ___, 2018, on the following vote: AYES: NOES: ABSENT: ____________________________________ Mayor Heidi Harmon ATTEST: ____________________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _____________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this ______ day of ______________, _________. ______________________________ Teresa Purrington City Clerk Packet Page 20 Item 6 EXHIBIT A 1 Chapter 9.10 Cannabis Regulations 9.10.010 Purpose and Intent. 9.10.020 Definitions 9.10.030 Personal Cultivation Limited 9.10.040 Commercial Cannabis/City Permit and State License Required 9.10.050 Regulations and Fees 9.10.060 Display and Production of Permits 9.10.070 Commercial Cannabis Operator Permit Application Procedures and Requirements. 9.10.080 Renewal of Permit 9.10.090 Suspension or Revocation of Permit 9.10.100 Appeal 9.10.110 Right to Occupy and Use Property for Commercial Cannabis Activity 9.10.120 Prohibition on Transfer of Commercial Cannabis Operator Permits. 9.10.130 Records and Reporting. 9.10.140 Inspection and Enforcement. 9.10.150 Outdoor Commercial Cannabis Cultivation and Activities Prohibited 9.10.160 Indemnification, Insurance, Reimbursement, Consent 9.10.170 Compliance with Laws 9.10.180 Permit Violation 9.10.190 Permit Compliance Monitoring 9.10.200 Permit Holder Responsible for Violations by Employees or Agents 9.10.210 Consumption or Use Prohibited On-site and In Public 9.10.220 Concurrent Alcohol Sales or Service Prohibited 9.10.230 Minors 9.10.240 Sale of Cannabis, Cannabis Products or Cannabis Accessories by Vending Machine prohibited 9.10.250 Security Measures 9.10.260 Limitations on City’s Liability. 9.10.270 Fees Deemed Debt to City 9.10.280 Violation and Penalties 9.10.290 Severability 9.10.010 Purpose and Intent. A. It is the primary purpose and intent of this Chapter to protect the health, safety, and welfare of the residents of the City of San Luis Obispo from the negative impacts of illegal commercial and non-commercial cannabis activity, and of state authorized cannabis activity, by enforcing City ordinances, rules and regulations consistent with applicable State law, including, but not limited to, the Compassionate Use Act, the Medical Marijuana Program Act, the Adult Use of Marijuana Act, and the Medicinal and Adult Use of Cannabis Regulatory and Safety Act. B. This Chapter is not intended to, and shall not be construed to, prohibit or interfere with any right, defense or immunity under Health and Safety Code Section 11362.5 (the Packet Page 21 Item 6 EXHIBIT A 2 Compassionate Use Act), or under Health and Safety Code Section 11362.7 et. seq. (the Medical Marijuana Program Act). C. This Chapter is not intended to, and shall not be construed to, prohibit or interfere with any right, defense or immunity of any person 21 years of age or older relating to the adult personal possession or cultivation of cannabis or marijuana consistent with the provisions of the Control, Regulate and Tax Adult Use of Marijuana Act, and the Medicinal and Adult Use of Cannabis Regulatory and Safety Act. D. Nothing in this Chapter shall be construed to authorize the cultivation, possession or use of marijuana for any purpose inconsistent with state or local law. E. Any reference to California statutes includes any regulations promulgated thereunder and is deemed to include any successor or amended version of the referenced statute or regulation. 9.10.020 Definitions A. State defined terms. Words or terms used in this chapter that are defined words or terms in Business and Professions Code Section 26001, or Health and Safety Code Section 11362.7 (the Statutes”) shall have the meanings ascribed to them in the Statutes as they now read, or as they may be amended to read. These state defined words and terms include, but are not limited to, “cannabis,” “cannabis accessories,” “cannabis concentrate,” “cannabis products,” “commercial cannabis activity,” “cultivation,” “delivery,” “distribution,” “license,” “live plants,” “manufacture,” “operation,” “person,” “premises,” “sell,” “sale,” “to sell.” Some of these terms are also set forth in Chapter 17.100 of this code. In the event of conflict in the definitions, the definitions in Chapter 17.100 shall control; provided the terms defined in subsection B below shall control over any other definition. B. City defined terms. The following words or terms used in this chapter have the following meanings: 1. “Commercial Cannabis Business” means any person or entity engaging in any business, operation or activity which is Commercial Cannabis Activity under state law in the City. 2. “Commercial Cannabis Operator Permit” means a permit required by the City of San Luis Obispo pursuant to this chapter to conduct Commercial Cannabis Activity or a Commercial Cannabis Business in the City. 3. “Responsible Party(ies)” shall be one or more individuals who have an ownership interest in a Commercial Cannabis Activity and are designated to be personally responsible for compliance with all terms and conditions of the Commercial Cannabis Operator Permit, all other permits required by the City, and all ordinances and regulations of the City. Any person having an ownership interest of more than fifty percent in a Commercial Cannabis Activity shall be designated a Responsible Party on the application. If no individual owns more than fifty percent of a Commercial Packet Page 22 Item 6 EXHIBIT A 3 Cannabis Activity, the individual owning the largest share shall be a Responsible Party, and if multiple individuals have the same percentage interest, each one shall be a Responsible Party. More than one individual can be designated a Responsible Party. 4. “Cannabis Event” means a public or private event where compensation is provided or exchanged, either directly or indirectly or as part of an admission or other fee for service, for the provision, hosting, promotion or conduct of the event where consumption of cannabis is part of the activities. 9.10.030 Personal Cultivation Limited A. Maximum Six Plants Outdoors Per Parcel. It shall be unlawful for any person to plant, cultivate, harvest, dry, process, maintain, possess or store outdoors, more than six (6) live cannabis plants on any parcel containing one or more private residences. This limitation on outdoor personal cannabis activities applies per parcel, regardless of the number of residents in each private residence, and regardless of the number of residences on the parcel. This limitation applies to cannabis live plants for either adult recreational use or medicinal purposes. Outdoor personal cultivation shall comply with applicable provisions of chapter 17.99 of this Code. B. Maximum Six Plants Per Private Residence, Indoors and Outdoors/ It shall be unlawful for the cumulative total of cannabis plants per private residence, indoors and outdoors, to exceed six (6) cannabis live plants, regardless of number of persons residing in the private residence. This limitation applies to cannabis live plants for either adult recreational use or medicinal purposes. Any live cannabis plants grown indoors shall comply with applicable provisions of Chapter 17.99 of this Code. C. No Outdoor Cultivation on Parcel without Private Residence. It shall be unlawful for any person to plant, cultivate, harvest, dry, process, maintain, possess or store any cannabis live plants outdoors on a parcel that does not have a private residence used for residential dwelling purposes by the person cultivating the cannabis live plants. D. Neighborhood Impacts of Personal Cultivation. There shall be no exterior evidence of cannabis cultivation occurring at the property visible by normal unaided vision from a public place or the public right-of-way and any outdoor cultivation shall comply with provisions of Chapter 17.99.040 of this code. Personal cultivation of cannabis, for recreational adult use or for medicinal purposes, shall not create odors, dust, heat, noise, light, glare smoke or other impacts to people of normal sensitivity living, working or lawfully present in the vicinity of the personal cultivation site. Impacts that cross the nearest property line of any other parcel, beyond that parcel on which the personal cultivation is conducted, or that are visible or noticeable with normal unaided vision, from a public place or the public right of way, or from any separately owned, leased or controlled private residence or business on the same parcel as the private residence responsible for the personal cultivation, are unlawful. Packet Page 23 Item 6 EXHIBIT A 4 E. No Hazardous Personal Cultivation. Personal cultivation, harvesting, drying, or processing of cannabis, for recreational adult use or medicinal purposes, that uses or stores hazardous or toxic chemicals or materials, creates hazardous or toxic products or wastes, or uses volatile processes or other methods or substances that pose a significant risk to public health or safety, is prohibited and unlawful. 9.10.040 Commercial Cannabis/City Permit and State License Required A. City Commercial Cannabis Operator Permit Required. No person shall engage in Commercial Cannabis Activity or have an ownership interest in, operate, or manage, a Commercial Cannabis Business without obtaining and continuously maintaining a Commercial Cannabis Operator Permit pursuant to this chapter. B. Commercial Cannabis Operator Permit and State License(s) Required. It shall be unlawful for any person to own, conduct, manage, operate, engage or participate in, work or volunteer at a Commercial Cannabis Activity or Commercial Cannabis Business that does not have a valid Commercial Cannabis Operator’s Permit issued pursuant to this chapter and other City permits or licenses required by this Code, in addition to the appropriate license(s) required by state law to conduct the Commercial Cannabis Activity. Any Commercial Cannabis Business or Commercial Cannabis Activity conducted without all required City and state permits and licenses is prohibited and unlawful and is hereby declared to be a public nuisance. 9.10.050 Regulations and Fees. The City Council shall by resolution or ordinance adopt such forms, fees, regulations and procedures as are necessary to implement this Chapter with respect to the application and qualification for, and the selection, future selection, investigation, process, issuance, renewal, revocation, and suspension of, Commercial Cannabis Operator Permits. 9.10.060 Display and Production of Permits A. Dual Permits Posted and Visible. A copy of the Commercial Cannabis Operator Permit issued by the City of San Luis Obispo pursuant to this Chapter, together with a copy of the appropriate state license(s) for the Commercial Cannabis Activity being conducted, shall be posted and readily visible to the public at all times, at each location where Commercial Cannabis Activity occurs. B. Production of Originals for Inspection. Any owner, operator , employee or person in charge of a Commercial Cannabis Activity shall produce for inspection and copying, upon request of a City inspector, code enforcement officer, or City police officer during normal operating hours, the original of the current and valid City of San Luis Obispo Commercial Cannabis Operator Permit and the appropriate, current and valid license(s) of the State of California for the Commercial Cannabis Activity(ies) or Commercial Cannabis Business(es) being conducted. Packet Page 24 Item 6 EXHIBIT A 5 9.10.070 Commercial Cannabis Operator Permit Application Procedures and Requirements A. Application. A person shall apply for a Commercial Cannabis Operator Permit by submitting an application to the City during the annual application period. The City Council will, by resolution, adopt criteria by which all applications will be reviewed, applicants qualified and in the case of retail and cultivation businesses, also ranked. Those applicants that are selected will have the opportunity to apply for a use permit as outlined in Chapter 17.99. Each application shall designate at least one Responsible Party. If a person is not selected to receive a Commercial Cannabis Operator Permit, the person may reapply during the next annual application period. B. Application Submittal Timeframe. A person may only submit one application for a Commercial Cannabis Operator Permit during the annual application period designated by resolution of the City Council. The Commercial Cannabis Operator permit will be valid for twelve (12) months. Once a permit is obtained, the applicant can apply annually for renewal. There is no guarantee that an applicant will receive a Commercial Cannabis Operator Permit in the first instance. Due to limitations on the number of certain permits, even a highly ranked applicant for a retail or cultivation permit may not receive a Commercial Cannabis Operator Permit and even an applicant who receives a Commercial Cannabis Operator Permit is not guaranteed that any subsequent, required land use permit, as outlined in Chapter 17.99, will be approved. C. Grounds for Automatic Disqualification. In addition to any other reason that may be established by the City Council as a basis for disqualification, an applicant shall be disqualified from applying for, or obtaining, a Commercial Cannabis Operator Permit if: 1. The applicant fails to timely file an application during the annual application period. 2. The Responsible Party refuses to sign the application and agree to be personally responsible for compliance, and personally liable for failure to comply, with the provisions of this chapter. 3. The applicant, or any of its officers, directors or owners, or any person listed in the application,: has been convicted of any felony or offense referenced in Business and Professions Code Section 26057; or has been subject to fines, penalties, or sanctions for cultivation or production of a controlled substance on public or private lands or for unauthorized commercial cannabis activities as specified in Business and Professions Code Section 26057; or has had a commercial cannabis license suspended or revoked by the State of California or any city or county in any state, within the three years preceding the date the application is filed, or is ineligible to apply for a state cannabis license. No person who has been convicted of such a felony or offense, or subject to such fines, penalties, sanctions, suspension or revocation may be engaged (actively or Packet Page 25 Item 6 EXHIBIT A 6 passively) in the operation, management or ownership of any Commercial Cannabis Business. A conviction within the meaning of this Chapter means a plea or verdict of guilty or a conviction or diversion following a plea of nolo contendere. 4. The applicant made one or more false or misleading statements or omissions in the application process. 5. Any person listed on the application is a licensed physician making patient recommendations for medical or medicinal cannabis pursuant to State law. 6. Any person listed in the application is less than twenty-one (21) years of age. D. Duration and Activation of Permit. Each Commercial Cannabis Operator Permit issued pursuant to this Chapter shall expire twelve (12) months after the date of its activation. The permittee may apply for renewal prior to expiration in accordance with this chapter. Each Commercial Cannabis Operator Permit must be activated within 12 months of issuance. The permit is activated by the issuance of a use permit for the Commercial Cannabis Activity pursuant to Chapter 17.99, together with all other applicable City permits and state licenses, and the Commercial Cannabis Operator thereafter opening and continuously operating the Commercial Cannabis Activity. Failure to timely activate the permit shall be deemed abandonment of the permit and the permit shall automatically lapse. 9.10.080 Renewal of Permit A. Renewal Application Filing Deadline. An application for renewal of a Commercial Cannabis Operator Permit shall be filed at least sixty (60) calendar days, but not more than one hundred twenty (120) calendar days, prior to the expiration date of the permit with the City Manager or his/her designee. If the complete application and fees are timely submitted but the City does not act to approve or reject the renewal prior to expiration, the permittee may continue to operate under the expired permit until the City approves or rejects the application for renewal. B. Rejection of Renewal Application. An application for renewal of a Commercial Cannabis Operator Permit shall be rejected if any of the following exists: 1. The Commercial Cannabis Operator Permit is revoked at the time of the application or renewal. 2. The applicant conducted unpermitted commercial cannabis activities in the City or continued to conduct formerly permitted commercial cannabis activities after expiration of the permit, other than as expressly permitted by this section. 3. Any of the grounds for disqualification for prequalification set forth in Section 9.10.070(C) above, or as established by the City Council, exist at the time of application for renewal, or date of renewal. 4. The permittee fails to renew any required State of California license(s), or the State revokes or suspends the license. Revocation, termination, non-issuance or suspension of a license issued by the State of California, or any of its departments or divisions, shall immediately, concurrently revoke, terminate, or suspend, respectively, the Commercial Cannabis Operator Permit. Such automatic suspension makes it illegal for Packet Page 26 Item 6 EXHIBIT A 7 a Commercial Cannabis Business or Activity to operate within the City of San Luis Obispo until the State of California, or its respective department or division, reinstates or issues the State license. An application for renewal of a Commercial Cannabis Operator Permit may be denied if any of the following exists: 1. The application is filed less than sixty (60) days before its expiration. 2. The applicant has received an administrative citation for violating any provision of this Code relating to its Commercial Cannabis Activity(ies) in the City during the last twelve months, and the administrative citation has not been resolved in the applicant’s favor by date of application for renewal. A pending, unresolved appeal of an administrative citation shall not result in rejection of an otherwise timely and complete application, but resolution of an appeal in a manner that upholds the violation against the applicant during the application review period shall result in the immediate rejection of the application. 3. The Commercial Cannabis Business has not been in regular and continuous operation in the three (3) months immediately prior to the renewal application. 4. The Commercial Cannabis Business fails to conform to the requirements of this Chapter, any regulations adopted pursuant to this Chapter or the conditions imposed as part of any Use Permit or zoning requirements under Chapter 17.99 of this Code. 5. The Commercial Cannabis Operator Permit is suspended at the time of application or renewal. C. Effect of Rejection of Application for Renewal. Operations to Cease Pending Appeals . If a renewal application is rejected, the Commercial Cannabis Operator Permit expires on the expiration date set forth in the permit, even if an appeal has been filed. All commercial cannabis activities in the City under the expired permit must stop until all appeals have been exhausted. A person or entity whose renewal application is rejected, and loses his/her/its appeal, must go through the annual Commercial Cannabis Business Operator Permit application process. 9.10.090 Suspension or Revocation of Permit. In addition to any other penalty authorized by law, a Commercial Cannabis Operator Permit may be suspended or revoked if the City finds, after notice to the permittee and opportunity to be heard, that the permittee or his or her agents or employees has violated any condition of the permit imposed pursuant to, or any provision of, this chapter. 1. Upon a finding by the City of a first permit violation within any five-year period, the permit shall be suspended for thirty days. 2. Upon a finding by the City of a second permit violation within any five-year period, the permit shall be suspended for ninety days. 3. Upon a finding by the City of a third permit violation within any five-year period, the permit shall be revoked. 9.10.100 Appeal. Packet Page 27 Item 6 EXHIBIT A 8 A. Qualification. Ranking of Retailers and Cultivators. A decision of the City to not qualify an applicant for a Commercial Cannabis Operator Permit, or to rank applicants for retail or cultivation licenses, or to allow qualified applicants with the highest rankings the first opportunity to apply for a Commercial Cannabis Operator Permit, shall be the final action of the City and not appealable. B. Non-renewal, Revocation or Suspension. A decision of the City to reject an application for renewal, or to revoke or suspend a Commercial Cannabis Operator Permit, is appealable to the City Manager. An appeal must be filed with the City Manager within ten working days after the renewal has been denied, suspended or revoked. A decision of the City Manager or his or her designee is appealable to the City Council in accordance with Chapter 1.20 of this Code. C. Effect of Suspension. During a period of license suspension, the Commercial Cannabis Business shall remove from public view, all cannabis and cannabis products, and shall not conduct any Commercial Cannabis Activity. D. Revocation. Notice to State. Pursuant to Business and Profession Code Section 26200 (c), the City Manager or his or her designee shall promptly notify the Bureau of Cannabis Control within the Department of Consumer Affairs, upon City’s revocation of any local license, permit, or authorization for a state licensee to engage in commercial cannabis activity within the City. 9.10.110 Right to Occupy and to Use Property for Commercial Cannabis Activity. As a condition precedent to the City’s issuance of a Commercial Cannabis Operator Permit pursuant to this Chapter, any person intending to open and operate a Commercial Cannabis Business shall provide evidence satisfactory to the City of the applicant’s legal right to occupy and to use the proposed location for the proposed use, together with the approval of a use permit from the City for cannabis activity at the location. In the event the proposed location is owned by or to be leased from another person, the applicant for a permit under this Chapter shall provide a signed and notarized statement from the property owner agreeing to the operation of a Commercial Cannabis Business on the property. 9.10.120 Prohibition on Transfer of Commercial Cannabis Operator Permits. A. Business Restriction to Location on Permit. It shall be unlawful for any person to transfer a Commercial Cannabis Operator Permit to a location not specified on the permit, or to operate a Commercial Cannabis Business at any place or location other than that identified on the Commercial Cannabis Operator Permit issued pursuant to this Chapter. B. Transfer or Assignment Prohibited. No person or entity shall encumber, mortgage, lien, hypothecate, give, bequeath, sell, assign or transfer, by operation of law or otherwise, any portion of the ownership or control of a Commercial Cannabis Business or a Commercial Cannabis Operator Permit to any person who does not have a Commercial Cannabis Operator Packet Page 28 Item 6 EXHIBIT A 9 Permit from the City prior to the effective date of any action described in this sentence. The Commercial Cannabis Operator Permit permittee proposing such an action shall: 1. Notify the City in writing of the proposed action, comply with applicable regulations and provide such information as the City reasonably requests regarding the identity and qualifications of persons involved, and pay all applicable fees and charges; and 2. Provide proof that the proposed lender, lienholder, recipient, heir, buyer, assignee, transferee, or other potential recipient of any portion of the ownership or control, at the time of the notice and effective date of the proposed action, is qualified by the City to apply for a Commercial Cannabis Operator Permit and the proposed action is conditioned on the City issuing to the person a new or amended Commercial Cannabis Operator Permit. 3. Notify the city in writing within ten (10) calendar days of the action becoming final with the names and contact information of the new persons involved, together with a request that the City issue either a new or amended Commercial Cannabis Operator Permit, as applicable. C. Assignment Null and Void. Any attempt to transfer, sell, assign, give, or lien, or any transfer, sale, assignment, gift or lien, of a Commercial Cannabis Operator Permit issued pursuant to this Chapter, by operation of law or otherwise, in violation of this chapter, is prohibited. Any such action immediately voids, nullifies and terminates the Commercial Cannabis Operator Permit, which shall be of no further force or effect. 9.10.130 Records and Reports. A. City Access to Records. Subject to the Health Insurance Portability and Accountability Act (HIPAA) regulations, each Commercial Cannabis Business shall allow City of San Luis Obispo officials to have access to the Commercial Cannabis Business’s books, records, accounts, and any and all data relevant to its permitted activities for the purpose of conducting an audit, examination or inspection. Books, records, accounts, and any and all relevant data will be produced no later than twenty-four (24) hours after receipt of the City’s request or within a reasonable time as authorized in writing by the City. B. Annual Audit. Each Commercial Cannabis Business shall file with the City Manager or his/her designee an audit of its financial operations for the previous fiscal year, complete and certified by an independent certified public accountant in accordance with generally accepted auditing and accounting principles. The audit shall include but not be limited to a discussion, analysis, and verification of each of the records required to be maintained pursuant to this Chapter. The information contained in the audit shall be made available in standard electronic format which shall be compatible with programs and software used by the City, and which can easily be Packet Page 29 Item 6 EXHIBIT A 10 imported into either Excel, Access or any other contemporary software designated by the City Manager. C. Inventory Control system. All Commercial Cannabis Businesses shall maintain an inventory control and reporting system that accurately documents the present location, amounts, and descriptions of all cannabis and cannabis products for all stages of the growing and production or manufacturing, laboratory testing and distribution processes until sold or distributed. All Commercial Cannabis Businesses shall maintain records of all sales or transfers of cannabis and cannabis products. D. Employee Registry. Each owner and/or operator of a Commercial Cannabis Business shall maintain a current register of the names and the contact information (including the name, address, and telephone number) of all employees currently employed by the Commercial Cannabis Business and shall disclose such register to any City of San Luis Obispo official upon request. E. Reporting and Tracking of Product and of Gross Sales. Each Commercial Cannabis Business shall have in place a point-of-sale tracking system to track and to report on all aspects of the Commercial Cannabis Business including, but not limited to, such matters as cannabis tracking, inventory data, and gross sales (by weight and by sale) and shall ensure that such information is compatible with the City’s record-keeping systems. The system must have the capability to produce historical transactional data for review by the City of San Luis Obispo. All information provided to the City pursuant to this sub-Chapter shall be confidential and shall not be disclosed, except as may otherwise be required under law. F. Maintenance of Records. All records required by this Chapter shall be maintained by the Commercial Cannabis Business for a period of not less than seven (7) years and shall otherwise keep accurate records of all Commercial Cannabis Business activity and provide such records for inspection consistent with this Code or any rules the City Council by resolution or ordinance. 9.10.140 Inspection and Enforcement. A. Unscheduled Inspection during Business Hours. The City Manager or his/her designee and any other City of San Luis Obispo official or inspector charged with enforcing any provisions of this Code, may enter a Commercial Cannabis Business at any time during the hours of operation without notice for the purpose of inspecting the Commercial Cannabis Business for compliance with the provisions of this Code, the terms and conditions of the Commercial Cannabis Operator Permit or any other City permit or state license, including inspection of the recordings and records maintained pursuant to this Chapter or the applicable provisions of State law. The right to inspect under this inspection includes the right to copy recordings and records. Packet Page 30 Item 6 EXHIBIT A 11 B. Interference with Inspection. It is unlawful for any person who owns, operates, manages or is employed by, or has any responsibility over the operation of, a Commercial Cannabis Business, to refuse to allow, or to impede, obstruct, or interfere with, an inspection by the City, or the City’s review or copying of recordings (including audio and video recordings) and records, or to conceal, destroy, alter or falsify any recordings or records. C. Obtaining Samples. The City Manager or his/her designee or any other person charged with enforcing the provisions of this Chapter may enter the location of a Commercial Cannabis Business at any time during the hours of operation and without notice to obtain samples of cannabis and cannabis products to test for law enforcement and/or public safety purposes. Any samples obtained by the City of San Luis Obispo shall be logged, recorded, and maintained in accordance with City of San Luis Obispo Police Department standards for evidence. At all other times, the City Manager or his/her designee may enter the location of a Commercial Cannabis Business to obtain samples of cannabis upon reasonable notice, as otherwise authorized by law or pursuant to a warrant. 9.10.150 Outdoor Commercial Cannabis Cultivation and Activities Prohibited. A. Outdoor Commercial Cultivation prohibited. Outdoor commercial cannabis cultivation, including, but not limited to, cultivation in greenhouses, hoop structures, and by mixed light (part daylight/part artificial light), is prohibited and unlawful. This section prohibits all outdoor commercial cannabis cultivation, including cultivation for profit or not for profit cultivation, and including commercial cultivation for adult recreational use or medicinal purposes. For purposes of this section, outdoor cultivation of cannabis by cooperatives is prohibited. All commercial cannabis cultivation shall be conducted only inside a fully enclosed structure by a person or entity with a Commercial Cannabis Operator Permit, a City use permit, and appropriate State license(s). See also Section 17.99.050 G 3 of this Code. B. Outdoor Commercial Cannabis Activities Prohibited. Outdoor storage, harvesting, drying, processing, or manufacturing of commercial cannabis or cannabis products is prohibited and unlawful. 9.10.160 Indemnification, Insurance, Reimbursement, Consent. As a condition of approval of any Commercial Cannabis Operator Permit issued pursuant to this Chapter, the permittee shall, at a minimum: A. Execute an agreement to protect, indemnify, defend (at its sole cost and expense with counsel approved by City), and hold the City of San Luis Obispo and its officers, employees, attorneys, representatives, and agents harmless from and against any and all claims, demands, loss es, damages, injuries, costs, expenses (including attorneys’ fees) fines, penalties, or liabilities arising from, related to or associated with: the issuance of a Commercial Cannabis Operator Permit or use permit; the permitting or approving the operation of a Commercial Cannabis Activity; the collection of any fees, taxes, or charges from a Commercial Cannabis Business; the Commercial Cannabis Business’s or any of its owners’, operators’, managers’, employees, Packet Page 31 Item 6 EXHIBIT A 12 or agents’ violation of any federal, state or local laws; the City’s suspension, revocation or refusal to renew the Commercial Cannabis Operator Permit. B. Maintain insurance with standard City coverages and limits, but with additional conditions thereon deemed necessary by the City Attorney. C. Reimburse the City of San Luis Obispo for any and all costs, expenses, attorney fees, fines, penalties and court costs that the City of San Luis Obispo may be required to pay as a result of any legal challenge related to the City’s approval of a Commercial Cannabis Operator Permit pursuant to this Chapter or any other City permit or the City of San Luis Obispo’s approval of the operation of a Commercial Cannabis Activity. The City of San Luis Obispo may, at its sole discretion, participate at its own expense in the defense of any such action, but such participation shall not relieve the obligations imposed under this Chapter. D. Consent to unscheduled inspections, production of records and recordings, and obtaining of samples of cannabis and cannabis products by authorized City officials during normal operating hours as provided in this chapter. 9.10.170 Compliance with Laws. The Commercial Cannabis Business shall operate all times in compliance with all applicable state and local laws, regulations, and any specific, additional operating procedures or requirements which may be imposed as conditions of approval of the Commercial Cannabis Operator Permit or use permit or state license(s). Nothing in this Chapter shall be construed as authorizing any action which violates state law or local law with respect to the operation of a Commercial Cannabis Activity 9.10.180 Permit Violation. Compliance with all local and state cannabis-related laws shall be a condition of a City Commercial Cannabis Operator Permit and it shall be a violation of a Commercial Cannabis Operator Permit for a permittee or his or her agents or employees to violate any local or state - cannabis-related law. 9.10.190 Permit Compliance Monitoring. Compliance with this chapter shall be monitored by the San Luis Obispo police department, Code Enforcement staff and/or any other duly authorized agent of the City. Any compliance checks pursuant to this chapter shall be in addition to any under any other ordinances, regulations or permits. At least four compliance checks of each cannabis retailer shall be conducted during each twelve-month period. At least two compliance checks of each commercial cannabis business other than a retailer shall be conducted during each twelve-month period. The cost of compliance monitoring shall be incorporated into the annual renewal fee. 9.10.200 Permit Holder Responsible for Violations By Employees or Agents. Packet Page 32 Item 6 EXHIBIT A 13 The responsible person and any entity to whom a Commercial Cannabis Operator Permit is issued pursuant to this Chapter shall be responsible for all violations of the regulations and ordinances of the City of San Luis Obispo, committed by the permittee, any employee or agent of the permittee, which violations occur in or about the premises of the Commercial Cannabis Business, even if the responsible person is not present. Violations by an employee or agent may result in the termination or non-renewal of the permit by City. 9.10.210 Consumption or Use Prohibited On-site and in Public/Cannabis Event Prohibited A. It is unlawful for any person or entity: 1. To sell, give, exchange, dispense or distribute cannabis or cannabis products for on-site consumption, use or sampling on any business premises; or 2. To consume or use cannabis or cannabis products, whether by smoking, vaping, inhaling, eating, drinking or any other means: a. in, on or about the premises of any Commercial Cannabis Business; b. in, on or about any publicly owned or operated property; any place open to, or accessible by the public; any place smoking is prohibited; or any place visible from any public place with normal unaided vision. c. in on or about any other business, club,cooperative or commercial event, regardless if open to the public or only to members, ticket holders or event invitees; d. any location where an entry or other fee is charged to attendees or to the host or where a thing of value or consideration is received or exchanged, directly or indirectly, for or related to the provision of cannabis. B. It is unlawful for any person to conduct a Cannabis Event in the City. 9.10.220 Concurrent Alcohol or Tobacco Sales or Service Prohibited. A. No person shall dispense, serve, store, give away or consume, or cause or permit the sale, dispensing, serving, giving away or consumption of alcoholic beverages or tobacco in or on the premises of a Commercial Cannabis Business. B. No person shall conduct any Commercial Cannabis Activity at any location where alcohol is sold or served. 9.10.230 Minors A. Minors shall not be allowed on the premises of a commercial Cannabis Business having either an “A” or “M” license, or both, even if accompanied by a parent or guardian. B. No person under 21 years of age shall be allowed on the premises of a Commercial Cannabis Business having either an “A” or “M” license or both. Packet Page 33 Item 6 EXHIBIT A 14 C. Every entrance to an “A” or “M” licensed Commercial Cannabis Business shall be clearly and legibly posted with the following notice: “ENTRY ONTO THESE PREMISES BY PERSONS UNDER 21 YEARS OF AGE IS PROHIBITED BY LAW. VALID PHOTO ID REQUIRED.” Each letter of the notice must be at least two inches high and clearly visible. D. No person, business, or other entity conducting a Commercial Cannabis Activity with either an “A” or “M’ state license shall employ any person who is not at least twenty-one (21) years of age. 9.10.240 Sale of Cannabis Products or Cannabis Accessories by Vending Machine prohibited A. No person shall locate, install, keep, maintain or use, or permit the location, installation, keeping, maintenance or use on his, her or its premises of any cannabis vending machine used or intended to be used for the purpose of selling any cannabis products or cannabis accessories therefrom. B. No person, business, or other entity shall sell, offer for sale, or display for sale any cannabis product by means of a self-service display or vending machine. All cannabis products shall be offered for sale exclusively by means of vendor/employee assistance. C. “Vending machine” means any electronic or mechanical device or appliance the operation of which depends upon the insertion of money, whether in coin or paper bill, or debit or credit card, or other thing representative of value, which device or appliance dispenses or releases cannabis, cannabis product(s) and/or cannabis accessories. 9.10.250 Security and Public Safety Measures. A. The City Manager or his/her designee(s) is authorized to promulgate all regulations necessary to implement the requirements and fulfill the purposes and policies of this Chapter, including but not limited to enforcement, background checks for applicants, approval and enforcement of a Commercial Cannabis Activity security plan, including audio and video recordings of operations, and verification of compliance. B. Every Commercial Cannabis Activity and every Commercial Cannabis Activity shall have a security plan approved by the Chief of Police or designee prior to issuance of a City Commercial Cannabis Operator Permit. C. Hours of Operation. a. Retail -Storefront. Retail-Storefront Commercial Cannabis Business shall not operate between the hours of 8 PM and 9 AM. Packet Page 34 Item 6 EXHIBIT A 15 b. Retail-Non-Storefront (Delivery Services). Retail-Non-Storefront (Delivery Services) Commercial Cannabis Business shall not operate between the hours of 10 PM and 6 AM. c. Commercial Other than Retail. All Commercial Cannabis Activity other than Retail is prohibited between the hours of 10 PM and 7 AM. 9.10.260 Limitations on City’s Liability. The City shall not be liable for issuing, or failing or refusing to issue, suspending, revoking or failing to renew a Commercial Cannabis Operator Permit pursuant to this Chapter or otherwise approving or disapproving the operation of any Commercial Cannabis Business pursuant to this Chapter. 9.10.270 Fees Deemed Debt to City. The amount of any fee, cost or charge imposed pursuant to this Chapter shall be deemed a debt to the City of San Luis Obispo that is recoverable in any court of competent jurisdiction. 9.10.280 Violation and Penalties. A. Misdemeanor. Each violation of the provisions of this chapter shall be a misdemeanor and is punishable as provided in Section 1.12.030 of this code.; provided, that where the City attorney determines that such action would be in the interest of justice, he/she may specify in the accusatory pleading that the offense shall be an infraction. Any violation of the provisions of this chapter by any person is also subject to administrative fines as provided in Chapter 1.24 of this code. B. Infraction Violation. Where the City attorney determines that, in the interest of justice, a violation of this chapter is an infraction, such infraction is punishable by a fine not exceeding one hundred dollars for a first violation, a fine not exceeding two hundred dollars for a second violation of the same provision within one year, and a fine not exceeding five hundred dollars for each additional infraction violation of the same provision within one year. C. The fine amounts set forth above may be modified, from time to time, by City Council resolution. In no event shall such fine amounts exceed the amounts authorized by state law. D. If the City of San Luis Obispo finds, based on substantial record evidence, that any person has engaged in Commercial Cannabis Activity in violation of Chapter 9.10, the City shall fine that person as follows. Each day that person without a Commercial Cannabis Operator Permit offers cannabis or cannabis products for sale or exchange shall constitute a separate violation and assessed a fine in accordance with Sections 1.12.080 and 1.24.070(A) of this code. E. Each person committing, causing, or maintaining a violation of this chapter or failing to comply with the requirements set forth herein shall be deemed guilty of a separate offense for Packet Page 35 Item 6 EXHIBIT A 16 each and every day during an y portion of which any violation of any provision of this chapter is committed, continued, maintained, or permitted by such person and shall be punishable accordingly. F. The violation of any provision of this chapter shall be and is hereby declared to be a public nuisance and contrary to the public interest. Any public nuisance under this chapter may, at the City’s discretion, be abated by the City by civil process by means of a restraining order, preliminary or permanent injunction or in any manner provided by law for the abatement of such nuisance. The City shall also be entitled to recover its full reasonable costs of abatement. The prevailing party in any proceeding associated with the abatement of a public nuisance shall be entitled to recovery of attorneys’ fees incurred in any such proceeding if the City has elected at the initiation of that individual action or proceeding to seek recovery of its own attorneys’ fees. G. In lieu of issuing a criminal citation, the City may issue an administrative citation to any person responsible for committing, causing or maintaining a violation of this chapter. Nothing in this section shall preclude the City from also issuing a citation upon the occurrence of the same offense on a separate day. H. The remedies set forth in this chapter are cumulative and in addition to any and all other l remedies available at law or equity, whether set forth elsewhere in the San Luis Obispo Municipal Code, or in state or federal laws, regulations, or case law. In addition to other remedies provided by this chapter or by other law, any violation of this chapter may be remedied by a civil action brought by the City attorney, including but not limited to administrative or judicial nuisance abatement proceedings, civil or criminal code enforcement proceedings, and suits for injunctive relief. The remedies provided by this chapter are cumulative and in addition to any other remedies available at law or in equity. 9.10.290 Severability. If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this chapter is for any reason held to be invalid or unenforceable, such invalidity or unenforceability shall not affect the validity or enforceability of the remaining sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases of this chapter or the rules adopted hereby. The City Council of the City of San Luis Obispo hereby declares that it would have adopted each section, subsection, subdivision, paragraph, sentence, clause or phrase hereof, irrespective of the fact that any one or more other sections, subdivisions, paragraphs, sentences, clauses or phrases hereof be declared invalid or unenforceable. Packet Page 36 Item 6 EXHIBIT B Chapter 17.99: Cannabis 17.99.010 - Purpose 17.99.020 - Applicability 17.99.030 - Definitions 17.99.040 - Personal Cultivation 17.99.050 - Commercial Cannabis Businesses 17.99.010 Purpose. The purpose of this Chapter is to protect the public health, safety, and welfare, enact strong and effective regulatory and enforcement controls in compliance with State of California law, protect neighborhood character, and minimize potential for negative impacts on people, communities, and the environment within the City if San Luis Obispo by establishing land use requirements and development standards for cannabis activities. Cannabis Activity, as defined in Chapter 17.100.030 (“Definitions” “C”), includes the cultivation, possession, manufacturing, processing, storing, laboratory testing, labeling, transporting, distribution, delivery, or sale of cannabis or a cannabis product for either personal or commercial use. Therefore, this Chapter recognizes that cannabis activities require land use controls due to State legal constraints on cannabis activity, and the potential environmental and social impacts associated with cannabis activity. Nothing in this Article is intended to affect or alter federal law, which identifies marijuana (cannabis) as a Schedule I Controlled Substance. 17.99.020 Applicability. Nothing in this Article shall be construed to allow any conduct or activity relating to the cultivation, distribution, dispensing, sale, or consumption of cannabis that is otherwise illegal under local or state law, statute, rule or regulation. It is neither the intent nor the effect of this chapter to condone or legitimize the illegal use, consumption or cultivation of cannabis under state or local law and nothing herein is intended to interpret, alter, interfere with or in any way affect otherwise applicable federal law. 17.99.030 Definitions. See Section 17.100 Definitions of this code. Terms used in this ordinance that are defined terms under state cannabis statutes or regulations shall have the same meaning as the respective state definition, as now defined or as the definition may be amended by the state in the future, except as otherwise specifically provided in Section 17.100 Definitions of this code or Chapter 9.10, Cannabis Regulations, of this code. 17.99.040 Personal Cultivation. A. Indoor Personal Cultivation. Indoor personal cultivation of cannabis does not require a permit and is allowed in all private residences subject to all the following minimum performance standards: 1. All indoor personal cultivation shall occur only inside a private residence or fully-enclosed and secure accessory building or structure to a private residence. Accessory building or structure for indoor personal cultivation of cannabis does not include a greenhouse or hoop structure. Packet Page 37 Item 6 EXHIBIT B 2. Structures and equipment used for indoor cultivation, such as indoor grow lights, shall comply with all applicable building, electrical and fire code regulations as adopted by the City. 3. All accessory buildings and structures used for indoor cultivation shall comply with the City’s Zoning Regulations and Building Codes. 4. Indoor personal cultivation of cannabis may occur inside a dwelling and/or an accessory building or structure, subject to the following restrictions: a. The cumulative cultivation for cannabis shall not exceed six (6) cannabis plants per private residence. b. All personal cultivation shall be conducted by persons 21 years of age or older, and the cumulative total of cannabis plants per private residence, indoor and outdoor, shall not exceed six (6) cannabis plants, regardless of the number of persons residing on the property. 5. Personal cultivation of cannabis shall not interfere with the primary occupancy of the building or structure, including regular use of kitchen(s) or bathroom(s). 6. Cannabis cultivation must be concealed from public view at all stages of growth and there shall be no exterior evidence of cannabis cultivation occurring at the property visible with normal unaided vision from any public place, or the public right-of-way. Personal cultivation of cannabis shall be shielded to confine light and glare to the interior of the structure. 7. Nothing in this section is intended, nor shall it be construed, to preclude any landlord from limiting or prohibiting personal cultivation of cannabis by tenants. 8. Nothing in this section is intended, nor shall it be construed, to authorize commercial cultivation of cannabis at a private residence. 9. Personal cultivation of cannabis shall not create: offensive odors or excessive dust, heat, noise, light, glare, smoke, traffic, or hazards due to the use or storage of materials, processes, products or wastes, or other unreasonable impacts to persons of normal sensitivity who are living, working or lawfully present in the vicinity of the personal cultivation. 10. Cannabis cultivation areas in a private residence shall be locked at all times when the cultivator is not present. B. Outdoor Personal Cultivation. Outdoor personal cultivation of cannabis does not require a permit and is allowable at all private residences, subject to all of the following minimum performance standards: 1. Outdoor personal cultivation of cannabis is not permitted in the front yard between the public right of way and the private residence. Outdoor personal cultivation is only permitted in a rear or side yard that is entirely enclosed by a solid, opaque fence that is associated with a private residence used for residential purposes. 2. The cannabis plants shall be placed at a minimum setback of five (5) feet from the edge of canopy to the property line. 3. Cannabis cultivation must be concealed from public view at all stages of growth and there shall be no exterior evidence of cannabis cultivation occurring at the property visible by normal unaided vision from a public place or the public right-of-way. Cultivation may occur within a greenhouse or hoop structure (as long as it complies with the performance standards), but mixed light cultivation is prohibited. Packet Page 38 Item 6 EXHIBIT B 4. All outdoor personal cultivation shall be conducted by persons 21 years of age or older. 5. The cumulative total of cannabis plants cultivated outdoor shall not exceed six (6) cannabis plants per parcel containing a private residence, regardless of the number of persons residing on the property, and regardless of the number of private residences on the parcel. 6. Nothing in this section is intended, nor shall it be construed, to preclude any landlord from limiting or prohibiting cannabis cultivation by tenants. 7. Nothing in this section is intended, nor shall it be construed, to authorize commercial cultivation of cannabis at a private residence outdoors. 8. Outdoor personal cultivation of cannabis shall not create: offensive odors or excessive dust, heat, noise, light, glare, smoke, traffic, or hazards due to the use or storage of materials, processes, products or wastes, or other unreasonable impacts to people of normal sensitivity living, working or lawfully present in the vicinity of the personal cultivation. 17.99.050 Commercial Cannabis Businesses A. Commercial Cannabis Operator Permit. 1. No person or entity shall operate or conduct a commercial cannabis activity or commercial cannabis business without first obtaining both a Commercial Cannabis Operator Permit from the City pursuant to Chapter 9.10, Cannabis Regulations, of this code and a use permit from the City pursuant to this chapter to conduct the commercial cannabis activity at a specific location. Any permit authorizing commercial cannabis activity pursuant to this chapter shall be conditioned upon the holder obtaining and maintaining a City Commercial Cannabis Operator Permit and the appropriate state license for the activity. 2. A commercial cannabis activity pursuant to this chapter may be transferred, assigned, or bequeathed, by operation of law or otherwise as described in Chapter 9.10 Section 9.10.120. 3. The Commercial Cannabis Operator Permit must be renewed each year. 4. Expiration of the use permit shall be consistent with Chapter 17.58, Section 17.58.030(C). B. No Vested Right to Operate. No person shall have any entitlement or vested right to operate a cannabis business solely by virtue of licensing under these regulations. Operation of cannabis activity(ies) requires both the approval of a Conditional Use Permit and a Commercial Cannabis Operator Permit under Chapter 9.10 of this code, which is a revocable privilege and not a right in the City. The applicant bears the burden of proving that all qualifications for licensure have been satisfied and continuously maintained prior to conducting a cannabis business at an otherwise allowed location within the City. C. State Application Required. Filing a local application for cannabis activity(ies) with the City does not constitute an application with the State of California. A separate state application and license process must be followed through with the State. D. Application Requirements. All commercial cannabis activities require qualification through the commercial cannabis operator selection approval process in Chapter 9.10, Cannabis Regulations, of this code, a state license and a use permit for a specific location pursuant to this chapter. The application for a use permit shall include the following information: Packet Page 39 Item 6 EXHIBIT B 1. Site plan, floor plans, and a general description of the nature, square-footage, parking and type of cannabis activity(ies) being requested. 2. An operations plan including: a. A security plan to the approval of the Chief of Police, pursuant to criteria approved by resolution of the City Council, including but not limited to o n-site security measures both physical and operational and, if applicable, security measures for the delivery of cannabis associated with the commercial cannabis business and payment of taxes and fees; b. Plan for restriction of access by minors; c. Employee safety and training plan; d. Odor, noise and light management plan; e. Estimated energy usage and energy efficiency plan; f. Estimated water usage and water efficiency plans; and g. Waste management plan. h. For retail sales, provide an educational material dissemination plan. 3. Proposed signage: a. Must comply with City’s Sign Regulations for size, area and type of sign, no exceptions allowed. b. Internal illumination of signs is prohibited. c. No portion of the cannabis plant may be used in any sign visible from the public right-of-way. d. Provide sign size, height, colors, and design of any proposed signage at the site. e. Must include a sign inside the premises that states: “Smoking, ingesting, vaping, eating or consuming cannabis or cannabis products on this site or in a public place is prohibited.” f. Must include a sign at each entrance of a retail storefront that prohibits persons under 21 years of age from entering. 4. An analysis that demonstrates neighborhood compatibility and a plan for addressing potential compatibility issues. 5. Applications for retail storefronts shall include a vicinity map showing at least one thousand (1000) feet of surrounding area and the distances to the following uses: any pre- school, elementary school, junior high school, high school, public park or playground, six hundred (600) feet from any licensed daycare center, and three hundred (300) feet from a residentially zoned area. Youth centers do not require a buffer. Distance shall be measured from the nearest point of the property line of the site that contains the commercial cannabis activity to the nearest point of the property line of the enumerated use using a direct straight-line measurement. 6. Proof of ownership, option to purchase, (or lease agreement or option to lease with landowner’s express written consent to the proposed commercial cannabis activity(ties) to be conducted on the premises) or other proof of right to apply for the permit at the location; 7. A list of all other uses on the property. E. Commercial Cannabis Development Standards Each Cannabis business is required to meet the following standards: 1. Qualification through the Chapter 9.10, Cannabis Regulations, commercial cannabis operator selection process to apply for a commercial cannabis operator permit. Submittal Packet Page 40 Item 6 EXHIBIT B of a use permit application to conduct the commercial cannabis business within the zones specified for each type of commercial activity listed below. 2. Commercial cannabis facilities shall be allowed in areas demarcated with CAN overlay zoning and as allowed in the underlying zone for each type of commercial cannabis activity. 3. All commercial cannabis facilities shall be sited and/or operated in a manner that prevents cannabis odors from being detected offsite. Commercial cannabis activities shall not create offensive or excessive odors, dust, heat, noise, light, glare, smoke, traffic, or hazards due to the use or storage of materials, processes, products or wastes, or other unreasonable impacts to people of normal sensitivity living, working or lawfully present in the vicinity of the commercial facility. 4. All commercial cannabis operations must be concealed from public view at all times and there shall be no exterior evidence of cannabis or cannabis products occurring at the property, visible with normal unaided vision from any public place, or the public right-of- way. Commercial manufacturing of cannabis or cannabis products shall be shielded to confine light and glare to the interior of the structure. 5. All commercial cannabis facilities shall include adequate measures that address enforcement priorities for commercial cannabis activities including restricting access to the public and to minors and ensuring that cannabis and cannabis products are only obtained from and supplied to other permitted licensed sources within the State and not distributed out of State. 6. The use permit to be issued under this chapter shall include, but is not limited to, the following conditions: a. The obtaining and maintaining of the Commercial Cannabis Operator Permit and appropriate state license. b. Payment of all applicable current and future state and local taxes and all applicable commercial cannabis fees and related penalties established by the City Council, including but not limited to application, administrative review, inspection, etc. c. The Commercial Cannabis Operator permit or a controlling interest in the permit may not be assigned, transferred or bequeathed, by operation of law or otherwise, unless permitted as described in Chapter 9.10, and the permit shall terminate automatically on such event. d. Any Commercial Cannabis Operator permit issued pursuant to this chapter and Chapter 9.10 expires after one year, unless renewed. e. Prohibition of on-site consumption of cannabis at: 1) at a commercial cannabis business or commercial cannabis activity location; 2) any other business, club or cooperative or event, regardless if open to the public or only to members; and 3) anywhere an entry or other fee is charged to attendees or the host or thing of value or consideration is received or exchanged. f. Prohibition of the possession, storage, sale, distribution or consumption of alcoholic beverages on the premises, or the holding of license from the State Division of Alcoholic Beverage Control for the sale of alcoholic beverages, or operating a business that sells alcoholic beverages, on or adjacent to the commercial cannabis activity site. g. No cannabis products or cannabis accessories may be displayed in windows or visible from the public right-of-way or from places accessible to the general public Packet Page 41 Item 6 EXHIBIT B h. Prohibition of minors and persons under the age of 21 on the premises, even if accompanied by a parent or guardian. i. Outdoor storage of cannabis or cannabis products is prohibited. F. Commercial Cultivation 1. Commercial cannabis cultivation. Commercial cannabis cultivation may be conditionally permitted indoors only, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator’s Permit pursuant to Chapter 9.10, Cannabis Regulations, of this code and appropriate state license, in the following zones: a. Service Commercial (C-S) b. Manufacturing (M) c. Business Park (BP) 2. A maximum of 70,000 square feet of cumulative canopy area (includes total canopy of either horizontal or vertical growing situations) for cultivation and nurseries shall be allowed for indoor commercial cannabis cultivation in the City within the zones identified above, including Microbusinesses under Subsection L below. 3. Outdoor commercial cannabis cultivation, including but not limited to cultivation in greenhouses, hoop structures, and by mixed light (part daylight/part artificial light), is prohibited. All commercial cannabis cultivation shall be conducted only inside a fully enclosed legally permitted structure that meets all applicable building and other codes. 4. Commercial cannabis cultivation conditional permits include the following: a. Specialty Cultivator – A maximum of no more than 5,000 square feet of canopy of indoor cultivation (either in horizontal or vertical growing situations) and includes processing. b. Small Cultivator – A maximum of no more than 10,000 square feet of canopy of indoor cultivation (either in horizontal or vertical growing situations) and includes processing. c. Nursery-Cannabis – A maximum of no more than 10,000 square feet of indoor propagation area (either in horizontal or vertical growing situations). 5. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. 2. Canopy areas shall be easily identifiable for inspection and measurement. Each unique area included in the total canopy calculation shall be separated by an identifiable boundary such as an interior wall or by at least 10 feet of open space (see “Canopy” definition in Chapter 17.100). 3. All indoor cannabis cultivation shall be designed to accomplish zero net energy use from the start of the operation. 4. Pesticides and fertilizers shall be properly labeled, stored, and applied to avoid and prevent contamination through erosion, leakage, or inadvertent damage from rodents, pests, or wildlife. Packet Page 42 Item 6 EXHIBIT B G. Manufacturing 1. Manufacturing (non-volatile) Permissible. Non-volatile cannabis or cannabis products manufacturing may be conditionally permitted indoors only, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit pursuant to Chapter 9.10, Cannabis Regulations, and appropriate state license, in the following zones: a. Service Commercial (C-S) b. Manufacturing (M) c. Business Park (BP) 2. Manufacturing (volatile) Prohibited. Cannabis or cannabis products manufacturing involving volatile solvents, processes, compounds or substances is prohibited 3. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. 2. Outdoor manufacturing of cannabis or cannabis products is prohibited. 3. A complete description of all products used in the manufacturing process including the cannabis supply chain, liquids, solvents, agents, and processes. 4. Storage protocol and hazard response plan. 5. Employee safety and training equipment plan, plus Materials Safety Data Sheet requirements, if any. H. Distribution 1. Commercial cannabis distribution may be conditionally permitted, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit pursuant to Chapter 9.10, Cannabis Regulations, and appropriate state license, in the following zones: a. Service Commercial (C-S) b. Manufacturing (M) c. Business Park (BP) 2. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. I. Testing Laboratory 1. Commercial cannabis testing may be conditionally permitted, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit pursuant to Chapter 9.10, Cannabis Regulations, and appropriate state license, in the following zones: a. Service Commercial (C-S) b. Manufacturing (M) c. Business Park (BP) d. Office (O) 2. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. Packet Page 43 Item 6 EXHIBIT B 2. The cannabis testing laboratory, as proposed, will comply with all the requirements of the State for the testing of cannabis, including dual licensure and participation in an authorized track and trace program. 3. The owners, investors, permittees, operators, and employees of the cannabis testing laboratory will not be associated with, nor have any financial interest in, any other form of commercial cannabis activity. 4. The cannabis testing laboratory is accredited by an appropriate accrediting agency as approved by the State and further described in Health and Safety Code Section 5238 and as it may be amended. 5. The cannabis testing laboratory operating plan demonstrates proper protocols and procedures for statistically valid sampling methods and accurate certification of cannabis and cannabis products for potency, purity, pesticide residual levels, mold, and other contaminants according to adopted industry standards. J. Retail - Storefront 1. Commercial cannabis storefront retail may be conditionally permitted, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit, and the appropriate state license, in the following zones: a. Retail Commercial (C-R) b. Service Commercial (C-S) 2. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. 2. Only 3 retail storefronts, which must front arterial streets, will be allowed within the City. Selection of the retail commercial cannabis operator will be selected from qualified commercial cannabis operators as set forth in Chapter 9.10, Cannabis Regulations. One of the retail storefronts shall have a Medicinal License and may also have an Adult Use license. 3. Retail storefronts shall be located at least one thousand (1000) feet from any pre- school, elementary school, junior high school, high school, public park or playground, six hundred (600) feet from any licensed day care center, and three hundred (300) feet from any residentially zoned area. Youth centers do not require a buffer. Distance shall be measured from the nearest point of the property line to the nearest point of the property line of the enumerated use using a direct straight- line measurement. 4. Retail storefronts must be separated from each other by at least 1,000 feet. 5. Hours of operation shall be limited between 9:00 am to 8:00 pm. 6. Must include a sign at each entrance of a retail storefront that prohibits persons under 21 years of age from entering. K. Retail - Non-Storefront (Delivery Services) 1. Commercial cannabis non-storefront retail may be conditionally permitted, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit pursuant to Chapter 9.10, Cannabis Regulations, and the appropriate state license, in the following zones: a. Service Commercial (C-S) Packet Page 44 Item 6 EXHIBIT B b. Manufacturing (M) c. Business Park (BP) 2. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. 2. Hours of delivery shall be limited between 6:00 am to 10:00 pm. L. Microbusiness 1. Microbusinesses fall into two groups as described below and may be conditionally permitted, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit pursuant to Chapter 9.10, Cannabis Regulations, and the appropriate state license, in the following zones. a. Microbusinesses with no more than 50% of the gross receipts being from cultivation, distribution and manufacturing are allowed in the following zones: 1. Retail Commercial (C-R) b. Microbusinesses with no more than 50% of the gross receipts being from storefront retail sales are allowed in the following zones: 1. Manufacturing (M) 2. Business Park (BP) c. Microbusinesses located in the Service Commercial (C-S) zone are not limited by gross sales receipts from cultivation, distribution, manufacturing or retail sales. 2. Microbusinesses are subject to the 70,000 square feet of canopy cultivation city-wide limitation (either in horizontal or vertical growing situations) and the limit of 3 retail storefronts fronting arterial streets city-wide set forth in Subsection J above. 3. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. 2. A maximum of 70,000 square feet of cumulative canopy for cultivation and nurseries shall be allowed for indoor cultivation in the City within the allowed land use zones. 3. All indoor cannabis cultivation shall be designed to accomplish zero net energy use from the start of the operation. 4. Pesticides and fertilizers shall be properly labeled, stored, and applied to avoid and prevent contamination through erosion, leakage, or inadvertent damage from rodents, pests, or wildlife. 5. Only 3 retail storefronts, which must front arterial streets, will be allowed within the City. Selection of the retail commercial cannabis operator will be selected from qualified commercial cannabis operators as set forth in Chapter 9.10, Cannabis Regulations. One of the retail storefronts shall have a Medicinal License and may also have an Adult Use license. 6. Any Microbusiness with a retail storefront shall require a Planning Commission Use Permit. Packet Page 45 Item 6 EXHIBIT B 7. Retail storefronts shall be located at least one thousand (1000) feet from any pre- school, elementary school, junior high school, high school, public park or playground, six hundred (600) feet from any licensed day care center, and three hundred (300) feet from any residentially zoned area. Youth centers do not require a buffer. Distance shall be measured from the nearest point of the property line to the nearest point of the property line of the enumerated use using a direct straight- line measurement. 8. Retail storefronts must be separated from each other by at least 1,000 feet. 9. Hours of retail shall be limited to between 9:00 am to 8:00 pm and delivery shall be limited to between 6:00 am to 10:00 pm. 10. Must include a sign at each entrance of a retail storefront that prohibits persons under 21 years of age from entering. Packet Page 46 Item 6 EXHIBIT C Table 9: Uses Allowed by Zone Land Use Permit Required by Zoning District AG C/OS R-1 R-2 R-3 R-4 PF O C-N C-C C-D C-R C-T C-S M BP Cannabis Activity Specialty Cultivator D D D Small Cultivator D D D Nursery D D D Manufacturing I D D D Distributor D D D Microbusiness PC* D/PC* D/PC* D/PC* Testing PC AA AA AA Retailer (delivery) D D D Retailer (storefront) PC PC Key: A = Allowed AA = Administrative Approval D = Director's Use Permit PC = Planning Commission Use Permit Approval Required * See section 17.99.050 (L) of the Zoning Regulations for specific requirements per zone. A Planning Commission use permit is only required if the Microbusiness includes a retail storefront as part of the business. Packet Page 47 Item 6 EXHIBIT D Chapter 17.100: Definitions Cannabis. “Cannabis” or “cannabis product” means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof, the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. “Cannabis” also means the separated resin, whether crude or purified, obtained from cannabis plants. “Cannabis” does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of the plant which is incapable of germination. For the purpose of this division, “cannabis” does not mean “industrial hemp” as defined by Section 11018.5 of the Health and Safety Code. Cannabis accessories. Any equipment, products or materials of any kind which are used, intended for use, or designed for use in planting, propagating, cultivating, growing, harvesting, manufacturing, compounding, converting, producing, processing, preparing, testing, analyzing, packaging, repackaging, storing, smoking, vaporizing, or containing marijuana, or for ingesting, inhaling, or otherwise introducing cannabis or cannabis products into the human body. Cannabis Activity. Any activity involving cannabis or cannabis products, except for possession or use, which are regulated under state law. Includes commercial cannabis activity as well as personal non-commercial cultivation, processing, storing, labeling, or delivery for personal adult recreational or medicinal use. Canopy. “Canopy” means all of the following: 1. The totality of an individual plant's aboveground parts, including branches, stems, leaves, and flowering structures; 2. The designated area(s) at a licensed premise that will contain mature plants at any point in time; 3. Canopy shall be calculated in square feet and measured using clearly identifiable boundaries of all area(s) that will contain mature plants at any point in time, including all the space(s) within the boundaries; 4. Canopy may be noncontiguous, but each unique area included in the total canopy calculation shall be separated by an identifiable boundary such as an interior wall or by at least 10 feet of open space; and 5. If mature plants are being cultivated using a shelving or stacking system, the surface area of each level shall be included in the total canopy calculation. Commercial Cannabis Activity. The cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, packaging, labeling, transportation, delivery or sale of cannabis and cannabis products as provided for in this division. Concentrated Cannabis. The separated resin, whether crude or purified, obtained from cannabis. Cultivation. Any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis. Packet Page 48 Item 6 EXHIBIT D Cultivation, Indoor. Any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis enclos ed within a structure using artificial lighting. These structures do not have any part open to the outside. Cultivation, Outdoor. Any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis not within an enclosed structure such as open fields, greenhouses, hoop structures, etc. Cultivation, Personal. Cultivation of cannabis conducted by an individual strictly for that individual’s personal use, possession, processing, transporting, or giving away without any compensation whatsoever in accordance with this Code and State law, including but not limited to Health and Safety Code sections 11362.1 and 11362.2, as may be amended. Except as herein defined, personal cultivation does not include, and shall not authorize, any cultivation conducted as part of a business or commercial activity, including cultivation for compensation or retail or wholesale sales of cannabis. Delivery. The commercial transfer of cannabis or cannabis products to a customer. “Delivery” also includes the use by a retailer of any technology platform owned and controlled by the retailer. Distribution. The procurement, sale, and transport of cannabis and cannabis products between licensees. Edible Product. Cannabis product that is intended to be used, in whole or in part, for human consumption, including, but not limited to, chewing gum, but excluding products set forth in Division 15 (commencing with Section 32501) of the Food and Agricultural Code. An edible cannabis product is not considered food, as defined by Section 109935 of the Health and Safety Code, or a drug, as defined by Section 109925 of the Health and Safety Code Greenhouse. A fully enclosed permanent or temporary structure that is clad in transparent material that may contain climate control, such as heating and/or ventilation capabilities, and/or supplemental artificial lighting, and/or use of both natural and artificial lighting (mixed light) for cultivation. Cannabis cultivation within a greenhouse is considered outdoor cultivation. Hoop Structure. A readily removable plastic or fabric covered hoop structure without in-ground footings or foundations. Cannabis cultivation within hoop structures is considered outdoor cultivation. Live Plants. Living cannabis flowers and plants, including seeds, immature plants, and vegetative stage plants Manufacturing (Volatile). The production, preparation, propagation, or compounding of cannabis or cannabis products either directly or indirectly or by extraction methods, or independently by means of chemical synthesis or by a combination of extraction and chemical synthesis, using volatile organic compounds, at a fixed location, that packages or repackages cannabis or cannabis products, or labels or relabels its containers. Packet Page 49 Item 6 EXHIBIT D Manufacturing (Non-volatile). The production, preparation, propagation, or compounding of cannabis or cannabis products either directly or indirectly or by extraction methods, or independently by means of chemical synthesis or by a combination of extraction and chemical synthesis, using non-volatile organic or inorganic compounds (see Cannabis Manufacturing (Volatile)), at a fixed location, that packages or repackages cannabis or cannabis products, or labels or relabels its containers. Medicinal Cannabis or Medicinal Cannabis Product. Cannabis or a cannabis product, respectively, intended to be sold for use pursuant to the Compassionate Use Act of 1996 (Proposition 215), found at Section 11362.5 of the Health and Safety Code, by a medicinal cannabis patient in California who possesses a physician’s recommendation. Microbusiness. Allows a single business to integrate cultivation, manufacturing, distribution and retail sales. Mixed-light Cultivation. Cultivation of cannabis using a combination of natural and supplemental artificial lighting (e.g. a greenhouse using natural light during the day and artificial light during the night). Mixed-light cultivation is not allowed. Nursery (Cannabis). A site that produces only clones, immature plants, seeds, or other agricultural products used specifically for the planting, propagation, and cultivation of cannabis. Cultivation as a cannabis nursery shall be indoor only (see Cultivation, Indoor). Product. See “Cannabis” and “Edible Product” and “Topical Product”. Private residence. A house, an apartment unit, a mobile home, or other similar dwelling. Sale/Sell/To Sell Any transaction whereby, for any consideration, title to cannabis is transferred from one person to another, and includes the delivery of cannabis or cannabis products pursuant to an order placed for the purchase of the same and soliciting or receiving an order for the same, but does not include the return of cannabis or cannabis products by a licensee to the licensee from whom such cannabis or cannabis product was purchased. Retail (Cannabis). Includes storefront and non-storefront (delivery) sale of cannabis and cannabis products. Testing Laboratory. A facility, entity, or site in the State of California that offers or performs tests of cannabis or cannabis products and that is both of the following: 1) Accredited by an accrediting body that is independent from all other persons involved in the cannabis industry in the State, and 2) Licensed by the bureau. Topical Product. Cannabis product that is intended to be used for external use. A topical cannabis product is not considered a drug as defined by Chapter 109925 of the California Health and Safety Code. Packet Page 50 Item 6 EXHIBIT D Marijuana. See “Cannabis.” Medical Marijuana. See “Medicinal Cannabis.” Packet Page 51 Item 6 EXHIBIT A 1 Chapter 9.10 Cannabis Regulations 9.10.010 Purpose and Intent. 9.10.020 Definitions 9.10.030 Personal Cultivation Limited 9.10.040 Commercial Cannabis/City Permit and State License Required 9.10.050 Regulations and Fees 9.10.060 Display and Production of Permits 9.10.070 Commercial Cannabis Operator Permit Application Procedures and Requirements. 9.10.080 Renewal of Permit 9.10.090 Suspension or Revocation of Permit 9.10.100 Appeal 9.10.110 Right to Occupy and Use Property for Commercial Cannabis Activity 9.10.120 Prohibition on Transfer of Commercial Cannabis Operator Permits. 9.10.130 Records and Reporting. 9.10.140 Inspection and Enforcement. 9.10.150 Outdoor Commercial Cannabis Cultivation and Activities Prohibited 9.10.160 Indemnification, Insurance, Reimbursement, Consent 9.10.170 Compliance with Laws 9.10.180 Permit Violation 9.10.190 Permit Compliance Monitoring 9.10.200 Permit Holder Responsible for Violations by Employees or Agents 9.10.210 Consumption or Use Prohibited On-site and In Public 9.10.220 Concurrent Alcohol Sales or Service Prohibited 9.10.230 Minors 9.10.240 Sale of Cannabis, Cannabis Products or Cannabis Accessories by Vending Machine prohibited 9.10.250 Security Measures 9.10.260 Limitations on City’s Liability. 9.10.270 Fees Deemed Debt to City 9.10.280 Violation and Penalties 9.10.290 Severability 9.10.010 Purpose and Intent. A. It is the primary purpose and intent of this Chapter to protect the health, safety, and welfare of the residents of the City of San Luis Obispo from the negative impacts of illegal commercial and non-commercial cannabis activity, and of state authorized cannabis activity, by enforcing City ordinances, rules and regulations consistent with applicable State law, including, but not limited to, the Compassionate Use Act, the Medical Marijuana Program Act, the Adult Use of Marijuana Act, and the Medicinal and Adult Use of Cannabis Regulatory and Safety Act. B. This Chapter is not intended to, and shall not be construed to, prohibit or interfere with any right, defense or immunity under Health and Safety Code Section 11362.5 (the Packet Page 52 Item 6 EXHIBIT A 2 Compassionate Use Act), or under Health and Safety Code Section 11362.7 et. seq. (the Medical Marijuana Program Act). C. This Chapter is not intended to, and shall not be construed to, prohibit or interfere with any right, defense or immunity of any person 21 years of age or older relating to the adult personal possession or cultivation of cannabis or marijuana consistent with the provisions of the Control, Regulate and Tax Adult Use of Marijuana Act, and the Medicinal and Adult Use of Cannabis Regulatory and Safety Act. D. Nothing in this Chapter shall be construed to authorize the cultivation, possession or use of marijuana for any purpose inconsistent with state or local law. E. Any reference to California statutes includes any regulations promulgated thereunder and is deemed to include any successor or amended version of the referenced statute or regulation. 9.10.020 Definitions A. State defined terms. Words or terms used in this chapter that are defined words or terms in Business and Professions Code Section 26001, or Health and Safety Code Section 11362.7 (the Statutes”) shall have the meanings ascribed to them in the Statutes as they now read, or as they may be amended to read. These state defined words and terms include, but are not limited to, “cannabis,” “cannabis accessories,” “cannabis concentrate,” “cannabis products,” “commercial cannabis activity,” “cultivation,” “delivery,” “distribution,” “license,” “live plants,” “manufacture,” “operation,” “person,” “premises,” “sell,” “sale,” “to sell.” Some of these terms are also set forth in Chapter 17.100 of this code. In the event of conflict in the definitions, the definitions in Chapter 17.100 shall control; provided the terms defined in subsection B below shall control over any other definition. B. City defined terms. The following words or terms used in this chapter have the following meanings: 1. “Commercial Cannabis Business” means any person or entity engaging in any business, operation or activity which is Commercial Cannabis Activity under state law in the City. 2. “Commercial Cannabis Operator Permit” means a permit required by the City of San Luis Obispo pursuant to this chapter to conduct Commercial Cannabis Activity or a Commercial Cannabis Business in the City. 3. “Responsible Party(ies)” shall be one or more individuals who have an ownership interest in a Commercial Cannabis Activity and are designated to be personally responsible for compliance with all terms and conditions of the Commercial Cannabis Operator Permit, all other permits required by the City, and all ordinances and regulations of the City. Any person having an ownership interest of more than fifty percent in a Commercial Cannabis Activity shall be designated a Responsible Party on the application. If no individual owns more than fifty percent of a Commercial Packet Page 53 Item 6 EXHIBIT A 3 Cannabis Activity, the individual owning the largest share shall be a Responsible Party, and if multiple individuals have the same percentage interest, each one shall be a Responsible Party. More than one individual can be designated a Responsible Party. 4. “Cannabis Event” means a public or private event where compensation is provided or exchanged, either directly or indirectly or as part of an admission or other fee for service, for the provision, hosting, promotion or conduct of the event where consumption of cannabis is part of the activities. 9.10.030 Personal Cultivation Limited A. Maximum Six Plants Outdoors Per Parcel. It shall be unlawful for any person to plant, cultivate, harvest, dry, process, maintain, possess or store outdoors, more than six (6) live cannabis plants on any parcel containing one or more private residences. This limitation on outdoor personal cannabis activities applies per parcel, regardless of the number of residents in each private residence, and regardless of the number of residences on the parcel. This limitation applies to cannabis live plants for either adult recreational use or medicinal purposes. Outdoor personal cultivation shall comply with applicable provisions of chapter 17.99 of this Code. B. Maximum Six Plants Per Private Residence, Indoors and Outdoors/ It shall be unlawful for the cumulative total of cannabis plants per private residence, indoors and outdoors, to exceed six (6) cannabis live plants, regardless of number of persons residing in the private residence. This limitation applies to cannabis live plants for either adult recreational use or medicinal purposes. Any live cannabis plants grown indoors shall comply with applicable provisions of Chapter 17.99 of this Code. C. No Outdoor Cultivation on Parcel without Private Residence. It shall be unlawful for any person to plant, cultivate, harvest, dry, process, maintain, possess or store any cannabis live plants outdoors on a parcel that does not have a private residence used for residential dwelling purposes by the person cultivating the cannabis live plants. D. Neighborhood Impacts of Personal Cultivation. There shall be no exterior evidence of cannabis cultivation occurring at the property visible by normal unaided vision from a public place or the public right-of-way and any outdoor cultivation shall comply with provisions of Chapter 17.99.040 of this code. Personal cultivation of cannabis, for recreational adult use or for medicinal purposes, shall not create odors, dust, heat, noise, light, glare smoke or other impacts to people of normal sensitivity living, working or lawfully present in the vicinity of the personal cultivation site. Impacts that cross the nearest property line of any other parcel, beyond that parcel on which the personal cultivation is conducted, or that are visible or noticeable with normal unaided vision, from a public place or the public right of way, or from any separately owned, leased or controlled private residence or business on the same parcel as the private residence responsible for the personal cultivation, are unlawful. Packet Page 54 Item 6 EXHIBIT A 4 E. No Hazardous Personal Cultivation. Personal cultivation, harvesting, drying, or processing of cannabis, for recreational adult use or medicinal purposes, that uses or stores hazardous or toxic chemicals or materials, creates hazardous or toxic products or wastes, or uses volatile processes or other methods or substances that pose a significant risk to public health or safety, is prohibited and unlawful. 9.10.040 Commercial Cannabis/City Permit and State License Required A. City Commercial Cannabis Operator Permit Required. No person shall engage in Commercial Cannabis Activity or have an ownership interest in, operate, or manage, a Commercial Cannabis Business without obtaining and continuously maintaining a Commercial Cannabis Operator Permit pursuant to this chapter. B. Commercial Cannabis Operator Permit and State License(s) Required. It shall be unlawful for any person to own, conduct, manage, operate, engage or participate in, work or volunteer at a Commercial Cannabis Activity or Commercial Cannabis Business that does not have a valid Commercial Cannabis Operator’s Permit issued pursuant to this chapter and other City permits or licenses required by this Code, in addition to the appropriate license(s) required by state law to conduct the Commercial Cannabis Activity. Any Commercial Cannabis Business or Commercial Cannabis Activity conducted without all required City and state permits and licenses is prohibited and unlawful and is hereby declared to be a public nuisance. 9.10.050 Regulations and Fees. The City Council shall by resolution or ordinance adopt such forms, fees, regulations and procedures as are necessary to implement this Chapter with respect to the application and qualification for, and the selection, future selection, investigation, process, issuance, renewal, revocation, and suspension of, Commercial Cannabis Operator Permits. 9.10.060 Display and Production of Permits A. Dual Permits Posted and Visible. A copy of the Commercial Cannabis Operator Permit issued by the City of San Luis Obispo pursuant to this Chapter, together with a copy of the appropriate state license(s) for the Commercial Cannabis Activity being conducted, shall be posted and readily visible to the public at all times, at each location where Commercial Cannabis Activity occurs. B. Production of Originals for Inspection. Any owner, operator , employee or person in charge of a Commercial Cannabis Activity shall produce for inspection and copying, upon request of a City inspector, code enforcement officer, or City police officer during normal operating hours, the original of the current and valid City of San Luis Obispo Commercial Cannabis Operator Permit and the appropriate, current and valid license(s) of the State of California for the Commercial Cannabis Activity(ies) or Commercial Cannabis Business(es) being conducted. Packet Page 55 Item 6 EXHIBIT A 5 9.10.070 Commercial Cannabis Operator Permit Application Procedures and Requirements A. Application. A person shall apply for a Commercial Cannabis Operator Permit by submitting an application to the City during the annual application period. The City Council will, by resolution, adopt criteria by which all applications will be reviewed, applicants qualified and in the case of retail and cultivation businesses, also ranked. Those applicants that are selected will have the opportunity to apply for a use permit as outlined in Chapter 17.99. Each application shall designate at least one Responsible Party. If a person is not selected to receive a Commercial Cannabis Operator Permit, the person may reapply during the next annual application period. B. Application Submittal Timeframe. A person may only submit one application for a Commercial Cannabis Operator Permit during the annual application period designated by resolution of the City Council. In no event will Tthe Commercial Cannabis Operator permit will be valid for more than a twelve (12) months period. Once a permit is obtained, the applicant can apply annually for renewal.. There is no guarantee that an applicant will receive a Commercial Cannabis Operator Permit in the first instance. Due to limitations on the number of certain permits, even a highly ranked applicant for a retail or cultivation permit may not receive a Commercial Cannabis Operator Permit and even an applicant who receives a Commercial Cannabis Operator Permit is not guaranteed that any subsequent, required land use permit, as outlined in Chapter 17.99, will be approved. C. Grounds for Automatic Disqualification. In addition to any other reason that may be established by the City Council as a basis for disqualification, an applicant shall be disqualified from applying for, or obtaining, a Commercial Cannabis Operator Permit if: 1. The applicant fails to timely file an application during the annual application period. 2. The Responsible Party refuses to sign the application and agree to be personally responsible for compliance, and personally liable for failure to comply, with the provisions of this chapter. 3. The applicant, or any of its officers, directors or owners, or Aany person listed in the application,: has been convicted of any felony or offense referenced in Business and Professions Code Section 26057; or has been subject to fines, penalties, or sanctions for cultivation or production of a controlled substance on public or private lands or for unauthorized commercial cannabis activities as specified in Business and Professions Code Section 26057; or has had a commercial cannabis license suspended or revoked by the State of California or any city or county in any state, within the three years preceding the date the application is filed, or is ineligible to apply for a state cannabis license. a felony. No person who has been convicted of such a felony or offense, or subject to such fines, penalties, sanctions, suspension or revocation may be engaged (actively or passively) in the operation, management or ownership of any Commercial Cannabis Business. A conviction within the meaning of this Chapter means a plea or Packet Page 56 Item 6 EXHIBIT A 6 verdict of guilty or a conviction or diversion following a plea of nolo contendere. However, a person with a felony conviction solely related to personal marijuana use or marijuana activity that would otherwise be permitted under current state law shall not be prohibited from applying or being approved for a Commercial Cannabis Operator Permit solely on the basis of such a conviction or plea of nolo contendere. 4. The applicant made one or more false or misleading statements or omissions in the application process. 5. Any person listed on the application is a licensed physician making patient recommendations for medical or medicinal cannabis pursuant to State law. 6. Any person listed in the application is less than twenty-one (21) years of age. D. Duration and Activation of Permit. Each Commercial Cannabis Operator Permit issued pursuant to this Chapter shall expire twelve (12) months after the date of its activation. The permittee may apply for renewal prior to expiration in accordance with this chapter. Each Commercial Cannabis Operator Permit must be activated within 12 months of issuance. The permit is activated by the issuance of a use permit for the Commercial Cannabis Activity pursuant to Chapter 17.99, together with all other applicable City permits and state licenses, and the Commercial Cannabis Operator thereafter opening and continuously operating the Commercial Cannabis Activity. Failure to timely activate the permit shall be deemed abandonment of the permit and the permit shall automatically lapse. 9.10.080 Renewal of Permit A. Renewal Application Filing Deadline. An application for renewal of a Commercial Cannabis Operator Permit shall be filed at least sixty (60) calendar days, but not more than one hundred twenty (120) calendar days, prior to the expiration date of the permit with the City Manager or his/her designee. If the complete application and fees are timely submitted but the City does not act to approve or reject the renewal prior to expiration, the permittee may continue to operate under the expired permit until the City approves or rejects the application for renewal. B. Rejection of Renewal Application. An application for renewal of a Commercial Cannabis Operator Permit shall be rejected if any of the following exists:. 1. The Commercial Cannabis Operator Permit is revoked at the time of the application or renewal. 2. The applicant conducted unpermitted commercial cannabis activities in the City or continued to conduct formerly permitted commercial cannabis activities after expiration of the permit, other than as expressly permitted by this section. 3. Any of the grounds for disqualification for prequalification set forth in Section 9.10.070(C) above, or as established by the City Council, exist at the time of application for renewal, or date of renewal. 4. The permittee fails to renew any required State of California license(s), or the State revokes or suspends the license. Revocation, termination, non-issuance or suspension of a license issued by the State of California, or any of its departments or divisions, Packet Page 57 Item 6 EXHIBIT A 7 shall immediately, concurrently revoke, terminate, or suspend, respectively, the Commercial Cannabis Operator Permit. Such automatic suspension makes it illegal for a Commercial Cannabis Business or Activity to operate within the City of San Luis Obispo until the State of California, or its respective department or division, reinstates or issues the State license. An application for renewal of a Commercial Cannabis Operator Permit may be rejecteddenied if any of the following exists: 1. The application is filed less than sixty (60) days before its expiration. 2. The Commercial Cannabis Operator Permit, is revoked at the time of the application or renewal. 3. The applicant conducted unpermitted commercial cannabis activities in the City or continued to conduct formerly permitted commercial cannabis activities after expiration of the permit, other than as expressly permitted by this section. 4.3.The applicant has received an administrative citation for violating any provision of this Code relating to its Commercial Cannabis Activity(ies) in the City during the last twelve months, and the administrative citation has not been resolved in the applicant’s favor by date of application for renewal. A pending, unresolved appeal of an administrative citation shall not result in rejection of an otherwise timely and complete application, but resolution of an appeal in a manner that upholds the violation against the applicant during the application review period shall result in the immediate rejection of the application. 5.4.The Commercial Cannabis Business has not been in regular and continuous operation in the three (3) months immediately prior to the renewal application. 5. The Commercial Cannabis Business fails to conform to the requirements of this Chapter, any regulations adopted pursuant to this Chapter or the conditions imposed as part of any Use Permit or zoning requirements under Chapter 17.99 of this Code. 6. The Commercial Cannabis Operator Permit is suspended at the time of application or renewal. 7. Any of the grounds for disqualification for prequalification set forth in Section 9.10.070(C) above, or as established by the City Council, exist at the time of application for renewal, or date of renewal. 8. The permittee fails to renew any required State of California license(s), or the State revokes or suspends the license. Revocation, termination, non-issuance or suspension of a license issued by the State of California, or any of its departments or divisions, shall immediately, concurrently revoke, terminate, or suspend, respectively, the Commercial Cannabis Operator Permit. Such automatic suspension makes it illegal for a Commercial Cannabis Business or Activity to operate within the City of San Luis Obispo until the State of California, or its respective department or division, reinstates or issues the State license. B.C. Effect of Rejection of Application for Renewal. Operations to Cease Pending Appeals. If a renewal application is rejected, the Commercial Cannabis Operator Permit expires on the Packet Page 58 Item 6 EXHIBIT A 8 expiration date set forth in the permit, even if an appeal has been filed. All commercial cannabis activities in the City under the expired permit must stop until all appeals have been exhausted. A person or entity whose renewal application is rejected, and loses his/her/its appeal, must go through the annual Commercial Cannabis Business Operator Permit application process. 9.10.090 Suspension or Revocation of Permit. In addition to any other penalty authorized by law, a Commercial Cannabis Operator Permit may be suspended or revoked if the City finds, after notice to the permittee and opportunity to be heard, that the permittee or his or her agents or employees has violated any condition of the permit imposed pursuant to, or any provision of, this chapter. 1. Upon a finding by the City of a first permit violation within any five-year period, the permit shall be suspended for thirty days. 2. Upon a finding by the City of a second permit violation within any five-year period, the permit shall be suspended for ninety days. 3. Upon a finding by the City of a third permit violation within any five-year period, the permit shall be revoked. 