HomeMy WebLinkAbout2020/06/25 - Agenda PacketJUNE 25, 2020 - 5:00 PM
SPECIAL MEETING AGENDA
COUNCIL CHAMBERS, 10500 CIVIC CENTER DRIVE,
RANCHO CUCAMONGA, CA, 91730
CITY COUNCIL AGENDA/FIRE PROTECTION DISTRICT
In response to the Governor's Executive Orders, the San Bernardino County
Department of Public Health requirements, and to ensure the health and safety
of our residents by limiting contact that could spread the COVID-19 virus, there
will be no members of the public in attendance at the City Council/Fire District
Meetings. Members of the City Council/Fire District and staff may participate in
this meeting via a teleconference.
In place of in-person attendance, members of the public are encouraged to
watch from the safety of their homes in one of the following ways:
Live Streaming on the City's website at
https://www.cityofrc.us/your-government/city-council-agendas
or
Local Cable: RCTV3 Programming
Members of the public wishing to speak during public communication, or a
public hearing will need to dial in to (909)774-2751 to be added to the queue for
public comment.
The City of Rancho Cucamonga thanks you in advance for taking all
precautions to prevent spreading the COVID-19 virus.
If you are an individual with a disability and need a reasonable modification or
accommodation pursuant to the Americans with Disabilities Act ("ADA"), please
contact the City Clerk's Office at (909) 774-2023, 24 hours prior to the meeting
so that the City can make reasonable arrangements.
A CALL TO ORDER
Pledge of Allegiance
Roll Call: Mayor Michael
Mayor Pro Tem Kennedy
Council Members Hutchison, Scott and Spagnolo
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11=INi[OKO 1U1 Tali ki IDL'r_ [01 -Ml
This is the time and place for the general public to address the Fire Protection
District and City Council on any item listed on the agenda. State law prohibits the Fire
Protection District and City Council from addressing any issue not previously included on the
Agenda. The Fire Protection District and City Council may receive testimony and set the
matter for a subsequent meeting.
Comments are to be limited to five minutes per individual or less, as deemed
necessary by the Mayor, depending upon the number of individuals desiring to
speak. All communications are to be addressed directly to the Fire Board, or City Council
not to the members of the audience. This is a professional business meeting and courtesy
and decorum are expected. Please refrain from any debate between audience and speaker,
making loud noises, or engaging in any activity which might be disruptive to the decorum of
the meeting.
C CONSENT CALENDAR - FIRE PROTECTION DISTRICT
C1. Approval to Adopt Annual Statement of Investment Policy. 5
C2. Consideration to Approve the Following to be in Compliance with Governmental
Accounting Standards Board (GASB) Statement No. 54: 1) Updated Fund Balance 32
Policy and 2) a Resolution Committing to the Level of Fiscal Reserves for the Rancho
Cucamonga Fire Protection District.
RESOLUTION FD. 2020-006
RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO CUCAMONGA 34
FIRE PROTECTION DISTRICT, SAN BERNARDINO COUNTY, CALIFORNIA,
COMMITTING TO THE LEVEL OF FISCAL RESERVES FOR THE RANCHO
CUCAMONGA FIRE PROTECTION DISTRICT
D CONSENT CALENDAR - CITY COUNCIL
D1. Consideration to Approve Contract Amendments with PlaceWorks and Civic Solutions 39
and Approve New Contracts with Sargent Town Planning, Susan Harden, Inc, Veronica
Tam, Inc, Fehr & Peers, Ascent Environmental, Atlas Planning and Strategic
Economics for the General Plan Update.
D2. Consideration to Adopt the Capital Improvement Program for Fiscal Year 2020/21. 106
D3. Consideration of a Contract with Elecnor Belco Electric, Inc., in an Amount of 114
$1,169,745, plus a 10% Contingency for the Advanced Traffic Management System
Phase I Project.
D4. Consideration to Authorize an Additional Appropriation in the Amount of $1,300,000 for 119
the Etiwanda Avenue Grade Separation Capital Improvement Project.
D5. Consideration of Approval of Revisions to Amended Fiscal Year 2019/20 121
Appropriations.
D6. Approval to Adopt Annual Statement of Investment Policy.
iP191
D7. Consideration to Approve the Following to be in Compliance with Governmental 150
Accounting Standards Board (GASB) Statement No. 54: 1) Updated Fund Balance
Policy and 2) a Resolution Committing to the Level of Fiscal Reserves for the City of
Rancho Cucamonga.
Page 2
RESOLUTION NO. 2020-059
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, 156
CALIFORNIA, COMMITTING TO THE LEVEL OF FISCAL RESERVES FOR THE CITY
OF RANCHO CUCAMONGA
D8. Consideration to Approve Updated City General Fund Reserve Funding Goals Policy. 157
E CITY MANAGER'S STAFF REPORTS - FIRE DISTRICT
E1. Consideration to Adopt the General Fund Preliminary Budget, Approve a Resolution
162
Adopting the General Fund Appropriations Limit for Fiscal Year 2020/21, and set
Approval of a Final Budget for the July 15, 2020 Board Meeting.
RESOLUTION NO. FD 2020-007
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO CUCAMONGA
164
FIRE PROTECTION DISTRICT, SAN BERNARDINO COUNTY, CALIFORNIA,
ADOPTING A GENERAL FUND APPROPRIATIONS LIMIT FOR FISCAL YEAR
2020/21 PURSUANT TO ARTICLE XIIIB OF THE CALIFORNIA CONSTITUTION
E2. Consideration to Approve Resolutions Adopting a Budget in the Amount of $6,738,900
165
and Approving the Appropriations Limit in the Amount of $16,212,326 for Fiscal Year
2020/21 in Communities Facilities District (CFD) NO. 85-1.
RESOLUTION NO. FD 2020-008
167
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO CUCAMONGA
FIRE PROTECTION DISTRICT, SAN BERNARDINO COUNTY, CALIFORNIA,
APPROVING AND ADOPTING A BUDGET FOR MELLO-ROOS COMMUNITY
FACILITIES DISTRICT NO. 85-1 FOR FISCAL YEAR 2020/21
RESOLUTION NO. FD 2020-009
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO CUCAMONGA 168
FIRE PROTECTION DISTRICT, SAN BERNARDINO COUNTY, CALIFORNIA,
ADOPTING AN APPROPRIATIONS LIMIT FOR MELLO-ROOS COMMUNITY
FACILITIES DISTRICT NO. 85-1 FOR FISCAL YEAR 2020/21 PURSUANT TO
ARTICLE XIIIB OF THE CALIFORNIA CONSTITUTION
E3. Consideration to Approve Resolutions Adopting a Budget in the Amount of $2,468,020 169
and Approving the Appropriation Limit in the Amount of $4,160,749 for Fiscal Year
2020/2021 in Community Facilities District (CFD) No. 88-1.
RESOLUTION NO. FD 2020-010
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO CUCAMONGA 171
FIRE PROTECTION DISTRICT, CITY OF RANCHO CUCAMONGA, COUNTY OF SAN
BERNARDINO, STATE OF CALIFORNIA, APPROVING AND ADOPTING A BUDGET
FOR COMMUNITY FACILITIES DISTRICT NO. 88-1 FOR FISCAL YEAR 2020/21
RESOLUTION NO. FD 2020-011
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO CUCAMONGA 172
FIRE PROTECTION DISTRICT, SAN BERNARDINO COUNTY, CALIFORNIA,
ADOPTING AN APPROPRIATIONS LIMIT FOR COMMUNITY FACILITIES DISTRICT
NO. 88-1 FOR FISCAL YEAR 2020/21 PURSUANT TO ARTICLE XIIIB OF THE
CALIFORNIA CONSTITUTION
F CITY MANAGER'S STAFF REPORTS - CITY COUNCIL
F1. Consideration to Adopt the Fiscal Year 2020/21 Budget and the Article XIIB 173
Appropriations Limit.
RESOLUTION NO. 2020-060
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, 175
CALIFORNIA, ADOPTING THE CITY'S FISCAL YEAR 2020/21 BUDGET
Page 3
RESOLUTION NO NO. 2020-061
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, 177
CALIFORNIA, ESTABLISHING AN APPROPRIATIONS LIMIT PURSUANT TO ARTICLE
XIIIB OF THE CALIFORNIA STATE CONSTITUTION FOR FISCAL YEAR 2020/21
G ADJOURNMENT
CERTIFICATION
I, Linda A. Troyan, MMC, City Clerk Services Director of the City of Rancho Cucamonga, or my designee, hereby certify under penalty
of perjury that a true, accurate copy of the foregoing agenda was posted on at least twenty-four (24) hours prior to the meeting per
Government Code 54954.2 at 10500 Civic Center Drive, Rancho Cucamonga, California and on the City's website.
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DATE: June 25, 2020
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Lori E. Sassoon, Deputy City Manager/Administrative Services
Tamara L. Layne, Finance Director
Sandra G. Ramirez, Department Manager
SUBJECT: APPROVAL TO ADOPT ANNUAL STATEMENT OF INVESTMENT POLICY.
RECOMMENDATION:
The President and Members of the Board of Directors review the Statement of Investment Policy on an
annual basis. It is recommended that the President and Members of the Board of Directors approve
and adopt the attached Statement of Investment Policy for the Rancho Cucamonga Fire Protection
District.
13[44:CcaZe111111L I Ili
California Government Code Section 53646 requires that the Treasurer or Chief Fiscal Officer annually
renders to the President and Members of the Board of Directors a Statement of Investment Policy,
which shall be considered at a public meeting. Further, the President and Members of the Board of
Directors shall also consider any modifications to the investment policy at a public meeting. This year
there have been no changes to State law that would require modifications to the existing investment
policy. However, there are a few minor wording changes. Attached for your review and approval is the
District Treasurer's "Statement of Investment Policy."
ANALYSIS:
The President and Members of the Board of Directors originally adopted a Statement of Investment
Policy in July 1990. The District's Investment Policy and practices are based upon federal, state, and
local law, as well as the prudent investor standard. The primary goals of the District's policy are: 1) to
ensure compliance with all federal, state, and local law governing the investment of monies under the
control of the District Treasurer; 2) to protect the District's assets; and 3) to invest public funds prudently.
The District Treasurer is authorized to invest the District's funds in accordance with the California
Government Code Section 53600 et seq. (the "State Code"), and the investment policy adopted by the
President and Members of the Board of Directors. These funds are accounted for in the City's financial
system and are reported annually in the City's Comprehensive Annual Financial Report (CAFR). The
President and Members of the Board of Directors also receive a monthly investment report as part of
the agenda packet for certain scheduled District meetings. The District continues to maintain an
investment strategy more conservative than required under state law. Additionally, the District Treasurer
and Finance staff regularly monitor legislation, government code amendments, and professional
practices pertaining to investing of public funds, to ensure the District's Annual Statement of Investment
Policy is updated as appropriate.
Page 5
Based on staff's review of the California Debt and Investment Advisory Commission (CDIAC)'s Local
Agency Investment Guidelines (updated for 2020) and consultation with the City's broker/dealers, there
are no substantive changes required for the City's Annual Statement of Investment Policy. As noted in
the background section above, only minor wording changes have been made.
FISCAL IMPACT:
There is no fiscal impact as a result of this action.
COUNCIL GOAL(S) ADDRESSED:
This policy supports the Fire Board's fiduciary role as custodians of the public's resources by providing
guidelines for the prudent investment of the District's idle cash and outlining policies essential to
ensuring the safety and financial strength of the District's investment portfolio.
ATTACHMENTS:
Description
Attachment 1 - Statement of Investment Policy
Page 6
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Class Com
STATEMENT OF INVESTMENT
POLICY
2020
Prepared by the Administrative Services Group
Lori E. Sassoon, Treasurer
Tamara L. Layne, Finance Director
Sandra G. Ramirez, Department Manager
ATTACHMENT 1
Page 7
RANCHO CUCAMONGA FIRE PROTECTION DISTRICT
STATEMENT OF INVESTMENT POLICY
TABLE OF CONTENTS
Introduction........................................................................................................1
Scope..................................................................................................................1
Prudence............................................................................................................2
Objective.........................................................................................................2-3
Delegation of Authority......................................................................................3
Ethics and Conflicts of Interest.........................................................................3-4
Authorized Financial Dealers and Institutions.....................................................4
Authorized and Suitable Investments..............................................................4-8
Review of Investment Portfolio..........................................................................8
InvestmentPools.............................................................................................8-9
Collateralization..................................................................................................9
Safekeeping and Custody....................................................................................9
Diversification...................................................................................................10
Maximum Maturities........................................................................................10
InternalControl................................................................................................10
Performance.....................................................................................................10
Reporting..........................................................................................................11
Investment Policy Adoption..............................................................................12
Glossary.......................................................................................................13-18
Broker/Dealer Questionnaire and Certification.......................................Exhibit A
Summary of Authorized and Suitable Investments .................................. Exhibit B
Page 8
RANCHO CUCAMONGA FIRE PROTECTION DISTRICT
STATEMENT OF INVESTMENT POLICY
1.0 INTRODUCTION
This Statement of Investment Policy ("Policy") provides guidelines for the prudent investment of
the Rancho Cucamonga Fire Protection District's idle cash and outlines the policies essential to
ensuring the safety and financial strength of the District's investment portfolio. The investment
policy is based on the principles of prudent money management and conforms to all federal,
state, and local laws governing the investment of public funds. The goal of the District's
investment policy is to enhance the economic status of the District by protecting its pooled cash
and to invest public funds to:
1. Meet the daily cash flow needs of the District;
2. Comply with all laws of the State of California regarding investment of public funds; and
3. Achieve a reasonable rate of return while minimizing the potential for capital losses
arising from market changes or issuer default.
2.0 SCOPE
The investment policy applies to the investment activities of all funds of the Rancho Cucamonga
Fire Protection District. These funds are accounted for in the City's Comprehensive Annual
Financial Report (CAFR) and include: General Fund, Special Revenue Funds, Debt Service Funds,
Capital Project Funds, Proprietary Funds, as well as Agency Funds and a Private -Purpose Trust
Fund.
Bond proceeds shall be invested in accordance with the requirements and restrictions outlined
in bond documents as approved by the President and Members of the Board of Directors.
Guidelines presented herein are not intended to apply to bond proceeds held by the District or
by fiscal agents or trustees for bondholders of Fire debt. However, investment of bond proceeds
will be no less restrictive than the District's investment of its idle cash.
The District may direct its fiscal agents to invest funds associated with bonds or debt issues
pending disbursement or reinvestment in "money market mutual funds" that are shares of
beneficial interest issued by diversified management companies. The criteria for "money market
mutual funds" are more specifically described in California Government Code § 53601(1).
Statement of Investment Policy Page 1
Page 9
3.0 PRUDENCE
The District Treasurer, the delegated investment officers, and/or his/her appointed designee
operate the District's pooled cash investment program and invest to carefully manage risk and
return. Investments shall be made in a manner consistent with the "prudent investor" standard
for trustees of local government monies, as described in Government Code section 53600.3
which states:
When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing
public funds, a trustee shall act with care, skill, prudence, and diligence under the
circumstances then prevailing, including, but not limited to, the general economic
conditions and the anticipated needs of the agency, that a prudent person acting in a like
capacity and familiarity with those matters would use in the conduct of funds of a like
character and with like aims, to safeguard the principal and maintain the liquidity needs
of the agency.
The District Treasurer, the delegated investment officers, and/or his/her appointed designee
acting in accordance with the investment policy and the "prudent investor" standard and
exercising due diligence shall be relieved of personal responsibility for an individual security's
credit risk or market price changes, provided deviations from expectations are reported in a
timely manner and appropriate action is taken to control adverse developments, whenever
possible.
Investments shall be made with judgment and care, under circumstances then prevailing, which
persons of prudence, discretion, and intelligence exercise in the professional management of
their own affairs, not for speculation, but for investment, considering the probable safety of their
capital as well as the probable income to be derived.
4.0 OBJECTIVE
The objective of the investment portfolio is to meet the short- and long-term cash flow demands
of the District. To achieve this objective, the portfolio will be structured to provide safety of
principal and liquidity, while then providing a reasonable return on investments.
The authority governing investments for municipal governments is set forth in Government Code
Sections 53600 et seq. District strategy has been to limit investments more stringently than
required under state law. The primary objectives of investment activities, in order of priority are:
1. Safety - Safety and risk associated with an investment refers to the potential loss of
principal, interest, or combination thereof. The District only invests in those instruments
that are considered safe. Each investment transaction shall be undertaken in a manner
Statement of Investment Policy
Page 2
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that seeks to ensure, whenever possible, that all capital losses are avoided, whether from
securities default, broker/dealer default, or erosion of market value. The District shall
seek to preserve principal by mitigating two types of risk: credit risk and market risk.
• Credit risk, defined as the risk of loss due to failure of the issuer of a security, shall be
mitigated by investing in only very safe securities and by diversifying the investment
portfolio so that the failure of any one issuer would not unduly harm the District's
cash flow.
• Market risk, defined as the risk of market value fluctuations due to overall changes in
the general level of interest rates, shall be mitigated by structuring the portfolio to
align with the District's anticipated cash flow needs. It is explicitly recognized,
however, that in a diversified portfolio, occasional measured losses may occur and
must be considered within the context of overall investment return and liquidity
needs.
2. Liquidity - Liquidity is an important investment quality especially when the need for
unexpected funds occasionally occurs. The District's investment portfolio will remain
sufficiently liquid to enable the District to meet operating requirements that might be
reasonably anticipated.
3. Yield -The District's investment portfolio shall be designed with the objective of attaining
a reasonable market rate of return throughout budgetary and economic cycles,
commensurate with the District's investment risk constraints as long as it does not
diminish the objectives of Safety and Liquidity.
5.0 DELEGATION OF AUTHORITY
The President and Members of the Board of Directors, as permitted under California Government
Code §53607, delegates the responsibility to manage the Rancho Cucamonga Fire Protection
District's investment portfolio to the District Treasurer. The District Treasurer shall be
responsible for all transactions undertaken and shall establish a system of controls to regulate
the activities of subordinate officials, and their procedures, in the absence of the District
Treasurer. Pursuant to Government Code §1190, the District Treasurer has the authority to
appoint a Deputy Treasurer or designee to act on behalf of the District. The District Treasurer
will provide written authorization in delegating any of his/her authority.
The Treasurer/Deputy Treasurer and employees involved in the investment process shall refrain
from personal business activity that could conflict with proper execution of the investment
Statement of Investment Policy
Page 3
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program, or which could impair their ability to make impartial investment decisions. Employees
and investment officers shall disclose any material financial interest in financial institutions that
conduct business with the District, and they shall further disclose any personal
financial/investment positions that could be affected by the performance of the District's
operations and functions or by the management of the District's investment program. The
Treasurer/Deputy Treasurer and investment employees are required to file annual disclosure
statements as required by the Fair Political Practices Commission (FPPC).
7.0 AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS
The District Treasurer will maintain a list of approved security broker/dealers selected by credit
worthiness who are authorized to provide investment services to the District. The District will
transact business only with approved investment securities broker/dealers that are approved as
an authorized broker/dealer in compliance with the District selection process. The Treasurer shall
request all broker/dealers that wish to do business with the District to provide proof of
capitalization to meet the District's needs and agree to abide by the conditions set forth in this
investment policy. They must have offices in the State of California, provide a current audited
financial statement, proof of Financial Industry Regulatory Authority (FINRA) certification, proof
of State of California registrations, and complete the appropriate City Broker/Dealer
Questionnaire and Certification. The questionnaire used for these processes is attached to this
Investment Policy as Exhibit A.
The District shall at least annually provide a copy of the current investment policy to all
broker/dealers approved to do business with the District. Broker/dealers shall be required to
provide a confirmation certification acknowledging receipt of the policy and submit their most
recent audited financial statements. Confirmation of receipt of this policy shall be considered
evidence that the broker/dealers understands the District's investment policy and agrees to sell
the District only suitable and appropriate investments in compliance with the District's
investment policy.
8.0 AUTHORIZED AND SUITABLE INVESTMENTS
The District is further governed by California Government Code Sections 53600 et. seq. to invest
in specific types of securities. The District has further limited the types of securities in which it
may invest. Any security not listed in Section 8.0 is not a valid investment for the District. The
concise list of approved securities is as follows:
• United States Treasury Securities: United States Treasury Bills, Bonds, and Notes or those
instruments for which the full faith and credit of the United States are pledged for payment
of principal and interest.
Statement of Investment Policy
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Page 12
There is no limit on the percentage of the portfolio that can be invested in this category.
The District shall not invest in any security that exceeds five -years of maturity.
• United States Federal Agencies: Obligations issued by Federal Agencies or United States
government-sponsored enterprise obligations, participations, or other instruments, including
those issued by or fully guaranteed as to principal and interest by federal agencies or United
States government-sponsored enterprises.
There is no limit on the percentage of the portfolio that can be invested in this category. The
District shall not invest in any security that exceeds five -years of maturity.
• Municipals Notes or Bonds: Taxable or tax-exempt bonds, notes, warrants, or other
evidences of indebtedness of a local agency within this state, including bonds payable solely
out of the revenues from a revenue-producing property owned, controlled, or operated by
the local agency, or by a department, board, agency, or authority of the local agency. At the
time of purchase, long term investments must have a minimum rating of either "Al" by
Moody's Investor Services Inc. or "A+" by Standard & Poor's Corporation, the minimum short-
term rating of either "MIG 1" by Moody's Investor Services Inc. or "SP -1" by Standard & Poor's
Corporation. (The minimum rating shall apply to any agency, irrespective of any credit
enhancement).
There is a 30% limit on the percentage of the portfolio that can be invested in this category.
The District shall not invest in any security that exceeds five -years of maturity.
• Certificates of Deposit (Time Deposits): Non-negotiable time deposits, collateralized in
accordance with the California Government Code, may be purchased through banks and
savings and loan associations.
There is no limit on the percentage of the portfolio that can be invested in this category.
The District shall not invest in any security that exceeds five -years of maturity.
• Negotiable Certificates of Deposit: Negotiable certificates of deposit issued by a nationally
or state -chartered bank, a savings association or a federal association, a state or federal credit
union, or by a federally licensed or state -licensed branch of a foreign bank.
There is a 30% limit on the percentage of the portfolio that can be invested in this category.
The District shall not invest in any security that exceeds five -years of maturity.
• Bankers' Acceptances : Bankers' acceptances, otherwise known as bills of exchange
or time drafts, that are drawn on and accepted by a commercial bank.
Statement of Investment Policy
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There is a 40% limit on the percentage of the portfolio that can be invested in this category.
No more than 30% percent of the District's moneys shall be invested in the bankers'
acceptances of any one commercial bank.
The maximum maturity shall not exceed 180 days.
Commercial Paper: Must be of "prime" quality of the highest ranking or of the highest letter
and number rating as provided for by Moody's Investor Services Inc. or Standard & Poor's
Corporation of at least "A" or "A1/P1" is required. Purchases of commercial paper are limited
to no more than 10% of the outstanding commercial paper of any single issuer.
The entity that issues the commercial paper shall meet all the following conditions: (i) is
organized and operating in the United States as a general corporation, (ii) has total assets in
excess of five hundred million dollars ($500,000,000), and (iii) has debt other than
commercial paper, if any, that is rated at least "A" or its equivalent, by a Nationally
Recognized Statistical Rating Organization (NRSRO.)
There is a 25% limit on the percentage of the portfolio that can be invested in this category.
No more than 5% of the cost value of the portfolio at time of purchase may be invested in
Commercial Paper issued by any one corporation. The sum of the par value of the Commercial
Paper and Medium -Term Notes invested in any one corporation or corporate entity shall not
exceed 5% of the cost value of the portfolio at time of purchase.
The maximum maturity shall not exceed 270 days.
• State of California Local Agency Investment Fund (LAIF): The Local Agency Investment Fund
(LAIF) is a State of California managed investment pool established by the State Treasurer for
the benefit of local agencies.
There is no limit on the percentage of the portfolio that can be invested in this category. The
maximum investment in LAIF accounts is dependent upon limits established under the Local
Agency Investment Fund guidelines and not Government Code.
Joint Powers Authority (JPA) Investment Pool: Investment Trust of California (CaITRUST).
CalTRUST accounts have been created to facilitate the centralization of the investment
management function on behalf of California local agencies through a partnership between
the California State Association of Counties and the League of California Cities.
There is no limit on the percentage of the portfolio that can be invested in this category.
The District shall not invest in any security that exceeds five -years of maturity.
Deposit of Funds: "Depository" means a state or national bank, savings association or federal
association, a state or federal credit union, or a federally insured industrial loan company, in
Statement of Investment Policy
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this state in which the moneys of a local agency are deposited. Deposits in banks or other
depository institutions may be in demand accounts (checking), savings accounts, market rate
accounts, and time deposits. California law requires that public deposits in banks be insured
by the Federal Deposit Insurance Corporation (FDIC) or, to the extent not insured,
collateralized with certain types of securities.
There is no limit on the percentage of the portfolio that can be invested in this category.
• Repurchase Agreements (Repos): An executed Master Repurchase Agreement is required
between the Rancho Cucamonga Fire Protection District and the broker dealer or financial
Institution. The market value of securities that underlies a repurchase agreement shall be
valued at 102 percent or greater of the funds borrowed against those securities and the value
shall be adjusted no less than quarterly.
There is a 20% limit on the percentage of the portfolio that can be invested in this category.
The maximum maturity shall not exceed one year of maturity.
• Medium -Term Notes: Medium -Term Notes are defined as all corporate and depository
institution debt securities. They must be issued by corporations organized and operating
within the United States. Notes eligible for investment shall be rated "AA" or better by
Moody's Investor Services Inc. or Standard & Poor's Corporation
There is a 30% limit on the percentage of the portfolio that can be invested in this category.
No more than 5% of the cost value of the portfolio at time of purchase may be invested in
notes issued by any one corporation. The sum of the par value of the Medium -Term Notes
and Commercial Paper invested in any one corporation or corporate entity shall not exceed
5% of the cost value of the portfolio at time of purchase.
The District shall not invest in any security that exceeds five -years of maturity.
• Supranational Securities: United States dollar denominated senior unsecured
unsubordinated obligations issued or unconditionally guaranteed by the International Bank
for Reconstruction and Development, International Finance Corporation, or Inter -American
Development Bank. The maximum remaining maturity for supranational obligations must be
five years or less, and they must be eligible for purchase and sale within the United States.
These investments must be rated in a rating category of "AA" or better by a NRSRO.
There is a 30% limit on the percentage of the portfolio that can be invested in this category.
The District shall not invest in any security that exceeds five -years of maturity.
• Investment Agreements: Investment agreements, guaranteed investment contracts,
funding agreements, or any other form of corporate note which represents the unconditional
Statement of Investment Policy
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obligation of one or more banks, insurance companies or other financial institutions, or are
guaranteed by a financial institution, which has an unsecured rating, or which agreement is
itself rated, as of the date of execution thereof, in one of the two highest rating categories by
two or more rating agencies; or, which are collateralized at least 100% with U.S. Government
securities.
There is a 5% limit on the percentage of the portfolio that can be invested in this category.
Percentage limits for Investment Agreements are not intended to apply to bond funds held
by the District or by Fiscal Agents or Trustees, in which investment of such funds is under the
District's control or direction.
See summary table of "Authorized and Suitable Investments" at Exhibit B.
9.0 REVIEW OF INVESTMENT PORTFOLIO
The securities held by the Rancho Cucamonga Fire Protection District must be in compliance with
Section 8.0 "Authorized and Suitable Investments" at the time of purchase. If, subsequent to the
date of purchase, a security is determined to be no longer in compliance with Section 8.0, the
District Treasurer shall report the non-compliant security to the President and Members of the
Board of Directors and shall include a disclosure in the monthly Investment Report if the security
is held at the date the report is prepared.
The City's external, independent auditors perform an annual review of the District's Investment
Policy, investment process, and related internal controls. The annual review process is
performed as part of the City's annual external financial audit.
10.0 INVESTMENT POOLS
The Local Agency Investment Fund (LAIF) is a voluntary investment alternative for California's
local governments and special districts authorized by the California Government Code. LAIF is a
State of California managed investment pool established by the State Treasurer for the benefit
of local agencies.
The District's participation in LAIF was approved by the President and Members of the Board of
Directors with other authorized investments in July 1990. It is a permitted investment with the
knowledge that the fund may invest in some vehicles allowed by statute but not otherwise
authorized under the District's authorized investments. All securities in LAIF are purchased under
the authority of Government Code Sections 16430 and 16480. All investments are purchased at
market value, and market valuation is conducted monthly.
Statement of Investment Policy
Page 8
Page 16
The District may also invest in shares of beneficial interest issued by a joint powers authority
("JPA") organized pursuant to Section 6509.7 of the California Government Code that invests in
the securities and obligations specified in the code and which shall retain an investment advisor
that meets the following criteria:
1. Be registered or exempt from registration with the Securities and Exchange Commission;
2. Have assets under management in excess of five hundred million dollars, ($500,000,000),
and
3. Have not less than five (5) years of experience investing in the securities and obligations
authorized herein.
11.0 COLLATERALIZATION
All demand deposits, time deposits and certificates of deposits that are not insured by the Federal
Deposit Insurance Corporation (FDIC) must be fully collateralized in accordance with Government
Code Section 53601.
IM911E&AdJ" 10IisLff-AisM41111%LOORM
To protect against potential losses by the collapse of individual securities dealers, all trades will
be transacted on a delivery -versus -payment (DVP) basis. This means that the securities shall be
delivered to the District's designated custodian upon receipt of the payment by the District. The
securities shall be held in safekeeping by a third -party custodian, acting as agent for the District
under the terms of a custody agreement executed by the bank and District. The third -party
custodian shall be required to issue a monthly safekeeping report to the District that lists the
specific investment, rate, maturity and other pertinent information.
The only exception to the foregoing shall be depository accounts and security purchases made
with investment pools and certificates of deposit since the purchased securities are not
deliverable. Evidence of these investments will be held in the City's vault. No outside
broker/dealer or advisor may have access to District funds, accounts or investments, and any
transfer of funds to or through an outside broker/dealer must be approved by the District
Treasurer/Deputy Treasurer.
The District strives to maintain the level of investment of all funds as near 100% as possible,
through daily and projected cash flow determinations. Idle cash management and investment
transactions are the responsibility of the District Treasurer.
Statement of Investment Policy Page 9
Page 17
13.0 DIVERSIFICATION
It is the policy of the District to diversify its investment portfolio. Assets shall be diversified to
eliminate the risk of loss resulting from over -concentration of assets in a specific issuer, security
type, and maturities. Diversification strategies shall be determined and revised periodically. The
purpose of diversifying is to reduce overall portfolio risks while attaining an average market rate
of return; therefore, it needs to be conceptualized in terms of maturity, instrument types and
issuer.
14.0 MAXIMUM MATURITIES
To the extent possible, the District will attempt to match security maturities to anticipated cash
flow requirements. The maximum maturity of individual investments shall not exceed a maturity
of five years from the settlement date unless the President and Members of the Board of
Directors has granted authority to make that investment either specifically or as a part of an
investment program approved by the Board.
15.0 INTERNAL CONTROL
The District Treasurer and/or his/her appointed designee shall establish an annual process of
independent review by an external auditor. This review will provide internal control by assuring
compliance with policies and procedures set forth in this Investment Policy. Also, see Section 9.0
of this Policy.
16.0 PERFORMANCE
The investment performance of the District's operating portfolio shall be evaluated and
compared to an appropriate benchmark in order to assess the success of the investment program
relative to the District's Safety, Liquidity, and Yield objectives. This review will be conducted
annually with the District's Treasurer, and Finance Director and, if necessary, consider making
adjustments to future investment strategies as market conditions permit.
Statement of Investment Policy Page 10
Page 18
17.0 REPORTING
The District Treasurer shall prepare and submit a monthly investment report to the President and
Members of the Board of Directors and City Manager, which shall include all securities, excluding
those held by and invested through trustees. The report shall include the following:
• The type of investment, name of the issuer, date of purchase, date of maturity, par and dollar
amount invested in all securities.
• The weighted average maturity of the investments.
• Any funds, investments, or programs including loans that are under the management of
contracted parties.
• A description of the compliance with the Statement of Investment Policy.
• A statement of the District's ability to meet its pooled expenditure requirements for the next
six months or provide an explanation as to why sufficient money shall, or may not be
available.
• The investment portfolio report shall include current market value information for all
investments. A monthly market value will be obtained for each security owned by the District.
For purposes of reporting, the market value of each security may be obtained from the
District's custodian bank or other pricing source(s) utilized by the District's approved brokers.
The District Treasurer shall be responsible for reviewing and modifying investment guidelines as
conditions warrant and is required to submit same for re -approval to the President and Members
of the Board of Directors on an annual basis with or without changes. However, the District
Treasurer may, at any time, further restrict the items approved for purchase as deemed
appropriate.
The basic premise underlying the District's investment philosophy is, and will continue to be, to
ensure that money is always safe and available when needed.
Statement of Investment Policy Page 11
Page 19
18.0 INVESTMENT POLICY ADOPTION
The Rancho Cucamonga Fire Protection District's Investment Policy shall be reviewed and
approved annually by the President and Members of the Board of Directors. Any modifications
made to the Investment Policy must be approved by the President and Members of the Board of
Directors.
Lori E. Sassoon Date
Treasurer
Rancho Cucamonga Fire Protection District
Statement of Investment Policy
Page 12
Page 20
GLOSSARY OF TERMS
AGENCIES: Agencies of or sponsored by the Federal government setup to supply credit to various
classes of institutions. Examples include Federal Home Loan Banks (FHLB), Federal Farm Credit
Bank (FFCB), Federal Home Loan Mortgage Corporation (FHLMC), Federal National Mortgage
Association (FNMA) and Sallie Mae.
ASKED: The price at which securities are offered by a selling party to a buying party.
BANKERS' ACCEPTANCE (BA): A draft, bill, or exchange accepted by a bank or trust company.
The accepting institution guarantees payment of the bill, as well as the issuer.
BASIS POINT: One basis point is one-hundredth of a percent (i.e., 0.01%).
BEAR MARKET: A period of generally pessimistic attitudes and declining market prices.
BENCHMARK: A comparative base for measuring the performance or risk tolerance of the
investment portfolio. A benchmark should represent a close correlation to the level of risk and
the average duration of the portfolio's investments.
BID: The price offered by a buyer of securities. (When selling securities, you ask for a bid.)
BOND EQUIVALENT YIELD: The basis on which yields on notes and bonds are quoted.
BOOK VALUE (COST VALUE): The value at which a debt security is shown on the holder's balance
sheet. Book value is acquisition cost less amortization of premium or accretion of discount.
BROKER/DEALER: An individual or firm that brings buyers and sellers together in a securities
transaction.
BULL MARKET: A period of generally optimistic attitudes and increasing market prices.
CALLABLE SECURITIES: A security that is redeemable by the issuer before the scheduled maturity.
Bonds are usually called when the interest rates fall so significantly that the issuer can save
money by floating new bonds at lower rates.
CERTIFICATE OF DEPOSIT (CD): A time deposit with a specific maturity evidenced by a Certificate.
Large denomination CD's are typically negotiable.
Statement of Investment Policy Page 13
Page 21
COLLATERAL: Securities, evidence of deposit or other property, which a borrower pledges to
secure repayment of a loan. Also, refers to securities pledged by a bank to secure deposits of
public monies.
COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR): The official annual report of the City of
Rancho Cucamonga. It includes five combined statements for each individual fund and account
group prepared in conformity with Generally Accepted Accounting Principles (GAAP). It also
includes supporting schedules necessary to demonstrate compliance with GAAP, finance -related
legal and contractual provisions, extensive introductory material, and a detailed Statistical
Section.
CORPORATE MEDIUM-TERM NOTE: Corporate and depository institution debt securities with a
maximum remaining maturity of five years or less, issued by corporations organized and
operating within the United States or by depository institutions licensed by the United States or
any state and operating within the United States.
COUPON: (a) The annual rate of interest that a bond's issuer promises to pay the bondholder on
the bond's face value. (b) A certificate attached to a bond evidencing interest due on a payment
date.
DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling
for his own account.
DEBENTURE: A bond secured only by the general credit of the issuer.
DELIVERY VERSUS PAYMENT (DVP): Delivery of securities with a simultaneous exchange of
money for the securities.
DERIVATIVES: Financial products dependent for their value on (or derived from) an underlying
financial instrument, a commodity, or an index.
DISCOUNT: The difference between the cost price of a security and its maturity when quoted at
lower than face value. A security selling below original offering price shortly after sale also is at
a discount.
DISCOUNT SECURITIES: Non-interest bearing, money market instruments that are issued at a
discount and redeemed at maturity for full face value, e.g. U.S. Treasury Bills.
DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent
returns.
Statement of Investment Policy
Page 14
Page 22
FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A federal agency that insures bank
deposits up to $250,000 per deposit.
FEDERAL FUNDS RATE: The interest rate charged by one institution lending federal funds to
another.
FEDERAL HOME LOAN BANKS (FHLB): Government sponsored wholesale banks (currently 12
regional banks), which lend funds and provide correspondent banking services to member
commercial banks, thrift institutions, credit unions and insurance companies. The mission of the
FHLBs is to liquefy the housing related assets of its members who must purchase stock in their
district bank.
FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA): FNMA, like GNMA was chartered under
the Federal National Mortgage Association Act in 1938. FNMA is a federal corporation working
under the auspices of the Department of Housing and Urban Development (HUD). It is the largest
single provider of residential mortgage funds in the United States. Fannie Mae, as the
corporation is called, is a private stockholder -owned corporation. The corporation's purchases
include a variety of adjustable mortgages, second loans, and fixed-rate mortgages. FNMA's
securities are also highly liquid and are widely accepted. FNMA assumes and guarantees that all
security holders will receive timely payment of principal and interest.
FEDERAL OPEN MARKET COMMITTEE (FOMQ Consists of seven members of the Federal
Reserve Board and five of the twelve Federal Reserve Bank Presidents. The President of the New
York Federal Reserve Bank is a permanent member, while the other Presidents serve on a rotating
basis. The Committee periodically meets to set Federal Reserve guidelines regarding purchases
and sales of Government Securities in the open market to influence the volume of bank credit
and money.
FEDERAL RESERVE SYSTEM: The central bank of the United States created by Congress and
comprising a seven -member Board of Governors in Washington, D.C., 12 regional banks and
about 5,700 commercial banks that are members of the system.
GOVERNMENTAL ACCOUNTING STANDARDS BOARD (GASB): The independent organization
that establishes and improves standards of accounting and financial reporting for the United
States, state and local governments.
Statement of Investment Policy Page 15
Page 23
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae): Securities
influencing the volume of bank credit guaranteed by GNMA and issued by mortgage bankers,
commercial banks, savings and loan associations, and other institutions. Security holder is
protected by full faith and credit of the U.S. Government. Ginnie Mae securities are backed by
the FHA, VA, or FMHM mortgages. The term "pass-through" is often used to describe Ginnie
Maes.
INVESTMENT AGREEMENTS: An agreement with a financial institution to borrow public funds
subject to certain negotiated terms and conditions concerning collateral, liquidity and interest
rates.
LIQUIDITY: A liquid asset is one that can be converted easily and rapidly into cash without a
substantial loss.
LOCAL AGENCY INVESTMENT FUND (LAIF): The aggregate of all funds from political subdivisions
that are placed in the custody of the State Treasurer for investment and reinvestment.
MARKET VALUE: The price at which a security is trading and could presumably be purchased or
sold.
MARKET RATE OF RETURN: A rate of return commensurate with the market for similar securities
(maturity, credit rating, duration and liquidity) would be considered a market rate of return.
MASTER REPURCHASE AGREEMENT: A written contract covering all future transactions between
the parties to repurchase—reverse, repurchase agreements that establishes each party's rights in
the transactions. A master agreement will often specify, among other things, the right of the
buyer -lender to liquidate the underlying securities in the event of default by the seller -borrower.
MATURITY: The date upon which the principal or stated value of an investment becomes due
and payable.
MONEY MARKET: The market in which short-term debt instruments (bills, commercial paper,
bankers' acceptances, etc.) are issued and traded.
NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION (NRSRO): A credit rating
agency that provides credit ratings that are used by the U.S. government and investors as
benchmarks. Examples include Standard & Poor's Corporation, Moody's Investor Services, Inc.
and Fitch, Inc.
OFFER: The price asked by a seller of securities. (When buying securities, you ask for an offer.)
Statement of Investment Policy
Page 16
Page 24
OPEN MARKET OPERATIONS: Federal Reserve activity. Under the Federal Reserve Act, the Fed
uses purchases and sales of Government and Federal Agency securities to add to or subtract from
commercial bank reserves. Goals are to sustain economic growth, high employment and
reasonable price stability.
PAPER GAIN OR LOSS: Term used for unrealized gain or loss on securities being held in a portfolio
based on comparison of current market quotes and their original cost. This situation exists if the
security is held while there is a difference between cost value (book value) and the market value.
PORTFOLIO: Collection of securities held by an investor.
PRIMARY DEALER: A group of government securities dealers who submit daily reports of market
activity, positions and monthly financial statements to the Federal Reserve Bank of New York and
are subject to its informal oversight. Primary dealers include Securities and Exchange
Commission (SEC) registered securities broker/dealers, banks and a few unregulated firms.
