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HomeMy WebLinkAboutItem 7e. Grant Agreement for the Establishment of a Mediation Services Program Item 6e Department: Administration Cost Center: 1010 For Agenda of: 5/5/2025 Placement: Consent Estimated Time: N/A FROM: Greg Hermann, Deputy City Manager Prepared By: Samantha Vethavanam, Diversity, Equity, and Inclusion Admin Specialist SUBJECT: GRANT AGREEMENT FOR THE ESTABLISHMENT OF A MEDIATION SERVICES PROGRAM RECOMMENDATION Authorize the City Manager to execute a one-time grant agreement, in a final form satisfactory to the City Attorney, with the Center for Dispute Resolution at San Luis Obispo College of Law for the establishment of a program to provide community mediation services and authorize the disbursement of funds in the amount of up to $10,000. (Attachment A) POLICY CONTEXT On February 13, 2026, Mayor Stewart and the City Council received a letter from the Center for Dispute Resolution at San Luis Obispo College of Law (CDRSLO) requesting grant funds to support the development of a new community mediation center intended to restore critical dispute resolution services to residents of San Luis Obispo. Subsequently, this request was discussed at the February 17, 2026, City Council meeting where Council directed staff to gather more information about CDRSLO’s request and how the funding would be used. CDRSLO followed up with City Council in another let ter dated March 1, 2026, to provide this additional information. At the March 3, 2026, City Council meeting, Council discussed the possibility of granting $10,000 that had been previously set-aside for mediation services for this request. Staff were ultimately directed to come back to the Council with a draft grant agreement for review and approval. DISCUSSION Background The SLO Solutions Program was created in 2004 by Creative Mediation who worked with the City of San Luis Obispo, Cuesta College, and Cal Poly University to develop a specific approach to resolving community disputes. The City has contracted with Creative Mediation for the SLO Solutions Program since its inception in 2004. On September 1, 2023, the City executed a two-year agreement for purchase of services with Creative Mediation to offer the SLO Solutions Program to residents of San Luis Obispo. The SLO Solutions Program provided residents with unlimited access to community mediation Page 73 of 412 Item 6e programs. The total cost of the services was $46,584 with the City paying $30,256 and partners Cal Poly University and Cuesta College paying $12,904 and $3,424 respectively. The program was to run from July 1, 2023, to June 30, 2025. The program provided no-cost conflict coaching, referral, and mediation services, as well as SLO Solutions workshops to residents and students in San Luis Obispo. The program additionally alleviated administrative burden on the City of San Luis Obispo by re-directing many interactions that would have required City staff time to mediation, as well as toward non-profit partners, such as the San Luis Obispo Legal Assistance Foundation. In June 2025, however, Creative Mediation closed unexpectedly due to the closure of its parent non-profit, Wilshire Community Services. Grant Request In response to the current gap in mediation services within the City, the San Luis Obispo College of Law contacted the Mayor and City Council on February 13, 2026, offering to host in-person mediation services using their facilities. To launch this effort, however, the San Luis Obispo College of Law identified a need for funding to cover start-up costs, including technology, website development, office equipment, initial staffing, and other operational essentials. The total anticipated start-up cost is $89,718, of which the San Luis Obispo College of Law is proposing to contribute $32,840 in in-kind support. Through its newly established Center for Dispute Resolution, the San Luis Obispo College of Law has requested $30,000 from the City of San Luis Obispo to help offset these costs, while seeking the remaining $26,878 from additional community partners. Previous Council Action As noted above, the City Council discussed this request at the February 17, 2026, Council meeting during Item 6a., Review of the FY 2025-26 Second Quarter Budget Report. During this item, the Council discussed the request and posed questions of staff. Staff noted that there was a total of $30,000 set-aside for mediation services over the next two fiscal years (FYs) through the contract with Creative Mediation. The Council discussed the possibility of granting less than the request as well as the repercussions of providing CDRSLO a grant given that the City plans to issue a Request for Proposals (RFP) for mediation services in summer 2026. Ultimately, Council directed staff to reach out to CDRSLO and gather more information regarding what, specifically, the requested funds would be used for and what could be included in a grant agreement. CDRSLO followed up with another letter dated March 1, 2026, outlining the need for the request for $30,000, how the funds would be used, and how the funds would assist with the start-up and sustainability of the center. There was then a follow up discussion at the March 3, 2026, Council meeting during Item 6b., FY 2026-27 Budget Supplement Preview and Discussion of Operational Initiatives. City staff reiterated that there was $15,000 set- aside for mediation services for each of the next two FYs and that, if Council were interested in granting funds, they could grant $10,000 for this current FY and save $5,000 if immediate mediation needs come up. Staff also clarified that there would not be a Page 74 of 412 Item 6e conflict of interest if CDRSLO was awarded a grant and later responded to the RFP for mediation services.1 Council directed staff to come back with a draft grant agreement for the $10,000 to CDRSLO for the establishment of community mediation services for their review and approval. Current Funding Since CDRSLO’s March 1, 2026, communication with the City, the San Luis Obispo County Superior Court publicly announced its intention to award CDRSLO a $43,000 contract for small claims court mediation services beginning July 1, 2026. As the Court's procurement web page indicates, CDRSLO was the only bidder. Recognizing that CDRSLO was formed quickly to fill an urgent gap in services and that there are start -up costs associated with forming a new community mediation center to meet community needs, the Court is providing CDRSLO with an additional $20,000 in start -up funding to pre-date the July small claims court mediation contract. Meanwhile CDRSLO's Founders Circle has grown to include two new Bronze-level ($10,000) members (Loker Law and Mediation Central) and discussions are ongoing with other law firms, private mediators, individual donors, and community partners, including Cal Poly University. Overview of the Draft Grant Agreement The attached draft grant agreement outlines the conditions for the City’s proposed contribution of up to $10,000 to CDRSLO for start-up costs related to the establishment of community mediation services. Relevant sections include:  Scope & Role: The Grantee’s submitted request is attached to the grant agreement as Exhibit A. Funds must be used only for approved purposes specified in Exhibit C of the grant agreement including a staff computer, outreach efforts, and software costs. Prohibited uses include political or religious activities, personal gain, stipends, City fees, or unrelated expenses. Misuse of funds may require repayment.  Equity & Compliance: Funded activities must promote equitable access and non- discrimination and must comply with all applicable laws and City requirements.  Funding & Timeline: The City provides a one-time $10,000 grant, paid upfront. Funds must be spent within one year, with unused funds returned unless approved otherwise.  Visibility & Public Access: Grantee agrees to acknowledge the support of the City in promotional and public-facing materials related to the funded program and must post a public nondiscrimination statement on their website within 10 calendar days of execution of the grant agreement.  Reporting & Records: Grantee must submit a final report within 20 days of the end of the grant period and must retain records for 5 years. Failure to produce a final report may affect future funding eligibility.  Insurance Coverage: Grantee shall maintain insurance coverage that meets the requirements included in Exhibit D. 1 The City Attorney’s office does not believe the prohibition against financial interests by a public official in a government contract (Government Code §1090) is implicated here, but the “safe harbor” language from Govt. Code §1097.6 has been added to the proposed grant agreement for the avoidance of doubt. Page 75 of 412 Item 6e  Administrative Terms: City funding does not equal endorsement of Grantee views or actions. This draft grant agreement is on the consent agenda for the May 5, 2026, City Council meeting and will follow all required posting and notification. The public can submit comments on this item at or before the meeting. CONCURRENCE The proposed grant agreement has the concurrence of City Administration and has been approved as to form by the City Attorney’s office. ENVIRONMENTAL REVIEW The California Environmental Quality Act does not apply to the recommended action in this report, because the projects recommended for funding do not constitute a “Project” under CEQA Guidelines Sec. 15378, as they will not result in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. FISCAL IMPACT Budgeted: Yes Budget Year: 2025-26 Funding Identified: Yes Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund $15,000 $10,000 $5,000 $ State Federal Fees Other: Total $15,000 $10,000 $5,000 $ The identified funding source for this grant agreement would be the Contract Services budget of the Police Department’s Neighborhood Services division in the General Fund. The Department generally budgets $15,000 annually for these services. ALTERNATIVES 1. Council may request changes to the draft Grant Agreement. If Council decides to request changes to the draft Grant Agreement, Council will need to pull the item from consent, deliberate, and provide direction to staff on the requested changes. Page 76 of 412 Item 6e 2. Council could decide not to authorize the City Manager to finalize and execute the draft Grant Agreement. If Council decides not to authorize the City Manager to finalize and execute the draft Grant Agreement, Council will need to pull the item from consent, deliberate, and vote to not approve the agreement or the grant to CDRSLO. 