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HomeMy WebLinkAbout07-07-2020 Agenda Packet - Amended Tuesday, July 7, 2020 *Agenda amended to add a Closed Session and Item A shown below* San Luis Obispo Page 1 Based on the threat of COVID-19 as reflected in the Proclamations of Emergency issued by both the Governor of the State of California, the San Luis Obispo County Emergency Services Director and the City Council of the City of San Luis Obispo as well as the Governor’s Executive Order N-29-20 issued on March 17, 2020, relating to the convening of public meetings in response to the COVID-19 pandemic, the City of San Luis Obispo will be holding all public meetings via teleconference. There will be no physical location for the Public to view the meeting. Below are instructions on how to view the meeting remotely and how to leave public comment. Additionally, members of the City Council are allowed to attend the meeting via teleconference and to participate in the meeting to the same extent as if they were present. Using the most rapid means of communication available at this time, members of the public are encouraged to participate in Council meetings in the following ways: 1. Remote Viewing - Members of the public who wish to watch the meeting can view: • View the Webinar (recommended for the best viewing quality): ➢ Registration URL: https://attendee.gotowebinar.com/register/2807914511263414799 ➢ Webinar ID: 254 -719 -147 ➢ Telephone Attendee: (415) 655-0052; Audio Access Code: 815-284-185 • Televised live on Charter Cable Channel 20 • View a livestream of the meeting on the City’s YouTube channel: http://youtube.slo.city 2. Public Comment - The City Council will still be accepting public comment. Public comment can be submitted in the following ways: • Mail or Email Public Comment ➢ Received by 5:00 PM on the day of meeting - Can be submitted via email to emailcouncil@slocity.org or U.S. Mail to City Clerk at 990 Palm St. San Luis Obispo, CA 93401. All emails will be archived/distributed to councilmembers, however, submissions after 5:00 p.m. on the day of the meeting may not be archived/distributed until the following day. Emails will not be read aloud during the meeting. • Verbal Public Comment ➢ In Advance of the Meeting - Call (805) 781-7164; state and spell your name, the agenda item number you are calling about and leave your comment. The verbal comments must be limited to 3 minutes. All voicemails will be forwarded to the Council Members and saved as Agenda Correspondence. Voicemails will not be played during the meeting. ➢ During the meeting – Join the webinar (instructions above). Once the meeting has started, please put your name and the item # you would like to speak on in the questions box. During public comment for the item, your name will be called, and your mic will be unmuted. Contact the office of the City Clerk at cityclerk@slocity.org for more information. All comments submitted will be placed into the administrative record of the meeting. San Luis Obispo City Council/Disaster Council Agenda July 7, 2020 Page 2 5:30 PM AMENDED CLOSED SESSION TELECONFERENCE Not available via Webinar *Agenda amended to add a Closed Session meeting. CALL TO ORDER: Mayor Heidi Harmon ROLL CALL: Council Members Carlyn Christianson, Andy Pease, Erica A. Stewart, Vice Mayor Aaron Gomez and Mayor Heidi Harmon PUBLIC COMMENT ON CLOSED SESSION ITEM How to provide public comment on this item only: • Dial in using your phone ➢ United States: +1 (646) 749-3122 ➢ Access Code: 811-134-493 Once public comment is over for this item, the meeting will be closed to the public. CLOSED SESSION A. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION Paragraph (1) of subdivision (d) of Government Code § 54956.9; Name of case: Gregory Zocher v. City of San Luis Obispo; Derek J. Johnson, in his official capacity; and Monica Irons, in her official capacity; San Luis Obispo Superior Court Case No. 20CV-0298 B. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Significant exposure to litigation pursuant to paragraph (2) of subdivision (d) of Section 54956.9. No. of potential cases: One. A point has been reached where, in the opinion of the legislative body of the local agency on the advice of its legal counsel, based on existing facts and circumstances, there is a significant exposure to litigation against the local agency. The existing facts and circumstances exposing the City to litigation include the following: Notice of Intent to Commence Litigation was received from the group “San Luis Obispo Architectural Preservation” (SLAP) alleging violation of the California Environmental Quality Act, following the adoption of Resolution No. 11128 (2020 Series) by the City Council, which denied an appeal of the approval of Mixed-Use Project at 545 Higuera/486 Marsh. A copy of the Notice is on file with the City Clerk. ADJOURNMENT Adjourn to the Regular City Council Meeting scheduled for Tuesday, July 7, 2020 at 6:00 p.m. via teleconference. Tuesday, July 7, 2020 6:00 PM AMENDED REGULAR MEETING TELECONFERENCE Broadcasted via Webinar City Council / Disaster Council Agenda *Agenda amended to add Item A as shown in italics below. CALL TO ORDER: Mayor Heidi Harmon ROLL CALL: Council Members Carlyn Christianson, Andy Pease, Erica A. Stewart, Vice Mayor Aaron Gomez and Mayor Heidi Harmon A.RECEIVE AN UPDATE FROM THE EMERGENCY SERVICES DIRECTOR AND AFFIRM, MODIFY OR REPEAL THE EMERGENCY SERVICES DIRECTOR PROCLAMATION DATED JULY 1, 2020 CLOSING BARS AND OTHER ONSALE ALCOHOL SERVING ESTABLISHMENTS OVER THE JULY 4, 2020 HOLIDAY WEEKEND AND LIMITING BAR OCCUPANCY AND OTHER ONSALE ALCOHOL ESTABLISHMENTS TO 25% UNTIL FURTHER ACTION (JOHNSON - 20 MINUTES) Recommendation: Adopt a Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, affirming actions of the Emergency Services Director.” APPOINTMENTS 1.ADVISORY BODY APPOINTMENT FOR AN UNSCHEDULED VACANCY ON THE PROMOTIONAL COORDINATING COMMITTEE (PURRINGTON / CHRISTIANSON) Recommendation: Confirm the appointment of Lori Lerian to the Promotional Coordinating Committee as recommended by the Council Liaison Subcommittees. San Luis Obispo City Council/Disaster Council Agenda July 7, 2020 Page 4 PUBLIC COMMENT PERIOD FOR ITEMS NOT ON THE AGENDA (Not to exceed 15 minutes total) The Council welcomes your input. State law does not allow the 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. 2. WAIVE READING IN FULL OF ALL RESOLUTIONS AND ORDINANCES (PURRINGTON) Recommendation: Waive reading of all resolutions and ordinances as appropriate. 3. MINUTES REVIEW - JUNE 16, 2020 CITY COUNCIL MEETING (PURRINGTON) Recommendation: Approve the minutes of the City Council meeting held on June 16, 2020. 4. ADDITION OF THE PROPERTY AT 1789 SANTA BARBARA AVENUE TO THE MASTER LIST OF HISTORIC RESOURCES AS THE LOZELLE AND KATIE FLICKINGER GRAHAM HOUSE (CODRON / OETZELL) Recommendation: As recommended by the Cultural Heritage Committee, adopt a Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, adding the property located at 1789 Santa Barbara Avenue to the Master List of Historic Resources as “The Lozelle and Katie Flickinger Graham House” (HIST-0144-2020).” San Luis Obispo City Council/Disaster Council Agenda July 7, 2020 Page 5 5. SECOND READING OF ORDINANCE NO. 1684 AND 1685 (2020 SERIES) INTRODUCED BY THE CITY COUNCIL ON JUNE 16, 2020, TO ADD LOCAL AMENDMENTS TO THE ENERGY CODE IN TITLE 15 AND TO AMEND TITLE 17 TO PROVIDE LIMITED TERM REGULATORY FLEXIBILITY TO SUPPORT ALL-ELECTRIC NEW BUILDINGS (CODRON / HILL / READ) Recommendation: 1. Adopt Ordinance No. 1684 (2020 Series) entitled, “An Ordinance of the City Council of the City of San Luis Obispo, California, establishing the Clean Energy Choice Program by amending the City of San Luis Obispo Building Code to require higher energy performance for newly constructed structures” implementing an Energy Reach Code entitled “Local Amendments to Part 6 (Energy) of the 2019 California Building Code” adding Chapter 15.04.110, entitled “Amendments – California Energy Code”, to the Municipal Code; and 2. Adopt Ordinance No. 1685 (2020 Series) entitled, “An Ordinance of the City Council of the City of San Luis Obispo, California, amending Title 17 (Zoning Regulations) of the Municipal Code supporting the Clean Energy Choice Program (PL-CODE-0062-2020)” implementing regulatory flexibility through December 31, 2022 in support of the Clean Energy Choice Incentive Program; and 3. Direct staff to submit the approved local amendments and accompanying required submittal forms and information to the California Energy Commission to initiate the local amendments to California Energy Code review and approval process. 6. REQUEST OF TRANSITIONS-MENTAL HEALTH ASSOCIATION TO REALLOCATE AFFORDABLE HOUSING FUNDS FROM BRANCH STREET APARTMENTS TO BISHOP STREET STUDIOS (CODRON / VERESCHAGIN) Recommendation: Adopt a Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, approving the reallocation of Affordable Housing Funds to Transitions- Mental Health Association from Branch Street Apartments to Bishop Street Studios (in the amount of $20,644).” 7. ADOPT A RESOLUTION UPDATING THE CITY’S MASTER FEE SCHEDULE, THE CURRENT FEE FOR ENVIRONMENTAL IMPACT DETERMINATION, AND APPLY NEEDED CORRECTIONS TO ADOPTED FEES (CODRON / KALA) Recommendation: Adopt a Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, adopting new fees and amending the 2020-21 Master Fee Schedule.” San Luis Obispo City Council/Disaster Council Agenda July 7, 2020 Page 6 8. CONSIDERATION OF REMOVAL OF ADVISORY BODY MEMBER (PURRINGTON) Recommendation: As recommended by the Council Subcommittee Liaison Members Christianson and Pease, approve the removal of James Papp from the Cultural Heritage Committee. PUBLIC HEARING AND BUSINESS ITEMS 9. AUTHORIZATION TO PURCHASE TWO ELECTRIC TRANSIT VEHICLES (HORN / ANGUIANO – 10 MINUTES) Recommendation: Approve the purchase of two electric buses for $1,744,259 using the California Department of Goods and Services Statewide Cooperative Purchasing Contract. 10. 2020-21 COMMUNITY PROMOTIONS PROGRAM – TOURISM BUSINESS IMPROVEMENT DISTRICT & PROMOTIONAL COORDINATING COMMITTEE (HERMANN / CANO – 15 MINUTES) Recommendation: 1. Authorize the City Manager to enter into various contracts and program expenditures for the TBID not to exceed the 2020-21 program budget of $1,014,000 (excludes staffing costs) based on the recommendations by the TBID Board and the adopted TBID Fund revenue projections as part of the 2020-21 Budget Supplement; and 2. Authorize the City Manager to enter into contracts utilizing the TBID Fund un- appropriated fund balance from the 2019-20 fiscal year, following the completion of the City’s audited financial statements, for tourism marketing expenditures in 2020-21 based on the recommendations by the TBID Board; and 3. Authorize the City Manager to use the TBID Fund Reserve of $100,000 for tourism marketing expenditures in 2020-21 in accordance with the TBID reserve policy; and 4. Authorize the City Manager to enter into various contracts and program expenditures for Community Promotions not to exceed the 2020-21 program budget of $368,000 (excludes staffing costs) based on the recommendations by the PCC. San Luis Obispo City Council/Disaster Council Agenda July 7, 2020 Page 7 11. CONSIDERATION OF THE 2020-21 HUMAN RELATIONS COMMISSION GRANTS-IN-AID FUNDING RECOMMENDATIONS (CODRON / VERESCHAGIN – 15 MINUTES) Recommendation: 1. As recommended by the Human Relations Commission, approve the 2020-21 Grants-in- Aid funding allocations in the amount of $150,000; and 2. Authorize the Community Development Director to execute agreements with each grant recipient. 12. CREATION OF A DIVERSITY, EQUITY, AND INCLUSION TASK FORCE (JOHNSON / HARMON / STEWART – 30 MINUTES) Recommendation: Adopt a Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, creating the Task Force for Diversity, Equity and Inclusion and defining its term and charge.” 13. NOVEMBER 3, 2020 GENERAL MUNICIPAL ELECTION (HERMANN / PURRINGTON – 10 MINUTES) Recommendation: Adopt a Resolution entitled “A Resolution of the City Council of the City of San Luis Obispo, California, calling for the holding of a General Municipal Election to be held on Tuesday, November 3, 2020, for the election of certain Officers as required by the provisions of the Charter, adopting regulations for Candidate Statements, and requesting the Board Of Supervisors of the County Of San Luis Obispo to consolidate a General Municipal Election with the Statewide General Election to be held on November 3, 2020, pursuant to § 10403 of the Elections Code.” 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 question 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) San Luis Obispo City Council/Disaster Council Agenda July 7, 2020 Page 8 ADJOURNMENT The next Closed Session and Regular City Council Meeting is scheduled for Tuesday, July 21, 2020 at 5:30 p.m. and 6:00 p.m., respectively, via teleconference. LISTENING ASSISTIVE DEVICES are available for the hearing impaired--please see City Clerk. The City of San Luis 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 accommodation 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) 781-7410. 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. City of San Luis Obispo, Council Memorandum Council Agenda Correspondence Date: July 2, 2020 TO: Mayor and Council FROM: Derek Johnson, City Manager / Emergency Services Director SUBJECT: Item A - Receive an Update from the Emergency Services Director and Provide COVID-19 Related Direction Based on Current Status Section 2.24.060 of the Municipal Code empowers the Emergency Services Director, in the event of the proclamation of a "local emergency" to make and issue rules and regulations on matters reasonably related to the protection of life and property as affected by such emergency. On July 1, 2020, City Manager acting as the Emergency Services Director, issued an emergency proclamation to take additional action to protect the community in response to the rapidly rising cases of COVID-19 in city, county and the surrounding counties by placing temporary restrictions on bars throughout the city. Effective 10:00 p.m. on Thursday, July 2 through Monday, July 6, all bars, pubs, breweries, wine tasting venues, and other on-sale alcohol establishments in the City of San Luis Obispo must close temporarily. On Monday, all these establishments can reopen at 25 percent occupancy and must follow all State and County health and safety measures. Restaurants are exempt and an interpretation was made to allow wineries to operate if patrons were served outside. Attached, please find a Resolution for the City Council’s consideration to affirm the actions of the Emergency Services Director related to the closure of alcohol establishments. Item A R ______ RESOLUTION NO. _____ (2020 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AFFIRMING ACTIONS OF THE EMERGENCY SERVICES DIRECTOR WHEREAS, section 2.24.060 of the Municipal Code empowers the Emergency Services Director, in the event of the proclamation of a "local emergency" as provided in this subsection, the proclamation of a " state of emergency" by the Governor or the Director of the California Emergency Management Agency, a " federal declaration of emergency" or the existence of a "state of war emergency," to make and issue rules and regulations on matters reasonably related to the protection of life and property as affected by such emergency; provided, however, such rules and regulations must be confirmed at the earliest practicable time by the City Council; and WHEREAS, section 2.24.020 of the Municipal Code includes an epidemic as one of the proper grounds for proclaiming a local emergency; and WHEREAS, the President of the United States has declared a State of National Emergency; the Governor of the State of California has proclaimed a State of Emergency for the State of California and issued Executive Orders and direction regarding measures to mitigate the spread of cases of COVID-19 within the State of California; the San Luis Obispo County Emergency Services Director has proclaimed a local emergency; and the San Luis Obispo County Public Health Director has declared a public health emergency related the spread of cases of COVID-19 within the State of California and all recitals set forth therein, are included as though fully set forth herein; and WHEREAS, the pandemic COVID-19 continues to spread rapidly worldwide and in the U.S., continuing to present an immediate and significant risk to public health and safety, and resulting in serious illness or death to vulnerable populations, including the elderly and those with underlying health conditions; and WHEREAS, heightened levels of public health and safety planning and preparedness have been necessitated in preparation for and response to confirmed cases of COVID-19 in the County of San Luis Obispo, and rapid response not lending itself to otherwise applicable notice and approval timelines has been and will be necessary to respond to the rapidly evolving pandemic and to mitigate against the spread of COVID- 19 and its resulting public health and safety impacts; and WHEREAS, in the absence of such actions, County wide health services may become overwhelmed and unable to keep up with medical demand for care and availability of hospital or care facility capacity. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo that: Item A Resolution No. _____ (2020 Series) Page 2 R ______ SECTION 1. All recitals set forth above, and all recitals included in support of Federal, State and County actions referenced herein, are adopted as though fully set forth herein as findings in support of this Resolution. SECTION 2. A local emergency continues to exist throughout the City, and the City has been undertaking, and will continue through cessation of this emergency to undertake, necessary measures and incur necessary costs, which are directly related to the prevention of the spread of the COVID- 19 Virus and are taken in furtherance of: the Secretary of Health and Human Services Secretary’ s determination that a public health emergency has existed since January 27, 2020; City Council’ s Proclamation of Local Emergency on March 17, 2020; the Governor’ s Proclamati on of a State of Emergency on March 4, 2020; the President of the United States’ Declaration of a National Emergency on March 13, 2020; the County Emergency Services Director’ s Proclamation of Local Emergency and the County Public Health Director’s Declaration of a Public Health Emergency on March 13, 2020, and related orders and directions. SECTION 3. During the existence of said local emergency, the powers, functions, and duties of the Emergency Services Director and the Emergency Organization of this C ity shall be those prescribed by state law, ordinances, and resolutions of this City and by the City of San Luis Obispo Emergency Operations Plan, notwithstanding otherwise applicable procedures, timelines or methods of action and the Emergency Services Director is expressly authorized to take any and all actions in furtherance of emergency powers to address the local emergency. SECTION 4. The City Council hereby affirms the City of San Luis Obispo Emergency Services Director’s Proclamation No. 3, issued July 1, 2020 (Attached hereto as Ex. A), related to the closure of alcohol establishments SECTION 5. The proclamation of local emergency shall be deemed to continue to exist until it is terminated by the City Council of the City of San Luis Obispo pursuant to a resolution adopted by the City Council of the City San Luis Obispo. Item A Resolution No. _____ (2020 Series) Page 3 R ______ SECTION 6. A copy of this Resolution shall be posted on all outside public access doors of City Hall of the City of San Luis Obispo and in one public place within any area of the City within which this Resolution applies and personnel of the City of San Luis Obispo shall endeavor to make copies of this order and regulation available to the news media. 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, on ______________________. ____________________________________ Teresa Purrington City Clerk Item A Department Name: Administration Cost Center: 1021 For Agenda of: July 7, 2020 Placement: Consent Estimated Time: N/A FROM: Greg Hermann, Deputy City Manager Prepared By: Teresa Purrington, City Clerk Kevin Christian, Deputy City Clerk SUBJECT: ADVISORY BODY APPOINTMENT FOR AN UNSCHEDULED VACANCY ON THE PROMOTIONAL COORDINATING COMMITTEE RECOMMENDATION Confirm the appointment of Lori Lerian to the Promotional Coordinating Committee as recommended by the Council Liaison Subcommittees. DISCUSSION Annual appointments to the various City Advisory Body Committees were made at the March 17, 2020 City Council meeting. The process for those appointments included recruitment by the City Clerk’s office, interviews and recommendations by the various Council sub-committees, and final confirmation of recommendations by the full Council. Applications of candidates not selected for appointment are held for one year per the Advisory Body Handbook, for use in appointments for unscheduled vacancies. After two years of service, Melissa Godsey resigned from the committee as she moved out of the City and is therefore no longer eligible to be a member, thus creating an unscheduled vacancy. Based on application information and interview performance during the annual recruitment period, the Council Liaison Subcommittee recommends the appointment of Lori Lerian, effective immediately, to the remainder of the vacated term, expiring March 31, 2022. Policy Context The Advisory Body Handbook, last adopted by City Council in February 2018, outlines the recruitment procedures, membership requirements, and term limits. Also contained in the Advisory Body Handbook are the bylaws for all advisory bodies, some of which include additional membership requirements. Additionally, the City Council Policies and Procedures Manual, last adopted in August 2019, describes the “Appointment Procedure” and “Process” for Advisory Body appointments. Recruitment and appointment recommendations were performed in conformance with all recruitment procedures, processes, and bylaws found in these resources. Public Engagement Notification of the unscheduled vacancy for the Promotional Coordinating Committee was posted on May 11, 2020 as required by the “Maddy Act” (GC 54972, Local Appointments List). Item 1 Packet Page 1 CONCURRENCE The Council Liaison Subcommittee concurs with the recommendation. ENVIRONMENTAL REVIEW The California Environmental Quality Act does not apply to the recommended actions in this report, because the action does not constitute a “Project” under CEQA Guidelines sec. 15378. FISCAL IMPACT Budgeted: Yes Budget Year: FY 2019-20 Funding Identified: N/A Fiscal Analysis: Funding Sources Current FY Cost Annualized On-going Cost Total Project Cost General Fund N/A State Federal Fees Other: Total There is no fiscal impact for appointment of Advisory Body members. ALTERNATIVES Council could recommend an alternate candidate from the recruitment process conducted earlier this year for the Promotional Coordinating Committee, or direct staff to re-open recruitment for additional candidates. AVAILABLE FOR REVIEW All Promotional Coordinating Committee applications from the recruitment process are available for public review by request in the Office of the City Clerk during normal business hours: (805) 781-7100 or cityclerk@slocity.org. Item 1 Packet Page 2 Tuesday June 16, 2020 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 June 16, 2020 at 6:07 p.m. by Mayor Harmon, with all Council Members teleconferencing. ROLL CALL Council Members Present: Council Members Carlyn Christianson, Andy Pease, Erica A. Stewart, Vice Mayor Aaron Gomez, and Mayor Heidi Harmon. Absent: None City Staff Present: Derek Johnson, City Manager; Christine Dietrick, City Attorney; and Teresa Purrington, City Clerk; were present at Roll Call. PRESENTATIONS 1. JUNETEENTH PROCLAMATION Mayor Harmon presented a Proclamation declaring June 19, 2020 to be “Juneteenth” to Xavier Moore. 2. MONTEREY COMMUNITY POWER PRESENTATION J.R. Killigrew, Director of Communication & Energy Programs, provided a presentation on Monterey Community Power. A. POLICE DEPARTMENT PRESENTATION REGARDING 8 CAN’T WAIT AND COMMUNITY REQUEST FOR INFORMATION Police Chief Deanna Cantrell who will provide a presentation. Public Comments: Barry Price Donna Hare Price Courtney Haile Marshall James Tara Clapham Hannah Butler ---End of Public Comment--- Item 3 Packet Page 3 San Luis Obispo City Council Minutes of June 16, 2020 Page 2 RECESS Council recessed at 8:11 p.m. and reconvened at8:25 p.m., with all Council Members present. PUBLIC COMMENT ON ITEMS NOT ON THE AGENDA Kylie Clark Rob Moore Cristina Pires Laura Weise ---End of Public Comment--- CONSENT AGENDA ACTION: MOTION BY COUNCILMEMBER CHRISTIANSON SECOND BY COUNCIL MEMBER PEASE, CARRIED 5-0 to approve Consent Calendar Items 1 thru 10. Public Comments: Item B – Leola Dublin MacMillan Item B – Tricia Hamachi Item C – Jim Gardiner 3. WAIVE READING IN FULL OF ALL RESOLUTIONS AND ORDINANCES CARRIED 5-0, to waive reading of all resolutions and ordinances as appropriate. 4. MINUTES REVIEW - MAY 22, 2020 SPECIAL CITY COUNCIL / DISASTER COUNCIL MEETING AND JUNE 2, 2020 COUNCIL MEETING (PURRINGTON) CARRIED 5-0, to approve the minutes of the City Council meetings held on May 22, 2020 and June 2, 2020. 5. BIENNIAL REVIEW THE CITY’S CONFLICT OF INTEREST CODE (PURRINGTON) CARRIED 5-0, to direct the review of the City’s Conflict of Interest Code and the filing of a Biennial Notice with the City Clerk regarding such review, as required by the Political Reform Act. 6. AUTHORIZATION TO TRANSITION TO ELECTRONIC SIGNATURES FOR DOCUMENTS (PURRINGTON) CARRIED 5-0, to adopt Resolution No. 11129 (2020 Series) entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, adopting a citywide policy regarding Electronic Signature use” authorizing, but not mandating, the use of electronically sign ed documents (e-signature) in place of hand-written signatures whenever a signature is required, provided it is in accordance with the Uniform Electronic Transaction Act (UETA). Item 3 Packet Page 4 San Luis Obispo City Council Minutes of June 16, 2020 Page 3 7. EXECUTE AND DELIVER AN INSTALLMENT SALE AGREEMENT WITH CALIFORNIA INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK (FLOYD / THOMPSON) CARRIED 5-0, to adopt Resolution No. 11130 (2020 Series) entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, authorizing the execution and delivery of an Installment Sale Agreement, between the City and California Infrastructure and Economic Development Bank, for financing the Water Energy Efficiency Project and taking related actions.” 8. AVTEC DISPATCH RADIO CONSOLE SUPPORT CONTRACT RENEWAL (HERMANN / GUARDADO / WILWAND) CARRIED 5-0, to approve the renewal of a five-year contract to Avtec LLC. with annual payments of $23,851 for maintenance and support totaling $119,256 to maintain the City’s public safety radio dispatching console system. 9. TOLLING AND ONE-YEAR EXTENSION OF ALL CITY DISCRETIONARY APPROVALS DUE TO THE COVID-19 PANDEMIC EMERGENCY (CODRON) CARRIED 5-0, to adopt Resolution No. 11131 (2020 Series) entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, proclaiming the continuing existence of a Local Emergency regarding the COVID-19 Pandemic and extending the life of Discretionary Approvals, Building Permit Applications and Cannabis Operator Permits to mitigate economic impacts and aid in economic recovery.” 10. PUBLIC SAFETY TAIT RADIO SYSTEM MAINTENANCE AND SUPPORT CONTRACT (HERMANN / GUARDADO / WILWAND) CARRIED 5-0, to approve a five-year contract with Tait Communications for the maintenance and support of the Public Safety radio system in the amount of $25,831 paid annually for a total of $129,155. B. RESOLUTION RECOMMENDING PUBLIC HEALTH OFFICIALS DECLARE RACISM A PUBLIC HEALTH EMERGENCY (JOHNSON) CARRIED 5-0, to adopt Resolution No. 11132 (2020 Series) entitled “A Resolution of the City of San Luis Obispo, California, affirming the Racism is a Public Health crisis and recommending the Public Health Officials declare Racism a Public Health Emergency.” C. JOINT STATEMENT REGARDING RECENT EVENTS FROM COUNCILMEMBERS PEASE AND STEWART (PEASE / STEWART) CARRIED 5-0, to receive and file a joint Council statement prepared by Councilmembers Andy Pease and Erica A. Stewart regarding recent tragic events, the community’s response, and intentions to address past and current systemic racism. Item 3 Packet Page 5 San Luis Obispo City Council Minutes of June 16, 2020 Page 4 PUBLIC HEARING ITEMS AND BUSINESS ITEMS 11. CONSIDERATION OF A RESOLUTION ESTABLISHING A POLICY FOR CLEAN ENERGY CHOICE FOR NEW BUILDINGS AND IMPLEMENTATION MEASURES INCLUDING AN ORDINANCE APPROVING LOCAL AMENDMENTS TO THE ENERGY CODE AND AN ORDINANCE ESTABLISHING REGULATORY FLEXIBILITY FOR A LIMITED TERM TO SUPPORT ALL-ELECTRIC NEW BUILDINGS Council Member Pease recused herself from the item due a pending review of an action taken in September 2019 regarding the Clean Energy Choice item by the FPPC. Council Member Pease muted her mic and turned off her camera at 9:03 PM. Community Development Director Michael Codron and Sustainability Manager Chris Read provided an in-depth staff report and responded to Council questions. Public Comments: Tim Mahoney Jill ZamEk Justin Bradshaw Ben Oakley Molly Kern Ellen Morrison Lindy Hatcher June Cochran Fred Fink Tricia Hamachai Quinn Brady ---End of Public Comment--- ACTION: MOTION BY MAYOR HARMON, SECOND BY VICE MAYOR GOMEZ, CARRIED 4-0-1 (COUNCIL MEMBER PEASE RECUSED) to: 1. Adopt Resolution No. 11133 (2020 Series) entitled “A Resolution of the City Council of the City of San Luis Obispo, California, establishing a “Clean Energy Choice Policy for New Buildings” to guide the reduction of Greenhouse Gas Emissions and use of Fossil Fuels for buildings and transportation;” and 2. Introduce an Ordinance entitled, “An Ordinance of the City Council of the City of San Luis Obispo, California, establishing the Clean Energy Choice Program by amending the City of San Luis Obispo Building Code to require higher energy performance for newly constructed structures;” and 3. Introduce an Ordinance entitled, “An Ordinance of the City Council of the City of San Luis Obispo, California, amending Title 17 (Zoning Regulations) of the Municipal Code supporting the Clean Energy Choice Program (PL-CODE-0062-2020)” to provide regulatory flexibility through December 31, 2022 in support of the Clean Energy Choice Incentive Program; and 4. Direct staff to return to Council in June 2021 with a summary of program performance and the Carbon Offset Program for deliberation and action. Council Member Pease rejoined the webinar at 9:53 PM. Item 3 Packet Page 6 San Luis Obispo City Council Minutes of June 16, 2020 Page 5 12. REVIEW OF A PROTEST (FILED BY MR. WILLIAM WALTER) FOR PAYMENT OF ENCROACHMENT PERMIT FEES AND FOR A CONDITION OF APPROVAL REQUIRING THE INSTALLATION OF A DECORATIVE PEDESTRIAN LIGHTING FIXTURE Council Member Pease and Vice Mayor Gomez indicated they would have to recuse themselves due a conflict of interest due to the location of their businesses to the property. Council Member Pease and Vice Mayor Gomez turned off their mics and camera at 9:54 PM. Council Members Christianson, Stewart and Mayor Harmon reported having no Ex Parte Communications. Community Development Director Michael Codron and Senior Civil Engineer Daniel Van Beveren provided an in-depth staff report and responded to Council questions. Public Comments: William Walter ---End of Public Comment--- ACTION: MOTION BY COUNCIL MEMBER CHRISTIANSON, SECOND BY COUNCIL MEMBER STEWART, CARRIED 3-0-2 (COUNCIL MEMBER PEASE AND VICE MAYOR GOMEZ RECUSED) to Adopt Resolution No. 11134 (2020 Series) entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, denying a protest of payment of Permit Fees for Encroachment Permit ENCR-0780-2020, and denying a protest of a condition of approval requiring the installation of a decorative pedestrian lighting fixture as required by ARCH-1236-2017 with the changes in the staff agenda correspondence. Council Member Pease and Vice Mayor Gomez returned to the meeting at 10:35 PM. 13. CEQA TRANSPORTATION IMPACT THRESHOLDS UPDATE: TRANSITION FROM AUTO LEVEL OF SERVICE TO VEHICLE MILES TRAVELED Public Works Director Matt Horn and Transportation Manager Luke Schwartz provided an in-depth staff report and responded to Council questions. Public Comments: None ---End of Public Comment--- ACTION: MOTION BY COUNCIL MEMBER CHRISTIANSON, SECOND BY COUNCIL MEMBER PEASE, CARRIED 5-0 to 1. Adopt Resolution No. 11135 (2020 Series) entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, adopting revised thresholds of significance for analysis of transportation impacts under the California Environmental Quality Act pursuant to Senate Bill 743” to replace Level of Service (LOS) with Vehicle Miles Traveled (VMT) as the City’s performance measure for CEQA analysis of transportation impacts; and Item 3 Packet Page 7 San Luis Obispo City Council Minutes of June 16, 2020 Page 6 2. Adopt Resolution No. 11136 (2020 Series) entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, approving revised Multimodal Transportation Impact Study Guidelines.” 14. AUTHORIZATION FOR THE CITY MANAGER TO ENTER INTO AGREEMENTS WITH THE BOARD OF TRUSTEES OF THE CALIFORNIA STATE UNIVERSITY FOR WATER AND WASTEWATER SERVICE TO CALIFORNIA STATE UNIVERSITY, SAN LUIS OBISPO Utilities Director Aaron Floyd and Utilities Project Manager Jennifer Metz provided an in - depth staff report and responded to Council questions. Public Comments: None ---End of Public Comment--- ACTION: MOTION BY COUNCIL MEMBER PEASE, SECOND BY VICE MAYOR GOMEZ, CARRIED 5-0 to Adopt Resolution No. 11137 (2020 Series) entitled, “A Resolution of the City Council of the City of San Luis Obispo, Calif ornia, authorizing the City Manager to enter into agreements with the Board of Trustees of the California State University for water and wastewater service to California State University, San Luis Obispo.” ADJOURNMENT The meeting was adjourned at 10:42 p.m. The next Regular City Council Meeting is scheduled for Tuesday, July 7 at 6:00 p.m., in the Council Chamber, 990 Palm Street, San Luis Obispo, California. __________________________ Teresa Purrington City Clerk APPROVED BY COUNCIL: XX/XX/2020 Item 3 Packet Page 8 Department Name: Community Development Cost Center: 4003 For Agenda of: July 7, 2020 Placement: Consent Estimated Time: N/A FROM: Michael Codron, Community Development Director Prepared By: Walter Oetzell, Assistant Planner SUBJECT: ADDITION OF A PROPERTY AT 1789 SANTA BARBARA AVENUE TO THE MASTER LIST OF HISTORIC RESOURCES AS THE LOZELLE AND KATIE FLICKINGER GRAHAM HOUSE RECOMMENDATION As recommended by the Cultural Heritage Committee, adopt a Resolution (Attachment A) adding the property at 1789 Santa Barbara Avenue to the Master List of Historic Resources as “The Lozelle and Katie Flickinger Graham House." DISCUSSION Background Michael and Paden Hughes, represented by James Papp of Historicities, LLC, have requested that the property at 1789 Santa Barbara Avenue be designated as a Master List Resource in the City’s Inventory of Historic Resources, as The Lozelle and Katie Flickinger Graham House . The property is currently designated as a Contributing List Resource and is located within the Railroad Historic District. Previous Advisory Body Action On May 18, 2020, the Cultural Heritage Committee considered this request and found that the property meets eligibility criteria for historical listing to a degree that qualifies it for designation as a Master List Resource and recommended that the City Council designate the property as such in the City’s Inventory of Historic Resources. Site and Setting The property is at the northwest corner of Church Street and Santa Barbara Avenue, within the Railroad Historic District. Development in the District corresponded to the development of the Southern Pacific Railroad yard, accommodating railway workers, freight and passengers, and employees of Southern Pacific and related businesses. Surviving historic structures date from 1894 to 1945, corresponding with the peak activity of the rail yard and the district’s period of significance, with most constructed before 1920. Item 4 Packet Page 9 The property is developed with a single-family dwelling (see Figure 2), built in the late 19th Century. In 1988, the property was designated as a Contributing Resource in the City’s Historic Resources Survey (Resolution No. 6424). The applicants have provided an evaluation of the property and its eligibility for historic listing prepared by James P app of Historicities, LLC (Attachment B). Building Architecture The dwelling is of an Italianate style, and, being built in 1884, is among the Railroad District’s oldest surviving buildings. The City’s Historic Context Statement describes the style as one that began in England as part of the Picturesque Movement, and in the United States followed the informal model of the simple Italian farmhouse, adapted into an indigenous style. The house’s design is not attributed to a known architect and was likely built by Lozelle Graham and his father, Dr. William Graham. The architectural characteristics of the building are more fully discussed in the Historicities Evaluation submitted with this application, and summarized in the Evaluation section of this report, below. Lozelle Graham and Katie Flickinger The Historicities Evaluation outlines the history of the Graham and Flickinger Families. William B. Graham was a physician who, in 1884, arrived in San Luis Obispo from Napa County, having originated from Indiana. His son Lozelle F. “Charlie” Graham operated a “dry and fancy goods” business in the City. Joseph Henry Flickinger arrived in California in 1849, operated a meat market in San Jose, among other endeavors around that time, and married Mary Smith (of New York), with twins Katie and Charles born in California in 1857. In 1885, Katie Flickinger married L. F. Graham in San Jose, and the two occupied the house in San Luis Obispo until they relocated back to San Jose to work for the Pacific Orchard and Cannery, of which L.F. Graham became president. The dwelling is associated with the City’s pre-railroad Late 19th Century Residential Development and extends through the Early 20th Century period, through its continued use as a rental for occupants associated with the Southern Pacific Railroad operations (Historicities Evaluation pg. 5). Figure 1: 1789 Santa Barbara Avenue Item 4 Packet Page 10 Evaluation of Eligibility for Listing To be eligible for listing as an historic or cultural resource, the resource must exhibit a high level of historic integrity, be at least 50 years old, and meet one or more of the eligibility criteria described in § 14.01.070 of the Historic Preservation Ordinance (see Attachment C). As provided in § 14.01.050 of the Ordinance, the most unique and important resources and properties in terms of age, architectural or historical significance, rarity, or association with important persons or events in the City’s past may be designated as “Master List Resources.” Architectural Criteria Character-defining features of the Italianate Style are described in the City’s Historic Context Statement to include: ▪ Symmetrical façade ▪ Low pitched hipped or flat roof ▪ Widely overhanging eaves with large decorative brackets ▪ Tall narrow windows, commonly arched or curved above ▪ Elaborated window crowns ▪ One-story entry porch, often supported by square posts with beveled corners ▪ Centrally-placed square tower or cupola As described and depicted in pages 12-19 of the Historicities Evaluation, the subject building exhibits many of these characteristic features: Character-defining features include modest size and asymmetric footprint of the mid nineteenth-century irregular cottage, promoted in the Gardenesque aesthetic by architect–landscape architects John Claudius Loudon and Andrew Jackson Downing; obtuse gable angle; deep eaves; twinned windows; window and door crowns; shiplap siding; corner boards; entrance porch with square columns and pilasters, arches, and classically referenced fretwork of the American Italianate style in wood. (Historicities Evaluation pg. 12) Historic Criteria During its period of significance, the property was most closely associated with the Graham family (Lozelle Graham and Katie Flickinger) and with subsequent occupants associated with Southern Pacific Railroad operations. Though the background of the family and subsequent occupants provide an interesting and informative glimpse into early California and local history and local history related to railroad operations, the evaluation provided does not indicate a relevant association with singular and important historical events and patterns or significance to the community rising to a level that qualifies the property as a “Master List Resource” under Historic Criteria in § 14.01.070 (B) of the Historic Preservation Ordinance. Item 4 Packet Page 11 Integrity Apart from “few changes in utilitarian features,” the author of the Historicities Evaluation notes that the house has “a remarkable integrity of design:” There have been none of the room additions common to and even anticipated in irregular Italianate houses. There have been few changes in utilitarian features: the addition of railing to the entrance porch and staircase, a small back window to the south facade of the house, and an attic vent to the front gable; the replacement of the front door, entrance transom glass, and window sashes and panes (in a way sensitive to their proportions); and the removal of structural elements from the rear porch. Roof cresting was added sometime after 1892 and removed sometime after 1907. (pg. 21). The building occupies its original site, in the same location on the property, and has changed very little from its original appearance, and thus to a large degree was found to satisfy the criteria for Integrity set out in § 14.01.070 (C) of the Historic Preservation Ordinance. Conclusion The information in the Historicities Evaluation prepared for this application, which documents the architectural character and integrity of the house, provides a basis finding that the dwelling satisfies Evaluation Criteria for Architectural Style and Design and for Integrity described in §§ 14.01.070 (A) & (C) of the City’s Historic Preservation Ordinance, to a degree that qualifies it for designation of as a Master List Historic Resource. Policy Context The recommended action on this item is supported by historical preservation policies set out in § 3.0 of the Conservation and Open Space Element of the City’s General Plan, and with procedures and standards for listing of historic resources set out in the City’ s Historic Preservation Ordinance §§ 14.01.060 & 14.01.070. Public Engagement Public notice of this hearing has been provided to owners and occupants of property near the subject site, and published in a widely circulated local newspaper, and hearing agendas for this meeting have been posted at City Hall, consistent with adopted notification procedures. Public notice was also previously provided for the Cultural Heritage Committee meeting of May 18, 2020. ENVIRONMENTAL REVIEW This project is categorically exempt from the provisions of the Californi a Environmental Quality Act (CEQA). Inclusion of the subject properties on the City’s Inventory of Historic Resources does not have the potential for causing a significant effect on the environment, and so is covered by the general rule described in § 15061 (b) (3) of the CEQA Guidelines. Item 4 Packet Page 12 FISCAL IMPACT Budgeted: No Budget Year: 2020 Funding Identified: No Fiscal Analysis: Funding Sources Current FY Cost Annualized On-going Cost Total Project Cost General Fund N/A State Federal Fees Other: Total N/A $0 $0 Adding the Property to the Master List of Historic Resources will have no fiscal impact. Historic designation of the Property itself has no bearing on City fiscal resources. ALTERNATIVES 1. Decline to designate the property as a Master List Resource in the Inventory of Historic Resources based on finding that the Property is not considered to be sufficiently unique or important, or found to satisfy Evaluation Criteria for listing to a degree warranting such designation. The Property would remain in the Inventory as a Contributing List Resources. 