PRUDENT INVESTOR STANDARD: An investment standard to be followed by those authorized to
make investment decisions on behalf of a local agency. Those authorized shall act with care, skill,
prudence, and diligence under the circumstances then prevailing, including, but not limited to,
the general economic conditions and the anticipated needs of that agency.
RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current
market price. This may be the amortized yield to maturity on a bond; the current income return.
SAFEKEEPING: The service to customers by banks and trust companies when the bank or trust
company stores the securities for protection, receives coupon payments and redeems issues at
maturity.
SECONDARY MARKET: A market made for the purchase and sale of outstanding issues following
the initial distribution of securities.
SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protect investors in
securities transactions by administering securities legislation.
SEC RULE 15(C) 3-1: See Uniform Net Capital Rule.
SUPRANATIONALS: Development banks that share the same goal of providing an improved
standard of living in their member countries, but each having different mandates. There are
three banks (supranationals) in which California local agencies can invest in their debt
obligations; the International Bank for Reconstruction and Development (IBRD), International
Finance Corporation (IFC) and Inter -American Development Bank (IADB).
Statement of Investment Policy Page 17
Page 25
TREASURY BILLS: A non-interest bearing discount security issued by the U.S. Treasury to finance
the national debt. Most bills are issued to mature in three months, six months, or one year.
TREASURY BONDS: Long-term coupon -bearing U.S. Treasury securities issued as direct
obligations of the U.S. Government and having initial maturities of over 10 years.
TREASURY NOTES: Medium-term coupon -bearing U.S. Treasury securities issued as direct
obligations of the U.S. Government and having initial maturities from one to 10 years.
UNIFORM NET CAPITAL RULE: Securities and Exchange Commission requirement that member
firms as well as nonmember broker-dealers in securities maintain a maximum ratio of
indebtedness to liquid capital of 15-1; also, called net capital rule and net capital ratio.
Indebtedness covers all money owed to a firm, including margin loans and commitments to
purchase securities. Liquid capital includes cash and assets easily converted to cash without
penalty.
YIELD: The rate of annual income return on an investment, expressed as a percentage.
YIELD TO MATURITY: The current income yield on an investment, minus any premium above
par, or plus any discount from par in the purchase price with the adjustment spread over the
period from date of purchase to maturity of the bond.
Statement of Investment Policy
Page 18
Page 26
Exhibit A
BROKER/DEALER QUESTIONNAIRE AND CERTIFICATION
1. Firm Name:
2. Address:
3. Phone Number:
4. Website Address:
5. Primary Broker Representative:
Name: Years in Institutional Sales:
Title: Years with Firm:
Phone Number:
Email Address:
6. Please provide the name and title of the immediate supervisor and/or other brokers that will be
interfacing with the City/District in the primary broker's absence:
Name: Years in Institutional Sales:
Title: Years with Firm:
Phone Number:
Email Address:
Name:
Title:
Phone Number:
Email Address:
Years in Institutional Sales:
Years with Firm:
7. Has the broker/dealer listed in No. 5 been authorized by the firm to be a broker for the
City/District of Rancho Cucamonga? Yes No
8. Please provide the following information regarding three comparable public agency clients with
whom the broker has an established relationship that we may contact for a reference. The
City/District prefers public sector clients in the City's geographical area, if possible.
Public Agency Name
Contact Name/Title
Phone Number
Email Address
Length of Relationship
Page 27
Public Agency Name
Contact Name/Title
Phone Number
Email Address
Length of Relationship
Public Agency Name
Contact Name/Title
Phone Number
Email Address
Length of Relationship
9. Place an "X" by each of the instruments below in which you make an active market (both buy and
sell):
[ ] U.S. Treasuries [ ] Bankers' Acceptances
[ ] Federal Agencies [ ] Commercial Paper
[ ] Mutual Funds [ ] Certificates of Deposit
[ ] Corporate Notes [ ] Municipals
[ ] Medium Term Notes [ ] Supranationals
[ ] Repurchase Agreements
10. Does your firm specialize in any of the instruments listed above? If so, please specify which ones.
11. Please briefly describe any ancillary services that your firm would provide to the City/District as
an authorized broker/dealer?
12. To the best of your knowledge, within the last five years, has your firm ever been subject to a
regulatory, state, or federal agency investigation for alleged improper, fraudulent, disreputable
or unfair activities related to the sale of securities? Have any of your employees been
investigated? If so, please briefly describe each such matter below or, if necessary, provide as an
attached addendum:
13. Please provide the following with this Broker/Dealer Questionnaire and Certification:
• Firm's most recent Audited Financial Statement
• FINRA Report for primary broker/dealer and alternate
• California Registration
Page 28
CERTIFICATION
I hereby certify that I have personally read the City of Rancho Cucamonga and the Rancho
Cucamonga Fire Protection District's Investment Policies and the California Government Codes
pertaining to the authorized and suitable investments of the City of Rancho Cucamonga and the
Rancho Cucamonga Fire Protection District; that I will only offer such authorized and suitable
investments for sale to the City of Rancho Cucamonga and the Rancho Cucamonga Fire Protection
District; that the above information is true and correct to the best of my knowledge; and that
am authorized to execute this request for information on behalf of
(name of firm).
Signed
Print Name
Title
Date
This certification must be countersigned by the Company president or person in charge of
government securities operations.
Signed
Print Name
Title
Date
Page 29
Exhibit B
SUMMARY OF AUTHORIZED AND SUITABLE INVESTMENTS
Statement of Investment Policy
Page 1
Page 30
MAXIMUM SPECIFIED
MINIMUM QUALITY
INVESTMENTTYPE
OF PORTFOLIO
MAXIMUM MATURITY
REQUIREMENTS
United States Treasury
Securities
None
5 years
None
United States Federal
Agencies
None
5 years
None
Municipals Notes or
30%
5 years
ST— Rating of either "MIG
Bonds
1" by Moody's or "SP -1" by
S&P
LT— Rating of either "Al"
by Moody's or "A"+ by S &
P
Certificates of Deposit
Must be collateralized in
(Time Deposits)
None
5 years
accordance with California
Government Code
Negotiable Certificates
30%
5 years
Issued by a nationally or
of Deposit
state -chartered bank, a
savings association or a
federal association, a state
or federal credit union, or
by a federally licensed or
state -licensed branch of a
foreign bank
Bankers' Acceptances
40%
180 days
No more than 30% of the
District's money may be
invested in the bankers'
acceptances of any one
commercial bank
Commercial Paper
25%
270 days or less
Must be of "prime" quality
of the highest ranking or of
the highest letter and
number rating as provided
for by Moody's or S & P of
at least "A" or "A1/131" is
required. Limited to no
more than 10% of the
outstanding commercial
paper of any single issuer.
No more than 5% issued by
any one corporation. (See
Section 8 of Investment
Policy)
State of California Local
None
None (Daily Liquidity)
See Section 8 of Investment
Agency Investment
Maximum investment:
Policy
Fund (LAIF)
$75 million
Statement of Investment Policy
Page 1
Page 30
ST - Short -Term
LT - Long -Term
NRSRO - Nationally Recognized Statistical Rating Organization
Statement of Investment Policy
Page 2
Page 31
MAXIMUM SPECIFIED
MINIMUM QUALITY
INVESTMENT TYPE
OF PORTFOLIO
MAXIMUM MATURITY
REQUIREMENTS
Joint Powers Authority
(JPA) Investment Pool
None
5 years
None
Deposit of Funds
None
None
Required to be
collateralized as specified
under Government Code
Sec. 53630 et. Seq.
Repurchase
20%
1 year
The market value of
Agreements (Repos)
securities that underlies a
repurchase agreement
shall be valued at 102% or
greater of the funds
borrowed against those
securities and the value
shall be adjusted no less
than quarterly
Medium -Term Notes
30%
5 years
Rating of "AA" or better by
Moody's or S & P. No more
than 5% issued by any one
corporation. (See Section 8
of Investment Policy)
Supranational
Rating of "AA" or better by
30% o
5 years or less
Securities
a NRSRO
Investment
See Section 8 of Investment
Agreements
5%
None
Policy
ST - Short -Term
LT - Long -Term
NRSRO - Nationally Recognized Statistical Rating Organization
Statement of Investment Policy
Page 2
Page 31
DATE: June 25, 2020
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Tamara L. Layne, Finance Director
SUBJECT: CONSIDERATION TO APPROVE THE FOLLOWING TO BE IN COMPLIANCE
WITH GOVERNMENTAL ACCOUNTING STANDARDS BOARD (GASB)
STATEMENT NO. 54: 1) UPDATED FUND BALANCE POLICY AND 2) A
RESOLUTION COMMITTING TO THE LEVEL OF FISCAL RESERVES FOR
THE RANCHO CUCAMONGA FIRE PROTECTION DISTRICT.
RECOMMENDATION:
It is recommended that the Fire Board approve the following to be in compliance with Governmental
Accounting Standards Board (GASB) Statement No. 54: 1) updated Fund Balance Policy and 2) a
resolution committing to the level of fiscal reserves for the Rancho Cucamonga Fire Protection District.
BACKGROUND:
On a regular basis, the Governmental Accounting Standards Board (GASB) adopts new policies and
procedures that apply to public entities. In February 2009, GASB issued Statement No. 54 which
applies to Fund Balance Reporting and Governmental Fund Type Definitions (GASB 54). Since 2011,
in order to be in compliance with GASB 54, the Fire District has approved a Fund Balance Policy and a
resolution committing to the level of reserves for the Rancho Cucamonga Fire Protection District.
ANALYSIS:
In order to accommodate any changes to these commitments that may become necessary due to
changes in operations or changes in City Council goals, staff annually brings this policy and resolution
before the Board for approval at the end of each fiscal year. The following updates (City- and District -
related) have been made to the policy:
• A new assigned fund balance was created for Community Services Programs -Recreation. The fund
balance is assigned for non-recurring costs to support community services programs, including a wide
variety of classes, special events, and recreational activities sponsored by the Community Services
Department.
• A new assigned fund balance was created for Community Services Programs -Cultural Arts. The fund
balance is assigned for non-recurring costs to support community services programs, including a wide
variety of classes, theatrical performances, and cultural activities sponsored by the Community
Services Department.
The initial funding of these assigned fund balances resulted from the combining of the Department's
recreational and cultural activities that were accounted for in separate Special Funds into the General
Fund effective with the Fiscal Year 2020/21 Budget. All fund balances remaining in the Recreation
Services Fund and Victoria Gardens Cultural Center Fund as of June 30, 2020 will be closed out to the
City's General Fund as the two reserves noted above.
Page 32
No updates were required for District -related reserves.
The Fund Balance Policy provides guidelines for building Fire District reserves in support of future
needs for capital replacement, resiliency in the event of an economic downturn, and planned
enhancements to the services and facilities available to the citizens of Rancho Cucamonga.
The Fund Balance Policy is presented to the Fire Board for review and approval. The attached
Resolution formally establishes the Fire District's fund balance commitments for the fiscal year ending
June 30, 2020.
FISCAL IMPACT:
None.
COUNCIL GOAL(S) ADDRESSED:
Not applicable.
ATTACHMENTS:
Description
Attachment 2 - Resolution
Attachment 1 - Fund Balance Policy
Page 33
RESOLUTION NO. FD 20 -XXX
RESOLUTION OF THE BOARD OF DIRECTORS OF THE
RANCHO CUCAMONGA FIRE PROTECTION DISTRICT, SAN
BERNARDINO COUNTY, CALIFORNIA COMMITTING TO THE
LEVEL OF FISCAL RESERVES FOR THE RANCHO
CUCAMONGA FIRE PROTECTION DISTRICT
WHEREAS, the Rancho Cucamonga Fire Protection District Board desires to protect
existing services, and;
WHEREAS, the Rancho Cucamonga Fire Protection District Board desires to be prepared
for emergencies, and;
WHEREAS, the Rancho Cucamonga Fire Protection District Board desires to maintain
good fiscal management and fiscal structure to operate a municipal corporation;
NOW, THEREFORE, the Board of Directors of the Rancho Cucamonga Fire Protection
District, San Bernardino, California does hereby resolve on this 25th day of June 2020 that the
level of fiscal reserves maintained by the Rancho Cucamonga Fire Protection District as of fiscal
year end are committed to the goals as outlined in the District's Fund Balance policy, attached to
this resolution as Exhibit A.
PASSED, APPROVED, AND ADOPTED this 25th day of June 2020.
Resolution No. FD 20 -XXX ATTACHMENT 2
Page 34
ATTACHMENT
CUCAMONGA
- 140p- RANCHO CUCAMONGA FIRE
PROTECTION DISTRICT
FUND BALANCE POLICY
POLICY NO.: -_
EFFECTIVE: June 15, 2011
REVISED: June 22, 2020
APPROVED:
PURPOSE
This Fund Balance Policy establishes the procedures for the reporting of unrestricted fund
balance in the City General Fund and Fire District financial statements. Certain commitments
and assignments of fund balance will help ensure that there will be adequate financial resources
to protect the City against unforeseen circumstances and events such as revenue shortfalls and
unanticipated expenditures. The policy also authorizes and directs the Finance Director to
prepare financial reports which accurately categorize fund balance as per Governmental
Accounting Standards Board (GASB) Statement No. 54, Fund Balance Reporting and
Governmental Fund Type Definitions.
GENERAL POLICY
Fund balance is essentially the difference between the assets and liabilities reported in a
governmental fund. There are five separate components of fund balance, each of which identifies
the extent to which the City/Fire District is bound to honor constraints on the specific purposes for
which amounts can be spent.
• Nonspendable fund balance (inherently nonspendable)
• Restricted fund balance (externally enforceable limitations on use)
• Committed fund balance (self-imposed limitations on use)
• Assigned fund balance (limitation resulting from intended use)
• Unassigned fund balance (residual net resources)
The first two components listed above are not addressed in this policy due to the nature of their
restrictions. An example of nonspendable fund balance is inventory. Restricted fund balance is
either imposed by law or constrained by grantors, contributors, or laws or regulations of other
governments. This policy is focused on financial reporting of unrestricted fund balance, or the
last three components listed above. These three components are further defined below.
Committed Fund Balance
The City Council (which also acts as the Board of Directors for the Rancho Cucamonga Fire
Protection District), as the City's highest level of decision-making authority, may commit fund
Page 35
FUND BALANCE POLICY
PAGE 2OF4
balance for specific purposes pursuant to constraints imposed by formal actions taken, such as
an ordinance or resolution. These committed amounts cannot be used for any other purpose
unless the City Council/Fire Board removes or changes the specified use through the same type
of formal action taken to establish the commitment. City Council/Fire Board action to commit fund
balance needs to occur within the fiscal reporting period; however, the amount can be determined
subsequently.
• Changes in Economic Circumstances
The City's General Fund balance committed for changes in economic circumstances is
established at a goal of a nine month reserve, or 75% of the City General Fund operating
budget for the upcoming fiscal year. The Fire District's fund balance committed for
changes in economic circumstances is established at a goal of a nine month reserve, or
75% of the Fire District's operating budget for the upcoming fiscal year. The specific uses
of this commitment include: 1) the declaration of a state or federal state of emergency or
a local emergency as defined in Rancho Cucamonga Municipal Code Section 2.36.020;
or 2) a change in economic circumstances in a given fiscal year that results in revenues
to the City/Fire District being insufficient to cover expenditures for one or more fiscal years.
The City Council/Fire Board may, by the affirming vote of four members, change the
amount of this commitment and/or the specific uses of these monies.
• City Facilities Capital Repair
The City's General Fund balance committed for City facilities capital repair and property
acquisition is established at a minimum goal of 50% of capital assets value comprised of
construction in progress (excluding infrastructure), building improvements, and
improvements other than building for governmental activities, excluding assets owned by
the Rancho Cucamonga Fire Protection District.
• Fire District Facilities Capital Repair
The Fire District's fund balance committed for the Fire District facilities capital repair is
hereby committed to a minimum goal of 50% of capital assets value comprised of
construction in progress (excluding infrastructure), building improvements, and
improvements other than building for public safety -fire activities.
• Working Capital
The City's General Fund balance committed for Working Capital is established at a goal
of a minimum of 5% of the City's General Fund operating budget for the upcoming fiscal
year. The Fire District's fund balance committed for Working Capital is established at a
goal of a minimum of 50% of the District's operating budget for the upcoming fiscal year.
• Self -Insurance
The City's General Fund balance and the Fire District's fund balance committed for
payment of Workers' Compensation, General Liability, and Employment Practices Liability
claims is established at a minimum goal of eight times the City's and the District's total
yearly SIRs for all types of insurance coverage.
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FUND BALANCE POLICY
PAGE 3OF4
• PASIS Workers' Compensation Tail Claims
The Fire District's fund balance committed for payment of outstanding Workers'
Compensation claims remaining after the District's withdrawal from PASIS is established
at a goal equal to the most recent fiscal year end Claims Cost Detail Report from the
District's third -party administrator plus 15%.
• Employee Leave Payouts
The City's General Fund balance and the Fire District's fund balance committed for
employee leave payouts as valued in accordance with the City's labor contracts as of the
last day of the fiscal year.
• Vehicle and Equipment Replacement
The Fire District's fund balance committed for the replacement of fire safety vehicles and
equipment as determined based on the District's replacement criteria is established at a
minimum goal of 50% of District vehicle and equipment replacement value.
• Law Enforcement
The City's General Fund balance committed for public safety purposes, including
operations, equipment, capital outlay, capital facilities, personnel, and booking fees. The
funding goal for this reserve is the equivalent of 100% of the most recently approved
Schedule A from the San Bernardino County Sheriff's Department.
Assigned Fund Balance
Amounts that are constrained by the City/Fire District's intent to be used for specific purposes,
but are neither restricted nor committed, should be reported as assigned fund balance. This policy
hereby delegates the authority to assign amounts to be used for specific purposes to the City
Manager and/or Finance Director for the purpose of reporting these amounts in the annual
financial statements. The following are a few non-exclusive examples of assigned fund balance.
• Economic and Community Development Special Services
The City's General Fund balance assigned for contracts, special services, or projects
associated with Economic and Community Development (ECD) special projects or ECD
initiatives/Council goals (such as economic strategy and Development Code contract
services) as well as a one-year value of staffing costs for Planning, Building and Safety,
and Engineering (not including capital and project management).
• Annexation, Habitat Mitigation and Sphere of Influence Issues
Established to provide funds for a multi-year effort to analyze the physical constraints and
opportunities within the sphere area, provide required environmental analysis, and plan
for the eventual annexation of the remaining unincorporated areas within the City sphere
of influence. This reserve also provides for ancillary costs related to annexation of the
sphere area, including mitigation issues and legal challenges. Another area covered by
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FUND BALANCE POLICY
PAGE 4OF4
this reserve is the creation of a multi -species habitat conservation plan as well as
acquisition of habitat conservation land.
• Community Services Programs -Recreation
The City's General Fund balance assigned for non-recurring costs to support community
services programs, including a wide variety of classes, special events, and recreational
activities sponsored by the Community Services Department. The initial funding of this
reserve resulted from the combining of the Department's recreational and community
activities that were accounted for in a separate Special Fund into the General Fund
effective with the Fiscal Year 2020/21 Budget. The fund balance remaining in the
Recreation Services Fund as of June 30, 2020 was closed out to the City's General Fund.
• Community Services Programs -Cultural Arts
The City's General Fund balance assigned for non-recurring costs to support community
services programs, including a wide variety of classes, theatrical performances, and
cultural activities sponsored by the Community Services Department. The initial funding
of this reserve resulted from the combining of the Department's cultural and theatrical
activities that were accounted for in a separate Special Fund into the General Fund
effective with the Fiscal Year 2020/21 Budget. The fund balance remaining in the Victoria
Gardens Cultural Center Fund as of June 30, 2020 was closed out to the City's General
Fund.
Unassianed Fund Balance
These are residual positive net resources of the General Fund and Fire District funds in excess
of what can properly be classified in one of the other four categories.
Fund Balance Classification
The accounting policies of the City/Fire District consider restricted fund balance to have been
spent first when an expenditure is incurred for purposes for which both restricted and unrestricted
fund balance is available. Similarly, when an expenditure is incurred for purposes for which
amounts in any of the unrestricted classifications of fund balance could be used, the City/Fire
District considers committed amounts to be reduced first, followed by assigned amounts and then
unassigned amounts.
This policy is in place to provide a measure of protection for the City/Fire District against
unforeseen circumstances and to comply with GASB Statement No. 54. No other policy or
procedure supersedes the authority and provisions of this policy.
Page 38
DATE: June 25, 2020
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Matt Burris, Deputy City Manager, Economic/Community Development
Jennifer Nakamura, Management Analyst II
SUBJECT: CONSIDERATION TO APPROVE CONTRACT AMENDMENTS
WITH PLACEWORKS AND CIVIC SOLUTIONS AND APPROVE
NEW CONTRACTS WITH SARGENT TOWN PLANNING, SUSAN HARDEN,
INC, VERONICA TAM, INC, FEHR & PEERS, ASCENT ENVIRONMENTAL,
ATLAS PLANNING AND STRATEGIC ECONOMICS FOR THE GENERAL
PLAN UPDATE.
RECOMMENDATION:
Staff recommends that the City Council approve and execute contracts with the vendors listed below to
replace Raimi + Associates to complete PlanRC, the City's Comprehensive General Plan Update.
BACKGROUND:
On December 8th and 17th, 2019, the City Council authorized and entered into contracts with Civic
Solutions, Raimi + Associates, PlaceWorks and Lisa Wise Consulting to provide professional planning
services to provide a comprehensive update to our General Plan to advance the City's vision for a
resilient, equitable and healthy community. Raimi + Associates was chosen to lead the development of
the General Plan document and its associated elements. They were responsible for the General Plan
policy and developing community performance metrics, urban design and land use, housing, health,
sustainability and environmental justice as well as supporting City staff on community engagement.
Over the last several months, there has been a significant disconnect between the City's expectations
for communication and work on the General Plan and Raimi + Associates ability to deliver a quality
work product on time. After discussion, it was determined that it was in the best interest of both parties
to terminate the contract. Raimi + Associates original contract was for $1,790,930 plus 10%
contingency ($179,093). $337,485 has been paid against the contract for work products delivered,
leaving a current balance of $1,453,445 plus contingency for a total of $1,632,538.
ANALYSIS:
Raimi + Associates utilized sub -consultants to specialize in specific areas of the General Plan update,
such as land use, housing, transportation, hazards, air quality, economic development and community
outreach. This is a common practice, as few planning firms have the breadth of knowledge to be
experts in all areas required in a General Plan. In evaluating the work provided by all of the sub -
consultants, staff determined that the work provided by all of the sub -consultants to date was high
quality and met previously established deadlines. After coming to the agreement to terminate the
contract with Raimi + Associates, we approached each sub -consultant, who agreed to stay on to
complete the project in their area of expertise. New contracts have been negotiated between each of
Page 39
the following firms (previously sub -consultants to Raimi) and the City.
• Ascent Environmental - Air Quality/GHG Analysis
• Atlas Planning - Hazards
• Fehr & Peers - Transportation
• Sargent Town Planning — Land Use and Urban Design
• Strategic Economics - Fiscal Modeling and Economic Development
• Susan Harden, Inc. - Community Outreach
• Veronica Tam, Inc. - Housing Element
Staff determined there was still a need for a firm to "weave" all of the topical areas of the General Plan
into a cohesive document. PlaceWorks, who was ranked second in vendor evaluations for the General
Plan Update (Request for Proposals #19/20-10) and was selected to provide environmental analysis
and the Environmental Impact Report (EIR) for the General Plan agreed to take on this additional
task with an amendment to their existing General Plan contract.
Overall project management services will no longer be divided between Civic Solutions (City PM)
and Raimi + Associates (Consultant PM). Civic Solutions will be responsible for managing all aspects
of the project which requires additional time and an amendment to their existing General Plan contract.
FISCAL IMPACT:
The contracts proposed are fiscally neutral. Staff will disencumber the remaining $1,632,538 on
the Raimi + Associates purchase order funded from the Community Development Technical Services
Fund (1001314-5300) and will be reallocated as outlined below (contingency included):
• Ascent Environmental - $163,962
• Atlas Planning - $103,208
• Civic Solutions - $67,200
• Fehr & Peers - $124,050
• PlaceWorks - $ 260,585
• Sargent Town Planning - $529,000
• Susan Harden, Inc. - $158,488
• Strategic Economics - $119,323
• Veronica Tam, Inc. - $105,105
COUNCIL GOAL(S) ADDRESSED:
The execution of these contracts supports the Council's Mid and Long -Range Planning goal of
preparing a comprehensive update to the General Plan by the 4th quarter of 2022.
ATTACHMENTS:
Description
Attachment 1
- PlaceWorks Scope of Work
Attachment 2
- Civic Solutions Scope of Work
Attachment 3
- Sargent Town Planning Scope of Work
Attachment 4
- Susan Harden Inc. Scope of Work
Attachment 5 -
Veronica Tam, Inc. Scope of Work
Attachment 6
- Fehr & Peers Scope of Work
Attachment 7
- Ascent Environmental Scope of Work
Page 40
Attachment 8 - Atlas Planning Scope of Work
Attachment 9 - Strategic Economics Scope of Work
Page 41
Exhibit A:
Proposed Scope of Work
In the following scope of work PlaceWorks (PW) understands and supports the City led functions. Our
role will be to help coordinate the team, ensure the General Plan meets state regulations, and that the
final product reads with a single voice that reflects the vision of the community. Many of the important
tasks will be led by other team members with support by PW. We are flexible in work assignments and
understand that budget resources can be shifted between tasks to match the needs of the City and the
project team.
Task: i Project Management
Task: 1.1 Project Work Plan
In coordination with Civic Solutions PW will develop and maintain a project work plan broken out by
scope task that specifies lead and supporting team members, key work elements, major
deliverables/outcomes, due dates, required City actions, and task status. The work plan will be a living
document, updated and/or confirmed monthly throughout the General Plan update process.
Task: 1.2 Staff Coordination
PW staff will attend regularly scheduled conference calls and meetings to keep informed of project
progress and coordinate with staff. In addition to the scheduled meetings, we anticipate regular update
calls with staff on specific assignments, to provide assistance, and discuss elements of the project.
Task i Deliverables
• Ongoing project communication
• Project work plan — draft and ongoing
Task: 2 Community Engagement
Task: 2.1 Outreach
PW will participate in the outreach process by providing content, attending meetings, and assisting with
approach.
Task 2 Deliverables
• Ongoing assistance to outreach team
Task: 3 Task 3: Discovery
Task: 3.1 Review and Assess Existing Reports, Studies
Completed.
Task: 3.2 Land Use, Urban Design and Public Realm Report
Exhibit A — Scope of Work 3.2-1
Page 42
Completed.
Task: 3.3 Mobility and Transportation
To be completed by Fehr & Peers.
Task: 3.4 Environmental Justice and Community Health Report
To be completed by City.
Task: 3.5 Market Study
To be completed by Strategic Economics.
Task: 3.6 Climate Change, Air Quality, and Noise Report
To be completed by Ascent.
Task: 3.7 Safety Report
To be completed by Atlas.
Task: 3.8 Biological and Historical Resources Reports
To be completed by PW.
Task: 3.9 Housing Background Report
To be completed by Veronica Tam & Associates.
Task: 3.io Evaluation of General Plan
To be completed by City.
Task: 3.11 Performance Metrics
To be completed by City.
Task: 3.12 Key Issues/Opportunities Report
To be completed by City with assistance from PW.
Task 3 Deliverables
• Biological and Historical Resources Reports
• Key Issues/Opportunities Report
Task: 4 Citywide Visioning
Task: 4.1 Identify Areas of Change and Areas of Stability
STP to complete with input from PW.
Task: 4.2 Vision, Guiding Principles, and Key Strategies
STP to complete with input from PW.
Exhibit A — Scope of Work 4.2-2
Page 43
Task: 4.3 Citywide Scenarios
STP to complete with input from PW.
Task: 4.4 Economic Trends Analysis
To be completed by Strategic Economics with input from STP.
Task: 4.5 Growth Projections
PW, with support from STP, will build on the existing conditions analysis, local and regional information,
to detailed growth projections with parcel and/or TAZ level allocation by land use type. These scenarios
will incorporate both regional economic trends ("top down"), as well as existing land use ("bottom up")
considerations. These growth scenarios will be designed to inform policy considerations and
environmental analysis. The final deliverable will be a memo describing our approach to the projections
and summarizing the overall growth assumptions.
Task 4 Deliverables
• Working growth projections
Task: 5 Land Use, Design, and Transportation Alternatives
Task: 5.1 Identify Neighborhoods, Districts, and Corridors
Deleted.
Task: 5.2 Sub Area Conceptual Plans
STP to complete with input from PW.
Task: 5.3 Alternatives Development
STP to complete with input from PW.
Task: 5.4 Alternatives Analysis
PW will lead the team in preparation of an analysis of the alternatives using metrics such as the potential number
of jobs, number and type of housing units, estimated economic benefit, transportation impact, and others (as
needed and analytical techniques are readily available). This analysis will help with the public discussion of the
land use alternatives and help set a framework for evaluating future projects. The technical analyses will have
transparent assumptions based on existing data, regional and local projections, and the empirical experience of
City staff.
1. Land Use Impacts. For each area -specific alternative, PW will use GIS based modeling of the land use,
transportation, health, and environmental impacts. The analysis will result in metrics that compare and
contrast the alternatives in terms of transportation, health, equity, environmental, and economic
outcomes (see example).
2. Fiscal Impacts. Strategic Economics will estimate the fiscal impact of development of General Plan land
use alternatives. SE will then incorporate the findings into the overall alternatives analysis.
Exhibit A — Scope of Work 5.4-3
Page 44
3. Mobility Analysis. F&P will conduct analysis for VMT per Service Population at the TAZ and Citywide level
to understand the travel patterns and identify the mitigation measures to reduce VM.
4. GHG/Climate Change. To support the alternatives analysis, Ascent will calculate estimated GHG emissions
for each area (up to 3 alternatives per area) and, if needed, citywide alternatives. Ascent will prepare a
draft worksheet with estimated GHG emissions. Following receipt of one set of consolidated comments,
the team will prepare a final worksheet with estimated GHG emissions.
These alternatives and their costs and benefits will be presented at community meetings, pop-up workshops, and
through online engagement. Maps and presentations will highlight scenarios and alternatives that yield benefits
in multiple areas, as well as those which tend to offset what may be perceived as negative impacts by some with
impacts those constituencies may find to be positive. A key goal of these presentations will be to clarify trade-offs
to support balanced decision-making. The preferred direction for each area will then be presented to the City
Council and Planning Commission at a study session.
(Note: assumes that the City will be responsible for analysis of alternatives for public utilities.)
Task: 5.5 Select Preferred Alternative
STP to complete with input from PW. The preferred alternative(s) will be considered in the citywide
scenario and used to measure subsequent design considerations in the environmental impact report (EIR).
Task 5 Deliverables
• Memorandum of analysis of alternatives
Task: 6 Citywide Policy Development/Technical Analysis
Each team member will prepare a memorandum outlining the proposed changes to the goals and policies for
each Element of the General Plan. This framework memo will list the goals, policies, and implementation actions
that should be incorporated into the General Plan, those that should be deleted and changes to existing goals,
policies and implementation actions. If needed, members of the team will prepare policy alternatives for major
policy issues facing the City. In this task, the PlaceWorks team will work with staff, Council, GPAC, the Technical
Advisory Committee, and the community to resolve key issues identified during previous Tasks and any topics that
are required under State law. The policy topics described below will closely mirror the Plan Elements to be
completed under Task 7.
Task: 6.1 Land Use Policy Framework
STP will lead the development of a policy framework for land use based on the preferred alternatives selected
during the process. STP's contributions will be primarily in discussions, reviewing and commenting on drafts of the
document, and providing diagrams and other graphics to illustrate urban design concepts and intent.
• Modifying land use designations and the land use map to reflect new market conditions, changes in land
use and zoning, and potential for new growth in certain areas of change.
• Developing a vision, intent, policies and implementation actions for each sub -area of the city (e.g.,
specific neighborhoods, districts and corridors).
• Incorporating policies from approved specific plans and other policy documents where necessary
• Developing policies for preservation and enhancement of existing single-family neighborhoods
• Addressing other land use topics that are identified during the process.
Exhibit A — Scope of Work 6.1-4
Page 45
Task: 6.2 Public ReaLm / Urban Design Policy Framework
Leveraging their design expertise, STP will lead the development of policies and goals around elevating the public
realm in Rancho Cucamonga, including topics such as the following. This work will be done concurrently and
integrated with the Area Plan work, utilizing typological descriptions and graphics for both sections of the Plan.
• Public spaces. Creating high-quality public spaces through patterns and design of blocks, streetscapes, ,
landscape, and building forms with a particular focus on identity, accessibility, human comfort,
connectivity, and safety.
• Landscape and open space. Existing and new open space opportunities, urban street tree canopy, and
other natural and public spaces.
• Urban design. Context -appropriate buildings, opportunities for unique and context -shaping architecture,
ground floor frontages and entrances, and interfaces with the public realm.
Task: 6.3 Mobility Policy Framework
To be completed by Fehr & Peers.
Task: 6.4 Economic Development Policy Framework
To be completed by Strategic Economics.
Task: 6.5 EJ, Health, WeLLness, and Equity Policy Framework
To be completed by City Staff with input from PW.
Task: 6.6 GHG, Sustainability and Climate Change Policy Framework
To be completed by Ascent.
Task: 6.7 Infrastructure
To be completed by City Staff.
Task: 6.8 Parks, Recreation and Public Facilities/Services Framework
To be completed by PlaceWorks with input from STP.
Task: 6.9 Natural Environment
To be completed by PW with input from team.
Task: 6.so Noise Policy Framework
To be completed by Ascent.
Task: 6.11 Safety Policy Framework
To be completed by Atlas.
Task: 6.12 Housing Policy Framework
To be completed by Veronica Tam & Associates.
Task 6 Deliverables
• Draft and final policy frameworks for each of the above topics.
Exhibit A — Scope of Work 6.12-5
Page 46
Task: 7 General Plan Development
Task: 7.1 General Plan Document Outline
PW will work with STP and City Staff to draft an outline for the General Plan that helps implement the
vision of the community. The outline will be shared with all team members for use in drafting their
elements. While the existing format of the General Plan may be followed, new optional elements may
be appropriate, and some existing elements may be combined, the extent of change will be determined
during the preceding tasks and reflected in the outline. As envisioned, the policies and programs (and in
some cases entire elements) would be drafted by the following team members and reviewed by PW:
Land Use (Includes Public Realm/Urban Design)
Mobility
Economic Development
Environmental Justice, Wellness & Equity
GHG, Sustainability & Climate Change
Open Space & Conservation
Noise
Safety
Housing
Primary
Team Member
STP
Fehr & Peers
Strategic Economics
City
Ascent
PlaceWorks
Ascent
Atlas
Veronica Tam
PW acknowledges that not all the above Topics and/or Elements will be individual elements and that in
some instances a single policy could be identified as addressing several topics. (i.e. mobility, GHG, air
quality, open space) As part of this task PW will work with the City to develop icons to help the reader
see when a policy addresses one or more issue.
We assume that all the drafting, editing, commenting, and final policy development will occur in
Microsoft Word as staff is familiar with the program and it is an excellent platform for drafting of
documents. However, once the administrative draft of the General Plan has been completed and staff is
ready to present it for community discussion, PW will place the text into InDesign and include
photographs and illustrations to improve readability. PW will work with the staff on the design by
providing sample page layouts for review. This scope assumes that the document will be designed to be
viewed on the internet, but that some printed copies will be expected. As such the design will
accommodate both digital and analog platforms.
Exhibit A — Scope of Work 7.1-6
Page 47
Task: 7.2 Administrative Draft General Plan
Following the General Plan outline in Task 7.1, PW will review all administrative draft elements provided
by team members, and edit for consistency, voice, and layout. We understand that the expectation of
the City is for a General Plan with easy to understand policies and clear direction on applicability. The
Administrative Draft General Plan will be provided electronically in Microsoft Word, with an expectation
that the final document may be web -based and/or printed.
PW will ensure that the General Plan addresses all of the requirements of State law, such as complete
streets, climate change, and environmental justice, using the 2017 OPR General Plan Guidelines. In
addition. PW will work with staff to ensure they are aware of the requirements and provide example
policies for consideration if needed to address state law.
Task: 7.3 Implementation
PW recommends that the implementation actions be consolidated into a report separate from the
formal General Plan. The implementation program will enumerate anticipated physical improvements,
necessary plans and studies to complete, and on-going programs necessary for the continuing
implementation of the General Plan. For each, we will include a description of the activity, the
responsible department, the implementation timeframe, and if available, the relative cost and funding
sources. PW will work with the team to consolidate implementation measures into a single document
that can be used by City staff. The Implementation report will also include key measures for tracking
progress and achievements as the General Plan is implemented over time.
Task: 7.4 Public Draft General Plan
City staff will review the 2nd Admin Draft General Plan and input comments and provide changes to the
team. These changes are expected to confirm and build on previous changes and shall not require a
wholesale revision to the plan or entire sections. Once complete, the team will prepare a Public Draft
General Plan that will be presented to the City Council and Planning Commission during the public
hearing process.
Task 7 Deliverables
• Plan Outline
• General Plan sample layout/design
• General Plan Drafts — Admin, Screencheck, and Public Draft General Plan
• Implementation Plan
Task: 8 Review and Adoption
Task: 8.1 City Council and Planning Commission Hearings
Members of the PW team will attend two hearings before the Planning Commission to review the Draft
General Plan and the Final EIR to answer questions. This scope assumes that City staff draft the Staff
Report and the presentation materials, and give the presentations, however the team will provide input
if requested. The team will attend one hearing before the City Council to review the Draft General Plan
and Final PEIR. At the conclusion of the hearings, the City Council will determine whether to certify the
Exhibit A — Scope of Work 8.1-7
Page 48
Final EIR and whether to adopt/approve the General Plan update. [Note that PW attendance is included
in the PEIR scope. Additional budget is included in this task to assist staff with any of the presentation
materials.]
Task: 8.2 Final General Plan
Based on final direction/comments from the City Council during the hearing process, will prepare a Final
General Plan that reflects all the changes approved by the City Council. Our assumption is that only
minor, editorial changes will be needed to finalize the document. As part of this task, the team will
prepare and transfer all relevant materials, maps, and design files to the City so that staff can assume
full ownership of the document.
Task 8 Deliverables
• Hearing PPT and Staff Report Assistance
• Final General Plan
Exhibit A — Scope of Work 8.2-8
Page 49
Rancho Cucamonga General Plan Update
Project Management Services
Civic Solutions' Contract Scope of Work
Project Management Approach
CIVIC
S O L U T I O N S
Civic Solutions will provide management services independent of the General Plan Update consultant
team, as a representative of City staff. Community Planning Services Manager, Jean Ward, will manage
all components of the General Plan effort, and coordinate the efforts of the consultant team. Jean will
provide day-to-day project communication with staff and the consultant team, conduct regular and
collaborative City/consultant team meetings, and provide regular updates and communications regarding
budget, schedule, and major project deliverables.
Jean will maintain a regular presence in City Hall, averaging 12 to 20 hours per week, and as needed. Jean
will facilitate and organize regular conference calls, weekly meetings with City staff, and bi-weekly or
monthly meetings as needed with the City and the consultant team to collaboratively and synergistically
work together on planning, urban design, and policy development as we create the updated General Plan.
Jean will coordinate with other City Departments, outside agencies, and community groups as needed
throughout the process and include them in meetings as appropriate.
Jean will oversee the team or individual contracts with the consultants, managing the schedule,
completion of major deliverables, and work tasks; monitoring the overall budget; and reviewing
consultant invoices on a monthly basis. Our work program also includes the preparation of staff reports,
meeting and presentation materials as necessary, and continuous project updates throughout the
process.
Scope of Work
Task 1: Project Initiation and Kick-off Meeting
Civic Solutions will work with City staff to schedule and hold a full-day kick-off meeting in Rancho
Cucamonga with the General Plan consultant team and City staff from all departments to initiate the
project. This meeting will include an overall team meeting, one-on-one meetings with City staff as needed,
and a tour of the City to identify key issues and opportunities.
We will provide a project overview, goals for the project, and general schedule for completion of the
project, with major milestones identified for each task and phase to review in the kick-off meeting. In
addition to refining/confirming the overall schedule, Civic Solutions will:
• Work with the team in refining/confirming project scope of work;
• Discuss with consultant team City preferences for point of contact, methods of communication,
general responsibilities for major tasks during General Plan update;
• Discuss overall community engagement approach, including Community Workshops, focus group
topics and participants, and identification of stakeholders;
Scope of Work for Project Management Services
Rancho Cucamonga General Plan Update
November 8, 2019 ♦ 1
Page 50
CIVIC
S O L U T I O N S
• Facilitate consultant team data requests for relevant background documents (adopted
documents, reports, and studies).
Task 2: Refinement of Overall Work Plan/Schedule/Community Engagement Strategy
Following the kick-off meeting, Civic Solutions will develop a master work program and schedule broken
out by scope task that specifies lead and supporting team members, key work elements, major
deliverables/outcomes, due dates, and City responsibilities and review times. The work program will be
organized around the major phases of the General Plan update process: Discovery, Visioning, Plan
Alternatives, Plan Development, Draft Review and Public Hearings; and will be based on the major tasks
set forth in the scope of work for the General Plan and CEQA consultants. To the extent possible, tasks
will run concurrently to maximize efficiencies. The work program and schedule will be a working
document, updated regularly throughout the General Plan update process.