3. Council may increase or decrease the amount of the recommended grant of $10,000. If Council elects to increase or decrease the recommended grant amount, Council will need to pull the item from consent, deliberate, and vote on a new amount. If the amount should exceed $10,000 the funding would need to come from either the unassigned fund balance or reallocated funds that have been determined to not be needed in the calendar year. ATTACHMENTS A - Grant Funding Request for Establishment of Community Mediation Services B - Response to Council Request for More Information Regarding CDRSLO Grant Funding Request C - September 1, 2023, Agreement for Purchase of Services for SLO Solutions Program D - Draft Grant Agreement for the Establishment of Community Mediation Services with CDRSLO Page 77 of 412 Page 78 of 412 To: City of San Luis Obispo 990 Palm Street San Luis Obispo, CA 93401 From: Advisory Board Center for Dispute Resolution at San Luis Obispo College of Law 4119 Broad Street #200 San Luis Obispo, CA 93401 Attn: Mayor and City Council Re: Grant Funding Request for Establishment of Community Mediation Services February 13, 2026 Dear Mayor Stewart and Honorable City Council Members: This letter is written to formally request your consideration of granting funds to support the development of a new community mediation center intended to restore critical dispute resolution services to residents of San Luis Obispo. As you are likely aware, San Luis Obispo’s former community mediation center, Creative Mediation, closed unexpectedly in June of 2025 due to the closure of its parent non -profit, Wilshire Community Services. This sudden termination of services left a significant resource gap for residents of San Luis Obispo, particularly with the loss of mediation, conflict coaching and related conflict resolution services. These services were particularly essential to SLO PD, City code enforcement, and other community partners such as Cal Poly, Cuesta, the Superior Court of San Luis Obispo, the Legal Assistance Foundation, and other nonprofits that regularly referred residents for free and low-cost dispute resolution services. You may also be aware that former volunteers and staff of Creative Mediation are currently working closely with San Luis Obispo College of Law (a branch of Monterey College of Law) to create a new community mediation center to fill this critical gap in ser vices. The new Center for Dispute Resolution at San Luis Obispo College of Law (CDRSLO), is currently raising funds to support critical infrastructure development. In addition to seeking support from local Page 79 of 412 philanthropists, CDRSLO is requesting fiscal support from key community partners, including the City of San Luis Obispo, Cal Poly, and Cuesta College. Fortunately, San Luis Obispo College of Law is able to provide space for the delivery of in -person mediation services; however, costs associated with technology needs such as website development, office equipment, preliminary staff to establish the center and other essential expenses must be raised in order to launch programs to meet community needs. Attached, you will find an outline of anticipated CDRSLO start-up costs and several letters of support from community partners. We thank you in advance for y our review and consideration of a one-time grant of $30,000.00 to help restore access to conflict resolution services to the San Luis Obispo community. Support from the City of San Luis Obispo and other key community partners listed herein will help establish a fully functioning and sustainable community mediation center to serve residents for decades to come. Sincerely, CDRSLO Advisory Board Members Lisa Sperow President/CEO Monterey College of Law lsperow@montereylaw.edu (831) 717-7290 Erica Flores Baltodano Campus Dean San Luis Obispo College of Law ebaltodano@slolaw.org (805) 322-3412 Dena Dowsett Assistant Dean of Market Development Monterey College of Law ddowsett@slolaw.org (831) 233-9861 Page 80 of 412 Nicolina Galante Community Mediator/Former Division Manager at Creative Mediation nicolinagalante@gmail.com Samantha Watkins Former Director, Creative Mediation Mediator/Owner Solve Consulting and Mediation, LLC sam@solvecm.com (805) 440-3154 Steffanie Medina Former Director, Creative Mediation Mediator/Owner, Flow LLC steff@flow-llc.com (805) 202-8539 Jason Mockford Senior Director, Leadership & Service California Polytechnic State University jmockfor@calpoly.edu (805) 756-5457 Kelly Donohue Former Community Mediator kdonohuedesign@gmail.com (310) 666-8013 Page 81 of 412 Center for Dispute Resolution at the San Luis Obispo College of Law Start-Up Budget Estimates Expense Budget IT, Website and Telephone ● Initial expense to establish dedicated phone line ● Purchase of case management software ● Initial expense to develop cloud-based file sharing ● Initial expense to establish video conferencing subscription ● Development of Interactive website 20,450 Tech Equipment ● Staff computer 2,500 Community Outreach ● Materials and Print Services ● Social Media 2,000 Insurance ● Initial installment to establish Professional Liability and Workplace coverage 2,100 Staffing ● Hiring Costs ● Salary for director (anticipated 0.7 FTE) ● Specialized training in community mediation 29,828 SLO College of Law In-Kind Investment ● Designated Office Space ● Conference Room ● Caucus Rooms ● Training Rooms ● Wifi ● Photocopier and Scanner ● Office Furniture and Supplies ● Administrative Support and Overhead 32,840 Anticipated Start Up Expenses $89,718.00 SLO College of Law In-Kind Investment ($32,840.00) Funds Needed $56,878.00 Requested Grant Monies from City of SLO $30,000.00 Additional Funds to be Raised through Private Donor Fundraising and Contributions from other Key Community Partners (Cal Poly, Cuesta, etc.) $26,878.00 Page 82 of 412 Providing Access to justice since 1992 3232 South Higuera Street, Suite 101D, San Luis Obispo, CA 93401 Phone: (805) 543-5140 www.slolaf.org January 29, 2026 Erica Baltodano Campus Dean San Luis Obispo College of Law 4119 Broad Street, Suite 200 San Luis Obispo, CA 93401 Re: Center for Dispute Resolution at San Luis Obispo College of Law Dear Dean Baltodano: I was thrilled to hear about SLO College of Law’s efforts to establish a Center for Dispute Resolution at San Luis Obispo College of Law to restore local access to free and low-cost conflict resolution services. When Creative Mediation (a Wilshire Community Services program) closed last year, our community lost an important program that helped countless SLO County residents resolve their disputes and avoid protracted litigation. All of us in the legal services business referred to Creative Mediation on a regular basis. There is now a gap in services that we are hoping SLO College of Law will be able to fill. Most people don’t know that Creative Mediation was SLOLAF’s first program. SLOLAF was incorporated in 1992 as San Luis Obispo Legal Alternatives, Inc. with the support of a collaboration of professionals representing legal aid, law enforcement, social services, churches, and financial institutions. It was called “Conflict Resolution Program” until 2001 when the name was changed to “Creative Mediation Services.” With SLOLAF’s support, in 2002, Creative Mediation spun off and formed its own non-profit and operated successfully and independently until it was absorbed by Wilshire Community Services. It was such a loss when that program shut down. If there is anything I can do to further support San Luis Obispo College of Law’s efforts to launch the Center for Dispute Resolution, please let me know. Sincerely, Stephanie Barclay Executive Director Page 83 of 412 Page 84 of 412 Page 85 of 412 Page 86 of 412 To: City of San Luis Obispo 990 Palm Street San Luis Obispo, CA 93401 From: Advisory Board Center for Dispute Resolution at San Luis Obispo College of Law 4119 Broad Street #200 San Luis Obispo, CA 93401 Attn: Mayor and City Council Re: Response to Council Request for More Information Regarding CDRSLO Grant Funding Request March 1, 2026 Dear Mayor Stewart and Honorable City Council Members: Thank you for your consideration and robust discussion regarding the grant request made by the Center for Dispute Resolution at San Luis Obispo College of Law (CDRSLO) at the February 17th City Council meeting. We understand that the council would like more information about the requested $30,000 for one-time funds to support the establishment of a new community mediation center. In order to begin providing services to community members, the first critical step for the new mediation center is to hire a staff member who will provide the administrative oversight for establishing necessary technology and physical infrastructure, developing a pool of trained volunteer mediators, responding to RFPs to secure sustainable program funding, and facilitating other preparations for program start up. The staffing costs as outlined in the Start-Up Budget Estimate represent only the initial staffing costs to be incurred before programs are established with ongoing contract funding streams. The total costs for establishing the center, including both the initial pre-program staff expense and other costs associated with preparing for program start up, are estimated at $89,718. The Page 87 of 412 San Luis Obispo College of Law has offered to provide physical space, wifi and office supplies, bringing the total needed down to $56,878. The Center for Dispute Resolution is seeking the support of the City of San Luis Obispo as the critical first partner to help offset these one-time costs. A contribution of $30,000 from the city would allow for the following initial costs to be covered: ● Purchase of Staff Computer: $2,500 ● Community Outreach (Digital and Print): $2,000 ● Initial Insurance: $2,100 ● Staffing, Specialized Training and [a portion of] Initial Salary: $23,400 Our hope is that other key partners, such as Cal Poly and Cuesta College, will join with the city to help cover the remaining $26,878 needed, as outlined in the original request for grant funding. Those additional costs include: ● IT, Website and Telephone: $20,450 ● Remaining Portion of Initial Staff Salary: $6,428 In addition to seeking funding from key community partners to offset the one-time start-up costs outlined above, the CDRSLO Advisory Board has been working to establish a network of philanthropic supporters from the community to develop a sustainable funding mix that will lead to a successful, sustainable community mediation center that can serve our community for decades to come. As you know, developing relationships with private donors requires stewardship over time, and the dividends of these efforts will take time to come to fruition. Onboarding a staff member to serve as the hub of the wheel from an administrative perspective is sure to accelerate these efforts. We want to deeply thank the city for considering this request to play a critical role in supporting the re-establishment of this essential community resource. Our volunteer advisory board is committed to seeing this project through, as we know firsthand how vital conflict resolution services have been to our community. Thank you for your consideration and support. Sincerely, CDRSLO Advisory Board Members Lisa Sperow President/CEO Monterey College of Law lsperow@montereylaw.edu (831) 717-7290 Page 88 of 412 Erica Flores Baltodano Campus Dean San Luis Obispo College of Law ebaltodano@slolaw.org (805) 322-3412 Dena Dowsett Assistant Dean of Market Development Monterey College of Law ddowsett@slolaw.org (831) 233-9861 Nicolina Galante Community Mediator/Former Division Manager at Creative Mediation nicolinagalante@gmail.com Samantha Watkins Former Director, Creative Mediation Mediator/Owner Solve Consulting and Mediation, LLC sam@solvecm.com (805) 440-3154 Steffanie Medina Former Director, Creative Mediation Mediator/Owner, Flow LLC steff@flow-llc.com (805) 202-8539 Page 89 of 412 Jason Mockford Senior Director, Leadership & Service California