2. Continue consideration of the request for additional information or discussion. Attachments: a - Draft Resolution b - COUNCIL READING FILE - Master List Application (March 12, 2020) c - Evaluation Criteria Item 4 Packet Page 13 R ______ RESOLUTION NO. _____ (2020 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, ADDING THE PROPERTY LOCATED AT 1789 SANTA BARBARA AVENUE TO THE MASTER LIST OF HISTORIC RESOURCES AS “THE LOZELLE AND KATIE FLICKINGER GRAHAM HOUSE” (HIST-0144-2020) WHEREAS, the applicants, Michael and Paden Hughes, filed an application on March 12, 2019, for review of the inclusion of the property at 1789 Santa Barbara Avenue on the City’s Master List of Historic Resources; and WHEREAS, the Cultural Heritage Committee of the City of San Luis Obispo conducted a public hearing in the Council Hearing Room of City Hall, 990 Palm Street, San Luis Obispo, California, on May 18, 2020 and recommended that the City Council add the property at 1789 Santa Barbara Avenue to the Master List of Historic Resources; and WHEREAS, the City Council of the City of San Luis Obispo conducted a public hearing on July 7, 2020 for the purpose of considering the request to add the properties to the Inventory of Historic Resources; and WHEREAS, notices of said public hearings were made at the time and in the manner required by law; and WHEREAS, the City Council has duly considered all evidence, including the record of the Cultural Heritage Committee hearing and recommendation, testimony of the applicant and interested parties, and the evaluation and recommendation presented by staff. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. Findings. Based upon all the evidence, the City Council makes the following findings: a) The subject property is eligible for inclusion in the City’s Inventory of Historic Resources as a Master List Resource because the dwelling on the property satisfies at least one of the evaluation criteria for historic resource listing described in the § 14.01.070 of the City’s Historic Preservation Ordinance (HPO), exhibits a high degree of historic integrity, and is more than 50 years old. b) The dwelling on the subject properties satisfies evaluation criteria related to architectural style (HPO §14.01.070 (A)). It conveys a purity of style, exhibits attractiveness through detailing and craftsmanship, and is a rare example within the City of the Italianate Style. The building occupies its original site, with its exterior largely unaltered, and retains its characteristic design and materials, satisfying criteria for Integrity (HPO § 14.01.070 (C)). Item 4 Packet Page 14 Resolution No. _____ (2020 Series) Page 2 R ______ SECTION 2. Environmental Determination. The project is categorically exempt from the provisions of the California Environmental Quality Act (CEQA). Inclusion of the subject properties on the City’s Inventory of Historic Resources does not have the potential for causing a significant effect on the environment, and so is covered by the general rule described in § 15061 (b) (3) of the CEQA Guidelines. SECTION 3. Action. The City Council of the City of San Luis Obispo does hereby include the property located at 1789 Santa Barbara Avenue to the Master List of Historic Resources as “The Lozelle and Katie Flickinger Graham House.” Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this 7th day of July 2020. ____________________________________ 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, on _____________________. ____________________________________ Teresa Purrington City Clerk Item 4 Packet Page 15 12 Zoning, or remove the property from historic listing if the structure on the property no longer meets eligibility criteria for listing, following the process for listing set forth herein. 14.01.070. Evaluation Criteria for Historic Resource Listing When determining if a property should be designated as a listed Historic or Cultural Resource, the CHC and City Council shall consider this ordinance and State Historic Preservation Office (“SHPO”) standards. In order to be eligible for designation, the resource shall exhibit a high level of historic integrity, be at least fifty (50) years old (less than 50 if it can be demonstrated that enough time has passed to understand its historical importance) and satisfy at least one of the following criteria: A. Architectural Criteria: Embodies the distinctive characteristics of a type, period, region, or method of construction, or represents the work of a master, or possesses high artistic values. (1) Style: Describes the form of a building, such as size, structural shape and details within that form (e.g. arrangement of windows and doors, ornamentation, etc.). Building style will be evaluated as a measure of: a. The relative purity of a traditional style; b. Rarity of existence at any time in the locale; and/or current rarity although the structure reflects a once popular style; c. Traditional, vernacular and/or eclectic influences that represent a particular social milieu and period of the community; and/or the uniqueness of hybrid styles and how these styles are put together. (2) Design: Describes the architectural concept of a structure and the quality of artistic merit and craftsmanship of the individual parts. Reflects how well a particular style or combination of styles are expressed through compatibility and detailing of elements. Also, suggests degree to which the designer (e.g., carpenter-builder) accurately interpreted and conveyed the style(s). Building design will be evaluated as a measure of: a. Notable attractiveness with aesthetic appeal because of its artistic merit, details and craftsmanship (even if not necessarily unique); b. An expression of interesting details and eclecticism among carpenter-builders, although the craftsmanship and artistic quality may not be superior. (3) Architect: Describes the professional (an individual or firm) directly responsible for the building design and plans of the structure. The architect will be evaluated as a reference to: Wtem20 Packet Page 16 13 a. A notable architect (e.g., Wright, Morgan), including architects who made significant contributions to the state or region, or an architect whose work influenced development of the city, state or nation. b. An architect who, in terms of craftsmanship, made significant contributions to San Luis Obispo (e.g., Abrahams who, according to local sources, designed the house at 810 Osos - Frank Avila's father's home - built between 1927 – 30). B. Historic Criteria (1) History – Person: Associated with the lives of persons important to local, California, or national history. Historic person will be evaluated as a measure of the degree to which a person or group was: a. Significant to the community as a public leader (e.g., mayor, congress member, etc.) or for his or her fame and outstanding recognition - locally, regionally, or nationally. b. Significant to the community as a public servant or person who made early, unique, or outstanding contributions to the community, important local affairs or institutions (e.g., council members, educators, medical professionals, clergymen, railroad officials). (2) History – Event: Associated with events that have made a significant contribution to the broad patterns of local or regional history or the cultural heritage of California or the United States. Historic event will be evaluated as a measure of: (i) A landmark, famous, or first-of-its-kind event for the city - regardless of whether the impact of the event spread beyond the city. (ii) A relatively unique, important or interesting contribution to the city (e.g., the Ah Louis Store as the center for Chinese-American cultural activities in early San Luis Obispo history). (3) History-Context: Associated with and also a prime illustration of predominant patterns of political, social, economic, cultural, medical, educational, governmental, military, industrial, or religious history. Historic context will be evaluated as a measure of the degree to which it reflects: a. Early, first, or major patterns of local history, regardless of whether the historic effects go beyond the city level, that are intimately connected with the building (e.g., County Museum). b. Secondary patterns of local history, but closely associated with the building (e.g., Park Hotel). Wtem20 Packet Page 17 14 C. Integrity: Authenticity of an historical resource’s physical identity evidenced by the survival of characteristics that existed during the resource’s period of significance. Integrity will be evaluated by a measure of: (1) Whether or not a structure occupies its original site and/or whether or not the original foundation has been changed, if known. (2) The degree to which the structure has maintained enough of its historic character or appearance to be recognizable as an historic resource and to convey the reason(s) for its significance. (3) The degree to which the resource has retained its design, setting, materials, workmanship, feeling and association. 14.01.080 Historic District Designation, Purpose and Application A. Historic (H) District designation. All properties within historic districts shall be designated by an “H” zoning. Properties zoned “H” shall be subject to the provisions and standards as provided in Ordinance 17.54 (Zoning) of the Municipal Code. B. Purposes of Historic Districts. The purposes of historic districts and H zone designation are to: (1) Implement cultural resource preservation policies of the General Plan, the preservation provisions of adopted area plans, the Historic Preservation and Archaeological Resource Preservation Program Guidelines, and (2) Identify and preserve definable, unified geographical entities that possess a significant concentration, linkage, or continuity of sites, buildings, structures, or objects united historically or aesthetically by plan or physical development; (3) Implement historic preservation provisions of adopted area and neighborhood improvement plans; (4) Enhance and preserve the setting of historic resources so that surrounding land uses and structures do not detract from the historic or architectural integrity of designated historic resources and districts; and (5) Promote the public understanding and appreciation of historic resources. C. Eligibility for incentives. Properties zoned as Historic Preservation (H) shall be eligible for preservation incentive and benefit programs as established herein, in the Guidelines and other local, state and federal programs. Wtem20 Packet Page 18 Department Name: Community Development Cost Center: 4006 For Agenda of: July 7, 2020 Placement: Consent Estimated Time: N/A FROM: Michael Codron, Director, Community Development Department Prepared By: Chris Read, Sustainability Manager Teresa McClish, Special Projects Manager SUBJECT: SECOND READING OF ORDINANCE NO. 1684 AND 1685 (2020 SERIES) INTRODUCED BY THE CITY COUNCIL ON JUNE 16, 2020, TO ADD LOCAL AMENDMENTS TO THE ENERGY CODE IN TITLE 15 AND TO AMEND TITLE 17 TO PROVIDE LIMITED TERM REGULATORY FLEXIBILITY TO SUPPORT ALL-ELECTRIC NEW BUILDINGS RECOMMENDATION 1. Adopt Ordinance No. 1684 (2020 Series) implementing an Energy Reach Code entitled “Local Amendments to Part 6 (Energy) of the 2019 California Building Code” adding Chapter 15.04.110, entitled “Amendments – California Energy Code”, to the City’s Municipal Code (Attachment A); and 2. Adopt Ordinance No. 1685 (2020 Series) implementing regulatory flexibility through December 31, 2022 in support of the Clean Energy Choice Incentive Program (Attachment B); and 3. Direct staff to submit the approved local amendments and accompanying required submittal forms and information to the California Energy Commission to initiate the local amendments to California Energy Code review and approval process. DISCUSSION On June 16, 2020, the City Council voted 4 – 0 (Council Member Pease recused) to re-introduce Ordinance No. 1684 and introduce Ordinance No. 1685 (2020 Series), which amend Titles 15 and 17 respectively of the City’s Municipal Code, adding local amendments to the California Energy Code and amendments to the City’s Zoning Code in order to provide limited term regulatory flexibility for all-electric new buildings. The Ordinances were considered together with a Resolution that was re-adopted to establish a “Clean Energy Choice” policy that new buildings should be all-electric and that energy use in new buildings should not cause net additional greenhouse gas emissions. Also included in Council’s consideration are Clean Energy Choice program incentives outlining technical support, financial support, and communication support. Finally, the Council directed staff to monitor program progress and return in June 2021 for deliberation and consideration of a carbon offset program that would comprise the final component collectively referred to as the Clean Energy Choice Program for New Buildings. Item 5 Packet Page 19 Previous Council Action and Policy Context Previous Council Action and Policy Context are described in detail in the June 16, 2020 Council Agenda Report that is also inclusive of the September 3, 2019 Council Agenda Report (Attachment C). The two ordinances proposed for adoption were introduced on June 16, 2020. Public Engagement The City conducted a thorough engagement process as outlined in the June 16, 2020 Council Agenda Report (Attachment C). CONCURRENCE The Office of Sustainability, Community Development, Fire Department, and Utilities Department concurs with the recommendations in this report. ENVIRONMENTAL REVIEW The Clean Energy Choice Program for New Buildings ordinances are categorically exempt from CEQA because they constitute actions taken by a regulatory agency for the purpose of protecting the environment (CEQA Guidelines Section 15308). In addition, these ordinances are exempt from CEQA under the General Rule, 15061(b)(3), on the grounds that these standards are more stringent than the State energy standards, there are no reasonably foreseeable adverse impacts, and there is no possibility that the activity in question may have a significant effect on the environment. As supported by the 2019 Statewide Cost Effectiveness Studies, the Clean Energy Choice Program ordinances affect building energy performance to be cost-effective and consume less energy than permitted by Title 24, Part 6 and results in lower energy use. Further, the studies demonstrate that the ordinances would not result in an increase in the cost to develop housing. Additionally, the ordinances are expected to have a net benefit to the environment through the reduction in GHG emissions. The ordinances are limited in application to the construction of new buildings. The proposed Clean Energy Choice Program for New Buildings is supported by PG&E and there is no evidence that the electrical grid would be negatively impacted or that any effects on the electrical grid would impact public safety. Given that the State has a directive to go carbon neutral by 2045, the ordinances also fit within the statewide framework toward decarbonization that is already underway. The ordinance to provide regulatory flexibility is additionally categorically exempt from environmental review under the Class 3 exemptions for (1) construction and location of limited numbers of new small facilities or structures (2) installation of small new equipment and facilities in small structures (15303 CEQA Guidelines). FISCAL IMPACT Budgeted: Yes Budget Year: 2020-21 Funding Identified: Yes/No Item 5 Packet Page 20 Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund $50,000 TBD Total $50,000 TBD The Clean Energy Choice Program for New Buildings is a 2019-21 Climate Action Major City Goal work task that is identified to be continued as responsive to the Economic Recovery Meta Goal and funding and staff resources are allocated in the 2020-21 budget. For next steps, staff will submit to the CEC and have the program ready for implementation, anticipated September 1, 2020. The $50,000 figure presented in the Fiscal Analysis Table, above, represents encumbered funds for the technical support component of the Clean Energy Choice Incentive Program. ALTERNATIVES 1. No Action. The City Council could decide to take no action on the proposed ordinances that implement the Clean Energy Choice Program for New Buildings. This action is not recommended because it would prevent the program from going into effect. 2. Continue Discussion. The City Council could continue consideration of this item to a future date. If the Council chooses this option, direction should be provided to staff regarding the additional information needed to make a decision on the item. Attachments: a - Ordinance No. 1684 (2020 Series) b - Ordinance No. 1685 (2020 Series) c – COUNCIL READING FILE – Council Agenda Report dated June 16, 2020 Item 5 Packet Page 21 O 1684 ____ ORDINANCE NO. 1684 (2020 SERIES) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, ESTABLISHING THE CLEAN ENERGY CHOICE PROGRAM BY AMENDING THE CITY OF SAN LUIS OBISPO BUILDING CODE TO REQUIRE HIGHER ENERGY PERFORMANCE FOR NEWLY CONSTRUCTED STRUCTURES WHEREAS, greenhouse gas accumulation in the atmosphere as the result of human activity is the primary cause of the global climate crisis; and WHEREAS, in California alone, the initial impacts of climate change have resulted in unprecedented disasters with tremendous human, economic, and environmental costs; and WHEREAS, the Intergovernmental Panel on Climate Change estimates that global emissions need to be reduced by 45 percent from 2010 levels by 2030, and 100 percent by 2050 to prevent global catastrophe; and WHEREAS, the State of California enacted Senate Bill (SB) 32 to require greenhouse gas emissions to be reduced to 40 percent below 1990 levels by 2030 and Governor Brown issued Executive Order B-55-18 establishing a statewide target of carbon neutrality by 2045; and WHEREAS, City of San Luis Obispo residents and businesses have repeatedly identified climate action as a top community priority; and WHEREAS, the City of San Luis Obispo City Council has directed staff to evaluate strategies and options to achieve community-wide carbon neutrality by 2035; and WHEREAS, the inventoried greenhouse gas emissions in the City of San Luis Obispo come from a variety of sources, primarily transportation and energy use in buildings and facilities; and WHEREAS, as of January 2020, the community will have access to carbon neutral electricity procured by Monterey Bay Community Power; and WHEREAS, the remaining source of greenhouse gas emissions from energy use in buildings will come from the onsite combustion of fossil fuels, primarily natural gas; and WHEREAS, the direct global warming impact of natural gas is considerably higher than previously thought; and WHEREAS, in order to achieve carbon neutrality, new sources of greenhouse gas emissions need to be substantially reduced or eliminated; and WHEREAS, Public Resources Code Section 25402.1(h)(2) allows more stringent local amendments to the energy conservation provisions in the California Energy Code; and Item 5 Packet Page 22 Ordinance No. 1684 (2020 Series) Page 2 O 1684 WHEREAS, the California Statewide Codes and Standards Program, has determined specific modifications to the 2019 State Energy Code for each climate zone that are cost-effective; and that such modifications will result in designs that consume less energy than they would under the 2019 State Energy Code; and WHEREAS, staff has reviewed the “2019 Nonresidential New Construction Reach Code Cost Effectiveness Study” and “2019 Cost-effectiveness Study: Low-Rise Residential New Construction” developed for the California Energy Codes and Standards Program and find them sufficient to illustrate compliance with the requirements set forth under California Administrative Code Chapter 10-106; and WHEREAS, based on these studies, the City finds the proposed local amendments to the 2019 California Energy Code that affect building energy performance to be cost-effective and consume less energy than permitted by Title 24, Part 6; and WHEREAS, the 2019 California Energy Code offers compliance options that were established through the public rulemaking process of the code update; and WHEREAS, the Council expressly declares that the proposed amendments to the Energy Code are reasonably necessary because of local climatic, topological, and geological conditions; and WHEREAS, the requirements specified in this Ordinance were reviewed via public comment, through a robust outreach process, and through a publicly noticed public hearing process; and WHEREAS, Resolution No. 11133 (2020 Series) establishes a policy preference for all- electric buildings and resolves that new buildings in the city shall not cause a net increase in community greenhouse gas emissions as the result of on-site energy use; and WHEREAS, a first reading of Ordinance 1668 (2019 Series) to establish local amendments to the California Building Code was approved by Council, but the ordinance was not adopted. NOW, THEREFORE, BE IT ORDAINED by the Council of the City of San Luis Obispo as follows: SECTION 1. Purpose. It is the purpose and intent of this Ordinance to establish the Clean Energy Choice Program, including standards for new buildings to exceed minimum 2019 Title 24 Part 6 requirements. SECTION 2. Adoption. The 2019 California Building Code, Title 24, Part 6, is hereby adopted by the City of San Luis Obispo with local amendments to be codified under Chapter 15.04 as specified in Exhibit A. The Council hereby adopts the recitals herein as separate and additional findings of fact in support of adoption of the ordinance. Item 5 Packet Page 23 Ordinance No. 1684 (2020 Series) Page 3 O 1684 SECTION 3. Severability. If any word, phrase sentence part, section, subsection or other portion of this amendment or any application thereof to any person or circumstance is declared void, unconstitutional, or invalid for any reason, then such word, phrase, sentence, part, sectio n, subsection, or other portion, or the prescribed application thereof, shall be severable, and the remaining provisions of this amendment, and all applications thereof, not having been declared void, unconstitutional or invalid, shall remain in full force and effect.  The City of San Luis Obispo hereby declares that it would have passed this amendment and each section, subsection sentence, clause and phrase of this amendment, irrespective of the fact that any one or more sections, subsection, sentences, clauses or phrases is declared invalid or unconstitutional. SECTION 4 - Findings. The City Council finds that each of the changes or modifications to measures referred to therein are reasonably necessary because of local climatic, geological, or topographical conditions in the area encompassed by the boundaries of the City of San Luis Obispo, and the City Council adopts the following findings in support of local necessity for the changes or modifications: 1. As a city located on the California Central Coast, San Luis Obispo is vulnerable to the effects of sea level rise and resultant flooding within the San Luis Creek watershed, and human activities releasing greenhouse gases into the atmosphere cause increases in worldwide average temperature, which contribute to melting of glaciers and thermal expansion of ocean water –resulting in rising sea levels. 2. San Luis Obispo is already experiencing the repercussions of excessive greenhouse gas emissions as rising sea levels and severe weather events threaten the City’s nearby shoreline and infrastructure and cause significant erosion leading to infrastructure failures including the Mud Creek slide resulting in closure of Highway 1 for repairs, and economic impacts to surrounding communities. 3. San Luis Obispo is situated along a wildland-urban interface and has been identified as a Community at Risk from wildfire and is extremely vulnerable to wildfires and firestorms, and human activities releasing greenhouse gases into the atmosphere cause increases in worldwide average temperature, drought conditions, vegetative fuel, and length of fire seasons- contributing to the likelihood and consequences of fire. 4. The City of San Luis Obispo is situated at the base of a watershed of the Santa Lucia Mountains and flooding of San Luis, Chorro, Stenner, Old Garden, and Brizzolara Creeks results in conditions rendering fire department vehicular traffic unduly burdensome or impossible, as witnessed in major floods that occurred in 1952, 1961, 1969, 1973, 1978, 1982, and 1995. Furthermore, flood conditions described above create the potential for overcoming the ability of the fire department to aid or assist in fire control, evacuations, rescues and other emergency task demands inherent in such situations. The resulting overburdening of fire department personnel may cause a substantial or total lack of protection against fire for the buildings and structures located in the City of San Luis Obispo. The afore-described conditions support the imposition of fire protection requirements greater than those set forth in the California State Building Standards Code and, in particular, support the imposition of more restrictive requirements than set forth in the California Energy Code for the purpose of reducing the City’s contributions to Greenhouse Gas Emissions resulting in a warming climate and related severe weather events. Item 5 Packet Page 24 Ordinance No. 1684 (2020 Series) Page 4 O 1684 5. The aforementioned flood and rain events result in conditions wherein stormwater can inundate the wastewater treatment system as witnessed in major floods that occurred in 1952, 1961, 1969, 1973, 1978, 1982, and 1995. Furthermore, rain events and flood conditions described above create a condition referred to as Inflow and Infiltration (I/I) that allow rain and flood waters to flow and/or seep into the wastewater system and overcome the ability of the wastewater collection system and Water Reclamation Facility (WRF) to convey and treat sewage. The resulting overburdening of the wastewater system can result in threats to public health, public and private property and water quality and violations and fines from the State of California, the Environmental Protection Agency (EPA) or others. To the extent that climate change has the potential to make these conditions worse, more restrictive Energy Code requirements to achieve reduced greenhouse gas emissions are necessary. 6. The City of San Luis Obispo is situated near three major faults each capable of generating earthquakes with a magnitude of 7.5. These are the San Andreas to the east of the City, the Nacimiento-Rinconada that crosses Hwy 101 north of the City then parallels the City to the east, and the Hosgri to the West. Other faults of importance are the Huasna and West Huasna to the Southeast of the City, the San Simeon to the Northwest, and the Edna and Edna Extended faults which enter the southern areas of the City. In as much as these faults are included as major California earthquake faults, which are subject to becoming active at any time, the City of San Luis Obispo is particularly vulnerable to devastation should such an earthquake occur. The potential effects include isolating the City of San Luis Obispo from the North and South due to the potential for collapsing of freeway overpasses or a slide on both the Cuesta and Ontario Grades and the potential for horizontal or vertical movement of the Edna fault rendering surface travel across the southern extremities of the city unduly burdensome or impossible. Additional potential situations inherent in such an occurrence include loss of the City's two main water sources (the Salinas and Whale Rock reservoirs), broken natural-gas mains causing structure and other fires, leakage of hazardous materials, the need for rescues from collapsed structures, and the demand for first aid and other medical attention to large numbers of people. As a result, the City is pursuing a policy to discourage additional natural gas extensions and the related, expanded risk of gas leaks and explosions during seismic events for the protection of human life and the preservation of property in the event of such an occurrence. 7. That seasonal climatic conditions during the late summer and fall create numerous serious difficulties in the control and protection against fire situations in the City of San Luis Obispo. The hot, dry weather in combination with Santa Lucia (offshore) winds frequently results in wildland fires in the brush-covered slopes on the Santa Lucia Mountains, San Luis Mountain, and the Irish Hills areas of the City of San Luis Obispo. The aforementioned areas surround the City. When a fire occurs in said areas, such as occurred in 1985 when the Los Pilitas fire burned six days and entered the City and damaged many structures, the entirety of local fire department personnel is required to control, monitor, fight and protect against such fire situations in an effort to protect life and preserve property and watershed land. The same climatic conditions may result in the concurrent occurrence of one or more fires in the more populated areas of the City without adequate fire department personnel to protect against and control such a situation. Therefore, the above-described findings support the imposition of measures Item 5 Packet Page 25 Ordinance No. 1684 (2020 Series) Page 5 O 1684 to increase the efficiency of new buildings in the City and reduce Green House Gas emissions from carbon, and support reducing the amount of natural gas distributed and used throughout the City. SECTION 5 CEQA. This ordinance is categorically exempt from CEQA because it is an action taken by a regulatory agency for the purpose of protecting the environment (CEQA Guidelines Section 15308). In addition, this ordinance is exempt from CEQA under the general rule, 15061(b)(3), on the grounds that these standards are more stringent than the State energy standards, there are no reasonably foreseeable adverse impacts, and there is no possibility that the activity in question may have a significant effect on the environment. The following findings are made in support of these determinations: 1. The purpose of the City’s Clean Energy Choice Policy and the implementation of a Reach Code is to reduce the amount of greenhouse gas emissions in the City of San Luis Obispo that are produced from buildings. 2. All electric buildings constructed in the City of San Luis Obispo consistent with the Clean Energy Choice Policy and implementation of a Reach Code will reduce greenhouse gas emissions, improve indoor air quality, and reduce the risk of catastrophic infrastructure failure, including explosions and fires caused by breaks and leaks in the natural gas distribution system as a result of upset conditions due to deferred maintenance or following an earthquake. 3. The Reach Code approval process requires that City determine it is cost effective and that the local standards will require buildings to use no more energy than current statewide. Furthermore, the CEC approval process requires that the City make the findings as part of its approval process. Therefore, the Reach Code standards can only go into effect if they protect the environment by making buildings more efficient and in a cost-effective manner. 4. The City’s Clean Choice Energy Program enables property owners and developers to take advantage of a statewide effort to build a clean, efficient, and reliable grid to serve expanding energy needs across the State of California. 5. The Intergovernmental Panel on Climate Change estimates that global emissions need to be reduced by 45 percent from 2010 levels by 2030, and 100 percent by 2050 to prevent global catastrophe. However, due to the lack of coordinated action or a comprehensive plan to address this threat at a national level, cities and states across the United States must lead the way. SECTION 6. Violations. Violation of the requirements of this Ordinance shall be considered an infraction of the City of San Luis Obispo Municipal Code, punishable by all the sanctions prescribed in Chapter 1.12. SECTION 7. Effective Date. This Ordinance shall be effective as of September 1, 2020. Item 5 Packet Page 26 Ordinance No. 1684 (2020 Series) Page 6 O 1684 SECTION 8. 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 New Times, 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 16th day of June 2020, AND FINALLY ADOPTED by the Council of the City of San Luis Obispo on the _____ day of _____ 2020, 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, on _____________________. ______________________________ Teresa Purrington City Clerk Item 5 Packet Page 27 Ordinance No. 1684 (2020 Series) – EXHIBIT A Page A-1 O 1684 ____ Ordinance No. 1684 Exhibit A Section 15.04.110 AMENDMENTS - CALIFORNIA ENERGY CODE A. Adoption of Codes and Applicability. 1. The City of San Luis Obispo hereby adopts the 2019 California Code of Regulations, Title 24, Part 6 (California Energy Code) with local amendments as set forth herein. The provisions of such are hereby referred to, adopted, and made a part hereof as if fully set out in this Chapter except as modified hereinafter. These regulations will be known as the City of San Luis Obispo Energy Reach Code and all prior provisions are hereby superseded. 2. The effective date of this ordinance shall be September 1, 2020 and is applicable to new construction buildings including those that are built after a demolition. The amendments contained in 15.04.110 do not apply to Additions, Alterations, or Attached Accessory Dwelling Units. Residential subdivisions in process of permitting or constructing initial public improvements for any phase of a final map recorded prior to January 1, 2020 are exempt, unless compliance is required by an existing Development Agreement. Additional exemptions and exceptions are identified below. 