Civic Solutions will also with City staff and the consultant team to refine the public engagement strategy.
The plan is proposed to be multi -faceted and comprehensive, targeting all segments of the community
through a variety of approaches that will engage a diverse population. We will closely with the Community
Services Department and consultant team to facilitate the development of outreach materials, as well as
work with the City and consultant team to organize and facilitate stakeholder interviews, small group
meetings/events, large format workshops and open houses, and prepare for and present at public
hearings.
Civic Solutions will maintain and monitor the master overall schedule and work program, as well as
prepare and oversee near-term schedules for the individual tasks/phases of the General Plan update
process.
Task 3: Ongoing Management/Meetings/Coordination
This task includes ongoing coordination and project management that will keep the effort on track
throughout its duration, as well as general staff support related to the General Plan update process.
Jean Ward will be the point -of -contact for the City and will provide overall management of the project
and the project team. Jean will maintain regular presence in City Hall, averaging 12 to 20 hours per week,
and as needed. Jean will facilitate and organize regular weekly meetings with City staff to discuss project
objectives, emerging issues and opportunities, schedule and work progress to -date, address budget issues
and concerns, and discuss other key items.
Jean will also organize and facilitate bi-weekly or monthly meetings with the City and the consultant team
to collaboratively and synergistically work together on key planning and urban design issues, land use
alternatives, and policy development as we create the updated General Plan. Jean will also work closely
with CEQA consultant and oversee the environmental review phase of the process. Jean will coordinate
with other City Departments and outside agencies as needed throughout the process and include them in
meetings when appropriate.
While not anticipated, if there is a need for additional assistance over this approximate 28 -month planning
effort, Civic Solutions' Vice President, Mary Wright, will provide support. Mary is a planning professional
with over 25 years of planning and environmental experience in Southern California. She has extensive
Scope of Work for Project Management Services
Rancho Cucamonga General Plan Update
November 8, 2019 ♦ 2
Page 51
CIVIC
S O L U T I O N S
experience managing a diversity of projects, and, as former Deputy Director of the City of San Diego
Planning Department, has leadership experience in municipal planning and directed many of the City's
Community Plan updates.
General project management and staff support tasks include:
• Maintain regular presence at City Hall and regular informal communication via email and phone
• Provide day-to-day project communication with staff and consultant team
• Organize and facilitate weekly meetings with City staff
• Organize and facilitate bi-weekly or monthly City/consultant team working meetings
• Organize and facilitate Focused topic meetings with specialized consultant and City Department
• Provide regular updates and communications regarding budget, schedule, and major project
deliverables
• Coordinate with outside agencies
• Maintain and update master schedule, work program, and progress reports
• Maintain and update near-term schedules for specific tasks
• Oversee the consultant team contracts
• Monitor the overall budget and review monthly invoices
• Prepare staff reports
• Prepare meeting/presentation materials as needed
• Make presentations as needed
• Oversee file management
• Maintain open lines of communication between consultants
Budget
Civic Solutions will provide Project Management Services at the rate of $150/hour. Work performed on a
time and materials basis will be billed monthly, and will be due in accordance with the terms of the
contract.
Reimbursable expenses:
• Large duplication or document publishing
• Specialized graphics
• Messenger and overnight delivery
Scope of Work for Project Management Services
Rancho Cucamonga General Plan Update
November 8, 2019 ♦ 3
Page 52
94.1 SARGENT
FeI
_■E TOWN PLANNING
Rancho Cucamonga General Plan Update
A. STP Proposed (Updated) Scope of Work (6/10/20)
The following is the updated scope of services for the Sargent Town Planning (STP) for the Rancho Cucamonga
General Plan Update. Tasks not specifically identified or described herein shall be considered "extra work" under
the terms of the contract. The budget for this scope of work is included in Exhibit B. STP's level of effort for each
task is included in the budget. The project schedule is identified in Exhibit C.
Task 1: Project Initiation (Completed)
Task 1.1: Project Kickoff Meeting
Completed.
Task 1.2: Collect and Review Existing Planning Documents ; Prepare Map Book
Completed.
Task 1.3: ProjectWork Plan
Completed. Time and effort for updating the Work Plan is accounted for in Task 10.3 — "Ongoing Project
Management".
Task 2: Community Engagement Support
Task 2.4— 2.6: Community Outreach Event & Online Engagement Support
STP's Role in Task 2 is focused on providing strategic input to Susan Harden and the Outreach Team on the topics
of Land Use and Urban Design, as well providing materials and graphic content to outreach efforts (graphic and
written content for PowerPoints, boards & posters, workshop materials and brochures, etc. for Community
Workshops, Open Houses, and Pop -Up Workshops and Online Engagement.
STP will be available to participate in physical and on- line engagement sessions (as needed and as budget permits)
—for those outreach events related to Land Use and Urban Design, specifically:
• Discovery /Issues and Opportunities.
• Community Visioning
• Sub -Area Alternatives
Graphic content will be developed concurrently in Tasks 4 & 5 and is accounted for/budgeted there. A modest
amount of time is budgeted for STP in Task 2 for coordination and communication with Susan Harden and the
Outreach Team, as well as participation in Engagement Efforts.
706 South Hill Street, 11th Floor I Los Angeles, CA 90014 1 213.328.2600 1 www.sargenttownplanning.com
Page 53
Task 3: Discovery
Task 3.1: Review and Pssess Existing Reports, Studies
Completed.
Task 3.2: Land Use, Urban Design and Public Realm Report
Completed.
Tasks 3.3-3.9: Technical / Environmental Reports
Completed by others.
Task 3.10: Performance Metrics
As needed, STP will provide input to PlaceWorks and the City on the draft metrics to be used for evaluating
intended Plan outcomes and performing a quantitative assessment of implementation success. We anticipate that
these will be refined during General Plan development.
Task 3.11: Key Issues & Opportunities Report/ Matrix
STP will support the City's efforts to finalize a summary (matrix, report, or presentation) of key Land Use issues and
opportunities.
Task 4: Citywide Visioning
Task 4.1: Citywide Scenarios & Possibilities
A fundamental function of the Land Use Element is to determine how best to organize, shape, leverage, and
accommodate the physical change — and of course the related land use, economic, social and environmental
change -that is anticipated throughout the City within the Plan horizon, whether due to market forces, State policy
and funding mandates, and/or City and community priorities for change. The process of charting the course along
which the Land Use Element will guide the City's future inevitably involves defining reasonable options, weighing
trade-offs, and establishing goals, values and priorities.
All cities are composed of neighborhoods, community centers, shopping districts, employment districts, and
distinct "parts of town" — each with its own unique history, character, resident and worker population, social and
economic dynamics, and identity. The level of interest in each part of town for change or improvement, of fear of
change and decline, in conservation of existing conditions as they are, and the values by which any potential for
change will be assessed as improvement or decline will vary significantly from place to place.
The top 5 land use issues that the 2010 General Plan identified at that time, for instance, are related directly to the
subject of change and/or of conservation, and recognize that the answer to the "change question" depends on
where you are in town and what sort of change you are talking about. 1) Protecting established stable
neighborhoods, 2) Promoting infill development in appropriate areas, 3) Linking transportation to land use, 4)
Revitalizing older areas that are in decline, and 5) Protecting the open space environments of the hillsides
With this in mind, STP has mapped the city into conceptual "Planning Areas" (names and boundaries to be refined
in coming weeks) and will lead the Team in collecting and organizing topical inputs for each area (from specific
team members, from the City, and from the community through the outreach efforts) that begin to identify the
history, key issues and opportunities, and likely degree and types of change for each part of Town.
Technical inputs (from the Team and from the City) that will inform Land -Use alternatives are likely to include:
Exhibit A: Scope of Work— Sargent Town Planning 2
Page 54
• Anticipated/potential types and intensities of infill housing— informed by projected market demand
and development feasibility, and by RHNA numbers the City is expected to meet withinin the General
Plan Horizon;
• Targets for jobs / housing balance and jobs / housing "match";
• Economic / performance targets
• VMT, GHG, and other environmental performance targets;
• Others to be defined moving forward...
This information will be synthesized and illustrated (through mapping, drawings, diagrams, illustrations and
precedent photographs) to help the Outreach Team engage the community in a productive and ongoing dialogue
about values, priorities and the preferred types and range(s) of potential change in each part of town. The
concepts, imagery and sketches explored/prepared to date have enabled a productive initial discussion of
alternatives for shaping and directing the envisioned — and to a significant degree inevitable — growth and change
throughout the City. These materials will be refined, further -developed and modified based on input from City
staff and the community through the ongoing community engagement process. This task goes hand-in-hand with
Task 4.2 and Task 5, to converge upon an objectively clear set of arguments for a "Preferred Scenario" that
balances state -mandated requirements, economic/environmental/social equity targets, and community
preferences to inform the intended outcomes that the Final General Plan will describe.
Task 4.2: Identify Areas of Change and Areas of Stability (Previousiypari of Task 5)
Building upon the analysis and mapping in Tasks 3 and 4.1, and further shaped by City and incoming community
input, STP will lead the team in identifying areas of change and areas of stability at the neighborhood, corridor, and
district level. STP will prepare a map that identifies areas in the City where very little or no land use designation
change and little or no physical change are anticipated (areas of stability, maintenance, and/or enhancement),
areas where incremental change is anticipated (areas of gradual market-driven change or evolution), and areas in
which intentional and transformational change is envisioned (areas of transformation). The expected degree and
nature/type of change will be described and mapped for each area. This diagram will be refined based on input
received in from Community Outreach and will be used to inform/confirm the boundaries/extents of the "Focus
Area Plan" in the following Tasks.
Task 4.3: Vision & Guiding Principles
In parallel with Tasks 4.1 and 4.2, and informed by the Community Engagement process, STP will lead the Team in
developing the General Plan's vision and guiding principles to articulate and illustrate how residents envision the
identity and future of their City, and to determine the most important values and priorities for accomplishing and
upholding them. This information will be summarized in a new or updated vision statement and a list of "guiding
principles" or "community values." The rigorous analysis in Task 3 — providing a foundation of objective
geographically based information regarding existing conditions and the potential for change — will provide context
and rationale for developing the Guiding Principles of the General Plan, and those guiding principles will, in -turn,
be used to evaluate General Plan alternatives developed later in the process. Some principles will likely be
applicable Citywide and some may be more focused toward specific parts of town.
STP will summarize the overall Land Use, Urban Design and Public Realm vision and key strategies by which the
intended change (or the preservation/conservation) will be realized in the General Plan, including focus areas for
significant or transformational new development, natural areas that could conserved and/or enhanced, public realm
improvements, circulation/transportation network completion and improvements etc.
Exhibit A: Scope of Work— Sargent Town Planning
Page 55
Task 4.4: Economic Trends Analysis
To be led by Strategic Economics; in parallel with Task 4.1, STP will coordinate and confirm likely infill development
typologies — and the locations or types of contexts to which these would be targeted — with Strategic Economics
to assess and calibrate likely general to feasibility. This in turn will inform the ranges of types and intensities
possibilities explored citywide and in each part of town.
Task 4.5: Growth Projections
To be led by PlaceWorks; PlaceWorks will collaborate with other Team members to identify initial quantities of
residential, commercial and industrial growth and change, based on population and demographic projections,
State mandates and targets, and economic and fiscal projections and advisement., Based on those initial targets,
STP, will develop initial land use alternatives and questions to inform the discussion and consideration of growth
scenarios that will be inform a draft policy framework and inform environmental, economic and fiscalanalysis.
Task 4 Deliverables
• Maps and diagrams of the geography and connectivity of Rancho Cucamonga
• Illustrations and photo -imagery to support and illustrate Citywide Scenarios, Strategies, and Vision and
Guiding Principles.
• Diagrams and illustrations related to strategies for managing and shaping change and conservation.
Summary presentation of citywide scenarios, including sub area scenarios for selected parts of town.
• Vision and guiding principles
Task 5: Land Use, Design, and Transportation Alternatives
After the initial research and identification of areas of change, STP will lead a series of Zoom meetings and perhaps
1 or two in-person working sessions (multi -day: three or four days) with key members of the City/Consultant Team.
The primary goal will be to clearly define 2 to 4 alternatives that address potential changes to the Citywide
circulation and public space network, land use and urban design changes and/or conservation within specific areas,
and the offer clear alternatives for the location, distribution, scale, character and type of new development that
could accommodate the targeted quantities off growth and change while respecting the communities vision,
planning principles, and priorities as endorsed by the City Council.
Task 5.1: Strategies and Alternatives Development
STP will collaborate with key members of the Team and City staff to develop land use + transportation strategies
and conceptual alternatives for areas of significant/transformational change (including one or more "Focus
Area(s)" TBD ). STP will develop and confirm conceptual urban pattern, urban design, land use and policy
alternatives, and collaboratively develop strategies for change and for conservation accordingly.
Within the Focus Area(s) of significant/transformational change, STP in collaboration with the Team and City staff
will prepare a series of land use and urban design alternatives (varying in terms of land use priorities, density/
intensity, public space emphasis, mobility, parking, and potentially other factors that may emerge. These
alternatives will be illustrated through a series of graphics and diagrams that address:
• Land Use & Development Program. Each alternative will propose a different mixture of uses, allowable
maximum heights and densities, and total amount of new growth.
• Urban Character. The urban characteristics of each planning area will be described including precedent
photos of representative buildings, place types, and architectural character to illustrate the proposed use
mix, development intensity, and potential urban and architectural character.
Exhibit A: Scope of Work— Sargent Town Planning
Page 56
• Mobility & Public Realm. STP and F&P will collaborate with City staff to identify future roadway, transit,
and active transportation networks required for the anticipated levels of change. This work will extend
beyond the roadway network to encompass other public rights of way and open spaces, including utility
and stormwater drainage corridors, existing and planned parks, and hillside open spaces. The goal is a
unified yet varied network of high quality, beautiful, and useful public realm network that amplifies the
unique character of each part of town while connecting them into one diverse, accessible, sustainable city.
For Sub Areas in which change is anticipated to be moderate or very little —and in areas where conservation of
existing urban and/or natural character is prioritized —the nature and degree of change will be more simply
described, illustrated and preliminarily quantified for discussion.
In addition to the Urban Design strategies and illustrations that will be used in the Land Use Element of the
General Plan, this Task will develop specific citywide land use alternatives that will be analyzed by PlaceWorks in
Task 5.2.
Task 52: Alternatives Analysis
STP will collaborate with PlaceWorks and other Team members to provide quantitative/qualitative summaries of
the Land Use Alternatives developed in Task 5 based on the final analytical metrics for that PlaceWorks, STP and
the City determine appropriate.
Task 5.3: Select Preferred Alternative
Through the evaluation process and public review, STP will lead the Team in defining a preferred direction for
areas of change. This approach will present a clear picture of land use, open space, development intensity,
circulation, and an economic framework for the continued evolution of each part of town. It is assumed that the
final direction for each area will represent a combination of elements from project alternatives. It is anticipated
that elements of the transportation plan will include enhancements to the connectivity, functionality, and safety of
all transportation modes through smart transportation management and a complete streets approach. The
preferred alternative will be used to create the updated General Plan Land Use Map (with support from the City's
GIS Department for the finalized map), and will be considered in the citywide scenario and used to measure
subsequent design considerations in the environmental impact report (EIR).
Task 5 Deliverables
• Land use/design alternatives for areas of change and citywide alternatives
• PPT summarizing alternatives analysis
• Technical memorandum for preferred direction with summary analysis
• "Preferred Alternative" (Updated Land Use Map)
Task 6: Citywide Policy Development/Technical Analysis
Each team member will prepare a memorandum outlining the proposed changes to the goals and policies for each
Element of the General Plan. This framework memo will list the goals, policies, and implementation actions that
should be incorporated into the General Plan, those that should be deleted and changes to existing goals, policies
and implementation actions. If needed, members of the team will prepare policy alternatives for major policy
issues facing the City. In this task, PlaceWorks will work the Team, Clty staff, Council, GPAC, the Technical Advisory
Committee, and the community to resolve key issues identified during previous Tasks and any topics that are
Exhibit A: Scope of Work— Sargent Town Planning
Page 57
required under State law. The policy topics described below will closely mirror the Plan Elements to be completed
under Task 7.
Task 6.1: Land Use Policy Framework (STP)
STP will lead the development of a policy framework for land use based on the preferred alternatives selected
during the process. STP's contributions will be primarily in discussions, reviewing and commenting on drafts of the
document, and providing diagrams and other graphics to illustrate urban design concepts and intent.
• Modifying land use designations and the land use map to reflect new market conditions, changes in land
use and zoning, and potential for new growth in certain areas of change.
• Developing a vision, intent, policies and implementation actions for each sub -area of the city (e.g., specific
neighborhoods, districts and corridors).
• Incorporating policies from approved specific plans and other policy documents where necessary
• Developing policies for preservation and enhancement of existing single-family neighborhoods
• Addressing other land use topics that are identified during the process.
Task 6.2: Public Realm / Urban Design Policy Framework (STP)
Leveraging their design expertise, STP will lead the development of policies and goals around elevating the public
realm in Rancho Cucamonga, including topics such as the following. This work will be done concurrently and
integrated with the Area Plan work, utilizing typological descriptions and graphics for both sections of the Plan.
• Public spaces. Creating high-quality public spaces through patterns and design of blocks, streetscapes, ,
landscape, and building forms with a particular focus on identity, accessibility, human comfort,
connectivity, and safety.
• Landscape and open space. Existing and new open space opportunities, urban street tree canopy, and
other natural and public spaces.
• Urban design. Context -appropriate buildings, opportunities for unique and context -shaping architecture,
ground floor frontages and entrances, and interfaces with the public realm.
Task 6.3: Mobility Policy Framework (F&P)
To be completed by Fehr & Peers.
Task 6.4: Economic Development Policy Framework (SE)
To be completed by Strategic Economics.
Task 6.5: EJ, Health, Wellness, and Equity Policy Framework (R -+A)
To be completed by City Staff.
Task 6.6: GHG, Sustainability and Climate Change Policy Framework (Ascent)
To be completed by Ascent.
Task 6.7 Infrastructure (City)
To be completed by City Staff.
Task 6.8: Parks, Recreation and Public Facilities/ Services Framework (R+A)
To be completed by PlaceWorks with input from STP.
Task 6.9: Natural Environment (R -+A with Support from PlaceW orks)
To be completed by PlaceWorks.
Exhibit A: Scope of Work— Sargent Town Planning
Page 58
Task 6.10: Noise Policy Framework (Ascent)
To be completed by Ascent.
Task 6.11: Safety Policy Framework (Atlas)
To be completed by Atlas.
Task 6.12: Housing Policy Framework (VTA
To be completed by Veronica Tam & Associates with input from STP.
Task 6 Deliverables
• Draft and final policy frameworks for each of the above topics.
Task 7: General Plan Development
Task 7.1: Plan Outline, Layout & Design
STP will provide a detailed outline of the Land Use Element of the General Plan, including topics and sub -topics to
be addressed. STP will create the layout and design for the Land Use Element (and "Focus Area Plan") and
coordinate with PlaceWorks ensure consistency with the organization and layout of the rest of the General Plan
document in InDesign.
Task 7.2: Administrative and Screencheck Draft General Plan
STP will assist PlaceWorks in preparing the Admin Draft General Plan as follows:
Vision and Guiding Principles
STP will contribute to the Vision and Guiding Principles based on those developed in Task 4.3.
General Plan Topics:
Land Use and Design
STP will lead structure, layout, writing and illustration of the Land Use Element, with City Planning Staff also playing
a significant role in providing direction and input to the Land Use Element at the framework, draft and final stages
of development of the Element Contents to include:
• Citywide Land Use and Community Design. STP will prepare this section, describing and illustrating the
overarching citywide goals, strategies, policies and priorities related to land use, urban and rural design
character, revitalization and/or transformation of selected focus areas, attraction of new and beneficial
uses, location and identity of visitor -serving uses, and more. These will apply generally across Rancho
Cucamonga. STP will craft diagrams, policies, and implementation actions to evolve each part of town
toward its envisioned future condition.
• Sub Areas. This section will include maps, diagrams, illustrations and tables illustrating and summarizing
recommendations for street and open space networks; block patterns and types; building types, scale and
character; and use mixes and intensities for each of three areas. In general, the level of detail will be
inversely proportional to the size of each Sub Area, in most cases mapping pedestrian sheds and
secondary and tertiary street networks, with typological illustrations of block types, street types,
development types, and open space types for each of several place types within that Area.
• "Focus Area Plan". STP will prepare an Area Plan for a selected portion of central south Rancho
Cucamonga, defining in more detail than other areas the vision and implementation strategies for phased
transformational change along selected segments of key corridors, within key vacant and underutilized
Exhibit A: Scope of Work— Sargent Town Planning
Page 59
properties/areas, and for areas intended to undergo systematic evolution of use and/or intensity and/or
urban form and mobility paradigm.
For some portions of the Area Plan transition from auto -oriented single -use place types to pedestrian -
oriented mixed-use place types will be prioritized, and in others a transition from low intensity large parcel
industrial uses to higher intensity smaller parcel and higher revenue 21st century employment uses may
be envisioned. Throughout the Area Plan, "rebalancing" is expected to be emphasized: rebalancing active
and automotive and transit modes, rebalancing and matching jobs and housing, rebalancing available
housing options, rebalancing economic and environmental performance, and rebalancing short-term
developer profit with long-term fiscal sustainability.
The level of clarity and detail as to the intended urban patterns and forms, multi -modal mobility and public
realm network, and strategies for coordinating public and private implementation actions over time will be
calibrated to inform updated zoning standards, subdivision standards, public improvement standards, and
public/private coordination following General Plan adoption.
Mobility
STP will consult, advise, review and comment, with a focus on urban structure and public realm design.
Parks and Recreation
STP will consult, advise, review and comment, with a focus on urban structure and public realm design.
Conservation and Open Space
STP will consult, advise, review and comment, with a focus on urban structure and public realm design.
Infrastructure
STP will consult, advise, review and comment, with a focus on urban structure and public realm design.
Housing Element
STP will consult, advise, review and comment, with a focus on urban structure and public realm design.
Task 7.3: Implementation Report
STP will provide recommended implementation strategies and measures with regard to intended Land Use and
Urban Design outcomes of the General Plan.
Task 7.4: Screencheck Draft General Plan
STP will collaborate with PlaceWorks and the Team in responding to City input, and will update the Land Use and
Urban Design section as required.
Task 7.5: Public Draft General Plan
The Team, led by PlaceWorks, will prepare a Public Draft of the General Plan based on minor, editorial, and
formatting comments provided by staff's review of the Screencheck Draft.
Task 7 Deliverables
Plan Outline
• General Plan sample layout/design
• General Plan Drafts — Admin, Screencheck, and Public Draft
• Implementation Plan/Report
Exhibit A: Scope of Work— Sargent Town Planning
Page 60
Task 11: Review + Adoption
Task 11.1: City Council and/or Planning Commission Study Sessions & Hearings
Throughout the process, STP will be available to meet with the City Council, the Planning Commission and other
boards and commissions to provide updates on the Land Use Element of the GPU and receive input on topic -
specific policies and ideas. Our budget for this Task assumes up to three joint Planning Commission/City Council
Study Sessions. For each, STP will prepare (or contribute to) a PowerPoint presentation, identify key discussion
questions and prepare summary conclusions/direction.
STP will attend hearings with the Planning Commission (x2) and City Council (x2) to review and adopt Draft General
Plan and EIR. As needed, STP will prepare (or contribute to) a PowerPoint presentation and lead discussion on the
topics of Land Use & Urban Design.
Task 11.2: Final General Plan
STP will collaborate with the Team in responding to City input, and will update the Land Use and Urban Design
section as required.
Task 11 Deliverables
• Contributions to presentations
• Final General Plan
Task 12: EIR Coordination
Task 12.1: EIR Coordination
STP's role in this task will be limited to meeting with PlaceWorks and the Team to discuss and resolve assumptions
regarding build -out capacities over time and per alternative.
Task 13: Project Management and Team Meetings
Task 13.1:Team Working Meetings
STP will prepare for and attend (or participate remotely in) the following key check-in meetings:
1. Kick-off meeting at the beginning of the project (see Task 1.1) - completed
2. After drafts of the existing conditions reports are prepared - completed
3. During selection of the preferred land use and transportation direction for change areas
4. While developing goals, policies, and actions for the General Plan
This task will also include weekly status/management meetings and calls with the City and all ongoing team
communication and coordination. STP will participate in weekly check-in calls with staff to discuss the status of the
project and coordinate on project activities. Any in-person meetings will be coordinated with other trips to Rancho
Cucamonga to ensure efficiency of travel and budget.
Task 13.2: Ongoing Project Management
This Task includes regular, ongoing communication and coordination with City staff & the GPU Team (outside
of scheduled conference calls), project summary reports along with other general project management tasks
such as, invoicing, scheduling, etc...
Task 10 Deliverables
• Team working sessions with City staff
Exhibit A: Scope of Work— Sargent Town Planning
Page 61
Weekly status/management meetings/calls with the City
Notes from meetings and conference calls with staff
Monthly Invoices/progress reports
B. STP Proposed Budget
The proposed fees in the accompanying spreadsheet provide estimated hourly breakdowns per staff and
per subtask, and is provided for reference only. Our intent is to bill time and materials for each Task
against the total contracted amount for that Task, not on a subtask-by-subtask basis. Further, if any Task
once completed (or determined sufficiently complete by the City) has remaining budget, we request that
we be authorized to transfer those funds into unfinished Tasks, as needed.
Exhibit A: Scope of Work— Sargent Town Planning 10
Page 62
SARGENT
Few
1I TOWN PLANNING
B. STP Proposed Budget (6/10/20)
PROFESSIONAL SERVICES
Billing Rate (per hour)
-: Project Initiation ,
Task 1.1 Project Kick-off Meeting
Task 1.2 Collect and Review Existing Planning Documents; Prepare Map Book
Task 1.3 Project Work Plan
Task 1 Fee Subtotal (per staff member) $0
Task 1 Fee Subtotal (per firm)
r Task2: Community Engagement
Task 2 Community Outreach Events & Online Engagement Support 20
Task 2 Fee Subtotal (per staff member) $4,400
Task 2 Fee Subtotal (per firm)
Msk 3: Discove
Task 3.3 Land Use, Urban Design, and Public Realm Report
Task 3.12 Performance Metrics
Task 3.13 Key Issues/Opportunities Report
Task 3 Fee Subtotal (per staff member)
Task 3 Fee Subtotal (per firm)
Task 4.1 Citywide Scenarios & Possibilities
Task 4.2 Areas of Change and Areas of Stability
Task 4.3 Vision and Guiding Principles
Task 4.4 Economic Trend Analysis: Feasibility Analysis of Higher Density Development
Task 4.5 Growth Projections
Task 4 Fee Subtotal (per staff member)
Task 4 Fee Subtotal (per firm)
natives
Task 5.1 Strategies and Alternatives Development
Task 5.2 Alternatives Analysis
Task 5.3 Select Preferred Alternative
Task 5 Fee Subtotal (per staff member)
Task 5 Fee Subtotal (per firm)
Icy Development I Tec�nalysis
Task 6.1 Land Use Policy Framework
Task 6.2 Public Realm/Urban Design Framework
Task 6.3 Mobility Policy Framework
Task 6.4 Economic Development Policy Framework
Task 6.5 Environmental Justice, Health, Wellness, and Equity Policy Framework
Task 6.6 Air Quality, GHG, and Noise Policy Framework
Task 6.7 Infrastructure Policy Framework
Task 6.8 Parks, Recreation and Public Facilities/Services Policy Framework
Task 6.9 Natural Environment Policy Framework
Task 6.10 Noise Policy Framework
Task 6.11 Safety Policy Framework
Task 6.12 Housing Policy Framework
Wask 7:
General Plan Update
Task 7.1
Sargent Town Planning
Task 7.2
Admin Draft General Plan
16
Land Use Element, Urban Planning & Community Design
10
Vision and Guiding Principles
Senior
Senior
Associate
Land Use and Design
32
Senior
Principal Urban
Climate Change, GHG, and Sustainability
Associate
Mobility
$7,360
Parks and Recreation
Principal
Planner
Associate
Associate
Urban Planner
Urban
HOURS
PROPOSED PROFESSIONAL
Economic Development
100 300
Project
Urban Designer
Designers
Task 7.4
Screencheck Draft General Plan
(Sargent)
(VanderWal)
8 48
(Toler)
8
SUBTOTAL
FEES PER TASK
$ 4,100
8
Manager (Kim)
(Krizman)
(Others)
$9,520
$6,000
$220 $200 $185 $170 $150
$140
Task 1 Fee Subtotal (per staff member) $0
Task 1 Fee Subtotal (per firm)
r Task2: Community Engagement
Task 2 Community Outreach Events & Online Engagement Support 20
Task 2 Fee Subtotal (per staff member) $4,400
Task 2 Fee Subtotal (per firm)
Msk 3: Discove
Task 3.3 Land Use, Urban Design, and Public Realm Report
Task 3.12 Performance Metrics
Task 3.13 Key Issues/Opportunities Report
Task 3 Fee Subtotal (per staff member)
Task 3 Fee Subtotal (per firm)
Task 4.1 Citywide Scenarios & Possibilities
Task 4.2 Areas of Change and Areas of Stability
Task 4.3 Vision and Guiding Principles
Task 4.4 Economic Trend Analysis: Feasibility Analysis of Higher Density Development
Task 4.5 Growth Projections
Task 4 Fee Subtotal (per staff member)
Task 4 Fee Subtotal (per firm)
natives
Task 5.1 Strategies and Alternatives Development
Task 5.2 Alternatives Analysis
Task 5.3 Select Preferred Alternative
Task 5 Fee Subtotal (per staff member)
Task 5 Fee Subtotal (per firm)
Icy Development I Tec�nalysis
Task 6.1 Land Use Policy Framework
Task 6.2 Public Realm/Urban Design Framework
Task 6.3 Mobility Policy Framework
Task 6.4 Economic Development Policy Framework
Task 6.5 Environmental Justice, Health, Wellness, and Equity Policy Framework
Task 6.6 Air Quality, GHG, and Noise Policy Framework
Task 6.7 Infrastructure Policy Framework
Task 6.8 Parks, Recreation and Public Facilities/Services Policy Framework
Task 6.9 Natural Environment Policy Framework
Task 6.10 Noise Policy Framework
Task 6.11 Safety Policy Framework
Task 6.12 Housing Policy Framework
Wask 7:
General Plan Update
Task 7.1
Plan Outline, Layout & Design
Task 7.2
Admin Draft General Plan
16
Introduction and Overview
10
Vision and Guiding Principles
$21,120
Engagement Summary/Setting the Stage
4
Land Use and Design
32
Health and Environmental Justice
4
Climate Change, GHG, and Sustainability
$1,120 38
Mobility
$7,360
Parks and Recreation
$
Conservation and Open Space
4
Safety
810
Noise
40
Economic Development
100 300
Infrastructure
Task 7.3
Implementation Report
Task 7.4
Screencheck Draft General Plan
Task 7.5
Public Draft General Plan
Task 6 Fee Subtotal (per staff member)
Task 6 Fee Subtotal (per firm)
Task 7 Fee Subtotal (per staff member)
Task 7 Fee Subtotal (per firm)
Review
Task 11.1 City Council/ Planning Commission Study Sessions & Hearings
Task 11.2 Final General Plan
Task 8 Fee Subtotal (per staff member)
Task 8 Fee Subtotal (per firm)
- S -
$0 $0 $0 $0 $0 -
$0 $
20 20 60I 120
$4,000 $3,700 $0 $0 $8,400 120
8
2
8 4 8
$3,960 $800 $1,480
40 40
8 4
16 8
4
4 4
$15,840 $11,200
40 40
6 8
8 8
$11,880 $11,200
8 6
8 12
2
2
2
2
2
2
$6,160 $3,600
8 8
52 42
2 2
40 40
2
2
2
2
$
2
$ 20,000
10
8
16
24
10
8
$21,120
$18,000
4
32
16
4
8
$7,920 $4,800
40
4
16
4
$11,840
40
4
16
$11,100
16
8
2
2
2
2
2
2
$6,660
16
98
8
80
2
2
2
$20,500
$
8,320
$ 20,000
$
7,000
8
$ 1,760
810
4
2
$ 440
4
8 28
$ 5,160
$0
$0
$1,120 38
$
$7,360
4
$
$ 7,000
4
$
810
$ 165,000
40
40
100 300
$ 51,000
164
4
16 32
$ 5,540
106
$66,400
8 48
$ 9,200
8
20,000
8 24
$ 4,100
8
16 31
$ 5,280
$9,520
$6,000
$20,720 436
$75,120
i
$ 75,000
60
160 340
$ 56,800
16
Total Expenses:
16 50
$ 8,620
16
40 88
$ 14,640
$15,640
$0
$30,240 478
$80,060
$ 80,000
16
8
$1,360 $2,400 $0
$20,180
11111111110
24
60 80 160
60 80 160
2
2
24
40 40
16 16
$35,890 $19,720
$165,930
16
16
$5,920
$28,880
40 16
40 80
16 40
$26,400 $44,800
16 16
$2,400 $7,840
46
$
8,320
36
$
7,000
4
$
810
4
$
810
4
4
4
4
$
810
4
$
810
4
$
810
$ 165,000
104
$ 18,800
60
$ 10,080
164
4
$
810
106
$66,400
$98,790
$49,640
$
20,000
56
$ 9,680
492
$ 82,570
12
1 200
108
$0 $0 308
460
Reimbursable Expenses
4
4
4
4
4
98
$ 16,480
240
$ 39,720
106
$ 17,480
992
Subtotal
$ 165,000
104
$ 18,800
60
$ 10,080
164
248 808
$ 28,000
Task 13.1 Team Working Meetings & Weekly City Check -Ins
Task 13.2 Ongoing Project Management
Task 9 Fee Subtotal (per staff member)
Task 9 Fee Subtotal (per firm)
80
24
$22,880
40
24
$12,800
60
60
$22,200
20
$3,400
$61,280
1 200
108
$0 $0 308
$ 40,100
$ 21,180
$ 60,000
Reimbursable Expenses
Mileage and Travel Expenses
$ 5,000
Reimbursable Expense Subtotal
Subtotal
$ 5,000
Hours per Team Member
428
331
534
191
248 808
Fee per Team Member
$94,160
$66,400
$98,790
$49,640
$37,200 $113,120 1 1
Hours per Firm
Total Hours:
2,642.0
Fees per Firm
Total Fee:
$ 455,000
Reimbursable Expenses per Firm
Total Expenses:
$ 5,000
Budgeted Fees and Expenses per Firm
TOTAL:
$ 460,000
TOTAL PROPOSED BUDGET (STP)
$460,000
Page 63
PLSTASK 2: COMMUNITY ENGAGEMENT
The following presents our overall approach and specific tasks for community engagement for the
Rancho Cucamonga General Plan Update. The ultimate goals of the engagement process are to:
expand the number and variety of people who participate in planning projects; provide a diversity
of ways for the community to engage in the process; create new ways of the City engaging with the
public; provide transparency and trust -building through the citywide planning process; receive
feedback on key land use, transportation, economic, health, and other policy issues; and provide
opportunities for the community to take ownership of the plan in preparation for implementation.
The tasks identified below will occur in partnership with City staff.
Task 2.1: Coordination with Communications & Marketing Team
Planning and executing a robust and meaningful engagement program for the General Plan will
only be successful with regular collaboration and coordination with the City Marketing and
Communications Team (Comms Team). Throughout the project the SJH Team will meet with the
Comms Team to discuss engagement activities and determine new approaches to engaging the
community in the process. This task includes time for weekly and/or monthly engagement meetings
and coordination throughout the project.
Task 2.2: Community Engagement Plan
With the changes that Covid-19 forced upon the outreach program, the original community
engagement plan needs significant modifications to reflect changes in scope and direction. The
SJH Team will modify the original draft plan to include the new and proposed online engagement
activities, adjusted outreach schedule, and other changes. The new engagement strategy will help
guide the outreach efforts, but will remain flexible to evolve as we go through the planning process
to course correct as needed.
Task 2.3: Stakeholder Interviews
COMPLETED.
Task 2A Community Workshops and Open Houses
The SJH Team will lead the development of several community -wide events/workshops (some
entirely virtual) throughout the process. The format and structure of each will be different to reflect
a specific topic or update phase, however each will include educational information and
opportunities for public feedback. For the City of Rancho Cucamonga General Plan, we are
proposing the following large-scale outreach efforts, but these may be modified in collaboration
with City staff:
Virtual Future Festival. This multi -day workshop will produce educational information on
General Plans, provide background/existing conditions information, and allow community
members to dialogue on key issues and opportunities identified in the online surveys and
SJH, Inc.
Page 64
early stakeholder input. input on what makes the City unique and special, issues facing the
City, and opportunities for the future.
• Focus Area Workshops (2). Organize two (2) workshops (or one multi -day event) focused
on potential changes in key locations in the City, such as the Foothill Boulevard Corridor.
The workshop will include background educational information on the specific areas and
then discussions of if and how the area could transition over time. Most likely these
workshops will take place virtually.
• Policy Direction Open House. Toward the end of the policy development phase of the
project, we will organize a community open house (virtual, in person or potentially a
combination) to review the proposed General Plan direction for all major topics of the plan.
Various topic "stations" will be developed to share the proposed policies and programs.
• Draft General Plan Open House. After the Draft General Plan is released for public review,
an open house is recommended to review the content and collect feedback from the
community.
For each event(s), the SJH Team will take a lead in developing the format, agenda and other
materials — and will lead the facilitation. City staff will provide logistical support, may assist in the
preparation of materials including layout, print materials and assist with staffing each event. City
staff will also provide web support for virtual meetings. SJH will look to STP for imagery, maps and
exhibit development.
Task 2.5: Pop- Up Workshops and Displays
At key junctures in the process, the Team will prepare for and attend "pop-up" workshops or
"intercept" meetings at planned, well -attended events or sites. The pop-up workshops will be held
at times and locations convenient for a wide cross section of participants (e.g., youth, young
families, minority groups, and other traditionally underrepresented groups). Each pop-up will
include educational materials and interactive exercises. The Team will prepare materials for pop-
up workshop during the following four phases:
• Issues, Opportunities and Visioning. This series will identify the issues facing the community,
the opportunities for improvement, the strengths of the community and the overall vision
and direction of the City. A few late summer/early Fall PlanRC informational pop -ups may
be organized if social distancing policies are relaxed. (Note: visioning materials & schedule
were prepared early in the process but was interrupted with Covid-19. However, some
handouts and boards can still be utilized.)
• Sub -Area Alternatives. During the alternatives phase, the SJH Team will organize a series
of pop-up workshops to obtain feedback on the alternatives. Our expectation is that we will
create one board for each major change area of the City and then hold pop-up workshops
in that specific area. The pop -ups will comply with social distancing policies and procedures
in place which may mean the events are not staffed, but merely illustrate opportunities and
drive stakeholders to the website to provide input. Pop -ups may also be organized as
"virtual" events. Assume support from STP with alternative graphics, imagery, and maps.
SJH, Inc.
Page 65
Topic Pop -Ups. During the policy development phase, the SJH Team will organize and
facilitate pop-up workshops on various topics, including housing, transportation, health and
climate change. The pop -ups will comply with any social distancing policies and procedures
which may mean the events are not staffed but will provide information and drive
stakeholders to the website to provide input. Pop -ups may also be organized as "virtual"
events.
• Policy Direction and/or Draft Plan. Near the end of the citywide policy development or plan
development phase, or after the draft General Plan is released, the SJH Team will organize
and facilitate a series of pop-up workshops to obtain feedback on the changes to the
General Plan and a prioritization of implementation actions.
It is anticipated that City staff will help organize and staff pop -ups as appropriate. SJH Team will
prepare a summary for each phase of pop-up events.
Task 2.6: Online Surveys
At key junctures in the process, the SJH Team will collaborate with staff and other team members
to develop questions and content for online surveys. SJH will take the lead on reviewing and
compiling a high-level summary of the survey input received. This will include contributing to a
survey using the MetroQuest platform during the guiding principles and issues development phase,
along with brief surveys and/or polls throughout the process.
Task 2.7: Ongoing Community Engagement
Throughout the process, the SJH Team will assist City staff with community engagement relative to
the General Plan. This task includes time for engagement activities that are not specifically identified
in the scope of work. Potential activities are listed below.
• Organizing educational videos or speaker events
• Organizational "roadshows"/speakers bureau
• Meetings with neighborhood associations and stakeholder groups throughout the process.
• Organizing topics -specific focus groups or roundtable discussions.
• Participating in one-on-one stakeholder meetings throughout the project.
• Preparing content for educational materials.
• Developing overall project messaging for issues as they arise throughout the process
• Youth engagement, including youth -focused public workshops.
• Web -based activities and content not connected to surveys, workshops, and pop -ups.
• Other engagement activities determined in conjunction with City staff
Task 4.2: Vision & Guiding Principles
The SJH Team will support the development and/or updating of the vision statement and guiding
principles, focusing on relevant input provided from the community.
Task 7.3: Admin Draft General Plan
The SJH Team will contribute to the following two sections of the General Plan: (1) Vision and
Guiding Principles, and (2) Engagement Summary/Setting the Stage.