Polytechnic State University jmockfor@calpoly.edu (805) 756-5457 Kelly Donohue Former Community Mediator kdonohuedesign@gmail.com (310) 666-8013 Attachments: Start-Up Budget Estimates Page 90 of 412 Center for Dispute Resolution at the San Luis Obispo College of Law Start-Up Budget Estimates Expense Budget IT, Website and Telephone ● Initial expense to establish dedicated phone line ● Purchase of case management software ● Initial expense to develop cloud-based file sharing ● Initial expense to establish video conferencing subscription ● Development of Interactive website 20,450 Tech Equipment ● Staff computer 2,500 Community Outreach ● Materials and Print Services ● Social Media 2,000 Insurance ● Initial installment to establish Professional Liability and Workplace coverage 2,100 Staffing ● Hiring Costs ● Salary for director (anticipated 0.7 FTE) ● Specialized training in community mediation 29,828 SLO College of Law In-Kind Investment ● Designated Office Space ● Conference Room ● Caucus Rooms ● Training Rooms ● Wifi ● Photocopier and Scanner ● Office Furniture and Supplies ● Administrative Support and Overhead 32,840 Anticipated Start Up Expenses $89,718.00 SLO College of Law In-Kind Investment ($32,840.00) Funds Needed $56,878.00 Requested Grant Monies from City of SLO $30,000.00 Additional Funds to be Raised through Private Donor Fundraising and Contributions from other Key Community Partners (Cal Poly, Cuesta, etc.) $26,878.00 Page 91 of 412 Page 92 of 412 CITY OF SAN LUIS OBISPO AGREEMENT FOR PURCHASES OF SERVICES This Agreement is made and entered into in the City of San Luis Obispo on _____________, by and between the City of San Luis Obispo, a municipal corporation, hereinafter referred to as City, and CAP POLY CORPORATION, hereinafter referred to as Consultant. W I T N E S S E T H: WHEREAS, the City wants to offer a SLO Solutions Program to residents of San Luis Obispo, through a 2 year contract (July 1, 2023 to June 30, 2025) with Creative Mediation, which would provide residents with unlimited access to community mediation programs and will cost a total of $46,584 with offsetting costs paid by Cal Poly University and Cuesta College, thereby reducing the City’s net cost to $30,256 for the contract period; and WHEREAS, the City has agreed to contract with Creative Mediation for that portion of the program costs prorated to the City ($30,256); and WHEREAS, Cal Poly University has agreed to execute a separate contract with Creative Mediation for Cal Poly’s portion of the SLO Solutions Program costs ($12,904); and WHEREAS, Cuesta College has agreed to execute a separate contract with Creative Mediation for Cuesta’s portion of the SLO Solutions Program costs ($3,424); and WHEREAS, the City, Cal Poly and Cuesta College have all agreed to execute an agreement to participate in the SLO Solutions Program; and WHEREAS, Contractor is qualified to perform this type of service and has submitted a proposal to do so, which has been accepted by City. NOW THEREFORE, in consideration of their mutual promises, obligations and covenants hereinafter contained, the parties hereto agree as follows: NOW THEREFORE, in consideration of their mutual promises, obligations and covenants hereinafter contained, the parties hereto agree as follows: 1. TERM. The term of this Agreement shall be from the date this Agreement is made and entered, and include work started on July 1, 2023, and after, until June 30, 2025. 2. INCORPORATION BY REFERENCE. Consultant's proposal is hereby incorporated in and made a part of this Agreement, attached as Exhibit A. The City’s standard terms and conditions are attached as Exhibit B The City’s insurance requirements are hereby incorporated in and made part of this Agreement, attached as Exhibit C. To the extent that there are any conflicts between the Consultant’s fees and scope of work and the City’s terms and conditions as stated herein, the City’s terms and conditions shall prevail unless specifically agreed otherwise in writing signed by both Parties. DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD 9/1/2023 | 11:44 AM PDT Page 93 of 412 3.CITY'S OBLIGATIONS. For providing services as specified in this Agreement, and upon receipt of an invoice, City will pay and Contractor shall receive therefor compensation set forth in Exhibit A. 4.CONSULTANT’S OBLIGATIONS. For and in consideration of the payments and agreements hereinbefore mentioned to be made and performed by City, Contractor agrees with City to do everything required by this Agreement and the said specifications set forth in Exhibit A. 5.AMENDMENTS. Any amendment, modification or variation from the terms of this Agreement shall be in writing and shall be effective only upon approval by the City Manager. 6.COMPLETE AGREEMENT. This written Agreement, including all writings specifically incorporated herein by reference, shall constitute the complete agreement between the parties hereto. No oral agreement, understanding or representation not reduced to writing and specifically incorporated herein shall be of any force or effect, nor shall any such oral agreement, understanding or representation be binding upon the parties hereto. 7.NOTICE. All written notices to the parties hereto shall be sent by United States mail, postage prepaid by registered or certified mail addressed as follows: City City of San Luis Obispo 990 Palm Street San Luis Obispo, CA 93401 Attn: Christine Wallace Consultant Creative Mediation Wilshire Community Services 285 South Street, Suite J San Luis Obispo, CA 93401 8.AUTHORITY TO EXECUTE AGREEMENT. Both City and Contractor do covenant that everyone executing this agreement on behalf of each party is a person duly authorized and empowered to execute Agreements for such party. IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed the day and year first above written. CITY OF SAN LUIS OBISPO: By:_____________________________________ Police Chief APPROVED AS TO FORM: CONSULTANT: ________________________________ By: _____________________________________ City Attorney DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 94 of 412 1 For More Information Contact: Creative Mediation Phone: 805-549-0442 Web: www.creativemediation.org Creative Mediation’s “SLO Solutions Program” Providing real solutions to community challenges. July 1, 2023 – June 30, 2025 About the SLO Solutions Program Many of America’s communities struggle to address issues that are critical to their environmental, social and economic health. With shrinking resources, it becomes increasingly difficult to manage the changing demands of civic administration and community involvement. To avoid adversarial and ineffective methods of confronting confl ict, public officials and civic- minded community leaders must find forums that bring people together to seek common ground. In 2004, Creative Mediation worked with the City of San Luis Obispo, Cuesta College, and Cal Poly to develop and implement a unique approach to resolving community disputes. Out of this ingenuity was born the SLO Solutions program. This opened new windows of opportunity for resolving a range of conflicts including landlord -tenant, roommate and neighbor-neighbor disputes. This program offers prevention and resolution services to support a civil and healthy community for all. Today the program continues to provide no-cost conflict coaching, referral, and mediation services, as well as SLO Solutions workshops to residents and students in San Luis Obispo. The SLO Solutions Program is funded by the City of San Luis Obispo, Cal Poly State University, and Cuesta College. Each partner pays fees based on the number of residents they are allocated within the city. Residents living in the City of San Luis Obispo have unlimited access to the program at no cost to those individuals. It also alleviates the administrative burden on City Government by re-directing many inappropriate interactions with judicial and public o fficials to mediation, thus saving time and money. As the local not-for-profit community mediation center, Creative Mediation has been serving San Luis Obispo County for more than 25 years. Our center is well known as an alternative to the courts and small claims court judges consistently refer cases for mediation. The SLO Solutions Program provides broad and convenient access to our services through sponsorship from the partner agencies. Why Use Mediation to Resolve Conflict? There are many social and economic costs associated with a failure to resolve community conflict in a proactive manner. Unresolved conflict leads to gridlock and impasse. The possibility of devising meaningful solutions fades as people take sides and hold their ground. Financial an d social resources are spent fighting particular options rather than seeking common solutions. Most importantly, when common ground and understanding are not found, the community loses. In our community, unresolved conflict can create serious and varied c onsequences, which include: ▪Public safety concerns ▪Student/Community unrest Exhibit ADocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 95 of 412 2 For More Information Contact: Creative Mediation Phone: 805-549-0442 Web: www.creativemediation.org ▪ Lack of trust with community members and public officials ▪ Marginalizing student contributions in the community ▪ Unclear communication and patterns of misunderstanding ▪ Reduced productivity and collaboration ▪ Increased administration overhead ▪ Increased stress SLO Solutions is not a program designed to replace, augment or in any way impact the legal rights, policies, protocols, or programs of the agencies involved. This program is not a substitute for or a supplement to the intra -agency or inter-agency dispute resolution process. It is specifically for the residents of the City on a resident to resident basis. Examples of Community Solutions in Action The SLO Solutions Program primarily features mediation and conflict coaching services. The processes used in mediation are needed in many different aspects of civic life; they are not always just about resolving disputes. The processes are also useful for consensus building among people who come to an issue from differing perspectives. Sometimes mediation can take the form of bringing people from different interest groups together to work on a particular project. At other times, it can help groups or individuals establish constructive dialogue to move past a point of conflict to address shared areas of disagreement. There are many appropriate situations where trained mediators can improve the civic health of our community, including the following: ▪ Landlord/Tenant Disputes ▪ Student/Non-Student Disputes ▪ Neighbor to Neighbor Disputes ▪ Facilitated Neighborhood Meetings ▪ Community Agencies & Essential Services ▪ Business to Business ▪ Intra-business/Organization communication skills How the SLO Solutions Program Works Mediation and conflict coaching services are provided free of charge to residents (both student and non-student), as well as employees of the city. SLO Solutions Workshops are offered on and off campus. The advantage of a SLO Solutions Program lies in the outreach and promotion work that is an ongoing effort of Creative Mediation. Creative Mediation provides access to multiple approaches to promoting the use of the service, thus enabling