3. Notwithstanding the requirements of this Chapter and the Council's Clean Energy Choice Policy, and other public health and safety hazards associated with natural gas infrastructure, natural gas may be allowed in a building otherwise subject to the requirements of this ordinance if the authority responsible for entitling or permitting the project makes any of the following findings: a. That current limitations of electric power infrastructure in the vicinity of the project site make it impossible to serve the project without significant upgrades, such as to transformers or other distribution equipment, that are outside the scope of the proposed project and would render it economically infeasible. b. The proposed project would result in a de minimis use of natural gas that could be offset, such as through a sequestration project or other proposal directly tied to the development project. c. Consistent with the purpose and intent of these regulations, the authority granting approval to a project may permit the use of natural gas without requiring the additional efficiency requirements or appliance pre -wiring if it is determined to be necessary to serve public health, safety and welfare. B. Amend Section 100.1(b) by adding the following definitions: ALL-ELECTRIC BUILDING is a building that has no natural gas plumbing installed within the building and that uses electricity as the source of energy for all space heating, water heating, cooking appliances, and clothes drying appliances. An All-Electric Building may be plumbed for the use of natural gas as fuel for appliances in a commercial kitchen. MIXED-FUEL BUILDING is a building that is plumbed for the use of natural gas as fuel for space heating, water heating, cooking or clothes drying appliances. Item 5 Packet Page 28 Ordinance No. 1684 (2020 Series) Page 2 O 1684 ACCESSORY DWELLING UNIT, DETACHED is an Accessory Dwelling Unit (see City of San Luis Obispo Municipal Code 17.156.004) that provides new residential square footage not attached or sharing any walls with the primary existing single-unit dwelling. ACCESSORY DWELLING UNIT, ATTACHED is an Accessory Dwelling Unit (see City of San Luis Obispo Municipal Code 17.156.004) that is either attached to (by a minimum of one shared wall), or completely contained within, the primary existing space of the single-unit dwelling unit or existing accessory structure.. C. Amend Section 140.0(b) to read as follows: (b) The requirements of Sections 120.0 through 130.5 (mandatory measures for nonresidential, high-rise residential and hotel/motel buildings): 1. The entire solar zone of newly constructed buildings, as specified in Section 110.10, shall have a solar PV system installed that meets the minimum qualification requirements as specified in Joint Appendix JA11, subject to the exceptions in Section 110.10. D. Amend Section 140.0(c) to read as follows: (c) Either the performance compliance approach (energy budgets) specified in Section 140.1 or the prescriptive compliance approach specified in Section 140.2 for the Climate Zone in which the building will be located. Climate zones are shown in FIGURE 100.1-A. Exception to 140.0(c): Mixed-Fuel buildings shall use the performance compliance approach (energy budgets) specified in Section 140.1 E. Section 140.1 is modified as follows: SECTION 140.1 – PERFORMANCE APPROACH: ENERGY BUDGETS A newly constructed All-Electric Building complies with the performance approach if the energy budget calculated for the Proposed Design Building under Subsection (b) is no greater than the energy budget calculated for the Standard Design Building under Subsection (a). Item 5 Packet Page 29 Ordinance No. 1684 (2020 Series) Page 3 O 1684 A newly constructed Mixed-Fuel Building complies with the performance approach if the energy budget calculated for the Proposed Design Building under Subsection (b) has a compliance margin, relative to the energy budget calculated for the St andard Design Building under Subsection (a), of at least the value specified for the corresponding occupancy type in Table 140.1-A below. Table 140.1-A MIXED FUEL BUILDING COMPLIANCE MARGINS Occupancy Type Compliance Margins Office / Retail 15% Hotel/motel and High-rise residential 9% All other occupancies in buildings with both indoor lighting and mechanical systems 5% All other occupancies in buildings with indoor lighting or mechanical systems but not both 5% a) Energy Budget for the Standard Design Building. The energy budget for the Standard Design Building is determined by applying the mandatory and prescriptive requirements to the Proposed Design Building. The energy budget is the sum of the TDV energy for space-conditioning, indoor lighting, mechanical ventilation, service water heating, and covered process loads. b) Energy Budget for the Proposed Design Building. The energy budget for a Proposed Design Building is determined by calculating the TDV energy for the Proposed Design Building. The energy budget is the sum of the TDV energy for space-conditioning, indoor lighting, mechanical ventilation and service water heating and covered process loads. c) Calculation of Energy Budget. The TDV energy for both the Standard Design Building and the Proposed Design Building shall be computed by Compliance Software certified for this use by the Commission. The processes for Compliance Software approval by the Commission are documented in the ACM Approval Manual. Note: Authority: Sections 25213, 25218, 25218.5, 25402 and 25402.1, Public Resources Code. Reference: Sections 25007, 25008, 25218.5, 25310, 25402, 25402.1, 25402.4, 25402.5, 25402.8, and 25943, Public Resources Code. Exception 1 to 140.1: The following buildings and uses shall comply with the performance approach if the energy budget calculated for the Proposed Design Building under Subsection (b) is no greater than the energy budget calculated for the Standard Design Building under Subsection (a): A. Essential Service buildings and public facilities where natural gas is necessary to meet the requirements of other permitting agencies or is demonstrated to be necessary for the purpose of protecting public health, safety and welfare. Item 5 Packet Page 30 Ordinance No. 1684 (2020 Series) Page 4 O 1684 F. Amend Section 140.2 to read as follows: To comply using the prescriptive approach, a building shall be designed with and shall have constructed and installed systems and components meeting the applicable requirements of Sections 140.3 through 140.9. Note: Authority: Sections 25213, 25218, 25218.5, 25402 and 25402.1, Public Resources Code. Reference: Sections 25007, 25008, 25218.5, 25310, 25402, 25402.1, 25402.4, 25402.5, 25402.8, and 25943, Public Resources Code. Exception to 140.2: Mixed-Fuel Buildings, except those buildings and uses identified in Exception 1 to 140.1, shall only use the performance compliance approach (energy budgets) specified in Section 140.1. G. Amend the first two paragraphs of Section 150.0 to read as follows: SECTION 150.0 – MANDATORY FEATURES AND DEVICES Low-rise residential buildings shall comply with the applicable requirements of Sections 150(a) through 150.0(s). Note: The requirements of Sections 150.0(a) through 150.0(s) apply to newly constructed buildings. Sections 150.2(a) and 150.2(b) specify which requirements of Sections 150.0(a) through 150.0(s) also apply to additions or alterations. H. Add Subsection (5) to Section 150.0(h) to read as follows: 5. Systems using gas space heating equipment shall include the following components: A. A designated exterior location for a future heat pump compressor unit with either a drain or natural drainage for condensate from possible future operation as cooling equipment. B. For equipment serving individual units, a dedicated 208/240 volt, 30-amp or greater electrical circuit that is able to be connected to the electric panel with conductors of adequate capacity, terminating within 3 feet from the designated future location of the compressor unit with no obstructions. In addition, all of the following: i. Both ends of the conductor shall be labeled with the word “For Future Heat Pump Space Heater” and be electrically isolated; and ii. A double pole circuit breaker in the electrical panel labeled with the words "For Future Heat Pump Space Heater"; and iii. Other electrical components, including conductors, receptacles or blank covers, related to this section shall be installed in accordance with the California Electrical Code. Exception to Section 150.0(h)5.B: If a 240 volt 30 amp or greater electrical circuit and compressor unit location exists for space cooling equipment. Item 5 Packet Page 31 Ordinance No. 1684 (2020 Series) Page 5 O 1684 C. For equipment serving more than one dwelling unit, electric capacity, determined at 240 volts, in the form of raceway and service and subpanel capacity installed with a termination point of no more than 3 feet from each gas outlet. Capacities shall be determined to be sufficient for heat pump space heating equipment to provide the same heat output as the gas equipment. Exception 1 to Section 150.0(h)5: If centralized space cooling equipment is installed for all the affected dwelling units. Exception 2 to Section 150.(h)5: Systems serving Accessory Dwelling Units, Attached to an existing single-family home. I. Amend Section 150.0(n) to read as follows: n) Water Heating System. 1. Systems using gas or propane water heaters to serve individual dwelling units shall include the following components: A. A dedicated 125 volt, 20 amp receptacle that is connected to the electric panel with a 120/240 volt 3 conductor, 10 AWG copper branch circuit, within 3 feet from the water heater and accessible to the water heater with no obstructions. In addition, all of the following: i. Both ends of the unused conductor shall be labeled with the words “For Future Heat Pump Water Heater” and be electrically isolated; and ii. A reserved single pole circuit breaker space in the electrical panel adjacent to the circuit breaker for the branch circuit in A above and labeled with the words "For Future Heat Pump Water Heater"; and iii. Other electrical components, including conductors, receptacles or blank covers, related to this section shall be installed in accordance with the California Electrical Code. NOTE: Appliances shall not be considered “obstructions”. Exception to 150(n)1.A: Systems serving Accessory Dwelling Unit, Attached to an existing single-family home. B. A Category III or IV vent, or a Type B vent with straight pipe between the outside termination and the space where the water heater is installed; and C. A condensate drain that is no more than 2 inches higher than the base of the installed water heater, and allows natural draining without pump assistance, and D. A gas supply line with a capacity of at least 200,000 Btu/hr. E. Located in an area that is both: i. At least 3 feet by 3 feet by 7 feet high; and ii. Has a minimum volume of 760 cubic feet or a ventilation plan that includes the equivalent of one 16 inch by 24 inch grill for warm supply air and one 8 inch duct of no more than 10 feet in length for cool exhaust air. Item 5 Packet Page 32 Ordinance No. 1684 (2020 Series) Page 6 O 1684 Exception to 150.0(n)1.E: Located in Accessory Dwelling Units, Detached 2. Water heating recirculation loops serving multiple dwelling units shall meet the requirements of Section 110.3(c)5. 3. Solar water-heating systems and collectors shall be certified and rated by the Solar Rating and Certification Corporation (SRCC), the International Association of Plumbing and Mechanical Officials, Research and Testing (IAPMO R&T), or by a listing agency that is approved by the Executive Director. 4. Instantaneous water heaters with an input rating gre ater than 6.8 kBTU/hr (2kW) shall meet the requirements of Section 110.3(c)7. 5. Systems using gas water heaters to serve multiple dwelling units and/or common areas shall: A. Be located in a space that can accommodate a heat pump water heating system of equivalent capacity and performance; and B. Have electrical capacity installed for a heat pump water heater(s) in the form of raceway and service and subpanel capacity, with a termination point of no more than 3 feet from each gas outlet. The electrical capacity shall be determined at 208/240 volts and shall be sufficient to power a heat pump hot water heater of equivalent capacity and performance. Plans shall include calculations and installations for equivalent capacity and performance, electrical power, conductors, raceway sizes and panel capacities in accordance with the California Electrical Code. J. Add Subsection (s) to Section 150.0 to read as follows: s) Clothes Drying and Cooking. Buildings plumbed for natural gas clothes drying or cooking equipment shall include the following components for each gas terminal or stub out: 1. Clothes Drying. A. A dedicated 208/240-volt, 30 amp or greater electrical receptacle that is able to be connected to the electric panel with conductors of adequate capacity, within 3 feet of the appliance and accessible with no obstructions. In addition, all of the following: i. Both ends of the conductor shall be labeled with the word “For Future Electric Clothes Dryer” and be electrically isolated; ii. A double pole circuit breaker in the electrical panel labeled with the words "For Future Electric Clothes Dryer"; and iii. All electrical components including conductors, receptacles or blank covers, related to this section shall be installed in accordance with the California Electrical Code. 2. Cooktop or Range A. A dedicated 208/240-volt, 40 amp or greater circuit and 50 amp or greater electrical receptacle that is able to be connected to the electric panel with conductors of adequate capacity, within 3 feet of the Item 5 Packet Page 33 Ordinance No. 1684 (2020 Series) Page 7 O 1684 appliance and accessible with no obstructions. In addition, all of the following: i. Both ends of the conductor shall be labeled with the word “For Future Electric Range” and be electrically isolated; and ii. A double pole circuit breaker in the electrical panel labeled with the words “For Future Electric Range”; and iii. All electrical components, including conductors, receptacles, or blank covers, related to this section shall be installed in accordance with the California Electrical Code. 3. Stand Alone Cooking Oven A. A dedicated 208/240-volt, 20 amp or greater receptacle that is able to be connected to the electric panel with conductors of adequate capacity, within 3 feet of the appliance and accessible with no obstructions. In addition, all of the following: i. Both ends of the conductor shall be labeled with the word “For Future Electric Oven” and be electrically isolated; and ii. A double pole circuit breaker in the electrical panel labeled with the words "For Future Electric Oven"; and iii. All electrical components, including conductors, receptacles or blank covers, related to this section shall be installed in accordance with the California Electrical Code. NOTE: Appliances shall not be considered “obstructions” K. Amend Section 150.1(b) to read as follows: b) Performance Standards. A building complies with the performance standards if the energy consumption for the Proposed Design Building is no greater than the energy budget calculated for the Standard Design Building using Commission-certified compliance software as specified by the Alternative Calculation Methods Approval Manual. Mixed-Fuel Buildings must additionally reach an EDR threshold beyond the Standard Design in order to comply with performance standards. L. Amend Section 150.1(b)1 and 2 to read as follows: 1. Newly Constructed Buildings. The Energy Budget for newly constructed buildings or newly constructed Detached Accessory Dwelling Units is expressed in terms of the Energy Design Rating, which is based on TDV energy. The Energy Design Rating (EDR) has two components, the Energy Efficiency Design Rating, and the Solar Electric Generation and Demand Flexibility Design Rating. The Solar Electric Generation and Demand Flexibility Design Rating shall be subtracted from the Energy Efficiency Design Rating to determine the Total Energy Design Rating. The Proposed Building shall separately comply with the Energy Efficiency Design Rating and the Total Energy Design Rating. A. An All-Electric Building complies with the performance standards if both the Total Energy Design Rating and the Energy Efficiency Design Rating for the Proposed Building are no greater than the corresponding Energy Design Ratings for the Standard Design Building. Item 5 Packet Page 34 Ordinance No. 1684 (2020 Series) Page 8 O 1684 B. A Mixed-Fuel Building complies with the performance standards if: i. The Energy Efficiency Design Rating of the Proposed Building is no greater than the Energy Efficiency Design Rating for the Standard Design Building; ii. The Total Energy Design Rating of the Proposed Building is less than the Total Energy Design Rating of the Standard Design Building by at least 9 for a single-family dwelling unit and 9.5 for a multi-family dwelling unit. Exception to Section 150.1(b)1.B.ii. Buildings with limited solar access are excepted if all of the following are true: 1. The Total Energy Design Rating for the Proposed Building is no greater than the Total Energy Design Rating for Standard Design Building; and 2. A photovoltaic (PV) system(s) meeting the minimum qualification requirements as specified in Joint Appendix JA11 is installed on all available areas of 80 contiguous square feet or more with effective annual solar access. Effective annual solar access shall be 70 percent or greater of the output of an unshaded PV array on an annual basis, wherein shade is due to existing permanent natural or manmade barriers external to the dwelling, including but not limited to trees, hills, and adjacent structures; and 3. The Energy Efficiency Energy Design Rating for the Proposed Building is no greater than the respective value for the Standard Design Building by the EDR margin in Table 150.1(b)1 below. Table 150.1(b)1 Energy Efficiency EDR Margins Building Type Energy Efficiency EDR Margin Single Family 2.5 Multifamily 0.5 Exception to Section 150.1(b)1.: A community shared solar electric generation system, or other renewable electric generation system, and/or community shared battery storage system, which provides dedicated power, utility energy reduction credits, or payments for energy bill reductions, to the permitted building and is approved by the Energy Commission as specified in Title 24, Part 1, Section 10 -115, may offset part or all of the solar electric generation system Energy Design Rating required to comply with the Standards, as calculated according to methods established by the Commission in the Residential ACM Reference Manual. M. Amend Section 150.1(c) to read as follows: Prescriptive Standards/Component Package. All-Electric Buildings that comply with the prescriptive standards shall be designed, constructed, and equipped to meet all of the requirements for the appropriate Climate Zone shown in TABLE 150.1 -A or B. In TABLE 150.1-A and TABLE 150.1-B, a NA (not allowed) means that feature is not permitted in a particular Climate Zone and a NR (no requirement) means that there is no prescriptive requirement for that feature in a particular Climate Zone. Mixed-fuel buildings shall comply with requirements of section 150.1(b). Installed components for All-Electric Buildings shall meet the following requirements: NOTE: The rest of the Section 150.1(c) applies without modifications but is not reproduced here for brevity. Item 5 Packet Page 35 R 1685 ORDINANCE NO. 1685 (2020 SERIES) AN ORDINACE OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO AMENDING TITLE 17 (ZONING REGULATIONS) OF THE MUNICIPAL CODE SUPPORTING THE CLEAN ENERGY CHOICE PROGRAM (PL-CODE-0062-2020) WHEREAS, the State of California enacted Senate Bill (SB) 32 to require greenhouse gas emissions to be reduced to 40 percent below 1990 levels by 2030; and WHEREAS, former Governor Brown issued Executive Order B-55-18 establishing a statewide target of carbon neutrality by 2045; and WHEREAS, City of San Luis Obispo residents and businesses have repeatedly identified climate action as a top community priority; and WHEREAS, the City of San Luis Obispo City Council has directed staff to evaluate strategies and options to achieve community-wide carbon neutrality by 2035; and WHEREAS, the inventoried greenhouse gas emissions in the City of San Luis Obispo come from a variety of sources, primarily transportation and energy use in buildings and facilities; and WHEREAS, as of January 2020, the community has access to carbon neutral electricity procured by Monterey Bay Community Power; and WHEREAS, the remaining source of greenhouse gas emissions from energy use in buildings will come from the onsite combustion of fossil fuels, primarily natural gas; and WHEREAS, the direct global warming impact of natural gas is considerably higher than previously thought; and WHEREAS, in order to achieve carbon neutrality, new sources of greenhouse gas emissions need to be substantially reduced or eliminated; and WHEREAS, all-electric buildings are operationally carbon neutral; and WHEREAS, Resolution No. 11133 (2020 Series) establishes a “Clean Energy Choice Policy” preference for all-electric buildings and resolves that new buildings in the city shall not cause a net increase in community greenhouse gas emissions as the result of on -site energy use; and WHEREAS, although all-electric buildings are common in the U.S., local and regional developers may be designing their first electric building; and Item 5 Packet Page 36 Ordinance No. 1685 (2020 Series) Page 2 O 1685 WHEREAS, highly efficient electric appliances may require mechanical equipment that projects in the building pipeline may not have planned for; and WHEREAS, local and regional builders have expressed certain design standards as potential obstacles to designing and constructing all-electric buildings; and WHEREAS, minor allowances within Zoning Code Chapter 17.070 (Site Development and General Development Standards) for a specified time period would assist local and regional builders construct all-electric buildings that are in the building pipeline; and WHEREAS, the proposed ordinance is supported by policies in Chapter 9 of the City’s General Plan Land Use Element, specifically Policies 9.4 relating to implementation of the City’s Climate Action Plan and 9.7 relating to the promotion of sustainable design, and Program 9.13 to provide incentives for projects that incorporate sustainable design features; and WHEREAS, the proposed requirements specified in this Ordinance provide temporary incentives to support the initial implementation of the City’s Clean Energy Program and will end on December 31, 2022 to coincide with the next adoption of the City’s Building Code Update; and WHEREAS, on February 26, 2020 the Planning Commission conducted a public hearing and recommended that the City Council introduce and adopt the proposed ordinance; and WHEREAS, on June 16, 2020 the City Council conducted a duly noticed Public Hearing to consider testimony and input on the proposed ordinance. NOW, THEREFORE, BE IT RESOLVED by the City Council of San Luis Obispo as follows: SECTION 1. Findings. Based upon all the evidence, the City Council makes the following findings: 1. The proposed amendments to Title 17 will not significantly alter the character of the City or cause significant health, safety, or welfare concerns, since the amendment is consistent with the General Plan and directly implement City goals and policies to facilitate All-Electric buildings and the Clean Energy Choice Program. 2. The proposed amendments to Title 17 are consistent with existing zoning practices by establishing reasonable regulations to authorize the Director of Community Development to act on certain applications on an administrative basis due to the minor nature of a proposed improvement, use of land or allowed deviation from development standards. Item 5 Packet Page 37 Ordinance No. 1685 (2020 Series) Page 3 O 1685 3. The proposed amendment to the text of the Zoning Ordinance is consistent with the purpose of the Zoning Ordinance to promote the growth of the City in an orderly manner and to promote and protect the public health, safety, and general welfare in that the proposed allowances to development standards are minor in nature and will and otherwise maintain the existing policies, standards and regulations of the Zoning Ordinance. 4. Periodic amendments, updates, and corrections of the Municipal Code are consistent with General Plan Policy to maintain regulations which are effective in implementing policies consistent with the General Plan. 5. The amendment is temporary and includes a sunset date of December 31, 2022. SECTION 2. Environmental Review. The City Council finds that the adoption of this ordinance is exempt from the California Environmental Quality Act (“CEQA”), in that the Zoning Amendment contained herein do not have the potential for causing a significant effect on the environment, pursuant to Sections 15061(b)(3). The amendment to zoning regulations; 1)does not lead to physical improvements beyond those typically exempt; and 2)is not specifically listed as categorical or statutory exemptions but exhibit characteristics similar to one or more specific exemptions; and 3)provides allowances to specific development standards that are minor in nature, for a limited time in the area immediately surrounding and attached to approved structures and existing improvements and is not anticipated to have a significant effect on the environment. The ordinance additionally is categorically exempt from environmental review under the Class 3 exemptions for (1) construction and location of limited numbers of new, small facilities or structures and (2) installation of small new equipment and facilities in small structures (§15303, CEQA Guidelines.) Item 5 Packet Page 38 Ordinance No. 1685 (2020 Series) Page 4 O 1685 SECTION 3. Action. Title 17 of the Municipal Code (Zoning Regulations) is hereby amended to support the Clean Energy Choice Program by providing temporary authority to the Community Development Director to grant incentives related to the standards set forth in various sections of Municipal Code Chapter 17.70 (Site Development and General Development Standards) as set forth in Exhibit A attached hereto. Be it further recommended that the Ordinance shall be effective for a limited term beginning July 1, 2020 and concluding December 31, 2022. INTRODUCED on the 16th day of June, 2020, AND FINALLY ADOPTED by the Council of the City of San Luis Obispo on the ___ day of _________, 2020, on the following roll call 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, on ______________________. ______________________________ Teresa Purrington City Clerk Item 5 Packet Page 39 Ordinance No. 1685 (2020 Series) Page 5 O 1685 EXHIBIT A CHAPTER 17.70 SITE DEVELOPMENT AND GENERAL DEVELOPMENT STANDARDS Add Section 17.70.095 – Incentives related to new all-electric buildings A. Purpose. The purpose of these regulations is to support the City’s Clean Energy Choice program by providing temporary incentives in the application of site development standards, for the provision of all-electric buildings. B. Application. This Section shall apply to new all-electric buildings. C. Standards. Site Development Standards included in this Chapter 17.70 for Accessory Structures; Edge conditions; FAR; Fences, Walls and Hedges; Height Measurement and Exceptions, Hillside Development Standards; Lot Coverage; Mixed Use Development and Setbacks, may be exceeded to the minimum extent deemed necessary to allow for equipment installations or similar improvements to accommodate all-electric buildings. D. The Director may grant incentives to site development standards of this Chapter that are minor in nature without application for Director Action when all of the following circumstances apply: 1. The request directly relates to construction of an all-electric building and may include, but is not limited to, issues such as the installation of mechanical equipment; 2. The request provides the minor flexibility needed to design a project with all-electric buildings and results in better implementation of other Zoning Regulations or General Plan policies while allowing reasonable use of sites; 3. The request is minor in nature and does not have the potential to cause a significant effect on the environment; and 4. The Findings in Section 17.108.040 are met. E. Term. The provisions in this section shall apply to building permits with an application date after July 1, 2020 and prior to December 31, 2022. Item 5 Packet Page 40 Ordinance No. 1685 (2020 Series) Page 6 O 1685 Amend Section 17.158.006 - A by adding the following: “ALL-ELECTRIC BUILDING” is a building that has no natural gas plumbing installed within the building and that uses electricity as the source of energy for all space heating, water heating, cooking appliances, and clothes drying appliances. An All-Electric Building may be plumbed for the use of natural gas as fuel for appliances in a commercial kitchen. Item 5 Packet Page 41 Page intentionally left blank. Item 5 Packet Page 42 Department Name: Community Development Cost Center: 4008 For Agenda of: July 7, 2020 Placement: Consent Estimated Time: N/A FROM: Michael Codron, Community Development Director Prepared By: Cara Vereschagin, Housing Coordinator SUBJECT: REQUEST OF TRANSITIONS-MENTAL HEALTH ASSOCIATION TO REALLOCATE AFFORDABLE HOUSING FUNDS FROM BRANCH STREET APARTMENTS TO BISHOP STREET STUDIOS RECOMMENDATION Adopt a Resolution (Attachment A) approving the reallocation of Affordable Housing Funds in the amount of $20,644 from Branch Street Apartments to Bishop Street Studios. DISCUSSION The Affordable Housing Fund (AHF) allocations have been collected from commercial and residential developers to meet the City’s Inclusionary Housing Ordinance “in-lieu” of those developers providing actual affordable housing units. State planning and zoning law requires the fund to be used only for the purpose that it was established – to support affordable housing in the City of San Luis Obispo. These funds are awarded at the City C ouncil’s sole discretion, based on previously adopted Award Criteria. Requests for AHF support are evaluated by staff and forwarded to the City Council for consideration. The project requesting funds is described below and evaluated for how it meets these criteria. Overview of Request On June 4, 2019, the City awarded Transitions-Mental Health Association (TMHA) a grant of $330,000 of AHFs to assist with acquisition and rehabilitation of an existing, six-unit property for new low-income affordable housing (Attachment B). The property was successfully acquired and rehabilitated and is now home to six adults living with a mental illness diagnosis. TMHA was able to finance this project with City AHF dollars and State No Place Like Home (NPLH) program dollars. However, earlier this Spring, TMHA became aware that they were awarded additional funds through the State NPLH program, thus resulting in an excess of $20,644 of the City’s AHF allocation. TMHA’s other recent affordable housing development, Bishop Street Studios, came in over- budget, due to some additional, critical fire preventative construction. Because TMHA already has an extra $20,644 for the Branch Street Project, they are requesting that the City allow them to reallocate the excess for the additional work for Bishop Street Studios (Attachment C). Item 6 Packet Page 43 Staff finds TMHA’s request consistent with the AHF Award Criteria, and previously loaned a total of $850,000 in City AHFs to Bishop Street Studios in 2017 for construction of the affordable housing development. If this reallocation is not approved, TMHA will need to seek alternative financial means for the additional required construction work. Policy Context Providing financial assistance to affordable housing projects is a theme supported throughout the City’s Housing Element (HE). HE Goal 2 is Affordability, which specifically states “Accommodate affordable housing production that helps meet the City’s quantified objectives.” HE Program 2.5 states “…Continue to manage the Affordable Housing Fund so that the fund serves as a sustainable resource for supporting affordable housing development…” and “support high-quality housing projects that would not be feasible without Affordable Housing Fund support.” This request of TMHA to increase housing affordability for low income persons is in alignment with this goal and program. Public Engagement As this is a request to reallocate City Affordable Housing Funds, no public engagement is required. 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. 15378. FISCAL IMPACT Budgeted: No Budget Year: 2020-21 Funding Identified: No Fiscal Analysis Funding Sources Current FY Cost Annualized On-going Cost Total Project Cost General Fund State Federal Fees Other: Affordable Housing Fund $20,644 $0 $20,644 Total $20,644 $0 $20,644 The funding identified has already been expended in a form of a grant to TMHA. If the request to reallocate the funds is not approved, TMHA would pay back the excess funding to the City to be returned to the AHF balance. Item 6 Packet Page 44 ALTERNATIVES 1. Do not reallocate the AHF awards for the construction. This action is not recommended because the project meets all the criteria for AHF assistance and is consistent with the Housing Element of the General Plan. 2. Continue consideration of the proposed award. The City Council can direct staff to return with additional information regarding the funding request so that a final decision on the award amount can be made. Staff does not recommend this action because this would delay time this critical construction. Attachments: a - Draft Resolution b - Resolution No. 11016 (2019 Series) Approving AHF award to TMHA c - AHF Reallocation letter from TMHA Item 6 Packet Page 45 R ______ RESOLUTION NO. _____ (2020 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, APPROVING THE REALLOCATION OF AFFORDABLE HOUSING FUNDS TO TRANSITIONS-MENTAL HEALTH ASSOCIATION FROM BRANCH STREET APARTMENTS TO BISHOP STREET STUDIOS ($20,644) WHEREAS, the City Council of the City of San Luis Obispo met in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo, California, on June 4, 2019, and awarded Transitions-Mental Health Association (THMA) a grant of $330,000 of Affordable Housing Fund (AHF) to assist with acquisition and rehabilitation of new low -income affordable housing (the “Branch Street Apartments”) as declared by Resolution No. 11016; and WHEREAS, since THMA’s successful acquisition and rehabilitation of the Branch Street Apartments, THMA has become aware that due to additional State funding for the project, THMA has an excess of $20,644 of the City’s AHF awarded for the project; and WHEREAS, THMA has requested that the City allow it to reallocate the excess AHFs from the Branch Street Apartments project for additional work on an additional affordable housing development (the “Bishop Street Studios”); and WHEREAS, the proposed project by THMA meets the eligibility criteria established by the City Council; and WHEREAS, Housing Element policies and programs encourage and support the construction of new affordable housing in the City; and WHEREAS, the City Council has duly considered all evidence, including the testimony of the applicant, interested parties, and the evaluation and recommendations by staff at the said meeting. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. AHF Reallocation to Bishop Street Studios. The City Council does hereby approve a reallocation of AHF in an amount not to exceed $20,644, subject to the following condition of approval: 1. Prior to expenditure of any AHF, TMHA shall enter into a contractual agreement with the City outlining the terms of the reallocation grant. 2. Prior to expenditure of any AHF, TMHA shall submit invoices and proof of construction to the City for the proposed additional improvements to the project. Item 6 Packet Page 46 Resolution No. _____ (2020 Series) Page 2 R ______ SECTION 2. Environmental Determination. 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. 15378. Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _____________________ 2020. ____________________________________ 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, on _____________________. ____________________________________ Teresa Purrington City Clerk Item 6 Packet Page 47 RESOLUTION NO. 11016 (2019 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, APPROVING AN AFFORDABLE HOUSING FUND A WARD TO TRANSITIONS-MENTAL HEALTH ASSOCIATION FOR ACQUISITION OF AN EXISTING 6-UNIT PROPERTY TO BE REHABILITATED AS AFFORDABLE HOUSING IN THE AMOUNT OF $330,000 WHEREAS, the City Council of the City of San Luis Obispo met in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo California, on June 4, 2019, for the purpose of considering a request for Affordable Housing Fund (AHF) assistance; and WHEREAS, the proposed project by Transitions-Mental Health Association (THMA) meet the eligibility criteria established by the City Council· and WHEREAS, Housing Element policies and programs encourage and support the construction of new affordable housing in the City; and WHEREAS, the City Council has duly considered all evidence including the testimony of the applicant, interested parties, and the evaluation and recommendations by staff at the said meeting. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. Findings. The City Council does hereby make the following findings in support of the proposed AHF awards: 1. Eligibility: Use of the AHF for the requested purpose will increase or improve the City's affordable housing inventory and promote General Plan policies regarding housing, as follows: TMHA's project is eligible for Affordable Housing Funds because it increases the City s affordab le housing inventory and implements several General Plan policies regarding housing. The project will in crea e the supply of affordable housing for six low income adults Living with mental·health diagnoses. 2. Need: There exists a substantial or overarching need for the type of unit to be assisted, as follows: TMHA is houses over 250 clients annually with the goal of creating supported, permanent housing for adults with mental illness. Once opened, Bishop Street Studios will provide 34 housing units to this population. TMHA received around 300 applications for these units which demonstrates a clear need for this type of supported housing. R 11016 Item 6 Packet Page 48 Resolution No. 11016 (2019 Series) Page 2 3. Suitability: The project to be assisted is appropriate for its location both in terms of land use and design, as follows: This project is appropriate for this location, since the two existing homes are currently being utilized for residential use. The front house located on Branch Street is a I-bedroom, I-bathroom cottage. On the same lot, facing South Street, are five units consisting of two studios and three I-bedroom lofts. The property is in close proximity to amenities, public transportation, Meadow Park, and TMHA services. 4. Timing: The project would better serve the City's needs ifit were built immediately as opposed to later, as follows: TMHA received around 300 applications for the 34 units under construction in the Bishop Street Studios project, meaning there are approximately 266 community members in need of safe, supportive housing. TMHA knows that stable housing and recovery go hand-in-hand. This project will bring TMHA a few steps closer to providing housing for the hundreds of San Luis Obispo residents living with mental health diagnoses. 5. Financial Effectiveness: But for the requested funding, the project would not be economically feasible; or AHF funding "leverages" significant additional funding from other sources, as follows: TMHA will soon be awarded with a No Place Like Home (NPLH) grant, which provides funds to house low income adults with mental health diagnoses. The NPLH grant will be in the amount of $1,082,952, which leaves about a $330,000 balance to complete the purchase of the property. TMHA's request of $330,000 is a highly effective use of the City's Affordable Housing Funds, as the City will gain six units that will be affordable for a minimum of 55 years. 6. Readiness: The project has all necessary City approvals and is ready to proceed, as follows: The project did not need to obtain any City discretionary approvals. Upon the award of the City, THMA plans to close escrow on the property as early as June 2019. THMA will then make improvements to the units as needed and submit any plans to the City Building division as necessary. SECTION 2. Environmental Determination. 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. 15378. R 11016 Item 6 Packet Page 49 Resolution No. 11016 (2019 Series) Page 3 SECTION 3. AHF Award for Transitions-Mental Health Association. The City Council does hereby approve an AHF award in an amount not to exceed $330,000, subject to the following condition of approval: 1. Prior to release of any portion of the AHF award, the applicant shall enter into an affordability agreement with the City for the six (6) for-rent affordable housing units located at 527 Branch Street and 526 South Street for a term of fifty-five (55) years, which will be recorded against the title of the property. Upon motion of Council Member Christianson, seconded by Council Member Gomez, and on the following roll call vote: AYES: NOES: ABSENT: Council Members Christianson, Gomez, and Stewart, Vice Mayor Pease and Mayor Harmon None None The foregoing resolution was adopted this 4th day of June 2019. Mayor ATTEST: Teresa Purrington, City Cl r IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this \61 f day of ,}u.A/\:e , 2019. R 11016 Item 6 Packet Page 50 Item 6 Packet Page 51 Page intentionally left blank. Item 6 Packet Page 52 Department Name: Community Development Cost Center: 4006 For Agenda of: July 7, 2020 Placement: Consent Estimated Time: N/A FROM: Michael Codron, Director of Community Development Department Prepared By: Nanika Kala, Administrative Analyst Jacob Nunez, Revenue Specialist SUBJECT: ADOPT A RESOLUTION UPDATING THE CITY’S MASTER FEE SCHEDULE TO INCLUDE NEW DEVELOPMENT REVIEW FEES FOR TEMPORARY CERTIFICATE OF OCCUPANCY, AND PLANNING CONSULTATION, AND UPDATE THE CURRENT FEE FOR ENVIRONMENTAL IMPACT DETERMINATION AND APPLY NEEDED CORRECTIONS TO ADOPTED FEES RECOMMENDATION Adopt a Resolution (Attachment A) updating the City’s Master Fee Schedule, as follows: 1. Create a new fee for a Temporary Certificate of Occupancy. 