SJH, Inc.
Page 66
Task 13.1: Team Working Meetings
SJH will participate in up to two one -day team working meetings to advance the development of
the general plan.
Task 13.3: Status/Management Meetings and Calls with City
SJH will participate in meetings and communications with the City as related to community
engagement. These are assumed to be meetings scheduled in addition to the ongoing one-hour
weekly engagement calls.
SJH, Inc.
Page 67
Veronica Tam and Associates, Inc.
2021-2029 Housing Element
Scope of Work
Housing Element
Task 1: Evaluation of Current Housing Element
The Housing Element must include an evaluation of the effectiveness and continued appropriateness of
the housing programs contained in the City's current adopted Housing Element. This review must take
into consideration the market conditions and funding environment. We will review the City's Housing
Element Annual Progress Reports and supplement with recent efforts not yet reported to HCD. Based on
outcomes of the Community Engagement process, new housing programs may be suggested.
Task 2: Demographic and Housing Needs Assessment
We will prepare a complete housing assessment and needs analysis consistent with State Housing
Element law and HCD's Completeness Review Checklist, using the most recent data as available.
We will also introduce a new section to address access to opportunities as required by the new State law
on Affirmatively Furthering Fair Housing (AFFH) (AB 686). Since the City of Rancho Cucamonga is a CDBG
entitlement jurisdiction, it should have prepared an Analysis of Impediments (AI) to Fair Housing Choice.
Analysis and actions contained in the Al will be incorporated into the Housing Element. Additional
discussions, such as access to opportunities, segregation, and place -based strategies, consistent with
federal AFFH Rule will be introduced in the Housing Element. Based on our discussions with HCD staff,
HCD also anticipates the implementation of the State AFFH requirement would have implications on the
residential sites inventory. Specifically, residential development, especially high-density development
should not be concentrated in specific locations.
Task 3: Housing Constraints
Significant changes have been made to the State housing laws since 2013. We will review the City's
current Housing Element, Zoning Ordinance, and General Plan to identify potential governmental and
non-governmental constraints to housing production, including environmental and infrastructural
constraints, shortage of labor, etc. Also, recent changes to special needs housing, such as Supportive
Housing, Low Barrier Navigation Center, Accessory Dwelling Units, etc. will be incorporated into the
analysis.
In addition, this task needs to be coordinated with the overall General Plan Update to incorporate any
proposed changes to land use designations, development standards, and development review
procedures.
Veronica Tam and Associates, Inc. Scope of Work
Page 68
Task 4: Housing Resources and Opportunities
The Housing Element must include an inventory of vacant and underutilized sites available for residential
development in meeting the City's RHNA for the sixth cycle. Based on the Draft RHNA Methodology, the
City's 6th cycle RHNA is expected to be at least 10,000 units. The sites inventory strategies include:
• Eligible credits of built and approved units against the RHNA
• Specific plans and master planned communities with remaining entitlements that can be
constructed within the sixth cycle.
• Vacant and non -vacant residential sites
• Vacant and non -vacant mixed-use sites or nonresidential sites that allow residential uses
• Accessory dwelling units
• Alternative approaches (substantial rehabilitation, acquisition/rehabilitation, preservation of at -
risk housing, and purchase of affordability covenants)
• Potential areas of change
Task 5: Coordination With General Plan Process
Identifying adequate sites for the RHNA needs to be coordinated with the overall General Plan Update to
reflect changes in land use policies. However, due to the timing of the General Plan, it is not likely that
the City would be able to develop the Preferred Land Use Alternative in time for the Housing Element,
which must be adopted by October 15, 2021 (with a 120 -day grace period). Therefore, we anticipate
preparing the sites inventory with both the current General Plan and the proposed General Plan. We will
review the sites inventory in the current Housing Element to determine which sites continue to be
available and could be reused for the 6th RHNA. Specifically, we will review and update the sites
inventory to comply with AB 1397 (Adequate Housing Element Sites) and SB 166 (No Net Loss). The
Housing Element would need to outline the shortfall in sites based on the current GP and other planning
efforts. The Housing would include a program to specify how the proposed GP would fulfill the shortfall.
Task 6: Housing Element — Administrative Draft
Based upon the analyses and research conducted in previous tasks, we will update the Housing Element
for Rancho Cucamonga. The updated Housing Element will include all required components under State
law, along with relevant appendices. For each program included in the Housing Element, we will
establish the timeframe for implementation, specific objectives, funding sources, and responsible
agencies. The programs will satisfy requirements of Government Code Sections 65583(b) and (c).
Task 7: Housing Element — Screencheck Draft
We will prepare a Screencheck Draft Housing Element, incorporating staff comments.
Task 8: Housing Element — Public Draft
A Public Draft Housing Element will be prepared for presentation before the Planning Commission, prior
to submitting the Element for HCD Review.
Task 9: Planning Commission Study Session
We will conduct one study session on the Draft Housing Element. We will prepare the PowerPoint
presentation, summarizing key components of the Housing Element, and major changes compared to the
5th cycle Housing Element.
Veronica Tam and Associates, Inc. Scope of Work
Page 69
Task so: HCD Review
Typically, HCD has 60 days to review the draft Housing Element. We will serve as the City's
representative and liaison to HCD during the review. We will be the primary contact for HCD and
communicate with HCD staff as necessary to answer any questions about the document and resolve any
issues.
Task 11: Final Housing Element
Upon completion of HCD review, we will finalize the Housing Element for adoption, which likely precede
the General Plan adoption. Our scope and budget includes attending one Planning Commission hearing
and one City Council hearing for the adoption of the Housing Element.
Task so Deliverables
• Review of past accomplishments
• Needs assessment and constraints analysis
• Sites inventory
• Housing Element —Administrative Draft
• Housing Element — Screencheck Draft
• Housing Element — Public Draft
• Final Housing Element
General Plan Involvement
In addition to the Housing Element preparation, VTA will also participate in the following tasks and
activities relating to the overall General Plan program:
• Community Workshops (2): VTA will participate in two community workshops. Budget includes
assisting in preparing workshop materials.
• Ongoing Community Engagement: VTA will attend other community engagement activities, such
as meetings for the City's inclusionary housing ordinance.
• Implementation Framework: VTA will participate in discussions on revising the General Plan
policies, including housing -related issues that may be implemented in other General Plan
elements.
• Working Meetings: VTA will participate working meetings with staff and the General Plan team,
including meetings to discuss the land use alternatives and other City initiatives such as the
inclusionary housing ordinance.
• Planning Commission or City Council Study Session for General Plan Adoption (1): VTA will attend
one study session for the adoption of the General Plan. This is expected to occur after the
Housing Element is already adopted.
• Ongoing Project Management and Status Update: VTA will provide status update and participate
in overall project coordination.
Veronica Tam and Associates, Inc. Scope of Work 3
Page 70
Housing Element Budget
Below is the budget for completing the Housing Element and participating in the overall General Plan
program.
Veronica Tam and Associates, Inc. Scope of Work
Page 71
$ 160
$ 125
$ 100
Task
Tam
Plnrs
Plnrs
Budget
Housing Element Tasks
Task 1: Evaluation of Current Housing Element
2
16
$
1,920
Task 2: Demographic and Housing Needs Assessment
16
107
$
13,260
Task 3: Housing Constraints
16
80
$
12,560
Task 4: Housing Resources and Opportunities
40
20
160
$
24,900
Task 5: Coordination with General Plan Process
16
$
2,560
Task 6: HE - Administrative Draft
12
20
40
$
8,420
Task 7: HE - Screencheck Draft
6
8
16
$
3,560
Task 8: HE- Public Draft
4
4
8
$
1,940
Task 9: Planning Commission Study Session
6
2
$
1,160
Task 10: HCD Review
40
40
$
10,400
Task 11: Final Housing Element
14
6
$
2,840
General Plan Tasks
Community Workshops (2)
8
12
$
2,480
Ongoing Community Engagement
7
$
1,120
Implementation Framework
8
$
1,280
Working Meetings
20
$
3,200
City Council and/or Planning Commission Study Session (1)
6
2
$
1,160
Status/Management Meetings and Calls with City
14
$
2,240
Miscellaneous
$
550
235
132
409
$
95,550
Veronica Tam and Associates, Inc. Scope of Work
Page 71
Proposed Scope of Work
The following is the scope of services for Fehr & Peers (F&P) for the Rancho Cucamonga General Plan Update. The
budget for the scope of work is included in Exhibit B. The level of effort for each task and by each Consultant Team
member is included in the budget. The goal is to have the General Plan adopted and EIR certified in the first quarter
of 2022.
Fehr & Peers (F&P) is responsible for the scope tasks highlighted in yellow below. The completed tasks are
highlighted in green and partially completed tasks are highlighted in blue. Descriptions in italics represent additions
to the team scope of work to further define Fehr & Peers specific role. Subtasks without highlighted text indicate
that Fehr & Peers has no role.
Task s: Project Initiation
Task 1.1: Project Kick-off Meeting
W P will
Task 1.2: Collect and Review Existing Planning Documents; Prepare Map Book
Fwill review documents and data relevant to mobility and transportation and provide R+A with a list of
eq'uested documents and data from the City. F&P will also prepare a series of transportation maps depicting
existing tWsportations in t
Task 2: Community Engagement
F&P will participate in up to 8 hours of community engagement as part of the project. The specific tasks will
be defined as the project moves forward.
Task 3: Discovery
Task 3.1: Review and Assess Existing Reports, Studies, and Regulations
JKP will review documents relevant to mobility and transportation, summarize applicability of recent State
regulations that impact thAJJJNWlog&d provide input to the matrix, as needed.
Task 3.4: Mobility and Transportation
ck mmarizing existing mobility conditions, which will include an
inventory of transportation facilities (roadway, parking, transit, pedestrian, bicycle), and a summary of
their current operation. The report will include existing functional classification of City streets; an
inventory of existing signalized intersections; collision statistics in the City over past five years; pertinent
traffic and travel information available from the City, SBCTA, the US Census, and other sources; existing
transit services and facilities; existing bicycle facilities; and existing pedestrian facilities. The purpose of
this review is to identify existing data needs and determine which of the previous data collection and
mapping efforts can be employed in this analysis.
The current City of Rancho Cucamonga Circulation Element was last updated in 2010 to focus on infill
development. Since the last update, several major changes to the transportation landscape related to
Rancho Cucamonga have occurred:
Exhibit A: Fehr & Peers Scope of Work
Page 72
• At the state level, SB 743 is removing vehicular level of service (LOS) as a CEQA significance
criteria and replacing it with vehicle miles traveled (VMT).
• SCAG's adoption of the 2016 Regional Transportation Plan/Sustainable Communities Strategy
(which will be updated in May of 2020).
• Technological changes affecting the way transportation services are delivered, including
transportation network companies (e.g., Uber, Lyft), mobile apps (e.g., Waze), rise of shared
mobility (e.g., car share, bike share, subscription -based mobility, scooters), and internet
shopping/home delivery.
• Upcoming and future trends that will further rlicriint trarlitinnal annrnarhPc to trancnnrtatinn
(e.g., autonomous vehicles and microtransit).'
• Changing demographic tastes, including more interest in active transportation, heal
living.
This review will reflect on-going work completed by the City, such as the Etiwanda Hei
Lakes Specific Plans, which are implementing Complete Streets principles.
In addition, F&P will collect existing transportation data for use in this study. F&P will use existing traffic
counts from other studies, but new traffic counts will likely be required. The scope and budget assume
that F&P will conduct 24-hour machine traffic counts on up to 40 roadway segments.
F&P has access to the latest SBCTA regional model (SBTAM) that was completed in 2018 and is consistent
with the 2016 RTP/SCS. Depending on when the land use planning for the General Plan is completed, F&P
will utilize the most recent version of the SBTAM model, potentially with updated land use from the 2020
RTP/SCS. We anticipate employing the model for the following purposes:
• Future roadway segment volumes for the Circulation Element
proach, which will exclude
through travel, but account for vehicles traveling within and into and out of the City. It is
anticipated that these VMT forecasts will be employed for the Greenhouse Gas Emissions analysis
that the Prime will perform.
• VMT forecasts using the methodology developed through the SB 743 implementation effort we
are currently completing.
It is anticipated that land use and roadway characteristics will be reviewed and revised to be consistent
with the General Plan planning assumptions. Please note that we have not budgeted to recalibrate
SBTAM, nor have we budgeted to develop a new calibrated model for this effort, rather, we propose to
utilize the best tool available to develop forecasts for this effort. Our fee estimate assumes that the land
use data will be provided by Traffic Analysis Zone (TAZ) in a format that can be incorporated into the
model. F&P has budgeted to complete up to three model forecasts to test General Plan scenarios as part
of this effort.
This review of transportation conditions will also leverage the existing work completed previously,
including SBCTA's active transportation work, recent specific plans, and Healthy RC efforts.
Exhibit A: Fehr & Peers Scope of Work
Page 73
Task 3.11: Performance Metrics
F&P will develop performance metrics for mobility and transportation to be included in this deliverable. Time for
this work will be billed to Task 3.4.
Task 3.12: Key Issues/Opportunities Report
F&P will write issues and opportunities summaries as part of Task 3.4. This information will be included in the Key
Issues/Opportunities Matrix. F&P will review the Matrix to ensure accuracy.
bask 4: Citywide Visioning
Task 4.1: Citywide Scenarios
F&P will work with the Prime and Sargent Town Planning (STP) to prepare citywide transportation scenarios to
support the land use scenarios.
Task 4.2: Vision and Guiding Principles
F&P will draft portions of the vision statement and guiding principles to reflect relevant mobility and transportation
objectives. These will be integrated into overall General Plan vision and guiding principles.
Task 4.3: Vision Diagram and Key Strategies
F&P will support the Prime in updating the vision diagram and key strategies to reflect major transportation
improvements and new policy directions relevant to mobility and transportation.
Task 5: Land Use, Design, and Transportation Alternatives
Team 5.3 Team Working Meeting on Sub Area Plans
F&P will participate in up to 3 days of a team working meeting on land use and transportation alternatives and sub-
area plans, including preparation of materials and collaboration with City staff, as it relates to transportation and
mobility.
Circulation. Each alternative will identify future roadway, transit, and active transportation networks
required for the anticipated levels of change or growth based in part off guidance from both City staff
and the public input process. For the detailed area plans, F&P will coordinate with STP on developing
appropriate transportation strategies (including complete street applications and appropriate
transportation network considerations).
F&P will develop circulation concepts for each alternative as defined above. This work will be billed to Task 5.3.
Task 5.5: Alternatives Analysis
Mobility Analysis. F&P will conduct analysis for VMT per Service Population at the TAZ and Citywide level
to understand the travel patterns and identify the mitigation measures to reduce VMT.
Task 5.7: Analysis of Preferred Direction
F&P will conduct the mobility analysis of the preferred alternative using the some methods described in Task 5.5.
Exhibit A: Fehr & Peers Scope of Work
Page 74
Task 6: Citywide Policy Development/Technical Analysis
Task 6.3: Mobility Policy Framework (F&P)
F&P will lead the development of goals and policies to improve multimodal access and safety in Rancho
Cucamonga which will include topics such as:
• Complete Streets. Planning for streets that are designed and operated for safe access to all.
Instead of prioritizing one mode over another, complete streets provide travel options for all
modes of transportation and all users of all ages and all abilities; including pedestrians, bicyclists,
motorists, and public transportation users. For Rancho Cucamonga, this may take a layered -
networks approach; whereby they would identify preferred modes by corridor to assist with
prioritization of the City's available right of way.
• Mobility Hubs. Identifying places where different modes of travel converge seamlessly. Best
located near high frequency transit and mixed-use development with a concentration of
employment, shopping, housing, and/or recreation, mobility hubs can provide easy transition
between different modes.
• Vision Zero. Acknowledging traffic deaths and injuries are preventable, it allows cities to approach
prioritizing projects differently — not only addressing current problems, but proactively targeting
future safety concerns.
F&P will solicit input from the GPAC for each of these key topics (or other key topics identified during the
outreach process related to mobility) and will develop a policy framework and a "Mobility for All" chapter
for inclusion into the General Plan document.
Task 6.12: Implementation Framework
The Consultant team will develop a citywide implementation framework that identifies key
implementation actions for achieving the vision of the General Plan, including catalytic private projects,
areas for public investment, major additional studies and methods to connect the General Plan with day -
today activities of city government.
F&P will contribute materials to the Implementation Framework as part of their work on othersubtasks.
Task 7: General Plan Development
Task 7.3: Admin Draft General Plan
The Prime will prepare an Administrative Review Draft General Plan based on the established Community
Vision and Guiding Principles.
The following highlights the major topics expected to be addressed in the General Plan. As discussed
above, the structure of the General Plan will be determined during the project.
Mobility
F&P will prepare the Mobility Element of the General Plan. This will include policies that meet the intent
of SB 743 and address Mobility for All people of the community. Key topics will include complete street
designs, street classification, transportation safety, parking, disruptive changes, among other topics.
F&P will prepare and draft the Mobility Element, including goals, policies, and implementation actions.
Exhibit A: Fehr & Peers Scope of Work
Page 75
Task 742nd Admin Draft General Plan
F&P will review comments from Staff and provide a revised admin draft of the Mobility Element.
Task 7.6: Public Draft General Plan
F&P will review comments and prepare a public draft of the Mobility Element.
I ask 11: Review + Adoption
Task 11.3: City Council and Planning Commission Hearings
F&P will attend one Planning Commission hearing and one City Council hearing, including preparation of materials
and PowerPoint, as relevant to mobility and transportation.
Task 12: Environmental Impact Report Preparation
Task 12.5: Technical Analysis
To the maximum extent possible the results of the technical analysis will be presented as GIS layers
accompanied by supporting text. Visual representation of the technical data will help the public and
the decision makers process all of the background information. The following technical analysis will
be used to inform the relevant sections of the EIR.
Task 12.5.1: Traffic and Transportation
F&P will prepare the Transportation and Traffic section of the EIR and will summarize the previously
developed existing conditions analysis for inclusion in the transportation impact study. Using the SBTAM
travel demand forecasting (TDF) model, F&P will estimate local and regional growth in transportation
demand, based on SBTAM future land use forecasts and known regional transportation network changes.
SBTAM future land use estimates for the City of Rancho Cucamonga will be vetted with the project team
and City staff prior to running the model to forecast future conditions. Future roadway traffic volumes
and LOS will be estimated using the verified land use forecasts and General Plan transportation network
and provided to City staff for their use.
Transportation impacts will be evaluated using VMT and will be consistent with the SBCTA/City of Rancho
Cucamonga requirements that are currently under contract to the City. Transportation impacts
associated with the General Plan will be evaluated in accordance with the standards identified in Phase 1.
Mitigation measures will be identified to address impacts associated with the general plan.
F&P will support the project team in its development and quantification of General Plan sustainability
strategies through the following:
• Assisting with the development of any GHG reduction targets
• Calculating the effectiveness of national and statewide strategies related to transportation
• Developing and quantifying VMT and GHG reduction strategies related to
Transportation. F&P will then prepare a draft report for review and submittal.
F&P is solely responsible for this task. F&P has budgeted a total of 40 hours of staff time to respond to comments
received on the Draft EIR chapter.
Task 13: Project Management and Team Meetings
Task 13.1: Team Working Meetings
Exhibit A: Fehr & Peers Scope of Work
Page 76
F&P will participate in up to 3, one -day team working meetings, in addition to preparing materials and
collaborating with City staff, as it relates to mobility and transportation.
Task 13.2: City Council and/or Planning Commission Study Sessions
F&P will attend one City Council and/or Planning Commission study session, including preparation of materials and
PowerPoint, as relevant to mobility and transportation.
Task 13.3: Status/Management Meetings and Calls with the City
F&P will participate in meetings and check-in calls with the City, as they relate to mobility and transportation.
The scope and budget assume 6, 1 hour check in calls and 2 in-person meetings with City staff.
Task 13.4: Ongoing Project Management
F&P will participate in on-going meetings and communications with the City, as they relate to mobility and
transportation.
Exhibit A: Fehr & Peers Scope of Work
Page 77
Page 1
SCOPE OF WORK
CITY OF RANCHO CUCAMONGA GENERAL PLAN UPDATE
ASCENT ENVIRONMENTAL, INC.
INTRODUCTION
The following is the scope of services for Ascent Environmental, Inc. (Ascent) for the Rancho Cucamonga
General Plan Update. Tasks not specifically identified or described herein shall be considered out of scope
under the terms of the contract. The budget for the scope of work for Ascent is included in Attachment A.
The level of effort for each task is included in the budget.
SCOPE OF WORK
Task 1: Project Initiation
Subtask 1.1: Project Kickoff Meeting
Two key members of the Ascent team will attend a full-day kick-off meeting in Rancho Cucamonga to
initiate the project. This meeting will include an overall team meeting, one-on-one topic -specific meetings
with City staff, and a tour of the City. The topic -specific meetings with staff may be related to land use and
growth, economic development, health and sustainability, transportation, and community engagement.
Ascent will also participate in a discussion on the proposed framework and approach for evaluating
existing conditions and for presenting, structuring and evaluating potential growth and change scenarios.
Completed
Deliverables
Input towards Kick-off Meeting Notes
Subtask 1.2: Collect and Review Existing Planning Documents; Prepare Map Book
The City will provide Ascent with a comprehensive list of documents and data related to air quality, noise,
greenhouse gases (GHGs), and climate change and sustainability necessary to prepare the General Plan.
Following delivery of materials, Ascent will prepare a supplemental data request list to obtain additional
data from the City. Ascent will also review existing planning documents and technical reports relevant to
air quality, noise, GHGs, and climate change and sustainability provided by the City.
Completed
Deliverables
Data and document request
Task 2: Community Engagement
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Throughout the process, Ascent will assist City staff with community engagement relative to the relevant
elements of the General Plan. This task includes time for engagement activities that are not specifically
identified in the scope of work. Potential activities are listed below.
Organizing educational videos or speaker events to provide background information to the
public on General Plan topics
Meetings with neighborhood associations and stakeholder groups throughout the process
Participation in and feedback on the branding program for the General Plan
Participating in one-on-one stakeholder meetings throughout the project
Contributing content for the project website
Preparing content for educational materials, including project fact sheets, frequently asked
questions
Attending pop-up workshops
Developing overall project messaging for issues as they arise throughout the process
Organizing topics -specific focus groups or roundtable discussions
Preparing brief online surveys
Youth engagement, including youth -focused public workshops
Other engagement activities not included in the above tasks
No set activities are proposed in this scope of work, but a maximum budget is identified in Attachment A.
Ascent will participate in up to 32 hours of community engagement as part of the project. The specific
tasks will be defined in coordination with the City team as the project moves forward.
Deliverables
To be determined within the identified budget
Task 3: Discovery
Ascent will prepare a series of stand-alone technical existing conditions reports that summarize the current
conditions and future trends for topics critical to the General Plan update. The existing conditions analysis
will include the technical reports and studies listed below. Each report will include a summary of existing
physical information, a summary of critical State and regional regulations, a summary of relevant plans and
reports for the topic, and summary conclusions that focus on issues and opportunities. The reports are
intended to provide a high-level summary of the key strengths, weaknesses, opportunities and threats for
each topic that guide policy development in the General Plan.
Subtask 3.1: Review and Assess Existing Reports, Studies, and Regulations
Ascent will review existing reports, studies, and work with staff to determine how the information should
be incorporated into the General Plan. Documents reviewed will include the existing General Plan and
zoning ordinance, regional planning documents, and other plans, studies, reports, and regulations that
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would provide additional information relative to air quality, noise, GHGs, climate change and sustainability
for the General Plan Update effort.
Completed
Deliverables
Review of existing conditions data/reports provided by City
Subtask 3.2: Air Quality, Greenhouse Gas Emissions and Climate Change Vulnerability,
and Noise Background Reports
Ascent will prepare background reports for Air Quality, GHG Emissions and Climate Change Vulnerability,
and Noise as described below.
Air Quality Background Report
Ascent will prepare an Air Quality Background Report to support the General Plan Update and EIR. This
report will contain information with sufficient detail to establish the environmental and regulatory settings
needed to inform both policy development for the General Plan Update and the environmental analysis of
the Environmental Impact Report (EIR).
Environmental Setting: Ascent will provide updated information regarding air quality measurements, as
well as monitoring or reporting data, from existing published sources for criteria pollutants and toxic air
contaminants (TACs). This information will include previously reported criteria pollutant emissions from the
2010 General Plan for baseline and future conditions. Ascent will also summarize any recent or planned
changes in stationary or mobile sources.
Regulatory Setting: Ascent will provide an updated accounting of the region's attainment status for various
pollutants per the California Ambient Air Quality Standards (CAAQS) and the National Ambient Air Quality
Standards (NAAQS), along with relevant regional air quality regulations, thresholds, or guidance issued by
the South Coast Air Quality Management District (SCAQMD). Ascent will summarize relevant regional
regulations, plans, and programs from the Southern California Association of Governments (SCAG) and the
San Bernardino Council of Governments that help to address air quality issues, such as major
transportation improvements or plans, congestion management plans or measures, alternative
transportation modes and programs, and transportation demand management programs. Ascent will also
document locally contributing actions that have the co -benefit of reducing air pollution, such as GHG
reduction measures in the City's Sustainable Communities Action Plan.
Greenhouse Gas Emissions and Climate Change Vulnerability Background Report
Ascent will prepare a GHG emissions and Climate Change Vulnerability Background Report to support the
General Plan Update and EIR. This report will contain information with sufficient detail to establish the
environmental and regulatory settings needed to inform both policy development for the General Plan
Update and the environmental analysis of the EIR.
Ascent will review existing information on climate change effects in Rancho Cucamonga and assess the
city's vulnerability to climate change, using the California Adaptation Planning Guide, Cal -Adapt, and other
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existing tools and resources. The vulnerability assessment will be conducted at a citywide plan level. Ascent
will also review and summarize existing plans and programs developed to date and document ways to
leverage these existing resources. The vulnerability assessment will be reviewed by Atlas Planning
Solutions, as it is relevant to hazard mitigation planning and Safety Element preparation.
Regulatory Setting: Ascent will identify federal, state, and local regulations, standards, and guidance
related to GHG emissions reductions and climate change vulnerability.
Noise Background Report
Ascent will prepare a Noise Background Report, including vibration, to support the General Plan Update
and EIR. This report will contain information with sufficient detail to establish the environmental and
regulatory settings needed to inform both policy development for the General Plan Update and the
environmental analysis of the EIR.
Environmental Setting: Ascent will summarize current, historic, and projected noise levels from various
sources, including mobile (i.e., roadways, aircraft), stationary (i.e., equipment, major industrial facilities, or
other fixed infrastructure), and area -wide sources (e.g., general urban noise from daily activities that is
generally short term or intermittent in nature).
Ascent will also review and summarize previous noise modeling included in the 2010 General Plan for
baseline and future conditions. Ascent will update the existing conditions noise maps and diagrams
currently included in Chapter 8: Public Health and Safety of the General Plan,) and/or develop functional
equivalents to these maps per the State's current Noise Guidelines for Land Use Planning and subsequent
changes addressed in the 2017 General Plan Guidelines.
Regulatory Setting: Ascent will identify federal, state, and local regulations, standards, and guidance
related to noise, including the City's existing noise regulations per the Rancho Cucamonga Municipal
Code.
Completed
Deliverables
Air Quality Background Report (Administrative Draft, Screencheck Draft, and Final)
Greenhouse Gas Emissions and Climate Change Vulnerability Background Report
(Administrative Draft, Screencheck Draft, and Final)
Noise Background Report (Administrative Draft, Screencheck Draft, and Final)
Task 5: Land Use, Design, and Transportation Alternatives
Subtask 5.5: Alternatives Analysis
It is understood that the General Plan team will prepare a "matrix -level" analysis of the alternatives, which
may include details such as the number of jobs, housing units, economic benefit, transportation impact,
and others (as needed and analytical techniques are readily available). This analysis will help determine the
overall capacity of the transportation system and the relative ability of each alternative to satisfy the City's
mobility goals. It is our understanding that four separate analyses will be prepared for each alternative:
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Land Use Impacts, Fiscal Impacts, Mobility Analysis, and GHG/Climate Change. Ascent will prepare the
GHG/Climate Change analysis while other topics will be led by either the City or other General Plan team
members.
GHG/Climate Change. To support the alternatives analysis, Ascent will calculate estimated GHG emissions
for each area (up to 3 alternatives per area) and, if needed, citywide alternatives. Ascent will prepare a draft
worksheet with estimated GHG emissions. Following receipt of one set of consolidated comments, Ascent
will prepare a final worksheet with estimated GHG emissions.
Deliverables
GHG Worksheet for Alternatives (Draft and Final)
Task 6: Citywide Policy Development/Technical Analysis
Subtask 6.6: Air Quality and GHG Policy Framework
Air Quality Policy Framework
The air quality policy framework will include draft goals, policies, and implementation actions for the
General Plan Update related to air quality. Air quality is currently addressed in the 2010 General Plan in
Chapter 8: Public Health and Safety. The air quality policy framework will be informed by and consistent
with the findings in the Air Quality Background Report prepared under Task 3 and will be developed
consistent with the California 2017 General Plan Guidelines and current SCAQMD guidance. The air quality
policy framework will address health and equity to show consistency with the 2017 General Plan Guidelines.
The air quality goals, policies, and implementation actions could be included in several elements of the
General Plan Update, in particular the Environmental Justice, Health, Wellness, and Equity Element.
There can be significant overlap between goals, policies, and implementation actions that improve air
quality and those that support environmental justice, health, wellness, and equity. Because the air quality
policy framework will be developed concurrently with the environmental justice, health, wellness, and
equity policy framework, Ascent will coordinate with other members of the consultant team and City staff
to develop an air quality policy framework that complements and supports the environmental justice,
health, wellness, and equity policy framework. To the extent the air quality policy framework overlaps with
other policy frameworks, Ascent will also coordinate with other members of the consultant team and City
staff.
The typical elements of a community risk reduction plan will be incorporated into the air quality policy
framework in a qualitative manner. A community risk reduction plan is a comprehensive strategy to
minimize community health risks associated with toxic air contaminants and fine particulate matter in both
existing and new development. The policy framework will include specific long-term goals, policies, and
implementation actions to reduce communitywide exposure to TACs and fine particulate matter. The
approach will programmatically address the primary sources of TACs in or near the city, including
surrounding freeways (e.g., I -1S and 1-210), major roadways (e.g., Foothill Boulevard and Base Line Road),
and industrial sources in the southern third of the city. The City strives to provide support for lifelong
learning through a strong school system and a supportive environment for families. These community
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members are especially sensitive to air pollution and; therefore, a comprehensive approach to improving
air quality that includes both source -control and receptor -oriented measures is appropriate and advisable
for the City.
This scope of work includes an optional task for preparation of Community Risk Reduction (CRRP) which
would quantitatively address emissions of TACs and fine particulate matter. If that task is selected the CRRP
will be developed in tandem with the air quality policy framework. The budget in Attachment A includes a
separate line item for the CRRP which is not reflected in the total amounts.
The air quality policy framework can specifically address impacts to disadvantaged communities through
CalEnviroScreen mapping and potential integration with the community risk reduction planning approach
described above. CalEnviroScreen is a mapping tool that helps identify California communities that are
most affected by air pollution and other sources of pollution, and where people are often especially
vulnerable to pollution's effects. Addressing health and equity in this manner would also provide an
important co -benefit of GHG reductions, specifically through use of zero -emissions technology and
supporting infrastructure and other source -control measures. Air quality and GHG reduction measures
should be closely integrated to achieve optimal results.
Greenhouse Gas Emissions and Climate Change Adaptation Policy Framework
This policy framework will build on and update information from the City's Sustainable Community Action
Plan to develop draft goals, policies, and implementation actions for the General Plan Update related to
GHG emissions reduction and climate change adaptation. This policy framework will be informed by and
consistent with the findings in the Greenhouse Gas Emissions and Climate Change Vulnerability
Background Report prepared under Task 3.7 and will be developed consistent with the California 2017
General Plan Guidelines and current SCAQMD guidance. The goals, policies, and implementation actions
could be included in several elements of the General Plan Update, including Land Use, Public Realm/Urban
Design, Mobility, Conservation and Open Space, and Environmental Justice, Health, Wellness, and Equity.
There can be significant overlap between goals, policies, and implementation actions that reduce GHG
emissions and adapt to climate change and other goals, policies, and implementation actions in several
other elements of the General Plan Update. As a result, Ascent will develop a GHG emissions reduction and
climate change adaptation policy framework that complements and supports the other policy frameworks.
Ascent prepared the vulnerability assessment (under Task 3) and under this task will provide review of
climate adaptation -related policies developed by Atlas Planning Solutions for inclusion in the local hazard
mitigation plan and Safety Element. In addition, quantification of VMT- and transportation demand
management (TDM) -related policies will be provided by Fehr and Peers. Ascent will incorporate input from
Atlas Planning Solutions and Fehr and Peers into the Greenhouse Gas Emissions and Climate Change
Adaptation Policy Framework.
Ascent will also support engagement and outreach activities related to this framework within the maximum
budget identified under Task 2 in Attachment A. As specific activities related to this activity are not known
at this time, they will be identified in conjunction with City staff and other members of the consultant team,
within the identified budget.
Deliverables
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Air Quality Policy Framework (Draft and Final)
GHG Emissions and Climate Change Adaptation Policy Framework (Draft and Final)
Subtask 6.7: Noise Policy Framework
Ascent will prepare and recommend updates to goals, policies, and implementing action items of the
Noise Element to set appropriate standards and regulations for different land use types in Rancho
Cucamonga consistent with the requirements of state law and the California 2017 General Plan Guidelines
issued by OPR. The updates will place specific emphasis on the City's focus on infill development and
compatibility with surrounding noise sources. The R+A team will focus on tailoring traditional approaches
to be conducive to infill development with appropriate standards and attenuation techniques that do not
create physical barriers.
Ascent will review the Health and Environmental Justice policy framework and incorporate appropriate
health and environmental justice goals and policies into the Noise Policy Framework, in coordination with
City staff's efforts. Ascent will coordinate with other members of the consultant team and City staff to
develop a Noise Policy Framework that complements and supports the other policy frameworks.
Deliverables
Noise Policy Framework (Draft and Final)
Task 7: General Plan Development
Climate Change, GHG and Sustainability
This element will address broad sustainability topics and include policies to reduce GHG emissions and
adapt to climate change. Content for this element will draw on the Greenhouse Gas Emissions and Climate
Change Adaptation Policy Framework and the Greenhouse Gas Emissions and Climate Change
Vulnerability Background Report. Ascent will develop goals, policies and programs for other topics related
to sustainability and green buildings. These may include supporting activities or strategies and measures
that are not quantified but have an ancillary sustainability- related benefit. Ascent will add content to
approved document and graphics templates provided by the City or other members of the consultant
team. Each element will also include goals, policies, and implementation actions. Atlas Planning Solutions
will provide support on the Climate Change, GHG, and Sustainability Element to ensure consistency with
language in the Safety Element.
Noise
This element will set appropriate noise standards and regulations for different land use types in Rancho
Cucamonga consistent with the requirements of State law and the California 2017 General Plan Guidelines.
The standards and regulations will include tailoring traditional approaches to be conducive to infill
development with appropriate standards and attenuation techniques that do not create physical barriers.
Content for this element will draw on the Noise Policy Framework and the Noise Background Report.
Ascent will also add content to approved document and graphics templates provided by the City or other
members of the consultant team.
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Task 8: Climate Action Plan; Air Quality, Greenhouse Gas Emissions
Technical Analysis
After the preferred alternative for the General Plan Update is selected by the City, Ascent will prepare the
Climate Action Plan and the technical memoranda for Air Quality and Noise as described below.
Task 8.1: Air Quality Technical Memorandum
Ascent will model and analyze air quality impacts for the project. The technical memorandum will
characterize the existing air quality environment and applicable regulatory framework using the
Background Report prepared in Task 3.7. It will assess long-term air quality impacts in accordance with the
regulations and standards of the SCAQMD.
Ascent will model criteria pollutants using the California Emissions Estimator Model (CaIEEMod) based on
the land use plan and traffic analysis of the preferred alternative for the General Plan Update. Ascent will
model emissions from existing developed uses and future potential uses and compare the difference to
the thresholds promulgated by the SCAQMD. Ascent will discuss construction emissions qualitatively
because it is speculative to analyze construction impacts at the program level of a General Plan. Ascent will
also discuss carbon monoxide hotspots qualitatively. Ascent will identify any existing toxic air contaminant
emitters in and within one-quarter mile of the planning area and discuss land uses that could support
future emitters. Ascent will discuss land uses that produce odor impacts and analyze both existing and
potential future impacts on the planning area and vicinity. Ascent will also analyze consistency with the Air
Quality Management Plan (AQMP). It is likely that significant and unavoidable air quality impacts will occur
as a result of emissions of one or more criteria pollutants.
Task 8.2: Climate Action Plan and Greenhouse Gas Emissions Technical Memorandum
In this task, Ascent will prepare a standalone CAP. An overall objective of the General Plan Update is to
meet the requirements of Section 15183.5 (Tiering and Streamlining the Analysis of GHG Emissions) of the
State CEQA Guidelines through preparation of a standalone CAP. Doing so will eliminate the need for
future GHG emissions analysis under CEQA for projects consistent with the General Plan Update. This
scope of work does not include preparation of a separate CAP consistency checklist.
The CAP will include an existing GHG emissions inventory. Ascent will prepare a baseline year GHG
emissions inventory for communitywide emissions in the city and coordinate with City staff and other
agencies to collect required data to perform the inventory updates. The GHG emissions inventory will serve
as the reference point to which emissions forecasts and reduction targets can be compared during
preparation of the policy framework and the technical analysis. The Sustainable Communities Action Plan
and the San Bernardino County Regional GHG Reduction Plan used a 2008 baseline year for the GHG
inventory. Ascent will develop an inventory for the most recent year for which data are available, aligned
with the base year for the General Plan Update.
Ascent will prepare GHG emissions projections for future years and identify reduction targets and goals
consistent with State legislation and the General Plan Update buildout year. The future year projections will
be based in part on the growth projections of the preferred alternative selected for the General Plan
Update. Projections will be prepared for two future -year business -as -usual (BAU) scenarios: (1) BAU
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without the CAP or implementation of applicable legislative actions; and (2) BAU with legislative reductions
associated with implementation of adopted federal and state legislation (e.g., renewable energy portfolio
standards, California Green Building Code standards, vehicle emissions controls, and fuel efficiency
standards). Ascent will forecast GHG emissions for 2030 (consistent with SB 32 and EO B-30-15) and for the
General Plan Update horizon year. Ascent will identify and recommend a 2030 GHG emissions reduction
target consistent with State legislation referenced above, as well as a target consistent with the General
Plan Update horizon year. We will apply the targets under consideration to the updated baseline GHG
emissions inventory and forecasts to determine the amount of GHG reduction needed at each benchmark
year. The targets will be prepared consistent with guidance issued by CARB for local plan -level analysis in
the 2017 Climate Change Scoping Plan (i.e., 6 metric tons of carbon dioxide equivalent [MTCO2e] per
capita for 2030).
Ascent will work with the City to develop GHG reduction strategies and specific measures intended to
achieve the GHG reduction targets. We will develop a set of draft GHG reduction measures for City staff
review. The GHG reduction measures of the CAP will be developed in tandem with the policy framework
described in Task 6.7. The task will incorporate Fehr and Peers' input on VMT- and TDM- related quantified
reductions.
Ascent will quantify GHG reductions that would be achieved by the GHG measures for the forecast and
target years, along with a GHG reduction "gap analysis" for the draft GHG reduction measures to
determine whether the draft measures would achieve the City's GHG reduction targets. All information,
assumptions, and target indicators used to quantify potential emissions reductions will be documented in a
single, master data set for the GHG gap analysis.
The CAP will discuss the effects and implications of climate change as they pertain to Rancho Cucamonga,
along with potential adaptation strategies that could be implemented to mitigate these effects. Locally, the
effects of climate change in the city could include the following: higher temperatures, a greater number of
extremely hot days, changes in the pattern and amount of precipitation, decreased water supplies
accompanied by increased demand, increased wildfire risk, changes in ecosystems, and decline or loss of
plant and animal species. A number of adaptation actions are being addressed through the Local Hazard
Mitigation Plan, which will be an important resource for the adaptation section of the CAP. The CAP will
incorporate available guidance and tools to provide a robust, integrated assessment of climate -related risk
and vulnerability along with strategic adaptation planning. Examples include the California Natural
Resources Agency's California Adaptation Planning Guide, California Environmental Protection Agency's
Preparing California for Extreme Heat: Guidelines and Recommendations, and California Department of
Public Health's Integrating Public Health in CAPS. Policies developed by Atlas Planning Solutions will be
incorporated into the standalone CAP to allow ease of updates in the future.
Ascent will work with the City to define, as part of the CAP document, a framework for evaluating and
monitoring CAP implementation. Implementation of identified measures in the CAP will need proper
staffing, financing, and resource allocation. The CAP will include a section on different methods to
implement individual measures, monitoring GHG emissions in the city, and maintaining and updating the
CAP. For each measure, the CAP will identify the recommended schedule of implementation, the specific
entity(ies) responsible for implementation, and available financing mechanisms.