9.10.100 Appeal. A. Qualification. Ranking of Rretailers, and Ccultivators. A decision of the City to not qualify an applicant for a Commercial Cannabis Operator Permit, or to rank applicants for retail or cultivation licenses, or to allow qualified applicants with the highest rankings the first opportunity to apply for a Commercial Cannabis Operator Permit, shall be the final action of the City and not appealable. B. Non-renewal, Revocation or Suspension. A decision of the City to reject an application for renewal, or to revoke or suspend a Commercial Cannabis Operator Permit, is appealable to the City Manager. An appeal must be filed with the City Manager within ten working days after the renewal has been denied, suspended or revoked. A decision of the City Manager or his or her designee is appealable to the City Council in accordance with Chapter 1.20 of this Code. C. Effect of Suspension. During a period of license suspension, the Commercial Cannabis Business shall remove from public view, all cannabis and cannabis products, and shall not conduct any Commercial Cannabis Activity. D. Revocation. Notice to State. Pursuant to Business and Profession Code Section 26200 (c), the City Manager or his or her designee shall promptly notify the Bureau of Cannabis Control within the Department of Consumer Affairs, upon City’s revocation of any local license, permit, or authorization for a state licensee to engage in commercial cannabis activity within the City. Packet Page 59 Item 6 EXHIBIT A 9 9.10.110 Right to Occupy and to Use Property for Commercial Cannabis Activity. As a condition precedent to the City’s issuance of a Commercial Cannabis Operator Permit pursuant to this Chapter, any person intending to open and operate a Commercial Cannabis Business shall provide evidence satisfactory to the City of the applicant’s legal right to occupy and to use the proposed location for the proposed use, together with the approval of a use permit from the City for cannabis activity at the location. In the event the proposed location is owned by or to be leased from another person, the applicant for a permit under this Chapter shall provide a signed and notarized statement from the property owner agreeing to the operation of a Commercial Cannabis Business on the property. 9.10.120 Prohibition on Transfer of Commercial Cannabis Operator Permits. A. Business Restriction to Location on Permit. It shall be unlawful for any person to transfer a Commercial Cannabis Operator Permit to a location not specified on the permit, or to operate a Commercial Cannabis Business at any place or location other than that identified on the Commercial Cannabis Operator Permit issued pursuant to this Chapter. B. Transfer or Assignment Prohibited. No person or entity shall encumber, mortgage, lien, hypothecate, give, bequeath, sell, assign or transfer, by operation of law or otherwise, any portion of the ownership or control of a Commercial Cannabis Business or a Commercial Cannabis Operator Permit to any person who does not have a Commercial Cannabis Operator Permit from the cCity. prior to the effective date of any action described in this sentence. The Commercial Cannabis Operator Permit permittee proposing such an action shall: 1. Notify the City in writing of the proposed action, comply with applicable regulations and provide such information as the City reasonably requests regarding the identity and qualifications of persons involved, and pay all applicable fees and charges; and 2. Provide proof that the proposed lender, lienholder, recipient, heir, buyer, assignee, transferee, or other potential recipient of any portion of the ownership or control, at the time of the notice and effective date of the proposed action, is qualified by the C city to apply for a Commercial Cannabis Operator Permit and the proposed action is conditioned on the Ccity issuing to the person a new or amended Commercial Cannabis Operator Permit. 3. Notify the city in writing within ten (10) calendar days of the action becoming final) with the names and contact information of the new persons involved, together with a request that the Ccity issue either a new or amended Commercial Cannabis Operator Permit, as applicable. B. The Commercial Cannabis Operator Permit shall terminate immediately and automatically upon such assignment or transfer unless and until the City prequalifies the transferee or assignee during the annual prequalification period; the transferee or assignee submits all Packet Page 60 Item 6 EXHIBIT A 10 required information, pays all applicable fees and charges, and obtains the prior written consent of the City Council. C. Assignment Null and Void. Any attempt to transfer, sell, assign, give, or lien, or any transfer, sale, assignment, gift or lien, of a Commercial Cannabis Operator Permit issued pursuant to this Chapter, by operation of law or otherwise, in violation of this chapter, is prohibited. Any such action immediately voids, nullifies and terminates the Commercial Cannabis Operator Permit, which shall be of no further force or effect. 9.10.130 Records and Reports. A. City Access to Records. Subject to the Health Insurance Portability and Accountability Act (HIPAA) regulations, each Commercial Cannabis Business shall allow City of San Luis Obispo officials to have access to the Commercial Cannabis Business’s books, records, accounts, and any and all data relevant to its permitted activities for the purpose of conducting an audit, examination or inspection. Books, records, accounts, and any and all relevant data will be produced no later than twenty-four (24) hours after receipt of the City’s request or within a reasonable time as authorized in writing by the City. B. Annual Audit. Each Commercial Cannabis Business shall file with the City Manager or his/her designee an audit of its financial operations for the previous fiscal year, complete and certified by an independent certified public accountant in accordance with generally accepted auditing and accounting principles. The audit shall include but not be limited to a discussion, analysis, and verification of each of the records required to be maintained pursuant to this Chapter. The information contained in the audit shall be made available in standard electronic format which shall be compatible with programs and software used by the City, and which can easily be imported into either Excel, Access or any other contemporary software designated by the City Manager. C. Inventory Control system. All Commercial Cannabis Businesses shall maintain an inventory control and reporting system that accurately documents the present location, amounts, and descriptions of all cannabis and cannabis products for all stages of the growing and production or manufacturing, laboratory testing and distribution processes until sold or distributed. All Commercial Cannabis Businesses shall maintain records of all sales or transfers of cannabis and cannabis products. D. Employee Registry. Each owner and/or operator of a Commercial Cannabis Business shall maintain a current register of the names and the contact information (including the name, address, and telephone number) of all employees currently employed by the Commercial Cannabis Business and shall disclose such register to any City of San Luis Obispo official upon request. E. Reporting and Tracking of Product and of Gross Sales. Each Commercial Cannabis Business shall have in place a point-of-sale tracking system to track and to report on all aspects of the Packet Page 61 Item 6 EXHIBIT A 11 Commercial Cannabis Business including, but not limited to, such matters as cannabis tracking, inventory data, and gross sales (by weight and by sale) and shall ensure that such information is compatible with the City’s record-keeping systems. The system must have the capability to produce historical transactional data for review by the City of San Luis Obispo. All information provided to the City pursuant to this sub-Chapter shall be confidential and shall not be disclosed, except as may otherwise be required under law. F. Maintenance of Records. All records required by this Chapter shall be maintained by the Commercial Cannabis Business for a period of not less than seven (7) years and shall otherwise keep accurate records of all Commercial Cannabis Business activity and provide such records for inspection consistent with this Code or any rules the City Council by resolution or ordinance. 9.10.140 Inspection and Enforcement. A. Unscheduled Inspection during Business Hours. The City Manager or his/her designee and any other City of San Luis Obispo official or inspector charged with enforcing any provisions of this Code, may enter a Commercial Cannabis Business at any time during the hours of operation without notice for the purpose of inspecting the Commercial Cannabis Business for compliance with the provisions of this Code, the terms and conditions of the Commercial Cannabis Operator Permit or any other City permit or state license, including inspection of the recordings and records maintained pursuant to this Chapter or the applicable provisions of State law. The right to inspect under this inspection includes the right to copy recordings and records. B. Interference with Inspection. It is unlawful for any person who owns, operates, manages or is employed by, or has any responsibility over the operation of, a Commercial Cannabis Business, to refuse to allow, or to impede, obstruct, or interfere with, an inspection by the City, or the City’s review or copying of recordings (including audio and video recordings) and records, or to conceal, destroy, alter or falsify any recordings or records. C. Obtaining Samples. The City Manager or his/her designee or any other person charged with enforcing the provisions of this Chapter may enter the location of a Commercial Cannabis Business at any time during the hours of operation and without notice to obtain samples of cannabis and cannabis products to test for law enforcement and/or public safety purposes. Any samples obtained by the City of San Luis Obispo shall be logged, recorded, and maintained in accordance with City of San Luis Obispo Police Department standards for evidence. At all other times, the City Manager or his/her designee may enter the location of a Commercial Cannabis Business to obtain samples of cannabis upon reasonable notice, as otherwise authorized by law or pursuant to a warrant. Packet Page 62 Item 6 EXHIBIT A 12 9.10.150 Outdoor Commercial Cannabis Cultivation and Activities Prohibited. A. Outdoor Commercial Cultivation prohibited. Outdoor commercial cannabis cultivation, including, but not limited to, cultivation in greenhouses, hoop structures, and by mixed light (part daylight/part artificial light), is prohibited and unlawful. This section prohibits all outdoor commercial cannabis cultivation, including cultivation for profit or not for profit culti vation, and including commercial cultivation for adult recreational use or medicinal purposes. For purposes of this section, outdoor cultivation of cannabis by cooperatives is prohibited. All commercial cannabis cultivation shall be conducted only inside a fully enclosed structure by a person or entity with a Commercial Cannabis Operator Permit, a City use permit, and appropriate State license(s). See also Section 17.99.050 G 3 of this Code. B. Outdoor Commercial Cannabis Activities Prohibited. Outdoor storage, harvesting, drying, processing, or manufacturing of commercial cannabis or cannabis products is prohibited and unlawful. 9.10.160 Indemnification, Insurance, Reimbursement, Consent. As a condition of approval of any Commercial Cannabis Operator Permit issued pursuant to this Chapter, the permittee shall, at a minimum: A. Execute an agreement to protect, indemnify, defend (at its sole cost and expense with counsel approved by City), and hold the City of San Luis Obispo and its officers, employees, attorneys, representatives, and agents harmless from and against any and all claims, demands, losses, damages, injuries, costs, expenses (including attorneys’ fees) fines, penalties, or liabilities arising from, related to or associated with: the issuance of a Commercial Cannabis Operator Permit or use permit; the permitting or approving the operation of a Commercial Cannabis Activity; the collection of any fees, taxes, or charges from a Commercial Cannabis Business; the Commercial Cannabis Business’s or any of its owners’, operators’, managers’, employees, or agents’ violation of any federal, state or local laws; the City’s suspension, revocation or refusal to renew the Commercial Cannabis Operator Permit. B. Maintain insurance with standard City coverages and limits, but with additional conditions thereon deemed necessary by the City Attorney. C. Reimburse the City of San Luis Obispo for any and all costs, expenses, attorney fees, fines, penalties and court costs that the City of San Luis Obispo may be required to pay as a result of any legal challenge related to the City’s approval of a Commercial Cannabis Operator Permit pursuant to this Chapter or any other City permit or the City of San Luis Obispo’s approval of the operation of a Commercial Cannabis Activity. The City of San Luis Obispo may, at its sole discretion, participate at its own expense in the defense of any such action, but such participation shall not relieve the obligations imposed under this Chapter. Packet Page 63 Item 6 EXHIBIT A 13 D. Consent to unscheduled inspections, production of records and recordings, and obtaining of samples of cannabis and cannabis products by authorized City officials during normal operating hours as provided in this chapter. 9.10.170 Compliance with Laws. The Commercial Cannabis Business shall operate all times in compliance with all applicable state and local laws, regulations, and any specific, additional operating procedures or requirements which may be imposed as conditions of approval of the Commercial Cannabis Operator Permit or use permit or state license(s). Nothing in this Chapter shall be construed as authorizing any action which violates state law or local law with respect to the operation of a Commercial Cannabis Activity 9.10.180 Permit Violation. Compliance with all local and state cannabis-related laws shall be a condition of a City Commercial Cannabis Operator Permit and it shall be a violation of a Commercial Cannabis Operator Permit for a permittee or his or her agents or employees to violate any local or state - cannabis-related law. 9.10.190 Permit Compliance Monitoring. Compliance with this chapter shall be monitored by the San Luis Obispo police department, Code Enforcement staff and/or any other duly authorized agent of the City. Any compliance checks pursuant to this chapter shall be in addition to any under any other ordinances, regulations or permits. At least four compliance checks of each cannabis retailer shall be conducted during each twelve-month period. At least two compliance checks of each commercial cannabis business other than a retailer shall be conducted during each twelve-month period. The cost of compliance monitoring shall be incorporated into the annual renewal fee. 9.10.200 Permit Holder Responsible for Violations By Employees or Agents. The responsible person and any entity to whom a Commercial Cannabis Operator Permit is issued pursuant to this Chapter shall be responsible for all violations of the regulations and ordinances of the City of San Luis Obispo, committed by the permittee, any employee or agent of the permittee, which violations occur in or about the premises of the Commercial Cannabis Business, even if the responsible person is not present. Violations by an employee or agent may result in the termination or non-renewal of the permit by City. 9.10.210 Consumption or Use Prohibited On-site and in Public/Cannabis Event Prohibited A. It is unlawful for any person or entity: 1. To sell, give, exchange, dispense or distribute cannabis or cannabis products for on-site consumption, use or sampling on any business premises; or Packet Page 64 Item 6 EXHIBIT A 14 2. To consume or use cannabis or cannabis products, whether by smoking, vaping, inhaling, eating, drinking or any other means: a. in, on or about the premises of any Commercial Cannabis Business; b. in, on or about any publicly owned or operated property; any place open to, or accessible by the public; any place smoking is prohibited; or any place visible from any public place with normal unaided vision. c. in on or about any other business, club, or cooperative, or commercial event, regardless if open to the public or only to members, ticket holders or event invitees; d. any location where an entry or other fee is charged to attendees or to the host or where a thing of value or consideration is received or exchanged, directly or indirectly, for or related to the provision of cannabis. B. It is unlawful for any person to conduct a Cannabis Event in the City. 9.10.220 Concurrent Alcohol or Tobacco Sales or Service Prohibited. A. No person shall dispense, serve, store, give away or consume, or cause or permit the sale, dispensing, serving, giving away or consumption of alcoholic beverages or tobacco in or on the premises of a Commercial Cannabis Business. B. No person shall conduct any Commercial Cannabis Activity at any location where alcohol is sold or served. 9.10.230 Minors A. Minors shall not be allowed on the premises of a commercial Cannabis Business having either an “A” or “M” license, or both, even if accompanied by a parent or guardian. B. No person under 21 years of age shall be allowed on the premises of a Commercial Cannabis Business having either an “A” or “M” license or both. C. Every entrance to an “A” or “M” licensed Commercial Cannabis Business shall be clearly and legibly posted with the following notice: “ENTRY ONTO THESE PREMISES BY PERSONS UNDER 21 YEARS OF AGE IS PROHIBITED BY LAW. VALID PHOTO ID REQUIRED.” Each letter of the notice must be at least two inches high and clearly visible. D. No person, business, or other entity conducting a Commercial Cannabis Activity with either an “A” or “M’ state license shall employ any person who is not at least twenty-one (21) years of age. Packet Page 65 Item 6 EXHIBIT A 15 9.10.240 Sale of Cannabis Products or Cannabis Accessories by Vending Machine prohibited A. No person shall locate, install, keep, maintain or use, or permit the location, installation, keeping, maintenance or use on his, her or its premises of any cannabis vending machine used or intended to be used for the purpose of selling any cannabis products or cannabis accessories therefrom. B. No person, business, or other entity shall sell, offer for sale, or display for sale any cannabis product by means of a self-service display or vending machine. All cannabis products shall be offered for sale exclusively by means of vendor/employee assistance. C. “Vending machine” means any electronic or mechanical device or appliance the operation of which depends upon the insertion of money, whether in coin or paper bill, or debit or credit card, or other thing representative of value, which device or appliance dispenses or releases cannabis, cannabis product(s) and/or cannabis accessories. 9.10.250 Security and Public Safety Measures. A. The City Manager or his/her designee(s) is authorized to promulgate all regulations necessary to implement the requirements and fulfill the purposes and policies of this Chapter, including but not limited to enforcement, background checks for applicants, approval and enforcement of a Commercial Cannabis Activity security plan, including audio and video recordings of operations, and verification of compliance. B. Every Commercial Cannabis Activity and every Commercial Cannabis Activity shall have a security plan approved by the Chief of Police or designee prior to issuance of a City Commercial Cannabis Operator Permit. C. Hours of Operation. a. Retail -Storefront. Retail-Storefront Commercial Cannabis Business shall not operate between the hours of 8 PM and 9 AM. b. Retail-Non-Storefront (Delivery Services). Retail-Non-Storefront (Delivery Services) Commercial Cannabis Business shall not operate between the hours of 10 PM and 6 AM. c. Commercial Other than Retail. All Commercial Cannabis Activity other than Retail is prohibited between the hours of 10 PM and 7 AM. 9.10.260 Limitations on City’s Liability. The City shall not be liable for issuing, or failing or refusing to issue, suspending, revoking or failing to renew a Commercial Cannabis Operator Permit pursuant to this Chapter or otherwise approving or disapproving the operation of any Commercial Cannabis Business pursuant to this Chapter. Packet Page 66 Item 6 EXHIBIT A 16 9.10.270 Fees Deemed Debt to City. The amount of any fee, cost or charge imposed pursuant to this Chapter shall be deemed a debt to the City of San Luis Obispo that is recoverable in any court of competent jurisdiction. 9.10.280 Violation and Penalties. A. Misdemeanor. Each violation of the provisions of this chapter shall be a misdemeanor and is punishable as provided in Section 1.12.030 of this code.; provided, that where the City attorney determines that such action would be in the interest of justice, he/she may specify in the accusatory pleading that the offense shall be an infraction. Any violation of the provisions of this chapter by any person is also subject to administrative fines as provided in Chapter 1.24 of this code. B. Infraction Violation. Where the City attorney determines that, in the interest of justice, a violation of this chapter is an infraction, such infraction is punishable by a fine not exceeding one hundred dollars for a first violation, a fine not exceeding two hundred dollars for a second violation of the same provision within one year, and a fine not exceeding five hundred dollars for each additional infraction violation of the same provision within one year. C. The fine amounts set forth above may be modified, from time to time, by City Council resolution. In no event shall such fine amounts exceed the amounts authorized by state law. D. If the City of San Luis Obispo finds, based on substantial record evidence, that any person has engaged in Commercial Cannabis Activity in violation of Chapter 9.10, the City shall fine that person as follows. Each day that person without a Commercial Cannabis Operator Permit offers cannabis or cannabis products for sale or exchange shall constitute a separate violation and assessed a fine in accordance with Sections 1.12.080 and 1.24.070(A) of this code. E. Each person committing, causing, or maintaining a violation of this chapter or failing to comply with the requirements set forth herein shall be deemed guilty of a separate offense for each and every day during any portion of which any violation of any provision of this chapter is committed, continued, maintained, or permitted by such person and shall be punishable accordingly. F. The violation of any provision of this chapter shall be and is hereby declared to be a public nuisance and contrary to the public interest. Any public nuisance under this chapter may, at the City’s discretion, be abated by the City by civil process by means of a restraining order, preliminary or permanent injunction or in any manner provided by law for the abatement of such nuisance. The City shall also be entitled to recover its full reasonable costs of abatement. The prevailing party in any proceeding associated with the abatement of a public nuisance shall be entitled to recovery of attorneys’ fees incurred in any such proceeding if the City has elected Packet Page 67 Item 6 EXHIBIT A 17 at the initiation of that individual action or proceeding to seek recovery of its own attorneys’ fees. G. In lieu of issuing a criminal citation, the City may issue an administrative citation to any person responsible for committing, causing or maintaining a violation of this chapter. Nothing in this section shall preclude the City from also issuing a citation upon the occurrence of the same offense on a separate day. H. The remedies set forth in this chapter are cumulative and in addition to any and all other l remedies available at law or equity, whether set forth elsewhere in the San Luis Obispo Municipal Code, or in state or federal laws, regulations, or case law. In addition to other remedies provided by this chapter or by other law, any violation of this chapter may be remedied by a civil action brought by the City attorney, including but not limited to administrative or judicial nuisance abatement proceedings, civil or criminal code enforcement proceedings, and suits for injunctive relief. The remedies provided by this chapter are cumulative and in addition to any other remedies available at law or in equity. 9.10.290 Severability. If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this chapter is for any reason held to be invalid or unenforceable, such invalidity or unenforceability shall not affect the validity or enforceability of the remaining sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases of this chapter or the rules adopted hereby. The City Council of the City of San Luis Obispo hereby declares that it would have adopted each section, subsection, subdivision, paragraph, sentence, clause or phrase hereof, irrespective of the fact that any one or more other sections, subdivisions, paragraphs, sentences, clauses or phrases hereof be declared invalid or unenforceable. Packet Page 68 Item 6 EXHIBIT B Chapter 17.99: Cannabis 17.99.010 - Purpose 17.99.020 - Applicability 17.99.030 - Definitions 17.99.040 - Personal Cultivation 17.99.050 - Commercial Cannabis Businesses 17.99.010 Purpose. The purpose of this Chapter is to protect the public health, safety, and welfare, enact strong and effective regulatory and enforcement controls in compliance with State of California law, protect neighborhood character, and minimize potential for negative impacts on people, communities, and the environment within the City if San Luis Obispo by establishing land use requirements and development standards for cannabis activities. Cannabis Activity, as defined in Chapter 17.100.030 (“Definitions” “C”), includes the cultivation, possession, manufacturing, processing, storing, laboratory testing, labeling, transporting, distribution, delivery, or sale of cannabis or a cannabis product for either personal or commercial use. Therefore, this Chapter recognizes that cannabis activities require land use controls due to State legal constraints on cannabis activity, and the potential environmental and social impacts associated with cannabis activity. Nothing in this Article is intended to affect or alter federal law, which identifies marijuana (cannabis) as a Schedule I Controlled Substance. 17.99.020 Applicability. Nothing in this Article shall be construed to allow any conduct or activity relating to the cultivation, distribution, dispensing, sale, or consumption of cannabis that is otherwise illegal under local or state law, statute, rule or regulation. It is neither the intent nor the effect of this chapter to condone or legitimize the illegal use, consumption or cultivation of cannabis under state or local law and nothing herein is intended to interpret, alter, interfere with or in any way affect otherwise applicable federal law. 17.99.030 Definitions. See Section 17.100 Definitions of this code. Terms used in this ordinance that are defined terms under state cannabis statutes or regulations shall have the same meaning as the respective state definition, as now defined or as the definition may be amended by the state in the future, except as otherwise specifically provided in Section 17.100 Definitions of this code or Chapter 9.10, Cannabis Regulations, of this code. 17.99.040 Personal Cultivation. A. Indoor Personal Cultivation. Indoor personal cultivation of cannabis does not require a permit and is allowed in all private residences subject to all the following minimum performance standards: 1. All indoor personal cultivation shall occur only inside a private residence or fully-enclosed and secure accessory building or structure to a private residence. Accessory building or structure for indoor personal cultivation of cannabis does not include a greenhouse or hoop structure. Packet Page 69 Item 6 EXHIBIT B 2. Structures and equipment used for indoor cultivation, such as indoor grow lights, shall comply with all applicable building, electrical and fire code regulations as adopted by the City. 3. All accessory buildings and structures used for indoor cultivation shall comply with the City’s Zoning Regulations and Building Codes. 4. Indoor personal cultivation of cannabis may occur inside a dwelling and/or an accessory building or structure, subject to the following restrictions: a. The cumulative cultivation for cannabis shall not exceed six (6) cannabis plants per private residence. b. All personal cultivation shall be conducted by persons 21 years of age or older, and the cumulative total of cannabis plants per private residence, indoor and outdoor, shall not exceed six (6) cannabis plants, regardless of the number of persons residing on the property. 5. Personal cultivation of cannabis shall not interfere with the primary occupancy of the building or structure, including regular use of kitchen(s) or bathroom(s). 6. Cannabis cultivation must be concealed from public view at all stages of growth and there shall be no exterior evidence of cannabis cultivation occurring at the property visible with normal unaided vision from any public place, or the public right-of-way. Personal cultivation of cannabis shall be shielded to confine light and glare to the interior of the structure. 7. Nothing in this section is intended, nor shall it be construed, to preclude any landlord from limiting or prohibiting personal cultivation of cannabis by tenants. 8. Nothing in this section is intended, nor shall it be construed, to authorize commercial cultivation of cannabis at a private residence. 9. Personal cultivation of cannabis shall not create: offensive odors or excessive dust, heat, noise, light, glare, smoke, traffic, or hazards due to the use or storage of materials, processes, products or wastes, or other unreasonable impacts to persons of normal sensitivity who are living, working or lawfully present in the vicinity of the personal cultivation. 10. Cannabis cultivation areas in a private residence shall be locked at all times when the cultivator is not present. B. Outdoor Personal Cultivation. Outdoor personal cultivation of cannabis does not require a permit and is allowable at all private residences, subject to all of the following minimum performance standards: 1. Outdoor personal cultivation of cannabis is not permitted in the front yard between the public right of way and the private residence. Outdoor personal cultivation is only permitted in a rear or side yard that is entirely enclosed by a solid, opaque fence that is associated with a private residence used for residential purposes. 2. The cannabis plants shall be placed at a minimum setback of five (5) feet from the edge of canopy to the property line. 3. Cannabis cultivation must be concealed from public view at all stages of growth and there shall be no exterior evidence of cannabis cultivation occurring at the property visible by normal unaided vision from a public place or the public right-of-way. Cultivation may occur within a greenhouse or hoop structure (as long as it complies with the performance standards), but mixed light cultivation is prohibited. Packet Page 70 Item 6 EXHIBIT B 4. All outdoor personal cultivation shall be conducted by persons 21 years of age or older. 5. The cumulative total of cannabis plants cultivated outdoor shall not exceed six (6) cannabis plants per parcel containing a private residence, regardless of the number of persons residing on the property, and regardless of the number of private residences on the parcel. 6. Nothing in this section is intended, nor shall it be construed, to preclude any landlord from limiting or prohibiting cannabis cultivation by tenants. 7. Nothing in this section is intended, nor shall it be construed, to authorize commercial cultivation of cannabis at a private residence outdoors. 8. Outdoor personal cultivation of cannabis shall not create: offensive odors or excessive dust, heat, noise, light, glare, smoke, traffic, or hazards due to the use or storage of materials, processes, products or wastes, or other unreasonable impacts to people of normal sensitivity living, working or lawfully present in the vicinity of the personal cultivation. 17.99.050 Commercial Cannabis Businesses A. Commercial Cannabis Operator Permit. 1. No person or entity shall operate or conduct a commercial cannabis activity or commercial cannabis business without first obtaining both a Commercial Cannabis Operator Permit from the City pursuant to Chapter 9.10, Cannabis Regulations, of this code and a use permit from the City pursuant to this chapter to conduct the commercial cannabis activity at a specific location. Any permit authorizing commercial cannabis activity pursuant to this chapter shall be conditioned upon the holder obtaining and maintaining a City Commercial Cannabis Operator Permit and the appropriate state license for the activity. 2. No permit issued forA commercial cannabis activity pursuant to this chapter may be transferred, assigned, or bequeathed, by operation of law or otherwise as described in Chapter 9.10 Section 9.10.120. 3. The Commercial Cannabis Operator Permit must be renewed each year. 4. Expiration of the use permit shall be consistent with Chapter 17.58, Section 17.58.030(C). B. No Vested Right to Operate. No person shall have any entitlement or vested right to operate a cannabis business solely by virtue of licensing under these regulations. Operation of cannabis activity(ies) requires both the approval of a Conditional Use Permit and a Commercial Cannabis Operator Permit under Chapter 9.10 of this code, which is a revocable privilege and not a right in the City. The applicant bears the burden of proving that all qualifications for licensure have been satisfied and continuously maintained prior to conducting a cannabis business at an otherwise allowed location within the City. C. State Application Required. Filing a local application for cannabis activity(ies) with the City does not constitute an application with the State of California. A separate state application and license process must be followed through with the State. D. Application Requirements. All commercial cannabis activities require qualification through the commercial cannabis operator selection approval process in Chapter 9.10, Cannabis Regulations, of this code, a state license and a use permit for a specific location pursuant to this chapter. The application for a use permit shall include the following information: Packet Page 71 Item 6 EXHIBIT B 1. Site plan, floor plans, and a general description of the nature, square-footage, parking and type of cannabis activity(ies) being requested. 2. An operations plan including: a. A security plan to the approval of the Chief of Police, pursuant to criteria approved by resolution of the City Council, including but not limited to o n-site security measures both physical and operational and, if applicable, security measures for the delivery of cannabis associated with the commercial cannabis business and payment of taxes and fees; b. Plan for restriction of access by minors; c. Employee safety and training plan; d. Odor, noise and light management plan; e. Estimated energy usage and energy efficiency plan; f. Estimated water usage and water efficiency plans; and g. Waste management plan. g.h. For retail sales, provide an information related to educational material dissemination plan. 3. Proposed signage: a. Must comply with City’s Sign Regulations for size, area and type of sign, no exceptions allowed. b. Internal illumination of signs is prohibited. c. No portion of the cannabis plant may be used in any sign visible from the public right-of-way. d. Provide sign size, height, colors, and design of any proposed signage at the site. e. Must include a sign inside the premises that states: “Smoking, ingesting, vaping, eating or consuming cannabis or cannabis products on this site or in a public place is prohibited.” f. Must include a sign at each entrance of a retail storefront that prohibits persons under 21 years of age from entering. 4. An analysis that demonstrates neighborhood compatibility and a plan for addressing potential compatibility issues. 5. Applications for retail storefronts shall include a vicinity map showing at least one thousand (1000) feet of surrounding area and the distances to the following uses: any pre- school, elementary school, junior high school, high school, public park or playground, six hundred (600) feet from any licensed daycare center, and three hundred (300) feet from a residentially zoned area. Youth centers do not require a buffer. Distance shall be measured from the nearest point of the property line of the site that contains the commercial cannabis activity to the nearest point of the property line of the enumerated use using a direct straight-line measurement. 6. Proof of ownership, option to purchase, (or lease agreement or option to lease with landowner’s express written consent to the proposed commercial cannabis activity(ties) to be conducted on the premises) or other proof of right to apply for the permit at the location; 7. A list of all other uses on the property. E. Commercial Cannabis Development Standards Each Cannabis business is required to meet the following standards: Packet Page 72 Item 6 EXHIBIT B 1. Qualification through the Chapter 9.10, Cannabis Regulations, commercial cannabis operator selection process to apply for a commercial cannabis operator permit. Submittal of a use permit application to conduct the commercial cannabis business within the zones specified for each type of commercial activity listed below. 2. Commercial cannabis facilities shall be allowed in areas demarcated with CAN overlay zoning and as allowed in the underlying zone for each type of commercial cannabis activity. 3. All commercial cannabis facilities shall be sited and/or operated in a manner that prevents cannabis odors from being detected offsite. Commercial cannabis activities shall not create offensive or excessive odors, dust, heat, noise, light, glare, smoke, traffic, or hazards due to the use or storage of materials, processes, products or wastes, or other unreasonable impacts to people of normal sensitivity living, working or lawfully present in the vicinity of the commercial facility. 4. All commercial cannabis operations must be concealed from public view at all times and there shall be no exterior evidence of cannabis or cannabis products occurring at the property, visible with normal unaided vision from any public place, or the public right-of- way. Commercial manufacturing of cannabis or cannabis products shall be shielded to confine light and glare to the interior of the structure. 5. All commercial cannabis facilities shall include adequate measures that address enforcement priorities for commercial cannabis activities including restricting access to the public and to minors and ensuring that cannabis and cannabis products are only obtained from and supplied to other permitted licensed sources within the State and not distributed out of State. 6. The use permit to be issued under this chapter shall include, but is not limited to, the following conditions: a. The obtaining and maintaining of the Commercial Cannabis Operator Permit and appropriate state license. b. Payment of all applicable current and future state and local taxes and all applicable commercial cannabis fees and related penalties established by the City Council, including but not limited to application, administrative review, inspection, etc. c. The Commercial Cannabis Operator permit or a controlling interest in the permit may not be assigned, transferred or bequeathed, by operation of law or otherwise, unless permitted as described in Chapter 9.10, and the permit shall terminate automatically on such event. d. Any Commercial Cannabis Operator permit issued pursuant to this chapter and Chapter 9.10 expires after one year, unless renewed. e. Prohibition of on-site consumption of cannabis at: 1) at a commercial cannabis business or commercial cannabis activity location; 2) any other business, club or cooperative or event, regardless if open to the public or only to members; and 3) anywhere an entry or other fee is charged to attendees or the host or thing of value or consideration is received or exchanged. f. Prohibition of the possession, storage, sale, distribution or consumption of alcoholic beverages on the premises, or the holding of license from the State Division of Alcoholic Beverage Control for the sale of alcoholic beverages, or operating a business that sells alcoholic beverages, on or adjacent to the commercial cannabis activity site. Packet Page 73 Item 6 EXHIBIT B g. No cannabis products or cannabis accessories may be displayed in windows or visible from the public right-of-way or from places accessible to the general public h. Prohibition of minors and persons under the age of 21 on the premises, even if accompanied by a parent or guardian. i. Outdoor storage of cannabis or cannabis products is prohibited. F. Commercial Cultivation 1. Commercial cannabis cultivation. Commercial cannabis cultivation may be conditionally permitted indoors only, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator’s Permit pursuant to Chapter 9.10, Cannabis Regulations, of this code and appropriate state license, in the following zones: a. Service Commercial (C-S) b. Manufacturing (M) c. Business Park (BP) 2. A maximum of 70,000 square feet of cumulative canopy area (includes total canopy of either horizontal or vertical growing situations) for cultivation and nurseries shall be allowed for indoor commercial cannabis cultivation in the City within the zones identified above, including Microbusinesses under Subsection L below. 3. Outdoor commercial cannabis cultivation, including but not limited to cultivation in greenhouses, hoop structures, and by mixed light (part daylight/part artificial light), is prohibited. All commercial cannabis cultivation shall be conducted only inside a fully enclosed legally permitted structure that meets all applicable building and other codes. 4. Commercial cannabis cultivation conditional permits include the following: a. Specialty Cultivator – A maximum of no more than 5,000 square feet of canopy of indoor cultivation (either in horizontal or vertical growing situations) and includes processing. b. Small Cultivator – A maximum of no more than 10,000 square feet of canopy of indoor cultivation (either in horizontal or vertical growing situations) and includes processing. c. Nursery-Cannabis – A maximum of no more than 10,000 square feet of indoor propagation area (either in horizontal or vertical growing situations). 5. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. 2. Canopy areas shall be easily identifiable for inspection and measurement. Each unique area included in the total canopy calculation shall be separated by an identifiable boundary such as an interior wall or by at least 10 feet of open space (see “Canopy” definition in Chapter 17.100). 3. All indoor cannabis cultivation shall be designed to accomplish zero net energy use from the start of the operation. Packet Page 74 Item 6 EXHIBIT B 4. Pesticides and fertilizers shall be properly labeled, stored, and applied to avoid and prevent contamination through erosion, leakage, or inadvertent damage from rodents, pests, or wildlife. G. Manufacturing 1. Manufacturing (non-volatile) Permissible. Non-volatile cannabis or cannabis products manufacturing may be conditionally permitted indoors only, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit pursuant to Chapter 9.10, Cannabis Regulations, and appropriate state license, in the following zones: a. Service Commercial (C-S) b. Manufacturing (M) c. Business Park (BP) 2. Manufacturing (volatile) Prohibited. Cannabis or cannabis products manufacturing involving volatile solvents, processes, compounds or substances is prohibited 3. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. 2. Outdoor manufacturing of cannabis or cannabis products is prohibited. 3. A complete description of all products used in the manufacturing process including the cannabis supply chain, liquids, solvents, agents, and processes. 4. Storage protocol and hazard response plan. 5. Employee safety and training equipment plan, plus Materials Safety Data Sheet requirements, if any. H. Distribution 1. Commercial cannabis distribution may be conditionally permitted, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit pursuant to Chapter 9.10, Cannabis Regulations, and appropriate state license, in the following zones: a. Service Commercial (C-S) b. Manufacturing (M) c. Business Park (BP) 2. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. I. Testing Laboratory 1. Commercial cannabis testing may be conditionally permitted, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit pursuant to Chapter 9.10, Cannabis Regulations, and appropriate state license, in the following zones: a. Service Commercial (C-S) b. Manufacturing (M) c. Business Park (BP) Packet Page 75 Item 6 EXHIBIT B d. Office (O) 2. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. 2. The cannabis testing laboratory, as proposed, will comply with all the requirements of the State for the testing of cannabis, including dual licensure and participation in an authorized track and trace program. 3. The owners, investors, permittees, operators, and employees of the cannabis testing laboratory will not be associated with, nor have any financial interest in, any other form of commercial cannabis activity. 4. The cannabis testing laboratory is accredited by an appropriate accrediting agency as approved by the State and further described in Health and Safety Code Section 5238 and as it may be amended. 5. The cannabis testing laboratory operating plan demonstrates proper protocols and procedures for statistically valid sampling methods and accurate certification of cannabis and cannabis products for potency, purity, pesticide residual levels, mold, and other contaminants according to adopted industry standards. J. Retail - Storefront 1. Commercial cannabis storefront retail may be conditionally permitted, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit, and the appropriate state license, in the following zones: a. Retail Commercial (C-R) b. Service Commercial (C-S) 2. Development Standards: 1. Compliance with Subsection E. Commercial Cannabis Development Standards. 2. Only 3 retail storefronts, which must front arterial streets, will be allowed within the City. Selection of the retail commercial cannabis operator will be selected from qualified commercial cannabis operators as set forth in Chapter 9.10, Cannabis Regulations. One of the retail storefronts shall have a Medicinal License and may also have an Adult Use license. 3. Retail storefronts shall be located at least one thousand (1000) feet from any pre- school, elementary school, junior high school, high school, public park or playground, six hundred (600) feet from any licensed day care center, and three hundred (300) feet from any residentially zoned area. Youth centers do not require a buffer. Distance shall be measured from the nearest point of the property line to the nearest point of the property line of the enumerated use using a direct straight- line measurement. 4. Retail storefronts must be separated from each other by at least 1,000 feet. 5. Hours of operation shall be limited between 9:00 am to 8:00 pm. 6. Must include a sign at each entrance of a retail storefront that prohibits persons under 21 years of age from entering. K. Retail - Non-Storefront (Delivery Services) Packet Page 76 Item 6 EXHIBIT B 1.Commercial cannabis non-storefront retail may be conditionally permitted, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit pursuant to Chapter 9.10, Cannabis Regulations, and the appropriate state license, in the following zones: a.Service Commercial (C-S) b.Manufacturing (M) c.Business Park (BP) 2.Development Standards: 1.Compliance with Subsection E. Commercial Cannabis Development Standards. 2.Hours of delivery shall be limited between 6:00 am to 10:00 pm. L. Microbusiness 1.Microbusinesses fall into two groups as described below and may be conditionally permitted, subject to the requirements of this section and the obtaining and maintaining of a Commercial Cannabis Operator Permit pursuant to Chapter 9.10, Cannabis Regulations, and the appropriate state license, in the following zones. a.Microbusinesses with no more than 50% of the gross receipts being from cultivation, distribution and manufacturing are allowed in the following zones: 1.Retail Commercial (C-R) b.Microbusinesses with no more than 50% of the gross receipts being from storefront retail sales are allowed in the following zones: 1.Manufacturing (M) 2.Business Park (BP) c.Microbusinesses located in the Service Commercial (C-S) zone are not limited by gross sales receipts from cultivation, distribution, manufacturing or retail sales. 2.Microbusinesses are subject to the 70,000 square feet of canopy cultivation city-wide limitation (either in horizontal or vertical growing situations) and the limit of 3 retail storefronts fronting arterial streets city-wide set forth in Subsection J above. 3.Development Standards: 1.Compliance with Subsection E. Commercial Cannabis Development Standards. 2.A maximum of 70,000 square feet of cumulative canopy for cultivation and nurseries shall be allowed for indoor cultivation in the City within the allowed land use zones. 3.All indoor cannabis cultivation shall be designed to accomplish zero net energy use from the start of the operation. 4.Pesticides and fertilizers shall be properly labeled, stored, and applied to avoid and prevent contamination through erosion, leakage, or inadvertent damage from rodents, pests, or wildlife. 5.Only 3 retail storefronts, which must front arterial streets, will be allowed within the City. Selection of the retail commercial cannabis operator will be selected from Packet Page 77 Item 6 EXHIBIT B qualified commercial cannabis operators as set forth in Chapter 9.10, Cannabis Regulations. One of the retail storefronts shall have a Medicinal License and may also have an Adult Use license. 6.Any Microbusiness with a retail storefront shall require a Planning Commission Use Permit. 7.Retail storefronts shall be located at least one thousand (1000) feet from any pre- school, elementary school, junior high school, high school, public park or playground, six hundred (600) feet from any licensed day care center, and three hundred (300) feet from any residentially zoned area. Youth centers do not require a buffer. Distance shall be measured from the nearest point of the property line to the nearest point of the property line of the enumerated use using a direct straight- line measurement. 8.Retail storefronts must be separated from each other by at least 1,000 feet. 9.Hours of retail shall be limited to between 9:00 am to 8:00 pm and delivery shall be limited to between 6:00 am to 10:00 pm. 10.Must include a sign at each entrance of a retail storefront that prohibits persons under 21 years of age from entering. Packet Page 78 Item 6 Meeting Date: 5/15/2018 FROM: Daryl Grigsby, Public Works Director Prepared By: Brian Nelson, Acting Supervising Civil Engineer SUBJECT: 2018 STANDARD SPECIFICATIONS AND ENGINEERING STANDARDS UPDATE RECOMMENDATION 1.Adopt a Resolution entitled “A Resolution of the Council of the City of San Luis Obispo approving revised Standard Specifications and Engineering Standards for Construction”, Attachment A, approving revised Standard Specifications and Engineering Standards for Construction; and 2.Adopt a Resolution entitled “A Resolut ion of the Council of the City of San Luis Obispo approving revised Standard Specifications and Engineering Standards for Construction”, Attachment B, approving an appeal process for Standard Specifications and Engineering Standards variance; and 3.Authorize the City Engineer to release projects currently in design or approved by Council under the 2016 City Standard Specifications on a case by case basis. DISCUSSION Background The City Engineer is responsible for maintaining the Public Works Department’s S tandard Specifications and Engineering Standards (hereafter collectively referred to as “Standards”). The Standards set forth general guidelines and requirements for design and construction of City projects. In addition, they are also applicable to privat e development work within City right of way or on City property. The Standards also set a level of quality and consistency for infrastructure construction. These Standards, when combined with active inspection, ensure the longevity and function of public improvements and reduce long-term maintenance costs. In addition, the Standard Specifications provide contractual language to guide the relationship between contractors and the City during construction activities. The City Standard Specifications work in conjunction with the State of California Department of Transportation Standard Specifications (“State Book”). The City references the State Book, modified where appropriate, to satisfy City needs. The State Book covers many standard contract issues and legal requirements such as labor laws, bidding, payment, and liability. The City Standard Specifications also focus on construction guidelines for work the State does not typically handle such as water, wastewater, and park facilities. The Engineering Standar ds are pictorial construction drawings and details showing how facilities are put together. These are largely specific to City construction needs. The Public Works Capital Improvement Program updates the City Standards on a periodic basis Packet Page 79 Item 7 to reflect changes in construction practices, provide clarifications, and adopt new technologies. The City Engineer keeps suggested improvements on file and the Standards are revised during the next update. 2018 Revisions The 2018 Standards largely implement the 2015 State Book which replaced the older 2010 State Book. The 2015 State Book is the most current version in use by Caltrans and brings the City in line with the State’s best practices. Another notable modification is that the proposed 2018 Standards allow the use of reclaimed asphalt pavement (RAP) on paving projects less than 20 tons per day or on a project -by-project specific basis. While the older City Standards allowed for greater use of RAP, several quality control failures have occurred that required contractors to remove and replace completed work. City Staff recognize the benefits of using recycled materials and will continue to increase implementation of recycled materials that decreases the use of virgin materials and increases diversion of used materials from landfills. Further updates include revisions to the planting standards and updates to the master list of street trees and the list of street trees by street. For example, the 2018 Standards no longer require the planting of 100% ficus trees o n Higuera, but now allow a mixture of five selected trees, with ficus trees constituting 10% of the revised tree mixture. Updates have been made to the tree well standard to reduce the likelihood of sidewalk uplift and tripping hazards caused by street tree roots, including higher strength concrete, rebar reinforcement adjacent to tree wells, and concrete root barriers around the tree well. Engineering Standard Uniform Design Criteria have been updated to provide more guidance on City processes, other agency regulatory oversight, and State and Federal Design manuals that are commonly referenced during the design process. The new Uniform Design Criteria has also been merged with the parking and driveway standards in order to reduce the possibility of conflict between these two similar standards. A handful of projects are substantially complete with design using the City’s 201 6 Engineering Standards and Specifications. These projects are referenced to the Caltrans 2010 State Book, and this reference is not changing. To minimize impacts to project delivery, staff anticipates releasing these contracts for construction under the 201 6 standards on a case-by-case basis. Wherever possible, those projects that are substantially complete will be converted to the 201 8 Standards. Appeals Process Prior to 1995, the City’s Standard Specifications and Engineering Standards were adopted by Council and only Council could make changes to those details. In 1995, Council authorized the City Engineer to make and allow deviations from these standards both on a case-by-case basis or with revised details when that change only had a minor potential for affecting safety, liability, or other sensitive issues. With the adoption of these Standard Specification and Engineering Standards, staff is recommending that an appeal process be formalized. With this appeals process, it still allows the City Engineer to making changes to standards that have a minor Packet Page 80 Item 7 potential impact but allows the Public Works Director to be the appeal authority when the City Engineer does not support a change to the Council adopted standards. CONCURRENCES The 2018 modifications were submitted by the Public Works and Utilities Department staff. Both the Public Works and Utilities departments concur proposed mod ifications are reasonable and appropriate. The City Engineer has approved all changes. ENVIRONMENTAL REVIEW This action is not subject to the California Environmental Quality Act as it is not a project under CEQA. FISCAL IMPACT The recommended Standards changes are either minor or will have an insignificant impact on the cost of City or private development projects. This is because most of the changes involve improvements to current construction standards or City infrastructure needs. The changes are not anticipated to result in significant cost impacts to construction or development. ALTERNATIVES This item can be referred back to staff for further consideration and modification on specific items. Attachments: a - 2018 Resolution Adoption b - 2018 Resolution Appeal c - Reading File - 2018 Standard Specifications and Engineering Standards Packet Page 81 Item 7 R ______ RESOLUTION NO. ______ (2018 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO APPROVING REVISED STANDARD SPECIFICATIONS AND ENGINEERING STANDARDS FOR CONSTRUCTION WHEREAS, the Public Works Department is responsible for maintaining Standard Specifications and Engineering Standards establishing quality requirements and contract conditions for construction; and WHEREAS, the Standard Specifications and Engineering Standards must be periodically updated to allow for changes in construction practices and contract law; and WHEREAS, legally adopted Standard Specifications are necessary to provide "design and plan immunity" thereby protecting the City from possible liability. NOW, THEREFORE BE IT RESOLVED, by the Council of the City of San Luis Obispo as follows: SECTION 1. Resolution No. 10680 (2015 Series) approving previous editions of the Standard Specifications and Engineering Standards is hereby superseded and the 2018 Standard Specifications and Engineering Specifications approved herein shall be applicable to all projects advertised and approved following the approval of these standards, except as expressly provided below. SECTION 2. 2018 Standard Specifications and Engineering Standards dated and effective May 31, 2018, copies of which are on file in the Office of the City Clerk, are hereby approved. Packet Page 82 Item 7 Resolution No. _____ (2018 Series) Page 2 R ______ SECTION 3. The City Manager is authorized to release for advertising under the previous Standard Specifications, currently pending projects that are deemed by the City Engineer substantially complete with design at the time of this adoption. The Council expressly affirms its prior approval of the Standard Specifications approved by Resolution No. 10680 (2015) as applicable to those projects. Upon motion of ________________________, seconded by ________________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of ________, 2018. Mayor Heidi Harmon ATTEST: Teresa Purrington City Clerk APPROVED AS TO FORM: ___________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this ______ day of ______________, _________. Teresa Purrington City Clerk Packet Page 83 Item 7 R ______ RESOLUTION NO. ____ (2018 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA APPROVING AN APPEAL PROCESS FOR STANDARD SPECIFICATIONS AND ENGINEERING STANDARDS FOR CONSTRUCTION CHANGES WHEREAS, the Public Works Department is responsible for maintaining Standard Specifications and Engineering Standards establishing quality requirements and contract conditions for construction; and WHEREAS, the Standard Specifications and Engineering Standards are necessary to ensure that Public Works facilities are designed and constructed to minimum acceptable standards to protect the health, safety and welfare of the public; and WHEREAS, legally adopted Standard Specifications are necessary to provide "design and plan immunity" thereby protecting the City from possible liability; and WHEREAS, City Council Resolution No. 8414 – 1995 Series authorized the City Engineer to approve changes to the Standard Specifications and Engineering Standards. NOW, THEREFORE BE IT RESOLVED, by the Council of the City of San Luis Obispo as follows: SECTION 1. The City Council confirms that the City Engineer and Public Works Director are expressly authorized and hereby have the discretionary authority to approve or reject proposed changes to the Standard Specifications and Engineering Standards. SECTION 2. The City Engineer’s determination regarding a request to approve changes to Standard Specifications and Engineering Standards may be appealed to the Public Works Director. Packet Page 84 Item 7 Resolution No. ______ (2018 Series) Page 2 R ______ SECTION 3. The Public Works Director’s determination is final and not appealable. Upon motion of ________________________, seconded by ________________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _______ day of _____________. ____________________________________ Mayor Heidi Harmon ATTEST: Teresa Purrington City Clerk APPROVED AS TO FORM: ___________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this ______ day of ______________, _________. ____________________________________ Teresa Purrington City Clerk Packet Page 85 Item 7 Page intentionally left blank. Packet Page 86 Item 7 Meeting Date: 5/15/2018 FROM: Daryl R. Grigsby, Director of Public Works Prepared By: Hai Nguyen, Engineer II SUBJECT: OSOS/LEFF/SANTA BARBARA SEWERLINE REPLACEMENT PROJECT SPECIFICATION NO. 91438 RECOMMENDATION 1.Approve plans and specifications for the Osos/Leff/Santa Barbara Sewerline Project, Specification Number 91438 (Attachments “b” and “c”); and 2.Authorize staff to advertise for bids; and 3.Authorize the City Manager to award the construction contract if the lowest responsible bid is within the Engineer’s Estimate of $950,000. DISCUSSION Background Replacement of wastewater collection pipes is part of an ongoing program to replace aging, deteriorating, or deficient sewer infrastructure. This program has several objectives, inc luding, provide uninterrupted sewage flow, eliminate potential health hazards and/or effluent leakage, reduce the need for emergency repairs and reduce maintenance requirements. Furthermore, repairing defective components of sanitary sewer collection systems will reduce the infiltration/inflo w of groundwater and surface runoff into the sanitary sewer system thereby reducing operational costs. Project This project will replace approximately 700 linear feet of sewer main by open trenching on Santa Barbara and Osos. The project also includes installation of 1,750 feet of sewer main by pipe bursting on Leff, Church and Osos Streets. See Attachment “a” for a vicinity map of the project. The pipe bursting method installs a new sewer main inside the existing sewer main resulting in a new sewer main that is equal to or greater than the prior sewer main size. Replacing these sewer mains will result in lower costs to the City and reduced customer impacts associated with emergency repairs. Packet Page 87 Item 8 ENVIRONMENTAL REVIEW This project is categorically exempt from environmental review pursuant to section 15301 of the CEQA Guidelines (Existing Facilities) since it is a maintenance and replacement project. A Notice of Exemption has been filed through the Community Development Department. FISCAL IMPACT Sewerline improvements identified in this project are included in the 2017 -19 Financial Plan page E2-142 for the Waste Collection System Improvements master account. The 2017 -2019 Financial Plan allocated $780,000 for this project. Funding is available in the Wastewater Collection System Master Account (90239), which has a current balance of $2,735,495. Of the current balance, a total of $1,015,937 is available to support this request (this amount includes the $780,000 specifically allocated in the 2017-2019 Financial Plan). Additional funding of $134,563 will be taken from completed projects to meet the total project budget. There are future proposed Wastewater Collection projects which are slated for the Master Account balance. All utility improvement projects are classified as high-risk due to many unknown subsurface conditions. Previous sewerline replacement projects indicate that higher contingencies (20%- 25%) are required to cover the additional cost of modifying unknown utility conflicts and hazardous excavation encountered during construction. Staff identified 20% contingencies for this project which is not included in the Engineer’s Estimate. Wastewater Collection Engineer's Estimate:$950,000 Contingencies (20%):$190,000 Material Testing:$10,000 Printing:$500 Total for Project:$1,150,500 Total account balance $2,735,495 Total account funding available for project $1,015,937 Remaining Balance $1,719,558 Osos/Leff/Santa Barbara Sewerline Replacement Packet Page 88 Item 8 ALTERNATIVES Deny or defer approval to advertise. The City Council may choose to deny or defer the approval to advertise this project. Staff does not recommend this option, as the sewer main will continue to deteriorate and pose a high risk of catastrophic failure, resultant in sewer overflows, water quality violations, and potential fines. Attachments: a – Vicinity Map b - Council Reading File - 91438 Plans c - Council Reading File - 91438 Specifications Attachments: a - Vicinity Map b - Council Reading File - 91438 Plans c - Council Reading File - 91438 Specifications Packet Page 89 Item 8 N VICINITY MAP OSOS/LEFF/SANTA BARBARA SEWERLINE REPLACEMENT 1" = 250' Packet Page 90 Item 8 Meeting Date: 5/15/2018 FROM: Robert Hill, Interim Deputy Director, Office of Sustainability Prepared By: Chris Read, Sustainability Manager SUBJECT: AUTHORIZATION TO RELEASE A REQUEST FOR PROPOSALS FOR COMMUNITY CHOICE ENERGY TECHNICAL AND ENERGY SERVICES RECOMMENDATION 1.Authorize the release of the RFP to solicit proposals for energy and technical services to support the development and ongoing administration of a local Community Choice Energy (CCE) program pursuant to Specification No. 91669 (Attachment A); and 2.Authorize the City Manager to award a consultant services agreement to the selected consulting firm(s). DISCUSSION Background 1.Previous Council Direction In December of 2013, City staff presented the City Council with a detailed report to educate the Council and Community about Community Choice Energy (CCE). In March of 2015 , the City Council approved Resolution No. 10609 confirming the City of San Luis Obispo’s participation in the exploration of CCE. The resolution authorized participation in an inter -jurisdictional investigation into CCE feasibility allowing execution of appropriate documents to allow technical consultants to acquire energy usage load data from the electric distribution utility for analysis in feasibility study. In June of 2017, the City Council adopted the 2017-2019 Financial Plan, which identifies Climate Action as a Major City Goal. The goal includes the following objective: “Assess and report the requirements to achieve the ’net -zero carbon City’ target including feasibility analysis and implementation of a Community Choice Energy program.” In December of 2017, the City Council held a study session reviewing CCE options and provided staff direction to “pursue forming a new CCE, in conjunction with other interested jurisdictions in San Luis Obispo County and/or in PG&E territory of Santa Barbara County. If that option is not feasible, then staff should pursue joining an existing CCE such as Monterey Bay Clean Power or other comparable alternatives.” Packet Page 91 Item 9 2. About Community Choice Energy Community Choice Energy (CCE, also known as Community Choice Aggregation), authorized by Assembly Bill 117, is a state law that allows cities, counties and other authorized entities to aggregate electricity demand within their jurisdictions to purchase and/or ge nerate electricity supplies for residents and businesses within their jurisdiction while maintaining the existing electricity provider for transmission and distribution services. CCEs are typically created to provide a higher percentage of renewable energy electricity, such as wind and solar, at competitive and potentially cheaper rates than existing Investor Owned Utilities (IOUs), while giving consumers local choices and promoting the development of renewable power sources and local economic development . The City Council has been supportive of the research and development of a viable regional Community Choice Energy (CCE) program for the last several years. 3. Additional Context In January of 2018, Mayor Harmon sent letters to the County of San Luis Obispo and the Cities of Paso Robles, Atascadero, Morro Bay, Grover Beach, Pismo Beach, and Arroyo Grande. On April 24, 2018, the City of Morro Bay City Council committed to pursuing CCE program formation with the City of San Luis Obispo. In February of 2018, t he California Public Utilities Commission (CPUC) issued Resolution E - 4907, which requires new CCE programs to have one full calendar year elapse prior to serving customers. This issue has altered timing considerations and presents the following timelines: • If an implementation plan is submitted by January 1, 2019, customers can begin service on January 1, 2020 • If an implementation plan is submitted after January 1, 2019, but before December January 1, 2020, customers can begin service on January 1, 2021 Since March of 2018, staff have met with representatives from operational programs, trade groups, service providers, local experts, and the SLO Climate Coalition Task Force to vet potential approaches and understand timing issues for each. Two options are available should the City wish to begin providing CCE services in 2020: 1. Create a municipal CCE, which would operate in the City’s legal structure and provide service to accounts within the City’s municipal corporate boundary. 2. Create a multi jurisdiction CCE in partnership with the City of Morro Bay, which would operate in a newly formed joint power authority (JPA) legal structure and provide service to accounts within member jurisdictions. The City’s preferred approach is to operate the program through a JPA with Morro Bay with the intention of inviting regional jurisdictions to participate in future years. Packet Page 92 Item 9 Proposed Project Tasks Staff’s strategy to implement Council direction is to contract with a deferred compensation energy and technical service provider (or a team of providers) to draft a technical study and submit an implementation plan to the California Public Utilities Commission by the end of calendar year 2018. The service provider(s) would also complete program design tasks in 2019 and assist w ith operation in initial years (beginning in 2020). The project scope maintains flexibility to support a municipal or multi-jurisdictional JPA CCE, pending JPA progress with the City of Morro Bay as assessed in late summer. The Scope of Services provided in the RFP is intended to provide a framework for responses and may not be the specific scope of work included in the final Professional Services Agreement with the selected Proposer. Proposals are directed to be organized into the three phases as identified below, but may have an alternative task structure. The RFP allows proposals to expand, modify, or restructure the tasks of each phase to best communicate the Proposer’s service model. The RFP’s phases and tasks are as follows: • Phase 1: Program Assessment o Task 1.1: Administrative Support o Task 1.2: Prepare Technical Analysis o Task 1.3: Pro Forma/Financial Analysis o Task 1.4: Risk Analysis o Task 1.5: Program Assessment Summary and Presentation • Phase 2 and 3: Program Implementation, Launch, and Early Operations o Task 2.1: Implementation Plan o Task 2.2: Portfolio Management and Procurement Services o Task 2.3: CAISO Scheduling Coordinating Services o Task 2.4: Advisory Services o Task 2.5: Financing and Credit Solution Packet Page 93 Item 9 Proposal Review and Project Schedule The following is an outline of the anticipated schedule for proposal review and project schedule . Activity Date Issue RFP 5/17/18 Conduct pre-proposal conference 5/24/18 Proposer Questions due 5/25/18 Answers to Questions posted 5/29/18 Receive proposals 6/4/18 Complete proposal evaluation 6/15/18 Conduct finalist interviews 6/21/18-6/22/18 (estimated) Finalize staff recommendation 6/26/18 (estimated) Award contract 6/26/18 (estimated) Execute contract 7/6/18 (estimated) Start work 7/9/18 (estimated) City Council study session to preview Technical Study components, proposed JPA structure, and CCE ordinance 9/4/18 Public hearing to present Technical Study to City Council. If Council chooses to proceed, pass resolution to create and join the JPA and conduct first reading of the CCE ordinance 9/18/18 Public hearing to conduct second reading of the CCE ordinance 10/2/18 Public hearing to adopt Implementation Plan for submittal to the California Public Utilities Commission 11/27/18 Program Implementation and Operations Preparation 2019 Begin CCE Program Operation Early 2020 As noted in Attachment A, Proposals will be evaluated by a review committee based on the following non-exhaustive factors: a. Qualifications and experience of the respondent’s provision of the same or similar services. b. Capability and experience of key personnel as well as direct experience with other public and/or private agencies in similar capacities. c. History of successfully performing services for public and/or private agencies and other CCEs. d. Financial viability of the respondent . e. Cost to the Program for the services identified in the RFP. f. Proposed approach, including a clearly demonstrated understanding of the intended scope of products and services to be provided. g. Proposer’s indicated willingness and ability to work with other City vendors and consultants. h. Ability to meet required timelines or other requirements. i. Existence of and circumstances surrounding any claims and violations against the respondent, its representatives and/or partners. j. Pertinent references. Additionally, the Proposals must provide evidence of financial, technical and operational capabilities for delivery of the requested services, including audited financial statements and credit rating. Packet Page 94 Item 9 CONCURRENCES Staff worked with the SLO Climate Coalition Task Force CCE Subcommittee and incorporated feedback into the CCE program approach and RFP. The City of Morro Bay reviewed the RFP and concurs with the form and intent. ENVIRONMENTAL REVIEW Creation of a Community Choice Energy program does not constitute a project subject to environmental review under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15262. FISCAL IMPACT The RFP has been designed so that costs incurred through the contr act are deferred until the CCE program is operational, at which point the incurred costs will be repaid. The repayment of deferred costs and ongoing operational costs will be paid through CCE program operating revenues. The RFP has also been designed so that if the findings of Phase 1 indicate a CCE program is not feasible, the City may cease work and will not be responsible for deferred costs. Staff time from Administration is supported through the adopted operating budget. Additional budgeted resources ma y be needed for technical and legal advising for consulting team selection and contract agreement negotiations and will come from existing resources. ALTERNATIVES 1. The City Council could request additional information or make changes to the proposed RFP. Depending on the extend of the changes that might be requested, it may be necessary for staff to return on a later date, which would negatively impact overall project timeline. 2. The City Council could direct staff to join Monterey Bay Community Power, as d escribed in the minutes from the December 12, 2017 study session (Attachment B). 3. The City Council could elect not to proceed with Community Choice Energy at this time. Attachments: a - RFP for CCE Energy Services b - December 12_2017 City Council Minutes Packet Page 95 Item 9 Notice Requesting Proposals for COMMUNITY CHOICE ENERGY TECHNICAL AND ENERGY SERVICES The City of San Luis Obispo is requesting proposals to provide comprehensive analytics and energy-related services to support the assessment, implementation, financing, launch, and wholesale power operations of a Community Choice Energy (CCE) program pursuant to Specification No. 91669. All firms interested in receiving further c orrespondence regarding this Request for Proposals (RFP) will be required to complete a free registration using BidSync (https://www.bidsync.com/bidsync-app- web/vendor/register/Login.xhtml). All proposals must be on BidSync at or before 3:00 PM on Monday, June 4, 2018 when they will be opened publicly at in the City Hall Council Hearing Room, 990 Palm Street, San Luis Obispo, CA 93401. Proposals received after said time will not be considered. Proposals shall be submitted using the forms provided in the specification package. Proposals submitted in any manner not specified above will not be accepted. An optional pre-proposal conference will be held at 919 Palm Street (Conference Room 1), San Luis Obispo on May 24, 2018 at 11:00 AM to answer any questions that the prospective proposers may have regarding the City’s request for proposals. A call-in number is provided for those wishing to conference in by phone: 1-888-204-5987, Code: 8618289. Specification packages and additional information may be obtained at the City’s BidSync website at www.BidSync.com. Please contact Lorraine Colleran at lcolleran@slocity.org with any questions. Packet Page 96 Item 9 Packet Page 97 Item 9 Specification No. 91669 TABLE OF CONTENTS A. Description of Work 1 Background Community Characteristics CCE Objectives Scope of Services B. General Terms and Conditions 12 Proposal Requirements Contract Award and Execution Contract Performance C. Special Terms and Conditions 16 D. Insurance Requirements 19 E. References 21 F. Statement of Past Contract Disqualifications 23 Packet Page 98 Item 9 Packet Page 99 Item 9 Page 1 Section A DESCRIPTION OF WORK The City of San Luis Obispo, on behalf of itself and the City of Morro Bay invites responses to this Request for Proposals (RFP) from qualified parties, which may include but is not limited to: electric service providers, public power organizations, joint action agencies, power marketers, independent energy consultants, scheduling coordinators, and other energy-related vendors to provide the following suite of technical and energy services on an integrated services basis: ● Initial load analysis and feasibility assessment ● Development of Implementation Plan and related Financials ● Portfolio Management and Procurement Services ● CAISO Scheduling Coordinator Services ● Rate Design/Setting and other Energy-Related Advisory Services ● Long Term Procurement Planning ● Credit Solutions Requested services are to be provided during the Program as sessment and implementation/launch period, anticipated to be July 2018 – December 2019, followed by a 36 – 48-month initial Program operating period expected to commence on or about January 1, 2020. Responders should clearly identify proposed contract duration(s) and associated costs within their proposals. Please note that proposals should be based on the initial participation of San Luis Obispo and Morro Bay with the potential for the program to expand to other cities within San Luis Obispo County and Santa Barbara County’s PG&E service area. It is the intent of the specifications, terms, and conditions contained in this RFP to describe required services related to the provision of technical/energy services that will be needed for CCE assessment and, pending Council(s) approval, implementation and early operations. Services related to community outreach, marketing, customer notifications, data management, and call center support are expected to be procured under a separate RFP process in late 2018 or early 2019 pending the submittal of an Implementation Plan to the California Public Utilities Commission by January 1, 2019. A separate RFP process is also expected for the development of a local power business plan. Proposals are being solicited from qualified Proposers or a group of qualified Proposers that form a team arrangement for purposes of this solicitation. In the event a team arrangement is proposed, the team must be represented by a single prime Proposer that will be responsible for entering into an Agreement with the City, serve as the primary contact and responsible party, and have the authority to act on behalf of each member of the proposal team. The City seeks proposals that offer a “deferred compensation” model in which the City would incur no upfront costs from the Proposer. Repayment of fees associated with the CCE technical analysis and implementation costs would be paid once the program is operational over the term of the contract. Proposers should understand that Assessment/Phase 1 of this project will be undertaken at the Proposer’s risk. If, after the completion of technical evaluation further described herein, the City determines that a CCE program is not feasible at this time, the City may elect to cease further services at no retroactive or prospective cost to the City. Packet Page 100 Item 9 Page 2 Background On December 12, 2017, the City of San Luis Obispo City Council directed staff to “pursue forming a new CCE [program] in conjunction with other interested jurisdictions in San Luis Obispo County and/or in PG&E territory of Santa Barbara County.” On April 24, 2018, the City of Morro Bay City Council expressed formal interest in participating in the creation of a new CCE program. To support the potential for a regional CCE program over time, the preferred governance structure is the development of a new Joint Powers Authority similar to the operational and governance approach of many currently operational CCE programs. The City understands that California Public Utilities Commission (CPUC) Resolution E -4907 requires the City to submit an Implementation Plan to the CPUC by January 1, 2019 to begin serving customers in 2020. The Cities of San Luis Obispo and Morro Bay wish to create the program and begin service in early 2020. This RFP is being released in advance of JPA formation to maintain the Implementation Plan filing schedule. If there are delays in JPA formation, the City of San Luis Obispo is prepared, as a contingency plan, to move forward with a City-only municipal CCE program. The City intends to provide an update of the process at the pre-proposal conference and will confirm approach prior to contract execution with the selected consultant or consultant team. P roposals should be flexible enough to accommodate the preferred approach or the contingency plan. Community Characteristics Electricity Accounts and Load Characteristics As discussed above, t he preferred CCE program creation approach includes the creation of a JPA with the cities of Morro Bay and San Luis Obispo as founding and initial operating members. The JPA would provide electricity service to all eligible PG&E electricity customers in the City of San Luis Obispo and City of Morro Bay. As noted, the JPA will be designed to allow the participation of additional jurisdictions; however, at this time only the City of San Luis Obispo and City of Morro Bay have taken formal action to pursue formation of a CCE program. Tables 1 – 3, which provide calendar year 2014 and 2015 bundled account and load information for the two participating cities, should be used for the purposes of budgeting and responses to this RFP. Although not anticipated, Proposers should consider contingencies if the JPA formation process not be successful. In this case, the CCE program would be operated as a municipal program in the City of San Luis Obispo and would initially only provide service to accounts within that City. Table 1 - Community Electricity Detail by Account Type, 2014 Account Type Accounts Load (MWh) San Luis Obispo Morro Bay Total San Luis Obispo Morro Bay Total Residential 18,858 5,726 24,584 74,241 22,082 96,322 Nonresidential 4,162 830 4,992 165,324 24,431 189,755 Total 23,020 6,556 29,576 239,565 46,513 286,077 Table 2 - Community Electricity Detail by Account Type, 2015 Account Type Accounts Load (MWh) San Luis Obispo Morro Bay Total San Luis Obispo Morro Bay Total Residential 18,953 5,741 24,694 72,940 21,417 94,357 Nonresidential 4,200 845 5,045 164,532 24,465 188,996 Total 23,153 6,586 29,739 237,472 45,882 283,353 Packet Page 101 Item 9 Page 3 Table 3 – Community Electricity Summary, 2014 and 2015 Jurisdiction 2014 2015 Accounts MWh Accounts MWh City of San Luis Obispo 23,020 239,565 23,046 237,472 City of Morro Bay 6,556 46,513 6,612 45,881 Total 29,576 286,078 29,658 283,353 It is the ultimate desire to expand the program to include interested participants throughout San Luis Obispo County and Northern Santa Barbara County (communities served by PG&E). Table 4 includes account and load information for jurisdictions that are not currently participating to provide a sense of potential program expansion in future years. Table 4- Potential Future San Luis Obispo County Partner Electricity Consumption, 2014 and 2015 County Jurisdiction 2014 2015 Accounts MWh Accounts MWh San Luis Obispo City of Arroyo Grande 8,279 70,511 8,333 71,216 City of Atascadero 13,311 116,694 13,493 118,916 City of Grover Beach 6,317 33,586 6,352 32,977 City of Paso Robles 14,247 186,625 14,282 188,490 City of Pismo Beach 5,431 55,742 5,583 54,869 Uninc. County of San Luis Obispo 58,401 617,237 58,779 601,165 Santa Barbara City of Buellton 2,034 35,170 2,036 35,151 City of Guadalupe 2,111 24,440 2,125 23,564 City of Santa Maria 30,330 457,747 30,847 455,067 City of Solvang 2,984 36,075 3,017 36,134 Uninc. County of Santa Barbara* 26,946 873,405 27,113 841,953 Total Potential 170,391 2,507,232 171,960 2,459,502 *PG&E Service Territory Only Community Assets The cities of San Luis Obispo and Morro Bay are home to physical, intellectual, and natural assets that a successful CCE program will leverage and enhance, including: • Offshore wind potential – The City of Morro Bay has partnered with Trident Winds, which has studied the potential for building a 650 to 1,000 MW floating wind farm roughly 20 miles offshore of Morro Bay (note: current restrictions provided by the Navy have put a pause on the project ). • Direct access to transmission infrastructure – Significant transmission infrastructure exists in the county due to the existence of the decommissioned power plant in Morro Bay, a s well as the Diablo Canyon nuclear power plant located in the unincorporated area of the county adjacent to the City of San Luis Obispo. • San Luis Obispo Community Climate Coalition - A growing group of committed San Luis Obispo residents, businesses and organizations leveraging community expertise, creativity, and resources in order to multiply the City of San Luis Obispo’s efforts to become carbon free. • RESCO – Renewable Energy Secure Community - San Luis Obispo Renewable Energy Secure Community (SLO-RESCO), is a 2014 CA Energy Commission grant funded project, which surveyed and assessed the technical potential for local renewable and demand-‐side resource development in San Luis Obispo county. Packet Page 102 Item 9 Page 4 o Overview presentation available at http://www.energy.ca.gov/research/notices/2015-07- 29_workshop/presentations/04-San_Luis_Obispo_LPI_July15.pdf. o Full report available at: http://www.energy.ca.gov/2014publications/CEC-500-2014- 004/CEC-500-2014-004.pdf CCE Objectives The diverse strengths and needs of the JPA’s service territory create an opportunity to provide cost effective renewable electricity supply and to partner with individual member jurisdictions and their businesses, institutions, community groups, and energy users to maximize local economic impact and GHG reductions. The list below reflects high-level objectives desired by the initial partner Cities. These are expected to be revisited, amended, and refined as the progr am is developed. The Cities desire a CCE program that: • Contributes to a carbon neutral community. • Contributes to a robust local economy in consideration of the planned closure of the Diablo Canyon Nuclear Power Plant and the decommissioned power plant in Morro Bay. • Creates awareness of, pride in, and ownership of the local clean energy economy. • Operates with fiscal responsibility. • Grows strategically. • Commits to social equity. • Supports local electricity generation that prioritizes development of distributed energy resources and complements demand-side reductions. Scope of Services The specific services the City is seeking are described in the below Scope of Services. The Scope of Services is intended to provide a framework for RFP responses and is not intended to become the specific scope of work to be included in the final Contract with the selected Proposer. Proposals should be organized into the phases defined below but do not need to conform to the specific task structure outlined below. The Proposal may expand, modify, or restructure the tasks of each phase to best communicate the Proposer’s service model. As mentioned above, outreach, communications, data management, call center services, and planning for local power development will be procured under a separate RFP process, or processes, later in 2018 and early 2019. Proposers should clearly describe how the services provided by their team will support and interact with tasks to be completed by other parties as part of Phases 2 and 3, implementation/launch and program operations. If the below task structure is not followed, the Proposal should make clear how all the activities are being addressed and/or how alternative activities propos ed in place of those described below will enhance and improve CCE program delivery. Phase 1: Program Assessment Task 1.1: Administrative Support Proposers should describe how they will complete the following activities: a. Staff meetings: the selected Proposer will be expected to prepare for and participate in regular update conference calls and other meetings with staff and consultants as appropriate. b. Information for City Officials and Community members: the selected Proposer will support City Staff with technical/energy-related information as they continue to engage local officials, policymakers (City Council members, City Staff, etc.), prospective JPA members, and community members. Packet Page 103 Item 9 Page 5 c. Initial Implementation/Formation Timeline: the selected Proposer will assist with refining a timeline for CCE formation and implementation that includes a schedule of all technical and energy-related steps required for a January/February 2020 launch. d. Express goals as it relates to technical study: the selected Proposer will assist with further refining and defining the CCE program priorities and goals to support the environmental benefits and cost implications of a range of power supply scenarios during the technical analysis/assessment phase. Task 1.2: Prepare Technical Analysis A technical analysis that sizes the program and determines if environmental goals and cost competitiveness with the incumbent utility can be met is critical to confirming the viability of a CCE and receiving an affirmative vote from the City Council(s) to move forward with development of the Implementation Plan and implementation services. The City of San Luis Obispo (directly) and the City of Morro Bay (indirectly) have benefited from local feasibility studies that have supported decision making to this point. The technical analysis contemplated here will use 2016/2017 load data from PG&E and determine how many customer accounts are likely to be served by the CCE and identify related tariff designations/options under which such customers will take electric service.1 The study will quantify the expected electricity requirements of customers (total MWh) as well as periodic peak demands associated with such customers (total MW in demand requirements). The selected Proposer will review, format, and import data into an analytical framework and prepare summary level data for residential, commercial, industrial and municipal accounts. The selected Proposer will prepare load forecasts in consideration of this data, with a built-in assumption of a 10% program opt- out rate. The technical analysis should address the following: • 1.2.1: Load study and forecast: The Proposer will complete a utility load forecast that reviews historical and projected future electric energy requirements and peak demand across all customer classes, taking into account growth in renewables (e.g., rooftop solar), electric vehicle adoption, fuel switching in the built environment (e.g., any expected transitions from natural gas to electricity as the result of future building code updates), and other appropriate factors, such as compensation for line losses. This task would entail the development of class -specific forecasts that are aggregated to comprise a composite of expected electrical energy requirements (and hourly shape) for Cities of San Luis Obispo and Morro Bay. This forecast should be developed in a manner that allows for the inclusion or exclusion of current direct access electrical accounts, as identified in customer data provided by PG&E. The load study will estimate the number of MWh that will be required to serve the electric energy requirements of the CCE during the first five years of operations, including applicable peak demand for purposes of quantifying resource adequacy requirements. • 1.2.2: Rate Analysis: The Proposer will conduct a CCE and PG&E rate analysis with reasonable estimates of future PG&E generation rate changes based on historical prices, as well as factors that may affect the rate of increase into the future (e.g. local generation construction, spot market pricing, transmission rates, renewable energy mandates, declining cost of renewables, etc.). Other factors may also include ancillary services, transmission conges tion impacts, and transmission scheduling coordination costs. This analysis should be presented in a scenario analysis, with high, medium and low estimates of future PG&E pricing for all rate classes. Other considerations should include: 1 The cities of San Luis Obispo and Morro Bay will acquire 2016/2017 item 16 & 17 CCA load data from PG&E in advance of an agreement with the selected Proposer to expedite the technical study. Packet Page 104 Item 9 Page 6 a. Identification of other factors that may affect rate comparison (examples include combinations of the following: high gas, low gas, high hydro, low hydro, and rate restructuring). b. Investor Owned Utility (IOU) costs and surcharges embedded in rate forecast for direct comparison to CCE costs. Special attention should be paid to the Power Charge Indifference Adjustment (PCIA) with details on how this amount was derived and what it is anticipated to be for the length of the agreement. c. Based on IOU rate forecasts and other independent rate forecasts, compile electric generation service cost/payment estimates for prospective CCE customers in consideration of applicable IOU rate schedules. • 1.2.3: Supply Scenarios for CCE: Generate 2-3 scenarios for the energy procurement requirements of the CCE to address the goals and priorities as described above. Each scenario will examine the likely rates and competitiveness with PG&E, given current market conditions. Each scenario will also estimate greenhouse gas (GHG) impacts compared to PG&E. The selected Proposer will need to consider variations in: 1) how the renewable and non-renewable portions of the power mix can be obtained (e.g., in-state, in-county, out-of -state, unbundled vs. bundled renewable energy credits, technology preferences), 2) non-renewable portfolio attributes (e.g., system purchases, natural gas, hydro-electric), and 3) approach to resource adequacy. Please note a general preference to minimize or not procure PCC-3 unbundled RECs in each scenario. • 1.2.4: Potential Economic Impacts: The technical analysis should examine not just costs and GHG impacts of a CCE program but also provide summary-level information regarding the potential direct and indirect economic impacts of a CCE program serving the Cities and surrounding region. • 1.2.5: Sensitivity Analysis: The technical analysis should include a sensitivity analysis reflecting changes in the following variables and identify key drivers for potential rate volatility: a. Market prices for conventional (non-renewable) energy. b. Market prices for renewable energy based on preferred technologies. c. Changes in PG&E generation rates and PCIA (exit) fees and customer surcharges d. Changes in policies affecting local renewables development, including international tariffs and the possible reduction/elimination of the federal solar tax credit and production tax credit for wind power. e. Rate sensitivity to customer opt-out rates. f. Rate sensitivity to higher renewable energy portfolio targets that well exceed state RPS. g. Rate sensitivity to local renewable generation, energy efficiency, and demand-side programs. h. An evaluation of the potential impact of new policies, such as the RPS increasing to 100% by 2030 and Integrated Resource Plan requirements. i. The GHG impact of a CCE program’s initial power portfolio. Is it possible, for example, that a CCE could have a level of emissions similar or higher to PG&E in the short term, but (with increasing levels of renewables) lower emissions in the long- term? The analysis should consider a long-term GHG emissions profile compared to PG&E. Packet Page 105 Item 9 Page 7 Task 1.3: Pro Forma/Financial Analysis Based on the technical analysis, the selected Proposer will need to assess the CCE program from an overall cost-benefit perspective. T his analysis would quantify all necessary upfront/implementation costs (CCE bond requirements, other start-up costs and financing required to initiate power procurement) as well as on- going costs associated with power procurement, scheduling and administration. The result will be a 5-year proforma cash-flow analysis detailing costs and revenues under each scenario assessed in section 1.2.3 above. Quantifiable impacts shall include potential for: 1) annual and net savings over PG&E; 2) net GHG reductions; and 3) expanded use of renewable energy resources and local power development. This task will provide necessary financial metrics to make an informed decision. The selected Proposer will need to assemble known and predictable cost -of-service variables and incorporate these into base-case analyses. Predictable cost-of-service variables include energy supply/costs (forecast spot market prices, long and short-term power contracts and renewable energy minimums). Other inputs include start-up costs, cost of capital, operating and maintenance costs (administration, staffing, external technical contractors and legal assistance, billing and collections, and customer service – call centers and data and billing management). The financial analysis should also consider uncollected bills, program reserves, CCE bonding for reentry fees and PG&E surcharges. Finally, the financial analysis should consider possible feed in tariff and net energy metering programs that encourage development of renewable energy generation projects in the region by offering customers a sustained reliable payback on their investment in renewable energy and sustainable local generation system. Task 1.4: Risk Analysis The selected Proposer will also be required to analyze the potential risks to th e CCE program, and outline risk-mitigation measures. Such risks include but are not limited to: a. Any financial risk to consumers and the participating cities if the CCE fails (are there financial safeguards that should be consider ed ?) b. Financial risk of a CCE that procures too much or too little power and what the reasons might be for missing demand forecasts (e.g. higher than expected opt outs) c. Regulatory and legislative risk, due to rules changes at the CPUC or changes in state law that affect the ability of CCEs to be competitive d. The ability to procure the necessary amounts of resource adequacy and renewable supply to meet and exceed RPS standards, particularly as the RPS rises to 50% by 2030, the number of CCEs in the State greatly expands, and the demand for renewable energy spikes. e. What is the exit strategy from the CCE if the City is dissatisfied with the program and/or the City deems that the CCE is no longer viable at a later date? Is there a “re-entry” fee to go back to PG&E and if so, what is it? Task 1.5: Program Assessment Summary and Presentation The selected Proposer shall summarize the processes and outcomes from Tasks 1.2, 1.3, and 1.4 in a format that is accessible to local staff, City Councilmembers, and the public. The selected Proposer will prepare for and attend two City Council meetings in September 2018 (one at the City of San Luis Obispo, the other at the City of Morro Bay). The outcomes of the City Council meetings will provide direction to the selected Proposer to: 1) proceed with drafting the Implementation Plan, or 2) cease work. Proposers should expect to provide technical work and related deliverables three to four weeks in advance of the scheduled public hearing date of September 18 for the City of San Luis Obispo, and a simila r date, to be determined, for the City of Morro Bay. Packet Page 106 Item 9 Page 8 Additional Phase 1 Tasks Proposers may include other components of the assessment phase that they deem important for the program ultimately being successful. Phases 2 and 3: Program Implementation, Launch, and Early Operations Assuming there are no critical barriers to a successful CCE identified in Phase 1, Phases 2 and 3 will address all the tasks required to provide the first delivery of energy to customers. These tasks are outlined as follows: Task 2.1: Implementation Plan The selected Proposer will undertake all steps necessary to comply with CPUC regulations related to launching a CCE program. As an initial task, the CPUC requires that the CCE submit an Implementation Plan that covers various aspects of CCE start-up and operations. The plan will include the following: a. Process and consequences of aggregation b. Organizational structure of the program, its operations and funding c. Rate setting and other costs to participants d. Disclosure and due process in setting rates and allocating costs among participants e. Methods for entering and terminating agreements with other entities f. Participant rights and responsibilities g. Termination of the program h. Description of third parties that will be supplying electricity under the program, including information about financial, technical and operational capabilities The Implementation Plan must also include a statement of intent indicating that the program must provide universal access, reliability and equitable treatment of all classes of customers, and to meet any other requirements established by state law or by the CPUC.2 The selected proposer will be responsible for drafting the Plan and ensuring its certification by the CPUC. It is a top priority for the Cities that the implementation plan be submitted in a manner so as to ensure that it is received by CPUC no later than January 1, 2019. The selected Proposer will prepare for and attend two City Council meetings in November and/or December 2018 (one at the City of San Luis Obispo, the other at the City of Morro Bay) to assist staff with presenting the Implementation Plan to their respective City Councils for the purpose of approving the plan and directing staff to submit it to the CPUC by the end of December 2018. Proposers should expect to provide Task 2.1 deliverables three to four weeks in advance of the scheduled public hearing date of November 27 for the City of San Luis Obispo, and a similar date, to be determined, for the City of Morro Bay. Task 2.2: Portfolio Management and Procurement Services Respondent will assist in the development and implementation of a CCE portfolio management strategy, including assistance with drafting, implementing and complying with appropriate Energy Risk Management Policies. Respondents are expected to help develop and participate in a risk management process, as well as produce, maintain, and publish reports tracking CCE compliance with portfolio 2 Section 366.2 of the Public Utilities Code specifies that to form a CCE, there must be a local ordinance approved by the entity proposing the CCE, followed by the preparation of an implementation plan, which must contain specific elements outlined in the statute. After the implementation plan is approved, the CCE registers with the CPUC and provides an executed copy of the services agreement between the CCE and the utility that covers the services to be provided by the utility (e.g.: billing). Packet Page 107 Item 9 Page 9 exposure, market risk and credit limits. Respondent will assist the CCE management and staff in presenting results to the Board. Respondents will be expected to identify and present risk-mitigation strategies the CCE’s risk management team and leadership. Particular attention will be paid to proposed approaches to manage the risk to rate competitiveness posed by the Power Charge Indifference Adjustment and how to incorporate those approaches within the CCE’s procurement strategies. Responders to this RFP will also be expected to procure and/or negot iate power contracts on the CCE’s behalf, or assist the CCE in procuring all requisite energy, RA, capacity, renewable and GHG-free products to meet the CCE’s power supply portfolio requirements while fully complying with applicable regulatory and legislative mandates, CAISO rules and practices, and CCE Program goals and objectives, including its enterprise risk management policy. Activities will include issuing RFPs for multi-year off-take agreements, reviewing and evaluating bids, and negotiating bilateral power-purchase agreements with third-party power providers. Task 2.3: CAISO Scheduling Coordination Services Scheduling Coordinator (SC) services include short-term load forecasting (i.e., week-ahead, day-ahead, and hour-ahead), scheduling of load into the CAISO day-ahead market, validating CAISO statements for load settlements, minimizing and managing real-time imbalance exposure, accepting Inter-SC Trades, and managing a Congestion Revenue Rights (“CRR”) portfolio and bidding into the various CRR auctions. The proposed CCE neither owns nor has generating resources under its operational control and therefore is not requesting generation scheduling services as part of this RFP, but all respondents must possess the capability and experience to schedule future renewable generation projects that may be under contract with the CCE in the future. Additionally, SCs will be required to submit regulatory compliance filings, such as monthly RA compliance reports to the CAISO on behalf of the CCE Program. Respondents offering to provide SC services must be certified by the CAISO as a scheduling coordinator or must name a certified scheduling coordinator that will be contractually responsible for scheduling loads and resources throughout the proposed delivery term. If respondent is not a certified CAISO scheduling coordinator and will be naming a third-party to serve in this capacity, the City requires such respondents to submit proposals that are co-signed by the anticipated scheduling coordinator, verifying the intended business relationship and the anticipated scope of services to be provided. Respondents offering to provide SC services must describe the methodologies that will be used for load forecasting and CRR portfolio management as well as all information systems that will be utilized in providing SC services to the CCE and identification of those to which CCE personnel will have access. Proposals must describe the process and methods to be used for validating CAISO charges and cred its that will be passed through to the CCE Program. It is also expected that the SC will be responsible for satisfying the CAISO’s various financial requirements and obligations (i.e., collateral obligations). Task 2.4: Advisory Services There are several activities with which the CCE Program will require assistance related to utility and wholesale power services. A list of activities is provided below. Proposers should add service/task areas that are recommended but not otherwise included below: • 2.4.1: Regulatory and Legal Compliance: Coordinate with CCE management and staff to ensure registration and compliance with all regulatory requirements pertaining to CCEs such as: Packet Page 108 Item 9 Page 10 completion of the utility service agreement, posting of the CCE performance bond, RPS and integrated resource plan reporting, resource adequacy, energy storage implementation, and re- certification of implementation plan when necessary. This function would also involve general monitoring of ongoing regulatory proceedings at the CPUC (as well as proposed laws at the legislature) that may materially affect CCE functions and competitiveness and providing comments and/or testifying at relevant forums when appropriate. Of particular concern would be impacts on CCA fees, such as the departing load charge, resource adequacy, and changes around the cost allocation mechanism. • 2.4.2: Financial Planning and Rate Setting: Assist CCE staff and management with program financial planning including development of annual operating budgets and making budget presentations to the JPA Board of Directors as appropriate. This task also includes managing/supporting the rate-setting process and presenting proposed rates to the Board for approval. Proposer will need to conduct annual rate analyses in establishing a rate setting methodology and design that meets the annual budgetary revenue requirements set by the Board and staff. This will include recovery of all expenses and any reserves or coverage requirements set forth in bond covenants or other debt-service requirements. The CCE Program anticipates a rate structure similar to PG&E’s rate schedules. Included in the rate structure should be consideration of policies that further encourage local renewable energy development, including but not limited to: a) A feed-in-tariff program to incentivize renewable energy projects within the Program service territory; b) A net energy metering tariff that encourages solar installation on the customer side of the meter; c) A 100% renewable and/or 100% carbon free, opt-in choice. Customers would be offered a 100% renewable energy or carbon free option at a premium price, based on the costs of power supply. • 2.4.3 Policy and Program Development: If requested, assist CCE staff and management with various operational and procurement related policies including energy risk management policies. Possible program support could include energy efficiency program development and administration, local power development projects, job training and energy storage initiatives. Policies could include, as discussed previously, feed-in-tariff and net energy metering programs. • 2.4.4: Integrated Resource Planning/Long-Term Power Procurement: Assist CCE Program with developing a long-term integrated resource plan that considers both demand-side reductions (through energy efficiency and demand response) as well as conventional/renewable supply. The resource plan will estimate the percentage of total electricity demand that will come from renewable and non-renewable resources. This should take into consideration SB 350’s Integrated Resource Planning requirements and other relevant factors. If requested, the selected Proposer will work with CCE staff to issue RFPs for multi-year, off-take agreements, reviewing and evaluating bids and negotiating bilateral power-purchase agreements with third-party power providers. Proposer may also be requested to help implement elements of a soon to be developed Local Power Business Plan. • 2.4.5: Other Services: Identify other advisory related services and tasks which may not have been included in this RFP which Proposer deems are important to the success of the Program. Comprehensive proposals that identify opportunities above and beyond standard Program operations are encouraged. Packet Page 109 Item 9 Page 11 Task 2.5: Financing and Credit Solution There will be several short-term financial needs that the CCE will need to fund prior to receipt of revenues including but not limited to: paying settlements with power suppliers and CAISO, providing credit support to power suppliers and CAISO, paying utility service fees, and posting the CPUC performance bond. In addition to deferred compensation for services rendered prior to program launch, the City will give preference to Proposers to this RFP that are able to provide credit support for the CCE’s wholesale energy market financing requirements and that are able to clearly present the credit terms, costs, and limits of a proposed credit solution. Additional Phase 2 and 3 Tasks Proposers may include other components of the launch phase that they deem important in the program ultimately being successful. Proposers may also include additional power -related components of the operations phase that they deem important including innovative or value-added services proposed beyond the basic requirements of CCE wholesale power operations outlined above. Packet Page 110 Item 9 Page 12 Section B GENERAL TERMS AND CONDITIONS PROPOSAL REQUIREMENTS 1. Requirement to Meet All Provisions. Each individual or firm submitting a proposal (proposer) shall meet all of the terms, and conditions of this Request for Proposals (RFP) specifications package. By virtue of its proposal submittal, the proposer acknowledges agreement with and acceptance of all provisions of the RFP specifications. 