2. Create a new fee for Planning Consultations. 3. Update the fee currently charged for Environmental Impact Determinations, Cannabis application fees, water and wastewater fees, and building fees. 4. Decrease Utilities set-up and discontinuation fees. 5. Eliminate the Utilities Property Management set-up fee. 6. Add the updated LOVR Subarea fees, Parking in-lieu fees, and Orcutt Area Specific Plan fees to the Master Fee Schedule. REPORT IN BRIEF This report covers a variety of fee updates and new fees associated with development services. There are two new fees proposed, first for a Temporary Certificate of Occupancy, and second for Planning Consultation. These fees are necessary to address expenses currently incurred by the Community Development Department for which there is no cost recovery. City budget policies calls for a high level of cost recovery for development services activities. In addition to these two new fees, there are modifications proposed to a variety of existing fees. For example, staff is recommending that the fee for Environmental Impact Determination shift from a fixed fee to a cost recovery model based on the City’s actual cost of hiring a consultant to perform the work. Changes to Utilities fees are recommended to more accurately reflect the cost of services provided and include elimination of the current Property Management set-up Fee. Item 7 Packet Page 53 Council is also being asked to add a variety of fees to the Master Fee schedule to facilitate administration and ensure transparency. The following table summarizes the recommendations in this report. Fee Name Reason for Change Temporary Certificate of Occupancy • New fee for cost recovery Planning Consultation • New fee for cost recovery Environmental Impact Determination • Change from fixed fee to cost recovery model Building Fees • Correction to the cost inflator Water and Wastewater Fees • Updated fee to reflect fee changes applied in December 2019 Cannabis related fees • Correction to the cost inflator LOVR Transportation Add-On • Not listed in current Master Fee Schedule Parking In-Lieu Fee • Not listed in current Master Fee Schedule Orcutt Area Specific Plan Impact Fee • Not listen in current Master Fee Schedule Utilities Set-Up and Discontinuation of Service Fees • Change to fee due to increased efficiencies providing the service. DISCUSSION Community Development Department Fees The Community Development Department is proposing to add two new fees and update an existing fee associated with City Development Review services. Charging these fees is consistent with City budget policies and will help ensure that the City meets its cost recovery goals. These fees will be experienced by customers pursuing entitlements and constructing their projects. 1. Temporary Certificate of Occupancy (TCO) Fee The California Building Code permits building officials to issue Temporary Certificates of Occupancy (TCOs) prior to completion of all work covered by the permit, provided the building is found safe for occupancy. TCOs are issued only when incidental construction, such as site and interior work not regulated by the code, or exterior decoration not necessary to the integrity of the building, remain. Projects that require a Certificate of Final Completion and Occupancy (CFC) but are not ready for final inspections may apply for a TCO. A TCO may be granted for a reasonable timeframe and are commonly used for all occupancy classifications including single family residences. If approved, an owner will be permitted to make use of the building for a period of time agreed upon by both the owner of the property and the City while completing the remaining construction work. TCO requests are evaluated on a case-by-case basis. A TCO request is reviewed by multiple departments, such as Fire, Community Development, Utilities, and Public Works. The Community Development Department currently does not have an established fee that recovers the cost of staff time. However, TCO requests have become common and often require significant coordination and oversight of the “conditions” under which a TCO is issued. The proposed fee is $860 which would capture the expense of staff’s time for a typical TCO review process. Item 7 Packet Page 54 The City of Santa Barbara has an established TCO fee for service at $985. Similar to Santa Barbara, the City of San Luis Obispo based its fee upon the number of staff h ours required to process a typical request and the associated hourly rates of staff members involved. Along with the established fee, a formal application process will be implemented that will require contractors to plan for a TCO in advance. While some TCO’s can be turned around in three days if review by multiple City departments is unnecessary, applicants should make their application for TCO at least 10 business days in advance to ensure that the approval can be reviewed and completed by the intended temporary occupancy date. TCOs are valid for a maximum of 90 days. If the TCO is to expire and an extension is required , one 45-day extension may be approved by the building official. If this timeframe cannot be met, a new TCO request must be filed with the associated fees. The proposed fee and application process will improve customer service by establishing clear expectations via a formal review process, reducing the potential for miscommunication around project occupancy dates. 2. Planning Consultation Fee The Planning Division implements the General Plan and Zoning Regulations by reviewing current development proposals and providing informal feedback over the phone or at the Planning Counter. While this arrangement works for many customers, some require additional guidance or feedback on their project through multiple iterations over an extended period of time. In this case, documentation and tracking of the feedback provided by staff is helpful to both staff and the project proponent, since these projects often turn into formal applications down the road. Fees are charged for formal review of proposed development projects, however, there is currently no charge for planning consultations regardless of the amount of time a staff member may spend with a potential applicant. The recommendation is for Community Development to implement a cost recovery fee for consultations on more complicated or time-consuming projects prior to an application being filed with the City. Staff recommends the fee be assessed to anyone who is seeking a written response to questions and/or the amount of time required to address the customer’s questions is greater than 30 minutes. A free, 30-minute initial consultation will satisfy the needs of most customers. The rate for a Planning Consultation that goes beyond 30 minutes will be $173 per hour and will only be charged to the customer if they agree to the fee and wish to continue with the consultation. The fee was determined based on the full cost recovery hourly rate for the staff involved as identified in the 2017 NBS City User Fee and Rate Study. NBS determined that the Fully Burdened Hourly Rate (FBHR) for Development Review is $173 per Activity Based Cost hour, and the City is keeping in line with this analysis. The proposed fee will formalize an existing process to the benefit of customers by providing for documented responses and focused staff time on a particular project or question prior to the major expense of a new Planning Application. This fee would result in costs that would likely be more than a “zoning letter” ($453.42) but less than a “Pre-Application” ($956.09). Item 7 Packet Page 55 3. Environmental Impact Determination Fee City staff reviews all discretionary projects for compliance with CEQA and when necessary, the National Environmental Policy Act (NEPA) in order to make an environmental impact determination for the project. If an Initial Study of Environmental Impact is required, additional studies and/or technical analysis may be necessary to determine the appropriate course of action. When this is the case, the City experiences additional costs associated with staff and consultant services to perform the analysis. For these more complicated projects, the cost to the City to reach an environmental determination would exceed the City’s current flat fee for Environmental Impact Determination, which is set at $6,357.27. Going forward, the flat fee would only be assessed in cases where the scope of the Initial Study is limited and does not require consultant support or special studies for the purpose of making the final determination. The purpose of this recommendation is to provide a moderate Environmental Impact Determination fee that falls between the flat rate (typically required for a simple Negative Declaration) and a full Environmental Impact Report. Creating this moderate Environmental Impact Determination fee allows the City to capture the additional cost for work performed by staff and the consultant, and eliminates increased unbudgeted expenses when additional studies and/or technical analysis are necessary for staff to make an environmental determination. In this fee structure, the cost to the applicant would be the full cost of the consultant contract plus 30% to cover staff time associated with administration and oversight of the consultant work product. Changes to the Approved Master Fee Schedule On June 2, 2020, the City Council adopted the City’s Master Fee Schedule for 2020-21. After the approval, staff began to update the systems through which fees are being assessed and charged. During the update, it was discovered that several fees, though approved by the Council, were never added to the previous Master Fee Schedule, hence they were not increased by the applicable inflator. In addition, the Utilities Department received approval from Council to change its water and wastewater impact fees outside the annual cycle. This increase was not reflected in the fees that Council approved on June 2nd. Given these discrepancies, staff took another look at the fees to make sure no increases or changes were missed in the 2019-20 Master Fee Schedule that provided the basis for the fees to be charged in 2020-21. Changes proposed in Attachment A – Exhibit A are the result of this review and will correct all the fees that were surfaced with having deficiencies or had never been incorporated into the schedule. If approved, the fees will be incorporated into the Master Fee Schedule and provide the correct basis for all subsequent updates. In order to ensure that all fees are captured when introduced, changed, or adjusted during the year, staff will implement appropriate processes to ensure that the Master Fee Schedule reflects the correct fees and is all inclusive. Item 7 Packet Page 56 Utilities Fee Adjustments 4. Decrease Utilities set-up fee Change from $90 to $38 Customers pay a fee when they start a new water and sewer account. The purpose of this fee is to recover the cost to provide the service. The fee pays for the time that it takes a Utility Billing Assistant to set-up the account in the utility billing software and the time that it takes a Water Distribution Operator to visit the property to turn-on and/or read the water meter. Since the set- up fee was adopted in 2017, several more efficient procedures and technologies have been implemented that have greatly decreased the time it takes to complete these activities. Better Data Over the past year, the Water Distribution division has used its asset management software, Cityworks, to track the amount of time that it takes to turn-on and/or read a water meter for a new account. This data shows that this activity takes less time to complete than it did in the past. This is largely due to efficiencies in procedures and the utilization of technology. Efficiencies Water Distribution has begun using mobile mapping to complete turn -ons and meter reads for new accounts. The mobile map routes all the day’s work activities on a map that field staff follows. This allows staff to complete all their field work in the most efficient way possible. The Utility Billing (UB) division has also implemented several more efficient procedures since the current fee schedule was adopted that have reduced the amount of time that it takes to set -up a new water and sewer account. UB implemented a Laserfiche form to collect new account information from customers. The form makes the process to set up an account much quicker because the form automatically sends customers a confirmation email. Previously this was done manually. All communications between UB and Water Distribution related to new accounts are now electronic and automated. In the past, UB printed paperwork orders that were picked up from the office by Water Distribution. This electronic communication has proved to be a huge time saver. 5. Discontinuation for Non-Payment Fee (Restore) Change from $117 to $50 Customers pay a fee when their water is shut-off for non-payment. The purpose of this fee is to recover all the costs incurred to shut-off a delinquent customer’s water. This includes all notifications and the time it takes to shut off the water and then turn it back on after the customer pays their past due bill. Item 7 Packet Page 57 Better Data As with the set-up fee, Water Distribution has been tracking the amount of time that it takes to turn off water and then return to the property to turn it back on. This data shows that these activities take less time than they did in the past. Efficiencies UB has implemented several more efficient procedures since the current fee schedule was adopted that have reduced the amount of time that it takes to shut off water for non -payment. For example, UB used to prepare door tags for every customer whose water is shut off. This activity was eliminated with very few customer service impacts. In addition, telephone communication between the office and field has been replaced with service requests that automatically notify field staff, when a customer has paid, to turn water back on. Mobile mapping is also used for shut-offs and restoration of service. The following table displays the change to staff time for each of the fees. Current Fee Basis Proposed Fee Basis Set-Up Fee - Total .75 hours .35 hours Office Staff .25 hours .1 hours Field Staff .5 hours .25 hours Discontinuation Fee - Total .86 hours .5 hours Office Staff .46 hours .25 hours Field Staff .4 hours .25 hours 6. Property Management Fee Eliminate This fee allowed property management companies or individuals who start multiple new water and sewer accounts each year to pay an annual fee for unlimited new accounts. In 2017, the City implemented Master accounts which are continuous service agreements that automatically revert an account back to a landlord or property manager’s name when the tenant moves out. Master accounts have replaced the property management fee. Previous Council or Advisory Body Action Minor changes to overall fee study City Council previously reviewed and adopted on June 2, 2020. Similar fee categories were presented; however, these fees were not included at that time. Item 7 Packet Page 58 Policy Context The budget policy for cost recovery is located in the 2019-2021 Financial Plan (Page 476), and reads as follows: Public Engagement Staff has utilized a “notify” level of public engagement to implement the proposed additional and updated fees. In each case, staff has sought to add value to the services offered by the Community Development Department through the proposed fee structure. Each of these fees reflects a service that is commonly used by customers, but for which a fee does not exist, or in the case of Environmental Impact Determination, the current fee does not cover the full scope of the service needed. In performing outreach for this item, staff sent e-mail correspondence to its Developer’s Roundtable notification list and notified the Chamber of Commerce directly. CONCURRENCE The City’s Finance Department concurs with the recommendation. ENVIRONMENTAL REVIEW The California Environmental Quality Act does not apply to the recommended action in th is report, because the action does not constitute a “Project” under CEQA Guidelines Sec. 15378. FISCAL IMPACT Budgeted: No Budget Year: 2020-2021 Funding Identified: N/A Item 7 Packet Page 59 Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund N/A State Federal Fees Other: Total The fees listed in the Master Fee Schedule allow for cost recovery for services provided. The level of cost recovery is set by the City Council and reflected in the City’s financial policies. As such, all actions outlined in this report have a positive impact and the City budgets for all service fees within its annual budget appropriation to off-set operating expenditures. Several of the fees outlined in Exhibit A to the resolution have already been applied to the respective services but have not been integrated into the overall fee schedule. This action corrects this oversight and will assure appropriate fee adjustments in the future. The presented fee increases recover the approximate $200,000 in cost of transaction expenses that the City incur each year. This cost has never been considered in the cost of the service. Additionally, some fees were not published in previous fee schedules. All fees that were not previously published will be incorporated into this Master Fee Schedule, which will serve as the guiding fee document for the City moving forward. Temporary Certificate of Occupancy (TCO) By not recovering full costs of services performed, the City is realizing a revenue deficit. This deficit must be met through other funds, such as the General Fund, to subsidize the shortfall in staffing costs. A TCO is an applicant driven fee and because the vast majority of building permits don’t need a TCO, it is not economically fair to include this cost in every permit, but to only apply this fee to those who actually need one. This fee provides a net increase in revenue and was not included in the previous fee study. Planning Consultation Fee Fee revenues are comprised primarily of the fees paid for all the different types of development applications processed by the Development Review program. There are many different fees charged by the Department for its various development project applications. These include fees for building permit applications. This fee would cover staff time and materials necessary to provide the customer information relative to their specific issue or project. Full cost recovery hourly rate for planners are established at $173/hour for the Planner Consultation Fee. Item 7 Packet Page 60 Environmental Impact Determination The fiscal impact analysis is focused on the City’s General Fund budget. When applications are submitted and deemed to require an Environmental Impact Determination, the applicant pays the $6357.27 flat fee for this service. However, in order to make an environmental determination, additional studies and/or technical analysis may be required. In these cases, additional unbudgeted funds are necessary to cover the cost of the service, not covered by the customer, to pay for staff and consultants for the additional work performed once the original fee amount is depleted. The proposed moderate Environmental Impact Fee would fully cover this additional expense. This fee would mirror the fee structure already in place for an Environmental Impact Report. The 30% administration fee associated with the Environmental Impact Determination fee is directly absorbed by the General Fund, bringing in additional revenue to cover staff costs. For example, if a contract consultant scope of work is $10,000, the applicant would pay that amount plus $3,000 administrative fee towards the General Fund. Utilities Fee Decreases The Utilities fee reductions represent a direct benefit to customers resulting from operational efficiencies. The reduction in the set-up fee and discontinuation fee will result in an approximate $80,000 decrease in revenue to the Water fund and an approximate decrease of $80,000 to the sewer fund. Although these amounts are not insignificant, this a less than 0.1% reduction to revenue in each of the funds. ALTERNATIVES 1. Council could decide not to authorize proposed new fees and the City is not recovering costs for the work performed. This alternative is not recommended because customers value the services being requested and cost recovery as proposed is consistent with City policy. 2. Council could decide not to update the Master Fee Schedule, however, this is not recommended because incorporating fees into the Master Fee Schedule is the best way to ensure that they are updated properly on an annual basis and that all of the City’s fees are available in one location. 3. Council could defer action and ask for additional information. If the Council pursues this alternative it should provide direction to staff regarding the information needed to make a decision. Attachments: a - Draft Resolution b - Exhibit A to Resolution - Fee Correction Item 7 Packet Page 61 R ______ RESOLUTION NO. _____ (2020 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, ADOPTING NEW FEES AND AMENDING THE 2020-21 MASTER FEE SCHEDULE WHEREAS, Section 2 of the City’s 2019-21 Financial Plan, titled “User Fee Cost Recovery Goals,” defines the level of cost of services cost recovery for the various City services; and WHEREAS, Section 1(H) of the City’s 2019-21 Financial Plan provides that Development Review Programs cost recovery should be 100% of cost of service; and WHEREAS, the Community Development Department offers services that are not currently covered by fees: and WHERAS, the Community Development Department has assessed the cost of the services and desires to begin assessing fees to cover its costs; and WHERAS, the Utilities Department has reassessed the basis for cost recovery for service turn-on and disconnect which lead to a lower than currently applied service charge and the conclusion that certain fees no longer apply; and WHEREAS, on June 2, 2020, the City Council approved the City’s Master Fee Schedule listing all applicable service fee levels for fiscal year 2020-21; and WHEREAS, it was subsequently discovered that several approved fees were not reflected in the fee schedule; and WHEREAS, several Utilities fees had been updated mid-year and did not reflect the correct level of cost recovery; and WHEREAS, the Master Fee Schedule will be updated to reflect all new, additional, and updated fees becoming effective July 1, 2020. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. The Community Development Department will begin charging fees for Temporary Certificates of Occupancy and Planning Consultation as set forth in Exhibit A to this Resolution. These fees will be adjusted annually between any Cost of Services study with the Consumer Price Index Los Angles/Riverside. Item 7 Packet Page 62 Resolution No. _____ (2020 Series) Page 2 R ______ SECTION 2. The Environmental Impact Determination will be changed from a fixed fee to a cost recovery model as set forth in Exhibit A to this Resolution. This fee will be adjusted annually between any Cost of Services study with the Consumer Price Index Los Angles/Riverside SECTION 3. Due to increased efficiency in the Utilities department’s system, the Utilities service turn-on and disconnect fees are hereby lowered to better reflect the current cost of services. Additionally, the Utilities department’s property management services fee is hereby discontinued as the introduction of master accounts has rendered it obsolete. SECTION 4. Fees previously introduced and approved are herewith incorporated into the Master Fee Schedule. Such fees are: Parking-in-Lieu, Los Osos Valley Road Add-On Impact Fees, Orcutt Specific Plan Area Add-On Impact Fee, Park Impact Fees, and multiple Building related fees. Item 7 Packet Page 63 Resolution No. _____ (2020 Series) Page 3 R ______ SECTION 5. Certain Planning fees, Cannabis application fees, Building Plan Check and Inspections fees, and Water and Wastewater impact fees are hereby adjusted to reflect the appropriate fee levels for 2020-21. Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _____________________ 2020 ____________________________________ 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, on _____________________. ____________________________________ Teresa Purrington City Clerk Item 7 Packet Page 64 Fee Description Proposed Fee Amount Temporary Certificate of Occupancy $860.00 Planning Consultation $173.00 Per Hour Fee Description Proposed Fee Amount Environmental Impact Determination Fee- Moderate Consultant Contract + 30% for Administrative and Review Services Community Development New Fees New Fees Amended Fees Community Development New Fees Item 7 Packet Page 65 Fee Number Fee Description June 2nd Adopted Fee Proposed Fee 3 Minor Use Permit (Admin)$2,148.64 $2,163.68 4 Conditional Use Permit (Planning Commission) $4,226.00 $4,255.58 12 Affordable Housing Incentive Request $810.77 $816.45 13 Reviews Requiring ALUC Hearing $1,011.06 $1,018.13 22 Signs $2,985.69 $3,006.59 23 Conceptual Review $3,880.05 $3,907.21 24 Development Projects - Moderate $8,018.39 $8,074.52 25 Development Projects - Major $10,619.22 $10,693.55 26 Development Project - Minor $2,678.28 $2,697.03 27 Plan Revision $2,969.05 $2,989.84 PLANNING FEES Planning Fees have two components‐ the initial fee and completion fee.  10 Planning Fees were published  without a CPI increase being applied to the Completion Fee.  The increase to the planning fee is reflected  above Corrected Fees Item 7 Packet Page 66 Fee Number Fee Description June 2nd Adopted Fee Proposed Fee One Time Application Fee 1 Retail Store Front Application Fee $23,262.13 $23,885.42 Other Commercial Cannabis Business Applicants 2 Initial Application Fee $5,302.00 $5,087.79 3 Final Application fee when permit issues $19,589.00 $18,797.63 Cannabis Fees Council Approved changes that were made in December of 2019 were not considered in the fee  schedule.  A council correspondence was created to correct this, but the calculation was  inaccurate Corrected Fees Item 7 Packet Page 67 Fee Description June 2nd Fee Proposed Fee Account Set-up $93.81 $37.84 Property Management (first 25 set-ups)$1,196.00 $1,237.19 Each Additional 25 set-ups $1,196.00 $1,237.19 Disconnect Service for Non-Payment $117.00 $50.16 Class I (ex: Automotive Repair, Photo processors)$338.00 $340.37 Class II (ex: Restaurant, Bakery)$182.00 $183.27 Significant Industrial User (ex: Chemical Manufacturing, Electro-plating)$1,762.00 $1,774.33 Industrial User Re-Inspection $82.00 $82.57 Industrial User permits were not increased by CPI on June 2nd Utilities Fees  The Utilities Business Manager conducted an analysis for the Account Set Up and Disconnect Service fee that considered the same components  as the original fee study that priced all fees.  New ways of doing business has resulted in decreased for both Fees The Property Management and Each Additional 25 Set ups are no longer fees that the City Charges.  We are looking to remove them from Master  Fee Schedule Corrected Fees Item 7 Packet Page 68 June 2nd Fee Proposed Fee IA, IB IA, IB base base 1-2,499 $3,400.80 $3,478.09 2,500-3,999 $6,802.68 $6,957.28 4,000-5,999 $7,482.84 $7,652.90 6,000-7,999 $8,503.08 $8,696.33 8,000-Unlimite $10,204.56 $10,436.48 This fee was incorrectly Published in previous fee schedules.   June 2nd Fee Proposed Fee IA, IB IA, IB base base 1-399 $1,222.87 $1,834.30 400-599 $1,342.50 $2,012.63 600-999 $1,998.24 $2,997.36 1,000-2,999 $2,391.46 $3,586.64 3,000-Unlimite $3,980.97 $5,971.46 IIB,IIIB,VB,IV IIB,IIIB,VB,IV 1-4,999 $1,412.28 $1,566.24 5,000-9,999 $2,824.56 $6,264.99 10,000-49,999 $3,389.47 $10,962.63 50,000-99,999 $4,236.84 $15,661.36 100,000-Unlimited $5,649.12 $21,926.36 These fees were incorrectly Published in previous fee schedules.   Corrected Fees Low & Moderate Hazard Storage Single-Family/Duplex Residential Building Plan Check Fees Building Inspection Fees Attached Accessory/Utility Uses Item 7 Packet Page 69 Land Use Category Water Development Impact Fee(Citywide) Wastewater Development Impact Fee (Citywide) Water Development Impact Fee(Citywide) Wastewater Development Impact Fee (Citywide) Single Family & Multifamily (per Dwelling Unit Size) ≥ 1,201 sq. ft. (fees are per unit)$12,393.83 $11,192.24 $12,416.15 $11,531.37 801 to 1,200 sq. ft. (fees are per unit)$9,915.07 $8,954.00 $9,932.92 $9,279.25 451 to 800 sq. ft. (fees are per unit)$8,675.68 $7,834.88 $8,691.30 $8,120.01 ≤ 450 sq. ft. (fees are per unit)$3,718.15 $3,357.36 $3,746.63 $3,458.57 Mobile/Manufactured Home (per Dwelling Unit) Mobile/Manufactured Home $7,436.30 $6,715.76 $7,493.25 $6,919.24 Non-Residential (by Meter Size) 3/4" meter $12,393.83 $11,192.24 $12,488.74 $11,531.37 1" meter $21,069.10 $19,027.12 $21,230.45 $19,603.11 1.5" meter $42,139.24 $38,053.20 $42,461.96 $39,206.23 2" meter $66,926.91 $60,437.69 $67,439.47 $62,268.97 3" meter $132,613.60 $119,757.30 $132,852.31 $123,385.42 4" meter $206,976.61 $186,910.75 $207,349.16 $192,573.62 6" meter $413,954.26 $373,820.45 $414,699.37 $385,147.24 June 2nd Adopted Fee Proposed Fee Water and Wastewater Impact Fees Council‐Approved changes that were made in December of 2019 were not considered in the fee schedule.  Corrected Fees Item 7 Packet Page 70 New Construction: Standard (Fee Per Space)$20,793.00 $21,478.29 Community Partners (50% Reduction)$10,395.00 $10,742.09 Additions to Existing Buildings: Standard (Fee Per Space)$20,793.00 $21,487.29 Community Partners (50% Reduction)$10,395.00 $10,742.09 Change in Occupancy Requiring Additional Parking: [1] Standard (Fee Per Space)$5,198.00 $5,371.57 Community Partners (50% Reduction)$2,600.00 $2,686.82 Fees to be added to the Schedule Parking In‐Lieu Fees were never included in previous fee schedules.  These fees are also increased by CCCI instead of  CPI because the nature of these fees is more in line with the Construction Industry Fee Description FY 19-20 Base Fee Rate Proposed Fees [1] Per vehicle space required by zoning egulations and not otherwise provided.  The number of spaces required by  the change shall be the difference between the number required by the new use and the number required by the  previous occupancy. Public Works Fees Proposed Fee Increase Parking in-Lieu Fees [1] Item 7 Packet Page 71 Transportation (LOVR Add on Fee- Avila Ranch) Transportation (LOVR Add on Fee- All Other Areas) Citywide Transportation (Orcutt Specific Plan Area Add on) Prior to 7/1/2018 Citywide Transportation (Orcutt Specific Plan Area Add on) After to 7/1/2018 Transportation (Orcutt Specific Plan Area Add on) Prior to 7/1/2018 Transportation (Orcutt Specific Plan Area Add on) After to 7/1/2018 Transportation (LOVR Add on Fee- Avila Ranch) Transportation (LOVR Add on Fee- All other Areas) Citywide Transportation (Orcutt Specific Plan Area Add on) Prior to 7/1/2018 Citywide Transportation (Orcutt Specific Plan Area Add on) After to 7/1/2018 Transportation (Orcutt Specific Plan Area Add on) Prior to 7/1/2018 Transportation (Orcutt Specific Plan Area Add on) After to 7/1/2018 Residential Single Family ≥ 1,400 sq. ft. (fees are per unit)$2,260.00 $2,157.00 $3,922.00 $10,817.88 $17,185.00 $16,207.00 $2,314.26 $2,208.78 $3,990.64 $11,020.17 $18,045.28 $17,018.32 700 to 1,399 sq. ft. (fees are per sq. ft.)N/A N/A $3,922.00 $7.73 N/A N/A N/A N/A N/A $7.87 N/A ≤ 699 sq. ft. (fees are per unit)$2,260.00 $2,157.00 $3,922.00 $5,408.94 $17,185.00 $16,207.00 $2,314.26 $2,208.78 $3,990.64 $5,510.09 $18,045.28 $17,018.32 Multifamily Condominium/Apartment ≥ 1,100 sq. ft. (fees are per unit)$1,061.00 $1,445.00 $3,480.00 $8,404.87 $12,005.00 $11,322.00 $1,086.47 $1,479.68 $3,545.07 $8,562.04 $12,605.97 $11,888.78 550 to 1,099 sq. ft. (fees are per sq. ft.)N/A N/A $3,480.00 $7.65 N/A N/A N/A N/A N/A $7.79 N/A ≤ 549 sq. ft. (fees are per unit)$1,061.00 $1,455.00 $3,480.00 $4,202.43 $12,005.00 $11,322.00 $1,086.47 $1,489.93 $3,545.07 $4,281.02 $12,605.97 $11,888.78 Non-Residential Office (fees are per sq. ft.)$3,063.00 $3,063.00 $7.86 $10.44 N/A N/A $3,136.53 $3,136.53 $8.01 $10.64 N/A Service (fees are per sq. ft.)$3,063.00 $3,063.00 N/A $10.44 N/A N/A $3,136.53 $3,136.53 N/A $10.64 N/A Retail (fees are per sq. ft.)$24,160.00 $19,199.00 $8.26 $15.17 N/A N/A $24,739.99 $19,659.89 $8.41 $15.45 N/A Industrial (fees are per sq. ft.)$1,704.00 $1,704.00 N/A $6.08 N/A N/A $1,744.91 $1,744.91 N/A $6.19 N/A Institutional (fees are per sq. ft.)$1,316.00 $1,316.00 N/A $12.28 N/A N/A $1,347.59 $1,347.59 N/A $12.51 N/A Lodging (fees are per room)$1,316.00 $1,316.00 N/A $4,364.54 N/A N/A $1,347.59 $1,347.59 N/A $4,446.16 N/A Specialty (fees are per ADT) (2)$2,157.00 $2,157.00 $365.00 $665.41 N/A N/A $2,208.78 $2,208.78 $371.83 $677.85 $1,985.17 Per PM Trip Per PM Trip $1,890.53 $1,782.94 Per PM Trip Per PM Trip $1,872.19 The LOVR Add on Fee for Avila Ranch and All other Areas were never included in previous fee schedules The Orcutt Specific Plan Area prior to and after 7/1/2018 were never included in previous fee schedules Transportation Impact Fees Proposed FeeFY 2019-20 Rate Fees to be added to the Schedule‐ Continued Item 7 Packet Page 72 Parkland Development Fees (Orcutt Area) Parkland Development Fees (Orcutt Area) Residential FY 19-20 Base Proposed Fee Single Family (per Dwelling Unit)$7,130.18 $7,259.30 Multifamily Condominium (per Dwelling unit) $5,304.38 $5,400.44 Multifamily Apartment (per Dwelling unit)$5,304.38 $5,400.44 The Parkland Development Fees were never published in previous Master Fee Schedules Fees to be added to the Schedule‐ Continued Item 7 Packet Page 73 Fee Description FY 19-20 Base Fee Rate Proposed Fee A/C Residential - BLDG $74.73 $76.44 After Hours Call Out (Building) - BLDG $451.63 $462.00 Air Handler - BLDG $56.32 $57.61 Antenna/Tower w/ Equipment Shelter - BLDG $666.08 $681.38 Appeal of Building Official Decision - BLDG $1,128.54 $1,154.47 Awning/Canopy - BLDG $385.57 $394.43 Boiler - BLDG $94.23 $96.40 Building Sewer - BLDG $74.73 $76.44 Chiller - BLDG $94.23 $96.40 Commercial Access Upgrade - Site work - BLDG $1,193.53 $1,220.95 Commercial Access Upgrade - Upgrades - BLDG $955.26 $977.20 Commercial Coach Installation - BLDG $1,585.59 $1,622.02 Construction Tax - BLDG $154.95 $158.51 Deferred Submittal (Building) $225.28 $230.45 Demolit - Interior or Garage/Utility Build - BLDG $451.64 $462.01 Demolition - Entire Building - BLDG $790.64 $808.80 Drain Vent Repair/Replace - BLDG $56.32 $57.61 Driveway $186.33 $190.61 Dry Rot / Termite Repair - BLDG $235.03 $240.43 Duct Work Only - BLDG $56.32 $57.61 Electric Car Charging System -BLDG $122.39 $125.20 Electric Service Upgrade (up to 200 amp) -BLDG $122.39 $125.20 Electrical Volume & Current Fee Analysis - BLDG $69.31 $70.91 Evaporative Cooler - BLDG $56.32 $57.61 Exhaust Hood - Type I - BLDG $113.72 $116.34 Exhaust Hood - Type II - BLDG $74.73 $76.44 Exhaust Hood & Duct - Residential - BLDG $56.32 $57.61 Fence or Non-Engineered Wall - BLDG $680.16 $695.79 Fire Permit Handling Fee - BLDG 451.63 $462.00 Fireplace Insert Upgrade -BLDG $326.00 $333.49 Fireplace Retrofit / Chimney Repair - BLDG $649.83 $664.76 Fees to be added to the Schedule‐ Continued Additional Building Fees Additional Building Fees Continued on Next Page Item 7 Packet Page 74 Fee Description FY 19-20 Base Fee Rate Proposed Fee (Incl. Credit Card and CPI Increase) Fireplace: Masonry $560.09 $572.96 Fixtures - BLDG $56.32 $57.61 Flag, Light, or Sign Pole - BLDG $809.05 $827.63 Foundation New/Replace - BLDG $1,355.99 $1,387.14 Foundation Repair Only - BLDG $676.91 $692.47 Furnace/Heater Replacement -BLDG $122.39 $125.20 Furnaces - BLDG $74.73 $76.44 Generator Installation - BLDG $86.65 $88.64 Graywater Systems - BLDG $150.55 $154.01 Graywater/Rainwater Harvesting System -BLDG $74.73 $76.44 Grease Trap - BLDG $56.32 $57.61 Guest Quarters Permit $1,167.29 $1,194.11 Handicap Board of Appeals - BLDG $1,128.54 $1,154.47 Heat Pump - BLDG $56.32 $57.61 Heater - BLDG $56.32 $57.61 Heater - Wall - BLDG $74.73 $76.44 Inert Gas Systems $1,049.33 $1,073.44 Inspection Fee $191.11 $195.50 Insulation/Energy Upgrade -BLDG $118.05 $120.76 Make-Up Air System - BLDG $56.32 $57.61 Manufactured Homes $851.19 $870.75 Mechanical Volume & Current Fee Analysis - BLDG $69.31 $70.91 Minor Code Corrections - BLDG $235.02 $240.42 Minor Lease Space Improvements - BLDG $1,355.99 $1,387.14 Minor Repairs - up to 2 inspections - BLDG $309.76 $316.87 Misc Electrical Items NOS - BLDG $74.74 $76.45 Misc Mechanical Items NOS - BLDG $74.73 $76.44 Misc Plumbing Items NOS - BLDG $74.74 $76.45 New/Altered Circuits - 15 or 20 amp - BLDG $56.32 $57.61 New/Altered Circuits - 200+ amps - BLDG $56.32 $57.61 New/Altered Circuits - 25 to 40 amp - BLDG $37.91 $38.78 New/Altered Circuits - 50 to 175 amp - BLDG $45.48 $46.53 Other Electrical Inspections - BLDG $225.28 $230.45 Other Mechanical Inspections - BLDG $225.28 $230.45 Other Plumbing & Gas Inspections - BLDG $225.28 $230.45 Paint Booth - BLDG $1,016.99 $1,040.36 Patio - Enclosed - BLDG $1,185.95 $1,213.19 Patio Cover - Open - BLDG $680.16 $695.79 Permit Issuance - BLDG $243.68 $249.28 Photovoltaic Systems (residential roof mount)$160.12 $163.79 Photovoltaic Unit Installation - Residential $69.18 $70.77 Plumbing Volume & Current Fee Analysis - BLDG $68.23 $69.80 Pool/Spa Commercial - BLDG $1,128.54 $1,154.47 Preliminary Project Consult/Code Analysis - BLDG $225.28 $230.45 Refrigeration Compressor/Condenser - BLDG $94.23 $96.40 Re-Roof Residential - BLDG $235.03 $240.43 Re-roof with Added Ventilation -BLDG $118.05 $120.76 Residential Photovoltaic System $168.96 $172.84 Residential Pool/Spa - Site Built - BLDG $903.27 $924.02 Retaining Wall Non-Engineered - BLDG $792.80 $811.01 School Tenant Permit $901.81 $922.53 Added Fees‐ Continued Additional Building Fees Additional Building Fees Continued on Next Page Item 7 Packet Page 75 Fee Description FY 19-20 Base Fee Rate Proposed Fee (Incl. Credit Card and CPI Increase) Secondary Dwelling Units $1,232.42 $1,260.74 Seismic Strengthening of URM Bldg $46.49 $47.55 Shear Wall / Steel Support Column - BLDG $903.27 $924.02 Sign - Monument or free standing - BLDG $603.26 $617.12 Sign - Wall - BLDG $347.00 $354.97 Skylight $305.70 $312.72 SMIP (Commercial)$28.92 $29.59 SMIP (Residential)$13.43 $13.74 Solar / PV System - Commercial -BLDG $812.30 $830.96 Solar Photovoltaic - Commercial/Multifamily - BLDG $790.63 $808.79 Solar Water System Fixtures - BLDG $74.73 $76.44 Stairs - Repair/Replace - BLDG $1,016.99 $1,040.36 Stand Alone Electrical Plan Check - BLDG $227.45 $232.67 Stand Alone Mechanical Plan Check - BLDG $113.72 $116.33 Stand Alone Plumbing Plan check - BLDG $225.28 $230.45 Store Front / Facade Alterations: Minor - BLDG $1,016.99 $1,040.36 Stormwater - Major Project - BLDG $3,953.16 $4,043.99 Stormwater - Minor Project - BLDG $295.68 $302.47 Stormwater - Moderate Project - BLDG $1,863.95 $1,906.77 Stucco/Siding - BLDG $428.89 $438.75 Supplemental Inspection (Building) - BLDG $225.28 $230.45 Supplemental Plan Check (Building) - BLDG $225.28 $230.45 T-Bar Ceiling - BLDG $676.91 $692.47 Temporary Service - BLDG $56.32 $57.61 Trash Enclosure - BLDG $1,128.54 $1,154.47 URM Seismic Strengthening - BLDG $41.32 $42.27 Vapor Recovery - BLDG $565.36 $578.35 Vent Fan (Single Duct) - BLDG $56.32 $57.61 Walk-in Box/Refrigerator Coil - BLDG $74.73 $76.44 Water Heater Replacement -BLDG $74.73 $76.44 Water Pipe Repair/Replace - BLDG $56.32 $57.61 Window Retrofits (non-structural) -BLDG $197.12 $201.65 Fees may be subject to a 3.05% IT Surcharge Additional Building fees were not published in previous fee schedules Additional Building Fees Added Fees‐ Continued Item 7 Packet Page 76 Department Name: Administration Cost Center: 1002 For Agenda of: July 7, 2020 Placement: Consent Estimated Time: N/A FROM: Greg Hermann, Deputy City Manager Prepared By: Teresa Purrington, City Clerk SUBJECT: CONSIDERATION OF REMOVAL OF ADVISORY BODY MEMBER RECOMMENDATION As recommended by the Council Subcommittee Liaison Members Christianson and Pease, approve the removal of James Papp from the Cultural Heritage Committee. DISCUSSION The Advisory Body Handbook, most recently readopted in February of 2018, outlines the expectations, and conduct of Advisory Body members. Specifically: Section 5: Tips for Being an Effective Advisory Body Member C. Develop Positive Relationships Being selected by the City Council to serve on an advisory body is a high honor and provides a unique opportunity for genuine public service. Open, honest, and supportive relationships with the City Council, with City staff and fellow members of your advisory body will ensure your success and effectiveness. 