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Ascent will prepare a technical memorandum summarizing the technical and policy contents of the CAP
needed for preparation of the GHG emissions section of the General Plan Update EIR. The GHG emissions
technical memorandum will include coordination with SCAQMD to identify the significance threshold(s) for
GHG emissions impacts, and analysis of the General Plan Update for consistency with the State Scoping
Plan and the SCAG Regional Transportation Plan and Sustainable Communities Strategy (RTP/SCS).
Partially completed
Task 8.3: Noise Technical Memorandum
Ascent will model and analyze the existing and future noise levels in the community. We will conduct noise
measurements to calibrate the traffic noise model and to establish representative examples of fixed and
transportation -related sources. Using traffic data from the traffic analysis, Ascent will analyze the existing
and future traffic noise levels adjacent to the arterials and highways within the planning area. Ascent will
compare existing and future noise levels to adopted standards and guidelines.
Ascent will develop noise contours for each arterial and highway segment included in the traffic study
relative to the roadway centerline. Ascent will update the noise maps and diagrams currently included in
Chapter 8: Public Health and Safety of the General Plan, including the Future Noise Contours map
(currently Figure PS -10 in the General Plan) and/or develop functional equivalents to these maps per the
State's current Noise Guidelines for Land Use Planning and subsequent changes addressed in the 2017
General Plan Guidelines . The contours will use either the community noise equivalent level (CNEL) or the
day -night sound level (Ldn) metric, as preferred by the City. The technical memorandum will also identify
areas where significant noise impacts could occur and suggest programmatic measures to avoid such
impacts through implementation of standard planning and environmental review procedures.
Deliverables
Data needs list for the CAP
Air quality technical memorandum (Admin Draft, Draft, Administrative Final, and Final Drafts)
Greenhouse gas emissions technical memorandum (Admin Draft, Draft, Administrative Final,
and Final Drafts)
Noise technical memorandum (Admin Draft, Draft, Administrative Final, and Final Drafts)
Climate Action Plan (Admin Draft, Draft, Administrative Final, and Final Drafts)
Task 13: Project Management and Team Meetings
Task 13.1: Team Working Meetings
It is understood that at up to four points in the process, key members of the consultant team will prepare
for and attend working meetings to brainstorm and work collaboratively with City staff on cross cutting
issues and concerns and to develop Plan content. The proposed timing of these meetings is as follows:
1. Kick-off meeting at the beginning of the project (covered in Task 1.1)
2. Developing sub -area alternatives — up to 3 days (covered in Task 5.3)
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3. Developing policy direction — (this will occur during task 6)
4. While refining goals, policies, and actions for the General Plan (this will occur during task 7)
Ascent will participate in up to three (3), one -day team working meetings, in addition to preparing
materials and collaborating with City staff, as they relate to air quality, noise, climate change, GHG, and
sustainability, within the associated budget for this task. Ascent participation will be targeted to three (3)
relevant one -day meetings and participation will not cover all meetings listed above. The meetings may fall
within any of the four categories specified above and Ascent's participation with be coordinated in
advance with the City team.
Task 13.3: Status/Management Meetings and Calls with the City
It is anticipated that the City will schedule in-person meetings and check-in calls with the consultant team
to discuss the status of the project and coordinate on project activities. Ascent will participate in meetings
and check-in calls with City staff, as they relate to air quality, noise, climate change, GHG, and
sustainability. The scope and budget assume 12, 1 -hour check in calls, and 3 in-person meetings.
Partially completed
Task 13A Ongoing Project Management
Throughout the project, the Ascent team will manage our portion of the scope of work for the General
Plan and coordinate with City staff on the direction of the relevant elements of the project. This includes
regular communication with City staff (outside of scheduled conference calls), and other project
management tasks such as contracting, invoicing processing task orders. Ascent will participate in on-
going meetings and communications with the City, as they relate to air quality, noise, climate change,
GHG, and sustainability, within the associated budget for this task.
Partially completed
Ascent Environmental, Inc.
19010121.00
May 28, 2020
i.• - ::
Page 12
ATTACHMENT B
PRICE PROPOSAL
CITY OF RANCHO CUCAMONGA GENERAL PLAN UPDATE
The proposed price for the Rancho Cucamonga General Plan Update is presented on the enclosed
spreadsheet.
Please note that the price is estimated based on a good faith effort and current understanding of the
project needs of the City. Variations in approach, issues, and deliverables can adjust the contract price.
Ascent is very interested in listening to the City's needs and willing to revise the scope of work and price to
meet the City's expectations.
ASSUMPTIONS
1. Time and Materials: Work is authorized on a time -and -materials basis and will be billed monthly.
2. Staff Assignment. Work has been assigned to the identified staff or labor category. Ascent may
reassign tasks to different staff or labor categories, as long as the total contract price is not
exceeded.
3. Billing Rates. The proposed billing rates apply to the current calendar year. For work performed
after this year has concluded, budget augmentations and contract amendments will be calculated
using updated billing rates, unless precluded by contract terms.
4. Meetings and Conference Calls. The number and duration of proposed meetings and conference
calls are specified. If they are exceeded, a budget augmentation would be warranted.
5. Changes to the Project or Alternatives. If the descriptions of the project and alternatives are
changed after they have been approved for use by the City, a budget amendment will be
warranted to the extent completed work needs to be revised or redone.
6. Scope of Analysis. The price is based on the proposed scope of analysis. If new technical issues,
alternatives, field surveys, modeling, or analysis is identified after contract execution, a budget
amendment would be warranted.
7. Adequacy of Provided Materials. Materials provided by others are assumed to be complete and
adequate for use in the analysis. If supplemental or revised analysis, studies, data, or fieldwork is
needed to render such materials adequate, a budget amendment would be warranted.
8. Consolidated Comments. The City will provide Ascent with one consolidated set of reconciled,
nonconflicting comments on preliminary drafts.
9. Responses to Public Comments. Preparing responses to public comments is not included in the
budget, because the number and complexity of public comments are unknown. Ascent and the
City will agree on a price to prepare responses to comments and amend the contract accordingly.
Ascent Environmental, Inc.
19010121.00
May 28, 2020
Page 89
Exhibit A —
Atlas Planning Solutions
PlanRC Scope of Work
The following is the scope of services for Atlas Planning Solutions as part of the Rancho
Cucamonga General Plan Update team. Tasks not specifically identified or described herein
shall be considered "extra work" under the terms of the contract. The budget for the scope of
work for Atlas Planning Solutions is included in Exhibit B, which identifies the original budget
allocated at the start of the project and the remaining amount available as of May 1,2020. The
level of effort for each task is included in the budget.
Task 1: Project Initiation
Task 1.1: Project Kick-off Meeting
Atlas Planning Solutions will attend a full-day kick-off meeting and City Tour in Rancho
Cucamonga to initiate the project.
This task is complete as of May 1, 2020.
Task 1 Deliverables
0 Meeting attendance at a Kickoff Meeting and City Tour
Task 3: Discovery
Task 3.8: Natural Hazards Background Report (Safety)
Atlas Planning Solutions will prepare a natural hazards background report. Hazards topics
anticipated in this report include: seismic hazards, flooding, wildfire, other geologic hazards,
and severe weather phenomena that may impact the City's residents and businesses. Using
existing readily available quantitative and qualitative data and information from the US
Geological Survey (USGS), California Geological Survey (CGS), California Board of Forestry and
Fire Protection (Cal FIRE), and Federal Emergency Management Agency (FEMA), this report will
identify the relevant conditions that may affect future development conditions and constraints.
Preparation of this report will occur in close coordination with Tasks 3.4 and to ensure
compliance with SB 379 requirements.
This task is approximately 90% complete as of May 1, 2020.
Task 3 Deliverables
0 Natural Hazard Background Report
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Task 6: Citywide Policy Development/Technical Analysis
Task 6.11: Safety Policy Framework
Atlas Planning Solutions will develop policy framework as part of this task that focuses on the
relevant hazards consistent with government code requirements, as well as concerns identified
by the community during outreach and engagement efforts. Recent changes in Government
Code Section 65302 (g) 1 require Cities to identify applicable goals and policies to protect the
community from unreasonable risks associated with:
• Seismically induced surface rupture
• Ground Shaking
• Ground Failure
• Tsunami, Seiche, and Dam Failure
• Slope Instability (Mudslides and Landslides)
• Subsidence
• Liquefaction
• Flooding
• Wildland and Urban Fires
• Evacuation Routes
• Military Installations
• Peak load Water Supply Requirements, and
• Min. Road Widths & Clearances Around Structures
As part of this task, Atlas Planning will identify key implementation actions for achieving the
vision of the General Plan.
As of May 1, 2020 this task has not been initiated.
Task 6 Deliverables
• Draft and final policy frameworks for the Safety Element and input to key implementation
actions.
--'• 7: G---,ral Plan Development
As of May 1, 2020 this task has not been initiated.
Task 7.1: Plan Outline
Atlas Planning Solutions will assist the Project Team in the development of a detailed outline of
the General Plan. This task will focus on the relevant topics and sub- topics associated with the
Safety Element.
Task 7.3: Admin Draft General Plan
Supporting the Project Team during preparation of the Administrative Review Draft General
Plan based on the established Community Vision and Guiding Principles.
Task 7.3A - Climate Change, GHG, and Sustainability Element Review
The Atlas Planning Solutions team will review the Climate Change, GHG, and Sustainability
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Element to ensure consistency with the Safety Element in task 7.313.
Task 7.313— Safety Element
Atlas Planning Solutions will prepare the Safety Element of the General Plan. This will include
policies related to natural and human -caused hazards consistent with Government Code
Section 65302 (g) 1. It is anticipated that the hazards of greatest concern for the City will be:
Earthquakes, Floods/ Dam Inundation, Wildfire, Extreme Heat, Drought, Hazardous Materials
Release; and Climate Change/Adaptation. These hazards are anticipated to be addressed in the
LHMP, and with adequate referencing, will ensure compliance with AB 2140.
Note: As part of this task, this element will require submittal to Cal FIRE and the California Board
of Forestry and Fire Protection upon circulation of the Public Review Draft of the General Plan.
Task 7.4: 2" "Admin Draft General Plan
Upon completion of City staff review of the Admin Draft General Plan, Atlas Planning Solutions
will address these comments and create a 2nd Admin Draft Safety Element for staff review.
Task 7.5: Screencheck Draft General Plan
Upon completion of City staff of the 2nd Admin Draft General Plan, Atlas Planning Solutions will
prepare the Screencheck Draft General Plan Safety Element. These changes are expected to
confirm and build on previous changes and shall not require a wholesale revision to the plan or
entire sections.
Task 7.6: Public Draft General Plan
Upon confirmation by City staff, Atlas Planning Solutions will prepare a Public Draft of the
General Plan Safety Element based on minor, editorial, and formatting comments provided by
staff's review of the Screencheck Draft. This will be the version that will be presented to the
City Council and Planning Commission during the public hearing process and used for Cal FIRE
review and transmittal to the Board of Forestry and Fire Protection for approval.
Task 7 Deliverables
• Safety Element Plan Outline
• Administrative Draft, 2nd Admin, Screencheck, and Public Draft General Plan Safety
Elements
Task 9: Local Hazard Mitigation Plan
Atlas Planning Solutions will prepare a Local Hazard Mitigation Plan, which includes the
following tasks:
Task 9.1: Project Kick - Off Meeting and Research
This meeting will consist of initial research and development of background information that
will be discussed by the City's project manager and staff, and Atlas Planning Solutions. For initial
meetings like this, we typically recommend review and discussion of the following topics:
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• Team communication protocols
• Data needs and data requests
• Current planning and public works projects/initiatives
• Recent incidents/issues that are notable for the community
• Recent community outreach/engagement efforts
• Document guidelines and template preferences
• Related projects/efforts
• HMPC members/invitations
• Clarify mission and vision for the project
In preparation for this meeting Atlas Planning Solutions will provide examples of various
recurring issues we have seen during the planning process and discuss with City staff, with the
intent of eliminating potential pitfalls. Prior to this meeting, Atlas Planning Solutions will
conduct additional research and compile data that will be provided as part of the meeting
packet. Upon completion of the meeting, key R+A team staff will be available to conduct a site
reconnaissance with City staff to view and photograph particular locations of concern or
interest.
The LHMP planning process involves two very important components. To ensure compliance
with federal requirements, the process must include an internal meeting with a team of City
staff and other stakeholders and an outreach and engagement effort with the community to
allow for input and feedback into the process. The following tasks are proposed to comply with
these requirements:
As of May 1, 2020 this task has been completed.
Task 9.2: Hazard Mitigation Planning Committee Meetings
The Hazard Mitigation Planning Committee (HMPC) will consist of City staff, stakeholder
agencies (local, state, federal), and community partners invited by the City (nonprofits,
residents, businesses, etc.).
Facilitation of these meetings will focus on the planning process outlined in the DMA 2000,
FEMA's Local Mitigation Plan Review Guide, and Local Mitigation Planning Handbook. Atlas
Planning Solutions will conduct four 2 -hour meetings with the HMPC over the course of four
months as part of plan development. These meetings typically address the following topics:
• HMPC Meeting #1: Review the work program, schedule, community engagement
strategy, critical facilities list, and hazards of concern addressed in the plan.
• HMPC Meeting #2: Review hazard profiles, hazards mapping, and overview of risk
assessment, and hazard mitigation brainstorming.
• HMPC Meeting #3: Review, revise, and prioritize mitigation actions and discuss
monitoring and implementation workbook.
Meetings will be conducted in person or through an online platform like Zoom, with the HMPC
at a location designated by the City project manager. Four hours of staff time per staff member
have been assumed for each meeting for preparation, attendance, and travel. If additional
meetings or time are necessary, they can be provided under a separate scope and fee upon
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request.
As of May 1, 2020 this task is 25% complete.
Task 9.3: Hazard Mitigation Focus Group
A key component of the hazard mitigation planning process is outreach and engagement with
key stakeholders. To effectively complete this, Atlas Planning Solutions will conduct a
stakeholder meeting that will include key neighboring jurisdictions (Ontario, Fontana, Upland,
San Bernardino County), regional agencies, local non-profit organizations, and other
stakeholders interested in hazard mitigation efforts within the City. This meeting can be
integrated into other outreach and engagement efforts conducted by the General Plan Update
Team, if desired.
As of May 1, 2020 this task has not been initiated.
Task 9.4: Hazard Mitigation Outreach Opportunities
Public input and feedback is an important component of the LHMP planning process. The
following are recommended opportunities to provide a process that meets FEMA guidance and
requirements:
• Community Future Festival. This meeting opportunity will allow residents, businesses,
and interested stakeholders attend a virtual forum where attendees can ask questions
and learn about the hazard mitigation planning process.
• Public Review Draft Plan Review Meeting. This meeting will take place during the
required public review period and will allow all participants to comment on the draft
LHMP. The intent of this meeting is to explain the LHMP document (purpose, content,
etc.), next steps in the planning process, and provide a forum for input and feedback on
the plan and outstanding community concerns. We often recommend that this meeting
be conducted during a regularly scheduled City meeting (Planning Commission/City
Council).
• Final Adoption Meeting/Hearing. This meeting will take place upon receipt of final
approval from FEMA. At this meeting, the City Council will take final action to adopt the
LHMP. After it goes into effect, the City will be able to pursue additional grant funds for
future mitigation projects.
As of May 1, 2020 this task has not been initiated.
Task 9.5: LHMP Community Engagement/Outreach Content
As part of the overall community engagement/outreach process and to meet FEMA
requirements, Atlas Planning Solutions will assist in developing key content as part of the
overall engagement plan. The following tasks are anticipated:
LHMP Community Engagement Strategy Development
Atlas Planning Solutions will prepare community engagement strategy content for the hazard
mitigation planning component of the project. This content will outline the preferred options
for hazard mitigation planning engagement based on discussions with City staff and the General
Plan Update team. This content will focus on compliance with FEMA requirements, as well as
integration with the overall approach to engagement as part of the General Plan Update.
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Online Media/Survey Development
The following online outreach components are anticipated as part of the LHMP to comply with
FEMA requirements:
• Online Media. Atlas Planning Solutions will develop LHMP web content to be included in
the overall project website developed for the General Plan Update. This content will
explain what an LHMP is, why the City is preparing one, what information will be in the
plan, and ways that stakeholders can contact the City and stay engaged in the planning
process.
• Online Engagement Video. Atlas Planning Solutions will develop LHMP content for use
on an online video using Powtoons or other format.
Online Survey. Atlas Planning Solutions will develop online survey questions to be used
by City staff as part of the online engagement effort associated with PlanRC.
As of May 1, 2020 this task is 63% complete.
Task 9.6: Hazard Assessment (Hazard Identification, Hazard Prioritization, and Hazard
Mapping)
Development of the risk assessment for the LHMP will involve hazard identification and
profiles, hazard mapping, a vulnerability assessment, and capability assessment.
Hazard Identification and Profiles
Atlas Planning Solutions will develop profiles for natural hazards identified by the HMPC during
HMPC Meeting #1. These profiles are anticipated to include:
• Earthquakes;
• Floods/ Dam Inundation;
• Wildfire;
• Extreme Heat;
• Drought;
• Hazardous Materials Release; and
• Climate Change/Adaptation
Prioritize Hazards
Each profile will include a description of the hazard; previous occurrences, locations, and
extents (magnitude or strength); and probability of future occurrences. An important
consideration in hazard profiles is the impact associated with climate change. Although not
required by FEMA, Cal OES expects climate change be integrated into local hazard mitigation
planning efforts where possible.
Our recommendation is to address potential impacts and vulnerabilities within each hazard
profile since certain hazards can be exacerbated by climate change and others cannot. The
discussion is typically qualitative in nature; however, some quantitative analysis can be
incorporated based on the vulnerability assessment prepared by SBCTA and the assessment
that will be prepared as part of the project.
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Hazard Mapping
Mapping is an important element of the hazard mitigation planning process, as well as the
General Plan Update. The following tasks are recommended:
Critical Facilities Inventory
Atlas Planning Solutions will work with the HMPC to update the City's inventory of "critical
facilities" (key outcome of HMPC Meeting #1), which will be a key component of the risk
assessment. This inventory will assist the City in future capital improvements planning and
programming, which will be important for monitoring and implementation. Anticipated
facilities are public buildings, critical facilities and infrastructure (pump stations, reservoirs,
bridges), and other locations of concern. Upon completion and approval by the HMPC, this
inventory will be mapped in GIS.
GIS Mapping and Analysis
Atlas Planning Solutions will map the hazards of concern identified in the hazard profiles task,
above. This mapping will also rely on the work conducted in Tasks 3, 4, and 5 that identify and
analyze current and future land use and development trends in the planning area, which can
affect the City's potential mitigation strategy.
As of May 1, 2020 this task is 40% complete.
Task 9.7: Vulnerability Assessment
Atlas Planning Solutions will assist the City in the development of a Vulnerability Assessment,
which includes the following components:
Hazard Vulnerability Assessment
Using the hazard profiles, critical facilities inventory, GIS mapping and analysis, and capabilities
assessment (see task 6.3 B) to prepare a hazard vulnerability analysis that quantifies and
portrays the locations in the planning area that are most at risk for each hazard. Results of this
analysis are typically provided in a table identifying the hazards and critical facilities at risk,
where applicable. This assessment will combine potential loss estimates, analysis of
development trends, and identification of social vulnerability as primary outputs into the LHMP.
Capabilities Assessment
A capabilities assessment is a comprehensive review of the mitigation capabilities and tools
currently available to the City to implement the mitigation strategy. Using a community
capabilities assessment worksheet created by Atlas Planning Solutions, we will work with the
City to review current mitigation capabilities— e.g., programs, staffing, funding, and other
resources—as well as current infrastructure that is potentially vulnerable during a disaster.
Also, the capabilities assessment will review and describe the City's National Flood Insurance
Program participation, its floodplain management program, and how it complies with NFIP
requirements. Atlas Planning Solutions will identify, analyze, and prioritize mitigation actions
related to continued NFIP compliance and address "repetitive loss properties" if necessary. The
capabilities assessment will also describe the City's past and current mitigation activities. When
Atlas Planning Solutions 7
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the capabilities assessment is complete, Atlas Planning Solutions will use the information to
refine potential mitigation strategies that can be implemented to address City needs.
As of May 1, 2020 this task is 7% complete.
Task 9.8: Hazard Mitigation Strategy
Atlas Planning Solutions will assist the City in the development of a Hazard Mitigation Strategy,
which includes the following components:
Develop Hazard Mitigation Goals
A key outcome of the hazard mitigation planning process is the establishment of hazard
mitigation goals. Development of these goals will rely on work performed under Tasks 3, 4, and
5 of the General Plan Update work program. Key questions asked by Atlas Planning Solutions
during mitigation strategy development include:
• Do the goals reflect current state goals?
• Do the goals account for current and future hazard concerns in the City?
• Do the goals reflect the City's risk assessment?
• Do the goals support the City's mitigation priorities and capabilities?
Develop, Evaluate, and Prioritize Hazard Mitigation Actions
Atlas Planning Solutions will work with the HMPC to develop mitigation actions based on the
vulnerability and capability assessments. The identified mitigation actions will form the
comprehensive mitigation strategy. The identification and prioritization process will ensure that
mitigation actions/strategies are realistic and achievable and reflect long-term priorities.
Fundamental to the process are key factors such as life, property, health, and safety protection
and the availability of funding for any given project. Once identified, the "STAPLEE" approach
promoted by FEMA will be used as a framework for developing additional prioritization criteria.
Completion of the mitigation strategy will occur as part of HMPC Meeting #4, which includes a
facilitated discussion of the draft mitigation actions, identification of key responsible
departments, relative cost, and prioritization for future implementation.
As of May 1, 2020 this task has not been initiated.
Task 9.9: Hazard Mitigation Plan Implementation and Maintenance Process
Atlas Planning Solutions will prepare the Monitoring and Implementation chapter of the LHMP
that identifies the plan maintenance and implementation steps over the five-year plan period.
This chapter will describe the methods and schedule for monitoring, evaluating, and updating
the plan; how the mitigation plan elements will be incorporated into other planning
mechanisms; and how the public will remain involved throughout the planning process.
Completion of this task will also complete the Administrative Draft LHMP, which will be
distributed to the HMPC for review and comment upon completion.
As part of the Administrative Draft LHMP, Atlas Planning Solutions will also prepare an
Implementation and Monitoring Workbook to be used during the 5 -year implementation period
to track and monitor implementation. The workbook will be a reference guide for staff who
participated in the process, as well as staff who are unfamiliar with the process, but have a
connection to hazard mitigation activities.
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As of May 1, 2020 this task has not been initiated.
Task 9.10: Public Review Draft Hazard Mitigation Plan
Upon receipt of comments on the Administrative Draft LHMP, Atlas Planning Solutions will
prepare the public review draft of the document for final review and approval by the City. Upon
approval, the Draft LHMP will be distributed for the recommended 30 -day public review period.
Task 6.1 D identifies the public meeting where this draft of the plan would be made available
for review and comment.
As of May 1, 2020 this task has not been initiated.
Task 9.11:Cal OES/FEMA Draft Hazard Mitigation Plan
Upon completion of the public review period, Atlas Planning Solutions will review comments
received and prepare revisions to the LHMP document in preparation for transmittal to Cal
OES/FEMA. Completion of this task also includes preparation of the FEMA Plan Review Tool,
which will accompany the document when transmitted.
As of May 1, 2020 this task has not been initiated.
Task 9.12: Final Adoption Hazard Mitigation Plan
Upon receipt of an Approved Pending Adoption letter from FEMA, Atlas Planning Solutions will
prepare a final version of the LHMP for City Council adoption. As part of this task, Atlas Planning
Solutions will also assist staff with the content for the Staff Report and Resolution of Adoption.
Task 6.1 D identifies the final adoption hearing anticipated for approval of the LHMP.
As of May 1, 2020 this task has not been initiated.
Task 9 Deliverables
• Content for Community Engagement Plan
• Meeting Agendas and Sign In Sheets (HMPC Meetings)
• Administrative Draft LHMP (PDF/ 2 Hard Copies)
• Public Review Draft LHMP (PDF / 4 Hard Copies for City Review Locations)
• Cal OES Review Draft LHMP (PDF / 2 Hard Copies)
• Final LHMP for Council Adoption (PDF / 7 Hard Copies)
Task 13: Project Management and Team Meetings
Task 13.1: Team Working Meetings
Atlas Planning Solutions will participate in up to 1, one -day team working meeting, in addition
to preparation materials and collaborating with City staff, as it relates to the Safety Element.
As of May 1, 2020 this task has not been initiated.
Task 13.3: Status/Management Meetings and Calls with the City
Atlas Planning Solutions assumes up to six 1 -hour check in calls and three in-person meeting
with City staff related to the General Plan update.
As of May 1, 2020 this task is 16% complete.
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Task 13.4: Ongoing Project Management
Atlas Planning Solutions staff have up to 8 hours of staff time for ongoing project management.
As of May 1, 2020 this task is 12.5% complete.
Task 13 Deliverables
• One working meeting with City staff
• Attendance at Status/Management meeting and calls with City staff
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Exhibit B — Atlas Planning Solutions Remaining Fee (As of May 1, 2020)
Contractor Name: Atlas Planning Solutions
Project Name: Rancho Cucamonga GPU Project
Original Contract Amount: $116,240
Change Orders issued: $0
Current Contract Amount: $116,240
Invoiced
Budget
Task
Original Budget
(thru
% Complete
Remaining
4/30/2020)
(thru 4/30/2020)
(thru Project
Completion)
1.1: Project Kick-off Meeting
$
1,400
$
1,400
100.00%
$
-
3.8: Natural Hazards Background Report
$
9,640
$
8,720
90.46%
$
920
6.12: Safety Policy Framework
$
6,400
$
-
0.00%
$
6,400
7.1: Plan Outline
$
350
$
0.00%
$
350
7.3a: Climate Change, GHG, and Sustainability
$
700
$
0.00%
$
700
7.3b: Safety
$
10,520
$
0.00%
$
10,520
7.4: 2nd Admin Draft General Plan
$
3,680
$
0.00%
$
3,680
7.6: Public Draft General Plan
$
1,840
$
-
0.00%
$
1,840
9.1: Project Kick -Off Meeting and Research
$
2,280
$
2,280
100.00%
$
-
9.2: Hazard Mitigation Planning Committee Meetings
$
6,920
$
1,730
25.00%
$
5,190
9.3: Hazard Mitigation Focus Group
$
1,840
$
-
0.00%
$
1,840
9.4: Hazard Mitigation Public Meetings
$
5,520
$
-
0.00%
$
5,520
9.5: LHMP Community Engagement/Outreach Content
$
2,980
$
1,885
63.26%
$
1,095
9.6: Hazard Assessment (Hazard Identification, Hazard
Prioritization, and Hazard Mapping)
$
11,400
$
4,560
40.00%
$
6,840
9.7: Vulnerability Assessment
$
14,900
$
1,140
7.65%
$
13,760
9.8: Hazard Mitigation Strategy
$
10,520
$
-
0.00%
$
10,520
9.9: Hazard Mitigation Plan Implementation and Maintenance
Process
$
6,840
$
0.00%
$
6,840
9.10: Public Review Draft Hazard Mitigation Plan
$
5,440
$
0.00%
$
5,440
9.11: Cal OES/FEMA Draft Hazard Mitigation Plan
$
2,980
$
0.00%
$
2,980
9.12: Final Adoption Hazard Mitigation Plan
$
2,540
$
0.00%
$
2,540
13.1: Team Working Meetings
$
1,400
$
-
0.00%
$
1,400
13.3: Status/Management Meetings and Calls with the City
$
3,150
$
525
16.67%
$
2,625
13.3 Ongoing Project Management
$
1,400
$
175
12.50%
$
1,225
Total Labor
$
114,640
$
22,415
19.55%
$
92,225
Travel/ Mileage
$
600
$
-
0%
$
600
Direct office Expenses
$
1,000
$
-
0%F$
1,000
Total Reimbursable
$
1,600
$
-
0.00%
$
1,600
Project Total
$
116,240
$
22,415
19.28%
$
93,825
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MILYNEW01 MEW
EXHIBIT A: SCOPE OF WORK
The following is the scope of services for Strategic Economics (SE) for the Rancho
Cucamonga General Plan Update.
Task 3.6: Discovery - Economic Profile and Market Conditions
Strategic Economics will revise the economic profile and market conditions section of the
Existing Conditions Report.
Deliverable:
• Final Economic Profile and Market Conditions Report
Task 4.4: Citywide Visioning - Economic Trend Analysis and Market Demand for New
Development
Strategic Economics will examine historical and forecasted economic trends globally, as
well as in the U.S., state, and region (particularly the western part of San Bernardino
County) to provide context on the City's current market position, as well as its potential to
capture more jobs in emerging/growing industries over the long term. Some of the topics
to be potentially examined may include how technological and macro -economic shifts
are affecting key industry sectors in Rancho Cucamonga, including logistics and retail.
The analysis will consider regional forecasts from SCAG and national and regional
forecasts from other sources (e.g. U.S. Bureau of Labor Statistics, Bureau of Economic
Analysis, Woods & Poole and/or Moody's) for comparison. In addition, Strategic
Economics will conduct secondary research on key industry trends based on published
research and articles.
The findings of the economic trends analysis will inform the estimate of demand for new
buildings and development in Rancho Cucamonga over the next 20 years. Strategic
Economics' real estate market analysis will consider both non-residential and residential
uses. For the non-residential uses, Strategic Economics will analyze the performance of
existing commercial space (including industrial, office, hotel, and retail). This analysis will
include an assessment of historical market trends, such as rents/rates, vacancy rates,
construction, and absorption, and planned/proposed development in Rancho
Cucamonga. We will also identify the City's competitive advantages for the various land
uses, incorporating feedback from commercial real estate brokers, developers and
business owners.
Combining the results of the industry sector analysis and the real estate market analysis,
Strategic Economics will estimate the amount of non-residential uses that could be
captured in Rancho Cucamonga within the short term, and longer-term planning horizon
2991 SHATTUCK AVENUE #203 1 BERKELEY, CALIFORNIA 94705 1 P: 510.647.5291 1. STRATEGICECONOMICS.COM
Page 101
for the General Plan.
For the residential market analysis, Strategic Economics will assess the future potential
for market -rate housing of various types in Rancho Cucamonga. The analysis will
consider projected household growth by type of household, and trends in housing prices,
sales prices, and construction activity for housing of different types. The analysis will also
evaluate the potential for attracting more higher density, infill housing types near transit
and in focus areas on the Foothill Corridor, Haven Corridor, and Metrolink station area
based on the composition of new household growth in the city.
Deliverable:
Technical memorandum summarizing economic trends and market demand for
new development
Task 5.3: Land Use, Design, and Transportation Alternatives - Team Working Meetings
Strategic Economics will participate in team working meetings with consultants and city
staff to coordinate on the land use and transportation alternatives, meet with
stakeholders, develop and resolve policy alternatives, and collaboratively develop
conceptual ideas and a public realm framework.
SE will provide materials relevant to economic development based on its previous
technical analysis and deliverables, and collaborate with City staff during team working
meetings.
Task 5.5: Land Use, Design, and Transportation Alternatives - Alternatives Analysis
Strategic Economics will support the consultant team in developing the matrix -level
analysis of the alternatives, providing economic metrics such as new jobs generated per
acre, property and sales tax revenues generated per acre, and/or average wages per job
per acre.
Task 6.4: Citywide Policy Development - Economic Development Policy Framework
Strategic Economics will craft new goals, policies, and programs that will achieve the
City's identified economic goals and objectives, given the market and economic context.
Some of the topics addressed may include: attraction and retention of key industries,
encouraging higher -intensity development in focused areas (Foothill Corridor, Haven
Corridor, and Metrolink station area), enhancing the City's fiscal health and quality of life,
and investing in public infrastructure and facilities.
Task 6.12: Citywide Policy Development - Implementation Framework
Strategic Economics will contribute materials to the citywide implementation framework
that identifies key implementation actions for achieving the vision of the General Plan,
including catalytic private projects, areas for public investment, major additional studies
and methods to connect the General Plan with day-to-day activities of city government.
2
Page 102
Task 7.3: General Plan Development - Admin Draft General Plan Economic Development
Element
Strategic Economics will prepare and write an Economic Development Element (or
section of the Land Use Element). It will include policies and programs that will achieve
the City's identified economic goals and objectives given the market and economic
context. Some of the topics addressed may include: attraction and retention of key
industries, encouraging higher -intensity development in selected sub- areas (e.g.
Foothill Corridor, Haven Corridor, and Metrolink station area), enhancing the City's
fiscal health and quality of life, and investing in public infrastructure and facilities.
Task 7.4: General Plan Development - 2nd Admin Draft General Plan
If needed, SE will review comments from Staff and provide a revised admin draft of the
Economic Development Element. The budget for this task is scoped under Task 7.3
Task 7.6: General Plan Development - Public Draft General Plan
If needed, SE will review comments and prepare a public draft of the Economic
Development Element. The budget for this task is scoped under Task 7.3
Deliverables:
• General Plan Drafts of Economic Development Element- Admin, 2nd Admin, and
Public Draft
Task 13: Project Management and Team Meetings - Meetings with Consultant Team and
City Staff
SE will participate in meetings and check-in calls with the City and Consultant Team,
as they relate to economic development. The budget for this task is scoped under
Task 13.
OPTIONAL TASKS
Task A-1: Feasibility Analysis of Higher Density Development
Strategic Economics will build a pro forma model that measures the economic feasibility of
higher density development in the key areas of change, which may include: the Haven Corridor,
the Foothill Corridor, and the Metrolink transit station area.
Strategic Economics will develop assumptions for up to 5 building prototypes that exemplify likely
development projects, including office, residential, and mixed-use prototypes at various scales.
The building prototype inputs (height, FAR/density, unit types/sizes, parking, ground -floor
commercial, etc.) will be developed in close coordination with Sargent Town Planning. The pro
forma's revenue and cost inputs will be vetted with developers active in Rancho Cucamonga and
neighboring cities.
3
Page 103
The analysis will be structured to provide information about the potential land use incentives and
disincentives that the City could offer build the types of development products that are desired in
the areas of change (e.g. parking reductions, reductions in ground -floor retail requirements, etc.)
Deliverables:
• Draft Feasibility Analysis Memo
• Final Feasibility Analysis Memo
Task A-2: Fiscal Impact Analysis of Alternatives
Strategic Economics will estimate the fiscal impact of development of General Plan land use
alternatives. The analysis will estimate the fiscal impact of potential future development
scenarios compared to the baseline existing conditions on the City's General Fund. The fiscal
study will estimate the potential change in operating revenues and expenditures resulting from
projected growth in residential, office/R&D, and retail land uses. Strategic Economics will
analyze the property tax, sales tax, and other major sources of General Fund revenues generated
by the alternatives. Based on interviews with key City departments including Police, Fire, Public
Works, Parks and Recreation, Strategic Economics will calculate the increase in General Fund
expenditures for providing services to new residents and employees under each scenario. Based
on the results of the fiscal assessment, Strategic Economics will determine whether the
estimated public revenues would offset increases in the cost of public services to serve new
development.
Deliverables:
• Draft Fiscal Impact of Alternatives Memo
• Final Fiscal Impact of Alternatives Memo
Task A-3: Fiscal Impact Analysis for Draft Plan
Using the same fiscal impact model used for the alternatives analysis, Strategic
Economics will analyze the net fiscal impact of the draft plan alternative.
Deliverables:
• Draft Fiscal Impact of Draft Plan Memo
• Final Fiscal Impact of Draft Plan Memo
IN
Page 104
�At 9
STRATEGICECONOMICS
EXHIBIT B: PROJECT BUDGET
2991 SHATTUCK AVENUE #203 1 BERKELEY, CALIFORNIA 94705 1 P: 510.647.5291 1. STRATEGICECONOMICS.COM
Page 105
Staff
Srivastava
Cummings
Heather Bromfield
Title
Principal
Associate II
Associate
RA
TOTAL
Billing Rate
$235
$170
$140
$115
Tasks
Hours
Hours
Hours
Hours
Hours
Cost
Task 3
Discovery - Complete Existing Conditions Draft
0.5
2.5
0
0
3
$544.00
Task 4
Citywide Visioning
15
48.1
50
12.5
126
$20,143.00
Task 5
Land Use, Design, and Transportation Alternatives
24
18.8
16
0
59
$11,080.00
Task 6
Citywide Policy Development/Technical Analysis
8
18.8
16
0
43
$7,320.00
Task 7
General Plan Development
24
37.6
40
0
102
$17,640.00
Task 13
Project Management and Team Meetings
12
13.8
0
0
26
$5,170.00
Task Subtotals
83.5
140
122
12.5
358
$61,897.00
Balance of Expenses
$514.00
Total Budget Excluding Optional Tasks
$62,411.00
Optional tasks
A-1
Financial Feasibility Analysis
30
60
80
16
$30,290.00
A-2
Fiscal Impact of Alternatives
8
24
60
8
$15,280.00
A-3
Fiscal Impact of Draft Plan
4
8
24
$5,660.00
Task Subtotals
42
92
164
24
$51,230.00
2991 SHATTUCK AVENUE #203 1 BERKELEY, CALIFORNIA 94705 1 P: 510.647.5291 1. STRATEGICECONOMICS.COM
Page 105
DATE:
TO:
FROM:
INITIATED BY:
SUBJECT:
June 25, 2020
Mayor and Members of the City Council
John R. Gillison, City Manager
Jason C. Welday, Director of Engineering/City Engineer
Gianfranco Laurie, Senior Civil Engineer
CONSIDERATION TO ADOPT THE CAPITAL IMPROVEMENT PROGRAM
FOR FISCAL YEAR 2020/21.
RECOMMENDATION:
Staff recommends that the City Council Adopt the Fiscal Year 2020/21 Capital Improvement Program.
BACKGROUND:
Enclosed is the City of Rancho Cucamonga's Capital Improvement Program (CIP) for Fiscal Year
2020/21. The CIP is required per Government Code 65401 to be adopted by the City Council. It
consists of a multi-year plan for citywide infrastructure improvements. Each year, the City budgets for
funded projects which will occur during said fiscal year. A copy of Government Code 65401 is included
as Attachment 1.
The CIP is a vital piece of the City's Annual Operating Budget as it dictates major capital expenditures
obligated in any given year. The list of projects contained in the CIP addresses both the City's long and
short-term capital needs. It identifies projects that reflect the desires of the community, as well as
projects that serve operational and maintenance needs.
The City's Engineering staff works with all Departments within the City to develop and implement an
economically feasible CIP that embodies the City's public infrastructure needs. The CIP is the product
of joint planning, taken from the City's General Plan, local residents, the business community, the local
development community, and external government agencies.
ANALYSIS:
The projects in the CIP have been categorized by corresponding Departments and project names are
in alphabetical order within each section. A copy of the Fiscal Year 2020/21 CIP Summary Index is
included as Attachment 2. Individual project sheets include a short summary, cost, and year funded can
be viewed on the City's CIP Viewer online at:
https://regis.maps.arcgis.com/apps/webappviewer/index.htmI?
id=8c4e09a7fc5e450eb262d95be71e8b6e
The Fiscal Year 2020/21 CIP was also reviewed by the Planning Commission on May 27, 2020. At that
meeting, the Planning Commission adopted Resolution No. 2020-25 which made a finding that the CIP
is in conformance with the adopted City's General Plan.
Page 106
FISCAL IMPACT:
Projects are funded from a variety of sources including Development Impact Fees, Measure I, Gas Tax,
Senate Bill 1 (SB1), and miscellaneous grants. There are 72 projects totaling just over $32,000,000 to
be executed in the upcoming fiscal year. Apart from the 72 projects previously identified, 21 projects just
over $30,000,000 are identified as future and unfunded.
COUNCIL GOAL(S) ADDRESSED:
This item addresses the City Council's vision for the City by ensuring the construction of high quality
public improvements that promote a world class community.
ATTACHMENTS:
Description
Attachment 1 - Government Code
Attachment 2 - CIP Summary Index
Page 107
Government Cade
66401. If a general plan or part thereof has been adopted, within such time as may be
fixed by the legislative body, each county or city officer, department, board, or
commission, and each governmental body, commission, or board, including the
governing body of any special district or school district, whose jurisdiction lies wholly or
partially within the county or city, whose functions include recommending, preparing
plans for, or constructing, major public works, shall submit to the official agency, as
designated by the respective county board of supervisors or city council, a list of the
proposed public works recommended for planning, initiation or construction during the
ensuing fiscal year. The official agency receiving the list of proposed public works shall
list and classify all such recommendations and shall prepare a coordinated program of
proposed public works for the ensuing fiscal year. Such coordinated program shall be
submitted to the county or city planning agency for review and report to said official
agency as to conformity with the adopted general plan or part thereof.
Page 108
Page 109
CITY OF RANCHO CUCAMONGA - CAPITAL IMPROVEMENT PROGRAM -
FISCAL YEAR 2020/21
General Plan Reference(s)
No.