2. Proposal Submittal. Each proposal must be submitted using the form(s) provided in the specifications and accompanied by any other required submittals or supplement al materials. Proposal documents shall be submitted on BidSync. If proposers have any trouble submitting a bid, they should contact BidSync Support at support@BidSync.com or via phone at (800) 990-9339. 3. Insurance Certificate. Each proposal must include a certificate of insurance showing: a. The insurance carrier and its A.M. Best rating. b. Scope of coverage and limits. c. Deductibles and self-insured retention. The purpose of this submittal is to generally assess the adequacy of the proposer’s insurance coverage during proposal evaluation; as discussed under paragraph 12 below, endorsements are not required until contract award. The City’s insurance requirements are detailed in Section E. 4. Proposal Withdrawal and Opening. A proposer may withdraw its proposal, without prejudice prior to the time specified for the proposal opening, by submitting a new proposal on BidSync prior to the closing time. No proposal received after the time specified or at any place other than that stated in the “Notice Inviting Bids/Requesting Proposals” will be considered. All proposals will be opened and declared publicly. Proposers or their representatives are invited to be present at the opening of the proposals. 5. Submittal of One Proposal Only. No individual or business entity of any kind shall be allowed to make or file, or to be interested in more than one proposal, except an alternative proposal when specifically requested; however, an individual or business entity that has submitted a sub-proposal to a proposer submitting a proposal, or who has quoted prices on materials to such proposer, is not thereby disqualified from submitting a sub-proposal or from quoting prices to other proposers submitting proposals. 6. Communications. All questions related to the solicitation must be submitted on BidSync on or before May 25, 2018. Other requests for information must be submitted to the Purchasing Analyst indicated as a contact on the solicitation. CONTRACT AWARD AND EXECUTI ON 7. Proposal Retention and Award. The City reserves the right to retain all proposals for a period of 60 days for examination and comparison. The City also reserves the right to waive non-substantial irregularities in any proposal, to reject any or all proposals, to reject or delete one part of a proposal and accept the other, except to the extent that proposals are qualified by specific limitations. See Packet Page 111 Item 9 Page 13 the “special terms and conditions” in Section C of these specifications for proposal evaluation and contract award criteria. 8. Competency and Responsibility of Proposer. The City reserves full discretion to determine the competence and responsibility, professionally and/or financially, of proposers. Proposers will provide, in a timely manner, all information that the City deems necessary to make such a decision. 9. Contract Requirement. The proposer to whom award is made (Contractor) shall make every reasonable effort to expedite contract negotiations and execute a written contract with the City in a timely fashion so as to allow the submittal of the Implementation Plan to the CPUC as described above. Proposers shall include contract negotiations as an item in their proposed project schedule. 10. Insurance Requirements. The Contractor shall provide proof of insurance in the form, coverages and amounts specified in Section E of these specifications within 10 (ten) calendar days after notice of contract award as a precondition to contract execution. 11. Business License & Tax. The Contractor must have a valid City of San Luis Obispo business license & tax certificate before execution of the contract. Additional information regarding the City’s business tax program may be obtained by calling (805) 781-7134. CONTRACT PERFORMANCE 12. Ability to Perform. The Contractor warrants that it possesses, or has arranged through subcontracts, all capital and other equipment, labor, materials, and licenses necessary to carry out and complete the work hereunder in compliance with any and all federal, state, county, city, and special district laws, ordinances, and regulations. 13. Laws to be Observed. The Contractor shall keep itself fully informed of and shall observe and comply with all applicable state and federal laws and county and City of San Luis Obisp o ordinances, regulations and adopted codes during its performance of the work. 14. Payment of Taxes. The contract prices shall include full compensation for all taxes that the Contractor is required to pay. 15. Permits and Licenses. The Contractor shall procure all permits and licenses, pay all charges and fees, and give all notices necessary. 16. Safety Provisions. The Contractor shall conform to the rules and regulations pertaining to safety established by OSHA and the California Division of Industria l Safety. 17. Public and Employee Safety. Whenever the Contractor’s operations create a condition hazardous to the public or City employees, it shall, at its expense and without cost to the City, furnish, erect and maintain such fences, temporary railings, barricades, lights, signs and other devices and take such other protective measures as are necessary to prevent accidents or damage or injury to the public and employees. 18. Preservation of City Property. The Contractor shall provide and install suitable safeguards, approved by the City, to protect City property from injury or damage. If City property is injured or damaged resulting from the Contractor’s operations, it shall be replaced or restored at the Contractor’s expense. The facilities shall be replaced or restored to a condition as good as when the Contractor began work. Packet Page 112 Item 9 Page 14 19. Immigration Act of 1986. The Contractor warrants on behalf of itself and all subcontractors engaged for the performance of this work that only persons authorized to work in t he United State pursuant to the Immigration Reform and Control Act of 1986 and other applicable laws shall be employed in the performance of the work hereunder. 20. Contractor Non-Discrimination. In the performance of this work, the Contractor agrees that it will not engage in, nor permit such subcontractors as it may employ, to engage in discrimination in employment of persons because of age, race, color, sex, national origin or ancestry, sexual orientation, or religion of such persons. 21. Work Delays. Should the Contractor be obstructed or delayed in the work required to be done hereunder by changes in the work or by any default, act, or omission of the City, or due to unforeseen circumstances, then the time of completion may, at the City’s sole option, be extended for such periods as may be agreed upon by the City and the Contractor. In the event that there is insufficient time to grant such extensions prior to the completion date of the contract, the City may, at the time of acceptance of the work, waive liquidated damages that may have accrued for failure to complete on time, due to any of the above, after hearing evidence as to the reasons for such delay, and making a finding as to the causes of same. 22. Payment Terms. The City seeks a “deferred compensation” arrangement that would incur no upfront costs for pre-revenue activities including program assessment, implementation and launch. The assessment phase (Phase 1) of the Scope of Work would be undertaken by the Proposer at the Proposer’s risk. The Proposer would receive deferred compensation and on-going operations fees contingent on direction by the City of San Luis Obispo City Council to continue work based on the findings of Task 1.2/Technical Analysis. The deferred compensation payments and operations fees will commence once the CCE program is operational and receiving revenues, likely through a “lock box” account funded by CCE program operations. Payment terms from the “lock box” account will be agreed upon through contract negotiations between the Proposer and the City. 23. Inspection. The Contractor shall furnish City with every reasonable opportunity for City to ascertain that the services of the Contractor are being performed in accordance with the requirements and intentions of this contract. All work done and all materials furnished, if any, shall be subject to the City’s inspection and approval. The inspection of such work shall not relieve Contractor of any of its obligations to fulfill its contr act requirements. 24. Audit. The City shall have the option of inspecting and/or auditing all records and other written materials used by Contractor in preparing its invoices to City as a condition precedent to any payment to Contractor. 25. Interests of Contractor. The Contractor covenants that it presently has no interest, and shall not acquire any interest—direct, indirect or otherwise—that would conflict in any manner or degree with the performance of the work hereunder. The Contractor further covenants that, in the performance of this work, no subcontractor or person having such an interest shall be employed. The Contractor certifies that no one who has or will have any financial interest in performing this work is an officer or employee of the City. It is hereby expressly agreed that, in the performance of the work hereunder, the Contractor shall at all times be deemed an independent contractor and not an agent or employee of the City. 26. Hold Harmless and Indemnification. Contractor agrees to defend, indemnify, protect and hold the City and its agents, officers and employees harmless from and against any and all claims asserted or liability established for damages or injuries to any person or property, including injury to Contractor's employees, agents or officers which arise from or are connected with or Packet Page 113 Item 9 Page 15 are caused or claimed to be caused by the acts or omissions of Contractor, and its agents, officers or employees, in the performance of all obligations under this Agreement, and all expenses of investigating and defending against same; provided, however, that Contractor's duty to indemnify and hold harmless shall not include any claims or liability arising from the established sole negligence or willful misconduct of the City, its agents, officers or employees. 27. Contract Assignment. The Contractor shall not assign, transfer, convey or otherwise dispose of the contract, or its right, title or interest, or its power to execute such a contract to any individual or business entity of any kind without the previous written consent of the City. 28. Contract Assignment by City. The terms and conditions of the Contract Agreement may be assigned by City without the prior consent of Contractor to the Joint Powers Authority created for the purpose of providing CCE services to the Cit y of San Luis Obispo in partnership with the City of Morro Bay and other municipal agencies yet to be determined. 29. Termination. If, during the term of the contract, the City determines that the Contractor is not faithfully abiding by any term or condition contained herein, the City may notify the Contractor in writing of such defect or failure to perform. This notice must give the Contractor a 10 (ten) calendar day notice of time thereafter in which to perform said work or cure the deficiency. If the Contractor has not performed the work or cured the deficiency within the ten days specified in the notice, such shall constitute a breach of the contract and the City may terminate the contract immediately by written notice to the Contractor to said effect. Thereafter, neither party shall have any further duties, obligations, responsibilities, or rights under the contract except, however, any and all obligations of the Contractor’s surety shall remain in full force and effect, and shall not be extinguished, reduced, or in any manner waived by the terminations thereof. In said event, the Contractor shall be entitled to the reasonable value of its services performed from the beginning date in which the breach occurs up to the day it received the City’s Notice of Termination, minus any offset from such payment representing the City’s damages from such breach. “Reasonable value” includes fees or charges for goods or services as of the last milestone or task satisfactorily delivered or completed by the Contractor as may be set forth in the Agreement payment schedule; compensation for any other work, services or goods performed or provided by the Contractor shall be based solely on the City’s assessment of the value of the work-in-progress in completing the overall work scope. The City reserves the right to delay any such payment until completion or confirmed abandonment of the project, as may be determined in the City’s sole discretion, so as to permit a full and complete accounting of costs. In no event, however, shall the Contractor be entitled to receive in excess of the compensation quoted in its proposal. Packet Page 114 Item 9 Page 16 Section C SPECIAL TERMS AND CONDITIONS 1. Contract Award. Subject to the reservations set forth in paragraph 7 of Section B (General Terms and Conditions) of these specifications, the contract will be awarded based on the proposal content described in paragraph 7 and the evaluative criteria set forth in paragraph 8, below. 2. Contract Term. Requested services are to be provided during the Program assessment and implementation/launch period, anticipated to be July 2018 – December 2019, followed by a 36 – 48 month initial Program operating period expected to commence on or about January 1, 2020 . Responders should clearly identify proposed contract duration(s) and associated costs within their proposals. The prices quoted for services must be valid for the entire period indicated above unless otherwise conditioned by the proposer in its proposal. 3. Contract Extension. The term of the contract may be extended by mutual consent for an additional period to be negotiated six months prior to the end of the contract. 4. Contractor Invoices. The Contractor shall deliver a monthly invoice to the Cit y, with attached copies of work order forms or detail invoices as supporting detail, irrespective of the deferred compensation model contemplated herein so as to ensure that expenditures are not “over -advanced” relative to the agreed upon compensation. 5. Submittal of References. Each proposer shall submit a statement of qualifications and 3 references on the form provided in this RFP package. 6. Statement of Contract Disqualifications. Each proposer shall submit a statement regarding any past governmental agency bidding or contract disqualifications on the form provided in the RFP package. 7. Proposal Content. Your proposal must include the following information: Submittal Forms a. Proposal submittal summary (cover letter) that includes the following: • Name, address, and telephone and email of Proposer and primary contact person. • If team arrangement is proposed, describe the structure of the relationship and any past working relationships on similar projects. • Name of entity that would be the prime Contractor and sign the Agreement, and the entity's legal form. • A statement that you have reviewed the requirements of the project as described in this RFP, its enclosures, and all addenda, by listing all addenda. • The cover letter and any forms must be signed by an officer or agent of the Proposer authorized to bind the Proposer. In signing proposal, the Proposer agrees that the terms of proposal and the cost as submitted by Proposer are firm for a period of 120 days from proposal due date. b. Certificate of insurance. c. Examples of professional work products related to establishment of a CCE Program. Qualifications d. Experience of your firm in performing similar services. e. Resumes or bios of the individuals who would be assigned to this project, including any sub-consultants. Packet Page 115 Item 9 Page 17 f. Standard hourly billing rates for the assigned staff, including any sub -consultants. g. Description of how the proposal team has attained or fulfills the knowledge, experience, abilities, and capacity necessary to fulfill the Scope of Services. h. Statement and explanation of any instances where your firm has been removed from a project or disqualified from proposing on a project. Work Program j. Description of your approach to completing the work. k. Tentative schedule by phase and task for completing the work. l. Estimated hours for your staff in performing each major phase of the work, including sub - consultants. m. Services or data to be provided by the City. n. Any other information that would assist us in making this contract award decision. Compensation p. A cost proposal detailing the full cost of the services proposed and how those fees are structured. Proposers should provide specific budgets (broken down by task) or specify fee levels. Proposers may also propose varying fee structures such as consulting fees ($ per hour or fixed $ sums by deliverable) for one phase and management fees ($ per kWh or $ per CCE customer) for another. Proposers shall clearly identify how costs incurred prior to program operation will be deferred and shall clearly identify the schedule by which they will be repaid. Additionally, proposers shall clearly state that any costs accumulated through the course of Phase 1 will only be recovered if the City affirms, through Council action, their desire to move to Phase 2. 8. Proposal Evaluation and Selection. Proposals will be evaluated by a review committee based on the following non-exhaustive factors: a. Qualifications and experience of the respondent’s provision of the same or similar services; b. Capability and experience of key personnel as well as direct experience with other public and/or private agencies in similar capacities; c. History of successfully performing services for public and/or private agencies and other CCEs; d. Financial viability of the respondent; e. Cost to the City for the services identified in this RFP; f. Proposed approach, including a clearly demonstrated understanding of the intended scope of products and services to be provided; g. Proposer’s indicated willingness and ability to work with other City vendors and consultants; h. Ability to meet required timelines or other requirements; i. Existence of and circumstances surrounding any claims and violations against the respondent, its representatives and/or partners; j. Pertinent references. The City reserves the right to consider factors other than those indicated above and to request additional information from any/all respondents as part of the selection process. Additionally, the respondent must provide evidence of financial, technical and operational capabilities for delivery of the requested services, including: a. Audited financial statements for the most recent previous two years or a web-link where such information is accessible. b. If available, a credit rating from two of the following: Standard & Poor’s, Moody’s, or Fitch Investor Services from the most recent rating agency report. Packet Page 116 Item 9 Page 18 Through issuance of this RFP, the City makes no commitment to any bidder and provides no guarantee that a contract will be awarded. The City reserves the right to discontinue this RFP process at any time for any reason. All proposals that are deemed on time and complete will be evaluated by a review committee. The review committee may be composed of City of San Luis Obispo and City of Morro Bay staff and other parties that have expertise or experience in CCE Technical & Energy Services . The review committee will score the proposals in accordance with the evaluation criteria set forth in this RFP. The evaluation of the proposals shall be within the sole judgment and discretion of the City and its designated review committee. As reflected above, contract award will not be based solely on price, but on a combination of factors as determined to be in the best interest of the City. After selecting a finalist, the City reserves the right to further negotiate the proposed work and/or method and amount of compensation. 9. Proposal Review and Award Schedule. The following is an outline of the anticipated schedul e for proposal review and contract award: a. Issue RFP 5/16/18 b. Conduct pre-proposal conference 5/24/18; 11:00 AM c. Proposer Questions due 5/25/18 d. Answers to Questions posted 5/29/18 c. Receive proposals 6/4/18, 3:00 PM d. Complete proposal evaluation 6/15/18 (estimate only) e. Conduct finalist interviews 6/21/18 – 6/22/18 (estimate only) f. Finalize staff recommendation 6/26/18 (estimate only) g. Award contract 6/26/18 (estimate only) h. Execute contract 7/6/18 (estimate only) i. Start work 7/9/18 (estimate only) 10. Pre-Proposal Conference. An optional pre-proposal conference will be held at the following location, date, and time to answer any questions that prospective proposers may have regarding this RFP: Thursday, May 24; 11:00AM City of San Luis Obispo 919 Palm Street San Luis Obispo, CA 93401 1-888-204-5987, Code: 8618289 11. Ownership of Materials. Al original drawings, plan documents and other materials prepared by or in possession of the Contractor as part of the work or services under these specifications shall become the permanent property of the City and shall be delivered to the City upon demand. 12. Release of Reports and Information. Any reports, information, data, or other material given to, prepared by or assembled by the Contractor as part of the work or services under these specifications shall be the property of City and shall not be made available to any individual or organization by the Contractor without the prior written approval of the City. 13. Copies of Reports and Information. If the City requests additional copies of reports, drawings, specifications, or any other material in addition to what the Contractor is required to furnish in limited quantities as part of the work or services under these specifications, the Contractor shall Packet Page 117 Item 9 Page 19 provide such additional copies as are requested, and City shall compensate the Contractor for the costs of duplicating of such copies at the Contractor’s direct expense. Section D INSURANCE REQUIREMENTS: Consultant Services The Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the Contractor, its agents, r epresentatives, employees, or subcontractors. Minimum Scope of Insurance. Coverage shall be at least as broad as: 1. Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001). 2. Insurance Services Office form number CA 0001 (Ed. 1/87) covering Automobile Liability, code 1 (any auto). 3. Workers’ Compensation insurance as required by the State of California and Employer’s Liability Insurance. 4. Errors and Omissions Liability insurance as appropriate to the consultant’s profession. Minimum Limits of Insurance. Contractor shall maintain limits no less than: 1. General Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. 2. Automobile Liability: $1,000,000 per accident for bodily injury and property damage. 3. Employer’s Liability: $1,000,000 per accident for bodily injury or disease. 4. Errors and Omissions Liability: $1,000,000 per occurrence. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its officers, officials, employees and volunteers; or the Contractor shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses. Other Insurance Provisions. The general liability and automobile liability policies are to contain, or be endorsed to contain, the following provisions: 1. The City, its officers, officials, employees, agents and volunteers are to be covered as insureds as respects: liability arising out of activities performed by or on behalf of the Contractor; products and completed operations of the Contractor; premises owned, occupied or used by the Contractor; or automobiles owned, leased, hired or borrowed by the Contractor. The coverage shall contain no special limitations on the scope of protection afforded to the City, its officers, officials, employees, agents or volunteers. 2. For any claims related to this project, the Contractor’s insurance coverage shall be primary insurance as respects the City, its officers, officials, employees, agents and volunteers. Any insurance or self-insurance maintained by the City, its officers, officia ls, employees, agents or volunteers shall be excess of the contractor’s insurance and shall not contribute with it. 3. The Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer’s liability. Packet Page 118 Item 9 Page 20 4. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be suspended, voided, canceled by either party, reduced in coverage or in limits except after thirty (30) days’ prior written notice by certified mail, return receipt requested, has been given to the City. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best’s rating of no less than A:VII. Verification of Coverage. Contractor shall furnish the City with a certificate of insurance showing maintenance of the required insurance coverage. Original endorsements effecting general liability and automobile liability coverage required by this clause must also be provided. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements are to be received and approved by the City before work commences. Packet Page 119 Item 9 Page 21 Section E Proposal Submittal Forms - REFERENCES Number of years engaged in providing the services included within the scope of the specifications under the present business name: ___________________. Describe fully the last three contracts performed by your firm that demonstrate your ability to provide the services included with the scope of the specifications. Attach additional pages if required. The City reserves the right to contact each of the references listed for additional information regarding your firm’s qualifications. Reference No. 1 Customer Name Contact Individual Telephone & FAX number Street Address City, State, Zip Code Description of services provided including contract amount, when provided and project outcome Reference No. 2 Customer Name Contact Individual Telephone & FAX number Street Address City, State, Zip Code Description of services provided including contract amount, when provided and project outcome Reference No. 3 Customer Name Contact Individual Telephone & FAX number Street Address City, State, Zip Code Description of services provided including contract amount, when provided and project outcome Packet Page 120 Item 9 Page 22 Packet Page 121 Item 9 Page 23 Section F Proposal Submittal Forms - STATEMENT OF PAST CONTRACT DISQUALIFICATIONS The proposer shall state whether it or any of its officers or employees who have a proprietary interest in it, has ever been disqualified, removed, or otherwise prevented from bidding on, or completing a federal, state, or local government project because of the viola tion of law, a safety regulation, or for any other reason, including but not limited to financial difficulties, project delays, or disputes regarding work or product quality, and if so to explain the circumstances. ◼ Do you have any disqualification as described in the above paragraph to declare? Yes ❑ No ❑ ◼ If yes, explain the circumstances. Executed on ______________________________ at ______________________________ under penalty of perjury of the laws of the State of California, that the foregoing is true and correct. ______________________________________ Signature of Authorized Proposer Representative Packet Page 122 Item 9 Page 24 Packet Page 123 Item 9 Council Minutes City Hall, 990 Palm Street, San Luis Obispo Tuesday, December 12, 2017 Special Meeting of the City Council CALL TO ORDER A Special Meeting of the San Luis Obispo City Council was called to order on Tuesday, December 12, 2017 at 4:00 p.m. in the Council Chamber, located at 990 Palm Street, San Luis Obispo, California, by Mayor Harmon. ROLL CALL Council Members Present: Council Members Carlyn Christianson, Aaron Gomez, Andy Pease, Vice Mayor Dan Rivoire, and Mayor Heidi Harmon. Council Members Absent: None City Staff Present: Derek Johnson, City Manager; Christine Dietrick, City Attorney; Greg Hermann, Acting Assistant City Manager; and Carrie Gallagher, City Clerk; were present at Roll Call. Other staff members presented reports or responded to questions as indicated in the minutes. STUDY SESSION 1. COMMUNITY CHOICE ENERGY STUDY SESSION Acting Assistant City Manager Hermann and Community Development Director Codron provided an in-depth staff report with the user of a Power Point presentation and responded to Council questions. Marc Adato, Community Outreach Coordinator Jen Greigor, County of Santa Barbara County Energy and Sustainability Initiatives, provided feasibility study information. Eric Veium, SLO Clean Energy, clarified resolution language. Chris Reed, County of San Luis Obispo. Benjamin Eichert, Director of Green Power, State Wide Non -Profit. Public Comments: Robert Wolfe San Luis Obispo Page I Packet Page 124 Item 9 San Luis Obispo Special City Council Minutes of December 12, 2017 _ Pay -e 2 Pete Schwartz Eric Veium John Smigecski Benjamin Eichert Justin Bradshaw Eric Meyer Andrew Folick End of Public Comment --- By consensus, Council received, filed and provided staff direction on the following: 1. Receive and file the Technical Feasibility Study on Community Choice Energy ( CCE) for the Tri -County area including San Luis Obispo County, Santa Barbara County, and Ventura County; and 2. Receive and file an initial feasibility study prepared by Pilot Power Group for the intra - county region — City of San Luis Obispo and County of San Luis Obispo; and 3. Provide staff with direction regarding whether or not to continue to pursue community choice energy options as follows: Council provided direction to pursue forming a new CCE, in conjunction with other interested jurisdictions in San Luis Obispo County and/or in PG&E territory of Santa Barbara County. If that option is not feasible, then staff should pursue joining an existing CCE such as Monterey Bay Clean Power or other comparable alternatives. ADJOURNED AT 5:40 PM TO THE SPECIAL MEETING OF DECEMBER 12, 2017 TO BEGIN AT 6:00 PM IN THE COUNCIL CHAMBER Packet Page 125 Item 9 Page intentionally left blank. Packet Page 126 Item 9 Meeting Date: 5/15/2018 FROM: Carrie Mattingly, Utilities Director Prepared By: Brigitte Elke, Utilities Business Manager SUBJECT: WATER RESOURCE RECOVERY FACILITY PROJECT – SRF LOAN RESOLUTION AMENDMENT RECOMMENDATION Adopt a resolution amending the language of Resolution No . 10762 (2016 Series), pledging sewer fund revenues and the Sewer Fund to the State Water Resources Control Board for the financing of the Water Resource Recovery Facility project. DISCUSSION Background On December 13, 2016, the City Council adopted Resolution No. 10762 (2016 Series) (Attachment A), pledging sewer fund revenues to the State Water Resources Control Board (Board) for a Water Resource Recovery Facility (WRRF) project loan for $140 million. The resolution is an integral part of the application that was subsequently submitted to the Board. In December 2017, the SWRCB confirmed that the SRF loan would be granted and the application has since made its way through the various approval departments at the Board. However, there is one change that the Board since has implemented that affects the revenue pledge resolution passed on December 13, 2016. In order to have more flexibility, the Board now requires that the loan is secured by not only the net rate revenue, but the Sewer Fund as a whole. As an Enterprise Fund, the Sewer Fund carries unrestricted working capital or fund equity that could be used by Council action. Should the Sewer Fund for any reason fall short on net revenue on any given year, the resolution (Attachment B) will allow the fle xibility to tab the unrestricted working capital to secure the loan. FISCAL IMPACT There is no fiscal impact to this action. The resolution is part of the application package to receive a SRF loan for the WRRF project. Packet Page 127 Item 10 ALTERNATIVE The City Council could choose not to secure the loan with Sewer Fund equity. This is not recommended as the loan approval depends on the language in the resolution being amended. Attachments: a - Resolution No. 10762 (2016 Series) b - Amended Resolution for Revenue Pledge Packet Page 128 Item 10 RESOLUTION NO. 10762 (2016 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, PLEDGING SEWER FUND REVENUES TO THE STATE WATER RESOURCES CONTROL BOARD FOR THE FINANCING OF THE WATER RESOURCE RECOVERY FACILITY UPGRADE WHEREAS, the City of San Luis Obispo's Water Resource Recovery Facility is in need of upgrades to fulfill its regulatory mandates and capacity requirements for full build -out of the City; and WHEREAS, the City Council desires to finance the construction phase of the Water Resource Recovery Facility upgrade through the State Water Resources Control Board; and WHEREAS, the City Council directed staff to submit an application to the State Water Resources Control Board for the applicable financing. NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of San Luis Obispo as follows: SECTION 1. The City of San Luis Obispo will dedicate and pledge sewer rate revenue from its Sewer Fund to payment of any and all Clean Water State Revolving Fund financing for the Water Resource Recovery Facility Upgrade project (the "Project"). SECTION 2. The City of San Luis Obispo commits to collecting such revenues and maintaining the Sewer Fund throughout the term of such financing and until the City of San Luis Obispo has satisfied its repayment obligation thereunder unless modifications or change is approved in writing by the State Water Resources Control Board. SECTION 3. So long as the financing agreement is outstanding, the City of San Luis Obispo's pledge hereunder shall constitute a lien in favor of the state Water Resources Control Board on the foregoing fund and revenue without any further action necessary. So long as the financing agreement is outstanding, the City of San Luis Obispo commits to maintain the Sewer Fund and its revenue at levels sufficient to meet its obligations under the financing agreement. Upon motion of Council Member Christianson, seconded by Council Member Pease, and on the following roll call vote: AYES: Council Members Christianson, Gomez and Pease, Vice Mayor Rivoire, and Mayor Harmon NOES: None ABSENT: None R 10762 Packet Page 129 Item 10 Resolution No. 10762 (2016) Page 2 The foregoing resolution was adopted this 13th day of December 2016. A:If- yPrHeidi Ha n ATTEST: djulju-j\ Carrie Gallagher City Clerk APPROVED AS TO FORM: XChrnistineetrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this Oj St day of T)&+,ht1, , Q,,a I (. Carrie Gallagher City Clerk R 10762 Packet Page 130 Item 10 R ___________ RESOLUTION NO. (2018 Series) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, PLEDGING SEWER FUND REVENUES TO THE STATE WATER RESOURCES CONTROL BOARD FOR THE FINANCING OF THE WATER RESOURCE RECOVERY FACILITY UPGRADE. WHEREAS, the City of San Luis Obispo’s Water Resource Recovery Facility is in need of upgrades to fulfill its regulatory mandates and capacity requirements for full build -out of the City. WHEREAS, the City Council approved the upgrade capital project initially in 2013 and subsequently approved the final project for construction on August 16, 2016. WHEREAS, the City Council desires to finance the construction phase of the Water Resource Recovery Facility upgrade through the State Water Resources Control Board. WHEREAS, the City Council directed staff to submit an application to the State Water Resources Control Board for the applicable financing. NOW, THEREFORE, the City Council of the City of San Luis Obispo, California, does resolve and certify as follows: SECTION 1. The City of San Luis Obispo will dedicate and pledge sewer net revenues from its Sewer Fund and the Sewer Fund to payment of any and all Clean Wat er State Revolving Fund financing for the Water Resource Recovery Facility Upgrade project (the “Project”). SECTION 2. The City of San Luis Obispo commits to collecting such revenues and maintaining the Sewer Fund throughout the term of such financing and until the City of San Luis Obispo has satisfied its repayment obligation thereunder unless modifications or change is approved in writing by the State Water Resources Control Board. SECTION 3. So long as the financing agreement is outstanding, the City of San Luis Obispo’s pledge hereunder shall constitute a lien in favor of the state Water Resources Control Board on the foregoing fund and revenue without any further action necessary. So long as the financing agreement is outstanding, the City of San Luis Obispo commits to maintain the Sewer Fund and its revenue at levels sufficient to meet its obligations under the financing agreement. Packet Page 131 Item 10 Resolution No. ________ (2018 Series) Page 2 R ___________ SECTION 4. Resolution No. 10762 (2016 Series) is hereby superseded in its entirety. On motion of ____________, seconded by ____________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _____________________ 2018. ____________________________________ Mayor Heidi Harmon ATTEST: Teresa Purrington City Clerk APPROVED AS TO FORM: J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this ______ day of ______________, _________. ____________________________________ Teresa Purrington, City Clerk Packet Page 132 Item 10 Meeting Date: 5/15/2018 FROM: Greg Hermann, Interim Deputy City Manager Prepared By: Miguel Guardado, Network Services Supervisor SUBJECT: POLICE PORTABLE RADIO UPGRADE RECOMMENDATIONS 1.Award a contract and authorize a purchase order for Emergency Vehicle Specialists, Inc. in the amount of $162,555 for the purchase and configuration of Kenwood portable radios and associated accessories for the Police Department. 2.Waive formal bids and authorize use of WSCA Contract 06913 to sole source this project to Emergency Vehicle Specialists, Inc. as allowed under 3.24.060 E. of the City of San Luis Obispo Municipal Code. DISCUSSION This report requests authorization to purchase new Kenwood portable radios for the Police department. The Motorola portable radios that are currently being used by our officers are showing wear and tear consistent with 8 years of field use, are out of warranty and most importantly the radios have been discontinued and will reach end of parts availability for repairs in 2018. The City has been using Motorola mobile and portable radios for the last 20 years and last undertook a major replacement of those radios in January of 2010. At that time, Motorola was a leader in the wireless communication space without significant competition in the public safety sector and was awarded the contract. Since 2010, IT staff has had an opportunity to evaluate other public safety rated mobile and portable radio vendors such as Harris, Kenwood and Tait as well as Motorola. Staff has taken the time to evaluate radios from each vendor with key staff at the Police Department. Criteria for the evaluation included officer usability, functionality, integration with our current system and cost. Through this process, staff has determined that Kenwood portable radios meet the evaluation criteria and are significantly less expensive making them comparable alternatives. Staff’s recommendation is to use Western States Contracting Alliance (WSCA) Contract #06913 pricing for all Kenwood communication equipment purchases. This contract was competitively bid by the State of Washington for Public Safety Communications Equipment. The State of California Department of General Services entered into this agreement in June of 2016. In addition, Staff’s recommendation is to sole-source the purchase of Kenwood portable radios utilizing this contract as this gives the City the assurance that we are purchasing radio equipment at a fair price based on a larger bid. The City Fire Department is currently pursuing a Federal Assistance to Firefighters Gr ant (AFG) in the amount of $308,958 to replace their portable radios and associated accessories. CONCURRENCES The Police Department and Information Technology Steering Committee concur with the recommendation. Packet Page 133 Item 11 ENVIRONMENTAL REVIEW The California Environmental Quality Act does not apply to the recommended action in this report, because the action does not constitute a “Project” under CEQA Guidelines Sec. 15278. FISCAL IMPACT There is sufficient funding for this project in the approved Capital Improvement Project budget in the 2017-19 Financial Plan as shown in the table below. These funds are provided by the Local Revenue Measure (Measure G). Capital Improvement Project Radio Handheld & Mobiles Current Proposed Remaining Balance 91583 $180,000 $162,555 $17,445 ALTERNATIVE The Police Department could continue to use the existing equipment. This is not a recommended option as the equipment is out of warranty and is starting to fail. Attachments: a - Kenwood Radio Contract Pricing b - Contract 06913 NASPO/WSCA Master_Agreement c - Contract 06913 NASPO/WSCA Master_Agreement Amendment 1 d - Contract 06913 NASPO/WSCA California Agreement Amendment 1 e - Contract 06913 NASPO/WSCA California Agreement Amendment 2 f - Quote - Radios and Accessories Packet Page 134 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide Effective Date: April 2015 This searchable pdf document contains all Kenwood radio equipment offered through WSCA contract number 06913 The prices shown are Manufacturers Suggested Retail Price (MSRP) and the discount off the shown price is 30% Tier I, Single Band, Portable Radios And Accessories Tier II & III, Single Band, Mobile And Portable Radios And Accessories Tier II, Single Band, Desktop Radios and Accessories Contract Discount Is 30% Off Shown MSRP Services; Per Hour Cost Equipment configuration and System Design $150.00 Technical Support Services $150.00 Equipment Installation $115.00 Equipment Repair $115.00 Training $115.00 WSCA 06913 Copyright © 2015 JVCKENWOOD Corporation. Page 1 of 1 Title PagePacket Page 135 Item 11 Portables NX-5400 TK-5410 TK-5410D Mobiles TK-5910 Table of Contents: NX-5700 / 5800 TK-5710G / 5810G TK-5720 / 5820 NX-5200 / 5300 TK-5210G / 5310G TK-5220 / 5320 Packet Page 136 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 3 of 57 NX-5200・5300 RADIO LIST Standard Key Models NX-5200K2 VHF (136-174MHz), 5.0 Watts NXDN Conventional / TYPE-C Trunking 825.00$ NX-5300K2 UHF (450-520MHz), 5.0 Watts NXDN Conventional / TYPE-C Trunking 825.00$ NX-5300K5 UHF (380-470MHz), 5.0 Watts NXDN Conventional / TYPE-C Trunking 825.00$ Full Key Models NX-5200K3 VHF (136-174MHz), 5.0 Watts NXDN Conventional / TYPE-C Trunking 875.00$ NX-5300K3 UHF (450-520MHz), 5.0 Watts NXDN Conventional / TYPE-C Trunking 875.00$ NX-5300K6 UHF (380-470MHz), 5.0 Watts NXDN Conventional / TYPE-C Trunking 875.00$ All NX-5000 series portables include: • Belt Clip (KBH-11) • Universal Connector Cap • User Guide • Premium Warranty: 3 Years** All Accessories / options: 1 Year Purchase Battery, Charger, Antenna separately ** Note: To maintain immersion specs (IP67/68), all warranty service must be done by one of the three National Kenwood Authorized Service Centers. IP67/68 Certification is valid under the 3 year premium warranty. No re-certification is available. NX-5200/5300 VHF/UHF Digital & FM Analog Portable Radios ■ GENERAL FEATURES • 5 W (136-174 MHz) Models • 5 W (380-470, 450-520 MHz) Models • 1024 CH-GID / 128 Zones • Standard Key Models (w/o numeric keypad) • Full Key Models (w/ numeric keypad) • Full Color 1.74" (240 x 180 pixels) Transflective TFT Display • Multi-line Text Display • Function/Status Icons • Multi-Language Display* • Date & 12/24 Hour Time Clock • Transmit/Busy/Call Alert/Warn LED • On/Off Volume Knob • 16-Position Mechanical Selector (w/ a stopper) • 4-way Directional-pad (D-pad) • 2 Position Lever Switch • Emergency/AUX Key • 3 Side PF Keys • 1W Speaker Audio • Emergency Call Features • Built-in GPS Receiver / Antenna • Built-in Bluetooth® Module for hands-free operation • Built-in Motion Sensor • Built-in 56-bit DES Encryption * • Active Noise Reduction (ANR) • KPG-D1N Windows® FPU • Flash Firmware Upgrading • MIL-STD-810 C/D/E/F/G • IP67/68 Immersion ■ DIGITAL – P25 MODE • Conventional Features (KWD-5100CV License Key Activation required) • Phase 1 Trunking Features (KWD-5100CV & 5101TR License Keys Activation required) • Phase 2 Trunking Features (KWD-5100CV & 5101TR & 5102TR License Keys Activation required) • Conventional OTAR (KWD-5103RK License Key Activation required) • Trunking OTAR (KWD-5103RK & 5106DT License Keys Activation required) • Conventional Voting Scan (KWD-5105VT** License Key Activation required) • Packet Data required for Trunked OTAR/GPS/Text (KWD-5106DT License Keys Activation required) ** Future Availability Table of Contents <Standard Key Model > <Full Key Model > STANDARD ■ DIGITAL–NXDN® MODE • NXDN® Conventional / TYPE-C Trunking • AMBE+2™ VOCODER • 6.25 & 12.5 kHz Channels • Over-the-Air Alias • Over-the-Air Programming (requires KPG-180AP OTAP Manager Software)* • Paging Call * • Emergency Call • All Group Call • Status Messaging • Remote Stun/Kill/Check • Short & Long Data Messages • GPS Location • NXDN® Scrambler ■ ANALOG MODE • Conventional Zones • LTR® Zones * • FleetSync®/II*: PTT ID ANI, Caller ID Display, Selective/Group Call, Emergency Status, Text Messages • MDC-1200*: PTT ID ANI, Caller ID Display, Emergency, Radio Check & Inhibit • QT / DQT • Two-Tone* (Conventional Zones Only) • DTMF* • Built-in Voice Inversion Scrambler * Future Availability OPTIONAL ■ GENERAL FEATURES • 4000 CH-GID / 128 Zones (KWD-5000CH License Key Activation required) • Front Panel Programming (KWD-5001FP License Key Activation required ) • microSD/microSDHC Memory Card Slot (KWD-5002SD License Key Activation required) • Built-in Bluetooth® Module for Data (KWD-5003BT** License Key Activation required) • 256-bit AES Encryption (KWD-AE30K/31K Encryption Module required) • Battery Management Solution (KSC-Y32K Charger & KAS-12K Software License Key required) Because of spurious signal (birdie), the following frequencies (and ±10kHz ranges) are not allowed; • 144.0000 • 384.0000 • 460.8000 • 147.4560 • 403.2000 • 480.0000 • 153.6000 • 422.4000 • 499.2000 • 172.0325 • 432.0000 • 518.4000 • 172.8000 • 441.6000 Packet Page 137 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 4 of 57 NX-5200・5300 LICENSING SYSTEM LIST KPT-300LMC License Management Client NC L-5000 KPT-300LMC License Key NC SOFTWARE LICENSE OPTIONS KPG-D1NK License Key for KPG-D1NK Programming Software for NX-5000 Portable/Mobile (Windows® Vista/7/8/8.1) Note: Requires KPT-300LMC for authentication 155.00$ P25 Trunked Programming Capability (licensed by either 1 or 2 below): 1. KPG-D1NK with System Key File (*.SKF)- See L-5005 • For NX-5000 series radios. • 3-digit HEX System ID (HSID) and verifiable written authorization required from trunked system operator (SYSOP). • Purchase KPG-D1NK & L-5005 System Key File • Kenwood ships an encrypted *.SKF file on CD ROM • The *.SKF securely embeds/encrypts the 16-digit Network Level License ID & the HSID. 2. KPG-D1NK with Advanced System Keys (ASK’s) • For NX-5000 series radios. • SYSOPs: Refer to KWD-ASK-MK Master Key • Dealers/contractors: Refer to KWD-ASK-AK Access Key • KPG-D1NK supports up to 16 KWD-ASK-AK Access Keys (16 trunked networks). KAS-12K License Key for KAS-12 Battery Reader Software for KNBL1/2/3/ & KSC-Y32 (Windows® Vista/7/8/8.1) Note: Requires KPT-300LMC for authentication 85.00$ Software License Key Discount Structure 1 License Key --- 2~4 License Keys 10% OFF 5 ~ 14 License Keys 35% OFF 15~24 License Keys 40% OFF 25+ License Keys 45% OFF TO PLACE AN ORDER FOR SOFTWARE (FPU): 1. Complete the attached KPG-D1NK Software License Key Request Form. 2. Submit along with your PO to the Land Mobile Order Desk via: a) E-Mail: lmrorderdesk@us.jvckenwood.com b) Fax: (310) 761-8246 3. License Keys will be E-mailed to the address provided on the order form. A hard copy will follow by mail for your records. * A unique license key is required for each PC with KPG-D1NK installed. A single license key will not authorize multiple PCs. KPT-300LMC License Management Client KPT-300LMC is a required software package that is used to authenticate software (FPU) and radio feature license keys for the NX-5000 Series radios. KPT-300LMC is available as a free download from Kenwood Tools and is also supplied with applicable software, such as KPG-D1NK, KAS-12, and KPG-AE1/DE1. NOTE: A license key is required for the KPT-300LMC to authenticate the software prior to use. To receive a license key, complete the enclosed "Account Request Form" and return to the Land Mobile Order Desk. License Keys will be E-Mailed to the address provided on the Account Request Form. Note: KPT-300LMC is compatible with Windows Vista/7/8/8.1 Only. Windows XP is not supported. Packet Page 138 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 5 of 57 NX-5200・5300 RADIO FEATURE LICENSE OPTIONS GENERAL RADIO FEATURES LIST KWD-5000CH License Key for 4000 CH/GID Expansion 420.00$ KWD-5001FP License Key for Front Panel Programming 300.00$ KWD-5002SD License Key for microSD Memory Card Slot Activation 105.00$ KWD-5003BT License Key for Bluetooth Serial Port Profile [Available 2015 2Q]35.00$ P25 RADIO FEATURES LIST KWD-5100CV License Key for P25 Conventional 575.00$ KWD-5101TR License Key for P25 Phase 1 Trunking (requires KWD-5100CV)520.00$ KWD-5102TR License Key for P25 Phase 2 Trunking (requires KWD-5100CV & KWD-5101TR)400.00$ KWD-5103RK License Key for P25 OTAR (requires KWD-5106DT for a Trunking Operation)700.00$ KWD-5105VT License Key for P25 Conventional Voting Scan [Available 2015 2Q]120.00$ KWD-5106DT License Key for P25 Packet Data (requires for Trunked OTAR/GPS/Text)180.00$ ANTENNAS LIST KRA-26M VHF helical antenna 146-162 MHz 14.00$ KRA-26M2 VHF helical antenna 162-174 MHz 14.00$ KRA-26M3 VHF helical antenna 136-150 MHz 14.00$ KRA-27M UHF whip antenna 440-490 MHz 14.00$ KRA-27M2 UHF whip antenna 470-520 MHz 14.00$ KRA-27M3 UHF whip antenna 400-450 MHz 14.00$ KRA-22M VHF low-profile helical antenna 148-162 MHz 13.70$ KRA-22M2 VHF low-profile helical antenna 162-174 MHz 13.70$ KRA-22M3 VHF Low-profile helical antenna 136-150 MHz 13.70$ KRA-23M UHF low-profile helical antenna 450-490 MHz 13.70$ KRA-23M2 UHF low-profile helical antenna 470-512 MHz 13.70$ KRA-23M3 UHF low-profile helical antenna 403-430 MHz 13.70$ KRA-25 High gain VHF helically loaded whip antenna 148-162 MHz 34.25$ BATTERIES AND CHARGERS LIST KNB-L1M Li-ion 2000mAh (Compact Slim)115.00$ KNB-L2M Li-ion 2600mAh (Standard)135.00$ KNB-L3M Li-ion 3400mAh (High Capacity)175.00$ KSC-Y32K Rapid rate single unit charger (Long-Life Charge Mode capable with KAS-12 Software) Note: NiMH/Li-ion battery only 115.00$ KAS-12K License Key for KAS-12 (Authentication required) Battery Reader Software for KNB-L1M/L2M/L3M & KSC-Y32 (Windows® Vista/7/8/8.1) 85.00$ KSC-32 Rapid rate single unit charger 70.00$ KSC-326K Rapid rate 6-unit charger 630.00$ KMB-30M Wall Mount Bracket for KSC-326K/256K 33.75$ KVC-15 Rapid rate DC vehicular charger adapter for the KSC-32 (chargers not included; includes KSC-mobile bracket & cigarette lighter cable DC adapter) 119.00$ PCs registered under the same KPT-300LMC Account Registration Key (License Key) will be able to authentic Radio Features that can then be viewed / shared / managed by all registered users for the account. * TO PLACE AN ORDER FOR RADIO FEATURE LICENSES: 1. Complete the attached Radio Feature Request Form. 2. Submit the completed form along with your PO to the Land Mobile Order Desk via: a) E-Mail: lmrorderdesk@us.jvckenwood.com b) Fax: (310) 761-8246 3. License Keys will be E-mailed to the address provided on the request form. A hard copy will follow by mail for your records. Note: Radio Feature License Keys are not transferable from a radio to a radio. Once a Radio Feature License has been authenticated in one radio, it can not be transferred to another radio. Packet Page 139 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 6 of 57 NX-5200・5300 CARRYING ACCESSORIES LIST KBH-11 Spring action belt clip (2.5")14.70$ KBH-8DS Leather swivel belt loop with portable D-Ring attachment 26.30$ KLH-6SW Leather swivel belt loop / detachable swivel D-Ring back 22.00$ KLH-137ST Firemen's Heavy-Duty Leather Shoulder Strap for a Heavy-Duty Leather Case 36.75$ KLH-200K3 Heavy duty leather carrying case for NX-5000-series (for both K2 & K3 models)44.25$ KLH-201K3 Nylon carrying case for NX-5000-series (for both K2 & K3 models)26.30$ MICROPHONES & AUDIO ACCESSORIES LIST KMC-54WDM MIL-SPEC, IP67 (Immersion) Speaker Mic Compatible with ANR Feature Note: only compatible with a NX-5000 series portable 130.00$ KMC-42WDM MIL-SPEC, IP67 (Immersion) Noise-canceling Speaker Mic 114.00$ KMC-49 MIL-SPEC, Speaker Mic. with Antenna Connector Note: 5/16" Coax cable hex wrench included (antenna is not included). 250.00$ KEP-1 3.5mm earphone kit for KMC-41/42W/54W Speaker Mics 52.50$ KEP-2 2.5mm earphone kit for KMC-49 Speaker Mic 52.50$ KEP-3 30" Earphone kit w/ 2.5mm plug for KCT-30 51.50$ KEP-4 48" Earphone kit w/ 2.5mm plug for KCT-30 54.75$ KCT-30 2.5mm Audio Accessory Adapter for KEP-3/4 64.00$ KCT-51 Hirose 6-pin Adapter (adapts KVL/aftermarket audio acc. to portable connector)215.00$ KHS-11BL 2-wire palm mic w/earphone, universal connector (Black)156.50$ KHS-12BL 3-wire mini lapel mic w/earphone, universal connector (Black)184.00$ KHS-14 Lt. Wt. Single muff headset w/boom mic & In-line PTT 126.00$ KHS-15-BH Hvy-duty noise reduction behind-the-headset w/noise cancelling boom mic & PTT 420.00$ KHS-15-OH Hvy-duty noise reduction over-the-headset w/noise cancelling boom mic & PTT 368.00$ ENCRYPTION MODULES LIST KWD-AE30K AES FIPS140-2 & DES Encryption Module (Multi-Key) Order a Labor Code L-5003 if installation is required. KWD-AE30K requires: a Motorola KVL3000 Plus/4000 key loader device. KWD-AE30K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) 850.00$ KWD-AE31K AES & DES Encryption Module (Multi-Key) Order a Labor Code L-5004 if installation is required. Note: Requires KPG-AE1/DE1 software key loader or Motorola KVL3000 Plus/4000 key loader device. KWD-AE31K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) 550.00$ KPG-AE1K AES/DES Encryption Software Key Loader for KWD-AE31K Authentication by KPT-300LMC is required Note: KPG-AE1 is a U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) 525.00$ KPG-DE1K DES Encryption Software Key Loader for KWD-AE31K Authentication by KPT-300LMC is required Note: KPG-DE1 is a U.S. DOC/BIS Export Controlled Item (ECCN 5D992A.1) 368.00$ SERVICE RELATED ACCESSORIES LIST KPG-36UM USB Programming interface cable 158.50$ KPG-93 KVL-3000 Plus/4000 Interface Cable for P25 Portables 262.50$ KPG-93AUT KVL-4000 Radio Authentication Cable [Available in 2015 2Q]TBD KWD-ASK-AK Access Key for KPG-D1NK P25 trunked programming Notes: • For NX-5000 series only • Must be activated by a SYSOP with KWD-ASK-MK Master Key • Must have KPG-D1NK • Battery Life: 3 years (non-serviceable; key must be replaced) 208.00$ KWD-ASK-MK Master Key for activating KWD-ASK-AK Access Keys - Restricted Purchase Requirements - Notes: • For NX-5000 series only. • Sold to SYSOP or SYSOP authorized entities only • Must have KPG-D1NK • SYSOP must provide 3-digit HEX HSID & the 16-digit Network Level License ID to Kenwood. • Purchase KWD-ASK-AK Access Keys if needed. • Battery Life: 3 years (non-serviceable; key must be replaced) 500.00$ Packet Page 140 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 7 of 57 NX-5200・5300 INSTALLATION / TUNING CHARGES LIST L-5002 NX-5200/5300/5400 Programming (with basic TX/RX check)37.50$ L-5003 Install KWD-AE30K in NX-5000 series Portable (Must purchase module separately) 75.00$ L-5004 Install KWD-AE31K in NX-5000 series Portable (Must purchase module separately) 75.00$ L-5005 KPG-D1NK System Key File Note: Enables P25 Trunked system programming privileges in a KPG-D1NK. - Restricted Purchase Requirements - • 3-Digit HEX System ID (HSID) from SYSOP required • Must Purchase KPG-D1NK with L-5005 • Kenwood ships an encrypted *.SKF file on CD ROM • Non-SYSOP entities ordering L-5005 must provide verifiable written authorization from SYSOP to receive an *.SKF file. • The 16-digit Network Level License ID & 3-digit HEX HSID are securely encrypted & embedded in the *.SKF file. 132.00$ KWD-AE30 AES FIPS140-2 SCM , NIST Validation & Customer Shipping A secure delivery method direct to the end user customer is required by the NIST AES FIPS 140-2 validation rules. For U.S. Federal Government entities the SCM must ship from Kenwood USA Corporation directly to the end user customer by a trusted carrier (FEDEX, UPS or a designated Kenwood USA Corporation employee); shipping/handling by a dealer or other entity is not acceptable. This may or may not be required by local/state government agencies or business/industrial users. Please check with the end use customer about their AES encryption handling requirements before ordering. Kenwood will not be responsible for shipments of KWD-AE30K modules to erroneous destinations specified on an order. -- IMPORTANT NOTES regarding ENCRYPTION MODULES-- Encryption modules, key loaders and radios containing encryption are export controlled by the U.S. Department of Commerce Bureau of Industry & Security EAR regulations and may either require an Export License, are eligible for a License Exception (ENC) or are exportable with No License Required (NLR) depending on the country, the consignee and the intended use. High level encryption is a special commodity that may require an export license to most countries. See www.bis.gov for more information regarding export regulations. DO NOT SHIP encryption items outside the U.S. without proper DOC/BIS Export Licenses and/or compliances. Kenwood may request the following information to be submitted at time of order (this information must meet Kenwood internal approvals prior to shipment even if being returned to Kenwood later: a) Initial Destination: Initial delivery point if different from Ultimate Destination (customer distribution center, headquarters, dealership, manufacturer's representative) * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: b) Ultimate Destination: Final delivery point(s); deployment/distribution * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: c) Intended Use of Radios: Law enforcement, security, operations, etc. -------------------------------------------------------------------------------------------------- Packet Page 141 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 8 of 57 NX-5400 RADIO LIST NX-5400K2 700 / 800 MHz, 3.0 Watts Analog Standard Key Model 825.00$ NX-5400K3 700 / 800 MHz, 3.0 Watts Analog Full Key Model 875.00$ All NX-5400 series portables include: • Belt Clip (KBH-11) • Universal Connector Cap • User Guide • Premium Warranty: 3 Years* * All Accessories / options: 1 Year Purchase Battery, Charger, Antenna separately * Note: To maintain immersion specs (IP67/68), all warranty service must be done by one of the three National Kenwood Authorized Service Centers. IP67/68 Certification is valid under the 3 year premium warranty. No re-certification is available. NX-5400 700/800MHz Digital & FM Analog Portable Radio Table of Contents Because of spurious signal (birdie), the following frequencies (and ±10kHz ranges) are not allowed; • 864.000 <Standard Key Model > <Full Key Model > ■ GENERAL FEATURES • 3 W (700/800 MHz) Models • 1024 CH-GID / 128 Zones • Standard Key Models (w/o numeric keypad) • Full Key Models (w/ numeric keypad) • Full Color 1.74" (240 x 180 pixels) Transflective TFT Display • Multi-line Text Display • Function/Status Icons • Multi-Language Display** • Date & 12/24 Hour Time Clock • Transmit/Busy/Call Alert/Warn LED • On/Off Volume Knob • 16-Position Mechanical Selector (w/ a stopper) • 4-way Directional-pad (D-pad) • 2 Position Lever Switch • Emergency/AUX Key • 3 Side PF Keys • 1W Speaker Audio • Emergency Call Features • Built-in GPS Receiver / Antenna • Built-in Bluetooth® Module for hands-free operation • Built-in Motion Sensor • Built-in 56-bit DES Encryption ** • Active Noise Reduction (ANR) • KPG-D1N Windows® FPU • Flash Firmware Upgrading • MIL-STD-810 C/D/E/F/G • IP67/68 Immersion ■ DIGITAL – P25 MODE • Conventional Features (KWD-5100CV License Key Activation required) • Phase 1 Trunking Features (KWD-5100CV & 5101TR License Keys Activation required) • Phase 2 Trunking Features (KWD-5100CV & 5101TR & 5102TR License Keys Activation required) • Conventional OTAR (KWD-5103RK License Key Activation required) • Trunking OTAR (KWD-5103RK & 5106DT License Keys Activation required) • Conventional Voting Scan (KWD-5105VT** License Key Activation required) • Packet Data required for Trunked OTAR/GPS/Text (KWD-5106DT License Keys Activation required) ** Future Availability STANDARD ■ ANALOG MODE • NPSPAC Channels • Conventional Zones • LTR® Zones ** • FleetSync®/II**: PTT ID ANI, Caller ID Display, Selective/Group Call, Emergency Status, Text Messages • MDC-1200**: PTT ID ANI, Caller ID Display, Emergency, Radio Check & Inhibit • QT / DQT (Conventional Zones Only) • Voice Inversion Scrambler ** Future Availability OPTIONAL ■ GENERAL FEATURES • 4000 CH-GID / 128 Zones (KWD-5000CH License Key Activation required) • Front Panel Programming (KWD-5001FP License Key Activation required ) • microSD/microSDHC Memory Card Slot (KWD-5002SD License Key Activation required) • Built-in Bluetooth® Module for Data (KWD-5003BT** License Key Activation required) • 256-bit AES Encryption (KWD-AE30K/31K Encryption Module required) • Battery Management Solution (KSC-Y32K Charger & KAS-12K Software License Key required) ■ DIGITAL – NXDN® MODE** • NXDN® Conventional • NXDN® TYPE-C Trunking (only in 800MHz) • AMBE+2™ VOCODER • 6.25 & 12.5 kHz Channels • Over-the-Air Alias • Over-the-Air Programming (require KPG-180AP OTAP Manager Software) • Paging Call • Emergency Call • All Group Call • Status Messaging • Remote Stun/Kill/Check • Short & Long Data Messages • GPS Location [Available in 2Q 2015] Packet Page 142 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 9 of 57 NX-5400 LICENSING SYSTEM LIST KPT-300LMC License Management Client NC L-5000 KPT-300LMC License Key NC SOFTWARE LICENSE OPTIONS KPG-D1NK License Key for KPG-D1NK Programming Software for NX-5000 Portable/Mobile (Windows® Vista/7/8/8.1) Note: Requires KPT-300LMC for authentication 155.00$ P25 Trunked Programming Capability (licensed by either 1 or 2 below): 1. KPG-D1NK with System Key File (*.SKF)- See L-5005 • For NX-5000 series radios. • 3-digit HEX System ID (HSID) and verifiable written authorization required from trunked system operator (SYSOP). • Purchase KPG-D1NK & L-5005 System Key File • Kenwood ships an encrypted *.SKF file on CD ROM • The *.SKF securely embeds/encrypts the 16-digit Network Level License ID & the HSID. 2. KPG-D1NK with Advanced System Keys (ASK’s) • For NX-5000 series radios. • SYSOPs: Refer to KWD-ASK-MK Master Key • Dealers/contractors: Refer to KWD-ASK-AK Access Key • KPG-D1NK supports up to 16 KWD-ASK-AK Access Keys (16 trunked networks). KAS-12K License Key for KAS-12 Battery Reader Software for KNBL1/2/3/ & KSC-Y32 (Windows® Vista/7/8/8.1) Note: Requires KPT-300LMC for authentication 85.00$ Software License Key Discount Structure 1 License Key --- 2 ~ 4 License Keys 10% OFF 5 ~ 14 License Keys 35% OFF 15 ~ 24 License Keys 40% OFF 25+ License Keys 45% OFF TO PLACE AN ORDER FOR SOFTWARE (FPU): 1. Complete the attached KPG-D1NK Software License Key Request Form. 2. Submit along with your PO to the Land Mobile Order Desk via: a) E-Mail: lmrorderdesk@us.jvckenwood.com b) Fax: (310) 761-8246 3. License Keys will be E-mailed to the address provided on the order form. A hard copy will follow by mail for your records. * A unique license key is required for each PC with KPG-D1NK installed. A single license key will not authorize multiple PCs. Note: KPT-300LMC is compatible with Windows Vista/7/8/8.1 Only. Windows XP is not supported. KPT-300LMC License Management Client KPT-300LMC is a required software package that is used to authenticate software (FPU) and radio feature license keys for the NX-5000 Series radios. KPT-300LMC is available as a free download from Kenwood Tools and is also supplied with applicable software, such as KPG-D1NK, KAS-12, and KPG-AE1/DE1. NOTE: A license key is required for the KPT-300LMC to authenticate the software prior to use. To receive a license key, complete the enclosed "Account Request Form" and return to the Land Mobile Order Desk. License Keys will be E-Mailed to the address provided on the Account Request Form. A hard copy will follow by mail for your records. Packet Page 143 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 10 of 57 NX-5400 RADIO FEATURE LICENSE OPTIONS (ACCOUNT REGISTRATION) GENERAL RADIO FEATURES LIST KWD-5000CH License Key for 4000 CH/GID Expansion 420.00$ KWD-5001FP License Key for Front Panel Programming 300.00$ KWD-5002SD License Key for microSD Memory Card Slot Activation 105.00$ KWD-5003BT License Key for Bluetooth Serial Port Profile [Available 2015 2Q]35.00$ P25 RADIO FEATURES LIST KWD-5100CV License Key for P25 Conventional 575.00$ KWD-5101TR License Key for P25 Phase 1 Trunking (requires KWD-5100CV)520.00$ KWD-5102TR License Key for P25 Phase 2 Trunking (requires KWD-5100CV & KWD-5101TR)400.00$ KWD-5103RK License Key for P25 OTAR (requires KWD-5106DT for a Trunking Operation)700.00$ KWD-5105VT License Key for P25 Conventional Voting Scan [Available 2015 2Q]120.00$ KWD-5106DT License Key for P25 Packet Data (requires for Trunked OTAR/GPS/Text)180.00$ ANTENNAS LIST KRA-32K 700/800 MHz Whip Antenna 35.00$ KRA-36 700/800 MHz Stubby Antenna 25.00$ BATTERIES AND CHARGERS LIST KNB-L1M Li-ion 2000mAh (Compact Slim)115.00$ KNB-L2M Li-ion 2600mAh (Standard)135.00$ KNB-L3M Li-ion 3400mAh (High Capacity)175.00$ KSC-Y32K Rapid rate single unit charger (Long-Life Charge Mode capable with KAS-12 Software) Note: NiMH/Li-ion battery only 115.00$ KAS-12K License Key for KAS-12 (Authentication required) Battery Reader Software for KNBL1/2/3/ & KSC-Y32 (Windows® Vista/7/8/8.1) 85.00$ KSC-32 Rapid rate single unit charger 70.00$ KSC-326K Rapid rate 6-unit charger 630.00$ KMB-30M Wall Mount Bracket for KSC-326K/256K 33.75$ KVC-15 Rapid rate DC vehicular charger adapter for the KSC-32 (chargers not included; includes KSC-mobile bracket & cigarette lighter cable DC adapter) 119.00$ CARRYING ACCESSORIES LIST KBH-11 Spring action belt clip (2.5")14.70$ KBH-8DS Leather swivel belt loop with portable D-Ring attachment 26.30$ KLH-6SW Leather swivel belt loop / detachable swivel D-Ring back 22.00$ KLH-137ST Firemen's Heavy-Duty Leather Shoulder Strap for a Heavy-Duty Leather Case 36.75$ KLH-200K3 Heavy duty leather carrying case for NX-5000-series (for both keypad models)44.25$ KLH-201K3 Nylon carrying case for NX-5000-series (for both keypad models)26.30$ PCs registered under the same KPT-300LMC Account Registration Key (License Key) will be able to authentic Radio Features that can then be viewed / shared / managed by all registered users for the account. * TO PLACE AN ORDER FOR RADIO FEATURE LICENSES: 1. Complete the attached Radio Feature Request Form. 2. Submit the completed form along with your PO to the Land Mobile Order Desk via: a) E-Mail: lmrorderdesk@us.jvckenwood.com b) Fax: (310) 761-8246 3. License Keys will be E-mailed to the address provided on the request form. A hard copy will follow by mail for your records. Note: Radio Feature License Keys are not transferable from a radio to a radio. Once a Radio Feature License has been authenticated in one radio, it can not be transferred to another radio. Packet Page 144 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 11 of 57 NX-5400 MICROPHONES & AUDIO ACCESSORIES LIST KMC-54WDM MIL-SPEC, IP67 (Immersion) Speaker Mic Compatible with ANR Feature Note: only compatible with a NX-5000 series portable 130.00$ KMC-42WDM MIL-SPEC, IP67 (Immersion) Noise-canceling Speaker Mic 114.00$ KMC-49 MIL-SPEC, Speaker Mic. with Antenna Connector Note: 5/16" Coax cable hex wrench included (antenna is not included). 250.00$ KEP-1 3.5mm earphone kit for KMC-41/42W/54W Speaker Mics 52.50$ KEP-2 2.5mm earphone kit for KMC-49 Speaker Mic 52.50$ KEP-3 30" Earphone kit w/ 2.5mm plug for KCT-30 51.50$ KEP-4 48" Earphone kit w/ 2.5mm plug for KCT-30 54.75$ KCT-30 2.5mm Audio Accessory Adapter for KEP-3/4 64.00$ KCT-51 Hirose 6-pin Adapter (adapts KVL/aftermarket audio acc. to portable connector)215.00$ KHS-11BL 2-wire palm mic w/earphone, universal connector (Black)156.50$ KHS-12BL 3-wire mini lapel mic w/earphone, universal connector (Black)184.00$ KHS-14 Lt. Wt. Single muff headset w/boom mic & In-line PTT 126.00$ KHS-15-BH Hvy-duty noise reduction behind-the-headset w/noise cancelling boom mic & PTT 420.00$ KHS-15-OH Hvy-duty noise reduction over-the-headset w/noise cancelling boom mic & PTT 368.00$ ENCRYPTION MODULES LIST KWD-AE30K AES FIPS140-2 & DES Encryption Module (Multi-Key) Order a Labor Code L-5003 if installation is required. KWD-AE30K requires: a Motorola KVL3000 Plus/4000 key loader device. KWD-AE30K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) 850.00$ KWD-AE31K AES & DES Encryption Module (Multi-Key) Order a Labor Code L-5004 if installation is required. Note: Requires KPG-AE1/DE1 software key loader or Motorola KVL3000 Plus/4000 key loader device. KWD-AE31K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) 550.00$ KPG-AE1K AES/DES Encryption Software Key Loader for KWD-AE31K Authentication by KPT-300LMC is required Note: KPG-AE1 is a U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) 525.00$ KPG-DE1K DES Encryption Software Key Loader for KWD-AE31K Authentication by KPT-300LMC is required Note: KPG-DE1 is a U.S. DOC/BIS Export Controlled Item (ECCN 5D992A.1) 368.00$ SERVICE RELATED ACCESSORIES LIST KPG-36UM USB Programming interface cable 158.50$ KPG-93 KVL-3000 Plus/4000 Interface Cable for P25 Portables 262.50$ KPG-93AUT KVL-4000 Radio Authentication Cable [Available in 2015 2Q]TBD KWD-ASK-AK Access Key for KPG-D1NK P25 trunked programming Notes: • For NX-5000 series only • Must be activated by a SYSOP with KWD-ASK-MK Master Key • Must have KPG-D1NK • Battery Life: 3 years (non-serviceable; key must be replaced) 208.00$ KWD-ASK-MK Master Key for activating KWD-ASK-AK Access Keys - Restricted Purchase Requirements - Notes: • For NX-5000 series only. • Sold to SYSOP or SYSOP authorized entities only • Must have KPG-D1NK • SYSOP must provide 3-digit HEX HSID & the 16-digit Network Level License ID to Kenwood. • Purchase KWD-ASK-AK Access Keys if needed. • Battery Life: 3 years (non-serviceable; key must be replaced) 500.00$ Packet Page 145 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 12 of 57 NX-5400 INSTALLATION / TUNING CHARGES LIST L-5002 NX-5200/5300/5400 Programming (with basic TX/RX check)37.50$ L-5003 Install KWD-AE30K in NX-5000 series Portable (Must purchase module separately) 75.00$ L-5004 Install KWD-AE31K in NX-5000 series Portable (Must purchase module separately) 75.00$ L-5005 KPG-D1NK System Key File Note: Enables P25 Trunked system programming privileges in a KPG-D1NK. - Restricted Purchase Requirements - • 3-Digit HEX System ID (HSID) from SYSOP required • Must Purchase KPG-D1NK with L-5005 • Kenwood ships an encrypted *.SKF file on CD ROM • Non-SYSOP entities ordering L-5005 must provide verifiable written authorization from SYSOP to receive an *.SKF file. • The 16-digit Network Level License ID & 3-digit HEX HSID are securely encrypted & embedded in the *.SKF file. 132.00$ KWD-AE30 AES FIPS140-2 SCM , NIST Validation & Customer Shipping A secure delivery method direct to the end user customer is required by the NIST AES FIPS 140-2 validation rules. For U.S. Federal Government entities the SCM must ship from Kenwood USA Corporation directly to the end user customer by a trusted carrier (FEDEX, UPS or a designated Kenwood USA Corporation employee); shipping/handling by a dealer or other entity is not acceptable. This may or may not be required by local/state government agencies or business/industrial users. Please check with the end use customer about their AES encryption handling requirements before ordering. Kenwood will not be responsible for shipments of KWD-AE30K modules to erroneous destinations specified on an order. -- IMPORTANT NOTES regarding ENCRYPTION MODULES-- Encryption modules, key loaders and radios containing encryption are export controlled by the U.S. Department of Commerce Bureau of Industry & Security EAR regulations and may either require an Export License, are eligible for a License Exception (ENC) or are exportable with No License Required (NLR) depending on the country, the consignee and the intended use. High level encryption is a special commodity that may require an export license to most countries. See www.bis.gov for more information regarding export regulations. DO NOT SHIP encryption items outside the U.S. without proper DOC/BIS Export Licenses and/or compliances. Kenwood may request the following information to be submitted at time of order (this information must meet Kenwood internal approvals prior to shipment even if being returned to Kenwood later: a) Initial Destination: Initial delivery point if different from Ultimate Destination (customer distribution center, headquarters, dealership, manufacturer's representative) * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: b) Ultimate Destination: Final delivery point(s); deployment/distribution * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: c) Intended Use of Radios: Law enforcement, security, operations, etc. -------------------------------------------------------------------------------------------------- Packet Page 146 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 13 of 57 NX-5700・5800 RADIO LIST NX-5700K VHF (136-174MHz), 50 Watts NXDN Conventional / TYPE-C Trunking 980.00$ NX-5800K UHF (450-520MHz), 45 Watts NXDN Conventional / TYPE-C Trunking 980.00$ NX-5800K2 UHF (380-470MHz), 45 Watts NXDN Conventional / TYPE-C Trunking 980.00$ All NX-5000 series Mobiles include: • Standard Microphone (KMC-35) • Mounting Bracket (KMB-33M) • DC Cable (KCT-23M) • Blade Fuse • User Guide • Premium Warranty: 3 Years* * All Accessories / options: 1 Year NX-5700/5800 VHF/UHF Digital & FM Analog Mobile Radios Table of Contents ■ GENERAL FEATURES • 50 W (136-174 MHz) Models • 45 W (380-470, 450-520 MHz) Models • 1024 CH-GID / 128 Zones • Full Color 2.55" (154 x 422 pixels) TFT Display • Multi-line Text Display • Function/Status Icons • Multi-Language Display** • Date & 12/24 Hour Time Clock • Transmit/Busy/Call Alert/Warn LED • Emergency/AUX Key • 4W Speaker Audio • DB-25 Accessory Connector • Emergency Call Features • Built-in GPS Receiver • Built-in Bluetooth® Module for hands-free operation • Built-in 56-bit DES Encryption ** • Active Noise Reduction (ANR) • KPG-D1N Windows® FPU • Flash Firmware Upgrading • MIL-STD-810 C/D/E/F/G • IP54/55 ■ DIGITAL – P25 MODE • Conventional Features (KWD-5100CV License Key Activation required) • Phase 1 Trunking Features (KWD-5100CV & 5101TR License Keys Activation required) • Phase 2 Trunking Features (KWD-5100CV & 5101TR & 5102TR License Keys Activation required) • Conventional OTAR (KWD-5103RK License Key Activation required) • Trunking OTAR (KWD-5103RK & 5106DT License Keys Activation required) • Conventional Voting Scan (KWD-5105VT** License Key Activation required) • Packet Data required for Trunked OTAR/GPS/Text (KWD-5106DT License Keys Activation required) STANDARD ■ DIGITAL – NXDN® MODE • NXDN® Conventional / TYPE-C Trunking • AMBE+2™ VOCODER • 6.25 & 12.5 kHz Channels • Over-the-Air Alias • Over-the-Air Programming (require KPG-180AP OTAP Manager Software **) • Paging Call ** • Emergency Call • All Group Call • Status Messaging • Remote Stun/Kill/Check • Short & Long Data Messages • GPS Location • NXDN® Scrambler ■ ANALOG MODE • Conventional Zones • LTR® Zones ** • FleetSync®/II**: PTT ID ANI, Caller ID Display, Selective/Group Call, Emergency Status, Text Messages • MDC-1200**: PTT ID ANI, Caller ID Display, Emergency, Radio Check & Inhibit • QT / DQT • Two-Tone** (Conventional Zones Only) • DTMF** • Built-in Voice Inversion Scrambler ** Future Availability OPTIONAL ■ GENERAL FEATURES • 4000 CH-GID / 128 Zones (KWD-5000CH License Key Activation required) • Front Panel Programming (KWD-5001FP License Key Activation required ) • microSD/microSDHC Memory Card Slot (KWD-5002SD License Key Activation required) • Built-in Bluetooth® Module for Data (KWD-5003BT** License Key Activation required) • 256-bit AES Encryption (KWD-AE30K/31K Encryption Module required) ■ MOUNTING CONFIGURATIONS / REMOTE PANEL ** • KCH-20R Featured Control Head • Single Remote Control Head (KRK Kit & KCT-71 Cable required) • Dual Remote Control Heads (KCH-19/20R & KRK Kit & KCT-71 Cables required) • Multiple RF Decks (KRK Kit & KCT-71 Control Cable + KWD-5004MR License Key Activation required required) [Available in 2Q 2015] Packet Page 147 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 14 of 57 NX-5700・5800 LICENSING SYSTEM LIST KPT-300LMC License Management Client NC L-5000 KPT-300LMC License Key NC SOFTWARE LICENSE OPTIONS KPG-D1NK License Key for KPG-D1NK Programming Software for NX-5000 Portable/Mobile (Windows® Vista/7/8/8.1) 155.00$ P25 Trunked Programming Capability (licensed by either 1 or 2 below): 1. KPG-D1NK with System Key File (*.SKF)- See L-5005 • For NX-5000 series radios. • 3-digit HEX System ID (HSID) and verifiable written authorization required from trunked system operator (SYSOP). • Purchase KPG-D1NK & L-5005 System Key File • Kenwood ships an encrypted *.SKF file on CD ROM • The *.SKF securely embeds/encrypts the 16-digit Network Level License ID & the HSID. 2. KPG-D1NK with Advanced System Keys (ASK’s) • For NX-5000 series radios. • SYSOPs: Refer to KWD-ASK-MK Master Key • Dealers/contractors: Refer to KWD-ASK-AK Access Key • KPG-D1NK supports up to 16 KWD-ASK-AK Access Keys (16 trunked networks). Software License Key Discount Structure 1 License Key --- 2~4 License Keys 10% OFF 5 ~ 14 License Keys 35% OFF 15~24 License Keys 40% OFF 25+ License Keys 45% OFF TO PLACE AN ORDER FOR SOFTWARE (FPU): 1. Complete the attached KPG-D1NK Software License Key Request Form. 2. Submit along with your PO to the Land Mobile Order Desk via: a) E-Mail: lmrorderdesk@us.jvckenwood.com b) Fax: (310) 761-8246 3. License Keys will be E-mailed to the address provided on the order form. A hard copy will follow by mail for your records. * A unique license key is required for each PC with KPG-D1NK installed. A single license key will not authorize multiple PCs. KPT-300LMC License Management Client KPT-300LMC is a required software package that is used to authenticate software (FPU) and radio feature license keys for the NX-5000 Series radios. KPT-300LMC is available as a free download from Kenwood Tools and is also supplied with applicable software, such as KPG-D1NK, KAS-12, and KPG-AE1/DE1. NOTE: A license key is required for the KPT-300LMC to authenticate the software prior to use. To receive a license key, complete the enclosed "Account Request Form" and return to the Land Mobile Order Desk. License Keys will be E-Mailed to the address provided on the Account Request Form. A hard copy will follow by mail for your records. Note: KPT-300LMC is compatible with Windows Vista/7/8/8.1 Only. Windows XP is not supported. Packet Page 148 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 15 of 57 NX-5700・5800 RADIO FEATURE LICENSE OPTIONS GENERAL RADIO FEATURES LIST KWD-5000CH License Key for 4000 CH/GID Expansion 420.00$ KWD-5001FP License Key for Front Panel Programming 300.00$ KWD-5002SD License Key for microSD Memory Card Slot Activation 105.00$ KWD-5003BT License Key for Bluetooth Serial Port Profile [Available 2015 2Q]35.00$ KWD-5004MR License Key for Multiple RF Decks Receiver [Available 2015 2Q]TBD P25 RADIO FEATURES LIST KWD-5100CV License Key for P25 Conventional 575.00$ KWD-5101TR License Key for P25 Phase 1 Trunking (requires KWD-5100CV)520.00$ KWD-5102TR License Key for P25 Phase 2 Trunking (requires KWD-5100CV & KWD-5101TR)400.00$ KWD-5103RK License Key for P25 OTAR (requires KWD-5106DT for a Trunking Operation)700.00$ KWD-5105VT License Key for P25 Conventional Voting Scan [Available 2015 2Q]120.00$ KWD-5106DT License Key for P25 Packet Data (requires for Trunked OTAR/GPS/Text)180.00$ REMOTE CONTROL CONFIGURATION (Firmware Release 1.2 or Later is required)LIST KRK-14HM Control Head Interface Kit for KCH-19M 159.00 KRK-15BM Control Head Remote Kit for a RF Deck 50.00 KCT-71M2 Remote Control Cable (17 feet)70.00 KCT-71M3 Remote Control Cable (25 feet)80.00 PCs registered under the same KPT-300LMC Account Registration Key (License Key) will be able to authentic Radio Features that can then be viewed / shared / managed by all registered users for the account. * TO PLACE AN ORDER FOR RADIO FEATURE LICENSES: 1. Complete the attached Radio Feature Request Form. 2. Submit the completed form along with your PO to the Land Mobile Order Desk via: a) E-Mail: lmrorderdesk@us.jvckenwood.com b) Fax: (310) 761-8246 3. License Keys will be E-mailed to the address provided on the request form. A hard copy will follow by mail for your records. Note: Radio Feature License Keys are not transferable from a radio to a radio. Once a Radio Feature License has been authenticated in one radio, it can not be transferred to another radio. KRK-14HM KRK-15BM KRK-71 M2: 17ft M3: 25ft ① ② ③ [ NX-5700/5800 ] Dash Mount (Standard) [ Single Remote ] ① ② ③ Packet Page 149 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 16 of 57 NX-5700・5800 MOBILE INSTALLATION ACCESSORIES LIST KAP-2 Horn Alert/P.A. Relay Option 63.00 KCT-23M DC Cable (35-50W Dash mount; pos/neg. 10 ft. leads)31.50 KCT-23M3 DC Cable (35-50W Remote mount; pos.23 ft.; neg. 3.3. ft. leads)34.75 KCT-46 Ignition sense cable (plugs directly into mobile chassis ignition sense line)13.70 KLF-2 Line Filter (suppresses alternator whine, 25dB, 25A max).42.00 KMB-10 Key lock adapter 26.30 KMB-33M Standard Mounting Bracket (same as supplied)14.00 KPS-15 DC Switching Power Supply (117/230 VAC; 23A max. continuous, 25A peak)173.00 KRA-40GM GPS Antenna 42.00 MICROPHONES AND SPEAKERS LIST KMC-35 MIL-SPEC Standard electret mobile microphone (8-pin mod. plug) - same as supplied 52.50 KMC-36 MIL-SPEC Standard electret mobile microphone with 12 keypad (8-pin mod. plug)94.50 KMC-9C Control Station Desktop Microphone (8-pin mod. plug) Note: NOT compatible in a TDMA operation 86.00 KES-3 External speaker (compact low profile; black case; 3.5 mm phono plug-in)44.25 KES-5 External speaker, 40W max input Note: requires KAP-2 (PA/HA unit) installed 61.25 ENCRYPTION MODULES LIST KWD-AE30K AES FIPS140-2 & DES Encryption Module (Multi-Key) Order a Labor Code L-5007 if installation is required. KWD-AE30K requires: a Motorola KVL3000 Plus/4000 key loader device. KWD-AE30K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) 850.00$ KWD-AE31K AES & DES Encryption Module (Multi-Key) Order a Labor Code L-5008 if installation is required. Note: Requires KPG-AE1/DE1 software key loader or Motorola KVL3000 Plus/4000 key loader device. KWD-AE31K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) 550.00$ KPG-AE1K AES/DES Encryption Software Key Loader for KWD-AE31K Authentication by KPT-300LMC is required Note: KPG-AE1 is a U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) 525.00$ KPG-DE1K DES Encryption Software Key Loader for KWD-AE31K Authentication by KPT-300LMC is required Note: KPG-DE1 is a U.S. DOC/BIS Export Controlled Item (ECCN 5D992A.1) 368.00$ SERVICE RELATED ACCESSORIES LIST KPG-46UM USB Programming interface cable 158.50$ KPG-115 Key Loader Interface Cable for Motorola KVL-3000/3000 Plus 262.50$ KPG-115AUT KVL-4000 Radio Authentication Cable [Available in 2015 1Q]TBD KWD-ASK-AK Access Key for KPG-D1NK P25 trunked programming Notes: • For NX-5000 series only • Must be activated by a SYSOP with KWD-ASK-MK Master Key • Must have KPG-D1NK • Battery Life: 3 years (non-serviceable; key must be replaced) 208.00$ KWD-ASK-MK Master Key for activating KWD-ASK-AK Access Keys - Restricted Purchase Requirements - Notes: • For NX-5000 series only. • Sold to SYSOP or SYSOP authorized entities only • Must have KPG-D1NK • SYSOP must provide 3-digit HEX HSID & the 16-digit Network Level License ID to Kenwood. • Purchase KWD-ASK-AK Access Keys if needed. • Battery Life: 3 years (non-serviceable; key must be replaced) 500.00$ Packet Page 150 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 17 of 57 NX-5700・5800 INSTALLATION / TUNING CHARGES LIST L-5006 NX-5700/5800 Programming (with basic TX/RX check)37.50$ L-5007 Install KWD-AE30K in NX-5000 series Mobile (Must purchase module separately) 75.00$ L-5008 Install KWD-AE31K in NX-5000 series Mobile (Must purchase module separately) 75.00$ L-5005 KPG-D1NK System Key File Note: Enables P25 Trunked system programming privileges in a KPG-D1NK. - Restricted Purchase Requirements - • 3-Digit HEX System ID (HSID) from SYSOP required • Must Purchase KPG-D1NK with L-5005 • Kenwood ships an encrypted *.SKF file on CD ROM • Non-SYSOP entities ordering L-5005 must provide verifiable written authorization from SYSOP to receive an *.SKF file. • The 16-digit Network Level License ID & 3-digit HEX HSID are securely encrypted & embedded in the *.SKF file. 132.00$ L-5015 Install KAP-2 (Default) HR1/Internal Sp./PA 25.00$ L-5016 Assemble NX-5000 Mobile for Single Remote Head Control 42.00$ L-5020 KCT-71 Extended Control Head Cable (up to 50 ft. max.) Note: Please specify exact length at 1ft. increments when ordering. Caution: Extended control head cables exhibit a loss in speaker audio power to the control heads. 190.00$ L-5021 KCT-71 Extended Control Head Cable (up to 100 ft. max.) Note: Please specify exact length at 1ft. increments when ordering. Caution: Extended control head cables exhibit a loss in speaker audio power to the control heads. 