1. The proper channel to contact City staff on items of consideration is through the designated City staff person providing support to your advisory body. 2. Demonstrate respect to your fellow advisory body members by being a good listener, by communicating honestly, and by being dependable. 3. Adopt a positive attitude and become a problem-solver. 4. If you have a new idea, propose it to the group as a whole. (See also Section 3.C.2, Continuity of Work and New Ideas.) 5. If friction develops, individuals should make every attempt to clarify differences and make certain that clear communication is taking place. The public meeting should not be used to express anger or disagreement. 6. If differences cannot be resolved, consider consulting with the appropriate individual/s next in line in the “chain of command”: 1) Staff Liaison or Chair, 2) the Department Head, 3) City Manager or Council Liaison. At various times over the past 18 months, especially over the past several months, the Council Subcommittee Liaisons have met with Mr. Papp regarding concerns about adversarial interactions during Cultural Heritage Committee meetings. Item 8 Packet Page 77 There has been insufficient or little noticeable change in subsequent interactions, so council liaisons requested his resignation. Mr. Papp declined, and therefore the liaisons recommend that he be removed from the Cultural Heritage Committee. If the action is approved, the City Clerk’s office will immediately open a recruitment for the position on the Cultural Heritage Committee. Previous Council or Advisory Body Action On March 17, 2019, Mr. Papp was reappointed to the Cultural Heritage Committee for a term expiring on April 1, 2023. Policy Context On February 28, 2018, the Council readopted the Advisory Body Handbook which provides fundamental information related to the responsibilities of the City’s various advisory bodies. This handbook is shared with every advisory body member. Section 1.H. Removal from Office states that “Members of advisory bodies serve at the pleasure of the Council and may be removed without cause by Council action in an open public meeting.” Public Engagement This is an administrative item, so no outside public engagement was completed. Public comment can be provided to the City Council through written correspondence prior to the meeting and through public testimony at the meeting. 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. 15378. FISCAL IMPACT Budgeted: N/A Budget Year: Funding Identified: Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund N/A State Federal Fees Other: Total There are no fiscal impacts associated with this action. Item 8 Packet Page 78 ALTERNATIVES Council could decide not to approve the removal of Mr. Papp. Item 8 Packet Page 79 Attachment Item 8 - Amendment July 2, 2020 Inthe “Discussion” section ofthe report, following reference “,” As provided byCouncil Liaisons Christianson and Pease: “Although some individuals may be comfortable with Mr. Papp’s style ofcommunication, we feel that Mr. Papp’s e limiting full public participation and discourse.” ved, the City Clerk’s Page intentionally left blank. Item 8 Packet Page 80 Department Name: Public Works Cost Center: 5201 For Agenda of: July 7, 2020 Placement: Business Estimated Time: N/A FROM: Matt Horn, Public Works Director Prepared By: Gamaliel Anguiano, Transit Manager SUBJECT: AUTHORIZATION TO PURCHASE TWO ELECTRIC TRANSIT VEHICLES RECOMMENDATION Approve the purchase of two electric buses for $1,744,259 using the California Department of Goods and Services Statewide Cooperative Purchasing Contract. DISCUSSION Background Much of the City’s Transit fleet is aged (average bus age is nine plus years). Two transit vehicles are already past their Federal Transit Administration (FTA) defined “useful -life,” of twelve years of consecutive service, and need to be retired and replaced as soon as possible. There are six more transit vehicles reaching the end of their useful life in 2021 and will also need to be replaced in the nearer term. On December 17, 2018, the California Air Resources Board (CARB) adopted the Innovative Clean Transit (ICT) fleet regulations. The ICT rules require that all public transit agencies convert to a 100 percent zero-emission bus (ZEB) fleet by 2040 with incremental milestones in between to meet this goal. This regulation is aimed at tackling the issues associated with greenhouse gas (GHG) emissions and their contribution to climate change. Per the ICT regulations, on or before January 1, 2026, no less than 25% of the City of San Luis Obispo Transit (SLO Transit) fleet procurements will need to be ZEB technology. Given the time to procure, deliver, and address infrastructure needs, transit agencies will need to begin the transition process well in advance of this deadline. In line with the adopted 2019-21 Financial Plan and ICT regulations, staff proposes the replacement of the two oldest transit vehicles by purchasing two electric transit vehicles. Purchase of Two Vehicles Under the California Department of Goods and Services Contract The State of California’s Department of Goods and Services has just completed an extensive Request for Proposals for ZEB vehicles. This resulted in a statewide contract that allows public agencies such as the City of San Luis Obispo to purchase under it. This streamlines the acquisition process, helps to procure a tested product, and secures competitive pricing. Item 9 Packet Page 81 This statewide contract is a State Cooperative Purchasing Contract under Section 3019 of the Fixing America’s Surface Transportation Act (FAST Act) and is compliant with Federal Transit Administration Guidelines. The State of California has contracted with New Flyer of America, Inc. and Proterra, to provide ZEB vehicles, options, spare parts, and support. The contract incorporates FTA required clauses and certifications. The cost for the New Flyer Excelsior 40’ ZEB vehicle is $750,000 while the Proterra ZEB vehicle is $800,000. These prices do not include the cost of ancillary transit equipment (i.e. fareboxes, automatic vehicle locations systems, passenger counters, etc.) which are expected to cost an additional $100,000 for each vehicle. Staff proposes buying one bus from each of the two vendors, New Flyer Excelsior and Proterra. This will allow the City to compare similar but slightly different products at minimal risk and to evaluate which manufacturer has the better technology for future purchases. The total expenditure to acquire these vehicles including ancillary transit equipment is $1,744,259. Electric Charging Infrastructure The City is addressing the infrastructure needs related to ZEB vehicles. Earlier this year the City Council approved a grant application for $150,000 with the Air Pollution Control District for the design work at the bus yard to prepare the facility to support and charge ZEB vehicles. COVID-19 Considerations Due to the current economic impacts of COVID-19, and consistent with the City’s activated Fiscal Health Contingency Plan, all CIP projects are scrutinized with the goal of reducing capital expenditures, and aligning CIP projects with a focus on economic recovery and fiscal responsibility including addressing long-term maintenance needs. With these criteria in mind, this project is recommended to continue since it is addressing a critical capital replacement need, helps ensure the continued reliability of transit services and, reduces maintenance costs for the Transit Program. Additionally, this project strongly aligns with Council’s objectives of addresses climate and through sustainable transportation. Policy Context This purchase is identified in the 2020-21 Supplemental Budget and the adopted 2017-22 Short Range Transit Plan (SRTP) which support sustainable transportation goals. 1. Previous Council or Advisory Body Action. On June 6, 2020 Council approved the use of Transit Fund Undesignated Working Capital for this CIP during the 2020-21 Budget Supplement along with the use Federal 5307 grant funds both of which have been augmented by approved Council Grant Awards from the. Low Carbon Transportation Operations Program (LCTOP) and SB1 State of Good Repair (SGR) Grant. 2. Other Agencies. Outside the City, these efforts are also supported by various emission reduction strategies such as those outlined in the San Luis Obispo Council of Governments (SLOCOG) Regional Transportation Plan and the SLO County Air Pollution Control District’s (APCD) Clean Air Plan. The City’s plan for a ZEB transition supplements and aligns with these other plans. Item 9 Packet Page 82 3. Purchasing Guidelines. Section 3.24.060(E) of the City’s purchasing ordinance allows for direct purchasing when the purchase will be made cooperatively with one, or more, other units of government, making the DGS contract a prime way of procuring the vehicles and achieving competitive pricing on a vetted product. Public Engagement No public engagement was necessary as this is considered to be an administrative item. CONCURRENCE The project has been approved in the FY 2020-21 Budget Supplement and receives broad general support from the adopted plans and stated goals of organizations such as Sustainability Division, SLOCOG, Air Pollution Control District and of course the CARB. ENVIRONMENTAL REVIEW The California Environmental Quality Act (CEQA) does not apply to the recommended action in this report, because the action does not constitute a “Project” under CEQA Guidelines Sec. 15378. FISCAL IMPACT Budgeted: Yes Budget Year: FY 2020-21 Funding Identified: Yes Fiscal Analysis: Funding Sources Current FY Cost Annualized On-going Cost Total Project Cost Transit Fund $530,428 State – LCTOP* $256,731 State – SGR** $285,459 Federal - 5307 $671,641 Other: Total $1,744,259 $0 $0 *Low Carbon Transit Operations Program (LCTOP) is one of several programs that are part of the Transit, Affordable Housing, an d Sustainable Communities Program established by the California Legislature in 2014 by Senate Bill 862 ** The Road Repair and Accountability Act of 2017, Senate Bill (SB) 1 (Chapter 5, Statues of 2017), signed by the Governor on Ap ril 28, 2017, includes a program that will provide additional revenues for transit infrastructure repair and service improvements. On June 6, 2020 Council approved the use of Transit Fund Undesignated Working Capital in the amount of $530,428 for this CIP during the 2020-21 Budget Supplement along with the use of $671,641 in Federal 5307 grant funds. These funds are being supplemented by a number of discretionary grants awarded for this procurement. These include a February 4, 2020 Low Carbon Transportation Operations Program (LCTOP) application, where $256,731 was awarded for ZEB purchase. A February 18, 2020 Senate Bill 1(SB1) State of Good Repair (SGR) application where $285,459 was awarded for ZEB purchase. The combined total of these funds is sufficient to buy the two electric transit vehicles as priced in the CA DGS contract. Item 9 Packet Page 83 ALTERNATIVES 1. Direct staff to defer purchasing to see if more favorable pricing is available. This however is not recommended as the two existing 2007 transit vehicles that need to be replaced are now past FTA’s defined useful life of 12 years of continual service and are experiencing reliability issues in the field. Replacing these vehicles will be important for service continuity and reliability. 2. Direct staff to purchase diesel model vehicles instead. This is not recommended because the discretionary grants awarded to the City (i.e. LCTOP and SB1) were for the purpose of procuring zero emission technology and would likely need to be returned if not used for these purposes. Item 9 Packet Page 84 Department Name: Administration Cost Center: 1006 For Agenda of: July 7, 2020 Placement: Business Estimated Time: N/A FROM: Greg Hermann, Deputy City Manager Prepared By: Molly Cano, Tourism Manager SUBJECT: 2020-21 COMMUNITY PROMOTIONS PROGRAMS RECOMMENDATION As recommended by the Tourism Business Improvement District (TBID) Board and the Promotional Coordinating Committee (PCC): 1. Authorize the City Manager to enter into various contracts and program expenditures for the TBID not to exceed the 2020-21 program budget of $1,014,000 (excludes staffing costs) based on the recommendations by the TBID Board and the adopted TBID Fund revenue projections as part of the 2020-21 Budget Supplement. 2. Authorize the City Manager to enter into contracts utilizing the TBID Fund un-appropriated fund balance from the 2019-20 fiscal year, following the completion of the City’s audited financial statements, for tourism marketing expenditures in 2020-21 based on the recommendations by the TBID Board. 3. Authorize the City Manager to use the TBID Fund Reserve of $100,000 for tourism marketing expenditures in 2020-21 in accordance with the TBID reserve policy. 4. Authorize the City Manager to enter into various contracts and program expenditures for Community Promotions not to exceed the 2020-21 program budget of $368,000 (excludes staffing costs) based on the recommendations by the PCC. REPORT-IN-BRIEF The City’s Community Promotions program is comprised of the City’s tourism assessment district and General Fund allocations to community promotion activities. The use of program funding is based on recommendations by two advisory bodies to the City Council: the TBID and PCC. While these advisory bodies have separate program functions and budgets, together they work to promote San Luis Obispo locally, regionally, nationally, and internationally. TBID The TBID Board advises the City Council in the administration and use of the TBID assessment funds. The role of the Board is to establish and facilitate projects to promote tourism to the City of San Luis Obispo that directly benefit the City's lodging industry in the form of marketing, advertising, partnership and promotions. Item 10 Packet Page 85 During the COVID-19 pandemic from March through June, in an unprecedented move the TBID paused all paid media efforts and promotion. The messaging to the loyal visitor base was, “now is not the time to come to SLO”. With the phased reopening of the community and as the City begins the strategic recovery efforts, tourism is expected to play a vital role in the economic recovery for our community. However, as with most industries the recovery will be slow and the TBID work will be deliberate. As stated in the adopted budget for fiscal year 2020-21, due to the severe and immediate impact of COVID-19 on the tourism industry, the TBID is expecting a decline in revenue of $500,000, approximately a quarter of the TBID’s annual operating budget. In order to account for this reduction as well as additional budget impacts resulting from the pandemic, the TBID Board took a very conservative approach to the 2020-21 budget appropriations by reducing all ancillary expenditures in order to maintain the core financial investment in marketing efforts. The areas of reduction for 2020-21 are primarily supplemental expenditures which include the reduction in strategic partnership commitments, the elimination of special event sponsorships, tradeshow participation, and the reduction in the amount allocated to the marketing service contract with the new tourism marketing agency Noble Studios. After thorough review and consideration, and considering the uncertainties surrounding the impending impacts from COVID-19, the TBID Board has identified the following program priorities and budget allocations for the focus of TBID marketing efforts in fiscal year 2020-21: 1. Tourism Marketing Services: the TBID will maintain its largest budget allocation (approximately 40%) towards a marketing service agreement with the new agency of record Noble Studios. As an element of this effort, Noble Studios has contracted with public relations and content agency, DCI, to execute expanded proactive public relations and content development work for the TBID. This new agreement is a two-year agreement with an opportunity to extend for an additional two-year term and is the result of a four-month RFP process. 2. Other Contract Services: continuation of agreements with the San Luis Obispo Chamber of Commerce for Guest Services and responsive Public Relations through contracted work efforts. 3. Membership in Industry Associations & Programs: including the Central Coast Tourism Council, the California Travel Association, and the transition to from an expanded strategic partnership to an annual membership for the TBID with SLO Coast Wine Collective (formerly SLO Wine Country Association). 4. Contingency Fund: to account for the funding uncertainties that may arise from the discrepancies between the budget assumptions and actual revenue collection, the TBID has not committed approximately $345,000 (28%) of the projected revenues towards specific expenses in order to maintain flexibility in the contract service budget. Should revenues be realized, then previously committed program areas will be considered for budget allocations such as: strategic partnerships in the form of financial sponsorship with Cal Poly Athletics and Cal Poly Office of Student Affairs; Event Sponsorship; Tradeshow participation; California Hotel & Lodging Association (CHLA) membership; and additional increases in the marketing service agreement expenditures. Historically the funding for Cal Poly Athletics has been in the form of marketing sponsorship and hosted team rooms, however due to the uncertainly of the athletics events for the 2020 -21 academic year, this sponsorship was Item 10 Packet Page 86 paused. For the sponsorship with the Cal Poly Office of Student Affairs, funding towards marketing representation at key events like SLO Days, WOW, Parents weekend is not relevant this year as the events have move away from in-person hosting, however staff is working with Cal Poly to participate in the virtual programing from an educational role as opposed to a paid sponsor role. CHLA membership renewal is in the fall, and so the TBID will be surveying TBID properties to evaluate the value before committing to the costly renewal before October 2020. PCC Since the development of the PCC Strategic Plan, the PCC has used this plan as a roadmap for decision making. During COVID-19, this work was accelerated and the work lane for the PCC became even clearer. As stated in the bylaws, “the purpose of the PCC is to advise the Council in working to improve the quality of life for all City residents and our visitors. The Committee recommends projects to help promote the City as a regional trade, recreation, and tourist center, consistent with community goals.” As the City begins the recovery from the impacts of COVID - 19, the PCC will play a significant role by serving as one component to advance those efforts. With this is mind, the PCC identified allocations of its program budget and time to develop a new initiative to support the community in recovery. In addition to that new project, the following program priorities and budget allocations are the focus of the PCC’s community promotions efforts in fiscal year 2020-21: 1. Chamber of Commerce Contract Services: continuation of agreements with the San Luis Obispo Chamber of Commerce for the second year of the two-year agreement for Visitor Center operations with modifications based on the new normal related to COVID-19; and for the shared public relations services in partnership with the TBID; and the production & distribution of the City tear-off maps. 2. Strategic Initiatives: funds available for the development of new projects to enhance the quality of life in San Luis Obispo through strategic placemaking or recovery investments. The details of the projects within this work program have yet to be determined by the PCC. Once the program budget is approved, in July the PCC will begin to evaluate and identify the projects to serve the need of the community. Examples of how this fund had been used in previous years include the seed-funding for the SLO Happy parking arch mural at the Marsh Street parking structure, the Cultural and Holiday banner/flag program, and a portion of the funding for the Support Local economic recovery program that is currently in development. 3. Cultural Grants In Aid (GIA) Program: With the current restrictions on large group gatherings, the PCC was forced to terminate the regular Cultural GIA application process and establish a modified program that meets the current needs of the community. Due to COVID- 19, special events in our community are being reimagined. The PCC will reconfigure the GIA program to reflect the current realities and needs of local community events, but has maintained the full allocation ($100,000 in funding and the opportunity for up to $30,000 in promotional support services) intended to support these grants within the program budget to support events in the community in a new way. Item 10 Packet Page 87 DISCUSSION Background With the 2020-21 adopted budget, the City Council approved the individual program budget and defined the work program for the Community Promotions program (PCC) and the TBID. Both programs are overseen and administered by advisory bodies to the City Council . The PCC makes recommendations regarding the use of Community Promotions program funding and the TBID Board recommends the use of the TBID assessment. Both advisory bodies have established recommendations for use of funding in 2020-21 with respective contract considerations. Tourism Business Improvement District (TBID) The TBID Board began its program development and budget allocation process in March 2020, by discussing the goals, priorities, and direction for the 2020-21 TBID program. During this process, the COVID-19 pandemic unexpectedly and dramatically modified the TBID’s financial state and outlook. Because of this, the TBID Board had to reevaluate all areas of program commitments to maximize every investment to market San Luis Obispo in a thoughtful and deliberate manner. Although these revised program allocations seem very different, the TBID has aligned the new budget direction, program priorities, and funding commitments with the fulfillment of the TBID’s five-year strategic clarity plan imperatives and the needs for the economic recovery in San Luis Obispo. The complete TBID strategic clarity plan including the updated document is available for review. (Attachment A – 2019-24 TBID Strategic Plan). The TBID strategic initiatives are to: 1. Elevate the SLO Brand & Experience. 2. Deliver Smart Growth. 3. Build Meaningful Partnerships. 4. Ensure Organizational Excellence. In the budget deliberation, the TBID Board, with the recommendation from the Management Committee, considered all activity and program commitments including strategic partnerships and contracts, marketing and advertising, events promotions, tradeshows, tourism organization and research, and support. The recommendations were made in conservative approach to the 2020-21 budget appropriations by reducing all ancillary expenditures in order to maintain the core financial investment in marketing efforts while allowing for revenue fluctuations and uncertainty through a robust contingency fund. In addition, the TBID identified key contractual obligations that are imperative to the TBID program. The TBID requested contract proposal presentations from the SLO Chamber of Commerce for the on-going Guest Service and responsive Public Relations efforts. Based on the content of the annual proposals and the recommendation from the Management Committee, the TBID Board recommends that Council authorize the City Manager to enter into separate contracts with the following organizations for the specified programs (Attachment B - TBID 06- 10-20 Draft Minutes; Attachment C- 2020-21 TBID Proposal): Item 10 Packet Page 88 1. SLO Chamber of Commerce: The TBID and PCC Boards recommend funding the Public Relations contract (shared with the PCC) in the TBID amount of $42,500 and the continuation of the media monitoring service at the fee of $3,712.50 annually. 2. SLO Chamber of Commerce – Guest Services: The TBID Board recommends full funding of the proposal for Guest Services in the amount of $47,500, which includes the continuation of the phone & availability service and the special promotions support service. Industry Associations & Programs The TBID Board also considered membership and programs with the following industry associations within California: 1. Central Coast Tourism Council (CCTC): The Board recommends maintaining membership with the CCTC in the amount of $850. 2. California Travel Association (CalTravel): The Board recommends membership with the CalTravel organization in the amount of $875. 3. SLO Coast Wine Collective: The Board recommends membership with the SLO Coast Wine Collective in the amount of $4,200. The remaining TBID program funds are allocated to program expenses including cooperative marketing opportunities with organizations like Visit SLO CAL or CCTC, attendance at industry conferences and additional partnerships, Smith Travel Reports, and marketing and promotional initiatives. (Attachment D– 2020-21 TBID Budget Allocation). Any un-appropriated fund balance from 2019-20 will be used for marketing programs in 2020- 21. These expenditures will be reviewed and approved by the TBID Board based on audited financial statements. Promotional Coordinating Committee (PCC) The purpose of the PCC is to enhance the quality of life for residents of San Luis Obispo and to enhance the quality of experience for visitors to San Luis Obispo. This mission was the guiding force behind the budget consideration for the PCC. During the June 10, 2020 meeting, the PCC finalized the 2020-21 budget allocations in response to COVID-19 including the continuation of Visitor Services and Public Relations efforts, strategic initiative investment for community placemaking and recovery efforts, and GIA funding. (Attachment E – 2020-21 PCC Budget Allocations; Attachment F – PCC 06-10-20 Draft Minutes) Chamber of Commerce Contract Services The PCC received a presentation from the Chamber of Commerce for the proposed on-going contract services. This included the contracted services for Visitor Center operations, the shared public relations services in partnership with the TBID, the marketing and public relations support of the GIA recipients, and the production of the City tear-off-maps. As a summary, the PCC considered the following contracts with the Chamber for fiscal year 2020-21: Item 10 Packet Page 89 1. Visitor Services: modifications to the second year of the two-year contract for the continuation of the Visitor Center operations. Changes were made to the work scopes to account for impacts from COVID-19 included the development of virtual services and support from the Visitor Center team as well as expanded deliverables like the event calendar entries. The funding amount is maintained for the Visitor Services contract in the amount of $119,600 in fiscal year 2020-21. 2. Public Relations: modifications to the scope of work for the contract include expanded work effort and deliverables to address the recovery efforts in SLO. The contract amount is $85,000 shared 50/50 between the TBID & PCC. 3. Tear Off City Maps: the annual production and printing of the tear-off maps at the same $9,000 fee for the pass-through production and printing costs. 4. GIA Support Contract: the PCC considered a one-year term at the contract cost of $30,000 for the promotional support of GIA recipient events; however, the PCC decided to hold this commitment until the overall GIA program modifications were finalized and the support needs were identified. The full proposals can be reviewed in the Council Reading File. (Attachment G – 2020-21 PCC Proposal) Previous Advisory Body Action The following advisory body actions were taken to support these recommendations: • TBID approval of the line item budget and contract terms on June 10, 2020 and recommended to City Council for approval. (Attachment B - TBID 06-10-20 Draft Minutes) • PCC approval of the line item budget and contract terms on June 10, 2020 and recommended to City Council for approval. (Attachment F – PCC 06-10-20 Draft Minutes) Policy Context As referenced in the City’s Municipal Code, Section 12.42.030 (Authorized Use), TBID revenue is used for the promotion of tourism.1 Public Engagement The public engagement was adequately done in order to prepare these recommendations to City Council. All Advisory Body Meetings for the TBID and PCC were noticed in accordance with Brown Act standards. 1 12.42.030 – Authorized Use: A. The general promotion of tourism within the district is to include costs as specified in the business plan to be adopted annually by the city counc il. Item 10 Packet Page 90 ENVIRONMENTAL REVIEW The California Environmental Quality Act (CEQA) does not apply to the recommended action in this report, because the action does not constitute a “project” under CEQA Guidelines sec. 15378. FISCAL IMPACT Budgeted: Yes Budget Year: 2020-21 Funding Identified: Yes Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund $404,143 $404,143 $0 $0 State Federal Fees Other: TBID $1,253,400 $1253,400 $0 $0 Total $ 1,657,543 $1,657,543 $0 $0 The 2020-21 budget projected TBID revenue based upon 20% of Transient Occupancy Tax, at $1,253,400 as can be referenced on page 79 of the Budget Supplement. Staff recommends that the Council fully appropriate the TBID budget for various contracts and program expenditures as outlined in this report and at the recommendation of the TBID Board. It is the fiscal responsibility of the TBID to utilize the maximum amount of revenue each year to further the marketing reach through the district’s promotional efforts. In October as part of the City’s budget revise, the TBID assessment revenue will be reevaluated based on summer travel trends. If needed, adjustments to the TBID budget will be made at that time. Beyond that adjustment, in the event that TBID revenues do not reach budget projections, staff recommends that the Council authorize the City Manager to utilize funds in the TBID Fund Reserve to offset those revenues. The total amount currently budgeted in the 2020-21 adopted budget for the Community Promotions program (PCC) is $404,143 in 2020-21. ALTERNATIVES The Council could choose to fund the contracts at different levels or modify the scope of services. The advisory bodies and staff do not recommend adjustments, as the proposed contracts are the result of careful review, discussion, and negotiations between the parties. Item 10 Packet Page 91 Attachments: a - COUNCIL READING FILE - 2019-24 TBID Strategic Plan b - TBID Draft Minutes of June 10, 2020 c - 2020-21 TBID Proposal d - TBID 2020-21 Budget Allocations e - PCC 2020-21 Budget Allocations f - PCC Draft Minutes of June 10, 2020 g - 2020-21 PCC Proposal Item 10 Packet Page 92 DRAFT Minutes – Tourism Business Improvement District Board Meeting of 06/10/20 Pg. 1 Minutes - DRAFT TOURISM BUSINESS IMPROVEMENT DISTRICT BOARD June 10, 2020 Regular Teleconference Meeting of the Tourism Business Improvement District Board CALL TO ORDER The regular teleconference meeting of the San Luis Obispo Tourism Business Improvement District Board was called to order on June 10, 2020 at 10:07 a.m. held via GoToWebinar by Chair John Conner. ROLL CALL Present: Chair John Conner and Board Members Bruce Skidmore, LeBren Young-Harris, Clint Pearce and Pragna Patel-Mueller Absent: none Staff: Tourism Manager Molly Cano and Tourism Coordinator Chantal Burns PUBLIC COMMENT ON ITEMS NOT ON THE AGENDA None --End of Public Comment-- CONSENT ITEMS C.1 Minutes of Meeting on Wednesday, May 13, 2020 C.2 Minutes of Special Meeting on Monday, May 11, 2020 C.3 Smith Travel Report C.4 Transient Occupancy Tax (TOT) Report C.5 Chamber Public Relations Monthly Report C.6 Chamber Visitor Center Monthly Report C.7 AMF + Matchfire Marketing Monthly Report Public Comment None. --End of Public Comment-- ACTION: MOTION BY COMMITTEE MEMBER PEARCE SECONDED BY COMMITTEE MEMBER SKIDMORE, CARRIED 5-0, TO APPROVE THE CONSENT AGENDA ITEMS 1 THRU 7. Item 10 Packet Page 93 DRAFT Minutes – Tourism Business Improvement District Board Meeting of 6/10/20 Pg. 2 BUSINESS ITEMS 1. New Agency Onboarding Plan Representatives from Noble Studios + DCI presented their high-level plans for June and July 2020 and their proposed fiscal year budget breakdown as the marketing services agency. As part of the agency’s plan and to assist in recovery efforts, they reintroduced a new campaign called SLO Ready for board members to consider. Noble Studios recommended that a budget of up to $10,000 be allocated to travel and evergreen photo and video creation for the campaign. The TBID Board provided feedback on the campaign concept and expressed overall interest in moving forward with the plans and campaign presented. Public Comments: None. ---End of Public Comments--- ACTION: MOTION BY COMMITTEE MEMBER SKIDMORE SECONDED BY COMMITTEE MEMBER PEARCE, CARRIED 5-0, to approve the presented timeline, program budget breakout as presented and to move forward with the presented SLO Ready campaign concept, but to further discuss and take action on the campaign’s content creation budget request of up to $10,000 separately and under the agenda’s business item 3. 2. 2020-21 Annual Contract Services The Board received a presentation for the San Luis Obispo Chamber of Commerce’s Guest Services and Public Relations annual contracted services from Dusty Colyer-Worth and Jacqui Clark-Charlesworth of the San Luis Obispo Chamber of Commerce. The Public Relations Services and Media Monitoring Services were proposed to be jointly funded by the TBID and PCC. It was recommended that these two services are to be split with TBID funding 50% and PCC funding 50% of the 2020-21 contract. Board members had no requests or comments on the presented services and wish to move forward with both services as presented for the San Luis Obispo TBID. Public Comments: None. ---End of Public Comments--- ACTION: MOTION BY COMMITTEE MEMBER SKIDMORE SECONDED BY COMMITTEE MEMBER PATEL-MUELLER, CARRIED 3-0-2 (HARRIS AND PEARCE RECUSED DUE TO CONFLICT OF INTEREST), to approve and recommend to City Council contracting the San Luis Obispo Chamber of Commerce’s Guest Services and Public Relations Services for the 2020-21 scope of work as presented. 3. 2020-21 TBID Program Budget Tourism Manager Cano presented the updated 2020-21 FY budget projections and the TBID expenditure categories that were discussed and developed by the Management Committee. Due to the budget being based off revenue assumptions, the Board continues to believe in having a larger contingency fund to pull from on an as needed basis. Board discussion reviewed the Smith Travel Report (STR) line item and the reason our SLO TBID subscribes to this data in addition to Visit SLO CAL. Additionally, Board members decided to move forward with Noble Studio’s presented campaign’s creative and production budget recommendation of up Item 10 Packet Page 94 DRAFT Minutes – Tourism Business Improvement District Board Meeting of 6/10/20 Pg. 3 to $10,000 but to pull this from the COVID-19 Recovery Response line item within the proposed program budget. Public Comments: None. ---End of Public Comments--- ACTION: MOTION BY COMMITTEE MEMBER PATEL-MUELLER SECONDED BY COMMITTEE MEMBER SKIDMORE, CARRIED 5-0, to approve that all line items within the presented 2020-21 TBID Program Budget except for the San Luis Obispo Chamber of Commerce’s annual contract be recommend to City Council for adoption. ACTION: MOTION BY COMMITTEE MEMBER PATEL-MUELLER SECONDED BY COMMITTEE MEMBER SKIDMORE, CARRIED 3-0-2 (HARRIS AND PEARCE RECUSED DUE TO CONFLICT OF INTEREST), to approve and recommend to City Council the presented 2020 -21 contract services budget proposal; San Luis Obispo Chamber of Commerce’s Guest Services for $47,500 and the joint funding with the PCC for the Public Relations Services at $42,500 and the Media Monitoring Service at $3,712.50 for the 2020-21 fiscal year. TBID LIAISON REPORTS AND COMMUNICATION 1. Hotelier Update • Member Skidmore reported on SLO TBID Hotels that he has seen reopen. Embassy Suites will not be reopening until July 6th. • Member Harris reported on Hampton Inn receiving a formal complaint from a guest questioned on their reasoning for travel during the essential travel only order. • Clarification that hotel pools will be allowed to open on June 12th if all guidance and self- certifications are complete. Hot tubs and saunas will not be allowed to reopen. 2. Management Committee Update - June 4, 2020 minutes are in the packet for review. 3. Marketing Committee Update – June 4, 2020 minutes are in the packet for review. 4. PCC Update - Member Pearce Tourism Manager Cano reported on • Shop SLO Program’s progress • A modified GIA program is being worked on 5. SLO CAL Update – Member Pearce Tourism Manager Cano reported on • VSC’s advocacy work 6. Tourism Program Update – Tourism Manager Cano reported on the following: • The State and County have released information and guidance for the June 12, 2020 reopening. • Communications to constituents will continue to be released ADJOURNMENT The meeting was adjourned at 11:44 a.m. The next Tourism Business Improvement District Board meeting is scheduled for July 8, 2020 at 10:00 a.m. held remotely and via teleconference. APPROVED BY THE TOURISM BUSINESS IMPROVEMENT DISTRICT BOARD: XX/XX/XXXX Item 10 Packet Page 95 June 2020 Proposal to the City of San Luis Obispo Tourism Business Improvement District June 2020 Guest Services and Public Relaons Purpose: Build on the partnership between the San Luis Obispo Chamber of Commerce and the City of San Luis Obispo’s Tourism Business Improvement District to strengthen San Luis Obispo as an unforge able place where visitors engage in a unique lifestyle they aspire to live, become emo onally a ached and return to for renewal. Exper se: The San Luis Obispo Chamber of Commerce looks forward to building on our exis ng strengths including a successful track record of promo ng San Luis Obispo, strong rela onships throughout the community as well as extensive experience providing public rela ons and visitor services. Looking forward: For more than 50 years, the Chamber has worked with the City of San Luis Obispo to improve the quality of life and economic vitality of our community. We con nue to seek new opportuni es to deepen our partnership and further the understanding of San Luis Obispo as an excep onal community to live in and visit. 