the city and other program partners to derive the greatest benefits. As residents make use of the SLO Solutions Program, city services such as police, planning, and code enforcement tend to experience less demand for help in issues which are not really appropriate for them to address. In addition, residents are able to shape solutions which meet their needs and result in a healthier community spirit. DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 96 of 412 3 For More Information Contact: Creative Mediation Phone: 805-549-0442 Web: www.creativemediation.org What Are the Benefits of the SLO Solutions Program? First and foremost, conflict coaching offers the opportunity for residents to talk directly with a mediator to discuss their situation, determine their needs and priorities, and de -escalate their emotional reactions. For those choosing mediation, the presence of a neutral third party reduces stress, while also encouraging both parties to be accountable and reasonable. Mediation is a voluntary, non-adversarial process where both parties fully participate and the mediator can facilitate the negotiation of an agreement. To ensure parties’ comfort and privacy, mediation sessions are held in an informal and confidential environment, where parties can address a range of private matters. Mediation can be beneficial to not only the parties involved, but to other members of the community as well. More benefits include: ▪ Solve Problems Quickly – Mediation and conflict coaching are efficient ways to solve a wide range of community and neighborhood issues. What is more, it saves time, saves money, is convenient and always confidential. ▪ Community Empowerment – Community members increase their command of situations when they take personal responsibility for resolving their problems. ▪ Neighborhood Safety – Community members and police have alternative ways of handling conflict. The community mediation center is a source for conflict management that can de-escalate disputes, create safer communities and reduce tensions. ▪ Avoid Court Involvement and Save Taxpayer Dollars – Disputes that are resolved outside of court through mediation save taxpayer dollars and promote less adversarial outcomes and settlements. ▪ Joint Ownership – Community members share responsibility with University, Community College, and City officials and the local police for ensuring their community’s safety and well being. ▪ Better Community Relations – Police, University officials and civic leaders model and provide a forum for productive dialogue and peaceful problem-solving. DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 97 of 412 4 For More Information Contact: Creative Mediation Phone: 805-549-0442 Web: www.creativemediation.org SLO Solutions Program Services & Fees: The SLO Solutions Program is funded by the sponsor agencies and is based on the total number of individuals served. Total Annual Program Cost: Number of San Luis Obispo Residents Served: 45,119 (x .483) = $21,792 Marketing Costs = $ 1,500 Total Annual Program Cost = $23,292 Breakout of Two Year Program Cost: July ’23 – June ’25 Number of San Luis Obispo Residents Served 45,119 (x .483) = $21,792 July ’23 – June ’25 Number of San Luis Obispo Residents Served 45,119 (x. 483) = $21,792 July ‘23 – June ’25 Marketing Costs = $ 1,500 July ‘23 – June ’25 Marketing Costs = $ 1,500 Total 24-Month Program Cost = = $46,584 24-Month Contract Fee Breakdown by charges by sponsor: CUESTA COLLEGE Marketing 7.35% x $3000 = $ 221 SLO Solutions Program Fee - Cuesta College Students in San Luis Obispo: 7.35% x $43,584 = $3,203 Total Cuesta College (7.35% of Total SLO Solutions Contract based on population) = $3,424 CAL POLY Marketing 27.7% x $3000 = $ 831 SLO Solutions Program Fee - Cal Poly Students in San Luis Obispo: 27.7% x $43,584 = $12,073 Total Cal Poly (27.7% of Total SLO Solutions Contract based on population) = $12,904 CITY OF SAN LUIS OBISPO Marketing 64.95% x $3000 = $ 1,948 SLO Solutions Program Fee - Non-Student Residents in San Luis Obispo: 64.95% x $43,584 = $28,308 Total City of SLO (64.95% of Total SLO Solutions Contract based on population) = $30,256 Total Contract for SLO Solutions: = $46,584 The 2023– 25 SLO Solutions contract begins July 1st, 2023 and continues through June 30th, 2025. DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 98 of 412 5 For More Information Contact: Creative Mediation Phone: 805-549-0442 Web: www.creativemediation.org Program Services: The SLO Solutions Program offers residents the following services: A. Information, Referral & Assistance: A Conflict Resolution Specialist is available by telephone, to assist residents who have specific questions relating to a conflict. Through this conversation the resident may clarify issues of concern, be given specific information about common practices related to their specific dispute (e.g., landlord-tenant, neighbor v. neighbor, etc.) and receive a referral to an appropriate agency/resource or information about Creative Mediation. (Up to 15-minute contact) B. Conflict Coaching: A Conflict Resolution Specialist assists a caller to think through a conflict situation, including clarifying issues and interests of involved parties, exploring approaches to dealing with the situation and solution options and assisting with the selection of an approach to resolution. A follow -up call may be arranged to determine the outcome of the situation, with the understanding that mediation would be the next step if negotiation is unsuccessful. (An average of 20+ min). Beginning in Fall 2021, fully trained volunteer mediators will be available to provide pre- scheduled, face-to-face conflict coaching sessions to SLO Solutions clients. This expansion will allow Creative Mediation to serve even more residents in need of conflict resolution services. C. Phone/Shuttle Mediation: Conciliation is the resolution of a conflict through the intervention of a neutral third party, without the disputing parties coming together in a face to face mediation. In a limited number of cases, Dispute Resolution Specialist works with a resident, clarifying issues of concern, explaining approaches to seeking resolution and gaining agreement by the party to pursue mediation and case intake. A case development process involving contacts with both/all involved parties is initiated, and during that process a resolution of concerns is achieved to the satisfaction of the involved parties. D. Mediation Services: Mediation through Creative Mediation involves a face to face meeting between disputing parties who call Creative Mediation directly or are referred by city staff or community agencies. With the assistance of a panel of trained volunteer mediators, parties work through a non-adversarial problem-solving process and attempt to develop a mutually acceptable resolution to the issues of concern. There is a two -fold focus: development of a satisfying and durable agreement and the preservation of an effective relationship in situations where the parties will continue to be in contact with each other. E. Administration of a Community Mediation Program : In collaboration with the contracting city, Creative Mediation will administer a Mediation Program responsive to the unique needs of the community. Creative Mediation may utilize a Program development advisory committee and solicit input from city staff to develop an understanding of (1) unique areas of concern in the city, (2) potential approaches to P rogram initiation and implementation and (3) long term goals for the Program. Professional staff will manage and support the work of volunteers who provide the direct service to clients in most DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 99 of 412 6 For More Information Contact: Creative Mediation Phone: 805-549-0442 Web: www.creativemediation.org instances. F. Facilitation of Community/Neighborhood Meetings : Working with local representatives, Creative Mediation will provide facilitation of community meetings that bring multiple stakeholders together and seek common understanding for awareness and decision making. These meetings proactively reach out to community members in non- conflict situations, bringing them together to share feedback in a productive environment. (Up to two meetings of a maximum 15 participants each are included with the SLO Solutions Program fee. Additional meetings can be scheduled as needed at Creative Mediation’s regular service fee rates.) G. Promotion and Use of Conflict Resolution Services : A member city will participate in Creative Mediation’s community outreach Program which is designed to familiarize city staff, students, community service providers and the public with the use of non - adversarial conflict resolution services in a variety of conflict situations. This effort involves making presentations, developing press releases, targeted social -media coverage and identifying referral points where community members can receive information about Creative Mediation’s services. Member cities are also expected to promote the use of conflict resolution services. H. Recruitment and Training of Community Volunteers : Creative Mediation will develop and maintain a pool of trained volunteer mediators, case developers and facilitators to serve the conflict resolution needs of the community. Additionally, Creative Mediation hosts two student interns/volunteer mediators for a mini mum of six months, two times per year. As a result, a number of community members will become skillful in the interest - based approach to conflict resolution. Creative Mediation volunteers complete approximately 45 hours of training and practicum in alignment with ACR’s Model Standards of Training for Mediator Conflict Programs. I. Community Solutions Workshops : Creative Mediation will offer opportunities for community members, city employees and volunteers to improve and enhance their conflict resolution skills. There will be opportunities for learning and practicing the essential elements of mediation and collaborative decision -making. Creative Mediation will coordinate with student leaders to hold SLO Solutions Workshops on the Cal Poly and Cuesta campuses. J. Discounted Conflict Mediation Services: If the City of SLO, Cal Poly, or Cuesta wants to utilize additional conflict resolution services offered by Creative Mediation, they will receive a 20% discount. Marketing: Creative Mediation will work with the SCLC SLO Solutions sub-committee and the program partners to continue to market the SLO Solutions program to City residents, using such materials as posters, flyers, advertisements, and social media. DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 100 of 412 7 For More Information Contact: Creative Mediation Phone: 805-549-0442 Web: www.creativemediation.org Information about Creative Mediation Creative Mediation is a public benefit corporation serving San Luis Obispo County since 1993. Our work is designed to facilitate effective communication and conflict resolution for individuals, organizations and communities. To achieve this mission, Creative Mediation engages in three primary activities: mediation, facilitation and training. Creative Mediation endeavors to involve all sectors of the community in its efforts including, but not limited to individual community members, businesses