245.00$ KWD-AE30 AES FIPS140-2 SCM , NIST Validation & Customer Shipping A secure delivery method direct to the end user customer is required by the NIST AES FIPS 140-2 validation rules. For U.S. Federal Government entities the SCM must ship from Kenwood USA Corporation directly to the end user customer by a trusted carrier (FEDEX, UPS or a designated Kenwood USA Corporation employee); shipping/handling by a dealer or other entity is not acceptable. This may or may not be required by local/state government agencies or business/industrial users. Please check with the end use customer about their AES encryption handling requirements before ordering. Kenwood will not be responsible for shipments of KWD-AE30K modules to erroneous destinations specified on an order. -- IMPORTANT NOTES regarding ENCRYPTION MODULES-- Encryption modules, key loaders and radios containing encryption are export controlled by the U.S. Department of Commerce Bureau of Industry & Security EAR regulations and may either require an Export License, are eligible for a License Exception (ENC) or are exportable with No License Required (NLR) depending on the country, the consignee and the intended use. High level encryption is a special commodity that may require an export license to most countries. See www.bis.gov for more information regarding export regulations. DO NOT SHIP encryption items outside the U.S. without proper DOC/BIS Export Licenses and/or compliances. Kenwood may request the following information to be submitted at time of order (this information must meet Kenwood internal approvals prior to shipment even if being returned to Kenwood later: a) Initial Destination: Initial delivery point if different from Ultimate Destination (customer distribution center, headquarters, dealership, manufacturer's representative) * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: b) Ultimate Destination: Final delivery point(s); deployment/distribution * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: c) Intended Use of Radios: Law enforcement, security, operations, etc. -------------------------------------------------------------------------------------------------- Packet Page 151 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 18 of 57 TK-5210G・5310G PACKAGES LIST TK-5210GK2-NKP VHF NiMH Battery Package (TK-5210GK2 + KNB-54N + KSC-32 + KBH-11)1,755.00 TK-5210GK2-LKP VHF Li-Ion Battery Package (TK-5210GK2 + KNB-43L + KSC-32 + KBH-11)1,831.00 TK-5310GK2-NKP UHF NiMH Battery Package (TK-5310GK2 + KNB-54N + KSC-32 + KBH-11)1,755.00 TK-5310GK2-LKP UHF Li-Ion Battery Package (TK-5310GK2 + KNB-43L + KSC-32 + KBH-11)1,831.00 TK-5210G / 5310G VHF/UHF FM Analog & P25 Digital Portable Radios All 5X10G series portables include: • Belt Clip (KBH-11) • Universal Connector Cap • Instruction Manual • Premium Warranty: 3 Years* * All Accessories / options: 1 Year Order packages to include Battery & Charger, or purchase Battery, Charger, and Antenna separately. GENERAL FEATURES • 5 Watt (136-174 MHz) • 4 Watt (450-520, 380-470 MHz) • 100 Zones / 1024 Channels (K-K6) • 32 Zones / 128 Channels (K7) • Personality Lists • Backlit Dot Matrix LCD • 16 Character Alphanumeric Aliases • 3-Digit Sub-Display • Function / Status LCD Icons • RSSI Indicator • Transmit / Busy / Call Alert / Warn LED • On/Off Volume Knob • 16-Position Selector Knob • 2-Position PF Lever Switch • 3-Position PF Concentric Switch • 4 Front Menu-Driven PF Keys • 3 Side PF Keys • Orange Emergency / AUX Key • 12-Key DTMF / PF Keypad • Enhanced Kenwood Audio • Voice Annunciation • VOX Ready • Emergency Features • Tactical Group • Battery Level Indicator • Transceiver Password • Date & 12/24 Hour Time Clock • Windows® Programming & Tuning • Windows® Firmware Uploading • Self-Programming & Tuning • Cloning • Easy Option Port • Voice Guide & Storage (Option) • Weather-Sealed Accessory Connector • MIL-STD-810 C/D/E/F/G • IP54/55 Water & Dust Protection • Immersion (IP66/67/68) Option • Intrinsically Safe Option* P25 DIGITAL • P25 Digital Conventional • P25 Digital Trunking Option • AMBE+2TM Enhanced VOCODER • Talk Group ID Lists • Individual ID Lists • Caller ID Display • Remote Monitor/Remote Check • Radio Inhibit • Encryption Key Delete • Encryption Key Zeroize Option • Encryption Key Retention Option • DES Encryption Options • AES / DES Encryption Options • KPG-93 KVL Key Loader Interface Cable • P25 GPS Location • P25 OTAR Option SCAN TYPES (FM & P25) • Single Zone/Multi-Zone Scan • Scan Lists • Conventional Scan • Limited Talk Group Scan • Priority Monitor Scan • Dual Priority Scan FM • QT / DQT • Operator Selectable Tone • Two-Tone Encode / Decode • DTMF Encode / Decode / Stun • Special Alert Tone Patterns • Encryption / ANI Board Control • Companded Audio • FleetSync® /II PTT ID / Caller ID Display / Emergency • MDC-1200 PTT ID / Caller ID Display / Emergency G models are Ver 3 Hardware (starting S/No. B03xxxxx ) Basic Model No LCD display; no front panel keys - TK-5210GK, TK-5310GK/GK4 Standard Model 16-Character Alphanumeric LCD 4 control keys - TK-5210GK2/K7, TK-5310GK2/K5/K7 12 Keypad Model 16-Character Alphanumeric LCD 4 control keys DTMF/Function keypad - TK-5210GK3, TK-5310GK3/K6 * Approved for Classes I, II & III, Div. 1, Groups D, E, F, G and are also approved for non- Incendive use in Class I, Div. 2, Groups A, B, C, D hazardous locations. Note: Class I, Div 2 Group A & B Gases require use of a portable carrying case. Table of Contents Packet Page 152 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 19 of 57 TK-5210G・5310G RADIO LIST TK-5210GK 136-174MHz 5W, 1024 CH, Basic Model [see note 1]1,225.00 TK-5210GK2 136-174MHz 5W, 1024 CH, Standard Model 1,598.00 TK-5210GK3 136-174MHz 5W, 1024 CH, 12 Keypad Model 1,757.00 TK-5210GK7 136-174MHz 5W, 128 CH, Standard Model [see note 1]1,400.00 TK-5310GK 450-520 MHz 4W, 1024 CH, Basic Model [see note 1]1,225.00 TK-5310GK2 450-520 MHz 4W, 1024 CH, Standard Model 1,598.00 TK-5310GK3 450-520 MHz 4W, 1024 CH, 12 Keypad Model 1,757.00 TK-5310GK4 380-470 MHz 4W, 1024 CH, Basic Model [see note 1]1,225.00 TK-5310GK5 380-470 MHz 4W, 1024 CH, Standard Model 1,598.00 TK-5310GK6 380-470 MHz 4W, 1024 CH, 12 Keypad Model 1,757.00 TK-5310GK7 380-470 MHz 4W, 128 CH, Standard Model [see note 1]1,400.00 RADIO (Special Color Housing)LIST TK-5210GK2YH 136-174MHz 5W, 1024 CH, Standard Model (w/ Yellow Housing) [see note 1]1,724.00 TK-5210GK2OH 136-174MHz 5W, 1024 CH, Standard Model (w/ Orange Housing) [see note 1]1,724.00 TK-5310GK2YH 450-520 MHz 4W, 1024 CH, Standard Model (w/ Yellow Housing) [see note 1]1,724.00 TK-5310GK2OH 450-520 MHz 4W, 1024 CH, Standard Model (w/ Orange Housing) [see note 1]1,724.00 TK-5310GK5YH 380-470 MHz 4W, 1024 CH, Standard Model (w/ Yellow Housing) [see note 1]1,724.00 TK-5310GK5OH 380-470 MHz 4W, 1024 CH, Standard Model (w/ Orange Housing) [see note 1]1,724.00 FACTORY MUTUAL (FM) APPROVED MODELS LIST Must Order L-986 & an Intrinsically Safe Battery per radio TK-5210-ISGK 136-174MHz 5W, 1024 CH, Basic Model [see note 1]1,225.00 TK-5210-ISGK2 136-174MHz 5W, 1024 CH, Standard Model 1,598.00 TK-5210-ISGK2-YH 136-174MHz 5W, 1024 CH, Standard Model (w/ Yellow Housing) [see note 1]1,724.00 TK-5210-ISGK2-OH 136-174MHz 5W, 1024 CH, Standard Model (w/ Orange Housing) [see note 1]1,724.00 TK-5210-ISGK3 136-174MHz 5W, 1024 CH, 12 Keypad Model 1,757.00 TK-5210-ISGK7 136-174MHz 5W, 128 CH, Standard Model [see note 1]1,400.00 TK-5310-ISGK 450-520 MHz 4W, 1024 CH, Basic Model [see note 1]1,225.00 TK-5310-ISGK2 450-520 MHz 4W, 1024 CH, Standard Model 1,598.00 TK-5310-ISGK2-YH 450-520 MHz 4W, 1024 CH, Standard Model (w/ Yellow Housing) [see note 1]1,724.00 TK-5310-ISGK2-OH 450-520 MHz 4W, 1024 CH, Standard Model (w/ Orange Housing) [see note 1]1,724.00 TK-5310-ISGK3 450-520 MHz 4W, 1024 CH, 12 Keypad Model 1,757.00 TK-5310-ISGK4 380-470 MHz 4W, 1024 CH, Basic Model [see note 1]1,225.00 TK-5310-ISGK5 380-470 MHz 4W, 1024 CH, Standard Model 1,598.00 TK-5310-ISGK5-YH 380-470 MHz 4W, 1024 CH, Standard Model (w/ Yellow Housing) [see note 1]1,724.00 TK-5310-ISGK5-OH 380-470 MHz 4W, 1024 CH, Standard Model (w/ Orange Housing) [see note 1]1,724.00 TK-5310-ISGK6 380-470 MHz 4W, 1024 CH, 12 Keypad Model 1,757.00 TK-5310-ISGK7 380-470 MHz 4W, 128 CH, Standard Model [see note 1]1,400.00 [note 1]:these models are stocked in minimum quantities. Please anticipate a minimum 90-day lead time and call order desk to verify availability. ANTENNAS LIST KRA-26M VHF helical antenna 146-162 MHz 14.00 KRA-26M2 VHF helical antenna 162-174 MHz 14.00 KRA-26M3 VHF helical antenna 136-150 MHz 14.00 KRA-27M UHF whip antenna 440-490 MHz 14.00 KRA-27M2 UHF whip antenna 470-520 MHz 14.00 KRA-27M3 UHF whip antenna 400-450 MHz 14.00 Packet Page 153 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 20 of 57 TK-5210G・5310G ANTENNAS - CONT'D LIST KRA-22M VHF low-profile helical antenna 148-162 MHz 13.70 KRA-22M2 VHF low-profile helical antenna 162-174 MHz 13.70 KRA-22M3 VHF Low-profile helical antenna 136-150 MHz 13.70 KRA-23M UHF low-profile helical antenna 450-490 MHz 13.70 KRA-23M2 UHF low-profile helical antenna 470-512 MHz 13.70 KRA-23M3 UHF low-profile helical antenna 403-430 MHz 13.70 KRA-16M VHF stubby antenna 148-162 MHz 13.70 KRA-16M2 VHF stubby antenna 162-174 MHz 13.70 KRA-16M3 VHF stubby antenna 136-150 MHz 13.70 KRA-17M UHF stubby antenna 450-490 MHz 13.70 KRA-17M2 UHF stubby antenna 470-512 MHz 13.70 KRA-17M3 UHF stubby antenna 403-430 MHz 13.70 KRA-25 High gain VHF helically loaded whip antenna 148-162 MHz 34.25 KRA-28 Broad-band VHF helically loaded whip antenna 140-170 MHz 42.00 KRA-29 Broad Band UHF Whip Antenna 380-430 MHz 36.75 BATTERIES AND CHARGERS LIST KNB-54N 2500 mAh, Ni-MH battery - requires KSC-32/326K charger [Immersion Option compatible] 87.50 KNB-33L 2000 mAh, Li-ion battery - requires KSC-32/326K charger [Immersion Option compatible] 105.00 KNB-41NC-FM 2500 mAh, Ni-MH battery - requires KSC-32/326K charger [FM Intrinsically Safe Option] 136.50 KNB-43L 3300 mAh, Li-Polymer battery - requires KSC-32/326K charger 163.00 KNB-49PL 4500 mAh, Primary Lithium battery Note: Non-Rechargeable (please recycle all batteries properly) 10 year Shelf Life (approx. 1% charge degradation per year when properly stored: +50 oF to +86 oF @ less than 70% humidity 84.00 KBP-6 AA Alkaline Refillable Battery Pack (6 AA; 9V) cells not included Note: the color of the case is orange 68.50 KSC-32 Rapid rate single unit charger for KNB-31A/32N/33L/41NC/43L/47L/48L/50NC Note: Includes 110/220V auto-switching AC adapter with U.S.-style line cord plug; requires plug adapter for 220V Euro-style outlets (not supplied). 70.00 KSC-326K Rapid rate 6-unit charger for KNB-31A/32N/33L/41NC/43L/47L/48L/50NC 630.00 KMB-30M Wall Mount Bracket for KSC-326K/256K 33.75 KMB-23 Six Unit Charger Adapter for the KSC-16/20/24/25/25L/32 chargers (chargers not included) 191.00 KVC-15 Rapid rate DC vehicular charger adapter for the KSC-32 (chargers not included; includes KSC-mobile bracket & cigarette lighter cable DC adapter) 119.00 KVC-18 Vehicular D.C. Charger for 180/5*10 Portables with NiCd or NiMH Battery 446.50 KVC-20L Vehicular D.C. Charger for 180/5**0/, NX Portables with Li-ion or Li Polymer Battery 497.00 CARRYING ACCESSORIES LIST KBH-11 Spring action belt clip (2.5")14.70 KBH-8DS Leather swivel belt loop with portable D-Ring attachment 26.30 KLH-6SW Leather swivel belt loop / detachable swivel D-Ring back 22.00 KLH-133K Heavy duty leather carrying case for TK-5*10 Basic Models 44.25 KLH-133K2 Heavy duty leather carrying case for TK-5*10 Standard Models 44.25 KLH-133K3 Heavy duty leather carrying case for TK-5*10 12 Keypad Models 44.25 KLH-134K Cordura Nylon carrying case for TK-5*10 Basic Models 26.30 KLH-134K2 Cordura Nylon carrying case for TK-5*10 Standard Models 26.30 KLH-134K3 Cordura Nylon carrying case for TK-5*10 12 Keypad Models 26.30 KLH-137ST Firemen's Heavy-Duty Leather Shoulder Strap for a Heavy-Duty Leather Case (KLH-75B/76B/78B/79B//92/122/123/133/148/154) 36.75 Packet Page 154 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 21 of 57 TK-5210G・5310G MICROPHONES & AUDIO ACCESSORIES LIST KMC-51M MIL-SPEC, IP54/55 DSP Digital Noise-canceling Speaker Mic 250.00 KMC-52W MIL-SPEC, IP67 (Immersion) DSP Digital Noise-canceling Speaker Mic 300.00 [note 2]: To adjust microphone settings different from factory default, download KPG-147NC configuration software and special configuration firmware from Kenwood Tools (no charge). KMC-47GPS GPS Speaker Microphone 290.00 KMC-41M MIL-SPEC, IP54/55 Noise-canceling Speaker Mic [Intrinsically Safe Approved Accessory] 96.50 KMC-42WM MIL-SPEC, IP67 (Immersion) Noise-canceling Speaker Mic [Intrinsically Safe Approved Accessory] [MSHA Approved Accessory] 114.00 KMC-26 MIL-SPEC, Noise canceling Speaker mic w/Antenna Connector (ant. not incl.) [Intrinsically Safe Approved Accessory] [MSHA Approved Accessory] 115.50 KMC-49 MIL-SPEC, Speaker Mic. with Antenna Connector [Intrinsically Safe Approved Accessory] Note: 5/16" Coax cable hex wrench included (antenna is not included). 250.00 KEP-1 3.5mm earphone kit for KMC-25/26/41M/42WM Speaker Mics [Intrinsically Safe Approved Accessory] [MSHA Approved Accessory] 52.50 KEP-3 30" Earphone kit w/ 2.5mm plug for KCT-30 [Intrinsically Safe Approved Accessory] [MSHA Approved Accessory] 51.50 KEP-4 48" Earphone kit w/ 2.5mm plug for KCT-30 [Intrinsically Safe Approved Accessory] 54.75 KCT-30 2.5mm Audio Accessory Adapter for KEP-3/4 [Intrinsically Safe Approved Accessory] 64.00 KCT-51 Hirose 6-pin Adapter (adapts KVL/aftermarket audio acc. to portable connector)215.00 KHS-11BE 2-wire palm mic w/earphone, universal connector (Beige) [Intrinsically Safe Approved Accessory] 156.50 KHS-11BL 2-wire palm mic w/earphone, universal connector (Black) [Intrinsically Safe Approved Accessory] 156.50 KHS-12BE 3-wire mini lapel mic w/earphone, universal connector (Beige) [Intrinsically Safe Approved Accessory] 184.00 KHS-12BL 3-wire mini lapel mic w/earphone, universal connector (Black) [Intrinsically Safe Approved Accessory] 184.00 KHS-14 Lt. Wt. Single muff headset w/boom mic & In-line PTT [Intrinsically Safe Approved Accessory] 126.00 KHS-15-BH Hvy-duty noise reduction behind-the-headset w/noise cancelling boom mic & in-line PTT [Intrinsically Safe Approved Accessory] [MSHA Approved Accessory] 420.00 KHS-15-OH Hvy-duty noise reduction over-the-headset w/noise cancelling boom mic & in-line PTT [Intrinsically Safe Approved Accessory] [MSHA Approved Accessory] 368.00 ENVIRONMENTAL SPEC. OPTIONS LIST KWD-IM10 IP 66/67/68 Immersion Option Kit* Must Order L-987 Note: Initial Installation Kenwood Long Beach Tuning Dept. only. To maintain immersion certification, re-certification is required every 2 years available at Kenwood Authorized Service Centers only. Call an ASC for return procedure ($315.00 List Price) IP 66 (Dust & Water Jet Intrusion), IP 67 (Immersion in 3.3 ft. (1m) depth @ 30 mins), IP 68 (Immersion in 3.3 ft. (1m) depth @ 2 hours) 368.00 Packet Page 155 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 22 of 57 TK-5210G・5310G FIRMWARE OPTIONS LIST KWD-RK20 OTAR Option for KWD-AE20K Encryption Module in TK-5x10 series (OTAR in P25 Conventional & Trunked Modes) • Requires KWD-AE20K module. • L-1108 (for portable) & L-1109 (for mobile) Installation (no charge) • L-1733 (for portable) & L-1734 (for mobile) Field Upgrade Option Note: • Supports OTAR in P25 Conventional & Trunked modes (Not compatible with GK7 64 CH Model) • Compatible with Motorola KMF P25 OTAR (excludes Motorola-proprietary non-TIA/P25 KMF features ) • Requires KPG-95D/DG(N) V7.10 or later for radio programming • TK-5x10 VER2: Requires KPG-95D V5.40 or later for radio programming • TK-5410/5910: Requires KPG-95D V6.00 or later for radio programming • TK-5x10G: Requires KPG-95DG(N) for radio programming • TK-5x10 VER2: Option deletes self-programming, cloning and analog FleetSync® (except PTT ID/Emergency) when installed. KWD-RK20 is an U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 830.00 KWD-TR20 Trunking Option for TK-5210/5310/5210G/5310G, TK-5710/5810/5710G/5810G KWD-TR20 supoort:16 Trunking Network Must order L-1055 for factory installation, or L-1067 for field-upgrade option Note: KPG-95D/95DG(N) Requires Network Level License ID to program trunked network radio parameters (see KPG-95D/95DG(N) for purchase restrictions & requirements) Compatible with TK-5210 Version 2 (SN 80600001 or later); TK-5310 (SN 809xxxxx or later); TK-5710 Version 2 (SN806xxxxx); TK-5810 (SN 809xxxxx or later); All TK-5x10G Series are compatible 334.00 SOFTWARE OPTIONS LIST KPG-113AE AES/DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K Loads AES & DES keys on capable encryption modules Note: KPG-113AE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 525.00 KPG-114DE DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K Loads DES keys only regardless of encryption module model Note: KPG-114DE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D992A.1) - See IMPORTANT NOTES - 368.00 OPTION MODULES LIST KCT-48VU External Vibration Unit [Intrinsically Safe Approved Accessory] Note: Audio accessories cannot be used when this option installed. KCT-48VU does not support the P25 digital mode calling or paging features 49.00 KCT-57MS Man-Down Internal Tilt Switch (Non-Mercury) [Intrinsically Safe Approved Accessory]- Must be Kenwood installed for I.S. Order L-1613 for CIM-1000, K-20, K-26 & L-1614 for FleetSync®/P25 Emergency operations 22.00 KWD-AE20K AES FIPS140-2 & DES Encryption Module for TK-5x10, TK-5x10G & TK-5x20 Portables & Mobiles (except K7 Portable) [KWD-AE20K support] - Advanced Encryption Standard (AES): 256-bit symmetric key algorithm; NIST validated per FIPS140- 2 - Data Encryption Standard (DES): 56-bit symmetric key algorithm. - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) - Must order KWD-RK20 for OTAR capability [Intrinsically Safe Approved Accessory] - Order L-1236 if installation is required. - KWD-AE20K requires: a Motorola KVL3000/+ & KVL-4000 Key Fill Devices and KMF P25 OTAR (excludes Motorola-proprietary non-TIA/P25 KMF features ). F/W VA2.0.3 or later supports the KVL4000. - KWD-AE20K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 Packet Page 156 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 23 of 57 TK-5210G・5310G OPTION MODULES - CONT'D LIST KWD-AE21K AES & DES Encryption Module for TK-5x10, TK-5x10G & TK-5x20 Portables & Mobiles (except K7 Portable) [KWD-AE20K support] - Advanced Encryption Standard (AES): 256-bit symmetric key algorithm; - Data Encryption Standard (DES): 56-bit symmetric key algorithm. - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) [Intrinsically Safe Approved Accessory] - Order L-1237 if installation is required. Note: Requires KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD- AE21K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-DE21K DES Encryption Module for TK-5x10, TK-5x10G & TK-5x20 Portables & Mobiles [KWD-DE21K support] - Data Encryption Standard (DES): 56-bit symmetric key algorithm - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) [Intrinsically Safe Approved Accessory] - Order L-1560 if installation is required Note: Requires KPG-114DE or KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD-DE21K is a U.S. DOC/BIS Export Controlled Item (ECCN 5A992A) - See IMPORTANT NOTES - 578.00 VGS-1 Voice Guide and Storage Unit [Intrinsically Safe Approved Accessory] 87.50 SERVICE RELATED ACCESSORIES LIST KPG-36UM USB Programming interface cable 158.50 KPG-93 KVL-3000/3000 Plus Interface Cable for TK-5x10, TK-5x10G & TK-5x20 Portables 262.50 KPG-95DGNK Windows® Programming Software for TK-5x10 & TK-5x10G Portables & Mobiles (Compliant with FCC Part 90 Narrowbanding) Note: Self-programming function is not available. Analog & P25 Conventional Programming A “Dealer-Level” License ID is included with each KPG-95DG(N)K which only permits full analog conventional and P25 conventional programming. Data files created with a “Network-Level Licensed” KPG-95DG(N)K and containing P25 programmed P25 trunked network parameters can be loaded and viewed with a Dealer-Level Licensed KPG-95DG(N)K, but the trunked network parameters cannot be changed. P25 Trunked Programming Capability (licensed by either 1 or 2 below): 1. KPG-95DG(N)K with System Key File (*.SKF)- See L-989 • For all TK-5x10 radio platforms (VER1, 2, 3 or later). • 3-digit HEX System ID (HSID) and verifiable written authorization required from trunked system operator (SYSOP). • Purchase KPG-95DG(N)K & L-989 Network-Level License ID • Kenwood ships an encrypted *.SKF file on CD ROM • The *.SKF securely embeds/encrypts the 16-digit Network Level License ID & the HSID. 2. KPG-95DG(N)K with Advanced Network Keys (ANK’s) • For TK-5x10G/5410/5910 VER 3 or later radio platforms only. • SYSOPs: Refer to KWD-ANK-MK Master Key • Dealers/contractors: Refer to KWD-ANK-AK Access Key • KPG-95DG(N)K (V7.0 or later) supports up to 16 KWD-ANK-AK Access Keys (16 trunked networks). 628.00 KWD-ANK-AK Access Key for KPG-95DG(N)K P25 trunked programming Notes: • For TK-5x10G/5410/5910 VER 3 or later radio platforms only • Must be activated by a SYSOP with KWD-ANK-MK Master Key. • Must have KPG-95DG(N)K (V7.0 or later); L-989 is NOT required. • Battery Life: 3 years (non-serviceable; key must be replaced) 208.00 KWD-ANK-MK Master Key for activating KWD-ANK-AK Access Keys - Restricted Purchase Requirements - Notes: • For TK-5x10G/5410/5910 VER 3 or later radio platforms only. • Sold to SYSOP or SYSOP authorized entities only • Must have KPG-95DG(N)K (V7.0 or later) with L-989 Network-Level License ID • SYSOP must provide 3-digit HEX HSID to Kenwood. • Purchase KWD-ANK-AK Access Keys if needed. • Battery Life: 3 years (non-serviceable; key must be replaced) 500.00 Packet Page 157 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 24 of 57 TK-5210G・5310G INSTALLATION / TUNING CHARGES LIST L-961 Assemble KMB-23 with six KSC-32K's (Rapid Rate, 120 Volt version only)17.00 L-986 Configure TK-5x10-IS & TK-5x10-ISG for Intrinsically Safe Must order an I.S. battery, KNB-41NC-FM 100.00 L-987 Immersion Option Certification (Must purchase Immersion Option Kit, KWD-IM10 separately) N/C L-989 KPG-95D/95DG(N) Network Level ID (encrypted data file) 132.00 L-990 TK-5x10 & TK-5x10G Portable Programming (Basic TX/RX check only with factory test freq.s or dealer/customer provided KPG-95D/95DG(N) data file) 125.00 L-1055 Install KWD-TR20 Trunking Option in TK-5210/5310/5210G/5310G (Must purchase KWD-TR20K separately) N/C L-1067 TK-5210/5310 KWD-TR20 FIELD-UPGRADE (Must purchase KWD-TR20 separately)42.00 L-1108 Install KWD-RK20 OTAR Option in TK-5x10 & TK-5x10G Series (Must purchase KWD-RK20 separately) N/C L-1236 Install KWD-AE20K in TK-5x10 & TK-5x10G Series Portables (Must purchase module separately) 75.00 L-1237 Install KWD-AE21K in TK-5x10 & TK-5x10G Series Portables (Must purchase module separately) 75.00 L-1559 Install KWD-DE20K in TK-5x10 & TK-5x10G Series Portables (Must purchase module separately) 75.00 L-1560 Install KWD-DE21K in TK-5x10 & TK-5x10G Series Portables (Must purchase module separately) 75.00 L-1614 TK-5x10 & TK-5x10G Series Portable KCT-57MS Installation (for P25/FleetSync®)20.00 L-1733 KWD-RK20 Field Upgrade Option for TK-5x10/5x10G/5410 (Must purchase KWD-RK20 separately) 42.00 -- IMPORTANT NOTES -- Encryption modules, key loaders and radios containing encryption are export controlled by the U.S. Department of Commerce Bureau of Industry & Security EAR regulations and may either require an Export License, are eligible for a License Exception (ENC) or are exportable with No License Required (NLR) depending on the country, the consignee and the intended use. High level encryption is a special commodity that may require an export license to most countries. See www.bis.gov for more information regarding export regulations. DO NOT SHIP encryption items outside the U.S. without proper DOC/BIS Export Licenses and/or compliances. Kenwood may request the following information to be submitted at time of order (this information must meet Kenwood internal approvals prior to shipment even if being returned to Kenwood later: a) Initial Destination: Initial delivery point if different from Ultimate Destination (customer distribution center, headquarters, dealership, manufacturer's representative) * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: b) Ultimate Destination: Final delivery point(s); deployment/distribution * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: c) Intended Use of Radios: Law enforcement, security, operations, etc. -------------------------------------------------------------------------------------------------- KWD-AE20 AES FIPS140-2 SCM , NIST Validation & Customer Shipping A secure delivery method direct to the end user customer is required by the NIST AES FIPS 140-2 validation rules. For U.S. Federal Government entities the SCM must ship from Kenwood USA Corporation directly to the end user customer by a trusted carrier (FEDEX, UPS or a designated Kenwood USA Corporation employee); shipping/handling by a dealer or other entity is not acceptable. This may or may not be required by local/state government agencies or business/industrial users. Please check with the end use customer about their AES encryption handling requirements before ordering. Kenwood will not be responsible for shipments of KWD-AE20K modules to erroneous destinations specified on an order. Packet Page 158 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 25 of 57 TK-5410 PACKAGES LIST TK-5410K2-NKP NiMH Battery Package (TK-5410K2 + KNB-54N + KSC-32 + KBH-11+KRA-32K)1,851.50 TK-5410K2-LKP Li-Polymer Package (TK-5410K2 + KNB-43L + KSC-32 + KBH-11+KRA-32K)1,927.00 TK-5410K3-NKP NiMH Battery Package (TK-5410K3 + KNB-54N + KSC-32 + KBH-11+KRA-32K)2,009.50 TK-5410K3-LKP Li-Polymer Package (TK-5410K3 + KNB-43L + KSC-32 + KBH-11+KRA-32K)2,085.00 RADIO LIST TK-5410K2 700/800 MHz 3W, 1024 CH, Standard Model 1,659.00 TK-5410K3 700/800 MHz 3W, 1024 CH, 12 Keypad Model 1,817.00 RADIO LIST TK-5410K2-YH 700/800 MHz 3W, 1024 CH, Standard Model (w/ Yellow Housing) [see note 1]1,784.00 TK-5410K2-OH 700/800 MHz 3W, 1024 CH, 12 Keypad Model (w/ Orange Housing) [see note 1]1,784.00 [Note 1]: These models are stocked in minimum quantities. Please anticipate a 90-day lead time. Contact the order desk to verify availability. TK-5410 700/800 MHz FM Analog & P25 Digital Portable Radio All 5410 series portables include: • Belt Clip (KBH-11) • Universal Connector Cap • Instruction Manual • Premium Warranty: 3 Years* * All Accessories / options: 1 Year Order packages to include Battery, Charger & Antenna, or purchase Battery, Charger, and Antenna separately. GENERAL FEATURES • 3 Watt • 100 Zones / 1024 Channels • 12-Key Keypad Model • Personality Lists • Backlit Dot Matrix LCD • 16 Character Alphanumeric Aliases • 3-Digit Sub-Display • Function / Status LCD Icons • RSSI Indicator • Transmit / Busy / Call Alert / Warn LED • On/Off Volume Knob • 16-Position Selector Knob • 2-Position PF Lever Switch • 3-Position PF Concentric Switch • 4 Front Menu-Driven PF Keys • 3 Side PF Keys • Orange Emergency / AUX Key • Zone / Ch Voice Announce • VOX Ready • Emergency Features • Battery Level • Transceiver Password • Date & 12/24 Hour Time Clock • Windows® Programming & Tuning • Windows® Firmware Uploading • Voice Guide & Storage (option) • Weather-Sealed Accessory Connector • MIL-STD-810 C/D/E/F/G • IP54/55 Water & Dust Protection • Immersion (IP66/67/68) Option • Intrinsically Safe Option P25 DIGITAL • P25 Digital Conventional • P25 Digital Trunking • AMBE+2™ Enhanced VOCODER • Talk Group ID Lists • Individual ID Lists • Caller ID Display • Remote Monitor / Check, Radio Inhibit • Encryption Key Zeroize & Retention • DES Encryption Option • AES & DES Encryption Options • KPG-36AM Radio Program/Soft-Key Loader Cable • KPG-93 KVL Device Key Loader Cable • P25 GPS Location • P25 OTAR Option SCAN TYPES (FM & P25) • Single Zone/Multi-Zone Scan • Scan Lists • Conventional Scan • Limited Talk Group Scan • Priority Monitor Scan • Dual Priority Scan FM • QT / DQT • Operator Selectable Tone • DTMF Encode • Companded Audio • NPSPAC Channels Standard Model 16-Character Alphanumeric LCD 4 control keys 12 Keypad Model 16-Character Alphanumeric LCD 4 control keys DTMF/Function keypad * Approved for Classes I, II & III, Div. 1, Groups D, E, F, G and are also approved for non- Incendive use in Class I, Div. 2, Groups A, B, C, D hazardous locations. Note: Class I, Div 2 Group A & B Gases require use of a portable carrying case. Table of Contents Packet Page 159 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 26 of 57 TK-5410 FACTORY MUTUAL (FM) APPROVED MODELS LIST Must Order L-986 & an Intrinsically Safe Battery per radio TK-5410-ISK2 700/800 MHz 3W, 1024 CH, Standard Model 1,659.00 TK-5410-ISK3 700/800 MHz 3W, 1024 CH, 12 Keypad Model 1,817.00 ANTENNAS LIST KRA-32K 700/800 MHz Whip Antenna 35.00 KRA-36 700/800 MHz Stubby Antenna 25.00 BATTERIES AND CHARGERS LIST KNB-54N 2500 mAh, Ni-MH battery - requires KSC-32/326K charger [Immersion Option compatible] 87.50 KNB-33L 2000 mAh, Li-ion battery - requires KSC-32/326K charger 105.00 KNB-41NC-FM 2500 mAh, Ni-MH battery - requires KSC-32/326K charger [FM Intrinsically Safe Option] [Immersion Option compatible] 136.50 KNB-43L 3300 mAh, Li-Polymer battery - requires KSC-32/326K charger 163.00 KNB-49PL 4500 mAh, Primary Lithium battery Note: Non-Rechargeable (please recycle all batteries properly) 10 year Shelf Life (approx. 1% charge degradation per year when properly stored: +50 oF to +86 oF @ less than 70% humidity 84.00 KBP-6 AA Alkaline Refillable Battery Pack (6 AA; 9V) cells not included Note: the color of the case is orange 68.50 KSC-32 Rapid rate single unit charger for KNB-31A/32N/33L/41NC/43L/47L/48L/50NC/54N Note: Includes 110/220V auto-switching AC adapter with U.S.-style line cord plug; requires plug adapter for 220V Euro-style outlets (not supplied). 70.00 KSC-326K Rapid rate 6-unit charger for KNB-31A/32N/33L/41NC/43L/47L/48L/50NC/54N 630.00 KMB-30M Wall Mount Bracket for KSC-326K/256K 33.75 KMB-23 Six Unit Charger Adapter for the KSC-16/20/24/25/25L/32 chargers (chargers not included) 191.00 KVC-15 Rapid rate DC vehicular charger adapter for the KSC-32 (chargers not included; includes KSC-mobile bracket & cigarette lighter cable DC adapter) 119.00 KVC-18 Vehicular D.C. Charger for 180/5*10 Portables with NiCd or NiMH Battery 446.50 KVC-20L Vehicular D.C. Charger for 180/5**0/, NX Portables with Li-ion or Li Polymer Battery 497.00 CARRYING ACCESSORIES LIST KBH-11 Spring action belt clip (2.5")14.70 KBH-8DS Leather belt loop with D-Ring receptacle and D-Ring stud attachment Notes: cannot use belt clip when installed 26.30 KLH-6SW Leather belt loop with D-Ring receptacle and D-Ring stud leather case back Notes: converts leather carry case to swivel 22.00 KLH-133K2 Heavy duty leather carrying case for TK-5*10 Standard Models 44.25 KLH-133K3 Heavy duty leather carrying case for TK-5*10 12 Keypad Models 44.25 KLH-134K2 Cordura Nylon carrying case for TK-5*10 Standard Models 26.30 KLH-134K3 Cordura Nylon carrying case for TK-5*10 12 Keypad Models 26.30 KLH-137ST Firemen's Heavy-Duty Leather Shoulder Strap for a Heavy-Duty Leather Case (KLH-75B/76B/78B/79B//92/122/123/133/148/154) 36.75 Packet Page 160 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 27 of 57 TK-5410 MICROPHONES & AUDIO ACCESSORIES LIST KMC-51M MIL-SPEC, IP54/55 DSP Digital Noise-canceling Speaker Mic [see note 1]250.00 KMC-52W MIL-SPEC, IP67 (Immersion) DSP Digital Noise-canceling Speaker Mic [see note 1]300.00 [note 1]: To adjust microphone settings different from factory default, download KPG-147NC configuration software and special configuration firmware from Kenwood Tools (no charge). KMC-41M MIL-SPEC, IP54/55 Noise-canceling Speaker Mic [Intrinsically Safe Approved Accessory] 96.50 KMC-42WM MIL-SPEC, IP67 (Immersion) Noise-canceling Speaker Mic [Intrinsically Safe Approved Accessory] 114.00 KMC-49 MIL-SPEC, Speaker Mic. with Antenna Connector [Intrinsically Safe Approved Accessory] Note: 5/16" Coax cable hex wrench included (antenna is not included). 250.00 KEP-1 3.5mm earphone kit for KMC-25/26/41M/42WM Speaker Mics [Intrinsically Safe Approved Accessory] 52.50 KEP-3 30" Earphone kit w/ 2.5mm plug for KCT-30 [Intrinsically Safe Approved Accessory] 51.50 KEP-4 48" Earphone kit w/ 2.5mm plug for KCT-30 [Intrinsically Safe Approved Accessory] 54.75 MICROPHONES & AUDIO ACCESSORIES - CONT'D LIST KCT-30 2.5mm Audio Accessory Adapter for KEP-3/4 [Intrinsically Safe Approved Accessory] 64.00 KCT-51 Hirose 6-pin Adapter (adapts KVL/aftermarket audio acc. to portable connector) [Intrinsically Safe Approved Accessory] 215.00 KHS-11BE 2-wire palm mic w/earphone, universal connector (Beige) [Intrinsically Safe Approved Accessory] 156.50 KHS-11BL 2-wire palm mic w/earphone, universal connector (Black) [Intrinsically Safe Approved Accessory] 156.50 KHS-12BE 3-wire mini lapel mic w/earphone, universal connector (Beige) [Intrinsically Safe Approved Accessory] 184.00 KHS-12BL 3-wire mini lapel mic w/earphone, universal connector (Black) [Intrinsically Safe Approved Accessory] 184.00 KHS-14 Lt. Wt. Single muff headset w/boom mic & In-line PTT [Intrinsically Safe Approved Accessory] 126.00 KHS-15-BH Hvy-duty noise reduction behind-the-headset w/noise cancelling boom mic & in-line PTT [Intrinsically Safe Approved Accessory] 420.00 KHS-15-OH Hvy-duty noise reduction over-the-headset w/noise cancelling boom mic & in-line PTT [Intrinsically Safe Approved Accessory] 368.00 ENVIRONMENTAL SPEC. OPTIONS LIST KWD-IM10 IP 66/67/68 Immersion Option Kit* Must Order L-987 Note: Initial Installation Kenwood Long Beach Tuning Dept. only. To maintain immersion certification, re- certification is required every 2 years available at Kenwood Authorized Service Centers only. Call an ASC for return procedure ($315.00 List Price) IP 66 (Dust & Water Jet Intrusion), IP 67 (Immersion in 3.3 ft. (1m) depth @ 30 mins), IP 68 (Immersion in 3.3 ft. (1m) depth @ 2 hours) 368.00 Packet Page 161 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 28 of 57 TK-5410 FIRMWARE OPTIONS LIST KWD-RK20 OTAR Option for KWD-AE20K Encryption Module in TK-5x10 series (OTAR in P25 Conventional & Trunked Modes) • Requires KWD-AE20K module. • L-1108 (for portable) & L-1109 (for mobile) Installation (no charge) • L-1733 (for portable) & L-1734 (for mobile) Field Upgrade Option Note: • Supports OTAR in P25 Conventional & Trunked modes (Not compatible with GK7 64 CH Model) • Compatible with Motorola KMF P25 OTAR (excludes Motorola-proprietary non-TIA/P25 KMF features ) • Requires KPG-95D/DG(N) V7.10 or later for radio programming • TK-5x10 VER2: Requires KPG-95D V5.40 or later for radio programming • TK-5410/5910: Requires KPG-95D V6.00 or later for radio programming • TK-5x10G: Requires KPG-95DG(N) for radio programming • TK-5x10 VER2: Option deletes self-programming, cloning and analog FleetSync® (except PTT ID/Emergency) when installed. KWD-RK20 is an U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 830.00 SOFTWARE OPTIONS LIST KPG-113AE AES/DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K Loads AES & DES keys on capable encryption modules Note: KPG-113AE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 525.00 KPG-114DE DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K Loads DES keys only regardless of encryption module model Note: KPG-114DE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D992A.1) - See IMPORTANT NOTES - 368.00 OPTION MODULES LIST KCT-48VU External Vibration Unit [Intrinsically Safe Approved Accessory] Note: Audio accessories cannot be used when this option installed. KCT-48VU does not support the P25 digital mode calling or paging features 49.00 KCT-57MS Man-Down Internal Tilt Switch (Non-Mercury) [Intrinsically Safe Approved Accessory]- Must be Kenwood installed for I.S. Order L-1614 for FleetSync®/P25 Emergency operations 22.00 KWD-AE20K AES FIPS140-2 & DES Encryption Module for TK-5x10, TK-5x10G & TK-5x20 Portables & Mobiles (except K7 Portable) [KWD-AE20K support] - Advanced Encryption Standard (AES): 256-bit symmetric key algorithm; NIST validated per FIPS140-2 - Data Encryption Standard (DES): 56-bit symmetric key algorithm. - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) - Must order KWD-RK20 for OTAR capability [Intrinsically Safe Approved Accessory] - Order L-1236 if installation is required. - KWD-AE20K requires: a Motorola KVL3000/+ & KVL-4000 Key Fill Devices and KMF P25 OTAR (excludes Motorola-proprietary non-TIA/P25 KMF features ). F/W VA2.0.3 or later supports the KVL4000. - KWD-AE20K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-AE21K AES & DES Encryption Module for TK-5x10, TK-5x10G & TK-5x20 Portables & Mobiles (except K7 Portable) [KWD-AE20K support] - Advanced Encryption Standard (AES): 256-bit symmetric key algorithm; - Data Encryption Standard (DES): 56-bit symmetric key algorithm. - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) [Intrinsically Safe Approved Accessory] - Order L-1237 if installation is required. Note: Requires KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD- AE21K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) 998.00 KWD-DE21K DES Encryption Module for TK-5x10, TK-5x10G & TK-5x20 Portables & Mobiles [KWD-DE21K support] - Data Encryption Standard (DES): 56-bit symmetric key algorithm - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) [Intrinsically Safe Approved Accessory] - Order L-1560 if installation is required Note: Requires KPG-114DE or KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD-DE21K is a U.S. DOC/BIS Export Controlled Item (ECCN 5A992A) - See IMPORTANT NOTES - 578.00 Packet Page 162 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 29 of 57 TK-5410 SERVICE RELATED ACCESSORIES LIST KPG-36UM USB Programming interface cable 158.50 KPG-93 KVL-3000/3000 Plus Interface Cable for TK-5x10, TK-5x10G & TK-5x20 Portables 262.50 KPG-95DGNK Windows® Programming Software for TK-5x10 & TK-5x10G Portables & Mobiles (Compliant with FCC Part 90 Narrowbanding) Note: Self-programming function is not available. Analog & P25 Conventional Programming A “Dealer-Level” License ID is included with each KPG-95D/DG(N)K which only permits full analog conventional and P25 conventional programming. Data files created with a “Network-Level Licensed” KPG-95D/95DG(N) and containing P25 programmed P25 trunked network parameters can be loaded and viewed with a Dealer-Level Licensed KPG-95D/DG(N)K, but the trunked network parameters cannot be changed. P25 Trunked Programming Capability (licensed by either 1 or 2 below): 1. KPG-95DG(N)K with System Key File (*.SKF)- See L-989 • For all TK-5x10 radio platforms (VER1, 2, 3 or later). • 3-digit HEX System ID (HSID) and verifiable written authorization required from trunked system operator (SYSOP). • Purchase KPG-95DG(N)K & L-989 Network-Level License ID • Kenwood ships an encrypted *.SKF file on CD ROM • The *.SKF securely embeds/encrypts the 16-digit Network Level License ID & the HSID. 2. KPG-95DG(N)K with Advanced Network Keys (ANK’s) • For TK-5x10G/5410/5910 VER 3 or later radio platforms only. • SYSOPs: Refer to KWD-ANK-MK Master Key • Dealers/contractors: Refer to KWD-ANK-AK Access Key • KPG-95DG(N)K (V7 0 or later) supports up to 16 KWD-ANK-AK Access Keys (16 trunked networks) 628.00 KWD-ANK-AK Access Key for KPG-95DG(N)K P25 trunked programming Notes: • For TK-5x10G/5410/5910 VER 3 or later radio platforms only • Must be activated by a SYSOP with KWD-ANK-MK Master Key. • Must have KPG-95DG(N)K (V7.0 or later); L-989 is NOT required. • Battery Life: 3 years (non-serviceable; key must be replaced) 208.00 KWD-ANK-MK Master Key for activating KWD-ANK-AK Access Keys - Restricted Purchase Requirements - Notes: • For TK-5x10G/5410/5910 VER 3 or later radio platforms only. • Sold to SYSOP or SYSOP authorized entities only • Must have KPG-95DG(N)K (V7.0 or later) with L-989 Network-Level License ID • SYSOP must provide 3-digit HEX HSID to Kenwood. • Purchase KWD-ANK-AK Access Keys if needed. • Battery Life: 3 years (non-serviceable; key must be replaced) 500.00 INSTALLATION / TUNING CHARGES LIST L-961 Assemble KMB-23 with six KSC-32K's (Rapid Rate, 120 Volt version only)17.00 L-986 Configure TK-5210-IS/TK-5310-IS/TK-5410-IS for Intrinsically Safe Must order an I.S. battery, KNB-41NC-FM 100.00 L-987 Immersion Option Certification (Must purchase Immersion Option Kit, KWD-IM10 separately) N/C L-989 KPG-95D/95DG(N) Network Level ID (encrypted data file) Note: Enables Trunked system programming privileges in a KPG-95DG(N)K. - Restricted Purchase Requirements - • 3-Digit HEX System ID (HSID) from SYSOP required • Must Purchase KPG-95DG(N)K (V7.0 or later) with L-989 • Kenwood ships an encrypted *.SKF file on CD ROM • Non-SYSOP entities ordering L-989 must provide verifiable written authorization from SYSOP to receive an *.SKF file. • The 16-digit Network Level License ID & 3-digit HEX HSID are securely encrypted & embedded in the *.SKF file. 132.00 L-990 TK-5*10 Programming (Basic TX/RX check only with factory test freq.s or dealer/customer provided KPG-95D/DG(N) data file) 125.00 L-1236 Install KWD-AE20K in TK-5*10 Portables (Must purchase module separately) 75.00 L-1237 Install KWD-AE21K in TK-5*10 Portables (Must purchase module separately) 75.00 L-1560 Install KWD-DE21K in TK-5*10 Portables (Must purchase module separately) 75.00 L-1614 5*10 Portable KCT-57MS Installation (for P25)20.00 L-1733 KWD-RK20 Field Upgrade Option for TK-5x10G & 5410 (Must purchase KWD-RK20 separately) 42.00 Packet Page 163 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 30 of 57 TK-5410 -- IMPORTANT NOTES -- Encryption modules, key loaders and radios containing encryption are export controlled by the U.S. Department of Commerce Bureau of Industry & Security EAR regulations and may either require an Export License, are eligible for a License Exception (ENC) or are exportable with No License Required (NLR) depending on the country, the consignee and the intended use. High level encryption is a special commodity that may require an export license to most countries. See www.bis.gov for more information regarding export regulations. DO NOT SHIP encryption items outside the U.S. without proper DOC/BIS Export Licenses and/or compliances. Kenwood may request the following information to be submitted at time of order (this information must meet Kenwood internal approvals prior to shipment even if being returned to Kenwood later: a) Initial Destination: Initial delivery point if different from Ultimate Destination (customer distribution center, headquarters, dealership, manufacturer's representative) * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: b) Ultimate Destination: Final delivery point(s); deployment/distribution * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: c) Intended Use of Radios: Law enforcement, security, operations, etc. -------------------------------------------------------------------------------------------------- KWD-AE20 AES FIPS140-2 SCM , NIST Validation & Customer Shipping A secure delivery method direct to the end user customer is required by the NIST AES FIPS 140-2 validation rules. For U.S. Federal Government entities the SCM must ship from Kenwood USA Corporation directly to the end user customer by a trusted carrier (FEDEX, UPS or a designated Kenwood USA Corporation employee); shipping/handling by a dealer or other entity is not acceptable. This may or may not be required by local/state government agencies or business/industrial users. Please check with the end use customer about their AES encryption handling requirements before ordering. Kenwood will not be responsible for shipments of KWD-AE20K modules to erroneous destinations specified on an order. Packet Page 164 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 31 of 57 TK-5410D PACKAGES LIST TK-5410DK2-NKP NiMH Battery Package (TK-5410DK2 + KNB-54N + KSC-32 + KBH-11+KRA-32K)2,360.00 TK-5410DK2-LKP Li-Polymer Package (TK-5410DK2 + KNB-43L + KSC-32 + KBH-11+KRA-32K)2,435.00 TK-5410DK3-NKP NiMH Battery Package (TK-5410DK3 + KNB-54N + KSC-32 + KBH-11+KRA-32K)2,515.00 TK-5410DK3-LKP Li-Polymer Package (TK-5410DK3 + KNB-43L + KSC-32 + KBH-11+KRA-32K)2,590.00 RADIO LIST TK-5410DK2 700/800 MHz 3W, 1024 CH, Standard Model 2,200.00 TK-5410DK3 700/800 MHz 3W, 1024 CH, 12 Keypad Model 2,358.33 RADIO (Special Color Housing)LIST TK-5410DK2-YH 700/800 MHz 3W, 1024 CH, Standard Model (w/ Yellow Housing) [see note 1]2,325.00 TK-5410DK2-OH 700/800 MHz 3W, 1024 CH, 12 Keypad Model (w/ Orange Housing) [see note 1]2,325.00 [Note 1]:These models are stocked in minimum quantities. Please anticipate a minimum 90-day lead time. Contact the order desk to verify availability. TK-5410D 700/800 MHz FM Analog & P25 Digital Portable Radio All 5410D series portables include: • Belt Clip (KBH-11) • Universal Connector Cap • Instruction Manual • Premium Warranty: 3 Years* * All Accessories / options: 1 Year Order packages to include Battery, Charger & Antenna, or purchase Battery, Charger, and Antenna separately. GENERAL FEATURES • 3 Watt • 100 Zones / 1024 Channels • 12-Key Keypad Model • Personality Lists • Backlit Dot Matrix LCD • 16 Character Alphanumeric Aliases • 3-Digit Sub-Display • Function / Status LCD Icons • RSSI Indicator • Transmit / Busy / Call Alert / Warn LED • On/Off Volume Knob • 16-Position Selector Knob • 2-Position PF Lever Switch • 3-Position PF Concentric Switch • 4 Front Menu-Driven PF Keys • 3 Side PF Keys • Orange Emergency / AUX Key • Zone / Ch Voice Announcement • VOX Ready • Emergency Features • Battery Level • Transceiver Password • Date & 12/24 Hour Time Clock • KPG-95DG/DGN Windows® FPU • Flash Firmware Upgrading • VGS-1 Voice Guide & Storage • Weather-Sealed Accessory Connector • MIL-STD-810 C/D/E/F/G • IP54/55/66 Water & Dust Intrusion • IP67/68 Immersion P25 DIGITAL • P25 Conventional • P25 Phase 1 Trunking • P25 Phase 2 Trunking • AMBE+2™ Enhanced VOCODER • Talk Group ID Lists • Individual ID Lists • Caller ID Display • Remote Monitor / Check, Radio Inhibit • Encryption Key Zeroize & Retention • DES Encryption Module Option • AES & DES Encryption Module Option • P25 GPS Location • P25 OTAR Option SCAN TYPES (FM & P25) • Single Zone/Multi-Zone Scan • Scan Lists • Conventional Scan • Limited Talk Group Scan • Priority Monitor Scan • Dual Priority Scan FM • QT / DQT • Operator Selectable Tone • DTMF Encode • Companded Audio • NPSPAC Channels Standard Model 16-Character Alphanumeric LCD 4 control keys 12 Keypad Model 16-Character Alphanumeric LCD 4 control keys DTMF/Function keypad Table of Contents Packet Page 165 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 32 of 57 TK-5410D ANTENNAS LIST KRA-32K 700/800 MHz Whip Antenna 35.00 KRA-36 700/800 MHz Stubby Antenna 25.00 BATTERIES AND CHARGERS LIST KBP-6 AA Alkaline Refillable Battery Pack (6 AA; 9V) cells not included Note: the color of the case is orange 68.50 KMB-23 Six Unit Charger Adapter for the KSC-16/20/24/25/25L/32 chargers (chargers not included) 191.00 KMB-30M Wall Mount Bracket for KSC-326K/256K 33.75 KNB-33L 2000 mAh, Li-ion battery - requires KSC-32/326K charger 105.00 KNB-43L 3300 mAh, Li-Polymer battery - requires KSC-32/326K charger 163.00 KNB-49PL 4500 mAh, Primary Lithium battery Note: Non-Rechargeable (please recycle all batteries properly) 10 year Shelf Life (approx. 1% charge degradation per year when properly stored: +50 oF to +86 oF @ less than 70% humidity 84.00 KNB-54N 2500 mAh, Ni-MH battery - requires KSC-32/326K charger [Immersion Option compatible] 87.50 KSC-32 Rapid rate single unit charger for KNB-31A/32N/33L/41NC/43L/47L/48L/50NC/54N Note: Includes 110/220V auto-switching AC adapter with U.S.-style line cord plug; requires plug adapter for 220V Euro-style outlets (not supplied). 70.00 KSC-326K Rapid rate 6-unit charger for KNB-31A/32N/33L/41NC/43L/47L/48L/50NC/54N 630.00 KVC-15 Rapid rate DC vehicular charger adapter for the KSC-32 (chargers not included; includes KSC-mobile bracket & cigarette lighter cable DC adapter) 119.00 KVC-18 Vehicular D.C. Charger for 180/5*10 Portables with NiCd or NiMH Battery 446.50 KVC-20L Vehicular D.C. Charger for 180/5**0/, NX Portables with Li-ion or Li Polymer Battery 497.00 CARRYING ACCESSORIES LIST KBH-11 Spring action belt clip (2.5")14.70 KBH-8DS Leather belt loop with D-Ring receptacle and D-Ring stud attachment Notes: cannot use belt clip when installed 26.30 KLH-133K2 Heavy duty leather carrying case for TK-5*10 Standard Models 44.25 KLH-133K3 Heavy duty leather carrying case for TK-5*10 12 Keypad Models 44.25 KLH-134K2 Cordura Nylon carrying case for TK-5*10 Standard Models 26.30 KLH-134K3 Cordura Nylon carrying case for TK-5*10 12 Keypad Models 26.30 KLH-137ST Firemen's Heavy-Duty Leather Shoulder Strap for a Heavy-Duty Leather Case (KLH-75B/76B/78B/79B//92/122/123/133/148/154) 36.75 KLH-6SW Leather belt loop with D-Ring receptacle and D-Ring stud leather case back Notes: converts leather carry case to swivel 22.00 MICROPHONES & AUDIO ACCESSORIES (For FDMA & TDMA Operations)LIST KMC-42WD MIL-SPEC, IP67 (Immersion) Noise-canceling Speaker Mic 114.00 KMC-47GPSD GPS Speaker Microphone 290.00 KMC-51D MIL-SPEC, IP54/55 DSP Digital Noise-canceling Speaker Mic [see note 1] 250.00 KMC-52WD MIL-SPEC, IP67 (Immersion) DSP Digital Noise-canceling Speaker Mic [see note 1]300.00 Packet Page 166 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 33 of 57 TK-5410D MICROPHONES & AUDIO ACCESSORIES (For FDMA Operations)LIST KCT-30 2.5mm Audio Accessory Adapter for KEP-3/4 64.00 KCT-51 Hirose 6-pin Adapter (adapts KVL/aftermarket audio acc. to portable connector)215.00 KEP-1 3.5mm earphone kit for KMC-25/26/41M/42WM Speaker Mics 52.50 KEP-3 30" Earphone kit w/ 2.5mm plug for KCT-30 51.50 KEP-4 48" Earphone kit w/ 2.5mm plug for KCT-30 54.75 KHS-11BE 2-wire palm mic w/earphone, universal connector (Beige)156.50 KHS-11BL 2-wire palm mic w/earphone, universal connector (Black)156.50 KHS-12BE 3-wire mini lapel mic w/earphone, universal connector (Beige)184.00 KHS-12BL 3-wire mini lapel mic w/earphone, universal connector (Black)184.00 KHS-14 Lt. Wt. Single muff headset w/boom mic & In-line PTT 126.00 KHS-15-BH Hvy-duty noise reduction behind-the-headset w/noise cancelling boom mic & in-line PTT 420.00 KHS-15-OH Hvy-duty noise reduction over-the-headset w/noise cancelling boom mic & in-line PTT 368.00 KMC-41M MIL-SPEC, IP54/55 Noise-canceling Speaker Mic 96.50 KMC-42WM MIL-SPEC, IP67 (Immersion) Noise-canceling Speaker Mic 114.00 KMC-49 MIL-SPEC, Speaker Mic. with Antenna Connector Note: 5/16" Coax cable hex wrench included (antenna is not included). 250.00 KMC-51M MIL-SPEC, IP54/55 DSP Digital Noise-canceling Speaker Mic [see note 1]250.00 KMC-52W MIL-SPEC, IP67 (Immersion) DSP Digital Noise-canceling Speaker Mic [see note 1]300.00 [note 1]: To adjust microphone settings different from factory default, download KPG-147NC configuration software and special configuration firmware from Kenwood Tools (no charge). FIRMWARE OPTIONS LIST KWD-RK20 OTAR Option for KWD-AE20K Encryption Module in TK-5x10 series (OTAR in P25 Conventional & Trunked Modes) • Requires KWD-AE20K module. • L-1108 Installation (no charge) • L-1733 Field Upgrade Option Note: • Supports OTAR in P25 Conventional & Trunked modes • Compatible with Motorola KMF P25 OTAR (excludes Motorola-proprietary non-TIA/P25 KMF features ) • Requires KPG-95DG(N) V8.00 or later for radio programming KWD-RK20 is an U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 830.00 SOFTWARE OPTIONS LIST KPG-113AE AES/DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K Loads AES & DES keys on capable encryption modules Note: KPG-113AE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 525.00 KPG-114DE DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K Loads DES keys only regardless of encryption module model Note: KPG-114DE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D992A.1) - See IMPORTANT NOTES - 368.00 Packet Page 167 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 34 of 57 TK-5410D OPTION MODULES LIST KCT-48VU External Vibration Unit Note: Audio accessories cannot be used when this option installed. KCT-48VU does not support the P25 digital mode calling or paging features 49.00 KCT-57MS Man-Down Internal Tilt Switch (Non-Mercury) Must be Kenwood installed for I.S. Order L-1614 for P25 Emergency operations 22.00 KWD-AE20K AES FIPS140-2 & DES Encryption Module [KWD-AE20K support] - Advanced Encryption Standard (AES): 256-bit symmetric key algorithm; NIST validated per FIPS140-2 - Data Encryption Standard (DES): 56-bit symmetric key algorithm. - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) - Must order KWD-RK20 for OTAR capability - Order L-1236 if installation is required. - KWD-AE20K requires: a Motorola KVL3000/+ & KVL-4000 Key Fill Devices and KMF P25 OTAR (excludes Motorola-proprietary non-TIA/P25 KMF features ). F/W VA2.0.3 or later supports the KVL4000. - KWD-AE20K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-AE21K AES & DES Encryption Module [KWD-AE20K support] - Advanced Encryption Standard (AES): 256-bit symmetric key algorithm; - Data Encryption Standard (DES): 56-bit symmetric key algorithm. - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) - Order L-1237 if installation is required. Note: Requires KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD- AE21K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-DE21K DES Encryption Module - Data Encryption Standard (DES): 56-bit symmetric key algorithm - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) - Order L-1560 if installation is required Note: Requires KPG-114DE or KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD-DE21K is a U.S. DOC/BIS Export Controlled Item (ECCN 5A992A) - See IMPORTANT NOTES - 578.00 SERVICE RELATED ACCESSORIES LIST KPG-36UM USB Programming interface cable 158.50 KPG-93 KVL-3000/3000 Plus Interface Cable 262.50 KPG-95DGNK Windows® Programming Software (Compliant with FCC Part 90 Narrowbanding) Note: Self-programming function is not available. Analog & P25 Conventional Programming A “Dealer-Level” License ID is included with each KPG-95D/DG(N)K which only permits full analog conventional and P25 conventional programming. Data files created with a “Network-Level Licensed” KPG-95D/95DG(N) and containing P25 programmed P25 trunked network parameters can be loaded and viewed with a Dealer-Level Licensed KPG-95D/DG(N)K, but the trunked network parameters cannot be changed. P25 Phase 2 Trunked Programming • Order (L-1744) if P25 Phase 2 trunked programming is required. P25 Trunked Programming Capability (licensed by either 1 or 2 below): 1. KPG-95DG(N)K with System Key File (*.SKF)- See L-989 • For all TK-5x10 radio platforms (VER1, 2, 3 or later). • 3-digit HEX System ID (HSID) and verifiable written authorization required from trunked system operator (SYSOP). • Purchase KPG-95DG(N)K & L-989 Network-Level License ID • Kenwood ships an encrypted *.SKF file on CD ROM • The *.SKF securely embeds/encrypts the 16-digit Network Level License ID & the HSID. 2. KPG-95DG(N)K with Advanced Network Keys (ANK’s) • For TK-5x10G/5410/5910 VER 3 or later radio platforms only. • SYSOPs: Refer to KWD-ANK-MK Master Key • Dealers/contractors: Refer to KWD-ANK-AK Access Key • KPG-95DG(N)K (V7.0 or later) supports up to 16 KWD-ANK-AK Access Keys (16 trunked networks). 628.00 Packet Page 168 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 35 of 57 TK-5410D SERVICE RELATED ACCESSORIES - CONT'D LIST KWD-ANK-AK Access Key for KPG-95DG(N)K P25 trunked programming Notes: • For TK-5x10G/5410(D)/5910 VER 3 or later radio platforms only • Must be activated by a SYSOP with KWD-ANK-MK Master Key. • Must have KPG-95DGNK (V7.0 or later); L-989 is NOT required. • Battery Life: 3 years (non-serviceable; key must be replaced) 208.00 KWD-ANK-MK Master Key for activating KWD-ANK-AK Access Keys - Restricted Purchase Requirements - Notes: • For TK-5x10G/5410(D)/5910 VER 3 or later radio platforms only. • Sold to SYSOP or SYSOP authorized entities only • Must have KPG-95DGNK (V7.0 or later) with L-989 Network-Level License ID • SYSOP must provide 3-digit HEX HSID to Kenwood. • Purchase KWD-ANK-AK Access Keys if needed. • Battery Life: 3 years (non-serviceable; key must be replaced) 500.00 INSTALLATION / TUNING CHARGES LIST L-961 Assemble KMB-23 with six KSC-32K's (Rapid Rate, 120 Volt version only)17.00 L-989 KPG-95D/95DG(N) Network Level ID (encrypted data file) Note: Enables Trunked system programming privileges in a KPG-95DG(N)K. - Restricted Purchase Requirements - • 3-Digit HEX System ID (HSID) from SYSOP required • Must Purchase KPG-95DG(N)K (V7.0 or later) with L-989 • Kenwood ships an encrypted *.SKF file on CD ROM • Non-SYSOP entities ordering L-989 must provide verifiable written authorization from SYSOP to receive an *.SKF file. • The 16-digit Network Level License ID & 3-digit HEX HSID are securely encrypted & embedded in the *.SKF file. 132.00 L-990 TK-5*10D Programming (Basic TX/RX check only with factory test freq.s or dealer/customer provided KPG-95D/DG(N) data file) 125.00 L-1236 Install KWD-AE20K in TK-5*10 Portables (Must purchase module separately) 75.00 L-1237 Install KWD-AE21K in TK-5*10 Portables (Must purchase module separately) 75.00 L-1560 Install KWD-DE21K in TK-5*10 Portables (Must purchase module separately) 75.00 L-1614 5*10 Portable KCT-57MS Installation (for P25)20.00 L-1733 KWD-RK20 Field Upgrade Option (Must purchase KWD-RK20 separately) 42.00 L-1774 P25 Phase 2 Trunked Programming Software (Must purchase KPG-95DGNK separately) N/C Packet Page 169 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 36 of 57 TK-5410D KWD-AE20 AES FIPS140-2 SCM , NIST Validation & Customer Shipping A secure delivery method direct to the end user customer is required by the NIST AES FIPS 140-2 validation rules. For U.S. Federal Government entities the SCM must ship from Kenwood USA Corporation directly to the end user customer by a trusted carrier (FEDEX, UPS or a designated Kenwood USA Corporation employee); shipping/handling by a dealer or other entity is not acceptable. This may or may not be required by local/state government agencies or business/industrial users. Please check with the end use customer about their AES encryption handling requirements before ordering. Kenwood will not be responsible for shipments of KWD-AE20K modules to erroneous destinations specified on an order. -- IMPORTANT NOTES -- IP66/67/68 IMMERSION re-certification To maintain immersion certification, re-certification is required every 2 years available at Kenwood Authorized Service Centers only. Call an ASC for return procedure ($315.00 List Price) IP 66 (Dust & Water Jet Intrusion), IP 67 (Immersion in 3.3 ft. (1m) depth @ 30 mins), IP 68 (Immersion in 3.3 ft. (1m) depth @ 2 hours) -------------------------------------------------------------------------------------------------- Encryption modules, key loaders and radios containing encryption are export controlled by the U.S. Department of Commerce Bureau of Industry & Security EAR regulations and may either require an Export License, are eligible for a License Exception (ENC) or are exportable with No License Required (NLR) depending on the country, the consignee and the intended use. High level encryption is a special commodity that may require an export license to most countries. See www.bis.gov for more information regarding export regulations. DO NOT SHIP encryption items outside the U.S. without proper DOC/BIS Export Licenses and/or compliances. Kenwood may request the following information to be submitted at time of order (this information must meet Kenwood internal approvals prior to shipment even if being returned to Kenwood later: a) Initial Destination: Initial delivery point if different from Ultimate Destination (customer distribution center, headquarters, dealership, manufacturer's representative) * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: b) Ultimate Destination: Final delivery point(s); deployment/distribution * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: c) Intended Use of Radios: Law enforcement, security, operations, etc. -------------------------------------------------------------------------------------------------- Packet Page 170 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation.Page 37 of 57 TK-5220・5320 PACKAGES LIST TK-5220K-LKP VHF Li-Ion Battery Package (TK-5220K + KNB-47L + KSC-32 + KBH-11)1,075.00 TK-5220K-LHKP VHF Hi Cap Li-Ion Battery Package (TK-5220K + KNB-48L + KSC-32 + KBH-11)1,092.50 TK-5320K-LKP UHF Li-Ion Battery Package (TK-5320K + KNB-47L + KSC-32 + KBH-11)1,075.00 TK-5320K-LHKP UHF Hi Cap Li-Ion Battery Package (TK-5320K + KNB-48L + KSC-32 + KBH-11)1,092.50 TK-5320K2-LKP UHF Li-Ion Battery Package (TK-5320K2 + KNB-47L + KSC-32 + KBH-11)1,075.00 TK-5320K2-LHKP UHF Hi Cap Li-Ion Battery Package (TK-5320K2 + KNB-48L + KSC-32 + KBH-11)1,092.50 All 5X20 series portables include: • Belt Clip (KBH-11) • Universal Connector Cap • Instruction Manual • Premium Warranty: 3 Years* * All Accessories / options: 1 Year Order packages to include Battery & Charger, or purchase Battery, Charger, and Antenna separately. TK-5220/5320 VHF/UHF FM Analog & P25 Digital Portable Radios GENERAL FEATURES • 5 Watt (136-174 MHz) • 5 Watt (400-470, 450-520, 380-400 MHz) • 128 Zones / 512 Channels • Backlit Dot Matrix LCD • 14 Character Alphanumeric Aliases • 3-Digit Sub-Display • Function / Status LCD Icons • RSSI Indicator • Transmit / Busy / Call Alert / Warn LED • On/Off Volume Knob • 16-Position Selector Knob • 4 Front Menu-Driven PF Keys • 2 Side PF Keys • Orange Emergency / AUX Key • 12-Keypad Models • VOX Ready • Emergency Features • Battery Level • Transceiver Password • Date & 12/24 Hour Time Clock • Windows® Programming & Tuning • Windows® Firmware Uploading • Easy Option Port • Voice Guide & Storage (option) • Weather-Sealed Accessory Connector • MIL-STD-810 C/D/E/F/G • IP54/55 Water & Dust Protection • Immersion (IP67) Option • Intrinsically Safe Option ** P25 DIGITAL • P25 Digital Conventional • AMBE+2™ Enhanced VOCODER • Talk Group ID Lists • Individual ID Lists • Caller ID Display • Remote Monitor / Check, Radio Inhibit • Encryption Key Zeroize and Retention • DES Encryption Options • AES & DES Encryption Options • KPG-93 KVL Key Loader Interface Cable • P25 Digital Trunking Option SCAN TYPES (FM & P25) • Single Zone/Multi-Zone Scan • Scan Lists • Conventional Scan • Limited Talk Group Scan • Priority Monitor Scan • Dual Priority Scan ANALOG • QT / DQT • Operator Selectable Tone • Two-Tone Decode / Encode • DTMF Encode / Decode / Stun • Special Alert Tone Patterns • Companded Audio FleetSync® /II (FM) • PTT ID Digital ANI • Caller ID Display • Status Messaging • Emergency & Stun Statuses • Selective & Group Call • Text Messaging • Send/Display GPS (KPG-47GPS) MDC-1200 • PTT ID Digital ANI • Caller ID Display • Emergency Status • Radio Check • Radio Inhibit ** Approved for Classes I, II & III, Div. 1, Groups C, D, E, F, G and are also approved for non- Incendive use in Class I, Div. 2, Groups A, B, C, D hazardous locations. Note: Class I, Div 2 Group A & B Gases require use of a portable carrying case. TK-5320K5 & K6 (380-400MHz) are NOT approved by FM as Intrinsically Safe Table of Contents Packet Page 171 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation.Page 38 of 57 TK-5220・5320 RADIO LIST TK-5220K 136-174MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys 900.00 TK-5220K2 136-174MHz 5W, 14 characters Alphanumeric LCD, Full Keypad 950.00 TK-5320K 450-520MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys 900.00 TK-5320K2 400-470MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys 900.00 TK-5320K3 450-520MHz 5W, 14 characters Alphanumeric LCD, Full Keypad 950.00 TK-5320K4 400-470MHz 5W, 14 characters Alphanumeric LCD, Full Keypad 950.00 TK-5320K5 380-400MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys [For Direct U.S. Federal Government & Export Sales Only] 900.00 TK-5320K6 380-400MHz 5W, 14 characters Alphanumeric LCD, Full Keypad [For Direct U.S. Federal Government & Export Sales Only] 950.00 IP67 (Immersion) Package Models TK-5220-WK 136-174MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys [see note 1]1,084.00 TK-5220-WK2 136-174MHz 5W, 14 characters Alphanumeric LCD, Full Keypad [see note 1]1,134.00 TK-5320-WK 450-520MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys [see note 1]1,084.00 TK-5320-WK2 400-470MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys [see note 1]1,084.00 TK-5320-WK3 450-520MHz 5W, 14 characters Alphanumeric LCD, Full Keypad [see note 1]1,134.00 TK-5320-WK4 400-470MHz 5W, 14 characters Alphanumeric LCD, Full Keypad [see note 1]1,134.00 TK-5320-WK5 380-400MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys [see note 1]1,084.00 TK-5320-WK6 380-400MHz 5W, 14 characters Alphanumeric LCD, Full Keypad [see note 1]1,134.00 IP67 Custom Color Radio Housing TK-5220-WK-YH TK-5220-WK with Yellow Housing Option Installed [see note 1]1,150.00 TK-5220-WK-OH TK-5220-WK with Orange Housing Option Installed [see note 1]1,150.00 TK-5320-WK-YH TK-5320-WK with Yellow Housing Option Installed [see note 1]1,150.00 TK-5320-WK-OH TK-5320-WK with Orange Housing Option Installed [see note 1]1,150.00 TK-5320-WK2-YH TK-5320-WK2 with Yellow Housing Option Installed [see note 1]1,150.00 TK-5320-WK2-OH TK-5320-WK2 with Orange Housing Option Installed [see note 1]1,150.00 TK-5320-WK5-YH TK-5320-WK5 with Yellow Housing Option Installed [see note 1]1,150.00 TK-5320-WK5-OH TK-5320-WK5 with Orange Housing Option Installed [see note 1]1,150.00 FACTORY MUTUAL (FM) APPROVED MODELS LIST Must Order L-1647 & an Intrinsically Safe Battery per radio TK-5220-ISK 136-174MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys 900.00 TK-5220-ISK2 136-174MHz 5W, 14 characters Alphanumeric LCD, Full Keypad 950.00 TK-5320-ISK 450-520MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys 900.00 TK-5320-ISK2 400-470MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys 900.00 TK-5320-ISK3 450-520MHz 5W, 14 characters Alphanumeric LCD, Full Keypad 950.00 TK-5320-ISK4 400-470MHz 5W, 14 characters Alphanumeric LCD, Full Keypad 950.00 IP67 (Immersion) Package Models TK-5220-ISWK 136-174MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys [see note 1]1,084.00 TK-5220-ISWK2 136-174MHz 5W, 14 characters Alphanumeric LCD, Full Keypad [see note 1]1,134.00 TK-5320-ISWK 450-520MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys [see note 1]1,084.00 TK-5320-ISWK2 400-470MHz 5W, 14 characters Alphanumeric LCD, 6 Control Keys [see note 1]1,084.00 TK-5320-ISWK3 450-520MHz 5W, 14 characters Alphanumeric LCD, Full Keypad [see note 1]1,134.00 TK-5320-ISWK4 400-470MHz 5W, 14 characters Alphanumeric LCD, Full Keypad [see note 1]1,134.00 IP67 Custom Color Radio Housing TK-5220-ISWKYH TK-5220-ISWK with Yellow Housing Option Installed [see note 1]1,150.00 TK-5220-ISWKOH TK-5220-ISWK with Orange Housing Option Installed [see note 1]1,150.00 TK-5320-ISWKYH TK-5320-ISWK with Yellow Housing Option Installed [see note 1]1,150.00 TK-5320-ISWKOH TK-5320-ISWK with Orange Housing Option Installed [see note 1]1,150.00 TK-5320-ISWK2YH TK-5320-ISWK2 with Yellow Housing Option Installed [see note 1]1,150.00 TK-5320-ISWK2OH TK-5320-ISWK2 with Orange Housing Option Installed [see note 1]1,150.00 [note 1]:these models are stocked in minimum quantities. Please anticipate a minimum 45-90 day lead time and call order desk to verify availability. Service must be performed at one of the 3 Kenwood National Service Centers to maintain certification up to 3 years of Product's Limited Warranty period. Packet Page 172 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation.Page 39 of 57 TK-5220・5320 ANTENNAS LIST KRA-22M VHF low-profile helical antenna 148-162 MHz 13.70 KRA-22M2 VHF low-profile helical antenna 162-174 MHz 13.70 KRA-22M3 VHF Low-profile helical antenna 136-150 MHz 13.70 KRA-23M UHF low-profile helical antenna 450-490 MHz 13.70 KRA-23M2 UHF low-profile helical antenna 470-512 MHz 13.70 KRA-23M3 UHF low-profile helical antenna 403-430 MHz 13.70 KRA-25 High gain VHF helically loaded whip antenna 148-162 MHz 34.25 KRA-26M VHF helical antenna 146-162 MHz 14.00 KRA-26M2 VHF helical antenna 162-174 MHz 14.00 KRA-26M3 VHF helical antenna 136-150 MHz 14.00 KRA-27M UHF whip antenna 440-490 MHz 14.00 KRA-27M2 UHF whip antenna 470-520 MHz 14.00 KRA-27M3 UHF whip antenna 400-450 MHz 14.00 KRA-28 Broad-band VHF helically loaded whip antenna 140-170 MHz 42.00 KRA-29 Broad Band UHF Whip Antenna 380-430 MHz 36.75 BATTERIES AND CHARGERS LIST KNB-47L 1950 mAh, Li-ion battery - requires KSC-32/326K charger [Immersion Option compatible] 105.00 KNB-48L 2550 mAh, Li-ion battery - requires KSC-32/326K charger [Immersion Option compatible] 122.50 KNB-50NC 2000 mAh, Ni-MH battery - requires KSC-32/326K charger [Intrinsically Safe Option] [Immersion Option compatible] 157.50 KBP-7 AA Alkaline Refillable Battery Pack (6 AA; 9V) cells not included Note: the color of the case is orange 68.50 KSC-32 Rapid rate single unit charger for KNB-31A/32N/33L/41NC/43L/47L/48L/50NC Note: Includes 110/220V auto-switching AC adapter with U.S.-style line cord plug; requires plug adapter for 220V Euro-style outlets (not supplied). 70.00 KSC-326K Rapid rate 6-unit charger for KNB-31A/32N/33L/41NC/43L/47L/48L/50NC 630.00 KMB-30M Wall Mount Bracket for KSC-326K/256K 33.75 KMB-23 Six Unit Charger Adapter for the KSC-16/20/24/25/25L/32 chargers (chargers not included) 191.00 KVC-15 Rapid rate DC vehicular charger adapter for the KSC-32 (chargers not included; includes KSC-mobile bracket & cigarette lighter cable DC adapter) 119.00 KVC-20L Vehicular D.C. Charger for 180/5**0/, NX Portables with Li-ion or Li Polymer Battery 497.00 CARRYING ACCESSORIES LIST KBH-11 Spring action belt clip (2.5")14.70 KBH-8DS Leather swivel belt loop with portable D-Ring attachment 26.30 KLH-6SW Leather swivel belt loop / detachable swivel D-Ring back 22.00 KLH-137ST Firemen's Heavy-Duty Leather Shoulder Strap for a Heavy-Duty Leather Case (KLH-75B/76B/78B/79B//92/122/123/133/148/154) 36.75 KLH-148K Heavy duty leather carrying case for NX-200/300/TK-5220/5320 (Non DTMF keypad models) 44.25 KLH-148K2 Heavy duty leather carrying case for NX-200/300/TK-5220/5320 (DTMF keypad models)44.25 KLH-149K Nylon carrying case for NX-200/300/TK-5220/5320 (Non DTMF keypad models)26.30 KLH-149K2 Nylon carrying case for NX-200/300/TK-5220/5320 (DTMF keypad models)26.30 SPECIAL COLOR HOUSING LIST KWD-YH20-P25 Yellow Housing Kit for TK-5x20 portables (6 Control Keys Version Only) Order L-1713 for Factory Install. (required for Intrinsically Safe & IP67 radio orders) 40.00 KWD-OH20-P25 Orange Housing Kit for TK-5x20 portables (6 Control Keys Version Only) Order L-1738 for Factory Install. (required for Intrinsically Safe & IP67 radio orders) 40.00 Packet Page 173 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation.Page 40 of 57 TK-5220・5320 MICROPHONES & AUDIO ACCESSORIES LIST KMC-51M MIL-SPEC, IP54/55 DSP Digital Noise-canceling Speaker Mic [see note 2]250.00 KMC-52W MIL-SPEC, IP67 (Immersion) DSP Digital Noise-canceling Speaker Mic [see note 2]300.00 [note 2]: To adjust microphone settings different from factory default, download KPG-147NC configuration software and special configuration firmware from Kenwood Tools (no charge). KMC-47GPS GPS Speaker Microphone (FM Conventional mode only -- does not operate in P25 modes) 290.00 KMC-40 MIL-SPEC, Speaker Mic. with Antenna Connector [Intrinsically Safe Approved Accessory] Note: 5/16" Coax cable hex wrench included (antenna is not included). 250.00 KMC-41M MIL-SPEC, IP54/55 Noise-canceling Speaker Mic [Intrinsically Safe Approved Accessory] 96.50 KMC-42WM MIL-SPEC, IP67 (Immersion) Noise-canceling Speaker Mic [Intrinsically Safe Approved Accessory] Important Note: Portable radio does not have an IP67 Immersion option; meets MIL STD810 rain standards 114.00 KEP-1 3.5mm earphone kit for KMC-25/26/41M/42WM Speaker Mics [Intrinsically Safe Approved Accessory] 52.50 KCT-30 2.5mm Audio Accessory Adapter for KEP-3/4 [Intrinsically Safe Approved Accessory] 64.00 KCT-51 Hirose 6-pin Adapter (adapts KVL/aftermarket audio acc. to portable connector) [Intrinsically Safe Approved Accessory] 215.00 KEP-3 30" Earphone kit w/ 2.5mm plug for KCT-30 [Intrinsically Safe Approved Accessory] 51.50 KEP-4 48" Earphone kit w/ 2.5mm plug for KCT-30 [Intrinsically Safe Approved Accessory] 54.75 KHS-11BE 2-wire palm mic w/earphone, universal connector (Beige) [Intrinsically Safe Approved Accessory] 156.50 KHS-11BL 2-wire palm mic w/earphone, universal connector (Black) [Intrinsically Safe Approved Accessory] 156.50 KHS-12BE 3-wire mini lapel mic w/earphone, universal connector (Beige) [Intrinsically Safe Approved Accessory] 184.00 KHS-12BL 3-wire mini lapel mic w/earphone, universal connector (Black) [Intrinsically Safe Approved Accessory] 184.00 KHS-14 Lt. Wt. Single muff headset w/boom mic & In-line PTT [Intrinsically Safe Approved Accessory] 126.00 KHS-15-BH Hvy-duty noise reduction behind-the-headset w/noise cancelling boom mic & in-line PTT [Intrinsically Safe Approved Accessory] 420.00 KHS-15-OH Hvy-duty noise reduction over-the-headset w/noise cancelling boom mic & in-line PTT [Intrinsically Safe Approved Accessory] 368.00 SOFTWARE OPTIONS LIST KPG-113AE AES/DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K Note: KPG-113AE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 525.00 KPG-114DE DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K Note: KPG-114DE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D992A.1) - See IMPORTANT NOTES - 368.00 KWD-TR30 Trunking Option for TK-5220/5320, TK-5720/5820 KWD-TR30 supoort:1 Trunking Network Must order L-1694 for factory installation, or L-1696 for field-upgrade option Note: KPG-112D(N) Ver2.0 or later Requires Network Level License ID to program trunked network radio parameters (see KPG-112D(N) for purchase restrictions & requirements) 250.00 Packet Page 174 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation.Page 41 of 57 TK-5220・5320 OPTION MODULES LIST KCT-48VU External Vibration Unit [Intrinsically Safe Approved Accessory] Note: Audio accessories cannot be used when this option installed. KCT-48VU does not support the P25 digital mode calling or paging features 49.00 KCT-57MS Man-Down Internal Tilt Switch (Non-Mercury) [Intrinsically Safe Approved Accessory]- Must be Kenwood installed for I.S. Order L-1648 for P25/FleetSync®/MDC-1200 operations 22.00 KWD-AE20K AES FIPS140-2 & DES Encryption Module for TK-5*10 and 5*20 Portables & Mobiles (except K7 Portable) [Intrinsically Safe Approved Accessory] - Order a Labor Code L-1649 if installation is required. KWD-AE20K requires: a Motorola KVL3000 Plus key loader device. KWD-AE20K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-AE21K AES & DES Encryption Module for TK-5*10 and 5*20 Portables & Mobiles (except K7 Portable) [Intrinsically Safe Approved Accessory] - Order a Labor Code (L-1650) if installation is required. Note: Requires KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD- AE21K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-DE21K DES Encryption Module for TK-5*10 and 5*20 Portables & Mobiles [Intrinsically Safe Approved Accessory] - Order a Labor Code (L-1651) if installation is required Note: Requires KPG-114DE or KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD-DE21K is a U.S. DOC/BIS Export Controlled Item (ECCN 5A992A) - See IMPORTANT NOTES - 578.00 VGS-1 Voice Guide and Storage Unit [Intrinsically Safe Approved Accessory] 87.50 SERVICE RELATED ACCESSORIES LIST KPG-112DNK Windows® Programming Software for TK-5*20 Series (Compliant with FCC Part 90 Narrowbanding) 103.25 KPG-36UM USB Programming interface cable 158.50 KPG-93 TK-5210/5310/5410/5220/5320/5400 KVL-3000/3000 Plus Interface Cable 262.50 Packet Page 175 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation.Page 42 of 57 TK-5220・5320 INSTALLATION / TUNING CHARGES LIST L-961 Assemble KMB-23 with six KSC-32K's (Rapid Rate, 120 Volt version only)17.00 L-1644 TK-5220/5320 Programming (Basic TX/RX check only with factory test freq.s or dealer/customer provided KPG-112D data file) 125.00 L-1645 Install VGS-1 Voice Guide & Storage Unit 25.00 L-1646 Multi-Channel Encoder Modification 25.00 L-1647 Configure TK-5220/5320 for Intrinsically Safe Must order an I.S. battery 70.00 L-1648 TK-5220/5320 Portable KCT-57MS Installation (for P25/FleetSync®/MDC-1200)20.00 L-1649 Install KWD-AE20K in TK-5220/TK-5320 Portables (Must purchase module separately) 75.00 L-1650 Install KWD-AE21K in TK-5220/TK-5320 Portables (Must purchase module separately) 75.00 L-1651 Install KWD-DE21K in TK-5220/TK-5320 Portables (Must purchase module separately) 75.00 L-1694 Install KWD-TR30 Trunking Option in TK-5220/5320 (Must purchase KWD-TR30 separately) N/C L-1696 TK-5220/5320 KWD-TR30 FIELD-UPGRADE (Must purchase KWD-TR30 separately)N/C L-1698 KPG-112D(N) Network Level ID (encrypted data file) Note: Enables Trunking system programming privileges; See KPG-112D(N) Network Level ID (Trunking System Privileges) - Restricted Purchase Requirements - L-1698- KPG-112D(N) Network Level ID (Trunking System Privileges) The KPG-112D(N) only ships with a "Dealer Level License ID" which permits Conventional FM and P25 Conventional radio programming privileges only. For radios with the P25 Trunking option installed, trunked/network programming privileges require a "Network Level License ID" generally reserved ONLY for the system owner or the system owners authorized operators/service centers. Purchasing the KPG-112D(N) Network Level License ID will require 1) Written verifiable authorization from the systems owner/operator. 2) The 3-digit hexadecimal P25 System ID from the system owner/operator. 3) Purchase of a L-1698 : KPG-112D(N) Network Level ID option. This option will include an encrypted KPG-112D(N) "System Key Data File" containing the 16-digit Network Level License ID & 3-digit hexadecimal System ID code 132.00 L-1713 Assemble Yellow Housing KWD-YH20-P25 with TK-5X20 Portable 27.00 L-1738 Assemble Orange Housing KWD-OH20-P25 with TK-5X20 Portable 27.00 -- IMPORTANT NOTES -- Encryption modules, key loaders and radios containing encryption are export controlled by the U.S. Department of Commerce Bureau of Industry & Security EAR regulations and may either require an Export License, are eligible for a License Exception (ENC) or are exportable with No License Required (NLR) depending on the country, the consignee and the intended use. High level encryption is a special commodity that may require an export license to most countries. See www.bis.gov for more information regarding export regulations. DO NOT SHIP encryption items outside the U.S. without proper DOC/BIS Export Licenses and/or compliances. Kenwood may request the following information to be submitted at time of order (this information must meet Kenwood internal approvals prior to shipment even if being returned to Kenwood later: a) Initial Destination: Initial delivery point if different from Ultimate Destination (customer distribution center, headquarters, dealership, manufacturer's representative) * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: b) Ultimate Destination: Final delivery point(s); deployment/distribution * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: c) Intended Use of Radios: Law enforcement, security, operations, etc. -------------------------------------------------------------------------------------------------- KWD-AE20 AES FIPS140-2 SCM , NIST Validation & Customer Shipping A secure delivery method direct to the end user customer is required by the NIST AES FIPS 140-2 validation rules. For U.S. Federal Government entities the SCM must ship from Kenwood USA Corporation directly to the end user customer by a trusted carrier (FEDEX, UPS or a designated Kenwood USA Corporation employee); shipping/handling by a dealer or other entity is not acceptable. This may or may not be required by local/state government agencies or business/industrial users. Please check with the end use customer about their AES encryption handling requirements before ordering. Kenwood will not be responsible for shipments of KWD-AE20K modules to erroneous destinations specified on an order. Packet Page 176 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 43 of 57 TK-5710G・5810G MODEL LIST TK-5710BGK 136-174MHz 10-50W 100 Zones/1024 Channels (R.F. DECK ONLY)1,601.00 TK-5710HBGK 136-174MHz 50-110W 100 Zones/1024 Channels (R.F. DECK ONLY)2,211.00 TK-5810BGK 450-520 MHz 5-45W 100 Zones/1024 Channels (R.F. DECK ONLY)1,601.00 TK-5810BGK2 400-470 MHz 5-45W 100 Zones/1024 Channels (R.F. DECK ONLY)1,601.00 TK-5810HBGK 450-520 MHz 50-100W 100 Zones/1024 Channels (R.F. DECK ONLY)2,211.00 TK-5810HBGK2 400-470 MHz 50-100W 100 Zones/1024 Channels (R.F. DECK ONLY)2,211.00 All P25 series mobiles include: • RF Deck Only (Configuration Set & Assembly Labor Code must be order for a Complete Mobile.) • Premium Warranty: 3 Years* * All Accessories / options: 1 Year TK-5710G / 5810G VHF/UHF FM & P25 Digital Mobile Radios GENERAL FEATURES • 50W & 110W (136-174 MHz) • 45W & 100 W (450-520, 400-470 MHz) • 100 Zones / 1024 Channels • Personality Lists • Enhanced Kenwood Audio • Zone/CH Voice Announce • Emergency Features • Tactical Group • Intercom • Public Address • Time Out Timer • Busy Channel Lockout • Ignition Sense • Timed Power Off • DB-25 & 9-Pin Accessory Connectors • Transceiver Password • Date & 12/24 Hour Time Clock • Windows® Programming & Tuning • Windows® Firmware Uploading • Field-Programming & Tuning • Cloning • Easy Option Ports (26-pin) • Voice Guide & Storage (Option) • DB-25 & 9-Pin Accessory Connectors • MIL-STD 810 C/D/E/F, IP-54 • MIL-STD Noise-Cancel Mic • MIL-STD 12-Key DTMF Mic Option MOUNTING CONFIGURATIONS • Dash Mount • Single Control Head Remote Mount • Handheld Control Remote Mount • Dual Control Head Remote Mount FRONT PANELS/CONTROL HEADS KCH-14 Front Panel • 12-Character Alphanumeric Aliases • 5 PF Keys • Built-in Front Speaker KCH-15 Front Panel • 14-Character Alphanumeric Aliases • 11 PF Keys KCH-16M Handheld Control Head • 14-Character Alphanumeric Aliases • 9 PF Keys • 12-Key DTMF/Function Keypad P25 DIGITAL • P25 Digital Conventional • P25 Digital Trunking Option • AMBE+2TM Enhanced VOCODER • Talk Group ID Lists • Individual ID Lists • Caller ID Display • RSSI Indicator • Remote Monitor • Remote Check • Radio Inhibit • Encryption Key Delete • Encryption Key Zeroize Option • Encryption Key Retention Option • DES 16-Key SCM Option • AES FIPS 140-2 & DES 16-Key SCM Option • KPG-94 KVL Key Loader Interface Cable • P25 GPS Location • P25 OTAR Option SCAN TYPES (FM & P25) • Single Zone/Multi-Zone Scan • Scan Lists • Conventional Scan • Limited Talk Group Scan • Priority Monitor Scan • Dual Priority Scan FM • QT / DQT • Operator Selectable Tone • Two-Tone Encode / Decode • DTMF Encode / Decode / Stun • Special Alert Tone Patterns • Horn Alert Output • Encryption / ANI Board Control • Companded Audio • FleetSync® /II PTT ID / Caller ID Display / Emergency • MDC-1200 PTT ID / Caller ID Display / Emergency G models are Ver 3 Hardware (starting S/No. B03xxxxx ) * TX Power is derated at 500-520 MHz for TK-5810HBK: 450-499 MHz (100 W) 500-520 MHz (60 W) Table of Contents Packet Page 177 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 44 of 57 TK-5710G・5810G ACCESSORY CONFIGURATION SETS LIST CONFIGURATION SET DEFINITIONS Dash Mount LIST 10BHD KCH-14M, KCT-23M2, KMB-9, KMC-27 683.50 10BMD KCH-14M, KCT-23M, KMB-5, KMC-27 653.50 10FHD KCH-15M, KCT-23M2, KMB-9, KMC-27, KES-5 744.75 10FMD KCH-15M, KCT-23M, KMB-5, KMC-27, KES-5 714.75 Single Head Remote Mount LIST 10BHSH KCH-14M, KRK-5, KCT-22M2, KCT-23M4, KMB-9, KMC-27 921.00 10BMSH KCH-14M, KRK-5, KCT-22M2, KCT-23M3, KMB-5, KMC-27 887.75 10FHSH KCH-15M, KRK-5, KCT-22M2, KCT-23M4, KMB-9, KMC-27, KES-5 982.25 10FMSH KCH-15M, KRK-5, KCT-22M2, KCT-23M3, KMB-5, KMC-27, KES-5 949.00 Dual Head Remote Mount LIST 10BHDH KCH-14M(x2), KRK-6DH, KCT-22M2(x2), KCT-23M4, KMB-9, KMC-27(x2)1,718.00 10BMDH KCH-14M(x2), KRK-6DH, KCT-22M2(x2), KCT-23M3, KMB-5, KMC-27(x2)1,684.75 10FHDH KCH-15M(x2), KRK-6DH, KCT-22M2(x2), KCT-23M4, KMB-9, KMC-27(x2), KES-5(x2)1,840.50 10FMDH KCH-15M(x2), KRK-6DH, KCT-22M2(x2), KCT-23M3, KMB-5, KMC-27(x2), KES-5(x2)1,807.25 Handheld Control Head Remote LIST 10CHSH KCH-16M, KRK-11M, KCT-22M2, KCT-23M4, KMB-9, KES-5 1,056.75 10CMSH KCH-16M, KRK-11M, KCT-22M2, KCT-23M3, KMB-9, KES-5 1,046.25 FRONT PANELS & REMOTE KITS (Order Configuration Sets for full install accessories)LIST KCH-14M Basic Remote Control Head w/ 12 Alphanumeric Display (4W Front Speaker) Note: All KCH-14 / Basic Control Head configurations are shipped with the control heads 4W internal speaker enabled. Order L-1008 to enable the 13W external speaker output for KES-5 speaker use. This will disconnect the control heads internal 4W speaker ! 504.00 KCH-15M Full-Featured Remote Control Head w/ 14 Alphanumeric Display Note: requires an external speaker 504.00 KRK-5 Single Control Head Remote Mount Kit 147.00 KRK-6DH Dual Control Head Remote Mount Kit 252.00 HANDHELD CONTROL HEAD REMOTE (Order Configuration Sets for full install accessories)LIST KCH-16M Handheld Control Head for P25 Mobiles Note: requires KRK-11M, KCT-22M/M2/M3, & KES-5 546.00 KRK-11M KCH-16M HHCH Interface Kit for Single Head Remote 283.50 Packet Page 178 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 45 of 57 TK-5710G・5810G CABLES LIST KCT-18 Ignition sense cable 13.70 KCT-22M Control cable - 8 Feet 73.50 KCT-22M2 Control cable - 17 Feet (Standard accessory config. set cable)84.00 KCT-22M3 Control cable - 25 Feet 94.50 KCT-23M DC Cable (10-50W Dash mount)31.50 KCT-23M2 DC Cable (50-110W Dash mount)38.75 KCT-23M3 DC Cable (10-50W Remote mount)34.75 KCT-23M4 DC Cable (50-110W Remote mount)45.25 MOBILE INSTALLATION ACCESSORIES LIST KLF-2 Line Filter (suppresses alternator whine, 25dB, 25A max)42.00 KMB-10 Key Lock Adapter for use with KMB-4/5/6 26.30 KMB-5 Medium Power Mounting Bracket (10-50W models)14.00 KMB-9 Heavy Duty Mounting Bracket with built-in key lock 36.75 MICROPHONES AND SPEAKERS LIST KES-5 External Speaker (40W max input)61.25 KMC-27 MIL-SPEC noise-canceling mobile hand microphone 104.00 KMC-28 MIL-SPEC DTMF noise-canceling mobile hand microphone 163.00 KMC-9B Desk top microphone 96.50 SERVICE RELATED ACCESSORIES LIST KPG-43UM USB Programming interface cable 158.50 KPG-94 KVL-3000/3000 Plus Interface Cable for TK-5x10 & TK-5x10G Mobiles 262.50 KPG-95DGNK Windows® Programming Software for TK-5x10 & TK-5x10G Portables & Mobiles (Compliant with FCC Part 90 Narrowbanding) Note: Self-programming function is not available. Analog & P25 Conventional Programming A “Dealer-Level” License ID is included with each KPG-95D/DG(N)K which only permits full analog conventional and P25 conventional programming. Data files created with a “Network-Level Licensed” KPG-95D/95DG and containing P25 programmed P25 trunked network parameters can be loaded and viewed with a Dealer-Level Licensed KPG-95D/DG(N)K, but the trunked network parameters cannot be changed. P25 Trunked Programming Capability (licensed by either 1 or 2 below): 1. KPG-95DG(N)K with System Key File (*.SKF)- See L-989 • For all TK-5x10 radio platforms (VER1, 2, 3 or later). • 3-digit HEX System ID (HSID) and verifiable written authorization required from trunked system operator (SYSOP). • Purchase KPG-95DG(N)K & L-989 Network-Level License ID • Kenwood ships an encrypted *.SKF file on CD ROM • The *.SKF securely embeds/encrypts the 16-digit Network Level License ID & the HSID. 2. KPG-95DG(N)K with Advanced Network Keys (ANK’s) • For TK-5x10G/5410/5910 VER 3 or later radio platforms only. • SYSOPs: Refer to KWD-ANK-MK Master Key • Dealers/contractors: Refer to KWD-ANK-AK Access Key • KPG-95DG(N)K (V7.0 or later) supports up to 16 KWD-ANK-AK Access Keys (16 trunked networks). 628.00 KWD-ANK-AK Access Key for KPG-95DGK P25 trunked programming Notes: • For TK-5x10G/5410/5910 VER 3 or later radio platforms only • Must be activated by a SYSOP with KWD-ANK-MK Master Key. • Must have KPG-95DG(N)K (V7.0 or later); L-989 is NOT required. • Battery Life: 3 years (non-serviceable; key must be replaced) 208.00 Packet Page 179 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 46 of 57 TK-5710G・5810G SERVICE RELATED ACCESSORIES (cont.)LIST KWD-ANK-MK Master Key for activating KWD-ANK-AK Access Keys - Restricted Purchase Requirements - Notes: • For TK-5x10G/5410/5910 VER 3 or later radio platforms only. • Sold to SYSOP or SYSOP authorized entities only • Must have KPG-95DG(N)K (V7.0 or later) with L-989 Network-Level License ID • SYSOP must provide 3-digit HEX HSID to Kenwood. • Purchase KWD-ANK-AK Access Keys if needed. • Battery Life: 3 years (non-serviceable; key must be replaced) 500.00 *****************Contact Kenwood Parts for Price and Availability 800-367-7514 on the following: K29-5276-03 Key Inserts for 90-Series/TK-5710/5810 (AN, D/A, DIM, HA, HC, IC, MON, OPT, OST, PA) --- K29-5277-03 Key Inserts for 90-Series/TK-5710/5810 (RCL, RPT, SCN, SP, SPM, SQ, TA, <up arrow>, <down arrow>, 1x Clear key insert) --- K29-5305-03 Key Inserts for 90-Series/TK-5710/5810 (CH1, CH2, CH3, CH4, CH5, AUXA, AUXB, AUXC, EMG, ORG) --- K29-9353-13 Key Inserts for TK-5710/5810 (2TN, AD, AR, CLK, FNC, PBK, SCP, SEC, SEL, SES)--- K29-9354-03 Key Inserts for TK-5710/5810 (GPS, STS, TAC, TON, RES, IDV, KDL, TGR, 2x Clear key inserts) --- K29-9356-03 Key Inserts for TK-5710/5810 (PAG, SIT, SRC, 7 X Clear key inserts)--- FRIMWARE OPTIONS LIST KWD-RK20 OTAR Option for KWD-AE20K Encryption Module in TK-5x10 series (OTAR in P25 Conventional & Trunked Modes) • Requires KWD-AE20K module. • L-1108 (for portable) & L-1109 (for mobile) Installation (no charge) • L-1733 (for portable) & L-1734 (for mobile) Field Upgrade Option Note: • Supports OTAR in P25 Conventional & Trunked modes (Not compatible with GK7 64 CH Model) • Compatible with Motorola KMF P25 OTAR (excludes Motorola-proprietary non-TIA/P25 KMF features ) • Requires KPG-95D/DG(N) V7.10 or later for radio programming • TK-5x10 VER2: Requires KPG-95D V5.40 or later for radio programming • TK-5410/5910: Requires KPG-95D V6.00 or later for radio programming • TK-5x10G: Requires KPG-95DG(N) for radio programming • TK-5x10 VER2: Option deletes self-programming, cloning and analog FleetSync® (except PTT ID/Emergency) when installed. KWD-RK20 is an U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 830.00 KWD-TR20 Trunking Option for TK-5210/5310/5210G/5310G, TK-5710/5810/5710G/5810G KWD-TR20 supoort:16 Trunking Network Must order L-1056 for factory installation, or L-1068 for field-upgrade option Note: KPG-95D/95DG(N) Requires Network Level License ID to program trunked network radio parameters (see KPG-95D/95DG(N) for purchase restrictions & requirements) Compatible with TK-5210 Version 2 (SN 80600001 or later); TK-5310 (SN 809xxxxx or later); TK-5710 Version 2 (SN806xxxxx); TK-5810 (SN 809xxxxx or later); All TK-5x10G Series are compatible 334.00 SOFTWARE OPTIONS LIST KPG-113AE AES/DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K Loads AES & DES keys on capable encryption modules Note: KPG-113AE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 525.00 KPG-114DE DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K Loads DES keys only regardless of encryption module model Note: KPG-114DE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D992A.1) - See IMPORTANT NOTES - 368.00 Packet Page 180 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 47 of 57 TK-5710G・5810G OPTION MODULES LIST KWD-AE20K AES FIPS140-2 & DES Encryption Module for TK-5x10, TK-5x10G & TK-5x20 Portables & Mobiles (except K7 Portable) [KWD-AE20K support] - Advanced Encryption Standard (AES): 256-bit symmetric key algorithm; NIST validated per FIPS140- 2 - Data Encryption Standard (DES): 56-bit symmetric key algorithm. - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) - Must order KWD-RK20 for OTAR capability - Order L-1345 if installation is required. - KWD-AE20K requires: a Motorola KVL3000/+ & KVL-4000 Key Fill Devices and KMF P25 OTAR (excludes Motorola-proprietary non-TIA/P25 KMF features ). F/W VA2.0.3 or later supports the KVL4000. - KWD-AE20K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-AE21K AES & DES Encryption Module for TK-5x10, TK-5x10G & TK-5x20 Portables & Mobiles (except K7 Portable) [KWD-AE20K support] - Advanced Encryption Standard (AES): 256-bit symmetric key algorithm; - Data Encryption Standard (DES): 56-bit symmetric key algorithm. - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) Order L-1346 if installation is required. Note: Requires KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD- AE21K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-DE21K DES Encryption Module for TK-5x10, TK-5x10G & TK-5x20 Portables & Mobiles [KWD-DE21K support] - Data Encryption Standard (DES): 56-bit symmetric key algorithm - 16 Multi-key List (user-selectable / per Personality programming) - Stores: 1024 keys & 1024 Common Key References (CKR) Order L-1602 if installation is required Note: Requires KPG-114DE or KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD-DE21K is a U.S. DOC/BIS Export Controlled Item (ECCN 5A992A) - See IMPORTANT NOTES - 578.00 VGS-1 Voice Guide and Storage Unit Note: VGS-1 provides Auto-Record, Voice Memo & Playback; The Voice Guide (a.k.a annunciation) function is built-in to the TK-5710/5810 and does not require the VGS-1 87.50 GPS Option LIST GA25MCX Garmin On-dash Style Magnetic base GPS Antenna for GPS15XL-W Note: shipped loose only; Install GA25MCX antenna to GPS15XL-W before vehicle install. 62.00 GPS15XL-W Garmin Internal GPS Receiver Board (P25 Conventional) Note: • Provides GPS on P25 Conventional only (TIA-102.BAJB Tier I Location Service compliant; not for use over trunked systems) • Requires GA25MCX GPS antenna 130.25 INSTALLATION / TUNING CHARGES LIST L-862 Install Front Panel PF Key Label Inserts in TK-5x10, TK-5x10G & TK-x90 series Mobile (key names and positions must be specified) 15.00 L-864 KCT-22A Extended Control Head Cable (Specify length in 1 ft increments up to 50 ft. max.) 190.00 L-865 KCT-22A Extended Control Head Cable (Specify length in 1 ft. increments up to 100 ft. max.) Extended control head cables: Extended cables result in a loss of control head audio power. On KCH-14 use 13W audio output modifications per service manual Use a standard KCT-22 25 ft. or less cable for firmware installation. Normal KPG-95D radio programming is possible at extended lengths. 245.00 L-866 Modify KCT-23M2/M4 110W High Power DC Cables from 4 to 2 Conductors (1x23 ft. positive, 1x23 ft. negative; AWG #10) Two Conductor Modification: KCT-23M2 75/110W Dash Mount DC Cable ( 4 Conductor: 2x10 ft. positive, 2x10 ft. negative) KCT-23M4 75/110W Remote Mount DC Cable (4 Conductor: 2x23 ft. positive, 2x23 ft. negative) 75.00 L-962 Install VGS-1 Voice Guide & Storage Unit 25.00 Packet Page 181 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 48 of 57 TK-5710G・5810G INSTALLATION / TUNING CHARGES - CONT'D LIST L-989 KPG-95D/95DG(N) Network Level ID (encrypted data file) Note: Enables Trunked system programming privileges in a KPG-95DG(N)K. - Restricted Purchase Requirements - • 3-Digit HEX System ID (HSID) from SYSOP required • Must Purchase KPG-95DG(N)K (V7.0 or later) with L-989 • Kenwood ships an encrypted *.SKF file on CD ROM • Non-SYSOP entities ordering L-989 must provide verifiable written authorization from SYSOP to receive an *.SKF file. • The 16-digit Network Level License ID & 3-digit HEX HSID are securely encrypted & embedded in the *.SKF file. 132.00 L-1005 TK-5x10 & TK-5x10G Mobile Programming (Basic TX/RX check only with factory test freq.s or dealer/customer provided KPG-95D/95DG(N) data file) 125.00 L-1006 Modify TK-5x10 & TK-5x10G Mobile for Horn Alert relay output (1 amp max.; relay factory installed already) 25.00 L-1008 External Speaker modification for TK-5x10 & TK-5x10G mobile Control Head (13W) Note: All Basic Control Head (KCH-14M) configurations are shipped with the control heads 4W internal speaker enables. Order L-1008 to enable the 13W external speaker output for KES-5 speaker use. This will disconnect the control heads internal 4W speaker! 10.00 L-1028 Package Dash/Single Head Remote for TK-5x10 & TK-5x10G mobiles 17.00 L-1029 Package Dual Head Remote for TK-5x10 & TK-5x10G mobiles 34.00 L-1056 Install KWD-TR20 Trunking Option in TK-5710/5810 & TK-5710G/5810G (Must purchase KWD-TR20K separately) N/C L-1068 TK-5710/5810 & TK-5710G/5810G KWD-TR20 FIELD-UPGRADE (Must purchase KWD- TR20 separately) 42.00 L-1109 Install KWD-RK20 OTAR Option in TK-5x10 & TK-5x10G Mobiles (Must purchase KWD-RK20 separately) N/C L-1110 Package HHCH Remote for TK-5x10 & TK-5x10G mobiles 25.00 L-1345 Install KWD-AE20K in TK-5x10 & TK-5x10G Mobile (Must purchase module separately) 75.00 L-1346 Install KWD-AE21K in TK-5x10 & TK-5x10G Mobile (Must purchase module separately) 75.00 L-1602 Install KWD-DE21K in TK-5x10 & TK-5x10G Mobile (Must purchase module separately) 75.00 L-1734 KWD-RK20 Field Upgrade Option for TK-5x10/5x10G/5910 (Must purchase KWD-RK20 separately) 42.00 -- IMPORTANT NOTES -- Encryption modules, key loaders and radios containing encryption are export controlled by the U.S. Department of Commerce Bureau of Industry & Security EAR regulations and may either require an Export License, are eligible for a License Exception (ENC) or are exportable with No License Required (NLR) depending on the country, the consignee and the intended use. High level encryption is a special commodity that may require an export license to most countries. See www.bis.gov for more information regarding export regulations. DO NOT SHIP encryption items outside the U.S. without proper DOC/BIS Export Licenses and/or compliances. Kenwood may request the following information to be submitted at time of order (this information must meet Kenwood internal approvals prior to shipment even if being returned to Kenwood later: a) Initial Destination: Initial delivery point if different from Ultimate Destination (customer distribution center, headquarters, dealership, manufacturer's representative) * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: b) Ultimate Destination: Final delivery point(s); deployment/distribution * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: c) Intended Use of Radios: Law enforcement, security, operations, etc. -------------------------------------------------------------------------------------------------- KWD-AE20 AES FIPS140-2 SCM , NIST Validation & Customer Shipping A secure delivery method direct to the end user customer is required by the NIST AES FIPS 140-2 validation rules. For U.S. Federal Government entities the SCM must ship from Kenwood USA Corporation directly to the end user customer by a trusted carrier (FEDEX, UPS or a designated Kenwood USA Corporation employee); shipping/handling by a dealer or other entity is not acceptable. This may or may not be required by local/state government agencies or business/industrial users. Please check with the end use customer about their AES encryption handling requirements before ordering. Kenwood will not be responsible for shipments of KWD-AE20K modules to erroneous destinations specified on an order. Packet Page 182 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation.Page 49 of 57 TK-5720・5820 MODEL LIST TK-5720K 136-174 MHz 50W, 512 CH / 128 Zone 1,301.00 TK-5820K 450-520 MHz 45W, 512 CH / 128 Zone 1,301.00 TK-5820K2 400-470 MHz 45W, 512 CH / 128 Zone 1,301.00 TK-5820K3 380-400 MHz 45W, 512 CH / 128 Zone [For U.S. Federal Government & Export Sales Only] 1,301.00 All 5X20 series mobiles include: • Standard Microphone (KMC-35) • Mounting Bracket • DC Cable (KCT-23M) • Blade Fuse • Instruction Manual • Premium Warranty: 3 Years* * All Accessories / options: 1 Year GENERAL FEATURES • 50W (136-174 MHz) • 45W (400-470, 450-520, 380-400MHz) • 128 Zones / 512 Channels • Emergency Features • Public Address (KAP-2 Required) • Time Out Timer • Busy Channel Lockout • Ignition Sense • Timed Power Off • DB-25 & 9-Pin Accessory Connectors • 9 Programmable AUX I/Os • 2 Programmable AUX Outputs • Transceiver Password • Date & 12/24 Hour Time Clock • Windows® Programming & Tuning • Windows® Firmware Uploading • Easy Option Ports (26-pin) • Voice Guide & Storage (option) • MIL-STD 810 C/D/E/F/G, IP-54 • MIL-STD Mic (included) • MIL-STD 12-Key DTMF Mic Option FRONT PANELS/CONTROL HEADS • Dash & Remote Mount • 14 Character Alphanumeric Aliases • Backlit Dot Matrix LCD • 3-Digit Sub-Display • Function/Status LCD Icons • RSSI Indicator • Transmit/Busy/Call Alert/Warn LED • On/Off Power Control • 4 Up/Down Selectors • 6 Front PF Keys • Emergency/AUX Key • 4W Speaker Audio P25 DIGITAL • P25 Digital Conventional • AMBE+2™ Enhanced VOCODER • Talk Group ID Lists • Individual ID Lists • Caller ID Display • Remote Monitor / Check, Radio Inhibit • Encryption Key Zeroize and Retention • DES Encryption Module Option • AES & DES Encryption Module Option • KPG-115 Key Loader Interface Cable • P25 Digital Trunking Option SCAN TYPES (FM & P25) • Single Zone/Multi-Zone Scan • Scan Lists* • Conventional Scan • Limited Talk Group Scan* • Priority Monitor Scan* • Dual Priority Scan FM • QT / DQT • Operator Selectable Tone • Two-Tone Decode / Encode • DTMF Encode / Decode / Stun • Special Alert Tone Patterns • Companded Audio FleetSync® / II (FM) • PTT ID Digital ANI • Caller ID Display • Status Messaging • Emergency & Stun Statuses • Selective & Group Call • Text Messaging • Send/Display GPS MDC-1200 • PTT ID Digital ANI • Caller ID Display • Emergency Status • Radio Check • Radio Inhibit TK-5720 / 5820 VHF/UHF FM Analog & P25 Digital Mobile Radios * TX Power is derated at 490-512 MHz TK-5320: 450-489 MHz (45 W) 490-512 MHz (40 W) Table of Contents Packet Page 183 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation.Page 50 of 57 TK-5720・5820 MOBILE INSTALLATION ACCESSORIES LIST KAP-2 Horn Alert/P.A. Relay Option 63.00 KCT-46 Ignition sense cable (plugs directly into mobile chassis ignition sense line)13.70 KLF-2 Line Filter (suppresses alternator whine, 25dB, 25A max).42.00 KMB-10 Key lock adapter 26.30 KRK-10 Remote Control Kit (a remote control cable (23 ft) is included)105.00 KRK-13 Dual Control Head Kit (a control head, remote cables, and KMC-35 microphone included) Note: some operations have limitations. Please refer to Application Note avlb. on Kenwood Tools. Order: L-1777 if installation is required. 959.00 KCT-23M DC Cable (35-50W Dash mount; pos/neg. 10 ft. leads)31.50 KCT-23M3 DC Cable (35-50W Remote mount; pos.23 ft.; neg. 3.3. ft. leads)34.75 CONTROL STATION INSTALLATION ACCESSORIES LIST KMC-9C Control Station Desktop Microphone (8-pin mod. plug)86.00 KMB-24 Control Station Mounting Case for KPS-15 Power Supplies (mobile mounting hardware included) 42.00 KPS-15 DC Switching Power Supply (117/230 VAC; 23A max. continuous, 25A peak)173.00 MICROPHONES AND SPEAKERS LIST KMC-35 MIL-SPEC Standard electret mobile microphone (8-pin mod. plug) - same as supplied 52.50 KMC-36 MIL-SPEC Standard electret mobile microphone with 12 keypad (8-pin mod. plug)94.50 KMC-27A MIL-SPEC & Noise Canceling dynamic mobile microphone (8-pin mod. plug)104.00 KMC-27B Standard dynamic mobile microphone (8-pin mod. plug)42.00 KMC-28A MIL-SPEC & Noise Canceling dynamic mobile microphone (8-pin mod. plug) w/ DTMF 163.00 KMC-9C Control Station Desktop Microphone (8-pin mod. plug)86.00 KES-3S External speaker (compact low profile; black case; 3.5 mm phono plug-in)44.25 KES-5 External speaker, 40W max input Note: requires KAP-2 (PA/HA unit) installed 61.25 SOFTWARE OPTIONS LIST KPG-113AE AES/DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K KPG-113AE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 525.00 KPG-114DE DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K KPG-114DE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D992A.1) - See IMPORTANT NOTES - 368.00 KWD-TR30 Trunking Option for TK-5220/5320, TK-5720/5820 KWD-TR30 supoort:1 Trunking Network Must order L-1695 for factory installation, or L-1697 for field-upgrade option Note: KPG-112D(N) Ver2.0 or later Requires Network Level License ID to program trunked network radio parameters (see KPG-112D(N) for purchase restrictions & requirements) 250.00 OPTION MODULES LIST KWD-AE20K AES FIPS140-2 & DES Encryption Module for TK-5*10 and 5*20 Portables & Mobiles Order L-1657 if installation is required. KWD-AE20K requires: a Motorola KVL3000 Plus key loader device. KWD-AE20K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-AE21K AES & DES Encryption Module for TK-5*10 and 5*20 Portables & Mobiles Order L-1658 if installation is required. Note: Requires KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD-AE21K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-DE21K DES Encryption Module for TK-5*10 and 5*20 Portables & Mobiles Order L-1659 if installation is required Note: Requires KPG-114DE or KPG-113AE software key loader or Motorola KVL3000 Plus key loader device KWD-DE21K is a U.S. DOC/BIS Export Controlled Item (ECCN 5A992A) - See IMPORTANT NOTES - 578.00 VGS-1 Voice Guide and Storage Unit 87.50 Packet Page 184 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation.Page 51 of 57 TK-5720・5820 GPS Option LIST GPS15XL-W Garmin Internal GPS Receiver Board for FleetSync® AVL Note: • Provides GPS on Analog Conventional • Requires GA25MCX GPS antenna • Refer to 5720/5820-Series Service Manuals for installation. Refer to www.garmin.com for GPS15XL- W technical specifications. • Option: Order L-1655 for Kenwood Long Beach installation 130.25 GA25MCX Garmin On-dash Style Magnetic base GPS Antenna for GPS15XL-W Note: shipped loose only; Install GA25MCX antenna to GPS15XL-W before vehicle install. 62.00 SERVICE RELATED ACCESSORIES LIST KPG-46UM USB Programming interface cable 158.50 KPG-112DNK Windows® Programming Software for TK-5*20 Series (Compliant with FCC Part 90 Narrowbanding) 103.25 KPG-115 Key Loader Interface Cable for Motorola KVL-3000/3000 Plus 262.50 INSTALLATION / TUNING CHARGES LIST L-1645 Install VGS-1 Voice Guide & Storage Unit 25.00 L-1652 TK-5720/5820 Programming (Basic TX/RX check only with factory test freq.s or dealer/customer provided KPG-112D(N) data file) 125.00 L-1653 TK-5720/5820 Install KAP-2 (Default) HR1/Internal Sp./PA 25.00 L-1654 TK-5720/5820 Install KAP-2 HR1/External Sp./PA 25.00 L-1655 Install Garmin GPS15XL-W in TK-5720/5820 mobiles for FleetSync® AVL 100.00 L-1656 Assemble TK-5720/5820 with KRK-10 Remote Kit 42.00 L-1657 Install KWD-AE20K in TK-5720/5820 Mobile (Must purchase module separately) 75.00 L-1658 Install KWD-AE21K in TK-5720/5820 Mobile (Must purchase module separately) 75.00 L-1659 Install KWD-DE21K in TK-5720/5820 Mobile (Must purchase module separately) 75.00 L-1695 Install KWD-TR30 Trunking Option in TK-5720/5820 (Must purchase KWD-TR30 separately) N/C L-1697 TK-5720/5820 KWD-TR30 FIELD-UPGRADE (Must purchase KWD-TR30 separately)N/C L-1698 KPG-112D(N) Network Level ID (encrypted data file) Note: Enables Trunking system programming privileges; See KPG-112D(N) Network Level ID (Trunking System Privileges) - Restricted Purchase Requirements - L-1698- KPG-112D(N) Network Level ID (Trunking System Privileges) The KPG-112D(N) only ships with a "Dealer Level License ID" which permits Conventional FM and P25 Conventional radio programming privileges only. For radios with the P25 Trunking option installed, trunked/network programming privileges require a "Network Level License ID" generally reserved ONLY for the system owner or the system owners authorized operators/service centers. Purchasing the KPG- 112D(N) Network Level License ID will require 1) Written verifiable authorization from the systems owner/operator. 