Project
Status
Funding Name
Account
Amount ($)
Community Services
CS -1.2, CS -2.1
1
All Inclusive Playground Improvement Project
F/U
Park Development
11204015650/2041120-0
250,000
CS -1.3, CS -2.5, PF -1.1, PF -1.4
2
Central ParkA/V Replacement
F
Capital Reserve
1025001-5603
220,000
CS -1.3
3
Central Park - Amphitheatre
F/U
Park Development
11204015650/xxxx120-0
8,500,000
CS -1.3
4
Central Park - Dog Park
F
Gas Tax R&T 7360
11743035650/2022174-0
201,760
F
State Grant
12744015650/2022274-0
2,686,760
21 888, 520
CS -1.3
5
Central Park - Trailhead and Gardens
F/U
Park Development
11204015650/1871120-0
6,000,000
PF -1.1, PF -1.2, PF -1.4
6
Cultural Center Courtyard - Redesign
F
Capital Reserve
10250015650/1894025-0
190,000
PF -1.4
7
Cultural Center- Lighting Control System
F
Capital Reserve
1025001-5602
50,000
CS -1.2
8
Etiwanda Creek Park Phase II
F/U
Park Development
11204015650/1664120-0
5,035,000
CS -1.8, CS -1.9
9
Garcia Park - Ball Field Lights
F
LIVID 9
11393035650/1981139-0
40,000
10
Parks Master Plan
F
Park Development
11204015650/2042120-0
250,000
CS -1.8
11
Quakes Scoreboard Replacement
F/U
Capital Reserve
1025001-5607
650,000
Community Services Total:
24,073,520
Engineering
Services
CM -1.1, CM -4.4
1
4th Street - Pavement Rehabilitation
F
Gas Tax R&T 7360
11743035650/2001174-0
450,000
F
Measure 1
11773035650/2001177-0
500,000
950,000
CM -5.1
2
6th Street at BNSF Spur Crossing West of Etiwanda
F/U
Transportation
11243035650/1839124-0
1,100,000
F/U
Unknown
xxxxxxxxxxx/1839xxx-x
1,825,640
2, 925, 640
CM -2.1, CM -3.7
3
6th Street Cycle Track
F
Infrastructure
11983035650/2005198-0
170,690
Page 109
Page 110
CITY OF RANCHO CUCAMONGA - CAPITAL IMPROVEMENT PROGRAM -
FISCAL YEAR 2020/21
General Plan Reference(s)
No.
Project
Status
Funding Name
Account
Amount ($)
9th Street Sidewalk Improvements from Baker Avenue to 700
CM -2.1
4
feet East of Baker
F
Infrastructure
11983035650/1808198-0
96,200
F
Safe Route
12343035650/1808234-0
90,800
187,000
CM -2.1
5
ADA Ramps @ Various Locations
F
Measure 1
11773035650/1150177-0
100,000
CM -4.1, CM -4.3
6
Advance Traffic Management System - Phase 2
F
Transportation
11243035650/2004124-0
612,000
CM -4.1
7
Archibald Avenue @ Victoria Street - Traffic Signal Installation
F/U
Transportation
11243035650/1510124-0
710,000
CM -1.1, CM -4.4
8
Banyan from Milliken to Rochester - Pavement Rehabilitation
F/U
Measure 1
11773035650/2033177-0
520,000
LU -11.2
9
Base Line Road Utility Underground
F
Underground Utilities
11293035650/1776129-0
40,000
PF -1.4
10
Civic Center East Lot - Electric Line Extension
F
Municipal Utility
17053035650/1986705-0
197,000
CM -2.1
11
Day Creek Channel Bike Trail from Jack Benny Drive to Base Lir
F
AB 2766
11052085650/2014105-0
216,000
F
Ped Grant/Art 3
12143035650/2014214-0
401,200
617,200
CM -1.1, CM -1.2
12
Etiwanda Avenue East Side Widening
F
Transportation
11243035650/2002124-0
152,000
Etiwanda Avenue from Arrow Route to Whittram Avenue -
RC -4.1
13
Electric Line Extension
F/U
Municipal Utility
17053035650/1999705-0
307,000
CM -1.1, CM -4.4
14
Etiwanda Avenue from Foothill Boulevard to Wilson Avenue
F
Measure 1
11773035650/2007177-0
100,000
CM -1.6
15
Etiwanda Avenue Grade Separation
F
SB 1 - TCEP
11813035650/1922181-0
11,000,000
PF -1.4
16
Fire Station 3 - SCE Exit to RCMU
F
Municipal Utility
17053035650/2036705-0
57,500
Foothill Boulevard @ Etiwanda Avenue - Traffic Signal
CM -4.1, RC -4.2
17
Installation
F
Gas Tax R & T 7360
11743035650/2031174-0
100,000
CM -1.1, CM -4.4
18
Foothill Boulevard from Grove Avenue to San Bernardino Roac
F
Gas Tax R&T 7360
11743035650/1964174-0
370,000
CM -1.1, CM -4.4
17
Foothill Boulevard - Pavement Rehaiblitation
F
Road Maintenance & Rehab
11793035650/1985179-0
1,850,000
CM -1.1, CM -4.4
18
Grind and Patch Asphalt Pavement @ Arterial Intersection
F
Gas Tax R&T 7360
11743035650/2010174-0
30,000
CM -2.1
19
Hellman Avenue - Sidewalk Improvements
F
Community Block Grant
12043145650/2016204-0
72,200
Page 110
Page 111
CITY OF RANCHO CUCAMONGA - CAPITAL IMPROVEMENT PROGRAM -
FISCAL YEAR 2020/21
General Plan Reference(s)
No.
Project
Status
Funding Name
Account
Amount ($)
CS -6.4
20
Heritage Park Bridge Replacements
F
PD 85
18483035650/1963848-C
100,000
F
Fire Capital Projects
32885015650/1963288-0
100,000
200,000
Hermosa Avenue from Foothill Boulevard to Church Street -
CM -1.1, CM -1.2
21
Street Widening
F/U
Beautification
11103165650/1976110-0
350,000
Gas Tax R&T 7360
11743035650/1976174-0
210,000
560,000
CM -1.1, CM -4.4
22
Local Street Pavement Rehabilitation @ Various Locations
F
Measure I
11773035650/1022177-C
490,000
F
Road Maintenance & Rehab
11793035650/1022179-0
550,000
11 040, 000
PF -4.1
23
Outdoor Animal Enrichment Space
F/U
Park Development
11204015650/1955120-C
88,000
Pecan Avenue from Whittram Avenue to Arrow Route - Street
HE -4.3.1
24
Improvements
F
Community Block Grant
12043145650/2038204-0
700,000
Rochester Avenue from 6th Street to Arrow Route - Pavement
CM -1.1, CM -4.4
25
Rehabilitation
F/U
Measure 1
11773035650/2000177-0
650,000
Rochester Avenue from Banyan Street to Highland Avenue -
CM -1.1, CM -4.4
26
Pavement Rehabilitation
F/U
Measure 1
11773035650/2039177-0
520,000
CM -2.1
27
School Crosswalk Improvements
F
Community Dev Block Grant
12043145650/2015204-C
247,300
CM -2.1
28
Sidewalk Improvements along Alpine Street & Ramona Avenue
F/U
Unknown
xxxxxxxxxxx/xxxxxxx-:
265,600
South East Corner at Foothill Boulevard and Etiwanda Avenue -
CM -2.1
29
Sidewalk Survey
F
Community Dev Block Grant
12043145650/2017204-0
10,000
CM -4.3
30
Syncronization at 10 Traffic Signals
F
Transportation
11243035650/2047124-C
361,800
RC -4.1, RC -4.2
31
The Resort Parkway (North) - Distribution
F
Municipal Utility
17053035650/2037705-C
5,000
Vineyard Avenue @ San Bernardino Road - Traffic Signal
CM -4.1
32
Modification
F
Transportation
11243035650/1994124-0
90,000
F
Fire Capital Projects
32885015650/1994288-0
150,000
240,000
Page 111
CITY OF RANCHO CUCAMONGA - CAPITAL IMPROVEMENT PROGRAM - FISCAL YEAR 2020/21
General Plan Reference(s) No. Project Status Funding Name Account Amount ($)
Whittram Avenue from Etiwanda Creek to Hickory Avenue -
CM -1.1, CM4.4 33 Pavement Rehabilitation F Community Dev Block Grant 12043145650/2032204-0 71,800
Youngs Canyon Road - Extension from Koch Place to Cherry
CM -1.2, CM -1.3 34 Avenue F AD 88-2 18132035650/1601813-0 600,000
Engineering ServicesTotal: 26,627,730
Public Works Services
PF -1.1, PF -4.3 1 Animal Care and Adoption Center- Office Remodeling F/U General Fund
PF -1.1, PF -3.1 2 Biane Library - Carpet Replacement F Capital Reserve
Page 112
32885015650/2030288-C
Fire District
32885015650/1645288-C
2,900,000
RC -5.1
1 Fire District - Solar Station 177
F
Fire Capital Projects
PS -1.1, PS -2.1, PS -2.3, PS -2.4
2 Fire District - Towne Center Station - 178
F
Fire Capital Projects
PF -1.4
3 Public Safety Facility Fiber Extension
F
Fire Capital Projects
F
Fiber Optic Network
F
Transportation
PS -1.1, PS -2.3
4 Station 175 - Fiber
F
Fire Capital Projects
PS -1.1, PS -2.3
5 Station 176 - Fiber
F
Fire Capital Projects
Library Services
PF -3.1, PF -3.2
1 Paul A. Biane Library - Second Story and Beyond Project
F
Library Capital Fund
Police Department
PF -1.1, PS -4.3
1 Sheriff Lobby Renovation
F/U
Capital Reserve
Public Works Services
PF -1.1, PF -4.3 1 Animal Care and Adoption Center- Office Remodeling F/U General Fund
PF -1.1, PF -3.1 2 Biane Library - Carpet Replacement F Capital Reserve
Page 112
32885015650/2030288-C
137,500
32885015650/1645288-C
2,900,000
32885015650/2034288-C
165,550
17113035650/2034711-0
47,300
11243035650/2034124-0
23,650
236,500
32885015650/2044288-C
30,250
32885015650/2045288-C
30,250
Fire ServicesTotal: 3,334,500
13296015650/1867329-C 925,000
Library Services Total: 925,000
1025001-5602 150,000
Police Department Total: 150,000
1001104-5602 20,000
10250001-5602 20,000
CITY OF RANCHO CUCAMONGA - CAPITAL IMPROVEMENT PROGRAM - FISCAL YEAR 2020/21
General Plan Reference(s)
No.
Project
Status
Funding Name
Account
Amount ($)
CS -1.3
3
Central Park - Refurbished Design
F
Capital Reserve
1025001-5602
12,000
CM -2.1
4
Citywide Concrete Repair
F
General Fund
1001318-5650/1991001-C
200,000
F
Measure 1
1177303-5650/1991177-0
100,000
300,000
PF -1.1
5
Citywide HVAC & Lighting Controls
F
Capital Reserve
1025001-5650/1978025-C
50,000
PF -1.1
6
Civic Center Carpet & Reconfiguration
F/U
Capital Reserve
1025001-5602
525,000
PF -1.1
7
Civic Center - HVAC Plant Replacement
F
Capital Reserve
10250015650/2029025-C
1,500,000
CS -2.5
8
Fleet Shop - Rental Space
F
Capital Reserve
1025001-5602
150,000
PF -1.1
9
LMD 2 - Light Pole Replacements
F
LMD 2
1131303-5607
25,000
LU -10.3, LU -10.6
10
LMD 2 - Water Conservation/Landscape Renovation
F
LMD 2
1131303-5650/1787131-C
400,000
LU -10.3, LU -10.6
11
LMD 4R - Water Conservation Landscape Renovation
F
LMD 4
11343035650/1787134-C
400,000
PF -1.1, PF -1.4
12
Old Town Park - Sports Lighting Structural Retrofit
F
LMD 1
1130303-5607
40,000
PF -1.1, PF -1.4
13
Paseo Lighting Retrofits
F
LMD 2
1131303-5650/1716131-C
25,000
PF -1.1, PF -1.4
14
PWSD Warehouse Expansion
F/U
Capital Reserve
10250015650/1927025-C
2,140,000
PF -1.1, PF -1.4
15
Replace Rubberized Playground Surface
F
CFD 2000-03
1868203-5607
148,000
PF -1.1, PF -1.4
16
Roof Repair
F
Capital Reserve
1025001-5602
250,000
PF -1.1, PF -1.4
17
Tennis Court - LED Light Project
F
LMD 10
1140303-5607
65,000
PF -1.1, PF -1.4
18
Traffic Signal Battery Backup System Replacemeni
F
Gas Tax R&T 7360
1174303-5650/1980174-C
127,500
F
Equip/Veh Replacment
1712001-5650/1980712-0
150,000
277,500
CM -4.1
19
Traffic Signal Modifications - Various Locations
F
Gas Tax R&T 7360
1174303-5650/2035174-C
176,000
PF -1.1, PF -1.4
20
Victoria Groves Park - RR Roof Replacement
F
LMD 2
1131303-5607
75,000
Public Works Services Total:
6,598,500
F/U = Future/Unfunded Project F= Funded FY2020/2021 Project
Page 113
DATE: June 25, 2020
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Jason C. Welday, Director of Engineering Services/City Engineer
Gianfranco Laurie, Senior Civil Engineer
Sandra Salazar, Associate Engineer
SUBJECT: CONSIDERATION OF A CONTRACT WITH ELECNOR BELCO ELECTRIC,
INC., IN AN AMOUNT OF $1,169,745, PLUS A 10% CONTINGENCY FOR THE
ADVANCED TRAFFIC MANAGEMENT SYSTEM PHASE I PROJECT.
RECOMMENDATION:
Staff recommends that the City Council:
1. Approve the plans and specifications for the Advanced Traffic Management System Phase I
Project (ATMS Phase I Project);
2. Accept the bids received for the Project;
3. Award and authorize the execution of a contract in the amount of $1,169,745; to the lowest
responsive bidder Belco Elecnor Electric, Inc.;
4. Authorize the expenditure of a 10% contingency in the amount of $116,975; and
5. Authorize a Purchase Order in the amount of $81,400 to Onward Engineering for on-call
construction inspection services.
BACKGROUND:
Engineering staff worked closely with Albert Grover & Associates (AGA) to identify and outline the
communication improvements required to support the City's traffic signal system and future deployment
of Intelligent Transportation Systems (ITS). AGA developed the Traffic Signal Communications Master
Plan (Master Plan) which created a framework for future design and implementation of a citywide traffic
signal communication network. The Master Plan outlines completion of all necessary communication
improvements in a multi-year phased approach. It also identifies proposed improvements related to the
City's existing traffic signal and communication system. Today, several of the City's traffic signals are
interconnected to an existing communication system, however, the communication system is obsolete
and does not provide for remote connectivity to all traffic signals. In mid -2019, the City Council adopted
the Master Plan and since then Engineering staff have been proactively designing and constructing
traffic signal and communication network improvements throughout the City.
To aid in this effort, the City Council authorized using a State of California Department of General
Services (DGS) cooperative agreement contract to procure data communication products and services
from ConvergeOne Incorporated (ConvergeOne). A portion of that contract, in an amount not to exceed
Page 114
$199,300, has been funded by the Project for advance design and network configuration that can
support ATMS Phase I and future traffic signal and communication system expansion. ConvergeOne
has worked closely with interdepartmental staff to design the City's traffic signal communication network
by creating a 10 -gigabit fiber ring as the backbone to deploy a rugged citywide traffic signal
communication network system. The traffic signal network design is consistent with the Master Plan and
provides a framework for future expansion.
Engineering staff is currently finalizing the Freeway and Arterial Signal Synchronization Project MSRC
No. MS14072, which will provide communications paths to enable the monitoring, retiming, and
coordination of the Caltrans operated traffic signals along Haven Avenue, Base Line Road, and Foothill
Boulevard with the adjacent City traffic signals. In addition, communication upgrades at the State-
owned interchange traffic signals and Caltrans Traffic Management Center (TMC) have been installed
to enable future communication between the City's and Caltrans' TMCs when the necessary software
becomes available. The work currently being performed along Haven Avenue from 19th Street to Wilson
Avenue, Base Line Road from Day Creek Boulevard to Americana Way, and Foothill Boulevard from
Rochester Avenue to East Avenue along with work scheduled under the Fiscal Year 2019/20 Traffic
Signal Project that was awarded by the City Council on June 17, 2020, will support the ATMS Phase I
Project.
On August 7, 2019, the City Council awarded a professional services agreement to Iteris, Inc. in the
amount of $429,756 plus a 10% contingency for design and construction support services for the ATMS
Phase I Project. The ATMS Phase I Project will upgrade the existing communication system and traffic
signals infrastructure along three following major arterial corridors in accordance with the Traffic Signal
Communications Master Plan:
1. Haven Avenue from 4th Street to 19th Street;
2. Vineyard Avenue form Foothill Boulevard to Red Hill County Club Drive; and
3. Foothill Boulevard from Grove Avenue to Rochester Avenue
Upon completion of the Freeway and Arterial Signal Synchronization Project, the Fiscal Year 2019/20
Traffic Signal Project, and the ATMS Phase I Project, the communication systems will be in place for the
entirety of the Haven Avenue and Foothill Boulevard corridors allowing for improvement traffic
operations.
A copy of the City Council Staff Reports are held on file with the City Clerk's office.
ANALYSIS:
The scope of work consists of installation of closed-circuit television cameras, video detection systems,
fiber optic cable and conduit, communication networking equipment, and upgrading and integrating
existing traffic signals into the City's TMC located at City Hall. The previously approved consultant
contract and recommended construction contract will also provide for procurement of equipment,
system testing and integration, and staff training for use of the installed systems. A vicinity map is
included as Attachment 1.
The Notice Inviting Bids was released to the general contracting community and was published in the
Daily Bulletin on May 29, and June 3, 2020. The City Clerk's Office facilitated the formal solicitation for
bidding the project.
On June 16, 2020, the City Clerk's Office received seven (7) construction bids. A full bid summary is
included as Attachment 2. The Engineer's estimate for the project was $2,390,000. The apparent low
bid, as determined to be Belco Elecnor Electric Inc., in the amount of $1,169,745.
The Engineering staff has reviewed all bids received and found all to be complete and in accordance
with the bid requirements with any irregularities to be inconsequential. Staff has completed the required
Page 115
background investigation and finds the lowest responsive bidder Belco Elecnor Electric Inc., meets the
requirements of the bid documents.
ENVIRONMENTAL:
Staff has determined that the project is Categorically Exempt per Section 15301 "Existing Facilities"
subsection (c), Class 1 of the California Environment Quality Act (CEQA).
FISCAL IMPACT:
Anticipated construction costs are estimated to be as follows:
Expenditure Category
Amount
Construction Contract
$1,169,745
Construction Contract Contingency (10%)
$116,975
Construction Inspection Services
$81,400
Estimated Construction Costs
$1,368,120
A total of $4,064,130 was budgeted in Fiscal Year 2019/20 from the Transportation Fund (Fund 124) for
design and construction of the Project. A portion of the funds has been spent to pay for various design,
permit fees and equipment required for the Project therefore, an amount of $2,951,196 remains
available to cover this contract under the Capital Project Account No. below:
Account No.
Funding
Description
Amount
Source
11243035650/1982124 -0
Transportation
ATMS Phase 1
$1,368,120
Fund (124)
Total Project Funding
$1,368,120
COUNCIL GOAL(S) ADDRESSED:
The construction of ATMS Phase I provides the infrastructure necessary to address the City Council's
goal of reducing delays for north/south traffic flow on the Haven Avenue corridor.
ATTACHMENTS:
Description
Attachment 1 - Vicinity Map
Attachment 2 - Bid Summary
Page 116
ATTACHMENT 1
ADVANCED TRAFFIC MANAGEMENT
SYSTEM (ATMS) PHASE 1 PROJECT
VICINITY MAP
NOT TO SCALE
mirisiue no
Vy
o s
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E 8th St BLh SL
E 7th Sr Z
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Project Site E3 A
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Page 117
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Project Site E3 A
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Page 117
ATTACHMENT 2
TOTAL BID SCHEDULE $ 2,392,1]5.50 $ 1,189,]45.00 $ 1,451,2]9.50 $ 1,641,383.00 $ 1,]79,270.00 $ 1,902,88].60 $ 2,032,]21.00 $ 2.181.873.95
NOTE: CORRECTIONS TO BID AMOUNTS SHOVM IN BOLD.
Page 118
BID SUMMARY FOR BID OPENING JUNE 16, 2020
APPARENT LOWBIDDER
2
3
4
5
6
7
ADVANCED TRAFFIC MANAGEMENT SYSTEM PHASE I PROJECT
ENGINEER'S ESTIMATE
Bal- En-
Group
DB),
Inc.
CrosaWwn Ela .l
and Date, Inc.
S.W. Ew.,w
Inc.
Aeplundh Cmehaclim
Ferreira C-
clim Co.
I,W-ionel Lina
Buildn' , Inc.
BID SCHEDULE
UNIT
UNIT
BID
UNIT
BID
UNIT
BID
UNIT
BID
UNIT
BID
UNIT
BID
UNIT
BID
NO
OTY
UNIT
DESCRIPTION
COST
AMOUNT
COST
AMOUNT
COST
AMOUNT
COST
AMOUNT
COST
AMOUNT
COST
AMOUNT
COST
AMOUNT
COST
AMOUNT
1
1
LS
Mobilization
$ 195 000.00
195 000.00
15 000.00
15,0N.00
20 000.00
20 000.00
50 000.00
50 000.00
78 819.00
78 819.00
20 000.00
20 000.00
131 000.00
131 000.00
74 50].00
74 50].00
2
1
LS
Clearing &Grubbing and Removals Including Haul &Disposal of Material
50 000.00
So 000.00
3 000.00
3 000.00
10 000.00
10 000.00
20 000.00
20 000.00
11 058.00
11 058.00
20 000.00
20 000.00
50 000.00
50 000.00
19.3W.22
19.3W.22
3
827
LF
Furnish and install *'PVC Conduit
55.00
45485.00
34.00
28118.00
140.00
115]80.00
128.00
105856.00
105.00
88835.00
110.00
90970.00
90.00
]4430.00
218.61
180]90.4]
4
7360
LF
Fumiah antl Install 12 Fiber Optic Dmp Cable
,00
22140.00
1.75
12915.00
1.70
12 546.00
2.88
21 992.40
1.00
7.380.00
2.50
18450.00
2.00
14.7W.001
16.50
121 ]]0.00
5
1080
LF
Furnish and Install 48 Fiber Optic Dmp Cable
.00
6480.00 $
2.30
2484.00
2.00
2160.00 $
2.90
3132.00
1.00
1080.00
5.50
5940.00
3.00
3240.00
40.95
44226.00
8
19 905
LF
Furnish and Install 288 Fiber Optic Cable
11.00
218 955.00 $
5.00
99 525.00
4.50
89 5]2.50 $
5.90
11] 439.50
2.00
39 810.00
7.50
149 28].50
6.00
119 430.00
9.90
197 059.50
]
26
EA
Furnish and Install Splice Enclosure
000.00
52 000.00 $
1 000.00
26 000.00
1,7W.00
45 500.00 $
1,5w.00
40 300.00
1,338.00
34 ]88.00
1,630.00
42 380.00 $
1,416.00 $
M,816.00
1,165.96
30 314.98
8
5
EA
Labor Splice Into Evsting Splice Ennloaure
$1,5w.00
7,500.00 $
450.00
2,250.00
1,3M.00
6,6W.00 $
i'300.00
6,500.00
740.00
3,700.00
1,365.00
6,825.00 $
988.00 $
4,M.00
6,607.20
33 036.00
9
29
EA$4,000.00
Furnish and Install Ethernet Switch
116 000.00 $
3.307.00
95 903.00
3.390.00
98 310.00 $
3 050.00
88 450.00
3.794.00
110 026.00
3.205.00
92 945.00 $
2.935.00 $
85115.00
3.883.82
112.6m.78
10
4
Furnish and Install Layer 3 HUB Ethernet Switch
5p0m.00 S
200000.00
30890.00
123560.00
S 38210.00 1 S
152840.00
55300.00
221200.00
10872.00
43488.00
58100.00
232400.00
64565.00
258260.00
32]46.4]
130965.86
11Remove
]
EA
Existing Pull Box
500.00
3,500.00
200.00
1,4W.00
250.00
1,7W.00
350.00
2,4W.00
250.00
1,7W.00
250.00
1,760.00
50.00
350.00
201.38
1.4M.52
12
Furnish and Install NB Pull Box
7
EA
1]00.00
11800.00
870.00
6090.00
1400.00
8800.00
1800.00
12600.00
1968.00
13]]6.00
1078.00
]546.00
]50.00
5250.00
1098.73
7691.11
13
Furnish and Install NBE Pull Box
1]
EA
3500.00
58500.00
1041.00
1]69].00
1800.00
30600.00
2150.00
36550.00
21]].00
3]009.00
1120.00
18040.00
900.00
15300.00
1345.1]
22667.69
14
1
EA
Fumiah antl Install N40 Pull Box
3000.00
3000.00
3484.00
3484.00
1500.00
1500.00
3150.00
3150.00
3334.00
3334.00
1250.00
1250.00
1250.00
1250.00
2383.87
2383.87
15
26
EA
Fumiah antl Install Fiber Patch Panel
$1,50.00
38 000.00
1.0m.00
26 000.00
660.00
17.1W.00
1.1m.00
29 900.00
1.3U.00
34 632.00
1.2 0.00
31 460.00
749.00
18 4]4.00
456.08
11 656.06
16
4
Furnish and Install HUB Fiber DieMbutim Unit Patch Pand
3000.00
12000.00
3000.00
12000.00
3535.00
14140.00
6800.00
27200.00
1453.00
5812.00
7200.00
28800.00
2667.00
10668.00
1208.]5
4835.00
17
2
LB Cmtluit hotly
1000.00
2000.00 $
500.00
1000.00
350.00
700.00 $
400.00
800.00
373.00
746.00
2245.00
4490.00 $
500.00
1000.00
5]6.0]
1152.14
18
i6
Fumiah antl Install CCN Camera antl Mounting
9000.00
144000.00 $
5000.00
80000.00
]840.00
125440.00 $
4950.00
]9200.00
7539.00
120624.00
5200.00
83200.00 $
6788.00
108608.00
4935.65
78970.40
19
2703
LF
Fumiah antl Install CCN Cables
$3.50
9460.50 $
2.00
5406.00
2.00
5408.00 $
3.50
9460.50
3.00
8109.00
3.70
10001.10 $
4.00
10812.00
4.54
12271.62
20
4
EA
Furnish and Install Neu E-ndite Cobalt ATC Coi lin
$15,0N.00
SO 000.00
10 824.00
43,2%.00
9,7W.00
38 800.00
10 250.00
41 000.00
26148.00
104 592.00
11 500.00
46 000.00
11 500.00
46 000.00
11,428.0
45 ]13.36
211
4
1 EA
FUmiahantllnstall Type3MCabinelwith Foundatim
$35.00.00
140000.00
8587.00
38348.00
11000.00
44000.00
8500.00
38000.00
1215.00
4880.00
14500.00
58000.00
11000.00
44000.00
9270.37
37061.48
22
12
EA
CB -Install Conduit into Existing Pull Box
OO.oO s
7.2W.00
600.00 s
7.200.00
600.00
7.2W.00
1.4N.00
1] 400.00
375.00
4.5W.00
600.00
7.2W.00
6 000.00
72.00,001$
299.10
3.%9.201
23CC-Cmnect
3
EA
Neu and Evsting Conduit
1700.00
5100.00
600.00
1800.00
1800.00
5400.00
1225.00
3675.00
450.00
1350.00
300.00
800.00
3000.00
9000.00
362.76
1088.28
130
LF
Fumiah antl Install CAT SE Cable
3.50
455.00
1.80
234.00
2.00
260.00
3.50
455.00
6.00
780.00
3.70
481.00
5.00
650.00
4.25
552.W
25
350
LF
Fumiah antl Install Me Condudom
.00
700.00
1.40
490.00
5.00
1.7N.00
3.00
1.050.00
23.00
8050.00
8.00
2800.00
5.00
1.7N.00
1.45
507.50
26
4
Fumiah antl Install Clary Unintenuptetl Paver Supply inside HUB Cabinets
00000
32000.00
8386.00
25544.00
5300.00
21200.00
6250.00
25000.00
6932.00
2]]28.00
8268.00
33072.00 $
12000.00
48000.00
7121.12
28404.40
27Fumiah
antl Install -, Signal Vidm D Wim System Canplete in Placa (Plan Sheets 1]-
9
EA
25)
$40,000.00
360 000.00 $
W,489.00
328 401.00
38 900.00
350100.00 $
38,2W.00
344 250.00
38 505.00
348,M!5.00
38 200.00
U3,800.00 $
46 000.00 $
414 000.00
43 205.88
380 052.92
28
720
SF
Trench and Sidewalk Concrete Repairs(Sh-10)
15.00
10800.00 $
15.00
10800.00
55.00
39600.00 $
25.00
18000.00
119.00
85680.00
129.00
92880.00 $
69.50 $
50040.00
168.98 1
114465.60
29
20
EA
PMhding
$2000.00
40000.00 $
500.00
10000.00
550.00
11000.00
800.00
16000.00
1322.00 5
26440.00
800.00
16000.00 $
500.00
10000.00
637.25
12745.00
30Id-*
1
LS
antl Labia all Existing and New Fiber Cables Entering New Splice Enclosures
$35.0W.00
35.0W.00
5.0m.00
5 000.00
2,215.00
2,215.00
4.5W.00
4.5W.00
3155.00
3155.00
4.8W.00
4.8W.00
4,612.00
4,612.00
26141.00
26141.00
31System
LS
Inngm m Inclutling Fiber Testing
mg
$114,000.00
114 000.00
15,0N.00
15,0N.00
22 440.00
m'440.00
M,200.00
M,200.00
16193.00
16193.00
38 900.00
W,900.00
28,0M.00
28 022.00
97,479.16
97,479.16
32
1
Install Neu Fiber Optic Vaulland Splice Enclmure(Pin Sheet 6)
12000.00
12000.00
4600.00
4600.00
4800.00
4800.00
23872.60
23872.60
8500.00
8500.00
1880.00
1880.00
3870.00
3970.00
8896.48
8886.49
Remove antl Salvage Existing Antenna a Ratlio antl Relatetl W ireleea Canmunicatim
33
EquipmaR antl Cables tmm Evsting -, Signal antl or Cabinet ARer Me Pmp W Fiber
12
EA
Optic Systm ie lnatalletl, Cmfigu-1 antl Operating.
$1000.00
12000.00
250.00
3000.00
390.00
4680.00
675.00
8100.00
250.00
3000.00 s
710.00
8520.00
1250.00
15000.00
7694.08
92320.96
EA
Install SaNva Wireless Ratlio Equipment for CCN Cemere Communicatim(PI. Sheat 2)
$200000
4000.00
800.00
1600.00
850.00
1]00.00
2300.00
4600.00
1500.00
3000.00
2425.00
4850.00
2812.00
5824.00
339.21
678.42
13�2._
LF
Te Evsting Police Depadment Camema to Fiber Network
5.00
1 000.00
8.00
1 600.00
6.00
1 200.00
25.00
5 000.00
110.00
22 000.00
30.00
6 000.00
6.00
1 200.00
140.68
26136.00
LFR--
Exsting Damaged Cmtluit and Istall New 4°PVC Caxluit
55.00
165 000.00
32.00
96 000.00
40.00
120 000.00
50.00
150 000.00
150.00
450 000.00
118.00
35] 000.00
60.00
180 000.00
61.LS
Tmfic Cmtrd
$ 195.0m.00
195.0m.00
15 000.00
15 000.00
15 000.00
15 000.00
30 000.00
30 000.00
.=001:.20
000.00
15 000.00
15 000.00
14] 950.00
14] 950.00
20 384.18 $
20 384.18
TOTAL BID SCHEDULE $ 2,392,1]5.50 $ 1,189,]45.00 $ 1,451,2]9.50 $ 1,641,383.00 $ 1,]79,270.00 $ 1,902,88].60 $ 2,032,]21.00 $ 2.181.873.95
NOTE: CORRECTIONS TO BID AMOUNTS SHOVM IN BOLD.
Page 118
DATE: June 25, 2020
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Jason C. Welday, Director of Engineering Services/City Engineer
Gianfranco Laurie, Senior Civil Engineer
Curt Billings, Associate Engineer
SUBJECT: CONSIDERATION TO AUTHORIZE AN ADDITIONAL APPROPRIATION IN
THE AMOUNT OF $1,300,000 FOR THE ETIWANDA AVENUE GRADE
SEPARATION CAPITAL IMPROVEMENT PROJECT.
RECOMMENDATION:
Staff recommends that the Council authorize an additional appropriation in the amount of $1,300,000 in
the Senate Bill 1 (SB1) Gas Tax, Trade Corridor Enhancement Program (TCEP) Fund (181) for the
Etiwanda Grade Separation Capital Improvement Project, revising the Fiscal Year 2019/20 Amended
Budget approved on May 6, 2020.
BACKGROUND:
Historically, staff proposes an Amended Budget in May of each year based on year to date actual
expenditures and projected revenues and expenditures for the remainder of the fiscal year. The
amended budget for the Etiwanda Grade Separation Capital Improvement Project was inadvertently
understated in the recently approved May 6, 2020 Amended Budget.
The Etiwanda Avenue Grade Separation project was approved for $60,000,000 of SB1 Gas Tax
Transportation Corridor Enhancement Program (TCEP) funding on May 16, 2018 by the California
Transportation Commission (CTC). From this grant funding, $7,000,000 was allocated in August 2018
by the CTC for the design of project plans, specifications and estimates (PS&E), and right of way
acquisition phases.
The design and right of way phases are ongoing and construction is anticipated to begin in the
second half of 2022.
ANALYSIS:
A total of $52,150,000 was budgeted in Fiscal Year 2019/20 from the SB1 TCEP Fund (181) for the
Etiwanda Avenue Grade Separation Capital Improvement Project. The recently approved Fiscal Year
2019/20 Amended Budget reflected a reduced amount of $2,500,000 for the project. However,
the estimated year end expenditures are $3,800,000. This additional appropriation will update the
Fiscal Year 2019/20 Amended Budget to reflect the current estimated expenditures for the project.
Page 119
FISCAL IMPACT:
Funding for this project, will be provided by the SB1, Trade Corridor Enhancement Program (TCEP)
revenue. An appropriation in the amount of $1,300,000 into account number 11813035650/1922181-
0 is requested to cover the Fiscal Year 2019/20 project design and right of way expenditures. The
project expenditures are reimbursable with the TCEP funds that were allocated by the CTC.
COUNCIL GOAL(S) ADDRESSED:
This item addresses the City Council's vision for the City by ensuring the construction of high quality
public improvements that promote a world class community.
Page 120
DATE:
TO:
FROM:
INITIATED BY:
SUBJECT:
June 25, 2020
Mayor and Members of the City Council
John R. Gillison, City Manager
Tamara L. Layne, Finance Director
CONSIDERATION OF APPROVAL OF REVISIONS TO AMENDED FISCAL
YEAR 2019/20 APPROPRIATIONS.
RECOMMENDATION:
It is recommended that the City Council approve the revisions to the Amended Fiscal Year 2019/20
Appropriations as submitted.
BACKGROUND:
On May 6, 2020, the City Council approved the Amended Fiscal Year (FY) 2019/20 Appropriations.
Subsequent to the approval of the amended appropriations, it was determined that certain line items within
the amended appropriations would be insufficient to fund the remainder of the fiscal year. Consequently, it
is necessary for staff to submit revisions to certain line items included in the amended appropriations.
The reasons for the revisions are noted in the table below.
ANALYSIS:
In order to ensure that sufficient funding is available for all known expenditures, staff is requesting the City
Council approve the revisions to the Amended FY 2019/20 Appropriations as detailed in the following table:
Page 121
REVISIONS —O;ISYIENDED FISCALYEAR 2019120APPROPRIA—IONS
FISCAL IMPACT:
The net impact across all funds requiring revisions is a decrease of $96,690 in expenditures and an increase of
$2,770 in revenues. Increased costs related to the COVID-19 pandemic ($50,190) will be funded by the Changes
in Economic Circumstances Reserve pending the determination of any Federal or State funding available to
offset any portion of these costs.
COUNCIL GOAL(S) ADDRESSED:
Not applicable.
Page 122
Amended
Revised
Fund
Description
object
Description
Reason for Revision
FY 2019{20
FY 2019Y 20
integrated Waste
,add-t-ona a ocat'on of
183
Management
5000
Regu ar S ahes
sa ar-e s
659,074
s 665.2K
Add t=ona+ a#.oration of
838
A D 91- 2 Day Canyo n
5004
Regular Salaries
salaries
$ 14.KC
S --L. 37
Operations and
COV 0-19 Pan dem-c
025
Capital Reserve
5200
Maint.
Response
S 74,000
S 84,-9v
COV 10-19 Pan de m -r
025
Cap it al Reserve
5344
Contract Services
Response
S
$ 40, OCC
234
Safe Routesto5choo'
5010
Park -dime Salaries
F u I ly util izegrant f u n d i ng
$ 10,120
5 12.730
Grant tnrome-
234
Safe Routesto School
4740
Other
Fu I ly util izegrant f u n d i ng
$ 30,000
32.770
Community
ReduceGLbudgettototal
Development Blockapproved
CDBG program
204
Grant
5650
Capita' Rroiect
budgets
$ 964;460
5 79C,ST.
integrated Waste
U n de ral locati an of fringe
188
Management
5080
Frsnge Benefits
benefits
$ 315.470
$ S1_ _�4
Comm unity
Development Work
U n de ral locati an of fringe
204-
Grant
5030
FrsngeBenef=ts
be nef its, J L p roje ct 1229
$ 85.630
5 87.
Underailocat;on of frsnge
234
Safe Routesto5rhool
5C60
Fringe Benef;ts
benefits
$ 2,2SO
$ 2,870
Unde ratlocatian of fringe
838
AD 91- 2 Day Canyon
5004
Fringe Benefits
benefits
$ 6.870
$ 7.27v
FISCAL IMPACT:
The net impact across all funds requiring revisions is a decrease of $96,690 in expenditures and an increase of
$2,770 in revenues. Increased costs related to the COVID-19 pandemic ($50,190) will be funded by the Changes
in Economic Circumstances Reserve pending the determination of any Federal or State funding available to
offset any portion of these costs.
COUNCIL GOAL(S) ADDRESSED:
Not applicable.
Page 122
DATE: June 25, 2020
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Lori E. Sassoon, Deputy City Manager/Administrative Services
Tamara L. Layne, Finance Director
Sandra G. Ramirez, Department Manager
SUBJECT: APPROVAL TO ADOPT ANNUAL STATEMENT OF INVESTMENT POLICY.
RECOMMENDATION:
The City Council reviews the Statement of Investment Policy on an annual basis. It is recommended that
the City Council approve and adopt the attached Statement of Investment Policy for the City of Rancho
Cucamonga.
BACKGROUND:
California Government Code Section 53646 requires that the City Treasurer or Chief Fiscal Officer
annually renders to the City Council a Statement of Investment Policy, which shall be considered at a
public meeting. Further, the City Council shall also consider any modifications to the investment policy
at a public meeting. This year there have been no changes to State law that would require modifications
to the existing investment policy. However, there are a few minor wording changes. Attached for your
review and approval is the City Treasurer's "Statement of Investment Policy."
ANALYSIS:
The City Council originally adopted a Statement of Investment Policy in July 1987. The City's Investment
Policy and practices are based upon federal, state, and local law, as well as the prudent investor
standard. The primary goals of the City's policy are: 1) to ensure compliance with all federal, state, and
local law governing the investment of monies under the control of the City Treasurer; 2) to protect the
City's assets; and 3) to invest public funds prudently. The City Treasurer is authorized to invest the City's
funds in accordance with the California Government Code Section 53600 et seq. (the "State Code"),
and the investment policy adopted by the City Council. These funds are accounted for in the City's
financial system and are reported annually in the City's Comprehensive Annual Financial Report
(CAFR). The City Council also receives a monthly investment report as part of the agenda packet for
certain scheduled City Council meetings. The City continues to maintain an investment strategy more
conservative than required under state law. Additionally, the City Treasurer and Finance staff regularly
monitor legislation, government code amendments, and professional practices pertaining to investing
of public funds, to ensure the City's Annual Statement of Investment Policy is updated as appropriate.
Based on staff's review of the California Debt and Investment Advisory Commission (CDIAC)'s Local
Agency Investment Guidelines (updated for 2020) and consultation with the City's broker/dealers, there
are no substantive changes required for the City's Annual Statement of Investment Policy. As noted in
the background section above, only minor wording changes have been made.
Page 123
FISCAL IMPACT:
There is no fiscal impact as a result of this action.
COUNCIL GOAL(S) ADDRESSED:
This policy supports the City Council's fiduciary role as custodians of the public's resources by
providing guidelines for the prudent investment of the City's idle cash and outlining policies essential to
ensuring the safety and financial strength of the City's investment portfolio.