and business leaders, government, education, public agencies and non - profit organizations. Other Services Available Through Creative Mediation Specialized conflict resolution training and professional services, available for a fee, th rough Creative Mediation, will be defined as requests for “specialized services” and are not included in the city’s SLO Solutions Program fee. Estimates of total charges for conflict resolution, facilitation or training services in a specific case will be provided by Creative Mediation when the service is being arranged. These charges will be based on the number of hours involved in providing the service. Other services include: Specialized Services A neutral third party assists a group of people to achieve their goals within a structured meeting or meetings. These goals may include identification of concerns and underlying interests, clear communication of differing opinions and development of a systematic, interest -based approach to problem solving. Specialized Training Creative Mediation partners with Flow, LLC to offer training opportunities for supervisory personnel, public contact employees, department managers, and others which include theory and practice of interest-based conflict resolution, negotiation and mediation skills, communication skills and meeting management. Specialized Mediation Volunteer community mediators are best utilized in situations in which resolutions can be developed in a relatively short period of time. When there are multiple parties, complex issues or the need for specialized knowledge, professional mediators from the Creative Mediation staff and/or outside consultants may be needed. Conflict Resolution System Design Creative Mediation works with local professional trainers and coaches in assisting organizations in building internal conflict resolution capacity, i.e., the development of policies and procedures for interest-based dispute prevention and early resolution. This service is tailored to the unique needs of the individual group but is based on recognized and proven design principles. Cal Poly Internship Program Creative Mediation partners with the Cal Poly Psychology and Child Development departments to provide internship opportunities for students as part of their graduation requirement. The focus of the program is peer-facilitated conflict coaching to students on campus with regard to lan dlord- tenant, roommate, and neighbor conflicts. DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 101 of 412 EXHIBIT B GENERAL TERMS AND CONDITIONS 1. Business License & Tax. The Contractor must have a valid City of San Luis Obispo business license & tax certificate before execution of the contract. Additional information regarding the City’s business tax program may be obtained by calling (805) 781-7134. 2. Ability to Perform. The Contractor warrants that it possesses, or has arranged through subcontracts, all capital and other equipment, labor, materials, and licenses necessary to carry out and complete the work hereunder in compliance with all federal, state, county, city, and special district laws, ordinances, and regulations. 3. Laws to be Observed. The Contractor shall keep itself fully informed of and shall observe and comply with all applicable state and federal laws and county and City of San Luis Obispo ordinances, regulations and adopted codes during its performance of the work. 4. Payment of Taxes. The contract prices shall include full compensation for all taxes that the Contractor is required to pay. 5. Permits and Licenses. The Contractor shall procure all permits and licenses, pay all charges and fees, and give all notices necessary. 6. Safety Provisions. The Contractor shall conform to the rules and regulations pertaining to safety established by OSHA and the California Division of Industrial Safety. 7. Public and Employee Safety. Whenever the Contractor’s operations create a condition hazardous to the public or City employees, it shall, at its expense and without cost to the City, furnish, erect and maintain such fences, temporary railings, barricades, lights, signs and other devices and take such other protective measures as are necessary to prevent accidents or damage or injury to the public and employees. 8. Preservation of City Property. The Contractor shall provide and install suitable safeguards, approved by the City, to protect City property from injury or damage. If City property is injured or damaged resulting from the Contractor’s operations, it shall be replaced or restored at the Contractor’s expense. The facilities shall be replaced or restored to a condition as good as when the Contractor began work. 9. Immigration Act of 1986. The Contractor warrants on behalf of itself and all DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 102 of 412 subcontractors engaged for the performance of this work that only persons authorized to work in the United State pursuant to the Immigration Reform and Control Act of 1986 and other applicable laws shall be employed in the performance of the work hereunder. 10. Non-Discrimination. In the performance of this work, the Contractor agrees that it will not engage in, nor permit such subcontractors as it may employ, to engage in discrimination in employment of persons because of age, race, color, sex, national origin or ancestry, sexual orientation, or religion of such persons. 11. Work Delays. Should the Contractor be obstructed or delayed in the work required to be done hereunder by changes in the work or by any default, act, or omission of the City, or by strikes, fire, earthquake, or any other Act of God, or by the inability to obtain materials, equipment, or labor due to federal government restrictions arising out of defense or war programs, then the time of completion may, at the City’s sole option, be extended for such periods as may be agreed upon by the City and the Contractor. In the event that there is insufficient time to grant such extensions prior to the completion date of the contract, the City may, at the time of acceptance of the work, waive liquidated damages that may have accrued for failure to complete on time, due to any of the above, after hearing evidence as to the reasons for such delay, and making a finding as to the causes of same. 12. Payment Terms. The City’s payment terms are 30 days from the receipt of an original invoice and acceptance by the City of the materials, supplies, equipment, or services provided by the Contractor (Net 30). 13. Inspection. The Contractor shall furnish City with every reasonable opportunity for City to ascertain that the services of the Contractor are being performed in accordance with the requirements and intentions of this contract. All work done, and all materials furnished, if any, shall be subject to the City’s inspection and approval. The inspection of such work shall not relieve Contractor of any of its obligations to fulfill its contract requirements. 14. Audit. The City shall have the option of inspecting and/or auditing all records and other written materials used by Contractor in preparing its invoices to City as a condition precedent to any payment to Contractor. 15. Interests of Contractor. The Contractor covenants that it presently has no interest, and shall not acquire any interest—direct, indirect or otherwise—that would conflict in any manner or degree with the performance of the work hereunder. The Contractor further covenants that, in the performance of this work, no subcontractor or person having such an interest shall be employed. The Contractor certifies that no one who has or will have any financial interest in performing this work is an officer or employee of the City. It is hereby expressly agreed that, in the performance of the work hereunder, the Contractor shall at all times be deemed an independent contractor and not an agent or employee of the City. DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 103 of 412 16. Hold Harmless and Indemnification. (a) Non-design, non-construction Professional Services: To the fullest extent permitted by law (including, but not limited to California Civil Code Sections 2782 and 2782.8), Consultant shall indemnify, defend, and hold harmless the City, and its elected officials, officers, employees, volunteers, and agents (“City Indemnitees”), from and against any and all causes of action, claims, liabilities, obligations, judgments, or damages, including reasonable legal counsels’ fees and costs of litigation (“claims”), arising out of the Consultant’s performance or Consultant’s failure to perform its obligations under this Agreement or out of the operations conducted by Consultant, including the City’s active or passive negligence, except for such loss or damage arising from the sole negligence or willful misconduct of the City. In the event the City Indemnitees are made a party to any action, lawsuit, or other adversarial proceeding arising from Consultant’s performance of this Agreement, the Consultant shall provide a defense to the City Indemnitees or at the City’s option, reimburse the City Indemnitees their costs of defense, including reasonable legal fees, incurred in defense of such claims. (b) Non-design, construction Professional Services: To the extent the Scope of Services involve a “construction contract” as that phrase is used in Civil Code Section 2783, this paragraph shall apply in place of paragraph A. To the fullest extent permitted by law (including, but not limited to California Civil Code Sections 2782 and 2782.8), Consultant shall indemnify, defend, and hold harmless the City, and its elected officials, officers, employees, volunteers, and agents (“City Indemnitees”), from and against any and all causes of action, claims, liabilities, obligations, judgments, or damages, including reasonable legal counsels’ fees and costs of litigation (“claims”), arising out of the Consultant’s performance or Consultant’s failure to perform its obligations under this Agreement or out of the operations conducted by Consultant, except for such loss or damage arising from the active negligence, sole negligence or willful misconduct of the City. In the event the City Indemnitees are made a party to any action, lawsuit, or other adversarial proceeding arising from Consultant’s performance of this Agreement, the Consultant shall provide a defense to the City Indemnitees or at the City’s option, reimburse the City Indemnitees their costs of defense, including reasonable legal fees, incurred in defense of such claims. (c) Design Professional Services: In the event Consultant is a “design professional”, and the Scope of Services require Consultant to provide “design professional services” as those phrases are used in Civil Code Section 2782.8, this paragraph shall apply in place of paragraphs A or B. To the fullest extent permitted by law (including, but not limited to California Civil Code Sections 2782 and 2782.8) Consultant shall indemnify, defend and hold harmless the City and its elected officials, officers, employees, volunteers and agents (“City Indemnitees”), from and against all claims, damages, injuries, losses, and expenses including costs, attorney fees, expert consultant and expert witness fees arising out of, pertaining to or relating to, the negligence, recklessness or willful misconduct of Consultant, except to the extent caused by the sole negligence, active negligence or willful misconduct of the City. Negligence, recklessness or willful misconduct of any subcontractor employed by Consultant shall be conclusively deemed to be the negligence, recklessness or willful misconduct of Consultant unless adequately corrected by Consultant. In the event the City Indemnitees are made a party to any action, lawsuit, or other adversarial proceeding arising from Consultant’s performance of this Agreement, the Consultant shall provide a defense to the City Indemnitees or at the City’s option, reimburse the City Indemnitees their costs of defense, including reasonable legal fees, incurred in defense of such claims. In no event shall the cost to defend charged to Consultant DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 104 of 412 under this paragraph exceed Consultant’s proportionate percentage of fault. However, notwithstanding the previous sentence, in the event one or more defendants is unable to pay its share of defense costs due to bankruptcy or dissolution of the business, Consultant shall meet and confer with other parties regarding unpaid defense costs. (d) The review, acceptance or approval of the Consultant’s work or work product by any indemnified party shall not affect, relieve or reduce the Consultant’s indemnification or defense obligations. This Section survives completion of the services or the termination of this contract. The provisions of this Section are not limited by and do not affect the provisions of this contract relating to insurance. 