2) The 3-digit hexadecimal P25 System ID from the system owner/operator. 3) Purchase of a L-1698 : KPG-112D(N) Network Level ID option. This option will include an encrypted KPG-112D(N) "System Key Data File" containing the 16-digit Network Level License ID & 3-digit hexadecimal System ID code. 132.00 L-1777 Assemble TK-5720/5820 with KRK-13 Dual Remote Kit 42.00 Packet Page 185 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation.Page 52 of 57 TK-5720・5820 -- IMPORTANT NOTES -- Encryption modules, key loaders and radios containing encryption are export controlled by the U.S. Department of Commerce Bureau of Industry & Security EAR regulations and may either require an Export License, are eligible for a License Exception (ENC) or are exportable with No License Required (NLR) depending on the country, the consignee and the intended use. High level encryption is a special commodity that may require an export license to most countries. See www.bis.gov for more information regarding export regulations. DO NOT SHIP encryption items outside the U.S. without proper DOC/BIS Export Licenses and/or compliances. Kenwood may request the following information to be submitted at time of order (this information must meet Kenwood internal approvals prior to shipment even if being returned to Kenwood later: a) Initial Destination: Initial delivery point if different from Ultimate Destination (customer distribution center, headquarters, dealership, manufacturer's representative) * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: b) Ultimate Destination: Final delivery point(s); deployment/distribution * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: c) Intended Use of Radios: Law enforcement, security, operations, etc. -------------------------------------------------------------------------------------------------- KWD-AE20 AES FIPS140-2 SCM , NIST Validation & Customer Shipping A secure delivery method direct to the end user customer is required by the NIST AES FIPS 140-2 validation rules. For U.S. Federal Government entities the SCM must ship from Kenwood USA Corporation directly to the end user customer by a trusted carrier (FEDEX, UPS or a designated Kenwood USA Corporation employee); shipping/handling by a dealer or other entity is not acceptable. This may or may not be required by local/state government agencies or business/industrial users. Please check with the end use customer about their AES encryption handling requirements before ordering. Kenwood will not be responsible for shipments of KWD- AE20K modules to erroneous destinations specified on an order. Packet Page 186 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 53 of 57 TK-5910 MODEL LIST TK-5910BK 700/800 MHz 2-30/35W 100 Zones/1024 Channels (R.F. DECK ONLY)1,875.00 5910 series mobile includes: • RF Deck Only (Configuration Set & Assembly Labor Code must be order for a Complete Mobile.) • Premium Warranty: 3 Years* * All Accessories / options: 1 Year TK-5910 700/800 MHz FM Analog & P25 Digital Mobile Radio GENERAL FEATURE • 30W (763-806 MHz) • 35W (806-870 MHz) • 100 Zones / 1024 Channels • Personality Lists • Zone/CH Voice Announce • Emergency Features • Intercom • Public Address • Time Out Timer • Busy Channel Lockout • Ignition Sense • Timed Power Off • DB-25 & 9-Pin Accessory Connectors • Transceiver Password • Date & 12/24 Hour Time Clock • Windows® Programming & Tuning • Windows® Firmware Uploading • Field-Programming & Tuning • Voice Guide & Storage (option) • MIL-STD 810 C/D/E/F/G, IP-54 • MIL-STD Noise-Cancel Mic (included) • MIL-STD 12-Key DTMF Mic Option MOUNTING CONFIGURATIONS • Dash Mount • Single Control Head Remote Mount • Handheld Control Remote Mount • Dual Control Head Remote Mount FRONT PANELS/CONTROL HEADS • Backlit Dot Matrix LCD • 3-Digit Sub-Display • Transmit LED • Busy/Call Alert/Warn LED • LCD Brightness Control • Backlit Keys • MIL-STD 810 512.X Driven Rain KCH-14 Front Panel • 12-Character Alphanumeric Aliases • 5 PF & UP/DOWN Keys • PF Key Label Inserts • Built-in Front Speaker KCH-15 Front Panel • 14-Character Alphanumeric Aliases • 11 PF Keys & UP/DOWN Keys • PF Key Label Inserts • External Speaker Required KHC-16 Handheld Control Head • 14-Character Alphanumeric Aliases • 5 PF Keys & UP/DOWN/LEFT/RIGHT Keys • Front PF Keys Name Display • 12-Key DTMF/Function Keypad • External Speaker Required P25 DIGITAL • P25 Digital Conventional • P25 Digital Trunking • AMBE+2™ Enhanced VOCODER • Talk Group ID Lists • Individual ID Lists • Caller ID Display • RSSI Indicator • Remote Monitor / Check, Radio Inhibit • Encryption Key Zeroize & Retention • DES Encryption Module Option • AES & DES Encryption Module Option • KPG-43AM Radio Program/Soft-Key Loader Cable • KPG-94 KVL Device Key Loader Cable • P25 GPS Location • P25 OTAR Option SCAN TYPES (FM & P25) • Single Zone/Multi-Zone Scan • Scan Lists • Conventional Scan • Limited Talk Group Scan • Priority Monitor Scan • Dual Priority Scan FM • QT / DQT • Operator Selectable Tone • DTMF Encode • Horn Alert Output • Companded Audio • NPSPAC Channels Table of Contents Packet Page 187 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 54 of 57 TK-5910 ACCESSORY CONFIGURATION SETS LIST CONFIGURATION SET DEFINITIONS Dash Mount LIST 10BMD-9 KCH-14M, KCT-23M, KMB-9, KMC-27 676.25 10FMD-9 KCH-15M, KCT-23M, KMB-9, KMC-27, KES-5 737.50 Single Head Remote Mount LIST 10BMSH-9 KCH-14M, KRK-5, KCT-22M2, KCT-23M3, KMB-9, KMC-27 910.50 10FMSH-9 KCH-15M, KRK-5, KCT-22M2, KCT-23M3, KMB-9, KMC-27, KES-5 971.75 Dual Head Remote Mount LIST 10BMDH-9 KCH-14M(x2), KRK-6DH, KCT-22M2(x2), KCT-23M3, KMB-9, KMC-27(x2)1,707.50 10FMDH-9 KCH-15M(x2), KRK-6DH, KCT-22M2(x2), KCT-23M3, KMB-9, KMC-27(x2), KES-5(x2)1,830.00 Handheld Control Head Remote LIST 10CMSH KCH-16M, KRK-11M, KCT-22M2, KCT-23M3, KMB-9, KES-5 1,046.25 FRONT PANELS & REMOTE KITS (Order Configuration Sets for full install accessories)LIST KCH-14M Basic Remote Control Head w/ 12 Alphanumeric Display (4W Front Speaker) Note: All KCH-14 / Basic Control Head configurations are shipped with the control heads 4W internal speaker enabled. Order L-1008 to enable the 13W external speaker output for KES-5 speaker use. This will disconnect the control heads internal 4W speaker ! 504.00 KCH-15M Full-Featured Remote Control Head w/ 14 Alphanumeric Display Note: requires an external speaker 504.00 KRK-5 Single Control Head Remote Mount Kit 147.00 KRK-6DH Dual Control Head Remote Mount Kit 252.00 HANDHELD CONTROL HEAD REMOTE (Order Configuration Sets for full install accessories)LIST KCH-16M Handheld Control Head for P25 Mobiles Note: requires KRK-11M, KCT-22M/M2/M3, & KES-5 546.00 KRK-11M KCH-16M HHCH Interface Kit for Single Head Remote 283.50 CABLES LIST KCT-18 Ignition sense cable 13.70 KCT-22M Control cable - 8 Feet 73.50 KCT-22M2 Control cable - 17 Feet (Standard accessory config. set cable)84.00 KCT-22M3 Control cable - 25 Feet 94.50 KCT-23M DC Cable (Dash mount)31.50 KCT-23M3 DC Cable (Remote mount)34.75 Packet Page 188 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 55 of 57 TK-5910 MOBILE INSTALLATION ACCESSORIES LIST KLF-2 Line Filter (suppresses alternator whine, 25dB, 25A max)42.00 KMB-9 Heavy Duty Mounting Bracket with built-in key lock 36.75 MICROPHONES AND SPEAKERS LIST KES-5 External Speaker (40W max input)61.25 KMC-27 MIL-SPEC noise-canceling mobile hand microphone 104.00 KMC-28 MIL-SPEC DTMF noise-canceling mobile hand microphone 163.00 KMC-9B Desk top microphone 96.50 SERVICE RELATED ACCESSORIES LIST KPG-95DGK Windows® Programming Software for TK-5x10 & TK-5x10G Portables & Mobiles (Compliant with FCC Part 90 Narrowbanding) Note: Self-programming function is not available. Analog & P25 Conventional Programming A “Dealer-Level” License ID is included with each KPG-95D/DG(N)K which only permits full analog conventional and P25 conventional programming. Data files created with a “Network-Level Licensed” KPG- 95D/95DG(N) and containing P25 programmed P25 trunked network parameters can be loaded and viewed with a Dealer-Level Licensed KPG-95D/DG(N)K, but the trunked network parameters cannot be changed. P25 Trunked Programming Capability (licensed by either 1 or 2 below): 1. KPG-95DG(N)K with System Key File (*.SKF)- See L-989 • For all TK-5x10 radio platforms (VER1, 2, 3 or later). • 3-digit HEX System ID (HSID) and verifiable written authorization required from trunked system operator (SYSOP). • Purchase KPG-95DG(N)K & L-989 Network-Level License ID • Kenwood ships an encrypted *.SKF file on CD ROM • The *.SKF securely embeds/encrypts the 16-digit Network Level License ID & the HSID. 2. KPG-95DG(N)K with Advanced Network Keys (ANK’s) • For TK-5x10G/5410/5910 VER 3 or later radio platforms only. • SYSOPs: Refer to KWD-ANK-MK Master Key • Dealers/contractors: Refer to KWD-ANK-AK Access Key 628.00 KWD-ANK-MK Master Key for activating KWD-ANK-AK Access Keys - Restricted Purchase Requirements - Notes: • For TK-5x10G/5410/5910 VER 3 or later radio platforms only. • Sold to SYSOP or SYSOP authorized entities only • Must have KPG-95DG(N)K (V7.0 or later) with L-989 Network-Level License ID • SYSOP must provide 3-digit HEX HSID to Kenwood. • Purchase KWD-ANK-AK Access Keys if needed. • Battery Life: 3 years (non-serviceable; key must be replaced) 500.00 KWD-ANK-AK Access Key for KPG-95DG(N)K P25 trunked programming Notes: • For TK-5x10G/5410/5910 VER 3 or later radio platforms only • Must be activated by a SYSOP with KWD-ANK-MK Master Key. • Must have KPG-95DG(N)K (V7.0 or later); L-989 is NOT required. • Battery Life: 3 years (non-serviceable; key must be replaced) 208.00 KPG-43UM USB Programming interface cable 158.50 KPG-94 Key Loader Interface Cable for Motorola KVL-3000/3000 Plus 262.50 *****************Contact Kenwood Parts for Price and Availability 800-367-7514 on the following: K29-5276-03 Key Inserts for 90-Series/TK-5710/5810/5910 (AN, D/A, DIM, HA, HC, IC, MON, OPT, OST, PA) --- K29-5277-03 Key Inserts for 90-Series/TK-5710/5810/5910 (RCL, RPT, SCN, SP, SPM, SQ, TA, <up arrow>, <down arrow>, 1x Clear key insert) --- K29-5305-03 Key Inserts for 90-Series/TK-5710/5810/5910 (CH1, CH2, CH3, CH4, CH5, AUXA, AUXB, AUXC, EMG, ORG) --- K29-9353-13 Key Inserts for TK-5710/5810/5910 (2TN, AD, AR, CLK, FNC, PBK, SCP, SEC, SEL, SES)--- K29-9354-03 Key Inserts for TK-5710/5810/5910 (GPS, STS, TAC, TON, RES, IDV, KDL, TGR, 2x Clear key inserts) --- K29-9356-03 Key Inserts for TK-5710/5810/5910 (PAG, SIT, SRC, 7 X Clear key inserts)--- Packet Page 189 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 56 of 57 TK-5910 FRIMWARE OPTIONS LIST KWD-RK20 OTAR Option for KWD-AE20K Encryption Module in TK-5x10 series (OTAR in P25 Conventional & Trunked Modes) • Requires KWD-AE20K module. • L-1108 (for portable) & L-1109 (for mobile) Installation (no charge) • L-1733 (for portable) & L-1734 (for mobile) Field Upgrade Option Note: • Supports OTAR in P25 Conventional & Trunked modes (Not compatible with GK7 64 CH Model) • Compatible with Motorola KMF P25 OTAR (excludes Motorola-proprietary non-TIA/P25 KMF features ) • Requires KPG-95D/DG(N) V7.10 or later for radio programming • TK-5x10 VER2: Requires KPG-95D V5.40 or later for radio programming • TK-5410/5910: Requires KPG-95D V6.00 or later for radio programming • TK-5x10G: Requires KPG-95DG(N) for radio programming • TK-5x10 VER2: Option deletes self-programming, cloning and analog FleetSync® (except PTT ID/Emergency) when installed. KWD-RK20 is an U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 830.00 SOFTWARE OPTIONS LIST KPG-113AE AES/DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K KPG-113AE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D002A) - See IMPORTANT NOTES - 525.00 KPG-114DE DES Encryption Software Key Loader for KWD-DE21K/KWD-AE21K KPG-114DE is a U.S. DOC/BIS Export Controlled Item (ECCN 5D992A.1) - See IMPORTANT NOTES - 368.00 OPTION MODULES LIST KWD-AE20K AES FIPS140-2 & DES Encryption Module for TK-5*10 and 5*20 Portables & Mobiles Order a Labor Code (L-1345) if installation is required. KWD-AE20K requires: a Motorola KVL3000 Plus key loader device. KWD-AE20K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-AE21K AES & DES Encryption Module for TK-5*10 and 5*20 Portables & Mobiles Order a Labor Code (L-1346) if installation is required. Note: Requires KPG-113AE software key loader or Motorola KVL3000 Plus key loader device. KWD-AE21K is an U.S. DOC/BIS Export Controlled Item (ECCN 5A002A.1) - See IMPORTANT NOTES - 998.00 KWD-DE21K DES Encryption Module for TK-5*10 and 5*20 Portables & Mobiles Order a Labor Code (L-1602) if installation is required Note: Requires KPG-114DE or KPG-113AE software key loader or Motorola KVL3000 Plus key loader device KWD-DE21K is a U.S. DOC/BIS Export Controlled Item (ECCN 5A992A) - See IMPORTANT NOTES - 578.00 INSTALLATION / TUNING CHARGES LIST L-862 Install Front Panel PF Key Label Inserts in TK-5*10/90-series Mobile (key names and positions must be specified) 15.00 L-864 KCT-22A Extended Control Head Cable (Specify length in 1 ft increments up to 50 ft. max.) 190.00 L-865 KCT-22A Extended Control Head Cable (Specify length in 1 ft. increments up to 100 ft. max.) Extended control head cables: Extended cables result in a loss of control head audio power. On KCH-14 use 13W audio output modifications per service manual Use a standard KCT-22 25 ft. or less cable for firmware installation. Normal KPG-95D radio programming is possible at extended lengths. 245.00 L-962 Install VGS-1 Voice Guide & Storage Unit 25.00 Packet Page 190 Item 11 JVCKENWOOD USA Corporation Land Mobile Radio Division Price Guide January 2015 Copyright © 2015 JVCKENWOOD Corporation. Page 57 of 57 TK-5910 INSTALLATION / TUNING CHARGES - CONT'D LIST L-989 KPG-95D/95DG(N) Network Level ID (encrypted data file) Note: Enables Trunked system programming privileges in a KPG-95DG(N)K. - Restricted Purchase Requirements - • 3-Digit HEX System ID (HSID) from SYSOP required • Must Purchase KPG-95DG(N)K (V7.0 or later) with L-989 • Kenwood ships an encrypted *.SKF file on CD ROM • Non-SYSOP entities ordering L-989 must provide verifiable written authorization from SYSOP to receive an *.SKF file. • The 16-digit Network Level License ID & 3-digit HEX HSID are securely encrypted & embedded in the *.SKF file. 132.00 L-1005 TK-5*10 Programming (Basic TX/RX check only with factory test freq.s or dealer/customer provided KPG-95D/DG(N) data file) 125.00 L-1008 External Speaker modification for TK-5*10 mobile Control Head (13W) Note: All Basic Control Head (KCH-14M) configurations are shipped with the control heads 4W internal speaker enables. Order L-1008 to enable the 13W external speaker output for KES-5 speaker use. This will disconnect the control heads internal 4W speaker! 10.00 L-1028 Package Dash/Single Head Remote for 5*10 mobiles 17.00 L-1029 Package Dual Head Remote for 5*10 mobiles 34.00 L-1110 Package HHCH Remote for 5*10 mobiles 25.00 L-1345 Install KWD-AE20K in TK-5*10 Mobile (Must purchase module separately) 75.00 L-1346 Install KWD-AE21K in TK-5*10 Mobile (Must purchase module separately) 75.00 L-1602 Install KWD-DE21K in TK-5*10 Mobile (Must purchase module separately) 75.00 L-1734 KWD-RK20 Field Upgrade Option for TK-5x10/5x10G/5910 (Must purchase KWD-RK20 separately) 42.00 -- IMPORTANT NOTES -- Encryption modules, key loaders and radios containing encryption are export controlled by the U.S. Department of Commerce Bureau of Industry & Security EAR regulations and may either require an Export License, are eligible for a License Exception (ENC) or are exportable with No License Required (NLR) depending on the country, the consignee and the intended use. High level encryption is a special commodity that may require an export license to most countries. See www.bis.gov for more information regarding export regulations. DO NOT SHIP encryption items outside the U.S. without proper DOC/BIS Export Licenses and/or compliances. Kenwood may request the following information to be submitted at time of order (this information must meet Kenwood internal approvals prior to shipment even if being returned to Kenwood later: a) Initial Destination: Initial delivery point if different from Ultimate Destination (customer distribution center, headquarters, dealership, manufacturer's representative) * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: b) Ultimate Destination: Final delivery point(s); deployment/distribution * Business/Agency Name: * Address: * Contact Person Name: * Contact Phone: c) Intended Use of Radios: Law enforcement, security, operations, etc. -------------------------------------------------------------------------------------------------- KWD-AE20 AES FIPS140-2 SCM , NIST Validation & Customer Shipping A secure delivery method direct to the end user customer is required by the NIST AES FIPS 140-2 validation rules. For U.S. Federal Government entities the SCM must ship from Kenwood USA Corporation directly to the end user customer by a trusted carrier (FEDEX, UPS or a designated Kenwood USA Corporation employee); shipping/handling by a dealer or other entity is not acceptable. This may or may not be required by local/state government agencies or business/industrial users. Please check with the end use customer about their AES encryption handling requirements before ordering. Kenwood will not be responsible for shipments of KWD- AE20K modules to erroneous destinations specified on an order. Packet Page 191 Item 11 Packet Page 192Item 11 Packet Page 193Item 11 Packet Page 194Item 11 Packet Page 195Item 11 Packet Page 196Item 11 Packet Page 197Item 11 Packet Page 198Item 11 Packet Page 199Item 11 Packet Page 200Item 11 Packet Page 201Item 11 Packet Page 202Item 11 Packet Page 203Item 11 Packet Page 204Item 11 Packet Page 205Item 11 Packet Page 206Item 11 Packet Page 207Item 11 Packet Page 208Item 11 Packet Page 209Item 11 Packet Page 210Item 11 Packet Page 211Item 11 Packet Page 212Item 11 Packet Page 213Item 11 Packet Page 214Item 11 Packet Page 215Item 11 Packet Page 216Item 11 Packet Page 217Item 11 Packet Page 218Item 11 Packet Page 219Item 11 Packet Page 220Item 11 Packet Page 221Item 11 Packet Page 222Item 11 Packet Page 223Item 11 Packet Page 224Item 11 Packet Page 225Item 11 Packet Page 226Item 11 Packet Page 227Item 11 Packet Page 228Item 11 Packet Page 229Item 11 Packet Page 230Item 11 Packet Page 231Item 11 Packet Page 232Item 11 Packet Page 233Item 11 Packet Page 234Item 11 Packet Page 235Item 11 Packet Page 236Item 11 Packet Page 237Item 11 Packet Page 238Item 11 Packet Page 239Item 11 Packet Page 240Item 11 Packet Page 241Item 11 Packet Page 242Item 11 Packet Page 243Item 11 Packet Page 244Item 11 Packet Page 245Item 11 Packet Page 246Item 11 Packet Page 247 Item 11 Packet Page 248 Item 11 Packet Page 249 Item 11 Packet Page 250 Item 11 Packet Page 251 Item 11 Packet Page 252 Item 11 Packet Page 253 Item 11 Page 1 of 2 State of California California Governor's Office of Emergency Services PUBLIC SAFETY RADIO GOODS SPECIAL PROVISIONS TDe-947 (REV. 02/2015) 1.TECHNICAL STANDARDS a)Where applicable, all goods delivered shall meet or exceed the requirements contained in the Code of Federal Regulations, Title 47 Telecommunication, Chapter I Federal Communications Commission Rules and Regulations, in particular: i)Part 2, Subpart I, “Marketing of Radio Frequency Devices” (47CFR2.803). All goods offered shall be authorized by the FCC by the bid due date. ii)Part 15, Radio Frequency Devices (47CFR15). iii)Part 90, Private Land Mobile Radio Service (47CFR90). iv) Part 101, Fixed Microwave Services (47CFR101). b)Where applicable, all goods operating in the analog mode shall meet or exceed all applicable performance standards listed in TIA/EIA-603-C, "Land Mobile FM and PM Communications Equipment Measurement and Performance Standards", unless otherwise stated in the specification. i)The State may consider goods operating within 30- 50 MHz that are tested under comparable performance standards listed in TIA-603 and possibly EIA-152-C, "Minimum Standards for Land Mobile Communication FM or PM Transmitters, 25- 866 MHz" and EIA/TIA-204-D, "Minimum Standards for Land Mobile Communication FM or PM Receivers, 25-866 MHz (which were superseded by TIA/EIA-603). ii)Specification compliance testing conducted by the State, however, will be conducted in accordance with the methods, procedures, and requirements of TIA/EIA-603-C, unless otherwise stated in the specification. All measurements of transmitter radio frequency specifications shall be made at the transmitter chassis antenna connector. All measurements of receiver radio frequency specifications shall be made at the receiver chassis antenna connector. Measurements of received audio response and distortion shall be made at the speaker output. iii)The performance requirements contained within the technical specifications further define and, in some cases, exceed the requirements contained in TIA/EIA-603-C. In the event of a conflict between performance requirements contained in TIA/EIA- 603-C and the performance requirements contained in the specification, the requirements contained in the specification shall prevail. c)Where applicable, all goods operating in the digital mode shall meet or exceed all applicable APCO Project 25 system standards listed in the TIA/EIA 102 series of standards, interim standards and technical bulletins. d)Where applicable, all goods operating within 806-809 / 821-824 MHz and 851-854 / 866-869 MHz shall comply with the recommendations set forth in the National Public Safety Planning Advisory Committee 800 MHz NPSPAC Channel Regional Communications Plan for Regions 5 and 6 approved by the Federal Communications Commission (FCC) in 47CFR90.621(g). 2.SPECIAL ORDERING PROVISIONS During the thirty-calendar day period immediately following purchase order issuance, the State reserves the right to increase the quantity ordered by up to twenty-five percent, or as otherwise specified, at rates not to exceed those contained herein. 3.SPECIFICATION COMPLIANCE TESTING a)Goods may be inspected before acceptance for workmanship, appearance, and conformance to all other requirements of the specifications. The State may reject any shipment or item of a shipment that is not in compliance with specification requirements or is otherwise defective in any manner. b)Within fifteen calendar days after contractor first receives notice of rejection, contractor shall, if requested by the State, remove rejected goods from the State's facilities. Upon failure of contractor to remove such goods from the State's facilities within the specified period, the State may forward such goods to contractor by common carrier, at contractor's expense and risk. c)Unless otherwise specified at time of rejection, and at no cost to the State, all rejected goods shall be repaired or replaced by contractor and shall be returned to the State within thirty calendar days from the date the goods are made available on, or removed from, the State's facilities, whichever occurs first. d)Unless otherwise specified at time of rejection, if contractor does not deliver goods meeting specifications within sixty calendar days from the date the goods are made available on, or removed from, State’s facilities, whichever occurs first, contractor shall be deemed to be in default, and the State will terminate the purchase order in whole or in part in accordance with the Termination for Default provision contained in the General Provisions. PUBLIC SAFETY COMMUNICATIONS Attachment A Packet Page 254 Item 11 TDe-947 (Rev. 02/2015) Reverse Page 2 of 2 e)At the State's option, contractor may be permitted to make repairs of rejected goods at the State's facilities. 4.MINIMUM GUARANTEES AND WARRANTIES a)Contractor is responsible for all guarantees and warranties required herein. Any guarantee/warranty offered by the original goods manufacturer shall not relieve contractor of this responsibility. b)If contractor is other than the manufacturer of goods delivered, contractor warrants that the manufacturer has authorized contractor to sell goods delivered. At the request of the State, written verification by manufacturer of such authorization shall be immediately provided. c)All goods delivered shall be guaranteed by contractor against defects for eighteen months from date of acceptance. d)During the guarantee period, contractor shall repair or replace, at its option and expense, all defective goods, or refund the purchase price thereof. e)Unless otherwise specified at time of requested repair, if contractor has not completed guarantee repair within thirty calendar days after notification of a malfunction, the State may effect such repairs and bill contractor for material cost and labor cost at the State technician current hourly rate. f)Workmanship and materials provided by contractor in the performance of any installation work required shall be guaranteed for ninety calendar days after installation. Workmanship or materials which are found to be defective during this period shall be promptly corrected at contractor's expense. g)During the Warranty Period, Contractor shall manage the individual warranties and maintenance services (if any) of the third–party Goods. If the third-party Goods do not function as warranted during the Warranty Period, Contractor will correct the deficiency 5.DESIGN DEFECT a)A design defect shall be defined as identical failures occurring within five years after delivery in at least five units or five percent, whichever is larger, of identical assemblies, subassemblies, or parts supplied. b)Delivered goods shall be guaranteed by contractor against design defects for five years from date o f acceptance. Upon written notification to and confirmation by contractor of design defects evidenced within the five-year guarantee period, contractor shall take prompt corrective action, at no cost to the State. c)Whenever it is necessary for contractor to take corrective action of design defects, contractor shall take the same corrective action in all identical goods supplied. d)All parts and materials used in corrective action for design defects shall be guaranteed by contractor against defects for one year from date of such corrective action. 6.SERVICE PROVISIONS a)Contractor shall provide the following services that will repair or exchange, in the times indicated, all defective goods returned by the State for repair. i)Emergency no-charge warranty service within five calendar days, excluding shipping time, for defective goods returned within the guarantee period. ii)Non-emergency no-charge warranty service within twenty calendar days, excluding shipping time, for defective goods returned within the guarantee period. iii)Emergency full-charge nonwarranty service within five calendar days, excluding shipping time, for defective goods returned after expiration of the guarantee period. 7.AVAILABILITY OF REPAIR PARTS a)Contractor shall notify State of the date of last manufacture for all goods delivered. b)For a period of seven years from the notice of last manufacture, contractor shall make available to the State exact replacement parts for use in the delivered goods. c)If exact replacement parts are not available, contractor may substitute equal or similar parts which do not deteriorate performance and which will continue to meet all specifications in effect at the time of purchase. 8.SOFTWARE USAGE/LICENSE REQUIREMENT a)The California Governor's Office of Emergency Services, Public Safety Communications, and/or the purchasing agency shall be permitted to make unlimited copies of any software required for installation and maintenance of goods supplied. Such copies shall be for the sole and exclusive use of the State designated maintenance and engineering personnel in the installation, maintenance, and operation of the delivered goods. b)Any need for a separate software license agreement to reflect the scope and/or limitations of this usage shall be negotiated to the mutual agreement of the parties, including Department of General Services, Procurement Division and Public Safety Communications Agency. Attachment A Packet Page 255 Item 11 Packet Page 256 Item 11 Packet Page 257 Item 11 2/20/2018 Packet Page 258 Item 11 QUOTATION Qt y Item De scription Unit Pric e Amo unt NASPO CONTRACT # 06913 CA-CO OP CONTRACT # 7 -16-58-15 Ca li forn ia Cert ified Small Busi ne ss 10 3-141 8 C ert ificat io n E xpires 4-30-20 19. Ca li forn ia Sales Tax Permit Number SR GHC 101 -2176 56 San Luis Obis po Busines s Li ce nse #11 2112 No ad ditiona l c harge s apply wh en paying with your credit car d. WR PATROL 80.00 NX -5 300K2 Kenw ood UHF 5w 450-52 0MHz P ort able 577 .50 46,200 .00 80.00 KWD-51 00CV License Key P 25 Conv ent ional 402 .50 32,200 .00 80.00 KRA-23M Kenw ood Low Profile UHF Ante nna 10.50 840 .00 80.00 KNB-L2M Kenw ood Li-I on 2600mAh Ba tt ery 94.50 7,560.00 80.00 KWD-A E31K AES&DES Encr ypt ion Module 550 .00 44,000 .00 80.00 L-5004 AES&DES Lab or Code 52.50 4,200.00 70.00 KMC-41 M Speak er Mic 180 Series 67.55 4,728.50 10.00 KSC-326 Kenw ood 6 Unit Rapid Char ger 441 .00 4,410.00 28.00 KSC-32 Kenw ood 180 Series Rapid Char ger 49.00 1,372.00 WR SWAT 2.00 KSC-326 Kenw ood 6 Unit Rapid Char ger 441 .00 882 .00 12.00 KNB-L3M Kenw ood Li-ion 3400 mA h B attery 122 .50 1,470.00 WR “N ece ss ary t hird party equipmen t not under contrac t pricing" 25.00 AT-2W -H IR OSE Acou st ic Tube - Braided Fiber - 2 Wire Hiros e 70.00 1,750.00 25.00 AD-K 1-HI ROSE Kenw ood Multi-Pin Ad apt or with Hiros e 50.00 1,250.00 WR Program and ass emble 80 units "NOCHARGE" Freight Quo te Nu mb er:233 1 Quo te Da te:Apr 16,2018 Sales Rep Quot ed To: San Luis Obispo,City of Financ e &Informat ion Tech 990 Palm Street San Luis Obispo,CA 93401 -3249 Good Thru 5/16/18 Customer ID Payme nt Te rms Page: 10003 Ne t 30 Day s Stephen Hay nes 1 TOTAL 162 ,554.3 4 Sales Tax 11,691 .84 Subtotal 150 ,862.5 0 300 Park Center Drive,Hollister, CA 95023 830 Ricardo Cour t,San Luis Obisp o,CA 93401 Quot ed To:Ship To: Phone: 831 -6 34 -16 00 Fax:83 1-6 34 -1 60 2 City of San Luis Ob is po Finance &Information Tech 990 Palm Street San Luis Obis po,CA 93401 -3249 By si gning this doc ument I a ck nowled ge that I ha ve careful ly exami ned the d etails and have fou nd it to conform to my or der specifications and ac cept full ownersh ip of the products an d all assoc iate d respon si bility, I assume responsibility for any requi re d shippi ng c harges, e ven whe n omi tted from my purc has e order. Upon ap proval , equipmen t & par ts will be i nvoi ce d at the ti me of order p ayment d ue withi n the a bove terms unles s preapp ro ved i n wirtin g. Installation will be b illed seperatel y at compl etion . 20% restoc ki ng fee for canc el lati on of o rder or return of pa rts withi n 30 d ays. Accept ed ByAccepted By ___________________________________________Print________________________ Title ____________________________ Da te ____________________ UP S Ground Shipping Packet Page 259 Item 11 Page intentionally left blank. Packet Page 260 Item 11 Meeting Date: 5/15/2018 FROM: Carrie Mattingly, Director of Utilities Prepared By: David Hix, Deputy Director Utilities – Wastewater Jennifer Metz, Utilities Projects Manager Miguel Barcenas, Utilities Engineer SUBJECT: REQUEST FOR PROPOSALS – CONSTRUCTION MANAGEMENT AND INSPECTION SERVICES, WATER RESOURCE RECOVERY FACILITY PROJECT RECOMMENDATION Approve the Request for Proposals Construction Management and Inspection Services, Water Resource Recovery Facility Project, Specification No. 9 1363CM and authorize staff to advertise the Request for Proposals. DISCUSSION The Water Resource Recovery Facility (WRRF) project is presently in 95 percent design with construction bidding scheduled in November 2018, leading to the WRRF being under construction in early 2019. The WRRF project will require skillful construction management. Request for Proposals (RFP) Construction management for the WRRF will require a team with specialized skills, that has a thorough knowledge of construction inspection and the required administrative and legal experience to deliver a successful project. The construction manager must have a comprehensive understanding of the project’s scope, and ability to keep the project on schedule while meeting important milestones and assisting in managing costs. This RFP asks for the proposer to prove experience and competence in the construction management field. Listed below are some of the key requirements from the RFP (Attachment A): •Demonstrate the required experience in project construction equivalent to t he cost, complexity, and schedule requirements of the WRRF project. •Provide a multi-disciplinary team of professionals. •Understand and assist the City in complying with the requirements of the State Revolving Fund and other grants or funding sources. •Knowledge of critical sequencing and schedule requirements to ensure the timely construction of key processes for regulatory compliance timelines. •Possess a thorough knowledge in construction scheduling. •Demonstrated ability to work closely with the City, designer, and contactor on schedule development, project review and changes. Packet Page 261 Item 12 • Ensure the construction activities comply with the WRRF environmental impact report’s Mitigation Monitoring and Reporting Program. • Identify potential problems, work collaboratively with the City, designer, contractor, and program manager to resolve conflicts, negotiate change orders, and analyze and approve pay estimates. NEXT STEPS Upon authorization from Council, staff will release the RFP for construction management and inspection services. Staff will evaluate proposals and negotiate costs to provide a recommendation of the most qualified consultant. Staff will return to Council to seek authorization to award an agreement to the Construction Management firm that best meets City’s requirements and needs. Staff expects to finalize this process in August and return to Council in early September. ENVIRONMENTAL REVIEW The City Council adopted Resolution 10740 (2016 Series) certifying the environmental impact report (EIR) for the WRRF Project (SCH #2015101044) on August 16, 2016. Recommendations described here are for requesting proposals and hiring Construction Management and Inspection Services for construction of the WRRF Project analyzed under that EIR. These actions do no t trigger the need for additional environmental review. FISCAL IMPACT The City performed extensive outreach to other municipalities and districts who had recently completed comparable projects to get an estimate of costs for these professional services. What staff found was these services varied widely in scope and complexity. Many projects required just Construction Management or Inspection services, while others incorporated their own staff for portions of the services. Other projects were design-build or another construction delivery method that changes how Construction Management and Inspection Services are utilized. Because of these factors staff is hesitant to provide a range o f anticipated costs at this time. The total $140 million project cost for the WRRF includes construction management and inspection services. Staff will bring Council a recommendation for these services that best fits the total budget, conveys the intent of the project charter , and will deliver a successful project. Staff will seek reimbursement for these services from the WRRF project’s State Revolving Fund (SRF) loan. On December 13, 2016 the City Council adopted a resolution to allow reimbursement of advanced monies related to the construction of the WRRF. This resolution wi ll enable the City to seek reimbursement, if needed, for these services after the final agreement for the SRF loan has been finalized, sometime later this year. Packet Page 262 Item 12 ALTERNATIVE Elect not to approve an RFP of construction management services. The City Council may elect not to approve the RFP at this time. Staff does not recommend this alternative due to complicated nature of the project and lack of City staff resource to perform the work. Bringing a construction manager on-board early may also allow assisting the City in the bidding, bid review and other aspects of project pre-construction. Attachments: a - Council Reading File - WRRF CM RFP Spec No. 91363CM Packet Page 263 Item 12 Page intentionally left blank. Packet Page 264 Item 12 Meeting Date: 5/15/2018 FROM: Robert Hill, Interim Deputy Director, Office of Sustainability Prepared By: Chris Read, Sustainability Manager SUBJECT: ADOPT A RESOLUTION TO LICENSE PARKING STALLS TO RECARGO, INC., FOR THE PURPOSE OF INSTALLING, OPERATING, AND MAINTAINING ELECTRIC VEHICLE CHARGERS. RECOMMENDATION Adopt a Resolution (Attachment A) to license parking stalls at the Calle Joaquin Park and Ride Lot to Recargo, Inc. for publicly accessible electric vehicle charger installation, operation, and maintenance in a form subject to the approval of the City Attorney. DISCUSSION Background In June of 2017, the City made Climate Action a Major City Goal in the 2017-19 Financial Plan with an overall goal of reducing citywide greenhouse gas (GHG) emissions . As noted in the City’s Climate Action Plan, GHG emissions from fossil fuel combustion in on-road vehicles account for approximately 50 percent of the City’s 2006 baseline emissions inventory. The City of San Luis Obispo’s Climate Action Plan provides a roadmap for achieving the City’s adopted 2020 GHG reduction target and provides strategies for reduc ing transportation related GHG emissions through decreasing vehicle miles travelled (e.g., encouraging walking, bicycling, transit, carpooling, etc.) and through switching fossil fuel consuming vehicles with alternative fueled vehicles (e.g., electric vehicles, hydrogen fuel cell vehicles, etc.). The City of San Luis Obispo Climate Action Plan Measure Transportation and Land Use 2 directs the City to promote clean air vehicles and expand the network of electric car chagrining stations. Statewide Support for Zero Emission Vehicles In 2016, Governor Brown signed Executive Order B-16-12, which calls for 1.5 million zero- emission vehicles on California roads by 2025. The California Energy Commission (CEC) seeks to support local GHG emissions reductions and achieve goals identified in Executive Order B - 16-12 through various grant programs. In 2015, Recargo, Inc. (Recargo) was the selected vendor for CEC grant GFO-15-601, which provided $1.6 million toward the equipment and installation of Direct Current (DC) Fast Chargers and Type 2 Electric Vehicle Chargers at locations on the US-101 corridor between the City of Buellton and the City of Gilroy. Recargo has identified all other sites on the US-101 corridor and is looking for a location in or around the City of San Luis Obispo as their final site. Should the City Council adopt the draft Resolution, Recargo will be able to move into the next phase of the grant funded project, which is engineering, site design, and utility and permitting coordination. As part of the GFO-15-601 grant, Recargo must have all awarded locations operational by March of 2020, although Recargo intends to have all sites constructed in 2019. Packet Page 265 Item 13 Subsequently, Recargo has since won additional corridors as part of the CEC’s second grant round (GFO-15-603). These awarded corridors provide funding for the northern portion of US- 101 from Santa Rosa to the Oregon border and for a key cross-state corridor along the CA-152 from Gilroy to Chowchilla connecting US-101, I-5 and US-99. Site Identification, Preliminary Design, and Agreement Recargo and staff have identified the new Park and Ride Lot at 1545 Calle Joaquin (APN# 053- 171-028) as an ideal site due to its proximity to and visibility from Highway 101. The Calle Joaquin Park and Ride Lot opened in February of 2018 and has 31 parking stalls and a bus turnout. The preliminary design (Attachment B) would replace the bank of six parking stalls most adjacent to the southern entrance of the lot with five electric vehicle charging stalls (four “Direct Current Fast Chargers” and one “Type 2 Charger”). The stalls would be open to the public for charging electric vehicles. Drivers charging their electric vehicles would be charged a cost per kilowatt hour (kWh), to be determined by Recargo. The license agreement for the parking stalls would require that Recargo pay a license fee and be entirely responsible for the installation, maintenance, and operation of the chargers and associated facilities for an initial ten-year term. Attachment B provides the standard Recargo license agreement , which is currently under negotiation. Staff will continue negotiations with Recargo to arrive at an agreement in a form approved by the City Attorney’s O ffice. CONCURRENCES Tim Bochum (Deputy Director of Public Works), Scott Lee (Parking Manager), and San Luis Obispo Council of Governments (SLOCOG) staff concur with the intent of this report and the attached resolution. ENVIRONMENTAL REVIEW The resolution to grant the license is not considered a project as it does not directly result in a physical improvement. Future physical improvements to the property will be subject to environmental review through the City’s standard planning and building permit processes. FISCAL IMPACT There is no direct cost to the City; Recargo and the CEC grant that supports their work will pay for the entirety of installing, operating, and maintaining the electric vehicle charge rs and related facilities. Pending negotiations, the license agreement is expected to generate approximately $10,000 in revenue per year through the life of the agreement. Packet Page 266 Item 13 ALTERNATIVE Do not adopt the resolution and keep the six parking stalls at the Calle Joaquin Park and Ride Lot open for all vehic le types. This alternative still contributes to GHG reductions by supporting the regional Park and Ride network. However, this alternative would fail to take advantage of the opportunity to install EV chargers at no cost to the City. Attachments: a - Draft Resolution b - Recargo Standard Agreement and Preliminary Site Proposal Packet Page 267 Item 13 R ______ RESOLUTION NO. _____ (2018 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, TO LICENSE PARKING STALLS TO RECARGO, INC. FOR THE PURPOSE OF INSTALLING, OPERATING, AND MAINTAINING ELECTRIC VEHICLE CHARGERS. WHEREAS, in January 2017 the City made Climate Action a Major City Goal in the 2017/2019 Financial Plan with an overall goal of reducing citywide greenhouse gas (GHG) emissions; and WHEREAS, The City of San Luis Obispo Climate Action Plan measure “Transportation and Land Use 2 (Alternative Vehicles)” direct the City to promote clean air vehicles and expand the network of electric car chagrining stations ; and WHEREAS, GHG emissions from fossil fuel combustion in on-road vehicles account for approximately 50 percent of the City’s 2006 baseline emissions inventory; and WHEREAS, Executive Order B-16-12 calls for 1.5 million zero-emission vehicles on California roads by 2025; and WHEREAS, the California Energy Commission (CEC) seeks to support local GHG emissions reductions and achieve goals identified in Executive Order B-16-12 through Alternative and Renewable Fuel and Vehicle Technology Program grant funding opportunit ies; and WHEREAS, RECARGO, INC., was the selected vendor for CEC grant GFO-15-601, which provided $1.6 million toward the equipment and installation of Direct Current Fast Chargers and Type 2 Electric Vehicle Chargers at locations on the US-101 between the City of Buellton and the City of Gilroy; and WHEREAS, RECARGO, INC., identified the City of San Luis Obispo as a critical location for the US-101 electric vehicle charger network; and WHEREAS, the Calle Joaquin Park and Ride lot provides a suitable location for electric vehicle chargers. Packet Page 268 Item 13 Resolution No. _____ (2018 Series) Page 2 R ______ NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo that : SECTION 1. The Mayor is hereby authorized to execute a license agreement with RECARGO, INC. in a form subject to the approval of the City Attorney to install, operate, and maintain electric vehicle chargers at the Calle Joaquin Park and Ride Lot. Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _____________________ 2018. ____________________________________ Mayor Heidi Harmon ATTEST: ____________________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _____________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo , California, this ______ day of ______________, _________. ____________________________________ Teresa Purrington City Clerk Packet Page 269 Item 13 Page 1 MASTER CHARGING STATION LICENSE AGREEMENT This MASTER CHARGING STATION LICENSE AGREEMENT (this “Agreement”), dated as of ________________, 2018 (the “Effective Date”), is between Recargo, Inc., a California corporation (“Recargo”), and _________________, a(n) ___________________ (“Host”). Recargo and Host may be referred to herein individually as a “Party,” and together as the “Parties”. RECITALS WHEREAS, Host is the fee simple owner or lessee of one or more real property sites described on Exhibit A attached hereto and incorporated herein (collectively, the “Host Property”); WHEREAS, Recargo provides a variety of vehicle charging and support services to owners of electric plug-in vehicles (each an “EV”); WHEREAS, Host and the Host Property may benefit from the presence of EV charging stations, by differentiating its location, attracting high-value customers, and promoting sustainable and environmentally- sound transportation; and WHEREAS, Host desires to participate in Recargo’s network of charging stations and to grant a license to Recargo to install charging stations and ancillary items on the Host Property. NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, and in consideration of other valuable consideration, the receipt and adequacy of which is hereby acknowledged, the Parties agree as follows: ARTICLE 1 LICENSE; USE; EXCLUSIVITY 1.1 Grant of License. For the Term of this Agreement, Host hereby grants to Recargo (i) an irrevocable, exclusive license running with the Host Property (the “License”) to use a portion of the Host Property as more particularly described on Exhibit B (the “Premises”) and (ii) any necessary easements for access and utilities, each consistent with the Purpose (as defined below). 1.2 Access. Access to the Host Property and the Premises is depicted on Exhibit B. Recargo shall have access to the Premises twenty-four (24) hours per day, seven (7) days per week and on every day of the year. 1.3 Use of Premises. The Premises may be used by Recargo for any lawful activity in connection with the construction, installation, maintenance and operation of charging stations and ancillary items, including, without limitation, electrical equipment, hardware, software, signage and all supporting equipment and structures (which may include concrete pads and protective bollards) (collectively, the “Charging Stations”), together with any other uses permitted herein, on the terms and conditions set forth in this Agreement (the “Purpose”). The Premises may be accessed and used by Recargo and its agents, employees, contractors, vendors, customers, guests and invitees. 1.4 Exclusivity. Host hereby grants Recargo an exclusive right to construct, install, maintain and operate charging stations and related services at the Host Property during the Term (as defined below) of this Agreement. 1.5 Quiet Enjoyment. Recargo shall have quiet enjoyment of the Premises during the Term of this Agreement. 1.6 Additional Host Property. The Parties may from time to time add or remove additional properties owned or leased by Host by executing an Addendum to Master License Agreement in the form attached Packet Page 270 Item 13 Page 2 hereto as Exhibit C attached hereto (the “Addendum) and the executed version of the Addendum shall be incorporated herein. ARTICLE 2 TERM; LICENSE FEE; TERMINATION 2.1 License Term. (a) Initial Term. This Agreement shall be effective on the Effective Date. Upon Recargo’s receipt of all necessary governmental authorizations (“Governmental Authorizations”), Recargo shall provide to Host notice of such receipt within a reasonable period thereafter, and five (5) days after the delivery of such notice, subject to Section 3.3, Recargo may enter upon the Premises to install the Charging Stations. The term of the License shall commence upon the date on which the Charging Stations are first operational (the “Commencement Date”) and, subject to the provisions of Section 2.2 below, end on the date that is ten (10) years from the Commencement Date (the “Initial Term”). Recargo shall provide to Host notice of the Commencement Date within a reasonable period following the occurrence of such date. (b) Extended Term. Upon the expiration of the Initial Term, this Agreement will automatically renew for successive five (5) year periods (each, an “Extended Term”, and together with the “Initial Term”, the “Term”), unless Recargo provides to Host written notice of termination of this Agreement no later than thirty (30) days prior to the expiration of the Initial Term or the Extended Term, as applicable. 2.2 License Fee. Within five (5) business days of the execution of this Agreement, Recargo shall make a one-time payment to Host in the amount of One Thousand and No/100 Dollars ($1,000.00). Commencing upon the Commencement Date, Recargo shall pay to Host, at such address as Host may from time to time designate in writing, a monthly license fee in the amount of One Hundred and No/100 Dollars ($100.00) per installed Charging Station as set forth on Exhibit B (the “License Fee”). The Parties acknowledge that in most instances one (1) Charging Station requires one (1) parking space, however, in order to comply with applicable laws, there may be instances where one (1) Charging Station requires more than one (1) parking space. Recargo shall pay the License Fee by the 10th of each month. The License Fee for the first month of the Term or any other partial month shall be prorated. 2.3 Termination. (a) For Cause. Either Party may terminate this Agreement upon the occurrence of any of the following: i. Breach. The other Party breaches or fails to perform any of its obligations in any material respect, and such breach or failure continues uncured for ten (10) business days after receipt of written notice; provided, however, that if such breach is not capable of being cured within such ten (10) day period, then so long as the breaching Party commences and diligently pursues such cure without such ten (10) day period and continues such cure until completion, then such period shall be deemed extended up to an additional sixty (60) days. ii. Insolvency. The other Party becomes insolvent or proceedings are instituted by or against it under any provision of any federal or state bankruptcy or insolvency laws. (b) For Convenience by Recargo. Recargo may elect to terminate this Agreement at any time by providing at least thirty (30) days prior written notice to Host. Packet Page 271 Item 13 Page 3 (c) Restoration of Premises upon Termination. Promptly following the expiration or termination of this Agreement, Recargo shall remove the Charging Stations from the Premises and restore the affected area to its former condition, excluding ordinary wear and tear. Recargo shall only be required to cap off, not remove, any underground electrical wiring. (d) No Further Obligations. Upon the expiration or termination of this Agreement, both Parties will be relieved of any further obligations under Agreement, except for those that by their nature survive an expiration or termination. ARTICLE 3 CHARGING STATIONS 3.1 General. (a) Charging Stations. The number of Charging Stations allowed (the “Allowed Number of Charging Stations”) and their approximate locations are specified in Exhibit B. The Parties may increase or decrease the number of Charging Stations and/or their approximate locations by executing an Amendment of Master License Agreement in the form attached hereto as Exhibit D attached hereto (the “Amendment”) and the executed version of the Amendment shall be incorporated herein. The License Fee shall automatically adjust, if necessary, to reflect the final number of installed Charging Stations. (b) Modifications. Exhibit B is intended to provide only a general description of the Charging Stations for informational purposes. Recargo may, in its sole and absolute discretion, at any time and for any reason during the License Term, without the need to obtain Host’s consent or approval, (i) modify, including, without limitation, upgrade or replace any portion of the Charging Stations, or (ii) install Charging Stations up to the Allowed Number of Charging Stations (subject to payment of the License Fee pursuant to Section 2.2), and Recargo shall not be required to pay any other charges or fees on account of (i) or (ii). (c) Ancillary Facilities. Recargo may, with Host’s prior approval, include at the Premises other additional services, equipment or facilities for automobile upkeep that Recargo may elect to offer its customers from time to time during the Term. 3.2 Signage. Recargo may paint, place, erect, or project signs, marks, or advertising devices in, on, or about the Premises or with Host’s prior consent, elsewhere on the Host Property (which consent shall not be unreasonably delayed or withheld). Recargo shall indemnify Host and save Host harmless from all claims and damages resulting from any sign, mark or advertising device erected by Recargo at the Host Property. Recargo shall, at its own cost and expense, obtain any and all permits necessary for the installation of its signs, and Recargo shall be solely responsible for all costs and expenses associated with such permitting, the erection of such sign(s), and the maintenance and operation thereof. Further, Recargo and Host also agree to place signage on or around the Charging Stations, designating the area as “Electric Vehicle Charging Only,” and Host will take reasonable measures to prevent non-EV vehicles from parking in the Premises. Host agrees that it shall not place any signs, marks or advertising devices on any portion of the Premises without Recargo’s prior written consent (which may be granted or denied in Recargo’s discretion). 3.3 Installation. (a) General. Recargo is solely responsible for the construction and installation of the Charging Stations, and has sole control over design, construction and installation, including, without limitation, scheduling, means, methods, techniques, sequences, and procedures, including the coordination of all work. (b) Construction. Before beginning activities to install the Charging Stations, Recargo shall give a copy of the tentative construction schedule and installation plans to Host for its approval, which approval shall not be unreasonably delayed or withheld. Recargo shall not begin work until (i) Host has provided its approval and (ii) Recargo has obtained all applicable Governmental Authorizations. Once approved, and on Packet Page 272 Item 13 Page 4 the Parties’ respective demonstration that all insurance coverages required by this Agreement are in place, Recargo will, at its sole expense, oversee and manage the installation of the Charging Stations, including, without limitation, the hiring and coordination of all vendors and contractors; the installation of electrical equipment, utility lines, hardware, and software; site prepa ration, trenching, repaving, and landscaping; and installation of all Recargo-branded signage. (c) Governmental Authorizations. Recargo will, at its sole cost and expense, obtain from applicable governmental authorities all Governmental Authorizations required to install the Charging Stations, and Host will reasonably cooperate upon request with Recargo’s efforts to do so. (d) Right to Construct. Host grants to Recargo and its employees and vendors the non-exclusive right to use and occupy the Premises and Host’s adjacent property for the construction and installation of the Charging Stations. Recargo may only bring onto such property materials and equipment that will be used directly in the construction and installation of the Charging Stations. Recargo shall ensure that, subject to reasonable and unavoidable interruptions, all work is performed in a manner that affords continuous, reasonable access to the Host Property. (e) Liens. Recargo will not permit or suffer any mechanic’s or materialmen’s liens to attach to the Host Property as a result of the installation of the Charging Stations. If as a result of Recargo’s activities, a lien attaches to the Host Property, Recargo shall remove or bond over such lien at Recargo’s sole cost and expense, within twenty (20) days of Recargo receiving written notice thereof from Host. (f) No Fixtures. In no event shall the Charging Stations or any of Recargo’s property be deemed a fixture, nor shall Host, nor anyone claiming by, through or under Host (including but not limited to any present or future mortgagee of the Host Property) have any rights in or to Recargo’s property at any time. Host shall have no interest in the Charging Stations or other equipment or personal property of Recargo installed or located on the Host Property, and Recargo may remove all or any portion of the Charging Stations or any other equipment or personal property of Recargo at any time. Without limiting the generality of the foregoing, Landlord hereby waives any statutory or common law lien right that it might otherwise have in or to the Charging Stations and other equipment or personal property of Recargo. 3.4 Operation and Maintenance. Except as otherwise provided in this Agreement, Recargo will, at its sole cost and expense, maintain and operate the Charging Stations, including making all necessary repairs, arrange for appropriate remote monitoring, and obtaining and installing appropriate software and hardware upgrades. Recargo shall not be required to make any repairs to the Premises except for damage caused by Recargo. Additionally, Recargo may perform security assessments and install reasonable security features on the Premises, including, without limitation, lighting and cameras. 3.5 Host Obligations. Host shall, at its sole cost and expense, take all actions necessary to maintain the Premises in a clean, safe, and orderly condition, to at least the same standard as it cu stomarily maintains the common areas at the Host Property, including, without limitation, parking lot sweeping, parking lot snow removal, parking lot repaving and restriping, and maintenance and repair of curbs, gutters and landscaping features within the Premises. Host shall be under no obligation to maintain the Charging Stations, signage or any other equipment installed by Recargo within the Premises; provided, however, that Host shall be responsible for any damage to the Charging Stations caused by Host or Host’s employees, agents, representatives or invitees. Any such damage may be repaired by Recargo at Host’s cost, and Recargo shall invoice Host for such amount. To the extent Host has actual knowledge of the same, Host shall promptly notify Recargo and, as appropriate, emergency response personnel regarding any malfunction of the Charging Stations. Host shall not store any items in the Premises and it shall not allow its employees, agents, representatives, invitees or visitors to park in the Premises. 3.6 Utilities. Packet Page 273 Item 13 Page 5 (a) Utility Costs. Recargo shall be responsible for all electricity costs of the Charging Stations. Recargo shall, at its sole expense, either (i) ensure that the Charging Stations contains separately-metered electricity with Recargo as the customer of record for such meter, or (ii) measure in kWh the electricity used by the Charging Stations, in which case Recargo will pay Host for the electricity used by the Charging Stations at the applicable per kWh rate, or as otherwise mutually agreed by the Parties. (b) Host Cooperation. Host shall cooperate with Recargo to obtain electricity and any other utilities necessary to operate the Charging Stations, including by granting appropriate easements to local utility providers; provided, however, that Host is not required to pay money to satisfy the requirements of the utility or Recargo associated with the provision of such utilities. 3.7 Training and Reporting. To better facilitate the use of the Premises by the target customers, Recargo will provide initial training to Host and its designated employees on the basic operation and maintenance of the Charging Stations at no cost to Host. As appropriate thereafter, Host may periodically train and retrain its employees on the use and maintenance of the Charging Stations, so that Host employees who might provide any such support services have the requisite training to assist and answer questions from customers. 3.8 Taxes. Recargo is solely responsible for taxes imposed on the Charging Stations, and any other equipment installed by it, that is located in the Premises. All other real or personal property taxes related to the Premises, including any increase in real estate taxes on the real property on which the Premises is located which arise from Recargo’s improvements and/or Recargo’s use of the Premises, are the sole obligation of Host. Each Party is responsible for its own income, franchise and similar taxes. 3.9 Relocation of Premises. During the first five (5) years of the Term, Host may not relocate the Premises without Recargo’s prior written consent, which may be withheld in Recargo’s discretion. At any time thereafter, upon the reasonable request of Host in connection with a leg itimate business purpose, the Parties may agree to relocate the Premises to a mutually agreeable location (i) that includes at least the same number of parking spots, and (ii) with accessibility (by Recargo and it’s invitees and customers) and visibility that is similar to the original Premises, provided that the new location is open to the public before Recargo is required to decommission the original location and Host shall not be entitled to any increase in the License Fee as a result of such relocation. Host shall pay all of Recargo’s costs and expenses incurred as a result of such relocation, including, without limitation, loss of revenue at the Premises during any period of time when the Charging Stations are not accessible by Recargo’s customers; the cost of moving the Charging Stations (including replacing any portion of the Charging Stations that cannot be moved without resulting in damage to such portion); the costs of any required revisions or modifications to any Governmental Authorizations, if any; utility relocation or reconnection costs; installation costs, including, without limitation, costs of vendors and contractors, the installation of electrical equipment, utility lines, hardware, and software, site preparation, trenching, repaving, and landscaping; the cost of relocating and installing Recargo’s signage; and restoration costs related to the restoration of the original Premises. ARTICLE 4 INTELLECTUAL PROPERTY; PUBLICITY 4.1 Intellectual Property. As used in this Agreement, “Intellectual Property” means all copyrights, patents, trademarks and service marks, names, logos, designs, domain names, generic Top -Level Domain names, all registrations for copyrights, patents, trademarks and service marks/names, domain names, generic Top-Level Domain names, trade secrets, know-how, and all unique concepts, information, data and knowledge that is eligible for legal protection under applicable laws as intellectual property, whether protected through confidentiality, registration or pending registration, regardless of form, whether disclosed in writing, electronically, orally or through visual means, whether learned or obtained orally, through observation, through the discharge of responsibilities under this Agreement, or through analysis of that information, data or knowledge. Packet Page 274 Item 13 Page 6 (a) Host Intellectual Property. The Parties agree that, as between them, Host has and retains ownership of all of Host’s Intellectual Property, and except as set forth in Section 4.3(b), Recargo has no right, and shall not obtain any right, in any Host Intellectual Property. (b) Recargo Intellectual Property. The Parties agree that, as between them, Recargo has and retains ownership of all of Recargo’s Intellectual Property, and Host has no right, and shall not obtain any right, in any Recargo Intellectual Property. 4.2 Ownership of Drawings and Other Documents. All documents and records prepared by or under the direction of Recargo pursuant to this Agreement, including, without limitation, drawings, specifications, and other documents, including those in electronic format, are solely and exclusively Recargo Intellectual Property, and Recargo retains all common law, statutory and other reserved rights, including the copyright. 4.3 Publicity. (a) Host must obtain Recargo’s prior written approval of any announcements, publications, photographs, or other type of communication concerning the Work which it wishes to release for publication, which approval may be withheld in the other Party’s sole discretion. (b) Recargo may (i) make or publish announcements, press releases and statements and hold press conferences, both through traditional and electronic media, including websites created by Recargo or other third parties, regarding the subject matter of this Agreement, including, without limitation, the execution of this Agreement, the status of the activities contemplated herein and the location of the Charging Stations, (ii) advise mapping or other services of the existence of the Charging Stations at the Premises so that such services may include such infor mation in connection with their mapping or other services; and (iii) make any disclosures regarding the subject matter of this Agreement or provide copies of this Agreement or portions hereof to utility providers, governmental authorities, affiliates and/or third parties referenced in Section 5.2(a) as reasonably necessary or desirable to facilitate or effectuate the intents and purposes of this Agreement. Host hereby grants to Recargo a n irrevocable, perpetual, royalty-free and transferable (to a permitted assignee subject to Section 8.4 of this Agreement) license to use Host’s Intellectual Property in connection with Recargo’s business development activities for the limited purpose of indicating the existence of a business relationship between the Parties. ARTICLE 5 REPRESENTATIONS AND WARRANTIES; COVENANTS 5.1 Mutual Representations and Warranties. Each of Host and Recargo hereby represents and warrants to the other as of the Effective Date that: (a) it has all necessary power and authority to execute, deliver, and perform its obligations hereunder; (b) the execution, delivery, and performance of this Agreement have been du ly authorized by all necessary action and do not violate any of the terms or conditions of its governing documents, any contract to which it is a party, or any law, rule, regulation, order, judgment, or other legal or regulatory determination applicable to it; (c) there is no pending or, to its knowledge, threatened litigation or administrative proceeding that may materially adversely affect its ability to perform this Agreement; (d) it is duly organized and validly existing under the laws of the jurisdicti on of its organization or incorporation and, if relevant under such laws, in good standing; (e) this Agreement constitutes a legal, valid and binding obligation of such Party, except as the enforceability of this Agreement may be limited by the effect of any applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’ rights generally and by general principles of equity; and (f) at all times during the Term, it will comply with all federal, state, and local laws, rules, regulations (including, without limitation, all zoning ordinances and building codes) in performing its obligations under this Agreement. Packet Page 275 Item 13 Page 7 5.2 Host Representations and Warranties. (a) Consents/Approvals. Host further represents, warrants and covenants that it has obtained or it shall obtain any and all consents or approvals required in order for Host to grant the License and other rights and perform its obligations under this Agreement, and for Recargo to take the actions with respect to the Premises contemplated in this Agreement, from any third parties: (i) with an interest in the Host Property (including, without limitation, any owner, lender, lessee, ground lessor, party with a right of first refusal (or right of first offer) or any party to any reciprocal easement agreement) or (ii) whose consent is otherwise required under conditions, covenants and restrictions documents, declarations or similar agreements affecting the Host Property. When consent of a third party is required, upon the reasonable request of Host, Recargo shall provide reasonable assistance to Host to educate the applicable third parties of the terms, conditions, and benefits of the activities proposed to be taken pursuant to this Agreement. (b) Title. Host further represents and warrants that there are no liens, judgments, encumbrances or other impediments of title on the Host Property that would adversely affect the use or occupancy of the Premises by Recargo pursuant to this Agreement, and during the Term of this Agreement covenants to maintain the Host Property free of any such liens, judgments, encumbrances or other impediments. (c) Hazardous Substances. Host further represents and warrants that the Host Property is and has at all times been in compliance with all applicable laws relating to the Host Property, including, without limitation, laws relating to Hazardous Substances and to the knowledge of Host, no fact or circumstance exists that reasonably could be expected to involve the Host Property in any environmental litigation, proceeding, investigation or claim or impose any environmental liability upon Host. “Hazardous Substances” means any and all chemicals, constituents, contaminants, pollutants, materials, and wastes and any other carcinogenic, corrosive, ignitable, radioactive, reactive, toxic or otherwise hazardous substances or mixtures (whether solids, liquids, gases), or any substances which are now or at any time after the Effective Date subject to regulation, control, remediation or otherwise addressed as a hazardous substance under applicable laws, including those laws, regulations and policies relating to the discharge, emission, spill, release, or threatened release into the environment or relating to the disposal, distribution, manufacture, processing, storage, transport, treatment, transport, or other use of such substances . ARTICLE 6 INSURANCE; CASUALTY AND CONDEMNATION 6.1 Recargo Insurance. (a) Coverage. During the License Term, Recargo shall maintain in full force and effect, at its cost and expense, the following coverages and amounts of insurance: i. Full replacement cost Property Insurance (written on a “special perils” basis) for the Charging Stations and all other personal property, machinery, equipment and trade fixtures owned by Recargo; ii. Statutory Worker’s Compensation Insurance, and Employer’s Liability limits of $1,000,000.00 per accident/per employee; iii. Commercial General Liability Insurance, written on an occurrence basis, covering bodily injury (including death), personal injury, and property damage, with limits of not less than $1,000,000.00 per occurrence, that includes coverage for contractual liability, independent contractors, premises/operations, products/completed operations, and cross liabilities/separation of insureds; Recargo shall consider its own insurance primary, and shall not seek contribution from similar insurance being maintained by the Host, but only as to the negligent acts or omissions of Recargo or the Recargo Parties. Packet Page 276 Item 13 Page 8 (b) Certificates. From time to time upon request, Recargo shall provide Host with a certificate of insurance, evidencing the required coverages. 6.2 Host Insurance. (a) Coverage. During the License Term, Host shall maintain in full force and effect, at its cost and expense: i. Full replacement cost Property Insurance (written on an “special perils” basis) for (1) the Host Property and all improvements thereon (including without limitation the Premises and all electrical infrastructure for the Charging Stations); and (2) all personal property, machinery, equipment and trade fixtures located at the Host Property or owned by Host; and ii. From time to time upon request, Host shall provide Recargo with a certificate of insurance, evidencing the required coverages iii. Commercial General Liability Insurance, written on an occurrence basis, covering bodily injury (including death), personal injury, and property damage, with limits of not less than $2,000,000.00 per occurrence, that includes coverage for contractual liability, independent cont ractors, premises/operations, products/completed operations, and cross liabilities/separation of insureds; Host shall consider its own insurance primary, and shall not seek contribution from similar insurance being maintained by Recargo, but only as to the negligent acts or omissions of Host or the Host Parties . (b) Certificates. From time to time upon request, Host shall provide Recargo with a certificate of insurance, evidencing the required coverages. (c) Additional Insured. All of Host’s coverages shall name Recargo as an additional insured. 6.3 Policy Requirements. The insurance policies required under Sections 6.1 and 6.2 shall: (a) Issuers. be issued by insurance companies licensed to do business in the state in which the Host Property is located, with a general policyholder’s ratings of at least “A-” and a financial rating of at least “Class VIII,” in the most current Best’s Insurance Reports available on the Commencement Date; if the Best’s ratings are changed or discontinued, the Parties shall agree to a comparable method of rating insurance companies; (b) Waiver of Subrogation. contain provisions whereby each Party’s insurers waive all rights of subrogation against the other party on each of the coverages required herein. 6.4 Waiver. Anything in this Agreement to the contrary notwithstanding, to the extent covered by any property insurance maintained (or required to be maintained) hereunder, each Party hereby waives every right or cause of action for any and all loss of, or damage to (whether or not such loss or damage is caused by the fault or negligence of the other Party or anyone for whom said other Party may be responsible) the Host Property, the Premises, the Charging Stations (including without limitation the Charging Stations), or any improvements on any of the foregoing, or to the personal property of either Party, or their respective affiliates, representatives, agents, officers, directors, managers, members, shareholders, partners, contractors, or employees, regardless of cause or origin. These waivers and releases shall apply between the Parties and they shall also apply to any claims under or through either Party as a result of any asserted right of subrogation. 6.5 Casualty and Condemnation. Packet Page 277 Item 13 Page 9 (a) Damage. If any portion of the Premises, the Charging Stations or the Host Property is damaged by fire or other casualty, then Recargo may, within thirty (30) days of the date of such fire or other casualty elect to terminate this Agreement on written notice to Host. If Recargo elects to repair its property, it shall restore, rebuild, or replace those portions of the Charging Stations in the Premises and any other property damaged as a result of such fire or other casualty to its prior or better condition as necessary, and all property insurance proceeds of Host applicable to the Premises shall be made available to Recargo in connection with such repair and restoration. If Recargo elects to terminate this Agreement, it shall remove all of Recargo’s property from the Premises in accordance with Section 2.2(b) of this Agreement. Any repair and restoration required by Recargo under this Section 6.5(a) shall commence within sixty (60) days of the date Recargo elects to repair and restore the Premises and shall be completed no later than 120 days thereafter. (b) Condemnation/Taking. If any portion of the Premises or Host Property is condemned or taken in any manner for a public or quasi-public use that could adversely affect the use of the Charging Stations, then Recargo may elect to terminate this Agreement effective as of the date title to the condemned portion of the Host Property is transferred to the condemning authority. If Recargo does not elect to terminate, the Parties will use commercially reasonable efforts to find an alternate location for the Charging Stations elsewhere on Host Property. The costs of the relocation of the Charging Stations shall be paid by Recargo. Recargo may file a separate claim to the condemning authority for any relocation award made as a result of such condemnation; provided, however, in no event shall such claim reduce the Host’s award related to the condemnation or taking. (c) Suspension of Term. During any time that the Charging Stations or any portion of the Premises is under repair or being relocated pursuant to this Section 6.5, the Term shall be temporarily suspended on a day-for-day basis. ARTICLE 7 INDEMNITY; LIMITATION OF LIABILITY 7.1 Recargo. Recargo shall defend, indemnify and hold harmless Host, its affiliates, and their respective representatives, agents, officers, directors, shareholders, partners a nd employees (individually, “Host Party” and, collectively, the “Host Parties”) from and against all third party claims, demands, causes of action, liabilities, costs, damages, loss es , penalties, fines, judgments or expenses, including reasonable attorneys ’ fees and costs of collection (collectively, “Losses”) that arise out of or result from (i) any willful misconduct or negligence of Recargo, its affiliates, and their respective representatives, agents, officers, directors, shareholders, partners and employees (individually, “Recargo Party” and, collectively, the “Recargo Parties”) in connection with this Agreement, (ii) any breach by Recargo of its obligations, representations or warranties under this Agreement, or (iii) the operation of the Charging Stations during the Term, except to the extent arising out of or resulting from any willful misconduct or negligence of any Host Party or any installation activities conducted by a contractor or other service provider designated by Host . The obligations of Recargo under this Section shall survive the expiration, cancellation, or termination of this Agreement and Term. 7.2 Host. Host shall defend, indemnify and hold harmless the Recargo Parties from and against all Losses that arise out of or result from (i) any willful misconduct or negligence of any Host Party in connection with this Agreement, (ii) any breach by Host of its obligations, representations or warranties under this Agreement, (iii) an event occurring in any area of the Host Property, except to the extent arising out of or resulting from any willful misconduct or negligence of any Recargo Party, (iv) the presence, generation or release of Hazardous Substances on the Host Property (other than to the extent Hazardous Substances were brought onto the Host Property and generated or released by Recargo). The obligations of Host under this Section shall survive the expiration, cancellation, or termination of this Agreement and the Term. 7.3 Limitation of Liability. IN NO EVENT SHALL RECARGO BE LIABLE (IN CONTRACT OR IN TORT, INCLUDING NEGLIGENCE AND STRICT LIABILITY) TO THE HOST PARTIES FOR ANY SPECIAL, INDIRECT , CONSEQUENTIAL, INCIDENTAL, PUNITIVE OR EXEMPLARY DAMAGES Packet Page 278 Item 13 Page 10 RELATING TO THIS AGREEMENT. THE ENTIRE LIABILITY OF EACH PARTY FOR ANY AND ALL CLAIMS OF ANY KIND ARISING FROM OR RELATING TO THIS AGREEMENT WILL BE SUBJECT IN ALL CASES TO AN AFFIRMATIVE OBLIGATION ON THE PART OF THE OTHER PARTY TO MITIGATE ITS DAMAGES. RECARGO’S TOTAL LIABILITY FOR ANY AND ALL LIABILITY TO THE HOST PARTIES (ON AN AGGREGATE BASIS) ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT WHETHER IN CONTRACT OR IN TORT (INCLUDING NEGLIGENCE AND STRICT LIABILITY) SHALL NOT EXCEED FIFTY THOUSAND AND NO/100 DOLLARS ($50,000.00). THE FOREGOING LIMITATION SHALL NOT LIMIT RECARGO’S LIABILITY TO THE EXTENT OF RECARGO’S GROSS NEGLIGENCE, FRAUD OR WILLFUL MISCONDUCT. THE PROVISIONS OF THIS SECTION 7.3 SHALL APPLY TO THE FULL EXTENT PERMITTED BY LAW AND SHALL SURVIVE TERMINATION OF THIS AGREEMENT. 7.4 Procedure. Any Party seeking indemnification hereunder (the “Indemnified Party”) shall deliver to the other Party (the “Indemnifying Party”) a notice describing the facts underlying its indemnification claim and the amount of such claim (each such notice a “Claim Notice”). Such Claim Notice shall be delivered promptly to the Indemnifying Party after the Indemnified Party receives notice that an action at law or a suit in equity has commenced; provided, however, that failure to deliver the Claim Notice as aforesaid shall not relieve the Indemnifying Party of its obligations under this Section, except to the extent that such Indemnifying Party has been prejudiced by such failure. An Indemnified Party shall have the right to participate in the Indemnifying Party’s defense of a claim and to employ counsel, at its own expense, separate from the counsel employed by the indemnifying Party, it being understood that the indemnifying Party shall control such defense. ARTICLE 8 MISCELLANEOUS 8.1 Brokers. Each Party hereby represents to the other Party that it has not dealt with any broker in connection with this Agreement. Each Party agrees to indemnify and hold the other Party, its members, principals, beneficiaries, partners, officers, directors, employees, and agents, and the respective principals and members of any such agents harmless from all claims of any brokers cla iming to have represented such Party in connection with this Agreement. 8.2 Survival. The obligations hereunder that, by their sense and context, are intended to survive termination of this Agreement shall survive the expiration or termination of this Agreement to the extent necessary to give them full effect. 8.3 Notice. Any notice to be given under this Agreement will be in writing and addressed to the Party at the address stated below. Notices will be deemed given and effective (i) if personally delivered, upon delivery, or (ii) if sent by an overnight service with tracking capabilities, upon receipt. Any such notice sha ll be delivered or addressed to the Parties at the addresses set forth below or at the most recent address specified by the addressee through written notice under this Section 8.3. Failure to give notice in accordance with any of the foregoing methods shall not defeat the effectiveness of notice actually received by the addressee: If to Recargo: Recargo, Inc. 1015 Abbot Kinney Blvd. Venice, CA 90291 Attn: Legal Department If to Host: Packet Page 279 Item 13 Page 11 _______________________ _______________________ _______________________ Attn: ___________________ Each Party may change its address for notice by giving notice thereof to the other Party. 8.4 Assignment. This Agreement is binding on and inures to the benefit of the Parties and their respective heirs, successors, assigns, and personal representatives. Neither Party may assign its rights and obligations in and under this License without first obtaining prior written cons ent of the other Party, which shall not be unreasonably withheld; provided, however, that (i) Recargo may assign this Agreement without Host’s consent or approval so long as any assignee agrees in writing to be bound by the terms of this Agreement and (ii) Host may assign this Agreement without Recargo’s consent to (a) an affiliate (including a parent or subsidiary), (b) a successor by merger or acquisition, (c) a successor to all or substantially all of the assets of Host, or (d) a purchaser of the Host Property; provided that any such assignment shall be made subject to this Agreement and the assignee shall agree in writing to assume all of Host’s obligations under this Agreement (Host shall provide reasonable evidence of such assumption to Recargo). 8.5 Independent Contractors. The Parties shall act as and be independent contractors in the performance of this Agreement. Nothing in the Agreement shall be deemed or construed to create a joint venture, partnership, fiduciary, or agency relationship between the Parties for any purpose, and the employees of one Party shall not be deemed to be the employees of the other Party. Except as otherwise stated in this Agreement, neither Party has any right to act on behalf of the other, nor represent that it has such right or authority. 8.6 Governing Law. This Agreement shall be governed by and interpreted in accordance with the internal laws of the State of California, without regard to the conflicts of law principles that would result in the application of any law other than the law of the State of California . 8.7 Consent to Jurisdiction. Each of the Parties hereby irrevocably consents and agrees that any legal action or proceedings brought with respect to any dispute arising out of this Agreement shall be brought in, and each Party submits to the jurisdiction and venue of the state and f ederal courts located in the County of Los Angeles, State of California, and by execution and delivery of this Agreement, each of the Parties hereby (i) accepts the non-exclusive jurisdiction of the foregoing courts, (ii) irrevocably agrees to be bound by any final judgment (subject to any appeal) of any such court with respect thereto, and (iii) irrevocably waives, to the fullest extent permitted by law, any objection which it may now or hereafter have to the laying of venues of any suit, action or proceedings with respect hereto brought in any such court, and further irrevocably waives to the fullest extent permitted by law any claim that any such suit, action or proceedings brought in any such court has been brought in an inconvenient forum. Each of the Parties agrees that a final judgment in any such action or proceeding shall be conclusive (subject to any appeal) and may be enforced in other jurisdictions by suit on the judgment or in any other manner to the extent provided by law. 8.8 Remedies. The rights and remedies provided by this Agreement are cumulative, and the use of any right or remedy by any Party does not preclude or waive its right to use any or all other remedies. These rights and remedies are given in addition to any other rights a Party may have under applicable law, in equity or otherwise. 8.9 Attorneys’ Fees; Waiver of Jury Trial. If either Party institutes a suit against the other for violation of or to enforce any covenant, term or condition of this Agreement, the prevailing Party shall be entitled to reimbursement of all of its costs and expenses, including, without limitation, reasonable attorneys’ fees. The Parties hereby waive any and all rights which either Party may have to request or require that a jury determine any fact, matter, controversy, dispute or litigation between them, or render any judgment or decision, in any way concerning this Agreement, and agree that any and all litigation between them arising from or in Packet Page 280 Item 13 Page 12 connection with this Agreement shall be determined by a judge sitting without a jury. Any legal action or proceeding with respect to or arising out of this Agreement shall be tried and litigated exclusively in the State and Federal courts located in the County of Los Angeles, State of California. 8.10 Specific Performance. Notwithstanding anything to the contrary set forth herein or elsewhere, the Parties agree that irreparable damage could occur in the event that any of the provisions of this Agreement were not performed in accordance with their specific terms or were other wise breached. It is accordingly agreed that the Parties shall be entitled to seek an injunction or injunctions to prevent breaches of this Agreement, without the necessity of proving the inadequacy of money damages as a remedy and without the necessity of posting any bond or other security, and to enforce specifically the terms and provisions of this Agreement in any state court or federal court of the United States of America sitting in State of California and located in the city of Los Angeles, this being in addition to any other remedy to which they are entitled at law or in equity. 8.11 Further Assurances. Each Party agrees to execute (and acknowledge, if requested) and deliver additional documents and instruments and to perform additional acts as may be reasonably necessary or appropriate to effectuate, carry out, and perform all of the terms, provisions and conditions of this Agreement. 8.12 Force Majeure. Neither Party is responsible for any delay or failure in performance of any part of this Agreement to the extent that delay or failure is caused by fire, flood, explosion, war, embargo, government requirement, civil or military authority, act of God, act or omission of carriers or other similar causes beyond its control. This Agreement may be terminated without any termination fee or other penalty by the Party whose performance has not been affected if non-performance continues for more than sixty (60) days. 8.13 No Waiver. The failure of a Party to insist on strict performance of any provision of the Agreement does not constitute a waiver of, or estoppel against asserting, the right to require performance in the future. A waiver or estoppel given in any one instance does not constitute a waiver or estoppel with respect to a later obligation or breach. 8.14 No Third Party Beneficiaries. This Agreement does not confer any rights or remedies on any person other than the Parties and their respective successors and permitted assigns. 8.15 Integration; Amendments. It is agreed and understood that this Agreement contains all agreements, promises and understandings between the Parties, and that there are no verbal or oral agreements, promises or understandings between the Parties. Any amendment, modification or other change to this Agreement shall be ineffective unless made in a writing signed by the Parties. 8.16 Severability. If any term of this Agreement is held by any court of competent jurisdiction to contravene, or to be invalid under, the laws of any political body having jurisdiction over this subject matter, that contravention or invalidity shall not invalidate the entire Agreement. Instead, this Agreement shall be construed as reformed to the extent necessary to render valid the particular provision or provisions held to be invalid, consistent with the original intent of that provision and the rights and obligations of the Parties shall be construed and enforced accordingly, and this Agreement shall remain in full force and effect as reformed. 8.17 Counterparts. This Agreement may be executed in any number of counterparts with the same effect as if all the Parties had signed the same document; all counterparts shall be construed together and shall constitute one and the same instrument. The delivery of an executed counterpart to this Agreement by electronic means (including via email) shall be as effective as the delivery of a manually executed counterpart. Packet Page 281 Item 13 Page 13 8.18 Drafting Presumption. This Agreement has been and shall be construed to have been drafted by all Parties to it so that the rule of construing ambiguities against the drafter shall have no force or effect. 8.19 Construction. The headings in this Agreement are inserted for convenience and identification only. When the context requires, the number of all words shall include the singular and the plural. In this Agreement, words importing any gender include the other genders and the words including, includes and include shall be deemed to be followed by the words without limitation. All documents or items attached to, or referred to in, this Agreement are incorporated into this Agreement as fully as if stated within the body of this Agreement. [Signature Page follows.] Packet Page 282 Item 13 Packet Page 283 Item 13 IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed by their duly authorized representatives as of the date first shown above. HOST: ___________________________________________, a(n) ________________________________________ By: Name: Title: RECARGO: RECARGO, INC, a California corporation By: Name: Title: Packet Page 284 Item 13 Packet Page 285 Item 13 EXHIBIT A DESCRIPTION OF HOST’S PROPERTY Address: 1545 Calle Joaquin, San Luis Obispo, CA 93405 Parcel Number (APN): 053-171-028 Parcel area shown in RED below: Packet Page 286 Item 13 EXHIBIT B PREMISES Packet Page 287 Item 13 EXHIBIT C Addendum to Master License Agreement THIS ADDENDUM TO MASTER LICENSE AGREEMENT (this “Addendum”), dated as of ________________, 201_ (the “Effective Date”), is entered into by and between _______________________________________ ("Host") and Recargo, Inc., a California limited liability company ("Recargo"). Host and Recargo are referred to herein individually as a “Party” and collectively as the “Parties”. Except as otherwise provided for herein, capitalized terms shall have the meanings set forth in the Agreement (as defined below). RECITALS: WHEREAS, Host and Recargo entered into that certain Master License Agreement dated as of _______________, 201_ (the “Agreement”); WHEREAS, Host desires to license additional Host Property to Recargo (“Additional Host Property”). WHEREAS, the Parties desire to amend the Agreement add the Additional Host Property. NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, and in consideration of other valuable consideration, the receipt and adequacy of which is hereby acknowledged, the Parties agree as follows: AGREEMENT: 1. Additional Property. In order to add the Additional Host Property, the Parties hereby agree that Exhibits A and B attached to the Agreement are hereby deleted in their entirety and replaced with Exhibits A and B attached hereto. [ATTACH EXHIBITS A and B] 2. License Fee. The annual license fee for the Additional Host Property shall be ______________________ and __/100 Dollars ($_____.00) due and payable in the same manner and upon the same terms as the License Fee set forth in the Agreement. 3. Full Force and Effect. Except as expressly modified herein, the terms and conditions set forth in the Agreement shall remain in full force and effect. The terms of the Agreement shall govern the Additional Host Property. [Signatures are on the following page.] Packet Page 288 Item 13 IN WITNESS WHEREOF, the Parties have duly executed this Addendum as of the Effective Date. HOST: ___________________________________________, a(n) ________________________________________ By: Name: Title: RECARGO: RECARGO, INC, a California corporation By: Name: Title: Packet Page 289 Item 13 EXHIBIT D Amendment of Master License Agreement THIS AMENDMENT OF MASTER LICENSE AGREEMENT (this “Amendment”), dated as of ________________, 201_ (the “Effective Date”), is entered into by and between _______________________________________ ("Host") and Recargo, Inc., a California limited liability company ("Recargo"). Host and Recargo are referred to herein individually as a “Party” and collectively as the “Parties”. Except as otherwise provided for herein, capitalized terms shall have the meanings set forth in the Agreement (as defined below). RECITALS: WHEREAS, Host and Recargo entered into that certain Master License Agreement dated as of _______________, 201_ (the “Agreement”); WHEREAS, the Parties desire to amend the Agreement. NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, and in consideration of other valuable consideration, the receipt and adequacy of which is hereby acknowledged, the Parties agree as follows: AGREEMENT: 1. Additional Property. The Parties hereby agree that Exhibits B attached to the Agreement is hereby deleted in its entirety and replaced with Exhibit B attached hereto. [ATTACH EXHIBIT B] 2. Full Force and Effect. Except as expressly modified herein, the terms and conditions set forth in the Agreement shall remain in full force and effect. [Signatures are on the following page.] Packet Page 290 Item 13 IN WITNESS WHEREOF, the Parties have duly executed this Amendment as of the Effective Date. HOST: ___________________________________________, a(n) ________________________________________ By: Name: Title: RECARGO: RECARGO, INC, a California corporation By: Name: Title: Packet Page 291 Item 13 Page intentionally left blank. Packet Page 292 Item 13 Meeting Date: 5/15/2018 FROM: Derek Johnson, City Manager Prepared By: Robert Hill, Interim Deputy Director, Office of Sustainability SUBJECT: AUTHORIZE GRANT APPLICATIONS FOR WILDLAND–URBAN INTERFACE FUEL REDUCTION AND OPEN SPACE LAND MANAGEMENT PURPOSES RECOMMENDATION 1.Author ize the Office of Sustainability to prepare and submit grant applications for wildland - urban interface fuel reduction and open space land management purposes. 2.Authorize the City Manager or designee to execute any other required grant application- related documentation. Background The City of San Luis Obispo owns approximately 3,500 acres of open space lands for conservation purposes within the City’s Greenbelt. The City provides funding for management and maintenance through the Open Space Maintenance CI P, as well as the operating budgets of both the Natural Resources Program and Ranger Service. In consideration of recent catastrophic fires this past year in Napa and Sonoma County, as well as Santa Barbara and Ventura County, staff has prioritized open space fuel reduction activities in the wildland-urban interface, as well as other land management activities that can address climate change adaptation and resilience strategies. DISCUSSION At this particular point in time, grant opportunities are available or anticipated that can augment City funds for the purposes described above, including: 1.) the California Department of Forestry and Fire Protection; 2.) the California Wildlife Conservation Board; 3.) the Fire Safe Council; and 4.) PG&E. The City’s Financial Management Manual, Section 740, requires City Council authorization to submit grant applications in excess of $5,000. In particular, section 3(d) states: For grants in excess of $5,000, prepare a Council Agenda Report requesting authorization to seek grant funding. This report should describe the grant program's conformance with this policy, including the results of the cost/benefit analysis. Packet Page 293 Item 14 Staff finds that submittal of grant applications for open space fuel reduction and open space land management meets the City’s Grant Management Policy outlined in Section 740 because there is an opportunity to significantly leverage City funds on balance with only modest staff time required to prepare the grant application; the proposed grant applications wo uld result in additional priority work efforts being implemented; and, all grant administration, tracking, and reporting will be conducted in accordance with applicable City policy and any requirements specified in an awarded grant contract. CONCURRENCES The Fire Chief, Parks and Recreation Director, City Biologist, and Sustainability Manager concur with submitting grant applications in support of the City’s efforts to accomplish the objectives stated herein. ENVIRONMENTAL REVIEW There is no environment al review required for grant submittals. If successful, open space fuel reduction is typically considered Categorically Exempt under the California Environmental Quality Act, and would be conducted in a manner consistent with adopted property-specific Conservation Plans and the Open Space Vegetation Management technical appendix of the City’s Open Space Maintenance Plan (2015). FISCAL IMPACT The City’s Office of Sustainability has time allocated within its normal work program to prepare and submit grant applications. If successful, these grant facilities will significantly leverage and augment the City’s funds budgeted for this purpose, a substantial portion of which were generated through the City’s Local Revenue Measure. ALTERNATIVES 1.The City Council could request additional information or analysis from staff. 2.The City Council could deny the request to submit grant applications. Packet Page 294 Item 14 Meeting Date: 5/15/2018 FROM: Carrie Mattingly, Director of Utilities Prepared By: Aaron Floyd, Deputy Director, Water Dave Hix, Deputy Director, Wastewater Jennifer Metz, Utilities Projects Manager SUBJECT: UPDATE TO GENERAL PLAN, WATER AND WASTEWATER MANAGEMENT ELEMENT RECOMMENDATION As recommended by the Planning Commission, adopt a resolution entitled “a Resolution of the Council o f the City of San Luis Obispo, California approving a Negative Declaration (EID 1455- 2018) and Amendments to the Water And Wastewater Management Element of the General Plan (GENP-1454-2018)” approving a Negative Declaration (EID 1455-2018) and an amendment to the City’s Water and Wastewater Management Element of the General Plan (GPA 1454-2018). DISCUSSION Background On April 11, 2018, staff presented a proposed amendment to the City’s General Plan, Water and Wastewater Management Element (WWME) to the City’s Planning Commission. The primary focus of the amendment to the WWME is to provide updated water supply information from the City’s safe annual yield model. This recent analysis is described further below. No policy changes are proposed as part of the amendment. The Planning Commission adopted a resolution (Attachment A) recommending the City Council approve a Negative Declaration (EID 1455-2018) and an amendment to the City’s Water and Wastewater Management Element of the General Plan. The staff report for the Planning Commission meeting is provided as Attachment B. The Planning Commission recommended minor revisions to the draft WWME, provided in Attachment C in legislative draft format, related to groundwater and greater accessibility of the Water Shortage Contingency Plan in the City’s Urban Water Management Plan. Other components of the update include text amendments to background sect ions related to the Sustainable Groundwater Management Act, and the adoption of the Recycled Water Master Plan in 2017. Related to the provision of wastewater service, the amendment updates background information on flow monitoring, inflow and infiltration, the 2016 Wastewater Collection System Infrastructure Renewal Strategy, and proposes the addition of a map identifying capacity constrained areas in the City’s wastewater collection system. Reduction in Safe Annual Yield The City defines the terminolog y “safe annual yield” as the amount of water which can be reliably withdrawn annually from coordinated operation of Salinas and Whale Rock reservoirs. The City’s safe annual yield analysis is based on historical rainfall, evaporation, and stream flow Packet Page 295 Item 15 data from 1943 through 2017 including drought periods in 1946-51, 1959-61, 1976-77, and 1986-91. A previous key assumption used in the model was the "controlling drought period" from 1986-1991. The 2018 update to the safe annual yield model added data from the most recent drought that ended in 2016 consistent with WWME program A 3.3.2. The complete technical memorandum summarizing the update to the model and climate change scenarios that were reviewed is provided as part of Attachment B. Program A 3.3.2 The City will update the safe annual yield computer model for Salinas and Whale Rock Reservoirs following severe drought periods to determine if any changes are necessary to the safe annual yield amount. Table 1: Change in Annual Water Supply Availability Current Annual Availability Proposed Annual Availability Salinas Reservoir and Whale Rock Reservoir 6,940 AF 4,910 AF1 Nacimiento Reservoir 5,482 AF 5,482 AF Recycled Water 193 AF 238 AF Siltation to 2060 (500 AF) (500 AF) TOTAL 12,115 AF 10,130 AF NOTES: 1. Reflects reduction in Safe Annual Yield as determined by the City’s model. 