ATTACHMENTS:
Description
Attachment 1 - Statement of Investment Policy
Page 124
/o;
ATTACHMENT 1
ATED'`" NOS' �1"�
Class Com
STATEMENT OF INVESTMENT
POLICY
2020
Prepared by the Administrative Services Group
James C. Frost, Treasurer
Lori E. Sassoon, Deputy City Manager/Administrative Services
Deputy Treasurer
Tamara L. Layne, Finance Director
Sandra G. Ramirez, Department Manager
Page 125
CITY OF RANCHO CUCAMONGA
STATEMENT OF INVESTMENT POLICY
TABLE OF CONTENTS
Introduction........................................................................................................1
Scope..................................................................................................................1
Prudence............................................................................................................2
Objective.........................................................................................................2-3
Delegation of Authority......................................................................................3
Ethics and Conflicts of Interest.........................................................................3-4
Authorized Financial Dealers and Institutions.....................................................4
Authorized and Suitable Investments..............................................................4-8
Review of Investment Portfolio..........................................................................8
InvestmentPools.............................................................................................8-9
Collateralization..................................................................................................9
Safekeeping and Custody....................................................................................9
Diversification..................................................................................................... 9
Maximum Maturities........................................................................................10
InternalControl................................................................................................10
Performance.....................................................................................................10
Reporting..........................................................................................................11
Investment Policy Adoption..............................................................................12
Glossary.......................................................................................................13-18
Broker/Dealer Questionnaire and Certification.......................................Exhibit A
Summary of Authorized and Suitable Investments .................................. Exhibit B
Page 126
CITY OF RANCHO CUCAMONGA
STATEMENT OF INVESTMENT POLICY
1.0 INTRODUCTION
This Statement of Investment Policy ("Policy") provides guidelines for the prudent investment of
the City of Rancho Cucamonga's idle cash and outlines the policies essential to ensuring the safety
and financial strength of the City's investment portfolio. The investment policy is based on the
principles of prudent money management and conforms to all federal, state, and local laws
governing the investment of public funds. The goal of the City's investment policy is to enhance
the economic status of the City by protecting its pooled cash and to invest public funds to:
1. Meet the daily cash flow needs of the City;
2. Comply with all laws of the State of California regarding investment of public funds; and
3. Achieve a reasonable rate of return while minimizing the potential for capital losses
arising from market changes or issuer default.
2.0 SCOPE
The investment policy applies to the investment activities of all funds of the City of Rancho
Cucamonga. These funds are accounted for in the City's Comprehensive Annual Financial Report
(CAFR) and include: General Fund, Special Revenue Funds, Debt Service Funds, Capital Project
Funds, Proprietary Funds, as well as Agency Funds and a Private -Purpose Trust Fund.
Bond proceeds shall be invested in accordance with the requirements and restrictions outlined
in bond documents as approved by the City Council. Guidelines presented herein are not
intended to apply to bond proceeds held by the City or by fiscal agents or trustees for bond
holders of City debt. However, investment of bond proceeds will be no less restrictive than the
City's investment of its idle cash.
The City may direct its fiscal agents to invest funds associated with bonds or debt issues pending
disbursement or reinvestment in "money market mutual funds" that are shares of beneficial
interest issued by diversified management companies. The criteria for "money market mutual
funds" are more specifically described in California Government Code § 53601(1).
Statement of Investment Policy Page 1
Page 127
3.0 PRUDENCE
The City Treasurer, the delegated investment officers, and/or his/her appointed designee
operate the City's pooled cash investment program and invest to carefully manage risk and
return. Investments shall be made in a manner consistent with the "prudent investor" standard
for trustees of local government monies, as described in Government Code section 53600.3
which states:
When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing
public funds, a trustee shall act with care, skill, prudence, and diligence under the
circumstances then prevailing, including, but not limited to, the general economic
conditions and the anticipated needs of the agency, that a prudent person acting in a like
capacity and familiarity with those matters would use in the conduct of funds of a like
character and with like aims, to safeguard the principal and maintain the liquidity needs
of the agency.
The City Treasurer, the delegated investment officers, and/or his/her appointed designee acting
in accordance with the investment policy and the "prudent investor" standard and exercising due
diligence shall be relieved of personal responsibility for an individual security's credit risk or
market price changes, provided deviations from expectations are reported in a timely manner
and appropriate action is taken to control adverse developments, whenever possible.
Investments shall be made with judgment and care, under circumstances then prevailing, which
persons of prudence, discretion, and intelligence exercise in the professional management of
their own affairs, not for speculation, but for investment, considering the probable safety of their
capital as well as the probable income to be derived.
4.0 OBJECTIVE
The objective of the investment portfolio is to meet the short- and long-term cash flow demands
of the City. To achieve this objective, the portfolio will be structured to provide safety of principal
and liquidity, while then providing a reasonable return on investments.
The authority governing investments for municipal governments is set forth in Government Code
Sections 53600 et seq. City strategy has been to limit investments more stringently than required
under state law. The primary objectives of investment activities, in order of priority are:
1. Safety - Safety and risk associated with an investment refers to the potential loss of
principal, interest, or combination thereof. The City only invests in those instruments that
are considered safe. Each investment transaction shall be undertaken in a manner that
seeks to ensure, whenever possible, that all capital losses are avoided, whether from
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Page 2
Page 128
securities default, broker/dealer default, or erosion of market value. The City shall seek
to preserve principal by mitigating two types of risk: credit risk and market risk.
• Credit risk, defined as the risk of loss due to failure of the issuer of a security, shall be
mitigated by investing in only very safe securities and by diversifying the investment
portfolio so that the failure of any one issuer would not unduly harm the City's cash
flow.
• Market risk, defined as the risk of market value fluctuations due to overall changes in
the general level of interest rates, shall be mitigated by structuring the portfolio to
align with the City's anticipated cash flow needs. It is explicitly recognized, however,
that in a diversified portfolio, occasional measured losses may occur and must be
considered within the context of overall investment return and liquidity needs.
2. Liquidity - Liquidity is an important investment quality especially when the need for
unexpected funds occasionally occurs. The City's investment portfolio will remain
sufficiently liquid to enable the City to meet operating requirements that might be
reasonably anticipated.
3. Yield - The City's investment portfolio shall be designed with the objective of attaining a
reasonable market rate of return throughout budgetary and economic cycles,
commensurate with the City's investment risk constraints as long as it does not diminish
the objectives of Safety and Liquidity.
5.0 DELEGATION OF AUTHORITY
The City Council, as permitted under California Government Code §53607, delegates the
responsibility to manage the City of Rancho Cucamonga's investment portfolio to the City
Treasurer. The City Treasurer shall be responsible for all transactions undertaken and shall
establish a system of controls to regulate the activities of subordinate officials, and their
procedures, in the absence of the City Treasurer. Pursuant to Government Code §1190, the City
Treasurer has the authority to appoint a Deputy Treasurer or designee to act on behalf of the
City. The City Treasurer will provide written authorization in delegating any of his/her authority.
6.0 ETHICS AND CONFLICTS OF INTEREST
The Treasurer/Deputy Treasurer and employees involved in the investment process shall refrain
from personal business activity that could conflict with proper execution of the investment
program, or which could impair their ability to make impartial investment decisions. Employees
and investment officers shall disclose any material financial interest in financial institutions that
conduct business with the City, and they shall further disclose any personal financial/investment
Statement of Investment Policy Page 3
Page 129
positions that could be affected by the performance of the City's operations and functions or by
the management of the City's investment program. The Treasurer/Deputy Treasurer and
investment employees are required to file annual disclosure statements as required by the Fair
Political Practices Commission (FPPC).
7.0 AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS
The City Treasurer will maintain a list of approved security broker/dealers selected by credit
worthiness who are authorized to provide investment services to the City. The City will transact
business only with approved investment securities broker/dealers that are approved as an
authorized broker/dealer in compliance with the City selection process. The Treasurer shall
request all broker/dealers that wish to do business with the City to provide proof of capitalization
to meet the City's needs and agree to abide by the conditions set forth in this investment policy.
They must have offices in the State of California, provide a current audited financial statement,
proof of Financial Industry Regulatory Authority (FINRA) certification, proof of State of California
registrations, and complete the appropriate City Broker/Dealer Questionnaire and Certification.
The questionnaire used for these processes is attached to this Investment Policy as Exhibit A.
The City shall at least annually provide a copy of the current investment policy to all
broker/dealers approved to do business with the City. Broker/dealers shall be required to
provide a confirmation certification acknowledging receipt of the policy and submit their most
recent audited financial statements. Confirmation of receipt of this policy shall be considered
evidence that the broker/dealers understands the City's investment policy and agrees to sell the
City only suitable and appropriate investments in compliance with the City's investment policy.
8.0 AUTHORIZED AND SUITABLE INVESTMENTS
The City is further governed by California Government Code Sections 53600 et. seq. to invest in
specific types of securities. The City has further limited the types of securities in which it may
invest. Any security not listed in Section 8.0 is not a valid investment for the City. The concise list
of approved securities is as follows:
• United States Treasury Securities: United States Treasury Bills, Bonds, and Notes or those
instruments for which the full faith and credit of the United States are pledged for payment
of principal and interest.
There is no limit on the percentage of the portfolio that can be invested in this category.
The City shall not invest in any security that exceeds five -years of maturity.
• United States Federal Agencies: Obligations issued by Federal Agencies or United States
government-sponsored enterprise obligations, participations, or other instruments, including
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Page 4
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those issued by or fully guaranteed as to principal and interest by federal agencies or United
States government-sponsored enterprises.
There is no limit on the percentage of the portfolio that can be invested in this category. The
City shall not invest in any security that exceeds five -years of maturity.
• Municipals Notes or Bonds: Taxable or tax-exempt bonds, notes, warrants, or other
evidences of indebtedness of a local agency within this state, including bonds payable solely
out of the revenues from a revenue-producing property owned, controlled, or operated by
the local agency, or by a department, board, agency, or authority of the local agency. At the
time of purchase, long term investments must have a minimum rating of either "Al" by
Moody's Investor Services Inc. or "A+" by Standard & Poor's Corporation, the minimum short-
term rating of either "MIG 1" by Moody's Investor Services Inc. or "SP -1" by Standard & Poor's
Corporation. (The minimum rating shall apply to any agency, irrespective of any credit
enhancement).
There is a 30% limit on the percentage of the portfolio that can be invested in this category.
The City shall not invest in any security that exceeds five -years of maturity.
• Certificates of Deposit (Time Deposits): Non-negotiable time deposits, collateralized in
accordance with the California Government Code, may be purchased through banks and
savings and loan associations.
There is no limit on the percentage of the portfolio that can be invested in this category.
The City shall not invest in any security that exceeds five -years of maturity.
• Negotiable Certificates of Deposit: Negotiable certificates of deposit issued by a nationally
or state -chartered bank, a savings association or a federal association, a state or federal credit
union, or by a federally licensed or state -licensed branch of a foreign bank.
There is a 30% limit on the percentage of the portfolio that can be invested in this category.
The City shall not invest in any security that exceeds five -years of maturity.
• Bankers' Acceptances : Bankers' acceptances, otherwise known as bills of exchange or
time drafts, that are drawn on and accepted by a commercial bank.
There is a 40% limit on the percentage of the portfolio that can be invested in this category.
No more than 30% percent of the City's moneys shall be invested in the bankers' acceptances
of any one commercial bank.
The maximum maturity shall not exceed 180 days.
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Page 5
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Commercial Paper: Must be of "prime" quality of the highest ranking or of the highest letter
and number rating as provided for by Moody's Investor Services Inc. or Standard & Poor's
Corporation of at least "A" or "A1/131" is required. Purchases of commercial paper are limited
to no more than 10% of the outstanding commercial paper of any single issuer.
The entity that issues the commercial paper shall meet all the following conditions: (i) is
organized and operating in the United States as a general corporation, (ii) has total assets in
excess of five hundred million dollars ($500,000,000), and (iii) has debt other than
commercial paper, if any, that is rated at least "A" or its equivalent, by a Nationally
Recognized Statistical Rating Organization (NRSRO.)
There is a 25% limit on the percentage of the portfolio that can be invested in this category.
No more than 5% of the cost value of the portfolio at time of purchase may be invested in
Commercial Paper issued by any one corporation. The sum of the par value of the Commercial
Paper and Medium -Term Notes invested in any one corporation or corporate entity shall not
exceed 5% of the cost value of the portfolio at time of purchase.
The maximum maturity shall not exceed 270 days.
• State of California Local Agency Investment Fund (LAIF): The Local Agency Investment Fund
(LAIF) is a State of California managed investment pool established by the State Treasurer for
the benefit of local agencies.
There is no limit on the percentage of the portfolio that can be invested in this category. The
maximum investment in LAIF accounts is dependent upon limits established under the Local
Agency Investment Fund guidelines and not Government Code.
• Joint Powers Authority (JPA) Investment Pool: Investment Trust of California (CaITRUST).
CalTRUST accounts have been created to facilitate the centralization of the investment
management function on behalf of California local agencies through a partnership between
the California State Association of Counties and the League of California Cities.
There is no limit on the percentage of the portfolio that can be invested in this category.
The City shall not invest in any security that exceeds five -years of maturity.
Deposit of Funds: "Depository" means a state or national bank, savings association or federal
association, a state or federal credit union, or a federally insured industrial loan company, in
this state in which the moneys of a local agency are deposited. Deposits in banks or other
depository institutions may be in demand accounts (checking), savings accounts, market rate
accounts, and time deposits. California law requires that public deposits in banks be insured
by the Federal Deposit Insurance Corporation (FDIC) or, to the extent not insured,
collateralized with certain types of securities.
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Page 6
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There is no limit on the percentage of the portfolio that can be invested in this category.
• Repurchase Agreements (Repos): An executed Master Repurchase Agreement is required
between the City of Rancho Cucamonga and the broker dealer or financial Institution. The
market value of securities that underlies a repurchase agreement shall be valued at 102
percent or greater of the funds borrowed against those securities and the value shall be
adjusted no less than quarterly.
There is a 20% limit on the percentage of the portfolio that can be invested in this category.
The maximum maturity shall not exceed one year of maturity.
• Medium -Term Notes: Medium -Term Notes are defined as all corporate and depository
institution debt securities. They must be issued by corporations organized and operating
within the United States. Notes eligible for investment shall be rated "AA" or better by
Moody's Investor Services Inc. or Standard & Poor's Corporation
There is a 30% limit on the percentage of the portfolio that can be invested in this category.
No more than 5% of the cost value of the portfolio at time of purchase may be invested in
notes issued by any one corporation. The sum of the par value of the Medium -Term Notes
and Commercial Paper invested in any one corporation or corporate entity shall not exceed
5% of the cost value of the portfolio at time of purchase.
The City shall not invest in any security that exceeds five -years of maturity.
• Supranational Securities: United States dollar denominated senior unsecured
unsubordinated obligations issued or unconditionally guaranteed by the International Bank
for Reconstruction and Development, International Finance Corporation, or Inter -American
Development Bank. The maximum remaining maturity for supranational obligations must be
five years or less, and they must be eligible for purchase and sale within the United States.
These investments must be rated in a rating category of "AA" or better by a NRSRO.
There is a 30% limit on the percentage of the portfolio that can be invested in this category.
The City shall not invest in any security that exceeds five -years of maturity.
• Investment Agreements: Investment agreements, guaranteed investment contracts,
funding agreements, or any other form of corporate note which represents the unconditional
obligation of one or more banks, insurance companies or other financial institutions, or are
guaranteed by a financial institution, which has an unsecured rating, or which agreement is
itself rated, as of the date of execution thereof, in one of the two highest rating categories by
two or more rating agencies; or, which are collateralized at least 100% with U.S. Government
securities.
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There is a 5% limit on the percentage of the portfolio that can be invested in this category.
Percentage limits for Investment Agreements are not intended to apply to bond funds held
by the City or by Fiscal Agents or Trustees, in which investment of such funds is under the
City's control or direction.
See summary table of "Authorized and Suitable Investments" at Exhibit B.
9.0 REVIEW OF INVESTMENT PORTFOLIO
The securities held by the City of Rancho Cucamonga must be in compliance with Section 8.0
"Authorized and Suitable Investments" at the time of purchase. If, subsequent to the date of
purchase, a security is determined to be no longer in compliance with Section 8.0, the City
Treasurer shall report the non-compliant security to the City Council and shall include a disclosure
in the monthly Investment Report if the security is held at the date the report is prepared.
The City's external, independent auditors perform an annual review of the City's Investment
Policy, investment process, and related internal controls. The annual review process is
performed as part of the City's annual external financial audit.
I ell IL1W 11IIVilAZIa0919]11
The Local Agency Investment Fund (LAIF) is a voluntary investment alternative for California's
local governments and special districts authorized by the California Government Code. LAIF is a
State of California managed investment pool established by the State Treasurer for the benefit
of local agencies.
The City's participation in LAIF was approved by the City Council with other authorized
investments in July 1987. It is a permitted investment with the knowledge that the fund may
invest in some vehicles allowed by statute but not otherwise authorized under the City's
authorized investments. All securities in LAIF are purchased under the authority of Government
Code Sections 16430 and 16480. All investments are purchased at market value, and market
valuation is conducted monthly.
The City may also invest in shares of beneficial interest issued by a joint powers authority ("JPA")
organized pursuant to Section 6509.7 of the California Government Code that invests in the
securities and obligations specified in the code and which shall retain an investment advisor that
meets the following criteria:
1. Be registered or exempt from registration with the Securities and Exchange Commission;
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Page 134
2. Have assets under management in excess of five hundred million dollars, ($500,000,000),
and
3. Have not less than five (5) years of experience investing in the securities and obligations
authorized herein.
11.0 COLLATERALIZATION
All demand deposits, time deposits and certificates of deposits that are not insured by the Federal
Deposit Insurance Corporation (FDIC) must be fully collateralized in accordance with Government
Code Section 53601.
12.0 SAFEKEEPING AND CUSTODY
To protect against potential losses by the collapse of individual securities dealers, all trades will
be transacted on a delivery -versus -payment (DVP) basis. This means that the securities shall be
delivered to the City's designated custodian upon receipt of the payment by the City. The
securities shall be held in safekeeping by a third -party custodian, acting as agent for the City
under the terms of a custody agreement executed by the bank and City. The third -party
custodian shall be required to issue a monthly safekeeping report to the City that lists the specific
investment, rate, maturity and other pertinent information.
The only exception to the foregoing shall be depository accounts and security purchases made
with investment pools and certificates of deposit since the purchased securities are not
deliverable. Evidence of these investments will be held in the City's vault. No outside
broker/dealer or advisor may have access to City funds, accounts or investments, and any
transfer of funds to or through an outside broker/dealer must be approved by the City
Treasurer/Deputy Treasurer.
The City strives to maintain the level of investment of all funds as near 100% as possible, through
daily and projected cash flow determinations. Idle cash management and investment
transactions are the responsibility of the City Treasurer.
13.0 DIVERSIFICATION
It is the policy of the City to diversify its investment portfolio. Assets shall be diversified to
eliminate the risk of loss resulting from over -concentration of assets in a specific issuer, security
type, and maturities. Diversification strategies shall be determined and revised periodically. The
purpose of diversifying is to reduce overall portfolio risks while attaining an average market rate
of return; therefore, it needs to be conceptualized in terms of maturity, instrument types and
issuer.
Statement of Investment Policy Page 9
Page 135
14.0 MAXIMUM MATURITIES
To the extent possible, the City of Rancho Cucamonga will attempt to match security maturities
to anticipated cash flow requirements. The maximum maturity of individual investments shall
not exceed a maturity of five years from the settlement date unless the City Council has granted
authority to make that investment either specifically or as a part of an investment program
approved by the City Council.
15.0 INTERNAL CONTROL
The City Treasurer and/or his/her appointed designee shall establish an annual process of
independent review by an external auditor. This review will provide internal control by assuring
compliance with policies and procedures set forth in this Investment Policy. Also, see Section 9.0
of this Policy.
16.0 PERFORMANCE
The investment performance of the City's operating portfolio shall be evaluated and compared
to an appropriate benchmark in order to assess the success of the investment program relative
to the City's Safety, Liquidity, and Yield objectives. This review will be conducted annually with
the City Treasurer, Deputy City Manager/Administrative Services, and Finance Director and, if
necessary, consider making adjustments to future investment strategies as market conditions
permit.
Statement of Investment Policy
Page 10
Page 136
17.0 REPORTING
The City Treasurer shall prepare and submit a monthly investment report to the City Council and
City Manager, which shall include all securities, excluding those held by and invested through
trustees. The report shall include the following:
• The type of investment, name of the issuer, date of purchase, date of maturity, par and dollar
amount invested in all securities.
• The weighted average maturity of the investments.
• Any funds, investments, or programs including loans that are under the management of
contracted parties.
• A description of the compliance with the Statement of Investment Policy.
• A statement of the City's ability to meet its pooled expenditure requirements for the next six
months or provide an explanation as to why sufficient money shall or may not be available.
• The investment portfolio report shall include current market value information for all
investments. A monthly market value will be obtained for each security owned by the City.
For purposes of reporting, the market value of each security may be obtained from the City's
custodian bank or other pricing source(s) utilized by the City's approved brokers.
The City Treasurer shall be responsible for reviewing and modifying investment guidelines as
conditions warrant and is required to submit same for re -approval to the City Council on an
annual basis with or without changes. However, the City Treasurer may, at any time, further
restrict the items approved for purchase as deemed appropriate.
The basic premise underlying the City's investment philosophy is, and will continue to be, to
ensure that money is always safe and available when needed.
Statement of Investment Policy Page 11
Page 137
18.0 INVESTMENT POLICY ADOPTION
The City of Rancho Cucamonga's Investment Policy shall be reviewed and approved annually by
the City Council. Any modifications made to the Investment Policy must be approved by the City
Council.
James C. Frost Date
City Treasurer
City of Rancho Cucamonga
Statement of Investment Policy
Page 12
Page 138
GLOSSARY OF TERMS
AGENCIES: Agencies of or sponsored by the Federal government setup to supply credit to various
classes of institutions. Examples include Federal Home Loan Banks (FHLB), Federal Farm Credit
Bank (FFCB), Federal Home Loan Mortgage Corporation (FHLMC), Federal National Mortgage
Association (FNMA) and Sallie Mae.
ASKED: The price at which securities are offered by a selling party to a buying party.
BANKERS' ACCEPTANCE (BA): A draft, bill, or exchange accepted by a bank or trust company.
The accepting institution guarantees payment of the bill, as well as the issuer.
BASIS POINT: One basis point is one-hundredth of a percent (i.e., 0.01%).
BEAR MARKET: A period of generally pessimistic attitudes and declining market prices.
BENCHMARK: A comparative base for measuring the performance or risk tolerance of the
investment portfolio. A benchmark should represent a close correlation to the level of risk and
the average duration of the portfolio's investments.
BID: The price offered by a buyer of securities. (When selling securities, you ask for a bid.)
BOND EQUIVALENT YIELD: The basis on which yields on notes and bonds are quoted.
BOOK VALUE (COST VALUE): The value at which a debt security is shown on the holder's balance
sheet. Book value is acquisition cost less amortization of premium or accretion of discount.
BROKER/DEALER: An individual or firm that brings buyers and sellers together in a securities
transaction.
BULL MARKET: A period of generally optimistic attitudes and increasing market prices.
CALLABLE SECURITIES: A security that is redeemable by the issuer before the scheduled maturity.
Bonds are usually called when the interest rates fall so significantly that the issuer can save
money by floating new bonds at lower rates.
CERTIFICATE OF DEPOSIT (CD): A time deposit with a specific maturity evidenced by a Certificate.
Large denomination CD's are typically negotiable.
Statement of Investment Policy Page 13
Page 139
COLLATERAL: Securities, evidence of deposit or other property, which a borrower pledges to
secure repayment of a loan. Also, refers to securities pledged by a bank to secure deposits of
public monies.
COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR): The official annual report of the City of
Rancho Cucamonga. It includes five combined statements for each individual fund and account
group prepared in conformity with Generally Accepted Accounting Principles (GAAP). It also
includes supporting schedules necessary to demonstrate compliance with GAAP, finance -related
legal and contractual provisions, extensive introductory material, and a detailed Statistical
Section.
CORPORATE MEDIUM-TERM NOTE: Corporate and depository institution debt securities with a
maximum remaining maturity of five years or less, issued by corporations organized and
operating within the United States or by depository institutions licensed by the United States or
any state and operating within the United States.
COUPON: (a) The annual rate of interest that a bond's issuer promises to pay the bondholder on
the bond's face value. (b) A certificate attached to a bond evidencing interest due on a payment
date.
DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling
for his own account.
DEBENTURE: A bond secured only by the general credit of the issuer.
DELIVERY VERSUS PAYMENT (DVP): Delivery of securities with a simultaneous exchange of
money for the securities.
DERIVATIVES: Financial products dependent for their value on (or derived from) an underlying
financial instrument, a commodity, or an index.
DISCOUNT: The difference between the cost price of a security and its maturity when quoted at
lower than face value. A security selling below original offering price shortly after sale also is at
a discount.
DISCOUNT SECURITIES: Non-interest bearing, money market instruments that are issued at a
discount and redeemed at maturity for full face value, e.g. U.S. Treasury Bills.
DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent
returns.
Statement of Investment Policy
Page 14
Page 140
FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A federal agency that insures bank
deposits up to $250,000 per deposit.
FEDERAL FUNDS RATE: The interest rate charged by one institution lending federal funds to
another.
FEDERAL HOME LOAN BANKS (FHLB): Government sponsored wholesale banks (currently 12
regional banks), which lend funds and provide correspondent banking services to member
commercial banks, thrift institutions, credit unions and insurance companies. The mission of the
FHLBs is to liquefy the housing related assets of its members who must purchase stock in their
district bank.
FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA): FNMA, like GNMA was chartered under
the Federal National Mortgage Association Act in 1938. FNMA is a federal corporation working
under the auspices of the Department of Housing and Urban Development (HUD). It is the largest
single provider of residential mortgage funds in the United States. Fannie Mae, as the
corporation is called, is a private stockholder -owned corporation. The corporation's purchases
include a variety of adjustable mortgages, second loans, and fixed-rate mortgages. FNMA's
securities are also highly liquid and are widely accepted. FNMA assumes and guarantees that all
security holders will receive timely payment of principal and interest.
FEDERAL OPEN MARKET COMMITTEE (FOMQ Consists of seven members of the Federal
Reserve Board and five of the twelve Federal Reserve Bank Presidents. The President of the New
York Federal Reserve Bank is a permanent member, while the other Presidents serve on a rotating
basis. The Committee periodically meets to set Federal Reserve guidelines regarding purchases
and sales of Government Securities in the open market to influence the volume of bank credit
and money.
FEDERAL RESERVE SYSTEM: The central bank of the United States created by Congress and
comprising a seven -member Board of Governors in Washington, D.C., 12 regional banks and
about 5,700 commercial banks that are members of the system.
GOVERNMENTAL ACCOUNTING STANDARDS BOARD (GASB): The independent organization
that establishes and improves standards of accounting and financial reporting for the United
States, state and local governments.
Statement of Investment Policy Page 15
Page 141
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae): Securities
influencing the volume of bank credit guaranteed by GNMA and issued by mortgage bankers,
commercial banks, savings and loan associations, and other institutions. Security holder is
protected by full faith and credit of the U.S. Government. Ginnie Mae securities are backed by
the FHA, VA, or FMHM mortgages. The term "pass-through" is often used to describe Ginnie
Maes.
INVESTMENT AGREEMENTS: An agreement with a financial institution to borrow public funds
subject to certain negotiated terms and conditions concerning collateral, liquidity and interest
rates.
LIQUIDITY: A liquid asset is one that can be converted easily and rapidly into cash without a
substantial loss.
LOCAL AGENCY INVESTMENT FUND (LAIF): The aggregate of all funds from political subdivisions
that are placed in the custody of the State Treasurer for investment and reinvestment.
MARKET VALUE: The price at which a security is trading and could presumably be purchased or
sold.
MARKET RATE OF RETURN: A rate of return commensurate with the market for similar securities
(maturity, credit rating, duration and liquidity) would be considered a market rate of return.
MASTER REPURCHASE AGREEMENT: A written contract covering all future transactions between
the parties to repurchase—reverse, repurchase agreements that establishes each party's rights in
the transactions. A master agreement will often specify, among other things, the right of the
buyer -lender to liquidate the underlying securities in the event of default by the seller -borrower.
MATURITY: The date upon which the principal or stated value of an investment becomes due
and payable.
MONEY MARKET: The market in which short-term debt instruments (bills, commercial paper,
bankers' acceptances, etc.) are issued and traded.
NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION (NRSRO): A credit rating
agency that provides credit ratings that are used by the U.S. government and investors as
benchmarks. Examples include Standard & Poor's Corporation, Moody's Investor Services, Inc.
and Fitch, Inc.
OFFER: The price asked by a seller of securities. (When buying securities, you ask for an offer.)
Statement of Investment Policy
Page 16
Page 142
OPEN MARKET OPERATIONS: Federal Reserve activity. Under the Federal Reserve Act, the Fed
uses purchases and sales of Government and Federal Agency securities to add to or subtract from
commercial bank reserves. Goals are to sustain economic growth, high employment and
reasonable price stability.
PAPER GAIN OR LOSS: Term used for unrealized gain or loss on securities being held in a portfolio
based on comparison of current market quotes and their original cost. This situation exists if the
security is held while there is a difference between cost value (book value) and the market value.
PORTFOLIO: Collection of securities held by an investor.
PRIMARY DEALER: A group of government securities dealers who submit daily reports of market
activity, positions and monthly financial statements to the Federal Reserve Bank of New York and
are subject to its informal oversight. Primary dealers include Securities and Exchange
Commission (SEC) registered securities broker/dealers, banks and a few unregulated firms.
PRUDENT INVESTOR STANDARD: An investment standard to be followed by those authorized to
make investment decisions on behalf of a local agency. Those authorized shall act with care, skill,
prudence, and diligence under the circumstances then prevailing, including, but not limited to,
the general economic conditions and the anticipated needs of that agency.
RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current
market price. This may be the amortized yield to maturity on a bond; the current income return.
SAFEKEEPING: The service to customers by banks and trust companies when the bank or trust
company stores the securities for protection, receives coupon payments and redeems issues at
maturity.
SECONDARY MARKET: A market made for the purchase and sale of outstanding issues following
the initial distribution of securities.
SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protect investors in
securities transactions by administering securities legislation.
SEC RULE 15(C) 3-1: See Uniform Net Capital Rule.
SUPRANATIONALS: Development banks that share the same goal of providing an improved
standard of living in their member countries, but each having different mandates. There are
three banks (supranationals) in which California local agencies can invest in their debt
obligations; the International Bank for Reconstruction and Development (IBRD), International
Finance Corporation (IFC) and Inter -American Development Bank (IADB).
Statement of Investment Policy Page 17
Page 143
TREASURY BILLS: A non-interest bearing discount security issued by the U.S. Treasury to finance
the national debt. Most bills are issued to mature in three months, six months, or one year.
TREASURY BONDS: Long-term coupon -bearing U.S. Treasury securities issued as direct
obligations of the U.S. Government and having initial maturities of over 10 years.
TREASURY NOTES: Medium-term coupon -bearing U.S. Treasury securities issued as direct
obligations of the U.S. Government and having initial maturities from one to 10 years.
UNIFORM NET CAPITAL RULE: Securities and Exchange Commission requirement that member
firms as well as nonmember broker-dealers in securities maintain a maximum ratio of
indebtedness to liquid capital of 15-1; also, called net capital rule and net capital ratio.
Indebtedness covers all money owed to a firm, including margin loans and commitments to
purchase securities. Liquid capital includes cash and assets easily converted to cash without
penalty.
YIELD: The rate of annual income return on an investment, expressed as a percentage.
YIELD TO MATURITY: The current income yield on an investment, minus any premium above
par, or plus any discount from par in the purchase price with the adjustment spread over the
period from date of purchase to maturity of the bond.
Statement of Investment Policy
Page 18
Page 144
Exhibit A
BROKER/DEALER QUESTIONNAIRE AND CERTIFICATION
1. Firm Name:
2. Address:
3. Phone Number:
4. Website Address:
5. Primary Broker Representative:
Name: Years in Institutional Sales:
Title: Years with Firm:
Phone Number:
Email Address:
6. Please provide the name and title of the immediate supervisor and/or other brokers that will be
interfacing with the City/District in the primary broker's absence:
Name: Years in Institutional Sales:
Title: Years with Firm:
Phone Number:
Email Address:
Name:
Title:
Phone Number:
Email Address:
Years in Institutional Sales:
Years with Firm:
7. Has the broker/dealer listed in No. 5 been authorized by the firm to be a broker for the
City/District of Rancho Cucamonga? Yes No
8. Please provide the following information regarding three comparable public agency clients with
whom the broker has an established relationship that we may contact for a reference. The
City/District prefers public sector clients in the City's geographical area, if possible.
Public Agency Name
Contact Name/Title
Phone Number
Email Address
Length of Relationship
Page 145
Public Agency Name
Contact Name/Title
Phone Number
Email Address
Length of Relationship
Public Agency Name
Contact Name/Title
Phone Number
Email Address
Length of Relationship
9. Place an "X" by each of the instruments below in which you make an active market (both buy and
sell):
[ ] U.S. Treasuries [ ] Bankers' Acceptances
[ ] Federal Agencies [ ] Commercial Paper
[ ] Mutual Funds [ ] Certificates of Deposit
[ ] Corporate Notes [ ] Municipals
[ ] Medium Term Notes [ ] Supranationals
[ ] Repurchase Agreements
10. Does your firm specialize in any of the instruments listed above? If so, please specify which ones.
11. Please briefly describe any ancillary services that your firm would provide to the City/District as
an authorized broker/dealer?
12. To the best of your knowledge, within the last five years, has your firm ever been subject to a
regulatory, state, or federal agency investigation for alleged improper, fraudulent, disreputable
or unfair activities related to the sale of securities? Have any of your employees been
investigated? If so, please briefly describe each such matter below or, if necessary, provide as an
attached addendum:
13. Please provide the following with this Broker/Dealer Questionnaire and Certification:
• Firm's most recent Audited Financial Statement
• FINRA Report for primary broker/dealer and alternate
• California Registration
Page 146
CERTIFICATION
I hereby certify that I have personally read the City of Rancho Cucamonga and the Rancho
Cucamonga Fire Protection District's Investment Policies and the California Government Codes
pertaining to the authorized and suitable investments of the City of Rancho Cucamonga and the
Rancho Cucamonga Fire Protection District; that I will only offer such authorized and suitable
investments for sale to the City of Rancho Cucamonga and the Rancho Cucamonga Fire Protection
District; that the above information is true and correct to the best of my knowledge; and that
am authorized to execute this request for information on behalf of
(name of firm).
Signed
Print Name
Title
Date
This certification must be countersigned by the Company president or person in charge of
government securities operations.
Signed
Print Name
Title
Date
Page 147
Exhibit B
SUMMARY OF AUTHORIZED AND SUITABLE INVESTMENTS
Statement of Investment Policy
Page 1
Page 148
MAXIMUM SPECIFIED
MINIMUM QUALITY
INVESTMENTTYPE
OF PORTFOLIO
MAXIMUM MATURITY
REQUIREMENTS
United States Treasury
Securities
None
5 years
None
United States Federal
Agencies
None
5 years
None
Municipals Notes or
30%
5 years
ST— Rating of either "MIG
Bonds
1" by Moody's or "SP -1" by
S&P
LT— Rating of either "Al"
by Moody's or "A"+ by S &
P
Certificates of Deposit
Must be collateralized in
(Time Deposits)
None
5 years
accordance with California
Government Code
Negotiable Certificates
30%
5 years
Issued by a nationally or
of Deposit
state -chartered bank, a
savings association or a
federal association, a state
or federal credit union, or
by a federally licensed or
state -licensed branch of a
foreign bank
Bankers' Acceptances
40%
180 days
No more than 30% of the
City's money may be
invested in the bankers'
acceptances of any one
commercial bank
Commercial Paper
25%
270 days or less
Must be of "prime" quality
of the highest ranking or of
the highest letter and
number rating as provided
for by Moody's or S & P of
at least "A" or "A1/131" is
required. Limited to no
more than 10% of the
outstanding commercial
paper of any single issuer.
No more than 5% issued by
any one corporation. (See
Section 8 of Investment
Policy)
State of California Local
None
None (Daily Liquidity)
See Section 8 of Investment
Agency Investment
Maximum investment:
Policy
Fund (LAIF)
$75 million
Statement of Investment Policy
Page 1
Page 148
ST - Short -Term
LT - Long -Term
NRSRO - Nationally Recognized Statistical Rating Organization
Statement of Investment Policy
Page 2
Page 149
MAXIMUM SPECIFIED
MINIMUM QUALITY
INVESTMENT TYPE
OF PORTFOLIO
MAXIMUM MATURITY
REQUIREMENTS
Joint Powers Authority
(JPA) Investment Pool
None
5 years
None
Deposit of Funds
None
None
Required to be
collateralized as specified
under Government Code
Sec. 53630 et. Seq.
Repurchase
20%
1 year
The market value of
Agreements (Repos)
securities that underlies a
repurchase agreement
shall be valued at 102% or
greater of the funds
borrowed against those
securities and the value
shall be adjusted no less
than quarterly
Medium -Term Notes
30%
5 years
Rating of "AA" or better by
Moody's or S & P. No more
than 5% issued by any one
corporation. (See Section 8
of Investment Policy)
Supranational
Rating of "AA" or better by
30% o
5 years or less
Securities
a NRSRO
Investment
See Section 8 of Investment
Agreements
5%
None
Policy
ST - Short -Term
LT - Long -Term
NRSRO - Nationally Recognized Statistical Rating Organization
Statement of Investment Policy
Page 2
Page 149
DATE: June 25, 2020
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Tamara L. Layne, Finance Director
SUBJECT: CONSIDERATION TO APPROVE THE FOLLOWING TO BE IN COMPLIANCE
WITH GOVERNMENTAL ACCOUNTING STANDARDS BOARD (GASB)
STATEMENT NO. 54: 1) UPDATED FUND BALANCE POLICY AND 2) A
RESOLUTION COMMITTING TO THE LEVEL OF FISCAL RESERVES FOR
THE CITY OF RANCHO CUCAMONGA.
RECOMMENDATION:
It is recommended that the City Council approve the following to be in compliance with Governmental
Accounting Standards Board (GASB) Statement No. 54: 1) updated Fund Balance Policy and 2) a
resolution committing to the level of fiscal reserves for the City of Rancho Cucamonga.
BACKGROUND:
On a regular basis, the Governmental Accounting Standards Board (GASB) adopts new policies and
procedures that apply to public entities. In February 2009, GASB issued Statement No. 54, which
applies to Fund Balance Reporting and Governmental Fund Type Definitions (GASB 54). Since 2011,
in order to be in compliance with GASB 54, the City Council has approved a Fund Balance Policy and
a resolution committing to the level of reserves for the City of Rancho Cucamonga.
ANALYSIS:
In order to accommodate any changes to these commitments that may become necessary due to
changes in operations or changes in City Council goals, staff will annually bring this policy and
resolution before the City Council for approval at the end of each fiscal year. The following updates
(City- and District -related) have been made to the policy:
• A new assigned fund balance was created for Community Services Programs -Recreation. The fund
balance is assigned for non-recurring costs to support community services programs, including a wide
variety of classes, special events, and recreational activities sponsored by the Community Services
Department.
• A new assigned fund balance was created for Community Services Programs -Cultural Arts. The fund
balance is assigned for non-recurring costs to support community services programs, including a wide
variety of classes, theatrical performances, and cultural activities sponsored by the Community
Services Department.
The initial funding of these assigned fund balances resulted from the combining of the Department's
recreational and cultural activities that were accounted for in separate Special Funds into the General
Fund effective with the Fiscal Year 2020/21 Budget. All fund balances remaining in the Recreation
Services Fund and Victoria Gardens Cultural Center Fund as of June 30, 2020 will be closed out to the
City's General Fund as the two reserves noted above.
No updates were required for District -related reserves.
Page 150
The Fund Balance Policy, in conjunction with the City General Fund Reserve Funding Goals Policy,
provides guidelines for building City reserves in support of future needs for capital replacement,
resiliency in the event of an economic downturn, and planned enhancements to the services and
facilities available to the citizens of Rancho Cucamonga.
The Fund Balance Policy is presented to the City Council for review and approval. The attached Resolution
formally establishes the City of Rancho Cucamonga's fund balance commitments for the fiscal year ending
June 30, 2020.
FISCAL IMPACT:
None.
COUNCIL GOAL(S) ADDRESSED:
Not applicable.
ATTACHMENTS:
Description
Attachment 1 - Fund Balance Policy
Attachment 2 - Resolution
Page 151
ATTACHMENT
CUCAMONGA
- 140p- RANCHO CUCAMONGA FIRE
PROTECTION DISTRICT
FUND BALANCE POLICY
POLICY NO.: -_
EFFECTIVE: June 15, 2011
REVISED: June 22, 2020
APPROVED:
PURPOSE
This Fund Balance Policy establishes the procedures for the reporting of unrestricted fund
balance in the City General Fund and Fire District financial statements. Certain commitments
and assignments of fund balance will help ensure that there will be adequate financial resources
to protect the City against unforeseen circumstances and events such as revenue shortfalls and
unanticipated expenditures. The policy also authorizes and directs the Finance Director to
prepare financial reports which accurately categorize fund balance as per Governmental
Accounting Standards Board (GASB) Statement No. 54, Fund Balance Reporting and
Governmental Fund Type Definitions.
GENERAL POLICY
Fund balance is essentially the difference between the assets and liabilities reported in a
governmental fund. There are five separate components of fund balance, each of which identifies
the extent to which the City/Fire District is bound to honor constraints on the specific purposes for
which amounts can be spent.