1   Item 10 Packet Page 96 June 2020 Table of Contents Cover le er 1 Qualifica ons 3 Project Team 4 Proposals 5 Summary 11 2   Item 10 Packet Page 97 June 2020 Qualifica ons The San Luis Obispo Chamber of Commerce offers a dis nc ve and powerful combina on of strengths to assist the Tourism Business Improvement District in fulfilling its mission and strategic direc on. ●Direct rela onships with nearly 1,400 local businesses that represent more than 33,000 employees throughout the county. These long-term rela onships allow us to work cohesively with local businesses to execute promo ons, projects and media visits. ●Constant interac on with visitors in our downtown Visitor Center. More than 80,000 visitors were personally greeted and assisted in 2019 and we engaged with thousands more over the phone and digitally. The center, which is open seven days a week, is staffed by visitor informa on professionals who are trained to answer ques ons and accommodate requests of locals, visitors and travel writers. ●Produc ve rela onships with the media, rooted in our 40+ years of work in San Luis Obispo public rela ons. We are the go-to resource for travel writers due to the strength of the “chamber of commerce” brand and the strong rela onships we have built through the years. ●We have a nimble, responsive PR team, which is well informed about what is happening in the city and can capture the a en on of as well as respond to journalists with mely informa on, photography and contacts. ●Long-term strategic alliances with local organiza ons and events that a ract visitors and enhance the overall experience for tourists, including Hearst Castle, SLO Coast Wine Collec ve, Cal Poly, Fes val Mozaic, Downtown SLO, the PAC and the SLO Film Fes val. ●Access to a library of more than 50,000 current and historical images of San Luis Obispo and the surrounding area. The award-winning images have appeared in publica ons such as Na onal Geographic Traveler, Los Angeles Times, Outside Magazine, San Francisco Chronicle and many more. ●The SLO Chamber con nues to stay on top of the trends in tourism promo ons , working with regional, statewide, na onal & interna onal partners to iden fy and act on emerging trends and best prac ces. 3   Item 10 Packet Page 98 June 2020 Project Team The SLO Chamber has an experienced, professional staff who work together to execute projects to comple on with a track record of success. The key team members who will lead the work for the Tourism Business Improvement District include: Dusty Colyer-Worth Visitor Center Manager Dusty Colyer-Worth has been leading the Visitor Center and its team of six customer service professionals since February 2016. Dusty u lizes his background in community rela ons, marke ng, customer service and retail management to lead the SLO Chamber’s guest services efforts. Jacqui Clark-Charlesworth Director of Communica ons Jacqui Clark-Charlesworth has been with the SLO Chamber since 2018, and brings to the team a strong background in marke ng, brand development & public rela ons. In this role Jacqui works to share “why” San Luis Obispo is a wonderful place to vaca on, live, work and generally enjoy life. Keri Forsberg Lead Communica ons & Social Media Strategist Joining the SLO Chamber staff in 2015, Lead Communica ons & Social Media Strategist Keri Forsberg has a degree in Recrea on, Parks and Tourism Planning and Management from Cal Poly and specializes in social media trends and marke ng, as well as connec ng community members and businesses, to enhance the region’s tourism promo on efforts. Jim Dantona President / CEO Jim Dantona’s focus is on helping local businesses prosper. He brings his professional experience in government and personal passion in economic development to assis ng on the contracts with the TBID and PCC. In addi on, Jim comes with more than 20 years of experience in the public and private sector helping communi es thrive. 4   Item 10 Packet Page 99 June 2020 Proposals Guest Services The SLO Chamber’s Visitor Center is in a unique posi on to provide the San Luis Obispo guest with a friendly and informa ve experience before their arrival. This not only en ces visitors to San Luis Obispo but plays a pivotal role in the overall guest experience, encouraging travelers to stay in and return to SLO. Through rela onships developed with each of the TBID cons tuents we are able to capitalize on the Visitor Center’s significant face-to-face, phone and email traffic to encourage travelers to stay in San Luis Obispo and match the right guest with the right property. To this end, we are proposing to con nue the current services we provide to the TBID. The Chamber provides a hotel availability service that is currently exclusive to the TBID. Visitor Center staff contact every TBID property each week, on behalf of the TBID, and maintain a record of which hotels are sold out and which have availability for each Thursday, Friday and Saturday as well as impacted weekdays throughout the year. This helps guests, who would otherwise need to call each property on their own, easily find a room in the city. This service also allows for TBID proper es to refer their clients directly to the Visitor Center for centralized guest services. Since July 2019, the Chamber has been able to u lize this availability informa on to refer TBID proper es more than 12,000 mes. During the COVID-19 pandemic, this service also acts as a vital connec on point to relay and gather important informa on and data. In addi on, Visitor Center staff answer each call made to the TBID’s 1-877-SLO-TOWN phone number, which serves as a response tool to the TBID’s adver sing efforts and digital presence. This creates the op on for a ‘real person’ to assist in trip planning, ensuring that travelers seeking personal guidance have a friendly, live voice to shape their experience of San Luis Obispo before even arriving. The telephone dedicated TBID 1-877-SLO-TOWN line includes voicemail for June 2020 also frees up marke ng partners to focus their me and efforts on the adver sing and planning of special promo ons. As the TBID onboards a new marke ng agency, we look forward to collabora ng on new ini a ves, while also bringing historical knowledge. Scope of work The scope of work within this proposal includes: ●Tracking room availability Thursday – Saturday through: o Weekly email and phone calls to all cons tuents as well as addi onal tracking for impacted weeks throughout the year (i.e. Cal Poly Week of Welcome, Cal Poly Family Weekend) o Availability informa on for impacted mes will provided to TBID proper es in order to help maintain guest within the city o Tracking will be extended to TBID Homestay proper es that opt in to the service o SLO hotel contact informa on included in adver sing on exterior facing monitor a. er Visitor Center hours on weekends ●Guest service and booking assistance for guests that call the customer service line June 2020 Public Rela ons Overview of 2019-20 Since 2014, the SLO Chamber has led tourism public rela ons for the City of San Luis Obispo through a partnership between the Promo onal Coordina ng Commi ee and the Tourism Business Improvement District . In this role, the SLO Chamber has managed the responsive and proac ve public rela ons efforts to showcase the best of San Luis Obispo and en ce visitors and locals to explore our city. In 2019, the SLO Chamber and the City worked with a consultant to develop and deliver a new Strategic PR Plan. Over the past year, the SLO Chamber has implemented all aspects of that plan, including development of an editorial calendar and target media list, upda ng key messages, and launching the Media Center on VisitSLO.com. Addi onal contract elements include pitching story ideas, invi ng writers to experience the des na on and coordina ng those trips, sending out media releases, responding to media inquiries, use of the SLO Chamber’s photography library for editorial requests and developing customized media kits. We do all this public rela ons work for just one client – San Luis Obispo. This focused effort is paying off; in the past year alone, we contributed to nearly 300 media placements that highlight San Luis Obispo including those in Travel + Leisure, Los Angeles Times, Mercury News, Matador Network, Sunset Magazine, San Diego Union Tribune & Fodor’s. 2020-21 Strategy Since the middle of March, San Luis Obispo, like so many ci es reliant on tourism, has been greatly affected by the COVID-19 pandemic. As restric ons begin to ease and leisure travel reopens, San Luis Obispo will be facing a new normal in tourism and in our community. Now more than ever, it will be impera ve to communicate the vitality and character of our community and showcase San Luis Obispo as a safe, friendly and thriving city where people want to live and visitors want to vaca on. The public rela ons program will share the story of the unique offerings San Luis Obispo has for both residents and visitors by highligh ng the character of the community and why locals love to call SLO home. This includes the promo on of community ini a ves and the sharing of dis nc ve experiences which set the San Luis Obispo community apart from other des na ons. Objec ves: a) Promote San Luis Obispo as a des na on to live, play and stay driving visita on and delivering economic impact. b) Build consumer awareness serving as the voice of SLO by amplifying the des na on brand and reaching audiences locally, regionally and na onally. c) Communicate the vitality and character of San Luis Obispo and the community. 7   Item 10 Packet Page 102 June 2020 Target audiences: Our promo. onal efforts will target two audience groups: 1) Potenal visitors ranging from millennials to baby boomers, in defined key travel markets (Los Angeles, San Francisco, San Diego), as well as those with special interests such as food and wine, outdoor acvies or arts and culture. 2) Central Coast residents looking to rediscover what is in their backyard or within their community. Strategies to reach target audiences: Specific to the Tourism Business Improvement District Telling the right story in the right place Our community has never before faced the economic hurdles of these past few months. The tourism industry is a vital part of San Luis Obispo and in our partnership with the TBID’s new markeng team, we will amplify our voice and reach, operang as the local expert. We will work together to posion San Luis Obispo as the ideal desnaon for visitors, taking into consideraon how the city fits into wider travel trends. As part of this effort, we will be craing quarterly press releases for DCI to pitch via their resources and professional contacts. Press visits & FAMs There is no substute for experiencing San Luis Obispo firsthand. Press trips play a major role in generang editorial placements that tell the San Luis Obispo story and showcase our key messages. These placements inspire travel and educate consumers on the desnaon. This year we will be: ●working with key partners to host individual and FAM visits based on responsive leads and exisng relaonships ●addionally hosng visits as a result of DCI proacve outreach Digital Influencer Hos ng June 2020 ample lead- me to create content and will complement partner ac vi es and community happenings as well as the TBID’s marke ng plan to ensure overall efficiency and benefit. Suppor ng a vibrant economy San Luis Obispo is a bustling hub for makers, entrepreneurs and crea ves of all stripes. There are many unique and unearthed stories to be shared within the community. As ci es across the globe fight to regain their economic foo ng, highligh ng the character of San Luis Obispo will be an important piece of our success. The stories of perseverance and innova on among families, students, small business owners and professionals are wai ng to be told, and sharing these stories will encourage further connec on amongst neighbors in our community. Shop Local Campaign Small businesses are the lifeblood of our community and help shape the diverse economy in San Luis Obispo. As the PCC develops it’s Shop Local campaign, the SLO Chamber will work closely with Verdin Marke ng to amplify the message through public rela ons efforts. Foster Key Rela onships: Now more than ever, it is vital to work with our community partners to strengthen our collec ve message. With less resources and more obstacles as we look to encourage people to explore our city, the SLO Chamber will proac vely work with other organiza ons to cross market through public rela ons ini a ves as well as grow strategic alliances. In the upcoming year we are excited to deepen our collabora on with businesses and organiza ons that contribute to the region’s cultural vibrancy. Visit California: We will leverage the large interna onal megaphone that belongs to Visit California by par cipa ng in its PR programs. Key opportuni es include submi. ng content to June 2020 Cal Poly: Cal Poly is not only one of the community’s largest economic drivers, but also a huge draw for visitors whether they be families of students or those seeking the university’s many cultural offerings. Through our built-in rela. onship with Cal Poly, we are able to work with them to get in front of addional audiences like alumni, staff recruits and other key stakeholders in the university. MINDBODY: The SLO Chamber has a great relaonship with MINDBODY’s PR team that we will connue to grow. Our shared interest in represenng San Luis Obispo as a wellness desnaon, in addion to highlighng our community as one where start-ups such as MINDBODY thrive, is an excellent example of the SLO Chamber’s ability to bring together non-tradional tourism partnerships. SLO Lodging Proper es : We will work with the city’s lodging partners and their PR teams to lead the desnaon poron of any hosted media or FAMS. As there is a shared interest for success in both promong the hotels and the desnaon, this partnership is natural but also taccal in its approach. Scope of work: The scope of work within this proposal includes: ●In partnership with TBID Public Relaons agency: o Developing the 2020-21 editorial calendar o Maintaining VisitSLO media center o Refreshing key PR messages o Updang target media list o Refreshing story ideas o Craing proacve pitches o Building custom ineraries and hosng travel writers on individual and FAM trips throughout the year o Building custom ineraries and hosng digital influencers o Parcipaon in and pitching of TBID coordinated special promoons such as Money for a Rainy Day o Working in coordinaon on the comprehensive markeng plan to increase brand awareness across all plaorms ●Connued independently: o Developing community promoons strategy and editorial calendar o Tying in with Visit California, Visit SLO CAL & CCTC’s public relaons efforts to enhance visibility o Partnering with neighboring desnaons on tourism iniaves o Working with community partners on addional hosng opportunies o Responding to pitch requests o Fulfilling all media requests o Sourcing, building custom ineraries and hosng travel writers on individual and FAM trips throughout the year with key partners o Sourcing, building custom ineraries and hosng digital influencers with key partners 10   Item 10 Packet Page 105 June 2020 o Par cipa on in and pitching of City coordinated campaigns such as Shop Local to regional media and influencers o Par cipa ng in poten al out-of-area promo onal trips (possible opportuni es include partnerships with strategic partners such as MINDBODY) including prepara on, media coordina on and staff travel $85,000 a year for PR Services per year for the next year, jointly funded by the TBID and PCC In 2019-20, the TBID funded 60% and the PCC funded 40% of the contract Media Monitoring In 2020-21, we propose a con nua on of the media monitoring contract with Cision which allows the TBID & PCC to see the impact of public rela ons work, gives our PR team access to contact informa on for outlets, freelancers and influencers, and allows for whitelisted distribu on of media releases. This is a pass-through contract, and because of the Chamber’s nonprofit status, the service is available at a significant discount. This year, we propose the TBID and PCC jointly fund the media monitoring service to ensure the SLO Chamber has the tools they need to complete their work and measure results. $7,425 a year Summary Guest Services for 2020-21 $47,500 a year Public Rela ons Services for 2020-21 $42,500 a year* *$85,000, jointly funded by the TBID and PCC Media Monitoring Service $3,712.50 a year* *7,425, proposing joint funding by the TBID and PCC 11   Item 10 Packet Page 106 TBID Budget Planning 2020‐21 Income Source 19‐20 Original 19‐20 COVID 20‐21 PROJECTIONS TOT Revenue Assumption 8,033,000$      6,177,377$    6,267,000$                Adjusted TOT Revenue Assumptions  TBID Assessment (20% of TOT Revenue)1,606,600$      1,134,317$    1,253,400$                Carryover TBID Program Budget 1,606,600$      1,134,317$    1,253,400$                Fund Reserve 100,000$         100,000$       100,000$                   Expenditure Committed Adjusted  Projected   % of Total  Budget Expenditure (section in gray)19‐20 19‐20 20‐21  % of 20‐21  Projections TBID Budget Allocation Detail  Operations/Staffing  235,932$         226,486$       239,347$                  19.1% Administration Overhead (2% of TBID Assessment) 32,132$           22,686$         25,068$                    2.0% Staffing (FTE & .75 FTE) 203,800$         203,800$       214,279$                  17.1% Contracts 1,026,820$      982,000$       623,713$                  49.8% Marketing Contract 850,000$         807,000$       500,000$                  39.9%Noble Studios / DCI Chamber of Commerce ‐ PR  51,000$           51,000$         42,500$                    3.4% Current contract allows opportunity to extend current contract  for an additional year; consider 50/50 split w PCC Communication Plan  3,000$              3,000$           ‐$                            0.0%Not needed  Chamber of Commerce ‐ Guest Services 47,500$           47,500$         47,500$                    3.8%Flexibility based on COVID Chamber of Commerce ‐ Media Monitoring Service Fee 8,820$              8,400$           3,712.50$                 0.3% In discussion with Chamber & DCI if this is needed; if needed  consider 50/50 split w PCC CCTC Black Diamond co‐op  3,000$              1,600$           ‐$                            0.0%Not needed  Website Acquisition ‐ Chamber  47,500$           47,500$         ‐$                            0.0%Not needed  Website Acquisition ‐ Matchfire  16,000$           16,000$         ‐$                            0.0%Not needed  Website Acquisition ‐ Legal ‐$                  ‐$               ‐$                            0.0%Not needed  Co‐op Program Funding ‐$                  ‐$               30,000$                    2.4%Moved from Marketing Service contract; incudes Crowdriff Partnerships 135,500$         120,500$       4,200$                      0.3% Cal Poly Athletics 95,500$           95,500$         ‐$                            0.0%Move funding to contingency for possible future consideration   SLO Wine  19,000$           19,000$         4,200$                        0.3% Membership $4200 ‐ switch event to social or PR/ swap other  items for TBID needs SLO Wine Rooms 1,000$              1,000$           ‐$                            0.0%Move funding to contingency for possible future consideration   Cal Poly Student Affairs  20,000$           5,000$           ‐$                            0.0%Move funding to contingency for possible future consideration   Events Promotion 60,000$           31,714$         ‐$                             General Events Promotion 60,000$           31,714$         ‐$                            Move funding to contingency for possible future consideration   Event Activation ‐$                  ‐$               ‐$                            Not needed  Tradeshows 51,000$            36,186$          5,000$                       0.4% Tradeshows & Travel Shows  43,000$           32,686$         ‐$                            0.0%Move funding to contingency for possible future consideration   Tourism Conferences 8,000$              3,500$           5,000$                        0.4% Staff participation in conferences including Outlook, CCTC  workshop & retreat Tourism Organizations/Research 56,566$            30,991$          4,425$                       0.4% CCTC Dues 1,000$              850$               850$                           0.1%Maintain membership Smith Travel Report Contract  3,000$              2,700$           2,700$                        0.2%Maintain contract  CalTravel Membership  1,000$              875$               875$                           0.1%Maintain membership California Hotel & Lodging Association   26,566$           26,566$         ‐$                            0.0%Move funding to contingency for renewal consideration in Q2 Strategic Plan Project  25,000$           ‐$                            0.0%Not needed  Research ‐$                            0.0%Move funding to contingency for possible future consideration   STR Forecast Report ‐$                            0.0%Not needed  Support/ Meetings 40,782$           1,550$           373,728$                  29.8% Tourism Program Expenses 5,000$              1,000$           5,000$                        0.4%Maintain Funding  FAM Trip Hosting 5,000$              550$               5,000$                        0.4%Maintain Funding  Past Due CP Rooms 1,000$              ‐$                            0.0%Not needed  Contingency 29,782$           345,728$                  27.6% Staff recommendation to plan for additional COVID revenue   impacts; Previous program areas to be considered through this  allocation include: CP Athletics; CP Office of SA; Event  Sponsorship; Tradeshow participation; CHLA; increase in  marketing service agreement expenditures   COVID Recovery Response ‐$                  ‐$               18,000$                    1.4% New budget allocation; #SLOready campaign  creative/production budget ($10,000)  Subtotal 1,606,600$      1,429,427$    1,250,413$               100% Budget Remaining ‐$                   (295,110)$      2,988$                         Item 10 Packet Page 107 Budget 2020‐21 2019‐20  2020‐21 Projected Updated: 6/10/20 Budget 405,302$                  404,143$                   Carryover Total Budget 405,302$                  404,143$                   Expenditure 2019‐20 2020‐21 Expenditure PCC Consideration Notes  Grants‐in‐Aid Funding 100,000$                  100,000$                    PCC earmarked in January;   maintaining allocation for modified  program   Grants‐in‐Aid Promotional Support Contract  30,000$                      Consider needs within modified  program   Community Placemaking & Recovery Projects 50,000$                     50,000$                       Edited the Expenditure Line Item  description to be inclusive of other  program items   SLO Happenings Campaign 15,000$                     ‐$                             Event entry work added to Visitor  Service SOW   General Contract Services 2,400$                       36,646$                       Program Support for GIA would  come from the allocation if/when  needed   Visitors Center 119,600$                  119,600$                    Contract status: second year of a 2‐ year term; reviewed & adjusted  SOW deliverables based on change  in service needs   PR Contract 34,000$                     46,212.50$                 50/50 split between PCC & TBID  for 20‐21; 50/50 split between PCC  & TBID for media monitoring  service  Communications Plan Consultant Services  2,000$                       ‐$                             one time expense to address PR  contract support, not needed in  2020‐21  Downtown Maps 9,000$                       9,000$                        Future Freeze item   Support Cost 5,000$                       5,000$                         Maintain funding for committee,  program & staff expenditures   Administration (Staffing)  38,302$                     37,685$                      Total 405,302$                  404,143$                   Remaining Budget ‐$                          ‐$                            Community Promotions Budget Worksheet  Item 10 Packet Page 108 DRAFT Minutes – Promotional Coordinating Committee Meeting of June 10, 2020 Page 1 Minutes - DRAFT PROMOTIONAL COORDINATING COMMITTEE Wednesday, June 10, 2020 Regular Meeting of the Promotional Coordinating Committee CALL TO ORDER A Regular Meeting of the San Luis Obispo Promotional Coordinating Committee was called to order on Wednesday, June 10, 2020 at 5:31 P.M., by Chair Matteson via teleconference. ROLL CALL Present: Committee Members Ryan Heath, John Thomas, Stephanie Stackhouse, Samantha Welch, Vice Chair John Connor, and Chair Dana Matteson Absent: None Staff: Tourism Manager Molly Cano and City Clerk Teresa Purrington PUBLIC COMMENT ITEMS NOT ON THE AGENDA None --End of Public Comment-- CONSENT ITEMS ACTION: UPON MOTION BY COMMITTEE MEMBER WELCH, SECONDED BY COMMITTEE MEMBER THOMAS, CARRIED 6-0-0,(WITH ONE SEAT VACANT) to approve the Consent Agenda items 1 thru 7. C.1 Minutes of the Meeting on May 13, 2020 C.2 2019-20 Community Promotions Budget Report C.3 Public Relations Report C.4 Grants-in-Aid Support Report C.5 Visitors Center Report C.6 SLO Happenings Activity Report C.7 TOT Report Item 10 Packet Page 109 DRAFT Minutes – Promotional Coordinating Committee Meeting of January 8, 2020 Page 2 PRESENTATIONS 1. PUBLIC RELATIONS, GIA & VISITOR SERVICES QUARTER REPORT Jacqui Clark-Charlesworth, SLO Chamber provided a PowerPoint presentation and responded to Committee inquiries. Public Comment None. --End of Public Comment-- No action was taken on this item. BUSINESS ITEMS 1. 2020-21 ANNUAL CONTRACT SERVICES Jim Dantona, Dusty Colyer-Worth and Jacqui Clark-Charlesworth, of SLO Chamber provided a PowerPoint presentation on the annual contracted services for Public Relations, GIA support and Visitor Services from the San Luis Obispo Chamber of Commerce representatives and responded to Committee inquiries. Public Comment None. --End of Public Comment-- ACTION: UPON MOTION BY COMMITTEE MEMBER WELCH, SECONDED BY COMMITTEE MEMBER HEATH, CARRIED 6-0-0, (WITH ONE SEAT VACANT) to approve the contact services as presented with the following change: • Increase the scope of work for event entry to up to 25 events per month 2. SHOP LOCAL PROGRAM DEVELOPMENT Ashlee Akers, Verdin Marketing provided a PowerPoint presentation on the development of a “Shop Local” economic recovery program. Akers presented the concept of the program being a Support Local campaigns verses a Shop Local only campaign. Public Comment None. --End of Public Comment-- Item 10 Packet Page 110 DRAFT Minutes – Promotional Coordinating Committee Meeting of January 8, 2020 Page 3 ACTION: UPON MOTION BY COMMITTEE MEMBER THOMAS, SECONDED BY COMMITTEE MEMBER STACKHOUSE, CARRIED 6-0-0, (WITH ONE SEAT VACANT) to adopt the plan as presented. 3. FY 20-21 BUDGET DISCUSSION Tourism Manager Molly Cano provided an overview of the proposed FY 2020-21 budget allocations for the PCC program. Public Comment None. --End of Public Comment-- ACTION: UPON MOTION BY COMMITTEE MEMBER THOMAS SECONDED BY COMMITTEE MEMBER WELCH, CARRIED 6-0-0, (WITH ONE SEAT VACANT) to approve the budget as proposed. PCC LIAISON REPORTS AND COMMUNICATION 1. COMMITTEE OUTREACH UPDATE - None 2. GIA UPDATE – LIAISON REPORT John Thomas provided a brief report regarding the Greek Festival. 3. TBID BOARD REPORT – TBID Meeting Minutes: January John Connor provided a brief overview of the TBID Board Meeting. 4. TOURISM PROGRAM UPDATE Tourism Manager Cano provided a brief Tourism Program update. ADJOURNMENT The meeting was adjourned at 7:51 p.m. The next Regular Promotinal Coordinating Committee meeting is scheduled for Wednesday, July 8, 2020, 2018 at 5:30 p.m., via teleconference. APPROVED BY THE PROMOTIONAL COORDINATING COMMITTEE: XX/XX/2020 Item 10 Packet Page 111 June 2020 Proposal to the City of San Luis Obispo Promotional Coordinating Committee June 2020 Visitor Center Update & Promotional Services Purpose:​ Build on the partnership between the San Luis Obispo Chamber of Commerce and the City of San Luis Obispo’s Promotional Coordinating Committee to enhance and enrich the resident and visitor experience in San Luis Obispo, create a central hub of community and visitor information, and promote the region to potential visitors. Expertise:​ The San Luis Obispo Chamber of Commerce looks forward to building on our existing strengths including a successful track record of promoting San Luis Obispo, strong relationships throughout the community as well as extensive experience providing public relations and visitor services. Looking forward:​ ​ For more than 50 years, the Chamber has worked with the City of San Luis Obispo’s Promotional Coordinating Committee to create new programs and utilize existing Chamber assets to improve the quality of life and economic vitality of the community we live in; we continue to seek new opportunities to deepen our partnership and further the understanding of San Luis Obispo as an exceptional place to live and visit. 1  Item 10 Packet Page 112 June 2020 Table of Contents Cover letter 1 Qualifications 3 Project Team 4 Proposals 5 Summary 11 2  Item 10 Packet Page 113 June 2020 Qualifications The San Luis Obispo Chamber of Commerce offers a distinctive and powerful combination of strengths to assist the Tourism Business Improvement District in fulfilling its mission and strategic direction. ●Direct ​relationships with more than 1,400 local businesses​ that represent more than 33,400 employees throughout the county. These long-term relationships allow us to work cohesively with local businesses to execute promotions, projects and media visits. ●Constant interaction with visitors in our ​downtown Visitor Center. More than 80,000 visitors ​were personally greeted and assisted in 2018 and we engaged with thousands more over the phone and digitally. The center, which is open seven days a week, is staffed by visitor information professionals who are trained to answer questions and accommodate requests of locals, visitors and travel writers. ●Productive ​relationships with the media, ​rooted in our​ ​40+ years of work in San Luis Obispo public relations. We are the go-to resource for travel writers due to the strength of the “chamber of commerce” brand and the strong relationships we have built​ through the years. ●We have a​ nimble, responsive PR team, ​which is well informed about what is happening in the city and is able to capture the attention of as well as respond to journalists with timely information, photography and contacts. ●Long-term ​strategic alliances ​with local organizations and events that attract visitors and enhance the experience of tourists and locals alike, including Hearst Castle, SLO Wine Country, Cal Poly, Festival Mozaic, Downtown SLO, the PAC and the SLO Film Festival. ●Access to a library of ​more than 50,000 current and historical images​ of San Luis Obispo and the surrounding area. The award-winning images have appeared in publications such as National Geographic Traveler, Los Angeles Times, Outside Magazine, San Francisco Chronicle and many more. ●The Chamber continues to ​stay on top of the trends in tourism promotions​, working with regional, statewide and national partners to identify and act on emerging trends and best practices. 3  Item 10 Packet Page 114 June 2020 Project Team The SLO Chamber has an ​experienced, professional staff ​who work together to execute projects with a track record of success. The key team members who will lead the proposed work for the Promotional Coordinating Committee include: Dusty Colyer-Worth Visitor Center Manager Dusty Colyer-Worth has been leading the Visitor Center and its team of six customer service professionals since February 2016. Dusty utilizes his background in community relations, marketing, customer service and retail management to lead the Chamber’s guest services efforts. Jacqui Clark-Charlesworth Director of Communications Jacqui Clark-Charlesworth has been with the Chamber since 2018, and brings to the team a strong background in marketing, brand development & public relations. In this role Jacqui works to share “why” San Luis Obispo is a wonderful place to vacation, live, work and generally enjoy life. Keri Forsberg Lead Communications & Social Media Strategist Joining the Chamber staff in 2015, Lead Communications & Social Media Strategist Keri Forsberg has a degree in Recreation, Parks and Tourism Planning and Management from Cal Poly and specializes in social media trends and marketing as well as connecting community members and businesses, to enhance the region’s tourism promotion efforts. Jim Dantona President / CEO Jim Dantona’s focus is on helping local businesses prosper. He brings his professional experience in government and personal passion in economic development to assisting on the contracts with the TBID and PCC. In addition, Jim comes with more than 20 years of experience in the public and private sector helping communities thrive. 4  Item 10 Packet Page 115 June 2020 Visitor Center As we enter into the second year of our current agreement and navigate through the COVID-19 pandemic, we look to how the landscape of our community has changed, and might change further. The SLO Chamber is committed to our partnership and support of the Promotional Coordinating Committee and looks forward to growing our efforts as we navigate this new normal together. With there are still many uncertainties, we would like to put forward some ideas on how we can best deliver on our partnership: ●Participate in virtual versions of key Cal Poly events, offering “Get to know SLO” webinars and Q&As, as well as digital distribution of informational resources. ●Take advantage of the opportunity to activate the Visitor Center on-the-road service as both new and historic events emerge. ●Make use of the Visitor Center as a space that can showcase local artists. ●Expansion of materials available in the Visitor Center to include locally sourced PPE items. We are open to new thoughts and ideas as the PCC moves forward in it’s vital work in making our community vibrant and thriving. When new strategies and possible work scopes develop, we are ready and willing to jump in, help out, and come to the table with how we can expand our long-standing partnership further. San Luis Obispo City Maps The tear-off, tableted city maps are the most utilized visitor resource in our Visitor Center as well as throughout San Luis Obispo. Maps are distributed quarterly and on-demand to all San Luis Obispo city hotels as well as hospitality partners including ​Amtrak​, wineries and local museums. While this project is typically updated and printed each spring, we due to this year’s unforeseen events, distribution halted in mid-March. We currently have enough maps to cover a quarter of distribution at normal levels and propose reassessing in the fall if a reprint is warranted. In the past, we have printed 150,000 to keep up with the demand for distribution of approximately 37,500 maps each quarter. Additionally, we have the option to create a digital version of the map that will be more widely accessible to properties and key partners. hold $9,000 for 150,000 maps with minor updates 5  Item 10 Packet Page 116 June 2020 GIA Marketing Support Over the last eight years, the Chamber has provided event promotion and public relations support to the ​Promotional Coordinating Committee’s​ Grants-In-Aid recipients. This partnership has been aimed at driving attendance and support by residents and visitors to events in the city. In the 2020-21 year, we know that the GIA initiative will look very different, as it is unknown when events of this size will be permitted to resume. However, the Chamber is committed to partnering with the PCC to deliver on the goal of the GIA program, creating connection among residents through support for cultural activities. We propose the PCC hold this funding and work with the Chamber to imagine this support for community non-profits in a new way that will enhance the San Luis Obispo experience. hold $30,000 a year Public Relations Overview of 2019-20 Since 2014, the SLO Chamber has led tourism public relations for the City of San Luis Obispo through a partnership between the ​Promotional Coordinating Committee​ and the ​Tourism Business Improvement District​. In this role, the SLO Chamber has managed the responsive and proactive public relations efforts to showcase the best of San Luis Obispo and entice visitors and locals to explore our city. In 2019, the SLO Chamber and the City worked with a consultant to develop and deliver a new Strategic PR Plan. Over the past year, the SLO Chamber has implemented all aspects of that plan, including development of an editorial calendar and target media list, updating key messages, and launching the Media Center on VisitSLO.com. Additional contract elements include pitching story ideas, inviting writers to experience the destination and coordinating those trips, sending out media releases, responding to media inquiries, use of the SLO Chamber’s photography library for editorial requests and developing customized media kits. We do all this public relations work for just one client – San Luis Obispo. This focused effort is paying off; in the past year alone, we contributed to nearly 300 media placements that highlight San Luis Obispo including those in ​Travel + Leisure, Los Angeles Times, Mercury News, Matador Network, Sunset Magazine, San Diego Union Tribune & Fodor’s. 2020-21 Strategy 6  Item 10 Packet Page 117 June 2020 Since the middle of March, San Luis Obispo, like so many cities reliant on tourism, has been greatly affected by the COVID-19 pandemic. As restrictions begin to ease and leisure travel reopens, San Luis Obispo will be facing a new normal in tourism and in our community. Now more than ever, it will be imperative to communicate the vitality and character of our community and showcase San Luis Obispo as a safe, friendly and thriving city where people want to live and visitors want to vacation. The public relations program will share the story of the unique offerings San Luis Obispo has for both residents and visitors by highlighting the character of the community and why locals love to call SLO home. This includes the promotion of community initiatives and the sharing of distinctive experiences which set the San Luis Obispo community apart from other destinations. Objectives: a)Promote San Luis Obispo as a destination to live, play and stay driving visitation and delivering economic impact. b)Build consumer awareness serving as the voice of SLO by amplifying the destination brand and reaching audiences locally, regionally and nationally. c)Communicate the vitality and character of San Luis Obispo and the community. Target audiences: Our promotional efforts will target two audience groups: 1)Potential visitors ranging from millennials to baby boomers, in defined key travel markets (Los Angeles, San Francisco, San Diego), as well as those with special interests such as food and wine, outdoor activities or arts and culture. 