17. Contract Assignment. The Contractor shall not assign, transfer, convey or otherwise dispose of the contract, or its right, title or interest, or its power to execute such a contract to any individual or business entity of any kind without the previous written consent of the City. 18. Termination for Convenience. The City may terminate all or part of this Agreement for any or no reason at any time by giving 30 days written notice to Contractor. Should the City terminate this Agreement for convenience, the City shall be liable as follows: (a) for standard or off-the-shelf products, a reasonable restocking charge not to exceed ten (10) percent of the total purchase price; (b) for custom products, the less of a reasonable price for the raw materials, components work in progress and any finished units on hand or the price per unit reflected on this Agreement. For termination of any services pursuant to this Agreement, the City’s liability will be the lesser of a reasonable price for the services rendered prior to termination, or the price for the services reflected on this Agreement. Upon termination notice from the City, Contractor must, unless otherwise directed, cease work and follow the City’s directions as to work in progress and finished goods. 19. Termination. If, during the term of the contract, the City determines that the Contractor is not faithfully abiding by any term or condition contained herein, the City may notify the Contractor in writing of such defect or failure to perform. This notice must give the Contractor a 10 (ten) calendar day notice of time thereafter in which to perform said work or cure the deficiency. If the Contractor has not performed the work or cured the deficiency within the ten days specified in the notice, such shall constitute a breach of the contract and the City may terminate the contract immediately by written notice to the Contractor to said effect. Thereafter, neither party shall have any further duties, obligations, responsibilities, or rights under the contract except, however, any and all obligations of the Contractor’s surety shall remain in full force and effect, and shall not be extinguished, reduced, or in any manner waived by the terminations thereof. In said event, the Contractor shall be entitled to the reasonable value of its services performed from the beginning date in which the breach occurs up to the day it received the City’s Notice of Termination, minus any offset from such payment representing the City’s damages from such breach. “Reasonable value” includes fees or charges for goods or services as of the last milestone or task satisfactorily delivered or completed by the Contractor as may be set forth in DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 105 of 412 8 the Agreement payment schedule; compensation for any other work, services or goods performed or provided by the Contractor shall be based solely on the City’s assessment of the value of the work-in- progress in completing the overall work scope. The City reserves the right to delay any such payment until completion or confirmed abandonment of the project, as may be determined in the City’s sole discretion, so as to permit a full and complete accounting of costs. In no event, however, shall the Contractor be entitled to receive in excess of the compensation quoted in its proposal. DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 106 of 412 EXHIBIT C INSURANCE REQUIREMENTS Consultants Without limiting Consultant’s indemnification of City, and prior to commencement of work, Consultant obtain, provide, and maintain at its own expense during the term of this Agreement, policies of insurance of the types and amounts described below and in a form that is satisfactory to City. General liability insurance. Consultant shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted. Automobile liability insurance. Consultant shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non-owned, or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident. Umbrella or excess liability insurance. [If required to meet higher limits]. Consultant may obtain and maintain an umbrella liability insurance policy with limits that will provide bodily injury, personal injury, and property damage liability coverage, including commercial general liability, automobile liability, and employer’s liability. Such policy or policies shall include the following terms and conditions: • A drop-down feature requiring the policy to respond if any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason, other than bankruptcy or insolvency of said primary insurer; • “Pay on behalf of” wording as opposed to “reimbursement”; • Concurrency of effective dates with primary policies. Excess insurance. Should Consultant obtain and maintain an excess liability policy, such policy shall be excess over commercial general liability, automobile liability, and employer’s liability policies. Such policy or policies shall include wording that the excess liability policy follows the terms and conditions of the underlying policies. Workers’ compensation insurance. Consultant shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000). Consultant shall submit to City, along with the certificate of insurance, a Waiver of DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 107 of 412 Subrogation endorsement in favor of City, its officers, agents, employees, and volunteers Notice of cancellation. Consultant agrees to oblige its insurance agent or broker and insurers to provide the City with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage. If any of the Consultant’s insurers are unwilling to provide such notice, then Consultant shall have the responsibility of notifying the City immediately in the event of Consultant’s failure to renew any of the required insurance coverages or insurer’s cancellation or non-renewal. Additional insured status. General liability, automobile liability, and umbrella/excess liability insurance policies shall provide or be endorsed to provide that City and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. Prohibition of undisclosed coverage limitations. None of the coverages required herein shall comply with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. Separation of insureds. A severability of interests provision must apply for all additional insureds ensuring that Consultant’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions. Pass through clause. Consultant agrees to ensure that its subconsultants, subcontractors, and any other party who is brought onto or involved in the project/service by Consultant (hereinafter collectively “subcontractor”), provide the same minimum insurance coverage and endorsements required of Consultant. Consultant agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. However, in the event Consultant’s subcontractor cannot comply with this requirement, which proof must be submitted to the City, Consultant shall be required to ensure that its subcontractor provide and maintain insurance coverage and endorsements sufficient to the specific risk of exposure involved with subcontractor’s scope of work and services, with limits less than required of the Consultant, but in all other terms consistent with the Consultant’s requirements under this agreement. This provision does not relieve the Consultant of its contractual obligations under the agreement and/or limit its liability to the amount of insurance coverage provided by its subcontractors. This provision is intended solely to provide Consultant with the ability to utilize a subcontractor who may be otherwise qualified to perform the work or services but may not carry the same insurance limits as required of the Consultant under this agreement given the limited scope of work or services provided by the subcontractor. Consultant DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 108 of 412 agrees that upon request, all agreements with subcontractors, and others engaged in the project, will be submitted to City for review. City’s right to revise specifications. The City reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Consultant ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Consultant, the City and Consultant may renegotiate Consultant’s compensation. Self-insured retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible, or require proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention through confirmation from the underwriter. Timely notice of claims. Consultant shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Consultant’s performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. Additional insurance. Consultant shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work. DocuSign Envelope ID: 3F96FBCB-3A6A-422C-90A6-69889932C9DD Page 109 of 412 Page 110 of 412 CITY OF SAN LUIS OBISPO GRANT AGREEMENT THIS AGREEMENT, dated ____________________________ for the convenience of the parties hereto, is between the CITY OF SAN LUIS OBISPO, a chartered municipal corporation (referred to herein as CITY), and the Center for Dispute Resolution at San Luis Obispo College of Law (referred to herein as GRANTEE). WITNESSETH: WHEREAS, GRANTEE requested $30,000 from the CITY in one-time start-up funds to establish a new community mediation center (the “Activities”) following the unexpected and sudden closure of Creative Mediation in June 2025 which greatly diminished the community’s access to free and low-cost dispute resolution services; and WHEREAS, on May 5, 2026, the City Council agreed to contribute $10,000 to support GRANTEE’s request; and WHEREAS, the Activities proposed by GRANTEE upon development of the community mediation center would help fill the resource gap left by the loss of Creative Mediation; and WHEREAS, the Activities