2. Water supply accounting data is in “AF” or acre feet. Although this is a significant reduction in the safe annual yield from these reservoirs, the City has a multi-source water supply to meet the City’s future water demand (primary water supply and reliability reserve) under the City’s General Plan, as shown in Table 2. The 2,030- acre-foot reduction reduces the City’s secondary water supply to 1,409-acre feet. Climate Change Analysis The City declared Climate Action a Major City Goal during its 2017-19 Financial Plan. Although it is not clear exactly how the City and its watersheds will be affected, climate change will impact future water supplies. Climate models are representations of the interactions between the sun, atmosphere, oceans, and land. This is a complex effort, so models are constructed to estimate trends rather than events. All models have limits as they are modelling complex systems. Table 2: Water Supply Accounting 2017 2018 Primary Water Supply 7,496 AF 7,496 AF Reliability Reserve 1,225 AF 1,225 AF Secondary Water Supply 3,394 AF 1,409 AF TOTAL 12,115 AF 10,130 AF NOTES: 1. 2017 water supply accounting data as reported in 2017 Water Resource Status Report. 2. 2018 water supply accounting data reflects reduction in Safe Annual Yield as determined by the City’s model. 3. Water supply accounting data is in “AF” or acre feet. Packet Page 296 Item 15 The 2018 update to the City’s safe annual yield model analyzed three climate change scenarios, consistent with WWME program A 3.3.2. Program A 3.3.3 The City will monitor ongoing research on the potential for long‐term impacts associated with climate change to water supply resources. The City’s analysis included use of three independent models/scenarios by the U.S. Environmental Protection Agency (EPA), San Luis Obispo Council of Governments (SLOCOG) as part of the 2014 Regional Transportation Plan, and Nature Communications to view the impacts of climate change. The EPA climate assessment tool (Climate Resilience Evaluation and Awareness or “CREAT”) was created by the federal agency monitoring climate change. Changes identified in CREAT were derived from an evaluation of 38 global climate models recognized by the Intergovernmental Panel on Climate Change (IPCC). The SLOCOG model was recommended by City Council as it reflected a summary of work previously performed to examine impacts in the local area and is focused on three IP CC global climate models. The work by Nature Communications was selected as it is a preeminent peer - reviewed scientific publication. Each climate projection was applied to the City’s historical dataset for Whale Rock and Salinas reservoir’s inflow, precipitation, and evaporation. The City’s 2018 model was then used to calculate a revised safe annual yield assuming these conditions had prevailed during the historical period of record. The results of the modeling for the three scenarios are shown in Table 3. Table 3. Safe Annual Yield Under Climate Change Scenarios Range under EPA Climate Change Scenarios Range under SLOCOG Climate Change Scenarios Nature Climate Change Scenario Safe Annual Yield from Whale Rock and Salinas Reservoirs 4,690 to 5,050 4,050 to 5,070 4,950 Scenario Compared to Staff Recommendation -220 to +140 -850 to +160 +40 NOTES: 1. All results are in acre feet per year and use data for the period of record through 2016. 2. Results are the combined City SAY from Salinas and Whale Rock Reservoirs, based on a joint operating strategy. Climate Models Analyzed EPA, CREAT Future precipitation up to 23 percent higher than historical data, or up to 5 percent lower. Future evaporation rates five percent higher than the verified historical data. SLOCOG Future precipitation up to 25 percent higher than historical data, or up to 30 percent lower Future evaporation rates five percent higher than the verified historical data. Nature Precipitation and runoff values would increase 15 percent over their historic values. Future evaporation rates five percent higher than the verified historical data. Packet Page 297 Item 15 It is impossible to know precisely how climate change will impact the precipitation and evaporation patterns on the Central Coast; however, the range of values provided by the models serve as an indication of potential future conditions. Based on the updated modeling and analysis of climate change scenarios, staff is recommending the safe annual yield from Salinas and Whale Rock reservoirs be reduced from 6,940-acre feet to 4,910-acre feet. The recommended reduction total is significant and was chosen as a reasonable assumption of climate change impacts within the data range of two of the models and slightly more conservative than the third. ENVIRONMENTAL REVIEW In compliance with the California Environmental Quality Act (CEQA), staff prepared an Initial Study, Negative Declaration (EID 1455-2018) to analyze the potential environmental impacts of the proposed amendment to the WWME. That analysis is provided within Attachment B. On April 11, 2018 the Planning Commission approved a resolution recommending that the City Council adopt a resolution approving the Negative Declaration (Attachment A). CONCURRENCES The Community Development Department concurs with the proposed staff recommendations. FISCAL IMPACT The proposed amendment to the General Plan, Chapter 8, Water and Wastewater Management Element does not directly create fiscal impacts for the Water or Sewer Fund. Any project or program that would stem from the information contained in the Plan would be brou ght back to the City Council for approval as appropriate. Packet Page 298 Item 15 ALTERNATIVES The City Council could recommend staff utilize another climate change scenario to inform the reduction of safe annual yield. While the three scenarios analyzed were chosen with purpos e, there are many climate change models to choose from. If this were Council direction, staff requests direction as to the specific model or models it believes would better serve the City’s interest, such as: • Use the most conservative assumption (4,050-acre feet, SLOCOG) of safe annual yield, • Use the least conservative assumption (5,070-acre feet, SLOCOG) of safe annual yield, or • Use another figure within the range of the datasets to inform safe annual yield. Attachments: a - Planning Commission Resolution, April 11, 2018 b - Planning Commission Staff Report, April 11, 2018 c - Draft 2018 WWME Update General Plan Chapter 8 with PC language d - Water and Wastewater Management Element Resolution 2018 Packet Page 299 Item 15 Packet Page 300 Item 15 Packet Page 301 Item 15 2108 Meeting Date: April 11, Item Number: 2 PLANNING COMMISSION AGENDA REPORT SUBJECT: Amendment to the General Plan Water and Wastewater Management Element (GPA 1454-2018) and Proposed Negative Declaration of Environmental Effect (EID 1455-2018) PROJECT ADDRESS: Citywide BY: Jennifer Metz, Utilities Project Manager Phone Number: 805-781-7239 e-mail: jmetz@slocity.org FROM: Aaron Floyd, Deputy Director, Water Dave Hix, Deputy Director, Wastewater RECOMMENDATION: Adopt a resolution recommending the City Council adopt a Negative Declaration (EID 1455-2018) and approve an amendment to the City’s Water and Wastewater Management Element of the General Plan (GPA 1454-2018). DISCUSSION Background The City’s guiding policy document for water and wastewater planning is the General Plan, Water and Wastewater Management Element (WWME). The City originally adopted the WWME in 1987 to address water and wastewater services because of the vital role these resources play in the community and the far-reaching impacts of water-related policies on community growth and character. The WWME translates the General Plan’s Land Use Element capacity for development into potential demand for water supply and wastewater service. The proposed revisions to the WWME provides water supply information from the 2018 update to the City’s safe annual yield model. Updates are also provided for background information related to the Sustainable Groundwater Management Act, and the adoption of the Recycled Water Master Plan in 2017. Related to the provision of wastewater service, the amendment updates background information on flow monitoring, inflow and infiltration, the 2016 Wastewater Collection System Infrastructure Renewal Strategy, and Figure 3 which identifies existing capacity constrained areas in the City’s wastewater collection system. Recommended revisions to the WWME are provided in Attachment 1 in legislative draft format. Packet Page 302 Item 15 Update to Safe Annual Yield Model / Reduction in Safe Annual Yield The City uses a multi-source water supply to meet existing water demand and future demand envisioned under the City’s General Plan. These water supplies include water from Salinas, Whale Rock, and Nacimiento reservoirs, recycled water from the City’s Water Resource Recovery Facility, and groundwater. The City’s total water demand for the 2017 water year (October 1, 2016 through September 30, 2017) was 4,975 acre feet with 27 percent of that supply coming from Salinas and Whale Rock reservoirs. The City defines the terminology “safe annual yield” as the amount of water which can be reliably withdrawn annually from coordinated operation of Salinas and Whale Rock reservoirs. The City’s safe annual yield analysis is based on historical rainfall, evaporation, and stream flow data from 1943 through 2017 including drought periods in 1946-51, 1959- 61, 1976-77, and 1986-91. Key assumptions used in the model were that the "controlling drought period" was from 1986-1991. The 2018 update to the safe annual yield model, detailed in Attachment 4, added data from the most recent drought that ended in 2016 consistent with WWME programs. A 3.3.2 The City will update the safe annual yield computer model for Salinas and Whale Rock Reservoirs following severe drought periods to determine if any changes are necessary to the safe annual yield amount. A 3.3.3 The City will monitor ongoing research on the potential for long‐ term impacts associated with climate change to water supply resources. The 2018 update verified historical data, validated and documented calculations used in the model, and reviewed various climate change scenarios. For both Whale Rock and Salinas reservoirs, the analysis found the historical data included higher evaporation rates than data used in the existing model. The difference results in greater evaporation losses, approximately 30 percent higher than shown in the existing model. The update determined that the 2006-2016 drought period was more severe than the 1986-1991 drought used in the 2015 model. Therefore, the 2006-2016 drought period was used as the new controlling condition for the 2018 determination of the City’s safe annual yield. Nacimiento Reservoir 68% Whale Rock Reservoir 23% Recycled Water 5% Salinas Reservoir 4% 2017 Water Supply by Source October 1, 2016-September 30, 2017 Packet Page 303 Item 15 Existing and Updated Safe Annual Yield 2015 Model 2018 Model with Verified Historical Data (through 2006) 2018 Model with Verified Historical Data and Drought Period (2006-2016) Safe Annual Yield from Whale Rock and Salinas Reservoirs 6,940 6,590 4,910* NOTES: 1.All results are in acre feet per year and use data for the period of record through 2016. 2.Results are the combined City safe annual yield from Salinas and Whale Rock Reservoirs, based on a joint operating strategy. * Indicates staff recommendation. As part of the 2018 update to the safe annual yield model, three climate change scenarios were analyzed including climate scenarios by the U.S. Environmental Protection Agency, San Luis Obispo Council of Governments, and Nature Communications. Each climate projection was applied to the historical dataset for Whale Rock and Salinas reservoir’s inflow, precipitation, and evaporation. The City’s 2018 model was then used to calculate a revised safe annual yield assuming these conditions had prevailed during the historical period of record. The results of the modeling for the three scenarios are shown in Table 2. The SLOCOG scenario provides the greatest range from the City’s 2018 model with a safe annual yield of 850 acre feet lower than the staff recommendation to 160 acre feet higher than the staff recommendation. Safe Annual Yield Under Climate Change Scenarios Range under EPA Climate Change Scenarios Range under SLOCOG Climate Change Scenarios Nature Climate Change Scenario Safe Annual Yield from Whale Rock and Salinas Reservoirs 4,690 to 5,050 4,050 to 5,070 4,950 Scenario Compared to Staff Recommendation -220 to +140 -850 to +160 +40 NOTES: 1.All results are in acre feet per year and use data for the period of record through 2016. 2.Results are the combined City SAY from Salinas and Whale Rock Reservoirs, based on a joint operating strategy. It is impossible to know precisely how climate change will impact the precipitation and evaporation patterns on the Central Coast; however, the range of values provided by the models serve as an indication of potential future conditions. Based on the updated modeling and analysis of climate change scenarios, staff is recommending the safe annual yield from Salinas and Whale Rock reservoirs be reduced from 6,940 acre feet to 4,910 acre feet. Staff chose this figure as it was within the data range of two of the models and slightly more conservative than the third. The proposed amendment to the WWME updated water supply information reflects the reduction from the 2018 model. Packet Page 304 Item 15 The City declared Climate Action a top priority during its 2017-19 Financial Plan. Although it is not clear exactly how the City and its watersheds will be affected, climate change will impact future water supplies. To ensure water supply resiliency under worse- case scenarios, the City has developed a multi-source water supply, makes conservative water demand projections, and continues to pursue increased water use efficiency, increased water recycling, and groundwater recharge. Formula for Water Resiliency Table 3, City Water Resource Availability, reflects the staff recommendation for the reduction in safe annual yield from Whale Rock and Salinas reservoirs. With the reduction of 2,030 acre feet from safe annual yield identified in the update of the model in 2018, the additional 2,102 acre feet from the full allocation of Nacimiento Reservoir will be utilized to meet the City’s water demands over time, as buildout of the General Plan is realized, consistent with the City’s Water Supply Accounting & Demand Projection policies. City Water Resource Availability Water Resource 2018 Annual Availability Salinas and Whale Rock Reservoirs 4,910 AF Safe Annual Yield Nacimiento Reservoir 5,482 AF Contractual Limit Recycled Water 238 AF 2017 Annual Usage Siltation to 2060 (500 AF) Policy A 4.2.2 TOTAL 10,130 AF NOTE: The quantity of recycled water included as part of the City’s available water resources identified above, is the actual prior year’s recycled water usage (2017), per Policy A 7.2.2. Source: City of San Luis Obispo Utilities Department, 2018. Multi- Source Water Supply Conservative Water Demand Projections Water Use Efficiency Water Recycling Future Ground Water Recharge Water Resiliency Packet Page 305 Item 15 With the reduction in safe annual yield, the City continues to have an adequate water supply to meet the projected water demand of 57,200 residents. As shown in Table 4, future primary water supply demand is estimated to reach 7,496 acre feet per year (AFY) using a water demand rate of 117 gallons per person per day (gpcd). In addition to the City having adequate water supplies to meet primary water supply needs, the City has a reliability reserve that equals 20 percent of current water supply needs (1,225 AFY for 2017). Remaining water supplies, 1,409 AFY, make up the City’s secondary water supply. Other Proposed Updates Other modifications to the WWME are proposed to provide updated background information on: • Groundwater related to the Sustainable Groundwater Management Act, • Adoption of the Recycled Water Master Plan, • Flow monitoring, infrastructure renewal, and capacity constraints in the wastewater collection system, and • Wastewater flows to the City’s Water Resource Recovery Facility. Tribal Consultation On February 12, 2018, local Native American tribal groups that have a cultural and traditional affiliation with the City were formally noticed that an Initial Study of Environmental Review was being completed for the update to the City’s Water and Wastewater Management Element. On March 13, 2018, staff met with a representative of the Northern Chumash Tribal Council to discuss the proposed General Plan amendment. No concerns were identified. ENVIRONMENTAL REVIEW In compliance with the California Environmental Quality Act (CEQA), staff prepared an Initial Study, Negative Declaration (EID 1455-2018) to analyze the potential environmental impacts of the proposed amendment to the WWME. That analysis is provided here as Attachment 2. Staff is recommending that the Planning Commission adopt a resolution recommending the City Council adopt the Negative Declaration. Table 4: Water Supply Accounting Primary Water Supply = 117 gpcd x City Build-out Population = 117 gpcd x 57,200 x 365 day/year x Acre-Ft/325,851 gallons 7,496 Acre-Ft/year Reliability Reserve = 117 gpcd x City Population x 20% = 117 gpcd x 46,724 x 365 day/year x Acre-Ft/325,851 gallons x 20% 1,225 Acre-Ft/year Secondary Water Supply = Current Annual Availability – Primary Water Supply – Reliability Reserve = 10,130Acre-Ft/year – 7,496 Acre- Ft/year – 1,225 Acre-Ft/year 1,409 Acre-Ft/year NOTE: One acre foot of water is equal to 325,851 gallons of water. Packet Page 306 Item 15 ALTERNATIVES The Planning Commission could recommend City Council to utilize another climate change scenario to inform the reduction of safe annual yield. ATTACHMENTS 1. General Plan, Chapter 8, Water and Wastewater Management Element, in legislative draft format. 2. Initial Study, Negative Declaration (EID 1455-2018) 3. Resolution Recommending the City Council Adopt Amendments to the Water and Wastewater Management Element of the General Plan (GPA 1454-2018) 4. Technical Memorandum, Salinas and Whale Rock Reservoirs Safe Annual Yield, Water Systems Consulting, January 2018. Packet Page 307 Item 15 WATER AND WASTEWATER Adopted: February 24, 1987 Last Revised: June 15, 2016 (Council Resolution No. 10725, 2016) Draft, March 2018 Packet Page 308 Item 15 Chapter 8 Page 8‐2 Please see the next page. Packet Page 309 Item 15 Water and Wastewater Element Page 8‐3 CHAPTER 8 WATER AND WASTEWATER TABLE OF CONTENTS INTRODUCTION ........................................................................................................................................................... 8-5 A. WATER MANAGEMENT ...................................................................................................................................... 8-6 INTRODUCTION ................................................................................................................................................... 8-6 A 1.0 Background ............................................................................................................................................. 8-6 A 1.1 Purpose ................................................................................................................................................... 8-6 MULTI-SOURCE WATER SUPPLY ............................................................................................................................. 8-7 A 2.0 Background ............................................................................................................................................. 8-7 A 2.1 Goal ........................................................................................................................................................ 8-9 A 2.2 Policies .................................................................................................................................................. 8-10 A 2.3 Programs .............................................................................................................................................. 8-10 Water Resource Availability ..................................................................................................................................... 8-11 A 3.0 Background ........................................................................................................................................... 8-11 A 3.1 Goal ...................................................................................................................................................... 8-15 A 3.2 Policies .................................................................................................................................................. 8-15 A 3.3 Programs ....................................................................................................................................... 8-168-15 SILTATION .................................................................................................................................................................. 8-17 A 4.0 Background ........................................................................................................................................... 8-17 A 4.1 Goals ..................................................................................................................................................... 8-19 A 4.2 Policies .................................................................................................................................................. 8-19 A 4.3 Programs .............................................................................................................................................. 8-19 WATER SUPPLY ACCOUNTING AND DEMAND PROJECTION ............................................................................ 8-20 A 5.0 Background ........................................................................................................................................... 8-20 A 5.1 Goals ..................................................................................................................................................... 8-21 A 5.2 Policies .................................................................................................................................................. 8-21 A 5.3 Programs .............................................................................................................................................. 8-22 WATER CONSERVATION ......................................................................................................................................... 8-23 A 6.0 Background ........................................................................................................................................... 8-23 A 6.1 Goal ...................................................................................................................................................... 8-23 A 6.2 Policies .................................................................................................................................................. 8-24 A 6.3 Programs .............................................................................................................................................. 8-24 RECYCLED WATER ................................................................................................................................................... 8-25 A 7.0 Background ........................................................................................................................................... 8-25 A 7.1 Goals ..................................................................................................................................................... 8-27 A 7.2 Policies .................................................................................................................................................. 8-27 A 7.3 Programs .............................................................................................................................................. 8-27 B. WASTEWATER MANAGEMENT ....................................................................................................................... 8-28 INTRODUCTION ................................................................................................................................................. 8-28 B 1.0 Background ........................................................................................................................................... 8-28 B 1.1 Purpose ................................................................................................................................................. 8-28 WASTEWATER SERVICE .................................................................................................................................. 8-29 B 2.0 Background ........................................................................................................................................... 8-29 B 2.1 Goal ...................................................................................................................................................... 8-29 B 2.2 Policies .................................................................................................................................................. 8-29 B 2.3 Programs .............................................................................................................................................. 8-30 WASTEWATER TREATMENT ............................................................................................................................ 8-31 B 3.0 Background ........................................................................................................................................... 8-31 B 3.1 Goals ..................................................................................................................................................... 8-31 B 3.2 Policies .................................................................................................................................................. 8-31 B 3.3 Programs .............................................................................................................................................. 8-31 Packet Page 310 Item 15 Chapter 8 Page 8‐4 COLLECTION SYSTEM ...................................................................................................................................... 8-32 B 4.0 Background ........................................................................................................................................... 8-32 B 4.1 Goal ...................................................................................................................................................... 8-34 B 4.2 Policies .................................................................................................................................................. 8-34 B 4.3 Programs .............................................................................................................................................. 8-34 LIST OF FIGURES Figure 1 Multi Source Water Supply .................................................................................................................. 8-8 Figure 2 Recycled Water Water Reuse Master Plan Area and Distribution System ....................................... 8-26 Figure 3 Capacity Constrained Areas 8-30 Figure 34 Inflow and Infiltration Illustrated ......................................................................................................... 8-33 LIST OF TABLES Table 1. City Water Resource Availability ....................................................................................................... 8-11 Table 2. Annual Recycled Water Availability based on Influent Flow ............................................................. 8-15 Table 3. Whale Rock Reservoir Capacity Change .......................................................................................... 8-16 Table 4. Reservoir Storage Capacity ............................................................................................................... 8-17 Table 5. 2010 Water Supply Accounting ......................................................................................................... 8-21 Table 6. Highest Average Daily Flows to the Water Resource Recovery Reclamation Facility, ..................... 8-33 2006 to 20157 Packet Page 311 Item 15 Water and Wastewater Element Page 8‐5 INTRODUCTION The City's General Plan guides the use and protection of various resources to meet community purposes. It reflects consensus and compromise among a wide diversity of citizens' preferences, within a framework set by State law. The General Plan contains elements that address various topics. The City decided to adopt an element addressing water resources and wastewater services because of the vital role of these resources and the far‐reaching impacts of water policies on community growth and character. This element translates the Land Use Element's capacity for development into potential demand for water supply and wastewater services. This element outlines how the City plans to provide adequate water and wastewater services for its citizens, consistent with the goals and policies of other General Plan elements. Before adopting or revising any General Plan element, the Planning Commission and the City Council must hold public hearings. The City publishes notices in the local newspaper and on the City’s website to let citizens know about the hearings at least ten days before they are held. Also, the City prepares environmental documents to help citizens understand the expected consequences of its planning policies before the hearings are held. Anyone may suggest or apply for amendments to General Plan elements. Packet Page 312 Item 15 Chapter 8 Page 8‐6 A. WATER MANAGEMENT INTRODUCTION A 1.0 Background The original Water and Wastewater Management Element was adopted in 1987 around the time the City experienced its most a severe drought period which lasted from 1986 to 1991. During this point in time mandatory water use restrictions were instituted and restrictions on new development were imposed. Following this period, the City pursued additional water supplies to meet the existing water needs of the community, as well as to fulfill the goals of the General Plan. The policies in the Water Management section of the Element were written in a manner to address the water scarcity issues the City was facing. With the addition of the Nacimiento Water Project to the City’s water portfolio, the City has an adequate water supply to serve the community’s existing and future water needs as defined by the General Plan. The 2010 revisions to the Water and Wastewater Management Element reflected the change in the water supply situation. The 2016 revisions to the Water and Wastewater Management Element are proposed to include a larger contractual water supply from Nacimiento Reservoir, to update the daily per capita water use assumption used in water supply accounting, and to reflect information from the Whale Rock Reservoir Bathymetric Survey and Volumetric Study completed in 2013. updated the City’s water resource availability to include the full allocation of the Nacimiento Reservoir increasing the City’s contractual supply from 3,380 acre feet to 5,482 acre feet annually, updated the daily per capita water use assumption used in water supply accounting, and incorporated information from the Whale Rock Reservoir Bathymetric Survey and Volumetric Study completed in 2013. The 2018 revisions to the Water and Wastewater Management Element provide information from the 2018 update to the City’s safe annual yield model. The update verified historical data, validated and documented calculations used in the model, incorporated data from the 2006‐2016 drought, and reviewed various climate change scenarios. The updated data reduced the safe annual yield from Salinas and Whale Rock Reservoirs from 6,940 acre feet to 4,910 acre feet. Updates are also provided to background information related to the Sustainable Groundwater Management Act and the adoption of the Recycled Water Master Plan in 2017. A 1.1 Purpose The Water Management section of the Element includes goals, policies, and programs related to water supply, demand, and other emerging issues. Packet Page 313 Item 15 Water and Wastewater Element Page 8‐7 MULTI-SOURCE WATER SUPPLY A 2.0 Background The City is the sole water purveyor within the city limits. This allows the City to maintain uniformity of water service and distribution standards, and to be consistent in developing and implementing water policy. As the sole water purveyor, the City maintains control over water quality, distribution, and service to users of the system, as well as ensuring consistency with the City's General Plan policies and goals. The Water Element of the General Plan, first adopted in 1987, identified multiple water projects to meet projected short and long‐term water demand. Having several sources of water avoids dependence on any one source that may not be available during a drought or other water supply reduction or emergency. There is usually greater reliability and flexibility if sources are of different types (such as surface water and groundwater) and if the sources of one type are in different locations (such as reservoirs in different watersheds). In November of 1990, the Council affirmed the multi‐source concept. Consistent with the multi‐source concept, the City obtains water from five sources: Salinas Reservoir (Santa Margarita Lake), Whale Rock Reservoir, Nacimiento Reservoir, recycled water from the City’s Water Resource Recovery Facility, and groundwater. See Figure 1. Salinas Reservoir The Salinas Dam was built in 1941 by the War Department to supply water to Camp San Luis Obispo and, secondarily, to meet the water needs of the City of San Luis Obispo. The Salinas Reservoir (Santa Margarita Lake) captures water from a 112‐square mile watershed and can store up to 23,843 acre‐feet. In 1947, the Salinas Dam and delivery system was transferred from the regular Army to the U.S. Army Corps of Engineers. Since the late 40s or early 50s, the San Luis Obispo County Flood Control and Water Conservation District has operated this water supply for the City under a lease from the U.S. Army Corps of Engineers. Water from the reservoir is pumped through the Cuesta Tunnel (a one‐mile long tunnel through the mountains of the Cuesta Ridge) after which it flows by gravity to the City’s Water Treatment Plant on Stenner Creek Road. Whale Rock Reservoir The Whale Rock Reservoir is a 40,662 acre‐foot reservoir created by the construction of an earthen dam on Old Creek near the town of Cayucos. The dam was designed and constructed by the State Department of Water Resources in 1961 to provide water to the City of San Luis Obispo, Cal Poly State University, and the California Men’s Colony. The Whale Rock Dam captures water from a 20.3‐square mile watershed and water is delivered to the three agencies through 17.6 miles of 30‐inch pipeline and two pumping stations. The City of San Luis Obispo owns 55.05 percent of the water storage rights at the reservoir. The remaining water storage rights are divided between the two State agencies with Cal Poly owning 33.71 percent and the California Men’s Colony owning 11.24 percent. Nacimiento Reservoir The Nacimiento Reservoir provides flood protection and is a source of supply for groundwater recharge for the Salinas Valley. It is owned and operated by the Monterey County Water Resources Agency. Since 1959, the San Luis Obispo County Flood Control and Water Conservation District has had an entitlement to 17,500 acre‐feet per year (AFY) of water from the reservoir for use in San Luis Obispo County. Approximately 1,750 AFY have been designated for uses around the lake, leaving 15,750 AFY for allocation to other areas within the County of San Luis Obispo. Packet Page 314 Item 15 Chapter 8 Page 8‐8 Figure 1 Multi Source Water Supply Packet Page 315 Item 15 Water and Wastewater Element Page 8‐9 The County completed began construction in 2007 on of a 45‐mile pipeline project to deliver water from the Nacimiento Reservoir to five participating agencies and cities in 2010. The City has a contractual entitlement to 5,482 AFY of water from the project. Recycled Water Recycled water is highly treated wastewater approved for reuse by the California Department of Public Health for a variety of applications, including landscape irrigation and construction dust control. Completed in 2006, the Water Reuse Project created the first new source of water for the City since 1961 following construction of Whale Rock Dam. The Project resulted in improvements at the City’s Water Resource Recovery Facility and an initial eight miles of distribution pipeline. The City’s first delivery of recycled water took place in 2006. The City estimates demand exists for approximately 1,000 acre feet of recycled water for landscape irrigation and other approved uses. Additional information is provided on recycled water in subsections A 3.0, A 7.0, and B 3.0 of this Element. Groundwater The groundwater basin beneath the City is relatively small and recharges very quickly following normal rainfall periods. The groundwater basin also lowers relatively quickly during periods of below‐average rainfall. The City envisions groundwater playing an important role in ensuring continued resiliency in its water supply portfolio. The Sustainable Groundwater Management Act (SGMA) is a statewide law that empowers local agencies to adopt groundwater management plans that relate to the needs and resources of their communities. In 2017, the City became a Groundwater Sustainability Agency (GSA) over the area of the San Luis Obispo Valley Groundwater Basin that lies beneath and within its jurisdictional boundaries. The San Luis Obispo Valley Groundwater Basin “eligible entities” (City, County, Golden State Water Company, Edna Ranch Mutual Water Company‐East, Varian Ranch Mutual Water Company, and Edna Valley Growers Mutual Water Company) are all working collaboratively to comply with SGMA requirements for the entire groundwater basin. The GSA structure includes a Groundwater Sustainability Commission which is an advisory body to the City Council and the Board of Supervisors. The Commission consists of one member from the City Council, one County Supervisor and a representative of each of the identified water companies. The City, County, and eligible entities are required by SGMA to work together to create Groundwater Sustainability Plans by January 31, 2022. Extensive use of groundwater sustained the City through most of the drought of 1986‐1991. The City’s two largest producing wells were shut down in 1992 and 1993 when elevated nitrate levels were detected. The City stopped utilizing the Pacific Beach well in April 2015. Due to new regulatory requirements, using the groundwater would require additional costly treatment before the water could be used. Additionally, portions of the groundwater basin are contaminated with a chemical solvent (tetrachloroethylene) which would require treatment facilities to remove. While the City does not currently utilize potable water from wells, this remains a viable option for future use. Private wells are in use in the City, such as the well operated by San Luis Coastal Unified School District at San Luis Obispo High School. The City maintains a non‐potable well at the City’s Corporation Yard that is available for non‐ potable purposes by permit. The City’s Laguna Lake Golf Course also has two wells that meet a portion of the irrigation demand for the course. The remainder of the irrigation demand for the golf course is met using recycled water from the City’s Water Resource Recovery Facility. A 2.1 Goal Ensure a long‐term, reliable water supply to meet both current and future water demand associated with development envisioned by the General Plan. Packet Page 316 Item 15 Chapter 8 Page 8‐10 A 2.2 Policies A 2.2.1 Multi‐Source Water Supply The City shall utilize multiple water resources to meet its water supply needs. A 2.2.2 Water Service within the City A. The City will be the only purveyor of water within the City. B. Appropriate use of privately‐owned wells is allowed on individual parcels. The use of the water from a well shall only be utilized on the parcel on which it is situated. A 2.3 Programs A 2.3.1 Work cooperatively on regional water issues and water resource planning (Water Resource Advisory Committee, Whale Rock Commission, Groundwater Sustainability Commission, etc.). A 2.3.2 Participate with the County of San Luis Obispo in the Integrated Regional Water Management Plan process. A 2.3.3 Participate with other appropriate agencies in controlling invasive species which could impact the City’s water supplies (i.e. quagga mussels). A 2.3.4 Work with appropriate agencies to minimize water quality impacts from new development and other activities in the watersheds of the City’s water supplies. A 2.3.5 Continue to work with the County of San Luis Obispo on the operation and maintenance of Salinas Reservoir and Nacimiento Water Project. A 2.3.6 Complete sanitary surveys for the Salinas and Whale Rock Reservoirs every five years. Packet Page 317 Item 15 Water and Wastewater Element Page 8‐11 Water Resource Availability A 3.0 Background As described in Section A 2.0, the City has five water resources to meet current and future City water demand: Salinas Reservoir (Santa Margarita Lake), Whale Rock Reservoir, Nacimiento Reservoir, recycled water from the City’s Water Resource Recovery Facility, and groundwater. In order to ensure water supply reliability, the City must determine the amount of water available from these water resources on an annual basis. The method to determine the available yield from each resource varies based on water right, contractual agreement, or the amount of water actually supplied. For Salinas and Whale Rock Reservoirs the term “safe annual yield” is used to define the annual amount of water available from these two resources. The two reservoirs are operated in a coordinated manner to increase the available water. In contrast, the “dependable yield” from Nacimiento Reservoir is the contractual amount of water to which the City has rights. Since Nacimiento Reservoir is operated as a water supply project for Monterey County, the concept of safe annual yield is not used for the City’s contractual water supply from this source. For recycled water, the annual amount delivered is counted in the water availability calculation. Though groundwater is part of the City’s water portfolio the City does not consider this supply in estimating available water resources to meet community needs at this time. Another issue the City must address is the potential impact of climate change on the City’s water resources. Climate change could have a significant impact on future water availability in the form of droughts or increased siltation in reservoirs as a result of wildland fires which could affect the safe annual yield of the City’s reservoirs. As data becomes available and research on the topic continues, the City will monitor the make adjustments for long‐term impacts to its water supply resources. The following sections provide more detail about each water resource. Table 1 is a summary of the City’s available water resources. City Water Resource Availability Water Resource 2018 Annual Availability Salinas Reservoir (Santa Margarita Lake) and Whale Rock Reservoir 6,940 AF 4,910 AF Safe Annual Yield Nacimiento Reservoir 5,482 AF Contractual Limit Recycled Water 187 238 AF 20157 Annual Usage Siltation to 2060 (500 AF) Policy A 4.2.2 TOTAL 12,109 10,130 AF Note: The quantity of recycled water included as part of the City’s available water resources identified above, is the actual prior year’s recycled water usage (20157), per Policy A 7.2.2. Source: City of San Luis Obispo Utilities Department, 20168. Packet Page 318 Item 15 Chapter 8 Page 8‐12 Salinas and Whale Rock Reservoirs For Salinas and Whale Rock Reservoirs the term “safe annual yield” is used to define the quantity of water which can be withdrawn every year, under critical drought conditions. The safe annual yield available from Salinas and Whale Rock Reservoirs is estimated by simulating the operation of these two water supply sources over a historical period to determine the maximum level of demand that could be met during the most severe drought for which records are available. The two reservoirs are operated in a coordinated manner to maximize the available water from these sources. Salinas Reservoir fills and spills every two to three years due to its larger drainage area and more favorable runoff characteristics, yet has higher evaporation rates. Whale Rock Reservoir fills much less frequently. The combined yield from the two reservoirs can be maximized by utilizing water from Salinas as the City’s primary source, and using Whale Rock as a backup source during periods when Salinas is below minimum pool or unable to meet all of the demand. This approach increases the long‐term water supply from these two sources. Safe annual yield analyses of water supply sources are based on rainfall, evaporation, and stream flow experienced during a historical period. The City’s safe annual yield analysis utilizes data from 1943 through 1991 including drought periods in 1946‐51, 1959‐61, 1976‐77, and 1986‐91. In 1988, the City contracted with the engineering firm of Leedshill‐Herkenhoff, Inc., to prepare a detailed analysis of the City's water supplies and create a computer model to determine safe annual yield, based on coordinated operation of the two reservoirs. The report Coordinated Operations Study for Salinas and Whale Rock Reservoirs was completed in 1989. Key assumptions used in the 1988 model were that the "controlling drought period" was from 1946 to 1951 and that the City only used Whale Rock Reservoir when Salinas was below minimum pool or could not meet the City’s monthly demand. The study also assumed a minimum pool at Salinas and Whale Rock of 400 and 500 acre‐feet respectively. The minimum pool at each lake is the amount of water that must be left in the lake for fishery and habitat resources. The current minimum pool established for each lake is 2,000 acre feet. The study estimated the City’s total safe annual yield from the two reservoirs to be 9,080 acre‐feet per year. This amount was never adopted by Council since the study period was only to 1988 and the City was then in a drought period of unknown length. In 1991, staff updated the computer model to examine the impact of the 1986‐1991 drought on safe annual yield and revise the assumptions on the amount of water used from Whale Rock Reservoir each year to more accurately reflect the way the City actually used that resource. The analysis determined that the 1986‐91 drought was the critical drought of record for the two reservoirs. These revised assumptions resulted in a reduction in the safe annual yield estimate. The City maintains an Excel‐based model that estimates a safe annual yield based on historical climatic conditions and reservoir operations. The model uses the historical record of inflow, evaporation, precipitation, and downstream releases. To determine safe annual yield, the model then calculates the maximum amount that could be withdrawn each year without drawing the reservoir below its minimum pool constraint. Salinas Reservoir and Whale Rock Reservoir are located in different climate regions and have differing characteristics. Whale Rock Reservoir has a larger storage volume than Salinas, but it has a smaller watershed to provide natural recharge. Salinas Reservoir receives more runoff each year, but experiences higher temperatures and higher evaporation rates, and spills more frequently than Whale Rock Reservoir. To maximize the available supply from the two reservoirs, the City has operational strategies that recognize these differences. In general, the strategies involve withdrawing water from Salinas Reservoir when it is available and using Whale Rock Reservoir as‐needed to supplement the supply from Salinas. The City’s safe annual yield model of the two reservoirs was first developed in 1988. At that time, the critical drought period that controlled the safe annual yield was the 1946‐1951 drought. In 1991, the model was updated to incorporate the hydrologic conditions experienced during the 1986‐1991 drought. That drought was the most Packet Page 319 Item 15 Water and Wastewater Element Page 8‐13 severe in the historical record to that point and became the new controlling condition for estimating safe annual yield. The City estimated the combined SAY from the two reservoirs as 6,940 acre‐feet per year (AFY). This estimate included the anticipated loss of storage volume due to siltation through the year 2010. In 2017, the City contracted with Water Systems Consulting, Inc. (WSC) to update the safe annual yield model. The update verified historical data, validated and documented calculations used in the model, incorporated data from the 2006‐2016 drought, and reviewed various climate change scenarios. Based on the 2017 update, tThe City’s safe annual yield, from the coordinated operation of Salinas and Whale Rock Reservoirs is 6,940 4,910 acre feet. This includes reductions due to siltation at both reservoirs to the year 20102017. Future losses due to siltation are addressed in Section 4.0 of this Element. Packet Page 320 Item 15 Chapter 8 Page 8‐14 Nacimiento Reservoir The “dependable yield” from Nacimiento Reservoir is the contractual amount of water that the City has rights to from Nacimiento Reservoir. This amount is 5,482 acre‐feet per year. The San Luis Obispo County Flood Control and Water Conservation District (County) has held an entitlement to 17,500 acre‐feet of water from Nacimiento Lake since 1959. Since that time, a small portion has been dedicated for uses in the immediate areas around the Lake. Several times in the past, the County has evaluated opportunities for utilizing water to meet identified needs throughout the County. In the early 1990’s, the City was facing dire drought conditions and dwindling water supplies and was considering building an emergency water supply project on its own to provide a new water source. The City requested the County allocate 3,000 acre feet to the City on a permanent basis. While the County denied this request, this triggered the initiation of investigations on a county‐wide basis for separate contracts for use of the available water from Nacimiento Reservoir. Engineering studies, environmental impact reports, dependable yield analyses, and preliminary design reports were undertaken in an effort to meet the various water needs within the County. In 2004, the County requested interested agencies to approve the contractual agreements for participation in the Nacimiento Project. The four initial project participants included the cities of San Luis Obispo and Paso Robles, the Atascadero Mutual Water Company, and the Templeton Community Services District. All of these agencies executed participation agreements with San Luis Obispo County for entitlements of water which totaled 9,630 acre feet. Since 2004, the County Service Area 10A, which serves the southern portion of Cayucos, has become a project participant (25 AFY). In addition, 1,750 acre‐feet was reserved for uses around the lake. On June 29, 2004, the City Council authorized participation in the Nacimiento Water Project for the delivery of 3,380 acre‐feet of water. This amount is considered to be the City’s dependable yield from this water source and will be utilized to meet existing and future water demands based on analyses prepared during the Nacimiento Project planning process (“Nacimiento Reservoir Reliability as a Water Source for San Luis Obispo County”, Boyle Engineering Corporation, October 2002). In March 2016, the City Council approved the addition of 2,102 acre feet per year from Nacimiento Reservoir. At that time, the City’s primary water supply and reliability reserve were fully satisfied by other existing water supplies, so the additional 2,102 acre feet was included in to the City’s secondary water supply. Secondary water supplies are used to meet short‐term losses to the City’s water supply due to events such as drought, pipeline maintenance, and repair of infrastructure. With uncertainty of future climatic conditions, regulation and aging infrastructure, the additional supply of Nacimiento water to the City’s portfolio reduces pressure on use of water supplies in the Whale Rock and Salinas reservoirs. It would serve to extend these stored supplies during critical water shortage periods. With the reduction of safe annual yield identified in the update of the model in 2018, the additional 2,102 acre feet from the full allocation of Nacimiento Reservoir will be utilized to meet the City’s water demands over time, as buildout of the General Plan is realized, consistent with the City’s Water Supply Accounting & Demand Projection policies in Section A 5.2. Recycled Water With an average influent flow of just under 3.30 2.74 million gallons per day in 20152017, the City’s Water Resource Recovery Facility produces over 3,000 acre‐feet of disinfected tertiary‐treated effluent per year. A minimum of 1,807 acre‐feet is discharged to San Luis Obispo Creek annually to provide satisfactory habitat and flow volume for fish species (steelhead trout) within the San Luis Obispo Creek environment. The balance makes up the City’s available recycled water resource (See Table 2) which is available for approved uses including: Landscape and golf course irrigation Wetlands, wildlife habitat, stream augmentation Groundwater recharge Packet Page 321 Item 15 Water and Wastewater Element Page 8‐15 Toilet flushing Vehicle washing Surface irrigation of orchards and vineyards Landscape impoundments Industrial cooling processes Food crop irrigation Annual Recycled Water Availability based on Influent Flow Average Influent Flow to WRRF WRF (MGD) Treated Effluent Produced (AFY) Minimum Average Daily Creek Release (MGD)1 Minimum Annual Creek Release (AFY) Average Daily Recycled Water Availability (MGD) Annual Recycled Water Availability (AFY) 1 20157 Average Flow 2.743.30 3,0663,696 1.6129 1,807 1.131.69 1,2591,889 Future Flow at WRRF Design Capacity 5.4 5,966 1.6129 1,807 3.79 4,159 NOTES: 1. 2015 2017 data was derived from WRRF average monthly influent data. Future annual recycled water volume is based on the design capacity of the WRRF of 5.4 mgd in the design phase in 2018 2016. Source: City of San Luis Obispo Utilities Department, 2016. The design phase for the upgrade of the WRRF continues in 2018 is underway in 2016 to accommodate General Plan buildout and maximize recycled water production. The upgrade will enable the City to consider potable reuse in the future. Additional background information on recycled water, as well as applicable goals, policies and programs, is provided in subsection A 7.0 of the Water Section and subsection B 3.0 of the Wastewater Management Section. A 3.1 Goal Manage the City’s water resources to meet the current and future water demand requirements associated with development envisioned by the General Plan. A 3.2 Policies A 3.2.1 Basis for Planning The City will plan for future development through the Land Use Element taking into consideration available water resources from the Salinas, Whale Rock, and Nacimiento Reservoirs and recycled water. A 3.2.2 Coordinated Operation The City will coordinate the operation of the Salinas, Whale Rock, and Nacimiento Reservoirs to maximize available water resources. A 3.2.3 Groundwater The City will continue to use groundwater to enhance the resiliency of the City’s water supply portfolio. for domestic purposes when available. Packet Page 322 Item 15 Chapter 8 Page 8‐16 A 3.3 Programs A 3.3.1 An update on the water resource availability will be presented to the City Council as part of an annual Water Resources Status Report. A 3.3.2 The City will update the safe annual yield computer model for Salinas and Whale Rock Reservoirs following severe drought periods to determine if any changes are necessary to the safe annual yield amount. A 3.3.3 The City will monitor ongoing research on the potential for long‐term impacts associated with climate change to water supply resources. Packet Page 323 Item 15 Water and Wastewater Element Page 8‐17 SILTATION A 4.0 Background Siltation at reservoirs is a natural occurrence that can reduce the storage capacity over long periods. The reduction of available storage reduces the safe annual yield of the reservoirs. Siltation at reservoirs varies depending on factors such as rainfall intensity and watershed management practices. Numerous studies and reports addressing siltation at Salinas Reservoir have been completed. The Whale Rock Reservoir Bathymetric Survey and Volumetric Study was completed in May 2013. During the drought period ending in 1991, water at Salinas Reservoir fell to record low levels. Recognizing the unique opportunity presented by the low water level, the County of San Luis Obispo contracted with a local engineering consultant to provide an aerial survey of the lake and prepare revised storage capacity information. Early studies indicated average annual siltation rates from 23 acre‐feet per year to 34 acre‐feet per year. The study done by the U.S. Geological Survey in 1975 estimated that the siltation rate was approximately 82 acre‐feet per year. The 1990 analysis conducted by the County of San Luis Obispo indicates that the siltation rate is on the order of 40 acre‐feet per year. It should be noted that siltation impacts to the reservoirs are a long‐term impact to the resources and should be considered in the City’s long range plans for adequate water resources. At an annual siltation rate of 40 AFY at each reservoir, it would take approximately 530 years to fill up the Salinas Reservoir and 960 years to fill up Whale Rock Reservoir. Siltation does not occur uniformly over time but the situation should continue to be monitored into the future. The purpose of the 2013 bathymetric survey and volumetric study at Whale Rock Reservoir was to determine the level of siltation that has occurred in the reservoir since the dam’s completion in 1961. The study concluded that sedimentation has reduced reservoir capacity by 4.2 percent in 52 years as shown in Table 3 and 4. Whale Rock Reservoir Capacity Change 1961 Capacity: 40,662 Acre‐Ft @ Spillway ELV 216.0 NGVD29 2013 Capacity: 38,967 Acre‐Ft @ Spillway ELV 218.3 NAVD88 Capacity Loss due to Siltation: 1,695 Acre‐Ft Difference in Years: 52 Years Siltation Rate: 32.6 Acre‐Ft/Year Percentage Capacity Loss: 4.2% Source: Whale Rock Reservoir Bathymetric Survey and Volumetric Study, 2013. Packet Page 324 Item 15 Chapter 8 Page 8‐18 Reservoir Storage Capacity Agency % Entitlement Original Storage Capacity (AF) Revised Storage Capacity (AF) Difference (AF) Revised Total Available Water * (AF) City of San Luis Obispo 55.05 22,384 21,451 933 20,350 Cal Poly 33.71 13,707 13,136 571 12,462 CMC 11.24 4,570 4,380 191 4,155 Total 100 % 40,662 AF 38,967 AF 1,695 AF 36,967 AF Source: Whale Rock Reservoir Bathymetric Survey and Volumetric Study, 2013. *Total Available Water is agency share of reservoir storage capacity minus agency proportional share of minimum pool requirements. The safe annual yield from the two reservoirs will be continually reduced as a result of siltation. The City’s computer model is used to calculate the reduction in safe annual yield from Salinas and Whale Rock reservoirs to‐ date, which is reflected in the safe annual yield amount in Section A 3.0 which accounts for estimated siltation losses to 20107. Since the storage capacity for Salinas Reservoir was last estimated in 1990, the annual loss of 40 acre‐feet per year can be applied from that date. The estimated loss in storage capacity for Salinas Reservoir between 1990 and 2010 is 800 acre‐feet. The loss at Whale Rock Reservoir between 1961 and 2013 was 1,695 acre‐feet. Based on these reduced storage capacities, the computer model was used to estimate the safe annual yield from the combined operation of the two reservoirs. With an estimated loss of 40 acre‐feet per year at each reservoir, the total safe annual yield from the two reservoirs is estimated to be reduced by 10 acre‐feet per year. Packet Page 325 Item 15 Water and Wastewater Element Page 8‐19 A 4.1 Goals A 4.1.1 Accurately account for siltation in the Salinas and Whale Rock Reservoirs. A 4.1.2 Recognize and account for future projected water losses due to siltation at Salinas and Whale Rock Reservoirs. A 4.2 Policies A 4.2.2 Accounting for Future Siltation The City will account for estimated safe annual yield losses at Salinas and Whale Rock Reservoirs through 2060 by deducting 500 acre feet of available water supplies to account for these future losses. The siltation rate will be updated as information becomes available from subsequent siltation analyses. A 4.3 Programs A 4.3.1 Work cooperatively with other agencies and/or watershed management groups, including the County of San Luis Obispo and Resource Conservation Districts, implementing best management practices (BMPs) to reduce erosion and subsequent siltation consistent with other City watershed management goals and water quality objectives included in the Conservation and Open Space Element. A 4.3.2 Continue public education and outreach to property owners in the watersheds above the reservoirs to encourage practices that reduce erosion and other practices that could impact siltation or water quality in the reservoirs. A 4.3.3 Consider periodic siltation studies at each reservoir to evaluate and document the impacts associated with siltation. A 4.3.4 An update on siltation at the City’s reservoirs will be provided to the City Council as part of the annual Water Resources Status Report. Packet Page 326 Item 15 Chapter 8 Page 8‐20 WATER SUPPLY ACCOUNTING AND DEMAND PROJECTION A 5.0 Background The City is located in a Mediterranean climate that is prone to drought. As a result, the City has in the past experienced serious water supply deficits. In 1991, during an extended drought, the community was within 18 months of running out of water in Salinas and Whale Rock Reservoirs. In fact, Salinas Reservoir was below minimum pool and was not available to the City toward the end of this drought period. In 1996, citizens voted to incorporate Section 909 into the City’s Charter identifying a water reliability reserve. In an effort to reduce the impacts of drought on the community, the City Council has enacted numerous water policies to strengthen its water resources portfolio. The City will account for water supplies necessary to meet three specific community needs: 1) primary water supply, 2) reliability reserve, and 3) secondary water supply. 1. Primary water supply is the amount needed to meet the General Plan build‐out of the City. The quantity of water needed for the City’s primary water supply needs is calculated using a ten‐year average of actual per‐capita water use and the City’s build‐out population. 2. Reliability reserve provides a buffer for future unforeseen or unpredictable long‐term impacts to the City’s available water resources such as loss of yield from an existing water supply source and impacts due to climate change. 3. Secondary water supply is the amount needed to meet peak water demand periods or short‐term loss of City water supply sources. The City’s secondary water supply is identified as any water supply resources above those needed to meet the primary water supply and reliability reserve. In order to support growth projections and other goals of the General Plan, the City must project how much water will be needed to serve residents, businesses, and other users. This can be done by using different methods, all of which involve assumptions about future usage rates and the numbers and types of users expected in the future. There will always be some uncertainty in estimating development capacity (such as the number of dwellings or residents) as well as the usage per customer type (such as acre‐feet per dwelling or per resident). The estimating method must use reasonable assumptions, based on experience, to assure an adequate level of water supply while not overstating demands. To project the City’s primary water supply and reliability reserve into the future the City will use 117 gpcd which is the maximum allowed per capita water use under Senate Bill X7‐7. This water use rate is used with the City’s build‐out population and current population to project the primary water supply and reliability reserve. The City’s remaining water resources make up secondary water supply. Packet Page 327 Item 15 Water and Wastewater Element Page 8‐21 Water Supply Accounting Proposed Water Supply Accounting and Demand Projections (City Buildout Population * 117 gpcd * 365 days) / 325,851 gallons = Primary Water Supply + 20% of Current City Population * 117 gpcd * 365 days) / 325,851 gallons = Reliability Reserve + All Remaining Supplies Secondary Water Supply = Annual Availability Notes: 1. The “Total” water supply is identified in Table 1. It includes safe annual yield from Salinas and Whale Rock Reservoirs, contractual limit from Nacimiento Reservoir, annual recycled water usage for 20157, and deducts siltation losses at Salinas and Whale Rock Reservoirs to 2060. 2. Primary Water Supply is calculated using the City’s buildout population and the water use rate of 117 gallons per capita per day per policy A 5.2.2. 3. Reliability Reserve was calculated using the City’s population and 20 percent of the water use rate of 117 gallons per capita per day, per policy A 5.2.3. 4. Secondary Water Supply includes the remaining water resources, identified in Table 1, per policy A 5.2.4. Source: City of San Luis Obispo Utilities Department, 20168. A 5.1 Goals A 5.1.1 Identify and meet the City’s multi‐ source water supply needs. A 5.1.2 Accurately forecast future water demand for planning purposes. A 5.2 Policies A 5.2.1 Water Use Rate The City will utilize the per capita water use rate allowed by Senate Bill X7‐7 for projecting future potable water demand established as 117 gallons per capita per day. A 5.2.2 Primary Water Supply The City shall establish the amount of water needed for General Plan build‐out using the water use rate established in Policy A 5.2.1 multiplied by the projected General Plan build‐out population identified in the Land Use Element. A 5.2.3 Reliability Reserve The City will establish a reliability reserve that is 20‐percent of the water use rate established in Policy A 5.2.1 multiplied by the current population. The water supply designated as the reliability reserve may not be used to serve future development. A 5.2.4 Secondary Water Supply After accounting for primary water supply and a reliability reserve, any remaining water supplies shall be utilized for meeting short‐term water supply shortages or peak water demands. Packet Page 328 Item 15 Chapter 8 Page 8‐22 A 5.2.5 Paying for Water for New Development New development shall pay its proportionate or “fair share” for water supplies, expanded treatment and distribution system capacity and upgrades. A 5.3 Programs A 5.3.1 An update on water supply accounting and demand projections will be presented to the City Council as part of the annual Water Resources Status Report. A 5.3.2 The City will conduct periodic updates to water development impact fees. A 5.3.3 Prepare and update the Urban Water Management Plan every five years as required by the State. A 5.3.4 Analyze and prepare water supply assessments for large new developments in accordance with State law. A 5.3.5 Analyze the impacts of water efficiency programs and services to reduce overall water demand within the City. Packet Page 329 Item 15 Water and Wastewater Element Page 8‐23 WATER CONSERVATION A 6.0 Background Water conservation was first referenced as a part of the City's water management policy in 1973. In 1985, the City adopted the Annual Water Operational Plan policy establishing water conservation as a means of extending water supplies during projected water shortages. Since 1985, many technological and philosophical changes have occurred which are proving water conservation to be both a short‐term corrective measure for immediate water supply shortages and a long‐term solution to water supply reliability. Because of the experience during the drought of 1986 to 1991, the City developed a Water Shortage Contingency Plan (Plan) to deal with immediate, short‐term water shortages. The Plan is designed to require mandatory actions when there is a projected five year supply of water remaining from available water resources. The Plan uses water allocations based on customer classification as a means to decrease water use during critical water shortages. For instance, residential customers are given a water allocation based on the average water use for multi‐ or single‐family households having three occupants. If there are more residents, additional water may be allocated with sufficient proof. Commercial customers are allocated water either by a reduction based on their historical water use or by the average water use by business type. The Plan is also a required component of the City’s Urban Water Management Plan which is updated every five years per State Water Code. The Water Conservation Act of 2009, Senate Bill X7‐7 (SB X7‐7), was incorporated into the California Water Code in 2009. The legislation directs urban water suppliers to adopt one of four methods to determine their urban water use target. The method selected by the City corresponds to the Central Coast hydrologic region. The Central Coast region’s 2020 target of 117 gallons per capita per day is the lowest in the state. In terms of water supply reliability, the City was one of the original signatories to the Memorandum of Understanding Regarding Urban Water Conservation (MOU) and has actively pursued the implementation of the water efficiency best management practices (BMPs) prescribed in the MOU. The MOU was a negotiated agreement between water purveyors statewide and environmental organizations on how best to utilize the State’s water resources by incorporating conservation into their water management practices. The BMPs have been developed over the years by water purveyors, environmental groups, and industry stakeholders. They represent the best available water conservation practices based on research and experience and include: Water conservation pricing and rate structures Technical assistance for water customers Incentives for indoor and outdoor water saving technologies Public information and outreach Water audits Additionally, the City has adopted the Ahwahnee Principles as part of the General Plan’s Conservation and Open Space Element (COSE). The water conservation components of the principles align with both the indoor and outdoor water conservation BMPs. In the future, the The City will reevaluate and continues to update its water conservation efforts in response to changing water demand, supplies, technology, and economic conditions. A 6.1 Goal The efficient use of the City’s water resources to protect both short‐ and long‐term water supply reliability. Packet Page 330 Item 15 Chapter 8 Page 8‐24 A 6.2 Policies A 6.2.1 Long‐term Water Efficiency The City will implement water‐efficiency programs which are consistent with accepted best management practices and comply with any State‐mandated water use reductions. A 6.2.2 Short‐term Water Shortages Mandatory water conservation measures as described in the City’s Water Shortage Contingency Plan may be implemented when the City's water supplies are projected to last five years or less. A 6.3 Programs A 6.3.1 Work cooperatively with other San Luis Obispo County water agencies to identify cooperative water efficiency measures that can be implemented in each jurisdiction. A 6.3.2 Participate in State and regional water conservation efforts and research and development opportunities. A 6.3.3 Implement the Water Shortage Contingency Plan as required. Packet Page 331 Item 15 Water and Wastewater Element Page 8‐25 RECYCLED WATER A 7.0 Background Water recycling was envisioned as part of the City’s overall water supply strategy since the 1980’s. In 1994, the City completed a major capital improvement project at the Water Resource Recovery Facility that included addition of tertiary treatment and other unit processes required to meet stringent effluent quality limits intended to protect and enhance the receiving waters of San Luis Obispo Creek. While a municipal water reuse program was envisioned at the time of this upgrade, the City did not receive regulatory approvals for diversion of treated effluent for off‐site landscape irrigation and other approved uses until 2002. The City’s 2004 Water Reuse Master Plan identifies the areas of the City to be served with recycled water (See Figure 3, Water Reuse Master Plan Area and Distribution System), as well as potential customers and anticipated future recycled water demand. Recycled water deliveries began in October 2006. Additional sites continue to be connected to the recycled water distribution system through retrofits of existing irrigation systems as well as the irrigation systems associated with new development in the area. In the future, recycled water will be delivered to development in the Airport, Margarita, and Orcutt specific plan areas and is being considered with development proposals for the Avila Ranch, San Luis Ranch, and Madonna on LOVR specific plans. Recycled water will be used for the irrigation of parks, streetscape, and median landscaping, common area (homeowners association) landscaping, and landscaping in commercial centers, industrial areas, and business parks. The City’s 2017 Recycled Water Master Plan identifies the areas of the City to be served with recycled water (See Figure 2, Recycled Water Master Plan Area and Distribution System), as well as potential customers and anticipated future recycled water demand. Packet Page 332 Item 15 Chapter 8 Page 8‐26 Figure 2 Recycled Water Water Reuse Master Plan Area and Distribution System Packet Page 333 Item 15 Water and Wastewater Element Page 8‐27 A 7.1 Goals A 7.1.1 Maximize recycled water use for all approved purposes. A 7.2 Policies A 7.2.1 Recycled Water Supply The City will make available recycled water to substitute for existing potable water uses as allowed by law and to supply new non‐potable uses. A 7.2.2 Accounting for Recycled Water The City will add total recycled water usage from the prior year to the City’s water resource availability on an annual basis. A 7.3 Programs A 7.3.1 Expand the recycled water distribution system to serve customers in the Recycled WaterWater Reuse Master Plan area. A 7.3.2 Review development proposals for projects within the Recycled WaterWater Reuse Master Plan area to ensure recycled water is utilized for appropriate uses. A 7.3.3 Annual recycled water usage will be presented to the City Council as part of the annual Water Resources Status Report and will be added to the City’s water resource availability per policy A 3.2.1. A 7.3.4 Consider the potential to deliver available recycled water supplies to customers outside the city limits, including analysis of policy issues, technical concerns, and cost recovery, provided it is found to be consistent with the General Plan. A 7.3.5 Continue to explore potable reuse consistent with statewide regulations. Packet Page 334 Item 15 Chapter 8 Page 8‐28 B. WASTEWATER MANAGEMENT INTRODUCTION B 1.0 Background The Wastewater Management section was first incorporated into the Water and Wastewater Management Element of the General Plan in 1987. The City owns and operates, under regulatory permits, a wastewater collection system and a water resource recovery facility that produces recycled water. In order to adequately maintain the systems, meet the needs of the community, and meet increasingly stringent regulations the City implements infrastructure replacement and upgrade projects at the Water Resource Recovery Facility and throughout the wastewater collection system. It also has a pretreatment program. The 20168 revisions include updated data related to the City’s wastewater flows. B 1.1 Purpose This section of the Water and Wastewater Management Element establishes goals, policies, and programs to ensure provision of adequate sanitary sewer infrastructure and wastewater treatment capacity to accommodate existing and future development in order to protect public health, human safety, and the environment. Packet Page 335 Item 15 Water and Wastewater Element 92-8 egaP WASTEWATER SERVICE B 2.0 Background The City is the sole provider of wastewater service within the City. The service provides collection and treatment for residential, commercial, and industrial users on properties within the city limits. In 20180, the number of service connections is estimated to be 12,000 14,400. Through agreement, the City also provides service to the San Luis Obispo campus of California Polytechnic State University (Cal Poly) and the County of San Luis Obispo Airport. The collection system is primarily a gravity flow system. Where gravity flow is not feasible due to the topography, wastewater lift stations and pressurized force mains are used to move wastewater to the City’s Water Resource Recovery Facility on Prado Road. Sewer pipelines measure from six inches to 48 inches in diameter. The City completed a two-year Flow Monitoring and Inflow/Infiltration Study in 2012. Using data from this Study, pipeline condition data from its asset management database, and growth assumption from the General Plan’s Land Use (2014) and Housing (2015) elements, the City completed hydraulic modeling and its Wastewater Collection System Infrastructure Renewal Strategy in 2016. The Renewal Strategy identified a prioritized list of capital projects to address the City’s aging infrastructure. The Renewal Strategy also identified capacity constrained areas during wet weather events due to inflow and infiltration, shown in Figure 3. Inflow and infiltration is discussed further in section B.4.0. The Water Resource Recovery Facility is designed for an average dry-weather flow of 5.1 million gallons per day (mgd). Instantaneous peak flows exceeding 20 mgd are not uncommon during storm events due to infiltration and inflow into the wastewater collection system, discussed further in subsection B 4.0. As the City grows to its build-out population outlined in the Land Use Element, the average dry-weather flow of wastewater is expected to reach 5.4 mgd. In 20186, designmaster planning for the expansion of the Water Resource Recovery Facility to accommodate General Plan buildout is underway. When the WRRF is expanded in the future it will have a treatment capacity of 5.4 mgd. B 2.1 Goal Adequate wastewater collection and treatment service to meet the long-term needs of the City. B 2.2 Policies B 2.2.1 Service Outside the City Limits To receive City wastewater service, property must be annexed to the City. The City Council may authorize exceptions to this policy provid ed it is found to be consistent with the General Plan. B 2.2.2 Service Capacity The City's wastewater collection system and Water Resource Recovery Facility shall support population and related service demands consistent with the General Plan. B 2.2.3 Wastewater Service for New Development New development shall pay its proportionate or “fair share” of expanded treatment and collection system capacity and upgrades. New development will only be permitted if adequate capacity is available within the wastewater collection system and/or Water Resource Recovery Facility. B 2.2.4 City as Exclusive Provider The City will be the only provider of public wastewater treatment within the City (but on-site pretreatment of wastewater to meet City Standards may be required). Packet Page 336 Item 15 Chapter 8 Page 8‐30 Figure 3 Capacity Constrained Areas B 2.3 Programs B 2.3.1 Expand capacity in the City’s collection system and Water Resource Recovery Facility in support of projected wastewater flows. B 2.3.2 Evaluate the potential for the wastewater flows of a proposed project to exceed the capacity of collection and treatment systems. B 2.3.3 The City will conduct periodic updates to its wastewater development impact fees. Packet Page 337 Item 15 Water and Wastewater Element Page 8‐31 WASTEWATER TREATMENT B 3.0 Background The Water Resource Recovery Facility processes wastewater in accordance with standards set by the State's Regional Water Quality Control Board (RWQCB). The RWQCB issues a permit to the City under the National Pollutant Discharge Elimination System (NPDES), setting standards for the discharge of treated wastewater. The standards are to protect beneficial uses of the receiving water (San Luis Obispo Creek) including recreation, agricultural supply, and fish and wildlife habitat. The Water Resource Recovery Facility removes solids, reduces the amount of nutrients, and eliminates bacteria in the treated wastewater which is then discharged into San Luis Obispo Creek. Solids are separated and treated, to create biosolids. Biosolids are beneficially reused as compost, and/or soil amendment. As described in Section A 7.0, the Water Resource Recovery Facility has been producing tertiary treated recycled water for delivery to water customers in the City since 2006. The design phase for the upgrade of the Water Resource Recovery Facility is underway in 2016 with completion of construction anticipated in 20202. The upgrade will enable the City to consider potable reuse, part of a One Water concept, in the future. B 3.1 Goals B 3.1.1 Wastewater treatment that meets or exceeds regulatory requirements and ensures the protection of public health and the environment. B 3.1.2 Maximize recycled water production. B 3.2 Policies B 3.2.1 Treating Wastewater The City will treat all wastewater in compliance with approved discharge permits. B 3.2.2 Recycled Water Production The City will produce high‐quality, dependable recycled water, suitable for a wide range of uses. B 3.2.3 Beneficial Use The City will pursue treatment and disposal methods which provide for further beneficial use of wastewater and biosolids. B 3.3 Programs B 3.3.1 Prepare and implement Water Resource Recovery Facility master plan consistent with regulatory requirements. B 3.3.2 Work cooperatively on regional water quality issues. Packet Page 338 Item 15 Chapter 8 Page 8‐32 COLLECTION SYSTEM B 4.0 Background The first sanitary sewers were built in San Luis Obispo in the late 1800s. Today portions of the collection system are over 100 years old. It includes nine lift stations, approximately 135 miles of gravity sewer line and three miles of force main. Approximately 2,900 manholes provide access to the collection system. The sewer lines are made of a variety of materials, including terra cotta salt‐glazed pipe, vitrified clay pipe (VCP), polyvinyl chloride (PVC), and asbestos concrete. The City’s wastewater collection system requires maintenance to ensure uninterrupted flows and minimize sanitary sewer overflows. Area and preventive maintenance programs are regularly evaluated to ensure their effectiveness. The City also utilizes video inspection to prioritize problem areas for replacement, maintenance, assess overall mainline conditions, conduct inflow and infiltration evaluations, and assess new construction. The City issues discharge permits to and conducts inspections of facilities that have the potential to discharge pollutants in concentrations that could pose a threat to worker safety, the wastewater collection system, and/or the Water Resource Recovery Facility. Through its Pretreatment Program, the City also implements programs to target constituents of special concern. Like most cities in California, San Luis Obispo has separate sewer and storm drain systems. This means each system of pipes in the ground is designed to accommodate either sewer or stormwater flows. One set of pipes takes sanitary waste to the Water Resource Recovery Facility while a second set carries stormwater runoff from street drains directly into bioswales, detention basins, or creeks. The City’s wastewater collection system and the Water Resource Recovery Facility WRF have long experienced problems associated with wet weather infiltration and inflow (I & I). Inflow is water that enters the collection system at points of direct connection (non‐soil) such as around manhole covers or through illegal connection of roof drains, downspouts, or landscape drains. Infiltration is water that flows through the ground into the collection system usually through cracks in public sewer mains and/or private sewer laterals (See Figure 5). I & I overloads the collection system during heavy rains and can result in sanitary sewer overflows. During periods of significant rain events, the Water Resource Recovery Facility can become hydraulically overwhelmed (as mentioned previously, instantaneous peak flows exceeding 20 mgd are not uncommon during storm events) increasing the chance of effluent violations and the release of partially treated wastewater to San Luis Obispo Creek. Table 6 includes data on the highest average daily flows experienced at the Water Resource Recovery Facility during rain events over a nine‐year period. Packet Page 339 Item 15 Water and Wastewater Element Page 8‐33 Highest Average Daily Flows to the Water Resource Recovery Reclamation Facility, 2006 to 20157 Average Daily Flows 1 Year 19.75 mgd 2006 (April) 7.24 mgd 2007(December) 9.83 mgd 2008 (January) 11.67 mgd 2009 (October) 13.51 mgd 2010 (December) 13.23 mgd 2011 (March 7.10 mgd 2012 (January) 5.17 mgd 2013 (January) 5.12 mgd 2014 (March) 5.24 mgd 2015 (February) 5.63 mgd 2016 (March) 9.00 mgd 2017 (February) Note: 1. Instantaneous peak flows are higher. 2. August dry weather flow to the Water Resource Recovery Facility was 1.91 mgd in 2016 and 2.80 mgd in 2017. WRF from 2001 to 2009 ranged from 3.44 mgd to 4.23 mgd. Source: City of San Luis Obispo Utilities Department, 20108. Figure 34 Inflow and Infiltration Illustrated Packet Page 340 Item 15 Chapter 8 Page 8‐34 B 4.1 Goal Collect and convey all wastewater under safe and sanitary conditions to the Water Resource Recovery Facility. B 4.2 Policies B 4.2.1 Collection System Maintenance The City will manage the collection system to ensure that the proper level of maintenance is provided and that the flow in sanitary sewers does not exceed design capacity. B 4.2.2 Infiltration and Inflow The City will minimize stormwater and groundwater infiltration and inflow into the sewer system. B 4.3 Programs B 4.3.1 Investigate and carry out cost‐effective methods for reducing infiltration and inflow into the wastewater collection system. B 4.3.2 Develop education and outreach materials to increase public awareness of problems associated with excessive infiltration and inflow (I & I) into the wastewater collection system and the City’s efforts to reduce I & I. B 4.3.3 Support the retrofit of commercial and residential sewer laterals to reduce infiltration and inflow into the wastewater collection system. B 4.3.4 Update the Sewer System Management Plan to maintain its applicability. B 4.3.5 Maintain, and revise as necessary, master plans for the extension of wastewater services to developing areas of the City and to ensure orderly replacement of aged infrastructure. B 4.3.6 Review development proposals to ensure new development does not adversely impact existing infrastructure and that necessary infrastructure will be in place to support the development. B 4.3.7 Provide a Pretreatment Program pursuant to the Clean Water Act to ensure that all discharge requirements are met. Packet Page 341 Item 15 INITIAL STUDY ENVIRONMENTAL CHECKLIST FORM For GPA 1454-2018 / EID 1455-2018 1. Project Title: 2018 Amendment to General Plan, Chapter 8, Water and Wastewater Management Element 2. Lead Agency Name and Address: City of San Luis Obispo Utilities Department 879 Morro Street San Luis Obispo, CA 93401 3. Contact Person and Phone Number: Jennifer Metz, (805) 781-7239 4. Project Location: Citywide, City of San Luis Obispo 5. Project Sponsor’s Name and Address: City of San Luis Obispo, Utilities Department 879 Morro Street San Luis Obispo, CA 93401 6. General Plan Designations: N/A 7. Zoning: N/A 8. Description of the Project: In 1987, the City adopted the General Plan Water and Wastewater Management Element (WWME) to address water resources and wastewater services because of the vital role of these resources and the far-reaching impacts of water policies on community growth and character. The City’s WWME translates the Land Use Element's capacity for development into potential demand for water supply and wastewater services. The WWME outlines how the City plans to provide adequate water and wastewater services for its citizens, consistent with the goals and policies of other General Plan elements. In 2014, the City updated the General Plan’s Land Use and Circulation Element which identified a potential Urban Reserve area population of 57,200. In 2017, the City’s total water use was 4,975 acre feet, or 95 gallons of water per capita per day (gpcd) for a population of 46,724. The project reviewed here is the 2018 amendment to the WWME (Exhibit 1). The amendments in the Water Management section are proposed to update water supply information following the update of the City’s safe annual yield model reducing safe annual yield from Whale Rock and Packet Page 342 Item 15 Salinas Reservoirs from 6,940 acre feet annually to 4,910 acre feet annually. Updates to the safe annual yield model are undertaken consistent with General Plan, Water and Wastewater Management Element, Program A 3.3.2. Incorporating the reduction in safe annual yield and recycled water use for 2017, the City’s total available water supply is 10,130 acre feet per year in 2018. Water Resource 2018 Annual Water Availability Salinas Reservoir (Santa Margarita Lake) and Whale Rock Reservoir 4,910 AF Safe Annual Yield Nacimiento Reservoir 5,482 AF Contractual Limit Recycled Water 238 AF 2017 Annual Usage Siltation to 2060 (500 AF) Policy A 4.2.2 TOTAL 10,130 AF Note: The quantity of recycled water included as part of the City’s available water resources identified above, is the actual prior year’s recycled water usage (2017), per Policy A 7.2.2. With the reduction in safe annual yield, the City continues to have an adequate water supply to meet projected water demand of 57,200 residents at 117 gpcd, a 20 percent reliability reserve, and over 1,000 acre feet as a secondary water supply. Updates in the Wastewater Management section of the WWME are proposed to update background information to reflect current conditions within the City’s wastewater collection system and Water Resource Recovery Facility. 9. Project Entitlements: General Plan Amendment 10. Surrounding Land Uses and Settings: N/A 11. Have California Native American tribes traditionally and culturally affiliated with the project area requested consultation pursuant to Public Resources Code Section 21080.3.1? If so, has consultation begun? Letters for a request for consultation were sent out February 12, 2018. 12. Other public agencies whose approval is required: None. Packet Page 343 Item 15 ENVIRONMENTAL FACTORS POTENTIALLY AFFECTED: The environmental factors checked below would be potentially affected by this project, involving at least one impact that is a “Potentially Significant Impact” as indicated by the checklist on the following pages. Aesthetics Greenhouse Gas Emissions Population / Housing Agriculture Resources Hazards & Hazardous Materials Public Services Air Quality Hydrology / Water Quality Recreation Biological Resources Land Use / Planning Transportation / Traffic Cultural Resources Mineral Resources Tribal Cultural Resources Geology / Soils Noise Utilities / Service Systems Mandatory Findings of Significance FISH AND WILDLIFE FEES X The Department of Fish and Wildlife has reviewed the CEQA document and written no effect determination request and has determined that the project will not have a potential effect on fish, wildlife, or habitat (see attached determination). The project has potential to impact fish and wildlife resources and shall be subject to the payment of Fish and Game fees pursuant to Section 711.4 of the California Fish and Game Code. This initial study has been circulated to the California Department of Fish and Wildlife for review and comment. STATE CLEARINGHOUSE This environmental document must be submitted to the State Clearinghouse for review by one or more State agencies (e.g. Cal Trans, California Department of Fish and Wildlife, Department of Housing and Community Development). The public review period shall not be less than 30 days (CEQA Guidelines 15073(a)). Packet Page 344 Item 15 Packet Page 345 Item 15 EVALUATION OF ENVIRONMENTAL IMPACTS: 1. A brief explanation is required for all answers except “No Impact” answers that are adequately supported by the information sources a lead agency cites in the parentheses following each question. A “No Impact” answer is adequately supported if the referenced information sources show that the impact simply does not apply to projects like the one involved (e.g. the project falls outside a fault rupture zone). A “No Impact” answer should be explained where it is based on project-specific factors as well as general standards (e.g. the project will not expose sensitive receptors to pollutants, based on a project-specific screening analysis). 2. All answers must take account of the whole action involved, including off-site as well as on-site, cumulative as well as project-level, indirect as well as direct, and construction as well as operational impacts. 3. Once the lead agency has determined that a particular physical impact may occur, then the checklist answers must indicate whether the impact is potentially significant, less than significant with mitigation, or less than significant. "Potentially Significant Impact' is appropriate if there is substantial evidence that an effect may be significant. If there are one or more "Potentially Significant Impact" entries when the determination is made, an EIR is required. 4. “Negative Declaration: Less Than Significant with Mitigation Incorporated” applies where the incorporation of mitigation measures has reduced an effect from "Potentially Significant Impact" to a "Less than Significant Impact." The lead agency must describe the mitigation measures, and briefly explain how they reduce the effect to a less than significant level (mitigation measures from Section 19, "Earlier Analysis," as described in (5) below, may be cross- referenced). 5. Earlier analysis may be used where, pursuant to the tiering, program EIR, or other CEQA process, an effect has been adequately analyzed in an earlier EIR or negative declaration (Section 15063 (c) (3) (D)). In this case, a brief discussion should identify the following: a) Earlier Analysis Used. Identify and state where they are available for review. b) Impacts Adequately Addressed. Identify which effects from the above checklist were within the scope of and adequately analyzed in an earlier document pursuant to applicable legal standards, and state whether such effects were addressed by mitigation measures based on the earlier analysis. c) Mitigation Measures. For effects that are “Less than Significant with Mitigation Measures Incorporated,” describe the mitigation measures which were incorporated or refined from the earlier document and the extent to which they addressed site-specific conditions for the project. 6. Lead agencies are encouraged to incorporate into the checklist references to information sources for potential impacts (e.g. general plans, zoning ordinances). Reference to a previously prepared or outside document should, where appropriate, include a reference to the page or pages where the statement is substantiated. 7. Supporting Information Sources: A source list should be attached, and other sources used or individuals contacted should be cited in the discussion. 8. The explanation of each issue should identify: a) the significance criteria or threshold, if any, used to evaluate each question; and b) the mitigation measure identified, if any, to reduce the impact to less than significance Packet Page 346 Item 15 1. AESTHETICS. Would the project: a) Have a substantial adverse effect on a scenic vista? X b) Substantially damage scenic resources, including, but not limited to, trees, rock outcroppings, open space, and historic buildings within a local or state scenic highway? X c) Substantially degrade the existing visual character or quality of the site and its surroundings? X d) Create a new source of substantial light or glare which would adversely affect day or nighttime views in the area? X Evaluation a) b) c) d) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: The project will have no impact to aesthetics. 2. AGRICULTURE RESOURCES. Would the project: a) Convert Prime Farmland, Unique Farmland, or Farmland of Statewide Importance (Farmland), as shown on the maps pursuant to the Farmland Mapping and Monitoring Program of the California Resources Agency, to non-agricultural use? X b) Conflict with existing zoning for agricultural use or a Williamson Act contract? X c) Involve other changes in the existing environment which, due to their location or nature, could result in conversion of Farmland to non-agricultural use? X Evaluation: a) b) c) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: The project will have no impact on agricultural resources. 3. AIR QUALITY. Where available, the significance criteria established by the applicable air quality management or air pollution control district may be relied upon to make the following determinations. Would the project: a) Conflict with or obstruct implementation of the applicable air quality plan? X b) Violate any air quality standard or contribute substantially to an existing or projected air quality violation? X c) Result in a cumulatively considerable net increase of any criteria pollutant for which the project region is non-attainment under an applicable federal or state ambient air quality standard (including releasing emissions which exceed quantitative thresholds for ozone precursors)? X d) Expose sensitive receptors to substantial pollutant concentrations? X e) Create objectionable odors affecting a substantial number of people? X Packet Page 347 Item 15 Evaluation: a) b) c) d) e) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: The project will have no impact on air quality. 4. BIOLOGICAL RESOURCES. Would the project: a) Have a substantial adverse effect, either directly or through habitat modifications, on any species identified as a candidate, sensitive, or special status species in local or regional plans, policies, or regulations, or by the California Department of Fish and Game or U.S. Fish and Wildlife Service? X b) Have a substantial adverse effect, on any riparian habitat or other sensitive natural community identified in local or regional plans, policies, or regulations, or by the California Department of Fish and Game or U.S. Fish and Wildlife Service? X c) Have a substantial adverse effect on federally protected wetlands as defined in Section 404 of the Clean Water Act (including, but not limited to, marsh, vernal pool, coastal, etc.) through direct removal, filling, hydrological interruption, or other means? X d) Interfere substantially with the movement of any native resident or migratory fish or wildlife species or with established native resident or migratory wildlife corridors, or impede the use of native wildlife nursery sites? X e) Conflict with any local policies or ordinances protecting biological resources, such as a tree preservation policy or ordinance? X f) Conflict with the provisions of an adopted habitat Conservation Plan, Natural Community Conservation Plan, or other approved local, regional, or state habitat conservation plan? X Evaluation: a) b) c) d) e) f) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: The project will have no impact on biological resources. 5. CULTURAL RESOURCES. Would the project: a) Cause a substantial adverse change in the significance of a historic resource as defined in §15064.5. X b) Cause a substantial adverse change in the significance of an archaeological resource pursuant to §15064.5) X c) Directly or indirectly destroy a unique paleontological resource or site or unique geologic feature? X d) Disturb any human remains, including those interred outside of formal cemeteries? X Packet Page 348 Item 15 Evaluation: a) b) c) d) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: The project will have no impact on cultural resources. 