2)Central Coast residents looking to rediscover what is in their backyard or within their community. Strategies to reach target audiences Specific to the Tourism Business Improvement District Telling the right story in the right place Our community has never before faced the economic hurdles of these past few months. The tourism industry is a vital part of San Luis Obispo and in our partnership with the TBID’s marketing team, we will amplify our voice and reach, operating as the local expert. We will work together to position San Luis Obispo as the ideal destination for visitors, taking into consideration how the city fits into wider travel trends. Additionally, we will be crafting quarterly press releases for DCI to pitch via their resources and professional contacts. Press visits & FAMs There is no substitute for experiencing San Luis Obispo firsthand. Press trips play a major role in generating editorial placements that tell the San Luis Obispo story and showcase our key messages. These placements inspire travel and educate consumers on the destination. ●working with key partners to host individual and FAM visits based on responsive leads 7  Item 10 Packet Page 118 June 2020 ●additionally hosting visits as a result of DCI proactive outreach Digital Influencer Hosting As the digital influencer-sphere is growing, we have dedicated more attention to these content creators. In our past work on the digital influencer strategy, we have found success in the authentic relationship building and will continue to work with DCI to grow this program. We will support partnerships with digital influencers that are relevant to the SLO brand, resonate with our target audience and have a desired reach on their platform(s). ●working with key partners to host visits based on responsive leads ●additionally hosting visits as a result of DCI proactive outreach Specific to the Promotional Coordinating Committee Putting the pieces in place Every inch of San Luis Obispo has its own unique history, and every SLO resident has their own story. We propose developing a community promotions strategy and an editorial calendar to amplify the diverse stories to tell within our community. This organized method will provide ample lead-time to create content and will complement partner activities and community happenings as well as the TBID’s marketing plan to ensure overall efficiency and benefit. Supporting a vibrant economy San Luis Obispo is a bustling hub for makers, entrepreneurs and creatives of all stripes. There are many unique and unearthed stories to be shared within the community. As cities across the globe fight to regain their economic footing, highlighting the character of San Luis Obispo will be an important piece of our success. The stories of perseverance and innovation among families, students, small business owners and professionals are waiting to be told, and sharing these stories will encourage further connection amongst neighbors in our community. Shop Local Campaign Small businesses are the lifeblood of our community and help shape the diverse economy in San Luis Obispo. As the PCC develops it’s Shop Local campaign, the SLO Chamber will work closely with Verdin Marketing to amplify the message through public relations efforts. Foster Key Relationships Now more than ever, it is vital to work with our community partners to strengthen our collective message. With less resources and more obstacles as we look to encourage people to explore our city, the SLO Chamber will proactively work with other organizations to cross market through public relations initiatives as well as grow strategic alliances to promote the city. In the upcoming year we are excited to deepen our collaboration with businesses and organizations that contribute to the region’s cultural vibrancy. Visit California: ​We will leverage the large international megaphone that belongs to Visit California by participating in its PR programs. Key opportunities include submitting content to 8  Item 10 Packet Page 119 June 2020 Visit California’s editorial board, participating in Visit California-led press trips, sharing content on Visit California’s social media channels and potentially attending domestic media marketplaces. Central Coast Tourism Council: ​We will leverage the Central Coast Tourism Council’s growing reach by participating in its PR efforts and positioning the destination as the heart of the Central Coast. Visit SLO CAL: ​We will leverage the national and international reach of Visit SLO CAL by partnering closely with their PR team and participating in their PR programs. As the heart of SLO CAL, SLO is poised to benefit from participating in Visit SLO CAL-led press trips and ensuring that SLO CAL understands our message calendar, key assets and understands the city as a productive partner in promoting our region. SLO Coast Wine Collective: ​Understanding that the budding wine region is a flourishing aspect of our destination, SLO will work with SLO Coast Wine’s team on telling that story and publicizing the destination together. Cal Poly: ​Cal Poly is not only one of the community’s largest economic drivers, but also a huge draw for visitors whether they be families of students or those seeking the university’s many cultural offerings. Through our built-in relationship with Cal Poly, we are able to work with them to get in front of additional audiences like alumni, staff recruits and other key stakeholders in the university. MINDBODY: ​The SLO Chamber has a great relationship with MINDBODY’s PR team that we will continue to grow. Our shared interest in representing San Luis Obispo as a wellness destination, in addition to highlighting our community as one where start-ups such as MINDBODY thrive, is an excellent example of the SLO Chamber’s ability to bring together non-traditional tourism partnerships. SLO Lodging Properties​: We will work with the city’s lodging partners and their PR teams to lead the destination portion of any hosted media or FAMS. As there is a shared interest for success in both promoting the hotels and the destination, this partnership is natural but also tactical in its approach. Scope of work The scope of work within this proposal includes: ●In partnership with TBID Public Relations agency: o Developing the 2020-21 editorial calendar o Maintaining VisitSLO media center o Refreshing key PR messages o Updating target media list o Refreshing story ideas o Crafting proactive pitches o Building custom itineraries and hosting travel writers on individual and FAM trips throughout the year 9  Item 10 Packet Page 120 June 2020 o Building custom itineraries and hosting digital influencers o Participation in and pitching of TBID coordinated special promotions such as Money for a Rainy Day o Working in coordination on the comprehensive marketing plan to increase brand awareness across all platforms ●Continued independently: o Developing community promotions strategy and editorial calendar o Tying in with ​Visit California, Visit SLO CAL & CCTC’s ​public relations efforts to enhance visibility o Partnering with neighboring destinations on tourism initiatives o Working with community partners on additional hosting opportunities o Responding to pitch requests o Fulfilling all media requests o Sourcing, building custom itineraries and hosting travel writers on individual and FAM trips throughout the year with key partners o Sourcing, building custom itineraries and hosting digital influencers with key partners o Participation in and pitching of City coordinated campaigns such as ​Shop Local to regional media and influencers o Participating in potential out-of-area promotional trips (possible opportunities include partnerships with strategic partners such as MINDBODY) including preparation, media coordination and staff travel $85,000 a year for PR Services per year for the next year, jointly funded by the TBID and PCC In 2019-20, the TBID funded 60% and the PCC funded 40% of the contract Media Monitoring In 2020-21, we propose a continuation of the media monitoring contract with ​Cision​ which allows the TBID & PCC to see the impact of public relations work, gives our PR team access to contact information for outlets, freelancers and influencers, and allows for whitelisted distribution of media releases. This is a pass-through contract, and because of the Chamber’s nonprofit status, the service is available at a significant discount. This year, we propose the TBID and PCC jointly fund the media monitoring service to ensure the SLO Chamber has the tools they need to complete their work and measure results. $7,425 a year We propose joint funding by the TBID & PCC 10  Item 10 Packet Page 121 June 2020 Summary San Luis Obispo City Tear-Off Maps hold $9,000 GIA Marketing Support hold $30,000 a year Public Relations Services for 2020-21 $42,500 a year* *​$85,000, jointly funded by the TBID and PCC Media Monitoring Services $3,712.50 a year* *7,425, proposing joint funding by the TBID and PCC 11  Item 10 Packet Page 122 Department Name: Community Development Cost Center: 4007 For Agenda of: July 7, 2020 Placement: Business Item Estimated Time: 15 minutes FROM: Michael Codron, Community Development Director Prepared By: Cara Vereschagin, Housing Coordinator SUBJECT: CONSIDERATION OF THE 2020-21 HUMAN RELATIONS COMMISSION GRANTS-IN-AID FUNDING RECOMMENDATIONS RECOMMENDATION 1. As recommended by the Human Relations Commission, approve the 2020-21 Grants-in-Aid funding allocations in the amount of $150,000 (Attachment A); and 2. Authorize the Community Development Director to execute agreements with each grant recipient. DISCUSSION Background The City’s Grants-in-Aid (GIA) program, overseen by the Human Relations Commission (HRC), provides financial support to non-profit organizations that promote the economic and social well- being of the citizens of San Luis Obispo. Grants are made to local organizations or agencies based in neighboring communities who serve a significant number of City residents. The HRC advises the City Council on community needs and funding recommendations (Attachment B). Community Needs Workshop On October 2, 2019, the HRC hosted a Community Needs Workshop to inform the public about upcoming grant programs and funding amounts, as well as to solicit public comments on community development and human service needs. A total of nine speakers addressed a wide variety of community needs during the public comment period. Representatives from non-profits pointed to an increase in demand for services including mental health, shelter for domestic violence victims, food accessibility, senior services, and affordable housing. Due to the decrease in funding at the federal and state level over the past several years and the increase in demand has strained service providers’ ability to deliver core services. The service providers stressed the importance of the GIA program and encouraged the HRC to continue its support. Council Priority Setting On November 19, 2019, Council adopted homelessness prevention, including affordable and alternative housing, support services and transitional housing as the primary funding priority for allocating GIA funds for the 2020-21 program. However, to allow maximum flexibility for funding recommendations dependent upon the received applications, the following were not ranked, but were agreed to be important priorities: Item 11 Packet Page 123 • Hunger and malnutrition prevention • Supportive physical and mental health services for those in need • Services for seniors and/or people with disabilities in need • Supportive and development services for children and youth in need GIA Application Process Began in October 2019 In October of 2019, the HRC formally launched its annual GIA process by advertising the availability of grant funds and information regarding the upcoming GIA timeline. GIA applications were due to the City on January 31, 2020. The City received grant funding requests from 34 agencies requesting funding for 36 different programs totaling $310,015, which amounted to $160,015 more than the available funding, as displayed in the figure below. Attachment B includes a list of the applications submitted to the City for GIA funding and the HRC’s recommended funding amounts. The GIA Program Application Summary (Attachment C) further describes each program and recommendation reasoning. HRC Subcommittee Review Process On February 5, 2020, the HRC convened the GIA subcommittee of Commissioners Lincoln and Richardson to review grant applications and make preliminary funding recommendations in the amount of $150,000. The subcommittee members utilized the endorsed GIA funding priorities set by Council and the location of the target population of people to be served to guide their funding recommendations. Additionally, they engaged the rest of the HRC, and asked the other Commissioners to allocate a portion of funding utilizing past personal experiences as liaisons with the organizations. Item 11 Packet Page 124 Funding Recommendations On May 6, 2020, the GIA subcommittee presented preliminary grant recommendations to the full HRC. On June 3, 2020, the HRC held a public hearing to review the recommended funding for the 2020-21 GIA applications in consideration of Council’s adopted funding priorities, to finalize its recommendations to the City Council. Prior to the June 3rd meeting, GIA applicants were informed of the HRC’s preliminary funding recommendations. A total of eight representatives from various non-profit organizations provided testimony in support of the GIA program and preliminary funding recommendations, during public comment. While many thanked the HRC for its support, one speaker requested reconsideration of the preliminary funding recommendation for their program, which has been experiencing a severely increased demand for services due to the COVID-19 pandemic. The HRC upheld their request, and reallocated $3,000 from a different program, thus recommending the disbursement of $150,000 to 30 programs in grants ranging from $500 to $13,690. Grant Contracts Upon Council approval of GIA funding allocations, the City will enter into a contract with each organization that has been awarded grant funding. The HRC and City staff will monitor the contracts throughout the year. Policy Context The GIA program is commonly referred to in the Housing Element as an ongoing method to achieve various goals, policies, and programs related to housing needs. Public Engagement The public, and more specifically non-profit organizations, were engaged throughout the entire GIA award process, as described in the sections above. 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. 15378. FISCAL IMPACT Budgeted: Yes Budget Year: 2020-21 Funding Identified: Yes Fiscal Analysis: Funding Sources Current FY Cost Annualized On-going Cost Total Project Cost General Fund $150,000 $150,000 State Federal Fees Other: Total $150,000 $150,000 Item 11 Packet Page 125 The City designates a portion of General Fund monies to the GIA program and the Council has the final authority over how those grants are awarded. The Human Relations Budget for the 2020-21 fiscal year is $307,000, which includes $150,000 for the GIA program and $157,000 for ongoing homelessness support programs. Additionally, $20,000 was carried over from the 2019- 20 Budget for diversity and inclusion efforts. With the adoption of the 2020-21 Budget, the Council allocated an additional $140,000 to the diversity and inclusion work program, making the total $160,000. ALTERNATIVES 1. The Council may modify the proposed grant funding amounts. 2. The Council may choose to fund eligible GIA applications not recommended by the HRC. 3. The Council may continue consideration of funding for the 2020 -21 GIA Program Year. Direction should be given to staff regarding additional information necessary to make a final funding decision. Attachments: b - 2020-21 GIA HRC Funding Recommendations c - 2020-21 GIA Program Application Summary a - 2020-21 Human Relations Budget Item 11 Packet Page 126 2020-21 Funding Recommendations Human Relations Commission GIA Program App. Non-Profit Organization Program Grant Request HRC Grant Recommendation 1 Access Support Network Hepatitis C Project - Access to Health Benefits & Counseling $5,000 - 2 Access Support Network HIV/HCV Homeless Prevention and Supportive Housing Program $5,000 - 3 Alano Club of SLO County Parking Lot Completion Project (Phase I and Part of Phase II) $8,500 - 4 Big Brothers Big Sisters of SLO County Community Based Youth Mentoring $7,500 $5,000 5 CASA CASA Advocacy $7,500 $1,875 6 Central Coast Autism Spectrum Center Zombie Invasion SLO withdrawn withdrawn 7 Central Coast Veterans Helping Veterans Veteran Caregiving Program $10,000 - 8 City Farm SLO Youth Education Program $10,000 $5,000 9 Community Action Partnership SLO County (CAPSLO) Homeless Prevention and Stable Housing Program $12,000 $12,000 10 Community Counseling Center Affordable, Professional and Transformative Counseling for the Low Income and Uninsured $5,000 $3,600 11 Cuesta College Foundation Engaging Homeless College Students $4,725 $2,860 Item 11 Packet Page 127 City of San Luis Obispo, Title, Subtitle 2020-21 GIA HRC Funding Recommendations Page 2 App. Non-Profit Organization Program Grant Request HRC Grant Recommendation 12 Diversity Coalition SLO County 2020 Community Diversity Education and Training Program $5,000 $2,500 13 Food Bank Coalition of SLO County Fresh Produce and No-Cook Bags $12,000 $9,600 14 Hospice of SLO County Free Hospice Services $15,000 $5,225 15 Jack's Helping Hand, Inc. Jack's Helping Hand Assistance Program $10,000 $1,000 16 Literacy for Life Literacy Program $10,000 $2,500 17 LTC Ombudsman Services Ombudsman Services $3,000 $1,500 18 One Cool Earth Growing Happy, Health, Smart Youth $6,000 $4,000 19 Peoples' Self Help Housing Homelessness Prevention and Housing Special Needs Groups in SLO $20,000 $5,850 20 Restorative Partners, Inc. Culinary Training & Internship Program $12,000 - 21 RISE SLO County Sexual Assault and Domestic Violence Programs $6,000 $3,000 22 SLO ALPHA, Inc. (Pregnancy & Parenting Support) A Healthy Start for Mom and Baby $8,000 $2,000 23 The SLO Child Development Resource Center Early Childhood Development and Therapeutic Mental Health Services $10,000 $7,000 24 SLO Committee for Education on Alcoholism, dba “Middlehouse” Grant for Alumni Housing $5,000 $5,000 25 SLO Committee for Education on Grant for Client Housing Supplement $3,100 $3,100 Item 11 Packet Page 128 City of San Luis Obispo, Title, Subtitle 2020-21 GIA HRC Funding Recommendations Page 3 App. Non-Profit Organization Program Grant Request HRC Grant Recommendation Alcoholism, dba “Middlehouse” 26 SLO Legal Assistance Foundation Senior Legal Services Project $6,000 $2,500 27 SLO Noor Foundations SLO Noor Free Clinics: Healthcare for Uninsured City Residents $15,000 $5,250 28 SLO Village Membership Subsidies $2,000 $500 29 Senior Nutrition Program of SLO County Meals that Connect $10,000 $7,500 30 Senior Volunteer Services, Inc. Healthy Futures $5,000 $1,250 31 SmartShare Housing Solutions HomeShare and YardShare $16,690 $13,690 32 Stand Strong (formerly the Women’s Shelter Program of SLO County) Homeless Prevention & Self-Sufficiency Program for DV Survivors $15,000 $11,250 33 Tolosa Children's Dental Center Tolosa Children's Dental Center - San Luis Obispo $10,000 $5,000 34 Transitional Food and Shelter, Inc Temporary, Emergency Shelter for the Medically Fragile Homeless $15,000 $13,950 35 Transitions-Mental Health Association Homeless Outreach - Library Project $5,000 $3,500 36 United Way 2-1-1 SLO County $10,000 $3,000 Total $310,015 $150,000 Item 11 Packet Page 129 2020-21 GIA Program Application Overviews and Funding History Human Relations Commission 1. Access Support Network (ASN): Hepatitis C Project – Access to Health and Benefits & Counseling 2017 Grant Award: $4,000 2018 Grant Award: $4,000 2019 Grant Award: $5,400 2020 Grant Request: $5,000 2020 HRC Recommendation: $0 To maintain the highest level of health, a person living with HIV/AIDS or hepatitis C (PLWH) must have access to medical care, adequate nutrition, and, most importantly, adequate and stable shelter and living conditions. To ensure that clients maintain stable and supportive housing, the ASN established a housing program, including 13 agency- owned units. The ASN is seeking funding to support and sustain the SLO Hep C Project, which delivers essential services to people living with HCV, including increased access to medical care and connections to comprehensive care services and community resources. ASN requests $5,000 for personnel costs of the health counselor and benefits counselor of the Program. 2. Access Support Network (ASN): HIV/HCV Homeless Prevention and Supportive Housing Program 2017 Grant Award: $4,000 2018 Grant Award: $4,000 2019 Grant Award: $5,400 2020 Grant Request: $5,000 2020 HRC Recommendation: $0 The ASN's Housing Program is a well-established and crucial aspect of the agency. The ASN requests funds to provide utility subsidies and facilities operational support to operate the 13 agency‐owned low‐income housing units. All units are located in the City of San Luis Obispo, thus providing a 100% City user rate. Ten of the 13 rental units are part of the Housing Authority of SLO’s Housing Choice Voucher program which grants ASN residents at these 10 units a portable voucher after a year of residence. ASN is requesting $5,000 to pay for utility costs of Agency-owned rental units for 12 months. 3. Alano Club of SLO County – Parking Lot Completion Project (Phase I and Part of Phase II) 2020 Grant Request: $8,500 2020 HRC Recommendation: $0 Item 11 Packet Page 130 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 2 The Alano Club is requesting funds to cover costs of Phase I of their parking lot completion project, in which they will hire a civil engineer to survey the property and develop blueprints to pave the final unfinished section of the parking lot. The parking lot allows the residents living in their transitional sober living program to park their vehicles, and the completion of the project will remediate ongoing parking challenges for both the residents and attendees of on-site programs. 4. Big Brothers Big Sisters of San Luis Obispo County: Community Based Youth Mentoring 2017 Grant Award: $5,000 2018 Grant Award: $1,875 2019 Grant Award: $3,000 2020 Grant Request: $7,500 2020 HRC Recommendation: $5,000 Big Brothers Big Sisters is a donor and volunteer supported organization proven to help vulnerable children of single, low-income, and/or incarcerated parents succeed. They create one-to-one relationships that match children facing adversity with trained and supervised volunteer role models. They propose to provide positive mentors through the Community Based Program for 75 children living in the City of San Luis Obispo. They are requesting $7,500 in funding to support 5 new matches and 30 ongoing matches within the City of SLO. Expenses include professional staff salaries to enroll and support volunteers working with at-risk youth. 5. Court Appointed Special Advocates of San Luis Obispo County, Inc. (CASA): Child Advocacy 2017 Grant Award: $8,500 2018 Grant Award: $4,250 2019 Grant Award: $5,000 2020 Grant Request: $7,500 2020 HRC Recommendation: $1,875 The CASA program recruits, trains, and supervises volunteer community members to become advocates for children who have been removed from their home due to abuse and neglect and are under the court’s jurisdiction. Most of these children are placed in foster care. CASA volunteers are assigned to a child’s case until it is resolved, averaging about 1.4 years. Volunteers oversee all information concerning the child, including reports form social workers, law enforcement, medical providers, mental health professionals, and school personnel. They are requesting $7,500 to cover a portion of their rental costs for their San Luis Obispo-based office. 6. Central Coast Autism Spectrum Center: Zombie Invasion SLO Item 11 Packet Page 131 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 3 2020 Grant Request: withdrawn 2020 HRC Recommendation: n/a The Central Coast Autism Spectrum Center withdrew their application due to confusion in the offered grant opportunity. 7. Central Coast Veterans Helping Veterans – Veteran Caregiving Program 2020 Grant Request: $10,000 2020 HRC Recommendation: $0 CCVHV’s mission is to provide assistance for homebound veterans (household support and companionship), and to provide mentorship to veterans from veterans (for navigating Veterans Court and for procuring needed services). CCVHV relies on our network of volunteer vets as well as a partnership with a caregiving service based in SLO. CCVHV is requesting a $10,000 GIA grant from the City of San Luis Obispo to fund their Veteran Caregiving Program. Any funds received from the City will be designated to pay for services for homebound veterans, provided by a local caregiving organization under a negotiated, reduced rate. 8. City Farm SLO – Youth Education Program 2020 Grant Request: $10,000 2020 HRC Recommendation: $5,000 City Farm SLO manages the City of SLO’s 19-acre Calle Joaquin Ag Reserve and has thus made the land available for sustainable agricultural production. City Farm SLO provides youth with on-site educational programs and engages the community in the life of an urban farm. At-risk youth learn about the sustainability and business aspects of agriculture, while differently abled students learn about horticulture and gain self- confidence. Younger students take farm field trips and are inspired to think and eat mindfully. Other community members eat organic produce grown by tenant farmers and participate in work parties and other events. City Farm SLO is requesting a $10,000 GIA grant from the City of San Luis Obispo to fund their youth education programs. This grant will help cover staff time for the farm educator, site manager, and farm manager responsible for designing, organizing, and conducting school visits for PBHS students (twice weekly), differently-abled students in PREPARE, and for SLO County students who participate in On The Farm field trips. The funds will also be used to pay for Farm Box supplies and the cost of seeds, starts, fertilizers, tools, and other supplies used by students. 9. Community Action Partnership of San Luis Obispo County, Inc. (CAPSLO): Homeless Prevention and Stable Housing Program 2017 Grant Award: $7,500 2018 Grant Award: $6,750 Item 11 Packet Page 132 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 4 2019 Grant Award: $9,000 2020 Grant Request: $12,000 2020 HRC Recommendation: $12,000 The Homeless Prevention/Stable Housing Program provides emergency financial assistance to City of San Luis Obispo households that are at-risk of being evicted and need assistance with a rental payment, or need assistance securing housing with first month’s rent and/or security deposit. They are requesting $12,000 to fund the Program, thus providing financial assistance payments to cover rent or security deposits for low- income City households. 10. Community Counseling Center (CCC): Affordable, Professional and Transformative Counseling for the Low Income and Uninsured 2018 Grant Award: $4,500 2019 Grant Award: $4,000 2020 Grant Request: $5,000 2020 HRC Recommendation: $3,600 Community Counseling Center (CCC) is a mental health safety net contributor and preventative care provider of premium, affordable counseling for individuals, children, couples, and families who are financially constrained and underinsured. Clients pay sliding scale fees based on their net household monthly income and are never refused services due to an inability to cover cost. They are requesting $5,000 total; $1,750 for agency personnel expenses, $3,000 for client sponsorship/fellowships, $250 for facilities rent costs in the City. 11. Cuesta College Foundation – Engaging Homeless College Students 2020 Grant Request: $4,725 2020 HRC Recommendation: $2,860 California Community Colleges #RealCollegeSurvey found that food and housing insecurity affects hundreds, even thousands, of students and the consequences impact their physical and mental health and academic performance. The Breakfast Club is an innovative strategy designed to identify and provide consistent support for an extremely vulnerable student population experiencing both food and housing insecurity. Time together during the meals will be used to encourage utilization of college and community resources and to offer academic and social support for students who are struggling. The Breakfast Club addresses three funding priority areas 1) homeless prevention including affordable and alternative housing, supportive services and transitional housing, and 2) hunger and malnutrition prevention. Specifically, GIA funding in the amount of $4,725 will provide a hot meal for an average of 15 homeless/housing insecure students each week for 45 weeks (675 meals) at $7/meal. Item 11 Packet Page 133 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 5 12. Diversity Coalition SLO County: 2020 Community Diversity Education and Training Program 2019 Grant Award: $0 2020 Grant Request: $5,000 2020 HRC Recommendation: $2,500 The Diversity Coalition provides programs and resources promoting the inclusion and affirmation of diversity in San Luis Obispo County to prevent any acts of prejudice or bias against community residences. The GIA funds will be used to expand the Coalition’s Education Program to San Luis Obispo High School and Laguna Middle School. The Education Program is composed of school speakers that talk about importance of diversity in our lives and community, as well as teacher training to infuse the awareness of human rights in their daily instruction and curriculum. 13. Food Bank Coalition of San Luis Obispo County: Fresh Produce and No-Cook Bags 2018 Grant Award: $8,182 2019 Grant Award: $12,000 2020 Grant Request: $12,000 2020 HRC Recommendation: $9,600 This project secures fresh fruits and vegetables for San Luis Obispo residents through the Food Bank’s distributions and community partners. Produce purchases and donations together provide approximately 330,000 pounds of fresh, high-quality produce distributed to residents of the City of San Luis Obispo each year to reduce food insecurity and improve nutrition. This project will also continue last year’s pilot funding for No-Cook Bags, 6-10 pound bags of portable foods designed for a homeless residents who do not have access to a kitchen and so cannot benefit from typical Food Bank distribution items. This program has already proven to be very successful halfway through its first year in the City of San Luis Obispo. They are requesting $12,000 total, $4,800 towards Warehouse Staff, and $7,200 for 2,400 No-Cook bags. 14. Hospice of SLO County – Free Hospice Services 2020 Grant Request: $15,000 2020 HRC Recommendation: $5,225 Hospice provides in-home support, respite support, and care management to those with a life-limiting illness who have a greater than 6 moths prognosis, are continuing to pursue curative care regardless of diagnosis or have been discharged from Medicare-reimbursed hospice agencies. Hospice will use grant funds to offset expenses for volunteer services personnel and volunteer training costs. 15. Jack’s Helping Hand: Jack’s Helping Hand Assistance Program Item 11 Packet Page 134 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 6 2017 Grant Award: $7,000 2018 Grant Award: $2,500 2019 Grant Award: $0 2020 Grant Request: $10,000 2020 HRC Recommendation: $1,000 Jack's Helping Hand (JHH) helps children with special needs and their families whose resources have been exhausted. The JHH Assistance Program provides a range of services, therapies, medical products, transportation and lodging costs to qualified children with special needs in the County; however, the majority of grant recipients, staff, and volunteers of JHH live in the City of San Luis Obispo. The GIA grant, will be used entirely for services for children and their families, including: $2,500 for food (out of town trips to specialists), $2,500 for housing (for trips out of town for surgery and to see specialists), and $5000 for transportation (air, train, bus fares or gasoline for out-of-area trips). 16. Literacy for Life: Literacy Program 2017 Grant Award: $3,500 2018 Grant Award: $2,500 2019 Grant Award: $1,000 2020 Grant Request: $10,000 2020 HRC Recommendation: $2,500 Literacy for Life teach adults sixteen and older to read, write, and speak English. Their one-on-one instruction is free to all and provides a non-threatening learning environment which empowers individuals to learn English communication skills. They are requesting $10,000 to continue their program. 17. LTC Ombudsman Services of SLO County: Ombudsman Services 2018 Grant Award: $2,500 2019 Grant Award: $3,000 2020 Grant Request: $3,000 2020 HRC Recommendation: $1,500 The Long Term Care Ombudsman Services are requesting funds to provide Ombudsman services, including resident advocacy, facility monitoring visits, complaint investigation and resolution, information and consultation and systemic advocacy for residents of long term care facilities located within the City of San Luis Obispo. Their advocacy services include preventing low income/low asset nursing facility residents from eviction to homelessness or to inappropriate or inadequate levels of care. They are requesting $3,000 to cover staff salaries for the Ombudsman and Program manager to resolve inappropriate facility discharges, and to recruit, train and supervise volunteers whom provide the majority of facility visits in the City. Item 11 Packet Page 135 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 7 18. One Cool Earth: Growing Happy, Health, Smart Youth 2019 Grant Award: $3,000 2020 Grant Request: $6,000 2020 HRC Recommendation: $4,000 One Cool Earth provides school garden education at San Luis Obispo’s Pacheco Elementary School. The Earth Genius program provides a weekly garden educator who teaches lessons and improves the school garden, using it as a platform to promote healthy eating, learning, and well-being. The organization also provide materials, maintenance, and training to empower teachers to utilize the garden beyond our program. They are requesting $6,000 to help cover the salary of a qualified, trained garden educator. 19. Peoples’ Self-Help Housing: Homelessness Prevention & Housing Special Needs Groups in SLO 2017 Grant Award: $10,000 2018 Grant Award: $13,500 2019 Grant Award: $13,000 2020 Grant Request: $20,000 2020 HRC Recommendation: $5,850 Peoples’ Self-Help Housing (PSHH) is requesting funding to assist with moving low- income San Luis Obispo individuals and families (including homeless placements) into permanent affordable housing, stabilizing these households, and preventing homelessness for those at risk. Free clinical case management services include counseling, job search assistance, coordinating medical, dental, and mental health services, as well as linkage to benefits, transportation, and emergency financial assistance. They are requesting $16,000 to help cover salaries and benefits for social workers that provide direct clinical case management services to residents living in local PSHH rental properties. 20. Restorative Partners, Inc.: Culinary Training & Internship Program 2020 Grant Request: $12,000 2020 HRC Recommendation: $0 Restorative Partners (RP) has been working with inmates at the County jail since 2011 to provide programing designed to assist individuals in getting their lives back on track once they leave custody. They are requesting funding to support their Culinary Training & Internship Program, a workforce training and job readiness program offered in part with Cuesta College’s semester-long Culinary Arts Program and Eckerd Workforce Development. 21. RISE San Luis Obispo County: Sexual Assault & Domestic Violence Programs Item 11 Packet Page 136 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 8 2017 Grant Award: $2,000 2018 Grant Award: $3,000 2019 Grant Award: $4,000 2020 Grant Request: $6,000 2020 HRC Recommendation: $3,000 RISE is an organization created from the merger of two longstanding agencies operating in San Luis Obispo County. Over the years, both the SARP Center of SLO County and the North County Women’s Shelter & Resource Center expanded their services, and in 2013 merged in an effort to better serve victims of sexual and domestic violence and their loved ones. RISE maintains two office locations, one of which is in the City of San Luis Obispo. They are requesting $6,000 to help pay for insurance coverage and rent. 22. San Luis Obispo ALPHA, Inc. (Pregnancy & Parenting Support): A Healthy Start for Mom and Baby 2017 Grant Award: $5,000 2018 Grant Award: $4,282 2019 Grant Award: $7,000 2020 Grant Request: $8,000 2020 HRC Recommendation: $2,000 Pregnancy & Parenting Support of San Luis Obispo County (ALPHA) is an essential resource for parents and provides an important safety net for women during pregnancy and through their child’s second year. Pregnancy & Parenting Support distributes infant formula to low and very low income families and nutritional supplements to pregnant women. As part of a countywide network aiding with infant nutrition to families alongside their agency partner, WIC (Women Infants & Children), their barrier-free services are available to all families with infants and toddlers. They are requesting $8,000 to be used to buy infant formula and nutritional supplements for these families. 23. The SLO Child Development Resource Center: Early Childhood Development and Therapeutic Mental Health Services 2019 Grant Award: $5,000 2020 Grant Request: $10,000 2020 HRC Recommendation: $7,000 The SLO Child Development Resource Center provides therapeutic early childhood education and mental health programs that focus on protecting children in San Luis Obispo County for the prevention and treatment of child abuse. The agency is requesting $5,000 towards the salary of their Licensed Professional Clinical Counselor and $5,000 towards the salary of the Behavioral Rehabilitation Specialist, since these services are not covered by the CA Department of Education. Item 11 Packet Page 137 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 9 24. SLO Committee for Education of Alcoholism, dba “Middlehouse”: Grant for Alumni Housing 2020 Grant Request: $5,000 2020 HRC Recommendation: $5,000 Middlehouse is a place which provides an alcohol and drug free clean and sober living environment, to help men suffer from the disease of chemical dependency achieve lasting and successful sobriety. The GIA grant will allow 5 clients a grant of $1,000 to help assist with expenses associated with independent living once the individual has completed their tenure at Middlehouse. 25. SLO Committee for Education of Alcoholism, dba “Middlehouse”: Grant for Client Housing Supplement 2020 Grant Request: $3,100 2020 HRC Recommendation: $3,100 Middlehouse is a place which provides an alcohol and drug free clean and sober living environment, to help men suffer from the disease of chemical dependency achieve lasting and successful sobriety. The GIA grant will help supplement those who temporarily need assistance to ender or continue housing at Middlehouse, as well as an alternative to their having to continue or begin living in a homeless venue. 26. San Luis Obispo Legal Assistance Foundation: Senior Legal Services Project 2017 Grant Award: $2,000 2018 Grant Award: $1,750 2019 Grant Award: $2,500 2020 Grant Request: $6,000 2020 HRC Recommendation: $2,500 The Senior Legal Services Project is the only program in the County providing free legal services to residents aged 60 years and older. The Project sees clients out of their main office in San Luis Obispo, makes home visits to homebound and institutionalized clients, and provides community outreach and education throughout the City. They are requesting $6,000 for matching funds for the Project’s grant from the Area Agency on Aging, for outreach staff, office administration staff, and bilingual staff. 27. SLO Noor Foundation: SLO Noor Clinics: Healthcare for the Uninsured City Residents 2017 Grant Award: $10,000 2018 Grant Award: $7,500 2019 Grant Award: $12,000 2020 Grant Request: $15,000 2020 HRC Recommendation: $5,250 Item 11 Packet Page 138 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 10 The SLO Noor Foundation provides free healthcare to uninsured adult residents of SLO and northern Santa Barbara Counties. Their free clinics and volunteer medical providers prioritize working with these populations, which requires a high level of patient engagement to insure that more patients finish treatments and advance to prevention and well care status instead of crisis care. They are asking for GIA monies to provide support for patients in need of SLO Noor free healthcare services in the City. Specifically, they would like to apply $15,000 to direct patient care. 28. SLO Village: Membership Subsidies 2020 Grant Request: $2,000 2020 HRC Recommendation: $500 SLO Village is a nonprofit membership organization for people 60+ who want to engage in community to create a better experience of aging. Members live in their own homes and rely on volunteers for practical services that support their independence, like transportation and help using technology. Members and volunteers come together as peers to create a purposeful and powerful space for living and learning as they take on the future. SLO Village has a standard annual membership fee of $500 per person or $750 for two persons in a household. This fee helps support the operation of the Village. For those unable to pay that amount, SLO Village provides financial support based on the member’s income. Approximately $1750 of the requested award would be used to subsidize membership fees for low income seniors. With it we will be able to continue membership for current members who are benefitting from the services. In addition, we anticipate the ability to add 3 low income seniors to the village. The remaining $250 would support staff efforts to publicize the Village to low income residents and to help administer the program. 