further the priorities of the City Council and neighborhood wellness through the establishment of services that will be available to residents of the City, thereby serving both a public and municipal purpose. NOW, THEREFORE, CITY and GRANTEE for and in consideration of the mutual benefits, promises, and agreements set forth herein, do agree as follows: 1. The Request submitted by the GRANTEE on March 1, 2026, is incorporated into this agreement by reference and attached as Exhibit A. The specific scope of work for which funding may be used is set forth in Exhibit C. 2. GRANTEE is and shall at all times remain as to the CITY a wholly independent contractor. Any persons performing the Activities under this Agreement on behalf of GRANTEE shall at all times be under GRANTEE'S exclusive direction and control. Neither CITY nor any of its officers, employees, or agents shall have control over the conduct of GRANTEE or any persons performing the Activities under this Agreement on behalf of GRANTEE. GRANTEE shall not at any time or in any manner represent that it or any persons performing the Activities under this Agreement on behalf of GRANTEE are in any manner officers, employees, or agents of the CITY. 3. Government Code §1097.6: GRANTEE’s duties and services under this agreement shall not include preparing or assisting the CITY with any portion of the CITY’s preparation of a request for proposals, request for qualifications, or any other solicitation regarding a subsequent or additional contract with the CITY. CITY shall at all times retain responsibility for public contracting, including with respect to any subsequent phase of this project. GRANTEE’s participation in the planning, discussions, or drawing of project plans or specifications shall be limited to conceptual, preliminary, or initial plans or specifications. GRANTEE shall cooperate with the CITY to ensure that all bidders for a subsequent contract on any subsequent Page 111 of 412 phase of this project have access to the same information, including all conceptual, preliminary, or initial plans or specifications prepared by GRANTEE pursuant to this agreement. 4. GRANTEE hereby certifies and agrees that the Activities will promote and advance equitable treatment to all members of the CITY community, in which all persons can enjoy equal rights and opportunities without regard to race, religion, sex, national origin, sexual orientation, age, or disability. 5. GRANTEE agrees that all grant funds must be used solely for activities and purposes that are specifically approved in this Agreement, as set forth in Exhibit C and in accordance with Section 6 below, or as otherwise approved in advance in writing by the CITY. Grant funds may NOT be used for: • Advancing, campaigning, advocating, promotion, or highlighting political entities, ballot measures, initiatives, or candidates. • Advancing, advocating, promoting, or highlighting any religious causes, entities, individuals, or activities. Additionally, grant funds may not be used for the purpose of disseminating religious information in any form. • Activities that result in profit or personal financial gain. • Payment of CITY fees, permits, or fines. • Personal expenses not directly related to the approved project. • Payment in the form of stipends, honoraria, or similar direct payments to individuals. Any funds spent outside of the approved scope of work or in violation of these restrictions may be deemed unallowable and subject to repayment to the CITY. 6. GRANTEE will scope their Request in proportion to the amount of funding received, if not equal to the funding requested, so that the Request’s impacts are proportional to the funding received. 7. GRANTEE agrees to acknowledge the support of the CITY in promotional and public- facing materials related to the funded program. This acknowledgment shall include the use of the City’s standardized emblem, which will be provided by the CITY upon request. 8. GRANTEE agrees that within ten (10) calendar days of the effective date of this Agreement, GRANTEE shall add the following statement to the homepage of its organization and/or program website(s), if any: “Any activities supported by the City of San Luis Obispo funds are open and accessible to all otherwise qualified members of the public and without regard to race, religion, sex, national origin, sexual orientation, age, or disability.” The same statement shall also appear on a clearly visible “About,” “Funding,” or equivalent informational page(s) of the website. The statement shall be displayed prominently and may not be modified, except for formatting necessary to align with the website’s design. Failure to comply with this requirement within the specified timeframe may be considered a breach of this Page 112 of 412 Agreement and cause for termination as stated below. GRANTEE shall send proof of added language to program administrator within the agreed upon time. 9. GRANTEE agrees to hold CITY harmless and to defend CITY against, from, and in any claim, action, proceeding, or hearing wherein there is an allegation charging liability on the part of the CITY as a result of any act or omission, negligent or otherwise, by GRANTEE. 10. CITY agrees to pay GRANTEE a one-time only grant, in the sum of $10,000, to be used for the Activities as described in Exhibit C and in accordance with this Agreement. The grant will be paid in one installment upon receipt of a fully executed contract. GRANTEE agrees that all funds awarded under this Agreement shall be expended within one (1) year of the date of execution of this Agreement. Any funds not expended within this period shall be returned to the CITY unless otherwise approved in writing by the CITY. 11. GRANTEE agrees to retain all financial and programmatic records related to the use of CITY grant funds for a minimum of five (5) years following the completion of the grant period. The CITY reserves the right to audit grant expenditures and documentation to ensure compliance with this Agreement. 12. GRANTEE will provide CITY with final program report, which will be due within twenty (20) days of the last date of the grant period which will summarize any administrative, financial, and performance outcomes related to the Activities. Said reports shall be in the form provided by the CITY as described in Exhibit B. Failure to provide required reports on time may result in disqualification from future CITY grant programs for a period of up to two (2) years and may require repayment of unexpended or improperly used funds to the CITY. 13. The CITY may terminate this agreement if 1) the funds appropriated for these Activities are no longer available, or 2) upon GRANTEE’S breach of this Agreement, including but not limited to failure to complete the Activities, failure to submit required reporting, or use of grant funds for an unlawful or unpermitted purpose or for a purpose other than furtherance of the Activities. Upon GRANTEE’S alleged breach, if curable, CITY shall notify GRANTEE in writing of the breach. If GRANTEE fails to cure the breach within ten (10) calendar days of receiving the notice, this Agreement shall be terminated. 13.1 If the Agreement is terminated due to GRANTEE’S breach, any funds not expended by GRANTEE in performance of the Activities at the time of termination, and/or any funds expended improperly as discussed in this section or Section 5 shall be returned to the CITY within ten (10) calendar days of said termination. 14. Any funds remaining unused by the last date of the grant period upon expiration of the Agreement pursuant to Section 10, or upon the termination of this Agreement pursuant to Section 13 above, shall be returned to CITY within ten (10) calendar days from the expiration or termination date of this Agreement. Should the CITY determine, following expiration of the Agreement, that funds were expended improperly as discussed in Section 5 or Section 13, such funds shall be returned to CITY within ten (10) calendar days of notification to the GRANTEE. Page 113 of 412 15. Intentionally omitted. 16. GRANTEE acknowledges and agrees that the CITY’s contribution is not necessarily an endorsement of any statements, opinions, findings, or conclusions made in GRANTEE’s Request or final report, and no such statements shall be attributed in any way to the CITY. Further, CITY’s contribution is not necessarily an endorsement of any actions GRANTEE may make, or of any statements or opinions GRANTEE may express. 17. GRANTEE shall not assign or transfer this Agreement, or any portion thereof, without prior written consent of the CITY. 18. GRANTEE agrees that this agreement may be amended only by written agreement signed by both the CITY and the GRANTEE. 19. GRANTEE shall comply with all applicable federal, state, and local laws, regulations, and ordinances. 20. For purposes of notice under this Agreement, all notices shall be delivered electronically via DocuSign or another City-approved electronic delivery or signature platform. Such electronic delivery shall be deemed equivalent to certified mail for purposes of official notice. Notices shall be considered effective upon transmission to the following electronic addresses: CITY: City of San Luis Obispo 990 Palm Street San Luis Obispo, CA 93401 Attn: Greg Hermann, Department Head - Administration GRANTEE: Center for Dispute Resolution at San Luis Obispo College of Law 4119 Broad Street, #200 San Luis Obispo, CA 93401 ebaltodano@slolaw.org (805) 322-3412 Attn: Erica Flores Baltodano IN WITNESS WHEREOF, the parties hereto have executed this agreement by their proper officers duly authorized: Grantee By: Page 114 of 412 CITY OF SAN LUIS OBISPO, A MUNICIPAL CORPORATION By: Greg Hermann, Deputy City Manager – Administration APPROVED AS TO FORM: By: Christine Dietrick, City Attorney Page 115 of 412 To: City of San Luis Obispo 990 Palm Street San Luis Obispo, CA 93401 From: Advisory Board Center for Dispute Resolution at San Luis Obispo College of Law 4119 Broad Street #200 San Luis Obispo, CA 93401 Attn: Mayor and City Council Re: Response to Council Request for More Information Regarding CDRSLO Grant Funding Request March 1, 2026 Dear Mayor Stewart and Honorable City Council Members: Thank you for your consideration and robust discussion regarding the grant request made by the Center for Dispute Resolution at San Luis Obispo College of Law (CDRSLO) at the February 17th City Council meeting. We understand that the council would like more information about the requested $30,000 for one-time funds to support the establishment of a new community mediation center. In order to begin providing services to community members, the first critical step for the new mediation center is to hire a staff member who will provide the administrative oversight for establishing necessary technology and physical infrastructure, developing a pool of trained volunteer mediators, responding to RFPs to secure sustainable program funding, and facilitating other preparations for program start up. The staffing costs as outlined in the Start-Up Budget Estimate represent only the initial staffing costs to be incurred before programs are established with ongoing contract funding streams. The total costs for establishing the center, including both the initial pre-program staff expense and other costs associated with preparing