6. GEOLOGY AND SOILS. Would the project: a) Expose people or structures to potential substantial adverse effects, including the risk of loss, injury or death involving: X I. Rupture of a known earthquake fault, as delineated on the most recent Alquist-Priolo Earthquake Fault Zoning Map issued by the State Geologist for the area or based on other substantial evidence of a known fault? Refer to Division of Mines and Geology Special Publication 42. X II. Strong seismic ground shaking? X III. Seismic-related ground failure, including liquefaction? X IV. Landslides? X b) Result in substantial soil erosion or the loss of topsoil? X c) Be located on a geologic unit or soil that is unstable, or that would become unstable as a result of the project, and potentially result in on or off site landslide, lateral spreading, subsidence, liquefaction or collapse? X d) Be located on expansive soil, as defined in Table 1802.3.2 of the California Building Code (2013), creating substantial risks to life or property? X e) Have soils incapable of adequately supporting the use of septic tanks or alternative waste water disposal systems where sewers are not available for the disposal of waste water? X Evaluation: a) b) c) d) e) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: No Impact. 7. GREENHOUSE GAS EMISSIONS. Would the project: a) Generate greenhouse gas emissions, either directly or indirectly, that may have a significant impact on the environment? X b) Conflict with an applicable plan, policy or regulation adopted for the purpose of reducing the emissions of greenhouse gases? X Evaluation: a) b) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. The Water and Wastewater Management Element continues to support buildout consistent with the General Plan. Conclusion: No Impact. Packet Page 349 Item 15 8. HAZARDS AND HAZARDOUS MATERIALS. Would the project: a) Create a significant hazard to the public or the environment through the routine transport, use, or disposal of hazardous materials? X b) Create a significant hazard to the public or the environment through reasonably foreseeable upset and accident conditions involving the release of hazardous materials into the environment? X c) Emit hazardous emissions or handle hazardous or acutely hazardous materials, substances, or waste within one-quarter mile of an existing or proposed school? X d) Be located on a site which is included on a list of hazardous materials sites compiled pursuant to Government Code Section 65962.5 and, as a result, would it create a significant hazard to the public or the environment? X e) For a project located within an airport land use plan or, where such a plan has not been adopted, within two miles of a public airport or public use airport, would the project result in a safety hazard for people residing or working in the project area? X f) For a project within the vicinity of a private airstrip, would the project result in a safety hazard for people residing or working in the project area? X g) Impair implementation of or physically interfere with an adopted emergency response plan or emergency evacuation plan? X h) Expose people or structures to a significant risk of loss, injury, or death involving wildland fires, including where wildlands are adjacent to urbanized areas or where residences are intermixed with wildlands? X Evaluation: a) b) c) d) e) f) g) h) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: No Impact. 9. HYDROLOGY AND WATER QUALITY. Would the project: a) Violate any water quality standards or waste discharge requirements? X b) Substantially deplete groundwater supplies or interfere substantially with groundwater recharge such that there would be a net deficit in aquifer volume or a lowering of the local groundwater table level (e.g. the production rate of pre-existing nearby wells would drop to a level which would not support existing land uses or planned uses for which permits have been granted)? X c) Substantially alter the existing drainage pattern of the site or area, including through the alteration of the course of a stream or river, in a manner which would result in substantial erosion or siltation on or off site? X d) Substantially alter the existing drainage pattern of the site or area, including through the alteration of the course of a stream X Packet Page 350 Item 15 or river, or substantially increase the rate or amount of surface runoff in a manner which would result in flooding on or off site? e) Create or contribute runoff water which would exceed the capacity of existing or planned storm water drainage systems or provide substantial additional sources of polluted runoff? X f) Otherwise substantially degrade water quality? X g) Place housing within a 100-year flood hazard area as mapped on a federal Flood Hazard Boundary or Flood Insurance Rate Map or other flood hazard delineation map? X h) Place within a 100-year flood hazard area structures which would impede or redirect flood flows? X i) Expose people or structures to significant risk of loss, injury or death involving flooding, including flooding as a result of the failure of a levee or dam? X j) Inundation by seiche, tsunami, or mudflow? Evaluation: a) b) c) d) e) f) g) h) i) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: No Impact 10. LAND USE AND PLANNING. Would the project: a) Physically divide an established community? X b) Conflict with any applicable land use plan, policy, or regulation of an agency with jurisdiction over the project (including, but not limited to the general plan, specific plan, local coastal program, or zoning ordinance) adopted for the purpose of avoiding or mitigating an environmental effect? X c) Conflict with any applicable habitat conservation plan or natural community conservation plan? X Evaluation: a) b) c) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. The update is consistent with other elements of the City’s General Plan, will not conflict with adopted habitat conservation plans, an d will not divide and established community as no specific site is under consideration. Conclusion: No Impact. 11. MINERAL RESOURCES. Would the project: a) Result in the loss of availability of a known mineral resource that would be of value to the region and the residents of the state? X b) Result in the loss of availability of a locally-important mineral resource recovery site delineated on a local general plan, specific plan or other land use plan? X Packet Page 351 Item 15 Evaluation: a) b) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: No impact. 12. NOISE. Would the project result in: a) Exposure of persons to or generation of noise levels in excess of standards established in the local general plan or noise ordinance, or applicable standards of other agencies? X b) Exposure of persons to or generation of excessive groundborne vibration or groundborne noise levels? X c) A substantial permanent increase in ambient noise levels in the project vicinity above levels existing without the project? X d) A substantial temporary or periodic increase in ambient noise levels in the project vicinity above levels existing without the project? X e) For a project located within an airport land use plan, or where such a plan has not been adopted, within two miles of a public airport or public use airport, would the project expose people residing or working in the project area to excessive noise levels? f) For a project within the vicinity of a private airstrip, would the project expose people residing or working in the project area to excessive noise levels? X X Evaluation: a) b) c) d) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: No Impact. 13. POPULATION AND HOUSING. Would the project: a) Induce substantial population growth in an area, either directly (for example, by proposing new homes and businesses) or indirectly (for example, through extension of roads or other infrastructure)? X b) Displace substantial numbers of existing housing, necessitating the construction of replacement housing elsewhere? c) Displace substantial numbers of people, necessitating the construction of replacement housing elsewhere? X X Packet Page 352 Item 15 Evaluation: a) b) c) The 2018 amendment to the Water and Wastewater Management Element will not induce substantial population growth or displace existing housing or people. Growth supported by the goals, policies, and programs in the Water and Wastewater Management Element is growth that was envisioned and evaluated as part of the Land Use Element of the General Plan and subsequent specific plans for the expansion areas. Any use of water beyond General Plan build-out, requires that the current General Plan build-out be evaluated and modified first, based on its own merits and not driven or limited by water supply availability. Conclusion: No impact to population or housing will occur with the proposed project. 14. PUBLIC SERVICES. Would the project result in substantial adverse physical impacts associated with the provision of new or physically altered governmental facilities, the construction of which could cause significant environmental impacts, in order to maintain acceptable service ratios, response times or other performance objectives for any of the public services: a) Fire protection? X b) Police protection? X c) Schools? X d) Parks? X e) Other public facilities? X Evaluation: a) b) c) d) e) f) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: No impact. 15. RECREATION. a) Would the project increase the use of existing neighborhood or regional parks or other recreational facilities such that substantial physical deterioration of the facility would occur or be accelerated? X b) Does the project include recreational facilities or require the construction or expansion of recreational facilities which might have an adverse physical effect on the environment? X Evaluation: a) b) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: No impacts to recreation will occur as part of the proposed amendments. 16. TRANSPORTATION/TRAFFIC. Would the project: a) Conflict with an applicable plan, ordinance or policy establishing measures of effectiveness for the performance of the circulation system, taking into account all modes of transportation including mass transit and non-motorized travel and relevant components of the circulation system, including but not limited to intersections, streets, highways and freeways, pedestrian and bicycle paths, and mass transit? X b) Conflict with an applicable congestion management program, including, but not limited to level of service standards and travel X Packet Page 353 Item 15 demand measures, or other standards established by the county congestion management agency for designated roads or highways? c) Result in a change in air traffic patterns, including either an increase in traffic levels or a change in location that results in substantial safety risks? X d) Substantially increase hazards due to a design feature (e.g., sharp curves or dangerous intersections) or incompatible uses (e.g. farm equipment)? X e) Result in inadequate emergency access? X f) Conflict with adopted policies, plans, or programs regarding public transit, bicycle, or pedestrian facilities, or otherwise decrease the performance or safety of such facilities? X Evaluation: a) b) c) d) e) f) g) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. Conclusion: No impacts to traffic or transportation are identified. 17. TRIBAL CULTURAL RESOURCES. Would the project cause a substantial adverse change in the significance of a tribal cultural resource, defined in Public Resources Code Section 21074 as either a site, feature, place, cultural landscape that is geographically defined in terms of the size and scope of the landscape, sacred place, or object with cultural value to a California Native American tribe, and that is: a) Listed or eligible for listing in the California Register of Historical Resources, or in a local register as defined in Public Resources Section 5020.1(k)? X b) A resource determined by the lead agency, in its discretion and supported by substantial evidence, to be significant pursuant to criteria set forth in subdivision (c) of Public Resources Code Section 5024.1? In applying the criteria set forth in subdivision (c) of Public Resources Code Section 5024.1, the lead agency shall consider the significance of the resource to a California Native American tribe. X Evaluation: On February 12, 2018, local Native American tribal groups that have a cultural and traditional affiliation to the area of the City of San Luis Obispo were formally noticed that an Initial Study of Environmental Review was being completed for the update to the City’s Water and Wastewater Management Element. None of the noticed Tribal Groups identified a Tribal Cultural Resource (TCR) on the site or requested consultation. a) b) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. No specific site is under consideration. No impacts to tribal cultural resources would occur. Conclusion: No impact. Packet Page 354 Item 15 18. UTILITIES AND SERVICE SYSTEMS. Would the project: a) Exceed wastewater treatment requirements of the applicable Regional Water Quality Control Board? X b) Require or result in the construction or expansion of new water or wastewater treatment facilities or expansion of existing facilities, the construction of which could cause significant environmental effects? X c) Require or result in the construction of new storm water drainage facilities or expansion of existing facilities, the construction of which could cause significant environmental effects? X d) Have sufficient water supplies available to serve the project from existing entitlements and resources, or are new and expanded entitlements needed? X e) Result in a determination by the wastewater treatment provider which serves or may serve the project that it has adequate capacity to serve the project’s projected demand in addition to the provider’s existing commitments? X f) Be served by a landfill with sufficient permitted capacity to accommodate the project’s solid waste disposal needs? X g) Comply with federal, state, and local statutes and regulations related to solid waste? X Evaluation: a) b) c) d) e) f) g) The 2018 amendment to the Water and Wastewater Management Element updates water supply availability data from the City’s safe annual yield model for Whale Rock and Salinas Reservoirs. Wastewater background information is also updated. No changes are proposed to the City’s water and wastewater goals, policies, or programs. Water and wastewater service is intended to serve development under the General Plan. With the reduction in safe annual yield, the City continues to have an adequate water supply to meet projected water demand of 57,200 residents at 117 gpcd, a 20 percent reliability reserve, and over 1,000 acre feet as a secondary water supply. No specific site is under consideration. Development projects are evaluated more specifically for their potential impacts on utilities and service systems. Conclusion: No impacts have been identified relative to utilities or service systems. 19. MANDATORY FINDINGS OF SIGNIFICANCE. a) Does the project have the potential to degrade the quality of the environment, substantially reduce the habitat of a fish or wildlife species, cause a fish or wildlife population to drop below self-sustaining levels, threaten to eliminate a plant or animal community, reduce the number or restrict the range of a rare or endangered plant or animal or eliminate important examples of the major periods of California history or prehistory? X No significant impacts have been identified during the review of the2018 amendment to the Water and Wastewater Management Element. b) Does the project have impacts that are individually limited, but cumulatively considerable? ("Cumulatively considerable" means that the incremental effects of a project are considerable when viewed in connection with the effects of the past projects, the effects of other current projects, and the effects of probable future projects)? X There are no impacts identified in this Initial Study. Packet Page 355 Item 15 c) Does the project have environmental effects which will cause substantial adverse effects on human beings, either directly or indirectly? X The 2018 amendment to the Water and Wastewater Management Element will not create environmental effects that will have an adverse impact on humans. 20. EARLIER ANALYSES. Earlier analysis may be used where, pursuant to the tiering, program EIR, or other CEQA process, one or more effects have been adequately analyzed in an earlier EIR or Negative Declaration. Section 15063 (c) (3) (D). In this case a discussion should identify the following items: a) Earlier analysis used. Identify earlier analyses and state where they are available for review. City of San Luis Obispo General Plan is available at the City Community Development Department (919 Palm Street, San Luis Obispo, CA 93401) and at the following website: http://www.slocity.org/government/department-directory/community-development/planning-zoning/general-plan b) Impacts adequately addressed. Identify which effects from the above checklist were within the scope of and adequately analyzed in an earlier document pursuant to applicable legal standards, and state whether such effects were addressed by mitigation measures based on the earlier analysis. N/A c) Mitigation measures. For effects that are "Less than Significant with Mitigation Incorporated," describe the mitigation measures which were incorporated or refined from the earlier document and the extent to which they address site-specific conditions of the project. N/A 21. SOURCE REFERENCES. 1. City of SLO General Plan Land Use Element, December 2014 and Final EIR, October 2014 2. City of SLO General Plan Circulation Element, December 2014 and Final EIR, October 2014 3. City of SLO General Plan Noise Element, May 1996 4. City of SLO General Plan Safety Element, March 2012 5. City of SLO General Plan Conservation & Open Space Element, April 2006 6. City of SLO General Plan Housing Element, January 2015 7. City of San Luis Obispo Municipal Code 8. City of SLO 2015 Urban Water Management Plan, June 2016 9. City of SLO, Final Potable Water Distribution System Operations Master Plan, December 2015 10. City of SLO, Wastewater Collection System Infrastructure Renewal Strategy, 2016 11. County of San Luis Obispo, Nacimiento Water Project Final Environmental Impact Report (SCH #2001061022), December 2003 and Addendum 2016 12. City of SLO, Sewer System Management Plan, 2014 13. City of SLO, Water Resource Recovery Facility Upgrade EIR (SCH #2015101044), 2016 14. City of SLO, Recycled Water Master Plan, 2017 15. Water Systems Consulting, Safe Annual Yield Model Update, Technical Memorandum to the City of San Luis Obispo, January 2018 Exhibit 1: Proposed Amendment to City of San Luis Obispo General Plan, Chapter 8. Water and Wastewater Management Element, March 2018. Packet Page 356 Item 15 RESOLUTION NO. (2018 Series) A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF SAN LUIS OBISPO RECOMMENDING THE CITY COUNCIL ADOPT AMENDMENTS TO THE WATER AND WASTEWATER MANAGEMENT ELEMENT OF THE GENERAL PLAN (GPA 1454-2018) AND ADOPT A NEGATIVE DECLARATION OF ENVIRONMENTAL IMPACT (EID 1455-2018) WHEREAS, State law requires cities and counties to adopt a general plan; and WHEREAS, the Water and Wastewater Management Element of the San Luis Obispo City General Plan was last updated in 2016 in compliance with State law; and WHEREAS, a periodic update of the Water and Wastewater Management Element is necessary for the information to remain current; and WHEREAS, the City of San Luis Obispo has prepared an updated Draft General Plan Water and Wastewater Management Element to address current information and long-term community-wide needs for water and wastewater treatment provision, and WHEREAS, the potential environmental impacts of the updated Water and Wastewater Management Element have been evaluated in accordance with the California Environmental Quality Act pursuant to an initial environmental study (EID 1455-2018) and the Community Development Director has prepared a negative declaration of environmental impact; and WHEREAS, the Planning Commission, at the hearing on April 11, 2018, considered the amendments to the General Plan Water and Wastewater Management Element as shown in the Draft Water and Wastewater Management Element and proposed Negative Declaration of Environmental Effect. NOW, THEREFORE, BE IT RESOLVED by the Planning Commission of the City of San Luis Obispo as follows: SECTION 1. Findings. The Planning Commission, after considering the proposed amendments to the Water and Wastewater Management Element, environmental determination, staff recommendations, public testimony and correspondence, and reports thereon, makes the following findings: 1. The proposed amendments, contained in the draft Water and Wastewater Management Element Update are consistent with the General Plan. SECTION 2. Environmental Determination. The Planning Commission recommends the City Council determine that the proposed General Plan Water and Wastewater Management Element amendments will not create a substantial environmental effect as defined by the California Environmental Quality Act and supports the initial environmental study (EID 1455-2018) and associated Negative Declaration prepared by the Community Development Director. Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: Packet Page 357 Item 15 AYES: NOES: ABSENT: The foregoing resolution was adopted this 11th day of April 2018. Packet Page 358 Item 15 Technical Memorandum City SAY Model Update TM Date: 1/8/2018 To: Mr. Aaron Floyd City of San Luis Obispo – Public Utilities San Luis Obispo, California Prepared by: Adam Rianda, P.E. Reviewed by: Jeroen Olthof, P.E. Project: Safe Annual Yield Analysis Update SUBJECT: SALINAS AND WHALE ROCK RESERVOIRS SAFE ANNUAL YIELD Section 1: Background The City of San Luis Obispo (City) maintains a diversified portfolio of water supply sources that it can use to meet potable water demand. Two of these sources are Salinas Reservoir, also known as Santa Margarita Lake, and Whale Rock Reservoir, located near the town of Cayucos. Whale Rock Reservoir is a shared‐use reservoir serving the City, the California Polytechnic State University (Cal Poly), the California Men’s Colony (CMC), and the town of Cayucos. The City, Cal Poly, and CMC comprise the Whale Rock Commission, which governs reservoir operation. Some characteristics of the two reservoirs are shown in Table 1. Table 1. Reservoir Attributes Reservoir Watershed Size (Square Miles) Storage Capacity (Acre Feet) Average Annual Precipitation (Inches)1 Average Annual Evaporation (Inches)1 Salinas 112.0 23,843 22.1 85.4 Whale Rock 20.3 38,967 18.7 61.6 1Average annual precipitation and evaporation depths are based on the verified hydrologic data discussed in Section 2. Salinas Reservoir and Whale Rock Reservoir are located in different climate regions and have differing characteristics. Whale Rock Reservoir has a larger storage volume than Salinas, but it has a smaller watershed to provide natural recharge. Salinas Reservoir receives more runoff each year, but it also experiences higher temperatures and higher evaporation rates, and it spills more frequently. To maximize the available supply from these two reservoirs, the City has developed operational strategies that recognize the differences between the reservoirs. In general, the strategies involve withdrawing water from Salinas Reservoir when it is available, and using Whale Rock Reservoir as‐needed to supplement the supply from Salinas. To assist with the management of the City’s water resources and understand the available supply from Salinas and Whale Rock Reservoirs, the City maintains an Excel‐based model that estimates a safe annual yield (SAY) based on historical climatic conditions and reservoir operations. For each reservoir, the model sums the inputs and outputs to calculate the reservoir volume on a monthly time step. As inputs, the model uses the historical Packet Page 359 Item 15 Safe Annual Yield Analysis Update Salinas and Whale Rock Reservoirs Safe Annual Yield 1/8/2018 Page 2 City SAY Model Update TM record of inflows, evaporation, precipitation, and downstream releases. The model then calculates, over the period of record, the maximum amount that could be withdrawn each year without drawing the reservoir below its minimum pool constraint. This maximum allowable annual withdrawal is considered to be the SAY. The City’s Excel‐based model of the two reservoirs was first developed in 1988. At that time, the critical drought period that controlled the SAY was the 1946‐1951 drought. In 1991 the model was updated to incorporate the hydrologic conditions experienced during the 1986‐1991 drought. That drought was the most severe in the historical record to that point and became the new controlling condition for estimating SAY. The City estimated the combined SAY from the two reservoirs as 6,940 acre‐feet per year (AFY). This estimate included the anticipated loss of storage volume due to siltation through the year 2010. This estimate has been reported in previous City planning documents, including the 2015 Urban Water Management Plan (UWMP) and the 2016 update to the General Plan Water and Wastewater Management Element. The 2015 UWMP, published in June of 2016, was prepared during a period of extended drought, and it noted that the City planned to re‐calculate the SAY when the on‐going drought came to an end. During the winter of 2016‐2017, California received enough precipitation to provide some drought relief, and the Department of Water Resources phased out its mandatory conservation guidelines. However, the state is still in a period of below‐average precipitation. Figure 1 shows historical precipitation recorded at Salinas and Whale Rock Reservoirs. For each month, the graph shows the average precipitation for the previous five‐year period. This rolling five‐year average can be compared to the long‐term average, in this case the period from 1962 to 2016. The 1986‐1991 drought was preceded by a period of above‐average rainfall, and when the drought ended the subsequent years had above‐average rainfall. By contrast, the current dry period has had a much longer duration. Since 2003, the rolling average has been at or below the long‐term average, and at the end of 2016 the rolling average reached the lowest value ever at Whale Rock. It remains to be seen whether future years will bring enough precipitation to bring the rolling five‐year average back to its historical levels. Packet Page 360 Item 15 Safe Annual Yield Analysis Update Salinas and Whale Rock Reservoirs Safe Annual Yield 1/8/2018 Page 3 City SAY Model Update TM Figure 1. Rolling Five-Year Average Precipitation at Salinas and Whale Rock In early 2017, the City contracted with Water Systems Consulting, Inc. (WSC) to update the SAY model. The update was intended to verify the historical input data, validate and document the calculations in the model, incorporate the full extent of the 2006‐2016 drought, and generate scenarios that accounted for potential climate change impacts. Section 2: Model Updates In January 2017, the City and Cal Poly began an update of the SAY model. Two major objectives of the project were to update and verify the hydrologic input data and to develop scenarios that accounted for climate change impacts. The SAY model was last updated in early 2015; therefore, the model that was used as the starting point for this project is referred to as the 2015 model. Verification of Input Data and Extension of Input Data Through January 2017 The 2015 model contained hydrologic input data for Whale Rock Reservoir and Salinas Reservoir through February of 2015. While this data set contained values beginning in October of 1943, the source of the data had not been documented. Furthermore, the construction of Whale Rock Reservoir was not completed until April of 1961, so there was nearly 18 years of data that predated the reservoir. According to the City’s records, the (30.0) (20.0) (10.0) 0.0 10.0 20.0 30.0 0.0 10.0 20.0 30.0 40.0 50.0 60.0 Annual Inches of Rain at Whale RockAnnual Inches of Rain at Salinas . Salinas Rolling Five‐Year Average Salinas Average 1962 ‐ 2016 Whale Rock Rolling Five‐Year Average Whale Rock Average 1962 ‐ 2016 Packet Page 361 Item 15 Safe Annual Yield Analysis Update Salinas and Whale Rock Reservoirs Safe Annual Yield 1/8/2018 Page 4 City SAY Model Update TM hydrologic data predating the reservoir was generated through correlations between Salinas and Whale Rock Reservoir lake levels and precipitation. In order to load the model with verified historical hydrologic data, the City compiled the information that could be traced to verified sources. Table 2 presents the data sets collected for this update as well as the start date of each data series. All data sets were compiled through January of 2017, when the drought of 2006‐2016 had subsided. Table 2. Verified Hydrologic Data Start Date Reservoir Precipitation Evaporation Inflow1 Downstream Releases Salinas 7/1/1948 7/1/1970 4/1/1942 7/1/1942 Whale Rock 1/1/1962 10/1/1963 2/1/1962 2/1/1962 1Inflow for Whale Rock Reservoir calculated by Damsaver begins 6/1/1987. Inflow from 1962 to 1987 was calculated using paper records compiled by City staff. The inflow data for Whale Rock Reservoir came from two sources: Damsaver and paper records. Damsaver is an Excel‐based tool that the City began to use in June 1987 to record and report Whale Rock Reservoir hydrologic data, including the computation of monthly inflow. Prior to 1987, the City utilized a paper form to record monthly precipitation, evaporation, reservoir elevation, reservoir storage, and water releases. To generate a complete data set extending back to 1962, WSC performed mass balance1 calculations using data from the paper records. The calculated inflows were validated using a 2.5‐year overlap period, 1987 to 1989, when the City utilized both Damsaver and the paper forms. While there was variation from month to month, the total calculated inflows over the 2.5‐year period were within 10 percent of the total produced using the Damsaver software. Therefore, the pre‐1987 inflows calculated from the paper forms were considered acceptable for use in this evaluation. In general, the verified historical data compiled for this update was not significantly different than the input data in the 2015 model. The exception was in recorded evaporation rates. For this update, historical evaporation data was available for the period beginning July 1, 1970. The historical data in the previous model and the data compiled for this study are shown in Figure 2 and Figure 3. 1 The mass balance calculation was based on the fact that monthly change in storage volume will be determined by the inputs (precipitation and inflow) and outputs (evaporation and downstream releases) during that month. Historical data for reservoir levels were used to calculate change in storage, and historical data was available for precipitation, evaporation, and downstream releases. The team then solved for the only unknown variable, monthly inflow. Packet Page 362 Item 15 Safe Annual Yield Analysis Update Salinas and Whale Rock Reservoirs Safe Annual Yield 1/8/2018 Page 5 City SAY Model Update TM Figure 2. Cumulative Evaporation Data for Salinas Reservoir, 1970-2015 Figure 3. Cumulative Evaporation Data for Whale Rock Reservoir, 1970-2015 For both reservoirs, the updated historical data show consistently higher evaporation rates than the data used in the 2015 model. The difference results in evaporation losses approximately 30 percent higher than the 2015 model, leading to a reduction in the calculated SAY. Climate Change Impacts Although previous versions of the model included several scenarios with adjusted climatic patterns, they were based on simple modifications to relatively short data sets. As part of this model update, a range of new scenarios was added based on varying climate change projections identified by the U.S. Environmental Protection Agency (EPA) and the San Luis Obispo Council of Governments (SLOCOG). The estimated changes in climate associated with these scenarios were applied to the historical data set for inflows, precipitation, and evaporation. The model was then used to calculate a revised SAY assuming that these conditions had prevailed during the historical period of record. ‐ 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 4,500 1970 1975 1981 1986 1992 1997 2003 2008 2014Cumulative Evaporation (inches)Salinas Cumulative Evaporation, Previous Model (inches) Salinas Cumulative Evaporation, Verified Historical Data (inches) ‐ 500 1,000 1,500 2,000 2,500 3,000 1970 1975 1981 1986 1992 1997 2003 2008 2014Cumulative Evaporation (inches)Whale Rock Cumulative Evaporation, Previous Model (inches) Whale Rock Cumulative Evaporation, Verified Historical Data (inches) Packet Page 363 Item 15 Safe Annual Yield Analysis Update Salinas and Whale Rock Reservoirs Safe Annual Yield 1/8/2018 Page 6 City SAY Model Update TM Section 3: Scenario Modeling Scenario 1: 2015 Model Scenario 1 runs the model using the hydrologic input data used in the 2015 model. As discussed previously, the source of this hydrologic input data was not documented. Scenario 2: Verified Historical Data Scenario 2 utilizes the historical hydrological data set compiled for this update. Because this input data has been verified against historical records, Scenario 2 is considered to be the baseline estimate for future conditions. Scenarios 3 through 8: EPA CREAT Climate Change Projections Scenarios 3 through 8 are based on climate change projections identified in the EPA’s Climate Resilience Evaluation and Awareness (CREAT) Projection Map. CREAT was prepared by the EPA, specifically for drinking water, wastewater and stormwater utility owners and operators, as an informational tool to assist in understanding and addressing climate change risks. Projected changes in CREAT were derived from the evaluation of thirty‐eight Global Climate Models recognized by the Intergovernmental Panel on Climate Change (IPCC). Results from each model were recorded on a 0.5‐ by 0.5‐degree (approximately 34‐ by 34‐mile) grid basis and compared to three statistical targets based on the distribution of the models. The five models closest to each target were averaged to generate each projected temperature and precipitation change. The three targets are defined as: Hot/dry future conditions – Nearest to the 5th percentile of precipitation and 95th percentile of temperature projections; Central future conditions – Nearest to the 50th percentile of both precipitation and temperature projections; and Warm/wet conditions – Nearest to the 95th percentile of precipitation and 5th percentile of temperature projections. Projections are presented for two planning horizons: 2035, the midpoint of a range from 2024 to 2045, and 2060, the midpoint of a range from 2050 to 2070. For the SAY model, it is assumed that the change in inflow is directly proportional to the change in precipitation. Because of the uncertainty about the exact relationship between higher temperatures and increased evaporation, future evaporation rates were assumed to be five percent higher than the verified historical data. Projected changes are applied to the entire verified historical data set in Scenario 2. Scenarios 9 through 12: SLOCOG Climate Change Projections Scenarios 9 through 12 are based on climate change projections identified in the San Luis Obispo Council of Governments (SLOCOG) 2014 Regional Transportation Plan. SLOCOG climate change projections reflect the continuation of current energy‐subsidy policies, implying relatively high energy consumption and high greenhouse gas (GHG) emissions. Per the SLOCOG report, this scenario closely followed the global emissions path of the late 1990s. The SLOCOG report states that given a sharp rise in emissions since 2000, the climate projections reflected may underestimate actual climate change. Packet Page 364 Item 15 Safe Annual Yield Analysis Update Salinas and Whale Rock Reservoirs Safe Annual Yield 1/8/2018 Page 7 City SAY Model Update TM Like EPA’s CREAT tool, the SLOCOG projections are based on IPCC recognized Global Climate Models. However, the SLOCOG study focuses specifically on three models: CSIRO (from Australia), MIROC (from Japan), and HadCM (from the UK). The United States Department of Agriculture (USDA) Forest Service Mapped Atmosphere‐ Plant‐Soil System (MAPSS) team at the Pacific Northwest Research Station then converted the model output to a locally‐relevant scale of 8 kilometers (km) using local temperature and precipitation pattern data. As with the EPA CREAT projections, SLOCOG projections are presented as a percent difference in precipitation and degree difference in temperature, and are assigned to two planning horizons, 2035 to 2045 and 2075 to 2085. The SLOCOG projections, however, are presented as a range for each window of time. Therefore, a scenario was created for the climatic lower bound and upper bound for each planning horizon. As with Scenarios 3 through 8, Scenarios 9 through 12 apply the respective climate change projections to the verified historical data set (Scenario 2) and adjust the inflow proportionally to the change in precipitation, while evaporation rates were assumed to be five percent higher than historical values. Scenario 13: Nature Climate Change Evaluation Nature Communications, a peer‐reviewed open access scientific journal published by the Nature Publishing Group, published an article in in July of 2017 that presented an overview of various climate models and their predictions for future precipitation in California. This work found that under future conditions, California could receive more precipitation in response to global warming. It found that the anticipated changes in air circulation patterns were reminiscent of an El Nino event, which can lead to an increase in storm track activity in the east Pacific. The article concluded that central California could expect on the order of three inches per year in additional rainfall attributable to global warming. The historical average annual rainfall at Salinas Dam is approximately 23 inches, while the annual average at Whale Rock Reservoir is approximately 19 inches. As a conservative estimate, it was assumed that under this scenario, precipitation and runoff values would increase 15 percent over their historical values. Evaporation rates were assumed to be 5 percent higher than historical values. Section 4: Model Results The updated spreadsheet model is intended to be a tool that the City can use to evaluate SAY under potential future conditions. Several simulations were run during the development of the spreadsheet, and the results are summarized in the following tables. These preliminary results are intended to show the range of potential values under differing input assumptions. As discussed further in the Appendix, the model is set up to account for loss of reservoir capacity due to siltation up to, and including, the designated simulation year. The model results presented in Tables 3 through 5 account for the estimated siltation through 2017. The model was first used to determine the impact of using verified historical data as inputs. The results are summarized in Table 3. For consistency with previous estimates, these results do not include the 2006 ‐ 2016 drought. These results are presented for comparison with previously reported values of SAY. Using the raw input data from the 2015 model, the updated model showed that an annual withdrawal of 6,940 AFY could be sustained. With the incorporation of the updated evaporation data, the corresponding value is 6,590 AFY. Packet Page 365 Item 15 Safe Annual Yield Analysis Update Salinas and Whale Rock Reservoirs Safe Annual Yield 1/8/2018 Page 8 City SAY Model Update TM Table 3. Safe Annual Yield Model Outputs with Verified Historical Data 2015 Model SAY (AFY) Updated Model SAY with Verified Historical Data (AFY) SAY (Period of record ending 2006; does not include the 2006‐2016 drought) 6,940 6,590 Note: These results are the combined City SAY from Salinas and Whale Rock Reservoirs, based on a joint operating strategy The model was then used to calculate an updated SAY for the entire period of record, including the 2006 – 2016 drought. These results are shown in Table 4. This drought was more severe than the 1986‐1991 drought, and it has become the new controlling condition for the estimation of SAY. The estimated SAY is 4,910 AFY, approximately 2,000 AFY less than the previously used estimate of 6,940 AFY. Table 4. Safe Annual Yield Model Outputs Incorporating 2006 – 2016 Drought Updated Model SAY with Verified Historical Data (AFY) SAY (Period of record through 2016; includes the 2006‐2016 drought) 4,910 Note: These results are the combined City SAY from Salinas and Whale Rock Reservoirs, based on a joint operating strategy Finally, the model was used to simulate a range of potential climate change scenarios. These estimates are summarized in Table 5. There is considerable uncertainty about how climate change will impact the precipitation and evaporation patterns on the Central Coast. The range of values provides an indication of potential future conditions that might occur, but it is not yet feasible to identify an expected value for future SAY. Table 5. Safe Annual Yield Model Outputs for Climate Change Scenarios Range of SAY under EPA Climate Change Scenarios (AFY) Range of SAY under SLOCOG Climate Change Scenarios (AFY) Nature Climate Change Scenario (AFY) SAY (Period of record through 2016; includes the 2006‐2016 drought) 4,690 – 5,050 4,050 – 5,070 4,950 Note: These results are the combined City SAY from Salinas and Whale Rock Reservoirs, based on a joint operating strategy Packet Page 366 Item 15 Safe Annual Yield Analysis Update Salinas and Whale Rock Reservoirs Safe Annual Yield 1/8/2018 Page 9 City SAY Model Update TM Section 5: Conclusion The City’s spreadsheet model for estimating SAY from Salinas and Whale Rock Reservoirs was updated to incorporate verified historical data and the full extent of the most recent drought (2006 – 2016). The revised estimate for the SAY from these reservoirs is 4,910 AFY, approximately 2,000 AFY less than the value of 6,940 AFY used in previous planning documents. Two factors contributed to this decline. First, the historic evaporation data in the model were revised to match currently available records. Second, the updated model includes the full extent of the 2006‐2016 drought. This dry period was more severe than the 1986‐1991 drought, and it is the new controlling period for estimating SAY. The updated spreadsheet model can be used to estimate the SAY under a variety of scenarios. The spreadsheet can also be used to demonstrate the advantages of coordinating the use of the City’s water supply sources, rather than analyzing each source in isolation. It is recommended that the City and Cal Poly continue to coordinate their analyses of the expected supply from Whale Rock. The model should also be kept up‐to‐date with additional hydrological data, as it becomes available. Packet Page 367 Item 15 City SAY Model Update TM Appendix A: Model Layout The updated model has been restructured to provide a more user‐friendly and transparent interface. This appendix briefly describes key tabs in the spreadsheet model. Dashboard Tab The primary components of the Dashboard tab, circled in blue in Figure A‐1, are the Modeled Scenario dropdown list, the City Withdrawal Mode selection, and the Solve buttons. The Modeled Scenario dropdown list allows the user to select the scenario of interest. The City Withdrawal Mode allows the user to calculate separate SAY’s for Salinas and Whale Rock Reservoir, or to model them as joint, or coordinated, use. When Joint Use is selected, the model prioritizes withdrawal from Salinas Reservoir and provides a single SAY for the two reservoirs. The Solve buttons allow the user to run the model without having to manually iterate to the desired solution. The Solve buttons count down the SAY from 100,000 AFY until the total unmet demand is equal to zero over the entire time series. Just above the Modeled Scenario dropdown list is a summary of assumptions and input data. These assumptions and inputs have been discussed with the City and Cal Poly, and therefore likely will not change on a regular basis, but they should always be reviewed prior to a model run. Figure A-1. Dashboard Tab Screenshot Packet Page 368 Item 15 Safe Annual Yield Analysis Update Salinas and Whale Rock Reservoirs Safe Annual Yield 1/8/2018 Page A‐2 City SAY Model Update TM Scenario Tab As discussed in Section 2, a suite of new scenarios has been incorporated into the updated model. All scenarios are defined on the Scenarios tab, including the scenario number and respective percent change in inflow, precipitation, and evaporation. While a temperature change in degrees Fahrenheit is listed, it is not currently being included in the calculations. All future scenarios are expected to have higher temperatures, which will lead to increased evaporation, but there is uncertainty about how much evaporation will increase. In addition to defining the scenario criteria, this tab is used to manually record the calculated SAY for each scenario. Bathymetry Tab The Bathymetry tab houses the stage‐storage‐area relationships for the two reservoirs. For Salinas Reservoir, the relationship is based on the Salinas Reservoir Bathymetric survey conducted in 1990. The annual siltation was estimated to reduce available storage in Salinas Reservoir by 40 AFY, based on the 1990 bathymetric survey. For Whale Rock Reservoir, the relationship is based on the Whale Rock Reservoir Bathymetry survey conducted in 2013. As part of the 2013 bathymetric survey, the annual siltation was estimated to reduce available storage by 32.6 AFY. These siltation rates can be found on the Dashboard tab along with the year of the associated bathymetric survey. The user can select a year to run the simulation, and the model will reduce the full capacity of each reservoir to account for the expected siltation between the date of the respective bathymetric survey and the simulation year. The City’s water supply planning policy already includes an expected reduction in future water supply of 500 AFY to account for reservoir siltation. Therefore, the model simulations run for this project used a simulation year of 2017 to estimate the SAY under current conditions. Demand Patterns Tab The Demand Patterns tab defines the monthly demand multipliers for the City, Cal Poly, CMC, and Cayucos water deliveries. For the updated model, the City demand pattern has remained the same as in the previous model. The State demand pattern has been split into two new Cal Poly demand patterns, domestic and agricultural, and an evenly distributed demand pattern for the CMC. Cal Poly provided domestic and agricultural usage data from 1992 through 2016, which was used to refine the Cal Poly demand patterns. The demand patterns are shown in Figure A‐2. Packet Page 369 Item 15 Safe Annual Yield Analysis Update Salinas and Whale Rock Reservoirs Safe Annual Yield 1/8/2018 Page A‐3 City SAY Model Update TM Figure A-2. Demand Patterns Calculations Tab The Calculations tab has inputs and formulas organized in a progression from left to right, with one row for every month. Row 7 on the Calculations tab defines whether a column is an input value or a formula. Input values are historical monthly hydrologic inputs including natural inflow volume, precipitation depth, and evaporation depth. Input values should be added to the model as new data is collected over time. As input values are added, the remainder of the cells in that row should be populated by dragging down the formulas from the cell above. Column Descriptions Tab This tab contains descriptions for each column on the Calculations tab. Column descriptions include a written description and a display of the respective formula. This tab provides more detailed information about the calculations embedded in the spreadsheet. 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 14.00% 16.00% 18.00% 123456789101112Monthly Demand MultiplierMonth City Monthly Demand Multiplier Cayucos Deliveries Monthly Demand Multiplier Cal Poly AG Monthly Demand Multiplier Cal Poly Domestic Monthly Demand Multiplier CMC Monthly Demand Multiplier Packet Page 370 Item 15 Adopted: February 24, 1987 Last Revised: June 15, 2016 (Council Resolution No. 10725, 2016) Draft, April 2018 Packet Page 371 Item 15 Chapter 8 Page 8-2 Please see the next page. Packet Page 372 Item 15 Water and Wastewater Element Page 8-3 CHAPTER 8 WATER AND WASTEWATER TABLE OF CONTENTS INTRODUCTION .....................................................................................................................................................8-5 A. WATER MANAGEMENT .................................................................................................................................8-6 INTRODUCTION .............................................................................................................................................8-6 A 1.0 Background .......................................................................................................................................8-6 A 1.1 Purpose .............................................................................................................................................8-6 MULTI-SOURCE WATER SUPPLY .........................................................................................................................8-7 A 2.0 Background .......................................................................................................................................8-7 A 2.1 Goal...................................................................................................................................................8-9 A 2.2 Policies ............................................................................................................................................ 8-10 A 2.3 Programs ......................................................................................................................................... 8-10 Water Resource Availability ................................................................................................................................ 8-11 A 3.0 Background ..................................................................................................................................... 8-11 A 3.1 Goal................................................................................................................................................. 8-15 A 3.2 Policies ............................................................................................................................................ 8-15 A 3.3 Programs .................................................................................................................................. 8-168-15 SILTATION ........................................................................................................................................................... 8-17 A 4.0 Background ..................................................................................................................................... 8-17 A 4.1 Goals ............................................................................................................................................... 8-19 A 4.2 Policies ............................................................................................................................................ 8-19 A 4.3 Programs ......................................................................................................................................... 8-19 WATER SUPPLY ACCOUNTING AND DEMAND PROJECTION ......................................................................... 8-20 A 5.0 Background ..................................................................................................................................... 8-20 A 5.1 Goals ............................................................................................................................................... 8-21 A 5.2 Policies ............................................................................................................................................ 8-21 A 5.3 Programs ......................................................................................................................................... 8-22 WATER CONSERVATION .................................................................................................................................... 8-23 A 6.0 Background ..................................................................................................................................... 8-23 A 6.1 Goal................................................................................................................................................. 8-23 A 6.2 Policies ............................................................................................................................................ 8-24 A 6.3 Programs ......................................................................................................................................... 8-24 RECYCLED WATER ............................................................................................................................................. 8-25 A 7.0 Background ..................................................................................................................................... 8-25 A 7.1 Goals ............................................................................................................................................... 8-27 A 7.2 Policies ............................................................................................................................................ 8-27 A 7.3 Programs ......................................................................................................................................... 8-27 B. WASTEWATER MANAGEMENT .................................................................................................................. 8-28 INTRODUCTION ........................................................................................................................................... 8-28 B 1.0 Background ..................................................................................................................................... 8-28 B 1.1 Purpose ........................................................................................................................................... 8-28 WASTEWATER SERVICE ............................................................................................................................. 8-29 B 2.0 Background ..................................................................................................................................... 8-29 B 2.1 Goal................................................................................................................................................. 8-29 B 2.2 Policies ............................................................................................................................................ 8-29 B 2.3 Programs ......................................................................................................................................... 8-30 WASTEWATER TREATMENT ....................................................................................................................... 8-31 B 3.0 Background ..................................................................................................................................... 8-31 B 3.1 Goals ............................................................................................................................................... 8-31 B 3.2 Policies ............................................................................................................................................ 8-31 B 3.3 Programs ......................................................................................................................................... 8-31 Packet Page 373 Item 15 Chapter 8 Page 8-4 COLLECTION SYSTEM................................................................................................................................. 8-32 B 4.0 Background ..................................................................................................................................... 8-32 B 4.1 Goal................................................................................................................................................. 8-34 B 4.2 Policies ............................................................................................................................................ 8-34 B 4.3 Programs ......................................................................................................................................... 8-34 LIST OF FIGURES Figure 1 Multi Source Water Supply ..............................................................................................................8-8 Figure 2 Recycled Water Water Reuse Master Plan Area and Distribution System ...................................... 8-26 Figure 3 Capacity Constrained Areas 8-30 Figure 34 Inflow and Infiltration Illustrated ..................................................................................................... 8-33 LIST OF TABLES Table 1. City Water Resource Availability ................................................................................................... 8-11 Table 2. Annual Recycled Water Availability based on Influent Flow ........................................................... 8-15 Table 3. Whale Rock Reservoir Capacity Change ....................................................................................... 8-16 Table 4. Reservoir Storage Capacity .......................................................................................................... 8-17 Table 5. 2010 Water Supply Accounting ..................................................................................................... 8-21 Table 6. Highest Average Daily Flows to the Water Resource Recovery Reclamation Facility, .................... 8-33 2006 to 20157 Packet Page 374 Item 15 Water and Wastewater Element Page 8-5 INTRODUCTION The City's General Plan guides the use and protection of various resources to meet community purposes. It reflects consensus and compromise among a wide diversity of citizens' preferences, within a framework set by State law. The General Plan contains elements that address various topics. The City decided to adopt an element addressing water resources and wastewater services because of the vital role of these resources and the far-reaching impacts of water policies on community growth and character. This element translates the Land Use Element's capacity for development into potential demand for water supply and wastewater services. This element outlines how the City plans to provide adequate water and wastewater services for its citizens, consistent with the goals and policies of other General Plan elements. Before adopting or revising any General Plan element, the Planning Commission and the City Council must hold public hearings. The City publishes notices in the local newspaper and on the City’s website to let citizens know about the hearings at least ten days before they are held. Also, the City prepares environmental documents to help citizens understand the expected consequences of its planning policies before the hearings are held. Anyone may suggest or apply for amendments to General Plan elements. Packet Page 375 Item 15 Chapter 8 Page 8-6 A. WATER MANAGEMENT INTRODUCTION A 1.0 Background The original Water and Wastewater Management Element was adopted in 1987 around the time the City experienced its most a severe drought period which lasted from 1986 to 1991. During this point in time mandatory water use restrictions were instituted and restrictions on new development were imposed. Following this period, the City pursued additional water supplies to meet the existing water needs of the community, as well as to fulfill the goals of the General Plan. The policies in the Water Management section of the Element were written in a manner to address the water scarcity issues the City was facing. With the addition of the Nacimiento Water Project to the City’s water portfolio, the City has an adequate water supply to serve the community’s existing and future water needs as defined by the General Plan. The 2010 revisions to the Water and Wastewater Management Element reflected the change in the water supply situation. The 2016 revisions to the Water and Wastewater Management Element are proposed to include a larger contractual water supply from Nacimiento Reservoir, to update the daily per capita water use assumption used in water supply accounting, and to reflect information from the Whale Rock Reservoir Bathymetric Survey and Volumetric Study completed in 2013. updated the City’s water resource availability to include the full allocation of the Nacimiento Reservoir increasing the City’s contractual supply from 3,380 acre feet to 5,482 acre feet annually, updated the daily per capita water use assumption used in water supply accounting, and incorporated information from the Whale Rock Reservoir Bathymetric Survey and Volumetric Study completed in 2013. The 2018 revisions to the Water and Wastewater Management Element provide information from the 2018 update to the City’s safe annual yield model. The update verified historical data, validated and documented calculations used in the model, incorporated data from the 2006‐2016 drought, and reviewed various climate change scenarios. The updated data reduced the safe annual yield from Salinas and Whale Rock Reservoirs from 6,940 acre feet to 4,910 acre feet. Updates are also provided to background information related to the Sustainable Groundwater Management Act and the adoption of the Recycled Water Master Plan in 2017. A 1.1 Purpose The Water Management section of the Element includes goals, policies, and programs related to water supply, demand, and other emerging issues. Packet Page 376 Item 15 Water and Wastewater Element Page 8-7 MULTI-SOURCE WATER SUPPLY A 2.0 Background The City is the sole water purveyor within the city limits. This allows the City to maintain uniformity of water service and distribution standards, and to be consistent in developing and implementing water policy. As the sole water purveyor, the City maintains control over water quality, distribution, and service to users of the system, as well as ensuring consistency with the City's General Plan policies and goals. The Water Element of the General Plan, first adopted in 1987, identified multiple water projects to meet projected short and long-term water demand. Having several sources of water avoids dependence on any one source that may not be available during a drought or other water supply reduction or emergency. There is usually greater reliability and flexibility if sources are of different types (such as surface water and groundwater) and if the sources of one type are in different locations (such as reservoirs in different watersheds). In November of 1990, the Council affirmed the multi-source concept. Consistent with the multi-source concept, the City obtains water from five sources: Salinas Reservoir (Santa Margarita Lake), Whale Rock Reservoir, Nacimiento Reservoir, recycled water from the City’s Water Resource Recovery Facility, and groundwater. See Figure 1. Salinas Reservoir The Salinas Dam was built in 1941 by the War Department to supply water to Camp San Luis Obispo and, secondarily, to meet the water needs of the City of San Luis Obispo. The Salinas Reservoir (Santa Margarita Lake) captures water from a 112-square mile watershed and can store up to 23,843 acre-feet. In 1947, the Salinas Dam and delivery system was transferred from the regular Army to the U.S. Army Corps of Engineers. Since the late 40s or early 50s, the San Luis Obispo County Flood Control and Water Conservation District has operated this water supply for the City under a lease from the U.S. Army Corps of Engineers. Water from the reservoir is pumped through the Cuesta Tunnel (a one-mile long tunnel through the mountains of the Cuesta Ridge) after which it flows by gravity to the City’s Water Treatment Plant on Stenner Creek Road. Whale Rock Reservoir The Whale Rock Reservoir is a 40,662 acre-foot reservoir created by the construction of an earthen dam on Old Creek near the town of Cayucos. The dam was designed and constructed by the State Department of Water Resources in 1961 to provide water to the City of San Luis Obispo, Cal Poly State University, and the California Men’s Colony. The Whale Rock Dam captures water from a 20.3-square mile watershed and water is delivered to the three agencies through 17.6 miles of 30-inch pipeline and two pumping stations. The City of San Luis Obispo owns 55.05 percent of the water storage rights at the reservoir. The remaining water storage rights are divided between the two State agencies with Cal Poly owning 33.71 percent and the California Men’s Colony owning 11.24 percent. Nacimiento Reservoir The Nacimiento Reservoir provides flood protection and is a source of supply for groundwater recharge for the Salinas Valley. It is owned and operated by the Monterey County Water Resources Agency. Since 1959, the San Luis Obispo County Flood Control and Water Conservation District has had an entitlement to 17,500 acre-feet per year (AFY) of water from the reservoir for use in San Luis Obispo County. Approximately 1,750 AFY have been designated for uses around the lake, leaving 15,750 AFY for allocation to other areas within the County of San Luis Obispo. Packet Page 377 Item 15 Chapter 8 Page 8-8 Figure 1 Multi Source Water Supply Packet Page 378 Item 15 Water and Wastewater Element Page 8-9 The County completed began construction in 2007 on of a 45-mile pipeline project to deliver water from the Nacimiento Reservoir to five participating agencies and cities in 2010. The City has a contractual entitlement to 5,482 AFY of water from the project. Recycled Water Recycled water is highly treated wastewater approved for reuse by the California Department of Public Health for a variety of applications, including landscape irrigation and construction dust control. Completed in 2006, the Water Reuse Project created the first new source of water for the City since 1961 following construction of Whale Rock Dam. The Project resulted in improvements at the City’s Water Resource Recovery Facility and an initial eight miles of distribution pipeline. The City’s first delivery of recycled water took place in 2006. The City estimates demand exists for approximately 1,000 acre feet of recycled water for landscape irrigation and other approved uses. Additional information is provided on recycled water in subsections A 3.0, A 7.0, and B 3.0 of this Element. Groundwater The groundwater basin beneath the City is relatively small and recharges very quickly following normal rainfall periods. The groundwater basin also lowers relatively quickly during periods of below-average rainfall. Extensive use of groundwater sustained the City through most of the drought of 1986-1991. The City’s two largest producing wells were shut down in 1992 and 1993 when elevated nitrate levels were detected. The City stopped utilizing the Pacific Beach well in April 2015. Due to new regulatory requirements, using the groundwater would require additional costly treatment before the water could be used. Additionally, portions of the groundwater basin are contaminated with a chemical solvent (tetrachloroethylene) which would require treatment facilities to remove. While the City does not currently utilize potable water from wells, this remains a viable option for future use. The City envisions groundwater playing an important role in ensuring continued resiliency in its water supply portfolio. The Sustainable Groundwater Management Act (SGMA) is a statewide law that empowers local agencies to adopt groundwater management plans that relate to the needs and resources of their communities. In 2017, the City became a Groundwater Sustainability Agency (GSA) over the area of the San Luis Obispo Valley Groundwater Basin that lies beneath and within its jurisdictional boundaries. The San Luis Obispo Valley Groundwater Basin “eligible entities” (City, County, Golden State Water Company, Edna Ranch Mutual Water Company-East, Varian Ranch Mutual Water Company, and Edna Valley Growers Mutual Water Company) are all working collaboratively to comply with SGMA requirements for the entire groundwater basin. The GSA structure includes a Groundwater Sustainability Commission which is an advisory body to the City Council and the Board of Supervisors. The Commission consists of one member from the City Council, one County Supervisor and a representative of each of the identified water companies. The City, County, and eligible entities are required by SGMA to work together to create Groundwater Sustainability Plans by January 31, 2022. Private wells are in use in the City, such as the well operated by San Luis Coastal Unified School District at San Luis Obispo High School. The City maintains a non-potable well at the City’s Corporation Yard that is available for non- potable purposes by permit. The City’s Laguna Lake Golf Course also has two wells that meet a portion of the irrigation demand for the course. The remainder of the irrigation demand for the golf course is met using recycled water from the City’s Water Resource Recovery Facility. A 2.1 Goal Ensure a long-term, reliable water supply to meet both current and future water demand associated with development envisioned by the General Plan. Packet Page 379 Item 15 Chapter 8 Page 8-10 A 2.2 Policies A 2.2.1 Multi-Source Water Supply The City shall utilize multiple water resources to meet its water supply needs. A 2.2.2 Water Service within the City A. The City will be the only purveyor of water within the City. B. Appropriate use of privately-owned wells is allowed on individual parcels. The use of the water from a well shall only be utilized on the parcel on which it is situated. A 2.3 Programs A 2.3.1 Work cooperatively on regional water issues and water resource planning (Water Resource Advisory Committee, Whale Rock Commission, Groundwater Sustainability Commission, etc.). A 2.3.2 Participate with the County of San Luis Obispo in the Integrated Regional Water Management Plan process. A 2.3.3 Participate with other appropriate agencies in controlling invasive species which could impact the City’s water supplies (i.e. quagga mussels). A 2.3.4 Work with appropriate agencies to minimize water quality impacts from new development and other activities in the watersheds of the City’s water supplies. A 2.3.5 Continue to work with the County of San Luis Obispo on the operation and maintenance of Salinas Reservoir and Nacimiento Water Project. A 2.3.6 Complete sanitary surveys for the Salinas and Whale Rock Reservoirs every five years. Packet Page 380 Item 15 Water and Wastewater Element Page 8-11 Water Resource Availability A 3.0 Background As described in Section A 2.0, the City has five water resources to meet current and future City water demand: Salinas Reservoir (Santa Margarita Lake), Whale Rock Reservoir, Nacimiento Reservoir, recycled water from the City’s Water Resource Recovery Facility, and groundwater. In order to ensure water supply reliability, the City must determine the amount of water available from these water resources on an annual basis. The method to determine the available yield from each resource varies based on water right, contractual agreement, or the amount of water actually supplied. For Salinas and Whale Rock Reservoirs the term “safe annual yield” is used to define the annual amount of water available from these two resources. The two reservoirs are operated in a coordinated manner to increase the available water. In contrast, the “dependable yield” from Nacimiento Reservoir is the contractual amount of water to which the City has rights. Since Nacimiento Reservoir is operated as a water supply project for Monterey County, the concept of safe annual yield is not used for the City’s contractual water supply from this source. For recycled water, the annual amount delivered is counted in the water availability calculation. Though groundwater is part of the City’s water portfolio the City does not consider this supply in estimating available water resources to meet community needs at this time. Another issue the City must address is the potential impact of climate change on the City’s water resources. Climate change could have a significant impact on future water availability in the form of droughts or increased siltation in reservoirs as a result of wildland fires which could affect the safe annual yield of the City’s reservoirs. As data becomes available and research on the topic continues, the City will monitor the make adjustments for long-term impacts to its water supply resources. The following sections provide more detail about each water resource. Table 1 is a summary of the City’s available water resources. City Water Resource Availability Water Resource 2018 Annual Availability Salinas Reservoir (Santa Margarita Lake) and Whale Rock Reservoir 6,940 AF 4,910 AF Safe Annual Yield Nacimiento Reservoir 5,482 AF Contractual Limit Recycled Water 187 238 AF 20157 Annual Usage Siltation to 2060 (500 AF) Policy A 4.2.2 TOTAL 12,109 10,130 AF Note: The quantity of recycled water included as part of the City’s available water resources identified above, is the actual prior year’s recycled water usage (20157), per Policy A 7.2.2. Source: City of San Luis Obispo Utilities Department, 20168. Packet Page 381 Item 15 Chapter 8 Page 8-12 Salinas and Whale Rock Reservoirs For Salinas and Whale Rock Reservoirs the term “safe annual yield” is used to define the quantity of water which can be withdrawn every year, under critical drought conditions. The safe annual yield available from Salinas and Whale Rock Reservoirs is estimated by simulating the operation of these two water supply sources over a historical period to determine the maximum level of demand that could be met during the most severe drought for which records are available. The two reservoirs are operated in a coordinated manner to maximize the available water from these sources. Salinas Reservoir fills and spills every two to three years due to its larger drainage area and more favorable runoff characteristics, yet has higher evaporation rates. Whale Rock Reservoir fills much less frequently. The combined yield from the two reservoirs can be maximized by utilizing water from Salinas as the City’s primary source, and using Whale Rock as a backup source during periods when Salinas is below minimum pool or unable to meet all of the demand. This approach increases the long-term water supply from these two sources. Safe annual yield analyses of water supply sources are based on rainfall, evaporation, and stream flow experienced during a historical period. The City’s safe annual yield analysis utilizes data from 1943 through 1991 including drought periods in 1946-51, 1959-61, 1976-77, and 1986-91. In 1988, the City contracted with the engineering firm of Leedshill-Herkenhoff, Inc., to prepare a detailed analysis of the City's water supplies and create a computer model to determine safe annual yield, based on coordinated operation of the two reservoirs. The report Coordinated Operations Study for Salinas and Whale Rock Reservoirs was completed in 1989. Key assumptions used in the 1988 model were that the "controlling drought period" was from 1946 to 1951 and that the City only used Whale Rock Reservoir when Salinas was below minimum pool or could not meet the City’s monthly demand. The study also assumed a minimum pool at Salinas and Whale Rock of 400 and 500 acre-feet respectively. The minimum pool at each lake is the amount of water that must be left in the lake for fishery and habitat resources. The current minimum pool established for each lake is 2,000 acre feet. The study estimated the City’s total safe annual yield from the two reservoirs to be 9,080 acre-feet per year. This amount was never adopted by Council since the study period was only to 1988 and the City was then in a drought period of unknown length. In 1991, staff updated the computer model to examine the impact of the 1986-1991 drought on safe annual yield and revise the assumptions on the amount of water used from Whale Rock Reservoir each year to more accurately reflect the way the City actually used that resource. The analysis determined that the 1986-91 drought was the critical drought of record for the two reservoirs. These revised assumptions resulted in a reduction in the safe annual yield estimate. The City maintains an Excel‐based model that estimates a safe annual yield based on historical climatic conditions and reservoir operations. The model uses the historical record of inflow, evaporation, precipitation, and downstream releases. To determine safe annual yield, the model then calculates the maximum amount that could be withdrawn each year without drawing the reservoir below its minimum pool constraint. Salinas Reservoir and Whale Rock Reservoir are located in different climate regions and have differing characteristics. Whale Rock Reservoir has a larger storage volume than Salinas, but it has a smaller watershed to provide natural recharge. Salinas Reservoir receives more runoff each year, but experiences higher temperatures and higher evaporation rates, and spills more frequently than Whale Rock Reservoir. To maximize the available supply from the two reservoirs, the City has operational strategies that recognize these differences. In general, the strategies involve withdrawing water from Salinas Reservoir when it is available and using Whale Rock Reservoir as‐needed to supplement the supply from Salinas. The City’s safe annual yield model of the two reservoirs was first developed in 1988. At that time, the critical drought period that controlled the safe annual yield was the 1946‐1951 drought. In 1991, the model was updated to incorporate the hydrologic conditions experienced during the 1986‐1991 drought. That drought was the most Packet Page 382 Item 15 Water and Wastewater Element Page 8-13 severe in the historical record to that point and became the new controlling condition for estimating safe annual yield. The City estimated the combined SAY from the two reservoirs as 6,940 acre‐feet per year (AFY). This estimate included the anticipated loss of storage volume due to siltation through the year 2010. In 2017, the City contracted with Water Systems Consulting, Inc. (WSC) to update the safe annual yield model. The update verified historical data, validated and documented calculations used in the model, incorporated data from the 2006‐2016 drought, and reviewed various climate change scenarios. Based on the 2017 update, tThe City’s safe annual yield, from the coordinated operation of Salinas and Whale Rock Reservoirs is 6,940 4,910 acre feet. This includes reductions due to siltation at both reservoirs to the year 20102017. Future losses due to siltation are addressed in Section 4.0 of this Element. Packet Page 383 Item 15 Chapter 8 Page 8-14 Nacimiento Reservoir The “dependable yield” from Nacimiento Reservoir is the contractual amount of water that the City has rights to from Nacimiento Reservoir. This amount is 5,482 acre-feet per year. The San Luis Obispo County Flood Control and Water Conservation District (County) has held an entitlement to 17,500 acre-feet of water from Nacimiento Lake since 1959. Since that time, a small portion has been dedicated for uses in the immediate areas around the Lake. Several times in the past, the County has evaluated opportunities for utilizing water to meet identified needs throughout the County. In the early 1990’s, the City was facing dire drought conditions and dwindling water supplies and was considering building an emergency water supply project on its own to provide a new water source. The City requested the County allocate 3,000 acre feet to the City on a permanent basis. While the County denied this request, this triggered the initiation of investigations on a county-wide basis for separate contracts for use of the available water from Nacimiento Reservoir. Engineering studies, environmental impact reports, dependable yield analyses, and preliminary design reports were undertaken in an effort to meet the various water needs within the County. In 2004, the County requested interested agencies to approve the contractual agreements for participation in the Nacimiento Project. The four initial project participants included the cities of San Luis Obispo and Paso Robles, the Atascadero Mutual Water Company, and the Templeton Community Services District. All of these agencies executed participation agreements with San Luis Obispo County for entitlements of water which totaled 9,630 acre feet. Since 2004, the County Service Area 10A, which serves the southern portion of Cayucos, has become a project participant (25 AFY). In addition, 1,750 acre-feet was reserved for uses around the lake. On June 29, 2004, the City Council authorized participation in the Nacimiento Water Project for the delivery of 3,380 acre-feet of water. This amount is considered to be the City’s dependable yield from this water source and will be utilized to meet existing and future water demands based on analyses prepared during the Nacimiento Project planning process (“Nacimiento Reservoir Reliability as a Water Source for San Luis Obispo County”, Boyle Engineering Corporation, October 2002). In March 2016, the City Council approved the addition of 2,102 acre feet per year from Nacimiento Reservoir. At that time, the City’s primary water supply and reliability reserve were fully satisfied by other existing water supplies, so the additional 2,102 acre feet was included in to the City’s secondary water supply. Secondary water supplies are used to meet short-term losses to the City’s water supply due to events such as drought, pipeline maintenance, and repair of infrastructure. With uncertainty of future climatic conditions, regulation and aging infrastructure, the additional supply of Nacimiento water to the City’s portfolio reduces pressure on use of water supplies in the Whale Rock and Salinas reservoirs. It would serve to extend these stored supplies during critical water shortage periods. With the reduction of safe annual yield identified in the update of the model in 2018, the additional 2,102 acre feet from the full allocation of Nacimiento Reservoir will be utilized to meet the City’s water demands over time, as buildout of the General Plan is realized, consistent with the City’s Water Supply Accounting & Demand Projection policies in Section A 5.2. Recycled Water With an average influent flow of just under 3.30 2.74 million gallons per day in 20152017, the City’s Water Resource Recovery Facility produces over 3,000 acre-feet of disinfected tertiary-treated effluent per year. A minimum of 1,807 acre-feet is discharged to San Luis Obispo Creek annually to provide satisfactory habitat and flow volume for fish species (steelhead trout) within the San Luis Obispo Creek environment. The balance makes up the City’s available recycled water resource (See Table 2) which is available for approved uses including: ◼ Landscape and golf course irrigation ◼ Wetlands, wildlife habitat, stream augmentation ◼ Groundwater recharge Packet Page 384 Item 15 Water and Wastewater Element Page 8-15 ◼ Toilet flushing ◼ Vehicle washing ◼ Surface irrigation of orchards and vineyards ◼ Landscape impoundments ◼ Industrial cooling processes ◼ Food crop irrigation Annual Recycled Water Availability based on Influent Flow Average Influent Flow to WRRF WRF (MGD) Treated Effluent Produced (AFY) Minimum Average Daily Creek Release (MGD)1 Minimum Annual Creek Release (AFY) Average Daily Recycled Water Availability (MGD) Annual Recycled Water Availability (AFY) 1 20157 Average Flow 2.743.30 3,0663,696 1.6129 1,807 1.131.69 1,2591,889 Future Flow at WRRF Design Capacity 5.4 5,966 1.6129 1,807 3.79 4,159 NOTES: 1. 2015 2017 data was derived from WRRF average monthly influent data. Future annual recycled water volume is based on the design capacity of the WRRF of 5.4 mgd in the design phase in 2018 2016. Source: City of San Luis Obispo Utilities Department, 2016. The design phase for the upgrade of the WRRF continues in 2018 is underway in 2016 to accommodate General Plan buildout and maximize recycled water production. The upgrade will enable the City to consider potable reuse in the future. Additional background information on recycled water, as well as applicable goals, policies and programs, is provided in subsection A 7.0 of the Water Section and subsection B 3.0 of the Wastewater Management Section. A 3.1 Goal Manage the City’s water resources to meet the current and future water demand requirements associated with development envisioned by the General Plan. A 3.2 Policies A 3.2.1 Basis for Planning The City will plan for future development through the Land Use Element taking into consideration available water resources from the Salinas, Whale Rock, and Nacimiento Reservoirs and recycled water. A 3.2.2 Coordinated Operation The City will coordinate the operation of the Salinas, Whale Rock, and Nacimiento Reservoirs to maximize available water resources. A 3.2.3 Groundwater The City will continue to use groundwater to enhance the resiliency of the City’s water supply portfolio. for domestic purposes when available. Packet Page 385 Item 15 Chapter 8 Page 8-16 A 3.3 Programs A 3.3.1 An update on the water resource availability will be presented to the City Council as part of an annual Water Resources Status Report. A 3.3.2 The City will update the safe annual yield computer model for Salinas and Whale Rock Reservoirs following severe drought periods to determine if any changes are necessary to the safe annual yield amount. A 3.3.3 The City will monitor ongoing research on the potential for long-term impacts associated with climate change to water supply resources. Packet Page 386 Item 15 Water and Wastewater Element Page 8-17 SILTATION A 4.0 Background Siltation at reservoirs is a natural occurrence that can reduce the storage capacity over long periods. The reduction of available storage reduces the safe annual yield of the reservoirs. Siltation at reservoirs varies depending on factors such as rainfall intensity and watershed management practices. Numerous studies and reports addressing siltation at Salinas Reservoir have been completed. The Whale Rock Reservoir Bathymetric Survey and Volumetric Study was completed in May 2013. During the drought period ending in 1991, water at Salinas Reservoir fell to record low levels. Recognizing the unique opportunity presented by the low water level, the County of San Luis Obispo contracted with a local engineering consultant to provide an aerial survey of the lake and prepare revised storage capacity information. Early studies indicated average annual siltation rates from 23 acre-feet per year to 34 acre-feet per year. The study done by the U.S. Geological Survey in 1975 estimated that the siltation rate was approximately 82 acre-feet per year. The 1990 analysis conducted by the County of San Luis Obispo indicates that the siltation rate is on the order of 40 acre-feet per year. It should be noted that siltation impacts to the reservoirs are a long-term impact to the resources and should be considered in the City’s long range plans for adequate water resources. At an annual siltation rate of 40 AFY at each reservoir, it would take approximately 530 years to fill up the Salinas Reservoir and 960 years to fill up Whale Rock Reservoir. Siltation does not occur uniformly over time but the situation should continue to be monitored into the future. The purpose of the 2013 bathymetric survey and volumetric study at Whale Rock Reservoir was to determine the level of siltation that has occurred in the reservoir since the dam’s completion in 1961. The study concluded that sedimentation has reduced reservoir capacity by 4.2 percent in 52 years as shown in Table 3 and 4. Whale Rock Reservoir Capacity Change 1961 Capacity: 40,662 Acre-Ft @ Spillway ELV 216.0 NGVD29 2013 Capacity: 38,967 Acre-Ft @ Spillway ELV 218.3 NAVD88 Capacity Loss due to Siltation: 1,695 Acre-Ft Difference in Years: 52 Years Siltation Rate: 32.6 Acre-Ft/Year Percentage Capacity Loss: 4.2% Source: Whale Rock Reservoir Bathymetric Survey and Volumetric Study, 2013. Packet Page 387 Item 15 Chapter 8 Page 8-18 Reservoir Storage Capacity Agency % Entitlement Original Storage Capacity (AF) Revised Storage Capacity (AF) Difference (AF) Revised Total Available Water * (AF) City of San Luis Obispo 55.05 22,384 21,451 933 20,350 Cal Poly 33.71 13,707 13,136 571 12,462 CMC 11.24 4,570 4,380 191 4,155 Total 100 % 40,662 AF 38,967 AF 1,695 AF 36,967 AF Source: Whale Rock Reservoir Bathymetric Survey and Volumetric Study, 2013. *Total Available Water is agency share of reservoir storage capacity minus agency proportional share of minimum pool requirements. The safe annual yield from the two reservoirs will be continually reduced as a result of siltation. The City’s computer model is used to calculate the reduction in safe annual yield from Salinas and Whale Rock reservoirs to- date, which is reflected in the safe annual yield amount in Section A 3.0 which accounts for estimated siltation losses to 20107. Since the storage capacity for Salinas Reservoir was last estimated in 1990, the annual loss of 40 acre-feet per year can be applied from that date. The estimated loss in storage capacity for Salinas Reservoir between 1990 and 2010 is 800 acre-feet. The loss at Whale Rock Reservoir between 1961 and 2013 was 1,695 acre-feet. Based on these reduced storage capacities, the computer model was used to estimate the safe annual yield from the combined operation of the two reservoirs. With an estimated loss of 40 acre-feet per year at each reservoir, the total safe annual yield from the two reservoirs is estimated to be reduced by 10 acre-feet per year. Packet Page 388 Item 15 Water and Wastewater Element Page 8-19 A 4.1 Goals A 4.1.1 Accurately account for siltation in the Salinas and Whale Rock Reservoirs. A 4.1.2 Recognize and account for future projected water losses due to siltation at Salinas and Whale Rock Reservoirs. A 4.2 Policies A 4.2.2 Accounting for Future Siltation The City will account for estimated safe annual yield losses at Salinas and Whale Rock Reservoirs through 2060 by deducting 500 acre feet of available water supplies to account for these future losses. The siltation rate will be updated as information becomes available from subsequent siltation analyses. A 4.3 Programs A 4.3.1 Work cooperatively with other agencies and/or watershed management groups, including the County of San Luis Obispo and Resource Conservation Districts, implementing best management practices (BMPs) to reduce erosion and subsequent siltation consistent with other City watershed management goals and water quality objectives included in the Conservation and Open Space Element. A 4.3.2 Continue public education and outreach to property owners in the watersheds above the reservoirs to encourage practices that reduce erosion and other practices that could impact siltation or water quality in the reservoirs. A 4.3.3 Consider periodic siltation studies at each reservoir to evaluate and document the impacts associated with siltation. A 4.3.4 An update on siltation at the City’s reservoirs will be provided to the City Council as part of the annual Water Resources Status Report. Packet Page 389 Item 15 Chapter 8 Page 8-20 WATER SUPPLY ACCOUNTING AND DEMAND PROJECTION A 5.0 Background The City is located in a Mediterranean climate that is prone to drought. As a result, the City has in the past experienced serious water supply deficits. In 1991, during an extended drought, the community was within 18 months of running out of water in Salinas and Whale Rock Reservoirs. In fact, Salinas Reservoir was below minimum pool and was not available to the City toward the end of this drought period. In 1996, citizens voted to incorporate Section 909 into the City’s Charter identifying a water reliability reserve. In an effort to reduce the impacts of drought on the community, the City Council has enacted numerous water policies to strengthen its water resources portfolio. The City will account for water supplies necessary to meet three specific community needs: 1) primary water supply, 2) reliability reserve, and 3) secondary water supply. 1. Primary water supply is the amount needed to meet the General Plan build-out of the City. The quantity of water needed for the City’s primary water supply needs is calculated using a ten-year average of actual per-capita water use and the City’s build-out population. 2. Reliability reserve provides a buffer for future unforeseen or unpredictable long-term impacts to the City’s available water resources such as loss of yield from an existing water supply source and impacts due to climate change. 3. Secondary water supply is the amount needed to meet peak water demand periods or short-term loss of City water supply sources. The City’s secondary water supply is identified as any water supply resources above those needed to meet the primary water supply and reliability reserve. In order to support growth projections and other goals of the General Plan, the City must project how much water will be needed to serve residents, businesses, and other users. This can be done by using different methods, all of which involve assumptions about future usage rates and the numbers and types of users expected in the future. There will always be some uncertainty in estimating development capacity (such as the number of dwellings or residents) as well as the usage per customer type (such as acre-feet per dwelling or per resident). The estimating method must use reasonable assumptions, based on experience, to assure an adequate level of water supply while not overstating demands. To project the City’s primary water supply and reliability reserve into the future the City will use 117 gpcd which is the maximum allowed per capita water use under Senate Bill X7-7. This water use rate is used with the City’s build-out population and current population to project the primary water supply and reliability reserve. The City’s remaining water resources make up secondary water supply. Packet Page 390 Item 15 Water and Wastewater Element Page 8-21 Water Supply Accounting Proposed Water Supply Accounting and Demand Projections (City Buildout Population * 117 gpcd * 365 days) / 325,851 gallons = Primary Water Supply + 20% of Current City Population * 117 gpcd * 365 days) / 325,851 gallons = Reliability Reserve + All Remaining Supplies Secondary Water Supply = Annual Availability Notes: 1. The “Total” water supply is identified in Table 1. It includes safe annual yield from Salinas and Whale Rock Reservoirs, contractual limit from Nacimiento Reservoir, annual recycled water usage for 20157, and deducts siltation losses at Salinas and Whale Rock Reservoirs to 2060. 2. Primary Water Supply is calculated using the City’s buildout population and the water use rate of 117 gallons per capita per day per policy A 5.2.2. 3. Reliability Reserve was calculated using the City’s population and 20 percent of the water use rate of 117 gallons per capita per day, per policy A 5.2.3. 