29. Senior Nutrition Program of SLO County: Meals that Connect 2017 Grant Award: $10,000 2018 Grant Award: $5,682 2019 Grant Award: $9,000 2020 Grant Request: $10,000 2020 HRC Recommendation: $7,500 Meals That Connect serves free, hot, noontime meals, Monday through Friday, to seniors aged 60 or older at two community sites in San Luis Obispo in congregate dining. They also deliver meals, with frozen meals for Saturday and Sunday, to qualified seniors who are homebound. They are requesting $10,000 total, $5,000 to purchase food and supplies, and $5,000 for labor and personnel costs. 30. Senior Volunteer Services, Inc.: Healthy Futures 2019 Grant Award: $3,000 Item 11 Packet Page 139 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 11 2020 Grant Request: $5,000 2020 HRC Recommendation: $1,250 Senior Volunteer Services (SVS) is the largest volunteer recruitment network in San Luis Obispo County and has initiated a program called Healthy Futures that has been designed to target volunteer recruitment for agencies that are focused on assisting the homeless, providing in-home services for homebound seniors, and distribution of food. SVS is requesting funding to support the Healthy Futures volunteer recruitment campaign in the City of San Luis Obispo. They are requesting $5,000 to be used for paying insurance premiums for volunteers, providing mileage reimbursements to volunteers, and developing marketing materials such as brochures and newsletters. 31. SmartShare Housing Solutions: HomeShare and YardShare 2017 Grant Award: $6,385 2018 Grant Award: $7,650 2019 Grant Award: $10,400 2020 Grant Request: $16,690 2020 HRC Recommendation: $13,690 Homeshare and tiny house YardShare provide affordable housing for seekers and enable providers to afford the cost of basic needs while providing companionship and security. The program fills a gap, provides income for lower-income seniors, avoids duplication of services by partnering with local government and service organizations while leveraging and expanding the use of existing housing and “free land” available in the backyards of interested and qualifying city homeowners. They are requesting $16,690 total, $6,560 for background screening, $5,130 for community workshops and education, and $5,000 for technical support. 32. Stand Strong (formerly the Women’s Shelter Program): Homeless Prevention & Self- Sufficiency Program for DV Survivors 2018 Grant Award: $10,800 2019 Grant Award: $10,000 2020 Grant Request: $15,000 2020 HRC Recommendation: $11,250 Stand Strong is requesting GIA funds to pay for needed staffing to support the Homeless Prevention & Self-Sufficiency Assistance Program for domestic violence victims. The project will seek to address unmet needs of homeless domestic violence victims by providing weekly case management services that focus on clients’ individualized self- sufficiency goals, including obtaining employment, vocational training, financial planning, and ultimately the acquisition and retention of housing. The request of $15,000 in GIA monies will be used for salaries of direct client service staff working in the Program. Item 11 Packet Page 140 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 12 33. Tolosa Children’s Dental Center (TCDC): Tolosa Children’s Dental Center – San Luis Obispo 2017 Grant Award: $5,500 2018 Grant Award: $5,000 2019 Grant Award: $8,500 2020 Grant Request: $10,000 2020 HRC Recommendation: $5,000 TCDC-SLO delivers dental services to children age infant to 18. TCDC-SLO provided approximately 1,400 appointments for over 600 individual children in 2018, with approximately 54% of patients being City of San Luis Obispo residents. The agency is requesting $10,000 to cover a portion of the unreimbursed costs associated with providing continued care to patients residing in the City. Specifically, $10,000 to help cover the pediatric dentist salary. 34. Transitional Food and Shelter, Inc.: Temporary, Emergency Shelter for the Medically Fragile Homeless 2020 Grant Request: $15,000 2020 HRC Recommendation: $13,950 TFS provides temporary, emergency, around-the-clock shelter, food, and extensive supportive services for medically fragile homeless people in San Luis Obispo City and County. TFS defines “medically fragile” as clients who are too ill or injured for their needs to be adequately served in an overnight-only shelter. Every client is referred by a hospital or social services agency and has a letter from a doctor documenting need for around-the-clock shelter. TFS is requesting $15,000 of GIA funds to provide temporary emergency shelter and supportive services to medically fragile homeless clients in the City, which would specifically be used to pay for rental of temporary apartments, motel vouchers, and the fees of their contracted caseworker. 35. Transitions-Mental Health Association (TMHA): Homeless Outreach – Library Project 2018 Grant Award: $2,500 2019 Grant Award: $4,000 2020 Grant Request: $5,000 2020 HRC Recommendation: $3,500 TMHA provides innovative mental health services in San Luis Obispo County and is requesting funds for their Homeless Outreach – Library Project. The San Luis Obispo Library is a well-known hub for many homeless citizens in the County, since admittance and computer/internet access are free, and the facility is located by multiple bus stops. Last year, TMHA launched the Library Project due to support from the City’s GIA grant. The program has demonstrated consistent success, thus THMA is requesting $5,000 to Item 11 Packet Page 141 City of San Luis Obispo, Title, Subtitle 2020-21 GIA Program Application Overviews and Funding History Page 13 continue the program for the next 12 months. The GIA grant will be used exclusively for client support. 36. United Way of San Luis Obispo County: 2-1-1 SLO County 2017 Grant Award: $3,000 2018 Grant Award: $1,500 2019 Grant Award: $4,500 2020 Grant Request: $10,000 2020 HRC Recommendation: $3,000 The 2-1-1 SLO County Program of the United Way is a free, confidential way to get timely access to health and human services information and referrals 24 hours a day, seven days a week. Calls and text messages are answered by knowledgeable, bilingual contract specialists who provide 24-hour referrals and support to those in need of health and human services. When possible, callers are given three referrals for each need they present; this could include shelter, housing, food, health care, transportation, or information pertaining to a local disaster. In the past year, the contracted cost of United Way’s relationship with Interface Children and Family Services (ICFS) increased due to the increased call volume and system improvements. The United Way is requesting funding of $10,000 for personnel expenses to administer the program. Item 11 Packet Page 142 Table E9 Operating Departments 18‐19 Actual  FY 19‐20 Budget  Original FY 20‐21  Budget   Revised FY 20‐21  Budget  Change   % Change  Administration 6,594,090        7,880,765    7,928,622            7,697,781        (230,841)  ‐3% City Administration 1,311,008        1,135,820    1,130,352            1,046,504        (83,848)     ‐7% City Clerk 668,355           575,437       686,696    606,113           (80,583)     ‐12% City Council 162,709           159,473       186,768    184,977           (1,791)       ‐1% Community Promotion 373,003           405,302       408,094    404,143           (3,951)       ‐1% Cultural Activities 324,586           337,601       347,631    337,601           (10,030)     ‐3% Economic Development 302,094           303,176       284,317    309,954           25,637      9% Information Services 553,125           1,088,688    1,001,126            1,016,434        15,308      2% IT Support Services*207,284           202,507       628,149            Natural Resource Protection 407,673           760,449       673,397    3,163,906        2,490,509        370% Network Services 2,284,252        2,912,312    3,210,241            3,149,746        (60,495)     ‐2% City Attorney 832,944           827,237       855,123    778,167           (76,956)     ‐9% City Attorney 832,944           827,237       855,123    778,167           (76,956)     ‐9% Community Development 5,998,133        5,453,535    5,842,415            5,185,811        (656,604)  ‐11% Building and Safety 2,095,557        1,637,404    1,802,267            1,463,365        (338,902)   ‐19% CDD Administration 919,089           781,653       854,184    800,126           (54,058)     ‐6% Commissions and Committees 32,292   51,453          51,453       51,453    ‐       0% Development Review 1,908,161        2,616,025    2,827,512            2,563,867        (263,645)   ‐9% Human Relations 250,345           367,000       307,000    307,000           ‐       0% Long Range Planning**676,830           ‐           Community Services Group (Admin)‐  ‐           225,000    404,998           179,998    80% Community Services Group ‐  ‐           225,000    404,998           179,998    80% Finance 2,843,697        3,071,004    3,273,333            2,998,897        (274,435)  ‐8% Accounting 885,253           839,772       876,150    821,057           (55,093)     ‐6% Budget 133,862           198,748       203,795    191,859           (11,936)     ‐6% Finance Administration 885,100           459,946       470,740    451,906           (18,834)     ‐4% Finance Support Services 184,148           380,647       355,489    333,189           (22,300)     ‐6% Non‐ Departmental 273,334           650,536       803,091    611,285           (191,806)   ‐24% Purchasing 182,458           189,486       201,631    208,482           6,851        3% Revenue Management 299,543           351,868       362,436    381,120           18,684      5% Fire 13,769,806      13,051,071  13,471,411          12,615,778      (855,632)  ‐6% Disaster Assistance 276,820           6,800  6,860         6,860      ‐       0% Emergency Response 11,067,375      10,294,205  10,716,177          10,129,843      (586,333)   ‐5% Fire Administration 872,652           1,066,731    1,118,913            1,041,211        (77,702)     ‐7% Fire Apparatus Services 378,942           437,775       437,873    401,966           (35,907)     ‐8% Fire Station Facilities Support 45,881   43,993          37,625       37,625    ‐       0% Hazard Prevention 926,601           918,867       981,413    825,723           (155,690)   ‐16% Recruit Academy 82,589   143,975       32,000       32,000    ‐       0% Training 118,945           138,725       140,550    140,550           ‐       0% 2019‐21 Financial Plan Continued on next page Changes in Financial Position - General Fund 63 Item 11 Packet Page 143 Page intentionally left blank. Item 11 Packet Page 144 Department Name: Administration Cost Center: 1001 For Agenda of: July 7, 2020 Placement: Business Estimated Time: 20 Minutes FROM: Derek Johnson, City Manager Prepared By: Victoria Tonikian, Interim Executive Assistant to the City Manager/Fiscal Officer SUBJECT: CREATION OF A DIVERSITY, EQUITY, AND INCLUSION TASK FORCE RECOMMENDATION Adopt a Resolution to create a Diversity, Equity, and Inclusion Task Force and define its term and responsibilities. (Attachment A). DISCUSSION The City Council has expressed a commitment to making San Luis Obispo a welcoming, inclusive, and safe community for everyone, and to promoting free thought and speech, while condemning racism, hate speech, bigotry, violence, and prejudice. In order to address this commitment, staff is recommending creating a Diversity, Equity, and Inclusion Task Force (DE&I-TF). The purpose of the DE&I-TF will be to advise the City in developing recommendations to further the advancement of Diversity, Equity, and Inclusion in the City of San Luis Obispo as defined in Attachment A. Background As a part of the adoption of the City’s 2019- 2021 Major City Goals, the City Council set a vision of a dynamic community embracing its future while respecting its past with core values of civility, sustainability, diversity, inclusivity, regionalism, partnership, and resiliency as a guide to approaching the work of the Major City Goals. This vision has been a guide over the past year as the City approaches each project through the lens of diversity, equity, and inclusion. Although the City has committed to this decision-making framework, we recognize that there is always more work to be done to sharpen and to bring into focus that lens. At the June 2, 2020 City Council meeting, the City Council approved the 2019-21 Financial Plan Supplement and 2020-21 Budget Appropriations. As part of the adoption of the 2020-21 Meta Goal, the City Council adopted eight guiding principles to help guide the implementation of the tasks outlined in the Meta Goal. The eighth principle reads: “The city recognizes that social and economic inequality is embedded in our systems and culture, and that recovery must integrate deep structural transition to support the well-being and empowerment of marginalized communities.” Item 12 Packet Page 145 The proposed resolution and creation of the DE&I-TF for Council’s consideration makes a commitment to this eighth guiding principal by affirming the City’s recognition of the need to systemically address and integrate structural change and the opportunities for growth to support the well-being of our marginalized communities in San Luis Obispo and that of our community as a whole DE&I Task Force Membership Task force members shall serve at the pleasure of the City Council and may, by a majority Council vote, be appointed, dismissed, or replaced and the term of members shall conclude upon the completion of work as outlined in Attachment A or until January 1, 2021 whichever occurs first. Policy Context This recommendation is supported by the City Council’s commitment to core values of civility, sustainability, diversity, inclusivity, regionalism, partnership, and resiliency as adopted as part of the City’s 2019-2021 Major City Goals. Public Engagement In the last month, the City Council has received over 1,500 pieces of correspondence regarding the need to address the systemic racism that has manifested itself most recently in the tragedies against George Floyd, Breonna Taylor, Ahmaud Arbery, Sean Reed, Tony McDade, Meagan Hockaday, and others and the ensuing activism, advocacy, and protests that have developed across the country. Additionally, staff has been in contact with R.A.C.E Matters SLO and the NAACP of SLO County regarding community partnerships to address systemic injustices in our community. In soliciting applications for the DE&I-TF, additional public engagement and outreach will be conducted to ensure that a diverse and well-rounded group of individuals are afforded the opportunity to apply to the Task Force. CONCURRENCE This approach and methodology have been approved by Mayor Heidi Harmon and Council Member, Erica A. Stewart, 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. Item 12 Packet Page 146 FISCAL IMPACT Budgeted: Yes Budget Year: 2021 Funding Identified: Yes Fiscal Analysis: During the FY 21 Supplemental Budget Process, the City Council directed staff to appropriate an additional $140,000 to go towards the Diversity, Equity, and Inclusion Initiative. This $140,000 is in addition to an existing $20,000 that had already been approved during the 19-21 Financial Plan Process. Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund $160,000 $0 $160,000 $0 State Federal Fees Other: Total $160,000 $0 $160,000 $0 One of the objectives and roles of the DE&I-TF, as outlined in Attachment A will be to determine the most appropriate use of the $160,000 to advancement Diversity, Equity, and Inclusion in the City of San Luis Obispo. ALTERNATIVES 1. The City Council could choose not to create a Diversity, Equity, and Inclusion Task Force. This is not recommended as a Task Force with the single focus of DE&I is the most appropriate model for the City to participate in community partnerships to create systemic and tangible change within our community. 2. The City Council could choose not to approve the scope of work of the DE &I-TF as outlined in Attachment A. This is not recommended as the scope of work has been methodically derived using best practices and concurrence from City leaders and community members. Attachments: a - Draft Resolution Item 12 Packet Page 147 R ______ RESOLUTION NO. _____ (2020 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, CREATING THE TASK FORCE FOR DIVERSITY, EQUITY AND INCLUSION AND DEFINING ITS TERM AND CHARGE WHEREAS, the City Council has expressed a commitment to making San Luis Obispo a welcoming, inclusive, and safe community for everyone, and to promoting free thought and speech, while condemning racism, hate speech, bigotry, violence, and prejudice; and WHEREAS, as a part of the adoption of the City’s 2019- 2021 Major City Goals, the City Council also set a vision of a dynamic community embracing its future while respecting its past with core values of civility, sustainability, diversity, inclusivity, regionalism, partnership, and resiliency as a guide to approaching the work of the Major City Goals; and WHEREAS, as part of the adoption of the 2020-21 Meta Goal, the City Council adopted eight guiding principles to help guide the implementation of the tasks outlined in the Meta Goal. The eighth principle reads: “The city recognizes that social and economic inequality is embedded in our systems and culture, and that recovery must integrate deep structural transition to support the well-being and empowerment of marginalized communities”; and WHEREAS, during the June 2, 2020 City Council Meeting, in recognizing the need to continue efforts of systemic recovery, the City Council approved a budget of $140,000 to supplement an existing $20,000 towards the advancement and efforts of Diversity, Equity and Inclusion in the City of San Luis Obispo; and WHEREAS, during the June 2, 2020 City Council Meeting, Mayor Heidi Harmon and Council Member Erica A. Stewart volunteered to assist City Staff with the creation of a Diversity, Equity, and Inclusivity Task Force. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo that a Diversity, Equity, and Inclusion Task Force is hereby created with a composition, term, charge, ground rules and staff support as follows: SECTION 1. DE&I-TF. The Diversity, Equity, and Inclusion Task Force shall be comprised of representatives to be appointed by the Council. The Task Force shall be comprised of an odd number of participants. SECTION 2. ACTION 1. Direct Staff to provide notice and solicit applications and resumes to serve on the DE&I-TF to be submitted to the City Clerk by August 15, 2020. Item 12 Packet Page 148 Resolution No. _____ (2020 Series) Page 2 R ______ 2. Task force members shall serve at the pleasure of the City Council and may, by a majority Council vote, be appointed, dismissed, or replaced and the term of members shall conclude upon the completion of work as outlined in Exhibit A or until January 1, 2021 whichever occurs first. 3. The DE&I-TF is hereby established until January 1, 2021 at which point it will no longer be an ad-hoc committee with the possible extension of this term to be considered by the City Council prior to that time. 4. The purpose of the DE&I-TF is to advise the City in developing recommendations that further the advancement of Diversity, Equity, and Inclusion in the City of San Luis Obispo as defined in Exhibit A. 5. The DE&I-TF shall select a chair who will be the primary spokesperson for the DE&I-TF. The Chair shall speak for the DE&I-TF at public hearings or other meeting as authorized by the DE&I-TF. 6. The City will provide staff support to the DE&I-TF, with the City Manager to be primarily responsible for providing this support, to include preparation of agendas, and minutes, compilation of material for discussion at DE&I-TF meetings, and assistance with public outreach efforts. 7. The DE&I-TF shall conduct all meetings in compliance with the Ralph M. Brown Act governing open meetings for local government bodies. 8. The DE&I-TF shall strive to act by consensus and shall promote full and open discussion of all matters and shall abide by the regional Code of Civility which seeks to 1) Listen first, 2) Respect different opinions 3) Be courteous, 4) Disagree constructively and 5) Debate the policy not the person. 9. An audio recording of meetings shall be posted on the City’s website following each meeting. No formal minutes shall be recorded for review. 10. Subcommittees may be formed to focus on issues or subjects meriting more detailed discussion and are not legally required to be noticed or posted per the Brown Act. 11. DE&I-TF members are not considered to be “public officials” as defined in §82048 of the California Government Code and therefore are not subject to the state Political Reform Act and its disclosure provisions (Government Code §§81000 et seq.) Nevertheless, DE&I-TF members shall remove themselves from all discussions and votes on matters in which they have any direct personal financial interest, or where the member’s professional allegiance and/or personal bias cannot be set aside to allow for the member’s fair consideration of the issue(s) at hand. Item 12 Packet Page 149 Resolution No. _____ (2020 Series) Page 3 R ______ 12. DE&I-TF members shall conscientiously follow high ethical standards and put the public interest ahead of any personal interest and/or bias and to abstain from all discussion and votes where this is not possible. 13. Specific legal issues are to be directed through the City Manager to the City Attorney for a response. Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _____________________ 2020. ____________________________________ 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, on ____________________. ____________________________________ Teresa Purrington City Clerk Item 12 Packet Page 150 Resolution No. _____ (2020 Series) Page 4 R ______ Exhibit A CITY of SAN LUIS OBISPO DE&I TASK FORCE CONCEPT PAPER June 29, 2020 Overview Background This Council action stems from the work that began in June 2019, and is propelled by increased xenophobia, the Black Lives Matter protests, and the problems of systemic racism suffered by many, in many forms. We acknowledge that biases also adversely affect other marginalized groups in SLO. This Task Force is a commitment by the City to take local action on these longstanding problems by making recommendations to the City Council as outlined in this charter. Vision We envision a San Luis Obispo that is welcoming, inclusive, and safe. Our city values diversity, promotes equity and belonging, actively denounces systemic racism, and actively works toward racial justice. Charter Advance diversity, equity, and inclusion (DE&I) in San Luis Obispo by engaging community leaders and change agents to: 1) Focus on activities that support marginalized racial, ethnic, and cultural groups. 2) Collect information and insight about advancing DE&I in San Luis Obispo. 3) Develop a notice of funding availability (NOFA) to support the DE&I work of proven organizations and best practices for change. 4) Provide guidance and a foundation for creating a potential 21-23 DE&I- focused Major City Goal. 5) Strengthen the focus and role of the City’s Human Relations Commission (HRC) to support the City’s vision. Outcomes 1) Support the work of DE&I Providers with directed funding for proven or promising impactful, sustainable projects. 2) A framework / potential scope for a 21-23 DE&I-focused Major City Goal. 3) Provide a recommendation on the role and function of the HRC in relation to DE&I efforts. Guiding SUPPORT DE&I efforts and organizations; the City is not a subject matter Principles expert. Research should incorporate work and input already done in this region and not burden people from unnecessarily retelling their stories and lived experiences. Community members and organizations can provide Item 12 Packet Page 151 Resolution No. _____ (2020 Series) Page 5 R ______ critical expertise and play a vital role in terms of leadership and give perspectives to fund systemic change in diversity, equity, and inclusion. COMMIT our resources to support efforts that have the potential for the highest impact. We acknowledge that MEANINGFUL and SUSTAINABLE change will happen over time; the City will support radical incrementalism for the long- term. FLEXIBILITY is needed; the initial charter may be modified in response to what is learned and to maximize impact. Approach A Task Force of approximately 9-13 members with diverse community and organization representation, and varied perspectives, will work with City leadership to: 1) Further understand DE&I issues and what people are experiencing in SLO. Learn what is happening, what people are experiencing, how to be more inclusive, and how to make improvements towards a sense of welcoming and belonging. Understand issues, concerns, what is missing, and what is desired. 2) Determine target areas and priorities - the needs and gaps that the City should and could begin to address and improve, in partnership or otherwise support through funding. 3) Oversee a grant process focused on targeted areas and priorities. Create a NOFA and administer the application and award-selection process. 4) Assist City staff in developing a scope of work for DE&I Major City Goal for 21-23 Financial Plan. Proposed July 7, 2020 City Council Review and Authorization Timeline July 8 – Aug 15, 2020 Task Force recruitment Discovery - learn needs, gaps, strengths Draft NOFA Sept 1 – Oct 15, 2020 Task Force convenings Discovery, continued Determine target areas, priorities, areas City can most impact Finalize NOFA Sept 15 – Oct 15, 2020 Release NOFA Oct 16 – Nov 1, 2020 Review grant applications; make selections Nov 17, 2020 Grantee recommendations to Council Funds awarded Item 12 Packet Page 152 Resolution No. _____ (2020 Series) Page 6 R ______ 1.Confirm Task Force Purpose •Task Force Development Committee [Mayor Heidi Harmon, Councilwoman Erica Stewart, Derek Johnson, project facilitator Dale Magee] clarifies purpose, end goals, process, expections, etc. •Focus: Racial, ethnic, cultural inequity and injustice •To Council for approval July 7, 2020 2. NOFA Creation •Grants could be used for small -medium -large efforts, short term -medium term -long term projects; and a variety of approaches. •Adopt "best fit" criteria: intersection of need x resources x impact •Admin to release NOFA 3. Discovery •Explore lived experiences, needs, gaps, and best way the City can help advance DE&I in the City of SLO •Glean expertise and recommendations from Task Force members & survey •Convene "listen and learn" sessions -various groups/indiviudals present to the Task Force (ex: 30 min presentations, focus on need and best way to help) 4. Findings, Determine Focus Areas •Task Force reviews input, information learned •Determine priority populations and impact areas -e.g. welcome, inclusion, belonging, equity, awareness, allyship -to fund 5. Proposal Review, Selection •Task Force and support review NOFA. Seek providers to address the identified needs and priorities •Potential option: partner w Community Foundation to adminster the process. Task Force members as the grant committee •Select grantees/awards; Grantees recommended to City Council 2. Recruit Task Force Members •City Clerk to oversee the recruitment process •Seeking members with expertise and/or lived experience, can help City understand the gaps/needs •Obtain recommendations for members from those in the field •Applicants recommended to City Council by Mayor and Councilmember Erica A. Stewart 5. Track Progress •Task Force reviews progress from grantees •Evaluate overall impact of the funding 6. DE&I MCG •Task Force & Staff develop MCG for 21-23 (this work is conceurrent to steps above) Item 12 Packet Page 153 Page intentionally left blank. Item 12 Packet Page 154 Department Name: Administration Cost Center: 1021 For Agenda of: July 7, 2020 Placement: Business Estimated Time: 10 Minutes FROM: Greg Hermann, Deputy City Manager Prepared By: Teresa Purrington, City Clerk SUBJECT: NOVEMBER 3, 2020 GENERAL MUNICIPAL ELECTION RECOMMENDATION Adopt a Resolution entitled “A Resolution of the City Council of the City of San Luis Obispo, California, calling for the holding of a General Municipal Election to be held on Tuesday, November 3, 2020, for the election of certain Officers as required by the provisions of the Charter, adopting regulations for Candidate Statements, and requesting the Board Of Supervisors of the County Of San Luis Obispo to consolidate a General Municipal Election with the Statewide General Election to be held on November 3, 2020, pursuant to § 10403 of the Elections Code” (Attachment A). DISCUSSION The City Council is being requested to adopt a Resolution (Attachment A) which will: 1. Call a General Municipal Election to be held on November 3, 2020 for the election of two (2) members of Council and the Mayor; and 2. Set regulations for candidate statements; and 3. Request consolidation of the election with the County and authorize the County Clerk/Elections Department to canvass the returns and provide other services relating to the conduct of the election. Calling the Election Pursuant to Section 302 of the City Charter, the City’s General Municipal Election to fill elective offices shall be held on the first Tuesday, after the first Monday, in November of even-numbered years. November 3, 2020 is when the General Municipal Election is to be held. California Election Code establishes procedures and requirements for conducting a General Municipal Election. In addition, State Elections Code §13307 contains provisions related to the printing, distribution, and estimated costs of candidates' statements in the voter information guide. Item 13 Packet Page 155 Candidate Statements The resolution calling the election authorizes the City Clerk and the County Clerk/Elections Department to conduct a consolidated election and includes provisions related to candidates' statements. The resolution allows for the filing of a candidate's statement of no more than 200 words and specifies that candidates pay the costs for including the statements in the voter information guide. The estimate for printing a candidate's statement in the voter information guide is approximately $300 for English only and $700 for English and Spanish. Requesting Consolidation The resolution requesting consolidation allows the City to combine its election with the statewide election and avoid duplication of printing and mailing of voter information guide, computer tabulation, precinct workers and canvassing results. Other requirements, including issuing and accepting nomination papers and other legal advertising as is required by the City's Election Campaign Regulations will be performed by the City Clerk. All filings, including Candidates' Statements of Qualifications, Statements of Economic Interests, and Campaign Disclosure Statements, will be administered through the City Clerk's Office. Policy Context As outlined above the City Charter and California Elections Code outline the process and timeline for municipal elections. Public Engagement This is an administrative item, so no outside public engagement was completed. Public comment can be provided to the City Council through written correspondence prior to the meeting and through public testimony at the meeting. Public outreach will be conducted regarding the open seats and then again after the nomination period notifying the public those who qualify to run for an open seat. 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. 15378. FISCAL IMPACT Budgeted: Yes Budget Year: FY20/21 Funding Identified: N/A Item 13 Packet Page 156 Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund $70,000 $62,000 $8,000 $0 State Federal Fees Other: Total $70,000 $62,000 $8,000 $0 The cost of the election is an estimate created with currently known cost information. Due to rapidly changing circumstances regarding the COVID-19 pandemic and various proposed process and legislative changes in the election world, along with typical fluctuations in voter activity and jurisdictions going to election, actual costs may shift in either direction. The City will be billed actual election costs at the conclusion of the election The City Clerk’s budget includes $70,000 for election costs. Attachments: a - Draft Resolution Item 13 Packet Page 157 R ______ RESOLUTION NO. _______ (2020 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, CALLING FOR THE HOLDING OF A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 3, 2020, FOR THE ELECTION OF CERTAIN OFFICERS AS REQUIRED BY THE PROVISIONS OF THE CHARTER, ADOPTING REGULATIONS FOR CANDIDATE STATEMENTS, AND REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTY OF SAN LUIS OBISPO TO CONSOLIDATE A GENERAL MUNICIPAL ELECTION WITH THE STATEWIDE GENERAL ELECTION TO BE HELD ON NOVEMBER 6, 2018, PURSUANT TO § 10403 OF THE ELECTIONS CODE. WHEREAS, under the provisions of the Charter, a General Municipal Election shall be held on November 3,2020, for the election of Municipal Officers; and WHEREAS, it is desirable that the general municipal election be consolidated with the Statewide General election to be held on the same date and that, within the city, the precincts, polling places and election officers of the two elections be the same, and that the county election department of the County of San Luis Obispo canvass the returns of the General Municipal Election and that the election be held in all respects as if there were only one election. NOW, THEREFORE, BE IT RESOLVED by the 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. Elections. That pursuant to the requirements of the Charter, there is called and ordered to be held in the City of San Luis Obispo, California, on Tuesday, November 3, 2020, a General Municipal Election for the purpose of electing a Mayor for the full term of two years; and two Members of the City Council for the full term of four years. a) That notice of the time and place of holding the election is given and the City Clerk is authorized, instructed and directed to give further or additional notice of the election, in time, form and manner as required by law. SECTION 3. Candidate Statement . That pursuant to Elections Code Sections 13307 and 13308, each candidate for elective office may prepare a Candidate Statement of Qualification on an appropriate form provided by the City Clerk. a) The statement may include the name, age and occupation of the candidate and a brief description of no more than 250 words of the candidate’s education and qualifications expressed by the candidate himself or herself. Item 13 Packet Page 158 Resolution No. _________ (2020 Series) Page 2 R ______ b) The statement shall not include party affiliation of the candidate, membership or activity in partisan political organizations, and shall not in any way make reference to other candidates for the same office or to another candidate’s qualifications, character, or activities. c) The statement shall be filed in typewritten form in the Office of the City Clerk at the time the candidate’s nomination papers are filed. d) The statement may be withdrawn, but not changed, during the period for filing nomination papers and until 5:00 p.m. of the next working day after the close of the nomination period. e) Pursuant to Elections Code Section 13313, the statement shall remain confidential until after the close of the nomination period and will be available for public examination for no less than 10 days after the close of nominations. Any challenges to a statement must be made during this 10-day period. f) Pursuant to the Federal Voting Rights Act, candidate statements will be translated into all languages required by the County of San Luis Obispo. The County will print and mail sample ballots and candidates’ statements to all voters in English and in Spanish (if requested). g) Each candidate who files a Candidate Statement of Qualifications will be required to pay an estimated deposit at the time the statement is filed to cover the cost of the printing and handling. The estimated deposit amount is an approximation of the actual cost and may be significantly more or less than the estimate, depending on the actual number of candidates filing statements. Accordingly, the City Clerk is not bound by the estimate and will bill the candidate for additional actual expense or refund any excess amount paid depending on the final actual cost. h) That the City Clerk shall provide each candidate or the candidate’s representative a copy of this resolution at the time nomination papers are issued. SECTION 4. Consolidation. That the Board of Supervisors is requested to issue instructions to the county election department to take any and all steps necessary for the holding of the consolidated election the City Council hereby authorizes and acknowledges the following: a) That the county election department is authorized to canvass the returns of the General Municipal Election. The election shall be held in all respects as if there were only one election, and only one form of ballot shall be used. The election will be held and conducted in accordance with the provisions of law regulating the statewide or special election. b) That the City of San Luis Obispo recognizes that additional costs will be incurred by the County by reason of this consolidation and agrees to reimburse the County for any costs. i) The City Council authorizes the City Clerk to administer said election and all reasonable and actual election expenses shall be paid by the City upon presentation of a properly submitted bill. Item 13 Packet Page 159 Resolution No. _________ (2020 Series) Page 3 R ______ c) That the ballots to be used at the election shall be in form and content as required by law. d) That the City Clerk is authorized, instructed and directed to coordinate with the County of San Luis Obispo Registrar-Recorder/County Clerk to procure and furnish any and all official ballots, notices, printed matter and all supplies, equipment and paraphernalia that may be necessary in order to properly and lawfully conduct the election. e) That the polls for the election shall be open at seven o’clock a.m. of the day of the election and shall remain open continuously from that time until eight o’clock p.m. of the same day when the polls shall be closed, pursuant to Election Code § 10242, except as provided in § 14401 of the Elections Code of the State of California. SECTION 5. That in all particulars not recited in this resolution, the election shall be held and conducted as provided by law for holding municipal elections. Item 13 Packet Page 160 Resolution No. _________ (2020 Series) Page 4 R ______ SECTION 6. That the City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original Resolutions. a) The City Clerk is hereby directed to file a certified copy of this resolution with the Board of Supervisors and the county election department of the County of San Luis Obispo. Upon motion of Council Member ___________, seconded by Council Member _____________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this ____ day of _______, 2020. ____________________________________ 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, on _____________________. ____________________________________ Teresa Purrington, City Clerk Item 13 Packet Page 161 Page intentionally left blank. Item 13 Packet Page 162