• Nonspendable fund balance (inherently nonspendable)
• Restricted fund balance (externally enforceable limitations on use)
• Committed fund balance (self-imposed limitations on use)
• Assigned fund balance (limitation resulting from intended use)
• Unassigned fund balance (residual net resources)
The first two components listed above are not addressed in this policy due to the nature of their
restrictions. An example of nonspendable fund balance is inventory. Restricted fund balance is
either imposed by law or constrained by grantors, contributors, or laws or regulations of other
governments. This policy is focused on financial reporting of unrestricted fund balance, or the
last three components listed above. These three components are further defined below.
Committed Fund Balance
The City Council (which also acts as the Board of Directors for the Rancho Cucamonga Fire
Protection District), as the City's highest level of decision-making authority, may commit fund
Page 152
FUND BALANCE POLICY
PAGE 2OF4
balance for specific purposes pursuant to constraints imposed by formal actions taken, such as
an ordinance or resolution. These committed amounts cannot be used for any other purpose
unless the City Council/Fire Board removes or changes the specified use through the same type
of formal action taken to establish the commitment. City Council/Fire Board action to commit fund
balance needs to occur within the fiscal reporting period; however, the amount can be determined
subsequently.
• Changes in Economic Circumstances
The City's General Fund balance committed for changes in economic circumstances is
established at a goal of a nine month reserve, or 75% of the City General Fund operating
budget for the upcoming fiscal year. The Fire District's fund balance committed for
changes in economic circumstances is established at a goal of a nine month reserve, or
75% of the Fire District's operating budget for the upcoming fiscal year. The specific uses
of this commitment include: 1) the declaration of a state or federal state of emergency or
a local emergency as defined in Rancho Cucamonga Municipal Code Section 2.36.020;
or 2) a change in economic circumstances in a given fiscal year that results in revenues
to the City/Fire District being insufficient to cover expenditures for one or more fiscal years.
The City Council/Fire Board may, by the affirming vote of four members, change the
amount of this commitment and/or the specific uses of these monies.
• City Facilities Capital Repair
The City's General Fund balance committed for City facilities capital repair and property
acquisition is established at a minimum goal of 50% of capital assets value comprised of
construction in progress (excluding infrastructure), building improvements, and
improvements other than building for governmental activities, excluding assets owned by
the Rancho Cucamonga Fire Protection District.
• Fire District Facilities Capital Repair
The Fire District's fund balance committed for the Fire District facilities capital repair is
hereby committed to a minimum goal of 50% of capital assets value comprised of
construction in progress (excluding infrastructure), building improvements, and
improvements other than building for public safety -fire activities.
• Working Capital
The City's General Fund balance committed for Working Capital is established at a goal
of a minimum of 5% of the City's General Fund operating budget for the upcoming fiscal
year. The Fire District's fund balance committed for Working Capital is established at a
goal of a minimum of 50% of the District's operating budget for the upcoming fiscal year.
• Self -Insurance
The City's General Fund balance and the Fire District's fund balance committed for
payment of Workers' Compensation, General Liability, and Employment Practices Liability
claims is established at a minimum goal of eight times the City's and the District's total
yearly SIRs for all types of insurance coverage.
Page 153
FUND BALANCE POLICY
PAGE 3OF4
• PASIS Workers' Compensation Tail Claims
The Fire District's fund balance committed for payment of outstanding Workers'
Compensation claims remaining after the District's withdrawal from PASIS is established
at a goal equal to the most recent fiscal year end Claims Cost Detail Report from the
District's third -party administrator plus 15%.
• Employee Leave Payouts
The City's General Fund balance and the Fire District's fund balance committed for
employee leave payouts as valued in accordance with the City's labor contracts as of the
last day of the fiscal year.
• Vehicle and Equipment Replacement
The Fire District's fund balance committed for the replacement of fire safety vehicles and
equipment as determined based on the District's replacement criteria is established at a
minimum goal of 50% of District vehicle and equipment replacement value.
• Law Enforcement
The City's General Fund balance committed for public safety purposes, including
operations, equipment, capital outlay, capital facilities, personnel, and booking fees. The
funding goal for this reserve is the equivalent of 100% of the most recently approved
Schedule A from the San Bernardino County Sheriff's Department.
Assigned Fund Balance
Amounts that are constrained by the City/Fire District's intent to be used for specific purposes,
but are neither restricted nor committed, should be reported as assigned fund balance. This policy
hereby delegates the authority to assign amounts to be used for specific purposes to the City
Manager and/or Finance Director for the purpose of reporting these amounts in the annual
financial statements. The following are a few non-exclusive examples of assigned fund balance.
• Economic and Community Development Special Services
The City's General Fund balance assigned for contracts, special services, or projects
associated with Economic and Community Development (ECD) special projects or ECD
initiatives/Council goals (such as economic strategy and Development Code contract
services) as well as a one-year value of staffing costs for Planning, Building and Safety,
and Engineering (not including capital and project management).
• Annexation, Habitat Mitigation and Sphere of Influence Issues
Established to provide funds for a multi-year effort to analyze the physical constraints and
opportunities within the sphere area, provide required environmental analysis, and plan
for the eventual annexation of the remaining unincorporated areas within the City sphere
of influence. This reserve also provides for ancillary costs related to annexation of the
sphere area, including mitigation issues and legal challenges. Another area covered by
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FUND BALANCE POLICY
PAGE 4OF4
this reserve is the creation of a multi -species habitat conservation plan as well as
acquisition of habitat conservation land.
• Community Services Programs -Recreation
The City's General Fund balance assigned for non-recurring costs to support community
services programs, including a wide variety of classes, special events, and recreational
activities sponsored by the Community Services Department. The initial funding of this
reserve resulted from the combining of the Department's recreational and community
activities that were accounted for in a separate Special Fund into the General Fund
effective with the Fiscal Year 2020/21 Budget. The fund balance remaining in the
Recreation Services Fund as of June 30, 2020 was closed out to the City's General Fund.
• Community Services Programs -Cultural Arts
The City's General Fund balance assigned for non-recurring costs to support community
services programs, including a wide variety of classes, theatrical performances, and
cultural activities sponsored by the Community Services Department. The initial funding
of this reserve resulted from the combining of the Department's cultural and theatrical
activities that were accounted for in a separate Special Fund into the General Fund
effective with the Fiscal Year 2020/21 Budget. The fund balance remaining in the Victoria
Gardens Cultural Center Fund as of June 30, 2020 was closed out to the City's General
Fund.
Unassianed Fund Balance
These are residual positive net resources of the General Fund and Fire District funds in excess
of what can properly be classified in one of the other four categories.
Fund Balance Classification
The accounting policies of the City/Fire District consider restricted fund balance to have been
spent first when an expenditure is incurred for purposes for which both restricted and unrestricted
fund balance is available. Similarly, when an expenditure is incurred for purposes for which
amounts in any of the unrestricted classifications of fund balance could be used, the City/Fire
District considers committed amounts to be reduced first, followed by assigned amounts and then
unassigned amounts.
This policy is in place to provide a measure of protection for the City/Fire District against
unforeseen circumstances and to comply with GASB Statement No. 54. No other policy or
procedure supersedes the authority and provisions of this policy.
Page 155
ATTACHMENT 2
RESOLUTION NO. 20 -XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
RANCHO CUCAMONGA, CALIFORNIA COMMITTING TO THE
LEVEL OF FISCAL RESERVES FOR THE CITY OF RANCHO
CUCAMONGA
WHEREAS, the Rancho Cucamonga City Council desires to protect existing services,
and;
WHEREAS, the Rancho Cucamonga City Council desires to be prepared for
emergencies, and;
WHEREAS, the Rancho Cucamonga City Council desires to maintain good fiscal
management and fiscal structure to operate a municipal corporation, and;
WHEREAS, the Rancho Cucamonga City Council desires to maintain the financial
strength required to obtain beneficial bond ratings for the City;
NOW, THEREFORE, the City Council of the City of Rancho Cucamonga, California does
hereby resolve on this 25th day of June 2020 that the level of fiscal reserves maintained by the
City of Rancho Cucamonga as of fiscal year end are committed to the goals as outlined in the
City's Fund Balance Policy, attached to this resolution as Exhibit A.
PASSED, APPROVED, AND ADOPTED this 25th day of June 2020.
Page 156
DATE: June 25, 2020
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Tamara L. Layne, Finance Director
SUBJECT: CONSIDERATION TO APPROVE UPDATED CITY GENERAL FUND
RESERVE FUNDING GOALS POLICY.
RECOMMENDATION:
Staff recommends that the City Council approve the attached updated City General Fund Reserve
Funding Goals Policy.
BACKGROUND:
This City General Fund Reserve Funding Goals Policy establishes the methodology for the funding
goals for each of the City General Fund reserves, including the replacement of vehicles, equipment, and
computer equipment/technology. While the City established many of these reserves in prior years,
some did not have specific methodologies assigned to them in order to quantify the goal for the
reserve. This policy, which was initially approved by the City Council in June 2012, formalizes the City
General Fund reserves, establishes some new ones (if applicable), and sets quantifiable goals for each
reserve. No updates were made to the policy.
ANALYSIS:
In accordance with the policy, upon the completion of the City's annual audit, the Finance Director
prepares a schedule summarizing the funding status of each reserve for use by the City Manager in
future budgetary planning.
This policy does not apply to reserves determined to be non -spendable in accordance with the City's
Fund Balance Policy nor does it apply to reserves that pertain to outstanding encumbrances (i.e.,
purchase orders) or unrealized gain on investments (GASB31) as of fiscal year end.
FISCAL IMPACT:
None.
COUNCIL GOAL(S) ADDRESSED:
Not applicable.
ATTACHMENTS:
Description
Attachment 1 - Reserve Funding Goals Policy
Page 157
ATTACHMENT
CUCAMONGA
CITY GENERAL FUND
RESERVE FUNDING GOALS POLICY
POLICY NO.: -_
EFFECTIVE: June 13, 2013
REVISED: June 25, 2020
APPROVED:
PURPOSE
This City General Fund Reserve Funding Goals Policy establishes the methodology for the
funding goals for each of the City General Fund reserves, including the replacement of vehicles,
equipment, and computer equipment/technology. This policy does not apply to reserves
determined to be nonspendable in accordance with the City's Fund Balance Policy nor does it
apply to reserves that pertain to outstanding encumbrances (i.e., purchase orders) or unrealized
gain on investments (GASB31) as of fiscal year end. Upon the completion of the City's annual
audit, this policy directs the Finance Director to prepare a schedule summarizing the funding
status of each reserve as of the audit date. This schedule will serve as a tool for budgetary
planning for the funding of each reserve.
GENERAL POLICY
Following is a detailed description of the methodology for the funding goals for each of the City
General Fund reserves referred to above.
Self-insurance
The funding goal for this reserve is established at nine times the Self -Insured Retention (SIR) in
each program (Workers' Compensation, General Liability, and Employment Practices Liability) to
allow for nine full limit claims in any one year. The SIR is essentially the City's deductible in each
program. Those numbers are calculated as follows: Workers' Comp ($250,000 SIR) is
$2,250,000; General Liability ($500,000 SIR) is $4,500,000; and Employment Practices
($250,000 SIR) is $2,250,000. The total proposed reserve is $9,000,000. This level of reserves
protects the City's assets by ensuring adequate funding in the event of multiple large claims
against the City.
Employee leave payouts
The funding goal for this reserve is established at 100% of the current value of vacation, sick
leave, and comp time payouts per the respective City MOUs.
Page 158
CITY GENERAL FUND
RESERVE FUNDING GOALS POLICY
PAGE 2OF4
PERS rate stabilization
The funding goal for this reserve is established at a level equal to the value of projected rate
increases identified in the respective annual CalPERS actuarial valuation for five fiscal years after
the year of financial reporting. The related reserve is restricted as the funds have been placed in
the PARS Post -Employment Benefits Trust, which is a restricted asset on the City's balance
sheet.
Citv facilities capital reaairs
The funding goal for City facilities capital repair is established at a minimum goal of 50% of capital
assets value comprised of construction in progress (excluding infrastructure), building
improvements, and improvements other than buildings for governmental activities, excluding
assets owned by the Rancho Cucamonga Fire Protection District.
Changes in economic circumstances
The funding goal for changes in economic circumstances is established at a nine-month reserve,
or 75% of the City General Fund operating budget for the upcoming fiscal year.
Law enforcement
The funding goal for this reserve is the equivalent of 100% of the most recently approved
Schedule A from the San Bernardino County Sheriff's Department.
Economic and community development special services
The funding goal for this reserve is $5,000,000 to pay for contract services, special services, or
projects associated with Economic and Community Development (ECD) special projects or ECD
initiatives/Council goals (such as economic strategy and Development Code contract services)
as well as a one-year value of staffing costs for Planning, Building and Safety, and Engineering
(not including capital and project management). Funding for this reserve would be provided by
unspent revenue from Planning, Building and Safety, and Engineering (not including capital and
project management) on an annual basis.
Annexation. Habitat Mitiaation and Sphere of Influence issues
The funding goal for this reserve is established at $10,000,000. The reserve is intended to provide
funds for a multi-year effort to analyze the physical constraints and opportunities within the sphere
area, provide required environmental analysis, and plan for the eventual annexation of the
remaining unincorporated areas within the City sphere of influence. The eventual annexation
requires pre -zoning, CEQA compliance, and a comprehensive service plan. The reserve
amount reflects estimates of cost proposed by the City staff in consultation with experts familiar
with the City process and geography. This reserve also provides for ancillary costs related to
annexation of the sphere area, including mitigation issues and legal challenges. Another area
covered by this reserve is the creation of a multi -species habitat conservation plan as well as
acquisition of habitat conservation land. The overall funding goal will be increased each fiscal
year based on the increase in the City's assessed valuation for the upcoming fiscal year per the
City's property tax consultant.
Page 159
CITY GENERAL FUND
RESERVE FUNDING GOALS POLICY
PAGE 3OF4
Working capital
The funding goal for the City's General Fund working capital reserve is established at a goal of a
minimum of 5% of the City's General Fund operating budget for the upcoming fiscal year.
Animal Center facility replacement
This reserve is established to fund the future replacement of the Animal Center facility. The
funding goal for this reserve is equivalent to the estimated construction cost of the future Center.
General Plan update
The funding goal is equal to the cost to update the City's General Plan based on the most recent
contract awarded, increased annually for the CPI as of each fiscal year end. The funding source
for this reserve is a 10% General Plan Maintenance Fee collected on all applicable Building and
Safety Services Department and Planning Department services.
City infrastructure
The funding goal for City infrastructure is established at a minimum goal of 50% of infrastructure
assets value comprised of road system (excluding right of way), monuments, storm drain system,
and off-road trails system for governmental activities.
800 MHz radio system replacement
This reserve is established to fund the future acquisition
radios, as well as the City's proportionate share of the
funding goal is established at 100% of the replacement
proportionate cost of the Countywide radio infrastructure.
Mobile Home Park Program
or replacement of the City's 800 MHz
Countywide radio infrastructure. The
cost of the radios and 100% of the
The Building and Safety Department is responsible for enforcing the State mobile home laws and
has adopted the State's related schedule of fees. One of the fees collected is retained by the City
to cover the cost of mandatory inspections performed by the Building and Safety Department in
accordance with Title 25. The fee also covers the cost of educational materials and related
printing services. The funding goal for this reserve is equal to the cost of a contract inspector for
the mobile home park inspections for eight parks within the City.
City vehicle and equipment replacement
The funding goal is established at 105% of capital assets value comprised of vehicles and
equipment for governmental activities, excluding assets owned by the Rancho Cucamonga Fire
Protection District. The reserve is accounted for in the City's Equipment and Vehicle
Replacement Internal Service Fund (Fund 712).
Page 160
CITY GENERAL FUND
RESERVE FUNDING GOALS POLICY
PAGE 4OF4
CItV COmDuter eaUlDment/technoloav replacement
The funding goal is established at 105% of capital assets value comprised of computer
equipment/technology for governmental activities, excluding assets owned by the Rancho
Cucamonga Fire Protection District. The reserve is accounted for in the City's Computer
Equipment and Technology Replacement Internal Service Fund (Fund 714).
Community Development information technology
The funding goal of this reserve is equal to the implementation costs to replace and/or upgrade
the City's land management software (Accela) combined with three years' worth of the City's Cost
Allocation Plan (CAP) allocations to support the annual costs associated with Department of
Innovation and Technology staff time, maintenance contracts, and general administrative
allocations for the City's land management software. The funding source for this reserve is a 7%
Technology Fee collected on all applicable Building and Safety Services Department, Engineering
Department, and Planning Department services. The reserve is accounted for in the City
Technology Fee Fund (Fund 020).
Page 161
DATE: June 25, 2020
TO: President and Members of the Board of Directors
FROM: John R. Gillison, City Manager
INITIATED BY: Ivan Rojer, Fire Chief
Tamara L. Layne, Finance Director
Michelle Cowles, Management Analyst II
SUBJECT: CONSIDERATION TO ADOPT THE GENERAL FUND PRELIMINARY
BUDGET, APPROVE A RESOLUTION ADOPTING THE GENERAL FUND
APPROPRIATIONS LIMIT FOR FISCAL YEAR 2020/21, AND SET
APPROVAL OF A FINAL BUDGET FOR THE JULY 15, 2020 BOARD
MEETING.
RECOMMENDATION:
Staff recommends the Fire Board adopt the Rancho Cucamonga Fire Protection District General Fund
Preliminary Budget in the amount of $38,775,100 which is a combination of $32,721,970 General Fund
operational expenditures, $210 Fire Technology Fee Fund expenditures, and $6,052,920 Capital
Reserve expenditures; approve a resolution adopting the General Fund's Article XIIIB Appropriations
Limit in the amount of $42,560,011 for Fiscal Year 2020/21; and set approval of a final budget for the
July 15, 2020 Board Meeting.
BACKGROUND:
The Fire Protection District Law (Health & Safety Code Section 13800, et seq.), Chapter 7, requires
the Fire Board on or before June 30 of each year, to adopt a preliminary budget. On or after July 1 of
each year, the amounts set forth in the preliminary budget, except obligations for fixed assets and new
permanent employee positions, are deemed appropriated until the Board adopts the final budget. On or
before October 1 of each year, after making any changes in the preliminary budget, the Board shall
adopt a final budget. The final budget shall establish its appropriation limit pursuant to the State of
California Constitution, Article XIIIB (Gann Limit). Additionally, a copy of the final budget must be
forwarded to the auditor of each county in which the district is located.
As noted above, the Government Code requires that an appropriations limit be established annually by
the Fire Board based on the final budget. Historically, the District's final budget has mirrored the
preliminary budget. As such, the District's appropriations limit is calculated in conjunction with the
adoption of the preliminary budget. The factor used to develop the appropriations limit is the C.P.I.
change and the change in the City's population per the State of California Department of Finance.
ANALYSIS:
On June 11, 2020, the Fire Board held a workshop to review the appropriation requests for Fiscal Year
2020/21 which included specific discussion regarding the preliminary budget. The proposed budget
continues to meet the Council/Fire Board direction of operating independently. The Fire District was
Page 162
able to achieve a proposed, balanced operational budget through a combination of moderate revenue
growth and continued improvements of operational and administrative efficiencies.
Based on the factors of the Gann Limit (a C.P.I. change of 3.73% and a population change of 0.18%)
per the State of California Department of Finance, the District's Fiscal Year 2020/21 General Fund's
appropriations limit is $42,560,011. The District's Fiscal Year 2020/21 General Fund appropriations
subject to this limit total $33,833,610. It is anticipated that the District will be at 79.50% of its Gann Limit
at June 30, 2021. The attached Resolution adopts the annual appropriations limit as required by Article
XIIIB of the State Constitution.
Please refer to the City Manager's Executive Summary for specific details regarding the Fire District's
General Fund Preliminary Budget. The advertised public hearing for adoption of the Fire District
General Fund Final Budget is set for July 15, 2020.
FISCAL IMPACT:
The actions taken by the Fire Board will establish the Rancho Cucamonga Fire Protection District's
preliminary spending plan for Fiscal Year 2020/21 and ensure the District's compliance with the Gann
Limit.
COUNCIL GOAL(S) ADDRESSED:
The delivery of vital fire and life safety services to residents, visitors, and businesses through an
innovative combination of risk reduction and emergency response programs promotes and enhances a
safe and healthy community for all.
ATTACHMENTS:
Description
ATTACHMENT 1 - Resolution
Page 163
ATTACHMENT 1
RESOLUTION NO. FD 20 -XXX
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO
CUCAMONGA FIRE PROTECTION DISTRICT, SAN BERNARDINO COUNTY,
CALIFORNIA, ADOPTING A GENERAL FUND APPROPRIATIONS LIMIT FOR
FISCAL YEAR 2020/21 PURSUANT TO ARTICLE XIIIB OF THE CALIFORNIA
CONSTITUTION
WHEREAS, Article XIIIB of the Constitution of the State of California provides that the total annual
appropriations subject to limitation of the State and of each local government for the prior year be adjusted for
change in the cost of living and population except as otherwise provided in Sections (5), (7) and (8) of said Article
XIII -B. These exclusions are: Debt Service Funds, Revenue Bonds, Federal Funds and Grants, Contingencies,
Emergencies, Enterprise Funds, Capital Improvement Carry -Overs, Capital Equipment, Intra -Governmental
Service Funds, Reserves for Workers Compensation, Long -Term Disability, Retirement, Unemployment and
other reserve funds that are deemed reasonable and proper per the aforementioned sections; and
WHEREAS, pursuant to said Article XIIIB of the Constitution of the State of California, the Board of
Directors of the Rancho Cucamonga Fire Protection District deems it to be in the best interest of the Rancho
Cucamonga Fire Protection District to establish a General Fund appropriations limit for Fiscal Year 2020/21; and
WHEREAS, the Rancho Cucamonga Fire Protection District has determined that said General Fund's
appropriations limit for Fiscal Year 2020/21 be established in the amount of $42,560,011.
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Rancho Cucamonga Fire
Protection District that a General Fund appropriations limit for Fiscal Year 2020/21 pursuant to Article XIII -B of
the Constitution of the State of California be established in the amount of $42,560,011 and the same is hereby
established.
BE IT FURTHER RESOLVED that said appropriations limit herein established may be changed as
deemed necessary by resolution of the Board of Directors.
PASSED, APPROVED, AND ADOPTED this 25th day of June 2020.
Page 164
DATE: June 25, 2020
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Ivan Rojer, Fire Chief
Tamara L. Layne, Finance Director
Michelle Cowles, Management Analyst II
SUBJECT: CONSIDERATION TO APPROVE RESOLUTIONS ADOPTING A BUDGET IN
THE AMOUNT OF $6,738,900 AND APPROVING THE APPROPRIATIONS
LIMIT IN THE AMOUNT OF $16,212,326 FOR FISCAL YEAR 2020/21 IN
COMMUNITIES FACILITIES DISTRICT (CFD) NO. 85-1.
RECOMMENDATION:
Staff recommends the Fire Board adopt the proposed resolutions approving the Mello -Roos CFD No.
85-1 annual budget for Fiscal Year 2020/21 in the amount of $6,738,900 and the Appropriations Limit in
the amount of $16,212,326.
BACKGROUND:
Since Fiscal Year 1986/87, the Board has annually adopted a CFD budget to provide for operations
and maintenance costs attributable to providing fire protection services within CFD No. 85-1. The
proposed budget for Fiscal Year 2020/21 provides funding for a portion of the personnel and
operational costs necessary to maintain existing fire and life safety services within CFD boundaries.
The remaining operational and maintenance costs within the CFD are provided through the Fire
District's General Fund budget.
When the Fire District's CFD No. 85-1 was approved by the voters in 1985, an appropriations limit was
established at $1,775,000 (1985 costs for operations and maintenance). To adjust the maximum
spending authority (appropriations limit) to meet increased costs for operations and maintenance, the
voters authorized the District to annually adjust the limit. This adjustment is based upon the same
methodology used in calculating public agency Prop. 4 spending limits under Article XIIIB of the State of
California Constitution. The factors used to develop the appropriations limit are the C.P.I. change and
the change in the City's population.
ANALYSIS:
On June 11, 2020, the Fire Board held a workshop to review the appropriation requests for Fiscal Year
2020/21. The attached resolution adopts that one-year budget following the Board's deliberations at the
publicly held budget study session.
Based on the factors of the Gann Limit (a C.P.I. change of 3.73% and a population change of 0.18%)
per the State of California Department of Finance, the District's CFD No. 85-1 Fiscal Year 2020/21
appropriations limit is $16,212,326. The District's CFD No. 85-1 Fiscal Year 2020/21 appropriations
Page 165
subject to this limit total $6,262,320. It is anticipated that the District will be at 38.63% of its Gann Limit
at June 30, 2021. The attached Resolution adopts the annual appropriations limit as required by Article
XIIIB of the State Constitution.
FISCAL IMPACT:
The proposed resolutions establish CFD 85-1's spending plan for Fiscal Year 2020/21 and ensures the
CFD's compliance with Article XIIIB of the State Constitution.
COUNCIL GOAL(S) ADDRESSED:
The delivery of vital fire and life safety services to residents, visitors, and businesses through an
innovative combination of risk reduction and emergency response programs promotes and enhances a
safe and healthy community for all.
ATTACHMENTS:
Description
ATTACHMENT 1 - Resolution (Budget Adoption)
ATTACHMENT 2 - Resolution (Appropriations Limit)
Page 166
ATTACHMENT 1
RESOLUTION NO. FD 20-xxx
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO
CUCAMONGA FIRE PROTECTION DISTRICT, SAN BERNARDINO COUNTY,
CALIFORNIA, APPROVING AND ADOPTING A BUDGET FOR MELLO-ROOS
COMMUNITY FACILITIES DISTRICT NO. 85-1 FOR FISCAL YEAR 2020/21
WHEREAS, a special election was held in the Mello -Roos Community Facilities District No. 85-1 (the
"Community Facilities District") of the Rancho Cucamonga Fire Protection District (formerly Foothill Fire
Protection District, the "District"), on Tuesday, December 10, 1985; and
WHEREAS, because of the election, more than two-thirds (2/3) of the qualified electors voted in favor of
a proposition to authorize the levy of a special tax for fire suppression services and facilities, to establish an
appropriations limit based upon changes in cost of living and changes in population; and
WHEREAS, the Board of Directors has received and reviewed a budget for Fiscal Year 2020/21 for the
Community Facilities District.
NOW, THEREFORE, the Board of Directors of the Rancho Cucamonga Fire Protection District does
hereby resolve, determine and order as follows:
Section 1. Adoption of Budget. The Board of Directors hereby approves and adopts the budget
designated:
Mello -Roos Community Facilities
District No. 85-1
Annual Budget
for
Fiscal Year 2020/21
a copy of said budget being on file in the office of the Community Facilities District and
available for public inspection.
Section 2. Filing of Budget. The Secretary is hereby authorized and directed to forward a certified copy
of this resolution and a copy of the budget to the Office of the Auditor -Controller for the
County of San Bernardino.
PASSED, APPROVED, and ADOPTED this 25' day of June 2020.
Page 167
ATTACHMENT 2
RESOLUTION NO. FD 20-xxx
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO
CUCAMONGA FIRE PROTECTION DISTRICT, SAN BERNARDINO COUNTY,
CALIFORNIA, ADOPTING AN APPROPRIATIONS LIMIT FOR MELLO-ROOS
COMMUNITY FACILITIES DISTRICT NO. 85-1 FOR FISCAL YEAR 2020/21
PURSUANT TO ARTICLE XIIIB OF THE CALIFORNIA CONSTITUTION
WHEREAS, a special election was held in the Mello -Roos Community Facilities District No. 85-1 (the
"Community Facilities District") of the Rancho Cucamonga Fire Protection District (formerly Foothill Fire
Protection District, the "District"), on Tuesday, December 10, 1985; and
WHEREAS, as a result of the election, more than two-thirds (2/3) of the qualified electors voted in favor
of a proposition to authorize the levy of a special tax for fire suppression services and facilities, to establish an
appropriations limit and to annually adjust the special tax and appropriations limit based upon changes in cost
of living and changes in population; and
WHEREAS, the Board of Directors desires to establish the appropriations limit for the Community
Facilities District 85-1 for Fiscal Year 2020/21;
NOW, THEREFORE, the Board of Directors of the Rancho Cucamonga Fire Protection District does
hereby resolve, determine and order as follows:
SECTION 1. Appropriations Limit. This Board of Directors hereby establishes the Fiscal Year 2020/21
appropriations limit for the Community Facilities District No. 85-1 at $16,212,326 based
on the factors of the Gann limit (a C.P.I. change of 3.73% and a population change of
0.18%) per the State of California Department of Finance.
SECTION 2. Approval of Electorate. This Board of Directors hereby finds and determines that the
foregoing appropriations limit has been established by the qualified electorate at a special
election held on December 10, 1985, in the manner provided by law.
SECTION 3. Filing. The Secretary is hereby authorized and directed to file a certified copy of this
resolution with the Board of Supervisors for San Bernardino County and with the office of
the Auditor -Controller for the State of California.
PASSED, APPROVED and ADOPTED this 25th day of June 2020.
Page 168
DATE: June 25, 2020
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Ivan Rojer, Fire Chief
Tamara L. Layne, Finance Director
Michelle Cowles, Management Analyst II
SUBJECT: CONSIDERATION TO APPROVE RESOLUTIONS ADOPTING A BUDGET IN
THE AMOUNT OF $2,468,020 AND APPROVING THE APPROPRIATION
LIMIT IN THE AMOUNT OF $4,160,749 FOR FISCAL YEAR 2020/2021 IN
COMMUNITY FACILITIES DISTRICT (CFD) NO. 88-1.
RECOMMENDATION:
Staff recommends the Fire Board adopt resolutions approving the budget in the amount of $2,468,020
and approving the appropriations limit for $4,160,749, which is an amount equal to the maximum
authorized special taxes, which could be levied in Fiscal Year 2020/21 in Mello -Roos Community
Facilities District No. 88-1.
On April 4, 1989, the qualified voters approved the formation of Mello -Roos Community Facilities
District No. 88-1 and authorized the District to annually levy a special tax to provide for fire protection
services within northeast Etiwanda. On May 19, 1989, the Board adopted an ordinance authorizing the
levy of a special tax in CFD 88-1. The ordinance authorizes the District, by resolution, to annually levy
the special tax for purposes of land acquisition, fire station construction, purchase of equipment and
operations, and maintenance costs (which includes personnel) to provide fire protection services within
CFD 88-1.
Fiscal Year 2020/21 is the thirty-second (32) consecutive year the District has levied a special tax to
provide required revenues for capital improvements (land, fire station facility, equipment) and fire
protection services (personnel, operations, and maintenance) within this CFD. Because CFD 88-1
does not currently generate sufficient funds to support the total annual staffing costs, supplemental
funding is necessary through the Fire District's General Fund budget.
ANALYSIS:
On June 11, 2020, the Fire Board held a workshop to review the appropriation requests for Fiscal Year
2020/21. The attached Resolution adopts that one-year budget following the Board's deliberations at
the publicly held budget study session.
Based on the factors of the Gann Limit (a C.P.I. change of 3.73% and a population change of 0.18%)
per the State of California Department of Finance, the District's CFD No. 88-1 Fiscal Year 2020/21
appropriations limit is $4,160,749. The attached resolution adopts the annual appropriations limit as
Page 169
required by Article X111B of the State Constitution.
FISCAL IMPACT:
The proposed resolutions establish CFD 88-1's spending plan for Fiscal 2020/21 and ensures the
CFD's compliance with Article XIIIB of the State Constitution.
COUNCIL GOAL(S) ADDRESSED:
The delivery of vital fire and life safety services to residents, visitors, and businesses through an
innovative combination of risk reduction and emergency response programs promotes and enhances a
safe and healthy community for all.
ATTACHMENTS:
Description
ATTACHMENT 1 - Resolution (Budget Adoption)
ATTACHMENT 2 - Resolution (Appropriations Limit)
Page 170
ATTACHMENT 1
RESOLUTION NO. FD 20-xxx
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO
CUCAMONGA FIRE PROTECTION DISTRICT, CITY OF RANCHO
CUCAMONGA, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA,
APPROVING AND ADOPTING A BUDGET FOR COMMUNITY FACILITIES
DISTRICT NO. 88-1 FOR FISCAL YEAR 2020/21
WHEREAS, the Board of Directors of the Rancho Cucamonga Fire Protection District (formerly Foothill
Fire Protection District, hereinafter referred to as the "legislative body") has initiated proceedings, held a public
hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a
special tax in a community facilities district, all as authorized pursuant to the terms and provisions of the "Mello -
Roos Community Facilities Act of 1982", as amended, being Chapter 2.5, Part 1, Division 2, Title 5 of the
Government Code of the State of California. This Community Facilities is designated as COMMUNITY
FACILITIES DISTRICT NO. 88-1 (hereinafter referred to as the "District"); and
WHEREAS, this legislative body has received and reviewed a budget for Fiscal Year 2020/21 for the
District.
NOW, THEREFORE, the Board of Directors of the Rancho Cucamonga Fire Protection District does
hereby resolve, determine, and order as follows:
Section 1. Adoption of Budget. The Board of Directors hereby approves and adopts the budget
designated: "Mello -Roos Community Facilities District No. 88-1 Annual Budget for Fiscal
Year 2020/21" and is on file in the office of the District and available for public inspection.
PASSED, APPROVED, and ADOPTED this 25' day of June 2020.
Page 171
ATTACHMENT 2
RESOLUTION NO. FD 20 -XXX
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO
CUCAMONGA FIRE PROTECTION DISTRICT, SAN BERNARDINO COUNTY,
CALIFORNIA, ADOPTING AN APPROPRIATIONS LIMIT FOR COMMUNITY
FACILITIES DISTRICT NO. 88-1 FOR FISCAL YEAR 2020/21 PURSUANT TO
ARTICLE XIIIB OF THE CALIFORNIA CONSTITUTION
WHEREAS, the Board of Directors of the Rancho Cucamonga Fire Protection District (formerly Foothill
Fire Protection District, hereinafter referred to as the "legislative body") has initiated proceedings, held a public
hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of
a special tax in a community facilities district, all as authorized pursuant to the terms and provisions of the
"Mello -Roos Community Facilities Act of 1982", as amended, being Chapter 2.5, Part 1, Division 2, Title 5 of
the Government Code of the State of California. This Community Facilities District is designated as
COMMUNITY FACILITIES DISTRICT NO. 88-1 (hereinafter referred to as the "District"); and
WHEREAS, as a result of such election, the qualified electors of the District authorized the establishment
of an Article XIII -B appropriations limit for the District equal to the maximum authorized special taxes which may
be levied in any fiscal year; and
WHEREAS, this legislative body desires to establish the appropriations limit for the District for Fiscal
Year 2020/21.
NOW, THEREFORE, the Board of Directors of the Rancho Cucamonga Fire Protection District does
hereby resolve, determine and order as follows:
SECTION 1. Appropriations Limit. This legislative body hereby establishes the appropriations limit for
Community Facilities District No. 88-1 for Fiscal Year 2020/21 in an amount equal to
$4,160,749.
SECTION 2. Approval by Electorate. This legislative body hereby finds and determines that the
foregoing appropriations limit has been authorized by the qualified electors of the District
at a special election held on April 4, 1989, in the manner provided by law.
PASSED, APPROVED, and ADOPTED this 25th day of June 2020.
Page 172
DATE: June 25, 2020
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Tamara L. Layne, Finance Director
SUBJECT: CONSIDERATION TO ADOPT THE FISCAL YEAR 2020/21 BUDGET AND
THE ARTICLE XIIB APPROPRIATIONS LIMIT.
RECOMMENDATION:
It is recommended that the City Council approve the resolutions adopting the Fiscal Year 2020/21
Budget and the Article XIIIB Appropriations Limit for Fiscal Year 2020/21.
BACKGROUND:
Each year, the City of Rancho Cucamonga proposes a one-year program of service through the
adoption of the annual budget. In conjunction with the adoption of the annual budget, the State of
California Constitution, Article XIIIB, requires that an appropriations limit be established annually by the
City Council. The factor used to develop the appropriations limit is the C.P.I. change and the change in
the City's population per the State of California Department of Finance.
ANALYSIS:
On June 11, 2020, the City Council held a workshop to review the appropriation requests for Fiscal
Year 2020/21. The attached resolution adopts that one-year budget following the Council's
deliberations at the publicly held budget study session. The budget is summarized as follows:
FISCAL YEAR 2020/21 BUDGET
General Fund
Library Services
Special Funds
Total
$ 90,104,500
$ 5,750,160
$ 80,740,050
$176.594,710
Based on the factors of the Gann Limit (a C.P.I. change of 3.73% and a population change of 0.18%),
the City's Fiscal Year 2020/21 appropriations limit is $91,289,924. The City's Fiscal Year 2020/21
appropriations subject to this limit total $69,545,060. It is anticipated that the City will be at 76.18%
of its Gann Limit at June 30, 2021. The additional resolution adopts the annual appropriations limit
as required by Article XIIIB of the State Constitution.
FISCAL IMPACT:
The proposed resolutions establish the City of Rancho Cucamonga's spending plan for Fiscal Year
2020/21 and ensure the City's compliance with Article XIIIB of the State Constitution.
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COUNCIL GOAL(S) ADDRESSED:
Not applicable.
ATTACHMENTS:
Description
Attachment 1 - Resolution Adopting FY 2020/21 Budget
Attachment 2 - Resolution Establishing Appropriations Limit
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ATTACHMENT 1
RESOLUTION NO. 20 -XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
RANCHO CUCAMONGA, CALIFORNIA ADOPTING THE CITY'S
FISCAL YEAR 2020/21 BUDGET
WHEREAS, the Rancho Cucamonga City Council held one workshop to review the
appropriation requests for Fiscal Year 2020/21 on June 11, 2020, and;
WHEREAS, the Rancho Cucamonga City Council held a public meeting on the General
City Budget, and;
WHEREAS, this public meeting was noticed in accordance with applicable laws and held
on June 25, 2020;
NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Rancho
Cucamonga, California does hereby resolve on this 2511 day of June 2020, as follows:
SECTION 1: Adoption of Fiscal Year 2020/21 Budget. The City of Rancho Cucamonga
budget for Fiscal Year 2020/21, on file in the office of the Finance Director,
is hereby adopted in the amount of $176,594,710. This budget total
includes appropriations for both the general and other special purpose
funds.
SECTION 2: Transfers of Funds Between and/or Within Appropriations. The City
Council of the City of Rancho Cucamonga may transfer funds between
funds or activities set forth in the budget. The City Manager may transfer
funds between appropriations within any fund as set forth in the budget and
may transfer appropriations between activities within any cost center in the
same fund.
SECTION 3: Transfers of Funds Between Funds. Transfers of funds between funds as
shown throughout the fund transfer sections of the budget shall be made
as expenditures warrant such transfers.
SECTION 4: Disbursements. The City Manager and the Finance Director, or the duly
designated representative, are hereby empowered and authorized to
disburse funds pursuant to appropriations provided for in the Fiscal Year
2020/21 Budget and have the responsibility to establish procedures and to
administratively implement and control the budget on all matters, except
direct expenditures by Councilmembers which require Council approval.
The City Manager, or the duly designated representative, is hereby
empowered and authorized to make an annual contribution to the PARS
Public Agencies Post -Employment Benefits Trust for the City in an amount
ranging from $75,000 to $150,000 and for the Fire District in an amount
ranging from $25,000 to $100,000. The contribution is at the discretion of
the City Manager based on the results of operations for each fiscal year
and is not mandatory.
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SECTION 5: Additional Appropriations. The City Council may amend this budget to add
or delete appropriations.
SECTION 6: Personnel. The City Manager is hereby empowered and authorized to
develop and fill additional positions as deemed necessary to conduct City
operations provided funding is available in the budget.
PASSED, APPROVED, AND ADOPTED this 25th day of June 2020.
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ATTACHMENT 2
RESOLUTION NO. 20 -XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
RANCHO CUCAMONGA, CALIFORNIA ESTABLISHING AN
APPROPRIATIONS LIMIT PURSUANT TO ARTICLE XIIIB OF
THE CALIFORNIA STATE CONSTITUTION FOR FISCAL YEAR
2020/21
WHEREAS, Article XIIIB of the State of California provides that the total annual
appropriations subject to limitation of the State and of each local government shall not exceed the
appropriations limit of such entity of government for the prior year adjusted for changes in the cost
of living and population except as otherwise provided in said Article XIIIB, and;
WHEREAS, pursuant to said Article XIIIB of the Constitution of the State of California, the
City Council of the City of Rancho Cucamonga deems it to be in the best interests of the City of
Rancho Cucamonga to establish an appropriations limit for Fiscal Year 2020/21, and;
WHEREAS, the Finance Director of the City of Rancho Cucamonga has determined that
said appropriations limit for Fiscal Year 2020/21 be established in the amount of $91,289,924.
NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Rancho
Cucamonga, California does hereby resolve that an appropriations limit for Fiscal Year 2020/21
pursuant to Article XIIIB of the Constitution of the State of California be established in the amount
of $91,289,924 and the same is hereby established.
BE IT FURTHER RESOLVED that said appropriations limit herein established may be
changed as deemed necessary by resolution of the City Council.
PASSED, APPROVED, AND ADOPTED this 25th day of June 2020.
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