4. Secondary Water Supply includes the remaining water resources, identified in Table 1, per policy A 5.2.4. Source: City of San Luis Obispo Utilities Department, 20168. A 5.1 Goals A 5.1.1 Identify and meet the City’s multi- source water supply needs. A 5.1.2 Accurately forecast future water demand for planning purposes. A 5.2 Policies A 5.2.1 Water Use Rate The City will utilize the per capita water use rate allowed by Senate Bill X7-7 for projecting future potable water demand established as 117 gallons per capita per day. A 5.2.2 Primary Water Supply The City shall establish the amount of water needed for General Plan build-out using the water use rate established in Policy A 5.2.1 multiplied by the projected General Plan build-out population identified in the Land Use Element. A 5.2.3 Reliability Reserve The City will establish a reliability reserve that is 20-percent of the water use rate established in Policy A 5.2.1 multiplied by the current population. The water supply designated as the reliability reserve may not be used to serve future development. A 5.2.4 Secondary Water Supply After accounting for primary water supply and a reliability reserve, any remaining water supplies shall be utilized for meeting short-term water supply shortages or peak water demands. Packet Page 391 Item 15 Chapter 8 Page 8-22 A 5.2.5 Paying for Water for New Development New development shall pay its proportionate or “fair share” for water supplies, expanded treatment and distribution system capacity and upgrades. A 5.3 Programs A 5.3.1 An update on water supply accounting and demand projections will be presented to the City Council as part of the annual Water Resources Status Report. A 5.3.2 The City will conduct periodic updates to water development impact fees. A 5.3.3 Prepare and update the Urban Water Management Plan every five years as required by the State. A 5.3.4 Analyze and prepare water supply assessments for large new developments in accordance with State law. A 5.3.5 Analyze the impacts of water efficiency programs and services to reduce overall water demand within the City. Packet Page 392 Item 15 Water and Wastewater Element Page 8-23 WATER CONSERVATION A 6.0 Background Water conservation was first referenced as a part of the City's water management policy in 1973. In 1985, the City adopted the Annual Water Operational Plan policy establishing water conservation as a means of extending water supplies during projected water shortages. Since 1985, many technological and philosophical changes have occurred which are proving water conservation to be both a short-term corrective measure for immediate water supply shortages and a long-term solution to water supply reliability. Because of the experience during the drought of 1986 to 1991, the City developed a Water Shortage Contingency Plan (Plan) to deal with immediate, short-term water shortages. The Plan is designed to require mandatory actions when there is a projected five year supply of water remaining from available water resources. The Plan uses water allocations based on customer classification as a means to decrease water use during critical water shortages. For instance, residential customers are given a water allocation based on the average water use for multi- or single-family households having three occupants. If there are more residents, additional water may be allocated with sufficient proof. Commercial customers are allocated water either by a reduction based on their historical water use or by the average water use by business type. The Plan is also a required component of the City’s Urban Water Management Plan which is updated every five years per State Water Code. The Water Conservation Act of 2009, Senate Bill X7-7 (SB X7-7), was incorporated into the California Water Code in 2009. The legislation directs urban water suppliers to adopt one of four methods to determine their urban water use target. The method selected by the City corresponds to the Central Coast hydrologic region. The Central Coast region’s 2020 target of 117 gallons per capita per day is the lowest in the state. In terms of water supply reliability, the City was one of the original signatories to the Memorandum of Understanding Regarding Urban Water Conservation (MOU) and has actively pursued the implementation of the water efficiency best management practices (BMPs) prescribed in the MOU. The MOU was a negotiated agreement between water purveyors statewide and environmental organizations on how best to utilize the State’s water resources by incorporating conservation into their water management practices. The BMPs have been developed over the years by water purveyors, environmental groups, and industry stakeholders. They represent the best available water conservation practices based on research and experience and include: ◼ Water conservation pricing and rate structures ◼ Technical assistance for water customers ◼ Incentives for indoor and outdoor water saving technologies ◼ Public information and outreach ◼ Water audits Additionally, the City has adopted the Ahwahnee Principles as part of the General Plan’s Conservation and Open Space Element (COSE). The water conservation components of the principles align with both the indoor and outdoor water conservation BMPs. In the future, the The City will reevaluate and continues to update its water conservation efforts in response to changing water demand, supplies, technology, and economic conditions. A 6.1 Goal The efficient use of the City’s water resources to protect both short- and long-term water supply reliability. Packet Page 393 Item 15 Chapter 8 Page 8-24 A 6.2 Policies A 6.2.1 Long-term Water Efficiency The City will implement water-efficiency programs which are consistent with accepted best management practices and comply with any State-mandated water use reductions. A 6.2.2 Short-term Water Shortages Mandatory water conservation measures as described in the City’s Water Shortage Contingency Plan, included in the City’s Urban Water Management Plan, may be implemented when the City's water supplies are projected to last five years or less. A 6.3 Programs A 6.3.1 Work cooperatively with other San Luis Obispo County water agencies to identify cooperative water efficiency measures that can be implemented in each jurisdiction. A 6.3.2 Participate in State and regional water conservation efforts and research and development opportunities. A 6.3.3 Implement the Water Shortage Contingency Plan, included in the City’s Urban Water Management Plan, as required. Packet Page 394 Item 15 Water and Wastewater Element Page 8-25 RECYCLED WATER A 7.0 Background Water recycling was envisioned as part of the City’s overall water supply strategy since the 1980’s. In 1994, the City completed a major capital improvement project at the Water Resource Recovery Facility that included addition of tertiary treatment and other unit processes required to meet stringent effluent quality limits intended to protect and enhance the receiving waters of San Luis Obispo Creek. While a municipal water reuse program was envisioned at the time of this upgrade, the City did not receive regulatory approvals for diversion of treated effluent for off-site landscape irrigation and other approved uses until 2002. The City’s 2004 Water Reuse Master Plan identifies the areas of the City to be served with recycled water (See Figure 3, Water Reuse Master Plan Area and Distribution System), as well as potential customers and anticipated future recycled water demand. Recycled water deliveries began in October 2006. Additional sites continue to be connected to the recycled water distribution system through retrofits of existing irrigation systems as well as the irrigation systems associated with new development in the area. In the future, recycled water will be delivered to development in the Airport, Margarita, and Orcutt specific plan areas and is being considered with development proposals for the Avila Ranch, San Luis Ranch, and Madonna on LOVR specific plans. Recycled water will be used for the irrigation of parks, streetscape, and median landscaping, common area (homeowners association) landscaping, and landscaping in commercial centers, industrial areas, and business parks. The City’s 2017 Recycled Water Master Plan identifies the areas of the City to be served with recycled water (See Figure 2, Recycled Water Master Plan Area and Distribution System), as well as potential customers and anticipated future recycled water demand. Packet Page 395 Item 15 Chapter 8 Page 8-26 Figure 2 Recycled Water Water Reuse Master Plan Area and Distribution System Packet Page 396 Item 15 Water and Wastewater Element Page 8-27 A 7.1 Goals A 7.1.1 Maximize recycled water use for all approved purposes. A 7.2 Policies A 7.2.1 Recycled Water Supply The City will make available recycled water to substitute for existing potable water uses as allowed by law and to supply new non-potable uses. A 7.2.2 Accounting for Recycled Water The City will add total recycled water usage from the prior year to the City’s water resource availability on an annual basis. A 7.3 Programs A 7.3.1 Expand the recycled water distribution system to serve customers in the Recycled WaterWater Reuse Master Plan area. A 7.3.2 Review development proposals for projects within the Recycled WaterWater Reuse Master Plan area to ensure recycled water is utilized for appropriate uses. A 7.3.3 Annual recycled water usage will be presented to the City Council as part of the annual Water Resources Status Report and will be added to the City’s water resource availability per policy A 3.2.1. A 7.3.4 Consider the potential to deliver available recycled water supplies to customers outside the city limits, including analysis of policy issues, technical concerns, and cost recovery, provided it is found to be consistent with the General Plan. A 7.3.5 Continue to explore potable reuse consistent with statewide regulations. Packet Page 397 Item 15 Chapter 8 Page 8-28 B. WASTEWATER MANAGEMENT INTRODUCTION B 1.0 Background The Wastewater Management section was first incorporated into the Water and Wastewater Management Element of the General Plan in 1987. The City owns and operates, under regulatory permits, a wastewater collection system and a water resource recovery facility that produces recycled water. In order to adequately maintain the systems, meet the needs of the community, and meet increasingly stringent regulations the City implements infrastructure replacement and upgrade projects at the Water Resource Recovery Facility and throughout the wastewater collection system. It also has a pretreatment program. The 20168 revisions include updated data related to the City’s wastewater flows. B 1.1 Purpose This section of the Water and Wastewater Management Element establishes goals, policies, and programs to ensure provision of adequate sanitary sewer infrastructure and wastewater treatment capacity to accommodate existing and future development in order to protect public health, human safety, and the environment. Packet Page 398 Item 15 Water and Wastewater Element Page 8-29 WASTEWATER SERVICE B 2.0 Background The City is the sole provider of wastewater service within the City. The service provides collection and treatment for residential, commercial, and industrial users on properties within the city limits. In 20180, the number of service connections is estimated to be 12,000 14,400. Through agreement, the City also provides service to the San Luis Obispo campus of California Polytechnic State University (Cal Poly) and the County of San Luis Obispo Airport. The collection system is primarily a gravity flow system. Where gravity flow is not feasible due to the topography, wastewater lift stations and pressurized force mains are used to move wastewater to the City’s Water Resource Recovery Facility on Prado Road. Sewer pipelines measure from six inches to 48 inches in diameter. The City completed a two-year Flow Monitoring and Inflow/Infiltration Study in 2012. Using data from this Study, pipeline condition data from its asset management database, and growth assumption from the General Plan’s Land Use (2014) and Housing (2015) elements, the City completed hydraulic modeling and its Wastewater Collection System Infrastructure Renewal Strategy in 2016. The Renewal Strategy identified a prioritized list of capital projects to address the City’s aging infrastructure. The Renewal Strategy also identified capacity constrained areas during wet weather events due to inflow and infiltration, shown in Figure 3. Inflow and infiltration is discussed further in section B.4.0. The Water Resource Recovery Facility is designed for an average dry-weather flow of 5.1 million gallons per day (mgd). Instantaneous peak flows exceeding 20 mgd are not uncommon during storm events due to infiltration and inflow into the wastewater collection system, discussed further in subsection B 4.0. As the City grows to its build-out population outlined in the Land Use Element, the average dry-weather flow of wastewater is expected to reach 5.4 mgd. In 20186, designmaster planning for the expansion of the Water Resource Recovery Facility to accommodate General Plan buildout is underway. When the WRRF is expanded in the future it will have a treatment capacity of 5.4 mgd. B 2.1 Goal Adequate wastewater collection and treatment service to meet the long-term needs of the City. B 2.2 Policies B 2.2.1 Service Outside the City Limits To receive City wastewater service, property must be annexed to the City. The City Council may authorize exceptions to this policy provided it is found to be consistent with the General Plan. B 2.2.2 Service Capacity The City's wastewater collection system and Water Resource Recovery Facility shall support population and related service demands consistent with the General Plan. B 2.2.3 Wastewater Service for New Development New development shall pay its proportionate or “fair share” of expanded treatment and collection system capacity and upgrades. New development will only be permitted if adequate capacity is available within the wastewater collection system and/or Water Resource Recovery Facility. B 2.2.4 City as Exclusive Provider The City will be the only provider of public wastewater treatment within the City (but on-site pretreatment of wastewater to meet City Standards may be required). Packet Page 399 Item 15 Chapter 8 Page 8-30 Figure 3 Capacity Constrained Areas B 2.3 Programs B 2.3.1 Expand capacity in the City’s collection system and Water Resource Recovery Facility in support of projected wastewater flows. B 2.3.2 Evaluate the potential for the wastewater flows of a proposed project to exceed the capacity of collection and treatment systems. B 2.3.3 The City will conduct periodic updates to its wastewater development impact fees. Packet Page 400 Item 15 Water and Wastewater Element Page 8-31 WASTEWATER TREATMENT B 3.0 Background The Water Resource Recovery Facility processes wastewater in accordance with standards set by the State's Regional Water Quality Control Board (RWQCB). The RWQCB issues a permit to the City under the National Pollutant Discharge Elimination System (NPDES), setting standards for the discharge of treated wastewater. The standards are to protect beneficial uses of the receiving water (San Luis Obispo Creek) including recreation, agricultural supply, and fish and wildlife habitat. The Water Resource Recovery Facility removes solids, reduces the amount of nutrients, and eliminates bacteria in the treated wastewater which is then discharged into San Luis Obispo Creek. Solids are separated and treated, to create biosolids. Biosolids are beneficially reused as compost, and/or soil amendment. As described in Section A 7.0, the Water Resource Recovery Facility has been producing tertiary treated recycled water for delivery to water customers in the City since 2006. The design phase for the upgrade of the Water Resource Recovery Facility is underway in 2016 with completion of construction anticipated in 20202. The upgrade will enable the City to consider potable reuse, part of a One Water concept, in the future. B 3.1 Goals B 3.1.1 Wastewater treatment that meets or exceeds regulatory requirements and ensures the protection of public health and the environment. B 3.1.2 Maximize recycled water production. B 3.2 Policies B 3.2.1 Treating Wastewater The City will treat all wastewater in compliance with approved discharge permits. B 3.2.2 Recycled Water Production The City will produce high-quality, dependable recycled water, suitable for a wide range of uses. B 3.2.3 Beneficial Use The City will pursue treatment and disposal methods which provide for further beneficial use of wastewater and biosolids. B 3.3 Programs B 3.3.1 Prepare and implement Water Resource Recovery Facility master plan consistent with regulatory requirements. B 3.3.2 Work cooperatively on regional water quality issues. Packet Page 401 Item 15 Chapter 8 Page 8-32 COLLECTION SYSTEM B 4.0 Background The first sanitary sewers were built in San Luis Obispo in the late 1800s. Today portions of the collection system are over 100 years old. It includes nine lift stations, approximately 135 miles of gravity sewer line and three miles of force main. Approximately 2,900 manholes provide access to the collection system. The sewer lines are made of a variety of materials, including terra cotta salt-glazed pipe, vitrified clay pipe (VCP), polyvinyl chloride (PVC), and asbestos concrete. The City’s wastewater collection system requires maintenance to ensure uninterrupted flows and minimize sanitary sewer overflows. Area and preventive maintenance programs are regularly evaluated to ensure their effectiveness. The City also utilizes video inspection to prioritize problem areas for replacement, maintenance, assess overall mainline conditions, conduct inflow and infiltration evaluations, and assess new construction. The City issues discharge permits to and conducts inspections of facilities that have the potential to discharge pollutants in concentrations that could pose a threat to worker safety, the wastewater collection system, and/or the Water Resource Recovery Facility. Through its Pretreatment Program, the City also implements programs to target constituents of special concern. Like most cities in California, San Luis Obispo has separate sewer and storm drain systems. This means each system of pipes in the ground is designed to accommodate either sewer or stormwater flows. One set of pipes takes sanitary waste to the Water Resource Recovery Facility while a second set carries stormwater runoff from street drains directly into bioswales, detention basins, or creeks. The City’s wastewater collection system and the Water Resource Recovery Facility WRF have long experienced problems associated with wet weather infiltration and inflow (I & I). Inflow is water that enters the collection system at points of direct connection (non-soil) such as around manhole covers or through illegal connection of roof drains, downspouts, or landscape drains. Infiltration is water that flows through the ground into the collection system usually through cracks in public sewer mains and/or private sewer laterals (See Figure 5). I & I overloads the collection system during heavy rains and can result in sanitary sewer overflows. During periods of significant rain events, the Water Resource Recovery Facility can become hydraulically overwhelmed (as mentioned previously, instantaneous peak flows exceeding 20 mgd are not uncommon during storm events) increasing the chance of effluent violations and the release of partially treated wastewater to San Luis Obispo Creek. Table 6 includes data on the highest average daily flows experienced at the Water Resource Recovery Facility during rain events over a nine-year period. Packet Page 402 Item 15 Water and Wastewater Element Page 8-33 Highest Average Daily Flows to the Water Resource Recovery Reclamation Facility, 2006 to 20157 Average Daily Flows 1 Year 19.75 mgd 2006 (April) 7.24 mgd 2007(December) 9.83 mgd 2008 (January) 11.67 mgd 2009 (October) 13.51 mgd 2010 (December) 13.23 mgd 2011 (March 7.10 mgd 2012 (January) 5.17 mgd 2013 (January) 5.12 mgd 2014 (March) 5.24 mgd 2015 (February) 5.63 mgd 2016 (March) 9.00 mgd 2017 (February) Note: 1. Instantaneous peak flows are higher. 2. August dry weather flow to the Water Resource Recovery Facility was 1.91 mgd in 2016 and 2.80 mgd in 2017. WRF from 2001 to 2009 ranged from 3.44 mgd to 4.23 mgd. Source: City of San Luis Obispo Utilities Department, 20108. Figure 34 Inflow and Infiltration Illustrated Packet Page 403 Item 15 Chapter 8 Page 8-34 B 4.1 Goal Collect and convey all wastewater under safe and sanitary conditions to the Water Resource Recovery Facility. B 4.2 Policies B 4.2.1 Collection System Maintenance The City will manage the collection system to ensure that the proper level of maintenance is provided and that the flow in sanitary sewers does not exceed design capacity. B 4.2.2 Infiltration and Inflow The City will minimize stormwater and groundwater infiltration and inflow into the sewer system. B 4.3 Programs B 4.3.1 Investigate and carry out cost-effective methods for reducing infiltration and inflow into the wastewater collection system. B 4.3.2 Develop education and outreach materials to increase public awareness of problems associated with excessive infiltration and inflow (I & I) into the wastewater collection system and the City’s efforts to reduce I & I. B 4.3.3 Support the retrofit of commercial and residential sewer laterals to reduce infiltration and inflow into the wastewater collection system. B 4.3.4 Update the Sewer System Management Plan to maintain its applicability. B 4.3.5 Maintain, and revise as necessary, master plans for the extension of wastewater services to developing areas of the City and to ensure orderly replacement of aged infrastructure. B 4.3.6 Review development proposals to ensure new development does not adversely impact existing infrastructure and that necessary infrastructure will be in place to support the development. B 4.3.7 Provide a Pretreatment Program pursuant to the Clean Water Act to ensure that all discharge requirements are met. Packet Page 404 Item 15 RESOLUTION NO. (2018 Series) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA APPROVING A NEGATIVE DECLARATION (EID 1455-2018) AND AMENDMENTS TO THE WATER AND WASTEWATER MANAGEMENT ELEMENT OF THE GENERAL PLAN (GENP-1454-2018) WHEREAS, State law requires cities and counties to adopt a General Plan; and WHEREAS, the Water and Wastewater Management Element of the City of San Luis Obispo City General Plan was last updated in 2016 in compliance with State law ; and WHEREAS, a periodic update of the Water and Wastewater Management Element is necessary for the information to remain current; and WHEREAS, the City of San Luis Obispo has prepared the 2018 Water and Wastewater Management Element to address a reduction is safe annual yield from Whale Rock and Salinas reservoirs and update other background information in the Element; and WHEREAS, the 2018 Water and Wastewater Management Element was evaluated in accordance with the California Environmental Quality Act pursuant to an initial environmental study (EID 1455-2018) and the Community Development Director has prepared a negative declaration of environmental impact; and WHEREAS, the Planning Commission, held a hearing on April 11, 2018 and adopted a resolution recommended the City Council approve a Negative Declaration (EID 1455-2018) and adopt the proposed amendments to the General Plan, Water and Wastewater Management Element (GPA 1454-2018). NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. Finding. The City Council, after considering the 2018 Water and Wastewater Management Element, environmental determination, staff recommendations, public testimony and correspondence, and reports thereon, finds that proposed modifications to the Water and Wastewater Management Element is consistent with the General Plan. SECTION 2. Environmental Determination. In compliance with the California Environmental Quality Act (CEQA), staff prepared an Initial Study, Negative Declaration (EID 1455-2018) to analyze the potential environmental impacts of the proposed amendment to the WWME. The City Council hereby approves the Negative Declaration and directs staff to file a Notice of Determination. Packet Page 405 Item 15 Resolution No. _______________ (2018 Series) Page 2 SECTION 3. Approval of the 2018 Water and Wastewater Management Element. The City Council hereby adopts the amendments to the 2018 Water and Wastewater Management Element, as set forth in Exhibit A attached hereto and incorporated herein by this reference. Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ da y of _____________________, 2018. ____________________________________ Mayor Heidi Harmon ATTEST: ____________________________________ Teresa Purrington, City Clerk APPROVED AS TO FORM: _____________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this ______ day of ______________, _________. ____________________________________ Teresa Purrington, City Clerk Packet Page 406 Item 15 Meeting Date: 5/15/2018 FROM: Michael Codron, Community Development Director Prepared By: Rachel Cohen, Associate Planner Jon Ansolabehere, Assistant City Attorney SUBJECT: REVIEW OF AN APPEAL (FILED BY NEW HERITAGE FAMILY LIMITED PARTNERSHIP) OF THE ARCHITECTURAL REVIEW COMMISSION’S CONDITION APPROVAL NO. 31.D OF RESOLUTION NO. ARC 1002-18 RECOMMENDATION Staff report to be provided under separate cover and distributed as agenda correspondence. Packet Page 407 Item 16 Page intentionally left blank. Packet Page 408 Item 16 Meeting Date: 5/15/2018 FROM: Michael Codron, Community Development Director Prepared By: Martin Van Gundy, Interim Chief Building Official SUBJECT: AN ORDINANCE AMENDING CHAPTER 1.24 (ADMINISTRATIVE CODE ENFORCEMENT PROCEDURES) OF TITLE 1 TO THE SAN LUIS OBISPO MUNICIPAL CODE; AND A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AMENDING THE AMOUNT OF ADMINISTRATIVE FINES PAYABLE UNDER CERTAIN CITATIONS. RECOMMENDATION 1.Introduce an Ordinance entitled “An Ordinance of the City Council of the City of San Luis Obispo, California, amending Chapter 1.24 (Administrative Code Enforcement Procedures) of Title 1 to the San Luis Obispo Municipal Code”; and 2.Adopt a Resolution entitled “A Resolution of the City Council of the City of San Luis Obispo, California, amending the amount of administrative fines payable under certain citations” to adopt and implement the recommended amended administrative fine schedule for violations of Titles 8, 15, and 17 (except Chapter 17.17). DISCUSSION On November 21, 2017, the City Council established code enforcement priorities and provided staff with additional direction regarding implement ation of the priorit ies. The direction received included the development of additional enforcement tools, such as recording notices of violations, and increased fines to help deter illegal construction. Fine Increase for Building Code Violations As discussed, an effective tool for deterring violations and facilitating compliance is increased fines. The recommended fine increase for building code violations include: Current Administrative Fine New Administrative Fine 1st Citation $100 $100 2nd Citation $200 $500 3rd Citation, each thereafter $500 $1000 Packet Page 409 Item 17 1. The proposed resolution will increase the administrative fine for second and third citations issued for a given code violation, the fine amount for the first citation will remain. The base fine amounts for the second and third citation increases from two hundred dollars to five hundred dollars and five hundred dollars to one thousa nd dollars respectively. The increased fine amounts are limited to administrative citations issued under Municipal Code Title 8 Health and Safety, Title 15 Buildings and Construction, and Title 17 Zoning with the exception of Chapter 17.17 which contains t he Property Maintenance Standards used for the Neighborhood Services Enforcement such as visible storage, front yard parking, and other neighborhood preservation regulations. 2. Late Payment Charge. Staff is recommending a revised late payment fee structure which is consistent with industry standards. Municipal Code section 1.24.070(B)(1) has been added to include a late payment fee to recover costs associate with collection and help encourage timely payments. The revised ordinance proposes establishing a late payment fee through assessing interest accrued at a rate of 8% per month until paid. 3. Repeat Violation by Same Owner. Staff is recommending add ing Municipal Code section 1.24.070(A)(1) to discourage the same violation occurring on multiple properties by the same violator. The proposed ordinance allows staff to initiate the higher fines for repeat violations by the same person. For example, if an individual continues to work without the required permits multiple times over a 12 -month period and on separate properties each time, they would be subject to increased penalties. With this example, the recommended actions would allow staff to issue a citation for the second violation occurring on a separate property at the increased fine amount allowed for the s econd citation. As recommended at the November 21, 2017 City Council meeting, Neighborhood Services violations will not be increased as compliance is normally attained through current fine amounts, proactive patrol, and outreach and educational efforts. Recording the Notice of Violation The City currently has a notice of violation process, however , this process does not include recording the notice on the property’s title. This enforcement mechanism will be used for continued property related violations such as building code violations. This process is not applicable to “one time” or other transitory type of violations such as those contained in Title 8 of the City’s Municipal Code. The proposed changes will not affect the current notice of violation - a violation will continue to receive a notice of correction (courtesy notice) before receiving any notices of violation or citations. Packet Page 410 Item 17 The notice of violation will be recorded with the County Recorder’s Office which serves as notice to any person performing due diligence prior to purchasing a property. During the purchase of a property, most financing agencies (banks, credit unions, savings and loans, etc.) require that these types of notices be removed from title before proceeding with the financing. This has the added benefit of compelling compliance at a time when the property owner is motivated and can provide sufficient resources to correct any outstanding violations. It also removes the argument that the property owner did not know about a code violation if they went forward with a property purchase despite the notice. With the notice recorded and appropriate due diligence performed, a new owner has knowledge of existing code violations and is free to assume that obligation if they choose, or to require the violation to be resolved prior to purchase of the property. There may be circumstances where the seller will not resolve the violations, but the buyer is willing to assume the liability voluntarily. In these cases, the City will work with the new property owner to accomplish compliance through an abatement agreement. This can be helpful in a case where the violations are significant and require a large investment in construction costs to resolve. The new owner purchases the property knowing the scope of violations to be resolved and is typically better able to reach resolution in a timely fashion. Further, the new owner may be in a better position to finance the improvements with the purchase of the property. This process has been used by the County for many years. Once the violations on the notice of violation have been corrected, the property owner requests a reinspection of the property to determine compliance. Once each violation has been remedied and all the fees/fines are paid, a notice of complia nce will be subsequently recorded on the property. It is the notice of compliance which will cancel the recorded notice of violation. CONCURRENCES Community Development Department continues to coordinate the daily code enforcement activities with severa l City Departments to accomplish its work program. Fire, Police, Public Works, Utilities, Administration concur with the information included in this report. Staff worked closely with the City Attorney’s Office to develop the previously approved code enforcement priorities and the recommendations presented in this report. ENVIRONMENTAL REVIEW The proposed action is a policy decision regarding implementation of existing regulations. This action does not change existing regulations, nor does it introduce the potential for any new environmental impacts. Additionally, the enforcement of regulations is categorically exempt from environmental review pursuant to Section 15321(a)(2) of the CEQA Guidelines, enforcement action by regulatory agencies. Packet Page 411 Item 17 FISCAL IMPACT The proposed revisions will have a positive fiscal impact because they will provide increased revenue to help offset costs associated with code enforcement. Ideally, each of the complaints received by the City would result in voluntary compliance, there fore not initiating any of the proposed fees and/or fines. However, in practice fees and fines are necessary to motivate compliance. In the event a violation persists and the proposed fee is applied to a violation, the amount of revenue collected will greatly depend on the scope and severity of violations, and these will vary from month to month and year to year . The procedural impacts for staff will be minimal. ALTERNATIVES 1. Adopt the Resolution to implement the recommended fine amounts and the Ordinance amendments establishing additional code enforcement tools. This is in accordance with the November 21, 2017 City Council direction. This provides a more effective utilization of the revised code enforcement priorities established at the November 21, 2017 City Council Meeting. 2. Do not adopt and implement the recommended fine schedule and Ordinance amendments. This is not recommended as it is not consistent with previous City Council direction and limits code enforcement effectiveness. Attachments: a - Code Enforcement Ordinance b - Draft Resolution Increasing Administrative fines (Chapters 8, 15, & 17 except Chapter 17.17) c - Draft Resolution Exhibit A, Administrative Guidelines for Chapter 1.24 Packet Page 412 Item 17 O ______ ORDINANCE NO. _____ (2018 SERIES) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AMENDING CHAPTER 1.24 (ADMINISTRATIVE CODE ENFORCEMENT PROCEDURES) OF TITLE 1 TO THE SAN LUIS OBISPO MUNICIPAL CODE NOW, THEREFORE, BE IT ORDAINED by the Council of the City of San Luis Obispo as follows: SECTION 1. Section 1.24.050, subsection E of the San Luis Obispo Municipal Code is hereby amended as follows: E. Prior and Repeat Violations. The city may take into consideration the fact that a person has been previously issued an uncorrected notice of violation and/or a sustained administrative citation when the city is determining whether to accept an application or to grant any permit, license or any similar type of land use approval for that person and such notice of violation and/or administrative citation may be used as evidence that the person has committed acts that are not compatible with the health, safety, and general welfare of other persons and businesse s within the city. Repeated violations by the same person or the same property of the same code provision within any twelve-month period may result in the issuance of an administrative citation(s) imposing additional or escalated administrative fines without a notice of violation and/or notice to correct preceding the citation. SECTION 2. Section 1.24.070, subsection C is hereby added to the San Luis Obispo Municipal Code as follows: C. Late Payment Charges. Any person who fails to pay to the City any fine imposed pursuant to this chapter on or before the date that fine is due also shall be liable for interest accrued at a rate of 8% per month until paid. SECTION 3. Sections 1.24.160 through 1.24.190 are hereby added to the San Luis Obispo Municipal Code as follows: 1.24.160 Issuance and recordation of notices of violation. This chapter shall govern the procedures relating to the recordation of administrative notices of violation. 1.24.170 Procedures for recordation. A. Once the director has issued a notice of violation to a responsible person and the property remains in violation after the deadline established in the notice of violation, the director may record a notice of violation with the Reco rder’s Office of San Luis Obispo County. Packet Page 413 Item 17 Ordinance No. _____ (2018 Series) Page 2 O ______ B. Before recordation, the director shall provide to the responsible person a letter of intent to record a notice of violation unless a written appeal is filed pursuant to the procedures outlined in this chapter. The letter shall be served pursuant to any of the methods of service set forth in Chapter 1.24 of this code. The director may also send a courtesy copy of the letter to any financial institution with a legal interest in the real property. C. If a written appeal is not filed pursuant to the procedures set forth in this chapter, the director may record the notice of violation if the violation has not been corrected. D. The recorded notice of violation shall include the name of the property owner, the property’s assessor’s parcel number, the parcel’s legal description, and a copy of the notice of violation. 1.24.200 Service of recorded notice of violation. A copy of the recorded notice of violation shall be served on the responsible person and property owner pursuant to any of the methods of service set forth in Chapter 1.24 of this code. 1.24.180 Notice of compliance – Procedures. A. After a notice of violation has been recorded, and after the violations listed on the notice of violation have been corrected, the responsible person or prop erty owner may file with the director a written request for a reinspection of the property to determine compliance with the municipal code and applicable state codes listed in the recorded notice of violation, and for the issuance of a notice of compliance on a form provided by the city. B. Once the director receives this request, the director shall reinspect the property to determine whether the violations listed in the notice of violation have been corrected and whether all necessary permits have been issued and final inspections have been performed. C. The director shall serve a notice of compliance to the responsible person or property owner in the manner provided in Chapter 1.24 of this code if the director determines that: 1. All violations listed in the recorded notice of violation have been corrected; and 2. All necessary permits have been issued and finalized; and 3. All civil penalties assessed against the property have been paid; and Packet Page 414 Item 17 Ordinance No. _____ (2018 Series) Page 3 O ______ 4. The party requesting the notice of compliance has paid an administrative fee in an amount set by resolution of the City Council to reimburse the city for all administrative costs related to the request for a notice of compliance. Upon finding that the conditions above have been satisfied, the director shall record the notice of compliance with the County Recorder’s Office. The recordation of the notice of compliance shall have the effect of canceling the recorded notice of violation. D. If the director denies a request to issue a notice of compliance, the director shall serve the responsible person or property owner with a written explanation setting forth the reasons for the denial. The written explanation shall be served by any of the methods of service listed in Chapter 1.24 of this code. E. The director’s decision denying a request to issue a notice of compliance shall be final and non-appealable. 1.24.190 Prohibition against issuance of permits. Subject to the exception set forth herein, the city may withhold any permit for any alteration, repair or construction pertaining to any existing or new structures or signs on a property where a notice of violation is recorded, or any permits pertaining to the use and development of the real property or the structure. The city may thereafter withhold permits until a notice of compliance has been issued by the director. The city may not withhold permits which are necessary to obtain a notice of compliance or which are necessary to correct serious health and safety violations. SECTION 4. Severability. If any subdivision, paragraph, sentence, clause, or phrase of this Ordinance is, for any reason, held to be invalid or unenforceable by a court of competent jurisdiction, such invalidity or unenforceability shall not affect the validity or enforcement of the remaining portions of this Ordinance, or any other provisions of the city’s rules and regulations. It is the city’s express intent that each remaining portion would have been adopted irrespective of the fact that any one or more subdivisions, paragraphs, sentences, clauses, or phrases be declared invalid or unenforceable. Packet Page 415 Item 17 Ordinance No. _____ (2018 Series) Page 4 O ______ SECTION 5. A summary of this ordinance, together with the names of Council members voting for and against, shall be published at least five (5) days prior to its final passage, in The Tribune, a newspaper published and circulated in this City. This ordinance shall go into effect at the expiration of thirty (30) days after its final passage. INTRODUCED on the 15th day of May 2018, AND FINALLY ADOPTED by the Council of the City of San Luis Obispo on the ____ day of ____, 2018, on the following vote: AYES: NOES: ABSENT: ____________________________________ Mayor Heidi Harmon ATTEST: ____________________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _____________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this ______ day of ______________, _________. ____________________________________ Teresa Purrington City Clerk Packet Page 416 Item 17 R ______ RESOLUTION NO. _____ (2018 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AMENDING THE AMOUNT OF ADMINISTRATIVE FINES PAYABLE UNDER CERTAIN CITATIONS. WHEREAS, on October 1, 2002, the City Council of the City of San Luis Obispo adopted Ordinance No. 1426, which added new Chapter 1.24 to Title One of the San Luis Obispo Municipal Code, entitled “Administrative Code Enforcement Procedures”, pertaining to the issuance of administrative citations for San Luis Obispo Municipal Code violations; and WHEREAS, California Government Code Section 53069.4 and San Luis Obispo Municipal Code Chapter 1.24 enables the City, acting as a charter city pursuant to Article XI, Sections 5 and 7 of the State Constitution, to impose and collect civil administrative fines in conjunction with the abatement of Municipal Code violations; and WHEREAS, September 17, 2002, the City Council of the City of San Luis Obispo adopted Resolution No. 9366, effective October 1, 2002, establishing a Fine Schedule setting forth amounts of administrative fines to be imposed pursuant to chapter 1.24 of the San Luis O bispo Municipal Code, and adopting Administrative Guidelines; and WHEREAS, the City Council desires to increase the fine schedule for certain violations that pertain to building, health and safety and specific zoning code violations NOW, THEREFORE, BE IT RESOLVED by the of the City of San Luis Obispo as follows: SECTION 1. Administrative Guidelines for Chapter 1.24 of the city of San Luis Obispo Municipal code dated updated April 2012, for reference attached hereto as Exhibit A SECTION 2. The Fine Schedule established by the City Council on September 17, 2002, by Resolution No. 9366, for administrative citations issued pursuant to Chapter 1.24 of the San Luis Obispo Municipal Code is hereby amended as follows: A. For the first violation of the San Luis Obispo Municipal Code, Chapter 8, Chapter 15, Chapter 17, excepting section 17.17, the administrative citation fine shall remain the same at the current sum of One Hundred Dollars ($100) for each such violation. B. For the second violat ion of the same Code sections occurring within twelve (12) months of the prior violations, the administrative fine shall be the sum of Five Hundred Dollars ($500). C. For the third violation, or additional violations thereafter, of the same Code sections occurring within twelve (12) months of the first violation, the administrative fine shall be the sum of One Thousand Dollars ($1000). Packet Page 417 Item 17 Resolution No. _____ (2018 Series) Page 2 R ______ Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _____________________ 2018. ____________________________________ Mayor Heidi Harmon ATTEST: ____________________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _____________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo , California, this ______ day of ______________, _________. ____________________________________ Teresa Purrington City Clerk Packet Page 418 Item 17 Packet Page 419 Item 17 Packet Page 420 Item 17 Packet Page 421 Item 17 Packet Page 422 Item 17 Meeting Date: 5/15/2018 FROM: Greg Hermann, Interim Deputy City Manager Prepared By: Ryan Betz, Interim Assistant to the City Manager Alex Ferreira, Budget Manager SUBJECT: REVIEW OF A BALLOT MEASURE AND DRAFT ORDINANCE REGARDING A CANNABIS BUSINESS TAX RECOMMENDATION Review and consider the following items and provide direction to staff. 1.Review proposed ballot measure for the upcoming November 2018 municipal election to establish a cannabis business tax; and 2.Review proposed amendments to Municipal Code adding Chapter 5.10 (Cannabis Business Tax) to Title 5 to be adopted only if the proposed ballot measure is approved by the voters in November, 2018. DISCUSSION Background On November 8, 2016, the voters of California passed Proposition 64, “Medicinal and Adult Use Cannabis Regulation and Safety Act”, which legalized the adult use of recreational cannabis. Proposition 64 was strongly supported by City voters (15,447 total yes votes or 67.52% of the ballots cast). On, March 14, 2017, the Council chose to maintain a prohibition on all commercial cannabis business activity until a comprehensive program could be developed. On May 1, 2018, the City Council introduced an ordinance creating “Chapter 9.10 - Cannabis Regulations” of the City’s Municipal Code, repealing the current ban on commercial cannabis business activity and establishing standards to protect public health and safety applying to personal cannabis cultivation, cannabis business operators and permitted cannabis business activities in the City. The ordinance also includes zoning amendments, to be codified as Chapter 17.99 of the Municipal Code, providing for land use regulation and permitting of cannabis uses. The Council also directed staff to return with additional implementing measures, including the criteria for the ranking of cannabis business operator applications, an overlay zone, a fee schedule for applications and annual licenses, and more information about a cannabis revenue measure. The ordinance includes a provision that no land use, operator permit, or commercial cannabis business operations shall be allowed in the City unless and until the voters approve a cannabis revenue measure. Staff has worked with HdL Companies (Consultant), a leader in providing local government agencies guidance and directio n on cannabis taxation, as well as legal counsel with expertise in the constitutional and statutory requirements governing cannabis tax measures, to develop draft Packet Page 423 Item 18 ballot language and an ordinance for a cannabis business tax to be brought to the voters in t he November 2018 General Election. If directed by Council to be placed on the ballot the proposed measure would allow the voters to decide if the City can tax commercial cannabis activities. Personal cannabis cultivation, as defined in Proposition 64, is exempt from a cannabis business tax. Cities that permit commercial cannabis activities, however, have the ability to tax all business areas connected to the industry. In order to obtain revenue from those activities, a tax must be approved by the majority of the voters and then adopted through an Ordinance by the City Council. The purpose of this study session is to present draft language for the cannabis business tax and review potential methods of taxation. Results from a recent statistical ly valid resident survey conducted in March 2018 showed that 68% of the survey participants would support a cannabis business tax measure. State Cannabis Excise & Cultivation Taxes Beginning January 1, 2018, under Prop. 64, the State applies two cannabis taxes: an excise tax that is imposed on the purchaser of cannabis and cannabis products and a cultivation tax. Specifically, the two cannabis taxes are: 1) A 15% excise tax on purchasers of cannabis and cannabis products. Retailers of cannabis and cannabis products are required to collect the 15% excise tax from the purchaser based on the average market price of any retail sale and pay it to their cannabis distributor. 2) A cultivation tax is imposed upon cannabis cultivators on all harvested cannabis that enters the commercial market. Cannabis cultivators are required to pay the cultivation tax to either their distributor or their manufacturer. The rates range from $1.29 per ounce of fresh cannabis plant to $9.25 per dry-weight ounce of cannabis flowers It should be not ed that sales of medicinal cannabis are exempt from State and local sales and use tax. General Purpose Tax vs. Special Purpose Tax A general-purpose tax is imposed to raise general-purpose revenues and the City Council has the authority to use these reve nues for any general purpose, such as projects, programs and staffing ; general purpose measures require a simple majority (50% + 1) approval of voters. These revenues would be deposited in the General Fund and then appropriated as part of the financial planning process. A special purpose tax is a tax imposed for a purpose specified by the measure itself, such as public safety, open space or transportation projects; special purpose measures require a 2/3 approval of voters. Special purpose revenues would be deposited in a separate fund to be used for a specific purpose. The proposed Cannabis Business Tax ballot measure is a general tax enacted solely for general governmental purposes of the City and not for specific purposes. Should the ballot measure be approved by the voters, the revenue would be placed in the City's general fund and be available for appropriation by the City Council for any city purpose. Packet Page 424 Item 18 General Purpose Tax Options The following are options for general purpose cannabis taxes that cities and counties in California have passed and their rate levels. The activities that could be subject to the tax include, but are not limited to, cultivating, distributing, manufacturing, testing, dispensing, and retailing of cannabis. The cities that have previously enacted tax measures or are in the process of placing a measure on the November ballot, have taken various approaches to the methodology that would be applied to the tax calculations. The two most common, gross receipts tax and cultivation tax are taxes imposed on cannabis businesses, not customers. Many cities have adopted a combination of these methods for cannabis tax activity. Gross Receipts Gross receipts, sometime s referred to as an excise tax, is a tax that is assessed at every st age of cannabis production within city limits, but generally not on the cultivation process. Most cities have adopted this methodology. Proposition 64 imposes a 15% excise tax on purchases of cannabis and cannabis products paid to the State. Many cities are also proposing or have passed gross receipt taxes on cannabis. Cities that currently have a gross receipts tax for medical cannabis businesses include Santa Cruz (7%), Palm Springs (10%), San Jose (10%), Sacramento (4%), Oakland (5%), and Grover Beach (5%). Grover Beach also has a gross receipt tax of 10% on non-medical commercial cannabis activities. In 2016, Santa Barbara voters passed a cannabis tax by 68%, at a rate of up to 20% of gross receipts for cannabis businesses. Based upon local government trends, staff is recommending the ballot language include a cap of 10% of gross receipts for retail cannabis businesses, and 6% for all other cannabis businesses. Should the ballot measure pass, the gross receipt tax would be lower for the first two years (beginning January 1, 2019) and incrementally increase to the capped amount on January 1, 2022. The City Council, however, would have the authority to lower the tax rates, or not increase them, should they determine that it is in the best interest of the businesses and the City. Cultivation Tax Cultivation tax is a tax based upon the size of the canopy or license issued by the State. Cities that have a cultivation tax include Greenfield, King City, Salinas, Desert Hot Springs, Adelanto, Marysville, Gonzales, California City and Grover Beach. Based upon local government trends and the analysis provided by the consultant, staff is recommending the ballot language include a cap of $10.00 per canopy square foot for cultivation, which would be adjusted annually for inflation. Should the ballot measure pass, the cultivation tax would be lower in the first year and incrementally increase to the capped amount on January 1, 2022. The City Council would have the authority to lower the tax rate or not increase them should they determine it is in the best interest of the businesses and the City. It should be noted that there is pending State legislation (AB 3157) to suspend state cultivation tax until June 2021 and reduce the State excise tax from 15% to 11% for the same period to enable the cannabis industry time to keep cannabis businesses competitive in the market . Packet Page 425 Item 18 Draft Ballot Measure Language & Cannabis Tax Ordinance Based upon the review of cities in California that have adopted or have recently placed cannabis business tax measures on the June 5, 2018 and November 6, 2018 ballots, staff is recommending ballot language (Attachment A) with a combination of a gross receipt and cultivation tax to be considered by the City Council: Shall the measure to maintain and improve essential City services, including without limitation: public safety; senior, youth and park services; and programs to retain and attract businesses and address homelessness, by imposing a cannabis business tax at yearly rates up to 10% of gross receipts for retail and businesses and up to $10.00 per square for cultivation, raising approximately $1,500,000 annually, until ended by voters, with all funds used locally, be adopted?” Should the ballot measure pass, the Cannabis Tax Ordinance (Attachment B) includes the definitions of cannabis activity, tax imposed, administration and payment procedures, etc. It also identifies that the City Council has the authority to repeal or amend the tax to a lesser amount. However, as required by Article XIII C of the California Constitution, voter approval is required for any amendment that would increase the capped rate of the cannabis tax. Though the ballot measure language identifies a not to exceed $10.00 per canopy square foot for cultivat ion, not to exceed 10% of gross receipts for retail and businesses, the initial tax is established at lower rates during the first two years after the adoption of the ordinance. Below is a summary of the recommended tax and the years in which they take effect. Cannabis Activity Annual Initial Rate Beginning January 1, 2019 Annual Initial Rate Beginning January 1, 2021 Annual Initial Rate Beginning January 1, 2022 Cultivation Square foot of canopy space in a facility $7.00 $10.00 $10.00 + CPI Gross Receipts For every person who engages in the operation of a testing laboratory 1% 1% 2.5% For every person who engages in the retail sales of cannabis as a retailer (dispensary) or non -store front retailer (delivery) or microbusiness (retail sales) 6% 6% 10% For every person who engages in a cannabis distribution business 2% 2% 3% For every person who engages in a cannabis manufacturing, processing, or microbusiness (non-retail), or any other type of cannabis business 2.5% 2.5% 6% Packet Page 426 Item 18 Other Policy Considerations Concentrates Cannabis products come in a variety of forms including concentrates. Cannabis products that come in concentrate forms are generally more potent than the others. For example, the potency range in cannabis flowers can be 10-25% Tetrahydrocannabinol (THC), while concentrates typically fall between 50%-80% THC levels. Cannabis concentrates can be a helpful option for customers who use cannabis for medical related pain-relief. Regulation of cannabis products, including concentrates, are overseen by the State’s Bureau of Medical Cannabis while THC levels for edibles are regulated under California Code of Regulations 40305. Though regulation of concentrated cannabis products is administered by the State, cities and counties can impose a hig her tax on cannabis concentrates. Based upon review of cities and counties throughout the State, and feedback from the consultants, staff is not recommending a higher tax specifically for cannabis concentrates. CONCURRENCES The Community Development Department and City Attorney’s office concur with the draft ballot measure and the draft ordinance on a Cannabis Business Tax. ENVIRONMENTAL REVIEW This project is exempted under the California Environmental Quality Act (CEQA). Until July 1, 2019, Business and Professions Code section 26055, subdivision (h), as amended by SB 94, provides that CEQA does not apply to the adoption of an ordinance, rule, or regulation by a local jurisdiction that requires discretionary review and approval of permits, licenses, or other authorizations to engage in commercial cannabis activity, so long as the discretionary review includes any applicable environmental review pursuant to CEQA. The proposed ordinance is subject to a statutory exemption from CEQA because the City req uires discretionary review and approval, including applicable environmental review pursuant to CEQA, of permits, licenses or other authorizations to engage in commercial cannabis activity. FISCAL IMPACT As legal cannabis sales and production is an emergin g industry, staff has worked with two different consultants, HdL and MuniServices, to develop an estimated amount of revenue to expect from a cannabis business tax. Optimistically, cannabis business activities would begin at the earliest in January 2019. However, it is expected to take some time for the City to establish its permitting and regulatory protocols, and for businesses to find appropriate properties and obtain the necessary permits to operate. As a result, tax revenues from Cannabis are anticipated to increase through the next several years as businesses mature. The annual projected revenue from cannabis related businesses is expected to increase over the next several years to an estimate of $1,500,000. Packet Page 427 Item 18 Cannabis tax revenue estimates have been included in the City’s Fiscal Health Response Plan presented to Council on April 17, 2018. The plan includes an estimate of $100,000 in FY 2018- 2019 in cannabis tax revenue. Should a cannabis tax not be authorized by the Council and subsequently approved by the voters than alternative revenue strategies would have to be pursued or staff would need to return to the City Council for further direction to adjust the components of the plan to balance future revenues and expenditures. ALTERNATIVE The City Council could choose not to direct staff to draft a ballot measure for the upcoming November 2018 municipal election to establish a cannabis business tax. However, staff does not recommend this alternative because projected revenue from the tax, is part of t he City’s Fiscal Health Response Plan. In addition, the City Council adopted an ordinance on cannabis operators’ permit and land use regulations with the stipulation that the ordinance would only go into effect if a ballot measure for cannabis was approved by the voters Attachments: a - Draft Cannabis Business Tax Resolution b - Draft Cannabis Tax Ordinance Packet Page 428 Item 18 RESOLUTION NO. _____ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA APPROVING BALLOT MEASURE TEXT TO BE SUBMITTED TO THE VOTERS OF THE CITY IMPOSING A CANNABIS BUSINESS TAX; REQUESTING THE ASSISTANCE OF THE COUNTY OF SAN LUIS OBISPO IN CONNECTION WITH THAT ELECTION; AND REQUESTING CONSOLIDATION OF THAT ELECTION WITH ANY OTHER ELECTION HELD ON THAT DATE WHEREAS, Sections 37101 and 37100.5 of the California Government Code authorize the City to levy a license tax, for revenue purposes, upon business transacted in the City; and WHEREAS, as a result of recent voter-approved changes to state law, there has been a very strong interest by cannabis businesses to open in the City; and WHEREAS, cannabis businesses are likely to create dema nds upon City services, and the City does not currently impose any taxes upon cannabis businesses, aside from generally applicable municipal taxes; WHEREAS, the City Council desires to seek to impose a supplemental license tax upon cannabis businesses, to be known as the “Cannabis Business Tax”; and WHEREAS, the Cannabis Business Tax cannot be imposed without voter approval; and WHEREAS, the City Council desires to submit a Cannabis Business Tax measure to the voters of the City at the General Municipal Election to be held on Tuesday, November 6, 2018, and to be consolidated with any other election to be held on that date; and WHEREAS, the proposed Cannabis Business Tax is more completely described in the ordinance attached hereto as Exhibit “A” and incorporated herein by reference (the “Tax Ordinance”). NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO AS FOLLOWS: Section 1. Recitals. The City Council hereby finds and determines that the foregoing recitals are true and correct. Section 2. Proposal. The City Council hereby proposes the Cannabis Business Tax. Section 3. Election. The City Council hereby calls a General Municipal Election for Tuesday November 6, 2018 (the “Election”) and orders, pursuant to Section 9222 of the Elections Code, that the Tax Ordinance be submitted to the voters at that election. Packet Page 429 Item 18 Section 4. Ballot Question. The question submitted by Section 3 of this Resolution shall appear on the ballot as follows: Shall the measure to maintain and improve essential City services, including without limitation: public safety; senior, youth and park services; and programs to retain and attract businesses and address homelessness, by imposing a cannabis business tax at yearly rates up to 10% of gross receipts for retail and businesses and up to $10.00 per square for cultivation, raising approximately $1,500,000 annually, until ended by voters, with all funds used locally, be adopted?” YES NO Section 5. Approval. Pursuant to Section 2(b) of Article XIII A of the Constitution, this measure requires approval by a majority of those casting ballots on the measure. Section 6. Consolidation. Pursuant Section 10400 et seq. of the Elections Code, the Board of Supervisors of San Luis Obispo County is requested to consolidate the Election with other elections held on the same day in the same territory or in the territory that is in part the same. Section 7. Canvass. The Board of Supervisors is authorized to canvass the returns of the Election pursuant to Section 10411 of the Elections Code. Section 8. Conduct of Election. Pursuant to Section 10002 of the Elections Code, the Board of Supervisors is requested to permit the County Clerk to render all services specified by Section 10418 of the Elections Code relating to the election, for which services the City agrees to reimburse the County, in accordance with current County pro -rations and allocation procedures. Section 9. Filing with County. The City Clerk shall file a certified copy of this Resolution with the County Clerk. Section 10. Analysis and Argument. The City Attorney shall prepare an impartial analysis of the measure. Any person or persons may file an argument either for or against the ballot measure. An argument for or against the measure shall not exceed 300 words in length. If more than one argument is submitted for the measure, or more than one argument against the measure, the City Clerk shall select the argument to be included with the ballot materials. Rebuttal arguments shall be permitted pursuant to applicable law. Section 11. Effective Date. This Resolution shall be effective immediately upon adoption. Packet Page 430 Item 18 APPROVED and ADOPTED this __the day of June, 2018. __________________________ XXX, Mayor ATTEST: _____________________________ City Clerk Packet Page 431 Item 18 Draft Cannabis Tax Ordinance Page 1 EXHIBIT A ORDINANCE NO. _____ AN ORDINANCE OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA ADDING CHAPTER 5.10 (CANNABIS BUSINESS TAX) TO TITLE 5 OF THE SAN LUIS OBISPO MUNICIPAL CODE THE PEOPLE OF THE CITY OF SAN LUIS OBISPO DO ORDAIN AS FOLLOWS: SECTION 1. CODE AMENDMENT. Chapter 5.10 of Title 5 of the San Luis Obispo Municipal Code to read as follows: CHAPTER 5.10 CANNABIS BUSINESS TAX Sections: 5.10.010 Title. 5.10.020 Authority and Purpose. 5.10.030 Intent. 5.10.040 Definitions. 5.10.040A Registration of Cannabis Business 5.10.050 Tax imposed. 5.10.060 Reporting and remittance of tax. 5.10.070 Payments and communications –timely remittance. 5.10.080 Payment – when taxes deemed delinquent. 5.10.090 Notice not required by City. 5.10.100 Penalties and interest. 5.10.110 Refunds and credits. 5.10.120 Refunds and procedures. 5.10.130 Personal cultivation not taxed. 5.10.140 Administration of the tax. 5.10.150 Appeal procedure. 5.10.160 Enforcement –action to collect. 5.10.170 Apportionment. 5.10.180 Constitutionality and legality. 5.10.190 Audit and examination of premises and records. 5.10.200 Ot her licenses, permits, taxes or charges. 5.10.210 Payment of tax does not authorize unlawful business. 5.10.220 Deficiency determinations. 5.10.230 Failure to report – nonpayment, fraud. 5.10.240 Tax assessment –notice requirements. 5.10.250 Tax assessment – hearing, application, and determination. Packet Page 432 Item 18 Draft Cannabis Tax Ordinance Page 2 5.10.260 Relief from taxes-disaster relief. 5.10.270 Conviction for violation – taxes not waived. 5.10.280 Violation deemed misdemeanor. 5.10.290 Severability. 5.10.300 Remedies cumulative. 5.10.310 Amendment or repeal. 5.10.010 Title. This ordinance shall be known as the Cannabis Business Tax Ordinance. 5.10.020 Authority and Purpose. The purpose of this Ordinance is to impose a tax, for revenue purposes, pursuant to section 203 of the City charter and sections 37101 and 37100.5 of the California Government Code, upon persons who engage in cannabis business in the City. The Cannabis Business Tax is a general tax enacted solely to raise revenue for general governmental purposes of the City and not for regulation. All of the proceeds from the tax imposed by this Chapter shall be placed in the City's general fund and be available for a ny lawful municipal purpose in the discretion of the City. 5.10.030 Intent. The intent of this Ordinance is to levy a tax on all Cannabis Businesses that operate in the City, regardless of whether such business would have been legal at the time this Or dinance was adopted. Nothing in this Ordinance shall be interpreted to authorize or permit any business activity that would not otherwise be legal or permissible under laws applicable to the activity at the time the activity is undertaken. 5.10.040 Definitions. The following words and phrases shall have the meanings set forth below when used in this Chapter: A. “Business” shall include all activities engaged in or caused to be engaged in within the City, including any commercial or industrial enterprise, trade, profession, occupation, vocation, calling, or livelihood, whether or not carried on for gain or profit, but shall not include the services rendered by an employee to his or her employer. B. “Cannabis” means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufactur e, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. “Cannabis” also means cannabis as defined by Section 11018 of the California Health and Safety Code, by Section 26001, subdivision (f) of the Business and Professions Code, and by other State law. Packet Page 433 Item 18 Draft Cannabis Tax Ordinance Page 3 C. “Cannabis product” means raw cannabis that has undergone a process whereby the raw agricultural product has been transformed into a concentrate, an edible product, or a topical product. “Cannabis product” also means marijuana products as defined by Section 11018.1 of the California Health and Safety Code and by other State law. D. “Canopy” means all areas occupied by any portion of a cannabis plant whether contiguous or noncontiguous on any one site. When plants occupy multiple horizontal planes (as when p lants are placed on shelving above other plants) each plane shall be counted as a separate canopy area. E. “Cannabis business” means any business activity involving cannabis, including but not limited to cultivating, transporting, distributing, manufact uring, compounding, converting, processing, preparing, storing, packaging, delivering, testing, dispensing, retailing and wholesaling of cannabis, of cannabis products or of ancillary products and accessories, whether or not carried on for gain or profit , whether for medical or recreational use, and whether or not such business is licensed by the State. F. “Cannabis business tax” or “business tax,” means the tax due pursuant to this Chapter for engaging in cannabis business in the City. FF. “City Manager” means the City Manager of the City under section 703 of the charter or his or her designee under section 1.08.070 of this Code. G. “Commercial cannabis cultivation” means cultivation in the course of conducting a cannabis business. Commercial cannabis cu ltivation does not include personal medical cannabis cultivation, or cultivation for personal recreational use as authorized by the Medicinal and Adult - Use Cannabis Regulation and Safety Act (MAUCRSA) for which the individual receives no compensation whatsoever. H. “City permit” means a permit issued by the City to a person to authorize that person to operate or engage in a cannabis business. I. “Cultivation” means any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis and includes, but is not limited to, the operation of a nursery. J. “Delivery” means the transfer for any form of compensation of cannabis or cannabis products to a customer or caregiver at a location that is not a dispensary. K. “Dispensary” means a place at which cannabis, cannabis products, or accessories for the use of cannabis or cannabis products are offered, either individually or in combination, for retail sale, including an establishment that engages in delivery, whether or not from a fixed place of business. L. “Distributor” means a person engaged in procuring cannabis and/or cannabis products for sale to a dispensary or other point of retail sale. “Distribution” means engaging in that conduct. Packet Page 434 Item 18 Draft Cannabis Tax Ordinance Page 4 M. “Employee” means each and every person engaged in the operation or conduct of any business, whether as owner, member of the owner's family, partner, associate, agent, manager or solicitor, and each and every other person employed or working in such business for a wage, salary, commission, barter or any other form of compensation. N. “Engaged in business as a cannabis business” means the commencing, conducting, operating, managing or carrying on of a cannabis business, whether done as owner, or by means of an officer, agent, manager, employee, or otherwise, whether operating from a fixed location in the City or coming into the City from an outside location to engage in such activities. A person shall be deemed engaged in business within the City if: 1. Such person or person’s emplo yee maintains a fixed place of business within the City for the benefit or partial benefit of such person; 2. Such person or person’s employee owns or leases real property within the City for business purposes; 3. Such person or person’s employee regular ly maintains a stock of tangible personal property in the City for sale in the ordinary course of business; 4. Such person or person’s employee regularly conducts solicitation of business within the City; or 5. Such person or person’s employee performs work or renders services in the City. The foregoing specified activities shall not be a limitation on the meaning of “engaged in business.” O. “Evidence of doing business” means evidence such as, without limitation, use of signs, circulars, cards or any o ther advertising media, including the use of internet or telephone solicitation, or representation to a government agency or to the public that such person is engaged in a cannabis business in the City. P. “Calendar year” means January 1 through December 31 of the following calendar year. Q. “Gross Receipts,” except as otherwise specifically provided, means, whether designated a sales price, royalty, rent, commission, dividend, or other designation, the total amount (including all receipts, cash, credits and property of any kind or nature) received or payable for sales of goods, wares or merchandise or for the performance of any act or service of any nature for which a charge is made or credit allowed (whether such service, act or employment is done as pa rt of or in connection with the sale of goods, wares, merchandise or not), without any deduction therefrom on account of the cost of the property sold, the cost of materials used, labor or service costs, interest paid or payable, losses or any other expense whatsoever. However, the following shall be excluded from the definition of Gross Receipts: Packet Page 435 Item 18 Draft Cannabis Tax Ordinance Page 5 1. Cash discounts where allowed and taken on sales; 2. Any tax required by law to be included in or added to the purchase price and collected from the consumer or purchaser; 3. Such part of the sale price of any property returned by purchasers to the seller as refunded by the seller by way of cash or credit allowances or return of refundable deposits previously included in gross receipts; 4. Receipts derived from the occasional sale of used, obsolete or surplus trade fixtures, machinery or other equipment used by the taxpayer in the regular course of the taxpayer's business; 5. Cash value of sales, trades or transactions between departments or units of the same business; 6. Whenever there are included within the gross receipts amounts which reflect sales for which credit is extended and such amount proved uncollectible in a subsequent year, those amounts may be excluded from the gross receipts in the year they prove to be uncollectible; provided, however, if the whole or portion of such amounts excluded as uncollectible are subsequently collected they shall be included in the amount of gross receipts for the period when they are recovered; 7. Receipts of refundable deposits, except that such deposits when forfeited and taken into income of the business shall not be excluded when in excess of one dollar; 8. Amounts collected for others where the business is acting as an agent or trustee and to the extent that such amounts are paid to those for whom collected. These agents or trustees must provide the finance department with the names and the addresses of the others and the amounts paid to them. This exclusion shall not apply to any fees, percentages, or other payments retained by the agent or trustees. 9. Retail sales of t -shirts, sweaters, hats, stickers, key chains, bags, books, posters, rolling papers, cannabis accessories such pipes, pipe screen, vape pen batteries (without cannabis) or other personal tang ible property which the Tax Administrator has excluded in writing by issuing an administrative ruling per Section 5.10.140 shall not be subject to the cannabis business tax under this chapter. However, any retail sales not subject to this Chapter as a resu lt of the administrative ruling shall be subject to the appropriate business tax under Chapter 5.01 or any other Chapter or Title as determined by the Tax Administrator. R. “Manufacturer” means a person who engages in the production, preparation, propagation, or compounding of cannabis or cannabis products either directly or indirectly or by extraction methods, or independently by means of chemical synthesis, or by a combinat ion of extraction Packet Page 436 Item 18 Draft Cannabis Tax Ordinance Page 6 and chemical synthesis. S. “Nursery” means a facility or part of a facility that is used only for producing clones, immature plants, seeds, and other agricultural products used specifically for the planting, propagation, and cultivation of cannabis. T. “Person” means an individual, firm, partnership, joint venture, association, collective, corporation, limited liability company, estate, trust, business trust, receiver, syndicate, or any other group or combination acting as a unit, whether organized as a nonprofit or for-profit entity, and includes the plural as well as the singular number. U. “Sale” means and includes any sale, exchange, or barter. V. “State” means the State of California. W. “Tax Administrator” means the Finance Director of the City of San Luis Obispo or his or her designee. X. “Testing Laboratory” means a cannabis business that (i) offers or performs tests of cannabis or cannabis products, (ii) offers no service other than such tests, (iii) sells no products, excepting only testing supplies and materials, (iv) is accredited by an accrediting body that is independent from all other persons involved in the cannabis industry in the state and (v) is licensed by the Bureau of Cannabis Control. 5.10.040A Registration of Cannabis Business. A. All persons engaging in a cannabis business, whether an existing, newly-established or acquired business, shall register with the Tax Administrator’s office by the later of: 1. 30 days after commencing operation or 2. January 1, 2019 and shall annually renew such registration on or before the anniversary of the initial registration for that business. B. Registrants shall furnish to the Tax Administrator a statement sworn under penalty of per jury, upon a form provided by the Tax Administrator, setting forth: 1. Every name under which the business engages in commercial cannabis activity in the City; 2. The names and addresses of every person who is an owner, principal or manager of the business; 3. The nature or kind of all business activity to be conducted; 4. The place or places, whether or not in the City, where such business is to be conducted; and 5. Any further information which the Tax Administrator may require to administer the tax under this Chapter. Packet Page 437 Item 18 Draft Cannabis Tax Ordinance Page 7 C. Registrants shall pay an annual registration fee in an amount established from time to time by resolution of the City to recover the City’s costs to implement the registration requirement of this section, and the other provisions of this chapter other than the duty to pay tax when due. As a regulatory fee, such fee shall be limited to the City’s reasonable costs for those activities. 5.10.50 Tax imposed. A. Beginning January 1, 2019, there is imposed upon each person who is engaged in business as a cannabis business a cannabis business tax whether the business has been issued a permit to operate lawfully in the City or is operating unlawfully. B. The initial rate of the cannabis business tax shall be as follows, unless adjusted: 1. For every person who is engaged in commercial cannabis cultivation in the City: a. Seven dollars ($7.00) annually per square foot of canopy space in a facility. For purposes of this chapter, the square feet of canopy space for a business shall be rebuttably presumed to be the maximum square footage of canopy allowed by the business’s City permit for commercial cannabis cultivation, or, in the absence of a City permit, the square footage shall be the maximum square footage of canopy for commercial cannabis cultivation allowed by the business’ state license. Should a City permit be issued to a business which cultivates only for certain months of the year, the City shall prorate the tax as to s ufficiently reflect the period in which cultivation is occurring at the business. In no case shall canopy square footage which is authorized by the City commercial cannabis permit but not utilized for cultivation be deducted for the purpose of determining the tax for cultivation, unless the Tax Administrator is informed in writing and authorizes such reduction for the purpose of relief from the tax prior to the period for which the space will not be used, that such space will not be used. 2. For every person who engages in the operation of a testing laboratory: one percent (1%) of gross receipts. 3. For every person who engages in the retail sales of cannabis as a retailer (dispensary) or non-store front retailer (delivery) or microbusiness (retail sales): Six percent (6%) of gross receipts. 4. For every person who engages in a cannabis distribution business: two percent (2%) of gross receipts. 5. For every person who engages in a cannabis manufacturing, processing, or microbusiness (non-retail), or any other type of cannabis business not described in Section (B) (1), (2), (3) or (4): Two and half percent (2.5%) of gross receipts. C. The City Council may, by resolution or ordinance, adjust the rate of the cannabis business tax. However, in no event may the City Council set any adjusted rate that exceeds the maximum Packet Page 438 Item 18 Draft Cannabis Tax Ordinance Page 8 rate calculated pursuant to Subdivision (D) of this Section for the date on which the adjusted rate will commence. D. The maximum rate shall be calculated as follows: 1. For every person who is engaged in commercial cannabis cultivation in the City: a. Through January 1, 2021, the maximum rate shall be: i. Ten dollars ($10.00) annually per square foot of canopy space in a facility. b. On January 1, 2022 and on each January 1 thereafter, the maximum annual tax rate per square foot of each type of canopy space shall increase by the percentage change between January of the calendar year prior to such increase and January of the calendar year of the increase in the Consumer Price Index (“CPI”) for all urban consumers in the Los Angeles-Long Beach-Anaheim area as published by the United States Government Bureau of Labor Statistics. However, no CPI adjustment resulting in a decrease of any tax imposed by this subsection shall be made. 2. For every person who engages in the operation of a testing laboratory, the maximum tax rate shall not exceed two and a half percent (2.5%) of gross receipts. 3. For every person who engages in the retail sales of cannabis as a retailer (dispensary) or non-store front retailer (delivery business), or microbusiness (retail sales activity) the maximum tax rate shall not exceed ten percent (10%) of gross receipts. 4. Fo r every person who engages in a cannabis distribution business, the maximum tax rate shall not exceed three percent (3%) of gross receipts. 5. For every person who engages in a cannabis manufacturing, processing, or microbusiness (non-retail activity) or any other type of cannabis business not described in Section (D) (1), (2), (3) or (4), the maximum tax rate shall not exceed four percent (4%) of gross receipts. 5.10.060 Reporting and remittance of tax. A. The cannabis business tax imposed by this Chapter shall be paid, in arrears, on a monthly basis. For commercial cannabis cultivation, the tax due for each month shall be based on the square footage of the business’s canopy space during the month and the rate shall be 12% of the applicable annual rate. For all other cannabis businesses activities, the tax due for each month shall be based on the gross receipts for the month. Packet Page 439 Item 18 Draft Cannabis Tax Ordinance Page 9 B. Each person owing cannabis business tax for a month shall, no later than the last day of the following month, file with the tax administrator a statement of the tax owed for that month and the basis for calculating that tax. The Tax Administrator may require that the statement be submitted on a form prescribed by the Tax Administrator. The tax for each month shall be due and payable on that same date as the statement for the month is due. C. Upon cessation of a cannabis business, tax statements and payments shall be immediately due for all months up to the month during which cessation occurred. D. The Tax Administrator may, at his or her discretion, establish shorter report and payment periods for any taxpayer as the Tax Administrator deems necessary to ensure collection of the tax. The Tax Administrator may also require that a deposit, to be applied against the taxes for a month, be made by a taxpayer at the beginning of that month. In no event shall the deposit required by the Tax Administrator exceed the tax amount he or she projects will be owed by the taxpayer for the month. The Tax Administrator may require that a taxpayer make payments via a cashier’s check, money order, wire transfer, or similar instrument. 5.10.070 Payments and communications – timely remittance. Whenever any payment, statement, report, request or other communication is due, it must be received by the Tax Administrator on or before the final due date. A postmark will not be accepted as timely remittance. If the due date would fall on a Saturday, Sunday or a holiday, the due date shall be the next regular bu siness day on which the City is open to the public. 5.10.080 Payment - when taxes deemed delinquent. Unless otherwise specifically provided under other provisions of this Chapter, the taxes required to be paid pursuant to this Chapter shall be deemed delinquent if not received by the Tax Administrator on or before the due date as specified in Sections 5.10.060 and 5.10.070. 5.10.090 Notice not required by the City. Failure of the Tax Administrator to send a notice or bill shall not affect the validity of any tax or penalty due under the provisions of this Chapter. 5.10.100 Penalties and interest. A. Any person who fails or refuses to pay any cannabis business tax required to be paid pursuant to this Chapter on or before the due date shall pay penalties and interest as follows: 1. A penalty equal to ten percent (10%) of the amount of the tax, in addit ion to the amount of the tax, plus interest on the unpaid tax calculated from the due date of the tax at the rate of one percent (1.0%) per month. 2. If the tax remains unpaid for a period exceeding one calendar month beyond the due date, an additional penalty equal to twenty-five percent (25%) of the amount Packet Page 440 Item 18 Draft Cannabis Tax Ordinance Page 10 of the tax, plus interest at the rate of one percent (1.0%) per month on the unpaid tax and on the unpaid penalties. 3. Interest shall be applied at the rate of one percent (1.0%) per month on the first day of the month for the full month and will continue to accrue monthly on the tax and penalty until the balance is paid in full. B. Whenever a check or electronic payment is submitted in payment of a cannabis business tax and the payment is subsequently returned unpaid by the bank for any reason, the taxpayer will be liable for the tax amount due plus any fees, penalties and interest as provided for in this Section, and any other amount allowed under state law. 5.10.110 Refunds and credits. A. No refund shall be made of any tax collected pursuant to this Chapter, except as provided in Section 5.10.120. B. No refund of any tax collected pursuant to this Chapter shall be made because of the discontinuation, dissolution, or other termination of a business. 5.10.120 Refunds and procedures. A. Whenever the amount of any cannabis business tax, penalty or interest has been overpaid, paid more than once, or has been erroneously collected or received by the City under this Chapter, it may be refunded to the cla imant who paid the tax provided that a written claim for refund is filed with the Tax Administrator within one (1) year of the date the tax was originally due and payable. B. The Tax Administrator, his or her designee or any other City officer charged with the administration of this Chapter shall have the right to examine and audit all the books and business records of the claimant in order to determine the eligibility of the claimant to the claimed refund. No claim for refund shall be allowed if the claimant refuses to allow such examination of claimant's books and business records after request by the Tax Administrator to do so. C. In the event that the cannabis business tax was erroneously paid, and the error is attributable to the City, upon a timely claim the City shall refund the amount of tax erroneously paid in the year preceding the date the claim was received. 5.10.130 Personal Cultivation Not Taxed. The provisions of this Chapter shall not apply to personal cannabis cultivation as defined in the “Medicinal and Adult Use Cannabis Regulation and Safety Act”. This Chapter shall not apply to personal use of cannabis that is specifically exempted from the City state licensing requirements, that meets the definition of personal use or equivalent terminology under state law, and for which the individual receives no compensation whatsoever related to that personal use. Packet Page 441 Item 18 Draft Cannabis Tax Ordinance Page 11 5.10.140 Administration of the tax. A. It shall be the duty of the Tax Administrator to collect the taxes, penalties, fees, and perfor m the duties required by this Chapter. B. For purposes of administration and enforcement of this Chapter generally, the Tax Administrator may from time to time promulgate such administrative interpretations, rules, and procedures consistent with the purpose, intent, and express terms of this Chapter as he or she deems necessary to implement or clarify such provisions or aid in enforcement. He or she shall give notice of those regulations in the manner required by law for publication of ordinances of t he City Council and the regulations shall take effect 30 days after such notice unless otherwise provided in a particular regulation. C. The Tax Administrator may take such administrative actions as needed to administer the tax, including but not limited to: 1. Provide to all cannabis business taxpayers forms for the reporting of the tax; 2. Provide information to any taxpayer concerning t he provisions of this Chapter; 3. Receive and record all taxes remitted to the City as provided in this Chapter; 4. Maintain records of taxpayer reports and taxes collected pursuant to this Chapter; 5. Assess penalties and interest to taxpayers pursuant to this Chapter; 6. Determine amounts owed and enforce collection pursuant to this Chapter. 5.10.150 Appeal procedure. Any taxpayer aggrieved by any decision of the Tax Administrator with respect to the amount of tax, interest, penalties and fees, if any, due under this Chapter may appeal to the City Manager by filing a notice of appeal with the City Clerk within thirty (30) days of the serving or mailing of the determination of tax due. The City Clerk, or his or her designee, shall fix a time and place for hearing such appeal, and the City Clerk, or his or her designee, shall give notice in writing to such operator at the last known place of address. The finding of the City Manager shall be final and conclusive as to the City, but subject to judicial review under Code of Civil Procedure section 1094.5 and shall be served upon the appellant in the manner prescribed by this Chapter for service of notice of hearing. Any amount found to be due shall be immediately due and payable upon the service of the notice. 5.10.160 Enforcement - action to collect. Any taxes, penalties and/or fees required to be paid under the provisions of this Chapter shall be deemed a debt owed to the City. Any person owing money to the City under the Packet Page 442 Item 18 Draft Cannabis Tax Ordinance Page 12 provisions of this Chapter shall be liable in an action brought in the name of the City for the recovery of such debt. 5.10.170 Apportionment. If a business subject to the tax is operating both within and outside the City, it is the intent of the City to apply the cannabis business tax so that the measure of the tax fairly reflects the proportion of the taxed activity actually carried on in the City. To the extent federal or state law requires that any tax due from any taxpayer be apportioned, the taxpayer may propose an apportionment on his or her tax return. The Tax Administrator may accept or reject that apportionment and, if the latter, shall establish an appropriate apportionment on such evidence as is provided by the taxpayer or otherwise available to the Tax Administrator. The Tax Administrator may promulgate administrative procedures for apportionment as he or she finds useful or necessary. 5.10.180 Constitutionality and legality. A. This tax is intended to be applied consistently with the United States and California Constitutio ns, state law and the City Charter. The tax shall not be applied so as to cause an undue burden upon interstate commerce, a violation of the equal protection and due process clauses of the Constitutions of the United States or the State of California, to constitute a special tax, or to cause a violation of any other provision of applicable law. B. The taxes imposed under this chapter are excises on the privilege of engaging in commercial cannabis activity in the City. They are not sales or use taxes and shall not be calculated or assessed as such. Nevertheless, at the option of a cannabis business, the tax may be separately identified on invoices, receipts and other evidences of transactions. 5.10.190 Audit and examination of premises and records. A. For the purpose of ascertaining the amount of cannabis business tax owed or verifying any representations made by any taxpayer to the City in support of his or her tax calculation, the Tax Administrator shall have the power to inspect any location where commercial cannabis cultivation or commercial business activity occurs, whether or not located in the City, and to audit and examine all books and records (including, but not limited to bookkeeping records, state and federal income tax returns, and other r ecords relating to the gross receipts of the business) of persons engaged in cannabis businesses. In conducting such investigation, the tax administrator shall have the power to inspect any equipment, such as computers or point of sale machines, that may contain such records. B. It shall be the duty of every person liable for the collection and payment to the City of any tax imposed by this Chapter to keep and preserve, for a period of at least three (3) years, all records as may be necessary to determine the amount of such tax as he or she may have been liable to or pay to the City, which records the Tax Administrator or his/her designee shall have the right to inspect at all reasonable times. 5.10.200 Other licenses, permits, taxes, fees or charges. Packet Page 443 Item 18 Draft Cannabis Tax Ordinance Page 13 A. Nothing contained in this Chapter shall be deemed to repeal, amend, be in lieu of, replace or in any way affect any requirements for any permit or license required by, under or by virtue of any provision of any other Chapter of this code or any other ordin ance or resolution of the City, nor be deemed to repeal, amend, be in lieu of, replace or in any way affect any tax, fee or other charge imposed, assessed or required by, under or by virtue of any other Chapter of this code or any other ordinance or resolution of the City. Any references made or contained in any other Chapter of this code to any licenses, license taxes, fees, or charges, or to any schedule of license fees, shall be deemed to refer to the licenses, license taxes, fees or charges, or schedule of license fees, provided for in other Chapter of this Code unless the context is plain that another meaning is attended. B. Notwithstanding subdivision (A) of this Section, a cannabis business shall not be required to pay the license fee required by Chapter 5.01 of Title 5 of this Code so long as all of business’s activities within the City that would require payment of a license fee are subject to the cannabis business tax. C. The Tax Administrator may revoke or refuse to renew the license required by Chapt er 5.01 of this Code for any business that is delinquent in the payment of any tax due pursuant to this Chapter or that fails to make a deposit required by the tax administrator pursuant to Section 5.10.060. 5.10.210 Payment of tax does not authorize unlawful business. A. The payment of a cannabis business tax required by this Chapter, and its acceptance by the City, shall not entitle any person to carry on any cannabis business unless the person has complied with all of the requirements of this Code and all other applicable state laws. B. No tax paid under the provisions of this Chapter shall be construed as authorizing the conduct or continuance of any illegal or unlawful business, or any business in violation of any local or state law although businesses illegal under other law are nevertheless subject to tax under this Chapter according to its terms. 5.10.220 Deficiency determinations. If the Tax Administrator is not satisfied that any statement filed as required under the provisions of this Chapter is correct, or that the amount of tax is correctly computed, he or she may compute and determine the amount to be paid and make a deficiency determination upon the basis of the facts contained in the statement or upon the basis of any information in his o r her possession or that may come into his or her possession within three (3) years of the date the tax was originally due and payable. One or more deficiency determinations of the amount of tax due for a period or periods may be made. When a person discontinues engaging in a business, a deficiency determination may be made at any time within three (3) years thereafter as to any liability arising from engaging in such business whether or not a deficiency determination is issued prior to the date the tax would otherwise be due. Whenever a deficiency determination is Packet Page 444 Item 18 Draft Cannabis Tax Ordinance Page 14 made, a notice shall be given to the person concerned in the same manner as notices of assessment are given under Section 5.10.240. 5.10.230 Failure to report—nonpayment, fraud. A. Under any of the following circumstances, the Tax Administrator may make and give notice of an assessment of the amount of tax owed by a person under this Chapter at any time: 1. If the person has not filed a complete statement required under the provisions of this Chapter; 2. If the person has not paid the tax due under the provisions of this Chapter; 3. If the person has not, after demand by the Tax Administrator, filed a corrected statement, or furnished to the Tax Administrator adequate substantiation of the information contained in a statement already filed, or paid any additional amount of tax due under the provisions of this Chapter; or 4. If the Tax Administrator determines that the nonpayment of any business tax due under this Chapter is due to fraud, a penalty of twenty-five percent (25%) of the amount of the tax shall be added thereto in addition to penalties and interest otherwise stated in this Chapter and any other penalties allowed by law. B. The notice of assessment shall separately set forth the amount of any tax known by the Tax Administrator to be due or estimated by the Tax Administrator, after consideration of all information within the Tax Administrator's knowledge concerning the busines s and activities of the person assessed, to be due under each applicable section of this Chapter and shall include the amount of any penalties or interest accrued on each amount to the date of the notice of assessment. 5.10.240 Tax assessment - notice requirements. The notice of assessment shall be served upon the person either by personal delivery, or by a deposit of the notice in the United States mail, postage prepaid thereon, addressed to the person at the address of the location of the business or to such other address as he or she shall register with the Tax Administrator for the purpose of receiving notices provided under this Chapter; or, should the person have no address registered with the Tax Administrator for such purpose, then to such person's last known address. For the purposes of this Section, a service by mail is complete at the time of deposit in the United States mail. 5.10.250 Tax assessment - hearing, application and determination. Within thirty (30) days after the date of service the person may apply in writing to the Tax Administrator for a hearing on the assessment. If application for a hearing before the City is not made within the time herein prescribed, the tax assessed by the Tax Administrator shall become final and conclusive. Within thirty (30) days of the receipt of any such application for Packet Page 445 Item 18 Draft Cannabis Tax Ordinance Page 15 hearing, the Tax Administrator shall cause the matter to be set for hearing before him or her no later than thirty (30) days after the receipt of the application, unless a later date is agreed to by the Tax Administrator and the person requesting the hearing. Notice of such hearing shall be given by the Tax Administrator to the person requesting such hearing not later than five (5) days prior to such hearing. At such hearing said applicant may appear and offer evidence why the assessment as made by the Tax Administrator should not be confirmed and fixed as the tax due. After such hearing the Tax Administrator shall determine and reasse ss the proper tax to be charged and shall give written notice to the person in the manner prescribed in Section 5.10.240 for giving notice of assessment. 5.10.260 Relief from taxes -disaster relief. (a) If a business is unable to comply with any tax requ irement due to a disaster, the business may notify the Tax Administrator of this inability to comply and request relief from the tax requirement; (b) The Tax Administrator, in its sole discretion, may provide relief from the cannabis business tax requirement for businesses whose operations have been impacted by a disaster of such tax liability does not exceed five thousand ($5,000) dollars. If such tax liability is five thousand one ($5,001) dollars or more than such relief shall only be approved by the City Manager; (c) Temporary relief from the cannabis tax may be relieved for a reasonable amount of time as determined by the Tax Administrator in order to allow the cannabis business time to recover from the disaster; (d) The Tax Administrator may require that certain conditions be followed in order for a cannabis business to receive temporary relief from the cannabis business tax requirement; (e) A cannabis business shall not be subject to an enforcement action for a violation of a cannabis business requ irement in which the licensee has received temporary relief from the tax administrator; (f) For purposes of this section, “disaster” means fire, flood, storm, tidal wave, earthquake, or similar public calamity, whether or not resulting from natural causes. (1) The cannabis business must notify the Tax Administrator in writing a request for temporary relief from imposition of the tax requirement pursuant to subsection (a) of this section of such disaster clearly indicates why relief is requested from, the time period for which the relief is requested, and the reasons relief is needed for the specified amount of time; Packet Page 446 Item 18 Draft Cannabis Tax Ordinance Page 16 (2) The cannabis business agrees to grant the tax collector or his/her designee access to the location where the cannabis business has been impacted due to a disaster. 5.10.270 Conviction for violation - taxes not waived. The conviction and punishment of any person for failure to pay the required tax shall not excuse or exempt such person from any civil action for the tax debt unpaid at the time of such conviction. No civil action shall prevent a criminal prosecution for any violation of the provisions of this Chapter or of any state law requiring the payment of all taxes. 5.10.280 Violation deemed misdemeanor. Any person violating any of the provisions of this Chapter shall be guilty of a misdemeanor punishable under Chapter 1.12 of this Code unless the Tax Administrator provides by regulation that violation of a particular provision of this Chapter ought to be enforced as an infraction or if t he City Attorney determines in his or her discretion that a particular violation ought to be enforced as an infraction in the interests of justice. 5.10.290 Severability. If any provision of this Chapter, or its application to any person or circumstance, is determined by a court of competent jurisdiction to be unlawful, unenforceable or otherwise void, that determination shall have no effect on any other provision of this Chapter or the application of this Chapter to any other person or circumstance and, t o that end, the provisions hereof are severable. 5.10.300 Remedies cumulative. All remedies and penalties prescribed by this Chapter or which are available under any other provision of the San Luis Obispo Municipal Code and any other provision of law or eq uity are cumulative. The use of one or more remedies by the City shall not bar the use of any other remedy for the purpose of enforcing the provisions of this Chapter provided only that the City not recover any sum due under this Chapter, including penalt ies and interest, more than once. 5.10.310 Amendment or repeal. This Chapter may be repealed or amended by the City Council without a vote of the people to the extent allowed by law. However, as required by Article XIII C of the California Constitution, voter approval is required for any amendment that would increase the maximum rates of any tax established pursuant to this Chapter. The people of the City of San Luis Obispo affirm that the following actions shall not constitute an increase of the rate of a tax: A. The restoration of a tax to a rate or amount that is no higher than that set by this Chapter; Packet Page 447 Item 18 Draft Cannabis Tax Ordinance Page 17 B. An action that interprets or clarifies the methodology of the tax, or any definition applicable to the tax, so long as interpretation or clarificatio n (even if contrary to some prior interpretation or clarification) is not inconsistent with the language of this Chapter; or C. The collection of the tax imposed by this Chapter even if the City had, for some period of time, failed to collect the tax. 5.10.320 Enforcement consistently with business license tax Except as otherwise provided in this Chapter, the taxes due under this Chapter may be enforced in the manner provided by Chapter 5.01 of this case and any policy or regulation adopted or implement pursuant to that Chapter. SECTION 2. SEVERABILITY. If any section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portions of this ordinance. T he People of the City of San Luis Obispo hereby declare that heyt would have passed this ordinance and each section, subsection, sentence, clause and phrase thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses, o r phrases be declared invalid. SECTION 3. CALIFORNIA ENVIRONMENTAL QUALITY ACT REQUIREMENTS. This Ordinance is exempt from the California Environmental Quality Act (CEQA), Public Resources Code Section 21000 et seq., because it can be seen with certainty that there is no possibility that the enactment of this Ordinance would have a significant effect on the environment (Pub. Resources Code § 21065; CEQA Guidelines §§ 15378(b)(4), 15061(b)(3)) and because the Ordinance involves the approval of government revenues to fund existing services (Pub. Resources Code § 21080, subd. (b)(8); CEQA Guidelines § 15273(a)(4)). It does not make any commercial activity lawful and does not commit the City to fund any particular activit y. SECTION 4. EFFECTIVE DATE. This Ordinance shall take effect 10 days after the certification of its approval by the voters at the Election pursuant to article III of the City Charter and Elections Code section 9217. SECTION 5. CERTIFICATION; PUBLICATION. Upon approval by the voters, the City Clerk shall certify to the passage and adoption of this Ordinance and shall cause it to be published according to law. It is hereby certified that this Ordinance was duly adopted by the voters at the November 6, 2018 Election and took effect 10 days following adoption of a resolution declaring the results of the election at a regular meeting of the City Council held on [date] by the following vote: AYES: NOES: ABSENT: Packet Page 448 Item 18 Draft Cannabis Tax Ordinance Page 18 ABSTAIN: ATTEST: ____________________________ City Clerk ____________________________________ XXX, Mayor Packet Page 449 Item 18