for program start up, are estimated at $89,718. The Exhibit A Page 116 of 412 San Luis Obispo College of Law has offered to provide physical space, wifi and office supplies, bringing the total needed down to $56,878. The Center for Dispute Resolution is seeking the support of the City of San Luis Obispo as the critical first partner to help offset these one-time costs. A contribution of $30,000 from the city would allow for the following initial costs to be covered: ● Purchase of Staff Computer: $2,500 ● Community Outreach (Digital and Print): $2,000 ● Initial Insurance: $2,100 ● Staffing, Specialized Training and [a portion of] Initial Salary: $23,400 Our hope is that other key partners, such as Cal Poly and Cuesta College, will join with the city to help cover the remaining $26,878 needed, as outlined in the original request for grant funding. Those additional costs include: ● IT, Website and Telephone: $20,450 ● Remaining Portion of Initial Staff Salary: $6,428 In addition to seeking funding from key community partners to offset the one-time start-up costs outlined above, the CDRSLO Advisory Board has been working to establish a network of philanthropic supporters from the community to develop a sustainable funding mix that will lead to a successful, sustainable community mediation center that can serve our community for decades to come. As you know, developing relationships with private donors requires stewardship over time, and the dividends of these efforts will take time to come to fruition. Onboarding a staff member to serve as the hub of the wheel from an administrative perspective is sure to accelerate these efforts. We want to deeply thank the city for considering this request to play a critical role in supporting the re-establishment of this essential community resource. Our volunteer advisory board is committed to seeing this project through, as we know firsthand how vital conflict resolution services have been to our community. Thank you for your consideration and support. Sincerely, CDRSLO Advisory Board Members Lisa Sperow President/CEO Monterey College of Law lsperow@montereylaw.edu (831) 717-7290 Page 117 of 412 Erica Flores Baltodano Campus Dean San Luis Obispo College of Law ebaltodano@slolaw.org (805) 322-3412 Dena Dowsett Assistant Dean of Market Development Monterey College of Law ddowsett@slolaw.org (831) 233-9861 Nicolina Galante Community Mediator/Former Division Manager at Creative Mediation nicolinagalante@gmail.com Samantha Watkins Former Director, Creative Mediation Mediator/Owner Solve Consulting and Mediation, LLC sam@solvecm.com (805) 440-3154 Steffanie Medina Former Director, Creative Mediation Mediator/Owner, Flow LLC steff@flow-llc.com (805) 202-8539 Page 118 of 412 Jason Mockford Senior Director, Leadership & Service California Polytechnic State University jmockfor@calpoly.edu (805) 756-5457 Kelly Donohue Former Community Mediator kdonohuedesign@gmail.com (310) 666-8013 Attachments: Start-Up Budget Estimates Page 119 of 412 Center for Dispute Resolution at the San Luis Obispo College of Law Start-Up Budget Estimates Expense Budget IT, Website and Telephone ● Initial expense to establish dedicated phone line ● Purchase of case management software ● Initial expense to develop cloud-based file sharing ● Initial expense to establish video conferencing subscription ● Development of Interactive website 20,450 Tech Equipment ● Staff computer 2,500 Community Outreach ● Materials and Print Services ● Social Media 2,000 Insurance ● Initial installment to establish Professional Liability and Workplace coverage 2,100 Staffing ● Hiring Costs ● Salary for director (anticipated 0.7 FTE) ● Specialized training in community mediation 29,828 SLO College of Law In-Kind Investment ● Designated Office Space ● Conference Room ● Caucus Rooms ● Training Rooms ● Wifi ● Photocopier and Scanner ● Office Furniture and Supplies ● Administrative Support and Overhead 32,840 Anticipated Start Up Expenses $89,718.00 SLO College of Law In-Kind Investment ($32,840.00) Funds Needed $56,878.00 Requested Grant Monies from City of SLO $30,000.00 Additional Funds to be Raised through Private Donor Fundraising and Contributions from other Key Community Partners (Cal Poly, Cuesta, etc.) $26,878.00 Page 120 of 412 Exhibit B Reporting Guidelines GRANTEES receiving funds through the CITY OF SAN LUIS OBISPO are required to submit a final program report to the CITY OF SAN LUIS OBISPO, to their program administrator. Each report must include the following four sections: 1. Administrator’s Report A summary of services, programs, or activities provided (as described in Exhibit A). This section should include: • Any updates or changes to operations or service delivery. • Barriers or challenges faced and how they were addressed. • Any partnerships, collaborations, or community engagement efforts that enhanced inclusion or belonging. • Success stories, testimonials, or examples that illustrate community impact. 2. Financial Report Provide a clear accounting of how the City’s grant funds were used or are planned to be used. Report must include: • A breakdown of expenditures by category (e.g., staffing, outreach, materials, events). • Identification and explanation of any unused funds. • Note: City grant funds may not be used for: o Advancing, campaigning, advocating, promotion, or highlighting political entities, ballot measures, initiatives, or candidates. o Advancing, advocating, promoting, or highlighting any religious causes, entities, individuals, or activities. Additionally, grant funds may not be used for the purpose of disseminating religious information in any form. o Activities that result in profit or personal financial gain. o Payment for City fees or permits o Personal expenses not directly related to the approved project o Payment in the form of stipends, honoraria, or similar direct payments to individuals. 3. Reflection & Impact Please take a moment to reflect on your work and share insights: • What outcomes or successes are you most proud of? • What lessons or insights have you gained during this grant period? • What additional support or resources could help strengthen your impact? Page 121 of 412 Exhibit C CITY OF SAN LUIS OBISPO GRANT SUMMARY OF ACTIVITIES GRANTEE ORGANIZATION: Center for Dispute Resolution at the San Luis Obispo College of Law ACTIVITY(IES): Establishment of a new community mediation center Grant funding has been allocated specifically for the purpose(s) stated below: • Purchase of Staff Computer: $250 • Community Outreach (Digital and Print): $500 • IT & Communications (a portion of case management software subscription, set-up, and training costs and website design and CMS integration costs): $ 9,250 Any requests for modifications to the use of funds specified above must be approved in advance by the CITY in writing. Page 122 of 412 Exhibit D – Insurance Requirements Without limiting GRANTEE’s indemnification of City, and prior to commencement of work, GRANTEE shall obtain, provide, and maintain at its own expense during the term of this Agreement, policies of insurance of the types and amounts described below and in a form that is satisfactory to City. General liability insurance. GRANTEE shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted. Excess insurance. Should GRANTEE obtain and maintain an excess liability policy, such policy shall be excess over commercial general liability, automobile liability, and/or employer’s liability policies. Such policy or policies shall include wording that the excess liability policy follows the terms and conditions of the underlying policies. Workers’ compensation insurance. If applicable, GRANTEE shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000). GRANTEE shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of City, its officers, agents, employees, and volunteers. Additional insured status. General liability, automobile liability, and umbrella/excess liability insurance policies shall provide or be endorsed to provide that City and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. Undisclosed coverage limitations are prohibited. None of the coverages required herein shall comply with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. Notice of cancellation. GRANTEE agrees to oblige its insurance agent or broker and insurers to provide the City with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage. If any of the GRANTEE’s insurers are unwilling to provide such notice, then GRANTEE shall have the responsibility of notifying the City immediately in the event of GRANTEE’s failure to renew any of the required insurance coverages or insurer’s cancellation or non-renewal. Separation of insureds. A severability of interests provision must apply for all additional insureds ensuring that GRANTEE’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions. Pass through clause. GRANTEE agrees to ensure that its subconsultants, sub-grantees, and any other party who is brought onto or involved in the project/service by GRANTEE (hereinafter Page 123 of 412 collectively “sub-grantee”), provide the same minimum insurance coverage and endorsements required of GRANTEE. GRANTEE agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. However, in the event GRANTEE’s sub-grantee cannot comply with this requirement, which proof must be submitted to the City, GRANTEE shall be required to ensure that its sub-grantee provide and maintain insurance coverage and endorsements sufficient to the specific risk of exposure involved with sub-grantee’s scope of work and services, with limits less than required of the GRANTEE, but in all other terms consistent with the GRANTEE’s requirements under this agreement. This provision does not relieve the GRANTEE of its contractual obligations under the agreement and/or limit its liability to the amount of insurance coverage provided by its sub-grantees. This provision is intended solely to provide GRANTEE with the ability to utilize a sub-grantee who may be otherwise qualified to perform the work or services but may not carry the same insurance limits as required of the GRANTEE under this agreement given the limited scope of work or services provided by the sub-grantee. GRANTEE agrees that upon request, all agreements with sub-grantee, and others engaged in the project, will be submitted to City for review. City’s right to revise specifications. The City reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the GRANTEE ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the GRANTEE, the City and GRANTEE may renegotiate GRANTEE’s compensation. Self-insured retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible, or require proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention through confirmation from the underwriter. Timely notice of claims. GRANTEE shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from GRANTEE’s performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. Additional insurance. GRANTEE shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work. Verification of Coverage. GRANTEE shall furnish the City with a certificate of insurance showing maintenance of the required insurance coverage, as well as endorsements affecting general liability coverage. All endorsements are to be received and approved by the City before work commences. Page 124 of 412